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Quarterly Investment ReportTHE CITY OF Dui Masterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: December 31, 2012 Quarterly Investment Report DATE: January 24, 2013 Dubuque kital All- America City II h/ 2012 Finance Director Ken TeKippe is transmitting the December 31, 2012 Quarterly Investment Report. kri/sitaly Michael C. Van Milligen MCVM:sv Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Kenneth J. TeKippe, Finance Director THE CITY OF Dui Masterpiece on the Mississippi TO: Michael C. Van Milligen, City Manager FROM: Kenneth J. TeKippe, Finance Director DATE: January 24, 2013 SUBJECT: December 31, 2012 Quarterly Investment Report Dubuque had All- America City ' I I' 2007 INTRO D UCTION The Finance Department is submitting the quarterly investment report as prescribed within the City of Dubuque Investment Policy Section 17.0 "Reporting." DISCUSSION This report covers the period from October 1, 2012 through December 31, 2012. The report includes: Cash Investments and Investment Earnings Summary for quarter ended December 31, 2012 and fiscal year to date Schedule of City Funds Monthly Investment Summary Schedule of Certificates of Deposit and Accrued Interest The valuations reflect the same basis that the assets are carried on the financial records of the City. The City of Dubuque is in compliance with the Investment Policy. ACTION TO BE TAKEN This report is for your review and filing with the Honorable Mayor and City Council. Prepared by: KT /eml Enclosures CITY OF DUBUQUE Cash, Investments and Investment Earnings Summary For The Quarter Ended Decemer 31, 2012 And Fiscal Year To Date Description Carrying Value Market Value / Including Accrued Interest Unrealized Gain (Loss) / Accrued Interest Deposits, Change & Petty Cash Funds Checking /Savings Accounts Bond Proceeds Certificates Of Deposit US Treasury Securities Corporate Stock (Perm. Trust) Investment Advisor Accounts Total Funds Breakdown City Metro Total Combined Funds Cash Basis Gross Earnings: City Metro Combined Investment Fees: City Metro Combined Net Earnings: City Metro Combined 12,301 8,152,277 36,648,201 7,500,000 2,015,125 11,514 27,448,862 12,301 8,153, 934 36,648,201 7,503,730 2,804,198 84,002 27,742,952 1,657 3,730 789,073 72,488 294,090 81,788,280 82,949,318 1,161,038 73,765,824 8,022,456 81,788,280 74,923,133 8,026,185 82,949,318 1,157, 308 3,730 1,161,038 Quarter Year -To -Date 253,536 496,405 3,463 9,645 256,999 506,050 29,804 62,889 196 330 30,000 63,218 223,732 433,516 3,267 9,316 226,999 442,832 City Managed Funds CASH: Change and Petty Cash Funds Health Fund Deposit Prescription Fund Deposit Workers Comp Deposit City of Dubuque Schedule of City Funds December 2012 Total FY13 TOTAL COST CITY FUNDS BASIS PERCENTAGE 12,301 150,000 75,000 10,000 247,301 CHECKING / SAVINGS ACCOUNTS: American Trust & Savings Bank (General) 38,754 American Trust & Savings Bank (Housing Rehab & Section 8) 248,254 Dubuque Bank & Trust (General/Metro/Leisure) 895,670 Dubuque Bank & Trust (Comml/Ind Bldg Rehab & Eton Dev) 125,297 Dubuque Bank & Trust (Cable Franchise Equipment Fund) 321,340 US Bank (General /Ambulance) 6,418 Premier (Utility) 7,445 East Dubuque Savings Bank (Utility) 11,584 State Central (Utility) 517 BBVA Compass 0 Total 1,655,280 UNSPENT BOND PROCEED INVESTMENT ACCOUNTS: DB &T Series 2009A 264,479 DB &T