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HomeMy WebLinkAboutR-88-0042.1J-88-56 1/12/88 RESOLUTION NO. A RESOLUTION AUTHORIZING THE DIRECTOR OF FINANCE TO DISTRIBUTE AND ADVERTISE THE ATTACHED REQUEST FOR PROPOSALS (RFP) (ATTACHMENT A) FOR THE PROVISION OF BANKING SERVICES FOR A THREE-YEAR PERIOD AND APPOINTING A COMMITTEE TO EVALUATE THE SUBMITTED PROPOSALS. WHEREAS, Section 18-2 of the City of Miami Code authorizes and directs the Director of Finance to request bid quotations from Federal and State Chartered Banks located within the City for the provision of banking services for a three year period; and WHEREAS, it is in order at this time to procure a contract for a three year period; and WHEREAS, it is in the City's best interest to have a Committee review and evaluate the responses to the City's RFP based upon the criteria as described in the RFP; and WHEREAS, said Selection Committee (Attachment B) will, subsequent to the review and evaluation of the submitted proposals, make a report to the City Manager of their ranking of proposers; and WHEREAS, the City Manager will make a recommendation to the City Commission regarding the Banking Service Provider; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The Director of Finance is hereby authorized to distribute and advertise the attached Request for Proposal (RFP) (Attachment A) for the provision of banking services for a three year period. Section 2. The Committee for the review and evaluation of submitted proposals as listed in Attachment B to this Resolution are hereby appointed. PASSED AND ADOPTED this 14th day of January , 1988. ATTE . XAVIE . SUAREZ ..I _ M A Y 0 R IRAI, CITY CLERK PREPARED AND APPROVED BY: ROBERT F. CLARK CHIEF DEPUTY CITY ATTORNEY AS AO FORM AND CORRECTNESS: LOCIA A. DOUG CITY ATTORNEY NOTE: Motion 88-42 was also adopted pertaining to this Resolution. - 2- 198742 1 PREPARED AND APPROVED BY: zce!!�f X. l ROBERT F. CGARR CHIEF DEPUTY CITY ATTORNEY APPROV AS O FORM AND CORRECTNESS: wa.ira me uvvv CITY ATTORNEY NOTE: Motion 88-42 was also adopted pertaining to this Resolution. Attachment A CITY OF MIAMI REQUESTS FOR PROPOSALS FOR BANKING SERVICES FOR THE CITY OF MIAMI, FLORIDA Table of Contents I. Introduction PAGE A. General Information 2 B. Instructions 2 C. Selection Criteria 5 D. Terms and Conditions 6 E. Minority Participation/ Affirmative Action 7 II. SCOPE OF BANKING SERVICES A. General 8 B. Main Depository Account 8 C. Main Operating Account 9 D. Payroll Account 9 E. Workers' Compensation Account 10 F. Computerized Services 10 G. Statement and Advice Frequency 11 III. Bidding A. Explanation of Bid Form it B. Service Charge Calculation - Variable Bid 11 C. Compensating Balance - Fixed Bid 13 D. Price List 13 IV. EXHIBITS EXHIBIT I - Bid Form EXHIBIT II - Bid Calendar - 1 - 88-42.1 ,% I. INTRODUCTION A. General Information The City of Miami, by way of this document, requests proposals and competitive quotations of prices to provide the banking services as specified herein, for a period of three years. To be eligible to submit a bid and proposal for consider- ation by the City, the Bank must be: 1. On the list of Certified Public Depositories as designated by the Office of the State Treasurer and as required by the Florida Security for Public Deposits Act, Chapter 280, Florida Statutes. 2. Located within the territorial limits of the City of Miami, Florida. 3. A member of the Federal Reserve System. 4. An originating Depository Financial Institution authorized by the Federal Reserve to originate direct deposit. If any bank is in doubt as to whether it meets the above stated eligibility requirements, the Bank should submit a written inquiry to Carlos E. Garcia, Director of Finance, City of Miami, P.O. Box 330708, Miami, Florida 33233-0708. B. Instructions Bidders are requested to provide the following information: 1. Enclosed Bid Form must be used. If an individual banking service account is bid on, then the bid will be assumed to meet or exceed the requirements as stated. If a requirement can not be met by the bidder, then the phrase "NO BID" should be entered on the bid form for that service account. In the case of a "NO BID" remark, the bidder may offer an alternative service. - 2 - 199 -42.1 Bidders may choose to bid on one, combinations, or all of the accounts as described in this Request for Proposals. Multiple bids and alternate proposals may be submitted by proposers. All bids must be submitted in sealed envelopes bearing on the outside the name of the bidder, the address, the title of the proposal, and the words "City of Miami Banking Services." It is the sole responsibility of the bidder to ensure that the bid arrives on time at the right place. The bid must be signed in the name of the bidder and must bear the signature in longhand of the person or persons duly authorized to sign the bid. The name, office address, and office telephone number of the point of contact must be clearly identified. 