Bill Summary – FastDemocracy

Stricken language would be deleted from and underlined language would be added to present law.
                                           Act 472 of the Regular Session
 State of Arkansas
 94th General Assembly                        A Bill
 Regular Session, 2023                                                             SENATE BILL 374
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 By: Senator M. McKee
 By: Representative Schulz
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                                   For An Act To Be Entitled
                 AN ACT TO AMEND THE LAWS RELATING TO A COUNTY
                 TREASURER AND THE FINANCIAL OPERATIONS OF A COUNTY;
                 TO AMEND THE ARKANSAS COUNTY ACCOUNTING LAW OF 1973;
                 TO AMEND THE LAW RELATING TO DISTRIBUTION OF
                 DELINQUENT PROPERTY TAX PAYMENTS AND OTHER FUNDS BY A
                 COUNTY TREASURER; AND FOR OTHER PURPOSES.
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                                               Subtitle
                         TO AMEND THE LAWS RELATING TO A COUNTY
                         TREASURER AND THE FINANCIAL OPERATIONS OF
                         A COUNTY.
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 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:
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        SECTION 1.       Arkansas Code § 14-15-807 is amended to read as follows:
        14-15-807.       Accounting of moneys revenue received and disbursed.
        (a)    A county treasurer shall keep a true and just account of all
 moneys revenue received and disbursed and a regular abstract of all warrants
 paid by him or her.
        (b)    A treasurer shall make duplicate receipts, in accordance with §
 14-25-108, in favor of the proper person for all moneys revenue paid into the
 treasury and keep the books, papers, and money all financial records
 pertaining to his or her office at all times ready for the inspection as
 public records of the county of the county court or the presiding judge
 thereof.
        (c)(1)       A treasurer shall furnish the county quorum court and the
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 county judge with an account of the receipts and expenditures of the county
 not previously accounted for at each term regular meeting of the county
 quorum court, if required.
               (2)   The county judge and the county quorum court may request
 from the county treasurer any county financial information needed to make
 sound financial decisions for the county.
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      SECTION 2.      Arkansas Code § 14-21-102(c), concerning the county annual
 financial report, is amended to read as follows:
      (c)   All costs associated with the publication of the annual financial
 report of the county may be prorated equally between the clerk of the county
 court and shall be charged to the budget of the county treasurer.
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      SECTION 3.      Arkansas Code § 14-25-114 is amended to read as follows:
      14-25-114.      County treasurer.
      (a)(1)     The county treasurer shall receive and receipt for all moneys
 revenue payable to the county treasury and pay and disburse them on warrants
 or the revenue on checks drawn by order of the county court.
               (2)   The treasurer shall keep a true and accurate account of all
 moneys revenue received and disbursed and a true and accurate record of all
 warrants or checks paid by him or her.
               (3)   The treasurer shall maintain and issue prenumbered receipts
 for all moneys revenue paid into the treasury in accordance with § 14-25-108.
      (b)   The treasurer shall establish and maintain the following
 accounting practices, in relation to the operations of the office:
               (1)   The number and date of checks paying warrants where the
 county is using a system of paying several warrants presented by the bank
 shall be identified with the warrants in posting to the treasurer's book or
 record of accounts;
               (2)   The check number and its date shall be entered on the
 warrant, and the warrant number and its date shall be entered on the face of
 the check and on the check stub, as well as the account represented;
               (3)   Postings to the treasurer's book or record of accounts of
 warrants and county financial record of checks shall be under the transaction
 date on the instruments, not the date the items are entered in the books or
 records of accounts county financial records;
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            (4)(2)     Banks shall be requested to present all warrants checks
 held at the end of the month promptly so that they may be included in the
 treasurer's book or record of accounts county financial records in the month
 to which they pertain with the bank statement cycle for county funds ending
 on the final day of the month;
            (5)(3)     All funds in the treasurer's book or record of accounts
 county financial records shall be reconciled with the bank at least monthly.
