cdn.ymaws.com€¦ · Web viewemployment responders Until contract award, Responders shall not, directly or indirectly, solicit any employee of the County to leave the County’s

Winston F. McCollDirector

County of San DiegoDepartment of Purchasing and Contracting

10089 Willow Creek Road, Suite 150, San Diego, California 92131-1699

PHONE (858) 537-2500FAX (858) 715-6452

June 30, 2008

REQUEST FOR STATEMENTS OF QUALIFICATION (RFSQ) 3172FOR INVESTMENT SERVICES

The County of San Diego, on behalf of the Office of the Treasurer-Tax Collector, is requesting Statements of Qualification (“SOQ”) from firms qualified to transact securities with the County Treasurer's Office in the capacity of broker/dealers, direct issuers, and counterparties to specialized securities contracts. Interested parties may apply to one or more of the following categories for inclusion the County’s approved lists:

o General fixed- and variable-rate securities o Direct issuers o Repurchase agreementso Reverse repurchase agreementso Call/Put options

For consideration in each of the categories above, please complete the matrix and answer each applicable question in Section E – Statement of Qualifications Questionnaire. To the extent questions relate to a category for which you are not applying, for example, call/put options, simply indicate “not applicable” or “N/A.”

The County will generate lists of approved broker/dealers, direct issuers and counterparties to serve the County in each category based on the responses received from this RFSQ. The County intends to select several firms in each category. For specific transactions, the County will only solicit a group of pre-qualified firms for additional information and/or a fee proposal. To ensure that the County receives the best pricing and execution available, a minimum of three pre-qualified firms will be considered for each transaction. The County intends to rotate the pre-selected firms that are solicited for each transaction.

The term “broker/dealer” as used herein shall be inclusive of broker/dealers, direct issuers and counterparties, unless otherwise stated. In order to ensure that the County’s approved lists reflect the most qualified firms, all prospective broker/dealers must complete the Request for Statement of Qualifications (RFSQ) process to be considered. Only those firms that are on the County’s approved lists may transact securities with the County Treasurer's Office.

Important Note: Any conversations or communications concerning this RFSQ with any County employee or official (other than the Contracting Officer involved in this process) prior to contract award are prohibited and shall be grounds for disqualification of your organization. However, if you are currently engaged by the County and provide services to the County on an ongoing basis, your communications with County employees, officials or other personnel regarding day-to-day services, and not regarding this RFSQ, may continue as usual. The County's policy restricting communications pertaining to this RFSQ is not intended to interfere with the County's ongoing, normal communications with its current providers.

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PROCESS

The County of San Diego is undertaking this procurement process to select qualified broker/dealers, direct issuers and counterparties. This process ensures an open competitive process for all interested broker/dealers to compete. The County, based on the criteria stated herein, will establish new lists of approved broker/dealers, direct issuers and counterparties. All Responders, whether selected or not, will be notified in writing of the final decision. The assignment term of these lists is intended to be August 5, 2008 through August 4, 2010 with two one-year renewal options. During this term, the County will transact securities only with those firms on the County’s approved lists. The Office of the County Treasurer makes no explicit agreement or arrangement to transact future business with all of the broker/dealers, direct issuers and counterparties who are admitted to the County’s approved lists.

For broker/dealers currently transacting business with the County Treasurer’s Office, the County makes no guarantee of inclusion on the approved list that results from the RFSQ. All broker/dealers that have been previously approved to conduct securities transactions with the County Treasurer’s Office must reapply under this RFSQ.

The Office of the County Treasurer reserves the right to modify the County’s approved broker/dealer and direct issuer lists at any time without reason. Broker/dealers who are removed from the lists will receive written notification within thirty (30) days of the decision.

RFSQ CONTENT

This RFSQ package includes:

This Transmittal Letter Cover Page (PC600 Form) - Requests necessary Responder information and includes the Responder’s signed

authorization for the proposal. Representations and Certifications Form - Requests additional Responder information related to 501(c) (3) status,

affirmative action and pricing. Section A-RFSQ Terms and Conditions Section B-Statement of Work Section C-Submittal Requirements Section D-Evaluation Criteria & Selection Process, including estimated time line Section E-Statement of Qualifications Questionnaire

QUESTIONS

Questions and requests for clarification related to definition or interpretation of this RFSQ shall be requested in writing via e-mail prior to July 3, 2008, allowing sufficient time in order to post an Addendum to the RFSQ on BuyNet. Questions should be submitted in writing by e-mail to: [email protected] QUESTIONS RECEIVED AFTER JULY 3, 2008 WILL NOT BE CONSIDERED AND QUESTIONS RECEIVED VIA TELEPHONE WILL NOT BE ACCEPTED.

