(A) Deposit of village funds.
(1) Designation by Village Board. The Village Treasurer is required to keep all village funds and monies in his or her custody and/or control in the place(s) of deposit designated, or to be designated, by the Village Board. When a financial institution has been designated as a depository, it shall remain a depository until a new depository is designated and has qualified as provided by law. When a new depository is designated, the Village Board, or its designee, shall provide written notification to the sureties of the village and/or the village officials at least five days before the transfer of village funds.
(2) Qualifications of financial institution.
(a) No new financial institution shall be qualified to receive village funds or monies until it has furnished the Village Board with copies of the last two sworn statements of resources and liabilities which it is required to furnish to the auditor of public accounts or to the Comptroller of Currency.
(b) Each financial institution that is designated as a depository, while acting in that capacity for the village, shall furnish the Village Board with a copy of all statements of resources and liabilities which it is required to furnish to the auditor of public accounts or to the Comptroller of Currency.
(3) Discharge of responsibility. While the funds remain on deposit, the Village Treasurer shall be discharged from responsibility for all funds or monies that he or she deposits in the village’s accounts with the depository bank.
(4) Authorized depositories. The following financial institution is designated as an authorized depository of village funds and monies where the Village Treasurer is required to keep all village funds and monies in his or her custody and/or control: The Bank of Advance, (Bowen Banking Center), 415 W. 5th Street, Bowen, IL 62316, and its successor(s) in interest. Any subsequent change in depository shall be done by resolution unless otherwise required by law.
(B) Investment of surplus or reserve village funds. At the direction of the Village Board, the Village Treasurer is authorized to invest the village’s surplus funds or reserve funds in the following types of investments:
(1) General obligation securities of the U.S.A. or the State of Illinois;
(2) Certificates of deposit and time deposits in any financial institution designated, or to be designated, by the Village Board in which investments are insured by the Federal Deposit Insurance Company;
(3) Money market certificates;
(4) Short-term discount obligations of the Federal National Mortgage Association; and
(5) Any other types of investments authorized by a majority of the Village Board.
(C) Authorized signatories; bonding.
(1) All checks issued by the Village Treasurer for payment out of the municipal funds of the village shall be issued over the signature of the Village Treasurer and countersigned by the Village Mayor. All checks issued by the Village Clerk out of any fund or account within his or her control shall be issued over the signature of the Village Clerk and countersigned by the Village Mayor.
(2) In the event one of the two required signatories is not able to sign due to his or her vacation, illness, employment-related absence from the municipality, or emergency, then a senior (by seniority) Village Trustee is authorized to sign.
(3) The signatories on the village’s accounts shall be bonded as required by law.
(D) Notice to signatory bank. The Village Treasurer shall notify the village’s authorized depositories of any changes related to authorized signatories.