7-RFP260188 Specifications.pdf

Louisville Jefferson County

Metro Government

Office of Management and Budget

Banking and Financial Services

REQUEST FOR PROPOSAL

RFP # 260188

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REQUEST FOR PROPOSAL

TABLE OF CONTENTS

1. Instructions to Proposers

2. Specifications

3. Evaluation Criteria

4. General Provisions

5. Hold Harmless Agreement and Indemnification Clause and Insurance Requirements

6. Human Relations Commission Required Documentation

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SECTION 1

INSTRUCTIONS TO PROPOSERS

1.1. Introduction

The Louisville/Jefferson County Metro Government (“Metro Government”) is now accepting Proposals for Banking and Financial Services.

The process of accepting Proposals and choosing the successful proposer shall be by sealed Requests for Proposals (“RFP’s”) using the competitive negotiation process under KRS 45A.370. The Metro Government, if it chooses to award a contract based on this Proposal, shall do so on the basis of the Proposal which is most advantageous to it based upon the Evaluation Criteria set forth herein.

(KRS 45A.370(5)).

The Metro Government finds that a purchase through competitive negotiation is necessary because specifications cannot be made sufficiently specific to permit an award on the basis of either the lowest bid price or the lowest evaluated bid price.

The Metro Government shall conduct written or oral discussions with all responsible proposers who submit Proposals determined in writing to be reasonably susceptible of being selected for award, except as otherwise provided by law. Where the Metro Government can clearly demonstrate and document from the existence of adequate competition or accurate prior cost experience with the particular supply, service or construction item, the Metro Government may make an award on the basis of the original submitted Proposals.

1.2. Considerations Prior to Submitting a Proposal

1.2.1. Revenue Commission

If you are a Metro Government vendor or you are doing business in Metro Louisville, you should already be registered with the Revenue Commission and have all of your required taxes paid. If you become the successful Proposer, you must be properly registered with the Revenue Commission and have all of your required taxes paid prior to the award of a contract.

You must provide your Revenue Commission Number on the Proposer Information and Proposal Signature Document, unless you do not yet have one.

Contact the Louisville Metro Revenue Commission at (502) 574-4860 for information related to obtaining an account number or verifying current compliance.

1.2.2. Human Relations Commission

There are two affirmative action requirements which apply to Metro Government Contracts: a) Affirmative Action in Employment and b) Affirmative Action in the subcontracting of Minority, Female and Handicapped-owned businesses.

1.2.2.1. Affirmative Action in Employment

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1.2.2.1.1. The Louisville Metro Human Relations Commission (“HRC”) is required determine whether contractors’ employment policies assure employment opportunities are available to all citizens without regard to race, color, religion, national origin, marital status, handicap, sex, sexual orientation or gender identity, or age.

1.2.2.1.2. To make this determination, the HRC will make an inquiry of the successful Proposer pursuant to Louisville Metro Ordinances Section 37.27.

1.2.2.1.3. If you are contacted by Purchasing Division staff notifying of award, and you have not already been “HRC Prequalified”, you will need to contact the HRC at 502-574-3631 for information and assistance on procedures to follow in becoming approved and qualified.

1.2.2.1.4. Proposer acknowledges that the resulting Agreement from this RFP is subject to Louisville/Jefferson County Metro Government Ordinances §37.25-§37.36 and failure to comply with the terms of those Ordinances will be cause for suspension, termination or cancellation of a contract executed hereunder, or rejection of Proposer’s Proposal.

1.2.2.2. Affirmative Action in Subcontracting

1.2.2.2.1. Generally, either a Proposer will use subcontractors or it will do all the work itself.

1.2.2.2.2. If Not Using Subcontractors, you must complete and sign Form GFE-1, which is included with this Proposal in the HRC’s “Good Faith Efforts Requirements” document, to indicate work will be self-performed.

1.2.2.2.3. Failure to include a completed Form GFE-1 with your proposal will cause the proposal to be rejected and deemed nonresponsive.

1.2.2.2.4. If Using Subcontractors, you must follow the instructions and complete the forms in the “Good Faith Efforts Requirements” document included with this Proposal. This includes but is not limited to making the required good faith effort, as that term is defined in the document.

1.2.3. LMCO Louisville Metro Codified Ordinance Policy Certifications LMCO 112.30

1.2.3.1. Per LMCO 112.30(D):

1.2.3.1.1. Vendors who apply for business with Louisville Metro must follow the practice that initial vendor employment applications not contain a "box" or a question of inquiry on the initial application regarding an applicant's prior criminal history and applicants shall not be required to check or otherwise fill in a "box" or respond to an inquiry regarding an applicant's prior criminal history on the vendor's initial employment application, unless as otherwise provided by or required by state and federal law.

1.2.3.1.2. Failure to adhere to this requirement shall cause your submission not to be considered for award. Louisville Metro shall retain at all times the authority

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to deny, rescind, revoke, terminate or not renew a contract with a vendor for failing to comply with the standards established by LMCO 112.30.

