HomeMy WebLinkAbout12-134 Resolution No. 12-134
RESOLUTION
AUTHORIZING EXECUTION OF TERMS AND CONDITIONS
WITH FIFTH THIRD BANK FOR
REMOTE CURRENCY MANAGER SERVICES
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that
Sean R. Stegall, City Manager be and is hereby authorized and directed to execute Terms and
• Conditions on behalf of the City of Elgin with Fifth Third Bank for remote currency manager
services, a copy of which is attached hereto and made a part hereof by reference.
s/ David J. Kaptain
David J. Kaptain, Mayor
Presented: August 22, 2012
Adopted: August 22, 2012
Omnibus Vote: Yeas: 7 Nays: 0
Attest:
s/Kimberly Dewis
Kimberly Dewis, City Clerk
1.
FIFTH THIRD BANK
Terms and Conditions
Remote Currency Manager Service
These Terms and Conditions are part of the "Terms and Conditions" referred to in the
Master Treasury Management Agreement (the "Master Agreement") currently in effect between
the "Customer" identified in the signature block below ("you") and Fifth Third Bank ("we" or
`us").
1. Services.
Description. These are the "Terms and Conditions" under which we will provide to you
our Remote Currency Manager Service (the "Service"). This Service enables you to receive
provisional credit in your account with us on a daily basis for cash receipts secured in and
reported to us by secure safe equipment (a "Secure Safe") provided by one of the armored
courier and currency management vendors with whom we have a contractual relationship ("Safe
Service Providers"). Once you have obtained and installed a Secure Safe at one of your
locations:
• Your personnel can place currency into the secure cassette or receptacle
("cassettes") feature of the Secure Safe at that location,
• The currency can be read and counted by the Secure Safe that can then
transmit to us through your Safe Service Provider on a daily basis an
electronic file reporting the amount of currency in the cassettes and related
information (the "Report"),
• Based on the information we receive in that Report, we will on each Business
Day post provisional credit to your demand deposit account with us for the
amount of cash reported to us in the Report as received in the cassette since
the last Report, provided we receive the Report prior to our standard cutoff
time for processing the Report that Business Day, and
• Your Safe Service Provider will pickup and transport the contents of the
Secure Safe to a cash virtual vault location operated by the Safe Service
Provider("Virtual Vault").
You are responsible for contracting with the Safe Service Provider you select for the
purchase or lease of the Secure Safe and related services, and for the pickup and transportation of
the contents of the Secure Safe. Further details about the Service are provided below. A
"Business Day" is a weekday on which we are open to the public for the transaction of business.
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Set Up and Implementation. Before we can make the Service available to you, you must:
• Enter into an equipment and service agreement with your Safe Service
Provider for the Secure Safe equipment, software and service, and courier
services (the "Provider Agreement"), and complete the installation and
training required by your Safe Service Provider; and
• Complete the set up and implementation process for our Service including
establishing or designating an account with us to be provisionally credited for
deposits received under this Service (a "Designated Account"), designating
delivery points for the contents of the Secure Safe, and establishing and
testing connections with your Safe Service Provider for the transmission of
Reports.
You understand that you are solely responsible for the selection of your Safe Service Provider,
and its products and services, as well as the terms and conditions of the Provider Agreement.
Additional Services. If you wish to use any of our other services in connection with this
Service, you must complete the Application Forms for that service, and your use of that service
will be subject to the Terms and Conditions for that service.
Rules. The Designated Account and your transactions in the Designated Account are also
subject to the Rules and Regulations Applicable to All Fifth Third Accounts (however named,
the "Rules") as in effect from time to time. In the case of any conflict between the Rules and
these Terms and Conditions, these Terms and Conditions control to the extent necessary to
resolve the conflict.
2. Deposits.
Secured Funds. The placement and counting of currency in, and the compilation and
transmission of Reports and other data from the Secure Safe equipment are subject exclusively to
the terms of the Provider Agreement. Our Service commences once we have received the Report
from your Safe Service Provider reporting the amount of funds counted and secured in a cassette
("Secured Funds") and depends on the receipt of accurate and timely Reports in correct and
readable format from your Safe Service Provider. You agree that all Secured Funds will be
delivered to your Safe Service Provider for transportation to us or an approved Virtual Vault
location for verification and processing, and will not be removed from the Secure Safe or used
by you for any purpose. Our Remote Currency Service is offered only for Secured Funds. If you
place cash, checks or other instruments in the Secure Safe outside the cassettes which are picked
up by your Safe Service Provider, such cash, checks or other instruments are not Secured Funds
under these Terms and Conditions.
