CHAPTER 4. ORGANIZATION AND OPERATION OF GOVERNING BODY
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 bycheck, draft, or similar paper instrument, that is initiated through anelectronic terminal, telephone, or computer or magnetic tape to order,instruct, or authorize a financial institution to debit or credit anaccount.
(b) The governing body of each school corporation shall organizeby electing:
(1) a president;
(2) a vice president; and
(3) a secretary;
each of whom is a different member, not more than fifteen (15) daysafter the commencement date of the members' terms of office, asprovided in section 4 of this chapter.
(c) A governing body shall, at the time that officers are electedunder subsection (b), appoint a treasurer of the governing body andof the school corporation who is a person, other than thesuperintendent of schools, who is not a member of the governingbody. The treasurer may, with the approval of the governing body,appoint a deputy who must be a person, other than the superintendentof schools, who is not a member of the governing body and who hasthe same powers and duties as the treasurer, or lesser duties asprovided by the governing body by rule.
(d) The treasurer is the official custodian of all funds of the schoolcorporation and is responsible for the proper safeguarding andaccounting for the funds. The treasurer shall:
(1) issue a receipt for money received by the treasurer;
(2) deposit money described in subdivision (1) in accordancewith the laws governing the deposit of public funds; and
(3) issue all warrants in payment of expenses lawfully incurredon behalf of the school corporation. However, except asotherwise provided by law, warrants described in thissubdivision must be issued only after proper allowance orapproval by the governing body. The governing body may notrequire an allowance or approval for amounts lawfully due inpayment of indebtedness or payments due the state, the UnitedStates government, or agencies and instrumentalities of the stateor the United States government.
A verification, other than a properly itemized invoice, may not berequired for any claim of one hundred dollars ($100) or less. A claimthat exceeds one hundred dollars ($100) is sufficient as to form if thebill or statement for the claim has printed or stamped on the face ofthe bill or statement a verification of the bill or statement in languageapproved by the state board of accounts. (e) Notwithstanding subsection (d), a treasurer may transactschool corporation financial business with a financial institution ora public retirement fund through the use of electronic funds transfer.The treasurer must provide adequate documentation to the governingbody of transfers made under this subsection. This subsection appliesonly to agreements for joint investment of money under IC 5-13-9and to payments to:
(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 omissionoccurring in connection with the performance of the duties set forthin this section, unless the act or omission constitutes grossnegligence or an intentional disregard of the treasurer's duties.
(g) A governing body may establish the position of executivesecretary 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 therecommendation of the superintendent of the schoolcorporation.
The governing body shall determine the duties of the executivesecretary, which may include all or part of the duties of the secretaryof the board.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-2
Oath of members
Sec. 2. A person elected or selected to be a member of agoverning body shall take the following oath before taking office:
"I solemnly swear (or affirm) that I will support theConstitution of the United States of America, the Constitutionof the State of Indiana, and the laws of the United States and theState of Indiana. I will faithfully execute the duties of my officeas a member of this governing body, so help me God."
However, the governing body may provide for additional provisionsto the oath that the governing body considers appropriate for theoffice.
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 bodyat a time and place established by resolution of the board or may beincorporated in the rules provided in IC 20-26-5-4. A notice need notbe given a member for holding or taking any action at a regularmeeting.
(b) If a meeting is held according to a procedure set forth bystatute or rule and if publication of notice of the meeting is required,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 thenotice. The meeting must be held at the time and place specified inthe published notice.
(c) Special meetings of a governing body must be held on call bythe governing body's president or by the superintendent of the schoolcorporation. The call must be evidenced by a written noticespecifying the date, time, and place of the meeting, delivered to eachmember personally or sent by mail or telegram so that each memberhas at least seventy-two (72) hours notice of the special meeting.Special meetings must be held at the regular meeting place of theboard.
(d) All meetings of a governing body must be open to the publicto the extent required by IC 5-14-1.5. The governing body shallcomply with IC 5-14-1.5.
(e) If notice of a meeting is required and each member of agoverning body has waived notice of the meeting, as provided in thissubsection, notice of the meeting is not necessary. Waiver of noticeof 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 thedate, time, and place of the meeting, executed either before orafter the meeting. However, if notice is executed after themeeting, the waiver must also state in general terms the purposeof the meeting. If a waiver specifies that the waiver wasexecuted before the meeting, third persons are entitled to relyon the statement.
(f) At a meeting of the governing body, a majority of the membersconstitutes a quorum. Action may not be taken unless a quorum ispresent. Except where a larger vote is required by statute or rule withrespect to any matter, a majority of the members present may adopta resolution or take any action.
(g) All meetings of the governing body for the conduct of businessmust be held within the school corporation, except as follows:
(1) Meetings may be held at the administrative offices of theschool corporation if the offices are outside the geographiclimits of the school corporation but are within a county whereall or a part of the school corporation is located.
