HomeMy WebLinkAbout01/21/2025 07.C. 2024 4th Quarter Treasury Report i4
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BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 7.C.
For Meeting of: January 21, 2025
ITEM TITLE: 2024 4th Quarter Treasury Report
SUBMITTED BY: Viren Mayani, Director of Finance and Budget
Kimberly Domine, Financial Services Manager
SUMMARY EXPLANATION:
The Treasury Report for the fourth quarter of 2024 is attached and consists of the following:
• 4th Quarter Treasurer's Report
• Cash and Investments
• Long Term Debt
• Interfund Borrowing
ITEM BUDGETED: N/A
STRATEGIC PRIORITY 24-25: A Resilient Yakima
RECOMMENDATION: Review only. Submitted for routine transparency and accountability purposes.
ATTACHMENTS:
2024 Q4 Treasury Report.pdf
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1
FINANCE
Date: January 2, 2025
.WPTA
CERTIFC49K CEUEICE
To: Mayor and City Council
CtTYOF YAKIMA' .A^
Thru: Victoria Baker, City Manager
From: Viren Mayani, Director of Finance and Budget
Kimberly Domine, Financial Services Manager
Re: 2024—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 and again in April 2024.
Total Cash and Investments at Quarter-end total $151.5 million: $21.8 million in depository
banks, $52.7 million in the State Pool, and $77.0 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).
City of Yakima
Liquidity Accounts-Historical Trend
$180,000,000
$160,000,000
$140 000 000
$120,000,000 — 91�
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$80,000,000
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$40,000,000
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17
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:
• 1567 $2,000,000 US Treasury matured 10/31/2024
• 1538 $1,000,000 FFCB matured 11/08/2024
• 1601 $1,000,000 US Treasury matured 11/14/2024
• 1554 $1,000,000 FHLB matured 12/13/2024
Purchases: During the last quarter, the following were purchased:
• 1612 $2,000,000 US Treasury to mature 01/31/2028
• 1613 $2,000,000 US Treasury to mature 02/29/2028
• 1614 $2,000,000 US Treasury to mature 03/31/2028
Portfolio and Benchmark Yield and Maturity:
Avg. weighted yield of City investments, excluding LGIP: 3.26%
LGIP State Pool 30-day yield: 4.60%
Weighted average maturity of City investments, excluding LGIP: 355 days
Weighted average maturity of LGIP State Pool 30-day yield: 24 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
18
FINANCE
Current Rates. As of December 31, 2024, the fixed income market is moving away from the
inverted market that we have been seeing with thel-year Treasury currently at 22 basis points
lower than the 5-year Treasury, yielding 4.16% and 4.38% respectively. The 30-day yield of the
State Pool dropped from last quarter from 5.24% to 4.60%with the Weighted Average to maturity
increasing from a 14-day avg. to a 24-day average over last quarter.
Economic Outlook. The outlook for 2025 economic growth is comparatively stronger than
forecasters have predicted in recent years, though it represents a slight slowing of activity. Real
GDP is expected to grow 2.1% over the year, the unemployment rate is expected to average
4.3%, and consumer price index (CPI) inflation is expected to cool slightly to 2.4%. Quoted from
Charles Gascon &Joseph Martorana of the Federal Reserve Bank of St. Louis.
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 %
LG I P 52;711 ,559 41%
Treasuries 38;000;000 29%
Agencies 39,010;000 30%
129;721 ;559 100°'a
Debt Activity
All debt payments were paid out as scheduled. A comprehensive city-wide debt report is attached
with current balances.
Interfund Borrowings 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 is to help cash flow the Nelson Dam Project. This interfund loan is for three years
with monthly payments that started January 2023 and is due to be paid in full September 2025. It
was determined that the Nelson Project needed more than the original amount loaned so an
increase was given with payment schedule extended out an additional two years.
