Agenda 09/09/2014 Item # 13B 9/9/2014 13.B.
EXECUTIVE SUMMARY
Recommend the Board of County Commissioners (Board) review the results of the Clerk's
Request for Proposal(RFP)2014-001 for Banking Services and approve the contract.
OBJECTIVE: That the Board of County Commissioners (Board) review the results of the Clerk's
Request for Proposal (RFP) 2014-001 for Banking Services and approve the contract.
CONSIDERATIONS: The Clerk of Courts is a separately elected Constitutional Officer. The Clerk
is the Accountant, Auditor, Keeper of Court and Public Records as well as Custodian of Funds.
In this capacity, the Clerk has historically handled countywide banking services for the Board
Agency,Supervisor of Elections(by agreement)and the Clerk's Agency.
In developing RFP 2014-001 for Banking Services, Finance staff worked with County staff in
various user departments, including Utilities, Parks and Recreation and Emergency Medical
Services specifically, to insure that the RFP included, or maintained, services that departments
may need.
The County currently retains several arrangements for banking related services outside of the
general services provided under the Clerk's agreement for Banking Services. Joint goals have
previously promoted consolidation of banking services when and where possible for
streamlining, cost effectiveness and overall convenience. Regular joint County and Clerk staff
meetings are held with the current Banking Services provider to insure the best overall solution
for participants.
The responses to solicitation 2014-001, issued on May 12th, 2014, were reviewed by a selection
committee, ranked and a recommendation was made to the Clerk. The Clerk has awarded the
Banking Services agreement to First Florida Integrity Bank (First Integrity), effective November
1, 2014,subject to agreement/approval of the Board.
FISCAL IMPACT: First Integrity proposed a fixed cost of $360,000 for the life of the five year
contract, while the other three proposers based their cost proposals on banking transaction
activity levels. There are no costs associated with the First Integrity proposal for FY2015 . The
next lowest cost proposer (Fifth Third Bank) generated an estimated cost of $1,008,874 over
the five year life of the contract. The other banks' calculations were based upon per item cost
proposals for average actual transaction volumes. First Integrity's proposal is an estimated
cost savings to the taxpayer of$648,874 over the 5 year contract life.
RECOMMENDATION: That the Board review contract and engage in discussions with the Clerk
if necessary and approve the contract. •
PREPARED BY: Clerk of Courts Agency
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COLLIER COUNTY
Board of County Commissioners
Item Number: 13.13.B.
Item Summary: Recommend the Board of County Commissioners (Board) review the
results of the Clerk's Request for Proposal (RFP) 2014-001 for Banking Services and approve the
contract.
Meeting Date: 9/9/2014
Prepared By
Name: JohnssenDerek
Title:Assistant Finance Director
9/3/2014 9:38:11 AM
Submitted by
Title:Assistant Finance Director
Name: JohnssenDerek
9/3/2014 9:38:12 AM
Approved By
Name: KinzelCrystal
Date: 9/3/2014 10:24:32 AM
Name: IsacksonMark
Title:Director-Corp Financial and Mngmt Svs, Office of Management&Budget
Date: 9/3/2014 10:43:00 AM
Name: KlatzkowJeff
Title: County Attorney,
Date: 9/3/2014 11:00:24 AM
Name: OchsLeo
Title: County Manager,County Managers Office
Date: 9/3/2014 11:30:42 AM
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Contract Number 2014-001
MASTER BANKING SERVICES AGREEMENT
The Master Banking Services Agreement ("Agreement") is entered into as of the 1n day of November,
2014 by and between the Clerk and Comptroller, Collier County, Florida ("Clerk") and First Florida
Integrity Bank ("Bank"). The Collier County Board of County Commissioners will hereinafter be referred
to as the("Board").
Recitals
WHEREAS, Clerk has requested that Bank provide certain banking and treasury management services
(collectively,the"Banking Services")to the Clerk;and
WHEREAS, Bank has agreed to provide the Services to the Clerk and Clerk has agreed to accept the
Banking Services, upon the terms and conditions set forth in this Agreement.
NOW, THEREFORE, in consideration of the foregoing premises and other good and valuable
consideration, the receipt and adequacy of which are hereby acknowledged, the Clerk and the Bank
hereby covenant and agree as follows:
Section 1. Purpose and Effect of this Agreement:
Delineation of Banking Services
The banking services to be provided to the Clerk by the Bank shall consist of:
(a) Each of the specific requirements, terms and conditions set forth in the Request for
Proposal (RFP) 2014-001 Banking Services (Exhibit A) dated May 12, 2014 which RFP is
hereby incorporated by reference in its entirety;and
(b) Each of the services, terms and conditions set forth in the Proposal (Exhibit B) dated
June 13,2014,which Proposal is hereby incorporated herein by reference in its entirety;
and
(c) Each of the terms,conditions and provisions of the specific banking service agreements
provided for in the Exhibits detailed in Section 14 inclusive, hereinafter collectively
referred to as the"Exhibits,"which are attached hereto and made a part hereof. Unless
the context requires otherwise,all references to this"Agreement,"and use of the terms
"herein," "hereby," "hereof," "hereto," "hereunder" and the like shall be deemed to
include the RFP,the Proposal and this Agreement.
