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164.440 Depository -- Bond and duties of.

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164.440 Depository -- Bond and duties of. Each board of regents shall appoint a bank or trust company to serve as its depository. <br>The depository shall, before entering upon its duties, execute a bond for the faithful <br>performance of the duties of the office, to be approved by the board. The bond shall be <br>guaranteed by at least five (5) solvent personal sureties whose solvency exceeds the <br>amount of the bond, or by a surety company authorized to do business in this state, or <br>through the execution of a collateral bond consistent with the general banking laws of this <br>state and the bonding laws applying to the safeguarding of state funds. The depository <br>shall be designated for a period of one (1) year or a part thereof, and before entering upon <br>its duties shall agree with the board of regents as to the amount of interest to be paid on <br>average daily or average monthly balances. The interest shall not be less than two percent <br>(2%) if the board pays the premium on the depository bond. The penal sum of the <br>depository bond shall be determined by the board of regents and shall as nearly as <br>possible cover the maximum amount of money that the board might have on hand in the <br>depository at any one (1) time. The depository shall hold for the board, subject to its <br>withdrawal at any time, all funds deposited by the treasurer or any agent of the board, and <br>shall pay over to such person and in such manner as the board directs all funds so <br>deposited. The depository shall keep full and complete accounts of all the board's funds, <br>make such reports to the board or its authorized agents as the board directs, and keep and <br>turn over to the successor of its office all records relating to its transactions and duties <br>together with all public funds on hand. Effective: October 1, 1942 <br>History: Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4527-55.