SB 300 — Regards the Treasurer of State

and paying for, 109 S.

300 Page 5 As IntroducedPending transferring,in and collecting the purchaseSenate orFinance saleCommittee priceand investments of 110an investments.owner or administrator;

Theand dutiespaying offor, the110 treasurertransferring, ofand statecollecting dothe notpurchase includeor 111sale makingprice investment decisions of an111 owner,investments. administrator, or its 112 authorized agents or monitoring compliance with an owner's or 113 administrator's internal investment policies.

The treasurerduties of 114the treasurer of state isdo not responsibleinclude for112 themaking investment decisions of an 115 owner, administrator, or agent,its 113 authorized agents or monitoring compliance with thean owner's or 116114 administrator's internal investment policies,policies. or any unlawful 117 activities of an owner, administrator, or its authorized agents.

118 (B) The treasurer of 115 state mayis enternot intoresponsible afor sub-custodythe orinvestment 119decisions otherof agencyan agreement116 withowner, aadministrator, trusteeor whoagent, meetscompliance with the requirementsowner's 120or of117 sectionadministrator's 135.18internal 1111.02investment ofpolicies, theor Revisedany Codeunlawful to118 executeactivities theof 121an custodialowner, dutiesadministrator, requiredor byits lawunderauthorized divisionagents. (A) of this 122 section.

119 (B) The treasurer of state may enter into a sub-custody or 120 other agency agreement shallwith applya trustee who meets the requirements 121 of section 135.18 1111.02 of the Revised Code to execute the 122 custodial fundsduties andrequired 123by investmentlawunder assetsdivision (A) of anthis owner123 orsection. administrator.

The agreement 124shall mayapply provideto that the trusteecustodial has primary responsibility for 125 custody of the funds and investments124 andinvestment anyassets relatedof depository 126 accounts in order to execute an owner'sowner or administrator'sadministrator. 127 instructions.

The treasureragreement of125 statemay orprovide that the treasurer'strustee 128has authorizedprimary agentresponsibility mayfor enter126 intocustody additionalof agreementsthe asfunds 129and necessaryinvestments and any related depository 127 accounts in order to facilitateexecute an owner's or administrator's 130128 transactions.instructions.

The treasurer of state or the treasurer's 129 authorized agent may enter into additional agreements as 130 necessary to facilitate an owner's or administrator's 131 Sec.transactions.

132 Sec.

(A) The treasurer of state, employees of the 132133 treasurer of state, and their bondspersons or sureties, when 133134 depositing or investing funds pursuant to this chapter and 134135 Chapter 135.

of the Revised Code, shall be relieved from any 135136 liability for the loss of any public money deposited or invested 136137 by them when they have acted pursuant to law.

Further, in no 137138 event shall liability attach to the treasurer of state or 138139 employees of the treasurer of state where the proximate cause of 139 any loss related to the investment in, sale, or liquidation of 140 S.Sub.

S.

300 Page 6 As IntroducedPending in the Senate Finance Committee any loss related to the investment in, sale, or liquidation of 141 any investment when such loss is due to a risk arising from an 141142 investment prudently made under their investment authority set 142143 forth in this chapter and Chapter 135.

143144 (B) This section applies to the deposit or investment of 144145 any public money, including funds in the following categories:

145146 (1) Active deposits of the state;

146147 (2) Interim deposits of the state;

147148 (3) The state treasurer's investment pool described in 148149 section 113.07 of the Revised Code;

149150 (4) Temporary investment pools of bond proceeds;

150151 (5) Funds in the Ohio subdivision's fund described in 151152 section 113.07 of the Revised Code;

152153 (6) Securities lending as authorized by section 135.47 of 153154 the Revised Code;

154155 (7) Investments related to any strategic reserve that the 155156 treasurer of state or employees of the treasurer of state are 156157 authorized to invest pursuant to the Revised Code.

157158 Sec.

(A) Subject to division (B) of this 158159 section, a treasurer, governing board, or investing authority of 159160 a subdivision or state entity may pay public moneys of the 160161 subdivision or state entity into the Ohio subdivision's fund, 161162 which may be established in the custody of the treasurer of 162163 state.

The treasurer of state shall invest the moneys in the 163164 fund in separately managed accounts and pooled accounts, 164165 including the state treasurer's investment pool, in the same 165166 manner, in the same types of instruments, and subject to the 166167 same limitations provided for the deposit and investment of 167 interim moneys of the state, except that the fund shall not be 168 S.Sub.

S.

300 Page 7 As IntroducedPending in the Senate Finance Committee interim moneys of the state, except that the fund shall not be 169 invested in the linked deposits authorized under section 135.61 169170 of the Revised Code.

A treasurer, governing board, or investing 170171 authority of a subdivision or state entity shall designate two 171172 or more authorized signers associated with each account of the 172173 subdivision or state entity that is managed by the treasurer of 173174 state in the treasurer of state's investment pool.

The 174175 authorized person shall deposit redemptions made from a 175176 subdivision's or state entity's account only into the 176177 subdivision's treasury or state entity's custodial account at 177178 the public depository so designated by the subdivision's 178179 governing board or the state board of deposit.

179180 (B)(1) On and after July 1, 1997, a treasurer, governing 180181 board, or investing authority of a subdivision or state entity 181182 that has not entered into an agreement with the treasurer of 182183 state under division (C) of this section shall not invest public 183184 moneys of the subdivision or state entity in a pooled account of 184185 the Ohio subdivision's fund under division (B)(6) of section 185186 135.14 of the Revised Code or division (A)(6) of section 135.35 186187 of the Revised Code if the pool does not maintain the highest 187188 letter or numerical rating provided by at least one nationally 188189 recognized statistical rating organization.

189190 (2) Upon receipt of notice that the pool does not maintain 190191 the highest letter or numerical rating required under division 191192 (B)(1) of this section, the treasurer of state shall have ninety 192193 days to obtain the required highest letter or numerical rating.

193194 If the treasurer of state fails to obtain the required highest 194195 letter or numerical rating, the treasurer of state shall have an 195196 additional one hundred eighty days to develop a plan to dissolve 196197 the pool.

The plan shall include reasonable standards for the 197198 equitable return of public moneys in the pool to those 198199 subdivisionsSub. and state entities participating in the pool.

199 S.

300 Page 8 As IntroducedPending (3)in Treasurers,the governingSenate boards,Finance orCommittee investing authorities 200 of subdivisions and state entities participating in the poolpool. 201 shall not be required to divest in the pool during the initial 202 one hundred eighty days following the treasurer of state's 203 receipt of notice under division (B)(2) of this section.

204200 (C)(3) ATreasurers, treasurer, governing board,boards, or investing authorityauthorities 205201 of asubdivisions subdivisionand or state entityentities thatparticipating wishesin to invest public 206 moneys of the subdivisionpool in202 ashall separatelynot managedbe accountrequired orto 207divest pooledin account of the Ohiopool subdivision'sduring fundthe mayinitial enter203 intoone anhundred 208eighty agreementdays withfollowing the treasurer of statestate's that204 setsreceipt forthof thenotice mannerunder 209division in(B)(2) whichof thethis moneysection. is to be invested.

The205 treasurer(C) A treasurer, governing board, or investing authority 206 of a subdivision or state 210entity shallthat wishes to invest thepublic 207 moneys of the subdivision in accordancea withseparately managed account or 208 pooled account of the agreement,Ohio 211subdivision's subjectfund tomay enter into an 209 agreement with the limitationstreasurer setof state that sets forth the manner 210 in divisionwhich (A)the ofmoney thisis 212to section.be invested.

ForThe purposestreasurer of thisstate division,211 theshall limitationinvest onthe 213moneys investments in debtaccordance interestswith providedthe inagreement, division212 (A)(11)(a)subject ofto 214 section 135.143 of the Revisedlimitations Codeset shallforth notin applydivision to(A) aof 215this subdivision's213 orsection. state entity's excess reserves.

216For (D)purposes The treasurer of state shall adopt such rules as are 217 necessary for the implementation of this section,division, including the 218limitation efficienton administration214 ofinvestments andin accountingdebt forinterests theprovided separatelyin 219division managed(A)(11)(a) accountsof and215 pooledsection accounts,135.143 includingof the stateRevised 220Code treasurer'sshall investmentnot pool,apply andto thea specification216 ofsubdivision's minimumor 221state amountsentity's thatexcess mayreserves. be paid into such pools and minimum periods of 222 time for which such payments shall be retained in the pools.

217 (D) The 223treasurer rulesof state shall provideadopt forsuch therules administrativeas expensesare of218 thenecessary 224for separatelythe managedimplementation accountsof andthis pooledsection, accounts, including the 225219 stateefficient treasurer'sadministration investmentof pool,and toaccounting befor paidthe fromseparately the220 earningsmanaged 226accounts and forpooled theaccounts, interestincluding earningsthe instate excess221 oftreasurer's suchinvestment expensespool, toand bethe 227specification creditedof tominimum the222 severalamounts treasurers,that governingmay boards,be andpaid 228into investingsuch authoritiespools participatingand inminimum aperiods poolof in223 atime mannerfor which 229such equitablypayments reflectsshall thebe differingretained amountsin ofthe theirpools. respective 230 S.

The 224 rules shall provide for the administrative expenses of the 225 separately managed accounts and pooled accounts, including the 226 state treasurer's investment pool, to be paid from the earnings 227 and for the interest earnings in excess of such expenses to be 228 credited to the several treasurers, governing boards, and 229 Sub.

S.

300 Page 9 As IntroducedPending in the Senate Finance Committee investing authorities participating in a pool in a manner which 230 equitably reflects the differing amounts of their respective 231 investments in the pool and the differing periods of time for 231232 which such amounts are in the pool.

232233 (E) The treasurer of state shall give bond with sufficient 233234 sureties, payable to the treasurers, governing boards, and 234235 investing authorities of subdivisions and state entities 235236 participating in the fund, for the benefit of the subdivisions 236237 whose moneys are paid into the fund for investment, in the total 237238 penal sum of two hundred fifty thousand dollars, conditioned for 238239 the faithful discharge of the treasurer of state's duties in 239240 relation to the fund.

240241 (F) The treasurer of state and the treasurer of state's 241242 bonders or surety are liable for the loss of any interim moneys 242243 of the state, state entities, and subdivisions invested under 243244 this section to the same extent the treasurer of state and the 244245 treasurer of state's bonders or surety are liable for the loss 245246 of public moneys under section 135.19 of the Revised Code.

246247 (G) As used in this section:

247248 (1) "Interim moneys" and "governing board" have the same 248249 meanings as in section 135.01 of the Revised Code.

249250 (2)(a) "Subdivision" has the same meaning as in section 250251 135.01 of the Revised Code, but also includes a county, a 251252 municipal corporation that has adopted a charter under Article 252253 XVIII, Ohio Constitution, or any government entity for which the 253254 fund is a permissible investment.

254255 (b) "State entity" means the general assembly, the supreme 255256 court, the court of claims, the office of an elected state 256257 officer, or a department, bureau, board, office, commission, 257 agency, institution of higher education, retirement system, or 258 otherSub. institution or instrumentality of this state established 259 S.

S.

300 Page 10 As IntroducedPending in the Senate Finance Committee agency, institution of higher education, retirement system, or 259 other institution or instrumentality of this state established 260 by the constitution or laws of this state.

260261 (c) "Public moneys of a subdivision" has the same meaning 261262 as in section 135.01 of the Revised Code, but also includes 262263 "public moneys" as defined in section 135.31 of the Revised 263264 Code, and funds held in the custody of the treasurer of state 264265 notwithstanding any limitations on the permissible investments 265266 of such funds.

266267 (3) "Treasurer" has the same meaning as in sections 135.01 267268 and 135.31 of the Revised Code.

268269 (4) "Investing authority" has the same meaning as in 269270 section 135.31 of the Revised Code.

270271 (5) "Excess reserves" means the amount of a subdivision's 271272 public moneys that exceed the average of a subdivision's annual 272273 operating expenses in the immediately preceding three fiscal 273274 years.

274275 Sec.

Except as provided in section 113.10 of the 275276 Revised Code, all All moneys deposited with the treasurer of 276277 state, the disposition of which is not otherwise provided for by 277278 law, shall be credited to the general revenue fund, which is 278279 hereby created in the state treasury.

If a warrant for the 279280 payment of money from the state treasury has been illegally or 280281 improperly issued, or the amount of a warrant exceeds the sum 281282 that should have been named therein, and payment of such warrant 282283 or excess has been made by the treasurer of state, the director 283284 of budget and management shall, unless the account of the 284285 appropriation from which it was paid has been closed, credit the 285286 amount collected to such appropriation;

but, if such account has 286 been closed, the director shall credit the amount so collected 287 toSub. the fund on which the warrant was originally drawn.

