Office of Origin: Financial Services
Date Adopted: 06-23-09
Date Reviewed: 01-15-12
Last Date Modified & Approved: 01-15-12
The Chairman and Secretary of the Lake Michigan College (the College) Board of Trustees and the College’s President and Vice President of Finance are delegated by the Board of Trustees (the Board) the authority to approve opening an account and depositing College funds in a commercial bank or any other financial organization. Levels of authority include:
- Opening or closing any deposit account in the name of the College.
- Entering into written agreements on behalf and in the name of the College for Merchant Services Agreements, Remote Check Capture Agreements, or eBanking services.
- Entering into written agreements for renting, maintaining, accessing, and terminating a Safe Deposit Box or Night Drop Depository Box.
- Signing a Corporate Authorization Resolution on behalf of the College and Board.
- Determining authority levels to endorse checks and orders for payment of money, approve business credit/debit card access devices, or otherwise withdraw or transfer funds on deposit with a bank.
Two signatures are required for each transaction.
No other organizational unit, department, or administrative office has authority to open an account or deposit College funds in a bank or other financial organization or to establish a petty cash fund except when specifically authorized in writing by the Vice President of Financial Services.
All accounts names must begin with “Lake Michigan College.” All changes subsequent to the original authorization (i.e., increase or decrease in amount, change of bank) must be requested through the Vice President of Financial Services.
The Director of Financial Services will:
1. Obtain signature cards and other documents required by the bank to open the account.
2. Obtain signatures of the individuals authorized to disburse funds.
3. The individual on campus responsible for account (account custodian), as applicable.
Copies of signature cards will be maintained by the Director of Financial Services.
The Vice President of Financial Services does not have authority, without a written resolution approved by the Board, to:
- Sign, execute, or deliver promissory or other evidences of indebtedness to borrow money on behalf of or in the name of the College.
- Endorse, assign, transfer, mortgage or pledge bills receivable, warehouse receipts, bills of lading, stocks, bonds, real estate or other property now owned or hereafter owned or acquired by the College as security for sums borrowed, or to discount the same, unconditionally guarantee payment of all bills received, negotiated or discounted and to waive demand, presentment, protest, notice of protest and notice of non-payment.
Responsibility: Vice President, Financial Services