HomeMy WebLinkAboutItem 06.fAugust 7, 2017 Item No.________
RESOLUTION ELIMINATING THE CONVENIENCE FEE
FOR ONLINE UTILITY BILLING CREDIT CARD PAYMENTS
Proposed Action
Staff recommends adoption of the following motion: Move to approve a Resolution
Eliminating the Convenience Fee for Online Utility Billing Credit Card Payments.
Approval of the resolution will eliminate the convenience fee applied on utility credit card
payments effective the date of implementation of a new online payment portal that is
scheduled later this fall.
Overview
City staff presented information at the council workshop held on July 24, 2017 regarding
changing the current practice of charging a convenience fee for online utility billing credit card
payments to absorbing the fees. Staff conducted additional research and analysis on credit
card fee options in conjunction with review of a new utility billing/payment portal to be
implemented later this fall. Based on the analysis it was determined that credit card companies
offer a special rate specifically to government utilities. To qualify for this special rate, the City
cannot pass on the fees to the utility customer as a convenience fee or service fee; therefore,
the City must absorb the fees and remove the convenience fee.
Primary Issues to Consider
The convenience fee will not be removed until the new online utility billing/payment portal is
implemented.
Supporting Information
• Resolution
Financial Impact: $ Budgeted: Y☐ N☐ Source:
Related Documents: (CIP, ERP, etc.):
Envision Lakeville Community Values: Good Value for Public Services
Report Completed by: Jerilyn Erickson, Finance Director and Julie Werner, Assistant Finance
Director
Varies Utility Funds
N/A
CITY OF LAKEVILLE
RESOLUTION NO.______
RESOLUTION ELIMINATING THE CONVENIENCE FEE
FOR ONLINE UTILITY BILLING CREDIT CARD PAYMENTS
WHEREAS, following research and analysis of credit card fee options, it was
determined that credit card companies offer a special rate specifically to government
utilities; and
WHEREAS, to qualify for this special rate, the City cannot pass on fees to the utility
customer as a convenience fee or service fee;
NOW, THEREFORE, BE IT RESOLVED that the convenience fee for online utility
billing credit card payments will be removed effective the date the online portal provided
by Payment Service Network (PSN) is implemented.
ADOPTED this 7th day of August 2017 by the City Council of the City of Lakeville
CITY OF LAKEVILLE
By: ________________________________
Douglas P. Anderson
ATTEST:
________________________________
Charlene Friedges, City Clerk