HomeMy WebLinkAboutContractAGREEMENT FOR INVESTMENT ADVISORY SERVICES
THIS AGREEMENT, dated for reference purposes only as November 12, 2025, is by and between
the City of Renton (the “City”), a Washington municipal corporation, and U.S. Bancorp Asset
Management, Inc. (“Consultant”), a Delaware corporation. The City and the Consultant are
referred to collectively in this Agreement as the “Parties.” Once fully executed by the Parties, this
Agreement is effective as of the last date signed by both parties.
1. Scope of Work:Consultant, through its PFM Asset Management division, agrees to
provide investment advisory services as specified in Exhibit A, which is attached and
incorporated herein and may hereinafter be referred to as the “Work.”
2. Changes in Scope of Work: The City, without invalidating this Agreement, may order
changes to the Work consisting of additions, deletions or modifications. Any such changes
to the Work shall be ordered by the City in writing and the Compensation shall be
equitably adjusted consistent with the rates set forth inExhibit A or as otherwise mutually
agreed by the Parties.
3. Time of Performance: Consultant shall commence performance of the Agreement upon
its effective date and continue through December 31, 2028, unless the Agreement
terminated pursuant to Section 3, or extended by written amendment.
4. Compensation:
A. Amount. Total compensation to Consultant for Work provided pursuant to this
Agreement throughout its full term of performance shall not exceed six hundred
thousand ($600,000), plus any applicable state and local sales taxes. Compensation
shall be paid for Work actually provided pursuant to the percentage based rate
specified in Exhibit A, with no right to reimbursement for costs, overhead, or other
expenses incurred in the performance of Work. Exceptas specifically provided herein,
the Consultant shall be solely responsible for payment of any taxes imposed as a result
of the performance and payment of this Agreement.
B. Method of Payment. On a monthly basis, the Consultant shall submit an invoice as
described in Exhibit A. The Consultant shall also submit a final bill upon completion of
all Work. Payment shall be made by the City for Work performed within thirty (30)
calendar days after receipt and approval by the appropriate City representative of the
voucher or invoice. If the Consultant’s performance does not meet the requirements
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of this Agreement, the Consultant will correct or modify its performance to comply
with the Agreement.
C. Effect of Payment. Payment for any part of the Work shall not constitute a waiver by
the City of any remedies it may have against the Consultant for failure of the
Consultant to perform the Work or for any breach of this Agreement by the
Consultant.
D. Non-Appropriation of Funds. If sufficient funds are not appropriated or allocated for
payment under this Agreement for any future fiscal period, the City shall not be
obligated to make payments for Work or amounts incurred after the end of the
current fiscal period, and this Agreement will terminate upon the completion of all
remaining Work for which funds are allocated. No penalty or expense shall accrue to
the City in the event this provision applies.The City agrees to provide the Consultant
with prompt notice of any event of non-appropriation.
5. Termination:
A. The City reserves the right to terminate this Agreement at any time, with or without
cause by giving ten(10) calendar days’ notice to the Consultant in writing. In the event
of such termination or suspension, all finished or unfinished documents, data, studies,
worksheets, models and reports, or other material prepared by the Consultant
pursuant to this Agreement shall be submitted to the City, if any are required as part
of the Work. Consultant may terminate this Agreement for a material breach of its
terms by the City upon the City’s failure to cure such material breach within thirty (30)
days after written notice thereof has been delivered by the Consultant.
B. In the event this Agreement is terminated by the City, the Consultant shall be entitled
to payment for all hours worked to the effective date of termination, less all payments
previously made. If the Agreement is terminated by the Cityafter partial performance
of Work for which the agreed compensation is a fixed fee, the City shall pay the
Consultant an equitable share of the fixed fee. This provision shall not prevent the
City from seeking any legal remedies it may have for the violation or nonperformance
of any of the provisions of this Agreement and such charges due to the City shall be
deducted from the final payment due the Consultant. No payment shall be made by
the City for any expenses incurred or work done following the effective date of
termination unless authorized in advance in writing by the City.
