BCRUA_R-20-12-16-5A RESOLUTION NO. R-20-12-16-5A
WHEREAS, the Brushy Creek Regional Utility Authority, Inc. ("BCRUA") desires to
retain professional consulting services for investment advisory and portfolio management
services, and
WHEREAS, Patterson Capital Management, L.P. dba Patterson & Associates
("Patterson") has submitted an Agreement for Professional Consulting Services to provide said
services, and
WHEREAS, the BCRUA desires to enter into said agr£ement with Patterson, Now
Therefore
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE BRUSHY
CREEK REGIONAL UTILITY AUTHORITY:
That the Board President is hereby authorized and directed to execute on behalf of the
BCRUA an Agreement for Professional Consulting Services with Patterson Capital
Management, L.P. dba Patterson & Associates, a copy of same being attached hereto as Exhibit
"A"and incorporated herein for all purposes.
The Board of Directors hereby finds and declares that written notice of the date, hour.
place and subject of the meeting at which this Resolution was adopted was posted and that such
meeting was open to the public as required by law at all times during which this Resolution and
the subject matter hereof were discussed, considered and formally acted upon, all as required by
the Open Meetings Act, Chapter 551, Texas Government Code, as amended.
RESOLVED this 16th day of December, 2020.
Mips lhoundrocktesas sharepoml.corn/sneslAdminisuationMepartmenl FdesSCRUA(Board Packets/Packet Documentsl2020112162020/Res.BCRUA-Agmt W-Pattcrson Capdal Managemm
(0046I4MA08F8).doc
BENE FL( RES, President
Brushy Creek Regional Utility Authority
ATTEST:
"ANNE-DUFfFYecretary
AGREEMENT FOR PROFESSIONAL CONSULTING SERVICES
WITH PATTERSON CAPITAL MANAGEMENT,L.P.dba PATTERSON&ASSOCIATES
This Agreement is entered into between the Brushy Creek Regional Utility Authority (the
"BCRUA")and Patterson Capital Management, L.P. dba.Patterson& Associates (the "Consultant"),
acting by and through their duly authorized representatives, to be effective as of the day of
2020.
WHEREAS,the BCRUA desires to employ the Consultant to perform investment advisory and
portfolio management services for the BCRUA(the"Services")for a term of up to five(5)years;and
WHEREAS,the BCRUA finds that the Consultant is able to provide the Services in exchange
for the compensation in accordance with the provisions set forth below.
NOW, THEREFORE, for and in consideration of the mutual agreements, promises and
undertakings herein set forth,the parties hereby agree as follows:
1. Contractual Relationship
1.1 The BCRUA agrees to employ the Consultant, and the Consultant agrees to perform,
as an independent contractor,investment advisory and portfolio management services for the BCRUA,
as specified herein, and for having rendered such Services, the BCRUA shall pay to the Consultant
compensation as stated in the sections to follow.
1.2 The following Exhibit is hereby incorporated into this Agreement for all purposes.
To the extent that any discrepancies or conflicts exist between the Agreement and the Exhibit, the
documents shall govern in the following order:this Agreement then Exhibit A.
Exhibit A: Consultant's Proposal Response to RFP#04-016-220-
KS-050
1.3 The relationship of the BCRUA and the Consultant under this Agreement and
otherwise shall be that of independent contractors. The Consultant is not, by the terms of this
Agreement or otherwise, an agent, employee or representative of the BCRUA. Any direction or
instruction by the BCRUA or any of its authorized representatives in respect to the Services provided
by Consultant shall relate to the results the BCRUA desires to obtain from the Services,and Consultant
shall be solely responsible for determining how the work shall be performed.
2. The Consultant's Obligations
2.1 The Consultant shall provide to the BCRUA investment advisory services,which shall
include those services described in the the Consultant's Proposal Response(Exhibit A).
2.2 The Consultant agrees that Consultant is experienced and fully qualified to perform the
Services contemplated by this Agreement. All Services shall be performed with due diligence and in
accordance with the professional or industry standards, care and skill ordinarily used by a prudent
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investment advisory service provider working under similar conditions at the same time and in the
same locality. The Consultant shall be responsible, in accordance with that professional standard, for
the thoroughness of the Consultant's work,subject to the terms of this Agreement.
2.3 An authorized representative of the BCRUA shall at all times have reasonable access
to the files and personnel of the Consultant relating to the Services in order to answer any questions
the BCRUA may have relating to the Consultant's performance on the Services.
2.4 Throughout the course of the Services under this Agreement, the Consultant will: (a)
keep the BCRUA informed of its Services including, without limitation, submitting to the BCRUA
upon request, at appropriate intervals, written reports monitoring the progress of the Services, (b)
attend meetings as reasonably required by the BCRUA relative to the Services, (c) coordinate its
Services with the services of any other consultants separately engaged by the BCRUA; and(d)when
requested by the BCRUA after reasonable notice, meet with the BCRUA, the BCRUA constituent
cities,and the other consultants engaged by the BCRUA regarding the Services.
3. Financial Interest Prohibited
3.1 Consultant covenants and represents that Consultant, its officers, employees, agents,
consultants and subcontractors will have no financial interest,direct or indirect, in the purchase or sale
of any product,materials or equipment that will be recommended or required hereunder.
4. The BCRUA's Responsibilities
4.1 The BCRUA shall provide to the Consultant all of its available criteria and
requirements for the Services and all available information pertinent to the Services. The Consultant
may reasonably rely upon such information; keeping in mind, however, that the BCRUA does not
represent,guarantee or warrant to the Consultant the accuracy or completeness of such information.
4.2 The BCRUA, with the assistance of the Consultant, shall arrange for access to and
make all provisions for the Consultant to enter upon public and private property as required for the
Consultant to perform Services under this Agreement.
4.3 The BCRUA shall give prompt written notice to the Consultant whenever the BCRUA
becomes aware of any development that affects the scope or timing of the Services,or of any defect or
nonconformance in the Services or work of the Consultant.
5. Consultant's Compensation
5.1 As compensation for all the Services, the BCRUA shall pay to the Consultant a
monthly fee not to exceed one thousand eight hundred dollars ($1,800), for a total fee amount not
to exceed one hundred eight thousand dollars ($108,000) for the full term of this Agreement.
Reimbursable expenses are not authorized under this Agreement.
5.2 Payment shall be due after presentation of monthly invoices for services rendered.Each
invoice shall detail the services performed,along with documentation. All payments shall be made in
accordance with the Texas Government Code Chapter 2251,as amended,known as the Texas Prompt
Payment Act.
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5.3 In the event of a disputed or contested billing, only that portion so contested may be
withheld from payment, and the undisputed portion will be paid. No interest will accrue on any
contested portion of the billing until mutually resolved. The BCRUA will exercise reasonableness in
contesting any billing or portion thereof. Notwithstanding anything contained in this Agreement to the
contrary,the BCRUA shall not be obligated to make any payment to the Consultant if any one or more
of the following conditions exist: (a)the Consultant is in default of any one or more of its obligations
in this Agreement or otherwise in default under this Agreement; (b) any part of such payment is
attributable to services which are not performed in accordance with this Agreement; provided,
however,that payment shall be made as part thereof attributable to services which were performed in
accordance with this Agreement; (c) the Consultant has failed to make payments promptly to
contractors or other third parties used in connection with the Services for which the BCRUA has made
payment to the Consultant where the Consultant has no good faith reason to withhold such funds; or
(d) the BCRUA, in its good faith judgment, determines that the portion of the compensation then
remaining unpaid for a particular phase of the Services of the Consultant shall not be sufficient to
complete such phase in accordance with the Agreement, no additional payments will be due the
Consultant unless and until the Consultant,at its sole cost,performs a sufficient portion of the Services
so that such portion of the compensation then remaining unpaid is reasonably determined by the
BCRUA to be sufficient to so complete the Services. No partial or final payment by the BCRUA to
the Consultant is to be treated as a waiver of any of the BCRUA's rights,nor is the acceptance of any
partial payment or final payment by the Consultant from the BCRUA a waiver of any of the
Consultant's rights.
5.4 The BCRUA may make changes to the Services to be provided by Consultant pursuant
to the terms of this Agreement. If such changes affect the Consultant's cost of or time required for
performance of the Services, an equitable adjustment will be made through an amendment to this
Agreement.
6. Indemnification
6.1 With respect to claims brought by third parties against either the Consultant or the
BCRUA relating to the property or facilities with respect to which this Agreement pertains,Consultant
agrees to indemnify and hold harmless BCRUA from all claims, losses, expenses, fees including
attorney fees, costs, and judgments that may be asserted against BCRUA that result from the acts or
omissions of Consultant,Consultant's employees, if any, and Consultant's agents.
7. Term&Termination
7.1 The tern of this Agreement shall begin upon execution of this Agreement and shall
continue in effect for a term of one (1) year. The Agreement shall automatically renew for four (4)
additional one(1)year periods,unless either party notifies the other party in writing of its intent not to
renew.Consultant shall notify BCRUA in writing of its intent not to renew at least sixty(60)days prior
to the end of the current term.The BCRUA shall notify Consultant in writing any time prior to the end
of the current term.
7.2 This Agreement may be terminated by BCRUA for convenience upon notice to
Consultant.
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7.3 Upon delivery of such notice the Consultant shall,unless the notice states otherwise,
immediately discontinue all Services, proceed to cancel promptly all existing orders and contracts
insofar as such orders or contracts are chargeable to the Services, and deliver to the BCRUA all
instruments of service produced under this Agreement. Upon termination, the BCRUA will owe the
Consultant only for all compensation earned under this Agreement to date of termination.
7.4 In the event of any termination under this Article 7, the Consultant consents to the
BCRUA's selection of another Consultant of the BCRUA's choice to assist the BCRUA in completing
the Services. The Consultant further agrees to cooperate and provide any information and
documentation requested by the BCRUA in connection with the completion of the Services. Any
services provided by the Consultant which are requested by the BCRUA after termination shall be
fairly compensated to the Consultant by the BCRUA.
