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HomeMy WebLinkAbout4.a. Approve Use of Minnesota Municipal Money Market Fund for InvestingCITY OF ROSEMOUNT EXECUTIVE SUMMARY FOR ACTION ,CITY COUNCIL MEETING DATE: JANUARY 2, 1991 AGENDA ITEM: APPROVING USE OF MINNESOTA AGENDA SECTION: MUNICIPAL MONEY MARKET FUND FOR INVESTING ORGANIZATIONAL MEETING PREPARED BY: STEPHAN JILK, �.i. AGENEnIVI 4, 4A ADMINISTRATOR - ATTACHMENTS: RESOLUTION APP VED LMC INFORMATION ON MONEY FUND The Minnesota Municipal Money Market Fund has been in operation, through a Joint Powers Agreement with other cities, since 1987. It has become increasingly popular as one method of investing for cities because of the higher rates of return and, slowly, its convenience in use. I have copied information on the program to you. I am recommending your approval for the City to enter into the Joint Powers Agreement which allows us to utilize the program if we choose to do so. Adopting the resolution allowing us to utilize the program does not require us to do so but gives us the opportunity. RECOMMENDED ACTION: To adopt a resolution authorizing entry into a Joint Powers Agreement in the form of a Declaration of Trust Establishing an entity known as "Minnesota Municipal Money Market Fund" and authorizing participation in certain investment programs connected therewith. COUNCIL ACTION: Adopted resolution. CITY OF ROSEMOUNT DAKOTA COUNTY, MINNESOTA RESOLUTION 1991 - A RESOLUTION AUTHORIZING ENTRY INTO A JOINT POWERS AGREEMENT IN THE FORM OF A DECLARATION OF TRUST ESTABLISHING AN ENTITY KNOWN AS "MINNESOTA MUNICIPAL MONEY MARKET FUND" AND AUTHORIZING PARTICIPATION IN CERTAIN INVESTMENT PROGRAMS IN CONNECTION THEREWITH WHEREAS, the Minnesota Statutes Section 471.59 (the Joint Powers Act) provides among other things that governmental units, by agreement entered into through action of their governing bodies, may jointly or cooperatively exercise any power common to the contracting parties; and WHEREAS, the Minnesota Municipal Money Market Fund was formed in January 1987 pursuant to the Joint Powers Act by the adoption of a joint powers agreement in the form of a Declaration of Trust by a group of Minnesota Municipalities acting as the initial Participants thereof; and WHEREAS, the Declaration of Trust has been presented to the Rosemount City Council; and WHEREAS, the Declaration of Trust authorizes municipalities of the State of Minnesota to adopt and enter into the Declaration of Trust and become Participants of the Fund. Municipality shall mean city, county, town, public authority, public corporation, public commission, special district, and any "instrumentality" (as that term is defined in the Joint Powers Act) of a municipality and WHEREAS, the City Council of the City of Rosemount deems it to be advisable for this municipality to adopt and enter into the Declaration of Trust and become a Participant of the Fund for the purpose of the joint investment of this municipality's monies with those of other municipalities so as to enhance the investment earnings accruing to each, and WHEREAS, the City Council of the City of Rosemount deems it to be advisable for the City of Rosemount to make use from time to time, in the discretion of the officials of the municipality identified in Section 2 of the following Resolution, of the Fixed -Rate Investment Program available to Participants of the Fund. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: Section 1. The City of Rosemount shall join with other municipalities (as such term is defined in the Declaration of Trust) in accordance with the Joint Powers Act by becoming a Participant of the Fund and adopting and entering into the Declaration of Trust, which is adopted by reference herein with the same effect as if it had been set out verbatim in this resolution, and a copy of the Resolution 1991 - Page 2 Declaration of Trust shall be filed in the minutes of the meeting at which this Resolution was adopted. The Mayor and the City Clerk are hereby authorized to take such actions and execute any and all such documents as they may deem necessary and appropriate to effectuate the entry of this municipality into the Declaration of Trust and the adoption thereof by this municipality. Section 2. This municipality is hereby authorized to invest its available monies from time to time and to withdraw such monies from time to time in accordance with the provisions of the Declaration of Trust. The following officers and officials of the municipality and their respective successors in office each hereby are designated as "Authorized Officials" with full powers and authority to effectuate the investment and withdrawal of monies of this municipality from time to time in accordance with the Declaration of Trust and pursuant to the Fixed -Rate Investment Service available to Participants of the Fund: Don Darling, Finance Director Jeff May, Deputy Finance Director Stephan Jilk, City Administrator The Clerk shall advise the Fund of any changes in Authorized Officials in accordance with procedures established by the Fund. Section 3. The Trustees of the Fund are hereby designated as having official custody of this municipality's monies which are invested in accordance with the