S.B. 49

VETOES

(6)      [in securities of, or other interests in, any open-end or closed-end
management type investment company or investment trust registered under the provisions
of the federal Investment Company Act of 1940, 15 U.S.C. § 80a-1 et seq., if:

(i) the portfolio of the open-end or closed-end management type
investment company or investment trust is limited to direct obligations of the United
States government and to repurchase agreements fully collateralized by United States
government obligations; and

(ii) the open-end or closed-end management type investment
company or investment trust takes delivery of that collateral, either directly or through an
authorized custodian] COMMERCIAL PAPER THAT HAS RECEIVED THE HIGHEST
LETTER AND NUMERICAL RATING BY AT LEAST ONE NATIONALLY RECOGNIZED
STATISTICAL RATING ORGANIZATION AS DESIGNATED BY THE UNITED STATES
SECURITIES AND EXCHANGE COMMISSION OR AS APPROVED BY THE TREASURER;,
PROVIDED THAT SUCH COMMERCIAL PAPER MAY NOT EXCEED 5% 4% OF THE
TOTAL INVESTMENTS MADE BY THE TREASURER UNDER THIS SUBSECTION;

(7) CERTIFICATES OF DEPOSIT THAT HAVE RECEIVED THE HIGHEST
LETTER AND NUMERICAL RATING BY AT LEAST ONE NATIONALLY RECOGNIZED
STATISTICAL RATING ORGANIZATION AS DESIGNATED BY THE UNITED STATES
SECURITIES AND EXCHANGE COMMISSION OR AS APPROVED BY THE TREASURER;

(8)      MONEY MARKET MUTUAL FUNDS THAT CONTAIN ONLY SECURITIES
OF THE ORGANIZATIONS LISTED IN PARAGRAPHS (1) AND (2) OF THIS SUBSECTION
AND WHICH ARE REGISTERED UNDER SECURITIES AND EXCHANGE' COMMISSION
RULE 2A-7 OF THE INVESTMENT COMPANY ACT OF 1940 AS AMENDED; AND

(7)      MONEY MARKET FUNDS REGISTERED WITH THE SECURITIES AND
EXCHANGE COMMISSION UNDER THE INVESTMENT COMPANY ACT OF 1940, 15 U.S.C. §
80(A), AS AMENDED, AND OPERATED IN ACCORDANCE WITH RULE 2A-7 OF THE
INVESTMENT COMPANY ACT OF 1940, 17 C.F.R. § 270.2A-7, AS AMENDED, AND THAT
HAVE RECEIVED THE HIGHEST POSSIBLE RATING FROM AT LEAST ONE
NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION AS DESIGNATED
BY THE SECURITIES AND EXCHANGE COMMISSION; AND

(9)      (8) ANY INVESTMENT PORTFOLIO CREATED UNDER THE
MARYLAND LOCAL GOVERNMENT INVESTMENT POOL DEFINED UNDER ARTICLE 95,
§ 22G OF THE CODE THAT IS ADMINISTERED BY THE OFFICE OF THE STATE
TREASURER..

(b)     The Treasurer may sell, redeem, or exchange an investment or reinvestment
made under this section IN ACCORDANCE WITH THE LIMITATIONS OF THIS SECTION.

(c)      [(1)]Subject to § 2-1312 of the State Government Article, the Treasurer shall
report by January 3 of each year to the General Assembly on [any investments made
under subsection (a)(6) of this section] INVESTMENT ACTIVITIES FOR UNEXPENDED
OR SURPLUS MONEY OVER WHICH THE TREASURER HAS CUSTODY WHICH HAVE
BEEN CONDUCTED DURING THE PREVIOUS FISCAL YEAR. AT A MINIMUM, THE
REPORT SHALL SPECIFY FOR GENERAL FUND INVESTMENTS AND ALL OTHER
INVESTMENTS:

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