Section 10-B4803. REQUIRED COLLATERAL

 

4803.1Both the principal and interest of any public funds invested in repurchase agreements shall be fully secured by obligations of the United States government or its agencies.

 

4803.2The Deputy Mayor for Financial Management shall receive the required collateral at or before the close of the business day on which the investment is made.

 

4803.3No collateral shall be returned to a financial institution except upon the repayment of the public funds invested with that financial institution.

 

4803.4Any financial institution may, with the approval of the Deputy Mayor for Financial Management, substitute different and acceptable collateral of the type specified in §4803.1.

 

4803.5Each financial institution shall give the Deputy Mayor for Financial Management a power of attorney authorizing him or her to transfer any collateral or any part of the collateral for the purpose of repaying any investment made under this chapter.

 

4803.6Upon the default or insolvency of any financial institution, or if the Deputy Mayor for Financial Management believes that the liquidity or safety or any public funds invested with any financial institution will be jeopardized by delay, he or she shall immediately take all steps consistent with applicable law to sell as much collateral as may be necessary to recover all public funds, including interest accrued thereon, invested with that financial institution.

 

source

Final Rulemaking published at 32 DCR 5098, 5100 (September 6, 1985).