3
19
City of Yakima
Cash and Investment Summary
December 31, 2024
Current Prior Quarter Prior Year
Description 12/31/2024 9/30/2024 12/31/2023
Cash Balances on Hand in Banks 21,773,879.84 $ 23,481,984 $ 21,585,813
Local Government Investment Pool (LGIP) 52,711,559 50,087,911 64,779,877
Investment Portfolio 77,010,000 76,010,000 66,000,000
Total Investments 129,721,559 126,097,911 130,779,877
Total Cash and Investments $ 151,495,439 $ 149,579,895 $ 152,365,690
Beg Balance Purchases Interest Maturities, Calls End Balance
Summary of Investment Activity 9/30/2024 & Deposits Reinvested & Withdrawals 12/31/2024
Local Government Investment Pool (LGIP) $ 50,087,911 $ 12,000,000 $ 623,647 $ (10,000,000) $ 52,711,559
Investment Portfolio 76,010,000 6,000,000 - (5,000,000) 77,010,000
Total Investments $ 126,097,911 $ 18,000,000 $ 623,647 $ (15,000,000) $ 129,721,559
Page 1 of 6 2024 Q4 TSO spreadsheet
20
City of Yakima
Distribution of Cash and Investments as of 12/31/2024
Depository Banks,
$21,773,880 , 14%
Investment
Portfolio,
77,010,000 , 51%
Local Government
Investment Pool,
$52,711,559 , 35%
Page 2 of 6
21
City of Yakima
Investment Portfolio-Inventory by Agency
December 31, 2024
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
FAMCA 1555 31422BRT9 1,000,000 1,011,943 1.750 1.495 2/14/20 1/3/25 3 999,609 NC NA NA NA NC 1/3/25
US T 1568 912828ZL7 1,000,000 995,467 0.375 0.500 9/1/21 4/30/25 120 987,258 NC Aaa NA AAAu NC 4/30/25
US T 1568 912828ZL7 1,000,000 995,467 0.375 0.500 9/1/21 4/30/25 120 987,258 NC Aaa NA AAAu NC 4/30/25
US T 1569 91282CAM3 1,000,000 980,735 0.250 0.740 10/1/21 9/30/25 273 970,664 NC Aaa NA AAAu NC 9/30/25
US T 1571 912828ZW3 1,000,000 979,531 0.250 0.813 10/18/21 6/30/25 181 980,477 NC Aaa NA AAAu NC 6/30/25
US T 1572 912828ZC7 2,000,000 2,015,156 1.125 0.890 11/16/21 2/28/25 59 1,989,719 NC Aaa NA AAAu NC 2/28/25
US T 1574 912828ZF0 2,000,000 1,946,797 0.500 1.365 2/3/22 3/31/25 90 1,981,543 NC Aaa NA AAAu NC 3/31/25
US T 1575 912828ZT0 2,000,000 1,925,992 0.250 1.420 3/2/22 5/31/25 151 1,967,109 NC Aaa NA AAAu NC 5/31/25
US T 1576 91282CAB7 2,000,000 1,843,472 0.250 2.780 4/29/22 7/31/25 212 1,953,802 NC Aaa NA AAAu NC 7/31/25
FNMA 1578 3135G05X7 2,000,000 1,844,334 0.375 2.870 5/12/22 8/25/25 237 1,949,902 NC Aaa AA+ AAA NC 8/25/25
FFCB 1579 3133ENXQ8 2,000,000 1,992,128 2.800 2.920 6/7/2022 11/25/25 329 1,974,394 NC Aaa AA+ AA+ NC 11/25/25
US T 1580 91282CAT8 2,000,000 1,818,516 0.250 3.273 8/24/22 10/31/25 304 1,934,922 NC Aaa NA AAAu NC 10/31/25
UST 1581 91282CBC4 2,000,000 1,807,440 0.375 3.490 9/12/22 12/31/25 365 1,925,422 NC Aaa NA AAAu NC 12/31/25
UST 1582 9128286A3 2,000,000 1,891,374 2.625 4.450 11/9/22 1/31/26 396 1,966,016 NC Aaa NA AAAu NC 1/31/26
