(a) Definitions. As used in this section:
(1) "Financial transaction device" includes a credit card, debit card, charge card, prepaid or stored value card, or other similar financial means.
(2) "Fees" include costs, taxes, assessments, utilities, fines, reservation deposits, recreation services, memberships, penalties, payments, purchases, or other fees a person owes to a City office under the authority of a City elected official or City entity.
(3) "City elected official" includes the Mayor, Director of Finance, Director of Law, and President of Council.
(4) "City entity" includes any City department, agency, board, or commission that deposits funds into the City treasury.
(b) Procedure.
(1) Any person may pay a fee owed to the City under the authority of a City elected official by a financial transaction device.
(2) The Director of Finance is authorized and directed to accept payments by financial transaction device.
(3) The fees that may be paid for through the use of a financial transaction device are: costs, taxes, assessments, utilities, fines, reservation deposits, recreation services, memberships, penalties, payments, purchases, or other fees a person owes to a City office.
(4) The following financial transaction devices are authorized as acceptable means of payment for fees: credit card, debit card, charge card, or prepaid or stored value card. The uniform acceptance of financial transaction devices among different types of fees is not required.
(5) The Director of Finance is authorized to establish, implement, and collect a surcharge or convenience fee from each person making payment by a financial transaction device. The Director of Finance shall determine the location of each eligible point of sale. Additionally, each point of sale location must be approved by the elected official having authority over that office, entity, or location.
A. The surcharge or convenience fee shall not be imposed unless authorized or otherwise permitted by the rules prescribed by an agreement governing the use and acceptance of the financial transaction device. To the extent possible, the surcharge or convenience fee shall be sufficient to cover such costs as are imposed upon the City.
B. If a surcharge or convenience fee is imposed, each City location accepting payment by a financial transaction device shall clearly post a notice in that office and shall notify each person making a payment by such a device about the surcharge or fee.
1. Notice to each person making a payment shall be provided regardless, of the medium used to make the payment and in a manner appropriate to that medium.
2. Each notice shall include all of the following:
a. A statement that there is a surcharge or convenience fee for using a financial transaction device;
b. The total amount of the charge or fee expressed in dollars and cents for each transaction, or the rate of the charge or fee expressed as a percentage of the total amount of the transaction, whichever is applicable;
c. A clear statement that the surcharge or convenience fee is nonrefundable.
C. If a person elects to make a payment to the City by a financial transaction device and a surcharge or convenience fee is imposed, the payment of the surcharge or fee shall be considered voluntary and the surcharge or fee is not refundable.
D. In the event a person makes payment by financial transaction device and the payment is returned or dishonored for any reason, the person is liable to the City for payment of a penalty over and above the amount of the fees due. The penalty shall be the greater of twenty dollars or payment of the amount necessary to reimburse the City for banking charges, legal fees, and other expenses incurred by the City in collecting the returned or dishonored payment. The remedies and procedures provided in this section are in addition to any other available civil or criminal remedies provided by law.
E. No person making any payment by financial transaction device to a City office shall be relieved from liability for the underlying obligation except to the extent that the City realizes final payment of the underlying obligation in cash or its equivalent. If final payment is not made by the financial transaction device issuer or other guarantor of payment in the transaction, the underlying obligation shall survive and the City shall retain all remedies for enforcement that would have applied if the transaction had not occurred.
F. A City elected official, employee, agent, or assign who accepts a financial transaction device payment in accordance with this section and any applicable laws or other rules established by the Director of Finance is immune from personal liability for the final collection of such payments.
(c) Contract With Financial Institutions. Contracts with financial institutions are subject to bidding in accordance with section 143.03.
(Ord. 47-2018. Passed 5-10-18.)