New York City Seeks Ideas About Paying Parking Violations Through Mobile Devices

Mobile payments in New York City soon could get access to a large amount of raw material for transactions if a proposal by the city’s Department of Finance becomes reality. The DoF recently issued a request for information (RFI) from vendors about developing a mobile-payments system for paying parking violations. In addition to credit and debit cards and the automated clearing house network, the RFI asks vendors to consider proposals that include alternative payment systems such as Bitcoin, PayPal and Apple Pay.

Police and other agencies issue approximately 9 million parking tickets each year in New York, according to a department document. Parking violations generate $550 million to $600 million in annual revenue for the city. Parking violators currently can pay tickets online, in person at a DoF Business Center in each of the city’s five boroughs, or by mail. Online payments are assessed a 2.49% “convenience” fee.

“To further improve customer service and efficiency, DoF is seeking information on how best to take advantage of new technologies and extend public access to government,” the RFI says. “Greater use of mobile applications is one way that DoF envisions making this happen. After an internal review of DoF’s current payment channels and of recent developments in contemporary payment technologies, DoF believes that emerging technologies may provide a convenient way for motorists to expeditiously pay their parking tickets via a smart phone or mobile device.”

The DoF wants vendor proposals to include systems that enable the violator to easily enter identifying information about a ticket into a mobile device, possibly by scanning a bar code or photographing it. In addition, proposed solutions should support payment of so-called “windshield” tickets, which are tickets placed on a vehicle but whose pertinent information is not yet entered into the city’s records.

RFIs are due to the DoF by Jan. 15.