SB0273 Summary

• Modifies authorized investments for public agencies by changing maturity limits for short-term corporate obligations from 3 years to 270 days.

• Creates new investment category (4.5) allowing public agencies to invest in corporate obligations maturing between 270 days and 3 years, subject to same rating and percentage restrictions as short-term obligations.

• Maintains requirement that corporate obligations must be from companies with assets exceeding $500,000,000 and rated in top 3 classifications by at least 2 rating services, with purchases not exceeding 10% of corporation's outstanding obligations.

• Limits total investment in corporate obligations (both categories 4 and 4.5) to one-third of public agency's funds.