agenda item no. 13-11- board of directors november 15, … · 2014. 3. 20. · debt service and...

AAA MMD Yield Curve Movement

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BOARD OF DIRECTORS

AGENDA ITEM NO. 13-11-6

NOVEMBER 15, 2013 ACTION REQUESTED – INFORMATION

OVERVIEW OF DEVELOPMENTS IN THE FINANCIAL File Number 8000180 MARKETS AND QUARTERLY INVESTMENT REPORT FOR THE PERIOD ENDING SEPTEMBER 30, 2013

Introduction

Staff provides quarterly briefings intended to keep the Board of Directors informed about the latest

developments in the financial markets, the economy, and sales tax revenues, the strategies being

explored and implemented to minimize possible impacts to the TransNet Program, and a quarterly

report on investments as required per Board Policy No. 003: Investment Policy.

Discussion

Market Review and Update

Overview

After increasing substantially over the summer months, interest rates fell during the months of

September and October 2013. This was a result of the government shutdown, debt ceiling

negotiations, and the decision by Federal Open Market Committee (FOMC) to reverse its position by

announcing it would not slow the Federal Reserve’s asset purchase program as previously indicated.

The net increase in benchmark tax-exempt rates since May 2013 has brought rates to levels well off

their all-time lows reached at the end of November 2012. The movement on the intermediate and

long-end of the yield curve has been greater than that on the short end, resulting in a steeper yield

curve, as shown in the graph below. However, taking a longer view, interest rates are still below

their long-term averages.

2

Update on Sequestration Effects

Recently, the IRS published an announcement regarding the impact due to sequestration for

Federal Fiscal Year 2014. The sequestration impacts the federal subsidy received on the SANDAG

2010 Series A Build America Bonds (BABs). The publication states that refund payments processed

on or after October 1, 2013, and on or before September 30, 2014, will be reduced by 7.2 percent.

Last year, the impact was an 8.7 percent decrease to the refund payments received during March

through September 2013. The updated 7.2 percent sequestration reduction rate will increase

SANDAG annual interest costs on the Series 2010A Bonds by approximately $504,905.

Municipal Market Supply1

Long-term municipal bond issuance volume in the

third quarter of calendar year 2013 decreased by

23.1 percent to $71.9 billion in 2,017 issues against

$88.5 billion in 2,525 issues through the same period

in 2012.

For the first three quarters of 2013, volume fell

12 percent to $248.8 billion in 8,701 deals compared

with $283.9 billion in 9,842 issues through the first

three quarters in 2012. For the first three quarters of

2013, refunding volume decreased 30 percent to

$85.7 billion from $122.5 billion and new-money

volume has climbed 7 percent to $112.1 billion from

$104.8 billion, versus the same time period in 2012.

While refinancing has slowed, investment in new

infrastructure has increased.

In September 2013, municipal bond issuances volume decreased to $19.8 billion against $26.4 billion

in September 2012, at a rate of 25 percent. The transportation sector’s issuance volume fell

41 percent in September from a year earlier.

1 Issuance data from Thomson Reuters, compiled by The Bond Buyer.

Benchmark Tax-Exempt Rate History

(June 1, 1981, Inception to October 25, 2013)

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30-Year AAA MMD

Benchmark Tax-Exempt Rate History

(January 2, 2013, to October 25, 2013)

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-20 bps

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30-Year AAA MMD (Right Axis)

Issuance Volume

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$20 Bn

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$50 Bn

2012 Issuance 2013 Issuance

3

Interest Rate Forecasts

During the second and third quarters of calendar year 2013, there were significant rises in

intermediate to long-term interest rates driven by the Federal Reserve’s comments on tapering its

program of bond purchases. The short end of the yield curve saw lower increases in interest rates.

The FOMC met twice during the third quarter of 2013 and affirmed its commitment to a zero

interest rate policy for short-term and overnight rates. The Federal Reserve has stated that it is

appropriate to keep the federal funds rate exceptionally low (in the 0.00 to 0.25 percent range) at

least as long as the unemployment rate remains above 6.5 percent and inflation remains no more

than half a percentage point above the 2 percent longer-run goal of the FOMC. These low, short-

term rates are expected to persist into 2015.

As mentioned above, on the longer end of the curve the tax-exempt and U.S. Treasury markets

weakened due to the prospect of the Fed slowing its $85 billion per month of Treasury and

mortgage-backed-security purchases. According to certain market analysts, if the economy stays on

track, asset purchases could begin to wind down in March 2014 and be discontinued by mid-2014.

Despite all the prospective changes, officials at the Fed have tried to calm investors by emphasizing

that bond purchases will not halt until the economy strengthens.

The table below provides an average of interest rate forecasts by industry professionals. These are

surveyed and compiled by Bloomberg. As noted, the 10-year U.S. Treasury rate is forecast to

increase 0.82 to 3.34 percent by the fourth quarter of calendar year 2014. The 30-year U.S. Treasury

is forecast to increase to 4.25 percent by the fourth quarter of calendar year 2014, an increase of

0.63 percent. These increases in long-term rates over the next 12 months are expected to be coupled

with continued low rates in the short-term. This will continue to support relatively low long-term

borrowing rates for SANDAG, while creating challenges for SANDAG short-term investments.

The Street's Interest Rate Forecast2

30-Year

UST 10/28/2013 3.62%

2-Year

UST 10/28/2013 0.31%

30-Year

UST 10/28/2013

Forecast Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Forecast Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15

Average 3.83% 3.97% 4.08% 4.19% 4.25% 4.28% Average 0.45% 0.52% 0.62% 0.76% 0.90% 0.89%

10-Year

UST 10/28/2013 2.52%

3M

LIBOR 10/28/2013 0.24%

10-Year

UST 10/28/2013

Forecast Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Forecast Q4 13 Q1 14 Q2 14 Q3 14 Q4 14 Q1 15

Average 2.81% 2.97% 3.12% 3.26% 3.34% 3.40% Average 0.27% 0.29% 0.31% 0.35% 0.42% 0.48%

Debt Portfolio Overview and Update

Outstanding Debt Overview

SANDAG has $1.15 billion of outstanding long-term debt, consisting of the Series 2008 variable-rate

bonds, the 2010 Series A taxable Build America Bonds, the 2010 Series B tax-exempt fixed-rate

bonds, and the 2012 Series A tax-exempt fixed-rate bonds. Of the total debt portfolio, 35 percent

2 Bloomberg survey compilation as of October 28, 2013.

4

$0

$20,000,000

$40,000,000

$60,000,000

$80,000,000

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

2026

2027

2028

2029

2030

2031

2032

2033

2034

2035

2036

2037

2038

2039

2040

2041

2042

2043

2044

2045

2046

2047

2048

Series 2008A Series 2008B Series 2008C Series 2008D Series 2010A Series 2010B Series 2012A

Aggregate Debt Service Profile

Fixed Rate $750.925mm

65%

Synthetic Fixed Rate

$402.300mm 35%

Outstanding Par Breakdown by Fixed and Hedged

Tax-Exempt $814.265mm

71%

Taxable BABs

$338.960mm 29%

Outstanding Par Breakdown by Tax Status

consists of synthetic fixed-rate bonds (variable-rate bonds hedged with fixed-payer interest rate

swaps) and the remaining 65 percent are fixed-rate bonds. A summary of the outstanding bonds is

tabulated and graphically presented below.

