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Home My WebLink About09 MARCH 1999 AGENDA INVESTMENT & FINANCE COMMITTEE WEDNESDAY,March 24, 1999—1:30 P.M. NORTH WING CONFERENCE ROOM ***********,r*****�***��*****«******�***«*«*.*******�«*��*«***a**��**,.*�*�** I. CALL TO ORDER II. ROLL CALL III. APPROVAL OF MINUTES Rec: Approve the Minutes of February 17, 1999 as submitted. Action: _ IV. ORAL COMMUNICATIONS A. Any person wishing to discuss any item not otherwise on the agenda may address the Investment& Finance Committee at this point by givin his or her name and address for the record. Remazks shall be limited to a maa�imum of five minutes unless additional time is authorized by the Chairman. B. This is the time and place for any person who wishes to comment on non- hearing agenda items. It should be noted that at the Investment &Finance Committee's discretion, these comments may be defened until such time on the agenda, as the item is discussed. Remazks shall be limited to a masimum of five minutes unless additional time is authorized by the Chairman. V. OLD BUSINESS A. Status of Public and Private Partnerships Background Checks for Section 4 Rec: Report by Carlos Ortega. Action: B. Bond Issuance by Palm Desert Financing Authoritv Rec: Status Report on new Bonds. Action: AGENDA-INVESTMENT & FINANCE COMMITTEE March 24, ]999 *******�*******�*************�**«�***��*«*�***,+***�**********��******�*****�** C. Management Letters for Housing Authority and Decert Willow Golf Resort for the year endin�June 30. 1998. Rec: Report and submit to City Council Action: VI. NEW BUSINESS A. City and Redevelooment Agensy Investment Schedule for February, 1999 Rec: Review and submit to the next City Council agenda. Review the _ presentation on the investment graphs. Review the investment activity during the month of January. Review status of capital projects and cash flow projections. Action: B. Review Short Term Investments MaturinE in March 1999 Rec: Review investments in 1) collateralized deposits; 2)treasury bonds and notes; and, 3) Agencies discount notes. Action: C. State of California Local AEency Investment Fund Monthly Reports for January. 1999 Rec: Informational item for the Committee to review. No action required. D. Monthly Financial Report for City Council for February 1999 Rec: Report and submit to City Council. Action: E. Parkview Professional Office Buildings -Financial Reuorts for February. 1999 Rec: Review and file report. Action: F. Desert Willow Golf Resort Financial Information for February 1999 AGENDA-INVESTMENT & FINANCE COMMITTEE March 24, 1999 *,r********�***�**«***:*******r,r*,.**,r**��***,r**�*�*******+�*******�**��*******� Rec: Review and file report. Action: G. Palm Desert Recreation Facilities Coruoration Income Analvsis for Februarv. 1999 Rec: Review and file report. Action: _ VII. REPORTS AND REMARKS A. Reuorts and Remarks by any Committee Member B. Items to be placed on the Next Agenda VIII. NEXT MEETING DATE Next regulazly scheduled meeting is: �fi1�a7m��dl��v�, ��n°nIl ��3� Il�� Il°�� t� � IX. ADJOURNMENT I hereby certify under penalty of perjury under the laws of the State of Califomia, that the foregoing agenda for the Palm Desert Investment and Finance Committee was posted on the City Hall bulletin board not less than 72 hours prior to the meeting. ated this Marc 17, 1999. ��,1A?G��G �� Veronica Abazca, Recording Secretary �� I N T E R � '�� MEMO � �r � �� 0 F F I C E To: Investment &Finance Committee From: Paul S. Gibson,Finance Director �y/� Subject: Management Letter on the Internal Control Review of RPM Company In regazd to Audit of the Palm Desert Housing Authority. Date: Mazch 17, 1999 In January 29, 1998,the City acquired seven apartment complexes from the Riverside County Housing Authority. The Palm Desert Housing Authority contracted RPM Company to manage the apartment complexes for the Redevelopment Agency. The following aze the City's solutions to the Intemal Control Management Comments presented by our Auditors. Bank Reconciliations In order to received the monthly financial statement for the seven apartment complexes,the City allowed RPM Company to reconcile the bank statements on the 25th of each month. Our solution to the management comment is to review the June bank reconciliation to ensure that RPM Company has reconciled the bank statement to June 30th. The City will also ensure that the bank reconciliations include the sweep account. Cash Disbursements The City's staff will be randomly selecting invoices from the apartment complexes and examining that the Auditor's recommendation has been implemented. (Will be implementing this procedure as of Mazch, 1999). Pavroll The City's staffwill conduct a review of RPM Company's procedures to ensure that the Auditor's recommendation has been implemented. Security Deposits We have met with representatives of RPM Company and issued a letter regarding the procedure that will be implemented. Investment & Finance Committee Page 2 March 17, 1999 Basis of AccountinQ The City's staff will continue to review RPM Company's general ledger and request that necessary adjustments be made prior to the beginning of each fiscal year financial audit. Capitalization Policy The City has provided RPM Company with a capitalization policy. Staff will be reviewing RPM Company's itemized inventory schedule before the fiscal yeaz end. C:W CCTG98 W UDITAUDITL-2Vv1AGAHOM E.W PD �� I N T E R '�� MEMO �,�� 0 F F I C E To: Investment&Finance Committee From: Paul S. Gibson, Finance Director � Subject: Management Letter on the Intemal Control Review ofKemper Sports Management, Inc. In regard to the Audit of Desert Willow Golf Resort. Date: Mazch 17, 1999 In connection with the Financial Audit for the Year Ending June 30, 1998, our auditors aze required to review their prior yeaz management letter. All prior yeaz comments have been addressed by Kemper Sports Management, Inc. except one (Cash Receipts). The auditors testing disclosed instances where cash shortages were still occurring. We have addressed this problem on several occasions with the staff at Desert Willow and they have assured us that procedures have been implemented to correct the problem. The City's staff will be conducting reviews on this area and several others on a quarterly basis and will be reporting findings to the City Manager. Our auditors have also issued an intemal control management letter for Desert Willow for the fiscal year ending June 3Q 1998. Before the internal control review began, City staff had a conference with the auditors. In that meeting, we addressed the City's concerns regazding the operations of Desert Willow. The following aze the City's solutions to the management letter issued by the auditors regarding the intemal controls of Kemper Sports Management, Inc. Se�re�atiom of Duties- Cash The City will be conducting quarterly reviews and reporting to the City Manager. Em�yee Benefits The City is now receiving detailed documentation for employee benefit expenses. Property. Plant& Equipment Prior to the operations of Desert Willow opening, we instructed Kemper Sport Management, Inc. staff to tag and keep track of the City's assets as they were purchased. The City will conduct a quarterly review to ensure that Kemper's staff has tagged all equipment that has been purchased. Investment & Finance Committee Page 2 March 17, 1999 Inventor�Adiustments Prior to the audit, we had discussions with Kemper's staff to explain inventory adjushnents. Currently, we are investigating all inventory adjushnents that are made by the Accountant at Desert Willow. We aze asking for a detailed description and cause of any and all adjustments. Year End Adjustments - City' staffwill continue to review the general ledger for Desert Willow and conduct an internal audit of the general ledger before the financial audit begins. Bank Transfer Union Bank has been informed that all wire transfers be approved by the City of Palm Desert staff prior to transfer of funds. Inventory Pricing One of our concerns before the internal control review began was the method that Desert Willow was using to record their inventory. We had discussed our concerns with the auditors and performed a review prior to the audit. The auditors findings were in conformity with ours. To ensure Kemper Sports Management, Inc. has implemented the recommendation by the auditors, the City staffwill be conducting quarterly reviews. C:W CCTG98WUDITAUDITL-2NIAGADW.WPD . �-r--� • � � Minut e s ` Finance Committee . CONVENE On Februxry 17, 1999, t�e Investment ff Finance Commiitee was called to order at 1:37 p.m. by Mr. Paul Gibeon. ROLL CALL Ray Diaz, Russ Campbell, Bufoxd Crites, Dave Erwin, Paul Gibaon, Thomas Je{�rey, Murray Maglo{f, Cazlos Ortega, Bob Spiegel, Bill Veazie and Veronica Abarca, recorcling secretary. GUEST Gregg Lindquiet, Kemper Sports-Desert Willow APPROVAL OF MINLJT�S Upon motion by Mr. Dave Erwin, and seconded by Mr. Bill [Tearie, the Minutes of the January 20, 1999 meeting were APPROVED as submitted. ORAL COMMiJNICATIONS Mr. Gibson etatea tkat �e would talxe Items F FI G unc�er New Business out o� orc�er per Mr. Lindquist's requeet. F. Desert Willow Ciolf Reaort Financial In�ormaHon�or Tanuarv, 1q99• Mr. Lindquiet etated that January was an excellent mont�with a p=o{it o� �238,000, (�73,000 under budget). 'I'key are �151,000 ovex ranuary, 1998 {i�ures. The go�{rounds are at 95% of the projections. Mr. Lindquist stated tkat tke �gures fo=t�e montks o�Mazc�, April and May aze all loo�Zing very promising with t�e lazge amount of advance gzoup boo��ngs. Mz. Lindquiat stated that the concern of ample pazl�g had been aueviated aince �.'oackella Valley Wate= Dietrict bae given permisaion to eta{f to paz�x at tkeir well site par�Zin�. Wi{�tke acceas to t�e new lot, cars will no lon�ez be on tke street. Receive and �e report. OLD BUSINESS 1�. Bond Iesuanoe bv Palm PTesert Financind Autlaori4v i Minu�es - rinancc Commi�tce Mr. Gibson stated tkat t�ey�ave begun t�e proceae for t�e Seriea B Bond Isauance for Bigkorn. At t�is time there is no new in�ormation to report. B. 5tatus of Public and Private Partnersliips Baclxp;round Ckeclxs for ection 4 �ere were no changes to the previous mont� report. NEW$USINESS A Ci a Reclevelo ment en Investment ,5ckedule - Mr. Je{{xey reviewed the reports for tke City and Redevelopment Agency. Mr. Je{{rey stated t�at the 'I'ax Inciement Revenues were received in January. Mr. Je{�rey as�Zed i�t�exe were any questions. There wexe none. Receive and {ile reports. B. Review Skort Term Investmente Maturin in February 1999 Mx. Gibson noted tkat t�ete was one investment maturing in �ebruary. 12eCeive and {ile report. C. 5tate of California Local Adenev Inveatment Fund Mont�v Renort Mr. Gibson reported tbat �or the mont� o�December, the City hae �22.9 million and the Redevelopment Agency LAIF has a balance of �11.5 million at an interest rate o{5.374%. � Receive and f�e reports. D. Montkiv Financial Revort �or (,"itv C'ouncil Mr. Gibson reviewed tke reports and as�xed if tkeLe were any questiona. There were none. Receive and {�e report. �. Par�xview Pro�essional O{{ice Builclin s - Financial Re orts Mx. Gibson stated tkat tke O a�ce C'omplex continues to do well. 2 Minui;es i'Inancc Committce Mr. Gibson also stated tkat tke tenant Gol� Dimensions is currently two montks bekind in payment of tkeir lease. Tkeir reason being that they kave ' not received payment form tke Redevelopment Agency. Mr. Gibson stated tkere is$500,000 wkich can be used to o�set tke costs to maintain tke Civic Center Par�Z. . Receive and {ile report. � G. Palm Desert Reereation Facilities Corporation Income Analvsis �or Januarv. 1999 This item was coveied by Mr. Lindquist, Desert Willow. Receive and {ile report. . H. Financial b"tatements �or Year Endin� Tune 30 1998 for Deserk Willow Gol� Resort anc� Palm Deaert Recreation Facilities Mr. Gibson reviewed tke Financial Statements and stated t�at botk would be submitted to tke Gol�Course Committee and then forwarded to City Counci�. Receive and {ile repork. I. Manadement Letters for Housind Autkoritv and Desert Willow C'iol� Resort �or tke vear endin� Tnne 30. 1998 , Item I cogtinued to tke Marc� 24, 1999 meeting. R�PORT AND REMAR ,S NIr. Maglo{f requested an update on tke MeCallum and tke Wymer Case. Mc. Gibson stated that a report for the MeCallum had not been submitted tkis montk from t�e McCa�um. Mr. Gibson also stated tkat a�inal settlement in t�e amount o��2.3 million �ad been t�e outcome o�tke �ymez case. NEXT MEETING DA `I'he next Investment Fd Finance C.'ommittee meeting will be held Wednesday, MaLck 24, 1999 at 1:30 p.m. This meeting will be postponed {rom it's regular date, due to availability o{staff. ADJOURNMEN'T Upon motion by Dave Erwzn and seconded by Murray Magloff the Investment & Finance Committee adjourned'at 2:30 p.m. 3 Minui;es - I'Inanee Committee . l2eapect�ully submitted, A . � . �� `,�� /�a . i w W� y� �i Veronica L. Abazca, Recording Secretary 4 �� I N T E R �j'`�� MEMO ��:-�� 0 F F I C E To: Investment& Finance Committee From: Paul S. Gibson, Finance Director �� Subject: Management Letter on the Intemal Control Review of RPM Company In regard to Audit of the Palm Desart Housing Authority. Date: Mazch 17, 1999 In January 29, 1998, the City acquired seven apartment complexes from the Riverside County Housing Authority. T'he Palm Desert Housing Authority contracted RPM Company to manage the apartment complexes for the Redevelopment Agency. The following are the City's solutions to the Intemal Control Management Comments presented by our Auditors. Bank Reconciliations In order to received the monthly financial statement for the seven apartment complexes, the City allowed RPM Company to reconcile the bank statements on the 25th of each month. Our solution to the management comment is to review the June bank reconciliation to ensure that RPM Company has reconciled the bank statement to June 30th. The City will also ensure that the bank reconciliations include the sweep account. Cash Disbursements The City's staff will be randomly selecting invoices from the apartment complexes and examining that the Auditor's recommendation has been implemented. (Will be implementing this procedure as of Mazch, 1999). P�roll The City's staff will conduct a review of RPM Company's procedures to ensuxe that the Auditor's recommendation has been implemented. Security Deposits We have met with representatives of RPM Company and issued a letter regarding the procedure that will be implemented. / Investment & Finance Committee Page 2 Mazch 17, 1999 Basis of Accountina The City's staff will continue to review RPM Company's general ledger and request that necessary adjustments be made prior to the beginning of each fiscal yeaz financial audit. Cgpitalization Policv The City has provided RPM Company with a capitalization policy. Staff will be reviewing RPM Company's itemized inventory schedule before the fiscal year end. C:WCCTG98WUDITAUDITL-2VNAGAHOME,W PD PALM DESERT HOUSING AUTHORITY MANAGEMENT LEITER YEAR F.NDED JUNE 30, 1998 1�1E�, G�van�. � �om�ian�, �'�� CERTIFIED PUBIIC ACCOUN7ANTS&CONSULTANTS . (��.ea� �. og�mi,�o CERTIFIED PUBLIC ACCOUNTANT 2121 ALTON PARKWAY,suirE ioo � a joint ventur�ctober 28 1998 74-133 EL PASEO,SUITE 8 IRVINE,CALIFORNIA 92608-4906 ' PALM DESERT,CALIFORNIA 92260 �sas)�s�-noo nso�na•ao�s Agency Members � Palm Desert Redevelopment Agency Palm Desert, California In planning an performing our audit of the financial statements of Palm Desert Housing Authority for the period ended June 30, 1998, we considered its internal control structure in order to _ determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the internal control structure. Our study and evaluation was more limited than would be necessary to express an opinion on the system of intemal accounting control taken as a whole and we do no[ express such an opinion. The management of Palm Desert Housing Authority (RPM Company) is responsible for establishing and maintaining a system of intemal accounting conuol. In fulfilling this responsibility, estimates and judgements by management aze required to assess the expected benefits and related costs of control procedures. The objectives of a system aze to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with managemenYs authorizadon and recorded properly. During our audit, we noted other matters involving the internal control structure and its operation that we wish to call to your attention. These matters are set forth below with our recommendations for improvement. Barik Reconciliationc Auditor Comment and Recommendation: During our review of the bank reconciliation we noted the following: 1) Bank reconciliations were prepared as of June 25, 1998, rather than as of the fiscal year (June 30, 1998). 