Oops!
>From: Brian Craig <[EMAIL PROTECTED]>
>To: Lisa Bailey <[EMAIL PROTECTED]>
>Subject: RE: [CSMFO Members] Developer Deposits
>Date: Thu, 6 Jan 2000 10:27:52 -0800
>
>Lisa,
>
>Just so that you know, there was a portion of the last sentence of Section
>53079 that was left out of your email version. What was left out changed
>the entire meaning of the interest payment timeframe of the section. From
>the section the quote is "Interest shall be paid from the date the security
>is provided to the local public entity until the date that all, or any
>portion, of the balance of the security deposit is returned to the person
>who furnished the security".
>
>Brian Craig
>Senior Accountant
>City of Camarillo
>
> -----Original Message-----
> From: Lisa Bailey [SMTP:[EMAIL PROTECTED]]
> Sent: Wednesday, January 05, 2000 12:20 PM
> To: [EMAIL PROTECTED]
> Subject: [CSMFO Members] Developer Deposits
>
> Thanks to all that responded to my question about the City's
>liability to
> pay interest on "Non-66000" Developer Deposits. Let's hear it for
>Lisa
> Hildabrand @ Carlsbad who pointed me towards Government Code Section
>53079
> which states:
>
> "If a local public entity requires any person, on or after January
>1, 1986
> to furnish a security, in the form of cash or a cashier's check made
> payable to the local public entitey, to gauarantee the performance
>of any
> act or agreement related to a construction project, and if the local
>public
> entity invests that cash..., the local public entity shall pay
>interest on
> all, or any portion, of the amount of the balance of the security
>deposit
> which is returned to the person who furnished the security if the
>security
> is held by the local public entity for more than 30 days. The local
>public
> entity shall pay interest on that amount. The minimum interest rate
>paid
> shall be the average rate of return earned by the local public
>entity on
> its investments during the four full calendar quarters last
>preceding the
> return of the security deposit, less 1 full percentage point.
>Interest
> shall be paid from the date that all, or any portion, of the balance
>of the
> security deposit is returned to the person who furnished the
>security."
>
> Applause......
>
> Note that interest only need be paid on the portion returned, and
>only if
> the entity had it in an interest bearing account.
>
>
