Town of Yountville
Staff Report
6550 Yount Street
Yountville, CA 94599
Agenda Item #: {{section.number}}C
Yountville Town Council Staff Report
DATE: February 6, 2024
TO: Mayor and Town Council
FROM: Celia King, Finance Director
PREPARED BY: Kyle Batista, Financial Analyst
RECOMMENDATION
Receive and File December 2023 Quarterly Investment Report
DISCUSSION/BACKGROUND
This report represents the Town’s investment portfolio for the quarter ending December 31, 2023. The report includes all Town funds. All investments are in compliance with the Town’s adopted Investment Policy.
The Town’s investments are guided by an Investment Policy, which is reviewed and approved by the Council annually. The Investment Policy was last approved by the Town Council on June 20, 2023. The policy directs that investment goals, in order by priority, are safety, liquidity, and yield. This conservative approach ensures assets are available for use while also allowing the Town to earn additional resources on idle funds. The Town currently participates in the State investment pool known as the Local Agency Investment Fund (LAIF).
LAIF began in 1977 as an investment alternative for California’s local governments and special districts and is administered by the State of California’s Treasurer. The enabling legislation for LAIF is Section 16429.1 et seq. of the California Government Code.
This program offers local agencies the opportunity to participate in a major portfolio, which invests hundreds of millions of dollars, using the investment expertise of the Treasurer's Office investment staff at no additional cost to local agencies or taxpayers. LAIF is part of the Pooled Money Investment Account (PMIA). The PMIA began in 1955 and oversight is provided by the Pooled Money Investment Board (PMIB) and an in-house Investment Committee. The PMIB members are the State Treasurer, State Director of Finance, and State Controller.
The Town established a Section 115 Trust for Other Post-Employment Benefits and Pension Rate Stabilization with Public Agency Retirement Services (PARS). Town Council adopted a moderate investment strategy and funds are invested in a diversified portfolio. The interest rates shown are for the quarter reported.
All Town funds are invested in accordance with the approved Investment Policy with an emphasis on safety, liquidity, and yield (in that order). The Town’s investment strategy of balancing the investment portfolio between short-term investments (to meet cash flow needs) and longer-term maturities (to realize a higher rate of return) is appropriate given the current market conditions.
The investment portfolio will continue to be closely monitored to ensure the avoidance of risk and to respond to changes in market conditions. This staff report is presented as informational.
ENVIRONMENTAL REVIEW
Exempt per California Environmental Act (CEQA) Guideline, Section 15061(b)(3)
FISCAL IMPACT
Is there a Fiscal Impact? Yes
Is it Currently Budgeted? Yes
Where is it Budgeted? Interest Income
Is it Mandatory or Discretionary? Mandatory
Is there a Staff Resource Impact? Nominal
STRATEGIC PLAN GOAL
Is item Identified in Strategic Plan? Yes
If yes, Identify Strategic Goal and Objective. Responsible Fiscal Policy: The Town maintains its fiscal health through policies designed to maximize economic opportunities, manage expenses, and ensure prudent reserves.
Briefly Explain Relationship to Strategic Plan Goal and Objective. Quarterly Investment Reports provide timely information and financial transparency and allows the Council to help inform decisions related to maximizing economic opportunities to ensure prudent reserves.
TOWN OF YOUNTVILLE
QUARTERLY INVESTMENT REPORT
AS OF December 31, 2023
Current Quarter Prior Quarter Change in
12/31/2023 9/30/2023 Quarterly
Fund Cash Balance Cash Balance Cash Balance
No. Fund Name
01 General Fund 7,781,889 6,142,423 1,639,466
02 OPEB (Retiree Benefits) (127,832) (21,544) (106,288) 03 PERS UAL Reserve Fund (542,737) (267,737) (275,000)
04 Emergency Reserve Fund 2,901,861 2,877,347 24,514
05 Revenue Stabilization Fund 2,901,379 2,876,869 24,510 06 Utlty Entprs Prjct Cmtd Fund 1,704,341 1,689,944 14,398 20 State Gas Tax 157,568 158,814 (1,245)
21 Public Education & Govmnt TV 50,022 45,937 4,085
22 Tourism Improvement District 560,370 446,963 113,407 23 Public Arts Program Fee 11,561 13,369 (1,809)
24 Housing Grant Fund 139,581 138,401 1,179
25 Measure T Transportation Imp 357,244 538,609 (181,365) 26 SB1, 2017 Road Repair Act 100,451 165,708 (65,257)
27 Measure T Equivalent (MTE) 38,519 38,194 325
28 Fire Services - 32 (32)
29 UVDS Franchise Fees 127,119 126,045 1,074
30 Disabiliy Access Fee SB 1186 1,915 1,810 105
41 Civic Facilites Impact Fees 61 - 61
42 Drainage Impact Fees 20 - 20
43 Park Impact Fees 56 - 56
44 Public Safety Impact Fees - - -
45 Traffic Facilities Impact Fees 235 - 235
46 Utility Underground Impact Fees 115,138 114,155 984
47 Community Project Iimpact Fees 120 - 120
50 Capital Projects 2,145,136 2,363,693 (218,557)
54 2017 Lease Bond-CommCtrRfnd 131,515 564,807 (433,293) 55 2020 Lease Bond 366,153 344,199 21,954
57 Draught Water Reserve 2,044,149 2,026,881 17,268
58 Water Impact Fees - - -
60 Water Capital Improvements 543,817 516,778 27,039
61 Water Utility Operations 589,715 461,440 128,275
62 Wastewater Utility Operations 549,179 926,934 (377,755) 63 Joint Treatment Capital Fund 4,306,860 4,375,156 (68,295) 64 Wastewater Utility Capital 905,539 549,495 356,044
65 Sewer Impact Fees - - -
70 Housing Opportunity Fund 174,088 177,985 (3,897)
71 Measure S, Affordable Housing 2,825,087 2,552,111 272,976 75 Measure A Maintenance Fund 491,546 487,394 4,152
81 Facilities Repair/Replacement 1,522,330 1,479,490 42,840 82 Fleet,Tools,Equip RepairReplc 1,460,438 1,448,699 11,739 92 OPEB Trust Fund Retiree Ben. 6,002,457 5,435,398 567,059 93 PRSP Trust Fund - Pension 3,808,915 3,224,580 584,335 95 Tallent Lane Benefit District 18,629 18,471 157
96 Mesa Ct. Drainage Ben. Dist. 51,829 51,391 438
44,216,264 42,090,242 2,126,022
Current Quarter Prior Quarter
12/31/2023 9/30/2023 Interest
Cash Balance Cash Balance Rate
Cash on Hand/Petty Cash 425 425 0%
Westamerica Bank Checking & Savings 4,881,121 6,199,657 0.070% LAIF 29,523,346 27,229,904 3.810%
Bank of New York Mellon (Trust) - 277 0.000%
PRSP Trust Investments
1 3,808,915 3,224,580 7.910%
PARS OPEB Trust Investments
2 6,002,457 5,435,398 5.850%
44,216,264 42,090,242
Activity
# Issued From To Amount
Accounts Payable check range for the period:
Amount of Accounts Payable checks issued 412 60001 60389 4,414,017.59 Payroll check range for the period:
Amount of Payroll checks/direct deposits issued 385 26155 26162 825,081.20 1 5-year Annualized Return
2 10-year Annualized Return