Title
A Resolution Approving Cash Investments
Summary
Description of Topic: (who, what, where, when, why and how much)
Financial Services Division: Resolution 22-1156 approved solicitation of RFP's from banks in an attempt to increase interest earnings. This resolution reflects the Treasurer's recommendation for placement of funds based on the response from banks, availability of sufficient operating funds, and past banking relationships as detailed in the attachment. The investments will come from redistributing cash between accounts.
Budgetary Impact:
Non-Capital Item:
____ Budgeted under account #_______________ (discussion item)
____ Not budgeted, requesting transfer of $__________ from Account #______________ to Account #_____________.**Request to Transfer Departmental Budget Dollars form must be attached**
____ Not budgeted requiring increase to account #___________ in the amount of $____________.**Request to Increase Departmental Budget Dollars form must be attached**
Capital - Departmental **Capital Purchase Worksheet form must be attached**
____ Budgeted under account #______________ for $_________ and described in budget as ________________________. Additional amount needed, if any: Increase in budget of $_________ OR, transfer of $________ from Account #____________ to Account #_____________**Request to Increase OR Request toTransfer Departmental Budget Dollars form must be attached**
____ Not Budgeted - account #____________ requires budget increase of $_____________.**Request to Increase Departmental Budget Dollars form must be attached**
Capital Project - **If requesting to start a project, a Capital Project Worksheet form must be attached**
In current year Capital Projects Plan:
_____ Yes, described as __________________________, planned amount $___________, requesting $_________ as total project estimate, including contingencies, under account #_________________
_____ No, requesting $___________ as total project estimate, including contingencies, under account #____________________.
_____ No, requesting an increase of $___________ to an already approved project titled ________________________ that is being tracked under Account No. ___________________.
Body
WHEREAS, Resolution 22-1156 approved the Financial Services Division to solicit Requests for Proposals from area banks in an attempt to secure more desirable interest rates, and
WHEREAS, the Request for Proposal closed out on May 31, 2022, and a summary of results is attached and made part of this resolution, and
WHEREAS, the Treasurer requests Council approval of placement and/or reallocation cash on hand as follows:
NOW THEREFORE BE IT RESOLVED that the City Council of the City of Foley, Alabama, as follows:
SECTION 1: Approves opening a Public Interest Checking account with an initial deposit of $1,000,000 at Bryant Bank.
SECTION 2: Approves opening a JP Morgan US Gov Money Market Fund account with $2,500,000 and a State Street Institutional Treasury Money Market Fund account with $2,500,000 at PNC Bank.
SECTION 3: Approves investing $24,000,000 in the Regions Investment Management, Government Only Enhanced Cash Strategy fund.
SECTION 4: Approves opening a Public Funds Money Rate Savings account at Truist Bank with a $5,000,000 initial deposit.
SECTION 5: Approves leaving a $5,000,000 monthly balance in the existing moderate activity sales tax money market account at The First.
SECTION 6: Approves moving two Centennial Investment Account balances to higher yield accounts with high liquidity when restricted projects are completed.
SECTION 7: Authorizes the City Treasurer to move funds between accounts when needed to maximize earnings, in accordance with past practice.
SECTION 8: This Resolution shall become effective immediately upon its adoption as required by law.