S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   11119
 
                           I N  A S S E M B L Y
 
                               June 6, 2018
                                ___________
 
 Introduced  by  COMMITTEE ON RULES -- (at request of M. of A. Weinstein)
   -- read once and referred to the Committee on Ways and Means
 
 AN ACT to amend the general municipal law, in relation to the amount  of
   dollars  that  may  be invested in the obligations of any corporation,
   bank, trust company or agency
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Clauses  (ii),  (iii),  (iv) and (v) of subparagraph 2 of
 paragraph a of subdivision 3 of section 11 of the general municipal law,
 clauses (ii), (iii) and (iv) as amended by section 1 of part W of  chap-
 ter  406  of the laws of 1999, and clause (v) as added by chapter 545 of
 the laws of 2005, are amended to read as follows:
   (ii) obligations of any corporation organized under the  laws  of  any
 state  in  the  United  States maturing within two hundred seventy days,
 provided that such obligations receive the highest rating of  two  inde-
 pendent rating services designated by the state comptroller and that the
 issuer  of such obligations has maintained such ratings on similar obli-
 gations during the preceding six months,  provided,  however,  that  the
 issuer of such obligations need not have received such rating during the
 prior six month period if such issuer has received the highest rating of
 two  independent rating services designated by the state comptroller and
 is the successor or wholly owned subsidiary of an issuer that has  main-
 tained  such  ratings  on  similar  obligations during the preceding six
 month period or if the issuer is the product of a merger of two or  more
 issuers, one of which has maintained such ratings on similar obligations
 during  the  preceding six month period, provided, however, that no more
 than [two hundred fifty] FIVE HUNDRED million dollars may be invested in
 such obligations of any one corporation; or
   (iii) bankers' acceptances maturing within two  hundred  seventy  days
 which  are  eligible  for purchase in the open market by federal reserve
 banks and which have been accepted by a bank or trust company  which  is
 organized  under  the  laws of the United States or of any state thereof
 and which is a member of the federal reserve system and whose short-term
 obligations meet the criteria outlined in clause (ii) of  this  subpara-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD16130-01-8

 A. 11119                            2
 
 graph.  Provided,  however,  that  no more than [two hundred fifty] FIVE
 HUNDRED million dollars may be invested in such bankers' acceptances  of
 any one bank or trust company; or
   (iv)  obligations  of, or instruments issued by or fully guaranteed as
 to principal and interest by,  any  agency  or  instrumentality  of  the
 United  States acting pursuant to a grant of authority from the congress
 of the United States, including but not limited  to,  any  federal  home
 loan bank or banks, the Tennessee valley authority, the federal national
 mortgage association, the federal home loan mortgage corporation and the
 United  States postal service, provided, however, that no more than [two
 hundred fifty] FIVE HUNDRED million dollars  may  be  invested  in  such
 obligations of any one agency.
   (v)  no-load money market mutual funds registered under the Securities
 Act of 1933, as amended, and operated in accordance with  Rule  2a-7  of
 the Investment Company Act of 1940, as amended, provided that such funds
 are  limited  to  investments in obligations issued or guaranteed by the
 United States of America or in obligations of agencies or instrumentali-
 ties of the United States of America where the payment of principal  and
 interest  are  guaranteed  by  the  United  States of America (including
 contracts for the sale and repurchase of any such obligations), and  are
 rated  in  the highest rating category by at least one nationally recog-
 nized statistical rating organization, provided, however, that  no  more
 than [two hundred fifty] FIVE HUNDRED million dollars may be invested in
 such funds.
   §  2.  This act shall take effect immediately, provided, however, that
 the amendments to subparagraph (2) of paragraph a of  subdivision  3  of
 section 11 of the general municipal law made by section one of this act,
 shall not affect the expiration of such subdivision and shall expire and
 be deemed repealed therewith.