Bills › 91st General Assembly
Relating to the investment of public funds, and making penalties applicable
Where it is now
- Done: IntroducedJanuary 27, 2026
- Done: SubcommitteeJanuary 27, 2026
- Done: Senate committeeFebruary 11, 2026
- Skipped: Passes the SenateContinued as SF 2286
- Next: House committee
- Next: Passes the House
- Next: To the Governor
- Next: Signed into law
Became SF 2286 → Its progress continues under the new number. Go to SF 2286 What’s a funnel?
What’s in it
AI summary Local governments would gain more options for where to invest their money, including using certain credit unions and joint investment trusts. Before moving funds into a joint trust, the local governing body must sign a written agreement about the safety of the money. If these rules are not followed, officials and the organizations involved could face legal penalties or fines.1
Read the official explanation
This bill relates to the investment of public funds. The bill allows the uninsured portion of any public funds invested through a depository to be invested in insured deposits or certificates of deposit that are placed in or issued by a credit union.10(5). A joint investment trust shall not pay an individual, association, or entity that does not provide direct investment management, administrative, custodial, or other bona fide operational services to the trust. Before depositing or investing public funds with a joint investment trust, the governing body of the political subdivision must execute a written acknowledgment relating to the insurance and safety of the funds. A violation of these provisions is a breach of fiduciary duty and may subject the trust, the public entity, and the public entity’s officers and elected officials to criminal and civil remedies, including administrative remedies, and may result in a variety of criminal penalties for a fraudulent practice (Code chapter 714), a simple misdemeanor for official delinquency, and liability for any fine imposed and any damages sustained by a person. A simple misdemeanor is punishable by confinement for no more than days and a fine of at least $105 but not more than $855. _____ a credit union receiving public funds may deposit securities and allows a credit union which receives public funds to pledge securities owned by the credit union by depositing the securities with a securities broker-dealer registered as a member of the financial industry regulatory authority pursuant to a bailment agreement or a pledge custody agreement. Such a securities broker-dealer must report a description, the par value, and the market value of any pledged collateral by a credit union at least monthly and upon written request of an appropriate public officer.
Changed since by amendment S-5164; see Amendments.
Senate subcommittee
Named January 27, 2026. On February 3, 2026 it recommended passage.
Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part
Fiscal note
AI summary This bill changes how political subdivisions, such as cities, counties, and school districts, invest their public funds and regulates the use of joint investment trusts. Because the bill may change investment returns, fees, and administrative costs for these local governments, the fiscal impact cannot be determined, but it may be significant.3
From the note: Senate File 2286 may impact how political subdivisions invest public funds, which may impact investment returns, fees, and administrative costs paid by political subdivisions. Any potential fiscal impact cannot be determined, but may be significant.
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91st General Assembly