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Council approves Tyler Payments contract; customers to see credit-card surcharge
Summary
Council approved contracting with Tyler Payments to process utility and court payments; credit-card payments will carry a 2.95% surcharge (minimum $1.50) while ACH/e-check will be a $0.50 flat fee; staff estimated about $1,000,000 in avoided charges to the city when fees are passed to users.
The Moore City Council approved a contract with Tyler Payments on Oct. 6 to handle city utility and court payments, a staff presentation said.
Staff said negotiations with a previously selected vendor (Paymentus) did not yield terms in the city's best interest and Tyler offered a one-year contract with no early-withdrawal penalty, a real-time payment interface and minimal change for customer-facing portals. "When making payment via credit card, there will be a 2.95 surcharge and just make that permanent language," staff said. ACH or e-check payments will incur a flat $0.50 fee.
Staff estimated the city has been absorbing merchant fees and that passing user fees to customers would save the city "in the neighborhood of $1,000,000" over time. Council members asked how the fee will appear to customers and staff said the online portal will show the bill amount plus the fee and statements will note the change in advance.
The council moved to approve the contract with Tyler Payments and voted to proceed. Staff said they will notify customers in advance of implementation and display fee language on the payment portal and statements.