Declaration of Trust. Section 4. Authorization is hereby given for members of the Board of Directors of the League of Minnesota Cities to serve as Trustees of the Fund pursuant to the provisions of the Declaration of Trust. Section 5. State banks, national banks, and thrift institutions located either within or without the State of Minnesota which qualify as depositories under Minnesota law and are included on a list approved and maintained for such purpose by the Investment Advisor of the Fund.are hereby designated as depositories of this municipality pursuant to Minnesota Statutes Section 118.005 and monies of this municipality may be deposited therein, from time to time in the discretion of the Authorized Officials, pursuant to the Fixed -Rate Investment Service available to Participants of the Fund. It is here by certified that the City of Rosemount duly adopted this Resolution at a duly convened meeting of the Rosemount City Council held on the 2nd day of January, 1991, and that such Resolution is in full force and effect on this date, and that such Resolution has not been modified, amended, or rescinded since its adoption. Adopted this 2nd day of January, 1991. Resolution 1991 - Page 3 ATTEST: Susan M. Johnson, City Clerk Motion by: Voted in favor: Voted against: Vernon J. Napper, Mayor Seconded by: League of Minnesota Cities 183 University Ave. East St. Paul, MN 55101.2526 (612227-5600 (FAX: 221.0986) December 20, 1990 TO: Mayors, Managers, Clerks and Finance Directors SUBJECT: Minnesota Municipal Money Market Fund (4M Fund) As 1990 comes to a close, I would like to bring you up-to-date on the Minnesota Municipal Money Market Fund (4M Fund) which now has accounts representing 203 local government entities. Our money market fund has grown to over $70 million. An additional $95 million is invested in Certificates of Deposit. Cities, large and small, throughout the state have joined this program and continue to use it because it is -safe, easy to use, and improves their investment earnings. A list of those cities and other local govenment members is enclosed for your information. In 1990 we also added an important new lock box feature which facilitates direct deposits on state funds. In your December council meeting, many of you will be naming depositories for the upcoming year. I would like to urge you to consider adopting the enclosed model resolution (pp. 3 and 4 of the application). There is no cost, nor any obligation, if you join. Membership simply gives you access to the fund when, and if, you decide to invest with us. 4M Fund Investment Services *Daily money market fund *Free checking (we print the checks, no draft charges) *Jumbo CDs *Commercial paper, Treasury bills, agency discount notes *Deposit by telephone *Daily, monthly and quarterly statements --easy to use *Lock box for state funds I urge you to give Kathleen Callahan or Cyndi Castle a call at 1-800-333-6000 ext. 6423 (outside of the Twin Cities) or 342-6423 (within the metro area) to get additional information about the fund before the new year begins. Or better yet, if you have any questions, call one of the cities on this list to find out how they use the 4M Fund. b-inrere1y, Donald A. Slater Executive Director 4M FUND PARTICIPANTS= City of Aitkin City of Eagle Lake City of Maplewood City of Roseau - FRA City of Akeley Eagle Lake Fire Dept City of Marshall City of Rush City City of Albert Lea City of East Bethel City of Mazeppa City of Sacred Heart ALF Ambulance Service City of E. Grand Forks City of Melrose City of Sauk Centre Alexandria BPW City of Eden Valley City of Menahga City of Sauk Rapids City of Altura City of Edina Assn of Metro Munic. City of Shakopee City of Andover Elbow Lake Munic. Pwr Metro Lib. Sere. Agency Shakopee Pub. Util. Comm. City of Annandale City of Elk River Mid -Minn Dev. Comm. Town of Silver Creek City of Anoka City of Falcon Heights City of Minneota City of Skyline City of Arden Hills City of Faribault City of Minnesota Lake City of Sleepy Eye City of Arlington City of Farmington MN Police Dept. RS South Hennepin HSC City of Ashby City of Fergus Fails City of Minnetonka City of South St. Paul City of Babbitt City of Fosston City of the Village of S. Lake Minnetonka PSD City of Backus City of Frazee Minnetonka Beach South Washington Cty. Cable Town of Balkan City of Gilbert City of Montevideo Spring Lake Park FR City of Barnum City of Grand Marais City of Monticello City of St. Anthony City of Baxter Grand Marais Pub. Util. City of Moorhead St. Anthony HRA City of Becker City of Ham Lake Moorhead PSD City of St. Charles Becker County HRA City of Hancock City of Morris City of St. Cloud City of Big Lake City of Hawley City of Motley City of St. James City of Bird Island City of Hermantown City of Mound City of St. Louis Park City of Biwabik City of Hinckley City of Mountain Lake St. Louis Park EDA City of Blackduck City of Hoyt Lakes City of Nashwauk City of St. Michael City of Blaine City of Hugo City of New Brighton City of St. Paul Bloomington HRA City of Humboldt City of Nisswa City of Starbuck Brainerd Wtr & Lght City of Iron Junction City of North Branch. City of Stewartville City of Brainerd City of Jackson City of North St. Paul City of Stillwater City of Brandon