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02-06-2007 - December 2006 Treasurer's Reporti r� • City of West Covina Memorandum AGENDA Item No. D r.5 Date February 6, 2007 TO: Andrew G. Pasmant, City Manager and City Council FROM: Thomas Bachman, Director Finance Department SUBJECT: DECEMBER 2006 TREASURER'S REPORT RECOMMENDATION: It is recommended the City Council receive and file this report. DISCUSSION: Effective January 1, 2006, Section 53646 of the Government Code states that a city's chief fiscal officer may 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. Although it is no longer a requirement to submit quarterly reports to the local legislative body, the Finance Department will continue to submit Treasurer's reports to the West Covina City Council each month. Also, on January 1, 2001, AB943 took effect, amending the law requiring local agencies to submit reports to the State of California for the second and fourth quarters of each year. The December 2006 report will be submitted to the State. The December Report shows the City's portfolio increased from $60,853,412.25 on November 30, 2006 to $62,511,144.71 on December 31, 2006. 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 1018 days or approximately three years. This unusually long maturity is caused by two, long term, high interest investments made in the early 1980s, which constitute approximately twenty two percent of the portfolio. Approximately forty nine 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 twenty nine percent of the portfolio has an average maturity of less than one year. Bond Detail Report: The December report also includes a Bond Detail Report. This report shows how Fiscal Agents are investing City, Community Development Commission and Public Financing Authority cash, which they hold to service various debts. This information is reported to the City Council quarterly. Prepared by: Dennis Swink Controller Reviewe Approved by: Thomas Bachman Finance Director r• CITY OF WEST COVINA STATEMENT OF TREASURER'S ACCOUNTABILITY DECEMBER_31, 2006 TYPES OF DEPOSITS: NOVEMBER 30 DEPOSITS WITHDRAWALS DECEMBER 31 CHECKING ACCOUNTS WELLS FARGO GENERAL CHECKING $ 282,815.00 $ 18,639,327.18 $ . 18,615,816.18 $ 306,326.00 WELLS FARGO BANK GEN AUTO & LIABILITY - 14,063.25 14,063.25 - WELLS FARGO BANK WORKER'S COMPENSATION - 140,166.17 140,166.17 - WELLS FARGO PAYROLL 28,690.63 2,871,623.00 2,850,313.63 50,000.00 PACIFIC WESTERN NAT BANK DEFERRED LOAN PROGRAM 1,268.57 15,204.77 15,204.77 1,268.57 PACIFIC WESTERN NAT BANK CITY COUNCIL DEBIT CARDS 15,908.71 463.96 1,260.55 15,112.12 • SUB -TOTAL $ 328,682.91 $ 21,680,848.33 $ 21,636,824.55 $ 372,706.69 0.596% OTHERINVESTMENTS: WELLS FARGO SWEEP $ 1,531,200.86 $ 5,525,216.85 $ 3,946,477.45 $ 3,109,940.26 4.975% FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) 5,664,713.75 - 1,976,120.00 3,688,593.75 "" 5.901% FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC) 13,227,184.50 - 13,227,184.50 "" 21.160% FEDERAL HOME LOAN BANKS (FHLB) 9,997,940.00 - 2,000,000.00 7,997,940.00 12.794% LOCAL AGENCY INVESTMENT FUND - CITY (LAIF) 26,724,350.02 5,000,000.00 1,000,000.00 30,724,350.02 49.150% LOS ANGELES COUNTY