HomeMy WebLinkAboutCC Res 4163 1992-07-13
RESOLUTION NUMBER 416~
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEAL BEACH,
CALIFORNIA, ACKNOWLEDGING THE RECEIPT AND FILING OF THE ANNUAL
STATEMENT OF INVESTMENT POLICY FOR THE YEAR 1992/93
THE CITY COUNCIL OF THE CITY OF SEAL BEACH DOES HEREBY RESOLVE:
WHEREAS, the California State Legislature passed legislation
during the 1984 session requiring the filing of an I
annual Statement of Investment Policy by local pUblic
agencies; and
WHEREAS, the Governor of the State of California signed such
legislation into law effective January 1, 1985 (Chapter
1226); and
WHEREAS, the City Treasurer, in conjunction with the City Manager
of the city of Seal Beach, declares the annual Statement
of Investment Policy to be as follows:
PURPOSE: This statement is intended to provide a guideline for
the prudent investment of temporary idle cash, trust funds and
restricted monies and to outline a policy for maximizing the
efficiency of the cash management system. Ultimate investment goals
include the enhancement of economic status and the protection of
pooled cash investments.
OBJECTIVE: The cash management system of the city of Seal Beach
is designed to accurately monitor and forecast expenditures and
revenues, thus insuring the investment of monies to the fullest
extent possible. Attempts to obtain highest interest yields
possible are a statement of fact as long as investments meet the
criteria required for safety and liquidity.
POLICY: The City of Seal Beach operates its pooled idle cash I
investments under the Prudent Man Rule, which requires a standard
of care and diligence in investing city assets at least equal to
the standard used to invest City Treasurer's personal assets. This
affords a broad spectrum of investment opportunities so long as the
investment is deemed prudent and is permissible under currently
effective legislation of the State of California and other imposed
legal restrictions, and is approved by the City Manager or their
designee in conjunction with the City Treasurer. The City of Seal
Beach strives to maintain the level of investment of its idle funds
as near. to 100% as possible. Consistent with this precept,
investments are made under the terms and conditions of Sections
53600-53683 of the Government Code of California. Criteria for
selecting investments and the absolute order of priority are:
1. Safety
2. Liquidity
3. Yield
INVESTMENT POLICY: Security purchases and holdings made by
the City of Seal Beach shall be maintained within statutory limits
imposed by the Government Code. Current limits are:
PERMITTED INVESTMENTS/
DEPOSITS
PERCENTAGES
MAXIMUM
MATURITY
15%
30%
5 years
5 years
5 years
270 days
180 days
n/a
n/a
1 year
n/a
5 years
I.
Securities of the US Government
Certificates of Deposits
Negotiable Certificates of Deposit
Bankers Acceptances
Commercial Paper
Local Agency Investment Fund
Passbook deposits
Repurchase Agreements
Mutual Funds
Medium Term Notes
unlimited
Unlimited
30%
40%
30%
10MM
Resolution Number ~11P:3
REPORTING: The Treasurer shall submit a monthly investment
report to the Governing Body. This report will include elements of
the monthly report as prescribed by Government Code Section 53646.
Required elements of the monthly report:
a.
b.
c.
d.
I e.
f.
g.
h.
1.
NOW,
Seal
Type of Investment
Institution
Date of Maturity
Amount of deposit of cost of the security
Current market value of securities with maturity in excess of
12 months
Rate of interest
Statement relating the report to the Statement of Investment
Policy
Statement that there are sufficient funds to meet the next 30
days' obligations
Effective January 1, 1991, Accrued interest as prescribed by
the California Code section 53646.
THEREFORE, BE IT RESOLVED by the City Council of the City of
Beach, California, as follows:
That an annual statement of investment policy for the City of
Seal Beach has been filed by the city Treasurer for year
1992/93 in compliance with Section 53646(A) of the Government
Code of the State of California.
ED, APPROVED AND ADOPT
1 each, at a meeting
1992, by the f
Councilmember
Counci~ the City
he ~da of
of
NOES:
Councilmembers
II ABSENT: Councilmembers
_~~,~ ~.,,~-"L~
Mayor
ATTEST:
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STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF SEAL BEACH )
I
I, Joanne M. Yeo, City Clerk of Seal Beach, California, do hereby
certify that the f~gOlfg resolution is the original copy of
Resolution Number ~ on file in the office of the City
Clerk, passed, roved, and adopted by the City Council of the
c' of Seal B ac , at a regular meeting thereof held on the
day of , 1992.