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CC - Item 4D – Staff Report – Selection of Lender for City’s CDBG- Funded Low Interest Loan Program •5.E- M....F ¢A .l \ N.t � _ � stat sport TO: HONORABLE MAYOR AND MEMBERS ROSEMEAD CITY COUNCIL FROM: FRANK G. TRIPEPI, CITY MANAGER DATE: DECEMBER 1, 1998 RE: SELECTION OF LENDER FOR CITY'S CDBG-FUNDED LOW INTEREST LOAN PROGRAMS In FY 1996-1997 and FY 1997-1998,the City revised its Rehabilitation programs. The Residential Rehabilitation Program includes grants and deferred loans for senior citizens and emergency grants, rebates and low-interest loans for low-to-moderate income households. Since approval by the Council of the new Residential Rehabilitation Program, the City has implemented the new guidelines and eliminated the multi-year wait in the grant program, processed all emergency grant requests, eliminated the waiting list in the deferred loan program and eliminated the old waiting list in the rebate program. Under the former rehabilitation program,the City had a banking agreement with Sanwa Bank to act as its lender. After revision and implementation of the new guidelines,the City attempted to implement its deferred and low interest loans with Sanwa under its longstanding bank service agreement. Sanwa had a change in personnel and was no longer familiar with the agreement. The City met with Sanwa in order to continue its banking services agreement, but was unsuccessful. Accordingly,the City began to operate the deferred loan program because it had the capacity to handle loans which do not carry interest and do not require monthly payments and tracking. This had the added advantage of saving the City servicing fees from the bank for these 11 loans. COUNCIL AGENDA DEC 0 81998 ITEM No. CC--b 1 • LENDER SELECTION, pg. 2 The City does not have the capacity to underwrite, monitor and service regular low-interest loans. In FY 1996-1997, once it was determined that Sanwa was unable to comply with the terms of the bank service agreement,the City attempted to procure lending services through a Request for Proposal (RFP)to the lenders on its interested lender list. This included Bank of America, Sanwa Bank and Wells Fargo Bank There were no responses to the Request. The City then compiled a list of new lenders who would be interested in participating in the program. Once this list was compiled,the City issued another RFP. RFP's were sent to eight(8) banks in the region, including the three banks who had asked to be on the City's list. In response, the City received a proposal from First American Bank and a letter of"no proposal" from Sanwa and from EastWest Bank. Included in the packet is the Lender List,the Request for Proposal, the Proposal from First American Bank and the letters of"no proposal"from Sanwa and EastWest Bank. Thoroughness First American Bank submitted a proposal in the required proposal format. The proposal was thorough in addressing the issues outlined in the RFP. Technical Approach First American Bank is proposing to establish one loan officer to handle the City's account and will provide the City with one person to provide oversight and act as the City's liaison. The City's banking office will be located in the City of Rosemead. Experience First American Bank is headquartered in the City of Rosemead and was founded in 1983. It principally serves residents and small businesses and is an approved Small Business Administration(SBA) lender. First American was rated 31 out of 114 active SBA lenders in the Los Angeles County Regional District SBA office as of June 30, 1998. The bank is active in Community Reinvestment Act (CRA) banking. The bank received a rating of"Satisfactory" in its latest CRA profile of November 1996. First American has experience with local government, including the cities of Rosemead, San Fernando and South Pasadena. References, including the Rosemead Chamber of Commerce, were uniformly positive. Cost First American is proposing no costs to the low-to-moderate income borrower. The City would obtain the Title report and pay recording fees, as the City currently does. In addition, the City would package the initial loan application, using the bank's forms. Fees for flood certificates and SELECTION OF LENDER,pg. 3 tax service would be direct pass through costs to the City,without any transaction fee from the bank. The bank is proposing a one time per year fee of$75.00 for each loan it services on behalf of the City. In addition, the bank is proposing fixed interest rates for the interest rate buy down. The bank is proposing a monthly payment equal to 2.1 times monthly accrued interest on each 3% loan and 