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HomeMy WebLinkAbout2011 City Treasurer - Investment Summary Report Council/Agency Meeting Held: o?. O/ Deferred/Continued to: XL Appr ve ❑ Conditionally Approved ❑ Denied City er ' ignat Council Meeting Date: February 6, 2012 Department ID Number: CT 12-006 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's December 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for December 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for December 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): 1. M nthly Investment Report and Summary of Investments for December 2011 2. PowerPoint Presentation Investment Report for December 2011 HB -23- Item 2. - I CD N City of 1-I13 Portfolio Management Portfolio Details- Investments Page 2 December 31, 2011 CUSIP Average Purchase Stated YTM Days to Maturity Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 366 Maturity Date Medium Term Notes 36967HBB2 3805 GE Capital FDIC Insured 11/03/2009 2,000,000.00 2,030,780.00 2,004,031.83 2.000 AA 1.720 271 09/28/2012 36967HAN7 3733 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,012,040.00 2,002,105.23 2.250 AA 1.701 71 03/12/2012 36967HAHO 3735 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,022,200.00 2,002,951.82 2200 AA 1.850 159 06/08/2012 36186CBF9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,040,800.00 1,997,035.45 2200 AA 2.361 363 12/19/2012 36185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,030,660.00 1,999,455.86 1.750 AA 1.784 303 10/30/2012 481247AKO 3738 JP Morgan Chase FDIC Insured 04/30/2009 2,000,000.00 2,023,200.00 2,003,793.14 2200 AA 1.770 166 06/15/2012 49328CAA3 3770 Key Bank FDIC Insured 06/30/2009 2,000,000.00 2,034,360.00 2,010,560.68 3200 AA 2.000 166 06/15/2012 91160HACI 3743 US Bank FDIC Insured 05/19/2009 1,000,000.00 1,007,990.00 1,000,505.61 1.800 AA 1.660 135 05/15/2012 Subtotal and Average 24,062,401A4 23,810,000.00 24,261,760.90 24,066,462.36 1387 306 Total and Average 148,311,281.04 162,838,425.69 163,387,866.59 163,079,847.40 1.185 916 x W N Portfolio CITY Run Date:01/17/2D12-15:64 AP PM(PRF PM2)7.3.0 City of HB Portfolio Management Page 3 Portfolio Details- Cash December 31, 2011 Average Purchase Stated YTM Days to CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 366 Maturity Average Balance 0.00 Accrued Interest at Purchase 30,654.68 30,654.68 0 Subtotal 30,654.68 30,654.68 Total Cash and Investments 148,311,281.04 162,838,426.69 163,418,621.27 163,110,502.08 1.185 916 ram, W W F—I r-F r� Portfolio CITY ram- AP N in Dale:01/17/2012-15:54 PM(PRP PM2)7.3.0 1 CD City of FIB Portfolio Management Page 1 N Activity By Type December 1, 2011 through December 31, 2011 Stated Transaction Purchases Redemptlons CUSIP Investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues-Coupon 31331J5E9 3867 Federal Fart Credit Bank 2.480 12J15/2011 0.00 3,000,000.00 3134G2MG4 3886 Federal Home Loan Mort Corp 1.500 12J30/2011 0.00 5,000,000.00 3134G3BL3 3910 Federal Home Loan Mort Corp 1.000 12/05/2011 5,000,000.00 0.00 3134G3CVO 3911 Federal Home Loan Mort Corp 1.000 12J19/2011 5,000,000.00 0.00 3134G3DY3 3912 Federal Home Loan Mort Corp 0.875 12J19/2011 5,000,000.00 0.00 3134G3FGo 3913 Federal Home Loan Mort Corp 0.650 12/27/2011 3,000,000.00 0.00 3136FPV79 3871 Fed.Neff Mort Assoc. 3.000 12/28/2011 0.00 3,000,000.00 3136FRTW3 3887 Fed.Nat?Mort Assoc. 1.100 12J30/2011 0.00 5,000,000.00 3136FRTD5 3888 Fed.Nafl Mort Assoc. 1.500 12/30/2011 0.00 2,998,650.00 3135GOGN7 3914 Fed.Nafl Mort Assoc. 0.900 12/29/2011 5,000,000.00 0.00 3136FTWGO 3915 Fed.Nall Mort Assoc. 1.125 12/28/2011 5,000,000.00 0.00 3136FTVF3 3916 Fed.Nall Mort Assoc. 1.000 12/28/2011 5,000,000.00 0.00 3136FTXD6 3917 Fed.Nall Mort Assoc. 1.100 12/28/2011 5,000,000.00 0.00 3136FTWGO 3918 Fed.Nafl Mort Assoc. 1.125 12/28/2011 5,000,000.00 0.00 Subtotal 43,000,000.00 18,998,660.00 108,996,969.36 Local Agency Investment Funds (Monthly Summary) Subtotal 30,028,425.69 w Medlum Term Notes -P Subtotal 24,066,462.36 Total 43,000,000.00 18,998,660.00 163,079,847.40 Portfolio CITY AP Run Data:01J17/2012-15:64 PM(PRF PM3)7.3.0 Ver.7.3.3b City of HB Portfolio Management Page 1 Activity Summary December 2010 through December 2011 Yield to Maturity Managed Number Number Month Number of Average 360 365 Pool of Investments of investments Average Average End Year Securities .Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity December 2010 46 144,716,923.18 1.337 1.356 0.462 12 5 869 712 January 2011 49 163,147,527.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 1.372 0.500 0 2 890 677 April 2011 44 157,507,665.91 1.292 1.309 0.588 0 3 845 647 May 2011 46 157,665,657.64 1.242 1.259 0.413 4 2 869 679 June 2011 45 166,927,84724 1.278 1.296 0.448 9 10 901 745 July 2011 43 183,784,185.57 1.269 1,286 0.381 3 5 940 784 August 2011 39 169,814,312.73 1.263 1.281 0.408 1 5 936 761 September 2011 37 152,819,771.51 1.189 1.205 0.378 6 8 932 776 October 2011 36 155,770,159.22 1.239 1.256 0.385 3 2 1,049 167 November 2011 34 148,389,001.57 1.265 1283 0.401 0 2 1,075 156 December 2011 38 148,311,281.04 1.168 1.185 0.382 9 5 1,090 916 Average 43 159,605,525.85 1.279% 1.297% 0.446 4 4 936 649 w F-I e-l- CD Portfolio C� N PM(PRF PM4)7.3.0 • n Date:01/17/201 2-1 5:54 Report Ver.7.3.3b w H r+ � (�TINGrO ,tonFORA rFo y<P h N _-` •- n City of Huntington Beach U' m City of HB 2000 Main St. o r c Huntington Beach, " = Activity Report Sorted By Issuer `�uNTv cP�\ September 1, 2011 - December 31, 2011 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Issuer: Bank of America FDIC Insured Medium Tenn Notes Subtotal and Balance 2,000,000.00 2,000,000.00 Issuer Subtotal 1.228% 2,000,000.00 0.00 0.00 2,000,000.00 Issuer: Berkshire Hathaway Fin Medium Term Notes Subtotal and Balance 1,310,000.00 1,310,000.00 Issuer Subtotal 0.804% 1,310,000.00 0.00 0.00 1,310,000.00 Issuer:Citigroup FDIC Insured Medium Term Notes C�7 Subtotal and Balance 2,000,000.00 2,000,000.00 , issuer Subtotal 1.228% 2,000,000.00 0.00 0.00 2,000,000.00 Issuer:Federal Farm Credit Bank Federal Agency Issues-Coupon 31331J5E9 3867 Federal Farm Credit Bank 2.480 12/15/2011 0,00 3,000,000.00 Subtotal and Balance 3,000,000.00 0.00 3,000,000.00 0.00 Issuer Subtotal 0.000% 3,000,000.00 0.00 3,000,000.00 0.00 Issuer: Federal Home Loan Bank Federal Agency Issues-Coupon 313373QJ4 3880 Federal Home Loan Bank 1.125 11/25/2011 0.00 3,000,000.00 313374FB1 3890 Federal Home Loan Bank 1.000 10/11/2011 0.00 6,000,000.00 Subtotal and Balance 14,000,000.00 0.00 9,000,000.00 5,000,000.00 Portfolio CITY AP Run Date:01/17/2012-' ' nA(PRF_DA)72.0 )port Ver.7.3.3b I-� CD City of HB `o Portfolio Management Page 1 - Activity By Type July 1, 2011 through July 31, 2011 Stated Transaction Purchases Redemptions WSW Investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues-Coupon 31331J6T5 3875 Federal Farm Credit Bank 0,890 07/07/2011 0.00 3,000,000.00 313370E09 3843 Federal Home Loan Bank 1-125 07/28/2011 0.00 2,000,000.00 313374FB1 3890 Federal Home Loan Bank 1.000 07/11/2011 5,998,600.00 0.00 3136FPZ91 3876 Fed,Nafl Mort.Assoc- 1.750 07/21/2011 0.00 3,000,000.00 3136FP2CO 3877 Fed,Nat'l Mort.Assoc. 1.500 07/06/2011 0.00 3,000,000.00 3136FRVX8 3891 Fed,Nafl Mort.Assoc. 2.200 07/05/2011 5,000,000.00 0,00 3136FRD59 3893 Fed.Nat'l Mort.Assoc. 1-125 07/25/2011 5,000,000.00 0,00 Subtotal 15,998,500.00 11,000,000.00 104,907,838.81 Local Agency Investment Funds (Monthly Summary) SYS982 982 Laif City 0.381 34,627.68 34.000.00 SYS2206 7206 LAIF-Redevelopment Agency 0-381 35,613.67 4,300,000.00 Subtotal 70,241.35 4,334,000.00 55,735,271.22 Medium Term Notes y 38146FAF8 3732 Goldman Sachs FDIC Insured 1.625 07/15/2011 0-00 2,000,000.00 Subtotal 0.00 2,000,000.00 21,062,022,12 Money Market Acct (Monthly Summary) tV Subtotal 0.00 Total 16,068,741.35 17,334,000.00 181,695,132.15 Portfolio CITY AP Run Date:Oany2011-10 00 PM( F_PM3)7.ZO Report Ver.7.3.2 City of HB Portfolio Management Page 1 Activity Summary July 2010 through July 2011 Yield to Maturity Managed Number Number Month Number of Average 360 366 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity July 2010 48 177,366,265.25 1.361 1.380 0.531 8 15 646 466 August 2010 47 162,076,756.20 1.320 1,338 0.513 7 8 641 453 September 2010 46 154,161,946.43 1.383 1.402 0.500 8 9 744 555 October 2010 42 147,479,654,35 1.393 1.412 0.480 1 5 752 542 November 2010 39 141,605,221.96 1.220 1.237 0,464 1 4 677 488 December 2010 46 144,716,923.18 1,337 1.356 0.462 12 5 869 712 January 2011 49 163,147,527.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 1.372 0.500 0 2 890 677 April 2011 44 157,507,665.91 1.292 1.309 0.588 0 3 845 647 May 2011 46 157,665,657.64 1.242 1.259 0.413 4 2 869 679 June 2011 45 166,927,103.84 1.279 1.296 0.448 9 10 901 745 July 2011 43 183,784,185.57 1.269 1.286 0,381 3 5 940 784 Average 45 160,213,011.11 1.322% 1.340% 0.486 4 5 811 628 4 w `CD Portfolio CITY AP i Run Date:0822/201/-10:00 PM(PRF PM4)7.2.0 �,,,� Report Ver.7.3.2 CD r City of H13 Portfolio Management Page 1 Interest Earnings Summary July 31, 2011 July 31 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 93.350.00 1,476,920.97 Plus Accrued Interest at End of Period 339,914.18 335,414.18 Less Accrued Interest at Beginning of Period { 273,698.35) ( 407.805.68) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 159.565.83 1.403.529.47 Adjusted by Premiums and Discounts -3,741.92 -31,612.73 Adjusted by Capital Gains or Losses 0.00 72.473.05 Earnings during Periods 155.823.91 1,444,389.79 -- -- ...... ......_........._._ _.._... _... - —...... -- — Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) { 0.00) Less Accrued Interest at Purchase During Pefiod { 0.00) ( 0.00) Interest Earned.during Period 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 ' Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0.00 — ----CashfChecicing Accounts: Interest Collected 70.241.35 289,191.50 Plus Accrued Interest at End of Period 21.154.86 21,154.86 Less Accrued Interest atr Beginning of Period ( 72.424.64) ( 79,324.45) Interest Earned during Period 18.971.57 231,021,91 Total Interest Earned during Period 178,537.40 1,634,661.38 Total Adjustments from Premiums and Discounts 3,741.92 41,612.73 Total Capital Gains or losses 0.00 72,473.05 1gf l Eat 4ings durl'ng.Porinrl Portfolio CITY AP Rir(}F1:9: &"2?'2:11'-7(T.W PM rPRF PMSi 7 2 C Repwl Wr,712 R/L Council/Agency Meeting Held:_ Deferred/Continued to: pr v d ❑ Co d' all p ove ❑ enied t,� Ci CI rk's ignatu Council Meeting Date: August 1, 2011 Department ID Number: FN 11-015 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's June 2011 Monthly Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for June 2011, pursuant to Section 17.0 of the Investment policy of the City of Huntington Beach. Financial Impact: Not Applicable Recommended Action: Motion to: Receive and File the Monthly Investment Report for June 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. Analysis: Not Applicable. Environmental Status: Not applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. HB -49- Item 3. - I REQUEST FOR COUNCIL ACTION MEETING DATE: 8/1/2011 DEPARTMENT ID NUMBER: FN 11-015 Attachment(s): e - Jption IkMonthly Investment Report for June 2011 2. Deferred Compensation Plan Summary Information 3. Retiree Medical Trust Balance 4. Supplemental Pension Trust Investments Item 3. - 2 xB -50- Esparza, Patty From: Cutchen, Alisa Sent: Thursday, July 28, 2011 2:42 PM To: City Clerk Agenda; CITY COUNCIL; city.administrator@surfcity-hb.org Cc: Flynn, Joan; Farrell, Lori Ann Subject: Replacement Pages for City Council Meeting Attachments: June 30 2011 PDF of all attachements revised.pdf CITY OF HUNTINGTON BEACH Office of the City Treasurer �fB=%)i9U9:P Alisa Cutchen City Treasurer TO: Honorable Mayor, City Council Members, City Manager and City Clerk FROM: Alisa Cutchen, City Treasurer DATE: July 27, 2011 SUBJECT: REPLACEMENT PACES FOR CITY COUNCIL MEETING OF 8/1/2011 Please see the attached pages which are to replace Attachments#1-4 under the subject: Receive and File the City Treasurer's June 2011 Monthly Investment Summary Report. Please let me know if you have any questions. Regards, -Atisa Cutchen Treasurer City of Huntington Beach Emair- aCtsa.cutchen@sur cite hb.org COMMUNICATION 7'eCephone: 714-536-5200 Meebng Date Agencia Item No. June 30, 2011 Investment Review City of Huntington Beach Investment Review Period Ending. June 30, 2011 Prepared by: ADisa Cutchen, City Treasurer I June 30, 2011 Investment Review Portfolio Overview: %of YTM Investment Type Market Value Book Value Portfolio 365-day Policy Limit Federal Agency issues $100,133,211 $99,906,887 55% 1,688% None Local Agency Investment Fund $60 (LAIF) $59,999,030 $59,999,030 33% 0.448% million Medium Term Notes-Corporate $23,410,770 $23,058,216 12% 1,807% 20% Totals $183,543,011 $182,964,132 100% 1.296% As of June 30, 2011, the market value of the investment portfolio was $183,543,011, with a book value of $182,964,132, The increase in the portfolio from the previous quarter was due primarily to the receipt of the semi-annual property tax payments, of which the proceeds were invested in additional Federal Agency issues. The portfolio is invested in only those investments allowable by State regulations and the City's Investment Policy. Such investments are purchased to meet the portfolio objectives of preservation of principal, maintenance of sufficient operating liquidity, and to attain a market rate of return throughout budgetary and economic cycles, in that order of absolute priority, Book Value by Investment Type 12% Federal Agency Issues - Coupon Local Agency Investment Funds 33/o tii l 55% Medium Term Notes Currently, funds are invested in Federal Agency Securities, Medium Term Corporate Notes and the State of California's Local Agency Investment Fund (LAIF). Federal Agency securities are AAA-rated, and fall just below U.S. Treasury securities as the safest investments. Diversification among Agencies is achieved through investment in a number of different Agency securities. The four Federal Government sponsored entities that the City purchases from are Federal Home Loan Bank (FHLB), Federal Home Loan Mortgage Corporation (FHLMC/Freddie Mac), Federal National Mortgage Association (FNMA/Fannie Mae) and Federal Farm Credit Bank (FFCB/Farm Credit). Both Fannie Mae and Freddie Mac are explicitly guaranteed by the Federal Government, while Home Loan and Farm Credit carry an implied guarantee of the Federal Government. All corporate notes are "A" rated or its equivalent or better, per the City's investment policy. LAIF offers local agencies the opportunity to participate in a major portfolio with immediate liquidity managed by the State Treasurer's Office (please see http://www.treasurer.ca.gov/pmia-laif for more information). June 30, 2011 Investment Review Economic and Market Overview: The quarter ending June 30, 2011 saw low (below 3%) GDP growth and continued high unemployment. These factors, in conjunction with the Japan disaster, the European crisis, high energy costs and the failure of the U.S. government to reach a budget agreement, resulted in the continued stagnant economic situation nationwide. A flight to quality placed continued downward pressure on interest rates, as investors sought out the stability of higher quality investments such as U.S. government treasury securities. Interest rates remained at historically low levels. It is anticipated that there will be no rise in rates in the near term. The 2-year constant maturity treasury, which is often used as a benchmark for yields, remained at its historic lows during this period. 2-year Constant Maturity `treasury yield 3 __._._ ......__- .__........ ........ . . . ._...... ...... 2.5 F 2.25 .. a 2 4 � 1 a: 1.75 '_......_. 1.5 d 1.25 Y Y 1 .. ...... ................... . ..._.- r r. - P i JV 0.5 .. .... . . ......... A �� `:4 l i 0.25 i ....... .. .,. _. 0 }...._... .... ........... .. .,. 1/1/2008 7/1/2008 1/1/2009 7/1/2009 1/1/2010 7/1/2010 1/1/2011 ........................ ....... ......... Portfolio Earnings and Performance: Monthly Earnings $217,566 Interest: $161,536 Capital Gains: $56,030 Monthly Effective Rate of Return 1.59% Fiscal YTD Earnings $1,500,616 Fiscal YTD Budget $1,406,250 Fiscal YTD Effective Rate of Return 1.29% Benchmark(1) 0.51% Bank Cash Balance $9,244,381 Monthly investment income as of the period ended June 30, 2011 was $217,029. The interest portion of the income included the quarterly LAW interest of $23,479, which skews the monthly earnings upward somewhat Capital gains of $56,030 were received as three bonds which were purchased below par were called and the principal returned. The monthly effective rate of return of 1.59% increased slightly as additional cash was invested. However, the portfolio yield overall continues to decline as expected, due to the historically low interest rates. Higher yielding bonds that mature or are "called" are causing retired funds to be invested in the June 30,2011 Investment Review current low interest rate environment. Certain securities have "call" options, which means the issuer may return the funds to the buyer at a specified time, It is anticipated that the portfolio yield will remain at these low levels and that it will take some time for portfolio yields to increase, even as interest rates begin to move upward, as existing securities will continue to remain in the portfolio until maturity unless sold. Earnings History $300,000 $250,000 t x Su $200,000 S r ff 4 � l ✓ Z C G $150,000 V ai .k ro 2 r i $100,000 3 v Ig $50 000 ` r s $fl v ♦ �s t vt of c� of t �� o� tom qt' as �.� �� J5 �'� p�� �C`'° {C`° Jm� a {or Q` a� Ro Jo' ♦e o♦ yo 0o m� oo a v, �` ,J S JQ' ♦o v� �e a� �� oo ♦S� ♦P �` �J o♦o ,�o ♦p 0�0♦oP o♦ N N `LJOp �pQ OOp�O©p� �p'���^ �O `L rp 1 rp �O ©�4 ,�R Onp O+♦p �O+♦gyp+♦ rt0 `1, O fO ti ti ti ti ti Portfolio Activity: Security maturities and calls totaled $36,267,539 for the quarter. Of these, 13 Agency bonds were called for a total book value of$32.17 million. These bonds were called due to the current low interest environment, hence allowing the issuer to issuer more bonds at lower rates. 2 bonds matured (1 Agency, 1 Corporate)for a total of $4 million. Purchases and deposits for the quarter totaled $61,836,569, Of this total, $57 million was for purchases of Agency securities, with the remainder in LAIF transactions. The high amount of purchases and deposits resulted from cash inflows from calls and maturities, as well as higher seasonal cash inflows primarily due to the City's receipt of property taxes. Compliance: The portfolio is in conformity with all State laws and the Investment Policy statement filed with the City Council on December 20, 2010. A copy of this policy is available at the office of the City Clerk. The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Committee Report: The Finance and Investment Advisory Board reviewed the report for the period ending June 30, 2011 at the July 27, 2011 meeting. They concur with the contents and confirmed that the investments reviewed are in compliance with California State Code and City's adopted Investment Policy. They also confirmed that the portfolio is managed in a satisfactory manner. ��pNTINGj� 0 - ,,�aeroWrrc y�F City of Huntington Reach nr City of HB 2000 Main St Portfolio Management Huntington Beach, uu�'y cPti Portfolio Summary June 30, 2011 Par Market Book %of Days to YTM YTM Investments Value Value Value Pormlo Term Maturity 360 Equiv. 365 Equiv. Federal Agency Issues-Coupon 100,000,000.00 100,133,211,35 99,906,886.71 54.60 1.402 1.290 1.665 1.688 Local Agency Investment Funds 59,999,029.67 69,999,029.87 59,999,020.87 32.79 1 1 0.442 0.448 Medium Term Notes 23,000,000,00 23,410,770.00 23,058,215.83 12.60 1,070 319 1.782 1,807 182,999,029.87 183,543,011.22 182,964,132.41 100.00% 901 746 1.278 1.296 Investments Total Earnings June 30 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 217,665.91 1,500,616.22 Current Budget 156,250.00 1,406,250.00 1,875,000.00 Last Year Actual 218,298.00 1,986,350.00 2,522,076.00 Average Daily Balance 166,927,947.06 15%042,025,22 Effective Rate of Retum 1.69% 1.299/6 I certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State taws and the investment policy statement filed with the City Council on December 20,2010. A copy of this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market Values provided by Union Hank via Interactive Data Corporation. Atisa Cutchen,CITY TREASURER Reporting period 0610112011-0613012011 Portfolio CtTY AP -----Run mate:070=11-11:47 - _ -- - PM(PRF_PM1)7.2.0 - - Report Ver.7.3.2 City of H13 Portfolio Management Page I Portfolio Details-Investments June 30, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Inveatraent# Wuer Balance Date Par Value Market Value Book Value Rate S&P 366 Maturity Date Federal Agency Issues-Coupon 31331JSE9 3867 Federal Faun Credit Bank 12/15/2010 3,000,000.00 3,028,620,00 3,000.000.00 2.480 AAA 2ASO 1,628 12/15/2015 $1331J6TS 3875 Federal Farm Credit Bank 01/07/2011 3,000,000.00 3.001,680,00 3,000,000.00 0.890 AAA 0,890 656 01/07/2013 313SIKKNS 3879 Federal Faun Credit Bank 05112f2011 3,000,000.00 3,005,190.00 3,000,000.00 1,360 1.360 1,046 U11212014 31331KMV9 3883 Federal Farm Credit Bank 06/07/2011 5,000,000.00 5,000,000.00 5,000,000.00 1.000 1.000 980 03/07/2014 3133XUNE9 3785 Federal Home Loan Bank 08/26/2009 2,000,000-00 2,010,200.00 2,000,000.00 2.760 AAA 2,750 780 08/19/2013 313370EG9 3843 Federal Home Loan Bank 07/28/2010 2,000,000-00 2.004,660-00 2,000,000.00 1,125 AAA 2.$72 1,488 07/28/2015 313371SV9 3862 Federal Home Loan Bank 1210912010 3,000,000.00 3,001,410,00 3,000,000,00 2,000 AAA 2.000 1,622 12/09/2015 313371U53 3863 Federal Home Loan Bank 12/10/2010 3,000,000.00 3,001,140.00 3,000,000.00 1.500 AAA 2.129 1,623 12/40/2015 313371VOM 3866 Federal Home Loan Bank 12M7/2010 3,000,000.00 3,002,190.00 3,000,000.00 1.460 AAA 1.450 1,174 09/17/2014 313373RBO 3879 Federal Home Loan Bank 05/26/2011 3,000,000.00 3,010,470.00 3,000,000.00 2.000 2.420 1,791 05/26/2016 313373QJ4 3880 Federal Home Loan Bank 05/25/2011 3,000,000.00 3,009,810.00 3,000,000.00 1.125 1.125 878 11/25/2013 3133747F1 3885 Federal Home Loan Bank 06/27/2011 5,000,000.00 5,000,000.00 5,000,000.00 0,700 0.700 819 09/27/2013 3134G1UE2 3860 Federal Home Loan Mort Corp 09123/2010 2,000,000.00 2,001,400.00 1,999,154.44 1.250 AAA 1.235 1,545 09/23/2015 3134G2KA9 3881 Federal Home Loan Mort Corp 05/27/2011 5,000,000.00 5,000.800,00 5.000,000.00 1,250 1.250 1,062 05/28/2014 3134G2JG8 3882 Federal Home Loan Mort Corp 06/13/2011 5,000,000.00 4,998,770.52 4,998,770.52 0.500 1.968 1,078 06/13/2014 3134G2MG4 3886 Federal Home Loan Mort Corp 06/30/2011 5,000,000.00 6.000,000.00 5,000,000.00 1.500 2.229 1,826 06/30/2016 3134G2LY6 3892 Federal Home Loan Mort Corp 06/29/2011 5,000,000.00 5,000,000.00 5,000,000.00 2.000 2,000 1.825 06/29/2016 31398A2A9 3844 Fed.Nall Mort Assoc. 08/05/2010 2,000,000.00 2,006,200.00 2,000,000.00 2.125 AAA 1,903 1,496 08/05/O15 31398AX4 3854 Fed.Ned Mort.Assoc. 09/17/2010 3,000,000.00 3,030,750.00 3,000,000.00 1.125 AAA 1.125 809 09/17/2013 3136FPUM7 3861 Fed.Natl Mort Assoc. 10/29/2010 3,000,000.00 3,006,640.00 2.998,701.67 1.125 AAA 1,962 1,581 10/29/2015 3136FPYL5 3868 Fed.Nall Mort Assoc. 1211OJ2010 2,000.000.00 1,994,300.00 1.967,470.46 1.000 AAA 1.530 1,169 09/02/2014 3136FPV79 3871 Fed.Nail Mort Assoc. 12/28/2010 3,000,000.00 3,021,750.00 3,000.000.00 1.500 AAA 2.814 1,641 12128/2015 3136FPYL5 3872 Fed.Nat'!Mort Assoc. 12/31/2010 3,000,000.00 2,991,450.00 2,944,288.80 1,000 AAA 1.606 1,159 09102/2014 3136FPZ91 3876 Fed.Natl Mort Assoc. 01/21/2011 3,000,000.00 3,004,440.00 3,000,000.00 1.750 AAA 1.750 1.116 07/21/2014 3136FP2CO 3877 Fed.Nat!Mort Assoc. 01/06/2011 3,000,000.00 3,002,940.00 3,000,000.00 1.500 AAA 1.500 920 OVO612014 3136FRQJS 3884 Fed_Nail Mort.Assoc 06/20/2011 5,000,000.00 5,000,000.00 5,000,000.00 1.170 1.170 1,086 06120/2014 3136FR3W3 3887 Fed.Natl Mort Assoc. 06/30/2011 5,000,000.00 6,000,000.00 5,000,000.00 1.100 1.100 1,095 06/30/2014 3136FRTDS 3888 Fed_Nett Mort Assoc. 06/30/2011 3,000,00o.00 2,998,500.83 2,998,500.83 1.500 2,240 1,826 06/3012016 3136FRVH3 3889 Fed.Natl Mort.Assoc. 06129/2011 5,000,000.00 5,000,000.00 5,000,000.00 1,500 2229 1,825 06/29/2016 Subtotal and Average 83,887,534.26 100,000,000.00 100,133,211.36 99,906,886.71 1.688 1,290 Local Agency Investment Funds SYS982 982 Law City 29,999,029.87 29,999,029.87 29,999,029.87 0.446 0,448 1 SYS2206 2206 LAW-Redevelopment Agency 30.000,000.00 30,000,000.00 30,000,000.00 0,448 0.448 1 Subtotal and Average 69,999,029.87 69,999,029.87 69,999,029.87 59,999,029.87 OA48 1 Portfolio CITY AP Run Date:071211201 1-11;a7 - - - PNI(PRF PM2)7.2.0 --- ReWVet.7.3.2 City of HB Portfolio Management Page z Portfolio Details-Investments June 30,2011 Average Purchase Stated YTM Days to Maturity GUSIP Investment# Issuer Balance Date Per Value Market Value Book Value Rate S&P 366 Maturity Date Medium Term Notes 06050SAJO 3734 Bank of America FDIC Insured 04130=09 2,000,000.00 2,043.660,00 2,010,281,94 2.375 AAA 1.830 357 06/22/2012 17314AAF9 3723 Citigroup FDIC Insured 03/30/2009 2,00Q000.00 2,030,840.00 1,998,659.98 2.000 AAA 2093 273 03/30/2012 36967HB82 3805 GE Capitel FDIC Insured 11/03/2009 2.000,000,00 2,044,840.00 2,006,749.91 2,000 AAA 1.720 455 09/28/2012 36967HAN7 3733 General Electric Cap FDIC Insu 04130/2009 2,000,000.00 2,031,420.00 2,007,442,44 2.250 AAA 1.701 255 03/12/2012 36967HAHO 3735 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,038,460,00 2,006,336.08 2-200 AAA 1.850 343 06/08/2012 36186CSF9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,054,900.00 1,995,502.07 2.200 AAA 2.361 537 12/19/2012 36185JAA7 $804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,039,580.00 1,999,128.28 1.750 AAA 1.784 487 10130/2012 38146FAF8 3732 Goldman Sachs FDIC insured 04/27/2009 2,00,000.0D 2,003,620.00 2,000,132.98 1.625 AAA 1.450 14 07/15/2011 481247AKO 3738 JP Morgan Chase FDIC Insured 04/30/2009 2,000,000.00 2,037,240.00 2,007,956.34 2.200 AAA 1.770 350 D6/1 5120 1 2 49328CAA3 $770 Key Bank FDIC Insured 06/30/2009 2,000,000.00 2,059,320.00 2,022,151.66 3.200 AAA 2.000 350 06/1512012 61767UAF7 3736 Morgan Stanley FDIC Insured 04130J2009 2,000,000.00 2,011,860.00 2,002,689.35 2.000 AAA 1.390 83 09/22/2011 91160HACI 3743 US Bank FDIC Insured 06119/2009 1,000,000.00 1,015,030.00 1,001,184.80 1.800 AAA 1.660 319 05/15/2012 SutW%l and Average 23,061,282.93 23,000,000.00 23,410,770.00 23,068,216.83 1.807 319 Money Market Acct SYS3802 3802 Union Bank-US Gov't MMF 0.00 0.00 0.00 0.050 0.050 1 SYS3789 $789 Union Bank-US Trea MMF 0.00 0.00 0.00 0.020 AAAmf 0.020 1 Subtotal and Average 0.00 0.00 0.00 0.00 0.000 0 Total and Average 186,927,847.06 182,909,029.87 183,643,011.22 182,964,132.41 1.296 745 Portfolio CITY AP - Run Date:07/21/2011-11:47 PM(PR'_PM2)7.2.0 City of HB Portfolio Management Page 1 Activity By Type June 1, 2011 through June 30, 2011 Stated Transaction Purchases Redemptlons CUSiP Investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues-Coupon 31331JRT2 3833 Federal Farm Credit Bank 2.620 06/15/2011 0.00 2,000,000.00 31331JZK2 3850 Federal Farm Credit Bank 1.050 06/10/2011 0.00 3.000.000.00 31331KMV9 3883 Federal Farm Credit Bank 1.000 06/07/2011 5,000,000.00 0.00 313370XW3 3859 Federal Home Loan Bank 1.550 06/15/2011 0.00 3,230,000.00 313371XS0 3885 Federal Home Loan Bank 1.000 06/16/2011 0,00 2,000,000.00 3133747F1 3885 Federal Home Loan Bank 0.700 06/27/2011 5,000,000.00 0.00 3134G1TX2 3855 Federal Home Loan Mort Corp 1.500 06/23/2011 0.00 2,000,000.00 3134G1TY0 3856 Federal Home Loan Mort Corp 1.250 08124/2011 0.00 2,000,000.00 3134G1 L44 3870 Federal Home Loan Mort Corp 1.000 06/28/2011 0.00 2,997,000.00 3134G2JG8 3882 Federal}tome Loan Mort Corp 0.500 06/13/2011 4,998,749.68 0.00 3134G2MG4 3886 Federal Home Loan Mort Corp 1.500 06/30/2011 5,000,000.00 0.00 3134G2LY6 3892 Federal Home Loan Mort Corp 2.000 08/29/2011 5,000,000.00 0.00 3136FMO23 3835 Fed.NO Mort Assoc. 2A00 06/29/2011 0.00 2,000,000.00 3136FPH75 3873 Fed,Nall Mart Assoc. 1.650 06/17/2011 0.00 2,984,09EW 3136FPP84 3974 Fed.NO Mart.Assoc. 2.050 06/30/2011 0.00 2,962,875.00 3136FRQJS 3884 Fed.Nafl Mort Assoc. 1.170 06/20/2011 5,000,000.00 0.00 3136FRTW3 3887 Fed.Nafl Mort Assoc. 1.100 06/30/2011 5,000,000.00 0.00 3136FRTD5 3888 Fed.Nail Mort Assoc. 1.500 06/30/2011 2,998,500.00 0.00 3136FRVH3 3889 Fed.Narl Mort.Assoc. 1.600 06/29/2011 5,000,000.00 0.00 Subtotal 42,997,249.68 26,173,970.37 99,906,886.71 Local Agency investment Funds (Monthly Summary) Subtotal 69,909,029.87 Medlum Term Notes Subtotal 23,058,216.83 Money Market Acet (Monthly Summary) Subtotal 0.00 Total 42,997,249.68 26,173,970.37 182,964,132A1 Portfolio CITY AP - Run Data:021=11-11:47 PM(PRF PM3)7.2.0 Report Ver.7.3,2 City of HB Portfolio Management Page 1 Interest Earnings Summary June 30,2011 June 30 Month Ending Fiscal Year To Date CD/CouponfDiscount Investments: Interest Collected 357,516.25 1,382,570.97 Plus Accrued Interest at End of Period 273,698.35 269,198.35 Less Accrued Interest at Beginning of Period ( 490,174.29) ( 407,805.68) Less Accrued Interest at Purchase During Period ( 0.00) ( 0,00) Interest Earned during Period 141,040.31 1,243,963.64 Adjusted by Premiums and Discounts -2,983.25 -27,870.80 Adjusted by Capital Gains or Losses 56,029.63 72,473.05 Earnings during Periods 194,086.69 1,288,565.89 Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0,00) Interest Earned during Period 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0.00 Cash/Checldng Accounts: Interest Collected 0.00 218,950.15 Plus Accrued Interest at End of Period 72,424.64 72,424.64 Less Accrued Interest at Beginning of Period ( 48,945.42) ( 79,324.45) Interest Earned during Period 23,479.22 212,050.34 Total,interest Earned during Period 164,519.53 1,456,013.98 Total Adjustments from Premiums and Discounts -2,983.25 -27,870.80 Total Capital Gains or Losses 56,029.63 72,47105 Total Earnings during Period 217,565.91 1,600,616.23 Portfolio CITY AP Run Date:0712112011-11:47 PM(PRF PM6)7.2.0 Mport Ver.7.3.2 State of California Pooled Money Investment Account Market Valuation 6/30/2011 s' AN • aW& United States Treasury: Bills $ 24,818,177,506.74 $ 24,844.364,805,84 $ 24,859,874,749.00 NA Notes $ 10,713,937,756.33 $ 10,7112.363,72726 $ 10,782,076,000.00: $ 16'565,612.00 Federal Agency: SSA $ 544,870,228.83 $ 544,873,882.85 $ 644,254,926.47 $ 580,202,34 MBS-REMICs $ 468,463,453.14 $ 468,463,453.14 $ 506,246,544.33 $ 2$219,9%87 Debentures $ 1,376,412,463,48 $ 1,376,405,352.36 $ 1A377,429,500,00 $ 2,094,440.26 Debentures FR $ - 1 $ - $ - $ - Discount Notes $ 3,441,068,944.32 $ 3,446,961,106.33 $ 3,447,818,500.00 NA GNMA $ 46,017.95 $ 46.017.96 $ 47.035.38 $ 454.27 IBRD Deb FR $ 300,000,000.00 $ 300,000,000.00 $ 300,552,000.00 $ 274,312.60 CDs and YOM FR $ 800.000,000,00 $ 800'000,000m $ 800=0,000,00 $ 362,666.87 Bank Notes $ 650,000,000-00 $ 550,000,000.00 $ 550,047,966.91 $ 333,791.67 CDs and YCOs -$- 6,580,134,295.00 _L 6,580,034,295.00 $ 6,580,020,389.81 $ 2,026,969.47 Commercial Pa $ 7,479,732,809,46 $ 7,481,182,938.29 $ 7,480,074,653.34 NA Ca rate: Bonds FR $ $ $ Bonds $ $ $ $ Repurchase Ag regimen te $ $ Reverse Repurchase $ $ $ $ Time Pe posits $ 3,988,140,000.00 $ 3,968,140,000.00 $ 3,968,140,000.00 NA AS 55&GF Loans $ 5,311,791,341.39 .$. , .. 6,311,791,3411.39 $ 5,311,791,341.39, NA !TOTAL e6,352 783,816.63 $ 66,384,617,119.40 1$ 66,459,270 507 63 $ 26,467,366.04 Fair Value Including Accrued Interest $ 66,616,727,673.67 Repurchase Agreements,Time Deposits,AB 66&General Fund loans,and Reverse Repurchase agreements are carried at portfolio book value(carrying cost), The value of each partiolipating dollar equals the fair value divided by the amortized cort(I.001576470). As an example:if an agency has an account balance of$20,000,000.00,then the agency would report its participation In the LAIF valued at$20,031,529.41 or$20,000,000.00 x 1.00167"70. / / Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department June3011 Cash Receipts and Disbursements May 2011 Junm2D11 � Receipts Property Tax Receipts $11.688.283 $453.865 Utility Tax Receipts (UUT) 1'714.881 1.861.325 Sales Tax Receipts 1.741`000 2,412.275 1/2Cent Safety Sales Tax Receipts 120.453 103.703 Highway Users Tax Receipts (HUT) 965.549 437.718 Transient Occupancy Tax Receipts (TOT) 498.103 542'388 Capital Funds 539'478 2'824,846 Debt Service Funds 37.027 157.095 Enterprise Funds 5.117`955 5.558.899 Fiduciary Funds 583.389 1.218.811 Special Revenue Funds 1.801.519 1.378.775 All Other Receipts Total Receipts $28C547,010 $21,142,310 Disbursements Total Disbursements Net Change in Cash F|mm/ Summary of Cash by Fund May 2011 Jwnm2U11 General Fund 85'535,414 64.888.749 Government Funds 805.131 775,381 Capital Funds 1.382.277 2.451.355 Debt Service Funds 13`248.953 12.934.757 Enterprise Funds 89,078.186 89.385.726 Fiduciary Funds 748.288 1484.687 Special Revenue Funds 21,927,854 20397741 $192.705'102 ° $192.080,377 ° ° Tote( cash will differ from investment portfolio total due to outstanding checks and/or other timing differences, Note: Above information was obtained from the Cih/'aaccounting uyuimm records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in compliance with theCity`m Charter. Statement m Cash Receipts m Disbursements July zm1I.x|nx y 7/18J2011 City of Huntington Beach Supplemental Pension Trust Information as of June 30, 2011 Beginning Contributions/D Distributions/ Earnings Other Ending Balance ividends Transfers (change in value) Balance (5-31-11) (6-30-11) Supplemental Pension Trust Account $31,500,745 $42,443 ($528,005) $31,015,183 City of Huntington Beach Deferred Compensation Plan Summary Information as of June 30, 2011 Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (6-30-11) ICMA Retirement Corporation(457 Plan) $30,864,591 $698,560 ($495,090) $158,409 ($1,690) $31,224,779 Nationwide Retirement Solutions(457 Plan) $58,242,900 $662,515 ($748,155) $328,780 ($975) $58,485,064 Total Deferred Compensation Plan Balances $89,107,491 $1,361,074 ($1,243,246) $487,188 ($2,665) $89,709,843 City of Huntington Beach Retiree Medical Trust Information as of June 30, 2011 Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (3-31-11) (6-30-11) CaIPERS Retiree Medical Trust Account $10,115,613 not available not available $9,726,144 Statement for June 30, 2011 will a mailed out on August 15, 2011. The en rng balance currency provided is unaudited is subject to revision_ i i JATTACHM EN T 9" " 1 City of Huntington Beach Summary of City investment Portfolio Deferred Compensation, Retiree Medical Trust, and Deferred Compensation Trust Activity for April 2011 City Investment Portfolio: March April /Inc.l(Dec.) End of month City Portfolio Book Balance $157,349,376 $155,382,626' ($1,966,750) End of Month City Portfolio Market Value $157,390,954 $155,905,597 ($1,485,357) End of month General Fund Balance $43,243,543 $56,583,618 $13,340,075 Monthly Effective Portfolio Rate of Return 1.26% f1.28% 0.02% Average Maturity Portfolio ( in days) 677 647 (30) End of month bank cash balance* $6,522,287 $2�,9-43,450 $21,421,163 Deferred Compensation Investments:" December /March Inc.l(Dec.) Participant Balances $87,590.595 $90,371,065 $2,780,470 Retiree Medical Trust:** December March Inc.l(Dec.) Trust Balance $9,726,1r44 $10,115,613 $389,469 Supplemental Pension Trust: March/ April Inc./(Dec.) Trust Balance $30,026,171 $31,861,506 $935,335 Comparison to Budget t City Portfolio: Budget Actual Inc.l(Dec.) Interest Earned for Month / $156,250 $166,217 $9,967 Interest Earned Year to Date // $1,093,750 $1,139,129 $45,379 Earned Interest Yield Year to Date 1.25% 1.27% 0.02% Average Daily Balance / $150,000,000 $154,264,161 $4,264,161 *Increase in Bank Balance for April due to Receipt of Properly"faxes / "Deferred Compensation and Medical Retiree Statements are issued quarterly. a' Summary by Individual Investment in City Investment Portfolio - Book Value: 365 Days YTM Int. April % of Total Policy Limit to Mat. Rate Federal Agency Issues-Coupon $71,076,692 46% None 1291 1.7511/c Local Agency Inv. Fund (LAIF) / $59,235,030 38% $60 million 1 0.58% Medium Term Notes r' $26,070,904 16% 20% 350 1.770/c f` $155,382,626 100% 647 1.310 f i Item 3. - 4 xB -52- ?INGr� 10, 4_ .