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Council approves switch to new online payment vendor; residents to pay convenience fees

Montrose City Council · October 15, 2024
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Summary

After reporting recurring problems with PSN, staff recommended replacing the utility‑billing payments vendor; the council approved moving to the vendor promoted by the utility billing software and chose the option that passes convenience fees to residents, with staff directed to begin a rollout for January implementation.

City staff recommended replacing PSN with a payments vendor integrated with the city’s utility billing software to reduce recurring errors and customer confusion. The council voted to accept the new vendor contract and to have residents pay convenience fees for card transactions.

Staff described frequent issues with PSN—duplicate notices and account access problems—and said the utility‑billing software vendor’s recommended option would be more reliable. The staff packet showed two pricing scenarios: the city covers convenience fees, or convenience fees are charged to residents at point of sale. After discussion, the council approved the resident‑pays option and authorized executing the contract with the new vendor so the new system can be active by Jan. 1.

Council members asked about the rollout and communication to residents; staff said a mailer and outreach to current PSN users will be needed so customers can re‑register and know fee rules. Staff noted automatic bank withdrawals would continue to incur no fee.

What happens next: staff will sign the new vendor contract, prepare communications to customers, and schedule implementation to begin by Jan. 1.