HomeMy WebLinkAboutResolution 109-86 RESOLUTION 109-86
RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF ATASCADERO
ESTABLISHING A POLICY FOR RETURNED CHECKS
WHEREAS, the City sometimes receives check that they are unable
to deposit due to insufficient funds;
WHEREAS , these checks are not only illegal but cost additional
taxpayers money to collect;
NOW, THEREFORE, BE IT RESOLVED that the City Council of
Atascadero does hereby adopt the Returned Check Policy as detailed
in Exhibit A and established a $10 .00 returned check charge to be
assessed against those checks the bank returns for insufficient funds.
On motion by Councilperson NORRIS and seconded
by Councilperson MOLINA , the foregoing resolution is
hereby adopted in its entirety on the following vote
AYES COUNCILMEMBERS BORGESON, HANDSITY, MOLINA, NORRIS AND MAYOR MACKEY
NOES: NONE
ABSENT: NONE
ADOPTED 9/22/86
CITY OF ATASCADERO, CALIFORNIA
By:
MARJORIE MACKEY, Mayor
ATTEST: J
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BOYD, . SHARIT , C i tv )Clerk
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APPROVED AS TO CONTENT:
MICHAEL HELTON, City Manager
APPROVED AS TO FORM:
ROBERT M. JONLIFA, City Attorney
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Exhibit A
City of Atascadero
Returned Check Policy
Procedure
Mid-State Bank automatically runs returned checks through
twice. If they are unable to collect after the second time, the
check is returned to the City and our account is charged.
Once the check is returned to the City, Finance calls the
bank the check is drawn on to see if there are sufficient funds
in the account. If there are sufficient funds, the check is re-
deposited at Mid-State. If there are not sufficient funds, or
the check is returned a second time, Finance calls the person/
company who issued the check to advise them the check was re-
turned. They are advised that they have one week to come and
make good the check and that a $10.00 penalty will be assessed.
If the check has not been made good within the time allotted, the
check will be turned over to the Police Dept. for collection.
The department that originally received the check will be
notified when a check has been returned so that they may stop
all work in progress. They will also be notified when the check
has been made good so that they may resume work.