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Home My WebLink AboutUS Bancorp and US Bank Trade Services (Investment Disclosuer and Authorization Letter) 2011 INVESTMENT DISCLOSURE AND AUTHORIZATION LETTER U.S.Bancorn and U.S.Bank TRADE SERVICES Pro prietar and Non-Pro vrietar�Products U.S. Bancorp offers investment trading services to Corporate Trust customers ("Accounts") through its fixed income trading unit(U.S. Bank, NA) or an affiliated broker dealer(collectively the "Money Center"). Such trades may include: fixed income U.S. Government securities; U.S. Government Agency securities; negotiable or non- negotiable certificates of deposit; unsecured commercial paper; bank notes; medium term notes; municipal bonds; corporate bonds; and variable rate demand notes where U.S. Bancorp, its affiliates or an associated party is the issuer or product provider, e.g., U.S. Bank Notes and U.S. Bancorp Medium Term Notes (collectively"Proprietary Assets"). Descriptions of Proprietary Assets are set forth in Exhibit A attached hereto. Additional specific information on assets available through the Money Center, including credit ratings,may be obtained upon request to your Account Manager. Corporate Trust Services Customers using the Money Center receive competitive market pricing on directed asset transactions as follows: Non-Proprietary Assets. Purchasers are charged a spread or "mark" which is the difference between the Money Center's purchase price for the asset and the sale price to an Account. The mark on non-proprietary assets is typically less than .50% of the securities' par value, and in no case will it exceed 2%of the securities' par value,calculated on an annualized basis. Proprietary Assets. US Bank receives a financial benefit from the sale of Proprietary Assets. The yield for Proprietary Assets is set as a spread below U.S. Bank's wholesale funding cost, i.e., the cost of raising funds from other, non-retail sources. Generally, the resulting financial benefit to U.S. Bank will be equivalent to .25%to .75%of the product's par value calculated on an annualized basis. By signing this form and providing investment directions to U.S. Bank, you acknowledge that you have reviewed investment alternatives and you approve asset purchases using the Money Center, including purchases of Proprietary Assets, and U.S. Bank's or an affiliate's receipt of compensation(as described above)resulting from such directed trades. Unless specifically waived by written agreement,you will receive written confirmation notices of all Money Center Account trades from U.S. Bank. You will be provided prior written notice of any changes in the Money Center pricing structure described above. As a directing Account party you control the initiation and terms of investments selected for your Account. At any time, you may direct that the purchase of an asset be executed through an independent broker. Further,you may revoke this Investment Disclosure and Authorization Letter at any time upon written notice to U.S.Bank. If you desire to engage U.S.Bank to provide trading services to your Account, including the purchase of Proprietary Assets for your Account, and you approve of U.S. Bank's or its affiliates' compensation in connection with such transactions, all as described herein, please sign below and return this Letter. Authorization will continue to be required directing U.S. Bank to buy or sell securities as required by the Account's governing documents. In the absence of specific written direction to the contrary regarding any future directed investments for your Account, U.S. Bank will utilize the Money Center for placing and executing directed investments for your Account. ACKNOWLEDGED AND APPROVED: City of Winter Springs Florida ,�- Company Name 5� nature of (,rhz�ized Directing Party Title:ltanee �r3sr ........... ....... Trust Account Number—includes existing Date: 04/14/2011 and future sub-accounts unless otherwise designated. EXHIBIT A U.S.BANK PROPRIETARY PRODUCTS Certificates of Deposit. Certificates of deposit may be negotiable or non-negotiable, i.e., required to be held by the account until their deposit maturity date. Certificates evidence the general deposit liability of U.S.Bank to hold for a fixed period the funds deposited with it for, and pay interest to, the deposit owner at a rate as in effect for the deposit period on the date the certificate of deposit is issued. Interest rates paid on such certificates of deposit are set at the time they are issued at levels equal to current rates for comparable deposits established by U.S. Bank from time to time. Certificates of deposit are FDIC insured per depositor, as determined under FDIC regulations,up to applicable FDIC limits. Eurodollar Deposits. Eurodollar deposits evidence the general liability of U.S. Bank to hold for a fixed period the funds deposited with it for, and pay interest to, the deposit owner at a rate as in effect for the deposit period on the date the certificate of deposit is made. Such deposits are established and maintained at the Cayman Island foreign branch of U.S.Bank. Interest rates paid on such Eurodollar deposits are set at the time they are issued at levels equal to current rates for comparable deposits established by U.S. Bank from time to time. As deposits maintained outside the United States,the Eurodollar deposits could be subject to law changes or other actions by the government of the country where the deposits are maintained. Eurodollar deposits are not FDIC insured or guaranteed by any governmental agency or authority, or by U.S.Bank. Repurchase Agreements. Repurchase agreements are contracts with U.S. Bank for the purchase of U.S. government or other debt securities at a specified price and U.S. Bank's obligation to repurchase those securities back at a higher price after a specified period, or at the demand of the investing party. The differences in the purchase and repurchase price provides earnings to the trust account and both prices are established at market competitive levels at the commencement of the transaction at the earning rate for non-collateralized U.S. Bank obligations less the collateral value costs based on market levels for the type and amount of collateral. The repurchase price paid on such repurchase agreements are set at the time they are issued at levels equal to current rates for comparable repurchase agreements established by U.S. Bank from time to time. The repurchase agreements are not FDIC insured or guaranteed by any governmental agency or authority, or by U.S.Bank. Bankers' Acceptances. Bankers' Acceptances are a method of financing that a bank may provide to its customers to support the import, export or domestic shipment of goods or to finance the storage of properly titled goods. A bankers' acceptance is often issued in conjunction with a Letter of Credit. A U.S. Bank bankers' acceptance is purchased at a discount to its face value and redeemed on the maturity date at the face value. The bankers' acceptances are not FDIC insured or guaranteed by any governmental agency or authority. U.S. Bank or U.S. Bancorp Term or Daily Liquid Commercial Paper. Interest rates paid on fixed-income unsecured term commercial paper securities issued by U.S. Bank, or its parent corporation,U.S. Bancorp, are set at the time they are issued at levels comparable to current rates for commercial paper securities of similar terms, security and market demand as indicated by Bloomberg on-line quotations of such rates. Interest rates paid on the daily liquid (open-ended) unsecured commercial paper issued by U.S. Bank is calculated on the daily balance method(actual/360),accrued daily and paid monthly. Daily liquid commercial paper interest rates are determined at U.S. Bank's discretion as a daily variable rate priced based on nationally recognized indexes including the Target Fed Funds (TFF) index less a funding spread or 1 month LIBOR less a funding spread. Reset and payment date of LIBOR priced products will be the first of each month. Commercial paper securities are not FDIC insured or guaranteed by any governmental agency or authority,or by U.S.Bank. If you determine to discontinue investment of your trust account funds in an investment described above, you can direct U.S. Bank as account trustee to sell such investment and purchase different securities. U.S. Bank does not have a duty nor will it undertake any duty to provide investment advice to you. Investment advice, if needed,should be obtained from your financial advisor. t ' Revised 2/15/11