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Home My WebLink About5.F.3. City Credit Cards-Res. No. 6392 s: F.3_ CITY OF SHAKOPEE Memorandum COf~SENT TO: Mayor and Council Mark McNeill, City Administrator FROM: Gregg Voxland, Finance Director SUBJ: City Credit Cards - Resolution No. 6392 DATE: March 23, 2006 Introduction Council is requested to authorize a new (replacement) credit card program for city purchases. Background The city has been using credit cards issued by Elan Financial Services since 2000. U.S. Bank and the League of Minnesota Cities 4M Fund have partnered to offer a new program to Minnesota Cities that participate in the 4M Fund. The program is easier to administer, has flexible reporting capabilities and is basically designed more for government. If the total pooled purchasing by all cities and each city has enough volume, there is a potential for cash rebates. Since it is a credit program, it does involve incurring debt for the city. The total credit line would be set up for $100,000 to allow for overlap of billing periods and growth in the use of cards. This is a relatively low credit line compared to other participants in the program. The aggregate credit limit on the cards will be less than $100,000. Currently the monthly Elan bill runs around $6,000 reflecting low use of cards and a $15,000 credit line. There are eight cards issued to departments currently. With the new program, it is proposed to somewhat increase the number of cards by issuing cards specifically in the name of supervisors instead of just departments. This will provide more flexibility in conducting city business and more control/accountability. The individual cards will have limits on transaction amounts, total balance and merchant category restrictions. Recommendation Authorize the use of the US Bank One Card program and cancel the Elan card program. Action Requested Move to authorize the proper officials to execute documents to implement the U.S. Bank One Card program and offer Resolution No. 6392 DEPOSITORY SERVICES RESOLUTION FOR GOVERNMENTAL ENTITIES, and move its adoption. Resolution No. 6392 DEPOSITORY SERVICES RESOLUTION DEPOSITOR NAME: City of Shakopee CONTACT: Gregg Voxland, Director of Finance, 952-233-9326 ADDRESS: 126 Holmes Street Shakopee, MN 55379 TAX IDENTIFICATION NUMBER: 41-6005539 I, Gregg Voxland (name of certifying officer) do hereby certify that I am the Finance Director (title of certifying officer) of the above-named entity (therein called the "Depositor'~ a Municipal Corporation existing under the laws of the State of Minnesota and that the following is a true, complete and correct copy of resolutions adopted at a meeting of the Depositor duly and properly called and held on the day of April ,2006 ; that a quorum was present at said meeting; and that said resolutions are now in full force and effect. RESOLVED, that U.S. Bank National Association is hereby designated as a depository of the Depositor with authority to accept or receive at any time for the credit of the Depositor deposits by whomsoever made offunds and other property in whatever form or manner transferred to endorsed; and that any officer of the Depositor is hereby authorized to open or cause to be opened one or more accounts with the Bank on such terms, conditions and agreements as the Bank may now or hereafter require and to make any other agreements deemed advisable in regard to any of the foregoing. Depositor acknowledges and agrees that the services contemplated by this resolution shall be governed by the u.s. Bank Customer Agreement for connnercial deposit accounts, as amended from time to time. RESOLVED, that checks, drafts or other orders for the payment, transfer or withdrawal of any of the funds or other property of the Depositor on deposit with the Bank shall be binding on the Depositor when signed, manually or by use of a facsimile or mechanical signature or otherwise authorized, by anyone of the individuals listed in the section entitled "Authorized Signers", and the Bank is hereby authorized to pay and charge to the account of the Depositor any such checks, drafts or other orders so signed or otherwise authorized, including those payable to the individual order of the same person or persons signing or otherwise authorizing the same and including also those payable to the Bank or to any other person for application, or which are actually applied to the payment of any such indebtedness owing the Bank from the person or persons who signed such checks, drafts or other withdrawal orders or otherwise authorized such withdrawals. In particular, and not in limitation of foregoing, such persons may authorize payment, transfer or withdrawal by oral or telephonic directions to the Bank complying with such rules and regulations relating to such authorization as the Bank may communicate to the Depositor from time to time. RESOLVED, that the Finance director (identify certifying officer by title) hereby certifies to the Bank the names and signatures (either actual or any form or forms of facsimile or mechanical signatures adopted by the person authorized to sign) of the Authorized Signers listed below and shall from time to time hereafter, upon a change in the facts so certified, immediately certify to the Bank the names and signatures (actual or facsimile) of the persons then authorized to sign or to act. The Bank shall be fully protected in relying on such certificates and on the obligation of the certifying officer (set forth above) to immediately certify to the Bank any change in any facts so certified, and the Bank shall be indemnified and saved harmless by the Depositor from any claims, demands, expenses, loss or damage resulting from or growing out of honoring or relying on the signature of other authority (whether or not properly used and, in the case of any facsimile signature, regardless of when or by whom or by what means such signature may have been made or affIxed) of any officer or person whose name and signature was so certified, or refusing to honor any signature or authority not so certified. RESOLVED, That these resolutions shall continue in force until express written notice of their rescission or modification has been furnished to and received by the Bank; and RESOLVED, That any and all transactions by or on behalf of the Depositor with the Bank prior to the adoption of this resolution be, and the same hereby are, in all respects ratified, approved and confirmed. I further certify that the officers of the Depositor signing the resolution, have, and at the time of adoption of said resolutions had, full power and lawful authority to adopt the foregoing resolutions and to confer the powers therein granted to the persons named, and that such persons have full power and authority to exercise the same. I further certify that the names, titles (if any) and signatures (actual or facsimile) of the persons authorized to sign or act on behalf of the Depositor by its governing board identified above are as set forth below in the section of this Resolution entitled "Authorized Signers". I further certify, under penalties of perjury, that the tax identification number shown above is correct and that the Depositor is not subject to backup withholding because (a) it is exempt, (b) has not been notified by the Internal Revenue Service (IRS) that it is subject to backup withholding as a result of a failure to report all interest or dividends or (c) the IRS has notified the Depositor that it is no longer subject to backup withholding. I further certify that the Authorized Signers below are also hereby authorized to transact any and all other business with and through the Bank regarding this account, including, without limitation, treasury management services offered by Bank. Account Number: N/A Authorized Signers Name Title Sh!nature Gregg M. V oxland Finance Director Eileen Klimek Sr. Act. Clerk IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the seal of the Depositor this day of ,20 06 Mayor of the City of Shako pee (Certifying Officer) (Title) City Clerk (Attest by one other officer) (Title)