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HomeMy WebLinkAboutAGENDA REPORT 1991 0403 CC REG ITEM 08JPAUL W. LAWRASON JR Mayor BERNARDO M. PEREZ Mayor Pro Tern SCOTT MONTGOMERY Councilmember JOHN E. WOZNIAK Councilmember LILLIAN KELLERMAN City Clerk TO: FROM: DATE: SUBJECT: Background MOORPARK ITEM P*,T, DORPARK CAUFORMA City Coucro Meg" of ` �_ 199 HONORABLE CITY COUNCIL RICHARD HARE, DEPUTY CITY March 28, 1991 MANAGER STEVEN KUENY City Manager CHERYL J.KANE City Attorney PATRICK RICHARDS, A.I.C.P. Director of Community Development JOHN F. KNIPE City Engineer JOHN V. GILLESPIE Chief of Police RICHARD T. HARE City Treasurer CONSIDER RESOLUTION AUTHORIZING THE JOINT INVESTMENT OF CITY AND AGENCY FUNDS The City Council and the Moorpark Redevelopment Agency are both governed by the same requirements for the investment of idle cash. Currently, I serve as both the City Treasurer and the Agency Treasurer. All idle cash for both entities is therefore invested under the same rules and policies. Larger investments such as certificates of deposit or treasury bills typically earn higher rates of interest than smaller investments like money market accounts. Also ooled the Local Agency Investment Fund are avai able u p to ancestablished with maximum level and the current accounts are not being used at the allowable maximum level. In order to simplify investments, increase..,interest earnings on larger blocks of investments fully use available accounts, it is suggested that the attached resolution be approved. Pooling of investments between several agencies is very common. For an example, the Local Agency Investment Fund pools local agencies' monies with state investments. County typically pool investments of several agencies treasurers within their also respective counties including cities. independent auditing firm, Ernst and Young, City and RDA's Pooling or co- mingling funds as a method o�incr easeeoureyieldsdon investments. They stressed that allocation of interest earnings between agencies should be made on a monthly basis. 1 zvu moorpark Avenue Moorpark, California 93021 (805) 529 -6864 The attached resolution authorizes co- mingling or pooling of the City of Moorpark and Redevelopment Agency investments provided that a monthly allocation of interest earnings be made between the entities. Per the recommendation of the Budget and Finance Committee, and as funded and approved by the City Council, the ADS Portfolio Management System has been installed. When coupled with the reports provided by the Local Agency Investment Fund the portfolio management system allows for monthly crediting of interest earnings to the appropriate entity for all current investment instruments authorized by the City Council. Recommendation The Budget and Finance Committee and staff discussed the integration of investments at their meeting held March 20, 1991 and recommend adoption of the resolution. +i. RESOLUTION NO. A RESOLUTION OF THE CITY OF MOORPARK, CALIFORNIA, AUTHORIZING THE JOINT INVESTMENT OF CITY AND AGENCY FUNDS. WHEREAS, Pursuant to Section 53601 of the California Government Code, the City of Moorpark does hereby authorize the investment of funds pursuant to this section and with consent of the Board of the Moorpark Redevelopment Agency, deposit excess funds in the Agency Treasury for the purpose of investment by the Agency Treasurer pursuant to Section 53601 or 53635 of the California Government Code; and WHEREAS, the City does hereby find that the deposit and withdrawal of money in the Agency Treasury in accordance with the provisions of Section 53601 of the Government Code for the purposes of investment as stated therein is in the best interests of the City of Moorpark. NOW, THEREFORE, BE IT RESOLVED that the City does hereby authorize the deposit and withdrawal of City monies in the Agency Treasury in accordance with the provisions of Section 53601 of the Government Code for the purpose of investment as stated therein; and BE IT FURTHER RESOLVED that the following City officers or their successors in office shall be authorized to order the deposit or withdrawal of City monies in the Agency Treasury provided a monthly allocation of interest earnings is calculated and reported to the Agency and the City of Moorpark. RICHARD HARE, CITY TREASURER ,STEVEN KUENY, CITY MANAGER 4W1. PASSED AND ADOPTED this day of ATTEST: 1991. Paul W. Lawrason Jr., Mayor City of Moorpark Moorpark, California Dot Vandaveer, Deputy City-Clerk