File #: 2024-4135   
Type: Regular Agenda Item
Body: City Council
On agenda: 7/2/2024
Title: Recommendation to Approve the City of Alameda Investment Policy and Provide Direction to Staff on Future Potential Changes, including Restrictions on Investment in Certain Industries, such as Oil, Gas and Defense. (Finance 10024051)
Attachments: 1. Exhibit 1: Investment Policy, 2. Presentation, 3. Correspondence
Title

Recommendation to Approve the City of Alameda Investment Policy and Provide Direction to Staff on Future Potential Changes, including Restrictions on Investment in Certain Industries, such as Oil, Gas and Defense. (Finance 10024051)

Body

To: Honorable Mayor and Members of the City Council

From: Jennifer Ott, City Manager

EXECUTIVE SUMMARY

Annually, the City Treasurer and the Finance Director review the City of Alameda's (City) Investment Policy (Policy) for changes and revisions that may be needed to comply with applicable sections of the California Government Code or any other changes to keep the Policy updated to current business practices. Tonight, the City Treasurer and City staff recommend updating the Policy to reflect some required legal changes outlined in greater detail below.

Additionally, consistent with direction provided by the City Council at its April 16, 2024 meeting in response to a Council Referral, the City Treasurer and City staff reviewed the Policy for potential amendments to Section III.E (Other Objectives) of the Policy, including the potential to restrict investments in additional categories in alignment with City values and the City Council's policies and strategic priorities. The current Policy adopted on September 5, 2023, already restricts investments in the coal, tobacco, gambling, and alcoholic beverage industries.

BACKGROUND

Section 5-2 of the Alameda City Charter requires the elected City Treasurer to annually recommend to the City Council, at a public meeting, an Investment Policy for the City Council's approval. The Policy was last reviewed and adopted by City Council on September 5, 2023. The elected City Treasurer and Finance Director reviewed and recommend proposed changes to the Policy.

The Policy provides for staff to submit quarterly Investment Transaction Reports to the City Council. Investment Transaction Reports include summaries of all transactions within the investment portfolio and a statemen...

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