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<br />REQUEST FOR COUNCIL CONSIDERATION <br /> <br />ITEM DESCRIPTION: Resolution Designating Institutions as Depositories of City Funds for <br />Investment Purposes and Naming the Primary Depository for 2017 <br /> <br />DEPARTMENT HEAD’S APPROVAL: Brenda Davitt <br /> <br />CITY MANAGER’S APPROVAL: <br />No comments to supplement this report ___ Comments attached ___ <br /> <br />Recommendation: <br />To adopt the RESOLUTION DESIGNATING INSTITUTIONS AS DEPOSITORIES OF CITY <br />FUNDS FOR INVESTMENT PURPOSES AND NAMING THE PRIMARY DEPOSITORY FOR <br />2017. <br /> <br />Legislative History: <br />Annually the City must authorize depositories for investment purposes and designate a primary <br />depository to provide traditional banking services such as checking, deposits, electronic transfers, etc. <br />The investment depositories are used to enable the City to invest its funds and maximize interest earnings <br />while minimizing investment risks. <br /> <br />Financial Impact: <br />None <br /> <br />Explanation: <br />Primary Depository - The City’s current primary depository is US Bank. By participating in the <br />Minnesota Municipal Money Market Fund (4M Fund), the City earns a competitive rate on its short term <br />investments and incurs no charges for any of the standard banking services such as electronic funds <br />transfers, deposits, and check clearing. This results in significant savings to the City. The 4M Fund <br />contract with the League of Minnesota Cities requires the use of US Bank as primary depository in order <br />to obtain these free services. We have been very pleased with their services. The continuation of US <br />Bank as the primary depository for the City is recommended for 2017. <br /> <br />Investment Services - To ensure the highest rate of return on our long-term investments the City has <br />obtained the services of two investment money managers, Advantus Capital Management and RBC <br />Global Asset Management. For cash flow and shorter term investments the City utilizes the services of <br />Voyager Asset Management (4M Fund), Wells Fargo Securities LLC, and US Bank Corporate Treasury <br />Division. Continuing our relationships with these institutions is recommended. <br /> <br /> <br /> <br />________________________ <br />Brenda Davitt <br />Finance Director <br /> <br />Attached: Resolution <br />Agenda Section: Consent <br />Report Date January 3, 2017 <br />Council Meeting Date January 10, 2017