HomeMy WebLinkAboutFin Investment Report 2014.09Agenda Item No: 3. f
Meeting Date: October 20, 2014
SAN RAFAEL CITY COUNCIL AGENDA REPORT
Department: FINANCE
Prepared by: Van Bach(-
Accounting Manager
City Manager Approval:
SUBJECT: QUARTERLY INVESTMENT REPORT
RECOMMENDATION: ACCEPT INVESTMENT REPORT FOR THE QUARTER ENDING
SEPTEMBER 30, 2014, AS PRESENTED
BACKGROUND:
Pursuant to the State of California Government Code Section 53601 and the City's investment policy,
last reviewed and approved by Council on June 16, 2014, staff provides the governing body a report on
the City's investment activities. The report outlines the investment activity for the preceding quarter.
Included on the report are the cost of each investment, the interest rates (yield), maturity dates, and
market value. Separate schedules are prepared for both the City and the Successor Agency to San
Rafael Redevelopment Agency.
Since December 2011, the City's pooled funds not used for current operations have been invested
almost exclusively in the Local Agency Investment Fund (LAIF), a State-run investment pool. The one
exception to this was a $1,750,000 investment in assessment district bonds. Beginning in March 2014,
the City returned to an investment strategy that included purchases of securities outside of LAIF with
the assistance of its investment advisor, Cutwater Asset Management.
ANALYSIS:
As of September 30, 2014, the LAIF account had a balance of $30,550,873. Portfolio returns on LAIF
deposits were approximately .24% at quarter end. The remaining investment assets included the
$1,641,500 balance of Pt. San Pedro Assessment District bonds, and $8,877,889 in government
agency securities and corporate bonds (including T -Note, FHLB, GE, and Toyota). The overall portfolio
return for September 2014 was .45%.
The City's Westamerica account had a balance of $8,090,102 at quarter end.
Exhibit A is composed of the three monthly reports summarizing the City's investments for the quarter
ending September 30, 2014.
FOR CITY CLERK ONLY
File No.: 9 -11a y S-9
Council Meeting: 1 9
Disposition: '( cc., e&e,Cm2 %
SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 2
FISCAL IMPACT:
No financial impact occurs by adopting the report. The City continues to meet the priority principles of
investing - safety, liquidity and yield in respective order. The portfolio remains conservatively invested.
Sufficient liquidity exists to meet daily operating and capital project requirements for the next six
months. Operating funds, as defined for this report, exclude cash held with fiscal agents for the
payment of bond principal and interest.
OPTIONS/ACTION REQUIRED:
The City Council should adopt the report as presented in order to satisfy current State Investment
Code requirements and City policy.
Attachment
WAManagement Services- WorkFile\Finance- WorkFile\Council Material\Staff Repo rts\201 3\City\cityi nvrp9301 4. doc
SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 3
TREASURER'S CERTIFICATION
I CERTIFY THAT ALL INVESTMENTS MADE ARE IN CONFORMANCE WITH THE CITY'S
APPROVED INVESTMENT POLICY AND STATE INVESTMENT REGULATIONS. THE CITY HAS
SUFFICIENT LIQUIDITY TO MEET ALL OF THE OBLIGATIONS REQUIRED DURING THE NEXT
SIX-MONTH PERIOD.
MARK MOSES
FINANCE DIRECTOR