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2012 05 09 IABP.O. BOX 1504 LA QuINTA, CALIFORNIA 92247-1504 78-495 CALLE TAMPICO LA QOINTA, CALIFORNIA 92253 AGENDA INVESTMENT ADVISORY BOARD Caucus Room 78-495 Calls Tampico- La Ouinta, CA 92253 May 9, 2012 - 4:00 P.M. CALL TO ORDER a. Pledge of Allegiance b. Roll Call (760)777-7000 FAX (760) 777-7101 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 April 11, 2012 for the Investment Advisory Board. V BUSINESS SESSION A. Transmittal of Treasury Report for March 2012 VI CORRESPONDENCE AND WRITTEN MATERIAL A. Month End Cash Report and other selected Financial Data - April 2012 B. Pooled Money Investment Board Reports on Hand for Review - March 2012 VII BOARD MEMBER ITEMS Vlll ADJOURNMENT The La Quints Caucus Room is handicapped accessible. If special equipment is needed for the hearing impaired, please call the Finance Department at 777-7150, twenty-four (24) hours in advance of the meeting and accommodations will be made. Any writings or documents provided to a majority of the Investment Advisory Board regarding any item on this agenda will be made available for public inspection at the City Clerk counter at City Hall located at 78-495 Calls Tampico, La Quints, CA 92253, during normal business hours. F:� INVESTMENT ADVISORY BOARD Meeting April 11, 2012 CALL TO ORDER Regular meeting of the La Quinta Investment Advisory Board was called to order at the hour of 4:05 p.m. by Chairperson Spirtos followed by the Pledge of Allegiance. PRESENT: Board Members Mortenson, Blum, Spirtos, Park and Donais ABSENT: None OTHERS PRESENT: John Falconer, Finance Director and Vianka Orrantia, Senior Secretary II PUBLIC COMMENT - None III CONFIRMATION OF AGENDA - Confirmed Mr. Falconer requested that an amended copy of the Treasurers Report be added to the agenda. Board concurred.. IV CONSENT CALENDAR A. Approval of Minutes of Meeting on March 14, 2012 for the Investment Advisory Board. MOTION - It was moved by Board Members Park/Mortensen to approve the Minutes of March 14, 2012. Motion carried unanimously. V BUSINESS SESSION A. Transmittal of Treasury Report for February 2012 Mr. Falconer presented and reviewed the staff report for the month of February advising the Board that the portfolio increased by $101,000 ending the month at $180.4 million. Mr. Falconer also reported due to the low -yielding money market fund investments, staff reinvested the funds in Treasury Bills, which will be reflected in the March report. Mr. Falconer reported on the two major expenditures for the month of February which included $1.36 million paid to Burrtec Waste for trash and recycling services and $1.63 million paid to the Riverside County Sheriffs. Mr. Falconer also reported on the $591,000 that was paid toward capital improvement projects in addition to reporting on revenue that was received for TOT for the month totaling $507,000 as well as payments received from the County for vehicle and lieu fees in the amount of $1.5 million and Sales Tax reimbursement in the amount of $825,000 (Mr. Falconer noted that this payment is normally received in January, but was received this year in February). In response to Board Member Blum, Mr. Falconer advised on the status of the construction of the Adams Street Bridge. Mr. Falconer advised that the portfolio performance was two basis points higher than the prior month ending the month at .36% and the performance of the pooled cash investments ended the month at .49%. In response to Board Member Mortenson, Mr. Falconer advised of the status of the Redevelopment Agency and the formation of the Successor Agency and their responsibilities as an agency. General discussion ensued amongst the Board and staff in regards to the elimination of the Redevelopment Agency and the appointed members and responsibilities of the Successor Agency. MOTION — It was moved by Board Members to review, receive, and file the Treasurers Report for February 2012. Motion carried unanimously. B. Continued Consideration of Fiscal Year 2012/2013 Investment Policy and Work Plan Items Mr. Falconer presented a redlined draft of the Board's recommended changes from the previous meeting to the 2012/2013 Investment Policy. Mr. Falconer advised the Board that at this time staff had no recommended changes to the policy. Chairperson Spirtos advised that if the Board had no further recommended changes that the Board approve the Fiscal Year 2012/2013 Investment Policy as amended. Board concurred. 