HomeMy WebLinkAbout10-132 Resolution No. 10-132
RESOLUTION
AUTHORIZING EXECUTION OF A MASTER TREASURY
MANAGEMENT AGREEMENT WITH FIFTH THIRD BANK
FOR BANKING SERVICES
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that
Sean R. Stegall, City Manager, and Diane Robertson, City Clerk, be and are hereby authorized and
directed to execute a Master Treasury Management Agreement on behalf of the City of Elgin with
Fifth Third Bank for banking services,a copy of which is attached hereto and made a part hereof by
reference.
s/ Ed Schock
Ed Schock, Mayor
Presented: July 14, 2010
Adopted: July 14, 2010
Omnibus Vote: Yeas: 7 Nays: 0
Attest:
s/Diane Robertson
Diane Robertson, City Clerk
7
provide us with information about Customer's
intended use of the Service. Customer consents
to the completion of these forms by Customer's
Fifth Third Bank relationship manager. We will
FIFTH THIRD 13ANIC rely on the information provided to us on these
forms in providing the Services.
MASTER TREASURY
MANAGEMENT AGREEMENT When Customer submits Application Forms to
us. we are entitled to treat them as Customer's
This Master Treasury Management Agreement authorization to provide the Services to
("Agreement") i h rebv made and entered into Customer in accordance with the specifications
this 14 day of u�y2010, by and between the and instructions set forth in the Application
City of Elgin. Illinois, a municipal corporation Forms and the Terms and Conditions. Any
(hereinafter referred to as "Customer") and Fifth changes by Customer to the Application Forms
Third Bank, an Ohio banking corporation must be made in writing, and such changes shall
(hereinafter referred to as provided below) and be effective only after we receive the written
governs the provision of Treasury Management requests for. such changes and we have had a
services("Services'')to the Customer. reasonable opportunity to act on them. We may,
in our discretion, permit Customer to request a
Definitions Service through other means. Customer shall be
deemed to have accepted the Terms and
Capitalized terms used in this Agreement or in Conditions for a Service if Customer uses such
any Schedule have the meaningsgivento such
Service, allows others to do so, or makes any
payment for such Service.
terms in the Glossary of the Terms and
Conditions or in this Agreement. "Fifth Third
Bank," "we," "us." or "our" as used in this Fees and Taxes
Agreement refer to the Fifth Third Bank entity in Customer agrees to pay for the Services in
whose name this Agreement is accepted. If we accordance with a separately agreed pricing
provide Customer with Services in connection amendment or, to the extent a pricing
with an account or other relationship that the amendment is not in effect our standard account
Customer has with another bank subsidiary of fees and charges for the Services in effect from
Fifth Third Bancorp(a"Bank Affiliate"),then the time to time. In addition, Customer agrees to
provisions of this Agreement shall apply to such pay our standard fees and charges for any
Services, and any reference to "ave" "us" or requested or required special service or handling.
"our" in this Agreement shall be deemed to refer Customer shall be liable for all taxes attributable
to the Bank Affiliate,as well as to us. to the Services or the agreements contained in
Requesting Services this Agreement (exclusive of taxes based on our
employees or net income). We reserve the right
Customer desires to obtain certain Services from to charge interest on any amounts that are not
us as described in the Terms and Conditions of paid within 30 calendar days of the due date. We
the Services ("Terms and Conditions") and am will apply' all credits and payments first to
y
unpaid interest and then to fees, taxes and
applicable Bank User manual pertaining to such *
Service(s). Customer may request Services by expenses in the order in which they'were due.
submitting to us the appropriate application •
Use of System
forms for such Service("Application Forms").
Customer agrees to provide any information that If a Service involves the use of software
we reasonably require to enable us to provide the hardware or databases provided by or through us
requested Services to Customer. For some of (a "System''), we or the vendor may' require
our Services, Customer may be required to Customer to execute a license or agreement to
use or acquire the System. Customer agrees to
complete a set-up and implementation process
before the Service is available. As part of this treat the System as strictly confidential at all
times and to train its employees in the proper and
process, Customer may be required to complete
set-up and implementation forms. These forms secure use of the system. Customer is solely
responsible for the use or misuse of the System
*Notwithstanding anything to the contrary herein Fifth Third Bank shall
adhere to the schedule attached hereto and made a part hereof as Exhibit A.
,� I
and assumes the risk of all consequences of the that we and any intermediary and receiving bank
use or misuse of the System by Customer, its may rely on the account number or other
personnel or otherwise. identifying number of any bank, person or bank
account specified in the Instruction even if such
Customer Information numbers identify a bank, person or bank account
different from the bank, person or bank account
In providing the Services, we are entitled to rely designated by name. Customer bears the risk of
upon the accuracy of all information and any loss resulting from a transfer to the wrong
authorizations received from an officer, person due to an error in identification, account
employee, agent or representative of Customer, or routing number or other information provided
or another person acting on Customer's behalf by Customer.
(an "Authorized Agent"), and on the authenticity
of any signatures purporting to be of an Our Representations and Warranties
Authorized Agent. Each payment order, wire
transfer instruction, ACH entry or entry data and We represent and warrant to Customer that: (i)
other message or instruction to pay or transfer we are duly organized, validly existing, and in
funds (an "Instruction") that is sent to us good standing in the jurisdiction in which we are
electronically in accordance with the applicable organized; (ii) the execution, delivery and
Security Procedures (if any) shall be considered performance by us of this Agreement has been
to be an original writing and to have been signed authorized by all necessary corporate and
by an Authorized Agent. Neither party will governmental action; (iii) the persons signing
contest the validity or enforceability of the this Agreement on our behalf are duly authorized
request on the ground that it was not in writing, to do so; and(iv)our execution and performance
not signed by an Authorized Agent, or not an of this Agreement does not and will not violate
original. A valid digital signature shall, at all any laws, operating rules, or regulations
times, be deemed to be conclusive proof of due applicable to us or the transactions contemplated
authorization by Customer of the communication by this Agreement,or our articles of association,
or document to which it relates. Customer bylaws or similar governing documents.
agrees promptly to notify us of any changes to
any information or an authorization provided to Except as expressed elsewhere in this
us in connection with Services including any Agreement, we make no other representations or
limitations on Customer's Authorized Agents, warranties, either express or implied,of any kind
and further agrees promptly to execute any new with respect to any Service or our performance
or additional documentation as we reasonably of the Services, including, without limitation,
deem necessary from time to time in order to those of merchantability and fitness for a
continue to provide the Services to Customer. particular purpose, except as expressly provided
Customer acknowledges that we may require a for in the terms or conditions or this Master
reasonable time period before we act upon any Agreement. No descriptions or specifications
such change. Customer agrees that we may constitute representations or warranties of any
refuse to comply with requests from any kind
individual until we receive documentation
reasonably satisfactory to us confirming the Customer Representations and Warranties
individual's authority.