Summary of Outstanding Debt

Series Tax Status Coupon Type Original Issue Size Outstanding Par Call Option Final Maturity

2008A Tax-Exempt Variable-Rate $150,000,000 $100,575,000 Current 4/1/2038

2008B Tax-Exempt Variable-Rate $150,000,000 $100,575,000 Current 4/1/2038

2008C Tax-Exempt Variable-Rate $150,000,000 $100,575,000 Current 4/1/2038

2008D Tax-Exempt Variable-Rate $150,000,000 $100,575,000 Current 4/1/2038

2010A Taxable BABs Fixed-Rate $338,960,000 $338,960,000 Make-Whole 4/1/2048

2010B Tax-Exempt Fixed-Rate $11,040,000 $9,440,000 4/1/2020 4/1/2030

2012A Tax-Exempt Fixed-Rate $420,585,000 $402,525,000 4/1/2022 4/1/2048

Total

$1,153,225,000

Debt Service and Coverage

As seen in the figure below, SANDAG has an aggregate level debt service profile with

approximately $62.3 million in debt service per year through FY 2048. Debt service coverage, using

actual sales tax receipts of $251 million for the last twelve months through September 2013, is 4.03.

For every $1.00 of debt service, SANDAG received $4.03 of sales tax revenue, providing ample

coverage.

5

Recent Variable-Rate Demand Bond and Swap Mark-to-Market Performance

SANDAG has $402.3 million of outstanding variable-rate demand bonds (VRDBs) (Series 2008 A, B, C,

and D), as shown below. These VRDBs are backed by Standby Bond Purchase Agreements from

certain financial institutions. The interest rate on these bonds resets weekly through a remarketing

process. SANDAG VRDBs have been trading well, with their interest rate resets at or below the

Securities Industry and Financial Markets Association (SIFMA) Index (the benchmark short-term

municipal index) resets. On average, SANDAG VRDBs have reset at a rate of 0.12 to 0.13 percent

since September 29, 2011.

SANDAG Series 2008ABCD VRDB Resets Since September 29, 2011

Series SBPA Provider Remarketing Agent Reset Average SIFMA Average Spread to SIFMA

2008A JP Morgan Chase Bank NA Barclays Capital Inc. 0.13% 0.14% -1 bps

2008B JP Morgan Chase Bank NA Goldman Sachs & Company 0.13% 0.14% -1 bps

2008C Mizuho Corporate Bank J.P. Morgan Securities LLC 0.12% 0.14% -2 bps

2008D State Street/CALSTRS E.J. De La Rosa & Company 0.12% 0.14% -2 bps

SANDAG also has $402.3 million of fixed-payer interest rate swaps outstanding (listed below), the

purpose of which is to hedge the interest rate variability associated with the $402.3 million of

variable-rate bonds. Additionally, SANDAG has $313.2 million of basis swaps outstanding. Under the

basis swaps, which become effective on April 1, 2018, when the existing fixed-payer swaps are

scheduled to convert from London Interbank Offered Rate (LIBOR) to SIFMA-based indices, SANDAG

will pay its counterparty a floating interest rate payment based upon the SIFMA Index and will

receive a floating payment based upon 107.4 percent of 3-month LIBOR. The market value of the

SANDAG swap portfolio changes with interest rate fluctuations. The mark-to-market valuation, as

of October 25, 2013, is approximately ($43,670,360), meaning SANDAG would need to pay

approximately $43.7 million to terminate the entire swap portfolio in the current market. However,

the swaps are performing as expected and currently there are no reasons that SANDAG would

terminate the swaps. On an annual basis and in accordance with Board Policy No. 032: San Diego

County Regional Transportation Commission Interest Rate Swap Policy, an annual written

description of the swaps and an evaluation of the risks associated with outstanding interest rate

swaps are presented to the Board for review.

6

3.00%

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5.00%

5.50%

6.00%

6.50%

7.00%30-Year Fixed Rate Bond Buyer Revenue Bond Index SANDAG's Current Weighted Average Cost of Capital

Bond Buyer Revenue Bond Index and SANDAG’s WACC

Swap Portfolio Overview

Associated Series

SANDAG Pays

SANDAG Receives

Trade Date Effective

Date Maturity

Date MTM Value

(As of 10/25/13) Notional

Outstanding Bank Counterparty

Series 2008 3.8165%

65% of USD-LIBOR 'til 04/18; SIFMA Swap Index thereafter

05/23/2012 05/23/2012 04/01/2038 ($17,319,848) $134,100,000 Bank of America, N.A. (A3/A/A)

Series 2008 3.8165%

65% of USD-LIBOR 'til 04/18; SIFMA Swap Index thereafter

05/23/2012 05/23/2012 04/01/2038 ($17,319,848) $134,100,000

Goldman Sachs Mitsui Marine Derivative Products, L.P. (Aa2/AAA/ )

Series 2008 3.4100% 65% of USD-LIBOR

05/23/2012 05/23/2012 04/01/2038 ($24,756,558) $134,100,000 Bank of America, N.A. (A3/A/A)

Total Fixed Payer Swaps ($59,396,254) $402,300,000

Series 2008 SIFMA Swap Index

107.4% of 3 Month LIBOR

03/19/2009 04/01/2018 04/01/2038 $7,862,947 $156,600,000 Barclays Bank PLC (A2/A/A)

Series 2008 SIFMA Swap Index

107.4% of 3 Month LIBOR

03/19/2009 04/01/2018 04/01/2038 $7,862,947 $156,600,000 Barclays Bank PLC (A2/A/A)

Total Index Conversion Swaps $15,725,894 $313,200,000

Total Combined ($43,670,360) $715,500,000

Cost of Capital

SANDAG has a very attractive weighted average cost of capital (WACC) of 3.96 percent. This cost

can vary based upon swap performance and the cost of liquidity to support the variable-rate debt.

