§ 30-02-020. Time deposits.

(a)

Financial institutions must meet all of the following requirements to qualify as a depository for the city:

(1)

Financial institution must be federally insured.

(2)

Financial institution's equity-to-asset ratio must be at or above levels recommended by federal regulatory agencies.

(3)

Financial institutions must submit to the city within forty-five (45) days following the end of each quarter a copy of their quarterly call report as issued to the appropriate federal agency to qualify as a city depositor.

(4)

Financial institutions whose annual reports indicate successive losses for the two (2) preceding years will not qualify as a city depositor.

(5)

Financial institutions not located within the corporate limits of the City of Alamogordo must have assets in excess of one hundred million dollars ($100,000,000.00).

(b)

The investment officer may deposit funds in any federally insured bank, savings and loan association, or credit union, up to the amount of such insurance, without requiring such bank, savings and loan association, or credit union to qualify as a City of Alamogordo depository.

(c)

Time deposits shall be in a minimum denomination of one hundred thousand dollars ($100,000.00).

(d)

Minimum acceptable rate will be the bond equivalent yield on U.S. treasury notes or bills of similar maturity, as quoted by the New Mexico State Treasurer's Office.

(e)

In placing time deposit monies, preference shall be given to the local financial institutions whenever competing bids from out-of-town financial institutions do not exceed the highest bid from the local financial institutions by twenty-five (25) basis points.

(f)

The total of time deposits with any financial institution shall not at any time exceed the net worth of said financial institution.

(Ord. No. 722, 10-13-87; Ord. No. 747, § 1, 1-24-89)