2) Balances in sweep accounts were not included as part of the bank balance in the bank reconciliation. Instead cumulative transactions from sweep accounts were shown as reconciling items in the bank reconciliation. We recommend the bank reconciliation for the monttf of June be prepared to include all transactions through the end of the fiscal year. In addition, sweep accounts balances need to be included in the amount reported in the bank reconciliations for cash in bank. 1 Management Response: We were not aware prior to the audit to change the bank statements transacdons from June 25, to June 30, 1998. There was a verbal agreement with the City of Palm Desert staff to close our bank statements of the 25'"of each month for cash receipts collections. For future year ends, we will prepaze the bank statements to reflect all transactions as of June 30, 1998. We treated the operating account and sweep account as one banlc reconciliation. Our reason being, we were under the impression that the funds being transferred went into the City of Palm Desert General Fund for investment. We did not receive the sweep account bank statemenu until July 98, when we were asked to book the interest through June 98. To date, the sweep account is being baoked accordingly and interest posted monthly. Cash Disbursements Auditor Comment and Recommendadon: During our testing of cash disbursements we noted instances where approval of invoices was not documented. We aiso noted that paid invoices are not canceled upon payment. To preve.nt possible duplication of payments or payment of unauthorized expense, we recommend that all vendor invoices be stamped "paid" at the dme of payment and a new policy to be implemented which prevents the processing of invoices that have not been properly approved. Management Response: Our Company procedure was as follows: Invoices aze �reviewed and signed off by the site manager, they are inputtecl into the computer. This process produces an invoice journal by vendor, amount, invoice number and grand total. The invoices and joumal is then reviewed and corrected by the property manager. The property manager sign's off on the joumal and the completed package is forwazded to the home office for processing. T'he home office reviews and checks are printed and signed for payment. During the mailing process the top remittance check copy, which is stapled to the invoice, is then stamped paid, dated and filed. When reviewed with the auditors, we agreed to change the stamp paid location to the invoices and the procedure is now in effect. Pavroll Auditor Comment and Recommendation: Our testing of payroll transactions disclosed an instance where a time sheet was not approved by a supervisor. We also noted instances where personnel forms authorizing the hiring of employees were not signed by an authorized o�cial of the management company. We recommend that approvals for time sheets and addition of new employees be documented as required. Policies should be adopted that will prohibit the processing of any payroll checks unless proper approvals are obtained. 2 �► � Management Response: We review the instance where the time cazds weren't signed off by the property manager. In this instance the employees were site managers and their salary status with the company is as full-time salary employees. In reference to personnei forms, this instance was during set up and we have since verified all documents for authorized signatures. Our company policy has been reviewed and steps have been taken to eliminate future occurrence. Security D�.posits Auditor Comment and Recommendation: Under the present system, security deposits received from tenants and amounts retained from � security deposits aze not transfened and deposited in the pmperty bank account in the month when the transaction occurs. In some instances, we noted differences in the amount of cash reported in the security deposit account with the amount reported in the security deposit report. We recommend for security deposits to be deposited directly to trust accounts and transfers of retained security deposits to be made to the operating account in the month when the rent is earned. Deposits in trust accounts should be reconciled on a monthly basis to security deposit reports. Differences should be prompfly investigated and required adjustments should be made immediately in order to maintain these two accounts reconciled. We also recommend that management company adopt a policy that will require tenants to pay security deposits with a separate check. Management Response: The security deposit records we received from the housing authority of Riverside County did not agree with the leases on site. We have however, reconciled the security report on a monthly basis to the general ledger showing the differences until we could verify the correct amounts and update the security deposit report accordingly. We will follow the auditors recommendation to require tenants to pay security deposits with a separate check, and deposit those funds in the Security Trust Account. Basis of Accounti� Auditor Comment and Recommendation: Our review of the financial records of the Palm Desert Housing Authority (the authority) maintained by RPM Company (the management company) disclosed that the management company is using the cash basis of accounting method to prepare the financial records of the authority. As a result adjustments had to be made to record receivables from tenants, prepaid rents and certain liabilities accounts. The management agieement calls for the financial records to be maintained on the modified accrual basis of accounting. , We recommend that financial records be properly adjusted at the end of the year to allow for the presentation of financial statements prepazed on the accruai basis of accounting. Management Response: With regards to prepaid rents and liabilities not being posted at the year end. This refers back to the bank closing of cash receipts_of June 25'", for prepaid rents and delinquent rents. The liabilities (accrued accounts payable) were posted with the exception of a late utility bill. Future year-ends will reflect the modified accrual accordingly. C�pitalization Policies Auditor Comment and Recommendation: At the present rime the management company dces not have a formalized capitalization policy. We recommend a policy be prepared and implemented which will establish the minimum dollaz value that will be used to capitalize cost incurred in purchasing fixed assets. Management Response: The City of Palm Desert has supplied us with a formalized capitalization policy that will be followed by all apartment complexes. These matters were considered in determining the nature, timing and extent of the audit tests to be applied in our of the Palm Desert Housing Authority's Financial Statements. This report is intended for the information and use of the Palm Desert Housing Authority and management. However, this report, upon acceptance by the Agency, is a matter of public records its distribution is not limited. �� J� � �uNwVJ � ww.�.+++�.{�LLf ' Q 4 ,^�� I N T E R ��L�� MEMO �� 0 F F I C E To: Investment& Finance Committee From: Paul S. Gibson, Finance Director � Subject: Management Letter on the Intemal Control Review ofKemper Sports Management, Inc. In regazd to the Audit of Desert Willow Golf Resort. Date: March 17, 1999 In connection with the Financial Audit for the Yeaz Ending June 30, 1998, our auditors are required to review their prior year management letter. All prior yeaz comments have been addressed by Kemper Sports Management, Inc. except one (Cash Receipts). The auditors testing disclosed instances where cash shortages were still occurring. We have addressed this problem on several occasions with the staff at Desert Willow and they have assured us that procedures have been implemented to correct the problem. The City's staff will be conducting reviews on this azea and several others on a quarterly basis and will be reporting findings to the City Manager. Our auditors have also issued an internal control management letter for Desert Willow for the fiscal yeaz ending June 30, 1998. Be£ore the intemal control review began, City staff had a conference with the auditors. In that meeting, we addressed the City's concems regarding the operations of Desert Willow. The following are the City's solutions to the management letter issued by the auditors regarding the internal controls of Kemper Sports Management, Inc. SegreQation of Duties- Cash The City will be conducting quarterly reviews and reporting to the City Manager. Emplovee Benefits The City is now receiving detailed documentation for employee benefit expenses. Property. Plant & Eaninment Prior to the operations of Desert Willow opening, we instructed Kemper Sport Management, Inc. staff to tag and keep track of the City's assets as they were purchased. The City will conduct a quarterly review to ensure that Kemper's staff has tagged all equipment that has been purchased. Investment&Finance Committee Page 2 Mazch 17, 1999 Inventory Adjustments Prior to the audit, we had discussions with Kemper's staff to explain inventory adjushnents. Currently, we aze investigating all inventory adjustments that aze made by the Accountant at Desert Willow. We aze asking for a detailed description and cause of any and all adjustmants. Year End Adjustments - City' staff will continue to review the general ledger for Desert Willow and conduct an intemal audit of the general ledger before the financial audit begins. Bank Transfer Union Bank has been informed that all wire transfers be approved by the City of Palm Desert staff prior to transfer of funds. Inventory Pricing One of our concems before the intemal control review began was the method that Desert Willow was using to record their inventory. We had discussed our concems with the auditors and performed a review prior to the audit. The auditors findings were in conformity with ours. To ensure Kemper Sports Management, Inc. has implemented the recommendation by the auditors, the City staffwill be conducting quarterly reviews. C:WCCTG98V�UDITv1UDITL-2VvtAGADW.WPD i� �--- -._...... .. _.- - . . _ DFSERT WII.LOW GOLF RESORT - MANAGEMENl' LETTER YEAR ENllED NNE 30, 1998 L�fE`�'�i�, G�va►z�. � �om�arzt�, �`_'�J� CERTIFIED PUBLIC ACCOUN7ANTS&CONSULTANTS . � C�sea� �. o��cml�o CERTIFIED PUBLIC ACCOUNTANT 2121 ALTON PARKWAY,SUITE 100 a jolnt venture 74133 EL PASEO,SUITE 8 IRVINE,CAUFORNIA 92606-4906 PALM DESERT,CALIFORNIA 92260 �sas>�s�-noo September 23, 1998 ��>773•ao�e The Honorable Major and Members of City Council City of Palm Desert Paim Desert, California " In pianning an performing our audit of the financial statements of Desert Willow Golf Resort for the year ended June 30, 1998, we wnsidered its intemal control structure in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the intemat control structure. Our study and evaluation was more limited than would be necessary to express an opinion on the system of internal accounting control taken as a whole and we do not express such an opinion. The management of Desert Willow Golf Resort(Kemper Sports Management, Inc.)is responsible for establishing and maintaining a system of internal accoanting control. In fulfilling this responsibility, estimates and judgements by management are required to assess the ezpected benefits and related costs of control procedures. The objectives of a system are to provide management with reasonable, but not absolute, assuiance that assets are safeguarded against loss from unauthorized use or disposidon, and that tiansactions are executed in accordance with management's authorization and recorded properly. During our audit, we noted other matters involving the internal control structure and its operdtion that we wish to call to your attention. These matters are set forth below with our recommendations for improvement. Se�e�ation of Duties - C�t► Auditor Comment and Recommendation: During our review of internal control over cash we noted fhat the controller is also involved in the collection and recording of certain cash raceipts, prepazation of bar�k deposits, handling of items rejected by the bank and preparation of monthly bank reconciliations. To strengthen intemal control over cash, we recommend the responsibility for performing the above menfloned functions be delegated to other available staff. � S��r��tion of D�fiPs _ Cash (continued) Management Response: The recommendation was made to have a staff inember other than the controller assume certain cash handling responsibilides namely the collection of rxeivables, preparation of bank deposits, and processing bank rejected items. We agree with the auditor's re�ommendation and have assigned these duties to the Administrative Assistant, Head Golf Professional, and the General Manager, respectively. Emnloyee Benefits � Auditor Comment and Recommendation: During our testing of payments to management company for employee batefits, we noted that the documentation provided by the management company to support these payments was too general and not traceable to charges to individual employees. We recommend that detailed documentadon be requested to support amoants invoiced for employee benefits. Management Response: Starting in December 98, Kemper Sports will include with the last payroll invoice of every month a detaile� benefit sche�ule by employee supporting the amounts charged on the payroll invoice. The schedule will include gross premiums charged by benefit type per employee. Propgr�y. Plant & Eauy�ment Auditor Comment and Recommendation: During our review of Property, Plant and Equipment, we noted that an itemized subsidiary ledger was not maintained and that maintenance equipment did not have identification tags. We recommend that detailed property records be maintained on a cuirent basis. These records should include depreciation expense and accumulated depreciation related to each depreciable asset. We also re�ommend for identification tags to be prepared for all equipment purchased. Management Re,4ponse: Kemper Sports Management will implement an itemized fixed asset subsidiary leflger program during the first quarter of 1999. The implementation preeess will include a physical inventory count of all equipment on the premises with identificadon tags placed on all equipment wunted. Kemper Sports Management's D'uector of Internal AudidQuality Assurance will oversee this process. Once established, this system will be maintained on a cument basis. z � .� Inventory A,�tj'ustmen c Auditor Comment and Recommendation: Our testing of Inventories disclosed that monthly adjustments were made W Inventory general ledger accounts. These adjustments were made to rxoncile the balance in these accounts to balance in the monthly detail inventory listings. Except for the month of 7une 1998, explanations on Wese adjustments were generally not available. We recommend that all adjustments to inventory accounts be adequateiy eacplained and approved prior w posting to inventory accounts. Management Response: " The Genecal Manager and Accounting Manager will prepare on a monthly basis a report explaining invenwry variances prior to the final posting of inventory accounts. Cash Receints Auditor Comment and Recommendation: Our testing of Cash Receipts disclose3 instances where cash shortages were still occurring, However, these shortages were less frequent and smaller since new policies were implemented. We recommer►d for cash shortages to continue to be investigated and monitored by staff. Management Response: Cash shortages will continue to be investigated and monitored closely by the General Manager, Accounting Manager, and Head Professional. Yeat End Adjustmentc Auditor Comment and Recommendation: As a result of our audit and year end work performed by golf course staff, accounts receivable, Prepaid exPenses� fixed assets, liability accounts, equity account and certain revenue and expense accounts had W be adjusted to correct the balance in these accounts. We believe these adjustrnents should be made during the year and posted prior to the staR of the audit. We recommend that a periodic review of all genecal ledger accounts be made throughout the year in order to improve the reliability of interim prepared financial statemenu and expedite the performance of the annual audits. 3 Year End Adiustments (continued) Management Responsc: We will continue to review all generalledger accounts on a monthly basis to ensure the reliability of interim prepared financial statements and minimize year-end adjustm�ts. �ank Transfers Auditor Comment and Recommendation: During our testing of bank transfers, we noted one instance where the approval of an authorized _ representative from the City of Palm Desert was not obtained prior to initiaking and requesting a bank transfer. We recommend strict adherence to policy for obtaining required approvals prior to requesting a bank tcansfer. Management Response: We will maintain strict adhera►ce to the bank transfer policy. The Geneial Manager can only make bank hansfers after receiving written approval by the City of Palm Desert. Furthermore, Union Bank was notified in June 1998 to never call Desert Willow to confirm a wire. Invenmry Pricine Auditor Comment and Recommendation: During our review of inventory, we noted one instance where shipping costs were not properly allocated and included in the pricing of an inventory item. We re�ommend controls to be implemented to ensuie all cost related to the purchase of inventory items be refl� on the golf course's perpet�al inventory records. Management Response: We are currenfly allocating shipping costs and including these costs in the price of each inventory item. In addition, the Accounting department on a monthly basis will randomly select 5-10 inventory items and tcace the inventory price listed in the point of sale to the actual physical invoice. Any variances in price discovered by Accounting will be reconciled immediately. These matters were considered in deternuning the natuie, timing and eactent of the audit tests to be appliad in our audit of Desert Willow Golf Resort's fin�'ncial statement and this letter does not affect our report on these financial statements dated September 23, 1998. e This report is intended for the information and use of the City Council and management. However, this report, upon acceptance by the City, is a matter of public records its distribudon is not limited. // �_ �.�,t�-L_, �„� 4,�,�l, ��^f�'"'��li.� l/ � 03/09/1999 --- CITY OF PALM DESERT --- PM - 1 PORTFOLIO MASTEft SU�AARY CITY FEHRUARY 2B, 1999 ACCRUAL AV6RAG£ ---YIELD TO MATURITY--- PERCENT OF AVERAGE DAYS TO 360 365 ZNVESTMENTS BOOK VALUE PORTFOLIO TERM MATIRiITY EQUIVALENT EQUIVALENT UNITED STATES 1REASqRY - COUPON.......... ....$ 99,'/08,4'10.99 30.12 958 650 5.205 5.200 CITY LOAN TO RDA.................... .. . . . . ...$ 29,908,338.94 14.']9 1 1 5.139 5.210 FED6RAI, AGENCY - COVPON....... . . .. ......... ..$ 20,299,090.93 12.30 959 522 5.939 5.819 IACAL AGENCY INVESTMENT FOND.................$ 28,264,456.54 1�.13 1 1 5.139 5.210 MEDIUM-TERM NOTES..... . ......................5 10,310,136.03 6.25 535 505 5.130 5.202 FIDELITY 1REASURY POOL.......................5 16,2�3,429.40 9.86 1 1 4.55'] 4.620 UNITED STATES TREASURY - DISCOONT..... . . . . ...$ 9,B99,122.36 2.94 1,706 1,261 5.738 5.818 HIGHM}1RK SWEEP ACCOUNTS.... . . ................5 10,9']1,183.65 6.34 1 1 9.192 4.250 STATE 5 IlJCAL GOVT SERIES - TIME.............$ 465�000.00 0.28 1,'I53 1,308 0.000 0.000 TOTAL INVESTMENTS and AVERAGES.............