288 S.

300 Page 11 As IntroducedPending Allin investmentthe earningsSenate onFinance moneysCommittee depositedbeen inclosed, the statedirector 289shall treasurycredit shallthe beamount creditedso collected 288 to the generalfund revenueon fundwhich unless:the warrant was originally drawn.

290289 (A)All Theinvestment dispositionearnings ofon moneys deposited in the earningsstate is290 otherwisetreasury providedshall 291be forcredited byto law;the general revenue fund unless:

292291 (B)(A) The directordisposition has provided in the plan approved under 293 section 131.36 of the Revisedearnings Code that a different fund is 294otherwise entitledprovided to292 thefor earnings.by law;

293 (B) The director has provided in the plan approved under 294 section 131.36 of the Revised Code that a different fund is 295 Sec.entitled to the earnings.

296 Sec.

If upon At the conclusion of an audit there 296297 is found in the state treasury and the custodial funds of the 297298 treasurer of state the moneys, claims, bonds, notes, other 298299 obligations, stocks, and other securities, receipts or other 299300 evidences of ownership, and other intangible assets which should 300301 be in the state treasury or in the custodial funds of the 301302 treasurer of stateunder section 113.14 of the Revised Code, the 302303 auditors shall make triplicate written certificates of the fact 303304 over a report of their findings and the report shall contain 304305 their official signatures.

One of the certificates reports shall 305306 be delivered to the treasurer of state and recorded in his 306307 office, one to the auditor of state and recorded in his office, 307308 and one to the governor and recorded in his office.

308309 If upon an audit, under section 113.14 of the Revised 309310 Code, a deficiency is found in the moneys, claims, bonds, notes, 310311 other obligations, stocks, and other securities, receipts or 311312 other evidences of ownership, or other intangible assets which 312313 should be in the state treasury or in the custodial funds of the 313314 treasurer of state, or any irregularity or omission in the 314315 business of the office or in keeping accounts, the auditors 315 shall state particularly the deficiency, irregularity, or 316 omission.Sub.

317 S.

300 Page 12 As IntroducedPending Sec.in the Senate Finance Committee shall state particularly the deficiency, irregularity, or 317 omission.

113.53.318 Sec.

(A) A designated beneficiary, or a trustee or 318 guardian of a designated beneficiary who lacks capacity to enter 319 into an agreement, may apply, on forms prescribed by the 320 treasurer of state, to open a program account.

A beneficiary may 321 have only one ABLE account.

The treasurer of state may impose a 322 nonrefundable application fee.

The application shall require the 323 applicant to provide the following information:

324 (1) The name, address, social security number, and birth 325 date of the designated beneficiary;

326 (2) The name, address, and social security number of the 327 designated beneficiary's trustee or guardian, if applicable;

328 (3) Certification by the applicant that the applicant 329 understands the maximum account value and the consequences under 330 division (C) of this section for excess contributions and 331 understands how program account values exceeding the amount 332 designated under section 103 of the "Stephen Beck, Jr., ABLE Act 333 of 2014," 26 U.S.C.

529A note, may affect the applicant's 334 resources for determining the applicant's eligibility for the 335 supplemental security income program;

336 (4) Any additional information required by the treasurer 337 of state.

338 (B)(1) To qualify for a program account, a designated 339 beneficiary must be an eligible individual at the time the 340 program account is opened.

Before opening a program account, the 341 treasurer of state or program manager shall enter into an 342 agreement with the account owner that discloses the requirements 343 and restrictions on contributions and withdrawals from the 344 program account.

345 (2) Any person may make contributions to a program account 346 S.

B.

No.

300 Page 13 As Introduced after the account is opened, subject to the limitations imposed 347 by section 529A of the Internal Revenue Code and any rules 348 adopted by the secretary.

349 (C) Contributions to a program account shall be made in 350 cash.

The treasurer of state or program manager shall reject or 351 promptly withdraw a contribution to a program account if that 352 contribution would exceed the annual limits prescribed in 353 subsection (b)(2)(B) of section 529A of the Internal Revenue 354 Code.

The treasurer or program manager shall reject or promptly 355 withdraw a contribution if the value of the program account 356 equals or exceeds the maximum account value or the designated 357 beneficiary is not an eligible individual in the current 358 calendar year.

359 (D)(1) To the extent authorized by federal law, and in 360 accordance with rules adopted by the treasurer of state, an 361 account owner may change the designated beneficiary of a program 362 account to another individual.

363 (2) No account owner may use an interest in an ABLE 364 account as security for a loan.

Any pledge of an interest in an 365 account shall be void and of no force and effect.

366 (E)(1) A distribution from a program account to any 367 individual or for the benefit of any individual during a 368 calendar year shall be reported to the internal revenue service 369 and the designated beneficiary or the distributee to the extent 370 required under state or federal law.

371 (2) Statements shall be provided to each account owner of 372 a program account at least four times each year within thirty 373 days after the end of the quarterly period to which a statement 374 relates.

The statement shall identify the contributions made 375 S.

B.

No.

300 Page 14 As Introduced during the preceding quarter, the total contributions made to 376 the account through the last day of that quarter, the value of 377 the account on the last day of that quarter, distributions made 378 during that quarter, and any other information that the 379 treasurer of state requires to be reported to the account owner.

380 (3) Statements and information relating to program 381 accounts shall be prepared and filed to the extent required 382 under sections 113.50 to 113.56 of the Revised Code and any 383 other state or federal law.

384 (F) The program shall provide separate accounting for each 385 designated beneficiary.

An annual fee may be imposed upon the 386 account owner for the maintenance of a program account.

387 (G)(1) Money in an ABLE account shall be exempt from 388 attachment, execution, or garnishment as provided in section 389 2329.66 of the Revised Code.

390 (2) Unless required by federal law, money in an ABLE 391 account is not subject to claims made under the medicaid estate 392 recovery program instituted pursuant to section 5162.21 of the 393 Revised Code.

394 (H)(1) Notwithstanding any other provision of state law, 395 all of the following shall be disregarded for the purposes of 396 determining an individual's eligibility for a means-tested 397 public assistance program funded only with state, local, or 398 state and local funds and the amount of assistance or benefits 399 the individual is eligible to receive under the program:

400 (a) Any amount in an ABLE account, including earnings on 401 the account;

402 (b) Any contributions to an ABLE account;

403 S.

B.

No.

300 Page 15 As Introduced (c) Any distribution from an ABLE account for qualified 404 disability expenses.

405 (2) Division (H)(1) of this section applies only to an 406 individual who is either of the following:

407 (a) The designated beneficiary of the ABLE account;

408 (b) An individual whose eligibility for the means-tested 409 program is conditioned on the ABLE account's designated 410 beneficiary disclosing the designated beneficiary's income, 411 resources, or both to the entity administering the means-tested 412 public assistance program.

413 (3) Notwithstanding any provision of the Revised Code to 414 the contrary, all information related to an ABLE account 415 obtained by the treasurer of state under this section is not a 416 public record under section 149.43 of the Revised Code.

417 Sec.

To enhance local officials' background and 418319 working knowledge of government accounting, budgeting and 419320 financing, financial report preparation, and the rules adopted 420321 by the auditor of state, the auditor of state shall hold 421322 training programs for persons elected for the first time as 422323 township fiscal officers, city auditors, and village clerks, 423324 between the first day of December and the first day of April 424325 immediately following a general election for any of these 425326 offices.

Similar training may also be provided to any township 426327 fiscal officer, city auditor, or village clerk who is appointed 427328 to fill a vacancy or who is elected in a special election.

428329 The auditor of state also shall develop and provide an 429330 annual training program of continuing education for village 430331 clerks.

431332 The auditor of state shall determine the manner, content, 432333 S.and length of the training programs after consultation with 334 appropriate statewide organizations of local governmental 335 officials.

The auditor of state shall charge the political 336 subdivisions that the trainees represent a registration fee that 337 will meet actual and necessary expenses of the training, 338 including instructor fees, site acquisition costs, and the cost 339 of course materials.

The necessary personal expenses incurred by 340 the officials as a result of attending the training program 341 shall be borne by the political subdivisions they represent.

342 The auditor of state shall allow any other interested 343 person to attend any of the training programs that the auditor 344 of state holds pursuant to this section;

provided, that before 345 attending any such training program, the interested person shall 346 Sub.

S.

300 Page 1613 As IntroducedPending andin lengththe ofSenate Finance Committee pay to the trainingauditor programsof afterstate consultationthe withfull 433registration appropriatefee statewidethat organizationsthe 347 auditor of localstate governmentalhas 434set officials.for the training program.

348 The auditor of state shallmay chargeprovide theany politicalother 435appropriate subdivisions349 training or educational programs that themay traineesbe representdeveloped aand registration350 feeoffered thatby 436the willauditor meetof actualstate andor necessaryin expensescollaboration ofwith theone training,or 437351 includingmore instructorother fees,state siteagencies, acquisitionpolitical costs,subdivisions, andor theother cost352 438public ofor courseprivate materials.entities.

The353 necessaryThere personalis expenseshereby incurredestablished byin 439 the officialsstate astreasury athe result354 auditor of attendingstate the training program 440fund, shallto be borneused by the political355 subdivisionsauditor theyof represent.state for the actual and necessary expenses of any 356 training programs held pursuant to this section or section 357 321.46 of the Revised Code.

441All Theregistration auditorfees ofcollected state358 shallunder allowthis anysection othershall interestedbe 442paid personinto to attend any of the trainingfund. programs that the auditor 443 of state holds pursuant to this section;

provided,359 thatSec. before 444 attending any such training program, the interested person shall 445 pay to the auditor of state the full registration fee that the 446 auditor of state has set for the training program.

447 The auditor of state may provide any other appropriate 448 training or educational programs that may be developed and 449 offered by the auditor of state or in collaboration with one or 450 more other state agencies, political subdivisions, or other 451 public or private entities.

452 There is hereby established in the state treasury the 453 auditor of state training program fund, to be used by the 454 auditor of state for the actual and necessary expenses of any 455 training programs held pursuant to this section or section 456 321.46 of the Revised Code.

All registration fees collected 457 under this section shall be paid into the fund.

458 Sec.

(A) Pursuant to the powers of the general 459360 assembly and for the purposes of this chapter, upon the 460361 occurrence of a fiscal emergency in any municipal corporation, 461362 county, or township, as determined pursuant to section 118.04 of 462363 S.the Revised Code, there is established, with respect to that 364 municipal corporation, county, or township, a body both 365 corporate and politic constituting an agency and instrumentality 366 of the state and performing essential governmental functions of 367 the state to be known as the "financial planning and supervision 368 commission for _______________ (name of municipal corporation, 369 county, or township)," which, in that name, may exercise all 370 authority vested in such a commission by this chapter.

Except as 371 otherwise provided in division (L) of this section, a separate 372 commission is established with respect to each municipal 373 corporation, county, or township as to which there is a fiscal 374 emergency as determined under this chapter.

375 (B) A commission shall consist of the following voting 376 Sub.

S.

300 Page 1714 As IntroducedPending thein Revised Code, there is established, with respect to that 463 municipal corporation, county, or township, a body both 464 corporate and politic constituting an agency and instrumentality 465 of the stateSenate andFinance performingCommittee essentialmembers: governmental functions of 466 the state to be known as the "financial planning and supervision 467 commission for _______________ (name of municipal corporation, 468 county, or township)," which, in that name, may exercise all 469 authority vested in such a commission by this chapter.

Except377 as(1) 470Four otherwiseex providedofficio inmembers: division (L) of this section, a separate 471 commission is established with respect to each municipal 472 corporation, county, or township as to which there is a fiscal 473 emergency as determined under this chapter.

474 (B) A commission shall consist of the following voting 475 members:

476 (1) Four ex officio members:

the 477378 director of budget and management;

in the case of a municipal 478379 corporation, the mayor of the municipal corporation and the 479380 presiding officer of the legislative authority of the municipal 480381 corporation;

in the case of a county, a member of the board of 481382 county commissioners and the county auditor;

in the case of a 482383 county that has adopted a charter under Article X, Ohio 483384 Constitution, and under that charter has both a county executive 484385 and a county fiscal officer, the county executive and the county 485386 fiscal officer;

and in the case of a township, a member of the 486387 board of township trustees and the county auditor.

