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Kingman council moves to recover credit‑card processing costs; public hearing set for Aug. 5
Summary
Council adopted a notice of intent to establish convenience (credit‑card) fees and set an Aug. 5 public meeting; staff said credit‑card processing costs total roughly $500,000 citywide and options include passing fees to users, exempting bank drafts, or selecting services to charge.
The Kingman City Council voted May 25 to adopt a notice of intent to recover credit‑card processing costs by establishing convenience fees and set a public meeting for Aug. 5 to consider the proposal.
Deputy City Manager Tina Moline told the council that the city processed more than $9 million in card transactions over the prior year — more than 300,000 transactions with an average size of about $27 — and expects card fees to total roughly $500,000 this fiscal year. Utility billing accounts for the largest share of fees (about $300,000). Moline said the city allows many services to be paid by card, from utility bills and building permits to transit and park fees.
Moline outlined options: pass fees to all card users, limit fees only to certain services, or allow alternatives such as bank drafts (e‑checks) or paying in cash at a counter. She said bank draft and bill‑pay fees are much lower than card interchange and processor fees and recommended clarifying that the notice would apply to credit/debit card processing fees only (not bank drafts).
Council members emphasized preserving low‑cost payment options. Council member Walker noted roughly 50% of utility customers currently use cards and said shifting card fees to customers would reduce pressure on enterprise funds; Moline estimated the change would translate to about $1/month on utility rate calculations. Vice Mayor Samuley and others supported giving customers a bank‑draft option and signage at counters to show fees apply when paying by card.
Mayor Ken Watkins made the motion to adopt the notice of intent; the vice mayor seconded and the motion carried on voice vote. The council directed staff to proceed with a notice of intent and to hold a public meeting Aug. 5, 2025; staff said implementation could begin after payment processors require 45–60 days to implement changes, targeting an October effective date if approved.
