07-02-2019 - Item 06 - Consideration Of Fiscal Year 2019-20AGENDA ITEM NO. 6
AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE:July 2, 2019
TO:Mayor and City Council
FROM:David Carmany
Interim City Manager
SUBJECT:CONSIDERATION OF FISCAL YEAR 2019-20 INVESTMENT POLICY
RECOMMENDATION:
It is recommended that the City Council adopt the following resolution:
RESOLUTION NO. 2019-50 – A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF WEST COVINA, CALIFORNIA, APPROVING AND ADOPTING THE
UPDATED STATEMENT OF INVESTMENT POLICY FOR FISCAL YEAR 2019-20
BACKGROUND:
The purpose of the Investment Policy is to establish prudent investment cash management guidelines
for the City of West Covina, the Successor Agency to the former Redevelopment Agency of the City
of West Covina, and the West Covina Community Facilities District. The investment goals of the
City are safety, liquidity and yield. The State of California’s authority to govern investments for
local agencies is set forth in the California Government Code, Section 53600 et seq. The City’s
portfolio is designed and managed in a manner responsive to the public trust and consistent with
State and local law. The City’s investment policy governs the pooled investment of funds in the
treasury which are not required for the immediate needs of the City.
The Investment Policy was last approved on June 5, 2018. Section XX on page 11 requires that City
staff annually review the Investment Policy and submit it for City Council approval. City staff
resubmitted the Investment Policy to the California Municipal Treasurers Association’s (CMTA)
Investment Policy Certification Program in October 2017. The CMTA Investment Policy
Certification Program provides professional guidance and assistance in developing and/or improving
existing investment policies in California’s public sector agencies. The reviewers passed the
Investment Policy and it is now certified by the CMTA.
DISCUSSION:
The City's Investment Policy is required to be reviewed and approved on an annual basis. Any
modifications made thereto must be approved by the City Council. City staff reviewed the
Investment Policy to ensure the City utilizes the full scope of the California State Government
Code. As a result, there were no changes made to the City’s Investment Policy for Fiscal Year
Ending 2019-20.
Prepared by: Robbeyn Bird, CPA, Interim Finance Director
Fiscal Impact
FISCAL IMPACT:
The review and approval of the Investment Policy will have no financial impact on the City at this
time.
Attachments
Attachment No. 1 Resolution No. 2019-50
Exhibit A - Investment Policy
CITY COUNCIL GOALS & OBJECTIVES: Achieve Fiscal Sustainabiltiy and Financial
Stability