INVESTMENT REPORT
FOR THE
QUARTER ENDING
JUNE 30, 2026
CITY OF HERCULES, CALIFORNIA
2025-2026
FISCAL YEAR
CITY OF HERCULES
FINANCE DEPARTMENT
111 CIVIC DRIVE
HERCULES, CALIFORNIA 94547-1771
PHONE: 510-799-8200
September 8, 2026
Honorable Mayor and Members of the City Council:
I hereby affirm that the investment portfolio, as of June 30, 2026, complies with all relevant state laws and conforms to the City’s investment policy. The anticipated revenues from ongoing City operations, coupled with the available liquidity from cash deposits, sufficiently cover the City’s expenditure requirements for the upcoming months.
As of June 30, 2026, the City possesses adequate financial resources to meet its expenditure obligations for the next six months.
Sincerely,
Edwin Gato
Finance Director/City Treasurer
1 City of Hercules, California
Investment Portfolio Summary Report
For the Quarter Ended June 30, 2026
Book % of Average Market
Value Total Yield Value
Cash on Hand $2,005 $2,005
Cash on Deposit 16,488,623 16,488,623
Total Cash on Hand 16,490,628 19.72% 0.00% 16,490,628
Local Agency Investment Fund (LAIF) 58,318,180 69.74% 3.82% 58,252,420 Irrevocable Trust (Pension) 2,969,273 3.55% 9.40% 2,969,273 Irrevocable Trust (OPEB) 3,395,545 4.06% 9.40% 3,395,545 Investments with Bond Trustees 2,442,874 2.92% 3.52% 2,442,874 Total Portfolio $83,616,500 100.00% 5.58% $83,550,740
Amount over (under) Market Value vs. Book Value ($65,760) % of Portfolio -0.0786%
Investments by Type
Cash on Hand
LAIF
Irrevocable Trust
(Pension)
Irrevocable Trust
(OPEB)
Investments with
Trustees
2 City of Hercules
Detail for Investment Portfolio Summary Report
For the Quarter Ended June 30, 2026
(DAYS)
BOOK MARKET PURCHASE MATURITY LIFE TO REMAINING PAR MARKET
DESCRIPTION VALUE YIELD DATE DATE MATURITY LIFE VALUE VALUE
CASH ON HAND
PETTY CASH 2,005.00 0.00% 2,005.00 $2,005.00
CASH IN BANK
MECHANICS BANK - GENERAL CHECKING 8,320,138.68 0.00% 8,320,138.68 8,320,138.68 MECHANICS BANK - HERCULES RDA 8,122,530.95 0.00% 8,122,530.95 8,122,530.95 MECHANICS BANK - PD ASSET SEIZURE 45,953.68 0.00% 45,953.68 45,953.68 TOTAL AND AVERAGES 16,488,623.31 16,488,623.31 16,488,623.31
LOCAL AGENCY INVESTMENT FUND (LAIF)
LAIF 58,318,180.13 3.82% 4/1/2026 6/30/2026 90 - 58,318,180.13 58,252,419.50
IRREVOCABLE TRUST (PENSION/OPEB)
US BANK MUTUAL (PARS-OPEB) 3,395,544.65 9.40% 4/1/2026 6/30/2026 90 - 3,395,544.65 3,395,544.65 US BANK MUTUAL (PARS-PENSION) 2,969,272.56 9.40% 4/1/2026 6/30/2026 90 - 2,969,272.56 2,969,272.56 TOTAL AND AVERAGES 6,364,817.21 9.40% 90 - 6,364,817.21 6,364,817.21
INVESTMENTS WITH BOND TRUSTEES
THE BANK OF NEW YORK (BNY) JM 05 1 RESERVE
FUND 55,797.47 0.00% 1/1/2026 6/30/2026 90 - 55,797.47 55,797.47
THE BANK OF NEW YORK (BNY) MELLON TRUST
HERCULES PFA WW INTEREST ACCT 21 A 2,887.50 0.00% 1/1/2026 6/30/2026 90 - 2,887.50 2,887.50
THE BANK OF NEW YORK (BNY) MELLON TRUST
