Government Code — Part 19 | GOV — United States — California law | Esheria

Government Code

Part 19 of 107 · provisions 3,601–3,800

This act is named the Government Code.

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About this statute

This section defines key terms used in the CalSavers retirement savings title. This section creates the CalSavers Retirement Savings Board and sets rules for how the board, program administrator, and staff must operate. This section creates the CalSavers Retirement Savings Trust, assigns the board to administer it, requires the board to split trust money into a program fund and an administrative fund, and gives the Treasurer and the board investment-related powers. It also caps administrative fund spending at 1% of the total program fund after six years from implementation and exempts certain securities from specified Corporations Code sections. The CalSavers Retirement Savings Program must include one or more payroll deduction IRA arrangements, as determined by the board. The board has broad authority over the trust, including contracts, investments, staff, insurance, cooperation, and rulemaking.

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Provisions of Government Code

Showing 200 of 21,333

  1. 16505.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. )

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    Deposits in any bank must not exceed the bank’s total net worth.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. ) ## 16505. Deposits in any bank shall not exceed the total of its net worth. (Amended by Stats. 1992, Ch. 509, Sec. 6. Effective January 1, 1993.)
  2. 16506.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. )

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    Certain state-controlled money must be deposited in California state or national banks, with deposit conditions set by the Director of Finance.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. ) ## 16506. All money belonging to or in the custody of the state under the control of any state officer or employee, other than the Treasurer, except petty cash funds authorized by the Department of Finance, shall be deposited in such state or national banks in this state and under such conditions as the Director of Finance prescribes. Banks receiving such deposits shall be required to deposit with the Treasurer the same security as is required by this chapter for deposits made by the Treasurer. Banks receiving deposits of money from a county advanced or apportioned to it pursuant to Section 4481 of the Food and Agricultural Code shall be required to secure such deposits in accordance with Article 2 (commencing with Section 53630) of Chapter 4, Part 1, Division 2 of Title 5. (Amended by Stats. 1974, Ch. 1221.)
  3. 16507.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. )

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    A state officer is exempt from liability on his official bond for certain bank-failure losses if the deposit was made as a trustee or fiduciary, in good faith, and according to law.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. ) ## 16507. A State officer is not liable on his official bond for losses caused by the failure of a bank in which is made a deposit of money belonging to an inmate of a State institution, if the officer was required or permitted by law to act as a trustee or fiduciary with respect to the money and if he made the deposit in good faith and in accordance with law. (Added by Stats. 1945, Ch. 120.)
  4. 16508.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. )

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    The Treasurer is not responsible for money deposited in a bank under this chapter while it remains deposited.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. ) ## 16508. The Treasurer is not responsible for any money deposited in a bank pursuant to this chapter, and while it remains so deposited. (Amended by Stats. 1957, Ch. 1542.)
  5. 16509.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. )

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    The Treasurer must handle deposited certificates of deposit and securities, including safekeeping, management, and disbursement. The State must handle custody and safe return of deposited securities.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. ) ## 16509. The Treasurer is responsible for the safekeeping, management and disbursement of the certificates of deposit received and the securities deposited with him, the interest received on deposits, and the proceeds of any sale under this chapter. The State is responsible for the custody and safe return of any securities so deposited. (Added by Stats. 1945, Ch. 120.)
  6. 1651.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. PUBLIC OFFICERS AND EMPLOYEES [1000 - 3599.84] ( Division 4 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 3. Official Bonds [1450 - 1653] ( Chapter 3 enacted by Stats. 1943, Ch. 134. ) ## ARTICLE 8. Payment of Premiums [1650 - 1653] ( Article 8 enacted by Stats. 1943, Ch. 134. )

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    The listed public bodies must pay the premium or charge for surety-company bonds for the officers named in this section and their deputies, clerks, assistants, or subordinate officers.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. PUBLIC OFFICERS AND EMPLOYEES [1000 - 3599.84] ( Division 4 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 3. Official Bonds [1450 - 1653] ( Chapter 3 enacted by Stats. 1943, Ch. 134. ) ## ARTICLE 8. Payment of Premiums [1650 - 1653] ( Article 8 enacted by Stats. 1943, Ch. 134. ) ## 1651. The premium or charge for bonds given by surety companies for the officers, herein named, and for their deputies, clerks, assistants or subordinate officers shall be paid as follows: (a) State officers, by the State. (b) County officers, by the county. (c) Officers of a judicial district, by the county in which the district is situated. (d) School districts or other special district officers, by the school district or other special district, respectively. (e) City officers, by the city. (Amended by Stats. 1951, Ch. 1553.)
  7. 16510.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. )

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    State officers or employees must not deposit State money in any way other than as prescribed in this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 1. General [16500 - 16510] ( Article 1 added by Stats. 1945, Ch. 120. ) ## 16510. Any State officer or employee who deposits any money belonging to or in the custody of the State in any manner other than as prescribed in this chapter is subject to forfeiture of his office or employment. (Added by Stats. 1945, Ch. 120.)
  8. 1652.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. PUBLIC OFFICERS AND EMPLOYEES [1000 - 3599.84] ( Division 4 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 3. Official Bonds [1450 - 1653] ( Chapter 3 enacted by Stats. 1943, Ch. 134. ) ## ARTICLE 8. Payment of Premiums [1650 - 1653] ( Article 8 enacted by Stats. 1943, Ch. 134. )

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    Government payments for official bond premiums or charges may not exceed one-half of 1% per year of the bond amount, and a minimum annual premium or charge of $25 may be imposed.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. PUBLIC OFFICERS AND EMPLOYEES [1000 - 3599.84] ( Division 4 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 3. Official Bonds [1450 - 1653] ( Chapter 3 enacted by Stats. 1943, Ch. 134. ) ## ARTICLE 8. Payment of Premiums [1650 - 1653] ( Article 8 enacted by Stats. 1943, Ch. 134. ) ## 1652. No premium or charge paid by the state, a county, city, or district shall exceed one-half of 1 percent per annum on the amount of the bond, but a minimum premium or charge of twenty-five dollars ($25) per annum may be imposed. (Amended by Stats. 1972, Ch. 1384.)
  9. 16520.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

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    Security is not required for the part of a deposit that is insured under U.S. law.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16520. Security shall not be required for that portion of any deposit that is insured under any law of the United States. (Added by Stats. 1945, Ch. 120.)
  10. 16521.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

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    A bank that wants to receive and keep demand or time deposits must deposit approved securities with the Treasurer as security, worth at least 10% more than the deposits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16521. To be eligible to receive and retain demand or time deposits, a bank shall deposit with the Treasurer as security for such deposits, securities specified in Section 16522, and approved by the Treasurer, in an amount in value at least 10 percent in excess of the amount deposited with the bank. Uncollected funds shall be excluded from the amount deposited in a demand account with a bank when determining the security requirements for such deposits. (Amended by Stats. 1978, Ch. 1016.)
  11. 16522.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

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    This section lists the securities that may be accepted as security for demand and time deposits, and sets conditions for certain promissory notes and letters of credit.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16522. The following securities may be received as security for demand and time deposits: (a) Bonds, notes, or other obligations of the United States, or those for which the faith and credit of the United States are pledged for the payment of principal and interest, including the guaranteed portions of small business administration loans, so long as those loans are obligations for which the faith and credit of the United States are pledged for the payment of principal and interest. (b) Notes or bonds or any obligations of a local public agency (as defined in the United States Housing Act of 1949) (42 U.S.C. Sec. 1441 et seq.) or any obligations of a public housing agency (as defined in the United States Housing Act of 1937) (42 U.S.C. Sec. 1437 et seq.) for which the faith and credit of the United States are pledged for the payment of principal and interest. (c) Bonds of this state or of any county, city, town, metropolitan water district, municipal utility district, municipal water district, bridge and highway district, flood control district, school district, water district, water conservation district or irrigation district within this state, and, in addition, revenue or tax anticipation notes, and revenue bonds payable solely out of the revenues from a revenue-producing property owned, controlled or operated by this state, or such local agency or district, or by a department, board, agency, or authority thereof. (d) Registered warrants of this state. (e) Bonds, consolidated bonds, collateral trust debentures, consolidated debentures, or other obligations issued by the United States Postal Service, federal land banks or federal intermediate credit banks established under the Federal Farm Loan Act (Public Law 64-158), as amended, debentures and consolidated debentures issued by the Central Bank for Cooperatives and banks for cooperatives established under the Farm Credit Act of 1933 (Public Law 73-75), as amended, consolidated obligations of the Federal Home Loan Banks established under the Federal Home Loan Bank Act (12 U.S.C. Sec. 1421 et seq.), bonds, debentures, and other obligations of the Federal National Mortgage Association and of the Government National Mortgage Association established under the National Housing Act of 1934 (Public Law 73-479) as amended, in the bonds of any federal home loan bank established under said act, bonds, debentures, and other obligations of the Federal Home Loan Mortgage Corporation established under the Emergency Home Finance Act of 1970 (Public Law 91-351), and in bonds, notes, and other obligations issued by the Tennessee Valley Authority under the Tennessee Valley Authority Act of 1933 (16 U.S.C. 831), as amended. (f) Bonds and notes of the California Housing Finance Agency issued pursuant to Chapter 7 (commencing with Section 51350) of Part 3 of Division 31 of the Health and Safety Code. (g) Promissory notes secured by first mortgages and first trust deeds upon residential real property located in California, provided that: (1) Notwithstanding Section 16521, the promissory notes shall at all times be in an amount in value at least 50 percent in excess of the amount deposited with the bank; (2) The Treasurer issues regulations, establishes procedures for determining the value of the promissory notes and develops standards necessary to protect the security of the deposits so collateralized; (3) The depository may exercise, enforce, or waive any right or power granted to it by promissory note, mortgage, or deed of trust; and (4) The following may not be used as security for deposits: (A) Any promissory note on which any payment is more than 90 days past due, (B) Any promissory note secured by a mortgage or deed of trust as to which there is a lien prior to the mortgage or deed of trust, or (C) Any promissory note secured by a mortgage or deed of trust as to which a notice of default has been recorded pursuant to Section 2924 of the Civil Code or an action has been commenced pursuant to Section 725a of the Code of Civil Procedure. (h) Bonds issued by the State of Israel. (i) Obligations issued, assumed, or guaranteed by the International Bank for Reconstruction and Development, the Inter-American Development Bank, the Asian Development Bank, the African Development Bank, the International Finance Corporation, or the Government Development Bank for Puerto Rico. (j) Any municipal securities, as defined by Section 3(a)(29) of the Securities Exchange Act of 1934, (15 U.S.C. 78, as amended), which are issued by this state or any local agency thereof. (k) Letters of credit issued by the Federal Home Loan Bank of San Francisco, which shall be in the form and shall contain provisions as the Treasurer may prescribe, and shall include the following terms: (1) The Treasurer shall be the beneficiary of the letter of credit. (2) The letter of credit shall be clean and irrevocable, and shall provide that the Treasurer may draw upon it up to the total amount in the event of the failure of the bank or if the bank refuses to permit the withdrawal of funds by the Treasurer or any other authorized state officer or employee. (3) Notwithstanding Section 16521, the letter of credit shall at all times be an amount in value of at least 100 percent of the amount deposited with the bank. (l) An eligible bank that has been selected by the Treasurer for the safekeeping of money belonging to, or in the custody of, the state, and that has its headquarters located outside of the state, may submit letters of credit that are drawn on its regional federal home loan bank as security, solely for deposits maintained in the Treasurer’s demand accounts, and subject to the terms set forth in paragraphs (1) to (3), inclusive, of subdivision (k). (Amended by Stats. 2021, Ch. 635, Sec. 2. (SB 239) Effective January 1, 2022.)
  12. 16523.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

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    The Treasurer may require a bank to provide an approved indemnity bond as a condition of eligibility, and the sureties cannot be stockholders of the principal.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16523. If it appears to him necessary for the security of the State, the Treasurer shall require as a condition of eligibility that a bank furnish an indemnity bond approved by the Treasurer, conditioned against loss by any depreciation in value that may occur in securities deposited as security for the safekeeping and prompt payment of deposits. The sureties shall not be stockholders of the principal. (Amended by Stats. 1957, Ch. 1542.)
  13. 16525.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

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    An otherwise eligible bank may, instead of depositing securities, deposit bonds of admitted surety insurers with the Treasurer as security for demand and time deposits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16525. In lieu of deposits of securities, any otherwise eligible bank may deposit with the Treasurer bonds of admitted surety insurers as security for demand and time deposits. (Amended by Stats. 1977, Ch. 582.)
  14. 16526.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

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    An admitted surety insurer may not serve as surety for demand or time deposits in any one bank if the amount is over 10% of its capital and surplus.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16526. An admitted surety insurer is not eligible as surety for demand or time deposits in any one bank in amounts in excess of 10 percent of the capital and surplus of the surety as shown in the preceding report issued by the United States Treasury Department. (Amended by Stats. 1977, Ch. 582.)
  15. 16527.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

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    On the Treasurer’s demand, the Insurance Commissioner must issue a certificate about an admitted surety insurer’s qualifications for demand or time deposits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16527. On demand of the Treasurer, the Insurance Commissioner shall issue a certificate showing the qualifications of any admitted surety insurer as surety for demand or time deposits. (Amended by Stats. 1977, Ch. 582.)
  16. 16528.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    A bond from an admitted surety insurer may be accepted as security for demand or time deposits only if it is certified by the Insurance Commissioner and the insurer also has a qualifying U.S. Treasury certificate of authority.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16528. The bond of an admitted surety insurer shall not be accepted as security for demand or time deposits unless it has been certified by the Insurance Commissioner as meeting the requirements of this chapter and unless it also holds a certificate of authority from the United States Treasury Department under which it is eligible as surety on federal bonds. (Amended by Stats. 1977, Ch. 582.)
  17. 16529.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The Attorney General prescribes the form of bonds required under this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16529. The form of bonds required under this chapter shall be prescribed by the Attorney General. (Added by Stats. 1945, Ch. 120.)
  18. 1653.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. PUBLIC OFFICERS AND EMPLOYEES [1000 - 3599.84] ( Division 4 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 3. Official Bonds [1450 - 1653] ( Chapter 3 enacted by Stats. 1943, Ch. 134. ) ## ARTICLE 8. Payment of Premiums [1650 - 1653] ( Article 8 enacted by Stats. 1943, Ch. 134. )

    Verify source ↗

    Premiums for certain county officers’ bonds are not a county charge unless the bond amount has been approved by the board of supervisors.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. PUBLIC OFFICERS AND EMPLOYEES [1000 - 3599.84] ( Division 4 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 3. Official Bonds [1450 - 1653] ( Chapter 3 enacted by Stats. 1943, Ch. 134. ) ## ARTICLE 8. Payment of Premiums [1650 - 1653] ( Article 8 enacted by Stats. 1943, Ch. 134. ) ## 1653. The payment of premiums for all bonds of deputies, clerks, assistants or subordinate officers of county officers shall not be a county charge unless the amount fixed for such bond has been approved by the board of supervisors. (Amended by Stats. 1951, Ch. 879.)
  19. 16530.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    A surety may end future liability on a deposit-security bond by giving the Treasurer 10 days’ written notice, and the Treasurer must then act within 10 days to require new security or withdraw the deposits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16530. A surety upon any bond to secure demand or time deposits may terminate the bond as to future liability by giving 10 days’ written notice of termination to the Treasurer. Such notice of termination shall not affect any liability accruing prior to the expiration of the 10-day period. Within 10 days after receipt of such a notice of termination, the Treasurer shall require other acceptable security or withdraw the deposits secured by the bond to be terminated. (Amended by Stats. 1977, Ch. 582.)
  20. 16531.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    Excess security for deposit may be withdrawn or released if the Treasurer gives written consent.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16531. That portion of any security for deposit that is in excess of the requirements of this article may be withdrawn or released on the written consent of the Treasurer. (Amended by Stats. 1957, Ch. 1542.)
  21. 16531.1.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    If the budget is late or Medi-Cal has a deficiency, specified state officials must move funds, repay the loan, and report the transfer on set deadlines.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16531.1. (a) Notwithstanding any other law and without regard to fiscal year, if the annual State Budget is not enacted by June 30 of the fiscal year preceding the fiscal year to which the budget would apply or there is a deficiency in the Medi-Cal budget during a fiscal year, all of the following shall occur: (1) The Controller shall annually transfer from the General Fund, upon order of the Department of Finance, in the form of one or more loans, an amount not to exceed a cumulative total of 10 percent of the amount appropriated from the General Fund for Medi-Cal benefit costs in the Budget Act of the most recent fiscal year, to the Medical Providers Interim Payment Fund, which is hereby created in the State Treasury. Notwithstanding Section 13340, the Medical Providers Interim Payment Fund is hereby continuously appropriated for the purpose of making payments to Medi-Cal providers, providers of services under Chapter 6 (commencing with Section 120950) of Part 4 of Division 105 of the Health and Safety Code, and providers of services under Division 4.5 (commencing with Section 4500) of the Welfare and Institutions Code, on or after July 1 of the fiscal year for which no budget has been enacted and before September 1 of that year or for the purpose of making payments to Medi-Cal providers, providers of services under Chapter 6 (commencing with Section 120950) of Part 4 of Division 105 of the Health and Safety Code, and providers of services under Division 4.5 (commencing with Section 4500) of the Welfare and Institutions Code, during the period in which the Medi-Cal program has a deficiency. Payments shall be made pursuant to this subdivision if both of the following conditions have been met: (A) An invoice has been submitted for the services. (B) Payment for the services is due and payable and the State Department of Health Care Services determines that payment would be valid. (2) For any fiscal year to which this subdivision applies, there is hereby appropriated an amount not to exceed 6 percent of the amount appropriated from the Federal Trust Fund for Medi-Cal benefit costs in the annual Budget Act of the most recent fiscal year, from the Federal Trust Fund to the Medical Providers Interim Payment Fund. (3) The Department of Finance shall notify the Legislature within 10 days of authorizing a transfer. The 10-day notification to the Legislature shall include the amount of the transfer, the reasons for the transfer, and the fiscal assumptions used to calculate the transfer amount. (b) Notwithstanding any other law, including Section 14159 of the Welfare and Institutions Code, the amount of a loan made pursuant to subdivision (a) and for which moneys were expended from the Medical Providers Interim Payment Fund shall be repaid either in the same fiscal year in which it was made or in the subsequent fiscal year, as determined by the State Department of Health Care Services in consultation with the Department of Finance. The loan shall be repaid by debiting the appropriate Budget Act item or by using the proceeds of a supplemental appropriations bill, as determined by the State Department of Health Care Services in consultation with the Department of Finance. (c) Within 30 days of the enactment of the annual Budget Act or a supplemental appropriations bill in a fiscal year to which subdivision (a) applies, the State Department of Health Care Services, in consultation with the Department of Finance, shall inform the Controller of its determination pursuant to subdivision (b) and shall designate the fiscal year and item of the Budget Act to which any expenditures and unexpended funds in the Medical Providers Interim Payment Fund shall be transferred. (Amended by Stats. 2023, Ch. 42, Sec. 3. (AB 118) Effective July 10, 2023.)
  22. 16532.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    If a bank does not pay the Treasurer on demand, the Treasurer must promptly recover or convert the security into money and disburse it according to law.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16532. If any bank fails to pay all or any part of such deposits on demand of the Treasurer, pursuant to the terms and conditions of the contract relating to the deposit that is to be withdrawn in whole or in part, the Treasurer shall forthwith recover upon or convert the security therefor into money and disburse it according to law. (Added by Stats. 1945, Ch. 120.)
  23. 16533.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    If the Treasurer finds deposited security unsatisfactory, the Treasurer may require additional security.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 2. Security for Deposits [16520 - 16533] ( Article 2 added by Stats. 1945, Ch. 120. ) ## 16533. If at any time the security deposited with the Treasurer is not deemed satisfactory by the Treasurer, he may require such additional security as is satisfactory to him. (Amended by Stats. 1957, Ch. 1542.)
  24. 16550.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    This article defines “qualified trust company” as a qualifying trust department or trust company in this state.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. ) ## 16550. As used in this article, “qualified trust company” means the trust department of any State or National bank in this State or a trust company authorized to act as such in this State. (Added by Stats. 1945, Ch. 120.)
  25. 16551.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    With the bank’s consent, the Treasurer may authorize certain banks or trust companies to receive securities, and may place securities in safekeeping as a trust deposit. A qualified trust company that has accepted the securities may, with the Treasurer’s prior approval, keep them with another eligible bank.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. ) ## 16551. With the consent of the bank owning securities deposited or to be deposited with him or her as security, the Treasurer may: (a) Authorize any qualified trust company, other than the depositor bank, or any federal reserve bank or any branch thereof or any state or national bank located in any city designated as a reserve or central reserve city by the Board of Governors of the Federal Reserve System to receive as his or her agent deposits of any securities approved under this chapter. (b) Place and maintain for safekeeping as a trust deposit with any qualified trust company, other than the depositor bank, or with any federal reserve bank or any branch thereof any securities that have been received by him or her under this chapter. (c) Whenever any qualified trust company accepts such securities under paragraph (a) or (b) such trust company, with the prior approval of the Treasurer, may keep such securities for safekeeping with any state or national bank located in a city designated as a reserve or central reserve city by the Board of Governors of the Federal Reserve System. (Amended by Stats. 2015, Ch. 25, Sec. 23. (SB 84) Effective June 24, 2015.)
  26. 16552.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The Treasurer must obtain a receipt when securities are received under this article.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. ) ## 16552. The Treasurer shall take from the qualified trust company or from any federal reserve bank or any branch thereof a receipt for any securities received by it under this article. Neither the Treasurer nor the state is responsible for the custody and safe return of such securities until they are withdrawn from the qualified trust company or from any federal reserve bank or any branch thereof by the Treasurer. (Amended by Stats. 2015, Ch. 25, Sec. 24. (SB 84) Effective June 24, 2015.)
  27. 16553.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    Qualified trust companies and federal reserve banks that receive Treasury securities must follow the Treasurer’s directions and written instructions, and the securities remain subject to the Treasurer’s order.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. ) ## 16553. Any qualified trust company or any federal reserve bank or any branch thereof to which securities are delivered, either as agent or depositary for the Treasury, shall make such disposition of the securities as the Treasurer directs and is responsible only for strict compliance with written instructions given to it by the Treasurer. All such securities are at all times subject to the order of the Treasurer. (Amended by Stats. 2015, Ch. 25, Sec. 25. (SB 84) Effective June 24, 2015.)
  28. 16554.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The owner must pay the charges for handling and safekeeping the securities.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 3. Custody of Securities [16550 - 16554] ( Article 3 added by Stats. 1945, Ch. 120. ) ## 16554. The charges of any qualified trust company or of any federal reserve bank or any branch thereof for the handling and safekeeping of such securities are not a charge against the Treasurer but shall be paid by the owner. (Amended by Stats. 2015, Ch. 25, Sec. 26. (SB 84) Effective June 24, 2015.)
  29. 16560.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The Treasurer may make deposit contracts with depositaries when he believes it will benefit the public, and those contracts must set deposit terms and repayment/security conditions.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. ) ## 16560. The Treasurer shall enter into such contracts with such depositaries as in his judgment will be to the public advantage so to do. The contracts shall fix the duration of deposits and the rates of interest to be received, if any, the interest payment dates, and provide conditions for their withdrawal, repayment, and security. (Amended by Stats. 1977, Ch. 622.)
  30. 16561.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    Contracts may include conditions needed to comply with federal reserve law and regulations, and demand deposits must be withdrawable at any time when the Treasurer demands it.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. ) ## 16561. In order to obtain as high rates of interest as possible, the contracts may contain any conditions necessary to conform with Section 19 of the Federal Reserve Act, as amended, and with regulations established pursuant thereto by the Board of Governors of the Federal Reserve System, and demand deposits shall be subject to withdrawal at any time upon demand of the Treasurer. (Amended by Stats. 1977, Ch. 622.)
  31. 16562.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    Deposit contracts must require depositaries to send the Treasurer daily account statements and, when interest is involved, interest statements and payment information.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. ) ## 16562. The contracts covering demand state deposits shall provide that each depositary shall render daily to the Treasurer a statement of the account showing the date of deposits, payments or withdrawals therefrom made during the day and the balance or amount of money of the state held by it at the close of the day. In the event that such demand deposits are interest bearing, the contract also shall provide that on the interest payment dates the depositary shall also furnish a statement showing the amount of interest due thereon together with the payment of the interest due. The contracts covering time or interest-bearing term deposits shall provide that the interest to be paid by the depositary bank shall be paid upon the expiration of the certificate or certificates of deposit issued as a part of the contract. The contract may also provide for periodic interest payments during the term of the deposit. The contract governing time deposits shall also provide that the amounts of interest shall be reported by the depositary bank at the time of payment of the interest, by statement showing the balances or amounts of money of the state held by it during the period and the amount of accrued interest thereon. (Amended by Stats. 1977, Ch. 622.)
  32. 16563.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    Depositaries must execute contracts in triplicate, and the Treasurer must file one copy of each contract with the Controller.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. ) ## 16563. The contracts shall be executed by the depositaries in triplicate. The Treasurer shall file one copy of each contract with the Controller. (Added by Stats. 1945, Ch. 120.)
  33. 16564.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    When State money is deposited in a designated bank, the Treasurer must keep a receipt, certificate of deposit, or other evidence of the deposit.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. ) ## 16564. At the time of depositing State money in any bank, designated as a depositary, the Treasurer shall take and preserve a receipt, certificate of deposit, or such other evidence of the deposit as the Treasurer may require, stating the amount deposited and referring to the contract made between the depositary bank and the Treasurer. (Added by Stats. 1945, Ch. 120.)
  34. 16565.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    Depositary banks must, when ordered by the Treasurer, handle, collect, and pay checks, drafts, and other exchange the same way and on the same conditions as for other depositors.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. Bank Deposits [16500 - 16565] ( Chapter 4 added by Stats. 1945, Ch. 120. ) ## ARTICLE 4. Contracts [16560 - 16565] ( Article 4 added by Stats. 1945, Ch. 120. ) ## 16565. On the order of the Treasurer, depositary banks shall handle, collect and pay all checks, drafts and other exchange in the same manner and under the same conditions as checks, drafts, and other exchange of other depositors are handled, collected and paid. (Added by Stats. 1945, Ch. 120.)
  35. 16580.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    This chapter is named the Accounts Receivable Management Act and may be cited by that name.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16580. This chapter shall be known and may be cited as the Accounts Receivable Management Act. (Added by Stats. 1994, Ch. 1224, Sec. 1. Effective January 1, 1995.)
  36. 16581.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    This section defines “Participant” for this chapter as all state agencies, departments, and offices.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16581. “Participant” for the purposes of this chapter means all state agencies, departments, and offices. (Added by Stats. 1994, Ch. 1224, Sec. 1. Effective January 1, 1995.)
  37. 16582.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    The Controller may ignore $25-or-less errors in individual accounts receivable within the uniform state payroll system when doing so will save time and expense.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16582. Within the uniform state payroll system, the Controller may, for each participant, disregard errors of twenty-five dollars ($25) or less in individual accounts receivable, if he or she has determined that time and expense will be saved in doing so. (Added by Stats. 2004, Ch. 520, Sec. 6. Effective January 1, 2005.)
  38. 16583.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    Each participant must prioritize collection resources toward accounts with the highest expected return and must consult the Franchise Tax Board or another state agency with an effective receivables collection system.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16583. (a) Each participant shall allocate collection resources based on giving highest priority to those accounts with the highest expected return. (b) Each participant shall consult with the Franchise Tax Board or any other state agency that has successfully established an effective accounts receivable collection system. (Added by Stats. 1994, Ch. 1224, Sec. 1. Effective January 1, 1995.)
  39. 16583.1.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    A participant may charge a reasonable fee for collection costs on a past due account, but only up to the actual costs.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16583.1. A participant may impose a reasonable fee, not to exceed the actual costs, to recover the participant’s collection costs on a past due account. (Added by Stats. 2009, 4th Ex. Sess., Ch. 23, Sec. 13. Effective July 28, 2009.)
  40. 16583.2.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    Participants must file an annual report with the Controller, and the Controller must tell them the report format and due date at least 60 days before it is due.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16583.2. (a) A participant shall submit an annual report to the Controller of the participant’s accounts receivables and discharged accounts. (b) The Controller shall inform a participant, not less than 60 days before the annual report is required to be submitted to the Controller, of both of the following: (1) The format for the annual report. (2) The submission date for the annual report. (Added by Stats. 2009, 4th Ex. Sess., Ch. 23, Sec. 14. Effective July 28, 2009.)
  41. 16584.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    A participant may sell or assign accounts receivable to a private collector only if it makes required findings, gives written notice to the debtor, and the debt has not been contested.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16584. (a) A participant may enter into a contract with a private debt collector or private person or entity for the assignment or sale of all or part of its accounts receivable, provided that the participant does all of the following: (1) Determines the assignment or sale is likely to generate more net revenue or net value than equivalent state efforts. (2) Determines the assignment or sale will not compromise future state revenue collections. (3) Notifies the debtor in writing at the address of record that the alleged accounts receivable debt will be turned over for private collection unless the debt is paid, or appealed within a time period, as determined by the participant. (b) No participant shall enter into a contract for the assignment or sale of any accounts receivable pursuant to subdivision (a) if the accounts receivable debt has been contested. (c) Any contract entered into pursuant to this section is subject to Article 4 (commencing with Section 10335) of Chapter 2 of Part 2 of Division 2 of the Public Contract Code. (Amended by Stats. 2007, Ch. 130, Sec. 118.5. Effective January 1, 2008.)
  42. 16585.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    Cities, counties, and city and county governments may sell or transfer accounts receivable to private collectors or others, but they must give written notice to the debtor first, and they may not do so if the debt has been contested.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16585. (a) A city, county, or city and county may sell or transfer part or all of its accounts receivable to a private debt collector or private persons or entities, provided the city, county, or city and county notifies the debtor in writing at the address of record that the alleged accounts receivable debt will be turned over for private collection unless the debt is paid, or appealed within a time period, as determined by the city, county, or city and county providing the notice. (b) No city, county, or city and county shall assign or sell any account receivable pursuant to subdivision (a) if the account receivable debt has been contested. (Amended by Stats. 2006, Ch. 538, Sec. 274. Effective January 1, 2007.)
  43. 16586.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. )

