HomeMy WebLinkAbout2013-10-28 - Finance-Accounting Committee Meeting Agenda PacketYorba Linda
Water District
AGENDA
YORBA LINDA WATER DISTRICT
FINANCE - ACCOUNTING COMMITTEE MEETING
Monday, October 28, 2013, 9:00 AM
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
2. ROLL CALL
COMMITTEE
Director Phil Hawkins, Chair
Director Gary T. Melton
STAFF
Steve Conklin, Acting General Manager
Delia Lugo, Acting Finance Manager
3. PUBLIC COMMENTS
Any individual wishing to address the committee is requested to identify themselves and state the matter on
which they wish to comment. If the matter is on this agenda, the committee Chair will recognize the individual for
their comment when the item is considered. No action will be taken on matters not listed on this agenda.
Comments are limited to matters of public interest and matters within the jurisdiction of the Water District.
Comments are limited to five minutes.
4. ACTION CALENDAR
This portion of the agenda is for items where staff presentations and committee discussions are needed prior to
formal committee action.
4.1. Investment Report for Period Ending September 30, 2013
Recommendation. That the Committee recommend the Board of Directors receive
and file the Investment Report for the Period Ending September 30, 2013
5. DISCUSSION ITEMS
This portion of the agenda is for matters such as technical presentations, drafts of proposed policies, or similar
items for which staff is seeking the advice and counsel of the Committee members. This portion of the agenda
may also include items for information only.
5.1. Budget to Actual Results for September 2013
5.2. Future Agenda Items and Staff Tasks
6. ADJOURNMENT
6.1. The next Finance - Accounting Committee meeting is scheduled to be held Monday,
November 25, 2013 at 12:00 p.m.
Items Distributed to the Committee Less Than 72 Hours Prior to the Meeting
Pursuant to Government Code section 54957.5, non - exempt public records that relate to open session agenda items
and are distributed to a majority of the Committee less than seventy -two (72) hours prior to the meeting will be available
for public inspection in the lobby of the District's business office located at 1717 E. Miraloma Avenue, Placentia, CA
92870, during regular business hours. When practical, these public records will also be made available on the District's
internet website accessible at http: / /www.ylwd.com /.
Accommodations for the Disabled
Any person may make a request for a disability - related modification or accommodation needed for that person to be
able to participate in the public meeting by telephoning the Executive Secretary at 714 - 701 -3020, or writing to Yorba
Linda Water District, P.O. Box 309, Yorba Linda, CA 92885 -0309. Requests must specify the nature of the disability and
the type of accommodation requested. A telephone number or other contact information should be included so the
District staff may discuss appropriate arrangements. Persons requesting a disability - related accommodation should
make the request with adequate time before the meeting for the District to provide the requested accommodation.
AGENDA REPORT
Meeting Date:
October 28, 2013
To:
Finance - Accounting Committee
From:
Steve Conklin, Acting General
Manager
Presented By:
Delia Lugo, Acting Finance
Manager
Prepared By:
Delia Lugo, Acting Finance
Manager
Subject:
100000010000000" -
SUMMARY:
Dept:
ITEM NO. 4.1
Finance
Investment Report for Period Ending September 30, 2013
Staff is submitting the September 2013 Monthly Investment Reports for the Committee's review.
STAFF RECOMMENDATION:
That the Committee recommend the Board of Directors receive and file the Investment Report for
the Period Ending September 30, 2013
DISCUSSION:
The Investment Portfolio Report presents the market value and percent yield for all District
investments by institution. The Investment Report Summary includes budget and actual interest and
average term portfolio information as well as market value broken out by reserve categories.
The total average yield per the Investment Report for the month ending September 30, 2013 is
0.70 %.
The overall decrease in the investment balance from the previous month is approximately $548,000.
A couple of the larger balance changes include a decrease in the Water Operating Fund of
approximately $666,000 due to the September 30, 2013 Debt Service principal and interest
payment in the amount of $1,835,684.41 and an increase in the Water Capital Project Reserve of
$31,000 for capital gain on investment.
