Agenda

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Item # 21.

Council Meeting

Meeting Date:	10/13/2020
Department:	Finance
Pillars:	Gold Standard in Financial Health

AGENDA CAPTION:

Present, Discuss, and Consider Action on a Resolution to Approve Texas Cooperative Liquid Assets Securities System (Texas CLASS) as an Authorized Investment.

BACKGROUND:

Texas CLASS is an investment pool option that utilizes all eligible investments as defined by the Public Funds Investment Act (PFIA). Texas CLASS may invest in any or all of the legal investments specified in Sections through 2256.016, of the Act. Such investments may include the following:

• U.S. Treasury Bills, Notes, and Bonds
• Obligations of or guaranteed by U.S. Government Agencies and Instrumentalities
• State and local government obligations (subject to limitation)
• Certificates of Deposits of a State or National Bank domiciled in the State of Texas guaranteed or insured by the FDIC, that meet the requirements of the Act
• Bankers’ Acceptances
• Mutual Funds
• Repurchase Agreements
• Highly Rated Commercial Paper
• Guaranteed Investment Contracts

All investments shall be made with judgment and care, under prevailing circumstances, that a person of prudence, discretion, and intelligence would exercise in the management of the person’s own affairs, not for speculation but for investment, considering the probable safety of capital and the probable income to be derived. Investment of funds shall be governed by the following investment objectives in order of priority: (1) preservation and safety of principal; (2) liquidity; and (3) yield.

RECOMMENDATION:

Administration recomments approval.

Attachments
Resolution - Texas Class 2020
Texas CLASS Information Statement
Texas CLASS Trust Agreement
Texas CLASS Registration Packet