Title
Acceptance of Quarterly Investment Report for the Quarter Ended December 31, 2018.
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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 Officers 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 Officers have worked with the Investment Advisor to prepare and have signed this report for the quarter ended December 31, 2018.
At December 31, 2018, all City funds were held in various depository accounts or in accounts at TexPool, TexSTAR, or Texas CLASS which are local government investment pools authorized by the Investment Policy. Note: while the City has had approval to invest in Texas CLASS, the City has not invested in the pool until recently, investing the proceeds of the Series 2018 Certificates of Obligation in their governmental fund, which does not invest in commercial paper. All three 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) $ 28,106,718
Money Market Accounts 2,064,460
Certificates of Deposit 29,832,468
TexPool 25,219,136
TexSTAR 23,607,722
Texas CLASS 6,357,067
Total Book Value $115,187,571
Working with the City's investment advisor, the City has diversified the portfolio during the last few years with current investments of $31,896,928 in various depository banks through money market accounts and certificates of deposit. At the end of the quarter, these investments represent about 27.7 percent of the portfolio.
These depository investments...
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