HomeMy WebLinkAbout01/17/2023 06.C. 2022 4th Quarter Treasury Report • l'e41
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 6.C.
For Meeting of: January 17, 2023
ITEM TITLE: 2022 4th Quarter Treasury Report
SUBMITTED BY: Jennifer Ferrer-Santa Ines, Director of Finance and Budget*
Kimberly Domine, Financial Services Manager
SUMMARY EXPLANATION:
The Treasury Report for the fourth quarter of 2022 is attached and consists of the following:
4th Quarter Treasurer's Report
• Cash and Investments
• Long term Debt
• I nterfund Borrowings
ITEM BUDGETED: NA
STRATEGIC PRIORITY: Public Trust and Accountability
APPROVED FOR SUBMITTAL BY THE CITY MANAGER
RECOMMENDATION:
Review only. Submitted for routine transparency and accountability.
ATTACHMENTS:
Description Upload Date Type
121 1/4/2023 Corer Memo
2
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FINANCE
Date: January 4, 2023 .•.
•.W PTA
To: Mayor and City Council CERTIFICATEOF 1(CELLENCE •
t Investment Polity
Bob Harrison, City Manager
CITY OF YAKIMA
February NM
From: Jennifer Ferrer-Santa Ines, Director of Finance
and Budget
Kimberly Domine, Financial Services Manager _ 4 -T.=
Re: 2022 —4th Quarter Treasury Report
This report is to transparently report the City's cash position and investment activity for the quarter
just ended. Each investment is in compliance with the City's Investment Policy, State Statues
and City Municipal Code. The City's investment policy was reviewed and approved by City
Council on March 5, 2019 and adopted by ordinance on February 1, 2022; and the policy received
a Certification of Excellence from the Washington Public Treasurer's Association in February
2019.
Total Cash and Investments at Quarter-end total $151.7 million: $16.7 million in depository
banks, $75.0 million in the State Pool, and $60.0 million invested.
The following chart shows the 5-year trend of total cash and investments month by month
(showing only permanent accounts comparable year over year). The end of the year balance is
higher than prior years due the economy starting to stabilize and increased rates of return on the
Local Government Investment Pool.
City of Yakima
Liquid Cash and Investments History
$180,000,000
160,000,000
$140,000,000 - --
$120,000,000
$100,000,000
$80,000,000
$60,000,000
1111
11
$40,000,000
$20,000,000
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3
FINANCE
The City's Investment Portfolio
The City's investment activities are governed by State regulations and the City of Yakima's
Investment Policy. All investments are in full compliance with the City's Investment Policy, State
Statues and City Municipal Code.
Calls or Maturities. During last quarter, the following matured or were called at full value:
• 1519 $1 ,000,000 FFCB matured 10/22/2022
• 1551 $1 ,000,000 FFCB matured 11/07/2022
• 1544 $1 ,000,000 FHLB matured 12/09/2022
Purchases: During the last quarter, the following were purchased:
• 1582 $2,000,000 US Treasury to mature 01/31/2026
• 1583 $2,000,000 FNMA to mature 04/24/2026
Portfolio and Benchmark Yield and Maturity:
Avg. weighted yield of City investments, excluding LGIP: 2.95%
LGIP State Pool 30-day yield: 4.10%
Weighted average maturity of City investments, excluding LGIP: 284 days
Weighted average maturity of LGIP State Pool 30-day yield: 18 days
Execution of each investment transaction contemplated ongoing cash flows from city operations,
debt obligations, liquid and maturing securities, and contingencies to meet the City's future cash
flow requirements.
The City's Investment Portfolio consists of three general tiers which coincide with the primary
considerations of prudent investing:
1) The Safety portion of the Portfolio consists of funds invested in the Local Government
Investment Pool (LGIP, or State Pool) managed by the State Treasurer, available same-
day. This allows for seasonal fluctuations, primarily the April/October inflows of Property
Tax and the outflows of debt service and capital projects.
2) The Liquidity portion of the Portfolio consist of demand deposit (checking) accounts at
banks which are qualified public depositaries, protected above FDIC-insured balances
through the actions of the Washington State Public Deposit Protection Commission
(PDPC).
3) The Yield portion of the Portfolio consists of a diversified portfolio of Agencies, Treasuries
and/or other authorized investments with staggered maturities of up to five years. Based
on analysis of historical cash reserves and budgetary planning, this segment will not be
subject to seasonal spending and continues to be safely invested long-term.
