Agenda - Council - 10/22/1996 - Laserfiche WebLink

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1294 I295 DEPOSrrOP'IF~ OF PUBLIC I:rU/xrDS 118.02 the amount on deposit at the close of the business day, in excess of any insured portion, which would be permitted if a corporate or personal surety bond were furnished. The depository may furnish both a bond and collateral aggregating the required amount. Subd. 3. Any collateral so deposited shall be accompanied by an assignment thereof to the municipality from the depository. The assi~ment shall recite that the depository shall pay over to the treasurer or chief financial officer on demand, free of exchange or any other charges, except for early withdrawal penalties on time deposits, ~u~¢~; all money deposited therein at any time during the period the collateral shall be so deposited and shall pay the interest thereon when due at the agreed.rate; and that, in ~ f~o~ case of any default upon the part of the depository, the governing body of the munici- pality or the treasurer or chief financial officer may sell the collateral, or as much thereof ~ mK. as may be necessary to realiz~ the full amount due the municipality and to pay over.. any surplus to the depository or its assigns. Subd. 4. A depository may make withdrawals of excess collateral or'substitute other collateral, as defined in subdiv/sion 1, on receipt by the municipality of Written i in section notice from the depository. Authority is vested in the treasurer to return the collateral as a deposi- to the depository. Ali interest on the collateral so deposited shall be paid to the deposi- .s defined in tory so long as it is not in default. · may autho- Subd. 5.'The closing of a depository shall be deemed a defa~t on the part of the erning body depository and no demand on the part of the municipality shall be necessary to estab- lish the default. If a depository closes, any deposit placed therein shall immediately become due and' payable. a depository Subd. 6. Ail collateral shall be deposited'with the treasurer or chief financial officer ngs and loan of the municipality or placed in safekeeping for the municipality in a financial institu- :stration, the tion.approved by the governing body of the municipali£y or the treasurer or ckief fman- m amount of cial officer, if approval authority is designated to the treasurer or chief financial officer. nount in. any The collateral shall not be redeposited in the bank,, trust company or thrift institution shall require furnishing it.. .. · ety company Subd. 7. "Municipality" for the purpose of this section means a county, city, town, hated sum to ....... e school district, hospital district, public authority, public corporation, public commis- L~.e 0013.0.~ LB. , ~nce sion, special district, police or salaried firefighter s relief association, volunteer fire- n accoroa fighter's relief ass,o, ciation, independent nonprofit firefighting corporation having a sub-' sidiary firefighter s relief association, o'r any retirement association established pursu- 8; 1988 c 666 ant to statute or special law holding funds intended to support or pay retirement bene- fits for employees of a municipality, any other political subdivision, or an agency of the state or of its subdivisions. . · . . ~ . History: (1973-1) J925 c 173 x 1,"1929 c 370 s J; 1933 c 41 x 1; 1957 c 698 s 1; 1961 'ted tO O0 DUS1 - . , ' c 560 s i4' 1963 c 511 s 1; 1967 c 528 s 1; 1969 c 18 s 1; I969 c 78 s 1; 1969 c 294 s 2; requkrecl to De .... ' · , ~y/Jc123artSs7;I978c747sS;1980c55132;I980c618sI;198Ic224s30;1983 unds as conat ;deral Deposi~ c 91 s 1', 1985 c 239 s 2; ]989 c t66 s 28 )rporation; (2) F EX][ . 118.02 EFFECT 0 STING CONTRACTS. ' '- s not past due, 'w -,~hove(n the Nothing in section 118.01 shall be construed as modifying or impairing any exist- ]J,.'~,'~,~ lng contract or obligation, but authority is hereby conferred upon any governing body ~;Yao~h;;~q~e or other authority authorized to designate depositories to terminate any existing con- ..~ ~(~//~r~ tract with any depository by mutual consent and to make a new designation under the ica: 'goongauon~ ....... terms hereof for the unexpired period' of the designation.' gervice, Inc. or History: (1973-2) i925 c J73 ~ 2 turity, the total 118.03 [Obsolete] :dst ten percent 118.04 [Obsolete] cess of any :~ ex 118.1)5 [Repealed, 1976 c 44 s 70]