(HERCULES PFA 09 REVENUE FUND) 832,155.78 3.52% 1/1/2026 6/30/2026 90 - 832,155.78 832,155.78
THE BANK OF NEW YORK (BNY) MELLON TRUST
(HERCULES PFA 09 DEBT SERV PRIN ACCT) 332,854.13 3.52% 1/1/2026 6/30/2026 90 - 332,854.13 332,854.13
THE BANK OF NEW YORK (BNY) MELLON TRUST
(HERCULES PFA 09 DEBT SERV INT ACCT) 298,963.92 3.52% 1/1/2026 6/30/2026 90 - 298,963.92 298,963.92
THE BANK OF NEW YORK (BNY) MELLON TRUST
(HERCULES PFA 09 RESERVE FD) 920,215.00 3.52% 1/1/2026 6/30/2026 90 - 920,215.00 920,215.00 TOTAL AND AVERAGES 2,442,873.80 3.52% 90 - 2,442,873.80 2,442,873.80 TOTAL INVESTMENT REPORT $83,616,499.45 5.58% 90 - $83,616,499.45 $83,550,738.82 3 City of Hercules, California
Investment Portfolio Summary Report
For the Quarter Ended June 30, 2026
% of
Cash Description Book Value Total
Bond Trustee $2,442,874 3%
Irrevocable Trust 6,364,817 8%
Restricted 51,371,924 61%
General Fund 21,962,913 26%
Internal Service Funds 1,473,971 2%
Total, Book Value $83,616,499 100%
Restricted:
Wastewater 21,568,464
Successor Housing 6,605,268
Development Impact Fees 4,201,651
Capital Projects 3,869,632
Landscape & Lighting 2,282,015
SB1 RMRA 1,810,985
Gas Tax & Measure J "Street" 1,345,449
Successor Agency 8,122,531
Solid Waste 481,790
Agency Fund 863,792
Asset Seizure 124,147
COPS Program 96,200
51,371,924
Bond Trustee
3% Irrevocable Trust
8%
Restricted
61%
General Fund
26%
Internal Service Funds
2%
Cash by Fund
4 June 3.816
May 3.810
April 3.811
March 3.826
February 3.871
LAIF Apportionment Rate(2): 3.92
LAIF Earnings Ratio(2): 0.00010743238142967
LAIF Administrative Cost(1)*:0.22
PMIA Average Life(1): 269
LAIF Fair Value Factor(1): 0.998872382
PMIA Daily(1): 3.83
PMIA Quarter to Date(1): 3.81
Treasuries
57.20%
Agencies
21.76%
Certificates of
Deposit/Bank Notes
10.82%
Time
Deposits
2.78%
Commercial
Paper
6.72%
Corporate
Bonds
0.60%
Loans
0.12%
Notes: The apportionment rate includes interest earned on the CalPERS Supplemental Pension Payment pursuant to Government Code 20825 (c)(1) .
*The percentage of administrative cost equals the total administrative cost divided by the quarterly interest earnings. The law provides that administrative costs are not to exceed 5% of quarterly EARNINGS of the fund. However, if the 13-week Daily Treasury Bill Rate on the last day of the fiscal year is below 1%, then administrative costs shall not exceed 8% of quarterly EARNINGS of the fund for the subsequent fiscal year.
Source:
(1) State of California, Office of the Treasurer
(2) State of California, Office of the Controller
PMIA Average Monthly
Effective Yields(1)
PMIA/LAIF Performance Report
as of 06/30/26
Daily rates are now available here. View PMIA Daily Rates Quarterly Performance
Quarter Ended 06/30/26
Chart does not include $749,000.00 in mortgages, which equates to 0.0004%. Percentages may not total 100% due to rounding.
Pooled Money Investment Account
Monthly Portfolio Composition (1)
06/30/26
$193.1 billion
5