HomeMy WebLinkAbout2009-10-27 - Finance-Accounting Committee Meeting Minutes
MINUTES OF THE
YORBA LINDA WATER DISTRICT
FINANCE - ACCOUNTING COMMITTEE MEETING
October 27, 2009
A meeting of the Finance-Accounting Committee was called to order by Director
Beverage at 4:00 p.m. The meeting was held at the District's Administrative Office at
1717 E Miraloma Ave, Placentia CA 92870.
COMMITTEE STAFF
Director Michael J. Beverage, Chair Ken Vecchiarelli, General Manager
Director John W. Summerfield Pat Grady, Assistant General Manager
Cindy Navaroli, Interim Finance Director
Sandi Van Etten, Senior Accountant
1. PUBLIC COMMENTS
None.
2. ACTION CALENDAR
2.1. 1 st Quarter FY 09/10 Financial Statements
Ms. Navaroli presented the Financial Statements in various formats. They
were reviewed and accepted as presented.
2.2. Monthly Investment Report for July and August 2009
Ms. Navaroli presented the Investment Reports. It was noted that although
interest rates are fairly low, the trade off is increased liquidity. The
investment reports were reviewed and accepted as presented.
3. DISCUSSION ITEMS
3.1. Monthly Portfolio Report for September 2009
The Committee reviewed the reports and opted not to call Mr. Khorey.
3.2. Investment Holdings in Foreign Companies
The Committee reviewed the reports and requested that the District invest
in American investments rather than domestic issues of foreign
companies. Staff will follow up on the question of whether any of these
investments are ETF's.
3.3. Alternatives to District Retirement Plan
The Committee discussed alternatives to the CalPERS 2% at 55
retirement plan. Staff was directed to research the financial impacts of a
two tier plan and a 401 K plan for further discussion at the December
Finance-Administrative Committee meeting. Director Beverage expressed
concern with a cafeteria plan. The Committee will continue to look into
different options during this fiscal year.
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3.4. Bond Covenants Timeline
The Committee discussed the debt service / bond covenant ratio. Ms.
Navaroli presented a chart comparing 1 st quarter net revenues to 110% of
debt service. It was requested that Staff prepare the same report each
quarter projecting a timeline for the current fiscal year.
3.5. Overtime Analysis
The Committee discussed the amount of overtime for last year compared
to this year and noted that it was a relatively small percent of the total
labor costs. Much of the overtime was due to emergencies or after-hours
service requests, and 95% of it was from the Operations Department, in
particular the maintenance and production divisions.
3.6. Future Agenda Items and Staff Tasks
• Staff will research various retirement alternatives to determine what
other districts and municipalities are doing to mitigate rising
retirement and post employment benefit costs
• Staff will prepare an updated bond covenant calculation timeline
that includes the 1 st quarter of FY 08/09
• Staff will bring a cash flow forecast with projected year-end debt
service ratios to the February Committee meeting
4. ADJOURNMENT
4.1. The Committee adjourned at 5:25 p.m. The next meeting scheduled for
November 10, 2009 was cancelled. The next regular meeting of the
Finance-Accounting Committee will be held December 8, 2009 at 4:00
p.m.
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