Louisiana Revised Statutes 49:316.1 – Payments by treasury approved credit cards, debit cards, and other forms of electronic payments; authorizations; contracts; fees
Terms Used In Louisiana Revised Statutes 49:316.1
- Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
A.(1) The state, through any department, agency, board, commission, or other state entity hereinafter referred to as “state entity” may accept payment of any obligation such state entity is authorized to collect, including but not limited to taxes, fees, charges, licenses, service fees or charges, fines, penalties, interest, sanctions, stamps, surcharges, assessments, obligations, and any other similar charges or obligations to any state entity hereinafter referred to collectively as “state charges” by credit cards, debit cards, and any other forms of electronic payments approved by the treasurer as provided in this Section.
(2)(a) The state treasurer shall establish a fee for approved payment of transactions authorized by this Section for each card and any other forms of electronic payment and for each method of conducting transactions to be accepted. The fee shall be established as uniformly as possible. When accepting such cards or any other forms of electronic payments as authorized by this Section, any state entity may assess a fee, if such fee has been established and in the amount established by the treasurer pursuant to this Section, provided that for each method of conducting transactions by the state entity, the fee is a uniform dollar amount, a percentage of the transaction, or a tiered amount based on the transaction amount assessed for each card and any other form of electronic payment. Such fee shall be considered a “state charge” as provided in this Section. The provisions of this Paragraph shall not be applicable to public postsecondary institutions of higher education or to transactions administered by a third-party solution.
(b) Notwithstanding the provisions of Subparagraph (2)(a) of this Subsection and Subsection C of this Section, each public postsecondary institution of higher education may assess a fee, for each card and any other forms of electronic payment, and for each method of conducting transactions, to be accepted for approved payment of transactions authorized by this Section. The amount of any such fee shall be as determined by the respective public postsecondary institution of higher education and shall be considered a “state charge” as provided in this Section. Each public postsecondary institution of higher education may negotiate and enter into contracts, for periods not to exceed five years, for provision of, and activities related to, the use of such cards and any other forms of electronic payments. Contracts may be made with financial providers, third-party solutions, or providers for Internet and other similar use and payment acceptance with respect to such cards and any other forms of electronic payments.
(c) Notwithstanding the provisions of Subparagraphs (a) and (b) of this Paragraph, the fee charged by a third-party solution for any state entity shall be a convenience fee paid directly to the private entity third-party solution by the payor and shall not be considered a “state charge” as provided in this Section. However, the amount of the convenience fee, after review and recommendation by the treasurer, shall be approved by the Senate Committee on Revenue and Fiscal Affairs and the House Committee on Ways and Means. In addition, the amount of the convenience fee shall be disclosed to the payor before the transaction is completed, and the payor shall be given the option of canceling the transaction at that time.
(3) For the purpose of this Section, “third-party solution” shall mean a company that provides a software application, a gateway, or both to capture credit card and any other forms of electronic payments for processing by a merchant services acquirer.
(4) The authorization and use of credit and debit cards and any other forms of electronic payments to make or accept payment for any government charge or required payment shall be in accordance with the provisions of this Section, and any rules, regulations, contracts, agreements, or policies promulgated or entered into pursuant to this Section.
B. When a state entity accepts payment of any state charge by any card or other forms of electronic payment, the liability therefor is not finally discharged and obligation for payment of such state charge is not extinguished until the state entity has received final settlement, payment, or other credit in full for the state charge and any additional permissible fees associated with the transaction. Upon receipt of the final settlement, payment, or other credit, the state charge shall be deemed paid on the date the credit or debit charge was initially made.
C. The treasurer shall designate any credit cards, debit cards, or other forms of electronic payments that state entities may accept to receive payment of any state charges, and shall from time to time, but at least annually, publish a list of approved credit and debit cards by card organization brand by which any state entity will be authorized to accept payment of any charge or payment the state entity is authorized to collect. Any state entity may recommend that the treasurer consider a specific credit or debit card by card organization brand for approval. Except as provided in Subparagraph (A)(2)(b) of this Section, he shall have authority to negotiate and enter into all contracts, for periods not to exceed five years, with providers of such cards or other forms of electronic payments, including merchant service acquirers, third-party solutions, or providers for Internet and other similar use and payment acceptance using such cards or other forms of electronic payments. In negotiating such contracts and approving designated cards and other forms of electronic payments, the treasurer shall seek to achieve uniform implementation and standard terms and provisions with respect to the acceptance of payments by state entities, in order to achieve maximum efficiency, uniformity, and cost effectiveness. Any contracts pursuant to this Section may include such provisions, terms, and conditions as the treasurer shall deem necessary or appropriate to fulfill those purposes, including specific terms applicable to any particular state entity, such as any limitations on amounts and limits of liabilities eligible for payment, operational requirements, types, terms, and payment of fees.
D. The treasurer shall by rule establish procedures and guidelines for the approval and operation of any cards and other forms of electronic payments, and fix applicable processing fees, pursuant to this Section.
E. The authorizations for and use of any cards and other forms of electronic payments by any state department, agency, board, commission, or other state entity, to accept payment for any state charges, shall be pursuant to and in accordance with this Section, notwithstanding any other provisions of law.
F. Any contracts or other binding arrangements for acceptance of credit or debit cards or other forms of electronic payments, in existence on August 15, 1999, shall not be affected by this Section and shall be honored according to their terms.
G. The provisions of this Section shall not apply to any payments made through a nationwide licensing or registry system, or any payments made pursuant to the Louisiana Securities Law, as provided for in La. Rev. Stat. 51:701 et seq.
Acts 1999, No. 1214, §1; Acts 2002, 1st Ex. Sess., No. 148, §1, eff. April 24, 2002; Acts 2004, No. 330, §1, eff. June 18, 2004; Acts 2007, No. 435, §1, eff. July 11, 2007; Acts 2008, No. 119, §1, eff. June 9, 2008; Acts 2010, No. 191, §1; Acts 2010, No. 559, §1, eff. June 25, 2010; Acts 2015, No. 414, §4.