POOL (LACIP) 3,379,340.21 11,089.28 3,390,429.49 5.424% SUB -TOTAL $ 60,524,729.34 $ 10,536,306.13 $ 8,922,597.46 $ 62,138,438.02 99.404% TOTAL $ 60,853,412.26 $ 32,217,154.46 $ 30,559,422.00 $ 62,511,144.71 100% These investments include two high interest long term investments which 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 January 26, 2007. • EARNED INTEREST YIELD THIS PERIOD: 5.586% SIX-MONTH TREASURY BILL YIELD: 4.880% REV BY: Dennis Swink, City Controller SUBMITTED BY: Th mas B man, ance i or PRE ' Aggel F. Patena, Revenue Services Supervisor CTifc Mai'mtrV. Sm thson, City Treasurer City of West Covina Portfolio Details December 31, 2006 AVERAGE 12/31 /2006 11 /30/2006 INVESTMENT INVESTMENT I ISSUER I MATURITY PURCHASE I DAYS TO I CUSIP I RATE I YIELD I COST I PAR I MARKET MARKET I NUMBER TYPE DATE DATE MATURITY VALUE' VALUE' 2004-08-04 FHLB U.S. GOVERNMENT AGENCY 12/08/06 09/08/04 3133X8BR2 3.060 2006-03-22 FHLB U.S. GOVERNMENT AGENCY 12/22/06 03/22/06 3133XEUE7 5.000 2005-08-30 FHLB U.S. GOVERNMENT AGENCY 02/28/07 08/30/05 3133XCRV7 4.250 2004-11-30 FHLB U.S. GOVERNMENT AGENCY 05/30/07 11/30/04 3133X9EV8 3.180 2005-08-08 FHLB U.S. GOVERNMENT AGENCY 08/08/07 08/08/05 3133XCMC4 4.250 2005-02-24 FHLB U.S. GOVERNMENT AGENCY 08/24/07 02/24/05 3133XAQ26 3.750 2005-05-26 FHLB U.S. GOVERNMENT AGENCY 11/26/07 05/26/05 3133XBS89 4.200 2005-05-19 FHLB U.S. GOVERNMENT AGENCY 02/19/08 05/19/05 3133XBO57 4.180 2005-03-07 FHLB U.S. GOVERNMENT AGENCY 03/07/08 03/07/05 3133XAQ59 4.000 234 2006-09-01 FHLMC U.S. GOVERNMENT AGENCY 03/21/07 09/01/06 3134A1RG7 6.943 1986-06-01 " FHLMC U.S. GOVERNMENT AGENCY 06/01/16 06/01/86 313400MC4 8.250 2714 2006-06-20 FNMA U.S. GOVERNMENT AGENCY 12/29/06 06/20/06 3136F4F58 3.125 1985-12-10 '• FNMA U.S. GOVERNMENT AGENCY 12/10/15 12/10/85 313586UB3 10.350 3220 1992-04-20 LACIP LOS ANGELES COUNTY TREASURER— 04/20/92 380 N/A 5.280 1989-10-19 LAIF STATE OF CALIFORNIA 10/19/89 183 N/A 5.110 • 1018 TOTALS: - Matured 12-08-06 - Matured 12-22-06 4.250 2,000,000.00 2,000,000.00 1,996,880.00 1,995,000.00 3.180 1,000,000.00 1,000,000.00 992,190.00 990,310.00 4.259 997,940.00 1,000,000.00 993,440.00 993,440.00 3.750 1,000,000.00 1,000,000.00 990,630.00 990,310.00 4.200 1,000,000.00 1,000,000.00 990.940.00 991.880.00 4.180 1,000,000.00 1,000,000.00 989,060.00 991,250.00 4.000 1,000,000.00 1,000,000.00 986,560.00 988,750.00 7,997,940.00 8,000,000.00 7,939,700.00 7,940,940.00 5.256 3,027,222.00 3,000,000.00 3,011,250.00 3,015,000.00 7.728 10,199,962.50 9,555,000.00 11,704,875.00 11,901,994.65 13,227,184.50 12, 555,000.00 14,716,125.00 14,916, 994.65 - Matured 12-29-06 8.418 3,688,593.75 3,000,000.00 4,122,180.00 4,188,750.00 3,688,593.75 3,000,000.00 4,122,180.00 4,188,750.00 5.280 3,390,429.49 3,390,429.49 3,390,429.49 3,390,429.49 5.110 30,724,350.02 30,724,350.02 30,724,350.02 30,724,350.02 59,028,497.76 57,669,779.51 60,892,784.51 61,161,464.16 • 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. — For this month's report November 2006 LACIP Earnings Rate and November 2006 LACIP Weighted Average Days to Maturity were used due to the unavailability of December figures as of the writing of this report. Note: The Wells