1.2.4. Requirements Regarding Sexual Assault and Sexual Harassment in the workplace, per

LMCO 39.220-224:

1.2.4.1. Per LMCO 39.222: An Organization executing a contract valued at $50K or more (“Covered Entities" shall not execute any settlement agreement concerning workplace sexual assault, sexual harassment, failure to prevent same or which concern claims of retaliation against a person reporting such matters if such an agreement prevents or restricts the disclosure of factual information related to such claims filed in a civil action or a complaint filed in an administrative action.

1.2.4.2. Reporting Requirements. Per LMCO 39.221: Each covered entity shall annually report to Louisville Metro internal complaints of workplace sexual harassment and sexual assault by employees who reside or work in Louisville/Jefferson County. The report shall be submitted to the Office of Equity.

1.2.4.3. Nondisclosure Agreements. Per LMCO 39.223: No covered entity shall, in exchange for a raise or bonus, or as a condition of employment or continued employment, require an employee to sign any agreement that prohibits the disclosure of information about unlawful acts in the workplace. “Information about unlawful acts in the workplace" includes, but is not limited to, information pertaining to harassment or discrimination or any other conduct that the employee has reasonable cause to believe is unlawful.

1.3. Preferences

1.3.1. Minimum Wage Preference

1.3.1.1. Per Louisville Metro Ordinance Chapter §37.56, preferences shall be given to businesses, which provide their employees a minimum wage equal to or exceeding the minimum wage set forth in §37.55 ("minimum wage business") which is currently $10.10/hour. This minimum wage rate is the rate set by Louisville Metro Council for all full-time Louisville Metro employees.

1.3.1.2. If a business provides its employees at least $10.10/hour, regardless of location or position, the offer price in the Proposal shall be reduced by 5% for the purpose of determining which offer is most advantageous to Metro Government.

1.3.1.3. If this Proposal is for services, and the business intends to use subcontractors to perform all or part of the work required under the contract, the business shall not subcontract more than 20% of the work to non-minimum wage businesses unless such services are not available from minimum wage businesses.

1.3.1.4. If a business receives the Minimum Wage Preference and is awarded a contract under this Proposal, then it must post a sign of the $10.10 minimum wage rate in a conspicuous place and manner so as to inform employees and the public of your minimum wage policy.

1.3.1.5. If you certify your business as a minimum wage business, are subsequently awarded a contract, and the Metro Government discovers you do not pay your

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employees at least $10.10 per hour, your business will be liable to the Metro Government for 30% of the amount of the contract awarded.

1.3.1.6. You must complete the Minimum Wage Preference Certification on the Proposer Information and Signature Page included in this Proposal.

1.3.2. Local Vendor Preference

The Metro Government gives Proposals submitted by local vendors a preference.

1.3.2.1. To qualify as a local vendor, a company must:

1.3.2.1.1. Be established in the Louisville Metropolitan Statistical Area (“MSA”), as defined by the United States Census Bureau for twelve (12) consecutive months.

1.3.2.1.2. Possess a current Louisville Revenue Commission account number.

1.3.2.1.3. Have its headquarters located in the Louisville MSA or have a branch office currently located in the Louisville MSA for at least twelve (12) consecutive months prior to the broadcast date of this Request for Proposal.

1.3.2.1.4. Determine whether the City or County within the Louisville MSA in which your business is located has the required reciprocal ordinance which recognizes business located within the Louisville MSA as local businesses for the purpose of a procurement preference. If that City or County does have such an ordinance, you must include a copy of that document in your response to this

RFP.

1.3.2.1.5. Utilize local businesses to furnish at least 75% of the services under a contract awarded hereunder unless such services are not available locally.

1.3.2.2. If the Metro Government determines your business is a local business, based on the standards described here, then your business shall receive a 5% reduction of the total amount you propose or 5 points added to your evaluated Proposal total, depending on the type of proposal evaluation process the Metro Government has decided to use.

1.3.2.3. If the Metro Government concludes your business is a local business for the purposes of this Proposal, and that determination is based on false information, the Proposer shall be subject to a fine equal to 25% of the price quoted in this Proposal.

1.3.2.4. Any petition challenging the designation or award of local vendor preference shall follow the procedures set forth in LMCO §37.03.

1.3.3. Kentucky Statutory Preferences

The Commonwealth of Kentucky requires the Metro Government to apply certain purchasing preferences as set forth in Kentucky Revised Statutes (“KRS”) Sections 45A.470, 45A.490, 492 and 494.

1. Kentucky Correctional Industries: Products made by the Department of Corrections, Division of Prison Industries, shall receive a preference equal to twenty (20) percent of the maximum points awarded to a bidder in a solicitation. (KRS 45A.470, 200 KAR 5:410)

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2. Qualified bidder status: Kentucky Industries for the Blind, Incorporated, any nonprofit corporation that furthers the purposes of KRS Chapter 163, or a qualified nonprofit agency for individuals with severe disabilities as described in KRS 45A.465(3) shall receive a preference equal to fifteen (15) percent of the maximum points awarded to a bidder in a solicitation.

a. A bidder claiming qualified bidder status shall submit along with its response to a solicitation a notarized affidavit which affirms that it meets the requirements to be considered a qualified bidder. The required affidavit form can be obtained by going to Metro Louisville Metro Government’s Purchase webpage:

https://louisvilleky.gov/government/management-budget/procurement.

