HomeMy WebLinkAboutJ-3 Resolution: Investment AccountCity of .~Vliami ~ard~ens
1515-200 NW 167~` Street
Miami Gardens, Florida 33169
Date: August 24, 2007
Fiscal Impact: No ^ Yes X
(If yes, explain in Staff Summary)
Funding Source: Equipment Bond
ContracUP.O. Requirement: Yes No X
Sponsor Name/Department:
Danny O. Crew, City Manager
Aqenda Cover Paqe
Mayor Shirley Gibson
Vice Mayor Barbara Watson
Councilman Melvin L. Bratton
Councilman Oscar Braynon II
Councilman Aaron Campbell Jr.
Councilwoman Sharon Pritchett
Councilman Andr~ Williams
Pubiic hearing ^
Ordinance ^
1st Reading ^
Advertising requirement:
RFP/RFQ/Bid
Title
Quasi-Judicial ^
Resolution X
2nd Reading ^
Yes ^ No X
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MIAMI
GARDENS, FLORIDA, AUTHORIZING THE CITY MANAGER TO
TAKE ANY AND ALL STEPS NECESSARY TO OPEN A STATE BOARD
OF ADMINISTRATION INVESTMENT ACCOUNT; PROVIDING FOR
THE ADOPTION OF REPRESENTATIONS; PROVIDING AN
EFFECTIVE DATE.
Staff Summarv
The Florida State Board of Administration's Local Government Investment Pool (LGIP)
was established under Florida laws in January of 1982. The purpose of this fund was to
provicte local governments with a low risk, fully transparent investment option for their
surplus funds. Investments in this fund earn, on average, about 40 to 50 basis points
more than local Banks and funds may be withdrawn as needed. The City of Miami
Gardens is currently not taking advantage of the additional investment earnings
provided by this account. Currently, the City has all of its funds in the Wachovia
operating account with earnings ranging from 4.75 to 5.00%, the LGIP fund is currently
paying interest at the rate of 5.4%. The majority of municipalities in Florida have
accounts with the SBA since it is an excellent investment tool. If the LGIP were used in
the last fiscal year, we estimate that the City could have potentially increased its
investment earnings by more than $20,000.
Recommendation:
The Administration recommends that Council approve the attached resolution
authorizing the establishment of a State Board of Administration Investment Account.
J-3) CONSENT AGENDA
STATE BOARD OF
ADMINISTRATION
INVESTMENT ACCOUNT
Resolution No.
RESOLUTION No. 2007-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MIAMI
GARDENS, FLORIDA, AUTHORIZING THE CITY MANAGER TO TAKE
ANY AND ALL STEPS NECESSARY TO OPEN A STATE BOARD OF
ADMINISTRATION INVESTMENT ACCOUNT; PROVIDING FOR THE
ADOPTION OF REPRESENTATIONS; PROVIDING AN EFFECTIVE
DATE.
1 WHEREAS, the Florida State Board of Administrations Local Government
2 Investment Pool (LGIP) was established in accordance with Florida law in January of
3 1982, and
4 WHEREAS, the purpose of the LGIP is to provide local governments with a low
5 risk, fully transparent investment option for surplus funds, and
6 WHEREAS, the City of Miami Gardens is not currently investing any of its surplus
7 funds, and could benefit from investing in the LGIP, and
8 WHEREAS, the City Council would like to authorize the City Manager to invest
9 the City's surplus funds with the LGIP,
10 NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
11 OF MIAMI GARDENS, FLORIDA, AS FOLLOWS:
12 Section 1. ADOPTION OF REPRESENTATIONS: The foregoing Whereas
13 paragraphs are hereby ratified and confirmed as being true, and the same are hereby
14 made a specific part of this Resolution.
15 Section 2. AUTHORIZATION: The City Council of the City of Miami Gardens
16 hereby authorizes the City Manager to invest the City's surplus funds with the Florida
17 State Board of Administration's Local Government Investment Pool (LGIP) and to take
18 any and all steps necessary to open the account.
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Section 3. EFFECTIVE DATE: This Resolution shall take effect immediately
upon its final passage.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF MIAMI
GARDENS AT ITS REGULAR MEETING HELD ON SEPTEMBER 12, 2007.
SHIRLEY GIBSON, MAYOR
ATTEST:
RONETTA TAYLOR, CMC, CITY CLERK
Prepared by SONJA KNIGHTON DICKENS, ESQ.
City Attorney
SPONSORED BY: DANNY CREW, CITY MANAGER
MOVED BY:
VOTE:
Mayor Shirley Gibson (Yes) (No)
Vice Mayor Barbara Watson (Yes) (No)
Councilman Melvin L. Bratton (Yes) (No)
Councilman Oscar Braynon, II (Yes) (No)
Councilman Aaron Campbell Jr. (Yes) (No)
Councilwoman Sharon Pritchett (Yes) (No)
Councilman Andre Williams (Yes) (No)
SKD/teh
265317_1.DOC
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