The Waveland Board of Mayor and Aldermen on Wednesday discussed the possibility of investing with Trinity Capital Investors.
Jeff Wilson, chief investment officer with Trinity, told the board that the firm handles about $465 million in public entity funds.
Wilson said the firm helps cities, counties, and universities "earn the highest interest rate they can."
Waveland City Clerk Mickey Lagasse said he invited Wilson to speak to the board after watching Hancock County make the same investment and speaking with County Administrator Eddie Favre.
Wilson said public entities "are allowed to do certain things that are guaranteed by the U.S. government."
"Our proposal, which would allow us to invest money in your name, you still maintain control and ownership of that money," Wilson said. "But we believe we can offer you a competitive term higher than you're getting now. The money you invest is completely liquid and you can have it back at any time."
Wilson said Trinity provides a contract and there is also a third-party state-approved custodian.
All investments also adhere to Mississippi statute 21-33-323 and 31-19-5, he added.
For investments, Trinity utilizes a "mixture of Treasuries, GNMAs, Mississippi taxable municipal bonds, and other allowable investments," the proposal states.
Lagasse said he proposed the city could invest about $2.5 million.
There is about $1.6 million in the old depository account, which is on hold for FEMA, he said. The city of Waveland savings account has about $220,000 and Lagasse said he proposed taking about $700,000 out of the city's depository account, which has a fund balance of about $3.9 million.
At present, if the city invested $2.5 million in its local bank, the interest rate would be 1.31 percent, with an annual net earning of $10,916, Lagasse said.
Should the city invest with Trinity, Lagasse said, it could invest $2.5 million at a starting interest rate of 2.5 percent, which would yield earnings of about $56,250 over the course of a year.
That is after Trinity's quarterly fee of one-quarter of one percent of what was deposited, Lagasse said. He estimated that annual cost to be about $6,250.
The proposal also included possible interest rates of 2.7 and 2.9 percent, which could yield annually about $61,250 and $66, 250, respectively, Lagasse said.
Alderman Shane LaFontaine said that he is "all about investing, but I want to sit down and discuss the amounts and where it's coming from."
Other board members also agreed that investing would be a good option, but collectively decided to table the matter until further discussion on the matter.
In other action:
The board recognized the Bay High School softball team. For the first time in 10 years, the team participated in the playoffs. Team members include: Ahmia Khadaroo, Kayla LaFontaine, Rhea Lymuel, Aubrey Smith, McKenna LaFontaine, Blakeleigh Lumpkin, Lizzie Weems, Domonique Cole, Lauren-Anne Lagasse, Liyuan Hilliard, Brennan Brooks, McKenzie Farve, Annabelle Hayes, Breleigh Miller, Annlyssa Richardson, Aimme Smith, and Gracey Adkins. The team is led by Coach Wali Shabazz.
The board recognized city comptroller Ron Duckworth as April's Employee of the Month.
Smith announced that on Wednesday, officials held a pre-construction meeting for the Martin Luther King, Jr. Park Community Center. A groundbreaking is scheduled for June 3 and a notice to proceed was issued for June 5.
The board scheduled a second public hearing for 410 Wainwright St. for June 4 at 6:30 p.m.
The board approved a motion to end the city's current leases with Dunks Cafe and High Bueno, LLC., which are located in the Waveland Business Center on Coleman Avenue. This will end a month-to-month lease with the required 30-day notice. The end date is June 30 with the new master tenant , Studio Waveland, LLC, taking possession on July 1.
The board approved a motion to transfer $6,000 from the city's beautification budget to Keep Waveland Beautiful. During the week of June 2-7, Tennessee High School volunteers will be helping the organization work on beautification projects.
City attorney Rachel Yarborough announced that she would be resigning as city attorney, effective at the end June. Yarborough said she plans to spend more time with family.
The next meeting is scheduled for 4 at 6:30 p.m.