Board approves new two-signature policy for financial documents

During the City of Crockett Council Meeting on March 8, 2022, a significant change to the financial management procedures was proposed and approved. The council voted to amend the signature requirements for checks and financial documents issued in the name of the corporation. Under the new policy, any two signatures will be required, with the flexibility for any board member and the executive director to sign. However, checks made out to the executive director cannot be signed by them.

This change marks a shift from the previous requirement, which limited signatories to the president and the treasurer or secretary. The rationale behind this adjustment is to enhance financial oversight and ensure that multiple board members are involved in financial transactions, promoting transparency and accountability.

In discussions, council members emphasized the importance of having a diverse group of signatories to maintain control over finances. The new policy aims to streamline the process while ensuring that financial decisions are made collaboratively, reducing the risk of miscommunication among board members.

The council also addressed the need for additional signatures on larger transactions, specifically those exceeding $2,500, which will require three signatures to further safeguard the financial integrity of the organization.

This decision is expected to improve the efficiency of financial operations while reinforcing the importance of collective oversight in the management of city funds. The council's proactive approach reflects a commitment to responsible governance and community trust.