Banking Services

The City of Pasadena is requesting proposals for banking services to support general and payroll accounts under RFP issued June 22, 2026, with proposals due July 9, 2026 at 3:00 PM and questions due June 29, 2026 at 12:00 PM. The proposing financial institution must be a federal or state-chartered banking entity qualified as a depository of public funds under California Government Code Section 53648, maintain at least a "satisfactory" Community Reinvestment Act rating and equivalent rating from a nationally recognized bank rating service, collateralize all City deposits per applicable California Government Code sections, operate a full-service branch within Pasadena city limits, and provide a dedicated governmental services unit.

The scope encompasses general and payroll account services for the City and affiliated agencies including Rose Bowl Operating Company and Pasadena Center Operating Company. Services include remote deposit capabilities, wire transfers, ACH processing, lockbox services, and a purchasing card program supporting up to 2,000 employees. The City's FY 2025 budget totaled $1.5 billion with average daily transaction volumes of approximately $1 million in credits and equal debits. Current operations process approximately 18,400 checks monthly, issue 5,000 checks from the general account, and maintain two lockbox accounts. All conversion costs, implementation assistance, training, and travel expenses must be included in the proposal with no separate reimbursement. Pricing is determined via a combination of direct fees and earnings allowances based on demand deposits, with monthly account analysis statements required.

The initial contract term is five years from execution with two optional one-year extension periods subject to City Manager approval. The selected bank must comply with PCI DSS v4.0.1, GLBA Safeguards Rule, Nacha ACH Risk Management rules, and maintain SOC 2 Type II and ISO/IEC 27001 certifications, with security incident notification within 24 hours and confirmed breach notification within 8 hours. Proposers must submit a Unique Entity Identifier from SAM.gov, Relevant Experience Form with five comparable projects, Conflict of Interest Disclosure and Certification, Designated Representatives and Key Personnel form, Taxpayer Protection Amendment Disclosure, Vendor Questionnaire with non-collusion declaration, and proof of Pasadena Business License. Professional Liability and Cyber Liability insurance of $2 million per occurrence each is required, with the City named as additional insured.