6. Warranties And Right To Use Work Product: Consultant represents and warrants that
Consultant will perform all Work identified in this Agreement in a professional and
workmanlike manner and in accordance with all reasonable and professional standards
and laws. Compliance with professional standards includes, as applicable, performing the
Work in compliance with applicable City standards or guidelines (e.g. design criteria and
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Standard Plans for Road, Bridgeand Municipal Construction). Professional engineers shall
certify engineering plans, specifications, plats, and reports, as applicable, pursuant to
RCW 18.43.070. Consultant further represents and warrants that all final work product
created for and delivered to the City pursuant to this Agreement shall be the original work
of the Consultant and free from any intellectual property encumbrance which would
restrict the City from using the work product. Consultant grants to the City a non-
exclusive, perpetual right and license to use, reproduce, distribute, adapt, modify, and
display all final work product produced pursuant to this Agreement. The City’s or other’s
adaptation, modification or use of the final work products other than for the purposes of
this Agreement shall be without liability to the Consultant. The provisions of this section
shall survive the expiration or termination of this Agreement.
7. Record Maintenance: The Consultant shall maintain accounts and records, which
properly reflect all direct and indirect costs expended and Work provided in the
performance of this Agreement and retain such records for as long as may be required by
applicable Washington State records retention laws, but in any event no less than five
years after the creation of the record. With thirty (30) days advance written notice to
Consultant and no more than once per Agreement year, the Consultant agrees to allow
the auditor(s) access to such materials/records related to contract performance during
normal business hours and in such a manner as to not interfere with normal business
activities. Consultant’s sensitive or confidential information can be viewed by the City at
a Consultant location or via a video conference call, however the City may not record or
create copies of Consultant’s sensitive or confidential information.
8. Public Records Compliance: Upon the request of the City, and if required under the
Washington State Public Records Act, Consultant shall make a due diligent search of all
records in its possession or control relating to this Agreement and the Work, including,
but not limited to, e-mail, correspondence, notes, saved telephone messages, recordings,
photos, or drawings and provide them to the City for production. In the event Consultant
believes said records need to be protected from disclosure, it may, at Consultant’s own
expense, seek judicial protection. Consultant shall indemnify, defend, and hold harmless
the City for all costs, including attorneys’ fees, attendant to any claim or litigation related
to a Public Records Act request for which Consultant has responsive records and for which
Consultant has withheld records or information contained therein, or not provided them
to the City in a timely manner. Consultant shall produce for distribution any and all
records responsive to the Public Records Act request in a timely manner, unless those
records are protected by court order. The provisions of this section shall survive the
expiration or termination of this Agreement.
9. Independent Contractor Relationship:
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A. The Consultant is retained by the City only for the purposes and to the extent set
forth in this Agreement. The nature of the relationship between the Consultant and
the City during the period of the Work shall be that of an independent contractor,
not employee. The Consultant, not the City, shall have the power to control and
direct the details, manner or means of Work. Specifically, but not by means of
limitation, the Consultant shall have no obligation to work any particular hours or
particular schedule, unless otherwise indicated in the Scope of Work or where
scheduling of attendance or performance is mutually arranged due to the nature of
the Work. Consultant shall retain the right to designate the means of performing the
Work covered by this agreement, and the Consultant shall be entitled to employ
other workers at such compensation and such other conditions as it may deem
proper, provided, however, that any contract so made by the Consultant is to be
paid by it alone, and that employing such workers, it is acting individually and not as
an agent for the City .The City acknowledges that Consultant acts as City’s agent
when trading securities on behalf of the City and Consultant acknowledges that its
employees are not employees of the City.
B. The City shall not be responsible for withholding or otherwise deducting federal
income tax or Social Security or contributing to the State Industrial Insurance
Program, or otherwise assuming the duties of an employer with respect to Consultant
or any employee of the Consultant.
