USM RFP 27-16 Banking Services

REQUEST FOR PROPOSAL (RFP) 27-16
BANKING SERVICES
THE UNIVERSITY OF SOUTHERN MISSISSIPPI
September 18, 2026
Opening Date and Time:
October 8, 2026
2:00 PM CDT

TABLE OF CONTENTS
PART I - INFORMATION FOR VENDORS
1. 1. Introduction................................................................................................... 1
1. 2. Required Services......................................................................................... 1
1. 3. Vendor Responsibility.................................................................................... 4
1. 4. Contract Information....................................................................................... 4
1. 5. Term of Contract............................................................................................ 5
1. 6. Volume Estimates........................................................................................... 5
1. 7. Termination of Agreement............................................................................. 5
1. 8. Oral and/or Written Presentations.................................................................. 5
1. 9. Reservation.................................................................................................... 6
1. 10. Anticipated Schedule of Events..................................................................... 6
PART II - PROPOSAL REQUIREMENTS
2. 1. Introduction..................................................................................................... 7
2. 2. Services Agreement......................................................................................... 7
2. 3. Interested Parties............................................................................................. 7
2. 4. Service Philosophy.......................................................................................... 7
2. 5. Transition Assistance...................................................................................... 9
2. 6. Terms and Conditions..................................................................................... 9
2. 7. Investment Return.......................................................................................... 9
2. 8. Cost of Services............................................................................................. 9
PART III - PROPOSAL PROCEDURES
3. 1. Proposal Format.............................................................................................. 10
3. 2. Proposal Submission....................................................................................... 10
3. 3. Proposal Opening............................................................................................ 11
3. 4. Addenda and Interpretations........................................................................... 11
3. 5. Proprietary Information................................................................................... 12
3. 6. Caution to Vendors......................................................................................... 12
PART IV - EVALUATION AND SELECTION PROCESS
4. 1. Proposal Evaluation....................................................................................... 13
4. 2. Evaluation Criteria......................................................................................... 13

APPENDIX A - DESCRIPTION OF PRESENT OPERATIONS
A. 1. Background.................................................................................................... 15
A. 2. Operation........................................................................................................ 15
A. 3. Interest............................................................................................................ 15
A. 4. Reporting........................................................................................................ 15
A. 5. Key Vendor Relationship................................................................................ 16
A. 6. Other.................................................................................... 16
Exhibit 1 - Present Bank Account Structure......................................................... 17
Exhibit 2a - Analysis of Electronic Deposit Account Activity............................... 18
Exhibit 2b - Analysis of Remote Deposit Account Activity................................. 19
Exhibit 2c - Analysis Disbursement Account Activity........................................... 20
APPENDIX B - PAYROLL DIRECT DEPOSIT (ACH) PROCESSING
B. 1. Background.................................................................................................... 21
B. 2. Processing Procedures.................................................................................... 21
B. 3. Costs............................................................................................................... 21
APPENDIX C - REQUIRED FORMS AND DOCUMENTATION
Exhibits - Bank Services Price Schedules............................................................ 22
APPENDIX D - OTHER INFORMATION FOR VENDORS
Exhibit 1 - Bank Reconciliation File Layout........................................... 30
Exhibit 2 - Positive Pay File Layout..................................................... 32

1 PART I - INFORMATION FOR VENDORS
1.1 INTRODUCTION - It is the intent of The University of Southern Mississippi (USM) to
issue a contract to one bank service provider for the products outlined in PART I,
Paragraph 1.2 - REQUIRED SERVICES. In seeking these services, USM's goals are to
receive, at a reasonable cost, accurate depository and account maintenance
services, enhanced collections and funds availability, effective use of disbursement
float, maximization of investment income and prudent banking advice.
1.2 REQUIRED SERVICES - Vendors must agree to provide the following services. USM
recognizes that technological advancement may provide options for operational
enhancements.
A. Accounts - A series of interest-bearing demand deposit accounts as required by
USM. The number of accounts and specific configuration to be flexible and
determined over the contract life and based on actual and anticipated USM
business requirements. At the initial contract date (01/01/2027) the envisioned
account structure would be similar to that described in Appendix A -
DESCRIPTION OF PRESENT OPERATIONS.
B. Statements - Monthly statements for each active account as of the last day of each
month. Deposit numbers must be provided for all account credits and listed by
ascending dollar value by date. A listing of checks and wires cleared in numeric
order must be provided along with an electronic file transmission to be used for
USM reconciliation (Appendix D Exhibit 1). The physical cleared checks, or a
legally and USM acceptable alternative (imaging) must be sorted in numeric
order and returned.
C. Daily Electronic Deposit Notification - Daily automatic notification through the
Fed EDI program via the Federal Reserve of all funds deposited by ACH, including
complete addenda records. Email notification of all funds received by wire
transfer. This information must be supplied within 24 hours of receipt of funds.
D. Local Depository - Vendor must have a full service, staffed branch within 10
miles of the USM campuses in Hattiesburg, Long Beach, and Ocean Springs
capable of providing USM coin, check or deposit needs or demonstrate
equivalent service capabilities acceptable to USM.
