City Passes on Credit Card Fees to Utility Customers

4 years 9 months 3 weeks ago Tuesday, September 17 2013 Sep 17, 2013 Tuesday, September 17, 2013 1:52:00 PM CDT September 17, 2013 in News
By: Eric Hilt, KOMU 8 Reporter
loading

COLUMBIA - Columbia utility customers will notice a new fee on their next bill if they pay their utilities with their credit card. Starting this week, the city is passing the $4.60 credit card processing fee on to consumers, instead of footing the fee itself like it has in the past.

"It covers in essence the cost of using their software, the third party provider plus covering their cost of doing business," Assistant Finance Director Lynn Cannon said.

Customers said they thought the extra fee was ridiculous and the city should continue to cover the cost of credit card fees.

"Why would you charge extra if you're already charging for utilities? Why would you charge people extra just to use their own money to pay an easier way for their utilities?" said Columbia resident Kara Harvey.

Last year the city paid more than $450,000 in credit card fees, $177,000 more than it paid in 2010. Cannon said the city can't keep up with rising costs without passing it on to consumers. 

The fee is added onto Columbia's already higher-than-average utility fees. Columbia's utility rate is 9.44 cents per kilowatt-hour for the first 750 kilowatt-hours and 10.88 cents per kilowatt-hour for everything after that. To put that in perspective, the average utility rate in Missouri is 8.32 center per kilowatt-hour and the national average is 9.90 center per kilowatt-hour, both less than Columbia's rate.

Cannon said the additional fee will help save Columbia Public Works money, as well as ensure the utility rates are kept as low as possible.

"There could be a potential that it could cause a rate increase down the road, so those people that are paying via credit card are impacting the rate for the individual who is not paying via credit card," Cannon said.

Cannon said she's unsure the impact the extra fee will have on customers. She said she expects more people to pay in person, but doesn't anticipate the need to pay more workers or for overtime.

More News

Grid
List
KANSAS CITY (AP) — Authorities shot and killed a man suspected of shooting three Kansas City police officers, a newspaper... More >>
2 hours ago Sunday, July 15 2018 Jul 15, 2018 Sunday, July 15, 2018 1:34:00 PM CDT July 15, 2018 in News
CHICAGO (AP) — Footage from body cameras and surveillance cameras shows that a man who was shot and killed by... More >>
5 hours ago Sunday, July 15 2018 Jul 15, 2018 Sunday, July 15, 2018 11:07:56 AM CDT July 15, 2018 in News
JEFFERSON CITY (AP) — A proposed ballot initiative aims to replace Missouri's system for drawing state legislative districts with a... More >>
5 hours ago Sunday, July 15 2018 Jul 15, 2018 Sunday, July 15, 2018 10:46:43 AM CDT July 15, 2018 in News
OMAHA, Neb. (AP) — The amount of water being released into the lower Missouri River will likely remain above normal... More >>
6 hours ago Sunday, July 15 2018 Jul 15, 2018 Sunday, July 15, 2018 10:27:00 AM CDT July 15, 2018 in News
MORGAN COUNTY - 37-year-old Brett Davidson of Clarksville, Tennessee was pronounced dead after drowning in the Lake of the Ozarks,... More >>
6 hours ago Sunday, July 15 2018 Jul 15, 2018 Sunday, July 15, 2018 9:53:00 AM CDT July 15, 2018 in News
COLUMBIA- Senator Claire McCaskill and Attorney General Josh Hawley both met with supporters and volunteers Saturday at each of their... More >>
17 hours ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 10:43:00 PM CDT July 14, 2018 in Continuous News
JEFFERSON CITY - A 17-year-old from Jefferson City will be competing at the CrossFit Games in Madison, Wisconsin, in August.... More >>
21 hours ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 6:50:00 PM CDT July 14, 2018 in Sports
COLUMBIA - House hunters are looking beyond Columbia due to a lack of middle-income housing in the city. Realtor... More >>
23 hours ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 5:00:00 PM CDT July 14, 2018 in News
(CNN Money) -- Microsoft has helped innovate facial recognition software. Now it's urging the US government to enact regulation to... More >>
1 day ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 3:22:00 PM CDT July 14, 2018 in News
COLUMBIA — Seven cases of cyclosporiasis in Missouri may be linked to eating McDonald's salads, the Missouri Department of Health... More >>
1 day ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 2:33:00 PM CDT July 14, 2018 in News
PHILADELPHIA (AP) — The U.S. homeland security secretary said on Saturday there are no signs that Russia is targeting this... More >>
1 day ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 2:20:00 PM CDT July 14, 2018 in News
(CNN) -- A paragliding protester hovered within surprising proximity of President Donald Trump on Friday night as the president admired... More >>
1 day ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 1:38:05 PM CDT July 14, 2018 in News
CALLAWAY COUNTY - KOMU 8 News was in contact with the Callaway County Sheriff at 1 p.m. They said that... More >>
1 day ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 1:09:00 PM CDT July 14, 2018 in News
ST. LOUIS (AP) — Some Missouri nurses will soon be able to take advantage of a pilot program that allows... More >>
1 day ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 11:00:00 AM CDT July 14, 2018 in News
(CNN) -- If movie-streaming seems like Goliath, Blockbuster video store owners are an industry's Davids still fighting to keep the... More >>
1 day ago Saturday, July 14 2018 Jul 14, 2018 Saturday, July 14, 2018 8:29:00 AM CDT July 14, 2018 in News
COLUMBIA - Elder law attorneys and the Department of Health and Senior Services are warning the community to keep a... More >>
1 day ago Friday, July 13 2018 Jul 13, 2018 Friday, July 13, 2018 9:37:00 PM CDT July 13, 2018 in News
(CNN) -- A Chinese spy ship is currently spying on a major US-led military exercise off the coast of Hawaii,... More >>
1 day ago Friday, July 13 2018 Jul 13, 2018 Friday, July 13, 2018 8:29:00 PM CDT July 13, 2018 in News
CALLAWAY COUNTY - An investigation into the theft of trailers, ATV’s, farm equipment and other items in Callaway County lead... More >>
1 day ago Friday, July 13 2018 Jul 13, 2018 Friday, July 13, 2018 6:29:00 PM CDT July 13, 2018 in News
Columbia, MO
Broken Clouds 95°
5pm 94°
6pm 93°
7pm 90°
8pm 87°