(a) All disbursements of municipal funds, except those described in this section and as noted in ยง 14-59-106, petty cash funds, are to be made by prenumbered checks drawn upon the bank account of that municipality.
(b) The checks shall be of the form normally provided by commercial banking institutions and shall contain as a minimum the following information:
(1) Date of issue;
(2) Check number;
(3) Payee;
(4) Amount; and
(5) Signature of two (2) authorized disbursing officers of the city.
(c) Disbursements of municipal funds used for payment of salaries and wages of municipal officials and employees may be made by electronic funds transfer provided that the municipal employee or official responsible for disbursements maintains a ledger containing at least the:
(1) Name, address, and Social Security number of the employee receiving payment of salary or wages;
(2) Routing number from the bank in which the funds are held;
(3) Account number;
(4) Accounts clearing house trace number pertaining to the transfer;
(5) Date and amount transferred; and
(6) Proof that the employee has been notified of direct deposit of his or her salary or wages by electronic funds transfer.
(d) Disbursements of municipal funds used for payments to federal or state governmental entities may be made by electronic funds transfer.
(e) (1) Disbursements of municipal funds, other than for payments under subsections (c) and (d) of this section, may be made by electronic funds transfer provided that:
(A) The governing body of the municipality shall establish by ordinance an electronic funds payment system directly into payees' accounts in financial institutions in payment of any account allowed against the municipality;
(B) For purposes of this subsection, municipalities opting for an electronic funds payment system shall establish an electronic payment method that provides for internal accounting controls and documentation for audit and accounting purposes; and
(C) Each electronic payment method established under subdivision (e)(2) of this section shall be approved by the Legislative Joint Auditing Committee before implementation by the municipality.
(2) A single electronic funds payment may contain payments to multiple payees, appropriations, characters, or funds.
(f) A disbursement of municipal funds shall have adequate supporting documentation for the disbursement.
Section: Previous 14-59-102 14-59-103 14-59-104 14-59-105 14-59-106 14-59-107 14-59-108 14-59-109 14-59-110 14-59-111 14-59-114 14-59-115 14-59-116 14-59-117 NextLast modified: November 15, 2016