Custodial and Securities Lending Services

In accordance with Government Code Section 53649, the County of San Mateo Treasurer-Tax Collector's office, hereafter referred to as "TTC" is seeking a Request for Proposals (RFP) from interested and qualified vendors to provide Custodial and Securities Lending Services to the Treasury Division

The County of San Mateo (hereafter referred to as the "County") manages a Local Government Investment Pool (hereafter referred to as the "Pool") consisting of the pooled monies held by the County Treasurer on behalf of the County, school districts, community college districts and certain special districts and cities within the County. The current size of the investment portfolio is approximately $ 9 billion. The Pool is actively managed in accordance with the California Government Code, the San Mateo County Investment Policy Statement, and internal investment guidelines. The Pool pursues its objectives by investing in a diversified portfolio of high-quality securities, which include U.S. Treasury and agency securities, corporate obligations and selected money market instruments.

The San Mateo County Investment Policy Statement and other information may be obtained at: https://www.smcgov.org/treasurer/investment-information

The mission of the Treasurer is to act as the County's banker and investment manager for the County and the school districts in the County; investing the pooled funds while providing safety, liquidity and yield.

The philosophy of the TTC is to keep custodial services separate from regular banking services. All securities must be handled on a delivery versus payment basis. The custodial account will have no cash position at the end of the day.

This RFP seeks the submission of proposals to provide services from any and all interested and qualified proposers. The Department, which is a part of the government of the County of San Mateo, seeks by way of this RFP to obtain the listed services in a manner that maximizes the quality of services while also maximizing value to the County and, by extension, the citizens of the County. Proposers must be able to show that they are capable of performing the services requested. Such evidence includes, but is not limited to, the respondent's demonstrated competency and experience in delivering services of a similar scope and type and local availability of the proposer's personnel and equipment resources.

Length of Agreement: The anticipated duration of the agreement will be for three years, with one option to amend for two additional years.

Minimum Proposer Requirements:

All proposers must:

1. Have no record of unsatisfactory performance. Proposers who are or have been seriously deficient in current or recent contract performance, in the absence of the circumstances beyond the control of the proposer, shall be presumed to be unable to meet this requirement.
2. Provide the County with two (2) years of audited annual financial statements. All firms with whom the TTC does business must have a stable financial condition.
3. Have the ability to maintain adequate files and records and meet statistical reporting requirements.
4. Have the administrative and fiscal capability to provide and manage the proposed services and ensure an adequate audit trail.
5. Possess the knowledge and experience necessary to successfully perform the work described at the time the contract is executed. The proposer must have the resources to perform the work.
6. Have a minimum of 10 years' experience providing securities custody services.
7. Provide reference of a minimum of three (3) other clients involving the proposer's delivery of services that demonstrated the ability of the proposer to provide operations, maintenance and monitoring services as outlined in this RFP. All references must have the name, title, phone number(s) and email address.
8. Meet other presentation and participation requirements listed in the RFP.
9. Submit a copy of their standard Custodial Banking Contract with their quote in order to be considered for selection. The standard Custodial Banking Contract shall be subject to negotiations and approval by County Attorney's Office and Risk Management.