Technical_Proposal_Questionnaire.pdf

LCCFO17R0007

Technical Proposal Questionnaire

Firm Name:

Address 1:

Address 2:

City, State, Zip:

Telephone:

Client Contact:

Signed:

Name (print):

Title:

Date:

5/30/2017

2 5/30/2017

Offeror must answer all questions in this questionnaire

I. Organizational Overview

1. Briefly describe the organizational structure of your company’s core business units and the percentage of revenue and earnings derived from each.

2. Please briefly describe your customer service channels, as well as any potentially assigned single points of contact for Library matters.

3. Describe any organizational changes that occurred or were announced during the past 2 years (e.g., mergers, acquisitions, structural changes, departures of key personnel).

4. What are your organization’s total assets and capital base?

5. What are your organization’s current credit ratings?

6. Provide a copy of your most recent Annual Report and SAS 70 report.

7. Briefly describe your custody service capabilities including those items that currently set you apart from your competition.

8. List and briefly describe any new custody services/product improvements that have been released in the past two years or will be released within the next year.

9. Briefly describe your bonding and liability insurance coverage. Indicate the amount carried for Errors and Omissions and for Fidelity bonding.

List any deductibles involved.

10. Provide a brief explanation and indicate the current status of any business litigation or other proceedings related to the master trust/custody business involving your firm or any officer or principal over the past five years.

11. Please describe the non-profit and public sector clients to which you provide custody services, and include contact information for at least two clients to serve as references.

12. Discuss the overall business objectives of your organization with respect to future growth. Comment on any present or planned areas of emphasis over the near future. Please comment on the possibility of a merger with or acquisition of or by another custodian. How do you resource growth and transitions?

3 5/30/2017

II. Custody Operations

13. Describe the structure of the area of your organization that provides institutional custody services and your organization’s approach to custody client staffing (e.g., team, relationship manager supported by several areas). Include a description of the client service arrangement you will provide.

14. Please provide a breakdown of your accounts by asset size and type:

Number of accounts less than $50 million and total assets; number of accounts $50-$100 million and total assets; number of accounts $100-$500 million and total assets; number of accounts $500 million to $1 billion and total assets; number of accounts greater than $1 billion and total assets.

15. Please provide the following information.

a. Mean custody account size

b. Median custody account size

c. Custody clients and custody assets gained/lost in the past two years.

d. Reasons for lost clients

e. Average number of clients assigned to Relationship Manager

f. Total employees

III. Cash Management

16. Please describe the investment guidelines and policies (risk analysis, asset allocation, average duration, quality, term structure, diversification, etc.) of your short-term investment funds.

17. What is the daily notification deadline for outgoing wire transfers?

18. What is the daily deadline for receiving incoming wire transfers in order to ensure same-day investment?

19. Please provide the typically expected processing and settlement times for various types of transactions (i.e. purchase, sale & transfer)

IV. Systems / Data Processing

20. How much downtime has the system experienced in each of the past two years?

21. How much has your organization dedicated to custody-related hardware and software enhancements/upgrades during each of the past two years as a percentage of total custody operating expenses?

4 5/30/2017

22. Briefly describe your planned system enhancements for the next three years.

23. Is the system dedicated to custody or shared with other units within your organization?

24. Is the institutional custody operation supported by a dedicated data processing, programming and application development staff? How many programmers/analysts are assigned to the area?

25. Briefly describe your custody backup, support and recovery systems and security measures in place to protect against unauthorized access to the custody system.

26. Briefly describe your online system (design, inquiry features, reporting capabilities, flexibility).

27. What is the lag time between trade execution, availability of online transaction data to the client and the posting of the transactions to your accounting system?

V. Transactions

28. Please describe the online brokerage services provided, as well as any cash management features for funding transfers.

29. Please state the deadlines for outgoing wires, for mutual fund purchases/sales, for receipt of wires in order for same day investing.

30. Describe the process for the initial purchase of a mutual fund, the ongoing purchase/sale of mutual fund shares.

31. How do you as custodian hold mutual fund shares?

32. The Library occasionally receives donations in the form of publicly traded securities; as custodian please confirm the ability to liquidate stock donations and transfer cash proceeds, as well as provide reporting on the transaction.

VI. Accounting / Reporting

33. How long before end-of-month data becomes available on reports, and is it audited?

34. Please list the available reports, their format and whether the data can be

5 5/30/2017 exported to Xcel.

35. Name and briefly describe your accounting and reporting system.

36. Describe your system of quality control to ensure reporting accuracy. Are reports audited before they are delivered to clients? Who audits and corrects reports?

37. Describe your process of restating incorrect accounting statements and publishing new reports.

38. If a report were requested on an ad hoc basis, how soon would it be available after the initial request?

39. Provide a schedule indicating the delivery time frames for unaudited and audited accounting reports.

40. Can unaudited investment information for the month be displayed until audited figures are available, for the purposes of time?

41. Are you able to provide statements on an accrual/trade date basis showing both realized and unrealized gains and including pending transactions?

42. How long do you retain historical information/statements (asset values and transactions)?

43. Describe the bank’s procedures to verify that transactions and holdings statements balance with those of investment managers. How do you resolve differences?

44. What is your source of securities prices? What procedures ensure accurate pricing? What procedures do you have in effect, if any, to flag and investigate unusual or significant pricing changes from the previous day?

45. How do you price securities that are not available from your pricing service, such as private placements?

VI. Transition Process

46. What dedicated resources (personnel, equipment, training of personnel, consultants, etc.), procedures and controls will you provide or recommend in the transition/conversion period to ensure that the transition process is completed successfully in both a timely and accurate manner?