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Resolution 2018-30481 • • RESOLUTION NO. 2018-30481 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE • CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO •• REQUEST FOR QUALIFICATIONS (RFQ) NO. 2018-005-JC, FOR MERCHANT INDUSTRY CONSULTING SERVICES; AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH PROTIVITI, INC., THE FIRST RANKED PROPOSER; FURTHER, SHOULD NEGOTIATIONS WITH PROTIVITI, INC. NOT BE SUCCESSFUL, AUTHORIZE THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH CARD ASSOCIATION PAYMENT EXPERTS, LLC, THE SECOND RANKED PROPOSER; AND FURTHER AUTHORIZE THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION. WHEREAS, on May 16, 2018, the Mayor and City Commission approved the issuance of Request for Qualifications (RFQ) No. 2018-005-JC, for Merchant Industry Consulting Services; and WHEREAS, the RFP was Issued on May 16, 2018, with an opening date of July 10, 2018; and • WHEREAS, a non-mandatory pre-proposal meeting was held on May 30, 2018; and WHEREAS, on July 26, 2018, the City Manager, via Letter to Commission (LTC) No. 416-2018, appointed an Evaluation Committee (the"Committee"); and WHEREAS, on July 10, 2018, the City received a total of three (3) proposals, three of which were deemed to be responsive proposals; and WHEREAS, the Committee convened on August 9, 2018 to review and score the responsive proposals received; 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, general information on the scope of services, and a copy of each proposal; and WHEREAS, the Committee was instructed to score and rank each proposal pursuant to the evaluation criteria established in the RFQ; and WHEREAS, the Committee's ranking was as follows: Protiviti, Inc., as the first ranked proposer, Card Association Payment Experts, LLC, as the second ranked proposer, and 1ST Secure IT, LLC, as the third ranked proposer; and WHEREAS, after reviewing all the submissions and the results of the evaluation process, the City Manager recommends that the Mayor and City Commission authorize the Administration to enter into negotiations authorize the Administration to enter into negotiations with Protivili, Inc., the first ranked proposer, and if negotiations with Protiviti, Inc. are not successful, to authorize the Administration to enter into negotiations with Card Association Payment Experts, LLC, the second ranked proposer. 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 of the City of Miami Beach, Florida hereby accept the recommendation of the of the City Manager, pursuant to Request for Qualifications (RFQ) No. 2018-005-JC, for Merchant Industry Consulting Services; authorize the Administration to enter into negotiations with Protiviti, Inc., the first ranked proposer; further, should negotiations with Protiviti, Inc. not be successful, authorize the Administration to enter into negotiations with Card Association Payment Experts, LLC, the second ranked proposer; and further authorize the Mayor and City Clerk to execute an agreement upon conclusion of successful negotiations by the Administration. PASSED AND ADOPTED this /oZ day of c'pn'm6Pr2018. ATTEST: Dan Gelber, Mayor 73//9 Ily Rafael E. Granado, City Clerk \a.B&-- N\ APPROVED AS TO FORM &LANGUAGE `......... . . O 4. &FOR EXECUTION •a•, * 9\0'1, 101A IS * i)NCORP ORATED; I City Attorney RND Date • RCH 2E) Resolutions- C7 Al MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: September 12, 2018 SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ) NO. 2018- 005-JC, FOR MERCHANT INDUSTRY CONSULTING SERVICES; AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH PROTIVITI, INC., THE FIRST RANKED PROPOSER; FURTHER, SHOULD NEGOTIATIONS WITH PROTIVITI, INC. NOT BE SUCCESSFUL, AUTHORIZE THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH CARD ASSOCIATION PAYMENT EXPERTS, LLC, THE SECOND RANKED PROPOSER; AND FURTHER AUTHORIZE THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION. RECOMMENDATION Approve the Resolution. ANALYSIS The City currently utilizes merchant services providers in processing City revenues including cashiering (both in-person and online), parking, utilities, City bills, EnerGov Invoices, resort taxes, Parks & Recreation fees, and Police Off-Duty Billing. The numerous gateways and merchant providers currently in use were selected based on either the conformity to the billing application, IT infrastructure, or capabilities at the time of selection. The City periodically requests reviews of areas of opportunity to assure that its operations are performing optimally. Currently, the City does not have a contract for a merchant industry consulting services. Therefore, by way of RFQ 2018-005-JC, the City solicited proposals from qualified firms experienced in merchant industry consulting services to perform a review, analyze and provide recommendations of the City's current merchant industry environment. Through the RFQ, the City seeks to award an agreement to a Consultant to review, analyze and provide recommendations on the current merchant services environment, in order to improve the City's operational efficiencies. Additionally,the Consultant must possess comprehensive knowledge of the merchant industry to assist the City, including, but not limited to the following three (3) areas: 1) reviewing, evaluating and reporting on the City's present merchant services processes and procedures, 2) provide recommendations for possible improvements and efficiencies, including within existing credit card processing applications, and 3) provide recommendations for obtaining lower associated merchant fees. The price and terms for the contract will be negotiated with the most Page 790 of 1802 