Customer represents and warrant to us that: (i)
Account and Routing Numbers Customer is duly organized,validly existing,and
in good standing in the jurisdiction in which
Customer understands that we are not Customer is organized,and is validly qualified in
responsible for detecting errors in any any other jurisdiction where Customer does
Instruction, including the identifying number of business and is required to be qualified; (ii) the
any intermediary or beneficiary's bank or execution, delivery and performance by
receiver, even if that number does not Customer of this Agreement and the Application
correspond to the bank or receiver identified by Forms have been authorized by all necessary
name. Customer acknowledges and agrees that corporate and governmental action; (iii) the
funds transfers may be made on the basis of persons signing this Agreement and the
account number or other identifying number Application Forms on Customer's behalf are
(including a bank transit routing number), and duly authorized to do so; (iv) the execution and
2
performance of this Agreement and the use of March 23, 2005" as amended and applicable
the Services do not and will not violate any laws, state laws.
operating rules, or regulations applicable to
Customer. Customer's articles of incorporation, If we accept and act in good faith on a payment
bylaws or similar governing documents or any order issued to us in Customer's name and in
material agreement to which Customer is bound; accordance with the Security Procedures and any
(v) each transaction has, and each Account is written agreement between Customer and us, the
maintained for, a business or commercial payment order is effective as Customer's
purpose and not a personal, family or household payment order whether or not it is authorized,
purpose; and (vi) Customer does not engage as a and Customer is bound by it. Any other
participant in Internet gambling. Instruction communicated to us in Customer's
name in compliance the Security Procedures and
Customer reaffirms these representations and all access to, and use of Services using the
warranties each time it uses a Service. In Security Procedures are considered authorized
addition, Customer agrees to immediately notify and binding on Customer. If instead of
us if any representation or warranty made by accepting and following the Security Procedures
Customer is no longer true. we offer, Customer instead chooses to
communicate with us pursuant to some other
Security Procedures; Operating Procedures procedure, Customer is refusing the Security
Procedures we recommend as commercially
"Security Procedures" means certain procedures, reasonable and Customer will be bound by any
including the use of Identification Codes, payment order or other Instruction issued in
personal identification numbers, passwords, Customer's name and accepted by us in
logon identifications, tokens and other security compliance with that procedure. The Security
systems or procedures designed to verify the Procedures are in addition to, and do not limit,
origin of payment orders and other Instructions revoke or affect the authority of any person
sent to us, as well as access to Services and other (whether by course of dealing or otherwise) to
communications from Customer. Customer transmit Instructions in Customer's name. We
acknowledges that any mutually agreed upon may continue to rely upon such authority and we
Security Procedure is commercially reasonable. are authorized to act upon Instructions received
The parties agree that the Security Procedures from persons acting pursuant to such authority.
are designed to detect and prevent unauthorized
transactions and not to detect errors. Customer In addition to the Security Procedures, we may,
further acknowledges that we may, but shall not in our discretion, use additional procedures to
be under any obligation to, take any actions we verify the authenticity of Instructions
deem advisable to detect errors or unauthorized communicated to us. We will not be responsible
Instructions beyond those that are specified in for our refusal to act upon any Instruction
the Security Procedures. Customer agrees that received that does not comply with this
our performance of any such actions on any Agreement, including where our reasonable
occasion or multiple occasions will not obligate efforts to verify Instructions in accordance with
us to do so on any future occasion. Customer the Security Procedures have failed or where
agrees to safeguard any Identification Code that such action is delayed until verification can be
we assign or give to Customer as part of any obtained.
Security Procedure and to distribute such
Identification Code only to authorized personnel.
Customer is solely responsible for the accuracy
and completeness of each Instruction or
communication sent to us. Customer may
change its choice of Security Procedures at any
time by requesting the same in writing to us.
We notify customers of security breach incidents
involving their information in accordance with
the "Federal Banking Interagency Guidance on
Response Programs for Security Breaches dated
3
•
Access Channels for these Services. Since an Access Device
facilitates access to our Services, it is critical that
This Section governs the access to accounts and Customer carefully control the distribution and
Services through our internes access portals use of the Access Devices to insure that they are
including Fifth Third Direct® ("Fifth Third only available to, and used by personnel as
Direct") and through Account Management & authorized by Customer. The use of the Access
Payments ("AMP"), our internet based suite of Device is subject to any terms of use
Services. The features and options available accompanying the Access Device or any
through Fifth Third Direct and AMP are required license, and may only be used as and
described in greater detail below and in the Bank where delivered to Customer and only for the
User Manual (which we may also refer to as a purpose of accessing our Services. Customer
"User Guide") for these Services. agrees to carefully follow and observe the
instructions provided with the Access Device
Administration. As part of the set up process for and to properly use, care for and maintain the
Fifth Third Direct, Customer will appoint a Access Device. Each Access Device and the
person ("Administrator") with complete related technology, documentation and materials
authority on Customer's behalf to manage the at all times remain our or our vendor's property.
use of Fifth Third Direct. The Administrator has
critical authority with respect to Fifth Third Customer Responsibilities. In addition to
Direct including the authority to: designate adhering to the Security Procedures, Customer
personnel ("users") including the Administrator agrees to (a) institute prudent procedures and
with access some or all of the Services or Service practices to control access to the Services and to
features through Fifth Third Direct and AMP; mitigate the risks of conducting transactions
establish approval processes and limitations through the internet, (b) institute and enforce
(such as dollar amount and transaction type) on effective policies and procedures to ensure that
the user's authority for certain Services; enable its personnel use the Service only as authorized
the assignment of user ID's and passwords; and and within the limits of their permission or
accept and act on all communications from us authority, and only for the specific features for
regarding Fifth Third Direct. We rely on the which they have authority, (c) incorporate
authority of the Administrator in providing reasonable security features in its computer
Services to Customer. systems, and(d) comply with all laws applicable
to Customer's use of Fifth Third Direct and
Security Procedures. Access to Fifth Third Services through Fifth Third Direct. We are not
Direct and to other Services through Fifth Third responsible if any person exceeds the limits of
Direct or AMP is subject to Security Procedures. their authority or permission rights, or
The Fifth Third Direct Service generates unique unauthorized personnel gain access to a Service
user ID's and initial passwords for each user through the use of the Security Procedures.
designated by the Administrator. The use of user
ID's and passwords, and where applicable, Equipment and Software. Customer is solely
Access Devices (as described below) constitutes responsible for having and maintaining at its
the Security Procedure for the Service accessed expense proper functioning hardware, software
through Fifth Third Direct. Customer and communication devices and Internet access
understands that all access to, and use of the and service necessary for use with Fifth Third
Services by Customer through Fifth Third Direct Direct and AMP.
using the Security Procedures is considered for
all purposes and without further investigation to While our websites include encryption and
be authorized by Customer. We will act and rely other data protection features, Customer
upon all payment orders and other Instructions understands that the Internet is inherently
and directions to us through Fifth Third Direct or insecure and that there is a risk that data
AMP using the Security Procedures. communications and transfers can be
monitored, intercepted, rerouted, copied and
Access Devices. Access to some Services may read by others. We are not liable if these
require the use of a security token or other risks occur or for the use of such data by
security or authentication device and related others,or if privacy is not maintained.
software(an"Access Device"). Proper use of the
Access Device is part of the Security Procedure Account Management& Payments
4
1
AMP enables Customer to manage daily cash act on the notice. Customer is solely responsible
balances,research and reconcile account activity, for the actions, instructions and decisions of the
and initiate funds transfers. Customer may elect Administrator and the designated users.
