1993 09 08 IAB Minutes INVESTMENT ADVISORY BOARD
MINUTES
September 8, 1993
The regular meeting of the La Quinta Investment Advisory Board was
called to order at the hour of 5:30 P.M. by Chairman Lewis,
followed by the Pledge of Allegiance.
PRESENT: Board Members Brown, Gilreath, Sales and
Chairman Lewis
ABSENT: Board Member Wilson
OTHERS PRESENT: Thomas J. O'Reilly, Finance Director and Debbie
DeRenard, Secretary.
I PUBLIC COMMENT - None
II WRITTEN CORRESPONDENCE
A. LETTER FROM MAYOR JOHN PENA REQUESTING INPUT REGARDING
THE CONTENTS TO BE PLACED IN THE CITY OF LA QUINTA TIME
CAPSULE.
Mr. O'Reilly advised that if any of the Board Members had
suggestions for the Time Capsule, they could be submitted
to him or directly to the City Council. The deadline is
September 17th, 1993.
Board Member Sales suggested a current copy of the Board
Multiple Listings Book.
Board Member Brown advised that if the City Council
approved the Board Multiple Listings Book, she would
supply it.
Board Member Gilreath'advised that La Quinta's origin
should be. included.
III CONSENT CALENDAR
A. APPROVAL OF MINUTES FROM THE MEETING OF JULY 23, 1993.
MOTION - It was moved by Board Members Gilreath/Sales to
approve the Minutes of the July 23, 1993 Investment
Advisory Board as submitted. Motion carried Unanimously.
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Minutes
IV BUSINESS SESSION
A. TRANSMITTAL OF TREASURER'S REPORT DATED JUNE 30, 1993.
Mr. O'Reilly advised that the June and July Treasurers
Reports are before the Investment Advisory Board for
their motion to receive and file. The July Treasurers
Report has not yet been approved by the City Council.
In response to Board Member Sales, Mr. O'Reilly 'advised
that the concerns the City Council had in regards to why
they formed the Investment Advisory Board was to have the
Board review the investments for validity.
Chairman Lewis advised that his understanding of why the
Board was formed was to review the investments for
forgeries and review of the checking accounts.
Mr. O'Reilly distributed the Daily Cash Receipt form to
the Board. He advised that he receives the form on a
daily basis. It lists the checking, savings and the LAIF
accounts for both the City and RDA accounts. The form is
used as a guide when transferring money.
Mr. O'Reilly advised that the City would like to go out
to bid for banking service proposals in November or
December.
Board Member Brown recommended the City make an effort to
do business with firms that are located in the Coachella
Valley.
In response to Board Member Sales, Mr. O'Reilly advised
that the June's Treasurers Report did not match the final
General Ledger due to year end closing journal entries
that were completed after the Treasurers Report was
printed. The entries' will show on the July Treasurers
Report.
Mr. O'Reilly advised that the July Bank Reconciliation is
not completed, and the auditors are finishing up the
closing entries.
In response to Board Member Sales, Mr. O'Reilly advised
that the July Treasurers Report is stamped "draft only"
and further advised that the Investment Advisory Board
cannot be held responsible for the unbalance report.
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Minutes
Board Member Sales recommended the Board going to the
Council and question their duties.
Mr. O'Reilly advised that the Board could ask the Council
for clarification on specific areas that they would
prefer the Investment Advisory Board review.
MOTION - It was moved by Board Members Sales/Brown to
request advice from the City Council as what they feel
the responsibility of the Investment Advisory Board is
with respect to reviewing investment documentation.
Motion carried unanimously.
MOTION - It was moved by Board Members Brown/Gilreath to
receive and file the Treasurers Report for the month of
June. Motion carried unanimously.
B. TRANSMITTAL OF DRAFT TREASURERS REPORT DATED JULY 31,
1993.
It was the unanimous decision of the Board Members to
wait for a final Treasurers Report before approving.
C. CONSIDERATION OF APPROVAL TO INVEST BOND RESERVE FUNDS,
AS APPROVED BY BOND TRUSTEES, WITH L.A.I.F.
Mr. O'Reilly reviewed the reserve bond funds at July 3.0,
1993 for the City, Redevelopment Agency, and Financing
Authority and indicated that the reports will be going to
Council for approval.
Board Member Brown advised that she perceives one of the
functions of the Board is to research all different types
of investments and then make the recommendations,
L.A.I.F. being one of them, to the City Council. She
further advised that it would be wise for the Board to
make a recommendation to move to L.A.I.F as soon as
possible.
In response to the Board, Mr. O'Reilly advised that he
sees no reason in the near future to need the reserve
money that is to be possibly invested in LAIF.
MOTION - It was moved by Board Member Brown/Sales to
approve the investment of bond reserve funds to L.A.I.F.,
with approval of the bond trustees. Motion carried
unanimously.
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MOTION - It was moved by Board Member Brown/Gilreath to
thoroughly investigate other investment opportunities
for Board acceptance and make recommendations to the City
Council for long term investments. Motion carried
unanimously.
V. STUDY SESSION - None
VI. OTHER -
A. STAFF INFORMATION REPORTS.
1. LEVENTHALL REPORT
Mr. O'Reilly advised that this information was
requested by the Board at the July 23, 1993
meeting.
Mr. O'Reilly further advised that this report was
requested by the City Council after the Wymer
incident happened.
Board Member Brown advised that the reports states
that a .formalized written policy and procedure
should be created.
In response to Board Member Brown, Mr. O'Retlly
advised that formalized written policies and
procedures have been created. The Investment
Policy was created and has been amended since the
Wymer findings. There have always been policies on
who is authorized to sign checks and transfer
funds.
2. L.A.I.F. INVESTMENT REPORT
Mr. O'Reilly advised that this information was
requested by the Board at the meeting of July 23,
1993 meeting.
Noted and filed by Board Members.
VII. ADJOURNMENT
MOTION - It was moved by Board Members Brown/Gilreath to
adjourn the meeting. Motion carried unanimously.