Download PART TWO SPECIFICATION DOCUMENT FOR RUTLAND

PART TWO
SPECIFICATION DOCUMENT FOR
RUTLAND COUNTY COUNCIL’S
TREASURY MANAGEMENT
ADVISORY SERVICES
Specification
1.
Introduction
1.1.
Rutland County Council wishes to appoint a provider of Treasury Management
Advisory Services for the five year period commencing on 1 April 2014.
1.2.
This section sets out the Council’s core requirements for its Treasury
Management Advisory Services.
2.
Treasury Management Advisory Service
2.1.
The successful supplier is required to provide a treasury management advisory
service for Rutland County Council which will include but not limited to; regular
and frequent provision of financial market information in relation to borrowing
and investments, economic forecasts, notification of debt rescheduling
opportunities as they arise, timely notification of changes to credit ratings for the
three main credit rating agencies (Fitch, Moody’s and Standard & Poors),
provision of Treasury Management training and other Treasury Management
provision as set out in this specification.
3.
The following services are required by Rutland County Council:
3.1.
Economic Analysis and Interest Rate Forecasting
The supplier is required to:
 Provide market information relating to investments/borrowing on a
daily/weekly basis.
 Provide economic forecasts every quarter
3.2.
Debt Management Opportunities
The supplier is required to:
 Notify the Council of debt rescheduling opportunities as and when they arise.
 On an ad-hoc basis, undertake loan rescheduling/repayment calculations at
the request of the Council.
3.3.
Investments – Advice
The Supplier is required to provide specific advice on a range of investments
including Money Market Funds (MMFs), Bond Issues and any other Investment
Instruments as required. The Supplier is to alert and provide advice on new
investment products.
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3.4.
Investments – Counterparty Credit Rating Information
The supplier is required to:
 Provide a counterparty credit rating list tailored to Rutland County Council’s
individual investment strategy on a daily basis
 Alert the Council to any counterparty credit rating changes by Fitch, Moody’s
and Standard & Poors for all institutions immediately after the occurrence of
a change.
 Provide a full counterparty credit rating list on a daily basis to assist with
monitoring of existing arrangements to include advice on maximum
investment periods and also to include maximum investment periods
adjusted by Credit Default Swaps (CDS) information
3.5.
Legislative/Accounting Transactions Comment
The supplier is required to:
 Comment on legislative changes in accounting practice as they occur or are
requested by the Council
 Comment on CIPFA Code of Practice on Local Authority Accounting, or
equivalent, changes to accounting practice as they occur or as requested by
the Council
 Comment on the interpretation of legislative regulations as they occur or as
requested by the Council
 Provide updates/comment in relation to topical issues (e.g. consultation
documents) as they occur or as requested by the Council.
3.6.
Closure of accounts and technical service
The Supplier will be required to provide an annual closure of accounts service
as part the contract to include provision of Fair Value calculations for all loans
and investments and, if required, a review of Treasury Management Closure of
Accounts Working Papers.
The supplier will be required to provide ad hoc technical advice/review of
calculations as required.
3.7.
Training
The supplier must:
 Provide treasury management training to Members for up to 10 delegates.
This is usually required annually by the Council. This will be held at Rutland
County Council offices. Content of training to be agreed with the Council
prior to delivery.
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 Provide access to Treasury Management Economic Seminars for 4
delegates from the Council, usually on an annual basis. Venue to be
determined by the supplier.
 Additional places on any of the above training may be requested by the
Council during the life of the agreement.
3.8.
Data Sharing
All data must be supplied in a Microsoft Office or.pdf format.
3.9.
Staff Qualifications/Experience
The Relationship Manager allocated to work on this contract must be CCAB
(Consultative Committee of Accounting Bodies) qualified with a minimum of 5
years local government/public sector experience in this area.
Officers involved in providing Advice and Closure of Accounts Review and Fair
Value Calculations must be CCAB qualified, preferably with a minimum 5 years
local government/public sector experience.
The successful supplier must have access to qualified Economic Analysts with
relevant experience in this area.
The successful supplier must have significant experience of rescheduling debt
with other local authorities or Public Bodies.
3.10. Contract Management
The Council is keen to build strong contractual relationships with the successful
supplier to ensure the Council receives a quality service and efficiencies are
realised.
From a strategic perspective the contract will be managed by a representative
from the Council’s Finance team. Bi-annual performance meetings will be
arranged by the Contract Manager and the meetings will be open for
attendance by service specific stakeholders if required. These meetings will
address (but not be limited to):
 Information provision
 Economic outlook
 Technical issues
 Training opportunities
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Rutland County Council specific:
 Treasury objectives
 Debt portfolio position
 Strategy
 Investment position
3.11. Review of Contract
At the inception of the contract, more regular review meetings may be required
to ensure a smooth implementation. This requirement will be discussed with the
successful supplier.
The successful supplier will also be required to appoint a dedicated relationship
manager within their organisation to oversee the contract and ensure smooth
continuity throughout the contract period at both an operational and strategic
level.
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