City of Lake Benton City of Northfield City of Thief River Falls City of Breezy Point City of Lake City City of Oakdale City of Tonka Bay City of Brooten City of Lake Park Town of Oakport Tower-Breitung Wstewtr Bd City of Brownsdale City of Lakefield City of Olivia City of Tracy City of Buhl City of Lakeland Shores(2) City of Onamia Traverse Des Sioux Lib. City of Cannon Falls City of Lakeville City of Oronoco City of Two Harbors City of Carlos League of MN Cities City of Ortonville City of Victoria City of Case Lake City of L e.Sueur City of Osakis City of Virginia City of Champlin City of Lester Prairie City of Park Rapids City of Wadena City of Circle Pines City of Lexington City of Parkers Prairie City of Waite Park City of Coleraine City of Lino Lakes Paynesville Township City of Watertown City of Cook City of Little Canada City of Pelican Rapids City of Waterville City of Cosmos City of Little Falls City of Pequot Lakes City of Wayzata City of Crosslake Local Gov't. Info. Sys. Pequot Lakes FRA City of West St. Paul City of Crystal City of Loretto City of Pine City West Mississippi Watershed Town of Crystal Bay City of Luverne City of Prior Lake Management Dakota County HRA City of Lynd Ramsey County Lg LG City of Willmar City of Deephaven City of Mabel Red Lake County City of Windom City of Deer River City of Madison Lake City of Red Lake Falls City of Winona City of Deerwood City of Mahnomen Red Lake Falls FR City of Winsted City of Delano City of Mahtomedi City of Red Wing City of Woodbury Delano Mun. Util. City of Mankato City of Remer City of Worthington City of Dodge Center City of Maple Grove Rice County Dist.Hptl. Dover-Eyota, St. Charles City of Maple Lake City of Richfield Sanitary District City of Maple Plain Town of Rogers ' 204 as of November 15, 1990 HOW TO OPEN ACCOUNTS WITH THE FUND Any Minnesota municipality may join the Fund as a participant and take advantage of its investment program. Municipality shall mean city, county, town, public authority, public corporation, public commission, special district, any other political subdivision, and any "instrumentality" (as that term is defined in the Joint Powers Act) of a municipality. A participant does not need to maintain any minimum investment in its account and there is no minimum initial investment. A municipality that wishes to open one or more accounts with the Fund and become a participant should complete Forms A and B. 1. FORM A (Model Resolution). The governing board of the municipak,'must adopt a Resolution in the model form provided. The Resolution authorizes the municipality to become a participant of the Fund and adopts the Declaration of Trust. It also designates the officials of the municipality who are authorized to effect transactions with the Fund. This form must be completed with the name of the municipality, the names and titles of Authorized Officials, and the signature of the Clerk/Treasurer of the municipality and must be sent to the Fund's sub -administrator, Cadre Con- sulting Services, Inc. along with the Registration Form (FORM B). It is only necessary to submit Form A (Model Resolution) for the first account opened by the municipality. 2. FORM B (Registration Form). This form must be completed for EACH account opened by the municipality with all applicable information about the municipality, and the depository bank(s) of the municipality and must be signed by the council president (or chair) and Clerk/Treasurer of the municipality. If the municipality elects to use the optional Checkwriting Service, that section of this form must be com- pleted. Upon receipt of the form, Cadre Consulting Services Inc. will supply the municipality with certain information about its account, such as an account number. The municipality may then make its initial investment of monies following the "Instructions for Deposits and Withdrawals" guide. Upon the Fund's receipt and acceptance of the forms and documents referred to above, the municipality will be a Participant of the Fund. A municipality that wishes to take advantage of any of the optional services offered by the Fund should complete the applicable forms listed below, and mail them along with Forms A and B to Cadre Consulting Services Inc. I FORM C (Model Automated Clearinghouse/ Depository Transfer Authorization Let- ter). If the municipality chooses to use this optional service, a letter in the model form provided should be typed on the municipality's letterhead, signed by one of the Authorized Officials designated in Section 2 of the Model Resolution (Form A) and sent to the municipality's depository bank. A voided blank check relating to the municipality's account at the depository and a copy of the letter must be sent along with the Registration Form (FORM B) to Cadre Consulting Services Inc. - 1 - 4. FORM D (Model Fixed -Rate Investment Service Letter). If the municipality chooses to use the optional Fixed -Rate Investment Service made available through Cadre Consulting Services, Inc., a letter in the model form provided should be typed on the municipality's letterhead, signed by one of the Authorized Officials designated in Section 2 of the Model Resolution (Form A), and sent along with the Registration Form (FORM B) to Cadre