Our Internet Banking Vendor has told us that Quicken is going to start charging banks a fee for their customers to be able to download their IB information into Quicken? Anyone else heard this?

Yes
I had initially heard about this last fall, and I believe the cutoff time is upon us this month.

This change has come about as a result of changes made by Intuit (the producers of the Quicken financial software) to their licensing agreement. The biggest change being that banks now must pay a substantial annual fee in order to suport download capabilities.
They made a change to Turbo tax for 2002 as well. Somebody's getting a little money hungry.

We just paid our fee. And we weren't happy about it. If we didn't pay their ransom fee, when our customer's would try to download their account information, Intuit could refer them to banks in their area that could accomodate them. We only have around 20 customers that download to Intuit so we are accomodating these customers.