Fiscal Note
Adoption of this resolution authorizes the City Treasurer to take advantage of the Wisconsin Investment Series Cooperative as one of the alternatives available for investment of a portion of the City's investment portfolio as future market conditions warrant. No direct budgetary impact.
Title
Authorizing the City to enter into an Intergovernmental Cooperative Agreement to join the Wisconsin Investment Series Cooperative (WISC), designating U.S. Bank National Association and other approved financial institutions as depositories of the City of Madison per Wis. Stats. §34.05, authorizing contracts with PMA Financial Network Inc. and PMA Securities, Inc. and other authorizations necessary for participation in the WISC fund.
Body
WHEREAS, the Wisconsin Investment Series Cooperative (formerly known as the Wisconsin School District Liquid Asset Fund) (the "Fund") is a cooperative investment fund formed on June 23, 1988 pursuant to the Intergovernmental Cooperation Act (now Wis. Stat. §66.0301) through an Intergovernmental Cooperation Agreement relating to the Wisconsin School District Liquid Asset Fund. The Oregon School district and Sheboygan Area School District were the initial participants of the Fund. The original Agreement was amended as of July 15, 1994 and July 12, 2002 (hereafter the "Intergovernmental Cooperation Agreement" or "IGA"); and
WHEREAS, the Fund is governed by the Wisconsin Investment Series Cooperative Commission (the "Commission" or "WISC") and the Commissioners are drawn from financial staff of the school districts and municipalities that are members of the Cooperative; and
WHEREAS; the Madison Metropolitan School District has been an active participant in the Fund for several years and recently WISC has broadened its membership to include cities, villages and counties. The current fund participants and parties to the IGA are listed in the attached table; and
WHEREAS, the City Treasurer advises it is in the best interest of the City to have the option to invest available funds by joining this cooperative and opening an account with WISC, as this Fund provides safety and liquidity for investing money for short periods of time; and
WHEREAS, the City of Madison may invest monies as authorized by Wis. Stat. §66.0603(1m) and in order to become Participants in this Fund, the City must enter into the IGA under Wis. Stat. §66.0301; and
WHEREAS, the Common Council deems it advisable for the City to adopt and enter into the IGA and become a participant of the Fund for the purpose of exercising jointly with other municipalities the power to invest their monies, so as to enhance the investment earnings accruing to each; and
WHEREAS, the Common Council deems it to be advisable for the City to make use from time to time of the Fixed Rate Investment Program available to participants of the Fund, in the discretion of the City Treasurer or his/her designee; and
WHEREAS, WISC has engaged PMA Financial Network, Inc. of Naperville Illinois to administer the Fund; and
WHEREAS, the Common Council deems it advisable for the City to make use of, from time to time, the services provided by PMA Financial Network, Inc., PMA Securities, Inc., U.S. Bank National Association, and/or their affiliates and successors, in connection with the City's utilization of the Fund; and
WHEREAS, WISC has provided a sample resolution that this resolution is based upon;
NOW, THEREFORE, BE IT RESOLVED:
1. Under Wis. Stat. §66.0301, the Common Council of the City of Madison authorizes the City to become a Participant of the Wisconsin Investment Series Cooperative Fund and adopt and enter into the IGA known as the Intergovernmental Cooperation Agreement, identified above. The Mayor and City Clerk are authorized to take such actions and execute any and all such documents as they may deem necessary and appropriate to effectuate the City's entry into the Intergovernmental Cooperation Agreement and utilization of Fund programs;
2. BE IT FURTHER RESOLVED the Common Council authorizes the utilization of Fund programs through PMA Financial Network, Inc., PMA Securities, Inc., U.S. Bank National Association, and/or their affiliates and successors. PMA Financial Network, Inc. is authorized to act on behalf of the City as its agent with respect to Fund accounts and agreements; and to the extent not already authorized by Resolution No. RES-08-00758 (ID#11470) the City Treasurer, Mayor, and City Clerk are authorized to execute agreements with PMA Financial Network, Inc. and PMA Securities, Inc. subject to the City Attorney's approval of the form of those agreements;
3. BE IT FURTHER RESOLVED that the City is 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 Intergovernmental Cooperation Agreement, including investment in the fixed-income program of the Fund through the intermediaries PMA Financial Network, Inc. and PMA Securities, Inc.;
4. BE IT FURTHER RESOLVED THAT the City Treasurer, his/her desginee, and the City Treasurer's successor(s) in office are designated as the "Authorized Official" with full power and authority to effectuate the investment and withdrawal of monies of the City from time to time in accordance with the Intergovernmental Cooperation Agreement and pursuant to the Fixed Rate Investment Program available to participants of the Fund;
5. BE IT FURTHER RESOLVED that the City Treasurer is authorized to serve as a Commissioner on the WISC Commission from time to time if selected as such pursuant to the provisions of the Intergovernmental Cooperation Agreement;
6. BE IT FURTHER RESOLVED that the City may open depository accounts, enter into wire transfer agreements, safekeeping agreements, and lock box agreements or other applicable or related documents with U.S. Bank National Association, and any other institutions participating in the Fund programs pursuant to Wis. Stat. §34.05 and/or Wis. Stat. §66.0603, and the Mayor, City Clerk, and/or City Purchasing agent may execute such agreements upon the recommendation of the Madison City Treasurer or his or her designee and subject to the City Attorney's approval of the form of those agreements;
7. BE IT FINALLY RESOLVED THAT credit unions, banks, savings banks, trust companies and savings and loan associations that are authorized to transact business in the State of Wisconsin, qualify as depositories under Wisconsin law, and are included on a list approved and maintained for such purpose by the Administrator of the Fund, are designated as depositories of the City of Madison pursuant to Wis. Stats. §34.05. Monies of the City may be deposited in such depositories, from time to time in the discretion of the Madison City Treasurer or his or her designee, pursuant to the Fixed Rate Investment Program available to participants of the Fund through the intermediary PMA Financial Network, Inc.