FNMA 1583 3135G0K36 2,000,000 1,880,612 2.125 4.040 12/13/22 4/24/26 479 1,944,850 NC Aaa AA+ AAA NC 4/24/26
US T 1584 912828P46 2,000,000 1,877,584 1.625 3.750 1/18/23 2/15/26 411 1,942,734 NC Aaa NA AAAu NC 2/15/26
FHLB 1587 3130AUU36 2,000,000 1,984,286 4.125 4.400 2/22/2023 3/13/26 437 1,995,722 NC Aaa AA+ NA NC 3/13/26
UST 1588 91282CCF6 2,000,000 1,822,350 0.750 3.800 4/19/23 5/31/26 516 1,904,453 NC Aaa NA AAAu NC 5/31/26
FHLB 1589 3130AVWS7 2,000,000 2,014,500 3.750 3.500 5/5/23 6/12/26 528 1,984,237 NC Aaa AA+ NA NC 6/12/26
FFCB 1590 3133EPPE9 2,000,000 1,975,386 4.375 4.840 8/29/23 7/6/26 552 2,001,884 NC Aaa AA+ AA+ NC 7/6/26
FAMCA 1591 31422X6U1 2,000,000 1,987,142 4.625 4.860 9/22/23 9/8/26 616 2,010,929 NC NA NA NA NC 9/8/26
US T 1592 91282CHU8 2,000,000 1,987,798 4.375 4.610 11/9/23 8/15/26 592 2,003,750 NC Aaa NA AAAu NC 8/15/26
FFCB 1593 3133EJM97 2,000,000 1,917,609 3.350 4.860 11/14/23 10/30/26 668 1,966,916 NC Aaa AA+ AA+ NC 10/30/26
FHLB 1594 3130AXU63 1,000,000 1,008,210 4.625 4.322 12/14/23 11/17/26 686 1,006,047 NC Aaa AA+ NA NC 11/17/26
FAMCA 1595 31424WCQ3 2,000,000 2,024,358 4.500 4.060 12/15/23 12/4/26 703 2,005,948 NC NA NA NA NC 12/4/26
FFCB 1596 3133EPW76 2,000,000 1,995,234 3.875 3.960 1/19/24 1/19/27 749 1,984,465 NC Aaa AA+ AA+ NC 1/19/27
FFCB 1597 3133EP2T1 2,000,000 2,000,000 4.125 4.125 2/12/24 2/12/27 773 1,992,536 NC Aaa AA+ AA+ NC 2/12/27
FFCB 1598 3133EJGF0 2,000,000 1,928,336 3.125 4.420 3/21/24 3/15/27 804 1,951,436 NC Aaa AA+ AA+ NC 3/15/27
FAMCA 1599 31424WHG0 2,000,000 1,996,686 4.800 4.860 4/17/24 4/16/27 836 2,021,117 NC Aaa NA AAAu NC 4/16/27
UST 1600 91282CET4 2,000,000 1,878,000 2.625 4.751 4/17/24 5/31/27 881 1,925,078 NC Aaa NA AAAu NC 5/31/27
FNMA 1602 3135G0X24 1,010,000 987,355 1.625 5.220 5/16/24 1/7/25 7 1,009,379 NC NA NA NA NC 1/7/25
FHLB 1603 3130B1EF0 2,000,000 2,007,569 4.625 4.490 5/16/24 6/11/27 892 2,015,252 NC Aaa NA AAAu NC 6/11/27
FHLB 1604 3130B0Z44 1,000,000 1,001,445 5.125 5.000 6/21/24 9/12/25 255 1,005,176 NC Aaa AA+ NA NC 9/12/25
FAMCA 1605 31422X3X8 1,000,000 995,789 4.650 5.100 6/21/24 6/9/25 160 1,000,930 NC NA NA NA NC 6/9/25
UST 1606 91282CFB2 2,000,000 1,902,188 2.750 4.450 6/21/24 7/31/27 942 1,925,703 NC Aaa NA AA+u NC 7/31/27
US T 1607 9128282R0 2,000,000 1,885,781 2.250 4.260 7/24/24 8/15/27 957 1,900,469 NC Aaa NA AA+u NC 8/15/27
FHLB 1608 3130ATS40 2,000,000 2,031,865 4.375 3.820 8/13/24 9/10/27 983 2,002,401 NC Aaa AA+ AA+ NC 9/10/27
FNMA 1609 3135G05Y5 2,000,000 1,820,340 0.750 3.800 8/13/24 10/8/27 1,011 1,819,119 NC Aaa NA AAAu NC 10/8/27
FHLB 1610 3130AMHV7 2,000,000 1,885,600 1.500 3.433 9/25/24 11/18/27 1,052 1,847,514 NC Aaa NA AAAu NC 11/18/27
