(1) A local government is to develop procedures for the authorization of, and the payment of, accounts to ensure that there is effective security for, and properly authorized use of ¾

(a) cheques, credit cards, computer encryption devices and passwords, purchasing cards and any other devices or methods by which goods, services, money or other benefits may be obtained; and

(b) petty cash systems.

(2) A local government is to develop procedures for the approval of accounts to ensure that before payment of an account a determination is made that ¾

(a) the relevant debt was incurred by a person who was properly authorized to do so; and

(b) the goods or services to which each account relates were provided in a satisfactory condition or to a satisfactory standard, as the case requires.

(3) Payments made by a local government ¾

(a) subject to subregulation (4), are not to be made in cash; and

(b) are to be made in a manner which allows identification of ¾

(i) the method of payment;

(ii) the authority for the payment; and

(iii) the identity of the person who authorized the payment.

(4) Nothing in subregulation (3)(a) prevents a local government from making payments in cash from a petty cash system.