reglab/statecodes huggingface dataset:
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 2 - ACCOUNTS OR APPROPRIATIONS FOR DESIGNATED PURPOSES (§§ 9-4-201 — 9-4-214) › Section 9-4-207 - Transportation equity trust fund - Account

(a)
There is hereby created a segregated account within the state treasury to be known as the "transportation equity trust fund." Moneys shall be deposited to the fund pursuant to §
67-6-103(b)
, and shall be invested for the benefit of the fund pursuant to §
9-4-603
. Moneys in the fund shall not revert to any other fund at the end of a fiscal year but shall remain available for appropriation by the general assembly for use as provided below.
(b)
Notwithstanding any law to the contrary, all funds directed to be deposited to the fund pursuant to §
67-6-103(b)
shall be so deposited and shall be administered by the department of transportation and used only for the benefit and operation of railways, aeronautics, waterways programs and related activities.
Acts 1992, ch. 1015, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 2 - ACCOUNTS OR APPROPRIATIONS FOR DESIGNATED PURPOSES (§§ 9-4-201 — 9-4-214) › Section 9-4-208 - Appropriations to promote industries and facilities involving modern technologies - Audits

(a)
It is in the interest of this state to promote, encourage and foster the commercial and economic interests of the state by attraction of industries, educational and research facilities, and other facilities involving modern technologies. In furtherance of this end, the general assembly may appropriate funds to organizations that carry out these purposes.
(b)
The comptroller of the treasury shall have the authority to audit any funds appropriated and/or expended pursuant to this section.
Acts 1984, ch. 970, § 1; T.C.A. § 9-6-117.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 2 - ACCOUNTS OR APPROPRIATIONS FOR DESIGNATED PURPOSES (§§ 9-4-201 — 9-4-214) › Section 9-4-209 - Civil rights attorneys' fees awards account

(a)
There is hereby created a fund or account, known as the "civil rights attorneys' fees awards account," out of which federal court judgments awarding attorneys' fees in civil rights cases shall be paid where the state is liable for such judgments.
(b)
The civil rights attorneys' fees awards account shall be a sum sufficient account, and there shall be appropriated each year an amount sufficient to pay all fee awards for which the state is liable.
(c)
The civil rights attorneys' fees awards account shall be administered by the commissioner of finance and administration. Payments shall be made upon certification by the attorney general and reporter of the amount and liability of the state.
Acts 1984, ch. 985, §§ 1-3; T.C.A. § 9-6-118.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 2 - ACCOUNTS OR APPROPRIATIONS FOR DESIGNATED PURPOSES (§§ 9-4-201 — 9-4-214) › Section 9-4-210 - Increase or decrease in periods of imprisonments - Appropriations for operating costs

(a)
(1)
For any law enacted after January 1, 2023, that results in a net increase in periods of imprisonment in state facilities, there must be appropriated from recurring revenues the estimated operating costs of the law.
(2)
Appropriations made under subdivision (a)(1) must be used only for operating costs for the department of correction.
(3)
Any law enacted without the funding required by subdivision (a)(1) is null and void unless such funding is appropriated in the general appropriations act.
(b)
For any law enacted after January 1, 2023, that results in a net decrease in periods of imprisonment in state facilities, the appropriations in subsection (a) must be decreased by the estimated amounts annually that account for the estimated decrease in operating costs of the law. The annual decrease in appropriations required pursuant to this subsection (b) must be made in the general appropriations act as a line item reduction for the next three (3) years commencing after the effective date of the law and in an amount equal to the annual estimated decrease in operating costs reflected in the fiscal note prepared pursuant to subsection (c).
(c)
The amount of appropriations made under this section must be equal to the amounts reflected in fiscal notes prepared by the staff of the fiscal review committee. Cost increases must be estimated based on the operating costs, in current dollars, of the highest of the next three (3) fiscal years commencing after July 1, 2022. Cost decreases must be estimated based on actual estimated operating costs to be reduced.
(d)
Should the fiscal note include both increases and decreases, the costs must be netted out on an annual basis for the next three (3) fiscal years commencing after July 1, 2022. Netted out cost increases must be based on the operating costs of the highest of the next three (3) fiscal years on a recurring basis. Netted out cost decreases must be based on actual estimated decreases for each of the next three (3) fiscal years.
(e)
For purposes of this section:
(1)
"Operating costs" means all variable costs of housing inmates in state facilities, or local facilities pursuant to title 41, chapter 8, other than capital outlay or capital maintenance costs and does not include any set costs for housing inmates in state or local facilities; and
(2)
"Periods of imprisonment in state facilities" includes inmates housed by the state in local facilities pursuant to title 41, chapter 8.
Amended by 2021 Tenn. Acts, ch. 412, s 1, eff. 5/12/2021.
Acts 1985 (1st Ex. Sess.), ch. 1, §§ 1-6; T.C.A. § 9-6-119.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 2 - ACCOUNTS OR APPROPRIATIONS FOR DESIGNATED PURPOSES (§§ 9-4-201 — 9-4-214) › Section 9-4-212 - State appropriations to nongovernmental defender services in capital cases