UST 1611 91282CBB6 2,000,000 1,829,908 0.625 3.400 9/25/25 12/31/27 1,095 1,795,391 NC Aaa NA AA+u NC 12/31/27
UST 1612 91282CBJ9 2,000,000 1,808,218 0.750 3.900 10/23/24 1/31/28 1,126 1,796,797 NC Aaa NA AAAu NC 1/31/28
UST 1613 91282CBP5 2,000,000 1,810,965 1.125 4.240 11/18/24 2/29/28 1,155 1,813,906 NC Aaa NA AAAu NC 2/29/28
UST 1614 91282CBS9 2,000,000 1,829,448 1.250 4.020 12/4/24 3/31/28 1,186 1,816,094 NC Aaa NA AA+u NC 3/31/28
Subtotal 43 77,010,000 74,122,914 Avg. 74,958,328
LGIP LGIP NA 52,711,559 52,711,559 4.600 4.60% NA NA 14 52,711,559 NC NA NA NA NA NA
Grand Totals $129,721,559 $ 126,834,472 3.26% 360 $ 127,669,887
Page 3 of 6 2024 Q4 TSO spreadsheet
22
City of Yakima
Investment Portfolio by Issuer at 12/31/2024
FAMCA, 8,000,000, 6%
FHLB, 12,000,000, 9%
FNMA, 7,010,000, 6%
US T, 38,000,000, 29%
LGIP, 52,711,559, 41%
FFCB, 12,000,000, 9% Diversifying by issuer reduces
the credit risk the city is
subject to from any one
issuer as well as diversifies
market price fluctuations
which can vary by issuer.
Page 4 of 6 2024 Q4 TSO spreadsheet
23
Page 5 of 6
City of Yakima
Investment Portfolio Maturity Distribution at 12/31/2024
$5,000,000
$4,500,000
Diversifying by maturity
reduces the re-investment risk
$4,000,000 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 6 2024 Q4 TSO spreadsheet
24
City of Yakima
Investment Portfolio-Detail of Activity
December 31,2024
Beginning Additions and Calls and Ending
Agency Inv# Face Value Purchases Maturities Face Value
Farmer Mac
FAMCA 1555 1,000,000 1,000,000
FAMCA 1591 2,000,000 2,000,000
FAMCA 1595 2,000,000 2,000,000
FAMCA 1599 2,000,000 2,000,000
FAMCA 1605 1,000,000 1,000,000
FAMCA Total 8,000,000 - - 8,000,000
Federal Farm Credit Bureau
FFCB 1579 2,000,000 2,000,000
FFCB 1586 1,000,000 (1,000,000) -
FFCB 1590 2,000,000 2,000,000
FFCB 1593 2,000,000 2,000,000
FFCB 1596 2,000,000 2,000,000
FFCB 1597 2,000,000 2,000,000
FFCB 1598 2,000,000 2,000,000
FFCB Total 13,000,000 - (1,000,000) 12,000,000
Federal Home Loan Bank
FHLB 1554 1,000,000 - (1,000,000) -
FHLB 1587 2,000,000 2,000,000
FHLB 1589 2,000,000 2,000,000
FHLB 1594 1,000,000 1,000,000
FHLB 1603 2,000,000 2,000,000
FHLB 1604 1,000,000 1,000,000
FHLB 1608 2,000,000 2,000,000
FHLB 1610 2,000,000 2,000,000
FHLB Total 13,000,000 - (1,000,000) 12,000,000
Federal National Management Association
FNMA 1578 2,000,000 2,000,000
FNMA 1583 2,000,000 2,000,000
FNMA 1602 1,010,000 1,010,000
FNMA 1609 2,000,000 2,000,000
FNMA Total 7,010,000 - - 7,010,000
US Treasury
US Treasury 1612 2,000,000 2,000,000
US Treasury 1613 2,000,000 2,000,000
US Treasury 1614 2,000,000 2,000,000
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 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 1584 2,000,000 2,000,000
