TO: Mayor and City Commission
FROM: Samuel A. May, City Manager
DATE: December 5, 2018
Title
RESOLUTION - APPROVING ACH SERVICE AGREEMENT WITH AUTOMATED MERCHANT SYSTEMS INCORPORATED (AMS), TO PROVIDE FOR E-CHECK PAYMENT PROCESSING; PROVIDING FOR EFFECTIVE DATE.
BACKGROUND: An electronic check (e-check) is an electronic payment funded by the customer’s bank account. This agreement will provide customers the option to pay with a check using the City’s website. E-checks offer many benefits including:
1. An E-check payment will post instantly to the customer’s account allowing water restoration to happen the same day if water service is interrupted.
2. E-checks allow customers to easily pay on time and eliminate chances of lost/late payments in the mail due to holidays or delivery issues.
3. E-checks are less expensive to process due to no mailing or handling costs.
4. E-checks require that an account holder’s money must actually be in the account at the time the check is issued which greatly reduces the number of bad checks.
RECOMMENDATION: Approve
FISCAL IMPACT: $150 initial setup fee, $10 monthly access fee, and a per transaction fee of $ .40 to be paid from available budgeted funds.
CONTACT PERSON: Mary Beazley, Finance Director