Electronic banking services proposal tabled by council
A proposal to provide automated banking services to Rogers City employees for payroll deposits, and residents for paying water bills, was tabled for 30 days as city staff seeks more detailed information about how much the services will cost. In mid-2003, city staff proposed to Rogers City Council that the city enter into an agreement with Independent Bank. Through a survey asking for customer interest, the city received approximately 80 responses to provide the services. Clerk/treasurer Theresa Heinzel said residents have been asking each month when the service will become available.
WITH THE exception of the volunteer firefighters, 90 percent of the employees have indicated they would participate in direct deposit. Heinzel said the savings from the automated service would come through labor. In addition, it is expected to simplify the procedure of accepting utility bills and make the system more efficient. Council members Karl Heidemann and Gary Nowak questioned the savings to the city.
?What are the savings, when you?ve already got the people and they are getting a salary?? asked Heidemann. ?Are you sending people home early and not paying them for that time? Where does the labor savings come in? That?s the kind of analysis I would like to see.?
IN A MEMO to mayor Beach Hall and council members, Heinzel stated each water bill transaction would cost nine cents per transaction, while payroll deposits would be 36 cents. ?We have staff on board, why would we want to pay somebody to do the work that they can do?? Nowak asked. ?They?ve been doing these checks for years. If it?s going to cost us a couple of hundred dollars — why go with that?
?We?re in tough times…if you?re going to get rid of a person, fine. If you said you were going to save $200, I would say fine.? In support of the proposal, city manager John Bruning said the system would reduce human error, because fewer transactions would have to be handled.
?IT?S DIFFICULT to say we are going to save ?X? number of dollars,? said Bruning. ?Our best guess is that it probably would be a wash overall, with the labor savings and the small incremental costs.? One example of the savings, Heinzel said, was for residents who move to warmer climates for the winter and need their mailing address changed every time they move. ?That (water) payment would be paid every 17th day of the month, whenever their water bill was due,? Heinzel said. ?We?re not handling that. We?re not paying the extra postage, we?re taking the time to change that address to another account. There are just so many little things.?
Heinzel also said the addition of an EZ Internet Treasury Management Program would allow staff to make better use of the city?s accounts through actual viewing of the accounts on the Internet.
?IT?S THE wave of the future. I think we have to offer that service,? Heinzel said. Heidemann, while appreciating that residents and employees want the new service, said he would like staff to have a better handle on what the actual savings and costs will be. ?We are going to assume that 90 people have signed up,? said Heidemann. ?I?ll accept those assumptions, but I want to know, based on those assumptions, what does it cost now, and what will it cost with the new system. Let?s find out in advance, rather than get tied into this thing and suddenly the fees go up, then we?re into it. ?I regard it as a convenience for residents. It definitely would be a convenience,? said Hall. ?We pay everything else by automatic deduction.?
IN OTHER matters to come before council: ? The Harbor Advisory Committee will wait to make a re
? Bruning has received nine applications for the water superintendent position and will set up interviews soon. ? The Presque Isle County Men?s Softball League received permission to conduct two all-night softball tournaments. An eight-team coed tournament will begin at 8 p.m., June 11, while a men?s tournament is slated for July 9. The games will be at Sportsmen?s Park, which is best known as ?The Hole.?
The league has pledged to donate $50 per tournament for the use of the field and lights. League president Roger Wenzel said a league representative will be on hand all night and loud music would not be allowed. There were no complaints last year, according to police chief Matt Quaine.