Minutes - Investment - 2010-05-27COSTA MESA SANITARY DISTRICT
MINUTES OF INVESTMENT OVERSIGHT COMMITTEE MEETING
May 27, 2010
CALL TO ORDER The meeting was called to order at 5:05 p.m. by Treasurer Marc Davis
ROLL CALL Committee Members Present:
Director, Bob Ooten (rotating committee member)
Board Secretary, Gary Monahan (rotating committee member)
Mr. Scott Carroll, General Manager
Staff Members Present:
Mr. Marc Davis, Treasurer
Ms. Joan Revak, Office Manager /Clerk of the District
. Ms. Sherry Kallab, Administrative Manager
NEW BUSINESS Review of Treasurer's Report
Mr. Davis reported that the District's portfolio was earning approximately
1.58% as of April 30, 2010, roughly 100 basis points above LAIF.
Approximately 0.49% of the District's portfolio will be maturing in less than
one year. The District has adequate operating reserves to meet liquidity for
the next six months.
Two securities were called after the April investment report was issued. The
first was a Freddie Mac 5 year security with a 3% coupon rate and the
second was a Federal Home Loan step up security that started out at a
coupon of 1% and increased 25 basis points every quarter. Mr. Davis
estimates in the long term no securities will make it to their maturity date.
Mr. Davis made a reference to the Yield Curve Data of the April 30, 2010
Treasurer's Report and noted the small tic up due to securities being called
and the purchases make in January and February. Mr. Davis also noted
funds available for investment will be reduced by the large amount still due
for the District Yard Project.
Review of Proposed Changes to Investment Policy for FY 2010 -11
is The Committee reviewed the proposed changes to the investment policy.
The policy will go to the Board at the June 21, 2010 meeting for approval.
Some changes are a result of the District re- organization and a few changes
MINUTES OF INVESTMENT OVERSIGHT COMMITTEE MEETING May 27, 2010
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are the result of legislative changes. Two resolutions will be required one to
• delegate fund responsibility to the Treasurer and the second resolution to
adopt the policy. Director Ooten stated he would like to discuss the District's
reserve policy in the near future.
PUBLIC COMMENTS There were no items discussed under public comments.
ADJOURNMENT The meeting adjourned at 5:15 p.m.
Approved by:
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Secretar;;,;Costa esa' :ary District
Boar of Dirctbrs
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President, Costa Mesa Salary District
Board of Direct s