E. Online Banking System - A dynamic online system is required by the University
to expedite and simplify banking functions. The online banking system should
include, at a minimum, the following:
* Internal Account Transfers
* Direct Deposit (ACH)
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* Positive Pay or similar fraud prevention
* Wire Transfers
* Account balance and activity inquiry with downloadable data
* Online statements including check images and downloadable data
* Stop payments
F. Wire Transfers (International and Domestic) - Secure system for wire transfer of
funds by authorized USM personnel to include ability to transfer funds in foreign
currency. Bank should preferably have its own SWIFT code. Vendor should
provide a unique identifier for each wire transaction to facilitate accurate and
efficient reconciliation. USM requires a downloadable file of wire payments each
month to aid in reconciliation of the General and Payroll Accounts. This file
should be compatible with the layout specified by USM (see Appendix D Exhibit
1)
G. Positive Pay - The vendor must be able to receive and process USM's Positive
Pay files for both Accounts Payable and Payroll. They should also confirm their
system can accommodate USM's required file layout (Appendix D Exhibit 2)
H. Return Items - Any returned items to be debited to the account of original
deposit. Items and appropriate debit slips to be scanned and emailed to
appropriate USM personnel. Electronic notification of returns of large items
($2,500.00 or more) must be presented to USM within 24 hours of the contract
bank's receipt of the intent to return item.
I. Reconciliation - USM requires a downloadable file of cleared checks each month
for aid in reconciliation of the General and Payroll Accounts. This file should be
compatible with the layout specified by USM (see Appendix D Exhibit1)
J. Account Analysis - An account analysis statement for each active account and a
consolidated analysis detailing the entire banking relationship with USM at
month end, preferably retrievable online.
K. Direct Deposit (ACH) Processing - Software or secure Internet site for
transmission of computer file to process direct deposit of payroll disbursements,
accounts payable disbursements, student refunds (not currently used, but want
the ability to add in the future if needed), and travel disbursements. Immediate
notification of returned ACH items via Fed EDI email notification system. USM
ACH files are provided in NACHA format. If there are any file specific
requirements or unique formatting elements, the bank will need to adjust it's
mapping as necessary to accept and process USM's NACHA files.
L. USM has entered into a contract with Transact Payments to accept online credit
card and ACH payments on student accounts. USM would like the ability to
accept ACH transactions for payment of student accounts in the future, if needed.
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M. Remote Deposit Capture - Ability to make deposits to designated USM accounts
by scanning checks on desktop equipment located in various USM offices.
N. Fraud Prevention and Cybersecurity - Vendor shall provide fraud prevention and
cybersecurity measures to protect accounts, transactions, banking systems and
confidential information. Services shall include monitoring, notification of
suspicious activity, and controls designed to mitigate fraud, unauthorized access,
and cyber threats.
O. Business Continuity and Disaster Recovery - Vendor shall maintain documented
Business Continuity and Disaster Recovery plans to ensure the timely recovery of
critical banking services and the continued protection of customer funds and
data during disruptions.
P. Other - In addition to the above specific services the vendor must agree to
provide the following miscellaneous services on an "as needed" basis.
* Night Depository access and locked night depository bags.
* Rolled Coins
* Coin and Money wrappers
* Deposit Slips in Book Form (to USM specifications)
* Bank Checks
* International Check Collection
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1.3 VENDOR RESPONSIBILITY - Vendor must agree to the following stipulations
A. The vendor shall be financially responsible for obtaining all permits, licenses and
bonding requirements to comply with all applicable city, county, state and/or
federal laws and regulations and assumes liability of all applicable taxes.
The vendor agrees to observe and comply with federal and state laws, local laws,
ordinances, orders, and regulations existing at the time of or enacted subsequent to
the execution of the contract which in any manner may affect the completion of the
work. The vendor shall indemnify and save harmless The University of Southern
Mississippi and all its officers, representatives, agents and employees against any
claim or liability arising from or based upon the violation of any such law, ordinance,
regulation, order, or decrees by an employee, representative or subcontractor of the
vendor.
C. The vendor must be designated by the Mississippi State Treasurer as a Qualified
State Depository and remain in good standing throughout the contract term,
including compliance with all collateralization reporting, and public funds protection
requirements of Mississippi law. The vendor shall provide documentation of its
collateral pledging, safekeeping, and reporting processes upon request.
D. The vendor agrees to permit USM designated representatives and auditors access to
all records pertinent to USM's relationship and transactions on an as needed basis
and at mutually acceptable times.
E. The vendor agrees to provide a team of customer support for USM to resolve any
problems reported as soon as possible. It further agrees to provide a representative
to attend a meeting on-site at USM for problems in which vendor action does not
commence within five (5) business days of reporting by USM, or if vendor progress is
not satisfactory to USM.
F. Vendor agrees that it will not subcontract any of the services covered by the contract
without prior written permission from The University of Southern Mississippi.
Vendor agrees to disclose in their proposal any services to be subcontracted at contract
initiation.
