Item No.
_6d attach .
Date of Meeting: February 26, 2019

PORT OF SEATTLE
MEMORANDUM
COMMISSION AGENDA
ACTION ITEM

Item No.
Date of Meeting

DATE:

July 24, 2013

TO:

Tay Yoshitani, Chief Executive Officer

FROM:

Craig J. Kerr, Treasury Manager

SUBJECT:

Banking Services Contract

Sb
August 6, 2013

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Amount of This Request:

$9,700,000

Est. Total Project Cost:

$9,700,000

Source of Funds: Non operating budget
for basic banking
services. Credit card
fees are budgeted as
operating expense by
the affected
departments.

ACTION REQUESTED
Request Commission authorization for the Chief Executive Officer to execute a contract for
banking services for five years with the option to extend for two additional one-year periods at
an estimated cost in banking fees of$9,700,000.
SYNOPSIS
The Port of Seattle intends to issue a request for proposal (RFP) for banking services. The
contract term will be for five years with the option to extend for two additional one-year periods.
It is the intent of the Port to select one banking institution to provide Port banking services. The
Port's selected bank will receive deposits and disburse Port funds and process the Port's debit
and credit card transactions. Only the approximately 80 financial institutions that have been
determined to be qualified public depositories by the Public Deposit Protection Commission
(PDPC) are eligible to compete for the Port's business. All qualified public depositories will be
notified that the Port is soliciting proposals for banking services. Due to PDPC requirements
along with the Port's need for a robust electronic banking platform with controls, the number of
banks interested in and able to handle the Port's business will likely be quite small.
BACKGROUND
In 2009, staff bid for banking services for five years with the right to extend for two additional
one-year periods. The current banking contract expires on July 31, 2014. The Port has hired a
consultant, Vizant Technologies, to monitor debit and credit card fees. Over 96% of the Port's
banking fees result from processing debit and credit card payments. Vizant's fee is based on a
percentage of savings experienced by the Port as a result of their card acceptance savings