As used in this part 7, unless the context otherwise
requires:
(1) Administrator means the administrator of a local government
investment pool trust fund created pursuant to section 24-75-703.
(2) Board or board of trustees means the board of trustees composed of
members that are selected from among the treasurers or other local officials
empowered to invest the funds of local governments pursuant to section 24-75-703 (2), and any other independent and unaffiliated trustees named by such
members.
(3) Custodian means a designee located in the state of Colorado, with
authority, including control, over public funds of a local government investment
pool trust fund. For purposes of this subsection (3), control includes possession of
public funds of a local government investment pool trust fund, as well as the
authority to establish accounts for such public funds in banks and to make deposits,
withdrawals, or disbursements of such public funds. If the exercise of authority over
such public funds requires action by or the consent of two or more putative
custodians, then such custodians shall be treated as one custodian with respect to
such public funds.
(4) Financial institution means an institution, with its primary place of
business in this state and authorized by its charter to exercise fiduciary powers,
that is a state bank, savings and loan association, or trust company chartered by
this state, a national bank organized or chartered under chapter 2 of title 12 of the
United States Code, or a federal savings and loan association organized or
chartered under chapter 12 of title 12 of the United States Code.
(5) (a) Investment adviser means, except as provided in paragraph (b) of
this subsection (5), any person who, for compensation, engages in the business of
advising others, either directly or through publications or writings, as to the value of
securities or as to the advisability of investing in, purchasing, or selling securities or
who, for compensation and as part of a regular business, issues or promulgates
analyses or reports concerning securities. Investment adviser also includes
financial planners and other persons who, as an integral component of other
financially related services, provide such investment advisory services to a local
government investment pool trust fund for compensation or who hold themselves
out as providing investment advisory services to a local government investment
pool trust fund for compensation.
(b) Investment adviser does not include:
(I) A publisher of any bona fide newspaper, magazine, or business or financial
publication with a regular and paid circulation; a publisher of any securities advisory
newsletter with a regular and paid circulation which does not provide advice to
subscribers on their specific investment situations; or any author of material
included in any such newspaper, magazine, publication, or newsletter who does not
otherwise come within the definition of an investment adviser or investment
adviser representative;
(II) An investment adviser representative;
(III) A broker-dealer or sales representative for a broker-dealer licensed by
the securities commissioner whose performance of investment advisory services is
solely incidental to the conduct of its business as a broker-dealer and who receives
no special compensation for such services;
(IV) A financial institution or any person employed by or directly associated
with a financial institution;
(V) A lawyer, certified public accountant, professional engineer, professional
geologist, or teacher, if such person:
(A) Does not take possession of the funds or securities of a local government
investment pool trust fund in connection with providing investment advisory
services; and
(B) Does not receive commissions or other compensation, directly or
indirectly, from the sale of any security to any local government investment pool
trust fund to whom such person provides advice about the value or advisability of
investing in such security; and
(C) Does not engage in the business of advising a local government
investment pool trust fund as to the value of securities or as to the advisability of
investing in, purchasing, or selling securities and provides such advice, if at all, in a
manner solely incidental to the practice of the person's profession;
(VI) Any official, employee, or representative of the United States, any state,
any political subdivision of a state, or any agency or body corporate or other
instrumentality thereof, acting in such person's official capacity on behalf of such
entity;
(VII) Any other person or class of persons the securities commissioner
designates by rule or order.
(6) Investment adviser representative means any individual who is a
partner, officer, or director of an investment adviser, who occupies a similar status
with or performs similar functions for an investment adviser, or who is employed or
otherwise associated with an investment adviser, except clerical or ministerial
personnel, and who:
(a) Makes any recommendations or otherwise renders advice regarding
securities;
(b) Manages accounts or portfolios of clients of the investment adviser;
(c) Determines which recommendation or advice regarding securities should
be given;
(d) Solicits, offers, negotiates for the sale of, or sells, investment advisory
services; or
(e) Supervises employees who perform any of the duties specified in this
subsection (6).
(7) Investment advisory services means those activities performed by a
person in connection with such person's engaging in any of the activities described
in paragraph (a) of subsection (5) of this section.
(8) Local government means any county, city and county, town, school
district, special district, or other political subdivision of the state, or any
department, agency, or instrumentality thereof, or any political or public
corporation of the state.
(9) Local government investment pool trust fund means the trust fund
created pursuant to section 24-75-703, that is comprised of moneys deposited by
participating local governments in such trust fund and held by a custodian.
(10) Participating local government means a local government that
participates in a local government investment pool trust fund.
(11) Securities commissioner means the commissioner of securities created
by section 11-51-701, C.R.S.
(12) Trust fund means a local government investment pool trust fund.