                                 CODE OF VIRGINIA

SHORT TITLE; DECLARATION OF INTENT; APPLICABILITY (§ 2.2-4400)

A. This chapter may be cited as the &#8220;Virginia Security for Public Deposits
Act.&#8221;

B. The General Assembly intends by this chapter to establish a single body of
law applicable to the pledge of collateral for public deposits in financial
institutions so that the procedure for securing public deposits may be uniform
throughout the Commonwealth.

C. All public deposits in qualified public depositories that are required to be
secured by other provisions of law or by a public depositor shall be secured
pursuant to this chapter. Public depositors are required to secure their
deposits pursuant to several applicable provisions of law, including but not
limited to &#xA7;&#xA7; 2.2-1813, 2.2-1815, 8.01-582, 8.01-600, 15.2-1512.1,
15.2-1615, 15.2-2625, 15.2-6611, 15.2-6637, 58.1-3149, 58.1-3150, 58.1-3154, and
58.1-3158.

D. This chapter, however, shall not apply to deposits made by the State
Treasurer in out-of-state financial institutions related to master custody and
tri-party repurchase agreements, provided that (i) such deposits do not exceed
10 percent of average monthly investment balances and (ii) the out-of-state
financial institutions used for this purpose have received at least one of the
following short-term deposit ratings: (a) not less than A-1 by Standard &amp;
Poor&#8217;s; (b) not less than P-1 by Moody&#8217;s Investors Service, Inc.; or
(c) not less than F1 by Fitch Ratings, Inc.

HISTORY: 1973, c. 172, §§ 2.1-359, 2.1-361; 1984, c. 135; 2000, cc. 335, 352;
2001, c. 844; 2010, cc. 640, 674; 2020, c. 333.