8. Confidential Information: Materials Ownership
8.1 "Confidential Information". The term "Confidential Information" shall mean all
information that the BCRUA has furnished or is furnishing to Consultant,whether furnished before or
after the date of this Agreement, whether tangible or intangible and in whatever form or medium
provided, as well as all information generated by the Consultant, that contains, reflects, or is derived
from the furnished Confidential Information, including, but not limited to all information obtained
during Consultant's performance of Services. "Confidential Information" shall not include: (a) any
information which was known by the Consultant prior to receipt of the same from the BCRUA; (b)
becomes rightfully known by the Consultant from a third-party source not known by the Consultant to
be under an obligation to the BCRUA to maintain confidentiality; or (c)that is or becomes publicly
available through no fault of or failure to act by the Consultant in breach of this Agreement.
8.2 Confidentiality. The Consultant agrees that Confidential Information provided by the
BCRUA to Consultant in connection with the Services is confidential information subject to the
provisions hereof. Except as otherwise provided, Consultant agrees: (a) not to disclose Confidential
Information to any third party without the prior consent of BCRUA; (b) to use such Confidential
Information for the purpose of performing the Services; and(c)to restrict disclosure of Confidential
Information to Consultant's employees and other persons performing services related to the Services
with a need to know; unless otherwise required by law. Confidential Information shall remain the
property of the BCRUA. Upon request by the BCRUA, Consultant shall return Confidential
Information to the BCRUA; provided that Consultant shall be entitled to retain file copies of any
materials prepared by it,which shall remain subject to the obligations herein.
8.3. In the event that the Consultant receives a request to disclose all or any part of the
Confidential Information under the terms of a subpoena or order issued by a court or by a governmental
body,Consultant shall:(a)notify the BCRUA immediately of the existence,terms,and circumstances
surrounding such request; (b) consult with the BCRUA on the advisability of taking legally-available
steps to resist or narrow such request;and(c)if disclosure of such Confidential Information is required
to prevent the Consultant from being held in contempt or subject to other penalty, furnish only such
portion of the Confidential Information as,in the written opinion of counsel satisfactory to the BCRUA,
it is legally compelled to disclose and to exercise its efforts to obtain an order or other reliable assurance
that confidential treatment will be accorded to the disclosed Information.
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8.4 Exception;Permitted Disclosure. The disclosure of Confidential Information by either
party shall not constitute a breach of this Agreement if(a)it is to those persons who need to know the
Confidential Information for the sole purpose of conducting the Services; (b) in response to a valid
subpoena or order by a court or other governmental body;(c)necessary to establish the rights of a party
under this Agreement, or (iv) otherwise required by law; provided, however, the Consultant shall
disclose only that portion of the Information that she is legally required to disclose.
8.5 Any and all materials created and developed by Consultant in connection with services
performed under this Agreement, including all trademark and copyright rights, shall be the sole
property of the BCRUA at the expiration of this Agreement.
9. Inspections and Audits
9.1 The BCRUA shall have the right to perform, or cause to be performed, audits of all
books, documents, receipts, expenditures, deposits, ledgers and records and any other available
information or document of the Consultant as necessary to verify the accuracy of the Consultant's
billings and inspections of all places where Services were undertaken, provided that the Consultant
shall not be required to keep such books and records longer than 3 years after the termination of this
Agreement. If an audit of the Consultant's books, payrolls and records indicates that the BCRUA has
overpaid the Consultant, the Consultant shall pay the BCRUA the amount of such overpayment
promptly upon demand, with interest at the rate of 10% per annum. The terms of this Section shall
survive the termination or expiration of this Agreement. If an audit of the Consultant's books,payrolls
and records indicates that the BCRUA has underpaid the Consultant, the BCRUA shall pay the
Consultant the amount of such underpayment promptly upon demand.
10. Waiver
10.1 No consent or waiver, express or implied, by either party to this Agreement, to or of
any breach or default by the other in the performance of any obligations under this Agreement shall be
deemed or construed to be a consent or waiver to or of any other or future breach or default by such
party. Failure on the part of any party to this Agreement to complain of any act or failure to act of the
other party or to declare the other party in default hereunder, irrespective of how long such failure
continues,shall not constitute a waiver of the rights of such party hereunder.
11. Limitations on Riehts and Remedies
11.1 The Consultant and the BCRUA agree that neither of them shall be responsible or liable
to the other for the consequences of events that are beyond the reasonable control of the other party
such as the interference by third parties,changed conditions that are not reasonably foreseeable, labor
strikes,fires,thefts or other losses,or acts of God.
11.2 The Consultant shall not be entitled to recover from the BCRUA for any indirect,
special or consequential damages, injuries or losses sustained as a result of the others' negligent
actions, inactions or omissions under this Agreement or otherwise including, but not limited to, lost
profits, lost opportunities,and/or delay damages.
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12. No Third Party Riehts
12.1 The Services to be performed by the Consultant under this Agreement are solely for
the benefit of the BCRUA. This Agreement shall not be construed as creating any contractual
relationship of any kind between the Consultant and any third party. It is the intent of the Consultant
that there are no third-party beneficiaries of this Agreement. The fact that the BCRUA may enter into
other agreements with third parties which provide the Consultant the authority to observe the work
being performed by the third party shall not give rise to any duty or responsibility on the part of the
Consultant in favor of such third party.
13. Miscellaneous
13.1 This Agreement shall be effective upon its execution by the Consultant and the
BCRUA,and shall remain in force until all obligations under this Agreement have been fulfilled,unless
sooner terminated as provided herein. Where this Agreement is entered into subsequent to the
Consultant's beginning performance of Services, the parties acknowledge and agree that this
Agreement is intended to and shall govern all Services provided by the Consultant, whether initiated
or performed prior or subsequent to the execution of this Agreement, that the effective date of this
Agreement shall be deemed to be the first date when any such services were so provided by the
Consultant and that this Agreement is intended to and shall supersede and replace any and all prior
agreements whether written or oral.
13.2 This Agreement is a commitment of the BCRUA's current revenues only. It is
understood and agreed that,in addition to all other termination rights delineated in this Agreement,the
BCRUA shall have the right to terminate this Agreement at the end of any BCRUA fiscal year if the
BCRUA Board does not appropriate funds sufficient to purchase the services as determined by the
BCRUA's budget for the fiscal year in question. The BCRUA may effect such termination by giving
Consultant a written notice of termination at the end of its then-current fiscal year.
13.3 Consultant agrees that Consultant currently does not boycott Israel, as that term is
defined in Texas Government Code Section 808.001, as amended, nor will Consultant boycott
Israel during the term of this Agreement.
13.4 This Agreement shall be construed and enforced for all purposes pursuant to the laws
of the State of Texas. All claims, counterclaims, disputes, and other matters in question between the
BCRUA and the Consultant arising out of or relating to this contract or the breach thereof shall be
decided in a court of competent jurisdiction in Williamson County,Texas.
13.5 Consultant,its consultants,agents,employees and subcontractors shall comply with all
applicable federal and state laws, the Charter and Ordinances of the member cities, as amended, and
all applicable rules and regulations promulgated by local, state, and national boards, bureaus and
agencies. Consultant shall further obtain all permits, licenses, trademarks, copyrights, and the like
required in the performance of the services contracted for herein and same shall belong solely to the
BCRUA at the expiration of the term of this Agreement.
13.6 Neither the Consultant nor the BCRUA shall assign, sublet or transfer the interest in
this Agreement without the prior written consent of the other; provided, however, the BCRUA may
assign or transfer its interest herein to any express third-party beneficiary of this Agreement and to an
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affiliate of the BCRUA or any entity which controls, is under common control with or is controlled by
the BCRUA. The obligations of the Consultant hereunder are joint and several.
13.7 This Agreement (including all documents incorporated by reference or attached as
exhibits hereto)represents the entire agreement between the Consultant and the BCRUA with respect
to the subject matter hereof and supersedes and merges all prior negotiations, representations,
discussions or agreements, either written or oral, with respect to the subject matter hereof.
13.8 This Agreement may be amended only by written instrument signed by duly authorized
representatives of both the Consultant and the BCRUA.
13.9 If a provision of this Agreement, or the application thereof to any person or
circumstances, is rendered or declared illegal for any reason or shall be invalid or unenforceable, the
remainder of this Agreement and the application of such provision to other persons or circumstances
shall be not affected thereby, but shall be enforced to the greatest extent permitted by applicable law.
The parties agree to negotiate in good faith for a proper amendment to this Agreement in the event any
provision hereof is declared illegal, invalid or unenforceable.
13.10 All notices required or permitted hereunder shall be in writing and shall be deemed
delivered three (3) calendar days after deposit with the United States Postal Service (certified mail,
return receipt requested),addressed to the respective other party at the addresses shown below:
If to Consultant: Patterson Capital Management,L.P.
901 S.Mopac
Suite 195
Austin,Texas 78746
Attention:Linda T. Patterson,President
Email Address: linda@patterson.net
If to BCRUA: Brushy Creek Regional Utility Authority
221 E. Main St.
Round Rock,TX 78664
Attention: Karen Bondy
Email Address: kbondy.@bcrua.org
With copy to: J.P.LeCompte, City Attorney
City of Cedar Park
450 Cypress Creek Rd.,Bldg. 1
Cedar Park,TX 78613
13.11 Time is of the essence of the performance of the parties' obligations pursuant to this
Agreement.
13.12 If either party places the enforcement of this Agreement, or any part hereof, or the
exercise of any remedy herein provided, in the hands of an attorney who institutes an action or
proceeding upon the same(either by direct action or counterclaim),the non-prevailing party shall pay
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to the prevailing party its reasonable attorneys' fees and costs of court. In addition to the foregoing
award of attorneys' fees to the prevailing party, the prevailing party shall be entitled to its attorneys'
fees incurred in any post-judgment proceeding or action to collect or enforce the judgment. This
provision is separate and several and shall survive the expiration or earlier termination of this
Agreement or the merger of this Agreement into any judgment on such instrument.
