Subject: 20190/Agmt/1stTNBank/FinancialAdvisoryServices
Date: Fri, 25 Mar 1994 08:33:54 -0500


                             RESOLUTION NO.   20190  
                   
                   
                   A RESOLUTION AUTHORIZING THE MAYOR AND THE 
                   CITY FINANCE OFFICER TO ENTER INTO A 
                   SERVICES AGREEMENT WITH FIRST TENNESSEE BANK 
                   NATIONAL ASSOCIATION TO PROVIDE FINANCIAL 
                   ADVISORY SERVICES TO THE CITY FOR A PERIOD 
                   OF ONE (1) YEAR BEGINNING MARCH 30, 1994, 
                   WITH TWO (2) ONE-YEAR RENEWAL PERIODS.
                   
                   
                                                     
                   
                   
       	    	 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF 
       CHATTANOOGA, TENNESSEE, That the Mayor and the City Finance 
       Officer are hereby authorized to enter into a services agreement 
       with First Tennessee Bank National Association, Memphis, 
       Tennessee (hereinafter "the Bank"), to provide financial advisory 
       services to the City for a period of one year beginning March 30, 
       1994.  There shall be two renewal options to be exercised at the 
       sole discretion of the City.
       	    	 Compensation for debt issued at competitive sale under 
       the terms of said agreement shall be at the following rates:
       $0 to 10,000,000	   	   $1.00 per $1,000 of bonds issued, plus
       
       $10,000,000 to $20,000,000  $.75 per $1,000 of bonds issued, plus
       
       Over $20,000,000	   	   $.50 per $1,000 of bonds issued
       
       	    	 To the extent that any debt sale covered by said 
       agreement shall be negotiated between the City and the Bank, any 
       associated levels of compensation for the Bank shall be agreed 
       upon in writing in advance of the issuance of any proposed debt.
       
       ADOPTED:	 March 29, 1994
       
       JB:cjc