Transmission of Report. You authorize your Safe Service Provider to transmit to us, and
us to receive the Report which, among other things will specify the amount of Secured Funds
added to and contained in the cassettes each Business Day. We will rely exclusively on the
accuracy of the information transmitted to us by your Safe Service Provider in the Report in
determining the amount of provisional credit we give you. We are not responsible for any failure
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of the Report to be timely communicated to us or for any errors in the Report. In addition, you
expressly grant us authority to review and access the Report and other data generated by your
Safe Service Provider relating to Secured Funds in the Secure Safe.
Provisional Credit; Ownership of Secured Funds. We will post provisional credit in the
Designated Account for Secured Funds on the Business Day we receive the Report subject to our
normal deposit cutoff hours and to any reserves we establish. For example, if you cause your
Safe Service Provider to transmit to us a Report of Monday's receipts in the cassettes after the
close of business on a Monday and prior to our processing cutoff time on Tuesday, the amount of
Secured Funds reported in that Report will be reflected in the Designated Account for Tuesday
assuming Tuesday is a Business Day. All credit we give you for deposits is provisional and
subject to verification and correction for the amount of Secured Funds actually received by us
including for errors, counterfeit currency and miscounts. If the contents of the Secure Safe for
which we gave you provisional credit are not delivered to the Virtual Vault location approved by
us in the set up process at the next scheduled pickup, or if the amount of legal currency delivered
to us or the Virtual Vault is less than the amount reported in the Report, then regardless of the
reason or circumstances, we will reverse any credit we gave you and in any case, you are
obligated to us for any adjustment and related effects. Once we post provisional credit in your
account based on a Report, the Secured Funds shall be deemed, as between you and us to be our
property, and you shall be responsible to us for the contents of the cassettes. To the extent you
retain any interest in the Secured Funds by operation of law or otherwise, you hereby grant us a
security interest in all such Secured Funds. You further agree that once cash you deposit in the
Secure Safe has become Secured Funds, your Safe Service Provider shall be deemed to be
holding the Secured Funds in the Secure Safe for the benefit of us.
Checks and Other Funds; Adjustments. You may cause your Safe Service Provider to
deliver checks and funds other than Secured Funds to the Virtual Vault location along with
Secured Funds. We are not responsible for checks and other funds until we have received them
directly or at a Virtual Vault location. Any checks, drafts or items delivered will be forwarded
for processing. For currency and coin other than Secured Funds, we will credit the Designated
Account with the aggregate dollar amount of such currency and coin stated on the corresponding
deposit slip accompanying delivery. Such credit is provisional and subject to adjustment upon
physical receipt at the appropriate Federal Reserve Bank, or after we complete the physical
count. You acknowledge that we will adjust your account for any errors or as a result of
counterfeit funds delivered to us including Secured Funds. Similarly, provisional credit will be
given for checks and other coin and currency received on the Business Day of deposit, subject to
applicable cutoff times and the Rules.
Counts. You agree that the Safe Service Provider's count of Secured Funds and our
count of other currency and coin received by us or through your Safe Service Provider are final
and conclusive. We are not liable for any shortage due to any counterfeit or contraband, whether
discovered upon delivery to us or any time after delivery. In no event are you entitled to any
amount in excess of the correct balance of your deposit, whether the error was caused by
improper commingling of funds, inaccurate counts, clerical error or otherwise.
Pickup. You are responsible for arranging for transportation of the Secured Funds and
other funds to one of our Virtual Vault locations designated in the set up process. You must
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provide us in the set-up process with a copy of the written pickup schedule you arrange with
your Safe Service Provider. We must receive the Secured Funds from you in accordance with
that schedule. Any change in the scheduled deliveries to us may result in a change to the charges
for the Service.
