1991-231-Authorizing The Town Manager To Sign A Contract Great Western Bank For Administration Of Town Deferred Compersation PlanRESOLUTION 1991 - 231
RESOLUTION OF THE TOWN OF LOS GATOS
AUTHORIZING THE TOWN MANAGER TO SIGN A
CONTRACT GREAT WESTERN BANK
FOR ADMINISTRATION OF TOWN DEFERRED COMPENSATION PLAN
RESOLVED, by the Town Council of the Town of Los Gatos, County of Santa
Clara, State of California, that the Town of Los Gatos enter into a contract (Exhibit A)
with Great Western Bank for administration of Town deferred compensation plan, and that
the Town Manager is authorized, and is hereby directed, to execute said contract in the
name and in behalf of the Town of Los Gatos.
PASSED AND ADOPTED at a regular meeting of the Town Council of the
Town of Los Gatos, California, held on the 21st day of October, 1991 by the following vote:
COUNCIL MEMBERS:
AYES: Randy Attaway, Joanne Benjamin, Steven Blanton
Mayor Brent N. Ventura
NAYES: None
ABSENT: None
ABSTAIN: Eric D. Carlson
SIGNED:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST:
CLERK OF THE TOWN OLOS GATOS
LOS GATOS, CALIFORNIA
MGR ORD -RES A: \RESOS \102191.R1
DEFERRED COMPENSATION PLAN SERVICE
This Agreement is effective this 1st day of November 1991, by and
between GREAT WESTERN BANK, a Federal Savings Bank, hereinafter
referred to as GREAT WESTERN, and the TOWN OF LOS GATOS hereinafter
referred to as AGENCY.
WHEREAS, AGENCY, pursuant to and in compliance with Internal
Revenue Code Section 457, has established a Deferred Compensation
Plan, hereinafter referred to as PLAN; and
WHEREAS, AGENCY desires to utilize GREAT WESTERN in the performance
of certain services in connection with the administration of the
PLAN; and
WHEREAS, GREAT WESTERN desires to provide such services subject to
the terms and conditions set forth herein;
Now therefore, AGENCY and GREAT WESTERN agree as follows:
1. TERM: This Agreement shall remain in effect for a period of
five years from the effective date hereof, and shall not be
terminated prior to that time except for "Cause" as that term
is hereinafter defined. For purposes of this Agreement, the
term "Cause" shall mean the failure of either party to perform
any or all of its obligations as defined herein. The
non - defaulting party shall give the defaulting party written
notice which shall specify the particulars of the default. If
such default is not cured within sixty (60) days from the end
of the month in which notice of default is given, the
non - defaulting party may terminate the Agreement effective
thirty (30) days after the end of the sixty (60) day period.
For purposes of this Agreement, "Contract Year" shall mean the
period of time between the effective date of the Contract, and
the same day of the month in each succeeding year; the first
Contract Year, however, shall be extended, if necessary in
order to ensure that every Contract Year will end on the last
day of a calendar month.
Notwithstanding the above, this Agreement may be terminated by
either party, with or without "Cause" as that term may be
defined herein, upon the giving of ninety (90) days written
notice to the other party.
2. FUNDING: AGENCY may fund the Plan pursuant to this Agreement
by forwarding participant deferrals to GREAT WESTERN at such
times as it may see fit.
it
3. TERMINATION: Upon the effective date of termination of this
Agreement, other than for Cause as defined above, the
following shall occur:
a. GREAT WESTERN shall issue reports to AGENCY detailing the
status of PLAN assets no later than twenty (20) business
days after the end of the month in which termination
becomes effective.
b. AGENCY may request liquidation and withdrawal of PLAN
assets. If termination is for Cause, GREAT WESTERN shall
disburse those funds deposited in GREAT WESTERN, not
subject to penalty for early withdrawal, within thirty
(30) days of the effective date of termination. Funds
deposited in GREAT WESTERN, subject to penalty for early
withdrawal, shall be disbursed according to written
instructions from AGENCY. Funds invested in mutual funds
shall be disbursed as mutually agreed in writing by
AGENCY and GREAT WESTERN.
