Southtowns Record

Board Packet 06.01.2026

Government
Village of Springville
Board
Village Board
Meeting
Jun 1, 2026
Kind
Agenda packet
Topics
Audits and oversight, Zoning and land use, Public safety, Budget and taxes, Water, sewer and drainage

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APPENDIX A

  VILLAGE OF SPRINGVILLE, NEW YORK
  Contract Dated June 1, 2026
  General Financial Services

  DISCLOSURE  OF CONFLICTS OF INTEREST

Municipal Securities Rulemaking Board Rule G-42 requires us, as your municipal advisor, to provide
written disclosure to you about material conflicts of interest.

We have determined, after exercising reasonable diligence, that we have no known material conflicts of
interest that would impair our ability to provide advice to the Village in accordance with our fiduciary
duty to municipal entity clients. The attached paragraphs outline areas of potential conflicts of interest we
have reviewed to make this no material conflict of interest determination.

Our proposal includes compensation for municipal advisory activities to be performed that is
contingent on the size or closing of any transaction as to which Municipal Solutions, Inc. is providing
advice, the potential conflicts that could occur as a result of this pricing compensation are outlined
below.

  FORMS  OF COMPENSATION AS POTENTIAL  CONFLICTS

The forms of compensation for municipal advisors vary according to the nature of the engagement and
requirements of the client, among other factors. Various forms of compensation present actual or
potential conflicts of interest because they may create an incentive for an advisor to recommend one
course of action over another if it is more beneficial to the advisor to do so. This document discusses
various forms of compensation and the timing of payments to the advisor.

  Fixed fee - Under a fixed fee form of compensation, the municipal advisor is paid a fixed amount
  established at the outset of the transaction. The amount is usually based upon an analysis by the
  client and the advisor of, among other things, the expected duration and complexity of the
  transaction and the agreed-upon scope of work that the advisor will perform. This form of
  compensation presents a potential conflict of interest because, if the transaction requires more work
  than originally contemplated, the advisor may suffer a loss. Thus, the advisor may recommend less
  time-consuming alternatives, or fail to do a thorough analysis of alternatives. There may be
  additional conflicts of interest if the municipal advisor's fee is contingent upon the successful
  completion of a financing, as described below.

  Hourly fee - Under an hourly fee form of compensation, the municipal advisor is paid an amount
  equal to the number of hours worked by the advisor times an agreed-upon hourly billing rate. This
  form of compensation presents a potential conflict of interest if the client and the advisor do not
  agree on a reasonable maximum amount at the outset of the engagement, because the advisor does
  not have a financial incentive to recommend alternatives that would result in fewer hours worked.