HomeMy WebLinkAboutFIRST NATIONAL BANK - CONTRACT - RFP - P1039 BANKING SERVICESSERVICES AGREEMENT
THIS AGREEMENT made and entered into the day and year set forth below by and
between THE CITY OF FORT COLLINS, COLORADO, a Municipal Corporation, hereinafter
referred to as the "City" and First National Bank, hereinafter referred to as "Service Provider".
W ITN ESSETH:
In consideration of the mutual covenants and obligations herein expressed, it is agreed
by and between the parties hereto as follows:
1. Scope of Services. The Service Provider agrees to provide services in
accordance with the scope of services attached hereto as Exhibit "A", consisting of four (4)
pages, and incorporated herein by this reference.
2. Contract Period. This Agreement shall commence January 1, 2007, and shall
continue in full force and effect until December 31, 2007 unless sooner terminated as herein
provided. In addition, at the option of the City, the Agreement may be extended for additional
one year periods not to exceed four (4) additional one year periods. Renewals and pricing
changes shall be negotiated by and agreed to by both parties. The Denver Boulder Greeley
CPIU published by the Colorado State Planning and Budget Office will be used as a guide.
Written notice of renewal shall be provided to the Service Provider and mailed no later than
ninety (90) days prior to contract end.
3. Delay. If either party is prevented in whole or in part from performing its
obligations by unforeseeable causes beyond its reasonable control and without its fault or
negligence, then the party so prevented shall be excused from whatever performance is
prevented by such cause. To the extent that the performance is actually prevented, the Service
Provider must provide written notice to the City of such condition within fifteen (15) days from
the onset of such condition.
4. Early Termination by City/Notice. Notwithstanding the time periods contained
herein, the City may terminate this Agreement at any time without cause by providing written
notice of termination to the Service Provider. Such notice shall be delivered at least fifteen (15)
EXHIBIT B
PRICING SCHEDULE
PRICING SCHEDULE
Annual Number of Items
Cost per item or
Annual Cost of
Type of Service
or Dollars Processed
Monthly Charges
Service
A. Depository Services
Demand Accounts & Activity
Interest -bearing demand accounts
4
0.00
0.00
Non -interest bearing demand accts
9
0.00
0.00
Balance transfers
1,500
0.00
0.00
Deposits by check (incl. Lockbox)
700,000
$.04 / item
$28,000.00
Payment of vendor checks
45,000
0.00
0.00
Payment of insurance checks
4,000
0.00
0.00
Payment of payroll checks
25,000
0.00
0.00
Check sorting
75,000
0.00
0.00
Stop payments
400
0.00
0.00
Returned checks
400
0.00
0.00
Banking Supplies
Visa/MasterCard slips
2,000
0.00
0.00
Demand account deposit slips
4,000
0.00
0.00
Currency exchange
120
0.00
0.00
Cashier's checks
1,000
0.00
0.00
Traveler's checks
$50,000
0.00
0.00
Safe deposit boxes (3)
1
0.00
0.00
Coin wrappers
3,000
0.00
0.00
Petty cash requests
60
0.00
0.00
Locking money bags
90
0.00
0.00
B. Automated Clearing House
Incoming
500
0.00
0.00
Outgoing excl. payroll -see below
120
0.00
0.00
C. Wire Transfer Service
Incoming domestic
200
0.00
0.00
Outgoing domestic
500
0.00
0.00
Incoming international
20
0.00
0.00
Outgoing international
20
0.00
0.00
D. Electronic Data Interchange
0.00
0.00
E. Lock Box Service
Utility payments
500,000
Sale & Use tax payments
40,000
Automated update of payments
540,000
$.15 / item
$81 000.00
F. Direct Deposit
Payroll (ACH)
40,000
0.00
0.00
Remittance of FICA & federal tax
120
0.00
0.00
Pa cards
9,100
0.00
0.00
G. Controlled Disbursement,
Account Reconciliation and Positive
Pay
Account reconciliation
108
0.00
0.00
Positive pay
75,000
0.00 1
0.00
PRICING SCHEDULE (cont.)
