2005 12 14 IAB Minutes
INVESTMENT ADVISORY BOARD
Meeting
December 14, 2005
CALL TO ORDER
Regular meeting of the La Quinta Investment Advisory Board was called to order at the
hour of 3:00 P.M. by Vice Chairperson Deniel, followed by the Pledge of Allegiance.
PRESENT:
Board Members Olander, Moulin, and Deniel
ABSENT:
None.
OTHERS PRESENT:
John Falconer, Finance Director and Vianka Orrantia,
Secretary - Visitor: Mr. Gary Egbert
II PUBLIC COMMENTS
III CONFIRMATION OF AGENDA
Mr. Falconer advised the Board of the Handout to be added to Item A: Budget
Cash Flow Sheet.
IV CONSENT CALENDAR
A. Approval of Minutes of Meeting on November 9, 2005 for the Investment
Advisory Board.
MOTION - It was moved by Board Members Moulin/Olander to approve the
Minutes of November 9, 2005. Motion carried unanimously.
V BUSINESS SESSION
A. Transmittal of Treasury Report for October 2005
Mr. Falconer updated the Board on the monthly activity; page 6 reflects a
$9 million T -Bill roll off with a yield of maturity of 2 % which was
reinvested at 4.19%, bringing the investments closer to the current yield.
Investment Advisory Board
Minutes
December 14, 2005
Mr. Falconer informed the Board that he did draw down on LAI F funds
and the balances are currently down around $15 million, from $40
million.
General discussion ensued among the Board regarding the current market
rates.
MOTION - It was moved by Board Members Olander/Moulin to
approve, receive and file the Treasury Report for October 2005.
Motion carried unanimously.
VI CORRESPONDENCE AND WRITTEN MATERIAL
A. Month End Cash Report - October 2005
Mr. Falconer informed the Board of the increasing rise of LAIF rates
which are currently at 3.73%. Page 5 reflects the increases, September
rates were at 3.3%, the end of October rates were at 3.45% and the end
of November rates were at 3.63%.
Board Member Moulin stated that page 2 of the Treasury Report reflects
a substantial increase; it went from $178 million to $185 million. Mr.
Falconer advised the Board that $3.5 million was received from the
County for a Teeter Cash Credit, this was a result of property taxes being
accumulated into a fund held by the County Treasurer, which was up to
$95 million total. These monies should have been distributed to the
Redevelopment Agency and the City, in prior years. Interest was
received on the distribution which amounted to $100,000 for the General
Fund and approximately $3.3 million for the Redevelopment Agency.
Another reason for the increase was the RDA's sale of the Hammer
Poperty to Sam's Club.
General discussion ensued among the Board regarding the Teeter Funds
and the reporting and booking of funds.
Noted and Filed
B. Pooled Money Investment Board Reports - September 2005
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Investment Advisory Board
Minutes
December 14, 2005
Mr. Falconer informed the Board that the daily portfolio is currently
around $50 billion.
General discussion ensued among the Board regarding current
investments and possible other investments that could be used by the
City.
Noted and Filed
VIII BOARD MEMBER ITEMS
Board Member Olander read the article in the local newspaper regarding the
award received by Mr. Falconer and accounting staff for financial reporting.
Board Member Olander along with the other Board members extended their
congratulations.
Board Member Moulin asked staff about the audit? Mr. Falconer replied that Mr.
Harrison will be present at the January meeting. Board Member Moulin asked if
there were any changes in controls or comments affecting investments of cash.
Mr. Falconer replied that there were none; just a few housekeeping issues.
Mr. Falconer informed the Board that the minutes from the joint meeting with
City Council were included for the Board's review.
Board Member Deniel asked staff what the status was for the new Board
members. Mr. Falconer replied that the submittal for the applications closes at
the end of December. Mr. Falconer advised the Board that he has spoken to
three potential candidates and the interview process is possibly scheduled for
the first council meeting in January. Board Member Deniel asked if the Board
will have a chance to review the resumes of the candidates. Mr. Falconer
replied that the resumes are included the City Council agenda packet. Board
Member Moulin stated that he will try to be in attendance for the interviews.
Mr. Falconer advised the Board that as soon as the resumes are available they
will be forwarded to the Board.
VIII Adjournment
MOTION - It was moved by Board Members Moulin/Olander to adjourn the
meeting at 3:32 p.m. Motion carried unanimously.
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Investment Advisory Board
Minutes
December 14, 2005
Submitted by,
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Vianka Orrantia
Secretary
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