Agenda 08/09/2016 (In Absentia) Item #13A08/09/2016
EXECUTIVE SUMMARY
Report to the Board regarding the investment of County funds as of the quarter ended June 30,
2016.
OBJECTIVE: To provide the Board a report regarding the investment of County funds as of
the quarter ended June 30, 2016.
CONSIDERATIONS: Florida Statute 28.33 provides for the investment of County surplus
funds by the Clerk of Courts. 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, or as necessary, at
a publicly noticed Board of County Commissioners meeting.
Attached, as exhibits to this executive summary, are the investment portfolio inventory, portfolio
composition pie chart and yield graphs as of the end of the third quarter of FY-2016. Changes
have been made to the attached exhibits to reflect amendments made to the Board’s investment
policy on December 9, 2014, Agenda Item 11(C). Please note that the yield charts indicate that
the Collier portfolio’s long term sector performance exceeded the bench mark by.34%. The long
term measure was exceeded as the bench mark is comprised solely of 1 to 3 year Treasuries,
while the Collier long term sector includes both Treasuries and higher yielding agencies.
Collier’s short term sector yield exceeded the benchmark by .07% due to the establishment of a
First Florida Integrity Bank (FFIB) overnight investment account that pays interest indexed to
Florida PRIME. The Board’s Concentration (Operating) Account has also been included on the
chart and bears interest at 95% of the daily Effective Federal Funds Rate, or .34% for June 2016.
In order to maximize short term yield only funds necessary to meet current Board obligations
will be kept in the Concentration Account. Both FFIB accounts are fully collateralized through
the Qualified Public Depositor program.
Approval of the following documents by the County Manager is subject to formal ratification by the
Board of County Commissioners. If the decision by the County Manager is not ratified by that Board, the
document(s) shall be enforceable against Collier County only to the extent authorized by law in the
absence of such ratification by that Board.
GROWTH MANAGEMENT IMPACT: None.
FISCAL IMPACT: None.
LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is
approved as to form and legality, and requires majority vote for acceptance of the report. -JAK
RECOMMENDATION: The investment report exhibits are provided to the Board as
information only, no action is required.
13.A
Packet Pg. 91
08/09/2016
Prepared by: Derek M. Johnssen, Assistant Finance Director,
Office of the Clerk of the Circuit Court
ATTACHMENT(S)
1. Portfolio Composition - Web Load QTR 3 FY 2016 (PDF)
2. Portfolio - Web Load QTR 3 FY 2016 (PDF)
3. Short Term Weighted Avg Return QTR 3 FY 2016 (PDF)
4. Long Term Weighted Avg Return QTR 3 FY 2016 (PDF)
13.A
Packet Pg. 92
08/09/2016
COLLIER COUNTY
Board of County Commissioners
Item Number: 13.A
Item Summary: Report to the Board regarding the investment of County funds as of the
quarter ended June 30, 2016.
Meeting Date: 08/09/2016
Prepared by:
Title: Assistant Finance Director – Clerk of the Circuit Court
Name: Derek Johnssen
07/29/2016 11:51 AM
Submitted by:
Title: Fiscal Technician I – Clerk of the Circuit Court
Name: Jennifer Milum
07/29/2016 11:51 AM
Approved By:
Review:
County Attorney's Office Scott Teach Level 2 Attorney Review Completed 08/08/2016 3:00 PM
County Attorney's Office Scott Teach Level 3 County Attorney's Office Review Completed 08/08/2016 3:01 PM
