Article VI — Depositories
The monies of the corporation shall be deposited in the name of the corporation in such bank or banks or trust company or trust companies as the Board of Directors shall designate, and shall be drawn from such accounts only by check or other order for payment of money signed by such persons, and in such manner, as may be determined by resolution of the Board of Directors.
Committee Notes
🔴 Fix needed. Article VI addresses only where funds are deposited — it makes no distinction between operating funds and reserve funds and imposes no management rules. Under RCW 64.90.550, reserve funds must be held in a separate account and not used for operating expenses. SB 5129 (2024) adds that no more than 50% of reserve funds may be invested. There is also no reserve study requirement, though RCW 64.90.545 mandates one at least every three years. Suggested expansion: "The association shall maintain separate accounts for operating funds and reserve funds. Reserve funds shall not be used for operating expenses without a two-thirds vote of the Board and prompt member notification. Reserve funds shall be invested only in instruments consistent with RCW 11.100.020, and no more than fifty percent (50%) of reserve funds may be invested. The Board shall conduct or commission a reserve study at least every three (3) years consistent with RCW 64.90.545."