No state funds for appeals of capital cases shall be appropriated for or allocated to The Capital Case Resource Center of Tennessee, Inc., or any other nongovernmental corporation or organization, except that this prohibition shall not apply to an individual member of the bar appointed by a court to represent an indigent defendant.
Acts 1995, ch. 528, § 1; T.C.A. § 9-6-122.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 2 - ACCOUNTS OR APPROPRIATIONS FOR DESIGNATED PURPOSES (§§ 9-4-201 — 9-4-214) › Section 9-4-214 - Victims of human trafficking fund

(a)
There is created a fund within the state treasury, to be known as the "victims of human trafficking fund." The fund consists of grants, appropriations by the general assembly, and any federal funds, to the extent permitted by federal law and regulation. Moneys deposited in the fund must be invested for the benefit of the fund pursuant to §
9-4-603
. Moneys in the fund must not revert to the general fund, but must remain available to be used by the department of finance and administration's office of criminal justice programs exclusively for the purpose specified in subsection (b). The commissioner of the department of finance and administration has the authority to promulgate rules in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5, in order to ensure the funds are received and expended for the purposes consistent with subsection (b).
(b)
The purpose of the victims of human trafficking fund is to provide specialized comprehensive treatment and support services to the victims of human trafficking offenses, as defined in §
39-13-314
. Specialized comprehensive treatment and support services for victims of human trafficking include, but are not limited to, medical care, mental health and substance abuse care, nutritional counseling, safe housing, job training, transportation, and other basic human needs. The department of finance and administration's office of criminal justice programs shall distribute moneys in the fund in the form of grants to agencies that provide specialized comprehensive treatment and support services for the victims of human trafficking. It is the legislative intent that priority for funding be directed to the single point of contact agencies in this state recognized by the Tennessee bureau of investigation and the department of children's services.
Added by 2019 Tenn. Acts, ch. 356,s 1, eff. 7/1/2019.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 3 - RECEIPT AND DEPOSIT (§§ 9-4-301 — 9-4-308) › Section 9-4-302 - Departmental accounts

(a)
No department, officer or agency of state government, except the state treasurer, shall deposit state funds to the credit of such department, officer or agency in any financial institution except as provided in this section.
(b)
Whenever the satisfactory conduct of the state's business clearly demands it, and not otherwise, the commissioner of finance and administration, with the approval of the governor and the state treasurer, may authorize establishment of an account in the name of a state department or agency in a state depository.
(c)
Whenever state officials are required to hold funds in trust as a result of their official duties, such funds may be held in departmental accounts, unless otherwise directed by the commissioner of finance and administration, the governor and the state treasurer.
(d)
Whenever a departmental account is established, unless otherwise provided, funds in the account shall be invested in accordance with §
9-4-602
.
(e)
A petty cash account may be allowed by the commissioner of finance and administration to each state department, institution or agency, which shall in the opinion of the commissioner require such account, and such account so established shall be reimbursed only upon statements and bills audited by the department of finance and administration. In the event that a petty cash account requires the establishment of a separate account in a financial institution, such account shall be established in accordance with subsection (b).
(f)
The commissioner of finance and administration shall promptly notify the comptroller of the treasury of any accounts established pursuant to this section.
Acts 1985, ch. 118, § 25; 1986, ch. 923, § 3.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 3 - RECEIPT AND DEPOSIT (§§ 9-4-301 — 9-4-308) › Section 9-4-303 - Educational institutions

