Richland County Commissioners Award New Public Bank Agreements

Richland County has broadened its financial partnerships by designating four banks to manage public funds.

 

During a recent meeting, the Richland County Board of Commissioners approved depository agreements with Civista Bank, Mechanics Bank, Park National Bank, and Huntington Bank.

 

These institutions were the sole applicants by the October 10 deadline, as noted by Bart Hamilton, the county treasurer.

 

In August, the commissioners introduced a comprehensive 15-page application process for financial institutions seeking to serve as depositories.

 

Applications were distributed to all eligible banks with a presence in Richland County.

 

According to Stacey Crall, senior clerk for the commissioners, one bank declined the invitation, while others did not respond.

 

State law defines a public depository as an institution that receives or holds public deposits.

 

The county treasurer recommends suitable institutions, and the commissioners have the authority to make the final decision, as they did in this instance.

 

Civista Bank, Mechanics Bank, and Park National Bank have previously served as depositories for the county.

 

The treasurer's recommendations included specific caps on the funds each bank may hold:

 

Park National Bank: Not to exceed $250 million.

 

Huntington Bank: Not to exceed $250 million.

 

Civista Bank: Not to exceed $20 million.

 

Mechanics Bank: Not to exceed $15 million.

 

In a letter accompanying the application, Hamilton estimated that active funds available at any given time during the upcoming four-year period would not exceed $250 million.

 

These caps reflect the banks' preferences as indicated in their applications.

 

Andy McGinty, chief deputy of the Richland County Treasurer’s Office, stated that each bank specified their desired maximum holdings in their submissions.

 

According to the Ohio Revised Code Section 135.33, commissioners are required to meet every four years to designate public depositories for the subsequent four-year period.

 

This process ensures a competitive application procedure, akin to the competitive bidding process used when commissioners allocate public funds.

 

By expanding its network of depositories, Richland County aims to enhance the management and security of public funds, ensuring efficient and transparent financial operations for the community.