Section 2. Controlling Provisions
Except as otherwise specifically provided in Section 6 hereof, in the event of any conflict
between the specific provisions of this Agreement or any of the Exhibits hereto, on the one
hand, and the requirements or provisions of the RFP and/or Proposal, on the other hand, the
requirements or provisions of the written Agreement shall control. Wherever possible, the
provisions of all documents shall be construed in such a manner as to avoid conflicts between
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provisions of the various documents. It is the intention of the parties that the Exhibits hereto set
forth the day-to-day operational procedures to be complied with in connection with the Clerk's
ordering of and the Bank's provision of specific banking services covered by the Proposal. In that
connection,the parties hereby acknowledge and agree that, in the event that the Clerk elects to
utilize any banking services not specifically set forth in the Proposal, or in the event that the
Bank,in the normal course of its business,develops specific service agreements in the future for
banking services requested by the Clerk in addition to those covered by the Exhibits hereto,the
parties will execute specific service agreements with respect thereto. Such agreements shall be
consistent with the terms and provisions of the RFP, the Proposal and this Agreement, and in
form and substance reasonably acceptable to the parties, and such agreements shall be deemed
to be a part of and subject to this Master Banking Services Agreement,whether or not so stated
in such service agreement.
Section 3. Services to be Rendered
The Clerk may deem that a reasonable number of additional demand deposit accounts or time
deposit accounts with the Bank will operate under service specifications at no cost to the Clerk.
All banking services and online services proposed, as specified in Exhibit B of this Agreement,
shall be available at commencement of contract.
The Clerk reserves the right to segregate merchant services, retail and wholesale lockbox
(Lockbox) and other associated electronic services related to merchant services and Lockbox
initially, or with sixty (60) days written notice to the Bank at any time during the term of this
Agreement. Any segregation of services shall be reflected in a corresponding decrease in the
monthly fee as specified in Exhibit C of this agreement. The Board shall have the right to
independently enter into a separate agreement with the Bank for provision of any of the
banking services specified in Exhibit B of this agreement at any time during the term of this
Agreement.
Section 4. Payment for Services
Subsequent to the first year of service, which is without charge, general banking and custodial
fees shall be billed on a monthly basis pursuant to Exhibit C and shall be paid in accordance with
Florida's Prompt Payment Act, Florida Statute 218.74. Payment for merchant services, or any
additional services agreed upon,shall be billed on a monthly basis with sufficient detail to allow
the Clerk to assess services used and paid in accordance with Florida's Prompt Payment Act,
Florida Statute 218.74. In no event shall the fee for general banking services and custodial
services exceed $7,500 per month, excluding merchant services, for the initial term of the
contract.
Section 5. Interest Rate Paid on Collected Balances
All balances available for overnight investment shall earn interest as indicated by the formula in
Section III, Scope of Banking Services of the RFP at 95% of Daily Effective Federal Funds. The
interest rate on available balances will never fall below 25 basis points. The Bank reserves the
right to offer a more favorable interest earnings rate, provided that the interest rate on
available balances shall never fall below 95%of Daily Effective Federal Funds or 25 basis points,
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whichever Is greater. All balances in excess of the $250,000 Federal Deposit Insurance
Corporation (FDIC)insurance shall be collateralized by the Bank in accordance with all applicable
Florida laws. Statements shall be provided on a monthly basis.
Section 6. Representations.Warranties and Covenants
(a) The Bank hereby represents and warrants to the Clerk that it has full power and
authority to enter into this Agreement and fully perform its obligations hereunder
without the need for any further corporate or governmental consents or approvals, and
that the persons executing this Agreement are authorized to execute and deliver it.
Assuming the due authorization, execution, delivery, legality and enforceability hereof
by or against the Clerk when executed and delivered by the parties,this Agreement will
constitute a valid and binding agreement of the Bank, enforceable against it in
accordance with its terms,subject only to the application of general principles of equity
and limitations arising from bankruptcy, insolvency, moratorium and other similar laws
affecting the rights of creditors generally.
(b) The Bank has not employed or retained any person employed by the Clerk to solicit or
secure this Agreement and it has not offered to pay, paid, or agreed to pay any person
employed by the Clerk any fee, commission percentage, brokerage fee, or gift of any
kind contingent upon or resulting from the award of this Agreement.
