City of Gonzales
CITY MANAGER DEPARTMENT
STAFF REPORT
TO: Honorable Mayor Rios and City Council
DATE: June 6, 2022
FROM: Rene Mendez, City Manager
SUBJECT: Resolution Authorizing Investment of Monies in the Local Agency Investment Fund
RECOMMENDATION
It is recommended that the City Council adopt Resolution No. 2022-35, A Resolution of the City Council of the City of Gonzales Authorizing Investment of Monies in the Local Agency Investment Fund.
BACKGROUND
The City of Gonzales’s, current investment policy allows the City to invest idle cash in the Local Agency Investment Fund (LAIF). The Local Agency Investment Fund is a voluntary program created by statute; began in 1977 as an investment alternative for California’s local governments and special districts. The program offers local agencies the opportunity to participate in a major portfolio, which invests hundreds of millions of dollars, using the investment expertise of the State Treasurer’s office investment staff at no additional cost to the taxpayer. Monies invested in LAIF earn interest which is paid on a quarterly basis.
REVIEW AND ANALYSIS
As a result of the upcoming changes in city management, it is important to update signature authority related to the City’s municipal bank accounts and investment accounts.
Explain Recommendation and How it Supports the Vision
Gonzales will continue to be a safe, clean, family-friendly community, diverse in its heritage, and committed to working collaboratively to preserve and retain its small town charm.
Explain: It is important that the City maintain normal operations with appropriate signature authority. This is important because it is necessary to keep a close watch on the resources needed to carryout the Mission.
AGENDA
ITEM
14 Explain how the Recommendation Directly Implements the Mission The City Council and Staff of the City of Gonzales will realize our Vision by providing the leadership, commitment and resources necessary to provide excellent services that enhance the quality of life of our diverse community. X Yes _____No _____ NA
Explain: Please see explanation above for the Vision.
Strong fiscal policies allow us to provide appropriate infrastructure for:
• Public Safety X Yes No N/A
• Housing X Yes No N/A
• Recreation X Yes No N/A
• Environment X Yes No N/A
• Education X Yes No N/A
Explain: Please see explanation above.
ALTERNATIVES
• Adopt the proposed resolution
• Do not adopt the resolution. However, failure to adopt the resolution may not enable the City to manage its municipal funds for day-to-day operations
• Provide other direction to staff.
BUDGET IMPACT
There is no budget impact to the adoption of this resolution. By approving the proposed resolution, the City of Gonzales will be able to maintain normal city operations.
CONCLUSION
It is recommended that the City Council adopt Resolution No. 2022-35, A Resolution of the City Council of the City of Gonzales Authorizing Investment of Monies in the Local Agency Investment Fund.
Attachments:
1. Resolution No. 2022-35