(a) Scope.  All investments are:

• (1) made through, and with the approval of the State Treasurer; and
• (2) transacted to yield the highest return in the safest manner.

(b) Authority.  The Oklahoma Department of Human Services (OKDHS) is directed to engage in investing activity through legislation, federal regulations, or as may be instructed by a donation or bequest. 

• (1) A donation or bequest received by OKDHS is invested to achieve compliance with the benefactor's stipulations.
• (2) Section 203 of Title 62 of the Oklahoma Statutes establishes the Federal Disallowance Fund to pay potential federal disallowances and interest penalties.
• (3) Child Support Enforcement funds are required by federal regulations to be invested, with the federal government sharing in the interest earned.

(c) Investment objectives.  The objectives of the investment practices are:

• (1) safety of principal;
• (2) a reasonable rate of return as compared to current market conditions with consideration of the prudent investor rule; and
• (3) sufficient liquidity to meet specific fund objectives.

(d) Investment instruments.  Investment instruments authorized for purchase by OKDHS are:

• (1) obligations of the United States Government, commonly known as Treasury Bills and Treasury Notes;
• (2) collateralized or insured certificates of deposit at banks, savings banks, savings and loan associations, and credit unions located in Oklahoma;
• (3) overnight repurchase and reverse repurchase agreements; or
• (4) as instructed by a donation or bequest.