Fiscal Note
There is an initial set-up fee of $350.00 which is more than offset by administrative savings due to reductions in the number of checks and purchase orders issued. Additionally, an annual rebate of approximately $40,000 will be received from JP Morgan Chase which will be computed based upon the City's transaction spend and payment turn.
Title
To authorize the Mayor and City Clerk to enter into a contract on behalf of the City with Chase Bank USA, National Association for credit cards services for limited purchase of goods and services by pre-approved City employees via the JP Morgan Chase Commercial Card program.
Body
WHEREAS, the City currently uses a purchasing card (P-card) program which empowers authorized employees within departments to make purchases directly, up to a certain pre-approved dollar amount, using a pre-authorized credit card; and
WHEREAS, the P-cards have improved purchasing procedures by reducing the number of steps needed to initiate a purchase: fewer individuals are involved, less time is needed to purchase and receive goods, and there is reduced possibility for error in the purchase-order process, and further encouraging employees to make good purchasing decisions, making end-users responsible for purchases, and by allowing Purchasing Services personnel to concentrate on larger purchases and managing contracts and vendor relationships; and
WHEREAS, currently, some businesses with whom we would like to do business do not accept Purchase Orders, but they do accept purchasing cards, and the internet has exposed the City to a world of vendors with competitive prices and a "check or credit card" only requirement; and WHEREAS, the City's current purchasing card contract will be terminated, effective September 27, 2005; and
WHEREAS, the City has solicited proposals under RFP #7736 from commercial providers of this service and based on the proposals, the City has determined that it is in the best interest of the City to us...
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