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03-01-2016 - Approval of Successor Agency Meeting Minutes - Item No. SA1 (2).pdfCity of West Covina MEMORANDUM AGENDA ITEM NO.: SA1 DATE: March 1, 2016 CITY OF WEST COVINA CITY COUNCIL/SUCCESSOR AGENCY TUESDAY DECEMBER 15, 2015, 7:00 PM REGULAR MEETING - CLOSED SESSION CITY MANAGER'S CONFERENCE ROOM 1444 W. GARVEY AVENUE WEST COVINA, CALIFORNIA 91790 MIL-MUTES Mayor Toma called to order the regular closed session meeting of the West Covina City Council at 6:07 p.m. in the City Manager's Conference Room at City Hall, 1444 W. Garvey Avenue, West Covina. ROLL CALL Present: Mayor Toma, Mayor Pro Tern Warshaw Councilmen Johnson, Spence, Wu Others Present: Freeland, Barlow PUBLIC COMMENTS ON ITEMS ON THE AGENDA None CLOSED SESSION CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION Pursuant to Government Code § 54956.9(d)(1) CLUE v. City of West Covina Tuesday December 15, 2015 CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION Pursuant to Government Code § 54956.9(d)(1) State of California Department of Transportation v. West Covina Successor Agency, et al. [Lakes Office Complex] CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION Pursuant to Government Code § 54956.9(d)(3) Number of Cases: Four (4) CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION: INITIATION OF LITIGATION Pursuant to Government Code 54956.9(d)(4) Number of Cases: Two (2) ADJOURNMENT Mayor Toma adjourned the meeting at 6:57 p.m. Submitted by: Rosalia A. Conde, CMC Assistant City Clerk James Tama Mayor 2 CITY OF WEST COVINA SUCCESSOR AGENCY TUESDAY, DECEMBER 15 2015, 7:00 PM REGULAR MEETING CITY HALL COUNCIL CHAMBERS 1444 W. GARVEY AVENUE SOUTH WEST COVINA, CALIFORNIA 91790 MINUTES CALL TO ORDER — Chairman James Toma called the meeting to order at 9:15 p.m. ROLL CALL Present: Chairman Toma, Vice Chairman Warshaw Agency Members Johnson, Spence, Wu Absent: None CHANGES TO THE AGENDA None ORAL COMMUNICATIONS None CONSENT CALENDAR SA1) Approval of Meeting Minutes (receive & file) It is recommended that the City Council, acting as the Successor Agency to the West Covina Redevelopment Agency, approve the following Successor Agency Meeting Minutes: Tuesday December 15, 2015 July 15, 2015 City Council/Successor Agency Special Meeting July 21, 2015 City Council/Successor Agency Regular Closed Session Meeting July 21, 2015 Successor Agency Regular Meeting August 18, 2015 Successor Agency Regular Meeting Motion by Spence and seconded by Johnson to receive and file the minutes as presented. Motion carried 5-0 by the following vote: AYES: Johnson, Spence, Warshaw, Wu, Toma NOES: None ABSENT: None SA2) Successor Agency Treasurer's Report for the Month Ended October 31, 2015 It is recommended that the City Council, acting as the Successor Agency to the West Covina Redevelopment Agency, receive and file the report. Motion by Spence and seconded by Johnson to receive and file the report as presented. . Motion carried 5-0 by the following vote: AYES: Johnson, Spence, Warshaw, Wu, Toma NOES: None ABSENT: None ADJOURNMENT Motion by Warshaw and seconded by Spence to adjourn the Successor Agency meeting at 9:16 p.m. Submitted by Rosalia A. Conde, CMC Assistant Agency Secretary James Toma Chairman 2 City of West Covina Memorandum AGENDA ITEM NO SA2 DATE March 1, 2016 TO: Chair and Board Members of the Successor Agency FROM: Chris Freeland Executive Director BY: Christa Buhagiar Finance Director SUBJECT: SUCCESSOR AGENCY TREASURER'S REPORT FOR THE MONTH ENDED JANUARY 31, 2016 RECOMMENDATION: It is recommended the City Council, acting