Depository Board considers investments

The Municipal Depository Board, consisting of city council member John Flynn, finance director Cary Elsten and Mayor Peter Christie met May 16 to consider investment options.

Elsten said the city had $764,000 after liquidating an Arvest Wealth Management account, which was transferred into the city’s investment account with Crews and Associates.

The city, according to an email from Al McKay with Crews and Associates, had $826,256.21 to invest.

The board agreed to invest $249,000 with the State Bank of India, N.Y., an FDIC insured CD with a 2.4 percent yield, to mature May 31, 2022.

Additionally, it agreed to a $575,000 FHLMC investment, to mature May 17, 2022, with a yield of 2.125 percent.

The second investment, Elsten said, is selling at a premium at this point in time. It is also backed by the federal government, she said, and does not need FDIC coverage.

“Those are pretty good interest rates because it’s five years,” Flynn said

Elsten said she does not believe the city needs any liquidity and, with that in mind, purchasing these bonds would be in the city’s best interest. She would like to meet again in a month, she said, to discuss the continuing surplus in the city’s general fund.