With the close for the first quarter ended September 30, 2013 and with the intention of investing for
greater interest earnings, funds that exceeded applicable accounts payable and payroll obligations
were transferred into the money market account at Bank of the West, where float time was taken
into consideration as to when scheduled payables were projected to clear from our checking
account. Though the District's checking account/bank statement at Wells Fargo reports a month end
balance of $439,897.69 for September 30, 2013, the ledger account reflects an amount of
($24,873). This is primarily due to the process on how the District posts 100% of the accounts
payable and payroll obligations.
STRATEGIC PLAN:
FR 1 -F: Continue to Record and Report the Fairly Stated Financial Activities of the District in a
Timely and Transparent Manner to the Board of Directors and Member Agencies
ATTACHMENTS:
Description: Type:
Investment Report for Period Ending September 30,
Invst Rpt 9- 13.xlsx Backup Material
2013
Invst Backup Rpt.xlsx Agenda Backup Backup Material
Yorba Linda Water District
Investment Portfolio Report
September 30, 2013
Market % Date of Percent
Value Par of Total Institution Maturity Yield
Checking Account.
$ (24,873) $ (24,873) Wells Fargo Bank
6,406 6,406 Pershing
$ (18,467) $ (18,467) -0.10% Total 0.00%
Money Market Accounts:
$ 54,960 $
54,960
Wells Fargo Money Market
0.03%
23,248
23,248
US Bank (Revenue Bonds)
0.04%
6,777,497
6,777,497
Bank of the West
0.34%
$ 6,855,705 $
6,855,705 36.76%
Total
0.34%
Federal Agency Securities:
$ 487,480 $
500,000
Fannie Mae
05/25/18
1.15%
487,870
500,000
Federal Home Loan Bank
06/12/18
1.02%
491,485
500,000
Fannie Mae
06/12/18
0.81%
489,365
500,000
Federal Home Loan Bank
06/13/18
1.12%
489,650
500,000
Federal Home Loan Bank
06/20/18
1.14%
2,132,343
2,144,397
Federal Home Loan Bank
05/28/14
1.36%
$ 4,578,193 $
4,644,397 24.55%
Total
04/27/18
1.19%
Certificates of'Deposits:
$
240,691
$
248,000
CIT Bank, Salt Lake
05/22/18
1.23%
240,691
248,000
Discover
05/22/18
1.23%
241,036
248,000
Goldman Sachs Bank
05/22/18
1.23%
240,748
248,000
Beal Bank
05/23/18
1.03%
242,222
248,000
Wells Fargo
04/27/18
0.92%
238,486
247,000
Barclays Bank
05/14/18
0.72%
241,564
248,000
State Bank of India
05/14/18
1.18%
242,655
249,000
Webster Bank
05/03/18
0.92%
240,669
248,000
American Express Centurion Bank
05/28/18
1.23%
240,806
248,000
GE Capital Bank
05/24/18
1.13%
245,462
249,000
Merrick Bank
05/24/17
0.76%
244,493
248,000
BMW Bank
05/24/17
0.91%
246,704
249,000
Firstbank Puerto Rico
05/24/16
0.75%
241,610
249,000
Oriental Bank & Trust
05/29/18
1.08%
241,692
249,000
Silvergate Bank
05/30/18
1.03%
241,582
249,000
Enterprise Bank & TR Co Lowell
05/30/18
1.03%
241,580
249,000
Safra National Bank
05/31/18
1.03%
240,622
248,000
Townebank Portsmouth
05/31/18
1.03%
241,600
249,000
Mascona Savings Bank
05/29/18
1.03%
$
4,594,914
$
4,719,000 24.64%
Total
0.81%
Pooled Investment Accounts:
$
871,100
$
871,100
Local Agency Investment Fund
0.26%
1,767,482
1,771,728
Ca1TRUST Medium Term
0.70%
$
2,638,582
$
2,642,828 14.15%
0.55%
S
18,648,927
S
18,843,462 100%
Total Investments
0.70%
Per Government Code requirements, the Investment Report is in compliance with the Yorba
Linda Water District's Investment Policy, and there are adequate funds available to meet
budgeted and actual expenditures for the next six months.
Delia Lugo, Senior Accountant
9/30/13
Investment Summary Report
Below is a chart summarizing the yields as well as terms and maturities for the month of September 2013:
Average
# of
Month Portfolio
Days to
of 2013 Yield
Maturity
September 0.70%
670
Below is are charts comparing operating fund interest for current and prior fiscal years.
