Depositories
All funds which come under the control of the college shall be deposited in financial institutions which maintain a main or branch office within the boundaries of the college district. The above notwithstanding, demand deposit accounts may be established in locations outside of the district where the purpose of the account is to temporarily hold funds deposited by a tax collector or granting agency prior to their transfer and deposit in regular college accounts. Funds shall be deposited only in those institutions maintaining current membership in the Federal Deposit Insurance Corporation (FDIC). Except as provided in Section 508.02, no institutions may receive college funds in excess of that amount insured by the FDIC.
Investments
College funds shall be invested as follows:
- In certificates of deposit, savings accounts, or time deposits of financial institutions which maintain a main or branch office within the boundaries of the college district. For any investments that exceed FDIC coverage, participating financial institutions must agree to pledge to the college United States Government securities or securities of United States government agencies with a market value equal to or greater than the amount of investment (less FDIC). Such pledge shall be made by delivery of required securities to a responsible third party prior to investment of said funds by the college with custodial receipts allowing the release of pledged securities only by authorized college officials. The Certificate of Deposit Account Registry Service (CDARS), as well as the ICS (Insured Cash Sweep) product, is acceptable for college investments.
- In United States Treasury bonds, notes or bills.
- In the Illinois Funds.