BOARD MEETING DATE: June 16, 2000 AGENDA NO. 27
Investment Oversight Committee and Special Board Meeting
SYNOPSIS:
The Investment Oversight Committee met Friday, May 19, 2000 in a special joint meeting of the Committee and Governing Board to discuss AQMD’s Treasury Management Options and continued delegation of authority to Los Angeles County Treasurer to invest AQMD funds. The next Investment Oversight Committee meeting is scheduled for Friday, August 4, 2000 at 12:00 noon in Conference Room CC8.
RECOMMENDED ACTION:
Receive and file.
Norma Glover
Investment Oversight Committee
Attendance:
|
Governing Board: |
Hal Bernson, Bea LaPisto-Kirtley, Leonard Paulitz, Roy Wilson |
|
Committee Members: |
Michael Antonovich, William Burke, Norma Glover, Gary Burton, David Ertel, Jerry Rogers |
|
Staff: |
Barry Wallerstein, Barbara Baird, Rick Pearce |
|
Others: |
Terry McGuire, Sperry Capital Inc., Adele Berwanger, Canterbury Consulting |
Investment Committee/Governing Board Action Item:
Review Treasury Management Options and Develop a Recommendation Regarding Continued Delegation of Authority to Los Angeles County Treasurer to Invest AQMD Funds: Rick Pearce, Chief Financial Officer, gave a brief synopsis of the AQMD’s current investment program including the changes instituted by the Governing Board in 1996 in response to the Orange County bankruptcy and the results of a recent study of AQMD’s investment program by Canterbury Consulting. At its May 5, 2000 Committee meeting, staff was directed to develop four treasury management options for Board consideration. The following options were presented to the Governing Board and Committee.
|
Options I: |
Los Angeles County Treasurer: Investment allocation – 80% short-term and 20% longer-term. |
|
Option II: |
Los Angeles County Treasurer: Investment allocation –50% or more longer-term, balance short-term. |
|
Option III: |
New internal treasury function utilizing Outside Investment Managers: Investment allocation – 80% short-term and 20% longer-term. |
|
Option IV: |
New internal treasury function utilizing Outside Investment Managers: Investment allocation – 50% or more longer-term, balance short-term. |
These options were discussed at the meeting and based upon input from the Committee, the Governing Board approved unanimously the following:
Motion was made by Roy Wilson and seconded by Leonard Paulitz to adopt Option II whereby the AQMD would continue to use the County of Los Angeles as its Treasurer but make longer-term investments.
Other Business: None
Public Comment: None
/ / /