to enable one or more or all of the modules for
Customer or a particular user. The features and Funds Transfers. The use of our Funds Transfer
options available through AMP are described in Services through AMP is subject to the Security
greater detail below and in the Bank User Procedures for those Services, respectively,
Manual for AMP. AMP is only available including the use of an Access Device. The
through Fifth Third Direct. Security Procedures include a variety of approval
options, user limitations and controls which are
Administration. AMP is administered on behalf described in greater detail in the Bank User
of Customer by the Administrator. In addition to Manual. We recommend that Customer
any other authority the Administrator may have establish an approval protocol appropriate for
with respect to Fifth Third Direct and other Customer's particular circumstances. If
Services, the Administrator will have the very Customer does not establish and require
important authority with respect to AMP to: adherence to an approval protocol for Funds
Transfers or if Customer selects a "no approval"
• designate users with authority for some option, Customer assumes the risks of all
or all features of AMP, transactions which could have been prevented by
• appoint other Administrators with the requiring approval. Customer acknowledges that
authority of an Administrator, Customer has considered the various Security
• give us instructions and access reports Procedures available to Customer and that the
relating to AMP, Security Procedures Customer selects are
• elect to enable email alerts, specify the suitable for Customer for the size, type and
types of alerts to be received and frequency of transactions Customer will initiate.
designate the destinations to which Funds Transfers involving only internal account
alerts are sent, transfers may not be subject to all of the Security
• elect to enable access to our ACH Procedures for other Funds Transfers.
Origination Service, Wire Transfer
Service and account transfers between Account Information. Depending upon the
deposit accounts and commercial loan service level Customer selects, Customer will
accounts ("Funds Transfers") and have access to account and transaction
designate users (including the information on a prior day or intraday basis, or
Administrator)with authority to execute both. Account information changes frequently
Funds Transfers,and and is subject to updating, verification, and
• establish approval protocols and correction. We assume no responsibility for
limitations for transactions including Customer's reliance on any account or Service
Funds Transfers. v information subsequently updated, verified or
corrected.
AMP Administrator's Authority. Customer may
authorize the Administrator to have non- Email Alerts
functional authority (authorized only to add and
administer users) or functional authority (with Some of our Services, including AMP offer an
authority to use the Service including for Funds email alerts feature. If Customer elects to use
Transfers). In the set up process for AMP, the this feature, our system will send an email alert
Administrator will have the option to require (an "Alert") to users designated by the
Dual Control Administration, meaning that the Administrator that an activity, status or action
approval of a second Administrator is required to selected by the Administrator regarding a
verify the designation and authorization of a selected account has occurred.
designated user. We recommend that Customer
elect to require the Dual Control Administration. Set Up. The Alerts feature is set up by the
We will rely on the authority of the Administrator. Customer is solely responsible
Administrator and users designated by the for the selection, security, accessibility and
Administrator until we receive written notice of a accuracy of the email addresses the
change and we have a reasonable opportunity to Administrator provides to us.
5
Informational Use. Alerts are provided for any payments in any accounts with us in
Customer's information and convenience only. connection with unlawful internet gambling.
An Alert does not constitute a bank record for
the account to which it pertains. The Alerts Limitation of Liability
feature is meant to assist Customer in managing
Customer's accounts, but is not intended as a CUSTOMER AGREES TO THE MAXIMUM
substitute for proper account management or EXTENT PERMITTED BY LAW THAT IN
regular use of our AMP and other information NO EVENT WILL WE BE LIABLE FOR ANY
Services. CONSEQUENTIAL, SPECIAL, PUNITIVE OR
INDIRECT LOSS OR DAMAGE THAT
Delivery Risks. Customer's receipt of any Alert CUSTOMER OR ANY OTHER PERSON MAY
may be delayed or prevented by Customer's INCUR OR SUFFER IN CONNECTION WITH
internet service provider, delays in the internet ANY OF THE SERVICES PROVIDED BY US,
generally, traffic congestion, failure of EVEN IF WE HAVE BEEN ADVISED OF
telecommunications systems, delays or failures THE POSSIBILITY OF SUCH DAMAGES.
associated with Customer's systems and many
other circumstances beyond our control. We do Customer further agrees, to the maximum extent
not guarantee the delivery of any Alert. We will permitted by law, that our liability to Customer
not be liable in any way for non-delivery, arising from any Service will be limited to actual
delayed or wrong delivery of an Alert, inaccurate monetary damages that are a direct result of our
content in an Alert, or Customer's use of, or failure to exercise reasonable care in providing
reliance on the absence or contents of any Alert the Service. Notwithstanding the foregoing, for
for any purposes. Requests or Entries which are subject to UCC
4A, we are liable only for damages required to
Security. Alerts are sent via the internet without be paid under UCC Article 4A.
being encrypted or otherwise coded in any way.
and may include Customer's name and certain Indemnification Obligations
information pertaining to Customer's account.
We are not responsible if an unauthorized person Customer agrees to indemnify and hold us and
has access to the Alerts. each Bank Affiliate, and our and their respective
officers, directors; employees, shareholders and
Replies. Customer is not permitted to reply to agents (collectively, "Representatives"),
email Alerts; any reply Customer sends will not harmless from and against any and all losses,
be read or acted upon. Customer should never liabilities,damages,actions,claims and expenses
respond to any request purportedly from us including court costs and reasonable attorneys'
to provide Customer's account numbers or fees and expenses("Losses")resulting directly or
security details such as passwords. Any such indirectly from or arising in connection with (a)
purported request or other unusual emails Customer's violation of any of Customer's
purportedly part of the Service must be reported agreements, representations, warranties or
to us immediately. covenants under this Agreement, any
Application Forms, or any other agreement with
Compliance us relating to the Services, the Security
Procedures or the Rules and Regulations
This Agreement and the use and provision of Applicable to All Fifth Third Accounts(however
Services are subject to all applicable state, named, the "Rules"), or (b) our providing the
Federal, local and foreign laws,rules,regulations Services including carrying out any Instruction
and other law including, without limitation, given to us in accordance with this Agreement.
rules, regulations and operating procedures,
policies and guidelines promulgated by NACHA We agree to indemnify and defend at our own
- the Electronic Payment Association, the expense or settle any action brought against
Federal Reserve Board, any money transfer Customer to the extent that it is based on a claim
systems or clearinghouses used by us in that Customer's use of a Service directly
providing Services to Customer. Both parties infringes a copyright, trademark, or patent or
agree to comply with applicable law in using the constitutes misappropriation of a third party
Services including in connection with any trade secret, provided, however, that Customer
Instruction sent to us. Customer will not accept (i) promptly notifies us in writing of such claim.
6
(ii) has not made any admission of liability or make available to Customer through reporting
agreed to any settlement or other material issue services and to notify as soon as reasonably
relating to such claim,(iii)reasonably cooperates possible of any discrepancy between its records
with us at our expense in the defense or and the information we provide or make
settlement, (iv) gives with sole control and available. Customer agrees that no more than 30
authority over the all aspect of the defense or calendar days is a reasonable time for Customer
settlement of such claim. to notify us of errors or discrepancies unless
applicable laws, rules or regulations provide for
Recordings; Imaging Record a shorter period.
