§ 301-11. Investment Authority; Eligible Investments.

(a)

The Director of Finance or the Director's designee may invest the monies in the treasury of the City of Cincinnati as provided in section 301-11(b) herein. Whenever it is necessary to convert any investments to cash, the Director of Finance or his designee may sell such investments at the current market price.

Ohio Revised Code Sections 731.56, 731.57, 731.58, and 731.59 are hereby declared inoperative in the City of Cincinnati.

(b)

Whenever there are monies in the treasury of the City of Cincinnati which will not be required to be used for a period which would justify investment thereof, such monies may, in lieu of being deposited in a bank, savings and loan, or other qualified financial institution pursuant to Section 301-5 of the Cincinnati Municipal Code, be invested in:

(1)

United States Treasury Bills, Notes, Bonds, or any other obligation or security issued by the United States Treasury, or any other obligation guaranteed as to principal and interest by the United States.

Nothing in the classification of eligible obligations set forth in this section or in the classifications of eligible obligations set forth in divisions (b)(2) through (9) of this section shall be construed to authorize any investment in stripped principal or interest obligations of such eligible obligations.

(2)

Bonds, notes, debentures, or any other obligations or securities issued by any federal government agency or instrumentality, including:

Federal National Mortgage Association

Federal Home Loan Bank

Federal Farm Credit Bank

Federal Home Loan Mortgage Corporation

Government National Mortgage Association

Student Loan Marketing Association

All federal agency securities shall be direct issuances of federal government agencies or instrumentalities.

(3)

Time certificates of deposit of eligible institutions as provided in section 135.08 of the Ohio Revised Code, the payment of the principal and accrued interest thereon for which eligible securities are pledged and deposited with the City Treasurer or qualified trustee.

Eligible securities and qualified trustee for the purposes of this section shall have the same meaning as eligible securities and qualified trustee for the purposes of section 135.18 of the Ohio Revised Code. All securities pledged as collateral must also be acceptable to the Director of Finance or his designee. Up to $25,000,000 of time certificates of deposit may be invested as linked-deposits at less than market rates of return as negotiated by the Director of Finance or his designee.

(4)

Bonds and other obligations of this state;

(5)

No-load money market mutual funds consisting exclusively of obligations described in division (1) or (2) of this section and repurchase agreements secured by such obligations, provided that investments in securities described in this division are made only through eligible institutions mentioned in section 135.03 of the Revised Code.

(6)

The Ohio subdivision's fund as provided in section 135.45 of the Ohio Revised Code.

(7)

Written Repurchase Agreements in accordance with the provisions of Section 135.14(E) of the Ohio Revised Code.

(8)

Bonds and other obligations of this city.

(9)

Bonds of any municipal corporation, village, county, township or other political subdivision of the State of Ohio as to which there is no default of principal, interest or coupons.

(10)

Commercial paper notes issued by an entity that is defined in division (D) of section 1705.01 of the Ohio Revised Code and that has assets exceeding $500,000,000, to which notes all of the following apply:

(i)

The notes are rated at the time of purchase in the highest classification established by at least two nationally recognized standard rating services.

(ii)

The aggregate value of the notes does not exceed 10% of the aggregate value of the outstanding commercial paper of the issuing corporation.

(iii)

The notes mature not later than 270 days after purchase.

(c)

Nothing in the classifications of eligible investments set forth in divisions (b)(1) through (10) shall be construed to authorize any investment in a derivative pursuant to Section 135.14(c) of the Ohio Revised Code.

(d)

Any investment made pursuant to this section must mature within five years from the date of settlement, unless the investment is matched to a specific obligation or debt of this city.

(C.O. 301-14; a. Ord. No. 123-1966, eff. May 6, 1966; renumbered to C.M.C. 301-11, eff. Jan. 1, 1972; a. Ord. No. 236-1973, eff. May 31, 1973; a. Ord. No. 18-1981, eff. Jan. 14, 1981; a. Ord. No. 363-1988, eff. Sept. 21, 1988; a. Ord. No. 474-1990, eff. Nov. 21, 1990; a. Ord. No. 397-1996, eff. Jan. 17, 1997; Ord. No. 306-2016, § 1, eff. Oct. 28, 2016)