Resolution - 6195•
RESOLUTION NO. 6195
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF WEST
COVINA ESTABLISHING A FEE TO BE CHARGED FOR RETURNED
CHECKS.
WHEREAS, the City Council has authorized that a fee be established for returned
checks, and
WHEREAS, the number of returned checks continues to escalate, and
WHEREAS, when a check is returned, the following steps are required:
1. The Treasurer deducts the amount of the check from the active
cash balance, posts it in the ledger and sends it to the cashier
in the Finance Department.
2. The cashier determines the proper account to be charged, prepares
a form for computer input and sends the returned check back to the
department who originally received it.
3. That department must then contact the person who wrote the check
to demand payment.
4. Upon redemption of a check, the money is received as though it were
a new transaction, remitted to the cashier, and re -deposited by the
City Treasurer, and
WHEREAS, The City Council has determined that the City be reimbursed for handling
these returned checks.
• NOW, THEREFORE, the City Council of the City of West Covina does hereby resolve
as follows:
ATTEST:
SECTION 1. A fee of $10.00 to be paid by the issuer of any check that
is returned, is hereby established. .
SECTION 2. This resolution shall become effective 30 days after the
adoption of Ordinance No. 1498
SECTION 3. The City Clerk Shall certify to the adoption of this reso-
lution.
City Clerk
i
I Hereby Certify that the above and foregoing resolution was adopted at a
regular meeting of the City Council of the City of West Covina on the 22nd day
of September , 1980, by the following vote of the Council.
AYES: Tennant, Tice, Chappell,. Shearer, Browne
NOES: None
ABSENT: None
City Clerk
APPROVED AS TO FORM:
City Attorney