2001 03 14 IABP.O. Box 1504
78-495 CALLE TAMPICO (760) 777-7000
LA QUINTA, CALIFORNIA 92253 (TDD) (760) 777-1227
AGENDA
INVESTMENT ADVISORY BOARD
Study Session Room
78-495 Calle Tampico- La Quinta, CA 92253
March 14, 2001 - 5:30 P.M.
Board Member Felice will be attending via telecommunications.
I CALL TO ORDER
a. Pledge of Allegiance
b. Roll Call
II PUBLIC COMMENT - (This is the time set aside for public comment on any matter not scheduled on the agenda.)
III CONFIRMATION OF AGENDA
IV CONSENT CALENDAR
A. Approval of Minutes of Meeting on February 14, 2001 for the
Investment Advisory Board.
V BUSINESS SESSION
A. Transmittal of Treasury Report for January 2001
B. Consideration of Fiscal Year 2001 /02 Investment Policies
VI CORRESPONDENCE AND WRITTEN MATERIAL
A. Month End Cash Report and other selected Financial Data -
February 2001
B. Pooled Money Investment Board Reports - December 2000
VII BOARD MEMBER ITEMS
Vill ADJOURNMENT
INVESTMENT ADVISORY BOARD Business Session: A
Meeting Date: March 14, 2001
Transmittal of Treasury Report
for January 31, 2001
Attached please find the Treasury Report January 31, 2001
Review, Receive and File the Treasury Report for January 31, 2001
John M. Falconer, Finance Director
T
to City Council
o� rw
MEMORANDUM
FROM: John M. Falconer, Finance Director/Treasurer
SUBJECT: Treasurer's Report for January 31, 2001
DATE: March 5, 2001
Attached is the Treasurer's Report for the month ending January 31, 2001. The report is submitted to
the City Council each month after a reconciliation of accounts is accomplished by the Finance Dept.
The following table summarizes the changes in investment types for the month:
Investment
Beginning
Purchased
Sold/Matured
Other
Ending
Change
Cash (1)
($262,127)
$10,980,548
$10,718,421
$10,980,548
LAI F
$6, 555, 574
(2,809,023)
0
3,746,551
(2,809,023)
! US Treasuries (2)
US Gov't Agencies
$31,9531489
$17,761,645
71411,000
(8,000,000)
41439
3113681928
(584,561)
(2)
57,336
17,818,981
57,336
lCommercial Paper (2)
$1,998,522
5,000,000
(2,000,000)
(13,744)
4,984,778
2,986,256
Mutual Funds (1)
$41251,185
(1,184,160)
3,067,025
(1,184,160)
;Total
$62 258 288 1
$23 391 548
$13 993 183
$48 031
$71 704 684
$9 446 396
I certify that this report accurately reflects all pooled investments and is in compliance with the California
Government Code; and ins in conformity with the City Investment Policy.
As Treasurer of the City of La Quinta, I hereby certify that sufficient investment liquidity and anticipated
revenues are available to meet the pools expenditure requirements for the next six months. the City of
La Quinta used the Bureau of the Public Debt, U.S. Bank Monthly Statement and the Bank of New York
Monthly Custodian Report to determine the fair market value of investments at month end.
""'John . Falconer
Finance Director/Treasurer
Footnote
(1) The amount r presents the net increase (decrease) of deposits and
withdrawals from the previous month.
(2) The amount reported in the other column represents the amortization of premium/discount for the
month on US Treasury, Commercial Paper and Agency investments.
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CITY OF LA QUINTA
CITY
CITY
RDA RDA
FA
BALANCE SHEET 01/31/01
FIXED
LONG TERM
FIXED LONG TERM
FINANCING
LONG TERM
GRAND
CITY ASSETS
DEBT
RDA
ASSETS DEBT
AUTHORITY
DEBT
TOTAL
ASSETS:
POOLED CASH
(4,388,651.13)
17,790,760.41
(9,940.95)
13,392,168 33
LQRP INVESTMENT IN POOLED CASH
805,000.00
805,000 00
INVESTMENT T-BILL/NOTES & OTHER
46,980,000.00
46,980,000 00
AUTO MALL CASH
2O5,106.79
205.106 79
LQRP CASH
60,988.99
60,988 99
BOND REDEMPTION CASH
115,866.71
1,41134
117,278.05
BOND RESERVE CASH
BOND PROJECT CASH
9,763,879.18
618,601.59
10,382 480 77
BOND ESCROW CASH
PETTY CASH
1,000.00
1 00000
CASH & INVESTMENT TOTAL 42,797,455.66
28,536,495.29
610.071.98
71,944,022T3
INVESTMENT IN LAND HELD FOR RESALE
ACCOUNTS RECEIVABLE
75,140.16
60,900.00
8,010,000.00
8146,040 16
PREMIUM/DISCOUNT ON INVESTMENT
(239,377.22)
38.51
(239,338 71)
LQRP-ACCOUNTS RECEIVABLE
78,544.48
78,544 48
INTEREST RECEIVABLE
LOAN/NOTES RECEIVABLE
2,652,736.49
2,652,736 49
DUE FROM OTHER AGENCIES
DUE FROM OTHER AGENCIES - CVAG
651,913.19
651,913 19
CVAG ALLOWANCE
(651,913.19)
(651,913 19)
DUE FROM OTHER GOVERNMENTS
DUE FROM OTHER FUNDS
899,449.40
551,629.04
1,451,078 44
DUE FROM RDA
8,497,550.20
8,497,550.20
INTEREST ADVANCE -DUE FROM RDA
2,454,788.78
_2,454.788 78
ADVANCES TO OTHER FUNDS
NSF CHECKS RECEIVABLE
9,431.91
9 431 91
ACCRUED REVENUE
833.40
83340
TRAVEL ADVANCES
1,449.00
1,44900
EMPLOYEE ADVANCES
PREPAID EXPENSES
RECEIVABLE TOTAL 11,698,432.23
3,344,643.41
8,010,038.51
23,053,114.15
WORKER COMPENSATION DEPOSIT
37,637.00
37,637 00
RENT DEPOSITS
UTILITY DEPOSITS
75.00
7500
MISC. DEPOSITS
2,100.00
2,10000
DEPOSITS TOTAL
39,812.00
39,812 00
GENERAL FIXED ASSETS
1,386,331.67 15,590,699.00
9,988,279.05
26,965,309 72
ACCUMULATED DEPRECIATION
(812,743.27)
(812,743.27)
AMOUNT AVAILABLE TO RETIRE L!f DEBT
3,395,117.03
3,395,117 03
AMOUNT TO BE PROVIDED FOR L!f DEBT
1,645,647.34
95,134,550.00
8,010,000.00
104.790,197,34
TOTAL OTHER ASSETS
573,588.40 15,590,699.00
1,645,647.34
9,988,279.05 98,529,667.03
8,010,000,00
134,337,880.82
TOTAL ASSETS
55 109 288.29 15 590 699.00
1,645,647.34 31 881 138.70
9,988,279.05 98,529,667.03
8 620 110 49
8,010,000.00
229,374,829 90
LIABILITIES:
ACCOUNTS PAYABLE
7,660.84
7,66084
DUE TO OTHER AGENCIES
872,718.50
872,718 50
DUE TO OTHER FUNDS
114,523.21
1,327,250.23
9,305.00 1.451,078 44
INTEREST ADVANCE -DUE TO CITY
ACCRUED EXPENSES
6.029.10
6,029 10
PAYROLL LIABILITIES
3,487.46
3,48746
STRONG MOTION INSTRUMENTS
3,809.91
3,809.91
FRINGE TOED LIZARD FEES
29,661.50
29.661.50
SUSPENSE
8,260.49
8.260, 49
DUE TO THE CITY OF LA QUINTA
PAYABLES TOTAL
1,046,151.01
1,327,250.23
9,305.00 2.382.706.24
ENGINEERING TRUST DEPOSITS
SO. COAST AIR QUALITY DEPOSITS
ARTS IN PUBLIC PLACES DEPOSITS
407,284.23
407,284 23
LQRP DEPOSITS
15,434.00
15,434 00
DEVELOPER DEPOSITS
1,063,118.19
1,063,118 19
MISC. DEPOSITS
448,663.41
448,663 41
AGENCY FUND DEPOSITS
1,875,129.95
1,875,129 95
TOTAL DEPOSITS
3,794,195.78
15,434.00
3,809,629 78
DEFERRED REVENUE
8,270.67
8,010,000.00 8,018,270.67
OTHER LIABILITIES TOTAL
COMPENSATED ABSENCES PAYABLE
DUE TO THE CITY OF LA QUINTA
DUE TO COUNTY OF RIVERSIDE
DUE TO C.V. UNIFIED SCHOOL DIST.
DUE TO DESERT SANDS SCHOOL DIST.
BONDS PAYABLE
TOTAL LONG TERM DEBT
TOTAL LIABILITIES
EQUITY -FUND BALANCE
8,270.67
8,010,000.00 8,018,270.67
321,991.94
321,991.94
1,323,655.40 10,952, 342.78
12, 275, 998.18
12,249,102.00
12,249,102.00
9,418,222.25
9,418,222,25
65,910,000.00
8,010,000.00 73,920,000 00
1,645,647.34 98,529,667.03
8,010,000.00 108,185,314 37
4,848,617.46 1,645,647.34 1,342,684.23 98,529,667.03 8,019,305.00 8,010,000.00 122,395,92106
50,260,670.83 15,590,699.00 30,538,454.47 9,988,279.05
600,805.49 106,978,908.84
TOTAL LIABILITY & EQUITY 55,109,288.29 15,590,699.00 1,645,647.34 31,881,138.70 9,988,279.05 98 529,667.03 8,620,110.49 8,010,000.00 229,374,829 90
CASH & INVESTMENT TOTAL 71,944,022.93
PREMIUM/DISCOUNT ON INVESTMENT (239,338,711
TOTAL 71,704,084.22
v �
I.CO..„m�4'�i
ti
OF Tl�
CITY OF LA QUINTA, CALIFORNIA
AFFIDAVIT OF POSTING
State of California )
County of Riverside) ss
City of La Quinta )
I, June S. Greek, City Clerk of the City of La Quinta California, do hereby certify
that I caused to be posted a Notice of Adjournment of the La Quinta Investment
Advisory Board, from the regular meeting of March 14, 2001; that the members
present authorized adjournment of said meeting to March 21, 2001 at the hour of
6:00 p.m. in the Finance Conference Room of the Civic Center, 78-495 Calle
Tampico, La Quinta, CA 92253. The attached notice was posted at the La Quinta
Civic Center, 78-495 Calle Tampico, La Quinta, CA 92253 on Thursday, March 15,
2001 within 24 hours of said adjournment.
I declare under penalty of perjury that the foregoing is true and correct.
Dated at La Quinta, California this 15th day of March, 2001
Jun eek, CMC
City Clerk, City of La Quinta, California
-L
P.O. Box 1504
78-495 CALLS TAMPICO (760) 7 7 7 - 7 0 0 0
LA QUINTA, CALIFORNIA 92253 (TDD) (760) 777-1227
NOTICE OF ADJOURNMENT
Notice is hereby given that the Investment Advisory Board of the City of La
Quinta at their regular meeting of March 14, 2001, adjourned said meeting due to
lack of a quorum to the hour of 6:00 p.m. on March 21, 2001, in the Finance
Conference Room at the La Quinta Civic Center, 79-495 Calle Tampico, CA.
Date 3 I s 2
Jo h Falconer, Finance Director
4ting Secretary
INVESTMENT ADVISORY BOARD Business Session No. B
Meeting Date: March 14, 2001
Consideration of Fiscal Year 2001 /02
Investment Policies
Pursuant to State Legislation the City investment policies must 'be approved on an
annual basis by the City Council. This approval is done in June of each year.
Staff has attached a Summary of the Calendar Year 2000 Legislation that must be
incorporated into the City Investment Policy.
In addition, the Board may want to consider the following items based upon prior
discussions:
Percentage of Government Sponsored Enterprises (GSE's)
Percentage of U.S. Treasury Issues
Type of Money Market Sweep Account
Continued review of the Investment policies for approval by City Council in June
2001.
John M. Falcon#r, Finance Director
STATE OF CALIFORNIA
�h
z
Philip Angelides ,
State Treasurer and Chair
CALIFORNIA DEBT AND INVESTMENT ADVISORY COMMISSION
915 CAPITOL MALL, ROOM 400
P.O. BOX 942809
SACRAMENTO, CA 94209-0001
TELEPHONE: (916) 653-3269
FAX: (916) 654-7440_—_-
"`�
r
February 23, 2001
Mr. John Falconer
a
FEB 2 6
2001
Finance Director
City of La Quinta
t _
P. O. Box 1504
La Quinta, CA 92253
Dear Mr. Falconer:
With the passage of Chapter 687, Statutes of 2000 (AB 943, Dutra), effective January 1, 2001, cities and counties
are now required to forward copies of their second and fourth quarter calendar year investment portfolio reports and
copies of their investment policies to the California Debt and Investment Advisory Commission (CDIAC). These
reports and policies, which are currently prepared in compliance with Government Code Section 53646, will provide
CDIAC additional opportunities to examine public investment practices on a more consistent basis than before. This
information will augment CDIAC's research in municipal finance and its educational programs and services.
I am using this notice to provide a timetable and contact information that will help you meet the requirements of
AB 943. Cities and counties have 60 days following the close of the quarter to provide CDIAC with their second
and fourth quarter investment portfolio reports. For calendar year 2001, cities and counties should provide second
quarter reports to CDIAC by the end of August 2001 and their fourth quarter reports by the end of February 2002.
As a way to avoid additional costs, the reports should be identical to the reports submitted by city or county officials
to their legislative body.
Cities and counties are to submit copies of their investment policies each calendar year and within 60 days of any
subsequent amendment to the policies. The first policies must be sent to CDIAC no later than December 31, 2001.
Again, city and county officials should submit identical copies of the policies submitted to their legislative bodies.
The portfolio reports and the investment policies can be sent to CDIAC by mail, postage prepaid, or by electronic
mail. Any reports provided to CDIAC by electronic mail must generate an identical copy when downloaded and
printed by CDIAC as that provided by city or county staff to their legislative body. If the reports are sent by e-mail,
please address them to ringenito@treasurer.ca.gov. If surface mail is used, please address the reports and policies
to:
California Debt and Investment Advisory Commission
Attention: Robert Ingenito
915 Capitol Mall, Room 400
Sacramento, CA 95814
I look forward to working with you to make this process of value. In the meantime, thank you for your cooperation
in our effort to serve you. Should you have questions, please give Robert a call at (916) 653-3269.
Sincerely,
istin Szaka y-Moore
Acting Executive Director
11
;,Committees you have any questions, contact Robert at the
_
above address, or call him at (916) 653 3..69.
j 80CAT N
`.Jessica Batanich, CCMT \ \� � Z AB2708: Deposits
San Jose. CA
This legislation places a restriction on local
Tel: 14081277-5
FAX t4081277-3723720 ;, - agency deposits, by limiting "eligible
� = �� � 1
Jessica.batinich@ci.si.ca.us y 1 institutions" to those receiving an overall CRA
Y
Y
1 1
—
rating of at least "satisfactory." The appropriate
LESlsunoN
Michael Reynolds, CCM
`
sentence from Section 3 of Government Code
Redlands, CA
Section 53635 reads: "To be eligible to receive
`Tel: (909) 798-7544
1 • o
local agency money, a bank, savings
4ax (909) 798-7670
�-M.,Mttolds@eee.org
association, federal association, or federally
NEW LEGISLATION AFFECTING LOCAL
insured industrial loan company shall have
sIrESn=1N
GOVERNMENT INVESTMENTS
received an overall rating of not less than
:Adair Most, CCMT
VVctorville, CA
Effective January 1, 2001
`satisfactory' in its most recent evaluation by
ITol:.(7601955-5060 i
ABS43: Submission of Investment
the appropriate federal financial supervisorial
Fdx (760) 245-6646
Policies and Quarterly Investment
agency of its record of meeting the credit needs
amost@ci.victorville.ca.us
-
Reports to COIAC
of California's communities, including
'30nFICATION
Beginning January 1, 2001, all cities and
low -and -moderate -income neighborhoods,
;Judith Oltman, CCMT
counties (NOT special districts) must mail a
pursuant to Section 2 of Title 12 of the
P
',Homet, CA
;.Tel: (909) 765-2317
co of their second and fourth quarter
PY q
B2220: Maximum
United States Cod0ankers
2fax t9091765-2337
investment reports to the California Debt and
Maturity Periods for Acceptances and
)0bnan@ci.hemet.ca.us
Investment Advisory Commission within 60
Commercial paper
i:,MEMBERSIUP/BUD6ET
days of the close of that quarter. A copy of your
This bill, sponsored by the City of Palm
Sed TreasurerP
agency's investment policy must be sent "no
Y
Desert, revises the maximum maturity period
later than 60 days after the close of the quarter of
for purchases of bankers acceptances by local
*NEWSLW WPUOUC
REUITIONS
each calendar year." Current thought is that the
agencies from 270 to 180 days, and revises the
Vice President
above sentence was meant to say `...close of the
Y
maximum maturity period for purchases of
'Bee
c ' .
second quarter....' So, your first investment
eligible commercial paper from 180 days to 270
i fiNI NUB/V4AWS
See Past -President
report and a copy of your investment policy, as
days.
While
,. -
of June 30, 2001, will be due by August 29,
the current limits were appropriate
V:
LEAGUE LWSON
2001. In addition, an updated copy of your
when the legislature set the standards in 1974
Fr4n Medema
investment policy must be sent within 60 days
and 1978, they were inconsistent with current
,Sacramento, CA
of any subsequent amendment to the policy. rket offerings.
:Tel; (916)658-821
Fax: (9161658-8240
This bill would exempt a city or county from the
B 1493: Guidelines for Distribution of
me_demaf@cacities.org
reporting requirement if the agency certifies
Investment Earnings from County Pools
r
that it maintains 100% of its portfolio in the
This bill allows a county treasurer, when
CONu�ESCuu' AssoCtATE
t t1AISON .
Local Agency Investment Fund, the county
apportioning investment income from a pool, to
PP g P
�,Leslio G. Wells
treasury of the county in which the agency is
use the cash method, accrual method, or any
Las Angeles, CA
located, insured credit union accounts, in
other method in accordance with generally
tTel; (213) 236-7070
t Or (800)358-8771
accounts insured or guaranteed pursuant to
accepted accounting principles. It requires a
P g P P q
Fax: (213) 236-4105
Section 14858 of the Financial Code, in FDIC
county treasurer to, at least quarterly, apportion
'.leslia.wells@uboc.com
insured accounts in a bank or savings and loan
investment income in an amount proportionate
-
soYERNNIENTAssoC. LAisoN
association, or a combination thereof.
to the average daily balance of the amount
Patricia A. Elliott
These reports and policies should be
deposited b the local agency and to the total
P Y g Y
'Perris, CA
addressed to:
average daily balance of deposits in the
Tel;•1909) 928-3777 X 6154
Fax: (909) 928-6114
California Debt and Investment Advisory
investment pool. It also requires the county
elbottp@emwd.org
Commission
treasurer to notify the local agencies of any
Attn: Robert Ingenito
proposed changes in the accounting method at
'2O01 CONFERENCE CHAIR
Nancy Corona
915 Capital Mall, Room 400
least 30 days prior to the date on which the
Riverside, CA
Sacramento, CA 95814
ro osed Chan a is to take effect.
P P g
Tal:I9091826-5660
Fax: (909) 782-5683
Make a notation on the outside of the
neorona@ci.riverside.ca.us
tw�,. ; .. .
envelope that it contains reports and policies. If
CMTA Dollars & Sense
V�
INVESTMENT ADVISORY BOARD Correspondence & Written
Material Item A
Meeting Date: March 14, 2001
01""
Month End Cash Report - February 2001 and
Other selected Financial Data
This cash report is not a complete Treasury Report (exclude petty cash, deferred
compensation and fiscal agent balances, but would report in a timely fashion
selected cash balances.
Information item only.
John M. Falcondr, Finance Director
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F -
`` PMIA/LAIF Investment
"= Portfolio
tk The CMTA Board of Directors had
discussed the potential use of LAIF
funds in support of the State
Treasurers "Double Bottom
'• Line Program" at the September
Board meeting. This topic was also
discussed at the LAIF Conti renc•e.
The following is reprinted with
permission from the LAIF newsletter
and explains the State Treasurer's position.
The Investment Policy for the Pooled
Money Investment Account (PMIA)/Local
Agency Investment Fund (LAIF) governs the
*. broader goals of the Portfolio. The Policy rarely
changes, however, the investment strategies of
the Portfolio shift overtime, dictated by various
—Continued on page 5
�lly,�•u�
PMIA/LAIF Investment Portfolio.... —continued from page 1
market dynamics. Some LAIF participants have
inquired about the increased percentage
allocations of certain asset classes within the
Portfolio, such as the Time Deposit Program.
The Time Deposit, Small Business
Administration Loan and Collateralized
Mortgage Obligation Programs offer prudent
investment opportunities to the Portfolio, while
also meeting some of the State Treasurer's
program goals of helping local under -served
communities. These three programs are
highlighted below:
The Time Deposit Program places
collateralized deposits in community banks in
California, which helps to stimulate growth in
our local communities. These Time Deposits, in
turn, provide a safe return to the portfolio above
treasury rates. Each Time Deposit is reviewed
and must meet specific credit requirements.
Consideration is given to Community
Reinvestment Act ratings, however, they also
must meet our credit requirements. As required
by law, all deposits over $100,000 are
adequately collateralized at 11,0% or higher with
appropriate securities. The Time Deposit
Program balance on 8/31/00 was $3.868 billion
or about 9.5% of the Time Deposit asset class. In
the early years of the LAIF this percentage
reached as high as 23%.
The Small Business Administration
(SBA) Loan Program purchases
California -only securitized small business
loans, concentrating on low -to -moderate
income areas. These loans are fully guaranteed
by the United States Government and provide a
yield pickup to short-term treasuries.
,V1d;1nn!illv . the cminnns are' arlin�trr1
quarterly, which provides price stability. The
SBA Program was $314 million or slightly less
than 1 % of the Portfolio on 8.3/00, which is
under the Agency Notes asset class.
The Collateralized Mortgage Obligation
(CMO) Program purchases mortgage -backed
bonds that are separated into different maturity
classes called tranches. This Program is a
significant piece of the PMIA/LAIF Mortgage
(MBS) and Federal Home Loan Mortgage
Corporation (FHLMC) asset classes. The
underlying mortgages in this Program are
California -only loans with a significant majority
of those loans representing low and
moderate -income neighborhoods. Additionally,
these CMO bonds are ensured as to the timely
payment of principal and interest by either
FHLMC or Federal National Mortgage
Association (FNMA). While these securities are
less liquid than treasuries, they meet the
Portfolio's five-year average life criteria and
provide attractive yield spreads to treasuries. We
typically receive —120 to 130 basis points over
the treasuries, depending upon the yield curve.
The CMO Program on 8/31/00 was $423 million
or 1 % of the Portfolio. Over the years, there have
been various dedicated mortgage programs in
the Portfolio.
Questions regarding this information may
be directed to William Sherwood or Daniel
Dowell at (916) 653-3147.
FRB: H.15--Selected Interested Rate ... b-Only Daily Update-- March 2, 2001
http://www.federalreserve.gov/Releases/H 15/update
Federal Reserve Statistical Release
H.15
Selected Interest Rates
Release Date: March 2, 2001
H.15: Release I Release dates I About I ASCII I Historical data I Daily update
H.15 Daily Update
The weekly release is posted on Monday. Daily updates of the weekly release are posted
Tuesday through Friday on this site.
H.15 DAILY UPDATE: WEB RELEASE ONLY
SELECTED INTEREST RATES
Yields in percent per annum
Instruments
SELECTED INTEREST RATES
Federal funds (effective) 1 2 3
Commercial paper 3 4 5 6
Nonfinancial
1-month
2-month
3-month
Financial
1-month
2-month
3-month
CDs (secondary market) 3 7
1-month
3-month
6-month
Eurodollar deposits (London) 3 8
1-month
3-month
6-month
Bank prime loan 2 3 9
Discount window borrowing 2 10
U.S. Government securities
Treasury bills (secondary market) 3 4
3-month
6-month
1-year
Treasury constant maturities 11
3-month
For immediate release
March 2, 2001
Mon Tue Wed Thu
Feb 26 Feb 27 Feb 28 Mar 1
5.55
5.49
5.59
5.59
5.24
5.19
5.14
5.23
5.13
5.03
4.99
5.06
5.02
4.95
4.87
4.95
5.26
5.18
5.11
5.29
5.15
5.08
5.00
5.05
5.15
5.00
4.91
4.93
5.31
5.21
5.20
5.26
5.10
5.01
5.01
5.02
4.95
4.85
4.87
4.88
5.25
5.18
5.13
5.25
5.09
5.02
4.97
5.04
4.94
4.84
4.82
4.89
8.50
8.50
8.50
8.50
5.00
5.00
5.00
5.00
4.71
4.70
4.73
4.72
4.50
4.47
4.53
4.51
4.35
4.27
4.27
4.25
4.81
4.82
4.85
4.84
1 of 3 03/05/2001 8:49 AN
FRB: H. 15 --Selected Interested Rate ... b-Only Daily Update-- March 2, 2001
http://www.federaireserve.gov/Releases/H 15/update
6-month
1-year
2-year
3-year
5-year
7-year
10-year
20-year
30-year
Interest rate swaps 12
1-year
2-year
3-year
4-year
5-year
7-year
10-year
30-year
Corporate bonds
Moody's seasoned
Aaa
Baa
State & local bonds 13
Conventional mortgages 14
4.69
4.64
4.70
4.68
4.48
4.47
4.47
4.45
4.46
4.44
4.41
4.41
4.54
4.51
4.48
4.48
4.81
4.75
4.70
4.67
5.05
4.97
4.93
4.88
5.05
4.96
4.92
4.87
5.62
5.51
5.51
5.45
5.45
5.34
5.34
5.29
4.97
4.89
4.94
4.91
5.15
5.06
5.08
5.05
5.36
5.25
5.27
5.22
5.53
5.40
5.41
5.35
5.66
5.52
5.51
5.46
5.86
5.70
5.69
5.62
6.07
5.87
5.84
5.76 _
6.36
6.20
6.17
6.07
7.09
6.98
6.97
6.93
7.94
7.82
7.80
7.75
FOOTNOTES
1. The daily effective federal funds rate is a weighted average of rates
on trades through N.Y. brokers.