If termination is due to non - renewal of this Agreement,
GREAT WESTERN shall disburse those funds deposited in
Great Western Savings, not subject.to penalty for early
withdrawal, within ninety (90) days of the effective date
of termination. Funds deposited in Great Western
savings, subject to penalty for early withdrawal, shall
be disbursed, after deduction of penalty, or left on
deposit until maturity, according to written instructions
from AGENCY. Mutual Fund Shares shall be disbursed as
mutually agreed in writing by AGENCY and GREAT WESTERN.
This clause shall not serve to affect normal
distributions to participants pursuant to PLAN.
4. DEFERRALS: The minimum participant deferral per pay period
shall be not less than $10.00.
AGENCY agrees to:
a. Cause appropriate deductions to be made from such
payroll(s) as may be applicable.
b. Send by check or wire transfer the amount of the total
deductions to :
Great Western Bank
Deferred Compensation Department
P.O. Box 6350
Northridge, California 91328
or to such other facility or in such other manner as may
be mutually agreed upon between GREAT WESTERN and AGENCY.
C. Provide, in such form as agreed upon by AGENCY and GREAT
WESTERN, a deferral listing with respect to participant
sub - accounts to include not less than the following:
1. Name of Participant
2. Social Security Number of participant
3. Amount to be credited to participant's
sub - account(s)
GREAT WESTERN agrees to:
d. Establish a sub - account for each participant.
e. Credit the amounts sent by AGENCY to the sub - account(s)
of the various participants and to selected investment
vehicles in accordance with the latest written
instructions on file with GREAT WESTERN.
f. Funds invested in the option described herein as "GWBIA"
will accrue interest as of the date of receipt by GREAT
WESTERN.
g. Place mutual fund orders, if applicable, within three (3)
business days of the receipt of both, a deferral listing
and check, in accordance with the latest written
instructions on file with GREAT WESTERN.
5. RECORD KEEPING AND REPORTS: GREAT WESTERN agrees to furnish
AGENCY, no later than twenty (20) days following the end of
each month and each quarter a report regarding the status of
the PLAN containing the following information:
a. Each participant's name
b. Each participant's Social Security Number
C. Each participant's sub - account number
d. Deposits credited to each sub - account during the period
e. Withdrawals from each sub - account during the period
f. Interest/ Earnings credited to each sub- account during the
period
g. Total value of each sub - account
h. Summary totals of the PLAN
NOTE: Annuity transactions will not appear on the
monthly /quarterly reports and quarterly statements issued
by Great Western. The AGENCY and participants will
receive reports and statements from the insurance
company.
GREAT WESTERN agrees to provide quarterly statements to
participants in the PLAN, no later than twenty (20) days following
the end of each calendar quarter. Each statement shall identify
the transactions which have occurred in the participant's
sub - account at the beginning and the end of the preceding quarter.
GREAT WESTERN agrees to maintain the records necessary to produce
the above mentioned reports, and agrees that all records shall be
the property of AGENCY and that, in the event this Agreement is
terminated for any reason, GREAT WESTERN will provide AGENCY a copy
of such records, in hard copy or such other form as mutually agreed
upon between GREAT WESTERN and AGENCY, within ninety (90) days
after the effective date of termination. AGENCY agrees that all
related computer tapes, discs and programs shall remain the
property of GREAT WESTERN.
GREAT WESTERN agrees that all information supplied to and all work
processed or completed by GREAT WESTERN shall be held to be
confidential and will not be disclosed to anyone other than AGENCY
except as required by law.
6. DISTRIBUTIONS: Upon receipt of authorized written
instructions from AGENCY, in such form and with such
authorization as mutually agreed upon by GREAT WESTERN and
AGENCY, GREAT WESTERN agrees to process the payment of
benefits to participants and beneficiaries in accordance with
PLAN. Distributions shall be made once a month, on the
seventh (7th) calendar day before the last day of the month.
