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Agenda 2/14/2023 Item #16J 7 (Investment of the County funds as of the quarter ended December 31, 2022)16.J.7 02/ 14/2023 EXECUTIVE SUMMARY Report to the Board regarding the investment of County funds as of the quarter ended December 31, 2022. OBJECTIVE: To provide the Board a report regarding the investment of County funds as of the quarter ended December 31, 2022. CONSIDERATIONS: Florida Statute 28.33 provides for the investment of County surplus funds by the Clerk of Courts and Comptroller (Clerk). The Clerk manages the investment of Board funds in accordance with Florida Statute and the Board of County Commissioners' lawful adopted investment policy using best practices and financial advice. The Clerk will continue to provide a monthly summary of investments on the Clerk's website for public access. Additionally, the Clerk is providing this update as to the status of the Board's investment portfolio on a quarterly basis at a publicly noticed Board of County Commissioners' meeting. Attached as exhibits are the investment portfolio inventory, portfolio composition pie chart and yield and return graphs as of the end of the first quarter of FY-2023. The total managed portfolio as of December 31, 2022, was $2.14B, at par value. As of December 2022, Collier's 12-month short-term yield exceeded the benchmark by .20%. The short-term yield exceeded the Standard and Poor's benchmark yield primarily due to the performance of funds with the SBA Florida PRIME and FLCLASS local government investment pools. The Board's Concentration (Operating) Account has also been included on the chart and bore interest of 3.86% as of December 31, 2022. Over the same period, the Collier portfolio's long- term sector 12-month yield and total return were lower by 3.85% and 1.19%, respectively, than the Bank of America 1 to 3-year Treasury index's yield and total return. The continued rising rate environment favors the long-term benchmark as it resets at the beginning of each month with new purchases versus buying and holding investments to maturity. The current investment strategy focuses on ensuring sufficient short-term liquidity, particularly given the relatively attractive short term yields available. There is no realized gain or loss of principal associated with the performance to benchmark of the long or short-term portfolio as investments will be held to maturity, or call, or sold at a gain if market conditions change. GROWTH MANAGEMENT IMPACT: None. FISCAL IMPACT: None. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, raises no legal issues and requires majority vote for approval of the report. -JAK RECOMMENDATION: The investment report and exhibits are provided to the Board as information only, no action is required. Prepared by: Derek M. Johnssen, Finance Director, Office of the Clerk of the Circuit Court and Comptroller ATTACHMENT(S) 1. Investment Exhibits QTR1 FY 2023 (PDF) Packet Pg. 1276 16.J.7 02/14/2023 COLLIER COUNTY Board of County Commissioners Item Number: 16.J.7 Doc ID: 24417 Item Summary: Report to the Board regarding the investment of County funds as of the quarter ended December 31, 2022. Meeting Date: 02/14/2023 Prepared by: Title: — Clerk of the Circuit Court Name: Erin Roxberry 01/17/2023 3:38 PM Submitted by: Title: Senior Staff Assistant — Clerk of the Circuit Court Name: Jennifer Milum 01/17/2023 3:38 PM Approved By: Review: Clerk of the Circuit Court County Attorney's Office Office of Management and Budget Office of Management and Budget County Manager's Office Board of County Commissioners Derek Johnssen Additional Reviewer Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Debra Windsor Level 3 OMB Gatekeeper Review Christopher Johnson Additional Reviewer Amy Patterson Level 4 County Manager Review Geoffrey Willig Meeting Pending Completed 02/08/2023 1:51 PM Completed 02/08/2023 1:58 PM Completed 02/08/2023 2:29 PM Completed 02/08/2023 3:38 PM Completed 02/08/2023 4:12 PM 02/14/2023 9:00 AM Packet Pg. 1277 m (UOdaa ANI £ZOZ Ad L Jlp : MVZ) £ZOZ A3 6Ujt) sl!q!4x3 luawlsawu! :luaw4oelly 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 a u° 3 a Y o ro v v ao ao m Uo o .m+ m vi m a vmi voi Lq Lq n n a o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 .+ o 0 c � m LL m v a Y w � a 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 m o o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o wo w 1 t W o v '� •y c �! 3 c ry m �n N N in in N m N o �n o i. in b m m i.i. o o m m Uo m o m p m voi LQ LQ ^ n n n o m m m b N b b v m v N n m b m n n �n n n m ao ao m o .+ m a m n v n c? a« ^'� o c o 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 C m u z m u d m �? � aa aa M r O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O .b-. 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