2. Weekly figures are averages of 7 calendar days ending on Wednesday of
the current week; monthly figures include each calendar day in the
month.
3. Annualized using a 360-day year or bank interest.
4. On a discount basis.
5. Interest rates interpolated from data on certain commercial paper
trades settled by The Depository Trust Company. The trades represent
sales of commercial paper by dealers or direct issuers to investors
(that is, the offer side). See Board's Commercial Paper Web pages
(http://www.federalreserve.gov/releases/cp) for more information.
6. The 1-, 2-, and 3-month rates are equivalent to the 30-, 60-, and
90-day dates reported on the Board's Commercial Paper Web page.
7. An average of dealer offering rates on nationally traded certificates
of deposit.
8. Bid rates for Eurodollar deposits collected around 9:30 a.m. Eastern time.
9. Rate posted by a majority of top 25 (by assets in domestic offices)
insured U.S.-chartered commercial banks. Prime is one of several base
rates used by banks to price short-term business loans.
10. Rate for the Federal Reserve Bank of New York.
11. Yields on actively traded issues adjusted to constant maturities.
Source: U.S. Treasury.
12. International Swaps and Derivatives Association (ISDA) mid -market
par swap rates. Rates are for a Fixed Rate Payer in return for
receiving three month LIBOR, and are based on rates collected at
11:00 a.m. by Garban Intercapital plc and published on Reuters
Page ISDAFIXI. Source: Reuters Limited.
13. Bond Buyer Index, general obligation, 20 years to maturity, mixed
quality; Thursday quotations.
2 of 3 03/05/2001 8:49 AM
FRB: H.l5--Selected Interested Rate ... b-Only Daily Update-- March 2, 2001 http://www.federalreserve.gov/Releases/H 151updatc
14. Contract interest rates on commitments for fixed-rate first mortgages.
Source: FHLMC.
DESCRIPTION OF THE TREASURY CONSTANT MATURITY SERIES
Yields on Treasury securities at "constant maturity" are interpolated
by the U.S. Treasury from the daily yield curve. This curve, which
relates the yield on a security to its time to maturity, is based on
the closing market bid yields on actively traded Treasury securities in
the over-the-counter market. These market yields are calculated from
composites of quotations obtained by the Federal Reserve Bank of New
York. The constant maturity yield values are read from the yield curve
at fixed maturities, currently 3 and 6 months and 1, 2, 3, 5, 7, 10, 20,
and 30 years. This method provides a yield for a 10-year maturity, for
example, even if no outstanding security has exactly 10 years remaining _
to maturity. In estimating the 20-year constant maturity, the Treasury
incorporates the prevailing market yield on an outstanding Treasury bond
with approximately 20 years remaining to maturity.
H.15: Release I Release dates I About I ASCII I Historical data I Daily update
Home I Statistical releases
To comment on this site, please fill out our feedback form.
Last update: March 2, 2001
G5
3 of 3 03/05/2001 8:49 AN
FRB:Commercial Paper Rates and Outstandings
http://www.federaireserve.gov/Relcases,'CP
Federal Reserve Release
Commercial Paper
Release I About I Outstandincs I Historical discount rates I Historical outstandings
Data as of March 2, 2001 volume
Commercial Paper Rates and Outstandings statistics
Derived from data supplied by The Depository Trust Company 2000: 4
Posted March 5, 2001
Discount rates
I Term
AA
financial
AA
nonfinancial
A2/P2
nonfinancial
1-day '
r
5.515.50
; 6.08
3 7-day
5.46
5.47
6.00
15-day '
5.46
1 5.42
1 5.97
30-day
5.24
5.21
1 5.93
60-day 1
5.02
I 5.02
5.90
90-day
4.95
1 4.90
j 5.88
Yield curve
Money market basis
Percent
6.2
6.0
5.8
5.6
5.4
5.2
5.0
4.8
1 7 15 W so 90
Da ys to Mat u rity
Financial — — — NonfinanewI ••.•• A2/P2
Discount rate spread
Thirty -day A2/P2 less AA nonfinancial commercial paper (daily)
01 MAY98 17 NOV98 05J U N99 22❑ EC99 09J U LO0
-- — A2/P2 spread, 5-day mov ing ave rage
25JAN 01
Basis points
150
140
130
120
110
100
90
so
70
60
50
40
30
20
10
1-TAU GO
9
1 of 3 03/05/2001 8:48 AM
FRB:Commercial Paper Rates and Outstandings
Discount rate history
Thirty -day commercial paper (daily)
1
1 �
t
1
r 1 +r 4+t.� •..1�1a� i
no 1 1 1
1 /ti ti
V so#
01 MAY98 17 NCV98 05J U N99 22D EC99 09J U L00
Financial — — — Nonfinancial ••••• A2/P2
Outstandings
Weekly (Wednesday), seasonally adjusted
Billions of dollars
1- YJCJ
1100
1 OD IJ
2U AN01
http://www.federalreserve.gov/Releases,'Cil
Percent
� 8
NA
6
5
4
13a.0 G01
Billions of dollars
360
350
34-0
.30
�20
310
.300
290
280
270
260
250
p 240
22a
210
01 MAY98 17 NOV98 05J U N 9g 22❑ EC99 09J U L00 25JAN01 13AU G01
Financial — — — Nonfinancial
The daily commercial paper release will usually be available before 11:00am EST. However, the
Federal Reserve makes no guarantee regarding the timing of the daily commercial paper release.
When the Federal Reserve is closed on a business day, yields for the previous business day will
appear in the historical discount rates table. This policy is subject to change at any time without
notice.
1()
2 of 3 03/05/2001 8:48 AM
FRB:Commercial Paper Rates and Outstandings http://www.federalreserve.gov/Releases/CI'
Commercial paper outstanding
Commercial paper outstanding,, miscellaneous categories
Release I About I OutstandiM ( Historical discount rates I Historical outstandings
Home I Statistical releases
To comment on this site, please fill out our feedback form.
Last update: March 5, 2001
11
3 of 3 03/05/2001 8:48 AN:
LAIF Performance Report httpJ/www.treasurer.ca.gov/laifiperfomiance.litr
Philip Angelides, State Treasurer
Insidelhe State Treasurer's Office
Local Agency Investment Fund
LAIF Performance Report
Reporting Date:
Effective Date:
Quarter Yield:
Daily:
Year:
Life:
Quarter Ending 12/31/00
Apportionment Rate:
Earnings Ratio:
Fair Value Factor:
Monthly Average For February:
02/28/01
02/28/01
6.27%
6.07%
6.44%
194
6.52%
.00017854626707555
1.012836187
6.169%
12
1 of 2
03/05/2001 8:50 AM
LAIF Performance Report http://www.treasurer.ca.gov/laif/perfomiailcc.htr
Corr - --`-
Bi
5
Commercial
Paper
25.51 %
Pooled Money Investment Account
Portfolio Composition*
$48.2 Billion
01131/01
Loans Reverses
6.22% -0-51% Treasuries
12.59%
CD's/BN's
12.31 %
e Deposits
9.19%
Mortgages
0.02%
lcies
?1%
■Treasuries
❑ Time Deposits
■ Mortgages
❑ Agencies
■ CD's/BN's
❑ Bankers Acceptances
■ Repo
■ Commercial Paper
❑ Corporate Bonds
❑ Loans
■ Reverses
"The PMIA portfolio does not hold any securities of PG&E or Southern California Edison.
Home Back
13
2 of 2 03/05/2001 8:50 AN
City of La Quinta
Spread between 30 Day Al P1 Commercial Paper and 30 Day T-Note
Date
T-Bill
T-Bill
C/P
Variance
11 /13/00
12/14/00
6.03%
6.47%
0.44%
11/20/00.
12/21/00
6.43%
6.49%
0.06% T-Bill Rate appeared unusually high
11 /27/00
12/28/00
6.28%
6.49%
0.21 %
12/04/00
01 /04/01
6.13%
6.50%
0.37%
12/11 /00
01 /11 /01
5.92%
6.40%
0.48%
12/18/00
01 /18/01
5.86%
6.54%
0.68%
1 /02/01
02/01 /01
5.76%
6.36%
0.60%
1/08/01
02/08/01
5.13%
5.77%
0.64%
1 /16/01
02/15/01
5.23%
5.78%
0.55%
1/23/01
02/22/01
5.11 %
5.67%
0.56%
1 /29/01
3/01 /01
5.06%
5.54%
0.48%
2/05/01
3/08/01
4.95%
5.45%
0.50%
2/12/01
3/15/01
4.99%
5.42%
0.43%
2/20/01
3/22/01
4.76%
5.47%
0:71 %
2/27/01
3/29/01
4.84%
5.44%
0.60%
3/05/01
4/05/01
4.96%
5.24%
0.28%
14
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OEOUMMUM
15
CITY OF LA QUINTA
Investment Policy
Table of Contents
Section
Tom
Page
Executive Summary
2
I
General Purpose
4
II
Investment Policy
4
III
Scope
4
IV
Objectives
5
► Safety
► Liquidity
_
► Yield
► Diversified Portfolio
V
Prudence
6
VI
Delegation of Authority
6
VIl
Conflict of Interest
7
Vlll
Authorized Financial Dealers and Institutions
7
► Broker/Dealers
► Financial Institutions
IX
Authorized Investments and Limitations
9
Investment Pools
13
XI
Safekeeping and Custody
13
XII
Interest Earning Distribution Policy
13
XIII
Internal Controls and Independent Auditors
14
XIV
Benchmark
16
XV
Reporting Standards
16
XVI
Investment of Bond Proceeds
16
XVII
Investment Advisory Board - City of La Quinta
17
XVIII
Investment Policy Adoption
17
Appendices: A. Summary of Authorized Investments and Limitations
18
B. Municipal Code Ordinance 2.70 - Investment Advisory Board
19
C. Municipal Code Ordinance 3.08 - Investment of Moneys and Funds
20
D. Segregation of Major Investment Responsibilities
22
E. Listing of Approved Financial Institutions
23
F. Broker/Dealer Questionnaire and Certification
24
G. Investment Pool Questionnaire
29
H. Glossary
33
1
City of La Quinta
Investment Policy
Executive Summary
The general purpose of this Investment Policy is to provide the rules and standards
users must follow in investing funds of the City of La Quinta.
It is the policy of the City of La Quinta to invest all public funds in a manner which will
provide a diversified portfolio with maximum security while meeting daily cash flow
demands and the highest investment return in conformity to all state and local
statutes. This Policy applies to all cash and investments of the City of La Quinta, La
Quinta Redevelopment Agency and the La Quinta Financing Authority, hereafter
referred -in this document as the "City".
The primary objectives, in order of priority, of the City of La Quinta's investment
activity shall be:
Safety of principal is the foremost objective. of the investment program.
Investments of the City of La Quinta shall be undertaken in a manner that seeks
to ensure the preservation of capital in the overall portfolio
The investment portfolio shall remain sufficiently liquid to meet all operating
requirements that may be reasonably anticipated.
The investment portfolio shall be designed with the objective of attaining a
market rate of return or yield throughout budgetary and economic cycles, taking
into account the investment risk constraints and liquidity needs.
Within the constraints of safety, liquidity and yield, the City will endeavor to
maintain a diversified portfolio by allocating assets between different types of
investments within policy limitations.
Investments shall be made with judgment and care - under circumstances then
prevailing - which persons of prudence, discretion, and intelligence exercise in the
management of their own affairs, not for speculation, but for investment, considering
the probable safety of their capital as well as the probable income to be derived.
Authority to manage the City of La Quinta's investment portfolio is derived from the
City Ordinance. Management responsibility for the investment program is delegated
to the City Treasurer, who., shall establish and implement written procedures for the
operation of the City's investment program consistent with the Investment Policy. The
Treasurer shall establish and implement a system of internal controls to maintain the
safety of the portfolio. In addition, the internal control system will also insure the
timely preparation and accurate reporting of the portfolio financial information. As part
2
of the annual audit of the City of La Quinta's financial statements the independent
auditor reviews the adequacy of those controls and comments if weaknesses are
found.
Investment responsibilities carry added duties of insuring that investments are made
without improper influence or the appearance to a reasonable person of questionable
or improper influence.
The City of La Quinta Investment Policy maintains a listing of financial institutions
which are approved for investment purposes. All Broker/Dealers and financial
institutions selected by the Treasurer to provide investment services will be approved
by the City Manager subject to City Council approval. - -
The Treasurer will be permitted to invest only in City approved investments up to the
maximum allowable percentages and, where applicable, through the bid process
requirements. _Authorized investment vehicles and related maximum portfolio positions
are listed in Appendix A - Summary of Authorized Investments and Limitations At
least two bids will be required of investments in the authorized investment vehicles.
Collateral ization will be required for Certificates of Deposits in excess of $100,000.
Collateral will always be held by an independent third party from the institution that
sells the Certificates of Deposit to the City. Evidence of compliance with State
Collateralization policies must be supplied to the City and retained by the City
Treasurer.
The City of La Quinta Investment Policy shall require that each individual investment
have a maximum maturity of two years unless specific approval is authorized by the
City Council. In addition, the City's investment in the State Local Agency Investment
Fund (LAIF) is allowable as long as the average maturity does not exceed two years,
unless specific approval is authorized by the City Council. The City's investment in
Money Market Mutual funds is allowable as long as the average maturity does not
exceed 60 days.
The City of La Quinta Investment Policy will use the six month U.S. Treasury Bill as
a benchmark when measuring the performance of the investment portfolio.
The Investment Policies shall be adopted by resolution of the La Quinta City Council
on an annual basis, The Investment Policies will be adopted before the end of June of
each year.
This Executive Summary is an overall review of the City of La Quinta Investment
Policies. Reading this summary does not constitute a complete review which can only
be accomplished by reviewing all the pages.
3
City of La Quinta
Statement of Investment Policy
July 1, 2000 through June 30, 2001
Adopted -by the City Council on June 20, 2000
The general purpose of this document is to provide the rules and standards users must
follow in administering the City of La Quinta cash investments.
It is the policy of the City of La Quinta to invest public funds in a manner which will
provide a diversified portfolio with safety of principal as the primary objective while
meeting daily cash flow demands with the highest investment return. In addition, the
Investment Policy will conform to all State and local statutes governing the investment
of public funds.
This Investment Policy applies to all cash and investments of the City of La Quinta,
City of La Quinta Redevelopment Agency and the City of La Quinta Financing
Authority, hereafter referred in this document as the "City". These funds are reported
in the City of La Quinta Comprehensive Annual financial Report (CAFR) and include:
All funds within the following fund types:
10General
Special Revenue
Capital Projects
► Debt Service
► Internal Service
► Trust and Agency
► Any new fund types and fund(s) that may be created.
The primary objective, in order of priority, of the City of La Quinta's investment
activity shall be:
1. Safety
Safety of principal is the foremost objective of the investment program.
Investments of the City of La Quinta shall be undertaken in a manner that seeks
to ensure the preservation of capital in the overall portfolio in accordance with
the permitted investments. The objective will be to mitigate credit risk and
interest rate risk.
Credit Risk - is the risk of loss due to the failure of the security issuer or
backer. Credit risk may be mitigated by:
► Limiting investments to the safest types of securities;
► Pre -qualifying the financial institutions, and broker/dealers, which
the City of La Quinta will do business; and
► Diversifying the investment portfolio so that potential losses on
individual securities will be minimized.
Interest Rate risk is the risk that the market value of securities in the
portfolio will fall due to changes in general interest rates. Interest rate
risk may -be mitigated by:
► Structuring the investment portfolio so that securities mature to
meet cash requirements for ongoing operations, thereby avoiding
the need to sell securities on the open market prior to maturity;
and
► By investing operating funds primarily in shorter -term securities.
2. Liquidity
The investment portfolio shall remain sufficiently liquid to meet all operating
requirements that may be reasonably anticipated. This is accomplished by
structuring the portfolio so that sufficient liquid funds are available to meet
anticipated demands. Furthermore since all possible cash demands cannot be
anticipated the portfolio should be diversified and consist of securities with
active secondary or resale markets.
5
3. Yield
The investment portfolio shall be designed with the objective of attaining a
market rate of return throughout budgetary and economic cycles, taking into
account the investment risk constraints and liquidity needs. Return on
investment is of least importance compared to the safety and liquidity objectives
described above. The core of investments are limited to relatively low risk
securities in anticipation of earning a fair return relative to the risk being
assumed. Securities shall not be sold prior to maturity with the following
exceptions:
► A declining credit security could be sold early to minimize loss of
principal;
► Liquidity needs of the portfolio require that the security be sold.
4. Diversified Portfolio
Within the constraints of safety, liquidity and yield, the City will endeavor to
maintain a diversified portfolio by allocating assets between different types of
investments within policy limitations.
The City shall follow the Uniform Prudent Investor Act as adopted by the State of
California in Probate Code Sections 16045 through 16054..
Section 16053 sets forth the terms of a prudent person which are as follows:
Investments shall be made with judgment and care - under circumstances then
prevailing - which persons of prudence, discretion, and intelligence excerise in the
professional management of their own affairs, not for speculation, but for investment,
considering the probable safety of their capital as well as the probable income to be
derived.
* ► 991 WAIJ■ 6
Authority to manage the City of La Quinta's investment portfolio is derived from the
City Ordinance. Management responsibility for the investment program is delegated
to the City Treasurer, who shall establish written procedures for the operation of the
investment program consistent with the Investment Policy. Procedures should include
reference to safekeeping, wire transfer agreements, banking service contracts, and
collateral/depository agreements. Such procedures shall include explicit delegation of
authority to persons responsible for investment transactions. No person may engage
0
in an investment transaction except as provided under the terms of this Investment
Policy and the procedures established by the City Treasurer. The City Treasurer shall
be responsible for all transactions undertaken and shall establish a system of controls
to regulate the activities of subordinate officials. The City Manager or Assistant City
Manager shall aoorove in writing all purchases and sales of investments prior to their
execution by the City Treasurer.
Investment responsibilities carry added duties of insuring that investments are made
without improper influence or the appearance of improper influence.
Therefore, the City Manager, Assistant City Manager, and the City Treasurer shall
adhere to the State of California Code of Economic Interest and to the following:
► The City Manager, Assistant City Manager, and the City Treasurer shall not
personally or through a close relative maintain any accounts, interest, or private
dealings with any firm with which the City places investments, with the
exception of regular savings, checking and money market accounts, or other
similar transactions that are offered on a non-negotiable basis to the general
public. Such accounts shall be disclosed annually to the City Clerk in
conjunction with annual disclosure statements of economic interest.
► All persons authorized to place or approve investments shall report to the City
Clerk kinship relations with principal employees of firms with which the City
places investments.
The City of La Quinta Investment Policy maintains a listing of financial institutions
which are approved for investment purposes. In addition a list will also be maintained
of approved broker/dealers selected by credit worthiness, who maintain an office in the
State of California.
1. Broker/Dealers who desire to become bidders for investment transactions must
supply the City of La Quinta with the following:
► Current audited financial statements
► Proof of National Association of Security Dealers Certification
► Trading resolution
► Proof of California registration
► Resume of Financial broker
7
► Completion of the City of La Quinta Broker/Dealer questionnaire which
contains a certification of having read the City of La Quinta Investment
Policy
The City Treasurer shall evaluate the documentation submitted by the
broker/dealer and independently verify existing reports on file for any firm and
individual conducting investment related business.
The City Treasurer will also contact the following agencies during the
verification process:
► National Association of Security Dealer's Public Disclosure Report File -
1-800-289-9999
► State of California Department of Corporations 1-916-445-3062
All Broker/Dealers selected by the City Treasurer to provide investment services
will be approved by the City Manager subject to City Council approval. The City
Attorney will perform a legal review of the trading resolution/investment
contract submitted by each Broker/Dealer.
Each securities dealer shall provide monthly and quarterly reports filed pursuant to U.S.
Treasury Department regulations. Each mutual fund shall provide a I✓- ospectus and
statement of additional information.
2. Financial Institutions will be required to meet the following criteria in order to
receive City funds for deposit or investment:
A. Insurance - Public Funds shall be deposited only in financial
institutions having accounts insured by the Federal Deposit
Insurance Corporation (FDIC)
B. Collateral - The amount of City of La Quinta deposits or
investments not insured by the FDIC -shall be 1 10% collateralized
by securities' or 150% mortgages' market values of that amount
of invested funds plus unpaid interest earnings.
C. Disclosure - Each financial institution maintaining invested funds
in excess of the FDIC insured amount shall furnish the City a copy
of the most recent Annual Call Report.
The City shall not invest in excess of the FDIC insured amount in
banking institutions which do not disclose to the city a current
listing of securities pledged for collateral ization in public monies.
BlEff-AlurOTOONloll ► 11 14 ► 1 &Vil ► 1914 1 ►1 I I ril►
The City Treasurer will be permitted to invest in the investments summarized in the
Appendix A.
As provided in Sections 16429.1, 53601, 53601.1, and 53649 of the
Government Code, the State of California limits the investment vehicles
available to local agencies as summarized in the following paragraphs. Section
53601, as now amended, provides that unless Section 53601 specifies a
limitation on an investment's maturity, no investments with maturities
exceeding five years shall be made. The City of La Quinta Investment Policy
has specified that no investment may exceed two years.
State Treasurer's Local Agency Investment Fund (LAIR - As authorized in
Government Code Section 16429.1 and by LAIF procedures, local government
agencies are each authorized to invest a maximum of $30 million per account
in this investment program administered by the California State Treasurer. The
City's investment in the State Local Agency Investment Fund (LAIF) is allowable
as long as the average maturity of its investment portfolio does 'lot exceed two
years, unless specific approval is authorized by the City Council. The City of La
Quinta has two accounts with LAIF. The City of La Quinta Investment Policy
has a limitation of 15 % of the portfolio.
U.S. Government and Related Issues - As authorized in Government Code
Sections 53601 (a) through (n) as they. pertain to surplus funds, this category
includes a wide variety of government securities which include the following:
• Local government bonds or other indebtedness and State bonds or other
indebtedness. The City of La Quinta Investment Policy does not allow
investments in local and state indebtedness
• U.S. Treasury bills, notes and bonds directly issued and backed by the
full faith and credit of the U.S. Government. The City of La Quinta
Investment Policy limits investments in U.S. Treasury issues to 75% of
the portfolio.
• U.S. Government agencies issuing securities backed as to principal and
interest by the full faith and credit of the U.S. Government. Government
National Mortgage Association (GNMA) is such an agency. The City of
La Quinta Investment Policy has a limitation of 75 % of the portfolio with
a single issuer limit of 25% of the portfolio.
• U.S. Government instrumentalities and agencies issuing securities not
backed as to principal and interest by the full faith and credit of the U.S.
Government. The Federal Home Loan Bank (FHLB), Federal Farm Credit
Bank (FFCB), Federal Land Bank (FLB) and Federal Intermediate Credit
Bank (FICB) are such issuers. The City of La Quinta Investment Policy
has a limitation of 75% of the portfolio with a single issuer limit of 25%
of the portfolio.
• Federal government sponsored enterprises (GSEs) issuing securities not
backed as to principal and interest by the full faith and credit of the U.S.
Government. These GSEs include Federal National Mortgage Association
(FNMA), Federal Home Loan Mortgage Corporation (FHMC) and Student
Loan Marketing Association (SLMA) which are publicly owned. The City
of La Quinta Investment Policy has a limitation of 75 % of the portfolio
with a single issuer limit of 25 % of the portfolio.
' - As authorized in Government i
sue. Bankers Acceptances t Code Section 53601 (f),
40% of the portfolio may be invested in Bankers' Acceptances, although no
r G, more than 30% of the portfolio may be invested in Bankers Acceptances with
any one commercial bank. Additionally, the maturity period cannot exceed 270
days; however, Bankers' Acceptances are seldom marketed with maturities in
excess of 180 days. The City of La Quinta Investment Policy does not allow
investment in Bankers' Acceptances.
Commercial Paper - As authorized in Government Code Section 53601(g), 15%
of the portfolio may be invested in commercial paper of the highest rating (A-1
or P-1) as rated by Moody's or Standard and Poor's, with maturities not to
exceed 180 days. This percentage may be increased to 30% if the dollar
weighted average maturity does not exceed 31 days. There are a number of
other qualifications regarding investments in commercial paper based on the
financial strength of the corporation and the size of the investment. The City
of La Quinta's Investment Policy follows The Government Code with the
following additional limitations: (1) maximum maturity per issue of 90 days and
a (2) maximum of $2 million per issuer.
Negotiable Certificates of Dept - As authorized in Government Code Section
53601(h), 30% of the portfolio may be invested in negotiable certificates of
deposit issued by commercial banks and savings and loan associations. The
City of La Quinta Investment Policy does not allow investment in Negotiable
Certificates of Deposit.
10
Repurchase and Reverse Repurchase Agreements - As authorized in Government
Code Section 53601(i), these investment vehicles are agreements between the
local agency and seller for the purchase of government securities to be resold
at a specific date and for a specific amount. Repurchase agreements are
generally used for short term investments varying from one day to two weeks.
There is no legal limitation on the amount of the repurchase agreement.
However, the maturity period cannot exceed one year. The market value of
securities underlying a repurchase agreement shall be at least 102% of the
funds invested and shall be valued at least quarterly. The City of La Quinta
Investment Policy does not allow investment in Repurchase Agreements.
The term "reverse repurchase agreement" means the sale of securities by the
local agency pursuant to an agreement by which the local agency will
repurchase such securities on or before a specific date and for a specific
amount. As provided in Government Code Section 53635, reverse repurchase
agreements require the prior approval of the City Council. The City of La Quinta
Investment Policy does not allow investment in Reverse Repurchase
Agreements.
Corporate Notes - As authorized in Government Code Section 53601 (j), local
agencies may invest in corporate notes for a maximum period of five years in
an amount not to exceed 30% of the agency's portfolio. The notes must be
issued by corporations organized and operating in the United States or by
depository institutions licensed by the United States or any other state and
operating in the United States. The City of La Quinta Investment Policy does
not allow investment in corporate notes.
Diversified Management Companies - As authorized in Government Code
Section 53601 (k), local agencies are authorized to invest in shares of
beneficial interest issued by diversified management companies (mutual funds)
in an amount not to exceed 20% of the agency's portfolio. There are a number
of other qualifications and restrictions regarding allowable investments in
corporate notes and shares of beneficial interest issued by mutual funds which
include (1) attaining the highest ranking or the highest letter and numerical
rating provided by not less than two of the three largest nationally recognized
rating services, or (2) having an investment advisor registered with the
Securities and Exchange Commission with not less than five years' experience
investing in the securities and obligations and with assets under management
in excess of five hundred million dollars ($500,000,000). The City of La
Quinta Investment Policy only allows investments in mutual funds that are
money market funds maintaining a par value of $1 per share that invests in
direct issues of the U. S. Treasury and/or US Agency Securities with an average
maturity of their portfolio not exceeding 90 days and the City limits such
investments to 20% of the portfolio.
