The borough expects to pay $110,000 this year in credit card fees when residential and commercial customers use their card to pay utility bills — and the assembly believes it’s time the borough stopped eating the cost.
The assembly has directed staff to come back with proposals for how the borough could tack on a fee for credit card payments or come up with another method to transfer the cost to bill payers.
An estimated 65% to 70% of utility customers pay their monthly bills by credit card, Finance Director Rob Marshall told the assembly at their meeting June 29.
The cost to the borough is unfair to the 30% who don’t pay by credit card, Mayor Patty Gilbert said at the meeting.
Assembly Member David Powell questioned why the borough should take a $110,000 hit to its budget.
“Will you note our concerns and bring back some solutions,” the mayor asked the borough manager and finance director.
Staff is working toward presenting a proposal at the assembly’s July 28 meeting, Borough Manager Mason Villarma said last week.
The borough already charges a fee of 2.25% for payment by credit card on property tax, sales tax and transient tax on overnight accommodations. About one-quarter of those taxpayers use a credit card, Marshall said.
