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Nacogdoches council hears plan to pass card-processing fees to utility customers
Summary
City finance staff recommended moving to a pass-through model that charges a $1.93 flat fee for utility card payments, a per-transaction 75¢ ACH fee, and percentage-based fees for non-utility card payments; council members asked questions and offered support, and staff said a formal agreement will be presented later.
Nacogdoches City Council on Jan. 6 discussed a finance proposal to stop absorbing credit-card convenience fees and instead have customers pay those charges directly.
Finance staff told council members the city paid roughly $216,000 last year in convenience fees. "Finance is recommending we move towards a flat rate model where we're passing on the convenience fee to the customers and [a] percentage base for non-utility payments," said Kevin, a member of the finance department. For routine utility card payments, staff said the fee would be a $1.93 flat charge; ACH payments would…
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