11
Mortgage -Backed Securities - As authorized in Government code Section
53601(n), local agencies may invest in mortgage -backed securities such as
mortgage pass -through securities and collateralized mortgage obligations for a
maximum period of five years in an amount not to exceed 20% of the agency's
portfolio. Securities eligible for investment shall have a "A" or higher rating.
The City of La Quinta Investment Policy does not allow investment in Mortgage -
Backed Securities.
Financial Futures and Financial Option Contracts - As authorized in Government
Code Section 53601.1, local agencies may invest in financial futures or option
contracts in any of the above investment categories subject to the same overall
portfolio limitations. The City of La Quinta Investment Policy does not allow
investments in financial futures and financial option contracts.
Certificates of Deposit - As authorized in Government Code Section 53649,
Certificates of Deposit are fixed term investments which are required to be
collateralized from 1 10% to 150% depending on the specific security pledged
as collateral in accordance with Government Code Section 53652. There are
no portfolio limits on the amount or maturity for this investment vehicle.
Collateral ization will be required for Certificates of Deposits in excess of the
FDIC insured amount. The type of collateral is limited to City authorized
investments. Collateral will always be held by an independent third party from
the institution that sells the Certificates of Deposit to the City. Evidence of
compliance with State Collateralization policies must be supplied to the City and
retained by the City Treasurer as follows:
1 . Certificates of Deposits Insured by the FDIC.
The City Treasurer may waive collateral ization of a deposit that is
federally insured.
2. Certificates of Deposit in excess of FDIC Limits.
The amount not federally insured shall be 110% collateralized by
securities or 150% mortgages market value of that amount of invested
funds plus unpaid interest earnings.
The City of La Quinta Investment Policy limits the percentage of Certificates of
Deposit to 60% of the portfolio.
Sweep Accounts - As authorized by the City Council, a U.S. Treasury and/or
U.S. Agency Securities Money Market Sweep Account with a $50,000 target
balance may be maintained in conjunction with the checking account.
12
Derivatives - The City of La Quinta Investment Policy does not allow
investment in derivatives.
There are three (3) types of investment pools: 1) state -run pools, 2) pools that are
operated by a political subdivision where allowed by law and the political subdivision
is the trustee i.e. County Pool; and 3) pools that are operated for profit by third parties.
The City of La Quinta Investment Policy has authorized investment with the State of
California's Treasurers Office Local Agency Investment Fund commonly referred to as
LAIF. LAIF was organized in 1977 through State Legislation Section 16429.1, 2 and
3. Each.LAIF account is restricted to a maximum investable limit of $30 million. In
addition, LAIF will provide quarterly market value information to the City of La Quinta.
On an annual basis the City Treasurer will submit the Investment Pool Questionnaire
to LAIF.
Also, prior to opening any new Investment Pool account, which would require City
Council approval, the City Treasurer will require the completion of the Investment Pool
Questionnaire.
The City does not allow investments with any other Investment Pool - County Pools
or Third Party Pools.
• 10
All security transactions of the City of La Quinta Investment Policy shall be conducted
on a delivery - versus - payment (DVP) basis. Securities will be held by a third party
custodian designated by the City Treasurer and evidenced by safekeeping receipts.
Deposits and withdrawals of money market mutual funds and LAIF shall be made
directly to the entity and not to an investment advisor, broker or dealer. Money
market mutual funds and LAIF shall also operate on a DVP basis to be considered for
investment.
Interest earnings is generated from pooled investments and specific investments.
1. Pooled Investments - It is the general policy of the City to pool all available
operating cash of the City of La Quinta, La Quinta Redevelopment Agency and
La Quinta Financing Authority and allocate interest earnings, in the following
order, as follows:
13
A. Payment to the General Fund of an amount equal to the total annual bank
service charges as incurred by the general fund for all operating funds as
included in the annual operating budget.
B. Payment to the General Fund of a management fee equal to 5 % of the
annual pooled cash fund investment earnings.
C. Payment to each fund of an amount based on the average computerized
daily cash balance included in the common portfolio for the earning
period.
2. Specific Investments - Specific investments purchased by a fund shall incur all
earnings and expenses to that particular fund.
The City Treasurer shall establish a system of internal controls to accomplish the
following objectives:
► Safeguard assets;
► The orderly and efficient conduct of its business, including adherence to
management policies;
► Prevention or detection of errors and fraud;
► The accuracy and completeness of accounting records; and,
► Timely preparation of reliable financial information.
While no internal control system, however elaborate, can guarantee absolute assurance
that the City's assets are safeguarded, it is the intent of the City's internal control to
provide a reasonable assurance that management of the investment function meets the
City's objectives.
The internal controls shall address the following:
a. Control of collusion. Collusion is a situation where two or more employees are
working in conjunction to defraud their employer.
b. Separation of transaction authority from accounting and record keep* g. By
separating the person who authorizes or performs the transaction from the
people who record or otherwise account for the transaction, a separation of
duties is achieved.
C. Custodial safekeeping. Securities purchased from any bank or dealer including
appropriate collateral (as defined by State Law) shall be placed with an
independent third party for custodial safekeeping.
iv,
d. Avoidance of physical delivery securities. Book entry securities are much easier
to transfer and account for since actual delivery of a document never takes
place. Delivered securities must be properly safeguarded against loss or
destruction. The potential for fraud and loss increases with physically delivered
securities.
e. Clear delegation of authority to subordinate staff members. Subordinate staff
members must have a clear understanding of their authority and responsibilities
to avoid improper actions. Clear delegation of authority also preserves the
internal control structure that is contingent on the various staff positions and
their respective responsibilities as outlined in the Segregation of Majair
Investment Responsibilities appendices.
f. Written confirmation or telephone transactions for investments and wire
transfers. Due to the potential for error and improprieties arising from telephone
transactions, all telephone transactions shall be supported by written
communications and approved by the appropriate person. Written
communications may be via fax if on letterhead and the safekeeping institution
has a list of authorized signatures. Fax correspondence must be supported by
evidence of verbal or written follow-up.
g. Development of a wire transfer agreement with the City's bank and third pa�rty.
custodian. This agreement should outline the various controls, security
provisions, and delineate responsibilities of each party making and receiving wire
transfers.
The System of Internal Controls developed by the City, shall be reviewed annually by
the independent auditor in connection with the annual audit of the City of La Quinta's
Financial Statements.
The independent auditor's management letter comments pertaining to cash and
investments, if any, shall be directed to the City Manager who will direct the City
Treasurer to provide a written response to the independent auditor's letter. The
management letter comments pertaining to cash and investment activities and the City
Treasurer's response shall be provided to the City's Investment Advisory Board for
their consideration. Following the completion of each annual audit, the independent
auditor shall meet with the Investment Advisory Board and discuss the auditing
procedures performed and the review of internal controls for cash and investment
activities.
15
1 r 9 09 11 _ : I ►
The investment portfolio shall be designed with the objective of obtaining a rate of
return throughout budgetary and economic cycles commensurate with the investment
risk constraints and the cash flow needs of the City. Return on investment is of least
importance compared to safety and liquidity objectives.
The City of La Quinta Investment Policy will use the six month U.S. Treasury Bill as
a benchmark when measuring the performance of the investment portfolio.
SB564 section 3 requires a quarterly report to the Legislative Body of Investment
activities. The City of La Quinta Investment Advisory Board has elected to report the
investment activities to the City Council on a monthly basis through the Treasurers
Report.
The City Treasurer shall submit a monthly Treasurers Report to the City Council and
the Investment Advisory Board that includes all cash and investments under the
authority of the Treasurer.
The Treasurers Report shall summarize cash and investment activity and changes in
balances and include the following:
► A certification by City Treasurer;
► A listing of Purchases and sales/maturities of investments;
► Cash and Investments categorized by authorized investments, except for
LAIF which will be provided quarterly and show yield and maturity;
► Comparison of month end actual holdings to Investment Policy
limitations;
► Current year and prior year monthly history of cash and investments for
trend analysis;
► Balance Sheet;
► Distribution of cash and investment balances by fund;
► A comparison of actual and surplus funds;
► A year to date historical cash flow analysis and projection for the next six
months.
1 II ► • :90 1 1J ';•
The City's Investment Policy shall govern bond proceeds and bond reserve fund
investments. California Code Section 5922 (d) governs the investment of bond
proceeds and reserve funds in accordance with bond indenture provisions which shall
be structured in accordance with the City's Investment Policy.
16
The US Tax Reform Act of 1986 requires the City to perform arbitrage calculations as
required and return excess earnings to the US Treasury from investments of proceeds
of bond issues sold after the effective date of this law. This arbitrage calculations may
be contracted with an outside source. to provide the necessary technical assistance to
comply with this regulation. Investable funds subject to the 1986 Tax Reform Act will
be kept segregated from other funds and records will be kept in a fashion to facilitate
the calculations. The City's investment position relative to the new arbitrage
restrictions is to continue pursuing the maximum yield on applicable investments while
ensuring the safety of capital and liquidity. It is the City's position to continue
maximization of yield and to rebate excess earnings, if necessary.
The Investment Advisory Board (IAB) consists of seven members of the community
that have been appointed by and report to the City Council. The IAB usually meets on
a monthly basis, but at least quarterly to (1) review at least annually the City's
Investment Policy and recommend appropriate changes; (2) review monthly Treasury
Report and note compliance with the Investment Policy and adequacy of cash and
investments for anticipated obligations; (3) receive and consider other reports provided
by the City Treasurer; (4) meet with the independent auditor after completion of the
annual audit of the City's financial statements, and receive and consider the auditor's
comments on auditing procedures, internal controls and findings for cash and
investment activities, and; (5) serve as a resource for the City Treasurer on matters
such as proposed investments, internal controls, use or change of financial institutions,
custodians, brokers and dealers.
The appendices include City of La Quinta Ordinance 2.70 entitled Investment Advisory
Board Provisions.
On an annual basis, the Investment policies will be initially reviewed by the Investment
Advisory Board and the City Treasurer. The Investment Advisory Board will forward
the Investment policies, with any revisions, to the City Manager and City Attorney for
their review and comment. A joint meeting will be held with the Investment Advisory
Board, City Manager, City Attorney, and City Treasurer to review the Investment
policies and comments, prior to submission to the City Council for their consideration.
The Investment Policies shall be adopted by resolution of the City of La Quinta City
Council on an annual basis. The Investment Policies will be adopted before the end
of June of each year.
17
Appendix A
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18
Appendix B
Chapter 2.70
INVESTMENT ADVISORY BOARD PROVISIONS
Sections:
2.70.010 General Rules Regarding Appointment.
2.70.020 Board meetings.
2.70.030 Board functions.
2.70.010 General rules regarding appointment
A. Except as set out below, see Chapter 2.06 for General Provisions. _
B. The Investment Advisory Board (the "board") is a standing board composed of seven (7)
members from -the public that are appointed by city council. La Quinta residency is preferred,
but not a requirement for board members. Recruitment for members may be advertised outside
of the city".
C. Background in the investment field and/or related experience is preferred. Background
information will be required and potential candidates must agree to a background check and
verification.
D. On an annual basis, in conjunction with the Political Reform Act disclosure statutes, or at
any time if a change in circumstances warrants, each board member will provide the City
Council with a disclosure statement which identifies any matters that have a bearing on the
appropriateness of that member's service on the board. Such matters may include, but are not
limited to, changes in employment, changes in residence, or changes in clients.
2.70.020 Board meetings.
The Board usually will meet monthly, but this schedule may be extended to quarterly
meetings upon the concurrence of the Board and the City Council. The specific meeting dates
will be determined by the Board Members and meetings may be called for on an as needed basis.
2.70.030 Board functions.
A. The principal functions of the Board are: (1) review at least annually the City's Investment
Policy and recommend appropriate changes; (2) review monthly Treasury Report and note
compliance with the Investment Policy and adequacy of cash and investments for anticipated
obligations; (3) receive and consider other reports provided by the City Treasurer; (4) meet
with the independent auditor after completion of the annual audit of the City's financial
statements, and receive and consider the auditor's comments on auditing procedures, internal
controls, and findings for cash and investment activities, and; (5) serve as a resource for the
City Treasurer on matters such as proposed investments, internal controls, use or change of
financial institutions, custodians, brokers and dealers.
B. The Board will report to the City Council after each meeting either in person or through
correspondence at a regular City Council meeting.
19
Appendix C
Chapter 3.08
INVESTMENT OF MONEYS AND FUNDS
Sections:
3.08.010 Investment of city moneys and deposit of securities.
3.08.020 Authorized investments.
3.08.030 Sales of securities.
3.08.040 City bonds.
3.08.050 Reports.
3.08.060 Deposits of securities.
3.08..070 Trust fund administration.
3.08.010 Investment of city moneys and deposit of securities.
Pursuant to, and in accordance with, and to the extent allowed by, Sections
53607 and 53608 of the Government Code, the authority to invest and reinvest
moneys of the city, to sell or exchange securities, and to deposit them and provide
for their safekeeping, is delegated to the city treasurer. (Ord. 2 § 1 (part), 1982)
3.08.020 Authorized investments.
Pursuant to the delegation of authority in Section 3.08.010, the city treasurer is
authorized to purchase, at their original sale or after they have been issued, securities
which are permissible investments under any provision of state law relating to the
investing of general city funds, including but not limited to Sections 53601 and 53635
of the Government Code, as said sections now read or may hereafter be amended,
from moneys in his custody which are not required for the immediate necessities of
the city and as he may deem wise and expedient, and to sell or exchange for other
eligible securities and reinvest the proceeds of the securities so purchased. (Ord. 2 §
1 (part), 1982)
3.08.030 Sales of Securities.
From time to time the city treasurer shall sell the securities in which city moneys
have been invested pursuant to this chapter, so that the proceeds may, as appropriate,
be applied to the purchase for which the original purchase money may have been
designated or placed in the city treasury. (Ord. 2 § I (part),
3.08.040 City bonds.
Bonds issued by the city and purchased pursuant to this chapter may be canceled
either in satisfaction of sinking fund obligations or otherwise if proper and appropriate;
provided, however, that the bonds may be held uncancelled and while so held may be
resold. (Ord. 2 1 § 1 (part), 1982)
20
3.08.050 Reports.
The city treasurer shall make a monthly report to the city council of all investments
made pursuant to the authority delegated in this chapter. (Ord. 2 § 1 (part), 1982)
3.08.060 Deposits of securities.
Pursuant to the delegation of authority in Section 3.08.010, the city treasurer is
authorized to deposit for safekeeping, the securities in which city moneys have been
invested pursuant to this chapter, in any institution or depository authorized by the
terms of any state law, including but not limited to Section 53608 of the Government
Code as it now reads or may hereafter be amended. In accordance with said section,
the city treasurer shall take from the institution or depository a receipt for the
securities so deposited and shall not be responsible for the securities delivered to and
receipted for by the institution or depository until they are withdrawn therefrom by the
city treasurer. (Ord. 2 § 1 (part), 1982
3.08.070 Trust fund administration.
Any departmental trust fund established by the city council pursuant to Section
36523 of the Government Code shall be administered by the city treasurer in
accordance with Section 36523 and 26524 of the Government code and any other
applicable provisions of law. (Ord. 2 § 1 (part), 1982)
21
Appendix D
SEGREGATION OF MAJOR INVESTMENT RESPONSIBILITIES
Function
Develop formal Investment Policy
Responsibilities
City Treasurer
Recommend modifications to Investment Policy
Investment Advisory Board
Review formal Investment Policy and recommend
City Manager and
City Council action
City Attorney
Adopt formal Investment Policy
City Council
Review Financial Institutions & Select Investments
City Treasurer
Approve investments
City Manager or
Assistant City Manager
Execute investment transactions
City Treasurer
Confirm wires, if applicable
City Manager or Accounting
Manager
Record investment transactions in City's
accounting records Accounting Manager
Investment verification - match broker confirmation
to City investment records Account Technician
Reconcile investment records
- to accounting records and bank statements
- to Treasurers Report
of investments Account Technician
Security of investments at City Vault
Security of investments Outside City Third Party Custodian
Review internal control procedures External Auditor
22
Appendix E
LISTING OF APPROVED FINANCIAL INSTITUTIONS
1. Banking Services
- Wells Fargo Bank, Government Services, Los
Angeles, California
2. Custodian Services
- Bank of New York, Los Angeles, California
3. Deferred Compensation -
International City/County Management
Association
Retirement Corporation _
4. Broker/Dealer Services -
Merrill Lynch, Indian Wells, CA
Morgan Stanley Dean Witter, Los Angeles,
California
Salomon Smith Barney, Newport Beach, CA
5. Government Pool -
State of California Local Agency Investment
Fund
City of La Quinta Account
La Quinta Redevelopment Agency
6. Bond Trustees -
1991 City Hall Revenue Bonds - US Bank
1991 RDA Project Area 1 - US Bank
1992 RDA Project Area 2 - US Bank
1994 RDA Project Area 1 - US Bank
1995 RDA Project Area 1 & 2 - US Bank
Assessment Districts - US Bank
No Changes to this listing may be made without City Council approval.
p4c3
BROKER/DEALER QUESTIONNAIRE AND CERTIFICATION
1. Name of Firm:
2. Address:
0
3
Telephone: ( )
Broker's Representative to the City (attach resume):
Name:
Title:
Telephone: ( )
Appendix F
5. Manager/Partner-in-charge (attach resume) :
Name:
Title:
Telephone:
6. List all personnel who will be trading with or quoting securities to City employees
(attach resume)
Name:
Title:
Telephone: ( ) ( )
7. Which of the above personnel have read the City's Investment Policy?
8. Which instruments are offered regularly by your local office? (Must equal
100%)
% U.S. Treasuries
% BA's
% Commercial Paper
% CD's
% Mutual Funds
% Agencies (specify) :
24
% Repos
% Reverse Repos
% CMO's
% Derivatives
% Stocks/Equities
% Other (specify):
9. References -- Please identify your most directly comparable public sector
clients in our geographical area.
Entity _
Contact
Telephone ( )
Client Since
Entity
Contact
Telephone
Client Since
10. Have any of your clients ever sustained a loss on a securities transaction arising
from a misunderstanding or misrepresentation of the risk characteristics of the
instrument? If so, explain.
11. Has your firm or your local office ever been subject to a regulatory or state/ federal
agency investigation for alleged improper, fraudulent, disreputable or unfair
activities related to the sale of securities? Have any of your employees been so
investigated? If so,
explain.
12. Has a client ever claimed in writing that you were responsible for an
investment loss? Yes No If yes, please provide
action taken
Has a client ever claimed in writing that your firm was responsible for an
investment loss? Yes No If yes, please provide
action taken
25
Do y-Qu have any current, or pending complaints that are unreported to the
NASD?
Yes No If yes, please provide action taken
Does your firm have any current, or pending complaints that are unreported
to the NASD? Yes No If yes, please provide action
taken _
13. Explain your clearing and safekeeping procedures, custody and delivery process.
Who audits these fiduciary responsibilities?
Latest Audit Report Date
14. How many and what percentage of your transactions failed.
Last month? % $
Last year? % $
15. Describe the method your firm would use to establish capital trading limits for the
City of La Quinta.
16. Is your firm a member in the S.I.P.C. insurance program. Yes No
If yes, explain primary and excess coverage and carriers.
17. What portfolio information, if any, do you require from your clients?
26
18. What reports and transaction confirmations or any other research publications will
the City receive?
19. Does your firm offer investment training to your clients? Yes No
20. Does your firm have professional liability insurance. Yes No
If yes, please provide the insurance carrier, limits and expiration date.
21. Please list your NASD Registration Number
22.
Do you have any relatives who work at the City of La Quinta?
Yes No If yes, Name and Department
23. Do you maintain an office in California. Yes No
24. Do you maintain an office in La Quinta or Riverside County? Yes No
25. Please enclose the following:
• Latest audited financial statements.
• Samples of reports, transaction confirmations and any other
research/publications the City will receive.
• Samples of research reports and/or publications that your firm regularly
provides to clients.
• Complete schedule of fees and charges for various transactions.
'CERTIFICATION'
*CERTIFICATION
I hereby certify that I have personally read the Statement of Investment Policy of the City
of La Quinta, and have implemented reasonable procedures and a system of controls
designed to preclude imprudent investment activities arising out of transactions
conducted between our firm and the City of La Quinta. All sales personnel will be
routinely informed of the City's investment objectives, horizons, outlooks, strategies and
risk constraints whenever we are so advised by the City. We pledge to exercise due
diligence in informing the City of La Quinta of all foreseeable risks associated with
financial transactions conducted with our firm.
By signing this document the City of La Quinta is authorized to conduct any and all
background checks.
27
Under penalties of perjury, the responses to this questionnaire are true and accurate to
the best of my knowledge.
Broker
Date_
Sales
Date
Representative
Manager and/or
Title
Managing
Title
Partner*
Appendix G
INVESTMENT POOL QUESTIONNAIRE
Note: This Investment Pool Questionnaire was developed by the Government Finance
Officers Association (GFOA).
Prior to entering a pool, the following questions and issues should be considered.
SECURITIES
Government pools may invest in a broader range of securities than your entity invests in.
It is important that you are aware of, and are comfortable with, the securities the pool
buys.
1. Does the pool provide a written statement of Investment Policy and objectives?
2. Does the statement contain:
a. A description of eligible investment instruments?
b. The credit standards for investments?
c. The allowable maturity range of investments?
d. The maximum allowable dollar weighted average portfolio mate ity?
e. The limits of portfolio concentration permitted for each type of security?
f. The policy on reverse repurchase agreements, options, short sales and futures?
3. Are changes in the policies communicated to the pool participants?
4. Does the pool contain only the types of securities that are permitted by your
Investment Policy?
INTEREST
Interest is not reported in a standard format, so it is important that you know how
interest is quoted, calculated and distributed so that you can make comparisons with
other investment alternatives.
Interest Calculations
1. Does the pool disclose the following about yield calculations:
a. The methodology used to calculate interest? (Simple maturity, yield to maturity,
etc.)
b. The frequency of interest payments?
c. How interest is paid? (Credited to principal at the end of the month, each quarter;
mailed?)
d. How are gains/losses reported? Factored monthly or only when realized?
REPORTING
1. Is the yield reported to participants of the pool monthly? (If not, how often?)
2. Are expenses of the pool deducted before quoting the yield?
3. Is the yield generally in line with the market yields for securities in which you usually
invest?
4. How often does the pool report, and does that report include the market value of
securities?
SECURI T Y
The following questions are designed to help you safeguard your funds from loss of
principal and loss of market value.
1. Does the pool disclose safekeeping practices?
2. Is the pool subject to audit by an independent auditor?
3. Is a copy of the audit report available to participants?
4. Who makes the portfolio decisions?
5. How does the manager monitor the credit risk of the securities in the pool?
6. Is the pool monitored by someone on the board of a separate neutral party external
to the investment function to ensure compliance with written policies?
7. Does the pool have specific policies with regards to the various investment vehicles?
a. What are the different investment alternatives?
b. What are the policies for each type of investment?
8. Does the pool mark the portfolio to its market value?
9. Does the pool disclose the following about how portfolio securities are valued:
a. The frequency with which the portfolio securities are valued?
b. The method used to value the portfolio (cost, current value, or some other
method) ?
30
OPERA TONS
The answers to these questions will help you determine whether this pool meets your
operational requirements:
1. Does the pool limit eligible participants?
2. What entities are permitted to invest in the pool?
3. Does the pool allow multiple accounts and sub -accounts?
4. Is there a minimum or maximum account size?
5. Does the pool limit the number of transactions each month? What is the number of
transactions permitted each month?
6. Is there a limit on transaction amounts for withdrawals and deposits?
a. What is the minimum and maximum withdrawal amount permitted?
b. What is the minimum and maximum deposit amount permitted?
7. How much notice is required for withdrawals/deposits?
8. What is the cutoff time for deposits and withdrawals?
9. Can withdrawals be denied?
10. Are the funds 100% withdrawable at anytime?
11. What are the procedures for making deposits and withdrawals?
a. What is the paperwork required, if any?
b. What is the wiring process?
12. Can an account remain open with a zero balance?
13. Are confirmations sent following each transaction?
STA TEMENTS
It is important for you and the agency's trustee (when applicable), to receive statements
monthly so the pool's records of your activity and holding are reconciled by you and your
trustee.
31
1. Are statements for each account sent to participants?
a. What are the fees?
b. How often are they passed?
c. How are they paid?
d. Are there additional fees for wiring funds (what is the fee)?
2. Are expenses deducted before quoting the yield?
QUESTIONS TO CONSIDER FOR BOND PROCEEDS
It is important to know (1) whether the pool accepts bond proceeds and (2) whether the
pool qualifies with the U.S. Department of the Treasury as an acceptable commingled
fund for arbitrage purposes.
1. Does the pool accept bond proceeds subject to arbitrage rebate?
2. Does the pool provide accounting and investment records suitable for proceeds of
bond issuance subject to arbitrage rebate?
3. Will the yield calculation reported by the pool be acceptable to the IRS or will it have
to be recalculated?
4. Will the pool accept transaction instructions from a trustee?
5. Are you allowed to have separate accounts for each bond issue so that you do not
commingle the interest earnings of funds subject to rebate with funds not subject to
regulations?
32
Appendix H
GLOSSARY
(Adopted from the Municipal Treasurers Association)
The purpose of this glossary is to provide the reader of the City of La Quinta investment
policies with a better understanding of financial terms used in municipal investing.
AGENCIES: Federal agency securities and/or
Government -sponsored enterprises.
ASKED: The price at which securities are offered.
BANKERS' ACCEPTANCE (BA): A draft or bill of
exchange accepted by a bank or trust company.
The accepting institution guarantees payment of
the bill, as well as the issuer.
BID: The price offered by a buyer of securities.
(When you are selling securities, you ask for a
bid.) See Offer.
BROKER: A broker brings buyers and sellers
together for a commission.
CERTIFICATE OF DEPOSIT (CD): A time deposit
with a specific maturity evidenced by a
certificate. Large -denomination CD's are typically
negotiable.
COLLATERAL: Securities, evidence of deposit or
other property which a borrower pledges to
secure repayment of a loan. Also refers to
securities pledged by a bank to secure deposits
of public monies.
