STRATEGIC PRIORITY: Government Performance and Financial Management
AGENDA DATE: September 23, 2020
COUNCIL DISTRICT(S): All
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Elizabeth Reich
______________________________________________________________________
SUBJECT
Title
Authorize a five-year service price agreement for merchant credit card processing services with JP Morgan Chase Bank through an Interlocal Agreement with the North Texas Tollway Authority - Fees not to exceed the attached fee schedule - Financing: General Fund (subject to annual appropriations) (see Fiscal Information)
Body
BACKGROUND
This service price agreement will provide ongoing credit card payment processing services (merchant services) for the City. Services include processing payments received by interactive voice response, in person, and by internet-based payment processing. The fee schedule included in this agreement will be fixed for five years, but the total amount paid by the City will vary depending on specific services and usage.
The current merchant credit card processing service contract with Bank of America Merchant Services, LLC expires on October 31, 2020, with a subsequent ninety-day transition period wherein the vendor can continue to provide services to the City, as stated in the contract, with City Council approval.
The Interlocal Agreement with the North Texas Tollway Authority is authorized by Chapter 791 of the Texas Government Code and Subchapter F, Chapter 271, Texas Local Government Code. Section 271.102 of the Texas Local Government Code authorizes a local government to participate in a Cooperative Purchasing Program with another local government or a local cooperative organization.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On October 14, 2009, City Council authorized a five-year service contract for depository services with Bank of America, N.A. by Resolution No. 09-2549.
The Budget, Finance and Audit Committee was briefed on the depository services contract on November 3, 2014.
On November 12, 2014, City Council authorized a contract for depository and lockbox services for five years, including the extension and consolidation for nine months of merchant services as currently provided with Bank of America, N.A by Resolution No. 14-1886.
Information about this item was provided to the Budget, Finance and Audit Committee on August 17, 2015.
On October 28, 2015, City Council authorized a five-year service contract to establish a master agreement for merchant credit card processing services with Bank of America Merchant Services, LLC by Resolution No. 15-2006.
FISCAL INFORMATION
General Fund (subject to annual appropriations) The fees would be charged according to the attached schedule. Fees would be directly offset by revenue.
M/WBE INFORMATION
In accordance with the City’s Business Inclusion and Development Plan adopted on October 22, 2008, by Resolution No. 08-2826, as amended, the M/WBE participation on this contract is as follows:
|
Contract Amount |
Category |
M/WBE Goal |
M/WBE % |
M/WBE $ |
|
$0.00 |
Interlocal Agreement |
N/A |
N/A |
N/A |
|
• The Business Inclusion and Development Plan does not apply to Interlocal Agreements |
|
• JP Morgan Chase Bank - Non-Local; Workforce - 4.67% Local |
PROCUREMENT INFORMATION
Method of Evaluation for Award Type:
|
Interlocal Agreement/ Intergovernmental Agreement |
• Interlocal agreements/intergovernmental agreements allow the City to take advantage of competitively bid contracts by a State agency or local government and enable the City to purchase goods or services at lower prices |
|
|
• Interlocal agreements/intergovernmental agreements are an alternative method of meeting the requirements for competitive bidding or competitive sealed proposals, not an exception from that requirement |
OWNER
JP Morgan Chase Bank
Brenda Pollard, Executive Director
Matthew P. Leman, Head of Relationship Management, Merchant Services Wholesale Payments