Title
Acceptance of Quarterly Investment Report (April - June 2016).
Body
Summary: Chapter 2, Administration, Article VII (Finance), All of Division 2 (Investment Policy), Section 2-274 Reporting, of the Code of Ordinances of the City of Deer Park, requires the Investment Officer to prepare and submit to City Council an investment report no less than on a quarterly basis. This requirement is in compliance with the Texas Public Funds Investment Act, V.T.C.A., Government Code Ch. 2256 as amended (the "Act"). The City's Investment Officer (Director of Finance) has prepared and signed this report for the quarter ended June 30, 2016.
At June 30, 2016, all City funds were held in various depository accounts or in accounts at TexPool or TexSTAR, which are local government investment pools authorized by the Investment Policy. Both pools continue to maintain their AAAm rating by Standard & Poor's, which is the highest rating a local government investment pool can achieve.
Cash and investment activity included on the attached report is summarized below:
Cash in Wells Fargo (Depository Bank) $ 40,032,857.42
Certificates of Deposit 6,761,518.32
CDARS Program 5,027,087.01
Money Market Accounts 5,009,140.76
TexPool 26,320,824.20
TexSTAR 27,645,308.67
Total Book Value $110,796,736.38
Working with the City's investment advisor, the City has diversified the portfolio during the fiscal year with investments of $16,745,000 par value in various depository banks through certificates of deposit, CDARS, and money market accounts earning between 0.3560% and 1.25%. Comparatively, rates in the investment pools averaged 0.3471% and 0.3762% for the quarter in TexPool and TexSTAR, respectively. The new depository investments continue to provide increased investment earnings and the City plans to add additional investment accounts in the coming months. Note: CDARS is network of financial institutions that provides an investment opportunity for ...
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