Moore OKs Paymentus processor; utility customers to pay card fees under new contract
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Summary
The council approved a Paymentus contract that shifts electronic payment processing fees to customers: $0.50 for ACH/eCheck and $2.25 for credit/debit card payments on utility bills, a change the city estimates will save about $1 million annually.
The Moore City Council voted July 7 to accept a Paymentus proposal to process payments for utilities, courts, permits, licenses and other city receipts. Under the agreement presented at the meeting, customers would pay processing fees: a flat $0.50 for ACH and eCheck transactions and a flat $2.25 for credit and debit card transactions for routine utility payments; the staff presentation noted other nonrecurring payments may carry a different credit/debit rate (the presentation referenced a 2.75% option for some one-time transactions).
City staff said the municipality currently absorbs nearly $1 million per year in credit-card processing costs. The Paymentus proposal was described as the most favorable of three solicited offers and is expected to reduce the city's processing expenditures. “Currently costs the city almost a million dollars a year, in credit card processing fees ... It will save the city a million dollars a year just on MPWA if we adopt this plan,” a staff presenter said.
Staff noted residents could avoid the fee by paying by check or cash in person or by mailing payment. The council approved the Paymentus proposal by motion and unanimous vote. Staff said the implementation details, including which payment types and exact pricing apply to specific transaction categories, will be reflected in final contract language and customer notices.
The council did not record any additional conditions; staff said they reviewed three proposals and recommended Paymentus as the preferred vendor.