487388 The treasurer of state may designate a deputy treasurer or 488389 director an individual within the office of the treasurer of 489390 state or any other appropriate person who is not an employee of 490391 the treasurer of state's office;

the director of budget and 491392 management may designate an individual within the office of 492393 S.budget and management or any other appropriate person who is not 394 an employee of the office of budget and management;

the 395 presiding officer of the legislative authority of the municipal 396 corporation may designate any other member of the legislative 397 authority;

the board of county commissioners may designate any 398 other member of the board or the fiscal officer of the county;

399 the fiscal officer of a county that has adopted a charter under 400 Article X, Ohio Constitution, may designate an individual within 401 the county fiscal office;

the county auditor may designate an 402 individual within the county auditor's office;

and the board of 403 township trustees may designate any other member of the board or 404 the fiscal officer of the township to attend the meetings of the 405 commission when the ex officio member is absent or unable for 406 any reason to attend.

A designee, when present, shall be counted 407 Sub.

S.

300 Page 1815 As IntroducedPending budgetin andthe managementSenate orFinance anyCommittee otherin appropriatedetermining personwhether whoa quorum is notpresent 493at anany employeemeeting of the office408 ofcommission budgetand may vote and management;participate in all proceedings and 409 actions of the commission.

theThe 494designations presidingshall officerbe ofin thewriting, legislative410 authorityexecuted ofby the municipalex 495officio corporationmember mayor designateentity anymaking otherthe member411 ofdesignation, and filed with the legislativesecretary 496of authority;the commission.

theThe board412 ofdesignations countymay commissionersbe maychanged designatefrom anytime 497to othertime memberin oflike themanner, board413 orbut thedue fiscalregard officershall ofbe given to the county;need for continuity.

498414 the(2) fiscalIf officera ofmunicipal acorporation, countycounty, thator township has adopted a charter415 underpopulation 499of Articleat X,least Ohioone Constitution,thousand, maythree designateadditional anmembers individual416 withinappointed 500not later than fifteen days after the countyauditor of state 417 determines that a fiscal office;emergency exists as follows:

the418 countyFor auditora maymunicipal designatecorporation, anthe 501governor individualshall withinappoint the419 countyone auditor'smember; office;

and the boardmayor ofshall 502appoint townshipone trustees may designate any other member ofconfirmed theby board or 503 the fiscal420 officerlegislative ofauthority the township to attend the meetings of the 504municipal commissioncorporation; when the ex officio member is absent or unable for 505 any reason to attend.

Aand designee,the when421 present,county shallauditor beof countedthe 506county in determiningwhich whetherthe alargest quorumportion isof presentthe at422 anyterritory meeting of the 507municipal commissioncorporation andis maylocated voteshall andappoint participate423 inone allmember. proceedings and 508 actions of the commission.

The designationscounty shallauditor bemay inappoint writing, 509 executed by the excounty officioauditor memberto or424 entity making the 510 designation, and filed with the secretary of the commission.

The425 511For designationsa maycounty, bethe changedgovernor fromshall timeappoint toone timemember inand like426 manner,the 512board butof duecounty regardcommissioners shall beappoint giventwo tomembers. the need for continuity.

513In (2)427 Ifthe acase municipalof corporation,a county,county orthat township has adopted a 514charter populationunder ofArticle atX, least428 oneOhio thousand,Constitution, threeand additionalunder membersthat 515charter appointedhas notboth latera thancounty fifteen429 daysexecutive afterand a county council, the auditorgovernor ofshall stateappoint 516one determines430 thatmember, athe fiscalcounty emergencyexecutive existsshall asappoint follows:one member, and the 431 county council shall appoint one member.

517A Formember of the board 432 of county commissioners, a municipalcounty corporation,executive, or a member of the governor433 shallcounty appointcouncil 518is oneineligible member;for appointment to the commission 434 under this paragraph.

435 For a township, the mayorgovernor shall appoint one member confirmedand by436 the 519board legislativeof authoritytownship oftrustees theshall municipalappoint corporation;two members.

andA the437 520Sub. county auditor of the county in which the largest portion of the 521 territory of the municipal corporation is located shall appoint 522 one member.

The county auditor may appoint the county auditor to 523 S.

300 Page 1916 As IntroducedPending in the commission.Senate Finance Committee member of the board of township trustees is ineligible for 438 appointment to the commission under this paragraph.

524439 ForEach aof county, the governorthree appointed members shall appointserve oneduring memberthe and440 525life of the boardcommission, ofsubject countyto commissionersremoval shallby appointthe twoappointing members.441 authority for misfeasance, nonfeasance, or malfeasance in 442 office.

In 526 the caseevent of athe countydeath, thatresignation, hasincapacity, adopted443 aremoval, charteror underineligibility Articleto X,serve 527of Ohioan Constitution,appointed andmember, underthe that444 charterappointing hasauthority boththat aappointed county 528 executive and a county council, the governormember shall appoint onea 529445 member,successor, theexcept countyas executiveotherwise shallprovided appointin onedivision member,(M) andof thethis 530446 countysection. council shall appoint one member.

A447 memberEach ofappointed the board 531 of county commissioners, a county executive, or a member ofshall thebe 532an countyindividual: council is ineligible for appointment to the commission 533 under this paragraph.

534448 ForWho ahas township,knowledge theand governorexperience shallin appointfinancial onematters, member449 andfinancial 535management, theor boardbusiness oforganization townshipor trusteesoperations; shall appoint two members.

A450 536Whose memberresidency, ofoffice, theor boardprincipal place of township451 trusteesprofessional or business activity is ineligiblesituated forwithin 537the appointment452 tomunicipal corporation, county, or township, except that a county 453 auditor who serves on the commission underof thisa paragraph.municipal corporation 454 is not required to reside or have an office or principal place 455 of professional or business activity in the municipal 456 corporation;

538457 EachWho ofshall thenot threebecome appointeda memberscandidate shallfor serveelected duringpublic theoffice 539458 lifewhile serving as a member of the commission, subjectexcept toa removalcounty by459 auditor who serves on the appointingcommission 540of authoritya municipal corporation 460 may be a candidate for misfeasance,reelection nonfeasance,to orthe malfeasancecounty inauditor's 541461 office.

In462 the(C) eventImmediately after appointment of the death,initial resignation,appointed incapacity,463 542members removal,of orthe ineligibilitycommission, tothe servegovernor ofshall ancall appointedthe member,first 464 meeting of the 543commission appointingand authorityshall thatcause appointedwritten thenotice memberof shallthe appoint465 atime, 544date, successor,and exceptplace asof otherwisethe providedfirst inmeeting divisionto (M)be ofgiven thisto 545each section.466 Sub.

546S. Each appointed member shall be an individual:

547 Who has knowledge and experience in financial matters, 548 financial management, or business organization or operations;

549 Whose residency, office, or principal place of 550 professional or business activity is situated within the 551 municipal corporation, county, or township, except that a county 552 S.

300 Page 2017 As IntroducedPending auditorin whothe servesSenate onFinance theCommittee commissionmember of athe municipalcommission corporationat 553least isforty-eight nothours requiredin toadvance reside467 or have an office or principal place 554 of professional or business activity in the municipalmeeting. 555 corporation;

556468 Who(D) shallThe notdirector becomeof abudget candidateand formanagement electedshall publicserve office 557 while serving as a469 memberchairperson of the commission,commission. except a county 558 auditor who serves on the commission of a municipal corporation 559 may be a candidate for reelection to the county auditor's 560 office.

561The (C)commission Immediatelyshall afterelect appointmentone of the470 initialits appointed 562 members ofto theserve commission,as thevice-chairperson governor shall call the first 563 meeting of the commission and shallmay causeappoint writtena notice471 ofsecretary the 564 time, date, and placeany ofother theofficers, firstwho meetingneed tonot be givenmembers to each 565 member of the commission472 atcommission, leastit forty-eightconsiders hoursnecessary. in advance 566 of the meeting.

567The (D)chairperson Themay directorremove of473 budgetan andappointed managementmember shallif servethat asmember 568fails chairpersonto ofattend thethree commission.474 meetings.

TheIn commissionthat shallevent, electthe oneappointing ofauthority 569shall itsfill membersthe to475 servevacancy asin vice-chairpersonthe andsame maymanner appointas athe 570original secretaryappointment, andexcept any476 otheras officers,otherwise whoprovided needin notdivision be(M) members of thethis 571section. commission, it considers necessary.

477 (E) The chairpersoncommission may removeadopt 572and analter appointedbylaws memberand ifrules, that478 memberwhich failsshall not be subject to attendsection three111.15 573or meetings.Chapter 119.

Inof that479 event, the appointingRevised authorityCode, shallfor fill the 574conduct vacancyof inits affairs and for the same480 mannermanner, assubject theto originalthis appointment,chapter, exceptin 575which asits otherwisepowers providedand in481 divisionfunctions (M)shall ofbe thisexercised section.and embodied.

576482 (E)(F) TheFour commissionmembers mayof adopta andcommission alterestablished bylawspursuant andto rules,483 577divisions which(B)(1) shalland not(2) beof subjectthis to section 111.15constitute ora Chapterquorum 119.of 484 the commission.

ofThe 578affirmative thevote Revisedof Code,a formajority the conduct of itsthe affairs485 andmembers forof the 579commission manner,is subjectnecessary tofor thisany chapter,action intaken whichby its486 powersvote andof 580the functionscommission. shall be exercised and embodied.

581No S.vacancy in the membership of the 487 commission shall impair the rights of a quorum by such vote to 488 exercise all the rights and perform all the duties of the 489 commission.

Members of the commission, and their designees, are 490 not disqualified from voting by reason of the functions of the 491 other office they hold and are not disqualified from exercising 492 the functions of the other office with respect to the municipal 493 corporation, county, or township, its officers, or the 494 commission.

495 (G) The auditor of state shall serve as the "financial 496 Sub.

S.

300 Page 2118 As IntroducedPending (F)in Fourthe membersSenate ofFinance aCommittee commissionsupervisor" established pursuant to 582the divisionscommission (B)(1)unless andthe (2)auditor of thisstate sectionelects constitute497 ato quorumcontract offor 583that theservice. commission.

TheAs affirmativeused votein ofthis achapter, majority498 of"financial thesupervisor" 584means members of the commissionauditor is necessary for any action taken by 585 vote of thestate. commission.

No499 vacancy(H) inAt the membershiprequest of the 586commission, commissionthe shallauditor impairof thestate rights500 shall designate employees of athe quorumauditor byof suchstate's voteoffice to 587501 exerciseassist allthe commission and the rightsfinancial supervisor and performto all502 coordinate the dutieswork of the 588auditor commission.of state's office and the 503 financial supervisor.

MembersUpon of the commission,determination andof theira designees,fiscal are504 589emergency notin disqualifiedany frommunicipal votingcorporation, bycounty, reasonor oftownship, the functions505 ofmunicipal thecorporation, 590county, otheror officetownship theyshall holdprovide andthe are506 notcommission disqualifiedwith fromsuch exercisingreasonable 591office space in the functionsprincipal of507 thebuilding otherhousing officecity, withcounty, respector totownship thegovernment, municipalwhere 592508 corporation,feasible, county,as orit township,determines is necessary to carry out its officers,duties or509 theunder 593this commission.chapter.

594510 (G)(I) The financial supervisor, the members of the 511 commission, the auditor of statestate, and any person authorized to 512 act on behalf of or assist them shall servenot asbe personally liable 513 or subject to any suit, judgment, or claim for damages resulting 514 from the "financialexercise 595of supervisor"or failure to exercise the commissionpowers, unlessduties, 515 and functions granted to them in regard to their functioning 516 under this chapter, but the commission, the financial 517 supervisor, the auditor of statestate, electsand 596those other persons shall 518 be subject to contractmandamus forproceedings thatto service.compel performance of 519 their duties under this chapter and with respect to any debt 520 obligations issued pursuant or subject to this chapter.

As521 used(J) At the request of the commission, the administrative 522 head of any state agency shall temporarily assign personnel 523 skilled in thisaccounting chapter,and 597budgeting "financialprocedures supervisor"to meansassist the auditor524 ofcommission state.or the financial supervisor in its duties as 525 financial supervisor.

598526 (H)Sub. At the request of the commission, the auditor of state 599 shall designate employees of the auditor of state's office to 600 assist the commission and the financial supervisor and to 601 coordinate the work of the auditor of state's office and the 602 financial supervisor.

UponS. the determination of a fiscal 603 emergency in any municipal corporation, county, or township, the 604 municipal corporation, county, or township shall provide the 605 commission with such reasonable office space in the principal 606 building housing city, county, or township government, where 607 feasible, as it determines is necessary to carry out its duties 608 under this chapter.

609 (I) The financial supervisor, the members of the 610 commission, the auditor of state, and any person authorized to 611 S.

