2012-04 Investment Policy Amendment ORDINANCE NO. 2012-04
• AN ORDINANCE OF THE VILLAGE COUNCIL OF THE VILLAGE OF
NORTH PALM BEACH, FLORIDA, AMENDING ARTICLE I, "IN GENERAL,"
OF CHAPTER 2, "ADMINISTRATION," OF THE VILLAGE CODE OF
ORDINANCES BY AMENDING SECTION 2-4, "INVESTMENT POLICY OF
THE VILLAGE," TO MODIFY THE SELECTION CRITERION FOR
QUALIFIED PUBLIC DEPOSITORIES; PROVIDING FOR CODIFICATION;
PROVIDING FOR SEVERABILITY; PROVIDING FOR CONFLICTS; AND
PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the Village's Investment Policy, as set forth in Section 2-4 of the Village Code of
Ordinances, currently requires that qualified public depositories holding Village investments
have a CAEL (Capital Adequacy, Asset Quality, Earnings, Liquidity) Score of 3 or better; and
WHEREAS, after consulting with the State Bureau of Collateral Management, Village
Administration recommended amending the Investment Policy to delete any reference to the
CAEL or CAMEL score, which is generally unpublished, and require that the Village deposit
funds with qualified public depositories with collateral pledge levels of either 25% or 50% as
established by the State; and
WHEREAS, upon consideration of the recommendation of the Audit Committee, the Village
Council has determined that the adoption of this Ordinance is in the best interests of the health,
safety and welfare of the Village and its residents.
NOW, THEREFORE, BE IT ORDAINED BY THE VILLAGE COUNCIL OF THE VILLAGE
OF NORTH PALM BEACH, FLORIDA as follows:
Section 1. The foregoing recitals are ratified as true and correct and are incorporated herein.
Section 2. The Village Council hereby amends Chapter 2, "Administration,"Article I, "In General,"
of the Village Code of Ordinances by amending Section 2-4, "Investment Policy of the Village,"
to read as follows (additional language is underlined and deleted language is stricken-through):
Sec. 2-4. Investment policy of the village.
* *
(t) Authorized investments and pre-qualification. The village may
invest and reinvest, in accordance with the objectives stated in subsection III (c),
in the financial instruments noted in the table inset below. When considering
such investments, the village shall use the following pre-qualification parameters
for specific institutions:
(1) Banks: The Village shall only select a
or-better QPD (Qualified Public Depository) with a collateral
pledge level of 25% or 50% as established by the State Chief
Financial Officer pursuant to Section 280.04. Florida Statutes.
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Section 3. The provisions of this Ordinance shall become and be made a part of the Code of
the Village of North Palm Beach, Florida.
Section 4. If any section, paragraph, sentence, clause, phrase or word of this Ordinance is for
any reason held by a court of competent jurisdiction to be unconstitutional, inoperative or void,
such holding shall not affect the remainder of this Ordinance.
Section 5. All ordinances or parts of ordinances and resolutions or parts of resolutions in
conflict herewith are hereby repealed to the extent of such conflict.
Section 6. This Ordinance shall take effect immediately upon adoption.
PLACED ON FIRST READING THIS 26th DAY OF APRIL. 2012.
PLACED ON SECOND, FINAL READING AND PASSED THIS 10th DAY a MAY, 2012.
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AI VEST:
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VILLAGE CLERK
APPROVED AS TO FORM AND
LEGAL FFICIENCY%
VILLAGE ATTORNEY
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