CITY COUNCIL STAFF REPORT
Meeting Date: April 20, 2026
100 Gregory Lane, Pleasant Hill, CA 94523-3323 – (925) 671-5270 www.pleasanthillca.org
TO: THE HONORABLE MAYOR AND CITY COUNCILMEMBERS
SUBJECT: ADOPT RESOLUTION NO.___-26 APPROVING THE CITY OF PLEASANT HILL INVESTMENT POLICY EFFECTIVE JULY 1, 2026
SYNOPSIS
California state law requires the City to render a statement of Investment Policy annually to the City Council at a public meeting and the City Council to annually delegate investment authority to the Chief Financial Officer/City Treasurer. The Budget Committee reviewed the investment policy at its meeting of March 11, 2026, and recommended approval to City Council. The City Treasurer duties have been assigned to the Chief Financial Officer (CFO) by the City Manager in December 2024. Staff recommends the Council adopt the proposed resolution approving the updates to the City of Pleasant Hill Investment Policy effective July 1, 2026.
DISCUSSION
Background
Government Code 53607 et seq. requires the Chief Financial Officer/City Treasurer to “render” annually to the legislative body of the local agency at a public meeting a statement of investment policy. The investment policy is intended as a guide with specific controls for safety, liquidity, and yields. The City Manager has assigned the duties of the City Treasurer to the Chief Financial Officer as of December 2024.
Analysis
The City’s Investment Portfolio is managed by Chandler Asset Management (Chandler). Carlos Oblites, Chandler's Senior Portfolio and Investment Pool Strategist, discussed the investment performance of the portfolio and share some insights about the markets and current trends (Chandler’s Presentation attached) at the Budget Committee meeting on March 11, 2026. As of January 31, 2026, the City’s portfolio has a one-year total rate of return of 5.46% compared to the benchmark ICE BofA 1-3 Year US Treasury Index of 5.09%. The balance in the portfolio was $8,404,261.
City staff in the Finance Division consulted with Chandler and propose for your consideration minimal changes to the City’s investment policy that capture changes to California Government Code for 2026. These updates include:
2 Addition of language pursuant to SB 595 permitting investment in commercial paper with maturities up to 397 days.
Addition of language permitting investments in deposit placement services, giving the City more options in placing certificates of deposit.
Inclusion of language permitting investments in mutual funds as permitted by California Government Code 53600.
Addition of requirement which states that monthly transactions will be submitted to the City Council as required by California Government Code 53607.
On March 11, 2026, the Budget Committee reviewed and recommended the City Council approve the updates to the City’s Investment Policy.
FISCAL IMPACT
No fiscal impact.
PUBLIC CONTACT
Public contact was made through posting of the City Council agenda on the City’s official notice bulletin board, at the Pleasant Hill Senior Center and at the Pleasant Hill Police Department. The agenda and staff report are posted on the City’s web page.
RECOMMENDED CITY COUNCIL ACTION:
Receive the December 2025 Treasurer’s Report and adopt the proposed resolution to update the City of Pleasant Hill’s Investment Policy effective July 1, 2026, as recommended by the Budget Committee.
ALTERNATIVES TO RECOMMENDED ACTION
Do not adopt the proposed resolution and provide direction to staff.
ATTACHMENT(S):
Proposed Resolution
Investment Policy FY 2026-2027 Redlined
December 2025 Treasurer’s Report
Chandler Presentation
Prepared by: Erick Cheung, Chief Financial Officer
Approved by: Ethan Bindernagel, City Manager