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Show ALL PUBLIC FUNDS TODRAWINTEREST Salt - Lake, March 12 Tlio senato passed a bill this morning providing that all public funds shall bo placed at Interest, Before tho bill, Introduced by the Joint committee which has had tho matter under consideration, was placed upon ltB final passage, however It wqb amended In half a dozen places. As tho bill now stands all public funds whether Btate, city county or school district funds must bo placed at Interest at not less than 2 per cent by tho officer who is designated as tho custodian of tho money. The measuro further provides that the cost of any official bond required to be furnished by nny public treasurer shall be paid out of tho interest fund received on tho money so deposited. Tho bond of tho treasurer may bo given by a bank, a security company, or it may bo a personal bond. Tho bill further provides that when money Is deposited In a bank that tho bank must give a collateral security or n good and sufflccnt bond to protect tho fund. Under tho amended bill tho custodian of nny public fund may place It In a bank ho chooses. Ho Is not limited to nny amount and may place tho entire amount of the fund In ono bank so long as it Is protected by a bond of collateral security. Kelly for It. When the bill was Introduced at noon today as a special order of business, busi-ness, It met with opposition from all sides. Senator Kelly spoke In favor of such a bill and read from the He-publican He-publican platform a pledge to the People Peo-ple to enact such a law. He said that If the money now on hand In the stato treasury, was drawing Interest at 2 por cent It would bring the state $51,100 a year. This money ho said, was in tho banks and was being used by tho institutions. Ho declared that this money was drawing 8 per cent Interest In-terest for tho banks. He asserted that tho monay nt this rato of Interest would net tho banks $150,000 a year, or $GG0 a day. Senator Williams asked Senator Kelly it he thought the banks that were carrying tho state treasurer's bond would continue on the official's bond it this bill was passed. Senator Kelly said he belelved that Bomo amendments could bo made to cover that point, whereupon Senator Punk moved that any treasurers bond Do jaid tor out of tho Interest fund. This was carried and tho amendment was made. Then Senator Iverson moved an am ndment, which was carried placing tho Interest in tho general fund. Senator Forry believed that it would work a hardship on tho coun ties. He cited Salt Lako county as an instance. Ho said that the county only had a bnlanco in tho bank about threo montliB of tho year. Ho said that Salt Lako county had an over draft this month of $83,000, which tho banks were carrying without Interest. In-terest. Ho said that If intorcst was charged tho threo months that tho county had a balance that tho overdraft over-draft would undoubtedly bo charged to off set tho interest which would have to be paid. Ho amended tho bill to make it apply ap-ply simply to tho state treasurer. Tho amendment was lost however and tho bill was passed on its final pass-ago. pass-ago. Senator Cottrell was tho only ono who voted against it. |