1.5.B ERMUSR 03-10-2020COMMISSION POLICY
Section:Category:
GovernanceGovernance Policies
Policy Reference:Policy Title:
Financial Reserves&Investment
G.2g2
CommitteeCharter
PURPOSE:
The Financial Reserves & Investment Committee exists to help the Commission develop and
maintain industry appropriate financial reserves and investment policies.
MEMBERSHIP:
The Committee shall be comprised of two Commissioners, the General Manager, and the
Finance & Office Manager. At no time shall there be a quorum of the Commission on the
Committee.
The Commission shall appoint Committee members annually following the Commission election
of officers during the March Regular Commission meeting. The Commission shall also appoint
the Committee Chair at that time.
ROLE OF THE COMMITTEE CHAIR:
The primary role of the Committee Chair is to run the Committee meetings. The Committee will
adhere to the Current edition of for all situations to
which they are applicable and are not inconsistent wit
special rules of order that the Commission may adopt. The Committee meetings may be open or
closed to employees at the discretion of the Committee Chair.
AUTHORITY:
Except as established in this Committee Charter, the authority of the Committee is limited to the
purpose of research and recommendation to the Commission. The Committee, at the discretion
and through formal action of the Commission, may be empowered beyond the role of research
and recommendation such that it is consistent with the Organizational Core Purposepolicies
and the Commission Committeespolicy.
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ERMU Commission Policy G.2g2Financial Reserves & Investment Committee Charter
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SPECIFIC DUTIES:
1. At the request of the Commission, research and analyze topics related to financial reserves
and investments.
2. On a periodic basis, the Committee will review the investment balances and the various
investment instruments for return, liquidity, and diversification. The Committee may present
options and make recommendations to the Commission for their consideration.
3. Annually, when the Commission designates the official depository for the year, it should
provide for the Finance & Office Manager to recommend that additional depositories be
designated for the purpose of investing funds.
4. On behalf of the Commission and Committee, new Investments will be authorized by the
Finance & Office Manager, with the funds actually being transferred via a check produced by
the A/P Specialist, and recorded in the check register detail presented at the regular
Commission meetings. Investments that mature shall be reinvested by the Finance & Office
Manager. All investing will be transacted working with the investment firm(s) or bank(s) for
the best rate of return within the constraints of the ERMU Investment Policy. In the event
that the Finance & Office Manager is unable to conduct the above investment
responsibilities, the General Manager has the authority to act in his/her absence.
5. On a periodic basis, the Committee will review the Financial Reserves Policy and reserve
balances. The Committee may present options and make recommendations regarding
modification of the Financial Reserves Policy to the Commission for their consideration.
SCHEDULE:
At a minimum, the Committee shall meet on anannual basis.
TERMINATION:
The Committee shall exist until at such time formal action of the Commission is taken to
dissolve the Committee.
POLICY HISTORY:
Adopted May 9, 2017
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