ISSUE 11 - March 23, 2012

Government deposits

On Monday, March 19, the House unanimously approved SB 1135 (government deposits) by a vote of 58-0. The bill, sponsored by Senator John McComish (R-Phoenix), previously passed the Senate by a vote of 29-0. The League supports the measure, which now proceeds to Governor Brewer for her likely signature.

The bill authorizes municipalities to invest surplus funds and other monies not used for operating costs into federally insured savings deposit accounts through Insured Cash Sweep (ICS). ICS is a deposit placement service that allows for a depositor's funds to be swept from a transaction or checking account into savings accounts (interest-bearing money market accounts). ICS allocates the funds to accounts in banks throughout the country in amounts less than the Federal Deposit Insurance Corporation (FDIC) insurance maximum of $250,000 so that both principal and interest are eligible for FDIC insurance.



Legislative Bulletin is published by the League of Arizona Cities and Towns.
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Issue 11 - March 23, 2012
Issue 11 - March 23, 2012
Issue 11 - March 23, 2012
Issue 11 - March 23, 2012
Issue 11 - March 23, 2012
Issue 11 - March 23, 2012
Issue 11 - March 23, 2012