3. Change Orders.
Process. You may order currency and coin from us (a "Change Order") at any time
through one of several methods we offer. When we receive your Change Order, we or our
currency service agent (who may be your Safe Service Provider) will physically count and
bundle the currency or coin ordered by you and make them available for your Safe Service
Provider. If the Change Order is received after the cutoff time or is received on a day that is not
a Business Day, the Change Order will be processed on the next Business Day. Change Orders
will be available within two Business Days of acceptance of the Change Order. You must notify
us of any discrepancy pertaining to a Change Order within two Business Days after you receive
the coin or currency. You must also provide us with documentation to support any such
discrepancy.
Debit. We will debit the Designated Account for the dollar amount of the Change Order
on the Business Day we receive your Change Order.
4. Our Relationship. You acknowledge that we and your Safe Service Provider are
independent and separate entities and are not operating as a partnership, joint venture or other
combined enterprise. The Secure Safe equipment, software and service, Report generation and
transmission, and pickup, courier and related services are provided to you by your Safe Service
Provider under the Provider Agreement, and are not part of the Service or any other service we
provide. You agree to look solely to your Safe Service Provider for any problems or disputes
under the Provider Agreement or with respect to the services, equipment, software and Reports
provided by your Safe Service Provider. We are not responsible for any obligation or liability of
your Safe Service Provider under the Provider Agreement. This means, among other things that
we are not responsible for the equipment, software or service provided by your Safe Service
Provider, the content of any Report, the failure of your Safe Service Provider to timely transmit a
Report to us or the transportation of the contents of any cassette or other funds. We rely on the
continued effect of the Provider Agreement in providing the Service to you including the
compliance by you and your Safe Service Provider with the terms of the Provider Agreement.
You agree to promptly notify us of any material change in the Provider Agreement.
5. Statements and Notices. Your deposit activity through the Service will be
reflected on your regular periodic statement for the Designated Account as provided in and
subject to the Rules. We offer a number of additional options for deposit reporting and viewing
your account activity. You should carefully and promptly review the statements we provide or
make available to you. You must notify us of any error or account problem within 30 days of the
date we sent or otherwise made available to you your periodic statement or other account
information indicating the error or account problem.
6. Fees. You agree to pay us our fees for the Service as separately agreed in writing.
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7. Term and Termination. You agree to maintain the Service with us for a term of
five years (the "Term") beginning on the Effective Date set forth on the Signature Page below
(or, if no date is specified, the date we sign these Terms and Conditions). You acknowledge that
our fees for the Service have been structured on the assumption that we would provide the
Service to you for the full length of the stated Term. If you terminate the Service after the Term
begins, you agree to pay us a termination fee equal to the product of: (a) the average of our
monthly fees for the Service during the most recent three months prior to termination multiplied
by (b) six, unless: (i) you have terminated the Service due to our material breach of these Terms
and Conditions; or (ii) the Provider Agreement is terminated by (A) the Safe Service Provider in
breach of that agreement, or (B) you in accordance with the terms of that agreement. We agree
that the closing (whether temporary or permanent) or moving of an individual store or retail
location in the ordinary course of your business does not itself trigger the obligation to pay us the
foregoing fee with respect to that store or location. We reserve the right to terminate the Service
and close your accounts as provided in the Master Agreement.
8. Miscellaneous.
Representations. We each represent to the other that these Terms and Conditions have
been authorized by all necessary corporate or other entity action and are our valid, legal and
binding obligation. You represent and confirm to us that the person signing below on your
behalf is an Authorized Agent.
Master Agreement. This document is part of the "Terms and Conditions" as defined in
the Master Agreement. Your use of the Service is subject to all of the terms and conditions
contained in the Master Agreement as it may be amended. Capitalized terms used but not
defined in these Terms and Conditions have the meaning provided in the Master Agreement.
*****Signature Page Follows*****
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Signature Page to Remote Currency Manager Service
These Terms and Conditions have been executed on behalf of the parties by their duly authorized
representatives.
CUSTOMER NAME: CITY OF ELGIN TAX ID NUMBER: 36-6005862
Signed e."-A % .�C , *Signed
By: Sean R. Stegall By:
(PRINT) (PRINT)
Its City Manager Its
(TITLE) (TITLE)
*second signature if required by
Customer's resolutions
FIFTH THIRD BANK
By: tk& Ca/Yt/mu,?l
Its i/l`PctSU1l,(,l, O oma, e�rmtt Offcm.,
Dated � ao IL
Effective Date: August 22 , 2012
Fifth Third and Fifth Third Bank are registered service marks of Fifth Third Bancorp. Member
FDIC.
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