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File #: 0555-2023    Version: 1
Type: Ordinance Status: Passed
File created: 2/12/2023 In control: Finance Committee
On agenda: 3/13/2023 Final action: 3/16/2023
Title: To authorize the City Treasurer to modify its contracts for various banking services with JP Morgan Chase Bank, Huntington Merchant Services, and Huntington National Bank; and to authorize the expenditure of up to $2,764,000.00 from various funds within the city. ($2,764,000.00)
Attachments: 1. 0555-2023 banking.pdf

Explanation

 

BACKGROUND:

On October 3, 2012 the Columbus City Treasurer's Office issued a request for proposal, SA004617, for various banking services.  The Columbus Depository Commission received and reviewed proposals from six (6) local banks and recommended, subject to the approval of City Council, the award of banking services to specific banks on April 18, 2013.  All such banks are currently eligible depositories of the City of Columbus, pursuant to Chapter 321.04 of the Columbus City Code.  At a meeting of the Columbus Depository Commission held on December 28, 2012, the Commission approved Applications for the Deposit of Public Funds which each bank submitted for review.  The contracts are for a period of ten (10) years beginning June 1, 2013 through May 31, 2023 subject to annual appropriations and approval of contracts by the Columbus City Council.

 

On May 6, 2013, Columbus City Council authorized contracts and expenditures for the first year of banking services, ordinance number 1040-2013, for the period of June 1, 2013 through May 31, 2014.

 

On May 19, 2014, Columbus City Council authorized contracts and expenditures for the second year of banking services, ordinance number 1073-2014, for the period of June 1, 2014 through May 31, 2015.

 

On June 1, 2015, Columbus City Council authorized contracts and expenditures for the third year of banking services, ordinance number 1101-2015 for the period of June 1, 2015 through May 31, 2016.

 

On May 16, 2016, Columbus City Council authorized contracts and expenditures for the fourth year of banking services, ordinance number 1177-2016 for the period of June 1, 2016 through May 31, 2017.

 

On March 27, 2017, Columbus City Council authorized the contract modifications and expenditures for the fifth year of banking services by passage of ordinance number 0456-2017 for the period June 1, 2017 through May 31, 2018.

 

Columbus City Council authorized the contract modifications and expenditures for the sixth year of banking services by passage of ordinance number 0465-2018 for the period June 1, 2018 through May 31, 2019 on March 12, 2018.

 

On April 8, 2019 Columbus City Council authorized the modifications and expenditures for the seventh year of banking services by passage of ordinance number 0717-2019 for the period June 1, 2019 through May 31, 2020 on April 8, 2019.

 

Columbus City Council authorized the renewal and expenditures for the eighth year of banking services for the period June 1, 2020 through May 31, 2021 by passage of ordinance number 0445-2020 on April 20, 2020. On May 10, 2021, Columbus City Council authorized the renewal and expenditures for the ninth year of banking services with passage of ordinance 1093-2021.

 

On February 14, 2022, Columbus City Council authorized the renewal and expenditures of banking services for the tenth year of the City Treasurer’s ten year contract for the period June 1, 2022 through May 31, 2023 with passage of ordinance number 0374-2022.

 

As a result of delays in the City’s banking RFP and to permit the additional time needed to transition services, Columbus City Council authorized extensions in banking contracts beyond their original ten year terms with current banking partners Fifth Third Bank, Huntington National Bank, Huntington Merchant Services and JP Morgan Chase Bank with passage of ordinances 2580-2022 and 2944-2022.

 

The Columbus City Treasurer now wishes to provide funding for the current year’s budget for the period ending May 31, 2024 for all of the City’s banking requirements.

 

 

FISCAL IMPACT:

Funds for these expenditures are budgeted and available within the various funds' 2023 budget appropriations.

 

Contract Compliance:  JP Morgan Chase Bank, 134994650, expiration 4/22/2023; Huntington Merchant Services, 113328074, expiration 5/3/2023, Huntington National Bank, 310966785, expiration 2/8/2024.

