Question & AnswerQ&A (Act No. 721)
The main purpose of Act No. 721 is to amend the Provincial Government Act, Numbered Eighty-Three, to provide for the deposit of surplus provincial funds in the Insular Treasury.
Act No. 721 amends paragraph (h) of section thirteen of Act Numbered Eighty-three.
The provincial treasurer is authorized to deposit provincial funds not needed in the near future for public use in a bank of deposit of approved standing in the Islands, with the condition that the board approves the terms of the deposit contract.
There must be a resolution spread upon the minutes of the board reciting and approving the exact terms of the contract of deposit in the bank.
The bank must certify the weekly balances to the provincial governor and to the Treasurer of the Islands.
The provincial treasurer must deposit surplus provincial funds with the Insular Treasurer whenever the Insular Treasury is designated as the depository for the provincial funds of the province by the Insular Treasurer.
All interest paid on such deposits shall inure to the benefit of the provincial treasury.
The Act takes effect upon its passage on April 4, 1903.
The passage of Act No. 721 was expedited in accordance with section two of 'An Act prescribing the order of procedure by the Commission in the enactment of laws,' passed September 26, 1900. This expedited the legislative process due to the public good requiring speedy enactment.
The provincial treasurer can only deposit provincial funds not needed in the near future for public use, ensuring that readily needed funds are available.