Sections
9-4-301
and
9-4-302
shall not apply to institutions and other entities governed by the board of trustees of the University of Tennessee or the state board of regents. Those institutions and other entities shall operate in accordance with procedures established by their respective governing boards which are consistent with the provisions regulating other state agencies. The institutions and other entities governed by the board of trustees of the University of Tennessee or the state board of regents may participate in the state pooled investment fund established pursuant to §
9-4-603
.
Acts 1985, ch. 118, § 26; 1986, ch. 551, § 3.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 3 - RECEIPT AND DEPOSIT (§§ 9-4-301 — 9-4-308) › Section 9-4-304 - Service charges on state accounts

Whenever interest bearing accounts are established by the state treasurer or other state official pursuant to §
9-4-301
, §
9-4-302
or §
9-4-307
, reasonable service charges may be deducted from interest income pursuant to procedures established by the state treasurer and commissioner of finance and administration. There is hereby appropriated from interest income an amount sufficient to pay such charges.
Acts 1985, ch. 118, § 27.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 3 - RECEIPT AND DEPOSIT (§§ 9-4-301 — 9-4-308) › Section 9-4-305 - Deposit certification

(a)
All deposits made pursuant to §
9-4-301
, except as provided in subsection (b), shall be evidenced by a deposit certification in accordance with procedures established by the commissioner of finance and administration and approved by the state treasurer.
(b)
Deposits of state funds that result from transfers within the banking system utilizing electronic transfer of funds and initiated by the state treasurer shall be evidenced by those documents and advices as are used within the banking system to execute such funds transfer, and shall be accepted by the commissioner of finance and administration in lieu of deposit certifications. Such documents and advices shall be delivered directly by the state treasurer to the commissioner of finance and administration. The use of the term "banking system" in this subsection (b) shall not be construed to restrict the definition of "state depository" to any meaning other than that set forth in §
9-4-107
.
Acts 1985, ch. 118, § 28; 1986, ch. 923, § 4.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 3 - RECEIPT AND DEPOSIT (§§ 9-4-301 — 9-4-308) › Section 9-4-306 - Monthly reports

(a)
Each state depository where public deposits are made by the state treasurer shall transmit to the state treasurer a monthly statement of moneys received, charges assessed, interest credited and amounts paid by it on account of the state.
(b)
Each state depository where a departmental account is maintained shall transmit to the department or agency head a monthly statement of moneys received, charges assessed, interest credited and amounts paid by it.
Acts 1985, ch. 118, § 29.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 3 - RECEIPT AND DEPOSIT (§§ 9-4-301 — 9-4-308) › Section 9-4-307 - State depositories

The state treasurer is authorized to open accounts in state depositories and establish procedures to be followed by each depository for the handling of state deposits.
Acts 1985, ch. 118, § 30.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 3 - RECEIPT AND DEPOSIT (§§ 9-4-301 — 9-4-308) › Section 9-4-308 - Transfer of funds through federal reserve banking system

The state treasurer, in the exercise of the state treasurer's official duties, is hereby authorized to enter into agreements with any federal reserve bank as the state treasurer deems necessary or advisable, for the purpose of transferring funds through the facilities of the federal reserve banking system. Such agreements may contain terms and conditions determined by the state treasurer to be advisable, including, but not limited to, provisions relative to indemnification, hold harmless, and choice of law.
Amended by 2020 Tenn. Acts, ch. 755, s 1, eff. 6/22/2020.
Acts 1977, ch. 269, § 1; T.C.A., § 9-613; Acts 1980, ch. 446, § 2; T.C.A. § 9-6-115.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-401 - Preference in insolvency

In the liquidation of insolvent state depositories, the return of all state deposits, including funds held in trust by state officials, shall be preferred in payment.
Acts 1985, ch. 118, § 31.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-402 - Reports by commissioner of financial institutions

