Resolution 2022-31974RESOLUTION NO. 2022-31974
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE
CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE
RECOMMENDATION OF THE CITY MANAGER TO REJECT ALL
PROPOSALS RECEIVED PURSUANT TO REQUEST FOR
QUALIFICATIONS (RFQ) NO. 2021:030 -KB FOR CREDIT CARD
PROCESSING, ELECTRONIC CHECKS AND GATEWAY SERVICES.
WHEREAS, on February 10, 2021, the City Commission directed the Administration to issue
a competitive solicitation requesting proposals from firms for credit card merchant processing,
electronic checks, and gateway services; and
WHEREAS, on February 11, 2021, the RFQ was issued and responses were due on May
10, 2021; and
WHEREAS, the RFQ resulted in the receipt of responses from 12 firms: AdComp Systems
Group, AMG Payment Solutions, Card Payment Services, Inc., CSG Forte Payments, Inc., Fidelity
National Information Services (FIS), Gulf Management Systems, Inc., J.P. Morgan, Municipal
Services Bureau (MSB), Precision, Payments, Inc., SunTrust Merchant Services, Tyler
Technologies, Inc., and Wells Fargo Merchant Services.; and
WHEREAS, on June 25, 2021, the Evaluation Committee appointed by the City
Manager convened to consider the proposals received; and
WHEREAS, the Committee was comprised of Monica Beltran, Interim Director, Parking
Department; Natasha Diaz, Deputy Director, Building Department; Jose Del Risco, Assistant
Director, Parks and Recreation Department; Evelyn Giles, Revenue Manager, Finance Department;
Ozzy Macias, Senior Manager, Enterprise Systems, Information Technology; and
WHEREAS, the Committee was provided an overview of the project, information relative
to the City's Cone of Silence Ordinance and the Government Sunshine Law; and
WHEREAS, the Committee was also provided with general information on the scope of
services, and a copy of each proposal and was further instructed to score and rank each
proposal pursuant to the evaluation criteria established in the RFQ; and
WHEREAS, the evaluation process resulted in the proposers being ranked by the
Evaluation Committee in the following order:
1 st — CSG Forte Payments, Inc. (tie)
1 st — SunTrust Merchant Services (tie)
1 st — Wells Fargo Merchant Services (tie)
4th — PMA Management Corp.
5th — Tyler Technologies, Inc.
6th — Fidelity National Information Services (FIS)
7th — J.P. Morgan
8th — Gulf Management Systems, Inc.
9th — Precision Payments, Inc.
10th — AdComp Systems Group (tie)
10th — AMG Payment Solutions (tie)
12th — CardPayment Services, Inc.
WHEREAS, based on the robust number of responses received, including some that deviate
from the City's current practices, the Administration believes that it is prudent to assess and fully vet
all the options available to the City for the required services before proceeding with an award of a
contract; and
WHEREAS, proceeding with an award without fully understanding and analyzing all the
options available is not in the City's best interest at this time as the City may not be implementing
the best options; and
WHEREAS, after consulting with City staff members, the Administration recommends a
careful analysis of the gateway and merchant services industry best practices before proceeding
with replacing current processes; and
WHEREAS, therefore the Administration recommends rejecting the proposals received
pursuant to RFQ 2021 -030 -KB for credit card and electronic checks processing and gateway
services.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the
City Manager's recommendation to reject the proposals received pursuant to RFQ 2021 -030 -KB for
credit card and electronic checks processing and gateway services.
PASSED and ADOPTED this �o day of Jm"to" / 2022
ATTEST:
If.L01
Rafael E. Granado, City Clerk c ;
.J AN 2 5 2022
Gelber, Mayor
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
(*-�� ( - I '?-- zz-
City Attorney q Date
C7 -Resolutions H
MIAMIBEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the. City Commission
FROM: Alina T. Hudak, City Manager
DATE: January 20, 2022
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF
THE CITY MANAGER TO REJECT ALL PROPOSALS RECEIVED
PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ) NO. 2021 -030 -KB
FOR CREDIT CARD PROCESSING, ELECTRONIC CHECKS AND
GATEWAY SERVICES.
RECOMMENDATION
It is recommended that the Mayor and City Commission accept the City Manager's
recommendation to reject the proposals received pursuant to Request for Qualifications (RFQ)
2021 -030 -KB for credit card processing, electronic checks, and gateway services.
BACKGROUND/HISTORY
The City provides its customers with the ability to make electronic payments through credit
cards and electronic checks. The City uses a gateway process to ensure that credit card and
electronic check transactions are secure. The gateways provide security features such as
encryption to keep credit card and check information safe and prevent fraudulent access to the
information being transmitted.
The City currently utilizes First Data and Authorize.Net to provide gateway services for its online
payment offerings for both payments to the City and from the City to certain service providers.
In addition, there are other gateway service providers embedded in propriety software utilized
by the City for utility bills (OpenEdge, PayPal), parking payments (Windcave, T2, ParkMobile),
parks and recreation fees (CardConnect, Cayan).
In order to standardize terms, contract expiration dates, and minimize processing fees, the
Administration developed Request for Qualifications (RFQ) NO. 2021 -030 -KB to seek
proposals from credit card gateway providers. On February 10, 2021, the City Commission
approved the issuance of the RFQ.