    Verify source ↗

    Claims for reimbursement under Welfare and Institutions Code Sections 11487 and 11487.5 are exempt from this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.3. The Accounts Receivable Management Act [16580 - 16586] ( Chapter 4.3 added by Stats. 1994, Ch. 1224, Sec. 1. ) ## 16586. Claims for reimbursement under Sections 11487 and 11487.5 of the Welfare and Institutions Code are not subject to this chapter. (Added by Stats. 1994, Ch. 1224, Sec. 1. Effective January 1, 1995.)
  44. 16600.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    This section defines eligible savings and loan associations and eligible credit unions, and limits their ability to receive deposits to the extent they provide the security required by the chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16600. (a) As used in this chapter, the following definitions shall apply: (1) “Eligible savings and loan association” means a state or federal savings association, as defined in Section 5102 of the Financial Code, located in this state, insured by the Federal Savings and Loan Insurance Corporation, and selected by the Treasurer for the safekeeping of money belonging to or in the custody of the state. An “eligible savings and loan association” must have received an overall rating of not less than “satisfactory” in its most recent evaluation by the appropriate federal financial supervisory agency of the association’s record of meeting the credit needs of the state’s communities, including low- and moderate-income neighborhoods, pursuant to Section 2906 of Title 12 of the United States Code. (2) “Eligible credit union” means a state or federal credit union located in this state, insured by the National Credit Union Administration, and selected by the Treasurer for the safekeeping of money belonging to or in the custody of the state. (b) An eligible savings and loan association or credit union is eligible to receive deposits only to the extent it furnishes the security required by this chapter. (Amended by Stats. 2000, Ch. 1036, first Sec. 3. Effective January 1, 2001.)
  45. 16601.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer must, as far as possible, deposit state money into eligible banks, savings and loan associations, and credit unions.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16601. Notwithstanding Section 16502, all other money in the State Treasury or under the control of the Treasurer belonging to or in the custody of the state, shall, so far as possible, be deposited by the Treasurer to the credit of the state in eligible banks as defined in Section 16500, eligible savings and loan associations, and eligible credit unions. Any sum in the State Treasury so deposited is deemed to be in the State Treasury. Any other amount so deposited is deemed to be held in trust by the Treasurer. (Amended by Stats. 1987, Ch. 1035, Sec. 2.)
  46. 16602.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer must determine how much money will be deposited in savings and loan associations and credit unions, and what interest rates will be received, subject to Article 4.5 limits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16602. Subject to the limitations of Article 4.5 (commencing with Section 16480) of Chapter 3, the Treasurer shall determine what amounts of money shall be deposited as deposits in savings and loan associations, and credit unions, and the rates of interest to be received. (Amended by Stats. 1987, Ch. 1035, Sec. 3.)
  47. 16603.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer may withdraw money from savings and loan association or credit union deposits and move it into bank demand deposits when needed for current requirements, if the contract allows.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16603. Subject to the applicable contract, the Treasurer may call in money from deposits in savings and loan associations and credit unions and place it in demand deposits in banks when necessary to meet current requirements. (Amended by Stats. 1987, Ch. 1035, Sec. 4.)
  48. 16604.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Deposits in a savings and loan association or credit union must not exceed the institution’s net worth.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16604. Deposits in any savings and loan association or credit union shall not exceed the total of its net worth. (Amended by Stats. 1987, Ch. 1035, Sec. 5.)
  49. 16605.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    State money controlled by state officers or employees other than the Treasurer must be deposited in specified in-state banks, savings associations, or credit unions, unless it is authorized petty cash. Depositing institutions must also provide required security to the Treasurer, and certain county funds must be secured under a separate article.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16605. Notwithstanding Section 16506, all money belonging to or in the custody of the state under the control of any state officer or employee, other than the Treasurer, except petty cash funds authorized by the Department of Finance, shall be deposited in state or national banks in this state, state and federal savings associations in this state, as defined in Section 5102 of the Financial Code, and credit unions in this state, and under conditions as the Director of Finance prescribes. Savings and loan associations or credit unions receiving deposits shall be required to deposit with the Treasurer the same security as is required by this chapter for deposits made by the Treasurer. Savings and loan associations or credit unions receiving deposits of money from a county advanced or apportioned to it pursuant to Section 4481 of the Food and Agricultural Code shall be required to secure deposits in accordance with Article 2 (commencing with Section 53630) of Chapter 4 of Part 1 of Division 2 of Title 5. (Amended by Stats. 1987, Ch. 1035, Sec. 6.)
  50. 16606.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    A state officer is exempt from liability on the officer’s official bond for losses from the failure of a savings and loan association or credit union, if the deposit was of an inmate’s money and the officer was acting as a trustee or fiduciary and deposited the money in good faith and according to law.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16606. A state officer is not liable on his or her official bond for losses caused by the failure of a savings and loan association or credit union in which a deposit is made of money belonging to an inmate of a state institution, if the officer was required or permitted by law to act as a trustee or fiduciary with respect to the money and if he or she made the deposit in good faith and in accordance with law. (Amended by Stats. 1987, Ch. 1035, Sec. 7.)
  51. 16607.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer is not responsible for money deposited in a savings and loan association or credit union under this chapter while it stays deposited there.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16607. The Treasurer is not responsible for any money deposited in a savings and loan association or credit union pursuant to this chapter, and while it remains so deposited. (Amended by Stats. 1987, Ch. 1035, Sec. 8.)
  52. 16608.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer must safeguard, manage, and disburse certain certificates of deposit, securities, interest, and sale proceeds, and the state must keep deposited securities in custody and return them safely.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16608. The Treasurer is responsible for the safekeeping, management and disbursement of the certificates of deposit received and the securities deposited with him, the interest received on deposits, and the proceeds of any sale under this chapter. The state is responsible for the custody and safe return of any securities so deposited. (Added by Stats. 1976, Ch. 349.)
  53. 16609.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    A state officer or employee who deposits state money in an unauthorized way may lose the office or employment.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 1. General [16600 - 16609] ( Article 1 added by Stats. 1976, Ch. 349. ) ## 16609. Any state officer or employee who deposits any money belonging to or in the custody of the state in any manner other than as prescribed in this chapter or Chapter 4 (commencing with Section 16500) is subject to forfeiture of his office or employment. (Added by Stats. 1976, Ch. 349.)
  54. 16610.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Security is not required for the part of a deposit that is insured under U.S. law.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16610. Security shall not be required for that portion of any deposit that is insured under any law of the United States. (Added by Stats. 1976, Ch. 349.)
  55. 16611.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Savings and loan associations and credit unions must deposit approved securities with the Treasurer, in a value at least 10% above the deposits they receive, to be eligible to keep those deposits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16611. To be eligible to receive and retain deposits, a savings and loan association and credit union shall deposit with the Treasurer as security for deposits, securities specified in Section 16612, and approved by the Treasurer, in an amount in value at least 10 percent in excess of the amount deposited with the savings and loan association or credit union. (Amended by Stats. 1987, Ch. 1035, Sec. 9.)
  56. 16612.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Lists what securities may be accepted as deposit security and sets conditions for promissory notes and letters of credit.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16612. The following securities may be received as security for deposits: (a) Bonds, notes, or other obligations of the United States, or those for which the faith and credit of the United States are pledged for the payment of principal and interest, including the guaranteed portions of small business administration loans, so long as such loans are obligations for which the faith and credit of the United States are pledged for the payment of principal and interest. (b) Notes or bonds or any obligations of a local public agency (as defined in the United States Housing Act of 1949 (42 U.S.C. Sec. 1441 et seq.)) or any obligations of a public housing agency (as defined in the United States Housing Act of 1937, (12 U.S.C. Sec. 1437 et seq.)) for which the faith and credit of the United States are pledged for the payment of principal and interest. (c) Bonds of this state or of any county, city, town, metropolitan water district, municipal utility district, municipal water district, bridge and highway district, flood control district, school district, water district, water conservation district or irrigation district within this state, and, in addition, revenue on tax anticipation notes, and revenue bonds payable solely out of the revenues from a revenue-producing property owned, controlled or operated by this state, or such local agency or district, or by a department, board, agency, or authority thereof. (d) Registered warrants of this state. (e) Bonds, consolidated bonds, collateral trust debentures, consolidated debentures, or other obligations issued by the United States Postal Service, federal land banks or federal intermediate credit banks established under the Federal Farm Loan Act, as amended, debentures and consolidated debentures issued by the Central Bank for Cooperatives and banks for cooperatives established under the Farm Credit Act of 1933, as amended, consolidated obligations of the Federal Home Loan Banks established under the Federal Home Loan Bank Act, bonds, debentures and other obligations of the Federal National Mortgage Association and of the Government National Mortgage Association established under the National Housing Act as amended, in the bonds of any federal home loan bank established under said act, bonds, debentures, and other obligations of the Federal Home Loan Mortgage Corporation established under the Emergency Home Finance Act of 1970, and in bonds, notes, and other obligations issued by the Tennessee Valley Authority under the Tennessee Valley Authority Act, as amended. (f) Bonds and notes of the California Housing Finance Agency issued pursuant to Chapter 7 (commencing with Section 51350) of Part 3 of Division 31 of the Health and Safety Code. (g) Promissory notes secured by first mortgages and first trust deeds upon residential real property located in California, provided that: (1) Notwithstanding Section 16611, the promissory notes shall at all times be in an amount in value at least 50 percent in excess of the amount deposited with the savings and loan association; (2) The Treasurer issues regulations, establishes procedures for determining the value of the promissory notes and develops standards necessary to protect the security of the deposits so collateralized; (3) The depository may exercise, enforce, or waive any right or power granted to it by promissory note, mortgage, or deed of trust; and (4) The following may not be used as security for deposits: (A) Any promissory note on which any payment is more than 90 days past due, (B) Any promissory note secured by a mortgage or deed of trust as to which there is a lien prior to the mortgage or deed of trust, or (C) Any promissory note secured by a mortgage or deed of trust as to which a notice of default has been recorded pursuant to Section 2924 of the Civil Code or an action has been commenced pursuant to Section 725a of the Code of Civil Procedure. (h) Bonds issued by the State of Israel. (i) Letters of credit issued by the Federal Home Loan Bank of San Francisco, which shall be in the form and shall contain provisions as the Treasurer may prescribe, and shall include the following terms: (1) The Treasurer shall be the beneficiary of the letter of credit. (2) The letter of credit shall be clean and irrevocable, and shall provide that the Treasurer may draw upon it up to the total amount in the event of the failure of the savings and loan association or credit union or if the savings and loan association or credit union refuses to permit the withdrawal of funds by the Treasurer or any other authorized state officer or employee. (3) Notwithstanding Section 16611, the letter of credit shall at all times be in an amount in value of at least 100 percent of the amount deposited with the savings and loan association or credit union. (Amended by Stats. 2021, Ch. 635, Sec. 3. (SB 239) Effective January 1, 2022.)
  57. 16613.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer may require a savings and loan association or credit union to provide an approved indemnity bond as a condition of eligibility, if needed for the security of the state.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16613. If it appears to him or her necessary for the security of the state, the Treasurer shall require as a condition of eligibility that a savings and loan association or credit union furnish an indemnity bond approved by the Treasurer, conditioned against loss by any depreciation in value that may occur in securities deposited as security for the safekeeping and prompt payment of deposits. The sureties shall not be stockholders of the principal. (Amended by Stats. 1987, Ch. 1035, Sec. 10.)
  58. 16614.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Eligible savings and loan associations or credit unions may deposit admitted surety insurer bonds with the Treasurer as security for demand and time deposits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16614. In lieu of deposits of securities, any otherwise eligible savings and loan association or credit union may deposit with the Treasurer bonds of admitted surety insurers as security for demand and time deposits. (Amended by Stats. 1987, Ch. 1035, Sec. 11.)
  59. 16615.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    An admitted surety insurer may not serve as surety for deposits above 10% of its capital and surplus for any one savings and loan association or credit union.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16615. An admitted surety insurer is not eligible as surety for deposits in any one savings and loan association or credit union in amounts in excess of 10 percent of the capital and surplus of the surety as shown in the preceding report issued by the United States Treasury Department. (Amended by Stats. 1987, Ch. 1035, Sec. 12.)
  60. 16616.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    On the Treasurer’s demand, the Insurance Commissioner must issue a certificate about an admitted surety insurer’s qualifications to act as surety for deposits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16616. On demand of the Treasurer, the Insurance Commissioner shall issue a certificate showing the qualifications of any admitted surety insurer as surety for deposits. (Added by Stats. 1976, Ch. 349.)
  61. 16617.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    A bond from an admitted surety insurer cannot be accepted as security for deposits unless it is certified by the Insurance Commissioner and the insurer also has a U.S. Treasury certificate of authority for federal surety bonds.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16617. The bond of an admitted surety insurer shall not be accepted as security for deposits unless it has been certified by the Insurance Commissioner as meeting the requirements of this chapter and unless it also holds a certificate of authority from the United States Treasury Department under which it is eligible as surety on federal bonds. (Added by Stats. 1976, Ch. 349.)
  62. 16618.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Attorney General prescribes the form of bonds required under this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16618. The form of bonds required under this chapter shall be prescribed by the Attorney General. (Added by Stats. 1976, Ch. 349.)
  63. 16619.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    A surety may end a deposit-security bond for future liability by giving the Treasurer 10 days’ written notice.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16619. A surety upon any bond to secure deposits may terminate the bond as to future liability by giving 10 days’ written notice of termination to the Treasurer. Such notice of termination shall not affect any liability accruing prior to the expiration of the 10-day period. Within 10 days after receipt of such a notice of termination, the Treasurer shall require other acceptable security or withdraw the deposits secured by the bond to be terminated. (Added by Stats. 1976, Ch. 349.)
  64. 16620.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Excess security for deposit may be withdrawn or released only with the Treasurer’s written consent.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16620. That portion of any security for deposit that is in excess of the requirements of this article may be withdrawn or released on the written consent of the Treasurer. (Added by Stats. 1976, Ch. 349.)
  65. 16621.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    If a savings and loan association or credit union does not pay deposits when the Treasurer demands payment, the Treasurer must quickly recover or convert the security and disburse it according to law.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16621. If any savings and loan association or credit union fails to pay all or any part of deposits on demand of the Treasurer, pursuant to the terms and conditions of the contract relating to the deposit that is to be withdrawn in whole or in part, the Treasurer shall forthwith recover upon or convert the security therefor into money and disburse it according to law. (Amended by Stats. 1987, Ch. 1035, Sec. 13.)
  66. 16622.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer may require additional security if the security on deposit is not satisfactory to the Treasurer.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 2. Security for Deposits [16610 - 16622] ( Article 2 added by Stats. 1976, Ch. 349. ) ## 16622. If at any time the security deposited with the Treasurer is not deemed satisfactory by the Treasurer, he may require such additional security as is satisfactory to him. (Added by Stats. 1976, Ch. 349.)
  67. 16625.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    This section defines “qualified trust company” for this article.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. ) ## 16625. As used in this article, “qualified trust company” means the trust department of any state or national bank in this state or a trust company authorized to act as such in this state. (Added by Stats. 1976, Ch. 349.)
  68. 16626.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer may, with consent, authorize certain banks or trust companies to receive approved securities and may place securities for safekeeping with them.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. ) ## 16626. With the consent of the savings and loan association or credit union owning securities deposited or to be deposited with him or her as security, the Treasurer may: (a) Authorize any qualified trust company or any federal reserve bank or any branch thereof or any state or national bank located in any city designated as a reserve or central reserve city by the Board of Governors of the Federal Reserve System or the Federal Home Loan Bank of San Francisco to receive as his or her agent deposits of any securities approved under this chapter. (b) Place and maintain for safekeeping as a trust deposit with any qualified trust company, or with any federal reserve bank or any branch thereof or the Federal Home Loan Bank of San Francisco any securities that have been received by him or her under this chapter. (c) Whenever any qualified trust company accepts securities under paragraph (a) or (b) the trust company, with the prior approval of the Treasurer, may keep the securities for safekeeping with any state or national bank located in a city designated as a reserve or central reserve city by the Board of Governors of the Federal Reserve System. (Amended by Stats. 2015, Ch. 25, Sec. 27. (SB 84) Effective June 24, 2015.)
  69. 16627.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer must obtain a receipt when receiving securities under this article.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. ) ## 16627. The Treasurer shall take from the qualified trust company or from any federal reserve bank or any branch thereof or the Federal Home Loan Bank of San Francisco a receipt for any securities received by it under this article. Neither the Treasurer nor the state is responsible for the custody and safe return of such securities until they are withdrawn from the qualified trust company or from any federal reserve bank or any branch thereof or from the Federal Home Loan Bank of San Francisco by the Treasurer. (Amended by Stats. 2015, Ch. 25, Sec. 28. (SB 84) Effective June 24, 2015.)
  70. 16628.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Certain custodians must handle delivered securities as the Treasurer directs and follow the Treasurer’s written instructions.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. ) ## 16628. Any qualified trust company or any federal reserve bank or any branch thereof or the Federal Home Loan Bank of San Francisco to which securities are delivered, either as agent or depositary for the Treasury, shall make such disposition of the securities as the Treasurer directs and is responsible only for strict compliance with written instructions given to it by the Treasurer. All such securities are at all times subject to the order of the Treasurer. (Amended by Stats. 2015, Ch. 25, Sec. 29. (SB 84) Effective June 24, 2015.)
  71. 16629.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Charges for handling and safekeeping these securities must be paid by the owner, not charged to the Treasurer.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 3. Custody of Securities [16625 - 16629] ( Article 3 added by Stats. 1976, Ch. 349. ) ## 16629. The charges of any qualified trust company or of any federal reserve bank or any branch thereof or the Federal Home Loan Bank of San Francisco for the handling and safekeeping of such securities are not a charge against the Treasurer but shall be paid by the owner. (Amended by Stats. 2015, Ch. 25, Sec. 30. (SB 84) Effective June 24, 2015.)
  72. 16630.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    The Treasurer must enter into contracts with savings and loan associations when, in the Treasurer’s judgment, doing so is to the public advantage.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. ) ## 16630. The Treasurer shall enter into contracts with savings and loan associations as in his or her judgment will be to the public advantage so to do. The contracts shall fix the duration of deposits and the rates of interest to be received, if any, the interest payment date, and provide conditions for their withdrawal, repayment, and security. (Amended by Stats. 1987, Ch. 1035, Sec. 15.)
  73. 16631.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Contracts may include conditions needed to match the federal act and related Federal Home Loan Bank Board regulations so interest rates can be as high as possible.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. ) ## 16631. In order to obtain as high rates of interest as possible, the contracts may contain any conditions necessary to conform with Section 5B of the Federal Home Loan Bank Act, as amended (12 USC Sec. 1425 (b)), and with regulations established pursuant thereto by the Federal Home Loan Bank Board. (Amended by Stats. 1977, Ch. 622.)
  74. 16632.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Deposit contracts must require interest to be paid when the deposit certificate expires, and they must also require reporting of interest amounts at payment time.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. ) ## 16632. The contracts covering deposits shall provide that the interest to be paid by the savings and loan association or credit union shall be paid upon the expiration of the certificate or certificates of deposit issued as a part of the contract. The contract may also provide for periodic interest payments during the term of the deposit. The contract governing deposits shall also provide that the amounts of interest shall be reported by the savings and loan association or credit union at the time of payment of the interest, by statement showing the balances or amounts of money of the state held by the association or credit union during the period and the amount of accrued interest thereon. (Amended by Stats. 1987, Ch. 1035, Sec. 16.)
  75. 16633.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    Savings and loan associations and credit unions must execute contracts in triplicate, and the Treasurer must file one copy with the Controller.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. ) ## 16633. The contracts shall be executed by the savings and loan associations and credit unions in triplicate. The Treasurer shall file one copy of each contract with the Controller. (Amended by Stats. 1987, Ch. 1035, Sec. 17.)
  76. 16634.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. )

