COLDWATER, MI (WTVB) – In a significant change to its payment processing rules, the City of Coldwater, will no longer consider a United States Postal Service (USPS) postmark as proof of on-time payment for taxes, utility bills, and other municipal charges.
The new policy, effective immediately, dictates that payments are considered timely based strictly on the date they are physically received by the City.
The policy shift was prompted by an investigation into late penalty disputes from taxpayers. According to city finance director Tom Eldridge the postmark often doesn’t reflect the day it was received by the post office
The city found that mail dropped off at local post office collection boxes, particularly after the final daily pickup time, was often not postmarked until the following business day, even if mailed on the due date. This discrepancy resulted in residents incurring late fees despite believing they had mailed their payments on time.
Following these findings and a lack of formal response from USPS officials regarding the practice, the Coldwater City Council moved to waive existing penalties for the affected taxpayers and updated its official policy to avoid future confusion.
Eldridge says payments will know be acknowledged the day they are received and not the day they are postmarked
The new policy applies to property taxes (summer and winter), Coldwater Board of Public Utilities (CBPU) bills, and other city-related payments sent via mail.
To avoid penalties Eldridge says for residents who continue use the mail as a payment method, must ensure they mail their payment well in advance of the due date to account for postal processing times.
Payments can be delivered in person or placed in the drop-off box at City Hall (1 Grand Street, Coldwater, MI 49036).
The City of Coldwater offers online payment options for both property taxes and utility bills, which are time-stamped upon completion and eliminate mail delays.
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