§ 2-144. Guidelines.

The assets of the city shall be invested, as provided in R.S. 33:2955(A)(1), in the following:

(1)

Direct U.S. Treasury obligations, the principal and interest of which are fully guaranteed by the U.S. government.

(2)

Bonds, debentures, notes or other evidence of indebtedness issued or guaranteed by federal agencies and provided such obligations are backed by the full faith and credit of the U.S., including U.S. Export-Import Bank, Farmers Home Administration, Federal Financing Bank, Federal Housing Administration Debentures, General Services Administration, Government National Mortgage Association (guaranteed mortgage-backed bonds and guaranteed pass-through obligations), U.S. Maritime Administration (guaranteed title XI financing), and U.S. Department of Housing and Urban Development.

(3)

Bonds, debentures, notes or other evidence of indebtedness issued or guaranteed by U.S. government instrumentalities, which are federally sponsored, including Federal Home Loan Bank System, Federal Home Loan Mortgage Corporation, Federal National Mortgage Association, Student Loan Marketing Association and Resolution Funding Corporation.

(4)

Direct security repurchase agreements of any federal bank entry only securities enumerated in subsections (1)—(3) of this section. The term "direct security repurchase agreement" means an agreement under which the political subdivision buys, holds for a specified time and then sells back those securities and obligations enumerated in subsections (1)—(3) of this section.

(5)

Time certificates of deposit of state banks organized under the laws of the state, or national banks having their principal offices in the state, savings accounts or shares of savings and loans associations and savings banks, or share accounts and share certificate accounts of federally or state chartered credit unions issuing time certificates of deposit; provided, however, that the rate of interest paid for time certificates of deposit shall be not less than 50 basis points below the prevailing market interest rate on direct obligations of the U.S. Treasury with a similar length of maturity. Funds invested in accordance with this subsection shall not exceed at any time the amount insured by the Federal Deposit Insurance Corporation in any one bank, or in any one savings and loan association, or by the National Credit Union Administration in any one credit union, unless the uninsured portion is collateralized by the pledge of securities in the manner provided in R.S. 39:1221.

(6)

Mutual or trust fund institutions which are registered with the Securities and Exchange Commission under the Securities Act of 1993 and the Investment Act of 1940, and which have underlying investments consisting solely of and limited to securities of the U.S. government or its agencies.

(Ord. No. 924, 4-8-96)