Actual Interest
Monthly - September
Year -to -Date
9/30/2012
9,803
19,460
9/30/2013
9,939
27,002
Budget 2012/2013 2013/2014
Interest Budget, September YTD $ 37,500 $ 21,750
Interest Budget, Annual $ 150,000 $ 87,000
Interest earned on investments is recorded in the fund that owns the investment.
Investment Summary Comparison Between Current and Previous Month
The distribution of investments in the portfolio both in dollars and as a percentage of the total portfolio by funds
is as follows:
September 2013 Investment Portfolio
Sewer Emergency
Reserve
595 \
Sewer Operating
2%
COP Revenue Bond 201
- Reserve
12%
Employee Liabifii
Reserve
1%
Maintenance Reserve
1%
Water Resei
Ser
15%
Sewer Capital Project
Res e 6%
Water Operating
Reserve
11%
Water Emergency
Res e
5%
er Capital Project
Reserve
42%
August 2013
% Alloc
September 2013
% Alloc
Fund Description
Balance
8/31/2013
Balance
9/30/2013
Water Operating Reserve
$ 2,879,161
15.14%
$ 2,487,992
13.32%
Water Emergency Reserve
986,374
5.18%
990,703
5.31%
Water Capital Project Reserve
7,742,443
40.67%
7,772,901
41.62%
Water Reserve for Debt Service
2,726,291
14.33%
2,724,249
14.59%
Maintenance Reserve
200,000
1.05%
200,000
1.07%
Employee Liability Reserve
100,000
0.53%
100,000
0.54%
COP Revenue Bond 2008 - Reserve
2,157,155
11.34%
2,155,591
11.54%
Sewer Operating
66,906
0.35%
66,959
0.36%
Sewer Emergency Reserve
1,001,439
5.26%
1,002,903
5.37%
Sewer Capital Project Reserve
1,169,544
6.15%
1,172,502
6.28%
$ 19,029,313
100.00%
$ 18,673,800
100.00%
Wells Fargo Bank Checking
Water Operating
(88, 084)
(363,188)
Sewer Operating
256,123
338,315
168,039
(24,873)
Totals
$ 19,197,352
$ 18,648,927
September 2013 Investment Portfolio
Sewer Emergency
Reserve
595 \
Sewer Operating
2%
COP Revenue Bond 201
- Reserve
12%
Employee Liabifii
Reserve
1%
Maintenance Reserve
1%
Water Resei
Ser
15%
Sewer Capital Project
Res e 6%
Water Operating
Reserve
11%
Water Emergency
Res e
5%
er Capital Project
Reserve
42%
AGENDA REPORT
Meeting Date: October 28, 2013
To: Finance - Accounting Committee
From: Steve Conklin, Acting General
Manager
Presented By: Delia Lugo, Acting Finance Dept:
Manager
Prepared By: Delia Lugo, Acting Finance
Manager
Subject: Budget to Actual Results for September 2013
DISCUSSION:
ITEM NO. 5.1
Finance
Attached are the District's budget to actual summary results for the Water Fund, Sewer Fund and a
combined statement for both funds pertaining to the reporting month of September 2013.
Through the month of September 2013, the District's water revenue is 30.8% of annual budget,
which is 2.7% lower than the historical trend for this point in the year.
The majority of the Water Fund's individual Supplies and Services expenses are below budget, with
the exceptions of Dues and Memberships and Materials, still due to the previous month's reported
reasons. For the month of September 2013, Insurance is reported as being 76.54% over the annual
budget due to the District paying 100% of its annual premium to ACWA JPIA for Auto and General
Liability Program - Policy Year October 2013 - September 2014.
Overall, Sewer Supplies and Services expenses are trending below budget, with the same
exceptions noted in the water fund.
STRATEGIC PLAN:
FR 1 -F: Continue to Record and Report the Fairly Stated Financial Activities of the District in a
Timely and Transparent Manner to the Board of Directors and Member Agencies
ATTACHMENTS:
Description: Type:
September 2013 consolidated stmt.xlsx September 2013 Consolidated Statement Backup Material
Sept 2013 Water Stmt.xlsx September 2013 Water Statement Backup Material
September 2013 Sewer Stmt.xlsx September 2013 Sewer Statement Backup Material
Yorba Linda Water District
Summary Financial Report
Water & Sewer Funds
For Three Months Ending September 30, 2013
Revenue (Operating):
Water Revenue (Residential)
Water Revenue (Commercial & Fire Det.)