13.13 In the event there is a conflict between any of the provisions hereot'and any proposals,
general conditions, specifications or other agreements which may have been executed by the parties
hereto in connection with the subject matter hereof, it is understood and agreed that the provisions
hereof shall be controlling. The parties acknowledge and represent that this Agreement has been jointly
drafted by the parties and that each of them has read,understood,and approved the language and terms
set forth herein. This Agreement may be executed in multiple counterparts, each of which shall
constitute but one agreement.
13.14 Each person who signs this Agreement states that he has the express authority to sign
this Agreement and to bind the entity he represents to all of the terms and conditions stated herein.
ISI WITNESS WHEREOF, this Agreement is hereby executed as of the date first above set
forth.
[.-.CONSULTANT: ; BCRU
Name: _ -ti Name:
As Its: t. f
to the prevailing party its reasonable attorneys' fees and costs of court. In addition to the foregoing
award of attorneys' fees to the prevailing party,the prevailing party shall be entitled to its attorneys'
fees incurred in any post judgment proceeding or action to collect or enforce the judgment. This
provision is separate and several and shall survive the expiration or earlier termination of this
Agreement or the merger of this Agreement into any judgment on such instrument.
13.13 In the event there is a conflict between any of the provisions hereof and any proposals,
general conditions, specifications or other agreements which may have been executed by the parties
hereto in connection with the subject matter hereof, it is understood and agreed that the provisions
hereof shall be controlling. The parties acknowledge and represent that this Agreement has been jointly
drafted by the parties and that each of them has read,understood,and approved the language and terms
set forth herein. This Agreement may be executed in multiple counterparts, each of which shall
constitute but one agreement.
13.14 Each person who signs this Agreement states that he has the express authority to sign
this Agreement and to bind the entity he represents to all of the terms and conditions stated herein.
IN WITNESS WHEREOF, this Agreement is hereby executed as of the date first above set
forth.
CONSULTANT: BCRU
By: By: .Pic_— s
Name: Name:
As Its: As Its: A�
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Exhibit "A"
Brushy Creek Regional W ity Authority
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PROPOSAL RESPONSE
RFP #04-016-220-KS-050
INVESTMENT ADVISORY SERVICES
PREPARED BY
PATTERSON CAPITAL MANAGEMENT LP
Exhibit "A"
i
lav�'
May 10,2020
I
Finance Department
City of Cedar Park
450 Cypress Creek Road, Building 1
Cedar Park,Texas 78613
RE: RFP#04-016-220-KS-050 Investment Advisory Services
Dear Sirs:
It is with pleasure that Patterson Capital Management hereby submits its proposal in response
to your RFP # 04-016-220-KS-050 for Investment Advisory Services. The firm has thoroughly
reviewed the RFP and can definitely fulfill all the terms and conditions outlined. All questions
have been answered fully and as directly as possible. The required forms have been completed
and are included in the proposal.
Patterson Capital Management has served the Utility since 2007 as the investment adviser and
has been serving Texas public entities since 1994. Its professionals have been managing public
funds since the 1980's. We understand the scope of work, needs and constraints and are
committed to providing those services to the best benefit of the Utility.
This proposal is being delivered electronically on a USB drive in accordance with the
instructions. Should you need additional information or have questions,you may contact me as
the principal of the firm who is authorized to submit the information and/or authorized to bind
us contractually.
Linda T. Patterson,President (512)320-5042/800-817-2442
Patterson Capital Management LP linda@patterson.net
Patterson Capital Management(dba Patterson & Associates) sees its role as more than just an
investment adviser but as extended treasury staff to the Utility and wish to continue our work
with BCRUA in the future.
We appreciate the opportunity to present this proposal for this position of high public trust.
Respectfully submi d,
Linda T. Patterson
I
President
PATTERSON g ASSOCIATES INVESTMENT PROFESSIONALS
Exhibit "A"
BRUSHY CREEK REGIONAL UTILITY AUTHORITY
REQUEST FOR PROPOSAL#04-016-220-KS-050
INVESTMENT ADVISORY SERVICES
RESPONSE FROM
PATTERSON CAPITAL MANAGEMENT LP.
In response to Brushy Creek Regional Utility Authority's RFP for investment Advisory Services, Patterson
Capital Management LP, dba Patterson &Associates, is submitting this proposal in hopes of continuing
our successful working relationship with the Authority from its inception in 2007.
We have reviewed the Service Requirements in the RFP and know that we have been providing these
services and are capable of providing and very willing to continue to serve the Authority in all these
areas. The required insurance is in place along with $5 million in Errors and Omissions Insurance
coverage from Chubb.
The following are our responses to your Scope of Work questions as presented in the RFP. We have
tried to be concise in our responses and explanations but if additional information is required please do
not hesitate to contact us.
ORGANIZATION
o Describe the organization, date founded, ownership of your firm, as well as any subsidiaries
and affiliates relevant to the Utility.
Patterson Capital Management, dba Patterson&Associates,was founded in March 1994 in Austin,TX as
a SEC Registered Investment Advisory firm designed and structured to serve only public entities. The
firm is a HUB women-owned business(WBE)certified by the State of Texas and owned and operated by
a hands-on Texas principal/owner with extensive experience and knowledge of the public sector. The
firm is legally structured as a partnership and different partners have been involved for limited times in
our 26 year history. Currently, there is one sole partner/owner, Linda T. Patterson, who provides the
daily hands-on management role for the firm.
The firm is proud of its independence and has no affiliations with any bank, broker or debt advisers so
that our clients receive totally unbiased and independent advice. Our portfolio suggestions are tailored
to the Utility's needs not a deal of the day type approach. This tailoring is a definite advantage of a
small firm. It is also a benefit that we are a truly independent firm that is not connected in any way to a
brokerage firm or bank or other company. As such,we scour all the market as your independent advisor
and are not tied in any way to a broker's inventory or tied to clear through a brokerage desk. We do not
add any additional charges to trades as many advisers who are connected to a brokerage firm. All our
trade are documented to verify and clarify that you are receiving independent and objective advise and
completely competitive bidding.
Exhibit "A"
a Describe the experience of the firm in serving as cash management advisor for municipalities
and other public entities,including average investment yields.
Patterson & Associates has provided investment advisory services to only public entities for over 26
years. We currently manage over $6 billion in fixed income and money market portfolios for public
entities primarily in Texas.Our clients range from cities and school districts to higher education, utilities
and authorities, and ports/airports. We manage in Texas predominantly but also in Arizona and Illinois.
Currently we manage the Brushy Creek Regional Utility Authority and have done so since its inception in
2007. At that time, we worked directly and intensely with the Finance Directors of the three cities to
structure a portfolio and the back-up safekeeping services which would protect and serve the three
cities as envisioned and required in your charter documents.
BCRUA has been managed under the exacting parameters of the Public Funds Investment Act and its
own Policy which is applicable to all our Texas clients. We serve as investment adviser and treasury
consultant to over 45 different public entities— all with operating, bond funds and special funds like
BCRUA. The issues on all public funds are the same:safety, liquidity diversification and yield.
The firm was established to serve public entities because of our President Ms. Patterson's own hands-
on background in managing as a City Treasurer in Fort Worth and as Deputy State Treasurer of Texas.
As a City Treasurer Ms. Patterson was co-author of the Public Funds Investment Act (1987) and Public
Funds Collateral Act (1989) precisely because of her commitment to the public sector. She remains a
vital party to all amendments and bills on the Act and serves as the trainer for many professional
organizations such as TML,TASBO and regional education centers.
The firm has hands-on experience to match the challenges of today's markets and public clients. Our
staff's backgrounds include decades of work as public sector investment officers/treasurers so we
understand our clients' needs and constraints personally. The firm and its managers have extensive
experience in fixed income, clearing operations, and reporting for public entities. Since we act as
extended staff to our clients we bring our comprehensive experience into your policies, procedures and
internal controls.
Just because client types and parameters are similar does not mean that any work can be approached in
a cookie cutter fashion. Each client is unique and has its own combination of needs and controls and
risk tolerances. Therefore,we spend considerable time with each client initially and on an ongoing basis
to review and suggest practical operations, banking structures, controls, and work flows as well as
portfolio recommendations.
As part of our service all aspects of treasury support are included in the management agreement. For
example, a service coveted by many of our clients is the banking services bidding and evaluation to
establish the best working and cost effective banking and safekeeping relationships. A key to our client
relationships is open and ongoing communications.
Our experience is deep in Texas investing. We know public investing in Texas.
In discussing yields and performance on various portfolios there is not one exclusive example we can
give you since yield since all clients have different goals and objectives and differing risk tolerance and
policy limits. In fact, benchmarks are as much, if not more, about risk measurement than actual
performance, i.e. how well is this portfolio performing within its risk parameters and cash flow
Exhibit "A"
constraints. The firm will not take on any client for which it does or cannot provide material earnings
over the cost of the service. A study completed when yields were somewhat normal (1994-2005)saw at
least a 0.50%pickup in yields on our clients' portfolio—some as much as 0.75%with wider parameters.
Obviously today in a much more federally restricted environment such a spread is not possible but
taking advantage of safe investments when market aberrations occur is a hallmark of good investment
management and we strive for that every day.
We have attached in Exhibit A a history of BCRUA's portfolio experience vis-A-vis its own benchmarks.
Even with the high levels of liquidity which was required during many periods (including recent periods)
when staff was unable to authorize extensions of the portfolio as recommended,the portfolio has kept
pace with its benchmarks throughout the contract.
o Describe any censure, arbitration, or litigation involving institutional business your firm
conducts with government investors at this time or within the past ten years.
