News : Cheap Credit Cards

Date : 06/30/2008

AUGUSTA -- Residents short on cash may soon be able to put their tax bills and other city charges on plastic, but that convenience would cost them even more than they're already paying.

City councilors meet tonight to discuss a proposal to allow the city to take credit card payments for routine city fees and tax bills.

Councilors are also scheduled to discuss what airline should provide flights at the Augusta State Airport.

City Manager William Bridgeo said the city doesn't currently take credit card payments for most city bills, with some exceptions such as some charges at Hatch Hill Landfill.

He said one reason the city hasn't taken credit cards is credit card companies generally take a percentage of the fees collected in each transaction. So the city wouldn't get the full amount when taking payments by credit card.

However Bridgeo said Ralph St. Pierre, assistant city manager and finance director, said some major credit cards allow a service fee to be charged, in addition to the credit card payment being made.

That fee, Bridgeo said, could be charged to users to offset the fee charged by a credit card company for processing the transaction.

"Ralph (St. Pierre) and I recommend we begin accepting credit cards," Bridgeo said Friday.

Councilors are scheduled to discuss the proposal at their 6:30 p.m. informational meeting Monday in council chambers at Augusta City Center. No votes are taken at informational meetings.

Councilors are also scheduled to:

* Discuss a report from the Airport Committee regarding competing airline proposals to provide flights to and from the airport.

Colgan Air's current contract to provide "essential air service" to and from Augusta expires Oct. 31 of this year, according to federal Department of Transportation documents.

The Federal Aviation Administration received proposals from both Colgan and Hyannis Air Service, Inc., doing business as Cape Air, to provide air service out of Augusta for the next two years.

Either airline would receive subsidies to provide service at the airport.

As part of the FAA's process in choosing an airline, the agency asked for comment from Augusta Mayor Roger Katz. Katz, Bridgeo said, asked the city's Airport Committee to make a recommendation. That recommendation goes to councilors Monday.

The committee's report was not available Friday.

* Hear an update on American Tissue.

A committee report recommends the city take over the riverfront abandoned paper mill site for nonpayment of about $600,000 in taxes, knock down the industrial buildings on the site, and seek to find a firm to redevelop it. The property was previously known as Statler Tissue...