Iowa-2017-SF2155-Introduced
Senate File 2155 - Introduced
SENATE FILE
BY COMMITTEE ON STATE
GOVERNMENT
(SUCCESSOR TO SSB
3022)
A BILL FOR
1 An Act concerning public investment maturity limitations
2 relating to the operating funds of political subdivisions.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
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PAG LIN
1 1 Section 1. Section 12B.10A, subsection 1, paragraph c, Code
1 2 2018, is amended to read as follows:
1 3 c. Operating funds may only be invested in investments
1 4 which mature within three hundred ninety=seven days or less
1 5 and which are authorized by law for the investing public
1 6 entity. However, that portion of operating funds in excess of
1 7 an amount equal to thirty=three percent of operating funds may
1 8 be invested in certificates of deposit at federally insured
1 9 depository institutions approved pursuant to chapter 12C which
1 10 mature within five years or less.
1 11 EXPLANATION
1 12 The inclusion of this explanation does not constitute agreement with
1 13 the explanation's substance by the members of the general assembly.
1 14 This bill provides that a political subdivision may invest
1 15 that portion of operating funds in excess of 33 percent
1 16 of operating funds in certificates of deposit which mature
1 17 within five years or less. Current law requires political
1 18 subdivisions to invest operating funds in investments which
1 19 mature within 397 days or less.
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