Indiana § 5-13-9-3 Repurchase agreements; funds held by officer and available for
investment; obligations held as collateral

Indiana Statutes

§ 5-13-9-3 — Repurchase agreements; funds held by officer and available for investment; obligations held as collateral

Indiana § 5-13-9-3

Title 5STATE AND LOCAL ADMINISTRATION

Art. 13INVESTMENT OF PUBLIC FUNDS

Ch. 9Deposit and Investment Powers

This text of Indiana § 5-13-9-3 (Repurchase agreements; funds held by officer and available for investment; obligations held as collateral) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 5-13-9-3 (2026).

Text

(a)As used in this section, "repurchase agreement" means an agreement:

(1)involving the purchase and guaranteed resale of securities between two (2) parties; and

(2)that may be entered into for a fixed term or arranged on an open or a continuing basis as a continuing contract that:

(A)operates like a series of overnight repurchase agreements;

(B)is renewed each day with the repurchase rate and the amount of funds invested determined daily; and

(C)for purposes of this article, is considered to have a stated final maturity of one (1) day.

(b)Each officer designated in section 1 of this chapter may enter into, with any funds that are held by the officer and available for investment, repurchase agreements:

(1)with depositories designated by the state board of finance as depositories fo

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(a) As used in this section, "repurchase
agreement" means an agreement:
(1) involving the purchase and guaranteed resale of securities
between two (2) parties; and
(2) that may be entered into for a fixed term or arranged on an
open or a continuing basis as a continuing contract that:
(A) operates like a series of overnight repurchase agreements;
(B) is renewed each day with the repurchase rate and the
amount of funds invested determined daily; and
(C) for purposes of this article, is considered to have a stated
final maturity of one (1) day.
(b) Each officer designated in section 1 of this chapter may enter
into, with any funds that are held by the officer and available for
investment, repurchase agreements:
(1) with depositories designated by the state board of finance as
depositories for state deposits under IC 5-13-9.5; and
(2) involving the political subdivision's purchase and guaranteed
resale of any interest-bearing obligations:
(A) issued; or
(B) fully insured or guaranteed;
by the United States, a United States government agency, an
instrumentality of the United States, or a federal government
sponsored enterprise.
The depository shall determine daily that the amount of money in this
type of agreement must be fully collateralized by interest-bearing
obligations as determined by their current market value. The collateral
for this type of agreement is not subject to the provisions of section
2(c) of this chapter.
(c) If the market value of the obligations being held as collateral
falls below the level required under subsection (b) or a higher level
established by agreement, the depository shall deliver additional
securities to the political subdivision to make the agreement
collateralized to the applicable level. The collateral involved in a
repurchase agreement entered into under this section is not subject to
the maturity limitation provided in section 5.6 of this chapter.
(d) A political subdivision may invest in repurchase agreements
without entering into a contract under IC 5-13-11 for an investment
cash management system.