Sec. 11-248. - Investments.

(a)

The board may keep as an available fund for current disbursements by the system an amount not to exceed the requirements for such purposes for a period of 90 days.

(b)

Any amounts in excess of the current cash balance shall be invested in any securities or investments in which the deposits in savings banks and participation deposits in banks and trust companies may legally be invested, as provided by to G.L. 1956, §§ 19-9-1 through 19-9-15, subject, however, to the terms, conditions, limitations and restrictions imposed by such laws in the making and disposing of such investments.

(c)

The board may purchase bonds, notes or other obligations of the city before or after such bonds, notes or other obligations are offered to the public, whether or not bids have been solicited by the city for such securities.

(d)

The board shall have power to hold, purchase, sell, assign, transfer and dispose of any of the securities in which the monies of the system have been invested, as well as the proceeds from such investments and any other property belonging to the system.

(e)

All investments shall be clearly marked to indicate ownership by the system and to the extent possible shall be registered in its name. No securities shall be purchased or sold or in any manner hypothecated except by action of the board duly entered in the record of its proceedings.

(f)

Any limitations affecting the purchase of securities shall be applicable only at the time of purchase and shall not require the liquidation of an investment at any time.

(g)

All investments shall be carried at book value providing a yield which, when computed at a uniform rate compounded annually or semiannually as the case may be, will remain the same to maturity. No adjustments shall be made in investment valuation for ordinary market fluctuations, but reserves may be provided for anticipated losses upon redemption or maturity as may be determined by the board.

(h)

No member or employee of the board shall have any direct interest in the income or gains from any investment made by the board, nor shall any such person receive any pay or emolument for services in connection with any investment. No member or employee of the board shall become an endorser or surety or in any manner an obligor for money loaned or borrowed from the system. Proof that any such person has violated any of these restrictions shall make him guilty of a misdemeanor or larceny, as the case may be, and such person shall be punishable therefor as provided by law.

(Rev. Ords. 1987, § 11-249)