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)
Impact
If enacted, HB5 will directly affect the way state government entities handle financial transactions. By allowing credit and debit card payments, the bill represents a significant modernization of payment options, making it easier for the public to interact with various state departments. The introduction of a convenience fee for transactions processed through third-party services aims to cover any additional costs incurred while processing these payments, ensuring that the state does not absorb these expenses. Importantly, the convenience fees must be disclosed to users prior to payment, providing transparency in governmental financial practices.
Summary
House Bill No. 5 aims to amend and reenact existing state law concerning the administration of payments owed to the state. Specifically, the bill grants the Department of Public Safety and Corrections the authority to accept credit or debit card payments for obligations owed to the state, leveraging third-party processors. This shift is intended to modernize payment methods and enhance convenience for citizens who need to settle financial obligations such as fines or fees, thereby streamlining the payment process and potentially improving state revenue collection mechanisms.
Sentiment
Generally, the sentiment surrounding the bill appears positive, particularly among those advocating for improved state services through enhanced technology. Proponents argue that providing citizens with more flexible payment options fosters a more accessible government. However, there may also be concerns from constituents about the potential burden of additional fees associated with such payments, which could be seen as an additional financial obstacle, particularly for low-income individuals.
Contention
While the bill has garnered support for updating payment practices, one point of contention might stem from the introduction of convenience fees. Critics could argue that while modernization is necessary, imposing fees could disproportionately impact those with limited financial means or create a barrier to accessing essential services. Ensuring that the fee structure is reasonable and equitable will be crucial in addressing potential backlash and ensuring that the bill meets its intended goal of service improvement.
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)
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
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 Revenue to make payment of tax refunds by means of a debit card at the option of the taxpayer and prohibits the use of the debit cards in gaming establishments (EN SEE FISC NOTE GF EX See Note)
Relating to credit and debit card fees; to provide that the calculation of any credit or debit card swipe fee may not include taxes and fees added on to the price of the goods or services purchased by the credit or debit card.