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515 Little Canada Road, Little Canada, MN 55117-1600 <br />(651) 766 -4029 / FAX: (651) 766 -4048 <br />Email: cityhall @ci.little- canada.mn.us <br />DATE: <br />TO: <br />FROM: <br />RE: <br />April 5, 2001 <br />Mayor & City Council <br />Joel Hanson/Tina Hix <br />IMPLEMENTING CREDIT CARD SERVICES <br />The following cities were surveyed regarding the implementation <br />payments: <br />Roseville <br />Maplewood <br />Arden Hills <br />Vadnais Heights <br />Falcon Heights <br />bIAYOR <br />Michael 1. Fahey <br />COUNCIL, <br />Beverly Scalze <br />Jim LaVaile <br />Mau Anderson <br />Rick Montour <br />ADMINISTRATOR <br />Joel R. Hanson <br />of accepting credit card <br />White Bear Lake <br />Shoreview <br />The only two cities surveyed that have implemented accepting credit card payments are: <br />Roseville Shoreview <br />These two cities report the majority of credit card payments received were for licenses (25 %), <br />permits (25 %) and park and recreation activities (40 %). Very few customers pay their utilities <br />(1 %) with credit cards. Neither of these cities has raised fees to offset costs, but expect to review <br />this during their next budgeted cycles. The following costs to the City of Little Canada are <br />derived from the current approximate percentages as given by the cities surveyed: <br />First Year Costs Ongoing Costs (Per Year) <br />Initial Set Up Costs $ 700.00 <br />Discount and <br />Transaction Fees <br />Total Yearly Costs <br />$ 0 <br />2,397.00 2,397.00 <br />$ 3,097.00 $ 2,397.00 <br />Please refer to the attached spreadsheet for a more detailed account of costs. <br />Recommendation <br />We are not recommending the implementation of credit card services at this time based on the <br />additional fees it will cost the City. We plan to revisit this issue once we are able to offer more <br />services via our new website. <br />Page 21 <br />