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HomeMy WebLinkAbout2017 City Treasurer - Investment Summary ReportHpPre%di 7-0 Dept. ID CT 18-001 Page 1 of 1 Meeting Date: 2/5/2018 CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 2/5/2018 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 2017 Quarterly Investment Summary Report Statement of Issue: Receive and file the City Treasurer's Quarterly Investment Report for December 2017, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable. Recommended Action: Receive and file the City Treasurer's Quarterly Investment Report for December 2017, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or Critique Quarterly report. Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Strengthen economic and financial sustainability Attachment(s): 1. Treasurer's Quarterly Investment Report for December 2017 2. Treasurer's PowerPoint Presentation for December 2017 HB -23- Item 1. - I City of Huntington Beach Quarterly Treasurer's Report Quarter Ending: December 31, 2017 1;M 0=6 I'm Alisa Cutchen, CCMT, CPFIM - City Treasurer Item 1. - 2 HB -24- CITY OF HUNTINGTON BEACH — CITY TREASURER'S QUARTERLY REPORT DECEMBER 2017 Economic and Market Overview: Market Summary October - December 2017 Market Summary Federal Funds Rate 10-Year Treasury S&P 500 DOW 10/31/2017 1.00 - 1.25 % 2.38% 2,575.26 23,377.24 11/30/2017 1.00 - 1.25 % 2.42% 2,647.58 24,272.35 12/31/2017 1.25 - 1.50 % 2.40% 2,673.61 24,719.22 Nov. - Dec. % Change 20.00% -0.83% 0.98% 1.84% The Federal Open Market Committee (FOMC) met in December to discuss the current state of the economy and to examine potential future interest rate hikes before year end. They concluded that the labor market has continued to strengthen and economic activity has been rising at a solid rate. Inflation is expected to remain below 2 percent in the near term, but is anticipated to stabilize around the Committee's 2 percent objective over the medium term. The Committee will continue to monitor actual and expected inflation developments as the year progresses to determine the timing and size of future adjustments to the federal funds rate, The Committee continues to expect that, "With gradual adjustments in the stance of monetary policy, economic activity will expand at a moderate pace, and labor market conditions will remain strong." In view of the realized and expected labor market conditions and inflation, the Committee decided to raise the target range for the federal funds rate to 1-1/4 to 1-1/2 percent in December. Fixed Income/Eguity Markets: The yield on the 10-year U.S. Treasury finished 2018 at 2.40%, up from 2.33% from the previous quarter, for a 3% increase quarter over quarter, The S&P 500 and the DJIA increased 6.12% and 10.33% respectively, for the same time period. In the fourth quarter of 2017, equity markets continued to post strong gains to close out the year while the bond markets remained flat. This increase in the equity markets may be partially attributed to the continued growth of economic activity as compared to the slower pace seen last year. Employment: Total nonfarm payroll employment increased by 148,000 in December and the unemployment rate remained unchanged over the last 3 months at 41 percent. Over the past 3 months, job gains have averaged 204,000 per month. HB -1 - Item 1. - 3 CITE}Q HUNTINGTON BEACH CITY TREASURER'S QUARTERLY REPORT DECEMBER 2017 Portfolio Composition: Portfolio Summary As of December 31, 2017 $ in millions of In Investment Type Market Value Book Value Portfolio Policy Limit, Compliance Federal Agency Issues $ 141.5 $ 143.5 67% None yes Local Agency Investment Fund (LAIF) $ 37.7 $ 37.7 18% $65 million yes Medium Term Notes - IBRD $ 5.0 $ 5.0 2% 10% yes Corporate Bonds $ 28.0 $ 28.2 13% 30/ yes Total Portfolio $ 212.2 $ 214.4 100% Investments by Type As of December 31, 2017 Item 1. - 4 H 13.26- CITY OF HUNTINGTON BEACH — CITY TREASURER'S QUARTERLY REPORT DECEMBER 2017 Currently, funds within this portfolio are invested in federal agency securities, corporate bonds, the International Bank for Reconstruction and Development ("IBRD") and the State of California's pooled account (Local Agency Investment Fund "LAIF"). All federal agency bonds purchased by the City are rated "AAA" by Moody's, as are the IBRD bonds. All corporate bonds are "A" rated or its equivalent or better, per the City's investment policy and state of California regulations. LAW offers local agencies the opportunity to participate in a major portfolio with overnight liquidity managed by the State of California Treasurer's Office. Please see http://www.treasurer.ca.gov/pmia- laif/laif.asp for more information. LAIF has been utilized for the liquidity portion of the City's portfolio as the yield received at this time is greater than that of similar liquid investments such as money market accounts, short-term Treasury Bills, and commercial paper. Portfolio Earnings and Performance: $300,000.00 $250,000.00 $200,000.00 $150,000.00 $100,000.00 $50,000.00 $0.00 Monthly Earnings January 2017 — December 2017 $ in 000's NIP tip** t 019 O1AP A��a� '1eF ,y boy tip 1qy 1o0* As is typically the case on an annual basis, monthly earnings increase from December through July with the receipt of property taxes, followed by a decrease from August to December as funds are utilized. As well, over the past year, interest rates have risen as the Federal Reserve has raised rates HB -27- Item 1. - 5 CITY OF HUNTINGTON BEACH CITY TREASURER'S QUARTERLY REPORT DECEMBER 2017 from 0.25-0.50% to 1.25-1.50%, offering the portfolio an opportunity to earn increased interest income. Portfolio Earnings As of December 31, 2017 Portfolio Earnings, Month End 12/31/17 FYTD 12/31/17 Current Year $ 234,340 $ 690,677 Current Budget $ 160,000 $ 480,000 Last Year Actual $ 199,557 $ 572,233 Effective Rate of Return 1.40°% 1.42% Benchmark` 1.32% *12 month moving average of interpolated 1.5-year treasury The portfolio earnings for December of 2018 were $234,340, with fiscal year-to-date earnings of $690,677, The effective rate of return on a monthly basis was 1.40% with a fiscal year to date rate of 1.42%. Interest rates have been climbing as the Federal Reserve has increased the Fed Funds rate three times in 2017. This has allowed for the portfolio return to increase as older securities mature and they are replaced with higher yielding investments. Portfolio Activity: Investment Type Federal Agency Issues Local Agency Investment Fund (LAIF) Medium Term Notes - IBRD Corporate Bonds TOTAL Monthly Activity December 2017 Purchases (PAR)/Deposits $ 34,000,000 $ 34,000,000 Sales/Maturities/Withdrawls $ 6,000,000 $ 6,000,000 For the month of December 2017, $34 million was transferred from the operating account to LAIF and $6 million in corporate bonds matured. For the quarter ending December 31, 2017, in addition to the monthly activity previously stated, LAIF interest of $21,386 was received, $5 million in Federal Agencies matured, and an additional $2.5 million in corporate bonds matured. Item 1. - 6 HB -28- CITY OF HUNTINGTON BEACH — CITY TREASURER'S QUARTERLY REPORT DECEMBER 2017 Investment Type Federal Agency Issues Local Agency Investment Fund (LAIF) Medium Term Notes - IBRD Corporate Bonds TOTAL *Includes Interest Income Compliance: Quarterly Activity October — December 2017 Purchases (PAR)/Deposits $ 34,021,386 $ 34,021,386 Sales/Matu rities/Withd rawls $ 5,000,000 $ 3,000,000 $ 8,500,000 $ 16,500,000 The portfolio is in conformity with all relevant State regulations and the City's Investment Policy statement as approved by the City Council on November 5, 2016. The investment program herein shown provides sufficient cash flow liquidity to meet the next six months' obligations. I III Item 1. - 7 CITY OF HUNTINGTON BEACH — CITY TREASURER'S QUARTERLY REPORT DECEMBER 2017 Additional Information: Retirement Plans — Market Value Due to delay in statement receipt, information is from previous quarter. Deferred Compensation Plans - Summary Information hurting is Quarterly Ending Balance Nationwide incl. Beginning Ending Self Directed Balance Balance Option 7-1-17 9-30-17 9( 30-17) IC MA Retirement Corporation (457 Plan) $48,112,856 $50,113,791 $50,113,791 Nationwide Retirement Solutions (457 Plan) $83,000,924 $85,558,718 $86,781,607 Total Deferred Compensation Plan Balances $131,113,780 $135,672,509 $136,895,398 Retiree Medical Trust -Summary Information Reporting is Quarter] Contribution: CalPERS Retiree Medical Trust Account Supplemental Pension Trust -Summary Information Reporting is Monthly US Bank Supplemental Pension Trust Account PARS 115 Trust - Summary Information Reporting is Monthly Contribution: PARS Post Employment Benefits Trust Account Beginning Balance 7-1-17 $23,303,791 Beginning Balance 9{ 1-17) $53,294,089 Beginning Balance 9( 1-17) $2,750,011 Ending Balance 9-30-17 $1,133,000 $24,978,725 Ending Balance 9-3( 0-17) $54,169,110 Ending Balance 9-30-17 $3,787,829 Item 1. - 8 1­113 -30- CITY OF HUNTINGTON BEACH _ CITY TREASURER'S QUARTERLY REPORT DECEMBER 2017 Bond Reserve Accounts — Market Value — Balances as of December 31, 2017 Summary of Huntington Beach Bond Issue -- Reserve Accounts As of December 31, 2017 Bond Issue: i H.B, Public Financing Authority Lease I Refunding Bonds 2010 Series A H.B. Public Financing Authority (Capital Improvement Refinancing/Senior Center) Bonds 2011 Series A Redevelopment Agency of H.B. - 1999 Tax Allocation Refunding Bonds (1/3 of 1992) Redevelopment Agency of H.B. - 2002 Tax Allocation Refunding Bonds (2/3 of 1992) H.B. Community Facilities District No. 1990- 1 2001 Special Tax Bonds (Goldenwest- Ellis) H,B. Community Facilities District No. 2000- 1 2013 Special Tax Bonds (Grand Coast - Hyatt) H.B. Community Facilities District No, 2002- 1 2002 Special Tax Bonds (McDonnell Centre Business Park) H,B. Community Facilities District No. 2003- 1 2013 Special Tax Bonds (Huntington Center - Bella Terra) I TOTALS: Reserve Account Value as of December 31, 2017 1,245,371 3,367,054 755,045 1,692,613 172,868 i 1,096,029 459,802 1,686,440 $ 10,475,222 Investments Federal Money Market LAW Agency Issues Funds CAMP 1,245,371 3,367,050 4 755,044 1 653,379 995,890 43,344 172,467 459,802 401 1,096,029 1,686,440 $ 5,407,742 $ 995,890 $ 1,289,121 $ 2,782,469 HB -31- Item 10 - 9 �%%YEST 0 Pooled dt; State of California Money Investment Account Market Valuation 10131 /2017 Description Carrying Cost Plus Accrued Interest Purch. Fair Value Accrued Interest United States Treasury: Bills $ 14,571,617,028.20 $ 14,625,191,000.00 NA Notes $ 18,775,856,287,54 $ 18,715,501,000.00 $ 40,660,397.50 Federal Agency: SBA $ 873,720,729.05 $ 863,104,933.35 $ 1,099,545.15 MBS-REMICs $ 35,683,029.70 $ 37,054,381.86 $ 167,238.71 Debentures $ 1,378,212,472.56 $ 1,372,832,150.00 $ 3,127,490.95 Debentures FR $ - $ - $ - Debentures CL $ 250,000,000.00 $ 248,717,000.00 $ 1,061,402.00 Discount Notes $ 7,150,407,458.06 $ 7,170,445,000.00 NA GNMA $ - $ - $ - Supranational Debentures $ 450,315,184.02 $ 448,483,000.00 $ 1,215,590.00 Su ranational Debentures FIR $ 50,000,000.00 $ 50,071,500.00 $ 38,491.10 CDs and YCDs FIR $ 625,000,000.00 $ 625,000,000.00 $ 983,757,63 Bank Notes $ 500,000,000.00 $ 499,885,536.20 $ 1,676,388.89 CDs and YCDs $ 10,175,000,000.00 $ 10,173,329,638.98 $ 26,215,250,01 Commercial Paper $ 6,775,842,555.54 $ 6,784,644,874.97 NA Corporate: Bonds FIR $ - $ - $ - Bonds $ $ - $ - Repurchase A reements $ - $ - $ - Reverse Repurchase $ - $ - $ - Time Deposits $ 5,654,240,000.00 $ 5,654,240,000.00 NA AB 55 & GF Loans $ 5,096,486,000.00 $ 5,096,486,000.00 NA TOTAL $ 72,362,380,744.67 $ 72,364,986,015,36 $ 76,245,551.94 Fair Value Including Accrued Interest $ 72,441,231,56730 Repurchase Agreements, Time Deposits, AB 55 & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). HB -39- Item 1. - 17 �o�y�NVEST�jF�9 a Pooled � State of California Money Investment Account Market Valuation 11 /30/2017 Description Carrying Cost Plus Accrued Interest Purch. Fair Value Accrued Interest United States Treasury: Bills $ 13,969,325,989.32 $ 14,024,500,000.00 NA Notes $ 19,124,715,869.93 $ 19,038,802,000.00 $ 45,201,432.00 Federal Agency: SBA $ 880,598,988.60 $ 870,067,213.02 $ 1,107,235.07 MBS-REMICs $ 33,799,340.26 $ 34,948,276.74 $ 158,107.23 Debentures $ 1,378,152,182.04 $ 1,370,687,750.00 $ 2,839,245.80 Debentures FR $ - $ - $ - Debentures CL $ 250,000,000.00 $ 247,756,500.00 $ 1,389,944.00 Discount Notes $ 6,254,318,721.96 $ 6,272,398,000.00 NA GNMA $ - $ - $ - Su ranational Debentures $ 450,315,184.02 $ 447,873,000.00 $ 966,424.00 Su ranational Debentures FR $ 50,000,000.00 $ 50,064,000.00 $ 99,266.51 CDs and YCDs FR $ 625,000,000.00 $ 625,000,000.00 $ 1,811,907.84 Bank Notes $ 500,000,000.00 $ 499,826,177,96 $ 1,657,111.13 CDs and YCDs $ 8,675,000,000.00 $ 8,673,927,950.18 $ 28,617,875.03 Commercial Paper $ 5,927,555,791.62 $ 5,938,449,524.98 NA Corporate: Bonds FR $ - $ - $ - Bonds $ _ $ _ $ - Repurchase Agreements $ - $ - $ - Reverse Repurchase $ - $ - $ - Time Deposits $ 5,404,240,000.00 $ 5,404,240,000.00 NA AB 55 & GF Loans $ 4,961,386,000.00 $ 4,961,386,000.00 NA TOTAL 1 $ 68,484,408,067.75 $ 68,459,926,392.88 $ 83,848,548.61 Fair Value Including Accrued Interest $ 68,543,774,941.49 Repurchase Agreements, Time Deposits, AB 55 & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). Item 1. - 26 HB -48- W 2- 2- 2- 2` M po��r\<tvesrMFy� a a State of California Pooled Money Investment Account Market Valuation 12/31 /2017 Description Carrying Cost Plus Accrued Interest Purch. Amortized Cost Fair Value Accrued Interest United States Treasury: Bills $ 15,798,555,512.89 $ 15,873,337,714.44 $ 15,860,404,500.00 NA Notes $ 20,668,927,462.54 $ 20,663,056,666.82 $ 20,567,399,500.00 $ 51,205,126.00 Federal Agenc SBA $ 863,151,176.21 $ 863,121,107.49 $ 854,212,976.72 $ 1,085,497.30 MBS-REMICs $ 32,120,879.43 $ 32,120,879.43 $ 33,135,054.84 $ 150,303.41 Debentures $ 1,378,587,035.45 $ 1,378,560,299.33 $ 1,370,297,200.00 $ 3,311,850.25 Debentures FIR $ - $ - $ - $ Debentures CL $ 250,000,000.00 $ 250,000,000.00 $ 247,477,500.00 $ 1,374,735.50 Discount Notes $ 8,395,522,888.62 $ 8,418,489,291.59 $ 8,414,180,500.00 NA GNMA $ - $ - $ - $ Su ranational Debentures $ 450,210,930.52 $ 450,113,708.30 $ 447,618,000.00 $ 1,441,215.00 Su ranational Debentures FIR $ 50,000,000.00 $ 50,000,000.00 $ 50,063,000.00 $ 162,067.78 CDs and YCDs FIR $ 525,000,000.00 $ 525,000,000.00 $ 525,000,000.00 $ 1,499,171.12 Bank Notes $ 600,000,000.00 $ 600,000,000.00 $ 599,619,554.09 $ 2,337,722.21 _ CDs and YCDs $ 11,225,000,000.00 $ 11,225,000,000.00 $ 11,219,981,017.33 $ 22,812,888.95 Commercial Paper $ 7,261,281,569.44 $ 7,273,970,472.21 $ 7,271,584,361.13 NA Corporate: Bonds FIR $ $ $ $ Bonds $ $ $ $ Repurchase Agreements $ $ $ $ Reverse Repurchase $ $ $ $ Time Deposits $ 5,307,240,000.00 $ 5,307,240,000.00 $ 5,307,240,000.00 NA AB 55 & GF Loans $ 1,466,657,000.00 $ 1,466,657,000,00 $ 1,466,657,000.00 NA TOTAL $ 74,272,254,455.10 $ 74,376,667,139.61 $ 74,234,870,164.11 $ 85,380,577.52 Fair Value Including Accrued Interest $ 74,320,250,741.63 ` Governmental Accounting Standards Board (GASB) Statement #72 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 (0.998093529). 