HARRY HUGHES, Governor

921

THE STATE, UNEXPENDED OR SURPLUS MONEY OVER WHICH THE TREASURER
HAS CUSTODY IF:

(1)  THE DEPOSIT IS INTEREST BEARING; AND

(2)  AS PROVIDED FOR A DEPOSITARY FOR STATE MONEY:

(I)  THE FINANCIAL INSTITUTION PROVIDES
COLLATERAL THAT HAS A MARKET VALUE THAT EQUALS OR EXCEEDS THE
AMOUNT BY WHICH A DEPOSIT EXCEEDS THE DEPOSIT INSURANCE; AND

(II)  A CUSTODIAN HOLDS THE COLLATERAL.

(B) SALE, REDEMPTION, AND EXCHANGE.

THE TREASURER MAY SELL, REDEEM, OR EXCHANGE AN INVESTMENT OR
REINVESTMENT MADE UNDER THIS SECTION.

REVISOR'S NOTE: Subsections (a)(1) and (b) of this section
are new language derived without substantive change
from former Art. 95, § 22F(a)(3).

Subsection (a)(2) of this section is new language
substituted for the former requirement "shall be
collateralized in the manner set forth in § 21A of
this article", for clarity. The substituted language
incorporates the duties as to collateral and
custodian, which now appear in § 6-209 of this
subtitle.

The introductory language of subsection (a) of this
section, "[e]xcept as otherwise prohibited by law," is
added as a general reference to Art. 49B, § 22(b) of
the Code, which prohibits deposits with financial
institutions that engage in discriminatory practices.

In the introductory clause of subsection (a) of this
section, the new defined term "financial institution"
is substituted for the former reference to "a bank,
savings and loan association, or building and loan
association", to conform to the balance of this
subtitle. See revisor's note to § 6-201(e) of this
subtitle.

Defined terms: "Collateral" § 6-201
"Deposit insurance" § 6-201
"Financial institution" § 6-201

6-224. MARYLAND ENVIRONMENTAL SERVICE.

(A) AUTHORIZED.

NOTWITHSTANDING ANY OTHER PROVISION OF LAW, THE TREASURER
MAY INVEST OR REINVEST UNEXPENDED OR SURPLUS STATE MONEY IN
OBLIGATIONS THAT THE MARYLAND ENVIRONMENTAL SERVICE ISSUES FOR A
CAPITAL PROJECT IF: