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Ceres council temporarily authorizes city manager to sign checks after bond records reviewed
Summary
After hours of questioning about whether officials were properly bonded under local code and Government Code 36518, the Ceres City Council accepted bond documentation and unanimously authorized the city manager to sign payroll and vendor checks until a bonded finance director is appointed.
The Ceres City Council on Nov. 10 voted unanimously to designate the city manager as an authorized signer on city bank accounts while staff confirm and complete bonding for a new finance director, after several council members said they needed to see bond documentation before allowing signatory authority.
Council members pressed staff for the provenance of bonds and cited municipal code and state law. Councilmember Serena Otero asked when staff discovered the finance director had left and why a required bond for certain officials did not appear to be on file; the council requested a copy of the manager’s bond and a list of bonded officials before deciding. City Manager (speaker 22) and Finance Director Sonia (speaker 23) provided a bond confirmation email (dated 2024) and the manager’s December 2023 employment agreement stating the city will bond the manager. Finance staff said some employee bonds had to be renewed annually and that the county had not invoiced the city for certain past fees, which prompted other refunds included on voucher lists.
Why it matters: without a properly bonded signer on file the bank will not accept signatures, creating the immediate risk that payroll and critical vendor payments could not be processed. City Attorney counsel warned that failing to approve a temporary authorization could expose the city to wage‑and‑hour liabilities and other financial penalties if staff were not paid on time.
Councilmembers debated alternatives—tabling the item until later the same meeting to receive documentation, or approving a narrowly limited authorization for a single pay period—before agreeing to a temporary designation. Vice Mayor Daniel Martinez moved to approve the designation; the motion, seconded by Councilmember Viera, passed on a 5–0 roll call once the finance director presented bond confirmations and staff committed to produce a list of bonded elected officials and any missing approvals.
What staff said: Finance staff said an email from the bonding vendor confirmed coverage for three city employees (city manager, city clerk and finance director) and that the city manager’s contract (Dec. 2023) included a bonding requirement. Staff agreed to research whether prior councils set a standard bond amount and to provide the council with the vendor’s list of bonded elected officials.
Council concern and next steps: Council members emphasized that municipal code and Government Code 36518 require appropriate bonding for certain officials; several asked that staff return with the council‑approval record for any bond and a confirmation of which elected officials must be bonded under local law. Staff committed to follow up and to ensure the bank had required paperwork.
The council’s authorization allows the city manager to sign in the short term while staff secure and document ongoing compliance; the item will be revisited if outstanding records remain incomplete.
