General Assembly: 81 (2006 Regular GA) - Chapter 1023 - Investment of public funds


Published: 2006-04-06

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79 LAWS OF THE EIGHTY-FIRST G.A., 2006 SESSION CH. 1023

cles thus exempted, which plates except plates on state patrol vehicles shall bear theword “of- ficial” and the department shall keep a separate record. Registration plates issued for state patrol vehicles, except unmarked patrol vehicles, shall bear two red stars on a yellow back- ground, one before and one following the registration number on the plate, which registration number shall be the officer’s badge number. Registration plates issued for county sheriff’s pa- trol vehicles shall display one seven-pointed gold star followed by the letter “S” and the call number of the vehicle. However, the director of the department of administrative services or the director of transportation may order the issuance of regular registration plates for any ex- empted vehicle used by peace officers in the enforcement of the law, persons enforcing chap- ter 124 and other laws relating to controlled substances, persons in the department of justice, the alcoholic beverages division of the department of commerce, disease investigators of the Iowa department of public health, the department of inspections and appeals, and the depart- ment of revenue, who are regularly assigned to conduct investigations which cannot reasona- bly be conducted with a vehicle displaying “official” state registration plates, persons in the Iowa lottery authority whose regularly assigned duties relating to security or the carrying of lottery tickets cannot reasonably be conductedwith a vehicle displaying “official” registration plates, and persons in the department of economic development who are regularly assigned duties relating to existing industry expansion or business attraction, andmental health profes- sionals or health care professionals who provide off-site or in-home medical or mental health services to clients of publicly funded programs. For purposes of sale of exempted vehicles, the exempted governmental body, upon the sale of the exempted vehicle, may issue for in-transit purposes a pasteboard card bearing the words “Vehicle in Transit”, the name of the official body from which the vehicle was purchased, together with the date of the purchase plainly marked in at least one-inch letters, and other information required by the department. The in-transit card is valid for use onlywithin forty-eight hours after the purchase date as indicated on the bill of sale which shall be carried by the driver.

Approved April 6, 2006

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CH. 1023CH. 1023

CHAPTER 1023

INVESTMENT OF PUBLIC FUNDS

H.F. 537

ANACT relating to the investment of public funds by the treasurer of state, state agencies, and political subdivisions including the investment of public funds not covered by federal de- posit insurance in certificates of deposit.

Be It Enacted by the General Assembly of the State of Iowa:

Section 1. Section 12B.10, subsection 1, unnumbered paragraph 2, Code 2005, is amended to read as follows: The treasurer of state and the treasurer of each political subdivision shall at all times keep

funds coming into their possession as public money in a vault or safe to be provided for that purpose or in one ormore depositories approved pursuant to chapter 12C. However, the trea- surer of state, state agencies authorized to invest public funds, and the treasurer of each politi- cal subdivision subdivisions shall invest, unless otherwise provided, any public funds not cur- rently needed in investments authorized by this section.

80LAWS OF THE EIGHTY-FIRST G.A., 2006 SESSIONCH. 1023

Sec. 2. Section 12B.10, subsection 4, Code 2005, is amended by adding the following new paragraph: NEW PARAGRAPH. h. Investments authorized under subsection 7.

Sec. 3. Section 12B.10, subsection 5, Code 2005, is amended by adding the following new paragraph: NEW PARAGRAPH. i. Investments authorized under subsection 7.

Sec. 4. Section 12B.10, Code 2005, is amended by adding the following new subsections: NEW SUBSECTION. 7. Notwithstanding sections 12C.2, 12C.4, 12C.6, 12C.6A, and any

other provision of law relating to the deposits of public funds, if public funds are deposited in a depository, as defined in section 12C.1, any uninsured portion of the public funds invested through the depository may be invested in certificates of deposit arranged by the depository that are issued by one or more federally insured banks or savings associations regardless of location for the account of the public funds depositor if all of the following requirements are satisfied: a. The full amount of the principal and any accrued interest of each certificate of deposit

issued shall be covered by federal deposit insurance. b. Thedepository, either directly or throughanagent or subcustodian, shall act as custodian

of the certificates of deposit. c. The day the certificates of deposit are issued, the depository shall have received deposits

in an amount eligible for federal deposit insurance from, and issued certificates of deposit to, customers of other financial institutions wherever located that are equal to or greater than the amount of public funds invested under this subsection by the public funds depositor through the depository. NEW SUBSECTION. 8. As used in this section, “public funds” means the same as defined

in section 12C.1, subsection 2.