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 $19,961,870.58 or $20,000,000,00 x 0.998093529. HB -57- Item 1. - 35 Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department December 2017 Cash Receipts and Disbursements Receipts General Fund Property Tax Local Sales Tax Public Safety Sales Tax Transient Occupancy Tax Receipts (TOT) Utility Users Tax (UUT) Other Revenue Total General Fund Revenue Capital Projects Funds Debt Service Funds Enterprise Funds General Fund Other Internal Service Funds Special Revenue Funds Grant Funds Trust and Agency Funds Total Receipts Disbursements General Fund Personal Services Operating Expenses Capital Expenditures Non -Operating Expenses Total General Fund Disbursements November 2017 December 2017 10,767,345 3,515,800 176,692 1,066,012 1,634,814 4,198,166 21,358,829 30,115 20,715,016 3,975,660 222,906 719,528 1,549,968 51192,584 321375,662 11,329 5,035,636 7,558,541 467,326 28,329 538,191 498,055 3,306,896 271,587 553,156 142,320 1,204,501 2,354,057 $32,494,651 $43,239,881 (11,996,250) (2,695,289) (301,224) (70,142) 15,062,905) (15,166,442) (5,143,397) (617,495) (316,800) 21,244,134) Item 1. - 36 HB -58- Capital Projects Funds (162,420) (279,049) Debt Service Funds - (2,885) Enterprise Funds (8,752,371) (4,417,315) General Fund Other (180,542) (144,148) Internal Service Funds (433,298) (1,360,956) Special Revenue Funds (995,060) (1,236,281) Grant Funds (1,306,514) (1,565,346) Trust and Agency Funds (1,048,866) (1,403,468) Total Disbursements (27,941,975) (31,653,582) Net Change in Cash Flow $4,552,675 $11,586,299 Summary of Cash by Fund November 2017 December 2017 General Fund $56,902,861 $71,208,879 General Fund Other 4,218,869 4,245,404 Capital Projects Funds 18,940,469 18,515,988 Debt Service Funds 65,828 14,176 Enterprise Funds 69,496,694 71,467,339 Trust and Agency Funds 9,280,900 10,209,032 Internal Service Funds 21,515,161 21,093,251 Special Revenue Funds 30,042,711 27,106,186 General Ledger Cash Balances $210,463,493 $223,860,254 * 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. HB -59- Item 1. - 37 City of Huntington Beach � Quarterly Treasurer's Report 9400 Quarter Ending: December 31, 2017 Prepared by: Alisa Cutchen, CCMT, CPFIM, City Treasurer Market Overview - At 12/31/17 Economic Indicators • PCE 1.3 % • Unemployment rate 4.2 % A Labor Participation rate 63.1 % ® Federal :Funds Rate: 1.00-1.25% of City Investments Investment TWe / Market Value: • Federal Agencies - $147.3MM • Corporate Bonds - $36.7MM • LAIF - $6.6MM • IBRD - $5.OMM TOTAL PORTFOLIO: $195.6MM CD -P N MTN — IBRI LAIF 3% Investments by Type As of September 30, 2017 Corporate Bonds 19°% Federal Agencies 75% $300oOMOD $250,000.00 $200,000.00 $150,000.00 $100,000,00 $50,000.00 $0.00 q!, k k lk'A 440 10 A Current Year - Month Current Year - Fiscal YTD Effective Rate of Return Total Earnings Fiscal Year 2016-17 ❑ September, 2017: ❑ vs. last year: ❑ Through 9/30/17: ❑ vs. last year: ❑ September, 2017: 1.42 % $234,585 $196,054 $2,752,839 $2,300,386 *Benchmark:1.21% ❑ Fiscal YTD: 1.30% *12mo. moving avg. 2YR CMT ❑ $2,752,839 to be utilized for City operations ❑ Offset taxpayer $ Compliance Selected Investment Policy Requirements: Investment Type Max. Maturity Max. % of Portfolio Ratings ,Federal Agencies 5 yrs none AAA/Aa IBRD 5 yrs 10% AAA/Aaa Corporate Bonds 5 yrs 30% A or above LAIF n/a $65MM per n/a account Dept. ID CT 17-005 Page 1 of 1 Meeting Date: 11/6/2017 4PPOP-40VED 7 v CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 11/6/2017 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 2017 Quarterly Investment Summary Report Statement of Issue: Receive and file the City Treasurer's Quarterly Investment Report for September 2017, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not applicable. Recommended Action: Receive and file the City Treasurer's Quarterly Investment Report for September 2017, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or critique Quarterly Report. Analysis: Not applicable. Environmental Status: Not applicable. Strategic Plan Goal: Strengthen economic and financial sustainability Attachment(s): 1. Treasurer's Quarterly Investment Report for September 2017 2. Treasurer's PowerPoint Presentation for September 2017 Item 3. - 1 H B - ] 2- City of Huntington Beach Quarterly Treasurer's Report Quarter Ending: September 30, 2017 Prepared by: Alisa Cutchen, CCMT, CPFIM - City Treasurer 11 B -13 _ Item 3. - 2 CITY Of HC . QUARTERLY REPORTSEPTEMBER 2017 Economic and Market Overview: Market Summary July - September 2017 Market Summary Federal Funds Rate 10-Year Treasury S&P 500 DOW 7/31/2017 1.00 - 1.25 % 2.30% 2,470.30 21,891.12 8/31/2017 1.00 - 1.25 % 2.12% 2,471.65 21,948.10 9/30/2017 1.00 - 1.25 % 2.33% 2,519.36 22,405.09 Aug. - Sept. % Change 0.00% 9.91% 1.93% 2.08% The Federal Open Market Committee (FOMC) met in September to discuss the current state of the economy and to examine potential future interest rate hikes before year end. They concluded that the labor market has continued to strengthen and economic activity has been rising moderately so far this year. Inflation is expected to remain below 2 percent in the near term, but is anticipated to stabilize around the Committee's 2 percent objective over the medium term. The Committee will continue to monitor actual and expected inflation developments as the year progresses to determine the timing and size of future adjustments to the federal funds rate. The Committee continues to expect that, "With gradual adjustments in the stance of monetary policy, economic activity will expand at a moderate pace, and labor market conditions will strengthen somewhat further." Fixed Income/Equity Markets: The yield on the 10-year U.S. Treasury finished the quarter at 2.33%, up slightly from 2.31 % from the previous quarter for a 0.87% increase quarter over quarter. The S&P 500 and the DJIA increased at 3.96% and 4.94% respectively for the same time period. In the third quarter of 2017, equity markets continued to post strong gains to close out the quarter while the bond markets remained flat. This increase in the equity markets may be partially attributed to the continued growth of economic activity as compared to the slower pace seen last year. Employment: Total nonfarm payroll employment was little changed in September (-33,000), after adding an average of 172,000 jobs per month over the prior 12 months. According to the labor department, the unemployment rate decreased from 4.4% to 4.2% quarter over quarter as the economy continued to expand and create new jobs. Over the past 3 months, job gains have averaged 91,000 per month. Item 3. - 3 H I3 - I 4L CITY OF HUNTINGTON BEACH — CITY TREASURER'S QUARTERLY REPORT SEPTEMBER 2017 Portfolio Composition: Portfolio Summary As of September 30, 2017 $ in millions of In Investment Type Market Value Book Value Portfolio Policy Limit Compliance Federal Agency Issues $ 147.3 $ 148.5 75% None yes Local Agency Investment Fund (LAIF) $ 6.6 $ 6.6 3% $65 million yes Medium Term Notes - IBRD $ 5.0 $ 5.0 3% 10% yes Corporate Bonds $ 36.7 $ 36.8 19% 30% yes Total Portfolio $ 195.6 $ 196.9 100% Investments by Type As of September 30, 2017 H k_ i Item 3.- 4 Currently, funds within this portfolio are invested in federal agency securities, corporate bonds, the International Bank for Reconstruction and Development ("IBRD") and the State of California's pooled account (Local Agency Investment Fund "LAIF"). All federal agency bonds purchased by the City are rated "AAA" by Moody's, as are the IBRD bonds. All corporate bonds are "A" rated or its equivalent or better, per the City's investment policy and state of California regulations. LAIF offers local agencies the opportunity to participate in a major portfolio with overnight liquidity managed by the State of California Treasurer's Office. Please see http://www.treasurer.ca.aov/pmia- laif/laif.asp for more information. LAIF has been utilized for the liquidity portion of the City's portfolio as the yield received at this time is greater than that of similar liquid investments such as money market accounts, short-term Treasury Bills, and commercial paper. Portfolio Earnings and Performance. Monthly Earnings October 2016 September 2017 $ in 000's $300,000.00 $250,000.00 $200,000.00 $150,000.00 $100,000.00 $ 50,000.00 $0.00 a �c bQ t'►°Je��o peve, gor bp`J4 �Oti tiQy� ,�O,t° 'y'Q'Y1 �Oti ti4�1 ti � ,ti4 t �s 'VQ As is typically the case on an annual basis, monthly earnings decrease from July to December as funds are utilized. Earnings increase from December through June with the receipt of property taxes. As well, over the past year, interest rates have risen as the Federal Reserve has raised rates from 0.25-0.50% to 1.00-1.25%, offering the portfolio the opportunity to earn increased interest income. Item 3.- 5 H B- 1 6- Portfolio Earnings Current Year Current Budget Last Year Actual Effective Rate of Return Benchmark* Portfolio Earnings As of September 30, 2017 Month End 9/30/17 $ 234,585 $ 140,000 $ 196,054 1.42% 1,21% FY 2016/2017 $ 2,752,839 $ 1,680,000 $ 2,300,386 1.30% * 12-month moving average of the 2-Year Constant Maturity Treasury (CMT) rate The portfolio earnings for fiscal year 2016-17 of $2,752,839 are 19.7% greater than last fiscal year's earnings. The effective rate of return on a monthly basis was 1.42% with a fiscal year to date rate of 1.30%. Interest rates have been climbing as the Federal Reserve has increased the Fed Funds rate twice thus far during 2017. This has allowed for the portfolio return to increase as older securities mature and they are replaced with higher yielding investments. Portfolio Activity: Investment Type Federal Agency Issues Local Agency Investment Fund (LAIF) Medium Term Notes - IBRD Corporate Bonds TOTAL Monthly Activity September 2017 Purchases (PAR)/Deposits Sales/Maturities/W ithd rawls $ 5,000,000 $ - $ 5,000,000 H13 -1 7- Item 3. - 6 CITY OF HUNTINGTON'BEACH — CITYTREASURER'5 QUARTERLYREPORT SEPTEMBER 2017 Investment Type Federal Agency Issues Local Agency Investment Fund (LAIF) Medium Term Notes - IBRD Corporate Bonds TOTAL Compliance: Quarterly Activity July — September 2017 Purchases (PAR)/Deposits $ 49,859 $ 49,859 Sales/Maturities/Withdrawls $ 25,000,000 $ 5,000,000 $ m $ 3,000,000 $ 33,000,000 The portfolio is in conformity with all relevant State regulations and the City's Investment Policy statement as approved by the City Council on November 5, 2016. The investment program herein shown provides sufficient cash flow liquidity to meet the next six months' obligations. Item 3. - 7 xB -18- CITY OF HUNTINGTON BEACH — CITY TREASURER'S QUARTERLY REPORT SEPTEMBER 2017 Additional Information: Retirement Plans — Market Value Due to delay in statement receipt, information is from previous quarter where reporting is quarterly. Deferred Compensation Plans - Summary Information Renorflnijis Quarterly Ending Balance Nationwide incl. Beginning Ending Self Directed Balance Balance option 7-1-17 9-30-17 9� 3_0-17) iCMA Retirement Corporation (457 Plan) $48,112,856 $50,113,791 $50,113,791 Nationwide Retirement Solutions (457 Plan) 183,000,924 $86,781,607 $86,781,607 Total Deferred Compensation Plan Balances $131,113,780 $136,895,398 $136,895,398 Retiree Medical Trust - Summary Information RePo rtina is Quarferhr CalPERS Retiree Medical Trust Account Supplemental Pension Trust - Summary Information Renortingis Monthly US Bank Supplemental Pension Trust Account Beginning Balance 7-1-17 $23,303,791 Beginning Balance 9( 1-17) $53,294,089 Ending Balance 9-30-17 $24,978,725 Ending Balance 9{ 30-17) $54,169,110 PARS 115 Trust - Summary Information Renorfing is Monthly Beginning Ending Balance Balance 8{ 1-17} 8-31-17 PARS Post Employment Benefits Trust Account $2,742,079 $2,750,011 H R -19- Item 3. - 8 CITY OF HUNTINGTON BEACH — CITY TREASURER'S QUARTERLY REPORT SEPTEMBER 2017 Bond Reserve Accounts — Market Value — Balances as of September 30, 2017 Summary of Huntington Beach Bond Issue -- Reserve Accounts Reserve Account As of September 30, 2017 Value as of Bond Issue: September 30, 2017 H.B. Public Financing Authority Lease Refunding Bonds 2010 Series A 1,242,600.30 H.B. Public Financing Authority (Capital Improvement Refinancing/Senior Center) 3,357,965.16 Bonds 2011 Series A Redevelopment Agency of H.B, -1999 Tax Allocation Refunding Bonds (113 of 753,001.00 1992) Redevelopment Agency of H.B. - 2002 Tax Allocation Refunding Bonds (213 of 1,695,319.78 1992) H.B. Community Facilities District No. 1990- 12001 Special Tax Bonds (Goldenwest- 173,127.83 Ellis) H.B, Community Facilities District No. 2000- 1 2013 Special Tax Bonds (Grand Coast:- 1,092,833.98 Hyatt) H.B. Community Facilities District No. 2002- 1 2002 Special Tax Bonds (McDonnell 458,560.98 Centre Business Park) H.B. Community Facilities District No. 2003- 1 2013 Special Tax Bonds (Huntingbn 1,681,523.88 Center - Bella Terra) TOTALS: 1 $ 10,454,933 1 Investments Federal Money Market LAW Agency Issues Funds CAMP 1,242,600.30 1 3,357,961,47 3.69 753,000,00 1,00 651,615,12 1,000,430,00 43,274.66 172,000.00 1,127,83 458,560,98 1,092,833.98 1 1,681,523,88 1 $ 5,393,138 $ 1,000,430 $ 1,287,007 $ 2,774,368 Item 3. - 9 HB -20- �041 IN6T0 ad" City Huntington Beach 9z of City Of HB 2000 Main St. Huntington Beach, Portfolio Management LcF��!/pIP\\Foy Portfolio Summary July 31, 2017 Par Market Back %fo of Days uiuivv.. v Investments Value Value Value Portfolio Term maturity ^LY 360 EgYu 365 E q Federal Agency Issues - Coupon 163,405;000.00 162,451,574.70 163,541,453.15 76.05 1,332 962 1.396 1A16 Local Agency Investment Funds 6,656,020.36 6,656,020.36 6,656,020-36 3.10 1 1 1.037 1.051 Medium Term Notes- IBRD 5,000,000.00 4,977,150.00 4,988,882.53 2.32 608 352 1.093 1.109 Corporate Bonds 39,500,000.00 39,729,150.00 39,770,720.43 18.50 1,178 565 1.501 1.522 214,581,020,36 213,813,895.06 214,967,086.47 100.00% 1,246 845 1.398 1A17 Investments Cash and Accrued Interest Accrued Interest at Purchase 52.135.42 52.135.42 Subtotal 52,135.42 52,135A2 Total Cash and Investments 214,561,020.36 213,866,030.48 215,009,221.89 1,246 845 1.398 1.417 r� Total Earnings July 31 Month Ending Fiscal Year To Data Fiscal Year Ending Current Year 287, 012.13 2,275,702.58 Current Budget 140,000.00 1,400,000,00 1,680,000.00 Last Year Actual 208,154.22 1,900,844.23 2,299,652.24 Average Daily Balance 227,046,687.72 213,295,924.36 Effective Rate of Return 1.49% 1.28% 1 certify that this report accurately reflects all City pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on November 7, 2016. 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 yf8,lrtteractive Data Corporation. � t fj(J Alisa Cutc en, CITY TREASURER r7 Reporting period 0710112017-0713112017 (y� Run Oate: 10111=17 -12:54 Portfolio CITY AP PM (PRF_PM1) 7.3.0 Report Ver. 7.3.3b w City of HB Portfolio Management Portfolio Details - Investments July 31, 2017 Page 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 3133EGEV3 4140 Federal Form Credit Bank 06/152015 5,OW,OW.00 4,940,500.00 5,000,D00.00 1,620 AA 1.620 1,413 D61142021 313OA3TA2 4038 Federal Home Loan Bank 121302014 6,000,000.00 4,999,650.00 4,999,980.74 1.000 AA 1.010 14 OB/152017 313378A43 4048 Federal Home Loan Bank 022012015 5,000,000.00 5,004,800.00 5.008,162.60 1.375 AA 1.100 220 D3/092018 313OA7WK7 4136 Federal Home Loan Bank 051242016 5,000,00D.00 4,966,600.00 5.000,000.00 1.250 AA 1.250 661 06242019 313OA8DC4 4138 Federal Home Loan Bank 06/30/2016 2,250,OW.00 2,233,102.50 2,250,000.00 1.600 AA 1.600 1,247 12/302020 3130AST94 4163 Federal Home Loan Bank 08/10/2016 5,000,000.00 4,963,050.00 5,000,000.00 1.050 AA 1.518 1,105 08/102020 313383VNS 4157 Federal Home Loan Bank 11/1612016 5,000,000.00 5,060,000.00 5,072,790.86 2.000 1.297 773 OW132019 3130AB3L8 4168 Federal Home Loan Bank D4/2712017 5,000,DD0.00 4,999,550.00 5.000.000.00 1.750 AA 1,750 1.730 04272022 3134G7U25 4117 Federal Home Loan Mort Corp 1=712016 5,000,000.OD 4,997,650.00 5,000,000.00 0.800 AA 0.800 87 10/272017 3134G7302 4120 Federal Home Loan Mort Corp 1027=15 5,000,000.00 4,979,050.00 5,000,000.00 1.OW AAA 0.991 360 07/272018 3134G9RN9 4139 Federal Home Loan Mort Corp 06232016 5,000,000.00 4,964,1%00 5,000.000.00 1.250 AA 1.919 1,057 06232D20 3134GSUY1 4142 Federal Home Loan Mort Corp 06292016 5,000,000.00 4,988,500.D0 5,000,000.00 1.000 AA 1.000 332 06292018 3134G9F93 4148 Federal Home Loan Mort Corp 06/30/2016 5,000,000.00 4.930.700.00 5,000,000.00 1.000 AAA 0.998 696 06/282019 -� 3134GSE78 4149 Federal Home Loan Mort Corp 06/302016 5,000,00D.00 4,873.800.00 6,000,000.00 1280 AAA 1.280 1,156 091302020 3134G9C54 4150 Federal Home Loan Mort Corp 0OMM016 4,655,000.00 4,553,707,20 4,655,000.00 1.500 AA 1.500 1,429 OW302021 t J 3134GSG36 4151 Federal Home Loan Mort Corp 06/502016 5,DD0,DO0.00 4,971,550.00 5,000,000.00 1.500 AAA 1.400 1,429 06/302021 3134GAUB8 4156 Federal Home Loan Mort Corp 111=016 5,000,000.00 4,085,400,00 5,0013,W0.00 1.650 AA 1.650 1,574 1112212021 3134GBNNB 4256 Federal Home Loan Mort Corp =02017 5,000,000.00 5,000,500.00 5,000,947.77 1.750 1344 1,123 0828/2020 3134G9N94 4257 Federal Home Loan Mort Corp 06/142017 5,000.000,00 5,022.100.00 5.029,049.22 1.875 1.723 1,456 07272021 3134G92Y2 4258 Federal Home Loan Mort Corp 06/14/2017 5,DO0,000.00 5,009,250.00 5,027,511.91 1.875 1.733 1.477 08/172021 3134GBNS7 4259 Federal Home Loan Mort Corp 06/142017 3,000,000.00 2,999,070.00 2,998,729.91 1.500 1.521 757 08282019 3134GBLT7 4260 Federal Home Loan Mort Corp 06/152017 3,000,000.00 2.,998,200.00 2,998,728.11 1,500 1.521 759 08f302019 3134GBTS1 4261 Federal Home Loan Mort Corp 06292017 5,000,000.DO 4,988.350.00 5,000,000.00 2.125 Z125 1.793 0629/2022 3136G2R58 4122 Fed. Nall Mort Assoc. 10292015 5.000.000,00 4,988,350.00 5,000.000.00 1.040 AA 1.040 451 10262018 3135GOZLO 4132 Fed. Natl Mort. Assoc. 03/092016 5,000,000.00 4,998,550.00 5,001,54D.50 1.000 AA 0.800 57 09272017 3135GOK85 4137 Fed. Natty Mort Assoc. 061132D16 5,000,000.00 4,992.050.00 5.000,000.00 1.400 AA 1.400 681 OBM32019 3136G3SJ5 4141 Fed. Natl Mort Assoc. 06/30/2016 5,000,000.00 4,911,450.00 4,999,021.53 1.SW AA 1,505 1,429 06/302021 3136G3SN6 4143 Fed. Natl Mort Assoc. 06/232016 3,000,000.00 2,929,320.W 3,000,000m tsoo AA 1.500 1.240 1223/2020 3135GOK93 4144 Fed. Na41 Mort Assoc. 