$ 165,04],8]8.64 100.00$ 496 335 5.118t S.1B94 CASH Paeebook/Checking - No Yield Totale........ . .$ -3,912,B19.99 $ 0.000 0.000 (not included in yield calculations) Acczued InCerest at Putchase.................$ 249,'/92.91 TOTAL CASH and PURCHASE INTEREST... . . .. . . . ...$ -3,665,041.83 1CITAL CASH and INVESTMENTS... . . . . . .........5 161,302,836.81 MONTH EN➢ING FISCAL TOTAL EARNINGS FE6RUARY 28 YEAR '1C) DATE CurYen[ Yeal $ 647,539.73 $ 4,94fi,929.99 AVERAGE DAILY HALANCE $ 158,961,323.85 $ 135,039,696.85 EFFECTIVE RATE OF RETURN 5.334 5.509 TH6 CITY'S INVESTMENT PORTFOLIO IS IN C1�MYLIANCE WITH ALL CALIFORNIA GOVERNMENT PAUL S. GIBSON CODE AND CITY INVESTMENT POLICY PROVISIONS RELATING TO TfSE INVESTMENT OF LOCAL FINANCE DIRECTOR & CITY TREASURER AGENCY FUNDS. NOTWITHS'LANDING ANY FUTURE ACTIONS ITY THE CITY C011NCIL OR AN UNFORESE£N CATASTROPHE, THE CITY HAS SUFFICIENT CASH FLOW TO MEET ITS EXPENDITURE REQUIREMENfS FOR THE NEXT SIX MONTHS. MARI(ET VALllES WERE OBTAINED DATE FROM U.S. HANK AND FROM INTERACTIVE DATA CORP. ALL HAI.ANCES ARE BANK BALANCES. * THIS IS NOT A BANK OVERDRAET. ENDING BANK BALANCE WAS CAI,COLATID BEFORE COVERING FUNDS WIItE TRANSFERRID IN FROM SWEEP ACCOUNf. 03/09/1999 -- CITY OF PALM DESERT --- PM - 2 INVESTMENT PORTFOLIO DETAILS - INVESTMENTS CITY FEBRUAFtY 28, 1999 ACCRUAL INVESTMENT AVERAGE PVRCHASE STATED --- YTM --- MATUAITY DAYS NUf�ER ISSUEA HALANCE DATE BOOK VALUE FACE VALUE MARKET VALUE RATE 360 365 DATE TO MAT ___"____________________'________'_'____________________________"_'________'_'_"_""_""__________"_'""___"___"_"'__"___ UNITED STATES TREASURY - COUPON 1600'/ I IMITED STATES TR£ASURY 12/12/95 1,00],459.18 1,000,000.00 1,011,250.00 6.3'/S 5.338 5.913 O1/15/00 320 16008 I UNITED STATES 1REASURY 12/12/95 449,828.12 995,000.00 451,25].81 8.000 5.2'l9 5.352 OB/15/99 16] 16047 UNITED STATES TAEASURY OS/O1/97 2,000,360.09 2,000,000.00 2,005,000.00 6.375 6.171 6.25] 09/30/99 60 16050 UNITED STATES TREASURY 12/11/9� 92,050.2'1 92,000.00 92,431.25 5.8'IS 5.6'/4 5.'!53 08/31/99 183 16051 UNI1'ED STATES TREASURY 12/11/97 1,356,4fi5.OB 1,340,000.00 1,381,03'/.50 6.250 5.761 5.841 06/31/02 1,279 16052 UNITED STATES 1REASURY 12/11/9"! 12,152.08 12,000.00 12,240.00 'l.125 5.6'/2 5.'/50 02/29/00 365 16053 UNITED STATES TREASURY 12/11/97 97,602.71 97,000.00 98,595.99 fi.250 5.713 5.792 08/31/00 599 16054 UNITED STATES TREASURY 12/11/9'1 12,964.6] 13,000.00 13,11'l.91 5.625 5.693 5.]]2 02/28/O1 ']30 16055 OHIFTED STATES TRffi+Sl1RY 12/11/9] 109,5z6.19 103,000.00 106,122.19 6.500 5.750 5.830 OB/31/O1 914 16056 UNITED STATES TI2EASURY 12/11/9'1 13,138.65 13,000.00 13,361.56 6.250 5.'161 5.841 02/28/02 1,095 16060 UNITED STATES TREASURY 12/11/9'1 306,299.08 300,000.00 311,625.00 6.625 5.']68 5.848 03/31/02 1,126 16061 UNITEO STATES TREASVAY 12/11/9] 15,208,193.99 15,194,000.00 15,488,383.95 5.895 5.062 5.842 09/30/02 1,309 16062 UNITED STATES TREASUAY 12/11/9] 922,125.15 911,000.00 936,33'/.19 6.3'/S 5."/58 5.838 09/30/O1 949 16063 VNITED STATES TREASUAY 12/11/9'1 284,891.61 282,000.00 288,69'1.50 6.3'/S 5.'/48 5.828 03/31/O1 '161 16069 UNITED STAT£5 TREASURY 12/11/9'1 850,891.22 B4'/,000.00 859,1'/5.63 6.125 5.']24 5.803 09/30/00 5"/9 1fi065 UNITED STATES TREASURY 12/11/9'/ 26],905.03 265,000.00 270,051.56 6.B]5 5.696 5.'/]5 03/31/00 39fi 16066 UNITED STATES 1REASURY 12/11/9] 806,8]].55 BO],000.00 810,'/82.81 5."/50 5.693 5.'!'!2 09/30/99 213 1606'/ UNITED STATES 1REASURY 12/11/9'/ 250,101.15 250,000.00 250,312.50 6.250 5.646 5.'l24 03/31/99 30 160]0 ONITED STATES 1REASURY OS/1B/9B 4,024,45fi.]9 4,000,000.00 4,038,750.00 6.875 5.506 S.SB2 OB/31/99 183 16092 UNITED STATES 1R£ASIIRY 12/16/98 966,115.8] 940,000.00 962,912.50 "/."/50 4.545 9.608 O1/31/00 336 160�3 VNITE� STATES TREASUAY 12/16/98 5,439,261.85 5,400,000.00 5,432,062.50 6.3']5 4.569 4.630 09/15/99 136 16074 UNITED STATES TREASVAY 12/16/98 9,097,655.93 8,842,000.00 9,057,523.'75 ].'/50 4.545 9.608 O1/31/00 336 160'!5 UNITED STATES TREASORY 12/16/98 2,038,091.01 2,010,000.00 2,013,']68.']5 5.250 4.415 4.4'16 O1/31/O1 '!02 16076 UNITED STATES TREASURY 12/lfi/98 1,]38,968.20 1,]15,000.00 1,718,215.63 5.250 9.415 4.4]6 01/31/O1 702 160]9 UNITED STATES 1REASURY 12/16/98 2,3]5,160.35 2,360,000.00 2,3]0,325.00 5.625 4.562 4.625 10/31/99 244 '____"_"__"___"__ ____'______"_" _'"____"___"__ _""______"____ ______ ______ ______ SUBTOTALS dnd AVERAGES 50,'/39,4'/1.'!9 49,'/08,4]0.']9 49,993,288.13 49,238,000.00 5.205 5.277 657 CITY LOAN TO RDA 1 CITY OF PALM DESERT 24,408,338.99 24,900,338.94 24,408,338.99 5.210 5.139 5.210 1 AVERAGES 24,408,338.99 FEDERAL AGENCY - COUPON 14016 FEDERAL FARM CREDIT HANK OB/04/9'1 3,000,000.00 3,000,000.00 3,02'1,18].50 6.000 6.000 6.083 OB/09/00 522 14011 FEDERAL HOME IAAN BANK 03/26/9'I 1,800,000.00 1,800,000.00 1,801,68].50 6.310 6.310 6.398 03/26/99 25 14022 FEDERAL HOME IAAN BANX O1/09/98 2,000,000.00 2,000,00�.00 2,004,3'I5.00 6.105 6.145 6.231 O1/09/02 1,095 14028 FEDERAL HOME IAAN BAN% O1/15/99 2,01'1,232.13 2,000,000.00 2,004,3�5.00 5.500 4.'1�4 9.840 0]/14/00 501 14002 I FEDERAL NATIONAL MTG ASSOC 12/12/95 1,009,345.68 1,000,000.00 1,O11,B'/5.00 8.450 5.8]'/ 5.958 0�/12/99 133 19004 I FEDERAL NATIONAL MTG ASSOC 12/12/95 1,033,292.68 1,000,000.00 1,090,312.50 9.050 5.620 5.699 04/10/00 906 14023 FEDERAL NATIONAL M7G ASSOC O1/14/98 2,000,000.00 2,000,000.00 1,992,500.00 6.010 5.926 6.010 O1/14/03 1,415 14025 FEDERAL NATIONAL MTG ASSOC OS/18/98 2,033,21].95 2,000,000.00 2,041,8]5.00 9.590 5.]26 S.BOS 02/14/00 350 14026 FEDERAL NATIONAL MTG ASSOC OS/1B/98 1,994,454.12 2,000,000.00 2,002,500.00 5.430 5.'/50 5.830 O1/2]/00 332 .-.. . . . . .__- . .. ... . . . . .__.____ __"- 03/09/1999 --- CITY OF PALM DESERT --- PM - 3 INV6STMENT PORTFOLIO DETAILS - INVESTMENTS CITY FEBRUARY 2B, 1999 ACCRUAL INVESTMENT AVERAGE PVRCFIASE STATED --- YTM --- MATIJHITy DAYS lIUMB6R ISSUER BALANCE DATE BOOK VALVE FACE VALUE MARKET VALUE RATE 360 365 DATE TO MAT FEDERAL AGENCY - COUPON 14027 FEDERAL NATIONAL MTG ASSOC OS/18/98 2,001,001.20 2,000,000.00 2,OOB,125.00 5.']90 5.�10 5.'189 11/OS/99 299 14029 FEDERAL NATIONAL MTG ASSOC 02/24/99 1,411,19"/.2'I 1,400,000.00 1,906,125.00 5.'/20 5.031 5.101 OS/22/00 948 __"___'__________ _____'"_______ ____"_""______ ______________ ______ _"____ ______ SUBTOTALS and AVERAGES 19,144,'181.8'1 20,299,'190.93 20,390,93'I.50 20,200,000.00 5.'139 5.819 522 IIJCAL AGENCY INVESTMENT FUND 12000 STATE OF CALIFORNIA 28,269,956.54 28,264,456.54 28,264,456.59 5.210 5.139 5.210 1 AVERAGES 28,264,456.54 MEDIUM-TERM NOTES 18005 FORD CAPITAL BV O1/21/99 2,156,185.08 2,000,000.00 2,133,125.00 10.125 S.1B3 5.255 11/15/00 625 18001 FORD MOTOR CREDIT CORPORATI O1/21/99 2,035,060.9B 2,000,000.00 2,016,895.00 6.3']5 5.136 5.208 10/06/00 585 18002 G6NERAL MOTORS ACCEPTANCE C O1/21/99 2,014,'/55.'15 2,000,000.00 2,004,3']5.00 5.850 5.0'/1 5.141 04/06/00 402 18003 GENERAL MOTORS ACCEPTANCE C O1/21/99 1,5]5,223.89 1,550,000.00 1,564,531.25 6.3]5 S.1BB 5.260 09/19/00 56B 1800'1 MORGAN STANLEY DEAN WITTER 02/26/99 2,528,910.38 2,500,000.00 2,514,843.'/5 6.250 5.092 5.163 03/15/00 380 _________________ ____________"_ "_____________ ______________ ______ ______ ______ SUBTOTALS and AVERAGES 8,058,338.82 10,310,136.03 10,233,']50.00 10,050,000.00 5.130 5.202 505 FIDELITY TREASURY POOL 12009 FIDELITY INVESITIENTS 0.00 0.00 0.00 4.620 4.55] 4.620 1 12005 FIDELII'1 INVESTMENTS 0.00 0.00 0.00 4.620 4.55'! 4.620 1 12006 R FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.557 4.620 1 1200'! FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55] 4.620 1 12009 I FIDELITY INVESTMENTS 37,823.69 37,823.69 37,823.69 4.620 4.557 4.620 1 12010 R FSDELITY INVESTMENTS 196,26'/.50 196,26'1.50 196,26'1.50 4.620 4.55] 9.620 1 12012 I FIDELITY INVESTM£NTS 2']2,018.88 272,018.98 272,018.88 4.620 4.55'/ 4.fi20 1 12013 R FIDELITY INVESTMENTS 139,909.61 134,90].61 139,90�.61 9.620 4.55"/ 9.620 1 12015 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.557 9.fi20 1 12016 I FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55"I 9.620 1 12022 R FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55� 4.620 1 12024 FIDELITY INVESTMENTS 0.00 0.�0 0.00 4.620 9.55] 4.620 1 12025 R FIDELITY INVESTMENTS 481,683.00 481,6B3.00 481,683.00 4.620 9.559 4.620 1 1202'1 R FIDELITY INVESTMENTS 65,422.')0 65,422.�0 65,422.')0 4.620 9.55'/ 9.620 1 1202B R FIDELII'1 INV6STMENTS 165,1'/6.91 165,1'/6.91 165,1'16.91 9.620 4.55'I 4.620 1 12031 FIDELSTY IlN6STMENTS 12.05 12.05 12.05 4.620 4.550 4.620 1 12033 FIDELITY INVESTMENTS 61,610.00 61,610.00 61,610.00 4.620 4.55"! 4.620 1 12034 FIDELITY INVESTMENTS 9,405.00 9,905.�� 9,405.00 4.620 4.55"/ 4.620 1 12035 FIDELITY INVESTMENTS 96,615.00 96,615.00 96,615.00 4.620 9.559 4.620 1 12036 FIDELITY INVESTMENTS 3F,052.50 36,052.50 36,052.50 9.620 9.55] 4.620 1 1203] FIDELII7 INVESTMENTS 95,883."/S 45,883.']5 45,B83.'/5 9.620 4.55] 4.620 1 � 12039 FIDELSTY INVESTMENTS 24.23 24.23 29.23 4.620 4.557 9.620 1 03/09/1999 -- CITY OF PALM DESERT -- PM - 4 INVESTMENT PORTFOLIO DETAILS - INVESTMENTS �ITy FEBRUARY 28, 1999 � � ACCRUAL INVESTM6NT AVERAGE PURCNASE STATED --- YTM -"- MpTURITY DAYS NUf�ER ISSUER BALANCE DATE BOOK VALI16 FACE VALUE MAR[tET VALUE RATE 360 365 DATE TO MAT FID&LITY TREASURY POOL 12042 I FID6LITY SNVESTMENTS 0.00 0.00 0.00 4.620 4.55'/ 9.620 1 12043 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55'/ 4.620 1 12044 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55] 9.620 1 12045 FIDELITY INVESTM£NTS 0.00 0.00 0.00 4.620 4.55'I 9.620 1 12046 FIDELITY INVE5TMENTS 81.28 81.28 81.28 4.620 4.557 4.620 1 12049 FIDELITY INVESTMENTS 60,314.86 68,314.86 68,319.86 9.6]0 4.559 9.620 1 12050 FIDELSTY INVESTMENTS 795.53 745.53 795.53 4.620 4.557 4.620 1 12U51 FI➢ELITY INVESTMENTS 195.49 195.99 195.99 9.620 4.559 9.620 1 12052 FIDELITY INVESTMENTS 1.76 1.76 1.76 9.620 4.55'/ 4.620 1 12053 FIDELITY INVESTMENTS 60,411.54 60,911.59 60,411.54 4.620 4.559 4.620 1 12059 FIDELITY INVESTMENTS 261,4]1.88 261�991.88 261,4]1.88 4.620 9.557 4.620 1 12055 FIDELITY INVESTMENTS 1,091,231.88 1,091,231.88 1,091,231.88 4.620 9.55] 4.620 1 12059 FIDELII7 INVESTMENTS 3,'/84,494.80 3,]89,494.80 3,784,494.80 4.620 9.559 4.620 1 12058 FIDELITY INVESTMENTS 62,532.5'] 62,532.5'1 62,532.59 4.620 4.550 4.620 1 12059 FIDELITY INVESTMENTS 1,30'/.59 1,30].54 1,30'].54 4.620 4.55'/ 9.620 1 12060 FIDELITY INVESTMENTS 1,255,697.61 1,255,69].61 1,255,69].61 4.620 4.559 9.620 1 12061 FIDELITY INVESTMENTS 403,80].B9 903,80'1.89 403,80].89 4.620 4.55'I 4.620 1 12062 FIDELITY INVESTMENTS 129,642.68 129,642.68 129,642.68 4.620 4.55"/ 4.620 1 12063 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'I 4.620 1 12064 FIDELITY INVESTMENTS 0.00 a.o0 0.00 4.62a n.55'7 4.620 1 12065 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55"/ 9.620 1 12066 FIOELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'/ 9.620 1 1206� FIDELITY INVESTMENTS 20,600.00 20,600.00 20,600.00 4.620 4.55'I 9.620 1 12068 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55] 9.620 1 12069 FIOELITY INVESTMENTS 43.91 43.91 43.91 9.620 4.55� 9.620 1 120'!0 FIDELITY TNVESTMENTS 0.00 0.00 0.00 4.620 4.557 4.620 1 12071 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.559 4.620 1 120'l2 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 A.557 4.620 1 12094 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.559 4.620 1 12095 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.557 4.620 1 120'!6 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55'] 4.620 1 120'1'/ FIDELITY INVESTMENTS 0.00 0.0� 0.00 4.620 9.55'] 4.620 1 12098 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.559 4.620 1 120'!9 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55] 4.620 1 12080 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55] 4.620 1 12081 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55] 9.620 1 12082 FIDELITY INVESTMENTS 0.�0 0.00 0.00 9.620 4.559 4.620 1 12083 FI�ELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55'/ 9.620 1 12084 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55'1 9.620 1 12085 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55"/ 9.620 1 12086 FID£LITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'/ 4.620 1 1208] FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'1 4.620 1 12088 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.557 4.620 1 03/09/1999 --- CITY OF PALM DESERT -- PM - 5 INVESTMENT ppRTFOLIO DETAILS - INVESTMENTS CITY FEBRUARY 26, 1999 ACCRVAL INVESTMENT AVERAGE PUACHASE STA1'ED --- YTM --- Mp,TURITY DAYS NUrIDSR ISSUER BALANCE DATE B00% VALUE FACE VALUE MpRiCET VALUE RATE 360 365 DATE TO MAT _______________"____________________________""________________________________________'________"_____"_______""__"_____________"__ FIDELITY TREASVFiY POOL 12089 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55] 4.620 1 12090 FIDELITY INVESTMENTS 34,664.06 39,664.96 34,664.]6 4.620 9.559 4.620 1 12091 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55] 4.620 1 12092 FID6LITY INVESTMENTS 116.95 116.95 116.95 4.620 9.55'1 4.620 1 12093 FIDELITY INVESTMENTS 81.91 81.91 81.91 4.620 9.557 4.620 1 12094 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'] 4.620 1 12095 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.557 4.620 1 12096 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55'] 4.620 1 12099 FI➢ELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.557 4.620 1 12100 R FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55'1 4.620 1 12102 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.557 4.620 1 12103 FIDELITY INVESTMENTS 90,63Z92 90,63].42 90,63].42 4.620 9.55"1 4.620 1 12104 FIDELITY INVESTMENTS 5,959,069.99 5,959,064.49 5,959,064.49 4.620 9.55'1 4.620 1 12105 FIDELITY INVESTMENTS 59,9']9.22 54,974.22 54,999.22 4.620 4.550 4.620 1 12106 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'/ 4.620 1 1230] FIDELITY INVESTMENTS 1,392,905.61 1,392,405.61 1,392,405.61 4.620 4.55'] 4.620 1 1]108 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'I 4.620 1 12109 FID£LITY INVESTMENTS 0.00 0.00 0.00 4.620 4.559 4.620 1 12111 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'1 4.620 1 "_""__"__________ __________"___ ____'__"______ ___________'__ _____" _"____ ______ SUBTOTALS and AVERAGES 15,053,02].86 16,2'/3,929.40 16,273,929.90 16,2']3,429.90 4.557 4.620 1 UNITED STATES 1R&ASURY - DISCOUNT 170"/0 UNITED STATES TREASURY 12/11/9'/ 126,6']6.56 166,000.00 140,633.13 5.0'!8 5.'!58 5.838 OS/15/02 1,1'/1 17071 UNITED STATES TREASURY 12/11/97 4,718,995.80 6,170,000.00 5,157,739.38 5.028 5.737 5.81'/ 08/15/02 1,263 "_'_'______"""" _____""_____ ___"__'__'___' __________""_ "____ ____'" '____' SVBTOTALS and AVERAGES 4,84],122.36 4,847,122.36 5,298,36'/.51 6,336,000.00 5.]38 5.818 1,261 HIGHMHRK SWEEP ACCOUNTS 24015 CITY MAIN SWEEP (UB) 8,881,50'].94 8,681,50].94 8,881,50'/.99 9.250 4.192 4.250 1 24019 DESERT WILLOW SWEEP (UBJ 599,434.99 599,439.'/9 599,434.79 9.250 4.192 9.250 1 24016 OFFICE COMPLEX SWEEP (UB7 990,240.92 990,290.92 990,240.92 9.250 4.192 4.250 1 __'_______'__""_ ____""""_"' ______"__"__ _____"_'_""_ ______ ___'__ ____'_ SUHTOTALS and AVERAGES �,611,032.38 10,901,183.65 10,401,183.65 10,4�1,183.65 4.192 4.250 1 STATE 6 I.00AL GOVT SERIES - TIME 23000 UNITED STATES TREASURY 12/11/9'/ 430,000.00 430,000.00 430,000.00 0.000 0.000 0.000 10/O1/02 1,310 23001 UNI2ED STATE$ TREASURY 12/11/90 35,000.00 35,000.00 35,000.00 0.000 0.000 0.000 09/02/02 1,281 "__________'"____ ______________ _"______'"___' ______________ __"___ ______ ______ SUBTOTALS and AVERAGES 465,000.00 965,000.00 465,000.00 � 465,000.00 0.000 0.000 1,308 03/09/1999 --- CITY OF PALM DESERT --- PM - 6 INVESTMENT FORTFOLIO DETAIL$ - INVESTMENTS CITY FEBRVARY 2B, 1999 ACCRUAL ZNVESTMENT AVERAGE PURCHASE STATED --- YTM --- MATURIT'y DAYS NUPIDER ISSUER � BALANCE DATE 900IC VALUE FACE VALUE MARICET VALUE RATE 360 365 DATE TO MAT ______________"________________"_"_________________"___________"_____________________________________ TOTAL ZNVESTMENTS and AVG. S 165,04�,898.64 165,�48,]51.6] 158,592,2]0.56 165,'J06,908.53 5.118t 5.1899 335 03/09/1999 -- CITY OF PALM DESERT --- PM - � INVESTMENT PORTFOLIO DETAILS - CASH CITY FEHRUARY 29, 1999 ACCRUAL INVESTMENT AVERAGE PURCHASE STATED --- YTM --- MATISRITY DAYS NUhIDER ISSUER BALANCE DATE BOOK VALUE FACE VALUE MARI(ET VALUE RATE 360 365 DATE TO MAT ___'""________________________""_'""'___"_""""'______________________________________""__________________________________________ PASSB00%/CF�C%ZNG 13019 OFFICE COMPLEX CHECXING (UH) 53,269.53 0.000 0.000 0.000 13016 CITY MAIN CHECKING (UBJ -9,230,605.]5 0.000 0.000 0.000 13013 DESERT WILLOW CHfiCICING (UB) 191,391.97 0.000 0.000 0.000 13015 LIBRARY FOUNDATION CHKG (VB) 18,049.39 0.000 0.000 0.000 13018 OFFICE COMPLEX 1RUST (UB) 23,B79.91 0.000 0.000 0.000 13020 RECREATIONAL FAC CHECKING (UB) 31,205.01 0.000 0.000 0.000 '______"_____ ___"___"__"_'" ___"__ ______ SUBTOTALS and AVERAGES 130,946.90 -3,912,814.']9 0.000 0.000 Accrued Inteaest at Aizchaee 24],]]2.91 TOTAL CASti $ -3,665,041.83 TOTAL CASH and INVESTMENfS $ 158,461,323.85 161,382,836.81 �e�e:�a��a«se...e..�e:a__a��...��.v�»��se�vea_asa��ees��a..me��e��e«Qa�aaavo��sa�asea��.�a�� '_T— T w � �� k'�1�"��e�i �%"il��lhk�,, n 'e:a< `� � � , , � � LL � � �„ � . � � "'t' � ,d'!.y. "m rs"n.P�.,.i"� t'n i�'Si( $'c� � � � . � � , , . , , � � o � � x�v. sn�� :�v:�� .,e�. � O N q /� Pp�r� t A �?� ro'..1-d°r dfy.id � i i i � � � 4„,1 ly< " fi . O ¢ � � � � � . � � N m bfr". •• �.il:;' Omi O � � O e `"°,f��.yvx � ,�'�,'I .•`S�W 3,.�. O � � � . � 2 ¢ Z � Y . . � � a ' � m 9 ° ,`�„ �; m m m � �.�:i �*ir � �"e r.r.�^n�: ti > ' L � m O � , p � . � . � � � � � N �J J � U W r ¢ �N i � �„i�f:°3 v"i�`.E�`HTe *�',;�,": � =1 S � � � � d > W 0(/� � z �y iw 5 9 � O �y ¢ O W � 0 0 � =g Y m m �sy LL ., ,� �, m c� � ¢ OQ Q a�f�i�+� r P�;ii,,; eo�g,p4' �' F � � � � Q' � ;� i�� a � o . . � ,_—_— g � a d � ,r� �� n o m r�/� � � �> i'"�i"4�.�� 4�, '#';f�S��fu �d�'�-1. "� O � � � � o � � �n in F� � U m = V m � � � � � . � H m � � � � :.,y.. � �.�.�.. .r.