SECTIONS 40260-40261 - California Statutes

PUBLIC UTILITIES CODE

SECTION 40260-40261

40260. All bonds including refunding bonds issued by a district are
legal investments for all trust funds and for the funds of all
insurance companies, banks, both commercial and savings, and trust
companies, and for the State School Fund and for all sinking funds
under the control of the State Treasurer. Whenever any money or funds
may by law be invested in or loaned upon the security of bonds of
cities, cities and counties, counties, or school districts, in the
state, such money or funds may be invested in or loaned upon the
security of the bonds of the district; and whenever bonds of cities,
cities and counties, counties, or school districts by law may be used
as security for the faithful performance or execution of any court
or private trust or of any other act, bonds of the district may be so
used.

40261. All bonds of the district, to the same extent as bonds of
any other municipality, are legal for use by any state or national
bank or banks in the state as security for the deposit of funds of
the state or of any county, city and county, city, municipality or
other public or municipal corporation within the state.