LawWiki
HomeCodesSearchGlossaryAPIAbout
LawWiki

Plain English summaries of California law with zero-hallucination AI. Every summary is verified against official source text.

Product

  • Search
  • Codes
  • About

Legal

  • Privacy Policy
  • Terms of Service
  • Disclaimer

© 2026 LawWiki. All rights reserved.

HomeGovernment CodeDiv. 2Pt. 1Ch. 4Art. 1§ 53608 Local Agency Investment Deposits

§ 53608 Local Agency Investment Deposits

Government Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 53608 Local Agency Investment Deposits

Key Takeaways

  • •Local governments can keep their important money papers (like bonds or notes) in safe places like banks or the Federal Reserve.
  • •They must get a receipt from the bank or place where they store these papers.
  • •The local government can let their treasurer handle this job, but the treasurer isn’t responsible for the papers until they take them back from the bank.

Example

A city government has extra money and buys some bonds to save for later. They need a safe place to keep these bonds.

The city can put these bonds in a big bank like the Federal Reserve or a trusted local bank. The bank gives them a receipt to prove they’re holding the bonds safely. The city’s treasurer can do this job, but they don’t have to worry about the bonds until they take them back.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 53608 Local Agency Investment Deposits

The legislative body of a local agency may deposit for safekeeping with a federal or state association (as defined by Section 5102 of the Financial Code), a trust company or a state or national bank located within this state or with the Federal Reserve Bank of San Francisco or any branch thereof within this state, or with any Federal Reserve bank or with any state or national bank located in any city designated as a reserve city by the Board of Governors of the Federal Reserve System, the bonds, notes, bills, debentures, obligations, certificates of indebtedness, warrants, or other evidences of indebtedness in which the money of the local agency is invested pursuant to this article or pursuant to other legislative authority. The local agency shall take from such financial institution a receipt for securities so deposited. The authority of the legislative body to deposit for safekeeping may be delegated by the legislative body to the treasurer of the local agency; the treasurer shall not be responsible for securities delivered to and receipted for by a financial institution until they are withdrawn from the financial institution by the treasurer. (Amended by Stats. 1985, Ch. 983, Sec. 17. Effective September 26, 1985.)

Last verified: January 22, 2026

Key Terms

institutiongovernorsecuritiesobligationfinefederal reserveauthorityfinancial code

Related Statutes

  • § 53601.5 Local Agency Investment Purchases
  • § 16724 Bond Act Requirements
  • § 16430 Eligible Surplus Investment Securities
  • § 12305 Treasurer’S Insurance For Securities
  • § 16509 Treasurer'S Securities Management

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Government Code. Section 53608.
View Official Source