If that day is a Saturday, Sunday or Holiday, distributions
shall be made on the next business day. Initial distribution
requests received by GREAT WESTERN, at its operations office
in Northridge, on and after the sixteenth (16th) calendar day
of a month will be processed the following month. if
applicable, the distribution of funds resulting from the
liquidation of mutual fund shares will be made on the next
distribution date which falls at least five (5) business days
after the receipt of such funds by GREAT WESTERN. The above
notwithstanding, GREAT WESTERN will cooperate with AGENCY to
not unreasonably delay distribution requests in conjunction
with "emergency withdrawals ", as defined in the PLAN.
GREAT WESTERN agrees to withhold appropriate Federal and State
income taxes, according to instructions set forth on form W -4
completed by the participant, to remit such withholdings to
proper taxing authorities, and to issue net funds to
participant(s) or beneficiary(ies) in accordance with
instructions on the Distribution Request Form. GREAT WESTERN
agrees to perform required monthly, quarterly and annual
reporting of withholdings to appropriate taxing authorities.
GREAT WESTERN agrees to issue appropriate annual wage and tax
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statements to those participants and beneficiaries who
received distribution(s) during the preceding year and to
retain a copy of such information on file for the period
required by law. GREAT WESTERN agrees to provide AGENCY a
monthly report of all disbursements made during the previous
month.
7. INVESTMENT VEHICLES: GREAT WESTERN agrees to provide the
herein described services for AGENCY with the following
investment vehicles.
A. Great Western Bank Indexed Account ( "GWBIA").
The investment vehicle identified as GWBIA shall be
savings accounts with GREAT WESTERN. Each such account
shall be subject to rules, regulations and statutes to
which GREAT WESTERN is subject, as promulgated by the
Office of Thrift Supervision (OTS), the Federal Deposit
Insurance Corporation (FDIC) and other such regulatory
authorities.
GREAT WESTERN agrees to accept PLAN funads for investment in
GWBIA. PLAN funds will earn interest by whichever of the
following methods results in the highest rate payable:
(1) The rate of interest for all funds received during the
term of the contract shall be the annualized yield
obtained from the use of the over -the- counter rate
quotation for the 90 Day United States Government
Treasury Bill plus Twenty -five (25) basis points, in
effect on the last business day of each calendar quarter.
This effective annualized yield will be guaranteed for
the succeeding calendar quarter regardless of any
subsequent change in the 90 Day United States Treasury
Bill yield.
The current rate /yield is: Rate 5.43 $ Yield 5.65 %
(T.B.D.)
(2) Such other yield as declared by Great Western and shall
not be lower than A.(i) above.
Interest will accrue daily, using the 365/360 day method, will
be credited monthly, on the last day of the month, and will be
automatically reinvested to allow for monthly compounding.
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B. GREAT WESTERN BANK CERTIFICATE OF DEPOSIT (GWBCD)
Great Western will also make available one, two, three,
four and five year certificates of deposit (CD) whose
yields are indexed to representative, effective annual
yields on one, two, three, four and five year United
States Government Treasury Notes. For example, a one
year CD will have a yield indexed to the one year
Treasury Note; a two year CD will have a yield indexed to
the two year Treasury Note, etc.
In each case, the effective annualized yields for the
one, two, three, four and five year Treasury Notes will
be determined by reference to representative yields
reported in the Wall Street Journal on the last business
day of the calendar quarter. This yield will become the
effective annualized yield of the GWBCD for the following
Quarter.
Interest will accrue daily, using the 365/360 day method,
will be credited monthly, on the last day of the month,
and will be automatically reinvested to allow for monthly
compounding.