2 MOTION — It was moved by Board Members Mortenson/Blum to approve the Investment Policy for Fiscal Year 2012/2013 as amended and continue this item to the June Investment Advisory Board for discussion and review with the Interim City Manager and City Attorney. Motion carried unanimously. VI CORRESPONDENCE AND WRITTEN MATERIAL A. Month End Cash Report — March 2012 In response to Chairperson Spritos, Mr. Falconer clarified that the ACH credit reported in the Month -End Cash Report is an acronym for Automated Clearing House. He further clarified that institute/bank collects all ATM payments made daily through the City and credits back all funds collected. Mr. Falconer presented and reviewed the month -end cash report for the month of March. Noted and Filed B. Pooled Money Investment Board Reports — February 2012 Mr. Falconer presented and reviewed the Pooled Money Investment Report for the month of February. In response to Board Member Park, Mr. Falconer advised that the impact of the RDA's elimination has caused a slight decline in LAIF's balance. Noted and Filed VII BOARD MEMBER ITEMS Chairman Spirtos advised the Board of the upcoming City events as follows: April 13, 2012: La Quinta History Series - Third and final lecture series to be held at the City of La Quinta Museum, guest speakers will include Terry Henderson and Kay Wolff. Talent Showcase to be held at the La Quinta Senior Center April 28, 2012: City of La Quinta's 30`h Anniversary and Community Picnic to be held at Fitz Burn's Park 3 In response to Board Member Donais, Mr. Falconer updated the Board on the status of the recruitment of the City Manager. General discussion ensued amongst. the Board and staff regarding the City Manager's recruitment, as well as the status and recruitment of the Finance Director. Vlll ADJOURNMENT MOTION - It was moved by Board Members Mortenson/Park to adjourn the meeting at 4:46 pm-Mption carried unanimously. Senior Secretary 4 INVESTMENT ADVISORY BOARD Business Session: A Meeting Date: May 9, 2012 ITEM TITLE: Transmittal of Treasury Report for March 2012 BACKGROUND: Attached please find the Treasury Report for March, 2012 RECOMMENDATION: Review, Receive and File the Treasury Report for March 2012 Falconer; Finance Director Treasurer's Commentary For the Month of March 2012 Cash Balances — The portfolio size decreased by $7.74 million to end the month at $172.94 million. The major reason for the decrease was $6.8 million spent on debt service payments on March 152. Major Capital Project payments of approximately $2.5 million were made during the month with $1.76 million of this amount going toward the Coral Mountain Apartment Project and $302,000 going toward the Adams Street Bridge Project. Investment Activity — The investment activity resulted in an average maturity increase of two (2) days from the prior month to end the month of March at 74 days. The Treasurer follows a buy and hold investment policy with one (2) Commercial Paper purchases totaling $10 million and one (1) Federal Home Loan Bank Discount Note totaling $9 million purchased. In addition, $10.8 million of U.S. Treasury Bills were purchased. The sweep account earned $7 in interest income for the month of March and the bank fees for the month were $ 1,698 which resulted in a net decrease of $1,691 in real savings. Portfolio Performance — The overall portfolio performance had a two (2) basis point decrease from the prior month and ended at .34% for the month, with the pooled cash investments at .44%. The portfolio yield should continue to stay at these levels for the near future. At this time last year, the portfolio was yielding .45% which reflects the current interest rate environment. Looking Ahead In the short term, the Treasurer will be investing in short term commercial paper or GSE paper. 