7

The 2008A-D bonds with the current swap rate and associated fees provide a cost of capital equal to

4.30 percent. The 2010A bonds were issued as taxable Build America Bonds and have a borrowing

cost of 3.89 percent. The 2010B tax-exempt bonds have a borrowing cost of 3.14 percent. The most

recent 2012A bonds were sold at an all-in cost of 3.72 percent. Taken together, SANDAG has issued

approximately $1.19 billion in bonds, to accelerate project delivery, for a WACC of 3.96 percent.

SANDAG’s WACC Calculations

Synthetic Fixed Rate:

Series Par Post ‘12 Refunding Swap Rate SBPA Fee Remarketing Agent

Fee Cost of Capital

2008A $100,575,000 3.8165% 0.560% 0.06% 4.4365%

2008B $100,575,000 3.8165% 0.560% 0.06% 4.4365%

2008C1 $67,050,000 3.8165% 0.475% 0.06% 4.3515%

2008C2 $33,525,000 3.4100% 0.475% 0.06% 3.9450%

2008D $100,575,000 3.4100% 0.650% 0.06% 4.1200%

2008 Weighted Avg. 4.3023%

Fixed Rate:

Series Original Par - - - All-in TIC

2010A $338,960,000 - - - 3.8871%

2010B $11,040,000 - - - 3.1434%

2012A $420,585,000 - - - 3.7167%

Total Weighted Avg. 3.9614%

Commercial Paper

In addition to the long-term debt, SANDAG has a short-term Commercial Paper Program supported

by a Letter of Credit from Union Bank. The Commercial Paper Program is authorized at $75 million,

with $32.6 million outstanding, and the paper was most recently remarketed out 93 days at a rate

of 12 basis points.

Looking Ahead

The next new money bond transaction is currently expected to take place during FY 2015. The

JP Morgan Standby Bond Purchase Agreement (SBPA), which supports the Series 2008A and

Series 2008B VRDBs, is scheduled to expire in March 2014. SANDAG and its advisors are working to

evaluate the options to replace or renew the SBPA. In addition, SANDAG and its advisors will

continue to monitor the municipal bond market and identify opportunities that best allow SANDAG

to meet its financing needs and objectives.

Quarterly Investment Data

Included with this quarterly finance report through September 30, 2013, are: a summary of

8

portfolio balances by institution (Attachment 1); a detail of portfolio balances by account

(Attachment 2); and a detail of portfolio balances by investment type (Attachment 3) for all money

under the direction or care of SANDAG, including funds of the San Diego County Regional

Transportation Commission (RTC), SourcePoint, and the Automated Regional Justice Information

System (ARJIS).

As of September 30, 2013, a total of $674.3 million was held by SANDAG in a number of investment

accounts, in comparison to $697.3 million held in the previous quarter. The $23 million decrease

during the quarter is primarily due to the timing of TransNet sales tax receipts, TransNet debt

service payments, TransNet allocation payments to other local governmental agencies, and the use

of TransNet bond proceeds to fund current projects.

Approximately $4.4 million was held in eight Bank of America accounts and $3.4 million in two

Wells Fargo accounts at the end of the quarter. Funds in these accounts are used for operating

purposes. Approximately $666.5 million was invested in ten institutions, as follows:

1. State of California Local Agency Investment Fund (LAIF) – State law allows local agencies

(RTC and SANDAG) to invest up to $50 million per agency in LAIF. These funds hold excess

operating funds for RTC and SANDAG. A total of approximately $48.4 million was invested in

LAIF, of which RTC held approximately $45.2 million of sales tax funds and SANDAG held

$3.2 million. These funds are highly liquid, and funds may be accessed easily for immediate

operating needs.

2. California Asset Management Program (CAMP) – These are funds administered by one of the

two SANDAG financial advisors, PFM Asset Management LLC (PFM). The Cash Reserve

Portfolio, totaling $125.5 million, is used for the investment of the 2008, 2010, and 2012

TransNet bond proceeds and TransNet sales tax funds not yet paid for TransNet-approved

projects. In addition, CAMP uses the Individual Portfolio, totaling $188.9 million, for the

investment of the 2008, 2010, and 2012 TransNet bond proceeds needed for payment in the

short term, and excess operating funds for Interstate 15 FasTrak®, State Route 125, ARJIS, and

TransNet sales tax funds not yet paid to other local governmental agencies.

3. US Bank – These funds, totaling approximately $39.9 million, were held by US Bank, Trustee

for bond debt service payments and payment of interest on the short-term Commercial Paper

Program, as part of the TransNet Program, and for the toll revenues of the State Route 125

franchise. Of this balance, $30.6 million of the investments held by US Bank is invested in

North County Transit District auction rate securities purchased with commercial paper.

4. The Bank of New York Mellon – These are funds administered by one of the two SANDAG

financial advisors, Cutwater Asset Management. The Individual Portfolio, totaling

$152.7 million and the Cash Reserve Portfolio, totaling $732,490, are used for the investment

of excess TransNet sales tax revenue not yet paid for TransNet-approved projects.

5. San Diego County Treasurer’s Pooled Money Fund – These funds, totaling $106.7 million, were

held by the San Diego’s County Treasurer’s Pooled Money Fund. The funds consist of the

SourcePoint Cash Reserve Fund for the City of Santee, ARJIS, SANDAG Service Authority for

Freeway Emergencies, TransNet sales tax revenues, and TransNet 2012 bond proceeds.

9

6. BofA Funds – These funds are invested in treasury reserves capital shares funds managed by

BofA Global Capital Management, a division of Bank of America Corporation. These also are

highly liquid and may be used for immediate cash needs. There was a total of $277,302 for

Coronado Bridge Toll Funds held in trust by SANDAG that was invested in this mutual fund.

7. DWS Money Market Series Institutional Funds – This institution holds the funds received by

SANDAG from the California Department of Boating and Waterways. There was a total of

$268,589 in this mutual fund.

8. California Bank and Trust – There was approximately $1.8 million on deposit with California

Bank and Trust pursuant to capital project escrow retention agreements with various

contractors.

9. California Bank of Commerce – There was approximately $261,686 on deposit with California

Bank of Commerce to capital project escrow retention agreements with a contractor.

10. Union Bank – Approximately $1.1 million was on deposit with Union Bank pursuant to capital

project escrow retention agreements with contractors.

The chart below provides a snapshot of the investment holding locations at September 30, 2013.

