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O-2011-3334 establishing fees for credit/debit card transactions paid on-line though La Porte website
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O-2011-3334 establishing fees for credit/debit card transactions paid on-line though La Porte website
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11/2/2016 3:39:31 PM
Creation date
5/25/2011 4:48:56 PM
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Legislative Records
Legislative Type
Ordinance
Date
4/25/2011
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REQUEST FOR CITY COUNCIL AGENDA ITEM <br /> Agenda Date Requested! April l 7.O11 Appropriation <br /> Source of Funds: N/A <br /> Requested By: Michael G. Dolby, Dir of Finance <br /> Department: Finance Account Number: N/A <br /> Report: Resolution: Ordinance: XX Amount Budgeted: <br /> Amount Requested: N/A <br /> Exhibits: Ordinance <br /> Budgeted Item: <br /> Exhibits: <br /> Exhibits: <br /> SUMMARY & RECOMMENDATION <br /> The City has been accepting credit cards for payment of utility bills, tax bills and other City <br /> Services. The Local Government code allows municipalities to collect a fee for processing online <br /> payments by credit card; however, the governing body may not set the processing fee in an <br /> amount that exceeds five percent of the amount of the fee or fine, or other charge being paid. <br /> Our third party processor (Rev Track) reviewed the City's total fees paid and compared that <br /> amount to the number of transactions and calculated an average fee of $3.00 per transaction. The <br /> City currently pays a total of approximately $133,000 annually in fees for the acceptance of <br /> credit cards; therefore, charging a $3.00 convenience fee will allow the City to recoup <br /> approximately $37,000: furthermore, the City would like to allow those citizens paying less than <br /> $60.00 dollars to not pay a convenience fee. This approach will keep La Porte in compliance <br /> with the Local Government Code. <br /> Action Required by Council <br /> • ve ordinance for $3.00 convenience fee. <br /> Appro ed ' or City o it Agenda <br /> l ( I <br /> Ron Bottoms, City Manager Date <br />
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