Fargo Sweep account was not Included In the calculation of average maturity. r "c CITY OF WEST COVINA BOND DETAIL REPORT December 31, 2006 (Description of Bond Type of Bond Type of Investment Description of Issuer Maturity Date Original Cost Shares/Face t Amount Market Value Rate 1988 Lease Revenue Refunding Bonds Reserve Federated Treasury Obligations Federated Investors Cc Open 375,198.83 375,198.83 375,198.83 4,840 Cash 0.00 0.00 0.00 37 ,198.83 375,198.83 375,198.83 1988 Lease Revenue Refunding Bonds L/C Fund 0.00 0.00 0.00 - Cash 0.20 0.20 0.20 0.20 0.20 0.20 Ending Balances 375,199.03 375,199.03 375,199.03 2002 PFA Lease Revenue Refunding Bond Lease Payment First American Treasury Oblig Fund CL D First American Funds, Inc. Open 67.77 67.77 67.77 4.430 0.00 0.00 0.00 67.77 67.77 67.77 2002 PFA Lease Revenue Refunding Bond Credit Facility California Strs, Letter of Credit #3065234230 California Strs 6/26/2009 0.00 1.00 0.00 - Union Bank of CA L/C #3065234230 Union Bank 6/26/2007 0.00 1.00 0.00 0.00 0.00 0.00 0.00 2.00 0.00 Ending Balances 67.77 69.77 67.77 2003 Community Center COPs Lease Revenue Fund First American Trees Oblig Fd Cl D First American Funds, Inc. Open 0.90 0.90 0.90 0.00 0.00 0.00 0.90 0.90 0.90 2003 Community Center COPs Interest Account First American Treas Oblig CI d Corp Trust First American Funds, Inc. Open 3.37 3.37 3.37 Cash 0.00 0.00 0.00 3.37 3.37 3.37 2003 Community Center COPS Reserve Account First American Trees Oblig CI d Corp Trust First American Funds, Inc. Open 15,519.20 15,519.20 15,519.20 4.670 • F H L M C M T N U.S. Treas & Agency 9/17/2007 289,492.50 290,000.00 289,480.90 5.010 Cash 0.00 0.00 0.00 305,011.70 305,519.20 305,000.10 Ending Balances 305,016.97 305,523.47 305,004.37 0 (Description of Bond Type of Bond Type of Investment Description of Issuer Maturity Date Original Cost Shares/Face Market Value Rate Amount 2004 WC PFA Var Rate Lease Rev Bds Ser A & B Lease Payment 2004 WC PFA Var Rate Lease Rev Bds Ser A & B Credit Facility 2004 WC PFA Var Rate Lease Rev Bds Ser A & B Construction 04A 2004 WC PFA Var Rate Lease Rev Bds Ser A & B 2004 WC PFA Var Rate Lease Rev Bds Ser A & B 2004 WC PFA Var Rate Lease Rev Bds Ser A & B 2004 WC PFA Var Rate Lease Rev Bds Ser A & B 2004 WC PFA Var Rate Lease Rev Bds Ser A & B 2005 WC PFA Var Rate Lease Rev Ref Series C First American Treas Oblig Cl d Corp Trust First American Funds, Inc. Open Cash Union Bank of CA Irrevocable LC #306S235825 Union Bank 8/18/2009 Cash First American Treas Oblig Cl d Corp Trust First American Funds, Inc. Open Money Market Mutual Fund Local Agency Investment Fund (LAIF) Cash Construction 04B First American Trees Oblig CI d Corp Trust First American Funds, Inc. Cash Cost of Issuance Fund 04A First American Treas Oblig Cl d Corp Trust First American Funds, Inc. Cash Cost of Issuance Fund 04B First American Trees Oblig Cl d Corp Trust First American Funds, Inc. Cash Capital Expense.04A First American Treas Oblig Cl d Corp Trust First American funds, Inc. Cash Capital Expense 04B First American Treas Oblig Cl d Corp Trust First American Funds, Inc. Cash Costof issuance First American Trees Oblig Cl d Corp Trust First American Funds, Inc. Cash