Oklahoma § 62-348.4 - Securities lending program - Cities or counties which

§ 62-348.4. Securities lending program - Cities or counties which

qualify - Collateral requirements.

A. As used in this section:

1. "Securities lending program" means any program, arrangement

or agreement whereby the city or the county deposits securities with

a trust company or a state or national bank for the purpose of such

institution lending such securities to a borrower approved by a city

treasurer or county treasurer in return for a fee or charge paid by

such borrower for the use of such securities; and

2. "Market value" shall mean on any date the average of the bid

and asked prices for such security for the business day preceding

the date on which such determination is made, in the principal

market on which such securities were traded or quoted in the Wall

Street Journal, plus any coupon interest accrued but not yet due and

owing at the date of determination.

B. The governing body of a city with a population of not less

than three hundred thousand (300,000) persons according to the

latest Federal Decennial Census or of a county with a population of

not less than four hundred thousand (400,000) persons according to

the latest Federal Decennial Census may authorize and direct the

city treasurer or county treasurer to enter into a securities

lending program with a trust company or a state or national bank

and to loan any securities held by such city or county pursuant to

any investment of the funds of the city or county in the investments

authorized by Section 348.1 or 348.3 of Title 62 of the Oklahoma

Statutes.

C. Any securities lending program entered into by the city

treasurer or county treasurer shall provide that the borrower shall

deposit with the securities lending institution, for the benefit of

the city or county, collateral consisting of cash or securities

insured by the United States government acceptable to the city

Oklahoma Statutes - Title 62. Public Finance

treasurer or county treasurer. The collateral shall have a market

value equal to one hundred percent (100%) of the principal amount of

any securities being loaned to such borrower and shall be revalued

and adjusted accordingly on each banking day.

Added by Laws 1989, c. 342, § 1, eff. Nov. 1, 1989.