§ 4555 - Duties of state treasurer
§ 4555. Duties of state treasurer
(a) The state treasurer may receive from the United States of America or any department or agency thereof any amounts of money as and when appropriated, allocated, granted, turned over or in any way provided for the purposes of the bank or this chapter, and the amounts shall be credited to and deposited in the reserve fund or revenue bond reserve funds, as appropriate, and be available to the bank.
(b) Any moneys in the custody of the state treasurer whether made available by reason of any grant, allocation or appropriation by the United States of America or the state or agencies thereof to assist any governmental unit in payment of its municipal bonds or revenue bonds owned or held by the bank, or required by the terms of any other law to be paid to holders or owners of municipal bonds or revenue bonds of a governmental unit upon failure or default of a governmental unit to pay the principal of or interest on its municipal bonds or revenue bonds when due and payable, shall, to the extent that those funds or moneys are applicable to municipal bonds or revenue bonds of a particular governmental unit and which are then owned or held by the bank and as to which that governmental unit has defaulted on payment of principal or interest when due, be paid and deposited by the state treasurer in the applicable reserve fund or funds and made available to the bank.
(c) To the extent that the state treasurer is the custodian of any moneys payable to a governmental unit at any time subsequent to written notice to him or her from the bank that the governmental unit is in default on the payment of principal or interest on any municipal bonds or revenue bonds of the governmental unit then held or owned by the bank, the state treasurer must withhold the payment of that money from that governmental unit until the amount of the principal or interest then due and unpaid has been paid to the bank, or until the state treasurer has been advised that arrangements, satisfactory to the bank, have been made for the payment of the principal and interest. (Added 1969, No. 216 (Adj. Sess.), § 3, eff. March 27, 1970; amended 1987, No. 55, § 5, eff. May 15, 1987.)