Powell City Council will use Key Bank as its primary depository after having used Fifth Third Bank for the past five years.
The decision was made Tuesday in accordance with the Ohio Revised Code, which requires the city to designate its active, interim and inactive funds to public depositories.
City manager Steve Lutz said Powell accepts applications from such depositories every five years. He added that it is not unusual that the city switch bank services; before Powell’s five years with Fifth Third Bank, the city used Delaware County Bank.
Powell’s arrangement with Key Bank would begin Oct. 1, 2011 and end September 30, 2014.
The financial institutions that responded to the city’s questionnaires included Fifth Third Bank, First Citizens National Bank, Huntington National Bank, JP Morgan/Chase, Merrill Lynch, PNC, U.S. Bank, and Key Bank.
“We reviewed eight proposals and Key Bank had the strongest proposal for the upcoming years,” said Lutz.
The other seven banks as well as the State Treasury Asset Reserve of Ohio (STAROhio) were selected as the secondary depositories for Powell’s interim and inactive funds.
The council unanimously voted in favor of the recommendation; Sara Marie Brenner and Richard Cline were absent.
Powell Financial Director Debra Miller was not immediately available for comment regarding Key Bank’s specific proposal.In other business Monday:
• Council agreed to spend $844 dollars from its contingency account to replace the dying holiday tree on The Village Green. The new tree, likely to be a Colorado spruce purchased as part of the tree bid program, is expected to be ready for this year’s tree-lighting ceremony.
• Mayor Art Schulz proclaimed June 6, 2011 as Kiwanis Club of Powell Day in recognition of the service group.