6.6.8.030 Findings

The Council hereby finds and declares that:

(a) The Pueblo has operated its government in a fiscally prudent manner and has, over the years, developed a sizeable investment fund for the benefit of the Pueblo's long-term financial health.

(b) The Pueblo recently conducted an in-depth review of the investment fund and the practices of the current investment advisor, San Francisco Sentry, and has discovered several weaknesses in the investment practices of the Pueblo.

(c) The current investment practices expose the Pueblo's reserve fund to unnecessary risks based on the volatility of the stock market and the lack of diversification.

(d) The transfer of Pueblo's reserve funds into different investment accounts, each bearing a different level of risk, will reduce the level of risk of loss of the Pueblo's funds.

(e) Based on the advice of an independent expert, the investment policies that guide the practices of the investment advisors should be revised to reflect a more realistic approach towards reaching the investment goals of the Pueblo.