Financial Policy Handbook 2017

SECTION 5 - INVESTMENTS The Finance Director shall, in accordance with the Code of Iowa and the City’s Investment Policy, invest all idle funds for the City. For purposes of internal control, the purchase of an investment shall be executed as follows: 1. The Finance Director shall: a. Identify idle funds and determine possible length of investment (type of fund, operating vs. reserve) and date of need i. Operating Funds: 1. If less than 30 days, deposit in savings account or interest bearing checking account.

2. If more than 30 days but less than 365 days, request from the qualified institutions as designated by the Council, requesting rate and calculation method Reserves or Bond Covenant 1. If less than 30 days, deposit in savings account or interest bearing checking account.

ii.

2. If more than 30 days, get quotes from the qualified institutions as designated by the Council, requesting rate and calculation method. NOTE : Check authorized investment types for this category of investment, i.e., Bond Resolutions, etc. b. Advise/consult with the City Manager, term, quote on all rates and recommended activity c. Advise all participating institutions of quote results d. If wire transfer is to be made for an investment, the City Clerk is to proof and verify these entries prior to posting into the accounting system. 2. Reconciliation a. The Finance Assistant shall reconcile all investments ensuring that original documents of the transaction are received from the participating institution and are consistent with monthly and/or quarterly statements.