Open Open 2,824.75 0.00 2,824.75 0.00 2,824.75 4.670 0.00 2,824.75 2,824.75 2,824.75 1.00 1.00 0.00 0.00 0.00 0.00 1.00 1.00 0.00 4,201,612.67 4,201,612.67 4,201,612.67 4.670 0.00 0.00 0.00 - 137,813.87 137,813.87 137,813.87 - 0.00 0.00 0.00 4,339,426.54 4,339,426.54 4,339,426.54 515,749.52 515,749.52 515,749.52 4.670 0.00 0.00 0.00 - 0.00 0.00 0.00 0.00 0.00 0.00 515,749.52 515,749.52 515,749.52 17,311.56 17,311.56 17,311.56 4.670 0.00 0.00 0.00 17, 311.56 17, 311.56 17, 311.56 Open 14,149.91 14,149.91 14.149.91 4.670 0.00 0.00 0.00 14,149.91 14,149.91 14,149.91 - Open 34,973.69 34,973.69 34,973.69 4.670 0.00 0.00 0.00 34,973.69 34,973.69. 34,973.69 Open 25,887.36 25,887.36 25,887.36 4.670 0.00 0.00 0.00 25,887.36 25,887.36 25,887.36 Ending Balances 4,950,324.33 4.950,324.33 4,950,323.33 Open 2,535.04 2,535.04 2,535.04 4.650 0.00 0.00 0.00 - 2,535.04 2,535.04 2,535.04 Ending Balances 2,535.04 2,535.04 2,535.04 L.J Description of Bond Type of Bond Type of Investment Description of Issuer Maturity Date Original Cost Shares/Face Market Value Rate Amount 2006 WC PFA Lse Rev Bd Series A & B 2006 WC PFA Lse Rev Bd Series A & B 2006 WC PFA Lse Rev Bd Series A & B 2006 WC PFA Lse Rev Bd Series A & B 2006 WC PFA Lse Rev Bd Series A & B 2006 WC PFA Lse Rev Bd Series A & B 2006 WC PFA Lse Rev Bd Series A & B 2006 WC PFA Lse Rev Bd Series A & B 2006A Lse Rev Cap Int A First American Trees Oblig FD CL D First American Funds, Inc. Cash 2006A Reserve Account First American Treas Oblig CI d Corp Trust First American Funds, Inc. Guaranteed Investment Contract MBIA INC Cash 2006A Construction Fund First American Trees Oblig FD CL D First American Funds, Inc. Cash 2006A Cost of Issuance Fund . First American Trees Oblig FD CL D First American Funds, Inc. Cash 2006E Lse Rev Cap Int B First American Treas Oblig FD CL D First American Funds, Inc. Cash 2006B Reserve Account First American Treas Oblig FD CL D First American Funds, Inc. Cash 2006E Construction Fund First American Trees Oblig FD CL D First American Funds, Inc. Cash 20065 Cost Of Issuance Fund First American Treas Oblig CI d Corp Trust First American Funds, Inc. Cash `Market valuations have been provided by BNY Western Trust Company and U.S. Bank Corporate Trust Services Open 457,487.46 457,487.46. 457,487.46 4.670 0.00 0.00 0.00 457,487.46 457,487.46 457,487.46 Open 7,276.70 7,276.70 7,276.70 4.670 5/15/2036 952,923.31 952,923.31 952,923.31 4.940 0.00 0.00 0.00 960, 200.01 960, 200.01 960, 200.01 Open 9,262,218.36 9.262.218.36 9,262,218.36 4.670 0.00. 0.00 0.00 0.00 0.00 0.00 9,262,218.36 9,262,218.36 9,262,218.36 Open 5,837.10 5,837.10 5,837.10 4.680 0.00 0.00 0.00 - 0.00 0.00 0.00 - 5,837.10 5,837.10 5,837.10 Open 939,205.68 939,205.68 939,205.68 4.670 0.00 - 0.00 0.00 939,205.68 939,205.68 939,205.68 Open 590,895.23 590,895.23 590,895.23 4.670 0.00 0.00 0.00 590,895.23 590,895.23 590,895.23 Open 5.454,513.61 5,454,513.61 5,454,513.61 4.670 0.00 0.00 0.00 5, 454, 513.61 5, 454, 513.61 5, 454, 513.61 Open 12,830.84 12,830.84 12,830.84 4.670 0.00 0.00 0.00 12.830.84 12, 830.84 12, 830. 84 Ending Balances 17,683,188.29 17,683,188.29 17,683,188.29 GRAND TOTALS 23,316,330.43 23,316,839.93 . 23,316,317.83 ,