Series 2009B 966,711 AT &S Series 2010A 731,691 AT &S Series 2010B 2,504,481 AT &S Series 2010C 118,652 DB &T Series 2010D 345,519 US Bank Series 2010F Capital Loan Notes 1,065,713 DB &T Series 2011A 1,721,879 DB &T Series 2012A 4,300,711 DB &T Series 2012B 4,959,283 DB &T Series 2012C 5,749,847 DB &T Series 2012D 6,871,045 DB &T Series 2012E 3,641,352 AT &S Series 2012F 1,033,166 DB &T Series 2012H 2,373,670 Total 36,648,201 CERTIFICATES OF DEPOSIT: Dubuque Bank & Trust 5,000,000 Premier 1,000,000 EDSB 1,500,000 Total 7,500,000 HIGH YIELD SAVINGS ACCOUNTS: Dubuque Bank & Trust (Premium Savings) East Dubuque Savings Bank (Advantage Savings) U.S. TREASURY OBLIGATIONS: Debt Service Reserve Fund Required for Port Ramp CORPORATE STOCK (Lyons Peony Trust). TOTAL CITY MANAGED FUNDS 5,262,325 999,672 6,261,997 0.3% 2.0% 44.8% 9.2% 7.7% 2,015,125 Total 2,015,125 2.5% 11,514 Total 11,514 0.0% Pagel 54,339,418 66.4% City of Dubuque Schedule of City Funds December 2012 FINANCIAL ADVISORS MANAGED FUNDS DANA INVESTMENT ADVISORS, INC: Cash and Equivalents US Treasury Obligations US Agencies Mortgaged Backed Securities DUBUQUE BANK & TRUST: Cash and Equivalents US Treasury Obligations Mutual Funds Mortgaged Backed Securities FIRST COMMUNITY TRUST: Cash and Equivalents US Treasury Obligations US Agencies Mortgaged Backed Securities US BANK: Cash and Equivalents US Treasury Obligations US Agencies Mortgaged Backed Securities Total Total Total Total FY13 PORTFOLIO TOTAL COMPOSITION COST CITY FUNDS PERCENTAGE BASIS PERCENTAGE 5.6% 358,095 31.7% 2,015,469 0.0% 62.6% 3,979,325 100.0% 6,352,889 3.0% 248,035 97.0% 8,092,602 0.0% 0.0% 100.0% 8,340,638 34.2% 1,769,988 0.0% 49.6% 2,561,136 16.2% 837,567 100.0% 5,168, 691 11.5% 876,185 0.0% 88.4% 6,706,712 0.0% 3,748 100.0% 7,586,644 GRAND TOTAL 27,448,862 BREAKDOWN BY TYPE OF SECURITY: Cash & Equivalents US Treasury Obligations US Agencies Mortgage Backed Securities Mutual Funds TOTAL FINANCIAL ADVISORS MANAGED FUNDS TOTAL CITY FUNDS 7.8% 10.2% 6.3% 9.3% 33.6% 11.9% 3,252,303 4.0% 36.8% 10,108, 071 12.4% 33.8% 9,267,847 11.3% 17.6% 4,820,640 5.9% 0.0% 0 0.0% 100.0% 27,448,862 33.6% 81,788,279 100.0% ECAP OF PORTFOLIO PERCENTAGES Managed Ci y Combined CASH & EQUIVALENTS 4% 0% 4% CHECKING /SAVINGSACCTS 0% 54% 54% MORTGAGE BACKED SECURITIES 6% 0% 6% CERTIFICATES OF DEPOSIT 0% 9% 9% U.S. TREASURY OBLIGATIONS 12% 2% 15% FEDERAL AGENCIES 11% 0% 11% MUTUAL FUNDS 0% 0% 0% Total 34% 66% 100% Paget COST BASIS ANALYSIS Cost Basis Prior Month Additions: Interest Earnings Realized Gains (Losses) Capital Deposits Subtractions: Management Fees Custodian Fees Bank Charges Capital Withdrawals Cost Basis Current Month Net Cash Receipts & (Disbursements) Ending Cost Basis Balance CITY OF DUBUQUE MONTHLY INVESTMENT SUMMARY Month Ending: 12/31/12 First Community Managed Combined Dana DB &T Trust US Bank Accounts City Finance Total 6,346,576.37 8,343,560.08 5,168,129.70 7,576,112.60 27,434,378.75 56,433,236.02 83,867,614.77 7,660.76 (793.42) Total Additions 6,867.34 0.00 (555.18) 1.76 5,668.97 11,930.69 25,262.18 14,122.19 39,384.37 0.00 (3,100.80) 1,321.46 (2,572.76) (2,572.76) 0.00 0.00 1.76 2,568.17 13,252.15 22,689.42 14,122.19 36,811.61 (2,290.55) (1,506.48) (2,117.28) (5,914.31) (633.68) (500.42) (603.03) (2,292.31) 0.00 (681.04) (5,914.31) (2,292.31) (681.04) 0.00 Total Subtractions (555.18) (2,924.23) MARKET VALUE ANALYSIS