as introduced - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to local government; clarifying certain 1.3 collateralization requirements; amending Minnesota 1.4 Statutes 2002, section 118A.03, subdivision 1. 1.5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.6 Section 1. Minnesota Statutes 2002, section 118A.03, 1.7 subdivision 1, is amended to read: 1.8 Subdivision 1. [FOR DEPOSITS BEYOND INSURANCE.] To the 1.9 extent that fundsdepositedare on deposit at the close of a 1.10 banking day that are in excess of available federal deposit 1.11 insurance, the government entity shall require the financial 1.12 institution to furnish collateral security or a corporate surety 1.13 bond executed by a company authorized to do business in the 1.14 state. 1.15 Sec. 2. [EFFECTIVE DATE.] 1.16 Section 1 is effective retroactively from the beginning of 1.17 a government entity's fiscal year 2003 and applies to each 1.18 fiscal year thereafter.