Local agency: payment: rounding amount

The law lets local agencies continue processing cash transactions amid penny shortages. Each agency must publicly opt in through a majority-approved resolution.

What the law does ​

• Authorizes an opting-in local agency to round payments made wholly or partly in cash to the nearest $0.05.
• Authorizes the same rounding for refunds or other amounts a local agency tenders wholly or partly in cash.
• Covers taxes, fees, charges, licenses, permits, public services, trust deposits, and specified other payments.
• Takes effect immediately.

Who it affects ​

• Cities, counties, special districts, and other local agencies that adopt an opt-in resolution.
• People and businesses paying local-government obligations partly or entirely with cash.
• People receiving cash refunds or other cash payments from an opting-in local agency.

Context ​

The Legislature identified an unprecedented penny shortage as creating immediate challenges for local tax collection and public-facing offices.