2 IO z MEMORANDUM TO: La Quinta City Council FROM: John M. Falconer, Finance Director/Treasurer SUBJECT: Treasurer's Report for March 31, 2012 DATE: April 30, 2012 Attached is the Treasurers Report for the month ending March, 2012. The report is submitted to the City Council each month after a reconciliation of amounts is accomplished by the Finance Department. The following table summarizes the changes in investment types for the month: Investment Beginning Purchased Notes I Sold/Matured Other Entlin Change LAW $ 31,975,653 $ 6,200.000 $ (1,500,000) 0 $ 36.675,653 4,700,000 Interest bearing active bank deposit 39,896,313 15,974 39,912.287 15,974 Certificates of Deposit US Treasuries 724,000 58,371,968 10,800,000 (2) (10,800,000) (2,158) 724,000 58,369,810 0 (2,158) US Gov't Sponsored Enterprises 23,998,996 9,000,000 (2) (9,000,000) (2,B35) 23.996,161 (2,835) Commercial Paper 14.998,717 10,000,000 (2) (15,000,000) (1,889) 9,996,828 (5,001,889) Corporate Notes Mutual Funds - - 3,585 189 1 108,086 (2) 1 (87,4431 6 551 0 3,612 383 0 27194 Subtotal $ '173,550,836 $ 36,124060 $ 36,387443 $ 331 $ 173,287,122 $ 93:714 Cash $. 6,838,073 1 8 3 $ 7,181,145 $ 343,072 $ 7,181,145 Total - 3180,388,909 $ 36,124,060 $ 43,568,588 $ 331 $ 172.944.050 1 $ 7,444,859 I certify that this report accurately reflects all pooled investments and is in compliance with the California Government Code; and is in conformity with the City Investment Policy. As Treasurer of the City of La Quints, 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. lr� M '1 t,4 y ln/ S/3 Z-o y- John M. Falconer Date Finance Director/Treasurer Footnote (1) The amount reported represents the net increase (decrease) of deposits and withdrawals from the previous month. (2) The amount reported in the other column represents the amortization of premiuMdiscount for the month on US Treasury, Commercial Paper and Agency investments. (3) The cash account may reflect a negative balance. This negative balance will be offset with transfers from other investments before warrants are presented for payment by the payee at the bank. 3 [i N O 0 0 0 0 0 0 0 0 0 8 Z Z Z Z Z Z Z Z W N m � N O IZ a w �w8 O E a a c o 02- o u E W '3 N n om A N �s - a Ln s m a c 0 o 3 w-8 c Np n O C p C W O O O O O a tS tS m 0 g o$ o$ �EEEEE00000, $gi go u o o °c E� NN oa o 00 c$a E O O� N N - 0 3 $ w w w WE d v v N mow yo y C N W C 0 E c aa � � m $c iu O c a sfj a �o o 0� '�pO i py q W N QT�Qj11 y .O Q ja m$ ja r g T8a W C Y� N U 2 2 Z (m^js B-0$ N _ ELLSZS ° F E0 0Ummm ate_ m -zyy U' LL LL LL LLC� C m - r o 4 €s b QQg 9r 555555�xx R� EF r 5 _ S � s x S N N N tl1 rvWly '�� ?a a'aaaaaaaaF aOpao�000000000 qaa �'c >>�qqaqq ££RK�SYC�rcK ¢gqggtt2T K55 lQ$U YI g�g,'ID�QO�O��%I (pT)$N$ iL 11 yryY� gO�$LL$ LYYP�6'Ri$ffi��FINNr�NR�� & 9 c - N �U �'-aaaaaaaaaaaaaaaaaaaa 33333333333333333333 N gg 969 9 q = a x xxxx x xx xxxxxx HH 000000000000a00000e c� yFF F_____F i•F ins u, F'•�i�+F�� �gffiD� �y4���IIg���iffiffigg �ffi 757��=3 xy rc @�Ny�ad pa & N N 0 ®2 #'\§kkK �\ \§ ƒ §k(a t ! � ! kk $ }\ !k ƒƒ f \\§kk 2! 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[ in M \ ~ \ m U) co . j k % = 2 E e o w 7 § a ) \ % % ) E ) ` ) Cc k o ) §§ 7N }ca 2 0 �a\/ Cy � } \ k 0 f 0 » v�k \ k CD § § § co o d o 6� 6 6 6 a 11 Z . Z � Z - - . i. � \ \ . . , f - � . ' . � \ . i - / � i . INVESTMENT ADVISORY BOARD Meeting Date: May 9, 2012 TITLE: Month End Cash Report, April 2012 and Other selected Financial Data BACKGROUND: Correspondence & Written Material Item A 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. RECOMMENDATION: Information item only. M. Falconer, Finance Director {2\ \wk ((\\} ( \\ \ \ \ - !;« «! $ \ \ \ \ \ I£& - !�§ |3) \ �6§^2k ( j : ! ) m \#|, ! § \ _ ! 22�� | �E k� \\§)\�! } y ) i !}\!