� m � < � w �. N -o Y . , � ' o N rn • 'x G... � � T � � � � � m � 0 � Ai iqi� riY JiA� " � N V � � p Q � � [O N Y N � � � i � i � • � ry;�F��N � v{ n A � (x) ono�iuod � , , � n v o n c�i � m n a w rn n a a rn O � � � N UI N N V V V O M �LL � SNOIIIIW$ (%)d131A og � � W� �� LL q T 0WWW p� � U � N � �y�.��-� LL m �� n < � �i�< v��j q«` �., _' m 'S�'t��`�'�"�''u' � �� „ � , � , � , , . ��?�� o� a � in ��6� y w � e� � _ �m , .,�4 �' () N� (0 N I(1`�Ib Q W � N I(> � � wwwwwuaNH�nww ww W � N A�° O m � W � o"�i,��q��`�i,`.�, g5�g . � � m g{�v, � $ � �� ii�}�¢ ^�`�ti� 'u �,r`is.'��`�F :$ o � ag�E ��25� mmn � � C7 � N � � m Z r oiy co�� o rg� � � p = ¢ � � ¢ �q�c�'i�N�Sa�Fi �nn � fn � „. rn � Q N N N�a� � � � � a h LL 0 7 '� �.�;'�^'N �'� .'iry�.�:'1.�;:' SS 0 m ^ O O � � ¢ p�1 � .r� $`� 9 m N W � � ��k'4 W iiPy�� Tk � ryllf,. T�� d � u,u,u,«,u,«,wwd,�,u, «,u, x g o i�, r ` � w ~ m��i�i��,�g w �m�' w � O � � p �qgm a r5�N " r r � LL m Om^' N'i`�n'"eFM�,��25`r ��`at3il u ~ : ,�� rt�' k�": .,w d� :' ' " " E } �p ai r oi gg o w r¢ g * u1:� .enr�^'��' � �' � ¢ �iRS��n. � c�pSn � O. � a < roma�nvr n q ¢ a � � tp — N OJ �- Ln ^� � y� � �, . � � F . � ,ry,`' 1 y, t , L y �3 I 'r• C�i W � . tA U ��i� x U'�7 i., � �^e. .� 2 m � y � g �«.�,«,«,»«,�,�,�,�, «.«, < Z Z LL � S � 5 � � ' � w = > � tl1~ !- N d 7¢ m a � Z� -+Z�¢ � � � 82 W � � g� $��NN� ¢ > = � o� >`'�_,aSW° ¢ 3 - z � U> a��, w(�g�> a C7 � >z ��'rw�Zz�a w0 ¢ a ¢wc7 pw¢3<c�$d' �m� fc,�,� d �1a �d' ¢�¢o�a¢� �aJ� a . a wr� �>7r$�?�� OY � � a LLI-OVi ¢� LL7'� ZCLZ � �es-��=��e�� = o m � �, o � � � � � (XJ Ol3U CITY OF PALM DES�RT INVESTMENT ACTIVITY REPORT FEBRUARY 1999 EXECUTIVE SUMMARY As of 2/28/99, total portfolio book value was approximately$165MM. This reflected a net increase of approximately $5.7MM from prior month, due to property taxes. There was an unrealized portfolio net gain (market value- book value)of approximately$701 M, based upon prevailing market interest rates. This was only a"paper" loss since there was no profit-taking. Significant changes in investment position, by security type, are discussed below: ". The City buys interest-bearing U.S. Treasury notes with.maturities of 2 - 10 years to invest assessment bond proceeds. Although unrated, considered "AAA". THIS ACCOUNT BALANCE DECREASED BY APPROXIMATELY S2.1MM DUE PR/MARILY TO MATURING SECURITIES. "Federal Aqgncy-Coupon". The City buys U.S. govemment agency and instrumentality notes with maturities of 2 - 10 years to invest assessment bond proceeds. Agency debt guaranteed by U.S. Treasury; instrumentality debt is not (guarantee, instead, believed to be U.S. GovernmenYs"moral obligation"). Although unrated, considered"AAA." THIS ACCOUNT BALANCE/NCREASED BY APPROX/MATELY S1.4MM DUE TO A SECURITY PURCHASE. "� ocal Aq�nry Investmcnt Fund (LAIFI". The City temporarily invests proceeds of matured securities in $13MMM pool managed by State Treasurer's Office for 2,600 governmental entities. LAIF has diversified portfolio(BAs, CP, Treasuries, agencies, corporates, repos, reverse repos, CDs)with weighted average maturity of 780-540 days. Deposits can be "cashed"within 24 hours. Limit of$30MM per account. S&P credit quality rating of"(A+)positive"; Moody's of"Aa3." THIS ACCOUNT BALANCE DID NOT CHANGE. "Citv Loan to RDA". The City has made long-term cash advances at LAIF interest rate to RDA for property purchases. Advances will be repaid in future years from tax increment revenue generated by associated redevelopmenCprojects. THIS ACCOUNT BALANCE DID NOT CHANGE. "Fideli�Treasury Pool". The City invests assessment bond proceeds (construction, cost of issuance, and bond r�serve reserve monies) in "Fideliry Institutional Money Market Fund: Treasury Portfolio- Class I." This$3.9MMM fund ihvests in U.S. Treasury bills and notes, and repurchase agreements for those securities. Weighted average maturity is 60 days or less. S8P credit quality rating of"AAAm"; Moody's of"Aaa". THIS ACCOUNT BALANCE INCREASED BY APPROXIMATELY S494M DUE TO/NTEREST COUPON PAYMENTS. "United States Treasury- DiseounP'. The City buys noninterest-bearing zero coupon securities ("STRIPS")with maturities of 6 months- 30 years, to invest assessment bond proceeds. Purchased at discount;face value paid at maturity (difference is yield). Although unrated, considered "AAA". THIS ACCOUNT BALANCE DID NOT CHANGE. "HiahMark Swggp Accounts". The City sweeps excess checking balances into"HighMark 100% U.S. Treasury Money Market Fund". This $905MM fund invests only in U.S. Treasury biils, notes, and STRIPS (no repos or reverse repos). Weighted average maturity is 90 days or iess (per SEC regs). Although unrated, underlying securities considered "AAA". THIS ACCOUNT BALANCE INCREASED BY APPROXIMATELY$3.3MM DUE TO MATURING SECURITIES. "State 8 Local Govt Series-Time". The City buys special noninterest-bearing U.S. Treasury certific2tes of indebtedness with maturities of 15 days- 1 year, to invest assessment bond proceeds (to comply with IRS yield and arbitrage rebate restrictions). Nonmarketable. Although unrated, considered "AAA". THIS ACCOUNT BALANCE DID NOT CHANGE. "Medium-Term Notes". The City buys interest-bearing corporate medium-term notes with maturities of five years or less, to invest revenues. The City currently holds"A"-rated General Motors, Ford, and Morgan Stanley Dean Witter MTNs. THIS ACCOUNT BALANCE INCREASED BYAPPROXIMATELY S2.5MM DUE TO A SECURITY PURCHASE. 03/09/1999 -- REDEVELOPMENT AGENCY --- PM - 1 PORTFOLIO MASTER S[7FIIIARY RDA FEBRIIARY 28, 1999 ACCRUAL AVERAGE ---YIELD TO MATURITY-- PEACENT OF AVERAGE DAYS TO 360 365 INVESTMENTS BOOK VALUE PORTFOLIO TERM MATURITY EQUIVALENT EQUIVALENT STATE & IACAL GOVT SEAIES - COUPON...........$ 66,429,662.00 40.9'/ 1,'/28 1,143 5.760 5.840 FIDELITY TREASURY POOL.. .....................5 53,551,004.56 33.03 1 1 4.55] 4.620 IqCAL AGENCY INVESIMENT FUND.................$ 20,612,332.84 12.71 1 1 5.139 5.21� UNITED STA1'ES TREASURY - COUPON..... . .. . .....$ 6,610,906.00 4.08 1,056 691 5.4'!9 5.555 STATE 6 IACAL GOVT 5ERIES - TIME. ..... .. . . . . .$ 6,090,427.00 3.76 948 390 0.000 0.000 UNITED STATES 1REASURY - DISCOVNT....... . .. . .$ 5,920,113.89 3.65 2,339 1,936 5.454 5.529 HIGHMARK SWEEP ACCOUNTS... . . .. ...............5 1,922,695.85 1.19 1 1 9.192 4.250 FEDERAL AGENCY - COUPON. . . ... . ...............$ 997,227.06 0.62 619 332 5.769 5.849 TOTAL INVESTM6NT5 and AVERAGES.............$ 162,134,369.20 100.00t B96 583 5.026& 5.096t CASH Passbook/Checking - No Yield Totale..........5 S6,SB9.04 0.000 0.000 (not included in yield calcula[ione) ----------------- TOTAL CASH and INVESTMENTS.................$ 162,190,953.24 MONTH ENDING FSSCAL TOTAL EARNINGS FEBRUARY 28 YEAR TO DATE Cliirent Year $ 644,382.65 $ 5,590,91�.06 AVERAGE DAILY BALANCE $ 163,543,945.3] $ 160,092,003.08 EFFECTIVE RATE OF RETU[2N 5.14& 5.25k THE RDA'S INVESTMENT PORTFOLIO IS IN COMPLIANCE WITH ALL CALIFORNIA GOVERNM£NT PAUL S. GIHSON CODE AND RDA INVESTMENT POLICY PROVISIONS RELATING TO THE INVESTMENT OF IACAL FINANCE DIRECTOR 6 CITY TREASURER AGENCY FUNDS. NOTWITHSTANDING ANY FU1'URE ACTIONS BY THE RDA'S GOVERNING HOARD OR AN VNFORESEEN CATASTROPHE, THE RDA HAS SOFFICIENT CASH £IAW TO MEET ITS EXPENDIIVRE REQUTAEMENTS FOR THE NEXT SI% MONTHS. MARKET VALUES WERE OBTAINED DATE FROM U.S. BANK ANC1 FROM INTERACTIVE DATA CORP. ALL BALANCES ARE BANX BAI,ANCES. 03/09/1999 --- R&DEVELOPMENT AGENCY --- PM - 2 INVESTMENT PORTFOLIO D£TAILS - IDrvE$'�p1'1'S RDA FEHRUARY 28, 1999 ACCRUAL INVESTMENT AVERAGE PURCHASE STATED --- YTM --- MP.TVRITY DAYS NVhIDER ISSUER BALANCE DATE BOOK VALUE FACE VALUE MARICET VALVE RATE 360 365 DATE TO MAT STATE 6 IACAL GOVT SERIES - COUPON 19500 VNITED STATES TREASURY 0']/24/9'] 5,686,02].00 5,68fi,82'/.00 5,686,82'/.00 3.165 3.122 3.165 04/O1/02 1,12'/ 19501 UNITED STATES TREASURY 0]/24/9'/ 60,']42,835.00 60,'/42,835.00 60,'/42,835.00 6.090 6.00'1 6.090 04/18/02 1,144 '_'_"_'"_"_""'"" _________'__" '_'___________ _____________' _'_"__ ___'__ _'"'"' SUBTOTALS and AVERAGES 66,429,662.00 66,429,662.00 66,429,662.00 66,429,662.00 5.760 5.840 1,193 FIDELITY TREASURY POOL 11002 I FIDELII'1 INVESTMENTS 26,043,806.92 26,043,806.92 26,043,806.92 4.620 4.55'] 4.620 1 11003 R FIDELII7 INVESTMENTS 2,032,073.35 2,032,0'73.35 2,032,073.35 4.620 4.557 4.620 1 11005 I FIDELITY INVESTMENTS 9,332,610.44 4,332,610.44 4,332,610.44 4.620 9.55'] 4.620 1 11006 R FIDELITY INVESTMENTS 258,413.70 258,413."10 258,413.70 4.620 9.557 4.620 1 11008 R FIDELITY INVESTMENTS 1,'/34,103.59 1,'/34,103.54 1,'134,103.54 4.620 4.55] 9.620 1 11009 I FIDELITY INVESTMENTS 1,888�5]5.52 1,BBB,S'/5.52 1,888,5'/5.52 9.620 4.55'/ 4.620 1 11010 I FIDELITY INVESIMENTS 4,699,339.89 4,699,339.8"1 9,699,339.8� 4.620 4.559 4.620 1 11011 R FIDELII'1 INVESTMENTS 2,]92,964.85 2,992,964.85 2,'/92,969.85 4.620 4.550 4.620 1 11012 E FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.559 4.620 1 11018 FIDELITY INVESTMENTS � 291.33 241.33 241.33 4.620 9.55'] 4.620 1 11019 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55'] 4.620 1 11020 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'/ 4.620 1 11022 FIDELITY INVESTMENTS 191.39 ll1.39 ll1.39 4.620 4.559 4.620 1 11023 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.559 4.620 1 11026 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'/ 4.620 1 11028 FI➢ELITY INVESTMENTS 42.]3 42.'/3 42.'13 4.620 4.55] 4.620 1 11029 FIDELITY INVESTMENTS 192.74 192.79 192.74 4.620 4.557 4.620 1 11030 R FIDELITY INVESTMENTS ']00,2'/2.35 ')00,2'l2.35 ']00,2'l2.35 4.620 4.55'/ 4.620 1 11031 FIDELITY INVESTMENTS 8.92 8.92 8.92 4.620 4.557 4.620 1 11032 FIDELII'1 INVESTMENTS 0.00 0.00 0.00 9.620 9.55] 9.620 1 11037 FIDELITY INVESTMENTS 0.17 0.17 0.1'/ 4.620 4.55] 4.620 1 11038 FIDELSTY INVESTMENTS 0.00 0.00 0.00 4.620 4.55] 4.620 1 11039 R FIDELITY INVESTMENTS 540,993.59 540,493.59 540,493.59 4.620 9.55'! 4.620 1 11040 FIDELITY INVESTMENTS 10.9B 10.48 10.48 4.620 4.55'1 4.620 1 11041 I FIDELITY INVESTMENTS 83,308.43 83,308.43 83,308.43 4.620 4.559 4.620 1 11094 FIDELITY INVESTMENTS 36,']05.65 36,")05.65 36,'105.65 4.620 4.55'I 4.620 1 11049 FIDELITY INVESTMENTS "/0.]5 90.']5 ']0.'/5 4.620 4.550 4.620 1 11050 FIDELITY INVESTMENTS 2,853.24 2,853.24 2,853.24 4.620 9.55] 4.620 1 11051 FIDELITY SNVESTMENTS 0.00 0.00 0.00 9.620 4.55'1 4.620 1 11052 FIDELITY INVESTMENTS 19,659.91 19,650.91 19,659.91 4.620 4.559 4.620 1 11055 FIDELITY INVESTMENTS 5,'/06.89 5,']06.89 5,']06.89 4.620 4.55'1 4.620 1 11056 FIDELITY INVESTMENTS 6.59 6.59 6.59 4.620 4.55'1 4.620 1 1105] FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55'! 4.620 1 1105B FIDELITY INVESTMENTS '/,315.36 ],315.36 0,315.36 4.620 4.55'1 4.620 1 11061 FIDELITY INVESTMENTS 30,833.41 30,833.41 30,833.41 4.620 4.55"1 4.620 1 13062 FIDELITY INVESTMENTS 4,495,138.95 4,495,138.45 4,495,138.45 4.620 4.557 9.620 1 03/09/1999 --- REDEVELOPMENT AGENCY -- PM - 3 INVESTMENT PORTFOLIO DETAILS - INVESTMENTS ADA FEHROARY 29, 1999 ACCRUAL INVESTMENT AVERAGE PURCHASE STATED --- YTM --- MAT[IRITY �AYS NUFIDER ISSVEA BALANCE DATE B00% VALItE FACE VALUE MARI(ET VALVE RATE 360 365 DATE TO MAT _______________________________________'_____________________________________________"_____________________"____________________"_ FIDELII'1 TREASURY POOL 13063 FIDELITY SNVESTMENTS 1,894,922.'/9 1,894,922."19 1,894,922.'/9 4.620 9.55'1 4.620 1 110fi4 FIDELITY INVESTMENTS 105.0'! 105.0'1 105.0'] 4.620 9.55'/ 4.620 1 11066 FIDELITY INVESR'MENTS 1,822,196.73 1,822,196.73 1,822,196.73 4.620 4.557 4.620 1 11068 FIDELITY INVESTMENTS 1,05'].11 1,05'/.11 1,05'/.11 4.620 4.55'] 4.620 1 11069 FIDELITY INVESTMENTS 0.09 0.04 0.04 4.620 9.557 4.620 1 11090 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55] 4.620 1 110]1 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.557 4.620 1 11094 FIDELITY INVESIMENTS 0.00 0.00 0.00 4.620 4.55] 4.620 1 11075 FIDELII7 INVESTMENTS 0.00 0.00 0.00 4.620 4.557 4.620 1 110'/6 FIDELITY INVESTMENTS 0.00 . 0.00 0.00 9.620 4.55] 9.620 1 110']'] FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55'1 4�620 1 110]8 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55] 4.620 1 11099 FIDELITY ZNVESTMENTS 1.00 1.00 1.00 4.620 4.559 4.620 1 11080 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'] 4.620 1 11081 FIDELITY SNVESTMENTS 0.00 0.00 0.00 4.620 4.55"/ 4.620 1 11082 FIDELITY INVESTMENTS 130,68].95 130,68�.'15 130,689.'15 4.620 9.55'] 4.620 1 11083 FIDELITY INVESTMENTS 5].24 59.24 59.24 4.620 9.55] 4.620 1 11089 FIDELITY INVESTMENTS 1.00 1.00 1.00 4.620 4.559 4.620 1 11085 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55'/ 4.620 1 11086 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55] 4.620 1 11092 FIDELITY INVESTMENTS 13.12 13.12 13.12 4.620 4.55'1 4.620 1 11093 FSDELITY INVESTT7ENT5 0.00 0.00 0.00 4.620 4.55'1 9.620 1 13096 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.559 9.620 1 11097 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.557 4.620 1 11099 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55'] 4.620 1 11100 FIOELITY INVESITIENTS 0.00 0.00 0.00 4.620 9.557 4.620 1 11101 FIDELITY INVESTMENTS 2.]'1 2.']0 2.99 4.620 4.55� 4.620 1 11102 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55'/ 4.620 1 11103 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55� 9.620 1 11104 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55'! 9.620 1 11106 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55"! 4.620 1 1110] FIDELITY INVESTMENTS 131.21 131.21 131.21 4.620 4.55'/ 4.620 1 11108 FIDELITY INVESTMENTS 1.00 1.0� 1.00 4.620 4.55] 4.620 1 11109 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55] 4.620 1 11110 FIDELITY INVESTMENTS 0.00 0.00 0.00 9.620 4.55'/ 9.620 1 11111 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 9.55'] 4.620 1 11112 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.55] 4.620 1 11113 FIDELITY INVESTMENTS 223.'12 223.'12 223.�2 4.620 4.55] 4.620 3 11119 FIDELII'Y INVESTMENTS 685.44 685.94 695.99 4.620 4.55'1 4.620 1 11129 FIDELITY INVESTM£NTS 0.00 0.00 0.00 4.620 9.55] 4.620 1 11130 FIDELITY INVESTMENTS 0.00 0.00 0.00 4.620 4.557 4.620 1 "_____"'___""'_ __"""'_'______ ______'_"_____ ________"_____ "_'__ '__'__ ____" SUBTOTALS and AVERAGES 53,434,336.46 53,551,004.Sfi 53,551,004.56 53,551,004.56 4.55'/ 4.620 1 03/09/1999 -- REDEVEIAPMENT AGENCY --- PM - 9 INVESTMENT PORTFOLIO DETAILS - INVESTMENTS R�A FEBRUARY 28, 1999 ACCRUAL INVESTMENT AVERAGE PURCNASE STATED --- YTM --- MATURITY DAYS IdOMBER ISSUER BALANCE DATE B00% VALUE FACE VALUE MARI(ET VALUE RATE 360 365 DATE TO MAT IACAL AGENCY INVESTMENT £UND 21000 STATE OF G+LIFORNIA 20,612,332.84 20,612,332.04 20,612,332.84 5.210 5.139 5.210 1 AVERAGES 20,]SS,1B9.98 UNITED STATES TREASURY - COUPON 17013 R UNITED STATES TREASURY 07/O1/95 105,054.47 109,000.00 106,112.50 7.750 6.098 6.182 11/30/99 274 1'1088 UNITED STATES TTIEASURY O1/22/98 155,385.]2 155,000.00 155,'/26.56 S.B']5 5.2'/4 5.34'/ OB/31/99 163 17089 UNITED STATES 7REASllAY O1/22/98 162,661.46 160,000.00 163�200.00 9.125 5.266 5.339 02/29/00 365 1]090 qNITED STA1'ES TREASVRY O1/22/98 160,099.20 166,000.00 168,645.63 6.250 5.282 5.355 OB/31/00 549 17091 UNITED STATES TREASURY O1/22/98 170,804.38 1�0,000.00 1]1,540.63 5.625 5.289 5.363 02/28/O1 030 1'l092 llNITED STATES TREASURY O1/22/98 180,332.30 1']6,000.00 181,335.00 6.500 5.329 5.403 OB/31/O1 919 1]093 UNITED STATES TREASURY O1/22/9B 189,92].85 181,000.00 186,034.06 6.250 5.35"I 5.431 02/28/02 1,095 1]095 UNITED STATES TR£ASURY O1/22/98 933,2'11.80 422,]00.00 435,695.19 6.250 5.35'I 5.432 OB/31/02 1,2]9 1]096 UNITED STATES TREASURY O1/22/98 415,339.12 405,200.00 41'/,609.25 6.250 5.35'7 5.432 09/31/02 1,2]9 1'!09] UNITED STATES TItEASUAY O1/22/98 9,37'/.59 9,100.00 9,3'18.69 6.250 5.35'/ 5.932 OB/31/02 1,2"19 1]098 UNITED STATES TREASURY 03/10/98 1,3]8,456.83 1,368,000.00 1,38],665.00 6.125 5.523 5.599 09/30/00 5'!9 1']099 UNIT£D STATES TREASURY 03/10/98 1,5'/2,538.89 1,59'l,000.00 1,590,025.94 6.3"IS 5.582 5.659 09/30/O1 994 1'/101 UNITED STATES TREAS[1RY 03/10/98 1,6'l4,'/61.39 1,6']3,000.00 1,680,842.19 5.'150 5.480 5.556 09/30/99 213 _________________ ___"'_________ ______________ ____"'_""_____ _"___ ______ ______ SUBTOTALS and AVERAGES '/,'/5'/,618.02 6,610,906.00 6,653,'/60.69 6,53],000.00 5.4'l9 5.555 6]1 STATE & LOCAL GOVT SERIES - TTME 19009 UNITED STATES 1REASIIRY 0'!/24/9'] 12,65].00 12,65'/.00 12,65].00 0.000 0.000 0.000 03/25/99 29 19010 UNITED STATES TREASURY 07/24/9'/ 1,SB1,91'/.00 1,561,417.00 1,581,41].00 0.000 0.000 0.000 04/O1/99 31 19011 UNITED STATES TREASUAY 0'1/24/9] 12,656.0� 12,656.00 12,656.00 0.000 0.000 0.000 09/16/99 199 19012 UNITED STATES TREASURY 07/24/97 177,191.00 177,191.00 177,191.00 0.000 0.000 0.000 10/O1/99 214 19013 UNITED STATES TREASURY 0]/24/9] 12,65'J.00 12,65'/.00 12,65].00 0.000 0.000 0.000 03/09/00 3'14 19014 UNITED STATES TREASURY 07/24/97 1�622�191.00 1�622,191.00 1,622,191.00 0.000 0.000 0.000 04/O1/00 39� 19015 UNITED STATES TREASURY 0�/29/9"I 361,813.00 361,813.00 361,813.00 0.000 0.000 0.000 04/12/00 40B 19016 UNITED STAY'ES 1REASIIRY 00/24/9'1 158,295.00 158�2']5.00 158,2�5.00 0.000 0.000 0.000 10/OS/00 584 1901'1 UNITED STATES TREASURY 09/24/9'1 12,656.00 12,656.00 12,656.00 0.000 0.000 0.000 03/29/O1 959 19018 UNITED STATES TREASURY 0]/24/99 1,664,97'].00 1,669,9'/9.00 1,664,9]].00 0.000 0.000 0.000 04/O1/O1 ']62 19019 UNITED STATES TREASURY 0'!/29/99 12,656.00 12,656.00 12,656.00 0.000 0.000 0.000 09/20/01 939 19020 11NITED STATES 1REASURY 0'1/24/9'1 88,82'1.00 88,82].00 BB,82'1.00 0.000 0.000 0.000 10/O1/O1 945 19021 UNITED STATES 1REASURY 0]/24/9] 12,656.00 12,656.00 12,656.00 0.000 �.000 0.000 03/19/02 1,109 19039 UNITEO STATES TREASURY 10/20/98 359,998.00 359,098.00 359,998.00 0.000 0.000 0.000 03/25/99 29 SUBTOTALS and AVERAGES 6,316,561.00 6,090,42'/.00 6,090,42'1.00 6,090,427.00 0.000 0.000 390 UNITED STATES TREASURY - DISCOUNf 18023 UNITED STATES TREASURY O1/22/98 150,]94.82 198,000.00 160,936.BB 9.']04 5.3'/4 5.449 02/15/03 1,447 18025 UNITED STATES TREASURY O1/22/98 130,169.96 181,000.00 139,493.13 4.fi2B 5.934 5.509 02/15/04 1,812 03/09/1999 --- REDEVEIqPMENT AGENCY -- PM - S INVESTMENT PORTFOLIO DETAILS - INVESTMENTS gpp FEBRUARY 28, 1999 ACCRUAL INVESTMENT AVERAGE PURCHASE STATED --- Y1T1 --- MATUAITY DAYS NUI�ER ISSUER BAI,ANCE ➢ATE BOOR VALUE FACE VALUE MARKET VALUE RATE 360 365 DATE TO MAT VNITED STATES TREASVRY - DISCOVNT 10027 UNTT£D $TATES TREASUFtY O1/22/98 4,989,601.22 9,143,000.00 5,368,410.94 4.590 5.464 5.590 08/15/09 1,994 18028 UNITED STATES TT2EASURY O1/22/98 394,2']9.9'! 