§ 11. Temporary investments. 1. For purposes of this section, the\nterms "local government", "bank" and "trust company" shall have the same\nmeanings as in section ten of this article.\n 2. a. The governing board of any local government or, if the governing\nboard so delegates, the chief fiscal officer or other officer having\ncustody of the moneys may temporarily invest moneys not required for\nimmediate expenditure, except moneys the investment of which is\notherwise provided for by law, either: (1) in special time deposit\naccounts in, or certificates of deposit issued by, a bank or trust\ncompany located and authorized to do business in this state; or (2) in\naccordance with all of the following conditions:\n (i) the moneys are invested through a bank or trust company located\nand authorized to do business in this state;\n (ii) the bank or trust company arranges for the deposit of the moneys\nin certificates of deposit in one or more banking institutions, as\ndefined in section nine-r of the banking law, for the account of the\nlocal government;\n (iii) the full amount of principal and accrued interest of each such\ncertificate of deposit must be insured by the federal deposit insurance\ncorporation;\n (iv) the bank or trust company acts as custodian for the local\ngovernment with respect to such certificates of deposit issued for the\nlocal government's account; and\n (v) at the same time that the local government's moneys are deposited\nand the certificates of deposit are issued for the account of the local\ngovernment, the bank or trust company receives an amount of deposits\nfrom customers of other financial institutions equal to or greater than\nthe amount of the moneys invested by the local government through the\nbank or trust company.\n b. For any investment made pursuant to paragraph a of this\nsubdivision, such time deposit account or certificate of deposit shall\nbe payable within such time as the proceeds shall be needed to meet\nexpenditures for which such moneys were obtained and provided further\nthat such time deposit account or certificate of deposit be secured in\nthe same manner as is provided for securing deposits of public funds by\nsubdivision three of section ten of this article.\n * 3. a. Investments pursuant to this section may also be made in the\nfollowing:\n (1) obligations of the United States of America or in obligations\nguaranteed by agencies of the United States of America where the payment\nof principal and interest are guaranteed by the United States of America\nor in obligations of the state of New York, or with the approval of the\nstate comptroller in obligations issued pursuant to section 24.00 or\n25.00 of the local finance law by any municipality, school district or\ndistrict corporation other than the municipality, school district or\ndistrict corporation investing such moneys pursuant to this paragraph.\nIn addition, moneys in any reserve fund established pursuant to section\nsix-c, six-d, six-e, six-f, six-g, six-h, six-j, six-k, six-l, six-m or\nsix-n of this article may be invested in obligations of the\nmunicipality, school district, fire district or district corporation\nwhich has established the reserve fund, or in the case of a capital\nreserve fund established for a town or county improvement district,\nobligations of the town or county issued for the purposes of such\ndistrict.\n (2) notwithstanding any other provision of general, special or local\nlaw, any city having a population of one million or more and any county\nmay also make investments in the following:\n (i) general obligation bonds and notes of any state other than this\nstate, provided that such bonds and notes receive the highest rating of\nat least one independent rating agency designated by the state\ncomptroller;\n (ii) obligations of any corporation organized under the laws of any\nstate in the United States maturing within two hundred seventy days,\nprovided that such obligations receive the
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