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HomeMy WebLinkAbout17 O.C. INVEST POOL SE 04-03-95 NO. 17 4-3-95 .\ ~...~,. · Inter-Com ... ATE: MARCH 29, 1995 TO: FROM: SUBJECT: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL WILLIAM A. HUSTON, CITY MANAGER COUNTY OF ORANGE INVESTMENT POOL SETTLEMENT AGREEMENT The County of Orange and the Creditors Committee representing participants in the Orange County Investment Pool have reached an agreement on payment of funds remaining in the investment pool. The agreement also deals with the County's obligations to pay pool participants the difference between the remaining cash and the value of each agency's investment at the time the bankruptcy was filed. The agreement provides that each pool participant must act on the agreement by April 17, 1995. Because Tustin had $183,570 of accrued interest, in the pool when the County filed for bankruptcy, the City' is a party'to the agreement. As of this date, the final agreement has not been distributed to the pool participants. This matter has been placed on the agenda in order to provide the City Council the flexibility to take action on the agreement if necessary. Based on information released concerning the agreement, the City would receive $140,209 of the interest amount by June 1995. An additional $6,646 (recovery notes) would also be paid by June, 1995. The balance of $36,715 would be secured by notes or claims payable over an undetermined period of time. An additional amount of interest earned since December 1994 would also be.paid over time. The City Council is also scheduled to hold a closed session concerning the bankruptcy case. Staff recommends that this agenda item be taken up after the closed session. oc i pag rm. wah