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HomeMy WebLinkAbout01 QUARTERLY INVESTMENT REPORT FOR THE CITY OF TUSTIN AND THE SUCCESSOR AGENCYAgenda Item Reviewed: r AGENDA REPORT City Manager Finance Director `? MEETING DATE: AUGUST 4, 2015 TO: JEFFREY C. PARKER, CITY MANAGER FROM: PAMELA ARENDS-KING, FINANCE DIRECTOR/CITY TREASURER SUBJECT: QUARTERLY INVESTMENT REPORT FOR THE CITY OF TUSTIN AND THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY SUMMARY: Government Code Section 53646 requires that the Treasurer make an Investment Report to the City Council at least quarterly showing balances by authorized investment and certifying its compliance with the adopted Investment Policy. RECOMMENDATION: Receive and file. DISCUSSION: In compliance with Government Code Section 53646, the attached Investment Report reporting cash and investments for the City of Tustin and the Successor Agency for the Tustin Community Redevelopment Agency for the quarter ending June 30, 2015 is rendered. The City's total cash and investments as of 6/30/15 was $207.5 million, an increase of $45.7 million from 6/30/14's total cash and investments of $161.8 million. Major activity that contributed to the significant increase in cash as of 6/30/15 was the sale of land at Tustin Legacy (Legacy), the former Marine Corps Air Station, to Standard Pacific for development of 375 single family homes for $55.9 million and an additional $15 million for backbone infrastructure. The City also reimbursed Vestar/Kimco $18.2 million for capital projects the Company completed and paid off the City's Safety Side Fund with CalPERS totaling $4.7 million. The average cash balance for fiscal year 2014/15 was $188.7 million with an average weighted portfolio yield of 0.82% and the average weighted days to maturity was 707 days. The average cash balance for fiscal year 2013/14 was $161.5 million with an average weighted portfolio yield of 0.56% and the average weighted days to maturity was 450 days and for fiscal year 2012/13 the QUARTERLY INVESTMENT REPORT FOR THE CITY OF TUSTIN AND THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY August 4, 2015 Page 2 of 2 average cash balance was $150.4 million with an average weighted portfolio yield of 0.33% and the average weighted days to maturity was 167 days. Although the interest rates have not increased for the past three years, the average weighted portfolio yield has increased a total of 0.49% due to the increase in the average weighted days to maturity. Interest earnings on a cash basis for fiscal year 2014/15 were $1.487 million, a $572 thousand increase in interest earnings from fiscal year 2013/15. Fiscal year 2012/13 interest earnings on a cash basis was $460.4 thousand. The increase in cash balances over the last three years has contributed to the increase in interest earnings, however, the careful monitoring of the City's cash flow needs so funds could be invested for a longer term, with diversification of investments allowable under California Government Code and the City's Investment Policy is the primary reason for the significant difference in interest earnings as the average weighted portfolio yield went from 0.33% to 0.82%. The investment portfolio is currently laddered to reflect the projected cash flow needs of the City within the next three years for the completion of various capital projects primarily within the Legacy and for water rehabilitation projects. Pamela Arends-King Finance Director/City Treasurer Attachment: June 30, 2015 Quarterly Investment Report F CITY OF TUSTIN and THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY r1 U CITY OF TUSTIN and THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY DISTRIBUTION OF CASH AND INVESTMENTS June 30, 2015 DISTRIBUTION OF CASH AND INVESTMENTS Total Investments as of 0613012015: $207,481,505 US Treasury $34,465,016 1F_F1% Bonds $18,397,860 8.87% Certificate of Deposit $12,152,000 5.86% pal Bonds $4,016,012 1.94% J 0 �' DISTRIBUTION OF CASH AND INVESTMENTS Total Investments as of 0613012014: $161,836,817 Commercial Paper Municipal $1,996,442 Bonds 1.23% $1,003,800 0.62% Negotiable Certificate of Deposit $5,208,000 3.22% Corporate Bonds $14,165,907 8.75% CITY OF TUSTIN and THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY PORTFOLIO WEIGHTED AVERAGE June 30, 2015 900 800 700 600 500 400 300 200 100 WEIGHTED AVERAGE PORTFOLIO LIFE (DAYS) 0 ;� 0.90% N N N N M M M M 0.80% Ln Ln ci ci ci ci ci ci ci ci ci ci ci ci O O O O O O O 0 O 0 O O O O O O N N N N N N N N N N N N N N \ \ O \ O \ \ \ O \ O \ c) \ \ O \ O \ \ \ O m m m m m m m m m m m M m m m m m m m m \ m \ l0 \ Ol \ N \ m \ l0 \ Ol \ N \ m \ l0 \ Ol \ N \ m \ l0 Weighted Average Portfolio Life (Days) IIIIIIIII ON WEIGHTED AVERAGE PORTFOLIO YIELD (%) vs. BENCHMARKS 1.00% 0.90% 0.80% 0.70% 0.60% "F- 0.50% J V 0.40% 0.30% 0.20% 0.10% 0.00% N N N N M M M M -tT -tT -tT -tT Ln Ln O N m cn \ M O O O O N N N N O O cn cn m m m m \ \ \ \ l0 01 N M ci O N O m \ l0 O N O m \ 01 O N m cn \ N ci O N m cn \ M O N O m \ l0 O N O m \ 01 O N cn m \ N ci O N m cn \ M O N O m \ l0 —4 --Tustin Weighted Average Portfolio Yield (%) —11—Treasury Yield (24 -month Daily) (%) fLAI F Yield (%) CITY OF TUSTIN and THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY DISTRIBUTION OF INVESTMENT LIQUIDITY and COMPLIANCE WITH INVESTMENT POLICY June 30, 2015 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% Liquidity Distribution to 1 year gars gars gars gars years 3 Compliance with Investment Limitations Total % T Up to 1 2 years 3 years 4 years 5 years > 5 year years to 1 year gars gars gars gars years 3 Compliance with Investment Limitations Total % Invested Compli, Commercial Notes: <_ 15% of total portfolio 8.87% Yes <_ 5 years remaining maturity n/a Yes Commercial Paper: <_ 25% of total portfolio 0.00% Yes <_ 270 days remaining maturity n/a Yes If >_ 15% of total portfolio, weighted avg must be <_ 90 days n/a Yes Municipal securities: <_ 15% of total portfolio 1.94% Yes <_ 5% in one issuer 1.94% Yes Federal agency bonds or notes: <_ 75% of total portfolio 44.83% Yes <_ 5 years remaining maturity n/a Yes U.S. Treasury securities: <_ 5 years remaining maturity n/a Yes Negotiable Certificates of Deposit <_ 30% of total portfolio 5.86% Yes Maturity limitations: <_ 5 years maturity n/a Yes 75% of Fiscal Year General Fund Budgeted Expenditures <_ 1 year 95.67% Yes Commercial Paper and Commercial Notes: <_ 5% of total portfolio in one issuer 2.97% Yes CITY OF TUSTIN and THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY CORPORATE BOND RATINGS June 30, 2015 Berkshire Hathaway Finance Global Sr Unsecured Toyota Motor Credit Corp Domestic MTN Sr Unsecur Berkshire Hathaway Finance Global Sr Unsecured Royal Bank of Canada Royal Bank of Canada BB&T Corporation JPMorgan Chase & Co Global Sr Unsecured John Deere Capital Corp Wal-Mart Stores Inc. Microsoft Corporation Global Sr Unsecured Toyota Motor Credit Corp Domestic MTN Sr Unsecur 084664BX8 $2,000,000 Rating at Purchase AA Current Rating Moody's S&P Fitch Complies? Aa2 AA A+ Yes 89233P5S1 2,000,000 AA- Aa3 AA- A Yes 084670BD9 4,000,000 AA Aa2 AA A+ Yes 7801OUD20 1,000,000 Aa3 Aa3 AA- AA Yes 78011 DAC8 1,000,000 AAA Aaa NR AAA Yes 05531 FAM5 1,000,000 A2 A2 A- A+ Yes 46625HJG6 2,000,000 A A3 A A+ Yes 24422ESB6 2,125,000 A2 A2 A A Yes 931142DF7 1,000,000 AA Aa2 AA AA Yes 594918AV6 1,000,000 AAA Aaa AAA AA+ Yes 89236TBP9 1,000,000 A Aa3 AA- A Yes The City's investment policy requires that corporate issuances have at least an 'A' rating from one of the three rating agencies at the time of purchase. 