Other guidelines are as follows:
1. One Year CD: $1,000 minimum deposit, 90 day
interest penalty for early liquidation (separation
from service, plan -to -plan transfers or hardship
excluded)
2. Two - Five Year CD: $1,000 minimum deposit, 180 day
interest penalty for early liquidation (separation
from service, plan -to -plan transfers or hardship
excluded)
3. Lump Sum transfers only.
4. Participants may invest in no more than four (4)
CD's per year.
5. Participants may invest in the five year
certificate of deposit only in the first year
of a five year plan agreement. Participants
may invest in the four year CD only in the
first and second years of the agreement.
Participants may invest in the three year CD
only in the first, second, and third years of
the agreement. Participants may invest in the
one and two year Cds at any time.
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Plan funds invested in the GWBIA or GWBCD options are
backed by the full faith and credit of the U.S.
Government and are also insured by the Federal Deposit
Insurance Corporation, an agency of the Federal
Government, up to $100,000 per participant. Great
Western will collateralize any amounts invested in the
GWBIA and GWBCD in excess of FDIC insurance limits by
depositing first deeds of trust on suitable residential
property (i.e. one to four unit) with the Federal Home
Loan Bank in San Francisco. The unpaid outstanding
principal balance of the collateral is adjusted
quarterly, and shall in the aggregate, at all times equal
or exceed one hundred fifty percent (150 %) of the amount
of plan funds invested in the GWBIA and GWBCD in excess
of FDIC limits.
C. METROPOLITAN LIFE INSURANCE COMPANY GUARANTEED INVESTMENT
CONTRACT (GIC)
GIC's are a contractual arrangement with an insurance
company that are very similar to bank certificates of
deposit. GIC's guarantee a specific rate of return on
invested funds over the life of the contract, with the
insurance company assuming all of the market credit, and
interest rate risks on the underlying investments. The
GIC's in the Great Western deferred compensation program
are underwritten by Metropolitan Life Insurance Company,
the third largest life insurance company in the world.
Metropolitan GIC's have quarterly deposit "windows ", with
three (3) year interest rate guarantees.
Example: Any money received from January 1, 1991
through March 31, 1991 will be guaranteed a
yield per annum through March 31, 1994. Any
money received from April 1991 through June
30, 1991 will be guaranteed a yield per annum
through June 30, 1994, etc.
Principal and interest are guaranteed for the life of the
contract by Metropolitan. Principal and interest are not
guaranteed by Great Western or backed by federal deposit
insurance.
Other guidelines are as follows:
1. Transfers from a GIC deposit window prior to
maturity to other investment options, including at
contract expiration, will be subject to a transfer
charge of five (5 %) of the amount transferred.
7
2. Funds invested in the GIC may be paid to
participants, without interest penalties, surrender
charges, or account value reductions of any kind,
for distribution events, hardship withdrawals, or
plan -to -plan transfers (where permitted by the
plan).
D. Other investment vehicles which will be provided to the
PLAN are described on the attached Schedule 1.
(1) If applicable, PLAN funds invested in mutual fund
options will utilize Great Western Financial
Securities Corporation, a wholly owned subsidiary
of Great Western Financial Corporation, as the
Broker /Dealer for such transactions.
(2) If applicable, Single Premium Immediate Annuities
and other annuity products purchased by AGENCY
pursuant to PLAN will be issued and guaranteed by
Great Western Insurance Company, a wholly owned
subsidiary of Great Western Financial Corporation,
or such other life insurance company selected by
Great Western.
(3) Certain investment vehicles may impose sales
charges. These sales charges will be disclosed in
the prospectus or insurance contract, whichever is
applicable.
(4) GREAT WESTERN may, from time to time, offer to
perform the herein described services for
additional and /or alternate investment vehicles
upon written agreement between GREAT WESTERN and
AGENCY.
