SF 2063

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 funds deposited are 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.