4 CITY OF TUSTIN and THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY INVESTMENT REPORT INVESTMENT SCHEDULE AS OF: JUNE 30, 2015 (4) (5) YIELD ORIGINAL COST/ CURRENT (1) (2) COUPON/ TO (3) PURCHASE MATURITY CURRENT BOOK MARKET DESCRIPTION -LIMITS CUSIP PAR VALUE Dollar Price MATURITY RATING DATE DATE VALUE VALUE US TREASURY BILLS/NOTES-No Limit: U.S. Treasury Note 912828A67 $3,000,000 $99 0.42% 01/08/14 12/31/15 $2,990,165 $3,001,641 U.S. Treasury Note 912828WF3 3,000,000 $99 0.63% 05/13/14 11/15/16 3,008,803 3,007,734 U.S. Treasury Note 9128281374 2,000,000 99 0.64% 02/12/15 02/15/17 2,005,148 2,002,656 U.S. Treasury Note 9128281374 5,000,000 $99 0.64% 11/05/14 02/15/17 5,005,048 5,006,640 U.S. Treasury Note 912828k66 2,000,000 $99 0.55% 05/13/15 04/30/17 1,998,431 1,996,718 U.S. Treasury Note 912828WP1 5,000,000 $99 0.92% 06/11/14 06/15/17 4,993,479 5,022,655 U.S. Treasury Note 912828D98 2,000,000 $99 1.06% 09/16/14 06/15/17 1,996,774 4,982,420 U.S. Treasury Note 912828TG5 5,000,000 $99 0.58% 07/31/12 07/31/17 4,979,333 2,011,562 U.S. Treasury Note 912828TW0 3,000,000 $99 1.05% 07/14/14 10/31/17 2,975,523 2,997,423 U.S. Treasury Note 912828UJ7 2,000,000 $99 1.04% 11/24/14 01/31/18 1,995,564 2,000,312 U.S. Treasury Note 912828VE7 2,500,000 $100 0.92% 04/29/15 05/31/18 2,516,748 2,500,780 $34,500,000 $34,465,016 $34,530,541 FEDERAL AGENCIES - 75% Limit: Freddie Mac Global Bond 3134G5GE9 3,000,000 $100 0.57% AA+ 08/26/14 08/26/16 3,000,000 3,001,842 Federal Home Loan Bank US Domestic 313370TW8 4,000,000 $102 0.64% AA+ 08/25/14 09/09/16 4,146,929 4,072,292 Freddic Mac 3134G5LS2 2,000,000 $100 0.60% AA+ 11/17/14 11/17/16 2,000,000 1,997,992 Federal Home Loan Bank 3130A5UB3 2,000,000 $100 0.55% AA+ 06/26/15 12/16/16 2,000,000 1,999,212 Freddie Mac Global Bond 3134G5SB2 3,000,000 $100 0.75% AA+ 12/19/14 12/19/16 3,000,000 3,002,901 Freddie Mac 3134G5VG7 2,000,000 $100 0.78% AA+ 12/29/14 12/29/16 2,000,000 2,002,408 Freddie Mac 3134G5AQ8 2,000,000 $100 0.70% AA+ 06/11/14 12/30/16 2,000,000 2,000,772 Freddie Mac 3134G6AY9 3,500,000 $100 0.70% AA+ 02/17/15 02/17/17 3,500,000 3,502,342 Federal Home Loan Bank Global Bond 3130A27E0 2,000,000 $100 0.80% AA+ 06/30/14 03/24/17 2,000,000 2,002,556 Federal Home Loan Bank 3130A3ML5 2,000,000 $100 0.75% AA+ 12/30/14 03/30/17 2,000,000 2,001,570 Federal Farm Credit Bank 3133EEZR4 2,000,000 $99 0.61% AA+ 04/29/15 04/21/17 2,000,066 1,995,798 Freddi Mac 3134G6Q22 2,000,000 $100 0.88% AA+ 06/30/15 06/30/17 2,000,000 2,001,162 Federal Farm Credit Bank 3133EELS7 1,000,000 $100 0.88% AA+ 01/27/15 07/27/17 1,000,000 999,724 Federal Home Loan Bank Global Bond 3130A4BE1 2,000,000 $100 1.05% AA+ 02/25/15 08/25/17 2,000,000 2,002,798 Fannie Mae 3135GOPD9 5,000,000 $99 1.09% AA+ 02/10/14 09/27/17 5,015,765 5,008,385 Federal Home Loan Bank US Domestic 3130A4V58 2,000,000 $100 1.00% AA+ 04/27/15 10/27/17 2,000,000 1,998,530 Freddi Mac 3134G6WQ2 1,000,000 $100 1.00% AA+ 04/20/15 11/20/17 1,000,000 998,705 Federal Home Loan Bank - US Domestic 3130A44P4 2,000,000 $100 1.00% AA+ 02/27/15 11/27/17 2,000,000 1,999,318 Fannie Mae 3135GOTD5 1,000,000 $99 1.00% AA+ 07/21/14 12/28/17 994,594 996,635 Fannie Mae 3136G23B1 2,000,000 $100 1.30% AA+ 08/15/14 02/15/18 2,000,000 2,001,400 Federal Farm Credit Bank 3133EDQM5 2,000,000 $100 1.11% AA+ 02/20/15 02/20/18 2,000,000 2,005,936 Fannie Mae 3136G1DG1 2,000,000 $99 1.05% AA+ 07/01/14 02/27/18 1,994,233 2,001,046 Freddie Mac 3134G35Y2 2,000,000 $99 1.17% AA+ 03/13/14 03/12/18 1,986,065 1,994,612 Federal Home Loan Bank 3130A5S59 1,000,000 $100 1.10% AA+ 06/29/15 03/29/18 1,000,000 999,132 Federal Farm Credit Bank 3133EELN8 3,000,000 $100 1.23% AA+ 01/20/15 04/23/18 3,000,000 2,996,040 Freddie Mac 3134G6ZT3 2,000,000 $100 1.20% AA+ 04/28/15 05/18/18 2,000,000 2,000,002 Federal Farm Credit Bank 3133EEM98 1,000,000 $99 1.01% AA+ 05/18/15 05/21/18 999,700 997,606 Freddie Mac 3134G46D5 2,000,000 $99 1.29% AA+ 06/03/14 06/12/18 2,004,400 1,993,746 Fannie Mae 3136G21371 1,000,000 $100 1.40% AA+ 12/22/14 6/22/18 1,000,000 1,001,874 (4) (5) YIELD ORIGINAL COST/ CURRENT (1) (2) COUPON/ TO (3) PURCHASE MATURITY CURRENT BOOK MARKET DESCRIPTION -LIMITS CUSIP PAR VALUE Dollar Price MATURITY RATING DATE DATE VALUE VALUE FEDERAL AGENCIES - 75% Limit: (continued) Freddi Mac 3134G6Q30 2,000,000 $100 1.35% AA+ 06/29/15 06/29/18 2,000,000 2,004,540 Federal Home Loan Bank Global Bond 313381U60 2,000,000 $99 1.15% AA+ 07/14/14 07/25/18 1,990,797 1,989,508 Fannie Mae 3136GOSP7 250,000 $99 1.45% AA+ 06/03/14 10/30/18 249,485 