HomeMy WebLinkAboutContract 52288-A3 CSC No.52288-A3
THIRD AMENDMENT TO
FORT WORTH CITY SECRETARY CONTRACT NO. 52288
This Third Amendment to Fort Worth City Secretary Contract No. 52288 ("Third Amendment")is made
between the City of Fort Worth("Fort Worth"),a municipal corporation and Paymentus,a Delaware Corporation
("Vendor").
WHEREAS,Fort Worth and Vendor entered into an Agreement identified as Fort Worth City Secretary
Contract No. 52288 beginning December 1,2018(the "Agreement"); and
WHEREAS,the Maximum Amount per Payment per Credit Card was increased to $10,000,the Maximum
Amount per Check payment was increased to $2,500 and multiple payments will be allowed in each case; and
WHEREAS,the American Express(AMEX)payment method to the Absorbed Fee Model in Schedule A
was added;
NOW THEREFORE,known by all these present,Fort Worth and Vendor,acting herein by and through
their duly authorized representatives,agree to the following terms,which amend the Agreement as follows:
The Agreement is hereby amended by increasing the contract amount by$100,000 by utilizing the
Administrative Amendment funding approved on M&C C-28976. The "not to exceed"amount will increase from
$3,020,845.00 to $3,120,845.00;
All other terms,provisions,conditions,covenants and recitals of the Agreement not expressly amended
herein shall remain in full force and effect.
[Signature Page Follows]
OFFICIAL RECORD
CITY SECRETARY
FT.WORTH, TX
Executed effective as of the date signed by the Assistant City Manager below.
FORT WORTH:
City of Fort Worth Contract Compliance Manager:
By signing I acknowledge that I am the person
responsible for the monitoring and administration
B of this contract,including ensuring all performance
By: Dana Burghdoff(Way 10,2 10U1Z :52 CDT) and reporting requirements.
Name: Dana Burghdoff
Title: Assistant City Manager
Date: May 10,2022 B �Ul�IGIGLt�6l1�G�1
y; William Bailey(May 9,2022 4:29 CDT)
Name: William Bailey
Approval Recommended: Title: IT Manager, Water Department
Approved as to Form and Legality:
By:Christopher H rder(May9,202216:55CDT)
Name: Christopher Harder �5�
Title: Director,Water Department By:
Name: Taylor Paris
Attest: Title: Assistant City Attorney
Contract Authorization:
75- aeea�al�i//// M&C: C-28976
By: 4affiette S.Goodall(May 10,Name: 211 cDr>
Jannette Goodall
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Title: City Secretary o° °o����
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VENDOR: �4n nEXASoAp
Paymentus Corporation
David shayiro
By: David Shapiro(May 9,2022 14:10 EDT)
Name: David Shapiro'
Title: Senior Vice President
Date: May 9, 2022
OFFICIAL RECORD
CITY SECRETARY
FT.WORTH, TX
5/5/22,3:12 PM M&C Review
Official site of the City of Fort Worth,Texas
CITY COUNCIL AGENDA FORTTII
COUNCIL ACTION: Approved on 12/11/2018
Create New From This M&C
DATE: 12/11/2018 REFERENCE NO.: **C-28976 LOG NAME: 60PAYMENTUS GROUP
CODE: C TYPE: CONSENT PUBLIC HEARING: NO
SUBJECT. Authorize Execution of a Contract with Paymentus Group, Inc., (Paymentus)to Provide
an Enhanced Payment Processing Solution for the Water Department in an Estimated
Amount of$3,020,845.00 Per Year(ALL COUNCIL DISTRICTS)
RECOMMENDATION:
It is recommended that the City Council authorize execution of a contract with Paymentus Group, Inc.,
(Paymentus)to provide an enhanced payment processing solution for the Water Department using an inter-
local agreement with the City of North Richland Hills, in an estimated amount of$3,020,845.00 per year.
DISCUSSION:
In 2017, the City's utility billing system provider, Superion (now known as Central Square), announced it
would no longer support the transaction manager solution for its customers. This means that the City must
transition to another solution that could be integrated into the Central Square system. The Water
Department determined that the Paymentus transaction manager best fulfills future growth needs to provide
more state-of-the-art payment processing services for utility customers. Also, as a member of Central
Square's third-party solution provider programm, Paymentus provides trusted, compliant, seamless
integration with the current billing system.
