HomeMy WebLinkAbout17 O.C. INVEST POOL SE 04-03-95 NO. 17
4-3-95
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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.
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