2017-29762 Reso RESOLUTION NO. 2017-29762
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER,
PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ) 2017-025-WG FOR FINANCIAL
ADVISORY SERVICES; AUTHORIZING THE ADMINISTRATION TO ENTER INTO
NEGOTIATIONS WITH RBC CAPITAL MARKETS, LLC, AS THE TOP RANKED
PROPOSER; FURTHER, AUTHORIZING THE CITY MANAGER TO EXTEND THE EXISTING
AGREEMENT WITH RBC CAPITAL MARKETS, LLC, FOR FINANCIAL ADVISORY
SERVICES, ON A MONTH-TO-MONTH BASIS, TERMINABLE BY THE CITY FOR
CONVENIENCE AND WITHOUT CAUSE, UPON THIRTY (30) DAYS WRITTEN NOTICE;
AND FURTHER, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN
AGREEMENT PURSUANT TO RFQ 2017-025-WG, UPON CONCLUSION OF SUCCESSFUL
NEGOTIATIONS BY THE ADMINISTRATION.
WHEREAS, on March 14, 2007, the Mayor and City Commission awarded a
Professional Services Agreement ("Agreement") to RBC Capital Markets, LLC, to provide
financial advisory services, for a term commencing on March 14, 2007 through March 13, 2014,
with a renewal provision specifying that the term may be extended for an additional five (5)
years, on a year-to -year basis; and
WHEREAS, following the expiration of the initial term, the Agreement was subsequently
extended annually through March 13, 2017; and
WHEREAS, on December 14, 2016, the City Commission approved the issuance of
Request for Qualifications (RFQ) No. 2017-025-WG for Financial Advisory Services; and
WHEREAS, on December 16, 2016, the RFQ was issued; and
WHEREAS, RFQ responses were due and received on January 24, 2017; and
WHEREAS, the City received proposals from the following firms: Public Resources
Advisory Group, Inc.; PFM Financial Advisors, LLC; FirstSouthwest, a Division of Hilltop
Securities, Inc.; and RBC Capital Markets, LLC; and
WHEREAS, the Evaluation Committee appointed by the City Manager pursuant to LTC#
063-2017 was comprised of Eric Carpenter, Assistant City Manager, City of Miami Beach;
Tameka Otto-Stewart, Budget Officer, Office of Budget and Performance Improvement, City of
Miami Beach; Bryan Rosenfeld, City of Miami Beach Audit Committee; and Allison Williams,
Deputy Finance Director, Finance Department, City of Miami Beach; and
WHEREAS, the Evaluation Committee convened on February 16, 2017, was provided
an overview of the scope of services, a copy of each proposal, and information relative to the
City's Cone of Silence Ordinance and the Government Sunshine Law; and
WHEREAS, the Evaluation Committee was instructed to score and rank each proposal
pursuant to the evaluation criteria established in the RFQ; and
WHEREAS, the evaluation process resulted in the ranking of proposers as follows: RBC
Capital Markets, LLC, as the first-ranked proposer; Public Resources Advisory Group, Inc., and
FirstSouthwest, a Division of Hilltop Securities, Inc, tied as the second-ranked proposers; and
PFM Financial Advisors, LLC, as the third-ranked proposer; and
WHEREAS, after reviewing the qualifications of each firm, and having considered the
Evaluation Committee's comments and rankings, the City Manager has recommended that the
Mayor and the City Commission authorize the Administration to enter into negotiations with RBC
Capital Markets, LLC, as the top-ranked proposer; and further recommends that the City
Commission approve the extension of the existing Agreement with RBC Capital Markets, LLC
on a month-to-month basis, until such time as the Administration finalizes the new agreement
pursuant to (RFQ) 2017-025-WG.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept
the recommendation of the City Manager, pursuant to Request for Qualifications (RFQ) 2017-
025-WG for Financial Advisory Services; authorize the Administration to enter into negotiations
with RBC Capital Markets, LLC, as the top ranked proposer; further, authorize the City Manager
to extend the existing Agreement with RBC Capital Markets, LLC, for financial advisory
services, on a month-to-month basis, terminable by the City for convenience and without cause,
upon thirty (30) days written notice; and further authorize the Mayor and City Clerk to execute
an agreement pursuant to RFQ 2017-025-WG, upon conclusion of successful negotiations by
the Administration.
PASSED AND ADOPTED this / day of `irC� 2017.
Alelir' ,
Philip -/tiryor
ATTEST:
7afae3 41) ^,r< T- _. Granado, City Clerk".y b� P.'?,
APPROVED AS TO
FORM &LANGUAGE
&FOR EXECUTION
" ,
City Attorney t?iA P Date
Resolutions -C7 I
M IAAA BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: March 1, 2017
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY
MANAGER, PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ)2017-025-
WG FOR FINANCIAL ADVISORY SERVICES; AUTHORIZING THE
ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH RBC CAPITAL
MARKETS, LLC,AS THE TOP RANKED PROPOSER; FURTHER, AUTHORIZING
THE CITY MANAGER TO EXTEND THE EXISTING AGREEMENT WITH RBC
CAPITAL MARKETS, LLC, FOR FINANCIAL ADVISORY SERVICES, ON A
MONTH-TO-MONTH BASIS, TERMINABLE BY THE CITY FOR CONVENIENCE
AND WITHOUT CAUSE, UPON THIRTY (30) DAYS WRITTEN NOTICE; AND
FURTHER, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN
AGREEMENT PURSUANT TO RFQ 2017-025-WG, UPON CONCLUSION OF
SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION.
RECOMMENDATION
Adopt the Resolution.