Since the firm's founding in 1994, neither Patterson & Associates nor any of its employees or partners
has ever had any SEC, Texas State Securities Board, or FINRA censure or litigation filed against it. No
complaint or action has been taken against the firm or any portfolio managers by any regulatory body.
The firm is regulated by the SEC and has had a number of SEC standard audits since incorporation all
resulting in no action letters. The firm has not been involved or subject of legal action or arbitration.
PERSONNEL
o Identify the key personnel of your staff committed to the public sector and their credentials.
All our team members have in-depth knowledge of the authorized markets and the public sector and
hone that knowledge and experience through ongoing participation in the sector. The same team that
has been working with the Utility will continue to serve it, specifically: Linda Patterson, President and
David Meserve, Portfolio Manager. In addition, our analyst and report manager, Rikki Ramirez, will
continue to work with the Utility on providing reporting. Resumes for these professionals are found in
Exhibit B showing why the experience and reputation of the firm is well known throughout Texas—and
indeed nationally.A summary of experience for each of these individuals is outlined below.
Linda T. Patterson
Our hands-on president, Linda Patterson CTP CMFA worked in public sector finance for twenty years
before forming the firm in 1994. Linda started her career as an Assistant to the City Manager in Fort
Lauderdale, Florida where she worked primarily in finance and budget areas. Linda moved to Fort
Worth in 1977 as the Finance Systems Manager to bring up a new finance system and later served as
Assistant Finance Director before her Council appointment as Deputy and then City Treasurer of the
City. Her responsibilities at the city included all treasury and cash management. In 1990 she was
appointed as Deputy State Treasurer/Director of Investments under Kay Bailey Hutchison. At State,
Linda had direct responsibility and management of all the Texas State Treasury funds including Texpool
with total state and pool assets over$20 billion. At Treasury,she directed a team of investment officers,
supervised the cash management/cash flow area, and directed FedWire operations for safekeeping.
With hands-on and management direction her work experience has encompassed all facets of treasury
work and embedded a deep understanding of the unique needs and fiduciary responsibilities of public
funds.
Exhibit "A"
As City Treasurer, Linda initiated and co-authored the Texas Public Funds Investment Act in 1987 to
open up the money markets to all Texas governmental entities. In 1989, she co-authored the Texas
Public Funds Collateral Act to assure public depository funds remain safe and secure. This work
supplemented her drive to assure that all entities have the basics of investment knowledge to protect
public assets. Since the 1980s her commitment to the public sector is shown through her active
involvement in many teaching and professional organizations such as:
- Texas Municipal League, where she teaches their investment series across the state and has for over 20
years also developing their virtual training program,
- Government Finance Officer of Texas(GFOAT),
- GFOA where she sat on the Treasury and Investments Committee for 10 years, has spoken at twelve
annual conferences,teaches GFOA national seminars,and is a frequent author,
- Association of Public Treasurers US&C where she served as a board member and officer for six years,
- Government Treasurer's Organization of Texas of which she was a founder and first President,
- Austin Association of Finance Professionals,
- Texas Association of School Board Officials (TASBO)for which she developed their investment training
certification program,
- Texas Association of Counties, where she sits on the investment advisor committee and for whom she
teaches at all their Treasurer seminars,
- Texas State CPA Society for which she teaches annually,
- Public Treasury Institute DC as teacher and author,and
- other state and local organizations.
Education of the public sector has always been a priority for Linda and thus for the firm. To support
professional education and full understanding of investments, Patterson & Associates staff play an
active role in professional organizations and frequently speak and author articles on timely topics. Ms.
Patterson has written two books on the public funds cash management and investment process.
Linda is a Certified Treasury Professional (CTP). She sits on several large city investment advisory
committees and has served on multiple state committees. She was a Board member throughout its
existence at Texas Tech University for the Southwest School of Governmental Finance from 1990
through its closure in 2007. She also made a series of investment training sessions for the Government
Services TV Network. She has an online investment training program with CPE credentials on all her
teaching.
In our team, Linda will be personally involved in the management and oversight of the District's
portfolio. She is committed to providing a safe and secure portfolio design based on your objectives. As
the President of the firm,she is committed to a long term relationship.
David Meserve
David has been a team member since April of 2017. As a registered investment advisor and portfolio
manager, David is responsible for client relations, portfolio design and management. As the portfolio
manager, David focuses on market conditions and economic forecasts which directly translate into
security, sector and service decisions in this team oriented organization. Prior to joining P&A David
worked at Charles Schwab and Edward D.Jones as an adviser. While there, David also partnered and
worked closely with participants of employer sponsored retirement plans to educate and assist
individuals in reaching their retirement and other financial goals.
Exhibit "A"
David graduated from UT's McCombs School of Business and has his bachelors from UT Austin with
specialization in Finance and Investment Management. He is studying for his CFA.
Jo Rikki Ramirez
Rikki has been an integral team member at Patterson since 2001 serving as a portfolio analyst and
heading the reporting program for our clients. Her degree in mathematics and attention to detail
combines to assure that all portfolio reports are not only exact but informative.
Rikki has spent her career in finance as a financial assistant at Verizon as financial and accounts payable
analyst. She also worked at Wells Fargo in the banking operations. Her degree is in mathematics from
the University of Texas at Austin.
Provide biographical information on investment professional who will be directly involved in
providing services to the Utility. Describe their relationship to your firm,their responsibilities,
their investment experience,specifically,in public sector cash management,and their years of
service.
Please see our response to the prior question and see the full resumes of these individuals in Exhibit B.
David Meserve will continue to work with the Utility providing the on-going portfolio management. His
job is to monitor the portfolio for opportunities and to keep the portfolio fully invested at the best then-
available rates. He monitors any maturities and excess balances comparing them to all options available
at the time and in the context of current market conditions. As part of this role he keeps your staff
aware of opportunities and advises them on the pros/cons of various investments. Communication is
key.
Describe efforts your firm makes to keep portfolio managers informed of developments
relevant to government investment managers.
As an integral part of our work, our firm and its professionals are active participants in public finance
and investment organizations at the local, state and national levels, which keep us abreast of all the
trends, needs, and information flow relevant to public entities. Our professionals not only attend but
participate in state and national meetings and are sought after as speakers and teachers on the many
cash management, banking, and investment subjects.
Not only do we make an effort to learn about relevant information, we make an effort to teach,share,
and spread ideas through our participation in these organizations. We are an active part of public
investment and public finance education. As a co-author of the PFIA and PFCA, Ms. Patterson stays
involved in all changes to and interpretation of the PFIA. Linda is an active participant each legislative
sessions to adjust and protect important safeguards in the PFIA. She is the sole teacher for investments
for TML and has been since 1997. She teaches and consults throughout the State and is a reference and
adviser of many professional organizations in Texas. Linda is also active with the Texas Association of
Counties working with their Treasurers and judges/courts on investments. She is an active member of
TASBO and their committees and has recently written their Investment programs (203A and 2038) and
manuals which she teaches for the organization also at their annual conference. She teaches at several
Exhibit "A"
Regional educational service centers and has redesigned TASBO's annual investment certification
program which she introduced in 2020 at their annual conference.
We contribute and learn from our involvement in many such public organizations like those listed
above;and GFOA state organizations in CA,OK,AZ,and NM. Linda contributed for years as a member of
the GFOA Cash (now TIM) sub-committee which developed the standard RFPs for investment advisory
services and banking services, now advocated and published by the national organization as best
practices. Linda served four terms on this committee as both a public sector participant in the 1980s
and as an adviser for six years.
Another important aspect of staying informed as a manager is market contact. Our market contacts
stretch beyond any one firm's reach because of our independence from any associated broker/dealer or
bank. Market information is constantly gathered from a wide number of brokerage firms and
economists giving us a balanced view of trends and market conditions. We do not rely on one
economist or one trader, as those with associated firms will inevitably do,and this difference means our
clients get a balanced and objective view and viewpoint.
Patterson & Associates managers work closely with all our clients to keep them informed on
investment trends and legislation as well as market conditions and the corresponding effect on their
own portfolio. Besides ongoing conversation which we encourage with clients we use a weekly
newsletter and a quarterly expanded market/economic report to keep our clients informed in addition
to our on-going conversations. We also publish white papers on key topics such as banking regulations
changes and their impact, new changes to legislation,etc.
We believe in and support open lines of communication between the investment and accounting
personnel of our clients and the Patterson & Associates management team. As part of this
communication, we share relevant information on the economy, accounting rules and regulations, and
events that affect the financial markets. We have tailored and presented in-house education sessions
for many of our clients on various topics in cash management and investing to this purpose.
We are totally public centric. We always uphold the tenets of safety, liquidity, diversification and yield
needed by every public portfolio. We stay involved to assure our recommendations and advice is in
keeping with the current situations and needs.
INVESTMENT MANAGEMENT APPROACH
o Describe your firm's approach to fulfilling the requirements of the Utility's Investment Policy.
Since we have managed the funds of the Utility since its inception we believe we understand the Utility's
objectives, cash flows, and constraints, but, like all our clients we renew and review, at least semi-
annually, those same objectives and constraints which may have changed with changing internal
circumstances from cash flow and market conditions through to Board philosophy. This process is also
taking place each time we discuss portfolio strategy and purchase/trades because our managers need to
understand the cash flow requirements and objectives of each investment in order to assure we are
meeting your objectives.
Exhibit "A"
We have several controls in place in our daily routines and policies to assure that safety comes first. No
funds or assets are ever accessed by our managers and every recommendation is first verified against
our trading desk matrices that detail policy requirements and broker authorizations. Liquidity is a top
priority so discussions of cash flows and needs are always included in our discussions as well as
referencing the current portfolio and historic cash flows before any selections are made. Diversification
is monitored on spreadsheets which can be sorted and studied for diversification as well as other
requirements. Finally,yield is important to assure that your funds are safely bringing the best returns to
the Utility. We have worked with the Utility to establish benchmarks for risk and return which are
reviewed at least monthly as we review the entire portfolio before reporting (by two managers) is
complete and sent to you.
