Review/update responsibility

Revision

Reference

Florida Statute 720.303

Oversight

1. The Association’s property management’s Accounting Department shall review the status of Association cash and investments with the Finance Committee (FC) monthly.
2. The Treasurer will report to the Board the status of investments and investment plans at least quarterly.
3. The FC will determine the applicable interest rate to be applied for funds borrowed from the MRR Reserves fund on an annual basis, subject to Board approval. Interest rates will be equivalent to the interest that would have been earned by the lending Reserve (e.g., the highest alternative investment interest rate available to that Reserve at that time) had the “loan” not been made.

Authorizations

1. The Board must approve the initial amount, type of security and any limitations associated with an investment (e.g., duration and interest rates) for all new investments.
2. After an investment has been approved by the Board, it can be initiated by the Treasurer or a designee on the FC.
3. The Treasurer has the authority to reinvest all or portions of the original funds plus earned interest in like securities, such as the rollover of matured certificates of deposits (CDs), into new CDs.
4. Preapproval by the Board is not required for the movement of funds between money market and regular checking accounts that provide for more immediate access to available funds.

Loans