532,400.00 422,259.'/5 4.662 5.395 5.4�0 08/15/03 1,628 18029 UNITED STATES TREASURY O1/22/98 255,200.42 344,600.00 2]3,310.88 4.662 5.395 5.4"!0 09/15/03 1,628 "'_'"____"_"__'__ "______"_'___ ___'""'____'_ "__"______"_ ______ ______ "____ SUBTOTALS and AVERAGES 5,920,113.fi9 5,920,113.89 6,364,401.58 8,399,000.00 5 A54 5.529 1,936 HIGHMARX SWEEP ACCOUNTS 26016 HOUSING AUTH CHK SWEEP (UB) 1,]26,695.01 1,'l26,695.01 1,'/26,695_O1 4.250 4.192 4.250 1 2601'/ HOUSING AUTH TRT SWEEP (VB) 196,000.89 196,000.84 196,000.84 4.250 4.192 4.250 1 _"___'_'___"_"___ ______________ _________"____ _"________"___ ______ "____" _____" SVHTOTALS and AV6RAGES 1,811,9'13.48 1,922,695.85 1,922,695.85 1,922,695.85 4.192 4.250 1 FEDERAL AGENCY - COUPON 15022 FEDERAL NATIONAL MTG ASSOC OS/18/98 99'1,22'].06 1,000,000.00 1,001,250.00 5.930 5.'/69 S.B49 O1/2]/00 332 AVERAGES 99'/,095.83 'LGTAL INVESTMENTS and AVG. $ 162,134,369.20 162,625,534.99 163,422,550.66 164,542,122.25 5.0266 5.0968 SB3 � 03/09/1999 --- REDEVEIAPMENT AG6NCY -- PM - 6 SNVESTMENT PORTFOLIO DETAILS - CASH RDA FEHRUARY 28, 1999 ACCRUAL INVESTMENT AVERAGE PURCHASE STATED --- YTM --- MATURITY DAYS NOMBER ISSUER BALANCE DATE BOOX VALUE FACE VALUE MARI(ET VALUE RATE 360 365 DATE TO MAT ______________"_______""__""___'_"'_"_"_"_______________________'_____"____""_________________"_"________________"____"__________ PASSHOOR/CHECKING 25014 SELF-HELP CE�CKING (BA) 59,824.20 0.000 0.000 0.000 25015 HO[7SING AllTH CHECKING (UB) -4,069.63 0.000 0.000 0.000 ]5016 HOUSSNG AlTfH TAUST (U6) 829.47 0.000 0.000 0.000 ____'_'__"'_' "___"___'_"_' __"__ ______ SUBTOTALS and AVERAGES 121,394.66 56,SBa.O< 0.000 0.000 '__________________'__'__"'_'__"__________'_'__________________________________'________________'_'___ TOTAL CASH and INVESTMENTS $ 163,543,945.32 162,190,953.24 g 4 � ; � , � $ LL � � i . � i i � � � m n,'fi�'� �3• .,_�n � • � C � � i i -- tb x i. � . � . � � � � � � . � i � in� � i i r � i � � � � �N� N � ' 'S ' � • , • � � � . � ¢ k � � � • � � � � � � � � �a� Y . � . . � � � y^ � � � � � � .o, '� 9 � � m J � � � � � . . . < � e• ,-,l"?�.. > � , mp N � � � � . . � . Q J � O y � � � � . � �d� Y � N Z Ul Q � � � � . � 2 � � � � �� a � � m f7 � . � � � � � . i i i m Qy� Z �., mU � � �. 'rA � ¢ �¢yw w � O M � W � � �� m QJJ W � 9 ; ; ' ; ° � I � • ��N, ¢ WNH ; b �5 's � `��•. � h y u ��'<'. Omi Q , . .o. �, og� Y � g � � g � � � � � �a� �W� O m W � ' j . , � , , , , � �F¢ � . e., ,�r+ �'a'� �. ,,.:,, �'Q, � � - m O � , � , � � �m � � � ] � H > < � g I � � � � o. � � � N � 7 � r r '.: p(� � � � � � . �o � � 1�t R �+ � � $ 2 � � � � � � m b O �i � > � � . � � � � � � N Q C � . � . i i i i�� J � � aI , , . , , , , , � `° , , , � � i i i � i • i O� N � i � �,_ � T� � � � � . . i � � �p. � V Q . S 1��=�` �a � � Q � .� � a� Q � � m Q U �%) OIlOd1HOd g � � ,m : >:u-�' m m � O ` SNOIIIIW$ m ^ e a rn r v a rn 2? tA IA IN IA C O < 'P th WO � � � � (%)Q731A ogg � �� W m �� LL y� m � f N� � � � 1j K}, C �Y 5 ::" Or N 11 �, G p �y � N t70 �N NOt'1 tp t Iq� •:. y � � � � m r � � � � � N o O� 7' 'ki'oq .�7 aisl'k w �i na r� w � � .c< .q- n ap��p��m y � t7 N N O f0 I� ¢ a �� _ � � m�� h m V �� „" � W� O Y • �`� "=3 � �`)�'�;u"�''��y `� �nxiw�nwwwwww uiui ¢ � $° � T 'D m8�i��8&'$ � `8eina C , �+ � ��4��N . , , �� o � �'� 5�� ;� �� ,'a�;,,., � a �"9',��E5�� `�r'�� m m �"�$��o�n� � � � J �' ',��`y,s��''.,k,s;�� ,�-': � LL � f 0 W y N � HH19d)dlHf9f9t9M d!H � O Z Omi 4 � 8S3�o8�1�� Rta� ¢ o g N 9 `� � � ��c�� :�� 3 'o w y oi �i oi o ai•c a o�,� � ¢ `a'_�m`�n`&S�'P.'m �� w k � � O � ��iNmm�n� u� `t� r O O Q � ¢ a a � � V � ¢ � ¢ � enw�nwwwwwww uiui � ¢ N Q I � g Z � � w 8 ¢ i � W y w � � o ' � U 0 � O y � � ) � f/J f' � Q N� 0 0 � O�1 w ZW�=g� � ¢ � � f ¢ � � � N$ SNo�o� � N � W N � 5r �5�a , ¢w 3 = a ¢ o�,� UO �¢ U��WUUQp � ~ � ¢�U¢3wwam � o �9�9 w �¢ �O�Y66�a � � Z Jf' �J 1 — � �� Q�Q a��LL 7 J� fJ N � a6WLL~Q~=WW�¢ Y=¢ 2 �O N m d O , �o N�N�eeoW �a< F- lnLLg7N�2LLLLUU fi � � p � � (9L)Ol3U RE�EVELOPMENT AGENCY ~ INVESTMENT ACTIVITY REPORT FEBRUARY 1999 EXECUTIVE SUMMARY As of 2/28/99, total portfolio book value was approximately$162MM (with SLGS). This reflected a net decrease of approximately$2.9MM from prior month, due primarily to securities purchases. There was an unrealized portfoiio net gain (market value-book value)of approximately$492M, based upon prevailing market interest rates. This was only a"paper" gain since there was no profit-taking. Significant changes in investment position, by security type, are discussed below: "�,tate&Local Govt Series -Coypon:' Palm Desert Financing Authority buys special interest-bearing U.S. Treasury notes with maturities of 2 - 10 years to invest proceeds of advance refundings held in escrow(to comply with IRS yield and arbitrage rebate restrictions). Nonmarketable. Priced 5bp below U.S. Treasury borrowing cost for Treasury securities of comparable maturity. Although unrated, considered "AAA". THIS ACCOUNT BALANCE DID NOT CHANGE. "Fidelity Treasury Pool." RDA invests tax-exempt bond proceeds (construction, cost of issuance, and reserve monies) in Fidelity Institutional Money Market Fund: Treasury Portfolio-Class I." U.S. Bank, as trustee, pays bond expenses and debt service from this fund. This $3.9MMM fund invests in U.S. Treasury bills and notes, and repurchase agreements for those securities. Weighted average maturity is 60 days or less. S&P credit quality rating of"AAAm"; Moody's of"Aaa." THIS ACCOUNT BALANCE DECREASED BYAPPROX/MATELY;513M DUE TO DEBT SERVICE PAYMENTS. "�ocal Aqg�y Investment F�nd (LOIFI." RDA invests City's loan in $13MMM pool managed by State Treasurer's Office for 2,600 governmental entities. LAIF has diversified portfolio (BAs, CP, Treasuries, agencies, corporates, repos, reverse repos, CDs)with weighted average maturity of 180- 540 days. No loss of principal in 20 years of operation. Deposits can be"cashed"within 24 hours. Limit of$30MM per account. S&P credit rating of"(A+)positive"; Moody's of"Aa3." THIS ACCOUNT BALANCE DID NOT CHANGE. "United States Treas�ry-Go1 oon:' RDA buys interest-bearing U.S.Treasury notes with maturities of 2 - 10 years to invest tax-exempt bond proceeds. Although unrated, considered "AAA". THIS ACCOUNT BALANCE DECREASED BY APPROX/MATELY E2•ZMM DUE PR/MARILY TO A MATURING SECURITY. "State & Local Govt Series -Time." Palm Desert Financing Authority buys special noninterest-bearing U.S. Treasury certificates of indebtedness with maturities of 15 days - 1 year to invest proceeds of advance refyndings held in escrow(to comply with IRS yield and arbitrage rebate restrictions). Nonmarketable. Although unrated, cons�dered "AAA." THIS ACCOUNT BALANCE DECREASED BYAPPROXIMATELY;372M DUE TO A MATUR/NG SECURI'rY. "United States Treasury- Discount" RDA buys noninterest-bearing zero coupon securities ("STRIPS")with maturities of 6 months -30 years to invest tax-exempt bond proceeds (construction monies). Purchased at discount;face value paid at maturity(difference is yield). Although unrated, considered "AAA". THIS ACCOUNT BALANCE DID NOT CHANGE. "HiahMark Sweeo Accounts." RDA sweeps excess checking balances into"HighMark 100% U.S.Treasury Money Market Fund." This $905MM fund invests ohly in U.S. Treasury bills and notes (no repos or reverse repos). Weighted average maturity is 90 days or less (per SEC regs). Although unrated, underlying securities considered "AAA." THIS ACCOUNT BALANCE/NCREASED BY APPROXIMATELY S76M DUE TO INTEREST COUPON PAYMENTS. "Federal Aqeney=Coupon." RDA buys U.S. government agency and instrumentality notes with maturities of 2- 10 years to invest advance refundings and tax-exempt construction funds. Agency debt guaranteed by U.S. Treasury; instrumentality debt is not(guarantee, instead, believed to be U.S. GovernmenYs"morai obligation"). Although unrated, considered "AAA." THIS ACCOUNT BALANCE DID NOT SIGNIFICANTLY CHANGE. ' � - Si'ATE OP CALIFORNIA ^ ^ PHILIP ANGELIDES, Treasurer OFFICE OF THE TREASURER � SACRAMENTO Local Agency Investment F�nd PO Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 January , 1999 Statement Acconnt Nnmber : 98-33-621 CITY OF PALM DESERT Attn: CITY TREASURER T3510 FRED WARING DRNE PALM DESERT CA 92260 Transactions Effective 'l�ansaction 'l�an Confirm Authorized Date Date Type Number Caller Amount 01-14-1999 01-14-1999 RW 14295 THOMA.S JEFFREY - 6,000,000.00 01-15-I999 01-14-1999 QRD SYSTEM 352,403.29 01-22-1999 01-22-1999 RD 25905 THOMAS JEF'FZiEY 6,000,000.00 Accouat Summary Total Deposit : 6,352,403.29 Beginning Balance : 27,912,053.25 Total Withdrawal : - 6,000,000.00 Ending Balance : 28,264,456.54 /� �� I..1��J�`. l ('C 1 J��-tt Page : 1 of 1 �r .r . . POOLED MONEY IIWESTMENT ACCOUNT SUMMARy OF INVESTMENT DATA A COMPARISON OF JANUARY 1999 WITH JANUARY 1998 (Doliars in Thoussnds) IANUARY 1999 ]ANIJqRY 1998 CHANGE Average baily Portfolio $35,563,802 $30,280,872 + $5,282,930 Accnied Eamiegs $159,024 $147,663 + $i 1,361 Effective Yield 5.265 5.742 -.477 Average Life—Month End(in days) 184 201 - 17 Total Securiry Transactions Amount $14,656,462 Number 328 $18,131,329 -$3,474,867 416 _88 Total Time Deposit Transactions Amount $1,358,290 Number o 88 $479,100 +$g7g,190 50 +38 Average Workday Investinent Activity $842 882 $93Q521 ' -$87,639 Prescribed Demand Account Balances For Services $189,020 $196,070 For Uncollected Funds $201,336 -$7,050 $202,938 -S 1,602 LOCAL AGENCY INVESTMENT FUND* SUMMARY OF ACTNITY JANUARY 1999 BEGINNING BALANCE DEPOSITS WITHDRAWAL,S MONTH END BALANCE 514,653,688,333.19 $2,024,253,058.56 $1,228,079,295.15 $15,449,862,096.60 'Local Agency Investrnent Fund Invested Through Pooled Money Investment Account / State of California Pooled Money Investment Account Market Valuation 1/31/99 Description Carrying Cost Plus Accrued Interest Purch. Fair Value Accrued Interest United States Treasu : Bills $ 3,466,518,535.64 $ 3,549,469,681.20 NA - Notes $ 4,776,936,821.79 $ 4,807,338,500.00 $ 66,365,673.75 Federal A enc : Bonds $ 2,559,093,326.94 $ 2,560,046,525.85 $ 37,149,415.03 Floaters $ 170.000.000.00 $ 169,931,400.00 $ 1,938,046.80 MBS $ 77,956,683.93 $ 79,307,547.32 $ 457,917.72 GNMA $ 1,939,613.67 $ 2,182,143.49 $ 19,185.26 SBA $ 285,123,867.87 $ 285,907,73125 $ 2.536.523.20 FHLMC PC $ 18,905,902.28 $ 20,159,609.53 $ 303,468.76 Discount Notes $ 3,268,880,631.05 $ 3,323,841,767.40 NA 8ankers Acce tances $ 77,145,994.77 $ 78,1p9,940.36 NA Cor orate: Bonds $ 572,098,086.01 $ 573,943,361.16 $ 10,754,599.36 Floaters $ 1,054,534,283.29 $ 1,052,271,721.00 $ 7,362,485.09 CDs $ 5,453,577,302.73 $ 5,448,936,379.54 $ 52,360,653.78 Bank Notes $ 1,818,119,003.31 $ 7,818,629,625.74 $ 29,439,813.89 Re urchase A reements NA Nq Nq Time De osits $ 2,004,640,000.00 $ 2,004,640,000.00 NA AB 55 8 GF Loans $ 2,125,693,674.33 $ 2,125,693,674.33 NA Commercial Pa er $ 9,840,449,957.16 $ 9,913,590,208.20 NA Reverse Re urchase $ 762,843,107.00 $ 762,843,107.00 $ 2,993,154.40 TOTAL $ 36,808,770,577.77 $ 37,051,156,709.37 $ 205,694,62824 Fair Value Including Accrued Interest $ 37,256,851,337.61 Repurchase Agreements,Time Deposits, AB 55 8 General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). � �� ' 1 � :.. , .:�:....:;:.::. �`_:: . __ . ` $TA?E TSEA�'iUBEB,' �oui+rcEs �rr�n�r��Nrs ��J 9� 1999 c�F �sr� �� lAl� rn� s�� ,��,�� a�� n�� ,��, ��; N � CONFERENCE � 00 �tai�mernbers anc�plrectors�if t��tfra�it� ' o�ob�� , i�9y chaired by�EtE Tr�as�'. ��"'�� . ave the Date!! The State �� : Treasurer's Office(STO) is pleased ��5�� •�� to announce that the 1999 Loca/ ��`�� : Agency Investment Fund Annua/ �� '�� '�� Conference is scheduled to be held on ��`��?�� ;i October 1, 1999 from 9:00 a.m. to 2:30 p.m. at ' ��`�� `:: the Sacramento Convention Center. �� `��n�%`��: This one-day conference wili focus on �" � �� '�� major issues confronting California local agenaes �� as we prepare to move into the Year 2000. "�'ea5�trer �tid Ext�iuf�tt� �{r�s�r p� �� ; The STO anticipates a program which will ��F�� be informative and beneficiai to all who attend. ��1tY 5am �� p�� " The conference offers you the opportunity to � � �� : meet the portFolio managers and the LAIF staff ��' '�� ' �� that you work with on a daily basis. ��Y��'�x�� Each participating agency wili soon ��a��%��°:��; receive further details and the conference ��`�V��f��:�� registration packet. Linitt Al� C�ttiit�i �� ias> �t3� be f�e C�ir�tdr e�f �he �Ce �f=Pub9t�; _ _.. .,_ Udisort; �nd �i�a Pre�ta �e�t� �[V� a:� �1+�: , � , �JCGCitLtY� I3[[�t4Y �� E.�Ilftu'!'f�� SChiXI� : QUARTERLY. UPDATES , ; f�tdnCt AUtEicr►�jr, ; ; FOR I,A1F ANSWF.R BOOK � The Sfate 7t�5ur�' �ated, '�I�h3� : SE1�Ct�Ci �CfdlEl� �'lf�lFjdt�S y4+[� The Decewbe: 31, 1998 � d ; Of�ttbi��t1�#�tX�dlri��t�CEF��2 ` Answer Book quarterly updates ��d ;publlC �O1�Gy Y��1 tff � '�'t��Tp�� were mailed with your January �lf�tce. T�y snnl[hetp i��tt�y gts�ils t�€.; statement 1��tectin�I �?q�Y�' flU�d5, ci1�f efFeCLfYeTy`: fusan�€�g �to�(s an�i �ther I�frastructc�re < : : w�'�� :�� .; Siyyesfions: Do you have a question you would �e��k ��, ��e5 like to ask the Treasuref? Send it to the Local � IC1bE'@ EE1 ��IfOiE113 �; Agency Invesiment Fund, PO Box 942809, ��•' SacrameMo, Califomia 94209-0001. � � • � � : • • 1 1 , STATE OF CALIFORNIA . PHILIP ANGELIDES. Tieaswer OFFICE OF THE TREASURE. _ SACRAMENTO . Local Agency Investment fl�nd PO Box 942809 Sacramento, CA 94209-0001 (916) 653-3001 january , 1999 Statement gcconat Nnmbes : BS-33-015 PALM DESERT RIDEVELOPMIIVT AGENCY Attn: PAUL GIBSON, TREASURIIt 73-510 FRID WARING DRNE PALM DESERT CA 92260 Transactions , Effective 'lYansaction 'lYan Confirm Authosized Date Date Type Numbes Caller Amount 01-15-1999 01-14-1999 QRD SYSTEM 157,119.92 01-22-1999 01-22-1999 RD 3079 TIiOMAS JEFFREY 9,000,000.00 Accouat Summary Total Deposit : 9,15T,119.92 Beginning Balance : 11,455,212.92 Total Withdrawal : 0.00 Ending Balance : 20,612,332.84 �. � g� c�. ��/� Page : 1 of 1 � � -. P`.�LED MONEY INVESTMENT ACI,JUNT SUMMARY OF INVESTMENT bATA A COMPARISON OF JANUARY 1999 WITH JANUARY 1998 (Dollars in Thousands) JANUARY 1999 JANUARY 1998 CHANGE Average Daily Portfolio $35,563,802 $30,280,872 +g5,282,930 AccruedEamings $159,024 $147,663 +$11,36] Ef£utive Yield 5165 5_7qz _ 4�� Average Life—Month End(ia days) 184 201 _ 17 Total Security Transactions Amount $14,656,462 $18,131,329 -$3,474,867 Number 328 416 _gg Total Time Deposit Transactions Amount $1,358,290 $479,100 +$g79,190 Number 88 50 +38 Average Workday Investment Activity $842,882 $930,521 -$87,639 Prescribed Demand Account Balances For Services $189,020 $]96,070 -$7,050 For Uncollected Funds $201,336 $202,938 -$1,602 LOCAL AGENCY INVESTMENT FUND* SUMMARY OF ACTIVITY JANUARY 1999 BEGINNING BALANCE DEPOSITS WITHDRAWALS MONTH END BALANCE $14,653,688,333.19 $2,024,253,058.56 $1,228,079,295.15 $15,449,862,096.60 *Local Agency Investment Fund Invested Through Pooled Money Investrnent Account State of California Pooled Money Investment Account Market Valuation 1/31/99 Description- -Carrying Cost Plus _. Accrued Interest Purch. Fair Value Accrued Interest United States Treasu : Bills $ 3,466,518,535.64 $ 3,549,469,681.20 NA _ Notes $ 4,776,936,821.79 $ 4,807,338,500.00 $ 66,365,673.75 Federal A en : Bonds $ 2,559,093,326.94 $ 2,560,046,525.85 $ 37,149,415.03 Floaters $ 170,000,000.00 $ 169,931,400.00 $ 1,938,046.80 MBS $ 77,956,683.93 $ 79,307,547.32 $ 457,917.72 GNMA $ 1,939,613.67 $ 2,1g2,143.49 $ 19,185.26 SBA $ 285,123,867.87 $ 285,907,73125 $ 2,536,523.20 FHLMC PC $ 18,905,90228 $ 20,159,609.53 $ 303,468.76 Discount Notes $ 3,268,880,631.05 $ 3,323,841,767.40 NA Bankers Acce tances $ 77,145,994.77 $ 78,109,940.36 NA Co orete: Bonds $ 572,098,086.01 $ 573,943,361.16 $ 10,754,599.36 Floaters $ 1,054,534,28329 $ 1,052,271,721.00 $ 7,362,485.09 CDs $ 5,453,577,302.73 $ 5,448,936,379.54 $ 52,360,653.78 Bank Notes $ 1,818,119,003.31 $ 1,818,629,625.74 $ 29,439,813.89 Re urchase A reements NA NA NA Time De osits • $ 2,004,640,000.00 $ 2,004,640,000.00 NA AB 55&GF Loans $ 2,125,693,674.33 $ 2,125,693,674.33 NA Commercial Pa er $ 9,840,449,957.16 $ 9,913,590,208.20 NA Reverse Re urchase $ 762,843,107.00 $ 762,843,107.00 $ 2,993,154.40 TOTAL $ 36,808,770,577.77 $ 37,051,156,709.37 $ 205,694,628.24 Fair Value Including Accrued IntereSt $ 37,256,851,337.61 Repurchase Agreements, Time Deposits, AB 55&General Fund loans, and Reverse Repurchase agreements are carcied at portfolio book value (carrying cost). ' ` ;:�� . � u� ^zx cv�� ;ta u. xyw�,.i?�saar,xs .� < f ��'�' 0 4 " r y � � � G � � ��, ^aJ 9� 1999 � ,� �� ro�, � ��, � kg � � ] � � LAIF �� .� "� ; 5 f ' ` � h;:: � +�,, ,��,�; � s .. O:f ..�i[^ E � CONFERENCE s� �� . ��. w, O ,: `�� < � � �� : � { v 3#5 , Rh_ �. . � . O O � VGIYOE� �� :a . ».�:'wii::?..� �' .:.Ji�.:� '.' :' ' . . ' .:. �a � M . ave the Date!! The State , a �� W �# ` � � Treasurer's Office(STO) is pleased :��^ �' to announce that the 1999Loca/ , �� m� Agencr Investment Fund Annua/ z3 � ��. , > ,. �� - �.� �`'�A � '' � Confe�ence is scheduled to be held on a�s . t�4 r,.,':i. ., .. . ' � ��r� . s� .<, � � � .. ; ,� � a��, ,� October 1, 1999 from 9:00 a.m. to 2:30 p.m. at uh, ai� � t � _� �, .�: a.r, �'� �* ..' tf�e Sacramento Convention Center. This one-day conference will focus on :, .::� .. : . , major iswes confronting Califomia local agenaes < ' . <'t. . i,. ... , � ;� i� �„ ey�`sk .e � ; � ,, � F .. �� as we prepare to move into the Year 2000. a.''1: ' '�° • The STO antici tes a y�: � ..'�M: :,�.:. . . �<e . � Pa Pro9rdm which wiil � . '"' ` be informative and beneficial to all who attend. �V � � `� `�.�� The conference offers you the opportuni to �� „� yt ��, . , �;:. � �' � "�, . , tY � � ' °; ., meet the portfolio managers and the LAIF staff 2 = :� � ��M, ,, that you work with on a daily basis. :��;ff•.::::><::<_: •>« ��:�:.: �r:,.:. ..., : � ' Each participating agency will soon s � � �� ,:, � � �. !� r��; � �z� :. s • �;�,: �; �; ,y ,, � � receive further details and the conference � `� registration packet. � � �.�, :�z, a, EW� '>•..u..fY� .: zl,. 