2
4
F/N4 NCE
Current Rates. As of December 31, 2022, the fixed income market does not show future
confidence with thel-year Treasury currently at 74 basis points higher than the 5-year Treasury,
yielding 4.73% and 3.99% respectively. The 30-day yield of the State Pool Jumped from 2.55%
to 4.10%,with an 18-day avg. maturity over last quarter.
Economic Outlook. US Treasuries are headed for the strongest start to the year in more than
two decades as investors scooped up government debt on promises that the Federal Reserve
will slow its pace of rate hikes as inflation cools.
Strategy Notes. The City of Yakima's investments are not typically actively traded, meaning
that no attempt to"buy low and sell high" or"time the market" is made. Investments purchased
with the intent of providing investment income are intended to be held to maturity, relying on
following a prudent course of action for income rather than predicting market direction.
Actual %
LGIP 74,964,080 56%
Treasuries 34,000,000 25%
Agencies 24,000,000 18%
Corporates 2,000,000 1%
134,964,080 100%
Debt Activity
All debt paymentswere paid out as scheduled. A comprehensive city-wide debt report is attached
with current balances.
Interfund Borrowinas and Investments
Borrowing between funds is temporary in nature, reviewed periodically by staff and Council,
amended as circumstances change. Currently there are two Interfund Loans.
The first loan is to help cash flow the Mill Site Project that is waiting for the receipt of grant
reimbursements.It was determined that the Mill Site needed more than the original amount loaned
so an increase was given with the payment schedule extended out to three years and aligned
with the LIFT revenues that are received annually.
The second loan isto help cash flowthe Nelson Dam Project.This interfund loan is for three years
with payments starting January 2023.
3
City of Yakima
Cash and Investment Summary
December 31 , 2022
Current Prior Quarter Prior Year
Description 12/31/2022 9/30/2022 12/31/2021
Cash Balances on Hand in Banks $ 16,733,699 $ 18,389,364 $ 19,806,165
Local Government Investment Pool (LGIP) 74,964,080 69,284,393 62,617,278
Investment Portfolio 60,000,000 59,000,000 50,000,000
Total Investments 134,964,080 128,284,393 112,617,278
Total Cash and Investments $ 151 ,697,779 $ 146,673,756 $ 132,423,443
Beg Balance Purchases Interest Maturities, Calls End Balance
Summary of Investment Activity 9/30/2022 & Deposits Reinvested & Withdrawals 12/31/2022
Local Government Investment Pool (LGIP) $ 69,284,393 $ 11 ,000,000 $ 679,687 $ (6,000,000) $ 74,964,080
Investment Portfolio 59,000,000 4,000,000 - (3,000,000) 60,000,000
Total Investments $ 128,284,393 $ 15,000,000 $ 679,687 $ (9,000,000) $ 134,964,080
Page 1 of 8 2022 04 TSO spreadsheet
City of Yakima
Distribution of Cash and Investments as of 12/31/2022
Depository Banks,
$16,733,699 , 11%
