[Code of Federal Regulations]

[Title 12, Volume 6]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 12CFR745.10]



[Page 614-615]

 

                       TITLE 12--BANKS AND BANKING

 

            CHAPTER VII--NATIONAL CREDIT UNION ADMINISTRATION

 

PART 745_SHARE INSURANCE AND APPENDIX--Table of Contents

 

  Subpart A_Clarification and Definition of Account Insurance Coverage

 

Sec. 745.10  Public unit accounts.



    (a) Public funds invested in Federal credit unions and federally-

insured state credit unions authorized to accept such investments shall 

be insured as follows:

    (1) Each official custodian of funds of the United States lawfully 

investing the same in a federally-insured credit union will be 

separately insured in the amount of:

    (i) Up to $100,000 in the aggregate for all share draft accounts; 

and

    (ii) Up to $100,000 in the aggregate for all share certificate and 

regular share accounts;

    (2) Each official custodian of funds of any state of the United 

States or any county, municipality, or political subdivision thereof 

lawfully investing the same in a federally-insured credit union in the 

same state will be separately insured in the amount of:

    (i) Up to $100,000 in the aggregate for all share draft accounts; 

and



[[Page 615]]



    (ii) Up to $100,000 in the aggregate for all share certificate and 

regular share accounts;

    (3) Each official custodian of funds of the District of Columbia 

lawfully investing the same in a federally-insured credit union in the 

District of Columbia will be separately insured in the amount of:

    (i) Up to $100,000 in the aggregate for all share draft accounts; 

and

    (ii) Up to $100,000 in the aggregate for all share certificate and 

regular share accounts;

    (4) Each official custodian of funds of the Commonwealth of Puerto 

Rico, the Panama Canal Zone, or any territory or possession of the 

United States, or any county, municipality, or political subdivision 

thereof lawfully investing the same in a federally-insured credit union 

in Puerto Rico, the Panama Canal Zone, or any such territory or 

possession, respectively, will be separately insured in the amount of:

    (i) Up to $100,000 in the aggregate for all share draft accounts; 

and

    (ii) Up to $100,000 in the aggregate for all share certificate and 

regular share accounts;

    (5) Each official custodian of tribal funds of any Indian tribe (as 

defined in section 3(c) of the Indian Financing Act of 1974) or agency 

thereof lawfully investing the same in a federally-insured credit union 

will be separately insured in the amount of:

    (i) Up to $100,000 in the aggregate for all share draft accounts; 

and

    (ii) Up to $100,000 in the aggregate for all share certificate and 

regular share accounts;

    (b) Each official custodian referred to in paragraphs (a)(2), (3), 

and (4) of this section lawfully investing such funds in share accounts 

in a federally-insured credit union outside of their respective 

jurisdictions shall be separately insured up to $100,000 in the 

aggregate for all such accounts regardless of whether they are share 

draft, share certificate or regular share accounts.

    (c) For purposes of this section, if the same person is an official 

custodian of more than one public unit, he shall be separately insured 

with respect to the public funds held by him for each such unit, but he 

shall not be separately insured with respect to all public funds of the 

same public unit by virtue of holding different offices in such unit or 

by holding such funds for different purposes. Where an officer, agent or 

employee of a public unit has custody of certain funds which by law or 

under a bond indenture are required to be set aside to discharge a debt 

owed to the holders of notes or bonds issued by the public unit, any 

investment of such funds in an account in a federally-insured credit 

union will be deemed to be a share account established by a trustee of 

trust funds of which the noteholders or bondholders are pro rata 

beneficiaries, and the beneficial interest of each noteholder or 

bondholder in the share account will be separately insured up to 

$100,000.

    (d) For purposes of this section, ``lawfully investing'' means 

pursuant to the statutory or regulatory authority of the custodian or 

public unit.



[51 FR 37560, Oct. 23, 1986, as amended at 65 FR 34925, June 1, 2000]