062W2016 5.000,000.00 4,982.950.00 5,000,000.00 1.250 AA 1.250 SOS 06/28/2019 3136G3UTO 4146 Fed. Nafl Mort Assoc. 06/302016 5,000,000.00 4,902.400.00 5,000,000.00 1.500 AA 1SW 1,247 1213W2020 3136G3VU6 4147 Fed. Natl Mort. Assoc. 07/19/2016 5,000,000.00 5,000,600.00 S,000,000.00 2.000 AA 1.825 1,448 07119/2021 3136G3YG4 4152 Fed, Natl Mort Assoc. 07252016 71500,000.00 7,426,875.00 7,500,000.00 1.000 AA 1.000 532 04252019 3136G4HM8 4159 Fed. Nad Mort Assoc. 12/022016 5.000,000.00 4,986,800.W 5,000,000.00 1.950 1.950 1,584 12/0212021 3136G4KM4 4162 Fed, Nari Mort Assoc. 01/172017 6,000,000.00 5,003.200.00 5,000,000.00 1.750 1.750 899 01/172D20 Subtotal and Average 171,936,74796 163,405,000.00 162,461,674.70 163,541,463.15 1.416 962 Portfolio CITY AP Rum Date: 10111=7-12:54 PM(PRF PM2)7.3.0 Report W. 7.3.3b City of HB Portfolio Management Portfolio Details - Investments July 31, 2017 Page 2 Average Purchase Stated YTM Days to Maturity CUSIP Investment# Issuer Balance Date Par Value M2rket Vahre Book Value Rate S&P 365 Maturity Data Local Agency Investment Funds SYS982 982 Laif City 6655020.36 6656020.36 6,656,020,36 1.051 1.051 i Subtotal and Avenge 10,346,397.54 6,656,020.36 6,666,020.36 616561020.36 Medium Term Notes - IBRD 459058FE8 4158 In8 Bk Pawn & Development 11/18/2016 5,000,000.00 4,977,150.00 4,988,882.53 0,876 AAA 1.109 352 07/19/2018 Subtotal and Average 4,988,43424 6,000,000.00 4,977,150.00 4,988,882.63 1.109 352 Corporate Bonds 037833AR1 4262 Apple Inc. 06126/2017 5,000,000.00 5,152,250.00 5,156.799.82 2.850 1.980 1,374 06/0612021 06406HCZ0 4155 Hank of New York 10124/2016 5,000,000.00 5.D42,500.00 5,066,225.25 2.150 A 1.617 937 02J2412020 149121-5P2 4024 Caterpillar Financial Corp. 1.2MO12014 3,000,000.00 2,994,330.00 2,995,658.91 1.300 A 1.555 212 03/0112018 17275RBGS 4154 Cisco Systems Inc 09127/2016 3,000,000.00 2.988,150.00 3,006,063.13 1.400 AA 1.303 780 0912012019 = 166764AA8 4044 Chevron Corp 02/0912015 3,000,000.00 2,997,150.00 3.001,025.20 1.104 AA 1.003 128 12M5/2017 268648AP7 4077 EMC Corp 07114UO15 2,500,000.00 2.490,900.00 2,504,961.43 1.875 AA 1,630 304 0610112018 36962GSK5 4007 General Electric Capital Corp 05/12/2014 2,500,000.D0 2,501,850.00 2,501,914.81 1.600 AA 1.340 111 1IM12017 tJ 24422ESR1 4126 John Deere Capital 12/08/2015 1,000,000.00 1,000,490.00 1,000,731.75 1,550 A 1.350 136 12115/2017 ' 24422ESR1 4127 Jahn Deere Capital 1210at2015 2,000,000.00 2,000,980.00 2,001,555.65 1.550 A 1.337 136 12/15/2017 494368BP7 4164 Kimberly Clark Corp 12128P2016 2,000,D00.00 2,005.820.00 1,992,123.88 1.850 2.008 943 03MI1202.0 191216BA7 4049 Coca Cola Cc 0?I24=5 2,500.000.00 2.496,800.00 2,498,243.61 1.150 AA 1258 243 04101/2018 58933YAC9 4045 Merck 8 Cc Inc 02109/2015 2.000,000.00 1,997,720.00 2,000,387.75 1.100 AA 1.089 183 01131/2018 68389XAQB 4071 Orade Corp o5126f2o15 3.000,000.00 3,037,980,00 3,027,164.74 2.375 AA 1.731 632 01/1512019 89236TAY1 4039 Toyota Motor Credit 01/26/2015 3,000,000.00 3,022,230.00 3,017,864.60 2.000 AA 1.600 449 10/24/2018 Subtotal and Average 39,775,107.98 39,500,000.00 39,729,160.00 39,770,720.43 1.522 565 Total and Average 227,046,687.72 214,561,020.36 213,813,895.06 214,967,086.47 1.417 845 FBI ert CD Portfolio CITY 5 AP f.1.% Run Date: 10111=17-1254 PM(PRF PM2)7.3.0 N W City of HB Portfolio Management Portfolio Details - Cash July 31, 2017 Average Purchase stated YTM Days to CUSIP InvestmentK Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Run Date: 10/1112017-12:54 Average Balance 0.00 Accrued Interest at Purchase 52,135A2 52,135.42 0 Subtotal 52,135.42 52,135A2 Total Cash and Investrnents Z27,046,687.72 214,561,020.36 213,866,030.48 215,009,221.89 1.417 a" Page 3 Portfolio CITY AP PM, (PRF_PM2) 7.3.0 City of HB Portfolio Management Page 1 Activity By Type July 1, 2017 through July 31, 2017 Stated Transaction Purchases Redemptions CUSIP Investment # Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues • Coupon 3133EG2LB 4160 Federal Farm Credit Bank 1.920 07/26/2017 OM 5,007,657.22 3135GOS53 4255 Fed. Nall Mort, Assoc. 1.700 07/282017 0.00 4,999,113A1 - Subtotal 0.00 10,006,770.63 163,541,463.15 Local Agency Investment Funds (Monthly Summary) SYS982 9B2 LaR City 1,051 49.858.96 5.000,000,00 Subtotal 49,858.96 5,000,000.00 6,656,020.36 Medium Term Notes - IBRD Subtotal 4,988,882.53 Corporate Bonds Subtotal 39,770,72OA3 Total 49,869,96 15,006,770.63 214,957,086A7 [J V� r-r e-f Portfolio CITY W AP ' Run Date: 10/11/2017-1254 PM (PRF PM3; 7.3.0 1 ReportVer.. 7.3.30 City of HB Portfolio Management Activity Summary July 2016 through July 2017 Page 1 Yield to Maturity Managed Number Number Month Number of Average 360 365 Pool of Investments of Investments Average Average End Year Securities Balanoe Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity July 2016 45 230,059,053.62 1.167 1.183 0,588 2 3 1,044 830 August 2016 45 220,520,888.69 1.185 1203 0,614 1 1 1,074 831 September 2016 43 208,478.917.26 1206 1222 0,634 1 3 1,114 835 October 2016 41 196,572,478.10 1107 1.224 0.654 1 3 1,090 807 November 2016 42 195,690,704.56 1.208 1.225 0.678 3 2 1.053 795 December 2016 47 198,391,624.24 1.329 1.348 0.719 5 0 1,154 886 January 2017 48 216,148,564.96 1.341 1,350 0.751 1 0 1,152 863 February 2017 48 215,339,319.67 1.357 1.376 0.777 0 0 1,179 857 March 2017 47 213,717,521.37 1.315 1.333 0121 0 1 1,136 788 April 2017 48 213,723,352.90 1.351 1,370 0.884 2 1 1,174 827 May 2017 49 225,340,416.22 1.343 1.351 0.925 1 0 1,123 772 June 2017 52 231.210,075.29 1.402 1.422 0.978 6 3 1219 866 - July 2017 50 227,046,687.72 1.398 1.417 1.051 0 2 1,246 845 N Average 47 214,808,855.39 1.293% 1.311% 0.775 2 1 1,135 831 Portfolio CITY AP Run Date: 101! 1/2017-17.54 PM IPRP PM4} 7.3.0 Repat Ver. 7.3.3b City of HB Portfolio Management Page 1 Interest Earnings Summary July 31, 2017 July 31 Month Ending Fiscal Year To Date CDlCouponlDiscountInvestments: Interest Collected 248,717.37 2,279,927.08 Plus Accrued Interest at End of Period 539.753.16 539,753.16 Less Accrued interest at Beginning of Period ( 519,023.06) ( 579,266.66) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 269,447.47 2,240,413.58 Adjusted by Premiums and Discounts -14,400,22 -129,187.17 Adjusted by Capital Gains or Losses 22,729.37 23,231.57 Earnings during Periods 277,776.62 2,134,457.98 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 D.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capita) Gains or Lasses 0.00 UO Earnings during Periods 0.00 0.00 Cash/Checking Accounts: Interest Collected Plus Accrued Interest at End of Period Less Accrued Interest at Beginning of Period Interest Earned during Period 49,858.96 11,416.80 ( 52,04025) 9235.51 193,738.85 11,416.80 ( 63,911.05) 141,244.60 Total Interest Earned during Period 278,682.98 2,381,658,18 Total Adjustments from Premiums and Discounts -14,400.22 -129,187,17 Total Capital Gains or Losses 22,729.37 23,231.57 Total Earnings during Period 287,01213 2,275,702.58 i� Portfolio CITY AP W Run Date: 1DA 2017- 12:54 PM (PRF_PM6) 7.3.0 ReportVer. 7.3.3b �Q��y,N�ESr�,F2T r CD Pooled State of California Money Investment Account Market Valuation 7/31 /2017 Description Carrying Cost Plus Accrued Interest Purch. Fair Value Accrued Interest United States Treasury: Bills $ 12,692,437,381.05 $ 12,725,746,000,00 NA Notes $ 20,028,488,804.00 $ 19,989,970,000.00 $ 46,915,475.50 Federal Agency: SBA $ 899,851,500.91 $ 890,130,758.11 $ 950,544,73 MBS-REMICs $ 38,385,461.44 $ 40,080,997.95 $ 180,140.70 Debentures $ 1,289,481,796.46 $ 1,285,839,550.00 $ 3,367,646,15 Debentures FR $ - $ - $ - Debentures CL $ 150,000,000.00 $ 149,904,500.00 $ 271,944,00 Discount Notes $ 11,344,155,194.12 $ 11,366,064,000.00 NA GNMA $ - $ - $ - Su ranational Debentures $ 349,845,968.23 $ 348,475,000.00 $ 1,220,521.00 Su ranational Debentures FR $ 50,000,000.00 $ 50,079,500.00 $ 37,036.81 CDs and YCDs FR $ 625,000,000.00 $ 625,000,000.00 $ 936,843.02 Bank Notes $ 700,000,000.00 $ 699,830,996.32 $ 2,651,611,12 CDs and YCDs $ 13,475,000,000,00 $ 13,472,329,984.98 $ 30,088,388.92 Commercial Paper $ 7,973,742,694.43 $ 7,987,023,333.33 NA Corporate: Bonds FR $ - $ - $ - Bonds $ - $ - $ - Repurchase Agreements $ - $ $ - Reverse Repurchase $ - $ - $ - Time Deposits $ 5,629,740,000.00 $ 5,629,740,000.00 NA AB 55 & GF Loans $ 676,014,000.00 $ 676,014,000.00 NA TOTAL $ 75,922,142,800.64 $ 75,936,228,620.69 $ 86,620,151.95 Fair Value Including Accrued Interest $ 76,022,848,772.64 Repurchase Agreements, Time Deposits, AB 55 & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost), Itern 3. - 17 HB -28- Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department July 2017 Cash Receipts and Disbursements June 2017 July 2017 Receipts General Fund Property Tax Local Sales Tax Public Safety Sales Tax Transient Occupancy Tax Receipts (TOT) Utility Users Tax (UUT) Other Revenue Total General Fund Revenue Capital Projects Funds Debt Service Funds Enterprise Funds General Fund Other Internal Service Funds Special Revenue Funds Grant Funds Trust and Agency Funds Total Receipts Disbursements General Fund Personal Services Operating Expenses Capital Expenditures Non -Operating Expenses Total General Fund Disbursements 1,216,616 643,766 4,152,206 21751,200 219,198 175,160 949,252 1,093,758 1,473,432 1,562,872 6,476,647 6,014,693 14,487,352 12,241,449 180,286 574,386 8,306,400 5,126,928 1,291,372 804,227 552,152 528,817 868,239 1,271,801 1,525,069 971,787 5,199,854 2,004,369 $32,41 D, 723 $23, 523, 763 (17,665,221) (12,744,407) (3,434,266) (2,315,228) (886,774) (620,825) (1,031,999) (504,208) (23,018,260) (16,184,669) HB -29- Item 3. - 18 Capital Projects Funds (1,555,413) (108,565) Debt Service Funds (3,050) (4,050) Enterprise Funds (3,651,684) (5,804,059) General Fund Other (995,355) (1,776,886) Internal Service Funds (768,135) (4,057,624) Special Revenue Funds (939,595) (1,234,160) Grant Funds (1,835,605) (1,460,046) Trust and Agency Funds (3,505,949) (4,232,639) Total Disbursements (36,273,046) (34,862,698) Net Change in Cash Flow ($3,862,324) ($11,338,935) Summary of Cash by Fund June 2017 July 2017 General Fund $74,763,315 $69,553,064 General Fund Other 5,824,459 4,851,564 Capital Projects Funds 19,575,589 20,041,410 Debt Service Funds 63,932 59,882 Enterprise Funds 74,088,745 71,672,882 Trust and Agency Funds 16,353,318 14,125,048 Internal Service Funds 24,552,179 21,023,372 Special Revenue Funds 26,717,233 26,272,586 General Ledger Cash Balances $241,938,770 $227,599,808 * 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. Item 3. - 19 HQ -30- CD W N O �UNTINo MI epF City of Huntington Beach --5, City of HB 2000 Main St. Huntington Beach, :r Portfolio Management c��ouNzv �p�F Portfolio Summary August 31, 2017 Par Market Book % of Days to YTM YTM Investments Value Value Value Portfolio Term Maturity 360 Equiv. 365 Equiv. Federal Agency Issues - Coupon 153,405,000.00 152,752,236.35 153.535.591.43 76.03 1,352 964 1.399 1,418 Local Agency Investment Funds 6,656,020.36 6,656,020.36 6,656,020.36 3.30 1 1 1.069 1,084 Medium Term Notes -IBRD 6,000,000.00 4,980,800.00 4,989,840.93 2.47 608 321 1.093 1.109 Corporate Bonds 36,500,000.00 36,745,715A0 36,765,061.22 18.21 1,179 562 1.499 'L520 201,561,020.36 201,134,771.71 201,946,513.94 100.00% 1,258 843 1.399 1.418 Investments Cash and Accrued Interest Accrued Interest at Purchase 21,666.67 21,666.67 Subtotal 21,666.67 21,666.67 Total Cash and Investments 201,561,020.36 201,156,438.38 201,968,180.61 1,258 B43 1.399 1A18 Total Earnings August 31 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 242,552.34 2,518,254.92 Current Budget 140,000.00 1,540,000.00 1,680,000.00 Last Year Actual 203,488.11 2,104,332.34 2,299,652.24 Average Daily Balance 208,273,796.65 212,831,190.15 Effective Rate of Return 1.37% 1.29% 1 certify that this report accurately reflects all City pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on November 7, 2016. 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,pa IDteractive Data Corporation. Alisa CufMen, CITY TREASURER Reporting period 0810112017-0813112017 Run Date: 101R017 -12:57 Portfolio CITY AP PM (PRF_PM1) 7.3.0 Report Ver. 7.3.3b w N CUSIP Investment # Average Issuer Balance City of HB Portfolio Management Portfolio Details - Investments August 31, 2017 Purchase Date Par Value Market Value Book Value Stated Rate S&P Page 1 YTM Days to Maturity 365 Maturity Date Federal Agency Issues - Coupon 3133EGEV3 4140 Federal Farm Credit Bank 06/152016 5.000.000.00 4,961.750.00 5,000,000.00 1.620 AA 1.620 1,382 06114/2021 313378A43 4048 Federal Home Loan Bank 02/20/2015 5,000,000.00 5,005,450.00 6,007.039.31 1.375 AA 1.100 189 03109/2018 313OA7WK7 4138 Federal Home Loan Bank 0524/2016 5,000,000.00 4,970,250.00 6,000,000.00 1.250 AA 1.250 630 06/2412019 3130ABDC4 4138 Federal Home Loan Bank 06130/2016 2,250,000.00 2.240.527.50 2.250.000.00 1.600 AA 1.600 1,216 12130/2020 3130AOT94 4153 Federal Home Loan Bank 0811012016 S,OD0,000.00 4,970.350.00 5,000.000,00 1.050 AA 1.518 1,074 0811012D20 313383VN8 4157 Federal Home Loan Bank 11/1612016 5,000,000.00 5,049,700.00 5,069,925.07 2.000 1.297 742 09113/2019 3130AB31-8 4166 Federal Home Loan Bank 0412712017 5,000,000.00 5,000,750.00 5,000,000,00 1.750 AA 1.750 1,699 04/27/2022 3134G71.125 4117 Federal Rome Loan Mart Corp 1027/2015 5,000,ODO.00 4,998,350.00 5,000,000.DO 0.800 AA 0.800 56 10127/2017 3134G73Q2 4120 Federal Home Loan Mort Corp 10/27/2015 5.000,000.00 4,987,100.00 5,000,000.DO 1.000 AAA 0.991 329 07/272018 3134G9RN9 4139 Federal Home Loan Mort Corp 06/23/2016 5,D00,000.00 4,972,800.00 5,000,000.00 1.250 AA 1.919 1,026 O6t2312020 3134G9UY1 4142 Federal Home Loan Mort Corp 06/29=16 5,000,000.00 4,988,050.00 5,000,000.00 1.000 AA 1,000 301 06/2912018 3134G9F93 4148 Federal Home Loan Mort Corp 0613012018 5,000,000.00 4.936.000.00 5.000,000.00 1.000 AAA 0.998 665 06/28/2019 3134G9E78 4149 Federal time Loan Mort Corp 061302016 5,000,000.00 4,935,800.00 5,000,000.00 1.280 AAA 1.280 1.125 09/30/2020 = 3134G9CS4 4150 Federal Home Loan Mort Corp 06/302016 4,655,000.00 4,574.328.85 4,655.000.00 1.500 AA 1.500 1,398 06/302021 3134GSG35 4151 Federal Home Loan Mort Corp O6/302016 5,000,000.00 4.982,700.00 5,000,000.00 1.500 AAA 1.400 1,398 06/302021 3134GAUBS 4156 Federal Home Loan Mort Corp 11/=016 5,000,000.00 4.909,660.00 5,000.000.00 1.650 AA 1450 1.543 11222021 J 3134GBNN8 4256 Federal Home Loan Mort Corp 057302017 5.000,000.00 4,999,500.00 5,000,922.09 1.750 1.744 1,092 0828202fl 3134G9N94 4257 Federal Horne Loan Mort Corp 06/142017 5,000,000.00 5,040,900.00 5,026,442.35 1,875 1.723 1.425 071272021 3134G92Y2 4268 Federal Horne Loan Mort Corp 06/142017 5,000,000.00 5,030,150.00 5,026,945.04 1,875 1.733 1,446 08/172021 3134GBNS7 4259 Federal Home Loan Mort Corp 06/142017 3,000.000.00 3,000,060.00 2,998,780.92 1.S00 1.521 726 0828/2019 3134GBLT7 4260 Federal Home Loan Mort Corp 06/152017 3.000.000.00 2,998,350.00 2,998,779.06 11500 1.521 728 OW302019 3134GBTS1 4261 Federal Home Loan Mort Corp 06/29=17 5,000,000.00 5,000,450.00 5,000,000.00 2.125 2.125 1,762 06292022 3136G2R58 4122 Fed. Nafl Mort Ass= 10292015 5,000,000.00 4,990.650,00 5,000,DDO.00 1.040 AA 1.040 420 10262018 3135GOZLO 4132 Fed. Nat'l Mort Assoc. 03/092016 5,000.000.00 5,000,000.00 5,000,715.23 1.000 AA 0.800 26 09272017 3135GOK85 4137 Fed. Natl Mort Assoc. 06/132016 5.000.000.00 4.994,250,00 5.000.000.00 1.400 AA 1.400 650 OW132019 3136G3S.15 4141 Fed, Nett Mort Assoc o6/302018 5.DOO,000.00 4,933,450.00 4,999,042.36 1.500 AA 1.505 1,398 06/3012021 3136G3SN6 4143 Fed. Nat'l Mort Assoc 06=016 3,000,000.00 2.939,970.00 3,000,000.00 1.500 AA 1,500 1,209 1223202D 3135GOK93 4144 Fed. Nato Mort Assoc. 06282016 5,000,000.00 4,984,850.00 5,000,000.00 1.250 AA 1.260 655 06282019 3136G3UTO 4146 Fed, Neff Mort Assoc. 06/302016 5,000,000,00 4,920,050.00 5.000,000.00 1.5DO AA 1,500 1.216 1MM020 3136GSVUS 4147 Fed. Natl Mort Assoc 07/192016 5,000,000.00 5,OD1,100.00 5,000,000.00 2.000 AA 1.825 1.417 071IM021 3136G3YG4 4152 Fed. Nafl Mort Assoc 07/25/2016 7,500,000.00 7,433,550.00 7.500,000.00 1.000 AA 1.000 601 04262019 3138G4HM8 4159 Fed. Natl Mort Assoc. 