C. If the Consultant is a sole proprietorship or if this Agreement is with an individual, the
Consultant agrees to notify the City and complete any required form if the Consultant
retired under a State of Washington retirement system and agrees to indemnify any
losses the City may sustain through the Consultant’s failure to do so.
10. Hold Harmless: The Consultant agrees to release, indemnify, defend, and hold harmless
the City, elected officials, employees, officers, representatives, and volunteers from any
and all claims, demands, actions, suits, causes of action, arbitrations, mediations,
proceedings, judgments, awards, injuries, damages, liabilities, taxes, losses, fines, fees,
penalties, expenses, attorney’s or attorneys’ fees, costs, and/or litigation expenses to or
by any and all persons or entities, arising from, resulting from, or related to the negligent
acts, errors or omissions of the Consultant in its performance of this Agreement or a
breach of this Agreement by Consultant, except for that portion of the claims caused by
the City’s sole negligence.
Should a court of competent jurisdiction determine that this agreement is subject to RCW
4.24.115, (Validity of agreement to indemnify against liability for negligence relative to
construction, alteration, improvement, etc., of structure or improvement attached to real
estate…) then, in the event of liability for damages arising out of bodily injury to persons
or damages to property caused by or resulting from the concurrent negligence of the
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Consultant and the City, its officers, officials, employees and volunteers, Consultant’s
liability shall be only to the extent of Consultant’s negligence.
It is further specifically and expressly understood that the indemnification provided in
this Agreement constitute Consultant’s waiver of immunity under the Industrial
Insurance Act, RCW Title 51, solely for the purposes of this indemnification. The Parties
have mutually negotiated and agreed to this waiver. The provisions of this section shall
survive the expiration or termination of this Agreement.
11. Gifts and Conflicts: The City’s Code of Ethics and Washington State law prohibit City
employees from soliciting, accepting, or receiving any gift, gratuity or favor from any
person, firm or corporation involved in a contract or transaction. To ensure compliance
with the City’sCode of Ethics and state law, the Consultant shall not give a gift of any kind
to City employees or officials. Consultant also confirms that Consultant does not have a
business interest or a close family relationship with any City officer or employee who was,
is, or will be involved in selecting the Consultant, negotiating or administering this
Agreement, or evaluating the Consultant’s performance of the Work.
12. City of Renton Business License: Unless exempted by the Renton Municipal Code,
Consultant shall obtain a City of Renton Business License prior to performing any Work
and maintain the business license in good standing throughout the term of this
agreement with the City.
Information regarding acquiring a city business license can be found at:
https://www.rentonwa.gov/Tax
Information regarding State business licensing requirements can be found at:
https://dor.wa.gov/doing-business/register-my-business
13. Insurance: Consultant shall secure and maintain:
A. Commercial general liability insurance in the minimum amounts of $1,000,000 for
each occurrence/$2,000,000 aggregate for the Term of this Agreement.
B. In the event that Work delivered pursuant to this Agreement either directly or
indirectly involve or require Professional Services, Professional Liability, Errors and
Omissions coverage shall be provided with minimum limits of $1,000,000 per
occurrence. "Professional Services", for the purpose of this section, shall mean any
Work provided by a licensed professional or Work that requires a professional
standard of care.
C. Workers’ compensation coverage, as required by the Industrial Insurance laws of the
State of Washington, shall also be secured.
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D. Commercial Automobile Liability for owned, leased, hired or non-owned, leased, hired
or non-owned, with minimum limits of $1,000,000 per occurrence combined single
limit, if there will be any use of Consultant’s vehicles on the City’s Premises by or on
behalf of the City, beyond normal commutes.
E. Consultant shall include the City as an Additional Insured on its commercial general
liability policy on a non-contributory primary basis. The City’s insurance policies shall
not be a source for payment of any Consultant liability, nor shall the maintenance of
any insurance required by this Agreement be construed to limit the liability of
Consultant to the coverage provided by such insurance or otherwise limit the City’s
recourse to any remedy available at law or in equity.
