2526                                              LAWS OF MARYLAND                         [Ch. 731

(2)    OBLIGATIONS OF THE WORLD BANK AND THE
INTER-AMERICA DEVELOPMENT BANK;

(3)    OBLIGATIONS ISSUED OR GUARANTEED BY AN
AGENCY OF THE UNITED STATES GOVERNMENT;

(4) STUDENT LOANS GUARANTEED BY THE UNITED
STATES GOVERNMENT OR THE STATE OF MARYLAND;

(5) [[OBLIGATIONS OF ANY STATE, COUNTY, CITY
OS OTHER GOVERNMENTAL AUTHORITIES AND INSTRUMENTALITIES
WHICH ARE FATED BAA OR HIGHER BY A RECOGNIZED RATING
AGENCY AND ARE NOT IN DEFAULT AS TO PAYMENTS ON PRINCIPAL
OR INTEREST]] FEDERAL DEPOSIT INSURANCE CORPORATION
INSURANCE.

(6) OBLIGATIONS OF STATE, COUNTY, CITY OR
OTHER GOVERNMENTAL AUTHORITIES AND INSTRUMENTALITIES OF
MARYLAND.

(B)         THE MARKET VALUE OF COLLATERAL GIVEN AS

SECURITY FOR DEPOSITS OF STATE MONIES SHALL AT ALL TIMES

BE EQUAL TO NOT LESS THAN 100% OF THE STATE MONIES IN
DEPOSIT.

(c)    (1) collateral pledged for public deposits
shall be delivered to a custodian for the benefit of the
state of maryland, a banking institution may act as
custodian unless disapproved for this purpose by the
comptroller of the currency in the case of a national
bank, or by the state bank commissioner if a state bank,
in no event may a custodian be approved unless its assets
are at least equal to 200% of the value of collateral
held for any one depository. banking institutions
outside the state of maryland may act as a custodian if
specifically approved for this purpose by the comptroller
of the currency, if a national bank, or the appropriate
state bank commissioner in the state in which the head
office of the banking institution is domiciled, if a
state bank.

(2)   the depository may make changes and
substitutions in and additions to the collateral
delivered to a custodian, subject to the duty of the
depository at all times to maintain the total amount of
assets pledged at least in the amount required for all
public deposits secured thereby.

(3)   for the purpose of this section, a
custodian means a federal reserve bank, a bank and trust
company, a trust company, or a state or national bank.

(d)   upon request of the state treasurer, a
depository shall make a report of the total amount of the