BOARD AGENDA MEMORANDUM
SUBJECT:
Title
Adopt the Resolution Delegating Authority to Deposit and Invest Funds to the Treasurer or his or her Designee, and Approve the Board Investment Policy for Fiscal Year 2020-21.
End
RECOMMENDATION:
Recommendation
A. Adopt a Resolution DELEGATING AUTHORITY TO DEPOSIT AND INVEST FUNDS TO THE TREASURER OR HIS OR HER DESIGNEE, during Fiscal Year 2020-21; and
B. Approve the Board Investment Policy for Fiscal Year 2020-21.
Body
SUMMARY:
In accordance with Executive Limitation 4.9 regarding treasury and investment management, and pursuant to California Government Code (Government Code) Sections 53607 and 53608, staff recommends that the Board: (A) Adopt the resolution delegating authority to deposit and invest funds to the Treasurer or her designee, and (B) Approve the investment policy for Fiscal Year 2020-21.
Delegation of Authority to Deposit and Invest Public Funds
The authority to deposit and invest public funds belongs to the Board and may be delegated to the Treasurer and her designee. The Treasurer is designated by the Chief Executive Officer and is currently the Chief Financial Officer, who in turn has delegated the investment duties to the Treasury/Debt Officer.
Per Government Code Sections 53607 and 53608, the delegation of authority to invest must be renewed annually by the Board. The Board's current delegation to the Treasurer to invest Santa Clara Valley Water District (Valley Water) funds expire on June 30, 2019. If the Board chooses not to delegate the authority to invest funds in Fiscal Year 2019-20, the Treasurer will be limited to making deposits only, and the Board will be responsible for the investment of Valley Water's funds. Furthermore, Government Code Section 53608 requires the Board to delegate the authority to deposit funds for safekeeping with a federal or state association (as defined by Section 5102 of the California Financial Code), a trust company or state or national bank located wi...
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