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Board adds returned‑payment fee to cover electronic payment returns
Summary
Montgomery County supervisors amended the county code to allow a returned‑check fee to apply to returned electronic payments. The ordinance passed on a 6–0 roll call; staff said the code change follows state law amendments allowing the fee to cover electronic transfers.
The Montgomery County Board of Supervisors approved an amendment to Chapter 2, Section 2.36 of the county code on Aug. 10 to allow a returned‑check fee to be applied to returned electronic payments.
County staff explained that recent changes in state code permit localities to include electronic transfers in the returned‑payment fee provision. The board discussed that the fee applies to returned electronic transfers and confirmed the proposed amount in fiscal materials. There were no public comments on the ordinance; the board approved the amendment by roll call vote (6 ayes).
The change permits county finance staff to assess a returned‑payment charge for failed electronic transfers in addition to traditional returned checks. County administrators said the amendment aligns the county with the state code change and helps the county recover administrative costs associated with returned payments.
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