HomeMy WebLinkAboutReso 91-421 - Approve Fiscal agent agreement between the Shasta Co Dist Attorney, County of Shasta, COR, & City of Anderson, which, inter alia, appoints City of Anderson as Fiscal Ageny for COR to receive, invest, disburse assets seizeb by COR SINTF RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
APPROVING THE FISCAL AGENT AGREEMENT BETWEEN THE SHASTA
COUNTY DISTRICT ATTORNEY, THE COUNTY OF SHASTA, THE.
CITY OF REDDING, AND THE CITY OF ANDERSON, WHICH, INTER
ALIA, APPOINTS THE CITY OF ANDERSON AS FISCAL AGENT FOR
THE CITY OF REDDING TO RECEIVE, INVEST, AND DISBURSE
ASSETS SEIZED BY THE CITY OF REDDING OTHER THAN THROUGH
ITS PARTICIPATION IN SINTF; AND AUTHORIZING THE MAYOR
TO SIGN SAID AGREEMENT.
WHEREAS, California Health and Safety Code Section 11470
sets forth the various types of property and money derived from
controlled substances that are subject to forfeiture through
Court proceedings; and
WHEREAS, the Shasta County District Attorney has requested
that all assets seized by Shasta County Agencies, other than
through participation in SINTF, be deposited with the City of
Anderson, which has agreed to act as Fiscal Agent for the
District Attorney and the other participating agencies; and
WHEREAS, an agreement is needed between the parties to
define the responsibilities of the Fiscal Agent in receiving,
investing, and disbursing the assets seized by the participating
agencies when acting on their own and not through SINTF; and
WHEREAS, it is the recommendation of the Chief of Police
that the City of Anderson be appointed Fiscal Agent for the City
of Redding to receive, invest, and disburse the assets seized by
the City of Redding, other than through Redding' s participation
in SINTF;
NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of
the City of Redding as follows:
t
1 , That the City Council of the City of Redding hereby
approves the City of Redding entering into the above-mentioned
Fiscal Agent Agreement between the Shasta County District
Attorney, the County of Shasta, the City of Redding, and the City
of Anderson, which, inter alia, appoints the City of Anderson as
Fiscal Agent for the City of Redding to receive, invest, and
disburse assets seized by the City of Redding other than through
its participation in SINTF.
2 . That the Mayor is hereby authorized and directed to
sign said Agreement, a true copy of which is attached hereto and
incorporated herein by reference, on behalf of the City of
Redding; and the City Clerk is hereby authorized and directed to
attest the signature of the Mayor and to impress the official
seal of the City of Redding thereto.
I HEREBY CERTIFY that the foregoing Resolution was
introduced and read at a regular meeting of the City Council of
the City of Redding on the 1st day of October , 1991, and was
duly adopted at said meeting by the following vote:
AYES: COUNCIL MEMBERS: ARNESS, BUFFUM, FULTON, MOSS I DAHL
NOES: COUNCIL MEMBERS: NONE
ABSENT: COUNCIL MEMBERS: NONE
ABSTAIN: COUNCIL MEMBERS: NONE
//ZVI
MIKE DAHL, Mayor
City of Redding
ATTEST: FOR PROVED: 01
ETHEL A. NICHOLS, City Clerk R DALL A. HAYS, ity Attorney
2
FISCAL AGENT AGREEMENT
In that the CITY OF ANDERSON, a municipal corporation, has
previously entered into an agreement to act as the FISCAL AGENT
for the Shasta Interagency Narcotics Task Force (SINTF) ; and
Whereas-, that agreement deals only with the responsibility
of the CITY OF ANDERSON to receive forfeited assets on behalf of
the participating agencies in SINTF with respect to assets seized
through SINTF activities; and
Whereas, an agreement is needed to define similar
responsibilities to receive, invest and disburse assets seized by
some of these same agencies acting on their own and not through
the foregoing task force;
IT IS HEREBY AGREED THAT:
1 . FISCAL AGENT DEFINED. The fiscal agent under this
agreement shall be the local government agency which receives all
forfeited cash and other liquid assets on behalf of each of the
participating agencies and which performs those limited financial
duties described in this agreement . The term "fiscal agent" , as
used herein, is not intended to imply that the agency accepting
this role exercises financial responsibility for any other
activities of the participating agencies . The actual trustee, by
law, of all such seized assets is the Shasta County District
Attorney, but through this Agreement said trustee is arranging to
have a fiscal agent perform some of the trustee' s duties on
behalf of said trustee and on behalf of each participating
agency.
