SR - - REPORT ENDING JANUARY 31 20171. SUBJECT:
Investment Oversight Committee Report for the period ending January 31, 2017.
2. SUMMARY:
This report summarizes the activity of the Investment Oversight Committee.
3. RECOMMENDATION /ACTION:
Receive and file.
4. FISCAL IMPACT
None.
5. STRATEGIC PLAN GO
2d. Be a Fiscally Healthy Community — Effectively manage and develop City assets.
16. GENERAL PLAN IMPLEMENTATION J
N/A
ITEM 3 • S 2/14/17
7. DISCUSSION and BACKGROUND
As required by the Orange Municipal Code Section 2.50.020, the Investment Oversight
Committee reports to the City Council summarizing the Committee meetings and submitting any
recommendations of the Investment Advisory Committee.
Since the last Investment Oversight Committee Report, the Investment Oversight Committee
held a meeting on February 1, 2017. This meeting was combined with the Investment Advisory
Committee meeting. The purpose of this meeting was to review current investment activity and
to discuss relative Treasury issues. Following is a summary of the specific items discussed at
this meeting.
1) Investment Rates and Portfolio Updates — Rate reports were presented for the period January
2016 through December 2016. There were discussions regarding the interest rate
environment. In addition, attention was given to the recent interest rate trends in both the
U.S. Treasury market and in the Local Agency Investment Fund (LAIF). Update on the
investment portfolio was also presented.
2) Treasurer's Investment Reports — The investment activity for the months of October,
November, and December, and the City's position in each category of investment that
includes Treasuries, Agencies, and Pooled Investments was discussed. This report is also on
the City Council agenda for the February 14, 2017 meeting.
3) Proposed Changes to the Investment Policy — A discussion was held in regards to proposed
changes to the Investment Policy.
4) Due Diligence on Banking Services with Wells Fargo Bank — A due diligence report was
presented.
5) Sales Tax Receipts — An update on sales tax receipts was discussed.
6) 2016/17 Property Tax Summary and Review — A summary and a review on property taxes
were presented.
7) Chapman Economic Forecast Sales Tax Trends and Economic Drivers — There were
discussions in regards to the economic forecast from Chapman University, sales tax trends,
and economic drivers.
8) City Update — An update was presented regarding what is happening at the City level.
8. ATTACHMENTS
None
ITEM 2/14/17