`��pflP0A,,7F0 , City of Huntington Beach City of HB 2000 Main St -->--_ - - Portfolio Management u ington each Portfolio Summary F�aUNTY�P��F April 30, 2011 Par Market Book of nays to YTM YTM Investments �4 Value VaTve Value Portfolio Term Maturity 360 Equiv. 366 Equiv, Federal Agency Issues-Coupon 71,230,000.00 71,238,256.70 71,076,692.00 45.74 1,479 1,291 1.723 1.747 Local Agency investment Funds ` 59,235,029.87 59,235,029.87 59,235,029.87 38.12 1 1 0.580 0.588 Medium Term Notes ��,� 25,000,000.00 25,432,310.00 25,070,904.01 16.13 1,042 350 1.749 1.774 l55,465,029.87 155,906,698.57 155,382,625.88 100.01PA 845 647 1.292 1.309 Investments Cash and Accrued interest Accreted interest at Purchase ` 1,1ss.67 1,166.67 Subtotal �` 1,166.67 1,166.67 Total Cash and Investments 155,465,029.87 155 906 155,383,792.55 845 647 1.292 1.309 v. x Total Earnings April 30 Month Ending Fiscal Year To,Date Fiscal Year Ending Current Year 166,216.81 1,139,129:10 v, Current Budget 166,250.00 1,093,750.00 1,875,000.00 1' Last Year Actual 212,357.00 1,537,417.00 2,522,076.00 Average Daily Balance 167,507,666.91 154,264,160.79 Effective Rate of Return 1.28% 1,27% I certify that this report aocurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State-laws and the investment policy statement filed with the City Council on December 20,2010. A COPY this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market lue provider! rnbn an 'a erac6ve Data Corporation. �C Alisa CutGhen,CITY TREASURER CD CD Reporting period 0410112011-0413012011 t ., Portfolio CITY AP Run Date:06/06/2011-09:30 PM(PRF—PM1)7.2.0 r - Report Ver.7-3.2 CD w City of H13 Portfolio Management Page 1 Portfolio Details-investments April 30, 2011 Average Purchase Stated YTM Days to Maturity CUS1P Investment# Issuer Balance Date Par Value _ Market Value Book Value Rate S&P 365 Maturity Data Federal Agency Issues•Coupon 31331JRT2 3833 Federal Farm Credit Bank OS/15/2010 2,000,000.00 2,006,500.00 2,000,000.00 2.620 AAA 2.262 1,506 06/15/2015 31331JZK2 3850 Federal Farm Credit Bank 08/26/2010 3,000,000.00 3,000,270.00 3,000,000.00 1.050 AAA 1.050 848 06/26/2013 31331J5E9 3867 Federal Farm Credit Bank 1211572010 3,000,000.00 3,006,570.00 .1,000,000.00 2.480 AAA 2.480 1,689 12/1512015 31331JSTS 387$ Federal Farm Credit Bank 01/0772011 3,000,000.00 3,002,640.00 3,000,000.00 0.890 AAA 0,890 617 01/07/2013 3133XUNE9 3785 Federal Home Loan Bank 08/26/2009 2,000,000.00 2,013,780.00 2,000,000.00 2.750 AAA 2.750 841 08/19/2013 313370EGS 3843 Federal Home Loan Bank 0712812010 2,000,000.00 2,007,000.00 2,000,000.00 1.125 AAA 2.572 1,549 07/28/2015 31337ONA2 3849 /-`"eFederal Home Loan Bank 08/3012010 3,000,000.00 3,001,110.00 3,000,000.00 0.600 AAA 1.218 850 08/28/2013 31337OXM 3859 Federal Home Loan Bank 09/20/2010 3,230,000.00 3,224,476,70 3,230,OOo.00 1.550 AAA 1.550 1,233 09/16/2014 313371SV9 3862 Federal Home Loan Bank 12/09/2010 3,000,000.00 2,992,980.00 3,000,000.00 2.000 AAA 2-000 1,683 12/0912015 313371U53 3863 Federal Hor;e°Loan Bank 12M012010 3,000,000,00 2,984.730.00 3,000,000.00 1,500 AAA 2.129 1,684 12/10/2015 313371XSG 3865 Federal Home Loan`Bank 12/16/2010 2,000,000.00 2,002,680.00 2,000,000.00 1.000 AAA 1.000 1,690 12/16/2015 313371WW2 3866 Federal Home Loan Bank 12/17/2010 3,000,000.00 3,002,190.00 3,000,000.00 1.450 AAA 1.450 1,235 09/17/2014 3134G1TX2 3855 Federal Home Loan Mort Corp 09/23/2010 2,000,000.00 1,993,760.00 2,000,000.00 1.500 AAA 1.500 1,149 08/23/2014 3134G1TYO 3856 Federal Home Loan Mort Corp ---,09/24/2010 2,000,000.00 2,003,700.00 2,000,000.00 1.250 AAA 2.318 1,607 09/24/2015 3134G1UE2 3860 Federal Home Loan Mort Corp 09/23/2010 2,000,000.00 2,003,240.00 1,999,121.11 1.250 AAA 1.235 1,606 09/23/2015 x 3134GIL44 3870 Federal Home Loan Mort Corp 1212812010 __3,000,000.00 3,003,240.OD 2,996,762.50 1.000 AAA 1.051 789 06/28/2013 3136FMQ23 3835 Fed.Narl Mort.Assoc. 06/28/2010 2;000,000.00 2,003,300.00 2,000,000.00 2.000 AAA 2.000 1,247 09/29/2014 31398A2A9 3844 Fed.Nat]Mon,Assoc. 08/05/2010 2,0000'60:00. 1.995,940,00 2,0OD,000.00 2.125 AAA 1,903 1,557 08/0512015 J, 31398A31-4 3854 Fed.Nat'l Mort Assoc. 09/17/2010 31000,000.00 3,016,200.00 3,000,000,00 1.126 AAA 1.125 870 09/17/2013 3136FPUM7 3861 Fed.Nat]Mort Assoc, 10/29/2010 3,000,000.00 2,9a96,490.00 2.998,651.67 1.125 AAA 1,962 1,642 10129/2015 3136FPYL5 3868 Fed,Nat'l Mort.Assoc, 12/1012010 2,000,000.00 1,977;320.00 1,965,759.87 1,000 AAA 1.530 1,220 09102J2014 3136FPV79 3871 Fed,NaV Mort Assoc. 12(2812010 3,000,000.00 3,022,110 00 3,000,000.00 1.500 AAA 2.814 1.702 12/28/2015 3136FPYL5 3872 Fed.Nat'l Mort.Assoc. 12/31/2010 3,000,000.00 2,965,980.00"'� 2,941,359.20 1.000 AAA 1.606 1,220 09/02/2014 3136FPH75 3873 Fed.Nat]Mort Assoc. 12/3112010 3,000,000.00 3,004,140.00 "e, 2,983,514.73 1.000 AAA 1.729 1,326 12/17/2014 3136FPP84 3874 Fed.Nat]Mort Assoc. 12/31J2010 3,ODO,000.00 3,001,950.00 2;961,522.92 2.050 AAA 2.343 1,704 12130/2015 3136FPZ91 3876 Fed,Nat]Mort Assoc. 01/2MO11 3,000,000.00 3,001,080.00 3,006:000.00 1.750 AAA 1.750 1,177 07/2112014 3136FP2CO 3877 Fed,NaYI Mort.Assoc. 01/06/2011 3,ODD,000.00 3,004,980.00 3,000,000:00, 1,500 AAA 1.500 901 01106/2014 Subtotal and Average 74,2T4,182,66 71,230,000.00 71,238,256.70 71,076,692.00 1.747 1,291 Local Agency Investment Funds - �s, SYS982 982 La'rf City 29,235,029.87 29,236,029.87 29,235,029.87 0.588 0.588 1 SYS2206 2206 LAIF-Redevelopment Agency 30,000,000.00 30,000,000.00 30,000.000.00 0.588 0.588_ 1 Subtotal and Average 68,159,623.84 59,236,029.87 59,236,029.87 69,235,029.87 0.688 1 Portfolio CITY AP Run Date:06/09P'011-09:30 PM(PRF_PM2)7.2.0 an Ver.7.3.2 City of HB Portfolio Management Page 2 Portfolio Details-Investments April 30, 2011 Average Purchase Stated YTM Days to Maturity CUSIP investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 366 Maturity Hate Medium Tent Not s D6050BAJO 3 Bank of America FDIC Insured 04/30/2009 2.000.000.00 2,046,380.00 2,012,039.54 2.375 AAA 1.830 418 06/22/2012 17314AAFO 3723 Citigroup FDIC Insured 03/30/2009 2,000,000.00 2,032,140.00 1,998,361.09 2.000 AAA 2.093 334 03/30/2012 17313YA87 3739 Citigroup FDIC Insured 0510512009 2,000,000,00 2,000,060.00 1,999,996.78 1.375 AAA 1,390 4 05/05/2011 36967HBB2 3805 E Capital FDIC Insured 11103/2009 2,000,000.00 2,043,960.00 2,007,656.94 2.000 AAA 1,720 516 09/28/2012 36967HAN7 $733 Ge l Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,033,860.00 2,009,221.51 2.250 AAA 1.701 316 03/12/2012 36967HAHO 3735 General ctric Cap FDIC Insu 04/3012009 2,000,000.00 2,041,200,00 2,007,464.17 2.200 AAA 1.850 404 06/08/2012 36186OBFS 3763 GMAC FDIC In red 06/30/2009 2,000,000.00 2,054,860.00 1,994,990.94 2.200 AAA 2.361 598 12119/2012 36185JAA7 3804 GMAC FDIC Insured,--., 11/03/2009 2,000,000.00 2,039,060.00 1,999,019.09 1.750 AAA 1.784 548 10/30/2012 s8146FAF8 3732 Goldman Sachs FDIC Insured 04/27/2009 2,000,000.00 2,005,920.00 2,000,702.91 1,625 AAA 1.450 75 07/15/2011 481247AKO 3738 JP Morgan Chase FDIC Insu 1-1red 04/30/2009 2,000,000.00 2,040,920.00 2,009,344.07 2200 AAA 1.770 411 06/1512012 49328CAA3 3770 Key Bank FDIC Insured 06/30/2009 2,000,000.00 2,064,720.00 2,026,015.32 3.200 AAA 2.000 411 06/15/2012 61757UAF7 3736 Morgan Stanley FDIC Insured 04/30/2009 2,000,000.00 2,014,580.00 2,004,681.46 2.000 AAA 1.390 144 09/22/2011 91160HAC1 3743 US Bank FDIC insured 05 912009 1,000,000.00 1,014,650.00 1,001,411.19 1.800 AAA 1,660 380 05M512012 Subtotal and Average 25,073,959.42 26,000,000.00 25,432,310.00 25,070,904.01 1.774 350 x Money Market ACCt SYS3802 3802 Union Bank-US Gov't MMF 0.00 0.00 0.00 0.050 0.050 1 c.n SYS37a9 3789 Union Bank-US True MMF 0.00 0.00 0.00 0.020 AAAmf 0.020 1 Y' Subtotal and Average 0.00 01.00N. 0.00 0.00 0.000 0 Total and Average 167,607,666.91 166,466,029.87 155,905,596.57 166,382,625.88 1.309 647 CD r Portfolio CITY W AP Run Date:0B0512011-09:30 PM{PRF_PM2}7.2.0 N w City of HB Portfolio Management Page 3 Portfolio Details- Cash April 30, 2011 Average Purchase Stated YTM Days to CUSlP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 386 Maturtty Average Balanco 0.00 Accrued Interest at Purchase 1,166.67 1,166.67 0 Subtotal 1,166.67 1,166.67 Total Cash and Investments 167,507,665.91 155,465,029.87 155,905,763.24 156,383,792.55 1.309 647 ram+ T�4 Portfolio CITY AP Run Date,nq/DG12011.09:30 PM{PRF,_E'M2}7,2.0 City of HB Portfolio Management PageActivity By Type April 1, 2011 through April 30, 2011 Stated Transaction Purchases Redemptions CUSIP Investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency,lsesues-Coupon 3128X7.1K1 `3646 Federal Home Loan Mort Corp 3.250 04/1412011 0.00 2,000,000.00 312SX8TZ5 3725 Federal Home loan Mart Corp 2.500 04108/2011 0.00 2,000,000.00 3136F9MN0 3643 Fed.Nail Mort Assoc. 4.000 04/2912011 0.00 1,999,200.00 Subtotal 0.00 5,999,200.00 71,076,692.00 Local Agency Investment Funds (Wlonih[TSummary) SYS982 982 Laif City 0.588 4,035,029.87 0.00 SYS2206 2206 LAW-Redevelopment Agency 0,588 37,539.53 37,539.53 gr,yto l 4,072,669.40 37,639.53 59,229,029.87 Medlurn Term Notes Subtotal 25,070,904.01 Money Market Acct (Monthly Summary) 0.00 Subtotal Total _ 4,072,669.40 6,035,739.53 165,382,62588 61 a m� Portfolio CITY W AP r PM(PRF PM3)7,2.0 Ran Date:06106/2011-09:30 Report Vet.7.3.2 CD w City of HB Portfolio Management Page 1 Activity Summary April 2010 through April 2011 Yield to Maturity Managed Number Number Month Number of Average 360 366 Pool of Investments of Investments Average Average End Year Securitles Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturfty April 2010 55 160,226,735.19 1.432 1.452 0.588 9 5 662 499 May 2010 57 184,628,114.04 1.341 1.360 0.560 4 2 627 465 June 2010 55 188,112,806.29 1,331 1.350 0.528 5 7 634 460 July i 2010 48 177,366,265.25 1.361 1.380 0.531 8 15 646 466 August 2010 ,47 162,076,756.20 1.320 1.338 0.513 7 8 641 453 September 2010 46 154,161,946.43 1.3m 1.402 0.500 8 9 744 555 October 2010 42 �`147,479,654.35 1,393 1.412 GA80 1 5 752 542 November 2010 39 141,605 221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144,716,923.18--- 1.337 1.356 OA62 12 5 869 712 January 2011 49 163,147,527.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367` 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 ' ` 1.372 0.500 0 2 890 677 April 2011 44 157,607,665.91 1.292 -1.309 0.588 0 3 845 647 Average 48 162,089,245.38 1.346% 1.365%,". 0.520 4 5 750 567 Portfolio CITY AP Run D, `V2DII-D9c3D -M(PRF_PM4)7.2.0 Report Ver.7.3.2 City of HIS Portfolio Management rage 1 Distribution of investments By Type April 2010 through April 2011 April May June July August September October November December January February March April Average Securl�Ty� 2010 2010 2010 2010 2010 2010 2010 2010 2010 2011 2011 2011 2011 by Period Repurchase Ag ants Cerffflcates of Deposit Commercial Paper Interest Searing .......... Federal Agency issues-Coupon 36.7 33.8 33.9 34.2 33.8 40.4 37.4 31,6 45.9 48,8 49.4 49.0 45.7 40.0% ... Local Agency Investment Funds 33.4 31.7 31.8 36.7 37.5 39.5 422 41,9 38.2 3611 35.3 36.1 38.1 36.70/o Treasury Securities-Coupon 1 offlum Term Notes 1 14.3 14.4 16.6 17.0 17.9 19.1 18.9 16.0 15.1 15.3 15.9 16.1 16.3% .. ............ Negotiable CD's Certificates of Deposit-Bank Mortgage Sacked Securities _ _..... _ Bankers Acceptances-Amortizing Commercial Paper Disc Amortizing 5.0 7A 4.8 2.5 1.5% Federal Agency Disc Amortizing 6.1 11.1 7.9 '`7..4 2.5% Treasury -A 4.9 Dlscounts mortizing - 8.8 1.1% _ .._ . ..... . . Misceiianeous Dlscouttts Amortizing Money Market Acct 3.8 1.8 7.2 2,7 3.4�2.2 1.4 2.7 1-9% _.. .._ Roiling Repurchase Agreements W Portfolio CITY AP Rem Date.0 61051201 1-M.30 PM(PRF PM5)7.2.0 �' Report Ver.7.3.2 CD W City of HB N Portfolio Management Page 1 Interest Earnings Summary April 30, 2011 April 30 Month Ending Fiscal Year To Date CD/CouponlDlscount Investments: Interest Collected 118,125.00 968,821,39 Plus Accrued Interest at End of Period 413,861.23 413,851.23 Less Accrued Interest at Beginning of period ( 392,086.75) { 407,805-68) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Eamed during Period 139,889-48 974,866,94 A justed by Premiums and Discounts -2,580.45 -22,098.02 Adjusted bye apitai Gains or Losses 800.00 16,443.42 Ea92gs during Periods 138,109.03 969,212.34 Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period _ ( 0.00) ( 0.00) Interest Earned during Period R+` i 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0.00 CashlChecking Accounts: -� Interest Collected 72,569.40 218,950.15 Plus Accrued Interest at End of Period 30,291.07 "30,291.07 Less Accrued Interest at Beginning of Period { 74,752.69) ( 79;324.45) Interest Earned during Period 28,107.78 169,916.77- Total Interest Earned during Period 167,997.26 1,144,7183.71 Total Adjustments from Premiums and Discounts -2,580.45 -22,098.02 �`' Total Capital Gains or Losses 800.00 16,443.42 Total Earnings during Period 166,216.01 1,139,129.11 Portfolio CITY AP Run Oar- -`smiI-M,3o oM(PRF PM6)7.2.0 Report Ver.7.3.2 Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Office of the City Treasurer April 2011 Cash Receipts and Disbursements March 2011 April 2011 Receipts M Property Tax Receipts $3,188,848 $24,034,1,47 Utility Tax Receipts (UUT) 1,875,129 1,736;287 Sates Tax Receipts 1,887,868 1,1.87,500 1/2 Cent Safety Sales Tax Receipts 184,434 162,186 Highway Users Tax Receipts (HUT) 355,678 0 Transient Occupancy Tax Receipts (TOT) 435,213 597,227 All Other Receipts $28,465,202 Z $12,963,616 Subtotal Receipts $36,392,372 $40,680,962 Disbursements All Other Disbursements Q7,973,9152 (25,000,9262 Net Change in Cash Flow {$1 581,543) $15,680,036 Summary of Cash by Fund Larch 2011 Apri12011 General Fund $43,243,543 $56,583,618 Government Funds 769,537 762,423 Capital Funds 2,501,310 2,192,578 Debt Service Funds 5,014,948 13,601,535 Enterprise Funds 89,001,558 88,113,163 Fiduciary Funds 901,401 1,052,994 Special Revenue Funds 22,891,464 21,713,894 $164,323,751 $183,920,206 *Total cash will differ from lnvestment portfolio total due to outstanding checks and/or other timing Note: Above information was obtained from the City's accounting system records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in compliance with the City's Charter. f� Statement of Cash Receipts Disbursements May 2011 April 2071 xB -61- Item 3. - 13. State of California Pooled Money investment Account .r Market Valuation 1301211 f United States Treasu : Bills $ 26,481,083,131.90 $ 26,631687,000.00 NA Notes $ 6,602,055,143.83 $ 6,649,851,500.00 $ 15,210,975.00 Federal Meng: : SBA $ 638,173,262.35 $ 536'693,560.42 $ 676,145.73 NIBS-REMICs $ 489,774,730.43 $ 53�0,042,925.46 $ 2,321,491.45 Debentures $ 1,376,412,463.48 $ 1,377,775,000.00 $ 1,804,438.50 Debentures FR $ 200,000,000.00 $ / 200,000,000.00 $ 105,350.00 Discount Notes $ 8,676,616,304.06 $ /8,706,111,760.00 NA GNMA $ 50,672.18 $ 51,871.70 $ 500.67 IBRD Deb FR $ 300,000,000.00 $ 300,723,000.00 $ 20,781.25 CDs and YCDs 1=R $ 800,000,000.00 $/ 800,000,000.00 $ 505,670.83 Bank Notes $ 650,000,000.00 .$ 650,218,114.52 $ 395 833.34 CDs and YCDs $ 7,434,998,392.74,,'$ 7,436,987,063.65 $ 3,162,169.69 Commercial Paper $ 7,876,052,734.711 $ 7,878,571,065.30 NA Corporate: Bonds FR $ / - $ - $ Bonds $ ,1 - $ - $ Repurchase 82reements $ l - $ $ - Reverse Repurchase $ / - $ - $ - Time Deposits $ 3,863,140,000.00 $ 3,863,140,000.00 NA AB 55&GF Loans $ 4,741,837,017.22 $ 4,741,837,017.22 NA TOTAL is /70,030,093,852.90 $ 70,202,689,868.27 $ 24,103,346.46 Fair Value Including Accrued Interest $ 70,226,793,214.73 Repurchase Agreements,Time Deposits,AB 55&General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). Item 3. - 14 HB -62- ATTACHMENT #2 r-r- (D City of Huntington Beach Deferred Compensation Plan Summary Information as of March 31, 2011 rn Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (12-31-10) (3-31-11) ICMA Retirement Corporation 7,PIan) $30,002,034 $606,565 ($749,783) $1,007,802 ($2,028) $30,864,590 ICMA Retirement Corporation (401 Plan) $1,182,158 $43,635 $0 $37,782 $0 $1,263,575 Nationwide Retirement Solutions (467 Plan) $56,406,403 $975,844 ($792,587) $1,656,224 ($2,984) $58,242,900 Total Deferred Compensation Plan Balances $87,590,595 $1,626,044 ($1,542,370) $2,701,808 ($5,012) $90,371,065 td � 1`i ,µ A r d� HB -65- Item 3. - 17 CD W City of Huntington Beach Retiree Medical Trust Information 00 as of March 31, 2011 Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (3-31-11) CaIPERS Retiree Medical Trust Account $9,726,144 $0 $390,762 ($1,292) $10,115,613 v �5. F` F. r� �r E � t Sp r'• if �t f �d �J l J f f J / , r xB -67- Item 3. - 19 CD w City of Huntington Beach NSupplemental Pension Trust Information as of April 30, 2011 Beginning Contributions/D Distributions/ Earnings Other Ending Balance ividends Transfers (change in value) Balance (3-31-11) (4-30-11) Supplemental Pension Trust Account $30,926,171 $21,591 $927,639 ($13,896) $31,861,506 CIS Council/Agency Meeting Held:_ Deferred/Continued to: *Appr ve ❑ Conditionally Approved ❑ Denied 1� Cler s Sign re Council Meeting Date: August 1, 2011 Department ID Number: FN 11-013 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's May 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for May 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for May 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. f Alternative Action(s): Deny or critique monthly report. HB -27- Item 2. - I REQUEST FOR COUNCIL ACTION MEETING DATE: 8/01/2011 DEPARTMENT ID NUMBER: FN 11-013 Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): 1. Monthly Investment Report and Summary of Investments for May 2011 2. Deferred Compensation Plan Summary Information 3. Retiree Medical Trust Investments 4. Supplemental Pension Trust Investments Item 2. - 2 xB -28- ATTACHMENT # 1 City of Huntington Beach Summary of City Investment Portfolio Deferred Compensation, Retiree Medical Trust,and Deferred Compensation Trust May 2011 City Investment Portfolio: April May Inc.l(Dec.) End of month City Portfolio Book Balance $155,382,626 $165,143,836 $9,761,210 End of Month City Portfolio Market Value $155,905,597 $165,793,566 $9,887,969 End of month General Fund Balance $56,583,618 $65,535,414 $8,951,796 Monthly Effective Portfolio Rate of Return 1.26% 1.18% -0.08% Average Maturity Portfolio (in days) 647 679 32 End of month bank cash balance* $27,943,450 $27,556,536 (386,914) Deferred Compensation Investments:" December March Inc.l(Dec.) Participant Balances $87,590,595 $90,371,065 $2,780,470 Retiree Medical Trust:** December March Inc./(Dec.) Trust Balance $9,726,144 $10,115,613 $389,469 Supplemental Pension Trust: April May Inc./(Dec.) Trust Balance $31,861,506 $31,500,745 ($360,761) Comparison to Budget 1 City Portfolio: Budget Actual Inc./(Dec.) Interest Earned for Month $156,250 $157,704 $1,454 Interest Earned Year to Date $1,250,000 $1,293,752 $43,752 Earned Interest Yield Year to Date 1.25% 1.26% 0,01% Average Daily Balance YTD $150,000,000 $154,698,097 $4,698,097 Increase in Bank Balance for April/May due to Receipt of Property Taxes —Deferred Compensation and Medical Retiree Statements are issued quarterly. Summary by Individual Investment in City Investment Portfolio- Book Value: 365 Days YTM Int. April %of Total Policy Limit to Mat. Rate Federal Agency Issues- Coupon $82.080,245 50% None 1267 1.72% Local Agency Inv. Fund (LAIF) $59,999,030 36% $60 million 1 0.41% Medium Term Notes $23,064,562 14% 20% 349 1.81% $165,143,836 100% 679 1,26% Item 2. - 4 xB -30- Statement of Casio Receipts and Disbursements and Summary of Cash by Fund t Finance Department May 2011 Cash Receipts and Disbursements April 2011 May 2011 Receipts Property Tax Receipts $24,034,147 $11,688,263 Utility Tax Receipts (UUT) 1,736,287 1,714,681 Sales Tax Receipts 1,187,500 1,741,600 112 Cent Safety Sales Tax Receipts 162,186 120,453 Highway Users Tax Receipts (HUT) 0 965,549 Transient Occupancy Tax Receipts (TOT) 597,227 498,193 Capital Funds 139,868 539,478 Debt Service Funds 1,887,489 37,027 Enterprise Funds 4,209,631 5,117,955 Fiduciary Funds 756,883 563,389 Special Revenue Funds 721,782 1,801,619 All Other Receipts $5,248,963 $3,758,902 Subtotal Receipts $40,680,962 $28,547,010 Disbursements All Other Disbursements (25,000,926) (29,495,436) Net Change in Cash Flow $15,680,036 $7,051,674 Summary of Cash by Fund April 2011 May 2011 General Fund $56,583,618 65,535,414 Government Funds 762,423 805,131 Capital Funds 2,192,578 1,362,277 Debt Service Funds 13,501,535 13,249,953 Enterprise Funds 88,113,163 89,078,186 Fiduciary Funds 1,052,994 746,288 Special Revenue Funds 21,713,894 21,927,854 $183,920,206 $192,705,102 "Total cash will differ from investment portfolio total due to outstanding checks and/or other timing differences. Note: Above information was obtained from the City's accounting system records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in compliance with the City's Charter. Statement of Gash receipts&Disbursements June 2011 ji rvinn ni i HB -31- Item 2. - 5 I—� 1-- Ol `H{,9Afi0RFiF0 O N _ 9 City of Huntington Beach t �Y Cott' of HB 2000 Main St Portfolio Management Huntington Beach, Portfolio Summary CGIINTY CP May 31, 2011 Investments Par Market Book % Days to YTM YTM Value Value value Portfolio Term Maturity 360 Equiv. 366 Equiv. Federal Agency Issues-Coupon 82,230,000.00 82,383,765.80 82,080,244.94 49.70 1,448 1,267 1.700 1.724 Local Agency Investment Funds 59,999,029.87 59,999,029.87 59,999,029.87 36.33 1 1 0.407 0.413 Medium Term Motes 23,000,000.00 23,410,770.00 23,064,561.54 13.97 1,070 349 1.782 1.807 Investments 165,229,029.87 165,793,565.67 165,143,836.35 100.00% 869 679 1.242 1.259 Cash and Accrued Interest Accrued Interest at Purchase 1,166.67 1,166.67 Subtotal 1,166.67 1,166.67 Total Gash and Investments 165,229,029.87 165,794,732.34 165,145,003.02 869 679 1.242 1.259 Total Earnings May 31 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 157,704.06 1,293,751.65 w Current Budget 156,250.00 1,250,000.00 1,875,000.00 N Last Year Actual 230,635.00 1,768,052.00 2,522,076.00 Average Daily Balance 157,665,657.64 154,698,096.60 Effective Rate of Return 1.18% 1.26% 1 certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on December 20,2010, A copy of this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market Values provided by Union Bank via Interactive Data Corporation. Alisa-C,atohen,CITY TREASURER Reporting period 05/0112011-0513112011 Portfolio CITY AP Run Date:06r""0011-11:34 PM(PRF_PM1)7.2.0 Report Ver.7.3.2 City of 1-813 Portfolio Management Page 1 Interest Earnings Summary May 31, 2011 May 31 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 48,500.00 1,026,221.39 Pius Accrued Interest at End of Period 484,507.62 484,507.62 Less Accrued Interest at Beginning of Period ( 401,869.71) ( 407,805,68) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 131,137.91 1,102,923.33 Adjusted by Premiums and Discounts -2,789.53 -24,887.55 Adjusted by Capital Gains or Losses 0.00 16,443.42 Earnings during Periods 128,348.38 1,094,479.20 Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0,00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0,00) Cd Interest Earned during Period 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 w Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0.00 Cash/Checking Accounts. Interest Collected 0.00 218,950.15 Pius Accrued Interest at End of Period 59,646.76 59,646.75 Less Accrued Interest at Beginning of Period ( 30,291.07) ( 79,324.45) Interest Earned during Period 29,355.68 199,272.45 Total Interest Earned during Period 160,493.59 1,302,195.78 Total Adjustments from Premiums and Discounts -2,789.53 -24,887.55 Total Capital Gains or Losses 0.00 16,443A2 H Total Earnings during Period 157,704.06 1,293,761.65 e--r CD Portfolio CITY N AP •t in Date:06I2312411-11:34 PM(PRF_PM6)7.2.0 Report Ver.7.3.2 CD City of 1-113 Portfolio Management Page 1 00 Distribution of Investments By Type May 2010 through May 2011 May June July August September October November December January February March April May Average Security Type 2010 2010 2010 2010 2010 2010 2010 2010 2011 2011 2011 2011 2011 by Period Repurchase Agreements Certificates of Deposit Commercial Paper-Interest Bearing Federal Agency Issues-Coupon 33.8 33.9 34.2 33.8 40.4 37.4 31.6 45.9 48.8 49.4 49.0 45.7 49.7 41.0% Local Agency Investment Funds 31.7 31.8 36-7 37.5 39.5 42.2 41.9 38.2 36A 35.3 35.1 38.1 36.3 37.0% Treasury Securities-Coupon Medium Term Notes 14.3 14.4 16.6 17.0 17.9 19.1 18.9 16.0 15.1 15.3 15.9 16.1 14.0 16.2% Negotiable CD's Certificates of Deposit-Bank Mortgage Backed Securities Bankers Acceptances-Amortizing Commercial Paper Disc.-Amortizing 7.4 4.8 2.5 1.1% Federal Agency Disc.-Amortizing 11.1 7.9 7.4 2.0% Treasury Discounts-Amortizing 8.8 4.9 1.1% Miscellaneous Discounts-Amortizing Money Market Acct 1.8 7.2 2.7 3.0 2.2 1.4 2.7 1.6% Rolling Repurchase Agreements w Portfolio CITY AP Run Date:0612- t-1134 PM(PRF_PM5}7.2.0 Report Ver.7.3.2 City of HB Portfolio Management Page 1 Activity Summary May 2010 through May 2011 Yield to Maturity Managed Number Number Month Number of Average 360 365 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity May 2010 57 184,628,114.04 1.341 1.360 0.560 4 2 627 465 June 2010 55 188,112,806.29 1.331 1.350 0.528 5 7 634 460 Juiy 2010 48 177,366,265.25 1.361 1.380 0.531 8 15 646 466 August 2010 47 162,076,756.20 1.320 1.338 0.513 7 8 641 453 September 2010 46 154,161,946.43 1.383 1.402 0.500 8 9 744 555 October 2010 42 147,479,654.35 1.393 1.412 0.480 1 5 752 542 November 2010 39 141,605,221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144,716,923.18 1.337 1.356 0.462 12 5 869 712 January 2011 49 163,147,627.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 1.372 0.500 0 2 890 677 April 2011 44 157,507,665.91 1.292 1.309 0.588 0 3 w 647 May 2011 46 167,665,657,64 1.242 1.259 0.413 4 2 869 679 Average 47 161,894,063.68 1.331% 1.350% 0.506 4 5 766 581 Cd w Y, CD Portfolio CITY N AP ;un pate:06/2312011-11:34 PM(PRF PM4)7.2.0 Report Ver.7.3.2 CD !� City of 1-113 Portfolio Management p Activity By Type Page May 1, 2011 through May 31, 2011 Stated Transaction Purchases Redemptions CUSIP investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues-Coupon 31331KKN9 3879 Federal Farm Credit Bank 1.360 05/12/2011 3,000,000.00 0.00 313370NA2 3849 Federal Home Loan Bank 0.600 05/31/2011 0.00 3,000,000.00 313373RBO 3878 Federal Home Loan Bank 2,000 05/2612011 3,000,000.00 0.00 313373QJ4 3880 Federal Home Loan Bank 1A25 05/25/2011 3,000,000.00 0.00 3134G2KA9 3881 Federal Home Loan Mort Corp 1.250 05/27/2011 5,000,000.00 0.00 Subtotal 14,000,000.00 3,000,000.00 82,080,244.94 Local Agency Investment Funds (Monthly Summary) SYS982 982 Laif City 0.413 764,000.00 0.00 Subtotal 764,000.00 0.00 69,999,029.87 Medium Term Notes 17313YAB7 3739 Citigroup FDIC Insured 1.375 05105/2011 0.00 2,000,000.00 Subtotal 0.00 2,000,0013.00 23,064,661.54 Money Market Acct (Monthly Summary) Subtotal 0.00 W Total 14,764,000.00 5,000,000.00 165,143,836,35 Portfolio CITY AP Run Date:06 -11:34 PM(PRF_PM3)7.2.0 Report Ver.7.3.2 City of HB Portfolio Management Investment Status Report-Investments Page� May 31, 2011 Stated Maturity Purchase YTM YTNI Accrued Interest Current CUSIP Investment# Issuer Par Value Rats Date Date 360 365 At Purchase Principal Book Value Federal Agency Issues-Coupon 31331JRT2 3833 FFCB 2,000,000.00 2.6200511512015 06/15/2010 2.231 2.262 2,000,0D0.00 2,000,000.00 31331JZK2 3850 FFCB 3,000,000.00 1.05008/28/2013 08/26/2010 1.036 1.050 3,000,000.00 3,000,000.00 31331J5E9 3867 FFCB 3,000,000.00 2.480 12M 512015 12/15/2010 2.446 2.480 3,000,000.00 3,000,000,00 31331JBT5 3875 FFCB 3,00D,000.00 0.89001/07/2013 01/07/2011 0.878 0.890 3,000,000.00 3,000,000.00 31331KKN9 3879 FFCB 3,000,000.00 1.36005112J2014 05/12/2011 1.341 1.360 3,000,000.00 3,000,000,00 3133XUNE9 3785 FHLB 2,000,000.00 2.75008119/2013 08/26/2009 2.712 2.750 Received 2,000,000,00 2,000,000.00 313370EG9 3843 FHLB 2,000,000.00 1.1260712812015 07/2812DID 2.537 2.672 2,000,000.00 2,000,000.00 31337OXW3 3859 FHLB 3,230,000.00 1,5500911512014 09/20/2010 1.529 1.550 Received 3,230,000.00 3,230,000.00 313371SV9 3862 FHLB 3,00D,000.00 2.000 1 2JO912015 12(0912010 1.973 2000 3,000,000.00 3,000,000.00 313371U53 3863 FHLB 3,00D,000.00 1.5001211012015 12/10/2010 2.10D 2.129 3,000,000.00 3,000,000.00 313371XSO 3865 FHLB 2,000,000.00 1.0001211612015 12/16/2010 0.986 1,000 2,000,000.OD 2,000,000.00 313371WW2 3866 FHLB 3,000,000,00 1.4500911712014 12M712010 1.430 1,450 3,000,000.00 3,000,000.00 313373RBO 3878 FHLB 3,000,000,00 2.00005126/2016 05P2612011 2.387 2.420 3,000,000.00 3,000,000.00 313373QJ4 3880 FHLB 3,000.000.00 1.12511125/2013 05/25/2011 1.110 1.125 3,000,000.00 3,000,000.00 3134G1TX2 3855 FHLMC 2,000,OOD.00 1.500 06/23/2G14 09/23/2010 1.480 1.500 2,000,000.00 2,000,000.OD 3134G1TYO 3856 FHLMC 2,000,000.00 1.26009124/2015 09/2412010 2.286 2.318 2,000,00D.00 2,000,000.00 31MGlUF-2 3860 FHLMC 2,OD0,000.00 1.25009/2312015 09/23/2010 1.218 1.235 1,999,000.00 1,9139,137.78 3134GIL44 3870 FHLMC 3,000,000.00 1.00006/28=13 12/2812010 1.036 1.051 2,996,250.00 2,996,887.50 J 3134G2KA9 3881 FHLMC 5,000,000.00 1.250 05/28/2014 05/2712011 1,233 1.250 5,000,000.00 5,000,000.00 3136FMQ23 3835 FNMA 2,000,00D.00 2.000 09MI2014 06/2812010 1.973 2,000 2,000,000.00 2,000,000.00 313984.2A9 3844 FNMA 2,000,000.00 2-125 08/0512015 08/05/2010 1.877 1,903 2,000,000.00 2,000,000.00 31398A31-4 3854 FNMA 3,000,000.00 1.125 09/1712DIZ 09/1712010 1.110 1.125 3,000,000.00 3,000,000.00 3136FPUM7 3861 FNMA 31000,000.00 1.1261012912015 10/29/2010 1.935 1.962 2,998,500.00 2,998,676.67 3136FPYL5 3868 FNMA 2,000,000.00 1.0000910212014 12/10/2010 1.509 1,530 Received 1,961,740.00 1,966,615.16 3136FPV79 3871 FNMA 3,000,000.00 1.5001212812016 12128/2010 2.776 2,814 3,000,000.00 3,000,000.00 3136FPYLS 3872 FNMA 3,000,000.00 1.00009/0212014 12131/2010 1.5$4 1.606 Received 2,935,500.00 2,942,824.00 3136FPH75 3873 FNMA 3,000,000.00 1.0001211712014 12/31/2010 1.706 1.729 1,166.67 2,982,000.00 2,983,893AI 3136FPP84 3874 FNMA 3,000,000.00 2.05012/3012015 1213112010 2.311 2.343 2,956,750.00 2,962,210.42 3136FPZ91 3876 FNMA 3,000,000.00 1.75DO712112014 01121/2011 1.726 1.750 3,000,000.00 3,000,000.00 3136FP2CO 3877 FNMA 3,000,000.00 1.5000110612014 01J0612011 1.479 1.500 3,000,000.00 3,000,000.00 Federal Agency Issues Coupon Totals 82,230,000.00 1.700 1.724 1,166.67 82,061,740.00 82,080,244.94 Local Agency Investment Funds f--13Y5982 982 1.AIFHB 29,999,029.87 0.413 0.407 0.413 29,999,029.87 29,999,029.87 N 3YS2206 2206 LAIFRD 30,000,000.00 0,413 0.407 0.413 30,000,000.00 $0,000,000.00 N Portfolio CITY i AP An pate:0612=011-11!34 PM(PRF�_PMS)7.2.0 �+ Report Ver.7.3.2 CD N City of HB Portfolio Management '-' Investment Status Report-Investments Page 2 N May 31, 2011 Stated Maturity Purchase YTM YfM Accrued Interest Current CUSIP Investment# issuer Par Value Rate bate Date 360 366 At Purchase Principal Book Value Local Agency Investment Funds Totals 59,999,029.87 0.407 OA13 0.00 59,999,029.87 59,999,029.87 Medium Term Notes 06050BMO 3734 BACTLG 2,000,000.00 2.37506/2212012 04/30/2009 1.805 1.830 Received 2,033,160,00 2,011,160.74 17314AAF9 3723 CITITL 2,DDO,000.00 2.0000313012012 03/30/2009 2.064 2.093 1,994,620.00 1,998,5%54 369671-1862 3805 GECCTL 2,000,000.00 2.000 09/28/2012 11/03/2009 1.696 1.720 Received 2.015,780.00 2,007,202.93 3696714AN7 $733 GETLGP 2,000,000.00 2,250 03/12/2012 04/30/2009 1.677 1.701 Received 2,030,600.00 2,008,331.98 36967HAHO 3735 GETLGP 2,0DO,000.00 2,200 06/08/2012 04/30/2009 1.825 1.850 Received 2,021,020.00 2,006,900.13 36186CBF9 3763 GMACTL 2,000,000.00 2-2001211912012 06/30/2009 2.328 2,361 Received 1,989,360.00 1,995,246,50 36185JAA7 3804 GMACTL 2,000,000.00 1.75010130/2012 11/03/2009 1.759 1.784 Received 1,998,040.00 1,999,073.69 38146FAFS 3732 GSTLGP 2,000,000.00 1,62507/1512011 04/2712009 1.430 1.450 Received 2,007,580.00 2,000,417.94 481247AKO 3738 JPMTLG 2,000,000.00 2.2000611512012 04/3012009 1.746 1,770 Received 2,026,020.00 2,008,650.20 49328CAA3 3770 KE=YTLG 2,000,000.00 3.20006116/2012 06/3012009 1,973 2.ODO Received 2,068,580.00 2,024,083.49 61757UAF7 3736 MSTLGP 2,000,000.00 2.000 091=011 04/30/2009 1.371 1.390 Received 2.028,620.00 2,003,685.41 91160RAC1 3743 USBTLG 1,000,000.00 1,80005/16/2012 05/19/2009 1.637 1.660 Received 1,004,060.00 1,001,297.99 Medium Term Notes Totals 23,009,000.00 1.782 1.807 0.00 23,217,440.00 23,064,661.64 x Money MarketAcct SYS3802 3802 UNIONG 0.00 0.050 0.049 0.050 0.00 0.00 w SYS3789 3789 UNIONU 0.00 0.020 0.020 0,020 0.00 0,00 00 --- Money Market Acct Totals 0.00 0.000 0,000 0.00 0.00 0.00 Investment Totals 165,229,029.87 1.242 1.259 1,166.67 165,278,209.87 165,143,836.35 Portfolio CITY AP Run Date-06C •11:34 -M(PRF_PMS)7.2.0 ATTACHMENT # 1 City of Huntington Beach Investment Review Period Ending: December 31, 2011 Prepared by. Alisa Cutchen, City Treasurer 1 Page xB -25- Item 2. - 3 Economic and Market Overview: The year 2011 ended with a slight uptick in a few U.S. economic indicators, while Europe continued in turmoil. The unemployment rate for December fell from 8.7% to 8.5%, the lowest since February of 2009. Consumer confidence also increased slightly in December. On the other hand, personal income and wage gains continued at a slow pace. As for the financial markets, the S&P 500 finished the year basically unchanged, while the Dow Jones Industrial Average rose by 5.6% for the year. The U.S. government received record demand for its securities during 2011, as investors worldwide continued their "flight to safety" with the purchase of U.S. treasuries. It is anticipated that the Federal Reserve policy will continue with a targeted 0%-0.25% interest rate target for Fed Funds through 2014. 