Annual Number of Items
Cost per item or
Annual Cost of
Type of Service
or Dollars Processed
Monthly Charges
Service
H. Information Reporting
Account statements (hardcopy rpt)
108
0.00
0.00
Account statements (file)
108
0.00
0.00
Cleared checks images (CD-ROM)
26
0.00
0.00
Credit card merchant statements
12
0.00
0.00
ACH returns (faxed copy)
50
0.00
0.00
Account analysis
12
0.00
0.00
I. Banking Treasury Workstation
2
0.00
0.00
J. Armored Car Courier
Number of City locations
22
$7,708.00 / month
$92,496.00
Number of pickups
4,000
K. Bank Representatives to Work
2
with City
TOTAL ANNUAL COST OF SERVICE FOR 2007
TOTAL ANNUAL COST OF SERVICE FOR 2008
TOTAL ANNUAL COST OF SERVICE FOR 2009
TOTAL ANNUAL COST OF SERVICE FOR 2010
TOTAL ANNUAL COST OF SERVICE FOR 2011
TOTAL COST FOR FIVE YEARS
$201,496.00
$207,541.00
$213,767.00
$220,180.00
$226,785.00
$1,069,769.00
EXHIBIT C
INSURANCE REQUIREMENTS
1. The Service Provider will provide, from insurance companies acceptable to the City, the
insurance coverage designated hereinafter and pay all costs. Before commencing work under
this bid, the Service Provider shall furnish the City with certificates of insurance showing the
type, amount, class of operations covered, effective dates and date of expiration of policies, and
containing substantially the following statement:
"The insurance evidenced by this Certificate will not be cancelled or materially altered,
except after ten (10) days written notice has been received by the City of Fort Collins."
In case of the breach of any provision of the Insurance Requirements, the City, at its option,
may take out and maintain, at the expense of the Service Provider, such insurance as the City
may deem proper and may deduct the cost of such insurance from any monies which may be
due or become due the Service Provider under this Agreement. The City, its officers, agents
and employees shall be named as additional insureds on the Service Provider's general liability
and automobile liability insurance policies for any claims arising out of work performed under
this Agreement.
2. Insurance coverages shall be as follows:
A. Workers' Compensation & Employer's Liability. The Service Provider shall
maintain during the life of this Agreement for all of the Service Provider's employees
engaged in work performed under this agreement:
Workers' Compensation insurance with statutory limits as required by
Colorado law.
2. Employer's Liability insurance with limits of $100,000 per accident,
$500,000 disease aggregate, and $100,000 disease each employee.
B. Commercial General & Vehicle Liability. The Service Provider shall maintain
during the life of this Agreement such commercial general liability and automobile liability
insurance as will provide coverage for damage claims of personal injury, including
accidental death, as well as for claims for property damage, which may arise directly or
indirectly from the performance of work under.this Agreement. Coverage for property
damage shall be on a "broad form" basis. The amount of insurance for each coverage,
Commercial General and Vehicle, shall not be less than $500,000 combined single limits
for bodily injury and property damage.
In the event any work is performed by a subcontractor, the Service Provider shall be
responsible for any liability directly or indirectly arising out of the work performed under
this Agreement by a subcontractor, which liability is not covered by the subcontractor's
insurance.
EXHIBIT D
Prohibition Against Employing Illegal Aliens. This paragraph shall apply to all Contractors
whose performance of work under this Agreement does not involve the delivery of a specific end
product other than reports that are merely incidental to the performance of said work. Pursuant
to Section 8-17.5-101, C.R.S., et. seq., Contractor represents and agrees that:
A. As of the date of this Agreement:
1. Contractor does not knowingly employ or contract with an illegal alien; and
2. Contractor has participated or attempted to participate in the basic pilot
employment verification program created in Public Law 208, 104th
Congress, as amended, and expanded in Public Law 156, 108th
Congress, as amended, administered by the United States Department of
Homeland Security (the 'Basic Pilot Program") in order to verify that
Contractor does not employ any illegal aliens.
B. Contractor shall not knowingly employ or contract with an illegal alien to
perform works under this Agreement or enter into a contract with a
subcontractor that fails to certify to Contractor that the subcontractor shall not
knowingly employ or contract with an illegal alien to perform work under this
Agreement.
C. Contractor shall continue to apply to participate in the Basic Pilot Program and
shall in writing verify same every three (3) calendar months thereafter, until
Contractor is accepted or the public contract for services has been completed,
whichever is earlier. The requirements of this section shall not be required or
effective if the Basic Pilot Program is discontinued.
