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.
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PREPARED AND APPROVED BY:
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ROBERT F. CGARR
CHIEF DEPUTY CITY ATTORNEY
APPROV AS O FORM AND CORRECTNESS:
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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
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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.
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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.
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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.
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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.
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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.
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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).
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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.
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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.
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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)
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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
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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
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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
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