Treasury Management Adviser Service Specification 2012

1. Treasury Management Strategy & Activities (40%)

1.1. Regular analysis of and outlook for the economy and interest rates and live updates of market conditions

1.2. Advice on likely PWLB rate changes

1.3. Assisting in the formulation of the Treasury Management Strategy and Policy for borrowing and lending activities for each of the General Fund and HRA

1.4. Advice on portfolio risk management

1.5. Identification and analysis of borrowing, investment and restructuring opportunities and instruments taking account of financial implications to the General Fund and HRA

1.6. Draft templates for strategy, prudential indicators, MRP policy, mid year and end of year required reports and statement of accounts disclosure notes

2. Treasury Investments (25%)

2.1. Credit rating information from the three major ratings agencies with revisions as they occur

2.2. Other information assisting credit assessment e.g. CDS prices or a framework of when investments fall outside risk parameters and interpretation

2.3. Advice on investment criteria and policies for Local Authorities

3. Structured Finance & Wider Finance Issues (10%)

3.1. Treasury Management information and advice on structured finance products e.g. PFI, finance leases and off balance sheet financial market exposures

3.2. General advice on Treasury Management issues such as new financial structures and derivatives for risk management

3.3. To provide one-off information or research from time to time on matters relating to finance and markets generally including company information

3.4. Advice on operating leases is not currently required but please enclose for information details of any such services you offer

3.5. Advice on restructuring options 4. General (25%)

4.1. Advice on the legal and regulatory environment, accounting and reporting requirements and other issues relating to Local Authority Treasury Management

4.2. Updates and analysis of developments in Treasury Management

4.3. Provision of seminars and training for Treasury Management staff

4.4. Quarterly review meetings in Birmingham will be required and other ad hoc meetings may be necessary

4.5. Adviser will immediately declare any commission or fees they may receive when recommending products or services to the Council

Tenders will be evaluated against the above specification using the weightings for each section as indicated.

In assessing tenders the Council will take account of the independence and impartiality of the services provided. The appointed advisor will be expected to inform the Council of any fees, commission or other agreements in relation to products or services you may identify or recommend to the Council.