Strategic Philosophy
Strategically our portfolio philosophy and controls will firmly adhere to your policy objectives. We
design optimal portfolios to add incremental yield without adding risk. Decisions are based on unique
cash flows and the stated objectives. Market conditions are then incorporated into the management
plan. As your'extended staff we communicate closely with you to assure that the portfolio is designed
effectively. Minimizing risk in selection,transactions and clearing is critical.Strategically we spend time
to understand unique needs.
One major area in designing a portfolio strategy is cash flow,the key to safe and effective investing.We
work closely with our clients on ongoing cash flow analysis. The analysis provides the framework for a
laddered and extended portfolio to serve both cash flow needs and core funds. Our portfolios also
contain a liquidity buffer to meet unanticipated cash needs. This cash flow road map is used to
construct a portfolio which and adapts to conditions over time. This analysis is a core tenet for success
and has protected our portfolios over 26 turbulent years in the markets.
A second strategic building block is agreement on acceptable risks: understanding your risk tolerance
level. Every risk in a strategy or a security has to be understood. We spend as much time as necessary
to discuss risks and alternatives achieving an agreed upon comfort level on each decision.
Taken together, these basic elements added to a wealth of market expertise results, over time, in
increased yield.
Tactical Portfolio Philosophy
Our tactical market philosophy can be equated to a "top down" market strategy which maintains the
overall goals and design of the portfolio but is flexible enough to react to and take advantage of
changing markets. An important element of our strategy is our team approach to evaluating and
discussing market conditions and projections. Our internal evaluations and analysis help gather and
utilize an enormous amount of information and distill it into viable strategies. We review and evaluate
opportunities for each portfolio daily. Documentation is maintained on the trading desk assuring policy
compliance and then we fully inform you of not only what we recommend, but why! Ongoing
publications keep information and communications flowing.
A master list alerts us to each maturity and call pending. Along with this, we daily review portfolios to
determine what, if any, transactions are needed. We treat portfolios, not only as series of investments
but,as a multi-celled organism designed to fulfill a purpose.
Exhibit "A"
There is no one set target or strategy for portfolios because the tactical objectives are governed by
unique needs and changing markets. We factor in unique policy requirements and restrictions to make
informed decisions on how best to place funds to work. This part of our philosophy can change almost
as rapidly as the capital markets. We are very focused on emerging trends and changes and both the
threats and opportunities these changes imply.
O Describe your primary strategies utilized to add value to the portfolio.
We are "proactive investors" changes and recommendations are made with circumstances then
prevailing that benefit the portfolio when warranted. Funds also have the underlying purpose of
liquidity and need to be available whenever the time for that purpose arrives. Keeping all these factors
in focus and in perspective keeps the portfolios and our strategy on target. This strategy has resulted in
portfolios out-performing their benchmarks for many years throughout very different market
conditions. We take considerable time to understand the use and needs of the funds we are managing
in order to set the best and most appropriate strategy. We model portfolios for optimal efficiency and
yield. These portfolio segments address and support the portfolio requirements and uses.
We see portfolios as living organisms and continuously monitor the portfolio for any trading Ideas that
might be appropriate. This monitoring takes place through a daily review of the portfolio by the team
to review the securities in place, to identify maturities and opportunities and to evaluate the options in
the market for action. Your manager maintains separate modeling files for your portfolio to ascertain
opportunities and assure compliance.
The Patterson & Associates team utilizes a number of methods for adding value to its portfolios,
including market timing, security analysis and active trading. First and foremost however in finding
value comes from our personal hands-on experience and knowledge of public finance,which translates
into practical advice and assistance.
Accurate market timing is the goal of any fund manager, although it is difficult to consistently gauge the
financial markets' movements. In addition to watching technical factors,which often produce tradable
volatility in the market, we focus on economic fundamentals to guide timing decisions. Through our
ongoing economic reports to you, we attempt to explain the impact of market moves instead of simply
reporting statistics and indicators.
Within the timing process,we concentrate on the analysis of individual securities for relative value,risk
potential and overall enhancement to the portfolio. Aberrations on the yield curve often add
significant value to a portfolio. Our ongoing independent contacts with many different trading desks
and traders provide good information on finding and judging a security's relative value. That is why we
cherish our independence. Finally, portfolio analysis is performed to determine trade effects on the
overall portfolio,its weighted average maturity and credit quality maintenance.
Trading — not churning — is an additional critical strategy for adding value to a portfolio. Market
forecasts and analyses set the overall framework for trading decisions. This information is then used for
trades, recognizing earned profits and takes advantage of yield curve aberrations and recognized
security values. Trading must take into account all the costs (transfers, safekeeping, etc.) to the client,
however, so time is taken to assure that trades always have a maximum positive impact in and to the
portfolio.
Exhibit "A"
o Describe your procedures for portfolio review,investment management and client contact.
Our team is constantly evaluating value in the markets. Through ongoing communications we would
have established a general strategy developed for you and our on-going analysis of cash flow changes
brings the immediate needs into focus. If funds are available for the purchase or trade of securities and
as value is identified in the markets that are appropriate for the portfolio we contact your staff by either
email or a call (your decision) to lay out the general objectives, the opportunity and the details of the
position. Any questions would be answered and an approval on the trade at that yield or better would
be executed.
This is why we consider all our portfolios non-discretionary because we are always checking with you
and assuring both you and us that we all understand the trade and its value to the portfolio.
Portfolios are reviewed thoroughly at least weekly and monthly as information on your cash positions
are retrieved from your liquid sources (bank accounts, MMMF, pools, etc.) for reporting. We keep in
contact through phone or e-mail (dependent on personal client preference) with any major changes in
market conditions or when funds are available through inflows or maturities/calls. Normally, we make
recommendations on reinvestment or swaps (when those are again possible!) in accordance with your
policy and our understanding of your goals. All of this requires attention to detail on our end and open
communication with you. It is dependent upon the client to respond and be willing to invest because
we will not pressure any client to leave their comfort zone.
We send weekly emails to each client to note any upcoming maturities for investment or changing cash
flow to keep you up-to-date and to better understand your ongoing needs and priorities on the funds.
In addition, we publish a weekly economic update to keep you informed of our general market
overview which affects the portfolios. Finally our economic update on the monthly and quarterly
reports as well as a longer quarterly economic piece keep everyone informed.
m Describe how your firm maintains compliance with Texas Government Code, Chapter 2256
(Public Funds Investment Act).
As noted above, our President was co-author of the PFIA and the PFCA and stays hands-on in
compliance issues. We know the Act and live it. As far as staying in compliance with clients' policies
under the Act we maintain matrices detailing each client's authorized investments and policy
parameters as well as lists of their authorized broker/dealers so that those facts are verified before any
recommendation is offered.
In addition, we work with every client every year to assure that their policy itself is in compliance with
the Act—and as importantly, that the policy reflects practicalit!es of the market. We try to advise every
client as to parameters to set in the policy and their procedures to assure safety. Our annual review of
policies for each client assures compliance as well as practical guidelines and limits to achieve their
goals.
Describe procedures to execute securities purchases/sales upon verbal instructions from
authorized Utility staff. (After a trade is executed,the advisor must confirm to the Utility by
e-mail all details of the trade including dealers contacted and the prices received. An official
trade confirmation shall be mailed to the Utility's designated representative within five
Exhibit "A"
business days of the transaction. The Utility is responsible for instructing the Custodian to
accept or deliver securities transacted through the advisor.)
Ongoing procedures are designed to assure that we give our clients full details and provide full
documentation on every action. Our procedures include multiple steps for safety and provide for full
communication and documentation. The process includes:
(1) initially sending you information on market opportunities which we fell would suit the
portfolio,
(2) discussing the trade idea with you to verify cash flow positions and verify that no internal
conditions have changed that would change the recommendation, whether it is a liquid
position or a longer security,
(3) giving you a yield or position assessment and indication for yield/return in writing, usually by
email.The recommendation can,dependent on client preference, contain multiple choices or
market indications or simply our best recommendation for the portfolio.
(4) Most importantly,you must approve of the transaction as to amount and security we
(5) execute the trade — after three (or more) competitive bids/offers from your authorized
broker/dealers. Once completed and verified with the broker. If the security has traded
away we get back in contact with you to either accept another option or start over.)
(6) we immediately document the trade on a detailed trade ticket which has full and complete
descriptive and accounting information on the transaction. The trade ticket also documents
the personal confirmations that have taken place and the three competitive trades used to
assure best competitive value for the purchase/sale.
(7) the trade ticket along with all applicable Bloomberg sheets and the brokers confirmation of
the trade is scanned and emailed to you — If it is a forward settlement we find that it is
helpful to thoroughly inform our clients of the trade but hold the trade ticket until two days
before settlement in order to assure that it is fresh on the client's mind that an action should
be taken whether moving money or informing the safekeeping agent,
(8) all brokers are directed to also forward to you a separate and independent trade
confirmation to you for verification and matching purposes,
(9) dependent on client procedures we either (a) forward a copy of the trade ticket to your
safekeeping agent (online initiation or by fax) for their further settlement purposes, or (b)
the client themselves informs the safekeeping agent(online or in writing)for settlement.
(10) On the settlement day, we monitor all trades to assure safe and timely settlement. If there
is a delay,we work with your safekeeping agent and the broker to compelte the trade on the
day scheduled.
As seen by the process,you are kept aware of all the information at every step but we so all the heavy
lifting and time consuming actions necessary to get a security bought/sold. As online settlement by
many safekeeping agents is developing we have seen the process change such that we, as your adviser,
can enter the trades on the institution's online system and then alert you for the required approval and
release. This will, we think, prove to be the most predominant methodology going forward. This
assures your ultimate control but streamlines the process and eliminates clerical errors which can delay
transactions.