Office of Management and Budget Laura Wells Level 3 OMB Gatekeeper Review Completed 08/08/2016 3:16 PM
Budget and Management Office Mark Isackson Level 3 OMB 1st Reviewer 1-4 Completed 08/09/2016 9:46 AM
County Manager's Office Leo E. Ochs Level 4 County Manager Review Completed 08/09/2016 4:17 PM
Clerk of the Circuit Court Leo E. Ochs Level 1 Add Division Reviewer Skipped 08/09/2016 4:17 PM
Board of County Commissioners MaryJo Brock Meeting Pending 08/09/2016 12:00 AM
13.A
Packet Pg. 93
US Treasury Notes
$195,000,000.00
26.1%
BoCC Deposit Accounts
$145,997,629.90
19.5%
Agencies
(FHLB,FNMA,FHLMC,FFCB)
$407,000,000.00
54.4%
Collier County Portfolio Composition
as of June 30, 2016 (At Par Value)
$747,997,629.90
Sector Allowed (%)Current (%)
Bank Deposit Accounts 100% 19.5%
U.S. Treasury 100%26.1%
Federal Agency / GSE 80% 54.4%
Sector Maximum
Total Cash Based Interest
Fiscal Year to Date
$6,206,527
13.A.a
Packet Pg. 94 Attachment: Portfolio Composition - Web Load QTR 3 FY 2016 (1724 : Quarterly Investment Report)
Collier County Investment Portfolio
as of 06/30/2016 A B C D E F G
Weighted Weighted Cont. Rate/Cont. Rate/
FNBB Final Years Years O/N Coupon Weighted
Settlement First Call Market Amortized Maturity to to First Cont.Coupon Weighted Purchased Purchased
Instrument CUSIP Date Call Date Frequency Par Value Value Cost Date Maturity Call/Maturity Rate Rate Yield Yield Yield
FHLMC 3137EADS5 8/16/2013 none N/A 25,000,000.00$ 25,035,625.00$ 24,999,655.84$ 10/14/2016 0.01 0.01 0.88 0.04 0.88 0.04
US Treasury Note 912828A91 1/15/2014 none N/A 60,000,000.00 60,093,720.00 59,989,857.65 1/15/2017 0.05 0.05 0.75 0.07 0.80 0.08
US Treasury Note 912828B74 2/18/2014 none N/A 25,000,000.00 25,022,225.00 24,988,338.44 2/15/2017 0.03 0.03 0.63 0.03 0.70 0.03
US Treasury Note 912828C32 3/17/2014 none N/A 10,000,000.00 10,017,000.00 9,996,517.59 3/15/2017 0.01 0.01 0.75 0.01 0.80 0.01
US Treasury Note 912828G46 12/12/2014 none N/A 25,000,000.00 25,010,625.00 24,993,350.14 11/30/2016 0.02 0.02 0.50 0.02 0.56 0.02
FHLMC 3134G6CT8 2/13/2015 2/13/2017 once 25,000,000.00 25,069,750.00 25,000,000.00 2/13/2020 0.15 0.03 1.00 0.04 1.00 0.04
FNMA 3136G2G27 4/2/2015 10/2/2015 quarterly 50,000,000.00 50,007,600.00 50,000,000.00 4/2/2018 0.15 0.15 1.16 0.10 1.16 0.10
FHLB 3130A6JB4 10/21/2015 1/21/2016 quarterly 25,000,000.00 25,001,050.00 25,000,000.00 7/21/2017 0.04 0.04 0.70 0.03 0.70 0.03
FHLMC 3134G7U25 10/27/2015 1/27/2016 quarterly 25,000,000.00 25,002,000.00 25,000,000.00 10/27/2017 0.06 0.06 0.80 0.03 0.80 0.03
US Treasury Note 912828UA6 11/9/2015 none N/A 25,000,000.00 25,004,875.00 24,892,370.35 11/30/2017 0.06 0.06 0.63 0.03 0.93 0.04
FHLB 3130A6SW8 11/20/2015 none N/A 23,000,000.00 23,096,784.00 22,996,354.05 12/19/2017 0.06 0.06 1.00 0.04 1.02 0.04
FHLMC 3134G74Q1 11/24/2015 2/24/2016 quarterly 25,000,000.00 25,007,500.00 25,000,000.00 11/24/2017 0.06 0.06 0.85 0.04 0.85 0.04
US Treasury Note 912828M72 12/3/2015 none N/A 50,000,000.00 50,179,700.00 49,944,411.06 11/30/2017 0.12 0.12 0.88 0.07 0.94 0.08
FHLB 313381B20 12/8/2015 none N/A 20,000,000.00 20,034,940.00 19,921,855.54 12/8/2017 0.05 0.05 0.75 0.02 1.02 0.03
FHLB 3130A6V95 12/9/2015 none N/A 9,000,000.00 9,044,010.00 9,000,000.00 12/1/2017 0.02 0.02 1.02 0.02 1.02 0.02
FFCB 3133EFSG3 12/14/2015 none N/A 25,000,000.00 25,169,000.00 25,000,000.00 3/14/2018 0.07 0.07 1.10 0.05 1.10 0.05
FHLB 313379FW4 12/18/2015 none N/A 10,000,000.00 10,039,580.00 10,000,925.42 6/9/2017 0.02 0.02 1.00 0.02 0.99 0.02