8. ENROLLMENT SERVICES: GREAT WESTERN agrees to process, or
arrange to have processed, the enrollment of eligible
employees who elect to participate in the PLAN. GREAT WESTERN
agrees to provide informational and promotional material
pursuant to the PLAN for distribution to employees of AGENCY,
subject to approval of such material by AGENCY, such approval
not to be unreasonably withheld. AGENCY agrees to allow and
facilitate the periodic distribution of such material to
employees.
GREAT WESTERN agrees to conduct, or arrange to have conducted,
group presentations periodically for employees of AGENCY, to
explain the PLAN. AGENCY agrees to facilitate the scheduling
of such presentations and to provide facilities at which
satisfactory attendance can be expected. GREAT WESTERN agrees
that qualified personnel will be made available periodically
to discuss the PLAN with individual employees of AGENCY.
TITLE AND OWNERSHIP: AGENCY shall at all times be the
unrestricted owner of all PLAN assets, in accordance with IRC
457 provisions.
10. PRIVITY OF CONTRACT: GREAT WESTERN shall have no privity of
contract with PLAN participants. GREAT WESTERN agrees not to
accept or honor instructions which may be submitted by
participants without written authorization from AGENCY.
11. FEES AND EXPENSES: GREAT WESTERN, in consideration of its
services under the Plan, shall receive an annual
administration fee of twelve dollars ($12.00) per participant
in the Plan. GREAT WESTERN will deduct the administration fee
from each Participant sub - account in four equal installments
of three dollars ($3.00) at the end of each calendar quarter.
GREAT WESTERN requires each Participant to maintain a cash
balance in the GWBIA sufficient to cover administration fees.
No fees will be assessed until such time as the Agreement may
be funded.
Other than at the termination of the Agreement, if a
Participant transfers his/her account, or any portion thereof,
from GREAT WESTERN to another provider, other than GREAT
WESTERN, a subsidiary of Great Western Financial Corporation,
or the provider of a investment listed in Schedule 1 hereto,
a transfer fee in the amount of twenty -five dollars ($25.00)
will be assessed. Such fee to be deducted from the
Participant's account prior to transfer of funds.
12. TRANSFERS:
a. From the GWBIA To Other Great Western Investment Options
GREAT WESTERN will allow the transfer of funds in
participant sub - accounts from the GWBIA to other
investment options provided pursuant to the Plan.
Such transfer will be allowed only upon express written
agreement between AGENCY, GREAT WESTERN and the provider
of the applicable investment option and will be allowed
throughout the term of this Agreement, except for options
Agency determines shall cease to be allowed pursuant to
the Plan. Funds will be transferred from the GWBIA to
the other investment option, within three (3) business
days of receipt of written authorization from the AGENCY
by GREAT WESTERN at its office in Northridge, California.
b. From Other Great Western Investment Options to GWBIA
GREAT WESTERN will allow the transfer of funds in
participant sub - accounts from other GREAT WESTERN
investment options provided pursuant to the Plan, (i.e.
mutual funds and annuities) to the GWBIA. Such transfers
will be allowed only upon express written agreement
between AGENCY, GREAT WESTERN and the applicable
investment option and will be allowed throughout the term
of this Agreement, except for options Agency determines
shall cease to be allowed pursuant to the Plan. The
transfer will be initiated within three (3) business days
of receipt of written authorization from the AGENCY by
GREAT WESTERN at its office in Northridge, California.
If a transfer involves the liquidation of mutual fund
shares, the proceeds from the sale of said mutual fund
shares, will be credited to the GWBIA upon receipt of the
funds by GREAT WESTERN from the investment company.
C. From Great Western to Other Investment Providers
GREAT WESTERN will allow the transfer of funds in
participant sub- accounts to other investment providers.
Such transfers will be allowed only upon express written
agreement between AGENCY and GREAT WESTERN and will be
allowed throughout the term of this Agreement, except for
options Agency determines shall cease to be allowed
pursuant to the Plan.