\|\�i!!;k ( 2 Bill Lockyer, State Treasurer Inside the State Treasurer's Office Local Agency Investment Fund (LAIF) PMIA Performance Report im 4/12/2012 0.37 td 0.38 - Matulrrity= e 243 4/13/2012 0.38 0.38 243 4/14/2012 0.38 0.38 243 4/15/2012 0.38 0.38 243 4/16/2012 0.38 0.381 240 4/17/2012 0.37 0.38 235 4/18/2012 0.37 0.37 229 4/19/2012 0.36 0.37 228 4/20/2012 0.36 0.37 235 4/21/2012 0.36 0.37 235 4/22/2012 0.36 0.37 235 4/23/2012 1 0.361 0.37 235 4/24/2012 1 0.361 0.371 236 4/25/2012 1 0.361 0.371 236 'Daily yield does not reflect capital gains or losses Corporate Bonds 0.00% Commercial Paper 0.62% Time Deposits 6.68% CDs/BN: 10.68% LAIF Performance Report Quarter ending 03/3112012 Apportionment Rate: Earnings Ratio: Fair Value Factor: Daily: Quarter To Date: Average Life: 0.38% .00001033084098709 1.001211113 0.38% 0.39% 243 PMIA Average Monthly Effective Yields MAR 2012 0.383% FEB 2012 0.389% JAN 2012 0.385% Pooled Money Investment Account Portfolio Composition $64.3 Billion 03/31 /12 Loans Agencies 10.89% Mortgages 0.57% Treasuries 50.35% 3 Kecent 13111 Aucrion KeSWIS ragr i U2 i TreasuryDirect I i C 1-1 t-It'1 1 IA a, g=1 19,Un1d & 1 ES ally LalU 51 M1at 13,fa ,iac I:.rtliDn I11505 Recent Bill Auction Results s:[ar rtv la- mararuv msmanr i-asxmen\ rrke cusm Term Dale wte Dale 1 Rnle % re.KID 13 -WEEK 05 03 2012 00-O2-2012 0.095 0096 9091s989 9121955r 26-WEEK 05-03-IN? 11 01-2012 0. 145 0141 99.926694 9121956/1 4-WEEK "'162012 05-74 ?Ci12 0.075 0,076 e9994161 91U955P2 ]3-WEEK 04-26-2.12 01 26 2012 0.080 0 .81 99.979778 9121954Bi 26-WEEK 04-26-2012 10 IS 2012 0,130 0,132 99 93118 9122956N6 4-WEEK 04-192012 05 17 2012 0.065 0.066 99.99:944 9111955N2 13-WEEK 04-19-2032 07 2012 0,080 0,081 99.979778 912]955X5 26-WEE K 04192012 19 10-82.12 0.135 0.137 99.931J50 91 P955G2 4 WEEK 04-12 i012 05-1O-1032 0.080 0.081 99 993228 9112955M9 13 WEEK 04-12-2012 01-12-1012 0085 D.086 94 978514 9111955W2 16-WEE K 04-12-2012 10-11-2012 0.150 0.152 99.924167 91D956M8 4-WEEK 04-05-2012 05-D3-2012 0.055 0,056 99 995122 9121953N9 13 WEEK 04-05 2012 01 05-2012 0.025 0.076 99.981042 9121955m 26-WEEK 04-05-2012 10-04-2012 0 140 0.142 99.929222 9122956K2 52 WEEK 04-05-2012 04-04-2013 0.1B5 0, 188 99.812944 9121956F3 4 WEEK 03-29-2012 04-26-2012 0.065 0.066 99.944944 9121555K3 13-WEEK 03-19-2012 06-28-2012 D. D05 0.086 99.916514 912J953W9 26-WEEK 03-19-2012 09-21-2012 0.150 0. 152 99.924161 912/95615 9-WEEK 03-22-2011 04-19-2012 0.100 0. 101 99,992222 91229596 13-WEEK 03-22-2012 06-21-2D12 0.095 0.096 99925A86 9121955T4 26-WEFK 0342-201 2 09-20-2012 0.150 0.152 99924162 9121955C1 4 WEEK -3 035-2012 04-12-2D12 0.010 0.071 99.994556 912J955N0 13 WEEK 03-15-2012 06-14-2D12 0.095 0,095 99.915986 912195556 26-WEEK O3- 5 202 09-13-2032 0.145 0,147 99926894 9121956N9 4-WEEK 03-08-2012 04 05 2r11 0.060 U Otil 99!995333 9/21953112 l3-WEEK O'-06-2012 06 02-2012 0.000 0,081 so 979118 %21955RB 26-WEEK 03-OB-2012 09 MIS 2 0. 130 0.112 99.934278 9127956G1 52-WEEK D3-00_2012 03-02 3013 0.110 D.113 99 828111 912J95616 4-WEEK 03-01-2011 03-19-2012 11.100 0.101 99.992211 91l195514 49-DPl 03-D1-2012 04 19 2U 12 0. 105 0305 99.985706 9121955/6 13-WEEK 03 01 ID12 OS-31-2012 0. 115 1 "1 99.910931 1121953`36' 16-WEEK 03-01-2012 08-30Q%2 0. 145 0. 141 99.926694 9117956C0 4-WEEK 02-23-2012 Ol-22 201 if M 0,061 99.995331 912le5517 13 WEEK 02-23-2Z2 05 21-2012 0.085 0.086 99.978514 9127955V2 26-WEEK 02-23-2012 08 21-2012 11. 125 0.127 99.936806 912195Y96 4-WEEK 02-16-2012 03 15-2015 D.010 0.112 99 991444 9121955D9 13-WEEK 02-16-2012 05-ll212 0.095 0.091 99.975986 91.219SS117 26-WEEK 02-16-2012 00-26-201.2 0.130 0, L32 99.934278 912795652 6,1 DAY 02-15-2012 04-19 2012 0.120 0.122 99.910661 912795536 4 WEEK 02-09-2012 03 08 2012 0.060 0.061 99 995333 9121953G4 Effective with the 11/2/98 auction, all bills are auctioned using the single -pi iced method. FreeOop of lefornlaton.AY I Lew &GS4nco I11-I, ALg31 Nol,11, I wab -ol,.&Ca t s .yce{slbll 1[Q,,41Y IIJ1, )1 rtnort of thaT . y, fla,ao ofHm Public Debt http://www.treasurydirect.gov/RI/OFBills 5/1/2012 4 xecent Note, tsona, ana iir� Auction tcesuns rage 1 o>t 1 TreasuryDired I'I I NIIIIIIH 1 . AonOlnul nls, 0e1,, D 1111 rc 1.1-1 AuIlvlll [.Sa , R1C611N0tl oortl a3tl nr5 Auction Resnlis Recent Note, Bond, and TIPS Auction Results Issue Macuruv. Int.-I YTOD rrmc Security t¢rm TYOe pale Date R4tn 1W P¢r$IVO CVSID ?YEAR NOTE 04-30 2012 E1-30-2014 0 250 0.2I0 99,960135 9128285R2 S"YEAR - TIPS 0430 2012 E4-IS-201, 0.125 -1,080 1. 