1.55 times the monthly accrued interest on the 4% loans. This would yield the bank an actual interest rate of 9.3% for 3% loans($15,000 for ten years) and 10.2% for 4% loans ($35,000 for fifteen years). Calls to other lenders in the area show that the average interest rate for regular home improvement loans is between 9.77% and 10.1%. However, all home improvement loans were adjustable, some adjustable monthly,based on the Certificate of Deposit or Jumbo Certificate of Deposit rate plus basis points. Paying a monthly fee for the interest difference means the City would not need a compensating balance fund. A compensating balance fund is money a City deposits with the bank from which the bank withdraws the difference between the actual interest rate and the lower interest rate guaranteed by the City. The fund would require that the total anticipated amount of difference between the actual interest rate and the lower interest rate for the full term of the loan be deposited at the beginning of the term. Such a fund would tie up large amounts of CDBG funds and make them unusable to the City for the life of the loans. Term The term of the contract would be annual for up to three years, with ajoint review done once per year between the City and the Bank. In order to ensure the continuing capacity of the bank and continuing competitive service, the City would issue an RFP at least every three years. Recommendation Staff recommends that the City Council approve First American bank as its banking services provider and authorize the City Manager, or designee,to execute the agreements. or ° wJp,jsi/i A 30301E1 Sag MER ICAN yr � * < SANK SOWS a NU • ORGANIZATION AND HISTORY First American Bank is the oldest bank headquartered in Rosemead, with additional branches located in San Fernando and South Pasadena. The Bank was founded in 1983 and principally serves residents and small to medium sized businesses in our market areas. The Bank is actively involved in "CRA" related lending in that a majority of its number of loans arc to qualifying small businesses, generating employment in our communities. The Bank is a "certi fred" lender in the Small Business Administration loan program and was ranked 31 out of 114 active SBA lenders in the Los Angeles County District SBA Office as of lune 30. 1998 The Banks last CRA rating by its regulators was "Satisfactory'' as disclosed in the latest public report dated November 12, 1996. COMMITMENT First American Bank is a publicly owned corporation, headquartered in Rosemead and active in community affairs. Bank officers are involved in local service organizations and have served in various leadership roles in the Rosemead Chamber of Commerce. Management and the Board are committed to meeting the needs of the Rosemead community. REFERENCES The following references are provided to you. All are public entities in each of rhe 3 cities rte serve: City of Rosemead Rosemead Chamber of Commerce Hubert Foutz, City Treasurer Helen Archer, President (626) 288-6671 (626) 288-0811 8838 East Valley Boulevard Post Office Box 425 Rosemead, California 91770 Rosemead, California 91770 Lac Zacarian, Past President City of San Fernando San Fernando Chamber of Commerce Elvira Orozco. City Treasurer Joe Sandoval. President & C.E.O. (8181898-1208 Fax (818) 363-8090 (818) 361-1184 Fax (818) 898-1986 117 Mac Neil Street 519 South Brand Avenue San Fernando. California 91340 San Fernando. California 91 340 ) City of South Pasadena South Pasadena Chamber of Commerce Victor Robinette, City Treasurer Eileen Garcia, Executive Director (626) 403-7200 (626) 799-7161 1414 Mission Street 1610 Mission Street South Pasadena. Califomia 91030 South Pasadena. California 910.0 SERVICING OFFICE This program will be serviced by the Rosemead Office. 8941 East Valley Boulevard. An officer ssould be assigned to handle this specific program. Vice President Elizabeth Dowell hsould continue to serve as liaison between the Bank and the Community Development Division. PROPOSED LENDING PROGRAM The following proposal is based upon the assumption that the City prefers to minimize it's initial cash outlays in order to achieve maximum leverage of the funds available for this program. and that the terms of the contract between the Community Development Division (CDD) will be subject to an annual review: • CDD would be responsible for obtaining completed and signed application documents provided by the Bank (see enclosed package-Exhibit I) • CDD, at its expense would order a Preliminary Title Report to ensure an acceptable lien position The Bank would provide individual residential rehabilitation loans at fixed rates for