Council adopts updated investment policy; directs staff to craft investment-advisory committee plan

The City Council on Oct. 5 adopted Ordinance 2025-13, approving edits to the city—s Investment Policy Statement (IPS) and directing staff to prepare a draft ordinance to create an investment advisory committee for later council consideration. The council—s finance director presented the administrative edits and council members discussed committee membership and scope.

Council action came after a series of textual cleanups to the IPS, including removing a nominee clause in the safekeeping section, changing certain references from "report" to "provide," and specifying that monthly reconciliations should be to the reports of the investment adviser rather than the city's internal records. The ordinance was adopted on a recorded roll call vote with all members present voting "yes."

The measure matters because the city has roughly $40 million in cash and uses an external investment adviser, Fifth Third, to manage part of the portfolio. Several council members said regular oversight helps ensure value for taxpayers and recommended a narrow, annual review by outside professionals. One council member described the proposed committee as a limited, largely once-a-year review that would evaluate adviser performance and, if needed, assist with a future request for proposals.

During discussion, council members stressed three constraints: the committee should not micro-manage day-to-day investment decisions, it should meet infrequently (the prevailing description was once a year), and resident members should have active, professional investment experience — ideally people who work daily in bond markets and can ask technical questions about individual securities and allocation choices. Several speakers noted the city recently broadened its allowable investments to include corporate bonds in addition to agencies and treasuries, which increases the need for technical expertise in evaluating performance.

Council members described a preliminary membership mix discussed by staff: two council members, the mayor and up to three resident members. Multiple speakers said council representation should remain to ensure governance ties between staff and elected officials. One council member asked staff to draft language that raised the minimum qualification standard for residents serving on the investment advisory committee beyond the general qualifications used for other citizen committees.

Council direction: staff was asked to draft a comprehensive ordinance reflecting the comments heard tonight, to include an elevated qualifications section for the investment advisory committee, and to return it for formal action in a future meeting. The council also asked that any motion to adopt the IPS include the amendments discussed at the meeting in the official record.

Ending: The council completed a roll call on the ordinance after the discussion and adopted Ordinance 2025-13. Staff will prepare the advisory-committee ordinance language and share a draft with council before it is formally introduced.