389951 9128285Q4 5-YFAR NOTE 04-90-9012 09-30-20ll 0.025 H A, 01 941436 912828550 7-YEAR NOTE 04 30 2012 09-30-2011 1.250 1.342 11 t14100-128295,8 3YEAR NOTE 04-16-2012 04-15-2015 0.32E 0.427 99.845296 912028506 9-YEAM1 10-MONTH NOTE 04-15-2832 02-15-2022 2.000 2.043 99 6164Y9 912028518 29-YEAR 10 MONTH BOND 04-16-2U12 02-15 2042 3.12E 3.230 92. J93453 912810QU5 2-YEAR NOTE 04.02-2032 03-31-2014 0.290 0.340 40 821248 9120285L5 5-YEAR NOTE 04-02 2012 03-31-2012 3000 1.040 99.805782 9128285M3 2-YEAR NOTE 04-02-2012 E3-31-2019 1,1E0 1.590 99.40639E 91L2028SN1 9-YEAR 10 MONTH T10S 03-3U-2012 01>15 2022 0125 -0,089 102.22602E 912828SA9 3-YEAR NOTE 03-15-2012 034E-2015 0.325 0456 99 O892Y 9128285N2 - i9-YEAR 11-MONT11 NOTE 03-15-2012 02-15 1012 2.000 2.026 99.320389 912828SIS 29-YEAR 11-MONTH BOND 03-15 2012 02-15-2042 3. 125 3.393 95. 165202 912018QU5 2-YEAR N01E 02-29-2012 02-28-2014 0.25D 0.310 99.890464 9128285G6 5-YEAR NOTE 02-29 2012 02-28-2011 0.825 0 900 99.8Y8039 912828510 2-YEAR NOTE 02-29-2012- 02-28-2019 1,315 1.418 99. 114418 9128285H4 j -30-YEAR TIVS 02-29-2012 02-15-2042 0,750 0.220 99.34/116 912810QV3 3-YEAR AQTF 02-15-2012 02-15-2015 0.250 0.342 99 718239 9128285EI 10 NEAR NOTE 02-15-2012 02-15-2022 2.000 2 020 99.819226 9128285FS 30 YEAR BOND 02-15-2012 02-15-2042 3.05 3.240 97803940 912810005 2-YEAR NOTE 91-31-2012 01-31-2014 0250 0.250 100.000000 912828SB2 S YEAR NOTE EI-31-2012 01-31-2017 0.975 0 ass 99.882914 9120285CS 7-YEAR NOTE 01-31-2012 01-31-2019 1.250 1,359 99 274515 912B2tl5n3 10 YEAR TIC 01-31-2012 01-15-2022 0. 125 0 046 1U1b63834 912820SA9 3-YEAR -NOTE 01-12-2012 01-15-2015 0.250 0,320 99 642968 9128281I25 9-YEAR 10 MONTH NOTE 01-12 2012 11-15-2021 2.000 1900 ID0090462 912828RR3 29 YEAR 10-MONTH 00ND 01-12-2012 11-15-2041 3. 125 2,985 302346849 912810QTS 2-YEAR NOTE 01-03-2012 II-1-2011 0. 125 0,240 9'1111630 9128d 8RW3 5-YEAR NOTE Dt-03 2012 12-31-2016 0.825 0.880 99 975Y02 9128289%O 2-YEAR NOTE 01 03-2012 12 31-20L8 1371 1430 99.635210 9R02t1RY8 4-YEAR 4-MONTH TIPS 12-30 2011 04-15-2016 0. 125 -0.827 102.09832E 912826QU5 3-YEAR NOTE 12-15-2011 12-15-2014 0350 0,152 99. 595616 912tl18µV4 9-YEAR 11-MONTH NOTE L-1S 2011 11-15 2021 2.000 2.010 `0 8196BA 9II828WR3 i 29-YEAR 11-MONTH BOND 12 15 20 1 11-15 2041 3.12E 2,925 103.966332 9128AOQIB 2-YEAR NOTE EA 30 2011 11-30-DIET 0.250 0.280 99.940209 912WIRST, 5-TEAR NOTE It-30 2011 11-30-2016 0815 0,932 9A 691840 912818R116 2-YEAR NOTE tt-30 201, 31-30-2018 1..315 1 415 99. 134313 9120d0 µT0 9YEAR 8-MONTH TIPS 11-30 Y011 07-15-2021 0,625 0.091 1.05.1338.6 912028QV5 3 YEAR NOTE 11-15 2011 11-15-2014 0.375 0.329 9A988029 912828RQ5 Denotes TIPS bond; all other TIPS without asterisks are notes FreeVo 1nTmnat ery Al 1111& 111Idr,. I MInv,-,.&L MN.1,1, I V✓-1 1 v05_4-000.t05 13[-`sslbl1 13I.Q,cNtY U S. DL ,urine tt & th, TI1111ir,, 7,i evV If ITT,, O tllc DIIA 5 http://www.treasurydirect.gov/RI/OFNtebnd 5/1/2012 ranter version - tsoara of vovemors o1 the r cucrar nubur vc oy Nmiia . ar' . Selected Interest Rates (Daily) - H.15 Current Release Release. Dates Daily Update Historical. Data About Announcements Daily Update Release Date: April 27, 2012 - The weekly release is posted on Monday. Daily updates of the weekly release are posted Tuesday through Friday on this site. If Monday is a holiday, the weekly release will be posted on Tuesday after the holiday and the daily update will not be posted on that Tuesday. April 27, 2012 Selected Interest Rates Yields in percent per annum Instruments 2012 Apr 23 2012 Apr 24 2012 Apr 25 2012 Apr 26 Federal funds (effective) i 2 3 _ 0.13 0.14 0.15 0.14 Commercial Paper 3 4 5 6 Nonfinancial 1-month 0.12 0.14 0.13 0.13 2-month 0.16 0.15 0.17 0.17 3-month 0.21 0.19 0.20 0.21 Financial 1-month 0.17 0.05 0.14 - n.a. 2-month 0.21 0.14 0.17 0.13 3-month 0.19 0.19 0.20 0.16 CDs (secondary market) 3 7 _ 1-month 0.18 0.18 0.18 0.18 3-month 0.28 0.28 0.28 0.28 6-month 0.46 0.46 0.46 0.46 Eurodollar deposits (London) 3 s 1-month 0.33 0.31 0.31 0.31 3-month 0.46 0.44 0.44 0.44 6-month 0.64 0.64 0.64 0.64 Bank prime loan 2 3 9 3.25 3.25 3.25 3.25 http://www.federalreserve.gov/Releases/H15/update/ 5/1/2012 6 Yrinter version - rSoara w uoveraul s u1 mu i cuciai r, Discount window primary credit 2 10 0.75 0.75 0.75 0.75 U.S. government securities Treasury bills (secondary market) 34 4-week 0.04 0.07 0.08 0.09 3-month 