US Treasury 1588 2,000,000 2,000,000
US Treasury 1592 2,000,000 2,000,000
US Treasury 1600 2,000,000 2,000,000
US Treasury 1601 1,000,000 (1,000,000) -
US Treasury 1606 2,000,000 2,000,000
US Treasury 1607 2,000,000 2,000,000
US Treasury 1611 2,000,000 2,000,000
US Treasury 35,000,000 6,000,000 (3,000,000) 38,000,000
Subtotal 76,010,000 6,000,000 (5,000,000) 77,010,000
Other Investments - - - -
LGIP(State Pool) LGIP 50,087,911 12,623,647 (10,000,000) 52,711,559
Other Investment Totals 50,087,911 12,623,647 (10,000,000) 52,711,559
'Grand Totals $ 126,097,911 $ 18,623,647 $(15,000,000) $ 129,721,559
Page 6 of 6 2024 Q4 TSO spreadsheet
25
City of Yakima
Long Term Debt Schedule-by Project Group
December 31,2024
Date Issued Maturity Description Note Amount of Issue Current Balance
General Obligation Bonds
6/20/2013 12/1/2028 Street Project Demonstration(Refunded) Various City street improvements 3,500,000 1,468,607.59
6/9/2014 6/1/2024 Street Resurfacing Project Streets improvements 13,140,000 -
9/24/2018 6/1/2035 Soccer Complex(Refunded) City portion of SOZO Sports Complex 4,440,127 3,235,601.47
9/24/2018 12/1/1942 2018 Aquatic Center YMCA City portion of Aquatic Center 8,009,873 7,706,689.66
4/21/2020 12/1/2032 2020B Capital Theatre 09 Refunded 2020B Capital Theatre 09 Refunded 4,910,000 3,210,000.00
4/21/2020 12/1/2044 2020B Convention Center Addition 2020B Convention Center Addition 12,620,000 10,925,000.00
4/21/2020 12/1/2044 2020B Convention Center Addition III Refur 2020B Convention Center Addition III Refunded 2,495,000 2,160,000.00
Subtotal General Obligation Bonds 49,115,000 28,705,898.72
Certificate of Participation-State of Washington
9/28/2017 6/1/2027 Energy Project 2017 Energy Project(lighting) 921,683 326,304.42
7/21/2020 6/1/2035 Energy Project 2020 Energy Efficiency Project(lighting) 1,415,000 1,135,000.00
9/28/2017 6/1/2027 Fire Aerial&Pump App Fire Aerial 1,268,053 448,929.89
Subtotal Certificates of Participation 3,604,736 1,910,234.31
Revenue Bonds
4/21/2020 12/1/2034 2020 Ref 04 Irrigation 2020 Ref 04 Irrigation 3,260,000 2,330,000.00
4/21/2020 12/1/2027 2020 Ref 08 WS Rev 2020 Ref 08 WS Rev 2,590,000 1,085,000.00
Subtotal Revenue Bonds 5,850,000 3,415,000.00
Intergovernmental Loans
8/14/2009 7/1/2028 PC-08-951-052 2009 Railroad Grade Separation 3,000,000 660,401.00
5/6/2010 6/1/2034 L1000030-0 2010 Railroad Grade Separation 1,229,295 696,275.09
6/17/2014 5/1/2034 Comm Center Move City portion of County GO Bonds 1,716,500 1,005,000.00
6/1/2016 6/1/2027 '16 Yak Co SIED-SOZO 2016 Yakima Co SIED Loan-SOZO 900,000 302,569.09
11/21/2017 6/1/2024 '17 Yak Co SIED-YV Brewing Project 2017 Yakima Co SIED Loan-YV Brewing Project 61,580 -
