Separation of Duties: Checklist

Download the PDF here.

The governing body should:

• Appoint a governing body chair.
• Ensure chair responsibilities include:
  • Conduct meetings.
• Appoint clerk (or determine staff member or contractor to perform clerk duties).
• Ensure clerk responsibilities include:
  • Attend meetings and keep a record of the proceedings.
  • Maintain financial records.
  • Prepare checks after determining that the claim:
    • Was authorized by the board or financial officer.
    • Does not over expend the budget; and
    • Was approved in advance by the board or its designee.
  • Present a detailed financial report, monthly or quarterly (depending on entity type) to the governing body.
  • May not sign a single signature check.
• Appoint treasurer (or determine staff member or contractor to perform treasurer duties).
• Ensure treasurer responsibilities include:
  • Sign checks after determining that sufficient funds are available.
  • Maintain custody of money.
  • Deposit and invest all money in accordance with the State Money Management Act (Utah Code 51-7).
  • Receive all public funds and money payable to the district.
  • Keep and accurate, detailed account of all money received.
  • Issue a receipt for money received.
• Ensure the chair, clerk, and treasurer are all separate individuals.
• Approve all expenditures, except expenditures the governing body has authorized a financial officer to approve (payroll and routine expenditures, such as utility bills or supplies).
• Set a maximum sum over which all purchases may not be made without the governing body’s approval.
• At least monthly (for local and special service districts, at least quarterly), review all expenditures authorized by the financial officer.
• Ensure the treasurer secures a fidelity bond or crime insurance as of the date the treasurer assumes duties in accordance with Rule 4 of the Utah Money Management Council:

• Amount of Bond

  Budget	Percent for Bond
  0 to 10,000	n/a but not less than 0
  10,001 to 100,000	9% but not less than 5,000
  100,001 to 500,000	8% but not less than 9,000
  500,001 to 1,000,000	7% but not less than 40,000
  1,000,001 to 5,000,000	6% but not less than 70,000
  5,000,001 to 10,000,000	5% but not less than 300,000
  10,000,001 to 25,000,000	4% but not less than 500,000
  25,000,001 to 50,000,000	3% but not less than 1,000,000
  50,000,001 to 500,000,000	2% but not less than 1,500,000
  over 500,000,000	not less than 10,000,000

Download the PDF here.