Title
An Ordinance approving the award of RFP No. 2024-061 for the Online and IVR Payment and Notification System to Paymentus Corporation and authorizing the City Manager to execute agreements for the same by and on behalf of the City. (F&BC 7/1/24)
Body
Issue/Request:
An Ordinance approving the award of RFP No. 2024-061 for the Online / IVR Payment and Notification System to Paymentus Corporation and authorizing the City Manager to execute agreements for the same by and on behalf of the City.
Background:
Paymentus provides the existing services for the City to collect payments online and over the telephone. Water Utilities selected Paymentus in 2019 to improve the services for customers and provide additional enhancements that were requested by customers. The Development Services Department identified the opportunity to add these services to enhance their services as well. Both Departments introduced the services to customers in 2020.
The Water Utilities Department utilizes Advanced Utility Systems CIS Infinity application as its’ customer interface and utility billing system and serves nearly 40,000 accounts comprised of residential and commercial customers, which are billed monthly. The current system with Paymentus for these services has an approximate 38% adoption rate for eBills. The current service processed over 230,000 transactions in 2023 and has over 29,000 registered customers.
The Development Services Department utilizes Harris Computer Systems CityView application to track and process Permits, Inspections, Planning applications, Business License applications, and Code Enforcement cases. The CityView Web Portal is used as the customer interface that allows for new applications, inspection scheduling, and payment processing. The Paymentus service processed over 6,500 transactions in 2023.
In addition to receiving payments, Water Utilities utilizes the Paymentus system to provide notifications to customers of their eBills, maintains an archive of 16 months of bills, notifications of pending collections activity and a variety of payment options.
To resolve these issues, the City issued RFP No. 2019-023 seeking a single-vendor service for automating its payment and customer notification processes. Six firms responded to the solicitation. After proposal review and subsequent demonstrations, presentations and interviews, the evaluation committee determined that Paymentus was the highest ranked firm.
Key Issues:
Paymentus provides an integrated solution that provides customers with a secure payment option to Water Utilities and Development Services customers. Under the proposed agreement, Paymentus will continue to provide City’s customers with the option to make online payments, IVR phone payments, mobile payments, paperless bills & archive, outbound customer notifications (including high-volume call-outs to handle urgent situations). Customers have chosen the eCheck option enough so that it is the single most preferred option for payment of Water Utilities bills.
Impact/Analysis:
With the Paymentus solution, there is no cost to implement and no interruption or inconvenience to customers already utilizing the service. The Water Utilities Department anticipates a reduction of costs due to lower transactional costs offered by Paymentus. Based on current number of payments, the savings are anticipated to be about $14,000 annually.
The Agreement has an initial term of one (1) years, with up to four (4), one-year renewal terms at the City’s option.
Proposed Committee Motion:
I move for second reading of this Ordinance approving the award of RFP No. 2024-061 for the Online and IVR Payment and Notification System to Paymentus Corporation and authorizing the City Manager to execute agreements for the same by and on behalf of the City.
Presenter
Brent Boice, Assistant Director of Business Services, Lee's Summit Water Utilities
Recommendation
Staff recommends the Finance and Budget Committee recommend approval of the proposed ordinance with Paymentus for Online and IVR Payment and Notification System for the City of Lee’s Summit.
Committee Recommendation