Explanation
BACKGROUND: On September 27, 2019 a request for proposals (RFP) was issued by the City Auditor’s Office for employee bonding services. After publically advertising in the City Bulletin for three weeks and one direct e-mail solicitation to seventeen (17) prospective Offerors, one (1) response was received. An evaluation committee consisting of three members of the Auditor’s Office met on October 28, 2019 to submit final scoring and evaluate the proposal. In compliance with Columbus City Code 329.28, the committee recommended that the City Auditor enter into negotiations with Huntington Insurance, Inc. This legislation will authorize and direct the City Auditor to enter into contracts bonding 1.) City Treasurer, 2.) Deputy City Treasurer, 3.) Police up through the rank of sergeant, 4.) all other City employees and elected or appointed officials including all officially appointed members of City Boards and/or Commissions, and additional coverage including 5.) forgery or alteration, money and securities on and off premises, money orders and counterfeit money, computer fraud, and 6.) social engineering AKA fraudulently induced transfers. The coverage period for the policies shall commence 01-01-2020 through 12-31-2022.
Emergency action is requested to avoid any delays in finalizing the contracts to ensure the new policies are in place prior to expiration of the existing insurance and to avoid a lapse in coverage.
CONTRACT COMPLIANCE: Huntington Insurance, Inc., contract compliance #34-1715613, (vendor #006810), expiration date 08/15/2020.
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.
FISCAL IMPACT: Currently $140,311.00 of appropriation authority is available within the General Fund in the Auditor’s Office.
Title
To authorize the City Auditor to enter into contract with Huntington Insurance, Inc. for the bonding of various City employees, elected and appointed officials, and members of City boards and/or commissions; to authorize the expenditure of $140,311.00 from the General Fund; and to declare an emergency. ($140,311.00)
Body
WHEREAS, Section 16 of the Columbus city Charter provides, in part, that “the Council may determine whether any officer or employee shall give a bond, and the amount there of” and
WHEREAS, an emergency exists in the usual daily operation of the Auditor’s Office in that it is immediately necessary to enter into contract with Huntington Insurance, Inc., to ensure the policies are in place prior to the expiration of the existing policies and to avoid a lapse in coverage, for the preservation of the public health, peace, property, safety and welfare, now, therefore:
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS
SECTION 1. That the City Auditor if hereby authorized and directed to enter into contract with Huntington Insurance, Inc. for the following bonds, for coverage period of 1/1/2020 - 12/31/2022
Position Bonded Coverage Premium
1. Treasurer $10,000,000.00 $19,573.00
2. Deputy Treasurer 10,000,000.00 $19,573.00
3. Police up through the rank of sergeant 100,000.00 $16,445.00
4. All other City employees, judges, municipal 1,000,000.00 $84,720.00
court employees, and elected or appointed officials
including all officially appointed members of the
City Boards and/or Commissions
5. Forgery or Alteration, Money and Securities (On 1,000,000.00 included in #4
Premises and Off Premises), Money Orders and
Counterfeit Money, and Computer Fraud
6. Social Engineering AKA 500,000.00 included in #4
Fraudulently Induced Transfers
Total $140,311.00
SECTION 2. That the sum of $140,311.00 or so much thereof as may be needed, is hereby authorize to be expended per the accounting codes in the attachment to this ordinance.
SECTION 3. The sureties accepted on aforesaid bonds must be authorized to do business in Ohio.
SECTION 4. The City Auditor is authorized to charge and make appropriate accounting charges to each department or division which operates from a fund other than the General Fund, for the official bond premium properly chargeable to their operation.
SECTION 5. That for the reasons states in the preamble hereto, which is hereby made a party 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 of ten days after passage if the Mayor neither approves nor vetoes the same.