249,470 Federal Farm Credit Bank 3133EEK33 1,850,000 $100 1.63% AA+ 05/13/15 05/13/19 1,850,417 1,847,586 Federal Farm Credit Bank 3133EDN81 1,000,000 $100 1.85% AA+ 06/12/14 06/12/19 1,000,000 1,000,168 Federal Home Loan Bank US Domestic 3130A3NA8 1,000,000 $101 2.00% AA+ 12/02/14 09/17/19 1,013,460 1,003,806 Freddie Mac 3134G3N97 1,750,000 $99 1.55% AA+ 02/05/15 10/10/19 1,754,010 1,724,917 Freddie Mac Global Bond 3134G3V72 2,000,000 $99 1.66% AA+ 03/27/15 11/21/19 2,007,340 1,984,666 Freddie Mac Global Bond 3134G32Z2 1,000,000 $99 1.71% AA+ 06/22/15 01/08/20 1,001,152 990,938 Fannie Mae 3135GOTB9 1,000,000 $99 1.63% AA+ 04/28/15 01/09/20 1,002,342 991,918 Federal Home Loan Bank (Step Up) 3130A4CB6 2,000,000 $100 1.25% AA+ 02/27/15 02/27/20 2,000,000 2,003,606 Federal Home Loan Bank (Step Up) 3130A4ZJ4 2,000,000 $100 1.25% AA+ 05/13/15 05/13/20 2,000,000 1,988,976 Freddie Mac (Step Up) 3134G6WP4 1,000,000 $100 1.00% AA+ 05/13/15 05/13/20 1,000,000 993,799 Federal Farm Credit 3133EEM56 1,000,000 $100 1.90% AA+ 05/13/15 05/19/20 1,000,000 1,004,233 Fannie Mae 3136G2KT3 2,000,000 $100 1.75% AA+ 05/14/15 05/26/20 2,000,000 1,991,352 Fannie Mae 3136G2J81 2,000,000 $100 1.85% AA+ 04/28/15 05/27/20 2,000,000 1,985,774 Federal Home Loan Bank (Step Up) 3130A5EQ8 1,000,000 $100 1.00% AA+ 06/11/15 06/11/20 1,000,000 999,876 Freddie Mac (Step Up) 3134G6P64 1,500,000 $100 1.80% AA+ 06/11/15 06/11/20 1,500,000 1,502,654 Federal Farm Credit Bank 3133EEX21 2,000,000 $100 2.00% AA+ 06/15/15 06/15/20 2,000,000 1,999,920 Federal Home Loan Bank (Step Up) 3130A5NT2 1,000,000 $100 1.25% AA+ 06/29/15 06/26/20 1,000,000 1,001,324 Freddi Mac 3134G6T45 2,000,000 $100 2.00% AA+ 06/30/15 06/30/20 2,000,000 1,993,692 $92,850,000 $93,010,755 $92,829,059 MUNICIPAL BONDS - 15% Limit: California St Txabl- General Obligation UNLTD 13063CPN4 $2,000,000 $100 1.15% Aa3 12/04/14 11/01/17 $2,006,632 $2,004,460 California St Txabl- General Obligation UNLTD 13063CSQ4 $2,000,000 $100 1.70% Aa3 04/29/15 04/01/20 $2,009,380 $1,982,220 $4,000,000 $4,016,012 $3,986,680 NEGOTIABLE CERTIFICATES OF DEPOSITS - 30% Limit - FDIC Insured Tradition Capital Bank 89269FBK0 248,000 $100 0.40% 203 07/03/13 07/02/15 248,000 248,000 Medallion Bank of Utah 58403BQ33 248,000 $100 0.50% 300 06/26/14 12/28/15 248,000 248,179 Safra National Bank 78658QEP4 248,000 $100 0.55% 196 08/15/14 02/16/16 248,000 248,247 Enerbank USA 29266NA80 248,000 $100 0.65% 300 07/24/14 08/01/16 248,000 248,170 First National Bank Paragould 32114LAG4 248,000 $100 0.65% 294 07/24/14 08/01/16 248,000 248,170 TCF National Bank 872278GD2 248,000 $100 0.70% 230 07/24/14 08/01/16 248,000 248,302 Talmer Bank & Trust 87482VAA3 248,000 $100 0.70% 163 08/06/14 08/08/16 248,000 248,286 Flushing Bank 34387AAJ8 248,000 $100 0.70% 216 08/15/14 08/15/16 248,000 248,271 Great Southern Bank 39120VRK2 248,000 $100 1.00% 200 08/28/14 02/28/17 248,000 248,511 BMW Bank North America 05568P6W2 248,000 $100 1.00% 281 03/14/14 03/14/17 248,000 249,111 Ally Bank 02006LDP5 248,000 $100 1.00% 261 03/17/14 03/27/17 248,000 249,016 Barclays Bank/Delaware 06740KGE1 248,000 $100 1.05% 300 04/14/14 04/18/17 248,000 248,961 First Savings Bank 33621LAZ6 248,000 $100 1.10% 267 08/21/14 08/21/17 248,000 248,057 Provident Bank 743837BN5 248,000 $100 1.05% 239 08/21/14 08/21/17 248,000 247,863 Spring Bank 849430AC7 248,000 $100 1.00% 294 08/22/14 08/22/17 248,000 247,854 First Bank of Highland 319141CG0 248,000 $100 1.10% 190 08/27/14 08/28/17 248,000 247,854 Homebanc 43738AFQ4 248,000 $100 1.10% 149 08/27/14 08/28/17 248,000 247,854 Highland Bank 429882EK5 248,000 $100 1.05% 143 08/29/14 08/29/17 248,000 247,846 Synovus Bank 87164DFK1 248,000 $100 1.15% 223 08/29/14 08/29/17 248,000 248,107 Investors Bank/Short Hills 46176PEF8 248,000 $100 1.00% 242 05/13/15 11/20/17 248,000 247,444 (1) DESCRIPTION -LIMITS NEGOTIABLE CD's - 30% Limit - FDIC Insured (Continued) Traditions Bank Middleton Community Bank Compass Bank Marlin Business Bank Third Federal Savings & Loan Wells Fargo Bank Sallie Mae