A. Notwithstanding any provision of law to the contrary, the Commonwealth, all public officers, municipal corporations, other political subdivisions and all other public bodies of the Commonwealth may invest any and all moneys belonging to them or within their control, other than sinking funds, in high quality corporate notes with maturities of no more than five years that have received at least two of the following ratings: (i) at least Aa by Moody's Investors Service, Inc.; (ii) at least AA by Standard and Poor's; or (iii) at least AA by Fitch Ratings, Inc.
B. Notwithstanding any provision of law to the contrary, any qualified public entity of the Commonwealth may invest any and all moneys belonging to it or within its control, other than sinking funds, in high quality corporate notes that have received at least two of the following ratings: (i) at least A by Moody's Investors Service, Inc.; (ii) at least A by Standard and Poor's; or (iii) at least A by Fitch Ratings, Inc.
As used in this section, "qualified public entity" means any state agency or institution of the Commonwealth, having an internal or external public funds manager with professional investment management capabilities.
C. Notwithstanding any provision of law to the contrary, the Department of the Treasury may invest any and all moneys belonging to it or within its control, other than sinking funds, in high quality corporate notes with a rating of at least BBB or Baa2 by two rating agencies. One of the two qualifying ratings shall be (i) at least Baa2 by Moody's Investors Service, Inc.; (ii) at least BBB by Standard and Poor's; or (iii) at least BBB by Fitch Ratings, Inc. With regard to investment securities rated below A, the Commonwealth Treasury Board shall establish strict investment guidelines concerning the investment in such securities and monitor the performance of the securities for compliance with the investment guidelines.
1987, c. 187, § 2.1-328.10; 1988, c. 834; 1994, c. 145; 2001, c. 844; 2002, cc. 18, 438; 2005, c. 30; 2020, c. 333.
Structure Code of Virginia
Title 2.2 - Administration of Government
Chapter 45 - Investment of Public Funds Act
§ 2.2-4500. Legal investments for public sinking funds
§ 2.2-4501. Legal investments for other public funds
§ 2.2-4503. Investments by Fairfax County finance director
§ 2.2-4506. Securities lending
§ 2.2-4507. Investment of funds in overnight, term and open repurchase agreements
§ 2.2-4508. Investment of certain public moneys in certain mutual funds
§ 2.2-4510. Investment of funds in corporate notes
§ 2.2-4511. Investment of funds in asset-backed securities
§ 2.2-4512. Investment of funds by State Treasurer in obligations of foreign sovereign governments
§ 2.2-4513. Investments by transportation commissions
§ 2.2-4513.1. Investment of funds in qualified investment pools
§ 2.2-4515. Collateral and safekeeping arrangements
§ 2.2-4516. Liability of treasurers or public depositors
§ 2.2-4517. Contracts on interest rates, currency, cash flow or on other basis