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Recommendation to Accept the Investment Transactions Report and Annual Investment Report for the Fiscal Year Ending June 30, 2025. [City Council and SACIC] (Finance 10024051)
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Title
Recommendation to Accept the Investment Transactions Report and Annual Investment Report for the Fiscal Year Ending June 30, 2025. [City Council and SACIC] (Finance 10024051)
Body
To: Honorable Mayor and Members of the City Council
From: Jennifer Ott, City Manager
EXECUTIVE SUMMARY
This report presents the City of Alameda's (City) Investment Transactions Report for the Fourth Quarter Ending June 30, 2025, as well as an Annual Investment Report which provides a status of the current investment portfolio over the past fiscal year. This report lists all the City's investments and computes average yield and average life of the portfolio as well as all required elements shown in the Investment Transactions Report for each investment of the City's overall portfolio.
The report has been prepared to comply with regulations contained in the California Government Code Section 53646 and the City's Investment Policy.
The City's Investment Portfolio is in compliance with its Statement of Investment Policy. The City has sufficient funds to meet its pool's expenditure requirements for the next six months. This report has been reviewed and approved by the City Treasurer, Mr. Kevin Kennedy.
BACKGROUND
In accordance with the Investment Policy, an Investment Transactions Report is provided to the City Council for review each Quarter and an Annual Investment Report of the Fiscal Year. Attached is the Investment Transactions Report for the Quarter Ending June 30, 2025 (Exhibit 1) as well as an Annual Investment Report for the Fiscal Year Ending June 30, 2025, which provides a status of the current investment portfolio over the past fiscal year (Exhibit 2).
DISCUSSION
The City utilizes U.S. Bank as its third-party custodian for safekeeping of all investments.
The investments are managed by PFM Asset Management (PFM) and Chandler Asset Management (Chandler), the City's two registered investment managers. Both PFM and Chandler are responsible for managing investments of up to five years maturity.
A detailed listing of all the individual transactions including acquisitions, dispositions, interests and dividends transactions carried out by both PFM and Chandler over the past quarter are detailed in the Investments Transactions Report for the Quarter Ending June 30, 2025.
An Investment Portfolio Summary Report with current investment holdings, and economic updates from Chandler and PFM, are included in Annual Investment Report for the Fiscal Year Ending June 30, 2025.
ALTERNATIVES
Accept the report due to no further action being requested.
FINANCIAL IMPACT
There is no financial impact from the Investment Transactions Report.
The City's expenditure requirements for the next six months are covered by anticipated revenues from City operations and liquidity from cash on deposit and maturing investments.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
All investments were made in accordance with the provisions of the City's approved Investment Policy. The policy emphasizes safety, liquidity and diversification. This action supports the City Strategic Plan Priority to Practice Fiscally Responsible, Equitable and Inclusive Governance.
ENVIRONMENTAL REVIEW
This action does not constitute a "project" as defined in California Environmental Quality Act (CEQA) Guidelines Section 15378 and therefore no further CEQA analysis is required.
CLIMATE IMPACT
There are no identifiable climate impacts or climate action opportunities associated with the subject of this report.
RECOMMENDATION
Accept the Investment Transactions Report and Annual Investment Report for the Fiscal Year Ending June 30, 2025.
Respectfully submitted,
Ross McCarthy, Finance Director
By,
Amy Little, Accountant I
Exhibit:
1. Quarterly Investment Transactions Report
2. Annual Investment Report
cc: Kevin Kennedy, City Treasurer