The URL can be used to link to this page

Home My WebLink AboutAIF Cmte - 03-25-2014 x� � l/ J � VO �� MINUTES � � REGULAR MEETING OF THE PALM DESERT AUDIT, INVESTMENT & FINANCE COMMITTEE Tuesday, March 25, 2014 - 10:00 a.m. I. CALL TO ORDER Chairman Gibson called the meeting to order at 10:00 a.m. II. ROLL CALL Present: Absent: Russell Campbell, Community Member David Erwin, City Attorney Paul Gibson, Committee Chair/ Finance Director Abram Goldman, Community Member Joseph Pradetto, Community Member Stanley Sperling, Committee Member � Van Tanner, Mayor Susan Marie Weber, Mayor Pro-Tempore (10:11 a.m.) �- John Wohlmuth, City Manager � „ Wa � Also Present: w O Jared Burns, Desert Willow Golf Resort � �°i T � J o s e L u i s E s p i n o z a, A s s i s t a n t F i n a n c e D i r e c t o r � v '� Thomas Jeffrey, Deputy City Treasurer Z �� •" y U Bruce N a t i o n, D e s e rt W i l l o w G olf Resort p � � Niamh Ortega, Recording Secretary F '� U Nitin Patel, White Nelson Diehl Evans, LLP a �1 s a �' �= � p� o �; , III. ORAL COMMUNICATIONS � p A ^ . � �� None. O � U E= s � �' V �' a U G" cf-..,' � :s: �i �r :c E� �; �, ., „� ,�., _ � aa � a � <� �� IV. APPROVAL OF MINUTES A. MINUTES OF THE MEETING OF FEBRUARY 25, 2014 MOTION was made by Member Wohlmuth to approve as presented the Minutes of the regular meeting of the Palm Desert Audit, Investment and Finance Committee held on February 25, 2014. Motion was seconded by Member Erwin and carried by an 8-0 vote, with Campbell, Erwin, Gibson, Goldman, Pradetto, Sperling, Tanner, and Wohlmuth voting AYE. Weber ABSENT. INVESTMENT & FINANCE COMMITTEE MINUTES March 25, 2014 V. NEW BUSINESS A. CITY INVESTMENT SCHEDULE AND SUMMARY OF CASH REPORT FOR FEBRUARY 2014 Member Jeffrey reported that the book value of the City portfolio for the period ended February 28, 2014 was approximately $220.2 million. Interest earnings were approximately $46,000. Yield-to-maturity was approximately 0.29%. MOTION was made by Member Tanner to recommend that the City Council receive and file the City Investment Schedule and Summary of Cash Report for February 2014. Motion was seconded by Member Campbell and carried by an 8-0 vote, with Campbell, Erwin, Gibson, Goldman, Pradetto, Sperling, Tanner and Wohlmuth voting AYE. Weber ABSENT. B. LOCAL AGENCY INVESTMENT POOL ACCOUNT STATEMENTS FOR FEBRUARY 2014 Chairman Gibson provided an overview of the various reports. MOTION was made by Member Campbell 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 February 2014. Motion was seconded by Member Wohlmuth and carried by an 8-0 vote, with Campbell, Erwin, Gibson, Goldman, Pradetto, Sperling, Tanner and Wohlmuth voting AYE. Weber ABSENT. C. CITY FINANCIAL REPORT FOR FEBRUARY 2014 Chairman Gibson provided an overview of the report and highlighted the activity for the month of February. MOTION was made by Member Tanner to receive and file the City financial report for February 2014 as presented. Motion was seconded by Member Wohlmuth and carried by an 8-0 vote, with Campbell, Erwin, Gibson, Goldman, Pradetto, Sperling, Tanner and Wohlmuth voting AYE. Weber ABSENT. D. PARKVIEW PROFESSIONAL OFFICE BUILDINGS FINANCIAL REPORT FOR FEBRUARY 2014 Mr. Hernandez provided an overview of the report. Year-to-date revenue is approximately $571,000, year-to-date expenditures are $356.000. Net income is $200,000, and $19,000 after equipment replacement reserve. Staff is taking three State leases to Council, and two more will be potentially leased shortly. MOTION was made by Member Tanner to receive and file the Parkview Professional Office Buildings financial report for February 2014 as presented. 