Water Revenue (Landscape /Irrigation)
Water Revenue (Service Charge)
Sewer Charge Revenue
Locke Ranch Assessments
Other Operating Revenue
Total Operating Revenue:
Revenue (Non- Operating):
Interest
Property Tax
Other Non - Operating Revenue
Total Non - Operating Revenue:
Annual YTD YTD YTD YTD YTD
Budget Budget Actual Under(Over) Under(Over) % of
FY 2014 FY 2014 FY 2014 Annual Budget YTD Budget Budget
$16,217,590 $4,054,398 $5,282,789 $10,934,801 ($1,228,392) 32.57%
2,020,223
505,056
573,395
1,446,828
(68,339)
28.38%
4,794,156
1,198,539
1,519,855
3,274,301
(321,316)
31.70%
4,468,716
1,117,179
1,042,559
3,426,157
74,620
23.33%
1,550,530
387,633
399,566
1,150,964
(11,934)
25.77%
200,797
50,199
575
200,222
49,624
0.29%
717,749
179,437
308,941
408,808
(129,504)
43.04%
29,969,761
7,492,440
9,127,680
20,842,081
(1,635,240)
30.46%
87,000
21,750
27,002
59,998
(5,252)
31.04%
1,264,672
316,168
42,193
1,222,479
273,975
3.34%
509,150
127,288
182,650
326,500
(55,363)
35.87%
1,860,822
465,206
251,845
1,608,977
213,361
13.53%
Total Revenue 31,830,683 7,967,646 9,379,626 22,461,068 (1,421,879) 29.47%
Expenses (Operating)
Variable Water Costs (G.W., Import & Power)
13,767,658
3,441,915
4,059,795
9,707,863
(617,881)
29.49%
Salary Related Expenses
7,904,873
1,976,218
1,951,032
5,953,841
25,186
24.68%
Supplies & Services
4,225,654
1,056,414
961,961
3,263,698
94,453
22.76%
Total Operating Expenses
25,898,185
6,474,546
6,972,788
18,925,402
(498,242)
26.92%
Expenses (Non- Operating):
-
-
1,667
1,667
(1,667)
0.00%
Interest on Long Term Debt
1,815,317
453,829
426,132
1,389,185
27,697
23.47%
Other Expense
77,400
19,350
6,714
70,686
12,636
8.67%
Total Non - Operating Expenses:
1,892,717
473,179
432,846
1,459,871
40,333
22.87%
Total Expenses
27,790,902
699479726
794069634
2093869273
(4679909)
26.66%
Net Income (Loss) Before Capital Contributions
490399681
190099920
199739891
290669786
(9639971)
48.86%
Capital Contributions
-
-
1,667
1,667
(1,667)
0.00%
Net Income (Loss) Before Depreciation
490399681
190099920
199769668
290679462
(9669638)
48.90%
Depreciation & Amortization
6,897,941
1,724,485
1,828,878
5,069,058
(104,393)
26.51%
Total Net Income (Loss)
($298689260)
($7149666)
$1469680
($390049940)
($8619246)
-6.13%
Yorba Linda Water District
Water Fund
For Three Months Ending September 30, 2013
Annual YTD Sept YTD YTD YTD YTD
Budget Budget Actual Actual Under(Over) Under(Over) % of Annual
FY 2014 FY 2014 FY 2013 FY 2014 Annual Budget YTD Budget Budget
Revenue (Operating)
Water Revenue (Residential)
$16,217,590
$4,054,398
$1,683,599
$5,282,789
10,934,801
(1,228,392)
32.57%
Property Tax
Water Revenue (Commercial & Fire Det.)
