To: Board of Supervisors
From: Dan Mierzwa, Treasurer-Tax Collector
Report Title: APPROVE and AUTHORIZE the Treasurer-Tax Collector (TTC) or designee to execute a contract amendment with Grant Street Group, Inc. to extend the term from September 16, 2023 to September 16, 2027, for processing of property tax payments by credit/debit card and electronic check payments and no increase to the payment limit. (No Fiscal Impact)
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Treasurer-Tax Collector (TTC) or designee to execute a contract amendment with Grant Street Group, Inc. to extend the term from September 16, 2023 to September 16, 2027, for processing of property tax payments by credit/debit card and electronic check payments and no increase to the payment limit. (No Fiscal Impact)
FISCAL IMPACT:
Service fees will be paid by individual taxpayers using the system to make credit card/debit card payments. The county will not incur costs to accept credit/debit cards. The Automated Clearing House (ACH) validation will assess a $0.30 per ACH validation to the county. This service is intended to reduce ACH fraud as well as invalid ACH transactions and continue to allow TTC to be in compliance with the National Automated Clearing House Association (NACHA). There is no cost for the Grant Street’s Cashiering System.
BACKGROUND:
The Treasurer-Tax Collector accepts tax payments by credit/debit cards and electronic check payments utilizing Grant Street Group, Inc. In 2019, upon completion of an extensive Request for Proposal (“RFP”), TTC selected, approved by the Board of Supervisors, Grant Street Group, Inc. to process property tax payments by credit/debit cards and electronic check payments. Over the past four years, Grant Street Group, Inc. has successfully processed tax payments in accordance with the agreement, with no cost to the County for the Cashiering System. During the renewal process, Grant Street Group, Inc. requested to add a new fee for e-checks which would be passed on to taxpayers. The contract was delayed due to various factors: 1) E-check fee negotiations spanning several months, 2) Staffing shortages, and 3) COVID outbreaks. The discussion took months of negotiations, and the previous County Treasurer-Tax Collector agreed to increase fees. With support of the current Treasurer-Tax Collector, the fee remains at no cost to taxpayers.
Under the contract, Grant Street Group, Inc. will continue to provide payment processing services for credit/debit cards and electronic checks payments. Fees for use of the system will be paid by individual taxpayers using the system to make credit card / debit card payments. The ACH validation will be assessed at $0.30 per ACH transaction which will be at cost to the County.
CONSEQUENCE OF NEGATIVE ACTION:
If the contract is not approved, the Treasurer-Tax Collector’s office will not be able to continue accepting tax payments by credit card/debit card and e-checks.