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HomeMy WebLinkAbout08 Treas dept update 5-2-17 AGENDA ITEM SUMMARY WORK SESSION DATE: May 2, 2017 AGENDA ITEM TITLE: Department Updates—Treasurer and Public Trustee STAFF RESPONSIBLE: Tom Oken ISSUE STATEMENT: Department Updates provide an opportunity for staff to share accomplishments, trends, issues and challenges with the Board. BACKGROUND: accomplishments, trends, issues • Tax Lien Sale—The November 2016 sale was held online for the second time. This increased participation and competitive bidding: premium bids averaged 4.7% in 2016 compared to 3.0% at the 2014 in-person tax sale, generating$16,190 in general fund revenue. • 2016 Tax Roll— $117,386,327 to be collected in 2017 vs. $114,288,912 last year(up 2.7% ) • Property Tax Bills— 16,538 were mailed in mid-January. 608 bills were delivered online instead of by mail saving us printing and postage costs. • Foreclosures— 17 foreclosures were started in 2016, down from 23 in 2015, and significantly below the peak years of 143 in 2010 and 113 in both 2011 and 2012. • Open Space Debt—Refinanced $12,305,000 open space debt reducing interest rates by more than half, for a present value savings of$2,269,000. • Facility Financing—Issued $23.5 million lease-purchase certificates of participation for 30 years at 3.3%to finance the Courthouse Plaza project • Ballot Question—Helped structure a successful ballot question for open space and trails program reauthorization LINK TO STRATEGIC PLAN: Prosperous Economy—Sustainable economy and employment; Responsible and accountable stewardship of County assets KEY DISCUSSION ITEMS and BUDGETARY IMPACT: Investment Income -Attached is the December 31, 2016 investment report detailing the investment of approximately$114 million in compliance with the County's investment policy. The rate of return on our investment portfolio for 2016 was 0.85%, below our projection of 1.30%. Consequently general fund investment revenue of$189,565 was significantly below the 2016 budget of$289,550. The 2017 budget is $201,390 based on a projected rate of return of 0.90%. RECOMMENDED BOCC ACTION: none ATTACHMENTS: Pooled Cash and Investment Portfolio as of December 31, 2016 1 Pitkin County Pooled Cash and Investment Portfolio as of December 31, 2016 Issuer Rating Maturity Yield Par Percent of Investment Policy Compliance Date Rate Amount Portfolio (shading=non-compliance) U.S Agencies and Instrumentalities Federal Home Loan Mtg Corp AA+/Aaa* 6/29/2017 1.02% 500,000 12/28/2018 1.31% 500,000 12/27/2019 1.68% 1,000,000 12/27/2019 1.62% 250,000 Federal Farm Credit Bank AA+/Aaa* 7/17/2017 1.01% 1,000,000 11/15/2017 0.94% 1,050,000 Total U.S Agencies 4,300,000 3.8% Bank Certificates of Deposit First Western Trust Bank,Denver 4 9/10/2017 1.13% 500,000 Colorado banks must be rated 5/16/2018 1.05% 1,750,000 "3"or higher on a scale of 0-5 8/15/2018 1.10% 5,000,000 9/12/2018 1.18% 1,000,000 11/15/2018 1.18% 2,000,000 5/16/2019 1.25% 1,000,000 9/12/2019 1.37% 1,000,000 No more than 20%in 11/15/2019 1.37% 3,000,000 CD's with any single bank 15,250,000 13.4% Solera National Bank,Lakewood 4 4/16/2017 0.90% 1,000,000 1/19/2019 0.95% 1,000,000 7/18/2019 1.05% 1,000,000 3,000,000 2.6% FDIC-insured negotiable CD's insured varies,out to 1.12% 35,368,600 31.1% (less than$250,000 each) 12/30/2019 average No more than 60%in any Total Bank CD's 53,618,600 47.2% single category of investment. Bank Accounts Alpine Bank 5 1.02% 443,801 0.4% Solera National Bank 4 0.85% 1,533,362 1.3% Vectra Bank Colorado 5 0.50% 4,706,878 4.1% Total Bank Accounts 6,684,041 5.9% Money Market Mutual Funds No more than 25%in any Fidelity Treasury Money Market 0.01% 19,350 0.0% single money market fund Total MMM Funds 19,350 0.0% Local Government Surplus Trust Funds COLOTRUST AAAm 0.93% 26,643,537 23.4% No more than 25%in any CSAFE AAAm 0.68% 2,146,054 1.9% single local govemment trust fund CSAFE COP fund AAAm 0.68% 20,219,418 17.8% CSIP(Cob Statewide Invst Program) AAAm 0.21% 4,487 0.0% Total LGST Funds 49,013,496 43.1% Total Pooled Cash and Investment Portfolio 113,635,487 100.0% average yield on the portfolio as of 12/31/16 0.97% average yield on the portfolio for the year 0.85% annual yield on 91-day US treasury bills 0.27% *Standard and Poors downgraded the long-term debt of these agencies to AA+in 2010 after similarly downgrading U.S.Government debt. Moodys still rates the U.S.Govemment and these agencies Aaa. Short-term debt of the U.S.and these agencies are rated in the highest category,A-1+. 2