Camarillo City Council
AGENDA REPORT
Date: September 25, 2024
To: Honorable Mayor and City Councilmembers
From: Greg Ramirez, City Manager
Submitted by: Mark Uribe, Finance Director
Subject: Annual Review and Adoption of Investment Policy 3.04 for Fiscal Year 2024/25
BACKGROUND
Pursuant to the City’s Investment Policy, the Investment Committee is required to review the policy annually. After the annual review by the Investment Committee, recommendations are made to City Council. This yearly review ensures its consistency with respect to the overall objectives of safeguarding principal, ensuring liquidity meets cash flow needs and obtaining appropriate rates of return.
DISCUSSION
The Investment Committee is required to review the Investment Policy prior to September 30 of each year. As part of the review process, Finance staff is assisted by Chandler Asset Management, the City’s Investment Advisement Firm.
This year, it was recommended that no changes be made to the current policy since there were no required changes to the State Government Code regarding the investing of public funds and the Policy meets required objectives. The Investment Committee met on August 26, 2024 to review the Policy.
The Investment Committee’s discussion included: Chandler Asset Management’s review and consideration of any changes in legislation; an understanding of the Local Agency Investment Fund (LAIF) governance residing with the California State Treasurer; the possibility of obstacles to the City’s current policy limits and whether the City is comfortable with the current benchmark; and whether the policy allows sufficient flexibility to invest in other options as opportunities arise that may be beneficial to the City. The City uses the U.S. Treasury and Agency Index, a widely-used benchmark as a reference to evaluate the performance of the portfolio. The Committee is not recommending any changes.
The committee agreed to forward the Policy to the City Council for approval.
Annual Review and Adoption of Investment Policy 3.04
September 25, 2024
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FISCAL IMPACT
There is no budget impact as a result of this action.
RECOMMENDATION
Staff recommends the City Council adopt Investment Policy 3.04 for Fiscal Year 2024/25.
ATTACHMENTS
1. Investment Policy 3.04
REFERENCE MATERIALS – AVAILABLE FOR REVIEW AT CITY HALL None