COMMERCIAL PAPER: Short-term unsecured
promissory notes issued by a corporation to raise
working capital. These negotiable instruments
are purchased at a discount to par value or at par
value with interest bearing. Commercial paper is
issued by corporations such as General Motors
Acceptance Corporation, IBM, Bank America, etc.
COMPREHENSIVE ANNUAL FINANCIAL REPORT
(CAFR): The official annual report for the City of
La Quinta. It includes five combined statements
for each individual fund and account group
prepared in conformity with GAAP. It also
includes supporting schedules necessary to
demonstrate compliance with finance -related
legal and contractual provisions, extensive
introductory material, and a detailed Statistical
Section.
COUPON: (a) The annual rate of interest that a
bond's issuer promises to pay the bondholder on
the bond's face value. (b) A certificate attached
to a bond evidencing interest due on a payment
date.
DEALER: A dealer, as opposed to a broker, acts
as a principal in all transactions, buying and
selling for his own account.
DEBENTURE: A bond secured only by the general
credit of the issuer.
DELIVERY VERSUS PAYMENT: There are
two methods of delivery of securities: delivery
versus payment and delivery versus receipt.
Delivery versus payment is delivery of securities
with an exchange of money for the securities.
Delivery versus receipt is delivery of securities
with an exchange of a signed receipt for the
securities.
DERIVATIVES: (1) Financial instruments whose
return profile is linked to, or derived from, the
movement of one or more underlying index or
security, and may include a leveraging factor, or
(2) financial contracts based upon notional
33
amounts whose value is derived from an
underlying index or security (interest rates,
foreign exchange rates, equities or commodities).
DISCOUNT: The difference between the cost
price of a security and its maturity when quoted
at lower than face value. A security selling 3.
below original offering price shortly after sale
also is considered to be at a discount.
DISCOUNT SECURITIES: Non -interest bearing
money market instruments that are issued a
discount and redeemed at maturity for full face
value, e.g., U.S. Treasury Bills.
DIVERSIFICATION: Dividing investment funds
among a variety of securities offering
independent returns.
FEDERAL CREDIT AGENCIES: Agencies of the
Federal government set up to supply credit to
various classes of institutions and individuals,
e.g., S&L's, small business firms, students,
farmers, farm cooperatives, and exporters.
1. FNMAs (Federal National Mortgage
Association) - Used to assist the home
mortgage market by purchasing mortgages
insured by the Federal Housing
Administration and the Farmers Home
Administration, as well as those guaranteed by
the Veterans Administration. They are issued in
various maturities and in minimum denominations
of $10,000. Principal and Interest is paid
monthly.
2. FHLBs (Federal Home Loan Bank Notes and
Bonds) - Issued by the Federal Home Loan
Bank System to help finance the housing
industry. The notes and bonds provide
liquidity and home mortgage credit to savings
and loan associations, mutual savings banks,
cooperative banks, insurance companies, and
mortgage -lending institutions. They are
issued irregularly for various maturities. The
minimum denomination is $5,000. The notes
34
are issued with maturities of less than one
year and interest is paid at maturity. The
bonds are issued with various maturities and
carry semi-annual coupons. Interest is
calculated on a 360-day, 30-day month basis.
FLBs (Federal Land Bank Bonds) - Long-term
mortgage credit provided to farmers by Federal
Land Banks. These bonds are issued at
irregular times for various maturities ranging
from a few months to ten years. The
minimum denomination is $1,000. They carry
semi-annual coupons. Interest is calcurated on
a 360-day, 30 day month basis.
4. FFCBs (Federal Farm Credit BanL - Debt
instruments used to finance the short and
intermediate term needs of farmers and the
national agricultural industry. They are issued
monthly with three- and six-month maturities.
The FFCB issues larger issues (one to ten year)
on a periodic basis. These issues are highly
liquid.
5. FICBs (Federal Intermediate Credit bank
Debentures) - Loans to lending institutions
used to finance the short-term and
intermediate needs of farmers, such as
seasonal production. They are usually issued
monthly in minimum denominations of $3,000
with a nine -month maturity. Interest is
payable at maturity and is calculated on a
360-day, 30-day month basis.
6. FHLMCs (Federal Home Loan Mortgage
Corporation) - a government sponsored entity
established in 1970 to provide a secondary
market for conventional home mortgages.
Mortgages are purchased solely from the
Federal Home Loan Bank System member
lending institutions whose deposits are insured
by agencies of the United States Government.
They are issued for various maturities and in
minimum denominations of $10,000.
Principal and Interest is paid monthly.
Other federal agency issues are Small
Business Administration notes (SBAs),
Government National Mortgage Association
notes (GNMAs), Tennessee Valley Authority
notes (TVAs), and Student Loan Association
notes (SALLIE-MAEs).
FEDERAL DEPOSITOR INSURANCE
CORPORATION (FDIC): A federal agency that
insures bank deposits, currently up to $100,000
per deposit.
FEDERAL FUNDS RATE: The rate of interest at
which Fed funds are traded. This rate is
currently pegged by the Federal Reserve through
open -market operations.
FEDERAL HOME LOAN BANKS (FHLB):
Government sponsored wholesale banks
(currently 12 regional banks) which lend funds
and provide correspondent banking services to
member commercial banks, thrift institutions,
credit unions and insurance companies. The
mission of the FHLBs is to liquefy the housing
related assets of its members who must purchase
stock in their district Bank.
FEDERAL OPEN MARKET COMMITTEE (FOMC):
Consists of seven members of the Federal
Reserve Board and five of the twelve Federal
Reserve Bank Presidents. The President of the
New York Federal Reserve Bank is a permanent
member, while the other Presidents serve on a
rotating basis. The Committee periodically meets
to set Federal Reserve guidelines regarding
purchases and sales of Government Securities in
the open market as a means of influencing the
volume of bank credit and money.
FEDERAL RESERVE SYSTEM: the central bank of
the United States created by Congress and
consisting of a seven member Board of
Governors in Washington, D.C., 12 regional
banks and about 5,700 commercial banks that
are members of the system.
35
GOVERNMENT NATIONAL MORTGAGE
ASSOCIATION (GNMA or Ginnie Mae): Securities
influencing the volume of bank credit guaranteed
by GNMA and issued by mortgage bankers,
commercial banks, savings and loan associations,
and other institutions. Security holder is protected
by full faith and credit of the U.S. Government.
Ginnie Mae securities are backed by the FHA, VA
or FMHM mortgages. The term "passthroughs" is
often used to describe Ginnie Maes.
LAIF (Local Agency Investment Fund) - A special
fund in the State Treasury which local agencies
may use to deposit funds for investment. There
is no minimum investment period and the
minimum transaction is $ 5,000, in multiples of
$1,000 above that, with a maximum balance of
$30,000,000 for any agency. The City is
restricted to a maximum of ten transactions per
month. It offers high liquidity because deposits
can be converted to cash in 24 hours and no
interest is lost. All interest is distributed to those
agencies participating on a proportionate share
basis determined by the amounts deposited and
the length of time they are deposited. Interest is
paid quarterly. The State retains an amount for
reasonable costs of making the investments, not
to exceed one -quarter of one percent of the
earnings.
LIQUIDITY: A liquid asset is one that can be
converted easily and rapidly into cash without a
substantial loss of value. In the money market, a
security is said to be liquid if the spread between
bid and asked prices is narrow and reasonable size
can be done at those quotes.
LOCAL GOVERNMENT INVESTMENT POOL
(LGIP): The aggregate of all funds from political
subdivisions that are placed in the custody of the
State Treasurer for investment and reinvestment.
MARKET VALUE: The price at which a security is
trading and could presumably be purchased or
sold.
MASTER REPURCHASE AGREEMENT: A written
contract covering all future transactions between
the parties to repurchase --reverse repurchase
agreements that establishes each party's rights in
the transactions. A master agreement will often
specify, among other things, the right of the
buyer -lender to liquidate the underlying securities
in the vent of default by the seller -borrower.
MATURITY: The date upon which the principal or
stated value of an investment becomes due and
payable
MONEY MARKET: The market in which short-
term debt instruments (bills, commercial paper,
banders' acceptances, etc.) are issued and
traded.
OFFER: The price asked by a seller of securities.
(When you are buying securities, you ask for an
offer.) See Asked and Bid.
OPEN MARKET OPERATIONS: Purchases and
sales of government and certain other securities
in the open market by the New York Federal
Reserve Bank as directed by the FOMC in order
to influence the volume of money and credit in
the economy. Purchases inject reserves into the
bank system and stimulate growth of money and
credit; sales have the opposite effect. Open
market operations are the Federal Reserve's most
important and most flexible monetary policy tool.
PORTFOLIO: Collection of all cash and securities
under the direction of the City Treasurer,
including Bond Proceeds.
PRIMARY DEALER: A group of government
securities dealers who submit daily reports of
market activity an depositions and monthly
financial statements to the Federal Reserve Bank
of New York and are subject to its informal
oversight. Primary dealers include Securities and
Exchange Commission (SEC) -registered securities
broker -dealers, banks and a few unregulated
firms.
36
QUALIFIED PUBLIC DEPOSITORIES: A financial
institution which does not claim exemption from
the payment of any sales or compensating use or
ad valorem taxes under the laws of this state,
which has segregated for the benefit of the
commission eligible collateral having a value of not
less than its maximum liability and which has been
approved by the Public Deposit Protection
Commission to hold public deposits.
RATE OF RETURN: The yield obtainable on a
security based on its purchase price or its current
market price. This may be the amortized yield to
maturity on a bond the current income return.
REPURCHASE AGREEMENT (RP OR REPO): A
repurchase agreement is a short-term investment
transaction. Banks buy temporarily idle funds
from a customer by selling U.S. Government or
other securities with a contractual agreement to
repurchase the same securities on a future date.
Repurchase agreements are typically for one to
ten days in maturity. The customer receives
interest from the bank. The interest rate reflects
both the prevailing demand for Federal funds and
the maturity of the repo. Some banks will
execute repurchase agreements for a minimum of
$100,000 to $ 500,000, but most banks have a
minimum of $1,000,000.
REVERSE REPURCHASE AGREEMENTS (RRP or
RevRepo) - A holder of securities sells these
securities to an investor with an agreement to
repurchase them at a fixed price on a fixed date.
The security "buyer" in effect lends the "seller"
money for the period of the agreement, and the
terms of the agreement are structured to
compensate him for this. Dealers use RRP
extensively to finance their positions. Exception:
When the Fed is said to be doing RRP, it is lending
money, that is, increasing bank reserves.
SAFEKEEPING: A service to customers rendered
by banks for a fee whereby securities and
valuables of all types and descriptions are held in
the bank's vaults for protection.
SECONDARY MARKET: A market made for the
purchase and sale of outstanding issues following
the initial distribution.
SECURITIES & EXCHANGE COMMISSION:
Agency created by Congress to protect investors
in securities transactions by administering
securities legislation.
SEC RULE 15C3-1: See Uniform Net Capital Rule.
STRUCTURED NOTES: Notes issued by
Government Sponsored Enterprises (FHLB,
FNMAS, SLMA, etc.) And Corporations which
have imbedded options (e.g., call features, step-
up coupons, floating rate coupons, derivative -
based returns) into their debt structure, Their
market performance is impacted by the
fluctuation of interest rates, the volatility of the
imbedded options and shifts in the Shape of the
yield curve.
SURPLUS FUNDS: Section 53601 of the
California Government Code defines surplus
funds as any money not required for immediate
necessities of the local agency.
The City has defined immediate necessities to be
payment due within one week.
TREASURY BILLS: A non -interest bearing
discount security issued by the U.S. Treasury to
finance the national debt. Most bills are issued
to mature in three months, six months, or one
year.
TREASURY BONDS: Long-term coupon -bearing
U.S. Treasury securities issued as direct
obligations of the U.S. Government and having
initial maturities of more than 10 years.
TREASURY NOTES: Medium -term coupon -bearing
U.S. Treasury securities issued as direct
obligations of the U.S. Government and having
initial maturities from two to 10 years.
37
UNIFORM NET CAPITAL RULE: Securities and
Exchange Commission requirement that member
firms as well as nonmember broker -dealers in
securities maintain a maximum ratio of
indebtedness to liquid capital of 15 to 1; also
called net capital rule and net capital ratio.
Indebtedness covers all money owed to a firm,
including margin loans and commitments to
purchase securities, one reason new public issues
are spread among members of underwriting
syndicates. Liquid capital includes cash and
assets easily converted into cash.
UNIFORM PRUDENT INVESTOR ACT: The State
of California has adopted this Act. The Act
contains the following sections: duty of care,
diversification, review of assets, costs,
compliance determinations, delegation of
investments, terms of prudent investor rule, and
application.
YIELD: The rate of annual income return on an
investment, expressed as a percentage. (a)
INCOME YIELD is obtained by dividing the current
dollar income by the current market price for the
security. (b) NET YIELD or YIELD TO MATURITY
is the current income yield minus any premium
above par of plus any discount from par in
purchase price, with the adjustment spread over
the period from the date of purchase to the date
of maturity of the bond.
INVESTMENT ADVISORY BOARD Correspondence & Written
Material Item A
Meeting Date: March 14, 2001
TITLE:
Month End Cash Report - February 2001 and
Other selected Financial Data
This cash report is not a complete Treasury Report (exclude petty cash, deferred
compensation and fiscal agent balances, but would report in a timely fashion
selected cash balances.
Information item only.
JOn M. Falcondr, Finance Director
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PMIA/LAIF Investment
y Portfolio
The CMTA Board of Directors had
_ discussed the potential use of LAIF
funds in support of the State
— Treasurer's "Double Bottom
Line Program" at the September
Board meeting. This topic was also
discussed at the LAIF ConA renc•e.
The following is reprinted with
permission from the LAIF newsletter
and explains the State Treasurer's position.
The Investment Policy for the Pooled
Money Investment Account (PMIA)/Local
Agency Investment Fund (LAIF) governs the
broader goals of the Portfolio. The Policy rarely
changes, however, the investment strategies of
the Portfolio shift over time, dictated by various
—Continued on page 5
`r
t' 1i1I11lliyulLL�
Wood,�
PMIA/LAIF Investment Portfolio.... --continued from page 1
market dynamics. Some LAIF participants have
inquired about the increased percentage
allocations of certain asset classes within the
Portfolio, such as the Time Deposit Program.
The Time Deposit, Small Business
Administration Loan and Collateralized
Mortgage Obligation Programs offer prudent
investment opportunities to the Portfolio, while
also meeting some of the State Treasurer's
program goals of helping local under -served
communities. These three programs are
highlighted below:
The Time Deposit Program places
collateralized deposits in community banks in
California, which helps to stimulate growth in
our local communities. These Time Deposits, in
turn, provide a safe return to the portfolio above
treasury rates. Each Time Deposit is reviewed
and must meet specific credit requirements.
Consideration is given to Community
Reinvestment Act ratings, however, they also
must meet our credit requirements. As required
by law, all deposits over $100,000 are
adequately collateralized at 11.0% or higher with
appropriate securities. The Time Deposit
Program balance on 8/31/00-was $3.868 billion
or about 9.5% of the Time Deposit asset class. In
the early years of the LAIF this percentage
reached as high as 23%.
The Small Business Administration
(SBA) Loan Program purchases
California -only securitized small business
loans, concentrating on low -to -moderate
income areas. These loans are fully guaranteed
by the United States Government and provide a
yield pickup to , short-term treasuries.
,Ndd;tionaliv. the coupons are• ,idiii�t-d
quarterly, which provides price stability. The
SBA Program was $314 million or slightly less
than 1% of the Portfolio on 8.3/00, which is
under the Agency Notes asset class.
The Collateralized Mortgage Obligation
(CMO) Program purchases mortgage -backed
bonds that are separated into different maturity
classes called tranches. This Program is a
significant piece of the PMIA/LAIF Mortgage
(MBS) and Federal Home Loan Mortgage
Corporation (FHLMC) asset classes. The
underlying mortgages in this Program are
California -only loans with a significant majority
of those loans representing low and
moderate -income neighborhoods. Additionally,
these CMO bonds are ensured as to the timely
payment of principal and interest by either
FHLMC or Federal National Mortgage
Association (FNMA). While these securities are
less liquid than treasuries, they meet the
Portfolio's five-year average life criteria and
provide attractive yield spreads to treasuries. We
typically receive —120 to 130 basis points over
the treasuries, depending upon the yield curve.
The CMO Program on 8/31/00 was $423 million
or 1 % of the Portfolio. Over the years, there have
been various dedicated mortgage programs in
the Portfolio.
Questions regarding this information may
be directed to William Sherwood or Daniel
Dowell at (916) 653-3147.
FRB: H.15--Selected Interested Rate ... b-Only Daily Update- March 2, 2001
http://www.federaireserve.gov/Releases/H 15/update
Federal Reserve Statistical Release
H.15
Selected Interest Rates
Release Date: March 2, 2001
H.15: Release ( Release dates I About I ASCII ( Historical data I Daily update
H.15 Daily Update
The weekly release is posted on Monday. Daily updates of the weekly release are posted
Tuesday through Friday on this site.
H.15 DAILY UPDATE: WEB RELEASE ONLY
SELECTED INTEREST RATES
Yields in percent per annum
Instruments
SELECTED INTEREST RATES
Federal funds (effective) 1 2 3
Commercial paper 3 4 5 6
Nonfinancial
1-month
2-month
3-month
Financial
1-month
2-month
3-month
CDs (secondary market) 3 7
1-month
3-month
6-month
Eurodollar deposits (London) 3 8
1-month
3-month
6-month
Barrk prime loan 2 3 9
Discount window borrowing 2 10
U.S. Government securities
Treasury bills (secondary market) 3 4
3-month
6-month
1-year
Treasury constant maturities 11
3-month
For immediate release
March 2, 2001
Mon Tue Wed Thu
Feb 26 Feb 27 Feb 28 Mar 1
5.55
5.49
5.59
5.59
5.24
5.19
5.14
5.23
5.13
5.03
4.99
5.06
5.02
4.95
4.87
4.95
5.26
5.18
5.11
5.29
5.15
5.08
5.00
5.05
5.15
5.00
4.91
4.93
5.31
5.21
5.20
5.26
5.10
5.01
5.01
5.02
4.95
4.85
4.87
4.88
5.25
5.18
5.13
5.25
5.09
5.02
4.97
5.04
4.94
4.84
4.82
4.89
8.50
8.50
8.50
8.50
5.00
5.00
5.00
5.00
4.71
4.70
4.73
4.72
4.50
4.47
4.53
4.51
4.35
4.27
4.27
4.25
4.81
4.82
4.85
4.84
1 of 3 03/05/2001 8:49 AM
FRB: H.15--Selected Interested Rate ... b-Only Daily Update-- March 2, 2001
http://www.federaireserve.gov/Releases/H 15iupdate
6-month
1-year
2-year
3-year
5-year
7-year
10-year
20-year
30-year
Interest rate swaps 12
1-year
2-year
3-year
4-year
5-year
7-year
10-year
30-year
Corporate bonds
Moody's seasoned
Aaa
Baa
State & local bonds 13
Conventional mortgages 14
4.69
4.64
4.70
4.68
4.48
4.47
4.47
4.45
4.46
4.44
4.41
4.41
4.54
4.51
4.48
4.48
4.81
4.75
4.70
4.67
5.05
4.97
4.93
4.88
5.05
4.96
4.92
4.87
5.62
5.51
5.51
5.45
5.45
5.34
5.34
5.29
4.97
4.89
4.94
4.91
5.15
5.06
5.08
5.05
5.36
5.25
5.27
5.22
5.53
5.40
5.41
5.35
5.66
5.52
5.51
5.46
5.86
5.70
5.69
5.62
6.07
5.87
5.84
5.76 _
6.36
6.20
6.17
6.07
7.09
6.98
6.97
6.93
7.94
7.82
7.80
7.75
FOOTNOTES
1. The daily effective federal funds rate is a weighted average of rates
on trades through N.Y. brokers.
2. Weekly figures are averages of 7 calendar days ending on Wednesday of
the current week; monthly figures include each calendar day in the
month.
3. Annualized using a 360-day year or bank interest.
4. On a discount basis.
5. Interest rates interpolated from data on certain commercial paper
trades settled by The Depository Trust Company. The trades represent
sales of commercial paper by dealers or direct issuers to investors
(that is, the offer side). See Board's Commercial Paper Web pages
(http://www.federalreserve.gov/releases/cp) for more information.
6. The 1-, 2-, and 3-month rates are equivalent to the 30-, 60-, and
90-day dates reported on the Board's Commercial Paper Web page.
7. An average of dealer offering rates on nationally traded certificates
of deposit.
8. Bid rates for Eurodollar deposits collected around 9:30 a.m. Eastern time.
9. Rate posted by a majority of top 25 (by assets in domestic offices)
insured U.S.-chartered commercial banks. Prime is one of several base
rates used by banks to price short-term business loans.
10. Rate for the Federal Reserve Bank of New York.
11. Yields on actively traded issues adjusted to constant maturities.
Source: U.S. Treasury.
12. International Swaps and Derivatives Association (ISDA) mid -market
par swap rates. Rates are for a Fixed Rate Payer in return for
receiving three month LIBOR, and are based on rates collected at
11:00 a.m. by Garban Intercapital plc and published on Reuters
Page ISDAFIXI. Source: Reuters Limited.
13. Bond Buyer Index, general obligation, 20 years to maturity, mixed
quality; Thursday quotations.
17
2 of 3 03/05/2001 8:49 AM
FRB: H.15--Selected Interested Rate...b-Only Daily Update-- March 2, 2001 http://www.federalreserve.gov/Releases/H 15/update,
14. Contract interest rates on commitments for fixed-rate first mortgages.
Source: FHLMC.
DESCRIPTION OF THE TREASURY CONSTANT KATURITY SERIES
Yields on Treasury securities at "constant maturity" are interpolated
by the U.S. Treasury from the daily yield curve. This curve, which
relates the yield on a security to its time to maturity, is based on
the closing market bid yields on actively traded Treasury securities in
the over-the-counter market. These market yields are calculated from
composites of quotations obtained by the Federal Reserve Bank of New
York. The constant maturity yield values are read from the yield curve
at fixed maturities, currently 3 and 6 months and 1, 2, 3, 5, 7, 10, 20,
and 30 years. This method provides a yield for a 10-year maturity, for
example, even if no outstanding security has exactly 10 years remaining _
to maturity. In estimating the 20-year constant maturity, the Treasury
incorporates the prevailing market yield on an outstanding Treasury bond
with approximately 20 years remaining to maturity.
H.15: Release I Release dates I About ( ASCII I Historical data I Daily update
Home ( Statistical releases
To comment on this site, please fill out our feedback form.
Last update: March 2, 2001
1�
3 of 3 03/05/2001 8:49 AM
FRB:Commercial Paper Rates and Outstandings
http://www.federaireserve.gov/Releases/"CP
Federal Reserve Release
Commercial Paper
Release I About I OutstandiM I Historical discount rates I Historical outstandines
Data as of March 2, 2001 volume
Commercial Paper Rates and Outstandings Statistics
p 2000:04
Derived from data supplied by The Depository Trust Company j
Posted March 5, 2001
Discount rates
Term
AA
financial
AA
nonfinancial
A2/P2
nonfinancial
1-day
5.51
5.50
6.08
7-da y
5.46
47
i
6.00
15-day `
5.46
5.42
1 5.97
30-day
5.24
5:21
5.93
60-day
5.02
I 5.02
I
5.90
i 90-day
4.95
4.90
5.88
Yield curve
Money market basis
Percent
6.2
6.0
5.8
5.6
5.4
5.2
5.0
4.8
1 7 15 3D 8D 90
Days to went u Rry
Finnnc'on I---Nonfinc new I ••••• A2/P2
Discount rate spread
Thirty -day A2/P2 less AA nonfinancial commercial paper (daily)
01 MAY98 17 NOV98 051 U N99 22D EC99 09J U LJ0 25JAN 01
-- — A2/P2 spread, 5—day wooing average
Basis points
1510
140
130
120
110
100
90
80
70
60
50
40
30
20
10
13AU CAD 1
9
1 of 3
03/05/2001 8:48 AM
FR&Commercial Paper Rates and Outstandings
Discount rate history
Thirty -day commercial paper (daily)
A No.#
we%y •r �V
01 MAY98 17NOV98 05JUN99 220EC99 09JUL00
_ F na neio l — — — Nonf ine neia I A2/P2
Outstandings
Weekly (Wednesday), seasonally adjusted
Billions of dollars
i .YJ"D
1ZO 0
1100
1 IYZI0
251 AN01
http://www.federalreserve.gov/Releases/CP
Percent
8
7
6
5 _
1—%U G01
Billions of dollars
360
�0
34-0
33;0
�20
300
290
280
270
260
250
240
220
210
�00
01 MAY98 17 NOV98 05J U N 99 220 EC99 09J U L00 25JAN01 13AU G01
Fina ncia I — — — Nonfina nc a I
The daily commercial paper release will usually be available before 11:00am EST. However, the
Federal Reserve makes no guarantee regarding the timing of the daily commercial paper release.
When the Federal Reserve is closed on a business day, yields for the previous business day will
appear in the historical discount rates table. This policy is subject to change at any time without
notice.
10
2 of 3 03/05/2001 8:48 AM
FRB:Commercial Paper Rates and Outstandings http://www.federalreserve.gov/Releases,CII
Commercial paper outstanding
Commercial paper outstanding, miscellaneous categories
Release ( About I Outstandings ( Historical discount rates I Historical outstandinQs
Home I Statistical releases
To comment on this site, please fill out our feedback form.
Last update: March 5, 2001
11
3 of 3 03/05/2001 8:48 AM
LAIF Performance Report http: /www.treasurer.ca.go�,,/Iaif/perfomiance.htn
Philip Angelides, State Treasurer
Inside the State Treasurer's Office
Local Agency Investment Fund
LAIF Performance Report
Reporting Date:
Effective Date:
Quarter Yield:
Daily:
Year:
Life. -
Quarter Ending 12/31/00
Apportionment Rate:
Earnings Ratio:
Fair Value Factor:
Monthly Average For February:
02/28/01
02/28/01
6.27%
6.07%
6.44%
194
6.52%
.00017854626707555
1.012836187
6.169%
.12
l of 2
03/05/2001 8:50 AM
LAIF Performance Report http://www.treasurer.ca.gov/laif/performance.litm
Corporate
Bonds
5.46%
Commercial
Paper
25.51 %
Pooled Money Investment Account
Portfolio Composition*
$48.2 Billion
01/31/01
Loans Reverses
6 22% -0.51% Treasuries
12.59%
CD's/BN's
12.31%
e Deposits
9.19%
Mortgages
0.02%
lcies
?1%
■Treasuries
❑ Time Deposits
■ Mortgages
❑ Agencies
■ CD's/BN's
❑Bankers Acceptances
■ Repo
■ Commercial Paper
❑ Corporate Bonds
❑ Loans
■ Reverses
"The PMIA portfolio does not hold any securities of PG&E or Southern California Edison.