Investment Holdings BANK OF AMERICA

WELLS FARGO BANK

LAIF

CAMP IP

CAMP CASH RESERVE

US BANK

BNY MELLON IP

BNY MELLON CASH RESERVE

COSD TREASURER'S POOL

B of A GLOBAL CAPITAL MGMT

DWS

CALIFORNIA BANK AND TRUST

UNION BANK

10

As shown in the chart below, as of September 30, 2013, the yield on cost of the portfolio was

0.43 percent, with a weighted average maturity of 415 days, in comparison to 0.43 percent and

423 days in the prior quarter.

The Finance Department has continued to implement the Board’s investment objectives of safety,

liquidity, and return on investment for the SANDAG investment portfolio. These will continue to be

important investment objectives for the future.

Certifications

The Director of Finance reports that this investment portfolio, together with the authorized short-

term Commercial Paper Program, will provide the necessary liquidity to meet the expenditure

requirements of SANDAG, RTC, ARJIS, and SourcePoint for the next six months. This portfolio is in

compliance with state law and Board Policy No. 003: Investment Policy.

The Local Economy and Sales Tax Revenues

The U.S. economy approaches 2014 with a poor showing during the third quarter in calendar year

2013, with the gross domestic product (GDP) rising 1.4 percent compared with the same quarter last

year. The long-run rate of growth for GDP is about 3.2 percent annually. Again, the consensus

short-term outlook over the next few quarters is for GDP growth above 2.0 percent, and above

2.5 percent for all four quarters in 2014. These consensus outlooks are below forecasts provided

during the past three years, which had GDP growth at or above 3.0 percent. The consensus forecast

has become progressively less optimistic.

To achieve a GDP growth rate of 2.5 percent or higher requires more jobs in total and more jobs of

a higher quality than has been produced over this past year. Nationwide, payroll job growth for

2013 is expected to average about 175,000 jobs per month, slightly below last year’s 183,000 jobs

per month. The continued decline in the unemployment rate over the past few years has been a

pleasant surprise, both nationwide and locally, given that job growth has continued to be weak.

The nation’s unemployment rate has declined to 7.2 percent in September 2013 from 7.9 percent

one year ago, reflecting the job gains as well as a shrinking labor force. Since the start of the

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Quarterly Yield on Cost

11

Great Recession (December 2007), the labor force participation rate has declined nearly four

percentage points, reducing the labor force by nearly six million people; meaning that job growth

and leaving the labor force contributed equally to the decline in the unemployment rate. In

addition, the median length of time people remain unemployed continued at seven months. Also,

more than 30 percent of the people without jobs have been unemployed for one year or longer,

leading to growing concerns about their ability to reenter the labor force.

Additional concerns about the recovery include weakness in wage rate growth and the average

number of hours worked; these trends, combined with the types of jobs (part-time, temporary with

low pay) that have been created since the end of the recession, have contributed to keeping real

per capita disposable income stagnant for the past three years. This, in turn, has led to weak growth

in consumer spending, which makes up more than 70 percent of the economy and is a primary

driver of sales tax revenue. Additional economic headwinds are expected from the temporary fix to

the federal government shutdown and raising the debt ceiling to allow for more borrowing. Lastly,

although the European recession appears over helping to stabilize international trade, it is not clear

how robust the turnaround will be.

Locally, the San Diego economy has followed much the same path as the national economy during

and after the Great Recession, although direct comparisons are not possible for the current year

because the local job numbers are not adjusted to reflect seasonal variations. However, there have

been some important differences. The local labor market shed 107,300 payroll jobs between

December 2007 and July 2009. At the trough, the local economy had lost 7.8 percent of its total jobs

since the start of the recession, whereas the national economy shed 6.1 percent over the same time

period. Locally, the aggregate number of local jobs was at about the same level as recorded in

January 2001. The most recent local employment data that has been adjusted to remove reporting

errors is through the end of 2012. On a year-over-year comparison basis, as of December 2012, local

employment has increased by 25,400 payroll jobs, a rise of 2.1 percent, higher than the 1.6 percent

pace recorded nationwide.

Although the recession may be behind us technically, a majority of economists are forecasting a

modest recovery over the next few years, followed by a relatively slow expansion through 2017. In

the near-term, GDP is expected to expand in the 2 to 3 percent range, levels that are historically low

for a recovery from a deep recession. For example, following the deep 1981-1982 recession in which

GDP shrunk by 2.9 percent from peak to trough, the economy bounced right back – growing

4.5 percent in 1983 and 7.2 percent in 1984. The 2007-2009 Great Recession has been twice as deep

and the rebound about half as robust as the 1981-1982 downturn. If the nation’s GDP increases at

the expected 2 to 3 percent per year, it would likely be 2017 or beyond before the unemployment

rate falls to the prerecession level of about 5.5 percent.

Overall, this slow pace of economic growth has influenced sales tax revenue. Since emerging from

the Great Recession in July 2009, the rate of growth in sales tax revenue locally has been positive,

but slightly lower each year. During FY 2013, sales tax revenue increased 4.3 percent, representing a

slower pace than the expected 5.5 percent. Through the first four months of FY 2014, sales tax

revenue received from the State Board of Equalization was approximately 5.3 percent higher than

revenue received during the same period last year. The positive growth in sales tax receipts is

consistent with the SANDAG expectation that revenue increases will occur as the economy begins to

experience increased job growth, which has occurred nationwide and locally over the past two-plus

fiscal years. However, this trend of smaller growth rates indicates that the economy may not be out

12

of the woods yet, and likely faces challenges during the next couple of years. The SANDAG forecast

of sales tax revenue growth of 5.0 percent for FY 2014 reflects this expected longer recovery period.