2 INVESTMENT & FINANCE COMMITTEE March 25, 2014 MINUTES Motion was seconded by Member Wohlmuth and carried by an 8-0 vote, with Campbell, Erwin,Gibson,Goldman, Pradetto,Sperling,Tanner and Wohlmuth voting AYE. Weber ABSENT. E. PALM DESERT GOLF COURSE FACILITIES CORPORATION FINANCIAL REPORT FOR FEBRUARY 2014 Mr. Burns provided a summary of the report. Mr. White reported that overall Desert Willow is performing well. Food and beverage services are up significantly, and expenses are down and ahead of last year. The new PGA store has had a minimal effect on Desert Willow merchandise sales. Banquet events are down, but the restaurant is doing very well. MOTION was made by Member Tanner to receive and file the Palm Desert Golf Course Facilities Corporation financial report for February 2014 as presented. Motion was seconded by Member Pradetto and carried by a 9-0 vote, with Campbell, Erwin, Gibson, Goldman, Pradetto, Sperling, Tanner, Weber and Wohlmuth voting AYE. F. LIMITED PROCEDURES REVIEW OF VARtOUS PALM DESERT OPERATORS FOR COMPLIANCE WITH THE CITY OF PALM DESERT'S TRANSIENT OCCUPANCY TAX ORDtNANCE FOR THE 2011 AND 2012 CALENDAR YEAR Chairman Gibson reported that five operators were audited for the 2011 and 2012 calendar years. Three of the five had an underpayment which has since been collected. There are no outstanding payments at this time. Staff is looking into the feasibility of auditing short-term rental properties for future audits. MOTION was made by Member Pradetto to recommend that the City Council receive and file the Limited Procedures review of various Palm Desert Operators for the 2011 and 2012 calendar year. Motion was seconded by Member Erwin and carried by a 9-0 vote, with Campbell, Erwin, Gibson, Goodman, Pradetto, Sperling, Tanner, Weber and Wohlmuth voting AYE. G. EXTENSION OF CONTRACT WITH WHITE NELSON DIEHL EVANS LLP TO PROVIDE AUDITING SERVICES FOR ONE ADDITIONAL YEAR Chairman Gibson stated that the current contract was entering the last year of its seven-year term. He also stated that the City is in the process of switching its software. He indicated that given the first year or two of an auditor's new contract focus on learning the specifics of how each particular City operates and its unique accounts and procedures, the City would be better served by extending the current contract since the auditor was already very familiar with the workings of the City. MOTION was made by Member Wohlmuth to recommend that the City Council authorize the extension of contract with White Nelson Diehl Evans, LLP to provide auditing services for one additional year. Motion was seconded by Member Erwin and carried by a 9-0 vote, with Campbell, Erwin, Gibson, Goodman, Pradetto, Sperling, Tanner, Weber and Wohlmuth voting AYE. 3 INVESTMENT & FINANCE COMMITTEE MINUTES March 25, 2014 VI. CONTINUED BUSINESS None. VII. OLD BUSINESS A. PALM DESERT FINANCING AUTHORITY BOND ISSUANCE None. VIII. INFORMATIONAL ITEMS None. IX. ADJOURNMENT MOTION was made by Member Pradetto to adjourn the meeting at 10:22 a.m. Motion was seconded by Member Tanner and carried by a 9-0 vote, with Campbell, Erwin, Gibson, Goldman, Pradetto, Sperling, Tanner, Weber and Wohlmuth voting AYE. � �,�,�..��-,G� -___. Niamh Ortega, Recordi ecretary 4