2001-24672 Reso
RESOLUTION NO. 2001-~;672
A RESOLUTION OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA,
AUTHORIZING THE ADMINISTRATION TO ISSUE A
REQUEST FOR PROPOSALS FOR THE PROVISION OF
VARIOUS BANKING SERVICES TO THE CITY OF MIAMI
BEACH.
WHEREAS, on December 2, 1998, the Mayor and City Commission appointed the SunTrust
Bank for the City's banking services; and
WHEREAS, the SunTrust banking service agreement will expire on December 31,2001;
and
WHEREAS, the City is seeking a banking institution to provide banking services upon
expiration of the present service agreement with SunTrust Bank; and
WHEREAS, issuance of an RFP will allow the City to move forward with the selection of
a banking institution that will provide banking 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 authorize the Administration to issue a Request for Proposals for the provision
of various banking services to the City of Miami Beach.
PASSED and ADOPTED this 28th day of November, 2
MAYOR
ATTEST:
c.t;l~
CITY CLERK
N'f'fII:NEtJ AS 'TO
FORM &LANGUAGII
a FOR EXECUTION
, .1.1- JC?-O(
llL DIIII
CITY OF MIAMI BEACH
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
www.ci.miami-beach.fl.us
COMMISSION MEMORANDUM
From:
Mayor David Dermer and
Members of the City Commission
Jorge M. Gonzalez \ . k- /
City Manager rj~O
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, AUTHORIZING THE ADMINISTRATION TO
ISSUE A REQUEST FOR PROPOSALS FOR THE PROVISIONS OF
VARIOUS BANKING SERVICES TO THE CITY OF MIAMI BEACH.
Date: November 28,2001
To:
Subject:
ADMINISTRATIVE RECOMMENDATION
Approve the issuance of the RFP.
ANALYSIS
Every three years the City issues an RFP seeking competitive pricing for various banking
services involving the general operating and payroll accounts. These services consist of
a General Depository Account for funds collected daily; a General Disbursing Account
which is strictly a checking account; a Payroll Disbursing Account to cover bi-weekly
payroll; computerized services, including direct deposits, control pay, web pay, debit/credit
memos, ACH deposits, daily and monthly statements and stop payments; lockbox
processing; wire transfers; zero balance and sweep services and automatic redeposit of
items returned.
The cost of these services is paid from the interest earned on the City's overnight
investment balances held by the bank. Included as attachments are the scope of services,
the selection criteria and the proposal pricing form.
The issuance of an RFP will allow the City to move forward with the selection of a banking
institution that will provide various banking services for the ensuing three-year period with
two one year renewals if mutually agreed upon by both parties.
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AGENDA ITEM e.. 7 G-
DATE //-,),( -Of
SCOPE OF SERVICES FOR BANKING SERVICES
A. GENERAL
The banking services detailed in this section are to be performed for the City on a contractual basis for
three years with two one-year renewals. It is the intent of the City is to have one single bank provide the
service needs of the City on the general depository, general disbursing and payroll accounts.
B. GENERAL DEPOSITORY ACCOUNT
City funds collected daily will be deposited in this account the following business day. Checks deposited
will be available the day of deposit in the bank by the time of day the bank normally closes its transactions
for that day. This will also include Automated Clearing House (ACH) transactions generated by Miami-
Dade County, which must be considered available on date of receipt, even if received after normal closing
hours. All transactions must be identified.
C. GENERAL DISBURSING ACCOUNT
This account will be strictly a checking account. The bank will transfer the exact amount of funds each day
to this account to cover clearings. Approximately 1,500 checks will be issued monthly, amounting to
approximately $7,000,000. Disbursements will be made by check as well as wire transfer; each transaction
must be shown separately on the bank statement (no netting permitted).
D. PAYROLL DISBURSING ACCOUNT
The City's payrolI is currently bi-weekly, paying every other Friday some 1,800 employees; net pay
amounts to approximately $2,000,000 bi-weekly. The bank wilI transfer the exact amount required each
day to cover clearings.
E. COMPUTERIZED SERVICES
AII demand and time deposit accounts maintained must be computerized so that reconciliation can be
performed. Reconciliation service to produce an outstanding check list for each account with substantial
check activity must be available to the City by the 20th working day of the month following activity. All
paid checks must be returned in check number sequence on both accounts. In addition, the bank must
provide a separate computer listing of alI checks which have cleared by check (voucher) number and
amount with a total dolIar amount indicated on alI accounts not designated for automatic reconciliation
services.
The City needs the ability to use a form of Control Pay that will allows items that are transmitted to be
verified prior to being paid by the bank.
The ability to offer ACH on-line bill payment, utilizing credit cards, debit cards, and ACH transactions.
The City requires an On-line banking feature to be used to obtain and report on balances and transactions
on a daily basis. This feature must also allow for the initiation of wire transfers and stop payments.
F. SAME DAY PROCESSING
AII transactions received before the close of business must be posted on the same day (at no extra charge).
I
G. STATEMENT AND ADVICE FREQUENCY
All advises affecting a debit or credit memo type transaction must be produced daily and mailed to the City.
