DATE: August 5, 2025
TO: Board of Supervisors
SUBMITTED BY: Oscar J. Garcia, CPA, Auditor-Controller/Treasurer-Tax Collector
SUBJECT: Agreement with BMO Bank N.A. to Provide Custody Services for Public
Funds
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute an Agreement with BMO Bank N.A. to provide Custody services including the safekeeping of cash, publicly traded securities, including property held in book entry form which are acceptable to BMO Bank N.A., effective October 1, 2025, through September 30, 2030, which includes a three-year base contract and two optional one-year extensions, total compensation based on transaction volume.
REPORT
Approval of the recommended action would authorize BMO Bank N.A. as agent to act as custodian of cash, securities, and other investments which may be deposited in the accounts established by this agreement for a three-year period and provide the option for two one-year extensions upon the written consent of both parties. This item is countywide.
ALTERNATIVE ACTION(S):
No viable alternative is available. Failure to approve the agreement would result in the County no longer having a depository for public funds to provide services including the custody and safekeeping of cash, publicly traded securities, and other property.
FISCAL IMPACT:
There is no increase in Net County Cost (NCC) associated with the recommended action. Sufficient appropriations for this agreement are included in the FY 2025-26 General Fund Org 0410 Auditor-Controller/Treasurer-Tax Collector Recommended Budget and will be included in future budget requests.
The total amount of fees paid under the recommended agreement will vary based on balances and transaction volumes. The approximate annual cost of the agreement is $10,713, based on current transaction volume. The pricing for Safekeeping services will be absorbed by the County's Earnings Credit Rate (ECR) of 3.25%.
DISCUSSION:
The County issued Request For Propos...
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