10-Yr US Treasury Yields 2011 4.00 Daily 3.50 3.00 2.50 2.00 1.50 12/31 2/9 3/21 4/30 6/9 7/19 8/28 10/7 11/16 12/26 Source: FTN Financial Portfolio Overview: %of YTM Investment TVpe Market Value Book Value Portfolio 365-day Policy Limit Federal Agency Issues 109,097,680 108,995,969 67% 1.273 None Local Agency Investment Fund(LAIF) 30,028,426 30,028,426 18% 0.382 $60 million Medium Term Notes-Corporate 24,261,761 24,055,452 15% 1.787 20% Totals $163,387,867 $163,079,847 100% 1.185 As of December 31, 2011, the market value of the investment portfolio was $163,387,867, with a book value of $163,079,847. Additionally, there was a balance of approximately $22.3 million in the City's operating bank account, which had not yet been invested. This balance included the receipt by the City of approximately $21.8 million in tax revenues during the month. Those funds not necessary for current operations will be invested in the near future. The portfolio is invested in only those investments allowable by State regulations and the City's Investment Policy. 2 1 P a g e Item 2. - 4 xB -26- Such investments are purchased to meet the portfolio objectives of preservation of principal, maintenance of sufficient operating liquidity, and to attain a market rate of return throughout budgetary and economic cycles, in that order of absolute priority. Book Value History $200,000,000 $164,151,749 $182,964,133 $181,695,132 $180,000,000 $162,329,771 $166,154,122 $157,349,376 $165,143,836 $163,650,318 $163,079,847 $160,000,000 $15712.6,238 $150,365,213 $14 ,083,926 $139,093,228 $140,000,000 $120,000,000 $100,000,000 $80,000,000 $60,000,000 $40,000,000 $20,000,000 $0 'arJKJ �e�iJaAA y1Jce yy�J� paQ'JSti ��e O`�.o oe��e ece��e ti°tio� ti°tiro tiotiy tiotiy tiotiy ryoti ryoti ryoti do tiotiy 'L°yySe ti�tiy 'ti°tiy� ti°tiyo Currently, City funds are invested in Federal Agency Securities, Medium Term Corporate Notes and the State of California's Local Agency Investment Fund (LAIF). In August, Standard & Poor's rating agency downgraded the U.S. long-term rating one notch to "AA+". They then proceeded to address entities that have direct ties, or enjoy support, from the government. These included the GSEs; Fannie Mae, Freddie Mac, the FHLB system and the FFCB system, all of which were moved to the same long-term ratings as the U.S. government at AA+. S&P also downgraded the ratings of FDIC-backed bonds to AA+. Moody's and Fitch credit rating agencies affirmed their U.S. government and related entities' credit rating of AAA. Such investments are maintained within the City's portfolio, and have been downgraded accordingly. These investments will continue to be reviewed for creditworthiness, but no serious concerns are anticipated at this time. The four federal government sponsored entities that the City purchases the securities of are Federal Home Loan Bank (FHLB), Federal Home Loan Mortgage Corporation (FHLMC/Freddie Mac), Federal National Mortgage Association (FNMA/Fannie Mae) and Federal Farm Credit Bank (FFCB/Farm Credit). All corporate notes are "A" rated or its equivalent or better, per the City's Investment Policy. LAIF offers local agencies the opportunity to participate in a major portfolio with immediate liquidity managed by the State Treasurer's Office (please see http://www.treasurer.ca.gov/pmia-laif for more information). 3 1 P a g e HB -27- Item 2. 5 Portfolio Earnings and Performance: Monthly Earnings $141 392 Interest: $ a4,77 Adj,Premiums/Discounts -$14,730 Capital Gains: Monthly Budgeted Interest Income $112,000 Monthly Effective Rate of Return 1.12% Fiscal YTD Earnings $431,386 Fiscal YTD Budget $336,000 Fiscal YTD Effective Rate of Return 1.13% Benchmark(1) 0,42% Bank Cash Balance $22,276,901 (1)Benchmark: The average ofthe monthly LAIF rate and the 12-month rolling average 2-year Constant Maturity Treasury(CMT)rate. Monthly investment earnings as of the period ended December 31, 2011, were $141,392. The interest portion of the income was $154,772, with capital gains of $1,350. The monthly effective rate of return of 1.12% decreased slightly from the previous month (1.17%). For the fiscal year-to-date as of December 31, 2011, the effective rate of return was 1.13%, down from 1.19% for the previous fiscal year. The portfolio yield overall continues to decline as expected, due to the historically low interest rates. Higher yielding bonds that mature or are "called" are causing retired funds to be invested in the current low interest rate environment. Certain securities have "call' options, which means the issuer may return the funds to the buyer at a specified time. It is anticipated that the portfolio yield will remain at these low levels and that it will take some time for portfolio yields to increase, even as interest rates begin to move upward, as existing securities will continue to remain in the portfolio until maturity unless sold. Portfolio Activity: Quarterly Activity: For the quarter ending December 31, 2011, federal agency redemptions totaled $36MM. Total purchases for the quarter included $76MM in federal agency securities and $3.5MM in corporate notes. Funds have been utilized from the LAW account and invested in higher yielding federal agency securities, as shown by the 39% decrease in LAW in the chart below. Monthly Activity: For the month of December 2011, a total of$43MM of federal agency securities were purchased and $19MM in federal agency securities matured or were called. The agency securities were called due to the current low interest environment, hence allowing the issuer to re-issue at lower rates. 4 1 P a g e Item 2. - 6 xB -28- Quarter-to-Quarter Comparison Book Value 11 12131111 % c an e Federal Agency Issues $88,994,476 $108,995,969 22% Local Agency Investment Fund (LAIF) $49,235,271 $30,028,426 -39% Medium Term Notes - Corporate $24,100,024 $24,055,452 -0.2% Totals $162,329,771 $163,079,847 0.5% Compliance: The portfolio is in conformity with all State laws and the Investment Policy statement filed with the City Council on December 19, 2011. A copy of this policy is available at the office of the City Clerk. The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Additional Investment Information: Balances- Market Value: Sept 30,2011 Dec 30,201 c. c. Bond Proceeds: Reserve Balance $ 10,833,225 $ 11,456,913 5.76% Deferred Compensation Balance (1) $ 84,222,109 not available n/a Retiree Medical Trust Balance (1)(2) $ 10,237,358 not available n/a Supplemental Pension Trust Balance $ 27,651,380 $ 29,415,670 6.38% Notes: (1) Deferred Compensation and Medical Trust Statements are received quarterly only. (2)Retiree Benefit Trust Statements are received 45+days following quarter end. December statement not yet received. 5 1 P a g e xB -29- Item 2. - 7 � ��NTINGToy O`C _'NxxxtFFFlpF �� y City of Huntington Beach N 3 _ City of liB 2000 Main St. -- Q Huntington Beach, 00 9,yn-.-�— �= Portfolio Management uNTv cP` Portfolio Summary December 31, 2011 Investments Par Market Book %of Days to YTM YTM Value Value Value Portfolio Term Maturity 360 Equiv. 366 Equiv. Federal Agency Issues-Coupon 109,000,000.00 109,097,680.00 108,995,969.35 66.84 1,397 1,303 1.266 1.273 Local Agency Investment Funds 30,028,426.69 30,028,425.69 30,028,426.69 18.41 1 1 0.377 0.382 Medium Term Notes 23,810,000.00 24,261,760.90 24,055,452.36 14.75 1,060 305 1.762 1.787 Investments 162,838,426.69 163,387,866.59 163,079,847.40 100.00% 1,090 916 1.168 1.185 Cash and Accrued Interest Accrued Interest at Purchase 30,654.68 30,654.68 Subtotal 30,654.68 30,654.68 Total Cash and Investments 162,838,426.69 163,418,621.27 163,110,602.08 1,090 916 1.168 1.186 Total Earnings December 31 Month Ending Fiscal Year To Date Fiscal Year Ending x rrent Year 141,391.77 431,386.12 rrent Budget 112,000.00 336,000.00 1,344,000.00 o :t Year Actual 156,250.00 468,750.00 1,875,000.00 L.erage Daily Balance 148,311,281.04 150,849,942.34 Effective Rate of Return 1.12% 1.13% 1 certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on December 20,2010. A copy of this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligates. Market Val es provided by Union Bank via Interactive Data Corporation. y�ti� -- I•�3- ra Alisa Cutchen,CITY TREASURER Reporting period 12101/2011-12131/2011 Portfolio CITY AP Run Date:01/17/2012-15:45 PM(PRF PM1)7.&0 t Ver.7.3.3b City of 1-113 Portfolio Management Page 1 Portfolio Details - Investments December 31, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 366 Maturity Date Federal Agency Issues-Coupon 3133747F1 3885 Federal Home Loan Bank 06/27/2011 6,000,000.00 5,007,600.00 5,000,000.00 0.700 AA 0. 6 0 3134G2LY6, 3892 Federal Home Loan Mort Corp 06/29/2011 5,000,000.00 5,045,850.00 6,000,000.00 2.000 AA 2.000000 00 1,641 O6/2/29/201/2016 3134G2H39 3896 Federal Home Loan Mort Corp 09/29/2011 5,000,000.00 4,988,250.00 5,000,000.00 0.800 AA 0.800 1,002 09/29/2014 3134G3BL3 3910 Federal Home Loan Mort Corp 12/05/2011 5,000,000.00 5,000,000.00 5,000,000.00 1.000 AA 1.000 1,069 12/05/2014 3134G3CVO 3911 Federal Home Loan Mort Corp 12/19/2011 5,000,000.00 5,000,000.00 5,000,000.00 1.000 AA 1.000 1,083 12/19/2014 3134G3DY3 3912 Federal Home Loan Mort Corp 12/19/2011 5,000,000.00 5,000,000.00 5,000,000.00 0.875 AA 0.875 1,083 12/19/2014 3134G3FGO 3913 Federal Home Loan Mort Corp 12/27/2011 3,000,000.00 3,000,000.00 3,000,000.00 0.650 AA 0.650 908 06/27/2014 31398AX4 3854 Fed.Natl Mort Assoc. 09/17/2010 3,000,000.00 3,035,070.00 3,000,000.00 1.125 AA 1.126 626 09/17/2013 3136FRQJ5 3884 Fed.Nat]Mort Assoc. 06/20/2011 6,000,000.00 5,019,400.00 5,000,000.00 1.170 AA 1.170 901 06/20/2014 3136FRVH3 3889 Fed.Nafl Mort Assoc- 06/29/2011 5,000,000.00 5,032,450.00 5,000,000.00 1.500 AA 2.229 1,641 06/29/2016 3136FRVX8 3891 Fed.Nat1 Mort Assoc. 07/05/2011 5,000,000.00 5,008,150.00 5,000,000.00 2200 AA 2.200 1,647 07/05/2016 3136FRD59 3893 Fed.Nat]Mort Assoc. 07/25/2011 5,000,000.00 5,003,900.00 5,000,000.00 1.125 AA 1A25 936 07/25/2014 3136FRV59 3894 Fed.Nat]Mort Assoc. 09/14/2011 8,000,000.00 8,008,240.00 8,000,000.00 1.050 AA 1.516 1,718 09/14/2016 3135GODT7 3904 Fed.NaYI Mort Assoc. 10/17/2011 5,000,000.00 4,977,000.00 4,998,369.91 0.700 AA 0.712 1,020 10/17/2014 3135GODT7 3905 Fed.Nat?Mort.Assoc. 10/17/2011 3,000,000.00 2,986,200.00 2,999,021.94 0.700 AA 0.712 1,020 10/17/2014 3136FR4V2 3907. Fed.Nat]Mort Assoc. _ 09/28/2011 2,000,000.00 1,992,120.00 1,998,577.50 1.375 AA 1.391 1,732 09/28/2016 3136FR5P4 3908 Fed.Nafl Mort Assoc. 09/30/2011 5,000,000.00 4,977,550.00 6,000,000.00 0.750 AA 0.750 1,003 09/30/2014 3136FTFG9 3909 Fed.Nafl Mort Assoc. 10/26/2011 5,000,000.00 5,015,900.00 5,000,000.00 1.250 AA 1.722 1,760 10/26/2016 AA 0.900 1,093 12l29/2014 3136GOGN7 3914 Fed.NO Mort Assoc. 12/29/2011 5,000,000.00 5,000,000.00 5,000,000.00 0.900 W 3136FTWG0 3915 Fed.Nafl Mort Assoc 12/28/2011 5,000,000.00 5,000,000.00 5,000,000.00 25 AA 1.641 1,823 12/28/2016 1.1 F' 3136FTVF3 3916 Fed.NO Mort Assoc. 12/28/2011 5,000,000.00 5,000,000.00 5,000,000.00 1.000 AA 1.709 1,823 12/28/2016 3136FTXDS 3917 Fed,Nat1 Mort Assoc. 12/28/2011 5,000,000.00 5,000,000.00 5,000,000.00 1.100 AA 1.100 1,457 12/28/2015 3136FTWGO 3918 Fed.Nafl Mort Assoc. 12/28/2011 5,000,000.00 5,000,000.00 5,000,000.00 1.125 AA 1.641 1,823 12/28/2016 Subtotal and Average 94,220,463.91 109,000,000.00 109,097,680.00 108,995,969.35 1.273 1,303 Local Agency Investment Funds SYS982 982 Law City 30,028,425.69 30,028,425.69 30,028,425.69 0.382 0.382 1 SYS2206 2206 LAIF-Redevelopment Agency 0.00 0.00 0.00 0.382 0.382 1 Subtotal and Average 30,028,426.69 30,028,426.69 30,028,425.69 30,026,425.69 0.382 1 Medium Term Notes 06050BAJO 3734 Bank of America FDIC Insured 04/30/2009 2,000,000.00 2,026,220.00 2,005,009.15 2375 AA 1.390 110 01/15/2015 084664ATB 3895 Berkshire Hathaway Fin 08/26/2011 1,310,000.00 1,440,200.90 1,444,073.24 4.850 AA 1.390 1,110 01/15/2015 17314AAF9 3723 Citigroup FDIC Insured 03/30/2009 2,000,000.00 2,012,400.00 1,999,556.66 2.000 AA 2.093 89 03/30/2012 36962G4X9 3906 General Electric Capital Corp 09/29/2011 2,000,000.00 2,012,720.00 2,020,892.47 2.100 AA 1.570 737 01/07/2014 36962GZY3 3997 General Electrlc.Capital Corp 09/16/2011 1,500,000.00 1,568,190.00 1,565,481.23 5.450 AA 1.200 380 01/15/2013 �+ Portfolio CITY fD AP Run Date:01/17/2012-1 5:64 PM(PRF PM2)7.3.0 N Report Ver.7.3.3b City of Nts Activity Report Page 2 September 1,2011-December 31,2011 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Issuer Subtotal 3.071% 14,000,000.00 0.00 9,000,000.00 6,000,000.00 Issuer:Federal Home Loan Mort Corp Federal Agency Issues-Coupon 3134G2KA9 3881 Federal Home Loan Mort Corp 1250 11/28/2011 0.00 5,000,000.00 3134G2MG4 3886 Federal Home Loan Mort Corp 1.500 12/30/2011 0.00 5,000,000.00 31341321-139, 3896 Federal Home Loan Mort Corp 0.800 09/29/2011 5,000,000.00 0.00 3134G3131-3 3910 Federal Home Loan Mort Corp 1.000 12/05/2011 5,000,000.00 0.00 3134G3CVO 3911 Federal Home Loan Mort Corp 1.000 12/19/2011 5,000,000.00 0.00 3134G3DY3 3912 Federal Home Loan Mort Corp 0.875 12/19/2011 5,000,000.00 0.00 3134G3FG0 3913 Federal Home Loan Mort Corp 0.650 12/27/2011 3,000,000.00 0.00 Subtotal and Balance 15,000,000.00 23,000,000.00 10,000,000.00 28,000,000.00 Issuer Subtotal 17.195% 15,000,000.00 23,000,000.00 10,000,000.00 28,000,000.00 Issuer:Fed.NaVI Mort.Assoc. Federal Agency Issues-Coupon 3136FPUW 3861 Fed.NO Mort.Assoc. 1.125 10/31/2011 0.00 3,000,000.00 3136FPV79 3871 Fed.NaVI Mort Assoc. 3.000 12/28/2011 0.00 3,000,000.00 x 3136FRTW3 3887 Fed.Natl Mort Assoc. 1.100 12/30/2011 0.00 5,000,000.00 3136FRTD5 3888 Fed.NaVI Mort Assoc. 1.500 12/30/2011 0.00 3,000,000.00 3136FRV59 3894 Fed.NO Mort.Assoc, 1.050 09/14/2011 8,000,000.00 0.00 3135GODT7 3904 Fed.NafI Mort Assoc. 0.700 10/17/2011 5,000,000.00 0.00 3135GODT7 3905 Fed.Nafl Mort Assoc. 0.700 10/17/2011 3,000,000.00 0.00 3136FR4V2 3907 Fed.NaVI Mort Assoc. 1.375 09/28/2011 2,000,000.00 0.00 3136FR5P4 3908 Fed.Nafl Mort Assoc. 0.750 09/30/2011 5,000,000.00 0.00 3136FTFG9 $909 Fed.Naft Mort Assoc. 1.250 10/26/2011 6,000,000.00 0.00 3135GOGN7 3914 Fed.Nat'l Mort.Assoc. 0.900 12/29/2011 6,000,000.00 0.00 3136FTWGO 3915 Fed.NaVI Mort Assoa 1.125 12/28/2011 5,000,000.00 0.00 3136FTVF3 3916 Fed.Natl Mort Assoc. 1.000 12/28/2011 5,000,000.00 0.00 3136FTXD6 3917 Fed.NaVI Mort Assoc. 1.100 12/28/2011 5,000,000.00 0.00 3136FTWGO 3918 Fed.NaVI Mort Assoc 1.125 12/28/2011 5,000,000.00 0.00 Subtotal and Balance 37,000,000.00 53,000,000.00 14,000,000.00 76,000,000.00 Issuer Subtotal 46.672% 37,000,000.00 53,000,000.00 14,000,000.00 76,000,000.00 H CD Portfolio CITY N AP R r e:01/17/2D12-15:51 DA(PRF_DA)7.2.0 Report Ver.7.3.3b I� City of HB N Activity Report Page 3 i September 1,2011 -December 31,2011 �-' Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment# issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Issuer:General Electric Capital Corp Medium Term Notes 36962G4X9 3906 General Electric Capital Corp 2.100 09/29/2011 2,000,000.00 0.00 36962GZY3 3997 General Electric Capital Corp 5.450 09/16/2011 1,500,000.00 0.00 Subtotal and Balance 0.00 3,500,000.00 0.00 3,500,000.00 Issuer Subtotal 2.149% 0.00 3,500,000.00 0.00 3,500,000.00 Issuer:GE Capital FDIC Insured Medium Term Notes Subtotal and Balance 2,000,000.00 2,000,000.00 Issuer Subtotal 1.228% 2,000,000.00 0.00 0.00 2,000,000.00 Issuer:General Electric Cap FDIC Insu Medium Term Notes Subtotal and Balance 4,000,000.00 4,000,000.00 Issuer Subtotal 2.456% 4,000,000.00 0.00 0.00 4,000,000.00 Is:�,, r:GMAC FDIC Insured —00 ..tedium Term Notes Subtotal and Balance 4,000,000.00 4,000,000.00 Issuer Subtotal 2.456% 4,000,000.00 0.00 0.00 4,000,000.00 Issuer:JP Morgan Chase FDIC Insured Medium Term Notes Subtotal and Balance 2,000,000.00 2,000,000.00 Issuer Subtotal 1.228% 2,000,000.00 0.00 0.00 2,000,000.00 Issuer: Key Bank FDIC Insured Portfolio CITY AP Run Date:01/17/2012-1p.4 DA(PRF DA)72.0 Dort Ver.7.3.3b City of by Activity Report Page 4 September 1,2011-December 31,2011 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Issuer: Key Sank FDIC Insured Medium Term Notes Subtotal and Balance 2,000,000.00 2,000,000.00 Issuer Subtotal 1.228% 2,000,000.00 0.00 0.00 2,000,000.00 Issuer:Laif City Local Agency Investment Funds SYS982 982 Laif City 0.382 28,768.14 0.00 Subtotal and Balance 0.00 28,768.14 0.00 28,768.14 Issuer Subtotal 0.018% 0.00 28,768.14 0.00 28,768.14 Issuer: LAIF-Redevelopment Agency Local Agency Investment Funds SYS2206 2206 LAIF-Redevelopment Agency 0.382 21,647-90 19,267,256.57 Subtotal and Balance 0.00 21,642.90 19,257,256.57 -19,235,613.67 Issuer Subtotal -11.813% 0.00 21,64190 19,257,256.57 -19,235,613.67 I<<j ar: US Bank FDIC Insured Medium Term Notes Subtotal and Balance %000,000.00 1,000,000.00 Issuer Subtotal 0.614°/a %000,000.00 0.00 0.00 1,000,000.00 Total 100.000°/, 89,310,000.00 79,650,411.04 55,257,256.57 113,603,154.47 h-� e--r fl) Portfolio CITY N AP. RL 01/17I2012-15:51 DA(PRF_DA)7.2.0 Report Ver.7.3.3b J r+ CD lV City of HB Portfolio Management Page 1 00 Interest Earnings Summary December 31, 2011 December 31 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 384,450.00 498,811.11 Plus Accrued Interest at End of Period 283,837.85 283,837.85 Less Accrued Interest at Beginning of Period ( 523,258.28) ( 345,146.88) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 145,029.57 437,502.08 Adjusted by Premiums and Discounts -14,730.17 -44,190.16 Adjusted by Capital Gains or Losses 1,350.00 3,911.97 Earnings during Periods 131,649.40 397,223.89 Pass Through Securitles: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 p Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0.00 Cash/Checking Accounts: Interest Collected 0.00 50,411.04 Plus Accrued Interest at End of Period 37,224.85 37,224.85 Less Accrued Interest at Beginning of Period ( 27.482.48) ( 53.473.66) Interest Earned during Period 9,742.37 34,162.23 Total interest Earned during Period 154,771.94 471,664.31 Total Adjustments from Premiums and Discounts -14,730.17 -44,190.16 Total Capital Gains or Losses 1,350.00 3,911.97 Total Earnings during Period 141,391.77 431,386.12 Portfolio CITY AP Run Date:01/17/2012-15:54 PM(PRF PM6)7.3.0 Report Ver.7.3.3b State of California Pooled Money Investment Account Market Valuation 12/31/2011 � .! i 'S�,_�•.. ::i:�s; :t�.,`�}'.F:'s:i:±;r::".:.:;._ ,.i�`�,�rY•{Z's�, f,gym,., , �.•Y' . 21 United States Treasury: Bills $ 19,564,414,638.94 $ 19,585,156,152.81 $ 19,593 941,5DO.00 NA Notes $ 14,535,901,471.13 $ 14,535,564,909.99 $ 14,607,829,ODO.00 $ 19,919,930.50 Federal Agency'. SBA $ 531,111904.56 $ 631,111,904.56 $ 631,559,147.92 $ 660,296.68 MBS-REMICs $ 397,832,443.57 $ 397 832,443.67 $ 430,654 740.75 $ 1,890 661.13 Debentures $ 1,276,446,790.39 $ 1,276,438 845.93 $ 1,275,261,500.00 $ 1,479,168.25 Debentures FR $ - $ - $ - $ Discount Notes $ 4,791,501,388.76 $ 4,795,115,083.32 $ 4,798,437,000.00 NA GNMA $ 29,958.60 $ 29,958.60 $ 30,291.50 $ 294.55 IBRD Debenture $ 399,920,ODO.00 $ 399,920,000.00 $ 400,000,000.00 $ 88,888.00 IBRD Deb FR $ 300,000,000.00 $ 300,000,000.00 $ 300,339,000.00 $ 368,322.00 CDs and YCDs FR $ 400,000,000.00 $ 400,000,000.00 $ 400,000,000.00 $ 298,511.89 Bank Notes $ - $ - $ - $ CDs and YCDs $ 6,850,016,541.15 $ 6,850,016,541.15 $ 6,845,548,840.48 $ 4,849,055.55 Commercial Paper $ 1,909,158,725.00 $ 1,909,536,138.91 $ 1,909,292,750.00 NA Corporate: Bonds FR $ - $ - $ - $ Bonds $ - $ - $ - $ Repurchase Agreements $ - $ - $ - $ Reverse Repurchase $ - $ - $ - $ - Time Deposits $ 4,134,640,000.00 $ 4,134,640,000.00 $ 4,134,640,000.00 NA AB 55&GF Loans $ 12,785,343,514,82 $ 12,785,343,514.82 $ 12,785,343.514,82 NA TOTAL $ 67,876,317,376.92 $ 67,900,705,493.66 1$ 68 012,877,285.47 $ 29,455,128.55 Fair Value Including Accrued Interest $ 68,042,332,414.02 Repurchase Agreements,Time Deposits,AB 55&General Fund loans,and Reverse Repurchase agreements are carried at portfolio book value(carrying cost). The value of each participating dollar equals the fair value divided by the amortized cost(1.OD1651997). As an example:if an agency has an account balance of$20,000,000.00,then the agency would report Its participation In the LAW valued at$20,033,039.95 or$20,000,000.00 x0001651997. xB -41- Item 2. - 19 1 ATTAC H M E N T #2 11 agoMe I Yir aMa rp ..,..:,z'Yt y _, w w,.k91779'i.o�! .�: _7Z_Q,.! +. !_!_',�._�" ^[ fGf ^5 !d + .; — 1>r:.u;,.;as.. .J,.vt,✓.t,`. r ea t2aecF r Investment December 2011 W Prepared Ali* sa Cutchen Ity Treasurer N i N CD N G 7!v.A._v.r.A'{f'v� v.v.'I•I ..,r 1 .41��'�...+' :vA'I •ev� � i��'(J't!t!'�1 r .,�:' ..,.� .; � �I•J• am= � G.�.v�G.J.'✓.:l:.� G1e �.. M.yl...v.. j __hr..uu.S G..... ..1.v.:..�!.G...w.v.�.�� �h. l'..115 v vv ".,�n,,..„,..✓.,.,� .,� — -- rs.____-'� ,,:,,.� IG rEs7 G'] ] ,yA, ...ZAv�-. -..:,:;.�.,^Y..,.i.. s,..vly zt�rrr,r.;.cpt✓r,4a.,:;PY.aI�M'� _ ......_.__.., _.,.._._....- ... _ ...r ...—.. ......_._ _._... ���n��tl�''I4G�yi�u��' �i�i ,� ii" a".�h"G JO.`�,�gr,�Gai. f.. N Economic and M • 2oii ended with slight uptick in a few indicators: • Unemployment fell from 8.7% to 8. 5% • Slight increase in consumer confidence ® However, gains wa e ersonal income and p � - very slow ® European turmoil continued (!fI!—I i��il�l� '.' -" i. ' �. aP 6' uM x ' ' .- ,a, ,^ • t � r .r r.. r. d ✓.'�r a'y- �4Y C.,.+`'c i ..r r ibrSlr '%<.+.3csG st'r t.••sr .�¢.„w,rti«•'rixa'a�`.,�`.fa�: �. .dY 7d CL9EY 1�'G G r Y wyf. -;c CC .. .psi•,...-,•.•� _i2 .u�rc -::='.�"'.'r .r.�y.:�r .r: ,.... w L, *, 4 _ v 0-11hnomic and Mt verview • Market performance for2011: • Equities: S&P flat / Dow Jones Industrial Avera e 5.6% ® Record demand for U.S. Treasuries with "flight to quality" even with continued historically low interest rates 1 O-'fir US Treasury Yields 2011 4.00 ®a ity b� 3.510 3.0'0 2.510 2.0'01 CD 1.50 N 12/3.1 2/'9 3/21 4/30 6/9 7/19 8/29 10/7 11/16 1212E Source: FTN Financial N W CD uj ......ate.�. .. ->�__�y.�.�....::._.1—•—_--.. ........... .!'.�_y-•:�.. ..:.,.,rig !Y._ .,, - rrt ! .. ,: *;r..:^—. a .�:,.....,,_ .ear.+,,.,..r..�r_rn.ry.�3us ., Y�i,.'•111h'2�5ARaI �`.� �i--' 4 Key at 12/21/ 11 • Book Value: $163.o8 Million • Market Value: s163.39 Million ® Cash Bank Balance : $ 22.28 Million • Monthly Earnings: 141,392 • Fiscal YTD 431�3 Earnings: 86 ® Fiscal YTD Return: 1.13% • Benchmark: 0.42% Benchmark:Average of monthly LAIF rate and Z-yr constant maturity treasury per investment policy rtir�r� n f� .'I I � t k,. i .1 t - M„�;w I to � :� � ��� :��■�r ■k eel■� :■1 '',■� � i■��_ ;'■, x�■� �-1 ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ ♦ 'ItII wr'jd i�l ill HMI' u �;i:u::al N � ✓ .d'e'Y!'19"' Y fd 3 t ,r,raa.o.... ..w,a _.r >+u a rr r a `; � r z -i A 01) 01 �rii9.�,:ra�iy u ity of Huntington Beach Investment Portfolio :* Continued re cord f o NO LOSSES • No singleb n o d 1 sod 1 at a oss t • In compliance with Investment Pol iand State Regulations ,,gy�pp PO k .,q •S:Z�J:,� '.'2:A"'._:: d.ri:r"s�> 3$:v.":'r +CS ,d�r'.aC 5 -d*r..•7=r,3,- .. .,gmircvr.,3:,ny .x. .qs y31 Fogg r, r y 'lg1�iI�tF91i1�1 - '. _. 011 i!J� I+iYJ�.'�;.�;iJ;i I I�at It w�x:,..• . . QUESTIONS ? w lD H CD N N Council/Agency Meeting Held: Deferred/Continued to: Approved, ❑ Conditionally Approved ❑ Denied i C rk's nature Council Meeting Date: January 17, 2012 Department ID Number: CT 12-005 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's November 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for November 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for November 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): D • • e 1. 1 Monthly Investment Report and Summary of Investments for November 2011 HB -21- Item 2. - I ATTACHMENT # 1 City of Huntington Beach Monthly Investment Report Period Ending: November 30, 2011 Prepared by: A/isa Cutchen, City Treasurer Portfolio Overview: Portfolio composition as of November 30, 2011: Book Value by Investment Type 17% I ■Federal Agency Issues-Coupon ® Local Agency Investment Funds 22% Medium Term Notes 61% % Of Investment Type Market Value Book Value Portfolio Federal Agency Issues 85,111,860 84,994,492 61% Local Agency Investment Fund (LAIF) 30,028,426 30,028,426 22% Medium Term Notes - Corporate 24,261,761 24,070,309 17% Totals $13994029047 $13950935229 100% As of November 30, 2011, the market value of the investment portfolio was $139,402,047 with a book value of $139,093,228. As well, there was investment cash in the bank of approximately $17.81V M, bringing the total book value of the investment portfolio to approximately $166.90ti M. This compares to the previous month's book value of approximately $156.51V M. The portfolio is invested in only those investments allowable by State regulations and the City's Investment Policy. Such investments are purchased to meet the portfolio objectives of preservation of principal, maintenance of sufficient operating liquidity, and to attain a market rate of return throughout budgetary and economic cycles, in that order of absolute priority. HB -23- Item 2. - 3 Portfolio Earnings and Performance: Monthly Earnings R...`r��1313✓~ ':: s U:�s:€:::€:€:€: s:€::'ss::::::::::::::::::::::'s;:s:;:::::::::::::::-$��i; � :::::::::::::................. COpit �is.s::€::::::. :........ Monthly Budgeted Interest Income $112,000 Monthly Effective Rate of Return 1.17% Fiscal YTD Earnings $290,119 Fiscal YTD Budget $224,000 Fiscal YTD Effective Rate of Return 1.14% Benchmark(1) a44% Bank Cash Balance $17,762,455 (1)Benchmark: The average of the monthly LAIF rate and the 12-month rolIingaverage 2-year Constant Maturity Treasury(CM'I)rate. Earnings History $250,000 $230,635 $225,210 $220,573 $213,343 $218,298 $217,566 $200,000 197,881 02 172,625 $17 0 $174,795 $172,985 $165,220 164,004 $158,386 17 50 157,704 $150,000 1 095 6 $1 ,74 1 50 $100,000 $50,000 $0 del a� oa`a r c�� A e 1a oy` sec sec sec sec a0 Ja"a cr i� A e \A off` sec �e `oet cecc a°J e�S ac PQ 'P 0, O-0 O� �cc Off° �ecc oec� acJ ��� �a� yPQ �.a �Jc y4 P4.3 `eF 'Loo�Qe �Oypl�oy�F �oy�C`` �oyo �oyo �oyo goy 1oy�P1oyo�eQC'11oyo�'LoyoQe 1otiti��oytiQ �otiti ��ti ��titi ��titi ��ti 1otiti'LoyySeQ�oyti0Loyy�o Monthly investment income for the month of November, 2011 was $142,950, above the budgeted amount of $112,000. The monthly effective rate of return of 1.17% was up slightly from the previous month's rate of return of 1.11%. The portfolio yield overall continues to remain low, as expected, due to historically low investment yields. It is anticipated that the portfolio yield will remain at these low levels and that it will take some time for portfolio yields to increase, even as interest rates begin to move upward, as existing securities will continue to remain in the portfolio until maturity unless sold. Item 2. - 4 xB -24- Portfolio Activity: security maturities and calls totaled $8 million for the month, consisting of 2 Agency bonds. These bonds were called due to the current low interest environment, allowing the issuer to issue bonds at current lower rates. There were no purchases for the month. Compliance: The portfolio is in conformity with all State laws and the Investment Policy statement filed with the City Council on December 20, 2010. A copy of this policy is available at the office of the City Clerk. The investment program herein shown provides sufficient cash flow liquidity to meet the next six months' obligations. HB -25- Item 2. - 5 CD �pNTINGTp�i tV �Q -pcoaron�rfo City of Huntington Beach _9= City of HB 2000 Main St. Huntington Beach, a Portfolio Management Portfolio Summary UN c November 30, 2011 Par Market Book %of Days to YTIWC YTM/C Investments Value Value Value Portfolio Term Maturity 360 Equiv. 365 Equiv. Federal Agency Issues-Coupon 85,000,000.00 85,111,860.00 84,994,492.41 61.11 1,458 160 1.432 1.452 Local Agency Investment Funds 30,028,425.69 30,028,425.69 30,028,425.69 21.59 1 1 0.396 0.401 Medium Term Notes 23,810,000.00 24,261,760.90 24,070,309.47 17.31 1,059 336 1.762 1.787 Investments 138,838,426.69 139,402,046.59 139,093,227.57 100.00% 1,075 166 1.265 1.283 Cash and Accrued Interest Accrued Interest at Purchase 30,654.68 30,654.68 Subtotal 30,654.68 30,654.68 Total Cash and Investments 138,838,425.69 139,432,701.27 139,123,882.25 1,075 156 1.265 1.283 Total Earnings November 30 Month Ending Fiscal Year To Date Fiscal Year Ending x Current Year 142,949.55 290,119.35 Current Budget 112,000.00 224,000.00 1,344,000.00 ti Last Year Actual 156,250.00 312,500.00 1,875,000.00 Average Daily Balance 148,389,001.57 152,140,081.69 Effective Rate of Return 1.17%, 1.14% I certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on December 20,2010. A copy of this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market Values provided by U ion Bank via Interactive Data Corporation. Alisa utchen,CITY-TREASURER Reporting period 11/01/201141/30/2011 Portfolio CITY AP Run Date:1211 9/2011-11:12 PM(PRF PM1)7.3.0 Report Ver.7.3.3b City of HB Portfolio Management Page 1 Portfolio Details -Investments November 30, 2011 Average Purchase Stated YTM/C Days to Maturity CUSIP investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues-Coupon 31331,150 3867 Federal Farm Credit Bank 12/15/2010 3,000,000.00 3,002,400.00 3,000,000.00 2.480 AA 2.480 14 12/15/2015 3133747F1 3885 Federal Home Loan Bank 06/27/2011 5,000,000.00 5,007,600.00 5,000,000.00 0.700 AA 0.700 209 09/27/2013 3134G2MG4 3886 Federal Home Loan Mort Corp 06/30/2011 5,000,000.00 5,004,300.00 5,000,000.00 1.500 AA 2.229 29 06/30/2016 3134G2LY6 3892 Federal Home Loan Mort Corp 06/29/2011 5,000,000.00 5,045,850.00 5,000,000.00 2.000 AA 2.000 211 06/29/2016 3134G2H39 3896 Federal Home Loan Mort Corp 09/29/2011 5,000,000.00 4,988,250.00 5,000,000.00 0.800 AA 0.800 119 09/29/2014 31398AX4 3854 Fed.Natl Mort Assoc. 09/17/2010 3,000,000.00 3,035,070.00 3,000,000.00 1.125 AA 1.125 656 09/17/2013 3136FPV79 3871 Fed.Nat'I Mort Assoc. 12/28/2010 3,000,000.00 3,002,700.00 3,000,000.00 1.500 AA 1.709 27 12/28/2015 3136FRQJ5 3884 Fed.Nail Mort Assoc. 06/20/2011 5,000,000.00 5,019,400.00 5,000,000.00 1.170 AA 1.170 202 06/20/2014 3136FRTW3 3887 Fed.Nat'I Mort Assoc. 06/30/2011 5,000,000.00 5,002,800.00 5,000,000.00 1.100 AA 1.100 29 06/30/2014 3136FRTD5 3888 Fed.Nat'l Mort Assoc. 06/30/2011 3,000,000.00 3,001,980.00 2,998,625.83 1.500 AA 2.240 29 06/30/2016 3136FRVH3 3889 Fed.Nat?Mort Assoc 06/29/2011 5,000,000.00 5,032,450.00 5,000,000.00 1.500 AA 2.229 211 06/29/2016 3136FRVXS 3891 Fed.Nat'l Mort Assoc. 07/05/2011 5,000,000.00 5,008,150.00 5,000,000.00 2.200 AA 2.200 35 07/05/2016 3136FRD59 3893 Fed.Nat'l Mort Assoc. 07/25/2011 5,000,000.00 5,003,900.00 5,000,000.00 1.125 AA 1.125 55 07/25/2014 3136FRV59 3894 Fed.Nat'l Mort Assoc. 09/14/2011 8,000,000.00 8,008,240.00 8,000,000.00 1.050 AA 1.516 288 09/14/2016 3135GODT7 3904 Fed.Nat'l Mort Assoc. 10/17/2011 5,000,000.00 4,977,000.00 4,998,321.30 0.700 AA 0.712 138 10/17/2014 3135GODT7 3905 Fed.Nat'l Mort Assoc. 10/17/2011 3,000,000.00 2,986,200.00 2,998,992,78 0.700 AA 0.712 138 10/17/2014 3136FR4V2 3907 Fed.Nat'l Mort Assoc 09/28/2011 2,000,000.00 1,992,120.00 1,998,552.50 1.375 AA 1.391 118 09/28/2016 Z" 3136FR5P4 3908 Fed.Nat'l Mort Assoc. 09/30/2011 5,000,000.00 4,977,550.00 5,000,000.00 0.750 AA 0.750 120 09/30/2014 3136FTFG9 3909 Fed.Nat'l Mort Assoc. 10/26/2011 5,000,000.00 5,015,900.00 5,000,000.00 1.250 AA 1.722 330 10/26/2016 N Subtotal and Average 91,894,430.65 85,000,000.00 85,111,860.00 84,994,492.41 1.452 160 J Local Agency Investment Funds SYS982 982 Laif City 30,028,425.69 30,028,425.69 30,028,425.69 0.401 0.401 1 SYS2206 2206 LAIF-Redevelopment Agency 0.00 0.00 0.00 0,401 0.401 1 Subtotal and Average 32,417,080.51 30,028,425.69 30,028,425.69 30,028,425.69 0.401 1 Medium Tenn Notes 06050BAJO 3734 Bank of America FDIC Insured 04/30/2009 2,000,000.00 2,026,220.00 2,005,887.95 2.375 AA 1.830 204 06/22/2012 084664ATS 3895 Berkshire Hathaway Fin 08/26/2011 1,310,000.00 1,440,200.90 1,447,749.84 4.850 AA 1.390 1,141 01/15/2015 17314AAF9 3723 Citigroup FDIC Insured 03/30/2009 2,000,000.00 2,012,400.00 1,999,407.20 2.000 AA 2.093 120 03/30/2012 36962G4X9 3906 General Electric Capital Corp 09/29/2011 2,000,000.00 2,012,720.00 2,021,755.79 2.100 AA 1.570 768 01/07/2014 36962GZY3 3997 General Electric Capital Corp 09/16/2011 1,500,000.00 1,568,190.00 1,570,733.74 5.450 AA 1.200 411 01/15/2013 36967HBB2 3805 GE Capital FDIC Insured 11/03/2009 2,000,000.00 2,030,780.00 2,004,484.84 2.000 AA 1.720 302 09/28/2012 36967HAN7 3733 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,012,040.00 2,002,994.77 2.250 AA 1.701 102 03/12/2012 36967HAHO 3735 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,022,200.00 2,003,515.87 2.200 AA 1.850 190 06/08/2012 36186CBF9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,040,800.00 1,996,779.89 2.200 AA 2.361 384 12/19/2012 Portfolio CITY CD AP Run Date:12/19/2011-11:12 PM(PRF PM2)7.3.0 N .r Report Ver.7.3.3b fD N City of 1-113 Portfolio Management Page 2 00 Portfolio Details -Investments November 30, 2011 Average Purchase Stated YTMIC Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Medium Term Notes 36185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,030,660.00 1,999,401.26 1.750 AA 1.784 334 10/30/2012 481247AKO 3738 JP Morgan Chase FDIC Insured 04/30/2009 2,000,000.00 2,023,200.00 2,004,487.00 2.200 AA 1.770 197 06/15/2012 49328CAA3 3770 Key Bank FDIC Insured 06/30/2009 2,000,000.00 2,034,360.00 2,012,492.51 3.200 AA 2.000 197 06/15/2012 91160HAC1 3743 US Bank FDIC Insured 05/19/2009 1,000,000.00 1,007,990.00 1,000,618.81 1.800 AA 1.660 166 05/15/2012 Subtotal and Average 24,077,490.41 23,810,000.00 24,261,760.90 24,070,309.47 1.787 336 Total and Average 148,389,001.67 138,838,425.69 139,402,046.59 139,093,227.67 1.283 156 rT. N rf` Portfolio CITY AP Run Date:12/1912011-11:12 PM(PRF PM2)7.3.0 City of 1-103 Portfolio !Management Page 1 Activity By Type g November 1, 2011 through November 30, 2011 Stated Transaction Purchases Redemptions CUSIP Investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues-Coupon 313373QJ4 3880 Federal Home Loan Bank 1.125 11/25/2011 0.00 3,000,000.00 3134G2KA9 3881 Federal Home Loan Mort Corp 1.250 11/28/2011 0.00 5,000,000.00 Subtotal 0.00 8,000,000.00 84,994,492.41 Local Agency Investment Funds (Monthly Summary) SYS2206 2206 LAIF-Redevelopment Agency 0.401 0.00 3,257,256.57 Subtotal 0.00 3,257,256.67 30,028,425.69 Medium Term Notes Subtotal 24,070,309.47 Total 0.00 11,257,266.67 139,093,227.57 rT+ N IF (gyp Portfolio CITY AP N Run Date:1211 912011-11:12 PM(PRF PM3)7.3.0 Report Ver.7.3.3b N City of IiB Portfolio Management Page 1 Activity Summary November 2010 through November 2011 Yield to Maturity Managed Number Number Month Number of Average 360 365 Pool of investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity November 2010 39 141,605,221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144,716,923.18 1.337 1.356 0.462 12 5 869 712 January 2011 49 163,147,527.