CC 2024-11-12_09b Investment Deposits
Item 9.b.
MEMORANDUM
TO: City Council
FROM: Nicole Valentine, Administrative Services Director
BY: Lynda Horejsi, Accounting Manager
SUBJECT: Statement of Investment Deposits for September 2024
DATE: November 12, 2024
RECOMMENDATION:
Receive and file the attached report listing investment deposits of the City of Arroyo
Grande as of September 30, 2024, as required by Government Code Section 53646(b).
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
There is no funding impact on the City related to these reports. However, the City does
receive interest revenue based on the interest rate of the investments. Little to no future
staff time is projected.
BACKGROUND:
The Administrative Services department has historically submitted to the City Council a
monthly report providing the following information:
1. Type of investment.
2. Financial institution (bank, savings and loan, broker, etc.).
3. Date of maturity.
4. Principal amount.
5. Rate of interest.
6. Current market value for all securities having a maturity of more than 12 months.
7. Relationship of the monthly report to the annual statement of investment policy.
ANALYSIS OF ISSUES:
This report represents the City’s investments as of September 30, 2024, and includes all
investments managed by the City. As of September 30, 2024, the investment portfolio
complied with all State laws and the City’s investment policy.
Page 50 of 174
Item 9.b.
City Council
Statement of Investment Deposits for September 2024
November 12, 2024
Page 2
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Approve staff’s recommendation to receive and file the attached report listing the
investment deposits;
2. Do not approve staff’s recommendation; or
3. Provide other direction to staff.
ADVANTAGES:
Safety of principal is the foremost objective of the City. Investments are undertaken in a
manner that seeks to ensure the preservation of capital in the overall portfolio .
DISADVANTAGES:
Some level of risk is present in any investment transaction. Losses could be incurred due
to market price changes, technical cash flow complications such as the need to withdraw
a non-negotiable Time Certificate of Deposit early, or even the default of an issuer. To
minimize such risks, diversification of the investment portfolio by institution and by
investment instruments are being used as much as is practical and prudent.
ENVIRONMENTAL REVIEW:
The Statement of Investment Deposits is not a project subject to the California
Environmental Quality Act (“CEQA”) because it has no potential to result in either a direct,
or reasonably foreseeable indirect, physical change in the environment. (State CEQA
Guidelines, §§ 15060, subd. (c)(2)-(3), 15378).
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2.
ATTACHMENTS:
1. Portfolio Summary: September 30, 2024
Page 51 of 174
ATTACHMENT 1300 E. Branch St.Arroyo Grande, CA 93420Phone: (805) 473-5400CITY OF ARROYO GRANDEPortfolio SummarySeptember 30, 2024Investments Principal ValueCurrent Market Value Interest Rate Date of PurchaseTerm Maturity Date% of PortfolioLocal Agency Investment Fund5,278,114.43$ 5,278,114.43$ 4.575% 18.388%Certificates of DepositPacific Premier Bank 249,000.00 249,000.00 4.880% February 21, 2024 12 mos February 21, 2025 0.868%Mountain America Federal Credit Union 249,000.00 249,000.00 4.750% October 14, 2022 24 mos October 15, 2024 0.868%Enerbank USA 247,000.00 247,000.00 1.850% October 25, 2019 60 mos October 25, 2024 0.861%Wells Fargo Bank 249,000.00 249,000.00 4.600% October 28, 2022 24 mos October 28, 2024 0.868%Beal Bk Plano TX 247,000.00 247,000.00 1.350% March 26, 2022 36 mos March 26, 2025 0.861%Beal Bk Las Vegas NV 247,000.00 