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6.1.A. - Page 4 <br /> Investment Policy <br /> � May �8a-1-2012 <br /> Page 2 of 6 <br /> mature to meet the cash requirements for ongoing operations, thereby avoiding the need to <br /> sell securities prior to maturity. <br /> Liquidity: The Treasurer shall keep the portfolio sufficiently liquid to meet the operating and <br /> capital needs of the City which can be reasonably anticipated from his/her experience of the <br /> City operations and adopted budget. He/she shall also review the various construction and <br /> other contracts the City has entered into to anticipate cash needs. <br /> Return on Investment: Within the safety and liquidity constraints, investment portfolio shall <br /> be designed to attain the market rate of return. <br /> IV. AUTHORITY AND DELEGATION <br /> The authority to invest City funds is assigned to the City Treasurer (Director of Finance) <br /> pursuant to section 34 of the Charter of Redwood City and section 2.33.1 of the Redwood City <br /> code of ordinances. <br /> The Treasurer will be assisted in the management of City funds by a Deputy Treasurer <br /> (designated by the Treasurer). The Deputy Treasurer will be a Finance Department employee <br /> whose primary treasury responsibilities will be supporting the day-to-day treasury management <br /> activities of the City. <br /> V. CASH FLOW AND AVAILABILITY <br /> An average amount of six months cash flow is to be maintained in immediately available <br /> investments, such as the State Treasurer's Local Agency Investment Fund or a similar liquid <br /> instrument. This may include commercial paper. Weekly analysis of cash flow will serve as a <br /> basis for determining the maturity date of investments. <br /> The Treasurer and Deputy Treasurer shall certify each month that enough liquid resources <br /> (including maturities) are available to meet the next six months cash flow requirements. <br /> VI. ACCEPTABLE INVESTMENT INSTRUMENTS <br /> Unless expressly approved in advance by the City Council all investments must be made in <br /> accordance with this policy and State of California Government Code Sections 53600 et.seq. <br /> The Council may, as part of a bond issuance, direct or authorize staff to invest bond reserve <br /> funds in investment instruments authorized by the California Government Code that are not <br /> contained within this policy. <br /> The City investment portfolio may include the following instruments: <br /> • Certificates of Deposit purchased from banks <br /> • Bankers Acceptances <br /> • Treasury Bills, Notes, and Bonds <br />