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§ 20-303. Management and investment of Fund moneys

West's Annotated Code of MarylandInsuranceEffective: July 1, 2019

West's Annotated Code of Maryland
Insurance (Refs & Annos)
Title 20. Maryland Automobile Insurance Fund (Refs & Annos)
Subtitle 3. Purpose and General Provisions of Fund (Refs & Annos)
Effective: July 1, 2019
MD Code, Insurance, § 20-303
§ 20-303. Management and investment of Fund moneys
Currentness
Financial management committee of Fund
(a)(1) A financial management committee of the Fund shall manage and invest all money collected by or for the Fund through premiums, earnings from investments, or from other sources.
(2) The financial management committee consists of the Executive Director and two members of the Board of Trustees who have financial management expertise, chosen by the Board of Trustees.
Excess amount of moneys in Fund
(b)(1) Whenever the amount of money in the Fund exceeds the amount that the Executive Director believes is likely to be required immediately, the financial management committee may manage the excess as it considers appropriate and invest the excess in investments legal for casualty insurers under §§ 5-601 through 5-609 of this article.
(2) If use of the excess becomes necessary or expedient, the financial management committee may collect, sell, or otherwise realize on the investment and any accrued interest.
Use of minority business enterprises to provide brokerage and investment management services
(c)(1)(i) Consistent with minority business purchasing standards applicable to units of State government under the State Finance and Procurement Article and consistent with the fiduciary duties of the financial management committee, the financial management committee shall attempt to use to the greatest extent feasible minority business enterprises to provide brokerage and investment management services to the committee.
(ii) For purposes of this subsection, brokerage and investment management services shall include services relating to all allocated asset classes.
(2)(i) To assist it in achieving the goal described under paragraph (1) of this subsection, the financial management committee shall undertake measures to remove any barriers that limit full participation by minority business enterprises in brokerage and investment management services opportunities afforded by the Fund.
(ii) The measures undertaken by the financial management committee shall include the use of a wide variety of media, including the Fund's website, to provide notice to a broad and varied range of potential providers about the brokerage and investment management services opportunities afforded by the Fund.
(3) In conjunction with the Governor's Office of Small, Minority, and Women Business Affairs, the financial management committee shall develop guidelines to assist the committee in identifying and evaluating qualified minority business enterprises in order to help the Fund achieve the objective for greater use of minority business enterprises for brokerage and investment management services.
(4) On or before September 1 each year, the financial management committee shall submit a report to the Governor's Office of Small, Minority, and Women Business Affairs and, subject to § 2-1257 of the State Government Article, the General Assembly on:
(i) the identity of the minority business enterprise brokerage and investment management services firms used by the financial management committee in the immediately preceding fiscal year;
(ii) the percentage and dollar value of the Fund assets that are under the investment control of minority business enterprise brokerage and investment management services firms in each allocated asset class; and
(iii) the measures the financial management committee undertook in the immediately preceding fiscal year in accordance with paragraph (2)(ii) of this subsection.

Credits

Added by Acts 1996, c. 11, § 1, eff. Oct. 1, 1997. Amended by Acts 2008, c. 600, § 1, eff. Oct. 1, 2008; Acts 2008, c. 601, § 1, eff. Oct. 1, 2008; Acts 2012, c. 488, § 1, eff. Oct. 1, 2012; Acts 2012, c. 489, § 1, eff. Oct. 1, 2012; Acts 2013, c. 73, § 1, eff. Oct. 1, 2013; Acts 2013, c. 74, § 1, eff. Oct. 1, 2013; Acts 2017, c. 633, § 1, eff. June 1, 2017; Acts 2017, c. 634, § 1, eff. June 1, 2017; Acts 2019, c. 8, § 5.
Formerly Art. 48A, §§ 243A, 243E.
MD Code, Insurance, § 20-303, MD INSURANCE § 20-303
Current with legislation effective through July 1, 2023, from the 2023 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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