Investment
Portfolio,
60,000,000 , 40%
Local Government
Investment Pool,
$74,964,080 , 49%
Page 2 of 8
City of Yakima
Investment Portfolio-Inventory by Agency
December 31, 2022
Expected Days to Call Most
Agency Inv# CUSIP Face Value Price Coupon Yield Settle Maturity Maturity Market Type Moodys S&P Fitch Next Call Likely Call
FNMA 1541 3135GOT94 1,000,000 1,023,490 2.375 1.610 11/20/19 1/19/23 19 998,858 NC Aaa AA+ AAA NC 1/19/23
FFCB 1557 3133EG5Y7 1,000,000 1,045,401 2.230 0.650 3/6/20 2/2/23 33 997,617 NC Aaa AA+ AAA NC 2/2/23
US T 1577 91282CBU4 1,000,000 983,828 0.125 1.980 5/12/22 3/31/23 90 989,210 NC Aaa NA AAA NC 3/31/23
FFCB 1570 3133EMVP4 1,000,000 997,850 0.125 0.270 10/18/21 4/13/23 103 987,439 NC Aaa AA+ AAA NC 4/13/23
AAPL 1516 037833AK6 1,000,000 991,000 2.400 2.634 4/8/19 5/3/23 123 992,164 NC AA1 AA+ - NC 5/3/23
WMT 1513 931142EK5 1,000,000 1,026,800 3.400 2.730 3/15/19 6/26/23 177 993,405 NC Aa2 AA AA NC 6/26/23
FFCB 1561 3133EMWL2 2,000,000 2,000,314 0.200 0.193 4/19/21 7/19/23 200 1,949,508 NC Aaa AA+ AAA NC 7/19/23
US T 1545 9128284X5 1,000,000 1,039,063 2.750 1.660 12/11/19 8/31/23 243 987,695 NC Aaa AA+ AAA NC 8/31/23
FAMCA 1508 3132X06C0 1,000,000 1,010,972 3.050 2.801 12/19/18 9/19/23 262 988,402 NC Aaa AA+ AAA NC 9/19/23
FHLB 1558 313375ZL4 2,000,000 2,143,690 2.795 0.200 1/7/21 10/17/23 290 1,968,338 NC Aaa AA+ AAA NC 10/17/23
FFCB 1537 3133EK4X1 1,000,000 997,924 1.600 1.654 11/6/19 11/1/23 305 972,489 NC Aaa AA+ AAA NC 11/1/23
FFCB 1560 3133EJ2B4 2,000,000 2,147,340 3.000 0.260 3/24/21 12/6/23 340 1,966,604 NC Aaa AA+ AAA NC 12/6/23
FAMCA 1552 31422B5D3 1,000,000 1,004,430 1.590 1.470 2/14/20 1/10/24 375 967,490 NC NA NA NA NC 1/10/24
FNMA 1540 3135G0V34 1,000,000 1,032,055 2.500 1.710 11/14/19 2/5/24 401 977,210 NC Aaa AA+ AAA NC 2/5/24
FNMA 1573 3135G0V34 1,000,000 1,035,991 2.500 0.771 12/28/21 2/5/24 401 977,210 NC Aaa AA+ AAA NC 2/5/24
US T 1559 912828W71 2,000,000 2,112,188 2.125 0.290 3/4/21 3/31/24 456 1,938,282 NC Aaa AA+ AAA NC 3/31/24
US T 1565 91282CBV2 1,000,000 999,023 0.380 0.410 6/30/21 4/14/24 470 946,562 NC Aaa NA AAA NC 4/14/24
US T 1553 9128286R6 1,000,000 1,034,063 2.250 1.413 2/14/20 4/30/24 486 968,789 NC Aaa NA AAA NC 4/30/24
US T 1562 912828XT2 2,000,000 2,103,125 2.000 0.325 4/26/21 5/31/24 517 1,927,968 NC Aaa NA AAA NC 5/31/24
FAMCA 1533 31422BGA2 1,000,000 1,022,900 2.150 1.634 10/18/19 6/5/24 522 964,730 NC NA NA NA NC 6/5/24
US T 1566 91282CCG4 1,000,000 994,102 0.250 0.451 6/30/21 6/15/24 532 938,906 NC Aaa NA AAA NC 6/15/24
US T 1563 9128282N9 2,000,000 2,112,813 2.125 0.352 5/16/21 7/31/24 578 1,924,766 NC Aaa NA AAA NC 7/31/24
US T 1546 9128282U3 1,000,000 1,008,789 1.875 1.660 12/11/19 8/31/24 609 957,148 NC Aaa NA AAA NC 8/31/24
US T 1564 912828YH7 2,000,000 2,074,922 1.500 0.361 6/8/21 9/30/24 639 1,901,094 NC Aaa NA AAA NC 9/30/24
US T 1567 912828YM6 2,000,000 2,074,531 1.500 0.343 8/3/21 10/31/24 670 1,896,718 NC Aaa NA AAA NC 10/31/24
FFCB 1538 3133EK6J0 1,000,000 994,700 1.625 1.736 11/8/19 11/8/24 678 950,200 NC Aaa AA+ AAA NC 11/8/24
FHLB 1554 3130A3GE8 1,000,000 1,058,979 2.750 1.480 2/14/20 12/13/24 713 968,739 NC Aaa AA+ NA NC 12/13/24
FAMCA 1555 31422BRT9 1,000,000 1,011,943 1.750 1.495 2/14/20 1/3/25 734 948,450 NC NA NA NA NC 1/3/25
US T 1572 912828ZC7 2,000,000 2,015,156 1.125 0.890 11/16/21 2/28/25 790 1,869,062 NC Aaa NA AAA NC 2/28/25
US T 1574 912828ZF0 2,000,000 1,946,797 0.500 1.365 2/3/22 3/31/25 821 1,839,532 NC Aaa NA AAA NC 3/31/25
US T 1568 912828ZL7 1,000,000 995,467 0.375 0.500 9/1/21 4/30/25 851 913,906 NC NA NA NA NC 4/30/25
US T 1568 912828ZL7 1,000,000 995,467 0.375 0.500 9/1/21 4/30/25 851 913,906 NC NA NA NA NC 4/30/25
US T 1575 912828Z10 2,000,000 1,925,992 0.250 1.420 3/2/22 5/31/25 882 1,817,032 NC Aaa NA AAA NC 5/31/25
US T 1571 912828ZW3 1,000,000 979,531 0.250 0.813 10/18/21 6/30/25 912 906,953 NC Aaa AA+ AAA NC 6/30/25
US T 1576 91282CAB7 2,000,000 1,843,472 0.250 2.780 4/29/22 7/31/25 943 1,806,016 NC Aaa NA AAA NC 7/31/25
US T 1569 91282CAM3 1,000,000 980,735 0.250 0.740 10/1/21 9/30/25 1,004 899,023 NC NA NA NA NC 9/30/25
US T 1580 91282CAT8 2,000,000 1,818,516 0.250 3.273 8/24/22 10/31/25 1,035 1,790,624 NC Aaa NA AAA NC 10/31/25
US T 1581 91282CBC4 2,000,000 1,807,440 0.375 3.490 9/12/22 12/31/25 1,096 1,789,610 NC Aaa NA AAA NC 12/31/25
UST 1582 9128286A3 2,000,000 1,891,374 2.625 4.450 11/9/22 1/31/26 1,127 1,914,218 NC Aaa NA AAA NC 1/31/26
FNMA 1578 3135G05X7 2,000,000 1,844,334 0.375 2.870 5/12/22 8/25/25 968 1,804,348 NC Aaa AA+ AAA NC 8/25/25
FFCB 1579 3133ENXQ8 2,000,000 1,992,128 2.800 2.920 6/7/2022 11/25/25 1,060 1,917,602 NC Aaa AA+ NA NC 11/25/25
FNMA 1583 3135G0K36 2,000,000 1,880,612 2.125 4.040 12/13/22 4/24/26 1,210 1,878,100 NC Aaa AA+ AAA NC 4/24/26
Subtotal 42 60,000,000 59,999,246 Avg. 57,005,923
LGIP LGIP NA 74,964,080 74,964,080 4.100 4.100 NA NA 1 74,964,080 NC NA NA
Grand Totals $134,964,080 $ 134,963,326 2.95% 283 $ 131,970,003
Page 3 of 8 2022 Q4 TSO spreadsheet
City of Yakima
Investment Portfolio by Issuer at 12/31/2022
US T, 34,000,000, 25%
FAMCA, 4,000,000, 3%
FHLB, 3,000,000, 2%
FNMA, 7,000,000, 5%
AAPL, 1,000,000, 1%
\_WMT, 1,000,000, 1°l0
FFCB, 10,000,000, 7%
Diversifying by issuer reduces
the credit risk the city is
subject to from any one
issuer as well as diversifies
market price fluctuations
LGIP, 74,964,080, 56%
which can vary by issuer.
Page 4 of 8 2022 Q4 TSO spreadsheet
Page 5 of 8
City of Yakima
Investment Portfolio Maturity Distribution at 12/31/2022
$5,000,000
$4,500,000
Diversifying by maturity
reduces the re-investment risk
$4,000,00o the city is subject to in any
given month when an
$3,500,000 investment matures and the
principal is reinvested at rates
$3,000,000 available at that moment.
