INTRODUCTION
Pierce Transit (referred to as "Agency") is soliciting written proposals from qualified banking institutions to provide banking services.

Currently the Agency has a single pooled operating demand account, a zero balance account, and a demand account for travel advances. A safekeeping account is required for all investment purchases. Projected workload relative to services currently provided and requested in the RFP are included on COST OF SERVICES form ("Forms To Be Completed" section). Disbursements for payroll, vendor payments and other charges are by check, wire transfer or direct deposit through the Agency’s Master Operating Account. Payment for bank services is by direct fee and this will continue to be the payment mechanism in the future.

SCOPE OF WORK
Account Maintenance: The Agency presently maintains three (3) checking accounts and one (1) safekeeping account. The accounts are as follows:

Master Agency Operating Account
Advance Travel Account
Workers Compensation Account (Zero Balance Account)
Safekeeping Account (Custodial Account)

Statements: The Agency requires the bank provide month-end statements for all accounts showing analysis of all transactions to each account. The bank is also to provide an account activity analysis of each checking account and a consolidation of the activity of all checking accounts each month. The Agency requires an electronic record of cleared checks, preferably stored on CD-ROM.

On-line and Wire Services: The bank shall provide an automated wire transfer mechanism, whereby wire transfers can be initiated via a personal computer with a modem, interfacing directly with the Bank’s wire transfer system and will include daily on-line activity reporting. The proposal should include a description of the Bank’s wire transfer practices. The Bank should also provide on-line access to detail debit and credit information, including account balances, for a minimum of five (5) previous working days. The on-line service should allow transaction research available for a period of at least thirty (30) days and should provide the ability to place stop payment transactions.

Safekeeping: The selected bank shall be the Agency’s custodial agent in charge of safekeeping investment securities. The agent bank shall control the securities through its safekeeping department, through any corresponding bank with which it deals regularly, or through the Federal Reserve. All proposals must identify where safekeeping facilities will be located and what banks, if any are used as correspondent banks. The Agency intends to enter into a custodial agreement with the successful proposer for purposes of safekeeping.

Investments: The Agency will follow the practice of separately competitively bidding investments; however; the Agency intends to utilize the contracted bank for the purpose of entering into daily overnight repurchase agreements for investment of excess cash balances. Repurchase Agreements are to be collateralized by liquid marketable government securities having a market price of at least 102% of the repurchase price. Securities used for collaterization of repurchase agreements will be segregated in Pierce Transit’s name and held in safekeeping by a third party safekeeping agent. The Agency requires a daily automatic rollover of the master account balance into an overnight repurchase agreement. All proposals shall state the percentage of the current Federal Funds Rate to be paid daily on the investible balance (defined as monies on hand each night, less minimum float requirements).

Overdraft Protection: The bank shall provide the Agency with overdraft protection including daylight overdrafts. The bank will honor all demands upon the Agency’s accounts including outgoing wire instructions by the Agency. The bank shall state the cost of providing the overdraft protection, including the benchmark from which the bank will determine the interest to be charged on overdrafts, and current rates. The bank should also state its policy relating to overdrafts.

Resource Personnel: The bank shall identify a bank officer(s) with overall responsibility for the account. This officer should be able to provide resolution and assistance in connection with daily banking needs.

Coin and Currency: The bank will provide coin and currency deposit services for the Agency. Approximately $40,000 in coin and $62,500 in currency is deposited each week. Coin and currency is sorted by and bundled by denomination prior to deposit. Coin and currency deposits are made three times per week. Armored car services are provided by the Agency.

Direct Deposit Service: The bank will provide direct deposit capabilities to Pierce Transit for employee payroll. Bank should specify timing requirements to assure the deposits are recorded to the accounts by 8:00 a.m. on the distribution date.

Credit Card Charges: Pierce Transit offers its customers the convenience of payment by Visa or MasterCard. The selected bank will maintain facilities to accommodate such charges. The proposal should include processing requirements and associated fees. The Agency processes approximately one thousand (1,000) transactions per month with average sales of $42,000.

Access to Records: The bank shall, upon authorization from Agency or as state law allows, provide reasonable access to bank records by the State Auditor’s office to examine records relating to the use of Agency funds.

Other Optional Services: The Bank may specify other services. The services should include a brief description and anticipated cost.

Estimated Volume of Activity: COST OF SERVICES form (included in "Forms To Be Completed" section attached) documents the average volume of account activity the Agency experiences on a monthly basis. Proposals shall include this form, completing the fees and associated costs based upon this level of activity. Include a list of charges for additional services that the Bank provides but are not shown on COST OF SERVICES form.

CONDITIONS QUALIFYING A BANK TO PROPOSE
Proposers must possess the following qualifications:

• In order to be considered, banks must be full-service institutions capable of providing at least those services identified in this RFP. Banks must have at least one branch or main office located in the Tacoma area.

• The bank must be qualified public depository prescribed by Washington State Law (RCW 39.58, Public Deposit Protection Act), and provide copies of all documents required. The bank must meet or exceed the requirements outlined therein.

• The investment activities of Pierce Transit will in no way be affected by the appointment of a bank to handle the Agency’s regular demand account.

• Each proposer shall submit copies of their annual financial reports for the past two (2) years. These reports will be used by Pierce Transit to determine the financial strength of the proposer. The successful proposer shall, during the duration of this contract, continue to furnish Pierce Transit updated issues of its financial report.

• Proposal Forms: Proposers shall use the attached required "Forms To Be Completed" section, or copies thereof, in submitting a proposal. It is required that the forms be completed in their entirety; that is, that all basic service and legal requirements be met.

• No Proposal: If a service requirement cannot be met by a propoer, then "No Proposal" should be entered on the form for that specific requirement. In the case of a "No Proposal" response, the proposer shall offer an alternative equivalent service.

TERM OF CONTRACT
The contract resulting from this request for proposals shall be for a three (3) year period with an option for a two year extension.