Oral explanation or instructions shall not be considered binding on behalf of the County. Any modification to this RFSQ will be issued by the County as a written addendum and posted to the County’s Buynet site at http://buynet.sdcounty.ca.gov.

AWARD OF ELIGIBILITY STATUS

The County may decide to award eligibility status (inclusion on the County’s new approved lists) without negotiation. The County reserves the right to award eligibility status to the Responder(s) submitting the SOQ determined to be most advantageous and in the County’s best interest, price and other factors considered.

After evaluation of SOQ, the County may request additional details. These discussions will not constitute negotiations. The County reserves the right to award eligibility status without discussions or negotiations.

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http://buynet.sdcounty.ca.gov/

mailto:[email protected]

This solicitation is available for download from the County’s Internet site at http://buynet.sdcounty.ca.gov . It is the Responder's responsibility to check for addenda. The County cannot individually notify those who download solicitation documents from the website of changes or addenda. The master copy of the bid or proposal documents offered for electronic download shall be considered the original.

If you have any questions or comments regarding this solicitation, please contact Dorothy Gardner, Senior Procurement Contracting Officer, via e-mail at [email protected]

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REQUEST FOR STATEMENTS OF QUALIFICATION (RFSQ) 3172FOR INVESTMENT SERVICES

COUNTY OF SAN DIEGO OFFICE TREASURER –TAX COLLECTOR

Cover Page (PC600 Form)

THIS IS NOT AN ORDER

E-MAIL YOUR PROPOSAL TO: [email protected] FAX YOUR PROPOSAL TO: (858) 715-6454, Attn: Raul Arzola SOQs shall be received at the above address prior to 3:00 PM PST, JULY 17, 2008

REQUEST FOR STATEMENT OF QUALIFICATIONS (RFSQ)

The County of San Diego, on behalf of the Office of the Treasurer-Tax Collector, is requesting Statements of Qualification from broker/dealers to transact securities with the County Treasurer's Office.

TYPE OR USE BLACK INK TO COMPLETE THE RESPONDER INFORMATION BELOW

Responder hereby acknowledges receipt of RFSQ 3172 and Addenda Number 1 through [ ].

RESPONDER INFORMATION AUTHORIZATION FOR OFFER (print legibly) (must be signed):

Firm Name:

Street:

City/State/Zip: By: Signature Offer

Date Phone No: ( ) Fax No: ( ) Name:

(print legibly)E-Mail Address: Title:

Contact Person: Name: Phone No: ( ) FAX: ( )(If other than above - print legibly)

Title:E-Mail Address: NOTE: RFSQs, associated documents and addenda may be obtained from the Department of Purchasing and Contracting from the department’s web site “Buynet” at http://buynet.sdcounty.ca.gov. It is the Responder’s responsibility to periodically check the web site for addendum that may be issued to implement changes or clarification to the RFSQ, prior to the due date.

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REQUEST FOR STATEMENT OF QUALIFICATIONS (RFSQ) 3172

REPRESENTATIONS AND CERTIFICATIONS FORM

The following representations and certifications are to be completed, signed and returned with proposal.

1 BUSINESS REPRESENTATION

1.1 DEFINITION OF A DISABLED VETERANS BUSINESS ENTERPRISE “Disabled Veterans Business Enterprise” means a business which is at least fifty-one (51%) owned and operated by one or more veterans with a service related disability as certified by Equal Opportunity Management Office (EOMO), California Department of General Services, Office of Small Business and members of Joint Agencies Contracting Opportunities (JACO), (California Military and Veterans code, Article 6, Section 999).

1.2 REPRESENTATION AS DISABLED VETERANS-OWNED BUSINESS: (Mark all applicable blanks). This Responder represents as a part of this offer that the ownership, operation and control of the business, in accordance with the specific definition in I am currently certified by (Government Agency)

____________________________________________ Certification #:

2 CERTIFICATE REGARDING DEBARMENT, SUSPENSION AND RELATED MATTERS(Bidder) (Responder) hereby certifies to the best of its knowledge that it or any of its officers:

2.1 Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from covered transactions by any Federal department or agency; and 2.2 Have not within a three (3) year period preceding this agreement been convicted of or had a civil judgment rendered against them for commission of fraud or criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State, or local) transaction or contract under a public transaction; violation of Federal or State antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property; and 2.3 Are not presently indicted for or otherwise criminally or civilly charged by a government entity (Federal, State, or local) with the commission of any of the offenses enumerated in paragraph 2.2 of this certification; and 2.4 Have not within a three (3) year period preceding this agreement had one or more public transactions (Federal, State or local) terminated for cause or default.

