The URL can be used to link to this page

Home My WebLink About7/7/2010 - STAFF REPORTS - 2.N. Ap*pALMsp4 �y to v m �'p>ORATE� rq�lFN%P OR City Council Staff Report DATE: July 7, 2010 CONSENT CALENDAR SUBJECT: TREASURER'S INVESTMENT REPORT AS OF May 31, 2010 FROM: Geoffrey S. Kiehl, Director of Finance and Treasurer BY: Department of Finance and Treasury SUMMARY Attached is the Treasurer's Investment Report as of May 31, 2010. The report includes the face value and coupon rate (if applicable) of the investments and the source for the market value estimate. The City's total invested cash is $101,285,677 plus $22,908,408 in bond issue capital projects, reserve and debt service funds. The market value of the invested cash is $101,804,437. RECOMMENDATION: Receive and File Treasurer's Investment Report as of May 31, 2010. STAFF ANALYSIS: The attached report includes the face value and coupon rate (if applicable) of the investments and the source for the market value estimate. Also included is information on the investments of bond issue reserve, debt service and related funds. The investments, in type, maturity and as a percentage of the total portfolio, are in compliance with the existing City Council-approved investment policy with one exception: the FICO notes ($500,000, 4/16/18, 9.8%) exceed the 5 year limitation on maturities (Detail of Investments, Long Term Investments, U.S. Govt. Agency Securities). The investment in question was purchased prior to the adoption of the 5-year limitation_ Since it appears to represent no additional risk either because of credit-worthiness or liquidity, earlier councils decided to allow it to be retained in the investment pool because the yield is higher than attainable City Council Staff Report July 7, 2010— Page 2 Treasurer's Investment Report as of May 31, 2010 under current market conditions. We recommend that this exception to the policy be continued. The weighted average maturity (WAM) of the portfolio is 276 days. The maximum WAM allowed by the Investment Policy is 1095 days. The current portfolio and expected revenue cash flow will be sufficient to meet budgeted expenditure requirements for the next six months and the foreseeable future thereafter. FISCAL IMPACT: None 2, Geoffr y S. Kiehl, Director of Finance and Treasurer Attachments: Treasurer's Investment Report treasry CITY OF PALM SPRINGS 6/17/2010 TREASURER'S MONTHLY REPORT SUMMARY OF INVESTMENTS MAY 311 2010 jOnCaI12Mits Adjusted Basis Category Total Percentage Checking Account S 2,394,822 State Pool 70,700,000 S 73,094,822 72.17% Short Term Investments (1 year or less Corporate Notes 2,785,430 Mortgage Pass-Thrus 966,831 Time Dtposits 940,000 4,692,261 4.63% Medium Term Investments (1 yearto3 ears U.S.Gov't Agencies 10,000,000 10,000,000 9.9r/o Long Term Investments (3 years to 5 ears) U.S.Gov't Agencies 13,498,594 13,498,594 1.3.33% S 101,285,677 100.000/0 "Some investments made prior to the implementation of the current Investment Policy exceed the 5 year limit. J treasrep TREASURER'S MONTHLY REPORT &1712010 DETAIL OF INVESTMENTS MAY 31,2010 Coupon Yield Adjusted (memo only) Prior Qtr. Par Value Rate Rating Maturity to Maturity Cost Basis Category Total Market Value Source Market Value On Call Deposits Checking•Bank