04-02-2018 Council Work Session Packet

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State of Minnesota -U.S. Bank Commercial Card Solutions -Participating Addendum Contract# 75413 Purchasing Card Contract# 75427 Fleet Card Appendix A, Document 2 -U.S. Bank Commercial Card Master Agreement U.S. BANK COMMERCIAL CARD MASTER AGREEMENT This Commercial Card Master Agreement (the "Agreement") governs the U.S. Bank Commercial Card Program provided by the WSCA-NASPO Cooperative Purchasing Program Commercial Card Solutions Contract #00612, Category 1 (the "Commercial Card Program") and is an attachment to the Participating Addendum entered into by and between U.S. Bank National Association ("U.S. Bank") and the Government Entity which is a signatory to that Participating Addendum ("Government Entity"). Participation In Commercial Card Program: Certain entitles designated by Government Entity may participale in the Commercial Card Program. "Government Entity Agencies" means those Government Entity departments and agencies that rely upon the Government Entity for funding, or are appropriated funds by the Government Entity for the charges on the accounts issued to the employees of those departments and agencies. In order for Government Entity Agencies to participate in the Commercial Card Program, the Government Entity will furnish to U.S. Bank a Government Entity Agency Addendum listing those agencies allowed to participate. The Government Entity has the right to exclude any agencies from the Agreement by providing written notice to U.S. Bank at any time. " Minnesota CPV Members" means any municlpalilies, counties, and institutions of higher education located In the state of Minnesota that do not rely upon the Government Entity for funding. Political Subdivisions may participate in this Agreement upon credit approval by U.S. Bank and upon the signing and submission of a properly completed Minnesota CPV Member Addendum. I. CREDIT PROVISIONS A. Financial Information. The eslablishment of a Commercial Card Program provides an extension of credit, and Government Entity shall provide sufficient information lo enable U.S. Bank to perform periodic credit reviews. 1. Polllical Subdivisions. Each Minnesota CPV Member must individually credit qualify and submit a signed, properly completed Minnesota CPV Member Addendum to U.S. Bank. 2. Financial Information for Government Entity and Political Subdivisions. To become credit qualified, the Government Entity and each Minnesota CPV Member will provide the last three (3) years of audited financial statements to U.S. Bank prior to the issuance of any cards and will provide annual financial statements on or before one hundred eighty (180) days after the end of the Government Entity or Minnesota CPV Member's fiscal year. Minnesota CPV Member should provide this first set of financial statements with their signed, completed Minnesota CPV Member Addendum. U.S. Bank will review the financial statements and provide notice to each Minnesota CPV Member of the approval or decline of their credit qualification. If satisfactory financial information can be found on the website of Government Entity or Minnesota CPV Member, U.S. Bank will not require the Governmenl Entity or such Minnesota CPV Member lo provide financial information that U.S. Bank can obtain on its own. B. Aggregate Product Credit Limit and Account Credit Limits. Subject to credit approval by U.S. Bank, an Account Credit Limit (an "ACL") for each Account and an Aggregate Product Credit Limit (the "PCL") for all Accounts shall be established by U.S. Bank pursuant to this Agreement. 1. Revising the PCL. U.S. Bank, at its sole discretion, shall have the right to revise lhe PCL. U.S. Bank shall provide notice to Government Entity of any decrease in lhe PCL which results in a revised PCL lhat is lower than the aggregate current amount outstanding on all Accounts. Upon such event, Government Entity shall have ten (10) days to make a payment to U.S. Bank that is sufficienl to reduce the aggregate current amount outstanding to an amount that is equal to or less than the revised PCL. 2. Revising ACLs. U.S. Bank, at its sole discretion, shall have the right to revise any ACL. a. Government Entity Accounts. U.S. Bank shall provide notice to Government Entity of any decrease in an ACL which resulls in a revised ACL that is lower lhan the aggregate currenl amounl outstanding on the Account. Upon such event, Government Entity shall have ten (10) days lo make a payment to U.S. Bank on the Account lhat is sufficient to reduce the aggregate current amount outstanding for such Account to an amount that is equal to or less than the revised ACL. b. Cardholder Accounts. U.S. Bank, at its sole discretion, shall have the right to revise any ACL and/or limit spending activity on any Cardholder Account. Based on the credit worthiness of Government Entity and/or its Cardholder, U.S. Bank, at its sole discretion, shall establish an ACL of no less than five hundred U.S. Dollars ($500,00). c. Fraudulent Activity. U.S. Bank may temporarily revise any ACL and/or limit spending activity on any Account for which fraudulent activity Is suspected. C. ATM Access/ Cash Advances. U.S. Bank provides access to Cash Advances through owned and participating bank Automated Teller Machines and Association member offices. If Government Entity elects to use Cash Advances, U.S. Bank will establish predetermined Cash Advance limits for Cardholders, either as a group or individually. U.S. Bank reserves the right to suspend or terminate Cash Advance access for Cardholders, either as a group or individually, in the event U.S. Bank determines that continued access presents a risk of loss or liability to U.S. Bank or Government Entity. Page 13 of37