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Staff recommends studying Spire payment service after staff flag deposits and net cost issues
Summary
City staff told the committee that collecting Spire (gas) payments at city customer service locations cost the city about $11,555 through March and caused deposit timing issues; staff will explore contract terms, alternate payment locations and an appropriate transition timed with a planned office move.
Staff reported to the Audit & Finance Committee that taking payments for the utility company Spire at city customer service locations is a convenience offered to residents but has produced net costs and administrative difficulties.
City staff said deposits and timing of electronic transfers have caused reconciliation issues and that, through March, the convenience service cost the city approximately $11,555 above the fee paid by Spire. Staff said the program also requires city accounting and customer‑service time to reconcile the dedicated bank account used for deposits.
Committee members asked staff to determine whether other local payment locations exist (staff reported grocery stores and convenience outlets listed by Spire) and whether Spire could revise its arrangement or increase the fee to cover city costs. Multiple members recommended giving ample notice to customers if the city discontinues the service, and one committee member urged staff to prepare a clear public explanation should a change be made.
Staff proposed that, if the city decides to discontinue collecting Spire payments, the logical timing would be when customer service moves to a new building; staff said they will research any enabling resolutions or agreements that established the service and report back. The committee asked staff to first seek options with Spire and to return with recommendations and cost details before making any final operational changes.
