2015 Indiana Code TITLE 20. EDUCATION ARTICLE 26. SCHOOL CORPORATIONS: GENERAL ADMINISTRATIVE PROVISIONS CHAPTER 4. ORGANIZATION AND OPERATION OF GOVERNING BODY
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IC 20-26-4
Chapter 4. Organization and Operation of Governing Body
IC 20-26-4-1
Organization; treasurer; duties; electronic funds transfer;
executive secretary
Sec. 1. (a) As used in this section, "electronic funds transfer"
means a 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 to order,
instruct, or authorize a financial institution to debit or credit an
account.
(b) The governing body of each school corporation shall organize
by electing:
(1) a president;
(2) a vice president; and
(3) a secretary;
each of whom is a different member, not more than fifteen (15) days
after the commencement date of the members' terms of office.
(c) A governing body shall, at the time that officers are elected
under subsection (b), appoint a treasurer of the governing body and
of the school corporation who is a person, other than the
superintendent of schools, who is not a member of the governing
body. The treasurer may, with the approval of the governing body,
appoint a deputy who must be a person, other than the superintendent
of schools, who is not a member of the governing body and who has
the same powers and duties as the treasurer, or lesser duties as
provided by the governing body by rule.
(d) The treasurer is the official custodian of all funds of the school
corporation and is responsible for the proper safeguarding and
accounting for the funds. The treasurer shall:
(1) issue a receipt for money received by the treasurer;
(2) deposit money described in subdivision (1) 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. However, except as
otherwise provided by law, warrants described in this
subdivision must be issued only after proper allowance or
approval by the governing body. The governing body may not
require an allowance or approval for amounts lawfully due in
payment of indebtedness or payments due the state, the United
States government, or agencies and instrumentalities of the state
or the United States government.
A verification, other than a properly itemized invoice, may not be
required for any claim. A claim is sufficient as to form if the bill or
statement for the claim has printed or stamped on the face of the bill
or statement a verification of the bill or statement in language
approved by the state board of accounts.
(e) Notwithstanding subsection (d), a treasurer may transact school
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corporation financial business with a financial institution or a public
retirement fund through the use of electronic funds transfer. The
treasurer must provide adequate documentation to the governing
body of transfers made under this subsection. This subsection applies
only to agreements for joint investment of money under IC 5-13-9
and to payments to the Indiana public retirement system for:
(1) the Indiana state teachers' retirement fund; or
(2) the public employees' retirement fund;
from participating employers.
(f) 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.
(g) A 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) must 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.
As added by P.L.1-2005, SEC.10. Amended by P.L.35-2012,
SEC.102; P.L.233-2015, SEC.92.
IC 20-26-4-2
Oath of members
Sec. 2. A person elected or selected to be a member of a governing
body shall take the following oath before taking office:
"I solemnly swear (or affirm) that I will support the Constitution
of the United States of America, the Constitution of the State of
Indiana, and the laws of the United States and the State of
Indiana. I will faithfully execute the duties of my office as a
member of this governing body, so help me God."
However, the governing body may provide for additional provisions
to the oath that the governing body considers appropriate for the
office.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-3
Regular, statutory, and special meetings
Sec. 3. (a) Regular meetings must be held by each governing body
at a time and place established by resolution of the board or may be
incorporated in the rules provided in IC 20-26-5-4. A notice need not
be given a member for holding or taking any action at a regular
meeting.
(b) If a meeting is held according to a procedure set forth by
statute or rule and if publication of notice of the meeting is required,
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notice of the meeting is not required and need not be given a member
for holding or taking any action at the meeting contemplated by the
notice. The meeting must be held at the time and place specified in
the published notice.
(c) Special meetings of a governing body must be held on call by
the governing body's president or by the superintendent of the school
corporation. The call must be evidenced by a written notice
specifying the date, time, and place of the meeting, delivered to each
member personally or sent by mail or telegram so that each member
has at least seventy-two (72) hours notice of the special meeting.
