Reso 1996-026 to 030 - Laserfiche WebLink

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March 4, 1996 Page 3 of 4 6. Commercial Paper rated prime quality of the highest ranking or of the highest letter and numerical rating as provided for by Moody's or Standard and Poor's. Eligible paper is limited to issuing corporations organized and operating within the United States and having total assets in excess of $500 million and an A or better rating for the insurer's debt other than commercial paper. Maturities of the commercial paper can not exceed 180 days nor represent more than 10% of the outstanding paper of the issuing corporation. Total portfolio purchases shall not exceed 15% of surplus funds or 30% if the average maturity does not exceed 31 days. 7. Medium -Term Corporate Notes with a maximum five year maturity issued by corporations organized and operating in the United States or by depository institutions licensed by the United States, any state or operating within the United States. These securities issued by corporations shall be rated A or better, or the equivalent by Moody's or Standard and Poor's. Total portfolio purchases shall not exceed 30% of the surplus funds. 8. Repurchase Agreements which comply with statutory requirements including a term of one year or less, supported by a written agreement and fully collateralized by delivery to an independent third -party custodian, the counterparty bank's trust or safekeeping department. Reverse Repurchase Agreements may not be utilized without the approval of the City Council. 9. Passbook Savings Account in the form of insured or collateralized demand deposits. If collateral is government securities, 110% of the market face amount of the deposit is required. Promissory notes secured by first mortgages or trust deeds used as collateral require 150% of market value to the face amount of the deposit. Most of the City's short-term investments will be in securities which pay principal and interest upon maturity, while most of its long-term investments will be in securities which pay interest monthly, quarterly or semi-annually. V. Brokers/Dealers Prior to doing business with the City, investment brokers shall file a statement with the Finance Director acknowledging the firm has received and will fully comply with all provisions of this investment policy statement. Securities shall be received by the City's custodial safekeeping agent prior to payment in settlement of the purchase transaction. VI. Reporting This policy shall be reviewed annually with the City Council to insure adequacy related to the objectives of safety, liquidity and yield and its adherence to applicable