Long Beach, CA
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File #: 16-0215    Version: 1 Name: FM - Contract w/Fidelity for City credit card processing
Type: Contract Status: CCIS
File created: 2/19/2016 In control: City Council
On agenda: 3/8/2016 Final action: 3/8/2016
Title: Recommendation to authorize City Manager to execute all documents necessary to amend Contract No. 32391 with Fidelity National Information Services, Inc., for the continuance of credit card processing for City services; increase the contract amount by $276,000, plus a 15 percent contingency of $41,400, for a total amount not to exceed $317,400; and extend the contract term to October 30, 2017. (Citywide)
Sponsors: Financial Management
Indexes: Amendments, Contracts
Attachments: 1. 030816-C-7sr.pdf
Related files: 32391_001, 11-1114, 10-1308, 11-0419, 32391_000, 32391_002, 32391_003
TITLE
Recommendation to authorize City Manager to execute all documents necessary to amend Contract No. 32391 with Fidelity National Information Services, Inc., for the continuance of credit card processing for City services; increase the contract amount by $276,000, plus a 15 percent contingency of $41,400, for a total amount not to exceed $317,400; and extend the contract term to October 30, 2017. (Citywide)

DISCUSSION
On November 8, 2011, the City Council awarded a contract to Fidelity, in an annual amount not to exceed $184,000 for a period of three years, with the option to renew for two additional one-year periods, with an expiration date of April 30, 2016. The contract with Fidelity provides credit card processing for City services. Fidelity charges a transaction fee to customers for credit card payments made by phone and internet, and pays associated bank fees and other expenses. Additionally, Fidelity provides credit card processing services for payments made in-person at City Hall.

City Council approval is requested to authorize the City Manager to execute an amendment to the contract to extend the term to October 30, 2017, during which time the Department of Financial Management will conduct a new procurement to replace this contract prior to its expiration. Fidelity has agreed to hold rates current with no increases for the duration of the extended term. The 18-month time frame is required to ensure that there is adequate time to bid, build, and test the many required system interfaces. The new procurement process will include options that provide the City more flexibility with regard to the assessment and payment of credit card fees.

This matter was reviewed by Deputy City Attorney Amy R. Webber on February 9, 2016 and by Budget Management Officer Victoria Bell on February 19, 2016.

TIMING CONSIDERATIONS
City Council action is requested on March 8, 2016, to ensure there are no service interruptions prior to the award of a new contract.

FIS...

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