Loading...
Item G05 G5 BOARD OF COUNTY COMMISSIONERS COUNTY of MONROE �� i Mayor Holly Merrill Raschein,District 5 The Florida Keys Mayor Pro Tern James K.Scholl,District 3 Craig Cates,District 1 Michelle Lincoln,District 2 ' David Rice,District 4 Board of County Commissioners Meeting December 13, 2023 Agenda Item Number: G5 2023-1794 BULK ITEM: No DEPARTMENT: Land Authority Governing Board TIME APPROXIMATE: STAFF CONTACT: Christine Hurley 9:25 AM AGENDA ITEM WORDING: Approval of a resolution regarding the execution of all warrants, legal documents and papers, and other instruments on behalf of the Land Authority. ITEM BACKGROUND: This resolution is needed after a Chairman and Vice Chairman are elected to designate the Chairman, Vice Chairman, and Executive Director as signatories of legal documents. PREVIOUS RELEVANT BOCC ACTION: This is an annual action by the Board. INSURANCE REQUIRED: No CONTRACT/AGREEMENT CHANGES: N/A STAFF RECOMMENDATION: Approval DOCUMENTATION: Resolution m Execution of Docu ents.pdf MCLA Resolution 01 m2032.pdf FINANCIAL IMPACT: N/A 2189 RESOLUTION NO. A RESOLUTION OF THE MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY REGARDING THE EXECUTION OF ALL WARRANTS, LEGAL DOCUMENTS AND PAPERS, AND OTHER INSTRUMENTS ON BEHALF OF THE LAND AUTHORITY. WHEREAS, the members of the Governing Board of the Monroe County Comprehensive Plan Land Authority have elected a Chairman and Vice Chairman; and WHEREAS, it is necessary to authorize the Chairman and Vice Chairman of said Board to sign all warrants, legal documents and papers, and other instruments on behalf of the Monroe County Comprehensive Plan Land Authority, NOW, THEREFORE, BE IT RESOLVED BY THE MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY: Section 1. That Chairman and Executive Director Christine Hurley, are hereby authorized to sign warrants, legal documents and papers, and other instruments on behalf of the Monroe County Comprehensive Plan Land Authority in accordance with the internal control requirements of Resolution 01-2023 and staff is directed to prepare a facsimile stamp of the Chairman's signature in furtherance thereof. The Monroe County Comprehensive Plan Land Authority Office Manager is hereby authorized to use the facsimile stamp for signing warrants, legal documents and papers, and other instruments on behalf of the Chairman. Section 2. That in Chairman absence, Vice Chairman and Executive Director Christine Hurley are hereby authorized to sign warrants, legal documents and papers, and other instruments on behalf of the Monroe County Comprehensive Plan Land Authority in accordance with the internal control requirements of Resolution 01-2023. Section 3. That the presently authorized signatures validating Land Authority checks are hereby continued for sixty days from this date in order to meet payroll and other necessary obligations. Page 1 of 2 2190 PASSED AND ADOPTED by the Monroe County Comprehensive Plan Land Authority at a regular meeting on this 13th day of December, 2023. Chairman Vice Chairman Commissioner Commissioner Commissioner (Seal) ATTEST: MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY Christine Hurley Chairman Executive Director Approved as to form and legality: Gregory S. Oropeza, Esquire Page 2 of 2 2191 RESOLUTION NO, O1-2023 A RESOLUTION OF THE MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY REPEALING PREVIOUS RESOLUTIONS AND ESTABLISHING BANK ACCOUNTS, SIGNATURE AUTHORITY, AND BANKING PROCESSES. WHEREAS, the Monroe County Comprehensive Plan Land Authority (hereinafter "Land Authority") previously established banking policies and signature authority in Resolutions 001- 1987, 002-19,87, 06-1 88, 04-1989, 05-1989, and 04-1997-, and WHEREAS, banking practices and services have changed so that Land Authority processes can, be streamlined; and WHEREAS, manual, check writing and mailing checks is resulting in, Landi Authority funds being held by banking institutions, without the benefit of earning interest which could! be remedied by wiring or sending funds electronically; and WHEREAS, the Land Authority is purchasing properties more frequently, which necessitates a change in business processes, including banking; and WHEREAS, the Land Authority wishes to adopt certa,in internal controls to reduce the agency's exposure to risk of theft; NOW, THEREFORE, BE IT RESOLVED BY THE MONROE COUNTY COMPREHENSIVE PLAN LAND AUlTHORITY: Section 1. Resolutions 001-1987, 0012-11987, 06-1988, 04-1989, O 1-1989, and 04-1997 are hereby repealed, Section 2. The Land Authority shall have three bank accounts. Section 3. Operating Account. The first account, held by First State Bank of the Florida Keys, is the standard operating account which, in general, shall be kept at a balance close to $500,000. In general, this account is used for vendor payments and payroll. The authorized signature for check writing for the operating account shall be by the Joint signatures of the Chairman and the Executive Director of the Land Authority. Checks, are pre-numbered and kept in a locked file cabinet. The paymaster imprinter and the facsimile stamp bearing the Chairman's signatures for this purpose is, kept locked and only used by the Office Manager to assure to First State Bank the legitimacy of the check, Furthermore, Automated Clearing House (ACH) Services (electronic payments) may be used from this account. The authorized process for ACTH for the operating account shall be where the Office Manager enters the req�u,ested payment and the Executive Director approves the payment, as an internal dual control. Section 4, Special Account. The second account, held by First State Bank of the Florida, I Keys, is an account which, in general, shall be used for land purchases or affordable housing construction funding and shiailli be kept at a balance chose to $500,000 with transfers into this Page I of; 2192 account being made from the SBA account when land purchase amounts are greater than $500,000 or the balance kept in this account. The authorized signature for check writing for the operating account shall be by the joint signatures of the Chairman and the Executive Director of the Land Authority, Checks are pre-numbered and kept in a locked Me cabinet. The paymaster imprinter and the facsim!illle stamp bearing the Chairman's signatures for this purpose is kept locked and only used by the Office Manager to assure to First State Bank the legitimacy of the check. Furthermore, Automated Clearing House (A CH) Services (electronic payments) may be used from this account. The authorized process for All for the, special account shall be where the Office Manager enters, the requested payment and the Executive Director approves the payment, as an, internal dual control. In, addition, Electronic Funds Transfer (EFT) may be used from this account. The authorized process for EFT shall be where the Office Manager would initiate the wire onfine and the Executive Director wouild log in from their own account and approve the wire, as an internal dual control, Section 5. Local Government Bur lus Funds Trust Fund Florida PRIME). Account. The third account was created by an Act of the Florida Legislature in 1977, known, as the Florida State Board of Administration, (SB,A), which is utilized when the Land Authority has excess funds on hand to obtain the highest yield consistent with proper safeguards. The Executive Director is authorized to transmit/withdraw such funds, tolfrom Florida Prime (SBA) Account to be invested according to applicable laws of the State of Florida consistent with the needs of the Land Authority, The Land Authority Chairman and Executive Director are authorized to notify the SBA of changes in account information. This authorization shalil be continuuingi in nature until revoked by the Land Authority, Section 6. For purposes of dual internal control, when an Office Manager is in training, or in the absence of the Office Manager, there may be a 2nor "Acting" Office Manager designated by the Executive! Director, for authorizations and initiation of processing of payments and banking purposes. Page 2 of 3 2193 PASSED AND ADOPTED by the Monroe County Comprehensive Plan Land' Authority at a regu14ar meeting on this, 181h day of januaa 2023, Commissioner Craig Cates —YM— Com mission er Michelle Lincoln, Yes Commissioner Hofly Raschein yes Corn missioner Jim Scholl yes Chairman David Rice yes. S"r: MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY 17 11101 avid Rice Executive Director Chairman Approved as to form and Iegality: Ole Greg! Oropieza, Esquire Page 3 of'3 2194 MONROE COUNTY COMPREHENSIVE PLAN LAND AUTHORITY CASH DISBURSEMENT/PROCESSING/PAYMENT INSTRUCTIONS AS OF JANUARY 18, 2023 The following administrative instructions outline processes and procedures to assure accounts payable and expenditures (excluding payroll) document management's internal control policies and procedures to ensure effective and efficient processing of bill paying,with internal controls to ensure appropriate authorization, availability of budget, and appropriate supporting documentation, including accurate recording of payments and account classification. In addition, the dual safeguarding of asset and segregation of duties controls minimizes fraud risk. Manual Checks • Manual checks are used as infrequently as possible. • MCLA issues manual checks on a weekly basis, depending on need. If a manual check is necessary, the following procedures are followed: o Office Manager: 1. Vendor invoice is stamped with date received, date paid, and initialed by Office Manager 2. Audit Detail Slip and check is prepared 3. Checks are printed using the laser printer 4. Check is stamped with Pay Master 5. Check is stamped with Chairman's facsimile signature 6. Check information is entered in Ledger and Balance spreadsheet 7. Check, Audit Detail Slip, and corresponding invoice are given to Executive Director for Director approval and signature 8. A photocopy is made of check, Audit Detail Slip, and invoice and filed in appropriate accounts payable folder in file cabinet. These files are held in hard copy for one year, then disposed of. 9. A scan copy is made of the check and invoice and filed in appropriate MCLA Audit folder on U:Drive 10. Check and invoice stub are mailed to vendor. Checks are mailed via US Post or Federal Express,with tracking to assure checks are received by vendors and cashed. o Executive Director: 1. Executive Director receives red folder with Audit Detail Slip, invoices, and checks. 