Request for Proposal (RFP):

Investment Advisory Services UNSPSC Code: 84121706 (Financial Asset Management Service)

Issued by: City of Westerville, Ohio | April 2026

RFP Deadline Dates

• Open Date: April 1, 2026

• Questions Due Date: April 17, 2026, 5:00 PM EDT

• Close Date/Deadline for Responses: April 29, 2026, 5:00 PM EDT

Contact Information

• Point of Contact: Matt Yoder, Director of Finance

• Email: Bids@westerville.org

• Project Portal: https://westerville.bonfirehub.com/opportunities/228069 mailto:Bids@westerville.org https://westerville.bonfirehub.com/opportunities/228069

TABLE OF CONTENTS

• Checklist – pg. 3

• Purpose – pg. 4

• Organizational Overview – pg. 4

• Scope of Work – pg. 4

• Pre-proposal Conference – pg. 9

• Current Environment – pg. 9

• Contract Term – pg. 9

• Proposal Content – pg. 10

• Submission Instructions – pg. 14

• Presentation, Demonstration, Interview, and Security Review – pg. 15

• Review and Evaluation – pg. 16

• Right of Refusal – pg. 17

• Procurement Schedule – pg. 17

• Public Records – pg.18

• Non-Waiver of Rights – pg.18

• Relationship of the Parties – pg.18

• Termination – pg.18

• Expense of Preparing Responses – pg.18

ATTACHMENTS

• City of Westerville, Ohio Investment Policy

CHECKLIST

Offerors are urged to complete this checklist to confirm that all required documents are included with their proposal.

I. REQUIRED PROPOSAL FORMS

TRANSMITTAL LETTER (offeror supplied)

PROFESSIONAL SERVICES PROPOSAL (offeror supplied)

II. OPTIONAL PROPOSAL FORMS

RESUMES FOR KEY PROFESSIONALS (as needed – offeror supplied)

EXCEPTIONS LETTER (as needed – offeror supplied)

CONTRACT FORMS (download from Project Portal)*

*Offerors are urged to include completed Contract Forms (including a Noncollusion Affidavit and Personal Property Tax Affidavit) with their proposal. If not included with the proposal, the Successful Offeror will be required to execute and submit such forms prior to contract award. These forms are available for download at:

PURPOSE

The purpose of this Request for Proposal (RFP) is to inform the private sector of a potential business opportunity to provide professional investment advisory services to the City of Westerville (hereinafter “City”) aimed at enhancing the City’s portfolio of short-term and long-term investments.

ORGANIZATIONAL OVERVIEW

Background The City of Westerville, Ohio, founded in 1858, is home to 40,000 residents, making it one of the largest suburban communities in the state. Located in the northeast corner of Ohio's fastest growing region (northeast Franklin County and southern Delaware County), Westerville is a leader in job creation and widely known for its nationally recognized parks system, award-winning City services and acclaimed school district. Innovation in public service is part of Westerville’s DNA: the community was one of the first in the state to launch its own municipal electric utility in 1898, and in 1916, Westerville became the third municipality in the United States and first village in Ohio to adopt a Council/Manager style of government. The City is home to world class brands and Fortune 500 companies including Vertiv (global HQ), DHL Supply Chain (NA HQ), Lancaster Colony/T. Marzetti (global HQ), Central Ohio Primary Care Physicians (HQ), JP Morgan Chase and Bank of America. Situated just 10 miles from the John Glenn International airport (CMH), the Ohio State University and the state capital of Columbus, Westerville is also within 500 miles of more than half the United States and Canadian populations. Westerville is a forward-thinking community that provides a unique blend of authentic hometown charm and high-tech resources. It’s a place where people from all walks of life can build their dreams and where businesses can thrive.

Objective The City’s objective is to solicit proposals for professional investment advisory services aimed at enhancing the City’s portfolio of short-term and long-term investments at a competitive price. Largely, the services required shall include the recommendation and implementation of appropriate investment transactions, according to the Ohio Revised Code, the City’s Charter, and the City’s Investment Policy. The selected advisory professional may also be called upon to provide expertise in additional services such as cash management consulting, bond interest accounting, and arbitrage rebate calculations.

Professional services sought are described in more detail in the “Scope of Work” section below.

Glossary

RFP: The Request for Proposal issued to solicit offers for the product or service described herein.

Offeror: The person or entity submitting an offer responding to the City’s RFP.

Offer: The response submitted by an offeror in reply to the City’s RFP.

Contract: The legal agreement between the City and the Successful Offeror for furnishing the services described in the RFP.

Laws Governing: Any contract resulting from this RFP, shall be governed by and construed according to the laws of the State of Ohio. Venue for any action related to the contract shall be in Franklin County, Ohio.

