15-1221 - Arizona Statutes

15-1221. Bank account; federal savings bonds; withholdings; vendor electronic payments; payroll direct deposit A. The governing board may establish a bank account for the purpose of depositing the monies it withholds for each employee for payments under federal savings bond plans until the employee accumulates sufficient monies for the purchase of bonds under the plan. The governing board may make disbursements from the bank account only by check payable to the financial institution in which the monies are deposited for the purchase of bonds by the employee from the financial institution. The bank account may be interest-bearing, and the governing board shall transfer any interest at the end of the fiscal year to the county treasurer for credit to the maintenance and operation fund of the school district. B. The governing board may establish a bank account for the purpose of making electronic payments to vendors. The account may be a revolving account, funded by the school district by a warrant requested from the county school superintendent and drawn on the county treasurer for an amount equal to the vendor's payment amount. The account may be an interest bearing account. The account shall be a clearing account maintaining a zero balance and shall not accumulate funds except for any account interest balances. The district governing board shall transfer any interest at the end of the fiscal year to the county treasurer for credit to the maintenance and operation fund of the school district. C. The governing board of a school service program established pursuant to section 15-365 may establish a bank account for the purpose of making electronic payments to vendors. The account may be a revolving account, funded by the school service program by a warrant requested from the county school superintendent and drawn on the county treasurer for an amount equal to the vendor's payment amount. The account may be an interest bearing account. The account shall be a clearing account maintaining a zero balance and shall not accumulate funds except for any account interest balances. D. The governing board may establish a bank account for the purpose of making payroll direct deposit payments to financial institutions designated by school district employees. The account shall be funded by the school district with warrants requested from the county school superintendent and drawn by the county treasurer for an amount equal to the payroll direct deposit payment. The account shall be a clearing account that maintains a zero balance and that does not accumulate monies except for interest earned on the account. The school district governing board shall transfer any interest earned on the account at the end of the fiscal year to the county treasurer who shall credit a corresponding amount to the maintenance and operation fund of the school district. E. The auditor general in conjunction with the department of education shall prescribe the procedures for accounting for the monies withheld pursuant to this section in the uniform system of financial records.