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Maturities of over 18 months must be invested to coincide with a specific anticipated need <br />(capital project funds, contractor payments, bond payment dates) and may be utilized with the <br />approval of the Finance Director. <br />Unless matched to a specific cash flow (ORS 294.135), the City will not invest in securities <br />maturing more than three years from the date of purchase. Investment of capital project funds <br />will be timed to meet projected contractor payments. <br />COMPETITIVE SELECTION OF BIDS OR OFFERS <br />Before the City invests funds or sells securities prior to their maturity, competitive offers or bids <br />need to be obtained. Ideally, bids or offers from three different sources should be obtained. <br />Records will be kept of the investment transactions by completing the Security Quote Form - <br />Exhibit One. If a specific maturity date is required, either for cash flow purposes or for <br />conformance to maturity guidelines, offers or bids will be requested for instruments which meet <br />the maturity requirement. <br />The City will accept the offer or bid which provides the best price within the maturity required <br />and within the parameters of this policy. <br />QUALIFIED INSTITUTIONS <br />The investment officer will maintain a list of all security brokers/dealers and fmancial <br />institutions which are approved for investment purposes or investment dealings. The City will <br />limit all investment activities to the institutions on this list. <br />Written procedures and criteria for selection of financial institutions and securities dealers will <br />be maintained by the investment officer. Securities dealers not affiliated with a bank are <br />required to have an office in Oregon. Any firm is eligible to make application to provide <br />investment services to the City, and will be added to the list if the selection criteria are met. <br />Additions or deletions to the list will be made at the City's discretion. <br />At the request of the City, the firms performing investment services will provide their most <br />recent financial statements or Consolidated Report of Conditions (call report) for review. The <br />City will conduct an annual evaluation of each firm's credit worthiness to determine if it should <br />remain on the list. Further, there should be in place, proof as to all the necessary credentials and <br />licenses held by employees of the broker/dealers who will have contact with the City of <br />Springfield as specified by but not necessarily limited to the National Association of Securities <br />Dealers (NASD), Securities and Exchange Commission (SEC, etc.) <br />SAFEKEEPING AND COLLATERALIZATION <br />Purchased investment securities will be delivered by either Fed book entry, DTC, or physical <br />delivery, and held in third party safekeeping -registered to the City of Springfield -with a <br />designated custodian. The trust department of a bank may be designated as custodian for <br />safekeeping securities purchased from that bank. The purchase and sale of securities will be on a <br />delivery versus payment basis. The custodian shall issue a safekeeping receipt to the City listing <br />2005 MWMC Financial Plan -Appendix IV Page 50 <br />