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01-15-2008 - November 2007 Treasurer's ReportCity of West Covina Memorandum AGENDA Item No. D & Date January 15, 2008 TO: Andrew G. Pasmant, City Manager and City Council FROM: Thomas Bachman, Director Finance Department SUBJECT: NOVEMBER 2007 TREASURER'S REPORT RECOMMENDATION: It is recommended the City Council receive and file"this report. 1 "191ISSIT970 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. The November Report shows the City's portfolio decreased from' $56,246,289.90 on October 31, 2007 to $45,932,434.14 on November 36, 2007. 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 1337 days or approximately three and a half years years. The portfolio includes two long-term, high interest investments made in the early 1980s which constitute approximately thirty percent of the portfolio. Approximately twenty one 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 nine percent of the portfolio has an average maturity of just over one year. Prepared by: Dennis Swink Controller Reviewe Approved by: Thomas achman Finance Director 0 • TYPES OF DEPOSITS: CHECKING ACCOUNTS CITY OF WEST COVINA. STATEMENT OF TREASURER'S ACCOUNTABILITY NOVEMBER 30, 2007 OCTOBER 31 DEPOSITS WITHDRAWALS NOVEMBER 30 WELLS FARGO GENERAL CHECKING $ 460,134.00 $ 24,722,831.98 $ 24,895,555.98 $ 287,410.00 WELLS FARGO BANK GEN AUTO & LIABILITY - 26,545.95 26,545.95 - WELLS FARGO BANK WORKER'S COMPENSATION 2,384.31 51,741.90 54,126.21 WELLS FARGO PAYROLL 173,907.99 3,272,153.68 3,137,378.15 308,683.52 PACIFIC WESTERN NAT BANK DEFERRED LOAN PROGRAM 1,268.57 68,136.00 29,886.00 39,518.57 SUB -TOTAL $ 637,694.87 $ 28,141,409.51 $ 28,143,492.29 $ 636,612.09 1.384% OTHER INVESTMENTS: WELLS FARGO SWEEP FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA) $ 1,119,559.73 $ 6,611,635.75 10,472,415.12 $ 9,363,728.93 $ 2,228,245.92 4.851% FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC) 12,193,882.50 - 6,611,635.75 "" "" 14.394% FEDERAL HOME LOAN BANKS (FHLB) 12,001,361.00 - 1,000,000.00 12,193,882.50 11,001,361.00 26.547% 23.951% LOCAL AGENCY INVESTMENT FUND - CITY (LAIF) 20,136,726.40 - 10,440,000.00 9,696,726.40 21.111 % LOS ANGELES COUNTY POOL (LACIP) 3,545,429.65 19,540.83 3,564,970.48 7.761% SUB -TOTAL $ 55,608,595.03 $ 10,491,956.95 $ 20,803,728.93 $ 45,296,822.05 98.616% TOTAL $ 56,246,289.90 $ 38,633,365.46 $ 48,947,221.22 $ 45,932,434.14 100% 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, 2006. 