Are there specific rules governing funds received by a library through a municipality?
Yes. All funds paid over to a public library from a municipality need to follow the guidelines defined in General Municipal Law (GML), section 10. Under General Municipal Law and subsequent court rulings, all funds must be deposited/ secured in the following limited number of financial vehicles: • Time deposit accounts or certificates of deposit in commercial banks and trust companies located and authorized to do business in NYS; • Obligations made by the United States of America or guaranteed by the United States of America, and obligations of the State of New York; • Under very limited circumstances, obligations of municipalities and other municipal corporations.