SCOPE OF WORK

The RFP respondent that is awarded a contract on the merits of their offer (hereinafter “Successful Offeror” or “Contractor”) shall provide such professional investment advisory services as directed and authorized by the City of Westerville. Services contemplated include, but are not limited to:

Minimum Specifications

General Provide professional investment advice and recommendations to the City, regarding the investment and reinvestment of City funds in accordance with the Ohio Revised Code, the City’s Charter, and the City’s Investment Policy.

Issuing transaction advice to the Director of Finance, evidencing the purchase and sale of eligible securities, and provide same transaction advices to the City’s custodian bank, which will include details of the transaction and serve as an authorization to such custodian bank to settle investment transaction on a delivery vs. payment basis.

Coordinate the settlement process regarding the delivery and receipt of securities with the City’s custodian bank, and account for the receipt of income and maturities and all other matters involving the reconciliation of cash and investment transactions. Execute investment transactions through only eligible broker/dealers who have signed the approved investment policy of the City.

Monitor the credit worthiness of financial institutions and investments in the portfolio.

Provide in an electronic format, monthly and quarterly reports describing the activity of the City’s portfolio, within two weeks following each month and quarter end. Such reports should contain, at a minimum, the following information: An inventory of all obligations describing all securities, including type, cost, par value, maturity dates, and transaction settlement dates. Such reports should detail all transactions during the period, including the purchase or sale of securities, the average yield of the portfolio, and any realized income for the period. The reports should include various benchmarks such as the average yield of the Three-month Constant Maturity Treasury (CMT) as calculated by the Federal Reserve Bank of New York, the monthly average yield of the State Treasurer’s Investment Pool (STAR Ohio), the ICE BofA 1-3 Year U.S. Treasury Index, or any other mutually agreed upon index to determine the relative performance of the portfolio.

Make recommendations regarding changes in portfolio composition.

Ensure all investment decisions comply with the Ohio Revised Code, the City’s Charter, and the City’s Investment Policy.

Annually review and make recommendations regarding the City’s Investment Policy.

Participate in scheduled quarterly investment advisory committee meetings, participate in a Finance Audit Committee briefing once per year, and/or City Council meetings, if requested by the Director of Finance.

Interface with the City’s investment custodian and City staff to assure the coordination of investments, delivery of securities and availability of funds as needed.

Provide market value for all portfolio holdings, monthly interest projections, and annual GASB information needed by City staff concerning investments.

Customer Support The City expects the Successful Offeror to provide high-touch support in the event of services issues. At a minimum, operators should assign a portfolio manager and a relationship manager with ten (10) years of experience. Such personnel should be available during regular business hours to troubleshoot any queries associated with the service.

Regulatory Compliance The City is seeking firms that are registered with the Securities and Exchange Commission (SEC) per the Investment Advisers Act.

Experience & Qualifications

Responding firms should have ten (10) years of experience operating in the market, and provide evidence of errors and omissions insurance coverage.

Additional Requirements

Assignment Neither the Contractor nor the City shall, sell, transfer, assign or otherwise dispose of the contract or any portion thereof, or of their right, title or interest therein, or the obligation there under, without written consent of the other party.

Compliance The Contractor shall observe and comply with all applicable laws, ordinances, and the rules and regulations of all authorities having jurisdiction over the City’s contract.

The Contractor shall comply, when applicable, with the U. S.

Department of Labor, Safety and Health Regulations identified as Chapter XVII of Title 29, Code of Federal Regulations (CFR) Parts 1910 and 1926 and subsequent amendments.

The Contractor agrees that in the hiring of employees for the performance of work under the City’s contract or any subcontract, no contractor, subcontractor, or any person acting on his behalf shall, by reason or race, color, religion, sex, national origin, age, familial status, military status, disability, pregnancy, sexual orientation, gender identity, or gender expression, or any prohibition provided by federal or state law, discriminate against any citizen of the State in the employment of labor or workers who are qualified and available to perform the work to which the employment relates, nor shall any contractor, subcontractor, or any person acting on his behalf, in any manner, discriminate against or intimidate any employee hired for the performance of work under the City’s contract on account of race, color, religion, sex, national origin, age, familial status, military status disability, pregnancy, sexual orientation, gender identity, or gender expression, or any prohibition provided by federal or state law.

Duty to Notify the City of Cybersecurity Incidents: Contractor shall promptly notify the City of any actual or suspected cybersecurity incident, data breach, security incident, or unauthorized access, use, or discloser involving any data or information provided by the City or generated in connection with the performance of this contract. Such notice shall be provided as soon as practicable and in no event later than three (3) calendar days after discovery of the breach or incident. Contractor shall cooperate fully with the City in investigating and mitigating the effects of any such breach or incident and shall bear all costs associated with the incident, including any notifications, remediation, and compliance required under applicable law.

