HARRY HUGHES, Governor

923

NOTWITHSTANDING ANY OTHER PROVISION OF LAW, THE TREASURER
MAY INVEST OR REINVEST STATE MONEY IN ANY OBLIGATION THAT THE
MARYLAND HIGHER EDUCATION LOAN CORPORATION GUARANTEES IF:

(1)  A FINANCIAL INSTITUTION HOLDS THE OBLIGATION; AND

(2)  THE GOVERNOR APPROVES THE FINANCIAL INSTITUTION.

(B)  CONDITIONS AND LIMITATIONS.

(1)  THE TREASURER MAY SET THE CONDITIONS OF THE
INVESTMENT OR REINVESTMENT, INCLUDING THE TERM AND ANY SERVICE
CHARGE.

(2)  THE INVESTMENTS AND REINVESTMENTS UNDER THIS
SECTION MAY NOT EXCEED:

(I)  FOR ANY 1 OBLIGATION, 80% OF ITS PRINCIPAL;

(II)  FOR ANY 1 FINANCIAL INSTITUTION, THE
AMOUNT BY WHICH ITS HOLDINGS IN THE OBLIGATIONS EXCEED 1% OF THE
TOTAL DEPOSITS OF THE FINANCIAL INSTITUTION; AND

(III)  FOR ALL OBLIGATIONS, $10,000,000.

(C)  COLLECTING AGENT.

IF THE TREASURER INVESTS OR REINVESTS IN AN. OBLIGATION UNDER
THIS SECTION, THE FINANCIAL INSTITUTION THAT HOLDS THE OBLIGATION
IS THE COLLECTING AGENT OF THE STATE FOR THE INVESTMENT OR
REINVESTMENT.

REVISOR'S NOTE: This section is new language derived
without substantive change from former Art. 95, §
23(a).

The new defined term "financial institution" is
substituted for the former references to "banks
(including commercial banks, ... and building and loan
associations)" and "ban[k]", for clarity and
conformity. See revisor's note to § 6-201(e) of this
subtitle.

Defined terms: "Financial institution" § 6-201
"Includes";"including" § 1-101

6-226. INTEREST.

EXCEPT AS OTHERWISE SPECIFICALLY PROVIDED BY LAW    OR BY

REGULATION OF THE TREASURER, THE TREASURER SHALL CREDIT  TO THE

GENERAL FUND ANY INTEREST ON OR OTHER INCOME FROM STATE    MONEY
THAT THE TREASURER INVESTS.

REVISOR'S NOTE: This section is new language derived
without substantive change from former Art. 95, §
22F(b)(l).