Title
INTERIM INVESTMENT STRATEGY - M. JERMEY, DEPUTY TREASURER FOR THE CITY OF BARRIE
M. Jermey, Deputy Treasurer provided a memorandum to the Finance and Corporate Services Committee concerning the Interim Investment Strategy. He advised of the actions taken to date with respect to the Investment strategy, as follows:
· reviewed the current City of Barrie Investment Policy
· Established a High Yield Savings Account (HYSA)
· Compiled research related to short term investment options
· Engaged in informal discussions with investment brokers
· Gathered investment policy/process information from various comparator municipalities
M. Jermey noted challenges encountered related to cash flow forecasting resulting from growth planning implications and the Development Charges Background study, the limitations related to tools currently available for data collection and a limited selection of short term investment opportunities available on the market. He noted that the $200,000.00 increase to investment income benefitting the tax base will be difficult to achieve as a result of limited short term investment options.
M. Jermey concluded by outlining the proposed update to the structure of the 2015 City of Barrie Investment Policy and discussed the areas of focus in the development of a City of Barrie Investment Process.
Members of the Finance and Corporate Services Committee asked a number of questions and received responses from City staff. A member of the Finance and Corporate Services Committee requested a memorandum on a strategy to close the $200,000.00 gap for investment income related to tax capital reserve transfers.