Piedmont Municipal Code Art. XIV Pension Fund Investment

The term "board" as used herein shall mean the board of any pension plan to which the City is required to make contributions; the term "pension fund" as used herein shall mean a pension fund to which the City is required to make contributions. (Ord. No. 274 N.S., 1/68)

The board shall have the exclusive control of the investment and reinvestment of the pension funds and the means by which such investment and reinvestment are made; provided, however, that the board shall be precluded from doing business with any person, firm or investment counselor which shall have in its employ or be making commission payments to any member of the City Council or any member of the city pension board. (Ord. No. 275 N.S., 12/67)

No person engaged in business as a broker or securities dealer, or who has a direct pecuniary interest in any such business, and who receives commissions for transactions performed as agent for the board, shall be eligible for employment as investment counsel for the board. (Ord. NO. 275 N.S., 12/67)

The Board may employ investment counsel to render service in connection with the board's investment program, but the board shall not engage investment counsel unless: (a) the principal business of the person selected by the board consists of rendering investment supervisory services, that is, the giving of continuous advice as to the investment of funds on the basis of the individual needs of each client; (b) the principal ownership and control of such person rests with individuals who are actively engaged in such business for a period of ten or more years; (c) such person is registered as an investment advisor under the laws of the United States of America

Administration

from time to time in effect; (d) the contract between the board and the investment counsel is of no specific duration and is voidable at any time by either party. (Ord. No. 466 N.S., 6/85)

POSTINGS OF CASH TRANSACTIONS

The board may enter into servicing agreements with qualified mortgage servicing institutions for the handling of mortgage service details, and may reimburse such services the customary fee charged by the trade, but in no event shall the fee exceed one-twelfth of one-half percent per month of the unpaid balance of the loan or loans serviced under a servicing agreement. The services shall furnish the board, or its investment counsel, each month, with respect to each mortgage serviced, postings of all cash transactions affecting each mortgage. Neither the board nor the City shall undertake to service any mortgage investment unless no mortgage servicing institution can be found to service mortgages by the pension fund upon the conditions required by this section, and in such event, the board may undertake such mortgage servicing pending a sale of all such mortgages. (Ord. No. 274 N.S., 1/68)

The board may invest the moneys and assets of the pension fund and may sell any of its investment, either to raise cash or for the purpose of reinvesting in other assets, as the board shall from time to time provide by resolutions. (Ord. No. 466 N.S., 6/85)

AND INVESTMENTS OF FUND; DUTIES OF CUSTODIAN

The board is authorized to employ a trust company or the trust department of a bank, at the expense of the pension fund, and to act as custodian of the securities and investments of the fund and to present interest coupons, and matured bonds for payment, maintain records and accounts, deliver sold securities, and perform other services of a like nature for the board. (Ord. No. 275 N.S.)