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Edmore treasurer urges caution on MI CLASS investment; council delays decision
Summary
Treasurer Shirley Drain told the council she was concerned MI CLASS returns vary and funds are not FDIC insured; the council asked Commercial Bank to present options in September and took no action to invest.
The Edmore Village Council discussed adding MI CLASS as an investment option on Aug. 12 but took no action pending further information.
Treasurer Shirley Drain summarized a meeting with a MI CLASS representative and cautioned that MI CLASS yields have varied over recent years and that funds placed in MI CLASS are not FDIC insured. Drain said the village currently has CDs that would guarantee 5% for 12 months and that MI CLASS returns could decline after the election; she said she was "very concerned about what might happen after the election" and urged caution. The clerk and manager noted Commercial Bank offers a sweep account alternative that is FDIC insured but requires more record-keeping.
Councilors asked Commercial Bank to present investment options at the September meeting. No amount was committed and the council did not vote to add MI CLASS as an authorized investment at this meeting.