12/02/2016 5,000,000.DO 5,000,500.00 5.000,000,00 1.950 1.950 1.553 12102I2021 Subtotal and Average 158,215,762.08 153,405,0DO.00 152,752,236.35 163,536,591 A3 1.418 964 Portfolio CITY AP Run Date: 1OM112017-12:67 PM(PRF PM2)7.3:0 Report Vec T:3.35 City of HB Portfolio Management Portfolio Details - Investments August 31, 2017 Page 2 Average Purchase Stated YTM Days to Maturity CUSIP InvestmerdU Issuer Balance Date Par Value Market Value Hook Value Rate S&P 365 Maturity Date Local Agency Investment Funds SYS982 982 Leif City 6,656.020.36 6,656,020.36 6,656,020.36 1.084 1.084 1 Subtotal and Average 6,656,020.36 6,656,020.36 6,656,020.36 6,656,020.36 1.084 1 Medium Term Notes - ORD 459058FE8 4158 In8 Bk Recon & Development 1111&W16 5,000,000.00 4,980,800.00 4,989,840..93 0.876 AAA 1.109 321 07/19J2018 Subtotal and Average 4,989,392.65 5,000,000.00 4,980,300.00 4,989,840.93 1.1D9 321 Corporate Bonds 037833AR1 4262 Apple Inc. 06/262017 5,000,000.00 5,165,350.00 5,163,328.24 2.850 1.980 1,343 05/06/2021 06406HCZD 4155 Bank of New York 10/2412016 5,000,000.00 5,045,550.00 5,064,072.75 2.150 A 1.617 906 02124/2020 17275RBGS 4154 Cisco Systems Inc 09/27/2016 3,000,000.00 2,989,620.00 3.005,826.60 1.400 AA 1.303 749 09/20/2019 166764AAS 4D44 Chevron Carp 02/09/2015 3,000,000.00 2,997,570.00 3,000,777.17 1.1D4 AA 1.003 95 12/0512017 _ 268646AP7 4077 EMC Corp 07/1412D15 2.500,000.00 2,490,975.00 2,504,465.28 1.875 AA 1.630 273 06/01/2018 36962G6K5 4007 General Electric Capital Corp 05/12/2014 2.500,000.00 2,501,175,D0 2,501,387.80 1.600 AA 1.340 80 11/20/2017 24422ESR1 4126 John Deere Capital 12/08/2015 1,000,000.00 1,000,310.00 1.000,567.92 1.550 A 1,350 105 12/15/2017 .� 24422ESR1 4127 John Deere Capital 12/08/2015 2,000,000.00 2,000,620.00 2,001,207.37 1.550 A 1.337 105 12/15/2017 ' 494368BP7 4164 Kimberly Clark Corp 12/28/2016 2,000,000.00 2,007,380.00 1,992,377.95 1.850 2.008 912 03/01/2020 191216BA7 4049 Coca Cola Co 02/2412015 2,500,000.00 2,496,675,00 2,498,463.07 1.150 AA 1.258 212 D4/01/2D78 58933YAC9 4045 Merck & Co Inc 02/09/2015 2,000,000.00 1,997,720.DD 2,000,322.75 1.100 AA 1.089 152 01/31/2018 68389XAQ8 4071 Oracle Corp 05/26/2015 3,000,000.00 3,035,070.00 3,025,609.60 2.375 AA 1,731 501 01/15/2019 89236TAY1 4039 Toyota Motor Credit 01/26/2015 3,D00,000.00 3,017,700,00 3,016,654.81 2.000 AA 1.500 418 10124/2018 Subtotal and Average 38,412,621.97 36,500,000.00 36,745,715.00 36,765,061.22 1.520 562 Total and Average 208,273,796.65 201,561,02036 201,134,77131 201,946,513.94 1A18 843 e--t Portfolio CITY AP W Run Cate: 10/112017-12:57 Pk1(PRF PM2)7.3.0 City of H8 Portfolio Management Portfolio Details - Cash August 31, 2017 Average Purchase Stated YTM Days to CUSIP Investment*— Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Average Balance UO A=rued Interest at Purchase 21,666,157 21,1566.I57 Subtotal 21,666.67 21,566,67 Total Cash and Investments 208,273,796.65 201,561,020-36 201,156,438.38 201,968,180,61 1.418 M Page 3 Portfolio CITY AP R. Date: I0l1I/2017 -12;57 PM (?R- PM2) 73.0 City of HB Portfolio Management Activity By Type August 1, 2017 through August 31, 2017 Page 1 Stated Transaction Purchases Redemptions CUSIP Investment# Issuer Rate Date Or Deposits or Withdrawals Balance Federal Agency Issues - Coupon 313OA3TA2 4038 Federal Home Loan Bank 1.000 08/152017 OM 5,000,000.00 3136G4KM4 4162 Fed. Nan Mort. Assoc. 1.750 081162017 0,00 5,000,000.00 Subtotal 0.00 10,000,000.00 153,539,591 A3 Local Agency Investment Funds (Monthly Summary) Subtotal 6,656,020.36 Medium Term Notes - IBRD Subtotal 4,989,940.93 Corporate Bonds 14912L5P2 4024 Caterpillar Financial Corp. 1.300 00/182017 0.00 2,996,010,34 Subtotal 0.00 2,996,010.34 36,765,061.22 Total 0.00 12,996,010.34 201,946,613.94 Run Date: 10111120117 -12:67 PoMolio CITY AP PM (PMF_PM3) 7.3.0 Report Ver. 7.3.3b City of HB Portfolio Management Activity Summary August 2016 through August 2017 Page 1 YieW to Maturity Managed Number Number Month Number of Avenge 360 365 Pool of Investments of Investments Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity August 2016 45 220.520,888.69 1,186 1.203 0.614 1 1 1,074 831 September 2016 43 208,478,91726 1205 1222 0.634 1 3 1.114 835 October 2016 41 196,572,478.10 1.207 1.224 0.654 1 3 1.090 807 November 2016 42 195,690,704.56 1.208 1225 0.678 3 2 1,053 795 December 2016 47 198,391,62424 1.329 1.348 0.719 5 0 1,154 886 January 2017 48 216,148,564.96 1.341 1.360 0.751 1 0 1,152 863 February 2017 48 215,339,319.67 1.357 1.376 0.777 0 0 1,179 857 March 2017 47 213,717,521.37 1.315 1.333 0.821 0 1 1,136 788 April 2017 48 213,723,352.90 1,351 1,370 0,884 2 1 1,174 827 May 2017 49 225.340,416.22 1.343 1.361 0.925 1 0 1,123 772 June 2017 52 231,210,075.29 1.402 1A22 0.978 6 3 1,219 866 July 2017 50 227,046,687.72 1.398 1,417 1,051 0 2 1,246 845 _ August 2017 47 208,273,796.65 1.399 1.418 1,084 0 3 1.258 843 Average 47 213,103,443.86 1,311% 1.329% 0.813 2 1 1,152 832 Portfolio CITY AP Run Date: 101112017.12-57 PM (PRF PM4) 7.3.0 Report Ver. 7.3.31, City of HB Portfolio Management Interest Earnings Summary August 31, 2017 August 31 Month Ending Fiscal Year To Date CD1Coupon[Discount Investments: Interest Collected 167,935.42 2,447,862.50 Plus Accrued Interest at End of Period 623,134.70 623,134.70 Less Accrued Interest at Beginning of Period ( 539,753.16) ( 579,266.66) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 251,316.96 2,491,730.54 Adjusted by Premiums and Discounts -14,562.19 -143,749.36 Adjusted by Capital Gains or Losses -330.34 22,90123 Earnings during Periods 236,424.43 2,370,882.41 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) v 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 Page 1 Cash/Checldng Accounts: Interest Collected 0-DO 193,738.85 Plus Accrued Interest at End of Period 17,544.71 17,544.71 Less Accrued Interest at Beginning of Period ( 11,416.80) ( 63,911.05) Interest Earned during Period 6,127.91 147,372.51 Total Interest Earned during Period 257,444,87 2,639,103.06 Total Adjustments from Premiums and Discounts -14,567-19 -143,749.36 Total Capital Gains or Losses 330.34 22,901.23 Total Earnings during Period t.I.i Pon Date: 10M U2017 -12:57 N CT 242,562.34 2,518,254.92 Portfolio CITY AP PM (PRF PM6) 7.3.o Report Ver. 7,3.3b \NYE State of California Pooled Money Investment Account 1p Market Valuation Description Carrying Cost Plus Accrued Interest Purch. Fair Value Accrued Interest United States Treasury: Federal Agency: Fair Value Including Accrued Interest $ 75.257.904.06778 Repurchase Agreements, Time Deposits, AB55&General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). Item 3. - 27 HB-]0- Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department August 2017 Cash Receipts and Disbursements Jury 2017 August 2017 Receipts General Fund Property Tax Local Sales Tax Public Safety Sales Tax Transient Occupancy Tax Receipts (TOT) Utility Users Tax (UUT) Other Revenue Total General Fund Revenue Capital Projects Funds Debt Service Funds Enterprise Funds General Fund Other Internal Service Funds Special Revenue Funds Grant Funds Trust and Agency Funds Total Receipts Disbursements General Fund Personal Services Operating Expenses Capital Expenditures Non -Operating Expenses Total General Fund Disbursements 643,766 109,432 2,751,200 3,668,300 175,160 225,504 1,093,758 10423,233 1,562,872 1,646,639 6,014,693 5,431,519 12, 241,449 12,504,626 574,386 77,557 5,126,928 6,077,512 804,227 951,547 528,817 1,207,991 1,271,801 2,399,135 971,787 3,265,914 2,004,369 1,294,744 $23,523,763 $27,779,025 (12,744,407) (12,408,505) (2,315,228) (3,779,274) (620,825) (502,331) (504,208) (3,850,660) (16,184,669) (20,540,770) HB -39- Item 3. - 28 Capital Projects Funds (108,565) (129,181) Debt Service Funds (4,050) (4,174,789) Enterprise Funds (5,804,059) (7,265,828) General Fund Other (1,776,886) (1,566,838) Internal Service Funds (4,057,624) (1,012,936) Special Revenue Funds (1,234,160) (1,649,861) Grant Funds (1,460,046) (1,351,562) Trust and Agency Funds (4,232,639) (3,637,874) Total Disbursements (34,862,698) (41,329,640) Net Change in Cash Flow ($11,338,935) ($13,550,614) Summary of Cash by Fund July 2017 August 2017 General Fund $69,553,064 $61,625,772 General Fund Other 4,851,564 4,236,272 Capital Projects Funds 20,041,410 19,989,786 Debt Service Funds 59,882 67,186 Enterprise Funds 71,672,882 73,841,824 Trust and Agency Funds 14,125,048 11,781,918 Internal Service Funds 21,023,372 21,218,427 Special Revenue Funds 26,272,586 28,957,817 General Ledger Cash Balances $227,599,808 $221,719,002 * 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. Item 3. - 29 HB -40- �uN71NGTpb k r+apr City of Huntington Beach x City of HB 2000 Main SL Huntington Beach, 9 - = �2cF�UUNTY Portfolio Management CP�`�oe Portfolio Summary September 30, 2017 Par Market Book % of Days to YTM YTM Investments Value Value Value Portfolio Term Maturity 360 Equiv. 365 Equiv. Federal Agency Issues- Coupon 148,405,000.00 147,254,258.50 148,529,810.47 75.42 1,379 966 1.419 1 A39 Local Agency Investment Funds 6.656.020.36 6,656,020,36 6,656,020.36 3.38 1 1 1.096 1.111 Medium Tenn Notes -IBRD 5,000,000.00 4,979,850.00 4,990,799.33 2.53 608 291 1,093 1.109 Corporate Bonds 36,500,000.00 36,677,430.00 36,755,060,92 18.66 1,179 532 1,499 1.520 196,561,020.36 195,567,558.86 196,931,691.08 100-00% 1,276 835 1.415 1.435 Investments Cash and Accrued Interest Accrued Interest at Purchase 21,666.67 21.666.67 _ Subtotal 21,666.67 21,666.67 Total Cash and Investments w 196,561,020.36 195,589,225.53 196,953,357.75 1,275 835 1.415 1.435 J=- Total Earnings September 30 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 234,594.55 2,752,839.47 2,752,839.47 Current Budget 140,000.00 1,680,000,00 1,880,000.00 Last Year Actual 196,054.02 2,300,386.36 2,300,386.36 Average Daily Balance 201,272,141.13 211,981,131.33 Effective Rate of Return 1.42% 1.30% 1 certify that this report accurately reflects all City pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on November 7, 2016, 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 Bankjnteractive Data Corporation. (ut(chen, Alise C CITY TREASURER CD Reporting period 0910112017-0913012017 El W Run Date: 10119.2017 -13:02 Portfolio CITY AP PM (PRP_PMt)7.3.0 Report Ver. 7.3 3b City of HB Portfolio Management Portfolio Details - Investments September 30, 2017 Page 1 Average Purchase Stated YTM Days to Maturity CUSIP Investments Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Federal Agency Issues - Coupon 3133EGEV3 4140 Federal Farts Credit Bank 061152016 5,000,D00.00 4,926,050.00 5,D00,000.00 1.620 AA 1,620 1,352 DB114/2021 313378A43 4D48 Federal Home Loan Bank O 2012015 5,000.000.00 5,004,360.00 5,005,916.01 1.375 AA 1.100 159 03/092018 313DA7VNC7 4136 Federal Home Loan Bank 05242016 5,000,000.00 4,960,350.00 5,000,000.00 1.250 AA 1.250 600 05242019 3130ASDC4 4138 Federal Home Loan Bank 06Y30/2016 2,250,000.00 2,227,680.00 2,250,000.00 1.600 AA 1.600 1,186 1213MO20 313OMT94 4153 Federal Home Loan Bank 08/102016 5,000,000.00 4.965,550.00 5,000,000.00 1.050 AA 1.518 1,044 0811 D2020 313383VN8 4157 Federal Hone Loan Bank 11/1612016 5,000.000.00 5,045,200.00 5,067,059.29 2.000 1.297 712 091132019 3130AB31-8 4166 Federal Home Loan Bank 0427/2017 5,000,000,00 4,990,100.00 5,000,000.00 1.750 AA 1.750 1,669 04/272022 3134G7U25 4117 Federal Home Loan Mort Corp 1D272015 5,000,000.00 4,999,100.00 5,000,000.00 0.800 AA 0.000 26 10272017 3134G73Q2 4120 Federal Home Loan Mort Corp 1D272015 5,000,000.00 4,985,450.00 5,000,000.00 1.000 AAA 0.991 299 07/272018 3134G9RN9 4139 Federal Home Loan Mort Corp D61232016 5,000,000.00 4,964.150.00 5.000,000.00 1.250 AA 1.919 996 06/23/2020 3134G9UY1 4142 Federal Hone Loan Mort Corp D6292016 5,000,000AO 4,988,750.00 5,000,000.00 1.000 AA 1,000 271 06292018 3134GOF93 4148 Federal Home Loan Mort Corp D61302016 5,000,000.00 4,926,950.00 6,000,000.00 1.000 AAA 0.998 635 062812019 3134G9E78 4149 Federal Home Loan Mort Corp OW302015 5,000,000.00 4,930,750.00 5,000,000.00 1.280 AAA 1.280 1,095 09/30/2020 3134G9C54 4150 Federal Home Loan Mart Corp 06/302018 4,655,000.00 4,541,883.50 4.655.000.00 1.500 AA 1.500 1,368 06Y30/2021 3134G9G35 4151 Federal Home Loan Mort Corp 0613=016 5,000,000.00 4,946,900.00 5.000,000.00 1.500 AAA 1.400 1.368 061302021 A 3134GAUBS 4156 Federal Home Loan Mort Corp 11=018 5,000,000.DO 4,871,200.00 5,000,000.00 1.660 AA 1,650 1.513 11/22/2021 3134GBNN8 4256 Federal Home Loan MortCorp D61302017 5,000,000.DO 4,974,650.00 5,000,896.40 1.750 1.744 1,062 08128/2020 3134G9N94 4257 Federal Home Loan Mort Corp 06/142017 5,000.000.00 5,001,900.00 5,027,835.47 1.875 1.723 1,395 07272021 3134G92Y2 4258 Federal Home Loan Mort Corp 06/142017 5,000,000.00 5,005,750.00 5,026.378.18 1.875 1.733 1,416 08/172021 3134GBNS7 4259 Federal Home Loan Mort Corp 061142017 3,000.000.00 2,992,800.00 2,998,831.93 1.500 1.521 696 08/28/2019 3134GBL77 4260 Federal Home Loan Mort Corp 06JI 52017 3,000,000.00 2,990,490.00 2,998,830.00 1.500 1.521 698 08/30/2019 3134GSTS1 4261 Federal Home Loan Mort Corp 06292017 5,000,ODO.00 4,981,050.D0 6,000.000.00 2.125 2.125 1,732 06292022 3136G2R58 4122 Fed, Nat] Mort Assoc. 10/29/2016 5,00D,000.DO 4,983,900.00 5.000,000.00 1.040 AA 1.040 390 102612018 3135GOK85 4137 Fed. Nan Mom Assoc. 0611312016 5,000,000.DO 4,979,600,00 5,000,000.00 1.400 AA 1.400 620 06/132019 3136G3SJ5 4141 Fed. Nan Mom Assoc. 06/302016 5,000,000.00 4,898,050.00 4,999,063.19 1.500 AA 1.505 1,368 06/30/2021 3136G3SN6 4143 Fed. Natl Mom Assoc 0623/2016 3,000,000.00 2,925,030.00 3,000,000.00 1.500 AA 1.500 1,179 12/232020 3136GOK93 4144 Fed. Nan Mort Assoc. 06282016 5.000,000.00 4,968,950,DO 5,000,000.00 1.260 AA 1.26D 635 06282019 3136G3UTO 4146 Fed. Nan Mom Assoc. 061302D16 5,000,ODD.DO 4,895,200.00 5,000,000.00 1.500 AA 1.500 1,188 121301=20 3136G3VU6 4147 Fed. Natl Mom Assoc. 07/1912016 5,000,000.OD 4,993,350.00 5,000,000,00 2.000 AA 1.825 1,387 07/1912021 3136G3YG4 4152 Fed. Nab Mort Assoc. 0725/2016 7,600,000.00 7,420,725.00 7,500,000.00 1.000 AA 1.000 571 04262019 3136G4HM8 4159 Fed. Nan Mort. Assoc. 12AM2016 5,000,000.00 4,968.400.00 5,001),000.00 1.950 1.950 1,523 12/02/2021 Subtotal and Average 162,865,89026 146,405,DDO.Oo 147,254,258.50 148,529,810.47 1,439 see Local Agency Investment Funds SYS982 982 Leif City 6,656,020.36 6,656.020.36 6,656,020.36 1.111 1.111 1 Portfolio CITY AP Run Data: 10f19R017. 13:02 PM (PRF PM2) 7.3.0 Report Ver. 7.3.3b City of HB Portfolio Management Page 2 Portfolio Details - Investments September 30, 2017 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 6,656,020.36 6,656,020.36 6,656,020.36 6,656,020.36 1.111 1 Medium Term Notes - IBRD 459058FE8 4158 Ind Sk Recon & Development 11/182016 5.000.000.00 4,979,850.00 4,990,799.33 0.876 AAA 1.109 291 07)19/2018 Subtotal and Average 4,990,336.11 5,000,000.00 4,979,850.00 4,990,799.33 1.109 291 Corporate Bonds 037833AR1 4262 Apple Ina 06/26/2017 5,000,000.00 5,137,900.00 5,149,856.65 2.850 1.980 1,313 05106/2021 06406HCZO 4155 Bank of New York 1024/2016 5,000,000.00 5,024,000.00 5,061,92025 2.150 A 1.617 876 02/24/2020 17275RBGG 4154 Cisco Systems Inc 09272016 3,000,000,00 2,984,940.00 3,005,590.07 1.400 AA 1.303 719 09/202019 166764AA8 4044 Chevron Corp 02/09/2015 3,000,000.00 2,998,560.00 3,000,529.13 1AD4 AA 1.003 65 12/052017 268648AP7 4077 EMC Corp 07/142015 4500,000.00 2,490,075-00 2,503,969.14 1.875 AA 1.630 243 06/01/2018 36962GSKS 4D07 General Electric Capital Corp 05/122014 2,500,000.00 2,501,300.00 2,500,860.78 1.600 AA 1.340 50 11/20,2017 24422ESR1 4126 John Deere Capital 12J082016 1,000,000.00 1.000.360.00 1,000,404.10 1.550 A 1.350 75 12115/2017 —_ 24422ESR1 4127 John Deere Capital 12/082D15 2,000,000.00 2,000,720.00 2,000,859.09 1,5$0 A 1.337 75 12/1512017 494368BP7 4164 Kimberly Clark Corp IZ1282016 2,000,000.00 1,999,000.00 1,992,632,02 1.650 2,006 882 03/0112020 191216BA7 4049 Coca Cola Co 02/242015 2,500,000.00 2,496,625.00 2,498,662.63 1.150 AA 1.258 182 04/0112018 58933YAC9 4045 Merck & Co Inc 02+092015 2,000,000.00 1,999,220.00 2,000,257.78 1.100 AA 1,089 122 01/3112018 60389XAQB 4071 Oracle Corp 0526/2015 3,000,000.00 3,030,360.00 3,024,05427 2.375 AA 1.731 471 0111512019 89236TAY1 4039 Toyota Motor Credit 01/282015 3,000,000.00 3,014,370.00 3,015,445.01 2.000 AA 1.500 388 10/24/2018 Subtotal and Avenge 36,759,894.41 36,500,000.00 36,677,430.00 36,755,060,92 1.520 532 Total and Avenge 201,274141.13 r+ r-t N W Rut Date: 10119W17 - 13.02 W N 196,661,020.36 195,667,66886 196,931,691.08 1A35 835 Portfolio CITY AP PM (PRF_PMZ, 7.3.0 City of HB Portfolio Management Portfolio Details - Cash September 30, 2017 Page 3 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 21,666.67 21,666.67 0 Subtotal 21,666.67 21,666.67 Total Cash and Investments 201,277,141.13 196,661,020.36 195,589,225.53 196,953,357.75 1A35 935 Run Date10119,2017 -13:02 Portfolio CITY AP PM (PRF_PM2) 7.3.0 City of HB Portfolio Management Page 1 Activity By Type September 1, 2017 through September 30, 2017 Stated Transaction Purchases Redemptions CUSP Irrvestment V Issuer Rake Date or Deposits or Withdrawals Balance Federal Agency Issues - Coupon 3135GOZLO 4132 Fed. Nell Mort Assoc. 