PRESENTER: Presenter
Sandy Paulos, Director of Finance
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SUBJECT: Title
Approval of the City of New Braunfels FY 2021 Fourth Quarter Investment Report.
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DEPARTMENT: Finance
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COUNCIL DISTRICTS IMPACTED: N/A
BACKGROUND INFORMATION:
State of Texas statutes require quarterly investment reports be presented to the governing body of a municipality. In addition, the Investment Policy adopted annually by the City Council requires quarterly reporting to the City Council. Attached for Council consideration is the FY 2021 Fourth Quarter Investment Report to meet these statutory requirements. As of September 30, 2021, the City had $222,695,715 (market value) invested in different investment instruments including cash, as shown below. The portfolio increased by $22,459,595 in the fourth fiscal quarter due to the receipt of bond funds during the quarter.
For the fourth quarter, the weighted average yield of the City’s investments was 0.06 percent, an increase of 0.01 percent when compared to the FY 2021 third quarter yield of 0.05 percent. The purchase of some CD’s at higher yields, along with the transfer of funds into a higher yielding Local Government Investment Pool (LGIP) contributed to the increase.
The weighted average maturity of the City’s portfolio decreased in comparison to the third quarter of FY 2021. This is due to the maturity of some CD’s during the quarter, along with an increase in the amount invested in LGIP’s and the balance held at Frost Bank.
We continue to research safe investment options while being mindful of bond project cashflow needs and security of principal
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FISCAL IMPACT:
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Recommendation
RECOMMENDATION:
Staff recommends approval of the attached investment report.