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Council introduces ordinance to charge convenience fee for online payments; proposed rate 3.75% with $2.50 minimum

December 12, 2025 | Lebanon City, Lebanon County, Pennsylvania


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Council introduces ordinance to charge convenience fee for online payments; proposed rate 3.75% with $2.50 minimum
Council introduced an ordinance on first reading to establish convenience and processing fees for electronic payments to the City of Lebanon. The administration proposed a 3.75% charge with a $2.50 minimum, a $15 chargeback fee, and a $1.95 flat fee for ACH or electronic-check payments, noting the rates align with nearby jurisdictions and the local authority.

Mayor Sherry Alcopello said the fee structure is intended to pass merchant processing costs to users who choose electronic payment methods rather than to all taxpayers. Staff compared Lebanon's proposal with charges in neighboring municipalities and authorities and said the proposed rates are similar to those charged by the Lebanon Authority and other nearby cities.

Council members and the public asked whether in-person or mailed payment options would remain; staff confirmed those options will still be available. The budget currently contains a line for service fees (account 1074029500), and staff said the city had budgeted around $7,400 for processing costs. The ordinance was assigned to a council member to introduce at the Monday meeting.

Next steps: the ordinance will be carried to the Monday meeting for formal introduction and discussion; no vote was recorded at the review session.

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