ORDINANCE NO. BL2001-777

An ordinance allowing The Metropolitan Government of Nashville and Davidson County to waive the fee for processing credit card or debit card payments when collecting funds on behalf of Metro Government.

Whereas, Tennessee Code Annotated §9-1-108 mandated local governments to set and collect a credit or debit card processing fee in an amount that is equal to an amount paid to a third-party processor and does not exceed five percent of the amount of the payment collected; and

Whereas, Tennessee Code Annotated §9-1-108(c)(3) was amended by Chapter 348 of the Public Acts of 2001 to authorize municipal or county entities to waive the collection of a processing fee for accepting payment by use of credit or debit cards; and

Whereas, the removal of the financial penalty for use of debit or credit cards would encourage citizens to pay fines and fees by taking advantage of increased payment options without added costs.

Now, therefore, be it enacted by the Council of The Metropolitan Government of Nashville and Davidson County:

Section 1. That metro departments shall obtain prior approval from the Department of Finance for acceptance of credit or debit cards as a form of payment.

Section 2. That there shall not be a processing fee imposed by The Metropolitan Government of Nashville and Davidson County for use of a credit or debit card when making payment to The Metropolitan Government of Nashville and Davidson County.

Section 3. This ordinance shall take effect from and after its passage, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored By: Howard Gentry, Leo Waters

LEGISLATIVE HISTORY

Introduced: August 7, 2001
Passed First Reading: August 7, 2001
Referred to: Budget & Finance Committee
Passed Second Reading: August 21, 2001
Passed Third Reading: September 18, 2001
Approved: September 20, 2001
By: Mayor Bill Purcell