HomeMy WebLinkAboutInterim City Manager - Interim Business Contracting OfficerCITY OF PALM DESERT
OFFICE OF THE CITY TREASURER
STAFF REPORT
REQUEST: RECOMMEND APPROVAL OF JUSTIN McCARTHY, INTERIM CITY
MANAGER, AS INTERIM BUSINESS CONTRACTING OFFICER FOR
THE CITY OF PALM DESERT'S BANKING, TRUST, AND INVESTMENT
RELATIONSHIPS.
SUBMITTED BY: Paul S. Gibson, CCMT, City Treasurer
CONTRACTOR: Not Applicable
DATE: April 28, 2016
CONTENTS: Staff Report
Recommendation
By Minute Motion, approve Justin McCarthy, Interim City Manager, as the
Business Contracting Officer for the City of Palm Desert's banking, trust, and
investment relationships, with the authority to sign related technical documents
on the City's behalf.
Committee Recommendation
Not Applicable.
Strateqic Plan Obiective
Not Applicable.
Background
Palm Desert Municipal Code Section 2.08.040 specifies that the Director of Finance for the City
of Palm Desert ("City") shall also serve as City Treasurer. The City Treasurer is the Business
Contracting Officer ("BCO") for the City's banking, trust, and investment relationships, and signs
all related technical documents. Whenever there is turnover in the City Treasurer's position, the
new City Treasurer must re -execute all of the City's bank and trust documents in order to keep
them current.
Paul Gibson, Finance Director & City Treasurer, will retire on April 30, 2016. Once Mr. Gibson
retires, he will cease being the City's BCO. At present, there is no replacement for him.
Without a BCO, the City will be unable to execute any bank, trust, or investment documents.
The need to execute such documents might arise, for instance, during the transfer of bond
Staff Report
Approval of Interim City Manager as Business Contracting Officer
April 28, 2016
Page 2 of 2
proceeds to the successor trustee or during the execution of investment brokerage contracts,
such as repurchase agreements.
Since the City Manager appoints the City Finance Director & City Treasurer, an argument could
be made that the City Manager could temporarily serve as the City's BCO. Based on the
foregoing, staff recommends that Interim City Manager Justin McCarthy be appointed as the
City's interim BCO for banking, trust, and investment relationships, with the authority to sign any
related technical documents.
Fiscal Analvsis
Without a Business Contracting Officer, the City may not be able to conduct its financial
business in a timely manner.
Submitted By:
Thomas J. Metz, eputy Citarreasurer
Approved By:
n McCartl
m
Reviewed By:
Paul S. Gibson, City Treasurer
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