STAFF REPORT
Meeting Date:
March 10, 2026
CONSENT
6 SUBJECT: REVIEW OF THE PROPOSED ANNUAL INVESTMENT POLICY RECOMMENDATION: It is recommended that the City Council:
1. Review and provide comments on the proposed version of the 2026 Investment Policy;
2. Direct that staff return on or after March 24, 2026, with a resolution that adopts the 2026 Investment Policy, including a provision within the resolution that the Policy continues until such time as a subsequent adoption occurs; and
3. Authorize the Deputy Treasurer, Victoria McIntosh, CPA, to complete the investment duties of the City Treasurer if the Treasurer cannot perform her duties.
SUMMARY OF THE MATTER
Each year, the City Council considers the Investment Policy for the upcoming year, affirms the retention of investment authority and approves the City Treasurer’s Deputy Treasurer for cash and investment management duties in the event the City Treasurer cannot perform her responsibilities.
Suggested changes to the proposed policy were updated by a subcommittee Steve Brown and Kimberly Ciabattoni then considered by the Investment Advisory Committee. There were no legislative changes that required updates in the policy. The substantive changes recommended and incorporated into the proposed policy included the following.
• Section 8 – It was clarified that the rating for securities that comply with the policy was relevant at the time of purchase.
• Mandated that ratings would be reviewed periodically. • Established a 10% ceiling on investments issued by the City of Laguna Beach. • Allowed for a new asset class, US Government Agency Mortgage Passthrough Securities (Section
8.11) and limited the new asset class to 2% of the portfolio. • Glossary terms were updated and streamlined.
This item for the March 10, 2026 meeting is a review of the proposed policy by the Council and community.
If Council members or others have questions about the process to date, members of the Investment Advisory Committee will be present to answer them.
The policy itself must be adopted by Council resolution. At the March 24, 2026 meeting, staff will return with a resolution that formally adopts the final version of the Policy. Included in the resolution will be guidance that states that the adopted Policy continues in effect until such time as a subsequent Policy is adopted by another resolution of the City Council.
REVIEW OF THE PROPOSED ANNUAL INVESTMENT POLICY
March 10, 2026
Finally, the Council annually considers the qualifications of the Deputy Treasurer when evaluating whether to authorize that deputy to perform the investment duties of the City Treasurer. Policy paragraph 5.0, Investment Authority, allows the City Treasurer to designate, subject to City Council approval, a qualified Deputy Treasurer to serve for investment purposes. I re-nominated Victoria McIntosh, CPA. She has served as the Deputy Treasurer and been the designee since 2016. In addition to her experience with the City and other governmental entities, she has advanced education in finance and lives in Laguna Beach with her family.
FINANCIAL ANALYSIS
The recommended action has no financial impact to the budget.
ENVIRONMENTAL ANALYSIS
The recommended action has no environmental impact.
ATTACHMENTS
1. Draft 2026 Investment Policy (Pgs. 3-
Submitted By: Laura Parisi Approved: .David A Kiff
Laura Parisi, CPA, CCMT, City
Treasurer
Dave Kiff, City Manager
Report Prepared By: Coordinated With:
Steve Brown and Kimberly Ciabattoni,
Investment Advisory Subcommittee
Laura Parisi, CPA, CCMT, City Treasurer
Dave Kiff, City Manager