Placement: Consent Agenda
Action Requested: Motion / Vote
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Approval to Participate in the Arlington County, Virginia Contract #21-DTS-RFP-580 for Merchant Services (Credit Card Processing).
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Submitted By: Othniel Beauzyl, Procurement Agent I, PMD.
Strategic Plan Link: The City's Goal of a high-performing city government organization.
Summary Brief (Agreements/Contracts only)
1. Prepared by: Othniel Beauzyl, Procurement Agent I, PMD.
2. Parties: City of Port St. Lucie and JPMorgan Chase Bank.
3. Purpose: To provide the City Merchant Services (Digital Bill Payment Solution).
4. New/Renewal/Modified: New.
5. Duration: The initial term of this contract is 05/09/2022 through 05/08/2023, with four (4) one (1) year renewal periods.
6. Benefits to Port St. Lucie: By securing JPMorgan Chase as a new vendor for merchant services, the City is expected to save $1.2 million annually in credit card processing fees.
7. Cost to Port St. Lucie (Annual and Potential): $0 annually
Presentation Information: N/A
Staff Recommendation: Move that the Council waive bidding, per Chapter 35.04(c), good cause shown, and approve participating in the Arlington County, Virginia Contract #21-DTS-RFP-580 for Merchant Services (Credit Card Processing) with JPMorgan Chase Bank.
Alternate Recommendations:
1. Move that the Council amend the recommendation and approve participating in the Arlington County, Virginia Contract #21-DTS-RFP-580.
2. Move that the Council not approve participating in the Arlington County, Virginia Contract #21-DTS-RFP-580 and provide staff with direction.
Background: The Building Department currently absorbs all costs associated with the collection of electronic payments for permits, contractor licenses, and related fees. Costs for these services, charged by the third-party merchant, exceed one million dollars annually and are covered by the operating budget of the Building Department. Per Florida Statute Section 215.322(5), a municipality is allowed to accept payment via credit cards and to surcharge the credit card user an amount sufficient to pay the service fee charged by the financial institution.
JPMorgan Chase will assess a service fee of approximately 2.5% on all Building related credit and debit transactions. This service fee is consistent with similar entities and ensures costs associated with this convenience are absorbed by the customers utilizing the convenience. Options such as e-check will be available at a flat fee of less than $1.00 allowing online payment alternatives without the 2.5% service fee.
Issues/Analysis: Staff has reviewed the Arlington County, Virginia contract and finds that it meets the needs of the City and meets the requirements of the City’s procurement ordinance.
Financial Information: Funds are appropriated in General Fund/ Credit Card Processing (#001 1900 549988 0000).
Special Consideration: N/A
Location of Project: Various locations throughout the City.
Attachments: 1) 20220119-05 Signed Piggyback Agreement
2) Response Appendices
3) Payment Price Schedule
4) Enterprise Payment Solution Technical Proposal to Arlington County
5) Attachment C- Cost Proposal
6) Attachment B- Information Governance Questionnaire Matrix
7) Attachment A- Revised Specifications
8) Executed Agreement 21-DTS-RFP-580 Enterprise Payment Solution
9) Consolidated Scoring Sheet-2
10) Consolidated Scoring Sheet-1
11) Award Notice
12) 21-DTS-RFP-580 Recommendation for Negotiation
13) 21-DTS-RFP-580 Enterprise Payment Solution
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: 9050
Legal Sufficiency Review:
Reviewed by Ella M. Gilbert, Senior Deputy City Attorney. Approved as to Legal form and sufficiency by James D. Stokes, City Attorney.