This process makes all our portfolios and our advice non-discretionary because we are always checking
with you and assuring both you and us that we all understand the trade and its value to the portfolio.
Exhibit "A"
After the trade, as mentioned above, portfolios are monitored weekly and monthly on the basis of cash
positions retrieved from your liquid sources documents which we obtain, with your approval, for
streamlined reporting purposes.
til Describe procedures to provide offers/bids as requested or required for each trade and
provide monthly reports documenting total trades offered and awarded to each dealer.
As mentioned above, information on offers/bids (broker and price level or yield)that are taken on each
and every transaction are documented on the trade ticket. A prior trade ticket for the Utility is shown
in Exhibit C. The ticket shows at least three separate bids/offers from separate broker/dealers. On a
historical basis this tells us definitively how firms are contributing to best value. And, for the client it
shows you exactly where the market prices were when bids/offers were taken. This trade ticket is part
of the documentation that is maintained and sent to you on each transaction.
The Utility has never requested a monthly report of broker/dealers but such a report is available in our
system and could be added to the monthly reporting.
REPORTING
o Describe and submit samples of the records, investment reports, and market commentary
that would be provided and their frequency. Include methods and formulas (including
software)used to calculate yield and performance.
A set of the Utility's recent monthly and quarterly reports is attached in Exhibit C along with the trade
ticket currently used for the Utility.
Complete reports are created and sent each month and a quarterly report is prepared spanning the
entire quarter. All reports are in full compliance with and contain all the information required by the
Act but also contain additional information like asset allocations and updates we feel are informative. In
addition, since we believe that you deserve information and not simply data our quarterly reports are
prefaced by a brief economic summary of the month with any charts necessary for explanations as well
as a review of the changing yield curve and notes on how it is affecting your portfolio. Your portfolio is
shown in graphic form as to its asset allocation by maturity and market sector to provide full
information to your Board and management.
A weekly Economic Update newsletter is sent out with a succinct and relevant summary of the major
market actions which affect you and your portfolio. Although based on a myriad of facts and data,this
newsletter allows us to consolidate news and statistics and explain the issues without bombarding you
with sometimes disjointed statistics. It is meant to give you a view of the markets that impact your
portfolio.
In addition, when topics are critical and timely we publish white papers for our clients with an in-depth
look at issues such as legislative changes and banking regulation changes affecting the public sector.
Our portfolio management and reporting system is a stand-alone SymPro System which allows us to
tailor reports to your needs. The reports are tiered to move you from the macro portfolio level through
fund breakdowns (as applicable) down to detailed security and accounting information as well as cash
Exhibit "A"
projection reports. All calculations are SEC and AIMR compliant. Each calculation is verified against
Bloomberg calculations for the trades as an internal audit. System yields are based on the appropriate
day counts and security types involved for each specific security. All yields are quoted on a 360 and 365
basis as applicable to that particular security type. All weighted calculations(WAY and WAM)are based
on the accurate book value of the individual securities and the stated maturity of the security.
Weighted averages for maturity and yield are calculated on amortized book values and specific day
counts. All calculations use stated maturities to show maximum risk factors as required by the Act.
WAM: amortized book value by asset x remaining days to maturity for asset=A
A divided by total amortized book=WAM
WAY: amortized book value by asset x holding yield for asset= B
B divided by total amortized book=WAY
The portfolio reports on yield and not on rate-of-return (unless specifically requested). Many
investment advisers will push for rate-of-return reporting but we have and will discuss in detail with you
the reason why an essentially buy and hold portfolio should report on yield in compliance with the Act
but more importantly in keeping with the tenor and structure of your portfolio. Rate of return is
designed for highly active trading portfolios which are tied to an index just like duration is really only
applicable in portfolio and securities longer than two years. The Utility's portfolio is not and should
instead reflect the objectives of the policy.
All GASB reports prepared annually at the Utility's fiscal year end will be in full compliance with GASB
Standards 31,40 and 72. Fair market values for the reports, like those on every monthly and quarterly
report are obtained from a totally independent pricing service(ICE Data Service).
u Describe the process the firm would go through to assist in identifying appropriate industry
benchmarks.
We have always recommended that benchmarks be established as part of all clients' policies and be
reflected in the reporting. We have done this with the Utility and think the benchmarks in place should
remain in place. Benchmarks reflect the two primary factors guiding a portfolio: anticipated cash flow
(and WAM) and the authorized markets in which the portfolio may invest. Since the US Treasury
market forms the bellwether for the markets used by the portfolio and the portfolio is naturally
constrained by its cash flow needs. For many years we have recommended that the Utility use multiple
benchmarks (the six month and one-year Treasury Bill)for the comparable periods between which the
portfolio fluctuates.
Benchmarks are as much, if not more, about risk than about performance. Setting a benchmark too
high will create the need to reach that goal, which will be reached only through the addition of risk to
the portfolio. Safety has to be foremost in this practice also. The use of multiple benchmarks can also
indicates to the reader of the reports an important aspect of the yield curve which will be influencing
the portfolio as well as cash flow fluctuations. For example,an extremely flat yield curve reflected in the
benchmarks indicates why a portfolio might be kept short. When rates are dropping the portfolio
should be extending. As with all reporting, as long as the information is truly revealing, it aides to have
it in the policies and reports. We pride ourselves on making our reports (and reviews) all about
information not data.
Exhibit "A"
FEES
a Provide Base rate for quarterly investment portfolio reporting.
Patterson Capital Management is proposing a quarterly$6,000 fee which encompasses all the services
provided by the firm ($2,000 per month). This is an increase from the fee that has been charged the
Utility since 2007 and recognizes the changes in inflation and our costs over that 14 year period.
a Provide Hourly rate for investment advisory services,including:
o Recommendations for investment policy and strategy,and
o Consultation and execution of security purchases.
All services for management and treasury consulting (of any area) and reporting are totally
encompassed in the quarterly fee noted above. There are no additional fees for any service. If the
Utility would prefer only recommendations as needed it would be at $200 per hour. The same rate
would apply to consultation and execution on security purchases. Unfortunately when you remove an
ongoing communication you also remove an understanding of the portfolio and its needs which serve to
make better transaction decisions. If reporting only was desired it would be set at a $500 per month
level.
o The Utility reserves the right to clarify and/or negotiate fees prior to contract approval.
Agreed.
OTHER CONSIDERATIONS
o Describe the firm's experience I developing Texas PFIA-compliant investment policies.
We work with each of our clients on at least an annual basis to review both the investment policy and
written strategies required under law (along with broker/dealer lists). Our ongoing discussions aide us
making sure those recommendations and changes actually fit the organization. This is also something
that we provide continuously to consulting only clients and it would be nearly impossible to estimate
how many investment policies we have created and tailored for public entities.
We noted above Ms. Patterson's authorship of the PFIA and PFCA. Starting with that work in the 1980's
she has been offering and teaching how to develop investment policies that actually fit an entity and
serve its objectives. She has written two books covering this process. We do not do cookie cutter
recommendations. We spend time with any entity to understand the situations and controls needed in
each policy. We believe the policy must comply with the Act but also contain additional internal and
portfolio controls. We also normally include the collateral policy in this policy as required by PFCA.
Portfolio management guidelines (including controls) must be put in place for safety and to fulfill your
and our fiduciary responsibilities. Ms. Patterson has incorporated these into our client support structure
as well as being a leading national teacher on developing them in all types of entities.
Exhibit "A"
Describe the firm's approach to managing relationships with the broker/dealer community.
As a totally independent firm that manages over$6 billion in assets and which is in the market every day
we have established a great relationship with a large stable of trusted and valuable broker/dealers.
Some of these focus on certain markets and do not apply to all clients so the choice of recommended
broker/dealers will change from client to client but include all that we have seen bring consistent value.
We are constantly monitoring the value each broker/dealer provides to our clients and the
competitiveness of their bids/offers and we feed this information back to them on an ongoing basis to
assure ongoing competitiveness. Since we are not constrained by any one trading desk or economist we
can search out the best brokers because of our independence. By monitoring their actions and
responsiveness we maintain a list that is bringing our clients the best value.
Other RIAs often bring a trade through their brokerage subsidiary (or another subsidiary's brokerage
side) — whether for convenience or profit — but you as the client are then unaware of the actual
competitive markets investigated and prices obtained. With P&A,our trade tickets show you exactly the
exact competitive bidding results and all securities are delivered versus payment directly to your
safekeeping agent from the counter-party. There is no intermediary movement of the security through
the RIAs brokerage offices which obfuscates the true nature, price and origin of the trade. We feel this
is a critical element of the independence that an RIA needs to maintain.
o Describe any assistance the firm would provide in reviewing custodial and safekeeping
agreement.
Because we deal with a multitude of different safekeeping and custodial relationships for each of our
clients, we are very familiar with the terms and conditions and pricing of many institutions. In addition,
since safekeeping and custody are a part of the banking services for which we consult we stay on top of
all the variations and changes in that area. We include reviews of agreements and situations on all
custody and safekeeping in our total consulting package under this contract. BCRUA has an unusual
situation with the"silo"structure we helped develop with its custodians. It is complex but necessary to
maintain the separation and fiduciary reporting required by the three entities. We worked with and
helped establish that arrangement at its inception and have been working with it for many years. We
have some ideas about how to modify the relationship going forward while maintaining that fiduciary
responsibility and will be glad to address it with you.
® Describe the training and education services provided to Utility staff.
As noted above, education is a key element of our firm.All our training is CPE certified. We have noted
how active our staff is on a daily basis and with many professional organizations to provide practical and
informative treasury training. We offer that same training to all our clients individually or in geographic
regions where there are several clients. For example,we have had full(and CPE certified)training for all
our clients in the Austin area several times over the years and have also provided like training in Corpus
Christi and Dallas.
