Provides for the collection of fees associated with payments to state agencies by credit cards, debit cards, or other forms of electronic payments (EN INCREASE SD RV See Note)
Impact
HB 638 impacts state laws by clarifying how state departments and agencies may impose transaction fees related to credit and debit card payments. This includes outlining the permissible methods of fee assessments and ensuring that the fees associated with these payments are adequately disclosed to users. Additionally, the bill includes provisions to manage delinquent debts more effectively by instituting a structured process for agencies to refer final debts to a central recovery office, ultimately affecting how state financial management with respect to citizen debts is handled.
Summary
House Bill 638 establishes new provisions regarding the acceptance of payments via credit and debit cards by state agencies in Louisiana, including provisions for associated fees that may be charged for these transactions. The bill provides a framework for electronic payments and sets the groundwork for modernizing the payment systems through which state agencies collect various obligations, including taxes and fees. This legislation aims to enhance the efficiency and accessibility of financial transactions between citizens and the state, streamlining processes that have been outdated.
Sentiment
The general sentiment around HB 638 appears favorable among proponents who see it as a necessary step towards modernization and better financial management within state agencies. Supporters argue that accepting electronic payments will ease transactions for citizens, making it more convenient to pay dues and thereby promoting timely payments. However, there may be concerns and opposition regarding the potential financial burden that transaction fees could impose on citizens, particularly among those who may rely heavily on these payment methods for essential services.
Contention
Notable points of contention surrounding HB 638 include debates over the reasonableness of the transaction fees imposed on electronic payments. Critics may argue that excessive fees could deter usage of these systems and put an undue burden on lower-income citizens who are more reliant on credit and debit transactions. Additionally, discussions may center around the adequacy of safeguards put in place to protect consumers' rights and ensure that all fees are both reasonable and transparent.
Requires state departments, agencies, boards, and commissions to accept credit cards or debit cards for certain transactions (EG INCREASE GF EX See Note)
Authorizes the Dept. of Insurance to accept credit and debit cards for certain payments with a convenience fee charged by a private third-party payment processor
Authorizes the Dept. of Public Safety and Corrections to accept credit cards or debit cards from offenders paying fees (EN SEE FISC NOTE SG RV See Note)
Establishes the Louisiana Enhanced Governmental Access Portal and its oversight board in the office of the governor and provides for functions and duties. (gov sig)
Requires the withholding of individual income taxes from income earned by certain individuals for purposes of the motion picture investor tax credit (EN SEE FISC NOTE GF RV See Note)
Provides criteria for the definition of "dealer" for purposes of the sales tax imposed on transactions involving a remote seller (Item #26) (REF +$507,000,000 GF RV See Note)
Provides criteria for the definition of "dealer" for purposes of the sales tax imposed on transactions involving a remote seller (Item #26) (EN SEE FISC NOTE GF RV See Note)