Indemnification/Insurance To the extent authorized by law, the Successful Offeror shall indemnify and hold harmless the City, its officers, elected officials, agents and employees from and against all claims, damages, losses and expenses including attorney’s fees arising out of or resulting from the Successful Offeror’s performance, provided that any such claims, damage, loss or expense is attributable to bodily injury, sickness, disease or death, or to injury to or destruction of tangible property, including the loss of use resulting there from; and is caused in whole or in part by any negligent or willful act or omission of the Successful Offeror, subcontractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable.

The Contractor shall secure and maintain errors and omissions insurance coverage throughout the duration of their work with the City.

Contract The offeror to whom the award is made will be required to execute a written contract with the City of Westerville, Ohio as required by the City Manager.

PRE-PROPOSAL CONFERENCE

A non-mandatory pre-proposal conference will be held on Wednesday, April 15, 2026, at 10:00 AM (EDT) for all offerors. The conference will be held via Google Meet.

Google Meet joining info.

Video call link: https://meet.google.com/aac-fufx-kmg Or dial: 0863-604-(US) +1 415 PIN: 647 054 031#

CURRENT ENVIRONMENT

The City of Westerville maintains an average monthly core investment portfolio of approximately $150 million - $170 million. Additionally, when needed, the City issues bonds to fund portions of its Capital Improvement Plan. The City most recently issued bonds in 2025 for the East of Africa Roadway and Sanitary Improvements project for $30 million which was invested but is being spent down in 2026. Additionally, the City is planning for infrastructure updates which may require additional bonds for approximately $8 million.

The City currently utilizes Fifth Third Bank as its investment custodian but is flexible to change depending on the needs of the City and its future investment consultant.

City funds shall only be invested in those instruments authorized by and in accordance with the Ohio Revised Code, the City’s Charter, and the City’s Investment Policy. The objective of the City’s investments in addition to meeting the above requirements is to provide:

• Safety of principal

• Liquidity

• Yield

Investment management must be performed to maintain the public’s trust, and with the understanding that the investment portfolio is subject to public review and evaluation.

CONTRACT TERM

The initial term of the contract shall be for a three (3) year period. The contract shall be from January 1, 2027 through December 31, 2029.

The contract may be renewed at the expiration of the initial term at the request/option of the City. The renewal may be for up to two (2) additional one (1) year periods. The option to renew, if exercised, will be executed in the form of a renewal letter to be issued not sooner than ninety (90) days prior to the expiration of the current contract period, nor later than the final day of the current contract period.

All terms and conditions associated with the initial term shall remain unchanged and in full force and effect.

https://meet.google.com/aac-fufx-kmg

The award of any contract for 2027 and beyond is subject to appropriation of funds approved by Westerville City Council in future years/fiscal periods.

PROPOSAL CONTENT

Proposals should include concise, but complete information about your company, emphasizing why you believe your company to be best qualified to furnish services in support of the City’s investment needs.

At a minimum, the Proposal should include:

• Transmittal Letter (REQUIRED - offeror supplied PDF; should not exceed two (2) electronic pages). Provide an introductory letter that (1) states the full name and address of your company, (2) states the number of years you have been providing professional investment advisory services under your present firm or trade name, and (3) includes the name, telephone number, and email address of the contact person for the submission. Additionally, this introductory letter should succinctly highlight your understanding of the City’s needs and the benefits of accepting your proposal, explaining the value that you provide to the City.

• Professional Services Proposal (REQUIRED - offeror supplied PDF; should not exceed twenty (20) electronic pages). All proposals should address the following items:

o Background and Overview

Please provide a brief history and overview of your background (or your team’s background), including the number of years your organization has been providing services similar to those discussed in this RFP and the key professionals, affiliates, and sub‐ consultants/subcontractors that may be included in the performance of investment advisory services.

This section should specifically identify the lead consultant and any other key staff positions your company will assign to the City. Please provide biographical sketches for all key personnel, including their government experience and the number of accounts and the total dollar amount of the portfolios they manage. Resumes for key professionals are encouraged and may be submitted as OPTIONAL forms.

This section should explain any teaming, subcontract relationships, and business affiliations (e.g., subsidiaries, joint ventures, “soft dollar” arrangements with brokers) with clear and concise description of the divisions of responsibility and how the interactions between the different firms will be managed and affect investment performance.

This section should describe any SEC, FINRA, or other regulatory censure or litigation within the past five (5) years involving institutional business your firm conducts with governmental investors or regulatory censure or litigation involving any individuals added to the firm in the past five (5) years.

This section should describe any lawsuits your organization has been a party to, including suits involving misfeasance or professional negligence within the last ten (10) years.

This section should disclose if your firm or any member of your firm has been involved in any transaction in which you defaulted on a government contract or were suspended or debarred by a government agency.

This section should identify the types of accounts primarily sought by your firm.

o Experience & Qualifications

Please describe your firm’s experience in advising governmental entities on investment portfolio management. List your firm’s experience working with similar government agencies: providing a minimum of five (5) public client references for whom you have conducted similar services.

References should include name and telephone number of the contact person. Respondents may include additional references. Each listed reference should include a description of the services provided to the client and describe how such services improved those clients’ investment portfolios.