We are authorized (but are not obligated) to Customer acknowledges that we offer a variety
record electronically and retain telephone of tools, including positive pay which can be
conversations between Customer and us. effective in assisting Customer in reducing the
Imaging records will be retained by us in incidence of fraud and other unauthorized
accordance with our policies and procedures and activity in Customer's accounts. To the extent
copies of such will be available at Customer's Customer chooses not to utilize such tools,
request and expense. Customer will be deemed to have assumed the
risks of the activities which could have been
Confidentiality prevented by the proper use of such tools.
Except to the extent otherwise required by law, Deficient Checks
Customer agrees to safeguard and not disclose to
any third party(a)the payment and pricing terms Customer agrees not to change the supplier of
or fees for the Services or (b) any Security the checks that it uses for accounts with us or
Procedures, including Identification Codes, in reorder any checks until (a) Customer provides
each case whether or not we are then performing us with a proof of the proposed check stock and
Services for Customer. Customer agrees to limit 25 checks for us to test ("test checks") as to
the internal disclosure and distribution of such whether such checks are deficient in any way,
information to its employees, agents or and (b) we determine and notify Customer that
representatives who have a need to know such the test checks are acceptable. If we experience
information and will at all times have appropriate problems processing the checks Customer
policies in effect to ensure the confidential status provides using our normal processing
of such information. Customer must notify us procedures, we will notify Customer and
immediately if there has been a breach of its suspend any Service until the problem is
security, or any Security Procedures have been corrected to our satisfaction.
compromised, or any Security Procedures have
been lost, stolen or misused. Overdrafts
We acknowledge that information we obtain We may delay or refuse to process any item,
from Customer in connection with any Service transaction, or Instruction that exceeds the
we provide to the Customer in accordance with amount of available funds in the account on
this Agreement may be confidential. We will which it is drawn or presented or would reduce
maintain the confidentiality of such information the balance in such account below any required
in accordance with our normal procedures for minimum balance (i.e., the item, transaction, or
safeguarding customer information. instruction would create an "overdraft"). If we
Notwithstanding the foregoing, we may share decide in our discretion to process an item,
Customer's information in accordance with the transaction, or Instruction despite the overdraft,
Fifth Third Privacy Notice for Commercial Customer agrees to reimburse us upon demand
Customers. for (a) the full amount of any overdraft or
shortfall created by that item, transaction or
Duty to Inspect Instruction,(b)all overdraft fees and charges,(c)
interest on the amount of overdraft or shortfall
Customer is responsible for monitoring all for the day of the overdraft or shortfall was
Services and activity in its accounts with us created and for each following day until the
including individual transactions. Customer overdraft or shortfall has been paid or restored
agrees to review the information we send or and (d) all Losses we incur in collecting from
7
Customer the overdraft, or any fees, charges or Service (collectively. "Processes"). Customer
interest relating to it. agrees to reasonably cooperate with us and make
its facilities, Processes and all relevant records,
Stop Payments reports, information and personnel relating to the
Processes available to us.
Stop payment requests are governed by the
Rules. Customer may request a stop payment on Limitations. The purpose of any audit we may
checks or other items drawn on one of its conduct is limited to assessing the security and
accounts by providing us with the complete and compliance with applicable standards of the
accurate account number,the serial number(as it Processes in connection with Customer's use of
appears on the item's MICR line), the date, and our Services. We will not exercise this right
the amount of the item. The account will be except to the extent required by our regulatory
assessed a stop payment request fee. Customer authorities or we are made aware of actual or
agrees to indemnify and hold us harmless for any potential incidents of material weaknesses or
Losses that we incur as a result of our honoring security breaches in the Processes relating to the
any such stop payment request. Service. If we desire to conduct an audit, we
will give Customer at least five days advance
Transaction Limits notice, conduct the audit only during business
hours and strive to avoid any disruption or
If we in good faith determine that providing interference with Customer's operations. The
Services to Customer results in unacceptable results of any audit or the fact that we do not
credit exposure or other risk to us, or will cause conduct an audit are not to be taken as an
us to violate any law, regulation, rule or order to assessment of the Processes or compliance with
which we are subject, we may, without prior any standards. We will each bear our own costs
notice, limit Customer's transaction volume or in connection with the audit.
dollar amounts,or refuse to execute transactions,
or we may terminate any Service then being Confidentiality. We will keep confidential the
provided to Customer. Customer shall, upon our information Customer provide us in connection
request from time to time, provide us with such with the audit, as well as the results and our
financial information and statements and such findings with respect to the audit except to the
other documentation as we reasonably determine extent disclosure is required by our regulatory
to be necessary or appropriate to enable us to authorities or applicable law or legal process.
evaluate our exposure or risk. We will to the We will not seek access to any information
extent not restricted by law communicate our Customer is prohibited by law or contract from
decisions promptly to Customer. providing or making available to us, including
Customer's personal financial and other
Money Market Deposit and Savings Accounts confidential or protected information.
Transfers from any of Customer's Accounts that Recommendations. If, as a result of any audit or
are money market deposit or savings Accounts inspection we make a material recommendation
made through the Services are counted against relating to the Processes and Customer fails to
the permissible number of transfers for such institute any such recommendation, we have the
Accounts prescribed by law. Therefore, we may right to terminate or suspend each affected
not effect transfers Customer requests or that we Service pending satisfactory resolution of the
would otherwise be required to make on its circumstances giving rise to the
behalf in excess of these limitations. Please see recommendation.
the Rules for more details about these
restrictions. Processors
Audit Customer acknowledges and agrees that we may
arrange for some or all of the Services to be
General. We reserve the right, for ourselves and performed or provided by third-party processors,
our regulatory authorities to audit, inspect and, if including one of our affiliates("Processors").
warranted, test Customer's equipment, IT
infrastructure, workflow and processes, and Vendors
security policies and procedures relating to a
8
Any third-party servicer or vendor used by fails to maintain sufficient available funds in any
Customer in connection with the Services account maintained for a Service. In addition,
("Vendor") is Customer's agent and not ours, we may terminate this Agreement or terminate or
and Customer will be liable and solely suspend any Service immediately upon notice to
responsible for: (a) any Vendor's failure to Customer if: (a) Customer closes any account
comply with this Agreement, the Terms and established in connection with the Services
Conditions or any Security Procedures or without establishing a replacement account; (b)
operating requirements relating to the Services; Customer breaches a material obligation under
(b) all fees, costs and expenses owed to each this Aereement, any applicable law or any other
Vendor for its services; and (c) any Losses agreement with us; (c) Customer becomes
incurred as a result of any Vendor's failure to insolvent, is placed in receivership or adjudicated
perform, or delay or error in performing, its bankrupt or Customer becomes subject to any
services. voluntary or involuntary bankruptcy proceeding
or any assignment for the benefit of its creditors;
•
Setoff (d) Customer's financial condition has become
impaired in our good faith opinion; or (e) the
Customer grants us a contractual right of setoff continued provision of Services in accordance
against Customer's deposits and funds in with the terms of this Aereement would, in our
Customer's accounts with us and any Bank good faith opinion, violate federal, state or local
Affiliate at any time in order to satisfy any law or would subject us to unacceptable risk of
unpaid or unperformed obligation to us under loss.
this Aereement, now or at any time in the future.