the amounts and maturities indicated: Amount Maximum Term Fixed Rate Fees SO— 75.000 lip to 10-years 3% None S0— 35,000 11 -- 15-years 4% None The Bank proposes that the CDD, on a monthly basis, (rather than on an all-upfront "buydown" basis) pay the Bank an amount equal to 2.1 times the monthly accrued interest on each 3% loan outstanding, and 1.55 times the monthly accrued interest on the 4% loans (approximately yielding the Bank combined returns of 9.3% and 10.2% respectively) The Bank would provide a monthly recap of outstanding loans and a bill for the COD's payments. (2) Borrower Qualifications: (Refer to our Consumer Criteria Worksheet — Exhibit Il) • Maximum Loan to Value (after new loan and improvements) is not to exceed 80% • Total Debt Payments/Gross income ratio 40% or less (exceptions on case basis) • TRW/Experian NRS Score of 150 or less • NO material adverse credit • Must be owner/occupants of the property PROCESSING First American Bank is not proposing any fees to the borrower. CDD would pay only an annual fee of S75 for each loan outstanding on the anniversary of the agreement. In most cases we should be able to provide preliminary credit approval within 24 hours of receipt of complete information, subject to verification of equity, which we will attempt to establish without the necessity of a certified appraisal (by review of property tax, insurable value, age of existing senior lien, or other acceptable marketplace data, etc.). Wit is not possible to determine value, and an appraisal is needed or will help create an approval, such will be obtained at CDD's expense. Services provided by others, will require payment on loan closing, at the expense of COD. The provider's fee can change from time-to-time, their current fees arc as follows: Western Flood Inc. (FloodTrac Certificate) 52250 Fidelity National Tax Service(Tax Lien Service) 550.00 Los Angeles County Recorder (Record Deed of Trust) 555.00 512750 If a loan of record is paid and/or released,there will be additional costs to release the loan. EXCEPTIONS TO RFP We do not believe our proposal contains any exceptions to the REP. (3) CERTIFICATION REGARDING LOBBYING certification for Contracts, Grants, Loans, and Cooperative • Acreements The undersigned certifies, to the best of his or her knowledge and belief, that: (1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. (2) If anv funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying, " in accordance with its instructions. (3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipiunts shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352 , title 31, U.S . Code. Any person who fails to file the required certification _hal'_ be subject to a civil penalty of not less than $10, 000 and not more than 5100, 000 for each such failure. S gnat•__e r-- .,'. ._.a._.vO Name ant T1.t=e„_ ._._., FR94T MVARICANB7, A;ercvjco- ar.+ ROS EMEAU ' 9 Cr RTIFICA TION WITH REGARD TO THE PERFORMANCE OF PREVIOUS CONTRACTS OR SUBCONTRACTS SUBJECTTD THE EQUAL OPPORTUNITY CLAUSE AND THE FE-LNG OF REQUIRED REPORTS The bidder x ,proposed subcontractor ,hereby ccnifies that be has_,has not , participated in a previous contract or subcontract subject to the equal opportunity clause, as required by Ezcrutive Orden 10923, 11114,or 11246,and that he has has not LL, filed with the Joint Re- porting Committee, the Dirwor of the Office of Federal Contract Compliance, a Federal Government contracting or administering agency, or the former President's Committee on F�qual Employment Opportunity,all reports due under the applimble filing requirements. E. VALLE1 atv . rt1.5RMEAC, CA 9277Q (CO pan rn LEE J. BIANCO 9 :n VICE-PRES. ////� (nue) Date: v1,-71 NOTE: The above ccrtifiation is required by the Equal Employment Opponuniry Regulations of the Secretary of Labor (41 CFR 611.7(b) (1)), and mut be submitted by bidden and proposed subcontractors only in connection with ontracs and subcontracs which are subject to the equal opportunity clause. Contracts and subcontracts which are exempt from the equal opportunity clause are s:t forth in 41 CrR 60-1.5. (Generally only contracts or subcontracts of 510,000 or under arc tempt.) Proposed prime contractors and subcontractors who have participated in a previous ontnct or subcontract subject to the attritive Orden and have not filed the required reports should note that 41 CFR 601.7(b)(I) prevents the award of contracts and subontncs unless such contractor submits a report covering the delinquent period or such other period specified by the U.S.Department of the Interior or by the Dirator, OM=of Federal Contract Compliant,U.S.Department of Labor. DEC 01 '99 