Home I ck
13
2 of 2 03/05/2001 8:50 AM
City of La Quinta
Spread between 30 Day Al P1 Commercial Paper and 30 Day T-Note
Date
T-Bill
T-Bill
C/P
Variance
11 /13/00
12/14/00
6.03%
6.47%
0.44%
11 /20/00
12/21 /00
6.43%
6.49%
0.06% T-Bill Rate appeared unusually high
11 /27/00
12/28/00
6.28%
6.49%
0.21 %
12/04/00
01 /04/01
6.13%
6.50%
0.37%
12/11 /00
01 /11 /01
5.92%
6.40%
0.48%
12/18/00
01 /18/01
5.86%
6.54%
0.68%
1 /02/01
02/01 /01
5.76%
6.36%
0.60%
1 /08/01
02/08/01
5.13%
5.77%
0.64%
1 /16/01
02/15/01
5.23%
5.78%
0.55%
1 /23/01
02/22/01
5.11 %
5.67%
0.56%
1 /29/01
3/01 /01
5.06%
5.54%
0.48% -
2/05/01
3/08/01
4.95%
5.45%
0.50%
2/12/01
3115/01
4.99%
5.42%
0.43%
2/20/01
3/22/01
4.76%
5.47%
0.71 %
2/27/01
3/29/01
4.84%
5.44%
0.60%
3/05/01
4/05/01
4.96%
5.24%
0.28%
14
INVESTMENT ADVISORY BOARD
Meeting Date:
March 14, 2001
Pooled Money Investment Board Report
for December 2000
Correspondence
& Written Material Item B
The Pooled Money Investment Board Report for December 2000 is included in the
agenda packet.
Receive & File
ohn M. Falcojer, Finance Director
STATE OF CALIFORNIA
STATE TREASURER'S OFFICE
POOLED MONEY INVESTMENT BOARD REPORT
DECEMBER 2000
TABLE OF CONTENTS
SUMMARY...........................................................................1
SELECTED INVESTMENT DATA.............................................2
PORTFOLIO COMPOSITION...................................................3
INVESTMENT TRANSACTIONS...............................................4
TIMEDEPOSITS..................................................................21
BANK DEMAND DEPOSITS...................................................35
POOLED MONEY INVESTMENT BOARD DESIGNATION .......... 36
POOLED MONEY INVESTMENT ACCOUNT
SUMMARY OF INVESTMENT DATA
A COMPARISON OF DECEMBER 2000 WITH DECEMBER 1999
(DOLLARS IN THOUSANDS)
DECEMBER 200011 DECEMBER 199911 CHANGE
Average Daily Portfolio
$ 40,825,322 $
31,504,253
+9,321,069
Accrued Earnings
$ 226,605 $
150,469
+76,136
Effective Yield
6.535
5.639
+.896
I Average Life -Month End (In Days) 189 194 -5 1
Total Security Transactions
Amount
$
24,808,298
$
20,822,046
+3,986,252
Number
541
464
+77
Total Time Deposit Transactions
Amount
$
19015,095
$
460,595
+554,500
Number
110
60
+50
Average Workday Investment Activity
$
1,291,170
$
925,332
+365,838
Prescribed Demand Account Balances
For Services
$
174,833
$
191,483
-16,650
For Uncollected Funds
$
222,653
$
192,580
+30,073
1
PHILIP ANGELIDES
TREASURER
STATE OF CALIFORNIA
INVESTMENT DIVISION SELECTED INVESTMENT DATA
ANALYSIS OF THE POOLED MONEY INVESTMENT ACCOUNT PORTFOLIO
(000 OMITTED)
DECEMBER 31, 2000
PERCENTAGE
CHANGE FROM
TYPE OF SECURITY
AMOUNT
PERCENT
PRIOR MONTH
Government
Bills
2,651,583
6.09
-.85
Bonds
0
0.00
-0.00
Notes
299729517
6.83
-.43
Strips
0
0.00
0.00
Total Government
5,624,100
12.92
-1.28
Federal Agency Coupons
3,151,997
7.24
-.90
Certificates of Deposit
4,954,995
11.38
-1.94
Bank Notes
1,645,023
3.78
+.50
Bankers' Acceptances
0
0.00
0.00
Repurchases
0
0.00
0.00
Federal Agency Discount Notes
9,262,669
21.27
-1.49
Time Deposits
4,340,845
9.97
-.31
GNMAs
1,174
0.00
0.00
Commercial Paper
9,748,129
22.39
+6.53
FHLMC
119393
0.03
0.00
Corporate Bonds
2,643,159
6.06
-.24
Pooled Loans
2,938,795
6.75
-.99
GF Loans
0
0.00
0.00
Reversed Repurchases
(779,021)
(1.79)
-.12
Total (All Types)
4395439258
100.00
INVESTMENT ACTIVITY
-
DECEMBER 2000
NOVEMBER 2000
NUMBER
AMOUNT
NUMBER
AMOUNT
Pooled Money
541
24,808,298
429 $
20,046,098
Other
51
1979520
40
261,411
Time Deposits
110
1,015,095
100
1,415,000
Totals
702
26,0209913
569 $
21,7229509
PMIA Monthly Average Effective Yield
Year to Date Yield Last Day of Month
6.535
6.506
2
6.538
6.501
Pooled Money Investment Account 12/31/00
Portfolio Composition
$43.5 Billion
Reverses
Loans -1.79% .
6.75%
Corporate
Bonds
6.06% ,c
_titi,ti „titi
.titititi•.nrt
Commercial
Paper
CD's/BN's
15.16%
Treasuries
12.92%
3
Time Deposits
k 9.97%
Mortgages
0.03%
Agencies
28.51 %
ERTreasuries
6 Time Deposits
0 Mortgages
® Agencies
■ CD's/BN's
0 Bankers Acceptances
■ Repo
0 Commercial Paper
0 Corporate Bonds
0 Loans
0 Reverses
POOLED MC)NEY"INVESTMEN'f'ACCaUNT"'
1% MATURITY. TRANS PAR DAYS AMOUNT EFFECTIVE
DESCRIPTION ..QAI� HFLQ .._ : EAI&NED y YIELD
�AIE YIELD S4Q4] _
. _ . _ . _... __.._. __._. _.. _ .. .. _.... _...
12/01/00 RRS
Treas
Bills
08/30/01
6.200
$50,000
Treas
Bills
08/30/01
6.200
50,000
Treas
Bills
08/30/01
6.200
50,000
Treas
Bills
08/30/01
6.200
50,000
REDEMPTIONS
CD
Montreal
6.550%
12/01/00
6.550
50,000
72
$655,000.00
6.640
CD
Montreal
6.550%
12/01/00
6.550
50,000
72
655,000.00
6.640
CP
AT&T
12/01/00
6.570
35,190
15
96,332.63-
6.679
CP
AT&T
12/01/00
6.570
50,000
15
136,875.00
6.679
CP
GMAC
12/01/00
6.480
50,000
15
135,000.00
6.587
CP
GMAC
12/01/00
6.480
50,000
15
135,000.00
6.587
CP
FMCC
12/01/00
6.480
50,000
24
216,000.00
6.498
CP
FMCC
12/01/00
6.480
50,000
24
216,000.00
6.498
CP
FMCC
12/01/00
6.480
50,000
39
351,000.00
6.616
CP
FMCC
12/01/00
6.480
50,000
39
351,000.00
6.616
CP
Salomon
12/01/00
6.480
25,000
43
193,500.00
6.621
CP
NCAT
12/01/00
6.480
50,000
43
387,000.00
6.621
CP
NCAT
12/01/00
6.480
50,000
43
387,000.00
6.621
CP
NCAT
12/01/00
6.460
50,000
45
403,750.00
6.603
CP
NCAT
12/01/00
6.460
50,000
45
403,750.00
6.603
CP
Amer Exp
12/01/00
6.460
50,000
45
403,750.00
6.603
CP
Amer Exp
12/01/00
6.460
50,000
45
403,750.00
6.603
CP
Heller
12/01/00
6.580
50,000
45
411,250.00
6.726
CP
SRAC
12/01/00
6.740
50,000
46
430,611.11
6.892
CP
Salomon
12/01/00
6.480
50,000
72
648,000.00
6.656
CP
Salomon
12/01/00
6.480
50,000•
72
648,000.00
6.656
CP
Salomon
12/01/00
6.480
50,000
72
648,000.00
6.656
Disc Notes -
FHLB
12/01/00
5.865
50,000
332
2,704,416.67
6.286
FHLB
5.850%
12/01/00
5.980
50,000
366
2,986,981.15
5.989
FHLB
5.965%
12/01/00
6.010
50,000
366
3,004,000.00
6.019
FHLB
5.965%
12/01/00
6.010
50,000
366
3,004,000.00
6.019
FNMA"
5.900%
12/01/00
6.100
50,000
366
3,045,750.00
6.109
PURCHASES y/
CP
Salomon
12/21/00
6.480
41,991
CP
Salomon
12/21/00
6.480
50,000
CP
Salomon
12/21/00
6.480
50,000
CP
Salomon
12/21/00
6.480
50,000
PURCHASES
CP
Enron
12/04/00
6.720
10,000
CP
Enron
12/04/00
6.720
50,000
4
_.�.._._...... , �,.�. .— ,..__..� :.. �..,,,,.,.._ . _ _..�-:• ,. --- ..' -Z a 77 ----
POOLED MONEY INVESTMENT ACCOUNT
�.�.- �. .D: �;.� !=c:..:. •:w53� Y J' ''� .✓ y r -� ✓f °,�•rr �+ i . >i .�'r`% � h s, ,� R . .,.. i. .i,,..� ..
%. lR.,� ,} 1 •., s ""° IR..w ,F,y,, �. .-.. .a
% nk ".'6 H
MATU DAYS AMOUNT EFFECTIVE
i
•, , . ` ... , F ., . , .. �. ,. , . •. 4 " �;.' TRANS. PAR
DESCRIPTION DATE YIELD ice_._ _.... HELD
E&B�EQ YIELD
12/04/00 RRS
Treas
Notes
5.250%
01 /31 /01
6.200
50,000
Treas
Notes
5.250%
01 /31 /01
6.200
50,000
REDEMPTIONS
CP
Enron
12/04/00
6.720
10,000
3
5,600.00
6.817
CP
Enron
12/04/00
6.720
50,000
3
28,000.00
6.817
CP
FMCC
12/04/00
6.490
50,000
5
45,069.44
6.586
CP
FMCC
12/04/00
6.490
50,000
5
45,069.44
6.586
CP
AT&T
12/04/00
6.640
41,000
13
98,308.89 _
6.748
CP
AT&T
12/04/00
6.640
50,000
13
119,888.89
6.748
CP
-FMCC
12/04/00
6.490
15,000
14
37,858.33
6.596
CP
FMCC
12/04/00
6.490
25,000
14
63,097.22
6.596
CP
AT&T
12/04/00
6.620
45,000
14
115,850.00
6.729
CP
AT&T
12/04/00
6.620
50,000
14
128,722.22
6.729
CP
FMCC
12/04/00
6.490
50,000
14
126,194.44
6.596
CP
ConAgra
12/04/00
6.710
50,000
14
130,472.22
6.820
CP
GMAC
12/04/00
6.500
50,000
14
126,388.89
6.606
CP
GMAC
12/04/00
6.500
50,000
14
126,388.89
6.606
CP
ConAgra
12/04/00
6.700
40,000
18
134,000.00
6.815
CP
GMAC
12/04/00
6.500
50,000
18
162,500.00
6.611
CP
GMAC
12/04/00
6.500
50,000
18
162,500.00
6.611
CP
Amer Exp
12/04/00
6.480
50,000
19
171,000.00
6.592
CP
Amer Exp
12/04/00
6.480
50,000
19
171,000.00
6.592
CP
Heller
12/04/00
6.580
50,000
48
438,666.67
6.73(
FNMA
5.000%
12/04/00
5.000
25,000
731
2,500,000.00
5-W
FNMA
5.000%
12/04/00
5.000
50,000
731
5,000,000.00
5.00C.
PURCHASES y/
CD
ABN Amro
6.570% 01 /31 /01
6.560
1,610
CD
ABN Amro
6.570% 01 /31 /01
6.560
50,000
CD
ABN Amro
6.570% 01 /31 /01
6.560
50,000
PURCHASES
CP
GECC
12/05/00
6.520
50,000
CP
GECC
12/05/00
6.520
50,000
CP
GECC
12/05/00
6.520
50,000
CP
GECC
12/05/00
6.520
50,000
CP
Enron
12/18/00
6.720
46,459
CP
SRAC
01 /09/01
7.100
50,000
CP
Heller
01 /09/01
7.250
50,000
Disc Notes
FHLMC
11 /16/01
5.890
50,000
Disc Notes
FNMA
10/24/01
5.910
50,000
5
POOLED MONEY1NVESTMENT ACCOUNT
MATURITY
TRANS
PAR ; DAYS AMOUNT EFFECTIVE
DESCRIPTION
PATE
YIELD :
iQ _ HELD EARNED, YIELD ...
12/04/00 PURCHASES C/
Treas Notes
6.375%
01 /31 /02
6.580
50,000
Treas Notes
6.375%
01/31/02
6.580
50,000
Treas Notes
6.625%
05/31/02
6.580
9,538
12/05/00 REDEMPTIONS
CID
GECC
12/05/00
6.520
50,000
1
9,055.56
6.611
CID
GECC
12/05/00
6.520
50,000
1
9,055.56
6.611
CID
GECC
12/05/00
6.520
50,000
1
9,055.56
6.611
CID
GECC
12/05/00
6.520
50,000
1
9,055.56_
6.611
CID
AT&T
12/05/00
6.620
30,142
7
38,799.45
6.720
CID
AT&T
12/05/00
6.620
50,000
7
64,361.11
6.720
CID
SRAC
12/05/00
6.750
30,000
15
84,375.00
6.863
CID
GMAC
12/05/00
6.500
50,000
15
135,416.67
6.608
Disc Notes
FNMA
12/05/00
5.710
50,000
355
2,815,347.22
6.134
SALES . /
Treas Notes
6.375%
01 /31 /02
6.580
50,000
1
9,189.15
6.671
Treas Notes
6.375%
01 /31 /02
6.580
50,000
1
9,189.15
6.671
Treas Notes
6.625%
05/31 /02
6.580
9,538
1
1,727.25
6.671
PURCHASES -
CD US Bank
6.450%
05/29/01
6.450
50,000
CD US Bank
6.450%
05/29/01
6.450
50,000
CID GECC
12/06/00
6.520
50,000
CP GECC
12/06/00
6.520
50,000
CID Enron
12/18/00
6.720
30,094
CID Heller
02/02/01
7.250
50,000
CID SRAC
02/28/01
7.100
50,000
FHLB
6.750%
02/15/02
6.204
11,000
FHLB
6.750%
02/15/02
6.204
50,000
'
FHLB
6.375%
11/15/02
6.140
25,000
PURCHASES .Q/
Treas Notes
5.000%
04/30/01
6.570
21,171
Treas Notes
5.000%
04/30/01
6.570
50,000
Treas Notes
6.375%
06/30/02
6.570
39,709
12/06/00 REDEMPTIONS
CID GECC
12/06/00
6.520
50,000
1
9,055.56
6.611
CID GECC
12/06/00
6.520
50,000
1
9,055.56
6.611
CID GMAC
12/06/00
6.510
50,000
7
63,291.67
6.608
POOLEDMONEY.INVESTMENT`ACCOUNT ... N., r , ...
} W MATURITY n . TRANS' ` PAR DAYS AMOUNT EFFECTIVE
pg'jF 7YPE DESCRIPTION DAIE YIELD tQ441 HELD EARNED YIELD
12/06/00 REDEMPTIONS (continued)
CP GMAC
12/06/00
6.510
50,000
7
63,291.67
6.608
CP Heller
12/06/00
6.650
35,000
15
96,979.17
6.761
CP SRAC
12/06/00
6.750
50,000
22
206,250.00
6.872
FHLMC "
5.990% 12/06/00
6.135
50,000
366
3,064,500.00
6.137
SALES .QI
Treas
Notes
5.000% 04/30/01
6.570
21,171 1 3,785.60 6.661
Treas
Notes
5.000% 04/30/01
6.570
50,000 1 8,940.49 6.661
Treas
Notes
6.375% 06/30/02
6.570
39,709 1 7,348.91- 6.661
PURCHASES
CP
ConAgra
01 /23/01
7.320
10,000
CP
ConAgra
01 /23/01
7.320
50,000
CP
Heller
01 /29/01
7.250
35,000
CP
SRAC
02/14/01
7.150
50,000
CP
GMAC
04/02/01
6.250
10,000
CP
GMAC'
04/02/01
6.250
50,000
CP
GECC
05/29/01
6.150
50,000
CP
GECC
05/29/01
6.150
50,000
12/07/00 REDEMPTIONS
CD
Den Danske
6.530%
12/07/00
6.530
50,000
79
716,486.11
6.620
CD
Den Danske
6.530%
12/07/00
6.530
50,000
79
716,486.11
6.620
CD
Stnrd Ch
6.580%
12/07/00
6.570
50,000
85
775,643.04
6.661
CD
Stnrd Ch
6.580%
12/07/00
6.570
50,000
85
775,643.04
6.661
CP
AT&T
12/07/00
6.460
50,000
72
646,000.00
6.634
CP
Salomon
12/07/00
6.470
50,000
77
691,930.56
6.651
CP
Salomon
12/07/00
6.470
50,000
77
691,930.56
6.651
CP
GECC
12/07/00
6.450
50,000
83
743,541.67
6.638
CP
GECC
12/07/00
6.450
50,000
83
743,541.67
6.638
Disc Notes
FNMA
12/07/00
6.500
30,953
162
905,375.25
6.788
Disc Notes
FNMA
12/07/00
6.500
50,000
162
1,462,500.00
6.788
Treas
Bills
12/07/00
5.685
50,000
338
2,668,791.65
6.088
Treas
Bills
12/07/00
5.685
50,000
338
2,668,791.65
6.088
Treas
Bills
12/07/00
5.607
50,000
352
2,741,444.45
6.015
Treas
Bills
12/07/00
5.607
50,000
352
2,741,444.45
6.015
Treas
Bills
12/07/00
5.592
50,000
353
2,741,878.45
5.999
Treas
Bills
12/07/00
5.592
50,000
353
2,741,878.45
5.999
Treas
Bills
12/07/00
5.350
50,000
364
2,704,722.22
5.734
Treas
Bills
12/07/00
5.350
50,000
364
2,704,722.22
5.734
Treas
Bills
12/07/00
5.350
50,000
364
2,704,722.22
5.734
Treas
Bills
12/07/00
5.350
50,000
364
2,704,722.22
5.734
FHLB
4.935%
12/07/00
4.877
15,000
731
1,464,111.15
4.879
7
POOLED MONEY INVESTMENT ACCOUNT Y`
�! MATURITY "TRANS PAR "` DAYS "AMOUNT EFFECTIVE
_ DAM_.__ DESCRIPTION
IYP�:. _ .... .. .. _._.BATE .. _..__.. YIELD ... (00�1. bE1.Q .._ EARNED YIELD
.._ _ YlELQ _
12/07/00 REDEMPTIONS (continued)
FHLB 4.935% 12/07/00 4.877 50,000 731 4,880,370.50 4.879
RRP
Treas
Bills
12/07/00
6.080
50,000
72
(598,880.00)
-6.164
Treas
Bills
12/07/00
6.100
50,000
77
(643,880.42)
-6.184
Treas
Bills
12/07/00
6.100
50,000
77
(643,880.42)
-6.184
Treas
Bills
12/07/00
6.070
50,000
79
(656,856.20)
-6.154
Treas
Bills
12/07/00
6.070
50,000
79
(656,856.20)
-6.154
Treas
Bills
12/07/00
6.085
50,000
83
(691,761.67)
-6.169
Treas
Bills
12/07/00
6.085
50,000
83
(691,761.67)
-6.169
Treas
Bills
12/07/00
6.050
50,000
85
(704,236.81)
-6.134
Treas
Bills
12/07/00
6.050
50,000
85
(704,236.81)
-6.134
PURCHASES
CD
UBS
6.530% 02/01/01
6.520
40,000
CD
UBS
6.530% 02/01/01
6.520
50,000
CP
Assoc
12/08/00
6.510
50,000
CP
Assoc
12/08/00
6.510
50,000
CP
Assoc
12/08/00
6.510
50,000
CP
Assoc
12/08/00
6.510
50,000
CP*
Salomon
02/28/01
6.360
50,000
CP
Salomon
02/28/01
6.360
50,000
Disc Notes
FNMA
11/30/01
5.735
50,000
Disc Notes
FNMA
11/30/01
5.735
50,000
Disc Notes
FNMA
11/30/01
5.735
50,000
Disc Notes
FNMA
11/30/01
5.735
50,000
Disc Notes
FNMA
11/30/01
5.735
50,000
PURCHASES/
Treas
Bills
02/08/01
6.520
29,245
Treas
Bills
05/10/01
6.520
25,000
Treas
Bills
05/10/01
6.520
50,000
12/08/00 REDEMPTIONS
CP
Assoc
12/08/00
6.510
50,000
1
9,041.67
6.601
CP
Assoc
12/08/00
6.510
50,000
1
9,041.67
6.601
CP
Assoc
12/08/00
6.510
50,000
1
9,041.67
6.601
CP
Assoc
12/08/00
6.510
50,000
1
9,041.67
6.601
CP
FMCC
12/08/00
6.520
50,000
10
90,555.56
6.622
CP
EntFun
12/08/00
6.520
10,733
18
34,989.58
6.632
CP
Heller
12/08/00
6.580
25,000
18
82,250.00
6.693
CP
EntFun
12/08/00
6.520
50,000
18
163,000.00
6.632
8
POOLED MONEY INVESTMENT.'ACCOUNT
12/08/00 REDEMPTIONS (continued)
CID
Salomon
12/08/00
6.500
50,000
18
162,500.00
6.611
CID
Salomon
12/08/00
6.500
50,000
18
162,500.00
6.611
CID
SRAC
12/08/00
6.600
50,000
23
210,833.33
6.720
CID
Heller
12/08/00
6.630
50,000
23
211,791.67
6.750
CID
ConAgra
12/08/00
6.600
28,300
52
269,793.33
6.756
Disc Notes
FNMA
12/08/00
5.710
50,000
358
2,839,138.89
6.137
Disc Notes
FNMA
12/08/00
5.700
50,000
359
2,842,083.33
6.127
Disc Notes
FNMA
12/08/00
5.700
50,000
359
2,842,083.33
6.127
SALES . /
Treas Bills 02/08/01 6.520
Treas Bills 05/10/01 6.520
Treas Bills 05/10/01 6.520
PURCHASES
MTN
GMAC
MTN
GMAC
12/11/00 RRS
Treas
Bills
Treas
Bills
Treas
Bills
REDEMPTIONS
6.750% 12/10/02 6.470
5.875% 01 /22/03 6.580
08/30/01 6.250
11 /29/01 6.300
11 /29/01 6.300
29,245 1 5,135.04 6.610
25,000 1 4,325.30 6.610
50,000 1 8,650.77 6.610
16,275
34,000
50,000
50,000
50,000
CD
Bayer Lnds
6.610%
12/11/00
6.600
25,000
119
545,728.33
6.695
CD
Bayer Lnds
6.610%
12/11/00
6.600
50,000
119
1,091,456.66
6.695
CID
AT&T
12/11/00
6.620
21,043
12
46,434.89
6.726
CID
AT&T
12/11/00
6.620
50,000
12
110,333.33
6.726
CID
FMCC
12/11/00
6.490
50,000
12
108,166.67
6.594
CID
FMCC
12/11/00
6.490
50,000
12
108,166.67
6.594
Disc Notes
FNMA
12/11/00
5.740
5,000
357
284,608.33
6.170
Disc Notes
FNMA
12/11/00
5.740
50,000
357
2,846,083.33
6.170
FNMA
4.720%
12/11/00
4,840
50,000
731
4,834,000.00
4.848
FNMA
4.720%
12/11/00
4.840
50,000
731
4,834,000.00
4.848
PURCHASES 9/
CID
Salomon
01/16/01
6.570
45,276
CID
Salomon
01 /16/01
6.570
48,242
CP
Salomon
01 /16/01
6.570
50,000
POOLED MONEY'INVESTMENT ACCOUNT
CP
JP Morgan
12/12/00
6.500
50,000
CP
SRAC
12/29/00
6.550
10,000
CP
SRAC
12/29/00
6.550
50,000
Disc Notes
FNMA
11/08/01
5.780
50,000
Disc Notes
FNMA
11/08/01
5.780
50,000
FHLB
7.250%
05/15/02
6.049
45,000
FHLB
7.250%
05/15/02
6.049
50,000
FNMA
6.400%
12/21/01
6.114
50,000
FNMA
6.400%
12/21/01
6.114
50,000
12/12/00 REDEMPTIONS
CP JP Morgan
PURCHASES
Disc Notes FNMA
FNMA
12/13/00 RRS
12/12/00
6.500
50,000
11/08/01
5.780
50,000
6.400% 12/21/01
6.114
27,500
Treas Bills
03/01 /01
6.030
50,000
Treas Bills
05/31/01
6.300
50,000
PURCHASES g/
CD Cr Suisse
6.590% 01 /12/01
6.590
48,625
CD CommerzBk
6.475% 03/01 /01
6.460
49,350
PURCHASES
CD
UBS
6.480%
03/01/01
6.450
45,500
CP
ConAgra
01 /10/01
7.570
7,607
CP
ConAgra
01 /10/01
7.570
50,000
Disc Notes
FNMA
11/09/01
5.740
15,000
Disc Notes
FNMA
11/09/01
5.740
50,000
Disc Notes
FNMA
11/30/01
5.740
50,000
Disc Notes
FNMA
11/30/01
5.740
50,000
Treas
Bills
11 /29/01
5.455
50,000
Treas
Bills
11 /29/01
5.455
50,000
FHLB
6.085%
12/13/01
6.125
50,000
FHLB
6.085%
12/13/01
6.125
50,000
FHLB
6.085%
12/13/01
6.125
50,000
10
1 9,027.78 6.591
POOLED MONEY INVESTMENT ACCOUNT r
.;Afy , �l MATURITY TRANS PAR`a DAYS AMOUNT EFFECTIVE
_..:. DATE,,::. _ _ . TYPE_.:., ..... _ DESCRIPTION DATE Y1ELQ i�2 _ fiELQ EABI�lEQ YIELD
12/14/00 REDEMPTIONS
Disc Notes FHLMC 12/14/00 5.700 50,000 365 2,889,583.33 6.133
PURCHASES
CP
GECC
02/28/01
6.330
30,000
CP
GECC
02/28/01
6.330
50,000
CP
GECC
02/28/01
6.330
50,000
12/15/00 REDEMPTIONS
Disc Notes
FFCB
12/15/00
5.860
15,000
346
844,816.67
6.295
Disc Notes
- FNMA
12/15/00
5.780
50,000
359
2,881,972.22
6.218
Disc Notes
FNMA
12/15/00
5.780
50,000
359
2,881,972.22
6.218
Disc Notes
FNMA
12/15/00
5.780
50,000
359
2,881,972.22
6.218
Disc Notes
FNMA
12/15/00
5.780
50,000
359
2,881,972.22
6.218
Disc Notes
FNMA
12/15/00
5.750
40,000
360
2,300,000.00
6.185
Disc Notes
FHLB
12/15/00
5.770
50,000
360
2,885,000.00
6.208
Disc Notes
FNMA
12/15/00
5.750
50,000
360
2,875,000.00
6.185
Disc Notes
FNMA
12/15/00
5.750
50,000
360
2,875,000.00
6.185
MTN
World
8.850% 12/15/00
4.920
2,000
732
206,351.67
4.925
FNMA
4.830% 12/15/00
4.830
50,000
724
4,783,041.67
4.835
PURCHASES
BN
Banc One
6.330%
05/29/01
6.330
50;000
BN
Banc One
6.330%
05/29/01
6.330
50,000
BN
Banc One
6.330%
05/29/01
6.330
50,000
BN
Banc One
6.330%
05/29/01
6.330
50,000
CP
GMAC
12/18/00
6.500
50,000
CP
GMAC
12/18/00
6.500
50,000
CP
GMAC
12/18/00
6.500
50,000
CP
GMAC
12/18/00
6.500
50,000
CP
Assoc
12/18/00
6.510
50,000
CP
Assoc
12/18/00
6.510
50,000
CP
Assoc
12/18/00
6.510
50,000
CP
Assoc
12/18/00
6.510
50,000
CP
Enron
12/20/00
6.780
50,000
CP
Household
12/20/00
6.460
50,000
CP
Household
12/20/00
6.460
50,000
CP
Amer Exp
12/20/00
6.470
50,000
CP
Amer Exp
12/20/00
6.470
50,000
CP
Amer Exp
12/20/00
6.470
50,000
CP
Amer Exp
12/20/00
6.470
50,000
CP
GECC
12/21/00
6.470
50,000
CP
GECC
12/21/00
6.470
50,000
CP
Heller
01/09/01
7.400
50,000
11
POOLED MONEY INVESTMENT ACCOUNT
At 'MATURITY TRANS PAR DAYS AMOUNT EFFECTIV
DESCRIPTION YIELDDAM
._ EARNED YIELD
12/15/00 PURCHASES (continued)
CP
GECC
02/20/01
6.330
50,000
CP
GECC
02/20/01
6.330
50,000
CP
GECC
02/20/01
6.330
50,000
CP
GECC
02/20/01
6.330
50,000
CP
Morg Stan
02/28/01
6.400
50,000
CP
Morg Stan
02/28/01
6.400
50,000
CP
Morg Stan
02/28/01
6.400
50,000
CP
Morg Stan
02/28/01
6.400
50,000
CP
GECC
03/28/01
6.210
20,000
CP
GECC
03/28/01
6.210
50,000
CP
GECC
03/28/01
6.210
50,000
Disc Notes
FNMA
11/30/01
5.640
32,000
MTN
GMAC
7.750% 03/25/02
6.500
10,000
MTN
GMAC
5.600% 04/30/02
6.500
23,000
12/18/00 REDEMPTIONS
CP
GMAC
12/18/00
6.500
50,000
3
27,083.33
6.59:
CP
GMAC
12/18/00
6.500
50,000
3
27,083.33
6.59,
CP
GMAC
12/18/00
6.500
50,000
3
27,083.33
6.59:
CP
GMAC
12/18/00
6.500
50,000
3
27,083.33
6.59'
CP
Assoc
12/18/00
6.510
50,000
3
27,125.00
6.601:
CP
Assoc
12/18/00
6.510
50,000
3
27,125.00
6.60:
CP
Assoc
12/18/00
6.510
50,000
3
27,125.00
6.60:
CP
Assoc
12/18/00
6.510
50,000
3
27,125.00
6.60�
CP
Enron
12/18/00
6.720
30,094
13
73,028.11
6.82C
CP
Enron
12/18/00
6.720
46,459
14
121,412.85
6.831
FNMA
4.820% 12/18/00
4.875
50,000
731
4,872,000.00
4.88C
FNMA
4.820% 12/18/00
4.875
50,000
731
4,872,000.00
4.88C
PURCHASES
CP
GECC
12/19/00
6.500
50,000
CP
GECC
12/19/00
6.500
50,000
CP
GECC
12/19/00
6.500
50,000
CP
GECC
12/19/00
6.500
50,000
CP
Amer Exp
12/29/00
6.460
10,000
CP
Enron
12/29/00
6.780
40,000
CP
Amer Exp
12/29/00
6.460
50,000
CP
Amer Exp
12/29/00
6.460
50,000
CP
GMAC
02/16/01
6.400
50,000
CP
GMAC
02/16/01
6.400
50,000
CP
GMAC
02/16/01
6.400
50,000
CP
GMAC
02/16/01
6.400
50,000
CP
FMCC
02/28/01
6.380
50,000
CP
FMCC
02/28/01
6.380
50,000
12
" "".''""_"""
POOLED MONEY INVESTMENT
ACCOUNT b ..�
% x t..f:'•� M1. .�' ,� - uy +,Sr.,r.d ,$ xHg, ga<:. a �,r df, #
MATURRY`� TRANS PAR
,., -, :DAYS AMOUNT EFFECTIVE
DAIE TYPE DESCRIPTION �AIE YJELQ . .