Special meetings must be held at the regular meeting place of the
board.
(d) All meetings of a governing body must be open to the public
to the extent required by IC 5-14-1.5. The governing body shall
comply with IC 5-14-1.5.
(e) If notice of a meeting is required and each member of a
governing body has waived notice of the meeting, as provided in this
subsection, notice of the meeting is not necessary. Waiver of notice
of a meeting by a member consists of the following:
(1) The member's presence at the meeting.
(2) The member's execution of a written notice waiving the date,
time, and place of the meeting, executed either before or after
the meeting. If a waiver specifies that the waiver was executed
before the meeting, third persons are entitled to rely on the
statement.
(f) At a meeting of the governing body, a majority of the members
constitutes a quorum. Action may not be taken unless a quorum is
present. Except where a larger vote is required by statute or rule with
respect to any matter, a majority of the members present may adopt
a resolution or take any action.
(g) All meetings of the governing body for the conduct of business
must be held within the school corporation, except as follows:
(1) Meetings may be held at the administrative offices of the
school corporation if the offices are outside the geographic
limits of the school corporation but are within a county where
all or a part of the school corporation is located.
(2) Meetings may be held at a place where the statute or rule
according to which a statutory meeting is held permits meeting
outside the school corporation, as may occur when the meeting
is held jointly with another governing body.
(h) A governing body may hold up to two (2) training sessions
each year outside the school corporation. The sessions may be
conducted as executive sessions under IC 5-14-1.5.
As added by P.L.1-2005, SEC.10. Amended by P.L.233-2015,
SEC.93.
IC 20-26-4-4
Vacancies in membership of governing body
Sec. 4. If a vacancy in the membership of a governing body occurs
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for any reason (including the failure of a sufficient number of
petitions for candidates for governing body membership being filed
for an election and whether the vacancy was of an elected or
appointed member), the remaining members of the governing body
shall by majority vote fill the vacancy by appointing a person from
within the boundaries of the school corporation, with the residence
and other qualifications provided for a regularly elected or appointed
board member filling the membership, to serve for the term or the
balance of the term. However, this subsection does not apply to a
vacancy:
(1) of a member who serves on a governing body in an ex
officio capacity; or
(2) a vacancy in an appointed board membership if a plan,
resolution, or law under which the school corporation operates
specifically provides for filling vacancies by the appointing
authority.
As added by P.L.1-2005, SEC.10. Amended by P.L.96-2012, SEC.7;
P.L.219-2013, SEC.91; P.L.233-2015, SEC.94.
IC 20-26-4-4.5
School board vacancy because of member's death
Sec. 4.5. (a) The definitions in IC 3-5-2 apply to this section.
(b) If a vacancy in a school board office exists because of the
death of a school board member, the remaining members of the
governing body shall meet and select an individual to fill the vacancy
after the secretary of the governing body receives notice of the death
under IC 5-8-6 and in accordance with section 4 of this chapter.
As added by P.L.119-2005, SEC.33. Amended by P.L.233-2015,
SEC.95.
IC 20-26-4-5 Version a
Treasurer's bond
Note: This version of section effective until 1-1-2016. See also
following version of this section, effective 1-1-2016.
Sec. 5. For each school year commencing July 1, the treasurer of
each governing body and the governing body's school corporation
and a deputy treasurer, if so appointed, shall give a bond for the
faithful performance of the treasurer's and deputy treasurer's duties
written by an insurance company licensed to do business in Indiana,
in an amount determined by the governing body. The treasurer shall
be responsible under the treasurer's bond for the acts of a deputy
treasurer appointed as provided in section 1 of this chapter.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-5 Version b
School corporation financial personnel bond requirements
Note: This version of section effective 1-1-2016. See also
preceding version of this section, effective until 1-1-2016.