Staff recommends execution of a contract with Paymentus to promote faster, more secure, and cost-
effective payment processing. Paymentus provides an integrated solution, which allows for more customer
engagement with a full-service mobile solution, online Quick Pay access, paperless billing, IVR-telephone
access and in-person payment processing. In addition, the full-service mobile payment solution allows the
City to gain the ability to utilize text-to-pay and offer outbound messaging via phone, text and email.
Paymentus will allow for real-time payment processing and will also streamline daily reconciliation by
eliminating end of day batch settlements, promoting timely revenue postings to the General Ledger.
Financial reporting will be simplified and will enable more efficient partnering with one vendor instead of the
five currently used.
In addition, Paymentus provides a fully-hosted reliable platform that meets all Payment Card Industry (PCI)
compliance standards to reduce, or eliminate the PCI security concerns. Paymentus will not charge any
fees related to the initial setup and personalization of its standard service for any of the billing and payment
solution interfaces.
For each payment transaction, Paymentus charges a transaction fee. The fees will be determined by two
categories which include "qualifying" bank cards and "non-qualifying" specialty pre-paid cards. The annual
cost is estimated to be $3,020,845.00.
This estimate is based on August 2018 transaction volumes with a projected 15% annual increase in credit
card usage, based on the trend experienced over the last five years. Below is a comparison of costs for
qualifying bank cards and checks fees.
Current Cost Per Transaction -
Credit Card Cost per Transaction $1.48
F
apps.cfwnet.org/council_packet/mc_review.asp?ID=26568&councildate=12/11/2018 1/3
5/5/22,3:12 PM M&C Review
Check Cost per Transaction $1.02
Estimated total cost per transaction Fil.44
Proposed Cost per Transaction
Credit Card Cost Transaction $1.53
Check Cost per Transaction _ $0.40
Estimated total cost per transaction F$
INTERLOCAL PURCHASE - State Law provides that a local government purchasing an item under an
interlocal purchasing agreement satisfies state laws requiring that the local government seek competitive
bids for purchase of the item. The North Richland Hills Contract(NRH Contract)that the City is using as an
Interlocal Purchasing Agreement was competitively bid.
SUCCESSOR CONTRACTS: To facilitate planning and budgeting, staff would prefer to have annual
Agreements that align with the Fiscal Year. However, the NRH Contract is out of alignment with the City's
Fiscal Year. In order for this Agreement to align with the City's Fiscal Year, adoption of this Mayor and
Council Communication (M&C) authorizes (i) a series of Purchase Agreements, each of which will align to a
term of the NRH Contract to ensure legal authority exists for the contract, and (ii) an annual spend amount,
future years of which would be subject to City Council appropriation. In the event that the NRH Contract is
not renewed, staff would cease purchasing at the end of the last Purchase Agreement coinciding with the
valid NRH Contract. If the City Council were to not appropriate funds for a future year, staff would stop
making purchases when the last appropriation expires, regardless of whether the then-current Agreement
has expired.
ADMINISTRATIVE AMENDMENT. an administrative change order or increase may be made by the City
Manager in the amount up to $100,000.00 and does not require specific City Council approval as long as
sufficient funds have been appropriated.
M/WBE: A MBE/SBE goal is not assigned when purchasing from an approved purchasing cooperative or
public entity.
TERM: Upon City Council approval, this Agreement shall begin on December 1, 2018, and end on
November 30, 2019.
RENEWAL OPTIONS: The purchase of the Paymentus Transaction Manager and payment services under
this Agreement may be renewed in accordance with the NRH Contract which automatically renews for
successive three (3)year periods unless writen election not to renew is provided six months prior to the end
of such renewal date. This action does not require specific City Council approval provided that the City
Council has appropriated sufficient funds to satisfy the City's obligations during the renewal term.
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that funds are available in the current operating budget, as appropriated, of
the Water and Sewer Fund. Prior to an expense being incurred, the Water& Sewer Department has the
responsibility to validate the availability of funds.
TO
Fund Department Account Project Program Activity Budget Reference# Amount
ID ID Year Chartfield 2
FROM
Fug Department Account Project Program Activity Budget Reference# Amount
ID ID Year (Chartfield 2)
Submitted for City Manager's Office by•. Jay Chapa (5804)
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5/5/22,3:12 PM M&C Review
Originating Department Head: Chris Harder(5020)
Additional Information Contact: Charmaine Baylor (6629)
ATTACHMENTS
1295.pdf (Public)
Paymentus Group FID Table.pdf (CFW Internal)
Paymentus Group Inc.pdf (Public)
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