Transfers will be processed in accordance with the
provisions of the sub - paragraph of paragraph 11. (Fees
and Expenses)
13. CIRCUMSTANCES EXCUSING PERFORMANCE: The performance by the
parties to this AGREEMENT is subject to force majeure and
shall be excused for the time and to the extent that it is
prevented by fires, power failures, strikes, acts of God,
restrictions imposed by government or governmental agency, or
delays beyond the delayed party's control. Failures of or
defaults of participants, employers, or investment vehicles
shall excuse performance by GREAT WESTERN of the duties
affected thereby to the extent and for the time that it is
prevented from performing them.
14. INDEMNIFICATION: Except to the extent limited by applicable
California law with respect to Agency, each party to this
Agreement shall indemnify and hold the other party, its
officers, agents and employees harmless from all damages,
losses, costs and expenses, including attorney fees, amounts
paid in settlement, judgments, and any other legal expense,
arising from the negligence or wrongful conduct, whether
negligent or intentional, of the indemnifying party or of its
10
officers, employees or contractors . GREAT WESTERN shall not
be liable for investment performance, except as expressly
provided in this Agreement.
15. ASSIGNABILITY: No party to this Agreement shall assign its
rights or delegate its duties or responsibilities under this
Agreement, or sub - contract any of its responsibilities
hereunder, without the prior written approval of the other
party. Such approval shall not be unreasonably withheld.
Unless otherwise expressly stated in such approval by a party,
any such assignment or delegation shall not relieve the
assignor or delegator of any of its duties and obligations
under this Agreement.
16. PARTIES BOUND: This Agreement and the provisions thereof shall
be binding upon and shall inure to the benefit of the
successors and assigns of the respective parties.
17. APPLICABLE LAW: This Agreement shall be construed in
accordance with the laws applicable Within the State of
California.
18. UNLAWFUL PROVISIONS: In the event any provisions of this
Agreement shall be held illegal or invalid for any reason,
said illegality or invalidity shall not affect the remaining
parts of the Agreement, but the same shall be construed and
enforced as if said illegal or invalid provision had never
been inserted herein. Notwithstanding anything contained
herein to the contrary, no party to this Agreement will be
required to perform or render any services hereunder, the
performance or rendition of which would be in violation of any
laws relating thereto.
19. MODIFICATION: This writing is intended both as the final
expression of the Agreement between the parties hereto with
respect to the included terms and as a complete and exclusive
statement of the terms of the Agreement, pursuant to
California Code of Civil Procedure Section 1856 or its
successor(s). No modification of this Agreement shall be
effective unless and until such modification is evidenced by
a writing signed by both parties.
20. NOTICES: All notices and demands to be given under this
Agreement by one party to another shall be given by certified
or United States mail, addressed to the party to be notified
or upon whom a demand is being made, at the respective
11
SCHEDULE 1
Pursuant to Section 7 of this Agreement, other investment'vehicles
available under this Agreement are as follows:
Investment Company of America (ICA)
Growth Fund of America (GFA)
Bond Fund of America (BFA)
Income Fund of America (IFA)
TWENTIETH CENTURY INVESTORS. INC.
Select Fund
Growth Fund
Ultra Fund
Balanced Fund
FIDELITY INVESTMENTS
Fidelity Magellan
Fidelity Equity- Income
Fidelity Retirement Growth
Fidelity Puritan
Fidelity Overseas
GREAT WESTERN SIERRA TRUST FUNDS
Global Money Market Fund
U.S. Government Money Market Fund
Growth and Income Fund
U.S. Government Securities Fund
Strategic International Fund
METROPOLITAN - ANNUITIES
Single Premium Immediate Annuity
GUARANTEED INVESTMENT OPTION (GIC1
13
addresses set forth in this Agreement or such other place as
either party may, from time to time, designate in writing to
the other party. Notice shall be deemed to be effective on the
day the notice is received by GREAT WESTERN or the AGENCY.
