AN ACT to amend the Indiana Code concerning state offices and administration.
SECTION 1. IC 5-10-1.1-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 1. The state and any
political subdivision (as defined by IC 36-1-2-13) may:
(1) agree with any employee to reduce and defer any portion of such employee's compensation which under federal law may be deferred under a nonqualified deferred compensation plan and subsequently contract for, purchase, or otherwise procure insurance and investment products appropriate for a nonqualified deferred compensation plan (all referred to in this chapter as "funding"), for the purpose of funding a deferred compensation plan for such employee;
(2) if the political subdivision is a school corporation, establish an employee savings plan that is a defined contribution plan qualified under Section 401(a) or 403(b) of the Internal Revenue Code, and contribute amounts to the plan on behalf of eligible employees to be credited and allocated to an account for each employee; and
(3) contribute amounts before January 1, 1995, and continue or begin to contribute amounts after January 1, 1995, to a nonqualified deferred compensation plan on behalf of eligible employees, subject to any limits and provisions under Section 457 of the Internal Revenue Code.
liability for disbursements:
(1) processed in accordance with this section; and
(2) for which funds are appropriated and available.
(e) The certification provided for in subsection (c)(4) must be on a form prescribed by the state board of accounts.
SECTION 3. IC 5-13-7-5 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 5. (a) The fiscal body of each political subdivision not governed by sections 1 through 3 of this chapter constitutes a board of finance for that political subdivision. A school corporation (as defined in IC 36-1-2-17) may determine if a board of finance meeting is needed on an annual basis.
(b) Each board of finance has supervision of the revocation of public depositories for the respective political subdivisions for which they act.
(c) The members of the boards serve without compensation other than the members' salaries allowed by law for the members' services as officers of the members' respective political subdivisions.
SECTION 4. IC 9-18-31-7 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 7. (a) If an educational foundation that is exempt from federal income taxation under Internal Revenue Code Section 501(c)(3) is established as an Indiana nonprofit corporation for the benefit of a school corporation designated to receive a fee under section 5(c) of this chapter, fees designated to go to the school corporation shall be distributed to an educational foundation that provides benefit to the designated school corporation. A school corporation that receives benefit from an educational foundation that meets the requirements of this section shall:
(1) obtain a certificate from the educational foundation that certifies to the school corporation and the county auditor that the educational foundation:
(A) is exempt from federal income taxation under Internal Revenue Code Section 501(c)(3); and
(B) is established as an Indiana nonprofit corporation to provide benefit to the school corporation; and
(2) provide a copy of the certificate described in subdivision (1) to the county auditor.
(b) If a school corporation designated to receive a fee under section 5(c) of this chapter does not receive benefit from an educational foundation described under subsection (a), the fees designated to go to the school corporation shall be distributed to the school corporation and may only be used for purposes other than
general fund purposes.
salaries and related fringe benefits.
governing body. The treasurer may, with the approval of the governing
body, appoint a deputy who shall also be a person, other than the
superintendent of schools, who is not a member of the governing body
and who shall have the same powers and duties as the treasurer, or such
lesser duties as the governing body by rule shall provide.
(c) The treasurer shall be the official custodian of all funds of the school corporation and shall be responsible for the proper safeguarding and accounting for all the funds and shall:
(1) issue a receipt for any money coming into the treasurer's hands;
(2) deposit such money in accordance with the laws governing the deposit of public funds; and
(3) issue all warrants in payment of expenses lawfully incurred on behalf of the school corporation, but, except as otherwise provided by law, shall issue the warrants only after proper allowance or approval by the governing body. No allowance or approval shall be required by the governing body for amounts lawfully due in payment of indebtedness or payments due the state of Indiana, the United States Government, or their agencies and instrumentalities.
No verification, other than a properly itemized invoice, shall be required for any claim of one hundred dollars ($100) or less, and any claim over this amount
shall be is sufficient as to form if the bill or
statement therefor has printed or stamped on its face a verification of
the bill or statement in language approved by the state board of
(d) Notwithstanding subsection (c), a treasurer may transact school corporation financial business with a financial institution through the use of electronic funds transfer. For purposes of this section, "electronic funds transfer" means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrument, that is initiated through an electronic terminal, telephone, or computer or magnetic tape for the purpose of ordering, instructing, or authorizing a financial institution to debit or credit an account. The treasurer must provide adequate documentation to the governing body of the transfers made under this subsection. This subsection applies only to agreements for joint investment of money under IC 5-13-9.
(e) A treasurer is not personally liable for an act or omission occurring in connection with the performance of the duties set forth in this section, unless the act or omission constitutes gross negligence or an intentional disregard of the treasurer's duties.
(f) The governing body may establish the position of executive
secretary to the governing body. The executive secretary:
(1) must be an employee of the school corporation;
(2) may not be a member of the governing body; and
(3) shall be appointed by the governing body upon the recommendation of the superintendent of the school corporation.
The governing body shall determine the duties of the executive secretary, which may include all or part of the duties of the secretary of the board.
SECTION 6. IC 20-5-7-2 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 2. (a) The treasurer shall have charge of the custody and disbursement of any funds collected by a collecting authority and expended to pay expenses:
(1) approved by the principal or teacher in charge of the school;
(2) incurred in conducting any athletic, social, or other school function (other than functions conducted solely by any organization of parents and teachers);
(3) that cost more than twenty-five dollars ($25) during the school year; and
(4) that are not paid from public funds.
The principal or teacher in charge of the school shall designate a collecting authority to be in charge of the collection of any funds described in this subsection. Upon collection of any funds, the collecting authority shall deliver the funds, together with an accounting of the funds, to the custody of the school treasurer. The principal may designate different collecting authorities for each separate account of funds described in this subsection.
(b) The treasurer shall keep an accurate account of all money so received by the collecting authority and expended, showing the sources of all receipts and the purposes for which the money was expended and the balance on hand, and a copy of such report shall be filed with the township trustee, board of school trustees, or board of school commissioners, within two (2) weeks after the close of each school year, together with all records and files of such extracurricular activities.
(c) However, in schools having two (2) or more semesters in any one (1) school year, the treasurer of any such school shall file a copy of
his the treasurer's financial report of receipts and disbursements with
the township trustee, board of school trustees, or board of school
commissioners, within two (2) weeks after the close of each semester,
and all records and files of such extracurricular activities for the entire
school year shall be filed with the last financial semester report of any
one (1) school year.
create a special fund and deposit the grant money and matching money
into the special fund. The money in the fund may be used only for the
purposes of the grant.
(b) If a political subdivision completes the project for which the state grant money was provided and money remains in the fund:
(1) the political subdivision shall transfer the state's share of the remaining money to the treasurer of state for deposit in the fund from which the grant was made; and
(2) the political subdivision's pro rata share of the remaining money reverts to the political subdivision's general fund.