RDAP-2011-6 - 2011-09-12RESOLUTION NO. RDAP-2011-6
A RESOLUTION OF THE DEVELOPMENT AUTHORITY OF
PEARLAND (DAP), TEXAS APPROVING A CONTRACT WITH
ARBITRAGE COMPLIANCE SPECIALISTS, INC. FOR ARBITRAGE
COMPLIANCE SERVICES
BE IT RESOLVED BY DAP BOARD OF DIRECTORS:
Section 1. That contract letter for arbitrage compliance services, a copy of
which is attached hereto as Exhibit "A" and made a part hereof for all purposes, is
hereby authorized and approved.
Section 2. That the Chairman is hereby authorized to execute and the Secretary
to attest a contract letter for arbitrage compliance services.
PASSED, APPROVED, AND ADOPTED this 12th day of September, A.D. 2011.
ATTEST:
PL
ED BAKER
DAP SECRETARY
TOM REID
DAP CHAIRMAN
April 10, 2011
Ms. Claire Bogard, Director of Finance
City of Pearland ("City")
3519 Liberty Drive
Pearland, Texas 77581-5416
on behalf of:
Development Authority of Pearland ("Authority")
FOR FYE 9/30/12
COMPREHENSIVE CONTRACT LETTER FOR ARBITRAGE COMPLIANCE SERVICES
FOR THE DEVELOPMENT AUTHORITY OF PEARLAND TAX-EXEMPT BOND ISSUES
Arbitrage Compliance Specialists, Inc. ("ACS") is proposing a comprehensive contract ("Contract") to complete
and bring to current status all rebate reports through the FYE 9/30/12, pertaining to the required rebate to the United
States Treasury, Internal Revenue Service ("IRS") for all tax-exempt debt issues ("Bonds") of the Authority listed in
Exhibit A of this Contract. ACS has offered the Authority volume discounted fees of $1,250 for annual Rebate
Reports from our standard fee of $1,500.
Based on ACS' prior experience with arbitrage rebate computations for the Authority's Bonds, ACS' review of
various Authority accounting information and, ACS' experience with similar engagements of this nature and scope, we
have set forth the total contractual cost to complete rebate reports as defined in Exhibit A of this Contract to be $3,750
with a contingency of $375, for a Contract total not to exceed $4,125. The fees due for arbitrage compliance services
will be billed by ACS, based on ACS' Fees, at the time of the Report delivery to the Authority. All invoices will be paid
fo ACS by the Authorityas of the payable date of the invoice.
The scope of this Contract would cover the services, as stipulated in Exhibit A for arbitrage compliance reports.
ACS has provided for a $375 contingency budget in this Contract if the scope of the Contract needs to expand for any
services after discovery and will be based on the Fee Schedule defined in Exhibit B. ACS is the prime manager and
Contractor of this Contract and does not plan to retain or manage any subcontractors to assist with this Contract.
HEADQUARTERS: 5975 S. Quebec St. #205 • Centennial, Colorado 80111
0 800-672-9993 O 800-756-6505 0 303-756-5100 0 303-756-0901 0 www.rebatebyacs.com
LOCATIONS NATIONWIDE: AZ • CA • CO • FL • ID • NV • OK • OR '• PA • TN • TX • UT • WA
We appreciate the opportunity to present this Contract to the Authority. If we may be of further assistance, or if
°i you or any of the involved Authority personnel have any questions, please do not hesitate to call us at (800) 672-9993
ext, 7526.
Sincerely,
Arbitrage Compliance Specialists, Inc.
Dock, Pte.
Doug Pahnke, Director, Vice President
Please acknowledge acceptance of this Contract by executing and returning one copy of this letter to Arbitrage
Compliance Specialists, Inc. along with any other purchase orders or required paperwork deemed necessary by the
Authority to Arbitrage Compliance Specialists, Inc.
Acceptedby — Signature
Date
Attach Business Card here OR fill in information below
Print Name
P14410/2
Title
bentiafrutiN V aiskh
Organization
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DEVELOPMENT AUTHORITY OF,PEARLAND
ARBITRAGE AND YIELD RESTRICTION. REPORT FEES
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22 ;Tax Increment Contract Revenue Bonds, Series 2004 - 1
27 'Tax Increment Contract Revenue Bonds, Series 2005
Tax Increment Contract Revenue Bonds, Series 2009 _
SUBTOTAL
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Ms. Claire Bogard, Director of Finance
City of Pearland, Texas
3519 Liberty Drive
Pearland, Texas 77581-5416
on behalf of:
Development Authority of Pearland
April 8, 2011
EXHIBIT B
FEE SCHEDULE
FOR ARBITRAGE COMPLIANCE SERVICES
FOR THE DEVELOPMENT AUTHORITY OF PEARLAND
SERVICE -
FEE SCHEDULE:
REBATE REPORT FEES (PER YEAR):
FIXED RATE BONDS:
FIRST YEAR OF REPORT (COMPUTATION PERIOD OF UP TO ONE YEAR)
EXTENSION FEE (REPORTS IN EXCESS OF ONE YEAR, PARTIAL YEARS ARE PRORATED)
$1,250
$600
VARIABLE RATE BONDS:
FIRST YEAR OF REPORT (COMPUTATION PERIOD OF UP TO ONE YEAR)
EXTENSION FEE (REPORTS IN EXCESS OF ONE YEAR, PARTIAL YEARS ARE PRORATED)
$1,850
$700
REBATE SUPPLEMENTAL FEES:
_
BOND YEAR SLICING (PER YEAR)
$1,000
PREPARATION OF FORM 8038-T AND IRS FILING INsrRUCTIONS
ON-TIME $295
LATE $395
REFUNDING BONDS WITH TRANSFERRED PROCEEDS ALLOCATIONS
HOURLY;
RATE $150
ALLOCATION/REVIEW/ VERIFICATION OF COMMINGLED FUNDS
HOURLY;
RATE $150
OTHER CONSULTING/ IRS AUDIT ASSISTANCE/ DATA GATHERING
HOURLY;
RATE $175
YIELD RESTRICTION CALCULATIONS:
YIELD RESTRIL.IION CALCULATIONS (REPORT FEE FOR 1ST YEAR PERIOD)
$1,000
REPORTS COVERING COMPUTATION PERIOD IN EXCESS OF 1 YEAR FOR
EACH ADDITIONAL PARTIAL OR FULL YEAR
$875
PENALTY/SPENDING EXCEPTION REPORT FEES:
SPENDING EXCEPTION CALCULATIONS - PER SEMI-ANNUAL SPENDING PERIOD
$1,250