TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Agreement No. 32497 with Union Bank, N.A., of San Diego, CA , for banking and cash management services, to add three one-year renewal options, at the discretion of the City Manager. (Citywide)
DISCUSSION
City Council authorization is requested to amend Agreement No. 32497 with Union Bank, N.A., to add three one-year renewal options.
On July 12, 2011, the City Council awarded a contract to Union Bank, N.A. (Union Bank), to provide banking services to the City of Long Beach (City) for a three-year fixed period, with seven one-year optional extensions, at the rate not to exceed $275,000 or charges shown in Exhibit “C” of the contract expiring on August 31, 2021. Union Bank was engaged for integrated citywide banking and cash management depository and disbursement services across all City accounts. The integration enhances the monitoring and controls over all monetary instruments including electronic funds transfer (EFT), checks, coin and currency, as well as onsite ATM operations at three City-designated locations.
Following the City’s emergency declaration related to the COVID-19 pandemic on March 4, 2020 and its resurgence, the demand on City resources has been exponential. Considering the impact and continued demands of the ongoing pandemic on the City’s limited resources, the intricacies of the City’s integrated banking services, and uninterrupted vendor support of the LB COAST implementation, it would be prudent for the City to extend the original contract to ensure continuity of services while continuing to respond to the public emergency.
The addition of three optional one-year extensions will ensure continuity in banking services, and will allow for a stable banking platform supported by an experienced banking vendor to facilitate the implementation of the new payroll system. The additional extensions will maximize the opportunity to initiate a Re...
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