title
Resolution Directing the City Manager to Support Fossil Fuel-Free Investing Strategies
body
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Department: |
Finance |
Meeting Date: |
7/15/2025 |
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Contact Name: |
Michael Pirsch |
Public Hearing: |
No |
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Contact Phone: |
910-342-2771 |
Advertising Date/Advertised By: |
N/A |
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Attachments: |
Attachment #1: Resolution; Attachment #2: Amended Investment Policy |
PURPOSE:
The City of Wilmington adopted its current Investment Policy (Policy) on September 22, 2006, with the purpose of facilitating the preservation of capital and investment of public funds in a manner which provides the highest investment return with the maximum security while meeting the daily cash flow demands of the City and conforming to all state statutes governing the investment of public funds. This resolution acknowledges the desire of City Council to pursue fossil fuel-free investment strategies, to the extent possible, and directs the City Manager to review and amend the City’s current investment policy to support that strategy.
BACKGROUND:
The City is committed to responsible financial stewardship and climate-conscious decision-making, and it aims to align its investment portfolio with its sustainability goals, while safeguarding the long-term interests of its residents. City Council’s Audit Committee met in June of 2025 to consider proposed amendments to the City’s current investment policy to align with the City’s sustainability goals, and the Audit Committee expressed a desire for such an amendment.
City staff has drafted amendments to the current policy, included as an attachment to this resolution, to provide an example for City Council of what excluding investment in commercial paper issued by companies engaged in the extraction and/or production of fossil fuels, such as coal, oil, and natural gas would look like. This type of strategy would not apply to any statutorily authorized investment pool where the City doesn’t have control over the allocation of investments contained therein. This resolution does not approve the actual policy amendments, which are within the purview of the City Manager, but it directs the City Manager to proceed with fossil fuel-free investment strategies on behalf of the City and to continue that practice unless and until such time that different direction is given.
BUDGET IMPACT:
There is no impact to the budget from this resolution.
RECOMMENDATION / ACTION REQUESTED:
Passage of the attached resolution is recommended.