Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Authorizing The Appropriate City Officials To Enter Into An Agreement Between TeleCheck Services, Inc. And The City Of Hollywood To Provide Electronic Check Acceptance Processing Services Not To Exceed $50,000.00.
Body
Staff Recommends: Approval of the attached Resolution.
Explanation:
As a convenience and to enhance the overall experience of its building, planning and engineering customers, the City will be offering electronic payment acceptance and would like to include electronic check acceptance through a new point of sale system to be located at each respective service area.
The City's existing merchant service provider, Bank of America N.A./Banc of America Merchant Services LLC offers the Clover Station point of sale system which will be used to facilitate credit card acceptance at building, planning and engineering service counter locations. Clover Station supports the electronic check acceptance processing services offered by TeleCheck Services, Inc. which would further enhance the customer experience by allowing those customers who pay by check to also make payment at the service counter location.
The processor fee costs associated with electronic check acceptance processing services offered by TeleCheck Services, Inc. are $0.20 per transaction and 1.5% of check dollar value. To control costs, checks over $5,000.00 which average approximately 13 checks per month would be expedited by staff and processed by Treasury Cashiering office. Given this constraint, the processor fees are estimated to be approximately $35,000.00 for the upcoming year based on the annualized activity of related check transactions over the past 7 months.
Although the estimated annual cost for these services will not exceed $50.000.00 and an agreement for this amount does not normally require City Commission approval, this agreement requires City Commission approval because of a pr...
Click here for full text