300 Page 2219 As IntroducedPending actin onthe behalfSenate ofFinance orCommittee assist(K) themThe shallappointed notmembers be personally liable 612 or subject to any suit, judgment, or claim for damages resulting 613 from the exercise of or failure to exercise the powers,commission duties,who 614are and527 functionsmembers grantedof to them in regard to their functioning 615 under this chapter, but the commission,board theof financialtownship 616trustees supervisor,or theare auditornot ofelected state,528 andofficials thoseare othernot persons shall 617 be subject to mandamussection proceedings102.02 to compel performance of 618the theirRevised dutiesCode. under this chapter and with respect to any debt 619 obligations issued pursuant or subject to this chapter.

620529 (J)Each Atappointed member of the requestcommission ofshall file with the commission,530 commission a signed written statement setting forth the administrativegeneral 621531 headnature of anysales stateof agencygoods, shallproperty, temporarilyor assignservices personnelor 622of skilledloans into accounting532 andthe budgetingmunicipal procedurescorporation, county, or township with respect to assist533 thewhich 623that commission is established, in which the appointed 534 member has a pecuniary interest or in which any member of the financial535 supervisorappointed member's immediate family, as defined in itssection duties536 102.01 of the Revised Code, or any corporation, partnership, or 537 enterprise of which the appointed member is an officer, 538 director, or partner, or of which the appointed member or a 539 member of the appointed member's immediate family, as 624so financial540 supervisor.defined, owns more than a five per cent interest, has a 541 pecuniary interest, and of which sale, loan, or interest such 542 member has knowledge.

625 (K) The appointedstatement membersshall ofbe thesupplemented commissionfrom who543 aretime 626to memberstime ofto thereflect boardchanges ofin townshipthe trusteesgeneral ornature areof notany elected544 627such officialssales areor notloans. subject to section 102.02 of the Revised Code.

628545 Each(L) appointedA member of the commission shallis filenot established with therespect 629 commission a signed written statement setting forth the general 630 nature of sales of goods, property, or services or of loans to 631any the546 municipalvillage corporation, county, or township with respect to 632 which that commission is established, in which the appointed 633 member has a pecuniarypopulation interest or in which any member of theless 634than appointedone member'sthousand immediate547 family, as defined in section 635 102.01 of the Revisedmost Code,recent orfederal anydecennial corporation,census. partnership, or 636 enterprise of which the appointed member is an officer, 637 director, or partner, or of which the appointed member or a 638 member of the appointed member's immediate family, as so 639 defined, owns more than a five per cent interest, has a 640 pecuniary interest, and of which sale, loan, or interest such 641 member has knowledge.

TheUpon statementthe 548 occurrence of a fiscal emergency in such a village or township, 549 the auditor of state shall beserve supplementedas fromthe 642financial S.supervisor of 550 the village or township and shall have all the powers and 551 responsibilities of a commission, including the powers and 552 responsibilities described in section 118.07 of the Revised 553 Code.

554 (M)(1) Notwithstanding any contrary provision of division 555 (B)(2) or (D) of this section, if one or more appointed seats on 556 a commission that was established before October 17, 2017, are 557 Sub.

S.

300 Page 2320 As IntroducedPending timein tothe timeSenate toFinance reflectCommittee changesor inbecome thevacant, generaldivision nature(M) of anythis 643section suchapplies sales558 orconcerning loans.the commission.

644559 (L)(2) AIn commissionthe iscase notof a commission established with respect 560 to any 645 village or township with a populationmunicipal ofcorporation: less than one thousand 646 as of the most recent federal decennial census.

Upon561 the(a) 647If occurrenceone of a fiscal emergency in such avacancy villageexists oron township,the 648commission, the 562 county auditor of statethe shallcounty servein aswhich the financiallargest supervisorportion of 649 the village563 orterritory townshipof andthe shallmunicipal havecorporation allis thelocated powersshall andappoint 650564 responsibilities of a commission,member includingto thefill powers and 651 responsibilities described in section 118.07 of the Revisedvacancy. 652 Code.

653The (M)(1)county Notwithstandingauditor anymay contraryappoint provisionthe of565 divisioncounty 654auditor (B)(2)to or (D) of this section, if one or more appointed seats on 655 a commission that was established before October 17, 2017, are 656 or become vacant, division (M) of this section applies 657 concerning the commission.

658Of (2)the Intwo remaining appointed 566 members of the casecommission, the mayor shall determine, not later 567 than the fifteenth day after the effective date of athis commission568 establishedamendment withNovember respect2, 6592018, toor athe municipalfifteenth corporation:day after the 569 vacancy occurs, whichever is later, which of those members shall 570 be considered the member appointed by the mayor for purposes of 571 divisions (B)(2) and (D) of this section, and the other 572 appointed member shall be considered the member appointed by the 573 governor for purposes of divisions (B)(2) and (D) of this 574 section.

660575 (a)(b) If onetwo such vacancyvacancies existsexist on the commission, the 661576 county auditor of the county in which the largest portion of the 662577 territory of the municipal corporation is located shall appoint 663578 a member to fill one vacancy, and the mayor shall appoint a 579 member confirmed by the legislative authority of the municipal 580 corporation to fill the other vacancy.

The county auditor may 581 appoint the 664 county auditor to the commission.

OfThe the two remaining 582 appointed 665member members of the commission,commission the mayor shall determine, not later 666 than the fifteenth day after the effective date of this 667 amendment November 2, 2018, or the fifteenth day after the 668 vacancy occurs, whichever is later, which of those members shall 669 be considered the 583 member appointed by the mayorgovernor for purposes of 670 divisions (B)(2)(B) 584 (2) and (D) of this section,section. and the other 671 appointed member shall be considered the member appointed by the 672 S.

585 (c) If three such vacancies exist on the commission, the 586 members shall be appointed in accordance with division (B)(2) of 587 Sub.

S.

300 Page 2421 As IntroducedPending governorin forthe purposesSenate ofFinance divisionsCommittee (B)(2) and (D) of this 673 section.

674588 (b)(3) IfIn two such vacancies exist on the commission,case the 675 county auditor of thea countycommission inestablished whichwith therespect largest589 portion of the 676 territory of the municipal corporation is located shall appoint 677 a member to fill one vacancy, and the mayor shall appoint a 678township: member confirmed by the legislative authority of the municipal 679 corporation to fill the other vacancy.

The590 county(a) auditorIf mayone 680such appointvacancy exists on the countycommission, auditorthe 591 board of township trustees shall appoint a member to fill the commission.592 vacancy, who shall not be a member of the board of township 593 trustees.

TheOf remainingthe 681two remaining appointed members of the 594 commission, the board of township trustees shall determine, not 595 later than the fifteenth day after the effective date of this 596 amendment November 2, 2018, or the fifteenth day after the 597 vacancy occurs, whichever is later, which of those members shall 598 be considered the member appointed by the board of township 599 trustees for purposes of divisions (B)(2) and (D) of this 600 section, and the commissionother appointed member shall be considered the 682601 member appointed by the governor for purposes of divisions (B) 683602 (2) and (D) of this section.

684603 (c)(b) If threetwo such vacancies exist on the commission, the 685604 membersboard of township trustees shall beappoint appointedtwo inmembers accordanceto withfill divisionthe (B)(2)605 vacancies, who shall not be members of 686the thisboard section.of township 606 trustees.

687The (3)remaining Inappointed themember case of athe commission establishedshall with607 respectbe 688considered tothe amember township:appointed by the governor for purposes 608 of divisions (B)(2) and (D) of this section.

689609 (a)(c) If onethree such vacancyvacancies existsexist on the commission, the 690610 boardmembers of township trustees shall appointbe aappointed memberin toaccordance fillwith thedivision 691(B)(2) vacancy, who shall not be a member of the611 boardthis ofsection. township 692 trustees.

Of612 the(4) twoAfter remainingone appointedor membersmore ofvacancies thein 693appointed commission,seats theon boarda of613 townshipcommission trusteeshave shallbeen determine,filled notunder 694division later(M) than the fifteenth day after the effective date of this 695section, amendment614 Novemberany 2,subsequent 2018,vacancy or thevacancies fifteenth day after the 696 vacancy occurs, whichever is later, which of those members shall 697 be consideredfilled theunder member615 appointeddivision by the board of township 698 trustees for purposes of divisions (B)(2) andor (D) of this 699 section, andas theapplicable. other appointed member shall be considered the 700 member appointed by the governor for purposes of divisions (B) 701 (2) and (D) of this section.

702616 S.Sub.

S.

300 Page 2522 As IntroducedPending (b)in If two such vacancies exist on the commission,Senate theFinance 703Committee boardSec. of township trustees shall appoint two members to fill the 704 vacancies, who shall not be members of the board of township 705 trustees.

The remaining appointed member of the commission shall 706 be considered the member appointed by the governor for purposes 707 of divisions (B)(2) and (D) of this section.

708 (c) If three such vacancies exist on the commission, the 709 members shall be appointed in accordance with division (B)(2) of 710 this section.

711 (4) After one or more vacancies in appointed seats on a 712 commission have been filled under division (M) of this section, 713 any subsequent vacancy or vacancies shall be filled under 714 division (B)(2) or (D) of this section, as applicable.

715 Sec.

There is hereby established in the state 716617 treasury the legal aid fund, which shall be for the charitable 717618 public purpose of providing financial assistance to legal aid 718619 societies that provide civil legal services to indigents.

The 719620 fund shall contain all funds credited to it by the treasurer of 720621 state pursuant to sections 1901.26, 1907.24, 2303.201, 3953.231, 721622 4705.09, and 4705.10 of the Revised Code.

722623 The treasurer of state may invest moneys contained in the 723624 legal aid fund in any manner authorized by the Revised Code for 724625 the investment of state moneys.

However, no such investment 725626 shall interfere with any apportionment, allocation, or payment 726627 of moneys as required by section 120.53 of the Revised Code.

727628 The state public defender, through the Ohio access to 728629 justice foundation, shall administer the payment of moneys out 729630 of the fund.

Four and one-half per cent of the moneys in the 730631 fund shall be reserved for the actual, reasonable costs of 731632 S.administering sections 120.51 to 120.55 and sections 1901.26, 633 1907.24, 2303.201, 3953.231, 4705.09, and 4705.10 of the Revised 634 Code.

Moneys that are reserved for administrative costs but that 635 are not used for actual, reasonable administrative costs shall 636 be set aside for use in the manner described in division (A) of 637 section 120.521 of the Revised Code.

The remainder of the moneys 638 in the legal aid fund shall be distributed in accordance with 639 section 120.53 of the Revised Code.

The Ohio access to justice 640 foundation shall establish, in accordance with Chapter 119.

of 641 the Revised Code, rules governing the administration of the 642 legal aid fund, including the programs established under 643 sections 1901.26, 1907.24, 2303.201, 4705.09, and 4705.10 of the 644 Revised Code regarding interest on interest-bearing trust 645 accounts of an attorney, law firm, or legal professional 646 association.

647 Sub.

S.

300 Page 2623 As IntroducedPending administeringin sections 120.51 to 120.55 and sections 1901.26, 732 1907.24, 2303.201, 3953.231, 4705.09, and 4705.10 of the RevisedSenate 733Finance Code.Committee Sec.

Moneys128.54. that are reserved for administrative costs but that 734 are not used for actual, reasonable administrative costs shall 735 be set aside for use in the manner described in division (A) of 736 section 120.521 of the Revised Code.

The(A)(1) remainderFor the purpose of receiving, 648 distributing, and accounting for amounts received from the moneys649 737wireless in9-1-1 charges imposed under section 128.40 of the legal650 aidRevised fundCode shalland bethe distributednext ingeneration accordance9-1-1 withaccess 738fees sectionimposed 120.53651 under sections 128.41 and 128.42 of the Revised Code.Code, the 652 following funds are created in the state treasury:

The653 Ohio(a) accessThe to9-1-1 justicegovernment 739assistance foundationfund; shall establish, in accordance with Chapter 119.

of654 740(b) theThe Revised9-1-1 Code,administrative rulesfund; governing the administration of the 741 legal aid fund, including the programs established under 742 sections 1901.26, 1907.24, 2303.201, 4705.09, and 4705.10 of the 743 Revised Code regarding interest on interest-bearing trust 744 accounts of an attorney, law firm, or legal professional 745 association.

746655 Sec.(c) The 9-1-1 program fund;

656 (d) The next generation 9-1-1 fund.

657 (2) Amounts remitted under section 128.46 of the Revised 658 Code shall be paid to the treasurer of state for deposit as 659 follows:

660 (a) Eighty-one and one-third per cent to the 9-1-1 661 government assistance fund.

