Report:

Investment Oversight Committee

Synopsis:

The Investment Oversight Committee met Friday, February 7, 1997 and discussed various issues detailed in the Committee report. The next Investment Oversight Committee meeting is Friday, May 2, 1997 at 12:00 noon in Conference Room CC8.

Recommended Action:

Receive and File this report.

Jon D. Mikels, Chairman
Investment Oversight Committee

Attendance:

Present were Committee Chairman Jon Mikels and Committee Members Jim Silva, Gary Burton and Mary Simpson. Absent were Mee Lee and Barbara Steckel.

Investment Committee Discussion Items:

Quarterly Report of Investments: Review of quarterly investment report to Governing Board. The committee received and filed this report.

Discussion of Investments in State & Local Agency Obligations: A representative of the Los Angeles County Treasurer explained the Pooled Surplus Investment Portfolia (PSIP) investments in County Bond Anticipation Notes and answered questions from the Committee. ACTION: The Committee directed staff, with the assistance of AQMD’s investment consultant, to review the investment documents establishing the bond anticipation note program and provide to the Committee its comments.

Draft AQMD Investment Policy/Annual Appointment of Treasurer: The Committee reviewed the draft Investment Policy for the AQMD and recommended additional language to the policy clearly stating the prohibition against investments in derivatives. In addition, a recent change to state law requiring that local agencies annually renew their authorization to their treasurer to invest or reinvest local agency funds was discussed. The revised AQMD Investment Policy and annual delegation of authority to Los Angeles County Treasurer to invest and reinvest AQMD funds was recommended for approval at the March 14, 1997 meeting of the Governing Board.

Other Business:

None

Public Comment:

None