We may exercise our right of setoff without Upon any termination of this Agreement, .
demand or notice, and without recourse to any Customer shall: (a) promptly pay to us all sums
other collateral. In addition, Customer grants to due or to become due under this Agreement; (b)
us a security interest in Customer's deposit return immediately to us at Customer's expense
accounts with us or our Bank Affiliate. Our the System (if applicable), and all related
rights and interests provided in this Section are materials, and all copies and reproductions
limited to the extent of limitations and thereof, whether written or in magnetic media
restrictions imposed by applicable law. and whether received from us or otherwise and
shall pay us for any damages to any such
Force Majeure materials (ordinary wear and tear excepted); and
(c) have no further right to make use of the
Neither party shall be responsible, and neither System or the Services.
•
shall incur any liability to the other, for any
failure, error, malfunction or any delay in Termination of a Service does not affect
carrying out any of its obligations under this Customer's payment obligations for services that
Agreement or any of the Services if any such we provide to Customer before the Service is
failure, error, malfunction or delay results from terminated. Also, termination of any Service
causes beyond such party's reasonable control, Customer uses does not release Customer or us
including without limitation, fire, casualty, from any of our respective obligations that arose
failure of telecommunications, internet or data or became effective prior to such termination. In
processing services, lockout, strike, unavoidable addition, all provisions of this Agreement
accident,act of God,act of terrorism,riot,war or relating to the parties warranties, representations,
the enactment, issuance or operation of any confidentiality, non-disclosure, proprietary
adverse governmental law, ruling, regulation, rights, limitation of liability and indemnification
order or decree, or an emergency that prevents shall survive the termination of a Service or this
such party from operating normally. Agreement, as applicable.
Termination Entire Agreement
*
Either party may terminate this Agreement or This Agreement, together with the Terms and
any Service at any time by giving 30 days' prior Conditions, any applicable Bank User Manuals,
written notice of termination to the other party. the Application Forms, the Rules, the signature
We may terminate or suspend immediately any card, the account fees, and any resolution or
Service without notice to Customer if Customer other document establishing Customer's
*Exhibit A attached hereto and made a part hereof, s__,5.3
9
authority to engage in the Services and open the whole or in part without Customer's consent;
Designated Accounts (collectively the "Related however, we shall notify Customer of any
Agreements"), constitutes the complete and assignment as soon as commercially reasonably.
exclusive statement of the agreement between
the parties with respect to the Services and the Severability
Designated Accounts and supersedes any prior or
contemporaneous agreements between the In the event performance of Services in
parties with respect to such Services and the accordance with the terms of this Agreement
Designated Accounts. In the event there is a would result in a violation of any present or
conflict between this Agreement and the Terms future statute, regulation or government policy to
and Conditions, the Terms and Conditions shall which we are subject, and that governs or affects
prevail to the extent necessary to resolve the the Services or other transactions contemplated
conflict. Customer acknowledges receipt of the by this Agreement, then this Agreement shall be
Rules, applicable Bank User Manuals and notice deemed amended to the degree necessary to
of account fees and agrees to be bound by their comply with such statute, regulation or policy,
terms. If there is any conflict among the terms and we shall incur no liability to Customer as a
and provisions of the Agreement, the Rules and result of such violation or amendment. If any
the account fees, the terms and provisions of the provision of this Agreement is held to be invalid,
Agreement shall govern, but only to the extent illegal, or unenforceable, the validity, legality,or
reasonably necessary to resolve such conflict. enforceability of the other provisions of this
Agreement will not be affected or impaired by
Counterparts such holding.
The Agreement may be executed in counterparts, Headings
each of which shall be deemed an original and all
of which shall constitute a single instrument. Headings are for reference purposes only and are
not part of this Agreement.
Amendment
Waiver
This Agreement may only be modified in a
writing executed by the parties; however, we No party's failure or delay in exercising any
may modify the Terms and Conditions by giving right or remedy under this Agreement will
Customer thirty (30) calendar days prior written operate as a waiver of such right or remedy, nor
notice. If Customer continues to use a Service shall any waiver by either party of any breach of
after receipt of such notice, Customer is bound its obligations under this Agreement operate as a
by the Terms and Conditions as so modified. waiver of any prior, current or subsequent
breach. No waiver hereunder will be effective
Notwithstanding the foregoing, if a change to unless made in writing.
this Agreement or the Terms and Conditions is
required by law or a regulatory authority with Governing Law; Venue
jurisdiction over us or is, in our discretion,
necessary to preserve or enhance security of the
systems that we use in providing Services to This Agreement shall be construed in accordance
Customer, we may change or add to this Master with and governed by the laws of the State of
Agreement or the Terms and Conditions by Illinois.
giving Customer prompt notice after we make Notices
the change. If Customer continues to use a
Service after receiving such notice, Customer is Except as otherwise provided, all notices and
bound by the new terms and conditions. other communications by either party relating to
this Agreement shall be given promptly in
Assignment writing or electronic medium and shall be
effective either on the date it is actually received
Customer may not sell, assign or transfer any of or 5 days after it is mailed,transmitted or posted,
its rights or obligations under this Agreement whichever is earlier. The address to which all
without our prior written consent. We may notices(other than notices given electronically as
assign our rights and obligations hereunder, in permitted in this Agreement) concerning the
10
Services shall be sent to Customer is that address Customer represents and warrants to us that
we have on our records. Customer (or another Subsidiary) owns a
majority of the outstanding shares or equity
Subsidiaries interests of each Subsidiary.
By executing this Agreement, Customer, each Each Subsidiary acknowledges and agrees that it
"Subsidiary" listed below, and we agree that is responsible for the payment of fees for the
each such Subsidiary shall have all of the rights Services that it receives from us, or for the
and obligations of,and shall for all purposes be a maintenance of balances as the case may be.
party under this Agreement as "Customer".
Each Subsidiary will be deemed to make to us all Customer unconditionally guarantees to us the
representations and warranties of "Customer" full and prompt payment and performance by the
hereunder and will be subject to all obligations Subsidiaries of all obligations they or any of
as "Customer" under this Agreement and the them may incur under this Agreement and the
Related Agreements. Related Agreements.
SIGNATURE PAGE FOLLOWS
11
•
SIGNATURE PAGE TO MASTER TREASURY MANAGEMENT AGREEMENT
CUSTOMER NAME: .(7y OF 6L-41A1 TAX ID NUMBER: —49 00 21
*NOTE: If required by olution,second officer must sign below
Attest
Signed j.Q4,, le *Signed
By Se n R. Stegall By Diane Robertson
(PRINT) (PRINT)
Its City Manager Its City Clerk
(TITLE) (TITLE)
FIFTH T . RD BAN,
By ci� .r a ��—
.�TtJ`�'`...,. Irl• ML:Y S:..