All interest earned on the 9-1-1 662 government assistance fund shall be credited to the fund.

663 (b) Two-thirds of one per cent to the 9-1-1 administrative 664 fund;

665 (c) One and one-third per cent to the 9-1-1 program fund;

666 (d) Sixteen and two-thirds per cent to the next generation 667 9-1-1 fund.

668 (3) The tax commissioner shall use the 9-1-1 669 administrative fund to defray the costs incurred in carrying out 670 this chapter.

671 (4) The steering committee shall use the 9-1-1 program 672 fund to defray the costs incurred by the steering committee in 673 carrying out this chapter.

674 Sub.

S.

B.

No.

300 Page 24 As Pending in the Senate Finance Committee (5) Annually, the tax commissioner, after paying 675 administrative costs under division (A)(3) of this section, 676 shall transfer any excess remaining in the 9-1-1 administrative 677 fund to the next generation 9-1-1 fund, created under this 678 section.

679 (B) At the direction of the steering committee, the tax 680 commissioner shall transfer the funds remaining in the 9-1-1 681 government assistance fund to the credit of the next generation 682 9-1-1 fund.

All interest earned on the next generation 9-1-1 683 fund shall be credited to the fund.

684 (C) From the funds created in division (A)(1) of this 685 section, the director of budget and management shall, as funds 686 are available, transfer to the tax refund fund, created under 687 section 5703.052 of the Revised Code, amounts equal to the 688 refunds certified by the tax commissioner under division (D) of 689 section 128.47 of the Revised Code, in the same percentage as 690 the certified refund amounts were deposited in those funds as 691 specified in division (A)(2) of this section.

692 (D) The department of administrative services may move 693 funds between the next generation 9-1-1 fund and the 9-1-1 694 government assistance fund to ensure funding remains sustainable 695 for both funds.

696 Sec.

Except as otherwise provided in sections 747697 135.14, 135.143, 135.181, and 135.182 of the Revised Code, as 748698 used in sections 135.01 to 135.21 of the Revised Code:

749699 (A) "Active deposit" means a public deposit necessary to 750700 meet current demands on the treasury, or a fund that is in the 751701 custody of the treasurer of state but not part of the state 752702 treasury, and that is deposited in any of the following:

753703 (1)Sub. A commercial account that is payable or withdrawable, 754 in whole or in part, on demand;

755S. (2) A negotiable order of withdrawal account as authorized 756 in the "Consumer Checking Account Equity Act of 1980," 94 Stat.

757 146, 12 U.S.C.A.

1832(a);

758 (3) A money market deposit account as authorized in the 759 "Garn-St.

Germain Depository Institutions Act of 1982," 96 Stat.

760 S.

300 Page 2725 As IntroducedPending 1501,in 12the U.S.C.Senate Finance Committee (1) A commercial account that is payable or withdrawable, 704 in whole or in part, on demand;

705 (2) A negotiable order of withdrawal account as authorized 706 in the "Consumer Checking Account Equity Act of 1980," 94 Stat.

707 146, 12 U.S.C.A.

1832(a);

708 (3) A money market deposit account as authorized in the 709 "Garn-St.

Germain Depository Institutions Act of 1982," 96 Stat.

710 1501, 12 U.S.C.

761711 (B) "Auditor" includes the auditor of state and the 762712 auditor, or officer exercising the functions of an auditor, of 763713 any subdivision.

764714 (C) "Capital funds" means the sum of the following:

the 765715 par value of the outstanding common capital stock, the par value 766716 of the outstanding preferred capital stock, the aggregate par 767717 value of all outstanding capital notes and debentures, and the 768718 surplus.

In the case of an institution having offices in more 769719 than one county, the capital funds of such institution, for the 770720 purposes of sections 135.01 to 135.21 of the Revised Code, 771721 relative to the deposit of the public moneys of the subdivisions 772722 in one such county, shall be considered to be that proportion of 773723 the capital funds of the institution that is represented by the 774724 ratio that the deposit liabilities of such institution 775725 originating at the office located in the county bears to the 776726 total deposit liabilities of the institution.

777727 (D) "Governing board" means, in the case of the state, the 778728 state board of deposit;

in the case of all school districts and 779729 educational service centers except as otherwise provided in this 780730 section, the board of education or governing board of a service 781731 center, and when the case so requires, the board of 782732 commissionersSub. of the sinking fund;

inS. the case of a municipal 783 corporation, the legislative authority, and when the case so 784 requires, the board of trustees of the sinking fund;

in the case 785 of a township, the board of township trustees;

in the case of a 786 union or joint institution or enterprise of two or more 787 subdivisions not having a treasurer, the board of directors or 788 trustees thereof;

and in the case of any other subdivision 789 electing or appointing a treasurer, the directors, trustees, or 790 S.

300 Page 2826 As IntroducedPending otherin similarthe officersSenate Finance Committee commissioners of suchthe subdivision.sinking fund;

Thein governingthe boardcase 791 of a subdivisionmunicipal electing733 orcorporation, appointingthe alegislative treasurerauthority, shalland bewhen the 792case governingso board734 ofrequires, allthe otherboard subdivisionsof fortrustees whichof suchthe 793sinking treasurerfund; is authorized by law to act.

Inin the case 735 of a countytownship, 794 school financing district that levies a tax pursuant to section 795 5705.215 of the Revised Code, the county board of educationtownship thattrustees; 796 serves as its taxing authority shall operate as a governing 797 board.

Anyin otherthe countycase board of education shall operate as a 798736 governingunion boardor unlessjoint itinstitution adoptsor aenterprise resolutionof designatingtwo theor 799more board737 ofsubdivisions countynot commissionershaving asa treasurer, the governing board forof thedirectors 800or county738 schooltrustees district.thereof;

801and (E)in "Inactivethe deposit"case meansof aany publicother depositsubdivision other739 thanelecting 802or anappointing interima deposittreasurer, the directors, trustees, or an740 activeother deposit.similar officers of such subdivision.

803The (F)governing "Interimboard deposit"741 meansof a depositsubdivision electing or appointing a treasurer shall be the 742 governing board of interimall moneys.other subdivisions for which such 743 treasurer is authorized by law to act.

804In "Interim moneys" means public moneys in the treasurycase of anya 805county subdivision744 afterschool thefinancing awarddistrict ofthat inactivelevies depositsa hastax beenpursuant madeto 806 in accordance with section 135.07745 5705.215 of the Revised Code, which 807 moneys are in excess of the aggregatecounty amountboard of theeducation inactivethat 808746 depositsserves as estimatedits bytaxing theauthority governingshall boardoperate prioras toa the period 809 of designation and which the governing board747 findsboard. should not be 810 deposited as active or inactive deposits for the reason that 811 such moneys will not be needed for immediate use but will be 812 needed before the end of the period of designation.

InAny theother casecounty 813board of theeducation stateshall treasury,operate "interimas moneys"a means748 publicgoverning moneysboard thatunless 814it areadopts nota activeresolution depositsdesignating andthe may749 beboard investedof incounty accordancecommissioners withas 815the sectiongoverning 135.143board offor the Revised750 Code.county school district.

816751 (G)(E) "Permissible"Inactive ratedeposit" of interest" means a ratepublic ofdeposit 817other interestthan that752 allan eligibleinterim institutionsdeposit mentioned in section 818 135.03 of the Revised Code are permitted to pay by law or validan 819active regulations.deposit.

820753 S.(F) "Interim deposit" means a deposit of interim moneys.

754 "Interim moneys" means public moneys in the treasury of any 755 subdivision after the award of inactive deposits has been made 756 in accordance with section 135.07 of the Revised Code, which 757 moneys are in excess of the aggregate amount of the inactive 758 deposits as estimated by the governing board prior to the period 759 of designation and which the governing board finds should not be 760 deposited as active or inactive deposits for the reason that 761 such moneys will not be needed for immediate use but will be 762 needed before the end of the period of designation.

In the case 763 Sub.

S.

300 Page 2927 As IntroducedPending (H)in "Warrantthe clearanceSenate account"Finance Committee of the state treasury, "interim moneys" means anpublic accountmoneys 821that established764 byare thenot treasureractive ofdeposits stateand formay eitherbe invested in accordance with 765 section 135.143 of the 822Revised followingCode. purposes:

823766 (1)(G) The"Permissible depositrate of activeinterest" statemeans moneysa forrate the purposes of 824767 clearinginterest statethat paperall warrantseligible orinstitutions checksmentioned throughin thesection banking768 825135.03 system,of fundingthe electronicRevised benefitCode transferare cards,permitted issuingto 826pay storedby valuelaw cards, or otherwisevalid facilitating769 theregulations. settlement of 827 state obligations;

828770 (2)(H) The"Warrant depositclearance ofaccount" custodialmeans moneys from an account held771 829established inby the custody of the treasurer of state tofor facilitateeither 830 settlement of obligations of the custodial772 fund.following purposes:

831773 (I)(1) "PublicThe deposit"deposit meansof publicactive state moneys depositedfor inthe apurposes 832of public774 depositoryclearing pursuantstate topaper sectionswarrants 135.01or tochecks 135.21through ofthe banking 775 system, funding electronic benefit transfer cards, issuing 776 stored value cards, or otherwise facilitating the 833settlement Revisedof Code.777 state obligations;

834778 (J)(2) "PublicThe depository"deposit meansof custodial moneys from an institutionaccount whichheld 835779 receivesin orthe holdscustody anyof publicthe deposits.treasurer of state to facilitate 780 settlement of obligations of the custodial fund.

836781 (K)(I) "Public moneys"deposit" means allpublic moneys deposited in thea treasury782 ofpublic 837depository thepursuant stateto orsections any135.01 subdivisionto of135.21 the state, or moneys coming 838 lawfully into the possession or custody of the treasurer783 ofRevised 839Code. state or of the treasurer of any subdivision.

"Public784 moneys(J) of"Public 840depository" themeans state"an includesinstitution allwhich such785 moneysreceives comingor lawfullyholds intoany thepublic 841deposits. possession of the treasurer of state;

and786 "public(K) "Public moneys" means all moneys in the treasury of a787 842the subdivision"state includesor allany suchsubdivision of the state, or moneys coming 788 lawfully into the 843 possession or custody of the treasurer of 789 state or of the treasurer of any subdivision.

844"Public (L)moneys "Subdivision"of means790 anythe municipalstate" corporation,includes exceptall 845such onemoneys whichcoming haslawfully adoptedinto a charter under Article XVIII, Ohio 846 Constitution, and the charter791 orpossession ordinances of the charteredtreasurer 847 municipal corporation set forth special provisions respecting 848 the deposit or investment of itsstate; public moneys, or any school 849 S.

and "public moneys of a 792 Sub.

S.

300 Page 3028 As IntroducedPending districtin orthe educationalSenate serviceFinance center,Committee asubdivision" countyincludes schoolall 850such financingmoneys district,coming township,lawfully municipalinto orthe school793 districtpossession 851of sinkingthe fund,treasurer specialof taxingthe orsubdivision. assessment district, or other 852 district or local authority electing or appointing a treasurer, 853 except a county.

In794 the(L) case"Subdivision" ofmeans aany schoolmunicipal districtcorporation, orexcept educational795 854one servicewhich center,has specialadopted taxinga orcharter assessmentunder district,Article orXVIII, otherOhio 855796 localConstitution, authorityand forthe whichcharter a treasurer, elected or appointedordinances 856of primarily as the treasurerchartered of797 amunicipal subdivision,corporation isset authorizedforth orspecial 857provisions requiredrespecting by798 lawthe todeposit actor asinvestment exof officioits treasurer,public themoneys, subdivisionor 858any forschool which799 suchdistrict aor treasurereducational hasservice beencenter, primarilya electedcounty orschool 859800 appointedfinancing shalldistrict, betownship, consideredmunicipal toor beschool thedistrict "subdivision."801 Thesinking termfund, 860special alsotaxing includes a union or jointassessment institutiondistrict, or enterpriseother of802 twodistrict 861 or morelocal subdivisions,authority thatelecting is not authorized to elect or appointappointing 862 a treasurer, and803 forexcept whicha nocounty. ex officio treasurer is provided 863 by law.

864In (M)the "Treasurer"case means,of ina theschool casedistrict ofor theeducational state,804 theservice 865center, treasurerspecial oftaxing stateor andassessment indistrict, or other 805 local authority for which a treasurer, elected or appointed 806 primarily as the casetreasurer of anya subdivision, theis 866authorized or 807 required by law to act as ex officio treasurer, the subdivision 808 for which such a treasurer has been primarily elected or officer809 exercisingappointed shall be considered to be the functions"subdivision." The term 810 also includes a union or joint institution or enterprise of two 811 or more subdivisions, that is not authorized to elect or appoint 812 a treasurer, 867and offor suchwhich subdivision.no ex officio treasurer is provided 813 by law.