7/17/2018 6/1/2029 '18 Yak Co SIED-River Rd. 2018 Yakima Co SIED-River Rd Improvements/Aquatics Center 500,000 281,548.93
3/2/2021 6/1/2032 21 Yak Co Seid-SOZO 2021 Yakima Co SEID Loan SOZO 1,000,000 843,131.06
3/14/2023 6/1/2035 22 Yak Co Seid-Russell Lane 2023 Yak Co Seid-Russell Lane 416,000 416,000.00
12/15/2023 6/1/2036 23 Yak Co Seid-Chief Hops 2023 Yak Co Seid-Chief Hops 312,500 312,500.00
6/27/2005 10/1/2025 SRF-04-65104-037 2005 Naches River WTP Filter Rehab 894,380 47,072.65
12/30/2005 6/1/2025 PW-05-691-064 2005 River Road Sewer 2,307,000 124,245.78
4/30/2007 6/1/2027 PW-07-962-019 2007 Ultra Violet Disinfection 2,300,000 364,166.66
4/15/2009 6/1/2028 PC-08-951-051 2009 New Water Well 2,257,200 484,595.30
10/10/2011 3/31/2033 L1100008 2011 Energy Efficiency 516,192 261,625.73
8/1/2011 7/1/2034 L1200019 2012 Industrial Waste Anaerobic 587,173 344,819.83
6/1/2012 6/1/2031 PC-12-951-065 2012 Wastewater Treatment Plan 5,000,000 1,883,553.99
10/11/2012 6/1/2037 PC-13-961-059 2012 Industrial Sewer Extensions 2,000,000 1,057,416.30
8/5/2013 6/1/2032 PC-13-961-074 2013 Automated Reading System 5,000,000 2,105,263.16
12/31/2021 6/1/2039 PC20-96103-044 2020 Waterline Improvements 1,737,906 1,448,255.29
12/12/2013 10/1/2034 DM-11-952-038 2013 Design WTP Lagoons 3,514,800 1,757,400.02
Subtotal Intergovernmental Loans 35,250,527 14,395,839.88
Page 2024 Q4 TSO spreadsheet
City of Yakima
Interfund Borrowing
December 31,2024
Original Beginning Ending
Description Balance Balance Issued Retired Balance
Millsite 1,800,000.00 463,259.58 291,081.84 172,177.74
Nelson Dam 6,299,691.00 4,116,554.22 549,971.91 3,566,582.31
Total across all funds 8,099,691.00 4,579,813.80 - 841,053.75 3,738,760.05
Per Ordinance#2013-011 Tempory Interfund Loans to help with cash flow.
Page 1 of 1 2024 Q4 TSO spreadsheet
27
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J 1 l
FINANCE
Committee Review of Investment Rationale
Date: October 22, 2024
Investment # 2024-1612 is a 7-year US Treasury, face value $2,000,000, maturing
January 31, 2028, 0.75% coupon, purchased at a deep discount of 90.4109 to yield
3.90. This trade settles October 23, 2024, with Time Value Investments, Inc., US Bank
Safekeeping, reducing our elevated LGIP position caused by maturities called during 2024.
Liquidity: At September 30th, month-end, Key Bank checking account balance was $14.9
million, US Bank checking balance was $6.7 million, and the investment portfolio was $76.0
million (Treasuries, Corporates and Agencies). Current LGIP balance was $50.1 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 3.90. This investment is 107 basis points under LGIP and 8 bases point
under the 5-year treasury, seeking to protect yield in an uncertain environment.
