Reso No.____
RESOLUTION NO. ____
A RESOLUTION OF THE COUNCIL OF THE CITY OF RICHMOND, CALIFORNIA
REVISING THE CITY OF RICHMOND'S FINANCIAL POLICIES BY ADOPTING
UPDATES TO THE INVESTMENT POLICY
WHEREAS, the City of Richmond (the "City") is required to maintain and periodically update the City's Financial Policies consistent with the standards set forth by California Government Code and the California Municipal Treasurers Association (the "CMTA") Certification Program; and
WHEREAS, a written investment policy is reviewed by the City's governing body annually and may be certified by the CMTA as often as needed according to relevance of importance; and
WHEREAS, the Investment Policy Certification Program (the "Program') of the CMTA was developed in 2012; and
WHEREAS, the Program was instituted in an effort to assist state and local governments interested in drafting or improving upon an existing investment policy; and
WHEREAS, the CMTA Certification Committee is comprised of fellow CMTA members, many of whom have earned the Certified California Municipal Treasurers (CCMT) designation and who volunteer to serve as reviewers; and
WHEREAS, for the policy to receive certification, it must be approved by all reviewers in all areas spelled out in the CMTA Certification Program; and
WHEREAS, the CMTA Certification Program investment policy includes language and rationales for those 18 sections that the Association deems as critical elements; and
WHEREAS, those critical elements are:
1. Scope
2. Prudence
3. Objective
4. Delegation of Authority
5. Ethics and Conflicts of interest
6. Authorized Financial Dealers and Institutions
7. Authorized and Suitable Investments
8. Review of Investment Portfolio
9. Investment Pools/Mutual Funds
10. Collateralization
11. Safekeeping and Custody
12. Diversification
13. Maximum Maturities
14. Internal Controls
15. Performance Standards
16. Reporting
Reso No.____
17. Investment Policy Adoption
18. Glossary; and
WHEREAS, prior to December 03, 2024, the investment policy had not been certified by CMTA; and
WHEREAS, the investment policy was submitted to CMTA in December 2024 for the certification consideration; CMTA provided constructive feedback to expand the policy; and
WHEREAS, the Finance Department made revisions to strengthen the investment policy based on the CMTA feedback and resubmitted the policy for certification; and
WHEREAS, on May 19, 2025, CMTA has validated that the City of Richmond’s Investment Policy adheres with the State of California Government Code and meets the CMTA Investment Policy Certification requirements, granting certification; and
WHEREAS, in addition to receiving Certification, CMTA provided additional feedback to be implemented to reduce unintended restrictions with allowable investment instruments. The minor changes being proposed for adoption are allowable under the California Government Code.
NOW, THEREFORE , BE IT RESOLVED, that the City Council of the City of Richmond, California, hereby amends the City's existing investment policy to adhere to the California Government Code and the CMTA "Certification Program" Investment Policy guidelines which will be reviewed by the City Council annually and may be certified by CMTA as often as needed according to relevance of importance.
BE IT FURTHER RESOLVED, that this certification will serve to assure the City Council and the public that the City of Richmond is abiding by professional standards established to ensure prudent management of public funds.
BE IT FURTHER RESOLVED, that a copy of the new City of Richmond Investment Policy is attached hereto as Exhibit A.
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Reso No.____
I certify that the foregoing resolution was passed and adopted by the Council of the City of Richmond at a regular meeting thereof held _______________, by the following vote:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
CLERK OF THE CITY OF RICHMOND
(SEAL)
Approved:
Mayor
Approved as to form:
City Attorney
State of California }
County of Contra Costa : ss.
City of Richmond }
I certify that the foregoing is a true copy of Resolution No._____, finally passed and adopted by the City Council of the City of Richmond at a regular meeting held on ____________.