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HomeMy WebLinkAbout16664i ANDINANCE NO. 16,664 • 2 7 1 2 AN ORDINANCE AMENDING LITTLE ROCK CITY CODE SECTION 3 4 2 -191 REGARDING BANKING SERVICES; AND FOR OTHER 5 PURPOSES. 6 7 WHEREAS, the City began a process of competitive bidding for banking services 8 with its fiscal year 1989 and now, after several years of experience, changes to the 9 established selection procedures appear to be in the interest of the City. 10 11 NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF 12 13 THE CITY OF LITTLE ROCK, ARKANSAS: 14 SECTION 1. The last sentence of Code Section 2 -191 is hereby amended to read 15 as follows: 16 17 "In deciding to award the contract for banking services, the 18 City shall give preference to the banking institution that offers the highest net interest yield on deposited funds, 19 while giving consideration to new or unique services offered 20 by banking institutions that can be quantified to provide 21 financial benefits to the City." 22 SECTION 2. Code Section 2 -192 (3) is hereby amended to read as follows: 23 24 "The banking institution must have at least six (6) staffed, 25 full service locations within the boundaries of the City of Little Rock, Arkansas." 26 27 SECTION 3. Code Section 2 -194 is hereby amended to read as follows: 28 29 "In order for a banking institution to be considered a qualified bidder, the bank must be capable of, and agree to, 30 provide the City full banking services. These services may 31 be at no charge or at a fee schedule that is offset by interest 32 to be paid on deposited funds. These services will include, but not be limited to, the following: 33 34 (1) Accepting deposits and processing checks. 35 Reconciliations will be furnished on computer 36 tapes for, at a minimum, the City's combined and payroll accounts, and other accounts as mutually agreed upon. R -70594 073 ,cS • 278 1 (2) Complete wire transfers, night depository 2 services, investment processing services, coin 3 sorting and counting services. 4 (3) Collateralize at least one hundred and two 5 (102) percent of the daily account balances 6 with U. S. government securities, or other 7 instruments authorized by Arkansas law. 8 (4) Provide the City monthly statements that 9 detail daily account balances, average interest 10 rate earned, and the dollar amount of interest 11 credited to various City accounts. 12 (5) Direct deposit of payroll services for those 13 City employees electing to use this service. 14 SECTION 4. Code Section 2 -195 is hereby amended to read as follows: 15 16 "It is in the public interest that public deposits not remain 17 indefinitely with only one institution, and that all banking 18 institutions in the city have the opportunity to provide banking services to the City. Therefore, if, at the time of 19 competitive bidding for banking services, a banking 20 institution submitting a bid has held the City contract for 21 banking services for the immediately preceding two (2) years, that institution must submit a bid that will yield the 22 City three - tenths of one percent higher daily interest yield 23 than the next highest bidder in order to be awarded the 24 contract." 25 SECTION 5. The last sentence of Code Section 2 -196 (1) is hereby amended to 26 read as follows: 27 28 "To assure that the City's economic advantage in rotating 29 the contract among banking institutions does not defeat the 30 City's desire to achieve a reasonable rate of interest on deposited funds, but at the same time does not give unfair 31 competitive advantage to a banking institution holding the 32 banking services contract, the City will require that for the 33 contract period beginning January 1, 1995, and continuing every time the contract is bid for periods thereafter, that the 34 banking institution holding the present banking services 35 contract will have to bid a daily interest yield that is three- 36 tenths of one percent above the next highest bidder in order to be awarded a consecutive banking service contract." R -7 0594 ?? 279 1 SECTION 6. Code Section 2 -196 (2) is hereby amended to read as follows: 2 3 'Because the collection and deposit of cash funds must be 4 made on a daily basis by diverse City departments located throughout the city limits, the City requires that a banking 5 institution have six (6) fully staffed service locations located 6 within the city limits before an institution is deemed eligible 7 to submit a bid for City banking services. 8 SECTION 7. That all other sections of the City Code remain in full force and 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 R -70594 effect. PASSED: May-17, 1994 ATTEST: 4 t: *a. k ON5111 APPROVED AS TO FORM: CITY ATTORNEY _ APPROVED: WK�,