(A) Scope of policy. The purpose of this policy is to direct the investment activities of all funds under the jurisdiction of the Jersey County Treasurer. The guidelines will be applicable to all current and future funds placed under the County Treasurer’s jurisdiction. The Illinois State Statutes will act as the parameter for all investment decisions. Accountability for the funds will be subject to regular internal monthly review, monthly reporting and a yearly audit performed by the county’s designated auditor.
(B) Objective. The cash management and investment decisions for the stewardship of public funds under the Jersey County Treasurer’s jurisdiction will meet the following objectives, in order of priority:
(1) Safety. The security of public funds shall be the primary concern of the Jersey County Treasurer when considering depositories and investments.
(2) Liquidity. To allow availability of funds within the time frame desired while considering the budgetary constraints of the entrusting entity.
(3) Yield. The return on investment will be dependent upon minimizing the risk of the investment, budgetary constraints, cash flow requirements, and the legal restrictions on the investment.
(C) Guidelines. The stated objectives shall be met by employing the following guidelines:
(1) Employing the “prudent man rule” whereby investment of funds is based upon “the judgment and care under circumstances then prevailing that persons of prudence, discretion, and intelligence exercised in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital, as well as the probable income to be derived and optimum liquidity required for operations of their local government.”
(2) Liquidity will be based on reasonable anticipated fund demands as instructed by the public entity for whom the funds are being held.
(3) All funds shall be deposited in a timely manner to maximize earnings.
(D) Responsibility. According to state statutes, investment of public funds under the control of the Treasurer will be the direct responsibility of the Jersey County Treasurer. It will be the responsibility of the Treasurer to establish a system of control for those involved in the assistance of such activities.
(E) Security control. Only the Treasurer is authorized to establish financial accounts for the office of the Jersey County Treasurer. Any deposit accounts above the amount insured by the FDIC will be collateralized. The account agreements will be audited as part of the yearly county audit by the county’s designated auditor.
(F) Reporting. All investment transactions will be recorded by the Treasurer or the Treasurer’s staff. If requested, a quarterly report will be presented to the County Board. This report will list fund balances, investment activities and all other information deemed pertinent.
(G) Eligible investments.
(1) Jersey County will limit its investments to those explicitly listed in the Illinois Compiled Statutes, including the Illinois Trust Local Government Investment Pools. The diversification of the county’s portfolio, within the allowed investments, will be the sole responsibility of the County Treasurer.
(2) The Jersey County Treasurer will have the sole responsibility to select the financial entities that will act as depositories for public funds. The Treasurer will take necessary measures when selecting financial institutions. Examples include, but are not limited to: security, size, location, community relations and any other necessary factors deemed pertinent in selecting financial institutions.
(H) Ethics and conflicts of interest. Neither the County Treasurer nor their staff shall have any personal interest in the investments that the office has authorized.
(I) Bonding. The County Treasurer and office deputies will be bonded at a rate determined by the County Board.
(Ord. passed 4-11-2023)