2,020,223
505,056
182,867
573,395
1,446,828
(68,339)
28.38%
501,200
Water Revenue (Landscape /Irrigation)
4,794,156
1,198,539
484,707
1,519,855
3,274,301
(321,316)
31.70%
460,218
Water Revenue (Service Charge)
4,468,716
1,117,179
364,399
1,042,559
3,426,157
74,620
23.33%
2,988,769
Other Operating Revenue
681,074
170,269
96,171
265,898
415,176
(95,630)
39.04%
7,067,870
Total Operating Revenue:
28,181,759
7,045,440
2,811,743
8,684,496
19,497,263
(1,639,056)
30.82%
1,667,602
Revenue (Non- Operating)
Interest
75,000
18,750
9,229
25,636
49,364
(6,886)
34.18%
Property Tax
1,264,672
316,168
34,763
42,193
1,222,479
273,975
3.34%
Other Non - Operating Revenue
501,200
125,300
133,034
182,678
318,522
(57,378)
36.45%
Total Non - Operating Revenue:
1,840,872
460,218
177,026
250,507
1,590,365
209,711
13.61%
Total Revenue
30,022,631
7,505,658
2,988,769
8,935,003
21,087,628
(1,429,345)
29.76%
Total Expenses
26,487,896
6,621,974
3,508,937
7,067,870
19,420,026
(445,896)
Expenses (Operating):
Net Income (Loss) Before Capital Contributions
3,534,735
883,684
(520,168)
1,867,133
1,667,602
(983,449)
Variable Water Costs (G.W., Import & Power)
13,767,658
3,441,915
2,297,034
4,059,795
9,707,863
(617,881)
29.49%
Salary Related Expenses
6,987,204
1,746,801
537,591
1,716,154
5,271,050
30,647
25.58%
Supplies & Services:
Depreciation & Amortization
5,598,638
1,399,660
496,373
1,489,119
4,109,519
(89,460)
Communications
283,371
70,843
29,691
42,232
241,139
28,611
14.90%
Contractual Services
504,089
126,022
65,684
106,326
397,763
19,696
21.09%
Data Processing
158,779
39,695
15,145
17,885
140,894
21,810
11.26%
Dues & Memberships
67,021
16,755
652
24,624
42,397
(7,869)
36.74%
Fees & Permits
152,224
38,056
10,559
17,668
134,556
20,388
11.61%
Insurance
278,293
69,573
212,954
213,010
65,283
(143,437)
76.54%
Materials
568,676
142,169
58,970
159,042
409,634
(16,873)
27.97%
District Activities, Emp Recognition
23,390
5,848
1,026
1,485
21,905
4,363
6.35%
Maintenance
357,243
89,311
13,908
65,226
292,017
24,085
18.26%
Non - Capital Equipment
121,534
30,384
14,231
21,009
100,525
9,375
17.29%
Office Expense
42,920
10,730
679
4,506
38,414
6,224
10.50%
Professional Services
747,785
186,946
56,605
111,861
635,924
75,085
14.96%
Training
64,403
16,101
8,581
8,502
55,901
7,599
13.20%
Travel & Conferences
48,389
12,097
4,606
6,847
41,542
5,250
14.15%
Uncollectible Accounts
23,250
5,813
(222)
(216)
23,466
6,029
-0.93%
Utilities
83,700
20,925
-
-
83,700
20,925
0.00%
Vehicle Equipment
321,250
80,313
36,961
59,068
262,182
21,245
18.39%
Supplies & Services Sub -Total
3,846,317
961,579
530,030
859,075
2,987,242
102,504
22.34%
Total Operating Expenses
24,601,179
6,150,295
3,364,655
6,635,024
17,966,155
(484,729)
26.97%
Expenses (Non- Operating):
Interest on Long Term Debt
1,815,317
453,829
142,044
426,132
1,389,185
27,697
23.47%
Other Expense
71,400
17,850
2,238
6,714
64,686
11,136
9.40%
Total Non - Operating Expenses:
1,886,717
471,679
144,282
432,846
1,453,871
38,833
22.94%
Total Expenses
26,487,896
6,621,974
3,508,937
7,067,870
19,420,026
(445,896)
26.68%
Net Income (Loss) Before Capital Contributions
3,534,735
883,684
(520,168)
1,867,133
1,667,602
(983,449)
52.82%
Capital Contributions
-
-
-
-
0.00%
