Title
Recommendation to Approve the City of Alameda Investment Policy. (Finance 2410)
Body
To: Honorable Mayor and Members of the City Council
From: Kevin Kennedy, City Treasurer
Re: Approve the City of Alameda Investment Policy
BACKGROUND
Section 5-2 of the Alameda City Charter requires the City Treasurer to annually recommend to the City Council, at a public meeting, an Investment Policy for the Council's approval. Staff is proposing an update to the Policy to conform to recent changes to the California Government Code which regulates the instruments in which a local agency may invest. The Investment Advisory Committee (the City Treasurer, Finance Director, as representative of the City Manager's representative, and the Finance Supervisor) has reviewed and recommends these proposed changes to the City's Investment Policy.
DISCUSSION
The City's Investment Policy affirms the fiduciary responsibility to safeguard public assets and identify opportunities for a systematic investment process. Priority is placed first on securing safety of principal and the liquidity needed for payroll and other City obligations, then on yield of the investment.
The City's Investment Policy is reviewed annually by the City Treasurer and Finance Director and is attached to this report (Exhibit 1). The policy has been developed in accordance with standards and policies established by the California Debt and Investment Advisory Commission (CDIAC) and the Association of Public Treasurers of the United States and Canada (APTUSC), and has been certified by the APTUSC. Investment reports are provided after each quarter end and include the market value of securities and a statement confirming that current liquidity is adequate to meet expenditures for the next six months, as required by the California Government Code.
While no changes to the City's Investment Policy are required at this time, staff is proposing the following additions to the Policy which i...
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