D. Contractor is prohibited from using Basic Pilot Program procedures to
undertake pre -employment screening of job applicants while this Agreement is
being performed.
E. If Contractor obtains actual knowledge that a subcontractor performing work
under this Agreement knowingly employs or contracts with an illegal alien,
Contractor shall:
1. Notify such subcontractor and the City within three days that Contractor
has actual knowledge that the subcontractor is employing or contracting
with an illegal alien; and
2. Terminate the subcontract with the subcontractor if within three days of
receiving the notice required pursuant to this section the subcontractor
does not cease employing or contracting with the illegal alien; except that
Contractor shall not terminate the contract with the subcontractor if during
such three days the subcontractor provides information to establish that
the subcontractor has not knowingly employed or contracted with an illegal
alien.
F. Contractor shall comply with any reasonable request by the Colorado
Department of Labor and Employment (the "Department") made in the course
of an investigation that the Department undertakes or is undertaking pursuant
to the authority established in Subsection 8-17.5-102 (5), C.R.S.
G. If Contractor violates any provision of this Agreement pertaining to the duties
imposed by Subsection 8-17.5-102, C.R.S. the City may terminate this
Agreement. If this Agreement is so terminated, Contractor shall be liable for
actual and consequential damages to the City arising out of Contractor's
violation of Subsection 8-17.5-102, C.R.S.
H. The City will notify the Office of the Secretary of State if Contractor violates
this provision of this Agreement and the City terminates the Agreement for
such breach.
days prior to the termination date contained in said notice unless otherwise agreed in writing by
the parties. All notices provided under this Agreement shall be effective when mailed, postage
prepaid and sent to the following addresses:
City:
Service Provider:
City of Fort Collins First National Bank
Attn: Purchasing Attn: Julie Den Herder
PO Box 580 205 West Oak Street
Fort Collins, CO 80522 Fort Collins, CO 80521
In the event of early termination by the City, the Service Provider shall be paid for services
rendered to the date of termination, subject only to the satisfactory performance of the Service
Provider's obligations under this Agreement. Such payment shall be the Service Provider's sole
right and remedy for such termination.
5. Contract Sum. The City shall pay the Service provider for the performance of this
Contract, subject to additions and deletions provided herein, in accordance with the Pricing
Schedule attached hereto as Exhibit "B", consisting of two (2) pages, and incorporated herein
by this reference.
6. City Representative. The City will designate, prior to commencement of the
work, its representative who shall make, within the scope of his or her authority, all necessary
and proper decisions with reference to the services provided under this agreement. All requests
concerning this agreement shall be directed to the City Representative.
7. Independent Service provider. The services to be performed by Service Provider
are those of an independent service provider and not of an employee of the City of Fort Collins.
The City shall not be responsible for withholding any portion of Service Provider's compensation
hereunder for the payment of FICA, Workmen's Compensation or other taxes or benefits or for
any other purpose.
8. Personal Services. It is understood that the City enters into the Agreement
based on the special abilities of the Service Provider and that this Agreement shall be
considered as an agreement for personal services. Accordingly, the Service Provider shall
neither assign any responsibilities nor delegate any duties arising under the Agreement without
the prior written consent of the City.
9. Acceptance Not Waiver. The City's approval or acceptance of, or payment for
any of the services shall not be construed to operate as a waiver of any rights or benefits
provided to the City under this Agreement or cause of action arising out of performance of this
Agreement.
10. Warranty.
(a) Service Provider warrants that all work performed hereunder shall be
performed with the highest degree of competence and care in accordance
with accepted standards for work of a similar nature.
(b) Unless otherwise provided in the Agreement, all materials and equipment
incorporated into any work shall be new and, where not specified, of the
most suitable grade of their respective kinds for their intended use, and all
workmanship shall be acceptable to City.
(c) Service Provider warrants all equipment, materials, labor and other work,
provided under this Agreement, except City -furnished materials,
equipment and labor, against defects and nonconformances in design,
materials and workmanship/workwomanship for a period beginning with
the start of the work and ending twelve (12) months from and after final
acceptance under the Agreement, regardless whether the same were
furnished or performed by Service Provider or by any of its subcontractors
of any tier. Upon receipt of written notice from City of any such defect or
nonconformances, the affected item or part thereof shall be redesigned,
repaired or replaced by Service Provider in a manner and at a time
acceptable to City.