3 TAX IDENTIFICATION NUMBER

(Corporations) Federal Tax I.D. #

CERTIFICATION: The information furnished in Paragraphs 1 through 3 is certified to be factual and correct as of the date submitted. ____________________________________________ NAME (print legibly)

TITLE

_________________________________________ SIGNATURE DATE: ______________________________

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Section ATERMS AND CONDITIONS

Note: as used herein, the use of the words ‘Proposer’ and ‘Responder’are interchangeable. The use of the words ‘Proposal’, ‘Statement of Qualifications’, and ‘Qualifications’ are also interchangeable as used herein.

1. RFSQ PROCESS

1.1 RFSQs shall normally be made available on the County of San Diego’s BuyNet site, http://buynet.sdcounty.ca.gov. Firms may request a hard copy from Purchasing and Contracting Clerical Section.

1.2 The County reserves the right to host pre-proposal conference(s). If scheduled, the date, time, and location for the first pre-proposal conference can be found in the Cover Letter to this solicitation and on the County BuyNet site under NOTICES on the Request for Bid or Proposals page.

1.3 Diligence Material, if provided, is subject to the following disclaimer: Neither the County nor any of its agents, advisors, or representatives: has made or makes any representation or warranty, express or implied, as to the accuracy or completeness of the Diligence Material. Without limiting the generality of the foregoing, the Diligence Material may include certain assumptions, statements, estimates, and projections provided by or with respect to the County. Such assumptions, statements, estimates, and projections reflect various assumptions made by the County, which assumptions may or may not prove to be correct. No representations are made by the County as to the accuracy of such assumptions, statements, estimates, or projections.

1.4 Responders’ Inquiries and County Responses - All communication from your organization related to this RFSQ or your Proposal must be directed in electronic format exclusively to the County’s Contracting Officer. You should not attempt to contact any other County personnel about this RFSQ unless authorized by Dorothy Gardner, Contracting Officer.

1.5 Addenda to the RFSQ may be issued to provide clarifications, corrections, or to answer questions.

1.6 Proposals must be submitted by the time and date specified in the PC 600 Form and first page of this RFSQ. Late submissions cannot be reviewed unless it is the only one received or there was mishandling on the part of County staff.

1.7 Proposals will be evaluated by a Source Selection Committee (SSC) appointed by a Source Selection Authority(s) (SSA).

1.8 The County’s Contracting Officer may seek clarifications for the SSC. The Contracting Officer shall determine the appropriate means of clarification: telephonic, e-mail, letter, or oral interviews.

1.9 The County of San Diego, Contracting Officer will notify all Responders and post a Notice of Approved Broker/Dealer and Direct Issuer Lists for five workdays after receipt and approval of the Source Selection Authority(s) recommendation to award.

1.10 The Department of Purchasing and Contracting will notify all Responders of the status of each Proposal, prior to posting the Notice of Approved Broker/Dealer and Direct Issuer Lists.

2. SUBMISSION OF PROPOSAL

2.1 RFSQs, associated documents and addenda may be obtained from the Department of Purchasing and Contracting by downloading from the department’s web site “BuyNet” at http://buynet.sdcounty.ca.gov.

2.2 It is understood and agreed upon by the Responder in submitting a Proposal that the County has the right to withhold all information regarding this procurement until after contract award, including but not limited to: the number received; competitive technical information; competitive price information; and the County evaluation concerns about competing Proposals. Information releasable after award is subject to the disclosure requirements of the Public Records Act, California Government Code Section 6250 and following. Responders shall submit prior to the date and time specified.

2.3 Unless other specified the Proposal shall conform to the following format:

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2.3.A A completed and signed PC600 Form shall be submitted as the cover page of your proposal.

2.3.B A completed and signed Representations and Certifications form shall be submitted as the second page of your Proposal.

2.3.C A completed Statement of Qualifications questionnaire shall be submitted as the third and final page of your proposal.

2.3.D Each Proposal shall be typed and be concise but comprehensive. Proposal shall not include promotional material. Proposal shall be in accordance with the requirements discussed herein.

2.3.E All information provided shall be verifiable by telephone. The County may, but is not obligated to, use only those telephone numbers and names of contacts provided in the Proposal.

3. EVALUATION AND SELECTION

3.1 Proposals will be evaluated based upon the information provided in response to the RFSQ “Evaluation Criteria and Submittal Requirements” and other information known to the County.

