109.10 SUBSTITUTION OR EXCHANGE OF SECURITIES.

   When a depository has deposited securities with the Trustee in accordance with Section 109.08, the depository may substitute or exchange eligible securities having a face value equal to or greater than the face value of the securities then on deposit and for which they are to be substituted or exchanged only:

   (a)   If the Director of Finance gives written authorization for such substitution or exchange.

   (b)   If the Director has authorized the depository to make such substitution or exchange on a continuing basis during a specified period without prior approval of each substitution or exchange. Written authorization shall be sent to the Trustee stating that substitution may be made on a continuing basis during a specified period under the conditions specified therein; or

   (c)   If no continuing authorization for substitution or exchange has been given by the Director, the depository shall notify the Director and the Trustee of an intended substitution or exchange, and the Director fails to object to the Trustee within ten business days after receipt by the Director of the notice of proposed substitution. The notice to the Director and to the Trustee shall be given in writing and be delivered personally or by certified or registered mail with a return receipt requested. (Ord. 87-550. Passed 10-7-87.)