F. Subject to the City’s review and acceptance, a certificate of insurance showing the
proper endorsements, shall be delivered to the City before performing the Work.
G. Consultant shall provide the City with written notice of any policy cancellation, within
five (5) business days of their receipt of such notice.
14. Delays: Consultant is not responsible for delays caused by factors beyond the
Consultant’s reasonable control. When such delays beyond the Consultant’s reasonable
controloccur, the City agrees the Consultant is not responsible for damages, nor shall the
Consultant be deemed to be in default of the Agreement.
15. Successors and Assigns: Neither the City nor the Consultant shall assign, transfer or
encumber any rights, duties or interests accruing from this Agreement without the
written consent of the other.
16. Notices: Any notice required under this Agreement will be in writing, addressed to the
appropriate party at the address which appears below (as modified in writing from time
to time by such party), and given personally, by registered or certified mail, return receipt
requested, by facsimile or by nationally recognized overnight courier service. Time period
for notices shall be deemed to have commenced upon the date of receipt, EXCEPT
facsimile delivery will be deemed to have commenced on the first business day following
transmission. Email and telephone may be used for purposes of administering the
Agreement, but should not be used to give any formal notice required by the Agreement.
CITY OF RENTON
Sean Yi
1055 South Grady Way
Renton, WA 98057
CONSULTANT
PFM Asset Management,
a division of U.S. Bancorp Asset
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Phone: (425) 430-6938
syi@rentonwa.gov
Management, Inc.
Luke Schneider, Managing Director
1101 W. Washington St.
Tempe, AZ 85288
Phone: (520) 260-1574
schneiderl@pfmam.com
17. Discrimination Prohibited: Except to the extent permitted by a bona fide occupational
qualification, the Consultant agrees as follows:
A. Consultant, and Consultant’s agents, employees, representatives, and volunteers
with regard to the Work performed or to be performed under this Agreement, shall
not discriminate on the basis of race, color, sex, religion, nationality, creed, marital
status, sexual orientation or preference, age (except minimum age and retirement
provisions), honorably discharged veteran or military status, or the presence of any
sensory, mental or physical handicap, unless based upon a bona fide occupational
qualification in relationship to hiring and employment, in employment or application
for employment, the administration of the delivery of Work or any other benefits
under this Agreement, or procurement of materials or supplies.
B. The Consultant will take affirmative action to insure that applicants are employed and
that employees are treated during employment without regard to their race, creed,
color, national origin, sex, age, sexual orientation, physical, sensory or mental
handicaps, or marital status. Such action shall include, but not be limited to the
following employment, upgrading, demotion or transfer, recruitment or recruitment
advertising, layoff or termination, rates of pay or other forms of compensation and
selection for training.
C. If the Consultant fails to comply with any of this Agreement’s non-discrimination
provisions, the City shall have the right, at its option, to cancel the Agreement in
whole or in part.
D. The Consultant is responsible to be aware of and in compliance with all federal, state
and local laws and regulations that may affect the satisfactory completion of the
project, which includes but is not limited to fair labor laws, worker's compensation,
and Title VI of the Federal Civil Rights Act of 1964, and will comply with City of
Renton Council Resolution Number 4085, which is attached hereto as Exhibit B If
there is a conflict between federal, state, and local laws and regulations, federal law
will supersede to the extent compliance with the state or local laws would be
preempted by federal law.
18. Miscellaneous:The parties hereby acknowledge:
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A. The City is not responsible to train or provide training for Consultant.
B. Consultant will not be reimbursed for job related expenses except to the extent
specifically agreed within the attached exhibits.
C. Consultant shall furnish all tools and/or materials necessary to perform the Work
except to the extent specifically agreed within the attached exhibits.
