4003 Schedule A - Renewal of Banking ServicesFebruary 22, 2016
The Corporation of the Town of Tillson burg
200 Broadway St. 2"d Floor
Tillson burg, ON
N4G SA7
Attention: Darrell Eddington, Director of Finance
Dear Mr. Eddington,
lliJ cOmmercial Banking
Ontario Southwest Region
275 Dundas Street, 9'" Floor
London, DN N6C 3L1
Telephone No.: (519) 852-2942
Fax No.: (519) 667-2172
Email: dave.cross@td.com
Re: Renewal of Banking Services
Thank you for the opportunity to present a revised Business Banking Agreement to the
Corporation of the Town of Tillson burg. We are committed to continue to work with you to
provide a high level of service for your banking and financial needs. As you will note in our
proposal below, we have modified the pricing of all Cash Management Services which results in
an estimated $5,943.12 savings per year for the Town. Our decision to amend these fees was
based on an extensive review of your existing banking services and our long standing valued
relationship with the Town.
TERMS OF COMMITMENT
We are pleased to offer the products and services at the rates outlined for a further 5 year
term expiring February 28, 2021. Pricing is based on information from past business and
activity volumes. Should business and/or activity volumes differ by 10% +/-from historical
volumes, we reserve the right to reopen discussions with you with a view to negotiating
alternative compensation arrangements. Any pricing changes would be reviewed and mutually
agreed to by the Corporation of the Town of Tillsonburg and TO Bank Financial Group (TD) prior
to their implementation. The products and services outlined in this proposal comply with the
Bank Act of Canada and the Canadian Payments Association, and are subject to change from
time to time.
Either party may terminate the arrangements outlined herein by providing proper written notice
to the other party upon 180 days written notice.
SUMMARY OF PROPOSED AMENDMENTS
We have made modifications to the pricing for all Cash Management Services currently used by
the Corporation of the Town of Tillsonburg as outlined in Schedule A and detailed below:
• Balance Reporting
No Change. Allotment: 15 accounts at $0.00 per month. This represents a savings of
$150.00 per month over published pricing.
• Payments & Transfers
We have eliminated the $2.00 per transfer fee. This represents a savings of $16.00 per
month over published pricing.
• Bill Payment Receiver Service
We eliminated the monthly fee of $50.00 for each mailbox and the $0.03 per payment fee.
This represents a savings of approximately $314.39 per month over published pricing,
based on 2 mailboxes and a historical average of 3,288 payments per month.
• Electronic Funds Transfer
We eliminated the monthly fee of $25.00 for each originator ID in November 2009. We are
now further eliminating the $5 file fee and $0.06 item fee. This represents a savings of
approximately $551 per month over published pricing, based on 3 originator IDs and a
historical average of 3,844 items per month.
• Wire Payment Service
We have eliminated the $35.00 per wire fee. As the Corporation of the Town of Tillson burg
currently does not utilize this service there is no immediate impact on savings.
Based on your historical activity volumes, the above pricing amendments represent a savings of
$S,943.12 per year for the Corporation of the Town ofTillsonburg.
PROPOSED BANKING SERVICES AGREEMENT
Below is a recap of the existing agreement, with respect to Interest Compensation, Account
Fees, and Cash Management Services.
Interest Compensation (unchanged)
Interest will be calculated and paid monthly on the average daily credit balances maintained, at
the following rates:
• Canadian Account Balances: TO Prime Rate -1.90%
Account Fees (unchanged)
Monthly Account Flat Fees
We propose a monthly Account Flat Fee of $0.00. This fee was determined based on average
monthly volumes over the past 12 month, indicated in Schedule B.
Loan Fees (unchanged}
The Corporation of the Town of Tillson burg
$4,000,000 Operating Line-Demand Facility TD Prime Rate less 1.00%
$420,391 Committed Reducing Term Loan-Floating Rate, TD Prime Rate less 1.00%
Maturing December 31, 2019
Tillsonburg Hydro Inc
$956,406 Letter of Credit-Demand Facility 0.75% per annum
$390,142 Committed Reducing Term Loan-Fixed Rate, Maturing 4.53%
November 30, 2020
Merchant Service Fee
Merchant Services fees are considered separate and contractual and are subject to the
agreement negotiated between the two parties. Our records indicate a 3 year committed
contract was negotiated between TD Merchant Services and the Corporation of the Town of
Tillson burg in March 2014.