3.2 The evaluation to determine the competitive range shall use the non-exclusive list of criteria contain in “Evaluation and Submittal Requirements”.

3.3 It is in the best interest of the County to have a pool that is not too heavily dependent upon one or a few broker-dealers. Maintaining a balanced pool of broker-dealers will be considered in the evaluation process.

3.4 The County has an interest in a competitive contractor environment. This means that it is to the County’s advantage to have multiple contractors within the County that are qualified and willing to provide the services sought. To insure a continuing competitive environment, the County will take into consideration the number of existing contracts and proposed contracts a particular contractor entity has or may have with the County when evaluating the proposals. The degree of importance of this factor will increase along with the number of contracts an Responder has or proposes to have with the County.

3.5 The County reserves the right to request clarification and/or request additional information from Responders, if necessary. Such clarifications and/or additional information shall be submitted by the Responders as an Addendum to the Proposal upon request of the Contracting Officer. However, since no additional input may be required, Responders are advised to submit complete information in the Proposal.

4. SIGNATURE

All Proposals shall be signed by an authorized officer or employee of the submitting organization. The title of the authorized officer or employee, the name, e-mail, address and phone and fax number of the organization shall be included. Obligations committed by such signatures shall be fulfilled.

5. COST COMPARISONS

The County Charter requires a finding of economy and efficiency prior to award of contracts for service that can be performed by persons employed in the Classified Service to an independent contractor. It is the intent, subject to a finding of economy and efficiency, to contract for these services.

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6. PROPRIETARY INFORMATION

All proposals become the property of the County of San Diego. The County is a public agency subject to the disclosure requirements of the Public Records Act, California Government Code Section 6250 and following. These requirements include an exemption for “trade secrets”. If any proprietary information is contained in or attached to the written proposal, it must be clearly identified. In order to protect trade secrets from disclosure, pursuant to a public Records Acts request, you must agree in writing to defend and indemnify the County, if litigation results. By submission of a Statement of Qualification, firms agree that the material contained in the Statement of Qualification proposal may be released to the general public.

7. UNNECESSARILY ELABORATE INFORMATION

Unnecessarily elaborate brochures, visual or other presentations, art work and paper and binding beyond those sufficient to present a complete and effective Proposal are neither necessary nor desired.

8. COUNTY COMMITMENT

8.1 County shall have the right to reject or accept any Proposal or offer, or any part thereof (e.g., any component of any proposed solution) for any reason whatsoever and to accept other than the lowest offer, at its sole discretion.

8.2 This solicitation does not commit the County of San Diego to award a contract to pay costs incurred in the preparation of a response or to procure or contract for any services, or in making necessary studies or designs for the preparation thereof, nor procure or contract for services or supplies. Further, no reimbursable cost may be incurred in anticipation of a contract award.

8.3 The County of San Diego reserves the right to accept or reject any or all proposals received as a result of this solicitation, or to negotiate with any qualified source or to cancel in part or in its entirety this solicitation if it is in the best interest of the County.

8.4 The County reserves the right to terminate this RFSQ at anytime prior to contract execution.

8.5 No prior, current, or post award verbal conversation or agreement(s) with any officer, agent, or employee of the County shall affect or modify any terms or obligations of this RFSQ, or any contract resulting from this procurement.

9. LATE, MODIFIED, OR WITHDRAWN PROPOSAL

9.1 Any Statement of Qualifications/Proposal received at the email address or fax number designated in the solicitation after the exact time specified for receipt will not be considered unless it is received before award is made; and

9.1.A It is determined by the County that the late receipt was due solely to mishandling by the County after receipt at the County; or

9.1.B It is the only Proposal received.

9.2 Any modification of a Proposal, except a modification resulting from the Contracting Officer's request for "best and final" offer, is subject to the same conditions as the initial submission.

9.3 Proposals may be withdrawn by written notice received at any time prior to Notice of Intent to Award. Thereafter, all Proposals constitute firm offers, subject to negotiation and execution of definitive documents that will remain open and cannot be revoked, withdrawn, or modified for a period of six (6) months thereafter. Proposals may be withdrawn in person by an Responder or an authorized representative, provided the authorized representative's identity is made known and the representative signs a receipt for the Proposal prior the posting of Notice of Approved Broker Dealer List.

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10. NON-CONFORMING SUBMISSIONS

Any submission may be construed as a non-conforming Proposal and ineligible for consideration, if it does not comply with the requirements of the Request for Proposal. Failure to comply with the technical features, and acknowledgment of receipt of amendments, are common causes for holding a Proposal non-conforming.

