[HISTORY: Adopted by the Board of Trustees of the Village of Cayuga Heights 4-2-1990; amended 4-4-1993. Amendments noted where applicable.]
[Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I)]
The Village of Cayuga Heights Board of Trustee's responsibility for administration of the investment program is delegated to the Village Treasurer who shall establish written procedures for the operation of the investment program consistent with these investment guidelines. Such procedures shall include an adequate internal control structure to provide a satisfactory level of accountability based on records incorporating description and amounts of investments, transaction dates, and other relevant information.
In accordance with this policy, the Village Treasurer, the chief fiscal officer, is hereby authorized to invest all funds, including proceeds of obligations and reserve funds, in:
A. 
Obligations issued, or fully insured or guaranteed as to the payment of principal and interest, by the United States of America, an agency thereof or a United States government-sponsored corporation.
B. 
Obligations issued or fully insured or guaranteed by the State of New York, obligations issued by a municipal corporation, school district, or district corporation of such state or obligations of any public benefit corporation which under a specific state statute may be accepted as security for deposit of public moneys.
C. 
Certificates of deposit issued by a bank or trust company authorized to do business in New York State.
D. 
Time deposit accounts in a bank or trust company authorized to do business in New York State.
A. 
Eligible securities used for collateralizing deposits shall be held by the depository and/or a third party bank or trust company subject to security and custodial agreements.
B. 
The security agreement shall provide that eligible securities are being pledged to secure the Village's deposits together with agreed interest, if any, and any costs or expenses arising out of the collection of such deposits upon default. It shall also provide the conditions under which the securities may be sold, presented for payment, substituted or released and the events which will enable the local government to exercise its rights against the pledged securities. In the event that the securities are not registered or inscribed in the name of the local government, such securities shall be delivered in the form suitable for transfer or with an assignment in blank to the Village of Cayuga Heights or its custodial bank.
C. 
The custodial agreement shall provide that securities held by the bank or trust company, or agent of a custodian for the local government, will be kept separate and apart from the general assets of the custodial bank or trust company and will not, in any circumstances, be commingled with or become part of the backing for any other deposit or other liabilities. The agreement should also describe that the custodian shall confirm the receipt, substitution or release of the securities. The agreement shall provide for the frequency of revaluation of eligible securities and for the substitution of securities when a change in the rating of a security may cause ineligibility. Such agreement shall include all provisions necessary to provide the local government a perfected interest in the securities.
Payment shall be made by or on behalf of the Village for obligations of New York State, obligations the principal and interest of which are guaranteed by the United States, United States obligations, certificates of deposit, and other purchased securities upon the delivery thereof to the custodial bank or, in the case of a book-entry transaction, when the purchased securities are credited to the custodial bank's Federal Reserve System account. All transactions shall be confirmed in writing.
Written contracts are required for certificates of deposit and custodial undertakings. With respect to the purchase of obligations of the United States, New York State, or other governmental entities, etc., in which moneys may be invested, the interests of the Village will be adequately protected by conditioning payment on the physical delivery of purchased securities to the Village or custodian or, in the case of book-entry transactions, on the crediting of purchased securities to the custodian's Federal Reserve System account. All purchases will be confirmed, in writing, to the Village.
Official depositories shall be designated at the Village's annual organizational meeting, the first Monday of April.
All trading partners must be credit worthy. Investments in time deposits and certificates of deposit are to be made with banks or trust companies. Their annual reports must be reviewed by the chief fiscal officer to determine satisfactory financial strength.
A. 
The chief fiscal officer shall authorize the purchase and sale of certificates of deposit on behalf of the Village. Oral directions concerning the purchase or sale shall be confirmed in writing. The Village will encourage the purchase of certificates of deposit through a competitive or negotiated process involving telephone solicitation of at least two bids for each transaction.
B. 
Within 60 days of the end of each of the first three quarters of the fiscal year, the chief fiscal officer shall prepare and submit to the Board of Trustees of the Village a quarterly investment report which indicates new investments, the inventory of existing investments, and such other matters as the chief fiscal officer deems appropriate.
C. 
Within 120 days of the end of the fiscal year, the chief fiscal officer shall prepare and submit to the Board of Trustees an annual investment report, any recommendations for change in the investment policy, income record, a list of total fees, if any, paid to the custodial bank and such other matters as the chief fiscal officer deems appropriate.
D. 
At least annually and, if practicable, at the annual meeting of the Board of Trustees, the Trustees shall review and amend, if necessary, this investment policy.
E. 
The provision of this investment policy and any amendments hereto shall take effect prospectively; and shall not invalidate the prior selection of any custodial bank or prior investment.