Cash Management Services
Cash Management Services are considered separate and contractual in nature and are subject to
pricing that is independent of the above mentioned compensation arrangements.
Schedule A highlights the pricing for each of the Cash Management services currently used by
the Corporation of the Town of Tillsonburg. This schedule reflects the pricing amendments
proposed above.
If the terms and conditions as detailed herein to renew our Banking Services Agreement are
acceptable to the Corporation of the Town of Tillsonburg, please confirm your acceptance by
signing below. Upon receipt of an executed agreement, we will program the new fees proposed
above.
We have valued the relationship with the Town over the past 12 years and we look forward to
our continued partnership.
If you have any questions, please do not hesitate to call Robin Foley at (519) 663-5724 or me at
(519) 852-2942.
/
s
Account Manager
Robin Foley
Manager Cash Manageme t
I
TO THE TORONTO-DOMINION BANK:
THE CORPORATION OF THE TOWN OF TILLSONBURG hereby accepts the foregoing offer this
2.q ~ d of 1'\I.LI'c:J.-. 2016. The Borrower confirms that, except as may be set out
red it facilities detailed herein shall not be used by or on behalf of any third party. (2 __
Signature
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Print Name & Position
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Print Name & PositioO
SCHEDULE A: FEES SUMMARY
The following provides you with a pricing recap of the various services you currently utilize, for analysis purposes. The monthly totals reflect
current account and Cash Management Services fees charged. This recap excludes fees or interest paid for borrowing facilities and for
merchant services. We hope this assists your pricing analysis of the value of our relationship.
Account Fees Value of Transactions Monthly Account Fees
CAD Account Fees $1,762.83 $0.00
Total Account Fees Paid $0.00
Cash Management Monthly Fee Activity Fee Current Monthly Cash New Monthly Cash
Services Fees Management Fees Management Fees
Balance Reporting $0.00/acct $0.00 $0.00 $0.00
Payments & Transfers $0.00 $2.00/transfer $16.00 $0.00
Bill Payment Receiver $50.00/mai/box $0.03/payment $198.63 $0.00
Electronic Funds $0. 00/per org id $5.00/file $280.63 $0.00 Transfer $0.06/item
Wire Payment $0.00 $35.00 $0.00 $0.00 Service
Total Cash Management Fees Paid $495.26 $0.00
Total Cash Management Fees -Published Price $1,091.65
Notes:
Account Fees
CAD Accounts: $0.00 monthly flat fee (see Schedule B)
Cash Management Services-Average Monthly Pricing:
Balance Reporting: (15 accounts lodged on service) x $0.00) = $0.00 per month
Bill Payment Receiver: (1 monthly fee x $0.00) + (3,288 payments X $0.00) = $0.00 per month
Electronic Funds Transfer: (3 monthly fees x $0.00) + (7 files x $0) + (3,844 items x $0.0) = $0.00 per month
Wire Payment Service-Low Volume Option: (1 wire to another FI outside of Canada/US x $.00) = $0.00 per month
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SCHEDULE B: AVERAGE MONTHLY CANADIAN DOLLAR ACCOUNT ACTIVITY
Volume & Pricing Recap
SUMMARY-CAD Accounts
CURRENT ACCOUNT ACTIVITY
CREDITS Monthly Average Published Price Charge To Customer
In-Branch Deposits
# of deposits 114 $1.25 $142.50
# of CTS deposits 4 $1.25 $5.00 .
# of items within deposits 1,071 $0.22 $235.62
$ value of cash & coin deposited $116,984.00 $2.50 per $1,000 $292.46
# of Automated Credits 63 $1.25 $78.75
DEBITS Monthly Average Charge To Customer
# of Cheques issued 293 $1.25 $366.25
# of Automated Debits 9 $1.25 $11.25
SUNDRY Monthly Average Published Price Charge To Customer
# of month end statements 33 $5.00 $165.00
# of charge backs 3 $5.00 $15.00
# of CTS Transfers 4 $1.50 $6.00
SUNDRY Monthly Average Published Price Charge To Customer
Mirror Accounting -# Operating Accts 5 $30.00 $150.00
Mirror Accounting -# Concentration Accts 1 $70.0 $70.00
Interest Allocation Service -# Accts 5 $45.00 $225.00
TOTAL CURRENT ACCOUNT ACTIVITY
Published Price $1,762.83
Proposed Flat Fee $0.00
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