When can new treasurer get set up at the bank?

[Guest NewToThis]

At our last meeting we appointed a new treasurer and a new chairman.  Our old treasurer and chairman resigned and are no longer part of the board.

We took the minutes to our bank to get our treasurer and chairman set up and the bank told us because our minutes were only a draft (and had not yet been approved in the following meeting) we had to wait to get them both set up.

At this point we are unable to write checks and pay bills.  Our next meeting isn't scheduled for 2 more months.  Is the bank correct?  In that case I assume we will need to do an emergency meeting or special meeting to approve the minutes so we can proceed.

Any help would be appreciated.

[Gary Novosielski]

The bank may be incorrect.  It depends on just what their rules say.  If they really require approved minutes, that's a bad rule on their part, since the appointment of the treasurer was official at the time it was adopted, and it creates situations exactly like the one you're experiencing.

What the bank may really need (you can ask to see their exact rules on this) is a copy of a Resolution adopted by your organization, or, if authorized, by the board.  You have apparently already adopted one.  The fact that the old officers are not available makes this trickier, but it is what it is.  Hopefully the resolution contains the names and effective dates of the new officers, and the dollar amount they are authorized to sign for, and whether and when two signatures are required or when or if one will suffice.

So make a good-looking copy of the resolution, with "Certified Resolution" at the top, the text of the resolution, and then a certification at the bottom with room for the secretary's signature.  The idea is to impress the bank employee that this piece of paper is official enough that they would not get into trouble for accepting it as sufficient evidence.  The text should be something like:

I, <name>, <title, e.g., Secretary> of <Society> do hereby certify that the above is a true and correct copy of a resolution duly adopted at a regular <or  properly called> meeting of its <membership or  board> held on <date> at which a quorum was present, in witness whereof I have affixed my signature this ____ day of _____, 20___.

___________________________       
         <name>                      

I am not a lawyer and this is not legal advice—just something I have seen work.  The actual bank rules may say "approved minutes or certified resolution" and the employee may simply be underinformed.  Yes, believe it or not, that could happen. 🙂

 

 

[Josh Martin]

On 3/19/2024 at 3:45 PM, Guest NewToThis said:

At this point we are unable to write checks and pay bills.  Our next meeting isn't scheduled for 2 more months.  Is the bank correct?  In that case I assume we will need to do an emergency meeting or special meeting to approve the minutes so we can proceed.

I am not in a position to advise you on the correctness of the bank's position on the bank's own policies.

To the extent that the bank is correct, then yes, I think that holding a special meeting for this purpose is the way to proceed. It might not hurt, however, to talk to the bank again and explain the situation, and ask if there is any alternative documentation which you can provide to the bank.