(a)
It is the duty of the commissioner of financial institutions to advise, on a timely basis, the state treasurer and the commissioner of finance and administration of the condition of each state bank and state chartered savings and loan association, including recommendations regarding its condition and safety as a state depository.
(b)
It is the duty of the commissioner of financial institutions to make inquiry, on a timely basis, of the United States comptroller of the currency, respecting the condition and safety of each national bank as a state depository, and to advise the state treasurer and the commissioner of finance and administration of the results.
(c)
It is the duty of the commissioner of financial institutions to make inquiry, on a timely basis, of the federal deposit insurance corporation, respecting the condition and safety of each federally chartered federal savings bank as a state depository, and to advise the state treasurer and the commissioner of finance and administration of the results.
(d)
Any doubts as to the safety of any state depository shall be resolved by the state treasurer and the commissioner of finance and administration against the depository; in the event the two (2) disagree, the commissioner of financial institutions shall vote.
(e)
If determined to be necessary under subsection (d), steps toward further security or realization shall be taken in accordance with the direction of the state treasurer and the commissioner of finance and administration. Such steps may include a requirement that additional collateral be pledged or all or a portion of the state deposit may be withdrawn without penalty or forfeiture of interest.
Acts 1985, ch. 118, § 32.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-403 - Giving of security

All state funds held in state depositories shall be secured by required collateral as provided in §
9-4-404
, except for funds on deposit in the name of the state with a federal reserve bank.
Amended by 2017 Tenn. Acts, ch. 65,s 2, eff. 3/31/2017.
Acts 1985, ch. 118, § 33.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-404 - Valuation of eligible collateral

(a)
The state treasurer shall evaluate the market value of required collateral monthly, and more frequently if market conditions require.
(b)
Any state depository whose collateral has a market value less than one hundred five percent (105%) of the value of its state deposits, less so much of such amount as is protected by the federal deposit insurance corporation, shall provide additional collateral at the request of the state treasurer.
(c)
If within two (2) working days such additional collateral is not provided, the state treasurer shall submit to the commissioners of financial institutions and of finance and administration a written summary of the results of the market valuation of collateral for that depository, together with a summary of the deposits secured by the collateral and take such action as a majority of these three (3) officials, based upon information received pursuant to §
9-4-402
, deems appropriate. Such action may include withdrawal of part or all of the state deposit in that depository without penalty or forfeiture of interest.
(d)
The state treasurer, county trustee or other public official charged with the deposit of public funds may contract for the evaluation of the market value of required collateral. Such contract may be with any person, including a financial institution or trustee custodian; provided, that such contract may not be with the depository pledging the collateral to be valued.
Acts 1985, ch. 118, § 34; 1992, ch. 592, § 9; 1994, ch. 752, § 12.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-405 - Interest on collateral

Prior to default, the state treasurer, county trustee or other public official charged with the deposit of public funds and the trustee custodian, if the collateral is held by a trustee custodian, is authorized to remit to the state depository any and all interest, distributions or prepayments of any kind, upon eligible collateral pledged by such depository.
Acts 1985, ch. 118, § 35; 1994, ch. 752, § 13.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-406 - Default

(a)
Default shall be deemed to occur whenever any state depository fails to return any state deposit including earned interest when due in accordance with the terms of the deposit contract.
(b)
In all other situations, as defined in §
9-4-102
, where the safety or security of state deposits is in doubt, the state treasurer shall determine whether default has occurred, and the date on which it occurred, following consultation with the other members of the state funding board, the attorney general and reporter and the commissioner of financial institutions. Once the state treasurer has made such a determination, the other state officials with whom the state treasurer consulted shall be advised.
(c)
In the event of default by any state depository, the state depository shall be responsible for any loss to the state.
(d)
Such loss shall be satisfied out of collateral pledged by the state depository to whatever extent possible.
(e)
Collateral pledged in accordance with this part may be sold by the state treasurer or, at the direction of the state treasurer, by the trustee custodian or any other person, including a federal agency, holding such collateral. In the alternative, the state treasurer may choose to hold such collateral. If the state treasurer holds such collateral, loss shall be reduced by the market value of the collateral and any accrued interest thereon as of the date of default.
(f)
The attorney general and reporter is authorized to prosecute, in the name of the state, actions for recovery of any loss incurred by the state under this section.
(g)
Excess proceeds, if any, realized from the sale of collateral will be returned to the defaulting state depository or its successor.
Acts 1985, ch. 118, § 36.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-407 - Safekeeping of securities