ofAmenca $ NIA variable AAA open 0.1v. S 2,394,822 S 2,394,822 S 2,588,053 Local Agency Invert Fund(LAIF)* 70,700,00D variable NIA open 0.56°/a 70,700,000 70,783,645 LAIF 56,753,742 73,094,822 Short Term Investments 1 year or less Corporate Notes Wells Fargo&Company 800,000 3.98% AA- 10/29/10 4.20% 795,160 808,712 Bank cf NY Mellon $15,072 SBC Communications,Inc. 1,000,000 5.30% A 11115110 5.17% 1,004,150 1,019,430 Bank of NY Mellon 1,028,810 Goldman Sachs Group,Inc. 1,000,000 5.00% A 01/15/11 5.37% 986,120 1,017,220 Bank of NY Mellon 1,032,350 2,785,430 Mortgage Pass-Thrus Federal Home Loan Mortgage Corporation 2.280,000 4.50% NIA 05/01/10 5.29% 0 0 Bank of NY Mellon 217,295 Federal Home Loan Mortgage Corporation 1,370,000 5.00% NIA 0910i110 5.35% 132,266 138,101 Bank of NY Mellon 145,708 Federal National Mortgage Aasociatim 500,000 4.00% NIA 10I01/10 4.95% 78,604 94,473 Bank of NY Mellon 97,478 Federal Home Loan Bank 775,000 4.75% NIA 10/25/10 4.88% 349,346 359,141 Bank o€NY Mellon 373,187 Federal Home Loan Mortgage Corporation 1,015,552 4.50% NIA 02/01/11 5.24% 191,272 205,823 Bank of NY Mellon 219,608 Federal Home Loan Mortgage Corporation 695,000 4.000% NIA 04/01/11 5.22% 165,413 181,892 Bank of NY Mellon 205,048 Federal Home Loan Mortgage Corporation 200,000 4.50% NIA 05/01/11 3.37% 49,931 53,020 Bank ofNY Mellon 58,261 966,831 Time Deposits CD Account Registry Service(CDARS) 940,000 1.60°/a AAA 07/13/10 1.61% 940,000 940,000 Palm Desert Not.Bank 940,000 940,000 YID treaarep TREASURER'S MONTHLY REPORT 611 712 01 0 DETAIL OF INVESTMENTS MAY 31,2010 Coupon Yield Adjusted (memo only) Poor Qtr- Par Value Rate Rating Matunty to Maturity Cost Basis Category Total Market Value Source Market Value Medium Term Investments t yea to 3 U.S.Gov t Agency Securities Federal Howe Loan Bank 1,000,000 4.10% NIA 06124111 4.109% 1,00G,000 1,002,188 Bork ofNY Mellon 1,008,438 Federal Rome Loan Bank 1,00%,000 4.13% NIA 06/24/11 4.13% 1.000,000 1,002,188 Bank ofNY Mellon 1,008,750 Federal Home Loon Bank 1,000,000 3.25% NIA I M281I 1 325% 0 0 Bonk ofNY Mellon 1,003,750 Federal Home Loan Mortgage Corporation 1,000,000 4.02% NIA 06MI12 4.02% 1,000,000 1,002,290 Bank ofNY Mellon 1,008,060 Federal Home Loan Bank 2,000,000 1.75% NIA 10/29/12 1-75% 2,000,000 2,009,375 Bank ofNY Mellon 2,006,250 Federal Home Loon Bank 1,000,000 2.304A NIA 121W12 2.30% 1,000,0M 1,001,250 Bank ofNY Mellon I,004,063 Federal Home Loom Mortgage Corporation I,000,000 2.50% NIA 12/28/12 2.50'/. 1,000,000 1,018,540 Bankof NY Melon 1,016,970 Federal Ham Loan Bank 2,000,000 2.00% NIA 01/14/13 2.00% 2,000,000 2,014,375 Bank of NY Mellon 2,001,250 Federal Hamm Loan Mortgage Corporation 1,000,000 2.25% NIA 01/30/13 2.25% 1,000,000 1,002,350 Bank of NY Mellon 1,003,630 Federal Farm Credit Bank 2,000,000 2.00% N/A 03/22/13 2.10% 0 0 Bank of NY Mellon 1,996,975 10,000,000 Long Tam Investment 3 to 5 arm U.S.Gov4 Agency Securities Federal Home Loan Bank 2,000,000 2.W/e NIA 06/241I3 2.00% 2.000,000 2,009,375 Bank ofNY Mellon 2,000,625 Federal Ham Loon Bank 1,000,000 2.85% NIA OW191I3 2.85% 1,000,000 1,005,313 Bank ofNY Mellon 1,009,688 Federal Home Loan Mortgage Corporation 2,000,000 2.W. NIA 09/11/13 2 00% 2,000,000 2,000,960 Bank ofNY Mellon 1,997,960 Federal Home Loon Bank 