Morgan County Schools
Bylaws & Policies
 

6140 - DEPOSITORY AGREEMENTS

The Board of Education shall open a bank account, or accounts, as required to adequately and properly transact the business of the County in a depository, or banks, within the County.

The depositories, or banks, shall provide bond to cover the maximum amount to be deposited at any one time. However, the Board may, in lieu of such bond, accept as security for money deposited letters of credit from a Federal home loan bank, securities of the United States, or of a State, county, District or municipal corporation, or Federal agency securities. Provided, that if such deposits are placed in certificates of deposit meeting the requirements set forth in WV Code 18-9-6, the banking institution is not required to provide a bond or security in lieu of bond. One hundred percent of the face or par value of such securities shall not be less than the maximum amount to be deposited at any one time as the amount to be named in the bond in lieu of which such securities are accepted, or the Board may accept such securities as partial security to the extent of their face value for the money so deposited and require bond for the remainder of the full amount hereinabove specified, to be named in the bond, and, in the bond so required, such acceptance of securities as partial security.

The depository shall be determined through a competitive bidding procedures. In determining the depository for Board funds a Board member who has a pecuniary interest in a bank within the County shall not participate in the determination of the depository for such funds.

The Board shall also make interim changes if it is in the Boardís best interest to appoint an additional depository or if one (1) or more of the designated depositories are found to be insolvent or operating in an unsound manner.

WV Code 18-9-6

Revised 6/1/10