Sunset to issue RFP for banking services after council flags rising bank fees

SUNSET, July 1, 2025 — City staff presented a draft request for proposals seeking new banking services after officials said fees from the city's current bank have risen markedly.

The office manager told the council that banking fees have increased substantially in recent years and that the city is paying more for basic services such as deposits and check lookups. "The fees have tripled over the last few years, and it's just become...crazy," the office manager said during Tuesday's session, adding staff had the attorney review the draft RFP.

Why it matters: Rising bank fees are a recurring operating cost that can erode municipal budgets. The council agreed it is prudent to seek competitive proposals to reduce ongoing transaction charges.

What council discussed and decided

Staff said account-related charges had grown from roughly $300 per month to about $1,000 per month under the current arrangement, and that some transaction types carry separate fees. The office manager described deposit processes and the bank's preference for remote drop-box procedures and said staff wanted to move to a banking arrangement that reduced per-transaction charges and improved service.

Council members directed staff to adjust calendar dates in the draft RFP and to post it publicly. Staff confirmed the minimum public-notice posting period would be 14 days. The office manager said she would update the timeline, post the RFP and circulate notices to the council.

Ending

Councilmembers agreed to solicit bids and return to the council with proposals. Staff will post the RFP with revised dates and bring any responsive bids back for council consideration.