11 - Investment Report
ITEM NO. 11
Costa Mesa Sanitary District
Memorandum
To:
Board of Directors
Via:
Scott Carroll, General Manager
From:
Marc Davis, Treasurer
Date:
November 21, 2013
Subject:
Investment Report for the Month of October 2013
Summary
Attached is the Investment Report for the month of October 2013.
activity during the month.
Staff Recommendation
Approve the Investment Report for the month of October 2013.
Analysis
which the securities were purchased, maturity dates and interest31,
2013
Policy adopted by the Board at the June 27, 2013 regular meeting
California Government Code. The market values in this report we
party custodian, Bank of New York, except for the Local Agency I
The market value of LAIF was provided by the S
represent the value of the underlying securities within the pool
amount, which is the amount the District is entitled to withdraw
consistent with industry standard practices for similar funds.
environment by providing solid waste and sewer collection servic
www.cmsdca.gov
Board of Directors
November 21, 2013
Page 2 of 3
portfolio as of October 31, 2013, was 0.817%. The yield to maturity of the portfolio was
0.817rest rate was 55 basis points (0.551%) above
the daily effective yield of LAIF, which was 0.266% as of October 31, 2013. The weighted
1,040 days (2.85
years). The average duration of the underlying securities in LAIF as of October 31, 2013
was 220 days.
requires that a minimum of 20.00% of the portfolio must mature w
percentage of the portfolio maturing in less than one year as ofOctober 31, 2013 was
28.00%.
As of October 31, 2013, the District has adequate operating reserves necessary t
its obligations for the next six months.
Strategic Plan Element & Goal
This item supports achieving Strategic Element No. 7.0, Finances, by ensuring the short
and long-term fiscal health of the District.
Legal Review
Legal review is not required.
Financial Review
The portfolio was budgeted to earn an average rate of 0.900% forJune
31, 2014. Through October 31, 2013 the portfolio has earned a weighted average interest
rate of 0.783%. Interest rates are starting to creep up, so staff anticipates that the
weighted average interest for the portfolio will also increase s
Public Notice Process
Copies of this report are on file and will be included with the entire age
November 21, 2013 Board of Directors regular meeting at District Headquarters (631 W.
th
19 www.cmsdca.gov.
Board of Directors
November 21, 2013
Page 3 of 3
Alternative Actions
1. Refer the matter back to staff
Attachments
October 31, 2013
C O S T A M E S A S A N I T A R Y D I S T R I C T
Treasurer's Report of Pooled Cash and Investments
October 31, 2013
DepositsOutstanding
Bank BalanceIn TransitsChecksBook Balance
Active Accounts:
Bank of America 1,591.75$ - 432.00 1,159.75$
Total Active Accounts1,591.75 - 432.00 1,159.75
Market Adjustment
Market ValueIncreaseDecreaseCost
Investments:
Local Agency Investment Fund4,712,224.40$ - - 4,712,224.40$
Money Market/Sweep Account32,975.29 - - 32,975.29
Federal Agency Securities12,074,931.25 - (125,068.75) 12,200,000.00
Total Investments16,820,130.94 - (125,068.75) 16,945,199.69
Total Pooled Cash & Investments16,821,722.69$ -$ (124,636.75)$ 16,946,359.44$
Costa Mesa Sanitary District
Pooled Cash and Investments by Fund
October 31, 2013
Solid Waste Fund:
Operating Reserve$ 801,000.00
Unreserved:
Designated for working capital 1,494,000.00
Undesignated 2,331,522.90
Liquid Waste Fund:
Operating Reserve 371,000.00
Reserved for Earthquakes/Emergencies 1,000,000.00
Reserved for Capital Outlay 2,536,707.02
Unreserved:
Designated for working capital 2,467,300.00
Undesignated 73,425.64
Sewer Construction Fund 100,000.00
Facilities Revolving Fund 260,670.07
Asset Replacement Fund 353,994.11
Asset Management Fund 5,156,739.70
Total Pooled Cash & Investments$ 16,946,359.44
11/13/13
Marcus D. DavisDate
Treasurer
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C O S T A M E S A S A N I T A R Y D I S T R I C T
Investment Activity Summary
October 31, 2013
$ 17,536,193.38
Total investments outstanding as of September 30, 2013
Additions:
Gain on sale of investment -
Investment purchases -
Deductions:
Investments called -
Net increase (decrease) in Sweep Account 5,001.59
Net increase (decrease) in LAIF (595,995.28)
$ 16,945,199.69
Total investments outstanding as of October 31, 2013
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COSTA MESA SANITARY DISTRICT
Summary of Policy Limitations
October 31, 2013
Current %
of Market Value
Description10/31/13Maximum %
U.S. Treasury Bills0.00%Unlimited
U.S. Treasury Notes0.00%Unlimited
Federal Agency Issues:
FICB0.00%Unlimited
FLB0.00%Unlimited
FHLB0.00%Unlimited
FHLMC35.28%Unlimited
FNMA30.68%Unlimited
FFCB5.83%Unlimited
Other *0.00%Unlimited
Banker's Acceptances0.00%25% (1)
Certificates of Deposit0.00%25%
Negotiable Certificates of Deposits0.00%25% (1)
Commercial Paper0.00%25% (1)
Medium Term Corporate Notes0.00%20% (1)
LAIF (Local Agency Investment Fund)28.02%40,000,000
Shares of Benefical Interest0.00%20%
Money Market/Mutual Funds (Sweep Acct)0.20%10% per fund (2)
100.00%
Total
% of portfolio maturing under one year 28.00%no less than 20%
% of portfolio maturing over one year72.00%
100.00%
(1) Further limited to 10% in any single issuer
(2) Also limited to 20% in total.
*These securities are not considered for purchases: SBA, GNMA, TVA and SALLIEMAE
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