HomeMy WebLinkAboutMinutes - Audit Investment and Finance Committee October 26, 2010�T MINUTES
REGULAR MEETING OF THE PALM DESERT
AUDIT, INVESTMENT, AND FINANCE COMMITTEE
Tuesday, October 26, 2010
I. CALL TO ORDER
Chairman Gibson called to order a regular meeting of the Palm Desert Audit,
Investment and Finance Committee at 10:00 a.m.
II. ROLL CALL
IV.
Present:
Absent:
Paul Gibson, Finance Director
Cindy Finerty, Mayor
Luis Espinoza, Asst. Finance Director
Patricia Kent, Committee Member
Thomas Jeffrey, Deputy City Treasurer
CITY COUNCIL ACTION
Robert A. Spiegel, Council Member
APPROVED DENIED
John Wohlmuth, City Manager
RECEIVED_►' OTHER
Justin McCarthy, ACM/Redevelopment
Robert Hargreaves, City Attorney
MEETING DATE
Jono Hildner, Committee Member
AYES: ir1Pr4i4, ., � arn�r�n , -,e4el, 8ens;n
James Walker, Committee Member
NOES: K LOC —_
Everett Wood, Committee Member
ABSENT: tv We _
ABSTAIN: [,i NP
Also Present:
VERIFIED BY:
Anthony Hernandez, Senior Financial AnMy4oinal on File with City Clerk Office
Richard Mogensen, Desert Willow Golf Resort
Tom Mortensen, Public Attendee
Niamh Ortega, Recording Secretary
Veronica Tapia, RDA Accountant
ORAL COMMUNICATIONS
None.
APPROVAL OF MINUTES
A. MINUTES OF THE REGULAR MEETING OF SEPTEMBER 28 2010
MOTION was made by Member Erwin and seconded by Member
Hildner to adopt and approve in their entirety the Minutes, as
amended, of the regular meeting of the Palm Desert Audit,
Investment and Finance Committee held on September 28, 2010.
G:Tinanceftamh Ortega\Investment Committee\2010\Minutes 102610.docx
AUDIT, INVESTMENT, AND FINANCE COMMITTEE
MINUTES October 26, 2010
V. NEW BUSINESS
A. CITY AND REDEVELOPMENT AGENCY INVESTMENT SCHEDULES
AND SUMMARY OF CASH REPORTS FOR SEPTEMBER 2010
Member Jeffrey presented the report and highlighted the following points:
The book value of the City Portfolio for the period ended September 30,
2010 was approximately $195.7 million. Interest earnings were
approximately $155,000. Yield -to -maturity was approximately 0.96%.
The book value of the Redevelopment Agency Portfolio for the period
ended September 30, 2010 was approximately $257.1 million. Interest
earnings were approximately $166,000. Yield -to -maturity was
approximately 0.59%.
MOTION was made by Member Walker and seconded by Member
Spiegel to recommend that the City Council receive and file the City
and Redevelopment Agency Investment Schedules and Summary of
Cash Reports for September 2010 as presented. Motion unanimously
approved.
B. LOCAL AGENCY INVESTMENT FUND (L.A.I.F.) ACCOUNT
STATEMENTS FOR SEPTEMBER 2010
MOTION was made by Member Spiegel and seconded by Member
Walker to receive and file the Local Agency Investment Fund account
statements for September 2010 as presented. Motion unanimously
approved.
C. CALIFORNIA ASSET MANAGEMENT PROGRAM (C.A.M.P.) ACCOUNT
STATEMENTS FOR SEPTEMBER 2010
MOTION was made by Member Hildner and seconded by Member
Wood to receive and file the California Asset Management Program
account statements for September 2010 as presented. Motion
unanimously approved.
D. CITY FINANCIAL REPORTS AND REDEVELOPMENT AGENCY
FINANCIAL REPORTS FOR SEPTEMBER 2010
Chairman Gibson reported that Transient Occupancy Tax revenue is
improving due to increased convention bookings, and sales tax revenue is
looking promising with the June quarter up 13.1%. Expenses are higher
than budgeted due to public safety bills being submitted on time, Outside
Agency funds disbursed at the beginning of the fiscal year, and street
resurfacing also in progress.
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AUDIT, INVESTMENT, AND FINANCE COMMITTEE
MINUTES __ October 26, 2010
Ms. Tapia reviewed the monthly revenues and expenses for the
Redevelopment Agency. Year-to-date for the end of September 2010 was
$1.2 million in revenue and $21.4 million in expenditures.
MOTION was made by Member Spiegel and seconded by Member
Wohlmuth to receive and file the City and Redevelopment Agency
financial reports for September 2010 as presented. Motion
unanimously approved.
E. PARKVIEW PROFESSIONAL OFFICE BUILDINGS FINANCIAL
REPORTS FOR SEPTEMBER 2010
Mr. Hernandez reported that revenues exceed budget by $11,000, and
expenditures exceeded budget by $15,000. One tenant will be vacating in
October, and another in December, resulting in a total of four vacancies.
Tenant improvements are currently in progress for the Water Resources
building. The City covers the expenses upfront, and the State will
reimburse 100% of the cost. The rooftop reflective seal is being reapplied,
and the rooftop solar panel project is currently out to bid.
MOTION was made by Member Walker and seconded by Member
Wood to receive and file the Parkview Professional Office Buildings
financial reports for September 2010 as presented. Motion
unanimously approved.
F. PALM DESERT GOLF COURSE FACILITIES CORPORATION
FINANCIAL REPORTS FOR SEPTEMBER 2010
Mr. Mogensen reported that the Desert Willow renovation would be
complete by the end of January 2011. The terrace is behind schedule by
two to three weeks, and the kitchen is on schedule.
In September, the cost of goods sold was high, and merchandise sales
were low. Payroll was down $15,000, but $35,000 better than last year.
Rack rate earned was down, and resident play was down in September by
270 rounds. Outings were double the budgeted amount, and the Westin
timeshare resort has been supplying a lot of business to Desert Willow.
MOTION was made by Member Walker and seconded by Member
Wood to receive and file the Palm Desert Golf Course Facilities
Corporation financial reports for September 2010 as presented.
Motion unanimously approved.
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AUDIT, INVESTMENT, AND FINANCE COMMITTEE
MINUTES October 26, 2010
VI. CONTINUED BUSINESS
None.
VII. OLD BUSINESS
A. PALM DESERT FINANCING AUTHORITY BOND ISSUANCE
None.
VIII. INFORMATIONAL ITEMS
Mr. Gibson pointed out that the December meeting will fall on the Tuesday
between Christmas and New Year's holidays. To ensure a quorum, it was
suggested to move the meeting to the week before. The November meeting will
take place as scheduled, and a special meeting will be held on Tuesday,
December 21, 2010 at 10:00 a.m. in place of the regular December 28 meeting.
IX. ADJOURNMENT
There being no further business, this meeting, upon motion duly made, seconded
and carried was adjourned at 10:30 a.m. to the next regular meeting of
November 23, 2010.
_.r
Niamh Ortega, Rec rding Secretary
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