1,000 09/27/2017 0.00 5,000,000.00 Subtotal 0.00 5,000,000.00 148,529,810A7 Local Agency Investment Funds (Monthly Summary) Subtotal 6,656,020.36 Medium Term Notes - IBRD Subtotal 4,990,799.33 Corporate Bonds Subtotal 36,755,060-92 w Total 0.00 5,000,000.00 196,931,691.08 J= H--t c-f Portfolio CITY W AP Run Date: 10/1912017 -13:02 I PM (PRF PM3) 7.3.0 Repot Ver. 7.3.310 W City of HB Portfolio Management Activity Summary September 2016 through September 2017 Page 1 Yield to Maturity Managed Number Number Month Number of Average 360 365 Pool of Investments of Investmems Average Average End Year Securities Balance Equivalent Equivalent Rate Purchased Redeemed Term Days to Maturity September 2016 43 208,478,917.26 1,205 1,222 0.634 1 3 1,114 835 October 2016 41 196,572,478.10 1.207 1.224 0.654 1 3 1,090 807 November 2016 42 195,690,704.56 1.208 1.225 0,678 3 2 1,053 795 December 2016 47 198,391,624,24 1.329 1.348 0.719 5 0 1,154 886 January 2017 48 216,148,564.96 1.341 1.360 0.751 1 0 1,152 863 February 2017 48 215,339,319.67 1.357 1.376 0.777 0 0 1,179 857 March 2017 47 213,717,521.37 1.315 1.333 0.821 0 1 1.136 788 April 2017 48 213,723,352.90 1.351 1.370 0.884 2 1 1,174 827 May 2017 49 225,340,416.22 1.343 1.361 0.925 1 0 1,123 772 June 2017 52 231,210,075.29 1.402 1.422 0,978 6 3 1,219 866 July 2017 50 227,046,687.72 1.398 1.417 1.051 0 2 1,246 845 - August 2017 47 208,273,796.65 1.399 1.418 1.084 0 3 1.258 843 September 2017 46 201,272,141.13 1.415 1.435 1.111 0 1 1,275 835 Average 47 211,622,735.32 1.328% 1.3479/. 0.851 2 1 1,167 832 Portfolio CITY AP Run Date: 10/192017 -1302 PM (PRF_PM4) 7.3.0 Report Ver. 7.3.3b City of HB Portfolio Management Page 1 Interest Earnings Summary September 30, 2017 September 30 Month Ending Fiscal Year To Date CD/Couponi'DiscountInvestments: Interest Collected 148,875.00 2,596,737.50 Plus Accrued Interest at End of Period 717,589.16 717,589.16 Less Accrued Interest at Beginning of Penod ( 623,134.70) ( 579,266-66) Less Accrued Interest at Purchase During Penod ( 0.00) ( 0.00) Interest Earned during Period 243,329.46 2,735,060.00 Adjusted by Premiums and Discounts-14,822.86 -158,572.22 Adjusted by Capital Gains or Losses 0.00 22,901.23 Earnings during Periods 2,28,506.60 2,599,389.01 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 0,00 193,738.85 Plus Accrued Interest at End of Period 23,622.66 23,622.66 Less Accrued Interest at Beginning of Period ( 17,544.71) ( 63,911.05) Interest Earned during Period 6,077.95 153,450.46 Total Interest Earned during Period 249,407.41 2,888,510.46 Total Adjustments from Premiums and Discounts-14,822.86-158,572.22 Total Capital Gains or Losses 0.00 22,901,23 Total Earnings during Period 234,584.55 i--i CD tJ.1 Rim Date: 1011912017 - 13:02 W 2,752,839A7 Portfolio CITY AP PM (PRF_RM5) 7.3.0 Report., T.3.3b 2- 2- 2` 2` M ���y�t+uEsryFyf State of California q CPooled Money Investment Account a Market Valuation 9/30/2017 Description Carrying Cost Pius Accrued Interest Purch. Amortized Cost Fair Value Accrued Interest United States Treasury: Bills $ 14,674,811,264.34 $ 14,728,634,539.67 $ 14,723,448,000.00 NA Notes $ 18,827,121,137.72 $ 18,825,793,811.24 $ 18,779,355,000.00 $ 35,404,702.50 Federal Agency: SBA $ 882,001,016.40 $ 882,001,016.40 $ 872,264,699.96 $ 1,109,845.38 MBS-REMICs $ 36,639,144.19 $ 36,639,144.19 $ 38,144,662,40 $ 171,758.71 Debentures $ 1,325,997,141.66 $ 1,328,621,620.83 $ 1,324,530,000,00 $ 2,307,558.75 Debentures FIR $ $ $ - $ Debentures CL $ 250,000,000.00 $ 250,000,000.00 $ 249,152,500-00 $ 732,860.50 Discount Notes $ 9,694,389,458.06 $ 9,721,523,694.20 $ 9,720,621,000.00 NA GNMA $ - $ - $ $ _ Su ranational Debentures $ 450,315,184.02 $ 450,217,961.80 $ 448,745,000.00 $ 1,053,298M Su ranational Debentures FIR $ 50,000,000.00 $ 50,000,000.00 $ 50,075,500.00 $ 155,944.44 CDs and YCDs FIR $ 625,000,000.00 $ 625,000,000.00 $ 625,000,000.00 $ 1,539,891,61 Bank Notes $ 700,000,000.00 $ 700,000,000.00 $ 699,891,966.88 $ 3,317,666.66 CDs and YCDs $ 12,325,000,000.00 $ 12,325,000,000.00 $ 12,323,151,274.56 $ 32,191,583.30 Commercial Paper $ 6,177„895,486.11 $ 6,189,905,611.10 $ 6,189,559,750.03 NA Corporate: Bonds FIR $ $ $ $ Bonds $ $ $ $ Repurchase Agreements $ $ $ $ Reverse Repurchase $ $ $ $ Time Deposits $ 5,636,740,000.00 $ 5,636,740,000,00 $ 5,636,740,000.00 NA AB 55 & GF Loans S 695,865,000.00 $ 695,865,000.00 $ 695,865,000.00 NA TOTAL $ 72,354,774,832.50 $ 72,445,942,399,43 $ 72,376,544,353.83 1 $ 77,985,109.85 Fair Value Including Accrued Interest $ 72,454,529,463.68 ' Governmental Accounting Standards Board (GASB) Statement #72 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 (0.999042071). 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 $19,980,841.43 or $20,000,000.00 x 0.999042071. Item 3. - 37 HB -48- Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department September 2017 Cash Receipts and Disbursements August 2017 September 2017 Receipts General Fund Property Tax 109,432 1,477,819 Local Sales Tax 3,668,300 31345,237 Public Safety Sales Tax 225,504 188,966 Transient Occupancy Tax Receipts (TOT) 1,423,233 1#281,063 Utility Users Tax (UUT) 1,646,639 1,726,209 Other Revenue 5,431,519 5,574,670 Total General Fund Revenue Capital Projects Funds Debt Service Funds Enterprise Funds General Fund Other Internal Service Funds Special Revenue Funds Grant Funds Trust and Agency Funds Total Receipts Disbursements (General Fund I Personal Services Operating Expenses Capital Expenditures Non -Operating Expenses Total General Fund Disbursements 12,504,626 77,557 13,593,965 292,137 6,077,512 5,470,088 951,547 33,296 1,207,991 749,932 2,399,135 917,517 3,265,914 98,797 1,294,744 2,638,338 $27,779,025 $23,794,070 (12,408,505) (12,305,249) (3,779,274) (3,294,538) (502,331) (1,202,551) (3,850,660) (1,538,988) (20,540,770) (18,341,326) H B -49- Item 3. - 38 Capital Projects Funds (129,181) (69,414) Debt Service Funds (4,174,789) - Enterprise Funds (7,265,828) (2,373,482) General Fund Other (1,566,838) (263,885) Internal Service Funds (1,012,936) (749,950) Special Revenue Funds (1,649,861) (1,667,617) Grant Funds (1,351,562) (620,680) Trust and Agency Funds (3,637,874) (5,373,662) Total Disbursements (41,329,640) (29,460,016) Net Change in Cash Flow ($13,550,614) ($5,665,946) Summary of Cash by Fund August 2017 September 2017 General Fund $61,625,772 $50,398,403 General Fund Other 4,236,272 4,005,683 Capital Projects Funds 19,989,786 20,212,510 Debt Service Funds 67,186 67,186 Enterprise Funds 73,841,824 77,732,425 Trust and Agency Funds 11,781,918 9,046,594 Internal Service Funds 21,218,427 21,218,409 Special Revenue Funds 28,957,817 27,658,215 General Ledger Cash Balances $221,719,002 $210,339,424 " 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, Item 3. - 39 HB -50- City of Huntington Beach Quarterly Treasurer's Report Quarter Ending: September 30, 2017 Prepared by: Alisa Cutchen, CCMT, CPFIM, City Treasurer ■ arket Overview - At 9/30/17 Economic Indicators • PCE 1.3% • Unemployment rate 4.2 % • Labor Participation rate 63.1% • Federal FundsRate: 1.00-1.25 % Overview of City Investments • City's cash resources 0 CA Government available to fund Code operations, capital projects, debt service 9City's Investment and other items Policy • Pooled to facilitate Monthly/quarterly cash management reporting: http:llwww.huntingtonbeachca.Qox,l • Excess cash invested government/elected officials/ city treasurer{ • Supplemental Retiree Pension • Deferred Compensation Plan • Other Pension Benefits 115 Trust • Retiree Medical Trust (CalPERS) • Joint Powers Accounts • Bond Reserve Accounts Investment Type / Market Value: • Federal Agencies - $147.3MM • Corporate Bonds - $36.7MM • LAIF - $6.6MM • IBRD - $5.OMM TOTAL PORTFOLIO: $195.6MM Investments by Type As of September 30, 2017 Corporate Bonds 19% MTN — ISRI Federal Agencies 75% S300,000.00 $250,000,00 $200,000M $150,000.00 $100,000.00 $50,000.00 $0.00 A ompliance Selected Investment Policy Requirements: Investment Type Max. Maturity Max. % of Portfolio Ratings Federal Agencies 5 yrs none AAA/Aa IBRD 5 yrs 10% AAA/Aaa Corporate Bonds 5 yrs 30% A or above LAIF n/a $65MM per n/a account Dept. ID CT 17-003 Page 1 of 1 Meeting Date: 5/1/2017 CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 5/1/2017 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 2017 Quarterly Investment Summary Report Statement of Issue: Receive and File the City Treasurer's Quarterly Investment Report for March 2017, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Financial Impact: Not Applicable Recommended Action: Receive and file the City Treasurer's Quarterly Investment Report for March 2017, pursuant to Section 17.0 of the Investment Policy of the City of Huntington Beach. Alternative Action(s): Deny or Critique Quarterly Report. Analysis: Not Applicable. Environmental Status: Not Applicable. Strategic Plan Goal: Strengthen economic and financial sustainability. Attachment(s): 1. Treasurer's Quarterly Investment Report for March 2017 2. Treasurer's PowerPoint Presentation for March 2017 H B -9- Item 2. - I City of Huntington Beach Treasurer's Investment Report Quarter Ending: March 2017 Prepared by: Alisa Cutchen, CCMT, CPF1M - City Treasurer 11Page Item 2. - 2 Ha -10- Economic and Market Overview: Market Summary Federal Funds Rate 10-Year Treasury S&P S00 DOW January 31, 2017 0.50 - 0.75 % 2.45% 2,278.87 19,864.09 February 28, 2017 0.50 - 0.75 % 2.36% 2,363.64 20,812.24 March 31, 2017 0.75 - 1.00 % 2.40% 2,362.72 20,663.22 Jan - Mar % Change 33.33% -2.04% 3.68% 4.02% The Federal Open Market Committee (FOMC) met in March to discuss the current state of the economy and to examine potential future interest rate hikes before year end. They concluded that in light of realized and expected labor market and inflation gains, the Committee would raise the target range for the federal funds rate to 3/4 to 1 percent. US inflation, as measured by the core PCE price index, was unchanged at 1.8% in February but still below the Federal Reserve's 2% target. Furthermore, the Committee stated that they will carefully monitor actual and expected inflation developments as the year progresses to determine the timing and size of future adjustments to the federal funds rate. Fixed Income/Equity Markets: The yield on the 10-year U.S. Treasury finished the quarter at 2.40%, down slightly from 2.45% from the previous quarter. The S&P 500 and the DJIA increased by 5.53% and 4.56% respectively, for the same time period. In the first quarter of 2017, equity markets posted strong gains to close out the quarter while the bond markets slightly lagged behind. This increase in the equity markets may be partially attributed to the continued growth of economic activity as compared to the modest pace seen in the second half of last year. Employment: The U.S. gained 98,000 jobs in March with the largest increases in professional and business services, followed by education and health services. According to the labor department, the unemployment rate decreased from 4.7% to 4.5% quarter over quarter as the economy continued to create new jobs. As a result, the labor participation rate for March increased to 63.0%, up slightly from 62.7% in the previous quarter. Over the past 3 months, job gains have averaged 178,000 per month. 2 1 P a g e HB -1 1- Item 2. - 3 At a glance: the March jobs report l.tnem YM rate By selected industie5 - -ent R i'l 10 % I - Mining/logging Construction 8 m6 Manufacturing IG Wholesale trade -0.41 Retail trade 29.7 4 : Transportation and warehOLIsing '08 '09 '10 '11 '12 '13 '14 '15 116,17 N3.5 !Monthly jobs growth 600 Utilities 7a 400 -0.71 Informatfon .3E rprfbd I !. , linancial activitW�,, fllN1i"I���il�( r 0 Professional and irws% se-rvices, -700 Education ,afinn and hc--fl! h 15 -GOO Leisure and haspi I I 9 -800 Government 1,000 9 'OR '09 ID '11 '12 '13 '14 '15 '16 '17' 56 5OL11-Cr-': BLII-Cz3U of Labor Statistics 3 1 P a g e Item 2. - 4 HB -12- Portfolio Overview: As of March 31, 2017: to of YTM Investment Type Market Value Book Value Portfolio 365-day Policy Limit Federal Agency Issues 141,104,529 142,513,877 67% 1.39% None Local Agency Investment Fund (LAIF) 21,570,000 21,570,000 10% 0.82% $65 million Medium Term Notes — IBRD 4,972,900 4,985,049 2% 1.11% 10% Corporate Bonds 44,517,145 44,642,045 21% 1.44% 30% I Total Portfolio $212,164,574 $213,710,971 200% 1.33% As of March 31, 2017 the market value of the City's investment portfolio was approximately $212.1 million, with a book value of $213.7 million. 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 Composition: Investments by Type as of March 31, 2017 4 1 P a g e HB -13- Item 2. - 5 Currently, funds within this portfolio are invested in federal agency securities, corporate bonds, the International Bank for Reconstruction and Development ("IBRD") and the State of California's pooled account (Local Agency Investment Fund "LAIF"). The four federal government sponsored entities (agencies) whose bonds the City purchases 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 federal agency bonds purchased by the City are rated "AAA" by Moody's, as are the IBRD bonds. Corporate bonds are obligations of corporations. All corporate bonds are "A" rated or its equivalent or better, per the City's investment policy and state of California regulations. LAIF offers local agencies the opportunity to participate in a major portfolio with overnight liquidity managed by the State of California Treasurer's Office. Please see http://www.treasurer.ca.gov/pmia-laif/laif.asp for more information as well as the "State of California Pooled Money Investment Account Market Valuation" (included in this report) for month end data. LAIF has been utilized for the liquidity portion of the City's portfolio as the yield received at this time is greater than that of similar liquid investments such as money market accounts, short-term Treasury Bills, and commercial paper. Portfolio Earnings and Performance: $250,000.00 $200,000.00 $150,000.00 $100,000.00 $ 50,000.00 $0.00 t`\ Doti lip; �oy� 2017 Monthly Earnings History xA vy 1� ,yo i 4 O�o�p¢i oJ�� 5 1 P a g e Item 2. - 6 HB -14- Monthly investment earnings for March 2017 were $228,501. The monthly effective rate of return was 1.26%, with a fiscal year-to-date effective rate of return of 1.22%. This compares favorably to the previous year's monthly earnings of $187,834 and monthly effective rate of return of 1.10% for the same time period in 2016. These earnings are utilized to offset taxpayer funds for city operating expenses, capital projects, debt repayment and other uses. Portfolio Earnings Current Year Current Budget Last Year Actual Effective Rate of Return Benchmark* Month End 3/31/27 $ 228,501 $ 140,000 $ 187,834 1.26% 1.27% I* 2-year Constant Maturity Treasury (CHIT) rate FY 2016/2017 $ 1,255,090 $ 840,000 $ 1,071,373 1.22% 1 With the sharp increase in the interest rates over the past few months, the 2-year Treasury rate climbed to 1.27% at the end of March. As this increase was fairly rapid, the return on the portfolio as a whole at 1.26% is just slightly under this benchmark rate for the month. With the increase in interest rates, it is anticipated that the portfolio will experience a similar increase in the rate of return over time; however, it must be noted that as securities typically remain in the portfolio until they are called or mature, changes in the portfolio yield will lag interest rate changes in the market. Portfolio ActivitT. (For details of portfolio activity, please see the Sympro reports attached entitled "Activity Report') Monthly Activity: For the month ending March 31, 2017, $5 million was transferred to LAIF from the operating account over the month. Quarterly Activity: For the quarter ending March 31, 2017, a total of $5 million in federal agency securities were purchased with $5 million in federal agencies called or matured. An interest deposit into LAIF of $45,989 was made during the quarter. Compliance: The portfolio is in conformity with all relevant State regulations and the City's Investment Policy statement as approved by the City Council on November 5, 2016. The investment program herein shown provides sufficient cash flow liquidity to meet the next six months' obligations. 