D. In the event special training, licensing, or certification is required for Consultant to
provide Work he/she will acquire or maintain such at his/her own expense and, if
Consultant employs, sub-contracts, or otherwise assigns the responsibility to perform
the Work, said employee/sub-contractor/assignee will acquire and or maintain such
training, licensing, or certification.
E. This is a non-exclusive agreement and Consultant is free to provide his/her Work to
other entities, so long as there is no interruption or interference with the provision of
Work called for in this Agreement.
F. Consultant is responsible for his/her own insurance, including, but not limited to
health insurance.
G. Consultant is responsible for his/her own Worker’s Compensation coverage as well as
that for any persons employed by the Consultant.
19. Other Provisions:
A. Approval Authority. Each individual executing this Agreement on behalf of the City
and Consultant represents and warrants that such individuals are duly authorized to
execute and deliver this Agreement on behalf of the City or Consultant.
B. General Administration and Management. The City’s project manager is Sean Yi. In
providing Work, Consultant shall coordinate with the City’s contract manager or
his/her designee.
C. Amendment and Modification. This Agreement may be amended only by an
instrument in writing, duly executed by both Parties.
D. Conflicts. In the event of any inconsistencies between Consultant proposals and this
Agreement, the terms of this Agreement shall prevail. Any exhibits/attachments to
this Agreement are incorporated by reference only to the extent of the purpose for
which they are referenced within this Agreement. To the extent a Consultant
prepared exhibit conflicts with the terms in the body of this Agreement or contains
terms that are extraneous to the purpose for which it is referenced, the terms in the
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body of this Agreement shall prevail and the extraneous terms shall not be
incorporated herein.
E. Governing Law. This Agreement shall be made in and shall be governed by and
interpreted in accordance with the laws of the State of Washington and the City of
Renton. Consultant and all of the Consultant’s employees shall perform the Work in
accordance with all applicable federal, state, county and city laws, codes and
ordinances.
F. Joint Drafting Effort. This Agreement shall be considered for all purposes as prepared
by the joint efforts of the Parties and shall not be construed against one party or the
other as a result of the preparation, substitution, submission or other event of
negotiation, drafting or execution.
G. Jurisdiction and Venue. Any lawsuit or legal action brought by any party to enforce or
interpret this Agreement or any of its terms or covenants shall be brought in the King
County Superior Court for the State of Washington at the Maleng Regional Justice
Center in Kent, King County, Washington, or its replacement or successor. Consultant
hereby expressly consents to the personal and exclusive jurisdiction and venue of
such court even if Consultant is a foreign corporation not registered with the State of
Washington.
H. Severability. A court of competent jurisdiction’s determination that any provision or
part of this Agreement is illegal or unenforceable shall not cancel or invalidate the
remainder of this Agreement, which shall remain in full force and effect.
I. Sole and Entire Agreement. This Agreement contains the entire agreement of the
Parties and any representations or understandings, whether oral or written, not
incorporated are excluded.
J. Time is of the Essence. Time is of the essence of this Agreement and each and all of
its provisions in which performance is a factor. Adherence to completion dates set
forth in the description of the Work is essential to the Consultant’s performance of
this Agreement.
K. Third-Party Beneficiaries. Nothing in this Agreement is intended to, nor shall be
construed to give any rights or benefits in the Agreement to anyone other than the
Parties, and all duties and responsibilities undertaken pursuant to this Agreement will
be for the sole and exclusive benefit of the Parties and no one else.
L. Binding Effect. The Parties each bind themselves, their partners, successors, assigns,
and legal representatives to the other party to this Agreement, and to the partners,
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successors, assigns, and legal representatives of such other party with respect to all
covenants of the Agreement.
M. Waivers. All waivers shall be in writing and signed by the waiving party. Either party’s
failure to enforce any provision of this Agreement shall not be a waiver and shall not
prevent either the City or Consultant from enforcing that provision or any other
provision of this Agreement in the future. Waiver of breach of any provision of this
Agreement shall not be deemed to be a waiver of any prior or subsequent breach
unless it is expressly waived in writing.
