RES 1513 09/22/2015 RESOLUTION NO. 1513
Resolution to Participate
WHEREAS, the Public Funds Investment Act, Texas Government Code, Section 2256.001 et seq.
(the "Act"), requires the governing body of each local government in this State to adopt investment
policies in accordance with the terms of the Act; and
WHEREAS, pursuant to the requirements of the Act, the City Council (the "Governing Body") of
the CITY OF CIBOLO (the "Local Government") has previously reviewed and adopted
an investment policy (the "Policy") that provides in part that the funds of the local government will be
Invested in investments permitted by the Act In order to: (1) Invest only in investments legally permitted
under Texas law; (ii) minimize risk by managing portfolio investments so as to preserve principal and
maintain a stable asset value; (ill) manage portfolio investments to ensure that cash will be available as
required to finance operations; and (iv) maximize current income to the degree consistent with legality,
safety and liquidity; and
WHEREAS, pursuant to the Policy and the Act, the Local Government has appointed
ANNA MIRANDA AND ROBERT T.HERRERA (the "Investment Officer") to act as the Investment officer of the
Local Government; and
WHEREAS, the Act provides that funds under the control of a Local Government may be invested
through investment pools meeting the standards of Section 2256.016 of the Act; and
WHEREAS, the Local Government has received and reviewed the Information Statement, dated
October 1, 2013 (the "Information Statement"), of Texas Cooperative Liquid Assets Securities System,
an investment pool administered by Public Trust Advisors, LLC, (the "Program"), which sets forth the
Information required by Section 2256.016(b) of the Act; and
WHEREAS, the Local Government has determined that the investments proposed to be acquired
by the Program are of a type that are permitted by the Act and are consistent with the Policy; and
WHEREAS, the Local Government has determined that an investment in the Program will assist
the Local Government in achieving the goals set forth in the Policy, and will tend to preclude imprudent
Investment activities arising out of investment transactions conducted between the Local Government
and the Program; and
WHEREAS, the Local Government understands that the Program operates through the Sixth
Amended and Restated Trust Agreement dated as of August 16, 2013 (the "Trust Agreement'), which
provides the terms on which the Program will operate and the rights of the participants in the Program
and sets forth the responsibilities of Public Trust Advisors, LLC, as the administrator of the Program (the
"Administrator"), and of Wells Fargo Bank as custodian (the"Custodian");
999 18th Street, Suite 1230 T 800-707-6242 clientservices@texasclass.com
Denver, CO 80202 F 855-848-9910 www.texasclass.com
Page 3
Texas
0�� CLOSQ
NOW THEREFORE, BE IT RESOLVED BY THE GOVERNING BODY OF THE LOCAL GOVERNMENT:
That the form, terms and provisions of the Trust Agreement, a draft of which was presented and
reviewed at this meeting, providing for the creation of the Program and for the rights of the Program
participants and the duties and responsibilities of the Administrator, be and the same are hereby approved
and adopted; and that the Investment Officer be and he or she is hereby authorized and directed to
execute and deliver to the Administrator and the Custodian in the name and on behalf of the Local
Government, a participation certificate evidencing the agreement of the Local Government to be bound
by the Trust Agreement substantially in the form of the Trust Agreement reviewed and approved at this
meeting, together with such changes therein as may be approved by the said officer, such approval to be
conclusively evidenced by the execution thereof; and be it further
Resolved, that the investment program established by the Trust Agreement is hereby found and
determined to be consistent with the Policy, and to preclude imprudent investment activities arising out
of Investment transactions conducted between the Local Government and the Program; and be it further
Resolved, that the Governing Body hereby officially finds and determines that the facts and
recitations contained in the preamble of this Resolution are true and correct; and be it further
Resolved, that the Governing Body hereby finds and declares that written notice of the date, hour,
place and subject of the meeting at which this Resolution was adopted was posted for the time required
by law preceding this meeting, and that such meeting was open to the public as required by law at all
times during which this Resolution and the subject matter thereof were discussed, considered and formally
acted upon, all as required by the Open Meetings Act, Chapter 551,Texas Government Code, as amended,
and the Act; and be it further
Resolved, that the officers of the Local Government, and each of them, shall be and each is
expressly authorized, empowered and directed from time to time to do and perform all acts and things
and to execute, acknowledge and deliver in the name and under the corporate seal and on behalf of the
Local Government all certificates, Instruments and other papers, whether or not herein mentioned, as they
may determine to be necessary or desirable in order to carry out the terms and provisions of this Resolution
and of the Trust Agreement hereby authorized and approved, such determination to be conclusively
evidenced by the performance of such acts and things and the execution of any such certificate, financing
statement, instrument or other paper; and be it further
Resolved, that this Resolution shall take effect and be In full force and effect upon and after its
passa .