ANALYSIS
On February 11, 2021, the RFQ was issued. Approximately 3,500 firms were notified and 113
accessed the solicitation. Four (4) addenda were issued. RFQ responses were due on May
10, 2021. The City received proposals from the following 12 firms: AdComp Systems Group,
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AMG Payment Solutions, CardPayment Services, Inc., CSG Forte Payments, Inc., Fidelity
National Information Services (FIS), Gulf Management Systems, Inc., J.P. Morgan, Municipal
Services Bureau (MSB), Precision Payments, Inc., SunTrust Merchant Services, Tyler
Technologies, Inc., and Wells Fargo Merchant Services.
On June 25, 2021, the Evaluation Committee appointed by City Manager convened to consider
proposals received. The Committee was comprised of Monica Beltran, Interim Director,
Parking Department; Natasha Diaz, Deputy Director, Building Department; Jose Del Risco,
Assistant Director, Parks and Recreation Department; Evelyn Giles, Revenue Manager,
Finance Department; Ozzy Macias, Senior Manager, Enterprise Systems, Information
Technology. The Committee was provided an overview of the project, information relative to the
City's Cone of Silence Ordinance and the Goverment Sunshine Law. The'Committee was also
provided with general information on the scope of services and a copy of each proposal. The
Committee was instructed to score and rank each proposal pursuant to the evaluation criteria
established in the RFP. The evaluation process resulted in proposers being ranked by the
Evaluation Committee in the following order (See Attachment A):
1 st— CSG Forte Payments, Inc. (tie)
1 st — SunTrust Merchant Services (tie)
1 st — Wells Fargo Merchant Services (tie)
4th — PMA Management Corp.
5th — Tyler Technologies, Inc.
6th — Fidelity National Information Services (FI S)
7th —'J.P. Morgan
8th— Gulf Management Systems, Inc.
9th — Precision Payments, Inc.
10th — AdComp Systems Group (tie)
10th — AMG Payment Solutions (tie)
12th — CardPayment Services, Inc.
SUPPORTING SURVEY DATA
Not applicable.
FINANCIAL INFORMATION
Not applicable.
CONCLUSION
The City requested proposals based on the gateway and merchant services it is currently
utilizing. The City received 12 proposals from a wide range of service providers, including
technology firms, gateway service providers and banking institutions, with various approaches to
the required services. Based on the robust number of responses received, including some that
deviate from the City's current practices, the Administration believes that it is prudent to assess
and fully vet all the options available to the City for the required services before proceeding with
an award of a contract. Proceeding with an award without fully understanding and analyzing all
the options available is not in the City's best interest at this time as the City may not be
implementing the best options. The City's ability to negotiate the best fees is also limited without
fully understanding the available options.
Page 243 of 1313
Based on staff's concerns, it is recommended that a careful analysis of the gateway. and
merchant services industry best practices be considered before proceeding with replacing
current processes. Doing so is important to understand the impact to the City and its customers,
and the costs of the available options. However, the current cone of silence law applicable to the
RFQ limits staff's ability to further explore all possible opportunities that may be available.
Accordingly, I concur with the staff's recommendation that, at this time, proposals received be
rejected to allow for more careful consideration of the best options available to the City.
Following the recommended analysis of industry best practices, options for contracting with a
top -tier service provider can be considered and may include a future solicitation with revised
specifications.
Therefore, I recommended that the Mayor and City Commission approve the Resolution
accepting the City Manager's recommendation to reject the proposals received pursuant to
RFQ 2021 -030 -KB for credit card and electronic checks processing and gateway services.
Applicable Area
Not Applicable
Is this a "Residents Right
to Know" item. pursuant to
City Code Section 2-14?
No
Legislative Tracking
Finance/Procurement
ATTACHMENTS:
Description
❑ Attachment A
Does this item utilize G.O.
Bond Funds?
IM
Page 244 of 1313
Evaludon ComMttn Reldwto Roquaat
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Totals
a
AdCamp Systems Group
86
0
86
7
65
0
65
10
35
0
35
12
50
0
50
8
55
0
55
8
47
10
AMG Payment Solutions
77
0
77
9
75
0
75
8
45
0
45
10
_
30
0
30
12
60
0
60
8
47
10
CardPa menl Services Inc
_
65
_
0
_
65
12
45
0
45
12
40
_ _ _
0
40
11
50
0
_
50
9
35
0
35
12 °.
55
12
CSG Forte Payments, Inc.
90
0
80
4
90
0
8o
2
B5
0
85
3
90
0
90
3 1
84
0
84
3 =
15
1
Fidelity National Information Services FIS
93
0
93
3
_
BO
0
80
4
65
0
65
7
90
0
90
3
80
0
80
6
23
6
Gulf Management Systems. Inc,
79
0
78
8
80
0
80
4
50
—0
_ 50
9
60
0
60
7
55
0
55
9"51
J.P. Mor an
87
_
0
87
6
80
0
80
4
75
0
75
5
50
0
50
9
82
0
82
- 5
Munid al Services Bureau MSB
88
0
88
5
100
0
100
1
70
0
70
6
60
0
60
7
88
0
88
1
Precision Pa encs Inc
67
0
67
11
60
0M70
60
0
60
B
90
0
90
3
40
0
40
11
SunTrust Merchant Services
97
_
0
97
2
80
080
0
_
90
2
100
0
100
1
80
0
80
6
Tyler Technolo ies Inc.
89
0
69
10
_
90
080
X.1
0
80
4
90
0
_ _
90
3
_
85
0
85
2
Wells Far o Merchant Services
98
0
98
1
70
0100
0
1o0
1
100
0
100
1
84
0
84
3
FOR DISPLAY PURPOSES ONLY. FINAL RANKING DOES NOT CONSTITUTE AN AWARD RECOMMENDATION. 771
Page 245 of 1313