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01-17-2006 - November 2005 Treasurer's ReportCity of West Covina Memorandum AGENDA Item No. D- 5 Date January 17, 2006 TO: Andrew G. Pasmant, City Manager and City Council FROM: Thomas Bachman, Director Finance Department SUBJECT: NOVEMBER 2005 TREASURER'S REPORT RECOMMENDATION: It is recommended the City Council receive and file this report. DISCUSSION: Section 53646 of the Government Code requires a city's chief fiscal officer to submit quarterly reports to their legislative body. This report is to include the type of investment, issuer, date of maturity, par and dollar amount invested on all securities, investments and money held by the local agency. It must also include a statement that the portfolio is in compliance with the City's investment policy or manner in which it is not in compliance and note the ability of the local agency to meet its expenditure requirements for the next six months or provide an explanation as to why sufficient money may not be available. On January 1, 2001, AB943 took effect, amending the law to also require local agencies to submit reports to the State of California for the second and fourth quarters of each year. The most recent report submitted to the State was for June 2005. The Finance Department exceeds these requirements by submitting Treasurer's reports to the West Covina City Council each month. The November Report shows the City's portfolio decreased from $50,643,170.85 on October 31, 2005 to $48,157,357.04 on November 30, 2005. Beginning with the May 2001 report, average maturity information has been provided for investments in the City's portfolio. The overall average maturity of the portfolio is 1386 days or approximately four years. This unusually long maturity is caused by two, long term, high interest investments made in the early 1980s, which constitute approximately twenty nine percent of the portfolio. Approximately twenty seven percent of the portfolio is on deposit in the Local Agency Investment Fund (LAIF). These funds are completely liquid since the City could withdraw them at any time. The remaining forty four percent of the portfolio has an average maturity of less than two years. Prepared by: Dennis Swink Controller — 7� -.A I ............ Reviewed/Approve by: Thomas Bachman Finance Director CITY OF WEST COVINA STATEMENT OF TREASURER'S ACCOUNTABILITY NOVEMBER 30, 2006 TYPES OF DEPOSITS: OCTOBER 31 DEPOSITS WITHDRAWALS NOVEMBER 30 -CHECKING ACCOUNTS WELLS FARGO GENERAL CHECKING $ 1,104,650.00 $ 13,093,989.90 $ 13,140,887.90 $ 1,057,752.00 WELLS FARGO BANK GEN AUTO & LIABILITY - 44,243.12 44,243.12 - WELLS FARGO BANK WORKER'S COMPENSATION - 85,911.45 85,911.45 _ WELLS FARGO PAYROLL 42,352.30 3,077,383:41 3,067,871.27 51,864.44 WELLS FARGO CDBG DEFERRED LOAN PROGRAM 122,147.91 10.04 - 122,157.95 PACIFIC WESTERN NAT BANK DEFERRED LOAN PROGRAM 19,855.41 52,488.31 52,488.31 19,855.41 PACIFIC WESTERN NAT BANK CITY COUNCIL DEBIT CARDS 14,475.63 9,600.00 657.05 23,418.58 SUB -TOTAL $ 1,303,481.25 $ 16,363,626.23 $ 16,392,069.10 $ 1,275,048.38 2.648"/o OTHERINVESTMENTS: WELLS FARGO SWEEP $ 425,803.38 $ 4,900,674.32 $ 5,325,603.06 $ 874.64 0.002% FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) 4,688,593.75 - 4,688,593.75 •` 9.736% FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC) 10,199,962.50 - - 10,199,962.50 21.180% FEDERAL HOME LOAN BANKS (FHLB) 13,989,630.00, - - 13,989,630.00 29.050% UNITED STATES TREASURY BILL 1,958,746.67 - 1,958,746.67 4.067% LOCAL AGENCY INVESTMENT FUND - CITY (LAIF) 16,799,127.39 - 4,000,000.00 12,799,127.39 26.578% LOS ANGELES COUNTY POOL (LACIP) 3,236,572.58 8,801.13 - 3,245,373.71 6.739% SUB -TOTAL $ 49,339,689.60 $ 6,868,222.12 $ 9,325,603.06 $ 46,882,308.66 