(a)
The state treasurer is expressly authorized to contract for the safekeeping and servicing of eligible collateral and/or securities owned by the Tennessee consolidated retirement system and/or other securities of which the state treasurer is the custodian.
(b)
The state treasurer is expressly authorized, if the state treasurer deems it advisable, to insure securities against theft or other loss.
(c)
All expenses incidental to the safekeeping and servicing of securities other than eligible collateral shall be paid by the state agency or the retirement system charged with the responsibility of the securities.
(d)
The state of Tennessee shall be liable to the state depository for any loss of eligible collateral arising from embezzlement and/or theft while in the possession of the state treasurer or under the state treasurer's dominion or control under this section. The state of Tennessee is not liable, however, for loss to the state depository from market fluctuations in the value of collateral or loss to such depository while the collateral is in possession of any common carrier in route to or from the state depository to or from the state treasurer.
Acts 1985, ch. 118, § 37.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-408 - Trust receipts

(a)
In lieu of the actual deposit of eligible collateral under §
9-4-407
, the state treasurer is authorized, at the state treasurer's option, to accept trust receipts.
(b)
Trust receipts shall be issued by trustee custodians in a form acceptable to the state treasurer following the deposit of eligible collateral with the trustee custodian by a state depository.
(c)
Eligible collateral deposited with a trustee custodian shall be subject in all respects to the claims and rights of the state to the same extent as though such collateral had been physically deposited with the state treasurer under §
9-4-407
.
(d)
Each trust receipt shall be nonnegotiable and irrevocable and shall continue in full force and effect until surrendered by the issuing trustee custodian with the release of the state treasurer endorsed thereon over the state treasurer's signature or as otherwise released pursuant to subsection (g) or (h).
(e)
The state treasurer may present the trust receipt at any time to the issuing trustee custodian and upon delivery thereof shall be entitled to receive any and all collateral represented thereby from the trustee custodian, and such collateral shall thereafter be held by the state treasurer as if deposited with the state treasurer by the state depository as collateral, without further liability on the part of the trustee custodian.
(f)
Following delivery of the collateral to the state treasurer, the state treasurer is permitted to register such collateral in the name of the state and to hold it on behalf of the state depository.
(g)
The state treasurer is authorized to establish alternative procedures for the deposit and release of eligible collateral held on the state treasurer's behalf by trustee custodians pursuant to this chapter.
(h)
A county or city official charged with the deposit of public funds is authorized to contract for alternative procedures for the deposit and release of eligible collateral held on the behalf of the county or city by a trustee custodian pursuant to this chapter. The alternative procedure established may be the procedure adopted by the state treasurer in subsection (g), or must provide for a release of collateral only upon the authorization of the county or city official or a person authorized by law to act on behalf of the official. The official's authorization shall be given in writing and delivered, sent or transmitted to the trustee in any reasonable manner, including, without limitation, by means of telephonic facsimile transmission.
Acts 1985, ch. 118, § 38; 1990, ch. 1043, § 2; 1994, ch. 752, §§ 10, 11.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 4 - SECURITY (§§ 9-4-401 — 9-4-409) › Section 9-4-409 - Trustee custodians

(a)
When any trustee custodian holds collateral for a state depository which is related to the custodian through shared ownership or control, such collateral shall be held in a restricted account at a federal reserve bank or branch thereof or at a federal home loan bank or branch thereof.
(b)
The state treasurer is expressly authorized either in person or by agent to examine and check the collateral held by the trustee custodian and to require reasonable reports from the trustee custodian.
(c)
Neither the state nor the state treasurer is liable to the state depository for eligible collateral deposited with or held by any trustee custodian, for any loss arising from any breach of the trust or agreement or from any other cause while such eligible collateral is in the possession or custody of such trustee custodian pursuant to a trust receipt.
Acts 1985, ch. 118, § 39; 1990, ch. 702, § 7.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-501 - Short title

This part shall be known and may be cited as the "Collateral Pool for Public Deposits Act of 1990."
Acts 1990, ch. 1043, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-503 - Application for participation in collateral pool

(a)
Any public depository which holds public deposits may apply to the board for permission to participate in the collateral pool to secure all public deposits at such public depository.
(b)
An application submitted pursuant to this part is subject to the approval of the board. The board shall set the number of votes required for the approval of such applications.
(c)
The board may require such information regarding the financial condition of the public depository as the board deems necessary for determining the suitability of that depository to participate in the collateral pool. Prior to participation in the collateral pool, a qualified public depository shall execute a depository pledge agreement.
Acts 1990, ch. 1043, § 1; 1996, ch. 621, §§ 7, 8.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-505 - Trustee custodians