N. Counterparts. The Parties may execute this Agreement in any number of
counterparts, each of which shall constitute an original, and all of which will together
constitute this one Agreement.
O. INVESTMENT ADVISER PROVISIONS
(a) Investment Management Services.
(i) The City hereby engages the Consultant to serve as investment
adviser under the terms of this Agreement with respect to the
City’s account(s) (the “Account”), and the Consultant accepts such
engagement. In connection therewith, the Consultant will provide
investment research and supervision of the Account’s investments
and conduct a continuous program of investment and evaluation
of the Account’s assets. The Consultant shall continuously monitor
investment opportunities and evaluate investments of the
Account. The Consultant shall furnish the City with statistical
information and reports with respect to investments of the
Account. The Consultant shall place all orders for the purchase,
sale, loan or exchange of portfolio securities for the City’s account
with brokers or dealers recommended by the Consultant and/or
the City, and to that end the Consultant is authorized as agent of
the Cityto give instructionsto the custodian designated by the City
(the “Custodian”) as to deliveries of securities and payments of
cash for the account of the City. In connection with the selection of
such brokers and dealers and the placing of such orders, the
Consultant is directed to seek for the City the most favorable
execution and price, the determination of which may take into
account, subject to any applicable laws, rules and regulations,
whether statistical, research and other information or services
have been or will be furnished to the Consultant by such brokers
and dealers.
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(ii) City and Consultant agree on the following explicit roles in the
conduct of the investment decisions, and Consultant’s authority to
implement those decisions. Consultant shall have no discretionary
authority under this Agreement. Consultant shall make investment
recommendations to the Cityin accordance with the Plan's written
Investment Policy Statement (which may be updated upon written
notice from the City to the Consultant without formal amendment
to the Agreement). City agrees to evaluate the recommendations
presented, and to either accept, reject, or modify the investment
recommendations provided. The City is not limited to Consultant’s
recommendations in the choice of investment decisions regarding
the investment or the allocation of funds among those products,
and Consultant may assist in the implementation of some or all
investment decisions. Consultant will analyze the City’s asset
class/style performance, investment risk asset allocation mix and
investment expenses and provide periodic reports to City.
(iii) In advising City’s Account, Consultant will rely upon information
that City furnishes to Consultant without any obligation to verify
such information. City agrees to notify Consultant promptly of any
significant change in City’s financial circumstances or investment
objectives that might affect the Investment Policy Statement or
otherwise affect the manner in which the Account should be
managed. City will promptly notify Consultant in writing if City
considers any investments recommended or made for the Account
to violate the Investment Policy Statement. City may at any time
direct Consultant to sell such securities or take such other lawful
actions as City may specify to effect compliance of the Account
with the Investment Policy Statement. City also agrees to provide
Consultant with such additional information as Consultant may
request from time to time to assist it in advising the Account.
Consultant's authority under this Agreement will remain in effect
until changed or terminated by City in writing as contemplated by
the terms of this Agreement.
(iv) City may at any time add or withdraw assets from its Account,
provided City gives Consultant reasonable notice.
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(b) Other Compensation. If and to the extent that the City shall request the
Consultant to render services other than the investment advisory services under this
Agreement, such additional services shall be compensated separately on terms to be
agreed upon between the Consultant and the City in writing.
(c) Expenses. Except as expressly provided otherwise herein, the Consultant and City
shall pay all of theirown expensesincurred for performing their obligations under this
Agreement and/or for related purposes, without right to reimbursement from the
other Party. For the City, this includes, without limitation, paying their own taxes,
commissions, fees and expenses of the City's independent auditors and legal counsel,
if any, including, but not limited to, those incurred in responding to any subpoenas,
brokerage and other expenses connected with the execution of portfolio security
transactions, insurance premiums, and fees and expenses of the Custodian.