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 1.372 0.500 0 2 890 677 April 2011 44 157,507,665.91 1.292 1.309 0.588 0 3 845 647 May 2011 46 157,665,657.64 1.242 1259 0.413 4 2 869 679 June 2011 45 166,927,847.24 1.278 1296 0.448 9 10 901 745 July 2011 43 183,784,185.57 1.269 1.286 0.381 3 5 940 784 August 2011 39 169,814,312.73 1.263 1.281 0.408 1 5 936 761 September 2011 37 152,819,771.51 1.189 1.205 0,378 6 8 932 776 October 2011 36 155,770,159.22 1.239 1.256 0.385 3 2 1,049 167 November 2011 34 148,389,001.57 1.265 1.283 0.401 0 2 1,075 156 Average 43 159,124,797.93 1.283% 1.301% 0.451 3 4 904 616 w 0 Portfolio CITY AP Run Date:12/192011-11:12 PM(PRF_PM4)7.3.0 ^-oon Ver.7.3.3b City of IF113 Portfolio Management Page 1 Interest Earnings Summary November 30, 2011 November 30 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 61,048.61 114,361.11 Plus Accrued Interest at End of Period 523,383.28 523,383.28 Less Accrued Interest at Beginning of Period ( 437,437.32) ( 345,146.88) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 146,994.57 292,597.51 Adjusted by Premiums and Discounts -14,729.34 -29,459.99 Adjusted by Capital Gains or Losses 0.00 2,561.97 Earnings during Periods 132,265.23 265,699.49 Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) x Interest Earned during Period 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capital Gains or Losses 0.00 0.00 ' Earnings during Periods 0.00 0.00 Cash/Checking Accounts: Interest Collected 0.00 50,411.04 Plus Accrued Interest at End of Period 27,482.48 27,482.48 Less Accrued Interest at Beginning of Period ( 16,798.16) ( 53,473.66) Interest Earned during Period 10,684.32 24,419.86 Total Interest Earned during Period 157,678.89 317,017.37 Total Adjustments from Premiums and Discounts -14,729.34 -29,459.99 Total Capital Gains or Losses 0.00 2,561.97 Total Earnings during Period 142,949.55 290,119.35 e-+ 0 Portfolio CITY AP N Run Date:12/19r2011-11:12 PM(PRF_PM6)7.3.0 Report Ver.7.3.3b I� I� RECEIVED DEC 14 2011 State of California Pooled Money Investment Account Market Valuation 11/30/2011 WP - 22a Y.es g�r' =Ac >r del ;_ "..,_•: a V Ac r ed=� United States Treasury: Bills $ 20,608,309,756.88 $ 20,644,375,500.00 NA Notes $ 12,246,302,927.87 $ 12,319,036,000.00 $ 20,059,312.50 Federal Agency: SBA $ 534,274,672.47 $ 534,840,666.07 $ 564,052.88 MBS-REMICs $ 408,657,858.42 $ 444,633,863.40 $ 1,942,188.46 Debentures $ 875,742,990.39 $ 875,874,250.00 $ 1,299,028.75 Debentures FR $ - $ - $ - Discount Notes $ 4,991,329,166.52 $ 4,997,397,000.00 NA GNMA $ 31,920.04 $ 32,574.76 $ 313.99 IBRD Deb FR $ 300,000,000.00 $ 300,321,000.00 $ 202,844.00 CDs and YCDs FR $ 1600,000,000,00 $ 600,000,000.00 $ 225,440.66 Bank Notes $ 1 - $ - $ - CDs and YCDs $ $ ! 5,194,211,329.19 $ 3,564,555.55 Commercial Paper $ 1,098,536,194.45 $ 3,099,171,347.24 NA Corporate: Bonds FR $ - $ - $ - Bonds $ - $ - $ - Repurchase Agreements $ - $ - $ - Reverse Repurchase $ - $ - $ - Time Deposits $ 4,161,640,000.00 $ 4,161,640,000.00 NA AB 55&GF Loans $ 13,262,289,533.16 $ 13,262,289,533.16 NA TOTAL $ 66,287,131,692.10 $ 66,433,823,063.82 $ 27,857,736.79 Fair Value Including Accrued Interest $ 66,461,680,800.61 Repurchase Agreements,Time Deposits,AB 55&General Fund loans,and Reverse Repurchase agreements are carried at portfolio book value(carrying cost). Item 2. - 12 xB -32- Statement of Cash Receipts and Disbursements and Summary of Cash by Fund niM r' Finance Department November 2011 Cash Receipts and Disbursements October 2011 November 2011 Receipts Property Tax Receipts $310,367 $3,317,212 Utility Tax Receipts (UUT) 1,765,373 1,675,817 Sales Tax Receipts 1,368,000 1,824,000 112 Cent Safety Sales Tax Receipts 139,657 140,917 Highway Users Tax Receipts (HUT) - 909,223 Transient Occupancy Tax Receipts (TOT) 532,727 577,847 Government Funds 130,295 45,510 Capital Funds 137,558 41,801 Debt Service Funds 3,764 90,765 Enterprise Funds 5,013,561 4,662,519 Fiduciary Funds 1,501,571 805,508 Special Revenue Funds 2,785,026 2,529,944 All Other Receipts 11,713,375 4,176,517 Total Receipts $25,401,274 $20,797,580 Disbursements Total Disbursements (33,388,381) (19,441,471) Net Change in Cash Flow ($7,987,107) $1,356,108 Summary of Cash by Fund October 2011 November 2011 General Fund 46,408,258 46,977,473 Government Funds 865,077 842,886 Capital Funds 4,783,972 4,114,204 Debt Service Funds 405,446 689,435 Enterprise Funds 80,049,976 82,077,835 Fiduciary Funds 1,263,047 1,383,118 Internal Service Fund 1,675,000_ 1,527,341 Special Revenue Funds 19,139,858 19,953,182 . General Ledger Cash Balances 164,690,634 157,665,473 " Total cash will differ from investment portfolio total due to outstanding checks and/or other timing differences. Note: Above information was obtained from the City's accounting system records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in compliance with the City's Charter. Statement of Cash Receipts&Disbursements November 2011.x1sx jl 12/6/2011 HB -33- Item 2. - 13 C 7- Council/Agency Meeting Held: Deferred/Continued to: IAppr e ❑ Conditionally Approved ❑ Denied 6I C;4erk' ign t re Council Meeting Date: December 19, 2011 Departme ID Number: CT 12-004 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL. ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's October 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for October 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for October 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): QosceiplJon, 1. Monthly Investment Report and Summary of Investments for October 2011 Item 5. - I HB -74- ATTACHMENT # 1 City of Huntington Beach Monthly Investment Report Period Ending: October 31, 2011 Prepared by: Alisa Cutchen, City 'Treasurer Portfolio Overview: Portfolio composition as of October 31, 2011: % of Investment Type Market Value Book Value Portfolio Federal Agency Issues 93,142,440 92,994,365 62% Local Agency Investment Fund (LAIF) 33,285,682 33,285,682 22% Medium Term Notes - Corporate 24,304,743 24,085,167 16% Totals $1509732,865 $15093659213 100% As of October 31, 2011, the market value of the investment portfolio was $150,732,865, with a book value of $150,365,213. As compared to the previous month, the book value decreased by approximately $12MM due primarily to approximately $6MM utilized for operating cash flow requirements for the month of September, with approximately $6MM remaining in the general checking account to cover additional operating expenses for November. The portfolio is invested in only those investments allowable by State regulations and the City's Investment Policy. Such investments are purchased to meet the portfolio objectives of preservation of principal, maintenance of sufficient operating liquidity, and to attain a market rate of return throughout budgetary an, economic cycles, in that order of absolute priority. Portfolio Earnings and Performance: Monthly Earnings $147,170 ;33 ::::::A ".4' 'Qi1.1)L tins Oil: Monthly Budgeted Interest Income $112,000 Monthly Effective Rate of Return 1.11% Fiscal YTD Earnings $147,170 Fiscal YTD Budget $112,000 Fiscal YTD Effective Rate of Return 1.11% Benchmark(1) a44% Bank Cash Balance $6,200,000 (1)Benchmark: The average of them onthly LAIFrate and the 12-month rolling average 2-year Constant Maturity Treasury(CMT)rate. Monthly investment income for the month of September, 2011 was $147,170, above the budgete amount of $112,000. The monthly effective rate of return of 1.11% was down 0.03% from the previous month's rate of return of 1.14%. The portfolio yield overall continues to decline as expected, due to historically low investment yields. It is anticipated that the portfolio yield will remain at these Item 5. - 3 HB -76- low levels and that it will take some time for portfolio yields to increase, even as interest rates begin to move upward, as existing securities will continue to remain in the portfolio until maturity unless sold. Earnings History $250,000 -r= $200,000 r . r $150,000 L' 6. $100,000 $50,000 '{ $0 ��� ��� Jac1 tJa�A `G� � aA �m �a Jy� �F `� � ��� F � t��� ia� c� oar sae �aF, ��a �a o 4 �� �) QJ� �Qw O� oye 0G� lac ��Q �a J� ^� o� Q`e pPti ��No ���o �o^ boo 0, �o^ ���ory�^�� ���o ��r, ^QO ry��^ `���� ���'` �o� �o�'` ryo�'` �o^ ry��N�L^N������ Portfolio Activity: Security maturities and calls totaled $9 million for the month, consisting of 2 Agency bonds. These bonds were called due to the current low interest environment, allowing the issuer to issue bonds at current lower rates. $16 million was transferred from LAW to the operating account for operating and investment purposes. Purchases for the month totaled $13 million (3 Agency securities). Compliance: The portfolio is in conformity with all State laws and the Investment Policy statement filed with the City Council on December 20, 2010. A copy of this policy is available at the office of the City Clerk. The investment program herein shown provides sufficient cash flow liquidity to meet the next six months' obligations. xB -77- Item 5. - 4 R1- `��N71NUT�A . COIPOR4�f� City of Huntington Beach 9x City of 1•'I� 2000 Main St Portfolio Management Huntington Beach, nog Portfolio Summary �UN TV CP October 31, 2011 Par Market Book %of Days to YTM YTM Investments Value Value Value Portfolio Term Maturity 360 Equiv. 366 Equiv. Federal Agency Issues-Coupon 93,000,000.00 93,142,440.00 92,994,364.63 61.85 1,421 1,308 1.446 1.466 Local Agency Investment Funds 33,285,682.26 33,285,682.26 33,285,682.26 22.14 1 1 0.380 0.385 Medium Term Notes 23,810,000.00 24,304,743.30 24,085,166.59 16.02 1,059 366 1.762 1.786 Investments 150,095,682.26 150,732,865.56 150,365,213.48 100.00% 1,049 868 1.260 1.278 Cash and Accrued Interest Accrued Interest at Purchase 30,654.68 30,654.68 Subtotal 30,654.68 30,654.68 Total Cash and Investments 150,095,682.26 150,763,520.24 150,395,868.16 1,049 868 1.260 1.278 Total Earnings October 31 Month Ending Fiscal Year To Date Fiscal Year Ending x Current Year 147,169.77 147,169.77 Cd Current Budget 112,000.00 112,000.00 1,344,000.00 I Last Year Actual 156,250.00 156,250.00 1,875,000.00 Average Daily Balance 155,770,159.22 155,770,159.22 Effective Rate of Return 1.11% 1.11% I certify that this report a rate reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on Decerrftr 20,2010. A py off his policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. MarrjIrrovid by Un n B nk v'a Interactive Data Corporation. All utc en,CITY TRBkSURER Reporting period 10/01/2011-10/31/2011 Portfolio CITY AP Run Date:11/14/2011-12:29 PM(PRF PM1)7.2.0 Report Ver.7.3.2 City of 1-113 Portfolio Management Page 1 Portfolio Details- Investments October 31, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues-Coupon 31331JSE9 3867 Federal Farm Credit Bank 12/15/2010 3,000,000.00 3,007,740.00 3,000,000.00 2.480 AA 2.480 1,505 12/15/2015 313373QJ4 3880 Federal Home Loan Bank 05/25/2011 3,000,000.00 3,001,560.00 3,000,000.00 1.125 AA 1.125 755 11/25/2013 3133747F1 3886 Federal Home Loan Bank 06/27/2011 5,000,000.00 5,008,450.00 5,000,000.00 0.700 AA 0.700 696 09/27/2013 3134G2KA9 3881 Federal Home Loan Mort Corp 05/27/2011 5,000,000.00 5,002,800.00 5,000,000.00 1.250 AA 1,250 939 05/28/2014 3134G2MG4 3886 Federal Home Loan Mort Corp 06/30/2011 5,000,000.00 5,009,100.00 5,000,000.00 1.500 AA 2.229 1,703 06/30/2016 3134G2LY6 3892 Federal Home Loan Mort Corp 06/29/2011 5,000,000.00 5,051,900.00 5,000,000.00 2.000 AA 2.000 1,702 06/29/2016 3134G21-139 3896 Federal Home Loan Mort Corp 09/29/2011 5,000,000.00 4,978,700.00 5,000,000.00 0.800 AA 0.800 1,063 09/29/2014 31398A3L4 3854 Fed.Nat'l Mort.Assoc. 09/17/2010 3,000,000.00 3,036,780.00 3,000,000.00 1.125 AA 1.125 686 09/17/2013 3136FPV79 3871 Fed.Natl Mort Assoc. 12/28/2010 3,000,000.00 3,006,300.00 3,000,000.00 1.500 AA 2.814 1,518 12/28/2015 3136FRQJS 3884 Fed.Nat'I Mort Assoc. 06/20/2011 5,000,000.00 5,022,550.00 5,000,000.00 1.170 AA 1.170 962 06/20/2014 3136FRTW3 3887 Fed.Nat'I Mort Assoc. 06/30/2011 5,000,000.00 5,005,950.00 5,000,000.00 1.100 AA 1.100 972 06/30/2014 3136FRTD5 3888 Fed.Nat'l Mort Assoc. 06/30/2011 3,000,000.00 3,004,530.00 2,998,600.83 1.500 AA 2.240 1,703 06/30/2016 3136FRVH3 3889 Fed.Nat'l Mort Assoc. 06/29/2011 5,000,000.00 5,037,700.00 5,000,000.00 1.500 AA 2.229 1,702 06/29/2016 3136FRVXB 3891 Fed.Nat'l Mort Assoc. 07/05/2011 5,000,000.00 5,014,650.00 5,000,000.00 2.200 AA 2.200 1,708 07/05/2016 3136FRD59 3893 Fed.Nat'l Mort Assoc. 07/25/2011 5,000,000.00 5,005,750.00 5,000,000.00 1.125 AA 1.125 997 07/25/2014 3136FRV59 3894 Fed.Nall Mort Assoc. 09/14/2011 8,000,000.00 8,003,520.00 8,000,000.00 1.050 AA 1.516 1,779 09/14/2016 3135GODT7 3904 Fed.Nat'l Mort.Assoc. 10/17/2011 5,000,000.00 4,973,450.00 4,998,272.69 0.700 AA 0.712 1,081 10/17/2014 3135GODT7 3905 Fed.Nat'l Mort Assoc. 10/17/2011 3,000,000.00 2,984,070.00 2,998,963.61 0.700 AA 0.712 1,081 10/17/2014 3136FR4V2 3907 Fed.Nafl Mort Assoc. 09/28/2011 2,000,000.00 1,992,940.00 1,998,527.50 1.375 AA 1.391 1,793 09/28/2016 `J 3136FR5P4 3908 Fed.Na£I Mort Assoc. 09/30/2011 6,000,000.00 4,974,100.00 5,000,000.00 0.750 AA 0.750 1,064 09/30/2014 3136FTFG9 3909 Fed.Nat'l Mort Assoc. 10/26/2011 5,000,000.00 5,019,900.00 5,000,000.00 1.250 AA 1.722 1,821 10/26/2016 Subtotal and Average 89,671,566.93 93,000,000.00 93,142,440.00 92,994,364.63 1.466 1,308 Local Agency Investment Funds SYS982 982 Laid City 30,028,425.69 30,028,425.69 30,028,425.69 0.385 0.385 1 SYS2206 2206 LAIF-Redevelopment Agency 3,257,256.57 3,257,256.57 3,257,256.57 0.385 0.385 1 Subtotal and Average 42,006,477.63 33,285,682.26 33,285,682.26 33,285,682.26 0.396 1 Medium Term Notes 06050BAJ0 3734 Bank of America FDIC Insured 04/30/2009 2,000,000.00 2,026,120.00 2,006,766.75 2.375 AA 1.830 234 06/22/2012 084664ATS 3895 Berkshire Hathaway Fin 08/26/2011 1,310,000.00 1,446,148.30 1,451,426.44 4.850 AA 1.390 1,171 01/15/2015 17314AAF9 3723 Citigroup FDIC Insured 03/30/2009 2,000,000.00 2,013,840.00 1,999,267.76 2.000 AA 2.093 150 03/30/2012 36962G4X9 3906 General Electric Capital Corp 09/29/2011 2,000,000.00 2,022,720.00 2,022,619.12 2.100 AA 1.570 798 01/07/2014 36962GZY3 3997 General Electric Capital Corp 09/16/2011 1,500,000.00 1,577,505.00 1,575,986.24 5.450 AA 1.200 441 01/15/2013 36967HBB2 3805 GE Capital FDIC Insured 11/03/2009 2,000,000.00 2,034,340.00 2,004,937.86 2.000 AA 1.720 332 09/28/2012 36967HAN7 3733 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,015,480.00 2,003,884.30 2.250 AA 1.701 132 03/12/2012 Portfolio CITY CD AP Run Date:11114/2011-12:29 PM(PRF PM2)7.2.0 C,JI Report Ver.7.3.2 CD City of 1-113 --_j Portfolio Management Page 2 Portfolio Details e Investments October 31, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 366 Maturity Date Medium Term Notes 36967HAH0 3735 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,024,980.00 2,004,079.91 2.200 AA 1.850 220 06/08/2012 36186CBF9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,043,160.00 1,996,524.32 2.200 AA 2.361 414 12/19/2012 36185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,029,140.00 1,999,346,67 1.750 AA 1.784 364 10/30/2012 481247AK0 3738 JP Morgan Chase FDIC Insured 04/30/2009 2,000,000.00 2,024,000.00 2,005,180.87 2.200 AA 1.770 227 06/15/2012 49328CAA3 3770 Key Bank FDIC Insured 06/30/2009 2,000,000,00 2,038,120.00 2,014,424,34 3.200 AA 2.000 227 06/15/2012 91160HAC1 3743 US Bank FDIC Insured 05/19/2009 1,000,000.00 1,009,190.00 1,000,732.01 1.800 AA 1.660 196 05/15/2012 Subtotal and Average 24,092,115.66 23,810,000.00 24,304,743.30 24,085,166.59 1.786 366 Total and Average 165,770,159.22 160,095,682.26 150,732,865.56 150,365,213.48 1.278 868 Do O Portfolio CITY AP Run Date:11/14/2011-12:29 PM(PRF PM2)7.2.0 City of 1-113 Portfolio Management Page 3 Portfolio Details m Cash October 31, 2011 Average Purchase Stated YTM Days to CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Average Balance 0.00 Accrued Interest at Purchase 30,654.68 30,654.68 0 Subtotal 30,654.68 30,654.68 Total Cash and Investments 165,770,169.22 150,095,682.26 150,763,620.24 150,396,868.16 1.278 868 00 Portfolio CITY Q AP 5 Run Date:11/14/2011-12:29 PM(PRF PM2)7.20 OC �--1 City of 1-11 Portfolio Management Activity By Type Page 1 October 1, 2011 through October 31, 2011 Stated Transaction Purchases Redemptions CUSIP Investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues-Coupon 313374FB1 3890 Federal Home Loan Bank 1.000 10/11/2011 0.00 5,998,636.36 3136FPUM7 3861 Fed.Nat1 Mort Assoc. 1.125 10/31/2011 0.00 2,998,801.67 3135GODT7 3904 Fed.Nafl Mort Assoc. 0.700 10/17/2011 4,998,250.00 0.00 3135GODT7 3905 Fed.Natl Mort Assoc. 0.700 10/17/2011 2,998,950.00 0.00 3136FTFG9 3909 Fed.Nat1 Mort Assoc. 1.250 10/26/2011 5,000,000.00 0.00 Subtotal 12,997,200.00 8,997,438.03 92,994,364.63 Local Agency Investment Funds (Monthly Summary) SYS982 982 Laif City 0.385 28,768.14 0.00 SYS2206 2206 LAIF-Redevelopment Agency 0.385 21,642.90 16,000,000.00 Subtotal 50,411.04 16,000,000.00 33,285,682.26 Medium Term Notes Subtotal 24,085,166.69 Total 13,047,611.04 24,997,438.03 160,365,213.48 r� Cd 00 N Portfolio CITY AP Run Date:11/1472011-1229 PM(PRF PM3)7.2.0 Ver.7.3.2 City of HB Portfolio Management Page 1 Activity Summary October 2010 through October 2011 Yield to Maturity Managed Number Number Month Number of Average 360 365 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity October 2010 42 147,479,654.35 1.393 1.412 0.480 1 5 752 542 November 2010 39 141,605,221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144,716,923.18 1.337 1.356 0.462 12 5 869 712 January 2011 49 163,147,527.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 1.372 0.500 0 2 890 677 April 2011 44 157,507,665.91 1.292 1.309 0.588 0 3 845 647 May 2011 46 157,665,657.64 1.242 1.259 0.413 4 2 869 679 June 2011 45 166,927,847.24 1.278 1.296 0.448 9 10 901 745 July 2011 43 183,784,185.57 1.269 1.286 0.381 3 5 940 784 August 2011 39 169,814,312.73 1.263 1.281 0A08 1 5 936 761 September 2011 37 152,819,771.51 1.189 1.205 0.378 6 8 932 776 October 2011 36 166,770,159.22 1.260 1.278 0.385 3 2 1,049 868 Average 43 159,026,501.06 1.294% 1.312% 0.457 3 4 879 699 r� Cd 00 w CD Portfolio CITY AP V1 Run Date:11/14/2011-12:29 PM(PRF PM4)7.20 Report Ver.7.3.2 CD U' City of Hi3 Portfolio Management Page 1 —' Interest Earnings Summary October 31, 2011 October 31 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 53,312.50 63,312.50 Plus Accrued Interest at End of Period 437,437.30 437,437.30 Less Accrued Interest at Beginning of Period ( 345,146.89) ( 345,146.89) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 145,602.91 145,602.91 Adjusted by Premiums and Discounts -14,730.65 -14,730.65 Adjusted by Capital Gains or Losses 2,561.97 2,561.97 Earnings during Periods 133,434.23 133,434.23 Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) .t Interest Earned during Period 0.00 0.00 CC7 Adjusted by Premiums and Discounts 0.00 0.00 �O Y Capital Ad b Gains or Losses 0.00 0.00 � 1 ' Earnings during Periods 0.00 0.00 Cash/Checking Accounts: Interest Collected 50,411.04 50,411.04 Plus Accrued Interest at End of Period 16,798.16 16,798.16 Less Accrued Interest at Beginning of Period ( 53,473.66) ( 53,473.66) Interest Earned during Period 13,735.54 13,735.54 Total Interest Earned during Period 159,338.45 159,338.45 Total Adjustments from Premiums and Discounts -14,730.65 -14,730.65 Total Capital Gains or Losses 2,561.97 2,561.97 Total Earnings during Period 147,169.77 147,169.77 Portfolio CITY AP Run Da1e:11/1412011-1 2:29 PM(PRF_PMG)7.2.0 Report Ver.7.3.2 State of California Pooled Money Investment Account Market Valuation 10/31/2011 United States Treasury: Bills $ 21,802,311,930.60 $ 21,844,637,500.00 NA Notes $ 12,845,889,199.79 $ 12,922,285,500.00 $ 15,550,242.50 Federal Agency: SBA $ 541,938,967.72 $ 542,581,753.90 $ 571,963.60 MBS-REMICs $ 418,332,756.32 $ 454,879,521.35 $ 1,987,893.25 Debentures $ 875,740,732.39 $ 876,298,250.00 $ 1,753,687.50 Debentures FIR $ - $ - $ Discount Notes $ 3,892,816,666.60 $ 3,897,717,000.00 NA GNMA $ 33,885.08 $ 34,601.41 $ 333.52 IBRD Deb FIR $ 300,000,000.00 $ 300,459,000.00 $ 42,704.00 CDs and YCDs FIR $ 600,000,000.00 $ 600,000,000.00 $ 525,670.66 Bank Notes $ - $ - $ - CDs and YCDs $ 6,160,014,763.15 $ 6,156,076,692.54 $ 2,665,394.46 Commercial Paper $ 4,023,311,749.83 $ 4,024,136,944.44 NA Corporate: Bonds FR $ - $ - $ Bonds $ - $ - $ Repurchase Agreements $ - $ - $ - Reverse Repurchase $ - $ - $ Time Deposits $ 4,188,140,000.00 $ 4,188,140,000.00 NA AB 55 & GF Loans $ 12,210,868,533.16 $ 12,210,868,533.16 NA TOTAL $ 67,859,399,184.64 1 $ 68,018,115,296.80 $ 23,097,889.49 Fair Value Including Accrued Interest $ 68,041,213,186.29 Repurchase Agreements, Time Deposits,AB 55 &General Fund loans,and Reverse Repurchase agreements are carried at portfolio book value(carrying cost). HB -85- Item 5. - 12 Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department October 2011 Cash Receipts and Disbursements September 2011 October 2011 Receipts Property Tax Receipts $1,507,364 $310,367 Utility Tax Receipts (UUT) 1,820,098 1,765,373 Sales Tax Receipts 2,385,695 1,368,000 1/2 Cent Safety Sales Tax Receipts 142,392 139i657 Highway Users Tax Receipts (HUT) 462,459 - Transient Occupancy Tax Receipts (TOT) 794,534 532,727 Capital Funds 113,147 137,558 Debt Service Funds 3,214,242 3,764 Enterprise Funds 5,263,551 5,013,561 Fiduciary Funds 954,193 1,501,571 Special Revenue Funds 1,078,462 2,785,026 Internal Service Funds 1,675,000 - All Other Receipts 4,861,585 11,843,670 Total Receipts $24,272,721 $25,401,274 Disbursements Total Disbursements (29,945,296) (33,388,381) Net Change in Cash Flow ($5,672,575) ($7,987,107) Summary of Cash by Fund September 2011 October 2011 General Fund 47,287,350 46,408,258 Government Funds 770,606 865,077 Capital Funds 4,783,818 4,783,972 Debt Service Funds 3,000,984 405,446 Enterprise Funds 86,819,161 80,049,976 Fiduciary Funds 2,209,146 1,263,047 Internal Service Fund 1,675,000 1,675,000 Special Revenue Funds 18,568,541 19,139,858 General Ledger Cash Balances 165,114,606 164,590,634 *Total cash will differ from investment portfolio total due to outstanding checks and/or other timing differences. Note: Above information was obtained from the City's accounting system records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in compliance with the City's Charter. -f Cash Receipts&Disbursements October 2011.xlsx jl 11/17/2011 Item 5. - 13 HB -86- Council/Agency Meeting Held: Deferred/Continued to: Appr ve�-Z Con ition I y pprove ❑ Denied ,, ,b C�/F s Si,g ature Council Meeting Date: November 7, 2011 Department ID Number: CT 12-002 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's September 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for September 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for September 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): NO. De 1. Monthly Investment Report and Summary of Investments for September 2011 2. PowerPoint Item 1. - I HB -10- ATTACHMENT # 1 City of Huntington Beach Investment Review Period Ending. September 30, 2011 Prepared by. Alisa Cutchen, City Treasurer 1IPage Item 1. - 3 xB -12- Economic and Market Overview: During the quarter ending September 30, 2011, the European sovereign debt crisis and the U.S. debt ceiling debate led to continued market volatility, lower equity markets and continued historically low interest rates. As employment and housing growth in the U.S. continued to remain stagnate, the Federal Reserve responded with a commitment to maintain the Fed Funds rate at zero through mid-2013. They also announced the October implementation of "Operation Twist" (where the Fed sells short-term maturity securities and buys longer term), in hopes of stimulating home-buying. It is anticipated that there will be no significant rise in interest rates in the near term. The 2-year constant maturity treasury, which is often used as a benchmark for yields, hit an absolute historic low of 0.16% during this period. 2-Year Constant Maturity Treasury 1.00% 9-month high 0.87/, 0.80 f \%VkAj 0.60 d 0.40% 0.20% 0.16% 0.00 O,y O�y O,y 00 KV Portfolio Overview: %of YTM InvestmentType Market Value Book Value Portfolio 365-day Policy Limit Federal Agency Issues 89,217,140 88,994,476 55% 1.505 None Local Agency Investment Fund(LAIF) 49,235,271 49,235,271 30% 0.378 $60 million Medium Term Notes-Corporate 24,313,090 24,100,024 15% 1.786 20% Totals $162,765,501 $162,329,771 10090 1.205 As of September 30, 2011, the market value of the investment portfolio was $162,765,501, with a book value of $162,329,771. The decrease of approximately $20MM in the book value of the portfolio as compared to the previous quarter-end was due primarily to the typical seasonal operating cash usage. The portfolio is invested in only those investments allowable by State regulations and the City's Investment Policy. Such investments are purchased to meet the portfolio objectives of preservation of principal, maintenance of sufficient operating liquidity, and to attain a market rate of return throughout budgetary and economic cycles, in that order of absolute priority. 2 Page xB -13- Item 1. - 4 Book Value by Investment Type o Federal Agency Issues-Coupon ❑Local Agency Investment Funds f � 1K °° 13 Medium Term Notes 30% Currently, City funds are invested in Federal Agency Securities, Medium Term Corporate Notes and the State of California's Local Agency Investment Fund (LAIF). In August, Standard & Poor's rating agency downgraded the U.S. long-term rating one notch to "AA+". They then proceeded to address entities that have direct ties, or enjoy support, from the government. These included the GSEs; Fannie Mae, Freddie Mac, the FHLB system and the FFCB system, all of which were moved to the same long-term ratings as the U.S. government at AA+, with a negative outlook. S&P also downgraded the ratings of FDIC-backed bonds to AA+. Moody's and Fitch credit rating agencies affirmed their U.S. government and related entities' credit rating of AAA. Such investments are maintained within the City's portfolio, and have been downgraded accordingly. These investments will continue to be reviewed for creditworthiness, but no serious concerns are anticipated at this time. The four federal government sponsored entities that the City purchases the securities of are Federal Home Loan Bank (FHLB), Federal Home Loan Mortgage Corporation (FHLMC/Freddie Mac), Federal National Mortgage Association (FNMA/Fannie Mae) and Federal Farm Credit Bank (FFCB/Farm Credit). All corporate notes are "A" rated or its equivalent or better, per the City's Investment Policy. LAIF offers local agencies the opportunity to participate in a major portfolio with immediate liquidity managed by the State Treasurer's Office (please see http://www.treasurer.ca.gov/pmia-laif for more information). 3 1 P a g e Item 1. - 5 HB -14- Portfolio Earnings and Performance: Monthly Earnings $225,210 i'I��e�est $181ji Monthly Budgeted Interest Income $156,250 Monthly Effective Rate of Return 1.79% Fiscal YTD Earnings $2,064,625 Fiscal YTD Budget $1,875,000 Fiscal YTD Effective Rate of Return 1.30% Benchmark(1) a4s% Bank Cash Balance $2,800,000 (1)Benchmark:The average of the monthly LAIF rate and the 12-month rolling average 2-year Constant Maturity Treasury(CMT)rate. Monthly investment income as of the period ended September 30, 2011, was $225,210. The interest portion of the income was $151,661, with capital gains of$85,469. The monthly effective rate of return of 1.79% increased from the previous month as capital gains were realized and as additional cash was invested. For the fiscal year 2010-11, the effective rate of return was 1.30%, down from 1.54% for the previous fiscal year. The portfolio yield overall continues to decline as expected, due to the historically low interest rates. Higher yielding bonds that mature or are "called" are causing retired funds to be invested in the current low interest rate environment. Certain securities have "call" options, which means the issuer may return the funds to the buyer at a specified time. It is anticipated that the portfolio yield will remain at these low levels and that it will take some time for portfolio yields to increase, even as interest rates begin to move upward, as existing securities will continue to remain in the portfolio until maturity unless sold. Book Value History s200,OW.WO { -e�{ "`'h� i t fz a ay '�.1 ♦ ;;�Y'` �3 5182 964i133'c��'a��. x� 5180.000,OOD `' s .�: �'`� k�L.''3��`Yr-�=`# e '�- �.ss•rr r.� . _ E`` _t ti°f r�,;_ �S *k�st ri=164,�5 7�9c� $SS i.z F• "" r'3:; --*: 'mot'-'1. 51 8071958 r 'ii 5132 $152 328 771 15 si40000.000 ._ . er 7b7 376 165 636. rc #s :"20,000,OD,000,000 000 �0' am W $60.000.000 •}xTn. -i ,',-F' Mai I $20.000,000 so ZI a° �ell, o�"op ry 4 Page FIB -15- Item 1. - 6 Portfolio Activity: Quarterly Activity: For the quarter ending September 30, 2011, federal agency and corporate bond redemptions totaled $51 MM. Of this total, $47MM was from the maturities or calls of federal agency securities and $4MM was from the maturities of corporate notes. Total purchases for the quarter were $40.8MM, consisting of$4.8MM of corporate notes and $36MM in agency securities. Monthly Activity: For the month of September, a total of$23MM in federal agency securities matured or were called and a total of $2MM in corporate notes matured. $20MM of federal agency securities and $3.5MM of corporate notes were purchased. The agency securities were called due to the current low interest environment, hence allowing the issuer to re-issue at lower rates. Quarter-to-Quarter Comparison Book Value 613OL11 9130111 %change Federal Agency Issues $99,906,887 $88,994,476 -11% Local Agency Investment Fund (LAIF) $59,999,030 $49,235,271 -18% Medium Term Notes - Corporate $23,058,216 $24,100,024 5% Totals $182,964,133 $162,329,771 -11% Compliance: The portfolio is in conformity with all State laws and the Investment Policy statement filed with the City Council on December 20, 2010. A copy of this policy is available at the office of the City Clerk. The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Additional Investment Information: Balances- Market Value: June 30,2011 Sept 30,2011 Inc. e . Bond Proceeds: Reserve Balance (1) $ 12,503,391 $ 10,833,225 -13.36°o Deferred Compensation Balance (2) $ 89,709,843 $ 84,222,109 -6.12% Retiree Medical Trust Balance (2)(3) $ 10,237,358 $ 10,237,358 0.00% Supplemental Pension Trust Balance $ 31,015,183 $ 27,651,380 -10.85% Notes: (1) Decrease from June to Sept due to bond refinance for 2 bonds currently in process. (2) Deferred Compensation and Medical Trust Statements are received quarterly only. (3) Retiree Benefit Trust Statements are received 45+days following quarter end. September statement not yet received. 5 1 P a g e Item 1. - 7 HB -1 6- °F tiNconron�rFo � _ - E City of Huntington Beach 9= City of 1-113 2000 Main St Huntington Beach, C=), = = Portfolio Management 217 lots F°Q Portfolio Summary September 30, 2011 Par Market Book %of Days to YTM YTM Investments Value Value Value Portfolio Term maturity 360 Equiv. 365 Equiv. Federal Agency Issues-Coupon 89,000,000.00 89,217,140.00 88,994,476.21 54.82 1,413 1,307 1.485 1.505 Local Agency Investment Funds 49,235,271.22 49,235,271.22 49,235,271.22 30.33 1 1 0.373 0.378 Medium Term Notes 23,810,000.00 24,313,089.90 24,100,023.69 14.85 1,059 397 1.762 1.786 Investments 162,045,271.22 162,766,501.12 162,329,771.12 100.00% 932 776 1.189 1.205 Cash and Accrued Interest Accrued Interest at Purchase 30,654.68 30,654.68 Subtotal 30,654.68 30,654.68 Total Cash and Investments 162,045,271.22 162,796,155.80 162,360,425.80 932 776 1.189 1.205 Total Earnings September 30 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 225,209.53 2,064,625.26 2,064,626.26 M Current Budget 156,250.00 1,875,000.00 1,875,000.00 '_ Last Year Actual 165,220.00 2,522,076.00 2,522,076.00 -a Average Daily Balance 152,819,771.51 159,303,067.08 Effective Rate of Return 1.79% 1.30% 1 certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on December 20,2010. A copy of this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market Values provided by Union Bank via Interactive Data Corporation. Cak Qth, 1 0 , 2y' Alisa Cutchen,CITY TREASURER r- Reporting period 09/01/2011-09/3012011 Portfolio CITY 0 AP Run Date:10124t2011-13:12 PM(PRF PM1)7.2.0 Report Ver.7.3.2 00 r-r- CD City of H13 INo Portfolio Management Page 1 Portfolio Details-Investments September 30, 20'1 1 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues-Coupon 31331JBES 3867 Federal Farm Credit Bank 12/15/2010 3,000,000.00 3,012,480.00 3,000,000.00 2.480 AA 2.480 1,536 12/15/2015 313373QJ4 3880 Federal Home Loan Bank OS/25/2011 3,000,000.00 3,003,330.00 3,000,000.00 1.125 AA 1.125 786 11/25/2013 3133747F1 3885 Federal Home Loan Bank 06/27/2011 5,000,000.00 5,009,300.00 5,000,000.00 0.700 AA 0.700 727 09/27/2013 313374FB1 3890 Federal Home Loan Bank 07/11/2011 6,000,000.00 6,000,660.00 5,998,621.21 1.000 AA 1.009 923 04/11/2014 3134G2KA9 3881 Federal Home Loan Mort Corp 05/27/2011 5,000,000.00 5,005,950.00 5,000,000.00 1.250 AA 1.250 970 05/28/2014 3134G2MG4 3886 Federal Home Loan Mort Corp 06/30/2011 5,000,000.00 5,011,350.00 5,000,000.00 1.500 AA 2.229 1.734 06/30/2016 3134G2LY6 3892 Federal Home Loan Mort Corp 06/29/2011 5,000,000.00 5,053,200.00 5,000,000.00 2.000 AA 2.000 1,733 06/29/2016 3134G21-139 3896 Federal Home Loan Mort Corp 09/29/2011 5,000,000.00 4,986,000.00 5,000,000.00 0.800 AA 0.800 1,094 09/29/2014 31398AX4 3854 Fed,Nat'l MorL Assoc. 09/17/2010 3,000,000.00 3,033,870.00 3,000,000.00 1.125 AA 1.125 717 09/17/2013 3136FPUM7 3861 Fed.Nat'l Mort Assoc. 10/29/2010 3,000,000.00 3,002,550.00 2,998,776.67 1.125 AA 1.962 1,489 10/29/2015 3136FPV79 3871 Fed.Nat'l Mort Assoc. 12/28/2010 3,000,000.00 3,008,850.00 3,000,000.00 1.500 AA 2.814 1,549 12/28/2015 3136FRQJ5 3884 Fed.Nat'l Mort Assoc. 06/20/2011 5,000,000.00 5,023,300.00 5,000,000.00 1.170 AA 1.170 993 06/20/2014 3136FRTW3 3887 Fed.Narl Mort.Assoc. 06/30/2011 5,000,000.00 5,008,000.00 5,000,000.00 1.100 AA 1.100 1,003 06/30/2014 3136FRTD5 3888 Fed.Nat1 Mort Assoc. 06/30/2011 3,000,000.00 3,005,340.00 2,998,575.83 1.500 AA 2.240 1,734 06/30/2016 3136FRVH3 3889 Fed.Nat'l Mort Assoc. 06/29/2011 5,000,000.00 5,038,300.00 5,000,000.00 1.500 AA 2.229 1,733 06/29/2016 3136FRVX8 3891 Fed.Nat'l Mort Assoc. 07/05/2011 5,000,000.00 5,020,400.00 5,000,000.00 2.200 AA 2.200 1,739 07/05/2016 3136FRD59 3893 Fed.Nat'l Mort.Assoc. 07/25/2011 5,000,000.00 5,007,000.00 5,000,000.00 1.125 AA 1.125 1,028 07/25/2014 3136FRV59 3894 Fed.Nat'l Mort.Assoc. 09/14/2011 8,000,000.00 7,995,040.00 8,000,000.00 1.050 AA 1.516 1,810 09/14/2016 3136FR4V2 3907 Fed.Nat'l Mort Assoc. 09/28/2011 2,000,000.00 1,992,220.00 1,998,502.50 1.375 AA 1.391 1,824 09/28/2016 3136FRSP4 3908 Fed.Nat'l Mort Assoc. 