GARY L. GALLEGOS

Executive Director

Attachment(s): 1. SANDAG Summary of Portfolio Balances (by Institution) as of September 30, 2013

2. SANDAG Detail of Portfolio Balances (by Account) as of September 30, 2013

3. SANDAG Detail of Portfolio Balances (by Investment Type) as of September 30, 2013

Key Staff Contacts: André Douzdjian, (619) 699-6931, [email protected]

Marney Cox, (619) 699-1960, [email protected]

Lisa Kondrat-Dauphin (619) 699-1942, [email protected]

mailto:[email protected]



SANDAG

Summary of Portfolio Balances (by Institution)

as of September 30, 2013

Wtd. Avg.Book Percent of Market Market Unrealized Yield on Days to

Institution Value Portfolio Value Price Gain/(Loss) Cost Maturity

BANK OF AMERICA 4,351,791$ 0.64% 4,351,791$ 100.00% -$ 0.15% 1

WELLS FARGO BANK 3,429,445 0.51% 3,429,445 100.00% - N/A 1

STATE OF CALIFORNIA LOCAL AGENCY INVESTMENT FUND (LAIF) 48,372,028 7.15% 48,372,027 100.00% - 0.25% 239 **

CALIFORNIA ASSET MANAGEMENT PROGRAM (CAMP) INDIVIDUAL PORTFOLIO 190,096,628 28.09% 188,936,607 99.39% (1,160,021) 0.40% 439

CALIFORNIA ASSET MANAGEMENT PROGRAM (CAMP) CASH RESERVE PORTFOLIO 125,542,568 18.54% 125,542,568 100.00% - 0.07% 48 **

US BANK 39,863,876 5.89% 39,862,482 100.00% (1,394) 0.11% 30

THE BANK OF NEW YORK (BNY) MELLON INDIVIDUAL PORTFOLIO 153,977,483 22.75% 152,735,812 99.19% (1,241,670) 0.90% 879

THE BANK OF NEW YORK (BNY) MELLON CASH RESERVE PORTFOLIO 732,490 0.11% 732,490 100.00% - 0.01% 1

SAN DIEGO COUNTY TREASURER'S POOLED MONEY FUND 106,708,798 15.77% 106,708,798 100.00% - 0.42% 407 **

BANK of AMERICA GLOBAL CAPITAL MANAGEMENT 277,302 0.04% 277,302 100.00% - 0.01% 42 **

DWS MONEY MARKET SERIES INSTITUTIONAL FUNDS 268,589 0.04% 268,589 100.00% - 0.05% 46 **

CALIFORNIA BANK AND TRUST 1,761,700 0.26% 1,761,700 100.00% - N/A 1

CALIFORNIA BANK OF COMMERCE 261,686 0.04% 261,686 100.00% - N/A 1

UNION BANK 1,075,623 0.16% 1,075,623 100.00% - N/A 1

TOTAL 676,720,007$ 100.00% 674,316,921$ 99.64% (2,403,086)$ 0.43% 415

** Although average days to maturity is greater than one day, funds are available at par the same day.

Summary of Portfolio Balances (by Agency)

Wtd. Avg.Book Percent of Market Market Unrealized Yield on Days to

Agency Value Portfolio Value Price Gain/(Loss) Cost Maturity

SANDAG FUNDS 40,887,290$ 6.04% 40,885,897$ 100.00% (1,392)$ 0.14% 96

ARJIS FUNDS (Automated Regional Justice Information System) 5,447,843 0.81% 5,447,843 100.00% - 0.23% 207

SOURCEPOINT FUNDS 601,948 0.09% 601,948 100.00% - 0.38% 341

CORONADO BRIDGE TOLL FUNDS 277,302 0.04% 277,302 100.00% - 0.01% 42

RTC FUNDS (San Diego County Regional Transportation Commission) 629,505,624 93.02% 627,103,930 99.62% (2,401,693) 0.43% 437

TOTAL 676,720,007$ 100.00% 674,316,921$ 99.64% (2,403,086)$ 0.43% 415

Attachment 1

13

Percent Wtd. Avg.Book of Market Market Unrealized Yield on Days to

Institution / Account Value Portfolio Value Price Gain/(Loss) Cost Maturity

BANK OF AMERICA:

Checking - TransNet Sales Tax (RTC) 1,036,462$ 0.15% 1,036,462$ 100.00% -$ N/A 1

Checking - SANDAG General 2,101,261 0.31% 2,101,261 100.00% - N/A 1

Checking - SANDAG Flexible Spending Acct (FSA) 63,213 0.01% 63,213 100.00% - N/A 1

Checking - SANDAG Interstate 15 (I-15) FasTrak® 549,049 0.08% 549,049 100.00% - N/A 1

Checking - SANDAG SAFE Program Acct 386,664 0.06% 386,664 100.00% - N/A 1

Checking - SourcePoint 7,164 0.00% 7,164 100.00% - N/A 1

Checking - ARJIS 117,221 0.02% 117,221 100.00% - N/A 1

Money Market - SourcePoint 90,756 0.01% 90,756 100.00% - 0.15% 1

TOTAL BANK OF AMERICA 4,351,791$ 0.64% 4,351,791$ 100.00% -$ 0.15% 1

WELLS FARGO BANK:

Checking - SR125 Payment Account 3,158,584$ 0.47% 3,158,584$ 100.00% -$ N/A 1

Checking - SR125 Collection Account 270,861 0.04% 270,861 100.00% - N/A 1

TOTAL WELLS FARGO BANK 3,429,445$ 0.51% 3,429,445$ 100.00% -$ N/A 1

STATE OF CA LOCAL AGENCY INVESTMENT FUND (LAIF):

TransNet (RTC) 45,214,498$ 6.68% 45,214,498$ 100.00% -$ 0.25% 239

SANDAG 3,157,530 0.47% 3,157,530 100.00% - 0.25% 239

TOTAL LAIF 48,372,028$ 7.15% 48,372,027$ 100.00% -$ 0.25% 239 **

CALIFORNIA ASSET MANAGEMENT PROGRAM (CAMP):

INDIVIDUAL PORTFOLIO:

TransNet Sales Tax (RTC) 113,014,222$ 16.70% 111,803,858$ 98.93% (1,210,364)$ 0.49% 648

TransNet 2008 Bond Proceeds A/B/C/D Reserve Fund (RTC) 17,145,449 2.53% 17,152,038 100.04% 6,589 0.44% 395

TransNet 2012 Bond Proceeds (RTC) 59,936,957 8.86% 59,980,710 100.07% 43,753 0.22% 63

TOTAL INDIVIDUAL PORTFOLIO 190,096,628$ 28.09% 188,936,607$ 99.39% (1,160,021)$ 0.40% 439

CASH RESERVE PORTFOLIO:

