4-5-6.1 Investment of public funds not needed for current operating expenses--Conditions.
Investment of public funds not needed for current operating expenses--Conditions.
In lieu of or in addition to other statutory authorization for the investment of public funds, any public
funds that are not needed for current operating expenses may be invested in accordance with the
The public funds shall initially be placed by the public funds depositor in a bank located
in this state which offers Federal Deposit Insurance Corporation insurance on its deposits;
The selected bank shall arrange for the deposit of the public funds in one or more
federally insured financial institutions wherever located in the United States, for the
account of the public funds depositor;
On the same date that the public funds are deposited pursuant to subdivision (2) of this
section, the selected bank shall receive an amount of deposits from customers of other
federally insured financial institutions equal to the amount of the public funds initially
placed by the public funds depositor;
Each such deposit shall be insured by the Federal Deposit Insurance Corporation;
The selected bank shall act as custodian for the public funds depositor with respect to the
deposits placed in the depositor's account.
SL 2004, ch 61, § 1; SL 2012, ch 31, § 1.