AGENDA CAPTION:
Title
Consider approval of Resolution 2015-135R approving an agreement between the City and Wells Fargo Bank, N.A. for the provision of Depository Services contingent upon the depository’s provision of sufficient insurance in accordance with the attached agreement; authorizing the City Manager or his designee to execute this agreement on behalf of the City; and declaring an effective date.
Body
Meeting date: October 20, 2015
Department: Finance - Heather Hurlbert, Finance Director (by Cheryl Pantermuehl, Purchasing Manager)
Funds Required: $110,000
Account Number: Various
Funds Available: $110,000
Account Name: Bank Charges
CITY COUNCIL GOAL:
Sound Finances
COMPREHENSIVE PLAN ELEMENT(s): N/A
BACKGROUND:
On July 16, 2015 the City received two applications for the City Depository Services (RFA #215-178). A City selection committee has met, evaluated the applications, and recommends we award a contract to Wells Fargo Bank located in San Marcos, Texas.
The contract is a three year contract effective November 1, 2015 through October 31, 2018. It may be extended for one (1) additional two year term for a maximum five year term.
Wells Fargo Bank is the current depository for the City. Over the past 5 years, Wells Fargo Bank has maintained a good working relationship with the City and provided many alternatives and services to manage the City’s finances. The City is able to offset all bank charges through the earnings credit of .45% offered by the current contract. This earnings level is higher than many of the other investment options that are available to the City.