District funds in excess of current needs shall be invested in compliance with this policy. The goals of the District’s investment portfolio in order of priority are:
- To provide safety of the principal;
- To maintain the necessary liquidity to match expected liabilities; and
- To obtain a reasonable rate of return.
In making investments, the District shall exercise the care, skill, prudence and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would use to meet the goals of the investment program.
District funds are monies of the school District, including operating fund dollars. General funds of the District are funds which are reasonably expected to be used during a current budget year or within fifteen months of receipt. When investing operating funds, the investments must mature within three hundred and ninety-seven days (397) or less. When investing funds other than operating funds, the investments must mature according to the need for the funds.
The Board authorizes the School Business Official/Board Secretary to invest funds in excess of current needs in the following investments:
- Interest bearing savings, money market, and checking accounts at the District’s authorized depositories;
- Iowa Schools Joint Investment Trust Program (ISJIT); and,
- Certificates of deposit and other evidences of deposit at federally insured Iowa depository institutions.
It shall be the responsibility of the School Business Official/Board Secretary to oversee the investment portfolio in compliance with this policy and the law.
The School Business Official/Board Secretary shall be responsible for reporting to and reviewing with the Board at its regular meetings the investment portfolio's performance, transaction activity and current investments.
It shall be the responsibility of the School Business Official/Board Secretary to deliver a copy of this policy to the District’s depositories, auditor and outside persons doing investment business with the District.
The Superintendent, in conjunction with the School Business Official/Board Secretary, shall develop a system of investment practices and internal controls over the investment practices. The investment practices shall be designed to prevent losses, to document the officers' and employees' responsibility for elements of the investment process, and address the capability of the management.
Approved: September 2007
Reviewed: October 2019