Commissioners launch formal process for county depository after Mechanics Bank raises concerns

The Richland County Board of Commissioners voted July 17 to start a formal process to select the county depository after a local bank raised concerns that the treasurer's office had opened accounts with another institution without commissioners’ signatures.

Commissioner Tony Vero told the board that Mechanics Bank had sent a July 11 letter saying it had been in contact with the treasurer’s office and believed the county was preparing to move significant taxpayer funds to another financial institution. "We received a letter from Mechanics Bank," Vero said. "This was news to me, and we have not been provided deposit slips noting commissioners' signatures."

County counsel and staff said they reviewed the Ohio Revised Code provision that governs county depositories and found the statute (ORC 135.33) requires a competitive solicitation process and a commissioners’ resolution when selecting a depository. "There's a code provision, and it's time to follow the process," Andrew, county counsel, said.

What commissioners did: the board approved sending a formal letter to the county treasurer’s office and the auditor asking for deposit slips and documentation of any new accounts, and to open the statutory process to solicit proposals from eligible local banks. The board convened to set a timetable and invited the treasurer and auditor to participate in a meeting to begin the selection process. Commissioners characterized the action as a procedural step: an effort to ensure the county follows state law when selecting or changing a depository.

Why it matters: the county’s depository holds active public funds and the legal framework in ORC 135.33 establishes a process to select an institution; commissioners said they learned about account openings indirectly from a bank’s letter and wanted formal documentation and a transparent competitive process.

What was said at the meeting: commissioners and staff told reporters Mechanics Bank contacted county leadership. "They started drafting it July 11, but we didn't get it until a couple days ago," Vero said at the dais. He said deputy treasurer staff had been surprised by the inquiry and that the commissioners had asked the treasurer's office to provide deposit slips, dates and other documentation. The board approved the motion to send the letter and to open the statutory application process; commissioners voted to proceed.

Authority cited: county counsel referenced Ohio Revised Code Section 135.33 as the governing statute. Counsel explained the statute requires eligible financial institutions—typically those with a local office—to be invited to submit proposals and for the treasurer to make a recommendation to the commissioners; the commissioners then make the selection.

Next steps and transparency: commissioners asked staff to deliver the formal letter to the treasurer and auditor and said they would schedule a public process consistent with ORC 135.33. The board asked the treasurer to provide deposit slips and the dates the accounts were opened; county staff said they would follow up if the treasurer did not respond.

Who spoke: Commissioner Tony Vero led the discussion; Andrew (county attorney) provided the statutory interpretation; Mechanics Bank was cited as the letter sender but did not appear at the meeting; the treasurer did not attend the session. Commissioners said they would invite the treasurer and auditor to a meeting to review the depository-selection process.

Context and caveats: commissioners emphasized the step was procedural to ensure compliance with state law, not a presumption of wrongdoing. The board said it would seek a full explanation and documentation from the treasurer’s office and pursue the statutory solicitation process for any change in depository services.