File #: 18-0371    Version: 1
Type: Agenda Item Status: Approved
File created: 3/1/2018 In control: Board of Supervisors
On agenda: 4/24/2018 Final action: 4/24/2018
Title: Community Development Services, Administration and Finance Division, recommending the Board approve and authorize the Chair to sign the following perpetual agreements to allow credit and debit card, as well as electronic fund transfer payment transactions for permit, project and code enforcement fees, and other charges that will be processed through TRAKiT, the county’s new software program being implemented for planning, permitting, and parcel management, as follows: 1) Cardknox Agreement 2709 (Attachments A & B) with Cardknox, effective upon final execution and continuing until terminated, with payments made on an annual basis in an amount no greater than $1,000, and in year-one the county will incur equipment costs of $6,750 for the necessary credit card readers, as well as startup costs not to exceed $100; and 2) Cardknox Agreement 2712 (Attachments C & D) with Fidelity Payment Services, effective upon final execution and continuing until terminated, with payments made on an ann...
Attachments: 1. A - Cardknox Agreement (FENIX 2709), 2. B - Cardknox Application and Agreement (FENIX 2709), 3. C - Fidelity Payment Services Application Worksheet (FENIX 2712), 4. D - Fidelity Payment Services Merchant Processing Application (FENIX 2712), 5. E - Cardknox comparison chart, 6. Executed Fidelity Agreement, 7. Executed Cardknox Agreement, 8. Executed Merchant Services Program Terms and Conditions (Program Guide)

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Community Development Services, Administration and Finance Division, recommending the Board approve and authorize the Chair to sign the following perpetual agreements to allow credit and debit card, as well as electronic fund transfer payment transactions for permit, project and code enforcement fees, and other charges that will be processed through TRAKiT, the county’s new software program being implemented for planning, permitting, and parcel management, as follows:

1) Cardknox Agreement 2709 (Attachments A & B) with Cardknox, effective upon final execution and continuing until terminated, with payments made on an annual basis in an amount no greater than $1,000, and in year-one  the county will incur equipment costs of $6,750 for the necessary credit card readers, as well as startup costs not to exceed $100; and 

2) Cardknox Agreement 2712 (Attachments C & D) with Fidelity Payment Services, effective upon final execution and continuing until terminated, with payments made on an annual basis in an amount not to exceed $500, and in the first year the county will incur startup costs not to exceed $100 in addition to the ongoing annual fees of $20. 

 

FUNDING:  Solid Waste Franchise Fees, Building Permit Fees, and Technology Fees (credit card processing fees are paid by cardholders).

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DEPARTMENT RECOMMENDATION

Community Development Services, Administration and Finance Division, recommending the Board approve and authorize the Chair to sign the following perpetual agreements to allow credit and debit card, as well as electronic fund transfer payment transactions for permit, project and code enforcement fees, and other charges that will be processed through TRAKiT, the county’s new software program being implemented for planning, permitting, and parcel management, as follows:

1) Cardknox Agreement 2709 (Attachments A & B) with Cardknox, effective upon final execution and continuing until terminated, with payments made on an annual basis in an amount no greater than $1,000, and in year-one  the county will incur equipment costs of $6,750 for the necessary credit card readers (9), as well as startup costs not to exceed $100; and 

2) Cardknox Agreement 2712 (Attachments C & D) with Fidelity Payment Services, effective upon final execution and continuing until terminated, with payments made on an annual basis in an amount not to exceed $500, and in the first year the county will incur startup costs not to exceed $100 in addition to the ongoing annual fees of $20. 

 

DISCUSSION / BACKGROUND

The county has determined that the cost of maintaining online land management information on the county mainframe has become too costly and requested alternatives be researched to find a less expensive program that would provide similar features as the county’s current Land Management Information System, referred to as LMIS, and provide enhanced features for ease of use, including payment of fees, etc., via credit or debit cards or electronic fund transfers (EFT).  

On January 3, 2017 (Item 28), the Board approved a contract with Superion, formerly Sungard Public Sector LLC, to purchase TRAKiT Land Management Software System (TRAKiT). In addition to permitting, project tracking, code enforcement and GIS integration, TRAKiT offers cashiering functions. In order to facilitate online payments, a browser-based credit and debit card processing solution that interfaces seamlessly with the new TRAKiT software is required.

The kickoff for implementing TRAKiT was held last June, and in the process of seeking credit card vendors, it was determined that Cardknox and Fidelity Payment Services provided the best solution.  After determining Cardknox was the preferred vendor, the Cardknox solution was integrated into county credit card policies for review.

 

CDS staff has secured approval of the integrated Electronic Payment Procedures Manual (Procedures Manual) from the County Treasurer/Tax Collector, County Auditor, and Chief Administrative Officer. Cardknox and Fidelity Payment Services were chosen for both functional and financial reasons. Cardknox offers the lowest interest rate of TRAKiT compatible companies, offering a 1.59% and a $.10 transaction rate for credit and $0.25 for debit and e-check payments. Cardknox has already built an interface with TRAKiT, which saves a $25,000 dollar integration charge that would be incurred had we selected a different vendor.

 

Cardknox offers a turnkey solution for processing Master Card, Visa, and Discover cards both online and in-person that meets new Europay, MasterCard and Visa (EMV) standards for chip readers. Since chip data cannot be passed to a webpage, additional security measures are required for the online acceptance of credit cards. Cardknox offers a solution that processes online payments in a manner that meets EMV standards.

Fidelity Payment Services provides enterprise payment solutions relating to electronic transaction processing services for organizations who receive payments from customers by paper checks or electronic Automated Clearing House (ACH) transactions. Fidelity Payment Services will be providing Merchant Processing that will post payments to the county's bank account. They are fully integrated with TRAKiT's cashiering module and provide for a seamless transition to accepting ACH (e-check) payments.

In order to complete the install and make TRAKiT fully functional, CDS is in the final implementation phase of the land management replacement project. As a part of this transition a credit card company, Cardknox, and merchant processing company, Fidelity Payment Services has been selected to interface with TRAKiT. A contract must be executed with Cardknox and Fidelity Payment Solutions, so the interface can integrate with TRAKiT to accept credit cards, debit cards and electronic checks online, and credit and debit cards at the point of purchase.

 

ALTERNATIVES

The Board could decline to approve both Agreements, and the county would continue moving forward with implementing TRAKiT, but only accept cash and check payments.

 

OTHER DEPARTMENT / AGENCY INVOLVEMENT

County Treasurer/Tax Collector’s Office

County Auditor’s Office

County Chief Administrative Office

Environmental Management Department

Planning and Building Department

Transportation Department

Surveyor's Department

Information Technology Department

Contracts approved by County Counsel and Risk Management

 

CAO RECOMMENDATION

It is recommended that the Board approve this item.

 

FINANCIAL IMPACT

Transaction fees will be paid by TRAKiT system users.

 

Estimated equipment costs for card readers and the service costs related to implementing and maintaining the credit card convenience pay system are not anticipated to exceed $9,000 for the first year; this includes equipment costs and start up fees. In year two of the contract, only monthly statement payments will be due with a not to exceed $30.00 per month.

 

CLERK OF THE BOARD FOLLOW UP ACTIONS

1) The Clerk of the Board will obtain the Chair's signature on the two (2) original copies of the Cardknox and Fidelity Payment Service Agreements.

2) The Clerk of the Board to return one (1) fully executed original copy of both Agreements to the CDS Administration and Finance Division, Contract and Procurement Unit, for further processing.

 

STRATEGIC PLAN COMPONENT

Infrastructure and Good Governance.

 

CONTACT

Creighton Avila, Deputy Chief Administrator