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HomeMy WebLinkAboutCC 2025-02-25_09b Resolution Updating Authorized PersonnelItem 9.b. MEMORANDUM TO: City Council FROM: Nicole Valentine, Director of Administrative Services SUBJECT: Resolution to Update Accounting Manager Name for Authorized Personnel for Financial Institutions DATE: February 25, 2025 RECOMMENDATION: 1) Adopt a Resolution authorizing the deposit of City funds in various financial institutions and updating the names of designated employees in certain positions who are authorized to make deposits of City funds and enter into banking or investment arrangements; and 2) Determine that adopting a resolution authorizing the deposit of City funds in various financial institutions and updating the names of designated employees in certain pos itions who are authorized to make deposits of City funds and enter into banking or investment arrangements is not subject to the California Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct, or reasonably foreseeab le indirect, physical change in the environment. (State CEQA Guidelines, Cal. Code Regs., tit. 14, §§ 15060, subd. (c)(2)-(3), 15378.) IMPACT ON FINANCIAL AND PERSONNEL RESOURCES: There are no significant financial or personnel resource impacts to updating the Resolution. BACKGROUND: In 2024, the City Council adopted Resolution No. 5343, which authorized the deposit of City funds in various financial institutions and authorized certain employees to act on behalf of the City in banking or investment relationships. Since that time, the Resolution has been updated as position titles and banking regulations have changed. ANALYSIS OF ISSUES: Regulations for the banking industry require that the City’s Resolution authorizing employees to act on behalf of the City in banking and investment relationships include the names of the employees currently serving in the position, rather than just the titles. The City hired a new Accounting Manager, who began work with the City on February 18, 2025. The proposed Resolution adds the Accounting Manager’s name and makes no other changes. Page 35 of 89 Item 9.b. City Council Resolution to Update Accounting Manager Name for Authorized Personnel for Financial Institutions February 25, 2025 Page 2 ALTERNATIVES: The following alternatives are provided for the Council’s consideration: 1. Adopt the Resolution as presented; 2. Modify and adopt the Resolution; or 3. Provide other direction to staff. ADVANTAGES: Updating the Resolution will reflect the current names of persons authorized to enter into banking and investment relationships for the City and provides documentation compliant with banking regulations. DISADVANTAGES: There are no disadvantages in relation to the recommended action . ENVIRONMENTAL REVIEW: Adopting a resolution authorizing the deposit of City funds in various financial institutions and updating the names of designated employees in certain positions who are authorized to make deposits of City funds and enter into banking or investment arrangements is not subject to the California Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct, or reasonably foreseeable indirect, physical cha nge in the environment. (State CEQA Guidelines, Cal. Code Regs., tit. 14, §§ 15060, subd. (c)(2)- (3), 15378.) PUBLIC NOTIFICATION AND COMMENTS: The Agenda was posted at City Hall and on the City’s website in accordance with Government Code Section 54954.2. ATTACHMENTS: 1. Proposed Resolution Page 36 of 89 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE AUTHORIZING THE DEPOSIT OF CITY FUNDS IN VARIOUS FINANCIAL INSTITUTIONS AND UPDATING THE NAMES OF DESIGNATED EMPLOYEES IN CERTAIN POSITIONS WHO ARE AUTHORIZED TO MAKE DEPOSITS OF CITY FUNDS AND ENTER INTO BANKING OR INVESTMENT ARRANGEMENTS WHEREAS the City of Arroyo Grande normally has excess funds not currently needed to fund operating expenditures, and such excess funds are currently deposited by prior agreement with various financial institutions, including, but not limited to the State Local Agency Investment Fund (LAIF); and WHEREAS, Government Code Section 53635 distinguishes between “deposits” and “investments”, and specifically provides that City monies shall be “deposited” in State or National banks, or State of Federal savings and loan associations, or may be “invested” in specified instruments; and WHEREAS, eligible financial institutions include banks and savings and loans and are used primarily for active demand deposits (checking accounts and passbook savings), inactive deposits (non-negotiable time certificates), and investment instruments; and WHEREAS, eligible financial institutions require a listing of authorized signers who are legally approved to perform financial transactions on behalf of the City, which may be modified from time to time due to changes in staffing; and WHEREAS, authorizing the deposit of City funds in various financial institutions and updating the names of designated employees in certain positions who are authorized to make deposits of City funds and enter into banking or investment arrangements is not subject to the California Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment. (State CEQA Guidelines, Cal. Code Regs., tit. 14, §§ 15060, subd. (c)(2)- (3), 15378.) NOW, THEREFORE BE IT RESOLVED by the City Council of the City of Arroyo Grande as follows: 1. That the Recitals above are true and correct and are hereby incorporated by reference. 2. That the City of Arroyo Grande employees in the positions listed below are hereby authorized to enter into agreements to deposit or withdraw money from financial institutions located in California, including United States branches of foreign banks licensed to do business in California, upon a determination of financial soundness of such financial institutions, by the City of Arroyo Grande. Page 37 of 89 RESOLUTION NO. PAGE 2 Director of Administrative Services/City Treasurer Accounting Manager City Manager 3. That the employees listed below are currently filling the designated positions as of the date of this Resolution. Director of Administrative Services/City Treasurer: Nicole Valentine Accounting Manager: Megan Schotborgh City Manager: Matthew Downing 4. This Resolution supersedes Resolution 5343 dated January 23, 2024, and any and all other prior resolutions inconsistent herewith. On motion of Council Member , seconded by Council Member , and on the following roll call vote, to wit: AYES: NOES: ABSENT: The foregoing Resolution was passed and adopted this 25th day of February, 2025. Page 38 of 89 RESOLUTION NO. PAGE 3 CAREN RAY RUSSOM, MAYOR ATTEST: JESSICA MATSON, CITY CLERK APPROVED AS TO CONTENT: MATTHEW DOWNING, CITY MANAGER APPROVED AS TO FORM: ISAAC ROSEN, CITY ATTORNEY Page 39 of 89