Michigan Laws 129.96 – Execution of order to purchase or trade funds of public corporation; providing copy of investment policy; public corporation subject to subsection (1); report
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Terms Used In Michigan Laws 129.96
- 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.
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Funds: means the money of a public corporation, the investment of which is not otherwise subject to a public act of this state or bond authorizing ordinance or resolution of a public corporation that permits investment in fewer than all of the investment options listed in subsection (1) or imposes 1 or more conditions upon an investment in an option listed in subsection (1). See Michigan Laws 129.91
- Governing body: means the legislative body, council, commission, board, or other body having legislative powers of a public corporation. See Michigan Laws 129.91
- Investment officer: means the treasurer or other person designated by statute or charter of a public corporation to act as the investment officer. See Michigan Laws 129.91
- Public corporation: means a county, city, village, township, port district, drainage district, special assessment district, or metropolitan district of this state, or a board, commission, or another authority or agency created by or under an act of the legislature of this state. See Michigan Laws 129.91
(1) Subject to subsection (2), before executing an order to purchase or trade the funds of a public corporation, a financial intermediary, broker, or dealer shall be provided with a copy of the public corporation‘s investment policy and shall do both of the following:
(a) Acknowledge receipt of the investment policy.
(b) Agree to comply with the terms of the investment policy regarding the buying or selling of securities.
(2) A public corporation is subject to subsection (1) beginning on the date that the investment policy of a public corporation takes effect or 180 days after the end of the public corporation’s first fiscal year ending after the effective date of the amendatory act that repealed section 2, whichever is earlier.
(3) The investment officer shall provide quarterly a written report to the governing body concerning the investment of the funds.