If to GREAT WESTERN GREAT WESTERN BANK
Deferred Compensation Department
P.O. Box 6350
Northridge, California 91328
If to AGENCY TOWN OF LOS GATOS
110 E. Main Street
Los Gatos, CA 95032
Attn: Office of Town Manager
IN WITNESS WHEREOF, the parties hereto have executed this Agreement
effective on the date first above written.
AGENCY
BY TOWN MANAGER:
1 �' • L
DATE SIGNED•
ATTEST:
MARIAN V. COSGROVE
CLERK OF THE TOWN OF LOS YATOS
BY:
%a -t1-it
DATE
APPROVED AS TO MWi{�t
A E ANDERTON, TOWN ATTORNEY
g}
DATE �
12
Date ...................... 32Ad!...MAy. x...1989
Policy No. .......... 83.4. /TH9.057A
THE SCHEDULE
The Insured GREAT WESTERN FINANCIAL CORPORATION and /or
GREAT WESTERN BANK and /or all majority owned
subsidiary companies as now existing or hereinafter
constituted or acquired.
Premium US$ - --
Sum Insured US$ 50,000,000 any one loss and in all seperately in
respect of Section A and Section B
excess of a deductible of
The Interest Insured US$ 10,000,000 each and every loss
Hereon: 6.975 of 805 of abov- Sum Insured.
Insured Perils Comprehensive Crime Bond
Section A - Savings and Loan Blanket Bond
Section B - Electronic and Computer Crime
Period of Insurance
From 1st April, 1989 To 1st April, 1990 both days at 12.01
a.m. Local Standard Time
and for such further period or periods as may be mutually agreed.
COINSURANCE CLAUSE
It is warranted that this Policy shall run concurrently with and be subject to the same terms,
provisions, and limitations as are contained in Policy No. 834/FB8908574
issued by Certain Underwriters at Lloyd's covering the identical subject
matter and risk.
Schedule
The Policy No. 834/FB8908574
The name and address of the Assured.
GREAT WESTERN FINANCIAL CORPORATION and /or GREAT WESTERN BANK and /or all
majority owned subsidiary companies as now existing or hereinafter constituted
or acquired.
The risk and sum insured hereunder
COMPREHENSIVE CRIME BOND
Section A — Savings and Loan Blanket Bond
Section B — Electronic and Computer Crime
Sum Insured: US$50,000,000 any one loss and in all separately in respect
of Section A and Section B
excess of a deductible of
US$10,000,000 each and every loss
Hereon:2.32x of 80% of above Sun Insured.
This Policy shall run concurrently with and be subject to the same terms,
wording and conditions as more fully set forth in Policy No.834/FB8908574
Issued by Certain Lloyd's Underwriters on the identical subject matter and
risk.
The Rate or Premium
U S$ax�
The period of Insurance
from lot April, 1989 to 1st April, 1990
both days inclusive, and for such rurther period or periods as may be mutually agreed upon
at 12.01 a.m. Local Standard Time
Dated in London, the 25th May, 1989
Y
Schedule
Policy or Certificate No. 834 / FB8908574 Contract No. (if any)
The name and address of the Assured
GREAT WESTERN FINANCIAL CORPORATION and /or GREAT WESTERN BANK and /or all
majority owned subsidiary companies as now existing or hereinafter constituted
or acquired.
8484 Wilshire Boulevard, Beverley Hills, California 90211
The risk, interest, location and sum insured hereunder
Section A - Bankers Blanket Policy
Section B - Electronic and Computer Crime
In respect of Signing Schedule A
This Policy being for 100% of 20% insures it's pro rata proportion of the
limits of liability stated in the wordings of Section A and B above and the
percentages signed in the Table are percentages of 20% of the amount of
insurance granted in the Policy in respect of Section A and B separately.
In respect of Signing Schedule B
This Policy being for 38.44% of 80% insures it's pro rata proportion of the
limits of liability stated in the wordings of Section A and B above and the
percentages signed in the Table are percentages of 80% of the amount of
insurance granted in the Policy in respect of Section A and B separately.
