38 Miss. Code. R. 1-3.8 - Withdraw from Collateral Pool Participation

A. Voluntary Withdrawal

1. Voluntary Withdrawal Generally. A qualified public depository may withdraw from participation in the collateral pool by giving written notice to the State Treasurer, and to all public depositors having deposits at the qualified public depository. The notice shall provide an effective date of withdrawal which shall not be less than one hundred eight (180) calendar days after the date the notice is received by the Treasurer.

2. Contingent Liability of Withdrawing Qualified Public Depository. A qualified public depository shall be contingently liable for any loss to the pool as provided in the contingent liability agreement for a period of six (6) months following the effective date of withdrawal. To assure that an institution can meet its contingent liability, an institution shall continue to maintain pledged collateral in an amount of 105% of the outstanding balances of public funds held less the amount of funds insured by the Federal Deposit Insurance Corporation.

B. Mandatory Withdrawal from Collateral Pool

1. Mandatory Withdrawal Generally. A qualified public depository shall be required to withdraw upon failure to meet the conditions of membership. In order for a depository to be readmitted to the pool, it must continue to submit the reports required in Section 1.06 of the Public Funds Guaranty Pool Rules and meet the conditions of the membership. If a depository is required to withdraw from the pool more than once, the depository must meet the conditions of membership for two consecutive quarters in order to be readmitted to the pool.

2. Contingent Liability of Withdrawing Qualified Public Depository. A qualified public depository shall be contingently liable for any loss to the pool as provided in the contingent liability agreement for a period of twelve (12) months following the effective date of withdrawal. To assure that an institution can meet its contingent liability, an institution shall continue to maintain pledged collateral in an amount of 105% of the outstanding balances of public funds held less the amount of funds insured by the Federal Deposit Insurance Corporation.

Notes

38 Miss. Code. R. 1-3.8

Miss. Code Ann. § 27-105-6 (Rev. 2000), § 31-19-5 (Rev. 2007).