11. KNOWLEDGE OF RFSQ AND PROPOSAL CONDITIONS

Before submitting a Proposal, Responders shall carefully read all sections of this RFSQ, including all forms, schedules and exhibits, and shall fully inform themselves as to all existing conditions and limitations.

12. DUTY TO INQUIRE

Should an Responder find discrepancies in or omissions from the RFSQ, plans, specifications or other documents, or should the Responder be in doubt as to their meaning, the Responder shall at once notify the Contracting Officer via e-mail. If the point in question is not clearly and fully set forth, a written addendum will be issued and posted on the County’s web site “BUYNET.” It is each Responder’s responsibility to periodically check the web site for such addenda. The County will not be responsible for any oral instructions nor for any written materials provided by any County personnel that are not also posted on the BuyNet website.

13. EXPLANATION TO PROPOSERS

Any explanation desired by an Responder regarding the meaning or interpretation of the Proposal must be directed in writing exclusively to the County’s Contracting Officer. The preferred method of delivering questions is by e-mail to the address listed in the Cover Letter. Telephone calls will not be accepted. In no event will the County be responsible for ensuring that prospective Responders’ inquiries have been received by the County. You should not attempt to contact any other County personnel about this RFSQ solicitation. Oral explanations or instructions will not be binding. Any explanation concerning a solicitation will be provided to all prospective Responders through posting on BUYNET in the form of an addendum to the solicitation. No response will be provided to questions received after the date stated in the Cover Letter.

14. PROTEST PROCEDURE

County policy requires that contracts resulting from a negotiated procurement shall be awarded only after a notice of the proposed award has been posted in a public place.

All protests shall be made in writing, and shall be filed with the Contracting Office identified in the solicitation package. A protest shall be filed on the earliest of the following dates:

(i) within five business days after a Notice of Intent to Award/ Notice of Approved Broker/Dealer and Direct Issuer Lists. the contract has been posted in a public place in the County’s Contracting Office or County Internet web site, or

(ii) within five business days after the County provides notification that the proposal is no longer under consideration, or

(iii) by noon on the day before the Board of Supervisors is scheduled to consider the matter.

Copies of the Board Policy are available from the Clerk of the Board, 1600 Pacific Highway, San Diego, CA 92101, or on the County’s Web site at www.sdcounty.ca.gov under the Clerk of the Board’s page.

15. DEBRIEF AND REVIEW OF CONTRACT FILES

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When an Responder has been notified by the Contracting Officer, that the proposal is no longer being considered for award, the Responder may request a “debriefing” from the Contracting Officer on the findings about that one proposal (with no comparative information about proposals submitted by others).

After contract award, any interested party may make an appointment to review the files to look at all Proposals, the Source Selection Committee Report and any other information in the file. Copies of any documents desired by the reviewer will be prepared and sold to the requestor at current County prices for such information.

16. NEWS RELEASES

Responders shall not issue any news release pertaining to this RFSQ without prior written approval of the County’s Contracting Officer, which may be withheld in such Officer’s sole discretion. A minimum of two (2) business days notice is required for approval.

17. CLAIMS AGAINST THE COUNTY

Neither your organization nor any of your representatives shall have any claims whatsoever against the County or any of its respective officials, agents, or employees arising out of or relating to this RFSQ or these procedures (other than those arising under a definitive Agreement with your organization in accordance with the terms thereof).

18. EMPLOYMENT RESPONDERS

Until contract award, Responders shall not, directly or indirectly, solicit any employee of the County to leave the County’s employ in order to accept employment with the Responder, its affiliates, actual or prospective contractors, or any person acting in concert with the Responder, without prior written approval of the County’s Contracting Officer. This paragraph does not prevent the employment by an Responder of a County employee who has initiated contact with the Responder.

19. EVENTS

Timing and sequence of events resulting from this RFSQ shall ultimately be determined by the County.

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Section BSTATEMENT OF WORK

OVERVIEW

The County of San Diego (the “County”) manages a Local Government Investment Pool (the “Pool”) consisting of the pooled monies held by the County Treasurer on behalf of the County, school districts, community college districts, and certain special districts within the County. As of April 30, 2008, total assets of the Pool were approximately $5.4 billion. The Pool is actively managed in accordance with the California Government Code, the Treasurer’s Pooled Money Fund Investment Policy (“Investment Policy”), and internal investment guidelines. The Pool pursues its objectives by investing in a diversified portfolio of high-quality securities, which include U.S. Treasury and Agency securities, corporate obligations, and selected money market instruments. The Investment Policy, internal investment guidelines and other information may be obtained at: http://www.sdcounty.ca.gov/ttc/mcf_geninfo.html. The intent of this Request for Statement of Qualifications (“RFSQ”) is to assist the County Treasurer’s Office in development of approved broker/dealer, direct issuer counterparty lists for use from July 15, 2008 to July 14, 2010 with the option of two one-year renewals.