(a)
Upon being designated as a qualified public depository, the qualified public depository shall select one (1) or more trustee custodians for the deposit of eligible collateral by the qualified public depository.
(b)
Designation of trustee custodians shall be made in accordance with §
9-4-108
.
(c)
Sections
9-4-408
and
9-4-409
shall apply to trustee custodians designated under this part.
(d)
Trustee custodians shall submit a report quarterly to the state treasurer providing a description of eligible collateral deposited by the qualified public depository and the current par value of eligible collateral, as well as other reasonable reports requested by the state treasurer.
(e)
Neither the state, the state treasurer, nor the collateral pool shall be liable to either the qualified public depository or the public depositors for eligible collateral deposited with or held by any trustee custodian for any loss arising from any breach of the trust or from any other cause whatsoever.
Amended by 2021EX3 Tenn. Acts, ch. 2, s 3, eff. 11/12/2021.
Acts 1990, ch. 1043, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-509 - Hearing and judicial review - Administrative procedure

The Uniform Administrative Procedures Act, compiled in title 4, chapter 5, governs all matters and procedures respecting the hearing and judicial review of any contested case, as defined therein, arising under this part.
Acts 1990, ch. 1043, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-510 - Guarantee to public depositors against loss

A qualified public depository shall guarantee public depositors against loss caused by the default or insolvency of other qualified public depositories as provided in §
9-4-512
.
Acts 1990, ch. 1043, § 1; 1996, ch. 621, § 12.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-511 - State treasurer - Powers

In fulfilling the requirements of this part, the state treasurer has the power to:
(1)
Require such collateral, or increase the collateral-pledging level, of any qualified public depository as may be necessary to administer this part and to protect the integrity of the collateral pool as directed by the board;
(2)
Decline to accept, or reduce the reported value of, collateral as circumstances may require in order to ensure the pledging of sufficient marketable collateral to meet the purposes of this part;
(3)
Verify the reports of any qualified public depository relating to public deposits it holds when necessary to protect the integrity of the collateral pool;
(4)
Sell pledged securities, or move pledged securities to an account established in the state treasurer's name, for the purpose of paying losses to public depositors not covered by deposit insurance or to perfect the state treasurer's interest in the pledged securities;
(5)
Transfer funds directly from the trustee custodian to public depositors or the receiver in order to facilitate prompt payment of claims;
(6)
Provide data as may be necessary to assist the board in developing standards and criteria for the program;
(7)
Review, implement, monitor, evaluate and modify, as needed, all or any part of the standards and policies recommended by the board;
(8)
Confirm public deposits, to the extent possible under current law, when needed;
(9)
Monitor and confirm, as often as deemed necessary by the state treasurer, the pledged collateral held by trustee custodians;
(10)
Audit or verify the reports required under this part or under rules adopted under this part;
(11)
Maintain perpetual inventory of pledged collateral and perform monthly market valuations and quality ratings;
(12)
Perform financial analysis of all qualified public depositories; and
(13)
Perfect interest in pledged collateral by having pledged securities moved into an account established in the state treasurer's name. This action shall be taken at the discretion of the state treasurer.
Acts 1990, ch. 1043, § 1; 1992, ch. 592, §§ 21, 22, 25; 1996, ch. 621, § 13.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-512 - Payment of losses - Procedure