    Verify source ↗

    When state money is deposited in a designated savings and loan association or credit union, the Treasurer must keep evidence of the deposit.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4.5. Savings and Loan Association Deposits [16600 - 16634] ( Chapter 4.5 added by Stats. 1976, Ch. 349. ) ## ARTICLE 4. Contracts [16630 - 16634] ( Article 4 added by Stats. 1976, Ch. 349. ) ## 16634. At the time of depositing state money in any savings and loan association or credit union, designated as a depository, the Treasurer shall take and preserve a receipt, certificate of deposit, or any other evidence of the deposit as the Treasurer may require, stating the amount deposited and referring to the contract made between the depository savings and loan association or credit union and the Treasurer. (Amended by Stats. 1987, Ch. 1035, Sec. 18.)
  77. 16640.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. Indemnification [16640 - 16642] ( Chapter 5 repealed and added by Stats. 1994, Ch. 31, Sec. 5. )

    Verify source ↗

    The State of California must indemnify specified trust fund board members, state officers and employees, and contract investment managers for losses tied to decisions not to invest in certain South Africa-related businesses or institutions.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. Indemnification [16640 - 16642] ( Chapter 5 repealed and added by Stats. 1994, Ch. 31, Sec. 5. ) ## 16640. Present and former members of the governing board of any trust fund, jointly and individually, state officers and employees, and investment managers under contract with the state shall be indemnified from the General Fund by the State of California from all claims, demands, suits, actions, damages, judgments, costs, charges, and expenses, including court costs and attorney’s fees, and against all liability, losses, and damages of any nature whatsoever that these present or former board members, officers, employees, or contract investment managers shall or may at any time have sustained by reason of any decision not to invest in business firms with business operations in South Africa or business arrangements with the government of South Africa, or any decision not to invest in financial institutions extending credit to the government of South Africa or South African corporations, pursuant to former Chapter 5 (commencing with Section 16640) of this part as it read prior to its repeal by the act adding this section. (Repealed and added by Stats. 1994, Ch. 31, Sec. 5. Effective March 30, 1994.)
  78. 16641.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. Indemnification [16640 - 16642] ( Chapter 5 repealed and added by Stats. 1994, Ch. 31, Sec. 5. )

    Verify source ↗

    The State of California must indemnify specified University of California regents, officers, employees, and contract investment managers for losses tied to decisions not to invest in South Africa-related businesses or financial institutions.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. Indemnification [16640 - 16642] ( Chapter 5 repealed and added by Stats. 1994, Ch. 31, Sec. 5. ) ## 16641. Present and former Regents of the University of California, jointly and individually, officers and employees of the University of California, and investment managers under contract with the University of California shall be indemnified from the General Fund by the State of California from all claims, demands, suits, actions, damages, judgments, costs, charges, and expenses, including court costs and attorney’s fees, and against all liability, losses, and damages of any nature whatsoever that these present or former regents, officers, employees, or contract investment managers shall or may at any time sustain by reason of any decision not to invest in business firms with business operations in South Africa or business arrangements with the government of South Africa, or any decision not to invest in financial institutions extending credit to the government of South Africa or South African corporations, pursuant to former Chapter 5 (commencing with Section 16640) of this part as it read prior to its repeal by the act adding this section. (Repealed and added by Stats. 1994, Ch. 31, Sec. 5. Effective March 30, 1994.)
  79. 16641.5.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. Indemnification [16640 - 16642] ( Chapter 5 repealed and added by Stats. 1994, Ch. 31, Sec. 5. )

    Verify source ↗

    The State of California must indemnify and hold harmless the Public Employees’ Retirement System, its board members, and state officers and employees for losses tied to the transfer of the Volunteer Firefighters Length of Service Award System.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. Indemnification [16640 - 16642] ( Chapter 5 repealed and added by Stats. 1994, Ch. 31, Sec. 5. ) ## 16641.5. The Public Employees’ Retirement System, as a public entity, and the present, future, and former board members of the Public Employees’ Retirement System, jointly and individually, and state officers and employees, shall be indemnified from the General Fund and held harmless by the State of California from all claims, demands, suits, actions, damages, judgments, costs, charges, and expenses, including, but not limited to, court costs and attorney’s fees, and against all liability, losses, and damages of any nature whatsoever that these present, future, or former board members, officers, and employees shall or may at any time sustain as a result of the transfer of the Volunteer Firefighters Length of Service Award System as described in Chapter 4.5 (commencing with Section 50950). (Added by Stats. 2007, Ch. 651, Sec. 1. Effective January 1, 2008.)
  80. 16645.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    This section defines key terms used in the chapter about using state funds and facilities in relation to union organizing.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645. For purposes of this chapter, the following terms have the following meanings: (a) “Assist, promote, or deter union organizing” means any attempt by an employer to influence the decision of its employees in this state or those of its subcontractors regarding either of the following: (1) Whether to support or oppose a labor organization that represents or seeks to represent those employees. (2) Whether to become a member of any labor organization. (b) “Employer” means any individual, corporation, unincorporated association, partnership, government agency or body, or other legal entity that employs more than one person in the state. (c) “State contractor” means any employer that receives state funds for supplying goods or services pursuant to a written contract with the state or any of its agencies. “State contractor” includes an employer that receives state funds pursuant to a contract specified in paragraph (2) of subdivision (d). For purposes of this chapter, the contract shall be deemed to be a contract with a state agency. (d) (1) “State funds” means any money drawn from the State Treasury or any special or trust fund of the state. (2) “State funds” includes any money appropriated by the state and transferred to any public agency, including a special district, that is used by the public agency to fund, in whole or in part, a service contract in excess of two hundred fifty thousand dollars ($250,000). (e) “State property” means any property or facility owned or leased by the state or any state agency. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  81. 16645.1.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    State contractors may not be reimbursed from state funds for costs used to assist, promote, or deter union organizing, and related reimbursement requests must include a certification.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645.1. (a) No state funds shall be used to reimburse a state contractor for any costs incurred to assist, promote, or deter union organizing. (b) Every request for reimbursement from state funds by a state contractor shall include a certification that the contractor is not seeking reimbursement for costs incurred to assist, promote, or deter union organizing. A state contractor that incurs costs to assist, promote, or deter union organizing shall maintain records sufficient to show that no reimbursement from state funds has been sought for those costs. The state contractor shall provide those records to the Attorney General upon request. (c) A state contractor is liable to the state for the amount of any funds obtained in violation of subdivision (a) plus a civil penalty equal to twice the amount of those funds. (d) This section does not apply to a fixed-price contract or to any other arrangement by which the amount of the payment of state funds does not depend on the costs incurred by the state contractor. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  82. 16645.2.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    Recipients of state grants must not use grant funds to support or oppose union organizing, and they must certify, account for, and retain records about the funds.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645.2. (a) The recipient of a grant of state funds, including state funds disbursed as a grant by a public agency, shall not use the funds to assist, promote, or deter union organizing. (b) For purposes of this section, each recipient of a grant of state funds shall account for those funds as follows: (1) State funds designated by the grantor for use for a specific expenditure of the recipient shall be accounted for as allocated to that expenditure. (2) State funds that are not designated as described in paragraph (1) shall be allocated on a pro rata basis to all expenditures by the recipient that support the program for which the grant is made. (c) Prior to the disbursement of a grant of state funds, the recipient shall provide a certification to the state that none of the funds will be used to assist, promote, or deter union organizing. Any recipient that makes expenditures to assist, promote, or deter union organizing shall maintain records sufficient to show that state funds have not been used for those expenditures. The grant recipient shall provide those records to the Attorney General upon request. (d) A grant recipient is liable to the state for the amount of any funds expended in violation of subdivision (a) plus a civil penalty equal to twice the amount of those funds. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  83. 16645.3.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    A state contractor must not assist, promote, or deter union organizing by employees working on certain state service or public works contracts.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645.3. (a) No state contractor shall assist, promote, or deter union organizing by employees who are performing work on a service contract, including a public works contract, for the state or a state agency. (b) A state contractor that violates subdivision (a) is liable for a civil penalty of one thousand dollars ($1,000) per employee per violation. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  84. 16645.4.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    State contractors receiving more than $50,000 in state funds under a state or state agency contract must not use those funds for union organizing activity.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645.4. (a) A state contractor that receives state funds in excess of fifty thousand dollars ($50,000) pursuant to a contract with the state or a state agency shall not use those state funds to assist, promote, or deter union organizing during the life of the contract, including any extensions or renewals of the contract. The dollar threshold in this subdivision, however, does not limit the application of other provisions of this chapter that restrict the use of state funds. (b) All contracts in excess of fifty thousand dollars ($50,000) and that are awarded by the state or a state agency shall contain the prohibition stated in subdivision (a). (c) A state contractor who is subject to subdivision (a) and who makes expenditures to assist, promote, or deter union organizing shall maintain records sufficient to show that no state funds were used for those expenditures. The state contractor shall provide those records to the Attorney General upon request. (d) A state contractor is liable to the state for the amount of any funds expended made in violation of subdivision (a) plus a civil penalty equal to twice the amount of those funds. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  85. 16645.5.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    Covered employers and subcontractors may not use state property for employee or supervisor meetings meant to assist, promote, or deter union organizing.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645.5. (a) An employer conducting business on state property pursuant to a contract or concession agreement with the state or a state agency, or a subcontractor on such a contract or agreement, shall not use state property to hold a meeting with any employees or supervisors if the purpose of the meeting is to assist, promote, or deter union organizing. This section does not apply if the state property is equally available, without charge, to the general public for holding a meeting. (b) An employer that violates subdivision (a) shall be liable to the state for a civil penalty equal to one thousand dollars ($1,000) per employee per meeting. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  86. 16645.6.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    A public employer receiving state funds must not use those funds to assist, promote, or deter union organizing.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645.6. (a) A public employer receiving state funds shall not use any of those funds to assist, promote, or deter union organizing. (b) Any public official who knowingly authorizes the use of state funds in violation of subdivision (a) shall be liable to the state for the amount of those funds. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  87. 16645.7.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    Private employers receiving more than $10,000 in state funds in a calendar year may not use those funds to assist, promote, or deter union organizing.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645.7. (a) A private employer receiving state funds in excess of ten thousand dollars ($10,000) in any calendar year on account of its participation in a state program shall not use any of those funds to assist, promote, or deter union organizing. (b) As a condition of participating in a state program pursuant to which it will receive state funds in excess of ten thousand dollars ($10,000) in any calendar year, a private employer shall provide a certification to the state that none of those funds will be used to assist, promote, or deter union organizing. (c) A private employer who is subject to subdivision (a) and who makes expenditures to assist, promote, or deter union organizing shall maintain records sufficient to show that no state funds were used for those expenditures. The private employer shall provide those records to the Attorney General upon request. (d) A private employer is liable to the state for any funds expended in violation of subdivision (a) plus a civil penalty equal to twice the amount of those funds. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  88. 16645.8.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    The Attorney General or a state taxpayer may sue for a violation of this chapter, but a taxpayer must first give written notice to the Attorney General.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16645.8. (a) A civil action for a violation of this chapter may be brought by the Attorney General, or by any state taxpayer, on behalf of the people of the State of California, for injunctive relief, damages, civil penalties, and other appropriate equitable relief. All damages and civil penalties collected pursuant to this chapter shall be paid to the State Treasury. (b) Before filing an action under this section, a taxpayer shall give written notice to the Attorney General of the alleged violation and the intent to bring suit. If the Attorney General commences a civil action for the same alleged violation within 60 days of receiving the notice, a separate action by the taxpayer shall be barred. (c) A taxpayer may intervene as a plaintiff in any action brought under this section. (d) A prevailing plaintiff in any action under this section is entitled to recover reasonable attorney’s fees and costs. A prevailing taxpayer intervenor who makes a substantial contribution to an action under this section is entitled to recover reasonable attorney’s fees and costs. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  89. 16646.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    This section says certain union-organizing-related expenses count as being for that activity, and commingled expenditures must be allocated pro rata between state funds and other funds.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16646. (a) For purposes of this chapter, any expense, including legal and consulting fees and salaries of supervisors and employees, incurred for research for, or preparation, planning, or coordination of, or carrying out, an activity to assist, promote, or deter union organizing shall be treated as paid or incurred for that activity. (b) For purposes of accounting for expenditures, if state funds and other funds are commingled, any expenditures to assist, promote, or deter union organizing shall be allocated between state funds and other funds on a pro rata basis. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  90. 16647.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    This chapter does not apply to certain activities or expenses connected to grievances, collective bargaining, access for labor organizations, required legal or contractual activities, or voluntary recognition agreements.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16647. This chapter does not apply to an activity performed, or to an expense incurred, in connection with any of the following: (a) Addressing a grievance or negotiating or administering a collective bargaining agreement. (b) Allowing a labor organization or its representatives access to the employer’s facilities or property. (c) Performing an activity required by federal or state law or by a collective bargaining agreement. (d) Negotiating, entering into, or carrying out a voluntary recognition agreement with a labor organization. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  91. 16648.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    This chapter does not apply to certain expenditures, grants, or contracts made or awarded before January 1, 2001, unless the grant or contract is later modified, extended, or renewed. It also does not require employers to keep records in any particular form.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16648. This chapter does not apply to an expenditure made prior to January 1, 2001, or to a grant or contract awarded prior to January 1, 2001, unless the grant or contract is modified, extended, or renewed after January 1, 2001. Nothing in this chapter requires employers to maintain records in any particular form. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  92. 16649.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. )

