Who may participate in the Municipal Investment Pool?
As defined by K.S.A. 12-1675(a)"The governing body of any county, city, township, school district, area vocational-technical school, community college, firemen's relief association, community mental health center, community facility for the mentally retarded or any other governmental entity, unit or subdivision in the state of Kansas having authority to receive, hold and expend public moneys or funds may invest any moneys which are not immediately required for the purposes for which the moneys were collected or received, and the investment of which is not subject to or regulated by any other statute."
How do I make deposits in the MIP?
Per K.S.A. 12-1675, funds must first be offered for deposit to all eligible banks, savings and loan associations and savings banks which have main or branch offices in the investing community. If a financial institution will not pay the minimum investment rate as defined by K.S.A. 12-1675a, then the municipality may use the MIP.Deposits in the MIP are made via the KMIP Online Processing System. Deposits must be received by 10:00am to be processed that day.
Is there a minimum balance requirement?
The MIP has a $25,000 minimum deposit requirement for Fixed-Rate Investment options. The Overnight Investment Option has no minimum balance requirement.
How can I withdraw funds from the MIP?
Withdrawals from the MIP are made via the KMIP Online Processing System. Withdrawals must be received by 10:00am to be processed that day. Withdrawals of $1,000,000 or more require notification by 3:00pm the prior business day.
Are there any fees for using the MIP?
Investments in the MIP are subject to an administrative fee not to exceed a maximum of 25 basis points (.25%). This fee is set by State statute K.S.A. 75-4234. The interest rates offered to MIP participants are shown net of fees. No other costs or fees are assessed by the PMIB.
When is interest credited to my account?
For the Overnight Investment Option, interest earnings accrue on a daily basis and are posted monthly. Accrued interest is available prior to posting. Interest is calculated based on the actual number of days in the month on a 365-day year. For the Fixed-Rate Options, interest earnings are based on simple interest, paid at maturity, based on the actual number of days to maturity.
Additional questions?
Please contact the MIP Administrator at 785-296-1013.