I-15 FasTrak® 618,908$ 0.09% 618,908$ 100.00% -$ 0.07% 48

ARJIS 2,906,531 0.43% 2,906,531 100.00% - 0.07% 48

California Coastal Commission 1,151,412 0.17% 1,151,412 100.00% - 0.07% 48

SANDAG SR -125 1,844,716 0.27% 1,844,716 100.00% - 0.07% 48

SANDAG

Detail of Portfolio Balances (by Account)as of Septemer 30, 2013

Attachment 2

14



SANDAG


SANDAG Toll Road Project Maint 16,318,767 2.41% 16,318,767 100.00% - 0.07% 48

2008 Bond Series A/B/C/D Reserve Fund (RTC) 54,446 0.01% 54,446 100.00% - 0.18% 48

2008 Bond Series A - Principal (RTC) 67 0.00% 67 100.00% - 0.07% 48

2008 Bond Series B - Principal (RTC) 67 0.00% 67 100.00% - 0.07% 48

2008 Bond Series C - Principal (RTC) 67 0.00% 67 100.00% - 0.07% 48

2008 Bond Series D - Principal (RTC) 67 0.00% 67 100.00% - 0.07% 48

2010 Bond Series B - Santee Project (RTC) 77,754 0.01% 77,754 100.00% - 0.07% 48

2010 Bond Series A - San Marcos Fund (RTC) 17,557,211 2.59% 17,557,211 100.00% - 0.07% 48

2010 Bond Series B - Principal (RTC) 295,015 0.04% 295,015 100.00% - 0.07% 48

2010 Bond Series B - Interest (RTC) 191,285 0.03% 191,285 100.00% - 0.07% 48

2010 Bond Series A - Interest (RTC) 10,018,467 1.48% 10,018,467 100.00% - 0.07% 48

2012 Bond Series A - Project (RTC) 47,266,568 6.98% 47,266,568 100.00% - 0.07% 48

2012 Bond Series A - Interest (RTC) 9,525,604 1.41% 9,525,604 100.00% - 0.07% 48

2012 Bond Series A - Principal (RTC) 7,245,365 1.07% 7,245,365 100.00% - 0.07% 48

2010 Bond Series A - Solana Beach Fund (RTC) 5,468,087 0.81% 5,468,087 100.00% - 0.07% 48

2008 Sales Tax Account - TransNet Extension (RTC) 4,682,763 0.69% 4,682,763 100.00% - 0.07% 48

Wetland Mitigation TransNet Sales Tax (RTC) 290,675 0.04% 290,675 100.00% - 0.07% 48

Sage Hill Endowment (RTC) 28,726 0.00% 28,726 100.00% - 0.07% 48

TOTAL CASH RESERVE PORTFOLIO 125,542,568$ 18.54% 125,542,568$ 100.00% -$ 0.07% 48 **

TOTAL CAMP 315,639,196$ 46.63% 314,479,175$ 99.63% (1,160,021)$ 0.27% 283

15



SANDAG


US BANK:

McCarthy Building Cos/SANDAG Escrow Retention Account 11,457$ 0.00% 11,457$ 100.00% -$ 0.01% 1

McCarthy Building Cos/SANDAG Escrow Retention Account 50,038 0.01% 49,871 99.67% (168) 0.50% 956

McCarthy Building Cos/SANDAG Escrow Retention Account 139,787 0.02% 140,483 100.50% 696 1.12% 1,305

McCarthy Building Cos/SANDAG Escrow Retention Account 58,896 0.01% 56,974 96.74% (1,923) 0.50% 1,445

SANDAG - Toll Road Project Revenue 161,000 0.02% 161,000 100.00% - 0.05% 1

SANDAG - Toll Road Project Capital Expenditure Reserve 354,381 0.05% 354,381 100.00% - 0.05% 1

SANDAG - Toll Road Project Expense Fund - TIFIA Note Expense Acct 10,005 0.00% 10,005 100.00% - 0.05% 1

SANDAG - Toll Road Project Senior Obligation Debt Service - Interest 892,124 0.13% 892,124 100.00% - 0.05% 1

SANDAG - Toll Road Project Senior Obligation Debt Service - Principal 67,523 0.01% 67,523 100.00% - 0.05% 1

SANDAG - Toll Road Project Major Maintenance Reserve 1,504,391 0.22% 1,504,391 100.00% - 0.05% 1

SANDAG - Toll Road Proj First Subord Obl TransNet Payment 161 0.00% 161 100.00% - 0.05% 1

SANDAG - Toll Road Project SANDAG Distribution 1 0.00% 1 100.00% - 0.00% 1

2008 Bond Series A/B/C/D Main Interest (RTC) 1,266,891 0.19% 1,266,891 100.00% - 0.04% 1

Commercial Paper Series B - NCTD Interest (RTC) 1,436,191 0.21% 1,436,191 100.00% - 0.04% 1

NCTD Certificates of Participation 30,575,000 4.52% 30,575,000 100.00% - 0.13% 29

2010 Bonds Series A Interest 3,201,240 0.47% 3,201,240 100.00% - 0.04% 1

2010 Bonds Series A - Project Fund - San Marcos 470 0.00% 470 100.00% - 0.04% 1

2010 Bonds Series A - Project Fund - Solana Beach 119 0.00% 119 100.00% - 0.04% 1

2012 Bonds Series A - Project Fund 2 0.00% 2 100.00% - 0.00% 1

Sales Tax Revenue CP Notes Series B Interest (RTC) 2,971 0.00% 2,971 100.00% - 0.00% 1

Sales Tax Revenue CP Notes Series B Principal (RTC) 131,227 0.02% 131,227 100.00% - 0.00% 1

TOTAL US BANK 39,863,876$ 5.89% 39,862,482$ 100.00% (1,394)$ 0.11% 30

16



SANDAG


THE BANK OF NEW YORK MELLON:

INDIVIDUAL PORTFOLIO:

TransNet Extension (RTC) 153,977,483$ 22.75% 152,735,812$ 99.19% (1,241,670)$ 0.90% 879

TOTAL INDIVIDUAL PORTFOLIO 153,977,483$ 22.75% 152,735,812$ 99.19% (1,241,670)$ 0.90% 879

CASH RESERVE:

TransNet Extension (RTC) 732,490$ 0.11% 732,490$ 100.00% -$ 0.01% 1

TOTAL CASH RESERVE 732,490$ 0.11% 732,490$ 100.00% -$ 0.01% 1

TOTAL THE BANK OF NEW YORK MELLON 154,709,973$ 22.86% 153,468,303$ 99.20% (1,241,670)$ 0.89% 875

SAN DIEGO COUNTY TREASURER'S POOLED MONEY FUND:

SourcePoint Cash Reserve Fund 504,029$ 0.07% 504,029$ 100.00% -$ 0.42% 407

TransNet Extension (RTC) 48,941,970 7.23% 48,941,970 100.00% - 0.42% 407

ARJIS 2,424,091 0.36% 2,424,091 100.00% - 0.42% 407

TransNet 2012 Bond Proceeds (RTC) 50,189,746 7.42% 50,189,746 100.00% - 0.42% 407

