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
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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.
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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.
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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.)
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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.