Statements on all bank accounts will be produced monthly on a calendar month basis and available to the
City no later than the 7th working day ofthe subsequent month.
H. AUTOMATIC REDEPOSIT OF DEPOSIT ITEMS RETURNED
All deposit items charged back on the City's general operating/depository account will be automatically re-
deposited the following day of the bank. If returned a second time, they will be forwarded on a daily basis
to the City.
I. DIRECT DEPOSIT/ACH - PAYROLL CHECKS
The proposer must have the ability to initiate direct deposit for payroll. It is estimated that 1300 of City's
1800 employees utilize direct deposit. Additionally, the ability to provide payroll cards for those employees
that are not on direct deposit.
J. COUNT AND DEPOSIT METER COLLECTIONS
The Parking Department via an armored car service will deliver 10-50 bags containing coins (in all
denominations) in the amount of$IO,OOO to $50,000 daily. Bank must have the ability to count, weigh and
deposit coins.
K. CREDIT CARD PROCESSING
The proposer must have the ability to accept credit card payments on the Internet. Credit card payment
must be processed within one business day.
L. LOCK BOX ACCOUNT PROCESSING
The City utilizes a lock box to receive payments for various types of City fees. The proposer must have the
ability to process transactions and report by type. The estimated volume is $2,500,000.00 per month.
M. AUTOMATED TELLER MACHINE (ATM)
The proposer must be willing to install a revenue sharing ATM at City Hall (at no cost to the City).
N. LOCAL DECISION MAKING AT BANKING OFFICES
The location of a banking office should be located on Miami Beach preferably located convenient to City
Hall. This banking office should have the ability to make decision and solve problems.
O. PERSONAL CONTACT
The proposer must assign personal contacts at the Senior Management level, Branch, Treasury
Management, Merchant Services and Technical Support areas.
P. PURCHA~NGCARDPRODUCT
Provide a Purchasing Card Product for ease of procurement purchases that can interface with the City's
financial system
2
Q. ADDITIONAL SERVICES (OPTIONAL)
No charge for non-client check cashing; offer employee benefits that include free checking account to City
employees for a minimum of two years, one year free safe deposit box, free first order of checks, retirement
assistance and section 529 college savings.
SELECTION CRITERIA:
1)
2)
3)
4)
Weil!ht
20%
25%
25%
30%
Catel!orv
State ofthe Art Technology - On-line Services
Charges for Services
Personal Contact Points - Customer Service
Overnight Repurchase Agreement Rate
3
BANKING SERVICES PROPOSAL pRICING FORM
ESTIMATED MONTHLY AND ANNUAL VOLUME. CITY OPERATING ACCOUNTS
ProDOSal Paae 1 of 1
PROSOSED ESTIMATES
ESTIMATED ESTIMATED CHARGE ANNUAL
MONTHL Y UNITS ANNUAL UNITS PER UNIT gm
LOCK BOX SERVICES:
Wholesale:
Processing WI Mail Delivery 1 12
Manual Items 200 2.400
Manual Rejected Items 200 2.400
Retail:
Account Maintenance 1 12
Items Exact Payments 5.417 65,000
Items Non Exact Payments 58 700
Multi Additional Items 625 7,500
Items Unprocessed 300 3,600
CASH VAULT SERVICES:
Cash Vault Deposits 333 4,000
Cash Vault Envelope Processing 1.417 17,000
Cash Vault Deposits Loose Bills 52,917 635.000
Cash Vault Coin Deposits Full Bags 617 9,800
RETURNED CHECK SERVICES
Returned Items- Special Address 20 240
Returned Items- Represented 58 700
Retruned Items 46 550
CONTROLLED PAYMENT SERVICES
Contol Payment - Maintenance 1 12
Control Payment - Checks Paid 1,08~ 13,000
Control Payment - Mismatches 4 50
DEMAND DEPOSITS SERVICES
Deposits Credited 46 550
Deposited Items Rejected 50 600
Items Paid 1.500 18.000
ACH Items Received-Debits 13 150
ACH Items Received-Credits 167 2,000
On Us Items 1,333 16,000
Clearinghouse Items 2.333 28,000
Local Fed/ln State Fed Items 2,167 26,000
Out Of State Items 1,025 12,300
On Us Items - Pre-Encoded 542 6,500
Clearinghouse Items - Pre- Encoded 3,167 36,000
Local Fed/ln State Fed Items-Pre-Encod81 2,708 32,500
Out Of State Items-Pre-Encoded 417 5,000
Stop Payments-Electronic 17 200
Stop Payments-Manual 1 12
wtRE TRANSFER:
Wire Transfers-Out Repetitive 30 360
Wire Transfers-Non Repetitive 1 12
ACH SERVICES
ACH FaxlPage 27 320
ACH Credits Originated 3,000 36,000
ACCOUNT RECONCILIATION PACKAGE IARP' SERVICES
Reconciliation Base Rate-Full 1 12
Reconciliation Check Sort Items 1,467 17,600
Reconciliation Items-Full 1.467 17,600
Reconciliation Items-Partial 1,083 13,000
TOTAL PROPOSED SERVICE CHARGES