DRAFT
RESOLUTION NO. 2022-XX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF FREMONT
AUTHORIZING THE CITY TO JOIN WITH OTHER PUBLIC AGENCIES
AS A PARTICIPANT OF THE CALIFORNIA ASSET MANAGEMENT
TRUST AND TO INVEST IN SHARES OF THE TRUST AND IN
INDIVIDUAL PORTFOLIOS
WHEREAS, Section 6509.7 of Title 1, Division 7, Chapter 5 of the California Government Code (the “Joint Exercise of Powers Act”) provides that, if authorized by their legislative or other governing bodies, two or more public agencies that have the authority to invest funds in their treasuries may, by agreement, jointly exercise that common power; and
WHEREAS, under Sections 6500 and 6509.7(b) of the Joint Exercise of Powers Act, a “public agency” includes, but is not limited to, any California county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission, state department or agency, any joint powers authority formed pursuant to the Joint Exercise of Powers Act by public agencies or any nonprofit corporation whose membership is confined to public agencies or public officials; and
WHEREAS, public agencies that constitute local agencies, as that term is defined in Sections 53600 of Title 5, Division 2, Part 1, Chapter 4, Article 2 of the Government Code of the State of California (the “California Government Code”), are authorized pursuant to Section 53601(p), to invest all money belonging to, or in the custody of, a local agency not required for its immediate need in shares of beneficial interest issued by a joint powers authority organized pursuant to Section 6509.7 of the California Government Code that invests in the securities and obligations authorized in subdivisions (a) to (q), inclusive, of Government Code Section 53601; and
WHEREAS, the California Asset Management Trust (the “Trust”) was established, pursuant to and in accordance with the Joint Exercise of Powers Act, by a Declaration of Trust, made as of December 15, 1989, as subsequently amended from time to time (the “Declaration of Trust”), as a vehicle for public agencies to jointly exercise their common power to invest the proceeds of debt issues and Public Agency surplus funds; and
WHEREAS, pursuant to and in accordance with the Joint Exercise of Powers Act, the City of Fremont desires to join the other public agencies which are or will be Participants of the Trust by adopting and executing the Declaration of Trust, a form which is on file in the office of the City’s Finance Director/Treasurer; and
WHEREAS, the City of Fremont is a “public agency” as that term is defined in Sections 6500 and 6509.7(b) of the Joint Exercise of Powers Act and a “local agency” as that term is defined in Section 53600 of the California Government Code; and
WHEREAS, the City of Fremont is otherwise permitted to be a Participant of the Trust and to invest funds in the Trust and in the individual portfolios to be managed by the Investment Adviser to the Trust (“Individual Portfolios”); and
WHEREAS, a program guide describing the Trust and the Individual Portfolios (the “Program Guide”) is on file in the office of the City’s Finance Director/Treasurer.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FREMONT AS FOLLOWS:
SECTION 1. The City of Fremont shall join with other public agencies pursuant to and in accordance with the Joint Exercise of Powers Act by executing the Declaration of Trust and becoming a Participant in the Trust, which Declaration of Trust is approved and adopted. A copy of the Declaration of Trust, which is available in the office of the Finance Director/Treasurer shall be filed with the minutes of the meeting at which this Resolution was adopted. The Mayor, as Presiding Officer of the Fremont City Council, is authorized to execute, and the City Clerk, as Attesting Officer of the Fremont City Council, is authorized to attest and deliver, the Declaration of Trust.
SECTION 2. The City of Fremont is authorized to purchase shares in the Trust from time to time with available funds of the City of Fremont, and to redeem some or all of those shares from time to time as such funds are needed.
SECTION 3. The City of Fremont is authorized to invest available funds of the City of Fremont from time to time in one or more Individual Portfolios managed by the Investment Adviser to the Trust and described in the Program Guide.
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SECTION 4. The appropriate officers, agents and employees of the City of Fremont are authorized and directed in the name and on behalf of the City of Fremont to take all actions and to make and execute any and all certificates, requisitions, agreements, notices, consents, warrants and other documents, and any changes, amendments, modifications, or waivers thereto which they, or any of them, might deem necessary or appropriate in order to accomplish the purposes of this Resolution.
SECTION 5. This Resolution shall take effect at the earliest date permitted by law.
ADOPTED, ______________, 2022, by the City Council of the City of Fremont by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
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Mayor
ATTEST: APPROVED AS TO FORM:
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City Clerk Sr. Deputy City Attorney II