Committee approves short extensions for Bank of America merchant and lockbox services during RFP transition

The Budget & Finance Committee heard a joint presentation on two amendments to agreements with Bank of America from Amanda Fried (Treasurer's Office) and Tejal Shah. The first seeks a third amendment to the merchant processing agreement to increase the not‑to‑exceed amount by $1,127,020 to $9,127,020 and extend the term through Aug. 14, 2024; the second requests a 90‑day extension for banking services (lockbox and related functions) and an $83,000 increase while the Treasurer’s Office completes a transition and a new RFP.

Dan Goncher of the Budget and Legislative Analyst’s Office summarized the BLA report and noted this would extend the aggregate term beyond the timeline stated in the original RFP, making approval a policy decision for the Board. Committee members pressed staff on how the city’s broader banking transition to JPMorgan Chase is being phased and on the need to avoid service interruption for HIPAA‑sensitive DPH payments that integrate with Epic.

Treasurer’s staff said most in‑person merchant transactions have already migrated to JPMorgan Chase but some specialized services (lockbox, certain supplier payments and Epic integrations) remain with Bank of America; the requested short extensions are intended to prevent disruption while new contracts are finalized.

There were no public speakers. The committee voted 3–0 to forward both resolutions with positive recommendation to the full Board.

Next steps: Treasurer’s Office to complete RFPs and return with contracts for Board approval; departments using Bank of America equipment and platforms will migrate according to the Treasurer’s transition plan.