2008 05 14 IAB MinutesINVESTMENT ADVISORY BOARD
Meeting
May 74, 2008
CALL TO ORDER
Regular meeting of the La Quinta Investment Advisory Board was called to order at the
hour of 4:30 P.M. by Chairwoman Deniel, followed by the Pledge of Allegiance.
PRESENT: Board Members Moulin, Ross, Deniel, Rassi and Park
ABSENT: None
OTHERS PRESENT: John Falconer, Finance Director and Vianka Orrantia, Senior
Secretary
II PUBLIC COMMENTS -None.
III CONFIRMATION OF AGENDA - (This is the time set aside for public comment
on any matter not scheduled on the agenda.)
Mr. Falconer requested (under the discussion of the investment policy) that the
Board discuss the date to present the final investment policy to council.
Board Member Ross requested that the four handouts be added for discussion
under the investment policy.
IV CONSENT CALENDAR
Approval of Minutes of Meeting on April 9, 2008 for the Investment Advisory
Board.
Board Member Ross advised of several corrections to the minutes;
Page 3: last paragraph, the word approve should be reflected as "appFeve."
Page 4: second paragraph should read: "General discussion ensued by the
Board regarding the issue of whether or not the Board should be included as
part of section VIII -Conflict and ~~ Interest."
MOTION - It was moved by Board Members Moulin/Ross to approve the minutes
of April 9, 2008 as amended. Motion carried unanimously.
Investment Advisory Board May 74, 2008
Minutes
V BUSINESS SESSION
A. Transmittal of Treasury Report for March 2008
Mr. Falconer presented and reviewed the staff report for the month of
March and advised that the portfolio declined by S6.7 million due to
construction activities at the Vista Dunes housing project, the Civic
Center Expansion and the Avenue 48`" housing project ending the month
at approximately S 184 million. Mr. Falconer also advised that the
portfolio has continued to decline with the average maturity at 74 days,
with the portfolio yield currently exceeding the benchmark and a
continued drop in interest rates due to the current interest rate
environment. Mr. Falconer further advised that the pooled cash
investments are currently a little over 4%, with U.S. Treasuries at 2.8%
and the overall investment yield at 3.67% and the current benchmark at
1.5 %.
In response to Board Member Moulin, Mr. Falconer advised that the term
"benchmark' is still used in accordance with the existing policy.
In response to Board Member Ross, Mr. Falconer advised that in
accordance with the current policy he has not considered increasing the
limits of commercial paper at this time. Mr. Falconer further advised that
if he decided to increase any limits, he would increase LAIF or GSE's.
MOTION - It was moved by Board Members Moulin/Ross to approve,
receive and file the Treasury Report for March 2008. Motion carried
unanimously.
B. Continued Consideration of the Fiscal Year 2008/09 Investment Policy
The Board reviewed the attached Investment Policy (Attachment No. 1)
and changes/additions/deletions are shown in "strikeout" form and
(Attachment 21 in final form.
MOTION -Consensus of the Board was to continue to the June 2008
meeting.
VI CORRESPONDENCE AND WRITTEN MATERIAL
A . Month End Cash Report and other selected Financial Data -April
2008
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Investment Advisory Board May 74, 2008
Minutes
B. Pooled Money Investment Board Report -February 2008
Noted and Filed
C. Update on California Municipal Treasurers Association Conference
(CMTA)
Board Member Moulin recommended that the Board defer the update on
the Treasurers conference to the June meeting.
VII BOARD MEMBER ITEMS
VIII Adjournment
MOTION - It was moved by Board Members Moulin/Ross to adjourn the meeting
at 7:50 p.m. to an adjourned regular meeting to be held on June 12, 2008.
Motion carried unanimously.
Su by,
~~~La%u'u'~-
Vianka Orrantia
Senior Secretary
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