Request For Proposals For Municipal Advisory Services For Pickens County, South Carolina

Transcription

1 Request For Proposals For Municipal Advisory Services For Pickens County, South Carolina I. REQUEST Pickens County, South Carolina (the County ), invites written proposals from qualified financial advisory firms wishing to serve the County as municipal advisor. The County is planning a number of large scale capital improvements and is looking for advice on how best to structure the financing of the improvements. II. BACKGROUND The County was founded in 1868 and named for Revolutionary War hero Andrew Pickens. Nestled in the Appalachian highlands of northwestern South Carolina, the County encompasses approximately 497 square miles. The County operates under the Council- Administrator form of government, which is governed by a six-member County Council (the County Council ). Presently, the County has outstanding the following general obligation bonds: (a) the now outstanding $641,047 of the originally issued $3,222,090 General Obligation Bond, Series 1999 (Pickens County Sewer District Promissory Note to the South Carolina Water Quality Revolving Fund Authority) dated December 18, 2007 (the 1999 Bond ); and (b) the now outstanding $1,533,547 of the originally issued $3,112,288 General Obligation Bond, Series 2001 (Intergovernmental Contract Related to Georges Creek (Capacity) Project) dated November 28, 2001 (the 2001 Bond ); and (c) the now outstanding $915,877 of the originally issued $1,988,315 General Obligation Bond, Series 2004 (Intergovernmental Contract Related to Georges Creek (Trunk Line) Project) dated November 28, 2001 (the 2004A Bond ); and (d) the now outstanding $293,000 of the originally issued $1,100,000 General Obligation Bond, Series 2004 (Vineyards Fire Protection District Project) dated June 18, 2004 (the 2004B Bond ); and (e) the now outstanding $651,030 of the originally issued $1,024,709 General Obligation Bond, Series 2007A (Pickens County Sewer District) dated September 25, 2007 (the 2007A Bond ); and (f) the now outstanding $2,131,317 of the originally issued $3,266,039 General Obligation Bond, Series 2008B (Pickens County Sewer District Roper Project) dated December 18, 2007 (the 2007B Bond ); and

2 (g) the now outstanding $115,000 of the originally issued $197,000 General Obligation Bond, Series 2008A (Vineyards Fire Protection District Project) dated July 28, 2008 (the 2008A Bond ); and (h) the now outstanding $962,740 of the originally issued $1,800,000 General Obligation Bond, Series 2008B (Springs Fire Protection District) dated October 8, 2008 (the 2008B Bond ); and (i) the now outstanding $290,000 of the originally issued $950,000 General Obligation Bond, Series 2010 dated September 10, 2010 (the 2010 Bond ), which was issued for the benefit of Crosswell Fire Protection District, Pumpkintown Fire Protection District, Shady Grove Fire Protection District, Springs Fire Protection District and Vineyards Fire Protection District; and (j) the now outstanding $580,161 of the originally issued $1,000,000 General Obligation Bond, Series 2013A (Pickens Rural Area Fire Protection District) date November 21, 2013 (the 2013A Bond ); and (k) the now outstanding $1,633,745 of the originally issued $2,000,000 General Obligation Bond, Series 2013B dated November 21, 2013 (the 2013B Bond ), which was issued for the benefit of Pickens Rural Area Fire Protection District and Liberty Area Rural Fire Protection District; and (l) the now outstanding $604,411 of the originally issued $700,000 General Obligation Bond, Series 2015 (Shady Grove Rural Area Fire Protection District) dated January 22, 2015 (the 2015 Bond ). Respecting the 1999 Bond, the 2004B Bond, the 2007A Bond, the 2007B Bond, the 2008A Bond, the 2008B Bond, the 2010 Bond, the 2013A Bond, the 2013B Bond and the 2015 Bond, taxes or fees will be imposed and collected only within the particular special districts benefitted therefrom; thus, such indebtedness shall not count against the County s eight-percent constitutional bonded debt limit. Presently, the County has two obligations chargeable against its constitutional debt limitation, the 2001 Bond and the 2004A Bond. The 2001 Bond and the 2004A Bond are currently outstanding in the aggregate principal amount of $2,449,424 and chargeable against the debt limit. After applying the outstanding principal due on the 2001 Bond and the 2004A Bond against the County s bonded debt limit, the County is authorized to borrow not exceeding $34,743,953 by way of general obligation debt. In addition to its general obligation debt, the County also has outstanding a number of capital lease obligations. Further, the County has established the Pickens County Sewer District (the District ). The District has outstanding four revenue bond obligations secured by the gross revenues of the sewer system (all held by USDA, Rural Development). III. SCOPE OF SERVICES The County Council has authorized the County Administrator of the County (the Administrator ) to retain the services of a financial advisory firm to advise it in connection its 2

