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CONSENT CALENDAR
City of San Bernardino
Request for Council Action
Date: November 19, 2025
To: Honorable Mayor and City Council Members
From: C. Jeannie Fortune, Interim Director of Finance & Management Services
Department: Finance & Management Services
Subject: Investment Portfolio Report for September 2025 (All Wards)
Recommendation:
It is recommended that the Mayor and City Council of the City of San Bernardino, California, accept and file the Monthly Investment Portfolio Report for September 2025.
City Manager’s Comments:
The City Manager recommends acceptance of the Monthly Investment Portfolio Report.
Executive Summary
This action is to receive and file the Investment Portfolio for the month of September 2025. This is regular business of the Mayor and City Council ensuring that City investments are in compliance with the Mayor and Council approved Investment Policy.
Background
The City’s Statement of Investment Policy requires that a monthly Investment Portfolio Report be prepared and submitted to the Mayor and City Council. Section III, Chapter N of the City’s approved 2025-26 Investment Policy reads as follows, “The Director of Finance shall submit to the City Council, on a monthly basis, a report summarizing the individual transactions executed within the month.” The Director of Finance will prepare, review, and present the City’s Investment Portfolio Report and confirm that the portfolio is in compliance with the City’s Investment Policy.
Discussion
The Investment Portfolio Report provides a synopsis of investment activity for the City’s investment portfolio for the month ending September 30, 2025. 3 0
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The City’s Investment Portfolio is in compliance with California Government Code section 53601; and, there is sufficient cash flow from a combination of liquid and maturing securities, bank deposits, and income to meet the City’s expenditure requirements.
Description of Investment Type:
State local Agency investment Fund (LAIF) – a State program created by statute that offers local agencies the opportunity to participate in a major portfolio using the investment expertise of the State Treasurer’s office. The City policy states that the maximum investment amount permitted by California state law regular LAIF accounts is $75m. Current value: $84.9m.
Certificates of Deposit – savings accounts offered by banks and credit unions Par Market Book
Value Value Value
State Local Agency Investment Fund $84,877,629 84,877,629 84,877,629 26.68% 23.57% Certificates of Deposit $500,000 482,252 500,000 0.16% 30.00% Federal Agency Issues - Coupon $32,000,000 31,173,350 31,994,425 10.06% No cap Money Market Funds $178,686,096 178,686,096 178,686,096 56.16% 20.00% Corporate Notes $18,125,000 17,676,413 18,120,304 5.70% 30.00% Supranationals $4,000,000 3,977,790 3,999,333 1.26% 10.00% TOTAL Investments $318,188,725 316,873,530 $318,177,788 100.00% Investments % of
Portfolio
% per
City
Policy
S tate Local A gency
Investment F und
26.7%
Certificates of Deposit
0.2%
F ederal A gency Issues
- Coupon
10.1%
M oney M arket F unds
56.2%
Corporate Notes
5.7%
S upranationals
1.3%
% of P ortfolio
S tate Local A g ency Investment F und Certificates of Deposit F ederal A g ency Issues - Coupon Money Market F unds
Corporate Notes S upranationals
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offering a fixed interest rate for a specific period of time (guaranteed interest rate). The City policy states that the maximum investment amount permitted is up to 30% of the City’s portfolio ($318m x 30% = $95.4m). Current value: $500k. Federal Agency Issues Coupon – purchase of debt securities issued by either a U.S. federal agency (such as Federal Housing Administration (FHA), Small business Administration (SBA), Government National Mortgage Association (GNMA) – “Ginnie Mae,” or a government-sponsored enterprise (GSE) such as Fannie Mae, Freddie Mac or the Federal Home Loan Bank (FHLB). There is no maximum amount (cap) in the City policy for investing in federal agency issues coupons. Current investment: $32m.
Money Market Funds – type of mutual funds that invest in highly, liquid, short- term debt securities, which typically include Treasury bills, municipal bonds, and tax-exempt commercial paper. The City policy states that the maximum investment amount permitted is 20% of the City’s portfolio ($318m x 20% = $63.6m). Current value: $178m.
Corporate Notes – purchase of debt securities issued by corporations to raise capital. Like bonds, they represent a loan from the investor to the company, in exchange for regular interest payments and the return of the principal amount at maturity. The City policy states that the maximum investment amount permitted is up to 30% of the City’s portfolio ($318m x 30% = $95.4m). Current value: $18m.
Supranationals – a debt security issued by a supranational entity, an organization formed by two or more governments to promote economic development for member countries (ex. World Bank or European Investment Bank). These organizations issue bonds to fund operations and development projects, with the expectation of repayment from operational revenue. The City policy states that the maximum investment amount permitted is up to 10% of the City’s portfolio ($318m x 10% = $31.8m). Current value: $4m.
2021-2025 Strategic Targets and Goals
The acceptance and filing of the attached Investment Portfolio Report aligns with Key Target No. 1: Improved Operational & Financial Capacity by implementing, maintaining, and updating a fiscal accountability plan.
Fiscal Impact
There is no fiscal impact associated with receiving and filing the monthly investment report.
Conclusion
It is recommended that the Mayor and City Council of the City of San Bernardino, California, accept and file the Monthly Investment Portfolio Report for September 2025. 3 0
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Attachments
Attachment 1 Investment Portfolio Management Summary Report, Sept 2025 Attachment 2 FY2025-26 Adopted Investment Policy
Ward:
All Wards
Synopsis of Previous Council Actions:
N/A
CC: Eric Levitt, City Manager