2. Audited financial statements for the last two years. 3. Names and titles of personnel who would be assigned to service the City's accounts. 4. Provisions for complying with the City's Minority Procurement Ordinance, attached to this document as Exhibit A, including the bank's Affirmative Action plan and actual employment statistics for last two years and including separate employment information for: a) Officers b) Non -officers c) Blacks d) Hispanics e) Female employees 5. Evidence of compliance with the provisions of the Federal Community Reinvestment Act by documenting the following factors: A. Investment policy statement adopted or promulgated by your institution in relation to low income areas of the City, particularly Black and Hispanic areas. - 3 - 88-42•i 1W LI B. Percentage of your institutional investments in low income areas of the City and/or County; if possible, this percentage is to be broken down by type of investment, such as construction loans, mortgages, commercial lines of credit and consumer credit. C. Any other pertinent information that supports your institution's compliance with the Federal Reinvestment Act or other applicable legislation related to investments in areas of low income. 6. Evidence of participating in City -sponsored projects and/or programs to further the goals of the City Commission, such as: • Southeast Overtown/Park West Redevelopment Project. . Bayside Minority Business Program. Completed bid forms and proposals together with seven (7) copies are to be returned by competing bidders no later than February 5, 1988. Submitted in person to the: City of Miami Office of the City Clerk P. 0. Box 330708 Miami, Florida 33233-0708 or else, mailed to that office at P.O. Box 330708, Miami, Florida 33233-0708, by the same date and time. All bids must be open for 60 days. A prospective Bidders Conference will be held on January 15, 1988, at 10:00 a.m., at the first floor "Committee of the Whole" conference room, City of Miami, City Hall, 3500 Pan American Drive, Miami, Florida. Questions relating to these specifications will be answered at that time. All bidders must register at this time if they wish to be on the mailing list for further questions and answers. - 4 - 1W C. Selection Criteria The evaluation process will consist of the following criteria: 1. Completeness of proposal as specified in Section II. 2. Proposed prices per unit and/or compensating balances required. 3. Willingness and capability to meet required services. 4. Compliance with the City's Minority Procurement Ordinance, Attachment A, including the Bank's Affirmative Action Policy and performance as attested by the Bank's employment practices. 5. Compliance with the provisions of the Federal Community Reinvestment Act. 6. Participation in City -sponsored projects and/or programs. The relative importance of the above criteria will be determined by the Evaluation Team prior to their final ranking of the bids and proposals. The Evaluation Team may request a nearing or hearings with any or all of the proposers to formulate plans in greater detail, or to clarify unclear areas. Prices of items bid or the amounts that are to be received for a new price will not be raised or lowered during these hearings, although the total price of the contract (s) will be affected by modifications in service requirements. �{ Any time during these hearings, the Evaluation Team may choose to s modify its choice of a selected bidder or bidders, if such a change or such changes are determined to be in the best interest of the City. A tentative contract or contracts will be formulated as a result of these hearings. Subsequent award of contract, or contracts, by the City Commission will be final and contract signing will follow. -i _r —f 5 - - V e D. Terms and Conditions 1. The City reserves the right to reject any or all bids, to waive any irregularities or informality in any bids or in the bidding, and to accept or reject any item or combination of items. The award of bid, if made by the City of