PROVIDENCE, R.I. - General Treasurer Gina M. Raimondo today announced the results of Treasury's first comprehensive review of the state's day-to-day banking services in at least 15 years. The review resulted in an overall lowering of banking fees by 38 percent.
"These reviews are important to put banks on notice that we are serious about monitoring their performance," said Raimondo. "It remains my priority to continually assess the state's financial service contracts and vendors to make sure taxpayers are receiving the best price and service possible."
The review, which was conducted through a request for proposal process in December 2012, examined banking contracts based on three criteria:
- Competitive pricing
- Quality of overall banking services
- Commitment to Rhode Island
This process was part of Treasury's ongoing commitment to reviewing contracts. While all of the state's existing banking relationships were maintained to varying degrees, all agreed to service improvements, including fee reductions. The state's banks are Bank of America, BankRI, Citizens, Sovereign, Washington Trust and Webster.
Since 2009, the state has benefited from staff-driven innovative, cost-saving measures that have also resulted in $300,000 in annual savings in banking services. In addition, the state recently switched its pension custodial banking services for $300,000 in annual savings. Combined with today's announcement, the Treasury's total annual savings for banking services is $900,000.