§ 105125 District Surplus Investment Rules

This law says that any extra money a district has, even money set aside in a special fund, must be invested the way the state’s Government Code tells it to.

Key Takeaways

•All surplus cash, including sinking‑fund money, must be invested according to state rules.
•The specific rules are found in Article 1 (starting at Section 53600) of Chapter 4 of the Government Code.
•The requirement started on January 1, 2003.

Example

A school district ends the year with $200,000 left over after paying all its bills and also has $50,000 in a sinking fund for future repairs.

The district has to put that $250,000 into investments that follow the rules in Article 1 of Chapter 4 of the Government Code, not just any investment it likes.

The district’s investment of any surplus money in its treasury, including money in any sinking fund, shall be in accordance with Article 1 (commencing with Section 53600) of Chapter 4 of Part 1 of Division 2 of the Government Code. (Added by Stats. 2002, Ch. 341, Sec. 4. Effective January 1, 2003.)

This law says that any extra money a district has, even money set aside in a special fund, must be invested the way the state’s Government Code tells it to.

Key Takeaways

•All surplus cash, including sinking‑fund money, must be invested according to state rules.
•The specific rules are found in Article 1 (starting at Section 53600) of Chapter 4 of the Government Code.
•The requirement started on January 1, 2003.

Example

A school district ends the year with $200,000 left over after paying all its bills and also has $50,000 in a sinking fund for future repairs.

The district has to put that $250,000 into investments that follow the rules in Article 1 of Chapter 4 of the Government Code, not just any investment it likes.

Key Takeaways

Example

Key Terms

References

§ 105125 District Surplus Investment Rules

Key Takeaways

Example

Key Terms

References

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References