Sec. 5. Section 12C.22, subsection 2, unnumbered paragraph 1, Code 2005, is amended to read as follows: The amount of the collateral required to be pledged by a bank shall at all times equal or ex-

ceed the total of the amount by which the public funds deposits in the bank exceeds the total capital of thebank. For purposes of this section, deposits that complywith section 12B.10, sub- section 7, that are evidencedeither byoneormore certificates of deposit, or oneormoreorders for the next business day settlement and issuance of certificates of deposit, by a federally in- sured bank or savings association other than the depository, shall not be deemed public fund1

deposits in the bank or savings association. For purposes of this chapter, unless the context otherwise requires, “total capital of the bank”means its tier one capital plus both of the follow- ing components of tier two capital:

Sec. 6. Section 12C.23A, subsection 3, paragraph d, Code 2005, is amended to read as fol- lows: d. If the loss of public funds is not covered by federal deposit insurance and the proceeds

of the closed bank’s assets that are liquidated within thirty days of the closing of the bank are not sufficient to cover the loss, then any further payments to cover the loss will come from the state sinking fund forpublic deposits in banks. If thebalance in that sinking fund is inadequate to pay the entire loss, then the treasurer shall obtain the additional amount needed bymaking an assessment against other banks whose public funds deposits exceed federal deposit insur- ance coverage. A bank’s assessment shall be determined by multiplying the total amount of the remaining loss to all public depositors in the closed bank by a percentage that represents the assessed bank’s proportional share of the total of uninsured public funds deposits held by all banks and all branches of out-of-state banks, based upon the average of the uninsured pub- lic funds of the assessed bank or branch of an out-of-state bank as of the end of the four calen- dar quarters prior to the date of closing of the closed bank and the average of the uninsured public funds in all banks and branches of out-of-state banks as of the end of the four calendar

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1 The word “funds” probably intended

81 LAWS OF THE EIGHTY-FIRST G.A., 2006 SESSION CH. 1025

quarters prior to thedateof closingof the closedbank, excluding theamountofuninsuredpub- lic funds held by the closed bank at the end of the four calendar quarters. Each bank shall pay its assessment to the treasurer of state within three business days after it receives notice of assessment. For purposes of this section, when calculating uninsured public funds, a bank shall include all deposits of customers of other financial institutions as permitted by section 12B.10, subsection 7.

Approved April 6, 2006

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CH. 1024CH. 1024

CHAPTER 1024

WAGE CLAIM REPRESENTATION IN RECEIVERSHIP OR SEIZURE ACTIONS — LABOR COMMISSIONER

H.F. 2505

ANACT authorizing the labor commissioner to represent laborers or employees seekingwage claims in pending receivership or seizure actions and providing an applicability date.

Be It Enacted by the General Assembly of the State of Iowa:

Section 1. NEW SECTION. 626.76 LABOR COMMISSIONER TO REPRESENT. The labor commissioner, appointed pursuant to section 91.2, may, at the labor commission-

er’s discretion, represent laborers or employees seeking payment for labor or wage claims from the receiver, trustee, or assignee, or the court, or the person charged with the property, in accordance with and subject to the provisions of sections 626.69 and 626.71.

Sec. 2. APPLICABILITY. This Act is applicable to all labor or wage claims in receivership or seizure actions pending on or after the effective date of this Act.

Approved April 6, 2006

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CH. 1025CH. 1025

CHAPTER 1025

LABOR OR WAGE CLAIMS IN RECEIVERSHIP OR SEIZURE ACTIONS — PRIORITY

H.F. 2507

ANACT relating to priority of labor orwage claims over other debtswhen an employer’s prop- erty is placed in receivership or otherwise seized by creditors.

Be It Enacted by the General Assembly of the State of Iowa:

Section 1. Section 626.69, Code 2005, is amended to read as follows: 626.69 LABOR OR WAGE CLAIMS PREFERRED. When the property of any company, corporation, firm, or person shall be seized upon by any