_ . w y.
_.._ i4442 tiELQ E6BdEl2 YIELD
12/18/00 PURCHASES (continued)
CP
FMCC
02/28/01
6.380
50,000
CP
FMCC
02/28/01
6.380
50,000
CP
FMCC
05/29/01
6.040
50,000
CP
FMCC
05/29/01
6.040
50,000
CP
FMCC
05/29/01
6.040
50,000
Disc Notes
FNMA
11/30/01
5.570
50,000
FHLB
5.370% 01/16/03
5.830
50,000
12/19/00 REDEMPTIONS
CP
GECC
12/19/00
6.500
50,000 1
9,027.78
6.591
CP
GECC
12/19/00
6.500
50,000 1
9,027.78
6.591
CP
GECC
12/19/00
6.500
50,000 1
9,027.78
6.591
CP
GECC
12/19/00
6.500
50,000 1
9,027.78
6.591
PURCHASES
CP
Household
02/28/01
6.320
50,000
CP
Household
02/28/01
6.320
50,000
CP
FMCC
03/05/01
6.300
50,000
CP
FMCC
03/05/01
6.300
50,000
CP
GECC
03/06/01
6.280
50,000
CP
GECC
03/06/01
6.280
50,000
CP
GECC
03/07/01
6.280
50,000
CP
GECC
03/07/01
6.280
50,000
CP
FMCC
03/09/01
6.300
50,000
CP
FMCC
03/09/01
6.300
50,000
CP
W/F
04/02/01
6.270
50,000
CP
FMCC
05/10/01
6.070
50,000
CP
FMCC
05/10/01
6.070
50,000
CP
FMCC
05/14/01
6.070
50,000
CP
FMCC
05/14/01
6.070
50,000
MTN
W/F
7.200% 05/01 /03
6.300
31,500
12/20/00 REDEMPTIONS
CP
Household
12/20/00
6.460
50,000
5
44,861.11
6.555
CP
Household
12/20/00
6.460
50,000
5
44,861.11
6.555
CP
Amer Exp
12/20/00
6.470
50,000
5
44,930.56
6.565
CP
Amer Exp
12/20/00
6.470
50,000
5
44,930.56
6.565
CP
Amer Exp
12/20/00
6.470
50,000
5
44,930.56
6.565
CP
Amer Exp
12/20/00
6.470
50,000
5
44,930.56
6.565
CP
Enron
12/20/00
6.780
50,000
5
47,083.33
6.880
13
_. _ .R.a-..... _ ,. ..-,...��-..--'�....m .��.__.:.,-.-.'..,,,�.r?-'.T�"'--"'1,.;'�.'°+,'-.,.,.;.'.-i"'.t".-^±e.:,t�+e-�ls�:^ T., ._.. ,: ,_,..2-^-"'!-, aye .• ...._ ..�...
POOLED MONEY INVESTMENT ACCOUNT
8l t` al MATURITY ' 'TRANS PAR DAYS AMOUNT EFFECTIVE
W
DAM _ .... IfPE-DESCRIPTION _.�pAIE_M _ YIE,LQ`� ice!_ �iELQ EARNED YIELD
12/20/00 PURCHASES
CD
US Bank
6.260% 05/17/01
6.260
50,000
CP
NCAT
12/21/00
6.480
50,000
CP
NCAT
12/21/00
6.480
50,000
CP
Enron"
12/27/00
6.780
25,000
CP
GECC
03/23/01
6.260
50,000
CP
GECC
03/23/01
6.260
50,000
CP
JP Morgan
03/23/01
6.280
50,000
CP
JP Morgan
03/23/01
6.280
50,000
CP
GECC
03/28/01
6.260
50,000
CP
GECC
03/28/01
6.260
50,000
CP
JP Morgan
03/28/01
6.280
50,000
CP
JP Morgan
03/28/01
6.280
50,000
CP
FMCC
04/02/01
6.180
50,000
CP
FMCC
04/02/01
6.180
50,000
CP
FMCC
04/02/01
6.180
50,000
CP
FMCC
04/02/01
6.180
50,000
CP
FMCC
04/03/01
6.180
50,000
CP
FMCC
04/03/01
6.180
50,000
CP
FMCC
04/03/01
6.180
50,000
CP
FMCC
04/03/01
6.180
50,000
Disc Notes
FNMA
12/14/01
5.475
25,000
Disc Notes
FNMA
12/14/01
5.475
50,000
Disc Notes
FNMA
12/14/01
5.475
50,000
12/21/00 REDEMPTIONS
CP
NCAT
12/21/00
6.480
50,000
1
9,000.00
6.571
CP
NCAT
12/21/00
6.480
50,000
1
9,000.00
6.571
CP
GECC
12/21/00
6.470
50,000
6
53,916.67
6.566
CP
GECC
12/21/00
6.470
50,000
6
53,916.67
6.566
CP
Salomon
12/21/00
6.480
41,991
20
151,167.60
6.593
CP
Salomon
12/21/00
6.480
50,000
20
180,000.00
6.593
CP
Salomon
12/21/00
6.480
50,000
20
180,000.00
6.593
CP
Salomon
12/21/00
6.480
50,000
20
180,000.00
6.593
RRP
Treas
Bills
08/30/01
6.200
50,000
20
(164,730.56)
-6.286
Treas
Bills
08/30/01
6.200
50,000
20
(164,730.56)
-6.286
Treas
Bills
08/30/01
6.200
50,000
20
(164,730.56)
-6.286
Treas
Bills
08/30/01
6.200
50,000
20
(164,730.56)
-6.286
PURCHASES
CP Salomon 01/02/01 6.570 50,000
CP Salomon 01/02/01 6.570 50,000
14
POOLED MONEY INVESTMENT:ACCOUNT�.
If MATURITY x TRANS PAR. W • DAYS+ AMOUNT EFFECTIVE.
_ r r
EARNED YIELD
DATE TYPE DESCRIPTION DAM )nELQ�<. �OdQh bELQ
12121/00 PURCHASES (continued)
CP
Salomon
01 /11 /01
6.550
50,000
CP
FMCC
05/01/01
6.070
50,000
CP
FMCC
05/01/01
6.070
50,000
CP
FMCC
05/03/01
6.070
50,000
CP
FMCC
05/03/01
6.070
50,000
CP
FMCC
05/08/01
6.070
50,000
CP
FMCC
05/08/01
6.070
50,000
CP
Amer Exp
05/17/01
6.050
50,000
CP
Amer Exp
05/17/01
- 6.050
50,000
CP
GMAC
05/29/01
6.000
50,000
CP
GMAC
05/29/01
6.000
50,000
Disc Notes
FNMA
11/30/01
5.415
50,000
Disc Notes
FNMA
11/30/01
5.415
50,000
FIR
SBA
7.125% 12/25/25
7.125
10,590
12/22/00 RRS
Treas
Bills
03/01 /01
5.610
50,000
Treas
Bills
03/01 /01
5.610
50,000
REDEMPTIONS
Disc Notes
FHLB
12/22/00
6.490
45,224
177
1,443,060.15
6.797
Disc Notes
FHLB
12/22/00
6.490
50,000
177
1,595,458.33
6.797
Disc Notes
FHLB
12/22/00
5.750
50,000
359
2,867,013.89
6.184
Disc Notes
FHLB
12/22/00
5.750
50,000
359
2,867,013.89
6.184
Disc Notes
FHLB
12/22/00
5.750
50,000
359
2,867,013.89
6.184
Disc Notes
FHLB
12/22/00
5.750
50,000
359
2,867,013.89
6.184
Disc Notes
FHLB
12/22/00
5.770
50,000
359
2,876,986.11
6.207
Disc Notes
FHLMC
12/22/00
5.680
50,000
359
2,832,111.11
6.104
Disc Notes
FHLMC
12/22/00
5.680
50,000
359
2,832,111.11
6.104
Disc Notes
FHLMC
12/22/00
5.720
50,000
360
2,860,000.00
6.151
Disc Notes
FHLMC
12/22/00
5.720
50,000
360
2,860,000.00
6.151
MTN FR
Chase
5.427% 12/22/00
5.427
50,000
730
6,107,026.04
6.107
PURCHASES g/
CP
Salomon
03/01 /01
6.250
50,000
CP
Salomon
03/01 /01
6.250
50,000
PURCHASES
CP
GECC
04/02/01
6.080
50,000
CP
GECC
04/02/01
6.080
50,000
CP
Amer Exp
05/01/01
5.950
50,000
CP
Amer Exp
05/01/01
5.950
50,000
15
POOLED MONEY INVESTMENT ACCOUNT
-
MATURITY ``
TRANS'
PAR '" "DAYS . AMOUNT EFFECTIVE .
r TF � QESCRIi�nQ
_. ...+, _ ... �__..
YIEI.Q
w. _M �` _
�,� "` .� y..; k, :_FABNEL� YIELD
12/22/00 PURCHASES (continued)
CP
Amer Exp
05/03/01
5.950
50,000
CP
Amer Exp
05/03/01
5.950
50,000
CP
FMCC
05/08/01
6.000
50,000
CP
FMCC
05/08/01
6.000
50,000
Disc Notes
FHLB
06/22/01
5.785
50,000
Disc Notes
FHLB
06/22/01
5.785
50,000
Disc Notes
FHLB
07/20/01
5.730
28,000
Disc Notes
FHLB
07/20/01
5.730
45,000
Disc Notes
FHLMC
08/31/01
5.600
50,000
Disc Notes
FHLMC
08/31/01
5.600
50,000
Disc Notes
FHLMC
10/11/01
5.560
49,329
Disc Notes
FHLMC
10/11/01
5.560
50,000
Disc Notes
FHLMC
11 /19/01
5.460
50,000
Disc Notes
FHLMC
11/19/01
5.460
50,000
12/26/00 NO SALES
PURCHASES
BN
Banc One
6.120%
06/26/01
6.120
50,000
BN
Banc One
6.120%
06/26/01
6.120
50,000
CD
US Bank
6.110%
06/27/01
6.110
50,000
CD
US Bank
6.110%
06/27/01
6.110
50,000
CD
US Bank
6.110%
06/27/01
6.110
50,000
CD
US Bank
6.110%
06/27/01
6.110
50,000
CD
U/B Calif
6.130%
06/29/01
6.130
50,000
CD
U/B Calif
6.130%
06/29/01
6.130
50,000
CP
NCAT
12/27/00
6.540
25,000
CP
NCAT
12/27/00
6.540
50,000
CP
GECC
12/27/00
6.530
50,000
CP
GECC
12/27/00
6.530
50,000
CP
GECC
12/27/00
6.530
50,000
CP
GECC
12/27/00
6.530
50,000
12/27/00 REDEMPTIONS
CD
Zions
6.880%
12/27/00
6.860
50,000
180
1,715,165.81
6.955
CD
Zions
6.880%
12/27/00
6.860
50,000
180
1,715,165.81
6.955
CD
US Bank
6.870%
12/27/00
6.870
50,000
180
1,717,500.00
6.965
CD
US Bank
6.870%
12/27/00
6.870
50,000
180
1,717,500.00
6.965
CD
Montreal
6.800%
12/27/00
6.800
50,000
181
1,709,444.44
6.894
CD
Montreal
6.800%
12/27/00
6.800
50,000
181
1,709,444.44
6.894
CD
CIBC
7.060%
12/27/00
6.850
26,600
182
928,054.61
6.991
CD
Zions
6.820%
12/27/00
6.810
35,000
182
1,205,050.56
6.904
CD
Zions
6.820%
12/27/00
6.810
50,000
182
1,721,500.79
6.904
CD
WestDeut
6.820%
12/27/00
6.820
50,000
182
1,723,944.44
6.914
16
POOLED MONEY INVESTMENT ACCOUNT
V _ MATURITY TRANS'.
PAR DAYS AMOUNT EFFECTIVE'
DESCRIPTION 24M
HELD FABdE2 YIELD
12/27/00 REDEMPTIONS (continued)
CD
WestDeut
6.820%
12/27/00
6.820
50,000
182
1,723,944.44
6.914
CD
Zions
6.840%
12/27/00
6.830
45,000
184
1,570,977.58
6.924
CD
Zions
6.840%
12/27/00
6.830
50,000
184
1,745,530.65
6.924
CD
ABN Amro
6.810%
12/27/00
6.810
50,000
184
1,740,333.33
6.904
CD
Soc Gen
6.830%
12/27/00
6.830
50,000
190
1,802,361.11
6.924
CD
Bayer Ver
6.880%
12/27/00
6.875
50,000
203
1,938,420.67
6.970
CD
CIBC
7.020%
12/27/00
7.020
50,000
217
2,115,750.00
7.117
CD
CIBC
7.020%
12/27/00
7.020
50,000
217
2,115,750.00
7.117
CD
U/B Calif
6.350%
12/27/00
6.350
50,000
364
3,210,277.78
6.438
CD
U/B Calif
6.350%
12/27/00
6.350
50,000
364
3,210,277.78 -
6.438
CD
U/B Calif
6.350%
12/27/00
6.350
50,000
364
3,210,277.78
6.438
CD
U/B Calif
6.350%
12/27/00
6.350
50,000
364
3,210,277.78
6.438
CP
NCAT
12/27/00
6.540
25,000
1
4,541.67
6.632
CP
NCAT
12/27/00
6.540
50,000
1
9,083.33
' 6.632
CP
GECC
12/27/00
6.530
50,000
1
9,069.44
6.621
CP
GECC
12/27/00
6.530
50,000
1
9,069.44
6.621
CP
GECC
12/27/00
6.530
50,000
1
9,069.44
6.621
CP
GECC
12/27/00
6.530
50,000
1
9,069.44
6.621
CP
Enron
12/27/00
6.780
25,000
7
32,958.33
6.883
Disc Notes
FHLMC
12/27/00
5.720
50,000
365
2,899,722.22
6.156
Disc Notes
FHLMC
12/27/00
5.720
50,000
365
2,899,722.22
6.156
NO PURCHASES
12/28/00 REDEMPTIONS
CD US Bank
6.830% 12/28/00
6.830
50,000
183
1,735,958.33
6.924
CD US Bank
6.830% 12/28/00
6.830
50,000
183
1,735,958.33
6.924
Disc Notes FNMA
12/28/00
5.830
50,000
358
2,898,805.56
6.274
FHLB
4.905% 12/28/00
4.960
50,000
731
4,957,000.00
4.965
PURCHASES
CD
CommerzBk
6.080%
07/02/01
6.060
50,000
CD
CommerzBk
6.080%
07/02/01
6.060
50,000
CD
Svenska
6.060%
07/03/01
6.060
50,000
CD
Svenska
6.060%
07/03/01
6.060
50,000
CD
Svenska
6.060%
07/03/01
6.060
50,000
CP
GECC
12/29/00
6.450
50,000
CP
GECC
12/29/00
6.450
50,000
CP
GECC
12/29/00
6.450
50,000
CP
FMCC
01/02/01
6.250
50,000
CP
FMCC
01/02/01
6.250
50,000
CP
FMCC
01/02/01
6.250
50,000
CP
FMCC
01/02/01
6.250
50,000
CP
FMCC
01/02/01
6.250
50,000
17
POOLED MONEY INVESTMENT ACCOUNT
1/ PAR ; .. at IMTUPJW TRANS . DAYS 3 n .
AMOUNT EFFECTIVE
.DESCRIPTION .,
12/28/00 PURCHASES (continued)
CP
Amer Exp
01/02/01
6.380
50,000
CP
Amer Exp
01/02/01
6.380
50,000
CP
Amer Exp
01/02/01
6.380
50,000
CP
Amer Exp
01/02/01
6.380
50,000
CP
Amer Exp
01/02/01
6.380
50,000
CP
Amer Exp
01/02/01
6.380
50,000
CP
Amer Exp
01/02/01
6.380
50,000
CP
Morg Stan
01/12/01
6.650
50,000
CP
Morg Stan
01/12/01
6.650
50,000
CP
Morg Stan
01/12/01
6.650
50,000
CP
Morg Stan
01/12/01
6.650
50,000
CP
Morg Stan
01/12/01
6.650
50,000
CP
Morg Stan
01/12/01
6.650
50,000
CP
Country
01 /24/01
6.500
35,000
CP
Country
01/24/01
6.500
50,000
Disc Notes
FNMA
12/14/01
5.420
17,000
Disc Notes
FNMA
12/14/01
5.420
17,118
Disc Notes
FNMA
12/14/01
5.420
50,000
Disc Notes
FNMA
12/14/01
5.420
50,000
Disc Notes
FNMA
12/14/01
5.420
50,000
Disc Notes
FNMA
12/14/01
5.420
50,000
Treas
Bills
11 /29/01
5.135
50,000
Treas
Bills
11 /29/01
5.135
50,000
Treas
Bills
11 /29/01
5.135
50,000
Treas
Bills
11/29/01
5.135
50,000
12/29/00 REDEMPTIONS
CP
GECC
12/29/00
6.450
50,000
1
8,958.33
6.540
CP
GECC
12/29/00
6.450
50,000
1
8,958.33
6.540
CP
GECC
12/29/00
6.450
50,000
1
8,958.33
6.540
CP
Amer Exp
12/29/00
6.460
10,000
11
19,738.89
6.562
CP
Enron
12/29/00
6.780
40,000
11
82,866.67
6.888
CP
Amer Exp
12/29/00
6.460
50,000
11
98,694.44
6.562
CP
Amer Exp
12/29/00
6.460
50,000
11
98,694.44
6.562
CP
SRAC
12/29/00
6.550
10,000
18
32,750.00
6.662
CP
SRAC
12/29/00
6.550
50,000
18
163,750.00
6.662
Disc Notes
FHLB
12/29/00
5.840
10,000
359.
582,377.78
6.287
Disc Notes
FHLB
12/29/00
5.840
50,000
360
2,920,000.00
6.288
Disc Notes
FHLB
12/29/00
5.840
50,000
360
2,920,000.00
6.288
Disc Notes
FHLMC
12/29/00
5.830
45,000
359
2,616,212.50
6.275
Disc Notes
FHLMC
12/29/00
5.830
50,000
359
2,906,902.78
6.275
PURCHASES
CP Amer Exp 01 /16/01 6.300 35,000
18
POOLED ':MONEY INVESTMENT -ACCOUNT
-.'a' 'wfq .. �»�*°k...i�''�.��y� .,. Xt: �L..�s r �S"T *-•�^v.,, 'd `"" °� a. a" t..? � s'"' � .. .. .. A". ; a `� ... .+� "� +` .
,, MATURI'T1f .� TRANS' • PAR?DAYS'.- AMOUNT EFFECTIVE
. a
DAM I DESCRIPTION._.�AIE_ .�` YlE1.Q L 942�._ _ . EARNED � YIELQ__.
12/29/00 PURCHASES (continued)
CP
Amer Exp
01 /16/01
6.300
50,000
CP
Amer Exp
01 /16/01
6.300
50,000
CP
Amer Exp
01/16/01
6.300
50,000
CP
Amer Exp
01 /16/01
6.300
50,000
CP
Amer Exp
01 /16/01
6.300
50,000
CP
Amer Exp
01 /16/01
6.300
50,000
CP
Amer Exp
01 /16/01
6.300
50,000
CP
Amer Exp
01 /16/01
6.300
50,000
CP
Amer Exp
01 /16/01
6.300
50,000
19
al The abbreviations indicate the type of security purchased or sold;
i.e., (U.S.) Bills, Bonds, Notes, Debentures, Discount Notes,
and Participation Certificates: Federal National Mortgage Association
(FNMA), Farmers Home Administration Notes (FHA), Student Loan
Marketing Association (SLMA), Small Business Association (SBA),
Negotiable Certificates of Deposit (CD), Negotiable Certificates of
Deposit Floating Rate (CD FR), Export Import Notes (EXIM),
Bankers Acceptances (BA), Commercial Paper (CP), Government
National Mortgage Association (GNMA), Federal Home Loan Bank
Notes (FHLB), Federal Land Bank Bonds (FLB), Federal Home Loan
Mortgage Corporation Obligation (FHLMC PC) & (FHLMC GMC),
Federal Farm Credit Bank Bonds (FFCB), Federal Farm Credit Discount
Notes (FFC), Corporate Securities (CB), U.S. Ship Financing Bonds
(TITLE XI'S), International Bank of Redevelopment (IBRD), Tennessee
Valley Authority (TVA) Medium Term Notes (MTN).
h/ Purchase or sale yield based on 360 day calculation for discount
obligations and Repurchase Agreements.
c/ Repurchase Agreement.