Its �' EN
�tl� ��.\ � I'a.5:
Dated jr-,l. - � , 20/O
6 7 10 redline to Master TM Agreement VER 8 09.DOC
CITY OF ELGIN BANKING SERVICES
BANK DEPOSITORY SERVICES
PROPOSAL FORM
EXHIBIT A
Bank: FIFTH THIRD BANK
Estimated Charge Annual Service
Bank Depository Services Annual Volume Per Item Charges
Account Maintenance(11 accounts) 132 11.0000 $1,452.00
Checks Paid 16,800 0.1000 $1,680.00
Deposits Slips Processed 680 0.6500 $442.00
Items Deposited-non-lockbox 121,560 0.0800 $9,724.80
FDIC Assessment Fee- assumtion per 1000 .1121 (Pass
27,000 Through) $302.67
Wire Transfers:
Incoming 156 5.0000 $780.00
Outgoing 48 7.0000 $336.00
Notification(e-mail)of Wire Transfer Transaction 204 Included PC Banking $0.00
Transfers Between Accounts 2,500 Included PC Banking $0.00
ACH Transactions:
ACH In 5,800 0.0700 $406.00
ACH Out 43,000 0.0700 $3,010.00
ACH Returned 216 2.0000 $432.00
Notification(e-mail)of incoming ACH Transaction 250 No charge
Return checks converted to ACH (RCK) 350 4.0000 $1,400.00
Currency Processing 13,000 See Vault items below
Cash Vault Deposit Notes Non Standard Actual Per Bill 0.0100
Cash Vault Currency 13,000 0.0012 $15.60
Cash Vault coin actual 0.7700
Adjustment actual 8.0000
Currency Order actual 3.2500
Order Per Strappd Currency actual 0.5650
Order Per Coin Roll actual 0.1100
Stop Payments(AMP) 48 10.0000 $480.00
Payee Positive Pay/ARP(with Full recon) 50 60.0000 $3,000.00
Vendor ACH Transactions 600 0.0700 $42.00
Payee Positive Pay per check( With Full recon) 18,000 0.1200 $2,160.00
Payee Positive Pay-exceptions 50 0.0350 $1.75
On-line check/deposit archiving(online) 50 Included below
PC Banking Software 12 See Below for breakdown
AMP Prior Day Module (6 months history) 12 45.0000 $540.00
AMP Prior Day Per Account 132 10.0000 $1,320.00
AMP Prior Day Detail- Est 17,000 0.0300 $510.00
AMP ACH Module 12 30.0000 $360.00
AMP Wire Module 12 10.5000 $126.00
Monthly Account Maintenance 132 included above
Estimated Charge Annual Service
Bank Depository Services Annual Volume Per Item Charges
Check Truncation and monthly CD Rom 12 25.0000 $300.00
Additional Line Items $0.00
Outstanding Check report 50 20.0000 51,000.00
Positive Pay- Paid no Issue actual 2.5000 50.00
RCK- Ist Presentment actual 0.5000 50.00
RCK 2nd Presentment actual 0.5000 50.00
RCK Chargeback actual 0.5000 S0.00
CD Rom per item 16,800 0.0300 $504.00
Repo Sweep Maint Actual 100.0000 50.00
Lock box
Transactions(check converted to electronic deposit)
63,000 0.0140 $882.00
Account Maintenance 12 125.0000 $1,500.00
Deposit imaging 126,000 0.0100 $1,260.00
Weekly CD ROM 52 30.0000 $1,560.00
Rejected Items 75 0.1000 $7.50
Exception Item(Mulit,Check only, etc.) actual 0.1000 $0.00
Lockbox data/character(not needed with OCR) 875,000 N/A $0.00
File Transmission(daily) 240 5.0000 $1,200.00
Retail Lockbox MICR Capture (OCR) 63,000 0.0200 $1,260.00
Other
Remote Deposit
Deposit Transmission 300 Please see attached proposal
Transactions 130,000 _
Lease of Equipment/mo. (5 machines) 60 _
File storage/viewing capabilities 12
Purchase Card
Monthly Fee 0 0.0000
Number of Cards 85 0.0000
Annual Volume 325,000 0.0000
Rebate on $325,000 See attached Schedule & Grid $975.00
Automated Teller Machine(ATM)* *cost @$750 per machine per month
Police Station 722 750.0000 $9,000.00
Centre 1,375 750.0000 $9,000.00
Hemmens 361 750.0000 $9,000.00
Highlands Golf Course new 750.0000 $9,000.00
Bowes Creek Country Club new 750.0000 $9,000.00
Armored Car Services
5 locations 7 days a week S 16,000 No proposal
2 locations 5 business days included above
Agenda Item No.
City of Elgin
7
emo
a x�
April 22, 2010 \ '.� '�
TO: Mayor and Members of the City Council _ � . ,
FROM: Sean R. Stegall, CityManagerleiroA• rry.+tt Stable
C_:rt} Gopereiniext
James R. Nowicki, Fiscal Services Director
SUBJECT: Banking Services
PURPOSE
The purpose of this memorandum is to provide the Mayor and Members of the City Council with
information to consider an agreement with Fifth Third Bank for various banking services.
RECOMMENDATION
It is recommended that the City Council approve a five year contract with Fifth Third Bank for
• various banking services in an estimated amount of$60,692.15.
BACKGROUND
The City recently sought proposals for banking services from area financial institutions. The
Request for Proposal was posted on the City's web site and local banks were encouraged to
review and reply to the Request for Proposal (RFP). The scope of banking services required by
the City included:
• Retail lockbox
• Collateralization of account balances
• Automated sweep feature for end of day balances
• Compensation method for banking services
• P.C. or "on-line" banking services
• Payee positive pay
• Automated account reconciliation
• ACH
• Wire transfers
• Maximizing funds available
• Check to ACH conversion for NSF checks
• Safekeeping
i
•
•
Banking Services
April 22, 2010
Page 2
Optional baking services included:
• Credit card processing
• Remote deposit
• Purchase cards
• Automated Teller Machines (ATMs)
• Armored car services
Bank selection is an objective evaluation focusing on costs, investment benefits, services
provided and personnel involved. If a bank cannot provide the services or provides them in a
less than acceptable manner, then the quoted cost of service cannot be realistically compared
with banks that can completely comply with the RFP requirements. The purpose of the RFP is to
obtain information that would allow the City to compare banks on an "apple-to-apple"basis.
Proposals were evaluated by the Assistant Finance Director, Fiscal Services Director, and James
Beasley, a national expert in the banking services field. Mr. Beasley came highly recommended
by the City's audit firm as well as other local Finance Directors.
Fifteen commercial banking institutions indicated they were interested in handling the City's
banking services. Nine banks submitted proposals. After reviewing the nine proposals, the top
four institutions were interviewed. Two firms, JP Morgan Chase Bank and Fifth Third Bank,
were then selected and site visits were made to view their lockbox operations. Demonstrations
of their on-line banking services were completed at City Hall.
Fifth Third prepared a very high quality proposal and made a very good presentation at the
interviews. The bank is very strong from a credit quality standpoint with a 4-star Bankrate.com
rating. The bank can provide all services in-house as required in the RFP. The pricing for
services is the lowest of all banks. The on-line reporting system is very sophisticated and
complete with proper internal controls. The funds available schedule for deposits is simple and
favorable for the City. The bank offers innovative cash management solutions including the
electronic cash vault and teller payee positive pay in a"real time" environment.
COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED
None.
Banking Services
0 April 22,2010
Page 3
e Y,, FINANCIAL IMPACT
The cost of the required banking services proposed by Fifth Third Bank based on estimated
volumes would total $60,692.15. The City would have the option of either paying for the
services or receiving an earnings credit that would offset the bank charges based on the balance
of funds that remain on deposit and the corresponding interest rate. Should the City decide to
pay for the services, a budget adjustment would be required. Account number 010-2005-718.45-
99, General Fund, Finance Department, Miscellaneous Services, would be charged.
