(A) The Mayor or his designated representative shall, as practicable, invest the proceeds of all city bonds and other securities and all money set aside for the payment of, or placed in a reserve fund for, such bonds and other securities until the money is needed for the purposes designated in the ordinance or resolution of the city authorizing the issuance of, or otherwise relating to, such bonds or other securities. Income from these investments shall be applied to the payment of principal of, premium, if any, and interest on the bonds, for the purposes for which the bonds were issued, to fund any debt service or other reserve account relating to the bonds or other securities, to pay rebate, penalty, interest and other obligations of the city relating to the bonds or other securities under the Internal Revenue Code of 1986, as amended, including any regulations applicable under the code, to pay the costs and expenses of issuing and administration of the bonds or other securities or for the other related purposes set forth in any resolution or ordinance of the city relating to the bonds or other securities.
(B) Notwithstanding any other provision of law to the contrary, proceeds of the bonds and other securities of the city and amounts set aside by the city in a sinking fund or otherwise for the payment of city bonds and other securities or in a reserve fund relating thereto may be invested in:
(1) The securities listed in § 4-1-10.
(2) Deposits which are fully insured by the Federal Deposit Insurance Corporation or which are secured by obligations described in divisions (A) and (B) of § 4-1-10.
(3) Any other investment specifically permitted by the ordinance authorizing the issuance of the bonds or other securities or set forth in an indenture, escrow agreement or trust agreement, approved by the Council, relating to the bonds or other securities.
(4) Obligations, the interest on which is excluded from gross income of the recipient for federal income tax purposes and in any other instrument which does not constitute "investment property" under Section 148 of the Internal Revenue Code, as amended from time to time, which is rated in any of its three highest major rating categories by any nationally recognized rating agency.
(C) The terms of this section shall not be applicable to industrial revenue or other conduit bonds or other securities which are payable solely from:
(1) Funds other than funds of the city, its departments or agencies;
(2) The revenues of a project financed with the proceeds of industrial revenue or other conduit bonds or other securities; or
(3) A combination of the funds and revenues described in divisions (1) and (2) of this division (C).
('74 Code, § 4-5-9) (Ord. 29-1992; Am. Ord. 7-2001; Am. Ord. 2020-001)