Resolution 2007-05 - Laserfiche WebLink

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Approved by Finance Committee-December 18, 2006 Le2al Investments All investments shall be made in accordance with Colorado Revised Statutes as follows: CRS 11-10.5- 101, et seq., Public Deposit Protection Act; CRS 24-75-601, et seq., Funds - Legal Investments for Gov- ernment Units; CRS 24-75-603, et seq., Depositories; CRS 24-75-701 and 702, et seq., Local Govern- ments - Local Government Pooling and that the investment or deposit meets the standard established in section CRS 15-1-304. Any revisions or extensions of these sections of the CRS will be assumed to be part of this Investment Policy immediately upon enactment. To the extent possible, the City shall attempt to match its investments with anticipated cash flow require- ments. Unless matched to a specific cash flow, the City will not directly invest in securities maturing more than five (5) years from the date of purchase or in accordance with state and local statutes and or- dinance. Pursuant to CRS Section 24-75-601.1 (1), as amended from time to time, and subject to the limitations set forth therein, the securities listed herein shall be eligible for investment of public funds by the City. In the event of a conflict between CRS Section 24-75-60 l.l (1) and this policy, CRS Section 24-75-601.1(1) shall control. Nothing herein shall preclude the City from adopting an ordinance to per- mit securities other than those listed in CRS Section 24-75-601.1 (1) for investment of public funds. . Any security issued by,fully guaranteed by, or for which the full credit of the United States Treas- ury is pledged for payment; allowing for inflation indexed securities. Investment must have a 5 years and less maturity requirement unless the City Council of the public entity authorizes invest- ment for a period in excess of five years. . Any security issued by,fully guaranteed by, or for which the full credit ofthe following is pledged for payment: The Federal Farm Credit Bank,A Federal Home Loan Bank, the Federal Home Loan Mortgage Corporation, The Federal National Mortgage Association, the Government National Mort- gage Association, The World Bank, or an entity or organization that is not listed in this paragraph but that is created by, or the creation of which is authorized by, legislation enacted by the United States Congress and that is subject to control by the federal government that is at least as extensive as that which governs an entity or organization listed in this paragraph. The period from the date of settlement of this type of security to its maturity date shall be no more than five years unless the City Council of the public entity authorizes an investment for a period in excess of five years. . Any security that is a general obligation of any state of the United States, the District of Columbia, or any territorial possession of the United States or of any political subdivision, institution, depart- ment, agency, instrumentality, or authority of any of such governmental entities. . Any interest in a local government investment pool pursuantto CRS 24-75-701, et seq. Cash in cer- tain restricted and special funds should be invested separately rather than in an investment pool for arbitrage rebate tracking purposes. . Any guaranteed investment contract (GIC) if at the time the contract or agreement is entered into, the long-term credit rating, financial obligations rating, claims paying ability rating, or financial strength rating of the party, or of the guarantor of the party,w ith whom the public entity enters the contract or agreement is, a t the time of issuance, rated in one of the two highest rating categories by two or more nationally recognized securities rating agencies that regularly issue such ratings. Con- tracts or agreements purchased under this paragraph shall not have a maturity period greater than three years. . Any corporate or bank security issued by a corporation or bank that is organized and operated within the United States with a maturity of less than three years and at the time of purchase must carry at least two credit ratings from any of the nationally recognized credit rating agencies and must not be rated below "AA- or AaJ" by any credit rating agency. 2