SCOPE

Only firms that are on the County’s approved lists may transact securities with the County Treasurer’s Office. The County Treasurer’s Office uses a competitive process to select new firms. Periodically, the Treasurer’s Office conducts a Request for Statement of Qualifications (“RFSQ”) process in which prospective firms are required to provide information on their practice, financial condition, and other factors. This process ensures an open, competitive process for all interested firms to compete for placement on the County’s approved lists. Approved firms must perform industry-related services that will enhance the account relationship, which could include, but are not limited to:

An active secondary market for its securities

The following items only apply to broker/dealer relationships:

Internal credit research analysis on commercial paper, bankers’ acceptances and other securities it offers for sale.

Willing to purchase securities from the County’s portfolio

Capable of providing market analysis, economic projections, and newsletters

The County Treasurer’s intent is to enter into a long-term relationship. Therefore, the integrity of the firm and the personnel assigned to the account is of primary importance.

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http://www.sdcounty.ca.gov/ttc/mcf_geninfo.html


Section CSUBMITTAL REQUIREMENTS

Once completed, the following documents will constitute a finalized SOQ:

1. PC 600 Form2. Representations and Certifications Form3. Statement of Qualifications Questionnaire, including matrix

Submit one (1) copy in either PDF or Word format of your SOQ to: [email protected] or via fax to (858) 715-6454, Attn: Raul Arzola. SOQ must be received PRIOR to 3:00 P.M. (PST) JULY 17, 2008. FINAL DECISIONS WILL BE ANNOUNCED NO SOONER THAN AUGUST 5, 2008.

LATE SUBMISSIONS CANNOT BE CONSIDERED UNLESS THEY ARE THE ONLY ONES RECEIVED OR THERE WAS MISHANDLING ON THE PART OF COUNTY STAFF.

If a candidate fails to submit the above-referenced documents by the specified deadline, then its SOQ shall be deemed to have been automatically rejected by the County.

ESTIMATED TIMELINE

Event Description Target Date(s)Step 1: Issue Request for Statement of Qualifications June 30, 2008

Questions Deadline July 3, 2008

Addendum with Q&A responses July 7, 2008

Request for Statement of Qualifications Close 3:00 p.m. local time July 17, 2008

Source Selection Committee to evaluate proposal and select qualified Responders

July 28, 2008 – August 1, 2008

Issue notice of intent to award August 5, 2008

Begin Date August 5, 2008

RSFQ PROCESS

Step 1: Responders will submit a completed SOQ and the Source Selection Committee will evaluate the SOQs. The Source Selection Committee will reach consensus on those SOQs which establish that the Responder meets the necessary qualifications. The County will establish and publish lists of approved firms for each category.

Step 2: Qualified Responders will be notified that they have met the required qualifications for each corresponding list. Approved firms will be contacted by the Treasury staff to provide additional information and/or submit bids on a trade-by-trade basis.

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REQUEST FOR STATEMENT OF QUALIFICATIONS (RFSQ) 3172Section D

EVALUATION AND SELECTION PROCESS

The County’s current approved lists consist of approximately thirty national and regional firms. Additionally, several firms have expressed an interest in conducting business with the County. In order to ensure that the total number of firms remains at a manageable level all current and prospective firms must be (re)qualified by providing the information as detailed below:

A screening will be performed to ensure the firm meets the County’s minimum requirements. Firms meeting such criteria will be considered for the County’s 2008-2010 approved lists.

MINUMUM REQUIREMENTS

For Broker/Dealers:

To qualify for consideration for the County’s approved broker/dealer list, broker/dealers must meet the requirements stated below:

o Confirm that they are a member of the National Association of Security Dealers (NASD), are registered with the Securities & Exchange Commission (SEC), and possess all other required licenses.

o State in writing their acceptance and understanding of the County Treasurer’s written Investment Policy.

o Provide the County with annual financial statements. All firms with whom the County does business must have a stable financial condition.

o Deliver securities to the County’s custodial bank, Bank of New York. The County Treasurer’s Office is prohibited from the establishment of a broker/dealer account for the purpose of holding the County’s securities.

o Conduct transactions on a delivery vs. payment (DVP) basis.

o Have been in operation/business for more than five (5) years.

o County’s primary contact/account representative has worked in the institutional or middle-market fixed income division for five (5) years or more and has equivalent or greater amount of experience covering municipalities.

o Have adequate financial strength and capital to support the level of trading that is approved. Adequate financial strength will be assessed by a review of the balance sheet and income statement of the broker/dealer.

o Provide institutional or middle-market coverage. Retail-oriented offices without institutional client capabilities do not qualify.

