Finance and Management Services
www.santa-ana.gov/finance
Item # 12
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
October 6, 2026
TOPIC: Business License Tax and Fee Software Services
AGENDA TITLE
First Amendment to Agreement with Hinderliter, de Llamas and Associates (“HdL”) for Business License Tax and Fee Software Services and Bank Card Merchant Agreement with WorldPay, LLC dba FIS (General Fund & Non-General Fund)
RECOMMENDED ACTION
1. Authorize the City Manager to execute the first amendment to Agreement A-2025-058 with Hinderliter, de Llamas and Associates (“HdL”) for business license tax and fee software services to revise the scope of work and payment processing fee structure (Agreement No. 2026-XXX).
2. Authorize the City Manager to execute a Bank Card Merchant Agreement with WorldPay, LLC dba FIS for both credit card and ACH/E-Check payment processing for an initial term beginning October 6, 2026 through April 15, 2030, with two options to extend the agreement, but not to exceed beyond April 15, 2034 (Agreement No. 2026-XXX).
GOVERNMENT CODE §84308 APPLIES: Yes
DISCUSSION
The Treasury & Customer Services Division (“TCS”) of the Finance and Management Services Agency (“FMSA”) is responsible for the administration, collection, and review of the City’s various business license taxes and fees. TCS currently oversees various tax categories, which collectively account for approximately 17% of the City’s General Fund revenue. On April 15, 2025, TCS brought to Council the award for HdL to implement a new business license tax and fee management software.
In the original agreement, staff anticipated a custom payment portal that would function with one of the City’s existing merchant processors. However, through the implementation process, staff identified limitations with this approach and determined that using HdL’s standard, out-of-the-box payment solution would better support the new system. As a result, the proposed amendment revises the scope of work to replace the custom First Amendment to HdL Agreement for Business License Tax and Fee Software Services October 6, 2026
payment portal with HdL’s standard payment solution and alternative merchant processor.
The proposed amendment also revises HdL’s payment processing fee structure to accommodate the City’s previously approved 2.5% credit card processing fee as a passthrough charge to customers. To support the revised payment solution, staff is also requesting authorization to execute a bank card merchant agreement with WorldPay, LLC dba FIS for credit card and ACH/E-Check payment processing.
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
Funding for payment processing services under the Bank Card Merchant Agreement with WorldPay, LLC dba FIS is included in the FY 2026-27 budget within the various department budgets (Account No. 62300, Contract Services – Professional) and will be included in subsequent fiscal year proposed budgets for City Council consideration. Most credit card processing costs are expected to be offset by the City’s 2.5% credit card processing fee charged to customers, with the City responsible for any processing costs that exceed the 2.5% fee. The not-to-exceed amount for HdL will remain unchanged.
EXHIBIT(S)
1. Hinderliter, de Llamas & Associates (A-2025-058) First Amendment
2. Bank Card Merchant Agreement and Application
Submitted By: Alexander Trinidad, Executive Director Finance and Management Services
Approved By: Alvaro Nuñez, City Manager