124.476 Investments; use of investment income.

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A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

Sec. 26.

(1)The public authority may invest any of its money in 1 or more of the following:

(a)Direct obligations of the United States and obligations the principal and interest of which are unconditionally guaranteed by the United States.

(b)Certificates of deposit issued or bank accounts in any bank, trust company, or savings institution whose deposits are insured by the federal deposit insurance corporation or federal savings and loan insurance company.

(c)Prime commercial paper having the highest rating given by a rating service which the department of treasury determines rates the majority of the bond and note issues of the state.

(d)Repurchase agreements with any bank or trust company which is a member of the federal deposit insurance corporation and which are secured by any of the types of securities which are obligations described in subdivisions (a), (b), or (c).

(2)Investment income may be used by the public authority for any purpose for which any other money of the public authority may be used and may be pledged or dedicated in whole or in part to a special purpose including payment of debt service on bonds or notes, as the board determines.

History: 1986, Act 196, Imd. Eff. July 10, 1986