HomeMy WebLinkAbout971693.tiffRESOLUTION
RE: DESIGNATE ADDITIONAL MONEY MARKET FUNDS AS DEPOSITORIES FOR
WELD COUNTY FUNDS AND AUTHORIZE THE WELD COUNTY TREASURER TO
INVEST IN SUCH FUNDS
WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to
Colorado statute and the Weld County Home Rule Charter, is vested with the authority of
administering the affairs of Weld County, Colorado, and
WHEREAS, pursuant to C.R.S. § 24-75-601.1(1)(k), Weld County may invest any
moneys in its treasury, which are not immediately required to be disbursed, in money market
funds as long as such funds are registered as investment companies under the federal
"Investment Company Act of 1940", as amended, and comply with all of the remaining
requirements set forth in C.R.S. § 24-75-601.1(1)(k), and
WHEREAS, by resolution of the Board dated January 23, 1995, the Board designated
various banks, savings and loans, public asset pools, and money market funds as depositories
for the funds of Weld County, Colorado, and
WHEREAS, the Board now deems it in the best interest of Weld County to designate, in
addition to the money market funds designated in the Board's Resolution dated January 23,
1995, the Money Market Fund, Government Securities Fund and the Treasury Securities Fund
of the Mitchell Hutchins Liquid Institutional Reserves, through PaineWebber, Inc., as a
depository for funds of Weld County, and
WHEREAS, Arthur Willis, Weld County Treasurer, advises the Board that the Money
Market Fund, Government Securities Fund and the Treasury Securities Fund of the Mitchell
Hutchins Liquid Institutional Reserves, through PaineWebber, Inc., are registered as investment
companies under the federal "Investment Company Act of 1940", as amended, and comply
with all of the remaining requirements set forth in C.R.S. § 24-75-601.1(1)(k).
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of
Weld County, Colorado, that the Money Market Fund, Government Securities Fund and the
Treasury Securities Fund of the Mitchell Hutchins Liquid Institutional Reserves through
PaineWebber, Inc., be, 2'nd hereby are, designated as depositories for the funds of Weld
County; and that the Weld County Treasurer be, and hereby is, authorized to invest those Weld
County moneys as are not immediately required to be disbursed in said funds.
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971693
TR0017
Dale K. Hall
George E. Baxter, Chair
RE: DESIGNATE ADDITIONAL MONEY MARKET FUNDS
PAGE 2
The above and foregoing Resolution was, on motion duly made and seconded, adopted
by the following vote on the 4th day of August, A.D., 1997.
BOARD OF COUNTY COMMISSIONERS
WELD C,�OUNTY, COLORADO
ance L. Harbert, Pro -
EXCUSED
Barbara J. Kirkmeyer
W. H. Webster
(l.,/(it
971693
TR0017
fto
Wine
COLORADO
Board of County Commissioners
FROM: Bruce T. Barker, County Attorney
DATE: July 22, 1997
RE: Authorization to Weld County Treasurer
to Invest Weld County Funds in
Additional Money Market Fund
Art Willis, Weld County Treasurer, desires to have the Board of County Commissioners make changes
to the Board's previous authorizations of his investments of Weld County's funds. On January 20, 1997,
the Board of County Commissioners approved a resolution designating various banks, savings banks,
public asset pools, and money market funds as depositories for Weld County's funds. Now, Art would
like to have the authorization to invest Weld County's funds in the Money Market Fund, Government
Securities Fund and the Treasury Securities Fund of Mitchell Hutchins Liquid Institutional Reserves
through PaineWebber, Inc.. A copy of the September 1, 1996, Prospectus for the Fundst is attached.
I have spoken with Jeff Nutall and Adam Vengrow of PaineWebber. They assure me that the investment
policies and goals of the three Funds meet the requirements of C.R.S. §24-75-601.1 (1)(k), as follows:
1. Each Fund is registered as an investment companies under the Federal "Investment
Company Act of 1940," as amended.
2. The investment policies of the Funds include seeking to maintain a constant share price.
3. No sales or load fees are added to the purchase prices or deducted from the redemption
prices of the investments in the Funds.
4. Each Fund has " ... the highest current rating from one or more nationally recognized
organizations that regularly rate such obligations ... "
5. The dollar weighted average portfolio maturities of the Funds meet the requirements
specified in Rule 2a-7 under the Federal "Investment Company Act of 1940," as
amended.
971693
Memo, Money Market Funds
July 22, 1997
Page 2
Please review the attached Prospectus and Resolution. Then let me know if you have any objections to
Art's request. If there are no objections, I will place the Resolution on the Board's Agenda for July 28,
1997.
i
Bruce'T. Barker, CountAttorney
George Baxter
Dale Hall
Connie Harbert
Barb Kirkmeyer
Bill Webster
Attachments
pc Art Willis
Don Warden
Place on
Agenda
V
M:\WPFILESNEMO\BOCC\LIQUID.BTB
Schedule
Work Session
97.147,w1 '�,..: CY
Liquid Institutional Reserves
Money Market Fund
Government Securities Fund
Treasury Securities Fund
1285 Avenues of the Americas • New York, New York 10019
Professionally managed money market funds seeking:
• High Current Income
• High Liquidity
• Preservation of Capital
Money Market Fund, Government Securities Fund and Treasury Securities Fund (the
"Funds") are series of Liquid Institutional Reserves, a Massachusetts business trust
("Trust"). Each Fund offers two separate classes of shares —"Institutional" shares and
"Financial Intermediary" shares. Institutional shares are available for purchase primarily
by institutional investors. Financial Intermediary shares are available for purchase by
banks and other financial intermediaries for the benefit of their customers.
