HomeMy WebLinkAboutMinutes - Audit Investment Finance Committee 02/23/2016MINUTES
REGULAR MEETING OF THE PALM DESERT
AUDIT, INVESTMENT & FINANCE COMMITTEE
Tuesday, February 23, 2016 — 10:00 a.m.
CALL TO ORDER
Chairman Espinoza called the meeting to order at 10:00 a.m.
ROLL CALL
Present: Absent:
Russ Campbell, Community Member
Luis Espinoza, Acting Chair/Asst. Finance Director
Abram Goldman, Community Member
Robert Hargreaves, City Attorney
Jan Harnik, Mayor Pro Tempore (10:07 a.m.)
Bob Leo, Community Member
Stanley Sperling, Committee Member
Robert Spiegel, Mayor
John Wohlmuth, City Manager
Also Present:
Anthony Hernandez, Senior Financial Analyst
Thomas Metz, Deputy City Treasurer
Niamh Ortega, Recording Secretary
Nitin Patel, White Nelson Diehl Evans, LLP
Jared Burns, Desert Willow Golf Resort
Todd Kelly, Desert Willow Golf Resort
Darrel Souza, Desert Willow Golf Resort
III. ORAL COMMUNICATIONS
None.
IV. APPROVAL OF MINUTES
A. MINUTES OF THE MEETING OF JANUARY 26. 2016
MOTION was made by Member Campbell to approve as presented the
Minutes of the regular meeting of the Palm Desert Audit, Investment and
Finance Committee held on January 26, 2016. Motion was seconded by
Member Leo and carried by a 8-0 vote, with Campbell, Espinoza, Goldman,
Hargreaves, Leo, Sperling, Spiegel and Wohlmuth voting AYE; Harnik
ABSENT.
INVESTMENT & FINANCE COMMITTEE
MINUTES February 23, 2016
V. NEW BUSINESS
A. CITY INVESTMENT SCHEDULE AND SUMMARY OF CASH REPORT FOR
JANUARY 2016
Member Metz reported that the book value of the City portfolio for the period
ended January 31, 2016 was approximately $206.9 million. Interest earnings were
approximately $101,000. Yield -to -maturity was approximately 0.60%.
MOTION was made by Member Campbell to recommend that the City
Council receive and file the City Investment Schedule and Summary of Cash
Report for January 2016. Motion was seconded by Member Wohlmuth and
carried by a 8-0 vote, with Campbell, Espinoza, Goldman, Hargreaves, Leo,
Sperling, Spiegel and Wohlmuth voting AYE; Harnik ABSENT.
B. LOCAL AGENCY INVESTMENT POOL ACCOUNT STATEMENT FOR
JANUARY 2016
Chairman Espinoza provided an overview of the various reports.
MOTION was made by Member Sperling to receive and file the reports for
Local Agency Investment Fund (LAIF), California Asset Management
Program (CAMP), and Riverside County Investment Pool for January 2016.
Motion was seconded by Member Wohlmuth and carried by a 8-0 vote, with
Campbell, Espinoza, Goldman, Hargreaves, Leo, Sperling, Spiegel and
Wohlmuth voting AYE; Harnik ABSENT.
C. CITY FINANCIAL REPORT FOR JANUARY 2016
Chairman Espinoza provided an overview of the report and highlighted the activity
for the month of January 2016.
MOTION was made by Member Leo to receive and file the City financial
report for January 2016 as presented. Motion was seconded by Member
Campbell and carried by a 8-0 vote, with Campbell, Espinoza, Goldman,
Hargreaves, Leo, Sperling, Spiegel and Wohlmuth voting AYE; Harnik
ABSENT.
D. PARKVIEW PROFESSIONAL OFFICE BUILDINGS FINANCIAL REPORT FOR
JANUARY 2016
Mr. Hernandez provided an overview of the reports.
MOTION was made by Member Campbell to receive and file the Parkview
Professional Office Buildings financial report for January 2016 as presented.
Motion was seconded by Member Wohlmuth and carried by a 9-0 vote, with
Campbell, Espinoza, Goldman, Harnik, Hargreaves, Leo, Sperling, Spiegel
and Wohlmuth voting AYE.
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INVESTMENT & FINANCE COMMITTEE
MINUTES
February 23, 2016
E. PALM DESERT GOLF COURSE FACILITIES CORPORATION FINANCIAL
REPORTS FOR JANUARY 2016
Mr. Burns provided a summary of the report, and reported that while year to date
revenues are down, Desert Willow is experiencing its best February to date
excluding the leap year day. Food & Beverage is down, and the value of the
Canadian dollar is impacting business and the number of Canadian visitors in the
area. Staff continues to look for ways to increase revenue, and has added 12
nighttime events with the Jazz Jam Series and additional Dining Under the Stars
events.
MOTION was made by Member Leo to receive and file the Palm Desert Golf
Course Facilities Corporation financial reports for January 2016 as
presented. Motion was seconded by Member Sperling and carried by a 9-0
vote, with Campbell, Espinoza, Goldman, Harnik, Hargreaves, Leo, Sperling,
Spiegel and Wohlmuth voting AYE.
F. CITY OF PALM DESERT AUDITED FINANCIAL REPORTS FOR THE FISCAL
YEAR ENDED JUNE 30, 2015 (Joint Consideration with Items V.G & H)
Mr. Nitin Patel, Partner with White Nelson Diehl Evans, LLP, presented an
overview of the financial reports, summarized the responsibilities of his firm and
City management, and reported that his firm issued an unmodified (clean) opinion
for the fiscal year ended June 30, 2015. Mr. Patel highlighted several sections in
the CAFR that provided additional information on the City's accounts.
G. PALM DESERT RECREATIONAL FACILITIES CORPORATION AUDITED
FINANCIAL REPORTS FOR THE FISCAL YEAR ENDED JUNE 30. 2015 (Joint
Consideration with Items V F & H)
This report audits the food and beverage operation at Desert Willow. An
unmodified opinion was issued for the operation.
H. SINGLE AUDIT OF FEDERALLY ASSISTED GRANT PROGRAMS FOR THE
FISCAL YEAR ENDED JUNE 30, 2015 (Joint Consideration with Items V.F & G)
There is a requirement that if a City spends more than $500,000 from certain
funds, a single audit must be performed. There were no material issues, and no
findings in the single audit. Next year the threshold requirement increases to
$750,000.
MOTION was made by Member Leo to recommend that the City Council
receive and file the City of Palm Desert Audited Financial Reports, the Palm
Desert Recreational Facilities Corporation Audited Financial Reports, and
the Single Audit of Federally Assisted Grant Programs for the fiscal year
ended June 30, 2015. Motion was seconded by Member Campbell and
carried by a 9-0 vote, with Campbell, Espinoza, Goldman, Harnik,
Hargreaves, Leo, Sperling, Spiegel and Wohlmuth voting AYE.
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INVESTMENT & FINANCE COMMITTEE
MINUTES February 23, 2016
VI. CONTINUED BUSINESS
None.
VII. OLD BUSINESS
A. PALM DESERT FINANCING AUTHORITY BOND ISSUANCE
None.
Vill. INFORMATIONAL ITEMS
None.
IX. ADJOURNMENT
MOTION was made by Member Campbell to adjourn the meeting at 10:34 a.m.
Motion was seconded by Member Leo and carried by a 9-0 vote, with Campbell,
Espinoza, Goldman, Harnik, Hargreaves, Leo, Sperling, Spiegel and Wohlmuth
voting AYE.
Respectfully submitted,
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Niamh Ortega, Rec Secretary
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