0.08 0.09 0.09 0.09 6-month 0.13 0.14 0.14 0.15 1-year 0.16 0.17 0.17 0.17 Treasury constant maturities Nominal rr 1-month 0.04 0.07 0.08 0.09 3-month 0.08 0.09 0.09 0.09 6-month 0.13 0.14 0.14 0.15 1-year 0.17 0.18 0.18 0.18 2-year 0.27 0.27 0.26 0.26 3-year 0.39 0.40 0.39 0.39 5-year 0.83 0.86 0.86 0.83 7-year 1.34 1.37 1.38 1.36 10-year 1.96 2.00 2.01 1.98 20-year 2.71 2.75 2.76 2.74 30-year 3.08 3.12 3.15 3.13 Inflation indexed 12 5-year -1.12 -1.15 -1.16 -1.21 7-year -0.76 -0.77 -0.77 -0.81 10-year -0.26 -0.25 -0.24 -0.29 20-year 0.53 0.50 0.53 0.46 30-year 0.72 0.74 0.75 0.72 Inflation -indexed long-term average 13 0.34 0.36 0.37 0.32 Interest rate swaps 14 1-year 0.52 0.52 0.51 0.51 2-year 0.57 0.58 0.57 0.56 3-year 0.68 0.70 0.71 0.68 4-year 0.88 0.91 0.93 0.88 5-year 1.12 1.14 - 1.17 1.12 7-year 1.56 1.61 1.64 1.59 10-Year 2.04 2.09 2.12 2.08 http://www.federalreserve.gov/Releases/Hl5/update/ 5/1/2012 7 Printer Version - Board oI t,tovernors or me reaerai meserve aymuin fast i vi -r 30-year 2.77 2.83 2.86 2.83 Corporate bonds Moody's seasoned Aaa is 3.92 3.95 3.98 3.97 gaa 5.12 5.15 5.18 5.17 State & local bonds 16 3.86 Conventional mortgages 17 n.a. Not available. Footnotes 1. The daily effective federal funds rate is a weighted average of rates on brokered trades. 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). 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 (www federalresciye.gov/releases/cp/). 6. Financial paper that is insured by the FDIC's Temporary Liquidity Guarantee Program is not excluded from relevant indexes, nor is any financial or nonfinancial commercial paper that may be directly or indirectly affected by one or more of the Federal Reserve's liquidity facilities. Thus the rates published after September 19, 2008, likely reflect the direct or indirect effects of the new temporary programs and, accordingly, likely are not comparable for some purposes to rates published prior to that period. 7. An average of dealer bid rates on nationally traded certificates of deposit. 8. Source: Bloomberg and CTRB ICAP Fixed Income & Money Market Products. 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. The rate charged for discounts made and advances extended under the Federal Reserve's primary credit discount window program, which became effective January 9, 2003. This rate replaces that for adjustment credit, which was discontinued after January 8, 2003. For further information, see wwNv.federaireserve.gov/board(lots/press/bcreg,1200211100210312/default.htin. The rate reported is that for the Federal Reserve Bank of New York. Historical series for the rate on adjustment credit as well as the rate on primary credit are available at Nv w.fedel<'tlrescrN�cgqy;/relytses/h15/data.htm. 8 http://www.federalreserve.gov/Releases/Hl5/update/ 5/1/2012 rnrrter v crslUu - nuaru Ui UUvcntUIN Ui Ulu rcuriar txcbcr vu ayNtcur rage + Ut. + 11. Yields on actively traded non -inflation -indexed issues adjusted to constant maturities. The 30-year Treasury constant maturity series was discontinued on February 18, 2002, and reintroduced on February 9, 2006. From February 18, 2002, to February 9, 2006, the U.S. Treasury published a factor for adjusting the daily nominal 20-year constant maturity in order to estimate a 30-year nominal rate. The historical adjustment factor can be found at www.treasury.gov/resource-center/data-chart-center/interest-rates/. Source: U.S. Treasury. 12. Yields on Treasury inflation protected securities (TIPS) adjusted to constant maturities. Source: U.S. Treasury. Additional information on both nominal and inflation -indexed yields may be found at www.treasup-.gov/resource-centeridata-chart- center/interest-rates, 13. Based on the unweighted average bid yields for all TIPS with remaining terms to maturity of more than 10 years. 14. 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. Eastern time by Garban Intercapital plc and published on Reuters Page ISDAFIX01. ISDAFIX is a registered service mark of ISDA. Source: Reuters Limited. 15. Moody's Aaa rates through December 6, 2001, are averages of Aaa utility and Aaa industrial bond rates. As of December 7, 2001, these rates are averages of Aaa industrial bonds only. 16. Bond Buyer Index, general obligation, 20 years to maturity, mixed quality; Thursday quotations. 