(d) Registered Adviser. The Consultant hereby represents it is a registered
investment adviser under the Investment Advisers Act of 1940, as amended. The
Consultant shall immediately notify the City if at any time during the term of this
Agreement it is not so registered or if its registration is suspended.
(e) Consultant’s Other Clients. The City understands that the Consultant performs
investment advisory services for various other clients which may include investment
companies, commingled trust funds and/or individual portfolios. The City agrees that
the Consultant, in the exercise of its professional judgment, may give advice or take
action with respect to any of its other clients which may differ from advice given or
the timing or nature of action taken with respect to the Managed Funds. The
Consultantshall not have any obligation to purchase, sell or exchange any security for
the Managed Funds solely by reason of the fact that the Consultant, its principals,
affiliates, or employees may purchase, sell or exchange such security for the account
of any other client or for itself or its own accounts.
(f) Force Majeure. The Consultant shall have no liability for any losses arising out of
the delays in performing or inability to perform the services which it renders under
this Agreement which result from events beyond its control, including interruption of
the business activities of the Consultant or other financial institutions due to acts of
God, acts of governmental authority, acts of war, terrorism, civil insurrection, riots,
labor difficulties, or any action or inaction of any carrier or utility, or mechanical or
other malfunction.
(g) Consultant’s Standard of Care. The Consultant agrees to perform its duties and
responsibilities under this Agreement with reasonable care. Except as may otherwise
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be provided by law, Consultant will not be liable to City for (a) any loss that City may
suffer by reason of any investment decision made or other action taken or omitted in
good faith by Consultant with that degree of care, skill, prudence, and diligence under
the circumstances that a prudent person acting in a fiduciary capacity would use; (b)
any loss arising from Consultant's adherence to City's Investment Strategy Policy
Statement and/or instructions; or (c) any act or failure to act by Custodian, any broker
or dealer to which Consultant directs transactions for the Account, or by any other
third party. City shall indemnify and defend Consultant and its officers and employees
and hold them harmless from and against any and all claims, losses, damages,
liabilities and expenses, as they are incurred, by reason of any act or omission of City
or any custodian, broker, agent or other third party selected by Consultant in a
commercially reasonable manner or selected by City, except as arise from
Consultant's breach of fiduciary duty to City. Notwithstanding anything to the
contrary set forth in the Investment Policy Statement, Consultant will not be
responsible for determining or ensuring that City's Investment Policy Statement are
or will remain compliant with any laws or regulations applicable to City. The federal
and state securities laws impose liabilities under certain circumstances on persons
who act in good faith, and therefore nothing in this Agreement will waive or limit any
rights that City may have under those laws.
(h) Books. Consultant will furnish information, reports or statements at such times
and in such manner as City may from time to time reasonably request, and Consultant
shall report to City regularly at such times and in such detail as City may from time to
time reasonably determine to be appropriate, in order to permit City to determine
that Consultant’s Account assets areconsistent with the Investment Policy Statement.
Securities in the Account that are listed on a national securities exchange will be
valued at the closing price on the principal market on which the securities are traded
on the valuation date. Other securities or investments in the Account will be valued
in a manner determined in good faith by Consultant in accordance with Consultant's
valuation methods and procedures to reflect fair market value. Consultant will send
reports or statements to the address set forth on the signature page of this
Agreement or such other address to which City may request in writing that they be
sent.
(i) Brochure and Brochure Supplement. City acknowledges that it has been provided
with all information necessary in connection with the services to be provided by
Consultant hereunder, including a copy of Parts 2A and 2B of Consultant's Form ADV
prior to or at the time of City's execution of this Agreement.
(j) Execution. This Agreement may be executed in multiple counterparts, each of
which shall be deemed an original and all of which together will constitute one and
the same instrument. Counterpart signature pages may be delivered by email or
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other means of electronic transmission. Electronic signatures will be deemed original
signatures for all purposes.
IN WITNESS WHEREOF, the Parties have voluntarily entered into this Agreement as of the date
last signed by the Parties below.