09/30/2011 5,000,000.00 5,000,000.00 5,000,000.00 0.750 AA 0.750 1,095 09/30/2014 00 Subtotal and Average 80,768,608.48 89,000,000.00 89,217,140.00 88,994,476.21 1.505 1,307 Local Agency Investment Funds SYS982 982 La'd City 29,999,657.56 29,999,657.55 29,999,657.55 0.378 0.378 1 SYS2206 2206 LAIF-Redevelopment Agency 19,235,613.67 19,236,613.67 19,235,613.67 0.378 0.378 1 Subtotal and Average 49,235,271.22 49,235,271.22 49,236,271.22 49,235,271.22 0.378 1 Medium Term Notes 06050BAJO 3734 Bank of America FDIC Insured 04/30/2009 2,000,000.00 2,028,960.00 2,007,645.55 2.375 AA 1.830 265 06/22/2012 064664AT8 3895 Berkshire Hathaway Fin 08/26/2011 1,310,000.00 1,448,584.90 1,455,103.04 4.850 AA 1.390 1,202 01/15/2015 17314AAF9 3723 Citigroup FDIC Insured 03/30/2009 2,000,000.00 2,016,420.00 1,999,108.31 2.000 AA 2.093 181 03/30/2012 36962G4X9 3906 General Electric Capital Corp 09/29/2011 2,000,000.00 2,011,940.00 2,023,482.44 2.100 AA 1.670 829 01/07/2014 36962GZY3 3997 General Electric Capital Corp 09/16/2011 1,500,000.00 1,575,375.00 1,581,238.75 5.450 AA 1.200 472 01/15/2013 36967HBB2 3805 GE Capital FDIC Insured 11/03/2009 2,000,000.00 2,033,880.00 2,006,390.87 2.000 AA 1.720 363 09/28/2012 36967HAN7 3733 General Electric Cap FDIC insu 04/30/2009 2,000,000.00 2,018,780.00 2,004,773.84 2250 AA 1.701 163 03/12/2012 36967HAHO 3735 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,027,260.00 2.004,643.95 2.200 AA 1.850 251 06/08/2012 Portfolio CITY AP Run Date:10/24/2011-13:1z PM(PRF PM2)7.20 Rr •.7.3.2 City of I-113 Portfolio Management Page 2 Portfolio Details -Investments September 30, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Medium Term Notes 36186CBF9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,044,120.00 1,996,268.76 2.200 AA 2.361 445 12/19/2012 36185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,031,080.00 1,999,292.07 1.750 AA 1.784 395 10/30/2012 481247AKO 3738 JP Morgan Chase FDIC Insured 04/30/2009 2,000,000.00 2,026,700.00 2,005,874.74 2.200 AA 1.770 258 06/15/2012 49328CAA3 3770 Key Bank FDIC Insured 06/30/2009 2,000,000.00 2,040,980.00 2,016,356.17 3.200 AA 2.000 258 06/16/2012 91160HAC1 3743 US Bank FDIC Insured 05/19/2009 1,000,000.00 1,009,010.00 1,000,845.20 1.800 AA 1.660 227 05/15/2012 Subtotal and Average 22,826,891.82 23,810,000.00 24,313,089.90 24,100,023.69 1.786 397 Money Market Acct SYS3802 3802 Union Bank-US Gov t MMF 0.00 0.00 0.00 0.050 0.060 1 SYS3789 3789 Union Bank-US Trea MMF 0.00 0.00 0.00 0.020 AAAW 0.020 1 Subtotal and Average 0.00 0.00 0.00 0.00 0.000 0 Total and Average 162,819,771.61 162,045,271.22 162,766,501.12 162,329,771.12 1.206 776 F—I e--I- Portfolio CITY AP Run Date:10r2412011-13:12 1--� PM(PRF PM2)7.2.0 0 CD City of 1-113 Portfolio Management Page 1 �• Activity By Type September 1, 2011 through September 30, 2011 Stated Transaction Purchases Redemptions CUSIP investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues-Coupon 31331KMV9 3883 Federal Farm Credit Bank 1.000 09/07/2011 0.00 5,000,000.00 313371SV9 3862 Federal Home Loan Bank 2.000 09/09/2011 0.00 3,000,000.00 3133711.153 3863 Federal Home Loan Bank 1.500 09/12/2011 0.00 3,000,000.00 3134G1 UE2 3860 Federal Home Loan Mort Corp 1.500 09/23/2011 0.00 1,999,200.00 3134G2JG8 3882 Federal Home Loan Mort Corp 0.500 09/13/2011 0.00 4,998,854.17 3134G2H39 3896 Federal Home Loan Mort Corp 0,800 09/29/2011 5,000,000.00 0.00 3136FPYL5 3868 Fed.Narl Mort.Assoc. 1.000 09/02/2011 0.00 1,969,209.54 3136FPYL5 3872 Fed.Nafl Mort Assoc. 1.000 09/02/2011 0.00 2,947,267.22 3136FRV59 3894 Fed.Narl Mort Assoc. 1.060 09/14/2011 8,000,000.00 0.00 3136FR4V2 3907 Fed.Nat?Mort Assoc. 1.375 09/28/2011 1,998,500.00 0.00 3136FR5P4 3908 Fed.NaVI Mort Assoc. 0.750 09/30/2011 5,000,000.00 0.00 Subtotal 19,998,500.00 22,914,530.93 88,994,476.21 Local Agency Investment Funds (Monthly Summary) Subtotal 49,235,271.22 Medium Term Notes 36962G4X9 3906 General Electric Capital Corp 2.100 09/29/2011 2,023,540.00 0.00 36962GZY3 3997 General Electric Capital Corp 5.450 09/16/2011 1,583,865.00 0.00 C 61757UAF7 3736 Morgan Stanley FDIC Insured 2.000 09/22/2011 0.00 2,000,000.00 Subtotal 3,607,405.00 2,000,000.00 24,100,023.69 Money Market Acct (Monthly Summary) . Subtotal 0.00 Total 23,606,905.00 24,914,630.93 162,329,771.12 Portfolio CITY AP Run Date:I=4/2011-13:12 PM(PRF_PM3)7.2.0 -,ort Ver.7.3.2 City of 1-113 Portfolio Management Page 1 Activity Summary September 2010 through September 2011 Yield to Maturity Managed Number Number Month Number of Average 360 366 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Tenn Days to Maturity September 2010 46 154,161,946.43 1.383 1.402 0.500 8 9 744 555 October 2010 42 147,479,654.35 1.393 1.412 0.480 1 5 752 542 November 2010 39 141,605,221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144,716,923.18 1.337 1.356 0.462 12 5 869 712 January 2011 49 163,147,527.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 1.372 0.500 0 2 890 677 April 2011 44 157,507,665.91 1.292 1.309 0.588 0 3 845 647 May 2011 46 157,665,657.64 1.242 1.259 0.413 4 2 869 679 June 2011 45 166,927,847.24 1.278 1.296 0.448 9 10 901 745 July 2011 43 183,784,185.57 1.269 1.286 0.381 3 5 940 784 August 2011 39 169,814,312.73 1.263 1.281 0.408 1 5 936 761 September 2011 37 152,819,771.51 1.189 1.205 0.378 6 8 932 776 Average 44 158,912,602.22 1.304% 1.322% 0.466 4 4 856 675 ttJ r♦ Portfolio CITY AP Run Date:IM24/2011-13:12 PM(PRF PM4)7.2.0 Report Ver.7.3.2 N r+ CD t City of HB Portfolio Management Page 1 Distribution of Investments By Type September 2010 through September 2011 September October November December January February March April May June July August September Average Security Type 2010 2010 2010 2010 2011 2011 2011 2011 2011 2011 2011 2011 2011 by Period Repurchase Agreements Certificates of Deposit Commercial Paper-Interest Bearing Federal Agency Issues-Coupon 40.4 37.4 31.6 45.9 48.8 49.4 49.0 45.7 49.7 54.6 57.7 56.2 54.8 47.8% Local Agency Investment Funds 39.5 42.2 41.9 38.2 36.1 35.3 35.1 38.1 36.3 32.8 30.7 30.1 30.3 35.9% Treasury Securities-Coupon Medium Term Notes 17.9 19.1 18.9 16.0 15.1 15.3 15.9 16.1 14.0 12.6 11.6 13.8 14.9 15.5% Negotiable CD's Certificates of Deposit-Bank Mortgage Backed Securities Bankers Acceptances Amortizing Commercial Paper Disc.Amortizing Federal Agency Disc.-Amortizing Treasury Discounts-Amortizing 4.9 0.4% Miscellaneous Discounts-Amortizing Money Market Acct 2.2 1.4 2.7 0.5% Rolling Repurchase Agreements l� N Portfolio CITY AP Run Date;IU24/2011-13:12 PM(PRF_PM5)7.20 Report Ver.7.3.2 City of 1-11 Portfolio Management Page 1 Interest Earnings Summary September 30, 2011 September 30 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 185,875.00 1,758,029.30 Plus Accrued Interest at End of Period 345,146.89 340,646.89 Less Accrued Interest at Beginning of Period ( 394,657.16) ( 407,805.68) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 136,364.73 1,690,870.51 Adjusted by Premiums and Discounts -11,920.93 -47,740.23 Adjusted by Capital Gains or Losses 85,469.07 157,942.12 Earnings during Periods 209,912.87 1,801,072.40 Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 w Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0.00 Cash/Checking Accounts: Interest Collected 0.00 289,191.50 Plus Accrued Interest at End of Period 53,685.81 63,685.81 Less Accrued Interest at Beginning of Period ( 38,389.15) ( 79,324.45) Interest Earned during Period 15,296.66 263,552.86 Total Interest Earned during Period 151,661.39 1,964,423.37 Total Adjustments from Premiums and Discounts 41,920.93 .47,740.23 Total Capital Gains or Losses 85,469.07 157,942.12 Total Earnings during Period 225,209.53 2,064,625.26 r+ Portfolio CITY AP �a Run Date:1024r2011-13:12 - PM(PRF PM6)7.2.0 Report Ver.7.3.2 -P State of California Pooled Money Investment Account Market Valuation 9130/2011 � - -r+ya#{2, ,-:1�' s• s ��SAr �5 ]? r` rc.y,� .. F�x� r�.r 7 a��� edlrifgcestl ;-rh`j. Aolzed.(Qst s Ftlrr, �.ue ,. �4�cri4�,Ieest United States Treasury: Bills $ 22,800,252 375.07 $ 22,827,667,444.55 $ 22,842,245,500.00 NA Notes $ 11,849,418,843.39 $ 11,848,596,177.11 $ 11,919,996,500.00 $ 23,544,525.00 Federal A enc : SBA $ 531,261,033.00 $ 531,261,033.00 $ 530,762,331.31 $ 565,112.89 MBS-REMICs $ 430,068,338.80 $ 430,068,338.80 $ 467,663,708.91 $ 2,040,680.67 Debentures $ 1,376,078,433.27 $ 1,376,071,322.15 $ 1,376,591,250.00 $ 3,536,315.25 Debentures FR $ - $ - $ - $ - Discount Notes $ 4,341,750,166.58 $ 4,344,729,583.36 $ 4,348,491,500.00 NA GNMA $ 35,793.20 $ 35,793.20 $ 36,569.96 $ 352.44 ORD Deb FR $ 300,000,000.00 $ 300,000,000.00 $ 300,402,000.00 $ 270,866.67 CDs and YCDs FR $ 600,000,000.00 $ 600,000,000.00 $ 600,000,000.00 $ 285,269.11 Bank Notes $ - $ - $ - $ - CDs and YCDs $ 6,360,015,094.92 $ 6,360,015,094.92 $ 6,354,916,983.41 $ 1,849,916.67 Commercial Paper $ 4,097,472,486.09 $ 4,099,395,437.44 $ 4,099,089,138.89 NA Corporate: Bonds FR $ - $ - $ - $ - Bonds $ - $ - $ - $ - Repurchase Agreements $ - $ - $ - $ - Reverse Repurchase $ - $ - $ - $ - Time Deposits $ 4,089,140,000.00 $ 4,089,140,000.00 $ 4,089,140,000.00 NA AB 55&GF Loans $ 9,417,191,533.16 $ 9,417,191,533.16 $ 9,417,191,533.16 NA TOTAL $ 66,192,684,097.48 1 $ 66,224,171,757.69 $ 66,346,527,015.64 $ 32,093,038.70 Fair Value Including Accrued Interest $ 66,378,620,054.34 Repurchase Agreements,Time Deposits,AB 55&General Fund loans,and Reverse Repurchase agreements are carried at portfolio book value(carrying cost). The value of each participating dollar equals the fair value divided by the amortized cost(1.001847592). As an example:if an agency has an account balance of$20,000,000.00,then the agency would report its participation in the LAW valued at$20,036,951.84 or$20,000,000.00 x 1.001847592 Item 1. - 15 xa -24- Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department September 2011 Cash Receipts and Disbursements July 2011 August 2011 Receipts Property Tax Receipts $448,737 311,575 Utility Tax Receipts (UUT) 1,663,794 1,706,383 Sales Tax Receipts 1,405,100 1,873,500 1/2 Cent Safety Sales Tax Receipts 139,111 164,176 Highway Users Tax Receipts (HUT) 454,019 952,287 Transient Occupancy Tax Receipts (TOT) 601,309 897,328 Capital Funds 185,151 5,261,825 Debt Service Funds 3,570,335 3,522,761 Enterprise Funds 7,042,157 6,058,320 Fiduciary Funds 1,111,640 1,029,379 Special Revenue Funds 2,319,333 , 2,297,630 All Other Receipts 6,838,731 6,122,863 Total Receipts $25,779,417 $30,198,026 Disbursements Total Disbursements (31,539,622) (42,773,641) Net Change in Cash Flow ($5,760,205) ($12,575,614) Summary of Cash by Fund July 2011 August 2011 General Fund 55,269,456 48,696,893 Government Funds 787,046 616,898 Capital Funds 2,028,039 5,079,403 Debt Service Funds 10,690,402 3,023,033 Enterprise Funds 90,208,996 87,653,655 Fiduciary Funds 1,729,647 1,549,793 Special Revenue Funds 21,049,873 20,060,704 General Ledger Cash Balances 181,763,459 166,680,378 " * Total cash will differ from investment portfolio total due to outstanding checks and/or other timing differences. Note: Above information was obtained from the City's accounting system records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in compliance with the City's Charter. Statement of Cash Receipts&Disbursements Sept 2011.xlsx jl 9/26/2011 HB -25- Item 1. - 16 Treasurer ' s Investment Report City of Huntington Beach Period Ended: September 30, 2011 - By : Alisa Cutchen , City Treasurer Treasurer ' s Mission : Preservation .and Return of .investment PObjectives in Absolute Order of Priority : );=, Safety of Principal );;;;;Adequate Liquidity )�� Market Rate of Return RISK versus REWARD , A I I Ba ance Pal s im WIN i l � ` „ .• \ § //• /i / O f IN i >c Po rtfo 11" o Ove rview As of September 30 , 2011 of Investment Type Market Value Book Value Portfolio Federal Agency Issues 8912171140 88,994,476 55% focal Agency Investment Fund (LAIF) 49,235,271 49)235,271 30% Medium Term Notes - Corporate 24,313,090 241100,024 15% Totals $162J65,501 $162,329,771 100% CD N ShownPortfoll" o Book Value Monthly for FY 2010 - 2011 I Millions 200 Y, 180 y" 8 160 1 � 64„ 1,42OR" 140A,i ;y 43 / \ ll $1 { W /y% ✓ c Fl ? \ 2Q / r w security DIstrl" butmion by Type 15% rEl Federal Agency Issues - Coupon Local Agency Investment Funds ® z Z' ; ,f' � A®, Medium Terri Dotes I--I CD r l N N r+ N N W Allovvable Investments . .. .. .... :: , ..... • {.,, i ...lam ,,^•i r� :.., ..,. ,2 ,,, .o.. -,r..,,, E,rex :,,, RESTRICTED Y CA No RESTRICTIONS GOVERNMENT CODE ® Stocks(Pref. / I nth I / I P®s) Q ®n'l U .S. Gov't/Agency/1 P Mutual Funds(all types) al Securities 5 © ETFs u n ici p Gov't/ Muni /Corp. years or less fonds Notes i ncI ® u n k w / J N Top- Rated . Corporate fonds Bonds / Note s / C P. ` Hedge Funds CDs /Time Dep osits / LAIF Derivatives A few other "lower risk " (Futures / Optaons) P . All types Money Market investmentsLimited Partnerships NO LOSS OF PUBLIC MOIRE RISK, POTENTIAL FUNDS LOSS / NEGATIVE RETURNS 2 -Year Constant Maturity Treasury January September , 2011 ConstantMaturity Treasury 1.005V0 9-month high 0.87 0.80 0. 0 0.0 W 0.00ii4� All KO KP CD a i N -P CD N AIL nnua Rats of Return 0 pity PortfoliO vs . LAIF Rate FY zoos — FY201 1 —City Portfolio -a-LAtF Rate 5°fo A Zo; 1 . 30% C ,vUESTIONS? Recommendation to City Council 3 V � Council/Agency Meeting Held: 4AIA011 If Deferred/Continued to: Appr ved ❑ Conditio ally Approv d ❑ Denied d CiI Ierk,'a�Signa e Council Meeting Date: October 3, 2011 Departme D Number: CT 12-001 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's August 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for August 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for August 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. Item 2. - I HB -20- REQUEST FOR COUNCIL ACTION MEETING ®ATE: 10/3/2011 DEPARTMENT I® NUMBER: CT 12-001 Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): ® - e . 1. Monthly Investment Report and Summary of Investments for August 2011 xB -2 I- Item 2. - 2 AmriTACHMENT # 1 {, City of Huntington Beach Monthly Investment Report Period Ending:August 31, 2011 Prepared by: Alisa Cutchen, City Treasurer Portfolio Overview: Portfolio composition as of August 31, 2011: %of YTM Investment Type Market Value Book Value Portfollo 365-day Policy Limit Federal Agency Issues 92,309,700 91,910,306 569/o 1.618 None Local Agency Investment Fund(LAIF) 49,235,271 49,235,271 30916 0.408 $60 million Medium Term Notes -Corporate 22,769,912 22,504,741 14% 1.812 20% Totals $164,314,884 $163,650,318 100% 1.281 As of August 31, 2011, the market value of the investment portfolio was $164,314,884, with a book value of $163,650,318. This is a decrease of approximately $18 million in book value due to operating cash flow requirements for the month of August. The portfolio is invested in only those investments allowable by State regulations and the City's Investment Policy. Such investments are purchased to meet the portfolio objectives of preservation of principal, maintenance of sufficient operating liquidity, and to attain a market rate of return throughout budgetary and economic cycles, in that order of absolute priority. Portfolio Earnings and Performance: Monthly Earnings $164,004 Pr= tlisl caul € € ; € ; € :...$4. E> Monthly Budgeted Interest Income $156,25 Monthly Effective Rate of Return 1.149/o Fiscal YTD Earnings $1,839,416 Fiscal YTD Budget $1,718,750 Fiscal YTD Effective Rate of Return 1.25% Benchmark(l) 0.47% Bank Cash Balance $4,234,973 (1)Benchmark: The average of the monthly LAW rate and the 12-month rollingaverage 2•yearConstant Maturity Treasury(CMT)rate. Monthly investment income for the month of August, 2011 was $164,004, slightly above the budgeted amount of $156,250. The monthly effective rate of return of 1.14% was up 0.02% from the previous month's rate of return of 1.12%. However, the portfolio yield overall continues to decline as expected, due to historically low investment yields. It is anticipated that the portfolio yield will remain at these low levels and that it will take some time for portfolio yields to increase, even as interest rates begin to move upward, as existing securities will continue to remain in the portfolio until maturity unless sold. xB -23- Item 2. - 4 ragc A us 2 Earnings History $250,000 $200'000 $150,000 r4 $goo i000 M x, F Nr W. INN $50,000 y , k @ O V�� ��` �,om'p�c '���'°e� ��°��& ',' A \A °yam ,10 ecc �c�` �J ,Q� �{ Q$ a s� s� Jo, tie 6�o �cc e� �J ,oc �� Qq a �� �J Jg op po4O�c�o�o� °�S ,�o ^°�°50'`°^j��Qop�o��Q�,��a��'`�` o``>\o ti�°,�N� P ° �° �° ti° ti ti ti ti ti° � ti ti ti � Portfolio Activity: Security maturities and calls totaled $13 million for the month, consisting of 5 Agency bonds. Thesf bonds were called due to the current low interest environment, allowing the issuer to issue bonds at current lower rates. $6.5MM was transferred from LAIF to the operating account for operating purposes. Purchases for the month totaled $1.46 million (1 Corporate bond). Compliance: The portfolio is in conformity with all State laws and the Investment Policy statement filed with the City Council on December 20, 2010. A copy of this policy is available at the office of the City Clerk. The investment program herein shown provides sufficient cash flow liquidity to meet the next six months' obligations. Additional Investment Information: Balances-Market Value: June 30, 2011 July 31, 2011 lnc. Dec. Bond Proceeds: Reserve Balance (1) $12,503,391 $15,529,752 24.20% Deferred Compensation Balance (2) $89,709,843 n/a Retiree Medical Trust Balance (2) $9,726,144 n/a Supplemental Pension Trust Balance $31,015,183 $30,820,966 -0.639b Notes: (1)Increase due to funds included for the current payment due. (2)Deferred Compensation and Medical Trust Statements are received quarterly only. (3)This is the most current information available as of report preparation date. Item 2. - 5 xB -24- 1-axe a u1 2 �o4l I NGr4y City of Huntington Beach 200 Main St u City of 1-113 Huntington Beach, p-E52i. - = Portfolio Management uarr cA`��`�� Portfolio Summary August 31, 2011 Par Market Book %of Days to YTM YTiM Investments Value Value Value Portfolio Tenn Matuft 360 Equlv. 365 Equiv. Federal Agency Issues-Coupon 92,000,000.00 92,309,700.00 91,910,305.75 56.16 1,396 1,270 1.596 1.618 Local Agency Investment Funds 49,235,271.22 49,235,271.22 49,235,27122 30.09 1 1 0,402 0.408 Medium Term Notes 22,310,000.00 22,769,912.30 22,504,741.01 13.75 1,104 347 1.787 1.812 Investments 163,545,271.22 164,314,883.52 163,650,317.98 100.006/0 936 761 1.263 1.281 Cash and Accrued Interest Accrued Interest at Purchase 7,235.93 7,235.93 Subtotal 7.235.93 7,235.93 Total Cash and Investments 163,545,271.22 164,322,119.46 163,657,553.91 936 761 11263 1.281 Total Earnings August 31 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 164,004.04 1,839,415.74 Current Budget 156,250.00 1,718,750.00 1,875,000.00 N Last Year Actual 172.625.00 2,356,866.00 2,522,076.00 Average Daily Balance 169,814,312.73 159,883,660.71 Effective Rate of Return 1.14% 1.250/9 1 certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the Investment policy statement filed with the City Council on December 20,2010. A copy of this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next sic month's obligations. Market slues provided by Union Bank via Interactive Data Corporation. _ Alin C chen, ITY TREASURER h--I Q Reporting period 0810112011-0813112011 Portfolio CITY 5 AP N Run Date:09M=011-11:51 PM(PRF PM1)7.2.0 Report Ver,7.3.2 cD N �r City of HB Portfolio Management Page 1 Portfolio Details - Investments August 31, 2011 Average Purchase Stated YTM Days to Maturity CUSiP Investment# Issuer Balance Date par Value Market Value Book Value Rate S&P 366 Maturity pate Federal Agency Issues-Coupon 31331JSE9 3867 Federal Farm Credit Bank 12115=10 3,000,000.00 3,017,520.00 3,000,000.00 2.480 AA 2.480 1,566 12/15/2015 31331KMV9 3883 Federal Farm Credit Bank 06/07/2011 5,000,000.00 $.000,500.00 5,000,000.00 1.000 AA 1.000 918 03/07/2014 313371SV9 3862 Federal Home Loan Bank 12/09/2010 3,000,000.00 3,000,990.00 3,000,000,00 2.000 AA 2.000 1,560 12/09/2016 313371U53 3863 Federal Home Loan Bank 12/10/2010 3,000,000.00 3,000,960.00 3,000,000.00 1.500 AA 2.129 1.561 12/10/2015 313373QJ4 3880 Federal Home Loan Bank 0512512011 3,000,000.00 3,005,280.00 3,000,000,00 1.125 AA 1.125 816 11/25/2013 3133747F1 3885 Federal Home Loan Bank 06/27/2011 5,000,000.00 5,011,800.00 5,000,000.00 0.700 AA 0.700 757 09/27/2013 313374FB1 3890 Federal Home Loan Bank 07/11/2011 6,000,000.00 6,003,240.00 5,990,575.76 1.000 AA 1.009 953 04/11/2014 3134G1UE2 3860 Federal Home Loan Mort Corp 09/23/2010 2.000,000.00 2.001,260.00 1,999,187.78 1.250 AA 1,235 1,483 09/23/2015 3134G2KA9 3881 Federal Home Loan Mort Corp 05/27/2011 5,000,000.00 5.009.050.00 5,000.000.00 1.250 AA 1,250 1,000 05/28/2014 3134G2JG8 3882 Federal Home Loan Mort Corp 06/13/2011 5,000,000.00 4,998,200.00 4,998,84028 0.500 AA 1.968 1,016 06/13/2014 3134G2MG4 3886 Federal Home Loan Mort Corp 08/30/2011 5,000,000.00 5,015,900.00 5,000,000.00 1.500 AA 2.229 1,764 06/30/2016 3134G2LY6 3892 Federal Home Loan Mort Corp 06129/2011 5,000,000.00 5,061,850.00 5,000.000.00 2.000 AA 2.000 1,763 06/29/2016 31398AX4 3854 Fed.Nall MorL Assoc. 00/17/2010 3,000,000.00 3,039,960.00 3,000.000.00 1.12$ AA 1.125 747 09/17/2013 3136FPUM7 3861 Fed.Nat?Mort Assoc. 10/29/2010 3,000.000.00 3,006,060.00 2,998.751.67 1.125 AA 1.962 1,519 10/29/2015 3136FPYL5 3868 Fed.Natl Mort Assoc. 12/10/2010 2,000,000.00 2,000,020.00 1,969,181.03 1.000 AA 1.530 1,097 0910=014 3136FPV79 3871 Fed.Natl Mort Assoc. 12/28/2010 3,000,000.00 3,012,450.00 3,000,000.00 1.500 AA 2.814 1,579 12/28/2015 x 3136FPYL5 3872 Fed.Nat'l MorL Assoc. 12/31/2010 3.000,000.00 3,000.030.00 2.947,218.40 1.000 AA 1.606 1,097 09/02/2014 3136FRQJ5 3884 Fed.Nat'l Mort.Assoc, 06/20/2011 5,000,000.00 5,028,700.00 5,000,000.00 1.170 AA 1.170 1,023 06/20/2014 tv 3136FRTM 3887 Fed.Nat'l Mort Assoc. 06/30/2011 5,000,000.00 5,011,550.00 5,000,000.00 1.100 AA 1.100 1,033 06J3o/2014 p� 3136FRTD5 3888 Fed.Nat't Mort Assoc. oSI3012011 3,000,000.00 3,007,080.00 2,998,550.83 1.500 AA 2240 1,764 06/30/2016 r 3136FRVH3 3689 Fed.Natl Mort Assoc. 06/29/2011 5,000,000.00 5,041,450.00 5,000,000.00 1.500 AA 2229 1,763 06/29/2016 3136FRVXS 3891 Fed.Natl Mort Assoc. 07/06/2011 5,000,000.00 5.025,700.00 5,000.000.00 2.200 AA 2200 1,769 07/06/2016 3136FRO59 3893 Fed,Nad Mort Assoc. 07/25/2011 5,000,000.00 5,010,150.00 5,000,000.00 1,126 AA 1.125 1.058 07/25/2014 Subtotal and Average 99.747,861.60 92,000.000.00 92.309,700.00 $1,910,305.75 1.618 1,270 Local Agency Investment Funds SYS982 982 Lad City 29.999.657.65 29,999,667,55 29,999,657.55 0.408 0.408 1 SYS2206 2206 LAIF-Redevelopment Agency 19.235,613.67 19,236.613.67 19,235,613.67 0.408 0.408 1 Subtotal and Average 49,735,27122 49,436,271.22 49,235,271.22 49,235,271.22 0.408 1 Medium Term Notes 06050BAJ0 3734 Bank of America FDIC Insured 04/3012009 2,000,000.00 2,033,600.00 2,008,524.35 2.375 AA 1.830 295 06/22l2012 034664AT8 3895 Berkshire Hathaway Fin 08/26/2011 1,310,000.00 1,4$7.152.30 1.458,779.63 4.850 AA 1.390 1,232 01/16/2015 17314AAF9 3723 Citigroup FDIC Insured 03/30/2009 2,000,000.00 2,018.760.00 1,998,968.87 2.000 AA 2.093 211 03/30/2012 369671-113132 3805 GE Capital FDIC Insured 11/03/2009 2,000,000.00 2,037,780.00 2,00$,843.89 2.000 AA 1.720 393 09/28/2012 36967HAN7 3733 General Electric Cap FDIC Insu 04130/2009 2.000,000.00 2,020,920.00 2,005,663.37 2250 AA 1.701 193 03/12/2012 Portfolio CITY AP Run Date:09115=11-11.51 PM(PRF PM2)7.20 Ver,7.32 City of HB Portfolio Management Page 2 Portfolio Details-Investments August 31, 2011 Average Purchase Stated YTM Daysto Maturity CUSIP Investment 4 Issuer Balance Date Par Value Market Value Book Value Rate SAP 365 Maturity Date Medium Term Notes 36967HAHO 3735 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,031,400.00 2,005,208.00 2200 AA 1.850 281 06/08/2012 36186CBF9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,049,100.00 1,996,013.19 2.200 AA 2.361 475 12/19/2012 36185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,033,720.00 1,999,237.47 1.750 AA 1.784 425 10/30/2012 481247AKO 3738 JP Morgan Chase FDIC Insured 04/30/2009 4000.000.00 2,029,720.00 2,006,568.60 2200 AA 1.770 288 06/15/2012 49328CAA3 3770 Key Bank FDIC Insured 06/30/2009 2,000,000.00 2,045,300.00 2,018,288.00 3200 AA 2.000 288 06/15/2012 61757UAF7 $736 Morgan Stanley FDIC Insured 04/30/2009 2,000,000.00 2,001,740.00 2,000,697.24 2.000 AA 1.390 21 09/22/2011 91160HAC1 3743 US Bank FDIC Insured 05/19/2009 1,000,000.00 1,010,720.00 1,000,958.40 1.800 AA 1.660 257 05/15/2012 Subtotal and Average 21,331,180.01 22,310,000.00 22,769,912.30 22.604.741.01 1.812 347 Money Market ACct SYS3802 3802 Union Bank-US Gov't MMF 0.00 0.00 0.00 0.050 0.050 1 $Y$3789 3789 Union Bank-US tree MMF 0.00 D.00 0.00 0.020 AAAmf 0.020 1 Subtotal and Average 0.00 0.00 0.00 0.00 0.000 0 Total and Average 169,814,312.73 163,545,271.22 164,314,883.52 163,660,317.98 1281 761 N J h-I N Portfolio CITY AP Run Date: PM 09/15=11.11:51 N (PRF_PMz)72.0 i 00 N City of HIS �o Portfolio Management Page Portfolio Details- Cash August 31, 2011 Average Purchase Stated YTM Days to CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 366 Maturity Average Balance 0.00 Accrued Interest at Purchase 7,235.93 7,235.93 0 Subtotal 7,235.93 7,2$5.93 Total Cash and Investments 169,914,312.73 163,"5,271.22 164,322,119.45 163,657,56191 1.201 761 N OO Portfolio CITY AP Run Date:08r1&=1.11:51 PM(PRF PM2)7,2,0 City of HB Portfolio Management Activity BY Type e Page August 1, 2011 through August 31, 2011 Stated Transaction Purchases Redemptions cusip Investment# Issuer Rate Date or Deposits orWithdrawals Balance Federal Agency issues-Coupon 31331KKN9 3879 Federal Farm Credit Bank 1.360 08/22/2011 0.00 3,000,000.00 3133XUNE9 3785 Federal Home Loan Bank 2.750 08/19/2011 0.00 2,000,000.00 313371VWV2 3866 Federal Home Loan Bank 1AS0 08/11/2011 0.00 3,000,000.00 313373RBG 3878 Federal Home Loan Bank 2.000 08/26=11 0.00 3,000,000.00 31398A2A9 3844 Fed.Nat l MorL Assoc. 2.125 08/05=11 0.00 2,000,000.00 Subtotal 0.00 13,000,000.00 91,910,306.76 Local Agency investment Funds (Monthly Summary) SYS2206 2206 LAIF-Redevelopment Agency 0.408 0.00 6,500,000.00 Subtotal 0.00 6,500,000.00 49,236,271.22 Medium Term Notes 084664ATS 3895 Berkshire Hathaway Fin 4.8S0 08/26/2011 1,459,392.40 0.00 Subtotal 1,459,392,40 0.00 22,504,741.01 Money Market ACct (Monthly Summary) Subtotal 0.00 N Total IAW,392.40 19,500,000.00 163,650,317.98 H CD Portfolio CITY N AP Run Date:09/15=11-11:51 PM(PRF_PM3)7.2.0 F--+ Report Ver.7.3.2 0 CD N City of HB Portfolio Management Page 1 Activity Summary August 2010 through August 2011 Yield to Maturity Managed Number Number Month Number of Average 360 365 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Tenn Days to Maturity August 2010 47 162,076,756.20 1.320 1,338 0.513 7 8 641 4$3 September 2010 46 154,161,946.43 1.383 1.402 0.500 8 9 744 555 October 2010 42 147,479,654.35 1.393 1.412 0.480 1 5 752 542 November 2010 39 141,605,221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144,716,923.18 1.337 1.356 OA62 12 5 869 712 January 2011 49 163,147,527AS 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0,512 0 0 889 701 March 2011 47 160,698,872A9 1.353 1.372 0.500 0 2 890 677 April 2011 44 157,507,665.91 1.292 1.309 0.588 0 3 845 647 May 2011 46 157,665,657.64 1.242 1.259 0.413 4 2 869 679 June 2011 45 166,927,847.24 1.278 1,296 0.448 9 10 901 745 July 2011 43 183,784,185.57 1.269 1.286 0.381 3 5 940 784 August 2011 39 169,814,312.73 1.263 1281 0,408 1 5 936 761 Average 45 159,621,879.23 1.314°/6 1.332% 0.477 4 4 833 650 b7 w 0 Portfolio CITY AP Rim Date:09M 512011-11:51 PM(PRP_PM4)7.2.0 Report Ver.7.3.2 City of HB (Portfolio Management Page 1 Interest Earnings Summary August 31, 2011 August 31 Month Ending Fiscal Year To Date CD/Coupon/Discount.Investments: Interest Collected 96,233.33 1,572,154.30 Plus Accrued Interest at End of Period 394,657.17 390,157.17 Less Accrued Interest at Beginning of Period ( 339,914.18) ( 407,806.68) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 150.976.32 1,554,505.79 Adjusted by Premiums and Discounts -4.206.57 -36,819.30 Adjusted by Capital Gains or Losses 0.00 72.473.06 Earnings during Periods 146,769.75 1,691,169.54 Pass Through securities: Interest Collected 0.00 0,00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0,00 Cash/Checking Accounts: Interest Collected 0.00 289,191.50 Plus Accrued Interest at End of Period 38,389,15 38,389.15 Less Accrued Interest at Beginning of Period ( 21,154.86) ( 79.324.45) Interest Earned during Period 17,234.29 248256.20 Total interest Earned during Period 160,210.61 1,802,761.99 Total Adjustments from Premiums and Discounts -4,206.57 -35,819.30 Total Capital Gains or Losses 0.00 72,473.05 Total Earnings during Period 164,004.04 1,839,415.74 Cl) !� Portfolio CITY r� AP N Run Date:09/1=011-11:51 PM(PRF PM8)720 r Report Ver.7.3.2 N Council/Agency Meeting Held:_ Deferred/Continued to: .Approved Conditional Ap rove ❑ Denied ffaer Si s tune Council Meeting Date: September 19, 2011 Department ID Number: CT 11-009 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's July 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for July 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for July 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. Item 1. - 1 HB -34- REQUEST FOR COUNCIL ACTION MEETING DATE: 9/19/2011 DEPARTMENT ID NUMBER: CT 11-009 Analysis: Not Applicable. Environmental Status: Not Applicable Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment is 1. Monthly Investment Report and Summary of Investments for July 2011 xB -35- Item 1. - 2 AT TACHMENT # 1 " 4 f City of Huntington Beach Monthly Investment Report Period Ending: July 31, 2011 ff. Prepared by: ►glisa Cutchen, City Treasurer Portfolio Overview: Portfolio composition as of July 31, 2011: %of YTM Investment7ype Market Value Book Value Portfolio 365-day Policy Limit Federal Agency Issues 105,118,082 104,907,839 58% 1.656 None Local Agency Investment Fund (tAIF) 55,735,271 55,735,271 31% 0.381 $60 million MediumTerm Motes-Corporate 21,407,150 21,052,022 12% 1.841 20% Totals $182,260,503 $181,695,132 1000/ 1.286 As of July 31, 2011, the market value of the investment portfolio was $182,260,503, with a book value of $181,695,132. This is slightly lower than the previous month's market value of $183,543,011 and book value of$182,964,132 due primarily to investment calls and maturities. The portfolio is invested in only those investments allowable by State regulations and the City's Investment Policy. Such investments are purchased to meet the portfolio objectives of preservation of principal, maintenance of sufficient operating liquidity, and to attain a market rate of return throughout budgetary and economic cycles, in that order of absolute priority. Portfolio Earnings and Performance: Monthly Earnings $174,795 Monthly Budgeted Interest Income $156,250 Monthly Effective Rate of Return 1.12% Fiscal YTD Earnings $1,675,412 Fiscal YTD Budget $115621500 Fiscal YTD Effective Rate of Return 1.27% Benchmark(1) 0.47% Bank Cash Balance $722,899 (1)Senchmark: The average ofthe monthlyLAlFrate andthe 12-month rolling average 2-yea r Consta nt Maturity Treasury(CMT)rate. Monthly investment income as of July 31, 2011 was $174,795. The monthly effective rate of return of 1.12% was down from the previous month's rate of return of 1.59%. This was due partially to the previous month's rate, including some capital gains with bonds being called; however, the portfolio yield overall continues to decline as expected, .due to the historically low interest rates. It is anticipated that the portfolio yield will remain at these low levels and that it will take some time for portfolio yields to increase, even as interest rates begin to move upward, as existing securities will continue to remain in the portfolio until maturity unless sold. HB -37-2 Item 1. - 4 Earnings History $250,000 e r ' h $200,000 ` \ f J ' $150,000 7, l r t $100,000 ��s L � 1 CW W -50,o00 n. ..:..r r.. ,,..._.. ,..ti 4 c t t '°a, at ,oet ,oa` c� act ,arm a eQQt� O°a o°a� caatc )acy Pao aQ�Oto O�~�0 o°a �0F 'aaJaga �atG �V9 ^ ry�� Portfolio Activity: Security maturities and calls totaled $13 million for the month. Of these, 4 Agency bonds were called for a total book value of $11 million. These bonds were called due to the current low interest environment, hence allowing the issuer to issue bonds at current lower rates, 1 corporate bon matured for a total of $2 million. Purchases for the month totaled $15,998,500. This purchase was made up of 3 Agency securities. Compliance: The portfolio is in conformity with all State laws and the Investment Policy statement filed with the City Council on December 20, 2010. A copy of this policy is available at the office of the City Clerk. The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Additional Investment Information: Balances- Market Value: June 30, 2011 July 31, 2011 Inc. Dec. Bond Proceeds: Reserve Balance (1) $12,503,391 $15,529,752 24.20% Deferred Compensation Balance (2) $89,709,843 n/a Retiree Medical Trost Balance (2) $9,726,144 n/a Supplemental pension Trust Balance $31,015,183 $30,820,966 -0,63% Notes: (1)increase from June to July due to funds included for current payment due. (2) Deferred Compensation and Medical Trust Statements are received quarterly only. Item 1. - 5 HB -38-2 City of Huntington Beach City of Hi3 2000 Main St Portfolio Management Huntington Beach_ on, OQ �F�DUrJ�1�P`�� Portfolio Summary July 31, 2011 Par Market Book %of hays to YTM YTM Investments Value Value Value Portfolio Term Maturity 360 Equiv. 