11. Default. Each and every term and condition hereof shall be deemed to be a
material element of this Agreement. In the event either party should fail or refuse to perform
according to the terms of this agreement, such party may be declared in default thereof.
12. Remedies. In the event a party has been declared in default, such defaulting
party shall be allowed a period of ten (10) days within which to cure said default. In the event
the default remains uncorrected, the party declaring default may elect to (a) terminate the
Agreement and seek damages; (b) treat the Agreement as continuing and require specific
performance; or (c) avail himself of any other remedy at law or equity. If the non -defaulting party
commences legal or equitable actions against the defaulting party, the defaulting party shall be
liable to the non -defaulting party for the non -defaulting party's reasonable attorney fees and
costs incurred because of the default.
13. Binding Effect. This writing, together with the exhibits hereto, constitutes the
entire agreement between the parties and shall be binding upon said parties, their officers,
employees, agents and assigns and shall inure to the benefit of the respective survivors, heirs,
personal representatives, successors and assigns of said parties.
14. Indemnity/Insurance. a. The Service Provider agrees to indemnify and save
harmless the City, its officers, agents and employees against and from any and all actions,
suits, claims, demands or liability of any character whatsoever brought or asserted for injuries to
or death of any person or persons, or damages to property arising out of, result from or
occurring in connection with the performance of any service hereunder.
b. The Service Provider shall take all necessary precautions in performing the work
hereunder to prevent injury to persons and property.
c. Without limiting any of the Service Provider's obligations hereunder, the Service
Provider shall provide and maintain insurance coverage naming the City as an additional
insured under this Agreement of the type and with the limits specified within Exhibit C,
consisting of one (1) page, attached hereto and incorporated herein by this reference. The
Service Provider before commencing services hereunder, shall deliver to the City's Director of
Purchasing and Risk Management, P. O. Box 580 Fort Collins, Colorado 80522 one copy of a
certificate evidencing the insurance coverage required from an insurance company acceptable
to the City.
15. Entire Agreement. This Agreement, along with all Exhibits and other documents
incorporated herein, shall constitute the entire Agreement of the parties. Covenants or
representations not contained in this Agreement shall not be binding on the parties.
16. Law/Severability. The laws of the State of Colorado shall govern the construction
interpretation, execution and enforcement of this Agreement. In the event any provision of this
Agreement shall be held invalid or unenforceable by any court of competent jurisdiction, such
holding shall not invalidate or render unenforceable any other provision of this Agreement.
17. Special Provisions. Special provisions or conditions relating to the services to
be performed pursuant to this Agreement are set forth in Exhibit D, consisting of two (2) pages,
attached hereto and incorporated herein by this reference.
A
CITY OF FORT COLLINS, CbLORTO
a municipaFee�oration II
By: I --� J !;-z -�
Darin Atteberry
City Manager
By: O
Jame / O'Neill II, CPPO, FNIGP
Director of Purchasing and Risk Management
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City Clerk ci A T ..
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w r�r� � r�_ w e� �
Attorney
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First National Ban
PRINT NAM
CORPORATE PRESIDENT OR VICE PRESIDENT
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EXHIBIT A
SCOPE OF SERVICES
DESCRIPTION OF CURRENT ACCOUNTS AND SERVICES TO BE PROVIDED TO THE CITY
A. Banking Services
The banking relationship includes the following accounts and services (detailed
descriptions provided below):
1. Item processing (credits and debits: including cash/ check clearing, Automated
Clearing House deposits — ACHs and Electronic Funds Transfers — EFTs).
2. Receipt/disbursement accounts and safety deposit boxes.
3. Out -going and incoming wire services.
4. Lock -box processing for utility payments and sales and use tax payments.
5. Daily armored car courier service.
6. Daily account sweep and transfers via telephone.
7. Account statements, reports and account analysis.
B. Accounts and Services
1. Item processing
a. Receipts
Deposits are collected from several City locations and taken to the bank where
they are credited to the City's checking account. The bank also credits payments
received from customer utility bills and sales tax receipts through a lock -box
arrangement with the City. The bank collects payments on behalf of the City in
the form of cash, check, account transfer, wire transfer, EFT and ACH.
Average monthly transaction detail:
Number of items processed: 51,971
b. Disbursements
The City processes its general payroll every two weeks and its pension payroll
monthly. City employees have the option of receiving their payroll in the form of
a physical paycheck or a direct deposit. For direct deposit, the City provides the
bank with a file containing all account information, and the bank handles the
transfer.
