Fiscal Year 2019 Budget

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SECTION 4 - PUBLIC RECORDS The records of investment transactions made by or on behalf of the City of Spencer are public records and are the property of the City of Spencer, whether in the custody of the City or in the custody of a fiduciary or third party. SECTION 5 - DUTIES OF THE TREASURER The Treasurer shall establish a written system of internal controls and investment practices. The controls shall be designed to prevent the loss of public funds, to document those officers and employees of the City responsible for elements of the investment process and to address the capability of investment management. The controls shall provide for receipt and review of the audited financial statement and related report on internal control structure of all outside persons performing any of the following for this public body: 1. Investment of public funds; 2. Advising on the investment of public funds; The Treasurer of the City of Spencer shall be bonded. The amount of this bond shall be reviewed annually to determine its appropriateness and will be amended by the City Council if deemed necessary. SECTION 6 - OBJECTIVES OF THIS POLICY The primary objectives, in order of priority, of all investment activities involving the financial assets of the City shall be the following: 1. Safety: Safety and preservation of principal in the overall portfolio; 2. Liquidity: Maintaining the necessary liquidity to match expected liabilities; and 3. Return: Obtaining a reasonable return in compliance with Iowa Code Section 12C.6. SECTION 7 - PRUDENCE The Treasurer of the City of Spencer, when investing or depositing public funds, shall exercise the care, skill, prudence and diligence under the circumstances then prevailing that a person acting in a like capacity and familiar with such matters would use to attain the investment objectives (Section 6). This standard requires that when making investment decisions, the Treasurer shall consider the role that the investment or deposit plays within the portfolio of the asses of the City and the investment objectives stated in Section 6. When investing assets of the City of Spencer for a period of longer than six months or in an amount greater than $300,000 per investment, the Treasurer shall request competitive investment proposals for Assets of the City of Spencer shall be invested in financial institutions properly declared by Resolution of the City Council of the City of Spencer. Deposits in any financial institution shall not exceed the amount stated in the Resolution. Assets of the City of Spencer may be invested in the following: 1. Demand Deposit Accounts (DDA), 2. Negotiable Orders of Withdrawal (NOW) Accounts, 3. Certificates of Deposit, or 3. Directing the deposit or investment of public funds; or 4. Acting in a fiduciary capacity for this public body. comparable credit and terms from a minimum of three investment providers. SECTION 8 - INSTRUMENTS ELIGIBLE FOR INVESTMENT