365 Equiv. Federal agency Issues..Coupon 105,000,000.00 105,118,OB1.69 104,907 838,81 57.74 1,40 1,294 1.633 1,666 Local Agency Investment Funds 55,735,271.22 55,735,271.22 55,735,271.22 30.68 1 1 0.376 0.381 Medium Term Notes 217000,000.00 21,407,150.00 21,052,022-12 11.69 1,094 317 1.815 1.841 181,736,271.22 182,260,602.91 181,695,132,15 100.00% 940 784 1.269 1.286 Investments Total Earnings July 31 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 174,795.48 1,675,411.70 Current Budget 156,250.00 1,502,500.00 1,875,000.00 Last Year Actual 197,881.00 2,184,231.00 2,522,076.00 Average Daily Balance 183,784,185.67 158,870,922.18 Effective Rate of Return 1.120/0 1.27% 1 certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State taws and the Investment policy statement filed with the City Council on x December 20,2010. A cop f this policy is available at the office of the City Clerk_The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. td Market�lue,s provided,by Non Bank via Interactive Data Corporation. ry J ✓lam ,4' LJ��i- L Alisa'Cutchen,CITY TREASURER I--1 r-r Reporting period 0710112011-0713112011 Portfolio CITY AP Y-- Run Date:O8r22/2011-10:00 PM(PRF PM1)72.0 • Report Ver.7.3.2 I CD City of HB -_A Portfolio Management Page 4 Portfolio Details -Investments July 31, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues-Coupon 31331,15E9 3867 Federal Farm Credit Bank 12/15/2010 3,000,000.00 3,028,620.00 3,000,000.00 2.480 AA 2.480 1,597 12/15/2015 31331 KKN9 3879 Federal Fame Credit Bank 05/12/2011 3,000,000.00 3,005190.00 3,000,000.00 1.360 AA 1,360 1,015 05/12/2014 31331 KMV9 3883 Federal Farm Credit Bank 06/0712011 5,000,000.00 5,000,000.00 5,000,000.00 1.000 AA 1-000 949 03107/2014 3133XUNE9 3785 Federal Home Loan Bank 0812612009 2,000,000.00 2,010,200.00 2,00D,000.00 2.750 AA 2.750 749 08/19/2013 313371SV9 3862 Federal Home Loan Bank 12/09/2010 3,000,000.00 3,001,410.00 3,000,000.00 2.000 AA 2.000 1,591 12/09/2015 31337IU53 3863 Federal Home Loan Bank 12110/2010 3,000,000.00 3,001,140.00 3,000,000.00 1.500 AA 2.129 1,592 121l012015 313371WW2 3866 Federal Home Loan Bank 12/17/2010 3,000,000.00 3,002,190.00 3,000,000.00 1.450 AAA 1.450 1.143 09/17/2014 313373RBO 3878 Federal Home Loan Bank 05/26/2011 3,000,000.00 3,010,470.00 3,000,000.00 2,000 AA 2.420 1,760 0512W2016 313373QJ4 3880 Federal Home Loan Bank 05/25/2011 3,000,000.00 3,009,810.00 3,000,000.00 1A25 AA 1.126 847 11/25/2013 3133747171 3885 Federal Home Loan Bank 06/27/2011 5,000,000.00 5,000,000,00 5,000,000.00 0.700 AA 0,700 768 09/27/2013 313374FB1 3890 Federal Home Loan Bank 07/11/2011 6,000,000.00 5,998,530,30 5,998,530.30 1.000 AA 1.009 984 04/11/2014 3134G1UE2 3860 Federal Home Loan Mort Corp 09/23/2010 2,000,000.00 2,001,400.00 1,999,171.11 1.250 AA 1.235 1,514 09/2312015 3134G2KA9 3881 Federal Home Loan Mort Corp 05/27/2011 5,000,000.00 5,000,800.00 5,000,000-00 1.250 AA 1,250 1,031 06/2812014 3134G2JG8 3882 Federal Home Loan Mort Corp 06A3/2011 5,000,000.00 4,998,805.56 4,998,805.56 0.500 AA 1.968 1,047 06/13/2014 3134G2MG4 3886 Federal Home Loan Mort Corp 06/30/2011 5,000,000,00 5,000,000.00 5,000,000.00 1.500 AA 2.22E 1,795 06/3012016 3134G2LY6 3892 Federal Home Loan Mort Corp 06/29/2011 5,000,000.00 5,000,000.00 5,000,000,00 2.000 AA 2.000 1.794 06/2912016 x 31398A2A9 3944 Fed.NaYI MorL Assoc. 08/0612010 2,000,000.00 2,006,200.00 2,000,000,00 2.125 AA 1,903 1,465 08/05/2016 31398A31-4 3854 Fed.Nat'l Mort.Assoc. 09/17/2010 3-000,000.00 3,030,750.00 3,000,000.00 1,125 AA 1.125 778 09117/2013 p 3136FPUM7 3861 Fed.Nat'l Mort.Assoc. 10/29/2010 3,000,000.00 3,006,540.00 2,998,726.67 1.125 AA 1.962 1.550 10/29/2015 3136FPYL5 3868 Fed,Nat'l Mort.Assoc. 12/1012010 2,000,000.00 1,994,300.00 1,968,325.74 1,000 AA 1.530 1,128 09/02/2014 3136FPV79 3871 Fed.Nat'l Mort.Assoc. 12/28/2010 3,000,000.00 3,021,750.00 3,000,000.00 1.50D AA 2.814 1,61D 1212812015 3136FPYL5 3872 Fed,Nat'l Mort,Assoc. 12/3112010 3,000,000.00 2,991,450.00 2,945,753.60 1,000 AA 1.606 1,128 09/02/2014 3136FRQJ5 3884 Fed.Nat'€Mort.Assoc. 06120/2011 5,000,000.00 5,000,000,00 5,000,000.00 1,170 AA 1-170 1,054 06/20/2014 3136FRTW3 3887 Fed.Na£l Mort.Assoc. 06/30/2011 5,000,000-00 5,000,000.00 5,000,000.00 1.100 AA 1.100 1,064 06/30/2014 3136FRTD5 3888 Fed.Nat'[Mort.Assoc. 06/3012011 3,000,000.00 2,998,525 83 2,998,525.83 1.500 AA 2.240 1,795 06/30!2016 3136FRVH3 3889 Fed.Nat'l Mort.Assoc. 06/29/2011 5,000,000,00 5,000,000.00 5,000,000.00 1.500 AA 2,229 1,794 06/29/2016 3136FRVXB 3891 Fed,Nat'I Mort,Assoc- 07105/2011 5,000,000,00 5,000,000.00 5,000,000.00 2.200 AA 2.200 1,800 07/0512016 3136FRD59 3893 Fed,Natll Mort.Assoc. 07/25/2011 5,000,000-00 5,000,000.00 5,000,000.00 1.125 AA 1.125 1,089 07/2512014 Subtotal and Average 103,107,493.64 105,000,000.00 105,118,081.69 104,907,838.81 1.656 1,294 Local Agency Investment Funds SYS982 982 Laif City 29,929,657.55 29,999,657.55 29,999,667.55 0,381 0.381 1 SYS2206 2206 LAIF-Redevelopment Agency 25,735,613.67 25735,613.67 25,735,613.67 0,381 0.381 1 Subtotal and Average 58,628,581.58 56,735,271.22 55,735,271.22 58,735,271.22 0.381 1 Portfolio CITY AP Run Date:0812MOl l-10,00 PM(PRF_PM2)7.20 ,t Ver.7.32 City of HB Portfolio Management Page 2 Portfolio Details - Investments July 31, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Medium Term Notes 06050BAJO 3734 Bank of America FDIC Insured 04/30/2009 2,000,000.00 2,043,660.00 2,009,403,14 2.376 AA 1.830 326 06/22/2012 17314AAF9 3723 Citigroup FDIC Insured o3/30/2009 2,000,000.00 2,030,840.00 1,998,809.43 2.000 AA 2.093 242 03/30/2012 36967HBB2 3805 GE Capital FDIC Insured 11/03/2009 2,000,000.00 2,044,840.00 2,006,296.90 2.000 AA 1.720 424 09/28/2012 36967HAN7 3733 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,031,420.00 2,006,552.91 2.250 AA 1.701 224 03/12/2012 36967HAHO $735 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,038,460.00 2,005,772.04 2200 AA 1.850 312 06/08/2012 36186CSF9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,054,900.00 1,995,757.63 2.200 AA 2.361 506 12119/2012 36185JAA7 3804 GMAC FDIC Insured 1110312009 2,000,000.00 2,039,580.00 1,999,182.88 1.750 AA 1.784 456 10/30/2012 481247AKO 3738 JP Morgan Chase FDIC Insured 04/3012009 2,000,000.00 2,037,240.00 2,007,262.47 2.200 AA 1.770 319 06/16/2012 49328CAA3 3770 Key Bank FDIC Insured 06/30/2009 2,000,000.00 2,059,320.00 2,020,219.83 3.200 AA 2.000 319 06f15/2012 61757UAF7 3736 Morgan Stanley FDIC Insured 04/30/2009 2,000,000.00 2,011,860.00 2,001,693.29 2.000 AA 1.390 52 09/22/2011 91160HAC1 3743 US Bank FDIC Insured 05/19/2009 1,000,000-00 1,015,030.00 1,001 071.60 1.800 AA 1,660 288 05/15/2012 Subtotal and Average 21,%8,110.45 21,000,000.00 21,407,150.00 21,062,022.12 1.841 317 Money Market Acct SYS3802 3802 Union Bank-US Govt MMF 0.00 000 000 0.050 0.050 1 SYS3789 3789 Union Bank-US Trea MMF 0,00 0.00 0.00 0.020 AAAmf 0.020 1 Subtotal and Average 0.00 0.00 0.00 0.00 0.000 0 Total and Average 183,784,186.67 181,735,271.22 182,260,602.91 181,696,132.16 1.286 784 F--1 CD Portfolio CITY AP �._..+ Run Date'08/22/2011-10.00 PM(PRF_PM2)7.2.0 1 Cb City of WB Portfolio Management Page 1 Portfolio ®etails-Investments May 31, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment.# Issuer Balance Date Parvalue Market.Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues-Coupon 31331JRT2 3833 Federal Farm Credit Bank 06/15/2010 2,000,000.00 2,002,080.OD 2,000,000.00 2.620 AAA 2,262 1,475 06/1512015 31331JZK2 3850 Federal Farm Credit Bank 08/26/2010 3,000,000.00 3,000,420.00 3,000,000.00 1.060 AAA 1.050 817 08/26=13 31331J5E9 3867 Federal Farm Credit Bank 12/15/2010 3,000,000.00 3,028,620.00 3,000,000.00 2.480 AAA 2.480 1,658 12115/2015 31331J6T5 3875 Federal Farm Credit Bank 01107/2011 3,000,000.00 3.001,680,00 3,000,000.00 0.890 AAA 0.890 586 01/0712013 31331 KKN9 3879 Federal Farm Credit Bank 05/12/2011 3,000,000.00 3,005,190.OD 3,ODO,000.00 I.360 1.360 1,076 05/1212014 3133XUNE9 3785 Federal Home Loan Bank 08/26/2009 2,000,000.00 2,010,200.00 2,000,000.00 2.750 AAA 2.750 810 08/19/2013 313370EG9 3843 Federal Home Loan Bank 07/28/2010 2,000,000.00 2,004,660.00 2,000,000.00 1.125 AAA 2.572 1,518 07/28/2015 313370=3 3859 Federal Home Loan Bank 09/20/2010 3,230,000.00 3,231,485.80 3,230,000.00 1.550 AAA 1.550 1,202 09/1512014 3133713V9 $862 Federal Home Loan Bank 121091201D 3,000,000,00 3,001,410.00 3,000,000.00 2.000 AAA 2,000 1,652 12/09/2015 313371U53 3863 Federal Horne Loan Bank 12 I012010 3,000,000.00 3,001,140.00 3,000,000.00 1.500 AAA 2.129 1,653 12/10/2016 313371XSD 3865 Federal Home Loan Bank 1211612010 2,000,D00.00 2,000,920.00 2,000,000.00 1.000 AAA 1.000 1,659 1211612015 3133711AW2 3866 Federal Home Loan Bank 12117/2010 3,000,000.00 3,002,190.00 3,000,000.00 1A50 AAA 1ASO 1,204 09117/2014 313373RBO 3878 Federal Home Loan Bank 05/2612011 3,000,000,00 3,010,470.00 3,000,000.00 2.000 2.420 1,821 05/26/2016 313373QJ4 388o Federal Home Loan Bank 05/25/2011 3,000,000.00 3,009,810.00 3,DOO,000.00 1.125 1.125 908 11/2512013 3134G1TX2 3855 Federal Home Loan Mort Corp 09/23/2010 2,000,000.OD 2,001,080.00 2,00000.00 1,500 AAA 1.500 1,118 06/2312014 3134G1TYO 3856 Federal Home Loan Mort Corp 0912412010 2,000,000.00 2,01,660.00 2,000,000.00 1.250 AAA 2.318 1,576 09/24/2015 3134G1UE2 3860 Federal Home Loan Mort Corp 09/23/2010 2,000,000.00 2,001,400.00 1,999,137.78 1.250 AAA 1235 1,575 09/23/2015 3134G1 L44 3870 Federal Home Loan Mort Corp 1212812010 3,000,000,00 3,001,620.00 2,996,887.50 1.000 AAA 1.051 758 06/28/2013 3134G2KA9 3881 Federal Home Loan Mort Corp 05/27/2011 5,000,000.00 5,000,800.00 5,000,000.00 1.250 1.250 1,092 05/28/2014 ' 3136FMQ23 $835 Fed.Nat'l Mort Assoc. 06/2812010 2,000,000.00 2,002,080.00 2,000,000.00 2,000 AAA 2.000 1,216 09/29/2014 31398A2A9 3844 Fed.Nat'l Mort.Assoc. 0810512010 2,000,000.00 2,008,200.00 2,000,000.00 2.125 AAA 1,903 1,526 08/05/2015 31398A31.4 3854 Fed.Nat'l Mort.Assoc. 09/1712010 3,000,000.00 3,030,750.00 3,000,000,00 1.125 AAA 1.125 839 09/17/2013 3136FPUM7 3861 Fed.Narl Mort.Assoc. 10/29/2010 3,000,000.00 3,006,540.00 2,998,676.67 1.125 AAA 1.962 1,611 10/29/2015 3136FPYL5 3868 Fed.Nat'l MorL Assoc. 12/1012010 2,000,000.00 1,994,300.00 1,966,615.16 1.000 AAA 1.530 1,189 09/02/2014 3136FPV79 3871 Fed.Nat]MorL Assoc. 12J2812010 3,000,000.00 3,021,750.00 3,000,000.00 1.500 AAA 2.814 1,671 12128I2016 3136FPYL5 3872 Fed.Nat'l MorL Assoc. 12/31/2010 3,000,000.00 2,991,450.00 2,942,824.00 1.000 AAA 1.606 1,189 09102/2014 3136FPH75 3873 Fed.Nat'l Mort.Assoc. 12/31/2010 3,000,000.00 3,001,380.00 2,983,893.41 1.000 AAA 1.729 1,295 12/1712014 3136FPP84 3874 Fed.Nat'l Mort Assoc. 1213112010 3,000,000,00 3,005,100.00 2,962Z 0.42 2.050 AAA 2.343 1,673 12130C2016 3136FPZSI 3876 Fed.Nat'l Mort.Assoc. 01/21/2011 3,0OD,000.00 3,004,440.00 3,000,000.00 1.750 AAA 1.750 1,146 07121=14 3136FP2CO 3877 Fed.Nat'l Mori Assoc. 01/06/2011 3,000,000.00 3,002,940.00 3,000,000,00 1.500 AAA 1.500 950 01/0612014 Subtotal and Average 74,981,808.13 82,230,000.00 82,383,766.60 $2,080,244.94 1.724 1,267 Local Agency Investment Funds SYS982 982 LaitCity 29,999,029.87 29,999,029.87 29,999,029.87 0.413 0.413 1 3.YS2206 2206 LAIF-Redevelopment Agency 30,000,000.00 30,000,000.00 30,000,000.00 0.413 OA13 1 N Portfolio CITY r AP F--+ in Date:OW3/2011•i 1:34 PM(PRF_PM2)7,2.D W CD - N City of H13 Portfolio Management Page 2 -P Portfolio Details -investments May 31, 2011 Average Purchase stated YTM Days to Maturity CUSIP Investment# Issuer Balance 'Date Par Value Market Value Book Value Rate S&P 366 Maturity Date Subtotal and Average 59,358,255.68 59,999,029.87 59,999,029.87 69,999,029.87 0.413 1 Medium Term Notes 0$0508AJO 3734 Bank of America FDIC Insured 04/30/2009 2,000,000.00 2,043,660.00 2,011,160.74 2.375 AAA 1.830 387 06/22/2012 17314AAF9 3723 Citigroup FDIC Insured 03130/2009 2,000,000.00 2,030,840.00 1,998,510,54 2.000 AAA 2.093 303 03/30/2012 36967HB82 3$05 GE Capital FDIC Insured 11/03/2009 2,000,000.00 2,044,840.00 2,007,202.93 2.000 AAA 1.720 485 09/28/2012 36957HAN7 3733 General Electric Cep FDIC Insu 04/30/2009 2,000,000-00 2,031,420.00 2,008,3$1.98 2.250 AAA 1.701 285 03/12/2012 36967HAHD 3735 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,038,460.00 2,006,90D.13 2.200 AAA 1.850 373 06/08/2012 36186CBF9 3763 GMAC FDIC Insured 06/3012009 2,000,000.00 2,064,900.00 1,995,246.50 2.2DO AAA 2.361 567 12 I912012 36185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,039,580.00 1,999,07$.69 1.750 AAA 1.784 517 10/30/2012 3814$FAF8 3732 Goldman Sachs FDIC Insured 04127/2009 2,000,000.00 2,003,020.00 2,000,417.94 1.625 AAA 1.450 44 07/15/2011 481247AKO 3738 JP Morgan Chase FDIC Insured 04/30/2009 2,000,000.00 2,037,240.00 2,008,650.20 2.200 AAA 1.770 380 06/15/2012 49328CAA3 3770 Key Bank FDIC Insured 06130/2009 2,000,000.00 2,059,320.00 2,024,083,49 3.200 AAA 2.000 380 06/15/2012 61757UAF7 3730 Morgan Stanley FDIC Insured 04/30/2009 2,000,000.00 2,011,860.00 2,003,685A1 2.000 AAA 1.390 113 09/22/2011 91160HACI 3743 US Bank FDIC Insured 05/19/2009 1,000,000.00 1,015,030.00 1,001,297.99 1.800 AAA 1.660 349 05/15/2012 Subtotal and Average 23,326,593.83 23,ODD,000.00 23,410,770.00 23,064,561.64 1,807 349 x Money Market Acct SYS3802 3802 Union Sank-US Gov t MMF 0.OD 0.00 0.00 0,050 0.050 1 p SYS3789 3789 Union Bank-US Trea MMF 0.00 0.00 0.00 0.020 AAAmf 0.020 1 O Subtotal and Average 0.00 0.00 0.00 0.00 0.000 0 Total and Average 157,666,657.64 105,229,029.87 166,793,566.67 165,143,838.35 1.259 679 Portfolio CITY AP Run Crate:Or 111-11:34 PM(PRF PM2)7.2.0 City of 1-113 Portfolio Management Page 3 Portfolio Details -Cash May 31, 2011 Average Purchase Stated YTM pays to CUSIP investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Average Balance 0.00 Acorued Interest at Purchase 1,166.67 1,166.67 0 Subtotal 1,166.67 1,166.67 Total Cash and Investments 167,665,657.64 165,229,029.87 165,794,732.34 165,145,003.02 1.259 679 41 CD N Portfolio CITY AP I� un Date:06f23r2011-11:34 PM(PRF'_PM2)7.2.0 C!1 State of California Pooled Money Investment Account Market Valuation 5/31/2011 United States Treasury: Bills $ 24,416,193,827.82 $ 24,459,548,000.00 NA Notes $ 8,704,552,510.93 $ 8,763,738,000.00 $ 22,312,365.50 Federal Agency, SBA $ 534,095,831.80 $ 532,836,517.66 $ 571,928.40 MBS-RBMICs $ 479,799,056.74 $ 521,036,753,40 $ 2,273,665.02 Debentures $ 1,376,412,463.48 $ 1,377,952,750.00 $ 1,513,811.76 Debentures FR $ - $ - $ - Discount Notes $ 8,387,954,229.06 $ 8,416,610,430,00 NA GNMA $ 48,53&51 $ 49,668.63 $ 479.42 IBRD Deb FR $ 300,000,000.00 $ 300,663,000.00 $ 149,625.00 CDs and YCDs FR $ 800,000,000.00 $ 800,000,000,00 $ 77,975.01 Bank Notes $ 650,000,000.00 $ 650,143,849.80 $ 580,972.22 CDs and YCDs $ 9,200,132,753.56 $ 9,200,667,027.54 $ 4,358,638.92 Commercial Paper $ 6,341,118,490.39 $ 6,343,707,138.90 NA Corporate: Bonds FR $ - $ - $ - Bonds $ - $ - $ - Repurchase Agreements $ - $ - $ Reverse Repurchase $ - $ - $ - Time Deposits $ 3,977,640,000.00 $ 3,977,640,000.00 NA AB 55&GF Loans $ 4,277,380,514.22 $ 4,277,380,514,22 NA TOTAL $ 69,445,328,211.51 $ 69,621,972,650.15 1 $ 31,839,461,24 Fair Value Including Accrued Interest $ 69,653,812,111.39 Repurchase Agreements, Time Deposits, AB 55 &General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value(carrying cost). Item 2. - 16 HB -42- ATTACHMENT #2 City of Huntington Beach N Deferred Compensation Plan Summary Information as of March 31, 2011 00 Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (12-31-10) (3-31-11) ICMA Retirement Corporation (457 Plan) $30,002,034 $606,565 ($749,783) $1,007,802 ($2,028) $30,864,590 ICMA Retirement Corporation (401 Plan) $1,182,158 $43,635 $0 $37,782 $0 $1,263,575 Nationwide Retirement Solutions (457 Plan) $56,406,403 $975,844 ($792,587) $1,656,224 ($2,984) $58,242,900 Total Deferred Compensation Plan Balances $87,590,595 $1,626,044 ($1,542,370) $2,701,808 ($5,012) $90,371,065 x td ATTACHMENT #3 CD N City of Huntington Beach N Retiree Medical Trust Information as of March 31, 2011 Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (1-1-11) (3-31-11) CalPERS Retiree Medical Trust Account $9,726,144 $0 $390,762 ($1,292) $10,115,613 7 ATTACHMENT #4 CD N City of Huntington Beach N Supplemental Pension Trust Information N as of May 31, 2011 Beginning Contributions/D Distributions/ Earnings Other Ending Balance ividends Transfers (change in value) Balance (4-30-11) (5-31-11) Supplemental Pension Trust Account $31,861,506 $21,716 ($382,477) $31,500,745 .. C 7 r Council/Agency Meeting Held: O �� Deferred/Continued to: 4�Approv ❑Conditionally Approved ❑ Denied C lerk' Signat Council Meeting Date: June 20, 2011 Department ID Number: FN 11-010 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's April 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly /Investment Report for April 2011 pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for April 2011 pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. 11 B -2 - Item 2. - I REQUEST FOR COUNCIL ACTION MEETING DATE: 6/20/2011 DEPARTMENT ID NUMBER: FN 11-010 Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): a Docription 1. Monthly Investment Report and Summary of Investments for April 2011 2. Deferred Compensation Plan Summary Information 3. Retiree Medical Trust Investments 4. Su plernental Pension Trust Investments Item 2. - 2 11B -22- AT TACLnJMENT # 1 City of Huntington Beach Summary of City Investment Portfolio Deferred Compensation, Retiree Medical Trust,and Deferred Compensation Trust Activity for April 2011 City Investment Portfolio: March April Inc./(Dec.) End of month City Portfolio Book Balance $157,349,376 $155,382,626 ($1,966,750) End of Month City Portfolio Market Value $157,390,954 $155,905,597 ($1,485,357) End of month General Fund Balance $43,243,543 $56,583,618 $13,340,075 Monthly Effective Portfolio Rate of Return 1.26% 1.28% 0.02% Average Maturity Portfolio( in days) 677 647 (30) End of month bank cash balance" $6,522,287 $27,943,450 $21,421,163 Deferred Compensation Investments:** December March Inc./(Dec.) Participant Balances $87,590,595 $90,371,065 $2,780,470 Retiree Medical Trust:" December March Inc.l(Dec.) Trust Balance $9,726,144 $10,115,613 $389,469 Supplemental Pension Trust: March April Inc.l(Dec.) Trust Balance $30,926,171 $31,861,506 $935,335 Comparison to Budget/City Portfolio: Budget Actual Inc.l(Dec.) Interest Earned for Month $156,250 $166,217 $9,967 Interest Earned Year to Date $1,093,750 $1,139,129 $45,379 Earned Interest Yield Year to Date 1.25% 1.27% 0,02% Average Daily Balance $150,000,000 $154,264,161 $4,264,161 *increase in Bank Balance for April due to Receipt of Property Taxes YzDeferred Compensation and Medical Retiree Statements are issued quarterly. Summary by Individual Investment in City Investment Portfolio-Book Value: 365 Days YTM Int. April % of Total Policy Limit to Mat. Rate Federal Agency Issues-Coupon $71,076,692 46% None 1291 1.75% Local Agency Inv. Fund (LAIF) $59,235,030 38% $60 million 1 0.58% Medium Term Notes $25,070,904 16% 20% 350 1.77% $155,382,626 1000/0 647 1.31 Item 2. - 4 llf3 .24- ��taT I NGTO OtC is°uourEn yd --••� c� City of Huntington Beach a n St City of HB Huntington Beach, 9 _ Portfolio Management Portfolio Summary April 30, 2011 Investments Par Market Book 'ti ty YTM �366 Value Value Value Portfolioio Term Maturity 360E Equiv. Equiv. Federal Agency Issues-Coupon 71,230,000.00 71,238,256.70 71,076,692.00 45.74 1,479 1,291 1.723 1.747 Local Agency Investment Funds 59,235,029.87 59,235,029.87 59,235,029.87 38.12 1 1 0.580 0.568 Medium Term Notes 25,000,000,00 25,432,310.00 25,070,904.01 16.13 1,042 350 1.749 1.774 Investments 156,465,029.87 155,906,696,57 155,382,625.88 100.00% 845 647 1.292 1.309 Cash and Accrued Interest Accrued Interest at Purchase 1,166.s7 1,166.67 Subtotal 1,166.67 1,166.67 Total Cash and Investments 155,465,029.87 155,906,763.24 i55,383,792.55 845 647 1.292 1,309 Total Earnings April 30 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 166,2%81 1,139,129,10 l-> Current Budget 156,250.00 1,093,750.00 1,875,000.00 1 r1 Last Year Actual 212,357.00 1,537,417.00 2,522,076.00 Average Daly Balance 167,507,665.91 154,264,160.79 Effective Rate of Return 1.28% 1.27% 1 oertify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on December 20,2010. A copy f this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market lue provided y nion an a k Aeractive Data Corporation. Alisa utchen,CITY TREASURER H r-t CD Reporting period D410112011-0413012011 Portfolio CITY N AP Run Date;OSM612011-M30 PM(PRF_PMI)7.2.0 t ROPOM Ver.7.3.2 C!1 N City of HB PortfoUo Management page 1 Portfolio Details -Investments April 30, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues•Coupon 31331JRT2 3833 Federal Farm Credit Bank 06/16/2010 2,000,000.00 2-006,500.00 2,000,000.00 2.620 AAA 2.262 1,506 06/15/2015 31331JZK2 3850 Federal Farm Credit Bank 08/26/2010 3,000,000.00 3,000,270.00 3,000,000.00 1.050 AAA 1.OSO 848 06126/2013 31331JSE9 3867 Federal Fann Credit Bank 12/16/2010 3,000,000.00 3,006,570.00 3,000,000.00 2.460 AAA 2.480 1,689 12/1512015 31331J6T5 3875 Federal Farm Credit Bank 01/07/2011 3,000,000.00 3,002,640.00 3,000,000.00 0.890 AAA 0,890 617 01/07/2013 3133XUNE9 3785 Federal Home Loan Bank 08/26/2009 2,000,000.00 2,013,780.00 2,000,000.00 2.750 AAA 2.750 841 08/19/2013 313370EG9 3843 Federal Home Loan Bank 07128/2010 2,000,000.00 2,007,000,00 2,000,000.00 1,125 AAA 2.572 1,549 07128)2015 31337ONA2 3849 Federal Home Loan Bank 0813012010 3,000,000.00 3,001,110.00 3,000,000.00 0.600 AAA 1.218 650 08126/2013 313370X a 3859 Federal Home Loan Sank 09/20/2010 3,230,000.00 3,724,476.70 3,230,000.00 1.650 AAA 1.550 1,233 09/15/2014 313371 SVS 3862 Federal Home L.,an Bank 12/09/2010 3,000,000.00 2,992,980.00 3,000,000.00 2.000 AAA 2.000 1,683 12/09/2015 313371U53 3863 Federal Home Uon Bank 12 I012010 3,000,000.00 2,984,730.00 3,000,000.00 1.500 AAA 2.129 1,684 1211W2015 313371XSQ 3865 Federal Home Lean Bank 12/16/2010 2,000,000.00 2,002,580.00 2,000,000,00 1.000 AAA 1.00D 1,690 12/16.r2015 313371WN y 3866 Federal Home Lc;1r1 Bank 12/17/2010 3,000,000.00 3,002,190.00 3,000,000,00 1.450 AAA 1.450 1,235 09/17/2014 3IS4G1TX2 3855 Federal Home Loan Mort Corp 09/23/2010 2,000,000.00 1,993,760.00 2,000,000.00 1.500 AAA 1.600 1,149 06/23/2014 3134G1TYO 3856 Federal Home Loan Mort Corp 09/24/2010 2.000,000,00 2,003,700.00 2,000,000,00 1,250 AAA 2.31a 1,607 09/24120t5 3134G1 UE2 3860 Federal Home Loan Mort Corp 09/23/2010 2,OD0,000.00 2,003,240.00 1,099,121.11 1.250 AAA 1.235 1,606 09123/2015 3134GIL44 3870 Federal Home Loan Mort Corp IZf28/2010 3,000,000.00 3,003,240.00 2,996,762.50 1.000 AAA 1.051 789 06/2812013 3136FMQ23 3835 Fed,Nat?Mort.Assoc. 06/28/2010 2,000,000.00 2,003,300.00 2,000,000.00 2000 AAA 2,000 1,247 09/29/2014 I 31398A2A9 3844 Fed.Notl Mart.Assoc. 08/05/2010 2,000,000.00 1,995,940.00 2,000,000,00 2.125 AAA 1,903 1,657 08/0512015 ^. 31398A3L4 3854 Fed.Nod Mort Assoc. 00/17MIO 3,000,000.00 3,016,200.00 3,000,000.00 1.126 AAA 1.125 870 09/17/2013 3136FPUM7 3861 Fed.NMI Mort Assoc, 10/2912010 3,000,000.00 2,996,490,00 2,998,661,67 1.125 AAA 1,962 1,642 10/29/2015 3136FPYLS 3866 Fed,NatT Mort Assoc, 12110/2010 2,000,000.00 1,977,320.00 1,965,759.87 1,000 AAA 1,530 1,220 091022014 3136FPV79 3871 Fed,Nail Mort Assoc. 12/28/2010 3,000,000.00 3,022,110.00 3,000,000.00 1,500 AAA 2,814 1,702 12/28/2015 3136FPYL5 3872 Fed,Nat'l Mort,Assoc. 12131/2010 3,000,000.00 2,965,980.00 2,941,369.20 1.000 AAA 1.606 1,220 09/02/2014 3136FPH75 S873 Fed.Nat]Mort Assoc. 12/31/2010 3,000,000.00 3,004,140.00 2,983,514.73 1.000 AAA 1.729 1,326 12/1712014 3136FPP84 3874 Fed.Nafl Mort.Assoc. IV3112010 3,000,000.00 3,001,950.00 7,961,522.92 2.050 AAA 2.343 1,704 12/3012015 3136FPZ91 3876 Fed,Natl Mort,Assoc. 01/21=11 3,000,000.00 3,001,080.00 3,000,000.00 1.750 AAA 1.750 1,177 07/21/2014 3136FP2C0 3877 Fed,NaYI Mort,Assoc. 01/0612011 3,000,000,00 3,004,980,00 3,000,000,00 1.500 AAA 1.500 981 01/06/2014 Subtotal and Average 74,274,182.66 71,230,000.00 71,238,256.70 71,076,692.00 1.747 1,291 Local Agency Investment Funds SYS982 982 Leff City 29,235,029.87 29,235,029.87 29,235,029.87 0.588 0.588 1 SYS2206 2208 LAIF-Redevelopment Agency 30,000,000.00 30,000,000.00 30,000,000.00 0.588 0.988 1 Subtotal and Averaga 68,159,623.84 59,23$,029.87 50,235,029.87 69,235,029.87 0.588 1 Portfolio CITY AP Run Date:WOWM11-08:30 PM(PRF PM2)Z2.0 F 7.3.2 City of FIB Portfolio Management Page 2 Portfolio Details- Investments April 30, 2011 Average Purchase Stated YTM Daysto Maturity CUSIP Investment# Issuer Balance Date Per Value Market Volvo Book Value Rate S&P 366 Maturity Date Medium Terra Notes D6060BAJO 3734 Bank of America FDIC Insured 04/30/2009 2,000,000.00 2,046,380.00 2,012,039.54 2.375 AAA 1.830 418 06122/2012 17314AAF9 3723 Citigroup FDIC Insured 03/3012009 2,000,000.00 2,032,140.00 1,908,361.09 2.000 AAA 2.093 334 031=2012 17313YA67 3739 Citigroup FDIC Insured 05105/2009 2,000,000.00 2,000,060.00 1,999,996.78 1.375 AAA 1,390 4 05/05/2011 36967HB82 3805 GE Capital FDIC insured 1110=009 2,000,090.00 2,043,960.00 2,007,655.94 2.000 AAA 1.720 516 0912W,012 36967HAN7 $733 General Electric Cap FDIC Insu 04130/2009 2,000,000.00 2,033,860.00 2,009,221.51 2.250 AAA 1.701 316 03/12/2012 36967HAHO 3735 General Electric Cap FDIC Insu 04/3012009 2,000,000.00 2,041,200.00 2,007,464.17 2.200 AAA 1.850 404 06/08/2012 36186081`9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,054,860.00 1,994,990.94 Z200 AAA 2.361 598 12/19/2012 36185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,039,060.00 1,999,019.09 1.750 AAA 1.784 648 10/50/2012 38146FAF8 3732 Goldman Sachs FDIC Insured 04/27/2009 2,000,000.00 2,005,920.00 2,000,702.91 1.625 AAA 1.450 75 0711512011 481247AKO 3738 JP Morgan Chase FDIC Insured 04/3012009 2,000,000.00 2,040,920.00 2,009,344.07 2200 AAA 1.770 411 06115/2012 49328CAA3 3770 Key Bank FDIC Insured 06/3012009 2,000,000.00 2,064,720.00 2,026,015.32 3,200 AAA 2.000 411 06/1512012 61757UAF7 3736 Morgan Stanley FDIC Insured 04/30/2009 2,000,000.00 2,014,580.00 2,004,681.46 2.000 AAA 1,390 144 0912=011 91160HAC1 3743 US Bank FDIC Insured 05119/2009 1,000,000.00 1,014,650.00 1,001,411.19 1.800 AAA 1.660 380 05115/2012 Subtotal and Average 25,073,969A2 25,000,000.00 25,432,310.90 25,070,904.01 1.774 350 _ Money Market Aect SYS3802 3802 Union Bank-US Govt MMF 0.00 0.00 0.00 0.050 0.050 1 SYS3789 3789 Union Bank-USTrea MMF 0.00 0.00 0.00 0.020 AAAmf 0.020 1 f t Subtotal and Average 0.00 0.00 0.00 0.00 0.000 0 Total and Average 157,607,666.91 165,465,029.87 165,906,696.67 166,387,625.88 1.309 647 H e-+ C'D Portfolio CITY N AP Run Date:06106I201f-09:30 PM(PRF PM2)7.20 1 N N City of HB Oc Portfolio Management Page 3 Portfolio Details- Cash April 30, 2011 Average Purchase Stated YTM Days to CUSIP Investment# Issuer Balance Date Par Value Market Value Hook Valve Rate S&P 386 Maturity Average Balance 0.00 Accrued Interest at Purchase 1,166.67 1,166,67 0 Subtotal 1,366.67y 1,166.67 Total Cash and Investments 167,507,665.91 155,466,029.87 155,906,763.24 156,383,792.55 1.309 647 w r �a Portfolio CITY AP Run Oats:0610Fir2011.09:30 PM{PRF PM2}7.2.Q City of HB Portfolio Management Page 1 Activity By Type April 1,2011 through April 30, 2011 Stated Transaction Purchases Redemptlons CUSIP Investment# Issuer Rate Date or Deposits or Withdravals Balance Federal Agency Issues-Coupon 3128X7.IK1 3546 Federal Home Loan Mort Corp 3.250 04/14/2011 0.00 2,000,000.00 3128X8TZ5 3725 Federal Home Loan Mort Corp 2.500 04108/2011 0.00 2,000,000.00 3136F9MN0 3643 Fed.Nat?Mort.Assoc. 4.000 04/29/2011 0.00 1,999,200.00 Subtotal 0.00 6,999,200.00 71,076,692.00 Local Agency Investment Funds (Monthly Summary) SYS982 982 Laif City 0.588 4,035,029.87 0.00 SYS2206 2206 LAIF-Redevelopment Agency 0.588 37,539.63 37,539.53 Subtotal 4,072,569.40 37,639.62 59,235,029.87 Medium Term Notes Subtotal 25,070,904.01 Money Market Acct (Monthly Summary) Subtotal 0.00 Total 4,072,669.40 6,036,739.63 155,302,626.88 tJ w H e-� C'D N Portfolio CITY AP Run Date:OSM2011-09:30 PM(PRF PM3)7,20 Report Ver.7.3.2 N City of HB o Portfolio Management Page 1 Activity Summary April 2010 through April 2011 Yield to Maturity Managed Number Number Month Number of Average 360 366 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Terre Days to Maturity April 2010 55 160,226,735.19 1.432 1.452 0.688 9 5 662 499 May 2010 57 184,628,114.04 1.341 1.360 0.560 4 2 627 465 June 2010 55 188,112,806.29 1.331 1.350 0.628 5 7 634 460 July 2010 48 177,366,265.25 1,361 1.380 0.631 8 15 646 466 August 2010 47 162,076,756.20 1.320 1.338 0.513 7 8 641 453 September 2010 46 154,161,946.43 1.383 1,402 0.500 8 9 744 555 October 2010 42 147,479,664.35 1,393 1.412 OA80 1 5 752 542 November 2010 39 141,605,221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144,716,923.18 1.337 1.356 0,462 12 5 869 712 January 2011 49 163,147,527.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165.474.398.24 1.367 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 1.372 0.500 0 2 890 677 April 2011 44 157,507,665.91 1.292 1.309 0.588 0 3 845 647 Average 48 162,089,245.38 1.346% 1.3660/0 0,520 4 5 750 567 w 0 Portfolio CITY AP Run DPW 06AWD11-09 30 PM(PRF_PM4)7.2.0 -)ort Ver.7.3.2 City of HS Portfolio Management Page 1 Distribution of Investments By Type April 2010 through April 2011 April May June July August September October November December January February March April Average Security Type 2010 2010 2010 2010 2010 2010 2010 2010 2010 2011 2011 2011 2011 by Period Repurchase Agreements Certificates of Deposit Commercial Paper-Interest Bearing Federal Agency Issues-Coupon 36.7 33 8 33.9 34.2 33.8 40.4 37.4 31.6 46.9 48.8 49.4 49.0 45.7 40.0% Local Agency Investment Funds 33.4 31.7 31.8 36.7 37.5 39.6 42.2 41.9 38.2 36.1 35.3 35.1 38.1 36.7% Treasury Securities-Coupon Medium Term Notes 15.1 14.3 14.4 16.6 17.0 17.9 19.1 18.9 16.0 15.1 15.3 16.9 16.1 16.3% Negotiable CD's Certificates of Deposit-Bank Mortgage Sacked Securities Bankers Acceptances-Amortizing Commercial Paper Disc.Amortizing 5.0 7.4 _ 4.8 2.5 Federal Agency Disc.-Amortizing 6.1 11.1 7.9 7.4 2.5% _._....___.- _... _. _.. . Treasury Discounts-Amortizing 8.8 4.9 Miscellaneous Discounts-Amortizing Money Market Acct 3.8 1.8 7.2 2.7. 3.0 2.2 1.4 2.7 7.9% Rolling Repurchase Agreements P l� N Por#olio CITY AP Run Dam:OW6=f-W:30 PM i 1 PRF PM5 7.20 ., Report Ver.7.3.2 cv N r City of HB N Portfolio Management Page 1 Interest Earnings Summary April 30, 2011 April 30 Month Ending Fiscal Year To Date CDlCoupon/Dl9count Investments: Interest Collected 118,125.00 968,821.39 Plus Accrued Interest at End of Period 413,851.23 413,851.23 Less Accrued Interest at Beginning of period { 392,086,75) { 407,805.68) Less Accrued Interest at Purchase During Period { 0.00) ( 0.00) Interest Earned during Period 139,889.48 974,866.94 Adjusted by Premiums and Discounts -2,580.45 -22,098.02 Adjusted by Capital Gains or Losses 800.G0 16,443.42 Earnings during Periods 138,109,03 969,212.34 Pass Through Securities: Interest Collected 0.00 0,00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) zz Less Accrued Interest at Purchase During Period { 0,00) ( 0.00) Interest Earned during Period 0.00 0.00 h.3 Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0A0 Cash/Checking Accounts: interest Collected 72,569.40 218,950.15 Plus Accrued Interest at End of Period 30,291.07 30,291.07 Less Accrued Interest at Beginning of period { 74,752.69) ( 79,324.45) Interest Earned during Period 28,107.78 169,916.77 Total Interest Earned during Period 167,997.26 1,144,783.71 Total Adjustments from Premiums and Discounts -2,58OA5 22,098.02 Total Capital trains or Losses 800.00 16,443.42 rota)Earnings during Period 166,216.81 1,139,129.11 Portfolio CITY AP Run Date:06%12011-0930 PM(PRF PM6)7.2.0 _ ^^oon Ver.7.32 Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Office of the City Treasurer April 2011 Cash Receipts and Disbursements March 2011 April 2011 Receipts Property Tax Receipts $3,188,848 $24,034,147 Utility Tax Receipts (UUT) 1,875,129 1,736,287 Sales Tax Receipts 1,887,868 1,187,500 1/2 Cent Safety Sales Tax Receipts 184,434 162,186 Highway Users Tax Receipts (HUT) 355,678 0 Transient Occupancy Tax Receipts (TOT) 435,213 597,227 All Other Receipts $28,465,202 $12,963,616 Subtotal Receipts $36,392,372 $40,680,962 Disbursements All Other Disbursements (37,973,915) (25,000,926) Net Change in Cash Flow ($1,581,543) $15,680,036 Summary of Cash by Fund March 2011 April 2011 General Fund $43,243,543 $56,583,618 Government Funds 769,537 762,423 Capital Funds 2,501,310 2,192,578 Debt Service Funds 5,014,948 13,601,535 Enterprise Funds 89,001,558 88,113,163 Fiduciary Funds 901,401 1,052,994 Special Revenue Funds 22,891,464 21,713,894 $164,323,751 $183,920,206 Total cash will differ from investment portfolio total due to outstanding checks and/or other timing Note. Above inforr,�ation Was obtained from the City's ccountii�g sysissrn IiAiuB. The above information includes receipts from maturing investments and payments for purchased Investments in the city investment portfolio. This statement is prepared in compliance with the City's Charter. Statement of Cash Receipts&Disbursements May 2011 April 2011 I1B -3 3- Item 2. - 13 State of California Pooled (Money Investment Account (Market Valuation 413012011 United States Treasu : Bills $ 26,481,083,131.90 $ 26,531687,000.00 NA Notes $ 6,602,055,143.83 $ 6,649,851,500,00 $ 15,210,975.00 Federal A en . SBA $ 538,173,262.35 $ 536,693,550.42 $ 576,145.73 MBS-REMICs $ 489,774,730.43 $ 530,042,925.46 $ 2,321,491.45 Debentures $ 1,376,412,463.48 $ 1,377,775,000.00 $ 1,804,438,50 Debentures FR $ 200,000,000.00 $ 200,000,000.00 $ 105,350.00 Discount Notes $ 8,676,516,304.06 1 $ 8,706,111,760.00 NA GNMA $ 50,672.18 $ 51,871.70 $ 600.67 IBRD Deb FR $ 300,000,000.00 $ 300,723,000.00 $ 20,781.25 CDs and YCDs FR $ 800,000,000.00 $ 800,000,000.00 $ 506,670.83 Bank Notes $ 650,000,000.00 $ 650,218,114.52 $ 395,833.34 CDs and YCDs $ 7,434,998,392.74 $ 7,435,987,063.65 $ 3,162,159.69 Commercial Paper $ 7.876,052 734.71 $ 7,878,571,065.30 NA Corporate: Bonds FR $ - $ - $ - Bonds $ - $ - $ Repurchase Agreements $ - $ $ - Reverse Repurchase $ - $ - $ - Time Deposits $ 3,863,140,000.00 $ 3,863,140,000.00 NA AB 55&GF Loans $ 4,741,837,017.22 $ 4,741,837,017.22 NA TOTAL 1 $ 70,030,093,852.90 $ 70,202,689,868.27 $ 24,103,346.46 Fair Value Including Accrued Interest $ 70,226,793,214.73 Repurchase Agreements,Time Deposits,AB 55&General Fund loans,and Reverse Repurchase agreements are carried at portfolio book value(carrying cost). Item 2. - 14 HB -34- ATTACHMENT #2, City of Huntington Beach N Deferred Compensation Plan Summary Information as of March 31, 2011 Beginning Contributions Distributions/ Earnings Other Pees/ Ending Balance Transfers (change in value) Adjustments Balance (12-31-10) (3-31-11) ICMA Retirement Corporation (467 Plan) $30,002,034 $606,565 ($749,783) $1,007,802 ($2,028) $30,864,590 iCMA Retirement Corporation (401 Plan) $1,182,158 $43,635 $0 $37,782 $0 $1,263,575 Nationwide Retirement Solutions (467 Plan) $56,405,403 $975,844 ($792,587) $1,656,224 ($2,984) $58,242,900 Total Deferred Compensation Plan Balances $87,590,595 $1,626,044 ($1,542,370) $2,701,808 ($5,012) $90,371,065 ATTACHMENT #3 c� N City of Huntington Beach Retiree Medical Trust Information _ as of March 31, 2011 Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (3-31-11) CaIPERS Retiree Medical Trust Account $9,726,144 $0 $390,762 ($1,292) $10,115,613 w E ATTACHMENT #4 N City of Huntington Beach NSupplemental Pension Trust Information as of April 30, 2011 Beginning Contributions/D Distributions/ Earnings Other Ending Balance ividends Transfers (change in value) Balance (3-31-11) (4-30-11) Supplemental Pension Trust Account $30,926,171 $21,591 $927,639 ($13,896) $31,861,506 w I I Council/Agency Meeting Held: Deferred/Continued to: *ApprQved ❑ Conditionally Approved ❑ Denied r Cler s Sig tune Council Meeting Date: May 2, 2011 Department ID Number: FN 11-007 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Alisa Cutchen, City Treasurer SUBJECT: Receive and File the City Treasurer's March 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for March 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for March 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. HB -1 - Item 2. - 1 REQUEST FOR COUNCIL ACTION MEETING DATE: 5/2/2011 DEPARTMENT ID NUMBER: FN 11-007 Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): 46. Desbription 1. Monthly Investment Report and Summary of Investments for March 2011 2. Schedule of Bond Investments 3. Deferred Compensation Plan Summary Information 4. Retiree Medical Trust Investments 5. Supplemental Pension Trust Investments Item 2. - 2 H13 - - ATTACHMENT # 1 He -21- Item 2 . 