6 1 P a g e HB -1 Item 2. - 7 Additional Information: Retirement Plan Information as of December 31, 2016: (Due to the delay in statement receipt, information is from previous quarter.) of Huntinaton Beach - Pension/Trust Plans -Market Value Deferred Compensation Plan Summary Information as of December 31, 2016 Beginning Contributions Distributions/ Earnings Other Fees/ Self Directed Ending Balance Transfers (change in Adjustments Option Balance Balance C7-1-16) value) (Nationwide (9-30.16) Gain/Loss/ Only) Reporting is Quarterly Interest ICMARetirement Corporation (457 Plan) $42,665,682 $691,900 ($742,063) $1,373.158 ($2,952) $43,986,725 Nationwide Retirement Solutions (457 Plan) $75,259.598 $1,053,664 ($916,085) $2,045,622 ($1,100) $1,042,726 $78,484,425 Total Deferred Compensation Plan Balances $117 925 280 $1 745,564 ($1,658,148) $3 418,780 ($4,052) $122,470,150 City of Huntington Beach Retiree Medical Trust Summary Information as of December 31, 2016 Beginning Contributions Distributions( Investment Other Fees/ Ending Balance Transfers Earnings Adjustments Balance (change in (9-30-16) Reportfog is Quarterly value) CalPERS Retiree Medical Trust Account $22,316,243 $76,000 $0 $472,156 ($4,842) $22,869,667 City of Huntington Beach Supplemental Pension Trust Summary Information (monthly reporting, not quarterly) as of December 31, 2016 Beginning Employer Interest & Realized Change in Other Trust Ending Balance Contributions Dividends Gain / Loss Unrealized Fees/ Balance Plus Net Gains / Losses Adjustments (9-30-16) Accrued Reporting is Monthly Income US Bank Supplemental Pension Trust Account $47 117 372 $822 000 $107 339 $53,139 ($29.809) ($6,266) $48,063,775 City of Huntington Beach PARS 115 Trust Summary Information as of December 31, 2016 Beginning Employer Earnings Expenses Distributions Transfers Ending Balance Contributions Balance {12-1-16) (12-31-16) Reporting is Monthly PARS Post Employment Benefits Trust Account $2 516 067 $0 $30 682 $0 $0 $0 $2,646,749 7 1 P a g e Item 2. - 8 H B -16- Bond Reserve Accounts - Balances as of March 31, 2017: Summary of Huntfngton Beach Bond Issue -- Reserve Accounts As of March 31, 2017 Bond Issue: H.B. Pudic Fkandng Auk* Lease Rdundng Bonds 2010 Series A H.B. Pudic Firencing Adwiy (Capital Improvement RefeaancoSerior Cent) Bonds 2011 Series A Redevelopmem Agency of H .B. -1999 Tax Alkcaion Rel acing Bv& (113 of 1992) Redevelopment Agency of H.B. - 2002 Tax Alkcaion ReWng Bonds (213 of 1992) H.B. Commwiy FadliBsDisiricINo. 1990-1 2001 Special Tax Bonds(Gddenwest-Ells) H.B. Communty Fatsfies M.WtNo. 20*1 2013 Special Tax Bads (Grand Coasl Hyao H.B. C ommuntty Facilties Distdcl No. 2002-12002 Special Tax BY& (McDormel Carge Business Pads) H.B. Commune Faclfies Disl ict ft 2003-1 2013 Special Tax Boas (Huninglon Cemer- Bella Term) TOTALS: $ Reserve Account Value as of Mar31,2O17 1,242,600.00 3,724,305.32 755,433.94 1,687,209.09 172,400.03 1,093,271,14 466,633.80 1,682,909.32 10,814,763 Investm ants Federal Money Market LAIF Agency Issues Funds CAMP 1,242,600.00 828,739.71 2,895,565.45 0.16 755,433.93 0.01 648,876.60 1,002,640.00 35,692.49 172,000.00 400,03 0.04 1,093,271.10 456,633.80 0.07 1,682,909.25 $ 2,861,684 $ 3,898,206 $ 1,278,693 $ 2,776,180 8 1 P a g e KB -1 7- Item 2. - 9 CD N 1 0 Investments City of HB Portfolio Management Portfolio Summary January 31, 2017 Par Market Value Value Book % of Value Portfolio Term City of Huntington Beach 2000 Main St. Huntington Beach, Daysto YTM YTM Maturity 360 Equiv. 365 Equiv. Federal Agency Issues- Coupon 147,405,000,00 146,026,962.45 147,523,754.58 67.44 1,338 1.099 1.414 1.434 Local Agency Investment Funds 21,570,000.19 21,570,000.19 21,570,000.19 9.86 1 1 0.741 0.751 Medium Term Notes - ORD 5,000,000.00 4,975,050.00 4,983,132.11 2.28 608 533 1.093 1.109 Corporate Bonds 44,500,000.00 44,529,815.00 44,662,091.73 20.42 1,154 537 1.418 1.438 218,475,000.19 217,101,827.64 218,738,978.61 100.00% 1,152 863 1.341 1.360 Investments Cash and Accrued Interest Accrued Interest at Purchase 48.258.34 48,258.34 Subtotal 48,258.34 48,258,34 Total Cash and Investments 218,475,000.19 217,150,085.98 218,787,236.95 1,152 863 1.341 1.360 Total Earnings January 31 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 226,719.29 798,894.87 Current Budget 140,000.00 560,000.00 1,680,000.00 Last Year Actual 193,782.34 693,355.14 2,299,957.00 Average Daily Balance 216,148,664.96 201,749,705.88 Effective Rate of Return 1.24% 1.18% I certify that this report accurately reflects all City pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on November 7, 2016. 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. f Alisa Cutchen, CITY TREASURER Reporting period 0110112017-0113112017 Run Dale: 04/1212017 -15:33 Portfolio CITY AP PM (PRF PM1) 7.3.0 Report Ver. 7.3.3b City of HB Portfolio Management Portfolio Details - Investments January 31, 2017 Page 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 3133EGEV3 4140 Federal Farm Credit Bank 06/15/2016 5.000,000.00 4,906,900.00 5,000,000.00 1.620 AA 1.620 1,594 06/14/2021 3133EG21-8 4160 Federal Farm Credit Bank 12/28/2016 5.000,000.00 5,013,350.00 5,008,744.90 1.920 1.873 1,426 12/28/2020 313OA3TA2 4038 Federal Home Loan Bank 12/30/2014 5,000,000.00 5,008,450.00 4,999,733A2 1.000 AA 1.010 195 08/15/2017 31337BA43 4048 Federal Home Loan Bank 02/20/2015 5,000,000.00 5,022,550.00 5.014,902,37 1.375 AA 1.100 401 03/09/2018 3130A7WK7 4136 Federal Home Loan Bank 0512412016 5.000,000.00 4,965,450.00 5,000,000.00 1.250 AA 1.250 842 05/24/2019 3130ABDC4 4138 Federal Home Loan Bank 06130/2016 2.250,000.00 2,194,627.50 2.250,000.00 1.600 AA 1.600 1,428 12/30/2020 3130AST94 4153 Federal Home Loan Bank 08/10/2016 5,000,000.00 4,941.700.00 5,000,000,00 1.050 AA 1.618 1,286 08110/2020 313383VN8 4157 Federal Home Loan Bank 11/1612016 5,000,000,00 5,068,100.00 5,089,985.55 2.000 1.297 954 09/13/2019 3134G7U25 4117 Federal Home Loan Mort Corp 10/27/2015 5,000,000.00 4,998,900.00 5,000,000.00 0.800 AA 0.800 268 10/27/2017 3134G73Q2 4120 Federal Home Loan Mort Corp 10/27/2015 5,000,000.00 4,968,200.00 5.000,000.00 1000 AAA 0.991 541 07/27/2018 3134G9RN9 4139 Federal Home Loan Mort Corp 06/23/2016 5,000,000.00 4,942,650.00 5,000,000.00 1.250 AA 1.919 1,238 06/23/2020 3134G9UY1 4142 Federal Home Loan Mort Corp 06/29/2016 5,000,000.00 4,996,800.00 5,000,000.00 1.000 AA 1.000 513 06/29/2018 z 3134G9F93 4148 Federal Home Loan Mort Corp 06130/2016 5,000,000.00 4,921,550.00 5,000,000.00 1.000 AAA 0.998 877 06/28/2019 3134G9E78 4149 Federal Home Loan Mort Corp 06/30/2016 5,000,000.00 4,846,300.00 5,000,000.00 1.280 AAA 1.280 1,337 09/30/2020 3134G9C54 4150 Federal Home Loan Mort Corp 06/30/2016 4,655,000.00 4,521,354,95 4,655,000.00 1.500 AA 1.500 1,610 06/30/2021 3134G9G35 4151 Federal Home Loan Mort Corp 06/30/2016 5,000,000.00 4,942,950.00 5,000,000.00 1.000 AAA 1.592 1,610 06/30/2021 3134GAUB8 4156 Federal Home Loan Mort Corp 11/2212016 5,000,000.00 4,849,900,00 5,000,000.00 1.650 AA 1.650 1,755 11/22/2021 3134GAE34 4163 Federal Home Loan Mart Corp 12/30/2016 5,000,000.00 4,997,700.00 5,000,000.00 1.000 2.787 1,793 12/30/2021 3136G2R58 4122 Fed. Nat'l Mort. Assoc. 10/29/2015 5,000,000.00 4,991,950.00 5,000,000,00 1.040 AA 1.040 632 10/26/2018 3135GOZLO 4132 Fed. Nat'l Mort. Assoc. 03/09/2016 5,000,000.00 5,009,400.00 5,006,492.11 1.000 AA 0.800 238 09/27/2017 3135GOK85 4137 Fed. Nat'l Mort. Assoc. 06/13/2016 5,000,000.00 4,977,200,00 5,000,000.00 1.400 AA 1.400 862 06/13/2019 3136G3SJ5 4141 Fed. Nat'l Mort, Assoc. 06/30/2016 5,000,000.00 4,825,550.00 4,998,896.53 1.500 AA 1.505 1,610 06/30/2021 3136G3SN6 4143 Fed. Nat'l Mort, Assoc, 06/23/2016 3,000,000.00 2,904,780.00 3,000,000.00 1.500 AA 1.500 1.421 12/23/2020 3135GCK93 4144 Fed. Nat'l Mort. Assoc. 06/28/2016 5,000,000.00 4,966,B00.00 5,000,000.00 1.250 AA 1.250 877 06/2812019 3136G3UTO 4146 Fed. Nat'l Mort. Assoc. 06/30/2016 5,000,000.00 4,873,300.00 6,000,000.00 1.500 AA 1.500 1,428 12/30/2020 3136G3VU6 4147 Fed. Nat'l Mort. Assoc. 07/1912016 5,000,000.00 4,980,200.00 5,000,000.00 1.125 AA 1.819 1,629 07/19/2021 3136G3YG4 4152 Fed. Nat'l Mort. Assoc. 07/25/2016 7,500,000.00 7,421,700.00 7,500,000.00 1.000 AA 1.000 813 04/25/2019 3136G4HM8 4159 Fed. Nat'l Mort. Assoc. 12/02/2016 5,000,000.00 4,965,850.00 5,000,000.00 1.950 1.950 1,765 12/02/2021 3138G4KN2 4161 Fed. Nat] Mort Assoc. 12/30/2016 5,000,000.00 5,000,500.00 5,000,000.00 2.050 AA 2.050 1,428 12/30/2020 3136G4KM4 4162 Fed. Nat'l Mort. Assoc. 01/17/2017 5,000,000.00 5,002,300,00 5,000.000.00 1.750 1.750 1,080 01/17/2020 CD N Subtotal and Average 144,945,419.42 147,405,000.00 146,026,962.45 147,523,764.68 1.434 1,099 Local Agency Investment Funds SYS982 982 Lait City 21,570,000.19 21.570,000.19 21,570,000.19 0.751 0.751 Run Date: 04/122017 -15:33 Subtotal and Average 21,553,681.54 21,570,000.19 21,570,000.19 21,570,000.19 0.751 1 Portfolio CITY AP PM (PRF_PM2) 7.3.0 Report Vac 7.3.3b City of HB Portfolio Management Portfolio Details - Investments January 31, 2017 Page 2 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 - IBRD 459058FE8 4158 Intl Bk Recon & Development 11/18/2016 5,000,000.00 4,975,050.00 4,983,132.11 0.878 AAA 1.109 533 07/19/2018 Subtotal and Average 4,982,683.83 6,000,000.00 4,975,060.00 4,983,132.11 1.109 533 Corporate Bonds 06406HCZO 4155 Bank of New York 10/24/2016 5,000,000.00 4,995,000,00 5,079,140.25 2.150 A 1.617 1,118 02/24/2020 14912L5P2 4024 Caterpillar Financial Corp. 12/10/2014 3.000,000.00 2,991,480,00 2,991,937.98 1.300 A 1.555 393 03/01/2018 17275RBG6 4154 Cisco Systems Inc 09/27/2016 3,000,000.00 2,970,000.00 3,007,482.33 1.400 AA 1.303 961 09/20/2019 166764AA8 4044 Chevron Corp 02/09/2015 3,000,000.00 2,995,500.00 3,002,513.39 1.104 AA 1.003 307 12/05/2017 268648AP7 4077 EMC Corp 07/14/2015 2,500,000.00 2,487,250.00 2.507,938.28 1.875 AA 1.630 485 06/01/2018 36962G5W0 3994 General Electric Capital Corp 12/26/2013 5,000,000.00 5,012,350,00 5,011,757.87 2.300 AAA 1.291 85 04/27/2017 36962G6K5 4007 General Electric Capital Corp 05/12/2014 2,500,000.00 2,507,550,00 2,505,076.87 1.600 AA 1.340 292 11/20/2017 36962G6W9 4036 General Electric Capital Corp 12/19/2014 2,000,000,00 2,005,360.00 2,004,168.72 1.625 AA 1,442 425 04/02/2018 24422ESR1 4126 John Deere Capital 12/08/2015 1,000,000,00 1,002,700.00 1,001,714.69 1.550 A 1.350 317 12/15/2017 24422ESR1 4127 John Deere Capital 1210812015 2,000,000.00 2,005,400.00 2,003,646.34 1.550 A 1,337 317 12/15/2017 494368BP7 4164 Kimberly Clark Corp 12/28/2016 2,000,000.00 1,998,780.00 1,990,599.48 1,850 2,008 1,124 03/01/2020 191216BA7 4049 Coca Cola Co 0212412015 2,500,000.00 2,496,075.00 2,496,926.14 1.150 AA 1.258 424 04/01/2018 58933YAC9 4045 Merck & Cc Inc 02/0912015 2,000,000,00 1,997,180.00 2,000,777.67 1.100 AA 1.089 364 01/3112018 68389XAQ8 4071 Oracle Corp 05/2612015 3,000,000,00 3,044,730.00 3,036.496.13 2.375 AA 1.731 713 01/15/2019 89233P7E0 4023 Toyota Motor Credit 12/1012014 3,000,000,00 3,001,500.00 2,996,793,24 1.375 AA 1.491 343 01/1012018 8923STAY1 4039 Toyota Motor Credit 01/26/2015 3,000,000.00 3,018,960.00 3,025,123.35 2.000 AA 1.500 630 10/24/2018 Subtotal and Average 44,666,780.17 44,500,000.00 44,629,815.00 44,662,091.73 1.438 537 Total and Average 216,148,564.96 218,475,000.19 217,101,827.64 218,738,978.61 1.360 863 Run Date: 04112)2017 -15:33 Portfolio CITY AP PM (PRF PM2) 7.3.0 City of HB Portfolio Management Portfolio Details - Cash January 31, 2017 Average Purchase Stated YTM Days to CUSIP Investment # Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity 0- 4 e--r CD N Run Date: 04/1212017 - 15:33 Average Balance 0.00 Accrued Interest at Purchase 48,268.34 48,258.34 Subtotal 48,258.34 48,258.34 Total Cash and Investments 216,148,564.96 218,475,000.19 217,150,085.98 218,787,236.95 1.360 863 Page 3 Portfolio CITY AP PM (PRF_PM2) 7.3.0 w N N CUSIP Investment# Issuer City of HB Portfolio Management Page 1 Activity By Type January 1, 2017 through January 31, 2017 Stated Transaction Purchases Redemptions Rate Date or Deposits or Withdrawals Balance Federal Agency Issues - Coupon 3135G4KM4 4162 Fed. Nat'l Mort Assoc. 1.750 01117/2017 5,000,000.00 0.00 Subtotal 5,000,000.00 0.00 147,523,754.58 Local Agency Investment Funds (Monthly Summary) SYS982 982 Lalf City 0.751 45,988.92 0.00 Subtotal 46,988.92 0.00 21,670,000.19 Medium Term Notes - ORD Corporate Bonds Iv IV " Run Date: 04/12/2017 -1533 Subtotal Subtotal 4,983,132.11 44,662,091.73 Total 5,045,988.92 0.00 218,738,978.61 Portfolio CITY AP PM (PRF_PM3) 7.3.0 Report Ver. 7.3.3b City of HB Portfolio Management Activity Summary January 2016 through January 2017 Page I 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 January 2016 46 207,140,111 .69 1243 1.261 0.446 0 0 1,147 898 February 2016 43 204,413,571.12 1.217 1.234 0.467 0 3 1,102 832 March 2016 47 201,877,568A3 1.232 1.249 0.506 4 0 1,140 869 April 2016 45 204,141,812.62 1.280 1,298 0.525 0 2 1,181 893 May 2016 44 208,914,656.20 1.168 1.184 0.552 2 3 976 736 June 2016 46 228,822,479.77 1.156 1.172 0.576 14 12 1,006 806 July 2016 45 230,059,053.62 1,167 1183 0.588 2 3 1,044 830 August 2016 45 220,520,888.69 1,186 1.203 0.614 1 1 1,074 831 September 2016 43 208,478,917.26 1.205 1.222 0.634 1 3 1,114 835 October 2016 41 196,572,478.10 1.207 1.224 0.654 1 3 1,090 807 November 2016 42 195,690,704.56 1.208 1.225 0.678 3 2 1,053 795 December 2016 47 198,391,624,24 1.329 1.348 0719 5 0 1,154 886 January 2017 48 216,148,564,96 1341 1.360 0.751 1 0 1,152 863 Average 45 209,346,056.18 1.226% 1,243% 0.593 Run Date: 0411212017 - 15:33 3 2 1,095 837 Portfolio CITY AP PM (PRF-PMA) 7.3.0 Report Ver. 7.3.3b 0-4 N City of HB Portfolio Management Page 1 Interest Earnings Summary January 31, 2017 January 31 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 165,296.67 903,703.89 Plus Accrued Interest at End of Period 467,114.30 467,114.30 Less Accrued Interest at Beginning of Period ( 405,435.69) ( 579,266.66) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 226,975,28 791,551.53 Adjusted by Premiums and Discounts-14,003.70 -52,393.29 Adjusted by Capital Gains or Losses 0,00 0.00 Earnings during Periods 212,971.58 739,158.24 Pass Through securities: Interest Collected 0.00 0.00 x Cd 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 45,988.92 107,718.68 Plus Accrued Interest at End of Period 15,929.00 15,929.00 Less Accrued Interest at Beginning of Period ( 48,170.21) ( 63,911.05) Interest Earned during Period 13,747.71 59,736.63 Total Interest Earned during Period 240,722.99 851,288.16 Total Adjustments from Premiums and Discounts-14,003.70 -52,393.29 Total Capital Gains or Losses 0.00 0.00 Total Earnings during Period 226,719.29 798,894.87 Run Date: 04/12/2017 -15:33 Portfolio CITY AP PM (PRF_PMS) 7.3.0 Report Ver, 7.3.3b �o�tiy\%VESr4�, o n Pooled w n C. State of California Money Investment Account Market Valuation 1 /31 /2017 Description Carrying Cost Plus Accrued Interest Purch. Fair Value Accrued Interest United States Treasury: Bills $ 12,939,844,383.32 $ 12,969,362,500.00 NA Notes $ 22,538,846,606.04 $ 22,515,357,000.00 $ 41,278,436.00 Federal Agency: SBA $ 834,828,478.40 $ 825,837,429.45 $ 538,697.03 MBS-REMICs $ 48,429,621.33 $ 50,938,776.69 $ 228,489.30 Debentures $ 925,076,967.25 $ 922,186,250.00 $ 2,326,951.25 Debentures FR $ - $ - $ - Discount Notes $ 7,769,315,499.94 $ 7,784,729,000.00 NA GNMA $ - $ - $ - Su ranational Debentures $ 299,974,475.25 $ 298,890,500.00 $ 974,514.00 Supranational Debentures FR $ 50,000,000.00 $ 49,988,500.00 $ 29,602.53 CDs and YCDs FR $ 400,000,000.00 $ 400,000,000,00 $ 555,997.92 Bank Notes $ 400,000,000.00 $ 399,976,105.15 $ 1,703,333.33 CDs and YCDs $ 11,850,000,000,00 $ 11,848,350,127.52 $ 23,647,125.01 Commercial Paper $ 7,981,869,208.35 $ 7,991,517,930.57 NA Corporate: Bonds FR $ $ $ Bonds $ - $ - $ - Repurchase Agreements $ - $ - $ - Reverse Repurchase $ - $ - $ - Time Deposits $ 5,354,440,000.00 $ 5,354,440,000.00 NA AB 55 & GF Loans $ 2,371,251,000.00 $ 2,371,251,000.00 NA TOTAL $ 73,763,876,239.88 $ 73,782,825,119.38 $ 71,283,146.37 Fair Value Including Accrued Interest $ 73,854,108,265.75 Repurchase Agreements, Time Deposits, AB 55 & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). HB -25- Item 2. - 17 Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department January 2017 Cash Receipts and Disbursements December 2016 January 2017 Receipts General Fund Property Tax Local Sales Tax Public Safety Sales Tax Transient Occupancy Tax Receipts (TOT) Utility Users Tax (UUT) Other Revenue Total General Fund Revenue Capital Projects Funds Debt Service Funds Enterprise Funds General Fund Other Internal Service Funds Special Revenue Funds Grant Funds Trust and Agency Funds Total Receipts Disbursements (General Fund 1 Personal Services Operating Expenses Capital Expenditures Non -Operating Expenses Total General Fund Disbursements 23,834, 299 13, 542, 922 3,651,567 2,568,700 212,581 169,968 633,544 629,495 1,472,432 1,635,007 4,198,252 4,418,700 34,002,674 22,964,792 43,042 16,997 4,878,349 4,825,200 806,028 124,635 507,544 501,284 471,232 3,362,737 1,679,992 118,360 2,367,853 2,188,915 $44, 756, 713 $34,102,920 (18,120,033) (11,631,063) (2,988,067) (3,406,795) (226,493) (3,217,117) (4,208) (4,208) (21,338,802) (18,259,184) Item 2. - 18 HB -26- Capital Projects Funds (410,813) (120,804) Debt Service Funds (1,440) (673,200) Enterprise Funds (5,602,208) (3,650,174) General Fund Other (832,295) (68,526) Internal Service Funds (934,128) (772,022) Special Revenue Funds (1,645,585) (858,720) Grant Funds (1,086,546) (244,054) Trust and Agency Funds (1,391,372) (1,459,151) Total Disbursements (33,243,188) (26,105,835) Net Change in Cash Flow $11,513,526 $7,997,085 Summary of Cash by Fund December 2016 January 2017 General Fund $80,226,032 $84,180,758 General Fund Other 5,665,094 5,724,206 Capital Projects Funds 20,534,527 21,259,511 Debt Service Funds 59,520 59,520 Enterprise Funds 71,835,225 70,017,412 Trust and Agency Funds 11,692,410 12,973,434 Internal Service Funds 10,938,669 11,072,786 Special Revenue Funds 24,955,976 27,482,915 General Ledger Cash Balances * $225,907,452 $232,770,543 * 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. HB -27- Item 2. - 19 City of HB Portfolio Management Portfolio Summary February 28, 2017 City of Huntington Beach 2000 Main St. Huntington Beach, Investments Par Value Market Value Book Value % of Portforio Term Days to Maturity YTM 360 Equiv. YTM 365 Equiv, Federal Agency Issues- Coupon 147,405,000.00 146,092,192,35 147,518,815.87 69.02 1,338 1,071 1,414 1.434 Local Agency Investment Funds 16,570,000.19 16,570,000.19 16,570,000.19 7.75 1 1 0.766 0.777 Medium Term Notes - IBRD 5,000,000.00 4,973,850.00 4,984,090.52 2.33 608 505 1.093 1.109 Corporate Bonds 44,500,000.00 44,592,175,00 44,652,068.33 20.89 1,154 509 1.418 1.438 Investments Cash and Accrued Interest Accrued Interest at Purchase Subtotal Total Cash and Investments 213,475,000.19 213,475,000.19 212,228,217.64 213,724,974.91 100.00% 1,179 857 1.357 1.376 30,341.67 30,341.67 3n 341 67 30, 341.67 212, 258, 559.21 213,755, 316.58 1,179 857 1.357 1.376 Total Earnings February 28 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 227,695.01 1,026,589.88 Current Budget 140,000.00 700,000.00 1,680,000.00 Last Year Actual 190,183,75 883,538.89 2,299,957.00 Average Daily Balance 215,339,319.67 204,269,634.27 Effective Rate of Return 1.38% 1.21% 1 certify that this report accurately reflects all City pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on November 7, 2016. A copy of this policy is available at the office of the CityASlerk 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 Cutchen, CITY TREASURER Reporting period 02101/2017-0212812017 Run Date: 04/12/2017 -15:34 Portfolio CITY AP PM (PRF_PM1) 7.3.0 Report Ver. 7.3,3b City of HB Portfolio Management Portfolio Details - Investments February 28, 2017 Page 1 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 3133EGEV3 4140 Federal Farm Credit Bank 06/15/2016 5,000,000.00 4,907,850.00 5,000,000.00 1,620 AA 1.620 1,566 06/14/2021 3133EG21-8 4160 Federal Farm Credit Bank 12128/2ol6 5,000,000.00 5,003,500.00 5,008,558.44 1.920 1.873 1.398 12/28/2020 313OA3TA2 4038 Federal Home Loan Bank 12/30/2014 5,000,000.00 5,005,500.00 4,999,774.39 1.000 AA 1.010 167 08/15/2017 313378A43 4048 Federal Home Loan Bank 02/20/2015 5,000,000.00 5,020,900.00 5,013,779.07 1.375 AA 1.100 373 03/09/2018 3130A7WK7 4136 Federal Home Loan Bank 05/24/2016 5,000,000.00 4,967,400.00 5.000,000.00 1.250 AA 1.250 814 05/24/2019 3130A8DC4 4138 Federal Home Loan Sank 06/30/2016 2,250,000.00 2,197.867.50 2,250,000.00 1.600 AA 1.600 1,400 12/30/2020 313OA8T94 4153 Federal Home Loan Bank 08/10/2016 5,000,000.00 4,945,050,00 5,000,000.00 1.050 AA 1.518 1,258 08/10/2020 313383VN8 4157 Federal Home Loan Bank 11/16/2016 5,000,000.00 5.068,350.00 5,087,119.75 2.000 1,297 926 09/13/2019 3134G7U25 4117 Federal Home Loan Mort Corp 10/27/2015 5,000,000.00 4,997,700.00 5,000,000.00 0.800 AA 0.800 240 10/27/2017 3134G73Q2 4120 Federal Home Loan Mort Corp 10/27/2015 5,000,000.00 4,970,400.00 5,000,000.00 1.000 AAA 0.991 513 07/27/2018 3134G9RN9 4139 Federal Home Loan Mort Corp 06/23/2016 5,000,000,00 4.945.800.00 5,000,000.00 1.250 AA 1.919 1,210 06/23/2020 3134G9UY1 4142 Federal Home Loan Mort Corp 06/29/2016 5,000,000.00 4,995,050.00 5,000,000.00 1.000 AA 1.000 485 08/29/2018 3134G9F93 4148 Federal Home Loan Mort Corp 06/30/2016 5,000,000.00 4,924,900.00 5,000.000.00 1.000 AAA 0.998 849 06/28/2019 p 3134G9E78 4149 Federal Home Loan Mort Corp 06/30/2016 5,000,000.00 4,854,600.00 5.000,000.00 1.280 AAA 1.280 1,309 09/30/2020 3134G9C54 4150 Federal Home Loan Mort Corp 06/30/2016 4,655,000.00 4,528,709.85 4,655,000.00 1.500 AA 1.500 1,582 06/30/2021 N 3134G9G35 4151 Federal Home Loan Mort Corp 06/30/2016 5,000,000.00 4,949,450,00 5,000,000.00 1.000 AAA 1.592 1,582 06/30/2021 3134GAUBB 4156 Federal Home Loan Mort Corp 11/22/2016 5.000.000.00 4,858,350.00 5,000,000.00 1.650 AA 1.650 1,727 11/22/2021 3134GAE34 4163 Federal Home Loan Mort Corp 12/30/2016 5,000,000.00 4,998,550.00 5,000,000.00 1.000 2.787 1,765 12/30/2021 3136G2R58 4122 Fed. Nat'l Mort. Assoc. 10/29/2015 5,000,000.00 4,992,900.00 5,000,000.00 1.040 AA 1,040 604 10/2612018 3135GDZLO 4132 Fed. Nat'l Mort, Assoc. 03109/2016 5,000,000.00 5,007,400.00 5,005,666.85 1.000 AA 0,800 210 09/27/2017 3135GDK85 4137 Fed. Nat'l Mort. Assoc. 06/1312016 5,000,C00.00 4,978,750.00 5,000,000.00 1.400 AA 1.400 834 06/13/2019 3136G3SJ5 4141 Fed. Nat'l Mort. Assoc. 06/3012016 6,000,000.00 4,829,950.00 4,998,917.36 1.500 AA 1,505 1,582 06/30/2021 3136G3SN6 4143 Fed. Nat'l Mort. Assoc. 06/23/2016 3,000.000.00 2,907,390.00 3,000,000.00 1.500 AA 1,500 1.393 12/23/2020 3135GOK93 4144 Fed. Nat'l Mort, Assoc. 06/28/2016 5,000,000.00 4,979,600.00 5,000,000.00 1,250 AA 1.250 849 06/28/2019 3136G3UTO 4146 Fed. Nat'l Mort, Assoc. 06130/2016 5,000,000.00 4,877,000.00 5,000,000.00 1.500 AA 1,500 1,400 12/30/2020 3136G3VU6 4147 Fed. Nat'l Mort. Assoc. 07/1912016 5,000,000.00 4,984,050.00 5,000,000.00 1.125 AA 1.819 1,601 0711912021 3136G3YG4 4152 Fed. Nat'l Mort. Assoc. 07125/2016 7,500,000.00 7,425,525.00 7,500,000.00 1.000 AA 1.000 785 04/25/2019 3136G4HM8 4159 Fed. Nat'l Mort Assoc. 12/02/2016 5,000,000.00 4,967,900.00 5,000,000.00 1.950 1.950 1,737 12/02/2021 3136G4KN2 4161 Fed. Nat'l Mort. Assoc. 12/30/2016 5,000.000.00 5,000,800.00 5.000,000.00 2.050 AA 2.050 1,400 12/30/2020 3136G4KM4 4162 Fed. Nat'l Mort. Assoc. 01/17/2017 5,000.000.00 5,000,800.00 5,000,000.00 1,750 1,750 1,052 01/17/2020 Subtotal and Average 147,521,355.77 147,405,000.00 146,092,192.35 147,518,815.87 1.434 1,071 Local Agency Investment Funds SYS982 982 Laif City Subtotal and Average 18,177,143.05 Run Date: 04/12/2017 - 15:34 16,570,000.19 16,570,000.19 16,570,000.19 16,570,000.19 0.777 16,670,000.19 16,570, 000.19 0.777 0.777 Portfolio CITY AP PM (PRF PM2) 7,3.0 Report Ver. 7.3.3b I� CD N City of HB N Portfolio Management Page 2 N Portfolio Details - Investments February 28, 2017 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 - IBRD 459058FE8 4158 Intl Bk Recon & Development 11/18/2016 5,000,000.00 4,973,860.00 4,964,090.52 0.876 AAA 1A09 505 07/19/2018 Subtotal and Average 4,983,597.62 5,000,000.00 4,973,850.00 4,984,090,52 1.109 505 Corporate Bonds 06406HCZO 4165 Bank of New York 10/24/2016 5,000,000A0 5,027,150.00 5,076,9B7.75 2.150 A 1,617 1,090 02/24/2020 14912L5P2 4024 Caterpillar Financial Corp. 12/10/2014 3,000,000.00 2,995,710.00 2,992,558.14 1.300 A 1.555 365 03/01/201B 17275RBG6 4154 Cisco Systems Inc 09/27/2016 3,000,000.00 2,982,510.00 3,007,245.80 1.400 AA 1,303 933 09/20/2019 165764AA8 4044 Chevron Corp 02/09/2015 3,000,000.0o 2,996,880.00 3,002,285.35 1.104 AA 1,003 279 12/05/2017 266648AP7 4077 EMC Corp 07/14/2015 2,500,000.00 2,489,975.00 2,507,442.14 1.875 AA 1,630 457 06/01/2018 36962G5W0 3994 General Electric Capital Corp 12/26/2013 5,000,000.00 5,014,250,00 5,007,656.29 2.300 AAA 1.291 57 04/27/2017 36962G6K5 4007 General Electric Capital Corp 05/12/2014 2,500,000.00 2,505,500.00 2,504,549.86 1.600 AA 1,340 264 11/2012017 36962G6W9 4036 General Electric Capital Corp 12/19/2014 2,000,000.00 2,006,160.00 2,003,871.66 1,625 AA 1.442 397 04/02/2018 24422ESRI 4126 John Deere Capital 12/08/2015 1,000,000.0o 1,001,670.00 1,001,550.87 1.550 A 1.350 289 12/15/2017 24422ESR1 4127 John Deere Capital 12/08/2015 2,000,000.00 2,003,340.00 2,003,297.06 1.550 A 1.337 289 12/15/2017 494368BP7 4164 Kimberly Clark Corp 12/28/2016 2,000,000.00 1,999,160.00 1,990,853.54 1.850 2.008 1,096 03/01/2020 v� C 191216BA7 4049 Cora Cola Co 02/24/2015 2,500,000.00 2,497,300.00 2,497,145.70 1.150 AA 1.258 396 04/01/2018 58933YAC9 4045 Merck & Co Inc 02/09/2015 2,000,000.00 1,997,540.00 2,000,712.68 1.100 AA 1.089 336 01/31/2018 6B389XAQB 4071 Oracle Corp 05/26/2015 3,000,000.00 3,049,35C.00 3,034,940.90 2.375 AA 1.731 685 01/15/2019 89233P7Eo 4023 Toyota Motor Credit 12/10/2014 3,000,000.00 3,002,460.00 2,997,077.03 1.375 AA 1.491 315 01/10/2018 89236TAY1 4039 Toyota Motor Credit 01/26/2015 3,000,000.00 3,023,220.00 3,023,913.56 2.000 AA 1.500 602 10/24/201B Subtotal and Average 44,667,223.22 44,500,000.00 44,592,175,00 44,652,068.33 1.438 609 Total and Average 215,339,319.67 213,475,000.19 212,228,217.54 213,724,974.91 1.376 857 Portfolio CITY Run Date: 04/12/2017 -15:34 AP PM (PRF PM2) 7.3.0 City of HB Portfolio Management Portfolio Details - Cash February 28, 2017 Average Purchase Stated YTM Days to CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity [� Run Date: 04112/2017 -15:34 Average Balance 0.00 Accrued Interest at Purchase 30,341.67 30,341.67 Subtotal 30,341.67 30,341.67 Total Cash and investments 216,339,319.67 213,475,000.19 212,258,559.21 213,755,316.68 1.376 857 Page 3 Portfolio CITY AP PM (PRF_PM2) 7.3.0 N W CUSIP Investment# Issuer City of HB Portfolio Management Activity By Type February 1, 2017 through February 28, 2017 Stated Transaction Purchases Rate Date or Deposits Redemptions or Withdrawals Balance Federal Agency Issues - Coupon Subtotal _ 147,518,815.87 Local Agency Investment Funds (Monthly Summary) SYS982 982 Lad City 0.777 0.00 5,000,000.00 Subtotal 0.00 5,000,000.00 16,570,000.19 Medium Term Notes - IBRD Subtotal 4,984,090,52 Corporate Bonds Subtotal 44,6S2,068.33 Total 0.00 5,000,000.00 Run Date: 04/122017 -15:34 213,724,974.91 Page 1 Portfolio CITY AP PM (PRF_PM3) 7.3.0 Report Ver. 7.3.3b City of HB Portfolio Management Activity Summary February 2016 through February 2017 Page 1 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 2016 43 204,413,571A2 1.217 1.234 0.467 0 3 1,102 832 March 2016 47 201,877,568.13 1.232 1.249 0.506 4 0 1,140 869 April 2016 45 204,141,812.62 1.280 1,298 0.525 0 2 1,181 893 May 2016 44 208,914,656.20 1.168 1.184 0.552 2 3 976 736 June 2016 46 228,822,479.77 1.156 1.172 0.576 14 12 1,006 806 July 2016 45 230,059,053,62 1.167 1.183 0.588 2 3 1.044 830 August 2016 45 220,520,888.69 1.186 1.203 0.614 1 1 1,074 831 September 2016 43 208,478,917.26 1.205 1.222 0,634 1 3 1,114 835 October 2016 41 196,672,478.10 1.207 1.224 0.654 1 3 1,090 807 November 2016 42 195,690,704.56 1.208 1.225 0.678 3 2 1,053 795 December 2016 47 198,391,624.24 1.329 1.348 0.719 5 0 1,154 886 January 2017 48 216,148,564.96 1.341 1.360 0.751 1 0 1,152 863 February 2017 48 215,339,319.67 1.357 1.376 0.777 0 0 1,179 857 Average 45 209,945,537.54 1.235% 1.252% 0.619 3 2 1,097 Run Date: 0411212017 -15:34 834 Portfolio CITY AP PM (PRF_PM4) 7.3.0 Report Ver. 7,3.3b City of HB Portfolio Management Page 1 Interest Earnings Summary February 28, 2017 February 28 Month Ending Fiscal Year To Date CDlCouponlDiscount Investments: Interest Collected 87,083.33 990,787.22 Plus Accrued Interest at End of Period 610,895.11 610,895.11 Less Accrued Interest at Beginning of Period ( 467,114.30) ( 579,266,66) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 230,864.14 1,022,415.67 Adjusted by Premiums and Discounts -14,003.70 -66,396.99 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods Pass Through Securities: Interest Collected Plus Accrued Interest at End of Period Less Accrued Interest at Beginning of Period *' Less Accrued Interest at Purchase During Period Interest Earned during Period Adjusted by Premiums and Discounts Adjusted by Capital Gains or Losses Run Date: 04112/2017 -15:34 216,860.44 0.00 0.00 { 0.00) { 0.00) 956,018.68 0.00 0.00 ( 0.00) ( 0.00) 0.00 0.00 0,00 0.00 0.00 0.00 Earnings during Periods 0.00 0.00 Cash/Checking Accounts: Interest Collected 0.00 107,718.68 Plus Accrued Interest at End of Period 26,763.57 26,763.57 Less Accrued Interest at Beginning of Period ( 15,929.00) ( 63,911.05) Interest Earned during Period 10,834.57 70,571.20 Total Interest Earned during Period 241,698.71 1,092,986.87 Total Adjustments from Premiums and Discounts-14,003.70-66,396.99 Total Capital Gains or Losses 0.00 0.00 Total Earnings during Period 227,695.01 1,026,589.88 Portfolio CITY AP PM (PRF_PM6) 7.3 0 Report Ver. 7.3.3b %NVESrkF� Pooled � O ze �fTr uouro�sv.� State of California Money Investment Account Market Valuation 2/28/2017 Description Carrying Cast Plus Accrued Interest Purch. Fair Value Accrued Interest United States Treasury: Bills $ 13,882,789,340.94 $ 13,914,395,000.00 NA Notes $ 18,985,201,931.80 $ 18,964,046,000.00 $ 25,071,692.50 Federal Agency: SBA $ 823,784,977.41 $ 815,829,013.05 $ 531,699.52 MBS-REMICs $ 46,922,036,30 $ 49,337,629.20 $ 221,132.16 Debentures $ 950,067,117.25 $ 947,185,750.00 $ 3,087,055.75 Debentures FIR $ - $ - $ - Discount Notes $ 7,670,102,194.40 $ 7,685,427,000.00 NA GNMA $ - $ - $ - Supranational Debentures $ 299,974,475.25 $ 298,457,500.00 $ 1,235,764.00 Su ranational Debentures FIR $ 50,000,000.00 $ 50,048,000.00 $ 73,227.31 CDs and YCDs FR $ 300,000,000.00 $ 300,000,000.00 $ 626,969A8 Bank Notes $ 500,000,000,00 $ 499,631,089.68 $ 865,111.12 CDs and YCDs $ 11,100,000,000.00 $ 11,097,225,118.92 $ 25,443,624.96 Commercial Paper $ 6,283,449,375.00 $ 6,291,994,041.65 NA Corporate: Bonds FIR $ - $ - $ - Bonds $ - $ - $ - Repurchase Agreements $ - $ - $ - Reverse Repurchase $ - $ - $ - Time Deposits $ 5,412,740,000.00 $ 5,412,740,000.00 NA AB 55 & GF Loans $ 3,153,994,000.00 $ 3,153,994,000.00 NA TOTAL $ 69,459,025,448.35 1 $ 69,480,310,142.50 1 $ 57,156,276.80 Fair Value Including Accrued Interest $ 69,537,466,419.30 Repurchase Agreements, Time Deposits, AB 55 & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). HB -35- Item 2. - 27 Statement of Cash Receipts and Disbursements and Summary of Cash by Fund Finance Department February2017 Cash Receipts and Disbursements January 2017 February 2017 Receipts General Fund Property Tax Local Sales Tax Public Safety Sales Tax Transient Occupancy Tax Receipts (TOT) Utility Users Tax (UUT) Other Revenue Total General Fund Revenue Capital Projects Funds Debt Service Funds Enterprise Funds General Fund Other Internal Service Funds Special Revenue Funds Grant Funds Trust and Agency Funds Total Receipts Disbursements General Fund Personal Services Operating Expenses Capital Expenditures Non -Operating Expenses Total General Fund Disbursements 13,542,922 62,287 2,568,700 3,424,900 169,968 167,839 629,495 660,825 1,635,007 1,643,305 4,418,700 3,018,558 22,964,792 8,977,713 16,997 41,745 4,825,200 4,001,360 124,635 130,920 501,284 746,223 3,362,737 103,709 118,360 680,279 2,188,915 801,809 $34,102,920 $15,483,758 (11,631,063) (11,492,666) (3,406,795) (2,174,568) (3,217,117) (840,979) (4,209) (126,817) (18,259,184) (14,635,030) Item 2. - 28 HB -36- Capital Projects Funds (120,804) (106,273) Debt Service Funds (673,200) (907,760) Enterprise Funds (3,650,174) (6,355,836) General Fund Other (68,526) (189,097) Internal Service Funds (772,022) (543,448) Special Revenue Funds (858,720) (387,062) Grant Funds (244,054) (235,568) Trust and Agency Funds (1,459,151) (1,620,155) Total Disbursements (26,105,835) (24,980,229) Net Change in Cash Flow $7,997,085 ($9,496,471) Summary of Cash by Fund January 2017 February 2017 General Fund $84,180,758 $67,561,865 General Fund Other 5,724,206 5,666,030 Capital Projects Funds 21,259,511 21,194,982 Debt Service Funds 59,520 64,423 Enterprise Funds 70,017,412 71,869,889 Trust and Agency Funds 12,973,434 12,186,557 Internal Service Funds 11,072,786 21,159,981 Special Revenue Funds 27,482,915 26,590,228 General Ledger Cash Balances * $232,770,543 $226,293,954 * 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. HB -37- Item 2. - 29 Investments City of HB Portfolio Management Portfolio Summary March 31, 2017 Par Market Value Value City of Huntington Beach 2000 Main St. Huntington Beach, Book % of Days to YTM YTM Value Portfolio Term Maturity 360 Equiv. 