October 3, 2012
To Whom It May Concern:
Douglas-Cherokee Economic Authority, Inc. (DCEA) is accepting proposals for banking services. Minimum specifications are enclosed. Please read the Request for Proposals thoroughly.
Proposals must be submitted by, October 23, 2012 at DCEA’s main office.
Sincerely,
Susan Luker
Executive Director
I. INTRODUCTION
A. General Information
Douglas-Cherokee Economic Authority, Inc. is requesting proposals to identify the banking institutions that can offer the highest quality of service at the lowest cost to the Agency.
Submit: One original bid and two copies. All bids must be sealed and plainly marked on the outside of the package showing the bid name (Douglas-Cherokee Economic Authority, Inc. Banking Services).
B. Terms of Engagement
The banking contract will be for the term of three (3) years with the option by DCEA to extend the contract two additional years. It is DCEA’s intent that a single bank provides all the banking services specified in this proposal
II. GENERAL INSTRUCTIONS
1. Questions and Additional Information will be furnished to all potential proposers. All questions shall be submitted in writing to the Executive Director, preferably by email no later than October 17, 2012 at 4:30 p.m.
Douglas-Cherokee Economic Authority
Executive Director, Susan Luker
534 East First North Street
Morristown, TN 37814
Phone: (423) 587-4500 Fax: (423) 587-4509
Email:
2. Bids and amendments thereto, if received after the date and time specified, will not be considered. Date of postmark will not be considered. Telephone, facsimile, electronic, and verbal bids will not be accepted.
3. Prices shall be stated in units of quantity specified in Appendix B.
4. The bidder certifies by signing this invitation for Bid that this bid is made without prior understanding, agreement, or accord with any other person submitting a bid for the same service and that this bid is in all respects bona fide, fair and not the result of any act of fraud or collusion with another person engaged in the same line of business or commerce. Any false statement hereunder constitutes a felony and can result in a fine and imprisonment, as well as civil damages.
5. All bids must be signed by an authorized responsible officer or employee having the authority to enter contracts. Obligations assumed by such signature must be fulfilled.
6. Non-Discrimination: During the performance of this contract, the contractor agrees as follows: He/she will not discriminate against any employees or applicants for employment because of race, religion, color, sex, national origin, age, disability, or any other basis prohibited by state law relating to discrimination in employment, except where one or more of these are a bona fide occupational qualification reasonably necessary to the normal operation of the contractor. The contractor agrees to post in conspicuous places available to employees and applicants for employment, notices setting forth the provisions of this non-discrimination clause.
III. SELECTION CRITERIA
The following criteria will be used but not limited to select the best proposal.
· Cost of banking services, per identified activity and corresponding balance.
· Ability to meet current and projected service requirements over the term of the banking agreement.
· Best arrangement and overall return/interest rate.
· Ability to provide electronic banking services.
· Capability and willingness to adequately collateralize public deposits in accordance with state and federal guidelines.
When the successful proposer has been tentatively selected, a conference will be requested to work out details regarding the banking relationship. At any time during the conference (s), DCEA may choose to modify its choice if it determines that such a change is in the best interest of the Agency.
IV. NATURE OF SERVICES REQUIRED
A. Qualifying Requirements
1. The qualified bank must meet the following minimum criteria:
a. Must be a banking corporation incorporated under the laws of the State of Tennessee or the United States of America
b. Maintain its home office or a full service branch bank within Cocke, Grainger, Hamblen, or Jefferson counties.
c. Must be an authorized state depository as designate in TCA 9-4-107;
d. Must be a participant and originator in the Automated Clearing House System (ACH)
2. The proposal includes a table of average number of transactions for the previous twelve months. See section VII for Unit Analysis.
3. Proposers should thoroughly examine and be familiar with these specifications. The failure or omission of any proposer to receive or examine this document shall in no way relieve any proposer of obligations with respect to this proposal or the subsequent contract.
4. Either party may terminate the contract by giving written notice to the other party no later than ninety (90) calendar days before the proposed termination date. This provision may be exercised only after the contract has been in effect for three (3) calendar months. The Bank shall be entitled to just and equitable compensation for any satisfactory work completed to the termination date. Under no circumstances will any damages be paid as a result of the termination of this contract.