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$0
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Page 5 of 8 2022 Q4 TSO spreadsheet
City of Yakima 10
Investment Portfolio-Detail of Activity
December 31, 2022
Beginning Additions and Calls and Ending
Agency Inv# Face Value Purchases Maturities Face Value
Farmer Mac
FAMCA 1508 1,000,000 - 1,000,000
FAMCA 1533 1,000,000 - - 1,000,000
FAMCA 1552 1,000,000 - 1,000,000
FAMCA 1555 1,000,000 - - 1,000,000
FAMCA Total 4,000,000 - - 4,000,000
Federal Farm Credit Bureau
FFCB 1519 1,000,000 - (1,000,000) -
FFCB 1537 1,000,000 - - 1,000,000
FFCB 1538 1,000,000 - - 1,000,000
FFCB 1551 1,000,000 - (1,000,000) -
FFCB 1557 1,000,000 - - 1,000,000
FFCB 1560 2,000,000 - 2,000,000
FFCB 1561 2,000,000 - 2,000,000
FFCB 1570 1,000,000 1,000,000
FFCB 1579 2,000,000 2,000,000
FFCB Total 12,000,000 - (2,000,000) 10,000,000
Federal Home Loan Bank
FHLB 1544 1,000,000 - (1,000,000) -
FHLB 1554 1,000,000 - - 1,000,000
FHLB 1558 2,000,000 - 2,000,000
FHLB Total 4,000,000 - (1,000,000) 3,000,000
Federal National Management Association
FNMA 1540 1,000,000 - 1,000,000
FNMA 1541 1,000,000 - - 1,000,000
FNMA 1573 1,000,000 1,000,000
FNMA 1578 2,000,000 2,000,000
FNMA 1583 2,000,000 2,000,000
FNMA Total 5,000,000 2,000,000 - 7,000,000
US Treasury 1545 1,000,000 - - 1,000,000
US Treasury 1546 1,000,000 - - 1,000,000
US Treasury 1553 1,000,000 - - 1,000,000
US Treasury 1559 2,000,000 - 2,000,000
US Treasury 1562 2,000,000 - 2,000,000
US Treasury 1563 2,000,000 - 2,000,000
US Treasury 1564 2,000,000 2,000,000
US Treasury 1565 1,000,000 1,000,000
US Treasury 1566 1,000,000 1,000,000
US Treasury 1567 2,000,000 2,000,000
US Treasury 1568 2,000,000 2,000,000
US Treasury 1569 1,000,000 1,000,000
US Treasury 1571 1,000,000 1,000,000
US Treasury 1572 2,000,000 2,000,000
US Treasury 1574 2,000,000 2,000,000
US Treasury 1575 2,000,000 2,000,000
US Treasury 1576 2,000,000 2,000,000
US Treasury 1577 1,000,000 1,000,000
US Treasury 1580 2,000,000 2,000,000
US Treasury 1581 2,000,000 2,000,000
US Treasury 1582 - 2,000,000 2,000,000
US Treasury 32,000,000 2,000,000 - 34,000,000
Corporate Notes
AAPL 1516 1,000,000 - 1,000,000
WMT 1513 1,000,000 - 1,000,000
Corporate Total 2,000,000 - - 2,000,000
Subtotal 59,000,000 4,000,000 (3,000,000) 60,000,000
Other Investments - - - -
LGIP(State Pool) LGIP 69,284,393 11,679,687 (6,000,000) 74,964,080
Other Investment Totals 69,284,393 11,679,687 (6,000,000) 74,964,080
Grand Totals $ 128,284,393 $ 15,679,687 $ (9,000,000) $ 134,964,080
Page 6 of 8 2022 Q4 TS0 spreadsheet
City of Yakima
Long Term Debt Schedule-by Project Group
December 31,2022
Date Issued Maturity Description Note Amount of Issue Current Balance
General Obligation Bonds
6/17/2003 12/1/2023 Sundome Expansion Deferred Interest-Maturity$2.5M 1,430,528 57,762.00
6/20/2013 12/1/2028 Street Project Demonstration(Refunded) Various City street improvements 3,500,000 2,131,593.99
6/9/2014 6/1/2024 Street Resurfacing Project Streets improvements 13,140,000 3,140,000.00
9/24/2018 6/1/2035 Soccer Complex(Refunded) City portion of SOZO Sports Complex 4,440,127 3,687,225.51
9/24/2018 12/1/1942 2018 Aquatic Center YMCA City portion of Aquatic Center 8,009,873 7,858,022.06
4/21/2020 12/1/2022 2020 Refunding Bonds,Downtown Future 2020 Refunding Bonds,Downtown Futures 260,000 -
4/21/2020 12/1/2022 2020 Refunding Bonds,WV Fire Station 2020 Refunding Bonds,WV Fire Station 140,000 -