    Verify source ↗

    If part of this chapter is invalid, the rest still applies.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Prohibition on Use of State Funds and Facilities to Assist, Promote, or Deter Union Organizing [16645 - 16649] ( Chapter 6 added by Stats. 2000, Ch. 872, Sec. 2. ) ## 16649. The provisions of this chapter are severable. If any section or portion of this chapter, or any application thereof, is held invalid, in whole or in part, that invalidity shall not effect any other section, portion, or application that can be given effect. (Added by Stats. 2000, Ch. 872, Sec. 2. Effective January 1, 2001.)
  93. 16649.80.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    This section defines key terms used in the chapter on prohibited business arrangements.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.80. The definitions in this section shall govern the construction and interpretation of this chapter. (a) “Investment” or “invest” means the commitment of funds or other assets to a business firm, including a loan or other extension of credit made to that firm, or security given for the other assets to that business enterprise, or the beneficial ownership or control of a share or interest in that business firm, or of a bond or other debt instrument issued by that business firm. (b) “Business firm” means any foreign or domestic organization, association, corporation, partnership, venture, or other entity, its subsidiary, or affiliate which exists for profitmaking purposes or to otherwise secure economic advantage, other than a financial institution. (c) “Financial institution” means any foreign or domestic bank, bank holding company, savings and loan association, or credit union, or any foreign or domestic insurance company, brokerage firm, securities firm, investment company, mortgage banking company, finance company, personal property broker, mortgage loan broker, or consumer credit company, or any affiliate or subsidiary thereof. (d) “Business arrangements” means projects, ventures, undertakings, contractual relations, or other efforts requiring ongoing or periodic performance by either or both parties. (e) “Discriminatory business practices” means business arrangements that are prohibited by Sections 16721 and 16721.5 of the Business and Professions Code. (f) “State trust moneys” means funds administered by the Public Employees’ Retirement Fund, the Legislators’ Retirement Fund, the State Teachers’ Retirement Fund, the Judges’ Retirement Fund, the Judges’ Retirement System II Fund, the Volunteer Firefighter Fund, the General Fund portion of the University of California Retirement Fund, and any funds invested pursuant to this part. (g) “State trust fund” means the Public Employees’ Retirement Fund, the Legislators’ Retirement Fund, the State Teachers’ Retirement Fund, the Judges’ Retirement Fund, the Judges’ Retirement System II Fund, the Volunteer Firefighter Fund, and any investment fund created by this part. (h) “State moneys” means all money, bonds, and securities in possession of or collected by any state agency. (i) “Compliance with the Arab League’s economic boycott of Israel” means taking any action, with respect to the boycott of Israel by Arab countries, which is prohibited by the United States Export Administration Act of 1979. (Amended by Stats. 1994, Ch. 879, Sec. 2. Effective September 27, 1994. Operative November 9, 1994, by Sec. 16 of Ch. 879.)
  94. 16649.81.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    State trust moneys may not be used, on or after January 1, 1994, for new, additional, or renewed investments in business firms that engage in discriminatory business practices tied to the Arab League boycott of Israel.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.81. On or after January 1, 1994, state trust moneys shall not be used to make additional or new investments or to renew existing investments in business firms that engage in discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel. (Added by Stats. 1992, Ch. 1351, Sec. 2. Effective January 1, 1993.)
  95. 16649.82.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    A business firm can avoid Section 16649.81 if its governing body adopts a resolution with a stated policy against renewing, expanding, or starting discriminatory business practices tied to the Arab League’s boycott of Israel.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.82. Section 16649.81 shall not apply to any business firm which, by resolution of its governing body, adopts a policy not to renew existing, expand existing, or engage in new, discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel. The resolution required by this section shall include the following statement: “____ (name of business firm) agrees not to renew existing, expand existing, or engage in new, discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel.” (Amended by Stats. 1993, Ch. 439, Sec. 2. Effective January 1, 1994.)
  96. 16649.83.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    State trust moneys may not be used for certain investments in financial institutions tied to discriminatory business practices supporting the Arab League boycott of Israel, for investments on or after January 1, 1994.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.83. On or after January 1, 1994, state trust moneys shall not be used to make additional or new investments or to renew existing investments in financial institutions that engage in discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel. (Amended by Stats. 1993, Ch. 439, Sec. 3. Effective January 1, 1994.)
  97. 16649.84.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    A financial institution is exempt from Section 16649.83 if its governing body adopts a resolution and policy against renewing, expanding, or starting discriminatory business practices tied to the Arab League’s boycott of Israel.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.84. Section 16649.83 shall not apply to any financial institution which, by resolution of its governing body, adopts a policy not to renew existing, expand existing, or engage in new, discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel. The resolution required by this section shall include the following statement: “____ (name of financial institution) agrees not to renew existing, expand existing, or engage in new, discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel.” (Amended by Stats. 1993, Ch. 439, Sec. 4. Effective January 1, 1994.)
  98. 16649.86.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    Business firms must submit certain boycott-related information and certifications to the Treasurer, and renew the certification annually.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.86. (a) A copy of a resolution, as described in Sections 16649.82 and 16649.84, shall be submitted to the Treasurer and to the chief administrative officer of each state trust fund. Information shall also be submitted by business firms that provides a description of the discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel in existence as of the date of the resolution. (b) The copy of a resolution shall be accompanied by a certification, under penalty of perjury, that the adopted policy is being complied with. Annually thereafter a certification, under penalty of perjury, that the adopted policy is being complied with shall be submitted to the Treasurer. (c) The resolution and the information submitted to the Treasurer shall be deemed public documents and shall be open to public inspection. (Added by Stats. 1992, Ch. 1351, Sec. 2. Effective January 1, 1993.)
  99. 16649.87.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    State trust funds must reduce, by one-third each year, investments in certain business firms and financial institutions during the period from January 1, 1995 to January 1, 1998.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.87. Beginning January 1, 1995, and continuing thereafter until January 1, 1998, state trust funds shall annually reduce by one-third the value of their respective investments in business firms and financial institutions that engage in discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel. (Amended by Stats. 1993, Ch. 439, Sec. 5. Effective January 1, 1994.)
  100. 16649.88.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    State trust funds must not invest in business firms or financial institutions that engage in discriminatory practices supporting the Arab League boycott of Israel.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.88. Effective January 1, 1998, state trust funds shall not make or hold any investment in any business firm or financial institution that engages in discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel. (Amended by Stats. 1993, Ch. 439, Sec. 6. Effective January 1, 1994.)
  101. 16649.89.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    State moneys may not be deposited with certain financial institutions after January 1, 1994.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.89. State moneys shall not be deposited with financial institutions that, following January 1, 1994, engage in discriminatory business practices in furtherance of or in compliance with the Arab League’s economic boycott of Israel. (Added by Stats. 1992, Ch. 1351, Sec. 2. Effective January 1, 1993.)
  102. 16649.90.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    The listed prohibitions do not apply to loans or extensions of credit if the agreement was made before this chapter was enacted.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.90. The prohibitions contained in Sections 16649.83, 16649.87, 16649.88, and 16649.89, shall not apply to any loan or extension of credit for which an agreement is entered into before the date of enactment of this chapter. (Added by Stats. 1992, Ch. 1351, Sec. 2. Effective January 1, 1993.)
  103. 16649.92.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    The State of California must indemnify covered trust-fund board members, state officers and employees, and contracted investment managers for losses tied to decisions made under this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.92. Present, future, and former members of the governing board of any trust fund, jointly and individually, state officers and employees, and investment managers under contract with the state shall be indemnified from the General Fund by the State of California from all claims, demands, suits, actions, damages, judgments, costs, charges and expenses, including court costs and attorney’s fees, and against all liability, losses, and damages of any nature whatsoever that these present, future, or former board members, officers, employees, or contract investment managers shall or may at any time sustain by reason of any decision to restrict, reduce, or eliminate investments pursuant to this chapter. (Added by Stats. 1992, Ch. 1351, Sec. 2. Effective January 1, 1993.)
  104. 16649.93.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    The State of California must indemnify certain University of California regents, officers, employees, and contract investment managers for losses tied to decisions to restrict, reduce, or eliminate university investments under this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.93. Present, future, and former Regents of the University of California, jointly and individually, officers and employees of the University of California, and investment managers under contract with the University of California shall be indemnified from the General Fund by the State of California from all claims, demands, suits, actions, damages, judgments, costs, charges, and expenses, including court costs and attorney’s fees and against all liability, losses, and damages of any nature whatsoever that these present, future, or former regents, officers, employees, or contract investment managers shall or may at any time sustain by reason of any decision to restrict, reduce, or eliminate university investments pursuant to this chapter. (Added by Stats. 1992, Ch. 1351, Sec. 2. Effective January 1, 1993.)
  105. 16649.94.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    This chapter does not apply to certain defined contribution plans administered by the Department of Human Resources.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.94. This chapter shall not apply to any Internal Revenue Code Section 457, 401(k), or 403(b) defined contribution plan administered by the Department of Human Resources. (Amended by Stats. 2012, Ch. 665, Sec. 53. (SB 1308) Effective January 1, 2013.)
  106. 16649.95.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. )

    Verify source ↗

    This section allows certain business firms and financial institutions to use one resolution or certification to meet requirements in two sections, if both sections are fully complied with.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 2. STATE FUNDS [16300 - 16649.95] ( Part 2 added by Stats. 1945, Ch. 120. ) ## CHAPTER 7. Prohibited Business Arrangements [16649.80 - 16649.95] ( Chapter 7 added by Stats. 1992, Ch. 1351, Sec. 2. ) ## 16649.95. (a) Nothing in this chapter shall prohibit a business firm from utilizing a single resolution to satisfy the requirements of both Sections 16649.82 and 16641.5, provided that the specific requirements of Sections 16649.82 and 16641.5 are each fully complied with in the single resolution. (b) Nothing in this chapter shall prohibit a financial institution from utilizing a single resolution to satisfy the requirements of both Sections 16649.84 and 16642.5, provided that the specific requirements of Sections 16649.84 and 16642.5 are each fully complied with in the single resolution. (c) Nothing in this chapter shall prohibit a business firm or financial institution from utilizing a single certification to satisfy the requirements of both Sections 16649.86 and 16643, provided that the specific requirements of Sections 16649.86 and 16643 are each fully complied with in the single certification. (Added by Stats. 1992, Ch. 1351, Sec. 2. Effective January 1, 1993.)
  107. 16650.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    This section defines “fiscal agent” for this part of the Government Code.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. ) ## 16650. As used in this part, “fiscal agent” means any state fiscal agent selected and acting pursuant to Chapter 2 (commencing with Section 16670). (Amended by Stats. 1984, Ch. 193, Sec. 42.)
  108. 16651.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    If limitations have run on a State bond or coupon, the Treasurer may withdraw money held by fiscal agents for payment of that bond or coupon and move it into the Treasury for the General Fund.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. ) ## 16651. Whenever the statute of limitations has run against any outstanding bond or coupon issued by the State, the Treasurer may, at such time as he may determine, withdraw from the fiscal agents any money transferred to the fiscal agents to meet the payment of the bond or coupon and deposit it in the Treasury to the credit of the General Fund. (Amended by Stats. 1959, Ch. 1649.)
  109. 16652.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    If the Treasurer has competent proof that certain state debt instruments were lost or destroyed, the Treasurer must try to stop payment and must notify the State’s fiscal agents to do the same.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. ) ## 16652. Whenever it appears to the Treasurer, upon competent proof, that any bonds, coupons, or other evidences of state indebtedness, except warrants, have been lost or destroyed, he shall endeavor to stop payment on them, and notify the State’s fiscal agents to endeavor to stop payment thereon. (Amended by Stats. 1957, Ch. 2070.)
  110. 16653.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The State Treasurer and his agents must treat bond- and coupon-payment expenses as redemption costs and charge them to the proper fund.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. ) ## 16653. The expense incurred by the State Treasurer and his agents in the payment of bonds and bond coupons upon maturity or when called for prior redemption is a part of the cost of redemption of such bonds and bond coupons and shall be charged against the fund which is chargeable with the costs of administration of the proceeds of such bonds, if other than the General Fund. (Added by Stats. 1959, Ch. 995.)
  111. 16654.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The Controller must keep accounts and do accounting tasks the Treasurer says are needed for federal compliance, and state bond program agencies must give the Treasurer the program and fiscal information the Treasurer says is needed.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 1. General [16650 - 16654] ( Chapter 1 added by Stats. 1945, Ch. 120. ) ## 16654. The Controller shall establish and maintain accounts and perform accounting transactions as determined by the Treasurer to be necessary to comply with all provisions of federal law and regulations pertaining to retaining the bondholders’ exemption from federal income taxation on interest paid on state bonds. State agencies administering state bond programs shall provide the Treasurer with all program and fiscal information as determined by the Treasurer to be necessary to comply with these federal provisions. (Added by Stats. 1987, Ch. 6, Sec. 3. Effective March 23, 1987.)
  112. 16670.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The Governor may designate certain banking firms or institutions as state fiscal agents for paying state bonds and coupons, but only on the Treasurer’s recommendation.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. ) ## 16670. Upon the recommendation of the Treasurer, the Governor may designate well-known and responsible banking firms or associations, or incorporated banking institutions having a paid-up capital and surplus of not less than one million dollars ($1,000,000) as the state fiscal agents for the payment of bonds and coupons issued by the State. (Amended by Stats. 1957, Ch. 2070.)
  113. 16672.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    With the Governor’s approval, the Treasurer may set bond amounts and require fiscal agents to post bonds.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. ) ## 16672. With the approval of the Governor, the Treasurer may fix the amount of and require bonds from any fiscal agent to the State, conditioned on the faithful performance of its duties as fiscal agent. (Amended by Stats. 1957, Ch. 2070.)
  114. 16673.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The Treasurer may take necessary or proper actions to carry out this chapter, but only with the Governor’s approval.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. ) ## 16673. Subject to the approval of the Governor, the Treasurer may do all things necessary or proper to effectuate the purposes of this chapter, including, among others, the making of such arrangements with any fiscal agent as may be necessary including the compensation, if any, of any fiscal agent for services under this chapter, and the time when funds for the redemption of bonds and coupons shall be remitted to it. (Amended by Stats. 1957, Ch. 2070.)
  115. 16674.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    State bonds and coupons payable at the Treasurer’s office may also be paid at any fiscal agent, if the holder chooses.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. ) ## 16674. All bonds and coupons issued by the State, which by their terms are payable at the Office of the Treasurer, without further designation of a place of payment, are at the option of the holder also payable at any fiscal agent. (Amended by Stats. 1957, Ch. 2070.)
  116. 16676.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The Treasurer may set the time with the Governor’s approval, and then the Controller must draw the warrant and the Treasurer must remit funds for payment or reimbursement of bonds and coupons.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. ) ## 16676. At such time as the Treasurer may fix with the approval of the Governor in accordance with Section 16673; (a) the Controller shall draw his warrant for the payment of maturing or matured bonds and coupons and, (b) the Treasurer shall out of such funds remit to a fiscal agent in the form of check or draft sufficient funds for the redemption of the bonds and coupons or to reimburse the fiscal agent for matured bonds and coupons redeemed by the fiscal agent. (Amended by Stats. 1959, Ch. 1500.)
  117. 16677.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    A fiscal agent must promptly tell the remitting officer when remittances are received, and must promptly cancel paid bonds and coupons and return them to the Treasurer.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. ) ## 16677. Any fiscal agent shall promptly notify the remitting officer of the receipt of the remittances and shall promptly cancel paid bonds and coupons and return them to the Treasurer. (Amended by Stats. 1957, Ch. 2070.)
  118. 16678.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    A fiscal agent may redeem state bonds and coupons when the holder presents them, even if there is no certificate making them payable at a fiscal agent.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. ) ## 16678. Any fiscal agent may redeem state bonds and coupons when duly presented to it by the holder, with or without a certificate making them payable at a fiscal agent. (Amended by Stats. 1957, Ch. 2070.)
  119. 16679.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    Express charges and postage may be charged to the State.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 2. State Fiscal Agent [16670 - 16679] ( Chapter 2 added by Stats. 1945, Ch. 120. ) ## 16679. Express charges and postage are a proper charge against the State. (Added by Stats. 1945, Ch. 120.)
  120. 16700.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    This section defines “instrument” for this chapter as bonds, coupons, and other evidences of State indebtedness, but not warrants.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. ) ## 16700. As used in this chapter, “instrument” means bonds, coupons, and other evidences of State indebtedness, except warrants. (Added by Stats. 1945, Ch. 120.)
  121. 16701.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The Treasurer may issue duplicate instruments if there is competent proof that an instrument was lost or destroyed and the required security is deposited; the Treasurer may also pay matured, due, and payable indebtedness if records show the instrument is still outstanding and unpaid.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. ) ## 16701. Whenever it appears to the Treasurer upon competent proof that any instrument has been lost or destroyed and the required security is deposited, he may issue or cause to be issued instruments similar as to form and content, except that they shall be signed and countersigned by the corresponding officials in office at the time the new instruments are issued. If the indebtedness evidenced by the instrument has matured and is due and payable, he may pay it if his records show the instrument is outstanding and unpaid. (Added by Stats. 1945, Ch. 120.)
  122. 16702.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    If the Treasurer refuses to replace lost or destroyed instruments, the owner may apply to the Superior Court of the County of Sacramento for an order to make the Treasurer show cause.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. ) ## 16702. If the Treasurer refuses to issue or cause to be issued new instruments to replace those lost or destroyed, the owner may apply to the Superior Court of the County of Sacramento for an order requiring the Treasurer to show cause why he should not be required to issue or cause to be issued new instruments. (Added by Stats. 1945, Ch. 120.)
  123. 16703.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    A copy of the petition for the order to show cause must be served on the Treasurer at least 10 days before the hearing.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. ) ## 16703. A copy of the petition for the order to show cause shall be served upon the Treasurer not less than 10 days prior to the time set for the hearing. (Added by Stats. 1945, Ch. 120.)
  124. 16704.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    If the court finds the petitioner owned the instruments and they were lost or destroyed, the court may order the Treasurer to issue replacement instruments, if the petitioner gives the security required by this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. ) ## 16704. If the court finds that the petitioner is the lawful owner of the instruments described in the petition, that they have been lost or destroyed and can not after due diligence be found, and that no sufficient cause has been shown why new instruments to replace them should not be issued, it may make an order requiring the Treasurer to issue and deliver or cause to be issued and delivered to the petitioner new instruments in place of the lost or destroyed instruments, upon the petitioner’s giving the security required by this chapter. (Added by Stats. 1945, Ch. 120.)
  125. 16705.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The owner must give security before the Treasurer can issue a replacement instrument or pay a lost or destroyed one.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. ) ## 16705. Before the Treasurer may issue a new instrument or pay the indebtedness represented by a lost or destroyed instrument, the owner shall give security in (a) double the amount of the lost or destroyed bearer instrument, or (b) equal to the face amount of the lost or destroyed registered instrument, to indemnify the state against loss or damage that may be incurred on account of the lost or destroyed instrument. The security may be specified by, is subject to the approval of, and, after approval is endorsed thereon, shall be filed with, the Treasurer. (Amended by Stats. 1992, Ch. 509, Sec. 9. Effective January 1, 1993.)
  126. 16706.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    The owner must pay all costs and expenses connected with issuing any new instrument.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. ) ## 16706. The owner shall pay all costs and expenses in connection with the issuance of any new instrument. (Added by Stats. 1945, Ch. 120.)
  127. 16707.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. )

    Verify source ↗

    Duplicate instruments and their coupons must show key identifying and duplicate-status statements on their face.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 3. Duplicate Bonds [16700 - 16707] ( Chapter 3 added by Stats. 1945, Ch. 120. ) ## 16707. Every new instrument and every coupon of any instrument so issued shall state upon its face the number and denomination of the instrument for which it is issued; that it is issued in the place of the instrument claimed to have been lost or destroyed; that it is issued as a duplicate; and that if both the original and duplicate instruments are presented to and paid by the Treasurer, he shall not be held responsible for the duplicate payment but may rely on the security given. (Added by Stats. 1945, Ch. 120.)
  128. 16730.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    When the board requests it and the bond act requirements are met, the committee must decide whether interim financing or bond issuance is needed or desirable, and how much to obtain or issue and sell.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16730. Upon request of the board, supported as required in the bond act, the committee shall determine the necessity or desirability of obtaining interim financing pursuant to Section 16312 or 16313 and of issuing any bonds authorized to be issued and the amount of interim financing or bonds then to be obtained or issued and sold. Successive issues of bonds may be authorized and sold and shall be designated by an appropriate number or other designation. It is not necessary that all of the bonds authorized to be issued be sold at any one time. (Amended by Stats. 1991, Ch. 856, Sec. 2.)
  129. 16731.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

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    The committee must adopt a resolution when it decides bond sales are necessary or desirable, and the resolution must set the bond terms. The Treasurer has limits and conditions for hedging contracts and interest-rate determinations.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16731. Whenever the committee determines that the sale of all or any part of the bonds authorized to be issued is necessary or desirable, it shall adopt a resolution to that effect. The resolution shall specify all of the following as to the bonds then to be sold: (a) The aggregate number, aggregate par value, denominations, and the date of the bonds to be then sold. The denominations shall be in the sum of twenty-five dollars ($25) or multiples of that sum. The date appearing on the bonds shall be deemed to be the date of issuance for all purposes of this chapter, irrespective of the actual date of delivery of the bonds and the payment of the purchase price of the bonds. (b) The dates of maturity and the amount of the bonds maturing at each date of maturity, which amounts need not be equal. The last dates of maturity shall be not more than 45 years after the date of the bonds. (c) Whether or not the bonds are to be subject to redemption or tender prior to maturity, and, if so, the provisions for the redemption or tender, the manner of the call or notice thereof, and the price or prices at which the bonds shall be subject to redemption or tender. (d) (1) (A) The annual rate, or rates, of interest that the bonds to be issued shall bear, which shall be in the increments determined by the Treasurer, but not in excess of 11 percent. The rate or rates may be determined at the time of the sale of the bonds. (B) As an alternative to subparagraph (A), the resolution may specify that the bonds may pay a variable interest rate or rates, as prescribed in the resolution, but not in excess of 11 percent per annum, and in accordance with the requirements of this subparagraph. (i) At the time and as the result of the issuance of any bonds bearing a variable interest rate, the aggregate principal amount of all state general obligation bonds bearing variable interest rates may not exceed 20 percent of the aggregate principal amount of all state general obligation bonds then outstanding. (ii) For purposes of the calculation made pursuant to clause (i), variable rate bonds shall not include commercial paper notes issued pursuant to Section 16731.6 or bonds that have an effective fixed interest rate through a hedging contract, as specified in subparagraph (C), but shall include bonds that have an effective variable interest rate through a hedging contract. (iii) Notwithstanding any other provision of this chapter, if the committee decides to issue state general obligation bonds bearing variable interest rates, the committee is not required to comply with Section 16732. (iv) Notwithstanding any other provision of law, if bonds are issued bearing a variable interest rate under a bond act approved by the voters on or after January 1, 2002, and if the variable interest rate bonds provide a right of tender, then any amount payable by the state as a result of the tender with respect to principal of and interest on the bonds prior to the regularly scheduled principal or interest payment dates, or payable by the state pursuant to redemption or call initiated as a means to repay the obligation of the state resulting from the tender, is backed by the full faith and credit of the state and shall be payable under the bond act. (v) A contractual obligation of the state to repay advances and pay interest thereon under a credit enhancement or liquidity agreement entered into in connection with variable interest rate bonds providing a right of tender and issued under a bond act approved by the voters on or after January 1, 2002, shall be backed by the full faith and credit of the state and shall be payable under the bond act, except to the extent bond interest paid with an advance and interest on the advance would exceed the maximum interest rate specified in this subdivision. (C) For the purposes of clause (ii) of subparagraph (B), bonds that have an “effective fixed interest rate through a hedging contract” means bonds for which the Treasurer determines the hedging contract meets either of the following conditions: (i) Significantly reduces variable rate risk by providing changes in fair values or cashflows that substantially offset the changes in fair value or cashflows of the bonds. (ii) Qualifies for integration with the bonds in calculating the yield on the bonds under the rules prescribed in Section 148 of the United States Internal Revenue Code (26 U.S.C. Sec. 148). (D) The Treasurer’s determination specified in subparagraph (C) shall be made at the time the hedging contract is entered into and shall apply through the maturity of the bonds, unless the hedging contract is terminated prior to maturity. (2) (A) (i) Notwithstanding any other provision of law, for bonds approved by the voters after January 1, 2006, payment of any amounts owed by the state to a counterparty, after any offset for payments owed to the state on any hedging contract described in Section 5922 in connection with those bonds, shall be deemed to be included within the appropriation for interest on the bonds contained in the applicable bond act. (ii) The total payments of stated interest on the bonds together with payments owed by the state after any offset for payments owed to the state on a hedging contract shall not exceed the maximum interest rate set forth in this subdivision. (iii) To the extent payments of interest on a bond, together with payments on a hedging contract, would, in any fiscal year, exceed the maximum interest rate specified in this subdivision, the excess amounts may be paid in subsequent fiscal years, if the aggregate amount of interest and that excess amount paid in any year does not exceed the maximum interest rate specified in this subdivision. (B) The Treasurer may not enter into any hedging contract described by subparagraph (A) unless the committee has approved policies developed by the Treasurer relating to the entering into and managing of those hedging contracts that shall include both of the following: (i) A requirement that any hedging contract or program of contracts is designed to reduce the amount or duration of payment, currency, rate, spread, or similar risk or result in a lower cost of borrowing when used in combination with the issuance or carrying of bonds. (ii) A description of the criteria to be used to evaluate the potential risks and benefits to the state of entering into a particular hedging contract or program of contracts and to evaluate the performance of outstanding hedging contracts in comparison to the objectives for which the hedging contract was executed. (C) The policies approved pursuant to subparagraph (B) are exempt from the requirements of Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3. (e) The interest payment dates. (f) The technical form and language of the bonds. (g) Whether or not the right is reserved to make delivery in the form of temporary or interim bonds, certificates, or receipts, exchangeable for definitive bonds when executed and available for delivery. If the right is reserved, the denominations and form of the temporary securities shall be stated. (h) Provisions for the registration and exchange of bonds and for the use of a depository to hold book-entry bonds after issuance. (i) All other terms and conditions of the bonds and of the execution, issuance, and sale of the bonds, which shall be consistent with all of this chapter. (Amended by Stats. 2011, Ch. 282, Sec. 1. (AB 1408) Effective January 1, 2012.)
  130. 16731.5.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The committee may issue zero coupon or capital appreciation bonds and must set the bond terms by resolution, while the Treasurer must submit a certificate of principal amount within 30 days after delivery.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16731.5. (a) Notwithstanding any other provision of this chapter, the committee may provide for the issuance of all or part of the bonds authorized to be issued as zero coupon or capital appreciation bonds. The committee shall adopt a resolution finding that issuance of these bonds is necessary and desirable, directing the Treasurer to arrange for preparation of the requisite number of suitable bonds, and specifying other provisions relating to the bonds including the following: (1) The date, number, denominations, and aggregate par value of the bonds payable at maturity. The aggregate par value may be represented by bond certificates in denominations as the committee deems appropriate, but not less than twenty-five dollars ($25). (2) The dates of maturity and the aggregate amounts of the bonds maturing on each of these dates. Determination of maturity dates and amounts by the committee shall be made upon recommendation of the Treasurer to provide the maximum benefit to potential purchasers and to respond to the expected demand for the bonds. Whenever the committee determines to issue bonds from any authorized bond act as zero coupon or capital appreciation bonds, and to issue bonds from the same authorization at the same time pursuant to Section 16731, the committee may comply with the requirements of subdivision (b) of Section 16731 by taking into account all the bonds of the same authorization being issued at the same time. (3) The interest rate or rates, and interest payment dates applicable to the bonds. Zero coupon bonds may bear a zero rate of interest, and capital appreciation bonds may bear a stated rate of interest payable only at maturity, compounded at the same rate, which rate or rates may be determined at the time of sale of the bonds. The rate of interest borne by these bonds, or the nominal interest rate taking into account the original issue discount of these bonds, when bearing a zero interest rate, shall not exceed 11 percent per annum. (4) Any provisions for the redemption of the bonds prior to their stated maturity. (5) The technical form and language of the bonds. (6) All other terms and conditions of the bonds and of their execution, issuance, and sale, deemed necessary and appropriate by the committee. (b) Notwithstanding any other provision of this chapter, when the committee determines to issue bonds as zero coupon or capital appreciation bonds, all of the following shall apply: (1) The bonds may be sold at negotiated sale at a price below the par value in a manner consistent with paragraph (3) of subdivision (a). If the committee determines to issue other bonds authorized by the same bond act at the same time as zero coupon or capital appreciation bonds are issued, the other bonds may also be sold at negotiated sale with a discount of not more than 3 percent of the par amount thereof. (2) For purposes of determining the principal amount of bonds of any voted authorization outstanding, in the case of any bonds which are zero coupon or capital appreciation bonds and do not provide for payment of interest on the bond prior to maturity, the principal amount of the bonds shall be the cash price paid by the initial purchasers of the bonds to the state, and deposited in the fund, plus the amount of any costs of issuance of the bonds. Within 30 days of the delivery of any zero coupon or capital appreciation bonds, the Treasurer shall submit to the committee a certificate stating the principal amount of bonds of each issue, calculated as stated in this subdivision, which have been sold, and the certification shall be conclusive for all purposes under this chapter and the constitution. (3) The committee may arrange to utilize the services of investment banks, commercial banks, savings and loans or other financial institutions, or other advisers as it may deem appropriate to publicize and assist in the marketing and sale of zero coupon or capital appreciation bonds. (c) When zero coupon or capital appreciation bonds are issued pursuant to this section, the debt service payments on the bonds should continue to be managed in a manner consistent with the state’s policy of retiring general obligation bonds in an orderly efficient manner. It is the expectation of the Legislature that the authority provided by this section will not be used to defer debt service payments as a means of preserving General Fund moneys for short-term purposes. The committee shall provide in the resolution authorizing the issuance of zero coupon or capital appreciation bonds that the state shall set aside, in a separate trust fund within the State Treasury, an amount in each year representing the amount of interest accrued during that year to be payable at the maturity of the bonds, with these payments to be deemed a payment of debt service on the bonds. (Amended by Stats. 2011, Ch. 282, Sec. 2. (AB 1408) Effective January 1, 2012.)
  131. 16731.6.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