as the Successor Agency to the former West Covina Redevelopment Agency, receive and file this report. DISCUSSION: The Investment Policy of the City of West Covina also applies to the Successor Agency to the former West Covina Redevelopment Agency. In accordance with Section XVI of the City of West Covina Fiscal Year 2015-16 Statement of Investment Policy, a Treasurer's Report for the month ended January 31, 2016, is hereby submitted to the Successor Agency. It also includes cash held by trustees for all bond issues and cash in the various Successor Agency bank accounts as well as reporting on compliance with the City's Investment Policy and providing a statement of the ability to meet budgeted expenditure needs for the following six months. At January 31, 2016, the Treasurer's Report shows that the Successor Agency's portfolio increased by $1,766,016.48 from $7,354,738.96 on December 31, 2015, to $9,120,755.44 on January 31, 2016. The increase is the result of receiving the ROPS 2015-16B Redevelopment Property Tax Trust Fund (RPTTF) allocation in January. The Successor Agency had offset costs including the first semi-annual settlement payment to the Department of Finance. The Community Facilities District (CFD) also received a Caltrans litigation settlement payment and sales tax revenue. The Successor Agency's surplus funds are in investment pools with the State of California Local Agency Investment Fund (LAIF) and the Los Angeles County Investment Pool (LACIP). These funds are completely liquid, as the City can withdraw them at any time. Approximately 94 percent of the portfolio is on deposit in LACIP and the remaining small amount of available cash is on deposit in the checking account. The Bond Detail Report includes Fiscal Agent investments of Successor Agency cash which is being held to service various issues of bonded debt. Prepared by: Nicole Lugotoff Accounting Manager Reviewed by: Chri '-ta Buhagiar Finance Director ATTACHMENT NO. 1 — Treasurer's Report Market Value 397,049 560,817 1,280 800,195 996,563 5,480,401 Book Value 397,049 560,817 1,281 779,488 996,563 5,480,401 8,236,305 $ 8,215,599 Colleen B. Rozatti, City linfbiurer ATTACHMENT NO. 1 West Covina Successor Agency Treasurer's Report January 31, 2016 Investment Portfolio Book Value Market Value % of Portfolio Bank Accounts 531,591 $ 531,591 5.83% State Local Agency Investment Fund (LAIF) 0.00% Los Angeles County Investment Pool (LACIP) 8,589,165 8,589,165 94.17% Total Cash and Investments $ 9,120,756 $ 9,120,756 100.00% Blended Yield * 0.70% Benchmarks: LAIF 0.45% LACIP * 0.75% 6mo U.S. Treasury 0.43% 2yr U.S. Treasury 0.76% 5yr U.S. Treasury 1.33% _. Restricted Funds with Fiscal Agent 1988 Housing Set-Aside Tax Allocation Bonds Series A & B 1998 Housing Set-Aside Tax Allocation Bonds Series A & B 1999 Taxable Variable Rate Demand Tax Allocation Bonds 2001 Housing Set-Aside Tax Allocation Revenue Bonds 2002 Taxable Variable Rate Lease Revenue Refunding Bonds 1996 Special Tax Refunding Bonds Total Restricted Funds * To ensure timely submission of the City Treasurer's Report, the prior month's LACIP percentage yield is used. I hereby certify that the investments are in compliance with the investment policy adopted by the City Council in July 2015. The investment portfolio provides sufficient cash flow liquidity to meet estimated expenditures for the next six months. This report meets the requirements of Government Code Section 53646. PREPARED BY: Chiista Buhagiar, Finance Director West Covina Successor Agency Investment Portfolio Activity January 31, 2016 December 31, 2015 Deposits