113-10-01 Treasurer's investment pool.

(A) Any political subdivision desiring to participate in the treasurer's investment pool must complete an application and such other forms as specified by the treasurer. It is the responsibility of a political subdivision to ensure that the subdivision's participation in the treasurer's investment pool is authorized by local law or that its participation has been authorized by the appropriate local public officials.

(B) Deposits into the treasurer's investment pool will be accepted by check, ACH, or wire transfer. To the extent deemed practical by the treasurer, there shall be no minimum dollar amount of deposits nor minimum period of time for which deposits must remain in the state treasurer's investment pool. Twenty-four hours notice must be given to the co-administrator of the state treasury asset reserve ("STAR") in advance of all deposits exceeding twenty-four million dollars. STAR reserves the right to limit the transaction to fifty million dollars, requiring the excess amount to be transacted the following business day(s), but only to the fifty million dollar limit. All accounts of the participant will be combined for these purposes.

(C) Deposits by wire transfer or ACH must be received by the custodian bank no later than one-thirty p.m. in order to receive that day's interest. Deposits by check will become effective when collected funds are received by the custodian bank. Such funds will then be credited to the participant's account.

(D) Redemptions will be allowed against participants' accounts by wire transfer, ACH, check redemption, , or by sending a written redemption request to the co-administrator. Redemptions by wire transfer will be executed on the same business day as requested, provided that telephone instructions are received by the treasurer's investment pool prior to one-thirty p.m. Any requests for redemption must be authorized by the appropriate local public officials, identified in the forms as provided in paragraph (A) of this rule. Twenty-four hours notice must be given in advance of any redemption exceeding fifty million dollars. Any redemptions requested that exceed fifty million dollars will be transacted the following business day, but only to the fifty million dollar limit. All accounts of the participant will be combined for the purpose of calculating the fifty million dollar limitation.

(E) If a deposit has been made by ACH or check and a redemption is requested, the deposit by ACH or check must be collected by the custodian bank. The treasurer's investment pool may reject the redemption request if the deposit check has not been collected.

(F) Interest will be declared and paid daily to each account in the treasurer's investment pool. As used in this rule, "interest" means the gross income of the investment pool minus expenses incurred in the administration of the investment pool.

(G) Interest shall be credited to each participant's account on the day of deposit, as provided in paragraph (C) of this rule; however, no interest shall be credited on the day of redemption for the amount withdrawn.

(H) The treasurer's investment pool shall provide monthly statements to each participant in the pool summarizing the account activity of that participant and the interest credited to that participant's account.

(I) A participant in the treasurer's investment pool may elect to have any monies due from the state of Ohio or from any other source either wired or sent by ACH directly to the custodian bank for credit to their investment pool account, as provided in paragraph (C) of this rule, provided that such transactions have been authorized in advance by the participant.

(J) Any entity that maintains a custodial account with the treasurer may participate in the treasurer's investment pool.

(K) Notwithstanding the specific provisions of this rule, the treasurer may take whatever action the treasurer deems appropriate or necessary to protect the participants in and the integrity of the treasurer's investment pool. The treasurer may appoint such administrators, custodians, investment managers, transfer agents, dividend agents, rating agency, or any other entities that the treasurer deems necessary for the efficient administration of the investment pool.

(L) Investment advisor and administrative expense fees paid to the treasurer shall be used solely to pay budgeted and appropriated state treasury operating expenses.

Effective: 09/20/2012
R.C. 119.032 review dates: 06/18/2012 and 09/20/2017
Promulgated Under: 111.15
Statutory Authority: 135.45
Rule Amplifies: 135.45
Prior Effective Dates: 1/1/86(Emer), 10/11/95(Emer), 1/12/96, 9/28/00, 6/28/2012