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Administration seeks authority to pass on credit‑card processing fees; parks to remain exempt
Summary
Director Goodrich told the finance committee staff proposes an ordinance (2026‑02) permitting the city to recover credit‑card processing costs (initially estimated at about 3%) for income tax, finance and zoning transactions while exempting parks and recreation to encourage participation; the item proceeds as a second reading to full council.
The administration told the finance committee on Feb. 10 it is asking the city to amend its codified ordinances to allow the recovery of credit‑card processing costs and certain return‑payment fees for specific departments, while keeping parks and recreation exempt.
Director Goodrich said staff will delete the word “debit” from the draft ordinance after vendor research showed debit‑card surcharges cannot be applied in some merchant contracts. Goodrich provided department‑level data showing the city spent about $165,985 on credit‑card fees across three departments over five years and about $40,440 last year. Based on merchant surcharges, the initial surcharge would likely be about 3 percent.
"When we look at credit card fees over time, we're seeing an increase," Director Goodrich said, noting the income‑tax department is the largest source of credit‑card transactions. Goodrich said parks and recreation transactions will remain fee‑free, and that the administration plans to continue absorbing processing costs for CivicRec transactions to encourage participation.
Committee members said the proposal treats convenience users equitably because alternative payment methods (check, cash or the Ohio Business Gateway) remain available. Chair Humphrey and other members supported allowing customers to choose convenience at their own cost rather than the city bearing the processing expense.
Mayor Rocco Yerigan framed the proposal as part of broader budget‑tightening: he said the city must look for ways to be efficient and that charging convenience users is consistent with practice in neighboring municipalities. Council members asked about mayoral discretion to set or waive fees; staff explained existing ordinances already allow the mayor to set some fees and the proposed language preserves that flexibility.
The ordinance was presented as a second reading and will be read and acted on at the full council meeting; no final adoption occurred at the committee meeting.
