TO: Mayor and City Council
FROM: Philippe Eskandar, City Manager
BY: Hillary Guirola-Leon , Finance Director
DATE: December 11, 2024
SUBJECT: CASH AND INVESTMENT REPORT FOR THE MONTH OF
OCTOBER 2024
STRATEGIC PLAN CRITICAL SUCCESS FACTORS
Fiscally Responsible and Transparent City Government
BACKGROUND
The City of San Marino’s Investment Policy adopted by the City Council on April 10, 2024, Section 16.0, Reporting, stipulates that the Treasurer shall review and render monthly reports to the City Council of all cash and investments held by the City. The report shall include the following information for all cash accounts and bank deposits:
• Balance at the end of the month
• Interest rate (for all interest-bearing active deposits) The report shall include the following information for all investments:
• A listing of individual securities held at the end of the month, by security type;
• Issuer, date of maturity, date of purchase, par and the dollar amount invested;
• Coupon, discount or earnings rate; and
• Current market value as of the date of the report and the source of this same valuation; and
• The weighted average maturity and weighted average yield of all investments combined.
Steven W. Huang, DDS, Mayor
Gretchen Shepherd Romey, Vice Mayor
Tony Chou, Council Member
Calvin Lo, Council Member
Steve Talt, Council Member
The above information may be submitted in the form of copies of statements received by the custodial institution. For investments with LAIF, the most recent statement or statements received from the State Treasurer may be included in the monthly report in lieu of the information noted above.
The report shall include a listing of all investment transactions for the month (Government Code Section 53607). The report must also include a statement of compliance of the portfolio to the statement of investment policy, or manner in which the portfolio is not in compliance, as well as a statement denoting the ability of the local agency to meet its expenditure requirements for the next six months, or an explanation as to why sufficient money shall, or may, not be available (Government Code Section 53646).
Reports shall be rendered to the City Council and City Manager within 30 days following the end of the month of the period covered by the report.
DISCUSSION
PORTFOLIO SUMMARY
The City maintains petty cash on City facilities, cash in bank, cash in a transactional investment account, deposits with the Local Agency Investment Fund (LAIF), two Section 115 Trusts, investments in negotiable Certificates of Deposit, investments in Municipal Securities, and investments in U.S.
Government Agency Securities. All items are detailed in the attachment to this report.
A summary of portfolio content is found below. The attachment to this report offers specific detail on each category of investment.
PORTFOLIO PERFORMANCE
As of October 31, 2024, the annual percentage yield earned on the bank IMMA is 4.09%. The effective yield for LAIF deposits is 4.518%. The average yield on CDs is 3.34%. The average yield on US Government Agency Securities is
1.899%. The effective yield on Municipal Securities is 4.218% Total combined portfolio yield for October 2024 is 3.71%
Allocation
Petty Cash on City Premises $ 1,397 0%
Cash in Bank-checking accounts 4,538,427 14%
Cash in Bank-IMMA 1,807,666 6%
CERBT Section 115 Trust 800,000 3%
CEPPT Section 115 Trust 1,500,000 5%
Deposits with LAIF 10,938,784 34%
Certificates of Deposit 7,297,000 23%
Treasury Obligations - 0%
US Government Agency Securities 4,000,000 13%
Municipal Securities 979,500 3%
Cash and Investments $ 31,862,773 100%
Cash and Investments Portfolio Summary
City of San Marino
2022 2023 2024
Jan 0.234 2.425 4.012
Feb 0.278 2.624 4.122
Mar 0.365 2.831 4.232
Apr 0.523 2.870 4.272
May 0.684 2.993 4.332
Jun 0.861 3.167 4.480
Jul 1.09 3.305 4.516
Aug 1.276 3.434 4.579
Sep 1.513 3.534 4.575
Oct 1.772 3.670 4.518
Nov 2.007 3.843
Dec 2.173 3.929
Local Agency Investment Fund (LAIF)
Average Monthly Effective Yields
FISCAL IMPACT & PROCUREMENT REVIEW
There is no fiscal impact and procurement review is not applicable.
LEGAL REVIEW
The City Attorney's office has reviewed and approved as to form.
RECOMMENDATION
Staff recommends the Council receive and file this report. If the City Council concurs with staff’s recommendation, an appropriate motion would be: “I move to receive and file the Cash and Investment Report for the Month of October 2024.”
ATTACHMENTS
1. Treasurer’s Report as of October 31, 2024
2022 2023 2024
Jan $38,874,033 $42,597,554 $39,122,223
Feb $39,427,777 $43,137,917 $38,930,344
Mar $37,844,008 $40,882,226 $37,428,779
Apr $42,640,301 $44,354,391 $42,745,381
May $44,028,030 $46,423,758 $45,009,003
Jun $43,343,341 $43,117,061 $43,336,679
Jul $40,325,190 $37,719,068 $36,943,792
Aug $39,295,510 $35,726,641 $35,154,415
Sep $37,543,079 $33,058,478 $34,014,793
Oct $37,097,652 $31,757,354 $31,862,773
Nov $35,389,890 $30,557,552
Dec $41,311,610 $37,017,250
Total Cash and Investments