HomeMy WebLinkAbout2024-061 - Res. Amending Res. 2022-16 County Held Warrant Contract/Promissory Note/Loan Policy RESOLUTION# apaA-(DO\
COUNTY HELD WARRANT CONTRACT/PROMISSORY NOTE/LOAN POLICY
AMENDING RESOLUTION NO. 2022-16
WHEREAS,there was a legislative update to RCW 39.26.010 removing the term "Registered Warrants"
and,
WHEREAS, Mason County recognizes that it is fiscally responsible to define policy and procedures for
the use and approval of Warrant Contract/Promissory Note/Loan as an approved investment option as
delineated in the Approved Mason County Investment Policy and,
WHEREAS,the Mason County Finance Committee has reviewed, updated and approved the policy for
County held warrant Contract/Promissory Note/Loans as shown in Exhibit"A"October 21"d, 2024.
NOW THEREFORE, BE IT RESOLVED that the Board of County Commissioners upon the
recommendation of the Mason County Finance Committee hereby approve the"County Held Warrant
Contract/Promissory Note/Loan Policy"as set out in Exhibit"A".
Approved this day of November 2024.
Mason County Board of Commissioners
R dy Neatherli�n/Chair/
Sharon Trask,Vice Chair
Kevin Shu mmissioner
Attest:
Mckenzie Smit�Clerkof the Board
Approved as to form:
Tim hitehea , tef Deputy Prosecuting Attorney
EXM1T "A"
COUNTY HELD WARRANT CONTRACT/PRONUSSORY NOTE/LOAN
L Policy
October 21, 2024
Whereas,the Mason County Investment Policy makes provision for investing in
contracts/promissory notes/loan as set out in RCW 36.29.010, it is therefore prudent to set out
the following policy.
All county departments/taxing districts may participate—based on the approval of the
county treasurer. Pursuant to RCW 36.29.010, .... The Treasurer may in cases where there are
insufficient funds .........using such funds as not necessary for immediate expenditure, contract
with the county or any other taxing district................
Therefore,there is no guarantee that the county will have funds available to cover negative cash
flows for county departments/taxing districts. County departments/taxing districts will need to
make otherfinancial arrangements (i.e. bank loan, internal fund loan)in advance, before issuing
warrants, if the county treasurer is unable to meet their needs.
The Treasurer's.Office may set a limit on the amount to be loaned to each
department/taxing district based on the needs of that.department/taxing district and the cash flow
of the county available to do so. The Treasurer will notify the Finance Committee via email or
other communication within 24 hours when the amount of any codtract/promissory note/contract
exceeds $1,000,000.00. The Treasurer will report to the Finance.Committee at least quarterly the
amount of contract/promissory note/loan held as investments by the county.
Such contract/promissory note/loan will be redeemed by the county treasurer on behalf of
the county department/taxing district on or before the last working day of the month or 31 days
in which the promissory note was issued. The Treasurer has the authority to extend the
redemption period, only after reviewing such circumstances as laid out in writing by the county
department/district and such extension meets the investment objectives of the county investment
policy. The Treasurer will notify the Finance Committee via email or other communication
within 24 hours if the Treasurer has extended the redemption period for more than 30 days.
Approved this 21'. day of October 2024.
Elisabeth Frazier, Treasurer, Chair
Steve enkel,Auditor, ecretary
dy Neatherlin, Commissioner