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Quarterly Investment Report 12 31 13Masterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: December 31, 2013 Quarterly Investment Report DATE: January 27, 2014 Dubuque band AI- America City 1 2007 • 2012 • 2013 Finance Director Ken TeKippe is transmitting the December 31, 2013 Quarterly Investment Report covering the period from October 1, 2013 through December 31, 2013. htilvt4 V'',,,„/).74, Mic ael 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 23, 2014 SUBJECT: December 31, 2013 Quarterly Investment Report Dubuque trati M- America City '111' 2007 • 2012 • 2013 INTRODUCTION 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, 2013 through December 31, 2013. The report includes: Cash Investments and Investment Earnings Summary for quarter ended December 31, 2013 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 TANEN 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 December 31, 2013 And Fiscal Year To Date Description Carrying Value Market Value / Including Accrued Interest Unrealized Gain (Loss) / Accrued Interest Change & Petty Cash Funds Checking /Savings Accounts High Yield Savings Accounts Unspent Bond Proceeds Certificates Of Deposit US Treasury Securities Corporate Stock (EB Lyons 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 12,521 648,498 5,227,153 25,331,372 6,600,000 2,015,125 11,514 27,634,285 12,521 648,498 5,227,814 25,331,372 6,603,398 2,436,613 89,450 27,639,521 661 3,398 421,488 77,936 5,236 67,480,468 67,989,187 508,719 60,710,954 6,769,514 67,480,468 61,216,275 6,772,912 67,989,187 505,321 3,398 508,719 Quarter Year -To -Date 117,298 263,542 3,548 6,932 120,846 270,474 25,402 53,494 121 374 25,522 53,867 91,896 210,048 3,427 6,558 95,324 216,606 CV Users V ellaheyV AppDa taALocalATemp'KPgrpwiseACouncil Summary-02014 xis 1/23/2014 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 2013 Total CHECKING 1 SAVINGS ACCOUNTS: American Trust & Savings Bank (General) American Trust & Savings Bank (Housing Rehab & section 8) Dubuque Bank & Trust (General /Metro/Leisure) Dubuque Bank & Trust (Cable Franchise Equipment Fund) US Bank (General /Ambulance) Premier (Utility) East Dubuque Savings Bank (utility) Total UNSPENT BOND PROCEED INVESTMENT ACCOUNTS: DB &T Series 2009A DB &T Series 2009B AT &S Series 2010A AT &S Series 2010B DB &T Series 2010D US Bank Series 2010F Capital Loan Notes DB &T Series 2011A DB &T Series 2012A DB &T Series 2012B DB &T Series 2012C DB &T Series 2012D DB &T Series 2012E AT &S Series 2012F DB &T Series 2012H Total FY 14 TOTAL COST CITY FUNDS BASIS PERCENTAGE 12,521 150,000 75,000 10,000 247,521 158,208 208,398 (417,603) 416,516 27,812 7,062 13,105 413,498 223,032 454,720 420,551 1,928,897 119,511 1,064,422 857,329 4,363,733 3,813,654 4,068,743 3,512,573 1,706,677 761,533 2,035,997 25,331,372 CERTIFICATES OF DEPOSIT: Dubuque Bank & Trust 2,000,000 EDSB 4,600,000 Total 6,600,000 HIGH YIELD SAVINGS ACCOUNTS: Dubuque Bank & Trust (Premium savings) East Dubuque Savings Bank (Advantage savings) 4,023,645 1,203,508 5,227,153 0.4% 0.6% 37.5% 9.8% 7.8% U.S. TREASURY OBLIGATIONS: Debt Service Reserve Fund Required for Port Ramp 2,015,125 Total 2,015,125 3.0% CORPORATE STOCK (Lyons Peony Trust): 11,514 Total 11,514 0.0% TOTAL CITY MANAGED FUNDS 39,846,183 59.1% Page 1 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 US Agencies 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 City of Dubuque Schedule of City Funds December 2013 Total Total Total Total GRAND TOTAL BREAKDOWN BY TYPE OF SECURITY: Cash & Equivalents US Treasury Obligations US Agencies Mortgage Backed Securities TOTAL FINANCIAL ADVISORS MANAGED FUNDS TOTAL CITY FUNDS FY 14 PORTFOLIO TOTAL COMPOSITION COST CITY FUNDS PERCENTAGE BASIS PERCENTAGE 12.6% 809,149 36.8% 2,363,311 0.0% 50.5% 3,242,188 100.0% 6,414,648 9.5% 3.0% 246,204 97.0% 8,092,533 0.0% 0.0% 100.0% 8,338,737 12.4% 31.8% 1,665,089 0.0% 57.2% 2,991,931 11.0% 572,978 100.0% 5,229,998 7.8% 0.6% 