Minutes - Investment - 2005-06-09 im a•FA'
COSTA MESA SANITARY DISTRICT
MINUTES OF INVESTMENT OVERSIGHT COMMITTEE MEETING
June 9, 2005
CALL TO ORDER The meeting was called to order at 5:30 p.m. by the District Manager, Mr.
Rob Hamers.
ROLL CALL Committee Members Present:
President Jim Ferryman (rotating committee member)
Director Arlene Schafer(rotating committee member)
Mr. Rob Hamers, Manager/District Engineer
Staff Members Present:
Ms. Joan Revak, Board Secretary/Program Manager/Clerk of the District
Wendy Davis, Treasurer
Ms. Sherry Kallab, Accountant
NEW BUSINESS Current Interest Rates
Ms. Davis discussed the current interest rate environment as it relates to
the District's budgeted revenue in the 04-05 and 05-06 fiscal years. Also
discussed was the possible need for the liquidation of an investment prior
to maturity to meet the District's cash flow needs during the next few
months when no property tax revenues are distributed. The Committee
reviewed the District's "Schedule of Investments by Type" and determined
that most of the investments are currently underwater. Therefore, if an
investment were sold, the District would sustain a loss. The Treasurer
suggested that the 20% liquidity amount be increased in the Statement of
Investment Policy to prevent having to sell a security to meet cash flow
needs. Discussion followed.
PUBLIC COMMENTS There were no items discussed under public comments
ADJOURNMENT The meeting adjourned at 5:58 p.m.
Approved by:
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Board of Directors Board of irectors