Explanation
BACKGROUND: It is necessary for the Columbus City Treasurer to modify and extend its existing contract with Fifth Third Bank for the provision of credit card services required for the processing of water bill payments over the Internet. Such services currently may only be provided by Fifth Third Bank as the software running the payment engine maintained by the Division of Power and Water was written specifically for Fifth Third Bank and its gateway, Verisign. The Department of Public Utilities expects the completion of a new payment engine, currently in development, late in 2008 that will facilitate the processing of payments through First Data, which currently processes other credit card payments for the City of Columbus through a contract with Huntington Merchant Services. As a result of the length and complexity of the software development process, it is recommended that the contract be extended for an additional year.
During 2006, expenditures with Fifth Third for this service were $144,825.33. Expenditures for 2007 totaled $208,074.79. Expenditures for this service are exceeding expectations and there will be insufficient funds on the current contract to be able to pay for twelve months of services. The Division of Power and Water therefore requests $420,000 to ensure that sufficient resources are available for this contract through March 31, 2009.
Contract Compliance Number: Fifth Third 310740333 expiration 10/20/2008
FISCAL IMPACT: This ordinance is contingent on passage of the 2008 Department of Public Utilities, Division of Power and Water budget. Funds for this contract are available within the Department of Public Utilities, Division of Power and Water 2008 appropriations.
EMERGENCY: This ordinance is submitted as an emergency to allow the financial transaction to be posted in the city's accounting system as soon as possible. Up-to-date financial posting promotes accurate accounting and financial management.
Title
To authorize the City Treasurer to modify and extend the contract with Fifth Third Processing Solutions for Credit Card Processing banking services on the behalf of the Department of Public Utilities; to authorize the expenditure of up to $420,000.00 from the Department of Public Utilities, Division of Power and Water, water operating funds; and to declare an emergency ($420,000.00).
Body
WHEREAS, the City Treasurer wishes to extend the contract for credit card processing banking services with Fifth Third Processing Solutions to facilitate the processing of payments over the Internet; and
WHEREAS, as an emergency exists in the usual daily operation of the Department of Public Utilities, as it is immediately necessary to extend the existing contract cited below, providing banking services necessary for the daily operation of normal business activities of the City of Columbus thereby preserving the public health, peace, property, safety and welfare; now therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS
SECTION 1. The City Treasurer is hereby authorized to modify and extend the existing contract with Fifth Third Processing Solutions for the provision of credit card processing services by extending the ending date of the contract to March 31, 2009 and to authorize the expenditure of $420,000.00, or so much thereof as may be necessary from the Department of Public Utilities, Division of Power and Water (Water), division number 6009 as follows:
Fund: 600 | OCA: 602318 | Object level one: 03 | Object level three code: 3348 | Amount: $420,000.00 |
SECTION 2. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor or ten days after passage if the Mayor neither approves nor vetoes the same.