Second reading of proposed resolution in October
By Shelby Stewart-Soldan
Staff Writer
ssoldan@mihomepaper.com
OXFORD TWP. — During the regular meeting on Sept. 24, the Oxford Community Schools Board of Education voted unanimously to approve the first reading of a resolution to join the Michigan Liquid Asset Fund.
“It’s a professionally managed, local government investment pool,” said John Fitzgerald, assistant superintendent of business and operations. “It’s very similar to a money market, with a few different changes because it involved school entities and governmental entities.”
The MILAF complies with all state laws relative to investments, as school districts are limited to a certain type of investments. It was established in the 1980s, and currently around 425 local districts participate, as well as community colleges, counties and townships.
“It currently provides a competitive yield that’s really in the last two years since interest rates have started coming up off the floor, its current cash management yield is about 4.99%, net yield. It’s got a max class of investment that’s about 4.13%,” said Fitzgerald. “I was a trustee on the fund for 18 years. I’ve held every roll on the fund from chairman to audit chair to treasurer. I have a tremendous amount of confidence in how the fund is ran.”
Fifteen trustees sit on the MILAF board. This would also not be the only place Oxford School District would hold money, as they would continue to keep funds at Oxford Bank. This would act as a secondary fund pool should something happen that they could not access their main funds at the bank, such as a cyber-security issue. There is no penalty for withdrawing funds in the cash management fund.
“We would use both facilities to maximize the district benefit,” said Fitzgerald.
The resolution will come back for a second reading in October.