 

 

Title

 

To authorize the City Treasurer to modify its contracts for various banking services with JP Morgan Chase Bank, Huntington Merchant Services, and Huntington National Bank; and to authorize the expenditure of up to $2,764,000.00 from various funds within the city. ($2,764,000.00)

 

Body

 

WHEREAS, the City Treasurer proposed the award of contracts for banking services as provided for in an RFP issued on October 3, 2012, for which the Columbus Depository Commission, at a meeting held on April 18, 2013, recommended the award of banking services, subject to approval by Columbus City Council; and

 

WHEREAS, Columbus City Council authorized contracts for the first year of a ten year contract for banking services for the period of June 1, 2013 through May 31, 2014 on May 6, 2013, ordinance 1040-2013; and

WHEREAS, contracts for the second year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2014 through May 31, 2015 on May 19, 2014, ordinance 1073-2014; and

WHEREAS, contracts for the third year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2015 through May 31, 2016 on June 1, 2015, ordinance 1101-2015; and

WHEREAS, contracts for the fourth year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2016 through May 31, 2017 on May 16, 2016, ordinance 1177-2016; and

WHEREAS, contracts for the fifth year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2017 through May 31, 2018 on March 27, 2017, ordinance 0456-2017; and

WHEREAS, contracts for the sixth year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2018 through May 31, 2019 on March 12, 2018, ordinance 0465-2018; and

WHEREAS, contracts for the seventh year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2019 through May 31, 2020 on April 8, 2020, ordinance 0717-2019; and

WHEREAS, contracts for the eighth year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2020 through May 31, 2021 on April 20, 2020, ordinance 0445-2020; and

WHEREAS, contracts for the ninth year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2021 through May 31, 2022 on May 10, 2021, ordinance 1093-2021; and

WHEREAS, contracts for the tenth year of a ten year contract for banking services were authorized by Columbus City Council for the period of June 1, 2022 through May 31, 2023 on February 14, 2022, ordinance 0374-2022; and

WHEREAS, due to delays in development of the banking RFP and to permit the additional time needed to transition services, Columbus City Council authorized extensions of the City Treasurer’s contracts beyond their original ten year terms with passage of ordinance numbers 2580-2022 and 2944-2022; and

 

WHEREAS, the City Treasurer now wishes to modify its contracts with JP Morgan Chase Bank, Huntington Merchant Services and Huntington National Bank to add resources to its contracts for the period ending May 31, 2024; and

 

WHEREAS, it has become necessary in the usual daily operation of various City departments to authorize the Treasurer to modify its contracts with JP Morgan Chase Bank, Huntington National Bank and Huntington Merchant Services for the provision of various banking services 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 the City Treasurer is hereby authorized to modify its contract with JP Morgan Chase Bank for the provision of the main operating account (for the City Treasurer, the Department of Public Utilities, and the Income Tax Division), the payroll account, the Utilities E-lockbox, and the tax ACH account of the City of Columbus for the period June 1, 2023 through May 31, 2024 and to authorize the expenditure of $67,000, or so much thereof as may be necessary in object class 03 contractual services per the accounting codes in the attachment to this ordinance.

 

SECTION 2. The City Treasurer is hereby authorized to modify its contract with Huntington Merchant Services for the provision of credit card processing services for the period June 1, 2023 through May 31, 2024 and to authorize the expenditure of $2,650,000.00 or so much thereof as may be necessary, in object class 03 contractual services per the accounting codes in the attachment to this ordinance.

 

SECTION 3. That the City Treasurer is hereby authorized to modify its contract with the Huntington National Bank for the provision of water lockbox services for the period June 1, 2023 through May 31, 2024, and to authorize the expenditure of up to $47,000, or so much thereof as may be necessary, in object class 03 contractual services per the accounting codes in the attachment to this ordinance.

 

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 and shall take effect and be in force from and after the earliest period allowed by law.