[bouldercouncilhotline] Hotline: First reading questions re Financial Disclosure

[cmosupport at bouldercolorado.gov]

Sender: Carr, Thomas


Mary,
 
Thanks for your questions.  Here are my the questions with my answers following.
 
1. Would the proposed definition for "excepted investment fund" include the following types of investments: Delaware LLCs, revocable living trusts, land trusts,
 asset protection trusts and private instruments such as private placement contracts?
 
The definition of excepted investment fund is as follows:  “’Excepted investment fund’ means a mutual fund, common trust fund of a bank, pension or deferred
 compensation plan, or any other investment fund, which is widely held; publicly traded (or available) or widely diversified; and under circumstances where the investor neither exercises control over nor has the ability to exercise control over the financial
 interests held by the fund. A fund is widely diversified when it holds no more than five percent of the value of its portfolio in the securities of any one issuer (other than the U.S. Government.)” 

 
It is unlikely that any of the investments identified in your question would qualify as an excepted investment fund.   None of these investments would be
 likely to meet the requirement be “widely held, publicly trade or widely diversified.”  Even if one met one of these criteria, the investment would only qualify if the investor neither exercised control nor has the ability to exercise control over the financial
 interests held by the fund.

2. Would "financial dealings" include disclosure of the names of members/owners/partners that participate in such dealings?
 
Council’s consensus appeared to be that names of other participants in investments not be subject to disclosure.  This is a policy question for council.
 
3. How will the public to access the disclosure information? Does this differ from the status quo?
 
The disclosure forms are available through the city’s website.   There is nothing in the ordinance that addresses public access. 

 
 


From: Young, Mary

Sent: Friday, April 04, 2014 11:51 AM
To: HOTLINE
Subject: First Reading Questions on Financial Disclosure


 


1. Would the proposed definition for "excepted investment fund" include the following types of investments: Delaware LLCs, revocable living trusts, land trusts,
 asset protection trusts and private instruments such as private placement contracts?

2. Would "financial dealings" include disclosure of the names of members/owners/partners that participate in such dealings?


 


3. How will the public to access the disclosure information? Does this differ from the status quo?


 


Thank you.


 


Best regards,


 

Mary Dolores Young
Boulder City Council
303-501-2439
youngm at bouldercolorado.gov