2,000,000 2A8°/6 NIA 12MI13 2.08% 2,000,000 2,014,373 Bank ofNY Mellon 1,986,875 Federal Home Loan Bank 2,000,000 2.35% NIA 03/17/14 2.351/6 2,000,000 2,017,500 Bank ofNY Melon 1,986,875 Federal National Mortgage Association 1,000,000 3.500% NIA 08/25/14 3.50% 1,0001000 1,006,873 Bank of NY Mellon 1,010,000 Federal Ham Loan Mortgage Corporation 1,000,000 3.00% NIA 11/05/14 3.001/6 1,000,000 1,011,050 Bank of NY Mellon 1,004,420 Federal National Mortgage Association 1.000,000 3.25% NIA 11/12/14 3.25% 0 0 Bank of NY Mellon 1,003,125 Federal Farm Credit Bank 2,000,000 2.75% NIA 12/11/14 2.75% 2,000,000 2,001,250 Bank of NY Mellon 1,986,875 Financing Corporation(PICO) 500,000 9.80% NIA 04/06/18 9.80% 498,594 698,906 NationsBank 671.406 13,498,594 Total Invested S 101,285,677 S 101,804,437 S 92,194515 *Includes the following deposits of non-City funds: Principal laterest Total SMG(Convention Center) 100,000 95,606 195,606 Palm Springs Historical Society 250,000 52,424 302,424 TREASURER'S MONTHLY REPORT treasrep MISCELLANEOUS AND TRUST ACCOUNTS 6/17/2010 MAY 31, 2010 Yield Adjusted Par Value Coupon Rating Maturity to Maturity Cost Basis Category Total Total Invested Cash $ 101,285,677 $ 101,285,677 $ 101,285,677 Miscellaneous Accounts Petty Cash 3,900 NIA NIA open none 3,900 Revolving Fund-Bank of America 15,763 NIA NIA open none 15,763 Trust&Agency-Bank of America 2,507,362 NIA NIA open none 2,507,362 Downpayment Assistance(Housing Fund)-7P Morgan Chase 33,683 0.15% NIA open 0.15% 33,683 Workers Compensation-Bank of America 3,527 NIA NIA open none 3,527 General Liability-Bank of America 36,399 NIA NIA open none 36,399 1930's General Store Museum 4,687 NIA NIA open none 4,687 2,605,321 IDeposits Held In Trust Time Deposits (FDIC Insured) BBVA Compass(Coyote Springs Apt) 20,372 1.99% NIA 6/24110 2.000/0 20,372 20,372 JTWCash Deposited $ 103,911,370 TREASURER'S MONTHLY REPORT treasrep BOND ISSUE RESERVE,DEBT SERVICE&RELATED FUNDS 06117/10 MAY 31,2010 Coupon Yield Adjusted (memo only) Prior Qtr. Par Value Rate Rating Maturity to Maturity Cost Basis Category Total Market Value Source Market Value 1991/97/01/04 Convention Center lnvesco Goverment&Agency Private 839 variable AAA open 0 01% 839 839 Bank ofNY Mellon 1,847 Federal Home Loan Morgtgage Corporation 5,465,000 4.13% NIA 9127/13 1.93% 5,867,849 5,907,323 Bank of NY Mellon 5,847,550 5,869,687 1992/06 Airport Invesco Govermant&Agency Private 717,692 variable AAA open 0.01% 717,692 717,692 Bank ofNY Mellon 562,149 U.S.Treasury Note 855,000 1.39% NIA 3115/13 1.55,14 M,692 959,542 Bank ofNY Mellon 849,990 1,568,393 1991141 Series B•Housing Invesco Goverment&Agency Private I4,909 variable AAA open 0.01% 14,909 14,909 Bank ofNY Mellon 9,586 Federal Home Loan Bank 420,000 4.63% N;A 10/10/12 1.38% 453,705 453,994 Bank ofNY Mellon 452,813 46%614 1994/04 Series A&B Invesco Government&Agency Private 114,704 variable AAA open 0.01% 114,704 114,704 Bank ofNY Mellon 114,668 Federal Home Loan Mortgage Corporation 965,000 4.13% NIA 9/27/13 1.93% 1,036,134 1,043.105 Bank ofNY Mellon I,032,550 Federal Home Loan Mortgage Corporation 571,000 4.13% NIA 9/27/13 1.93% 613,091 617,215 Bank ofNY Mellon 610,970 1,763,929 1998M Airport PFC Invesco Goverment&Agency Private 868,951 variable AAA open 