When the state treasurer determines that a default or insolvency has occurred, the state treasurer shall provide notice as required in §
9-4-513
and implement the following procedures:
(1)
The state treasurer, in cooperation with the commissioner of financial institutions, the appropriate federal regulator, or the conservator or receiver of the qualified public depository in default, shall ascertain the amount of funds of each public depositor on deposit at such depository, the amount of deposit insurance applicable to such deposits and the amount of such deposits which will not be covered through the sale or use of eligible collateral pledged by the defaulting depository;
(2)
Upon ascertaining the amount of such deposits which will not be covered through any applicable deposit insurance or eligible collateral pledged by the defaulting depository, the state treasurer shall as promptly as possible provide coverage of the remaining loss by assessment against the other qualified public depositories. Such assessment shall be determined by multiplying the total amount of the loss to all public depositors by a percentage which represents the average share of public fund deposits held by that depository during the previous twelve (12) months divided by the average total public deposits held by all depositories during the same twelve-month period, excluding the public deposits of the defaulting depository;
(3)
Each qualified public depository shall pay its assessment to the state treasurer within five (5) business days after it receives notice of the assessment. If a depository fails to pay its assessment when due, the state treasurer shall satisfy the assessment by selling or using the eligible collateral pledged by that depository; and
(4)
Public depositors receiving payment under this section shall assign to the state treasurer any interest they may have in funds that may subsequently be made available to the qualified public depository in default. If the qualified public depository in default or its receiver provides the funds to the state treasurer, the state treasurer shall distribute the funds, plus all accrued interest which has accumulated from the investment of the funds, if any, to the depositories which paid assessments on the same pro rata basis as the assessments were paid.
Amended by 2021EX3 Tenn. Acts, ch. 2, Secs.s4, s5, s6 eff. 11/12/2021.
Acts 1990, ch. 1043, § 1; 1996, ch. 621, § 14; 1997 , ch. 217, § 17.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-513 - Notice to claimants

(a)
Within thirty (30) days after the date of default or insolvency of a qualified public depository, the state treasurer shall publish or cause to be published notice of such default or insolvency once a week for two (2) consecutive weeks in a newspaper of general circulation in each grand division and in the Tennessee Administrative Register. The notice shall direct all public depositors who sustained a loss occasioned by the default or insolvency that was not satisfied pursuant to §
9-4-512
to file their claims with the state treasurer within ninety (90) days after the date of the first publication of the notice.
(b)
No claim made pursuant to subsection (a) shall be binding on the pool or the qualified public depositories unless presented within ninety (90) days after the date of the first publication of the notice. Further, no such claim shall be binding on the pool or the qualified public depositories if the loss was occasioned by the public depositor's failure to comply with the requirements of §
9-4-519(a)(1)
. This subsection (b) does not affect any proceeding to:
(1)
Enforce any real property mortgage, chattel mortgage, security interest, or other lien on property of a qualified public depository that is in default or insolvency; or
(2)
Establish liability of a qualified public depository that is in default or insolvency to the limits of any federal or other casualty insurance protection.
Acts 1990, ch. 1043, § 1; 1997, ch. 217, § 18.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-514 - Public deposit security trust fund

(a)
In order to facilitate the administration of this part, there is created the "public deposit security trust fund," hereafter in this section designated the "fund." The fund must be composed of eligible collateral pledged from any defaulting institution, proceeds from the sale or use of the eligible collateral, or from any assessment.
(b)
The state treasurer is authorized to pay any loss to public depositors from the fund, and there are hereby appropriated from the fund such sums as may be necessary from time to time to pay the losses.
(c)
Any money in the fund estimated not to be needed for immediate cash requirements shall be invested pursuant to §
9-4-603
.
Amended by 2021EX3 Tenn. Acts, ch. 2, s 7, eff. 11/12/2021.
Acts 1990, ch. 1043, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-515 - Effect of merger or acquisition - Change of name or address

(a)
In the event a qualified public depository not in default is merged into, acquired by, or consolidated with a bank or savings institution that is not a qualified public depository, the resulting institution shall become a qualified public depository, and the contingent liability of the former institution shall be a liability of the resulting institution. Within thirty (30) days after the effective date of the merger, acquisition or consolidation, the resulting institution shall execute in its own name and deliver to the state treasurer the contingent liability agreement required by §
9-4-510
. If the resulting institution chooses not to remain a qualified public depository, it shall comply with the procedures for withdrawal from the collateral pool as provided in §
9-4-516
.
(b)
The qualified public depository shall notify the state treasurer of any acquisition or merger within three (3) days after the final approval of the acquisition or merger by its appropriate regulator.
(c)
Collateral subject to a depository pledge agreement may not be released by the state treasurer or the custodian until the assumed liability is evidenced by the deposit of collateral pursuant to the depository pledge agreement of the successor entity. The reporting requirement and pledge of collateral will remain in force until the state treasurer determines that the liability no longer exists. The surviving or new qualified public depository shall be responsible and liable for all of the liabilities and obligations of each qualified public depository merged with or acquired by it.
(d)
Each qualified public depository shall report any change of name and address to the state treasurer on a form provided by the state treasurer, regardless of whether the name change is a result of an acquisition or merger. Notification must be made within three (3) days of such change.
Acts 1990, ch. 1043, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-516 - Voluntary withdrawal from collateral pool