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    The committee may issue some or all authorized bonds as commercial paper notes, but it must adopt a resolution with required terms and interest limits.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16731.6. (a) Notwithstanding any other provision of this chapter, and as an alternative to the procedures set forth in Section 16731, the committee may provide for the issuance of all or part of the bonds authorized to be issued as commercial paper notes. The committee shall adopt a resolution finding that issuance of the bonds in the form of commercial paper notes is necessary and desirable, directing the Treasurer to arrange for preparation of the requisite number of suitable notes, and specifying other provisions relating to the commercial paper notes, including all of the following: (1) For each program of commercial paper notes authorized, the resolution shall contain the final date of maturity and the total aggregate principal amount of the commercial paper notes authorized to be outstanding at any one time up to the maturity date, in accordance with all of the following: (A) The resolution may provide that the commercial paper notes may be issued and renewed from time to time until the final maturity date, and that the amount issued from time to time may be set by the Treasurer up to the maximum amount authorized to be outstanding at any one time. (B) The resolution shall include methods of setting the dates, numbers, and denominations of the commercial paper notes. (C) The determination of the final maturity date and total amount by the committee shall be made upon recommendation of the Treasurer to meet the needs of the state for funds, to provide the maximum benefit to potential purchasers, and to respond to the expected demand for the commercial paper notes. (D) Notwithstanding any other provision of this chapter, whenever the committee determines to issue commercial paper notes, the committee is not required to comply with the requirements of Section 16732. (2) The method of setting the interest rates and interest payment dates applicable to the commercial paper notes, in accordance with the following: (A) Commercial paper notes may bear a stated rate of interest payable only at maturity, which rate or rates may be determined at the time of sale of each unit of commercial paper notes. (B) The rate of interest borne by the commercial paper notes shall not exceed 11 percent per annum. (C) Notwithstanding any other provision of this chapter, whenever the committee determines to issue commercial paper notes, the committee is not required to comply with the requirements of Section 16733. (3) Any provisions for the redemption of the commercial paper notes prior to stated maturity. (4) The technical form and language of the commercial paper notes. (5) All other terms and conditions of the commercial paper notes and of their execution, issuance, and sale, deemed necessary and appropriate by the committee. (b) Notwithstanding any other provision of this chapter, when the committee determines to issue commercial paper notes, all of the following shall apply: (1) The commercial paper notes may be sold at negotiated sale at a price below the par value in a manner consistent with paragraph (2) of subdivision (a). (2) During the term of any program of commercial paper notes, the renewal and reissuance from time to time of the commercial paper notes in an amount up to the maximum amount authorized by the resolution shall be deemed to be a refunding of the previously maturing amount, permitted by and consistent with Article 6 (commencing with Section 16780). (3) Consistent with the intent for the General Fund to realize a savings in debt service costs when commercial paper notes are issued in place of bonds without shifting or adding financing and debt service costs to the bond funds, the state administrative costs of commercial paper and interest payable and other costs associated with commercial paper notes shall be paid for as follows: (A) The proceeds of commercial paper notes are, notwithstanding Section 13340, continuously appropriated to pay the state administrative costs of commercial paper including, but not limited to, costs of the Treasurer’s office, the Controller’s office, and the Department of Finance. (B) An amount necessary to pay the interest payable on maturing commercial paper notes, up to the maximum rate authorized by law, is, notwithstanding Section 13340, continuously appropriated from the General Fund to pay the interest. (C) Notwithstanding Section 13340, there is continuously appropriated from the General Fund, an amount necessary to pay the costs associated with commercial paper notes that are not described in subparagraph (A), including, but not limited to, both of the following: (i) Fees, costs, indemnities, and other similar expenses incurred under or in connection with agreements to purchase commercial paper notes, including, but not limited to, letters or lines of credit, not to exceed annually for each agreement 3 percent of the maximum principal amount of commercial paper notes that could be purchased and outstanding at any one time pursuant to an agreement. (ii) All other costs, including, but not limited to, remarketing and dealer fees, issuing and paying agent fees, rating agency fees, and bond counsel fees, in an annual amount not to exceed 0.25 percent of the highest sum at any time during that year of the maximum principal amount of commercial paper notes authorized by all resolutions. (Amended by Stats. 2014, Ch. 28, Sec. 40. (SB 854) Effective June 20, 2014.)
  132. 16732.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

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    The committee must set bond maturity dates and maturity amounts by reference to estimated fund revenues, as far as practicable.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16732. In determining the dates of maturity of the bonds, and the amount thereof to mature at each date of maturity, the committee shall be guided, so far as it may deem to be practicable, by the amounts and dates of maturity of the revenue estimated to accrue to the fund pursuant to the bond act. The committee shall fix and determine the dates and amounts of such maturities in such manner that, together with the dates and amounts of interest payments on the bonds, they shall coincide, as nearly as it may deem to be practicable, with the dates and amounts of such estimated revenues. (Added by Stats. 1953, Ch. 1698.)
  133. 16733.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

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    Bond interest rates do not have to be uniform across the same issue, and negotiated-sale bonds use the rate or rates in the accepted bid or proposal unless a variable rate is set in the resolution. The first interest payment date may be set within one year after the bond date.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16733. The rate of interest to be borne by the bonds need not be uniform for all bonds of the same issue, and shall be the rate or rates specified in the bid or proposal for negotiated sale accepted by the Treasurer, unless a variable interest rate is prescribed for the bonds in the resolution pursuant to subdivision (d) of Section 16731. The first interest payment date may be any date within one year after the date of the bonds. (Amended by Stats. 2001, Ch. 97, Sec. 4. Effective July 24, 2001.)
  134. 16734.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

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    The bonds’ principal and interest must be paid in lawful U.S. money at specified state payment offices.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16734. Both principal of and interest on the bonds shall be payable in lawful money of the United States, at the Office of the State Treasurer, or at the office of any state fiscal agent, or at the office of any duly authorized agent of the State Treasurer. (Amended by Stats. 1957, Ch. 2070.)
  135. 16735.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

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    Each bond must state the bond act it is issued under, and if the bond can be called, tendered, or redeemed before maturity, it must also say so.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16735. Each bond shall contain a reference to the bond act, and if subject to call, tender, or redemption prior to maturity, a recital to that effect. (Amended by Stats. 2009, Ch. 205, Sec. 4. (SB 826) Effective January 1, 2010.)
  136. 16737.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. )

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    This section lets the committee authorize the Treasurer to issue notes for bond financing, and sets rules for how the notes may be sold, used, paid, and renewed.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 2. Issuance of Bonds [16730 - 16737] ( Article 2 added by Stats. 1953, Ch. 1698. ) ## 16737. (a) When the committee deems it in the best interests of the state, it may authorize the Treasurer, upon those terms and conditions that may be fixed by the committee or determined by the Treasurer, to issue notes, on a negotiated or a competitive-bid basis, maturing within a period not to exceed five years, in anticipation of the sale of bonds duly authorized at the time the notes are issued. The proceeds from the sale of those notes shall be deposited in the related fund and used only for the purposes for which may be used the proceeds of the sale of bonds in anticipation whereof the notes were issued or as additionally authorized by this section. (b) The notes authorized by this section may be sold at a price at, above, or below the principal amount thereof, at the discretion of the Treasurer. (c) Any premium received from the sale of notes authorized by this section may be applied to pay costs of issuance of the notes or interest accruing on the notes. (d) The notes authorized by this section may bear a fixed or variable rate or rates of interest. (e) In connection with the sale of notes pursuant to this section, the Treasurer may engage the services of legal and financial advisers, credit enhancers, trustees or paying agents, and other professionals that the Treasurer deems necessary, and may enter into contracts for these services, to be paid from proceeds of the notes or any duly enacted appropriation. (f) When the committee deems it in the best interests of the state, it may authorize the Treasurer to deliver the notes in payment for work or material furnished to the state for a public improvement, pursuant to a contract awarded in the manner prescribed by law. The notes shall be so delivered only for the purposes for which may be used the proceeds of the sale of bonds in anticipation whereof the notes were issued. (g) All notes issued pursuant to this section and any renewals thereof shall be payable at a fixed time, solely from the proceeds of the sale of the bonds and not otherwise, except if the sale of the bonds did not occur prior to the maturity of the notes issued in anticipation of the sale, the Treasurer shall, in order to meet the notes or the renewals thereof then maturing, issue renewal notes for this purpose. No renewal of a note or a renewal note shall be issued after the sale of bonds in anticipation of which the original note was issued. (h) Every note issued pursuant to this section and any renewal thereof shall, unless paid from a renewal note, be payable from the proceeds of the sale of bonds and not otherwise. The total amount of the notes or renewals thereof issued and outstanding shall not exceed the total amount of the unsold bonds. (i) Interest on the notes issued pursuant to this section shall be payable from any appropriation made for that purpose or from proceeds of the sale of the notes. (Amended by Stats. 2009, Ch. 205, Sec. 6. (SB 826) Effective January 1, 2010.)
  137. 16740.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 3. Preparation and Execution of Bonds [16740 - 16743] ( Article 3 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    After a qualifying committee resolution, the Treasurer must arrange for the preparation of the required bonds or notes and for the imprinting of the necessary matters on them after sale and award to the successful bidder.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 3. Preparation and Execution of Bonds [16740 - 16743] ( Article 3 added by Stats. 1953, Ch. 1698. ) ## 16740. After the adoption by the committee of any resolution in conformity with Section 16731, 16731.5, or 16731.6, the Treasurer shall arrange for the preparation of the requisite number of suitable bonds or notes, in accordance with the resolution, and in so doing shall arrange for the imprinting thereon of the matters necessary and appropriate thereto after the sale of the bonds and the awarding thereof to the successful bidder. (Amended by Stats. 1995, Ch. 697, Sec. 2. Effective October 10, 1995.)
  138. 16741.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 3. Preparation and Execution of Bonds [16740 - 16743] ( Article 3 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    State bonds must carry facsimile signatures of the Governor, Controller, and Treasurer, plus the Great Seal of California.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 3. Preparation and Execution of Bonds [16740 - 16743] ( Article 3 added by Stats. 1953, Ch. 1698. ) ## 16741. All bonds shall bear the facsimile signature of the Governor, the facsimile signature of the Controller, and the facsimile signature of the Treasurer, and each of the bonds shall bear an impress or a facsimile of the Great Seal of the State of California. Each such signature shall be that of the person who shall be in office at the date of authorizing the affixing thereof. Bonds and coupons so executed, when sold, shall be valid and binding notwithstanding any of these persons having ceased to hold their respective offices before the issuance and delivery of the bonds. (Amended by Stats. 1991, Ch. 856, Sec. 5.)
  139. 16742.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 3. Preparation and Execution of Bonds [16740 - 16743] ( Article 3 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    If the committee decides by resolution that certain bonds should not be sold or issued, the State Treasurer must cancel those bonds by perforation and mark the cancellation date. New bonds may then be prepared, executed, sold, and issued instead.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 3. Preparation and Execution of Bonds [16740 - 16743] ( Article 3 added by Stats. 1953, Ch. 1698. ) ## 16742. Whenever the committee may determine by resolution that for any reason any bonds which have been prepared and executed under the foregoing provisions should not be sold or issued, the State Treasurer shall cancel them by perforation with a suitable device in a manner to indicate such cancellation and the date thereof. Upon the committee so determining by resolution, new bonds, conforming to its directions, may be prepared and executed in lieu of any bonds so canceled, and may be sold and issued in the same manner as provided for other bonds in this chapter. (Added by Stats. 1953, Ch. 1698.)
  140. 16743.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 3. Preparation and Execution of Bonds [16740 - 16743] ( Article 3 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    Temporary or interim bonds, notes, certificates, or receipts may be issued instead of definitive bonds or notes if the resolution reserved that right, and the Treasurer’s signature alone can execute them.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 3. Preparation and Execution of Bonds [16740 - 16743] ( Article 3 added by Stats. 1953, Ch. 1698. ) ## 16743. If the right to do so has been reserved in the resolution adopted in conformity with Section 16731, 16731.5, or 16731.6, temporary or interim bonds, notes, certificates, or receipts may be issued and delivered in lieu of definitive bonds or notes, and shall be exchangeable for definitive bonds or notes when they are executed and available for delivery. The temporary securities shall conform to the resolution, and the signature of the Treasurer alone, which may be by signature stamp, shall be sufficient execution thereof. (Amended by Stats. 1995, Ch. 697, Sec. 3. Effective October 10, 1995.)
  141. 16752.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The Treasurer may continue a competitive bond sale by electronic means or public announcement and may choose the new time and place.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16752. The Treasurer may from time to time, by electronic means or by public announcement at the place and at or before the time fixed for a competitive sale of bonds, continue the sale to the time and place the Treasurer may select. (Amended by Stats. 2009, Ch. 205, Sec. 7. (SB 826) Effective January 1, 2010.)
  142. 16752.1.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The Treasurer may cancel or postpone a competitive bond sale by public announcement, including electronically, before or at the scheduled sale time and place.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16752.1. The Treasurer may cancel or postpone a competitive sale of bonds to an indefinite date by public announcement, including by electronic means, made prior to or at the time and place fixed for the sale of the bonds. The Treasurer may give notice of the new time and place of the sale of the bonds that the Treasurer may deem advisable. (Amended by Stats. 2009, Ch. 205, Sec. 8. (SB 826) Effective January 1, 2010.)
  143. 16753.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    Bids at competitive bond sales must be submitted to the Treasurer as publicly announced; negotiated-sale purchase proposals must be in a Treasurer-approved contract or similar agreement; and certain bidders or underwriters must provide a good faith deposit.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16753. (a) Each bid at a competitive sale shall be submitted to the Treasurer in the form and by the means specified by the Treasurer by public announcement. (b) Each proposal for purchase of bonds in a negotiated sale shall be made in a bond purchase contract or similar agreement approved by the Treasurer. (c) (1) The Treasurer shall require that each bidder in a competitive sale or underwriter in a negotiated sale provide a good faith deposit of at least one-half of 1 percent of the principal amount of the bonds for which the bidder or underwriter submits a bid or proposal. The good faith deposit shall be based upon the principal amount of bonds offered for sale in the amount that has been publicly announced at least one day prior to receipt of bids for a competitive sale, or in the amount that is reasonably determined by the Treasurer at least one day prior to a negotiated sale of bonds. The Treasurer shall specify the form of the deposit, which may be a cashier’s check, a surety bond, a wire transfer of funds, or a combination thereof. The deposit shall not bear interest. (2) This subdivision shall apply only to bonds sold with a fixed interest rate. (Amended by Stats. 2009, Ch. 205, Sec. 9. (SB 826) Effective January 1, 2010.)
  144. 16754.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The Treasurer must sell the specified bonds by competitive sale to the bidder with the lowest interest cost and must reject bids below par value plus accrued interest.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16754. (a) The bonds specified in the resolution shall be sold by the Treasurer, at the time fixed by the Treasurer, and upon the notice that the Treasurer may deem advisable, or at the time to which the sale shall have been so continued, at a competitive sale to the bidder whose bid will result in the lowest interest cost on account of those bonds. (b) The Treasurer shall reject any and all bids for the bonds that shall be below the par value thereof plus the interest that shall have accrued thereon from the date thereof or, if any past due coupon or coupons have been detached from the bonds prior to the delivery thereof, then from the due date of the latest coupon so detached, to the date of the purchaser’s payment for the bond. (c) The method of determining the lowest interest cost bid shall be prescribed in the bond resolution and shall be limited to either the net interest cost method or the present worth basis method, also referred to as the true interest cost, bond book basis, and Canadian interest cost method. (1) The net interest cost of each bid shall be determined by ascertaining the total amount of interest that the state would be required to pay under that bid, from the date of the bonds to the respective maturity dates of the bonds then offered for sale, at the coupon rate or rates specified in the bid, less the total amount of the premium, if any, offered by the bid. The bid under which the amount so ascertained is the least shall be deemed to be the bid resulting in the lowest net interest cost. (2) Under the present worth basis method, the bonds shall be awarded to the bidder submitting the lowest interest rate bid, which shall be determined by doubling the semiannual interest rate, compounded semiannually, necessary to discount the debt service payments to the specified interest computation date and to the price bid. (d) Under either method specified in subdivision (c), the sale shall be for cash, payable upon the delivery of the bonds in definitive form, or if the right to deliver temporary securities has been reserved, then upon the delivery of the temporary securities. (Amended by Stats. 2009, Ch. 205, Sec. 10. (SB 826) Effective January 1, 2010.)
  145. 16754.3.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The Treasurer must sell the specified bonds under the section’s rules, and may use negotiated sales or sell below par only within the stated conditions.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16754.3. (a) The bonds specified in the resolution shall be sold by the Treasurer, at the time fixed by the Treasurer, and upon the notice that the Treasurer may deem advisable, or at the time to which the sale shall have been so continued, either at a competitive sale to the bidder whose bid will result in the lowest interest cost on account of those bonds or by a negotiated sale if the Treasurer determines it will result in a lower interest cost. With respect to bonds sold by the Treasurer by negotiated sales, the Treasurer shall make a finding on the public record as to why a competitive sale was not used. The Treasurer may sell the bonds at a price below the par value thereof, but the discount on bonds so sold shall not exceed 3 percent of the par value. The interest, if any, accrued to the date of delivery of, and payment for, the bonds shall be added to the sale price of the bonds in any case. (b) (1) The method of determining the lowest interest cost bid shall be prescribed in the bond resolution and shall be limited to either the net interest cost method or the true interest cost method. (A) The net interest cost of each bid shall be determined by ascertaining the total amount of interest that the state would be required to pay under that bid, from the date of the bonds to the respective maturity dates of the bonds then offered for sale, at the interest rate or rates specified in the bid, less the total amount of the premium, if any, or plus the total amount of the discount, if any, offered by the bid. The bid under which the amount so ascertained is the least shall be deemed to be the bid resulting in the lowest net interest cost. (B) Under the true interest cost method, the bonds shall be awarded to the bidder submitting the lowest interest rate bid determined by the nominal interest rate that, when compounded semiannually and used to discount the debt service payments on the bonds to the date of the bonds, results in an amount equal to the price bid for the bonds, excluding interest accrued to the date of delivery. (2) Under either method specified in this subdivision, the sale shall be for cash, payable upon the delivery of the bonds in definitive form, or if the right to deliver temporary securities has been reserved, then upon the delivery of the temporary securities. (c) Notwithstanding subdivision (a) or (b), if the resolution prescribes that the bonds may pay a variable interest rate, as specified in subdivision (d) of Section 16731, the Treasurer may sell the bonds by negotiated sales if the Treasurer determines that it is in the best interest of the state to do so. (d) This section shall apply to any bonds authorized at any statewide election held at any time after the effective date of this section. Section 16754 shall apply only to bonds authorized at elections held before the effective date of this section. (Amended by Stats. 2009, Ch. 205, Sec. 11. (SB 826) Effective January 1, 2010.)
  146. 16754.5.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The Treasurer may sell certain veterans’ farm and home aid bonds by negotiated sale if the Veterans’ Finance Committee of 1943 approves.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16754.5. Notwithstanding any provision in this article to the contrary, bonds to provide farm and home aid for veterans in accordance with the Veterans’ Farm and Home Purchase Act of 1974 (Article 3.1 (commencing with Section 987.50) of Chapter 6 of Division 4 of the Military and Veterans Code), may be sold by negotiated sale by the Treasurer with the approval of the Veterans’ Finance Committee of 1943. (Added by Stats. 1996, Ch. 161, Sec. 1. Effective July 12, 1996.)
  147. 16755.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    Unsuccessful bidders get their deposits back promptly; a successful bidder’s or underwriter’s deposit can become state property and be applied to the bond purchase price if payment is made on time; if payment is not made, the bidder or underwriter generally loses rights to the bonds and the deposit, with limited exceptions.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16755. (a) The deposit of each unsuccessful bidder shall be returned to the bidder promptly upon the rejection of the bidder’s bid or the acceptance of another bid. (b) The deposit of the successful bidder or underwriter in a negotiated sale shall, immediately upon the acceptance of the bid or proposal, become and be the property of the state, be placed in the State Treasury to the credit of the fund, and be credited to the successful bidder or underwriter upon the purchase price of the bonds when the purchase price is paid in full within the time mutually agreed upon between the successful bidder or underwriter and the Treasurer. (c) If the purchase price is not paid in accordance with subdivision (b), the successful bidder or underwriter shall have no right in and to the bonds by reason of the bid or purchase contract and the successful bidder or underwriter shall not have any right to the recovery of the deposit accompanying the bid or purchase contract or to any allowance or credit by reason of that deposit unless it shall appear that the bonds cannot be validly issued or delivered, or unless the return of the good faith deposit to the underwriter is provided for in the purchase contract. (Amended by Stats. 2009, Ch. 205, Sec. 12. (SB 826) Effective January 1, 2010.)
  148. 16756.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    Bonds must be delivered to the purchaser in definitive form when paid in full, unless temporary securities are reserved or definitive delivery is waived. If the purchase price is not paid, the State Treasurer must resell the unpaid bonds after notice.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16756. Upon payment in full, the bonds shall be delivered to the purchaser in definitive form, unless the right to deliver temporary securities has been reserved or the purchaser has waived the right to receive definitive bonds at the time of payment, in either of which events such temporary securities, exchangeable for definitive bonds, may be delivered upon such payment. In case the purchase price is not so paid, the bonds so sold but not paid for shall be resold by the State Treasurer, upon notice, as provided in case of original sale. (Added by Stats. 1953, Ch. 1698.)
  149. 16757.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The Treasurer must promptly deposit bond sale proceeds and any accrued interest into the fund.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16757. (a) The proceeds of each sale of bonds, and the amount that may have been paid as accrued interest on the bonds, shall be forthwith paid over by the Treasurer into the fund. (b) All money deposited in the fund pursuant to this section that is derived from premium and accrued interest on bonds sold shall be reserved in the fund and shall be available for transfer to the General Fund as provided in the bond act, except that amounts derived from premium on the bonds may be used to pay costs of issuance of the bonds, as provided in Section 16724.5, and in subdivisions (d) and (e) of Section 16727, prior to transfer to the General Fund. (Amended by Stats. 2009, Ch. 205, Sec. 13. (SB 826) Effective January 1, 2010.)
  150. 16758.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    Committee and member expenses incurred in performing duties must be paid from the fund, and members must file claims with the State Controller to get those expenses paid.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16758. All actual and necessary expenses of the committee and of the members thereof incurred in the performance of their duties shall be paid out of the fund. Such expenses incurred by members of the committee shall be so paid upon claims filed with the State Controller by the member or members who incurred such expenses. (Added by Stats. 1953, Ch. 1698.)
  151. 16759.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The Treasurer must send the Chairperson of the Joint Legislative Budget Committee an update after each bond sale covered by this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16759. The Treasurer shall submit to the Chairperson of the Joint Legislative Budget Committee, after each sale of bonds authorized to be sold under this chapter, an update as to the percentage of general fund moneys that would be used to service the resulting general obligation bond obligations. (Added by Stats. 1988, Ch. 1561, Sec. 1.)
  152. 16760.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    If the committee thinks a legal opinion would help sell the bonds or improve their price, it may authorize the State Treasurer, the Department of Finance, or both to get one, but not from the Attorney General.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 4. Sale of Bonds [16752 - 16760] ( Article 4 added by Stats. 1953, Ch. 1698. ) ## 16760. Whenever the committee deems that it will increase the salability or the price of the bonds to obtain, prior to or after sale, a legal opinion, other than that of the Attorney General, as to the validity of the bonds, the committee may authorize the State Treasurer or the Department of Finance, or both, to obtain such a legal opinion. (Added by Stats. 1953, Ch. 1698.)
  153. 16770.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The State Treasurer must pay bonds and related coupons on maturity, on a prior redemption date, or on the coupon due date, and also as soon as they are surrendered.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. ) ## 16770. The State Treasurer, directly or through state fiscal agents, or other duly authorized agents, shall, on the respective dates of maturity of all bonds, or on the date fixed for the prior redemption of any thereof which may be duly called for redemption, and on the respective due dates of all coupons pertaining to any of said bonds, other than coupons canceled because of the redemption of any of said bonds prior to maturity, or as soon thereafter as said bonds or coupons respectively are surrendered to him, or to any such state fiscal agent, or other duly authorized agent, pay the same. (Amended by Stats. 1957, Ch. 2070.)
  154. 16771.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The State Treasurer, state fiscal agent, or another authorized agent must cancel paid bonds or coupons, cancel unsold executed bonds at maturity, and detach and cancel due coupons on unsold bonds.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. ) ## 16771. Upon the payment of any such bond or coupon, the State Treasurer, or the state fiscal agent, or other duly authorized agent, shall cancel the same in a manner to indicate the payment. The State Treasurer, or state fiscal agents, or other duly authorized agents, shall also on the respective dates of maturity of any such bonds that have been executed but remain unsold, cancel the same in a manner to indicate cancellation and on the respective due dates of all coupons attached to any such bond remaining unsold, shall detach all coupons the due date of which has been reached, and cancel them in the same manner as provided for the cancellation of bonds remaining unsold. (Amended by Stats. 2001, Ch. 97, Sec. 7. Effective July 24, 2001.)
  155. 16772.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The State Treasurer, state fiscal agents, or other duly authorized agents may destroy or cremate bonds and related coupons that have already been paid or canceled.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. ) ## 16772. The State Treasurer, or state fiscal agents, or other duly authorized agents, may destroy or cremate any or all bonds and any or all coupons pertaining thereto which have been previously paid or canceled as provided herein. (Amended by Stats. 1959, Ch. 209.)
  156. 16773.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    The Controller must draw warrants to pay bond principal and interest when due, using the specified fund order for certain bond payments.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. ) ## 16773. (a) Whenever any payment of principal of any bonds shall become due, either upon the maturity of any of the bonds or upon the redemption thereof prior to maturity, and whenever any interest on any of the bonds shall fall due, warrants shall be drawn against the appropriation made by the bond act from the General Fund by the Controller in favor of the Treasurer, or state fiscal agents, or other duly authorized agents, pursuant to claims filed with the Controller by the Treasurer, in the amounts so falling due. (b) For any payments of debt service, as defined in subdivision (c) of Section 998.404 of the Military and Veterans Code, with respect to any bonds issued pursuant to a veterans’ farm and home purchase bond act adopted pursuant to Chapter 6 (commencing with Section 980) of Division 4 of the Military and Veterans Code, the Controller shall first draw warrants against the appropriation from the Veterans’ Bonds Payment Fund in Section 988.6 of the Military and Veterans Code, and, to the extent moneys in that fund are insufficient to pay the amount of debt service then due, shall draw warrants against the appropriation made by the bond act from the General Fund for payment of any remaining amount then due. (c) (1) For any payments of debt service, as defined in paragraph (4) of subdivision (a) of Section 16965, with respect to any designated bonds issued pursuant to Proposition 1B, the Controller shall first draw warrants against the appropriation from the Transportation Bond Direct Payment Account of the Transportation Debt Service Fund created by subdivision (a) of Section 16965, and, to the extent moneys in that account are insufficient to pay the amount of debt service then due, shall draw warrants from the General Fund for payment of any remaining amount then due against such appropriation as may be available therefor, including the appropriation made by Proposition 1B. (2) (A) For purposes of this subdivision and Section 16965, “Proposition 1B” means the Highway Safety, Traffic Reduction, Air Quality, and Port Security Bond Act of 2006 (Chapter 12.49 (commencing with Section 8879.20) of Division 1). (B) For purposes of this subdivision, Section 16965, and Section 9400.4 of the Vehicle Code, the term “designated bond” means any designated bond under Proposition 1B, and the term “nondesignated bond” means any bond issued under Proposition 1B, whether issued before or after the enactment of the act adding this subdivision, that is not a designated bond. For purposes of this subdivision, a “designated bond” is an issue of bonds (including refunding bonds) under Proposition 1B that has been designated by the Treasurer upon or prior to its issuance, with the approval of the related finance committee, to be paid pursuant to paragraph (1). (Amended by Stats. 2013, Ch. 35, Sec. 3. (SB 85) Effective June 27, 2013.)
  157. 16774.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. )

