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ITEM: RESOLUTION NO. R2018-09 (INVESTMENT POLICY UPDATE)
A RESOLUTION OF WELLINGTON, FLORIDA'S COUNCIL ADOPTING A REVISED INVESTMENT POLICY FOR THE VILLAGE OF WELLINGTON AND ACME IMPROVEMENT DISTRICT; AND PROVIDING AN EFFECTIVE DATE.
REQUEST: Approval of Resolution No. R2018-09 to update the Investment Policy with an effective date of March 1, 2018.
EXPLANATION: The Village of Wellington is required to periodically review and update its adopted Investment Policy pursuant to Section 218.415, Florida Statutes. The Investment Policy addresses required standards, which must be commensurate with the nature and size of the public funds under a government's custody. Investment policies are required to place the highest priority on safety of the principal and liquidity with return on investments a secondary consideration. The Village's Investment Manager, Public Trust Advisors (PTA), reviewed and recommended changes to the existing policy, which was last changed in October 2013. The Village's auditors, Grau & Associates, have reviewed the changes and concur with the recommended changes. The significant changes are:
* VI. SUITABLE AND AUTHORIZED INVESTMENTS (page 50)
Updated the table of permitted investments for easy reference.
Minimum Rating Requirement
Maturity
Limits
Maximum Allocation Limit
Maximum Issuer Limit
Florida PRIME Fund
AAAm
N/A
25%
N/A
United States Government Securities
N/A
5 Years
100%
N/A
United States Government Agencies (full faith and credit of the United States Government)
N/A
5 Years
50%
25%
Federal Instrumentalities (United States Government Sponsored Enterprises ("GSE") which are non-full faith and credit).*
N/A
5 Years
80%
40%
Mortgage-Backed Securities (MBS) *
N/A
5 Years
20%
15%
Interest Bearing Time Certificates of Deposit or
Saving Accounts
N/A
1 Years
25%
15%
Repurchase Agreements
N/A
90 Days
50%
25%
Commercial Paper**
P-1/A-1
270 Days
25%
5%
Corporate Notes**
single "A" category by two NRSROs***
5 Years
25%
5%
Asset...
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