Please detail your firm’s years of business in Ohio and understanding of Ohio investment law with respect to investment of public funds.

What is your firm’s experience in developing policies and portfolio management guidelines for government portfolios?

Does your firm act as a broker or as a primary dealer in securities or receive any other form of additional compensation (including soft dollars) for the client transactions aside from the direct fee paid by clients?

Please detail the number of investment professionals by classification

(portfolio managers, analysts, etc.) employed by your firm and specify the average number of accounts handled by portfolio managers.

Please discuss your firm’s research capabilities and resources. Does your firm assign credit research to specialists?

Please describe what your firm does to keep portfolio managers informed of developments relevant to local government funds management.

Please discuss how your staff is compensated? Describe your firm’s financial incentives for portfolio managers and analysts.

Has there been any turnover of professional staff in the firm in the last 12 months? Have there been any additions? How many accounts have you gained and lost in the last 12 months and why?

Please discuss relevant performance statistics on operating funds, and compare with industry averages or benchmarks, if appropriate.

Please detail your firm’s investment management asset totals by category (Governmental, Other Institutions) for your latest reporting period.

Please provide your most recent Moody’s, S & P and FITCH ratings.

Please provide copies of your two most recent audited financial statements (will not be counted against the page limit).

Please provide evidence of errors and omissions insurance coverage. (will not be counted against the page limit).

o Project Approach

Please discuss your daily procedures for portfolio review and client contact. What oversight is provided to portfolio managers?

Please include a description of your risk management processes. This information should include how you identify, analyze, and hedge against systemic and idiosyncratic risks.

Please describe your primary strategies for adding value to portfolios (e.g., market timing, trading, and research).

Please recommended index benchmark(s) by which to measure performance.

Please describe the process you would recommend for establishing the investment objectives and constraints for this account.

Please discuss how your firm will handle fluctuating cash flows and the cash forecasting process.

Please discuss your firm’s experience in developing portfolio management guidelines for governmental operating funds.

Please discuss your recommendation for how frequently your staff should meet with City staff.

Please describe the frequency and format of reports that your firm would provide to the City.

Please attach examples of your reports (will not be counted against the page limit).

What performance benchmarks would be recommended? What experience has the firm had in developing benchmarks for public operating portfolios?

Additional Information – Respondents are invited to provide any additional information/value-added services specific to the parameters of the RFP that will assist the City in the overall consideration of their proposal.

o Pricing – Price is important to the City. Submissions shall include your company’s complete fee proposal for assets under management/ investment advisory services.

Should there be any other costs or fees for which the City will be responsible throughout the duration of the contract, firms must disclose such costs and fees with their price proposal.

• Exceptions Letter (OPTIONAL – offeror supplied PDF). Should you take exception to

ANY requirements, terms and conditions identified in this RFP, a letter must be submitted with your response identifying ALL exceptions. Any exceptions will be part of the evaluation process. The City will not entertain any exceptions not previously submitted with the offeror’s response, at the time of contract negotiations.

• Contract Forms (OPTIONAL – download from Project Portal). Offerors are urged to include completed Contract Forms (including a Noncollusion Affidavit and Personal

Property Tax Affidavit) with their proposal. If not included with the proposal, the Successful Offeror will be required to execute and submit such forms prior to contract award.

SUBMISSION INSTRUCTIONS

Requested Information:

Name Type # Files Requirement

Transmittal Letter (offeror supplied) File Type: PDF (.pdf) 1 File Required

Professional Services Proposal (offeror supplied) File Type: PDF (.pdf) 1 File Required

Resumes for Key Professionals (as needed -offeror supplied) File Type: PDF (.pdf) 1 File Optional

Exceptions Letter (as needed - offeror supplied) File Type: PDF (.pdf) 1 File Optional

Contract Forms (download from Project Portal) File Type: PDF (.pdf) 1 File Optional

Requested Documents:

Please note the type and number of files allowed. The maximum upload file size is 1000 MB.

Please do not embed any documents within your uploaded files, as they will not be accessible or evaluated.

Upload your submission at: https://westerville.bonfirehub.com/opportunities/228069

You will not be able to prepare a submission unless you submit 'Yes' for your Intent to Bid.

The Q&A period for this opportunity is April 1, 2026 4:00 PM (EDT) to April 17, 2026 5:00 PM (EDT). You will not be able to send messages after this time. Questions may be submitted to the City at either Bids@westerville.org or via the Project Portal. Questions will be documented and an addendum will be issued with the City’s responses. The City will endeavor to have a copy of such addendum delivered to each person receiving a Request for Proposal; however, it is ultimately the Offeror’s responsibility to check the City’s Bonfire/Euna Procurement Portal (https://westerville.bonfirehub.com/opportunities/228069) for verification of any issued addenda.