366 Equiv. Federal Agency Issues- Coupon 142,405,000.00 141,104,528.65 142,513,877.17 66.69 1,321 1,015 1.367 1.386 Local Agency Investment Funds 21,570,000,19 21,570,000.19 21,570,000.19 10.09 1 1 0.810 0.821 Medium Term Notes - ORD 5,000,000.00 4,972,900,00 4,985,048.92 2.33 608 474 1.093 1.109 Corporate Bonds 44,500,000,00 44,517,145.00 44,642,044.90 20,89 1,154 478 1.418 1.438 213,475,000.19 212,164,573.84 213,710,971.18 100.00% 1,136 788 1.315 1.333 Investments Total Earnings March 31 Month Ending Fiscal Year To Date Fiscal Year Ending Current Year 228,500.56 1,255,090.44 Current Budget 140,000.00 840,000.00 1,680,000.00 y Last Year Actual 187,833.86 1,071,372.75 2,299,957.00 Average Daily Balance 213,717,521.37 205,878,889.76 U' Effective Rate of Return 1.26% 1.22% ' I certify that this report accurately reflects all City pooled investments and is in conformity with all State laws and the investment policy statement filed with the City Council on November 7, 2016. A copy of this policy is available at the officer f he 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 Corpo tim Alisa Cutchen, CITY TREASUREW' Reporting period 03/0112017-0313112017 Portfolio CITY AP Run Date: 04J12t2017-15:37 PM (PRF_PM1) 7.3,0 Report Ver. 7.3.3b City of HB Portfolio Management Portfolio Details - Investments March 31, 2017 Page 1 CUSIP Investment# Average Issuer Balance Purchase Date Par Value Market Value Book Value Stated Rate S&P YTM Days to Maturity 365 Maturity Date Federal Agency Issues - Coupon 3133EGEV3 4140 Federal Farm Credit Bank 06/15/2016 5,000,ODO.00 4,916,850.00 5,000,000.00 1.620 AA 1.620 1,535 06/14/2021 3133EG2LB 4160 Federal Farm Credit Bank 12/28/2016 5,000,000.00 4,998,000.00 5,008,371.98 1.920 1.B73 1,367 12/28/2020 313DA3TA2 4038 Federal Home Loan Bank 12/30/2014 5,000,000.00 5,001,100.00 4,999,815.66 1.000 AA 1.010 136 08/15/2017 31337SA43 4046 Federal Home Loan Bank 02/2012015 5,000,000.00 5,011,450.00 5,012,655.78 1.375 AA 1.100 342 03/09/2018 313DA7WK7 4136 Federal Home Loan Bank 05/24/2016 5.000,000.00 4,965,800.00 5,000,000.00 1,250 AA 1.250 783 05/24/2019 313OA81)C4 4138 Federal Home Loan Bank 06/3012016 2,250,000.00 2,221,920.00 2,250,000.00 1.600 AA 1.600 1,369 12/30/2020 313OA8T94 4153 Federal Home Loan Bank 08/10/2016 6,000,000.00 4,947,900.00 5,000,000.00 1.050 AA 1.518 1,227 08/10/2020 313383VN8 4157 Federal Home Loan Bank 11/16/2016 5,000,000.D0 5,057,500.00 5,084,253.98 2.000 1.297 895 09/1312019 3134G7U25 4117 Federal Home Loan Mort Corp 10/27/2015 5,000,000,00 4,994,400.00 5,000,000,00 0.800 AA 0,800 209 10/27/2017 3134G73Q2 4120 Federal Home Loan Mort Corp 10/27/2015 5,000,000.00 4,970,450.00 5,000,000.00 1,000 AAA 0.991 482 07/27/2018 3134G9RN9 4139 Federal Home Loan Mort Corp 06/23/2016 5,000,000.00 4,948,050.00 5,000,000.00 1.250 AA 1.919 1,179 06/23/2020 3134G9UY1 4142 Federal Home Loan Mort Corp 06/29/2016 5,000,000.00 4,989,250,00 5,000,000.00 1.000 AA 1.000 454 06/29/2018 3134G9F93 4148 Federal Home Loan Mort Corp 06/30/2016 5.000,000.00 4,924,700,00 5,000,000.00 1.000 AAA 0.998 818 06/26/2019 3134G9E78 4149 Federal Home Loan Mort Corp 06/30/2016 5,000,000.00 4,851,600,00 5,000,000.00 1.280 AAA 1.280 1,278 09/30/2020 3134G9C54 4150 Federal Home Loan Mort Corp 06/30/2016 4,655,000.00 4,523,868.65 4,655,000.00 1.500 AA 1.500 1,551 06/30/2021 3134G9035 4151 Federal Home Loan Mort Corp 06/30/2016 5,000,000.00 4.948,750.00 5.000.000.00 1.000 AAA 1.592 1,551 06/30/2021 3134GAUB8 4156 Federal Home Loan Mort Corp 11/2212016 5,000,000.00 4,851,850.00 5.000,000.00 1.650 AA 1.650 1,696 11/22/2021 3136G2R58 4122 Fed. Nat'l Mort Assoc. 10/29/2015 5,000,000,00 4,989,650.00 5,000,000.00 1.040 AA 1.040 573 10/26/2018 3135GOZLO 4132 Fed. Nat'l Mort. Assoc. 03/09/2016 5,000,000,00 5,001,400.00 5,004,841.58 1.000 AA 0.800 179 09/27/2017 3135GOK85 4137 Fed. Nat'l MorL Assoc. 06113/2016 5,000,000.00 4,986,450.00 5.000,000.00 1.400 AA 1.400 803 06/13/2019 3136G3SJ5 4141 Fed. NO Mort. Assoc. 06/30/2016 5,000,000.00 4,881,150.00 4,998,938.19 1.500 AA 1,505 1,551 06/30/2021 3136G3SN6 4143 Fed. Nat'I Mort. Assoc. 06/23/2016 3,000,000.00 2,905,290.00 3,000,000.00 1.500 AA 1.500 1,362 12/23/2020 3135GDK93 4144 Fed. Nat'l Mort. Assoc. 06128/2016 5,000,000.00 4,975,400.00 6,000,000.00 1.250 AA 1.250 818 06128/2019 3136G3UTO 4146 Fed, Nat'l Mort. Assoc. 06/30/2016 5,000,000,00 4,872,750.00 5,000,000,00 1.500 AA 1.500 1,369 12/30/2020 3136G3VU6 4147 Fed. Nat'l Mort. Assoc. 07/19/2016 5,000,000.00 4,987,100.00 5,000,000.00 1.125 AA 1.819 1,570 07/19/2021 3136G3YG4 4152 Fed. Nat'l Mort. Assoc. 07/2512016 7,500,000.00 7,421,400.00 7,500,000.00 1.000 AA 1.000 754 04/25/2019 3136G4HM8 4159 Fed. Nat'l Mort. Assoc. 12/02/2016 5,000,000.00 4,959,650.00 5,000,000.00 1.950 1.950 1.706 12/02/2021 3136G4KN2 4161 Fed. Nat'l Mort. Assoc. 12/3012016 5,000,000.00 4,999,850.00 5,000,000.00 2.050 AA 2.050 1,369 12/30/2020 3136G4KM4 4162 Fed. Ned Mort. Assoc. 01/17/2017 5,000,000.00 5,001,000.00 5,000,000.00 1.750 1.750 1.021 01/17/2020 Subtotal and Average 147,193,606.64 142,405,000.00 141,104,528.65 142,513,877.17 1.386 1,015 Local Agency Investment Funds SYS982 982 La -I City 21,570,000.19 21,570,000.19 21,570,000.19 0.821 0.821 1 Subtotal and Average 16,892,580.84 21,570,000.19 21,670,000.19 21,570,000.19 0.821 1 Run Date: 0411212017.15:37 Portfolio CITY AP PM (PRF_PM2) T3.0 Report Ver. 7.3.3b CD City of HB Portfolio Management Page 2 Portfolio Details - Investments March 31, 2017 Average Purchase Stated YTM Daysto Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate S&P 365 Maturity Date Medium Term Notes - IBRD 459058FE8 4158 Intl Bk Reccn & Development 11118/2016 5,000,000.00 4,972,900.00 4,985,048.92 0,876 AAA 1109 474 07/19/2018 Subtotal and Average 4,984,600.63 5,000,000.00 4,972,900.00 4,985,048.92 1A09 474 Corporate Bonds 06406HCZO 4155 Bank of New York 10/24/2016 5,000,000.00 5,020,500,00 5,074,835.25 2.150 A 1,617 1,059 02f24/2020 149121-5P2 4024 Caterpillar Financial Corp. 12/10/2014 3,000,000m 2,990,790.00 2,993,178.29 1.300 A 1.555 334 03/01/2ol8 17275RBG6 4154 Cisco Systems Inc 09127/2016 3,000,000.00 2,976,990,00 3,007,009.26 1.400 AA 1.303 902 09/20/2019 166764AA8 4044 Chevron Corp 02/09/2015 3,000,000.00 2,994,990,00 3,002,017.32 1.104 AA 1,003 248 12/05/2017 268648AP7 4077 EMC Corp 07114/2015 2,500,000.00 2,475,975.00 2,506,946.00 1.875 AA 1.630 426 06101/2018 36962G5W0 3994 General Electric Capital Corp 12/26/20*13 5,000,000.00 5,003,200,00 5,003,554.70 2.300 AAA 1.291 26 04/27/2017 36962G6K5 4007 General Electric Capital Corp 05/12/2014 2,500,000.00 2,501,550.00 2,504,022.65 1.600 AA 1.340 233 11/20/2017 36962G6M 4036 General Electric Capital Corp 12/19/2014 2,000,000.00 2,004,340.00 2,003,574,60 1.625 AA 1,442 366 04/02/2018 24422ESR1 4126 John Deere Capital 12/08/2015 1,000,000m 1,000,990.00 1,001,387.04 1.55o A 1-350 258 12/15/2017 24422ESR1 4127 John Deere Capital 12/0812015 2,000,000,00 2,001,980.00 2,002,946.78 1.550 A 1.337 258 12/15/2017 494368BP7 4164 Kimberly Clark Corp 12128/2016 2,000,00U0 1,999,660.00 1,991,107,61 1.850 2.008 1,065 03/01/2020 191216BA7 4049 Coca Cola Co 02/24/2015 2,500,000.00 2,494,700.00 2,497,365.26 1.150 AA 1.258 365 04/01/2018 58933YAC9 4045 Merck & Co Inc 02/09/2015 2,000,00U0 1,995,920.00 2,000,647.69 1.100 AA 1.089 305 01/3112018 68389XAQ8 4071 Oracle Corp 05/26/2015 3,000,000,00 3,041,280.00 3,033,385.67 2.375 AA 1.731 654 01/15/2019 89233P7E0 4023 Toyota Motor Credit 12/10/2014 3,000,000.00 2,999,460.00 2,997,360.81 1.375 AA 1.491 284 01/1012018 89236TAYI 4039 Toyota Motor Credit 01/25/2015 3,000,000.00 3,014,820.00 3,022,703.77 2,000 AA 1.500 571 10/24/2018 Subtotal and Average 44,646,733.36 44,500,000.00 44,617,145.00 44,642,044.90 1.438 478 Total and Average 213,717,521.37 213,475,000A9 212,164,573.84 213,710,971.18 1.333 788 Portfolio CITY AP Run Date: 04112/2017 - 15:37 PM (PRF-PM2) T3.0 City of 1-113 Portfolio Management Page 1 Activity By Type March 1, 2017 through March 31, 2017 Stated Transaction Purchases Redemptions CUSIP Investment#- Issuer Rate Date or Deposits or Withdrawals Balance Federal Agency Issues - Coupon 3134GAE34 4163 Federal Home Loan Mort Corp 11.000 03/30/2017 0.00 6,000,000.00 Subtotal 0.00 5,000,000.00 142,513,877.17 Local Agency Investment Funds (Monthly Summary) SYS982 982 Laif City 0.821 5,000,000.00 0.00 Subtotal 5,000,000,00 0.00 21,670,000.19 Medium Term Notes - IBRD Corporate Bonds I Subtotal Subtotal Total 4,985,048.92 44,642,044.90 6,000,000.00 5,000,0()0.00 213,710,971.18 Portfolio CITY AP Run Date: 04/12/2017 - 15:37 PM (PRF—PM3) 7.3.0 Report Ver. 7.3.3b City of 1-113 Portfolio Management Activity Summary March 2016 through March 2017 Page 1 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 March 2016 47 201,877,56813 1,232 1249 0.506 4 0 1,140 869 April 2016 45 204,141,812.62 1.280 1-298 0.525 0 2 1,181 893 May 2016 44 208,914,656.20 1.168 1,184 0.552 2 3 976 736 June 2016 46 228,822,479,77 1,156 1.172 0.576 14 12 1,006 806 July 2016 45 230,059,053.62 1,167 1.183 0.588 2 3 1,044 830 August 2016 45 220,520,888.69 1.186 1.203 0.614 1 1 1,074 831 September 2016 43 208,478,917.26 1.205 1.222 0.634 1 3 1,114 835 October 2016 41 196,572,478.10 1.207 1.224 0,654 1 3 1,090 807 November 2016 42 195,690,704.56 1208 1.225 0.678 3 2 1,053 795 December 2016 47 198,391,62424 1.329 1.348 0,719 5 0 1,154 886 January 2017 48 216,148,564.96 1.341 1.360 0.751 1 0 1,152 863 February 2017 48 215,339,319.67 1,357 1.376 0.777 0 0 1,179 857 March 2017 47 213,717,521.37 1.315 1.333 0,821 0 1 1,136 788 Average 45 210,645,937.86 1.242% 1.260% 0.646 Run Date: 04/12/2017 - 15:37 3 2 1,100 $30 Portfolio CITY AP PM (PRF—PM4) 7.3.0 Report Ver, 7,3,3b City of 1-I13 Portfolio Management Page 1 Interest Earnings Summary March 31, 2017 March 31 Month Ending Fiscal Year To Date CD/Coupon/Discount Investments: Interest Collected 182,533.33 1,173,320.55 Plus Accrued Interest at End of Period 659,087.08 659,087.08 Less Accrued Interest at Beginning of Period ( 610,895.11) ( 579,266.66) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 230,725.30 1,253,140.97 Adjusted by Premiums and Discounts -14,003.73 -80,400.72 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 216,721.57 1,172,740.25 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 0.00 107,718.68 Plus Accrued Interest at End of Period 38,542.56 38,542.56 Less Accrued Interest at Beginning of Period ( 26,763.57) ( 63,911.05) Interest Earned during Period 11,778.99 82,350.19 Total Interest Earned during Period 242,604.29 1,335,491.16 Total Adjustments from Premiums and Discounts -14,003.73 -80,400.72 Total Capital Gains or Losses 0.00 0.00 Total Earnings during Period 228,500.56 1,255,090.44 r-i CD Portfolio CITY N RunDate: 04/12Y1017 -15:37 • AP PM (PRF_PM6) 7.3.0 Report Ver. 7.3.3b tJ.% 2* 2* 2' 2* �,-A1%VESTkE 6qo C2 a State of California Pooled Money Investment Account Market Valuation 3/31 /2017 Description Carrying Cost Plus Accrued Interest Purch. Amortized Cost Fair Value Accrued Interest United States Treasury: Bills $ 11,529,529,518.46 $ 11,555,331,831.40 $ 11,547,993,500.00 NA Notes $ 19,784,669,253.72 $ 19,783,508,723.77 $ 19,749,210,500.00 $ 33,930,754.00 Federal Agency: SBA $ 866,949,257.52 $ 866,912,128.47 $ 858,953,922.79 $ 729,325.65 MBS-REMICs $ 44,788,917.08 $ 44,788,917.08 $ 47,053,192.13 $ 211,005.30 Debentures $ 949,997,076.07 $ 949,997,076.07 $ 946,506,000.00 $ 1,591,535,50 Debentures FR $ - $ - $ - $ - Discount Notes $ 7,768,611,458.36 $ 7,782,989,930.58 $ 7,780,400,000.00 NA GNMA $ - $ - $ - $ - Supranational Debentures $ 299,965,313.04 $ 299,965,313.04 $ 298,392,500.00 $ 492,013.50 Su ranational Debentures FR $ 50,000,000.00 $ 50,000,000.00 $ 50,073,000.00 $ 121,526.17 CDs and YCDs FR $ 300,000,000.00 $ 300,000,000.00 $ 300,000,000.00 $ 670,902.50 Bank Notes $ 600,000,000.00 $ 600,000,000.00 $ 599,607,935.89 $ 1,439,055.55 CDs and YCDs $ 10,550,000,000.00 $ 10,550,000,000.00 $ 10,547,089,360.14 $ 25,231,888.90 Commercial Paper $ 5,830,869,194.46 $ 5,839,554,041,75 $ 5,838,495,499.98 NA Corporate: Bonds FR $ $ - $ - $ - Bonds $ $ $ $ Repurchase Agreements $ - $ - $ - $ - Reverse Repurchase $ - $ - $ - $ - Time Deposits $ 5,480,740,000.00 $ 5,480,740,000.00 $ 5,480,740,000.00 NA AB 55 & GF Loans $ 7,824,657,000.00 $ 7,824,657,000.00 $ 7,824,657,000.00 NA TOTAL $ 71,880,776,988.71 1 $ 71,928,444,962.16 $ 71,869,172,410.93 $ 64,418,007.07 Fair Value Including Accrued Interest $ 71,933,590,418.00 * Governmental Accounting Standards Board (GASB) Statement #72 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(0.999175951). As an example: if an agency has an account balance of $20,000,000.00, then the agency would report it: participation in the LAIF valued at $19,983,519.02 or $20,000,000.00 x0.999175951. Item 2. - 36 HB -4 - Statement of Dash Receipts and Disbursements and Summary of Cash by Fund Finance Department March 2017 Cash Receipts and Disbursements February 2017 March 2017 Receipts General Fund Property Tax Local Sales Tax Public Safety Sales Tax Transient Occupancy Tax Receipts (TOT) Utility Users Tax (UUT) Other Revenue Total General Fund Revenue Capital Projects Funds Debt Service Funds Enterprise Funds General Fund Other Internal Service Funds Special Revenue Funds Grant Funds Trust and Agency Funds Total Receipts Disbursements General Fund Personal Services Operating Expenses Capital Expenditures Non -Operating Expenses Total General Fund Disbursements 62,287 3,622,591 3,424,900 3,219,974 167,839 257,454 660,825 791,312 1,643,305 1,653,620 3,018,558 6,236,056 9,977,713 15,781,007 41,745 83,393 4,001,360 4,925,068 130,920 81,157 746,223 836,665 103,709 1,450,843 680,279 2,069,395 801,809 1,057,685 $15,483,758 $26,285,214 (11,492,666) (11,472,320) (2,174,568) (2,918,568) (840,979) (820,853) (126,817) (4,208) (14,635,030) (15,215,949) HQ -45- Item 2.-37 Capital Projects Funds (106,273) (119,221) Debt Service Funds (907,760) - Enterprise Funds (6,355,836) (3,021,136) General Fund Other (189,097) (134,346) Internal Service Funds (543,448) (575,390) Special Revenue Funds (387,062) (328,547) Grant Funds (235,568) (1,294,099) Trust and Agency Funds (1,620,155) (972,307) Total Disbursements (24,980,229) (21,660,994) Net Change in Cash Flow ($9,496,471) $4,624,220 Summary of Cash by Fund February 2017 March 2017 General Fund $67,561,865 $62,919,165 General Fund Other 5,666,030 5,612,841 Capital Projects Funds 21,194,982 21,159,155 Debt Service Funds 64,423 64,423 Enterprise Funds 71,869,889 72,979,386 Trust and Agency Funds 12,186,557 12,271,934 Internal Service Funds 21,159,981 21,421,257 Special Revenue Funds 26,590,228 28,477,164 General Ledger Cash Balances $226,293,954 $224,905,323 * 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. Item 2. - 38 HB -46- N 09 CITY OF HUNTINGTON BEACH CITY TREASURER'S REPORT PERIOD ENDING: MARCH 31,2017 • ••Alisa Cutchen, MBA, CCMT, CPFIM 0 City Treasurer N 0 CITY TREASURER'S MISSION: PRESERVATION AND RETURN OF INVESTMENTS oPortfolio governed by: z m •California State Regulations • City's Investment Policy — Certified by California Municipal Treasurers Association CITY TREASURER'S MISSION: I PRESERVATION AND RETURN i i OF INVESTMENTS oGoal: Own Legal AND Suitable Investments to meet the objectives: •Safety of Principal •Adequate Liquidity •Market Rate of Return if In this absolute order of priority • N MARKET UPDATE.* 1ST QUARTER 2017 ji o Unemployment ratel to 4.5% from 4.7% o March labor participation rate 63.0%1 z W slightly from 62.7% o S&P 500 and DJIAAm 5.53% and 4.56%, respectively o Federal Reserve raised interest rates to .75%-1.00% at the March 15 meeting IV INTEREST RATE VOLATILITY: 2-YEAR TREASURY YIELD APRIL 2016 - APRIL 2017 ........................................._..._.._..................._..._.._......... 52-week high: 1.3S% .a ......f...................................................................................I......... ...... ...................... .,I3 z w•eeswa..s....s......w...sw.s...a................................... s... e...•.....a..t..w........................•e..........f.....••. l.t ............... ........... r,�IF.............................................................................................................. 52-week low:.56% Jul Aug Sep Od Ncv sec Jan Peh Mar Apr • 2017 N PnR TF(lT .T(l nTTF RTTTFW "INVESTMENT SUMMARY $ in millions: Investment Type Federal Agency Issues Local Agency Investment Fund (I.Afl Medium Term Notes - I BRD Corporate Bonds E Total Portfolio Market Value Book Value $ 141.1 $ 142.5 $ 21.6 $ 21.6 $ 5.0 $ 5.0 S 44.5 44.6 212.2 $ 213.7 %of Portfolio Policy Limit 67% None 10% $65 million 2% 10% 21% 100% Corp Bonds Federal Agencies 67% 21% TN- BR�D 2% LAIF 10% PORTFOLIO OVERVIEW: MONTHLY EARNINGS APR 2016 - MAR 2017 $250,000.00 $200,000.00 $150,000.00 .p $100,000.00 $50,000.00 $0.00 'yo yo do otio oP eQ oo �o� peg 1�a ��e ��` ,yo ,yo ,yo ti Doti �oyoy Doti tiotio tioyo Doti Doti Doti 0 PORTFOLIO PERFORMANCE: AS OF MARCH 31, 2017 •Monthly Earnings for Mar 2017: $228,501 vs. budgeted: $140,1000 •Fiscal YTD Earnings through Mar 2017: $1,255,090 vs. budgeted: $ 840,000 •Monthly Effective Rate of Return: 1.26% vs. benchmark: 1.27% •Benchmark per Investment Policy: 2-year Constant Maturity Treasury Rate N 0C CONCLUSIONS: o Portfolio remains compliant: • Relevant governmental regulations • City's Investment Policy ►►rr►►r►►►rr►►r►►r►►►►rr►r►►►►r►►► oPortfolio Earnings offset taxpayerIr operating expenses capital projects debt repayment • other liabilities