§ 21-03-43 — Investment of sinking funds

Taking care that enough cash is retained always in the sinking fund to provide for annual
payments of principal and interest, the surplus, if any, may be loaned or invested under the
direction of the proper governing body as follows:
1. In the outstanding bonds for the payment of which the sinking fund is required, at any
price not exceeding the principal, accrued interest, and a premium of not to exceed
two years' interest on such bonds.
2. In interest-bearing bonds of the United States, or of the state of North Dakota, or of
any municipality as defined in section 21-03-01.
3. In conformity with the provisions of chapter 21-04.
Investments of the class specified in subsection 2 continue a part of the sinking fund and must
be held in custody of the treasurer of the municipality. Bonds representing such investments
may be sold by the governing body at any time, but the money received remains, until used, a
part of the sinking fund.