We can and do tailor training to encompass hands-on market information and economics while
incorporating all the requirements of the PFIA. We find that training one-on-one provides an excellent
opportunity for clients and our staff to understand needs and restrictions in the marketplace. All on-site
training required by BCRUA will be part of our overall advisory contract.
Exhibit "A"
g Describe the nature and frequency of meetings the firm would recommend to keep the Utility
staff informed.
At a minimum,we would suggest our participation in finance quarterly meetings to discuss the portfolio
and the markets that are affecting the portfolio. We are local so we are available to any of the three
entities to meet at any time.
OTHER INFORMATION
a Provide a copy of the firm's ADV on file with the SEC or the State Securities Board of Texas.
The most current ADV Parts I and II are found on the FINRA/SEC website (SEC.gov) under our ID #
110735,or,at
http:/ files.Qatterson.net/ADV.Part.1.2020-02-11.pdf
http://flles.patterson.net/ADV.Part.2A.Brochure.2020-01-31.pdf
Institutional investment advisory firms are no longer registered with the State Securities Board. Several
years ago a differentiation was made and the institutional advisory firms are only registered with the
SEC and FINRA and advisers with assets under $10 million (such as Personal Financial Planners) are
registered by their respective states and not the SEC. We have $6 billion under management so are
registered only with the SEC.
o Provide proof of registration with the State Securities Board of Texas and/or the Securities
and Exchange Commission.
Direct proof of registration with the SEC is best obtained by accessing the SEC website under our
registration number: 110735. Please see https://adviserinfo.sec.gov/firm/summary/110735
o Provide a list of at least three (3)Texas public client references,including contact persons and
telephone numbers.
We could of course include the City of Leander and the City of Cedar Park on our list of clients from
whom a reference could be obtained. We have in addition, worked with the City of Round Rock on
several occasions and would list them as central Texas references. We have listed a few other clients
that we fell are similar to the Utility in portfolio and practice.
City of San Angelo
Michael Dane,Asst.City Manager 325-657-4241
Michael.dane@cosatx.us
City of Midlothian
Suzanne McKenrick,Asst Finance Director 972-775-7132
Ann Dozer, Finance Director Suzanne.McKenrrick@midlothian.tx.us
Belton ISD 254-215-2006
Jennifer Land, CFO jennifer.land@bisd.net
Exhibit "A"
City of Corpus Christi 361-826-3651
Judy Villalon, City Treasurer judyav@cctexxas.com
Either be completely independent of any financial institution or securities brokerage firm; or
fully and continuously disclose any relationships with such financial institution(s) and/or
securities brokerage firm(s), and further disclose any commissions, bonuses, or soft dollar
payments resulting from the firm's relationship with the Utility.
Agreed.
Any SEC registered investment adviser contract must include a clause that the adviser will notify all
clients of any change in ownership.
As noted above, Patterson &Associates is proud to be totally independent from any financial institution
or brokerage firm. We believe that, in accordance with SEC rules, an investment adviser must be a
fiduciary for its clients and serve those clients in a totally independent environment. Without that
independence lines are blurred, priorities are compromised, and competition is not always the highest
priority.
Our Code of Ethics and our Personnel Policy strictly prohibits any and all soft dollar arrangements with
any firm and will continue to do so. All our advisers are strictly on a salaried basis.
Exhibit "A"
4. PRICING
The undersigned hereby declares: to have carefully examined the contract documents, including
all addenda; have a clear understanding of said documents and premises; propose to provide the
necessary tools, machinery, apparatus and other means of maintenance; and to furnish all labor,
materials and services specified in the contract or called for in the contract documents for the prices
as indicated below.
CONTRACT TIME:The proposer agrees,if awarded the Contract,to commence work
within ten (10) calendar days after receipt of a notice of award or in accordance with
the schedule provided by owner. The term of this agreement shall be for one year,
beginning on the date of the execution of the agreement,and shall automatically renew
as set forth in Section 2.3.7, herein.
DOCUMENTS: Each proposer by submittal of their RFP response represents and
warrants that they are satisfied as to the requirements and provisions of the RFP for this
project a5d the docume5t#escribing the scope of work.
S N URE Date
NAME&ip-a
E
rID�3�/.
FEDERAL EMPLOYER'S IDENTIFICATION NO.
-14-
Exhibit "A"
5. DEMONSTRATION OF EXPERIENCE
Years in business under present business name: Twenty-six(26)Years, Founded March 1994
Total years of experience in work of the type called for in this contract:
Our President and Owner, Linda T. Patterson, has been managing Texas public funds at the city and
state level since 1983.
List in table below the contracts of similar scope and scale to the Utility's RFP has your organization
completed. List most recent first:
In our 26 years as Patterson Capital Management LP we have more clients — both investment
management and treasury consulting—than can be reasonably listed here. We currently have over 45
clients and the names and the entities are proprietary information. We have however listed below
ten clients whose portfolios are currently being managed by Patterson Capital Management.
We are choosing to not provide the contract dollar amount for any of the contracts as that is
proprietary information from the firm. If we are chosen for the contract we will certainly provide this
information but feel it is not relevant — especially since BCRUA knows what the firm has charged
BCRUA since 2007 when we aided in developing the policies,structure, portfolio and management of
the funds. We have listed the entity's name in lieu of that information. In addition, all these clients
are currently being managed so no completion date is being provided.
Public Entity Type of Work Date Completed Contact Information
City of San Angelo Investment Advisory On-going Michael Dane
City of Midlothian Investment Advisory On-going Suzanne McKenrick
City of Waco Investment Advisory On-going Janice Andrews
Plfugerville ISD Investment Advisory On-going Dorothy Wright
City of Cedar Park Investment Advisory On-going Robert Powers
City of Leander Investment Advisory On-going Kent Meredith
Port of Corpus Christi Investment Advisory On-going Kent Britton
City of Corpus Christi Investment Advisory On-going Judy Villalon
Eanes ISD Investment Advisory On-going Christopher Scott
TX State Affordable Investment Advisory On-going Melinda Smith
Housing Authority
List in the table below what contract your organization currently has:
As noted above the firm has over 45 clients currently for investment management and many more
which we serve for just investment portfolio reporting or treasury consulting (primarily bank
consulting and merchant services consulting). The list above has ten of our current clients listed.
These are ongoing contracts so no completion date is applicable.
Exhibit "A"
Have you ever failed to complete any contracts awarded to you/the firm?
Yes X No
If"Yes",state where and why.
Are you at present in any major litigation or lawsuits involving work of any type?
Yes X No
If"Yes",explain.
Explain in detail the manner in which you have inspected the work proposed in this contract.
We have closely examined the Scope of Work required and compared it to services now being provided
to BCRUA as well as other clients and are confident that our proposed work plan will continue to serve
the Utility.
Exhibit "A"
6. VENDOR PROFILE
Company Name or dba: PATTERSON CAPITAL MANAGEMENT LP
dba Patterson&Associates
Telephone numbers:
Phone: 800-817-2442 or 512-320-5042
Fax: 512-320-5041
If there is o toll free number,does the company accept collect calls? N/A
Corporate Contacts for this Proposal:
Name: LINDA T. PATTERSON,President and Owner
Address: Barton Oaks Plaza II,Suite 195
901 South Mopac
City,State,Zip: Austin,Texas 78746
Phone: 800-817-2442 or 512-320-5042 Fax: 512-320-5041
E-Mail: linda@patterson.net
Website: www.13atterson.net
If local contact is the same as corporate check here: -4-Same Contact
Number of years the company has been in business under this name: Twenty-six(26)years
Other company names used with dates,from/to: None, Not applicable
Exhibit "A"
7. PROPOSAL RESPONSE FORM
By signing and submitting this proposal, Proposer acknowledges that they have inspected
the specifications, are capable and willing to perform and/or provide the required services
and/or products,and shall complete this project within the amount of time and dollar amount
specified. The undersigned certifies that the prices contained in this Proposal have been
carefully checked and submitted as correct and final. All unit prices include the cost of
delivery. The undersigned is authorized to bind themselves or the entity they represent to a
contract.
An individual proprietorship Y A partnership
A corporation chartered under the laws of the State of ,acting by its
offic rs pursuant t by-laws or a resolution of its Board of Directors
Signature:
Printed Name: ;LJA DX 7 A 7-
Title:
Title: 71 D E V—(
Date:
-�s-
Exhibit "A"
8. REFERENCES
Proposer shall submit a list of at least three (3) references for which the Proposer has provided like
products or services. References will include contact name and telephone number, Proposals
submitted without three references may be disqualified from consideration. Cedar Park/Austin are
references are preferred.
Company: City of Leander
Contact Name: Robert Powers Phone Number:512-528-2734
Email: rpowers@ci.leander.tx.us
Company: City of Cedar Park
Contact Name: Kent Meredith Phone Number: 512-401-5156
Email: Kent.Meredith@cedarparktexas.gov
Company: Texas State Affordable Housing Authority
Contact Name: Melinda Smith Phone Number: 512-477-3555
Email: msmith@tsahc.org
Company: Belton ISD
Contact Name: Jennifer Land Phone Number: 254-215-2006
Email: Jennifer.land@bisd.net
Exhibit "A"
9. DEVIATION OR COMPLIANCE FORM
Deviations: In the event the undersigned Proposer intends to deviate from the general terms,
conditions, special conditions or specification contrary to those listed in the "Terms and Conditions"
and other information attached hereto, all such deviations must be LISTED ON THIS PAGE WITH
COMPLETE AND DETAILED CONDITIONS AND ENFORMTATION ALSO BEING ATTACHED (ATTACHE
ADDITIONAL PAGES AS NECESSARY).
NO DEVIATIONS: I THE ABSENCE OF ANY DEVIATION ENTRY 0 THIS PAGE, Proposer assures the Utility of
Proposer's compliance with the Terms,Conditions,Specification,and Information contained in this RFP.