1688 ER SPItiq BQNK x1261 919 312 5732 '0 538792/9 P.02/02 Sanwa Rosemead Office Bank 9000 East Valley Boulevard California Rosemead,California 91770-1915 (815)3135711 December I, 1998 Lisa Baker, Grants Coordinator City of Rosemead 8838 E. Valley Boulevard California, CA 91770 Re: CDBG-Low Interest Loan Program Dear Ms. Baker: We did not bid for the above referenced program because our company no longer have the capability to service this type of loan. We are truly sorry for not being able to participate. Thanks for the opportunity. cere L aial mie Pacana II Assistant Vice President and Assistant Manager III= _III EASTWEST BANK Setting a new direction. Robert A. Camerota,Sr. First Vice President Director,Residential Lending September 3, 1998 Ms. Lisa A. Baker Grants Coordinator City of Rosemead 8838 E. Valley Boulevard Rosemead, CA 91770 Re: RFP CDBG Program - Banking Loan Service August 1998 Dear Ms. Baker, Thank you for including East %Vest Bank in your Request for Proposals (RFP) for Banking Loan Services for the City of Rosemead's Low Interest Loan Program. We appreciate the chance to review the program outline and opportunity to make a proposal to assist the City of Rosemead in meeting the needs of its citizens through a very worthwhile program. Unfortunately, at this time, we are not in a position to put together a proposal that we feel would be acceptable to the City of Rosemead. I wish to express our sincere interest in future endeavors of this nature, and hope that you will include East West Bank in future mailings of RFP's. I look forward to you future correspondence. If you have any questions or if I can be of assistance in any way, please feel free to contact me at (818) 583-3583. serest ' • .r , Robert A. Camerota, Sr. CC: Wayland Bourne, Senior Vice President, Commercial Service Group Corporate Office,413 Huntington Drive,San Marine,CA 91108, Tel.818.799.5700 MAYOR �� �LI�'(� r- ite ead ROBERT 0/ BR,.Es:h MAYOR PRO TEM'. SASS JOE vASOUEZ 'ffiPal+V 6636 E.VALLEY BOULEVARD-P.O. BOX 399 COONCILMEMBERS'. K. MWRGARP C'AARN ROSEMEAD,CALIFORNIA 91770 JAY INFERO. TELEPHONE(626)288-6671 C.A9YA TAYLOR FAX(626)307-9218 August 3], 1998 NOTICE The deadline for submission of proposals for the City of Rosemead's Low Interest Loan Program had been extended from September 3, 1998 to SEPTEMBER 8, 1998 AT 4:00 P.M. 0juestions,00 If or need additional information,please call Lisa Baker at 626-288-6671. S .4 Lisa Baker Grants oordina••r CITY OF ROSEMEAD REQUEST FOR PROPOSALS BANKING LOAN SERVICES August 1998 Dear Prospective Proposer: The attached comprises the Request for Proposals (RFP) for Banking Loan Services for the City of Rosemead. Please review the RFP prior to finalizing your proposal. If you ha - . • questions, or need additional information, please do not hesitate to call the c• tact peop - isted in the RFP. Si erely, 1I Lisa • . Baker Gran . Coordi ator CITY OF ROSEMEAD COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM REQUEST FOR PROPOSALS (REP) BANKING LOAN SERVICES August 1998 INTRODUCTION The City of Rosemead is issuing this Request for Proposals (RFP) for the provision of banking loan services for its Residential Rehabilitation Program. Prospective proposers must be able to provide the services in an efficient, economical and effective manner. This RFP describes the services sought by the City. Beginning July 1, 1994, the City of Rosemead became a Metropolitan Entitlement Community after ten (10) years of participation as a subrecipient of the County. BACKGROUND The City operates several types of residential rehabilitation. They are: 1) a deferred loan program for owner/occupants who are over 62 years of age or handicapped/disabled; 2) a grant program for owner/occupants who are over 62 years of age or handicapped/disabled; 3) a rebate program for owner/occupants regardless of age; 4) an emergency grant program for owner/occupants regardless of age. The City also has a waiting list for its low interest loan program for low income owner/occupants who are not over age 62 or handicapped/disabled. The City is seeking a banking partner to assist in the provision of low interest loans to these households. The Community Development Division conducts outreach and takes applications from interested owners. The Community Development Division will qualify the income- eligibility of the applicant for its program and will assist with can packaging for the financial institution in the format required. Once the loan has been packaged, it will be forwarded to the financial institution for processing. If the applicant meets the institution's underwriting criteria, the institution may