The URL can be used to link to this page

Home My WebLink About2002-02-05; City Council; 16535; Report on City Investments as of 12/31/01I CITY OF CARLSBAD -AGENDA BILL & 1 B# 1L!535 CITY AS OF DECEMBER 31,2001 ITG. d - 5- 03 u: REPORT ON CITY INVESTMENTS EPT. TRS CITY MGR ~~ RECOMMENDED ACTION: Accept and file report. ITEM EXPLANATION: The City’s Investment Policy requires the City Treasurer to report to the City Council on a monthly basis the status of the City’s pooled investment portfolio. A quarterly report is also required for the investments of bond proceeds held separately. The City’s pooled investment portfolio as of the month ended December 31, 2001 is summarized below. (1) The cost of investments adjusted for amortized premiums and discounts. (2) The amount at which the investments could be sold. Source of market values is Union Bank of California’s custodial report as of 12/31/01. The equity portion of the various funds at the amortized value of the total portfolio is summarized below: Fund Equity in Pooled Investments Cash Balance by Fund: General 13,380,494 Internal Service 11 1,376,747 Enterprise 142,649,373 Capital Projects 2,106,031 Debt Service 26,949,888 Special Revenue 63,461,918 (1,963,440) Reconciling Adjustments 8,676,800 Agency Funds Total Treasurer’s Investment Portfolio at Amortized Cost 366,637,811 Fund equity balances are restricted for various purposes as listed above. See Exhibit 7 for a more detailed breakdown. "The cash income received is adjusted for any accrued interest purchased. Pooled Investment PerformancelMeasurement Average Life (Years) Modified Duration Average Yield October 2001 1.31 5.29% 1.47 December 2001 1.24 5.33% 1.38 November 2001 1.15 5.44% 1.27 All pooled investments have been made in accordance with the City's Investment Policy adopted January 2, 1985 and last revised January 9, 2001. All investments were initially made in accordance with the City's Investment Policy. Events subsequent to the purchase might have resulted in some investments not being in compliance with the current policy. These events are typically a change in the City's Investment Policy, a change in the credit rating subsequent to a purchase, or a temporary reduction in total portfolio assets. See Exhibit 8 for details. The pooled investment portfolio has the ability to meet the City's cash flow demands for the next six (6) months. In summary, the City's investments of bond proceeds held separately as of the quarter ended December 31, 2001 is as follows: P Investment Portfolio for Bond Proceeds All investments of bond proceeds have been made in accordance with the City's Investment Policy and the trust indenture for each issue. EXHIBITS FOR POOLED INVESTMENTS: 1. 2. 3. 4. 5. 6. 7. a. 9. Investment Portfolio Breakdown By Amortized Cost, Market Value, Cash Income, and Average Yield Investment Portfolio Breakdown Of Maturities Yield Comparison Graph Cumulative Cash Income Graph Second Quarter Transactions Detailed Investment Report Fund Equity in Pooled Investments Corporate Note and Commercial Paper Ratings Percentage Weightings By Corporate Note Issuer EXHIBIT FOR INVESTMENTS OF BOND PROCEEDS HELD SEPARATELY: 10. Detailed Investment Report - Quarterly Report 3 EXHIBIT 1 5 s 0 0 0 0 0 n 0 0 x 0 8 0 0 0 0 0 2 0 x 8 0 0 0 0 0 0 a 0 K 0 r (9 r LD Lo % h (0 W 0 0 2 N W r- W 0 0 h N Lo. 2 P m 3 0 Y EXHIBIT 2 s 8 s 2 N s 8 s 2 8 0 0 VI t- x m m 0 0 VI? s s :" :- t- W m 64 d 0 3 3 m N N 64 0 0 0 0 0 0 0 s 0. m W 0 0 VI t- x m m 0 0 VI" !