VAN CARTERS E N I O R V I C E P R E S I D E N T

P U B L I C F I N A N C E S A L E S M A N A G E R

APRIL 22 , 2015

Depository Contracts:Key Aspects for the RFP Process

and other Fun Activities

Discussion Points

Approaching the RFP process

Sharing, Providing and Collecting Information

TimelinesEvaluation ProcessCollateral considerationsCommunicating with

your Bank / BiddersQuestions / Comments

Approaching the RFP Process

Identify “Key” Individuals impacted by Depository Contract

Identify and Include individuals for evaluation team

Internal External

Purchasing ManagerAuditor

Treasurer’s OfficeAttorney

Consultant

FinancialFiling &

RecordingJudicial

TreasurerAuditor

Count ClerkDistrict Clerk

SheriffJail

Courts / Judges

Approaching the RFP Process (continued)

Identify WHAT banking functions are currently being performed Deposit preparation Cash handling Transaction initiation /

confirmation / releasing File creation / submission /

downloading / importing Reconciliation of transactions

and accounts Identify WHO is performing

banking-impact functions Does everyone who is involved

NEED to be Identify WHO interacting with

your Bank Centralized vs. Decentralized

Determine WHEN and HOW often your bank is contacted

Evaluate WHY you are interacting with your bank

Approaching the RFP Process (continued)

Comfort / Tolerance with Technology Currently in use Planned for implementation

If using a Consultant Consider level of

involvement by County staff Consider role of consultant:

Contractor, Advisor or Decision Maker

Evaluation Criteria Rates & Fees vs Service &

Relationship

Sharing, Providing and Collecting Information

Once RFP is released, contact with potential bidders is restricted

Consider a “pre-RFP” meeting with potential bidders

RFP Format: PDF vs DOC/DOCX and XLS/XLSX

Include information on Balances, Services and Volumes

Timelines

Begin: 3 – 6 mos. before expiration of current contract

After RFP Release: 4 weeks for bidders to prepare responses Pre-Bid Meeting: 2-3 weeks prior to submission deadline

After submission deadline: 2-4 weeks for bid evaluation and post-bid Q&A

After award of Depository Contract Notify bidders of selection <4 weeks to Negotiate and Execute new contract 1 – 3 months to set up accounts, implement services and

transition to new contract

Evaluation Process

In-house vs. ConsultantCriteria should be for “best” provider

not necessarily the “cheapest” Rates & Fees vs Service & Relationship People do business with People; not services, fee

schedules or financial statementsIf unsure of a bidder’s response, submit follow-

up question(s) for clarification Have bidder verify & confirm your interpretation and

calculations of their bidConsider inviting top candidates in for

presentations

Collateral Considerations

FDIC -- $250,000 (x 2)https://www.fdic.gov/deposit/deposits/factsheet.html

Chapter 2256 (a.k.a. Public Funds Investment Act; PFIA)

Chapter 2257 (a.k.a. Public Funds Collateral Act; PFCA)

The relationship between Collateral and Investments

How to INCREASE the cost of your banking services

Service quality and proposal evaluation

Consultants

Communicating with your Bank / Bidders

Once RFP is released, contact with potential bidders is restricted

More information provided to potential bidders enables opportunity for more competitive bids Teamwork more than competition

Less information provided sets up for more of a “standard” offering (possibly less competitive)

Use of pre-formatted spreadsheets sets up for easier comparison of price offerings Consider having Bidders prepare a pro forma

Account Analysis or billing statement Bidders will need Balances, Services and Volumes

Ask Bidders to include any additional billables services from RFP list

Communicating with you Bank / Bidders

During RFP process, communication should be documented (i.e. in writing; e-mail) through Purchasing / Procurement Coordinator

After bids have been submitted, direct questions on proposals to appropriate bidder(s)

After award of contract, communication should coordinated between Treasurer’s or Auditor’s office and Bank Relationship Manager

Public Information Requests Note notations for confidentiality, confidentiality &

copyright Internal tabulations, pricing and rates are

considered “public” These items can potentially avoid AG ruling

Thank you ! ! !

Questions / Comments