Approval of an Alternate Payment Processor

Approval of an Alternate Payment Processor A. An agency wishing to use an alternate payment processor must submit a written request to the Department of Finance and Administration, Office of Fiscal Management, Attn: Portal Transactions, 501 North West Street, Suite 701 B, Jackson, MS 39201. Request for an alternate payment processor will be coordinated through the EOC to ensure procurement procedures are followed and that cost model data can be included for future state projects. B. The written request must state: 1. The reason(s) the State-approved payment processor is not suitable for the agency application. 2. The impact if the request is not granted. C. The application must be approved by DFA prior to entering into the procurement process for the alternate payment processing services. D. The agency must state what payment processors are available that meet their needs. The agency will provide the appropriate Attestation of Compliance document from the vendor stating they comply with Payment Card Industry – Data Security Standards (PCI-DSS) and that the vendor will maintain those standards throughout the engagement with the agency. E. The agency must describe the agency application including: 1. The agency program supported. 2. The items (services and fees) offered for sale. 3. The individual item costs. 4. The estimated usage of the processor (i.e., the number of transactions that will occur per fiscal year). 5. An estimate of the processing costs "per transaction" for the items to be sold through the alternate payment processor. 6. The costs associated with the use of an alternate payment processor including, but not limited to, purchased and leased equipment, training, and contractual services; and charges for refunds, return items, and PCI-DSS compliance. F. The agency must acknowledge that if DFA approves the agency's request to pursue alternate payment processing services: 1. Funds will be deposited in the account designated by the State Treasurer and transferred to the designated agency funds in the state’s financial system of record once the bank deposit is reconciled and balanced by the agency. DFA will not perform this reconciliation and will not approve the transfer of funds to the state’s financial system until proof of reconciliation is provided. 2. Any request for an exception to the above reconciliation requirement must be clearly documented in the request for the alternate payment processor. G. The service must be legally procured following the rules for technology procurement. All such services are considered e-government services, and are within the purview of ITS even if those services are offered at no cost to the agency. (See 001-020 Acquisitions within ITS Purview, item 3, in the ITS Procurement Handbook): http://dsitspe01.its.ms.qov/its/procman.nsf/TOC4?OpenView 1. DFA will be an active participant in the procurement, implementation, and acceptance of the alternate payment processor before the application supported is certified for production operations. 2. DFA, at its discretion, may require that DFA be a party to the contract. H. The alternate payment processor and/or 3rd party vendor must work with DFA to interface daily settled transactions and any associated fees into state’s accounting system via the PPI. I. Agencies are required to collect any State required fees, such as E-government Transaction Fees. J. Approval under this section shall not relieve an agency of its responsibility concerning other sections of this rule.