1. Has made written application to the State Treasurer for a deposit of State moneys, designating the amount of deposit solicited, and accompanying its application by a written statement showing the amount of its capital actually paid in, the amount of its surplus, the number of its stockholders, and whether its stock is well distributed or largely held by a few individuals, and the length of time that said institution has been engaged in business under its charter. Each such statement shall be verified by the oath or affirmation of the president, cashier, or trust officer, as the case may be, and the State Treasurer shall present the same to the board for its consideration within thirty days after the receipt thereof.

2. Shall, upon the receipt of notice of its selection as a depository of State moneys, furnish a bond to secure payment of deposits and interests to the Commonwealth of Pennsylvania, with a proper warrant of attorney to confess judgment in favor of the Commonwealth, secured by a surety company or individual sureties to be approved by the board, in the amount of the deposit to be made. If a corporate bond be given, no one surety company shall be approved in an aggregate amount in excess of five times its capital surplus, and reserve, and, whenever individual sureties are presented for approval, they shall qualify in an aggregate over and above their individual liabilities to three times the amount of the deposit. No one person may qualify for more than one-fourth of the total amount of the bond required: Provided, That when any deposit of State moneys is insured with the Federal Deposit Insurance Commissioner or any other corporation hereafter organized by the United States for the purpose of insuring deposits, such depository shall not be required to furnish bond or security to cover the amount of such deposit so insured: And provided further, That, in lieu of the surety bonds of surety companies or of individuals as aforesaid, the deposit of State moneys may be secured by the deposit with the State Treasurer, with the Federal Reserve Bank of Philadelphia or Pittsburgh, or with any bank or bank and trust company organized under the laws of this Commonwealth or any national association located in this Commonwealth which shall be approved by the State Treasurer, subject to such regulations as may be prescribed by the Board of Finance and Revenue or the State Treasurer, or both, as the case may be, of bonds or notes of the United States, or bonds or notes which the United States fully guarantees both as to principal and interest, bonds of the Delaware River Joint Commissions, bonds of the Pennsylvania Turnpike Commission, bonds of the State Public School Building Authority, bonds of The General State Authority, bonds of the State Highway and Bridge Authority, bonds of the Pennsylvania Housing Agency, bonds or tax anticipation notes of this Commonwealth, or of any municipal subdivision, institution district, or school district or county thereof, to be approved by the board, in an amount measured by their actual market value equal to the amount of deposit so secured and two per centum in addition thereto. Said bonds and any additions to and substitutions and exchanges therefor shall be subject to proper assignment, or right to sell, or power of attorney to transfer the same, and said trust deposit of securities shall be maintained, on request, at the amount aforesaid, in case of any depreciation in the value thereof: Provided, That no bonds, or other security, shall be required of State depositories for State deposits to the extent, that such State deposits are insured under the provisions of Section 12B of the Federal Reserve Act, approved the twenty-third day of December, one thousand nine hundred and thirteen, its amendments and supplements.¹

3. Shall agree to pay interest upon all State deposits, at the rate to be fixed every six months by the Board of Finance and Revenue, having due regard to the then prevailing money market: Provided, That such agreement is not in conflict with law or any regulation of the Comptroller of the Currency, or of the Federal Reserve Board of the United States. The said board may fix different rates of interest for active and inactive depositories, not in conflict with law or any regulation of the Comptroller of the Currency, or of the Federal Reserve Board of the United States, and may adopt and promulgate rules governing the time when interest shall begin to run on deposits of uncollected items. The board shall fix the specific day on which any change in interest rate shall become effective, and shall notify, in writing, every depository of such change and the effective date thereof. Pending action by the board the interest rates heretofore fixed by law shall remain in force. All collections shall be made for the Commonwealth without cost or compensation.