South Carolina General Assembly
114th Session, 2001-2002

Scroll to History Page
Scroll to Previous Versions Links List
Scroll to Full Text
Download This Bill in Microsoft Word format

Bill 4715


Indicates Matter Stricken
Indicates New Matter


                    Current Status

Bill Number:                      4715
Type of Legislation:              General Bill GB
Introducing Body:                 House
Introduced Date:                  20020212
Primary Sponsor:                  Harrison
All Sponsors:                     Harrison
Drafted Document Number:          l:\council\bills\bbm\10744htc02.doc
Residing Body:                    House
Current Committee:                Labor, Commerce and Industry Committee 26 
                                  HLCI
Subject:                          FDIC limit, state funds deposited by 
                                  State Treasurer in excess of; required 
                                  security in form of letters of credit


                        History

Body    Date      Action Description                     Com     Leg Involved
______  ________  ______________________________________ _______ ____________
House   20020411  Recommitted to Committee               26 HLCI
House   20020410  Committee report: Favorable            26 HLCI
House   20020212  Introduced, read first time,           26 HLCI
                  referred to Committee


              Versions of This Bill
Revised on April 10, 2002 - Word format

View additional legislative information at the LPITS web site.


(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

Indicates Matter Stricken

Indicates New Matter

COMMITTEE REPORT

April 10, 2002

    H. 4715

Introduced by Rep. Harrison

S. Printed 4/10/02--H.

Read the first time February 12, 2002.

            

THE COMMITTEE ON

LABOR, COMMERCE AND INDUSTRY

    To whom was referred a Bill (H. 4715) to amend Section 11-13-60, as amended, Code of Laws of South Carolina, 1976, relating to the security required for state funds in excess of the Federal Deposit Insurance limit, etc., respectfully

REPORT:

    That they have duly and carefully considered the same and recommend that the same do pass:

HARRY F. CATO for Committee.

            

A BILL

TO AMEND SECTION 11-13-60, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE SECURITY REQUIRED FOR STATE FUNDS IN EXCESS OF THE FEDERAL DEPOSIT INSURANCE LIMIT DEPOSITED BY THE STATE TREASURER IN A BANK OR SAVINGS AND LOAN ASSOCIATION, SO AS TO ALLOW SECURITY FOR THESE DEPOSITS IN THE FORM OF LETTERS OF CREDIT, AND TO PROVIDE THE REQUIREMENTS FOR THESE LETTERS OF CREDIT.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION    1.    Section 11-13-60 of the 1976 Code, as last amended by Act 327 of 1990, is further amended to read:

    "Section 11-13-60.    A bank or savings and loan association, upon the deposit of state funds by the State Treasurer in excess of insurance coverage by the Federal Deposit Insurance Corporation, shall furnish an indemnity bond in a responsible surety company authorized to do business in this State in an amount that will protect the State against loss in the event of insolvency or liquidation of the institution or for any other cause. A bank or savings and loan association, in lieu of the indemnity bond, may pledge as collateral for the deposits, obligations of the United States, obligations fully guaranteed both as to principal and interest by the United States, obligations of the Federal National Mortgage Association, the Federal Home Loan Bank, Federal Farm Credit Bank, the Federal Home Loan Mortgage Corporation, or general obligations of this State or any political subdivision of it. The State Treasurer shall exercise prudence in accepting the securities listed as collateral. The surety or collateral must be filed with the State Treasurer at time of deposit. A bank or savings and loan association, upon the deposit of state funds by the State Treasurer, must secure these deposits by deposit insurance, surety bonds, collateral securities, or letters of credit to protect the State against loss in the event of insolvency or liquidation of the institution or for any other cause. To the extent that these deposits exceed the amount of insurance coverage provided by the Federal Deposit Insurance Corporation, the bank or savings and loan association, at the time of deposit, shall:

    (1)    furnish an indemnity bond in a responsible surety company authorized to do business in this State; or

    (2)    pledge as collateral:

        (a)    obligations of the United States;

        (b)    obligations fully guaranteed both as to principal and interest by the United States;

        (c)    general obligations of this State or any political subdivision of this State; or

        (d)    obligations of the Federal National Mortgage Association, the Federal Home Loan Bank, Federal Farm Credit Bank, or the Federal Home Loan Mortgage Corporation; or

    (3)    provide an irrevocable letter of credit issued by the Federal National Mortgage Association, the Federal Home Loan Bank, Federal Farm Credit Bank, or the Federal Home Loan Mortgage Corporation, in which the State Treasurer is named as beneficiary and the letter of credit otherwise meets the criteria established and prescribed by the State Treasurer. The State Treasurer shall exercise prudence in accepting collateral securities or other forms of deposit security."

SECTION    2.    This act takes effect upon approval by the Governor.

----XX----


This web page was last updated on Tuesday, December 8, 2009 at 11:36 A.M.