Q Is our community college authorized to enter into an agreement with its bank to make payments to the college’s vendors electronically?

A Yes. Local governmental entities are authorized to pay vendors electronically pursuant to the Uniform Electronic Transactions Act (Section 75-12-1 et seq). A community college established under Section 37-29-31 and 37-29-67, or 37-29-401 et seq is authorized to make electronic payments to its vendors through its bank as long as (1) such payments are lawfully authorized; (2) the process is consistent with systems and procedures established by the Department of Audit; and (3) vendors have authorized the college’s bank to act as the vendors’ authorized receiver of funds. (Attorney General’s Opinions to Ford, November 14, 2014)