OH HB435

Boards of township trustees may authorize the township treasurer to invest interim township funds in corporate bonds registered with the SEC and rated in one of the three highest classifications by at least two nationally recognized rating agencies.

Township treasurers must complete state-approved training provided by the Ohio Treasurer of State before making any corporate bond investments.

Township treasurers must submit annual reports by August 31st to the Ohio Auditor of State and Treasurer of State detailing investments made, income earned, fees and commissions paid, and other required information.

All corporate bond investments must mature within five years from the date of settlement, and boards of township trustees may appropriate funds for fees and commissions related to these investments.

If a corporate bond's rating falls below the required standard, the issuer must notify the township treasurer within 24 hours, and the treasurer may require collateralization at 102 percent of the remaining obligation, with collateral marked to market daily.