3. Reciprocal Preference (KRS 45A.490-494)

a. KRS 45A.490 Definitions for KRS 45A.490 to 45A.494.

1. "Contract" means any agreement of a public agency, including grants and orders, for the purchase or disposal of supplies, services, construction, or any other item; and

2. "Public agency" has the same meaning as in KRS 61.805.

b. KRS 45A.492 Legislative declarations. The General Assembly declares:

1. A public purpose of the Commonwealth is served by providing preference to

Kentucky residents in contracts by public agencies; and

2. Providing preference to Kentucky residents equalizes the competition with other states that provide preference to their residents.

c. KRS 45A.494 Reciprocal preference to be given by public agencies to resident bidders -- List of states -- Administrative regulations.

1. Prior to a contract being awarded to the lowest responsible and responsive bidder on a contract by a public agency, a resident bidder of the Commonwealth shall be given a preference against a nonresident bidder registered in any state that gives or requires a preference to bidders from that state. The preference shall be equal to the preference given or required by the state of the nonresident bidder.

2. A resident bidder is an individual, partnership, association, corporation, or other business entity that, on the date the contract is first advertised or announced as available for bidding:

a. Is authorized to transact business in the Commonwealth; and

b. Has for one (1) year prior to and through the date of the advertisement, filed Kentucky corporate income taxes, made payments to the Kentucky https://louisvilleky.gov/government/management-budget/p

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unemployment insurance fund established in KRS 341.490, and maintained a Kentucky workers' compensation policy in effect.

3. A nonresident bidder is an individual, partnership, association, corporation, or other business entity that does not meet the requirements of subsection

(2) of this section.

4. If a procurement determination results in a tie between a resident bidder and a nonresident bidder, preference shall be given to the resident bidder.

5. This section shall apply to all contracts funded or controlled in whole or in part by a public agency.

6. The Finance and Administration Cabinet shall maintain a list of states that give to or require a preference for their own resident bidders, including details of the preference given to such bidders, to be used by public agencies in determining resident bidder preferences. The cabinet shall also promulgate administrative regulations in accordance with KRS Chapter 13A establishing the procedure by which the preferences required by this section shall be given.

7. The preference for resident bidders shall not be given if the preference conflicts with federal law.

8. Any public agency soliciting or advertising for bids for contracts shall make KRS 45A.490 to 45A.494 part of the solicitation or advertisement for bids.

A notarized affidavit form for Bidders, Offerors, and Contractors Claiming Resident Bidder Status can be obtained by going to Metro Louisville Metro Government’s Purchase webpage:

https://louisvilleky.gov/government/management-budget/procurement if a proposer wishes to include in their proposal. Unless there are proposal from vendors from states that have a designated percentage or point procurement preference in that state, this preference will not apply.

1.4 Proposal Submittal Requirements

1.4.1 All Proposals must be signed by a duly authorized officer, agent or employee of the Bidder

(See the “Request for Proposal Signature Page” document). Bidder promises that the individual signing the Proposal document for the Bidder has the authority to bind the Bidder.

1.4.2 Sealed Proposals will be accepted until 5:00 p.m. EST on April 14, 2026.

Louisville Metro Government uses a web-based portal for accepting and evaluating proposals digitally (https://louisvilleky.bonfirehub.com/portal). Documents may be uploaded at any time during the open period. We strongly recommend that you allow sufficient time to complete uploading, submit and finalize your submission before the closing deadline.

If you have any technical questions related to your submission, please contact Bonfire at Support@GoBonfire.com.

https://louisvilleky.gov/government/management-budget/p mailto:Support@GoBonfire.com

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You can also visit their help forum at https://bonfirehub.zendesk.com/hc.

1.4.3 Proposals cannot be submitted through the portal after 5:00 p.m. EST on April 14, 2026.

1.4.4 Any inquiries about this RFP shall be addressed in writing on the Bonfire portal.

1.4.5 Changes, Clarifications, Errors, Addenda:

1.4.5.1 Should a prospective Proposer find a discrepancy in or omissions from the specifications or be unclear as to what the specifications mean, the Proposer shall notify Metro Purchasing through the Bonfire portal. The Buyer will provide written clarification to all prospective Proposers. Proposer agrees that the Metro Government will not be responsible for any oral instructions.

1.4.5.2 Clarification of Submittal: The Metro Government may obtain clarification or additional information from a Bidder.

1.4.5.3 Changes/Alterations: Proposer may change or withdraw its Proposal at any time prior to Proposal closing date and time.

1.4.5.4 The Proposer must respond as required in this Proposal; failure to make any required response or provide required information may cause rejection of the Proposal as nonresponsive.

1.4.5.5 Once this Proposal has been signed by Proposer and officially submitted to the Purchasing Department of the Metro Government, Proposer will not be allowed to alter or withdraw its Proposal except with the written permission of the Director of Purchasing.

1.4.5.6 Addenda: The Metro Government may issue an addendum, or addenda, changing some aspect of the Proposal. All addenda, if any, shall be considered in making the Proposal, and such addenda shall be made a part of this Proposal. Before submitting a Proposal, it is incumbent upon each Proposer to be informed as to whether any addenda have been issued, and the failure to cover in the Proposal any such addenda may result in disqualification of that Proposal.

