CITY MANAGER AUTHORITY PROCUREMENT AWARDS
ACTION REQUESTED:
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Approve the award of Change Order #1 to the first two-year extension to Contract 13-025A, Depository Banking Services, to BMO Harris for an additional 21 days
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DEPARTMENT: Finance Department
SUBMITTED BY: Rachel Mayer, Director
BACKGROUND:
The City of Naperville retains the services of a commercial banking institution to provide depository banking services. In February 2013, City Council approved the award of Contract 13-025A for a five-year term with consideration for two, two-year options to extend. The first extension was approved in August 2018 for a 16-month term in order to align the contract end date with the fiscal year end. The first option year ended on December 31, 2019.
DISCUSSION:
A change order is requested to extend the first extension 21 days so the end date is January 21, 2020.
In Summer 2019, City staff and BMO Harris had initial conversations about executing the second two-year extension to Contract 13-025A. As a follow up to the conversation, City staff contacted BMO Harris in October 2019 to formally request a proposal for an extension. BMO Harris did not provide the Finance Department with a formal proposal response until mid-December. Staff determined it would be better to wait to award the second extension until the first City Council meeting in 2020, so the extension proposal could be properly reviewed. As a result, the approval of a 21-day extension is required to continue the first extension until the City Council can award the second extension at the January 21, 2020 City Council meeting.
To date, approximately $288,000 of the $325,000 award for the first extension has been expended, leaving $37,000 available. No additional funds are requested as part of this change order.
FISCAL IMPACT:
CIP#: N/A
Depository banking services are expensed to the financial services account listed below. A total of $232,733 is budgeted for financial services in 2020. The req...
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