[HISTORY: Adopted by the Town Board of the Town of Stafford 12-2001. Amendments noted where applicable.]
This investment policy applies to all moneys and other financial resources available for investment by the Town of Stafford.
The objectives of this policy for the Town of Stafford are to:
The Town Board's responsibility for administration of the investment program is delegated to the Supervisor who is the Chief Fiscal Officer of the Town of Stafford. The Supervisor will invest Town monies as authorized by this policy. The Supervisor shall follow procedures that provide a satisfactory level of accountability for Town monies that are invested by him and under his control.
The Supervisor should invest Town monies in a responsible manner as the custodian of the public trust and shall avoid any transaction that might impair public confidence in the Town of Stafford to govern effectively.
Investments should be made with judgment and care, under circumstance in which a prudent person would apply to his/her own affairs, not for speculation, but for investment, and all investments shall be made considering safety of the principal as well as the income to be earned. The investing officer shall refrain from personal business activity that could interfere with his proper execution of his duties on behalf of the Town of Stafford. All investment decisions should be impartial.
Except as approved by the Stafford Town Board, all Town monies shall be deposited in appropriate checking and savings accounts. Excess funds, not needed to meet current operating requirements, shall be invested in certificate of deposits. The Supervisor through inquiry shall obtain the best rate of return on the certificate of deposits. The Town Board shall approve investment of Town monies in other instruments (such as repurchase agreements), other than those included in this section, in advance.
Wherever possible, the Supervisor of the Town of Stafford should attempt to diversify its investments (CDs) among several different banks and should always seek the best rate of return.
Annually the Town Board of the Town of Stafford shall review and authorize the banks and trust companies where the Supervisor may deposit Town funds.
In accordance with General Municipal Law, § 10, all deposits of the Town of Stafford, including certificates of deposit and special time deposits, in excess of the amount insured under the provisions of the Federal Deposit Insurance Act shall be secured by a pledge of eligible securities. The eligible securities pledged should have a market value equal to or in excess of the amount invested by the Supervisor that exceeds federal deposit insurance coverage.
Eligible securities pledged by the bank as collateral shall be held by a third-party bank or trust company subject to the Town's third-party agreement(s) as reviewed and approved by the Attorney for the Town.
The Town Board shall review this investment policy on a yearly basis at the annual organization meeting held in January of each year.