03. SEPTEMBER 30, 2014City of Eastvale
City Council Meeting Agenda
Staff Report
MEETING DATE: NOVEMBER 12, 2014
TO: MAYOR AND COUNCIL MEMBERS
FROM: TERRY SHEA, FINANCE DIRECTOR
SUBJECT: TREASURER’S REPORT – QUARTER ENDED SEPTEMBER 30,
2014
RECOMMENDATION: RECEIVE AND FILE THE CITY TREASURER’S REPORT
BACKGROUND:
In accordance with Resolution 11-02, City of Eastvale’s Investment Policy, adopted January 12,
2011, the City Treasurer is required to submit a quarterly treasurer’s report to the City Council.
The report shall include types of investments, investment ratings, institutions involved, dates of
purchases, dates of maturity, amount of deposits or cost of the security, current market value of
the securities, interest rates, investment fund balances and a statement that there are sufficient
funds to meet the City’s cash obligations.
DISCUSSION:
With the recent additions to the City’s investment portfolio, staff has developed a more detailed
Investment Report to be presented to Council. The result are two schedules which will allow
Council to review the total cash available to the City and to review the types of investments that
the City of Eastvale holds and the pertinent details of those investments.
Schedule 1, Schedule of Investments, includes a breakdown of the City’s investments by “Active”
or “Inactive” Deposits. “Active Deposits” are those accounts which receive revenues, whereas
“Inactive Deposits” are available for use but are not earning revenues. Moreover, the City’s
investments are presented at par value (face value), book value, and market value and with all
supplemental information as required by the City’s investment policy.
City of Eastvale
City Council Meeting Agenda
Staff Report
Schedule 2, Dash Board Report Card, consists of four sections:
I. Cash Flow – This section compares the Active and Inactive Deposits at June 30 for the
prior two fiscal years and the three months for the current quarter. Additionally, this
section shows the change in Active Deposits from each of the compared periods.
II. Liquidity Calculation – Liquidity is amount of capital that is available for investment or
spending. Liquidity is determined by means of a calculation using monthly cash balances
and expenditures reduced by reserve requirements.
III. Portfolio Diversification – This section reflects the diversification of the City of Eastvale’s
portfolio by both type of instrument and length of maturity.
IV. Portfolio Performance Measures – The section gives a comparison of the City’s investment
yields compared to various treasury benchmarks. This section also compares budget to
actuals in the area of interest earned.
The City of Eastvale’s Schedule of Investments is in compliance with the City’s Investment Policy.
The City has sufficient funds to meet its expenditure requirements for the next six months. Total
cash and investments at September 30, 2014 is $36,368,624.05 (book value).
FISCAL IMPACT:
No budget or fiscal impact.
ATTACHMENTS:
1. Schedule of Investments – September 30, 2014
2. Dash Board Report Card – September 30, 2014
Prepared by: Joann Gitmed, Deputy Finance Director
Reviewed by: Terry Shea, Finance Director
Robert L. VanNort, Interim City Manager
John Cavanaugh, City Attorney
Book Value (Fair Value)
