Resolution No. 7806. f ,
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RESOLUTION NO. 7806
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON DELEGATING INVESTMENT AUTHORITY TO THE CITY
TREASURER
WHEREAS, pursuant to California Government Code Section
53646(a)(2), the City Council approved an Annual Statement of
Investment Policy (the "Policy") prepared by the City Treasurer's
Office; and
WHEREAS, pursuant to the Policy, the City Council approved
an investment program and delegated investment authority to the City
Treasurer, which granted express authority for a period of time to
make investments of City funds in securities with a term, or term
remaining to maturity at the time of investment, in excess of five (5)
years as part of the investment program; and
WHEREAS, on July 18, 2001, the Finance Committee recommended
that the City Council approve the recommendation of Bruce V.
Malkenhorst, the Director of Finance, dated July 12, 2001, that the
City Treasurer be delegated investment authority to invest City funds;
and
WHEREAS, the City Council desires to expressly authorize the
City Treasurer to continue to actively manage the City's portfolio of
investments, including, without limitations, the authority to sell any
securities prior to the maturity date of the particular security and
to make investments of City funds in securities with a term, or term
remaining to maturity at the time of investment, in excess of five (5)
years.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
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SECTION 1: The City Council of the City of Vernon hereby
finds and determines that the recitals contained hereinabove are true
and correct.
SECTION 2: The City Council of the City of Vernon hereby
delegates to the City Treasurer, or to his authorized designee, the
authority to implement the City's Policy and undertake the City's
investment program to manage the City's portfolio of investments and
sell any securities prior to the maturity date of the particular
security.
SECTION 3: The City Council of the City of Vernon hereby
delegates to the City Treasurer, or to his authorized designee, the
express authority to invest in securities with a term, or term
remaining to maturity at the time of investment, in excess of five (5)
years.
SECTION 4: The City Clerk of the City of Vernon shall
certify to the passage of this resolution, and thereupon and
thereafter the same shall be in full force and effect.
APPROVED AND ADOPTED this 18th day of July, 2001.
ATTEST:
BRUCE V. MALKENHORST, City Clerk
EONIS C. MALSVRG, Ma r
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STATE OF CALIFORNIA )
ss
COUNTY OF LOS ANGELES )
I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do
hereby certify that the foregoing Resolution, being Resolution No.
7806, was duly adopted by the City Council of the City of Vernon at a
regular meeting of the City Council duly held on Wednesday, July 18,
2001, and thereafter was duly signed by the Mayor of the City of
Vernon.
BRUCE V. MALKENHORST, City Clerk
(SEAL)
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SUPPORTING
DOCUMENTS
CITY COUNCIL
LEONIS C. MALBURG
Mayor
THOMAS A. YBARRA
Mayor Pro—Tem
WM. 'BILL" DAVIS
Councilman
H. "LARRY" GONZALES
Councilman
W. MICHAEL MCCORMICK
Councilman
BRUCE V. MALKENHORST
City Administrator / City Clerk
FAX (323) 581-7924
July 11, 2001
CITY HALL
4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058
TELEPHONE (323) 583-8811
Mr. Bruce V. Malkenhorst
City Administrator
City Of Vernon
4305 Santa Fe Avenue
Vernon, California 90058
EDUARDO OLIVO
City Attorney
FAX: (562) 927-8722
KEVIN WILSON
Director of Community Services & Water
FAX: (323) 588-2761
KENNETH J. DeDARIO
Director of Municipal Utilities
FAX: (323) 583-1983
STEVEN E. PARKER
Fire Chief
FAX: (323) 581-1385
BRUCE W. OLSON
Police Chief
FAX: (323) 583-5236
Re: City Council Delegation of Investment Authority to City
Treasurer
Dear Bruce:
I recommend the City Council approve the attached resolution to
grant you the authority to make investments in securities with
terms to maturity in excess of five (5) years. This authority
was expressly granted to you as part of the City's investment
program by the City Council in Resolution No. 7708, which
approved the City's Annual Statement of Investment Policy.
I believe it is prudent for the City Council to regrant this
investment authority every three (3) months, pursuant to
Government Code Section 53601. All local agencies' investment
practices are now subject to review by the California Debt and
Investment Advisory Commission (the ""Commission"). The City
must submit some of its quarterly investment reports and
investment policy to the Commission every year.
It is appropriate for the City Council to periodically grant you
the authority to make all prudent investments on the City's
behalf.
a
Mr. Bruce V. Malkenhorst
July 11, 2001
Page 2
I look forward to discuss this matter with you at your earliest
convenience.
Sincerely,
Eric
Fresch
Legal
Counsel
EF:j1
Enclosure
cc: Sharon Johnson (w/enc.)
Eddie Olivo (w/enc.)
CITY COUNCIL ,
LEONIS C. MALBURG
Mayor
THOMAS A. YBARRA
Mayor Pro-Tem
WM. "BILL" DAVIS
Councilman
H. "LARRY" GONZALES
Councilman
W. MICHAEL MCCORMICK
Councilman
BRUCE V. MALKENHORST
City Administrator / City Clerk
FAX (323) 581-7924
Finance Committee
City of Vernon
CITY HALL
4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058
TELEPHONE (323) 583-8811
EDUARDO OLIVO.
City Attorney
FAX: (562) 927-8722
KEVIN WILSON
Director of Community Services & Water
FAX: (323) 588-2761
July 11, 2001 n
KENNETH J. DeDARIO
Director of Municipal Utilities
FAX: (323) 583--1983
STEVEN E. PARKER
Fire Chief
FAX: (323) 581-1385
BRUCE W. OLSON
Police Chief
FAX: (323) 583-5236
In concurrence with Resolution No. 7646, adopted October 17, 2000, it
is hereby recommended that the City Council continue to authorize the
City Treasurer to invest City funds in securities with a term or term
remaining to maturity, at the time of investment, in excess of five (5)
years. This has been reviewed by the City's Legal Counsel.
Very truly yours,
Bruce V. Malkenhorst
Director of Finance
BVM:ng