1.4.6 The Metro Government shall not permit a Proposer to withdraw its Proposal for sixty (60) days after Proposals are opened, unless the Metro Government makes a specific exception in writing. Further, Proposal prices shall be firm for a minimum of six (6) months after the Proposal closing date.

1.4.7 Metro Government shall not be responsible for any cost incurred by the Proposer in the preparation of its Proposal.

1.4.8 If the award is divided among or between vendors, written notification will be given to each vendor of the specific items covered on their respective contracts.

1.5 Buyer Information

Name: Kim Henry Email: Kim.henry@louisvilleky.gov Phone: 502-574-3491 https://bonfirehub.zendesk.com/hc

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SECTION 2

SPECIFICATIONS

SCOPE OF SERVICES

Louisville Metro Government (LMG) is seeking proposals from banks and financial institutions to provide the following services:

• General Banking

• Purchasing Card

• Electronic Payables (Cardless Payment)

• Merchant Services

• Wholesale Lockbox

These services are described in detail in the sections below.

General Information and Instructions This request for proposal is divided into five (5) service groups. LMG will select one financial institution per service group. Interested qualified parties may submit proposals for one or more of the service groups.

Service Group 1: General Banking Service Group 2: Purchasing Card Service Group 3: Electronic Payables Card Less Payment Service Group 4: Merchant Services Service Group 5: Wholesale Lockbox

For consideration, each bidder must be responsive to the following information:

1. Good Faith Effort requirements

2. Cybersecurity requirements

3. Statement of Qualifications

4. Requested information for each service group proposed

Schedule

Below is the anticipated schedule for this RFP:

• 3/16/2026 Monday Issue RFP

• 3/25/2026 Wednesday Written questions due

• 4/3/2026 Friday Written responses due

• 4/14/2026 Tuesday Proposals due

• 5/26-5/28/2026 Tues-Thru Oral Presentations

All written questions must be submitted through the Bonfire portal no later than 5:00 PM EST on March 25, 2026

Proposals must be submitted through the Bonfire portal no later than 5:00 pm EST on April 14, 2026.

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LMG intends to award contracts for each service group by July 1, 2026. Implementation of Service Group 1 (General Banking) is expected to begin as soon as practicable following award. Implementation of other service groups may be staggered to allow adequate time for setup and training.

Overview of Louisville Metro Government Louisville Metro Government (LMG) was established in 2003 through the merger of the City of Louisville and Jefferson County, forming the Louisville-Jefferson County Metro Government. Located along the Ohio River in central Kentucky, Louisville is the largest city in the Commonwealth. Today, LMG serves a population of more than 750,000 residents and employs approximately 6,000 union and non-union employees.

At this time, LMG utilizes multiple banking and card related services, including but not limited to:

• 37+ depository accounts (DDA, zero-balance, controlled disbursement)

• Remote deposit capture

• Two (2) Onsite Cash Recyclers

• Off-site check printing

• Purchasing cards (approx. 500)

• Travel cards (approx. 1300)

• Electronic payables cardless payment solution

• Wholesale lockbox

Cybersecurity Measures and Protocols

Institutions shall complete the uploaded IT Risk Assessment or submit a SOC2 audit Report. Failure to do so will be cause for elimination. This will be evaluated on a Pass/Fail basis. Institutions must receive a “pass” in order to move forward.

Statement of Qualifications

The following information is required for all bidding institutions, regardless of service group proposal.

This information will have a weight of 100 pts. Institutions must receive a minimum of 80 pts in order to be considered responsive/responsible and have individual Service Group submissions considered.

a. Provide background information regarding the institution that portrays an accurate view of its current operations and status. This information should include:

1. Brief Overview of Company – size and history

2. Local Branch Listing

3. Community Reinvestment Act (CRA) Rating

4. Bank’s credit quality

5. Most recently audited financials (links to documents acceptable)

6. Most Recent 10-k report (links to documents acceptable)

7. Observed bank holidays

8. Proposed primary contact for Metro account

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9. Detailed information regarding proposed customer support including:

1. Location of customer service support.

2. Proposed assigned Customer Service Representative (CSR); and

3. CSR responsibilities and escalation/chain of command for issue resolution.

Note: Service Group 1-General Banking must have a location within Louisville Jefferson County Boundaries.

SERVICE GROUP 1: GENERAL BANKING SERVICES

LMG currently operates 37 demand deposit accounts, utilizing a variety of services, including but not limited to Positive Pay, Wire/ACH, Integrated Disbursements and Remote Deposit Capture services. The average monthly deposit volume for regular operations is approximately $45 million - this does not include deposits for annual or special revenues from grant allocation or bond distributions.

On average, LMG processes approximately $36 million in check payments to suppliers, as well as an additional $23 million for payroll expenditures monthly. Payroll expenses are made via ACH to employee accounts via ADP.

Pursuant to KRS 91A.060, all funds on deposit with the designated official depository shall be fully insured or, to the extent uninsured, properly collateralized in accordance with applicable law.