This Prospectus concisely sets forth information that a prospective investor should know
about the Funds before investing. Please retain this Prospectus for future reference. A
Statement of Additional Information dated September 1, 1996 (which is incorporated by
reference herein) has been filed with the Securities and Exchange Commission ("SEC").
The Statement of Additional Information can be obtained without charge, and further
inquiries can be made, by contacting the Funds, your PaineWebber Investment Executive
or PaineWebber's correspondent firms, or by calling toll free 1-800-762-1000.
An investment in a Fund is neither insured nor guaranteed by the U.S. government. While
each Fund seeks to maintain a stable net asset value of $1.00 per share, there can be no
assurance that it will be able to do so.
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE
SECURITIES AND EXCHANGE COMMISSION OR ANY STATE SECURITIES
COMMISSION NOR HAS ANY SUCH COMMISSION PASSED UPON THE
ACCURACY OR ADEQUACY OF THIS PROSPECTUS. ANY
REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
Prospectus dated September 1, 1996
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Expenses of Investing in the Funds. The following tables are intended to assist investors in
understanding the expenses associated with investing in each Fund.
Shareholder Transaction Expenses
for All Funds
Sales charge on purchases of shares None
Sales charge on reinvested dividends None
Redemption fee or deferred sales charge None
Annual Fund Operating Expenses*
(as a percentage of average net assets)
Government
Money Market Fund Securities Fund
Treasury Securities Fund
Financial Financial Financial
Institutional Intermediary Institutional Intermediary Institutional Intermediary
Shares Shares" Shares Shares" Shares Shares"
Management Fees (after fee waivers)0.20% 0.20% 0.20% 0.20% 0.20% 0.20%
Shareholder Servicing Fees 0.00% 0.25% 0.00% 0.25% 0.00% 0.25%
Other Expenses (after reimbursements) 0.10% 0.10% 0.10% 0.10% 0.10% 0.10%
Total Operating Expenses (after fee
waivers and reimbursements) 0.30% 0.55% 0.30% 0.55% 0.30% 0.55%
Example of Effect of Fund Expenses*
An investor would pay directly or indirectly the following expenses on a $1,000 investment in each
Fund, assuming a 5% annual return:
1 Year 3 Years 5 Years 10 Years
Money Market Fund
Institutional shares $3 $10 $17 $38
Financial Intermediary shares $6 $18 $31 $69
Government Securities Fund
Institutional shares $3 $10 $17 $38
Financial Intermediary shares $6 $18 $31 $69
Treasury Securities Fund
Institutional shares $3 $10 $17 $38
Financial Intermediary shares $6 $18 $31 $69
This Example assumes that all dividends are reinvested and that the percentage amounts listed
under Annual Fund Operating Expenses remain the same in the years shown. The above tables and the
assumption in the Example of a 5% annual return are required by regulations of the SEC applicable to
all mutual funds; the assumed 5% annual return is not a prediction of, and does not represent, any
Fund's projected or actual performance.
The Example should, not be considered a representation of past or future expenses, and each
Fund's actual expenses may be more or less than those shown. The actual expenses of each Fund will
depend upon, among other things, the level of average net assets and the extent to which each Fund
incurs variable expenses, such as transfer agency costs, and the extent to which PaineWebber waives
fees or reimburses a Fund for expenses.
(footnotes continue on following page)
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971C93
(footnotes from previous page)
* Information in the expense table and the example has been restated to reflect an agreement by
PaineWebber and Mitchell Hutchins to waive 0.05% of the management fees and to reduce or otherwise
limit the expenses of each Fund, on an annualized basis, to 0.30% and 0.55% of each Fund's average
daily net assets for Institutional shares and Financial Intermediary shares, respectively. In the absence of
this agreement, Money Market Fund's, Government Securities Fund's and Treasury Securities Fund's
total operating expenses, stated as a percentage of average net assets, would have been 0.37%, 0.56%
and 0.94%, respectively, for Institutional shares and 0.62%, 0.81% and 1.19% (estimated), respectively,
for Financial Intermediary shares. Without this agreement, under the assumptions set forth in the
example above, the expenses on a $1,000 investment in Money Market Fund, Government Securities
Fund and Treasury Securities Fund at the end of one, three, five and ten years would have been $4, $12,
$21 and $47; $6, $18, $31 and $70; and $10, $30, $52 and $115, respectively, for Institutional shares and
would have been $6, $20, $35 and $77; $8, $26, $45 and $100; and $12, $38, $65 and $144 (estimated),
respectively, for Financial Intermediary shares. PaineWebber and Mitchell Hutchins do not anticipate
that they will waive fees of reimburse expenses in the current fiscal year, except to the extent necessary
to comply with the fee waiver and total expense limitation agreement described above.
** No Financial Intermediary shares were outstanding during each Fund's last fiscal year.
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