    Verify source ↗

    If the committee decides certain bonds should be redeemed or retired early and money is available, it may direct the Treasurer to do so; related funds must be held and used only for the bond payment purposes stated here.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 5. Payment, Cancellation, and Redemption of Bonds [16770 - 16774] ( Article 5 added by Stats. 1953, Ch. 1698. ) ## 16774. (a) If the committee determines that any bonds then outstanding, including bonds that by their terms are subject to redemption prior to maturity, should be redeemed or retired prior to maturity, and that money sufficient for that redemption or retirement will be available in the fund or the General Fund at the time proposed for the redemption or retirement, it may, by resolution, direct the Treasurer to call and redeem or retire any of these bonds, at a time specified in the resolution, and the Treasurer shall thereupon either give notice of the proposed redemption and redeem the bonds in accordance with the provisions for redemption provided for in the resolution adopted under Section 16731 pursuant to which the bonds were issued or arrange for the purchase and retirement of the bonds. (b) Money sufficient for the redemption or retirement shall be determined to be available in the General Fund if the Treasurer certifies that either the issuance of refunding bonds under Article 6 (commencing with Section 16780) or the deferral of the planned payment of principal on outstanding bonds has reduced the principal payments required to be made from the General Fund on outstanding bonds during the current fiscal year by an amount equal to, or in excess of, the money required for the redemption or retirement. (c) Money so determined to be sufficient for the redemption or retirement of bonds and available for that purpose shall be transferred from the General Fund to a separate account within the Refunding Escrow Fund created by Section 16784. Notwithstanding Section 13340, money in that account is continuously appropriated without regard to fiscal years for the purposes of this section. Funds in that account shall be held in trust for the benefit of the holders of the bonds which are to be redeemed or retired and used only for the payment of the principal of, and interest and any redemption premium on, or the purchase price of, the bonds which are to be redeemed or retired. Money in the account shall be invested by the Treasurer and any income from that investment shall be credited to the account. Any funds remaining in the account after all of the bonds are redeemed or retired shall be transferred to the General Fund. (Amended by Stats. 2001, Ch. 97, Sec. 8. Effective July 24, 2001.)
  158. 16780.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    The committee may issue or exchange refunding bonds if it decides refunding is necessary or advisable for debt restructuring or saving debt service costs.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16780. (a) The committee may provide for the issuance and sale or exchange of refunding bonds for the purpose of redeeming, retiring, or purchasing for retirement, outstanding bonds at or before their maturity, if the committee determines that refunding is necessary or advisable in order to do either of the following: (1) To effect a favorable reorganization of the debt structure of the state. (2) To effect a saving in debt service cost to the state, as measured by the present value of that saving. (b) When determining debt service savings for purposes of paragraph (2) of subdivision (a), the committee shall include, as interest on a refunded bond, the interest, if any, that will result from a related hedging contract, as described in subparagraph (A) of paragraph (2) of subdivision (d) of Section 16731. The committee may, when determining debt service savings, for purposes of paragraph (2) of subdivision (a), base the interest of a refunding bond upon the effective fixed interest rate under a hedging contract described in clause (ii) of subparagraph (B) of paragraph (1) of subdivision (d) of Section 16731. (Amended by Stats. 2009, Ch. 205, Sec. 14. (SB 826) Effective January 1, 2010.)
  159. 16781.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    This section says the chapter generally applies to refunding bond issuance and sales, but two sections do not apply, and refunding bonds may be sold by negotiated sale if the Treasurer finds that is in the state’s best interest.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16781. (a) Except as otherwise provided in this article or in subdivision (b), all of the provisions of this chapter are applicable to the issuance and sale of refunding bonds. (b) (1) Sections 16730 and 16757 are not applicable to the issuance and sale of refunding bonds. (2) Notwithstanding Section 16754.3, refunding bonds may be sold by negotiated sale if the Treasurer determines that it is in the best interest of the state to do so. (Amended by Stats. 1999, Ch. 522, Sec. 4. Effective January 1, 2000.)
  160. 16781.5.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    Renewing and reissuing qualifying commercial paper notes counts as a refunding under this article.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16781.5. Notwithstanding any other provision of this article, the renewal and reissuance from time to time of commercial paper notes within the amount and time of a program authorized by the committee pursuant to Section 16731.6 shall be considered a refunding of the amount of the commercial paper notes maturing from time to time that complies with this article. (Added by Stats. 1995, Ch. 697, Sec. 4. Effective October 10, 1995.)
  161. 16782.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    Refunding bonds may be issued to provide funds for paying specified bond-related costs, and their principal amount cannot exceed the original aggregate principal amount of the bonds being refunded.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16782. (a) Refunding bonds may be issued in a principal amount sufficient to provide funds, either directly or by the purchase of nonredeemable securities, the principal and interest on which shall provide funds for the payment of any or all of the following: (1) The principal of or purchase price of the bonds to be refunded by the refunding bonds. (2) All expenses incident to the calling, retiring, purchasing, or paying of the outstanding bonds and the issuance of the refunding bonds, including any excess of the par value of the refunding bonds over the selling price thereof. (3) Interest upon the refunding bonds from the date of sale to the date of payment of the bonds to be refunded, whether at maturity, pursuant to the call thereof or pursuant to any agreement with the holders thereof. (4) Any premium necessary in the calling, retiring, or purchase of the outstanding bonds. (5) The interest accruing on the outstanding bonds to the date of their call, retirement, or purchase. (6) Subject to the limitation on those payments contained in subparagraph (A) of paragraph (2) of subdivision (d) of Section 16731, any termination payment owed by the state after offset for any payments made to the state pursuant to any hedging contract that was entered into in connection with the bonds to be refunded. Refunding bonds may be exchanged at not less than their par value and accrued interest for outstanding bonds to be refunded thereby, and this chapter with respect to the sale of bonds does not apply to that exchange. (b) Notwithstanding subdivision (a), the principal amount of any issue of refunding bonds shall not exceed the original aggregate principal amount of the series of bonds to be refunded. If there remains authorized but unissued bonds under the original bond act for the program which was funded by the series of bonds to be refunded, the principal amount of refunding bonds above the original aggregate principal amount of bonds to be refunded shall be charged against such unused authorization. (Amended by Stats. 2006, Ch. 640, Sec. 7. Effective September 29, 2006.)
  162. 16783.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    Refunding bonds may be issued before the bonds being refunded can first be called or redeemed, but their final maturity date cannot be later than the final maturity date of the refunded bonds.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16783. Refunding bonds may be issued before the first date upon which the bonds being refunded are subject to call or redemption. The final maturity date of any refunding bonds shall not be later than the final maturity date of the series of bonds being refunded. (Added by Stats. 1987, Ch. 1030, Sec. 3.)
  163. 16784.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    The Refunding Escrow Fund is created in the State Treasury and its money is continuously appropriated for this section’s purposes.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16784. The Refunding Escrow Fund is hereby created as a special fund in the State Treasury and is continuously appropriated for the purposes of this section. The proceeds of each sale of refunding bonds and any other available moneys shall be (1) set aside in a separate account within the Refunding Escrow Fund, (2) held in trust for the benefit of the holders of either or both of the bonds which are to be refunded or of the refunding bonds as provided in the resolution of the committee authorizing the issuance of the refunding bonds, (3) used only for the payment of the principal of, and interest and any redemption premium on, or the purchase price of the refunded bonds for the payment of interest on the refunding bonds up to the date of the redemption or payment of the bonds to be refunded, and (4) for the other purposes set forth in Section 16782. Moneys in each separate account shall be invested by the Treasurer in accordance with the resolution of the committee providing for the issuance of the refunding bonds, and any income from that investment shall be credited to the account from which the investment was made. (Amended by Stats. 2006, Ch. 640, Sec. 8. Effective September 29, 2006.)
  164. 16785.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    Refunding bonds are valid and binding obligations of California, and the state pledges its full faith and credit for timely payment of principal and interest.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16785. Refunding bonds shall be valid and binding obligations of the State of California, and the full faith and credit of the State of California shall be pledged for the punctual payment of the principal of and interest on the bonds as the principal and interest become due and payable. (Added by Stats. 1987, Ch. 1030, Sec. 3.)
  165. 16786.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    This section limits the article to certain refunding bonds and makes specified Section 16724 provisions apply to those refunding bonds.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16786. This article applies only to the refunding of bonds authorized at a statewide election held after the effective date of this article pursuant to a bond act expressly mentioning the right of the state to refund the bonds so authorized. In any such bond act, the provisions included therein pursuant to subdivisions (c), (d), (e), and (f) of Section 16724 apply to refunding bonds to the same extent and in the same manner as those provisions applied to the bonds being refunded. (Added by Stats. 1987, Ch. 1030, Sec. 3.)
  166. 16787.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. )