For Service Group 1, LMG requires the following services:

a. Establishment and maintenance of required depository accounts including:

4. DDA, Zero-Balance (ZBA) and controlled disbursement

5. Positive Pay with stop payment services

6. Remote Deposit Capture

7. Money Market savings accounts (as needed for special purposes)

b. Processing for check, ACH, Wire Transfer and payroll direct deposit payments

c. Onsite Cash Recycler (for cash deposits)

d. Off-site Payment Processing:

i. Integrated Files Including the below list, with the potential to add in the future.

1. ACH CCD outbound from Workday

2. Bank Statement inbound to Workday

3. ACH PPD outbound from Workday

4. EnergyCAP CTX outbound from Workday

5. Integrated Disbursements outbound from Workday

6. Prenote Account Validation boomerang

7. Positive Pay Canceled outbound from Workday

8. KY Child Support Payment outbound from Workday

9. IN Child Support Payment outbound from Workday

e. Online Reporting and Imaging warehousing

f. Employee Banking Services and Benefits

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Detailed information on the following is required for each proposal for Service Group 1:

a. Details on the ability to provide an operation of required services including account structures, ability to provide banking services to LMG employees, wholesale lockbox operations, off-site check printing options and related schedules and timing cutoffs for all payment types.

b. Sample reporting including, but not limited to:

1. Monthly Balance Statements

2. Daily Balance Reporting

3. Monthly Fee Details

c. Funds availability schedule.

d. Fee/pricing schedule for each proposed service including:

1. Monthly fees for each of the five contracted years Depository services Automated safe devices Off-site check printing

2. Minimum/maximum overnight balance requirements

3. Overnight rate (Index +/- percentage)

4. Earnings Credit calculation for Analysis Checking

e. Describe how your solution will integrate with Workday using one of the following integration types to replace current functionality: Workday Core Connector, Workday Studio, EIB, File (Workday uses BIRT reporting to facilitate check formatting for the MICR line, and signature block.)

In addition to the information requested above, the following shall also be addressed:

• Institutions experience providing the service for clients of similar size and scope.

o Include client contact information (name, phone number and email address)

• Proposed designated representative and their relevant experience.

• Detailed proposed financial structure

• Proposed transition plan including training and post go-live support. This must include:

o Support provided during implementation.

o User manuals, instructional and/or educational materials included.

o Planned on-site visits, or other assistance.

SERVICE GROUP 2: PURCHASING CARD PROGRAM

LMG operates separate PCard and Travel Card programs. Each program has its own card, and separate cards are a requirement. Currently, LMG has 500 active PCards and 1,300 active Travel Cards.

For the fiscal year ending June 2025, program spend was approximately:

• $12,000,000 with 30,900 PCard transactions

• $1,200,000 with 4,500 Travel Card transactions

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The program is structured with four (4) levels of security for procurement cards – Cardholder, Approver, Administrators, and Reviewer/Auditor (Inquiry only access).

For Service Group 2, LMG requires the following services:

a. Create and maintain separate Purchasing Card and Travel Card Programs.

1. Ability to integrate and import new card and transactional data to LMG systems. Current financial software used:

i. Inbound to Concur – Travel Card

ii. Inbound to Workday – PCard

iii. Potential to expand integrations in the future.

2. Provide various card types with chip technology and online system.

3. Corporate liability for each program.

b. Provide a comprehensive, real-time online tool with card monitoring, card account information, and transaction activity for approved and declined transactions, reporting, and monthly statements.

1. The online tool must provide the ability to create and save on-demand, custom reports as needed for a variety of cardholder data and transactional data.

2. Information must be retained and accessible for a minimum of 3 years.

3. The online tool must support delivery of all reports in Excel format.

c. Give card administrators the ability to view and manage controls such as balance inquiries, creating and modifying MCC templates for each program, and adjusting spend limits in real time for cardholders.

d. Provide card administrators the ability to assign strict controls for system access based on roles and the ability to modify access as roles change or users leave LMG.

e. Conduct proactive fraud detection and protection.

1. Timely fraud detection notification to program administrators.

2. Fraud Insurance Protection coverage for all cardholders and users.

f. Provide after-hours (24/7) customer service support.

g. Provide support for integration issues.

h. Deliver new and replacement cards via overnight carrier to the LMG program administrator at a central location.

Detailed information on the following is required for each proposal for Service Group 2:

a. The card program and its product features including:

1. Card types offered.

2. Administrator rights and capabilities via online portal.

3. Settlement terms and billing cycles.

4. Listing of any third-party partners and their function.

5. Foreign transactions and exchange details.

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6. Insurance offered through the program including but not limited to travel, auto, and corporate liability.

