HomeMy WebLinkAbout2014-12-17 - Finance-Accounting Committee Meeting Minutes MINUTES OF THE
YORBA LINDA WATER DISTRICT
FINANCE-ACCOUNTING COMMITTEE MEETING
Wednesday, December 17, 2014, 10:00 a.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The December 17, 2014 meeting of the Yorba Linda Water District's Finance-
Accounting Committee was called to order by Director Hawkins at 10:00 a.m.
The meeting was held in the Admin Conference Room at the District's
Administration Building located at 1717 East Miraloma Avenue in Placentia,
California 92870.
2. ROLL CALL
COMMITTEE STAFF
Director Phil Hawkins, Chair Marc Marcantonio, General Manager
Director Michael J. Beverage Delia Lugo, Finance Manager
3. PUBLIC COMMENTS
None.
4. DISCUSSION ITEMS
4.1. Presentation Regarding Services By Kreisler Long-Term Investments
Mr. Marty Kreisler of Kreisler Long-term Investments and Tarrell Gamble
of Blaylock Beal Van, LLC provided a presentation on the investment
services they provide as a team. In addition, they both provided
biographical information on their professional background. In their
discussion they provided information on what services they would be able
to provide to YLWD that would tie into our strategy and outlined plan to
diversify our portfolio and maximize the rate of return from our
investments. Staff is to provide a detailed 2 year cash flow to Kreisler
Long-term investments by January 8, 2015 so they can prepare a
presentation on an investment strategy that will meet YLWD's goal and
objectives.
4.2. Budget to Actual Results for November 2014
Mrs. Lugo presented the Budget to Actual Reports for the Month Ending
November 30, 2014. Mrs. Lugo reported that the District's reported water
revenue is 49.45% of annual. Reported revenue resulting from customer
billings for water service is averaging 4.8% below from what was reported
for this time of the previous year.
The majority of the Water Fund's Individual Supplies and Services
expenses are below budget, with the exceptions of Insurance, Materials,
Maintenance, Vehicle Equipment, and other expenses due to the previous
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month reported reasons. In addition for this month, Dues and
Memberships are reported at 71.61% of annual budget due to a payment
to the Association of California Water Agencies (ACWA) for annual
agency dues.
Overall, Sewer Supplies and Services expenses are trending below
budget, with the same exceptions noted in the water fund.
4.3. Investment Report for Period Ending November 30, 2014
Mrs. Lugo presented the Investment Report for the Period Ending
November 30, 2014. She reported that the average yield for November
2014 was 0.60%. She also reported that the overall increase in the
investment balance from previous month is approximately $1,130,000. A
large balance change includes an increase in the Water Operating
Reserve fund of $1,292,020, due to a positive net effect between
operating revenues and expenses through the reporting month of the
fiscal year.
With the close of the month, November 30, 2014, and with the intention of
investing for greater interest earnings, funds that exceeded applicable
payroll and accounts payable obligations were transferred into the Money
Market at Bank of the West. Staff took the observed holiday and accounts
payable clearing patterns into consideration when determining the month
end transfer amount into Bank of the West. As a result, the District's bank
statement at Wells Fargo reports a month end balance of $383,649.
However, the District's Central Fund general ledger account reflects a
balance of ($38,110), due to the posting of all Accounts Payable
obligations listed on the November, 26, 2014 check register.
4.4. Future Agenda Items and Staff Tasks
Update the District's Investment Policy to include the ability to invest in
Municipal Bonds and Super Naturals. In addition, provide Kreisler Long-
term Investments with a 2 year cash flow by January 8, 2015.
5. ADJOURNMENT
5.1. The meeting was adjourned at 11:20 a.m. The next Finance-Accounting
Committee meeting is scheduled to be held Monday, January 26, 2015 at
4:00 p.m.
DL
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