Delaware General Assembly


CHAPTER 284

AN ACT TO ALLOW PAYMENT OF INTEREST UPON LOCAL SCHOOL FUNDS ON DEPOSIT.

Be it enacted by the General Assembly of the State of Delaware:

Section 1. Chapter 19 of Title 14, Delaware Code, is hereby amended by adding thereto a new § 1924 which shall be as follows:

§ 1924. Payment of interest upon local school funds on deposit

(a) On the 30th day of June and the 31st day of December of each year hereafter, the State Treasurer shall credit to the account of each local school district which has funds on deposit with the State Treasurer in the Farmers Bank of the State of Delaware such amounts of interest as determined by this section upon such funds. This section shall be deemed an amendment to any prior legislation concerning the payment of interest on such funds inconsistent herewith.

() With regard to school operating and debt service funds, the State Treasurer shall credit the operating account of each district with interest at the same rate as that paid on State funds by the Farmers Bank on 80% of the average balances in operating and debt service accounts for six month periods ending in May and in November. The average balance shall be determined by averaging the balances of such funds as of that day of each month when the balances of all State funds deposited with the State Depository are determined.

(a) With regard to school construction funds, the State Treasurer shall credit the operating account of each local school district with interest at the same rate as that paid the State by the Farmers Bank on 90% of the average balance of that proportion of the construction accounts, contributed by the local district for six month periods ending in May and November. The average proportional amount contributed by the local school district shall be determined by averaging the balances of such proportional amounts as of that day of each month on which the balances of all State funds deposited with the State Depository are determined.

Approved July 15, 1969.