7. Process to obtain a credit limit increase.

b. How to obtain a schedule of card cycles prior to the start of the calendar year that can be published to users for accounting purposes.

c. Card features and the issuance process including:

1. Card customization options, i.e., card appearance and design.

2. Bulk, regular (single card), and emergency card issuance procedures and schedule.

3. Card order and delivery process, including any issuance or replacement fees, expediting fees, delivery fees, etc., if applicable.

d. Online card management and transaction data tools, i.e., company and cardholder statements, merchant category management, spend limit management, etc.

e. Security and fraud prevention program including:

1. Institution vs. LMG fraud liability in the event of lost or stolen cards.

2. Available fraud insurance coverage.

3. Fraud pattern screening activities.

4. Card security and protection of cardholder information.

5. Dispute resolution process in the event of unauthorized charges.

f. Reporting availability including:

1. General description of reporting and training offered.

2. Confirm Minimum Reporting Requirements can be met:

i. Account List – Card data and status, including custom field additions to assign and report, i.e., Department Number of Cardholder.

ii. Declined Transaction reports – Daily activity of declined transactions, with details regarding the nature of the decline.

iii. MCC Report – List of restricted and allowable MCCs, including notifications of newly added or removed MCCs.

iv. Full Transaction Detail – Transaction details by date range per program type and cardholder accounts.

v. Purge Account Report – A cumulative report of accounts purged due to no activity, if any.

vi. Issued cards not used for a specified date range.

vii. Issued cards not activated.

g. 1099 Reporting assistance

h. Integration of card and transactional data with current LMG Financial software – Workday and

Concur.

i. Rebate Schedule including details on rebate calculations and payment.

1. Describe the proposed incentive/rebate schedule to include, but not limited to:

i. Usage levels

ii. Transaction Amount

iii. Rebate Amount

iv. Basis ($$ charged, per transaction, etc.)

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j. Any other applicable fees for Service Group 2 not previously described.

In addition to the information requested above, the following shall also be addressed:

• Institutions experience providing the service for clients of similar size and scope.

o Include client contact information (name, phone number and email address)

• Proposed designated representative and their relevant experience.

• Detailed proposed financial structure

• Proposed transition plan including training and post go-live support. This must include:

o Support provided during implementation.

SERVICE GROUP 3: ELECTRONIC PAYABLES (CARD-LESS PAYMENT SOLUTION)

LMG currently utilizes an electronic-payables solution/card-less payment process to vendors through buyer-initiated payments. The use of virtual card numbers is intended to reduce the issuance of paper checks as a source of vendor payment. For FY25, LMG had a volume of approximately $21M annually for this program resulting from 1,616 transactions.

For Service Group 3, LMG requires the following services:

a. Create and maintain a card-less electronic payables solution.

b. Support for supplier enrollment and program growth.

c. Provide comprehensive online reporting for the solution.

d. Confirm the ability to integrate with WorkDay financial software.

e. Provide audit, compliance and 1099 MISC filing support.

Detailed information on the following is required for each proposal for Service Group 3:

a. Description of the company’s ability to provide card-less electronic payables solutions including:

1. Information on the daily volume processed for all clients;

2. Details on notification delivery to payees, how payments are pulled and how long payments are valid, reconciliation features, refund and cancellation requests

3. How the company leverages supplier relations and program data to drive savings and improve spending control. Marketing campaigns, etc

4. Integrated outbound payment file from Workday. With potential to add more future state.

b. A detailed overview of the electronic system used to provide the proposed services along with backup and recovery capabilities including:

1. Levels of data captured through the electronic payables solution; and

2. Data available online for downloading and associated file types.

c. Settlement terms (billing cycles, payment terms, general accounting support).

d. Security procedures for both access and data integrity.

e. Details for the process in the event of fraud or abuse of the solution.

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f. Sample reporting including, but not limited to, monthly statements and transaction details.

g. Electronic data on-line that will be available for download.

h. Fee Schedule:

1. Proposed pricing structure for the services identified in this RFP.

2. Payment options for these fees (invoiced, EFT, offset against rebates, etc.)

3. Line-Item Fees:

Operational Fees Maintenance/Support Services (per year) Additional Fees (per year)

i. Describe the proposed incentive/rebate schedule to include, but not limited to:

1. Usage levels

2. Transaction Amount

3. Rebate Amount

4. Basis ($$ charged, per transaction, etc.)

o Include client contact information (name, phone number and email address)

• Proposed designated representative and their relevant experience.

• Detailed proposed financial structure

• Proposed transition plan including training and post go-live support. This must include:

o Support provided during implementation.

SERVICE GROUP 4: Merchant Services

Louisville Metro Government (LMG) currently has 52 active Merchant accounts (MIDs) operating across multiple agency sites throughout Metro Louisville. On average approximately 23,375 transactions per month - the average amount per transaction is approximately $102.27.

For Service Group 4, LMG requires the following services:

a. Provide available options for Mobile Card Payment terminals - Wifi Capability and PCI Compliant

b. Revenue sharing potential for the enterprise-wide merchant network.

c. Data reporting and retention for customer detailed transactions

d. Customizable payment form to integrate with city website for online payments

e. Single source solution without requirement for third party payment gateway

Detailed information on the following is required for each proposal for Service Group 4:

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a. Describe the organization’s credit and debit card processing capabilities. Will the organization act as its own processor or will it use the services of a third-party processor? If a third-party processor is used, how long has the organization had a relationship with this institution?

b. Provide the processor’s daily volume of transactions

c. Is the proposed merchant card processing system Payment Card Industry Data Security Standard

(PCI DSS) compliant?

(1) If so, please provide proof of compliance.

