Bill Text: MO HB1400 | 2012 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Changes the laws regarding the investment of certain public funds, perfection of security interests, Division of Finance examinations, and residential mortgage loan brokers

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2012-07-10 - Delivered to Secretary of State (G) [HB1400 Detail]

Download: Missouri-2012-HB1400-Introduced.html

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SECOND REGULAR SESSION

HOUSE BILL NO. 1400

96TH GENERAL ASSEMBLY

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INTRODUCED BY REPRESENTATIVES RICHARDSON (Sponsor), CRAWFORD, HAMPTON, BARNES, JONES (117), HOUGHTON, SCHATZ, BRANDOM AND LICHTENEGGER (Co-sponsors).

4238L.01I                                                                                                                                                  D. ADAM CRUMBLISS, Chief Clerk

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AN ACT

To repeal section 67.085, RSMo, and to enact in lieu thereof one new section relating to the investment of certain public funds.

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Be it enacted by the General Assembly of the state of Missouri, as follows:

            Section A. Section 67.085, RSMo, is repealed and one new section enacted in lieu thereof, to be known as section 67.085, to read as follows:

            67.085. Notwithstanding any law to the contrary, any political subdivision of the state and any other public entity in Missouri may invest funds of the public entity not immediately needed for the purpose to which such funds or any of them may be applicable provided each public entity meets the requirements for separate deposit insurance of public funds permitted by federal deposit insurance and in accordance with the following conditions:

            (1) The public funds are invested through a financial institution which has been selected as a depositary of the funds in accordance with the applicable provisions of the statutes of Missouri relating to the selection of depositaries and such financial institution enters into a written agreement with the public entity;

            (2) The selected financial institution arranges for the deposit of the public funds in [certificates of] deposit accounts in one or more financial institutions wherever located in the United States, for the account of the public entity;

            (3) Each such [certificate of] deposit [issued by financial institutions as provided in subdivision (2) of this section] account is insured by federal deposit insurance for one hundred percent of the principal and accrued interest of the [certificate of] deposit;

            (4) The selected financial institution acts as custodian for the public entity with respect to [the certificate of] such deposit [issued for its account] accounts; and

            (5) [At the same time] On the same date that the public funds are deposited [and the certificates of deposit are issued] under subdivision (2) of this section, the selected financial institution receives an amount of deposits from customers of other financial institutions equal to the amount of the public funds initially invested by the public entity through the selected financial institution.

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