In814 the(M) case"Treasurer" ofmeans, ain board of trustees of the 868case sinking fund of a municipal corporation, the boardstate, of 869 commissioners of the sinking815 fundtreasurer of astate schooland district,in orthe acase 870 board of directorsany orsubdivision, trusteesthe of816 anytreasurer, union or jointofficer institutionexercising 871the orfunctions enterprise of two or more subdivisions not having a 872 treasurer, such817 termof means such boardsubdivision. of trustees of the sinking 873 fund, board of commissioners of the sinking fund, or board of 874 directors or trustees.

875In (N)the "Treasurycase investmentof board"a board of trustees of the 818 sinking fund of a municipal corporationcorporation, 876the meansboard of 819 commissioners of the mayorsinking fund of a school district, or othera chief820 executiveboard officer,of thedirectors villageor 877trustees solicitorof any union or cityjoint directorinstitution of821 law,or andenterprise theof auditortwo or othermore 878subdivisions chiefnot fiscalhaving officer.a 822 treasurer, such term means such board of trustees of the sinking 823 Sub.

879 S.

300 Page 3129 As IntroducedPending (O)in "No-loadthe moneySenate marketFinance mutualCommittee fund"fund, meansboard aof no-loadcommissioners 880of moneythe marketsinking mutualfund, fundor toboard which all of the824 followingdirectors apply:or trustees.

881825 (1)(N) The"Treasury fundinvestment isboard" registeredof asa anmunicipal investmentcorporation company826 undermeans 882the mayor or other chief executive officer, the "Investmentvillage Company827 Actsolicitor or city director of 1940,"law, 54and Stat.the auditor or other 828 chief fiscal officer.

829 (O) "No-load money market mutual fund" means a no-load 830 money market mutual fund to which all of the following apply:

831 (1) The fund is registered as an investment company under 832 the "Investment Company Act of 1940," 54 Stat.

883833 80a-1 to 80a-64;

884834 (2) The fund has the highest letter or numerical rating 885835 provided by at least one nationally recognized statistical 886836 rating organization;

887837 (3) The fund does not include any investment in a 888838 derivative.

As used in division (O)(3) of this section, 889839 "derivative" means a financial instrument or contract or 890840 obligation whose value or return is based upon or linked to 891841 another asset or index, or both, separate from the financial 892842 instrument, contract, or obligation itself.

Any security, 893843 obligation, trust account, or other instrument that is created 894844 from an issue of the United States treasury or is created from 895845 an obligation of a federal agency or instrumentality or is 896846 created from both is considered a derivative instrument.

An 897847 eligible investment described in section 135.14 or 135.35 of the 898848 Revised Code with a variable interest rate payment, based upon a 899849 single interest payment or single index comprised of other 900850 investments provided for in division (B)(1) or (2) of section 901851 135.14 of the Revised Code, is not a derivative, provided that 902852 suchSub. variable rate investment has a maximum maturity of two 903 years.

904S. (P) "Public depositor" means the state or a subdivision, 905 as applicable, that deposits public moneys in a public 906 depository pursuant to sections 135.01 to 135.21 of the Revised 907 Code.

908 S.

300 Page 3230 As IntroducedPending (Q)in "Uninsured public deposit" means the portionSenate ofFinance aCommittee 909such publicvariable depositrate thatinvestment ishas nota insuredmaximum bymaturity the federal deposit 910 insurance corporation or by any other agency or instrumentality 911 of thetwo federal853 government.years.

912854 Sec.(P) "Public depositor" means the state or a subdivision, 855 as applicable, that deposits public moneys in a public 856 depository pursuant to sections 135.01 to 135.21 of the Revised 857 Code.

858 (Q) "Uninsured public deposit" means the portion of a 859 public deposit that is not insured by the federal deposit 860 insurance corporation or by any other agency or instrumentality 861 of the federal government.

862 Sec.

913863 (1) "Institution" means an institution eligible to become 914864 a public depository under section 135.03 or 135.32 of the 915865 Revised Code or an eligible credit union, as defined in section 916866 135.62 of the Revised Code.

917867 (2) "Prompt corrective action directive" means a directive 918868 issued by a regulatory authority of the United States as 919869 authorized under 12 U.S.C.

1790d or 1831o or, in the case of a 920870 nonfederally insured institution chartered in this state, a 921871 directive issued by the superintendent of the division of 922872 financial institutions.

923873 (B) An institution designated as a public depository under 924874 this chapter shall notify provide written notification within 925875 five business days, as defined in section 3901.81 of the Revised 926876 Code, to each governing board that made such designation if the 927877 institution becomes party to an active prompt corrective action 928878 directive.

929879 (C) Except as otherwise provided in division (D) of this 930880 section, an institution is ineligible to become a public 931881 depositorySub. under this chapter or to have active, interim, or 932 inactive deposits awarded, placed, purchased, made, or 933 designated pursuant to this chapter, if the institution is party 934 to an active prompt corrective action directive.

935 (D) If a governing board receives notice under division 936 (B) of this section, or otherwise becomes aware that an 937 S.

300 Page 3331 As IntroducedPending institutionin the boardSenate designatedFinance asCommittee a public depository isunder partythis 938chapter or to anhave activeactive, promptinterim, correctiveor action882 directive,inactive thedeposits boardawarded, mayplaced, 939purchased, domade, either or both883 ofdesignated thepursuant following,to this chapter, if the boardinstitution determinesis thatparty 940884 itto isan inactive theprompt publiccorrective interest:action directive.

941885 (1)(D) AllowIf a governing board receives notice under division 886 (B) of this section, or otherwise becomes aware that an 887 institution the board designated as a public depository tois continueparty 888 to havean 942active active,prompt interim,corrective oraction inactivedirective, depositsthe awarded,board placed,may 943889 purchased,do made,either or designatedboth forof the remainderfollowing, ofif the 944board designationdetermines period;that 890 it is in the public interest:

945891 (2)(1) DesignateAllow the institutionpublic asdepository ato publiccontinue depositoryto have 892 active, interim, or inactive deposits awarded, placed, 893 purchased, made, or designated for 946the additionalremainder succeedingof the 894 designation periods.period;

947895 (E)(2) IfDesignate a governing board determines that one or both of 948 the actionsinstitution permittedas bya division (D) of this section are in the 949 public interest, and public moneys are lost due to the failure 950 of the public depository subjectfor to896 theadditional activesucceeding promptdesignation correctionperiods. 951 directive, all of the following are relieved from any liability 952 for that loss:

953897 (1)(E) TheIf a governing board'sboard treasurerdetermines that one or both of 898 the actions permitted by division (D) of this section are in the 899 public interest, and deputypublic treasurer;moneys are lost due to the failure 900 of the public depository subject to the active prompt correction 901 directive, all of the following are relieved from any liability 902 for that loss:

954903 (2)(1) AnThe executive director, director, or other person 955 employed by the governing board,board's itstreasurer treasurer,and or its deputy 956 treasurer;

957904 (3)(2) BondspersonsAn andexecutive suretydirector, ofdirector, anyor other person described905 inemployed 958by divisionsthe (E)(1)governing andboard, (2)its oftreasurer, thisor section.its deputy 906 treasurer;

959907 Sec.(3) Bondspersons and surety of any person described in 908 divisions (E)(1) and (2) of this section.

909 Sub.

S.

B.

No.

300 Page 32 As Pending in the Senate Finance Committee Sec.

960910 (1) "Treasurer" does not include the treasurer of state, 961911 and "governing board" does not include the state board of 962912 deposit.

963913 (2) "Other obligations" includes notes whether or not 964914 issued in anticipation of the issuance of bonds.

965915 S.(B) The treasurer or governing board may invest or deposit 916 any part or all of the interim moneys.

The following 917 classifications of obligations shall be eligible for such 918 investment or deposit:

919 (1) United States treasury bills, notes, bonds, or any 920 other obligation or security issued by the United States 921 treasury or any other obligation guaranteed as to principal and 922 interest by the United States.

923 Nothing in the classification of eligible obligations set 924 forth in division (B)(1) of this section or in the 925 classifications of eligible obligations set forth in divisions 926 (B)(2) to (7) of this section shall be construed to authorize 927 any investment in stripped principal or interest obligations of 928 such eligible obligations.

929 (2) Bonds, notes, debentures, or any other obligations or 930 securities issued by any federal government agency or 931 instrumentality, including but not limited to, the federal 932 national mortgage association, federal home loan bank, federal 933 farm credit bank, federal home loan mortgage corporation, and 934 government national mortgage association.

All federal agency 935 securities shall be direct issuances of federal government 936 agencies or instrumentalities.

937 (3) Interim deposits in the eligible institutions applying 938 Sub.

S.

300 Page 3433 As IntroducedPending (B)in Thethe treasurerSenate orFinance governingCommittee boardfor mayinterim investmoneys oras depositprovided 966in anysection part135.08 or all of the interimRevised moneys.939 Code.

The followingaward 967of classificationsinterim deposits shall be made in accordance 940 with section 135.09 of obligationsthe Revised Code and the treasurer or the 941 governing board shall determine the periods for which such 942 interim deposits are to be eligiblemade and shall award such interim 943 deposits for such 968periods, investmentprovided orthat deposit:any eligible 944 institution receiving an interim deposit award may, upon 945 notification that the award has been made, decline to accept the 946 interim deposit in which event the award shall be made as though 947 the institution had not applied for such interim deposit.

969948 (1)(4) UnitedBonds Statesand treasuryother bills,obligations notes,of bonds,this state, or anythe 970949 otherpolitical obligationsubdivisions orof securitythis issuedstate, byprovided thethat, Unitedwith States950 971respect treasuryto bonds or any other obligationobligations guaranteedof aspolitical tosubdivisions, principal951 andall 972of interest by the Unitedfollowing States.apply:

973952 Nothing(a) inThe thebonds classificationor ofother eligible obligations setare 974payable forthfrom in953 divisiongeneral (B)(1)revenues of this section or in the 975political classificationssubdivision ofand eligiblebacked obligationsby setthe forth954 infull divisionsfaith 976and (B)(2)credit to (7) of thisthe sectionpolitical shallsubdivision. be construed to authorize 977 any investment in stripped principal or interest obligations of 978 such eligible obligations.

979955 (2)(b) Bonds,The notes,bonds debentures, or any other obligations orare 980rated securitiesat issuedthe bytime any956 federalof governmentpurchase agencyin or 981 instrumentality, including but not limited to, the federalthree 982highest nationalclassifications mortgageestablished association,by federal957 homeat loanleast bank,one federalnationally 983recognized farmstatistical creditrating bank,958 federalorganization homeand loanpurchased mortgagethrough corporation,a andregistered 984securities government959 nationalbroker mortgageor association.dealer.

All960 federal(c) agencyThe 985aggregate securitiesvalue shallof bethe directbonds issuancesor other obligations 961 does not exceed twenty per cent of federalinterim governmentmoneys 986available agenciesfor or962 instrumentalities.investment at the time of purchase.

987963 (3)(d) InterimThe depositstreasurer inor thegoverning eligibleboard institutionsis applyingnot 988the forsole interim964 moneyspurchaser asof providedthe inbonds sectionor 135.08other ofobligations theat Revisedoriginal 989965 Code.issuance.

The966 award(e) ofThe interimbonds deposits shall be made in accordance 990 with section 135.09 of the Revised Code and the treasurer or theother 991obligations governingmature boardwithin shallten determineyears the967 periodsSub. for which such 992 interim deposits are to be made and shall award such interim 993 deposits for such periods, provided that any eligible 994 institution receiving an interim deposit award may, upon 995 S.

S.

300 Page 3534 As IntroducedPending notification that the award has been made, decline to accept the 996 interim deposit in which event the awardSenate shallFinance beCommittee madefrom as though 997 the institutiondate hadof notsettlement. applied for such interim deposit.

998968 (4)No Bondsinvestment andshall otherbe obligationsmade ofunder thisdivision state,(B)(4) orof thethis 999969 politicalsection subdivisionsunless ofthe thistreasurer state,or providedgoverning that,board withhas 1000completed respect970 toadditional bondstraining orfor othermaking obligationsthe ofinvestments politicalauthorized subdivisions,by 1001971 alldivision (B)(4) of thethis followingsection. apply:

1002 (a) The bondstype orand otheramount obligationsof are972 payableadditional fromtraining 1003shall generalbe revenuesapproved ofby the politicaltreasurer subdivisionof state 973 and backedmay bybe theconducted 1004by fullor faithprovided andunder creditthe supervision of the political974 subdivision.treasurer of state.

