Money Management
Short-Term Borrowing

The Board of Education from time to time may have to borrow money to meet cash-flow requirements. If after a cash-flow analysis has been prepared, the school district determines that it must borrow money on a short-term basis, the treasurer may evaluate the issuance of tax and revenue anticipation notes or the treasurer may solicit bids from major banks in the City of St. Louis.

Any recommendation of tax and revenue anticipation notes shall be presented to the board.

If the treasurer solicits bids, the bid notice shall include when the money will be needed, the amount required for each specific fund, and when the money will be repaid. Each bank shall indicate the minimum interest rate to be paid by the Board of Education for each specific borrowing requirement.

After the bids are submitted, the treasurer shall analyze them and recommend to the board the most beneficial one.


The Board of Education’s investment program shall have four basic ingredients: legality, safety, liquidity, and yield. The treasurer shall be responsible for the district’s investments. To ensure maximum investment, the treasurer shall project the cash needs of the general operating funds and invest all excess cash balances in any timely, authorized money market that is in compliance with state law.

Interest earned on investments shall be credited to the funds from which the money was invested.

All excess balances in the checking accounts maintained by the board shall be invested. These investments shall be in any authorized money instrument that is in compliance with state law. These investments shall be made on a daily basis depending on the existing cash balance available for investment.


The board, after soliciting bids, shall at least once every five (5) years select a banking institution(s) as its depository and shall enter into a written contract with the banking institution(s) before the start of the fiscal year which shall be the first year of the term of said contract.

The president of the board shall notify the treasurer of Missouri and the Collector of Revenue of St. Louis, at the commencement of the term, of the depository to which they are to make all payments of money apportioned, belonging to, or distributed to the board.

Each depository chosen by the board shall give the board written assurance that it does not discriminate on the basis of national origin, sex, age, or disability in any of its employment practices.


cf: Board Bylaw B9210

Legal: Sections 165.131, 165.051, 165.301 RSMo.

Regulation approved: February 9, 1999

Revised: October 12, 2004


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