No. 43646 (5-year Review): Rule R628-20. Foreign Deposits for Higher Education Institutions

DAR File No.: 43646
Filed: 04/12/2019 04:26:15 PM

NOTICE OF REVIEW AND STATEMENT OF CONTINUATION

Concise explanation of the particular statutory provisions under which the rule is enacted and how these provisions authorize or require the rule:

Subsection 51-7-11(1)(c) says that a public treasurer may make a deposit in accordance with Section 53B-7-601in a foreign depository as defined in Section 7-1-103. Section 53B-7-601 allows higher education institutions to deposit funds in a foreign depository for purposes of conducting academic research or clinical activities in that country. These deposits must meet the criteria set forth in the rules of the Money Management Council (Council).

Summary of written comments received during and since the last five-year review of the rule from interested persons supporting or opposing the rule:

No written comments either supporting or opposing this rule have been received since it was put in place.

Reasoned justification for continuation of the rule, including reasons why the agency disagrees with comments in opposition to the rule, if any:

Utah higher education institutions are opening campuses in other countries and have a need, either dictated by a grant or the country, to open bank accounts in those countries. This rule sets up guidelines to provide rating requirements for financial institutions in those countries, and also prohibits institutions that are subject to sanctions by regulatory bodies or are on a list of high risk jurisdictions. This rule also instructs the higher education institution to monitor the institution they are banking with and report semi-annually on their deposits with these institutions to the Council. Higher education has campuses in other countries so this rule needs to be continued. The Council reviewed the rule in their February meeting and agreed that it was current and needs to be continued.

The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:

Money Management Council
Administration
Room 180 UTAH STATE CAPITOL COMPLEX
350 N STATE ST
SALT LAKE CITY, UT 84114

Direct questions regarding this rule to:

• Ann Pedroza at the above address, by phone at 801-538-1883, by FAX at 801-538-1465, or by Internet E-mail at [e-mail]

Effective:

04/12/2019

Authorized by:

Douglas DeFries, Chair

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