4/21/2020 12/1/2032 2020B Capital Theatre 09 Refunded 2020B Capital Theatre 09 Refunded 4,910,000 3,890,000.00
4/21/2020 12/1/2044 2020B Convention Center Addition 2020B Convention Center Addition 12,620,000 11,685,000.00
4/21/2020 12/1/2044 2020B Convention Center Addition III Re12020B Convention Center Addition IR Refunded 2,495,000 2,310,000.00
Subtotal General Obligation Bonds 63,900,528 34,759,603.56
Certificate of Participation-State of Washington
3/19/2013 6/1/2023 Fire Apparatus One truck 310,414 38,259.16
9/28/2017 6/1/2027 Energy Project 2017 Energy Project(lighting) 921,863 523,257.55
7/21/2020 6/1/2035 Energy Project 2020 Energy Effidency Project(Lighting) 1,415,000 1,285,000.00
9/28/2017 6/1/2027 Fire Aerial&Pump App Fire Aerial 1,268,053 719,898.18
Subtotal Certificates of Participation 4,492,178 2,566,414.89
Revenue Bonds
43942 12/1/2034 2020 Ref 04 Irrigation 2020 Ref 04 Irrigation 3,260,000 2,720,000.00
43942 12/1/2027 2020 Ref 08 WS Rev 2020 Ref 08 WS Rev 2,590,000 1,760,000.00
5/31/2012 11/1/2023 Wastewater Refunded 2003$10,155,000 issue 9,400,000 1,120,000.00
Subtotal Revenue Bonds 25,905,000 5,600,000.00
Intergovernmental Loans
8/14/2009 9p/2028 PC-08-951-052 2009 Railroad Grade Separation 3,000,000 990,601.50
5/6/2010 6/1/2034 L1000030-0 2010 Railroad Grade Separation 1,149,841 819,997.26
6/17/2014 5/1/2034 Comm Center Move City portion of County GO Bonds 1,716,500 1,170,000.00
9/30/2015 6/1/2023 '15 Yak Co SIED-21st Ave/Airport 2015 Yakima Co SLED Loan-21st Ave/Airport 307,000 56,706.49
6/1/2016 6/1/2027 '16 Yak Co SIED-SOZO 2016 Yakima Co SIED Loan-SOZO 900,000 491,602.88
11/21/2017 6/1/2024 '17 Yak Co SIED-YV Brewing Project 2017 Yakima Co SIED Loan-YV Brewing Project 61,580 27,016.40
7/17/2018 6/1/2029 '18 Yak Co SIED-River Rd. 2018 Yakima Co SIED-River Rd Improvements/Aquatics Center 500,000 380,436.20
3/2/2021 6/1/1932 21 Yak Co Seid-SOZO 2021 Yakima Co Seid Loan SOZO 1,000,000 1,000,000.00
9/1/2003 6/1/2023 PW-03-691-027 2003 Naches WTP Improvements 2,694,500 134,725.00
6/27/2005 10/1/2025 SRF-04-65104-037 2005 Naches River WTP Filter Rehab 966,772 141,217.94
12/30/2005 6/1/2025 P14-05-691-064 2005 River Road Sewer 2,307,000 372,737.33
4/30/2007 6/1/2027 PW-07-962-019 2007 Ultra Violet Disinfection 2,300,000 606,944.43
4/15/2009 6/1/2028 PC-08-951-051 2009 New Water Well 2,257,200 726,892.95
10/10/2011 3/31/2033 L1100008 2011 Energy Efficiency 503,558 314,660.32
8/1/2011 9p/2034 L1200019 2012 Industrial Waste Anaerobic 590,350 403,673.61
6/1/2012 6/1/2031 PC-12-951-065 2012 Wastewater Treatment Plan 5,000,000 2,421,712.26
10/11/2012 6/1/2037 PC-13-961-059 2012 Industrial Sewer Extensions 2,000,000 1,220,095.73
8/5/2013 6/1/2032 PC-13-961-074 2013 Automated Reading System 5,000,000 2,631,578.95
12/31/2021 6/1/2039 PC20-96103-044 2020 Waterline Improvements 1,737,906 1,641,355.99
12/12/2013 10/1/2034 DM-11-952-038 2013 Design WTP Lagoons 3,514,800 2,108,880.02
Subtotal Intergovernmental Loans 37,507,007 17,660,835.26
Grand Total 131,804,713 60,586,853.71
Page 7 of 8 2022 04 TSO spreadsheet
City of Yakima
Interfund Borrowing
December 31,2022
Original BeginningID Ending
escription Balance Balance Issued Retired Balance
Millsite 800,000 800,000 1,000,000 486,667 $ 1,313,333
Nelson Dam 3,299,691 $ 3,299,691
Total across all funds 800,000 800,000 4,299,691 486,667 4,613,024
Per Ordinance#2013-011 Tempory Interfund Loans to help with cash flow.