5. Failure to comply with any of the terms and conditions of this RFP by the awarded Bank will be cause for termination of the banking contract. Please review Appendix A for the statement of understanding
6. The Bank agrees that the following will not be included in the contract: a contract provision setting out a promise by the Agency to hold harmless or indemnify the Bank for any liability arising from the contractual relationship; a contract provision whereby the Agency agrees to limit the Bank’s liability to the Agency or to limit the legal remedies otherwise available to the Agency; a contractual provision requiring the Agency to agree to pay liquidated damages or a contract provision requiring the Agency to pay attorney’s fees to the Bank in the event of an litigation between Agency and Bank.
7. Subsequent to issuance of a contract, all parties reserve the right to make amendments or modifications to the agreement by written amendment signed by both parties. No amendment shall be effective unless signed by both a Bank representative authorized to bind the corporation and the Executive Director of DCEA
8. In an effort to enhance communication between DCEA and the Bank over the contract period, an annual review of DCEA’s banking needs may be scheduled.
9. The Bank should ideally be a member of the State Collateral Pool, or the Bank must be able to securely collateralize deposits.
V. SCOPE OF BANKING SERVICES
A. General
1. The account listed below is the main account for DCEA.
· Douglas Cherokee Economic Authority, Inc. Operating Account
2. DCEA needs the capability to deposit funds into this account utilizing the following: wire transfers, ACH transfers, and normal cash/check deposits. DCEA needs the capability to debit this account utilizing the following: checks, normal withdrawals, online E-payment, wire transfers, and ACH.
3. Please answer the following questions in your RFP.
A. How would your banking institution pay interest?
B. How would the rate of interest paid be calculated? Present a 12 month history of rates based on your proposal.
C. Is your institution a member of the State Collateral Pool? If not, how would your institution collateralize the Agency’s deposits?
D. The Agency uses electronic services. The Agency uses an internet-based application that allows the Agency to check account balances and activity, review images of checks and deposits, make stop payments, initiate wire transfers, and transfer funds. What system does your Bank offer that would give the Agency access to its account on a daily basis? What kind of information is available on your system, and what functions can be completed using your Bank’s system?
E. The Agency is interested in remote deposit capture services. Give a brief description of setup costs and other applicable fees associated with this service.
F. DCEA needs the capability to continue to offer direct deposit services to its employees. What direct deposit system does your Bank offer? Give a brief description of how it works and list the applicable fees.
G. The Agency is interested in considering other services that your Bank offers. Please list any services that you believe would be beneficial to the Agency’s operations and please list the costs associated with these services.
VI. TIMELINE OF IMPORTANT DATES
Wednesday, October 3, 2012 / Distribution of Requests for ProposalsTuesday, October 23, 2012 / Proposals must in the possession of the Executive Director by 4:30 p.m.
Monday, November 5, 2012 / Conference with tentatively selected banking institution to discuss potential contract/services
Thursday, November 8, 2012 / Decision made by Executive Director and Finance Committee of the Board of Directors
Friday, November 9, 2012 / Banking institution notified
Tuesday, January 1, 2013 / Implementation of new bank contract
VII. UNIT ANALYSIS
During the past twelve months, the average ledger balance of DCEA’s operating account has been approximately $1,997,781.
Below is a table that includes the previous twelve months averages of the following: debits, credits, checks paid, deposits, items deposited on us, local, regional, and other, incoming wires, branch cash ordering and coin ordering, ACH NOCs and Returns, and ACH credit transactions. Please quote cost of service for each of the units listed below in Appendix B.
APPENDIX A
Statement of Understanding
Note: If for any reason the Bank can’t comply with anything requested, please note below.
q Bidder understands and agrees to all terms, conditions, requirements, and specifications stated herein.
Bank: ______
Signature: ______
q Bidder takes exception to terms, conditions, requirements, or specifications stated herein (Bidder must itemize all exceptions below, and return with proposal):
Bank: ______
Signature: ______
Exceptions to note: (please use an additional page if needed) ______
______
Banks should note that any exceptions taken from the stated terms and or specifications may be cause for their proposal to be deemed "Non-responsive", risking the rejection of their proposal.
APPENDIX B
Fee Schedule