(a)
A qualified public depository may withdraw from the collateral pool by giving written notice to the state treasurer and to the public depositors having public deposits at the qualified public depository.
(b)
Notice of withdrawal shall be mailed or delivered in sufficient time to be received by the state treasurer and by the public depositors at least one hundred eighty (180) days before the effective date of withdrawal. The state treasurer shall timely publish the withdrawal notice in the Tennessee Administrative Register which shall constitute notice to all depositors. On the effective date of withdrawal, the state treasurer is authorized to transfer eligible collateral as jointly directed by the public depository and public depositors to ensure that public depositors are adequately collateralized individually.
(c)
The contingent liability for any loss prior to the effective date of withdrawal of the depository withdrawing from the collateral pool shall continue after the effective date of the withdrawal. The board may establish minimum collateral and reporting requirements sufficient to meet the needs to satisfy any potential contingent liability of a withdrawing qualified public depository.
Acts 1990, ch. 1043, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-517 - Mandatory withdrawal from collateral pool

(a)
A qualified public depository is required to withdraw upon a majority vote of the board. The board may vote to require a qualified public depository to withdraw upon a default by the qualified public depository, or upon the failure of the qualified public depository to meet the eligibility or pledging criteria established by the board. The board shall establish an effective date for such withdrawal.
(b)
The state treasurer shall notify the qualified public depository of the effective date of the withdrawal not less than thirty (30) days prior to such effective date. Within ten (10) business days after receipt of such notification, the qualified public depository must notify the public depositors having public deposits at the qualified public depository of the effective date of the withdrawal. On the effective date of withdrawal, the state treasurer is authorized to transfer eligible collateral as jointly directed by the public depository and public depositors to ensure that public depositors are adequately collateralized individually.
(c)
The contingent liability for any loss prior to the effective date of withdrawal of the depository withdrawing from the collateral pool shall continue after the effective date of the withdrawal. The board may establish minimum collateral and reporting requirements sufficient to meet the needs to satisfy any potential contingent liability of a withdrawing qualified public depository.
Acts 1990, ch. 1043, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-519 - Requirements for public depositors

(a)
Public depositors shall comply with the following requirements:
(1)
A public depositor shall ensure that the name of the public depositor is on the account or certificate provided to the public depositor by the qualified public depository in a manner sufficient to disclose the identity of the public depositor; and
(2)
A public depositor who sustained a loss occasioned by a default or insolvency of a qualified public depository that was not satisfied pursuant to §
9-4-512
shall notify the state treasurer of that fact within three (3) business days after receiving actual notice of the default from publications made pursuant to §
9-4-513(a)
.
(b)
If a public depositor does not comply with subdivision (a)(1), the pool shall not be liable for the loss incurred to that particular account created by the public depositor. The waiver of immunity provided in §
9-4-520
shall be ineffective as to that public depositor for such account.
Acts 1990, ch. 1043, § 1; 1991, ch. 438, § 2; 1997, ch. 217, § 6.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-520 - State and public depositors not liable - Exception

Under no circumstance is the state, or any state agency, or public depositor, liable for all or any portion of any loss resulting from the default or insolvency of a qualified public depository except as provided in §
9-4-519(b)
.
Acts 1990, ch. 1043, § 1.
2023 Tennessee Code › Title 9 - PUBLIC FINANCES (§§ 9-1-101 — 9-24-106) › Chapter 4 - STATE FUNDS, STATE BUDGET AND APPROPRIATIONS (§§ 9-4-101 — 9-4-5612) › Part 5 - COLLATERAL POOL FOR PUBLIC DEPOSITS ACT OF 1990 (§§ 9-4-501 — 9-4-523) › Section 9-4-522 - Deposits of funds - Operating expenses

Any fees collected under this part shall be paid into the treasury of the state, and the same are hereby appropriated exclusively to the department of the treasury to be used in carrying out this part.
Acts 1990, ch. 1043, § 1.