File #: 2018-220    Version: 1 Name:
Type: Staff Report Status: Passed
File created: 5/21/2018 In control: City Council
On agenda: 6/13/2018 Final action: 6/13/2018
Title: Banking Services Agreement
Attachments: 1. Banks in Coachella Valley.pdf, 2. Cathedral City Banking_Services RFP 10312017.pdf, 3. Cathedral City Banking Services Agreement.pdf
City Council

MEETING DATE: 6/13/2018
TITLE:
Title
Banking Services Agreement
End

FROM:
Tami E. Scott, Administrative Services Director

RECOMMENDATION:
Recommendation
It is recommended that the City enter into a one-year banking services agreement with two (2) one-year extensions, exercisable at the discretion of the City upon sixty (60) days prior written notice to Wells Fargo before the expiration of the term or extended term.
Body

BACKGROUND:
The City's current banking services relationship has been with Wells Fargo Bank for the last 31 years. City staff recently completed a Request for Proposal ("RFP") with the goal of determining whether to continue with Wells Fargo Bank or establish a banking relationship with another financial institution. Staff contacted nineteen (19) Coachella Valley Banks and two (2) Coachella Valley Credit Unions, and posted the RFP on the City's website, as can be seen by the attached. We received five (5) responses to the RFP. Two of the respondents were disqualified as they did not either meet the minimum qualifications or were non-responsive to the questions asked in the RFP. Also note, staff made significant efforts to contact Cathedral City banks (Bank of America, US Bank and Chase) but they did not respond.

DISCUSSION:
As one can imagine, changing a banking relationship is a very intensive undertaking and many issues need to be considered in the process. As can be seen by the attached, a very detailed RFP was prepared to address and identify the City's banking needs. The three remaining respondents were scored independently by five city staff members on all the criteria outlined in the RFP. Of a total number of points possible, exclusive of pricing, Wells Fargo Bank was number one with 334 of 350 points, Citibank was number two with 288 of 350 points and Pacific Western Bank was number three with 267 of 350 points. Please note that both Wells Fargo Bank and Pacific Western Bank have locations in Ca...

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