Bank/Salt Lake City First Bank McComb HSBC Bank USA First Business Bank First Capital Bank GE Capital Retail Bank Discover Bank American Express Bank FSB Bridgewater Bank Connectone Bank Capital One Bank USA CIT Bank American Express Centruion Bank First Source Bank GE Capital Bank Peoples United Bank Bank of Georgetown Privatebank & Trust Co Machias Savings Bank BMO Harris Bank (Step Up) JP Morgan Chase Bank Goldman Sachs Bank USA Comenity Capital Bank CORPORATE BONDS - 10% Limit: Berkshire Hathaway Finance Global Sr Unsecured Toyota Motor Credit Corp Domestic MTN Sr Unsecur Berkshire Hathaway Finance Global Sr Unsecured Royal Bank of Canada Royal Bank of Canada BB&T Corporation JPMorgan Chase & Co Global Sr Unsecured John Deere Capital Corp Wal-Mart Stores Inc. Microsoft Corporation Global Sr Unsecured Toyota Motor Credit Corp Domestic MTN Sr Unsecur (4) (5) YIELD ORIGINAL COST/ CURRENT (2) COUPON/ TO (3) PURCHASE MATURITY CURRENT BOOK MARKET CUSIP PAR VALUE Dollar Price MATURITY RATING DATE DATE VALUE VALUE 89269CBJO 248,000 $100 1.20% 229 07/18/14 01/18/18 248,000 248,051 596689EA3 248,000 $100 1.25% 252 07/09/14 02/09/18 248,000 248,026 20451PKX3 248,000 $100 1.25% 203 05/13/15 05/21/18 248,000 246,491 57116AJE9 248,000 $100 1.45% 300 12/16/14 06/25/18 248,000 247,678 88413QAZ1 248,000 $100 1.25% 224 02/13/15 08/13/18 248,000 249,295 94986TNE3 248,000 $100 1.83% 262 08/30/13 08/29/18 248,000 250,243 795450RA5 248,000 $100 2.15% 300 10/30/13 10/30/18 248,000 252,120 319234AJ9 248,000 $100 1.50% 188 06/30/15 02/28/19 248,000 246,977 40434AJV2 248,000 $100 1.25% 250 04/07/14 04/25/19 248,000 244,950 31938QL69 248,000 $100 1.45% 261 05/13/15 05/28/19 248,000 246,005 31944FBH2 248,000 $100 1.50% 166 01/14/15 05/28/19 248,000 249,563 3616OKL60 248,000 $100 2.00% 300 05/27/14 05/30/19 248,000 249,336 2546712E9 248,000 $100 2.00% 300 07/09/14 07/09/19 248,000 248,775 02587CAC4 248,000 $100 1.95% 300 07/10/14 07/10/19 248,000 248,767 108622EE7 248,000 $100 1.55% 276 01/14/15 07/26/19 248,000 249,515 20786ABA2 248,000 $100 1.55% 219 01/14/15 07/29/19 248,000 249,491 140420QN3 248,000 $100 2.00% 300 11/05/14 11/05/19 248,000 248,688 17284C2R4 248,000 $100 2.15% 284 11/05/14 11/05/19 248,000 249,712 02587DWKO 248,000 $100 2.20% 300 12/21/14 11/29/19 248,000 248,560 33646CFE9 248,000 $100 1.75% 276 06/30/15 12/30/19 248,000 245,717 36162PFS6 248,000 $100 1.80% 281 01/14/15 01/16/20 248,000 249,058 71270QLM6 248,000 $100 1.85% 205 01/14/15 01/21/20 248,000 249,007 06424XBT8 248,000 $100 1.65% 202 01/14/15 01/30/20 248,000 248,924 74267GUW5 248,000 $100 1.80% 277 01/14/15 01/30/20 248,000 248,811 554479DS1 248,000 $100 1.65% 254 02/06/15 02/06/20 248,000 248,858 05573JR89 248,000 $100 2.07% 246 02/27/15 02/27/20 248,000 245,833 48125T21_8 248,000 $100 2.00% 206 02/27/15 02/27/20 248,000 246,497 38148JMVO 248,000 $100 1.95% 287 03/11/15 03/11/20 248,000 246,957 20033ALD6 248,000 $100 2.15% 300 06/29/15 06/29/20 248,000 246,254 $12,152,000 $12,152,000 $12,162,262 084664BX8 $2,000,000 $100 0.60% AA 03/19/14 08/15/16 $2,018,458 $2,004,198 89233P5S1 2,000,000 $103 0.89% AA- 08/21/14 01/12/17 2,059,442 2,031,690 084670BD9 4,000,000 $102 0.82% AA 06/05/14 01/31/17 4,139,989 4,062,412 7801OUD20 1,000,000 $100 1.17% Aa3e 06/16/14 06/16/17 1,002,100 1,001,921 78011DAC8 1,000,000 $100 1.20% AAA 06/08/15 09/09/17 1,004,433 998,440 05531FAM5 1,000,000 $99 1.45% A2 02/18/15 01/12/18 1,001,430 995,801 46625HJG6 2,000,000 $100 1.75% A 02/10/14 01/25/18 2,005,360 2,006,168 24422ESB6 2,125,000 $100 1.17% A2 02/09/15 03/12/18 2,144,865 2,120,195 931142DF7 1,000,000 $99 1.35% AA 11/24/14 04/11/18 994,209 996,180 594918AV6 1,000,000 $101 1.15% AAA 05/21/15 12/06/18 1,024,138 1,008,616 89236TBP9 1,000,000 $100 2.06% A 07/22/14 07/18/19 1,003,436 1,003,209 $18,125,000 Current Totals: $18,397,860 $18,228,830 rA (4) (5) YIELD ORIGINAL COST/ CURRENT (1) (2) COUPON/ TO (3) PURCHASE MATURITY CURRENT BOOK MARKET DESCRIPTION -LIMITS CUSIP PAR VALUE Dollar Price MATURITY RATING DATE DATE VALUE VALUE DAILY -No Limit: Reconciled General Checking Account Ending Balance 0.14% N/A (6) Deposits in Orange Co. Investment Pool 0.44% (7) Local Agency Investment Fund 0.29% N/A Current Daily -No Limit Total: CITY OF TUSTIN CASH AND INVESTMENTS Unrestricted General Fund cash balance as of 06/30/15 (unaudited) Semi -restricted cash balance as of 06/30/15 (unaudited) ( Capital Projects, Proceeds from Land Sales, Backbone Infrastructure) Restricted Cash balances as of 06/30/15 (unaudited) (Water, Special Revenue Funds, Community Facility Districts, Bond Proceeds) CITY OF TUSTIN CASH AND INVESTMENTS TOTAL: SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY CASH AND INVESTMENTS TOTAL: (1) DESCRIPTION -LIMITS Restricted Deposits with Fiscal Agents: 1998 RDA Tax Allocation Refunding Bonds 2010 RDA Housing Tax Allocation Bonds 2010 RDA Tax Allocation Bonds 2011 Water Revenue Bonds 2012 Refunding Water Revenue Bonds 2013 Water Revenue Bonds CFD 04-1 CFD 06-1 CFD 07-1 PERFORMANCE MEASUREMENT: Weighted Average Days to Maturity: 783 Weighted Average Portfolio Yield: 0.91% Current 24 mo Treasury Equivalent: 0.64% YIELD (2) COUPON/ TO CUSIP PAR VALUE Dollar Price MATURITY N/A N/A N/A N/A N/A N/A N/A N/A N/A 8 (3) PURCHASE MATURITY RATING DATE DATE (8) Total Restricted Deposits with Fiscal Agents: $6,900,329 $6,900,329 10,426,034 10,426,034 28,113,499 28,113,499 $45,439,862 $45,439,862 $207,481,505 $207,177,234 $28,053,548 71,684,340 100,818,863 $200,556,751 $6,924,754 (4) (5) CURRENT CURRENT BOOK MARKET VALUE VALUE $1,689,808 $1,689,808 1,872,644 1,872,644 2,827,757 2,827,757 1,782,700 1,782,700 1 1 4 4 1,075,291 1,075,291 11, 055, 545 11, 055, 545 1,933,305 1,933,305 $22,237,055 $22,237,055 FOOTNOTES: (1) DESCRIPTION -LIMITS reflects the various authorized investments as documented in the most current adopted investment policy and the allowable percentage of total portfolio per investment type. (2) PAR VALUE Is the full value of the security before any discount or premium is paid at purchase, (3) Highest ratings from Standards S Poor's, Moody's or IDG Publishing Inc for bank ratings. IDC ratings are t (lowest) to 300 (highest). (4) Original Purchase Price is the amount paid for securities less any discount plus any premium and accrued Interest Amotization of discount or premium booked annually or when investment is soldlcalledlor matures. (5) Current Market Value Is the price at which similar securities are currently trading. Current market values are provided by Bank of America and the State Treasurer's Office on all securities or deposits held in safekeeping for the City and the Successor Agency for the Tustin Community Redevelopment Agency. Market value differences are only booked at year end. (6) Earnings allowance on compensating bank valances to offset bank activity charges. Allowance is included in the Average Yield calculation. The cash balances Include amounts "swept" from account for overnlght investments, (7) Orange County Treasury Money Market Fund rating is AAAm. Orange County Treasury Extended Fund is not rated by sponsor's choice. (8) Investments and earnings on monies held by fiscal agents generally are limited as to type and yield by the bond documents. CERTIFICATION: We certify that this report reflects all City of Tustin and the Successor Agency for the Tustin Community Redevelopment Agency (SATCRA) pooled investments. Excluding the Barclays Bank PLC Domestic Sr. Unsecured bond, the Investments represented in this report are in conformity with the current adopted investment policy of the City of Tustin. The market values represented in this report are provided by Custodians and Trustees currentty holding securities for the City of Tustin and SATCRA. The investment program herein shown provides sufficient cash flow liquidity to meet the next twelve (12) months estimated expenditures. This statement Is prepared in conformance with Secttfof the t-,ovemment e. / Signed; Dan Erickson, Chair, City of Tustin Audit Commission Pamela Arends-King, Finance Director/ City Treasurer CITY OF TUSTIN and THE