Minutes_Investment Oversight Advisory Commission 01.26.22Copyrighted
February 7, 2022
City of Dubuque Consent Items # 1.
City Council Meeting
ITEM TITLE: Minutes and Reports Submitted
SUMMARY: City Council proceedings of 1/18; Arts and Cultural Affairs Commission
of 12/21; Five Flags Civic Center Advisory Commission of 10/25 and
1/18; Investment Oversight Advisory Commission of 1/26; Proof of
publication for City Council proceedings of 1/3; Proof of publication for
List of Claims and Summary of Revenues for Month Ended 12/31.
SUGGESTED Suggested Disposition: Receive and File
DISPOSITION:
ATTACHMENTS:
Description Type
City Council proceedings of 1/18/22 Supporting Documentation
Arts and Cultural Affairs Commission Minutes of
Supporting Documentation
12/21 /21
Five Flags Civic Center Commission Minutes of
Supporting Documentation
10/25/21
Five Flags Civic Center Commission Minutes of
Supporting Documentation
1 /18/22
Investment Oversight Advisory Commission Minutes of
Supporting Documentation
1 /26/22
Proof of Publication for City Council proceedings of
Supporting Documentation
1 /3/22
Proof of Publication for List of Claims / Summary of
Supporting Documentation
Revenues for Month Ended 12/31/21
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TO: Members of City of Dubuque Investment Oversight Advisory Commission
FROM: Paul Lassance, Investment Oversight Advisory Commission
Cassie Ross, Assistant Director of Finance
RE: Un-approved Minutes of the January 26, 2022, Meeting of the Investment
Oversight Advisory Commission and Chairman's Quarterly Report
DATE: January 27, 2022
Commission members present virtually:
Paul Lassance, Gary Ruden, Josh Merritt, and Molly Valaskey.
City staff present virtually:
Cassie Ross, Assistant Director of Finance
Nathan Kelleher, Finance Accountant
Jacob Baltierra, Finance Accountant
The virtual meeting was called to order at 3:02 p.m. virtually by Paul Lassance. This
is an official meeting as a quorum was present.
2. Assistant Director of Finance Cassie Ross certified that the meeting was in
compliance with the Iowa open meetings law.
3. Tom Peckosh from Dubuque Bank and Trust presented.
Tom discussed bond market review for 2021. Bonds struggled. He discussed and
showed charts of interest rates and how they have fluctuated over the past several
years. He then went into discussion on how these correlates to stable prices and
unemployment rates.
Outlook and strategy for 2022 — Federal Reserve is expected to increase interest
rates significantly in 2022. These will lead to higher short-term rates as well as allow
for longer -end of the yield curve to rise as well. While at present inflation
expectations remain high there is a risk that inflation moderates more quickly than
anticipated which could lead to a flatter yield curve. DB&T will monitor the evolution
of the yield curve for opportunities as interest rates normalize over the coming years.
Paul Lassance and Tom Peckosh discussed the news that the Federal Reserve will
be rolling funds off their balance sheet and how that might impact the City's portfolio.
Paul asked if anticipated rise in interest rates would reduce the number of securities
that are likely to be called in the portfolio managed by DB&T. Tom confirmed that
would likely be the case if interest rates rise.
Current portfolio — Yield to maturity is at 1.51 %, yield to call 1.47%, and current
duration 3.46 years.
4. Gary Ruden moved that the minutes of the October 26,2021 be approved. The
motion was seconded by Paul Lassance and approved unanimously.
5. Cassie Ross reported on investment results. The City bid $24 million to the
investment managers. DB&T was the high bidder at 0.26% with no associated fees.
There were extra funds due to American Rescue Plan Act dollars that were received.
This was at a 6-month term.
Gary asked how the CD bids have been lately. Cassie reported that they are minimal
and sometimes only receive one bid. Paul requested that we look into expanding the
bidding pool to other organizations other than the ones we have historically sent the
request to and see if there is any additional interest.
6. The Commission reviewed the December 31,2021 quarterly investment reports.
7. There was no communication from the public.
8. The next meeting of the Commission is scheduled for Wednesday, April 27,2022 at
3:00 p.m. A representative from Dana Investment Advisors, Inc. will be invited to
present at the meeting.
9. Gary Ruden moved that the meeting adjourn. The motion was seconded by Josh
Merritt. The meeting adjourned at 3:40 p.m.