The funds of the city available for investment shall be invested in accordance with this policy and all applicable state statutes only in the following types of investments instruments:
   (A)   Authorized investment instruments.
      (1)   Obligations of the United States and of its agencies and instrumentalities, including obligations subject to repurchase agreements, provided that delivery of these obligations subject to repurchase is taken either directly or through an authorized custodian.
      (2)   Obligations and contracts for future delivery or purchase of obligations backed by the full faith and credit of the United States or a United States government agency, including but not limited to:
         (a)    United States Treasury;
         (b)    Export-Import Bank of the United States;
         (c)    Farmers Home Administration;
         (d)    Government National Mortgage Corporation; and
         (e)    Merchant Marine bonds.
      (3)   Obligations of any corporation of the United States government, including but not limited to:
         (a)    Federal Home Loan Mortgage Corporation;
         (b)    Federal Farm Credit Banks;
         (c)    Bank for Cooperatives;
         (d)    Federal Intermediate Credit Banks;
         (e)    Federal Land Banks;
         (f)    Federal Home Loan Banks;
         (g)    Federal National Mortgage Association; and
         (h)    Tennessee Valley Authority.
      (4)   Certificates of deposit issued by or other interest-bearing accounts of any bank or savings and loan institution which are insured by the Federal Deposit Insurance Corporation or similar entity or which are collateralized, to the extent uninsured, by any obligations permitted by section 41.240(4) of the Kentucky Revised Statutes.
   (B)   Limitations on Investment Transactions. With regard to the investments authorized in this section, the following limitations shall apply:
      (1)   No investment shall be purchased for the city on a margin basis or through the use of any similar leveraging technique.
      (2)   No investments shall be made that are prohibited by any existing revenue bond indebtedness agreement with respect to any fund or fund source subject to an existing revenue bond indebtedness agreement.
(Ord. 12-94-1, passed 12-19-94)