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 21, 2007. EARNED INTEREST YIELD THIS PERIOD: 5.832% SIX-MONTH TREASURY BILL YIELD: 3.460% REVIEWED BY: Dennis Swink, City Controller SUBMITTED B Thoma Bachman, Fih PREPARED BY: ..ice Angel F. Paten , Revenue Services Supervisor APPR ED BY Marion V. Sn,! s6n, City Treasurer City of West Covina Portfolio Details November 30, 2007 AVERAGE 11/30/2007 10/31/2007 INVESTMENT INVESTMENT ISSUER MATURITY PURCHASE DAYS TO CUSIP RATE YIELD COST PAR MARKET MARKET NUMBER TYPE DATE DATE MATURITY VALUE' VALUE' 2005-05-26 FHLB U.S. GOVERNMENT AGENCY 11/26/07 05/26/05 3133XBS89 4.200 - Matured 11-26-07 - 2005-05-19 FHLB U.S. GOVERNMENT AGENCY 02/19/08 05/19/05 3133XBQ57 4.180 4.180 1,000,000.00 1,000,000.00 999,690.00 998,750.00 2005-03-07 FHLB U.S. GOVERNMENT AGENCY 03/07/08 03/07/05 3133XAQ59 4.000 4.000 1,000,000.00, 1,000,000.00 999,060.00 997,500.00 2007-01-11.3 FHLB U.S. GOVERNMENT AGENCY 09/12/08 01/11/07 3133XEZP7 5.000 5.058 1,998,024.00 2.000.000.00 2,010,620.00 2,007,500.00 2007-01-11.5 FHLB U.S. GOVERNMENT AGENCY 11/14/08 01/11/07 3133MKGK7 5.250 5.023 1,003,877.00 1,000,000.00 1,010,000.00 1,007,500.00 2007-01-11.1 FHLB U.S. GOVERNMENT AGENCY 12/12/08 01/11/07 3133XHTU6 5.000 5.007 1,999.460.00 2,000,000.00 2,018,760.00 2.011,260.00 2007-09-13 2007-09-17 FHLB FHLB U.S. GOVERNMENT AGENCY U.S. GOVERNMENT AGENCY 11/02/10 05/23/11 09/13/07 09/17/07 3133XKQ99 3133XKQ84 5.250 5.300 5.239 5.288 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,009,380.00 2,012,500.00 2,005,620.00 2,006.880.00 586 11,001,361.00 11,000.000.00 11,060,010.00 11,035,010.00 2007-01-11.4 FHLMC U.S. GOVERNMENT AGENCY 10/06/08 01/11/07 3128X4QL8 4.700 5.023 994,620.00 1.000.000.00 1,003,850.00 1,001,740.00 2007-01-11.2 FHLMC U.S. GOVERNMENT AGENCY 12/26/08 01/11/07 3128X5TD0 5.100 5.136 999,300.00 1,000,000.00 1,000,680.00 1,000,950.00 1986-06-01 "FHLMC U.S. GOVERNMENT AGENCY 06/01/16 06/01/86 313400MC4 8.250 7.728 10,199.962.50 9,555,000.00 11,884,031.25 11,606,362.95 2669 12.193,882.50 11.555,000.00 13,888,561.25 13,609,052.95 2007-01-22 FNMA U.S. GOVERNMENT AGENCY 01/22/09 01/22/07 3136F8DN2 5.150 5.165 999.700.00 1,000,000.00 1,001,560.00 1.001,560.00 2007-01-11.6 FNMA U.S. GOVERNMENT AGENCY 03/16/09 01/11/07 31359MUQ4 3.125 5.000 1,923,342.00 2,000,000.00 1,980,620.00 1,966,260.00 1985-12-10 " FNMA U.S. GOVERNMENT AGENCY 12/10/15 12/10/85 313586U133 10.350 8.418 3.688,693.75 3,000.000.00 4,155.000.00 4.065,000.00 1870 6.611,635.75 6,000.000.00 7,137.180.00 7,032,820.00 1992-04-20 LACIP LOS ANGELES COUNTY TREASURER- 04/20/92 482 N/A 5.310 5.310 3,564,970.48 3,564,970.48 3.564,970.48 3,564,970.48 1989-10-19 LAIF STATE OF CALIFORNIA 0 10/19/89 208 N/A 4.962 4.962 TOTALS: 9,696,726.40 9,696,726.40 9,696.726.40 9,696,726.40 43.068,576.13 41,816,696.88 45,347.448.13 44,938,579.83 `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 rive -year term. "" For this month's report, October 2007 LACIP Earnings Rate and October 2007 LACIP Weighted Average Days to Maturity were used due to the unavailability of November figures as of the writing of this report. Note: The Wells Fargo Sweep account was not Included in the calculation of average maturity. at