Multiple Signatures on Checks
Minnesota law requires special fund disbursements paid by check to be signed by the relief association treasurer and by at least one other trustee who is designated as a signer by the board of trustees. In addition to being required by statute, multiple signatures are an important part of a relief association’s system of internal controls. When more than one person signs a check, each person is verifying that the relief association’s board of trustees has approved the check for payment.
Electronic or wire funds transfers are also permitted if internal control policies and procedures are established and approved by the board of trustees. The policies and procedures must provide for authentication of the electronic disbursements by the relief association treasurer and at least one other trustee.
The OSA’s sample Bylaw Guides include language referencing these signature and approval requirements (see the bylaw Article entitled “Funds.”)
Published last in the November 2023 Pension Newsletter