Public Sector Banking
Secure treasury, payment, fraud prevention, and public funds solutions for municipalities and public-sector organizations. Work with local bankers and specialists serving communities across Indiana and southwest Michigan.
We work with cities, towns, counties, townships, school districts, school corporations, public libraries, fire and emergency service districts, public utilities, parks departments, housing authorities, and special districts.
Your 1st Source team lives and works in the towns and counties we serve: you’ve probably seen us at Chamber meetings, Rotary events, school functions, and community gatherings. We have a personal stake in helping local public-sector organizations succeed because we live there too.
Support for the every day
Support property tax, utility, permit, licensing, and fee collection with merchant services, lockbox options, Remote Deposit, and digital tools.
Use FedNow®, RTP®, Same Day ACH, Next Day ACH, and wires to support payment needs, vendor activity, and debt service workflows.
Strengthen controls with ACH filters, Positive Pay, account alerts, user permissions, approvals, audit trails, and real-time fraud monitoring.
Cover fees and earn Interest
Earnings from eligible Public Funds account balances help cover service fees, including Treasury Services.
After eligible fees are covered, the remaining earnings are paid back into the account as interest.
This lets you keep balances in one place instead of moving funds between operating and interest-bearing accounts.
Visibility, control, & efficiency
Reconciliation can be time-consuming for your team. Reduce manual work with online banking tools, approvals, audit trails, and API connections to NetSuite, Sage, QuickBooks, and others.
Manage operating funds, restricted-use funds, grant funds, bond proceeds, and capital project accounts with support for liquidity needs, safekeeping, and collateralization of public funds.
Our online banking platform monitors session activity as it happens. It reviews factors such as user behavior, login location, and requested actions to help identify activity that may be outside the usual pattern.
When the platform detects unusual activity, it can automatically end the session and reverse changes made during that session. This gives municipalities and public-sector organizations another layer of monitoring and control when managing public funds.
Services that support public-sector workflows.
Support daily deposits, disbursements, account structures, and public funds activity with accounts built around your organization’s needs.
Use online banking, user controls, approvals, and account tools to help your team manage access, oversight, and daily activity.
Deposit checks from your office and support more efficient payment handling for tax, utility, permit, and other receivables.
Spending, projects, and equipment
Support purchasing and expense tracking with employee cards, consolidated statements, spending controls, reporting, and available card features.
Financing for infrastructure, vehicles, equipment, facilities, capital projects, and other approved municipal or public-sector needs.
Plan for essential equipment and project needs with leasing options that may help align payments with budget cycles and operations.
Our solutions are tailored to your entity’s exact needs. Not sure where to start? We often support property tax collection, utility billing, permit and licensing payments, capital project accounts, construction accounts, bond proceeds, debt service accounts, grants, and restricted-use fund management.
