Explanation
The Department of Public Utilities entered into a contract with U. S. Bank National Association to provide e-lockbox services for the Department of Public Utilities, Division of Water. This agreement provides for the receipt of utility payments to the City of Columbus, processed through the internet, into one system that consolidates Automated Clearing House (ACH) payments into one daily file that processes the banking payments through the ACH system and processes the customers' utility account information to the City of Columbus, Division of Water.
The contract was the result of a Request for Proposal (RFP) received on January 14, 2008. Six (6) proposals were received. The contract covers a five-year (5) period, funds for the services to be reviewed and expenditures approved by ordinance of City Council, and the appropriation and certification of funds by the City Auditor.
Year 1 covered the period commencing on April 1, 2009 through March 31, 2010. Year 2 covered the period commencing on April 1, 2010 through March 31, 2011 for a total of $35,000.00. Year 3 covered the period commencing on April 1, 2011 through March 31, 2012 for a total of $30,000.00.
Year 4 covered the period commencing on April 1, 2012 through March 31, 2013 for a total of $10,000.00. Year 5 covers the period commencing on April 1, 2013 through March 31, 2014 and was funded with $10,000.00 (Ord. 2850-2012) as it was anticipated that a new city-wide banking contract would replace the need for this contract mid-year 2013. However, due to delays in establishing new banking contracts, it is necessary to continue the e-lockbox services with US Bank National Association through March 31, 2014.
The sole purpose of this modification is to add funding to cover anticipated contract billings through March 31, 2014. All terms and conditions of the original agreement remain in full force and effect.
The company is not debarred according to the Excluded Party Listing System of the Federal Government or prohibited from being awarded a contract according to the Auditor of State Unresolved Findings for Recovery Certified Search.
Vendor: U. S. Bank National Association. Contract Compliance Number: 31-0841368, expires April 24, 2014. U. S. Bank National Association does not hold MBE/FBE status.
1. Amount of additional funds: The amount of additional funds needed for Year 5 is $8,000.00. The original contract was established for $35,000.00. The total cost of the original contract, modification to date, and this modification (Year 5) is $128,000.00. The modification of the maximum monetary obligation under this contract represents funding added during the contract period for costs related to the services provided. The need for increased funding is to cover anticipated contract billings through March 31, 2014.
2. Reason additional needs were not foreseen: The need for additional funds was foreseen and is outlined in the original agreement. .
3. Reason other procurement processes not used: The same exact service is required as originally proposed. No lower pricing/more attractive terms and conditions are anticipated at this time.
4. How cost was determined: The cost, terms and conditions are in accordance with the original agreement.
FISCAL IMPACT: $8,000.00 is budgeted and needed for this service.
Expenditures for banking services (OBL3 3348) in the Division of Water in 2011 were $ 1,123,291.25.
Expenditures for banking services (OBL3 3348) in the Division of Water in 2012 were $ 796,635.70
Title
To authorize the Director of Public Utilities to enter into a planned modification for the maximum monetary obligation under the E-Lockbox Services contract with U. S. Bank National Association, for the Division of Water, and to authorize the expenditure of $8,000.00 from Water Operating Fund. ($8,000.00)
Body
WHEREAS, the Department of Public Utilities has a contract with U. S. Bank National Association, for the E-Lockbox Services; and
WHEREAS, the vendor has agreed to modify and increase EL009109 at current prices and conditions and it is in the best interest of the City to exercise this option; and
WHEREAS, these services are used by the Department of Public Utilities, for the preservation of public health, peace, property and safety; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Public Utilities Director be and is hereby authorized and directed to modify and increase EL009109 in order to fund Year 5 with U. S. Bank National Association. Total amount of modification No. 5 is ADD $8,000.00. Total contract amount including this modification is $128,000.00.
Section 2. That this modification is in accordance with Section 329.16 of the Columbus City Codes.
Section 3. That the expenditure of $8,000.00 or so much thereof as may be needed, be and the same hereby is authorized as follows:
Fund: 600
OCA: 602318
Object Level: 3348
Amount: $8,000.00
TOTAL REQUEST: $8,000.00
Section 4. 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 5. That this ordinance shall take effect and be in force from and after the earliest period allowed by law.