Indiana § 5-13-9-3.5 Investment and reinvestment of funds; participation in loans; lending
securities

Indiana Statutes

§ 5-13-9-3.5 — Investment and reinvestment of funds; participation in loans; lending securities

Indiana § 5-13-9-3.5

Title 5STATE AND LOCAL ADMINISTRATION

Art. 13INVESTMENT OF PUBLIC FUNDS

Ch. 9Deposit and Investment Powers

This text of Indiana § 5-13-9-3.5 (Investment and reinvestment of funds; participation in loans; lending securities) 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 § 5-13-9-3.5 (2026).

Text

5.

(a)The fiscal officer of a political subdivision or county treasurer that is located in a county containing a consolidated city may invest or reinvest any funds that are held by the fiscal officer or the county treasurer and that are available for investment in participations in loans. However, funds may be invested or reinvested in a participation in loans under this subsection only under the following conditions:

(1)The principal of the participation in loans must be guaranteed by an agency or instrumentality of the United States government.

(2)The participation in loans must be represented by a certificate issued by a bank that is:

(A)incorporated under the laws of Indiana, another state, or the United States; and

(B)insured by the Bank Insurance Fund of the Federal Deposit Insu

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5. (a) The fiscal officer of a political
subdivision or county treasurer that is located in a county containing a
consolidated city may invest or reinvest any funds that are held by the
fiscal officer or the county treasurer and that are available for
investment in participations in loans. However, funds may be invested
or reinvested in a participation in loans under this subsection only
under the following conditions:
(1) The principal of the participation in loans must be guaranteed
by an agency or instrumentality of the United States government.
(2) The participation in loans must be represented by a certificate
issued by a bank that is:
(A) incorporated under the laws of Indiana, another state, or the
United States; and
(B) insured by the Bank Insurance Fund of the Federal Deposit
Insurance Corporation.
(b) Funds may be invested or reinvested in a participation in loans
under subsection (a) even though the certificate representing the
participation in loans is not insured by the Bank Insurance Fund of the
Federal Deposit Insurance Corporation.
(c) A fiscal officer or county treasurer described in subsection (a)
may lend any securities acquired under this section or section 2 of this
chapter. However, securities may be lent under this subsection only if
the agreement under which the securities are lent is collateralized by:
(1) cash; or
(2) interest bearing obligations that are issued by, fully insured by,
or guaranteed by the United States, an agency of the United States
government, a federal instrumentality, or a federal government
sponsored enterprise in excess of the total market value of the
loaned securities.