SUCCESSOR AGENCY TO THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY INVESTMENT REPORT INVESTMENT SUMMARY JUNE 30, 2015 PERFORMANCE MEASUREMENT: /eighted Average Portfolio Life (Days): 78' /eighted Average Portfolio Yield: 0.9V urrent 24 mo Treasury Equivalent: 0.64° Cash with Fiscal Agents are the Reserve and Construction funds held by Trustees for various City and RDA bond issues. Investment options are limited to those specifically permitted by bond documents. Allowable Total Original Cost/ Current Maximum Portion of Percentage Book Value Market DESCRIPTION PAR VALUE Maturity Portfolio of Portfolio Total Value U. S. Treasuries $34,500,000 5 yrs No Limit 16.6% $34,465,016 $34,530,541 Federal Agencies $92,850,000 5 yrs 75% 44.8% 93,010,755 92,829,059 Municipal Bonds $4,000,000 5 yrs 15% 1.9% 4,016,012 3,986,680 Commercial Paper $0 5 yrs 15% 0.0% Negotiable Certificates of Deposits $12,152,000 N/A 30% 5.9% 12,152,000 12,162,262 Corporate Bonds $18,125,000 5 yrs 10% 8.9% 18,397,860 18,228,830 Cash N/A N/A N/A 3.3% 6,900,329 6,900,329 Deposits in Orange County Commingled Pool N/A N/A N/A 5.0% 10,426,034 10,426,034 Local Agency Investment Fund N/A N/A N/A 13.5% 28,113,499 28,113,499 100.0% $207,481,505 $207,177,234 Restricted Cash with Fiscal Agents N/A N/A N/A 22,237,055 22,237,055 $229,718,560 $229,414,289 PERFORMANCE MEASUREMENT: /eighted Average Portfolio Life (Days): 78' /eighted Average Portfolio Yield: 0.9V urrent 24 mo Treasury Equivalent: 0.64° Cash with Fiscal Agents are the Reserve and Construction funds held by Trustees for various City and RDA bond issues. Investment options are limited to those specifically permitted by bond documents. City of Tustin and The Successor Agency for the Tustin Community Redevelopment Agency April 2015 through June 2015 Investment Transactions PURCHASES "l Trade Settlement Accrued Total Purchase Maturity Yield to Description CUSIPH Date Date Par Amount Principal Interest Price Date Coupon Rate Maturity Federal Home Loan Bank (Federal Agency Bond) 3130A4V58 04/01/15 04/27/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 10/27/17 1.00% 1.00% State of California General Obligation Bond 13063CSQ4 04/27/15 04/29/15 2,000,000 $ 2,009,380 $ - $ 2,009,380 04/01/20 1.80% 1.70% U.S. Treasury Note 912828VE7 04/28/15 04/29/15 2,500,000 $ 2,506,445 $ 10,302 $ 2,516,747 05/31/18 0.92% 0.92% Federal Farm Credit (Federal Agency Bond) 3133EEZR4 04/28/18 04/29/15 2,000,000 $ 1,999,800 $ 268 $ 2,000,068 04/21/17 0.60% 0.61% Fannie Mae (Federal Agency Bond) 3135GOTB9 04/28/15 04/30/15 1,000,000 $ 997,500 $ 4,841 $ 1,002,341 01/09/20 1.57% 1.63% Federal Home Loan Bank (Federal Agency Bond) 3130A4Z14 04/20/15 05/13/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 05/13/20 1.25% 2.03% (Step Up) Freddie Mac (Federal Agency Bond) 3134G6WQ2 04/20/15 05/20/15 1,000,000 $ 1,000,000 $ - $ 1,000,000 11/20/17 1.00% 1.00% Freddie Mac (Federal Agency Bond) 3134G6ZT3 04/28/15 05/18/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 05/18/18 1.20% 1.20% Fannie Mae (Federal Agency Bond) 3136G2181 04/28/15 05/27/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 05/27/20 1.85% 1.85% Freddie Mac (Federal Agency Bond) 3134G6WP4 05/01/15 05/13/15 1,000,000 $ 1,000,000 $ - $ 1,000,000 05/13/20 1.00% 2.00% (Step Up) U.S. Treasury Notes 9128281<66 05/13/15 05/14/15 2,000,000 $ 1,998,051 $ 380 $ 1,998,430 04/30/17 0.50% 0.55% Federal Farm Credit Bank (Federal Agency Bond) 313BEEKBB 05/13/15 05/18/15 1,850,000 $ 1,850,000 $ 418 $ 1,850,418 05/13/19 1.63% 1.63% Federal Farm Credit Bank (Federal Agency Bond) 3133EEM56 05/13/15 05/19/15 1,000,000 $ 1,000,000 $ - $ 1,000,000 05/19/20 1.90% 1.90% Compass Bank (Negotiable CD) 20451PKXB 05/13/15 05/20/15 248,000 $ 248,000 $ - $ 248,000 05/21/18 1.25% 1.25% Investors Bank/Short Hills (Negotiable CD) 46176PEF8 05/13/15 05/20/15 248,000 $ 248,000 $ - $ 248,000 11/20/17 1.00% 1.00% First Business Bank (Negotiable CD) 31938QL69 05/13/15 05/28/15 248,000 $ 248,000 $ - $ 248,000 05/28/19 1.45% 1.45% Federal Farm Credit Bank (Federal Agency Bond) 313BEEM98 05/18/15 05/21/15 1,000,000 $ 999,700 $ - $ 999,700 05/21/18 1.00% 1.01% Fannie Mae (Federal Agency Bond) 3136G2KT3 05/14/15 05/26/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 05/26/20 1.75% 1.75% Microsoft Corporation 594918AV6 05/21/15 05/27/15 1,000,000 $ 1,016,420 $ 7,716 $ 1,024,139 12/06/18 1.63% 1.15% Royal Bank of Canada 78011DAC8 06/03/15 06/08/15 1,000,000 $ 1,001,800 $ 2,633 $ 1,004,433 09/19/17 1.12% 1.12% Federal Farm Credit (Federal Agency Bond) 313BEEX21 06/09/15 06/15/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 06/15/20 2.00% 2.00% Federal Home Loan Bank (Federal Agency Bond) 3130ASEQ8 05/13/15 06/11/15 1,000,000 $ 1,000,000 $ - $ 1,000,000 06/11/20 1.00% 2.06% (Step Up) Freddie Mac (Federal Agency Bond) 3134G6P64 05/13/15 06/11/15 1,500,000 $ 1,500,000 $ - $ 1,500,000 06/11/20 1.80% 2.16% (Step Up) Freddie Mac (Federal Agency Bond) 3134G6Q30 05/13/15 06/29/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 06/29/18 1.35% 1.35% Freddie Mac (Federal Agency Bond) 3134G6T45 05/18/15 06/30/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 6/30/2020 2.00% 2.00% First Bank McComb (Negotiable CD) 319234A19 06/18/15 06/30/15 248,000 $ 248,000 $ - $ 248,000 02/28/19 1.50% 1.50% First Source Bank (Negotiable CD) 33646CFE9 06/18/15 06/30/15 248,000 $ 248,000 $ - $ 248,000 12/30/19 1.75% 1.75% Comenity Capital Bank (Negotiable CD) 2033ALD6 06/18/15 06/29/15 248,000 $ 248,000 $ - $ 248,000 06/29/20 2.15% 2.15% Freddie Mac Global (Federal Agency Bond) 3134G32Z2 06/19/15 06/22/15 1,000,000 $ 994,000 $ 7,152 $ 1,000,000 01/08/20 1.57% 1.71% Federal Home Loan Bank 3130ASNT2 06/24/15 06/29/15 1,000,000 $ 1,000,000 $ 1,000,000 06/29/20 1.25% 2.49% (Step Up) Federal Home Loan Bank (Federal Agency Bond) 31BOASS59 06/25/15 06/29/15 1,000,000 $ 1,000,000 $ - $ 1,000,000 03/29/18 1.10% 1.10% Federal Home Loan Bank (Federal Agency Bond) 31BOASUBB 06/26/15 06/30/15 2,000,000 $ 2,000,000 $ - $ 2,000,000 12/16/16 0.55% 0.55% "l `1K SALES/MATURITIES/CALLS Purchase Principal Net Amortized Trade Maturity Sales/Call Principal Sale/Maturity/C Gain/(Loss) Premium Coupon Yield to Description CUSIPH Date Date Date Par Amount Amount all Amount on Principal Interest Rate Maturity Federal Home Loan Bank (Federal Agency Bond)(Call) 313OAlGZS 03/21/14 04/17/14 04/17/15 2,000,000 $ 2,000,000 $ 2,000,000 $ - $ - 1.35% 1.35% Federal Home Loan Bank (Federal Agency Bond)(Call) 313382A94 12/19/13 2/28/2018 04/28/15 1,500,000 $ 1,491,000 $ 1,500,000 $ 9,000 $ - 1.25% 1.40% Federal Home Loan Bank (Federal Agency Bond) (Call) 3130AOWLO 02/05/14 11/28/17 05/01/15 1,000,000 $ 1,000,000 $ 1,000,000 $ - $ - 1.20% 1.20% Freddie Mac (Federal Agency Bond) (Call) 3134GSMP7 10/23/14 11/03/17 05/04/15 2,000,000 $ 2,000,000 $ 2,000,000 $ - $ - 1.13% 1.13% Federal Farm Credit Bank (Federal Agency Bond) (Call) 3133EDL75 05/01/14 05/08/18 05/08/15 1,000,000 $ 1,000,000 $ 1,000,000 $ - $ - 1.41% 1.41% Freddie Mac (Federal Agency Bond)(Call) 3134G54B8 04/28/14 02/15/17 05/15/15 3,000,000 $ 3,000,000 $ 3,000,000 $ - $ - 0.90% 0.90% Freddie Mac Global (Federal Agency Bond) (Call) 3134GSHA6 08/21/14 09/19/16 06/19/15 3,000,000 $ 3,000,000 $ 3,000,000 $ - $ - 0.70% 0.70% Merrick Bank (Negotiable CD) 59012Y3T2 06/24/13 06/22/15 248,000 $ 248,000 $ 248,000 $ - $ - 0.50% 0.50% Farmers & Merchant Bank (Negotiable CD) 30246ACK2 06/27/13 06/26/15 248,000 $ 248,000 $ 248,000 $ - $ - 0.40% 0.40% First General Bank (Negotiable CD) 320337AP3 06/26/13 06/26/15 248,000 $ 248,000 $ 248,000 $ - $ - 0.40% 0.40% Fox Chase Bank (Negotiable CD) 35137QAP9 06/27/13 06/29/15 248,000 $ 248,000 $ 248,000 $ - $ - 0.40% 0.40% Freddie Mac (Federal Agency Bond)(Call) 3134G57A7 05/30/14 06/26/19 06/26/15 2,000,000 $ 2,000,000 $ 2,000,000 $ - $ - 1.80% 1.80% Lake Forest Bank & Trust (Negotiable CD) 509685EQ2 06/28/13 06/29/15 248,000 $ 248,000 $ 248,000 $ - $ - 0.45% 0.45% Worth Shore Commercial Bank & Trust (Negotiable CD) 66236BV8 06/28/13 06/29/15 248,000 $ 248,000 $ 248,000 $ - $ - 0.45% 0.45% `1K