Page 8 of 8 2022 Q4 TSO spreadsheet
13
d k�P
FINANCE
Committee Review of Investment Rationale
Date: November 9, 2022
Investment # 2022-1582 is a 7-year US Treasury (UST), face value $2,000,000,
maturing January 31, 2026, 1.64% coupon at 94.568700 to yield 4.45%. This trade
settles November 09, 2022 with Time Value Investments, Inc., US Bank Safekeeping,
reducing our elevated LGIP position caused by maturities called during 2022.
Liquidity: At October 31st, month-end, Key Bank checking account balance was $9.5
million (target minimum is $3 Million), US Bank checking balance was $8.6 million and
investment portfolio was $58.0 million (target is $64 million for Treasuries, Corporates
and Agencies). Current LGIP balance was $69.5 million (target minimum is $5 million).
Safety: This purchase is a debt issue of the Federal Government, equivalent to Aaa/AA+
rating by Moody's and Fitch.
Yield. Yield is 4.45%. This investment is 126 basis points over LGIP, seeking to
maximize yield in an increasingly volatile environment. LGIP's yield is expected to
continue increasing over the next year. Comparable yields are:
LGIP current 30-day yield 3.19395% www.secureaccess.wa.gov
3-year Treasury 4.4900% Daily Treasury Yield Curve
Callability. This investment is not callable (a bullet).
Diversification. This purchase brings this issuer to 26.5% of total portfolio.
This purchase added a maturity date previously not covered in the city's laddered
portfolio.
Outlook. The yield curve is higher than last month and appears to be on the increase;
the 1-year Treasury at 4.75%, the 2-year at 04.61% the 3-year at 4.49%, and the 5-year
at 4.27%. The Federal Reserve Bank has started increasing the rates. By filling maturity
gaps in a shortened 3-4-year ladder, we minimize reinvestment risk while maximizing our
earnings.
Investment Committee review:
Finance Director: — / Date / q- 2022 -
City Manager:
g �- 90144, Date I l6 1Zv1 Z
14
1 1.,.
FINANCE
Committee Review of Investment Rationale
Date: December 12, 2022
Investment# 2022-1583 is a 10-year FNMA (Federal National Mortgage Association
/ Fannie Mae), face value $2,000,000, maturing April 24, 2026, 2.125% coupon at
94.030600 to yield 4.04%. This trade settles December 13, 2022 with Wedbush
Securities, Inc., US Bank Safekeeping, reducing our elevated LGIP position caused by
maturities called during 2022.
Liquidity: At November 30th , month-end, Key Bank checking account balance was $6.3
million (target minimum is $3 Million), US Bank checking balance was $10.6 million and
investment portfolio was $59.0 million (target is $64 million for Treasuries, Corporates
and Agencies). Current LGIP balance was $78.7 million (target minimum is $5 million).
Safety: This purchase is a debt issue of a government—sponsored enterprise (GSE), that
carries an explicit Federal guarantee, equivalent to Aaa/AA+ rating by Moody's and S&P.
Yield. Yield is 4.04%. This investment is 27 basis points over LGIP, seeking to maximize
yield in a volatile environment. LGIP's yield is expected to increase slowly over the next
year. Comparable yields are:
LGIP current 30-day yield 3.77 www.secureaccess.wa.gov
3-year Treasury 3.98% Daily Treasury Yield Curve
Callability. This investment is not callable (a bullet).
Diversification. This purchase brings this issuer to 5.% of total portfolio.
This purchase added a maturity date previously not covered in the city's laddered
portfolio.
Outlook. The yield curve is lower than last month and appears to be continually
fluctuating; the 1-year Treasury at 4.66%, the 2-year at 04.25% the 3-year at 3.98%, and
the 5-year at 3.68%. By filling maturity gaps in a shortened 3-4-year ladder, we minimize
reinvestment risk while maximizing our earnings.
Investment Committee review:
Finance Director: tz."-- Date 15 r ��
City Manager: G —* Date I a i(Li 1 c3O