§ 2-299. Investment of funds.

(a)

Proceeds of the sale of any obligations and any non-ad valorem funds securing payment of the obligations may, at the option of the county, be invested in the following manner:

(1)

Direct obligations the principal of and interest on which are unconditionally guaranteed by the United States of America (the "government obligations"), or receipts, certificates or other similar documents evidencing ownership of future principal or interest payments due on government obligations, which government obligations are held in a custody or trust account by a bank or savings and loan association that is either:

a.

A qualified public depository under the laws of the state; or

b.

Has capital, surplus and undivided profits of not less than $50,000,000.00 and that is a member of the Federal Deposit Insurance Corporation or the Federal Savings and Loan Insurance Corporation, as applicable;

(2)

Bonds, debentures, notes, participation certificates or other evidences of indebtedness issued, or the principal of and interest on which are unconditionally guaranteed, by the Federal Home Loan Bank System, the Export-Import Bank of the United States, the Federal Financing Bank, the Government National Mortgage Association, the Farmers Home Administration, the Federal Housing Administration or the Maritime Administration;

(3)

Deposits in any commercial bank or savings and loan association that is a member of the Federal Deposit Insurance Corporation (FDIC) or the Federal Savings and Loan Insurance Corporation (FSLIC), as applicable, and is a qualified public depository under the laws of the state;

(4)

Repurchase agreements, fully and continuously secured by government obligations, with any bank, trust company, national banking association or savings and loan association that is a member of FDIC or FSLIC, as applicable, and is a qualified public depository under the laws of the state; or with any registered government bond broker/dealer that is subject to the jurisdiction of the Securities Investor's Protection Corporation; provided:

a.

Such government obligations are held by the county or a third party that is:

1.

A federal reserve bank;

2.

A bank or savings and loan association that is a member of FDIC or FSLIC, as applicable, and is a qualified public depository under the laws of the state; or

3.

A bank or savings and loan association approved in writing for such purpose by the municipal bond insurer, if applicable; and

b.

The county shall have received written confirmation from the third party that it holds such government obligations; and

c.

A perfected first security interest in or title to such government obligations, as applicable, is created or obtained for the benefit of the county;

(5)

Shares in a money market or other fund, the investments of which are exclusively in government obligations;

(6)

Any other agreements for the investment of money between the county and a bank, trust company, national banking association or corporation subject to registration with the Board of Governors of the Federal Reserve System under the Bank Holding Company Act of 1956 or the Federal National Mortgage Association, or any corporation including insurance companies:

a.

Whose unsecured obligations or uncollateralized longterm debt obligations have been assigned ratings by Standard & Poor's Corporation, New York, New York (S&P), and Moody's Investors Service, New York, New York (Moody's), that are equal to or higher than the ratings initially assigned by S&P and Moody's to the bonds then being issued by the county, if applicable; or

b.

That have issued a letter of credit contract, agreement or surety bond in support of debt obligations that have been so rated;

(7)

Any other investments authorized or permitted from time to time by the laws of the state controlling the investment of surplus public funds of a county.

(b)

The county shall, in any resolution authorizing the issuance of its obligations providing for the investment of the proceeds of the sale of such obligations, select all or any portion of the investment vehicles listed in this section as permitted investments under such resolution, and, in its discretion, may provide additional restrictions to such investments in the resolution.

(c)

The provisions of this section shall not be deemed to amend any resolutions or ordinances authorizing the issuance of any outstanding obligations of the county.

(Code 1979, § 2-482; Ord. No. 56-1988, § 9)