3 City of Huntington Beach Summary of City Investment Portfolio Bond Proceeds, Deferred Compensation, Retiree Medical Trust, and Deferred Compensation Trust Activity for March 2011 City Investment Portfolio: February March lncd(Dec.) End of month City Portfolio Balance $164,151,749 $157,349,376 ($6,802,373) End of Month Market Value $164,135,090 $157,390,954 ($6,744,136) End of month General Fund Balance $45,197.973 $43,243,543 ($1,954,430) Monthly Effective Rate of Return 1.36% 1.26% -0.10% Average Maturity ( in days) 701 677 (24) End of month bank cash balance $4,418,444 $7,173,276 $2,754,832 Bond Proceeds Investments:* January February Inc./(Dec.) End of Month Bond Reserve Par Value $13,761,026 $12,704,151 ($1,056,875) Deferred Compensation Investments:** December March Ina./(Dec.) Participant Balances $87,590,595 $90,371,065 $2,780,470 Retiree Medical Trust:** September December Inc./(Dec.) Trust Balance $8,935,016 $9,726,144 $791,128 Supplemental Pension Trust: January February Inc./(Dec.) Trust Balance $30,043,235 $30,702,732 $659,497 Comparison to Budget I City Portfolio: Budget Actual Inc./(Dec.) Interest Earned for Month $156,250 $172,638 $16,388 Interest Earned Year to Date $937,500 $974,365 $36,865 Earned Interest Yield Year to Date 1.25% 1.27% 0,02% Average Daily Balance $150,000,000 $153,729,517 $3,729,517 *Bond Proceeds Statements are issued monthly and may lag by more than one month. —Deferred Compensation and k4edical Retiree Statements are issued quarterly. Summary by Individual Investment in City Investment Portfolio: Days YTM Int. March % of Total Policy Limit to Mat. Rate Federal Agency Issues - Coupon $77,072,151 49% None 1257 1.87% Local Agency Inv. Fund (LAIF) $55,200,000 35% $60 million 1 0.50% Medium Term Notes $25,077,225 16% 20% 380 1.77% $157,349,376 100% 677 1.37% Item 2. - 4 HB -22- �tr ' City of Hu. gton Beach City of HB 2000 Main St z� -- - Huntington Beach, :. Portfolio Management Portfolio Summary March 31, 2011 Par Market Book %of days to YTM YTM Investments Value Value Value Portfolio Term Maturity 360 Equiv. 365 Equiv. Federal Agency Issues-Coupon 77,230,000.00 76.763.534.30 77,072,150.91 48.58 1.477 1,257 1,841 1.866 Local Agency Investment Funds 55,200,000.00 55,200,000.00 55,200,000.00 35.08 1 1 0.493 0.500 Mediurn Term Notes 25,000,000.00 25,427,420.00 25,077,225.55 15.94 1,042 360 1.749 1,773 157,430,000.00 157,390,954.30 157,349,376.46 100,00% 890 677 1.353 1.372 Investments Cash and Accrued Interest Accrued Interest at Purchase 1,106.67 1,166.67 Subtotal 1,166.67 1.1.66.67 Total Cash and Investments 157,430,000.00 157,392,120.97 157,350,543.13 890 677 1.353 1,372 Total Earnings_.._..... _ .. __.-... ... _ ...March 31 Month Ending Fiscal Year To Date Fiscal Year Ending Q --.-..... —.......-.. ^urr_nt Year 172,638.29 974,364 62 = urrent Bucket 166,250.00 937,500.00 1,875,000.00 ast Year Actual 213,343,00 1,325,060.00 2,522,076.00 I^.0 W verage Daily Balance 160,698,872.49 153,729,517.09 Effective Rate of Return 1.26% 1.27% I certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on December 20, 2010. A copy of this policy is available at the office of the City Clerk. The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market Values provided by Union Bank via Interactive Data Corporation. Eob Hall, ACTING CITY TREASURER — r-r porting period 03/0112011-03131/2011 Portfolio CITY P gp AP N Oa;e 041140011-17.03 PM(PRF PM1)7.2.0 Repor,Ver.T3.2 CD 3 City of 1-113 N Portfolio Management Page' Portfolio Details - Investments March 31, 2011 Average Purchase Stated YTM Days Eo Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues-Coupon 31331JR-f2 3333 Federal Farm Credit Bank 06/15/2010 2T0001000.00 2,008,980.00 2,000,000.00 2.620 AAA 2,262 1,536 06/15/2015 313311 JZK2 3850 Federal Farm Credit Bank 08/26/2010 3,000,000.00 2,968,600,00 3,000,000.00 1.050 AAA 1,050 878 08/26/2013 31331J5E9 3867 Federal Farm Credit Sank 12/15/2010 3,000,000.00 2,970,450.00 3,000,000.00 2,480 AAA 2.480 1,719 12JI5/2015 31331J61'5 3875 Federal Farm Credit Bank 01i0712011 3,000,000.00 2,995,230.00 3,000,000.00 0.890 AAA 0.890 647 Otr07/2013 3139XUNE9 3785 Federal Home"oan Bank 08/26/2009 2,000,000.00 2,017,040.00 2.000,000.00 2,750 AAA 2.750 871 o811 912 01 3 313370EG9 3843 Federal Home Loan Sank 07/2812010 2,000.000.00 2,007,660-00 2,000,000.00 1.125 AAA 2.572 1,579 07/28/2015 313370NA2 3849 Federal Home Loan Bank 08/30/2010 3,000,000.00 2,997,675.00 3,000,000.00 0.600 AAA 1.113 880 08/28/2013 3 13 0 x lllr3 3859 Federal Home Loan Bank 09/20/2010 3.230,000.00 3,190,949.30 3,230,000.00 1.550 AAA 1.550 1,263 09/15/2014 313371SV9 3862 Federal Home Loan Bank 12J0912010 3,000,000.00 2,954,490.00 3,000,000.00 2.000 AAA 2.000 1,713 12/09/2015 -13371U53 3863 Federal Home Loan Bank 12/10/2010 3,000,000.00 2,942,190.00 3,000,000.00 1,500 AAA 2.129 1,714 12/10/2015 313371XSO 3865 Federal Home Loan Bank 12116/2010 2,000,000.00 2,002,700.00 2,000,000.00 1.000 AAA 1.000 1,720 12r1612015 313371Wvi12 3866 Federal Home Loan Bank 12/17/2010 3,000,000.00 3,002,190,00 3,000,000.00 1.450 AAA 1.450 1,265 09/17/2014 3128X7JK1 3646 Federal Home Loan Mort Corp 05/06/2008 2.000,000.00 2,002,200.00 1,999,842.97 3,250 AAA 3.480 13 04/14/2011 3125X8TZ5 3725 Federal Home Loan Mort Corp 04/08i2009 2,000,000.00 2,000,880-00 2,000,000,00 2.500 AAA 2.500 738 04/08/2013 3134G',TX2 3855 Federal Home Loan Mort Corp 09/23120'10 2,000,000.00 1,975,360.00 2,000,000.00 1,500 AAA 1.500 1,179 06/23/2014 3134GI IY0 3856 Federal Home Loan Mort Corp 09/24r2010 2,000,000.00 1,990,820.00 2,000,000.00 1.250 AAA 2.318 1,637 09/24/2015 3134G1UE2 3860 Federal Home Loan Mort Coro 09/23/2010 2.000,000.00 1,988.500.00 1,999,10444 1.250 AAA 1.235 1,636 09/23/2015 = 34G1L44 3870 Federal Home Loan Mort Corp 121280010 3,000.000.00 2,968,930.00 2,996,637.50 1.000 AAA 1.051 819 06/28/2013 l3? 36F9MNO 3643 Fed.Nat'l Mort.Assoc 04/29,12008 2,000,000.00 2,005,600.00 1,999,168.89 4.000 AAA 4.022 759 04i29/2013 36FMG123 3835 Fed.Nall Mort.Assoc. 06/28/2010 2,000,000,00 1,988,520.00 2,000,000,00 2.000 AAA 2.000 1,277 09/29/2014 A 398A2A9 3844 Fed.Nat'l Mori.Assoc. 08105i2010 2,000,000,00 1,971,280.00 2,000,000.00 2,125 AAA 1.903 1,587 08/C512015 r s139SA31-4 3854 Fed. Nat'l Mort.Assoc. 09/17/2010 3.000,000.00 2,998,230.00 3.000,000.00 1.125 AAA 1.125 900 09/1,7/2013 31'36FPUM7 3861 Fed.Nat'l Mori.Assoc. 10129/2010 3,000,000.00 2,960,490,00 2,998,626.67 1.125 AAA 1.962 1,672 10/29/2015 3136FPYL5 3868 Fed,Nat'l Mort.Assoc. 12/10/2010 2,000,000.00 1,956,680.00 1,954,904.58 1.000 AAA 1.530 1,250 09/02/2014 3136FPV79 3871 Fed.Nat'l Mori.Assoc- 12/28/2010 3.000,000.00 3,007,980.00 3,000,000.00 1.500 AAA 2.814 1,732 12/28/2015 3136FPYI..6 3872 Fed.Nat'l Mort.Assoc. 1213112010 3,000,000.00 2,935.020.00 2,939,894.40 1.000 AAA 1.606 1,250 09/02/2014 3136FPH75 3873 Fed. Nat'I Mor;.Assoc. 12131/2010 3.000,000,00 2,985,780.00 2.983,136.04 1.000 AAA 1.729 1,356 12/17/2014 3136FPP84 3874 Fed,Nat'l Mort Assoc. 1213112010 3,000,000.00 2,963,190.00 2,960,835,42 2.050 AAA 2.343 1,734 12f3012015 3136FPZ91 3E76 Fed.Nai'I Mort.Assoc. 01/21/2011 3,000,000.00 2,973,480.00 3,000,000.00 1.750 AAA 1.750 1.207 07/21/2014 3136FP2CO 3877 Fed. Nat'l Mort.Assoc. 01106!2011 3,000,000.00 2,992,440.00 3,000,000.00 1,500 AAA 1.500 1,011 01106/2014 Subtotal and Average 80,812,238.70 77,230,000.00 76,763,534,30 77,072,150.91 1,866 1,257 _._... _... - _..._... ......_ .- ---.-._.... .. . - _. ._.....- _ .__.._ ..-...... .. .._ - ...----..._ .._...- ... Local Agency Investment Funds SYS932 982 Laif City 25.200,000.00 25,200,000.00 25,200,000.00 0.500 C.500 1 SYS2205 2206 LAIF-Redevelopment Agency 30,000,000.00 30,000,000,00 30,000,000.00 0.500 0.500 1 Portfolio CITY Run D4le 04114/7.011-1%.G3 AP PM(PRF_PM2)7.2.0 ort Vet.7.3.2 City of HB Portfolio Management Page 2 Portfolio Details - Investments March 31, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Subtotal and Average 54,806,451.61 55,200,000.00 55,200,000.00 55,200,000.00 0.600 1 .............. ............... Medium Term Notes 0 6 0-10 SA J 0 3734 Bank of America FDIC Insured 0413012009 2,000,000.00 2,046,140,00 2,012,91&34 2.375 AAA 1.830 448 06/22/2012 17314AAF9 3723 Citigroup FDIC Insured 03130/2009 2,000,000.00 2,028,300.00 1,998,211.65 2.000 AAA 2.093 364 03/3012012 17313YA87 3739 CiOgroup FDIC Insured 05/0612009 2.000,000-00 2,002,040.00 1,999,972.61 1,375 AAA 1,390 34 05/0512011 36967HBE32 3805 GE Capital FDIC Insured 11/03/2009 2,000,000.00 2,041,160.00 2,008,108.96 2.000 AAA 1.720 546 09128/2012 36967HAN7 3733 General Electric Cap FDIC Insu 04/30/2009 2,000,000.00 2,035,660.00 2,010,111.05 2.250 AAA 1.701 346 03/1212012 36967HAH.0 37735 General Electric Cap FDIC Insu 04130/2009 2,000,000.00 2,041,220.00 2,008,028.21 2.200 AAA 1.850 434 0610812012 36!86C BF9 3763 GMAC FDIC Insured 06/30/2009 2,000,000.00 2,048,880.00 1,994,735.37 2.200 AAA 2.361 628 1211912012 36185,JAA7 3804 GMAII FDIC Insured 11103r2009 2,000,000.00 2,033,480.00 1,998,964.49 1,750 AAA 1,784 578 10/3W2012 38146FAF8 3732 Goldman Sachs FDIC Insured 04127/2009 2,000,000.00 2,008,100,00 2,000,987.87 1.625 AAA 1.450 105 0711512011 481247AKO 37138 JP Morgan Chase FDIC Insured 04/30/2009 2,000,000.00 2,044,840.00 2,010,037.94 2.200 AAA 1.770 441 06/15/2012 49328''-AA3 3770 Key Bank FDIC Insured 06/30/2009 2,000,000.00 2,065,480.00 2,027,947.15 3,200 AAA 2.000 441 06/15/2012 61757UAF7 3736 Morgan Stanley FDIC Insured 04/30/2009 2,000,000 00 2,017.260,00 2.005.677.62 2.000 AAA 1.390 174 09122J2011 91!6CHAC1 3743 US Bank FDIC Insured U511!912009 1,000,000.00 1,014,860.00 1,001,524.39 1.800 AAA 1.660 410 05/1512012 Subtotal and Average 25,080,182.17 25,000,000.00 25,427,420.00 25,077,225.55 1.773 380 ............... .......... Money Market Acct M YS3602 3802 Union Bank-US Gov't MMF 0.00 0.00 0.00 0-060 0.050 1 OD YS3789 3789 Union Bank-US Trea MMF 0.00 0.00 0.00 0.020 AAArnf 0.020 1 Subtotal and Average 0,00 0-00 0.00 0.00 0.000 0 Total and Average 160:698,872.49 157,430,000-00 157,390,954.30 157,349,376.46 1.372 677 (D Portfolio CITY 3 AP N) 04/14120 11-17:103 PM(PRF_PMZ)7 2.0 (D 3 City of HB N Portfolio Management Page 3 ' Portfolio Details - Cash Co March 31, 2011 Average Purchase Stated YTM Days to CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Average Balance 0.00 Accrued Interest at Purchase 1,166,67 1,166-67 0 _.... _............... .,._.......----- -.. Subtotal 1,166.67 1,16661 Total Cash and Investments 160,698,872.49 157,430,000.00 157,392,120.97 157,350,543.13 1.372 677 437 N C5"3 E Portfolio CITY AP Run Gate 04114120'1-17,03 PM(PRf_PH12)7.2.0 City . HB Portfolio Management Page 9 Activity By Type g March 1, 2011 through March 31, 2011 Stated Transaction Purchases Redemptions CUSIP Investment# Issuer Rate Date or Deposits or Withdrawals Balance _... Federal Agency Issues-Coupon 3134G1 P32 3869 Federal Home Loan Mort Corp 1.500 03/30/2011 0.00 2,000,000.00 313 8A3S9 3858 Fed.Nat'l Mort.Assoc. 2,000 03/30/2011 0,00 2,000,000,00 Subtotal 0.00 4,000,000.00 77,072,160.91 ........._----. . ... Local Agency Investment Funds (Monthly Summary) SY9S82 982 Laif City 0.500 3,000,000,00 5,300,000,00 Subtotal 3,000,000.00 5,800,000,00 55,200,000.00 Medium Term Notes Subtotal 25,077,225.55 ............ ..._,.. ... Money Market Acct (Monthly Summary) Subtotal 0.00 Total 3,000,000.00 9,80OX0.00 157,349,376.46 X IV 0 3 Portfolio CITY N AP )2te: 414/2011-i 7:03 PM(PPT PM3)7.2.0 Report Ver_7.3.2 Co CD 3 City of HB N Portfolio Management Page 1 Activity Summary 0 March 2010 through March 2011 Yield to Maturity Mana g ed Number Number ri.._ ..__. Month Number of Average 360 365 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity March 2010 51 160,010,461,11 1.559 1.581 0.547 2 5 724 536 April 2010 55 1607226,735.19 1.432 1.452 0.588 9 5 662 499 May 2010 57 184,628,114.04 1,341 1.360 0.560 4 2 627 465 June 2010 55 138,112,806.29 1.331 1.350 0.528 5 7 634 460 July 2010 43 177,366,265.25 1.361 1.380 0.531 3 15 646 466 August 2010 47 162,076,756.20 1.320 1.338 0.513 7 8 641 453 September 2010 46 154,161,946.43 1.383 1.402 0.500 8 9 744 555 October 2010 42 147,479,654.35 1.393 1.412 0.480 1 5 752 542 November 2010 39 141,605,221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144:716,923.18 1.337 1.366 0.462 12 5 869 712 January 2011 49 163,147,527,45 1.365 1,384 0,538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0.512 0 0 889 701 March 2011 47 160,698,872.49 1.353 1.372 0.500 0 2 890 677 Average 49 162,273,601.62 1.366% 1.385% 0.516 5 5 741 559 W E 00 Portfolio CITY AP Run Date:!)411412011-'17:03 PM{PRF_PM4}7,2,0 Re^on Ver.7.3.2 City or HB Portfolio Management Page I Distribution of Investments By Type March 2010 through March 2011 March April May June July August September October November December January February March Average Security Type 2010 2010 2010 2010 2010 2010 2010 2010 2010 2010 2011 2011 2011 by Period Repurchase Agreements -.1---11 ­ __....................... ...... . . ....... .. ............... .................... Certificates of Deposit ......................... .............. .......................... ............ ............. ...... .................. Commercial Paper-Interest Bearing ............... . ............. .............................. Federal Agency Issues-Coupon 39.9 36.7 33.8 33.9 34.2 33.8 40.4 37.4 31.6 45.9 48.8 49.4 49.0 39.6% .. ............ --------------- .......------------ ........-.......... Local Agency Investment Funds 37.5 33.4 31.7 31.8 36.7 37.5 39.5 42.2 41.9 38.2 36.1 35.3 35.1 36.7% ........... ........... ........... ............... ............ ........ Treasury Securities -Coupon ............. ........... ......... . Medium Term Notes 17.0 15.1 14.3 14.4 16.6 17.0 17.9 19.1 18.9 16.0 15.1 15.3 15.9 16,3% ................. ........................... ........... ------- ......1.1-1.­1............. ........­................... Negotiable C D's -1 ............... ....... ......... .......... ........................... .............................. ............. ............................... Certificates of Deposit-Bank ............ ...... .............. ------- --------...... ................... ......................... .........__-----------------.......... ............... Mortgage Backed Securities -------...... ................... ..................... -------­-------------- Bankers Acceptances-Amortizing ...... ............ ................... ...... ....... . ...... ............. Commercial Paper Disc.-Amortizing 2.5 5.0 7�4 4.8 2.5 1.7% ........... - -------­ ............ ........ ................ Federal Agency Disc. -Amortizing 6.1 11.1 7.9 7.4 2.5% ... ................ ............ ....... . ................... ................................. ............- Treasury Discounts-Amortizing 8.8 4,9 1.1% ........... .......... Miscellaneous Discounts-Amortizing ............. Money Market Acct 3.1 3.8 1.8 7.2 2.7 3.0 2.2 1.4 2.7 2.1% ­ ­­ 1­1­11 . 1", .1 1——1.. '­ . ­-.11-I.-... __ - ... 1-11­­.. ­.. ­.­....­_._­ I ­.,...-�.- -........... .......... ............. oiling Repurchase Agreements Q0 CD 3 Portfolio CITY N) AP )ate:0411 4,12011-17:03 PM(PRF_PM5)7 2-n Rqao-Ver.7 3.2 (D 3 City of HI3 IV Portfolio Management Page 1 ' Interest Earnings Summary N March 31, 2011 March 31 Month Ending Fiscal Year To Date _._ __.... ... . . ... .. ._ _... .._.. .... .. . . CD]CouponlDiscount Investments. Interest Collected 236,532.50 859,596.39 Plus Accrued interest at End of Period 383.222.62 383,222.62 Less Accrued Interest at Beginning of Period ( 468:017.94) ( 407,805.68) Less Accrued Interest at Purchase During Period ( 0.00) { 0.00) Interest Earned during Period 151,737.18 835,013.33 Adjusted by Premiums and Discounts -2,372.86 -19,517.57 Adjusted by Capital Gains or Losses 0.00 15,643.42 Earnings during Periods 149,364,32 831,139.18 ---... _.._.._.... ....._ _ ..__..._._....._ ._...- __........ ... ...... .. . ....._.. ............... . .. .-.... - Pass Through Securities: interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) { 0.00) Less Accrued Interest at Purchase(luring Period ( 0.00) { 0.00) interest Earned during Period 0.00 0.00 W Adjusted by Premiums and Discounts 0.00 0.00 w Adjusted by Capital Gains or Losses 0.00 0,00 CD Earnings during Periods 0.00 0.00 _.._ . . ....... . . - Cash/Checking Accounts: Interest Collected 0.00 146,380.75 Plus Accrued Interest at End of Period 76,169.14 76.169.14 Less Accrued Interest at Beginning of Period ( 52,895,17) ( 79,324.45) Interest Earned during Period 23,273.97 143.225.44 Total Interest Earned during Period 175,011.15 978,238.77 Total Adjustments from Premiums and Discounts -2,372.86 -19,517.57 Total Capital Gains or Losses 0.00 15,643.42 Total Earnings during Period 172,638.29 974,364.62 Portfolio CITY AP Run Date:04!1412C11-?7:03 ?M(FRF_PM5)7.2.0 Repc^,Ver,7.3.2 Statement of Cash Receipts and Disbursements`and Summary of Cash by Fund Office of the City Treasurer March 2011 Cash Receipts and Disbursements February 2011 March 2011 Receipts Property Tax Receipts $167,756 $3,188,848 Utility Tax Receipts (UUT) 1,679,343 1,875,129 Sales Tax Receipts 1,850,400 1,877,868 1/2 Cent Safety Sales Tax Receipts 116,763 184,434 Highway Users Tax Receipts (HUT) 414,572 355,678 Transient Occupancy Tax Receipts (TOT) 411,586 435,213 All Other Receipts $13,201,409 $14,605,801 Subtotal Receipts $17,841,829 $22,522,971 Disbursements All Other Disbursements (26,526,464) (21,984,972) Net Change in Cash Flow ($8,684,635) $537,999 Summary of Cash by Fund February 2011 March 2011 General Fund $45,197,973 $43,243,543 Government Funds 762,531 769,537 Capital Funds 11,616,761 2,501,310 Debt Service Funds 7,093,746 5,014,948 Enterprise Funds 87,272,408 89,001,558 Fiduciary Funds 564,650 901,401 Special Revenue Funds 13,232,115 22,891,454 $165,740,184 * $164,323,751 *Total cash will differ from investment portfolio total due to outstanding checks and/or other timing Note: Above information was obtained from the City's accounting system records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in compliance with the City's Charter. Statementof Cash Receipts&Disbursements March thru Sept2011 March 2011 HB -31- Item 2. - 13 State of California Pooled Money Investment Account Market Valuation 3/3112011 Car m "Cast.:Plus Descr A.c.;rttedJnterest Pprch.: A►r►orttzed'Gost Fatr Value Accrued Interest.' United States Treasury: Bills $ 25,427,574.805,62 $ 25,469,895,416.39 $25,477,542,75D.00 NA Notes $ 7,600,585,503.27 $ 7,599,407,773.27 $ 7,638,459,500.00 $ 18,430,902.50 Federal Ager'cY: SBA $ 542,409,471.18 $ 642,403,518.22 $ 541,019,321.57 $ 580,753.60 MBS-REMICs $ 505,712,588.13 $ 505,712,588.13 $ 540,404,807.88 $ 2,393,771.01 Debentures _ $ 1,377,365,350.08 $ 1,376,588,447.30 $ 1,377,316,000.00 $ 2,540,482.25 Debentures FR $� 200,000,OOfl 00 $ 200,000,000,00 $ 200,040,000.00 $ 68,600.00 Discount Notes $ 8,676,516,304.06 $ 8,699,632,180.45 $ 8,704,376,220.00 NA GNMA $ 52,779.05 $ 52,779.05 $ 53,983.04 $ 521,59 IBRD Deb FR $ 300,000,000.00 $ 300,000,000.00 $ 300,636,000.00 $ 294,872.58 CDs and YCDs FR $ 800,000,000.00 $ 800,000,000.00 $ 800,000,000.00 $ 391,949.67 Bank Notes $ �T 650,000,000.00 $ 650,000,000.00 $ 650,092,242.52 $ 216,666.67 CDs and YCDs $ 5,875,000,898.64 $ 5,875,000,888.64 $ 5,875,326,055.55 $ 2,207,243.06 Commercial Paper $ 6,635,606,940.28 S 6,637,947,366.58 $ 6,637,761,908.36 NA Corporate: Bonds FR $ $ $ $ Bonds $ $ - $ $ Repurchase Agreements $ __.$ $�.______.. $ _ - Reverse Repurchase $ �- $ $ $ Titre Deposits $ 3,803,640,000.00 $ 3,803,640,000.00 $ 3,803,640,000.00 NA AB 55&GF Loans $ 5,983,610,355.22 $ 5,983,610,355.22 $ 5,983,610,355.22 NA TOTAL $� 68,378,074,985.53 $ 68,443,892,313.25 $68,530,279,144.14 $ 27,125,762.93 Fair Value Including Accrued Interest $68,557,404,907.07 Repurchase Agreements,Time Deposits,AB 55&General Fund loans,and Reverse Repurchase agreements are carried at portfolio book value(carrying cost), The value of each participating dollar equals the fair value divided by the amortized cost(1.001262155). As an example:if an agency has an account balance of$20,000,000.00,then the agency would report its participation in the LAIF valued at$20,025.243.11 or$20,000,000,00 x 1.001262155. Item 2. - 14 H -32- ATTACHMENT #2 , s „ Item 2 _ ,5 CD 3 .-hedule of Bond Investments IV Dy Fiscal Agent as of February 28,2011 amary of investments by type Market Value Market Value Par Value Investment Type as of 01/31/11 as of 02/28/11 $3,613,412 Local Agency Investment Fund(LAIF) $3,613,812 $3,613,412 $0 Federal Agency Issues $0 $0 $3,637,406 Investment Agreements $3,637,407 $3,637,406 $5,453,333 Money Market Funds $6,509,807 $5,453,333 $0 US Treasury Securities $0 $0 $12,704,151 $13,761,026 $12,704,151 Summary of Investments by Bond Issue Market Value Market Value Par value Band Issue Description as of 01/31/11 as of 02/28/11 $1,159 City of Huntington Beach-2004 Judgment Obligation Bonds(Property Tax Refunds) $926,328 $1,159 $2,208,657 City of Huntington Beach-2003-1 Community Facilities District(Huntington Center-Bella Terra) $2,208,657 $2,208,657 $1,649,250 Redevelopment Agency of Huntington Beach-2002 Tax Allocation Refunding Bonds $1,649,250 $1,649,250 F $650,573 Huntington Beach Community Facilities District No. 2002-1 (McDonnell Centre Business Park) $504,117 $650,573 $2,097,313 Huntington Beach PFA- 2001 Series A(South Beach Improvements&Central Park Sports Complex) $2,043,647 $2,097,313 $2,620,560 Huntington Beach PFA- 2001 Series B(1993 Civic Center&Police Administration Bldg. Refinance) $2,951,465 $2,620,560 $1,254,883 City of Huntington Beach-2001 Community Facilities District(Grand Coast-Hyatt) $1,254,832 $1,254,883 $173,298 City of Huntington Beach -90-1 Community Facilities District Special Tax Refunding $173,698 $173,298 $3,157 Huntington Beach PFA-2000 Series A(Water System Impv., Beach Mnt. Facility, Energy Retrofit, SB Phase 1) $3,157 $3,157 $754,907 Redevelopment Agency of Huntington Beach- 1999 Tax Allocation Refunding Bonds $754,917 $754,907 $1,242,770 Huntington Beach Public Financing Authority Lease Refunding Bonds 2010 Series A $1,242,749 $1,242,770 $12,704,151 $13,761,026 $12,704,151 ATTACHMENT #3 Hh Item2 _ „ CD City of Huntington Beach 3 Deferred Compensation Plan Summary Information IV as of March 31, 2011 00 Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (12-31-10) (3-31-11) ICMA Retirement Corporation (457 Plan) $30,002,034 $606,565 ($749,783) $1,007,802 ($2,028) $30,864,590 ICMA Retirement Corporation (401 Plan) $1,182,158 $43,635 $0 $37,782 $0 $1,263,575 Nationwide Retirement Solutions (457 Plan) $56,406,403 $975,844 ($792,587) $1,656,224 ($2,984) $58,242,900 Total Deferred Compensation Plan Balances $87,590,595 $1,626,044 ($1,542,370) $2,701,808 ($5;012) $90,371,065 m W��y lJ) ATTACHMENT #4 ,E -37- Item2 . , 9 r+ CD City of Huntington Beach 3 Retiree Medical Trust Information _N as of December 31, 2010 e N O Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (9-30-10) (12-31-10) CaIPERS Retiree Medical Trust Account $8,935,016 $221,000 $571,331 ($1,203) $9,726,144 s w w ATTACHMENT #5 He -39- Item 2 . 21 CD City of Huntington Beach =1 Supplemental Pension Trust Information IV as of February 28, 2011 N Beginning Contributions/ Distributions/ Earnings Other Ending Balance Dividends Transfers (change in value) Balance (1-31-11) (2-28-11) Supplemental Pension Trust Account $30,043:235 $20,617 $638,880 $30,702,732 s w f Council/Agency Meeting Held:_ 1A011 Deferred/Continued to: 0,Appro d ❑ ConditionallyApproved ❑ Denied oS �Cit lerk' Signa re Council Meeting Date: April 18, 2011 Department ID Number: FN 11-005 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Bob Hall, Deputy City Manager SUBJECT: Receive and File the City Treasurer's February 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for February 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for February 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. H - 1- Item 3. - 1 REQUEST FOR COUNCIL ACTION MEETING DATE: 4/18/2011 DEPARTMENT ID NUMBER: FN 11-005 Analysis: Not Applicable. Environmental Status: Not Applicable. . Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communication. Attachment(s): o �Desqrlp 1. Monthly Investment Report and Summary of Investments for February 2011 2. Schedule of Bond Investments 3. Deferred Compensation Plan Summary Information 4. Retiree Medical Trust Investments 5. Supplemental Pension Trust Investments Item 3. - 2 N - 2- ATTACHMENT # 1 ..., -33- Item 3. - 3 City of Huntington Beach Summary of City Investment Portfolio Bond Proceeds, Deferred Compensation, Retiree Medical Trust, and Deferred Compensation Trust Activity for February 2011 City Investment Portfolio: January February Inc./(Dec.) End of month City Portfolio Balance $166,154,122 $164,151,749 ($2,002,373) End of Month Market Value $166,341,732 $164,135,090 ($2,206,642) End of month General Fund Balance $47,727,321 $45,197,973 ($2,529,348) Monthly Effective Rate of Return 1,25% 1.36% 0,11% Average Maturity ( in days) 710 701 (9) End of month bank cash balance $4,813,164 $4,418,444 ($394,720) Bond Proceeds Investments:* December January Inc./(Dec.) End of Month Bond Reserve Par Value $12,500,252 $13,761,026 $1,260,774 Deferred Compensation Investments:** September December IncJ(Dec.) Participant Balances $83,699,993 $87,590,595 $3,890,602 Retiree Medical Trust:** September December Inc./(Dec.) Trust Balance $8,935,016 $9,726,144 $791,128 Supplemental Pension Trust: January February Inc./(Dec.) Trust Balance $30,043,235 $30,702,732 $659,497 Comparison to Budget/City Portfolio: Budget Actual Inc./(Dec.) Interest Earned for Month $156,250 $172,950 $16,700 Interest Earned Year to Date $781,250 $801,726 $20,476 Earned Interest Yield Year to Date 1.25% 1.27% 0.02% Average Daily Balance $150,000,000 $152,298,722 $2,298,722 *Bond Proceeds Statements are issued monthly and may lag by more than one month. °"Deferred Compensation and Medical Retiree Statements are issued quarterly. Summary by Individual Investment in City Investment Portfolio: Days YTM Int. February % of Total Policy Limit to Mat, Rate Federal Agency Issues-Coupon $81,068,202 50% None 1292 1.89% Local Agency Inv. Fund (LAIF) $58,000,000 35% $60 million 1 0.51% Medium Term Notes $25,083,547 15% 20% 411 1.77% $164,151,749 100% 701 1.39% Item 3. - 4 HB - 4- City of Huntington.Beach City of HB 2000 Main St Huntington Beach, Portfolio Management Portfolio Summary oU"rY February 28, 2011 Par Market Book %of Days to YTM YTM Investments Value Value Value Portfolio Term Maturity 360 Equiv, 365 Equiv, Federal Agency Issues-Coupon 81,230,000.00 80,675,790.10 81,068,202.26 49,39 1,476 1,292 1.865 1.691 Local Agency Investment Funds 58,000,000.00 58,000,000.00 58,000,000.00 35.33 1 1 0.505 0.512 Medium Term Notes 25,000,000.OD 25,459,300,00 25,083,547 06 15.28 1.042 411 1.749 1.773 164,230,000.00 164,135,090.10 164,151,749.32 100.00% 889 701 1.367 1.386 Investments Cash and Accrued Interest Accrued interest at Purchase 4,723.13 4,723.13 ---- — -...--- -... ------ Subtotal 4,723,13 4,723.13 Total Cash and Investments 164,230,000.00 164,139,813.23 164,156,472.45 889 701 1,367 1.386 � Total Earnings- __.._ _February 28 Month Ending _ _ . Fiscal Year To Date Fiscal Year Ending . __..._- -_- _.._.._ _- 9 _....------•....,-�---. -. Current Year 172,950.27 801,726.32 (') Current Budget 156,250.00 781,250.00 1,875,000.00 Last Year Actual 217,588-00 1,111,717.00 2:522:076.00 Average Daily Balance 165,474,398.24 152,298,722.27 Effective Rate of Return 1.36% 1.27% 1 certify that this report accurately reflects al€City and Redevelopment Agency pooled investments and is in conformity with ail State laws and the investment policy statement filed with the City Council on December 20, 2010. A copy of this policy is available at the office of the City Cferk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market Values provided by Union Bank via Interactive Data Corporation. Bob Hall,ACTING CITY TREASURER (D W Reporting period 02101/2011-02/2812011 Portfolio CITY AP Run Date 031091201 S-;'.59 PM(PRF_P -,,7.2 0 Report Ver 7 3 2 CD 3 w City of HB t Portfolio (Management Page 1 Portfolio Details - Investments February 28, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment 4 Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues-Coupon 3':331,JFT2 3833 Federal Farm Credit Bank 06/15/2010 2.000,000 00 2,01.1,6aD.00 2,000,000.00 2.620 AAA 2.262 1,567 06l15/2016 31JZK2 3850 Federal Farm Credit Bank 06/26/2010 3.000.000.00 2,992,590.00 3,000,000,00 1.050 AAA 1.050 909 06l2612013 31331.J5F9 3867 Federal Farm Credit Bank 1 21l 512010 3,000.DD0.00 2.970,600.00 3,000,000.00 2,480 AAA 2.480 1.750 12/1512015 31331J6T5 3875 Federal Farm Credit Bank 01/07/2011 3,000,000.00 2.999.610.00 3,000,000.00 0,890 AAA 0,890 678 01/0712013 3133XUNE9 3785 Federal Home Loan Bank 08/26/2009 2,000,000.00 2.020,36C.00 2.000.000.00 2.75C AAA 2.750 902 05/19/2013 31337CEG9 3843 Federal Home Loan Bank 07/28/2010 2,000,000.00 2,0051960.00 2,000,000.00 1.125 AAA 2.572 1:610 07/28l2015 :1337 0 NA2 3849 Federal Home Loan Bank 08130'2010 3,000,000.00 3,001,965.00 3,000.000.00 0.600 AAA 1.113 911 0812812013 313370X;V3 3559 Federal Home Loan Bank os/2012010 3,230,000.00 3,192,435.10 3.230,000.00 1.550 AAA 1.550 1,294 09/15/2014 31:,371SV9 3552 Federa'.Home Loan Bank 121C912010 3,000,000,00 2,912,490.00 3,000,000.00 2.000 AAA 2.000 1,744 12/09/2015 3133711t53 3863 Federal Home Loan Bank 12/10/2010 3,000,000.00 2,935,590.00 3,000,000.00 1.500 AAA 2.129 1,745 1211012015 313371XSO 3865 Federal Home Loan Bank 12/15/2010 2,000,000.00 2,000,640.00 2,000,000.00 1.000 AAA 1.000 1,751 12/16/2015 31337 WJJ2 3866 Federai Home Loan Bank 12/17/2010 3,000,000.00 3,002,190.00 3.000,000.00 1.450 AAA 1.450 1,296 09/17/2014 3128X7JK1, 3646 Federal Home Loan Mort Corp 05/06/2008 2,000,000 D0 2,007,080.00 1,999.480.59 3.250 AAA 3.480 44 04114/2011 3128XSTZ5 3725 FederaE Home Loan Mort Corp 04108/2009 2,000,000.00 2.004,580.00 2,000,000.00 2,500 AAA 2.500 769 04108/2013 -134G1TX2 3F,55 Federal Home Loan Mort Corp 09/23/2010 2,000.000.00 1,975.220.00 2,000,000.00 1.500 AAA 1.500 1,210 06123/2014 3134G1TY0 3856 Federal Home Loan Mort Corp 09/24/2010 2,000,000.00 i.993,740.DD 2,000,000.00 1.250 AAA 2.318 1,668 0912412015 3134G1UE2 3860 Federal Home Loan Mort Corp 09123/2010 2,000,000.00 1.996,640,00 1,999,087.78 1.000 AAA 2.445 1.667 09/2312015 3134GI P32 3869 Federal Home Loan Mort Corp 12/3012010 2,000,000.00 1.991.OD0.00 2,000,000.00 1.500 AAA 1 500 1 035 /2/3012013 3134G1L44 387C Federal Home Lean Mori Carp /2128/2010 3,000,000.00 2,990,310.00 2.996,512.50 1.000 AAA 1,051 550 0512812013 3136FWN0 3643 Fed.Nat'l Mort,Assoc. 04/29/2008 2.000,000.00 2,011,420.00 1,999,i35.56 4.000 AAA 4.022 790 04/29/2013 3136FMC23 3835 Fed.Nat'l Mort.Assoc. 05128/2010 2,000.000 00 1,983,740.00 2,000.000.00 2.000 AAA 2.000 1.308 09/29/2014 31395AZA9 3544 Fed.Nat'l Mort.ASSOC. 08105/2010 21COC,o00.00 1.966,680.00 2.000,000.00 2.125 AAA i.903 ',.618 08/05/2015 1398A'L4 3854 Fed.Nat'l Mort.Assoc. 09,1171201C 3,000,000.00 3,000.930.00 3.O00,00C.00 1.125 AAA 1.125 931 0911 712013 31398A3S9 3658 Fed.Nat'l Mort,Assoc. 0 9/3 012 0 1C 2,000,000.00 1.970,480.00 2,000,000.00 2.000 AAA 2.000 1.674 09/30/2015 3136FPUM7 3861 Fed,Nat'l Mort.Assoc. 10129/2010 3,000,000.00 2.960,950.00 2.996,601.67 1.125 AAA 1.962 1,703 10/29/2015 3136FPYL5 3868 Fed.Nat'l Mort.Assoc, i2110/2010 2,000,o00.00 1.951,780.00 1,964,049.28 1.000 AAA 1.530 1,281 09/0212014 3136FPll79 3871 Fed.Nat'[Mort,Assoc. 2/28,12010 3,000,000.00 3,003.780.00 3,00D 000.00 1.500 AAA 2.814 1,753 12/2812015 3136FPYL5 3872 Fed.Natl Mort.Assoc. /2131/2010 3,000,000.00 2,927,670.00 2,938,429.60 1.000 AAA 1.605 1,281 09/0212014 3136FPH1-5 3873 Fec,Nat'l Mort.ASSOC, 12131/2010 3,000,000.00 2,978,760.00 2,982,757.36 1.000 AAA 1.729 1.387 12/17/2014 313oFPP54 3874 Fed,Nat'l Mort.Assoc. 1 2/3 1 12 01G 3,000,000.00 2,958.720.00 2,960,147,92 2.050 AAA 2.343 1,765 12/3012015 3135FPZ91 3876 Fed.Nat'l Mort.Assoc. 0112//2011 3.000,000.00 2,968,800.00 3,000,000.00 1,750 AAA 1.750 1,238 071'2112C14 3135FP2CC 3877 Fed.Na"t'l:Mor7..Assoc 0VO&2011 3,COC,000.00 2,997,3CQG0 3,000,000.o0 1.500 AAA 1.500 1,042 01:06/2014 Subtotal and Average 81,066:171,52 81,230,000.00 30,675,790.10 817068,202.26 1,891 1:292 Portfoilo CITY AP 'RF PM2}T2.0 City of HB Portfolio Management Page 2 Portfolio Details - Investments February 28, 2011 Average Purchase Stated YTM pays to Maturity CUSIP Investment Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity pate Local Agency Investment Funds SYS982 982 Laif City 28,000,000.00 28,000,000.00 28,000,000.00 0.512 0.512 1 SYS2206 2206 LAIF-Redeveloprnent Agency 30.000,00"0 30,000,000.00 30,0D0,000.00 0.512 0.512 Subtotal and Average 59,321,428.57 68,000,000,00 58,000,000.00 58,000,000.00 0.512 1 Medium Term Notes 060508AJ0 3734 Bank of America FDIC Insured 04/3012009 2,000,000.00 2,049,120.00 2,013,797.14 2.375 AAA 1.830 479 06/22/2012 17314.AAF9 3723 Citigroup FDIC Insured 03/30/2009 2,000,000.00 2,032,000.00 1,998,062.20 2.000 AAA 2,093 395 03/30/2012 17313YA.E7 3739 C:group FDIC Insured 05/05/2009 2,000,000.00 2,004.C40.00 1,999,948.44 1.375 AAA 1.390 65 05105/20/1 36967HEB2 3805 GE Capital FDIC lnsured 11/03/2009 2,000,000.00 2,044,420.00 2,006,561.97 2.000 AAA 1.720 577 09/28/2012 36967HAN7 3733 General Eiectric Cap FDIC Insu 04/30/2009 2,000,000.00 2,037,320.00 2,011,000,58 2,250 AAA 1.701 377 03/12/2012 36967HAH0 3735 General Electric Cap FDIC Insu 04130/2009 2,000,000,00 2,043,540.00 2,008,592.25 2.200 AAA 1.850 405 06/08/2012 3e185CBF9 3763 GMAC FDIC Insured 06130/2009 2,000,000.00 2,051.660.00 1,994.479.81 2.200 AAA 2,361 659 12/19/2012 35185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,037.380,00 1,998,909.90 1.760 AAA 1.764 609 10130/2012 38146FAF8 3732 Goldman Sachs FDIC Insured 04/27/2009 2,000,000.00 2,010.800,D0 2,001,272,83 1.625 AAA 1.450 136 07115/201 1 451247AK0 3738 JP Morgan Chase FDIC Insured 04130/2009 2,000,000.00 2.041,980.00 2,010,731.80 2.200 AAA 1,770 472 0611612012 49328CAA3 3770 Key Bank FDIC Insured 06130/2009 2,000,000.00 2,070.140.00 2,022,878.99 3.200 AAA 2.000 472 00/15/2012 6'757UAF 7 3736 €vlorgan Stanley FDIC insured 04/30/2009 2,000,000.00 2,019,920.00 2.006,673.57 2.000 AAA 1.390 205 09/22/2011 9?i6v"H.AC1 3743 US Bank FDIC Insured 05/19/2009 1,000,000.00 1,016.980,00 1,001,637.58 1.800 AAA 1.660 441 05115/2012 W J Subtotal and Average 25,086,798.15 25,000,000.00 2$,459,300.00 25,083,547.06 1.773 411 Money Market Acct SYS3802 3802 Union Bank-US Gov';MMF 0,00 0.00 0.00 0,050 0,050 1 SYS3769 3769 Union Bank-US Trea MMF 0,00 0,00 0.00 o.020 AAAmt 0.020 Subtotal and Average 0.00 0,00 0.00 0.00 0.000 0 Total and Average 165,474,398.24 164,230,000.00 164,135,090.10 164,151,749.32 1.386 701 3 PO'.10siCi Ci TY W AP ,nDat �31G9l21t �1.Sn PN(PfiF_P?J2}i-20 CD 3 W City of HB Portfolio Management Page 3 00 Portfolio Details - Cash February 28, 2011 Average Purchase Stated YTM Daysto �USIP Investment# issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Average Balance 0.00 Accrued Interest at Purchase 4.723.13 4,723.13 0 Subtotal 4,723.13 4,723.13 Total Cash and Investments 165,474,398.24 164,230,000,00 164,139,813.23 164,156,472.45 1.386 701 W CO Port:Qko CITY AP R�7 Date 03109 59 ,2.0 City of HB Portfolio [Management Page 1 Activity By Type February 1, 2011 through February 28, 2011 Stated Transaction Purchases Redemptions CUSIP Investment P Issuer Rate Date or Deposits or Withdrawals Balance __ --- .. ._._.._. ._....... _ _... .. _ ........................._. ... ......._.. Federal Agency issues-Coupon Subtotal 81,068,202,26 Local Agency Investment Funds (Monthly Summary) S 5982 982 Lai`C iy 0.512 0-00 Z000.000.00 Subtotal 0.00 2,000,000.00 58,000,000.00 Medium Term Notes Subtotal 25,083,547.06 Money Market Acct (Monthly Summary) Subtotal 0.00 Total 0.00 2,000,000.00 164,151,749.32 Cam W QO f C 3 W Portfolio CITY i �r1 AP tYJ ,r.D2;e 03!C912-1' SS PM(PRF PM3)7.2.0 Reaart Ver,7 3,2 r+ CD 3 W City of HB ' Portfolio Management page 1 p Activity Summary February 2010 through February 2011 Yield to Maturity Managed Number Number Month Number of Average 360 365 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity February 2010 54 165,290,104.23 1.687 1.710 0.577 1 2 800 618 March 2010 51 160,0101461.11 1,559 1.531 0.547 2 5 724 536 April 2010 55 160,226,735.19 1.432 1.452 0.588 9 5 662 499 May 2010 57 184,628,114.04 1.341 1.360 0.560 4 2 627 465 June 2010 55 188,112,806.29 1.331 1.350 0.528 5 7 634 460 July 2010 48 177,366,265.25 1.361 1.380 0.531 8 15 646 466 August 2010 47 162,076,756.20 1.320 1.338 0.513 7 8 641 453 September 2010 46 154,161,946.43 1.383 1.402 0.500 8 9 744 555 October 2010 42 147,479,654.35 1.393 1.412 0.480 1 5 752 542 November 2010 39 141,605,221.96 1.220 1.237 0.454 1 4 677 488 December 2010 46 144,716,923.18 1.337 1,356 0.462 12 5 869 712 January 2011 49 163.147.527.45 1.365 1.384 0.538 3 0 878 710 February 2011 49 165,474,398.24 1.367 1.386 0.512 0 0 889 701 Average 49 162,612,733.11 1,392% 1.411% 0.522 5 5 734 554 c� t POri'0710 CITY AP r?