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reasonable time after the public entity deposits the deposit of public funds with the depository. <br />Added by Acts 1993, 73rd Leg, ch. 268, § 1, eff. Sept. 1, 1993. Amended by Acts 1997, 75th Leg., <br />ch. 891, § 3.19, eff. Sept. 1, 1997. <br />§ 2257.064. Reinstatement The comptroller may reinstate a depository's designation as a state <br />depository if: <br />(1) the comptroller determines that the depository has remedied all violations of this chapter; and <br />(2) the depository assures the comptroller to the comptroller's satisfaction that the depository will <br />maintain reasonable compliance with this chapter. <br />Added by Acts 1993, 73rd Leg, ch. 268, § 1, eff. Sept. 1, 1993. Amended by Acts 1997, 75th Leg., <br />ch. 891, § 3.19, eff. Sept. 1, 1997. <br />SUBCHAPTER E. EXEMPT INSTITUTIONS <br />§ 2257.081. Definition In this subchapter, "exempt institution" means: <br />(1) a public retirement system, as defined by Section 802.001; or <br />(2) the permanent school fund, as described by Section 43.001, Education Code. <br />Added by Acts 1993, 73rd Leg, ch. 268, § 1, eff. Sept. 1, 1993. Amended by Acts 1997, 75th Leg., <br />ch.165, § 6.31, eff. Sept. 1, 1997. <br />§ 2257.082. Funds of Exempt Institution An exempt institution is not required to have its funds fully <br />insured or collateralized at all times if: <br />(1) the funds are held by: <br />(A) a custodian of the institution's assets under a trust agreement; or <br />(B) a person in connection with a transaction related to an investment; and <br />(2) the governing body of the institution, in exercising its fiduciary responsibility, determines that the <br />institution is adequately protected by using a trust agreement, special deposit, surety bond, <br />substantial deposit insurance, or other method an exempt institution commonly uses to protect itself <br />from liability. <br />Added by Acts 1993, 73rd Leg, ch. 268, § 1, eff. Sept. 1, 1993. <br />§ 2257.083. Investment; Selection of Depository This chapter does not: <br />(1) prohibit an exempt institution from prudently investing in a certificate of deposit; or <br />(2) restrict the selection of a depository by the governing body of an exempt institution in accordance <br />with its fiduciary duty. <br />Added by Acts 1993, 73rd Leg, ch. 268, § 1, eff. Sept. 1, 1993. <br />City of San Marcos Investment Policy Page 39 <br />