§ 35-185.02 — Treasurer's warrant note redemption fund; receipt; appropriation

Arizona § 35-185.02

• Jurisdiction: Arizona
• Title 35: Arizona Revised Statutes
• Ch. 1: BUDGETARY AND FISCAL PROVISIONS FOR STATE AGENCIES
• Art. 5: Fiscal Procedures, Controls and Reports

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A. The treasurer's warrant note redemption fund is established. Any time treasurer's warrant notes are issued and remain outstanding, all monies that would otherwise be paid into the state general fund, except for amounts sufficient to pay the salaries of constitutional officers of this state, shall be deposited in the treasurer's warrant note redemption fund. All monies in the treasurer's warrant note redemption fund shall be used exclusively to pay the principal of and interest on treasurer's warrant notes, and to pay the fees and charges authorized by this chapter. Monies in the treasurer's warrant note redemption fund shall be invested by the state treasurer, or a paying agent appointed pursuant to section 35-185.01, subsection K, and shall be credited to the treasurer's warrant note redemption fund.

B. If all warrant notes have been redeemed and the principal of and interest on such warrant notes have been paid along with any fees and charges authorized by this chapter, the paying agent shall return all unused and unneeded monies to the treasurer and the treasurer shall transfer any remaining amounts in the treasurer's warrant note redemption fund to the state general fund.

C. All monies deposited in the treasurer's warrant note redemption fund are appropriated to the state treasurer to pay the principal of and interest on outstanding treasurer's warrant notes and to pay any fees and charges authorized by this chapter. The amount appropriated to the treasurer pursuant to this subsection constitutes a continuing appropriation and shall not exceed the sum of the face values of the treasurer's warrant notes issued plus an additional one-fifth of that sum for paying interest on the treasurer's warrant notes and fees and charges authorized by this chapter. The state treasurer, if authorized by the state loan commission, may provide for the payment of a premium on redemption and payment of warrant notes before the maturity date established at the time of issuance.

D. The presentation on or after the maturity date or earlier call date of a treasurer's warrant note shall constitute full and sufficient authority for the state treasurer or a paying agent appointed pursuant to section 35-185.01, subsection K to disburse public monies from the treasurer's warrant note redemption fund in the amount stated on the face of the treasurer's warrant note plus any interest and prior redemption premiums, if applicable, when due.

E. All amounts deposited in the treasurer's warrant note redemption fund are pledged and held in trust for the benefit of the holders of the treasurer's warrant notes for the exclusive payment of the principal of and interest on outstanding treasurer's warrant notes and the payment of the fees and charges authorized by this chapter. All monies so pledged and received by the treasurer to be placed in the treasurer's warrant note redemption fund are immediately deemed assigned to and held in trust, without notice or recording of any nature whatsoever, for the holders of outstanding treasurer's warrant notes and other persons to be paid as provided by this article.