Explanation
BACKGROUND:
In the fourth quarter of 2019, the City of Columbus (City) through its Director of the Department of Finance and Management, City Treasurer, and City Auditor issued an RFP for implementation of a procurement card (P-Card) pilot program with the possibility of expansion. The items to be covered in the pilot were the payment of airfare, registration, memberships, subscriptions, advertising, dues, online transactions requiring a card, and small purchases under $500 in lieu of petty cash purchases. The benefit the City expected to receive included efficient, cost-effective methods of paying business expenses, and purchasing goods and services.
The evaluation committee found all respondents to be competent, and, after in-person presentations to the evaluation committee by the two highest ranked offerors, US Bank received the highest score. The Depository Commission and Treasury Investment Board voted to accept US Bank as the procurement card vendor for the City, subject to successful contract negotiations and authorized a five-year term for the contract. The contract signature date with US Bank's five-year term was September 7, 2020, with $20,000.00 in funding from the City Treasurer’s Office to cover any expenditures. As a result of the dollar threshold, it did not require City Council authorization.
In a normal year, the City Treasurer’s Office would be engaged in a new RFP process for procurement card (PCard) banking services. However, the initiation of the City’s pilot for its PCard program was roughly coincident with shutdowns associated with COVID-19. As a result of COVID, the PCard program’s pilot was substantively hampered by the cessation of business travel; attendance at conferences and trainings essentially ground to a halt.
As a consequence, the Treasurer sought a discussion with the members of the Depository Commission and Treasury Investment Board to gather consensus as to what action should be taken with respect to the PCard contract. It was recommended that the Treasurer should explore the possibility of a contract extension.
The Treasurer engaged with US Bank and it was determined that US Bank would agree to a contract extension of two years. Columbus City Council authorized a two-year extension of the Treasurer’s Office contract with US Bank from September 7, 2025 to September 6, 2027 with passage of ordinance 0315-2025 on March 10, 2025. However the contract agreement term and commencement date was articulated as the first day of the month following the effective day, therefore the contract should run through the month of September. The City Treasurer now requests that Columbus City Council authorize an amendment to ordinance 0315-2025 to correct the endpoint of the contract with US Bank from September 6, 2027 to September 30, 2027.
Contract Compliance: US Bank, NA 310841368, expiration 1/21/2027.
FISCAL IMPACT:
No funds are required for this ordinance at this time.
Title
To authorize City Council to amend ordinance 0315-2025 to correct the endpoint of the City Treasurer’s contract for procurement cards with US Bank to September 30, 2027. ($0.00)
Body
WHEREAS, the City of Columbus through its Director of the Department of Finance and Management, City Treasurer, and City Auditor issued an RFP in 2019 for implementation of a procurement card (P-Card) pilot program with the possibility of expansion; and
WHEREAS, the evaluation committee found US Bank received the highest score. The Depository Commission and Treasury Investment Board voted to accept US Bank as the procurement card vendor for the City, subject to successful contract negotiations and authorized a five-year term for the contract; and
WHEREAS, the initiation of the City’s pilot for its PCard program was roughly coincident with shutdowns associated with COVID-19. As a result of COVID, the PCard program’s pilot was substantively hampered and a good five-year test of the PCard program was not possible; and
WHEREAS, the Treasurer sought a discussion with the members of the Depository Commission and Treasury Investment Board to gather consensus as to what action should be taken with respect to the PCard contract. It was recommended that the Treasurer should explore the possibility of a contract extension. US Bank agreed to a two-year extension; and
WHEREAS, the Columbus City Council authorized the City Treasurer to modify and extend its contract with US Bank, NA for procurement card services for the two-year period from September 7, 2025, to September 6, 2027 with passage of ordinance 0315-2025 on March 10, 2025; and
WHEREAS, the contract agreement term and commencement date was articulated as the first day of the month following the effective day, therefore the contract should run through the month of September; and
WHEREAS, the City Treasurer now requests that Columbus City Council authorize an amendment to ordinance 0315-2025 to correct the endpoint of the contract with US Bank to September 30, 2027; and
WHEREAS, it has become necessary in the usual daily operation of the City Treasurer’s Office to amend ordinance 0315-2025 to correct the endpoint of the contract with US Bank to September 30, 2027 for the City of Columbus as cited below that are vital for the daily operation of normal business activities of the City of Columbus; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That ordinance 0315-2025 is hereby amended to reflect the correct contract end date for the Treasurer’s contract with US Bank, NA for procurement card (PCard) services to September 30, 2027.
SECTION 2. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 3. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 4. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.