Net Income (Loss) Before Depreciation
3,534,735
883,684
(520,168)
1,867,133
1,667,602
(983,449)
52.82%
Depreciation & Amortization
5,598,638
1,399,660
496,373
1,489,119
4,109,519
(89,460)
26.60%
Total Net Income (Loss)
($2,063,903)
($515,976) ($1,016,541)
$378,014
($2,441,917)
($893,990)
- 18.32%
Capital - Direct Labor
(11,376)
(71,252)
Yorba Linda Water District
Sewer Fund
For Three Months Ending September 30, 2013
Annual YTD Sept YTD YTD YTD YTD
Budget Budget Actual Actual Under(Over) Under(Over) % of
FY 2014 FY 2014 FY 2013 FY 2014 Annual Budget YTD Budget Annual Budget
Revenue (Operating)
Sewer Charge Revenue
$1,550,530
$387,633
$132,619
$399,566
$1,150,964 $
(11,934)
25.77%
Locke Ranch Assessments
200,797
50,199
132
575
200,222
49,624
0.29%
Other Operating Revenue
36,675
9,169
13,939
43,043
(6,368)
(33,874)
117.36%
Total Operating Revenue:
1,788,002
447,001
146,690
443,184
1,344,818
3,817
24.79%
Revenue (Non- Operating):
Interest
12,000
3,000
710
1,366
10,634
1,634
11.38%
Other Non - Operating Revenue
7,950
1,988
2,641
(28)
7,978
2,016
-0.35%
Total Non - Operating Revenue:
19,950
4,988
3,351
1,338
18,612
3,650
6.71%
Total Revenue
1,807,952
24.59%
451,988
150,041
444,522
1,363,430
7,466
Expenses (Operating):
Salary Related Expenses
917,669
229,417
71,783
234,878
682,791
(5,461)
25.74%
Supplies & Services:
Communications
21,829
5,457
2,235
3,179
18,650
2,278
14.56%
Contractual Services
38,751
9,688
4,939
8,416
30,335
1,272
21.72%
Data Processing
11,951
2,988
1,140
1,346
10,605
1,642
11.26%
Dues & Memberships
5,314
1,329
49
1,853
3,461
(525)
34.87%
Fees & Permits
15,141
3,785
400
2,709
12,432
1,076
17.89%
Insurance
20,947
5,237
16,029
16,033
4,914
(10,796)
76.54%
Materials
19,099
4,775
3,963
13,087
6,012
(8,312)
68.52%
District Activities, Emp Recognition
1,761
440
70
105
1,656
335
5.96%
Maintenance
121,908
30,477
20,147
27,554
94,354
2,923
22.60%
Non - Capital Equipment
16,417
4,104
2,525
4,428
11,989
(324)
26.97%
Office Expense
3,231
808
48
336
2,895
472
10.40%
Professional Services
37,425
9,356
2,082
6,534
30,891
2,822
17.46%
Training
6,757
1,689
3,675
4,401
2,356
(2,712)
65.13%
Travel & Conferences
4,062
1,016
334
506
3,556
510
12.46%
Uncollectible Accounts
1,750
438
(21)
(25)
1,775
463
-1.43%
Utilities
7,100
1,775
-
7,100
1,775
0.00%
Vehicle Equipment
45,899
11,475
9,267
12,424
33,475
(949)
27.07%
Supplies & Services Sub -Total
379,342
94,836
66,882
102,886
276,456
(8,051)
27.12%
Total Operating Expenses
Expenses (Non- Operating):
Interest Expense
Other Expense
Total Non - Operating Expenses:
1,297,011 324,253 138,665 337,764 959,247 (13,511) 26.04%
- - - - - 0.00%
6,000 1,500 - - 6,000 1,500 0.00%
6,000 1,500 - - 6,000 1,500 0.00%
Total Expenses
1,303,011 325,753 138,665 337,764
965,247
(12,011)
25.92%
Net Income (Loss) Before Capital Contributions
504,941 126,235 11,376 106,758
398,183
19,477
21.14%
Capital Contributions
- - - 1,667
1,667
(1,667)
0.00%
Net Income (Loss) Before Depreciation
504,941 126,235 11,376 108,425
399,850
17,810
21.47%
Depreciation &Amortization 1,299,298 324,825 113,253 339,759 959,539 (14,935) 26.15%
Total Net Income (Loss) (794,357) (198,589) (101,877) (231,334) (559,689) $32,745 29.12%
Capital - Direct Labor (637) (1,289) 1,289