Par Price @ Market Accrued Purchase Maturity
Institution Value Cost Value Interest Yield Date Date
ACTIVE DEPOSITS
Money Market Accounts:
Citizens Business Bank - Money Market 2,912,608.34$ 2,912,608.34$ 2,912,608.34$ 0.350% N/A N/A
Total Money Market 2,912,608.34$ 2,912,608.34$ 2,912,608.34$ 0.350%
Pooled Investment Accounts:
Local Agency Investment Fund 20,682,737.90$ 20,682,737.90$ 20,686,487.35$ 0.246% N/A N/A
Total Pooled Investment 20,682,737.90$ 20,682,737.90$ 20,686,487.35$ 0.246%
Certificates of Deposit:
Ally Bk Midvale Utah CD 249,000.00$ 249,000.00$ 249,281.37$ 459.43$ 0.700% 09/18/13 03/25/15
ST Bk of India CD New York NY CD 248,000.00$ 248,000.00$ 248,463.76$ 567.09$ 0.850% 09/18/13 09/23/15
GE Cap Bk Salt Lake City UT CD 248,000.00$ 248,000.00$ 248,443.92$ 618.65$ 0.900% 09/18/13 03/21/16
Discover Bk Greenwood DE CD 248,000.00$ 248,000.00$ 249,170.56$ 784.43$ 1.200% 09/18/13 09/26/16
Beal Bank USA Las Vegas NV CD 249,000.00$ 249,000.00$ 248,793.33$ 40.81$ 0.500% 12/11/13 06/17/15
Sallie Mae Bank Salt Lake City UT CD 248,000.00$ 248,000.00$ 248,515.84$ 135.18$ 1.050% 12/04/13 12/12/16
Firstbank PR Santurce CD 249,000.00$ 249,000.00$ 249,246.51$ 88.18$ 0.750% 12/05/13 12/14/15
Flushing Bank NY CD 249,000.00$ 249,000.00$ 249,883.95$ 77.81$ 0.750% 12/11/13 06/30/16
Rollstone Bank Fitchburg MA CD 249,000.00$ 249,000.00$ 248,945.22$ 593.95$ 0.550% 01/14/14 01/25/16
BMW Bank NA Salt Lake City UT CT 249,000.00$ 249,000.00$ 248,733.57$ 467.73$ 0.500% 02/10/14 02/16/16
Doral Bk Catano PR CD 249,000.00$ 249,000.00$ 249,201.69$ 608.05$ 0.650% 02/10/14 08/15/16
Bank Baroda New York NY CD 248,000.00$ 248,000.00$ 248,109.12$ 1,123.53$ 1.000% 01/14/14 01/17/17
GE Cap Ret Bk Draper UT CD 248,000.00$ 248,000.00$ 247,449.44$ 978.29$ 1.050% 02/10/14 02/17/17
Goldman Sachs New York NY CD 248,000.00$ 248,000.00$ 247,883.44$ 728.83$ 1.050% 03/11/14 03/20/17
Community & South Atlanta GA CD 249,000.00$ 249,000.00$ 248,409.87$ 278.93$ 0.500% 04/02/14 04/08/16
Key Bank CD Cleveland OH CD 249,000.00$ 249,000.00$ 248,616.54$ 306.14$ 0.600% 04/02/14 10/17/16
Private Bank & TC Chicago Ill CD 248,000.00$ 248,000.00$ 247,444.48$ 508.19$ 1.000% 04/02/14 04/17/17
Citizens State Bank CD Okemah OK CD 249,000.00$ 249,000.00$ 248,066.25$ 62.15$ 0.500% 05/06/14 05/12/16
Barclays Bank CD Wilmington DE CD 248,000.00$ 248,000.00$ 247,161.76$ 355.82$ 1.100% 05/06/14 05/15/17
Synovus Bank CD Columbus GA CD 249,000.00$ 249,000.00$ 248,345.13$ 233.43$ 0.750% 05/06/14 11/15/16
Total Certificates of Deposit 4,971,000.00$ 4,971,000.00$ 4,970,165.75$ 9,016.62$
ACTIVE DEPOSITS TOTAL 28,566,346.24$ 28,566,346.24$ 28,569,261.44$ 0.353%
INACTIVE DEPOSITS
Checking Account:
Citizens Business Bank - Checking 7,802,277.81$ 7,802,277.81$ 0.000% N/A N/A
Total 7,802,277.81$ 7,802,277.81$ 0.000%
INACTIVE DEPOSITS TOTAL 7,802,277.81$ 7,802,277.81$
GRAND TOTAL CASH 36,368,624.05$ 36,371,539.25$
________________________________
Joann Gitmed, Deputy Finance Director
10/27/2014
City of Eastvale
Schedule of Investments
As of September 30, 2014
Per Government Code requirements, the Investment Report is in compliance with the City of
Eastvale's Investment Policy, and there are adequate funds available to meet
budgeted and actual expenditures for the next six months.