    Verify source ↗

    When the Controller reports outstanding state general obligation bonds or bonded debt, the report must include refunding bonds and bonds refunded but not yet retired, and must deduct certain refunded or refunding bonds in the same report.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 4. State General Obligation Bonds [16720 - 16787] ( Chapter 4 added by Stats. 1953, Ch. 1698. ) ## ARTICLE 6. Refunding Bonds [16780 - 16787] ( Article 6 added by Stats. 1987, Ch. 1030, Sec. 3. ) ## 16787. In any report of outstanding general obligation bonds or bonded debt of the state, the Controller shall include both refunding bonds and bonds which have been refunded but not yet retired, but shall in the same report deduct either the refunded bonds, for the retirement of which sufficient moneys or securities have been deposited in the Refunding Escrow Fund, or the refunding bonds, if interest thereon is pledged to be paid from moneys or securities deposited in the Refunding Escrow Fund until the redemption or payment of the bonds to be refunded, so as to show the net total of bonds or bonded debt to be paid from the General Fund or future revenues of the state other than the income from the investment of the Refunding Escrow Fund. (Added by Stats. 1987, Ch. 1030, Sec. 3.)
  167. 16800.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    This section says certain 1962 constitutional bond provisions were continued as statutes and codified here without substantive change.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16800. In 1962 the electorate repealed Sections 2, 3, 4, 41/2, 5, 6, 8, 81/2, 15, 16, 16.5, 17, 18, 19, 19.5, 20, and 21 of Article XVI of the Constitution and continued such provisions as statutes. Such provisions authorized the issuance of certain state bonds which have been issued and many of which are not yet fully retired. The provisions, authorizing the issuance of state bonds which have not yet been fully retired, have been codified in this chapter without change in order that the provisions will be available in the Government Code for ready reference by interested persons and no substantive change in the law is intended by the Legislature. (Amended by Stats. 1971, Ch. 438.)
  168. 16804.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    California is authorized to issue and sell up to $200 million in bonds for the state construction program, with at least $60 million available for state college building, equipment, and site acquisition.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16804. The issuance and sale of bonds of the State of California in the sum of two hundred million dollars ($200,000,000) and the use and disposition of the proceeds of the sale of said bonds, all as provided in the State Construction Program Bond Act of 1955 authorizing the issuance and sale of bonds for the purpose of providing a fund to be used to carry out the state construction program contemplated by that act, is hereby authorized and directed, and the State Construction Program Bond Act of 1955 is hereby approved, adopted, legalized, validated and made fully and completely effective; provided, that from the proceeds of the sale of said bonds, the sum of not less than sixty million dollars ($60,000,000) shall be available for expenditure for major building construction, equipment and site acquisition for state colleges now or hereafter established. Nothing in this Constitution shall invalidate or restrict the provisions of this section, nor shall this section prevent amendments to the State Construction Program Bond Act of 1955 which are germane to the subject thereof; provided, such amendments do not increase the sum of the bonds herein authorized to be issued and sold nor utilize the proceeds thereof for purposes not related to the construction program generally described therein. (Added by Stats. 1970, Ch. 426.)
  169. 16805.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    This section authorizes the issuance and sale of 1,000 state bonds of $1,000 each for the California Olympiad bond program and approves the related 1927 bond act.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16805. The issuance and sale of one thousand bonds of the State of California in the denomination of one thousand dollars each, and the use and disposition of the proceeds of the sale of said bonds, all as provided in the California Olympiad Bonds Act of 1927 as passed by the Senate and Assembly at the Forty-seventh Session of the Legislature and approved by the Governor, authorizing the issuance and sale of state bonds in the sum of one million dollars ($1,000,000) for the purpose of providing a fund to be used and disbursed for the purpose of an Olympiad to be held in California in 1932, is hereby authorized and directed and the said California Olympiad Bond Act of 1927 is hereby approved, adopted, legalized, ratified, validated and made fully and completely effective. All provisions of this section shall be self-executing and shall not require any legislative action in furtherance thereof, but this shall not prevent such legislative action. Nothing in this Constitution contained shall be a limitation upon the provisions of this section. (Added by Stats. 1970, Ch. 426.)
  170. 16806.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    This section authorizes and directs the issuance and sale of California state bonds up to $100 million for veterans farm and home aid.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16806. The issuance and sale of bonds of the State of California, not exceeding in the aggregate the sum of one hundred million dollars ($100,000,000), and the use and disposition of the proceeds of the sale of said bonds, all as provided in the Veterans Bond Act of 1949 (Article 5B added to Chapter 6 of Division 4 of the Military and Veterans Code by Chapter 1267 of the Statutes of 1949) authorizing the issuance and sale of state bonds in the sum of one hundred million dollars ($100,000,000) for the purpose of providing a fund to be used and disbursed to provide farm and home aid for veterans in accordance with the provisions of the Veterans Farm and Home Purchase Act of 1943, and of all acts amendatory thereof and supplemental thereto are hereby authorized and directed and said Veterans Bond Act of 1949 is hereby approved, adopted, legalized, ratified, validated, and made fully and completely effective upon the effective date of this amendment to the Constitution. All provisions of this section shall be self-executing and shall not require any legislative action in furtherance thereof, but this shall not prevent such legislative action. Nothing in this Constitution contained shall be a limitation upon the provisions of this section. (Added by Stats. 1970, Ch. 426.)
  171. 16807.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    This section authorizes the State of California to issue and sell 10,000 bonds of $1,000 each and to use the sale proceeds as provided by the referenced act.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16807. The issuance and sale of 10,000 bonds of the State of California in the denomination of one thousand dollars ($1,000) each, and the use and disposition of the proceeds of the sale of said bonds, all as provided in the San Francisco Harbor Improvement Act of 1929, as passed by the Senate and Assembly at the Forty-eighth Session of the Legislature and approved by the Governor, authorizing the issuance and sale of state bonds in the sum of ten million dollars ($10,000,000) for the purpose of providing a fund for the construction in San Francisco Harbor of wharves, piers, seawalls, state railroad, spurs, betterments and appurtenances and for necessary dredging and filling in connection therewith and providing for the payment of the principal and interest of said bonds by the State Treasurer from revenues collected for dockage, tolls, rents, wharfage, cranage, demurrage, switching and any and all collections now or hereafter authorized by law paid into the Fourth San Francisco Seawall Sinking Fund, is hereby authorized and the said San Francisco Harbor Improvement Act of 1929 is hereby approved, adopted, legalized, validated, and made fully and completely effective. All provisions of this section shall be self-executing and shall not require any legislative action in furtherance thereof, but this shall not prevent such legislative action. Nothing in this section contained shall be a limitation upon the provisions of this section. (Added by Stats. 1970, Ch. 426.)
  172. 16808.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    This section authorizes and directs the issuance and sale of up to $60 million in State of California bonds for harbor development purposes.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16808. The issuance and sale of bonds of the State of California in the sum of sixty million dollars ($60,000,000) and the use and disposition of the proceeds of the sale of said bonds, all as provided in the Harbor Development Bond Law of 1958 authorizing the issuance and sale of bonds for the purpose of providing funds for the construction, improvement, and development of harbors in this state, is hereby authorized and directed, and the Harbor Development Bond Law of 1958 is hereby approved, adopted, legalized, validated and made fully and completely effective. Nothing in this Constitution shall invalidate or restrict the provisions of this section, nor shall this section prevent amendments to the Harbor Development Bond Law of 1958 which are germane to the subject thereof; provided, such amendments do not increase the sum of the bonds herein authorized to be issued and sold nor utilize the proceeds thereof for purposes not related to the purposes generally described therein. (Added by Stats. 1970, Ch. 426.)
  173. 16809.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    The section authorizes state bonds up to $250 million and assigns the Legislature control over many bond terms and related laws.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16809. Bonds of the State of California shall be prepared, issued, and sold in the amount of two hundred fifty million dollars ($250,000,000), in such denominations, to be numbered, to bear such dates, and to bear such rate of interest as shall be determined by the Legislature. The proceeds of such bonds shall be used: (a) To provide loans and grants to the several school districts of the State, subject to such legislation, rules, or regulations as the Legislature may, from time to time, determine. (b) To pay the expenses that may be incurred in preparing, advertising, issuing, and selling the bonds, and in administering and directing the expenditure of the moneys realized from the sale of such bonds. The issuance, signing, countersigning, endorsing, and selling of the bonds herein provided for, and the interest coupons thereon, the place and method of payment of principal and interest thereon, the procedure for initiating, advertising and holding sales thereof, and the performance by the several state boards and state officers of their respective duties in connection therewith; and all other provisions, terms, and conditions relating to the bonds, shall be as provided by the Legislature. The Legislature shall pass all laws, general or special, necessary or convenient to carry into effect the provisions of this section. Such laws may provide for the allocation of funds to school districts pursuant to this section by the State Allocations Board or a similar agency, and in that event, notwithstanding any other provision of this Constitution, Members of the Legislature who are required to meet with such board shall have equal rights and duties with the nonlegislative members to vote and act upon matters pending before such board. The people of the State of California in adopting this section hereby declare that it is in the interests of the state and of the people thereof for the state to aid school districts of the state in providing necessary and adequate school sites and buildings for the pupils of the public school system, such system being a matter of general concern inasmuch as the education of the children of the state is an obligation and function of the state. (Added by Stats. 1970, Ch. 426.)
  174. 16810.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    California may issue and sell state bonds up to a total of $150 million for veterans farm and home aid, and the related 1951 bond act is validated and made effective.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16810. The issuance and sale of bonds of the State of California, not exceeding in the aggregate the sum of one hundred fifty million dollars ($150,000,000), and the use and disposition of the proceeds of the sale of said bonds, all as provided in the Veterans Bond Act of 1951 (Article 5C added to Chapter 6 of Division 4 of the Military and Veterans Code by Chapter 1086 of the Statutes of 1951) authorizing the issuance and sale of state bonds in the sum of one hundred fifty million dollars ($150,000,000) for the purpose of providing a fund to be used and disbursed to provide farm and home aid for veterans in accordance with the provisions of the Veterans Farm and Home Purchase Act of 1943, and of all acts amendatory thereof and supplemental thereto are hereby authorized and directed and said Veterans Bond Act of 1951 is hereby approved, adopted, legalized, ratified, validated, and made fully and completely effective upon the effective date of this amendment to the Constitution. All provisions of this section shall be self-executing and shall not require any legislative action in furtherance thereof, but this shall not prevent such legislative action. Nothing in this Constitution contained shall be a limitation upon the provisions of this section. (Added by Stats. 1970, Ch. 426.)
  175. 16811.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    The Legislature controls how these state bonds are set up and must pass the laws needed to carry this section out.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16811. Bonds of the State of California shall be prepared, issued, and sold in the amount of one hundred eighty-five million dollars ($185,000,000), in such denominations, to be numbered, to bear such dates, and to bear such rate of interest as shall be determined by the Legislature. The proceeds of such bonds shall be used: (a) To provide loans and grants to the several school districts of the State, subject to such legislation, rules, or regulations as the Legislature may, from time to time determine. (b) To pay the expenses that may be incurred in preparing, advertising, issuing, and selling the bonds, and in administering and directing the expenditure of the moneys realized from the sale of such bonds. (c) To repay, as provided by law, the money appropriated from the General Fund at the 1952 Second Extraordinary Session for state school building aid. The issuance, signing, countersigning, endorsing, and selling of the bonds herein provided for, and the interest coupons thereon, the place and method of payment of principal and interest thereon, the procedure for initiating, advertising and holding sales thereof, and the performance by the several state boards and state officers of their respective duties in connection therewith; and all other provisions, terms, and conditions relating to the bonds, shall be as provided by the Legislature. The Legislature shall pass all laws, general or special, necessary or convenient to carry into effect the provisions of this section. Such laws may provide for the allocation of funds to school districts pursuant to this section by the State Allocations Board or a similar agency, and in that event, notwithstanding any other provision of this Constitution, Members of the Legislature who are required to meet with such board shall have equal rights and duties with the nonlegislative members to vote and act upon matters pending before such board. The Legislature shall require each district receiving an allocation of money from the sale of bonds pursuant to this section to repay such money to the state on such terms and in such amounts as may be within the ability of the district to repay. The people of the State of California in adopting this section hereby declare that it is in the interests of the state and of the people thereof for the state to aid school districts of the state in providing necessary and adequate school sites and buildings for the pupils of the public school system, such system being a matter of general concern inasmuch as the education of the children of the state is an obligation and function of the state. (Added by Stats. 1970, Ch. 426.)
  176. 16812.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    This section authorizes $100 million in state bonds for school-related purposes and gives the Legislature control over key bond terms and related laws.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16812. Bonds of the State of California shall be prepared, issued, and sold in the amount of one hundred million dollars ($100,000,000), in such denominations, to be numbered, to bear such dates, and to bear such rate of interest as shall be determined by the Legislature. The proceeds of such bonds shall be used: (a) Subject to such legislation as the Legislature may, from time to time, enact, to provide loans and grants to school districts of the state for use in purchasing and improving school sites, the purchasing of furniture and equipment for schools, and the planning and constructing, reconstructing, repairing, altering, and making additions to, school buildings. (b) To pay the expenses that may be incurred in preparing, advertising, issuing, and selling the bonds, and in administering and directing the expenditure of the moneys realized from the sale of such bonds. The issuance, signing, countersigning, endorsing, and selling of the bonds herein provided for, and the interest coupons thereon, the place and method of payment of principal and interest thereon, the procedure for initiating, advertising and holding sales thereof, and the performance by the several state boards and state officers of their respective duties in connection therewith; and all other provisions, terms, and conditions relating to the bonds, shall be as provided by the Legislature. The Legislature may appropriate money to be expended in addition to or in lieu of the money received from the sale of the bonds sold under the authority of this section. The money so appropriated shall be expended pursuant to subdivision (a) of this section. If the Legislature appropriates money in lieu of the money received from the sale of the bonds, the total amount of bonds required to be sold pursuant to this section shall be reduced by the amount so appropriated. The Legislature shall pass all laws, general or special, necessary or convenient to carry into effect the provisions of this section. Such laws may provide for the allocation of funds to school districts pursuant to this section by the State Allocations Board or a similar agency and in that event, notwithstanding any other provision of this Constitution, Members of the Legislature who are required to meet with such board shall have equal rights and duties with the nonlegislative members to vote and act upon matters pending before such board. The Legislature shall require each district receiving an allocation of money from the sale of bonds pursuant to this section to repay such money to the state on such terms and in such amounts as may be within the ability of the district to repay. The people of the State of California in adopting this section hereby declare that it is in the interests of the state and of the people thereof for the state to aid school districts of the state in providing necessary school sites and buildings for the pupils of the public school system, such system being a matter of general concern inasmuch as the education of the children of the state is an obligation and function of the state. (Added by Stats. 1970, Ch. 426.)
  177. 16813.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    The Legislature controls key bond terms, may appropriate money for the program, must pass implementing laws, and must require repayment from districts that receive certain bond allocations.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16813. Bonds of the State of California shall be prepared, issued, and sold in the amount of one hundred million dollars ($100,000,000), in such denominations, to be numbered, to bear such dates, and to bear such rate of interest as shall be determined by the Legislature. The proceeds of such bonds shall be used: (a) Subject to such legislation as the Legislature may, from time to time, enact, to provide loans and grants to school districts of the state for use in purchasing and improving school sites, the purchasing of furniture and equipment for schools, and the planning and constructing, reconstructing, repairing, altering, and making additions to, school buildings. (b) Subject to such legislation as the Legislature may, from time to time, enact, to provide loans and grants to school districts for assistance in providing necessary housing and equipment for the education of individuals who have exceptional needs, as that term is defined in Section 56026 of the Education Code. (c) To pay the expenses that may be incurred in preparing, advertising, issuing, and selling the bonds, and in administering and directing the expenditure of the moneys realized from the sale of such bonds. The issuance, signing, countersigning, endorsing, and selling of the bonds herein provided for, and the interest coupons thereon, the place and method of payment of principal and interest thereon, the procedure for initiating, advertising and holding sales thereof, and the performance by the several state boards and state officers of their respective duties in connection therewith; and all other provisions, terms, and conditions relating to the bonds, shall be as provided by the Legislature. The Legislature may appropriate money to be expended in addition to or in lieu of the money received from the sale of the bonds sold under the authority of this section. The money so appropriated shall be expended pursuant to subdivision (a) of this section. If the Legislature appropriates money in lieu of the money received from the sale of the bonds, the total amount of bonds required to be sold pursuant to this section shall be reduced by the amount so appropriated. The Legislature shall pass all laws, general or special, necessary or convenient to carry into effect the provisions of this section. Such laws may provide for the allocation of funds to school districts pursuant to this section by the State Allocation Board or a similar agency and in that event, notwithstanding any other provision of this Constitution, Members of the Legislature who are required to meet with such board shall have equal rights and duties with the nonlegislative members to vote and act upon matters pending before such board. The Legislature shall require each district receiving an allocation of money from the sale of bonds pursuant to this section for the purposes prescribed in subdivision (a) of this section to repay such money to the state on such terms and in such amounts as may be within the ability of the district to repay. The Legislature may require each district receiving an allocation of money from the sale of bonds pursuant to this section for the purposes prescribed in subdivision (b) of this section to repay such money to the state on such terms and in such amounts as the Legislature deems proper. The people of the State of California in adopting this section hereby declare that it is in the interests of the state and of the people thereof for the state to aid school districts of the state in providing necessary school sites and buildings for the pupils of the public school system, such system being a matter of general concern inasmuch as the education of the children of the state is an obligation and function of the state. (Amended by Stats. 2012, Ch. 457, Sec. 23. (SB 1381) Effective January 1, 2013.)
  178. 16814.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    This section authorizes $220 million in state bonds for school-related purposes and gives the Legislature control over key bond terms and related implementation.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16814. Bonds of the State of California shall be prepared, issued, and sold in the amount of two hundred twenty million dollars ($220,000,000), in such denominations, to be numbered, to bear such dates, and to bear such rate of interest as shall be determined by the Legislature. The proceeds of such bonds shall be used: (a) Subject to such legislation as the Legislature may, from time to time, enact, to provide loans and grants to school districts of the state for use in purchasing and improving school sites, the purchasing of furniture and equipment for schools, and the planning and constructing, reconstructing, repairing, altering, and making additions to, school buildings. (b) Subject to such legislation as the Legislature may, from time to time, enact, to provide loans and grants to school districts for assistance in providing necessary housing and equipment for the education of individuals who have exceptional needs, as that term is defined in Section 56026 of the Education Code. (c) To pay the expenses that may be incurred in preparing, advertising, issuing, and selling the bonds, and in administering and directing the expenditure of the moneys realized from the sale of such bonds. (d) To repay, as provided by law, any money appropriated from the Investment Fund at the 1958 First Extraordinary Session for state school building aid. The issuance, signing, countersigning, endorsing, and selling of the bonds herein provided for, and the interest coupons thereon, the place and method of payment of principal and interest thereon, the procedure for initiating, advertising, and holding sales thereof, and the performance by the several state boards and state officers of their respective duties in connection therewith; and all other provisions, terms, and conditions relating to the bonds, shall be as provided by the Legislature. The Legislature may appropriate money to be expended in addition to or in lieu of the money received from the sale of the bonds sold under the authority of this section. The money so appropriated shall be expended pursuant to subdivision (a) of this section. If the Legislature appropriates money in lieu of the money received from the sale of the bonds, the total amount of bonds required to be sold pursuant to this section shall be reduced by the amount so appropriated. The Legislature shall pass all laws, general or special, necessary or convenient to carry into effect the provisions of this section. Such laws may provide for the allocation of funds to school districts pursuant to this section by the State Allocation Board or a similar agency and in that event, notwithstanding any other provision of this Constitution, Members of the Legislature who are required to meet with such board shall have equal rights and duties with the nonlegislative members to vote and act upon matters pending before such board. The Legislature shall require each district receiving an allocation of money from the sale of bonds pursuant to this section for the purposes prescribed in subdivision (a) of this section to repay such money to the state on such terms and in such amounts as may be within the ability of the district to repay. The Legislature may require each district receiving an allocation of money from the sale of bonds pursuant to this section for the purposes prescribed in subdivision (b) of this section to repay such money to the state on such terms and in such amounts as the Legislature deems proper. The people of the State of California in adopting this section hereby declare that it is in the interests of the state and of the people thereof for the state to aid school districts of the state in providing necessary school sites and buildings for the pupils of the public school system, such system being a matter of general concern inasmuch as the education of the children of the state is an obligation and function of the state. (Amended by Stats. 2012, Ch. 457, Sec. 24. (SB 1381) Effective January 1, 2013.)
  179. 16815.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    The State of California is authorized to issue and sell $200 million in bonds, and the related 1958 bond act is validated and made effective.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16815. The issuance and sale of bonds of the State of California in the sum of two hundred million dollars ($200,000,000) and the use and disposition of the proceeds of the sale of said bonds, all as provided in the State Construction Program Bond Act of 1958 authorizing the issuance and sale of bonds for the purpose of providing a fund to be used to carry out the state construction program contemplated by that act, is hereby authorized and directed, and the State Construction Program Bond Act of 1958 is hereby approved, adopted, legalized, validated and made fully and completely effective. Nothing in this Constitution shall invalidate or restrict the provisions of this section, nor shall this section prevent amendments to the State Construction Program Bond Act of 1958 which are germane to the subject thereof; provided, such amendments do not increase the sum of the bonds herein authorized to be issued and sold nor utilize the proceeds thereof for purposes not related to the construction program generally described therein. (Added by Stats. 1970, Ch. 426.)
  180. 16816.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    The Legislature must pass laws to implement this bond section, and it may appropriate money and set rules for bond sales and fund allocation.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16816. Bonds of the State of California shall be prepared, issued, and sold in the amount of three hundred million dollars ($300,000,000), in such denominations, to be numbered, to bear such dates, and to bear such rate of interest as shall be determined by the Legislature. The proceeds of such bonds shall be used: (a) Subject to such legislation as the Legislature may, from time to time, enact, to provide loans and grants to school districts of the state for use in purchasing and improving school sites, the purchasing of furniture and equipment for schools, and the planning and constructing, reconstructing, repairing, altering, and making additions to, school buildings. (b) Subject to such legislation as the Legislature may, from time to time, enact, to provide loans and grants to school districts for assistance in providing necessary housing and equipment for the education of individuals who have exceptional needs, as that term is defined in Section 56026 of the Education Code. (c) To pay the expenses that may be incurred in preparing, advertising, issuing, and selling the bonds, and in administering and directing the expenditure of the moneys realized from the sale of such bonds. (d) To repay, as provided by law, any money appropriated from the General Fund at the 1960 First Extraordinary Session for state school building aid. The issuance, signing, countersigning, endorsing, and selling of the bonds herein provided for, and the interest coupons thereon, the place and method of payment of principal and interest thereon, the procedure for initiating, advertising and holding sales thereof, and the performance by the several state boards and state officers of their respective duties in connection therewith; and all other provisions, terms, and conditions relating to the bonds, shall be as provided by the Legislature. The Legislature may appropriate money to be expended in addition to or in lieu of the money received from the sale of the bonds sold under the authority of this section. The money so appropriated shall be expended pursuant to subdivision (a) of this section. If the Legislature appropriates money in lieu of the money received from the sale of the bonds, the total amount of bonds required to be sold pursuant to this section shall be reduced by the amount so appropriated. The Legislature shall pass all laws, general or special, necessary or convenient to carry into effect the provisions of this section. Such laws may provide for the allocation of funds to school districts pursuant to this section by the State Allocation Board or a similar agency. Notwithstanding any other provision of this Constitution, Members of the Legislature who are required to meet with such board shall have equal rights and duties with the nonlegislative members to vote and act upon matters pending before such board concerning this section or any other section of the Constitution or legislative act authorizing the allocation of funds to school districts for purposes the same or substantially the same as those enumerated in this section. The Legislature shall require each district receiving an allocation of money from the sale of bonds pursuant to this section for the purposes prescribed in subdivision (a) of this section to repay such money to the state on such terms and in such amounts as may be within the ability of the district to repay. The Legislature may require each district receiving an allocation of money from the sale of bonds pursuant to this section for the purposes prescribed in subdivision (b) of this section to repay such money to the state on such terms and in such amounts as the Legislature deems proper. The people of the State of California in adopting this section hereby declare that it is in the interests of the state and of the people thereof for the state to aid school districts of the state in providing necessary school sites and buildings for the pupils of the public school system, such system being a matter of general concern inasmuch as the education of the children of the state is an obligation and function of the state. (Amended by Stats. 2012, Ch. 457, Sec. 25. (SB 1381) Effective January 1, 2013.)
  181. 16817.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. )

    Verify source ↗

    This section authorizes and directs the issuance and sale of California state bonds up to $400 million and ties the use of the proceeds to the Veterans Bond Act of 1960.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 5. State Indebtedness [16800 - 16817] ( Chapter 5 added by Stats. 1970, Ch. 426. ) ## 16817. The issuance and sale of bonds of the State of California, not exceeding in the aggregate the sum of four hundred million dollars ($400,000,000), and the use and disposition of the proceeds of the sale of said bonds, all as provided in the Veterans Bond Act of 1960 (Article 5h of Chapter 6 of Division 4 of the Military and Veterans Code) authorizing the issuance and sale of state bonds in the sum of four hundred million dollars ($400,000,000) for the purpose of providing a fund to be used and disbursed to provide farm and home aid for veterans in accordance with the provisions of the Veterans Farm and Home Purchase Act of 1943, and all acts amendatory and supplemental thereto are hereby authorized and directed and said Veterans Bond Act of 1960 is hereby approved, adopted, legalized, ratified, validated, and made fully and completely effective upon the effective date of this amendment to the Constitution. All provisions of this section shall be self-executing and shall not require any legislative action in furtherance thereof, but this shall not prevent such legislative action. Nothing in this Constitution contained shall be a limitation upon the provisions of this section. (Added by Stats. 1970, Ch. 426.)
  182. 16850.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

    Verify source ↗

    Each awarding department must set annual participation goals for minority and women business enterprises for professional bond services, with a stated exception for certain competitive-bid underwriter contracts.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16850. (a) Notwithstanding any other provision of law, each awarding department shall have annual statewide participation goals of not less than 15 percent for minority business enterprises and 5 percent for women business enterprises for contracts entered into by the awarding department during the year for each of the professional bond services. This section shall not apply if a contract for professional bond services of an underwriter is to be obtained by competitive bid. However, each awarding department shall establish goals for contracts to be obtained by competitive bid for professional bond services, as defined in Section 16851. These goals shall apply to the overall dollar amount expended by the awarding department with respect to the contracts for professional bond services relating to the issuance of bonds by the awarding department including amounts spent as underwriter’s discounts. (b) In attempting to meet the goals set forth in subdivision (a), the awarding department shall consider establishing cocounsel, joint venture, and subcontracting relationships including minority business enterprises and women business enterprises in all contracts for bonds awarded by the awarding department. However, nothing in this article shall preclude the awarding department from achieving the goals set forth in this section without requiring joint ventures, cocounsel, or subcontracting arrangements. (c) This section shall not limit the ability of any awarding department to meet a goal higher than those set forth in subdivision (a) for participation by minority and women business enterprises in contracts awarded by the awarding department. (d) Nothing in this chapter shall be construed to authorize any awarding department to discriminate in the awarding of any contract on the basis of race, color, sex, ethnic origin, or ancestry. (Amended by Stats. 1989, Ch. 1229, Sec. 2.)
  183. 16851.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