CITY OF RENTON
By:_____________________________
CONSULTANT
By:____________________________
ƌŵŽŶĚŽWĂǀŽŶĞ
DĂLJŽƌ
Luke Schneider
Managing Director
_____________________________
Date
____ ___
Date
Attest
_____________________________
Jason A. Seth
City Clerk
Approved as to Legal Form
By: __________________________
Shane Moloney
City Attorney
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#
2/9/2026
Approved by Shane Moloney via email 12/31/2025
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Exhibit A
Scope of Services:
1. Provide full-time, non-discretionary investment advisory services of the portion of the City’s
portfolio under advisement.
2. Be available in a timely manner, in person, by telephone or e-mail, for consultation or
advice.
3. Review and recommend modifications, as needed, to the City Investment Policy.
4. Attend all quarterly Investment Committee meetings and prepare and present written
reports to include economic summary information, City investment activity and City
compliance with approved policies and state statues, without separate charge for costs of
such attendance.
5. Perform an independent third-party review of the total portfolio and individual trades.
6. Evaluate the overall risk to the portfolio associated with securities maintained in the
portfolio. Review, recommend, and assist with implementing changes to the current
investment portfolio and strategy.
7. Evaluate the current benchmarking techniques used to assess the portfolio performance,
and if needed, provide the City assistance in establishing new benchmarks.
8. Provide investment advice including break-even analysis and strategic recommendations for
portfolio rebalancing to optimize investment opportunities. An example would include the
recommendations made to sell low yield securities and replace them with higher yielding
securities.
9. Determine if current reporting practices are adequate, and/or recommend appropriate
modifications.
10. Comply with all Federal and applicable State of Washington laws as well as ordinances,
resolutions and policies of the City relating to investment of public funds, as reflected in the
Investment Policy Statement.
11. Annually perform due diligence reviews of current and proposed broker/dealers as
described in the City investment policy. Monitor the creditworthiness of the financial
institutions with which the City does business. Assist in in keeping the authorized financial
institution list updated. Monitor the creditworthiness of the City’s depository and custodian
bank and investments in the portfolio.
12. Provide a statement of upcoming cash flows including maturities, coupons, called securities
and potential callable investments for a period of 45 days weekly to the City. Upon request,
able to perform a statement of upcoming cash flows for a six-month period.
13. Provide City staff investment training and technical advice as needed. This includes working
with City staff to assure coordination of investment trades, delivery of the securities and
availability of funds. Assist with trade settlements. Obtain and document competitive
prices for securities transactions. Provide technical and fundamental market research
including yield curve analysis and future interest rate movements.
! "
PAGE 16 OF 16
14. Provide itemized invoices of charges and periodic status reports on the services provided by
the firm on monthly basis.
Fee Structure:
For services provided by the Consultant pursuant to this Agreement, the City shall
pay the Consultant amonthly feebased on the daily net assets under management at the
annualized percentage rate of 4 basis points (0.04%).
“Daily net assets” is defined to include the amortized value of securities, accrued
interest and the market value of cash or any money market fund balance. The
Consultant’s annual fee shall start to accrue as of the date that the City’s Account is
funded.
The minimum monthly fee is $3,330. For avoidance of doubt, in any month
commencing with the funding of the Consultant’s Account where the amount of the fee
calculated under the schedule above is less than the amount of such equal monthly
installment, then the amount of such equal monthly installment shall be applied.
The Consultant will bill the City monthly for service performed under this
Agreement, said bill to include a statement indicating the basis upon which the fee was
calculated. The City shall pay to the Consultant the amount payable pursuant to this
Agreement not later than on the 15th day of the month following the month during which
the Consultant's statement was rendered.
If and to the extent that the City shall request the Consultant to render services
other than those to be rendered by the Consultant hereunder, such additional services
shall be compensated separately on terms to be agreed upon between the Consultant
and the City.
! "
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