Note X – External Investment Pool
The External Investment Pool sponsored by the County was established in (date). Revised Code of Washington (RCW) 36.29.022, 36.29.010, 36.29.020, authorize the County Treasurer to invest its surplus cash and any funds of municipal corporations which are not required for immediate expenditure and are in the custody or control of the county treasurer. The External Investment Pool’s investments are invested pursuant to the Revised Code of Washington. Any credits or payments to pool participants are calculated and made in a manner as required by RCW 36.29.024.
The investments are managed by the Treasurer, which reports investment activity to the County Finance Committee on a (describe timing, i.e. monthly, quarterly, etc.). Additionally, the County treasurer investment activity is subject to an annual investment policy review, compliance oversight, quarterly financial review, and annual financial reporting. The County has not provided nor obtained any legally binding guarantees during the year ended December 31, 20__, to support the value of shares in the Pool.
The External Investment Pool is not registered with the SEC and is not subject to any formal oversight other than that provided by the County Finance Committee. The Committee is responsible for adopting investment objectives and policies, for hiring investment advisors, and for monitoring policy implementation and investment performance. The Committee’s primary role is to oversee the allocation of the Pool’s portfolio among the asset classes, investment vehicles, and investment managers.
The interest or other earnings of income from the funds of any municipal corporation of which the governing body has not taken any action pertaining to the investment of funds and that have been invested in accordance with state statutes, shall be deposited in the current expense fund of the county and may be used for general county purposes. The total amount of income from the External Investment Pool assigned to the County’s general fund for the year was $________. These investments made by the County Treasurer on behalf of the participants is involuntary participation in the County Treasurer’s Investment Pool as they are required to be invested by statute.
(Percentage) of the County Treasurer’s Pool consists of these involuntary participants. Voluntary participants in the County Treasurer’s Pool include (describe). The deposits held for both involuntary and voluntary entities are included in the (Investment Trust Fund or External Investment Pool - Custodial Fund.).
The Treasurer also maintains Individual Investment Accounts, as directed by external depositors, which are invested pursuant to the Revised Code of Washington. This investment activity occurs separately from the County’s Pool and is reported in the Individual Investment Trust Fund in the amount of $________. Income from the specific investments acquired for the individual municipalities, and changes in the value of those investments, affect only the municipality for which they are acquired, and are aggregated in the Individual Investment Fund.