Minutes - Investment - 2008-02-28 61.014*�
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COSTA MESA SANITARY DISTRICT
MINUTES OF INVESTMENT OVERSIGHT COMMITTEE MEETING
February 28, 2008
CALL TO ORDER The meeting was called to order at 5:00 p.m. by Treasurer/Finance Director
Marc Davis
ROLL CALL Committee Members Present:
Director James Ferryman (rotating committee member)
Director Arlene Schafer (rotating committee member)
Mr. Rob Hamers, Manager/District Engineer
Staff Members Present:
Mr. Marc Davis, Treasurer/Finance Director
Mr. Thomas Fauth, Assistant Manager
Ms. Joan Revak, Board Secretary/Program Manager/Clerk of the District
Ms. Sherry Kallab, Management Analyst
• NEW BUSINESS Review of Treasurer's Report
Mr. Davis reported that the District's portfolio is earning approximately
4.015% as of January, 2008. Mr. Davis reported, due to the decrease in
interest rates, two investments were called in January and two additional
investments were called in February. Mr. Davis stated that the timing of the
investments being called is good given the need for funds for the District
yard. Mr. Davis referred to the call features on page 10 of the January
Treasurer's report. Mr. Davis commented that when the District re-invests
the funds in late spring or early summer, he would not recommend an
investment with a continuous call feature. Mr. Davis noted that the drop in
interest rates is easily identified in the chart on page 12 of the January
Treasurer's report. Mr. Hamers responded that the District's rate had
remained steady for the year and complimented Mr. Davis on a job well
done.
Status of Springbrook New Modules
Mr. Davis acknowledged that Sherry Kallab, District Accountant and Jacque
Rogers from his office had been in training with Springbrook for the Fixed
Asset and Accounts Receivable modules the District recently purchased. Mr.
Davis stated that the plan is to update the District Assets, to ease with asset
additions and deletions, using the sewer atlas and a manhole to manhole
basis. The new Fixed Asset module will assist in project tracking and provide
• integration with the General Ledger. The Accounts Receivable module will
be used to centralized all District invoicing. Currently at the end of the year
the District Accountant has to talk to several individuals to determine what
MINUTES OF INVESTMENT OVERSIGHT COMMITTEE MEETING February 28,2008
Page 2
may be outstanding. Mr. Hamers interjected that most of the District's
charges are processed through the County Assessor's Office, but that the •
Accountant does have to send out some miscellaneous invoices and needs
the ability to track those invoices. Mr. Davis mentioned the ease of items
falling through the cracks with the current manual procedure being used. Mr.
Davis suggested that the time frame to implement the new modules will be
the beginning of the next fiscal year to allow time to make changes in the
current procedures. Director Schafer asked if the new modules and their
implementation could be discussed during the budget study session. Mr.
Davis replied that there will be no budget associated with the implementation,
but that the item can be discussed at the budget study session meeting. Mr.
Hamers questioned if everything is working well regarding the new modules
and Ms. Kallab confirmed that it is.
Extension of Agreement for Audit Services
Mr. Davis noted that for the March Board meeting, he would be bringing the
Diehl Evans Audit Services Contract to the Board to exercise the first one-
year extension option with a cost of$12,500. The contract was a three-year
contract with two one-year options. The third-year audit was just completed
this past year and the District has been pleased with the firm's services and
professionalism. Mr. Hamers noted that the firm has issued good reports.
Mr. Davis commented the firm has been accessible to answer questions and
they present the audit report to the Board at no additional costs. Director
Schafer asked if their price for the audit was in the ball park of what the
charges should be. Mr. Davis stated that we should bid the contract upon •
completion and that a good price for the audit of a district our size should be
around $10,000.
PUBLIC COMMENTS There were no items discussed under public comments.
ADJOURNMENT The meeting adjourned at 5:20 p.m.
Approved by:
Secretary, Costa Mesa Sanitary District President, Costa Mesa Sanitary District
Board of Directors Board of Directors
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