=i m m 2- t- W 5 z 0 v3 0 u a ? Y I EXHIBIT 3 6 EXHIBIT 4 0 cv 5 . . d r 0 r 00 0 7 EXHIBIT 5 EXHIBIT 6 oooooooooooooooogoooo 0000000000000000 0000 0 x 0 0. In (D 0 EXHIBIT 7 Fund Equity in Pooled Investments AS OF DECEMBER 31,2001 Cash Balance by Fund: General Special Revenue Debt Service Capital Projects: General Capital Construction Traffic Impact Fees Public Facilities Fees Park Development Transnet Taxes Drainage Fees Special Districts Other Capital Construction Enterprise: Carlsbad Municipal Water District Sewer Fund Solid Waste Golf Course Total Total Internal Service Redevelopment Funds (1) Agency Funds Misc. Special Funds Total General Ledger Balance ** Reconciling Adjustments (2) Total Treasurer's Investment Portfolio at Amortized Cost 63,461,918 26,949,888 2,106,031 14,012,217 5,676,599 32,724,443 8,347.058 7,200,352 7,888,429 54,472,959 12,325,316 142,649,373 49,750,105 55,976,697 3,572,266 2,077,679 11 1,376,747 13,380,494 0 8,676,800 0 368,601,252 (1,963,440) 366,637,811 (I) Redevelopment Fund Balances are interspersed throughout all funds. (2) The Reconciling Adjustments consist of differences between the General Ledger which is prepared on an accrual basis and the Treasurer's report which is prepared on the cash basis. Accrued Interest, amortized premium or discounts and outstanding checks and deposits in transit are not included in the Treasuret's summary. Differences between the time journal entries are posted and the time this repolt is produced may also be a component of the adjustment. ** Figures based on best estimate at the time report run on 1/08/02 CITY OF CARLSBAD INVESTMENT PORTFOLIO EXHIBIT* AS OF DECEMBER 31,2001 CORPORATE NOTE AND COMMERCIAL PAPER RATINGS Corporate Note Investments Meeting the Current investment Policy: (Ratings must be AA or better by both Moody's and SBP) MQQWaW ABN AMRO BANK ALLSTATE FINANCIAL ASSOCIATES GORP ClTiGROUP BAYER GORP COMMERCIAL CREDIT GO CREDIT SUE DEAN WITTER DiSCV DUPONT HNVLETT-PACKARD JERSEY CENT PBL MERRILL LYNCH MORGAN STANLEY DEAN WITTER NATIONAL RURAL UTILITIES NORTHERN ILL GAS OHIO BELL TEL SBC COMMUNICATIONS PITNEY BOWES INC SOUTHERN NEW ENGLAND TEL SOUTHWESTERN BELL AA3 AA2 AA3 AA2 AA2 AA3 AA3 AA3 AA3 AA2 AAA AA3 AA3 AA3 AA1 AA2 AA3 AA3 AA3 AA2 AA+ AA- AA- AA AA- AA- AA- AA- AA- AA- AAA AA- AA- AA AA- AA AA- AA AA- AA- Commercial Paper Investments Meeting the Current investment Policy: (Ratings must be AIIPI or better by both Moody's and SBP) (Ratings of other debt must be AA or better by Moody's or SBP) NONE Investments with Subsequent Changes in Credit Rating Latest Carrying Market MQQWaW bmtm&h- Yah Yak BANG ONE GORP AA3 A 03/25/02 AA3/AA- 999,900 1,007,610 CAMPBELL SOUP GO AA3 A 10/01/03 AA3/AA- 1,940,007 2,039.560 NORWEST AA2 A+ 03/01/02 AA3lAA- 1,602,832 1,614,704 WACHOViA GORP A1 A+ 07/15/05 AA3IAA- 4,018,574 4,274,620 *me cily's Investment Policy allows the City Treasurer to determine the course of action that would correct exC8PtiOnS to the poky. AII of these investments are paying interest at the required times. The principal of all investments are considered secure. It is the intent of the City Treasurer to hold these assets in the porlfolio until maturity Unless events indicate they should be sold. CITY OF CARLSBAD INVESTMENT PORTFOLIO AS OF DECEMBER 31,2001 PERCENTAGE WEIGHTINGS BY CORPORATE NOTE ISSUER ABN AMRO BANK ALLSTATE FINANCIAL ASSOCIATES CORP NA BANC ONE BAYER CAMPBELL SOUP CO ClTlGROUP COMM CREDIT CREDIT SUlS DEAN WITTER DlSCV DUPONT HEWLETT-PACKARD CO JERSEYCENTPBL MERRILL LYNCH MORGAN STANLEY DEAN WITTER NATIONAL RURAL UTILITIES NORTHERN ILL GAS NORWEST OHIO BELL TEL PITNEY BOWES INC SBC COMMUNICATIONS SOUTHERN NlEW ENGLAND TEL SOUTHWESTERN BELL TRAVELERS GROUP INC / ClTlGROUP WACHOVIA CORP Total Portfolio * No more man 5% may be invested with a single ikue Investment Cost 4,228,884.98 6,024,601.35 9,953,528.13 997,870.00 1,291,375.00 1,868,682.02 8,372,495.00 7,474,695.94 3,109,140.66 2,950,553.97 1,168,073.48 7,301,835.93 2,974,560.00 9,272,283.27 15,789,131.03 5,939.453.76 715,349.40 1,678,688.00 1,947,308.26 1,919,298.74 4,058,275.56 1,113,832.90 3,151.155.18 1,105,341.85 4,023,404.94 Percent of PomOllo' 1.15% 1.64% 2.71% 0.27% 0.35% 0.51% 2.28% 2.04% 0.85% 0.80% 0.32% 1.99% 0.81% 2.53% 4.30% 1.62% 0.19% 0.46% 0.53% 0.52% 1.11% 0.30% I 0.86% 0.30% 1.10% $366,876,406.64 EXHIBIT 9