Powers of the authority - investments.

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(1) The authority has the power:

  1. To invest any funds held in reserve, sinking funds, capital reserve funds, or any fundsnot required for immediate disbursement in property or in securities in which the state treasurer may legally invest funds subject to his control; and to sell from time to time such securities thus purchased and held; and to deposit any securities in any trust bank within or without the state. Any funds deposited in a banking institution or in any depository authorized in section 24-75603, C.R.S., shall be secured in such manner and subject to such terms and conditions as the board may determine, with or without payment of any interest on such deposit, including, without limitation, time deposits evidenced by certificates of deposit. Any commercial bank incorporated under the laws of this state which may act as depository of any funds of the authority may issue indemnifying bonds or may pledge such securities as may be required by the board.

  2. Notwithstanding the provisions of paragraph (a) of this subsection (1), to contractwith the holders of any of its notes or bonds as to the custody, collection, securing, investment, and payment of any moneys of the authority and of any moneys held in trust or otherwise for the payment of notes or bonds and to carry out such contract. Moneys held in trust or otherwise for the payment of notes or bonds or in any way to secure notes or bonds and deposits of such moneys may be secured in the same manner as moneys of the authority, and all banks and trust companies are authorized to give such security for such deposits.

  3. To authorize a corporate trustee which holds funds of the authority pursuant to abond or note resolution or a trust indenture between such trustee and the authority to invest or reinvest such funds in any investments, other than those specified in paragraph (a) of this subsection (1), if the board determines by resolution, including but not limited to a bond or note resolution, that, as of the date of such resolution:

  1. Such investments meet the standard for investments established in section 15-1-304,C.R.S.;

  2. The income on such investments is at least comparable to income then available onthe investments permitted in paragraph (a) of this subsection (1); and

  3. Such investments assist the authority in carrying out its public purposes as described in this part 7.

Source: L. 75: Entire section added, p. 982, § 14, effective April 23. L. 79: (1)(a) amended, p. 1618, § 19, effective June 8. L. 85: (1) amended and (1)(c) added, p. 1040, § 3, effective July 1. L. 87: (1)(c)(III) amended, p. 1195, § 13, effective May 20.

Editor's note: This section was enacted as § 29-4-725 in House Bill 75-1026 but was renumbered on revision in the 1977 replacement volume for ease of location.


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