AGENDA ITEM #7
TOWN OF FAIRFAX
STAFF REPORT
May 4, 2022
TO: Mayor and Town Council
FROM: Janet Garvin, Town Treasurer
SUBJECT: Receive Treasurer’s Report for Quarter Ending March 31, 2022 _______________________________________________________________________________________
RECOMMENDATION
Receive the Treasurer’s Report.
DISCUSSION
California Government Code requires that the Town Treasurer submit to the Town Clerk and the legislative body periodic written reports of fund balances. Town policy stipulates that the Treasurer may submit investment reports at least quarterly. The last Treasurer’s Report was for December 31, 2021, which was presented at the February 2, 2022 meeting.
Cash balances are:
As of Mar. 31, 2022 As of Mar. 31, 2021
Bank of Marin checking $ 330,170 $ 276,561
LAIF account 5,157,672 3,933,477
Total cash $ 5,487,842 $ 4,270,038
Historically low interest rates in 2020 and in 2021 to support the economy during the coronavirus pandemic affected the Town’s interest rate earnings and projections. On March 16, 2022, the Federal Reserve approved a quarter-percent point increase of its benchmark short-term borrowing rate, the first such increase since December 2018. Fed officials indicated an aggressive rate increase path ahead, with potential rate increases coming at each of the remaining six meetings of 2022.
State of California Local Agency Investment Fund (LAIF) earned 0.32% as the quarterly apportionment rate for the quarter ending March 31, 2022, up by 0.09% from the quarterly apportionment rate of 0.23% for the previous quarter ending December 31, 2021. Interest earned for the quarter ending March 31, 2022 was $4,694 compared with $2,179 in interest earned for the quarter ended December 31, 2021, despite the higher LAIF account balance of $6,105,493 at December 31, 2021—due to the higher interest rate in the first quarter of 2022.
ATTACHMENTS
The most recent LAIF performance report and the LAIF Regular Monthly Statement as of March 31, 2022 are attached.
Mar 0.365
Feb 0.278
Jan 0.234
0.0000087565717685
0.988753538
LAIF Earnings Ratio(2):
LAIF Fair Value Factor(1):
PMIA Daily(1): 0.42%
LAIF Apportionment Rate 0.32 (2):
PMIA Quarter to Date(1): 0.29%
PMIA Average Life 310 (1):
Treasuries
66.18%
Agencies
17.78%
Certificates of
Deposit/Bank Notes
7.38%
Time
Deposits
1.99%
Commercial
Paper
6.11%
Corporate
Bonds
0.20%
Loans
0.36%
A Average Monthly
ffective Yields(1)
Quarterly Performance
Quarter Ended 03/31/22
Chart does not include $5,704,000.00 in mortgages, which equates to 0.003%. Percentages may not total 100% due to rounding.
Pooled Money Investment Account
Monthly Portfolio Composition (1)
03/31/22
$207.9 billion
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001
April 28, 2022
LAIF Home
PMIA Average
Monthly Yields
CITY OF FAIRFAX
FINANCE DIRECTOR
142 BOLINAS ROAD
FAIRFAX, CA 94930
Account Number: 98-21-290
March 2022 Statement
Tran Type
Definitions
Effective
Date
Transaction
Date
Tran
Type Confirm
Number
Web
Confirm
Number Authorized Caller Amount
3/18/2022 3/17/2022 RW 1699290 N/A MICHAEL VIVRETTE -450,000.00 Account Summary
Total Deposit: 0.00 Beginning Balance: 5,607,671.70
Total Withdrawal: -450,000.00 Ending Balance: 5,157,671.70 LAIF Regular Monthly Statement Page 1 of 1
https://laifms.treasurer.ca.gov/RegularStatement.aspx 4/28/2022 California State Treasurer
Fiona Ma, CPA