*II/LEGAL IMPACT
None.
ALTERNATIVES
1. The City Council may choose to approve the agreement with Fifth Third Bank for various
banking services in the amount of$60,692.15.
2. The City Council may choose not to approve the agreement with Fifth Third Bank for
0 various banking services.
Respectfully submitted for Council consideration
JRN/mlms
Attachment
0
CITY OF ELGIN BANKING SERVICES
BANK DEPOSITORY SERVICES Bank Responses
PROPOSAL.FORM Updated where submitted
EXHIBIT A
Bank:
Estimated
Bank Depository Services Annual Volume 5th 3rd Charter**** Harris* JP Moraa0 National**"**"
Account Maintenance(11 accounts) • 132 $ 1,452.00 $ 1,980.00 $ 990.00 $ 1,320.00 $ 1,980.00
Checks Paid 16,800 $ 1,680.00 S 1,680.00 $ 2,016.00 $ 1,680.00 $ 2,520.00
Deposits Slips Processed 680 $ 442.00 $ 510.00 $ 510.00 $ 1,020.00 $ 102.00
Items Deposited-non-lockbox 121,560 $ 9,724.80 $ 10,940.40 $ 10,940.00 $21,880.80 $18,243.00
EAQ A'4o4si}te h;Pee,Rt:itiavtd fo OJribanks i.MNi;'e ;$f;l;129 rqTor:;M
Wire Transfers: S 300.00 •
Incoming 156 $ 780.00 $ 1,092.00 $ 1,170.00 $ 1,248.00 $ •
Outgoing 48 S 336:00 $ 240.00 $ 300.00 $ 432.00 $ 720.00
Notification(e-mail)of Wire Transfer Transaction 204 $ - 5 300.00 $ 102.00 $ 510.00 $ -
Transaction 250 $ - $ 120.00 $ -
Transfers Between Accounts 2,500 $ - $ 250.00 $ 1,250.00 $ - $ •
ACH.Transactions: S 1,468.00 $ 1,340.00 $ 7,860.00
ACH In 5,800 $ 406.00 $ 406.00 $ 696.00 $ 348.00 $ -
ACH Out 43,000 $ 3,010.00 $ 3,010.00 $ 3,440.00 $ 2,580.00 8. 792.00
ACH Returned 216 $ 432,00 S 648.00 $ 648.00 $ 540.00 $ -
Notification(e-mail)of incoming ACH Transaction 250 S - $ 180.00 $' 125.00 $ 625.00 S -
Retum checks converted to ACH(RCK) 350 $ 1;400.00 N/A $ 199.50 $ 1,750.00 $ 1,750.00
Currency Processing S 13,000.00 $ 15.60 $ 104.00 $ 20.80 $ 2,373.00
Stop'Payments 48 $ 480.00 $ 324.00 $ 480.00 $ 480.00 $ 720.00
Payee Positive Pay/ARP 50 $ 3,000.00 $ 1,800.00 S• 2,000.00 $ 150.00
Vendor ACH Transactions 600 $ 42.00 $ 42.00 $ 36.00 $ -
Payee Positive Pay per check 18,000 S 2,160.00 $ 720.00 $ 1,260.00 $ 540.00 $ 180,00
Payee Positive Pay-exceptions 50 $ 1.75 $ 50.00 $ 50.00 $ 1,000.00 $ 3,00
On-line check/deposit archiving(online) 50 S 365.00 $ -
PC Banking Software 12 5 2,856.00 $ 2,640.00 $ 2,124.00 $ 720.00 $ 900.00
Monthly Account Maintenance 132 $ - $ 1,980.00
Check Truncation and monthly CD Rom 12 $ 300.00 $ 360.00 $ 3,048.00 $ 960.00 $ 300.00
Other $ 1,504.00 $ 2,304.00 $ 3,404.00
Total Proposed Service
Average Monthly Amount(Total/12)
Balance Required to Support$1.00 of
Services(Exhibit A-2)
Required Monthly Compensation Balance
(Ave.Monthly Amount X Balance Required for$1)
Lock box
Transactions(check converted to electronic
deposit) 63,000 S 882.00 $ 5,040.00 5 6,174.00 $ 12,600.00 $24,570.00
Account Maintenance 12 $ 1,500.00 $ 1,380.00 $ 1,200.00 $ 1,800.00
• • • -
Estimated
Bank Depository Services Annual Volume 5th 3rd Charter** Harris* JPMorgan National
Deposit imaging 126,000 $ 1,260.00 $ 378.00 $ 5,880.00 $ 2,520.00
_ Rejected Items 75 $ 7.50 $ 9.00 $ 26.25
Lockbox data/character 875,000
Other S 4,020.00 $ 8,280.00 $ 21,617.12 $ 4,570.00
Remote Deposit
Deposit Transmission 300 $ 199.50 $ 150.00 $ 225.00 $ 180.00 $ 45.00
Transactions 130,000 $ 5,200.00 5 6,500.00 $19,500.00
Lease ofEquipmentlmo.(5 machine) 60 $ 2,880.00 $ 6,000.00 $ 4,930.00 $ 1,200.00
File storage/viewing capabilities 12
Other $14,721.00 $ 2,400.00 $ 12,780.00 $ 12,510.00 $ -
Purchase Card $ - $ - S - $ -
Monthly Fee 0 $ - $ - $ - $ - $ -
Rebate 0 $ - $ - $ - $ - $ -
Rebate on$325,000 0 ? $ - $ - $ - $ -
Automated Teller Machine(ATM)
Police Station 722 $ 9,000.00 $ 12,000.00 $ 14,400.00 no bid $ 2,000.00
Centre 1,37.5 $ 9,000.00 $ 12,000.00 $ 14,400.00 no bid $ 2,000.00
Hemmens 361 $ 9,000.00 $ 12,000.00 $ 14;400.00 no bid $ 2,000.00
Highlands Golf Course new $ 9,000.00 $ 12,000.00. 5 14,400.00 no bid $ 2,000.00 •
Bowes Creek Country Club new $ 9,000.00 $ 12,000.00 $ 14,400.00 no bid $ 2,000.00
$45;000.00 $ 60,000.00 $ 72,000.00 $10,000.00
Armored Car Services
5 locations 7 days a week $16,000
2 locations 5 business days included above
Total Required Services including Remote Deposit $60,692:15 $ 61,970.40 5.83,968.62 $86,666.85 $76,048.00
Notes
Harris'submitted updated pricing
Charter****RCK not available,Stale date mgt?,lockbox third party,weak bank
National ACH no blocks,No safekeeping,no Payee Pos Pay,no RCK,Lockbox in Iowa
CITY OF ELGIN BANKING SERVICES
CREDIT/MERCHANT CARD PROCESSING Bank Fees Only
PROPOSAL FORM #
EXHIBIT A-1 °°.' 1
5th 3rd Charter Hams* JP Moreau* National
OPTIONAL BANKING SERVICES
Credit/Merchant Cards Estimated
Annual Volume
Units Dollars
Swiped
•
MasterCard
Annual Volume 20,880 I S 2,175,365 $ 7,178.70 $ 5,351.05 $ 3,663.17 $ 5,438.41 $ 4,245.89
Average 1,740 $ 104.18
VISA
Annual Volume 39,132 I$ 3,020,531 $ 9,967.75 $ 8,444.00 $ 5,491.97 $ 7,551.33 $ 7,112.26
Average 3,261 $ 77.19
Discover
Annual Volume 4,320 $ 457,140 $ 1,508.56 $ 1,117.71 $ 767.08 $ 1,142.85 S 884.11
Average 360 $ 105.82
American Express Not Currently in Use
Annual Volume
Average
Debit Card:
Annual Volume Not Currently.in Use
Average
1
Credit/Merchant Cards Estimated
Annual Volume
• Units Dollars
Internet/Phone
MasterCard:
Annual Volume' 18,622 I$ 2,141,530 .$ 7,067.05 $ 5,074.50 $ 3,52.8.87 $ 5,353.83 $ 3,947.84
Average' 1,552 $ 115.00
VISA: •
Annual Volume
Average
Discover
Annual Volume
Average
American Express:
Annual Volume Not Currently in Use
Average I .
