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HomeMy WebLinkAbout2001-05-08 - AGENDA REPORTS - INVESTMENT POLICY (2)CITY OF SANTA CLARITA AGENDA REPORT City Manager Approi Item to be presented CONSENT CALENDAR DATE: May 8, 2001 Barbara Boswell SUBJECT: CITY OF SANTA CLARITA'S FISCAL YEAR 2001-02 STATEMENT OF INVESTMENT POLICY DEPARTMENT: Administrative Services RECOMMENDED ACTION Adopt the City of Santa Clarita's Fiscal Year 2001-02 Statement of Investment Policy. Per California Government Code Section 53646, the City Treasurer is required to annually present the City's Investment Policy to the City Council to reaffirm or to make any changes to the existing policy. The Investment Policy provides guidelines for the management of the City's cash and the investment of its idle funds. The Policy affords the City various investment opportunities, as long as the investment is deemed prudent under the Prudent Person Rule (Civil Code Section 2261, et seq.) and is allowable under the current legislation of the State of California (Government Code Section 53600, et seq.). The Policy's guidelines emphasize the importance of safety and liquidity first. The yield on the City's investment portfolio is secondary to these first two objectives. Minor revisions to the current Investment Policy have been recommended by staff, based on comments received from the Municipal Treasurer's Association. These changes include specifically listing the City Manager, Assistant City Manager, and Treasurer by name and citing some of the questions included on the Investment Pool questionnaire, Appendix "D." Language was added in the "Authorized Investment" section, which states percentage, dollar limit, and maximum maturities for each allowable investment vehicle, in addition to the descriptions already listed. Finally, a one-page, easy -to -read appendix was added, which summarizes all allowable investments, their percentage or dollar limit, and their maximum maturity. ED Agenda Item :_1 CITY OF SANTA CLARITA'S FISCAL YEAR 2001-02 STATEMENT OF INVESTMENT POLICY May 8, 2001- Page 2 ALTERNATIVE ACTION Other actions as determined by the City Council. FISCAL IMPACT None by this action. ATTACHMENT The City of Santa Clarita's Fiscal Year 2001-02 Statement of Investment Policy (Available in City Clerk's reading file.) BB:JM:hds w"dl\Mende01A2