Consulting Services, Inc. For more information regarding the opening of an account, or the use of any of the optional services available to participants of the Fund, please call Cadre toll-free 1-800- 221-4524 or Piper Capital Management toil -free at 1-800-333-6000, ext. 6423. Note: All completed forms and documents contained in this booklet should be mailed to the Fund's Sub -Administrator at the following address: Cadre Consulting Services, Inc., 400 Post Avenue, Westbury, New York 11590. IPM FORM B MINNESOTA MUNICIPAL MONEY MARKET FUND REGISTRATION FORM 1. BASIC INFORMATION Name of City, County, Town, Public Authority, Public Corporation, Public Commission, Special District, or Instrumentality (hereinafter the "municipality"). Address Attention Telephone Number Federal Identification Number II. WITHDRAWAL INFORMATION AND AUTHORIZATION Authorization is hereby given for the fund to honor any request, believed by it to be authentic, for the withdrawal, in whole or in part, of the monies of the municipality from the Fund. Unless withdrawn by means of the checkwriting privilege afforded to Par- ticipants of the Fund, monies of the municipality withdrawn from the Fund shall be wire transferred by the Fund only to the bank account of the municipality listed below: Bank Name Account Number Bank Address Ill. CHECKWRITING OPTION The municipality wishes to use the optional Checkwritinq Service: Yes No (circle one) If yes, the number of Fund account checks initially required for use by the municipality is: 250 500 Other (please fill in amount) Please check here if your municipality would like a specification sheet for com- puterized checks. (Please allow 3-4 weeks for delivery of your free checks). IV. INFORMATION STATEMENT AND DECLARATION OF TRUST It is hereby certified that the municipality has received a copy of the Information State- ment of the Fund and the Declaration of Trust creating the Fund, and agrees to be bound by the terms of such documents. -5- V. EFFECTIVENESS OF REGISTRATION FORM The information, certifications, and authorizations set forth on this Registration Form shall remain in full force and effect until the fund receives written notification of a change. VI. AUTHORIZED SIGNATURES This Registration Form must be signed by the Council President (or Chair) and the Clerk/Treasurer of the municipality in order for the municipality to become a Participant of the Fund. Typed Name of Council President (or Chair) Signature Typed Name of Clprl,/Trnas::r yr Signature Date Date Mail this form to: Cadre Consulting Services Inc., 400 Post Avenue, Westbury, New York 11590. M MODEL FORM C MINNESOTA MUNICIPAL MONEY MARKET FUND AUTOMATED CLEARING HOUSE DEPOSITORY TRANSFER AUTHORIZATION LETTER (insert name and address of depository) (Insert appropriate bank account number) Gentlemen: As a depository of (insert name of municipality) you are hereby authorized and directed to honor EFT transactions for the purpose of withdrawing monies from the account desig- nated above as a' deposf of y transfer account of the above -i laded i i ►u� �icipaiity. You are directed to honor such withdrawals if they are payable to First National Bank of Minne- apolis for credit to the Minnesota Municipal Money Market Fund. This letter shall constitute sufficient and continuing authority, until revoked in writing, for you, as an authorized depository of the municipality, to honor such transactions. Sincerely, (Signature of Authorized Official) (Title) (Dated) Note: If the municipality chooses to use this service, this model letter should be com- pleted with information about the depository bank, typed on the municipality's letterhead, signed by one of the Authorized Officials designated in Section 2 of the Model Resolution (FORM A), and sent to the depository bank. Please remember to fill in the name of the municipality; the bank name? and address, and the bank account number .A here in ji_ cated. A copy of this letter, and a voided blank check relating to the municipality's ac- count at such depository bank should be attached to the completed Registration Form (Form B) and sent to : Cadre Consulting Services Inc., 400 Post Avenue, Westbury, New York 11590. (Allow 3 to 4 weeks before receiving your identification number.) -7- MODEL FORM D MINNESOTA MUNICIPAL MONEY MARKET FUND FIXED-RATE INVESTMENT SERVICE LETTER Minnesota Municipal c/o Cadre Consultingq 400 Post Avenue Westbury, New York Gentleman: Money Market Fund Services Inc. 11590 This letter will authorize the wire transfer of monies from the Minnesota Municipal Money Market Fund account or accounts of (insert name of municipality) to pay for certificates of deposit purchased by the municipality to be issued in its name under the optional "Fixed -Rate Investment Service" available to Participants of the Fund through its Ad- ministrator and Sub -Administrator. Sincerely, (Signature of Authorized Official) (Title) (Dated) Note: If the municipality chooses to use this service, this model letter should be typed on the municipality's letterhead, signed by one of the Authorized Officials designated in Section 2 of the Model Resolution (FORM A) and sent along with the Registration Form (FORM B) to Cadre Consulting Services Inc. at the above address.