1.4 CONTRACT INFORMATION - This RFP, any amendments to it, the vendor's proposal
and any other official documents and correspondence will become part of the contract.
Vendors will be asked to submit a sample of their proposed terms and conditions with
their proposal. Vendors should take note of the following regarding the State's
contracting authority and amend any documents accordingly.
A. The State of Mississippi may not contract with another party where it is required:
1. To pay any penalties or charges for late payment or any penalties or
charges which in fact are penalties for any reason.
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2. To indemnify, defend, or hold harmless the party for any liability and
damages.
3. Upon default, to pay all sums to become due under the contract.
4. To pay damages, legal expenses, or other costs and expenses to any party,
unless so ordered by a court of competent jurisdiction.
5. To agree to any provision of a contract which violates the laws and
Constitution of the State of Mississippi.
B. A party wishing to contract with The University of Southern Mississippi must:
1. Remove any language from its contract which grants to it any remedies
other than:
a. The right to possession.
b. The right to accrued payment.
2. Include in its contract that the laws of the State of Mississippi shall
govern the contract.
3. Acknowledge in its contract that contracts become effective when
awarded by
The University of Southern Mississippi.
1.5 TERM OF CONTRACT - This agreement shall be for a period of five (5) years beginning
on January 1, 2027 and ending on December 31, 2031.
1.6 VOLUME ESTIMATES - The volume of transactions listed in the appendices of this RFP
represent either historical data or are estimates. They in no way represent either a
minimum or maximum volume commitment on the part of The University of Southern
Mississippi.
1.7 TERMINATION OF AGREEMENT - Either party may terminate the agreement at any
time without cause by giving the other party not less than one hundred eighty (180)
days prior written notice of its intent to terminate.
1.8 ORAL AND/OR WRITTEN PRESENTATIONS/DEMONSTRATIONS - In the event USM
deems it necessary to have the bidder further explain or demonstrate various portions
of a proposal, the vendor shall make oral and/or written presentations to comply with
the requirement. USM will schedule the time and location of each presentation. All
presentations are subject to being recorded.
Presentations may, at the discretion of USM, include visits to the physical locations
where requested services will be provided.
A Vendor's refusal to honor the request for oral presentation may result in rejection of
the proposal.
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1.9 RESERVATION - This RFP does not commit USM to award a contract, to pay costs
incurred in the preparation of a proposal in response to this request, or to procure or
contract for services or supplies. USM reserves the right to accept or reject all or any
part of any proposal received as a result of the RFP, if it is in the best interest of USM
to do so.
1.10 ANTICIPATED SCHEDULE OF EVENTS - The following represents a tentative list of
important dates concerning this RFP. Deviations from this schedule will be
disseminated to potential vendors as described in PART III, Paragraph 3.4 - ADDENDA
AND INTERPRETATIONS.
Release RFP September 18, 2026
Deadline for Submitting Questions September 28, 2026
Response to written questions (Addendum, if needed) October 1, 2026
Proposal Submission Deadline October 8, 2026
Contract(s) Award Decision (approx.) October 15, 2026
Contract Negotiations Finalized October 29,2026
New Contract(s) Activation January 1, 2027
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2 PART II - PROPOSAL REQUIREMENTS
2.1 INTRODUCTION - Vendors must provide the following information and completion on
or before the stated closure date. Failure to comply with this stipulation may result in
the rejection of the submitted proposal.
2.2 SERVICES AGREEMENT - Vendor must provide a brief narrative stating its agreement
to provide, at a minimum, the services detailed in PART I, Paragraph 1.2 - REQUIRED
SERVICES and to meet the terms stipulated in PART I, Paragraph 1.3 - VENDOR
RESPONSIBILITY.
2.3 INTERESTED PARTIES - Vendor must provide, for its Hattiesburg location and its
parent corporation, a list of senior executive officers, any significant shareholders
(over 10%), and the Board of Directors of the firms. Include a statement describing
any significant current relationships between these persons and The University of
Southern Mississippi. In this context a significant current relationship would be
defined as one through which a disinterested party may feel that the involved
individual could directly or indirectly influence the RFP selection process.
2.4 SERVICE PHILOSOPHY - USM considers it essential that the selected vendor be
progressive in their business approach and committed to quality and customer service.
To provide USM insight into the corporate mission of its organization, the vendor must
provide the following:
A. Corporate Structure and Credentials
1. Number of years of experience
2. Organizational chart
3. Provide a summary of the vendor's financial condition, including capital
ratios, liquidity position credit ratings (if applicable), and recent regulatory
examination results. Describe any material regulatory actions, consent
orders, or significant operational events during the past five years.
4. Provide three public higher education or governmental clients comparable
in size and complexity to the University, two customers who have achieved
a successful transition to your institution within the past two years and
contact information for each. USM reserves the right to specifically discuss
service quality, responsiveness, implementation, and issue resolution.
5. Describe the dedicated service team that will support USM throughout the
contract term. Identify the primary Relationship Manager, Treasury
Management Officer, Operations Support Contact, and backup personnel.
Include years of experience the approximate number of institutional
relationships each individual supports, their physical location, and the
process for escalation of urgent operational issues.
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