Finance and Management Services
www.santa-ana.org/finance
Item # 17
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
June 16, 2026
TOPIC: Annual Statement of Investment Policy
AGENDA TITLE
Resolution Approving the City’s Annual Statement of Investment Policy 2026-2027; Annual Statement of Investment Policy 2026-2027
RECOMMENDED ACTION
1. Adopt a Resolution approving the City’s 2026-2027 Investment Policy.
RESOLUTION NO. 2026-XXX entitled A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA APPROVING THE CITY’S STATEMENT OF INVESTMENT POLICY 2026-2027
2. Receive and file the Annual Statement of Investment Policy 2026-2027.
GOVERNMENT CODE §84308 APPLIES: No
DISCUSSION
In accordance with State law, the Finance and Management Services Agency submits a resolution annually approving the City’s Investment Policy (Exhibit 1) and the Annual Statement of Investment (Exhibit 2).
The investment policy outlines the following primary goals:
Comply with all Federal, State, and local laws governing the investment of public funds;
Ensure the safety and preservation of principal;
Maintain sufficient liquidity to meet operational cash flow needs; and Achieve a reasonable rate of return within the parameters of the Investment Policy and investment portfolio guidelines.
The Investment Policy covers all City financial assets, except individual employee retirement funds and deferred compensation. These plans are excluded because they are not part of the City’s operating cash or pooled treasury investments. Instead, these assets are held for the benefit of plan participants and are subject to separate fiduciary, legal, and administrative requirements.
Annual Statement of Investment Policy
June 16, 2026
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1 9
Finance staff reviews the City’s policy annually to ensure compliance with applicable laws, industry standards, and best practices. This review evaluates whether new state statutes or regulations should be adopted or whether operational improvements are advisable.
The current policy was reviewed and certified by the California Municipal Treasurers Association (CMTA). CMTA re-certification was granted on May 31, 2022. CMTA recommends that policies be reviewed annually and recertified every three to five years, absent significant legislative changes, shifts in industry standards, or major revisions to the policy. The City is scheduled to undergo its next policy recertification review in 2027, in preparation for the 2027-28 fiscal year. Only minor revisions are proposed for FY2026- 27, including:
Reorganization of the Delegation of Authority provisions in Section 5.2 to improve clarity and eliminate duplicative language without changing policy intent. Streamlining of Section 12.1, Safekeeping and Custody, without modifying any substantive requirements.
All remaining revisions are organizational, grammatical, or formatting improvements that do not materially alter the City’s investment objectives, controls, or reporting requirements.
According to the Local Agency Investment Guidelines published annually by the California Debt and Investment Advisory Commission (CDIAC), there are no federal or regulatory changes affecting the City’s investment practices for FY2026-27.
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
There is no fiscal impact associated with this action.
EXHIBIT(S)
1. Resolution
2. Annual Statement of Investment Policy
Submitted By: Alexander Trinidad, Executive Director, Finance and Management Services
Approved By: Alvaro Nuñez, City Manager