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HomeMy WebLinkAbout4.07 Local Agency Investment Fund CITY CLERK File # D~~[QJ-[3]~ AGENDA STATEMENT CITY COUNCIL MEETING DATE: March 6, 2007 SUBJECT: Adoption of Resolution Authorizing The Investment of Monies In The State of California Local Agency Investment Fund (LAIF) Report Prepared by Paul S. Rankin, Administrative Services Director ~t ATTACHMENTS: 1) Resolution. ,..-/ .-x /-V..t RECOMMENDATION: ~ \ Staff recommends that the City Council approve the Resolution. FINANCIAL STATEMENt: There City has used the Local Agency Investment Fund since its inception and there is no change in the terms of the account. DESCRIPTION: The City was recently updating its records with the State of California based on changes in Finance Staff. The State Treasurers Office advised that they have altered their method of recording authorized personnel eligible to address changes to the City LAIF account. It was requested that the City formally adopt a Resolution identifying the use of the Local Agency Investment Fund (LAIF) and designated positions to order changes in the account. The State Treasurer operates the Local Agency Investment Fund (LAIF), which is an investment account open to local government agencies. An agency is allowed to invest up to $40 million and may have up to 15 transactions in the account per month. This includes both deposits and withdrawals. The advantage is that the pooled investment can offer economies of scale in terms of the administrative costs. This investment is also relatively liquid since funds can be withdrawn on the same day as a request is made. LAIF is only one of several investments used in the City portfolio. The proposed Resolution allows the City to continue its participation in LAIF. The resolution designates the City Manager, Assistant City Manager, Administrative Services Director, and Finance Manager as positions eligible to order the deposit and withdrawal of funds. This includes the ability to assign Staff to initiate transfers between the City Account and LAIF. The internal controls established by LAIF require two of the designated positions to execute changes to the account in terms of those authorized to make transfers or changes in the banking information. The resolution refers to positions rather than named individuals so that a new resolution is not required when there are vacancies or changes in personnel. RECOMMENDATION: Staff recommends that the City Council adopt the Resolution. COpy TO: Page 1 of 1 ITEM NO. Lt. 7 ~ RESOLUTION NO. xx - 07 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN 11 \ ,..) ********* AUTHORIZING INVESTMENT OF MONIES IN THE STATE OF CALIFORNIA LOCAL AGENCY INVESTMENT FUND (LAIF) WHEREAS, Pursuant to Chapter 730 of the statutes of 1976 Section 16429.1 was added to the California Government Code to create a Local Agency Investment Fund in the State Treasury for the deposit of money of a local agency for purposes of investment by the State Treasurer; and WHEREAS, the City Council does hereby find that the deposit and withdrawal of money in the Local Agency Investment Fund in accordance with the provisions of Section 16429.1 of the Government Code for the purpose of investment as stated therein as in the best interests of the City; and WHEREAS, the Local Agency Investment Funds requires the adoption of an authorizing resolution in order to effectively administer participation in the fund; and WHEREAS, this resolution is based on a State model developed for all LAIF participants. NOW, THEREFORE, BE IT RESOLVED that the City Council ofthe City of Dublin does hereby authorize the deposit and withdrawal of City monies in the Local Agency Investment Fund in the State Treasury in accordance with the provisions of Section 16429.1 of the Government Code for the purpose of investment as stated therein, and verification by the State Treasurer's Office of all banking information provided in that regard. BE IT FURTHER RESOLVED that the following City officers or their successors in office shall be authorized to order the deposit or withdrawal of monies in the Local Agency Investment Fund and to order changes in the account in accordance with LAIF procedures: City Manager Assistant City Mana er Administrative Services Director Finance Manager BE IT FURTHER RESOLVED that the incumbents in the positions noted above shall submit to LAIF a certified copy of specimen signatures as required by LAIF program requirements. PASSED, APPROVED AND ADOPTED this 6th day of March, 2007, by the following vote: AYES: NOES: ABSENT: ABSTAIN: Mayor ATTEST: , " :"4 I City Clerk f1'-foJ#'i'1 l "1 k::,A '.