 Reconciliations shall be retained and filed with the bank statements;
            (6)(4)     Clear reference shall be made in the treasurer's book or
 record of accounts county financial records as to the origins of all moneys
 revenue. This may be by notation citing the origin, date, receipt number, and
 other pertinent information;
            (7)(5)     Transfers shall clearly state the fund to which the
 moneys are revenue is being transferred, and the recipient fund shall state
 the origin of its receipt the transfer received;
            (8)(6)     A brief explanation of the computation of the treasurer's
 commission to provide a clear and permanent record of how the commission was
 determined shall be maintained and shall comply with § 21-6-302;
            (9)(7)     Corrections to the treasurer's book or records of
 accounts county financial records shall be entered at the time of discovery
 and under the date of the entry into the treasurer's records. A notation
 shall be made at the erroneous balance if it is at a previous date, but under
 no circumstances shall a previous month's balance be changed when it has been
 brought forward into the succeeding period;
            (10)(8)     Receipts shall be prepared for all moneys revenue
 received, but shall never be used to effect make any other type of accounting
 transaction. Bank deposits shall be intact, prompt, and identified as to type
 of receipts;
            (11)(9) Copies of all receipts shall be retained, including
 copies of voided receipts;
            (10)     The treasurer shall maintain all bank accounts and
 financial records of accounts as prescribed by law in reference to the duties
 of his or her office.    The bank accounts shall be maintained as prescribed in
 § 14-25-102;
            (11)     Bank deposits shall be prompt, identified as to receipt
 numbers, and deposited in the same form as collected;
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              (12)   Printers' certificates shall be obtained and kept for each
 printing order of formally prenumbered receipts in compliance with § 14-25-
 108;
              (13)   All balances on the treasurer's book county financial
 records not belonging to the county and awaiting clearance shall be remitted
 on or before December 31, or promptly thereafter, as of December 31; and
              (14)   Municipal fund revenue shall be remitted to the
 municipality by separate check or electronic transfer for each appropriate
 dedicated municipal fund.
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        SECTION 4.    Arkansas Code § 26-36-209(b)(2), concerning the time and
 manner of the collection and distribution of delinquent personal property
 taxes, is amended to read as follows:
              (2)    However, upon a certificate of distribution of the amounts
 collected under this section being prepared by the county clerk, county
 collector, or other county officer designated pursuant to § 26-28-102(a),
 which certificate shall be issued on or before the thirtieth fifteenth day of
 each month, the county treasurer shall transfer to the various funds the
 amount due each fund.
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        SECTION 5.    Arkansas Code § 26-37-109(c), concerning the redemption of
 tax-delinquent real property, is amended to read as follows:
        (c)   The county collector shall pay over to the county treasurer on the
 first of each month or within ten (10) days thereafter all amounts collected
 under this section. However, upon a certificate of distribution of the
 amounts collected under this section being prepared by the county clerk, or
 county collector, or other county officer designated pursuant to § 26-28-
 102(a), which certificate of distribution shall be issued on or before the
 thirtieth fifteenth day of each month, the county treasurer shall transfer to
 the various funds the amount due each fund, such as the county, school, or
 municipality fund, from the amounts collected under this section.
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        SECTION 6.    Arkansas Code § 26-39-201(b)(2), concerning the time for
 payment of county funds by a county treasurer, is amended to read as follows:
              (2)    Upon the issuance of a certificate of the county clerk or
 other county officer designated pursuant to § 26-28-102(a) that is issued on
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 or before the thirtieth fifteenth day of each month, the county treasurer
 shall transfer to the various funds ninety percent (90%) of the advance
 payments made by the county collector during the collecting period and, upon
 final settlement, the proper adjustments shall be made with the various
 accounts, and the balance remaining in the unapportioned account shall be
 distributed upon order of the county court approving the final settlement of
 the county collector.
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                               APPROVED: 4/4/23
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Statutes affected: 
SB 374: 14-15-807, 14-25-108, 14-21-102(c), 14-25-114, 21-6-302, 14-25-102, 26-36-209(b), 26-37-109(c), 26-39-201(b)
Act 472: 14-15-807, 14-25-108, 14-21-102(c), 14-25-114, 21-6-302, 14-25-102, 26-36-209(b), 26-37-109(c), 26-39-201(b)