Maryland Code, STATE FINANCE AND PROCUREMENT 6-225
Terms Used In Maryland Code, STATE FINANCE AND PROCUREMENT 6-225
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- including: means includes or including by way of illustration and not by way of limitation. See
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- state: means :
(1) a state, possession, territory, or commonwealth of the United States; or
(2) the District of Columbia. See
(1) a financial institution holds the obligation; and
(2) the Governor approves the financial institution.
(b) (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) 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.