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For Direct Issuers:

To qualify for consideration for the County’s approved list, direct issuers must meet the requirements stated below:

o Confirm that they are a member of the National Association of Security Dealers (NASD) or registered with the Securities & Exchange Commission (SEC), FDIC or applicable regulatory agency and possess all other required licenses.

o State in writing their receipt and understanding of the County Treasurer’s written Investment Policy.

o Provide the County with annual financial statements. All firms with whom the County does business must have a stable financial condition.

o Conduct transactions on a delivery vs. payment (DVP) basis such that securities are delivered to the County’s custodial bank, Bank of New York. The County Treasurer’s Office is prohibited from the establishment of a broker/dealer account for the purpose of holding the County’s securities.

o Have been in operation for more than five (5) years.

o Have adequate financial strength and capital to support the level of trading that is approved. Adequate financial strength will be assessed by a review of the balance sheet and income statement of the broker/dealer.

o Have a minimum net capital of $1,000,000.

o Have liquidity lines of $50 million or more.

For Repurchase and Reverse Repurchase Agreements, and Options Transactions

To qualify for consideration for the County’s approved repurchase, reverse repurchase and call/put option counterparty lists, firms must meet the requirements stated below:

o Meet all of the criteria as stated above for broker/dealers, and

o Have an active secondary market for its securities, and

o Be a primary dealer with the Federal Reserve Bank of New York.

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The County will continually assess the attributes of each firm, including but not limited to the level of service, quality of research and analysis, and security inventory. Firms may assess their ability to transact trades using the following guidelines:

1. The County conducts all of its trades using the Bloomberg system, either by locating securities on inventory screens or by reverse inquiry. Broker/dealers who do not at a minimum have access to the Bloomberg “message” function, or who are not able to generate and electronically send “BXT” and “SXT” trade tickets will not be able to conduct business with the County. Access to Bloomberg broker/dealer inventory screens during the trial period is highly desirable.

2. The County rarely (if ever) purchases “new issue” agency securities. Therefore, telephone calls announcing a “new issue” security are neither expected nor wanted.

3. Any firm providing the lowest offering price for a security should be prepared to deliver the security at the offered price.

If deemed necessary, firms may be invited to a formal interview. Candidates must complete and return the attached Questionnaire with a completed PC 600 Form and Representations and Certifications Form to Raul Arzola via e-mail at [email protected] or via fax at (858) 715-6454, in order to meet the Submittal Requirements.

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Section ESTATEMENT OF QUALIFICATIONS QUESTIONNAIRE

INSTRUCTIONS FOR QUESTIONNAIRE

Part 1 - Please complete the matrix below indicating which categories of investment services and security transactions you wish to be considered for.

Capacity Treasuries Agencies Commercial Paper

Certificates of Deposit

Asset-Backed

Securities

Tri-Party Repurchase Agreements

Reverse Repurchase Agreements

Broker/DealerDirect IssuerCounterpartyOptions

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Part 2 - Please complete the table and questions below. Parts 1 and 2 of the Questionnaire must be submitted.

Firms must respond to each of the questions asked. Firms responding to this RFSQ shall repeat each question and insert the response directly after the question or request. Responses to this RFSQ should be structured so that a firm’s qualifications can be readily evaluated using the criteria described herein. All SOQs must adhere to the format below.

ALL FIRMS SHALL COMPLETE QUESTIONS 1 -151. Name of Firm:______________________________________________________________________

2. Address of trading office:______________________________________________________________________

3. Address of corporate headquarters:_______________________________________________________________

4. Telephone Numbers:

Trading Office:_____________________(800) or toll-free:____________________Headquarters:______________________

5. Is your firm: (check one)

A Dealer A Broker A Broker/Dealer A Direct Issuer

6. Which of the following entities has the authority to oversee the operation of your firm, in terms of examinations, rules, and regulations? (check appropriate choices) FDIC SEC NYSE

Comptroller of Currency Federal Reserve System

Other (example: state regulatory agency): ________________________7. Contact Personnel:

Primary Contact Name and Title:_______________________________________________

Telephone:________________________________

E-Mail:___________________________________

Secondary Contact Name and Title:______________________________________________

Telephone:________________________________

E-Mail:___________________________________

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ALL FIRMS SHALL COMPLETE QUESTIONS 1 -158. Is your firm owned by a holding company? (check one)

If “yes”, what is the holding company’s name?______________________

Yes No

9. Has your firm consistently complied with the Federal Reserve Bank’s capital adequacy guidelines? (check one)

If “no”, please explain.