'F :. yLF.;' ;g�� Y" Y£fJX �'.,`:. '.. , �'�� ' ' �w .�' � . 8'A��.;'3v,YS%:�:SY'...�a:$';Y?xRxa�:.S.:gY-z<xei�t8: .. ¢ `wE :` . .. �' ��"a' .... '� NR �- p<{ y. •� .•j�� y y� - ` f ��y d. Ty .. .. ' r �t S4 2vt� .................. . ..._... ..._. � x �nS �� .. �, k£ QUARTSRLgMUPDATSS S ?§� �.�� K t ;+..� '" " POR LATF ANSW6R BOOK �� ..�t � > ' u; �� . a •�:::. � � ,� � The December 31, 1998 : � c� s r � „ �`'� ` �� a "' � �` "r�� Aaswer Book t{uarterly updates > < .��` '� " Y�, � were mailed with. your January ; .. . � � �H�� - � . �,�,. '4 �'z r'�•'� ��3, � .� ,,«s.F �. � .... n' '�..z.'Y.$�Rii�m4�ta,L�t` `,Y�'K.�d�'.ca7o4Hx.a'.<:.�x:r.�m2'x..:�:'-o:F1' {� 'h`S�Lc � t � 3 S � S<, ' . ��. �� a ` �: Do you have a quesfion you would y� � t' +�, ' � , ;; like to ask the TreasureR Send it to the Local ,�� , ts�� Agency invesiment �'uis�*F€I�Yf�x 942809, .e .. � ' . . �. .,n ) ��"�� . . ..._. .: .. .... .... .... . ... ..:.... ..:... Sacramento. Cal'rfomia 94209-0001. ....R...f].... Pooled Money Investment Board 42nd ANNUAL REPORT - 1997/1998 During the 1997/98 fiscal year, program earnings totaled $1.672 billion. Approximately $629 million of this amount was credited to units of local government as a result of their deposits in our investment pool. 'fhis level of voluntary participation, which averaged $11.042 billion, reflects the confidence they have in our investment management capabilities. The magnitude of these investment earnings provide a significant reduction in the tax burden tha[ otherwise would have beeo imposed on the citizens of California. , �� Pooled Money Investment Board The Pooled Money Investment Boazd, created by the Legislature in 1955, is comprised of Matt Pong, State Treasurer, as chairman; Kathleen Connell, State Controller; and Craig L. Brown, Director of Finance. The purpose of the Board is to design an effective cash management and investment program, using all monies flowing through the Treasurer's bank . accounts and l�eeping all available funds invested consistent with the goals of safety, liquidity and yield. 'fhis Boazd designates the amounts of temporarily idle money available for investment. The Treasurer is chazged with making the actual investment transactions for this investment program. 1'he law restricts the Treasurer to investments in the following categories: U.S. Government securities, securities of federally-sponsored agencies, domestic corporate bonds, interest-bearing time deposits in California banks and savings and loan associations, prime-rated commercial paper, repurchase and reverse repurchase agreements, security loans, banker's acceptances, negotiable certi£cates of deposit and loans to various bond funds. Pooled Money Investment _, Board Members , � Chairman MATT FONG State Treasurer 1 . Member KATHLEEN CONNELL State Controller ; I 1)y � 'I Member , CRAIG L. BROWN Director of Finance ,-. Table of Contents Page TheYear in Review............................................................................................................... 1 Investment Activity (FY 1989 through 1998).....................................................:................. 1 1997/98 Investment Mazket Conditions................................................................................ 2 Monthly Yields on Money Market Securities....................................................................... 2 Pooled Money Investment Account Comparison of Earnings and Average Daily Portfolio FY 1989 through 1998....................................... 3 POOLED MONEY INVESTMENT ACCOUNT (PMIA).............................................. 4 TheYeaz in Review............................................................................................................... 4 DemandAccount Program..................................................................................................... 5 Rate Schedule for Banking Services..................................................................................... 6 Average Daily Balance in Demand Bank Accounts ............................................................. 7 InvestmentProgram .............................................................................................................. 8 Earningsfor 1997/98............................................................................................................. 8 Schedule of Security Purchases -by Term............................................................................ 9 Analysis of the PMIA Portfolio ............................................................................................ 9 Dollaz Amount of Interest-Bearing Time Accounts.............................................................. 10 PMIA Summary of Investment and Eamings....................................................................... I 1 Financial Community Coverage............................................................................................ 13 SURPLUS MONEY INVESTMENT FUND (SMIF7....................................................... 14 Eamingsfor-1997/98............................................................................................................. 14 TheYear in Review............................................................................................................... 15 Participation .......................................................................................................................... 15 Resourcesof the SMIF.......................................................................................................... 16 LOCAL AGENCY INVESTMENT FUND (LAIF)......................................................... 17 Earningsfor 1997/98............................................................................................................. 17 Participation .......................................................................................................................... 17 TheYear in Review............................................................................................................... 17 Resourcesof the LAIF.......................................................................................................... 18 Appendix A - PMTt1 Summary of Investments and Earnings, 1957 through 1998 ............. 19 Note To PMIA Summazy of Investments and Earnings ...............................20 Appendix B - Historical PMIA Yields ........................................................................21-28 " � 1 The Year In Review . . . Average Daily Portfolio .............................. $29,344,512,316 Earnin�s ....................................................... $1,672,382,102 EffectiveYield ............................................ 5.70% INVESTMENT ACTIVITY FOR THE FISCAL YEARS ENDING JUNE 30 ($In Billions) Amount $135.6,� $149.5 $172.1 $169.8 $278.5 $210.1 $277.4 5237.4 52093 5301.6 Transactions 4 557 5 478 5 342 4 130 6 898 5 169 6 351 5 721 5 120 7 108 Inve�eol ActlWtles Flstal Ynrs Endlog Jme 30 uw.0 • (S la BBlimu) SJWA I f250A f]WA ISIS0.0 f f100.0 1969 199D 1991 1992 19➢] 1991 1995 19% 1991 199! �i . Source: Stue Treasumr's Office.Division of Imestment 2 , 1997/98 Investment Market Conditions To indicate prevailing mazket conditions during the 1997/98 fiscal yeaz, the following table shows monthly money muket rates, as computed from daily closing bid prices. The information was obtained from Federal Reserve Bulletins published by the Board of Governors, Federal Reserve System. Monthly �eld On Money Market Securities (Yield in Percent Per Annum) Julv. 1997..................... SS2 ,� 5.07 5.50 5.53 5.12 5.26 6.00 Auqtuc......................... 5.54 5.13 5.49 5.53 5.17 528 6.06 September.............:....... 5.54 4.97 5.51 5.54 5.11 530 5.98 October......................... 5.50 4.95 5.55 5.57 5.09 520 5.84 Novemt�er..................... 5.52 5.15 5.64 5.66 5.17 5.14 5.76 December..................... 5.50 5.16 5.70 5.75 5.24 5.18 5.74 January. 1998...�.......... 5.56 5.09 5.44 5.48 5.07 5.07 5.38 Fetxuary....................... 5.51 5.11 5.45 5.46 5.07 4.97 5.43 March........................... 5.49 5.03 5.49 5.50 5.04 5.13 5.57 April............................. 5.45 5.00 5.48 5.48 5.08 5.12 5.58 May............................. 5.49 5.03 5.50 5.48 5.15 5.15 5.61 June............................. 5.56 4.99 5.50 5.50 5.12 5.13 5.52 Increase/ 0.17 0.00 0.11 0.12 -0.07 -0.24 -0.52 Note: All sewrities above except Federal Funds and 3 year Treasury Issues are quoted on a discount basis Source: Board of Govemors,Federal Reserve statistical re(eace Subsequent sections of this report deal individually with the demand account and investment programs for which the Boazd has oversight responsibilities, and which the Treasurer directly administers. 3 POOLED MONEY INVESTMENT ACCOUNT COMPARISON OF EARNINGS AND AVERAGE DAILY PORTFQLIO FISCAL YEARS ENDING JUNE 30, 1989 through 1998 Average Daily Portfolio (S In Millions) 29,115 570�000 =��36� 3f,l03 2{.i2] 23A77 135,000 � 37,052 30.755 =��56 . If,55f St0,000 � 17.�f{ .�r,: i��, f t s,000 Slo,000 � x 1" ss.000 � F:v` .Iti:# ":�. „ . f0 Bt9 U90 1991 7f91 19fJ Uf� O93 1f96 1997 1�9! Earnings ($ [n Millions) 51.600 �•6» 1�663 1,673 �sez s�,eoo ��s� si.aoo � 4�+ f1.200 �"+'rr. 1�085 1 R SI.000 � seoo ��x� �'� �� i * Seuo 7��? -^` � . �� 4� � saoo �,� ° � ,�,_� .t: �i ` � Sxoo i �* ;:� : ��5 �a� � � _ � n. x -, . , .. i E5^at6?� . . . ..::� s sn � � ' 19l9 199U t991 1992 1991 If9� 1995 1996 199] 199! Source: State Treazurer's Offtce,Division of Investment 4 � Pooled Money Investment Account Source: State TroazurePs Office,Division of Investment Resources of the Pooled Money Investment Account averaged $29,681,288,000 per day during the fiscal year although the daily figures fluctuated widely with receipts and disbursements. High point for the year occuned June 25, 1998, when [he total reached $37,382,'744,000. Resources for the account were lowest on December 11, 1997, when balances totaled $26,475,687,000. A breakdown of an average day's resources during the fiscal year shows the following: $336.8 million in non-interest-bearing bank accounts; $28,268.2 million in securities and General Fund Loans; and $1,0763 million in interest-bearing time deposits. On the closing day of the fiscal year, [he following resources were on hand in the Pooled Money Investment Account: Demand bank account $ 669,808,012 Time bank account 1,544,890,000 Securities 30,271.777,331 Total Resources $32,486,475,343 5 Demand Account Program Investments of the PMIA are made from monies flowing through the Treasurer's demand (non-interest-bearing) bank accounts maintained in the five banks that serve as State depositories. Currently, the five depository banks are: Bank of America, Sanwa Bank, U.S. Bank, Union Bank of California, and Westamerica Bank. A small portion of these funds must remain in [he accounts as compensating balances which consist of(1) a balance for uncollected funds and (2) a balance for banking services. Uncollected funds represent the total dollaz amount of checks deposited by the State for which the banks give immediate credit, but for which they do not receive good funds until these checks are presented to the banks on which they aze drawn. The Pooled Money Investment Board allows the banks an average balance for uncollected funds equivalent to 13 calendar days on all checks deposited other than cashier's checks and checks under the presort of deposit system. Under the presort of deposit system, the major revenue collecting agencies sort their checks by the five State depository banks and then deposit them directly in the banks on which they are drawn, thus avoiding the need for providing bank balances for uncollected funds. The remaining checks aze deposited under a contract whereby the depository bank receives bank balances equivalent to 1.285 calendar days for the amount of such deposits. The balances allowed for banking services represent compensation for handling 387 thousand deposits, 58.0 million checks deposited, 404 thousand dishonored checks, $669.9 million in cnrrency deposited, $4.8 million in coin deposited, 115.5 million warrants and 62 thousand checks paid. All amounts in excess of chese compensating balances are promptly invesced by the Treasurer. Intensive and expeR analysis of receipts and disbursement data is used daily to estimate the State's rapidly shifting cash position in order to determine exactly how much money is available for investment. This results in maximum earnings consistent with prudent management. Compensating balances aze determined by a formula which accounts for the estimated volume of each service item as well as its unit cost. The rate schedule for the compensating balance formula is determined through annual negotiations with the State's depository banks and the cost for any particular service may be raised or ]owered as conditions warrant. Adjustments for the difference between actual and estimated work- 6 � load for any fiscal yeaz aze made in the following fiscal yeaz. The PMIB made no changes in the rate schedule for banking services for the 1997/98 fiscal year. In addition to the rates shown below, the Boazd agreed to include the costs of account reconciliation and electronic funds transfer services within the compensating balance formula starting in the 1991/92 fiscal yeaz. The costs for these two services aze paid (with balances) on a lagged, actual basis when billed by each bank. The Board approved [he following rate schedule for the 1997/98 fiscal yeaz: RATE SCHEDULE FOR BANKING SERVICES 1997/98 Fiscal Year I T E M R A T E S (Dollars) Encoded Checks Deposited „On Us"..........................................................0.040 �,Other"...........................................................0.053 Non-Encoded Checks Denosited.........................0.090 Warrants Paid...................................................... 0.010 Checks Paid......................................................... 0.120 Dishonored Checks..............................................2.75 Deoosit's............................................................... 1.20 Svlit Ba¢s Deaosiu..............................................0.550 Coin Deposited.................................................... 11.00 per Thousand Cuaencv Denosited.......................:..................... 1.05 per Thousand Account Maintenance.......................................... 15.00 per Month Dail Statements..................................................6.00 er Statement Source: State Treasurer's Office,Division of Cash Management 7 AVERAGE DAILY BALANCE IN DEMAND BANK ACCOUNTS 1997/98 ($ In Thousands) Bank Balance Bank Balance Less Net Bank Balaoce Actual Required for Required for Delayed Deposit Prescribed by Average Daily Month Bankin Services Uncollected Funds Credit PMIB Bank Balance Jul-97 $159,175 $129,607 $6,724 5282,058 $302,585 Aug-97 170,160 156,058 6,325 319,893 309,666 Sep-97 117,447 17'7,189 7,918 286,718 294,474 Oct-97 171,352 125,129 8,978 287,503 275,793 Nov-97 145,818 158,111 6,525 297,404 320,502 Dec-97 156,665 167,843 13,676 310,832 344,563 Jan-98 196,070 212,723 9,786 399,007 389,297 Feb-98 230,513 170,652 10,394 390,771 285,089 Mar-98 187,138 144,295 9,805 321,628 336,235 Apr-98 147,112 270,536 14,275 403,373 513,775 May98 163,885 246,861 12,479 398,267 348,619 un-98 168 322 187 370 9 799 345 893 318 874 w�ymea ^•°^6° 5167,543 5178,719 $9,719 5336,543 $336,769 Average Balance Ia Demaod Bank Accouuts 1997/98 , (5 In Thousands) fsse,00e fuo,oa � ..��..e,,,.,. __. ,. Y f.r� "4� f350,Ow ..�.�,.�"` ,. f250,000 3130,000 .. la� �oF � � �� ' ��1 Q ,�a� �9 � �N9 �od � �' �• • '"��'""PracrlEM D)PMIB Avxye D�Or Source: Sta[e Treasurcr's Office,Division of Cash Management x Investment Program � Although the Pooled Money Investment Boazd designates how much shall be invested in interest-bearing time accounts in Califomia banks and savings and loan associations, and in securities, it is [he cesponsibility of the State Treasurer to administer the investment program on a day-to-day basis in line with overail Boazd policy. This entails a daily determination of amounts available for investment, or the need for liquidating securities to meet estimated warrant redemption requirements, while maintaining the approved compensating balance position. This means that the State Treasurer must continually adjust the estimates for receipts and disbursements to reflect cunent available information. For the 1997/98 fiscai year, investments in time deposits ranged from $560,295,000 to $1,544,890,000 and averaged $1,076,267,781. There were 527 transactions totaling $6,783,955,000 during the yeaz. Banks and savings and loan associations receiving these State deposits must secure them with approved securities having a market value of at least 110 percent of the deposits or with approved promissory notes secured by mortgages or deeds of trust having a market vaiue of at least 150 percent of the deposits. The same collateral requirements also apply to the State's demand accounts. At the end of fiscal yeaz 1997/98, the interest-beazing time deposits were held by 36 banks and 2 savings and loan associations throughout Califomia. For the fiscal year, PMIA holdings in time deposits had an average yieid of 534 percent. T'he amount of money designated by the Board for investment in securities varies dramatically throughout the yeaz. Such designations aze made at least monthly, and again, the State Treasurer handles the actual investments, determining the issue and maturity of authorized securities to be bought or sold in accordance with cash needs and both current and projected market conditions. During fiscal yeaz 1997/98, there were 3307 security purchase transactions and 3,274 security sales or redemption transactions, with a total investment activity of$294.8 billion., Eamings for 1997/98 Total eamings for the Pooled Money Investment Account in fiscal year 1997/98 were $1,672,382,102. These eamings were credited as Follows: General Fund $280,342,493 Fish and Game Preservation Fund $ 380,245 Surplus Money Investment Fund $758,127,625 Local Agency Investment Fund $629,303,620 Public Employees Retirement Fund $ 2,125,883 State Teachers Retirement Fund $ 2,102,236 Earnings consis[ed of $],601,602,802 from security investments at an average 5.70 percent yield, $57,451,730 from time deposits at an average 5.34 percent yield, and $13,327,570 from General Fund loans at an average 5.69 percent yield. The overall retum on investment was 5.70 percent The portfolio holdings of the Pooled Money Investment Account for the 1997/98 fiscal yeaz aze illustrated in the following table. , . . . . _ � « i�.Y.