Murfreesboro, Tenn. - The Board of Trustees of the Murfreesboro Community Investment Trust are scheduled to convene a significant meeting on Wednesday, January 24, 2024, at 4:00 p.m. The meeting will take place at the Municipal Airport Business Center Community Room, located at 1930 Memorial Blvd.
The agenda for the meeting includes crucial matters pertaining to investment management services, selection of custodian, adoption of investment policy, and consideration of asset allocation and investment implementation schedule. These discussions are integral to the responsible management of funds derived from the recent sale of the City's electric system.
Following a thorough selection process facilitated by search consultant Brad Alford of Alpha Capital Management on November 29, 2023, three investment companies vied for the opportunity to serve as the Outsourced Chief Investment Officer (OCIO) for the Community Investment Trust Board of Trustees. After careful deliberation, Chicago-based Marquette National emerged as the selected entity by a vote of the Board of Trustees.
The City's decision to sell its electric distribution system operations and assets to Middle Tennessee Electric Membership Corporation (MTEMC) for $245 million has paved the way for the Community Investment Trust to responsibly manage the proceeds. With $43 million paid at closing and annual installments of $17,290,134 scheduled over a 15-year period, totaling nearly $302.4 million with interest, the Board of Trustees holds a weighty responsibility in ensuring optimal utilization of these funds. You may recall, the initial purchase was first approved by the TVA in 2020 and the Trust was established in 2021.
As stipulated by the City Charter, the Board of Trustees possesses both authority and responsibility for the investment and disbursement of monetary balances aimed at supplementing the needs of the City and supporting charitable organizations that benefit the community.
The outcome of the upcoming meeting on Wednesday holds significant implications for the financial landscape of Murfreesboro non profits, as local organizations stand to receive millions of dollars over the years to come. As previously announced, a huge percentage of the funds will be given to not-for-profit organizations. Each time money is granted for a non-profit, committee members will have to approve the payouts.
Residents and stakeholders are encouraged to stay informed about the outcomes of the meeting, as decisions made will shape the future trajectory of investment and community development initiatives in Murfreesboro.