3 indebtedness (outstanding and to be issued). In serving in such capacity, it is expected that the municipal advisory firm would: A. Participant Assistance - Assist in development of long-term strategic plans, financial initiative, capital planning and investments; - Evaluate possible financing options for the County, including the identification of refunding options; - Evaluate and assist in securing credit enhancement, if necessary; - Evaluate trustee proposals; and - Evaluate County s credit quality and financial strength using typical industry standards. B. Bond Document Participation and Review - Attend all organizational, document review, and special meetings related to a bond financing; - Evaluate, advise and consult with the County and bond counsel regarding financial and non-financial bond covenants of each bond issue; - Assist in furnishing materials and data to rating agencies and bond insurers; - Assist in structuring bond transactions, facilitate the sale of the County s obligations and administer rating and insurance proceedings, as needed; - Review, monitor and advise the County regarding interest rates, spreads and other costs; - Assist participant in evaluating the investment of bond proceeds for construction fund, debt service fund, escrow, etc.; and - Attend all required County meetings and any special meetings with the County, bond counsel, bond insurers and rating agencies as the County deems necessary. C. Post-Issuance Assistance - Advise County on post-issuance changes, credit enhancement, management consultants, etc; - Conduct post issuance reviews as requested by the County; - Provide a report to the County staff and/or County Council on the project and the bond issue sale; and - Assist County staff by evaluating program proposals or changes in policy. IV. PROPOSAL SUBMISSION REQUIREMENTS (A) Submission Proposals responding to this request for proposals shall be submitted by electronic mail ( ) to the following: Gerald Wilson, County Administrator geraldw@co.pickens.sc.us 3

4 Ralph Guarino, Finance Director All proposals must be received no later than 5:00 P.M. on Wednesday November 9 th Late proposals will not be accepted. (B) Questions Any questions about this request for proposals shall be submitted by electronic mail to: Ralph Guarino, Finance Director ralphg@co.pickens.sc.us Questions must be submitted no later than 5:00 P.M. on Wednesday November 2 nd All responses will be electronically mailed to all recipients in the same manner and to the same persons to whom this request for proposals was sent. V. PROPOSAL FORMAT AND REQUIREMENTS (A) Cover Letter Prepare and submit a cover letter with the transmittal. Include the name, address and telephone number of the primary company representative(s) to be contacted regarding your submission. (B) Personnel, Qualifications and Experience Address the following areas: 1. Identify the individuals assigned to work with the County, including a brief resume of each. Specify location and availability of each individual assigned to this matter. Do not identify any persons who would not have regular contact with the County. 2. Please provide BrokerCheck (FINRA) reports on your firm and all individuals assigned to work with the County. 3. Name all counties in South Carolina to which you currently serve as municipal advisor and provide the name, and telephone numbers of at least three individuals who may be contacted as references. 4. Describe any business situations that have occurred in the last five (5) years where your services as a municipal advisory firm were terminated or your firm was asked to resign. 5. Describe any relationship or possible conflict of interest with any other local 4

5 government entities in the County. 6. Describe any innovations your firm has developed or worked on for taxexempt issues, and/or taxable issues, with a brief outline of the project, your solution and the results. 7. Describe the nature and magnitude of any litigation, regulatory matter (including current or pending) or other proceedings (including current or pending) whereby, during the past five (5) years, a court or any administrative agency has ruled against your firm in any matter related to professional municipal activities. Disclose any settlement agreements reached with any agency. (C) Fees and Costs Describe your proposed fee schedule for the work proposed, including a description of any expenses to be reimbursed by the County. VI. EVALUATION PROCESS The Administrator will evaluate all proposals received and will select up to three firms for further evaluation. Each of the selected firms may be requested to make a presentation to the Administrator. The County Council has authorized the following tentative schedule for the selection process: October 17 th 2016 November 2 nd 2016 November 9 th 2016 November 16 th 2016 November 29th 2016 December 5 th 2016 Request for Proposals Issued Question Window Closes Deadline for Submission Firms selected for In-person or Telephonic Interviews Conduct Interviews Administrator Selects Financial Advisor VII. EVALUATION CRITERIA The Administrator has been tasked by the County to select the municipal advisory firm that is most advantageous to it based on the following: Experience, Qualifications and References of Firm 40% 5

6 Qualifications of Assigned Personnel Location and Accessibility of Firm Proposed Fee Schedule 30% 15% 15% VIII. LIMITATIONS The County reserves the right to cancel this request for proposals and to reject any or all proposals in whole or in part, when it is for good cause and in the best interests of the County, at its sole discretion. Additionally, any agreement between the County and the municipal advisory firm chosen may be terminated at any time by the Administrator if deemed in the best interest of the County. If through, any cause, the firm shall fail to fulfill in a timely and proper manner the obligations requested herein, the County shall provide a written notice of the date of termination to the firm at least thirty days before the termination date; in this event, the firm shall be entitled to just and equitable compensation for any satisfactory work completed. IX. CONCLUSION We thank you in advance for your participation in this matter and we look forward to receiving your submission. 6