The bill H. 3221 aims to amend Section 6-5-15 of the South Carolina Code of Laws, which pertains to the securing of deposits of funds by local entities. The amendment introduces provisions that specifically address credit unions and the National Credit Union Share Insurance Fund, thereby expanding the scope of qualified public depositories to include these financial institutions. The bill outlines the requirements for securing deposits that exceed the insurance coverage provided by federal entities, such as the Federal Deposit Insurance Corporation and the National Credit Union Share Insurance Fund. It also details the options available to qualified public depositories for securing uninsured funds, including the Dedicated Method and the Pooling Method.

Additionally, the bill emphasizes the importance of prudence in accepting collateral securities and mandates that qualified public depositories must not accept or retain any funds that are required to be secured unless they have deposited eligible collateral equal to the required amount. The act will take effect upon approval by the Governor, ensuring that local entities can effectively manage their funds while adhering to the new regulations regarding deposit security.

Statutes affected:
12/05/2024: 6-5-15
Latest Version: 6-5-15
12/06/2024: 6-5-15