issue the loan and notify the Community Development Division. If the institution declines to make the loan, it will inform the Community Development Division and provide necessary information. PROPOSAL INFORMATION Conformity with the RFP can be assured by following the outline attached. The proposal must provide a simple, straightforward presentation of the capacity of the financial institution to satisfy the requirements of this RFP. • RFP,Banking Services,page 2 DEADLINE FOR SUBMISSION OF THE PROPOSAL IS 4:00 P.M. ON THURSDAY, SEPTEMBER 3, 1998. Proposals must be signed and received in completed form no later than this date and time. No proposal received after this time will be considered. Cost details should be included for each item and should note the cost guarantee for each. Proposers should take care to include each item referenced in the proposal. An original and two copies of the proposal and one copy of supporting materials should be sent to: COMMUNITY DEVELOPMENT DIVISION CITY OF ROSEMEAD ATTN: LISA A. BAKER, GRANTS COORDINATOR 8838 E. VALLEY BOULEVARD ROSEMEAD, CA 91770 Modifications to proposals will be accepted and may be submitted by mail or personal delivery. Modifications must be received by the City prior to the closing deadline. Acceptance of Proposals: the City reserves the right to reject any or all proposals or to waive any formalities not having a material effect on the selection process. Institutions may be excluded from further consideration for failure to fully comply with the specifications of this RFP. The City also reserves the right to reject the proposal of any institution which has previously failed to perform properly, or to complete on time, a contract of a similar nature. Exceptions to the RFP must be clearly identified and explained, including the advantages and disadvantages to the City resulting from exceptions. Selection by the City will be on the basis of greatest benefit to the City, not necessarily lowest price. The City reserves the right to make an award based solely on the proposals or to negotiate further with one or more institutions. Contract and contract execution: the contents of the proposal and subsequent documentation and/or correspondence of the successful proposer may become part of any contract awarded as a result of the proposal. In addition, the terms and conditions of this RFP contained herein will become a part of the Contract and shall be incorporated therein by reference. Contract negotiation: the City reserves the right to negotiate a contract with the selected proposer. The selected proposer will be responsible for all institutions in a consortium. The response of the proposer will be included as part of any contract. RFP for Banking Services,page 3 Contract award shall be made to the proposer submitting the lowest responsible proposal complying with the specifications contained herein, provided the proposal is in the interest of the City to accept. The City is not bound to accept a proposal on the basis of lowest quoted price alone. The proposer to whom the award is made will be notified at the earliest practical date. Third party claims: the City and the Community Development Division shall be held harmless from any third party legal claims involving the use by the City of the institution- offered loan or any service provided by the institution. Interest of City Members: no member of the City shall be admitted to any share of any part of the contract or to any benefit to arise therefrom. Proposal Preparation Costs: all costs incurred in the preparation and presentation of the proposal shall be wholly absorbed by the proposer. All supporting documentation and manuals submitted with the proposal will become the property of the City unless otherwise requested by the proposer at the time of submission. Financial statements may be requested prior to final selection. These may be included optionally in the proposal. Delivery: the successful proposer shall be able to deliver service within thirty (30) days from the date of contract execution. Proposal terminology should include clear and concise definitions. All material should be presented in a concise manner, neatly arranged and in terms understandable by non-banking readers. PROPOSAL FORMAT Proposers are asked to submit the proposal in the following format: LETTER OF TRANSMITTAL. Each proposal should include a transmittal letter which includes the name and address of the proposer, as well as the name and signature of the representative authorized to negotiate with the City. PROPOSER PROFILE: Organization type (e.g. corporation, etc.). ii. History: indicate the number of years in