17. Contract interest rates on commitments for fixed-rate first mortgages. Source: Primary Mortgage Market Survey® data provided by Freddie Mao Note: Weekly and monthly figures on this release, as well as annual figures available on the Board's historical H.15 web site (see below), are averages of business days unless otherwise noted. Current and historical H.15 data are available on the Federal Reserve Board's web site (www.federali-eserve.gov/). For information about individual copies or subscriptions, contact Publications Services at the Federal Reserve Board (phone 202-452-3244, fax 202-728-5886). Description of the Treasury Nominal and Inflation -Indexed Constant Maturity Series Yields on Treasury nominal securities at `constant maturity" are interpolated by the U.S. Treasury from the daily yield curve for non -inflation -indexed Treasury securities. 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 1, 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. Similarly, yields on inflation -indexed securities at "constant maturity" are interpolated from the daily yield curve for Treasury inflation protected securities in the over-the-counter market. The inflation -indexed constant maturity yields are read from this yield curve at fixed maturities, currently 5, 7, 10, and 20 years. 9 http://www.federalreserve.gov/Releases/H15/update/ 5/1/2012 17II11Lc1 V c1S1U11 - DUUIU Ul 11UVc111V1J Ul Ulc POUcldl 1 Ubul vc Oy5Lc111 1 agr 1 U1 J Commercial Paper Summary Rates Volume Statistics Outstanding Year-end Maturity Distribution About Announcements Commercial Paper Rates and Outstanding Summary Derived from data supplied by The Depository Trust 8 Clearing corporation Data as of April 30, 2012 Posted May 1, 2012 The commercial paper release will usually be posted daily at 9:45 a.m. However, the Federal Reserve Board makes no guarantee regarding the timing of the daily posting. This policy is subject to change at any time without notice. Rates AA nonfinancial A2/P2 nonfinancial Period 1- 1- 7- is- 30- 60- 90- 7- is- 30- 60- 90- day day day day day day day 0.38 day day day day day Apr. 0.09 0.07 0.10 0.14 0.15 0.19 0.39 0.42 0.45 0.47 n.a. 24 0.38 Apr. 0.10 0.10 0.11 0.13 0.17 0.20 0.40 0.42 0.45 0.52 0.52 25 - 0.37 Apr. 0.09 0.11 0.11 0.13 0.17 0.21 0.40 0.43 0.46 0.53 0.60 26 0.38 Apr. 0.09 0.10 0.11 0.12 0.16 0.19 0.40 0.39 0.46 0.53 n.a. 27 0.39 Apr' 0.11 0.12 0.11 0.13 0.14 0.19 0.43 0.39 0.45 0.49 0.52 30 Note: n.a, indicates that trade data was insufficient to support calculation of the particular rate. AA financial - AA asset -backed Period 1- 1- 7- is- 30- 60- 90- 7- is- 30- 60- 90- day day day day day day day 0.20 day day day day day Apr. 0.01 0.05 0.07 0.05 0.14 0.19 0.31 0.30 0.28 0.23 0.26 24 0.22 Apr. 0.11 n.a. n.a. 0.14 0.17 0.20 0.36. 0.27 0.23 0.25 0.27 25 0.22 Apr. n.a. 0.09 0.10 n.a. 0.13 0.16 0.32 0.21 0.44 0.25 0.27 26 0.21 Apr. n.a. 0.11 0.09 n.a. 0.13 0.16 0.28 0.25 0.41 0.35 0.31 27 0.24 Apr. 0.11 0.11 0.11 0.12 0.14 0.18 0.23 0.23 0.22 0.22 0.29 30 10 http://www.federalreserve.gov/Releases/CP/ 5/1/2012 Y17nler V UrNIVII - r7VarLL Vl VV VO111V1J V1 LLlc I'cuvlal Vc OYMa 111 a agc � V1 ✓ Note: n.a. indicates that trade data was insufficient to support calculation of the particular rate. Outstanding Levels Seasonally adjusted Billions of dollars Period Total Nonfinancial Financial Asset - backed Other Total Domestic Foreign Total Domestic Foreign Monthly -end levels 2011-Dec. 937.5 F175.1 139.3 35.8 433.9 268.7 165.3 328.5 .0 2012-Jan. 976.1 189.8 153.8 36.0 445.3 276.6 168.7 341.0 .0 Feb. 963.9 183.5 150.2 33.3 444.9 274.7 170.3 335.4 .0 Mar. 937.0 168.6 138.7 29.9 440.6 270.2 170.4 327.8 .0 Apr. 951.0 180.9 148.3 32.6 443.6 270.6 173.0 326.5 .0 Weekly (Wednesday) levels Mar. 28 937.6 179.5 151.6 27.9 438.6 278.2 160.4 319.5 .0 Apr. 4 931.5 176.1 - 149.2 26.9 432.8 273.1 159.7 322.6 .0 ''.. Apr. 11 928.5 175.4 147.1 28.3 427.6 264.0 163.5 325.5 .0 Apr. 18 932.6 180.7 150.2 30.4 430.1 268.5 161.6 321.9 .0'', Apr.25 925.9 181.1 148.8 32.3 421.3 258.8 162.5 ,323.5 .0 