247,000.00 1.250% March 26, 2022 36 mos March 26, 2025 0.861%First Technology Federal 248,000.00 248,000.00 5.000% April 14, 2023 24 mos April 14, 2025 0.864%Flagstar Bank 245,000.00 245,000.00 0.850% May 15, 2020 60 mos May 15, 2025 0.854%American Express National Bank 246,000.00 246,000.00 3.100% May 25, 2022 36 mos May 25, 2025 0.857%New York Community Bank 249,000.00 249,000.00 0.550% July 1, 2021 48 mos July 1, 2025 0.868%Chief Financial Federal Credit Union 249,000.00 249,000.00 4.600% October 12, 2022 36 mos October 14, 2025 0.868%Live Oak Bank 249,000.00 249,000.00 3.150% May 25, 2022 48 mos May 26, 2026 0.868%UBS Bank USA 249,000.00 249,000.00 0.900% July 21, 2021 60 mos July 21, 2026 0.868%Toyota Financial Savings Bank 248,000.00 248,000.00 0.950% July 22, 2021 60 mos July 22, 2026 0.864%Chartway Federal Credit Union 248,000.00 248,000.00 5.250% July 28, 2023 60 mos July 28, 2026 0.864%California Credit Union Glendale 243,000.00 243,000.00 5.450% October 26, 2023 36 mos October 26, 2026 0.847%Alliant Credit Union 248,000.00 248,000.00 5.500% November 15, 2023 36 mos November 16, 2026 0.864%Bank United NA 249,000.00 249,000.00 1.350% December 8, 2021 60 mos December 8, 2026 0.868%Capital One Bank USA 248,000.00 248,000.00 1.250% December 8, 2021 60 mos December 8, 2026 0.864%Discover Bank 246,000.00 246,000.00 3.200% May 18, 2022 60 mos May 19, 2027 0.857%United Teletech Financial Credit Union 248,000.00 248,000.00 3.500% November 8, 2023 53 mos April 1, 2028 0.864%Morgan Stanley Bank 244,000.00 244,000.00 4.650% April 6, 2023 60 mos April 6, 2028 0.850%Maine Savings Federal Credit Union 249,000.00 249,000.00 4.800% July 21, 2023 60 mos July 21, 2028 0.868%Bank Hapoalim BM New York 244,000.00 244,000.00 4.600% May 21, 2024 60 mos May 21, 2029 0.850%Morgan Stanley Private Bank 244,000.00 244,000.00 4.650% May 22, 2024 60 mos May 22, 2029 0.850%Total Certificates of Deposit6,182,000.00 6,182,000.00 21.544%Agency BondsFederal Home Loan Bank 499,252.43 520,795.73 1.000% July 19, 2022 29 mos December 20, 2024 1.739%Federal Farm Credit Bank 998,431.00 982,846.43 0.430% March 17, 2021 48 mos March 3, 2025 3.479%Federal Natl Mortgage Assn 1,000,000.00 967,182.90 0.500% October 20, 2020 60 mos October 20, 2025 3.484%Federal Home Loan Bank 999,500.00 957,847.22 0.800% March 17, 2021 60 mos March 10, 2026 3.482%Federal Home Loan Bank 994,396.00 968,919.69 2.400% March 17, 2021 72 mos March 29, 2027 3.464%Federal Home Loan Bank 500,000.00 494,005.39 3.375% May 17, 2022 60 mos May 17, 2027 1.742%Federal Agriculture Mortgage Corp 2,029,036.00 2,088,081.24 4.320% May 17, 2024 60 mos April 26, 2029 7.068%Total Agency Bonds7,020,615.43 6,979,678.60 24.458%Page 52 of 174
ATTACHMENT 1300 E. Branch St.Arroyo Grande, CA 93420Phone: (805) 473-5400CITY OF ARROYO GRANDEPortfolio SummarySeptember 30, 2024Investments Principal ValueCurrent Market Value Interest Rate Date of PurchaseTerm Maturity Date% of PortfolioMunicipal BondsCalifornia State GO Various Purp Bond 491,810.00$ 491,355.00$ 3.100% May 12, 2022 47 mos April 1, 2026 1.713%California State Taxable GO Unlimited 1,256,116.00 1,333,072.20 3.500% November 1, 2023 53 mos April 1, 2028 4.376%Total Municipal Bonds1,747,926.00 1,824,427.20 6.089%Treasury ObligationsU.S. Treasury 365 -Day Bill 4,999,380.89 5,028,142.70 5.000% August 22, 2024 3 mos November 29, 2024 17.416%U.S. Treasury BL-2024 Series 2,489,952.50 2,499,023.45 4.500% March 4, 2024 9 mos November 30, 2024 8.674%U.S. Treasury Z-2026 Series 984,728.00 953,750.00 1.100% December 6, 2021 53 mos May 31, 2026 3.431%Total Treasury Obligations8,474,061.39 8,480,916.15 29.521%TOTAL INVESTMENTS28,702,717.25$ 28,745,136.38$ 100.000%Page 53 of 174