Miami, will be to the previously qualified bidder(s) whose bid best complies with all the requirements set for in the bid document. In the event that the bidder(s) to whom the bid is awarded does not execute a contract within thirty (30) days after the award of bid, the City may give notice to such bidder of intent to award the bid to the next most qualified bidder, or to call for new bids, and may proceed to act accordingly. The bid form indicates the number of transactions anticipated based upon the prior years account activity, and although this is the City's best estimate of volume, the City is in no way guaranteeing these minimum volumes; however, the City will make adjustments to the compensating balance based upon the per item cost if transactions substantially change from the estimates contained therein. 2. Bidders should thoroughly examine and be familiar with these specifications. The failure or omission of any bidder to receive or examine this document shall in no way relieve any bidder of obligations with respect to this bid or the subsequent contract. The submission of a bid shall be taken as evidence of compliance with this paragraph. 3. Deviations from the services requirement may, at the discretion of the Review Committee, result in the rejection of the bid as not being responsive to this RFP. - 6 - 198--4,2• 1 4. The City reserves the right to establish demand deposit accounts in other banks or receive the same or different services from other banks as needed to conduct City business. 5. Under the Florida Public Records Act and the Florida "Sunshine" laws, all bid and proposal materials, the results of the City's evaluation, and the proceedings of the subsequent contract negotiations are all open to public inspection. Banks should take special note of this as it relates to any proprietary information that might be included in their bid and proposal package. E. Minority Participation/Affirmative Action City of Miami Ordinance No. 10062, "The Minority and Women Business Affairs and the Procurement Ordinance of the City of Miami, Florida" sets forth a goal of awarding at least 51% of the City's annual expenditures to businesses owned by Blacks (17%), Hispanics (17%), and Women (17%). Additionally, the bidder must agree that there will be no discrimination as to race, color, creed, or national origin in regards to its obligations, work and services performed under the terms of this contract. In addition, the bidder must state the extent to which minorities will be represented in fulfilling this contract should it be awarded to the bidder. Attached as Exhibit A, to this RFP, is a copy of City Ordinance No. 10062. The bidders, by submitting a response to this procurement request, agree to comply with Executive Order No. 11246 entitled "Equal Employment Opportunity" as amended by Executive Order No. 11375, as supplemented by the Department of Labor Regulations (41CFR, Pat 60). - 7 - FIS-642-t V 4r The bidder also agrees to present an affirmative action plan that declares nondiscrimination on the basis of race, color, religion, creed, national origin, sex or age, and that specifies target goals and target dates to assure implementation of that plan. II. SCOPE OF BANKING SERVICES A. General: The banking services detailed in this section are to be performed for the City on a contractual basis for three years. The Evaluation Team may choose a single bank or split up these services among several banks if it would be more responsive to the City requirements. B. Main Depository Account: City funds collected daily will be deposited in this account the same day. Checks deposited will be available the next day if deposited in the bank by the time of day the bank normally closes its transactions for the day, which is currently 2:00 p.m., except for State Treasurer checks and Dade County checks in excess of $100,000 drawn against local banks delivered before noon. These items will have same day availability. Disbursement of funds in this account will be made by: 1. Internal bank transfers. 