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Ross Council Authorizes Time Value Investments as Town Broker for Longer‑term Funds
Summary
The Town Council unanimously authorized the town manager to transact investment activity with Time Value Investments (TVI) as an investment broker after a presentation on using laddered government bonds and CDs to diversify returns; council required regular reporting and a finance‑committee check‑in.
The Ross Town Council on Nov. 20 voted unanimously to authorize the town manager to transact investment activity with Time Value Investments (TVI) as the town’s broker, a change from the town’s long‑standing reliance on the Local Agency Investment Fund (LAIF).
Finance subcommittee members had recommended the change after presentations by Aaron of Time Value Investments, who told the council the firm focuses on U.S. government bonds and federally insured certificates of deposit and would work with town staff to identify funds that are not needed for near‑term cash flow. Aaron said the firm’s typical compensation is transactional—built into the purchase price of securities—rather than an ongoing asset‑management fee, and that purchases would be non‑discretionary (staff would approve each transaction). He noted a statutory 30% limit on CDs but said there is no statutory cap on government bonds.
Town Manager Krista Johnson told the council that staff would work with TVI to identify interim funds appropriate for longer maturities and that routine reporting would continue; several council members asked for semiannual check‑ins with the finance subcommittee.
Council members pressed for clarity about fees, liquidity, and statutory limits. Aaron said commissions on government bonds typically run about 5–10 basis points and that proposed yield projections shown to the subcommittee were net of the firm’s compensation. He described laddered portfolios (maturities spread up to five years) designed to smooth LAIF’s short‑term yield volatility while keeping safety and liquidity high.
The council motion—moved by speaker 12 and seconded by speaker 11—was approved on a 5‑0 roll call. The town manager will work with TVI and present periodic updates to the finance subcommittee and quarterly investment reports to the council.
The authorization does not commit all town funds to the broker; staff and the firm will identify specific funds that can be invested for longer terms without impairing liquidity for operations or property‑owner deposits.
