Discussion:
This resolution does not change the current authorized individuals who are designated to perform investing and banking transactions. However, staff feels that it is an important practice to formally adopt the authorized individuals on an annual basis at the beginning of each year.
The city's bank requires formal action of the City Council recognizing the people authorized to sign city checks and authorize certain bank transactions. Currently the Mayor and Finance Director sign all checks.
In 2017, the MN Statute 471.38 was amended regarding legal authority of local governments, including cities, to use electronic funds transfer. The law clarifies most types of payments for which electronic payments are allowed and requires certain policy controls be enacted to use the payment method. Similar to nearly all businesses in the current economy, the City uses electronic transfers as part of its normal course of business. Operating procedures are in place that ensure that only appropriate and authorized electronic payments are made. One of the policy controls required by law is for the government body to annually delegate the authority to make electronic funds transfers.
Additionally, the attached resolution identifies the authorized depositories for City funds. This includes banks the City works with on a regular basis as well as those that may become a depository during the fiscal year. If the City has no activity with a bank/broker during the previous fiscal year, that firm will not be included in the succeeding year's list. All brokers must file an appropriate Broker Certification Form, a requirement of Minnesota Statues, to transact business with the City of Shakopee. All documentation is reviewed by the City's auditors during the financial statement audit each year.