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Action Item
DATE: Tuesday, November 8, 2011
TO: School Board Members
FROM: MaryEllen Elia, Superintendent
SUBJECT / RECOMMENDATIONS
Approve the Amended Purchase Card Service Agreement with Regions Bank (Business Division)
EXECUTIVE SUMMARY
On November 21, 2006, the Board approved the Purchase Card Service Agreement with Regions Bank, formerly AmSouth Bank. Utilization of purchasing cards has shown to be an efficient means of acquiring and paying for certain products and services.  The district has expanded the use of credit cards, while ensuring compliance with procurement guidelines.  The district's purchasing card manual includes controls to protect against fraudulent transactions and guarantee that purchases are necessary, appropriate, and of reasonable cost.

Originally, AmSouth Bank offered a 1 percent rebate for purchasing card usage.  Regions Bank amended the rate in June 2009, to 1.31 percent and is now offering the district a sliding scale where the basis points paid increase with added volume.  Based on our current quarterly expenditures Hillsborough County Public Schools is eligible for a 1.55 percent rebate.

STRATEGIC OBJECTIVES
• Align financial resources to support the district’s strategic goals • Demonstrate best financial practices
FINANCIAL IMPACT (Budgeted:  Yes)
Purchasing card expenditures were $30,794,287 for fiscal year 2010/2011, generating $403,000 in rebates to the district.  It is expected that this amendment will generate approximately $70,000 in additional dollars annually.
EVALUATION
Contract administration or evaluation is performed by the Project Manager (end user) and Procurement Officer, who function as a team.  Reviews are conducted face to face, typically quarterly, or by utilizing an online vendor performance report.  Prior to soliciting a new contract, the Contract Administration team must first give consideration to the specifications and supporting data of the expiring contract.
SUBMITTED BY:  Kate Rouse, Senior Procurement Officer, Procurement Department
Jean Bowman   Gretchen Saunders
General Manager, Procurement Department
(813) 272-4374
  Chief Business Officer
(813) 272-4270
    A 5.09
Hillsborough County Public Schools (Florida) * Mtg.#20111108_507 (Board Meeting) * Section A Item# 5.09