(2) Who is your PCI assessor?

d. Does the organization offer upgraded equipment for no cost or trade in?

e. LMG requires POS credit card swipe machines to accept card payments in person, these will need to be compliant with existing payment connectors, including but not limited to Accela.

f. Does your equipment support the Visa/Mastercard EMV transactions?

g. Is Equipment purchased or leased by the organization or a third party?

h. For new equipment needs, will LMG have the option to lease and/or buy the equipment from the Merchant Services provider?

i. Please describe the funds settlement process. Can manual terminals be set for automatic settlement?

j. Are settlement amounts listed separately on the statement, or will they appear as one lump sum? Will the organization break out settlement amounts by merchant location?

k. Describe the organizations online capabilities to review merchant card transactions. Is transaction information available by terminal or merchant identification number? How many days does the online system keep information on transactions?

l. Process credit card payments (MasterCard, Visa, Discover and American Express) without the option to receive additional cash at time of purchase.

m. Process payments via the Merchant Code (9999) specific governmental entities shall be required.

n. Funds Settlement to each designated LMG bank account, as provided by LMG Cash Management

o. Dedicated service portal for equipment and technology troubleshooting requests

p. Provide automated or on-line reporting services including a monthly analysis statement for each merchant location, a consolidated statement to identify charges for account services, and summary reports for all activity.

q. Provide Administrative rights to authorized Metro personnel to set up new users and account permissions.

r. Provide an Internet Gateway to process on-line payments

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s. Sample monthly statements/transaction details.

(1) User fees charged - revenue sharing agreement details.

Other alternate services for merchant card processing may be proposed, as long as they are compatible with current vendor services and LMG shall not incur any additional processing fees. Minimizing IPG’s would be preferable.

LMG currently has the following integrations for merchant processing:

*TO CAPTURE: UPDATE FROM MTS FOR CURRENT LISTING

No additional MID’s shall be required to perform these functions unless specifically required by PCI Compliance (see section H-5, MID flowchart). The LMG also uses an Internet Provider Gateway (IPG) to process payments. IPG services currently used by LMG that shall be compatible to be used for merchant card processing shown are shown in the Payment Integrations appendix, with the potential to add more in the future.

In addition to the information requested above, the following shall also be addressed:

• Institutions experience providing the service for clients of similar size and scope.

o Include client contact information (name, phone number and email address)

• Proposed designated representative and their relevant experience.

• Detailed proposed financial structure

• Proposed transition plan including training and post go-live support. This must include:

o Support provided during implementation.

SERVICE GROUP 5: WHOLESALE LOCKBOX

Louisville Metro Government (LMG) utilizes wholesale lockbox services to support the receipt and processing of mailed documents and payments for multiple Metro Government agencies, including but not limited to tax, fee, and licensing programs. Under this service model, the selected Vendor shall retrieve mail directly from designated United States Postal Service (USPS) post office boxes assigned by LMG or participating agencies, open and prepare mailed submissions, scan and image documents, perform key-from-image data entry, process and deposit payments, and transmit transaction data and

Central Square - Crywolf Elavon/Connverge LMPD JotForm Have several options to choose from. See their list here: https://www.jotform.com/online-payments/gateways/ Multiple

Accela currently uses PayPal switching to Velossimo, Velosimo offers the following integrations: Xpress Bill Pay Paymentus Munis a tyler ERP Solution Paypal PayIt Official Payments InvoiceCloud Authorize.net Elavon Cybersource Multiple

Chameleon / Calendaly PayPal Metro Animal Services

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document images to the applicable agency’s automated system for posting, reconciliation, and downstream processing.

For planning and sizing purposes only, the Louisville Metro Revenue Commission (LMRC) has historically processed, during calendar year 2024, approximately 290,000 mailed tax return forms and 206,000 mailed tax payments through its lockbox operation. Actual volumes may vary by agency, program, filing season, and policy changes, and no minimum or maximum volumes are guaranteed. The Vendor shall propose a solution that supports timely processing and can scale to peak filing periods, including maintaining sufficient staffing, technology, and operational capacity to meet processing timelines during peak demand without degradation of service.

The Vendor shall also securely store original paper documents for a defined retention period prior to destruction, return any documents that cannot be processed in accordance with agency instructions, and provide timely processing to support agency operational and financial requirements. The services described in this Service Group are intended to be available for use by any authorized LMG agency during the term of the contract.

The Vendor shall be responsible for planning, staffing, and operational readiness necessary to support both normal and peak processing volumes as described in this Service Group.

Service Group 5 – Wholesale Lockbox Requirements

The following requirements define the minimum functional, operational, and service expectations for the Wholesale Lockbox services to be provided under this Service Group. The selected Vendor shall be responsible for performing these services in support of one or more Louisville Metro Government (LMG) agencies, as authorized under the contract. All requirements listed below are mandatory unless explicitly stated otherwise.

1. Lockbox Intake Streams For Louisville Metro Revenue Commission (LMRC) programs, the Vendor shall establish and manage lockbox intake streams based on designated United States Postal Service (USPS) post office boxes, with each post office box corresponding to a defined account type, tax type, or processing category as specified by LMRC.