Cost per deposit 01 0
Account Maintenance' 12 $ 7.50 $ 90.00 $ 96.00 $ 120.00 $ 36.00
Chaigeback/Dispute Fee 15 $0.00 $ 7.00 $ 150.00 $ 16.00 $ 96.00 $ 150.00
Other Fees(Please identify)2 12 $ 8.00 $ 8.95
Equipment Fees City Ownes Equipment
Equipment Reprogramming Fees See Above
*combination of VISA,MasterCard&Discover,
breakdown undeterminable Total $ 25,738.01 $ 20,227.26 $13,563.09 $ 19,702.42 $ 16,376.10
'VISA/MC only;statement fee,per acct/per
month
2 VISA/MC only;internet fee per acct/per month
ill
Notes
*JFB calculate fees
•
7.
Interest Rates and Compensating Balance Rates ,
Illinois 5th 3rd Charter Harris 1 P Morgan National
Funds rate [CR Sweep ECR NOW ECR Sweep Repo NOW NOW
410
Jan-07 5.16% 4.75% 4.75% 4.42% 5.26% 0.032 5.31% 3.10% 5.27% 4.48%
Feb-07 5.19% 4.75% 4.75% 4.45% 5.25% 0.032 5.34% 3.10% 5.27% 4.53%
Mar-07 5.19% 4.75% 4.75% 4.48% 5.24% 0.031 5.34% 3.10% 5.27% 4.44%
Apr-07 5.16% 4.75% 4.75% 4.45% 5.25% 0.03 5.31% 3.10% 5.27% 4.37%
May-07 5.08% 4.75% 4.75% 4.35% 5.25% 0.029 5.23% 3.10% 5.27% 4,23%
Jun-07 5.01% 4.75% 4.75% 4.26% 5.25% 0.028 5.16% 3.10% 5.27% 4.11%
Jul-07 5.06% 4.75% 4.75% 4.25% 5.25% 0.027 5.21% 3.10% 5.27% 4.32%
Aug-07 4.63% 4.75% 4.75% 4.08% 5.38% 0.0265 4.78% 3.10% 5.27% 170%
5ep-07 4.76% 4.25% 4.25% 3.89% 539% 0.025 4.91% 3.10% 5.14% -3.39%
Oct-07 4.62% 4.00% 4.00% 3.62% 5.04% 0.0225 4.77% 2.85% 5.12% 3.40%
Nov-07 4.08% 4.00% 4.00% 3.30% 4.86% 0.0225 4.23% 2.85% 5,12% 2.77%
Det-07 3.83% 3.75% 3.75% 3.01% 4.87% 0.0225 3.98% 2.70% 5.12% 2.50%
Jan-08 328% 3.00% 3.00% 2.59% 3.81% 0.0375 3.43% 2.40% 4.07% 2.25%
Feb-08 2.59% 250% 250% 2.23% 2.98% 0.0325 2.74% 153% 3.56% 1.62%
Mar-08 2.03% 1:75% 1.75% 1.56% 2.68% 0.03 2.18% 1.27% 2.17% 0.76%
Apr-08 2.07% 1_50% L50% 1.16% 2.69% 0.025 2.22% L00% 2.17% 0.79%
May-08 1.98% 1.50% L50% 1.01% 2.59% 0.025 2.13% 0.90% 1.92% 1.23%
Jun-08 2.04% 1.50% 1.50% 1.01% 2.66% 0.025 2.19% 0.90% 1.92% 1.36%
Jul-08 2.05% 1.50% 1.50% 1.01% 2:69% 0.025 2.20% 0-90% 1.92% 1.13%
Aug-08 2.06% 150% 150% 1.01% 2.70% 0.025 2.21% 0.90% 1.92% 1.22%
Sep-08 2.02% 1.50% 2.50% L01% 3.02% 0.025 2.17% 0.90% 1.92% 0.63%
Oct-08 1.17% 0.50% 0.50% 101% 3.95% 0.025 1.32% 0.71% 1.81% 0.25%
Nov-08 0.79% 0.50% 050% 1.01% 2.17% 0.025 0.94% 0.56% 156% 0.25%
Dec-08 0.50% 0.40% 0.15% 1.01% 1.72% 2.25% 0.65% 0.40% 0.80% 0.25%
Jan-09 0.45% 0.40% 0.15% 1.01% 1.11% 2.25% 050% 0.20% 050% 0.25%
Feb-09 0.46% 0.40% 0.15% 0.71% 114% 2.00% 0.61% 0.15% 050% 0.25%
Mar-09 0.40% 0.40% 0.15% 0.71% L16% 2.00% 0.55% 0.15% 0.50% 0.25%
Apr-09 0.26% 0.40% 0.15% 0.71% 100% 2.00% 0.41% 0.15% 0.50% 0.25%
May-09 0.20% 0.40% 0.15% 0:71% 0.71% 2.00% 0.35% 0.15% 0.50% 0.25%
Jun-09 0.18% 0.40% 0.15% 0.71% 0.52% 2:00% 0.33% 0.15% 0.50% 0.25%
Jul-09 0.17% 0.40% 0.15% 0.71% 0.41% 2.00% 0,32% 0.15% 050% 0.25%
Aug-09 0.15% 0.40% 0.15% 0.71% 0.32% 1.75% 0.30% 0.15% 0.50% 0.25%
Sep-09 '. 0.15% 0.40% 0.15% 0.71% 0.19% 1.75% 0.30% 0.15% 0.50% 0.25% •
Oct-09 0.09% 0.40% 0.15% 0:71% 0.18% - 1.50% 0.24% 0.15% 0.50% 0.25%
Nov-09 0.11% 0.40% 0.15% 0.71% 0.16% • 1.25% 0.26% 0.15% 0.50% 0.25%
Dec-09 0.12% 0.40% 0.15% 0.71% 0.15% . 1.25% 0.27% 0.15% 0.50% 0.25%
Jan-10 0,09% 0.40% 0.15% 0.71% 0.02% - ' 1.00% 0.24% 0.15% 0.50% 0.25%
3 yr.Average 2.25% 2.08% 1.98% 1.99% 2.78% 2.37% 2.40% 1.37% 2.56% 1.65%
Annual Earnings $ 112,405 $ 103,851 $ 99,122 $ 99,608 $ 139,209 $ 118,649 $ 119,905 $ 68,473 $ 128,243 $ 82,743
$ 5,000,000.00