JUNE JUNE JULY AUGUST SEPTEMBER
FY 2012-13 FY 2013-14 FY 2014-15 FY 2014-15 FY 2014-15
I. CASH FLOW
ACTIVE DEPOSITS
Book Value Price @ Cost
Citizen's Business Bank - Money Market 2,002,074.26$ 2,910,040.37$ 2,910,905.41$ 2,911,714.88$ 2,912,608.34$
LAIF 13,028,238.96$ 20,671,336.74$ 20,682,737.90$ 20,682,737.90$ 20,682,737.90$
Treasury Bills -$ -$ -$ -$ -$
CD - Ally Bk Midvale Utah CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - ST Bk of India CD New York NY CD -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - GE Cap Bk Salt Lake City UT CD -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - Discover Bk Greenwood DE CD -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - Beal Bank USA Las Vegas NV CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - Firstbank PR Santurce CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - Flushing Bank NY CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - Sallie Mae Bank Salt Lake City UT CD -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - Rollstone Bank Fitchburg MA CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - Bank Baroda New York NY -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - BMW Bank NA Salt Lake City UT -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - Doral Bank Catano PR -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - GE Cap Ret Bk Draper UT -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - Goldman Sachs New York NY -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - Community & South Atlanta GA CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - Key Bank CD Cleveland OH CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - Private Bank & TC Chicago Ill CD -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - Citizens State Bank CD Okemah OK CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
CD - Barclays Bank CD Wilmington DE CD -$ 248,000.00$ 248,000.00$ 248,000.00$ 248,000.00$
CD - Synovus Bank CD Columbus GA CD -$ 249,000.00$ 249,000.00$ 249,000.00$ 249,000.00$
-$ -$ -$ -$ -$
-$ -$ -$ -$ -$
-$ -$ -$ -$ -$
ACTIVE DEPOSIT TOTALS 15,030,313.22$ 28,552,377.11$ 28,564,643.31$ 28,565,452.78$ 28,566,346.24$
INACTIVE DEPOSITS
Citizen's Business Bank - Checking 9,995,584.38$ 5,824,630.65$ 5,285,983.70$ 6,251,755.78$ 7,802,277.81$
INACTIVE DEPOSITS TOTALS 9,995,584.38$ 5,824,630.65$ 5,285,983.70$ 6,251,755.78$ 7,802,277.81$
GRAND TOTAL CASH 25,025,897.60$ 34,377,007.76$ 33,850,627.01$ 34,817,208.56$ 36,368,624.05$
Change in Active Deposits from Prior Period 10,512,301.01$ 864.78$ 12,266.20$ 809.47$ 893.46$
II. LIQUIDITY CALCULATION
Liquidity 28,983,040.77$ (4) 30,264,478.83$
Average Cash Balance 29,386,091.19$ (1) 31,668,033.30$
Emergency Reserve (to be established by policy) 9,264,117.98$ 9,632,671.52$
Six Month Cash Reserve 9,264,117.98$ 9,632,671.52$
Available Reserve for Longer Term Investment 19,288,259.13$ 18,933,674.72$
City of Eastvale
Dash Board Report Card
As of September 30, 2014
JUNE JUNE JULY AUGUST SEPTEMBER
FY 2012-13 FY 2013-14 FY 2014-15 FY 2014-15 FY 2014-15
City of Eastvale
Dash Board Report Card
As of September 30, 2014
III. PORTFOLIO DIVERSIFICATION
DIVERSIFICATION BY INSTRUMENT
Money Market 13.32% 10.19% 10.19% 10.19% 10.20%
LAIF 86.68% 72.40% 72.41% 72.40% 72.40%
Treasury Bills 0.00% 0.00% 0.00% 0.00% 0.00%
Certificates of Deposit 0.00% 17.41% 17.40% 17.40% 17.40%
100.00%100.00%100.00%100.00%100.00%
DIVERSIFICATION BY MATURITY
Less Than 90 Days 100.00% 82.59% 82.60%
90 Days (13 Weeks) 0.00% 0.00% 0.87%
Six Months (26 Weeks) 0.00% 0.00% 0.87%
One Year (52 Weeks) 0.00% 1.74% 8.71%
Two Years (104 Weeks) 0.00% 6.10% 7.82%
Three Years (156 Weeks) 0.00% 9.57% 0.00%
100.00%100.00%0.00%0.00%100.87%
IV. PORTFOLIO PERFORMANCE MEASURES
Yield at Cost Month 0.250% 0.339% 0.353%
BENCHMARKS
6 Month CD 0.26 0.23 0.23 0.23 0.23
1 Year CD 0.67 0.90 0.90 0.90 0.90
90 Day T-Bill 0.05 0.04 0.02 0.02 0.02
2 Year Treasury 0.33 0.45 0.49 0.53 0.52
10 Year Treasury 2.30 2.60 2.52 2.44 2.42
Annual Interest Budget 16,990.00$ 25,129.00$ 31,050.00$ 31,050.00$ 31,050.00$
Money Market 5,794.21$ 864.78$ 865.05$ 809.47$ 893.46$
Treasury Bills -$ -$ -$ -$ -$
Certificate of Deposits -$ 8,609.80$ 2,318.24$ 3,134.24$ (5,096.10)$
LAIF 29,168.25$ 11,401.16$ -$ -$ -$
LAIF Mark to Market -$ 6,175.57$ (6,175.57)$ -$ -$
Total Period Interest Earned 34,962.46$ 27,051.31$ (2,992.28)$ 3,943.71$ (4,202.64)$
Total YTD Interest Earned 34,962.46$ 78,053.10$ (2,992.28)$ 951.43$ (3,251.21)$
Over/(Under) Annual Budget 17,972.46$ 52,924.10$ (34,042.28)$ (30,098.57)$ (34,301.21)$
% of Annual Budget 205.783% 310.610% -9.637% 3.064% -10.471%