•!09 -gg M(PRF PV,4)7 2.0 Reuor,ver.7 3.2 City of HB Portfolio Management Page 1 Distribution of Investments By Type February 2010 through February 2011 February March April May June July. August September October November December January February Average Security Type 2010 2010 2010 2010 2010 2010 2010 2010 2010 2010 2010 2011 2011 by Period Repurchase Agreements Certificates of Deposit Commercial Paper-Interest Bearing - - ------_-..._ ..... _...... . Federal Agency Issues-Coupon 45,2 39.9 36.7 33.8 33.9 34.2 33 8 40.4 37.4 31.6 45.9 48.8 49.4 39 3% Local Agency Investment Funds 36,4 37.5 33.4 31.7 31.8 36.7 37.5 395 42.2 41.9 38.2 36.1 35.3 36.8% Treasury Securities-Coupon Medium Term Notes 17.0 17.0 15.1 14.3 14,4 16.6 17.0 17.9 19.1 18.9 16.0 15.1 15.3 16.4% Negotiable CD's Certificates of Deposit-Bank Mortgage Backed Securities Bankers Acceptances-Amortizing Commercial Paper Disc.-Amortizing 2,5 5.0 7.4 4.8 2.5 1 7% Federal Agency Disc.-Amortizing 6.1 11.1 7.9 7.4 2 5% .._......__- _ - ....... -...-.-._ _. Treasury Discounts-Amortizing Miscellaneous Discounts-Amortizing UJ Money Market Acct- _- 1.4 3.1 - 3.8 1.8 7 1.2 2.7 3.0 2.2 1.4 2.7 2 3% t Rolling Repurchase Agreements (D 3 Poltfolio CITY l AP PN(PRF_PM5)7 2 C Repon Ver 7 3 2 (D 3 City of HB Portfolio Management Page 1 IV Interest Earnings Summary February 28, 2011 February 28 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 77,150.00 625,925.00 Plus Accrued Interest at End of Period 464,461.48 464,461.48 Less Accrued Interest at Beginning of, Period { 389,587.83) ( 407,110,33) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 152,023,65 683.276.15 Adjusted by Premiums and Discounts -2,372,89 -17,1,44.71 Adjusted by Capital Gains or Losses 0.00 15,643.42 Earnings during Periods 149,650.76 681,774.86 _._ ---- — _ ........_.............. ---- --- -.. . . ..... ...... --- Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) ED Interest Earned during Period 0.00 0.00 t Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0,00 Cash/Checking Accounts: Interest Collected 0,00 146,380.75 Pfus Accrued Interest at End of Period 52,895.17 52,895.17 Less Accrued Interest at Beginning of Period ( 29,595.66) ( 79,324.45) Interest Earned during Period 23,299.51 119,951.47 Total Interest Earned during Period 175,323.16 803,227,62 Taal Ad;ustments from Premiums and Discounts -2,372.89 •17,144.71 Total Caplt�-f Gains or Losses O.Oul 15,643.42 Total Earnings during. Period 172;950.27 801,726,33 PMfoiio CITY AP Pun Date C3/09 '.5P M(PRP_PM6)7.2,0 Repo Ver.7.3.2 r Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Office of the City Treasurer February 2011 Cash Receipts and Disbursements January 2011 February 2011 Receipts Property Tax Receipts $13,075,254 $167,756 Utility Tax Receipts (UUT) 1,633,826 1,679,343 Sales Tax Receipts 1,387,800 1,850,400 1/2 Cent Safety Sales Tax Receipts 123,457 116,763 Highway Users Tax Receipts (HUT) 568,546 414,572 Transient Occupancy Tax Receipts (TUT) 317,068 411,586 All Other Receipts 20,700,574 $13,201,409 Subtotal Receipts $37,806,525 $17,841,829 Disbursements All Other Disbursements (23,656,295) (26,526,464� Net Change in Cash Flow $8,200,940 ($8,684,635) _Summary of Cash by Fund January 2011 Februa�r r 2011 General Fund $47,727,321 $45,197,973 Government Funds 769,797 . 214,855 Capital Funds 12,219,095 11,616,761 Debt Service Funds 9,570,393 8,020,813 Enterprise Funds 90,027,370 87,272,403 Fiduciary Funds 258,619 (362,418) Special Revenue Funds 12 486,490 13,273 L8 $173,059,086 "" $165,234,205 *Total cash will differ from investment portfolio total due to outstanding checks and/or other timing Note; Above information was obtained from the City's accounting system records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in compliance with the City's Charter. City Treasurer Monthly Report of Receipts&Disbursernents.As February 2011 NB -43- Item 3. - 13 State of California Pooled Money Investment Account Market Valuation 2/28/2011 Carrytg Cori Qescrtpnon . Accrued Interest Purcti �a>r Ualu.e -_::..Accrued:{merest United States Treasury: Bills $ 24,925,395,972.22 $ 24,981,322,000.00 NA Notes $ 6,038,516,695.02 $ 6,086,025,000.00 $ 18,419,742.00 Federal Agency: SBA $ 533,995,870.69 $ 532,671,181.58 $ 576,111.79 MBS-REMICs $ 521,341,377.48 $ 556,020,854.68 $ 2,468,380.47 Debentures $ 1,377,365,350.08 $ 1,376,936,500.00 $ 1,959,852.75 Debentures FR $ 200,000,000.00 $ 200,076,000.00 $ 30,625.00 Discount Notes $ 8,676,516,304.06 $ 8,702,994,500.00 NA GNMA $ 54,874.20 $ 56,213.49 $ 542.46� IBRD Deb FR $ 300,000,000,00 $ 300,660,000.00 $ 158,439.00 CDs and YCDs FR $ 800,000,000.00 $ 800,000,000.00 $ 250,959.72 Bank Notes $ 1,050,000,000.00 $ 1,050,100,177.09 $ 656,527.77 CDs and YCDs $ 6,550,000,888.64 $ 6,550,393,837.17 $ 2,350,534.72 Commercial Paper $ 8,235,114,91247 $ 8,237,154,316.68 NA Corporate: Bonds FR $ - $ - $ Bonds $ - $ - $ - Repurchase A reements $ - $ - $ Reverse Repurchase $ - $ - $ Time Deposits $ 3,803,640,000.00 $ 3,803,640,000.00 AB 55&GF Loans $ 6,118,055,111.96 $ 6,118,055,111.96 NA TOTAL $ 69,129,997,356.82 $ 69,296,105,692.65 $ 26,871,715.68 Fair Value Including Accrued Interest $ 69,322,977,408.33 Repurchase Agreements, Time Deposits, AB 55&General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). Item 3. - 14 HB - 4- ATTACHMENT #2 rvB -45- Item 3. - 15 CD 3 w schedule of Bond Investments i leld by Fiscal Agent as of January 31,2011 C�)-;ummary of investments by type Market Value Market Value Par Value Investment Type as of 12/31/10 as of 01/31/11 $3,613,812 Local Agency Investment Fund(LAIF) $3,609,265 $3,613,812 $0 Federal Agency Issues $0 $0 $3,637,407 Investment Agreements $3,637,407 $3,637,407 $6,509,807 Money Market Funds $5,253,580 $6,509,807 $0 US Treasury Securities $0 $0 $13,761,026 $12,500,252 $13,761,026 Summary of Investments by Bond Issue Market Value Market Value Par value Bond Issue Description as of 12/31/10 as of 01/31/11 $926,328 City of Huntington Beach-2004 Judgment Obligation Bonds(Property Tax Refunds) $1,159 $926,328 $2,208,658 City of Huntington Beach-2003-1 Community Facilities District(Huntington Center-Bella Terra) $2,206,138 $2,208,657 $1,649,250 Redevelopment Agency of Huntington Beach-2002 Tax Allocation Refunding Bonds $1,649,250 $1,e49,250 $504,117 Huntington Beach Community Facilities District No. 2002-1 (McDonnell Centre Business Park) $503,652 $504,117 $2,043,647 Huntington Beach PFA- 2001 Series A(South Beach Improvements&Central Park Sports Complex) $2,043,646 $2,043,647 $2,951,465 Huntington Beach PFA- 2001 Series B (1993 Civic Center&Police Administration Bldg. Refinance) $2,620,745 $2,951,465 $1,254,832 City of Huntington Beach-2001 Community Facilities District(Grand Coast-Hyatt) $1,254,832 $1,254,832 $173,698 City of Huntington Beach-90-1 Community Facilities District Special Tax Refunding $173,100 $173,698 $3,157 Huntington Beach PFA-2000 Series A(Water System Impv., Beach Mnt. Facility, Energy Retrofit, SB Phase 1) $3,157 $3,157 $754,917 Redevelopment Agency of Huntington Beach- 1999 Tax Allocation Refunding Bonds $754,050 $754,917 $1,242,749 Huntington Beach Public Financing Authority Lease Refunding Bonds 2010 Series A $1,242,727 $1,242,749 $13,761,027 $12,500,252 $13,761,026 ATTACHMENT #3 HB -47- Item 3. - 17 CD 3 City of Huntington Beach W Deferred Compensation Plan Summary Information ' as of December 31, 2010 00 Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (9-30-10) (12-31-10) ICMA Retirement Corporation (457 Plan) $28,328,017 $687,506 ($1,080,692) $1,569,029 ($1,826) $30,002,034 ICMA Retirement Corporation (401 Plan) $1,121,202 $13,199 ($2,768) $50,525 $0 $1,182:158 Nationwide Retirement Solutions (457 Plan) $53,750,774 $1,409,434 ($1,211,170) $2,489,016 ($31,651) $56,406,403 Total Deferred Compensation Plan Balances $83,699,993 $2,110:139 ($2,294,630) $4,108,570 ($33,477) $87,590,595 00 r ATTACHMENT #4 _ , He -49- Item 3. . 19 r+ (D 3 City of Huntington Beach W Retiree Medical Trust Information ' as of December 31, 2010 N O Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (9-30-10) (12-31-10) CaIFERS Retiree Medical Trust Account $8,935,016 $221,000 $571,331 ($1,203) $9,726,144 w 3 ATTACHMENT #5 3 -51- Item 3. - 21 ;7 fD 3 City of Huntington Beach W Supplemental Pension Trust Information ' as of February 28, 2011 N N Beginning Contributions/ Distributions/ Earnings Other Ending Balance Dividends Transfers (change in value) Balance (1-31-11) (2-28-11) Supplemental Pension Trust Account $30,043,235 $20,617 $638,880 $30,702,732 3 i Council/Agency Meeting Held:3& 2-011 Deferred/Continued to: Ski Appr ved ❑ Conditionally Approved ❑ Denied XL. Ci 'Cler Signatu -7 Council Meeting Date: March 21, 2011 Department ID Number: FN 11-004 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Bob Hall, Deputy City Manager SUBJECT: Receive and File the City Treasurer's January 2011 Investment Summary Report Statement of Issue: Receive and File the Monthly Investment Report for January 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Motion to: Receive and File the Monthly Investment Report for January 2011, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique monthly report. HB - 7- Item 7. - 1 REQUEST FOR COUNCIL ACTION MEETING DATE: 3/21/2011 DEPARTMENT ID NUMBER: FN 11-004 Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Maintain financial viability and our reserves. Improve internal and external communications. Attachment(s): Description 1. Monthly Investment Report and Summary of Investments for January 2011 2. Schedule of Bond Investments 3. Deferred Compensation Plan Summary Information 4. Retiree Medical Trust Investments 5. Supplemental Pension Trust Investments Item 7. - 2 i- B - - TAT C H M E N T # 1 City of Huntington Beach Summary of City Investment Portfolio Bond Proceeds, Deferred Compensation, Retiree Medical Trust, and Deferred Compensation Trust Activity for January 2011 City Investment Portfolio; December January Inc./(Dec.) End of month City Portfolio Balance $157,126,238 $166,154,122 $9,027,884 End of Month Market Value $157,311,475 $166,341,732 $9,030,257 End of month General Fund Balance $37,273,607 $47,727,321 $10,453,714 Monthly Effective Rate of Return 1.19% 1.25% 0.06% Average Maturity ( in days) 712 710 (2) End of month bank cash balance $8,769,080 $4,813,164 ($3,955,916) Bond Proceeds Investments:* November December Inc./(Dec.) End of Month Bond Reserve Par Value $14,343,983 $12,500,252 ($1,843,731) Deferred Compensation Investments:** September December Inc./(Dec.) Participant Balances $83,699,993 $87,590,595 $3,890,602 Retiree Medical Trust:** September December Inc./(Dec.) Trust Balance $8,935,016 $9,726,144 $791,128 Supplemental Pension Trust: December January Inc./(Dec.) Trust Balance $29,801,312 $30,043,235 $241,923 Comparison to Budget/ City Portfolio: Budget Actual Inc./(Dec.) Interest Earned for Month $156,250 $173,100 $16,850 Interest Earned Year to Date $625,000 $628,776 $3,776 Earned Interest Yield Year to Date 1.25% 1,25% 0.00% Average Daily Balance $150,000,000 $149,299,381 ($700,619) *Bond Proceeds Statements are issued monthly and may lag by more than one month. —Deferred Compensation and Medical Retiree Statements are issued quarterly. Summary by Individual Investment in City Investment Portfolio: Days YTM Int. January % of Total Policy Limit to Mat. Rate Federal Agency Issues - Coupon $81,064,254 49% None 1320 1.89% Local Agency Inv. Fund (LAIF) $60,000,000 36% $60 million 1 0.54% Medium Term Notes $25,089,869 15% 20% 439 1.77% $166,154,122 100% 710 1.38% Item 7. - 4 HB - - City of Huntington Beach a� 2000 Main St City of HS Huntington Beach, Portfolio Management Portfolio Summary uvTY January 31, 2011 Par Market Book %of Days to YTM YTM investments Value Value Value Portfolio Term Maturity 360 Equiv, 365 Equiv, Federal Agency Issues-Coupon 81,230,000.00 80,851,302.20 81,064,253.59 48.79 1,476 1,320 1.865 1.691 Local Agency Investment Funds 60,000,000A0 60,000,000-00 60,000,000.00 36.11 1 1 0.531 0.538 Medium Tetm Notes 25,000,000.00 25,490,430-00 25,089,868.62 15.10 1,042 439 1.749 1.773 166,230,000.00 166,341,732.20 166,154,122.21 100.00% a78 710 1.365 1.384 investments Cash and Accrued Interest Accrued Interest at Purchase 4,123,13 4,723.13 S u btotal 4.723-13 4,72313 Total Cash and Investments 166,230,000.00 166,346,455.33 166,158,845.34 878 710 1.365 1.384 ........ Total Earnings January 31 Month Ending „ _ Fiscal Year To Date Fiscal Year Ending- __ _.._.,......._ _ .._ .,__._._..,.... - .. _... -....._.—__..._.... --... - ... . ...._..-_...,.... _ - Current Year 173,099.92 628,776.05 Current Budget 156,250.00 625,000.00 1,875,000.00 Last Year Actual 220,573.00 894,129,00 2,522,076.00 Average Daily Balance 163,147,627.45 149,299,381.41 Effective Rate of Return 1.25% 1.25% 1 certify that this report accurately reflects all City and Redevelopment Agency pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on December 20,2010. A copy of this policy is available at the office of the City Clerk.The investment program herein shown provides sufficient cash flow liquidity to meet the next six month's obligations. Market Values provided by Union Bank via Interactive Data Corporation. Bob Hall,ACTING CITY TREASURER Reporting period 01101/2011-01131/2011 Portfolio CITY AP Run Dam:03f07r2011-14,41 PM(PRF_PM1)7 2 0 Reaort Var,7,3.2 1 CD City of HB Portfolio Management Page 1 Portfolio Details - Investments January 31, 2011 Average Purchase Stated YTM Daysto Maturity CUSIP investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues-Coupon 311331JRT2 3832 Federal Farm Credit Bank 06/15/2010 2 000.000,03 2,019,760.00 2,000,000 00 2.620 AAA 2.262 1.595 0611512015 31331JZK2 3850 Foderal Farm Credit Bank 08126/2010 3 000,000.00 2,999,100.00 3,0001000.00 1.050 AAA 1.050 937 08/2612013 31331J5E9 3867 Federal Farm Credit Bank 12/15/2010 3,000.000.00 2,084,010.00 3,000,000.00 2.480 AAA 2.480 1,773 12/15/2015 31331 J6T5 3875 Federal Farm Credit Bank 0110712011 3,000,C00.00 3,000.000.00 3,000,000,00 0.890 AAA 0.890 706 01107/2013 3133XUNE9 3735 Federal Home Loan Sank 08/26/2009 2,000,000.00 2,026,540-00 2,000,000.00 2.750 AAA 2,750 930 08119/2013 313370EG9 3843 Federal Home Loan Bank 07/28/2010 2,000,000,00 2,004.720,00 2,000,000 00 1.125 AAA 2 572 1,638 07128/2015 313370NA2 3849 Federal Home Loan Bank 08/30/2010 3,000,000.00 2,999,667.00 3,000,000.00 0.boo AAA 1.1 13 939 08/28/2013 313370XVJ3 3859 Federal Horne Loan Sank 09/20/2010 3,230,C00.00 3,211,305.20 3,230,000.00 1 550 AAA 1,550 1,322 09115/2014 313371SV9 38F,2 Federal 11eme Loan Sark 12 0912010 3,000,000.00 2,894,040.00 3,000.000,00 2.000 AAA 2.000 1,772 12JO912015 313371 U53 3863 Federal Home Loan,Bank 12/10/2010 3.000,000.00 2,925,150.00 3,000,000.00 1,500 AAA 2.129 1,773 12/10l2015 313371Xso 3865 Federal Home Loar.Bank 12/15/2010 2,000,OOC.00 1,999.220.00 2,GCO,00000 1-COO AAA I.000 1,779 12J1612016 313371WW2 3866 Federat Home Loan Bank 12/17/2010 3,000,000.00 3,002,190.00 3,000,000.00 1.450 AAA 1.450 1,324 0911712014 3128X7JK1 3646 Federal Home Loan Mort Corp 05/0612008 2,000,000-00 2,015,480.00 1,999,118.20 3,250 AAA 3.480 72 04i1412011 312SXBTZ5 3725 Federal Home Loan Mort Corp 04108/2009 2,000,000.00 2.011,020.00 2,000,000.00 2.500 AAA 2.500 797 04i0812013 3!34GITX2 3855 Federal Horne Loan Mort Corp 09123/201C 2,000,000.00 1,981,340.03 2,000,000.00 1.500 AAA 1.500 1,238 06/23/2014 3134G?TY0 3856 Federal Home Loan Mort Corp 09/24/2010 2,000,000,00 1,991,120.00 2,000000.00 1 250 AAA 2.318 1,696 C-912412 0 1 5 3134GiUE2 3863 Federal Home Loan Mort Corp 09f23/2010 2,000,00C.00 1,993,040.00 1,999071,11 1.000 AAA 2.445 1,695 09/23/2015 3134G1P32 3869 Federal Home Loan Mort Corp 12/30/2010 2.000,000.00 1.996,000.00 2.000.000.00 1.500 AAA 1.500 1,063 12/3012013 UZI 3134G1144 3870 Federal Home Loan Mort Corp 1212.8/2010 3,000,000.00 2,991,030.00 2,996,387.50 1.000 AAA 1.051 878 06/28/2013 t 1 0 3136FSMNO 3643 Fed,Nat'l Mort,Assoc. 04/20/2008 2,000,000,00 2,021 980.00 1,999,102.22 4.000 AAA 4.022 816 04/2912013 3136FMG123 3835 Fed.Nat'l Mort,Assoc. 06,12812010 2,000,000.00 1.997,92000 2.000,000.00 2.000 AAA 2.000 1,336 09/2912014 313GWA9 3844 Fed Nat'l Mort.Assoc. 08/05/2010 2,000,000.00 1,960,960.00 2.000,000.00 2.125 AAA 1.903 1,646 08/05/2015 31398A31-4 3854 Fed.Nat'l Mort Assoc. 09/17/2010 3,000,000.00 2,993,070,00 3.000,000.00 1.125 AAA 1.125 959 09J1712013 31398A339 3858 Fed.Nat'l Mort.Assoc. 09/3012-310 2,000,000.00 1,959,480 00 2,000,G00,00 2.000 AAA 2.000 1,702 09/30/2015 3136FPUM7 3861 Fed.Nat'l Mort.Assoc. 10/29/2010 3,000,000.00 2,936,070.00 2,998,676.67 1.125 AAA 1.962 1,731 10/29/2015 3136FPYL5 3868 Fed.Nall Mort.Assoc. 12I0/2010 2,000,000.00 1,965,300.o0 1,96'5.19&99 1.000 AAA 1.530 1,309 09/02J2014 3136FPV79 3871 Fed.Nat'l Mort Assoc. 12J28/2010 3,000,000.00 3,010,830.00 3,000,000.00 1.500 AAA 2.814 1.791 12128i2015 3136FPYL5 3872 Fed.Nat'l Mort.Assoc 12/31/2010 3,000,000 00 2,947,950 o0 2,936.964.80 1.000 AAA 1.606 1,309 09/02/2014 3136FPH75 3873 Fed.Nat'l Mort.Assoc. 12/31/2010 3.000,000.00 2,995,890.00 2,982,37&66 1,000 AAA 1,729 1,415 12/1712014 3136FPP84 3874 Fed.Nat'l Mort.Assoc. 12/31/2010 3,000,000,00 2,993,430.00 2,959,460.42 2.050 AAA 2.343 1,793 1230/2015 3136FPZ91 3876 Fed.Nat'l Mort.Assoc. O'/2112011 3,000,000.00 3,000,000.00 3,000,000.00 1.750 AAA 1,750 1,266 07/21/2014 3136FP2CO 3877 Fed.Nat'l Mort.Assoc. C1/0512011 3.000,000.00 3,000,000.00 3,000,000.00 1 Soo AAA 1 500 1,070 01/06/2014 Subtotal and Average 78,062,405.91 81,230,000.00 80,851,302.20 81,064,253.59 1.891 1,320 Portfolio CITY AP RCr:pale,03/07/201 1-14,27 PPJ1(PRF_P1+f21 7 2.0 ? --at Ver.T3.2 City of HB Portfolio Management Page 2 Portfolio Details - Investments January 31, 2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Local Agency Investment Funds SYS982 982 La1City 30,000,000.00 30,000,000.00 30,000,000.00 0.638 0.538 1 SYS2206 2205 LAIF-Redevelopment Agency 30,000,000.00 30,000,000.00 30,C00,000,00 0.538 0.538 1 Subtotal and Average 59,992,296.30 60,000,000.00 60,000,000.00 60,000,000.00 0.538 1 Medium Term Notes OSC50BAJO 2734 Sank of Amenca FDIC Insured 0413012009 2,000.000-00 2,051,620 00 2,014,675.94 2.375 AAA 1.830 507 06/22/2012 17314AAF9 3723 Otigroua FDIC Insured 03/30/2009 2,000,000.00 2,032,660.00 1.997,912.76 2.00-0 AAA 2,093 423 03130/2012 <7313YA67 3739 Citigroup FDIC Insures 05/0512CO9 2,000.000.00 2,007,720.00 1,999,924,28 1.375 AAA 1,390 93 05105/2011 36967HE62 3805 GE Cap'tal FDIC Insured 11/03/2009 2.000,000,00 2,042,900.00 2,009.014,99 2.000 AAA 1 720 605 09128/2012 36967HAR7 3733 General Electric Cap FDIC€nsu C4/3012009 2,000,000.00 2,042,320-00 2,011.890.12 2.250 AAA 1.701 406 0311=012 3b967HAH3 3735 General Electric Cap FDIC€nsu C413012009 2.000,000.00 2,044,780.00 2,009,156,30 2.200 AAA 1850 493 06108/20/2 36186CBF9 3763 GMiAC FDIC Insured 06/30/2009 2,000,000,00 2,057,060.00 1,994,224,24 2.200 AAA 2.361 687 12/19/2012 36185JAA7 3804 GMAC FDIC Insured 11/03/2009 2,000,000.00 2,035,420.00 1,998,855.30 1,750 AAA 1.784 637 10/30/2012 38146FAFB 3732 Goldman Sachs FDIC Insured C4127=09 2,000,000.00 2,014,300.00 2,001.557,79 1.625 AAA 1.450 164 07/15/2011 481247AKO 3738 1P Morgan Chase FDIC Insured C4130/2009 2,000,000.00 2,046,100.00 2,011,425.67 2.200 AAA 1.770 500 o05/2012 49328CAA3 3770 Key Bank FDIC insured 0613012009 2,000,000.00 2,074,760,00 2,031,810,82 3.200 AAA 2000 500 06/15/2012 61757UAF7 3738 Morgan Stanley FDIC Insured 04/30/2009 2,000,000.00 2,024,240,00 2,007,669.63 2.000 AAA 1.39C 233 09/2=011 91160HAC1 3743 US Bank FDIC Insured 05/19,2009 1,000,000.00 1,016,550.00 1,001.750.78 1.800 AAA I.660 469 05/15/2012 Subtotal and Average 25,092,925.24 25,000,000.00 25,490,430.00 25,089,868.62 1.773 439 { .. ..,._._.._.. __-____ ...,.__._...... ... ... ...... . . .......... - __ -............. _._-- .._.-------" _.. _....._........ ..,...,...__.--_....--------.._.,....._-- _-__._...-_.,.........,-_ .....-_........ ...-_ --...._ Money Market Acct SY53802 3202 Union Bank-US Gov=,MPAF 0.00 0.00 0.00 0.050 0.050 1 SYS3789 3169 Union Bank-US Trea MMF 0.00 0.00 0.00 0.020 AAAmf 0.020 1 Subtotal and Average 0.00 0100 0.00 0.00 0.000 0 Total and Average 163,147,527,45 166,230,000.00 166,341,732.20 166,154,122.21 1.384 710 Portfolio CITY 3 AP J n Daze:03JC7/2011-14 27 PM(PRF PM2)7.2 0 CD 3 City of HB -Nj Portfolio Management Page 3 1 Portfolio Details -Cash 00 January 31, 2011 Average Purchase Stated YTM Days to CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Average Balance 0.00 Accrued Interest at Purchase 4,72313 4.723.13 0 Subtotal 4,723.13 4,723.13 Total Cash and Investments 163,147,527.45 166,230,000.00 166,346,455,33 166,158,845.34 1.384 710 M LSD r Portfolio CITY AP Run Dam 03107,2C11-14 27 PM(PRF_PM2)7.2.0 City of HB Portfolio Management Page 1 Activity By Type January 1, 2011 through January 31, 2011 Stated Transaction Purchases Redemptions CUSIP Investment# Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues-Coupon 31331.16T5 2875 Federal Farm Credit Bank 0.890 01107/2011 3,000,000.00 0,00 3136FPZ01 3876 Fed,Nat'l Mort.Assoc. 1.750 OV2112011 3,000,000.00 0,OC 3136Fp2C0 3877 Fed.Nat'l Mort.Assoc. 1,500 01/0612011 3,000,000.00 0.00 Subtotal 9,000,000.00 0.00 81,064,253.59 Local Agency Investment Funds (Monthly Summary) SYS982 982 Laff City 0-538 34,423.36 4,166.46 SYS2206 2206 LAIF-Redevelopment Agency 0.538 34,464.82 34,464.82 Subtotal 68,888.18 38,631.28 60,000,000.00 Medium Term Notes Su btotal 25,089,868.62 Money Market Acct (Monthly Summary) Subtotal 0.00 Total 9,068,888.18 38,631.28 166,154,122,21 I� E 6 7m7 lV Portfolio CITY ,J AP )a¢a:03/07!2)11-14,27 PM(PRF_PM3)7.2.0 1 Repart Ver 7 3 2 CD 3 City of HB �J Portfolio Management Page 1 Activity Summary January 2010 through January 2011 Yield to Maturity Managed Number Number -- Maturity Month Number of Average 360 365 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity January 2010 55 171,370,134.78 1.586 1.608 0.558 5 3 741 585 February 2010 54 165,290,104.23 1.687 1.710 0.577 1 2 800 618 March 2010 51 160,010,461,11 1.559 1.581 0.547 2 5 724 536 April 2010 55 160,226,735.19 1.432 1.452 0.588 9 5 662 499 May 2010 57 184,628:114.04 1.341 1.360 0,560 4 2 627 465 June 2010 55 188-112,806.29 1.331 1.350 0,528 5 7 634 460 July 2010 48 177,366,265.25 1.361 1.380 0.531 8 15 646 466 August 2010 47 162,076,756.20 1,320 1.338 0.513 7 8 641 453 September 2010 46 154,161,946.43 1.383 1.402 0.500 8 9 744 555 October 2010 42 147,479,654.35 1,393 1.412 0.480 1 5 752 542 November 2010 39 141,605,221.96 1.220 1,237 0.454 1 4 677 488 December 2010 46 144,716,923.18 1.337 1.356 0.462 12 5 869 712 January 2011 49 163,147,527.45 1.365 1.384 0.538 3 0 878 710 Average 50 163,095,947.33 1.409% 1.428% 0.526 5 5 723 545 C�7 CSJ 4 Portfolio CITY AP Run pare 03107/201/-1427 Pm(PRF PM4)7.2.0 Reper,Ver, 7,32 City of HB Portfolio Management Page 1 Distribution of Investments By Type January 2010 through January 2011 January February March April May June July August September October November December January Average Security Type 2010 2010 2010 2010 2010 2010 2010 2010 2010 2010 2010 2010 2011 by Period Repurchase Agreements Certificates of Deposit ..,.. _..... ..._ - Commercial Paper-Interest Bearing ..... . .. ........ _.. -. -. _ ...__...... Federal Agency Issues-Coupon 42.4 45.2 39.9 36.7 33.8 33.9 34.2 33.8 40.4 37.4 31.6 45.9 48.8 38.8% Local Agency Investment Funds 35.4 36.4 37.5 33.4 31.7 31.8 36.7 37.5 39.5 42.2 41.9 38.2 36.1 36.8°% Treasury Securities-Coupon ............ . _ . ... _....... . ._... _._........... .. - ...._ . ..... -- .._..__...... -- ..._.._._.-.. - Medium Term Notes 16.0 17.0 17.0 15.1 14.3 14.4 16.6 17.0 17.9 19.1 18.9 16.0 15.1 16.5% - -... _. ._.._. . _.._.... ............. _ Negotiable CD's -- Certificates of Deposit-Bank _.... ...._._._ .. _.___..-.....................----..._.__-----.._..............., ._. .... .... . _..-__.. Mortgage Backed Securities - ._..........._-_._.. ....--....... ,.. _.. ......... -- _... .. _.-..- _..__.. .._._._......._.. _.. ... .. ...... ....._....._. . ._. _..........--------. ... Bankers Acceptances-Amortizing ._........_.- -...__ .. ._. ...... ,. _......._.._.....,.. --....,...__................. __.._........... . _. .,_....__...... .. ...._...._........ ....,._. _....- -...___._._........__._........... .. -......... .. -._.-_.._,.. Commercial Paper Disc._Amortizing 4.7 2.5 5.0 7.4 4.8 2.5 2.1% - .._. ....,. __._., .......... ......_. .. ._........ ., -- ..,. - ... _ ... -. -- Federal Agency Disc.-Amortizing 6.1 11.1 7.9 7,4 2.5% Treasury Discounts-Amortizing 8.8 4.9 1.1% .. .----............ .. .................... . .. .._. ......_.,_.,..._......__..._-.-...._. .. - _....... . _._...,......_.. _..... .._.... .......- __._...... ....- _- ._.... --..._...., _,...........,. .... Miscellaneous Discounts-Amortizing -- ._.....-. -...- ..._. ... . - _......... .. . --...._................ -- ---._...._ . ....._._..,..-.._.._.._._... --........_... _....._._........_.. ....._.............. _........_..... Money Market Acct 1.4 1.4 3A 3.8 1.8 7.2 2.7 3.0 2.2 1.4 2.7 2.4% - ._.. ... --.. _.. ...........-- ---.._..... .. -- -.... _._..._._......... . ._.__....--- --..._ . ......... Rolling Repurchase Agreements r `_j 9 Imm lV 3 Portfolio CITY __4 AP tun pate 03l0712011-1 9:27 Ptd(PRF_PM5)7-20 l Report Ver,7 3,2 (D 3 City of HB Portfolio Management Page 1 o Interest Earnings Summary N January 31, 2011 January 31 Month Ending Fiscal Year To Date CD/CouponlDiscount Investments: Interest Collected 31,250.00 548,775.00 Plus Accrued Interest at End of Period 389,587,83 389,587,83 Less Accrued Interest at Beginning of Period { 272,777,41) ( 4071110.33) Less Accrued Interest at Purchase During Period 11 0,00) ( 0.00) Interest Earned during Period 148,060.42 531,252.50 Adjusted by Premiums and Discounts -2:372.87 -14,771.82 Adjusted by Capital Gains or Losses 0.00 15,643.42 Earnings during Periods 145,667.55 532,124.10 Pass Through Securities; Interest Collected 0.00 0,00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) { 0-00) Less Accrued Interest at Purchase During Period { 0.00) { 0.00) Interest Earned during Period 0.00 0.00 00 Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0,00 Cash/Checking Accounts: Interest Collected 68,888.18 146,380.75 Plus Accrued Interest at End of Period 29,695.66 29,595,66 Less Accrued Interest at Beginning or Period ( 71,071,47) { 79:324.45) Interest Earned during Period 27,412.37 96,651.96 Total Interest Earned during Period 175,472,79 627,904.46 Total Adjustments from Premiums and Discounts -2,372.87 -14,771.82 Total Capital Gains or Losses 0.00 15,643.42 Total Earnings during Period 173,099.92 628,776.06 Portfolio CITY AP Run;Date e31071201,-1427 Ph7(PRr_pw)7.2.D Report Ver.7 3.2 Statement of Cash Receipts and Disbursements and Summary of Cash by Fund d:Yj'1(M1'4 1 Office of the City Treasurer January 2011 Cash Receipts and Disbursements December 2010 January 2011 Receipts Property Tax Receipts $22,106,247 $13,075,254 Utility Tax Receipts (UUT) 1,616,749 1,633,826 Sales Tax Receipts 1,987,779 1,387,800 112 Cent Safety Sales Tax Receipts 150,601 123,457 Highway Users Tax Receipts (NUT) 312,199 568,546 Transient Occupancy Tax Receipts (TOT) 371,225 411,586 All Other Receipts 20,700,574 14,656,766 Subtotal Receipts $47,244,374 $31,857,235 Disbursements All Other Disbursements (24,101,020) (23,6569295) Net Change in Cash Flow $23,143,354 $8,200,940 Summary of Cash U Fund December 2010 January 2011 General Fund $37,273,607 $47,727,321 Government Funds 871,808 769,797 Capital Funds 13,650,264 12,219,095 Debt Service Funds 9,223,967 9,570,393 Enterprise Funds 88,734,373 90,027,370 Fiduciary Funds 137,326 258,619 Special Revenue Funds 12,523,251 12,486,490 $162,414,596 $173,059,085 *Total cash will differ from investment portfolio total due to outstanding checks and/or other timing Note: Above information was obtained from the City's accounting system records. The above information includes receipts from maturing investments and payments for purchased investments in the city investment portfolio. This statement is prepared in com City Treasurer Monthly Report of Receipts&Disbursements.xis January 2011 1-113 - 9- Item 7. - 13 State of California Fooled Money Investment Account Market Valuation 1/31/2011 Carr ii� y �cost lsscriptibn Acc.rued.lnteresf 'urch, i^ai_r,Value. Acc wed':interest;,; United States Treasur Bills $ 26,669,621,381.90 $ 26,726,772,250.00 NA Notes $ 5,738,696,680.12 $ 5,790,650,500,00 $ 14,924,150.50 Federal Agency: SBA $ 538,447,245.94 $ 537,291,522.03 $ 580,885.86 MBS-REMICs $ 536,155,253.13 $ 571,685,418.01 $ 2,538,309.52 Debentures S 849,993,018.71 $ 850,707,000.00 $ 695,203.50 Debentures FR S 200,000,000.00 $ 200,032,000.00 $ 96,881,44 Discount Notes S 8,676,516,304.06 $ 8,700,870,270.00 NA GNMA $ 56,938.66 $ 58,360,08 $ 562.94 IBRD Deb FR $ 300,000,000.00 $ 300,687,000.00 $ 35,208.67 CDs and YCDs FR $ 800,000,000.00 $ 800,000,000.00 $ 503,115.94 Bank Notes $ 1,050,000,000.00 $ 1,050,011,511.14 $ 395,972.23 CDs and YCDs $ 7,375,001,721.72 $ 7,374,891,846.00 $ 1,676,145.84 Commercial Paper $ 8,465,336,634.78 $ 8,466,714,127.76 NA Corporate: Bonds FR $ $ $ Bonds $ $ $ Repurchase Agreements $ - $ - $ Reverse Repurchase $ $ $ Time Deposits $ 3,793,640,000.00 $ 3,793,640,000.00 NA AB 55&GF Loans $ 6,382,980,627.96 $ 6,382,980,627.96 NA TOTAL I $ 71,376,445,806.98 1 $ 71,546,992,432,98 $ 21,446,436.44 Fair Value Including Accrued Interest $ 71,568,438,869.42 Repurchase Agreements, Time Deposits,AB 55 & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value(carrying cost). Item 7. - 14 HB -1 Or ATTACHMENT #2 CD 3 ;hedufe of Bond Investments by Fiscal Agent as of December 31,2010 i nmary of investments by type Market Value Market Value Par Value Investment Type as of 11/30/10 as of 12131/10 $3,609,265 Local Agency Investment Fund(LAIF) $3,646,846 $3,609,265 $0 Federal Agency Issues $0 $0 $3,637,407 Investment Agreements $3,637,407 $3,637,407 $5,253,580 Money Market Funds $7,059,730 $5,253,580 $0 US Treasury Securities $0 $0 $12,500,252 $14,343,983 $12,500,252 Summary of Investments by Bond Issue Market Value Market Value Par value Band Issue Description as of 11/30/10 as of 12/31/10 $1,159 City of Huntington Beach-2004 Judgment Obligation Bonds(Property Tax Refunds) $1,159 $1,159 m $2,206,138 City of Huntington Beach-2003-1 Community Facilities District(Huntington Center-Bella Terra) $2,206,138 $2,206,138 °, $1,649,250 Redevelopment Agency of Huntington Beach-2002 Tax Allocation Refunding Bonds $1,649,250 $1,649,250 $503,552 Huntington Beach Community Facilities District No. 2002-1 (McDonnell Centre Business Park) $503,552 $503,552 $2,043,646 Huntington Beach PFA- 2001 Series A(South Beach Improvements&Central Park Sports Complex) $2,043,645 $2,043,646 $2,620,745 Huntington Beach PFA- 2001 Series B(1993 Civic Center&Police Administration Bldg.Refinance) $4,426,930 $2,620,745 $1,254,832 City of Huntington Beach-2001 Community Facilities District(Grand Coast-Hyatt) $1,254,819 $1,254,832 $173,100 City of Huntington Beach-90-1 Community Facilities District Special Tax Refunding $210,680 $173,100 $3,157 Huntington Beach PFA-2000 Series A(Water System Impv., Beach Mnt. Facility, Energy Retrofit,SB Phase I) $3,157 $3,157 $754,050 Redevelopment Agency of Huntington Beach-1999 Tax Allocation Refunding Bonds $754,051 $754,050 $1,242,727 Huntington Beach Public Financing Authority Lease Refunding Bonds 2010 Series A $1,242,707 $1,242,727 $12,500,252 $14,343,983 $12,500,252 ATTACHMENT #3 CD City of Huntington Beach Deferred Compensation Plan Summary Information as of December 31, 2010 Co Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (9-30-10) (12-31-10) ICMA Retirement Corporation (457 Plan) $28,828,017 $687,506 ($1,080,692) $1,569,029 ($1,826) $30,002,034 ICMA Retirement Corporation (401 Plan) $1,121,202 $13,199 ($2,768) $50,525 $0 $1,182,158 Nationwide Retirement Solutions (457 Plan) $53,750,774 $1,409,434 ($1,211,170) $2,489,016 ($31,651) $56,406,403 Total Deferred Compensation Plan Balances $83,699,993 $2,110;139 ($2,294,630) $4,108,570 ($33,477) $87;590,595 z m ATTACHMENT #4 Hn -105- Item ]. - 19 CD City of Huntington Beach Retiree Medical Trust Information as of December 31, 2010 O Beginning Contributions Distributions/ Earnings Other Fees/ Ending Balance Transfers (change in value) Adjustments Balance (9-30-10) (12-31-10) CalPERS Retiree Medical Trust Account $8,935,016 $221,000 $571,331 ($1,203) $9,726,144 P C) o� r ATTACHMENT #5 CD City of Huntington Beach 3 Supplemental Pension Trust Information ~ as of January 31, 2011 N N Ending Contributions/ Distributions/ Earnings Other Ending Balance Dividends Transfers (change in value) Balance (12-31-10) Supplemental Pension Trust Account $29,801,312 $20,659 $234,363 ($13,099) $30,043,235 LM r C) Co m