2. Wire transfers per City of Miami instructions. Each transaction will be shown on the statements individually, i.e., no summing or netting of transact- ions. All deposit credit transactions will have a reference number. Other services provided under the Main Depository Account are as follows: Investments - Safekeeping Agent: The awarded bank must make arrangements with a New York City Bank to take delivery of securities on certain transactions. - 8 - 89-42.1 4P, r- The custodian, on investment purchases, would not release monies until the security has been safekept; and conversely, on investment sales, securities would not be released until monies had been received. Payroll Deductions: The Bank will purchase on behalf of City employees, approximately 200 United States Series EE Savings Bonds (or subsequent Series Bonds) per pay period, purchased through the City's payroll deduction plan. Such bonds shall be issued and mailed by the Bank directly to the employee without charge. The City will furnish the Bank a magnetic character computer tape in a form acceptable to the Federal Reserve Bank for the Bonds to be issued each payday, accompanied by the City's check payable to the Bank. The Bank agrees to transfer to the Federal Reserve Bank, immediately upon receipt of said check, the amount of the Savings Bond purchase. In cases of multiple beneficiaries, the bank will keep track of issuing sequence. C. Main Operating Account: The City's main operating demand deposit account will be a checking account. The City will issue checks for payment to the drawing bank. Approximately 2,600 checks amounting to $8,700,000, will be issued monthly. D. Payroll Account: The City is currently on a biweekly payroll basis paying every other Thursday/Friday for some 4,500 employees. Net pay amounts to approximately $2,850,000 biweekly. It is the intent of the City to continue with this payroll system; however, mainly due to employee union contracts, this system may change. There will be no charge to City employees for paycheck cashing services. - 9 - HS-42.1 The Bank should be able to implement a direct deposit payroll system if the City so desires for all City employees to all bank locations in the South Florida Federal Reserve District. The City would provide a payroll tape for use by the Federal Reserve. The Federal Reserve would process the tape creating a direct deposit to each employee's account. E. Workers' Compensation Account: This account would be exclusively used for paying Workers' Compensation claims. Payments are every Friday; and at this writing, amount to approximately 200 checks per week with a total dollar amount of $28,000 per week. F. Computerized Services: All demand and time deposit accounts maintained must be computerized so that reconciliation can be performed and so that balances are know by 9:00 a.m. daily. At the discretion of the City, the Bank may be required to perform monthly account reconciliations. Alternatively, the City will receive on high volume accounts, principally the Main Operating Demand Deposit Account, the Workers' Compensation Demand Deposit Account, and the Payroll Demand Deposit Account, a magnetic tape of paid items must contain all checks paid during the month with details for each item: Paid date Check Number Amount Paid The magnetic tape should be 1600BPI, unlabeled, with an 80- character record size and blocking factor of 50. The layout of the required information is: Character Column Description From To 1 6 Clear date (YYMMDD) 7 15 Bank account number (same as recorded in MICR on checks) 16 21 Check number 30 39 Amount (Pennies in 38 & 39) - 10 - 88-42.1 This information should be in EBCDIC format. All paid checks must be returned in check number sequence on all demand deposit accounts. G. Statement and Advice Frequency: All advices affecting a debit or credit memo type transaction must be produced daily and mailed to the City. Statements on all bank accounts will be produced monthly, except for Main Depository account where statements must be produced on a daily basis and held for City pickup. III. Bidding: A. Explanation of Bid Form The blank bid form (Exhibit 1) or copy thereof is required of all bidders. No bid will be considered without bid amounts being placed on this form. If the bidding bank is unable to meet or exceed the requirements as specified, then the wording "NO BID" should be placed in the extension column. Under the VARIABLE bid method, actual monthly services will be counted and the volume of transactions will be computed to determine the compensating balance required. Under the FIXED bid method, the compensating balance bid will be a minimum average balance guaranteed by the City of Miami throughout the three-year contract. All bids are final. It is the prerogative of the Evaluation Team to eliminate any service bid on, if in their opinion the fees for providing these services are excessive; or it administratively the bidded service could be performed an alternative way. It is also up to the discretion of the Evaluation Team to split up the banking services among several banks, or withhold awarding some of the services if in the best interest of the City. B. Service Charge Calculation - Variable Bid Only Monthly, the awarded bank(s) will prepare a billing for services rendered. This billing must be presented in a format similar to the bidding form with a total for all the service charges for the month. 