�A4 <& a ..t.6. �i.�'N&� _ � r b � , a> '• a ?'. i �.i;4. ` 1 �S ��4x � `&,.,:}V �Kt �$i�.'e`�� , �k Ys :� .` .. . "i 2 . 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'i.:i. � ... _ . _ :� 4 '�-�i v°c!d� � .,3w�".,�ai p ,�', `� ',.�t � . ,. .`4 r�l� .. �y�d T IAx Y a3�. �� h� ,�..1"h '. . � f s'' ' ��.. b 'S�?�9��k`�$ a � 'a' .3�, � r� .. . . ;: �uisi�l t�-'+�ae ti:'� a3v �4G ,i. .::,,., � es'.e�. ret<s ie+ r.. =fi . � . . ., ,..,3�.hh 4x� ,ag �� . : �a_�.�,` . . as a : aM �, g w � . . , r_ ; i$£ 3u� � �t'��, "e .i�v'... , . . t � v f � � t n I 1- , + . i' � +.�",:� . , i� t 'r Ckf.'le �'��°' 7E 9��i wr 4n9 r �.� . . , �Y.�-:'. � s s ��,�y {k� �{t� 'A .... � - ] 3 /t ''� �;it. �`.d',�?�.• �'4.� y �. a . ,t2Q'e` i '' r�'> y `� i C .3 • . ; ' y °d �""a<, a .r �'s-1 .. x*• . . 4_`3 `-.3�tY� 3 ° s,�.�£ i�b'.• n � 1.` . y -y d k P j '� Fy4rli�JVFS A�£ p�F��ry� �a bI%` S '� P �,}�iSMC £%+ms" 3��k^,�f}`,� � ? � . ,.t.. , o- .. �s 4,�..,.. a. .< i �i K� tg,�,��,,,,4"`c 1n - -a o e z y e . w mM�-�.�ru : «.� ,d�. . .,..»� .' c....r:n� x'x . . ` . _ `1 . '�:§ °� �. "�¢fa '�: ca xz �_. �� . . . .. .., � . _, _.. > ., a .. . yxi >4^Y.�` � `) .� 't ��'., ..�. '"4 g ^a��aiv�� ,4 6 �.�. �+� . _ �q � �" f"si f%�$R''�z$�'+��'�� "s . f y ^ t,,; s ,:�;� . � r � s`� f'; �. J �( d C 4. a�,� ' � � �'(�'. 3 � �w . .. . � r �� sYi�2� L'^<��'�kFs��t. . �� . . . - . � X�'dd�"`�#C+'P �'-"�v 't: , � e"t ' . , r. . '� . . . . . � z": .au . .. . . .. . � .. . . . �a z€ ; -. . . . � �t : . ' � � .�. '� . D.�• �rr� i'�`r,- et„ :- e�. � > ... . . . ,.._ c�.� , N.i': g ..�s.�t_ . ._._ ._ _ . . . . Ly. !`5 , R lYi,•�.:}, xtrdi `k5 . .- . � �. . . ,. .' . .. _ 5 , . u� L.��.��d.'x.f 4 ` _ . � . � ,.,. .., ._ .e yw ;y ,.'w.:� ,<� � . . . . � � .�5 . _.. . .. � � . ._ :Y . .. . . . . ... ..� . .. .. ..� .�r e , . � ... . .. ... � 1� � t r � . � _� ' � ... �_ s� .. . � u .;. �. .� . . �� iM'.r Zi .' ��' : . " . . -5 . . �t .. rm . � � .. .< " 1 � ... � . . . . , . . �:1`�' 4�� c_. . ,1 r� . . . � �`A.. io Dollar Amount Of Interest-Bearing Si 70o aoo Time Account By Month-End . ($In Thousands) s�,sao,000 st,�oo.000 s�aoo.000 ssoo,000 s�oo,000 ssoo,000 saoo,000 ��.� �� * �,�s � � � � �� . �.� ��y �Qs � �°� d�'� �'� �`O Source: State Treasurer's Office, Division of Investments , � ii Summary Of Investment and Earnings Fiscal Year Ending June 30, 1989 through 1998 ($In Thousands) INVESTMENT IN SECURITIES INVESTMENT IN TIME DEPOSITS Average Darily Earnings Average Dai[y Earnings iscal Year Invesement Earnin s Rate % iscal Year lnvestment Earnin s Rate % 1988/89 16,815,248 1,455,984 8.66 1988/89 631,843 56,771 8.89 1989/90 18,922,361 1,636,479 8.65 1989/90 636,415 56,426 8.87 1990/91 20,378,158 1,632,115 8.01 1990/91 339,403 28,234 832 1991/92 20,322,527 1,259,654 6.20 1991/92 131,362 6,817 5.19 1992/93 21,499,605 1,013,606 4.71 1992/93 139,146 4,977 3.58 1993/94 24,322,849 1,068,915 4.39 1993/94 107,647 3,700 3.44 1994/95 26,468,520 1,465,018 5.53 1994/95 217,522 12,218 5.62 1995/96 25,3b'_.783 1,448,002 5.71 1995/96 351,060 19,416 5.53 1996/97 27,67d,553 1,550,599 5.60 1996/97 419,648 22,376 5.33 1997/98 28,034,192 1,601,603 5.70 1997/98 1,076,268 57,452 5.34 Average Daily Investments Average Daily Investments In Securities ►n Time DeposiGs (S In Millionsl (S In Millions) SJ0,000 51�200 51.000 515,000 SBaO 510,000 SbUO SaoO SI5,000 E200 EI0,000 SO �9 �0 qA1 Y '� ? '�q5 �Io 4 9 �_��qq♦ 'Y '� �'w.q 6 qb '� � 1qg� 1qg9 `_�v \°��`�'l�`�'�`.nv. 1°�t�',�,°I�1� ,9�,9�9�,�s ,9q�,9�'11�,9��,9' ��5� `9'ia°j,q°�� y' q• q� q. Souree: Sta[e Treasurer's Office, Division of Investments. iL ^ Summary Of Investment and Earnings Fiscal Year Ending June 30, 1989 through 1998 ($In Thousands) LOANS TO GENERAL FUND TOTAL INVESTMENTS Average Daily Earnings Average Daily Earnings iscal Year lnveshnent Earnin s Rate % iscal Year /nveshnent Earnin s Rate % 1988/89 49,314 4,012 8.13 1988/89 17,496,405 1.516,767 8.67 1989/90 - - 0.00 1989/90 19,558,775 1,692,905 8.66 1990/91 37,333 2,791 7.48 1990/91 20,754,895 1,663,140 8.01 1991/92 1,002,544 63,005 6.28 1991/92 21,456,433 1,329,476 6.20 1992/93 1,412,792 66,543 4.71 1992193 23,051,543 1,085,126 4.71 1993/94 1,002,582 43,045 4.29 1993194 25,433,078 1,115,660 439 1994l95 116,081 5,338 4.60 1994/95 26,802,123 1,482,574 5.53 1995/96 909,353 51,602 5.67 1995/96 26,623,196 1,519,020 5.71 1996/97 169,868 9,468 5.57 1996/97 28,264,069 1,582,443 5.60 1997/98 234,052 13,327 5.69 1997l98 29,344,512 1,672,382 5.70 s��bpp Loans To 1'he General Fund Average Daily Total Investments (S In Millions) �S�app (S lo Millions) f1,400 51.200 ��'� E1,000 . 57s,000 E80o seoo uo,000 Saoo 515,000 $200 � E1o,000 1q�q �p �,� �ti q� e ,,{�\°e 9 �,p �1�� ti �q� � �� q�q �� 1�1 �q9a 194��°P��1°�' 19��q�p 1°�' ��1°�ry 1°P� 1�� y Source: State Treasurer's Office,Division of Investments. , 13 Financial Community Coverage The lollowing firms conducted investmeM transactions with the SYate Treasurers Olfice during the 1997-98 Fiscal Year. American Express Goldman Sachs 8c Company Artemis Capital Group Grand National Bank Associates Co�p. of North America Heller Financial Company Aubrey Lanston Household Fnance Corp. BA Securities HSBC Secwities Inc. Bank of Canton Imperial Bank Bank of Commerce J. P. MorQan Securities,Inc. Bank of Montreal Kin�s River State Bank Bank of Nova Scotia Lehman Bro[hers Baak of Petaluma Mellon Bank Bank of the West Merrill Lynch Capital Mazkets Bank of Tokyo-Mitsubishi Mesirow Financial,Inc. Barclays de Zoete Webb Securities MorRan Stanley&Company,Inc. Bay Bank Commerce NationsBank Beaz, Steams&Company Inc. Nesbitt Burns Securities Inc Borel Bank and Trust Nikko Securities Company BT Securities North State NB Canadian Imperial Bank of Commerce North Valley$ank Cantor-Fitzgerald Securities Corp Oak Valley Community Bank Chapman Company Oceanic Bank China Trust Bank Paine Webber Citizens Business Bank Paribas Corporation Ciry National Bank Pomona First Federal Bank&Trust Coast Commercial BaY�k Preferred Banlc Community Bank Prudential Securities ConARra, Inc. Redwood Securities Group Inc Continental Pacific Banlc River City NB Credit AQricole Robert Van Securities CS FirsGBoston Cotp. Royal Bank of Canada Dean Witter Reynolds Inc. Salomon Inc. Delta NB San Diego Federal Bank Deutsche Bank Securities Coip. Santa Bazbara I3ank East West Bank Sanwa Bank of Califomia Euro Brokers Maxcor Inc. Sanwa BGK Securities Everen Securities, Inc. Seazs Rcebuck Acceptance Corp. FB San Luis Obispo Smith Barney Shearson Inc. First ChicaRo Capitai Mazkets South Bay Bank First Southwest Company Southem Califomia Bank Ford Motor Credit Company Speaz, Leeds and KeI1o�R Fuji Securities, Inc. Sunwest Bank Gazdner Rich &CompanY Transpacific Bank Garvin Guy Butler Corp. Tri Counties Bank General Bank Union Bank, of California General Electric Capital Corp. Westamerica Bank General Motors Acceptance Corp. Westdeutsche Landesbank Glendale Federal Bank Westem Sierra Bank Golden Gate Securities Zions Bancoiporation ia Surplus Money Investment Fund The Surplus Money Investment Fund consists of the availab]e cash of all special funds which do not have investment authority of their own; and all or a portion of the available cash of special funds having investment authority of their own, but which have elected to be included in the program. Cash balances in excess of needs in any of these participating funds aze invested by the State Treasurer. The Pooled Money Investment Boazd is responsible for determining whether any cash balances of the participating funds are in excess of current needs and available for investment, or whether it is necessazy to liquidate previous investments to meet current requirements. This determination is operationally performed by the State Controller's Office by means of a continuing review of the cash balances of the participating funds. As a result of these determinations, the State Controller prepazes a document for the Pooled Money Investment Board's approval which authorizes the State Controller to increase or decrease the contribution balances of the applicable funds. All of the resources of the Surplus Money Investment Fund are invested through the Pooled Money Investment Accoun[. Prior to the 1967/68 fiscal yeaz, the Surplus Money Investment Fund was a separate investment program. In 1967, legislation was enacted (Chapter 505, Statutes 1967) which provided that money in the Surplus Money Investment Fund shall be invested through the Pooled Money Investment Account. This legislation further provided that the Surplus Money Investment Fund would shaze in the interest eamings of the Pooled Money Investment Account based on the ratio that the dollar-day contributions of the Surplus Money Investment Fund bear to the dollaz-day investments of the Pooled Money Investment Account. This legislation increased the potential investment eamings for both programs, since their high and low resource periods tend to complement each other. Consequendy, under normal market conditions, more long-term, higher yielding securities may be purchased. Earnings for 1997/98 Gross earnings totaled $758,127,625 for the 1997/98 fiscal year. This represents an eaming rate 5.70 percent for this investment program. SMIF earnings are computed on a dollar-day basis to guarantee equitable distribution among all member funds. An apportionment of the eamings is made by the Controller twice yearly as of December 31 and June 30. 15 .. _. ,. - ..- � , z,, ,,,. ��' �' �� : ��.. �;� � � � .�.,, � � v , �;� �� K 3 � y�: 4 � 7 `. 1'�.' �� "P z'r }'. s.r k�n �y L� �Y ��{ �. fNF � ru_;f.. .X; 7� r.t.. 3 � � l;��ji h ��p � � Source: State Treasurer's Office,Division of Cash Management Participation One thousand one hundred eighty-one special funds and accounts were participating in the Surplus Money Investment Fund as of the last day of the fiscal year, June 30, 1998. TheiE combined deposits totaled $14,152,271,000. Large contributors as of 7une 30, 1998 were the: State Highway Account, $],431,708,000; Unemployment Compensation Disabiliry Fund, �1,081,990,000; Public Buildings Construction Fund, $547,610,000; Public Employee's Re[irement Fund, $374,333,000; Compensation Insurance Fund, $373,947,000; Vets Farm/Home Building Act 1943, $318,768,000; Teachers Retirement System, $258,402,000. Monthly deposit balances are shown in the following table: r -� -- - -�- - - -- __ __. _ __ �Y•,� � � 3V(:��} •6� 1� . . ; LJ 1.,��..� M, e A�. . . ' I r�' �2 P �Yd %, . �,� ,_ .�. . . � �i.l . . .. . .. ' �'� 8 U h l'dn � 1 ". { � ' - ' . , � 1 .� . i i ly x�{ � ��o� "u' ,�S . . � 1 . � . � ' . . . . . � �' .'��. �• e� ( �rt . 'illllici[_:. �,ti IIU4 ....y'4+ � .. . � {'♦: . .. . . . k, . . . . � .,y 3r 'I t � y � ki4 '�1 Y�� bl4,r.u/t.�Y I`i " . . r� j�31�(':v} ,��'IYZ'-� � ht� V1Vi � t - . .. . . .,. . . . . .' �� 'qt✓ $Y'f�i'�`I�.. .%..w ,. .. . .. . . . . . ., . . . .1CIdf, i : 1 k6��:#ielxawn ;. � i;;� � ,;��a4-;ry'�r �j }S_ � .� h . . � . . 'f ��,��r�i%�a . . "+� ' � . � _ .. . .. . iV�fit'� ati 1�`�f�".�`1'�,„,iil°,''�.�b. � .�+,3�N�� 'a�`'` �a�e i`�.�a�. � � _ J',§�(u;6?�'' � ^ad`�iii�i ��_ , s� `�_ r i��;d'l,y+'1 - ` � . £�le�^�+q'��e�'*' :!a`t ' 0�(�@� � k,�y� �}4 ` . . . . .. ' ".�9•,q K Yl �MI �" �.� �: � 3 ��F.u.� EG��,410 � � .`< °�,J,�7 + ' " �� :'�X �tX�+-Y� e.. . u" ,. . h h$'.k@ rw a J��j .�� ^` aa '�� ' � . ,' � . ' ��Y-�—�-'"�'"a° �`••, i �:,, .. .,. _ E .:{. ,s} qi+;'1t�.,„ �y �m� ,:� »:.r a... �. +�'i�' �� '�Z sX��'- "i� . .,- ° r .��xr S.�' iP�# xr.'�rs`3 �.tifi01� ^�'`w.„'� a:. ,�„r t:;��.:,� .i. .wv. ,��::-;�-i.. i � i • � � � � � � ' � � � � � i i � . 111 111 I 111 111 ♦ ♦ � _ _ _ 17 Local Agency Investment Fund The Local Agency Investment Fund was established by Chapter 730, Statutes of 1976. This fund enables local govemmental agencies or trustees to remit money not required for immediate needs to the State Treasurer for the purpose of investment. In order to derive the maximum rate of return possible, the State Treasurer has elected to invest these monies with State monies as a part of the Pooled Money Investment Account. Each participating agency de[ermines the length of time its money will be on deposit with the State Treasurer with the exception of bond proceeds, which must remain for a minimum of 30 days. At the end of each calendar quarter, all earnings derived from investments are distributed by the State Controller to the participating government agencies in proportion to each agency's respective amounts deposited in the Fund and the length of time such amounts remained therein. Prior to the distribution, the State's reasonable costs of administering this program aze deducted from the eamings. Earnings for 1997/98 Gross earnings for fiscal yeaz 1997/98 totaled $629,303,620. This represented a 5.70 percent yield for this investment program. Participation As of June' 30, 1998, there were 2,582 participants in the Local Agency Investment Fund consisting of 53 counties, 461 cities, 1,790 special districts, 149 crustees and 129 bond accounts. Deposits in the fund averaged $11.042 billion for the, yeaz. Source:State Treasurer's Office.Division of]nvestments(LAIF) The following table shows monthly resources of the Local Agency Investment Fund during the 1997/98 fiscal year. 18 Resources of The Local Agency Investment Fund : 1997/98 Fiscal Year(Month-End Balances) ($In Thousands) 512,500,000 511,000,000 59,500,000 ,1'� o� e�5 �,�,c t �} � �,O � � o ' P� Sc4� � �,o°`� �fi'`m �'�� `� �+ eA S� S's� Source: State TreasurePs Oflice,Division of Inves[ments(LAIF) 19 Appendix A POOLED MONEY INVESTMENT ACCOUNT SUMMARY OF INVESTMENTS AND EARNINGS FISCAL YEARS ENDING JUNE 30, I958 through I998 ($ !n Thousands) 1957-58 $ 594,306 $ 16.421 2.76 1958-59 544,868 t5,762 2.89 1959-60 614,835 21,045 3.42 1960-61 736,204 28,139 3.82 3.23 1961-62 867,144 26,521 3.06 3.19 1962-63 910,863 30.548 335 3.31 1963-64 896,535 32,519 3.63 3.46 1964-65 966,592 38,004 3.93 3.56 1965-66 1,083,347 47,761 4A1 3.68 3.48 1966-67 1,057,800 52,540 4.97 4.06 3.62 1967-68 1,117,717 56,566 5.06 4.40 3.85 1968-69 1,301,302 78,174 6.01 4.88 4.17 1969•70 1,216,414 84,781 6.97 5.48 4.52 1970-71 1,264,894 77,527 6.13 5.83 4.75 4.32 1971-72 1,397,464 68,350 4.89 5.81 4.93 4.35 1972-73 2,254,401 125,116 5.55 5.91 5.15 4.54 1973-74 2,594,629 232,780 8.97 6.50 5.69 4.94 1974-75 2,749,431 236,298 8.67 6.84 6.16 5.29 1975-76 3,209,143 204,303 6.37 6.89 6.36 5.46 1976-77 4,4Y0,487 261,657 5.87 7.08 6.45 5.65 1977-78 6,843,940 458,625 6.70 731 6.61 5.87 1978-79 8,123,266 692,417 8.52 7.22 6.86 6.20 1979-80 8,285,941 873,469 10.54 7.60 7.22 6.64 1980•S1 7,298,693 786,877 10.78 8.48 7.69 7.07 1981-82 5,234,524 631,968 12.07 9.72 8.40 7.54 198�2-83 5,254.589 Sa9,229 10.45 10.47 8.89 7.90 1983-84 7,094,849 738,462 10.41 10.85 9.04 8.19 1984-85 11,903,660 1,275,503 10.72 10.89 914 8.44 1985-86 15,438,406 1,401,990 9.08 10.55 9.51 8.64 1986-87 19,167,196 1,425,047 7.43 9.62 9.67 8.81 1987-88 17,628,558 1.,388,074 7,87 9.10 9.79 8.96 1988-89 17,496,405 1,516,767 8.67 SJS 9.80 8.94 1989-90 19,558,775 1,692,905 8.66 8.34 9.61 8.94 1990-91 20,754,895 1,663,140 8.01 8.13 934 9.05 1991-92 21,456,433 1,329,476 6.20 7.88 8.75 9.07 1992-93 23,051,543 1,085,126 4.71 7.25 8.18 8.94 1993-94 25,433,078 1,115,660 439 6.39 7.57 8.67 1994-95 26,802,123 1,482,574 5.53 5.77 7.05 833 1995-96 26,623,196 1,519,020 5.71 531 6.72 7.99 1996-97 28,264,069 1,582.443 5.60 5.19 6.53 7.56 1997-98 29344.512 1.672382 SJO 538 632 725 Sour<e: The avengc investmem por[folio,earnings and annual<arnings rate wert taken from ihe published Annuaf Rronn u(thr Pnuled Mnnr.�Im�eermenr Baard for each fiscal vear. Please see�he followin¢no�e. 20 NOTE TO PMIA SUMMARY OF INVESTMENTS A1VD EARNINGS TABLE The Pooled Money Investment Board was established as an agency of State government by Chapter 1703, Statutes of 1955, and became operational in April 1956. The 1956-57 fiscal year was the first full year for the Pooled Money Investment Account (PMIA). In 1957-58, the Surplus Money Investment Fund (SMIF) and the Condemnation Deposits Fund (CDF) were placed under the administration of the PMIB. Separate investment poRfolios were managed for these two funds for a number of years. SMIF operated this way until the 1967-68 fiscal year, when legislation allowed this fund to be invested as a part of the PMIA. The CbF continued as a separate inves[ment portfolio until 1975, when it also was combined with the PMIA. In order to make data for the early years in the table comparable to the later years (1975-76 and after), the average daily investment and the annual earnings for both SMIF and CDF were combined with those for the PMIA. The earning rates for these early years were computed using these combined figures. ll HISTORICAL PNIIA YIELDS (Yield In Percent Per Annum) � �;_, , f'�.il: M. v 'FN�AS 'aD �✓. Jan-77 5.77 Feb-77 5.66 Mar-77 5.66 5.68 Apr-77 5.65 May-77 5.76 Jun-77 5.85 5.87 5.78 5.79 Jul-77 5.93 Aug-77 6.05 Sep-77 6.09 5.84 Oct-77 639 Nov-77 6.61 Dec-77 6.73 6.45 6.18 Jan-78 6.92 Feb-'l8 7.05 Mar-78 7.1,4 6.97 Apr-78 7.27 May-78 7.39 Jun-78 7.57 6.70 7.35 7.17 Jul-78 7.65 Aug-78 7.82 Sep-78 7.87 7.86 Oct-78 8.11 Nov-78 8.29 Dec-78 8.77 8.32 8.09 Jan-79 8.78 Feb-79 8.90 Mar-79 8.82 8.81 Apr-79 9.08 May-79 9.05 Jun-79 9.22 8.52 9.10 8.98 Jul-79 9.20 Aug-79 9.53 Sep-79 9.26 9.26 Oct-79 9.81 Nov-79 10.22 Dec-79 10.22 10.06 9.66 x2 _ HISTORICAL PMIA YIELDS (Continued) (Yield In Percent Per Annum) Jan-80 10.98 Feb-80 11.25 Mar-S(1 11.49 11.11 Apr-SO 11.48 May-SO 12.02 Jun-80 11.80 10.54 11.54 11.38 Ju�-8o 10.21 Aug-80 9.87 Sep-80 9.95 10.01 Oct-80 10.06 Nov-80 10.43 Dec-80 10.96 10.47 10.21 Jan-81 10.99 Feb-Sl 11.69 Mar-81 11.13 ; 11.23 Apr-81 11.48 May-81 12.18 Jun-81 11.44 10.78 11.68 11.69 Jul-81 12.35 Aug-81 12.84 Sep-81 12.06 12.40 Oct-81 12.40 Nov-81 11.89 Dec-81 11.48 11.91 12.19 J�-g2 11.68 Feb-S2 12.04 Mar-82 11.84 11.82 Apr-82 11.77 N1aY-82 12.27 Jun-82 11.99 12.07 11.99 11.93 Jul-82 12.24 , Aug-82 11.91 Sep-82 11.15 11.74 Oct-82 11.11 Nov-82 10.70 Dec-82 10.40 10.71 � 11.26 23 HISTORICAL PMIA YIELDS (Continued.) (Yield In Percent Per Annum) _ �� Jan-83 10.25 Feb-83 9.89 Mar-83 9.69 9.87 Apr-83 9.87 May-83 9.53 Jun-83 9.60 10.45 9.64 9.98 Jul-83 9.88 Aug-83 10.08 Sep-83 10.20 10.04 Oct-83 10.18 Nov-83 10.16 Dec-83 10.23 10.18 10.15 Jan-84 1031 Feb-84 10.28 Mar-84 10.38 10.32 Apr-84 10.59 May-84 10.84 Jun-84 11.12 10.41 10.88 10.63 Jtil-84 11.36 Aug,84 11.56 Sep-84 11.60 ll.53 Oct-84 11.68 Nov-84 11.47 Dec-84 11.02 11.41 11.44 Jan-85 10.58 Feb-85 10.29 Mar-85 10.12 1032 Apr-85 10.03 May-85 10.18 Jun-85 9.74 10.72 9.98 10.19 Ju1-85 9.66 Aug-85 9.42 Sep-85 9.57 9.54 Oct-85 9.48 Nov85 9.49 Dec-85 937 9.43 9.50 24 HISTORICAL PNIIA YIELDS (Continued) (Yield In Percent Per Annum) 2, Jan-86 9.25 Feb-86 9.09 Mar-86 8.96 9.09 Apr-86 8.62 MaY-86 837 Jun-86 8.23 9.08 8.39 8.70 J�-86 s.14 Aug-86 7.84 Sep-86 7.51 7.81 Oct-86 7.59 Nov-86 7.43 �-� 7.