§ 3.12.020. Investment Authority.

The District's Board of Directors (Board) is responsible for enacting policies and procedures related to the operation and administration of the Plan. District staff has authority to implement the investment policy and guidelines in the best interest of the Plan to best satisfy the purposes of the Plan.

The Board has the responsibility to set the governance structure of the Plan. The governance structure includes trust oversight, financial management and operational procedures to maintain the Plan. The Plan shall be overseen with the care, skill and diligence of a prudent individual acting in a like capacity. Responsibilities of District staff shall include, but not be limited to, the following:

A.

Shall enter into written contracts with all parties (consultants, actuaries, counsel, custodian, etc.) to the Plan.

B.

Shall take action consistent with fiduciary responsibilities.

C.

Shall recommend periodic amendments to investment guidelines.

D.

Maintain Board-adopted written investment guidelines.

E.

Shall periodically discuss and review matters including conduct and performance of all Plan service providers.

F.

Record and maintain documentation of decisions made.

In implementing this Policy Statement, the Board delegates certain functions to:

A.

An investment advisor ("Advisor") to assist the District in the investment process and to maintain compliance with this Policy Statement. The Advisor may assist District staff in establishing investment policy, objectives, and guidelines; selecting investment managers ("Managers") or mutual funds and other common investment vehicles as specifically approved from time to time ("Investments"); reviewing Managers and Investments over time; measuring and evaluating performance; and other tasks as deemed appropriate. The Advisor may also select Investments with discretion to purchase, sell, or hold specific securities that will be used to meet the Plan's investment objectives. Neither the Advisor nor any Manager shall ever take possession of any securities, cash or other assets of the Plan, all of which shall be held by the third-party custodian. The Advisor must be registered with the Securities and Exchange Commission.

B.

A third-party custodian to maintain possession of physical securities and records of street name securities owned by the Plan, collect dividend and interest payments, redeem maturing securities, and effect receipt and delivery following purchases and sales, among other duties. The third-party custodian will perform regular accounting of all assets owned, purchased, or sold, as well as movement of assets into and out of the Plan.

C.

A trustee, such as a bank trust department, if the Plan does not have its own Trustees, to assume fiduciary responsibility for the administration of Plan assets; provided, however, that if the Board shall have appointed an investment advisor, then any trustee appointed under this paragraph shall have no authority with respect to selection of investments.

D.

Additional specialists such as attorneys, auditors, actuaries, retirement plan consultants, and others to assist the District in meeting its responsibilities and obligations to administer Plan assets prudently.

( Res. No. 2015-8-4, § 1(Policy No. 8.6), 8-25-2015 ; Res. No. 2018-9-2 , § 1, 9-25-2018)