ANALYSIS
On March 14, 2007, the Mayor and City Commission awarded a Professional Services
Agreement to RBC Capital Markets, to provide financial advisory services, for a term
commencing on March 14, 2007 through March 13, 2014, with a provision therein stating that the
term could be extended for an additional five (5) years on a year to year basis. The agreement
was subsequently extended annually through March 13, 2017.
RFQ PROCESS
On December 14, 2016, the City Commission approved to issue the Request for Qualifications
(RFQ) No. 2017-025-WG for Financial Advisory Services. On December 16, 2016, the RFQ
was issued. RFQ responses were due and received on January 24, 2017. The City received a
total of four (4) proposals. The City received proposals from the following firms: Public
Resources Advisory Group, Inc., PFM Financial Advisors, LLC, FirstSouthwest, A Division of
Hilltop Securities, Inc. and RBC Capital Markets, LLC.
The Evaluation Committee appointed by the City Manager pursuant to LTC# 063-2017
convened on February 16, 2017 to consider the responsive proposals received. The committee
Page 344 of 1025
was comprised of: Eric Carpenter, Assistant City Manager; Tameka Otto-Stewart, Budget
Officer, Office of Budget and Performance Improvement; Bryan Rosenfeld, City of Miami Beach
Audit Committee; and Allison Williams, Deputy Finance Director, Finance Department.
The Committee was provided an overview of the project, information relative to the City's Cone
of Silence Ordinance and the Government Sunshine Law. The Committee was also provided
with general information on the scope of services and a copy of each proposal. The Committee
was instructed to score and rank each proposal pursuant to the evaluation criteria established in
the RFQ. The evaluation process resulted in the ranking of proposers as indicated in
Attachment A.
RBC Capital Markets. LLC (RBCCM)
RBCCM has over 105 years in structuring innovative and cost-effective financing programs
throughout the nation. RBCCM has direct experience as the City's financial advisor since 2002.
Operating since 1869, their parent company RBC has one of the highest credit ratings of any
financial institution. RBCCM is among the top 15 largest banks by market capitalization globally
and the fifth largest in North America in municipal finance. RBCCM is a full-service investment
bank with over 7,300 professionals and staff operating from 70 offices in 15 countries. RBCCM
offers the City the advantages of a global financial institution with 63 years of Florida Financial
Advisory and public finance expertise.
Public Resources Advisory Group (PRAG)
As an independent municipal financial advisor, PRAG's only business is advising state and local
governments regarding their agencies, authorities and non-profits. The PRAG senior
professionals are experienced in public finance, knowledgeable about Florida, skilled in credit
and market analysis, and are experts in quantitative modeling and financial engineering.
PRAG's professional staff are aware of, and have access to, the latest economic data and
capital market activity from real-time sources.As a result of our work with frequent issuers in the
municipal market, we are constantly reviewing the latest financial products and market
opportunities. PRAG's market information and advice is timely, accurate and independent.
FirstSouthwest.A Division of Hilltop Securities (FirstSouthwest)
FirstSouthwest is a proven leader in public finance and serves as a trusted advocate for their
clients by providing the expert financial guidance, solutions and services that achieve their
definition of success. Their relevant experience includes their previous experience as an
underwriter on the City's investment banking team. For the five-year period ending December
31, 2016, FirstSouthwest ranked #1 financial advisor in the nation based on number of issues,
serving as financial advisor on 5,183 transactions totaling $181.97billion par amount, according
to Ipreo MuniAnalytics and their internal database.
PFM Financial Advisors LLC (PFM)
PFM enjoys a long history of 41 years and has evolved into the premier Financial Advisory firm.
They have encountered numerous changes to municipal financing models and the regulatory
environment, and adapted along the way to ensure that their firm, and more importantly, their
clients, stay at the forefront of the industry. PFM offers liquidity, market access and products
offered by the full range of investment banks.Additionally, PFM provides both the full scope of
services and extensive strategic experience as well as a history of innovations while working in a
100% fiduciary role.
CONCLUSION
Page 345 of 1025
After reviewing all the submissions and the results of the evaluation process, the City Manager
recommends that the Mayor and City Commission approve the Resolution of the Mayor and City
Commission of the City of Miami Beach, Florida, accepting the award recommendation of the
City Manager, pursuant to Request for Qualifications (RFQ) 2017-025-WG for financial advisory
services, to award a contract to RBC Capital Markets, as the top-ranked proposer; and
authorizing the Mayor and City Clerk to execute the agreement upon successful negotiations by
the Administration; and further authorizing the extension of the existing agreement with RBC
Capital Markets on a month to month basis, terminable by the City for convenience and without
cause, until such time as the new agreement is executed.
KEY INTENDED OUTCOMES SUPPORTED
Ensure Expenditure Trends Are Sustainable Over The Long Term
FINANCIAL INFORMATION
Grant Funding will not be utilized for this project. Expenditures will be based on approved
available funding.
Legislative Tracking
Finance/Procurement
ATTACHMENTS:
Description
D Attachment A
D Resolution
Page 346 of 1025
6ulNuea N v N r
m
d WIw
0
J
6u��ueb cY N N
0
y 0 0 0 O
O
a3 C)
O m C) o
6UDIuea N v
0
A C 0 0 0 O
c0 C)) 8 W O
6ui,ueb N M
0
r
5 0 0 0 0
E O !) (A C)
eo
N
O
6UDfUea M N r)
O
c . ca
a
0 0 0 0
U co co co 0)
V
W_
N
O
U
G)
y (f)
8-
g
g : _
3V) O I
Q ' O
y
0 —) 0 0
J
N , •� i N
��^� < .N O
C h 'O Q
8 f6
tL O .0
tq C 3
C 7 co
9LL• (° U
.3 . 0
d d. t1 G c