City Of Philadelphia Tender

Request For Proposals for Payroll Banking Services Statement of Purpose : The City Treasurer’s Office ( CTO ) is seeking proposals from banks or other qualified financial institutions to provide banking services related to employee payroll disbursements. These disbursements include payments to employees, various charities and vendors for payroll deductions, and employer and employee taxes Section 19-201 of the Philadelphia City Code requires that at least once every four years, the City Treasurer shall implement an RFP process seeking applications from banks or other qualified institutions that wish to receive City Payroll Deposits. In accordance with the terms of the RFP, the City Treasurer shall tentatively select one or more institutions to receive City Payroll Deposits, and shall enter into negotiations with such institution or institutions to reach agreement on a proposed contract for such services, in terms approved by the Law Department, provided that all conditions set forth in this Section 19-201 for City depositories shall be incorporated in such contract A. Project Details The City is soliciting proposals to provide controlled disbursement banking services for accounts related to employee payroll disbursements. The bank account structure related to employee payroll services is to have two controlled disbursement accounts that allow for payments to be made via check, ACH and wire payments. These two accounts are also expected to ZBA into a master account that can be swept to a money market account or invested as the City so chooses. The City employs approximately 29,400 full-time, part-time, and seasonal employees as of January 2021. The City encourages the use of direct deposit, but it is not mandatory. Approximately 98% of City employees are on direct deposit. There are two pay cycles with individual employees paid on a bi-weekly basis. There are approximately 440 employees that receive physical checks. Payee Positive Pay services with full account reconciliation services are currently used on all check disbursements. For those employees of the City receiving a paper check as compensation, the City expects its Payroll Banking Services provider to cash employee payroll checks at no charge to the employee. The City intends to fund the payroll account on the same day as the payroll date. The largest payroll cycle is approximately $58 million. The proposed bank account services and new payroll solutions must comply with the legal requirements of both the Commonwealth of Pennsylvania and the City of Philadelphia.