SANDAG SAFE Program 4,648,962 0.69% 4,648,962 100.00% - 0.42% 407

TOTAL SAN DIEGO COUNTY TREASURER'S POOLED MONEY FUND 106,708,798$ 15.77% 106,708,798$ 100.00% -$ 0.42% 407 **

BofA FUNDS (BANK OF AMERICA CORPORATION):

TREASURY RESERVES CAPITAL SHARES FUND:

Coronado Bridge Toll Funds 277,302$ 0.04% 277,302$ 100.00% -$ 0.01% 42

TOTAL BOFA FUNDS (BANK OF AMERICA CORPORATION) 277,302$ 0.04% 277,302$ 100.00% -$ 0.01% 42 **

DWS MONEY MARKET SERIES INSTITUTIONAL FUNDS:

California Boating & Waterways 268,589$ 0.04% 268,589$ 100.00% -$ 0.05% 46 **

TOTAL DWS MONEY MARKET SERIES INSTITUTIONAL FUNDS 268,589$ 0.04% 268,589$ 100.00% -$ 0.05% 46

17



SANDAG


CALIFORNIA BANK AND TRUST

Capital Project Retention Accounts 1,761,700$ 0.26% 1,761,700$ 100.00% -$ N/A 1

TOTAL CALIFORNIA BANK AND TRUST 1,761,700$ 0.26% 1,761,700$ 100.00% -$ N/A 1

CALIFORNIA BANK OF COMMERCE

Capital Project Retention Account 261,686$ 0.04% 261,686$ 100.00% -$ N/A 1

TOTAL CALIFORNIA BANK OF COMMERCE 261,686$ 0.04% 261,686$ 100.00% -$ N/A 1

UNION BANK

Capital Project Retention Accounts 1,075,623$ 0.16% 1,075,623$ 100.00% -$ N/A 1

TOTAL UNION BANK 1,075,623$ 0.16% 1,075,623$ 100.00% -$ N/A 1

TOTAL 676,720,007$ 100.00% 674,316,921$ 99.64% (2,403,086)$ 0.43% 415

Legend:

Automated Regional Justice Information System (ARJIS)

Commercial Paper (CP)

State of California Local Agency Investment Fund (LAIF)

North County Transit District (NCTD)

San Diego County Regional Transportation Commission (RTC)

** Although average days to maturity is greater than one day, funds are available at par the same day.

18

Wtd. Avg.

Purchase Maturity Unrealized Yield Days to

Investment Date Date Book Value Market Value Gain / (Loss) Par Value on Cost Maturity

Cash and cash equivalents:

Demand deposits:

Checking - TransNet Sales Tax (RTC) N/A N/A 1,036,462$ 1,036,462$ -$ N/A N/A 1

Checking - SANDAG General N/A N/A 2,101,261 2,101,261 - N/A N/A 1

Checking - SANDAG Flexible Spending Acct (FSA) N/A N/A 63,213 63,213 - N/A N/A 1

Checking - SANDAG Interstate 15 (I-15) FasTrak® N/A N/A 549,049 549,049 - N/A N/A 1

Checking - SANDAG SAFE Program Acct N/A N/A 386,664 386,664 - N/A N/A 1

Checking - SR125 Payment Account N/A N/A 3,158,584 3,158,584 - N/A N/A 1

Checking - SR125 Collection Account N/A N/A 270,861 270,861 - N/A N/A 1

Checking - SourcePoint N/A N/A 7,164 7,164 - N/A N/A 1

Checking - ARJIS N/A N/A 117,221 117,221 - N/A N/A 1

Capital Project Retention Accounts N/A N/A 3,099,009 3,099,009 - N/A N/A 1

Total demand deposits 10,789,489$ 10,789,489$ -$ N/A N/A 1

Money market accounts and funds:

Money Market - MCCarthy Building Co/SANDAG Escrow Fund N/A N/A 11,457$ 11,457$ -$ N/A 0.01% 1

Money Market - SANDAG Toll Road Project Revenue Fund N/A N/A 161,000 161,000 - N/A 0.05% 1

Money Market - SANDAG Toll Road Project Cap Exp Reserve N/A N/A 354,381 354,381 - N/A 0.05% 1

Money Market - SANDAG Toll Road Project TIFIA Note Expense N/A N/A 10,005 10,005 - N/A 0.05% 1

Money Market - SANDAG Toll Road Project Sr. Oblig. D/S - Interes N/A N/A 892,124 892,124 - N/A 0.05% 1

Money Market - SANDAG Toll Road Project Sr. Oblig. D/S - Princ. N/A N/A 67,523 67,523 - N/A 0.05% 1

Money Market - SANDAG Toll Road Project Major Maint. Reserve N/A N/A 1,504,391 1,504,391 - N/A 0.05% 1

Money Market - SANDAG Toll Road Project 1st Sub Obl TNet Pym N/A N/A 161 161 - N/A 0.05% 1

Money Market - SANDAG Toll Road Project SANDAG Distribution N/A N/A 1 1 - N/A 0.00% 1

San Diego County Treasurer's Pooled Money Fund (SourcePoint) N/A N/A 504,029 504,029 - N/A 0.42% 407

San Diego County Treasurer's Pooled Money Fund (RTC) N/A N/A 48,941,970 48,941,970 - N/A 0.42% 407

San Diego County Treasurer's Pooled Money Fund (ARJIS) N/A N/A 2,424,091 2,424,091 - N/A 0.42% 407

San Diego County Treasurer's Pooled Money Fund (RTC) N/A N/A 50,189,746 50,189,746 - N/A 0.42% 407

San Diego County Treasurer's Pooled Money Fund (SAFE) N/A N/A 4,648,962 4,648,962 - N/A 0.42% 407

Money Market - RTC (2008 Bond - Main Interest) N/A N/A 1,266,891 1,266,891 - N/A 0.04% 1

Money Market - RTC (CP Series B - NCTD) N/A N/A 1,436,191 1,436,191 - N/A 0.04% 1

Money Market - RTC (2010 Bond Series A - Interest) N/A N/A 3,201,240 3,201,240 - N/A 0.04% 1

Money Market - RTC (2010 A Bond - San Marcos Project) N/A N/A 470 470 - N/A 0.04% 1

SANDAG

Detail of Portfolio Balances (by Investment Type)


Attachment 3

19

Wtd. Avg.