1005975 (b)(5) TheNo-load bondsmoney ormarket othermutual funds consisting 976 exclusively of obligations aredescribed ratedin atdivision the(B)(1) timeor 1006(2) 977 of purchasethis insection theand threerepurchase highestagreements classificationssecured established by 1007such at978 leastobligations, oneprovided nationallythat recognizedinvestments statisticalin ratingsecurities 1008described organization979 andin purchasedthis division are made only through aeligible registeredinstitutions securities980 1009mentioned brokerin orsection dealer.135.03 of the Revised Code;

1010981 (c)(6) The aggregateOhio valuesubdivision's offund theas bondsprovided orin othersection obligations982 1011135.45 does113.07 not exceed twenty per cent of interim moneys available for 1012 investment at the timeRevised ofCode; purchase.

1013983 (d)(7) TheUp treasurerto orforty governingper boardcent isof notinterim themoneys soleavailable 1014for purchaser984 ofinvestment thein bondseither orof otherthe obligationsfollowing: at original 1015 issuance.

1016985 (e)(a) TheCommercial bondspaper ornotes otherissued obligationsby maturean withinentity tenthat yearsis 1017986 fromdefined in division (K) of section 1706.01 of the dateRevised Code 987 and that has assets exceeding five hundred million dollars, to 988 which notes all of settlement.the following apply:

1018989 No(i) investmentThe shallnotes beare maderated underat divisionthe (B)(4)time of thispurchase 1019in section unless the treasurer990 orhighest governingclassification boardestablished hasby completedat 1020least additionaltwo trainingnationally for991 makingrecognized thestatistical investmentsrating authorizedorganizations. by 1021 division (B)(4) of this section.

The992 type(ii) andThe amountaggregate value of 1022the additionalnotes trainingdoes shallnot beexceed approvedten by993 theper treasurercent of statethe 1023aggregate andvalue mayof bethe conductedoutstanding bycommercial or994 providedpaper under the supervision of the 1024issuing S.corporation.

995 Sub.

S.

300 Page 3635 As IntroducedPending treasurerin ofthe state.Senate Finance Committee (iii) The notes mature not later than two hundred seventy 996 days after purchase.

1025997 (5)(iv) No-loadThe moneyinvestment market mutual funds consisting 1026 exclusively of obligations described in divisioncommercial (B)(1)paper ornotes (2) 1027 of thisa sectionsingle and998 repurchaseissuer agreementsshall securednot byexceed such 1028 obligations, provided that investments in securitiesthe describedaggregate 1029five inper thiscent divisionof are999 madeinterim onlymoneys throughavailable eligiblefor institutionsinvestment 1030at mentionedthe intime section 135.03 of thepurchase. Revised Code;

10311000 (6)(b) TheBankers Ohioacceptances subdivision'sof fundbanks asthat providedare ininsured sectionby 1032the 135.451001 113.07federal ofdeposit theinsurance Revisedcorporation Code;and that mature not later 1002 than one hundred eighty days after purchase.

10331003 (7)No Upinvestment toshall fortybe permade centpursuant to division (B)(7) of interim1004 moneysthis availablesection unless the treasurer or governing board has 1005 completed additional training for 1034making investmentthe ininvestments either1006 authorized by division (B)(7) of thethis following:section.

1035The (a)type Commercialand paper1007 notesamount issuedof byadditional antraining entityshall thatbe isapproved 1036by definedthe intreasurer division1008 (K) of sectionstate 1706.01 of the Revised Code 1037 and thatmay hasbe assetsconducted exceedingby fiveor hundredprovided millionunder dollars,the to1009 1038supervision which notes all of the followingtreasurer apply:of state.

10391010 (i)(C) TheNothing notesin arethe ratedclassifications atof theeligible timeobligations of1011 purchaseset forth in thedivisions 1040(B)(1) highestto classification(7) establishedof bythis atsection leastshall twobe nationally1012 1041construed recognizedto statisticalauthorize ratingany organizations.investment in a derivative, and no 1013 treasurer or governing board shall invest in a derivative.

1042For (ii)1014 Thepurposes aggregate value of thethis notesdivision, does"derivative" notmeans exceeda tenfinancial 10431015 perinstrument centor ofcontract theor aggregateobligation whose value ofor thereturn outstandingis commercial1016 1044based paperupon ofor linked to another asset or index, or both, 1017 separate from the issuingfinancial corporation.instrument, contract, or obligation 1018 itself.

1045Any (iii)security, Theobligation, notestrust matureaccount, notor laterother than1019 twoinstrument hundredthat seventyis 1046created daysfrom afteran purchase.issue of the United States 1020 treasury or is created from an obligation of a federal agency or 1021 instrumentality or is created from both is considered a 1022 derivative instrument.

1047An (iv)eligible The investment described in commercialthis paper1023 notessection ofwith a singlevariable 1048interest issuerrate shallpayment, notbased exceedupon ina the1024 aggregatesingle fiveinterest perpayment centor ofsingle 1049index interimcomprised moneysof availableother for1025 investmentSub. at the time of purchase.

1050 (b) Bankers acceptances of banks that are insured by the 1051 federal deposit insurance corporation and that mature not later 1052 S.

300 Page 3736 As IntroducedPending thanin onethe hundredSenate eightyFinance daysCommittee aftereligible purchase.investments provided for in division (B)(1) or (2) of 1026 this section, is not a derivative, provided that such variable 1027 rate investment has a maximum maturity of two years.

10531028 No(D) investmentExcept shallas beprovided madein pursuantdivision to(B)(4) divisionor (B)(7)(E) of 1054this 1029 section, any investment made pursuant to this section unlessmust the1030 treasurermature orwithin governingfive boardyears hasfrom 1055the completeddate additionalof trainingsettlement, forunless making the investments1031 1056investment authorizedis bymatched divisionto (B)(7)a specific obligation or debt of thisthe section.1032 subdivision.

1033 (E) The typetreasurer andor 1057governing amountboard ofmay additionalalso trainingenter shallinto bea approved1034 bywritten therepurchase treasureragreement 1058with ofany stateeligible andinstitution may1035 bementioned conductedin bysection 135.03 of the Revised Code or providedany eligible 1036 dealer pursuant to division (M) of this section, under the 1059terms supervision1037 of which agreement the treasurer or governing board purchases, 1038 and such institution or dealer agrees unconditionally to 1039 repurchase any of state.the securities listed in divisions (D)(1) to 1040 (5), except letters of credit described in division (D)(2), of 1041 section 135.18 of the Revised Code.

1060The (C)market Nothingvalue in the classifications of eligible1042 obligationssecurities 1061subject set forth in divisions (B)(1) to (7)an ofovernight thiswritten sectionrepurchase shallagreement be1043 1062must construedexceed tothe authorizeprincipal anyvalue investmentof inthe aovernight derivative,written and1044 norepurchase 1063agreement treasurerby orat governingleast boardtwo shallper investcent. in a derivative.

ForA 1064written purposes1045 ofrepurchase thisagreement division,shall "derivative"not meansexceed athirty financialdays 1065and instrumentthe ormarket contract1046 orvalue obligationof whosesecurities valuesubject orto returna iswritten 1066repurchase basedagreement upon1047 ormust linkedexceed tothe anotherprincipal assetvalue orof index,the orwritten both,repurchase 10671048 separateagreement fromby theat financialleast instrument,two contract,per orcent obligationand 1068be itself.marked to market 1049 daily.

AnyAll security,securities obligation,purchased trustpursuant account,to orthis otherdivision 1069shall instrument1050 thatbe isdelivered createdinto fromthe ancustody issue of the Unitedtreasurer States 1070 treasury or isgoverning created1051 fromboard or an obligationagent ofdesignated aby federalthe agencytreasurer or 1071governing instrumentality1052 orboard. is created from both is considered a 1072 derivative instrument.

AnA eligiblewritten investmentrepurchase describedagreement in this 1073 section with aan variable interest rate payment, based upon a 1074 single interest payment or single index comprised of other 1075 eligible investments1053 providedsecurities fordealer inshall divisionbe (B)(1)transacted oron (2) of 1076 this section, is not a derivative,delivery providedversus that1054 suchpayment variablebasis. 1077 rate investment has a maximum maturity of two years.

1078The (D)agreement Exceptshall ascontain providedthe inrequirement divisionthat (B)(4)1055 orfor (E)each oftransaction this 1079 section, any investment made pursuant to this section must 1080 mature within five years from the dateagreement of settlement, unless the 1081participating investment1056 isSub. matched to a specific obligation or debt of the 1082 S.

S.

300 Page 3837 As IntroducedPending subdivision.in the Senate Finance Committee institution or dealer shall provide all of the following 1057 information:

10831058 (E)(1) The treasurerpar orvalue governing board may also enter into a 1084 written repurchase agreement with any eligible institution 1085 mentioned in section 135.03 of the Revisedsecurities; Code or any eligible 1086 dealer pursuant to division (M) of this section, under the terms 1087 of which agreement the treasurer or governing board purchases, 1088 and such institution or dealer agrees unconditionally to 1089 repurchase any of the securities listed in divisions (D)(1) to 1090 (5), except letters of credit described in division (D)(2), of 1091 section 135.18 of the Revised Code.

The1059 market(2) valueThe oftype, 1092rate, securitiesand subjectmaturity todate an overnight written repurchase agreement 1093 must exceed the principal value of the overnightsecurities; written 1094 repurchase agreement by at least two per cent.

A1060 written(3) 1095A repurchasenumerical agreementidentifier shallgenerally notaccepted exceedin thirty days and the market1061 1096 value of securities subjectindustry tothat adesignates written repurchase agreement 1097 must exceed the principalsecurities. value of the written repurchase 1098 agreement by at least two per cent and be marked to market 1099 daily.

All1062 securitiesNo purchasedtreasurer pursuantor togoverning thisboard division shall 1100enter beinto delivereda intowritten 1063 repurchase agreement under the custodyterms of which the treasurer or 1064 governing 1101 board oragrees anto agentsell designatedsecurities owned by the treasurer1065 orsubdivision governingto 1102a board.purchaser and agrees with that purchaser to 1066 unconditionally repurchase those securities.

A1067 written(F) repurchaseNo agreementtreasurer withor governing board shall make an eligible1068 1103investment securitiesunder dealerthis shallsection, beunless transactedthe ontreasurer aor deliverygoverning versus1069 1104board, paymentat basis.the time of making the investment, reasonably expects 1070 that the investment can be held until its maturity.

The1071 agreement(G) shallNo containtreasurer theor requirementgoverning thatboard 1105shall forpay eachinterim transaction1072 pursuantmoneys tointo thea agreementfund theestablished participatingby 1106another institutionsubdivision, 1073 treasurer, governing board, or dealerinvesting shallauthority, provideif allthat fund 1074 was established for the purpose of investing the followingpublic 1107moneys information:1075 of other subdivisions.

1108This (1)division Thedoes parnot valueapply to the 1076 payment of public moneys into either of the securities;following:

11091077 (2)(1) The type,Ohio rate,subdivision's andfund maturitypursuant dateto division (B) 1078 (6) of thethis securities;section;

11101079 (3)(2) A numericalfund identifiercreated generallysolely acceptedfor inthe purpose of acquiring, 1080 constructing, owning, leasing, or operating municipal utilities 1081 pursuant to the 1111authority securitiesprovided industryunder thatsection designates715.02 of the securities.1082 Revised Code or Section 4 of Article XVIII, Ohio Constitution.

11121083 S.For purposes of division (G) of this section, 1084 Sub.

S.

300 Page 3938 As IntroducedPending Noin treasurer or governing board shall enter into a written 1113 repurchase agreement under the termsSenate ofFinance whichCommittee the"subdivision" treasurerincludes or 1114 governing board agrees to sell securities owned by the 1115 subdivision to a purchasercounty. and agrees with that purchaser to 1116 unconditionally repurchase those securities.

11171085 (F)(H) NoThe treasureruse orof governingleverage, boardin shallwhich make an 1118 investment under this section, unless the treasurer or 1086 governing 1119board board,uses atits thecurrent timeinvestment ofassets makingas thecollateral investment,1087 reasonablyfor expects 1120 that the investmentpurpose canof bepurchasing heldother untilassets, itsis maturity.prohibited.

1121The (G)1088 Noissuance treasurerof ortaxable governingnotes board shall pay interim 1122 moneys into a fund established by another subdivision, 1123 treasurer, governing board, or investing authority, if that fund 1124 was established for the purpose of investingarbitrage theis public1089 moneysprohibited. 1125 of other subdivisions.