(2) Meetings may be held at a place where the statute or ruleaccording to which a statutory meeting is held permits meetingoutside the school corporation, as may occur when the meetingis held jointly with another governing body.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-4
Commencement and termination of terms of office; vacancies
Sec. 4. (a) This section does not apply to a school city of the firstclass or to a school corporation succeeding to all or the major part inarea of a school city of the first class.
(b) The commencement and termination of terms of members ofa governing body are as follows: (1) Except as provided in subdivision (2), the governing bodyof each school corporation shall determine whether the term ofoffice for the governing body's members extends from January1 to December 31 or from July 1 to June 30. A governing bodythat makes a change in the commencement date of thegoverning body's members' terms shall report the change to thestate board before August 1 preceding the year in which thechange takes place. An ex officio member of a governing bodyshall take office at the time the ex officio member takes the oathof the office by virtue of which the ex officio member isentitled to become an ex officio member.
(2) In a county having a population of more than four hundredthousand (400,000), the terms of office for the members of agoverning body, whether elected or appointed, commence onJuly 1 of the year in which the members are to take office underthe plan, resolution, or law under which the school corporationis established, and terminate on the June 30 of the final year ofthe term for which the members are to serve under the plan,resolution, or law.
(c) If a vacancy in the membership of a governing body occurs forany reason (including the failure of a sufficient number of petitionsfor candidates for governing body membership being filed for anelection and whether the vacancy was of an elected or appointedmember), the remaining members of the governing body shall bymajority vote fill the vacancy by appointing a person from within theboundaries of the school corporation, with the residence and otherqualifications provided for a regularly elected or appointed boardmember filling the membership, to serve for the term or the balanceof the term. However, this subsection does not apply to a vacancy:
(1) of a member who serves on a governing body in an exofficio capacity; or
(2) a vacancy in an appointed board membership if a plan,resolution, or law under which the school corporation operatesspecifically provides for filling vacancies by the appointingauthority.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-4.5
School board vacancy because of member's death
Sec. 4.5. (a) This section applies to a school corporation subjectto section 4 of this chapter.
(b) The definitions in IC 3-5-2 apply to this section.
(c) If a vacancy in a school board office exists because of thedeath of a school board member, the remaining members of thegoverning body shall meet and select an individual to fill the vacancyafter the secretary of the governing body receives notice of the deathunder IC 5-8-6 and in accordance with section 4 of this chapter.
As added by P.L.119-2005, SEC.33.
IC 20-26-4-5 Treasurer's bond
Sec. 5. For each school year commencing July 1, the treasurer ofeach governing body and the governing body's school corporationand a deputy treasurer, if so appointed, shall give a bond for thefaithful performance of the treasurer's and deputy treasurer's dutieswritten by an insurance company licensed to do business in Indiana,in an amount determined by the governing body. The treasurer shallbe responsible under the treasurer's bond for the acts of a deputytreasurer appointed as provided in section 1 of this chapter.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-6
Bids for purchase of supplies or equipment
Sec. 6. (a) The governing body of any school corporation maydesignate a committee of at least two (2) of the governing body'smembers, or a committee of not less than two (2) employees of theschool corporation, to open and tabulate bids:
(1) in connection with the purchase of supplies, material, orequipment;
(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 fixedby the advertisement for bids;
(2) must be read aloud and tabulated publicly, to the extentrequired by law for governing bodies; and
(3) must be available for inspection.
(c) The bids described in subsection (a) must be reported to andthe tabulation entered upon the records of the governing body at thegoverning body's next meeting following the bid opening.
(d) A bid described in subsection (a) may not be accepted orrejected by the committee, but the bid must be accepted or rejectedsolely by the governing body in a board meeting open to the publicas provided in section 3 of this chapter.
As added by P.L.1-2005, SEC.10.
IC 20-26-4-7
Compensation of governing body members
Sec. 7. (a) Except as provided in IC 20-25-3-3, the governing bodyof a school corporation by resolution has the power to pay eachmember of the governing body a reasonable amount for service as amember, not to exceed:
(1) two thousand dollars ($2,000) per year; and
(2) a per diem not to exceed the rate approved for members ofthe board of school commissioners under IC 20-25-3-3(d).
(b) If the members of the governing body are totally comprised ofappointed 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 endorsementrequired under IC 20-23-4-28(f) to make the appointment of themember.
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 secretaryof the governing body of a school corporation are entitled, on behalfof the school corporation, to sign any contract, includingemployment contracts and contracts for goods and services.However, each contract must be approved by a majority of allmembers of the governing body. In the absence of either thepresident or secretary of the governing body, the vice president isentitled 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 ageand is otherwise eligible to assume office as a member of agoverning 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 asa 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 formembers of the governing body of a school corporation as set forthin law, an individual who is employed as a teacher or as anoncertificated employee (as defined in IC 20-29-2-11) of the schoolcorporation may not be a member of the governing body of theschool corporation.
As added by P.L.1-2005, SEC.10.