1981-01 Urging the Legislature to Repeal Section 663.545 & 665.104 of the FL StatutesRESOLUTION N0. 1-81
A RESOLUTION OF THE VILLAGE COUNCIL OF NOP.TH PATM BEACH, FIARIDA,
REQUESTING AND URGING THE LT3GISIATUI2E OF THE STATE OF FLORIDA 7d REPEAT.
SECTIONS 663.545 AND 665.104, FLORIDA STATUTES, ADOPTID IN THE 1980
I~:GISIATIVE SESSION, WHICH REQUIRE BANKS AMID SAVINGS AND IRAN ASSOCIATIONS
HOLDING MUNICIPAL KIDNEY DEPOSITS TO PLEDGE COIIATERAL FOR SUCH DEPOSITS TO
THE TREASURER OF THE STATE OF FLORIDA, BATHER THAN TO THF. MUNICIPALITY
MAKING SUCH DEPOSITS; AND FUP.THER REQUIRING APPROVAL OF TTTE STATE TREASURER
IN WRITING TO RELEASE, MODIFY OR SUBSTITUTE SUCH COI~ATERAL REQUII2ED; AUTHORIZING
AND DIRECTING THE VII~AGE CIERK Tn FORWARD A CERTIFIED COPY OF THIS RESOLUTION
TO SUCH PERSONS AS THE MAYOR SHAT DIRECT; AND PROVIDING FOR AN EE~FECTIVE
DATE HEREOF.
WHERT:AS, the Legislature of the State of Florida enacted Sections
663.545 and 665.104, Florida Statutes, in the 1980 Legislative Session; and
WHEE2EAS, said statutory provisions require banks and savings and
loan associations holding municipal money deposits to pledge collateral for
1 such deposits to the Treasurer of the State of Florida, rather than to the
nosnicipality making such deposits; and further requiring written approval
of the State Treasurer to release, modify or substitute such collateral
required after such officer shall first consult the municipality involved; and
WHEREAS, Counties and Boards of. Education are not included under this
revised legislation; and
WHEREAS, mnicipalities on the whole have wisely invested their monies
and obtained the collateral from depository banks and savings and loan
associations as required by law prior to such revisions; and
WHEREAS, the revisions will require a large increase in paper work
at cost to the taxpayer together with the larger banking institutions refusing
to conduct business with municipalities due to the inability to change pledged
' collateral within a reasonable time and increased paper work. Further, the
sum of money expected to exceed $400,000 may be required to fund the
TYeasurer's office for this purpose, which is a needless cost to the taxpayer,
and which funding has not been made to date, which has caused great confusion; and
T~hIERFEA.S, such revisions reflect the wishes of a small segment of
the banking lobby and an effort to prevent a few municipalities from making
investments which do not meet the requirements of law;
PdOW, THEREFORE, BE IT RESOLVED BY THE VILiAGE COUNCII, OF NORTtI
PAI1~I BEACH, FIAPSDA:
Section 1. The Village Council of North Palm Beach, Florida urges
and requests manbers of the Florida Legislature in its 1981 Session to
' repeal Sections 663.545 and 665.104, Florida Statutes.
Section 2. The Village Clerk is hereby authorized and directed to
forward a certified copy of this Resolution to such persons as the rlayor
shall direct.
Section 3. This Resolution shall take effect iinnediately upon
passage.
PASSID AND ADOPTED THIS 8TH DAY OF JANUARY, 1981.
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