ThisContracting divisionto doessell securities that have not applyyet to1090 been acquired by the 1126treasurer paymentor ofgoverning publicboard, moneysfor intothe either1091 purpose of purchasing such securities on the following:speculation that 1092 bond prices will decline, is prohibited.

11271093 (1)(I) TheWhenever, Ohioduring subdivision'sa fundperiod pursuantof todesignation, divisionthe (B)1094 1128treasurer (6)classifies public moneys as interim moneys, the 1095 treasurer shall notify the governing board of thissuch section;action.

1129The (2)1096 Anotification fundshall createdbe solelygiven forwithin thethirty purposedays ofafter acquiring,such 11301097 constructing,classification owning,and leasing,in orthe operatingevent municipalthe utilitiesgoverning 1131board pursuantdoes tonot 1098 concur in such classification or in the authorityinvestments providedor deposits 1099 made under sectionthis 715.02section, ofthe governing board may order the 11321100 Revisedtreasurer Codeto sell or Sectionliquidate 4any of Articlesuch XVIII,investments Ohioor Constitution.1101 deposits, and any such order shall specifically describe the 1102 investments or deposits and fix the date upon which they are to 1103 be sold or liquidated.

1133Investments Foror purposesdeposits ofso divisionordered (G)to ofbe this1104 section,sold 1134or "subdivision"liquidated includesshall abe county.sold or liquidated for cash by the 1105 treasurer on the date fixed in such order at the then current 1106 market price.

1135Neither (H)the Thetreasurer usenor the members of leverage,the inboard which1107 theshall treasurerbe orheld 1136accountable governingfor boardany usesloss itsoccasioned currentby investmentsales assetsor as1108 collateralliquidations 1137of forinvestments theor purposedeposits ofat purchasingprices otherlower assets,than is1109 prohibited.their cost.

TheAny 1138loss issuanceor ofexpense taxableincurred notesin formaking thesuch purposesales ofor arbitrage1110 liquidations is 1139payable prohibited.as other expenses of the treasurer's 1111 office.

Contracting1112 to(J) sellIf securitiesany thatinvestments haveor notdeposits yetpurchased 1140under beenthe acquired1113 byauthority theof treasurerthis orsection governingare board,issuable forto thea 1141designated S.payee or 1114 Sub.

S.

300 Page 4039 As IntroducedPending purposein the Senate Finance Committee to the order of purchasinga suchdesignated securitiespayee, onthe name of the speculationtreasurer that1115 1142and bondthe pricestitle willof decline,the istreasurer's prohibited.office shall be so designated.

11431116 (I)If Whenever,any duringsuch asecurities periodare ofregistrable designation,either theas 1144to treasurerprincipal classifiesor public1117 moneysinterest, asor interimboth, moneys,then thesuch 1145securities treasurer shall notifybe theregistered governingin board1118 the name of suchthe action.treasurer as such.

The1119 1146(K) notificationThe shalltreasurer beis givenresponsible withinfor thirty days after such 1147 classification and in the eventsafekeeping theof governing1120 boardall doesdocuments notevidencing 1148a concurdeposit inor suchinvestment classificationacquired orby in the investments1121 ortreasurer deposits 1149 made under this section,section. the governing board may order the 1150 treasurer to sell or liquidate any of such investments or 1151 deposits, and any such order shall specifically describe the 1152 investments or deposits and fix the date upon which they are to 1153 be sold or liquidated.

InvestmentsAny orsecurities depositsmay sobe ordereddeposited to1122 for safekeeping with a qualified trustee as provided in section 1123 135.18 of the Revised Code, except the delivery of securities 1124 acquired under any repurchase agreement under this section shall 1125 be 1154made soldto ora liquidatedqualified trustee, provided, however, that the 1126 qualified trustee shall be soldrequired to report to the treasurer, 1127 governing board, auditor of state, or liquidatedan forauthorized cashoutside by1128 auditor at any time upon request as to the 1155identity, treasurermarket on1129 value, and location of the datedocument fixedevidencing ineach suchsecurity, order1130 atand that if the thenparticipating institution is a designated 1131 depository of the subdivision for the current 1156period marketof price.1132 designation, the securities that are the subject of the 1133 repurchase agreement may be delivered to the treasurer or held 1134 in trust by the participating institution on behalf of the 1135 subdivision.

NeitherInterest theearned treasureron norany theinvestments membersor ofdeposits the1136 boardauthorized 1157by this section shall be heldcollected accountable for any loss occasioned by salesthe ortreasurer 11581137 liquidationsand ofcredited investmentsby orthe depositstreasurer atto pricesthe lowerproper thanfund 1159of theirthe cost.1138 subdivision.

Any1139 lossUpon the expiration of the term of office of a treasurer 1140 or expensein incurredthe event of a vacancy in makingthe suchoffice salesof treasurer by 1141 reason of death, resignation, removal from office, or 1160otherwise, liquidations1142 isthe payabletreasurer asor otherthe expensestreasurer's oflegal representative shall 1143 transfer and deliver to the treasurer's 1161successor office.all documents 1144 evidencing a deposit or investment held by the treasurer.

1162For (J)1145 IfSub. any investments or deposits purchased under the 1163 authority of this section are issuable to a designated payee or 1164 to the order of a designated payee, the name of the treasurer 1165 and the title of the treasurer's office shall be so designated.

1166S. If any such securities are registrable either as to principal or 1167 interest, or both, then such securities shall be registered in 1168 the name of the treasurer as such.

1169 (K) The treasurer is responsible for the safekeeping of 1170 all documents evidencing a deposit or investment acquired by the 1171 S.

300 Page 4140 As IntroducedPending in the Senate Finance Committee the investments and deposits so transferred and delivered, such 1146 treasurer undershall thisbe section.credited with and the treasurer's successor 1147 shall be charged with the amount of money held in such 1148 investments and deposits.

Any1149 securities(L) mayWhenever beinvestments depositedor 1172deposits for safekeeping with a qualified trustee as provided in section 1173 135.18 of the Revised Code, except the delivery of securities 1174 acquired under any repurchase agreement under this 1150 section shallmature 1175 be made to a qualified trustee, provided, however, that the 1176 qualified trustee shall be required to report to the treasurer, 1177 governing board, auditor of state, or an authorized outside 1178 auditor at any time upon request as to the identity, market 1179 value, and locationbecome ofdue the document evidencing each security, 1180 and thatpayable, if the participatingtreasurer institutionshall is1151 apresent designatedthem 1181 depository of the subdivision for thepayment currentaccording period of 1182 designation, the securities that are the subject of the 1183 repurchase agreement may be delivered to thetheir treasurertenor, orand heldshall 11841152 incollect trust by the participatingmoneys institutionpayable onthereon. behalf of the 1185 subdivision.

InterestThe earnedmoneys onso anycollected investments1153 or deposits 1186 authorized by this section shall be collectedtreated byas thepublic treasurermoneys 1187subject andto creditedsections by135.01 the treasurer to the1154 proper135.21 fund of the 1188Revised subdivision.Code.

11891155 Upon(M)(1) theAll expirationinvestments, ofexcept thefor terminvestments ofin office1156 ofsecurities adescribed treasurerin 1190divisions or(B)(5) inand the(6) event of this section 1157 and for investments by a vacancymunicipal corporation in the officeissues of treasurer1158 bysuch 1191municipal reasoncorporation, ofshall death,be resignation,made removalonly fromthrough office,a ormember otherwise,1159 1192of the treasurerfinancial orindustry theregulatory treasurer'sauthority legal(FINRA), representativethrough shall1160 1193a transferbank, savings bank, or savings and deliverloan toassociation regulated 1161 by the treasurer'ssuperintendent successorof allfinancial documentsinstitutions, 1194or evidencingthrough aan 1162 institution regulated by the comptroller of the currency, 1163 federal deposit insurance corporation, or investmentboard heldof bygovernors of 1164 the treasurer.federal reserve system.

For1165 1195(2) thePayment for investments and deposits so transferred and delivered, such 1196 treasurer shall be creditedmade withonly andupon the treasurer's1166 successordelivery 1197of shallsecurities berepresenting chargedsuch withinvestments to the amount1167 oftreasurer, moneygoverning heldboard, inor suchqualified 1198trustee. investments and deposits.

1199If (L)the Whenever1168 investmentssecurities ortransferred depositsare acquirednot underrepresented thisby 1200a sectioncertificate, mature1169 andpayment becomeshall duebe andmade payable,only theupon treasurerreceipt shallof 1201confirmation presentof them1170 fortransfer paymentfrom accordingthe tocustodian theirby tenor,the andtreasurer, shallgoverning 1202board, S.1171 or qualified trustee.

1172 (N) In making investments authorized by this section, a 1173 treasurer or governing board may retain the services of an 1174 investment advisor, provided the advisor is licensed by the 1175 Sub.

S.

300 Page 4241 As IntroducedPending collectin the moneysSenate payableFinance thereon.Committee division of securities under section 1707.141 of the Revised 1176 Code or is registered with the securities and exchange 1177 commission, and possesses experience in public funds investment 1178 management, specifically in the area of state and local 1179 government investment portfolios, or the advisor is an eligible 1180 institution mentioned in section 135.03 of the Revised Code.

The1181 moneys(O)(1) soExcept collectedas 1203otherwise provided in divisions (O)(2) 1182 and (3) of this section, no treasurer or governing board shall be1183 treatedmake asan publicinvestment moneysor subjectdeposit tounder sectionsthis 135.01section, tounless 1204there 135.211184 is on file with the auditor of state a written investment policy 1185 approved by the Revisedtreasurer Code.or governing board.

1205The (M)(1)policy All investments, except for investments in 1206 securities described in divisions (B)(5) and (6) of this section 1207 and for investments by a municipal corporation in the issues of 1208 such municipal corporation, shall be1186 maderequire onlythat throughall aentities memberconducting 1209investment ofbusiness thewith financial1187 industry regulatory authority (FINRA), through 1210 a bank, savings bank, or savings and loan association regulated 1211 by the superintendenttreasurer of financial institutions, or throughgoverning anboard 1212shall institutionsign regulated by the comptrollerinvestment of1188 thepolicy currency, 1213 federal deposit insurance corporation, or board of governorsthat ofsubdivision. 1214 the federal reserve system.

1215All (2)brokers, Paymentdealers, forand investmentsfinancial shall1189 beinstitutions, madedescribed onlyin upondivision (M)(1) of this section, 1190 initiating transactions with the 1216treasurer deliveryor ofgoverning securitiesboard representingby such1191 investmentsgiving toadvice or making investment recommendations shall sign 1192 the 1217treasurer's treasurer,or governing board,board's orinvestment qualifiedpolicy trustee.thereby 1193 acknowledging their agreement to abide by the policy's contents.

If1194 theAll 1218brokers, securitiesdealers, transferredand arefinancial notinstitutions, representeddescribed byin a1195 certificate,division 1219(M)(1) paymentof shallthis besection, madeexecuting onlytransactions upon1196 receiptinitiated ofby confirmationthe oftreasurer 1220or transfergoverning fromboard, having read the custodian1197 bypolicy's contents, shall sign the treasurer,investment governingpolicy board,thereby 12211198 oracknowledging qualifiedtheir trustee.comprehension and receipt.

12221199 (N)(2) InIf makinga investmentswritten authorizedinvestment bypolicy thisdescribed section,in adivision 12231200 treasurer(O)(1) orof governingthis boardsection mayis retainnot thefiled serviceson behalf of anthe 1224subdivision investment1201 advisor,with provided the advisorauditor isof licensedstate, by the 1225treasurer divisionor ofgoverning securitiesboard under section 1707.141 of the1202 Revisedthat 1226subdivision Codeshall orinvest is registered with the securitiessubdivision's andinterim exchangemoneys 12271203 commission,only and possesses experience in publicinterim fundsdeposits investmentpursuant 1228to management,division specifically(B)(3) inof thethis area1204 ofsection stateor andinterim localdeposits 1229pursuant governmentto investmentsection portfolios,135.145 orof the advisor1205 isRevised anCode eligibleand 1230approved institutionby mentionedthe intreasurer section 135.03 of thestate, Revisedno-load Code.1206 Sub.

1231 (O)(1) Except as otherwise provided in divisions (O)(2) 1232 S.

300 Page 4342 As IntroducedPending andin (3)the ofSenate thisFinance section,Committee nomoney treasurermarket ormutual governingfunds boardpursuant shallto 1233division make(B)(5) anof investment or deposit under this 1207 section, unlessor there 1234 is on file with the auditorOhio ofsubdivision's statefund apursuant writtento investmentdivision policy(B) 12351208 approved(6) byof thethis treasurersection. or governing board.