Not seasonally adjusted Billions of dollars . Period Total Nonfinancial Financial Asset- backed Other Total Domestic Foreign Total Domestic Foreign Monthly -end levels 2011-Dec. 969.2 146.5 116.3 30.2 471.8 291.2 180.6 351.0 .0 2012-Jan. 1,021.6 181.7 148.6 33.1 498.1 301.5 196.6 341.8 .0 Feb. 1,014.0 184.2 150.9 33.2 492.7 296.8 196.0 337.1 .0 Mar. 994.4 160.4 127.6 32.8 499.9 302.2 197.7 334.1 .0 Apr: 1,019.1 194.7 154.9 39.9 492.9 291.3 201.6 331.5 .0 Weekly (Wednesday) levels Mar.28 1,001.9 174.0 141.9 32.2 500.6 300.1 200.4 327.3 .0 Apr.4 1,008.8 185.7 150.6 35.1 487.4 294.3 193.0 335.7 .0 Apr. 11 1,002.3 187.1 151.3 35.8 484.6 292.1 192.5 330.6 .0 Apr. IS 1,007.6 193.5 155.1 38.4 485.5 289.1 196.5 328.6 .0 Apr.25 1,017.4 194.8 154.9 39.9 493.3 293.3 200.0 329.4 .0 11 http://www.federalreserve.gov/Releases/CP/ 5/l/2012 City of La Ouinta Cash Flow Budget to Actual March 31, 2012 Cash Basis Budget Actual Accrual / Adjusted Total Variance Account Nil 3A1 Aduslment 3/11 Over Under Notes Property Taxl Tax Increment 418,088 112,755 371.132 483,887 65,799 Transient Occupancy Tax 578,16E 644.638 644,63B 66.470 Sales Tax StiverRock Golf 585,813 581,941 581.941 (3,872) Library 1,061,950 1.058,315 1,058,315 (3,635) City License, Permiu and Fees - Gashigherthan budget; Gas Tax Revenue catchup from " Gram $8%, Indian Gaming Gram r Fees $89N; Developer Fees $5611 Other revenues 604706 1,602,938 1.602938 998,232 Ngber Manbudget Revenues 3,248,725 4,000,587 371,132 4,371,719 1,122,999 Expenditures Salaries 8 Fringe Benefits 1,243.023 1,057,276 1,057.276 (185,717) Pudic Works Dixiven$159 less than budget.I-Iousing Authority $392k less than 12 INVESTMENT ADVISORY BOARD Meeting Date: TITLE: May 9, 2012 Pooled Money Investment Board Report for March 2012 BACKGROUND: Correspondence & Written Material Item B A partial portion of the Pooled Money Investment Board Report for March 2012 is included in the agenda packet. This report is available on-line at www.treasurer.ca.gov. RECOMMENDATION: Receive & File John M. Falconer, Finance Director POOLED MONEY INVESTMENT ACCOUNT SUMMARY OF INVESTMENT DATA A COMPARISON OF MARCH 2O12 WITH MARCH 2O11 (DOLLARS IN THOUSANDS) Average Daily Portfolio $ 63,666,116 $ 66,930,284 $ -3,264,168 Accrued Earnings $ 20,666 $ 28,397 $ -7,731 Effective Yield 0.383 % 0.600 % -0.117 % Average Life -Month End (in Days) 243 193 +60 Total Security Transactions Amount $ 20,623,743 $ 27,241,149 $ -6,717,406 Number 412 560 -138 Total Time Deposit Transactions Amount $ 1,636,000 $ 2,612,000 $ -877,000 Number 87 126 -39 Average Workday Investment Activity $ 1,007,216 $ 1,352,416 $ W,200 Prescribed Demand Account Balances For Services $ 1,856,074 $ 1,690,870 $ +166,204 1 BILL LOCKYER TREASURER STATE OF CALIFORNIA INVESTMENT DIVISION SELECTED INVESTMENT DATA ANALYSIS OF THE POOLED MONEY INVESTMENT ACCOUNT PORTFOLIO (000 OMITTED) March 31, 2012 DIFFERENCE IN PERCENT OF PERCENT OF PORTFOLIO FROM TYPE OF SECURITY AMOUNT PORTFOLIO PRIOR MONTH Government Bills $ 17,422,080 27.07 -1.80 Bonds 0 0.00 0 Notes 14,977,688 23.28 .0.06 Strips 0 0.00 0 Total Government $ 32,399,768 50.35 -1.86 Federal Agency Debentures $ 1,510,225 2.35 +0.02 Certificates of Deposit 6,876,011 10.68 +3.58 Bank Notes 0 0.00 0 Bankers'Acceptances 0 0.00 0 Repurchases 0 0.00 0 Federal Agency Discount Notes 4,791,501 7.45 Time Deposits 4,300,640 6.68 +0.15 GNMAs 24 0.00 0 Commercial Paper 399,836 0.62 -1.86 FHLMC/Remits 364,494 0.57 -0.02 Corporate Bonds 0 0.00 0 AB 55 Loans 310,404 0.48 0 GF Loans 12,694,900 19.73 -0.08 NOW Accounts 0 0.00 0 Other 699,922 1.09 +0.01 Reversed Repurchases 0 0.00 0 Total (All Types) $ 64,346,725 100.00 INVESTMENT ACTIVITY MARCH 2O12 FEBRUARY 2012 NUMBER AMOUNT NUMBER AMOUNT Pooled Money 412 $ 20,623,743 209 $ 10,395,496 Other 47 1,071,351 6 487 Time Deposits 87 1,635,000 101 1,790,480 Totals 546 $ 23,230,094 316 $ 12,186,463 PMIA Monthly Average Effective Yield 0.383 0.389 Year to Date Yield Last Day of Month 0.388 0.389 Pooled Money Investment Account Portfolio Composition $64.3 Billion 03131 /12 i Corporate Bond: 0.00% Commercial Paper 0.62% Time Deposits 6.68% CDs/BN: 10.68% Agencies 10.89% Mortgages 0.57% Treasuries 50.35%