0.01% 968,951 869,951 Bank ofNY Mellon 522,450 U.S.TreasuryNote 918,000 1.38% NIA 3/15/13 1.55% 913,374 922,877 Bank of NY Mellon 912,621 1,782,326 1998 Assessment District 155 A&B Invexo Goverment&Agency Private 147,290 variable AAA open 0.02% 147,290 147,290 Bank ofNY Mellon 147,285 147,290 2001 Assessment District 1571158 Invesco Government&Agency Private 187,081 variable AAA open 0.02% 187,081 187,091 Bank of NY Mellon 187,075 187,081 2002 Parking Structure Cash 3 3 3 Bank ofNY Mellon 0 Invesco Government&Agency Private 3,760 variable AAA open 0.02% 3,760 3,760 Bank ofNY Mellon 4,021 3,763 1� TREASURER'S MONTHLY REPORT treastv BOND ISSUE RESERVE,DEBT SERVICE&RELATED FUNDS 06/17/10 MAY 31,20I0 Coupon Yield Adjusted (memo only) Prior Qtr. Per Value Rate Rating Mattm y to Maturity Cost Basis Category Toni Market Value Source Market Value 2004 Assessment District 161 Invesoo Government&Agency Private 83,392 variable AAA open 0.01% 83,392 93,392 Bank of NY Mellon 417,621 Key Bank National Association,Ohio 108,000 4.30% NIA 12/20/12 1.90% 115,105 115,698 Bank of NY Mellon 0 CIT Bank,Salt Lake City,Utah 205,000 3.05% N/A 1128/13 1.me 211,607 213,223 Bank of NY Mellon 0 410,104 2004 Assessment District 162 Invesco Government&Agency Private 66,894 variable AAA open 0.01% 66,894 66,994 Bank of NY Mellon 161,036 Capital One Bank USA National Association 88,000 4.15% NIA 3/3113 1.WA 93,946 94,129 Bank ofNY Mellon 0 160,740 2005 Assessment District 164 hwesco Government&Agency Private 95,412 variable AAA open 0.02°/a 95,412 95,412 Bank ofNY Mellon 367,167 Citizens Bank,Flmt,Michigan 245,000 1.85% N/A 3/41I3 1.80°/a 245,347 245,000 Bank ofNY Mellon 0 Capital One Bank USA National Association 25,0w 4.15% NIA 315A3 1.80% 26,661 26,741 Bank ofNY Mellon 0 367,420 2007 Merged Project#1&02 Invesco Government&Agency Private 7,266,456 variable AAA open 0.02% 7,266,456 7,266,456 Bank ofNY Mellon 7,306,545 7,266,456 2007 Refttttding Lease Revenue Bonds Invesco Government&Agency Private 9 vshable AAA open 0.01% 9 9 Bank of NY Mellon 1,358,053 9 2008 Airport PFC Refunding Invesco Government&Agency Private 416 variable AAA open 0.01% 416 416 Bank of NY Mellon 416 Federal Home Loan Mortgage Corporation 603,000 4.13% NIA 9n7113 1.93% 647,450 651,805 Bank of NY Mellon 645,210 647,866 ERICA Radio System Lease Financial Square Federal fund Service 170,196 variable AAA open 0.01% 170,196 170,196 Deutsche Bank 170,193 170,196 Funds With Century Golf 2,095,545 2,095,545 2.095,545 Century Golf 1,317,376 2,095,545 Totals S 22,908,408 S 22,984,201 S 22,994,214 PO treasrep TREASURER'S MONTHLY REPORT 06/17/10 CALCULATION OF INVESTMENT LIMITATIONS MAY 31, 2010 Allowable Percentages By Maturity: Minimum Maximum Current Mo. 1 day to 365 days $8,000,000 NIA $77,787,083 1 year to 3 years 0.00% 50.00% 9.87% 3 years to 5 years 0.00% 30.00% 12.84% over 5 years NIA NIA 0.49% By Type of Investment: Bankers Acceptance - in total NIA 40.00% 0.00% Bankers Acceptance - single bank NIA 20.00% 0.00% Commercial Paper N/A 15.00% 0.00% Certificates of Deposit NIA 30.00% 0.93% Corporate Notes NIA 20.00% 2.75% Money Market Mutual Funds NIA 10.00% 0.00% Mortgage Pass Thrus NIA 10.00% 0.95% U.S. Government Agencies NIA 50.00% 23.20% to U.S. Treasury Notes/Bonds NIA NIA 0.00%