Q As a part of its procurement system, may the State of Mississippi contract with a third party processor to facilitate paying some of its claims electronically? The contract would call for payments to be paid electronically to participating vendors through the third party processor, who would withhold a fee from the amount remitted to the vendor. Claims would be approved in the normal manner, and vendors would have the option of participating or receiving a warrant from the Treasury as they do now.

A Pursuant to Sections 75-12-1 et seq., governmental agencies are authorized to pay vendors electronically. In order to use a third party processor, a vendor must authorize the third party processor to act on its behalf as an authorized receiver of funds. Processing of such payments must be consistent with other laws, rules and regulations which may be applicable to the agency. (Attorney Generalís Opinion to Pickering, September 27, 2013)