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FINAloTCIAL ADVISORY CONTRACT
<br />(M.A.C. Form, GI hevised. Standard Form oj ilgree.ment betwee.n Political Subdivision
<br />and Fenwicial Advisor Covering Issuance of Securities. Form approved by the Munietipal
<br />Advisory Councz.l for Use of Members Only.)
<br />Date April 13, 1981
<br />Honorable Mayor & City Gouncil
<br />To•
<br />City of par~.s,
<br />Paris, Texas, 75460
<br />Gentlemen :
<br />l.. We understand that you are contemplating the issuance of securities of the kinds, in the amounts,
<br />and for the purposes indicated as follows :
<br />$650,000 City of paris, Texas, Certificates of Ubligation, 5eries 1981
<br />payable from ad.valorem taxes, for the purpose of paying professional
<br />fees in connection with a new sewer disposal plant. and that in connection with the issuance of these securities you desire this proposal from us to perform
<br />professiona] services in the capacity of Financial Advisorfor City of Paris~Texas_____
<br />(hereinafter called "Issuer").
<br />2. By this proposal we offer our professional services and our facilities as Financial Advisor for the
<br />issuance and sale of the above-described securities, and in that capacity we agree to perform the following
<br />duties, and to perform such other duties, as, in our judgment, may be necessary or advisable:
<br />a. We will make a survey of ttie financial resources of the Issuer to determine the extent of its
<br />borrowing capacity. 1'his survey will include an analysis of the existing debt structure as com-
<br />pared to existing and projected sources of income which may be pledged to secure payment of
<br />debt service, and where appropriate, will include a study of the trend of the assessed valuation of
<br />the Issuer, the Issuer's taxing power, and the present and estimated future taxing requirements.
<br />If the revenues of a system or facility are to be pledged to repayment of the securities in ques-
<br />tion, the survey will take into account any outstanding obligat;ions which are payable from the
<br />net revenues thereof, additional net revenues to arise from any proposed rate increase, and the
<br />additional net revenues as pro;jected by your consulting engineers as a result of the improve-
<br />ments to be financed by the securities in question. We will also take into account your future
<br />financing needs and aperations as pro,jected by your staff and/or your consulting engineers and
<br />other experts.
<br />b. On the basis of the infoi-mation developecl by the survey described in the above and foregoing
<br />paragraph, and on the basis of othe,r information and experience available to us, we will submit
<br />our written recommendations on the financing in question. Our plan will include recommenda-
<br />tions as to the date of issue, interest payment dates, schedule of principal maturities, options of
<br />prior payment, and any other necessary additional security provisions designed to make the is-
<br />sue more attractive to investors. AIl recommendations will be based on our best professional
<br />judgment, with the goal of designing securities which can be sold under terms most advan-
<br />tageous to Issuer, and at the lowest interest cost consistent with all other considerations.
<br />c. We will advise you of current bond market conditions, forthcoming bond issues, and other gen-
<br />eral information and economic data which mighti normally be L.xpected to influence the interest
<br />rates or bidding conclitions, so that the date for the sale of the securities can be set a time,
<br />which, in our opinion, will be favorable.
<br />d. If it is necessary to hold an election to authorize the securities, we will, under the direction of the
<br />bond attorzieys, assist in coorclinating the assembly and transmittal to the bond attorneys of
<br />such data as may be i•equired for the preparation of the necessary petitions, orders, resolutions,
<br />notices and certificates in connection with the election.
<br />We will coordinate the preparation and submission of the Official Notice of Sale, the Official
<br />Statement or Offering Statement, and such other market documents which you may require. We
<br />will also supervise preparation of the uniform bid form, con*aining provisions recognized by the
<br />mu:licipal securities industry as being consistent with the securities offered for sale. We will
<br />submit to you all s«ch offering doeuments, including the Official Statement, for your proper
<br />exarriination, approval and certification. After such examination, approval and certification we
<br />will furnish you with a suppl,y of such docaments and shall mail a set of the same to a list of
<br />prospective bidders, a copy of Nvhich list shall be submitted to you upon request. We will also
<br />supply sufficient copies of the Official Statement or Offering Statement to the purchaser of the
<br />securities in accordance with the terms of the Notice of Sale.
<br />EXHIBIT B TO RESOLUTION 110. 2095
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