(a) The authority may invest funds in securities in which state funds may be invested
as provided by law or in savings certificates of savings and loan associations and
certificates of deposit of banks to the extent they are fully insured by a federal
agency or are fully secured by a pledge of assets as provided by law, sell securities
it has purchased and deposit securities in any financial institution. Funds deposited in financial institutions shall be secured by obligations authorized
as permissible security for state investments. In investing and managing its funds, the authority shall exercise the judgment and
care which persons of prudence, discretion and intelligence would exercise under similar
circumstances in managing the permanent disposition of their funds, considering the
probable income and the probable safety of their capital.
(b) Notwithstanding the provisions of this section, the authority may contract with
the holders of any of its bonds, as to the custody, collection, securing, investment
and payment of any monies of the authority, of any monies held in trust or otherwise
for the payment of bonds, and may carry out the contract. Monies held in trust or otherwise for the payment of bonds or in any way to secure
bonds and deposits of monies may be secured in the same manner as monies of the authority
and all banks and trust companies are authorized to give security for these deposits.
(c) Subject to agreements with bondholders, the authority shall prescribe a system
of accounts in accordance with generally accepted accounting principles.
(d) The authority shall employ a certified public accountant to examine the books
and accounts of the authority including its receipts, disbursements, contracts, reserve
funds, sinking funds, investments and any other matters relating to its financial
standing. The examination shall be conducted at least once in each year and copies of the
examination report shall be filed with the secretary of state, the director of the
state department of audit and the legislative service office.
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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