Your submission must be uploaded, submitted, and finalized prior to the Closing Time of April 29, 2026 5:00 PM (EDT). We strongly recommend that you give yourself sufficient time https://westerville.bonfirehub.com/opportunities/228069 mailto:Bids@westerville.org and at least ONE (1) day before Closing Time to begin the uploading process and to finalize your submission.

Important Notes:

Each item of Requested Information will only be visible after the Closing Time.

Uploading large documents may take significant time, depending on the size of the file(s) and your Internet connection speed.

You will receive an email confirmation receipt with a unique confirmation number once you finalize your submission. Minimum system requirements: Microsoft Edge, Google Chrome, or Mozilla Firefox. Javascript must be enabled. Browser cookies must be enabled.

It is the sole responsibility of the offeror to see that their proposal is received in the proper time. Proposals received after the specified time will not be considered.

Adherence to the rules set forth in this RFP is mandatory to ensure a fair and objective analysis of all proposals. Failure to comply with or complete any portion of this request may result in rejection of a submitted proposal.

Receipt of a proposal by the City or submission of a proposal to the City confers no rights upon the offeror nor obligates the City in any manner.

Need Help?

The City uses a Bonfire/Euna Procurement portal for accepting and evaluating proposals digitally. Please contact Bonfire/Euna Procurement at Support@GoBonfire.com for technical questions related to your submission. Please direct general questions to bids@westerville.org.

PRESENTATION, DEMONSTRATION, INTERVIEW, AND SECURITY REVIEW

Selected offerors may be elevated to the discovery portion of the City’s competitive process and invited to make presentations to City personnel. Representative(s) attending/hosting these presentations must be qualified to respond to questions related to any component of the proposal.

Discovery may also include a security review with the City’s IT and Cybersecurity team.

mailto:support@gobonfire.com mailto:bids@westerville.org

REVIEW AND EVALUATION

The City will use a Proposal Evaluation Committee (PEC) comprised of project stakeholders and other City personnel to review all proposals received as part of a documented evaluation process. For each decision point in the process, the PEC will evaluate offerors on a variety of quantitative and qualitative criteria and will then elevate a select number of offerors to compete in the next level. Offerors not previously elevated may be elevated at a later date. The lowest price proposal will not necessarily be selected.

The sole purpose of the proposal evaluation process is to determine which offeror can provide the best value to the City (highest level of service and desired deliverables in the most cost-effective manner that most closely meets the City’s needs). The evaluation process is not meant to imply that one offeror is superior to any other, but rather that the selected offeror can best support the City’s needs, based on the information available and the City’s best efforts of determination.

• Evaluation Criteria The proposal evaluation criteria should be viewed as standards that measure how well an offeror’s approach meets the desired requirements and needs of the City. The criteria that will be used to evaluate proposals may include, but are not limited to the following:

Title Points Type Description

Responsiveness 10 pts Rated - Scale [0 - 10] The degree to which the offeror’s Transmittal Letter and overall proposal have responded to the purpose and scope of the RFP—e.g., services to be provided, including, but not limited to, conformance in all material respects to the RFP.

Scored by PEC.

Experience & Qualifications

40 pts Rated - Scale [0 - 10] Offeror's experience in providing services and deliverables as requested in the RFP, including but not limited to the quality of references/reference checks and the moral/business integrity to assure good faith performance. Scored by PEC.

Capability & Project Approach

40 pts Rated - Scale [0 - 10] Offeror's capability, flexibility, and skill to meet the City’s requirements and perform the work identified in the RFP, including but not limited to approach, project management, service methodologies, creative alternatives, and value-added services.

Scored by PEC.

Cost 10 pts Relative (lowest gets full marks)

During the initial evaluation phases, cost represents no more than 10 percent of the overall points. Scored by the Procurement Division relative to lowest response (lowest gets full marks).

Prior to making a contract award recommendation, the PEC may elect to use cost to perform a trade-off analysis to determine if the technical differences between proposals justify paying a cost or price differential.

The City reserves the right to determine the suitability of proposals on the basis of any or all of these criteria or other criteria not included in the above list. This detailed evaluation process may result in one or more finalists. The City may request presentations by finalists and may carry out contract negotiations for the purpose of obtaining best and final offers.

• Validity of Proposals Proposals are to be good for ninety (90) days from the proposal due date. The City may hold the proposals for ninety (90) days after the proposal due date, and may award a contract at any time during that period. Should there be reasons why a contract cannot be awarded within the specified period; the time may be extended by mutual agreement between the City and the selected offeror.

• Contract Negotiations/Award The City reserves the right to (a) reject any or all proposals, or to make no award, (b) request modifications to initial proposals or (c) make partial or multiple awards. In addition, the City reserves the right to obtain other supplemental information concerning the offerors. The City further reserves the right to excuse technical defects in a proposal when, in its sole discretion, such excuse is beneficial to the City. The City may award based on initial proposals received, without discussion of such proposals.