qualified firm(s), after City Commission approves authorization to negotiate. On May 16, 2018, the City issued Request for Qualifications (RFQ) No. 2018-005-JC, for merchant industry consulting services. At that time, eight-hundred fifty-three (853) vendors were notified via Public Purchase of the RFQ. Subsequently, eighty-four (84) vendors accessed the RFQ notice via Public Purchase. A voluntary pre-proposal conference was held on May 30, 2018, and was attended by four (4) vendors. RFP responses were due and received on July 10, 2018. The City received a total of three (3) proposals. The City received proposals from the following firms: • 1ST Secure IT, LLC • Card Association Payment Experts, LLC • Protiviti, Inc. On July 26, 2018, the Evaluation Committee was appointed by the City Manager pursuant to LTC# 416-2018, to consider the responsive proposal received. The Committee convened on August 9, 2018 to consider the proposals received. The Committee was comprised of the following individuals: Rocio Alba, Administration Manager, Parking Department, City of Miami Beach; Jean Dolmuz, Systems Administrator, Information Technology Department, City of Miami Beach; Natasha Nicholson, Senior Management Analyst, Public Works Department, City of Miami Beach; Benjamin Nussbaum, Revenue Manager, Finance Department, City of Miami Beach; Ana Zecchini, IT Applications Division Director, Information Technology Department, City of Miami Beach. The following individuals were appointed as alternates: Richard Ajami, Budget Officer, Office of Budget and Performance Improvement, City of Miami Beach; Jose Del Risco, Assistant Director, Parks and Recreation Department, City of Miami Beach; Cheryl Gomez, Financial Analyst III, Finance Department, City of Miami Beach. The Committee was provided an overview of the project, information relative to the City's Cone of Silence Ordinance and the Government 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 RFQ. The evaluation process resulted in the ranking of proposers as indicated in Attachment A, in the following order: • First Ranked Proposer- Protiviti, Inc. • Second Ranked Proposer- Card Association Payment Experts, LLC • Third Ranked Proposer- 1ST Secure IT LLC The following is a brief summary of the qualifications of the proposers, based on the information contained in each proposal. Protiviti. Inc. Protiviti, Inc. is a global consulting firm that delivers deep expertise, objective insights, a tailored approach and unparalleled collaboration to help leaders face the future with confidence. Protiviti provides consulting solutions in finance, technology, operations, data, analytics, governance, risk and internal audit to clients through network of more than 70 offices in over 20 countries. Protiviti, Inc. has served more than 60 percent of Fortune 1000® and 35 percent of Fortune Global 500® companies. The firm also work with smaller, growing companies, including those looking to go public, as well as with government agencies. Protiviti is a wholly owned subsidiary Page 791 of 1802 of Robert Half(NYSE: RHI),founded in 1948. Card Association Payment Experts. LLC Card Association Payment Experts, LLC ("CAPE") has worked primarily with municipal/state governments and utilities over the past several years to deliver the best available payment processing services to them. CAPE has provided unique card cost reduction opportunities to governmental entities. CAPE knows how to ma>dnuze the card cost reduction opportunities available from card associations to the City of Miami Beach. Further, CAPE's proprietary card processing cost models accurately calculate the cost of processing the City's specific card payments, maximizing cost reduction opportunities and streamlining efficiencies for the City's benefit. 1ST Secure IT LLC 1st Secure IT is headquartered in South Florida, and is a well-respected and experienced Payment Card Industry Qualified Security Assessor (QSA) company that is authorized to perform PCI DSS audits in the United States and Latin America, PCI PIN Audits for Visa, and Customer Security Program (CSP) Swift audits. 1st Secure IT focuses on corrpliance services and solutions related to regulations such as PCI, HIPAA, EI3PA, and SSAE18 SOC2. Compliance services are a core focus of the company. CONCLUSION After reviewing all the submissions and the results of the evaluation process, I find that both Protiviti, Inc., the first ranked proposer, provided exceptional background and qualifications that earned it a first place ranking by 4 out of 5 Evaluation Committee members. Protiviti has a large list of public sector clients at all levels (federal, state and local). It has demonstrated that it has the industry knowledge to successfully complete the required scope of work. Similarly, Card Association Payment Experts LLC (CAPE), the second ranked proposer, also provided a strong proposal and received 4 out of 5 second place rankings by the Evaluation Committee. Therefore, I recommend that the Mayor and City Commission approve the Resolution authorizing the Administration to enter into negotiations with Protiviti, Inc., the first ranked proposer; and, if negotiations with Protiviti, Inc. are not successful, enter into negotiations with Card Association Payment Experts, LLC, the second ranked proposer; and, further, authorize the Mayor and City Clerk to execute the final agreement upon conclusion of successful negotiations by the Administration. KEY INTENDED OUTCOMES SUPPORTED Strengthen Internal Controls To Achieve More Accountability FINANCIAL INFORMATION Grant funding will not be utilized for this project. Legislative Tracking Finance/Procurement ATTACHMENTS: Description ❑ Resolution Page 792 of 1802