(c) The Bank is aware of the conflict of interest,and ethics laws,of the ordinances of Collier
County and rules and regulations of the Clerk,and of the State of Florida,and covenants
that the Bank will fully comply in all material respects with the terms of said laws,
ordinances,rules and regulations.
(d) When executed by all parties, including the Board, and delivered by the parties, this
Agreement will constitute a valid and binding agreement of the Clerk, enforceable
against it in accordance with its terms, subject only to the application of general
principles of equity and limitations arising from bankruptcy, insolvency,moratorium and
other similar laws affecting the rights of creditors generally.The Clerk further represents
and warrants to the Bank that It has authorized the Clerk's Director of Finance and
Accounting, or persons designated by them in writing, to execute and deliver
documents to the Bank as necessary hereunder or reasonably deemed appropriate by
such officers to effect the transactions contemplated hereby. The Clerk acknowledges
and agrees that the Bank is fully authorized and directed to accept orders,requests and
authorizations from such officers on the Clerk's behalf in connection with the
implementation or provision of any of the banking services covered by the Proposal.
Such authorization and direction shall not be deemed to prohibit or preclude the Bank
from relying upon actions or requests of Deputy Clerks so long as the Bank reasonably
believes, in good faith,that such persons have been authorized to act on behalf of the
Clerk.
(e) At the request of the Bank, the Clerk agrees to cause its designated officials or their
designees to execute such signature cards as the Bank deems reasonably necessary for
purposes of establishing appropriate security measures in connection with the banking
services to be provided hereunder. The Clerk agrees to provide any and all
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^ documentation the Bank requires to execute and appoint ppoint such designated officials or
their designees.
(f) The Bank covenants to provide the Clerk with quarterly updates to the Bank's Qualified
Public Depository status and current pledge level (25%, 50%, 110% or 150%)
commencing quarter ended December 31,2014.
Section 7. indemnification
The Bank shall indemnify and hold harmless the Clerk, its agents and employees from or on
account of any losses, costs, claims and damages resulting from any breach of fiduciary duty
committed during or on account of any operations connected with this Agreement and by any
act of negligence in connection with the same; and by or on account of any negligent act or
omission or willful misconduct of the Bank or its subcontractors, agents, servants and
employees and from any breach of this Agreement. The Bank further agrees to indemnify and
hold harmless the Clerk, its agents and employees against any claims or liability arising from or
based upon the violation of any applicable federal, state, county or city laws, by-laws,
ordinances or regulations by the Bank, its subcontractors, agents, servants or employees and
from any breach of this Agreement.
Section 8. Limitation of liability
Notwithstanding any other term or provision of this Agreement,the Clerk shall not be liable to
the Bank for any amount in excess of the actual loss sustained by the injured party, and in no
event shall the Clerk ever be liable hereunder or in any action in tort arising out of the services
or relationship to be provided or established hereunder for any indirect, special, incidental,
punitive or consequential loss or damage of any kind, including lost profits or opportunities or
damage to reputation (whether or not advised of the possibility thereof) arising or allegedly
arising therefrom.
Section 9. Term and Termination
(a) This Agreement shall have an initial term of (5) five years, beginning on November 1,
2014 and expiring on October 31, 2019, with an option to renew upon mutual
agreement for an additional (3)three, (1) one year periods. Banking service charges for
the optional renewal period(s) must be mutually agreed upon and will be based on
charges proposed, not to exceed the average of the monthly Consumer Price Index-All
Urban Consumers(12-Month Percent Change—Not Seasonally Adjusted)and measured
October 2014 through September 2019.
(b) The contract may be terminated with cause by the Bank upon providing written notice
to the Clerk of the Circuit Court no less than(180)one hundred and eighty days prior to
the effective date of such termination. The Clerk may terminate the agreement with or
without cause with the financial institution upon (30)thirty days written notice prior to
the effective date of the termination. Under no circumstances will any damages be paid
by the Clerk as a result of the termination of this contract.
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{c) If the Bank does not comply with terms of this Agreement, the Bank shall be given
notice to the specific default in writing.The defaults) shall be corrected within ten (10)
days.
(d) The Clerk, from time to time, during Bank business hours and with at least two (2)
business days prior notice to the Bank,shall have the right to audit the Bank's books and
records with regard to the accounts and services provided to the Clerk hereunder to
ensure that all aspects of the Agreement are being met. Such audit will be performed at
the expense of the Clerk.
(e) In the event the Clerk is not allotted funds for any fiscal period or funds previously
allotted are subsequently recalled, the Clerk may terminate the agreement. Upon the
occurrence of such non-appropriation, the Clerk shall not be obligated for payment of
any future deliverables for which funds have not been so appropriated.