�z l Lisa M. Jackson
Signature of Mayor Date Printed Name
Peggy Cimics
Signature of City Secretary Date Printed Name
999 18th Street, Suite 1230 T 800-707-6242 clientstrr
Denver, CO 80202 F 855-848-9910 com
Page 4
CL�$o
Exhibit D - Participation Certificate
The undersigned CITY OF CIBOLO (the "Local Government") does hereby
request that it be admitted as a Participant pursuant to Section 2.3 of the Sixth Amended and Restated
Trust Agreement (the"Agreement") dated as of August 16, 2013 by and between the Participants, Wells
Fargo Bank, as Custodian, and Public Trust Advisors, LLC. By executing this Participation Certificate, the
undersigned agrees that, upon the execution hereof by the Program Administrator, it will become subject
to the same obligations and shall have the same rights as if it had executed the Agreement.
The undersigned hereby certifies that ANNA MIRANDA AND ROBERT T. HERRERA (the "Investment
Officer") Is the duly designated Representative of the undersigned as required by the Agreement.
The undersigned hereby certifies that Its governing body has taken all actions required by Section
2256.016 of the Public Funds Investment Act, Texas Government Code, in order for it to participate in the
Trust created by the Agreement.
CITY OF CIBOLO
Entity Name
g� 9 as-oS CITY SECRETARY
Signature Date Title
Accepted by Administrator (to be completed by Texas CLASS):
Signature Date Title
999 18th Street, Suite 1230 T 800-707-6242 clientservices@texasciass.com
Denver, CO 80202 F 855-848-9910 www.texasclass.com
Page 5
STANDARD&POURS POOL PROFILE
RATINGS SERVICES March 39, 2015
IIceN/.YlN IWNCIU
Texas Cooperative Liquid Assets Securities System
Principal Stability Fund
Ratings Definitions
AAAm Afund rated About the Pool
AAAm'aemonsaa0es Pool Rating pggm
extremely strong capeolty,to
maintain prindpalsmity pool Type Stable NAV Government Portfolio Composition as of March 31 2015
and to limit exposure to Investment Pool p
prindpel losses due to credit '
risk GovAGcv Investment Adviser Public Trust Advisors, LLC V-A
'AA016 CDaAm'ts tits highest ras
prlwipal atabinty fund rating CORP /
assigned by Standard&
REPO e.2%
Poon s: 7.0% "\
AArn A fund rated'Mm' Portfolio Manager Randy Palomba, CFA&Neil Waud,CFA ^sae%
demonstrates very strong
CaWly b malntaln Mnolpal
stability and to limn exposure
topdnclpalImes due to Pool Rated Since March 2009
credit dsk.ltdHlersfrom theCustodian Wells Fargo Bank N.A. AacP
highest-rated funds only to a 39.3%
small degree. Distributor Public Trust Advisors,LLC
CP-Commercial Paper;ABS-Asse4backeo commerical paper,REPO
Repurchase Agreement;CORP-Corporate;GOV-AGCY-Agency and
Am A haul rated'Am' Owemment;CD's-Certificates o1 Deposit
t demonstrates strong calwity
to matntaln principal stability Rationale (PFIA)guidelines and may include U.S.Treasuries,
amIll limit exposure to Texas Cooperative Liquid Assets Securities System agencies,state and local government obligations,
pdttdpellosses due toCredit!(Texas CLASS)is rated'AAAm'by Standard& collateralized certificates of deposit, repurchase
risk,but Is somewhat mom Poor's.This rating demonstrates that the pool has agreements(REPOs),and highly-rated commercial
j ecfthe adverse
effects
oChanges ln an extremely strong capacity to maintain principal
paper.These securities,at the time of purchase, are
dreumstanoesand emnomic !stability and to limit exposure to principal losses rated in the highest rating category by one or more
Conditions than kinds In due to credit risk.This is accomplished through nationally recognized statistical ratings
higherreledcategories conservative investment practices and strict internal organizations which regularly rate such obligations.
controls.Standard&Poor's monitors the portfolio The portfolio's weighted average maturity to reset
SeBm A(undrated on a weekly basis. (WAM(R))is kept under 60 days,which further
i'BBBm'ecat-sathelps to enhance liquidity and limits market price
adequatecapacttyto Overview exposure. Portfolio securities are priced to market
maintain exposure pty
limitand to Texas CLASS was created specifically for the use on a weekly basis.
pdnditaifo sesdotocredit of Texas local government entities and seeks to
dsk.However,adverse provide safety,liquidity,convenience,and
ecnnomlc CDnftASter competitive rates of return.The program is designed
I "gl`s dreumstances ae to meet the needs of Texas public sector investors.
more likely to lead to a
j re&adcapacityamainlaln It purchases securities that are legally permissible
{pdndpal stability. under state statute and available for investment by
j Texas counties,cities,school districts,municipal
SBm A fund rated SBrW utility districts,college districts,and other public
demonstratesspecdatve agencies. Texas CLASS is a full-service cash
calwity,to ma andin Pdr pal management and investment program designed
stalill
�anglry to maintain
specifically to make the function of managing
nd lassesduemcredit p Y g g public
Pd Pa funds safer and more simple while it provides
risk.yhavesuchhmdswfR competitive returns. Texas CLASS has operated
poladv caaderistics,tur quality since 1996.