Comparable yields are:
LGIP current 30-day yield 4.9706% www.secureaccess.wa.gov
5-year Treasury 3.9800% Treasury.gov
3-year Treasury 3.9500% Treasu ov
Callability. This investment is not callable (a bullet).
Diversification. This purchase brings this issuer to 28.9% of total portfolio.
This investment adds a maturity date not previously covered in the City's laddered portfolio.
Outlook. The federal funds target rate is expected to fall to 4.5% by the end of 2024, 3.5%
by the end of 2025, and 3.0% by June 2026. The Fed lowered interest rates by 50 basis
points in September 2024, the first time in four years. Inflation is expected to continue
decreasing, with the consumer price index (CPI) hitting 2.7% by the fourth quarter.
Investment Committee review:
r
Finance Director: Date L 2� ".c)'L
City Manag : Date I b I 1.-21711-P
28
FINANCE
Committee Review of Investment Rationale
Date: November 15, 2024
Investment # 2024-1613 is a 7-year US Treasury, face value $2,000,000, maturing
February 29, 2028, 1.12% coupon, purchased at a deep discount of 90.548240 to yield
4.24. This trade settles November 18, 2024, with Hilltop Securities, Inc., US Bank
Safekeeping, reducing our elevated LGIP position caused by maturities called during 2024.
Liquidity: At October 31st, month-end, Key Bank checking account balance was $6.8
million, US Bank checking balance was $11.5 million, and the investment portfolio was
$76.0 million (Treasuries, Corporates and Agencies). Current LGIP balance was $50.3
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 4.24. This investment is 63 basis points under LGIP and 8 bases point
under the 5-year treasury, seeking to protect yield in an uncertain environment.
Comparable yields are:
LGIP current 30-day yield 4.8678% _ www.secureaccess.wa.gov
5-year Treasury 4.3200% 1 Treasury.gov
3-year Treasury 4.3000% 1 Treasurygov
Callability. This investment is not callable (a bullet).
Diversification. This purchase brings this issuer to 28.5% of total portfolio.
This investment adds a maturity date not previously covered in the City's laddered portfolio.
Outlook. The Fed is expected to cut its benchmark rate to a range of 4.25% to 4.5% at its
December meeting per Fed Chairman Jerome Powell. That would reflect a full percentage
point cut from its pre-September level, when the federal funds rate was at its highest in
more than two decades.
Investment Committee review:
Finance
Director: \-( Date 11 1 g 1 "1
City Mana • Date L l 141 -D,4
29
. r�
FINANCE
Committee Review of Investment Rationale
Date: December 4, 2024
Investment # 2024-1614 is a 7-year US Treasury, face value $2,000,000, maturing
March 31, 2028, 1.25% coupon, purchased at a deep discount of 91.4724 to yield 4.02.
This trade settles December 04, 2024, with Time Value Investments, Inc., US Bank
Safekeeping, reducing our elevated LGIP position caused by maturities called during 2024.
Liquidity: At November 30th, month-end, Key Bank checking account balance was $11.7
million, US Bank checking balance was $11.6 million, and the investment portfolio was
$76.0 million (Treasuries, Corporates and Agencies). Current LGIP balance was $52.5
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 4.02. This investment is 69 basis points under LGIP and 9 bases point
under the 5-year treasury, seeking to protect yield in an uncertain environment.
Comparable yields are:
LGIP current 30-day yield 4.7152% www.secureaccess.wa. ov
5-year Treasury 4.1100% Treasury.gov
3-near Treasury 4.1300% Treasury.gov
Callability. This investment is not callable (a bullet).
Diversification. This purchase brings this issuer to 29.1% of total portfolio.
This investment adds a maturity date not previously covered in the City's laddered portfolio.
Outlook. The two rate cuts so far this year, which have reduced the federal funds rate by
a combined 0.75 percentage points, but the larger impact will be felt if the Fed continues to
cut rates an additional 0.25 percentage points at its December meeting as is expected.
Investment Committee review:
Finance Director: vi Date v14)
�
City Manag Date I 0. l a )DoaLf
30