Recommendation to adopt Specifications No. RFP FM15-011 and award a contract to Chandler Asset Management, Inc., of San Diego, CA, to provide investment advisory and management services, in an annual amount not to exceed $300,000, for a period of two years, with the option to renew for three additional one-year periods, at the discretion of the City Manager.  (Citywide)
Item nine. Report from Financial Management. Recommendation to Award. Contract to Chandler Asset Management to provide investment advisory and management services in an annual amount not to exceed 300,000 citywide. Set in motion. Moved by Councilmember Durango, seconded by Councilman Austin. So any member of the public that wished to address Council one, item nine. Seeing none. Members, cast your vote. I'm sorry. Very good. You click as the address. I don't know the answer to this first question. Have we ever had this before? This type of management contracts and to if so. What is different between that one? If we if we had this type of contract in place when we lost the. Forgive me, I forget the figure was a 20 million through the Lehman Brothers debacle at the beginning of the decade. And how have we vetted this this company? Are they in somebody's back pocket? Do we and the council people know how many companies they've looked at. If you don't, let me suggest you hold this over and take a look at it. You know, we're not rolling in money. So you've taken some there are some positive steps and saying, hey, you're least know that you don't know what you should know. So have you looked at what the alternatives are? The barn's not on, and nothing's going to happen in the next 60 days that would impact this. So if you don't have three options presented to you and their histories. Just like you listen to options of who's going to build your city hall, you should certainly have options as to who's going to manage your money. Is it going to be Homer Simpson? Is it going to be Bob Foster? Who's going to manage your money? So you don't want your record to show the changes? I just rubber stamp this. Without looking at alternatives and just relied on the same people that got us into this situation we're in now. Thank you, Mr. Goodhue. Councilman Austin. Thank you in for the public watching at home. I wanted to just address this with the city manager before we take a vote, too. Can you answer the question whether or not we've actually had this service before and how we reached the conclusion to go with this particular management company for the contract? Our city treasurer, David Nakamoto, will answer the question. Honorable Vice mayor and members of the city council. Yes, we've had this type of relationship in place before. Five years ago, we did RFP for these services and Chandler Asset Management was the winner of that RFP process. They have worked with us for five years. We are because their contract has expired at this point. We took it took upon ourselves to to redo the RFP process. And again, the they won this particular contract at the same pricing that they had in prior in the prior engagement. And have we been satisfied with their performance over the last five years? Yes, I believe we have, sir. Okay. Thank you very much. And, you know, I just I think it's important to know and to to disclose to the public that oftentimes these city council members are briefed by our city manager and staff prior to these meetings . And oftentimes it may seem as though we're rubberstamping oftentimes many of our questions have been answered and in our briefings, weekly briefings with with the city management. And so I do appreciate the public comment and I do appreciate your your response. So thank you. Thank you, Councilman Alston. There's been a motion and a second. Members, please cast your vote. Councilman Andrews. Motion carries seven zero.