Sec. 5. (a) For each school year commencing July 1:
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(1) the treasurer of each governing body and the governing
body's school corporation;
(2) a deputy treasurer, if so appointed; and
(3) any individual whose official duties include receiving,
processing, depositing, disbursing, or otherwise having access
to funds that belong to a school corporation or the governing
body of a school corporation;
shall give a bond for the faithful performance of the treasurer's,
deputy treasurer's, or individual's duties written by an insurance
company licensed to do business in Indiana, in an amount determined
by the governing body. The treasurer shall be responsible under the
treasurer's bond for the acts of a deputy treasurer appointed as
provided in section 1 of this chapter.
(b) A governing body may authorize the purchase of a blanket
bond that:
(1) is endorsed to include faithful performance to cover the
faithful performance of all employees and individuals acting on
behalf of the governing body or the governing body's school
corporation, including the individuals described in subsection
(a); and
(2) includes aggregate coverage sufficient to provide coverage
amounts specified for each individual who is required to give a
bond under this section.
As added by P.L.1-2005, SEC.10. Amended by P.L.230-2015, SEC.3.
IC 20-26-4-6
Bids for purchase of supplies or equipment
Sec. 6. (a) The governing body of any school corporation may
designate a committee of at least two (2) of the governing body's
members, or a committee of not less than two (2) employees of the
school corporation, to open and tabulate bids:
(1) in connection with the purchase of supplies, material, or
equipment;
(2) for the construction or alteration of a building or facility; or
(3) for any similar purpose.
(b) Bids described in subsection (a):
(1) may be opened by the committee at the time and place fixed
by the advertisement for bids;
(2) must be read aloud and tabulated publicly, to the extent
required by law for governing bodies; and
(3) must be available for inspection.
(c) The bids described in subsection (a) must be reported to and
the tabulation entered upon the records of the governing body at the
governing body's next meeting following the bid opening.
(d) A bid described in subsection (a) may not be accepted or
rejected by the committee, but the bid must be accepted or rejected
solely by the governing body in a board meeting open to the public
as provided in section 3 of this chapter.
As added by P.L.1-2005, SEC.10.
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IC 20-26-4-7
Compensation of governing body members
Sec. 7. (a) Except as provided in IC 20-25-3-3, the governing
body of a school corporation by resolution has the power to pay each
member of the governing body a reasonable amount for service as a
member, not to exceed:
(1) two thousand dollars ($2,000) per year; and
(2) a per diem not to exceed the rate approved for members of
the board of school commissioners under IC 20-25-3-3(d).
(b) If the members of the governing body are totally comprised of
appointed members, the appointive authority under IC 20-23-4-28(e)
shall approve the per diem rate allowable under subsection (a)(2)
before the governing body may make the payments.
(c) To make a valid approval under subsection (b), the appointive
authority must approve the per diem rate with the same endorsement
required under IC 20-23-4-28(f) to make the appointment of the
member.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-8
Approval of contracts
Sec. 8. Notwithstanding any other law, the president and secretary
of the governing body of a school corporation are entitled, on behalf
of the school corporation, to sign any contract, including employment
contracts and contracts for goods and services. However, each
contract must be approved by a majority of all members of the
governing body. In the absence of either the president or secretary of
the governing body, the vice president is entitled to sign the contracts
with the officer who is present.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-9
Disqualification on basis of age prohibited
Sec. 9. An individual who is at least twenty-one (21) years of age
and is otherwise eligible to assume office as a member of a governing
body may not be disqualified on the basis of age.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-10
Property ownership not qualification
Sec. 10. Property ownership is not a qualification for serving as a
member of a governing body.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-11
Ineligibility of teachers and noncertificated employees
Sec. 11. In addition to any other eligibility requirements for
members of the governing body of a school corporation as set forth
in law, an individual who is employed as a teacher or as a
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noncertificated employee (as defined in IC 20-29-2-11) of the school
corporation may not be a member of the governing body of the
school corporation.
As added by P.L.1-2005, SEC.10.
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