229.13(b) Commentary- states When large dep. exception is applied and dep. is composed of mixed checks(local and non-local) the dep. bank has the discretion to choose the portion of the dep. to which it applies the exception. Can someone tell me if we placed this hold correctly? Local check $64,000 and non local check $97,000. first $100 available next day, $4900 available on 5th day and remainder available on 7th day.

There is nothing incorrect with how held, but you did not maximize your protection. You could have done the following:
$100 (from local) - next day
$4,900 (from non-local) - 5th business day
$$63,900 (from local, under large deposit exception) - 7th business day
$92,100 (from non-local, under large deposit exception) - 11th business day

Or you could have done this:
$100 (from local) - next day
$4,900 (from local) - 2nd business day
$59,000(from local, under large deposit exception) - 7th business day
$97,000(from non-local, under large deposit exception) - 11th business day

Scenario one gives you longer protection on the first $5,000. Scenario two gives you more of the deposit held for the longest possible time. Either scenario gives you 4 additional business days protection on at least $92,000 over your scenario.

Jim,

Thanks.