Texas § IN.424.105 - SHORT-TERM INVESTMENT POOL
Full text of Texas The Texas Constitution § IN.424.105 — SHORT-TERM INVESTMENT POOL, with citation guidance and answers to common questions.
§ IN.424.105. SHORT-TERM INVESTMENT POOL
SHORT-TERM INVESTMENT POOL: CERTAIN SHORT-TERM OBLIGATIONS. (a) Obligations contained in a short-term investment pool must meet the requirements of this section. (b) The obligations must: (1) have a rating by the securities valuation office of one or two, or an equivalent rating issued by a nationally recognized statistical rating organization recognized by the securities valuation office; or (2) be issued by an issuer with outstanding obligations that have a rating described by Subdivision (1). (c) The obligations must have: (1) a remaining maturity of 397 days or less or a put that: (A) entitles the holder to receive the principal amount of the obligation; and (B) may be exercised through maturity at specified intervals not exceeding 397 days; or (2) a remaining maturity of three years or less and a floating interest rate that resets at least quarterly on the basis of a current short-term index and is not subject to a maximum limit, if the obligations do not have an interest rate that varies inversely to market interest rate changes. (d) For purposes of this section, a current short-term index is: (1) a federal funds rate; (2) the prime rate; (3) the rate for treasury bills; (4) the London InterBank Offered Rate; or (5) the rate for commercial paper. Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017 ), Sec. 1, eff. April 1, 2007.
Source: official Texas text · Last verified 2026-08-27
Frequently Asked Questions About Texas § IN.424.105
What does The Texas Constitution § IN.424.105 cover?
Section IN.424.105 ("SHORT-TERM INVESTMENT POOL") is part of the The Texas Constitution, the codified statutory law of Texas. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Texas § IN.424.105?
A common citation format is "The Texas Constitution § IN.424.105" (Texas). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Texas law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Texas official source linked on this page or consult a licensed Texas attorney.
How does Texas § IN.424.105 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Texas can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Texas.