2006 Code of Virginia § 36-55.44 - Deposit and investment of moneys of HDA

36-55.44. Deposit and investment of moneys of HDA.

A. All moneys of HDA except as otherwise authorized or provided in thischapter shall be deposited as soon as practicable in a separate account oraccounts in banks or trust companies organized under the laws of theCommonwealth, in national banking associations, in federal home loan banks,or to the extent then permitted by law, in savings institutions organizedunder the laws of the Commonwealth of Virginia or the United States. Themoneys in such accounts shall be paid out on checks, drafts payable ondemand, electronic wire transfers, or other means authorized by HDA. Eachpayment shall be approved by the executive director or such other officers oremployees of HDA as HDA shall authorize. Deposits of such moneys shall, ifrequired by HDA, be secured as it shall prescribe, and all banks and trustcompanies are authorized to give such security for such deposits.

B. Unless otherwise limited by contract with the holders of any of its notesor bonds or with any other parties making loans to HDA, any moneys of HDA andany moneys held in trust or otherwise for the payment of such notes, bonds orloans may be invested in (i) obligations or securities which are consideredlawful investments for fiduciaries, both individual and corporation, as setforth in 26-40, (ii) any investments and deposits authorized by Chapter 45( 2.2-4500 et seq.) of Title 2.2, and (iii) any other investments which arepermitted pursuant to subsection C for moneys held under any bond resolutionor trust indenture of the Authority and which, when acquired by HDA, have, orare general obligations of issuers who have, long-term ratings of at least AAor Aa or the highest short-term ratings, as applicable, by two ratingagencies, one of which shall be Moody's Investors Service, Inc., or Standard& Poor's Ratings Group or any successor thereto.

C. In addition to the authorization in subsection B and regardless of anyother provisions of law which would otherwise have the effect of limiting thepowers set forth in this subsection, HDA shall have power to contract withthe holders of any of its notes or bonds and with any other parties makingloans to HDA as to the custody, collection, securing, investment and paymentof any moneys of HDA and of any moneys held in trust or otherwise for thepayment of such notes, bonds or loans, and to carry out such contracts.Unless otherwise specified in such contracts, moneys held in trust orotherwise for the payment of notes, bonds or loans or in any way to securenotes, bonds or loans and deposits of such moneys may be secured in the samemanner as set forth in subsection A.

D. Whenever investments are made in accordance with this section, nocommissioner or employee of HDA shall be liable for any loss therefrom in theabsence of negligence, malfeasance, misfeasance, or nonfeasance on his part.

(1972, c. 830; 1975, c. 536; 1982, cc. 231, 235; 1993, c. 224; 1996, c. 77;1998, c. 442.)