¢/ Par amount of securites purchased, sold, or redeemed.
e/ Securities were purchased and sold as of the same date.
f/ Repurchase Agreement against Reverse Repurchase Agreement.
g/ Outright purchase against Reverse Repurchase Agreement.
h/ Security "SWAP" transactions.
i/ Buy back agreement.
RRS Reverse Repurchase Agreement.
RRP Termination of Reverse Repurchase Agreement.
all
AGOURA HILLS
Pacific Crest Bank
Pacific Crest Bank
Pacific Crest Bank
Pacific Crest Bank
Grand National Bank
Grand National Bank
Grand National Bank
Grand National Bank
Grand National Bank
Omni Bank
Omni Bank
Omni Bank
Mid -State Bank
Mid -State Bank
Mid -State Bank
BEVERLY HILLS
City National Bank
City National Bank
City National Bank
City National Bank
CAMARILLO
Camarillo Community Bank
CHICO
North State National Bank
North State National Bank
North State National Bank
North State National Bank
North State National Bank
DEPOSIT PAR MATURITY
DATE YIELD AMOUNT (S) DATE
10/16/00
6.240
10,000,000.00
01 /16/01
08/31 /00
6.430
5,000,000.00
02/27/01
10/04/00
6.330
8,000,000.00
04/02/01
12/01 /00
6.240
5,000,000.00
06/01 /01
07/20/00
6.360
3,095,000.00
01 /16/01
08/07/00
6.330
3,000,000.00
02/16/01
00/06/00
6.300
3,000,000.00
05/31 /01
06/23/00
6.170
1,000,000.00
06/25/01
07/14/00
6.120
2,000,000.00
07/13/01
10/30/00
6.370
1,300,000.00
01 /29/01
11 /28/00
6.380
2,000,000.00
02/26/01
12/04/00
6.260
6,000,000.00
03/05/01
07/17/00
6.270
5,000,000.00
01 /12/01
09/19/00
6.230
5,000,000.00
03/19/01
10/16/00
6.220
5,000,000.00
04/16/01
02/28/00
6.220
20,000,000.00
02/28/01
09/15/00
6.200
20,000,000.00
03/16/01
10/16/00
6.250
25,000,000.00
04/16/01
09/29/00
6.220
50,000,000.00
06/05/01
11 /21 /00 6.370 3,000,000.00 02/21 /01
07/07/00
6.220
3,000,000.00
01 /05/01
08/24/00
6.380
1,000,000.00
02/23/01
09/01 /00
6.410
1,500,000.00
03/02/01
04/06/00
6.170
1,000,000.00
04/06/01
04/07/00
6.170
1,000,000.00
04/06/01
21
DEPOSIT
PAR
MATURITY
NAME
DATE
YIELD
AMOUNT
DATE
CHICO (continued)
TO Counties Bank
10/10/00
6.260
10,000,000.00
01/08/01
Tri Counties Bank
12/05/00
6.190
10,000,000.00
03/06/01
Tri Counties Bank
12/12/00
6.080
10,000,000.00
03/14/01 -
Tri Counties Bank
CHULA VISTA
12/19/00
5.950
10,000,000.00
03/21 /01
North Island Federal Credit Union
09/15/00
6.240
20,000,000.00
03/14/01
North Island Federal Credit Union
CITY OF INDUSTRY
12/15/00
6.030
20,000,000.00
06/13/01
EverTrust Bank
10/16/00
6.210
3,000,000.00
04/27/01
EverTrust Bank
12/21/00
5.930
2,000,000.00
06/15/01
EverTrust Bank
12/11/00
6.040
4,000,000.00
06/15/01
EverTrust Bank
CONCORD
07/18/00
6.110
3,000,000.00
07/18/01
CA State 9 Credit Union
DUBLIN
11 /21 /00
6.410
10,000,000.00
02/20/01
Operating Engineers FCU
12/19/00
5.840
10,000,000.00
01/19/01
Operating Engineers FCU
08/22/00
6.350
10,000,000.00
02/20/01
Operating Engineers FCU
EL CENTRO
11/30/00
6.310
5,000,000.00
05/29/01
Valley Independent Bank
07/31 /00
6.330
5,000,000.00
01 /29/01
Valley Independent Bank
08/11 /00
6.340
3,750,000.00
02/15/01
Valley Independent Bank
10/31 /00
6.410
15,000,000.00
05/01 /01
Valley Independent Bank
EL SEGUNDO
05/15/00
6.410
3,750,000.00
05/15/01
Xerox Federal Credit Union
08/15/00
6.380
15,000,000.00
02/13/01
Xerox Federal Credit Union
11/14/00
6.390
5,000,000.00
05/14/01
Xerox Federal Credit Union
12/05/00
6.180
7,000,000.00
06/04/01
22
DEPOSIT
PAR
MATURITY
NAME
DATE
YIELD
AMOUNT
DATE
FRESNO
United Security Bank
11 /01 /00
6.380
15,000,000.00
01 /30/01
United Security Bank
11/15/00
6.390
10,000,000.00
05/14/01
FULLERTON
Fullerton Community Bank
01 /19/00
6.160
8,000,000.00
01 /19/01
Fullerton Community Bank
INGLEWOOD
11 /21 /00
6.390
9,000,000.00
05/21 /01
Imperial Bank
10/05/00
6.260
20,000,000.00
01/18/01
Imperial Bank
10/19/00
6.250
25,000,000.00
01/25/01
Imperial Bank
10/12/00
6.270
25,000,000.00
01/25/01
Imperial Bank
11/02/00
6.410
15,000,000.00
02/01/01
Imperial Bank
11/09/00
6.440
18,000,000.00
02/01/01
Imperial Bank
07/06/00
6.260
25,000,000.00
02/01/01
Imperial Bank
09/14/00
6.180
75,000,000.00
02/22/01
Imperial Bank
06/22/00
6.010
20,000,000.00
03/01/01
Imperial Bank
08/10/00
6.210
18,000,000.00
03/08/01
Imperial Bank
08/17/00
6.240
25,000,000.00
03/08/01
Imperial Bank
11/16/00
6.360
25,000,000.00
04/05/01
Imperial Bank
LA HABRA
12/07/00
6.130
26,000,000.00
04/05/01
South Western FCU
10/10/00
6.270
3,000,000.00
01 /09/01
South Western FCU
ME
10/10/00
6.370
3,000,000.00
04/10/01
LAME
Borrego Springs Bank
10/30/00
6.400
1,000,000.00
01 /29/01
Borrego Springs Bank
12/12/00
6.110
1,000,000.00
03/14/01
Silvergate Bank
LAGUNA HILLS
11/13/00
6.470
5,000,000.00
02/09/01
Antelope Valley Bank
12/08/00
6.140
3,000,000.00
03/08/01
Eldorado Bank
10/23/00
6.370
20,000,000.00
01 /22/01
Eldorado Bank
11 /20/00
6.400
20,000,000.00
02/20/01
Eldorado Bank
12/14/00
6.110
25,000,000.00
03/14/01
23
11
ItIuI=1 ,0 •
DEPOSIT PAR MATURITY
NAME DATE YIELD AMOUNT (a) DATE
LAKEPORT
Lake Community Bank 12/28/00 5.830 2,000,000.00 03/28/01
Farmers & Merchant Bk Cen CA 10/04/00 6.220 10,000,000.00 01 /04/01
Broadway Federal Bank
06/30/00
6.250
1,250,000.00
01 /08/01
Broadway Federal Bank
07/07/00
6.230
1,250,000.00
01 /08/01
Broadway Federal Bank
10/02/00
6.310
2,500,000.00
04/09/01
California Center Bank
10/06/00
6.240
10,000,000.00
01 /04/01
California Chohung Bank
07/19/00
6.320
1,000,000.00
01 /17/01
Cathay Bank
12/05/00
6.190
30,000,000.00
03/05/01
Cathay Bank
12/18/00
6.070
9,000,000.00
03/21/01
Cathay Bank
12/27/00
5.690
10,000,000.00
03/30/01
Cathay Bank
10/13/00
6.280
19,000,000.00
04/13/01
Eastern International Bank
11/06/00
6.420
900,000.00
05/07/01
Eastern International Bank
12/14/00
6.080
1,000,000.00
06/12/01
General Bank
10/23/00
6.350
7,000,000.00
01 /19/01
General Bank
11 /01 /00
6.380
28,000,000.00
01 /25/01
General Bank
11 /06/00
6.410
30,000,000.00
02/06/01
General Bank
11 /28/00
6.380
10,000,000.00
02/27/01
General Bank
12/08/00
6.150
25,000,000.00
03/08/01
Hanmi Bank
06/27/00
6.210
25,000,000.00
01 /02/01
Hanmi Bank
10/13/00
6.260
25,000,000.00
04/16/01
Manufacturers Bank
11 /06/00
6.430
10,000,000.00
02/05/01
Manufacturers Bank
12/04/00
6.260
10,000,000.00
03/05/01
Manufacturers Bank
09/11 /00
6.290
10,000,000.00
03/12/01
Manufacturers Bank
12/21 /00
5.910
10,000,000.00
03/21 /01
Manufacturers Bank
12/21 /00
5.910
10,000,000.00
03/21 /01
Mellon First Business Bank
12/27/00
5.760
25,000,000.00
03/27/01
Mercantile National Bank
08/17/00
6.400
2,000,000.00
02/13/01
Preferred Bank
10/16/00
6.200
3,000,000.00
01 /16/01
Preferred Bank
10/02/00
6.260
3,000,000.00
01 /16/01
Preferred Bank
11/14/00
6.390
4,000,000.00
02/13/01
Preferred Bank
11/28/00
6.360
7,000,000:00
02/26/01
Preferred Bank
12/18/00
6.050
9,000,000.00
03/19/01
Preferred Bank
12/11/00
6.050
9,000,000.00
06/11/01
Sae Han Bank
10/17/00
6.260
3,000,000.00
04/16/01
24
LOS ANGELES (continued)
State Bank of India
State Bank of India
State Bank of India
State Bank of India
State Bank of India
Western Federal Credit Union
Wilshire State Bank
Wilshire State Bank
Wilshire State Bank
Wilshire State Bank
Wilshire State Bank
Wilshire State Bank
MERCEQ
County Bank
County Bank
County Bank
County Bank
MONTEREY PARK
Trust Bank FSB
Trust Bank FSB
Safe Credit Union
Safe Credit Union
NORWALK
Cerritos Valley Bank
Cerritos Valley Bank
OAKDALE
Oak Valley Community Bank
Oak Valley Community Bank
Oak Valley Community Bank
DEPOSIT PAR MATURITY
DATE YIELD AMOUNT DATE
01 /20/00
6.110
2,000,000.00
01 /19/01
12/14/00
6.060
1,500,000.00
06/12/01
11 /07/00
6.330
2,000,000.00
06/12/01
06/12/00
6.230
2,000,000.00
06/12/01
11 /30/00
6.150
2,000,000.00
08/27/01
10/24/00
6.340
25,000,000.00
04/24/01
01 /12/00
6.090
4,000,000.00
01 /12/01
03/17/00
6.230
4,000,000.00
03/19/01
04/18/00
6.090
5,000,000.00
04/18/01
05/17/00
6.370
2,000,000.00
05/17/01
06/07/00
6.290
2,000,000.00
06/07/01
08/31 /00
6.290
4,000,000.00
08/31 /01
07/19/00
6.340
5,000,000.00
01 /18/01
12/11 /00
6.100
5,000,000.00
03/09/01
03/09/00
6.200
5,000,000.00
03/09/01
10/17/00
6.280
5,000,000.00
04/20/01
06/26/00
6.220
2,000,000.00
01 /02/01
10/02/00
6.330
4,000,000.00
04/02/01
10/05/00 6.250 5,000,000.00 01 /17/01
09/06/00 6.330 20,000,000.00 02/02/01
08/30/00 6.410 1,000,000.00 02/26/01
10/05/00 . 6.340 1,000,000.00 04/03/01
08/09/00
6.340
500,000.00
02/05/01
08/21 /00
6.360
500,000.00
03/23/01
03/24/00
6.230
1,000,000.00
03/23/01
25
DEPOSIT PAR MATURITY
NAME DATE YIELD AMOUNT DATE
Oak Valley Community Bank
09/29/00
6.240
1,500,000.00
06/05/01
Oak Valley Community Bank
ONTARIO
10/31/00
6.390
2,500,000.00
07/09/01
Citizens Business Bank
07/06/00
6.270
5,000,000.00
01/12/01
Citizens Business Bank
08/09/00
6.350
10,000,000.00
02/09/01
Citizens Business Bank
03/08/00
6.240
5,000,000.00
03/08/01
Citizens Business Bank
12/07/00
6.110
20,000,000.00
03/08/01
Citizens Business Bank
12/15/00
6.090
10,000,000.00
03/26/01
Citizens Business Bank
09/20/00
6.240
10,000,000.00
03/26/01
Citizens Business Bank
09/18/00
6.230
10,000,000.00
03/26/01
Citizens Business Bank
10/05/00
6.330
20,000,000.00
04/05/01
Citizens Business Bank
11/06/00
6.410
10,000,000.00
05/07/01
Bank of Santa Clara
03/17/00
6.230
2,000,000.00
03/19/01
Bank of Santa Clara
12/06/00
6.170
20,000,000.00
06/04/01
Bay Area Bank
07/26/00
6.300
5,000,000.00
01 /22/01
Bay Area Bank
11/02/00
6.390
5,000,000.00
05/02/01
Bay Bank of Commerce
11/02/00
6.390
5,000,000.00
05/02/01
Coast Commercial Bank
10/18/00
6.310
5,000,000.00
04/16/01
Coast Commercial Bank
12/11/00
6.070
20,000,000.00
06/11/01
Cupertino National Bank
10/26/00
6.380
10,000,000.00
04/24/01
Cupertino National Bank
11/02/00
6.390
10,000,000.00
05/02/01
Cupertino National Bank
11/02/00
6.390
25,000,000.00
05/02/01
Cupertino National Bank
12/01 /00
6.250
20,000,000.00
06/01 /01
Cupertino National Bank
12/18/00
6.030
10,000,000.00
06/19/01
Golden Gate Bank
12/01 /00
6.250
9,000,000.00
06/01 /01
Mid -Peninsula Bank
09/20/00
6.230
10,000,000.00
03/19/01
Mid -Peninsula Bank
11/02/00
6.390
15,000,000.00
05/02/01
Mid -Peninsula Bank
11/02/00
6.390
20,000,000.00
05/02/01
Mid -Peninsula Bank
12/01/00
6.250
5,000,000.00
06/01/01
Peninsula Bank of Commerce
PALOS VERDES ESTATES
12/11/00
6.070
15,000,000.00
06/11/01
Malaga Bank
07/19/00
6.350
2,000,000.00
01/19/01
Malaga Bank
09/26/00
6.270
2,000,000.00
06/04/01
NAME
PASADENA
Community Bank
Community Bank
Community Bank
Community Bank
Community Bank
Community Bank
Courts and Records FCU
Wescom Credit Union
Bank of Petaluma
Bank of Petaluma
Pacific West National Bank
El Dorado Savings Bank
El Dorado Savings Bank
El Dorado Savings Bank
El Dorado Savings Bank
El Dorado Savings Bank
POMONA
PFF Bank and Trust
PFF Bank and Trust
Bank of the Sierra
Plumas Bank
Plumas Bank
TIME DEPOSITS
DEPOSIT PAR MATURITY
DATE YIELD AMOUNT SATE
01 /10/00
6.040
20,000,000.00
01 /12/01
10/27/00
6.350
5,000,000.00
04/25/01
12/08/00
6.080
5,000,000.00
06/22/01
06/22/00
6.110
5,000,000.00
06/22/01
12/15/00
6.000
10,000,000.00
06/22/01 _
08/11 /00
6.190
15,000,000.00
08/13/01
12/13/00
6.120
2,000,000.00
03/13/01
11 /16/00
6.410
10,000,000.00
05/15/01
02/07/00 6.210 1,000,000.00 02/07/01
02/07/00 6.050 2,500,000.00 06/05/01
11 /30/00 6.320 1,000,000.00 05/29/01
02/08/00
6.230
5,000,000.00
02/08/01
03/22/00
6.250
5,000,000.00
03/22/01
04/13/00
6.150
5,000,000.00
04/13/01
05/02/00
6.180
5,000,000.00
05/02/01
06/16/00
6.150
5,000,000.00
06/18/01
03/10/00
6.450
10,000,000.00
03/09/01
12/01 /00
6.350
8,000,000.00
08/28/01
07/28/00 6.300 10,000,000.00
12/12/00 6.080
12/12/00 6.060
27
2,000,000.00
2,000,000.00
01 /24/01
03/13/01
06/12/01
DEPOSIT
PAR
MATURITY
NAME
DATE
YIELD
AMOUNT
DATE
RANCHO SANTA FE
La Jolla Bank
08/11 /00
6.340
15,000,000.00
02/07/01
La Jolla Bank
09/26/00
6.310
10,000,000.00
03/26/01
La Jolla Bank
RED BLUFF
11 /28/00
6.380
15,000,000.00
05/25/01 -
Tehama Bank
06/28/00
6.260
5,000,000.00
01 /05/01
Tehama Bank
REDDING
09/08/00
6.300
4,000,000.00
06/01/01
North Valley Bank
REDWOOD CITY
09/18/00
6.230
3,000,000.00
03/19/01
Provident Central Credit Union
RICHMOND
11/03/00
6.390
20,000,000.00
05/04/01
Mechanics Bank
03/07/00
6.230
10,000,000.00
03/07/01
Mechanics Bank
04/04/00
6.260
10,000,000.00
04/06/01
Mechanics Bank
04/25/00
6.080
10,000,000.00
04/25/01
Mechanics Bank
05/05/00
6.190
10,000,000.00
05/07/01
Mechanics Bank
06/12/00
6.230
10,000,000.00
06/12/01
Mechanics Bank
08/11/00
6.190
10,000,000.00
08/13/01
Mechanics Bank
SACRAMENTO
10/13/00
5.980
10,000,000.00
10/12/01
American River Bank
09/26/00
6.300
3,000,000.00
03/26/01
American River Bank
12/27/00
5.680
1,000,000.00
04/06/01
American River Bank
10/02/00
6.310
1,000,000.00
04/17/01
American River Bank
06/26/00
6.180
1,000,000.00
06/26/01
Bank of Sacramento
02/16/00
6.240
1,000,000.00
02/16/01
Bank of Sacramento
03/03/00
6.290
500,000.00
03/05/01
Bank of Sacramento
12/28/00
5.770
1,000,000.00
06/26/01
Golden One Credit Union
03/24/00
6.180
20,000,000.00
03/23/01
Golden One Credit Union
10/27/00
6.360
10,000,000.00
04/25/01
Golden One Credit Union
06/08/00
6.230
20,000,000.00
06/08/01
28
DEPOSIT PAR MATURITY
NAME DATE YIELD AMOUNT SATE
Merchants National Bank
07/24/00
6.270
2,000,000.00
01 /22/01
Merchants National Bank
10/24/00
6.330
-2,000,000.00
04/23/01
River City Bank
10/06/00
6.260
5,000,000.00
01 /04/01
River City Bank
08/18/00
6.370
5,000,000.00
02/26/01
River City Bank
10/27/00
6.380
3,000,000.00
04/25/01
Sanwa Bank of California
07/14/00
6.280
10,000,000.00
01/10/01
Sanwa Bank of California
02/07/00
6.180
7,000,000.00
02/09/01
Sanwa Bank of California
08/22/00
6.350
10,000,000.00
02/23/01
Sanwa Bank of California
08/15/00
6.360
50,000,000.00
02/23/01
Sanwa Bank of California
07/26/00
6.290
5,000,000.00
07/26/01
Union Bank of California
09/25/00
6.240
100,000,000.00
03/26/01
Union Bank of California
10/24/00
6.330
50,000,000.00
04/23/01
Union Bank of California
10/31/00
6.390
100,000,000.00
04/30/01
Union Bank of California -
11/14/00
6.360
50,000,000.00
05/15/01
Union Bank of California
11 /21 /00
6.360
100,000,000.00
05/21 /01
Business Bank of California 08/09/00 6.350 12,000,000.00 02/05/01
First United Bank
08/07/00
6.320
1,000,000.00
02/16/01
First United Bank
12/01 /00
6.200
1,500,000.00
06/01 /01
First United Bank
06/21 /00
6.110
1,500,000.00
06/21 /01
Mission Federal Credit Union
09/21/00
6.190
10,000,000.00
01/11/01
Mission Federal Credit Union
11/30/33
6.330
10,000,000.00
05/25/01
Neighborhood National Bank
02/02/00
6.240
1,000,000.00
02/09/01
Neighborhood National Bank
11 /21 /00
6.380
1,000,000.00
05/22/01
Santel Federal Credit Union
12/05/00
6.170
5,000,000.00
03/05/01
Santel Federal Credit Union
12/05/00
6.150
5,000,000.00
06/04/01
Santel Federal Credit Union
12/21/00
5.860
3,000,000.00
06/22/01
Scripps Bank
12/12/00
6.090
25,000,000.00
03/14/01
Bank of Canton California
07/21 /00
6.310
5,000,000.00
01 /12/01
Bank of Canton California
05/31/00
6.430
10,000,000.00
01/12/01
Bank of Canton California
08/09/00
6.320
10,000,000.00
02/05/01
Bank of Canton California
09/13/00
6.220
5,000,000.00
05/22/01
29
DEPOSIT PAR MATURITY
NAME DATE YIELD AMOUNT DATE
Bank of Canton California
05/22/00
6.230
10,000,000.00
05/22/01
Bank of Canton California
11/03/00
6.360
5,000,000.00
06/15/01
Bank of Canton California
11/02/00
6.360
5,000,000.00
06/15/01
Bank of Canton California
11/09/00
6.380
10,000,000.00
06/15/01
Bank of Canton California
09/01/00
6.260
20,000,000.00
08/31/01
Bank of the West
09/01 /00
6.340
50,000,000.00
01 /08/01
Bank of the West
08/21 /00
6.350
50,000,000.00
02/23/01
Bank of the West
04/14/00
6.170
50,000,000.00
04/16/01
Bank of the West
05/01 /00
6.140
25,000,000.00
04/27/01
Bank of the West
04/28/00
6.140
51,500,000.00
04/27/01
Bank of the West
05/05/00
6.190
25,000,000.00
05/04/01
Bank of the West
05/16/00
6.400
25,000,000.00
05/18/01
Bank of the West
05/25/00
6.230
142,000,000.00
05/25/01
Bank of the West
07/03/00
6.080
34,000,000.00
07/06/01
California Federal Bank
01 /05/00
6.080
8,000,000.00
01 /05/01
California Federal Bank
07/17/00
6.290
100,000,000.00
01/17/01
California Federal Bank
11/20/00
6.380
50,000,000.00
02/21/01
California Pacific Bank
09/20/00
6.220
11000,000.00
03/19/01
California Pacific Bank
12/19/00
5.920
1,000,000.00
06/18/01
Millennium Bank
07/31 /00
6.340
1,000,000.00
01 /29/01
Millennium Bank
08/30/00
6.420
1,000,000.00
02/26/01
Millennium Bank
11 /28/00
6.400
1,000,000.00
05/30/01
Millennium Bank
10/31/00
6.410
2,000,000.00
07/02/01
Oceanic Bank
03/07/00
6.230
2,000,000.00
03/15/01
Oceanic Bank
03/15/00
6.210
2,000,000.00
03/15/01
Trans Pacific National Bank
03/17/00
6.250
800,000.00
03/19/01
United Commercial Bank
10/13/00
6.260
10,000,000.00
01/12/01
United Commercial Bank
07/26/00
6.300
20,000,000.00
01 /22/01
United Commercial Bank
08/10/00
6.350
20,000,000.00
02/06/01
United Commercial Bank
03/20/00
6.240
25,000,000.00
03/20/01
United Commercial Bank
10/06/00
6.320
30,000,000.00
04/04/01
United Commercial Bank
12/07/00
6.050
10,000,000.00
06/05/01
United Commercial Bank
09/01 /00
6.320
20,000,000.00
08/31 /01
Heritage Bank of Commerce
08/21 /00
6.360
2,000,000.00
02/16/01
Meriwest Credit Union
07/26/00
6.310
14,000,000.00
01 /22/01
Meriwest Credit Union
10/10/00
6.380
8,000,000.00
04/09/01
Santa Clara Co. Fed. C.U.
