§ 50261 District Bond Security Eligibility

• •Bonds from this district can be used as security by banks in the state.
• •These bonds work the same way as bonds from any other city or town.
• •Banks can use these bonds to protect money deposits from the state or local governments.

A local bank wants to keep the city's money safe.

The bank can use the district's bonds as a guarantee to protect the city's deposited money, just like they would with bonds from another town.