    Verify source ↗

    This section defines key terms used for professional bond services and minority/women business participation goals.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16851. As used in this chapter, the following definitions apply: (a) “Awarding department” means any agency, department, constitutional officer, governmental entity, or other officer or entity of the state empowered by law to issue bonds on behalf of the State of California. (b) “Bonds” means bonds, notes, warrants, certificates of participation, and other evidences of indebtedness issued by or on behalf of the State of California. (c) “Contract” includes any contract, agreement, or joint agreement to provide professional bond services to the State of California or an awarding department. (d) “Contractor” means any provider of professional bond services who enters into a contract with an awarding department. (e) “Foreign corporation,” “foreign firm,” or “foreign-based business” means a business entity that is incorporated or has its principal headquarters located outside the United States. (f) “Goal” means a numerically expressed objective that awarding departments and providers of professional bond services are required to make efforts to achieve. (g) “Management and control” means effective and demonstrable management of the business entity. (h) “Minority” means an ethnic person of color including American Indians, Asians (including, but not limited to, Chinese, Japanese, Koreans, Pacific Islanders, Samoans, and Southeast Asians), Blacks, Filipinos, and Hispanics. A minority must be a citizen of the United States or a lawfully admitted permanent resident as defined in Title 8 U.S.C. 1101(a)(20). (i) “Minority business enterprise” means a business concern that meets all of the following requirements: (1) A sole proprietorship owned by a minority; a firm or partnership, at least 51 percent of the voting stock or partnership interests of which are owned by one or more minorities; a subsidiary which is wholly owned by a parent corporation but only if at least 51 percent of the voting stock of the parent corporation is owned by one or more minorities; or a joint venture in which at least 51 percent of the joint venture’s management of the joint venture business and at least 51 percent of the joint venture’s earnings are controlled or retained by the minority participants in the joint venture. (2) Management and control of daily business operations by one or more minorities although not necessarily the same minorities who are owners of the business. (3) A sole proprietorship, corporation, joint venture, or partnership with its home office located in the United States, which is not a branch or subsidiary of a foreign corporation, foreign firm, or other foreign-based business. (j) “Professional bond services” include services as financial advisers, bond counsel, underwriters in negotiated transactions, underwriter’s counsel, financial printers, feasibility consultants, and other professional services related to the issuance and sale of bonds. (k) A woman owner of a women business enterprise must be a citizen of the United States or a lawfully admitted permanent resident as defined in Title 8 U.S.C. 1101(a)(20). “Women business enterprise” means a business concern that is all of the following: (1) A sole proprietorship owned by a woman; a firm or partnership, at least 51 percent of the voting stock or partnership interests of which are owned by one or more women; a subsidiary which is wholly owned by a parent corporation but only if at least 51 percent of the voting stock of the parent corporation is owned by one or more women; or a joint venture in which at least 51 percent of the joint venture’s management of the joint venture business and at least 51 percent of the joint venture’s earnings are controlled or retained by the women participants in the joint venture. (2) Management and control of daily business operations by one or more women although not necessarily the same women who are the owners of the business. (3) A sole proprietorship, corporation, joint venture, or partnership with its home office located in the United States, which is not a branch or subsidiary of a foreign corporation, foreign firm, or other foreign-based business. (l) “Minority business enterprise” and “women business enterprise,” include an enterprise of which 50 percent is owned and controlled by one or more minorities and the other 50 percent is owned and controlled by one or more women, or, in the case of a publicly owned business, 50 percent of the stock of which is owned and controlled by one or more minorities and the other 50 percent is owned and controlled by one or more women. Any business enterprise so defined may be counted as either a minority business enterprise or a women business enterprise for purposes of meeting the participation goals, but no one such business enterprise shall be counted as meeting the participation goals in both categories. (Amended by Stats. 1991, Ch. 1021, Sec. 1.)
  184. 16852.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

    Verify source ↗

    When professional bond services are competitively bid, the awarding department must notify minority and women business enterprises, encourage their response, require bidders to certify awareness of the department’s goals, and may not discriminate in bids or contract awards on protected bases.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16852. Notwithstanding Section 16850, if a contract for professional bond services of an underwriter is to be obtained by competitive bid, the awarding department shall, at a minimum, take all of the following actions: (a) Deliver the notice of sale or other notification of intention to the issue the bonds to all minority and women business enterprises that have listed their names with the awarding department for the purpose of this notice and other qualified minority and women business enterprises known to the awarding department. (b) State in all notices of sale and other notifications of intention to issue bonds that minority and women business enterprises are encouraged to respond. (c) Require all submitting bidders to certify their awareness of the goals of the awarding department in accordance with this chapter. (d) Nothing in this section shall be construed to authorize any awarding department to discriminate in the solicitation of bids or in the awarding of contracts on the basis of race, color, sex, ethnic origin, or ancestry. (Amended by Stats. 1989, Ch. 1229, Sec. 4.)
  185. 16852.5.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

    Verify source ↗

    When taking bids for a contract, an awarding department must require bidders to list specified subcontractor information in their bid or offer.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16852.5. (a) Any awarding department taking bids in connection with the award of any contract shall provide, in the general conditions under which bids will be received, that any person making a bid or offer to perform a contract shall, in his or her bid or offer, set forth the following information: (1) The name and the location of the place of business of each subcontractor certified as a minority, women, or disabled veteran business enterprise who will perform work or labor or render service to the prime contractor in connection with the performance of the contract and who will be used by the prime contractor to fulfill minority, women, and disabled veteran business enterprise participation goals. (2) The portion of work that will be done by each subcontractor under paragraph (1). The prime contractor shall list only one subcontractor for each portion of work as is defined by the prime contractor in his or her bid or offer. (b) The Subletting and Subcontracting Fair Practices Act (Chapter 4 (commencing with Section 4100) of Part 1 of Division 2 of the Public Contract Code) shall apply to the information required by subdivision (a) relating to subcontractors certified as minority, women, and disabled veteran business enterprises. (c) For purposes of this section, “subcontractor” and “prime contractor” shall have the same meaning as those terms are defined in Section 4113 of the Public Contract Code. (Added by Stats. 1993, Ch. 1032, Sec. 1. Effective January 1, 1994.)
  186. 16853.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

    Verify source ↗

    The awarding department must set up monitoring for the section’s goals and require contractors to file a followup report when a bond sale is completed. It must also adopt implementing rules and regulations, and may adopt emergency regulations consistent with the section.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16853. (a) The awarding department shall establish a method of monitoring adherence to the goals specified in Section 16850, including requiring a followup report from all contractors upon the completion of any sale of bonds. (b) The awarding department shall adopt rules and regulations for the purpose of implementing this section. Emergency regulations consistent with this section may be adopted. (Added by Stats. 1988, Ch. 61, Sec. 1.)
  187. 16854.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

    Verify source ↗

    When implementing this chapter, the awarding department must use existing resources such as the Office of Small and Minority Business.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16854. In implementing this chapter, the awarding department shall utilize existing resources such as the Office of Small and Minority Business. (Added by Stats. 1988, Ch. 61, Sec. 1.)
  188. 16855.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

    Verify source ↗

    Each awarding department must report to the Governor and Legislature on participation by minority and women business enterprises in covered contracts, starting on the stated dates and then yearly. If the goals are not met, it must also explain why and describe steps it will take to try to meet the goals.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16855. Beginning July 1, 1989, and on January 1, 1990, and on January 1 of each year thereafter, each awarding department shall report to the Governor and the Legislature on the level of participation by minority and women business enterprises in contracts as identified in this chapter. If the established goals are not met, the awarding department shall report the reasons for its inability to achieve the goals and identify steps it shall take in an effort to achieve the goals. (Added by Stats. 1988, Ch. 61, Sec. 1.)
  189. 16856.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

    Verify source ↗

    A failure by an awarding department to meet the chapter’s goals does not affect bond validity or enforceability, and no lawsuit may be brought to stop the bonds or enforce professional bond service contracts on that basis.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16856. (a) Notwithstanding anything in this chapter to the contrary, the validity or enforceability of any bonds to which this chapter applies shall not be affected in any way by the failure of an awarding department to meet the goals established under this chapter. (b) No action may be maintained to enjoin the issuance of any bonds to which this chapter applies or the enforcement of any contract for professional bond services based on an awarding department’s failure to meet the goals set forth in Section 16850. (Added by Stats. 1988, Ch. 61, Sec. 1.)
  190. 16857.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. )

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    It is unlawful to fraudulently seek or help others seek certification, make false statements to influence certification decisions, obstruct investigations, or fraudulently obtain public money under this chapter.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 6. Minority and Women Business Participation Goals for Professional Bond Services [16850 - 16857] ( Chapter 6 added by Stats. 1988, Ch. 61, Sec. 1. ) ## 16857. (a) It shall be unlawful for a person to: (1) Knowingly and with intent to defraud, fraudulently obtain, retain, attempt to obtain or retain, or aid another in fraudulently obtaining or retaining or attempting to obtain or retain, acceptance or certification as a minority, women, or disabled veteran business enterprise, for the purposes of this chapter. (2) Willfully and knowingly make a false statement with the intent to defraud, whether by affidavit, report, or other representation, to a state official or employee for the purpose of influencing the acceptance or certification or denial of acceptance or certification of any entity as a minority, women, or disabled veteran business enterprise. (3) Willfully and knowingly obstruct, impede, or attempt to obstruct or impede, any state official or employee who is investigating the qualifications of a business entity which has requested acceptance or certification as a minority, women, or disabled veteran business enterprise. (4) Knowingly and with intent to defraud, fraudulently obtain, attempt to obtain, or aid another person in fraudulently obtaining or attempting to obtain, public moneys to which the person or firm is not entitled under this chapter. (5) Establish, or cooperate in the establishment of, or exercise control over, a firm found to have violated any of paragraphs (1) to (4), inclusive. Any person or firm who violates this paragraph is guilty of a misdemeanor and shall be liable for a civil penalty not to exceed fifty thousand dollars ($50,000) for the first violation, and a civil penalty not to exceed two hundred thousand dollars ($200,000) for each additional or subsequent violation. (6) This section shall not apply to minority and women business enterprise programs conducted by public utility companies pursuant to the California Public Utilities Commission’s General Order 156. (b) Any person who violates paragraphs (1) to (4), inclusive, of subdivision (a) is guilty of a misdemeanor and shall be liable for a civil penalty not to exceed five thousand dollars ($5,000) for the first violation, and a civil penalty not to exceed twenty thousand dollars ($20,000) for each additional or subsequent violation. (c) Any person or firm that violates subdivision (a) shall, in addition to the penalties provided for in subdivision (b), be suspended from bidding on, or participating as either a contractor or subcontractor in, any contract awarded by the state for a period of not less than 30 days nor more than one year. However, for an additional or subsequent violation, the period of suspension shall be extended for a period of up to three years. Any person or firm that fails to satisfy the penalties imposed pursuant to subdivisions (b) and (c) shall be prohibited from further contracting with the state until the penalties are satisfied. (d) The awarding department shall report all alleged violations of this section to the Office of Small and Minority Business. The office shall subsequently report all alleged violations to the Attorney General who shall determine whether to bring a civil action against any person or firm for violation of this section. (e) The office shall monitor the status of all reported violations and shall maintain and make available to all state departments a central listing of all firms and persons who have been determined to have committed violations resulting in suspension. (f) No awarding department shall enter into any contract with any person or firm suspended for violating this section during the period of the person’s or firm’s suspension. No awarding department shall award a contract to any contractor utilizing the services of any person or firm as a subcontractor suspended for violating this section during the period of the person’s or firm’s suspension. (g) The awarding department shall check the central listing provided by the office to verify that the person, firm, or contractor to whom the contract is being awarded, or any person, or firm, being utilized as a subcontractor by that person, firm, or contractor, is not under suspension for violating this section. (Amended by Stats. 1993, Ch. 1032, Sec. 2. Effective January 1, 1994.)
  191. 16940.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 1. General Provisions [16940 - 16943] ( Article 1 added by Stats. 2004, Ch. 215, Sec. 4. )

    Verify source ↗

    This section names the chapter as the California Pension Restructuring Bond Act of 2004 and allows it to be cited by that name.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 1. General Provisions [16940 - 16943] ( Article 1 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16940. This chapter shall be known and may be cited as the California Pension Restructuring Bond Act of 2004. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  192. 16941.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 1. General Provisions [16940 - 16943] ( Article 1 added by Stats. 2004, Ch. 215, Sec. 4. )

    Verify source ↗

    The chapter says bonds may be issued only if the Director of Finance determines certain pension-obligation reductions and that issuing the bonds is in the state’s best interest.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 1. General Provisions [16940 - 16943] ( Article 1 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16941. It is the intent of the Legislature, in enacting this chapter, to provide for an efficient, equitable, and economical means of satisfying certain pension obligations of the state. Bonds shall be issued pursuant to this chapter only when the Director of Finance determines that the state’s pension obligations are anticipated to be reduced as a result of changes in the Public Employees’ Retirement Law that reduce contributions to the Public Employees’ Retirement System, and it is in the best interest of the state to issue bonds pursuant to this chapter to accelerate a portion of the state’s anticipated lower pension obligations. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  193. 16942.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 1. General Provisions [16940 - 16943] ( Article 1 added by Stats. 2004, Ch. 215, Sec. 4. )

    Verify source ↗

    The provision says the state’s pension obligations cannot be deferred and that the Controller must pay them when due.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 1. General Provisions [16940 - 16943] ( Article 1 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16942. The Legislature hereby finds and declares that the state’s obligation to pay its pension obligations to the Public Employees’ Retirement System in the amounts established by the Board of Administration of the Public Employees’ Retirement System, cannot be deferred by the state; that the state’s pension obligations are due and payable at predetermined times; and that the Controller is required to pay those pension obligations when they are due. The Legislature further finds that the state’s pension obligations cannot be included in an accumulated state budget deficit, as defined in Section 1.3 of Article XVI of the California Constitution. Further, the Legislature finds that its pension obligations are imposed by law, and not subject to Section 1 of Article XVI of the California Constitution and that the bonds authorized to be issued under this chapter have the same character under the Constitution as the pension obligations funded or refunded. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  194. 16943.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 1. General Provisions [16940 - 16943] ( Article 1 added by Stats. 2004, Ch. 215, Sec. 4. )

    Verify source ↗

    This section defines key terms used in the chapter, including “ancillary obligation,” “bonds,” “committee,” “pension obligations,” “program,” “retirement laws,” and “retirement system.”

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 1. General Provisions [16940 - 16943] ( Article 1 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16943. Unless the context otherwise requires, the following definitions shall govern the construction of this chapter: (a) “Ancillary obligation” means the obligation of the state under any credit enhancement or liquidity agreement, including any of the following: (1) An obligation in the form of bond insurance, a letter of credit, standby bond purchase agreement, reimbursement agreement, liquidity facility, or other similar arrangement. (2) An obligation under any remarketing agreement, auction agent agreement, broker-dealer agreement, or other agreement relating to the marketing of the bonds, interest rate or other type of swap or hedging contract. (3) An obligation under any investment agreement, forward purchase agreement, or similar structured investment contract, entered into by the committee in connection with any bonds issued under this chapter. (b) “Bonds” means any bonds, notes, bond anticipation notes, interim certificates, debentures, or other obligations or forms of indebtedness issued pursuant to this chapter. (c) “Committee” means the Pension Obligation Bond Committee established pursuant to Section 16920. (d) “Pension obligations” means the obligations of the state or any state agency to the retirement system imposed by the retirement laws in the amounts determined by the board of administration of the retirement system. (e) “Program” means the program established by this chapter under which the committee shall issue bonds for the purpose of funding or refunding pension obligations. (f) “Retirement laws” means Section 17 of Article XVI of the California Constitution and the Public Employees’ Retirement Law (Part 3 (commencing with Section 20000) of Division 5) and any other laws providing for payment to be made by the state or any state agency to the retirement system to provide retirement benefits to employees of the state or any other individuals for which the state has an obligation to pay all or a portion of the contributions to the retirement system to ensure the payment of retirement benefits to those individuals. (g) “Retirement system” means the Public Employees’ Retirement System established pursuant to the Public Employees’ Retirement Law (Part 3 (commencing with Section 20000) of Division 5). (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  195. 16945.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. )

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    The committee may issue bonds and carry out related financing activities, but some actions require the Director of Finance’s request or determination, and some services need Treasurer approval.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16945. The committee is authorized and empowered, for and in the name and on behalf of the state, to do all of the following: (a) Upon the request of the Director of Finance, and following receipt of the determination of the Director of Finance pursuant to Section 16941, issue taxable or tax-exempt bonds for the purpose of funding or refunding pension obligations, paying related costs and ancillary obligations, or refunding any bonds previously issued pursuant to this chapter. (b) Execute debentures or other instruments evidencing the pension obligations. (c) Enter into ancillary obligations and other contracts deemed necessary by the committee in connection with any bonds issued under this chapter. (d) Establish the terms and conditions for the program undertaken pursuant to this chapter. (e) Employ or contract for legal, consulting, underwriting, or other services in connection with the program as may be necessary in the judgment of the committee, as approved by the Treasurer, as agent for sale of the bonds, for the successful financing of the program and the issuance and sale of bonds. (f) In addition to the powers specifically granted in this chapter, do all things necessary or convenient, including delegation of necessary duties to the Director of Finance, as chairperson, and to the Treasurer, as agent for sale of the bonds, to carry out the purposes of this chapter. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  196. 16946.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. )

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    Bonds issued under this chapter, and related ancillary obligations, are debts and liabilities of the state, payable from the state General Fund or, for bond anticipation notes, from bond proceeds.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16946. Every issue of bonds, and any ancillary obligation entered into with respect to those bonds, shall be a debt and liability of the state payable from the General Fund of the state or, in the case of bond anticipation notes, payable from the proceeds of bonds to be issued pursuant to this chapter. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  197. 16947.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. )

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    Bonds issued under this chapter are capped by multiple limits, including a $2,000,000,000 maximum and a fiscal-year limit tied to unpaid pension obligations.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16947. (a) The cumulative amount of outstanding bonds issued pursuant to this chapter may not exceed the lesser of (1) the sum of two billion dollars ($2,000,000,000); or (2) the amount which, when added to all anticipated interest and related costs of the bonds, does not exceed the anticipated reduction of the state’s pension obligations as a result of changes in the retirement law that reduce contributions to the retirement system, as determined by the Director of Finance. (b) Notwithstanding subdivision (a), the cumulative amount of bonds issued pursuant to this chapter in any one fiscal year may not exceed the total unpaid amount of the state’s pension obligations for that fiscal year. (c) Bonds may be issued pursuant to this chapter in any two fiscal years after June 30, 2004, but may not be issued in any more than two fiscal years. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  198. 16948.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. )

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    The committee may set or delegate many bond terms, and the Treasurer may serve as sale agent, determine sale terms, and invest trust funds for bond payments.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16948. (a) The resolution, certificate, or other instrument of the committee authorizing the issuance of the bonds may provide, or the committee may delegate to the Treasurer, as agent for sale of the bonds, responsibility to determine, any or all of the following for the bonds: (1) The form of the bonds, which may be issued as serial bonds, term bonds, or installment bonds, or any combination of those. (2) The date to be borne by any bonds. (3) The time of maturity of any bonds, which maturities may be before or after the term of the related pension obligation to be funded or refunded. (4) The interest, fixed or variable, to be borne by the bonds. (5) The time that the bonds shall be payable. (6) The denominations, form, and registration privileges of the bonds. (7) The manner of execution of the bonds. (8) The place the bonds are payable, which may include any paying agent within or outside of the state. (9) The terms of redemption of the bonds. (10) The establishment of funds and accounts to be held by a trustee to provide for payment or security for the bonds or ancillary obligations or related costs. (11) Any other terms and conditions deemed necessary by the committee. (b) Pursuant to Section 5702, the Treasurer shall serve as agent for the offer and sale of the bonds. The bonds may be sold at either a competitive or negotiated sale, at times and at prices, for consideration, and with all other terms and conditions as the Treasurer, in his or her capacity as agent for sale of the bonds, shall determine. (c) The Treasurer is authorized to invest or direct the investment of any amounts held in trust for payment of the bonds in any securities or obligations authorized pursuant to Chapter 3 (commencing with Section 16430) of Part 2, as amended from time to time. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  199. 16949.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. )

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    Bond proceeds must be used for pension obligations, related refunding, and related issuance costs, and may also be used to prepay pension obligations.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16949. The proceeds of the bonds shall be applied to the funding or refunding of pension obligations, or refunding of bonds previously issued under this chapter, together with all costs of issuing the bonds and refunding pension obligations or prior bonds and the costs of any ancillary obligation. Notwithstanding Sections 20822 and 20824, or any other provision of law, the proceeds of the bonds may be applied to the prepayment of pension obligations. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)
  200. 16950.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. )

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    When bond proceeds are used for certain pension obligations, the Controller must quarterly transfer matching amounts from the special fund or nongovernmental cost fund to the General Fund.

    ## Government Code - GOV ## TITLE 2. GOVERNMENT OF THE STATE OF CALIFORNIA [8000 - 22980] ( Title 2 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 4. FISCAL AFFAIRS [16100 - 17700] ( Division 4 added by Stats. 1945, Ch. 119. ) ## PART 3. STATE BONDS [16650 - 16965.1] ( Part 3 added by Stats. 1945, Ch. 120. ) ## CHAPTER 8. The California Pension Restructuring Bond Act of 2004 [16940 - 16960] ( Chapter 8 added by Stats. 2004, Ch. 215, Sec. 4. ) ## ARTICLE 2. Issuance of Bonds to Finance the Program [16945 - 16954] ( Article 2 added by Stats. 2004, Ch. 215, Sec. 4. ) ## 16950. When proceeds of bonds issued pursuant to this chapter are used to pay the state’s pension obligations to the retirement system for members whose compensation is paid from a fund other than the General Fund, the Controller shall, notwithstanding any other provision of law, transfer quarterly from the special fund or nongovernmental cost fund to the General Fund an amount equal to the quarterly pension obligations paid from bond proceeds with respect to those members, as certified by the Director of Finance and authorized in any appropriation item or in any category thereof. (Added by Stats. 2004, Ch. 215, Sec. 4. Effective August 11, 2004.)

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