704.3 Investments


The Board of Directors delegates the responsibility for the investment of funds in excess of current needs to the Superintendent or his designee and the Treasurer.  They shall implement the investment program and shall report to the Board regularly on the results of the Investment Program.  The investment program shall comply with all the provisions of state law, administrative rule, and this policy.

In making investments, the School District shall exercise the care, skill, and diligence under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with such matters would be used to meet the goals of the investment program.  The Superintendent and Treasurer are authorized to invest funds in any investments authorized by Iowa law.

The investment program shall have the safety and security of School District funds as its paramount goal.  No other goal, objective, criteria, or procedure may compromise this primary consideration.  After security is provided, decisions about the investment of funds shall be based on the goals of:

1.         maintenance of necessary liquidity;

2.         attainment of a reasonable rate of return;

3.         efficient management of the investment program;

4.         placement of investments with local financial institutions 

These four goals are listed in order of priority.  However, if the goals are seen to conflict in a particular decision, the advantages of attaining a goal of higher priority must significantly outweigh any adverse impact to the attainment of a goal of lesser priority.

The Superintendent shall develop and recommend procedures including a system of investment practices, internal controls over the investment practices, and reporting of the investment portfolio.



Legal Reference:              Iowa Code §§ 11.2, .6; 12.62; 22.1, .13; 28E.2; 257; 279.29;                                           283A; 285; 452.10; 453; 502.701; 633.123 (1993.)

                                          1992 Iowa Acts.