b'Appendix A- Repurchase AgreementsAt a minimum, a repurchase agreement must comply with the following:1.Trading partners should be limited to creditworthy banks or trust companies located and authorized to do business in theState of South Carolina or to registered primary dealers.2.Unless the obligations that are purchased pursuant to the repurchase agreement are registered or inscribed in the name ofthe local government, obligations must be purchase through, delivered to and held in the custody of a bank or trustcompany located and authorized to do business in the State of South Carolina. The custodial bank or trust company maynot be the seller of the obligations that are the subject of the repurchase agreement.3.A Master Repurchase Agreement must be entered into, outlining the basic responsibilities and liabilities of the buyer andseller and a written agreement with the custodial bank or trust company, outlining the basic responsibilities and liabilities ofthe buyer, seller and custodian.4.The custodial agreement should provide that the custodian takes possession and maintains custody of the obligationsexclusively for the local government, that the obligations are free of any claims against the trading partner, and that anyclaims by the custodian are subordinate to the local governments claims or rights to those obligations.5.The obligations must be credited to Beaufort County, or the applicable agency, on the records of the custodial bank or trustcompany, and the transaction must be conrmed in writing to the local government by the custodial bank or trust company.6.Theobligationspurchasedmayonlybesoldorpresentedforredemptionofpaymentbythecustodianuponwritteninstructions of the Treasurer.7.A perfected security interest must be obtained in the obligation.8.Agreements may be for no more than 30 days.9.Agreements must specify whether to include margin requirements.10.No substitution of obligations is permitted.11.Payment for the purchased obligations should not be made by the custodial bank or trust company until the obligations areactually received, preferably done simultaneously.Beaufort County, SC | Budget Book 2024 Page 29'