FFCB 3133EFSW8 12/21/2015 12/21/2016 continuously 25,000,000.00 25,065,175.00 25,000,000.00 12/21/2018 0.10 0.02 1.38 0.06 1.38 0.06
FNMA 3136G2YM3 2/26/2016 8/26/2016 quarterly 30,000,000.00 29,999,670.00 30,000,000.00 2/26/2021 0.23 0.01 1.00 0.05 1.00 0.05
FFCB 3133EFW52 4/1/2016 none N/A 40,000,000.00 40,277,320.00 39,973,015.85 7/1/2019 0.20 0.20 1.15 0.08 1.17 0.08
FHLB 313381B20 6/22/2016 none N/A 25,000,000.00 25,043,675.00 25,000,000.00 12/8/2017 0.06 0.06 0.75 0.03 0.75 0.03
FHLB 313379DT3 6/22/2016 none N/A 25,000,000.00 25,181,775.00 25,188,371.51 6/8/2018 0.08 0.08 1.25 0.05 0.86 0.04
Total long term investments 602,000,000.00$ 603,403,599.00$ 601,885,023.44$ 1.65 1.23 0.93 0.96
Balance
BoCC FFIB Concentration Account 70,924,641.42$ 0.34
BoCC FFIB O/N Investment Account 75,072,988.48$ 0.60
Total Funds on Deposit 145,997,629.90$
Total managed portfolio 747,997,629.90$
A-Weighted Years to Maturity calculation is based on individual par value divided by total long term investment par value multiplied by the remaining number of year(s) to full maturity.
B-Weighted Years To First Call/Maturity calculation is based on individual par value divided by total long term investment par value multiplied by the remaining number of year(s) to full maturity, or to the first call date if applicable.
When an investment passes the first call date the calculation is adjusted based on date of final maturity.
C-An Overnight Contractual Rate is provided for overnight investments (BoCC Concentration and BoCC Investment Accounts) pursuant to contracts with First Florida Integrity Bank. Concentration Account Rate is indexed at 95% of the daily Effective Federal Funds Rate
with a floor (minimum) rate of .25%. The Investment Account Rate is the greater of (1) 95% of the Fed Funds Effective Rate, or (2) 7 day SEC Yield published on the Florida Prime website, adjusted monthly to previous month end rate.
D-Coupon Rate is taken from the respective investment trade tickets. Step coupons, if any, are shown at their current rate.
E-Coupon Weighted Yield calculation is based on individual par value divided by total long term investment par value multiplied by the coupon rate.
F-Purchased Yield is taken from the respective investment trade tickets and is based upon yield to worst, or the minimum yield the investment will achieve.
G-Weighted Purchased Yield calculation is based on individual par value divided by total long term investment par value multiplied by the Purchased Yield.
13.A.b
Packet Pg. 95 Attachment: Portfolio - Web Load QTR 3 FY 2016 (1724 : Quarterly Investment Report)
0.34%
0.60%
0.53%
0.00%
0.20%
0.40%
0.60%
0.80%
Jul. 2015 Aug. 2015 Sept. 2015 Oct. 2015 Nov. 2015 Dec. 2015 Jan. 2016 Feb. 2016 Mar. 2016 Apr. 2016 May. 2016 June. 2016
Collier County Short Term Sector Yields
FFIB Deposit Accounts
vs.
S&P Rated GIP Benchmark
Concentration Account (FFIB)O/N Investment Account (FFIB)S&P Rated GIP Benchmark
Account Established March 2016
13.A.c
Packet Pg. 96 Attachment: Short Term Weighted Avg Return QTR 3 FY 2016 (1724 : Quarterly Investment Report)
0.96%
0.62%
0.00%
0.50%
1.00%
1.50%
Jul. 2015 Aug. 2015 Sept. 2015 Oct. 2015 Nov. 2015 Dec. 2015 Jan. 2016 Feb. 2016 Mar. 2016 Apr. 2016 May. 2016 June. 2016
Collier County Long Term Sector Yields
Collier Long Term Portfolio Yield
vs.
B of A 1-3 Yr. Treas. Note Benchmark
Collier Long Term Portfolio Yield B of A 1-3 Yr Treasury Note Benchmark
13.A.d
Packet Pg. 97 Attachment: Long Term Weighted Avg Return QTR 3 FY 2016 (1724 : Quarterly Investment Report)