Investment Market Value Prior Month (Adjusted for Accruals) Investment Market Value Current Month Accrued Interest Current Month Market Value Adjusted for Accruals Portfolio Returns (computed by Investment Managers) Monthly Return Gross of Fees Monthly Return Net of Fees Total Return Calendar Year to Date 2012 Gross Effective Duration in Years Market Indices (2,006.90) (2,720.31) (8,206.62) (681.04) (8,887.66) 6,352,888.53 8,340,637.61 5,168,690.97 7,586,644.44 27,448,861.55 56,446,677.17 83,895,538.72 (2,107,259.40) (2,107,259.40) 6,352,888.53 8,340,637.61 5,168,690.97 7,586,644.44 27,448,861.55 54,339,417.77 81,788,279.32 6,513,751.10 8,366,377.76 5,212,865.33 7,663,781.38 27,756,775.57 57,355,091.71 85,111,867.28 6,495,347.77 8,353,531.01 5,185,332.66 7,638,230.42 27,672,441.86 55,164,855.06 82,837,296.92 18,387.67 1,379.10 23,916.21 26,827.06 70,510.04 41,510.91 112,020.95 6,513,735.44 8,354,910.11 5,209,248.87 7,665,057.48 27,742,951.90 55,206,365.97 82,949,317.87 0.03% 0.00% 2.07% 0.63 (0.10 %) (0.14 %) 1.35% 3.09 (0.03 %) (0.07 %) 1.55% 2.65 0.05% 0.02% 0.89% 1.41 Average Last Last Calendar Last Month 12 Months Year to Date 3 Years 90 Day T -Bills Lehman Aggregate Govt. Bonds Lehman Short Term Govt. Bonds Lehman Intermediate Govt. Bonds Current Prime Rate 0.01% (0.40 %) 0.03% (0.18%) 3.25% 0.12% 2.02% 0.51% 1.73% 0.12% 2.02% 0.51% 1.73% 0.13% 5.48% 1.49% 4.25% City of Dubuque Schedule of Certificates of Deposit, Accrued Interest, High Yield Savings Accounts & Unspent Bond Proceeds As of December 31, 2012 Certificates of Deposit: Certificate Number Institution CIM Cost Basis Purchase Date Maturity Date Interest Rate Days to Maturity Accrued Days Accrued Interest 4465889 2883 2908 2967 27127 3057 27163 3069 Premier DB &T DB &T DB &T EDSB DB &T EDSB DB &T M 1,000,000 07/19/12 01/17/13 0.17% M 1,000,000 08/02/12 01/31/13 0.21% M 1,000,000 08/17/12 02/15/13 0.25% M 1,000,000 09/07/12 03/08/13 0.21% M 1,000,000 11/26/12 05/27/13 0.32% M 1,000,000 12/06/12 06/06/13 0.16% M 500,000 12/21/12 06/21/13 0.19% M 1,000,000 12/14/12 06/14/13 0.12% 17 31 46 67 147 157 172 165 165 151 136 115 35 25 10 17 768.49 868.77 931.51 661.64 307.81 109.59 26.03 55.89 Totals 7,500,000 3,729.73 Weighted Yield: 0.205% Weighted Maturity in Days: 95.5 High Yield Savings Accounts Account DMASWA City CD Balance Accrued Interest 7,500,000 3,729.73 0 0.00 7,500,000 3,729.73 Account Number Institution CIM Ending Balance APR Month End Accrued Interest 671460 DB &T 44444116 EDSB C 5,262,325 C 999,672 0.20% 0.40% 1,318.74 338.69 6,261,997 1,657.43 U.S. Treasury Bond Account aM Ending Maturity Face Value Accrued Number Institution Balance Date Interest Rate Interest 2152 -1478 LPL Financial C 2,768,075 Unspent Bond Proceed Investment Accounts: 02/15/37 4.75% Bond Issue Institution CIM Ending Balance APR Month End 2009A 2009B 2010A 2010B 2010C 2010D 2010F 2011A 2012A 2012B 2012C 2012D 2012E 2012F 2012H DB &T DB &T AT &S AT &S AT &S DB &T US Bank DB &T DB &T DB &T DB &T DB &T DB &T DB &T DB &T C 264,479 C 966,711 C 731,691 C 2,504,481 C 118,652 C 345,519 C 1,065,713 C 1,721,879 C 4,300,711 C 4,959,283 C 5,749,847 C 6,871,045 C 3,641,352 C 1,033,166 C 2,373,670 0.500% 0.300% 0.300% 0.300% 0.300% 0.420% 0.050% 0.300% 0.320% 0.320% 0.320% 0.320% 0.170% 0.350% 0.170% 36,648,201 (M) = DUBUQUE METROPOLITAN AREA SOLID WASTE AGENCY (C) = CITY FUNDS 36,123.75 Print Date: 1/17/2013