REQUEST FOR PROPOSAL FOR BANKING SERVICES

ISSUED BY THE CORPORATION OF THE TOWN OF AYLMER

Issue Date: June 5, 2015 Return Date: June 26, 2015 12:00 noon

GENERAL INFORMATION AND INSTRUCTIONS TO BIDDERS

The Town of Aylmer Administration office is located at 46 Talbot Street West, Aylmer, Ontario. The Town of Aylmer has a population of approximately 7018 persons. We offer a diversity of property types including commercial business, light industries and a large residential base.

Town of Aylmer - Community Goal Statement Aylmer will be a vibrant market centre for East Elgin. To ensure and enhance our small town atmosphere, we will: • Ensure the quality of life and safety of families and neighbourhoods • Encourage and facilitate enterprise in business • Preserve our heritage • Develop economic diversity • Ensure planned orderly growth • Make town attractive • Promote spirit of community participation Town of Aylmer Visioning Sessions 1998-2000

This document constitutes a Request for Proposal (RFP), which specifies the Town of Aylmer requirements for banking services. All pricing information should be fully disclosed with all charges clearly defined, i.e. a per unit fee based on activity, a flat monthly or annual fee for specific services detailed. Please feel free to address any other potential services not specifically mentioned in the RFP that may be of benefit to the Town. TERMS OF THE CONTRACT The term of the contract will be for five (5) years and will take effect September 1, 2015. The contract may be extended by mutual agreement. Ninety (90) days written notice must be given if either party wishes to terminate the agreement. QUESTIONS DURING PROPOSAL PROCESS Enquiries regarding this RFP should be directed to Ms. Lisa Pelton, Director of Finance. Questions will only be taken up to June 12, 2015.

Contact Information as Follows: 46 Talbot Street West Aylmer, Ontario N5H 1J7 519-773-3164 phone 519-773-3029 fax [email protected] email address Bidders finding apparent discrepancies in the RFP should notify Ms. Pelton upon discovery. All bidders will be advised of any additions, clarifications, deletions or alterations to these specifications. Any changes are to be part of the proposal. SUBMISSION OF PROPOSAL Submit two copies of the proposal, in sealed envelopes and clearly mark it RFP, Banking Services address to: Town of Aylmer 46 Talbot Street West Aylmer, Ontario N5H 1J7 Attention:

Lisa Pelton Director of Finance

Late submissions will not be accepted. Fax or any other electronic communications are not acceptable forms of RFP submission. Proposals will be opened June 26, 2015 at 1:00 p.m. The Town of Aylmer will not be responsible for any costs incurred by the bidders associated with the preparation of responses to the RFP. Proposals received past the date and time stated above will not be considered and will be returned to the bidder unopened. EVALUATION CRITERIA AND PROCESS Proposals will be evaluated based on the following categories: Electronic Banking Services, Interest Rate Structure on Operating Loans, Bank Service Charges (if any) and the Provision of Ancillary Services. Consideration will be given to the bidder’s ability to provide information on innovative services and products providing cost efficient alternatives to the Town of Aylmer’s current operations.

The proposals will be reviewed by the Town’s Finance Department and all or some bidders may be invited to present their proposals for the purpose of providing clarification and answers to questions that may come up. A recommendation for the awarding of the contract will be made at Council meeting scheduled for August 4th, 2015 (date may be changed due to complexity of bid submissions). CONTRACT AWARD The Town of Aylmer reserves the right to accept any proposal submitted or reject all proposals. Any proposal submitted that is not in compliance with the requirements of the proposal documents may be accepted or disqualified at the option of the Town of Aylmer. It is anticipated that the successful bidder will be notified by August 5th following a recommendation to Council on August 4th at regular council meeting. Please outline in your proposal the assistance (human and financial resources) your bank is prepared to provide in order to meet the scheduled September 1, 2015 date for the full implementation of services. TERMINATION OF CONTRACT The Town of Aylmer reserves the right to terminate the agreement with 30 days written notice to the bank subject to the following: • • •

The bank fails to perform in accordance with the specified service requirements as set out in the RFP The bank fails to provide any product or service as defined in this document The provisions of the RFP are violated to a substantial degree

LIABILITY The Town of Aylmer will not be held liable for any actions of the bank and/or its employees. IMPORTANT DATES • • • • •

Last day for questions – June 12, 2015 Submission of RFP due 12:00 noon – June 26, 2015 Opening of RFP 1:00 p.m. – June 26, 2015 Recommendation to Council – August 4, 2015 Notification to successful bidder – August 5, 2015

BIDDER QUALIFICATIONS To be considered a candidate for the provision of banking services for the Town of Aylmer bidders must: •

A bank listed in Schedule I, II or III to the Bank Act (Canada),

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A loan corporation or trust corporation registered under the Loan and Trust Corporations Act, or

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A credit union or league to which the Credit Unions and Caisses Populaires Act, 1994 applies.

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Maintain corporate commercial banking offices in the Town of Aylmer

SERVICE REQUIREMENTS Background Information The Town of Aylmer revenues come from one major source and are received through PAP quarterly or monthly payments or quarterly through rate payers or mortgage companies on the last business day of March, June, August and October. Expenditures flow through the purchasing and accounts payable process established by the Town and is paid on the basis of the terms of contract and/or invoice. Payroll is paid biweekly for all staff. Location of Bank Branches The Town of Aylmer accounts are to be maintained at a branch in the Town of Aylmer offering a full range of services and within a reasonable distance from the Town of Aylmer Administration Building. In addition, Town of Aylmer has departments that require access to a bank branch in order to deposit revenues received directly at various department locations. Business Accounts There are three main accounts used by the Town of Aylmer to conduct Town business. 1. General Account, used for majority of daily operations • Monthly Cheque/Pre-Authorized Debits Issued: Approx 275 • Monthly Deposits/PAP/DEFT Completed: Approx. 365

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Monthly Bank Statements required with cancelled cheque and all other documentation Occasionally require cheque certification, money orders and audit verification

2. Reserve Account • Holds funds held in reserve for future purchases or other financial obligations for the Town • Minimal monthly activity • Approximate holdings of 2 million to 4 million annually 3. Trust Account for Letters of Credit • Holds funds held in trust for major project security and is released upon completion of project or when conditions are met through the Town’s subdivision agreements • Minimal monthly activity Electronic Banking Services The Town of Aylmer currently has on-line access to the main banking account in order to audit account activity on a daily basis. This is a view only system with limited on-line functionality (e.g. stop payment authorization / account transfers). The Town of Aylmer currently utilizes DEFT/Pre-Authorized payments, daily balances and detailed information on-line, acceptance of payment (APA), Telephone/Net Banking, Debit card payments, Credit card payments (at EECC exclusively). The bidder’s response should indicate what services are available and the costs (if any). Payroll Services The Town of Aylmer currently utilizes ADP Payroll services who prepare all related payroll remittances on a biweekly or monthly basis. Operating Loans Short-term financing is used from time to time due to cash flow issues arising from the timing of expenditures versus the timing of tax collection. Council authorizes the Treasurer to utilize a specific amount on an annual basis when required. Borrowing requirements for this purpose are not guaranteed to the successful bidder of this RFP. Long term capital borrowing is secured on an as needed basis and the Town requests rates from financial institutions when the occasion arises. Other Services

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The Town of Aylmer will be interested in information and details of additional services available with potential benefits to the Town of Aylmer. The Town of Aylmer will require access to statistical data relating to the operation of the current accounts and loan activity on an annual basis, i.e. average daily deposits, average daily account balances, average daily loan balances etc.