Deviation# Deviation Title RFP Reference Detailed Deviation Description
All Proposers MUST COMPLETE this page.
RETURN with Proposal or Proposal will be considered NON RESPONSIVE.
Our Proposal is submitted according to: Deviations listed above
OR X No Deviations
Exhibit "A"
10. RELEASE AND INDEMNIFICATION
TO THE MAXIMUM EXTENT PERMITTED BY LAW, PROPOSER HEREBY
AGREES AND CONSENTS FOR ITSELF,INDIVIDUALLY,AND ON BEHALF OF
THE BUSINESS ENTITY, TO FULLY AND UNCONDITIONALLY RELEASE,
INDEMNIFY, DEFEND, AND HOLD HARMLESS THE BRUSHY CREEK
REGIONAL UTILITY AUTHORITY,INCLUDING ITS OFFICERS,AGENTS AND
EMPLOYEES, AND TO DEFEND AND HOLD IT HARMLESS FROM AND
AGAINST ANY AND ALL COSTS, EXPENSES, ATTORNEY FEES, CLAIMS,
SUITS, DEMANDS, LOSSES, OR LIABILITY FOR INJURIES TO REAL OR
PERSONAL PROPERTY AND INJURIES TO PERSONS INCLUDING DEATH,
INCLUDING PROPOSER'S EMPLOYEES, AFFILIATES, REPRESENTATIVES,
PARTNERS, AGENTS, OR THOSE WORKING ON PROPOSER'S BEHALF,
FROM ANY AND ALL OTHER COSTS,EXPENSES,ATTORNEY FEES,CLAIMS,
SUITS, DEMANDS, LOSSES OR LIABILITIES OF ANY AND EVERY NATURE
WHATSOEVER ARISING IN ANY MANNER, DIRECTLY OR INDIRECTLY,
OUT OF OR IN CONNECTION WITH ANY CONTRACT AWARDED PURSUANT
TO THIS RFP AND IN THE PERFORMANCE THEREOF, REGARDLESS OF
CAUSE OR OF THE SOLE, JOINT, COMPARATIVE OR CONCURRENT
NEGLIGENCE OR GROSS NEGLIGENCE,SAVE AND EXCEPT THE SOLE AND
EXCLUSIVE NEGLIGENCE OF THE UTILITY. THIS PROVISION SHALL
APPLY TO ALL IMPUTED OR ACTUAL JOINT ENTERPRISE AND JOINT
VENTURE LIABILITY,IF ANY.
.-
Signature:
Printed Name: ZIA)Z.W % rA $D+t)
Title: _ ,`$/PE
Date: 7 ��1-4Do?G
-21 -
Exhibit "A"
11. NON-COLLUSION ACKNOWLEDGEMENT
The undersigned Proposer affirms that they are duly authorized to execute this Proposal,that
this company, corporation, firm, partnership or individual has not prepared this Proposal in
collusion with any other Proposer,and that the contents of this Proposal as to prices, terms
and conditions thereof have not been communicated by the undersigned Proposer, nor by
Proposer's employee, affiliate, representative,partner, subcontractor,or agent, to any other
individual or entity engaged in this type of business prior to the official opening of this RFP.
Company Name: 7TI�SO0 G4PJ-) AC 1/J / e M C 4 T �. !
Signature of Company Officer:
Company Officer Printed Name: l/xmw
Title r
_22_
Exhibit"A"
12. SUSPENSION OR DEBARMENT CERTIFICATE
Non-Federal entities are prohibited from contracting with or making subcontract awards
under covered transactions to parties that are suspended or debarred or whose principals are
suspended or debarred. Covered transactions include procurement for goods or services
equal to or in excess of $100,000.00. Contractors receiving individual awards for
$100,000.00 or more and all subcontract recipients must certify that the organization and its
principals are not suspended or debarred.
By submitting this offer and signing this certificate,Proposer certifies that no suspension or
disbarment is in place,which would preclude receiving a federally funded contract under the
Federal OMB,A-102,Common Rule,as may be amended.
7
Company Name: Ti 2SOIVGOPURC 14 An06erd ofnT L�
Signature of Company Officer: L0_10��
Company Officer Printed Name:
Title 7414e-S I PWT
-23-
Exhibit "A"
13. COOPERATIVE PURCHASING
Interlocal Cooperative Contracting/Purchasing:
The authority for local governments to contract with one another to perform certain
governmental functions and services,including but not limited to purchasing functions,
is granted under Government Code, Title 7, Chapter 791 Interlocal Cooperation
Contracts, Subchapter B and Subchapter C, and Local Government Code, Title 8,
Chapter 271, Subchapter F, Section 271.101 and Section 271.102.
Other governmental entities within the State of Texas may be extended the opportunity
to purchase off of the Brushy Creek Regional Utility Authority's RFP,with the consent
and agreement of the successful Proposer(s) and the Brushy Creek Regional Utility
Authority. Such consent and agreement shall be conclusively inferred from lack of
exception to this clause in Proposer's Proposal. However, all parties indicate their
understanding and all parties hereby expressly agree that the Brushy Creek Regional
Utility Authority is not an agent of, partner to, or representative of those outside
agencies or entities and that the Brushy Creek Regional Utility Authority is not
obligated or liable for any action or debts that may arise out of such independently-
negotiated cooperative procurements.
Other governmental entities utilizing Interlocal agreements with the Brushy Creek
Regional Utility Authority, may desire, but are not obligated, to purchase goods and
services defined in this Proposal from the successful Proposer. All purchases by
governmental entities, other than the Brushy Creek Regional Utility Authority, will be
billed directly to and paid by that governmental entity. The Brushy Creek Regional
Utility Authority will not be responsible for other governmental entities debts. Each
governmental entity will place their own orders with the successful Proposer and be
responsible for ensuring full compliance with the specifications.
Prior to other governmental entities placing orders, the Brushy Creek Regional Utility
Authority will notify the successful Proposer of their intent.
Please indicate below if you will permit other governmental entities to purchase from
your agreement with the Brushy Creek Regional Utility Authority.
[ Wl es, others can purchase; [ ] No, only the Brushy Creek Regional Utility
Authority can purchase.
Signature:
Printed Name: IAJop
Title: ar'I
Date: "z "moo O
-24-
Exhibit "A"
14. CONFLICTS OF INTEREST
The Texas Ethics Commission adopted the attached Conflict of Interest Questionnaire (Form CIQ)
pursuant to Texas Local Government Code Chapter 176,as amended. For questions about these forms,
please see the Texas Ethics Commission at:
; ?[I
https://ethics.state.tx.us/forms/CIQ.pdf
o 2H 1245 C 1 q cs A
15. DISCLOSURE OF INTERESTED PARTIES
Prior to entering into a contract that is at least $1 million in value, the Proposer must submit a
"Certificate of Interested Parties" Form, in accordance with Texas Government Code Section
2252.908, as amended. Within 30 days of receipt of the form, the Utility must submit a copy to the
Texas Ethics Commission.The Certificate of Interested Parties form is attached.
-25-
CERTIFICATE OF INTERESTED PARTIES FORM 1295
101`1
Complete Nos.1-4 and 6 if there are interested parties. OFFICE USE ONLY
Complete Nos.1,2,3,5,and 6 if there are no interested parties. CERTIFICATION OF FILING
1 Name of business entity filing form,and the city,state and country of the business entity's place Certificate Number:
of business.
2020-698252
Patterson&Associates
AUSTIN, TX United States Date Filed:
2 Name of governmental entity or state agency that is a party to the contract for which the form is 12/11/2020
being filed.
Brushy Creek Regional Utility Authority Date Acknowledged:
12/14/2020
3 Provide the identification number used by the governmental entity or state agency to track or identify the contract,and provide a
description of the services,goods,or other property to be provided under the contract.
n/a
Investment Advisory Services
4 Nature of interest
Name of Interested Party City,State,Country(place of business) (check applicable)
Controlling Intermediary
5 Check only if there is NO Interested Parry.
X
6 UNSWORN DECLARATION
My name is and my date of birth is
My address is
(street) (city) (state) (zip code) (country)
I declare under penalty of perjury that the foregoing is true and correct.
Executed in County, State of on the day of ,20
(month) (year)
Signature of authorized agent of contracting business entity
(Declarant)
Forms provided by Texas Ethics Commission www,ethics.state.tx.us Version V1.1.cd34673b
CERTIFICATE OF INTERESTED PARTIES
FORM 1295
1of1
Complete Nos. 1-4 and 6 if there are interested parties. OFFICE USE ONLY
Complete Nos.1,2,3,5,and 6 if there are no interested parties. CERTIFICATION OF FILING
1 Name of business entity filing form,and the city,state and country of the business entity's place Certificate Number:
of business. 2020-698252
Patterson&Associates
AUSTIN, TX United States Date Filed:
2 Name of governmental entity or state agency that is a party to the contract for which the form is 12/11/2020
being filed.
Brushy Creek Regional Utility Authority Date Acknowledged:
3 Provide the identification number used by the governmental entity or state agency to track or identify the contract,and provide a
description of the services,goods,or other property to be provided under the contract.
n/a
Investment Advisory Services
4 Nature of interest
Name of Interested Party City,State,Country(place of business) (check applicable)
Controlling I Intermediary
5 Check only if there is NO Interested Party.
X
6 UNSWORN DECLARATION
My name is_LA)0h 7 PA�, and my date of birth is �
BF►2Yon OAKS PiLiZo "i�, s i F_ IciS _ !'/
6
My address is�1 S 010� �()S! y 1574
(street) (city) (state) (zip code) (country)
I declare under penalty of perjury that the foregoing is true and correct.
Executed in L(Z-I9 L) 1 S County, State of r! on the /I day of V 20,2�Q.
(month) (year)
>6natufe of authorized agent of contracting business entity
(Declarant)
Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.1.cd34673b