the banking/finance industry. Indicate specifically the expertise in lending and programs which meet Community Reinvestment Act (CRA) requirements. RIP for Banking Services,page 4 Hi. Commitment: describe your commitment to meeting the needs of the City of Rosemead. iv. References: provide the names, addresses, telephone number and contact people for three (3) of your clients, especially if other public entities, who may be contacted. v. Office: identify the name and address of the bank office which will be working with the Community Development Division. LENDING SPECIFICATIONS Provide an overview of the loan and services to be provided. The description should include: Subsidized loan provided by the institution: whether the loan has a variable or fixed interest rate; ii. The debt service coverage factor; iii. The acceptable after-improvement loan-to-value (LTV) ratio; iv. The amount it will cost the City to buy down the loan to the following amounts (preferably provided in Table Format): a. 4% interest for 15 years with a maximum loan amount of $35,000 b. 3% interest for 10 years with a maximum loan amount of $15,000 PROCESSING Fees for servicing (if any) ii. Processing: time frames for completion, services provided, description of all audit trails, types of credit history reviewed, appraisals (if any) including the requirements and approximate cost or formula for determining cost iii. Other. Please add any other information you feel is pertinent to the process. EXCEPTIONS TO THE RFP Describe any exception to the RFP, provide a written explanation which details the scope of the exceptions and advantages/disadvantages to the City. REQUIRED FORMS An executed Equal Opportunity Clause and Non-Collusion Affidavit must be submitted with the proposal. Forms are included. CERTIFICATION WITH REGARD TO THE PERFORMANCE OF PREVIOUS CONTRACTS OR SUBCONTRACTS SUBJECT TO THE EQUAL OPPORTUNITY CLAUSE AND THE FILING OF REQUIRE)REPORTS The bidder _,proposed subcontractor ,hereby cenifies that he has__,has not _ participated in a previous contract or subcontract subject to the equal opportunity clause, as required by Executive Orders 10973, 11114,or 11246,and that he has ,has not _— filed with the Joint Re- porting Committee, the Director of the Office of Federal Contract Compliance, a Federal Government contracting or administering agency, or the former President's Committee on Equal Employment Opportunity,all reports due under the applicable filing requirements. (Company) BY (Title) Date: NOTE: The above certification is required by the Equal Employment Opportunity Regulations of the Secretary of Labor (41 CFR 60-1.7(b) (1)), and must be submitted by bidden and proposed subcontractors only in connection with contacts and subcontracts which are subject to the equal opportunity clause Contracts and subcontracts which are exempt from the equal opportunity clause arc set forth in 41 CFR 60-1.5. (Generally only contracts or subcontracts of 510,000 or under are exempt-) Proposed prime mntracton and subcontractors who have participated in a previous contract or subcontract subject to the Executive Orders and have not filed the required reports should note that 41 CFR 63-1.7(b)(I) prevents the award of contracts and subcontracts unless such contractor submits a report covering the delinquent period or such other period specified by the U.S.Department of the Interior or by the Director, Office of Federal Contract Compliance,U.S.Department of Labor. CERTIFICATION REGARDING LOBBYING Certification for Contracts, Grants, Loans, and Cooperative Agreements The undersigned certifies, to the best of his or her knowledge and belief, that: (1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any Federal contract, grant, loan, or cooperative agreement. (2) If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying, " in accordance with its instructions. (3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352 , title 31, U.S . Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10, 000 and not more than $100, 000 for each such failure. Signature Name and Title Agemcy/Company PROPOSAL LIST--BANKING SERVICES, 1998 FIRST AMERICAN BANK 8941 E. Valley Blvd. Rosemead, CA 91770 attn: Elizabeth J. Dowell SANWA BANK 9000 East Valley Blvd. Rosemead, CA 91770 attn: Robert Higgins BANK OF AMERICA 8856 E. Valley Blvd. Rosemead, CA 91770 CITIZENS BANK 109 S. Del Mar San Gabriel, CA COAST FEDERAL BANK 120 W. Las Tunas Drive San Gabriel, CA EASTWEST BANK Corporate Offices 415 Huntington Drive San Marino, CA Len' Cumkakt_ GLENDALE FEDERAL BANK 532 W. Valley Blvd. San Gabriel, CA WELLS FARGO BANK 641 W. Las Tunas Blvd. San Gabriel, CA