RIGHT OF REFUSAL

The City reserves the right to reject any and all proposals in their entirety or to select certain applications from the proposals. The City reserves the right to award a contract in any manner deemed in the best interest of its citizens.

PROCUREMENT SCHEDULE

RFP Date 4/1/2026 Pre-Proposal Conference 4/15/2026 Deadline for Submission of Written Questions 4/17/2026 Date of City Response to above mentioned Questions 4/22/2026 Proposals Due 4/29/2026 Evaluation of Proposals 5/7/2026 Presentations/Interviews (if needed) 5/8/2026 – 5/21/2026 Contract Negotiations/Award 5/22/2026 – 5/31/2026 Commencement of Services 1/1/2027

PUBLIC RECORDS

In entering into a contract with the City (or responding to a City solicitation), all offerors are hereby notified that all bids, proposals, quotations, RFI responses, agreements, invoices, correspondence and any other documents submitted to the City become public property and are subject to public disclosure in accordance with Ohio Public Records Law. All public records will be made available upon request, at the earliest time permitted by law.

Ownership of all data, materials, and documentation originated and prepared for the City pursuant to this RFP shall belong exclusively to the City and be subject to public disclosure in accordance with Ohio Public Records Law.

NON-WAIVER OF RIGHTS

No failure of either party to exercise any power given to it hereunder or to insist upon strict compliance by the other party with its obligations hereunder, and no custom or practice of the parties at variance with the terms hereof, nor any payment under this agreement shall constitute a waiver of either party’s right to demand exact compliance with the terms hereof.

RELATIONSHIP OF THE PARTIES

The relationship between the parties to a contract resulting from this solicitation shall be that of independent contractors. Nothing contained herein shall be interpreted or construed as establishing an agency or employer/employee relationship between the parties or between either party and the employees or representatives of the other party. The Successful Offeror is responsible for all Social Security taxes and Bureau of Workers Compensation contributions for itself and any of its employees.

TERMINATION

The City reserves the right to terminate any contract resulting from this solicitation in whole or in part for default (termination due to the Contractor’s failure to perform satisfactorily) or convenience (termination due to the best interests of the City). After 10 days from delivery of a written notice to the Contractor, the City may, without cause and without prejudice to any other right or remedy, elect to terminate the contract. In such case, the Contractor shall be paid for work executed, goods delivered and accepted, and any expense sustained plus reasonable profit, unless such termination was due to the act or conduct of the Contractor

EXPENSE OF PREPARING RESPONSES

The City accepts no responsibility for any expenses incurred by the responders to this RFP;

including cost associated with RFP responses and presentations. Such expenses are to be borne exclusively by the responders.

CITY OF WESTERVILLE, OHIO

INVESTMENT POLICY

Adopted as of October 20, 2016

SCOPE: In accordance with the Charter of the City of Westerville, the Director of Finance is the custodian of all public money of the municipality and shall perform all other duties now or hereafter imposed on City Auditors and Treasurers under the laws of the State of Ohio and shall perform such other duties, consistent with the office, as may be required by Charter, by ordinance or resolution of Council, or as directed by the City Manager. This policy is designed to cover all interim monies as defined under Ohio Revised Code Chapter 135 (“ORC 135”) under the control of the Director of Finance.

I. Objective and Guidelines: In absence of the policies as detailed below, ORC 135 will be adhered to at all times. The following investment objectives will be applied in the management of the City of Westerville’s (“the City’s”) public funds:

A. The primary objective shall be the preservation of capital. Safety of principal is the foremost objective of the investment program. Investments shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. The goal will be to mitigate credit risk, interest rate risk and liquidity risk.

B. When investing public funds, the Director of Finance will strive to achieve a reasonable rate of return on the investment portfolio over the course of budgetary and economic cycles considering existing State laws, City Policies, and budgetary forecasts.

C. The investment portfolio shall remain sufficiently liquid to enable the Director of Finance to meet reasonably anticipated operating requirements.

D. The investment portfolio should be diversified. Within the universe of eligible investments as defined in ORC 135, the City and its adviser shall seek to prudently diversify the City’s portfolio by maturity, issuer, and structure of security. Diversification strategies shall be determined and reviewed periodically.

E. Investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion, and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived.

F. The Director of Finance, the City’s independent Registered Investment Advisor (“Investment Advisor”) and any officials or employees involved in the investment process shall refrain from personal business activity that could conflict with the proper execution and management of the investment program, or that could impair their ability to make impartial decisions. These individuals shall disclose any material interests in financial institutions and any personal financial/investment positions that could be related to the performance of the investment portfolio. The Director of Finance and the City Manager shall refrain from undertaking personal investment transactions with the Investment Advisor for the City.