prolective dtaradedstk:s,
these may be outweighed by
large uncertalntlesormajor Management
exposures to adverse i Public Trust Advisors,LLC serves as the pool's
cortdlllons, administrator and investment adviser.The
Dm Afund ratad'Dm'has marketing and operation functions of the portfolio
failed to malrtialnprincipai are also performed by Public Trust Advisors, LLC.
st"ItIf resulting in arealized The pool is subject to the general supervision of the
or unrealized Im of Board of Trustees and its Advisory Board,both of
^bid which are elected by the Texas CLASS
Participants.Wells Fargo Bank, N.A.serves as
custodian for the pool.
Portfolio Assets
Portfolio Assets aim to comply with the Public
Funds Investment Act,Texas Government Code
j Plus(+)or Minus(-)
Thet angsmaybemoomw iStandard&Poor's Analyst: Joel Friedman-(1)212-438-5043 wwwstandardandpoors.com
mi the addition)s1finof h glia t`i or Partici nts should consider the Investment objectives,risks and char
minus(-1 sign a snow Pa J gas and expenses of the pool before investing. The investment guidelines
f rew"standing will*the which can be obtained from your broker-dealer,contain this and other information about the pool and should be read carefully before
L
investing.
Principal Stability Rating Texas Cooperative Liquid Assets Securities System AAAm
Approach and Criteria
A Standard 8 Pco's Data Bank as of March 31,2015
Principe!stability fund rating, Net Asset Value per Share.............. $1.00006 Net Assets(millions)...........,....... $3,567.97 Inception Date....................... January 1996
also krcvm as$'money WAM(R). 51 days WAM(F)"...............:
market king'.fund Ise ty 55 days 7 Day Yield............................. 0.14%
forwarddooking opinion about Weighted Average Maturity(Resell "Weighted Average Maturity(Final)
a fixed income funds c
to maintain stable principal Net Assets,WAM(R)and WAM(F)
(net asset value).When Portfolio Maturity Distribution as of March 31,2015
assigning a prim stability
rating lo a had,Standard& 4500 ----- 120
,'Pooes analysis focuses
primarily on the 3750 / 100 loo
o creditworthiness of the funds a
InV8emleR 3000 80 so
P'
lllSBand
courtarpx0es,and also its 2250 `� e -�f
MvesimenWmaturity alruclure P _- ao g
and managements ability and 1500 .. 40 g 40 �.
policies to maintain the funds —
stable net asset value. 750 20 20 ,
i Principal stabIlityfund slings o
are assigned lo funds that ° $
seek to maintain a stable or an ° ,, M g t
z z s z z a z z z 9 m a
accumulating 110i 84aef V81Ue. R R R R R R R R R R R R9 9 m
tui R
Generally,when faced with 3 k 3 8 1 & 4 3 Days
an unantkipaled level of
redemption requests during - W A...1. --wont rRm• --Wnxt(F)
periods of high market stress,
the manager of any fund may
suspend redemptions for upto; Portfolio Credit Quality as of March 31,2015'
'five business days or meet Portfolio 7 Day Net-Yield Comparison"
redemption requests with
payments In-kind in lieu of
1.0
cash A temporary suspension'
of redemptim or meeting
i redemption requests with o.ax
I dls fttk ns in-kind does not
j oxatiw6e a(alum to maintain 0.6%
i stable nota"values.
However,higher rated!funds 0.4%
are expected to have stronger 1 A-1
capacities to pay Investor i47.4%— 0.2%
redemptions.In cash during
-------------------------------------
limes of high market stress A-1- 0.0%
because comprise shorter maha52.61Aity and
NgkerquallfyInvestments. $ A a e a d ri biz a
Principal stability fund
ratings,of money market full --SEP RaleA niP IMerbPe «..Fund
I sBWga,are Identified by 818'm' `S&P Money Furl Indices are calculated weekly by iMoneyNet,Inc,and are comprised
SUIfiX(e.g.,'AAAmj 'As assessed by Standard&Poors of funds rated or assessed by S&P to within the specific rating categories.The S&P Rated
tti8etmgrtsh Ute principal GIP Indices are calculated weekly by S&P and are comprised of'AAAm'and'AAm'
I stability rating from a Standard government investment pools.
&Pools traditional issue or The yield quoted represents past performance.Past performance does not
Issuer credit sung,s guarantee future results Current eld may be lower or her than the veld
traditional issue o issuer 9 Yl Y �9 Y
credit rating regecls standard i quoted
&Pdoesview of a borrower's
ability lo meet its financial
obilgdtim&Principal staMity
fund singe aro not Pool portfolios are monitored weekly for developments that could cause changes in the ratings.Rating decisions are based on periodic
'commentaries on yield levels, f meetings with senior pool executives and public information.
Standard&Pooes Is neither associated nor affiliated with the fund.
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