� 7.48 7.65 Jan-87 737 Feb-87 7.16 Mar-87 7.21 ,• 7.24 Apr-87 7.04 MaY-87 7.29 Jun-87 7.29 7.44 7.21 7.23 Jul-87 7.46 Aug-87 � 7.56 Sep-87 7.71 7.54 Oct-87 7.83 Nov-87 8.12 Dec-87 8.07 7.97 7.80 Jan-ss s.og Feb-88 8.05 Mar-88 7.95 8.01 Apr-88 7.94 MaY-88 7.82 Jun-88 7.93 7.87 7.87 7.95 Jui-88 8.09 Aug-88 8.25 Sep-S8 834 8.20 Oct-88 8.40 Nov-88 8.47 Dec-88 8.56 8.45 834 25 HISTORICAL PMIA Y�LDS (Continued) (Yield In Percent Per Annum) Jan-89 8.70 Feb-89 8.77 Mar-89 8.87 8.76 Apr-89 8.99 May-89 9.23 Jun-89 9.20 8.67 9.13 8.97 Jul-89 9.06 Aug-89 8.83 SeP-89 8.80 8.87 Oct-89 8.77 Nov-89 8.69 Dec-89 8.65 8.68 8.78 Jan-90 8.57 Feb-90 8.54 Mar-90 8.51 8.52 Apr-90 8.50 May-90 8.53 Jun-90 8.54 8.66 8.50 8.52 Jul-90 8.52 Aug-90 838 Sep-90 8.33 8.39 Oct-90 832 Nov-90 8.27 Dec-90 8.28 8.27 8.34 Jan-91 8.16 Feb-91 8.00 Mar-91 7.78 7.97 Apr-91 7.67 May-91 737 Jun-91 7.17 8.01 738 7.67 Jul-91 7.10 Aug-91 7.07 Sep-91 6.86 7.00 Oct-91 6J2 Nov-91 6.59 Dec-91 632 6.52 6.74 26 HISTORICAL PMIA Y�LDS (Continued) (Yield In Percent Per Annum) ,�A � �`t X��' � -#; ~ -", '„ ; �� s �� "5�� x. � �;��'}u��`MO g�� '�� - ,�` � DAT�:' A�`(�E.`,';� ,�, ��-_ �«l � � . Jan-92 6.12 Feb-92 5.86 Mar-92 5.68 5.87 Apr-92 5.69 May-92 5.38 Jun-92 5.32 6.20 5.45 5.65 Ju1-92 s.2a Aug-92 4.96 Sep-92 4.76 4.97 Oct-92 4.73 Nov-92 4.66 Dec-92 4.65 4.67 4.82 Jan-93 4.68 Feb-93 4.65 Mar-93 4.62 4.64 Apr-93 4.61 ' May-93 4.43 Jun-93 4.55 4.71 4.51 4.61 Ju1-93 4.44 Aug-93 4.47 Sep-9 4.43 4,qq Oct-93 4.38 Nov-93 437 Dec-93 438 4.36 4.39 Jan-94 4.36 Feb-94 4.18 Mar-94 4.25 4.25 Apr-94 433 May-94 4.43 Jun-94 4.62 4.39 4.45 4.36 Jul-94 4.82 Aug-94 4.99 Sep-94 5.11 4.96 Oct-94 5.24 Nov-94 5.38 Dec-94 5.53 5.37 5.15 27 HISTORICAL PMIA "YIELDS (Continued) (Yield In Percent Per Annum) Jan-95 5.61 Feb-95 5.78 Mar-95 5.93 5.76 Apr-95 5.96 May-95 6.01 Jun-95 6.00 5.53 5.98 5.87 J�1-95 5.97 Aag-95 5.91 Sep-95 5.83 5.89 Oct-95 5.78 Nov-95 5.81 Dec-95 5.75 5.76 5.83 Jan-96 5.70 Feb-96 5.64 Mar-96 5.56 5.62 Apr-96 5.54 May-96 5.50 J�-� 5.55 5.71 5.52 5.56 Ju1-96 5.59 Aug 96 5.57 Sep-96 5.60 5.57 Oct-96 5.60 Nov-96 5.60 Dec-96 5.57 5.58 5.57 Jan-97 5.58 Feb-97 5.58 Mar-97 5.58 5.56 Apr-97 5.61 May-97 5.63 Jun-9'1 5.67 5.59 5.63 5.59 Ju1-9'1 5.68 Aug-97 5.69 Sep-97 5.71 5.68 Oct-97 5.71 Nov-97 5.72 Dec-97 5.74 5.71 5.69 28 HISTORICAL PMIA YIELDS (Continued) (Yield In Percent Per Annum) �" 1":� 'a�k .Y :P': Wkm.-� 16tY1 '}�.^�� h '. �i'�Y`s' C7'�Miitrb[:�?fsP` .vAh . : i.';Fr^ 4 �4 �' �� :r� � Jan-98 5.74 Feb-98 5.72 Mar-98 5.68 5.70 Apr-98 5.67 May-98 5.67 un-98 5.67 5.70 5.66 5.67 The State Treasurer's Office complies with the Americans With Disabilities Act (ADA). If you need additional information or assistance, please contact the State Treasurer's Pooled Money Investment Board at (916) 653-2917. � , '_ 'a��P«f � . v n � � � � ,� �� f � � � t � � �, m pW„ r s � ��. �v q w g i � �. •X i 9 n+fJ ' .-, �o u D :,�: o. � � � '" c w w . "J a �Y+ . O G L� e�t ;'p*"�g fC' .Y�ri1. �� ru e � Y «rt � y o�0 � "C � a0 `� J i i �� C i. � .� � ��,r�rr�(r�u _ a � �A �� .� a � � 9 � �3 .�r x � U � iiOE a `�'�.�`. 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Q o � � m O� q �y C p7. :Js' ,�° .�'+ 7 m ��W G � 7 C7 �G U U� �a � r ii N 0 � _ ..{r 'id �' .a`� V .a;rn a .Ca � 9 �' m 3 7 Q a 'a; v t-i � � Q O � � � �.:� � � �:a �.� ::� G .Q � d .X K a .k. � a ..._ eQ'. �'d, �..vr F ..7 a� W� ai'.: 1Q F� � W a°. C7 a�. at0. U a O w 'z .. PALM DESERT REDEVELOPMENT 'NCY ^ , COMBINED STATEMENT OF AC i...�L . REVENUES 8 EXPENDITURES COMPARED TO BUDGET 28-Fab-99 RDA RDA °/a of (FAV)UNFAV Budget YTD Budget Actua� YTD Budget Variance REVENUES 1 Tax increment 31,312,423 20,874,949 14,267,201 68.35°� 6,607,748 2lnterest 1,886,400 1,257,600 2,313,357 183.95°k (1,055,757) Sales of Property 285,050 0.00% (285,050) 3 Reimbursement From Other Agencies 800,000 533,333 245,119 45.96% 288,214 3 ONer Revenue 64,000 42,667 84,918 199.03% (42,252) 3 Transfers In 462,000 308,000 7,444,155 2416.93% (7,136,155) 4 PalmDesertHousingAuthoriryRevenue 3,198,191 2,132,t27 1,700,530 79.76% 431,597 TOTALREVENUES 37,723,014 25,148,676 26,340,329 (1,191,653) FAV(UNFAV) EXPENDITURES Variance Administrative Costs 1,223,797 815,865 613,915 7525% 201,950 Professional Services 2,501,004 1,667,336 445,764 26.74°/a 1,221,572 Property Tax Administrative Fee 812,290 541,527 480,816 88.79% 60,711 Cost of Inventory Sold Capital Outlay ' Office Equipment 36,000 24,000 19,698 82.07% 4,302 Deep Canyon/Hwy 111 4,099 2,733 0.00% 2,733 Parking Spaces 16,000,000 10,666,667 0.00% 10,666,667 I-101nterchanges 250,000 250,000 250,000 100.00% Joni Drive Extension 250,000 166,667 0.00%a 166,667 Desert Willow-Mountain View Course 24,774,435 16,516,290 1,493,309 9.04% 15,022,981 Desert�Ilow-Firecliff Course 11,666,905 7,777,937 1,056,677 13.59°/ 6,721,259 Washington Street Improvements 300,000 200,000 0.00% 200,000 Fred Waring Improvements 435,000 290,000 0.00% 290,000 � Project Area 4 Perimeter Landscape 374,000 249,333 0.00% 249,333 SVeet Improvements 428,255 285,503 0.00% 285,503 Storm Drain Improvements 2,200,000 1,466,667 0.00% 1,466,667 Desert Crossing Improvements 43,450 28,967 0.00°/ 28,967 Hwy 711/74 Improvements 175,000 0.00% (175,000) 0.00% HOUSING 0.00% New Houses-for Resale HIP#7 786,165 524,110 198,739 37.92% 325,371 Home Improvement Program 1-6 70,056 46,704 14,600 32,104 Santa Rosa Rehab Prog2m 568,818 379,212 300,041 79.12% 79,171 5 Desert Rose Project 199.000 132,667 294,765 222.18% (162,099) 5 PortolaPalmsProject 105,326 70,217 190,098 (1�9,881) Land Purchases/Bldg Improvements 340,350 226,900 0.00% 226,900 Palm Desert Housing Authoriry Expenditures 4,758,403 3,172,269 1,026,374 32.35% 2,145,894 DeGine in Value on Inventory Held For Resale Payments to Other Govemmental Agencies 7,270,900 4,847,267 949,320 19.58% 3,897,947 Bond Issuance Costs Bond Discount (13200) 13,200 6lnterestAndFisC3lCharges 12,801,112 8,534,075 5,271,790 61.77% 3,262,284 6 Pnncipal PaymenLs 1,325,000 883,333 5,786,456 655.07% (4,903,122) Transfers Out Including Low/Mod 14,674,296 9,782,864 8,251,276 84.34% 1,531,588 TOTAL EXPENDITURES 104,198,661 69,549,107 26,805,439 42,743,668 'TAX INCREMENT REVENUE IS USED TO PAY DEBT. 1. 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O � 7 .� M�� O J� � N � N ��S�N N A (C��O M A N O.Y � . � � � � �^!1 Q V W m� .N O � N�tO � O N N A (O..M V t0 V N �� lq . � � � � 6 V �� . � �� . . � �D N�'� (V.�. . . .. � ��.� F � N W U N d C G �E N O � U � � N L � Q a H Q ii � 0 > � � � E °J c�i y y w � U o m c E y w i r � � S9 � E � °' m a oEi m Q' 7 m � w 5 0 � 3 0 � � > > > m H f E 7 '� H p � � w N O � v d w � E Q ° t p o z � � :c wd � � ii �' aaEarna � U Z c�j m LL w o " E y E c c� c"' in E a > E c E d � c W .6 y c ai y�j U a2i Q o e' �O. n m W o o c m ` o � o a � � m d X N C n N � R' tlJ iN x c m vCy � N '_ o : nm C '� � LL E.� W LL N O E y c J y� a N m N � W A Oi« c 3 3 c � Q l c 0` U ' m O V N � J y a n d n Q � a O ~ = n� � � m m t 3 d d E u�i � � Y3 a °' � < O °� W � vma � y0 � chdo �ylE �i `m � oww � � �� Sd � a dinad O Z �x m d E d c �- p �E o o y aO � a - -� oo3LLainmox � E � '� � � � F - NKOH aaaac� ci � a = a � w x rc w City of Palm Desert Parkview Office Complex . Income Statement For Febmary 1999 Februery-99 Febntery-99 It % YTD YI'D N % Bud et Actual Variance Variance Bud et Actual Variance Variance Revenues Rental $ `�,`� $ 58,968 $ 68 10012% $ 471,200 $ 484,741 $ 13,541 102.87� Dividends/Interest $ 1,200 $ 3,144 $ 1,944 262.02% $ 9,600 $ 22,452 $ 12,852 233.88% TotalRevenues $ 60,100 $ 62,112 $ 2,012 103.35% $ 480,800 $ 507,193 $ 26,393 105.49% Expenses Professional-AccountingkAuditing $ 3,700 $ 5,161 $ (1,461) 139.49% $ 29,600 $ 41,288 $ (11,688) 139.99% Professionel-ManagementFee $ 5,500 $ 5,565 $ (65) 101.18% $ 44,000 $ 53,304 $ (9,304) 12115°k Tenantlmprovements $ 5,800 $ 1,150 $ 4,650 19.83% $ 46,400 $ 7,760 $ 38,640 16.72� Repe'vs k Maintenance Building $ 9,100 $ 6,100 $ 3,000 67.03% $ 72,800 $ 41,590 $ 31,210 57.13% Repa"vs&Maintenance-Iandscaping $ 1,079 $ - $ 1,079 0.00% $ 8,632 $ - $ 8,632 0.00% UtiliHes-Water $ 250 $ 95 $ 155 38.09% $ 2,000 $ 712 $ 1,288 35.60% Utilities-0as/Electric $ 4,300 $ 4,462 $ (162) 10376% $ 38,900 $ 35,132 $ 3,768 90.31% UtiliHes-Trash $ 450 $ 464 $ (14) 10310% $ 3,600 $ 4,436 $ (836) 12322% Telephone $ 150 $ 307 $ 43 71.49% $ 1,200 $ 1,195 $ 5 99.SSh Insurance $ 521 $ - $ 521 0.00% $ 4,166 $ - $ 4,166 0.00% TotalExpenses $ 30,850 $ 23,104 $ 7,746 74.89% . $ 251,298 $ 185,417 $ 65,881 73.78% Invesr,t999-Invesc Parkview Office Complex Vacancy Rate Schedule by Suite February 1999 Suite Square No. Tenant Feet 73-710 Fred Waring Drive-Two (2) Story Building 100 Hanover 2,560 102 Bergren 1,360 103 Multiple Sclerosis 488 104 Arthritis Foundation 960 106 Vacant 928 108 Senator Kelly 785 112 Assemblyman Battin 1,406 114 Chamber of Commerce 1,478 118 Vacant 1,250 119 City/CVAG Conference Room 1,380 120 Goff Dimensions 1,750 200 CVAG 4,292 200A Vacant 841 201 U.S. District Court 604 203 Accounting Services 480 205 Coachella Valley Economic Partnership 700 208 Ferguson&Bernheimer 960 210 Wilson,PesoW&Pichardo 3,040 211 Alzheimer's Association 937 217 Mcmillan 775 ImesqVacancy Report Parkview Office Complex Vacancy Rate Schedule by Suite February 1999 Suite Square No. Tenant Feet 220 Vacant(Currently negotiating with the 1,607 CA.State Dept.of Agriculture) 222 WMA Securities 2,981 Total square footage(2 story Building) 31,562 Vacancy Rate----4,626/31562=14.65% 73-720 Fred Waring Drive-One Story Building 100 State of California-Water Resources 15,233 102 Vacant(Received a lease agreement from the State of CA Rehabilitation Dept) 4,396 Total Square Footage 19,629 Vacancy Rate---4,396/19,629=22.4% Overall Vacancy Rate for Both Buildings: Vacancy Rate--9,022/51,191= 17.62 °� Invest;Vacancy Report City of Palm Desert � Dexrt Wfllow HudQet Va Actual For tha moath of February 1999 Budgeted Actual Budgeted Actual February February S Percentage Yeu to Year W S Percenlagc Revenue 1999 1999 Variance Variance Date Date Variance Variance Course&Ground $ 687,630 S 705.827 S 18,197 102.65T S 2,704,601 S 2,484,328 $ (220,273) 91.8696 Carts S 30,319 S 28,126 S (2,191) 92.77% E 125,756 S 109,810 S p5,946) 8732% GolfShop S 61,050 5 64,899 S 3,839 ]06.29% $ 267.050 E 271,Ot7 ,5 (16,033) 94.41% Range S 3,112 E 2,095 S (1,017) 67.32% $ 14,123 S 7,779 5 (6.344) 55.08% Faod&Bevenge $ 62,234 5 50,166 S Q2,068) SObI% $ 262,416 $ 226,046 $ (56,370) 80.04% Interes[Inwme S 1,500 E 891 S (609) 59.40% E 12,000 $ 9,2b0 $ (2,740) 77.17% TotalRavmues $ 845843 S 851,994 S 6,151 100.73% S 3,425,946 $ 3,108,240 S 317,706 90.73% Payroll Perimtter Landscaping $ 9,085 $ 7,639 S 1,446 84.08% $ 72,680 $ G0,793 $ 11,887 83.6496 Prashop $ 10,539 5 12,771 $ (2,232) 121.18% � 66,513 $ 62,076 � 4,437 93.33% Cart 5 18,737 ,5 14,991 S 3,746 80A1% $ 117,841 $ 88,551 3 29,290 75.14% Course&Ground $ 100,515 S 102.106 E (1,591) ]01.58% S 673,016 $ 677,377 $ (4,361) 100.65% GolfOpentions $ 18,229 S 19,158 S (929) lO5.I0% S 127,08 $ 138,946 $ (11,923) 1093996 Genenl&Administntion 5 23.733 $ 19.319 E 4,414 81.4096 $ 187,898 S 154,041 3 33,857 81.98% Food&6everage $ 15,122 $ 14,113 S 1.009 93.33% S 114,943 $ 97,408 $ V,535 64,74% TotalPa II $ 195,960 $ 190,097 S 5,863 97.O1W� $ 1,35Q916 $ 1,279,194 $ 80,722 94.06% Other Eayenditures PerimeterLandscaping $ 4,900 $ 4,192 $ 708 85.55% $ 39,200 $ 29,310 $ 9,690 94.77% Proshop $ 2,900 $ 3,589 S (689) 123Jbk S 27,690 $ 30,977 $ (3,287) 111.87% Proshop-COGS S 30,561 $ 32,379 S p,818) 105.95% $ 153.700 $ 143,915 S 9,785 93.63% Cart $ 37,973 5 42,450 E (4,477) ]11J9% S 207,374 $ 201,831 S 5,543 9733% Course&Ground-NonhCourse $ 47,691 S 39,876 S 7,815 - 83b1% $ 521,39$ $ 442,2q2 $ 79,156 84.82% Course&Ground-South Course $ 46,485 $ 32,280 S 14,205 69.44% $ 267,695 $ 202,3I I $ 65,384 75.58% Course&Ground-Desert Pallet-N $ 4,200 S - 3 4,200 0.00% $ 34,000 a - $ 34,000 0.00% Couree&Ground-Desen PaOeo-S $ 2,775 S - $ 2,975 0.00% $ 22,470 $ - $ 22,470 0.00% GolfOpe�a[ions S 1,050 S 56 S 994 5.33% $ 23,140 $ 19,653 $ 3,487 84.93% Oenenl&Adrttinistration S 41,621 $ 52,452 S (10,831) 126.02% $ 338,407 $ 357,566 3 Q9,159) 105.66� Range S 5,250 S 408 S 4,842 7J7% $ 23,950 $ t3,784 $ IO,lbb 57.55% Food&Beverage $ 4,020 S 4,982 3 (9fi2) 123.93% $ 37,280 $ 46,604 5 (9.324) 125.01% Pood&Beverage WGS $ 21,782 5 24555 5 i,227 94.37T $ 98,846 $ 101,826 E (2.980) 103.01% Management Fee S 25,000 S 25,000 $ - 100.00% $ 156,250 S 164,943 $ (8,693) ]05.56% Financing/Lease $ 9,174 S 8,240 $ 934 89.82% $ 66,765 $ 64,169 S 2,596 96J1;6 Tota101herEx nditures 3 285,382 $ 266,459 $ 18.923 93.37% .S 2,018,165 $ 1,819,131 E 199.034 90.14% David Leadbeper Academy Leaming Center Revenues $ 60,000 $ 43,871 S p6.129) 73.12'.B S 225,000 $ 157,326 S (67,674) 6992% ReimbureementeroDavidLeadbetter $ (51,000) $ (37,290) S 13,710 73.12% § (191,250) 5 p33,626) S 57,624 69.87% Othe�6xpendimru $ (1,450) $ (1,37'n E 73 94.97R, $ p1,fi00) $ (11,015) S 585 94.96% Lwming Cencer Income p.oss) $ 7,550 $ 5,?A4 y (2,346) 68.93% S 22,150 $ 12,685 S (9,465) S 2.35 Netln<ome $ 372,051 $ 400 642 S 28,591 107.68% $ 70,015 $ 22,b00 S 47,415 32.26% Dw9899;Financial 5[a[ement � U � �� $'a$�'RRr� � g� � —�Qoe=r� �e 2 ' � i zc CmBa£8Ra � �m ' �_ 53S=rmAN � 8� � suzuxeeuzuepe ee �A=��9� �� ' _ i � '-_rm+�� ry c i � o� ��_-a=�s 4 s�3 _ g8� � om � 9 = a5 n��.,�� `� ---r T�' � �s� aa "�so�'oe < rE< m� � �Y� ce � � � V � wwcecewermpe �R p Ya vme_�nn « n sy; __,.�rv-_°�� '°�' A �..'s aMtrtlt�+'m8� � � mn�`v6'�':� � 1� Snm$Fm"5�i 6 �' ' __ `�'2 �^ =P8&� - 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B'9'��= $ p� . � i $�^A P P x& " _NaQN � g� N i� �; `.�� m U Ze o� 8888�nP�� i 0O rvvm�'W � 9� � . � . ��mN V �Q na�F � O�� < }� Z �m � i Z p ..[ftVtle 5m � Ooo�ry Ir- IR `.a �%m b 8o8�a�n� � � m�� gooe�vRn�q � �O� � R.� � �'Y'p4 � �00 �. � W'�9 ��a�rvP $ O � Z > F.°L > Nwceceww„ p 888m^o8= � � ooaB�Sr � ed 0008mms� _ � . � -:�� S p� eae� � i v �� i.2 �F� � C > TG� 7 V ' "��$� g� oo a��s".< $ ;n 0000"xr_."6 � �� . , '=s"� `o$ . . , "' y ^' ew �> spi -.,r� r g` ' ' Zg `ad �Z �� , �� _ Qi� , �m��a _ og 000r�N$m � A�� , "��$� a s" z � ��s �yz zs 'x n a n _ y � � � � E F 4 �c ` E .� �� E � � $g°� � 4 � $�$$ 9 4 F '�� ,� �` : Wi�,�g�� u _a��8��i u�' ;a��$�€�i u��' 3<�6g� �v". � 8 Ck9 of Pnlm Desert � Oe6erf Wilbw Three Mmth Cuh Rnern Amlyde ProjeMed Expenditures March April May Projected Expenditwes Pa roll S 181 584 E 182 444 S 166 129 5 530 157 1 4 40 "71 30 648 132 805 ratln 25 765 254 175 248 183 7 1 3 Totals 1 5 Cash Reserve Analysis One Mouth Thrce Months uired Reserve $ 502 835.W $ 1 425 OS5.00 Cazh on Hand $ 977,86G.07 3 977,866.07 Variance-Fawrable Unfavorable $ 475 031.09 S 447 218.93 Reconcillation o[ndjusted cash requiremeat . Reconciled Cash on hand 5 802,132.08 Add: Preopening&Grandopening Owed by the Ciry $ 20,23031 Preopening owed by the RDA $ 3,593.18 October Deficit Owed by Kemper S 72,619.86 � Perimecer(Cash Owed By Ciry of Palm Desen) $ 79,290.64 ° Adjusted Cash on Hand $ 977,866.07 Adjusted Reserve Requirement E 502,835.00 ' Adjusted Cuh S 475,031.07 i Represents operating deficit owed by Kemper Sports. 1 Represenrs 8896 of perimerer ezpendiwres[o da[e. 'Represents budgeted ezpendinves for Mazch 1999.Dces m[ [nclude interest on ciry loan. Includes only 12�, of the projected perimeter Iandscaping expendiNres. Dw9899;Cuh Com CU O �� O � Z Y A ❑ � � � � � 'O � �8 N � '�0 m � � N � � � em � M � � 3 � �F G o z m' " � � L� � � s �s � � � � � N � 3� �, m co 0 � � U > � F .� c � p � u e e 9 N � p `..1 z � F � m .� � � � � Z'v c � � � ci n s �'„ �'a N S a � uo o � �"! X � �'` � o ^ �i m � .�. V Q a� �j N � q � N N 00 � C W �� Q tll o v K �� z � $ � "a � � a _ � � � � 8 „ �y � w G �p Q� 7 a � �� (g PG � U b F ae .� �a y� � U Sp S O � �� F O {� � C N � y G C � QC ffi � W O � O1 � CO O � CD 0f f� � c') 01 M W fQ N l� N c0 O� cD O d� t� O tq iD M 00 O 1� CO N O � CO m f0 Q� O s� m n � n rn o � � o � N � y 000 f� NIO � � � N01 --� � � � W d' p d' N N ^ � � N ^� N CI PY Q N GJ �Y Q W u '� � u '� `� � o a, � � � o o a, „ � a°� �`ry ., � c°� °u � � �{y 6 � ~ � y � GL � 9 .�. � y+� O�C 'O � � � � a o cCc� y o m m �, ;3 � � � � M ¢ � 'A UJ 2�y ¢ U 4J 7 g �:] � � � 5 F � � q a � c�ic� `ayac� C F c°� c� �¢ c� �� ia" H �o 0 � � N V � � ~ O � � o Q V V � V � � � � � � w � A� A� � '� o u � � � U � � � � m q � � a '� �� o � a `° u o d E ~ � a�J � J 6 � w b � d a M � � ,f�.' o'� M yN�, C� Q� q � �° o� � y p � � � co �� E � v � ¢ a�' � $ � a � � r� 0. � � � � � � N � � N T r � p F U � � � G a � c c� � � � � PalmDesert Recreation Facilities'Corporatioa Iacome Statement Feb-99 Feb-99 p % Budget Actual Variance Variance Food & Beverage Revenucs $62,234 $50,166 ($12,068) 80.61% Total Revenues $62,234 $SQ166 ($12,068) 50.61% Salaries $15,122 $14,113 $1,009 93.33% Cost of Goods Sold-F&B $21,782 $20,555 $1,227 94.37% Food & Beverage Expense $4,020 $4,982 ($962) 123.93%a Total Expenses $40,924 $39,650 $1,274 96.89% Net Income (Loss) $21,310 $10,516 Note: The above revenues and expenditures are also included in the Desert Willow analysis. Dw9S99;PDRFC Hudget