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HomeMy WebLinkAbout2020-12-08 - AGENDA REPORTS - CREDIT CARD PROCESSING SERVICES CONTR (2)Agenda Item: 11 DATE: December 8, 2020 SUBJECT: AWARD THREE-YEAR CONTRACT FOR CREDIT CARD MERCHANT AND PROCESSING SERVICES DEPARTMENT: Administrative Services PRESENTER: Brittany Houston RECOMMENDED ACTION City Council: 1. Award a three-year contract to MUFG Union Bank, N.A., for credit card merchant and processing services in the amount not to exceed $170,000 annually. 2. Authorize the City Manager or designee to execute up to two additional one-year renewals in an amount not to exceed $170,000 annually. 3. Authorize the City Manager or designee to execute all contracts and associated documents subject to City Attorney approval. BACKGROUND The City of Santa Clarita (City) processes approximately 50,000 credit and debit card transactions annually for a large array of City services, including development -related fees, recreation and special events fees, transit bus passes, and other miscellaneous charges. These payments are remitted in -person at multiple City facilities and online. In addition, the City accepts and processes payments for special events such as the annual Cowboy Festival. With a goal of ensuring the City is receiving the best credit card merchant and processing services and an interest in implementing new, modernized payment processing services and enhanced user experiences, a Request for Proposals (RFP) was developed. The RFP included a scope of work to ensure new hardware is compliant with federal requirements, able to integrate to City systems, and provides modern payment tools, such as contactless payment options. Further, the RFP incorporated a multiple -criteria scoring process to ensure that the recommended vendor understood the scope of work, provided the most value for the organization, and is Page 1 capable of meeting the City's payment requirements. The following categories were used to evaluate the bid proposals: • Vendor qualifications and experience with similar services • Thoroughness of proposal, approach to providing sound services, and ability to provide services to meet objectives and standards • Hardware and equipment capabilities and compatibility to current City systems • Cost of hardware and equipment, and cost of services provided as well as discounts offered An RFP for credit card merchant and processing services was published and circulated via the BidNet system on August 3, 2020. The RFP was downloaded by 42 companies, with five companies submitting proposals for the City's consideration. The proposals were opened on September 2, 2020, and the results are shown below: COMPANY POINTS MUFG Union Bank, N.A. 88.65 NCR Payments, LLC 87.45 Comprise Technologies, Inc. 75.70 PayIt, LLC 74.50 Lewis Enterprises USA 38.20 The process of scoring the proposal submittals, utilizing the aforementioned criteria, resulted in MUFG Union Bank, N.A. (Union Bank) achieving the highest overall score and being the most qualified to meet the City's current and future needs. The proposal submitted by Union Bank provides the City with modernized hardware and an ability to integrate with the City's systems, while maintaining costs at a reasonable level. ALTERNATIVE ACTION Other action as determined by the City Council. FISCAL IMPACT Adequate funds in the amount of $170,299 are available in Treasury Credit Card Processing expenditure account 12102-5161.032 to provide for the contract. Page 2