Section 10. Changes
The Clerk may, from time to time, request changes in the scope of services of the Bank to be
performed hereunder. Such changes in services, which are mutually agreed upon by and
between the Clerk and the Bank, shall be incorporated in written amendments to this
Agreement.
Section 11. Waiver
No waiver of a breach of any provision of this Agreement shall constitute a waiver of any
subsequent breach of the same or any other provision hereof, and no waiver shall be effective
unless made in writing.
Section 12. Severability
Should any provisions, paragraphs, sentences,words or phrases contained in this Agreement be
determined by a court of competent jurisdiction to be invalid,illegal or otherwise unenforceable
under the laws of the State of Florida or the Clerk, such provisions, paragraphs, sentences,
words or phrases shall be deemed modified to the extent necessary in order to conform with
such laws,and to the extent they cannot be so modified,then same shall be deemed severable,
and in either event, the remaining terms and provisions in this Agreement shall remain
unmodified and in full force and effect.
Section 13. Governing Law
This Agreement shall be construed and enforced according to the Laws of the State of Florida.
Any litigation arising out of this Agreement shall be in the appropriate state court having
jurisdiction in Collier County, Florida.
Section 14. Exhibits
The following documents are attached hereto and incorporated by reference herein:
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Exhibit A—RFP 2014-001 Banking Services
Exhibit B — First Florida Integrity Bank Proposal in response to RFP 2014-001 RFP Banking
Services
Exhibit C — First Florida Integrity Bank Pricing Proposal in response to RFP 2014-001 Banking
Services
Exhibit D—First Florida integrity Bank letter waiving$25M minimum balance requirement
Exhibit E—Custodial Agreement with Infinex Financial Group
Exhibit F—Wholesale Lockbox Agreement with First Florida Integrity Bank
Additional service agreements may be added from time to time as mutually agreed upon by the
parties, and any service agreement may be terminated separately and severally without
affecting the continued enforceability of all other provisions of this Agreement as to non-
terminated services.
Section 15. Notices
All written notices, demands and other communications required or provided for hereunder or
under any of the Exhibits hereto, except service issues, which may be addressed by telephonic
communication or other method provided hereunder, shall be sent by certified mail, return
receipt requested, postage prepaid, in the case of mailing, or by overnight or same day courier,
or by electronic transmission producing a written record, or hand delivered to the following
address and person bearing the following title for each party hereto or such other addressee or
person as shall be designated by a party in a written notice given in the manner required
hereby:
Clerk: Bank:
Dwight E.Brock First Florida integrity Bank
Collier County Clerk of the Circuit Court Nancy Ortega,Senior Vice President
3315 Tamiami Trail East Suite 102 3560 Kraft Road
Naples, Florida 34112-5324 Naples, Florida 34105
Phone:(239)252-2745 Phone: (239)325-3748
Email:Dwieht.BrockCaacollierclerk.com Email:nancvortesapfiibank.com
All notices shall be deemed delivered when received.
Section 16. Service Issues
All service issues related to the everyday operations of the Clerk shall be responded to on the
same business day.
Section 17. Force Maieure
Clerk agrees that the Bank shall not be responsible or liable for any delay in its performance
under this master Agreement or any losses arising out of delays and/or interruptions of business
due to acts of God, acts of public enemy or war, riots, civil disturbances, power failure beyond
the Bank's reasonable control, telecommunications failure beyond the Bank's reasonable
control, severe adverse weather conditions or other causes beyond the Bank's reasonable
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control.This time, if any, required for such performance under this Master Agreement shall be
automatically extended during the period of such delay or interruption.
Section 18. Assignment
Neither party shall assign this Agreement or any interest herein, or delegate any of its duties
hereunder,without the other party's prior written consent, except that it is agreed by the Clerk
that the Bank may delegate certain services to be provided through independent contractors as
described in any Exhibits attached hereto. In addition, the contract shall not be transferred by
merger,sale or acquisition,in whole or in part without providing 60 days' notice to the Clerk. All
costs to the Clerk associated with the merger,sale or acquisition shall be borne by the Bank.
IN WITNESS WHEREOF,the parties have executed this Agreement hereto:
Collier County Clerk of the Circuit Court
3315 Tamiami Trail East Suite 102
Naples, Florida 34112
Attest: By:
Dwight E.Brock
Clerk of the Circuit Court and
Comptroller of Collier County
First Florida Integrity Bank
3560 Kraft Road
(r Naples, Florida 34105
Attest: i 6 / alk By:
= Richter
Fi . 'da Integrity Bank
President
Attest: By:
Deputy Clerk Tom Henning
Clerk of the Circuit Court Chairman,Board of County Commissioners
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