BILL NUMBER: S6122
SPONSOR: MARTINEZ
 
TITLE OF BILL:
An act to amend chapter 130 of the laws of 1998, amending the general
municipal law relating to temporary investments by local governments, in
relation to extending the expiration of the provisions thereof
 
PURPOSE:
The purpose of this bill is to extend the authority granted to local
governments to invest in additional types of products.
 
SUMMARY OF PROVISIONS:
Section 1. amends section 2 of chapter 130 of the laws of 1998 to
provide that the provision will expire July 1, 2026
Section 2. is the enacting clause
 
JUSTIFICATION:
Currently, local governments are temporarily authorized to invest in
additional types of products, including: General obligation bonds and
notes of any state other than New York, provided that such bonds receive
the highest rating of at least one independent rating agency; obli-
gations of any corporation organized under the laws of any state,
provided that such obligations received the highest rating of two inde-
pendent rating services and that no more than $250 million is invested
in any one corporation; Bankers' acceptances maturing within 270 days
which are eligible for purchase in the open market by federal reserve
banks; obligations of, or instruments issued by, any agency or instru-
ment of the USA, including federal home loans banks, the Tennessee
Valley Authority, the Federal National Mortgage Association, Federal
Home Loan Mortgage Association, and the United States postal service,
provided that no more than $250 million is invested in any one agency;
no load money market mutual funds, provided that such funds are limited
to investments in obligations of agencies or instrumentalities of the
USA, where payment is guaranteed by the USA. This bill would extend the
authorization currently provided to July 1, 2026.
 
FISCAL IMPLICATIONS:
None
 
EFFECTIVE DATE:
This act shall take effect immediately; provided however, that is this
act shall have become law after July 1, 2023 it shall be deemed to have
been in full force and effect on and after July, 1 2023.