Average monthly transaction detail:
Number of physical paychecks: 1,450
Number of direct deposits 3,750
Tax payments (EFT): 8
The City processes its accounts payable checks regularly on Monday and
Thursday of each week.
Average monthly transaction detail:
Number of checks processed: 2,900
2. Accounts and Safety Deposit Boxes
a. Money market interest account
Primary depository account for utility payment receipts, sales tax receipts and
customer deposits/payments. This account is swept to a zero balance each
morning into a local government investment pool.
b. Payroll account
Disbursement account used for bi-weekly and monthly payroll.
c. Accounts payable account
Disbursement account used for all accounts payable checks, EFT, wires and
ACH withdrawals.
d. Additional special accounts
1. Self insurance account (payment of claims)
2. HOME program account (receipt of federal grant draws)
3. CDBG account (receipt of program income, grant draws, etc.)
4. Check clearing fund (receipts with insufficient funds, closed accounts, are
debited from this account)
5. Utility Funds' mini -checking account (low balance, low transaction account
used by the City's utility funds for misc. payments)
e. Safety deposit boxes
One large (3" by 6" by 12") box is required for use by the City.
3. Wire services
The City uses the fed wire system as a primary form of payment distribution. Both
incoming and outgoing wires are handled by the City's primary banking relationship.
Average monthly transaction detail:
Outgoing wires: 33
Incoming wires: 10
4. Lock box processing
The Lock box must have a Fort Collins postal address.
The City has a lock box arrangement with its current bank. Items are processed
centrally at the primary bank location and credited directly to the City's account.
Average monthly transaction detail:
Utility lock box payments: 37,000
Sales/ Use tax lock box payments: 3,000
5. Armored Car Courier Service
The City's current banking services includes an armored car courier service that
picks up deposits and receipts on a daily basis. The deposits are taken directly to
the bank and credited to the City's account. A duplicate copy of the deposit ticket is
taken to the City's cashiering department.
Average monthly transaction detail:
Number of City locations requiring service: 22
Number of courier pickups per month: 360
Armored Car Courier Service Stops
Facility
Street Address
Service Frequency
Day of the Week
City Finance Department
215 N. Mason, 2nd Floor
3 times a week
Customer Information
Services
300 S. College Avenue
10 times a week
Municipal Court Office
201 LaPorte Ave.
5 times a week
Parks & Recreation Office
214 N. Howes
5 times a week
Library
201 Peterson Street
5 times a week
Museum
200 Mathews
1 time a week
Friday
Mulberry Pool
424 W. Mulberry
5 times a week
EPIC
1801 Riverside Avenue
5 times a week
Lincoln Center
417 W. Magnolia
5 times a week
Senior Center
1200 Raintree
5 times a week
Cemetery
1900 W. Mountain Ave.
1 time a week
Parks Department
S. Bryan
1 time a week
Collindale Golf
1441 E. Horsetooth Road
7 times a week
City Park Nine Golf
411 S. Bryan Street
7 times a week
Southrid a Golf
5750 S. Lemay Street
7 times a week
TransFort
6570 Portner Road
1 time a week
Parking Office
210 Olive
5 times a week
Parking Garage
102 Remington Street
6 times a week
Smart Trips
235 Mathews
1 time a week
Buildinq Inspection
281 N. College
5 times a week
Engineering
281 N. College
5 times a week
Various Drop Boxes
Located in the City
5 times a week
6. On -Line Services
On-line services will include the ability to review balance reporting for all accounts
(prior day, current position, and lockbox availability), view disbursement account
activity and initiate stop -payments, generate wire and ACH and book and drawdown
transfers, and allow the setup of repetitive transfer templates.
7. Account statements, reports, and account analysis
The bank provides:
• Detailed account statements (hardcopy reports and data files) - Monthly
• Detailed account analysis - Monthly
• CD-ROM containing images of cleared checks- Weekly
• Credit card merchant statement - Monthly
• Faxed copies of ACH returns — as needed
The bank calculates all costs for services that are off -set by an earnings credit from
compensating accounting balances. The account analysis statement depicts costs that are
directly related to the number of transactions (for example, lock box processing, credit card
processing, etc.
8. Paycards
300 to 400 per pay period