2 . DESIGNATION OF FISCAL AGENT. The CITY OF ANDERSON shall
serve as fiscal agent for the Shasta County District Attorney and
for each of the agencies participating herein effective on the
date that the District Attorney and all such agencies have signed
this agreement.
3 . RESPONSIBILITIES OF FISCAL AGENT. The fiscal agent
shall have the following responsibilities :
a . To receive and invest all liquid assets derived from
asset seizures and turned overto the fiscal agent;
b. To hold and invest all forfeited cash and other
liquid assets on behalf of each participating agency;
C . To distribute forfeited liquid assets to the
participating agencies or to relinquish them to the appropriate
persons in accordance with the law; and
-1-
d. To provide for an annual audit of all liquid assets
it receives .
4 . RESPONSIBILITIES RE: DEPOSITS/NOTIFICATION.
Each of the agencies participating herein will have the
capability of making direct deposits of seized liquid assets into
the bank account of the fiscal agent. If an agency makes such a
deposit rather than submitting such assets to the finance
department of the fiscal agent, such agency will within three ( 3)
days thereafter notify the fiscal agent that such deposit has
been made. The purpose of this is to allow the fiscal agent to
withdraw and reinvest those funds as soon as possible without
waiting on its monthly bank statement to provide notice that such
funds have come in.
5 . RESPONSIBILITY OF INVESTING LIQUID ASSETS . The fiscal
agent shall have the responsibility of investing all liquid
assets it receives . In investing these assets it need not
physically segregate them in separate accounts 'from other
investments of its own but shall keep records adequate to
document the amount of each individual seizure invested and to
ascertain interest earnings on each such seizure for the period
of time it is invested. Interest earnings shall be calculated on
month-end account balances rather than prorated on a daily basis
from the date of deposit.
The types of depositories and entities in which the fiscal
agent may invest seized assets shall be the same as in the case
of its own funds . The investments shall, however, provide
sufficient accessibility so that assets are available for release
or distribution as required by law and the policies and
procedures of each participating agency. Subject to these
limitations, the fiscal agent may otherwise exercise its
discretion in making investments of seized assets .
6 . RESPONSIBILITY OF DISTRIBUTION/RELINQUISHING ASSETS.
a . The fiscal agent shall be responsible to release
assets to the appropriate person or entity upon receipt of a
letter of distribution together with either a Declaration of
Forfeiture Notice or a Court Order. Except to cover expenses and
as provided below, any interest earnings on the principal sums
released will be released to that same person or entity unless
instructions to the contrary are included in the Notice or Order.
b . With regard to those liquid assets deemed
"forfeited" , having completed the legal review process, the
fiscal agent shall pay or distribute them as follows :
( 1 ) The CITY OF ANDERSON as fiscal agent, will be fully
reimbursed for all expenditures made or incurred in connection
with its receipt, investment, safekeeping, audit and disbursement
-2-
of seized assets and, in addition thereto, the CITY OF ANDERSON
sr�all be paid five percent ( 5% ) of all interest earned on
forfeited assets during such time as they are invested by the
fiscal agent.
(2 ) Ninety percent of the balance shall be distributed
as follows :
(a) Fifteen percent to the District Attorney' s
Office which processes the forfeiture action.
(b) Eighty-five percent to the participating
agency which made the original seizure.
(3) Ten percent of the balance to the office of
Criminal Justice Planning.
7 . RESPONSIBILITY TO AUDIT ASSETS .
The fiscal agent may exercise its own' discretion in
selecting an appropriate auditor. No less frequently than
annually prior to the end of each fiscal year the fiscal agent as
a part of its own annual audit will have an audit performed of
its financial activities involving seized assets and a copy will
then be presented to each of the participating agencies upon
request therefor.
8 . HOLD HARMLESS AGREEMENT. Each of the participating
agencies herein agree to hold the fiscal agent harmless from any
and all liability in connection with the duties to be performed
under this agreement except for intentional acts on the part of
such agent resulting in loss or damage.
9 . AMENDMENT OF THIS AGREEMENT. This agreement may be
amended but no amendment shall be effective until approved and
adopted by all agenc 'ie`s participating herein.
Shasta County District Attorney
Date:
Attest:
Shasta County Board of Supervisors
Date:
Ann Reed, County Clerk
County of Shasta,
State of California
-3-
Attest:
Redding City Council City Clerk, City of Redding
Date:
Attest:
Anderson City Council City Clerk, City of Anderson
Date:
FORM AND CONTENT APPROVED:
Shasta County Counsel
Redding City Attorney
Anderson City Attorney
-4-