HomeMy WebLinkAboutMinutes - Audit Invstment Finance Committee - May 22, 2012IV
MINUTES
REGULAR MEETING OF THE PALM DESERT
AUDIT, INVESTMENT & FINANCE COMMITTEE
Tuesday, May 22, 2012 — 10:00 a.m.
CALL TO ORDER
Chairman Gibson called the meeting to order at 10:00 a.m.
ROLL CALL
Present: Absent:
Paul Gibson, Finance Director
Luis Espinoza, Asst. Finance Director
Thomas Jeffrey, Deputy City Treasurer
William Kroonen, Mayor Pro-Tempore
Robert A. Spiegel, Mayor
John Wohlmuth, City Manager
David Erwin, City Attorney
Russell Campbell, Community Member
Ron Crisp, Committee Member
Patricia Kent, Committee Member
Susan Marie Weber, Committee Member
CITY COUNCIL ACTION
APPROVED DENIED
RECEIVED d OTHER.
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Original on File with City Clerk's
Also Present:
Al Colombo, Desert Willow Golf Resort
Anthony Hernandez, Senior Financial Analyst
Richard Mogensen, Desert Willow Golf Resort
Niamh Ortega, Recording Secretary
Derek White, Desert Willow Golf Resort
ORAL COMMUNICATIONS
None.
APPROVAL OF MINUTES
A. MINUTES OF THE MEETING OF APRIL 24. 2012
MOTION was made by Member Spiegel and seconded by Member
Erwin to adopt and approve as amended the Minutes of the regular
meeting of the Palm Desert Audit, Investment and Finance Committee
held on April 24, 2012. Motion unanimously approved.
INVESTMENT & FINANCE COMMITTEE
MINUTES MAY 22, 2012
V. NEW BUSINESS
A. CITY INVESTMENT SCHEDULE AND SUMMARY OF CASH REPORT FOR
APRIL 2012
Member Jeffrey presented the report and highlighted the following points:
The book value of the City Portfolio for the period ended April 30, 2012 was
approximately $210.2 million. Interest earnings were approximately
$72,000. Yield -to -maturity was approximately 0.42%.
MOTION was made by Member Kroonen and seconded by Member
Campbell to recommend that the City Council receive and file the City
Investment Schedule and Summary of Cash Report for April 2012 as
presented. Motion unanimously approved.
B. LOCAL AGENCY INVESTMENT POOL ACCOUNT STATEMENTS FOR APRIL
2012
MOTION was made by Member Campbell and seconded by Member Erwin to
receive and file the reports for Local Agency Investment Fund (LAIF),
California Asset Management Program (CAMP), Riverside County
Investment Pool, and Rabobank Investment Pool for April 2012. Motion
unanimously approved.
C. CITY FINANCIAL REPORT FOR APRIL 2012
Mr. Gibson provided an overview of the report. He stated that the City was in the
midst of issues surrounding Successor Agency funds relative to recently received
information that the City will like not be reimbursed any advances made to RDA.
The City is looking into alternatives, although the Department of Finance will likely
have the final word when it comes to interpreting the trailer bill. The decision will
have a greater impact on reserves than on general fund operations.
MOTION was made by Member Campbell and seconded by Member
Kroonen to receive and file the City financial reports for April 2012 as
presented. Motion unanimously approved.
D. PARKVIEW PROFESSIONAL OFFICE BUILDINGS FINANCIAL REPORT FOR
APRIL 2012
Mr. Hernandez provided an overview of the report. He reported that revenues and
expenditures are better than budget, and there has been no change in the
occupancy rate.
MOTION was made by Member Spiegel and seconded by Member
Campbell to receive and file the Parkview Professional Office
Buildings financial reports for April 2012 as presented. Motion
unanimously approved.
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INVESTMENT & FINANCE COMMITTEE
MINUTES MAY 22, 2012
E. PALM DESERT GOLF COURSE FACILITIES CORPORATION FINANCIAL
REPORTS FOR APRIL 2012
Mr. Mogensen and Mr. White provided an overview of the reports in the agenda
packet. April was short by $23,000 in the golf portion of revenue, and the biggest
challenge has been rate compression given the discounts offered by competing
courses. Food & Beverage exceeded budget by $11,000 although it did not
exceed prior year. The bottom line is ahead by $264,000. It is expected that the
year will finish ahead on both top and bottom line. It is also expected that the
numbers will show weakness from April on.
MOTION was made by Member Erwin and seconded by Member
Campbell to receive and file the Palm Desert Golf Course Facilities
Corporation financial reports for April 2012 as presented. Motion
unanimously approved.
VI. CONTINUED BUSINESS
None.
VII. OLD BUSINESS
A. PALM DESERT FINANCING AUTHORITY BOND ISSUANCE
None.
VIII. INFORMATIONAL ITEMS
Mr. Gibson discussed the reserve policy and indicated there is $9 million still threatened
by the State. The City is currently still maintaining the required reserve amount.
ADJOURNMENT
There being no further business, this meeting, upon motion duly made, seconded
and carried was adjourned at 10:17 a.m. to the next scheduled meeting of June
26, 2012.
Niamh Ortega, Recording , cretary
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