SECTIONS 16600-16609

16600.  (a) As used in this chapter, the following definitions shallapply: (1) "Eligible savings and loan association" means a state orfederal savings association, as defined in Section 5102 of theFinancial Code, located in this state, insured by the Federal Savingsand Loan Insurance Corporation, and selected by the Treasurer forthe safekeeping of money belonging to or in the custody of the state.An "eligible savings and loan association" must have received anoverall rating of not less than "satisfactory" in its most recentevaluation by the appropriate federal financial supervisory agency ofthe association's record of meeting the credit needs of the state'scommunities, including low- and moderate-income neighborhoods,pursuant to Section 2906 of Title 12 of the United States Code. (2) "Eligible credit union" means a state or federal credit unionlocated in this state, insured by the National Credit UnionAdministration, and selected by the Treasurer for the safekeeping ofmoney belonging to or in the custody of the state. (b) An eligible savings and loan association or credit union iseligible to receive deposits only to the extent it furnishes thesecurity required by this chapter.16601.  Notwithstanding Section 16502, all other money in the StateTreasury or under the control of the Treasurer belonging to or in thecustody of the state, shall, so far as possible, be deposited by theTreasurer to the credit of the state in eligible banks as defined inSection 16500, eligible savings and loan associations, and eligiblecredit unions. Any sum in the State Treasury so deposited is deemedto be in the State Treasury. Any other amount so deposited is deemedto be held in trust by the Treasurer.16602.  Subject to the limitations of Article 4.5 (commencing withSection 16480) of Chapter 3, the Treasurer shall determine whatamounts of money shall be deposited as deposits in savings and loanassociations, and credit unions, and the rates of interest to bereceived.16603.  Subject to the applicable contract, the Treasurer may callin money from deposits in savings and loan associations and creditunions and place it in demand deposits in banks when necessary tomeet current requirements.16604.  Deposits in any savings and loan association or credit unionshall not exceed the total of its net worth.16605.  Notwithstanding Section 16506, all money belonging to or inthe custody of the state under the control of any state officer oremployee, other than the Treasurer, except petty cash fundsauthorized by the Department of Finance, shall be deposited in stateor national banks in this state, state and federal savingsassociations in this state, as defined in Section 5102 of theFinancial Code, and credit unions in this state, and under conditionsas the Director of Finance prescribes. Savings and loan associationsor credit unions receiving deposits shall be required to depositwith the Treasurer the same security as is required by this chapterfor deposits made by the Treasurer. Savings and loan associations or credit unions receiving depositsof money from a county advanced or apportioned to it pursuant toSection 4481 of the Food and Agricultural Code shall be required tosecure deposits in accordance with Article 2 (commencing with Section53630) of Chapter 4 of Part 1 of Division 2 of Title 5.16606.  A state officer is not liable on his or her official bondfor losses caused by the failure of a savings and loan association orcredit union in which a deposit is made of money belonging to aninmate of a state institution, if the officer was required orpermitted by law to act as a trustee or fiduciary with respect to themoney and if he or she made the deposit in good faith and inaccordance with law.16607.  The Treasurer is not responsible for any money deposited ina savings and loan association or credit union pursuant to thischapter, and while it remains so deposited.16608.  The Treasurer is responsible for the safekeeping, managementand disbursement of the certificates of deposit received and thesecurities deposited with him, the interest received on deposits, andthe proceeds of any sale under this chapter. The state isresponsible for the custody and safe return of any securities sodeposited.16609.  Any state officer or employee who deposits any moneybelonging to or in the custody of the state in any manner other thanas prescribed in this chapter or Chapter 4 (commencing with Section16500) is subject to forfeiture of his office or employment.