Neptune General Contractors 1/25/2022

Section 00 61 25 Retainage Escrow Agreement I E. Time deposits in commercial banks; and I F. Mutual funds, pools, or investment trusts, provided the investments of the fund, pool or trust consists solely of securities listed in herein. I Other securities may be deemed Eligible Securities upon written the written request of the Contractor and written approval of the City, provided the City has the staff assistance and expertise which will permit it to exercise sound judgment in assessing the security.The City shall consider probable safety, risk to principal, liquidity and any other factor the City deems reasonable to consider. Nothing herein obligates the City to incur any expense or charge to assess the appropriateness of a proposed security. The City has no obligation to consider a proposed security if the City would incur expenses,charges or fees in its assessment of the appropriateness of the security as an investment. If the proposed security has a maturity date,the security must mature on or before the Completion Date. The Contractor expressly acknowledges that any investment in securities involves risks, including, but not limited to,the risks of loss or diminution of principal and failure to realize anticipated or expected appreciation, dividends, interest,or other gain. Contractor expressly waives and releases both City and Bank from any and all liability associated with,or arising out of,these and all market risks. 5. Bank Duties and Responsibilities. Although the Bank will be a joint payee of any Check,the Bank shall only have (a)those duties and responsibilities that a depository bank would have pursuant to Article 4 of the Uniform Commercial Code of the State of Washington for an item deposited to Bank and (b)those duties and responsibilities created by this Agreement.The Bank must not deliver to the Contractor all or any part of the securities or money held by the Bank pursuant to this Agreement(or any proceeds from the sale of such securities,or the negotiation of the City's warrants or checks)except in accordance with written instructions from the City.The City Clerk is authorized to give written instructions and the Finance Director or Treasurer(or its designee) is authorized to give written approval of securities.Written instructions and written approval of securities must be countersigned by the City Attorney.The City may designate different authorized persons from time to time by notifying the Bank in writing of the change, which notice must be countersigned by the City Attorney. I 6 Change of Completion Date. Upon written request by the Bank, City shall advise the Bank in writing of any change in the Completion Date. If the changed Completion Date is later than the original I Completion Date,the Bank may reinvest any funds on hand, cash balances or proceeds of Eligible Securities with maturities, reverse loads, etc. consistent with the later Completion Date. If the changed Completion Date is earlier than the original Completion Date,the Bank shall execute such transactions as are commercially reasonable to liquidate Eligible Securities in the Escrow Account no later than twenty-five (25)calendar days after the earlier Completion Date. I I 1 Rotary Park Renovation 2 of 5 r I