(a)   This section, in conjunction with the Ohio Revised Code, as amended, will govern the investments and the investment activities of the City of Mentor-on-the-Lake. It will be reviewed annually for compliance and to assure the flexibility necessary to effectively manage the investment portfolio.
   (b)   The purposes of this investment policy, in order of priority, are to provide for the complete safety of the portfolio's principal value, to assure adequate liquidity and to earn a market rate of return. Investments will be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion and intelligence exercise 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.
   (c)   The investment officer, acting in accordance with this investment policy and exercising due diligence, shall be relieved of personal responsibility for an individual security's credit risk or market price changes. All investment activities will be undertaken by the Administrative Director.
   (d)   The Administrative Director shall be permitted to invest only in a security authorized by Ohio R.C.135.14 or other relevant sections of the Ohio Revised Code, as amended. All investment procedures will be conducted as specified in the Ohio Revised Code, including, but not limited to, the collateralization of deposits and repurchase agreements.
   (e)   The maximum final maturity of any investment will be two years from the date of purchase. No derivative securities of investment "pools," with the exception of STAR Ohio, will be permitted.
   (f)   The Administrative Director will only invest inactive funds with those financial institutions that have been approved by City Council. Investments may be held in safekeeping by the approved financial institution.
   (g)    All transactions will be done on a competitive basis, whenever possible. In the event that two or more dealers are tied with the lowest price, the transactions will be awarded at the discretion of the Administrative Director. A current portfolio report providing details of each investment will be maintained by the Administrative Director.
(Ord.96-0-20. Passed 10-8-96.)