II. Authorized Financial Institutions and Dealers: U.S. Treasury and Agency securities purchased outright shall be purchased through financial institutions located within the State of Ohio, unless specifically designated by the Director of Finance based upon recommendation from the City’s independent Investment Advisor. Repurchase Agreements shall be transacted only through financial institutions located within the State of Ohio as required in ORC 135. Certificates of Deposit shall be transacted through eligible Ohio financial institutions with FDIC coverage as designated by City Council and under the provisions of ORC 135.

The total amount of CD’s at any one financial institution will not exceed the FDIC insurance limit for that financial institution. A list of authorized institutions and dealers shall be maintained with the Director of Finance. Additions and deletions to this list shall be made when deemed in the best interest by the Director of Finance.

III. Maturity. When possible, the Director of Finance will attempt to match its investments with anticipated cash flow requirements. Unless matched to a specific cash flow requirement, the Director of Finance will directly invest in securities as follows:

Up to twenty percent (20%) of the value (computed at the time the investment is made) of the portfolio may mature or be redeemable within ten years from the date of purchase.

The remaining eighty percent (80%) of the value of the portfolio (computed at the time the investment is made) shall be invested in securities with maturity dates not exceeding 5 years from the date of settlement.

IV. Derivatives. Investments in derivatives and in stripped principal or interest obligations of otherwise eligible obligations are strictly prohibited. A derivative means a financial instrument or contract or obligation whose value or return is based upon or linked to another asset or index, or both, separate from the financial instrument, contract, or obligation itself. Additionally, any security, obligation, trust account, or instrument that is created from an obligation of a Federal agency or instrumentality or is created from both is considered a derivative instrument.

V. Allowable Investment. The Director of Finance may invest in any instrument or security authorized in ORC 135 as amended and such other securities as approved by the Council of the City of Westerville. Eligible investments, as defined in ORC 135 are attached to this Policy as Exhibit A.

VI. Collateral. All deposits shall be collateralized pursuant to ORC 135.

VII. Safekeeping and Custody. All trades of marketable securities will be executed (cleared and settled) on a delivery vs. payment (DVP) basis to ensure that securities are deposited in the City’s safekeeping institution prior to the release of funds. Securities will be held by an independent third-party safekeeping institution selected by the Director of Finance. All securities will be evidenced by safekeeping receipts in the City of Westerville’s name. The safekeeping institution shall annually provide a copy of its most recent report on internal controls - Service Organization Control Reports prepared in accordance with the Statement on Standards for Attestation Engagements (SSAE) No. 16 (formerly SAS 70).

VIII. Reporting. The Director of Finance shall establish and maintain an inventory of all cash and securities in the City’s portfolio. The inventory shall include the description of the security, type, cost, par value, market value (as prescribed by the codified ordinances), maturity date, settlement date, and coupon rate. A monthly portfolio report shall be produced detailing the current inventory of all obligations and securities, and all transactions made during the month, income received and investment expenses paid, and the names of any firms effecting transactions on behalf of the Director of Finance.

IX. Review and Updates. The Investment Advisory Committee will consist of the City Manager (or designee), Director of Finance and the external Investment Advisor for the City. The Investment Advisory Committee will endeavor to meet once per calendar quarter to review the portfolio in terms of security type, risk, economic conditions and developments and investment return. Not less than annually, the Finance and Audit Committee will meet to review the City’s investment portfolio as well as this Investment Policy.

The external Investment Advisor is authorized to execute with any approved broker offering the most effective combination of price and service. The Investment Advisor is responsible for reporting to the City regarding competitive bids and offerings. The Investment Advisor will not act as a trustee or as a safe-keeping or paying agent for the City.

X. Execution. Pursuant to ORC 135, all brokers, dealers, and financial institutions initiating transactions with the Director of Finance by giving advice or executing transactions initiated by the Director of Finance, must acknowledge their agreement to abide by the investment policy’s content. The institution below by signing submits that it has read and acknowledges this investment policy, and agrees to abide by its content.

Director of Finance:____________________

Date:________________________________

Name of Institution:__________________________

Authorized Officer:___________________________

Date:_______________________________________

EXHIBIT A

Ohio Revised Code Section 135.14

Investing interim moneys of public subdivisions.

(A) As used in this section:

(1) "Treasurer" does not include the treasurer of state, and "governing board" does not include the state board of deposit.

(2) "Other obligations" includes notes whether or not issued in anticipation of the issuance of bonds.

(B) The treasurer or governing board may invest or deposit any part or all of the interim moneys. The following classifications of obligations shall be eligible for such investment or deposit:

(1) United States treasury bills, notes, bonds, or any other obligation or security issued by the United States treasury or any other obligation guaranteed as to principal and interest by the United States.

Nothing in the classification of eligible obligations set forth in division (B)(1) of this section or in the classifications of eligible obligations set forth in divisions (B)(2) to (7) of this section shall be construed to authorize any investment in stripped principal or interest obligations of such eligible obligations.