2. Executive Director logs each check number, account code,vendor name, date of check, and amount of check in CheckNumberCH Excel File. Office Manager does not have access to this file. 3. Executive Director signs checks or uses electronic signature to sign check. Page 1 of 3 2195 4. Monthly, Executive Director uses bank statements to document checks that have been cashed or cleared the bank. Check Security/Safety Features • Blank checks are controlled in a locked cabinet secured by the Office Manager. The Office Manager maintains a log of all check numbers printed or issued in Ledger and Balance spreadsheets. • For security purposes, the checks are printed with: - Thermo chromatic ink; - Florescent visible fibers; - MICRO print line; - Chemical sensitive paper; - Security screen on the back of check stating"ORIGINAL DOCUMENT" Voided Checks • When a check needs to be voided, "void" is written on the face of the check. The check is given to the Executive Director who must make note of the voided check number in the CheckNumberCH Spreadsheet and the Office Manager makes a scan copy of the check and files in appropriate MCLA Audit folder on U:Drive. Office Manager makes a photocopy of the check and files in appropriate accounts payable folder in file cabinet. • The Office Manager enters the voided check in the Ledger and Balance spreadsheet. o If the voided check is to be replaced, the Office Manager re-enters the information from the supporting documentation on the Audit Detail Slip correcting any information that is necessary. ACH Payments • Only authorized vendors are paid via an ACH payment. This type of payment is limited to debt service payments, payments to payroll benefit providers, and employee payroll. o Authorized ACH Vendors are those that provide a routing and account number. • Office Manager receives an invoice and creates an Audit Detail Slip and initiates the ACH payment in the First State Bank of the Florida Keys (FSB) Operating account using bank software. The Office Manager emails the Executive Director the Audit Detail Slip with backup information, including but not limited to an invoice. The Executive Director determines whether services received for amount being billed is appropriate and ready to pay; then,if so, signs off on Audit Detail Slip and initials backup documentation. This can be manual or digital signature. The Executive Director logs into his/her FSB account and approves ACH request. This provides a 2-step approval process with separation of duties between Office Manager and Executive Director. • The Executive Director relies on the Audit Detail Slip to confirm the vendor name, bank account information, and amount to be paid. Based on bank software, the Office Manager cannot apply final approval to any ACH payments. Page 2 of 3 2196 Wire Transfers • Only authorized vendors are paid via a wire transfer. This type of payment is limited to payments to title companies or attorneys for real estate closings and to another government agency for construction funding. o Authorized Wire Transfer Vendors are those that provide a routing and account number. • Office Manager receives an invoice or closing statement and creates an Audit Detail Slip and initiates the wire transfer in the FSB Special account using bank software. The Office Manager emails the Executive Director the Audit Detail Slip with backup information, including, but not limited to, an invoice. The Executive Director determines whether services received for amount being filled is appropriate and ready to pay; then, if so, signs off on Audit Detail Slip and initials backup documentation. This can be manual or digital signature. The Executive Director logs into his/her FSB account and approves wire request. This provides a 2-step approval process with separation of duties between Office Manager and Executive Director. • The Executive Director relies on the Audit Detail Slip to confirm the vendor name, bank account information, and amount to be paid. Based on the bank software, the Office Manager cannot apply final approval to any wire payments. Monthly • MCLA Governing Board shall review expenses monthly as an agenda item. Year-End • At Year-End (September 30), a processing period is created to record transactions in the prior fiscal year. • All invoices are monitored for processing and recording transactions in the proper period. • Separate batches are prepared for prior fiscal year transactions. • Monitoring of prior year transactions continues through the completion of the audit and a schedule is maintained of those transactions. • Prior to the end of the auditor's onsite visit, the prior year transaction schedule for unrecorded liabilities is reviewed by the Office Manager, MCLA Accountant, and the Auditor. • It is determined what transactions will require a j ournal entry for posting those expenditures to the proper period. • Accounts Payable activity is reviewed periodically throughout the year to ensure that all accounts payable transactions have been recorded and cleared. A detailed reconciled schedule is completed and reviewed at year end identifying all accounts payable entries. • The outstanding prior fiscal year's invoices are reconciled and reviewed for appropriateness throughout the fiscal year and final review at year end. • A schedule is prepared at year end to reconcile all of the outstanding encumbrances to the general ledger. Page 3 of 3 2197