109.07 SECURITIES AS COLLATERAL.

   All City funds deposited pursuant to Section 109.06(d) shall be secured by collateral pledged at the face value thereof in an amount equal to at least one hundred percent (100%) of the deposit less the amount insured by the Federal Deposit Insurance Corporation or the Federal Savings and Loan Insurance Corporation. The following securities shall be eligible to be pledged as collateral:

   (a)   Bonds, notes or other obligations of the United States; or bonds, notes or other obligations guaranteed as to principal and interest by the United States or those for which the faith of the United States is pledged for the payment of principal and interest thereon by language appearing in the instruments specifically providing such guarantee or pledge and not merely by interpretation or otherwise;

   (b)   Bonds, notes, debentures or other obligations or securities issued by any Federal government agency or the Export-Import Bank of Washington, bonds, notes or other obligations guaranteed as to principal and interest by the United States or those for which the faith of the United States is pledged for the payment of principal and interest thereon, by interpretation or otherwise and not by language appearing in the instruments specifically providing such guarantee or pledge;

   (c)   Bonds and other obligations of this State;

   (d)   Bonds and other obligations of any county, township, school district, Municipal corporation or other legally constituted taxing subdivision of this State, which is not at the time of such deposit in default in the payment of principal or interest on any of its bonds or other obligations for which the full faith and credit of the issuing subdivision is pledged; and

   (e)   Bonds of other states of the United States which have not during the ten years immediately preceding the time of such deposit defaulted in payments of either interest or principal on any of their bonds. (Ord. 87-550. Passed 10-7-87.)