The Premium
Signing Schedule A - US$JIMMMM
Signing Schedule B - US
The period of Insurance from at April, 1989
to st April,
both days inelesive, and for such further period or periods as may be mutually agreed upon
Dated in LONDON the 22nd Nay, 1989
r
Schedule
The Policy No.
834/FB8908574
The name and address of the Assured.
GREAT WESTERN FINANCIAL CORPORATION and /or GREAT WESTERN BANK and /or all
majority owned subsidiary companies as now existing or hereinafter constituted
or acquired.
The risk and sum insured hereunder
COMPREHENSIVE CRIME BOND
Section A — Savings and Loan Blanket Bond
Section B — Electronic and Computer Crime
Sum Insured: US$50,000,000 any one loss and in all separately in respect
of Section A and Section B
excess of a deductible of
US$10,000,000 each and every loss
Hereon:23.23i of 80% of above Sum Insured.
This policy shall run concurrently with and be subject to the same terms,
wording and conditions as more fully set forth in Policy No. 834/FB8908574
issued by Certain Lloyd's Underwriters on the identical subject matter and
risk.
The Rate or Premium
USsImplow
The period of Insurance
from lat April, 1989 to let April, 1990
both days inclusive, and for such further period or periods as may be mutually agreed upon
at 12.01 a.m. Local Standard Time
Dated in London, the 25th May, 1989
AMENDMENT TO THE CONTRACT BETWEEN
THE TOWN OF LOS GATOS AND GREAT WESTERN BANK
FOR SERVICES RELATIVE TO THE TOWN OF LOS GATOS'
DEFERRED COMPENSATION PLAN ( "THE DCP AGREEMENT")
1. This Amendment shall be considered a formal agreement by Great Western Bank
( "GWB ") to self insure for a minimum of Five Million Dollars ($5,000,000) for errors
and omissions during the term of this contract and any renewal periods.
2. GWB agrees to notify the Town of Los Gatos in writing at least 30 days in advance
of the discontinuation or substantial change in its program of self insurance, and
immediately to provide evidence of comparable errors and omissions insurance with
a commercial insurer acceptable to the Town of Los Gatos.
3. Pursuant to this Agreement, except as limited below, GWB shall indemnify, defend
and hold harmless the Town of Los Gatos, its officers, employees and agents from
loss, liability, claim, suit or judgement resulting from work or acts done or omitted
by GWB's officers, employees and agents in carrying out GWB's responsibilities as
set in the DCP Contract and any amendments thereto.
4. Notwithstanding the foregoing, GWB shall not be liable for any injury or damage
which results solely from its reliance on information transmitted by the Town of Los
Gatos, its officers, employees or agents.
GWB shall, on an annual basis, provide its annual report as evidence of GWB's
capacity to respond to claims falling within this self- insurance program.
6. GWB agrees to notify the Town of Los Gatos of any claim, judgment, settlement,
award, verdict or change on its financial condition which would have a significant
negative effect on the protection of this self- insurance. -
7. Notices to the Town shall be sent to:
Mark Linder
Town of Los Gatos
110 East Main Street
Los Gatos, California 95032
Notices to GWB shall be sent to:
with a copy to:
Richard L. Evans
Corporate Insurance Department
9301 Corbin Avenue
PO Box 1010
Northridge, California 91328
Michael Ihde
Specialized Sales
19850 Plummer Street
Chatsworth, California 91311
8. It is understood and agreed by the Town of Los Gatos and GWB that this Agreement
hereby amends the DCP Agreement with respect to GWB obtaining errors and
omissions insurance.
TOWN OF LOS GATOS
Date: o By:
Title: Gus V` - o^✓
GREAT WESTERN BANK
Date: J
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MGRO44 A: \MISC \GREATWES.AGR 3/4/92
Tit
ATTEST:
MARIAN V. COSGROVE
CLERK OF THE TOWN OF LOS G S