HomeMy WebLinkAboutORDINANCE 1833-1999
Suggested by: Administration
City of Kenai
ORDINANCE N0. 1833-99
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA,
EXTENDING THE TERM FOR INVESTMENT MATURITIES FROM TWO YEARS
TO FIVE YEARS AND CHANGING LIQUIDITY REQUIREMENTS.
WHEREAS, current investment policy limits the length of time for any
individual investment to a maximum maturity of two years; and
WHEREAS, liquidity needs are met by short term investments; and
WHEREAS, interest revenue can be significantly increased by extending the
allowable maturity from two years to five years on a portion of the portfolio.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
KENAI, ALASKA, that the Kenai Municipal Code Chapter 7.22 is hereby
amended as follows:
7.22.040 Maturities.
Investments shall have maturities, measured from the date of
purchase, that do not exceed [TWO] five years, except for
investments that shall be put to specific uses (such as defeasance
of debt or establishment of a sinking fund) where the matching of
maturity to the use is important.
7.22.060 Liquidity.
Liquidity shall be assured through investments in marketable
[U. S. TREASURY BILLS, U. S. TREASURY NOTES] authorized
investments with existing maturities of one year or less, short-
term repurchase agreements, a State authorized investment pool,
or money market funds. At least twenty percent (20%) of the
portfolio shall be held in such instruments.
No more than thirty percent (30%) of the portfolio maybe invested
in securities with maturities of loner than two tears.
Ordinance No. 1833-99
Page Two
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 7th day of
July, 1999. _
ATTEST:
Carol L. Freas, City Clerk
Introduced; June 16, 1999
Adopted: July 7, 1999
Effective: July 7, 1999
Approved by Finance:-~`~-
(6/8/99) kl