MO HB1308

Repeals and reenacts Section 30.270, RSMo, governing pledged securities for safekeeping of state deposits with banks and financial institutions.

Removes the requirement that irrevocable standby letters of credit issued by Federal Home Loan Banks must possess the highest rating issued by at least one nationally recognized statistical rating agency to qualify as acceptable collateral.

Maintains comprehensive list of acceptable collateral securities including U.S. bonds, state and municipal bonds, mortgage securities, surety bonds, and other investments authorized under Missouri Constitution Article IV, Section 15.

Establishes collateral valuation requirements ranging from 100% to 125% of deposits depending on security type, with surety bonds and letters of credit requiring 100% collateralization.

Requires monthly status reports from financial institutions pledging mortgage securities and authorizes state treasurer to promulgate regulations ensuring state maintains first priority position on pledged collateral.