Withdrawals January 31, 2016 Checking Accounts Wells Fargo Checking Wells Fargo Checking - C.F.D. Subtotal 97,962.24 1,672,932.63 $ 1,770,894.87 $ 3,821,899.84 $ 3,666,450.08 $ 253,412.00 845,012.89 2,239,766.42 278,179.10 $ 4,666,912.73 $ 5,906,216.60 $ 531,591.10 Other Investments Local Agency Investment Fund (LAIF) Los Angeles County Investment Pool (LACIP) Los Angeles County Investment Pool (LACIP) - C.F.D. Subtotal 2,043.95 1.89 5 2,045.84 $ 5,574,918.60 1,504,449.99 7,079,368.59 6,881.54 1,502,914.21 1,509,795.75 $ 5,583,844.09 $ 3,007,366.09 $ 2,045.84 $ 8,589,164.34 Total Successor Agency $ 7,354,738.96 $ 7,674,278.82 $ 5,908,262.34 $ 9,120,755.44 In January 2016, the Successor Agency received funds from the DOF-approved ROPS for the January to June 2016 period which will provide sufficient cash flow liquidity to meet estimated expenditures from Janaury to June 2016, West Covina Successor Agency Investment Portfolio Detail January 31, 2016 Issuer/Security Local Agency Investment Fund LAIF - Successor Agency Local Agency Investment Fund Subtotal Maturity Book Market Date Yield Value Value N/A 0.45% $ $ Los Angeles County Investment Pool LACIP - Successor Agency LACIP - CFD Los Angeles County Investment Pool Subtotal N/A 0.70% N/A 0.70% 7,079,369 1,509,796 8,589,165 7,079,369 1,509,796 8,589,165 Portfolio Total $ 8,589,165 $ 8,589,165 0.03 0.32 0,09 344,290.84 101,650.25 114,681.26 194.59 $ 560,817.38 0.03 0.32 0.09 344,290.84 101,650.25 114,681.26 194.59 $ 560,817.38 West Covina Successor Agency Bond Detail Report January 31, 2016 Bond / Investment / Issuer / Account Maturity Date Rate Market Value* Original Cost 1988 Lease Revenue Refunding Bonds (The Lakes Public Parking Project) Federated Treasury Obligations Federated Investors Co Reserve 8/1/2018 Original LOC #NZS671159 I CUSIP #S86714370 Wells Fargo L/C Fund 8/1/2018 $ 396,655.79 $ 396,655.79 392.90 392.90 $ 397,048.69 $ 397,048.69 1998 Housing Set-Aside Tax Allocation Bonds Series A & Taxable Series B (Executive Lodget Project) First American Treas Oblig Cl d Corp Trust First American Funds, Inc. Bond 9/1/2025 Interest Series A 9/1/2025 Interest Series B 9/1/2025 Reserve Series A 9/1/2025 Reserve Series B 9/1/2025 Project Fund Series B 9/1/2025 Principal Account 9/1/2025 1999 Taxable Variable Rate Demand Tax Allocation Bonds First American Treas Oblig Cl d Corp Trust First American Funds, Inc, Revenue Fund 11/1/2029 Cash L/C Fund 11/1/2029 2001 Housing Set-Aside Tax Allocation Revenue Bonds Cash Special Fund FNMA DISCOUNT NOTE U.S. Trees & Agency Reserve Account 3/1/2016 First American Trees Oblig Cl d Corp Trust First American Funds, Inc. Reserve Account 9/1/2031 Project Fund 9/1/2031 $ 1,280,41 $ 1,280.41 1.00 $ 1,280.41 $ 1,281.41 5.27% 799,808.00 779,100.62 336.88 336.88 50.43 50.43 $ 800,195.31 $ 779,487.93 2002 Taxable Variable Rate Lease Revenue Refunding Bonds (Public Facilities Project) First American Treas Oblig Cl d Corp Trust First American Funds, Inc. Special Fund 9/1/2035 3 30.26 $ 30.26 Reserve Fund 9/1/2035 0.01% 996,532 50 996,532.50 $ 996,562.76 $ 996,562.76 Community Facility District No. 1989-1 (Fashion Plaza) 1996 Special Tax Refunding Bonds Guaranteed Investment Contract Westdeutsche Landesbank Girozentrale Reserve Fund 9/1/2022 First American Treas Oblig Cl d Corp Trust First American Funds, Inc. Bond 9/1/2022 Rebate Reserve Fund 9/1/2022 7.01% $ 5,002,670.40 $ 5,002,670,40 437,750.00 437,750.00 39,980.14 39,980,14 $ 5,480,400.54 $ 5,480,400.54 GRAND TOTAL $ 8,236,305.09 $ 8,215,598.71 *Market valuations have been provided by ENY Western Trust Company and U.S. Bank