______________________________________________________________________________________________________________________________________________________________________________

Yes No

10. Which of the following instruments does your trading desk regularly trade? (check appropriate choices)

T-Bills Commercial Paper

T-Notes Corporate Medium-Term Notes

Certificates of Deposit Agencies

Repurchase Agreements T-Bills TriParty Repurchase Agreements

Reverse Repo Agreements Asset-Backed Securities

11. Which of the financial instruments, as described above, does your firm specialize in marketing? ____________________________________________________________________________ ________________________________________________________________________________________________________________________________________________________

12. Which method(s) does your firm use to compensate representatives? (check one)

Salary Commission Bonus

13. Is your firm a member of the Securities Investor Protection Corporation (“SIPC”)?

Yes No

14. Has your firm been subject to any litigation, arbitration, or regulatory proceedings, either pending, adjudicated, or settled, within the last five years, that involved allegations of improper, fraudulent, disreputable or unfair activities related to the sale of securities to or the purchase of securities from institutional clients?

Yes No

ALL FIRMS SHALL COMPLETE QUESTIONS 1 -15

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15. Does your firm have economists on staff that could travel to San Diego to provide market updates to the County’s Treasury Oversight Committee and/or local agencies as part of the Treasurer’s Investment Symposium program? (Assume a minimum of two trips per year)

Yes No

ONLY BROKER DEALERS SHALL COMPLETE QUESTIONS 16 - 23 16. Provide two references from California public sector clients that have established relationships

with the sales representative listed in Question 5. Provide the following information for each of the three references.

Reference 1

Contact Person and Agency:_______________________________________

Address:________________________________________________________

Telephone: ______________________________________________________

Reference 2

Contact Person and Agency:_______________________________________

Address:________________________________________________________

Telephone: ______________________________________________________

17. Does your firm your firm regularly report to the Market Reports Division of the Federal Reserve Bank of New York as a “primary dealer”? (check one)

Yes No

18. Please answer the following questions only if your firm is NOT a primary dealer.

a. Does your firm have a net capital position in excess of $1 million? (check one) Yes No

b. Has your firm been in existence for more than five years? (check one) Yes No

c. Is your firm currently licensed as a broker/dealer by the State of California? (check one) Yes No

d. Is your firm headquartered or does it have a branch office in California? (check one) Yes No

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ONLY BROKER DEALERS SHALL COMPLETE QUESTIONS 16 - 23 Yes No

19. Is your firm a member of the National Association of Securities Dealers? (check one)

20. Has your firm submitted a letter of written acknowledgement of the County’s 2008 Investment Policy within the past six months? (check one)

21. Upon request, can your firm supply the County with annual financial statements? (check one)

22. Can your firm deliver securities on a delivery vs. payment basis to the County’s custodian, Bank of New York? (check one)

23. Has your firm been in operation more than five years? (check one)

ONLY DIRECT ISSUERS SHALL COMPLETE QUESTIONS 24 - 30 Yes No24. Is your firm a member of the National Association of Securities Dealers, FDIC,

or registered with the SEC? (check one)

25. Has your firm submitted a letter of written acknowledgement of the County’s 2008 Investment Policy within the past six months? (check one)

26. Upon request, can your firm supply the County with annual financial statements? (check one)

27. Can your firm deliver securities on a delivery vs. payment basis to the County’s custodian, Bank of New York? (check one)

28. Has your firm been in operation more than five years? (check one)

29. Does your firm have a net capital of $1,000,000 or more? (check one)

30. Does your firm have liquidity lines of $50 million or more? (check one)

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CERTIFICATION

My firm will notify the County Treasurer’s Office immediately, by telephone, and, in writing, in the event of a material adverse change in financial condition, or of any violation of Municipal Securities Rulemaking Board Rule G-37.

NOTE: Completion of this Request For Statement of Qualifications is only part of the County’s review process, and DOES NOT guarantee that the candidate will be authorized to provide investment services to the County.

I hereby certify that the above is true and correct to the best of my knowledge.

Firm Name: ___________________________________________________________

Signature*: ___________________________________________________________

Title: ___________________________________________________________

Date: ____________________

*Note that the foregoing form must be signed by the primary or secondary contact as listed in Question 7 of this Questionnaire.

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Documents

cdn.ymaws.com€¦ · Web viewemployment responders Until contract award, Responders shall not, directly or indirectly, solicit any employee of the County to leave the County’s