The Board of Education for the Great Neck School District has put a new Policy On Electronic/Online Banking into effect. At the most recent school board public action meeting on March 30, the new policy was approved. This new policy was drafted in response to a recommendation by the school district’s internal auditor. The policy addresses employees authorized to do online banking and make electronic transfers, as well as addressing the requirements for preauthorization of transfers including required documentation.
This brand new policy states that the school board requires clear, complete and detailed accounting of all financial transactions for which the board is held accountable. New York State law authorizes the use of electronic or wire
transfers. In order to provide oversight and security with regard to sound fiscal management of electronic banking activity, the board authorizes the use of electronic or wire transfer dependent on the following procedures: written wire transfer security agreement between bank and school district; online payment transactions to financial institutions in the U.S. authorized for investment of funds, for debt service or payroll deduction or pay or fringe benefit payments; transfers in district bank accounts; food service payments; state and federal grants; tax receipts; other revenue sources for efficient operation of district.
The policy also states that, pertaining to online bnanking, the district clerk, with a separate user name and password, has the authority to process online banking transactions. The director of business services and the superintendent of schools, also with established user names and passwords, is responsible for online banking transactions if the district clerk is unavailable.
Regarding electronic or wire transfers, the new policy also states that procedures will be implemented specifying who is authorized to initiate, approve, transmit, record, review and reconcile electronic transactions. At least two individuals will be involved in each transaction, the assistant superintendent for business (or another assistant superintendent) who must authorize transactions and the district clerk who executes the transactions. Transactions can be initiated via advisories, memos, emails or such.
This new Policy On Electronic/Online Banking was adopted according to school board rules.
A new policy, a revised policy
or a policy to be deleted may
only be approved following three