Item No: 5E.
Meeting Date: May 28, 2013
From: William Spinelli, CPA, Director of Finance
Subject: Resolution approving an agreement with GSC Enterprises, Inc., for the provision of payment, collection and remittance of customer utility bills for use by the Finance Department
Staff recommends approval of the contract with GSC Enterprises, Inc., to provide an additional location for customers to make in-person utility payments.
The City currently provides for in-person utility bill payments at City Hall located at 501 West Meadows Street, Leesburg Florida. Additionally, on March 11, 2013 the City Commission approved an agreement with AMSCOT to collect utility payments as well. City Hall is still the main location for customers to make in-person utility payments. The City’s goal is to continue to expand utility payment locations in order to provide additional customer convenience by contracting with a firm that has multiple locations and extended hours for acceptance of in-person utility payments.
Fidelity Express, a division of GSC Enterprises, a 66 year old privately held firm, is a leading provider of consumer financial services, including utility walk-in bill payment service, web and telephone payment processing, mobile payment services and money order sales, through 5,000 retail outlets in 20 states across the South Eastern United States. Fidelity Express has been accepting payments since 2000, and has contractual relationships with over 100 billers.
Generally, consumers who do not have checking accounts or who are seeking the convenience of using local merchants purchase money orders or utilize walk-in bill payment services to pay their telephone, utility, and other bills. Fidelity can process checks, cash, money orders and pin debit card payments with contractual billers and cash only with non-contractual billers. All payments are scanned at the point of sale and images are stored for seven years. If paying by check, the check is converted and the original is given back to the customer along with the bill stub and receipt. The customer receipt details the transaction and fee when the payment process is complete. The applicable fee to Fidelity and the face amount of the bill are remitted to Fidelity and then Fidelity remits to the biller.
Fidelity Express is currently contracted to accept payments for billers in Florida such as Jacksonville Electric Authority, Orlando Utilities Commission, Bright House, City of Ocala, Clay Electric, Gainesville Regional Utilities, Lakeland Electric, Sumter Electric Coop, and Suwannee Valley.
The City of Leesburg would like to enter into an Agreement with Fidelity Express to act as an independent agent of the City as an alternative means for residents to pay their monthly utility bills. Fidelity Express contracts with area retail stores and check cashers throughout the Southeastern United States, with over 350 walk in bill pay locations in Florida.
1. Approve the contract with GSC Enterprises, Inc
2. Such alternative action as the Commission may deem appropriate
There are no substantial costs to the City. The estimated implementation costs are free and returned check fees will be charge back to the utility customer.
Prepared by: ______________________
Attachments: Yes____ No ______
Advertised: ____Not Required ______
Attorney Review : Yes___ No ____
Reviewed by: Dept. Head ________
Finance Dept. __________________
Deputy C.M. ___________________
City Manager ___________________
Account No. _________________
Project No. ___________________
WF No. ______________________
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF LEESBURG AND GSC ENTERPRISES, INC. FOR THE PURPOSE OF ESTABLISHING A RELATIONSHIP BETWEEN THE PARTIES UNDER WHICH GSC ENTERPRISES, INC. IS AUTHORIZED TO COLLECT AND REMIT TO THE CITY CUSTOMER PAYMENTS ON UTILITY ACCOUNTS, AND PROVIDING AN EFFECTIVE DATE.
BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:
THAT the Mayor and City Clerk are hereby authorized and directed to execute an Agreement between the City of Leesburg and GSC Enterprises, Inc., for the purpose of establishing a relationship between the parties under which GSC Enterprises, Inc. is authorized to collect and remit to the City customer payments on utility accounts.
THIS RESOLUTION shall take effect upon its passage and adoption according to law.
PASSED AND ADOPTED at the regular meeting of the City Commission of the City of Leesburg, Florida, held on the 28th day of _May,__ 2013.
THE CITY OF LEESBURG, FLORIDA
DAVID KNOWLES, Mayor
BETTY RICHARDSON, City Clerk