Title
Treasurer-Tax Collector's Office recommending the Board approve the following:
1) Make findings that it is appropriate to engage an independent contractor to provide Countywide banking services, as Agreement 10532 can be more economically and feasibly performed by independent contractors than County employees in accordance with County ordinance code 3.13.030(A);
2) Award Bid 2026-0100 for the purchase of banking services to the lowest responsive bidder, Bank of America;
3) Approve and authorize the Chair to sign, competitively procured, Agreement 10532 with Bank of America, for the provision of banking services, effective upon execution for a period of 3 years, with 2 one-year options to extend, for a total possible term of 5 years in the amount of $250,000; and
4) Authorize the Purchasing Agent to execute amendments relating to Agreement10532, contingent upon approval by County Counsel and Risk Management, which do not increase the maximum dollar amount or term of the Agreement.
FUNDING: General Fund.
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DISCUSSION / BACKGROUND
The Treasurer-Tax Collector's Office believes it is beneficial to market the County’s business to the banking industry through a competitive selection process in order to ensure the County obtains the best products and services for the lowest possible cost. The Treasurer-Tax Collector's Office recommends the Board find, in accordance with Government Code Section 31000, that the County's economic interests are served by contracting out financial services, and that the Board make findings in accordance with Section 3.13.030(A) of the County Ordinance code that these services can be more economically and feasibly performed by independent contractors than County employees. The County does not have the capacity to perform all the financial services that are available from outside banks.
At the request of the Treasurer-Tax Collector Department, the Procurement and Contracts Division issued a Request for Proposal (RFP) for full-service banking and central deposit services. Two proposal responses were received: Bank of America and JP Morgan.
Bank of America was determined to best meet the needs of the County based on the following:
1) Provides the lowest costs overall to the County;
2) Able to provide technologically advanced services at a competitive cost;
3) Has branches in all locations described in the RFP;
4) Capable of providing all services as described in the RFP;
5) Provides pricing incentives with the option to renew for two additional one-year terms.
ALTERNATIVES
The current contract for County-wide banking services will expire on December 28, 2026. If the Board were to decline to award RFP 2026-0100 to Bank of America and authorize the Chair to sign Agreement 10532, the County will be without banking services.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel, Procurement & Contracts and Risk Management
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
Compensation under the contract will vary based on transaction volume. Estimated annual compensation is approximately $83,333. Sufficient appropriates are included in the FY 2026-27 Budget.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Upon Board approval and execution, please forward signed contract to the Treasurer-Tax Collector Office.
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Sean M. Coppola, CTP Treasurer-Tax Collector