12C.1 - DEPOSITS IN GENERAL -- DEFINITIONS.
12C.1 DEPOSITS IN GENERAL -- DEFINITIONS.
1. All funds held by the following officers or institutions shall
be deposited in one or more depositories first approved by the
appropriate governing body as indicated: for the treasurer of state,
by the executive council; for judicial officers and court employees,
by the supreme court; for the county treasurer, recorder, auditor,
and sheriff, by the board of supervisors; for the city treasurer or
other designated financial officer of a city, by the city council;
for the county public hospital or merged area hospital, by the board
of hospital trustees; for a memorial hospital, by the memorial
hospital commission; for a school corporation, by the board of school
directors; for a city utility or combined utility system established
under chapter 388, by the utility board; for a library service area
established under chapter 256, by the library service area board of
trustees; and for an electric power agency as defined in section
28F.2 or 476A.20, by the governing body of the electric power agency.
However, the treasurer of state and the treasurer of each political
subdivision or the designated financial officer of a city shall
invest all funds not needed for current operating expenses in time
certificates of deposit in approved depositories pursuant to this
chapter or in investments permitted by section 12B.10. The list of
public depositories and the amounts severally deposited in the
depositories are matters of public record. This subsection does not
limit the definition of "public funds" contained in subsection 2.
Notwithstanding provisions of this section to the contrary, public
funds of a state government deferred compensation plan established by
the executive council may also be invested in the investment products
authorized under section 509A.12.
2. As used in this chapter unless the context otherwise requires:
a. "Bank" means a corporation engaged in the business of
banking authorized by law to receive deposits and whose deposits are
insured by the bank insurance fund or the savings association
insurance fund of the federal deposit insurance corporation and
includes any office of a bank. "Bank" also means a savings and
loan or savings association.
b. "Credit union" means a cooperative, nonprofit association
incorporated under chapter 533 or the federal Credit Union Act, 12
U.S.C. § 1751 et seq., and that is insured by the national credit
union administration and includes an office of a credit union.
c. "Depository" means a bank, a savings and loan, or a credit
union in which public funds are deposited under this chapter.
d. "Financial institution" means a bank or a credit union.
e. "Public funds" and "public deposits" mean any of the
following:
(1) The moneys of the state or a political subdivision or
instrumentality of the state including a county, school corporation,
special district, drainage district, unincorporated town or township,
municipality, or municipal corporation or any agency, board, or
commission of the state or a political subdivision. Moneys of the
state include moneys which are transmitted to a depositary for
purposes of completing an electronic financial transaction pursuant
to section 159.35.
(2) The moneys of any court or public body noted in subsection 1.
(3) The moneys of a legal or administrative entity created
pursuant to chapter 28E.
(4) The moneys of an electric power agency as defined in section
28F.2 or 476A.20.
(5) Federal and state grant moneys of a quasi-public state entity
that are placed in a depository pursuant to this chapter.
(6) Moneys placed in a depository for the purpose of completing
an electronic financial transaction pursuant to section 8A.222 or
331.427.
f. "Public officer" means the person authorized by and acting
for a public body to deposit public funds of the public body.
g. "Savings and loan" means a corporation authorized to
operate under chapter 534 or the federal Home Owner's Loan Act of
1933, 12 U.S.C. § 1461, et seq., and includes a savings and loan
association, a savings bank, or any branch of a savings and loan
association or savings bank.
h. "Uninsured public funds" means any amount of public funds
of a public funds depositor on deposit in an account at a financial
institution that exceeds the amount of public funds in that account
that are insured by the federal deposit insurance corporation or the
national credit union administration.
3. A deposit of public funds in a depository pursuant to this
chapter shall be secured as follows:
a. If a depository is a credit union, then public deposits in
the credit union shall be secured pursuant to sections 12C.16 through
12C.19 and sections 12C.23 and 12C.24.
b. If a depository is a bank, public deposits in the bank
shall be secured pursuant to sections 12C.23A and 12C.24.
4. Ambiguities in the application of this section shall be
resolved in favor of preventing the loss of public funds on deposit
in a depository. Section History: Early Form
[C24, 27, § 139, 4319, 5548, 5651, 7404; C31, 35, § 7420-d1; C39,
§ 7420.01; C46, 50, 54, 58, 62, 66, 71, 73, 75, 77, 79, 81, S81,
§ 453.1; 81 Acts, ch 148, § 1; 82 Acts, ch 1202, § 1] Section History: Recent Form
83 Acts, ch 97, § 1, 3; 83 Acts, ch 186, § 1014, 10201; 84 Acts,
ch 1230, § 5; 85 Acts, ch 194, §2; 89 Acts, ch 39, §12; 92 Acts, ch
1156, § 20--22
C93, § 12C.1
93 Acts, ch 48, § 3; 97 Acts, ch 185, §5; 99 Acts, ch 117, §1--4,
15; 99 Acts, ch 208, § 42, 74; 2001 Acts, ch 158, §4; 2001 Acts, 1st
Ex, ch 4, §1, 2, 36; 2002 Acts, ch 1096, §1, 2, 17; 2003 Acts, ch 18,
§1; 2003 Acts, ch 48, §1; 2003 Acts, ch 179, §58, 84
Referred to in § 12B.10, 12B.10A, 12B.10C, 12C.7, 12C.8, 12E.2,
176A.8, 179.1, 181.1, 183A.1, 184.1, 184A.1, 185.1, 185C.1, 350.6,
602.8102(64), 633D.2, 654.17C