97.352% TOTAL $ 50,643,170.85 $ 23,231,848.35 $ 25,717,662.16 $ 48,157,357.04 100% •• These two high interest long term Investments were made before State Law limited investments to a maximum five-year term. It has been verified that this Investment portfolio is in conformity with the City of West Covina's investment policy which was approved by the City Council on January 18, 2005. The investment portfolio provides sufficient cash flow liquidity to meet estimated expenditures for the next six months. This report is accurate with respect to all information received as of December 29, 2005. EARNED INTEREST YIELD THIS PERIOD: 4.987% SIX-MONTH TREASURY BILL YIELD: 4.150% R WED BY: ' Dennis Swink, City Controller SUBMITTED BY: Thomas f3sChman, Finance Director PREPARED BY: Angel F. Patefia, KevenueServlce,Supervlsor /4PVD BY Marion V. Smith�City Treasurer • City of West Covina Portfolio Details November 30, 2005 AVERAGE 11/30/2005 10/31/2005 INVESTMENT INVESTMENT I ISSUER I MATURITY I PURCHASE I DAYS TO I CUSIP RATE YIELD COST PAR MARKET MARKET NUMBER TYPE DATE DATE MATURITY VALUE* VALUE' 05-09 FHLB U.S. GOVERNMENT AGENCY 03/28/06 09/28/05 3133XD3U3 4.000 3.995 2,002,500.00 2,000,000.00 1,998,120.00 1,997,500.00 05-08 FHLB U.S. GOVERNMENT AGENCY 06/19/06 09/19/05 3133XD3S8 4.070 4.070 2,000,000.00 2,000,000.00 1,994,380.00 1,995,000.00 05-07 FHLB U.S. GOVERNMENT AGENCY 09/22/06 08/30/05 3133X1480 3.150 3.184 989,190.00 1.000,000.00 988,130.00 987,810.00 04-01 FHLB U.S. GOVERNMENT AGENCY 12/08/06 09/08/04 3133X8BR2 3.060 3.060 1,000,000.00 1,000,000.00 984,060.00 983,750.00 05-06 FHLB U.S. GOVERNMENT AGENCY 02/28/07 08/30/05 3133XCRV7 4.250 4.250 2.000,000.00 2,000,000.00 1,988,760.00 1,990,000.00 04-03 FHLB U.S. GOVERNMENT AGENCY 05/30/07 11/30/04 3133X9EV8 3.180 3.180 1,000,000.00 1,000,000.00 978,130.00 978,130.00 05-05 FHLB U.S. GOVERNMENT AGENCY 08/08/07 08/08/05 3133XCMC4 4.250 4.259 997,940.00 1,000,000.00 990,940.00 991,250.00 05-01 FHLB U.S. GOVERNMENT AGENCY 08/24/07 02/24/05 3133XAQ26 3.760 3.750 1,000,000.00 1,000,000.00 984.060.00 977,500.00 05-04 FHLB U.S. GOVERNMENT AGENCY 11/26/07 05/26/05 3133XBS89 4.200 4.200 1,000,000.00 1,000,000.00 989,060.00 988,130.00 05-03 FHLB U.S. GOVERNMENT AGENCY 02/19/08 05/19/05 3133XBQ57 4.180 4,180 1,000,000.00 1,000,000.00 988,130.00 985,310.00 05-02 FHLB U.S. GOVERNMENT AGENCY 03/07/08 03/07/05 3133XAQ59 4.000 4.000 1,000.000.00 1,000,000.00 983,440.00 973,750.00 449 13.989,630.00 14,000,000.00 13,867,210.00 13,848,130.00 86-01 •• FHLMC U.S. GOVERNMENT AGENCY 06/01/16 06/01/86 313400MC4 8.260 7.728 10,199,962.50 9,555,000.00 12,116,982.15 12,093,094.65 3781 10,199,962.50 9,555,000.00 12,116,982.15 12,093,094.65 04-02 FNMA U.S. GOVERNMENT AGENCY 11/22/06 11/22/04 31359MWRO 3.000 3.000 1,000,000.00 1,000,000.00 984,060.00 983,750.00 85-01 •• FNMA U.S. GOVERNMENT AGENCY 12/10/15 12/10/85 313586UB3 10.350 8.418 3,688,593.75 3,000,000.00 4,246,890.00 4,242,180.00 2997 4.688,593.75 4,000,000.00 5,230,950.00 5,225,930.00 92-01 LACIP LOS ANGELES COUNTY TREASURER 04/20/92 N/A 3.640 3.640 3,245,373.71 3,245,373.71 3,245,373.71 3,245,373.71 102 89-01 LAIF STATE OF CALIFORNIA 10/19/89 N/A 3.636 3.636 12,799,127.39 12,799.127.39 12,799,127.39 12,799,127.39 204 • 05-10 US T-BILL UNITED STATES TREASURY 05/04/06 11/03/05 912795XA4 4.080 4.166 1,958.746.67 2,000,000.00 1,965,460.00 - 154 4.166 1,958,746.67 2,000,000.00 1,965,460.00 - TOTALS: 5.690 46,881,434.02 45,599,501.10 49,225,103.25 47,211,655.75 1386 * MARKET VALUES HAVE BEEN PROVIDED BY UNION BANK. ** These two high Interest long term Investments were made before State Law limited Investments to a maximum five-year term. Note: The Wells Fargo Sweep account was not included In the calculation of average maturity.