To enact section 135.146 of the Revised Code to authorize boards of township trustees to invest all or part of township interim funds in corporate bonds.

Section 1. That section 135.146 of the Revised Code be enacted to read as follows:

Sec. 135.146. (A) In addition to the investments authorized by section 135.14 of the Revised Code, a board of township trustees, by majority vote of its members, may authorize the township treasurer to invest any part or all of the interim moneys of the township, which are available for investment at any one time, in debt interests that have been registered with the United States securities and exchange commission, rated in one of the three highest rating classifications by at least two nationally recognized rating agencies, and issued by entities that are defined in division (D) of section 1705.01 of the Revised Code.

(B) No investment authorized under this section shall be made, whether or not authorized by a board of township trustees, unless the township treasurer has completed training for making the types of investments authorized under this section. The type and amount of the training shall be approved by the treasurer of state, and shall be provided by the treasurer of state under section 135.22 of the Revised Code.

(C) The township treasurer shall prepare annually and submit to the auditor of state, and to the treasurer of state, on or before the thirty-first day of August, a report listing each investment made under this section during the preceding fiscal year, income earned from the investments, fees and commissions paid pursuant to division (D) of this section, and any other information required by the auditor of state or the treasurer of state.

(D) A board of township trustees may make appropriations and expenditures for fees and commissions in connection with investments made under this section.

(E) Any investment made under this section shall mature within five years from the date of settlement.

(F) If any of the debt interests acquired under this section ceases to be rated as required, its issuer shall notify the township treasurer in writing of this fact within twenty-four hours. At any time thereafter the township treasurer may require collateralization, by securities authorized for investment under section 135.143 of the Revised Code, at the rate of one hundred two per cent of any remaining obligation of the issuer. The collateral shall be delivered to and held by a custodian acceptable to the township treasurer and marked to market daily. If the value of the collateral falls below the level required by this division, the insufficiency shall be cured within twelve hours. Unlimited substitution shall be allowed of comparable securities.