138-42.1 The total service charges thereby evaluated will then be converted to a "Balance Required to Support Service." This balance will be calculated by dividing the total service charges incurred by the monthly average yield on 13-week Treasury Bills issued during that month. A simple monthly average of new Treasury Bill issues, the Tuesday Wall Street Journal published average discount rate would be used as the earning factor. For example's sake, the newly issued Treasury Bills dated the first Thursday in December 1987 were as follows: Average Discount Rate of 13-Week Bills 5.74 6.01 5.70 5.75 23.20 Total 5.80 Average Date of Issue 11/09/87 11/16/87 11/23/87 11/30/87 And therefore, the earnings factor for conversion of service charges to compensating balances for December 1987, would be 5.80%. Example of calculation Charge for Services Average Daily Collected Balance Earning Factor (see above) Balance Required (6,000 -.0580 x 360 - 30) Average Daily Collected Bal ante $ 6,000.00 19250,000.00 .0580 1,250,000.00 Balance Required 1,241,379.31 Difference 8,620.69 Times the Earning Factor (.0580 x 30 - 360) .0048 Earning Credit $ 41.38 - 12 - 13e-42.1 The actual average daily collected balance of all non -interest bearing accounts would be calculated and compared to the amount of compensating balances required. The monthly calculation would enable the City to adjust upward or downward its uninvested funds. A maximum of one (1) working day will be permitted for uncollected balances. However, State Treasury Checks and Dade County checks drawn on local banks in excess of $100,000 would be made good on the day of deposit when received by 12:00 noon. There is no provision for Federal Reserve Requirements. C. Compensating Balance - Fixed Bid: If the award is based on a fixed bid basis, the City will guarantee a minimum average daily balance in uninvested deposits of the bidded amount over a three year period. Within each year of the contract period, the City will guarantee a minimum actual average daily balance equal to the bidded compensating balance required. D. Price List: Bidders for the main depository account should provide a comprehensive "List of Service Prices". This list will be considered all-inclusive and the prices shown on the list will be valid for the entire length of the bank services contract. BID CALENDAR RFP Issue Date Pre -Bid Conference Bid Submission Date and Time City Commission Awards Contract Execution of Bank Agreement - 14 - EXHIBIT II = DATE December 31, 1988 January 15, 1988 February 5, 1988 3/10/88 Commission Meeting March 31, 1988 l96�42!• 1 Attachment B REQUEST FOR PROPOSALS FOR BANKING SERVICES SELECTION COMMITTEE MEMBERS Garth Reeves, Publisher, Miami Times E. Evonne Raglin, President b CEO, YMCA of Greater Miami Diane Cook, Treasurer, University of Miami Waldemar Lee, Exec. Ass't. to the City Manager Carlos E. Garcia, Director of Finance 198-4a • i 60 CITY OF MIAMI. FLORIDA INTER -OFFICE MEMORANDUM TO. Honorable Mayor and Members DATE: FILE: of the City Commission �fi�� �n.,� 35 SueJECT: Agenda Item - Commission Meeting of January 14, 1988 FROM: REFERENCES Banking Services Request Cesar H. Odio for Proposals and Appoint - City Manager EIY"°su""inent of Selection Committee RECOMMENDATION: It is respectfully recommended that the attached Resolution, approving and authorizing the advertisement and distribution of a Request for Proposals (RFP) for the provision of Banking Services as required by the City and appointing a Selection Committee to review and evaluate submitted, qualified proposals, be approved. BACKGROUND: The City Code requires the Director of Finance to competitively request bid quotations from Federal and State Chartered Banks located within the City for the provision of banking services for a three year period. The existing banking contract is due to expire. The form of the Request for Proposals and the proposed membership of the Committee are provided as attachments to the agenda item. cc: Law Department 35-1 88-4�,1