The Vendor shall support multiple USPS post office box–based lockbox intake streams for Louisville Metro Revenue Commission (LMRC) programs, as determined by current and future agency needs. The number of intake streams may change over time due to automation, electronic filing mandates, program changes, or other operational considerations. Such changes shall be considered part of the base lockbox services under this Service Group, unless otherwise agreed in writing by the applicable agency. For planning purposes only, LMRC currently utilizes approximately three (3) USPS post office box–based lockbox intake streams; however, this number is subject to change.

For other participating Louisville Metro Government (LMG) agencies, lockbox intake streams may be implemented using USPS post office boxes or equivalent mail intake structures, as approved by the participating agency.

The Vendor shall support the addition, consolidation, or modification of intake streams over time as agency programs and mail routing needs change and shall implement such changes within agency-approved timeframes without disruption to ongoing processing.

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2. Mail Retrieval and Receipt The Vendor shall retrieve mail directly from designated United States Postal Service (USPS) post office boxes assigned by Louisville Metro Government (LMG) or participating agencies, with any missed or delayed retrieval promptly documented and reported to the agency along with corrective actions. Mail retrieval shall occur on each USPS business day, unless otherwise approved by the participating agency.

For purposes of all processing timelines, service level measurements, and deposit requirements under this Service Group, “receipt date” shall be defined as the date on which mail is physically retrieved by the Vendor from the USPS post office box. The Vendor shall record and retain mail pickup records sufficient to demonstrate the date and time of retrieval for each lockbox intake stream.

Upon retrieval, the Vendor shall transport mail in a secure manner to the processing facility and commence processing promptly upon retrieval.

3. Payment Processing and Depository Transfer The Vendor shall process all payments received through the lockbox and deposit such payments into the designated depository account specified by the applicable Louisville Metro Government (LMG) agency. Deposits shall be submitted to the financial institution for credit no later than two (2) business days following the receipt date, as defined in Item 2, unless otherwise directed by the participating agency. The Vendor shall be responsible for errors, delays, or failures in deposit processing that are attributable to the Vendor’s actions or omissions and shall cooperate with the agency to remediate such issues promptly.”

The Vendor shall support deposit to one or more financial institutions as designated by LMG or participating agencies. If the Vendor is not also awarded a contract for Service Group 1, the Vendor shall coordinate deposit processing to an alternate bank or financial institution designated by LMG, without delay or additional operational impact.

The Vendor shall provide transaction information associated with deposited payments in accordance with the agency-approved file delivery process described in Item 7 to support posting and reconciliation.

The Vendor shall implement reasonable controls to prevent duplicate processing or deposit of payments and to ensure that deposited amounts reconcile with transmitted transaction data, with exceptions identified and reported to the agency in a timely manner.

Banking Adjustments

The Vendor shall notify the applicable Louisville Metro Government (LMG) agency in writing of any adjustments or corrections to previously deposited payments, including but not limited to checks, ACH transactions, or wires. Such notification shall be made available promptly, and generally within twenty-four (24) hours of the adjustment being posted by the financial institution.

4. Mail Opening, Document Preparation, and Scanning The Vendor shall open and prepare all mail retrieved from USPS post office boxes for processing in accordance with the applicable agency’s business rules. The Vendor shall ensure that the envelope and everything contained within the envelope remain together and intact during

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processing, and that all materials received are accurately identified, associated, and accounted for.

Each envelope and its contents shall be treated as a single submission until agency processing rules allow separation. The original envelope shall be scanned, and an envelope image shall be provided with each document or transaction originating from that envelope. Information on the envelope, such as postmark or other USPS markings, shall be retained and made available through scanned images or related data to support receipt verification, audits, dispute resolution, and delinquency determinations.

When required by the applicable agency, the Vendor shall ensure that postmark information is captured and made available as part of the transmitted images or related data.

The Vendor shall scan the envelope and all documents received, including payments, forms, schedules, correspondence, and supporting documentation, in a manner that produces complete, readable, and accurate electronic images that can be used by the applicable agency’s system. For Louisville Metro Revenue Commission (LMRC) programs, scanned images shall support processing within the GenTax system.

Scanned images shall include agency-approved indexing and page order to ensure documents, schedules, and attachments are correctly organized and associated. The Vendor shall be able to identify different document types, including main returns, schedules, and supporting documents included in an envelope.

For Louisville Metro Revenue Commission (LMRC), TIFF is the required image format. For other participating Louisville Metro Government (LMG) agencies, the Vendor shall work with the applicable agency to support alternate image formats if approved.

The Vendor shall perform quality checks to confirm that envelope images and document images are complete, readable, correctly linked, and not missing, duplicated, or misassociated before further processing.

5. Key-from-Image Data Entry The Vendor shall perform key-from-image data entry for all documents received through the lockbox, using the scanned images produced under Item 4 as the source record. Data entry shall include human review and verification of captured data and shall not rely solely on optical character recognition (OCR) or automated extraction.

For participating Louisville Metro Government (LMG) agencies with existing lockbox operations, including the Louisville Metro Revenue Commission (LMRC), the Vendor shall adhere to the agency’s existing data capture processes, field definitions, data formats, validation rules, and exception identification procedures, unless otherwise approved in writing by the applicable agency.

For participating LMG agencies that do not currently utilize lockbox services, the Vendor shall work collaboratively with the agency to define and document:

a. The data fields to be captured for each document type;

b. The required data formats, validation…