45,832 0.0% 0 99.4% 7,604,933 0.0% 136 100.0% 7,650,901 11.3% 10.0% 37.8% 38.4% 13.8% 100.0% 27,634,285 41.0% 2,766,274 10,455,845 10, 596, 865 3,815,302 27,634,285 4.1% 15.5% 15.7% 5.7% 41.0% 67,480,468 100.0% RECAP OF PORTFOLIO PERCENTAGES Managed City Combined CASH & EQUIVALENTS 4% 0% 4% CHECKING / SAVINGS ACCTS 0% 46% 46% MORTGAGE BACKED SECURITIES 6% 0% 6% CERTIFICATES OF DEPOSIT 0% 10% 10% U.S. TREASURY OBLIGATIONS 15% 3% 18% FEDERAL AGENCIES 16% 0% 16% Total 41% 59% 100% Page 2 CITY OF DUBUQUE MONTHLY INVESTMENT SUMMARY Month Ending: 12/31/13 First Community Managed Combined Dana DB&T Trust US Bank Accounts City Finance Total COST BASIS ANALYSIS Cost Basis Prior Month 6,412,432 8,341,106 5,224,626 7,654,148 27,632,312 46,896,253 74,528,564 Additions: Interest Eamings 6,101 1 7,722 238 14,063 13,661 27,723 Realized Gains (Losses) (618) (777) (1,289) (2,684) (2,684) Capital Deposits 0 Total Additions 5,483 1 6,945 (1,051) 11,378 13,661 25,039 Subtractions: Management Fees (2,712) (1,737) (1,074) (1,593) (7,115) (7,115) Custodian Fees (556) (633) (499) (603) (2,291) (2,291) Bank Charges (510) (510) Capital Withdrawals 0 Total Subtractions (3,267) (2,370) (1,573) (2,196) (9,406) (510) (9,916) Cost Basis Current Month 6,414,648 8,338,737 5,229,998 7,650,901 27,634,285 46,909,403 74,543,687 Net Cash Receipts & (Disbursements) (7,063,220) (7,063,220) Ending Cost Basis Balance 6,414,648 8,338,737 5,229,998 7,650,901 27,634,285 33,846,183 67,480,467 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 2013 Gross Effective Duration in Years Market Indices 6,520,199 8,348,455 5,174,601 7,669,201 27,712,456 47,384,900 75,097,356 6,504,670 16,495 6,521,165 8,323,555 11 8,323,566 5,114,468 7,626,622 27,569,315 21,502 35,600 73,609 5,135,971 7,662,222 27,642,924 34,248,421 42,518 34,290,939 61,817,736 116,127 61,933,863 0.04% 0.01% 0.24% 0.75 (0.27 %) (0.30 %) 0.02% 2.07 (0.72 %) (0.75 %) (1.01 %) 3.86 (0.06 %) (0.09 %) 0.34% 1.35 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% (0.87 %) (0.14%) (0.75 %) 3.25% 0.09% (2.60 %) 0.37% (1.25%) 0.09% (2.60 %) 0.37% (1.25 %) 0.11% 2.71% 0.81% 2.14% City of Dubuque Schedule of Certificates of Deposit, Accrued Interest, High Yield Savings Accounts & Unspent Bond Proceeds As of December 31, 2013 Certificates of Deposit: Certificate Number Institution CIM Cost Basis Purchase Date Maturity Date Interest Rate Days to Maturity Accrued Days Accrued Interest 3375 27438 3425 27485 27636 27637 27647 DB &T EDSB DB &T EDSB EDSB EDSB EDSB M 1,000,000 07/18/13 01/16/14 0.24% M 1,000,000 08/01/13 01/30/14 0.25% M 1,000,000 08/16/13 02/14/14 0.26% M 800,000 09/06/13 03/06/14 0.25% M 1,000,000 11/26/13 05/26/14 0.37% M 800,000 12/05/13 06/05/14 0.37% M 1,000,000 12/13/13 07/31/14 0.37% 16 30 45 65 146 156 212 166 152 137 116 35 26 18 1,091.51 1,045.26 975.89 638.16 355.75 211.42 182.96 Totals 6,600,000 4,500.95 Weighted Yield: 0.302% Weighted Maturity in Days: 94.8 High Yield Savings Accounts Account DMASWA City CD Balance Accrued Interest 6,600,000 4,500.95 0 0.00 6,600,000 4,500.95 Account Number Institution CIM Ending Balance APR Month End Accrued Interest 671460 DB &T 44444116 EDSB C 4,023,645 C 1,203,508 0.10% 0.31% 694.71 937.22 5,227,153 1,631.93 U.S. Treasury Bond Account c/M Ending Maturity Face Value Accrued Number Institution Balance Date Interest Rate Interest 2152 -1478 LPL Financial C 2,334,265 Unspent Bond Proceed Investment Accounts: 02/15/37 4.75% Bond Issue Institution CIM Ending Balance APR Month End 2009A 2009B 2010A 2010B 2010D 2010F 2011A 2012A 2012B 2012C 2012D 2012E 2012F 2012H DB &T DB &T 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 223,032 C 454,720 C 420,551 C 1,928,897 C 119,511 C 1,064,422 C 857,329 C 4,363,733 C 3,813,654 C 4,068,743 C 3,512,573 C 1,706,677 C 761,533 C 2,035,997 0.50% 0.30% 0.30% 0.30% 0.20% 0.05% 0.30% 0.32% 0.32% 0.32% 0.32% 0.17% 0.35% 0.17% 25,331,372 (M) = DUBUQUE METROPOLITAN AREA SOLID WASTE AGENCY (C) = CITY FUNDS 36,385.52 Print Date: 1/23/2014