(2) Bonds, notes, debentures, or any other obligations or securities issued by any federal government agency or instrumentality, including but not limited to, the federal national mortgage association, federal home loan bank, federal farm credit bank, federal home loan mortgage corporation, and government national mortgage association. All federal agency securities shall be direct issuances of federal government agencies or instrumentalities.

(3) Interim deposits in the eligible institutions applying for interim moneys as provided in section 135.08 of the Revised Code. The award of interim deposits shall be made in accordance with section 135.09 of the Revised Code and the treasurer or the governing board shall determine the periods for which such interim deposits are to be made and shall award such interim deposits for such periods, provided that any eligible institution receiving an interim deposit award may, upon notification that the award has been made, decline to accept the interim deposit in which event the award shall be made as though the institution had not applied for such interim deposit.

(4) Bonds and other obligations of this state, or the political subdivisions of this state, provided that, with respect to bonds or other obligations of political subdivisions, all of the following apply:

(a) The bonds or other obligations are payable from general revenues of the political subdivision and backed by the full faith and credit of the political subdivision.

(b) The bonds or other obligations are rated at the time of purchase in the three highest classifications established by at least one nationally recognized standard rating service and purchased through a registered securities broker or dealer.

(c) The aggregate value of the bonds or other obligations does not exceed twenty per cent of interim moneys available for investment at the time of purchase.

(d) The treasurer or governing board is not the sole purchaser of the bonds or other obligations at original issuance.

No investment shall be made under division (B)(4) of this section unless the treasurer or governing board has completed additional training for making the investments authorized by division (B)(4) of this section. The type and amount of additional training shall be approved by the treasurer of state and may be conducted by or provided under the supervision of the treasurer of state.

(5) No-load money market mutual funds consisting exclusively of obligations described in division (B)(1) or (2) of this section and repurchase agreements secured by such obligations, provided that investments in securities described in this division are made only through eligible institutions mentioned in section 135.03 of the Revised Code;

http://codes.ohio.gov/orc/135.08 http://codes.ohio.gov/orc/135.09 http://codes.ohio.gov/orc/135.03

(6) The Ohio subdivision's fund as provided in section 135.45 of the Revised Code;

(7) Up to forty per cent of interim moneys available for investment in either of the following:

(a) Commercial paper notes issued by an entity that is defined in division (D) of section 1705.01 of the Revised Code and that has assets exceeding five hundred million dollars, to which notes all of the following apply:

(i) The notes are rated at the time of purchase in the highest classification established by at least two nationally recognized standard rating services.

(ii) The aggregate value of the notes does not exceed ten per cent of the aggregate value of the outstanding commercial paper of the issuing corporation.

(iii) The notes mature not later than two hundred seventy days after purchase.

(iv) The investment in commercial paper notes of a single issuer shall not exceed in the aggregate five per cent of interim moneys available for investment at the time of purchase.

(b) Bankers acceptances of banks that are insured by the federal deposit insurance corporation and that mature not later than one hundred eighty days after purchase.

No investment shall be made pursuant to division (B)(7) of this section unless the treasurer or governing board has completed additional training for making the investments authorized by division (B)(7) of this section. The type and amount of additional training shall be approved by the treasurer of state and may be conducted by or provided under the supervision of the treasurer of state.

(C) Nothing in the classifications of eligible obligations set forth in divisions (B)(1) to (7) of this section shall be construed to authorize any investment in a derivative, and no treasurer or governing board shall invest in a derivative. For purposes of this division, "derivative" means a financial instrument or contract or obligation whose value or return is based upon or linked to another asset or index, or both, separate from the financial instrument, contract, or obligation itself. Any security, obligation, trust account, or other instrument that is created from an issue of the United States treasury or is created from an obligation of a federal agency or instrumentality or is created from both is considered a derivative instrument. An eligible investment described in this section with a variable interest rate payment, based upon a single interest payment or single index comprised of other eligible investments provided for in division (B)(1) or (2) of this section, is not a derivative, provided that such variable rate investment has a maximum maturity of two years.

(D) Except as provided in division (E) of this section, any investment made pursuant to this section must mature within five years from the date of settlement, unless the investment is matched to a specific obligation or debt of the subdivision.

(E) The treasurer or governing board may also enter into a written repurchase agreement with any eligible institution mentioned in section 135.03 of the Revised Code or any eligible dealer pursuant to division (M) of this section, under the terms of which agreement the treasurer or governing board purchases, and such institution or dealer agrees unconditionally to repurchase any of the securities listed in divisions (D)(1) to (5), except letters of credit described in division (D)(2), of section 135.18 of the Revised Code. The market value of securities subject to an overnight written repurchase agreement must exceed the principal value of the overnight written repurchase agreement by at least two per cent. A written repurchase agreement shall not exceed thirty days and the market value of securities subject to a written repurchase agreement must exceed the principal value of the written repurchase agreement by at least two per cent and be marked to market daily. All securities purchased pursuant to this division shall be delivered into the custody of the treasurer or governing board or an agent designated by the treasurer or governing board.