Fiscal Note
The total cost of financial advisory services for general obligation and utility debt issues during 2007 are expected to approach $100,000. These costs are financed along with other transaction costs of the debt issues and will be paid from the Debt Service Fund. No impact on the property tax levy or Expenditure Restraint Program eligibility.
Title
Authorizing the City to continue to purchase financial advisory services from Springsted, Incorporated on a
sole source basis for the remainder of 2007.
Body
PREAMBLE
Summary
The City of Madison receives independent financial advisory services from the firm of Springsted, Incorporated. Originally retained on a
sole source basis, Springsted has provided an array of continuing services related to Madison's general obligation notes and utility bond sales for the past 15 years. As the City's financial advisor, Springsted has provided excellent service, and the stable relationship with a highly qualified municipal advisory firm has helped maintain the City's high credit rating. Springsted has continued to provide services during the current year in preparation for the upcoming City general obligation borrowing and the Water Utility's planned revenue bond issue later this fall.
However, the cost of the various services performed by the financial advisory firm annually exceeds the amount that would now normally require a competitive procurement process, unless the Common Council authorizes a "
sole source" exception pursuant to Sec.4.26(4), of the Madison General Ordinances. Given that a change in financial advisor at this time would be highly disruptive to the planned issuance of City of Madison and utility debt already scheduled for this year, staff requests Council authorization to continue to obtain financial advisory services from Springsted on a
sole source basis for the remainder of this year. The City Comptroller, along with staff of the City's utility operations that issue revenue debt, wi...
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