§ 115D-58.6. Investment of idle cash.
§ 115D‑58.6. Investment of idle cash.
(a) The institution may deposit at interest or invest all orpart of the cash balance of any fund in an official depository of theinstitution. The institution shall manage investments subject to whateverrestrictions and directions the board of trustees may impose. The institutionshall have the power to purchase, sell, and exchange securities on behalf ofthe board of trustees. The investment program shall be so managed thatinvestments and deposits can be converted into cash when needed.
(b) Moneys may be deposited at interest in any bank, savings andloan association or trust company in this State in the form of certificates ofdeposit or such other forms of time deposits as may be approved for countygovernments. In addition, moneys may be deposited in the form of certificatesof deposit as provided for a local government or public authority in G.S. 159‑30(b1).Investment deposits shall be secured as provided in G.S. 159‑31(b).
(c) Moneys may be invested in the form of investments pursuantto G.S. 159‑30(c) to county governments and no others. Money in endowmentfunds may be invested pursuant to G.S. 147‑69.2. Provided, however, theinstitution may elect to deposit at interest any local funds with the StateTreasurer for investment as special trust funds pursuant to the provisions ofG.S. 147‑69.3, and the interest thereon shall accrue to the institutionas local funds.
(d) Investment securities may be bought, sold, and traded byprivate negotiation, and the institutions may pay all incidental costs thereofand all reasonable costs of administering the investment and deposit programfrom local funds. The institution shall be responsible for their safekeepingand for keeping accurate investment accounts and records.
(e) Interest earned on deposits and investments shall becredited to the fund whose cash is deposited or invested. Cash of several fundsmay be combined for deposit or investment if not otherwise prohibited by law;and when such joint deposits or investments are made, interest earned shall beprorated and credited to the various funds on the basis of the amounts thereofinvested, figured according to an average periodic balance or some other soundaccounting principle. Interest earned on the deposit or investment of bondfunds shall be deemed a part of the bond proceeds.
(f) Registered securities acquired for investment may bereleased from registration and transferred by signature of the officialdesignated by the board of trustees. (1981, c. 157, s.1; c. 612, s. 1; 2005‑394, s. 3.)