08/10/00
6.340
15,000,000.00
02/06/01
30
DEPOSIT PAR MATURITY
NAME DATE YIELD AMOUNT DATE
First Bank of San Luis Obispo
10/10/00
6.270
1,000,000.00
01 /08/01
First Bank of San Luis Obispo
11 /01 /00
6.380
3,600,000.00
01 /30/01
First Bank of San Luis Obispo
11/06/00
6.430
2,000,000.00
02/09/01
First Bank of San Luis Obispo
11 /20/00
6.380
2,500,000.00
02/20/01
First Bank of San Luis Obispo
12/18/00
6.070
5,000,000.00
03/19/01
First Bank of San Luis Obispo
10/23/00
6.330
1,000,000.00
04/20/01
Mission Community Bank
10/10/00
6.270
1,000,000.00
01 /10/01
Mission Community Bank
01 /10/00
6.060
500,000.00
01 /12/01
Mission Community Bank
09/12/00
6.280
1,000,000.00
03/12/01
Mission Community Bank
12/11/00
6.070
1,000,000.00
06/12/01
San Luis Trust Bank
07/11 /00
6.240
350,000.00
01 /08/01
San Luis Trust Bank
08/04/00
6.380
1,000,000.00
01 /31 /01
East West Federal Bank
10/05/00
6.260
12,000,000.00
01/05/01
East West Federal Bank
11 /02/00
6.410
35,000,000.00
02/01 /01
East West Federal Bank
05/04/00
6.200
35,000,000.00
05/04/01
East West Federal Bank
11/13/00
6.390
38,000,000.00
05/18/01
Westamerica Bank
08/07/00
6.330
25,000,000.00
01/30/01
Westamerica Bank
07/31 /00
6.310
25,000,000.00
01 /30/01
Westamerica Bank
09/19/00
6.220
25,000,000.00
03/22/01
Westamerica Bank
04/18/60
6.080
25,000,000.00
04/18/01
Westamerica Bank
05/15/00
6.400
50,000,000.00
05/15/01
Westamerica Bank
10/25/00
6.330
25,000,000.00
07/13101
Westamerica Bank
07/14/00
6.080
25,000,000.00
07/13/01
EBTEL Federal Credit Union 07/06/00 6.240 1,750,000.00 01 /05/01
EBTEL Federal Credit Union 10/06/00 6.340 1,750,000.00 04/04/01
FNB of Central California
07/10/00
6.230
10,000,000.00
01/08/01
FNB of Central California
09/07/00
6.310
10,000,000.00
03/06/01
FNB of Central California
10/18/00
6.270
10,000,000.00
04/17/01
31
DEPOSIT PAR MATURITY
DATE YIELD AMOUNT DATE
FNB of Central California
08/07/00
6.350
10,000,000.00
05/01 /01
Santa Barbara Bank & Trust
07/14/00
6.290
10,000,000.00
01 /10/01
Santa Barbara Bank & Trust
07/21 /00
6.250
10,000,000.00
01 /22/01
Santa Barbara Bank & Trust
08/11 /00
6.210
10,000,000.00
03/09/01
Santa Barbara Bank & Trust
09/08/00
6.330
10,000,000.00
04/06/01
Santa Barbara Bank & Trust
10/10/00
6.340
10,000,000.00
05/03/01
Santa Barbara Bank & Trust
06/09/00
6.260
10,000,000.00
06/08/01
Santa Barbara Bank & Trust
07/07/00
6.080
10,000,000.00
07/06/01
Valencia Bank & Trust
09/22/00
6.230
1,000,000.00
03/21 /01
Valerm is Bank & Trust
ROSA
09/22/00
6.230
3,000,000.00
03/21 /01
AANTA
Community First Credit Union
10/02/00
6.270
2,000,000.00
01/04/01
National Bank of the Redwoods
10/31 /00
6.360
5,000,000.00
02/01 /01
National Bank of the Redwoods
10/30/00
6.390
10,000,000.00
04/30/01
Redwood Credit Union
09/06/00
6.350
17,000,000.00
03/05/01
Pacfic State Bank
07/18/00
6.340
1,000,000.00
01 /12/01
Pacific State Bank
10/16/00
6.270
1,000,000.00
04/16/01
Union Safe Deposit Bank
08/07/00
6.360
10,000,000.00
02/05/01
Union Safe Deposit Bank
11 /16/00
6.410
10,000,000.00
02/21 /01
Union Safe Deposit Bank
03/15/00
6.260
10,000,000.00
03/15/01
Union Safe Deposit Bank
04/13/00
6.200
10,000,000.00
04/13/01
Union Safe Deposit Bank
11/09/00
6.430
10,000,000.00
05/08/01
Washington Mutual Bank
07/14/00
6.120
15,000,000.00
01 /23/01
Washington Mutual Bank
07/14/00
6.250
15,000,000.00
01 /23/01
Washington Mutual Bank
08/10/00
6.330
15,000,000.00
02/22/01
Washington Mutual Bank
02/18/00
6.210
15,000,000.00
02/22/01
Washington Mutual Bank
09/15/00
6.180
30,000,000.00
03/14/01
Washington Mutual Bank
10/27/00
6.360
30,000,000.00
05/01 /01
Washington Mutual Bank
11 /13/00
6.380
30,000,000.00
06/01 /01
Washington Mutual Bank
12/28/00
5.690
15,000,000.00
06/26/01
32
L D -4 e
DEPOSIT PAR MATURITY
NAME DATE YIELD AMOUNT DATE
SUNNYVALE
Asiana Bank 10/06/00 6.260 1,500,000.00 01/04/01
China Trust Bank (USA)
10/06/00
6.260
10,000,000.00
01 /04/01 _
China Trust Bank (USA)
11/13/00
6.420
10,000,000.00
02/13/01
China Trust Bank (USA)
12/04/00
6.260
20,000,000.00
03/05/01
China Trust Bank (USA)
12/13/00
6.100
5,000,000.00
03/13/01
China Trust Bank (USA)
10/23/00
6.330
15,000,000.00
04/23/01
South Bay Bank
07/17/00
6.320
2,000,000.00
01/16/01
South Bay Bank
07/31 /00
6.330
1,000,000.00
01 /29/01
South Bay Bank
08/28/00
6.390
3,000,000.00
03/02/01
South Bay Bank
12/12/00
6.090
2,000,000.00
03/12/01
South Bay Bank
10/31/00
6.410
2,000,000.00
05/04/01
South Bay Bank
TUSTIN
12/21/00
5.890
2,000,000.00
05/04/01
First Fidelity Investment & Loan
07/27/00
6.290
4,000,000.00
01/25/01
First Fidelity Investment & Loan
08/10/00
6.340
6,000,000.00
02/06/01
First Fidelity Investment & Loan
03/01 /01
6.210
15,000,000.00
03/01 /01
First Fidelity Investment & Loan
10/17/00
6.270
10,000,000.00
04/20/01
Sunwest Bank
07/31/00
6.310
2,500,000.00
01/25/01
Sunwest Bank
07/27/00
6.290
3,300,000.00
01/25/01
Sunwest Bank
09/08/00
6.300
1,000,000.00
03/09/01
Sunwest Bank
10/12/00
6.320
3,500,000.00
04/10/01
Sunwest Bank
VACAVILLE
10/20/00
6.310
2,500,000.00
04/20/01
Travis Credit Union
VISALIA
09/06/00
6.350
40,000,000.00
03/05/01
Bank of Visalia
08/01/00
6.340
1,000,000.00
01/30/01
Bank of Visalia
10/30/00
6.360
2,000,000.00
01/30/01
Monterey Bay Bank 09/29/00 6.220 8,000,000.00 01 /05/01
33
TIME DEPOSITS
DEPOSIT
WATSONVILLElcontinuedl
Monterey Bay Bank 12/18/00
Ousker City Bank
10/02/00
Quaker City Bank
07/12/00
Quaker City Bank
10/02/00
Quaker City Bank
04/18/00
Quaker City Bank
09/08/00
Quaker City Bank
12/27/00
6.070
PAR
AMOUNT (�)
6.250
7,000,000.00
6.260
7,000,000.00
6.300
8,000,000.00
6.090
8,000,000.00
6.300
25,000,000.00
5.670
10,000,000.00
TOTAL TIME DEPOSITS FOR DECEMBER 2000: 4,340,845,000.00
MATURITY
DATE
03/22/01
01 /08/01
01 /08/01
04/06/01
04/18/01
05/31 /01
06/27/01
34
BANK DEMAND DEPOSITS
DECEMBER
2000
($ in thousands)
DAILY BALANCES
DAY OF BALANCES
MONTH PER BANKS
1 $
172,474
2
172,474
3
172,474
4
445,678
5
303,719
6
82,955
7
196,012
8
276,455
9
276,455
10
276,455
11
314,803
12
1499270
13
243,425
14
2809082
15
637,634
16
637,634
17
637,634
18
683,912
19
274,821
20
349,246
21
424,208
22
130,039
23
130,039
24
130,039
25
130,039
26
906,621
27
615,297
28
435,783
29
471,657
30
471,657
31
471,657
AVERAGE DOLLAR DAYS $
3519634 aL
WARRANTS
OUTSTANDING
2,656,673
2,656,673
2,656,673
2,107,196
2,118,047
1,872,644
2,061,889
2,090,190
2,090,190
2,090,190
1,765,055
1,6999638
1,882,143
197849073
2,009,280
2,015,219
2,015,219
1,839,495
1,709,350
1,653,254
1,8119818
1,590,012
1,590,012
1,590,012
1,590,012
1,737,253
1,885,615
1,832,288
2,032,475
2,0329475
2,037,027
8L The prescribed bank balance for December was $397,486. This consisted of
$174,833 in compensating balances for services, balances for uncollected
funds of $231,566 and a deduction of $8,913 for November delayed
deposit credit.
35
DESIGNATION BY POOLED MONEY INVESTMENT BOARD
OF TREASURY POOLED MONEY INVESTMENTS AND DEPOSITS
No. 1618
In accordance with sections 16480 through 16480.8 of the Government Code, the Pooled Money Investment Board, at its
meeting on December 20, 2000, has determined and designated the amount of money available for deposit and investment
under said sections. In accordance with sections 16480.1 and 16480.2 of the Government Code, it is the intent that the
money available for deposit or investment be deposited in bank accounts and savings and loan associations or invested in
securities in such a manner so as to realize the maximum return consistent with safe and prudent treasury management,
and the Board does hereby designate the amount of money available for deposit in bank accounts, savings and loan associ-
actions, and for investment in securities and the type of such deposits and investments as follows:
1. In accordance with law, for deposit in demand
bank accounts as Compensating Balance for Services
$ 172,538,000
The active noninterest-bearing bank accounts designation constitutes a calendar month average balance. For purposes of
computing the compensating balances, the Treasurer shall exclude from the daily balances any amounts contained therein as
a result of nondelivery of securities purchased for "cash" for the Pooled Money Investment Account and shall adjust for any
deposits not credited by the bank as of the date of deposit. The balances in such accounts may fall below the above amount
provided that the balances computed by dividing the sum of daily balances of that calendar month by the number of days in
the calendar month reasonably approximates that amount. The balances may exceed this amount during heavy collection
periods or in anticipation of large impending warrant presentations to the Treasury, but the balances are to be maintained in
such a manner as to realize the maximum return consistent with safe and prudent treasury management.
2. In accordance with law, for investment in securities authorized by section 16430, Government Code, or in term intere t-
bearing deposits in banks and savings and loan associations as follows: s
Time Deposits in
Various Financial
Institutions
From
To
Transactions
In Securities
(section 16430)'
(sections 16503a
and 16602)'
Estimated
( 1)
12/18/2000
12/22/2000
$
1,241,000,000
$
36,623,155,000
$
Total
(2)
12/25/2000
12/29/2000
$
1,600,600,000
$
38,223,755,000
$
4,296,845,000
$
40,920,000,000
(3)
01/01/2001
01/05/200,
$
1,413,300,000
$
39,637,055,000
$
4,296,845,000
$
42,520,600,000
(4)
01/08/2001
01/12/200,
$
25,100,000
$
39,662,155,000
$
4,296,845,000
$
43,933,900,000
(5)
01/15/2001
01/19/2001
$
1,490,800,000
$
41,152,955,000
$
4,296,845,000
$
43,959,000,000
(6)
01 /22/2001
01 /26/200,
$
825, 500, 000
$
41, 978,455, 000
$
4,296,845,000
$
45,449,800,000
(7)
01/29/2001
02/02/2001
$
(574,800,000)
$
41,403,655,000
$
4, 296, 845, 000
$
46, 275, 300.000
(8)
02/05/2001
02/09/2001
$
867,300,000
$
42,270,955,000
$
4,296,845,000
4,296,845,000
$
45,700,500,000
(9)
02/12/2001
02/16/2001
$
300,500,000
$
42,571,455,000
$
$
46,567,800,000
(10)
02/19/2001
02/23/2001
$
588,900,000
$
43,160,355,000
$
4,296,845,000
$
46,868,300,000
4,296,845,000
$
47,457,200,000
From any of the amounts specifically designated above, not more than 30 percent in the aggregate may be invested
in prime commercial paper under section 16430(e), Government Code.
Additional amounts available in treasury trust account and in the Treasury from time to time, in excess of the
amounts and for the same types of investments as specifically designated above.
Provided, that the availability of the amounts shown under paragraph 2 is subject to reduction in the amount by
which the bank accounts under paragraph 1 would otherwise be reduced below the calendar month average balance
of $ 172,538,000.
POOLED MONEY INVESTMENT BOARD:
Chairperson
Member
Dated: December 20, 2000
' Government Code
36 Member
BOARD MEMBER ITEMS
Barbara T Irwin 760 772 1194 03/16/01 02:08P P.001
Rep. Baker Releases GAG Study ShoeShowing
lators 'sack' Powers Of Bank Rcguh.. Page 1 o F 1
Rep. Baker Releases GAO SCSlE Regulators 'Lack' Powers Of Bank
Regulators
March 1, 2DO1
WASHINGTON -- U.5. Rep, Richard H. Baker, R Baton Rouge, released today a government report he hoped would provide
momentum of greater objectivity to his Call for stronger oversight of the housing govern merrNponsored enterprises (GSES).
Baker, who chairs the House Capital Markets subcommittee with jurisdiction over the GSEs, made public a stuffy by the non
partisan General Accounting Office (GAO), which concluded that GSC regulators lack Certain key enforcement and prompt
corrective -action (PCA) authorities of bank regulators_
For more than a year 13aker has led the charge in Congress for greater scrutiny of the activities and financial safety and
soundness of the mortgage finance glants, whose Close ties to the federal government, could, in the event of a major financial
problem, put Arnerlcan taxpayers at risk.
The GAO review requested by Baker Is a followuf) report of a highly attended September Capital Markets Subcommittee
'roundtable" discussion on the issue of GSE regulatory reform involving a wide array of federal agencies, academics, market
participants, consumer advocates, taxpayer watchdogs, and the GSEs themselves.
"The great contribution of the roundtable, what I feel emerged from it, was a general consensus that the GSEs do in fact need
stronger oversight, and that, more specifically, two of the largest financial institutions in America should at least have more
'bank -like' supervision," Baker said.
"The GAO report puts an objective stamp on that general Impression and points out the steps we need to take to make the GSE
regulators comparable in strength to bank regulators," Baker added.
Baker was quick to point out that the GAO review should In no way be seen as a criticism of the operation and management of
the current GSE regulators, but rather as an indication of the limitations placed upon them in respect to the powers they have
been provided.
Baker, who is in the process of drafting a bill to reform WE regulation, says he will use the GAO study as a guide to ,-2ddress the
shortcomings in the existing authorities granted under the current regulatory structure.
"we already understand the resource shortfalls facing the proper monitoring of the GSEs. But GA(3; report confirms that the
legal authorities of the GSE regulators, particularly OFHEO as the regulator of Fannie Mae and Freddie Mac, are significantly
weaker than federal bank regulators for taking action when capitalization and safety and soundness Issues arise," Baker said.
Among other findings concerning Baker, the GAO report found that
"OFHEO lacks authority to remove officers and directors, place an enterprise into receivership, or bring suit on the
agency's behalf (OFHEO must rely on the Attorney General). These differences, In certain cases, may cause OFHEO to
rely on less direct measures";
• "There is no specific statutory authority for OFHEO to issue a C&p (cease and desist) order if an enterprise were to
violate conditions imposed in writing"; and
• "OFHEO's PCA scheme, as compared to the bank regulators,' may provide for regulatory action later (in terms of capital
classification) than the bank regulators PCA scheme, has fewer required actions imposed, and provides OFHEO more
discrotion in determining specifically what action to take_"
Each of these concerns will be addressed by Baker and the subcommittee in the coming months..
Text of GAO report,.(rcquir(,s.Acrobat Reader)
http://www.mbaa.org/w&sh_update/L041/news/0302a.html 3/16/01
03-16-01 14:14 RECEIVED FROM:760 772 1194 P-01
` egulators
Rep. Baker Releases GAO Study Showin G
Rep. Baker Releases GAO Stud Showing GSE
Regulators
March 1, 2001
'Lack' Powers Of Bank RegulL. Page 1 of 1
Regulators 'Lack' Powers Of Bank
WASHINGTON -- U.S. Rep. Richard H. Baker, R Baton Rouge, released today a government report he hoped would provide
momentum of greater objectivity to his call for stronger oversight of the housing govern mentsponsored enterprises (GSES).
Baker, who chairs the House Capital Markets subcommittee with jurisdiction over the GSEs, made public a study by the non
partisan General Accounting Office (GAO), which concluded that GSE regulators lack certain key enforcement and prompt
corrective -action (PCA) authorities of bank regulators.
For more than a year Baker has led the charge in Congress for greater scrutiny of the activities and financial safety and
soundness of the mortgage finance giants, whose close ties to the federal government, could, in the event of a major financial
problem, put American taxpayers at risk.
The GAO review requested by Baker is a follow-up report of a highly attended September Capital Markets Subcommittee
"roundtable" discussion on the issue of GSE regulatory reform involving a wide array of federal agencies, academics, market
participants, consumer advocates, taxpayer watchdogs, and the GSEs themselves.
"The great contribution of the roundtable, what I feel emerged from it, was a general consensus that the GSEs do in fact need
stronger oversight, and that, more specifically, two of the largest financial institutions in America should at least have more
bank -like' supervision," Baker said.
"The GAO report puts an objective stamp on that general impression and points out the steps we need to take to make the GSE
regulators comparable in strength to bank regulators," Baker added.
Baker was quick to point out that the GAO review should in no way be seen as a criticism of the operation and management of
the current GSE regulators, but rather as an indication of the limitations placed upon them in respect to the powers they have
been provided.
Baker, who is in the process of drafting a bill to reform GSE regulation, says he will use the GAO study as a guide to address the
shortcomings in the existing authorities granted under the current regulatory structure.
"We already understand the resource shortfalls facing the proper monitoring of the GSEs. But GAO report confirms that the
legal authorities of the GSE regulators, particularly OFHEO as the regulator of Fannie Mae and Freddie Mac, are significantly
weaker than federal bank regulators for taking action when capitalization and safety and soundness issues arise," Baker said.
Among other findings concerning Baker, the GAO report found that
"OFHEO lacks authority to remove officers and directors, place an enterprise into receivership, or bring suit on the
agency's behalf (OFHEO must rely on the Attorney General). These differences, in certain cases, may cause OFHEO to
rely on less direct measures";
"There is no specific statutory authority for OFHEO to issue a C&D (cease and desist) order if an enterprise were to
violate conditions imposed in writing"; and
"OFHEO's PCA scheme, as compared to the bank regulators,' may provide for regulatory action later (in terms of capital
classification) than the bank regulatory PCA scheme, has fewer required actions imposed, and provides OFHEO more
discretion in determining specifically what action to take."
Each of these concerns will be addressed by Baker and the subcommittee in the coming months.
Text of GAO report (requires Acrobat Reader)
http://v;xxw.mbaa.org/wash,._update/2001/news/0302a.html 3/16/01
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MEMORANDUM
TO: Investment Advisory Board Members
FROM: John Falconer, Finance Director '%
DATE; March 14, 2001
RE: CMTA Conference - April 23 - 27
Attached please find the schedule of events for the above conference. The pre-
conference begins on Monday, April 23, 2000 and the actual conference begins
on Wednesday, April 25, 2000. Since the conference is in Riverside it was the
intent of staff to commute on a daily basis to the conference.
If you are interested in attending the conference, please contact me as soon as
possible at 760 - 777-7150 so we can process the check and fill out the
conference registration form. Thank you.
CMTA 2001 Conference Registration Form
Riverside Convention Center, Riverside
April 23-24 2000 - Pre -Conference
April 25-27 2000 - Conference
You must be a current CMTA member (Active/Government Associate/Sustaining) to register. If you need to
verify that your membership is current, please contact Fran Medema at CMTA's Sacramento office at (916) 658-
8209. If you have any questions regarding conference registration call City of Riverside at (909) 826-5660.
Please use a separate form for each registrant (photocopies accepted.) (This form is not valid for Commercial
Associate members.)
Name (Please Print or Type) Title Organization Name you prefer on badge
Mailing Address
City State
Phone Fax
Is this your first CMTA conference? (yes or no)
Thursday Banquet Beef Seafood
Registration Fees
Pre -Conference Seminar [Active or Government Associate]
Pre -Conference Seminar only
Pre -Conference Seminar if also attending conference
Conference
Active or Government Associate
Includes all meals, receptions & Thursday Installation Banquet
Second registrant from same organization
Includes all meals, receptions & Thursday Installation Banquet
Zip
Spouse/Guest Name
Special dietary needs? (yes or no)
Early (on or before 3/9/01)
(on or before 4/2/01)
Regular (after 4/2/01)
Early (on or before 3/9/01)
(on or before 4/2/01)
Regular (after 4/2/01)
Daily Conference Registration ❑ Wednesday ❑ Thursday Daily Rate x
Available only in addition to fully paid conference registration
Includes breakfast & lunch only
Additional Meals
Spouses & guests
Events
Golf Tournament (see flyer for details)
Mission Inn & Heritage House Tours
(see flyer for details)
Wednesday Lunch x
Thursday Lunch x
Thursday Banquet x
Mission Inn Tour x
Total Fees
$ 115.00
$ 105.00
$ 225.00
$ 250.00
$ 260.00
$ 200.00
$ 225.00
$ 260.00
$ 100.00
$ 25.00
$ 25.00
$ 50.00
$ 20.00
Amount
$
$
$
$
Please make checks payable to "CMTA 2001 Conference." Mail to: CMTA Registration, c/o City of Riverside,
Finance Department, 3900 Main St., Riverside, CA 92522. Advance registrants unable to attend may receive a
refund of the registration fee less $25.00 processing fee by submitting a written request to CMTA at the same
address or fax (909) 826-5683 by April 13, 2001. No refunds will be made if requested after that date. Substitute
attendees will be accepted at any time.
CITY OF RIVERSIDE - Finance Dept. 9 3900 Main St. 9 Riverside, CA 92522
CONFERENCE REGISTRATION INFORMATION
Please complete the CMTA 2001 Conference Registration form and mail it with your payment. Be sure to
include payment for additional meals and special events according to the information provided on the form.
Once your organization has paid for one full conference registration, your organization is eligible to take
advantage of a single day registration for additional staff members for either Wednesday or Thursday of the
conference at only $100 per person per day.
DUE DATES
March 9, 2001 ............................ Early Registration Fee
April 2, 2001 .............................. Regular Registration Fee
After April 2, 2001 ..................... Late Registration Fee
Hotel Accommodations
The "main" conference hotel is the Mission Inn. Hotel registration must be received by March 24, 2001 in
order to receive the special CMTA rate of $79.00 single and $94.00 double per night. Hotel reservations must
be made by calling the Mission Inn Hotel directly at (800) 843-7755 or (909) 784-0300 X850. Don't delay in
making your hotel reservations; there are only a limited number of CMTA rooms available. The Holiday Inn
Select/Riverside is the "Overflow" hotel. Our special group rate is $79.00 single, $89.00 double, per night if
received by March 23, 2001. You can reach Holiday Inn Select at (909) 784-8000. DON'T FORGET TO
CALL.
Special Events
If you or your guest plan on participating in either of the special events (Golf, Mission Inn and Heritage House
Tour), be sure to complete the corresponding form and mail it with your payment as indicated on the event
flyer.
When You Arrive
The CMTA registration desk will be located at the front entrance of the Riverside Convention Center (3443
Orange Street). Please see attached map. Staff will be available daily to assist you beginning on Monday,
April 231h, from 7:30AM — 5:OOPM. At the CMTA registration desk you will find the latest information on the
conference, as well as on the CMTA message board.
Directions to the Mission Inn Hotel
By air — Ontario International Airport is approximately 40 minutes away. Both hotels offer a complimentary
shuttle service from and to the Ontario International Airport. Please call the Mission Inn at (909) 784-0300 or
Holiday Inn Select at (909) 784-8000 72 hours in advance. Please be prepared to provide them with the flight
number, airline and time and date of arrival.
By Ground — Ontario International Airport, take I-10 east to the 15 south to the 60 east. Proceed on the 60 east
and exit Market Street. Bear right and continue on Market to Mission Inn Avenue. Turn left onto Mission Inn
Avenue and the hotel will be on your left (3649 Mission Inn Avenue). Self Park is $4.00 per night and Valet
Parking is $8.00 per night.
Questions
By phone: (909) 826-5660
By Fax: (909) 826-5683
By E-mail: ncorona@ci.riverside.ca.us
Map not to scale
to
Orange County
MISSION INN HOLIDAY INN SELECT RIVERSIDE CONVENTION CENTER
3649 Mission Inn Avenue 3400 Market 3443 Orange Street
(909) 784-0300 (909) 784-8000 (909) 787-7950
DIRECTIONS TO THE MISSION INN
Ontario/Pasadena/Los Angeles Area
10 East to 15 South (San Diego) to
60 East (Riverside)
Exit Market Street, turn right
Go to Mission Inn Avenue, turn left
Mission Inn is on the left
LAX Airport
105 East to 605 North to 60 East (Riverside)
Exit Market Street, turn right
Go to Mission Inn Avenue, turn left
Mission Inn is on the left
Orange County/Beach Cities
91 East (Riverside)
Exit University Avenue/Downtown, turn left
Go 3 blocks to Orange Street, turn right
On the corner of Mission Inn Avenue and Orange
San Bern ardino/Victorville Area
215 South (becomes 91)
Exit Mission Inn Avenue/Downtown, turn right
Go 3 blocks to Mission Inn (on right)
San Diego/Temecula
15 North to 91 East (Riverside)
Exit University Avenue/Downtown, turn left
Go 3 blocks to Orange Street, turn right
Go 1 block to Mission Inn Avenue, turn left
On immediate right
Parking: Valet: Enter Mission Inn driveway
Self Parking: Right on Orange Street,
Left on 6`h, Garage on right
CMTA ANNUAL CONFERENCE
DRAFT
Pre -Conference
4/23/01 Monday
1:00-3:15 Feel the Force — Your Agency Investments Now and in the
Future
Freddie Mac
Federal Home Loan Bank- John Darr, Managing Director of Finance
Farm Credit Bank- Doug Williams, Managing Director of Finance
Sallie Mae- Guido Van der Vin, Managing Director
FNMA- Emily Lange, Analyst
3:15-3:30 Break
3:30 - 4:15 Standard & Poor's Rating Agency
4:15 — 5:00 Corporate Issuer
4/24/01 Tuesday
8:00 —9:30 Broker -Dealer Relationships
(Panel Discussion)
Roger Marumoto, So. Calif. Metropolitan Water District
William Blackwill, Salomon Smith Barney
Michele Lund, City of Oceanside
Tony Garcia, Wells Fargo Bank
9:45 —11:45 Conquering the Dark Side of Investing
(Panel Discussion)
Custodian - BNY Western Trust Co.
Trader —Robert Matelwich, Salomon Smith Barney
Salesperson -
Moderator — City
12:00pm Golf
Mission Inn Tour
Heritage House Tour
Draft
Conference
4/26/01 Thursday
8:00—10:15am On-line Investing in the 21s' Century
Girard Miller, ICMA Retirement Corporation
10:30 —11:45 The Future of Technology
George Kenny, Shepherd Ventures
12:00
—1:45pm
Keynote Luncheon Speaker
Gary Schlossberg, Economist
Wells Fargo Bank
2:00
— 3:00
Benchmarking & Portfolio Monitoring
Rick Philips, Mgr. of Treasury Finance
Clark County, NV
3:00 —
3:15
Break
3:15 —
4:00
Nuts & Bolts
4:00 —
4:30
Nuts & Bolts Wrap-up
4:30 —
5:30
Photo Session
6:00
Reception
7:15
Dinner
8:00
Opening & Installation
9:00 —12:00
Dancing