SANDAG



Money Market - RTC (2010 A Bond - Solana Beach Project) N/A N/A 119 119 - N/A 0.04% 1

Money Market - RTC (2012 A Bond - Project) N/A N/A 2 2 - N/A 0.00% 1

Money Market - RTC (CP Interest Payment) N/A N/A 2,971 2,971 - N/A 0.00% 1

Money Market - RTC (CP Principal Payment) N/A N/A 131,227 131,227 - N/A 0.00% 1

Money Market - SourcePoint N/A N/A 90,756 90,756 - N/A 0.15% 1

BofA Treasury Res Cap Shares - Coronado Bridge Toll Funds N/A N/A 277,302 277,302 - N/A 0.01% 42

DWS Money Mrkt Srs Institution - CA Boating & Waterways N/A N/A 268,589 268,589 - N/A 0.05% 46

CAMP Cash Reserve Portfolio (ARJIS) N/A N/A 2,906,531 2,906,531 - N/A 0.07% 48

CAMP Cash Reserve Portfolio - CA Coastal Commission N/A N/A 1,151,412 1,151,412 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (SANDAG SR-125) N/A N/A 1,844,716 1,844,716 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (SANDAG SR-125) - Project Maint N/A N/A 16,318,767 16,318,767 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (I-15 FasTrak®) N/A N/A 618,908 618,908 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2008 Bond Reserve N/A N/A 54,446 54,446 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2008 Bond Ser A Principal N/A N/A 67 67 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2008 Bond Ser B Principal N/A N/A 67 67 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2008 Bond Ser C Principal N/A N/A 67 67 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2008 Bond Ser D Principal N/A N/A 67 67 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2010 Bond Ser B Santee N/A N/A 77,754 77,754 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2010 Bond Ser A San Marco N/A N/A 17,557,211 17,557,211 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2010 Bond Ser B Principal N/A N/A 295,015 295,015 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2010 Bond Ser B Interest N/A N/A 191,285 191,285 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2010 Bond Ser A Interest N/A N/A 10,018,467 10,018,467 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2012 Bond Project N/A N/A 47,266,568 47,266,568 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2012 Bond Interest N/A N/A 9,525,604 9,525,604 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2012 Bond Principal N/A N/A 7,245,365 7,245,365 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - 2010 Bond Ser A Solana Bch N/A N/A 5,468,087 5,468,087 - N/A 0.07% 48

CAMP Cash Reserve Portfolio (RTC) - Sales Tax N/A N/A 4,682,763 4,682,763 - N/A 0.07% 48

CAMP Cash Reserve Portfolio - Wetland Mitigation (RTC) N/A N/A 290,675 290,675 - N/A 0.07% 48

20

Wtd. Avg.



SANDAG



CAMP Cash Reserve Portfolio - Sage Hill Endowment (RTC) N/A N/A 28,726 28,726 - N/A 0.07% 48

BNY Mellon Cash Reserve TransNet Extension (RTC) N/A N/A 732,490 732,490 - N/A 0.01% 1

Total money market accounts and funds 242,660,658$ 242,660,658$ -$ N/A 0.22% 204

Total cash and cash equivalents 253,450,147$ 253,450,147$ -$ N/A N/A 195

Investments:

State of CA Local Agency Investment Fund:

LAIF - TransNet (RTC) N/A N/A 45,214,498$ 45,214,498$ -$ N/A 0.25% 239

LAIF - SANDAG N/A N/A 3,157,530 3,157,530 - N/A 0.25% 239

Total State of CA Local Agency Investment Fund 48,372,028$ 48,372,028$ -$ N/A 0.25% 239

U.S. Agencies:

Fannie Mae Global Notes 06/13/2012 10/30/2014 17,145,449$ 17,152,038$ 6,589$ 17,070,000$ 0.44% 395

FHLMC 09/30/2013 05/13/2016 50,038 49,871 (167.50) 50,000.00 0.50% 956

FNMA 09/30/2013 04/27/2017 139,787 140,483 695.80 140,000.00 1.12% 1,305

US Treasury Notes 02/23/2012 10/31/2014 4,787,275 4,659,305 (127,970.74) 4,550,000.00 0.42% 396






US Treasury Notes 03/14/2012 02/28/2015 733,008 716,230 (16,777.73) 695,000.00 0.51% 516







US Treasury Notes 05/28/2013 06/30/2016 1,113,446 1,100,274 (13,172.34) 1,025,000.00 0.44% 1,004

US Treasury Notes 05/15/2013 06/30/2016 3,483,125 3,435,002 (48,123.39) 3,200,000.00 0.40% 1,004

US Treasury Notes 08/30/2013 08/31/2016 3,836,012 3,855,534 19,522.08 3,815,000.00 0.81% 1,066

Freddie Mac Global Notes 09/30/2011 09/22/2014 60,120 60,340 220.44 60,000.00 0.68% 357

Freddie Mac Global Notes 08/31/2011 09/22/2014 10,052,400 10,056,740 4,340.00 10,000,000.00 0.58% 357

21

Wtd. Avg.



SANDAG



Freddie Mac (Callable) Global Notes 04/30/2013 04/29/2015 2,465,000 2,464,867 (133.11) 2,465,000.00 0.32% 576

FHLMC Global Reference Notes 04/05/2013 07/17/2015 1,823,640 1,791,496 (32,144.16) 1,670,000.00 0.33% 655

FHLMC Global Reference Notes 04/03/2013 07/17/2015 2,445,699 2,402,964 (42,734.72) 2,240,000.00 0.34% 655

FNMA Notes (Callable) 08/07/2012 08/07/2015 6,969,303 6,971,282 1,979.48 6,970,000.00 0.50% 676

Freddie Mac Global Notes 07/31/2012 08/28/2015 2,402,784 2,403,540 756.00 2,400,000.00 0.46% 697

Federal Home Loan Bank Global Notes 08/09/2013 08/28/2015 2,884,885 2,884,587 (297.15) 2,885,000.00 0.38% 697

Fannie Mae Global Notes 11/16/2012 12/21/2015 1,795,806 1,795,239 (567.00) 1,800,000.00 0.45% 812

Fannie Mae Global Notes 08/29/2013 03/30/2016 3,729,750 3,740,828 11,077.50 3,750,000.00 0.71% 912

Fannie Mae Global Notes 09/20/2013 10/15/2015 876,169 874,881 (1,287.90) 810,000.00 0.41% 745

US Treasury 08/26/2011 10/31/2015 1,788,965 1,782,676 (6,288.84) 1,750,000.00 0.85% 761

US Treasury 08/12/2011 07/31/2016 3,078,750 3,076,173 (2,577.00) 3,000,000.00 0.96% 1,035

PRIVATE EXPT FDG CORP (PEFCO) 09/10/2013 10/15/2014 2,604,255 2,599,054 (5,201.03) 2,526,000.00 0.22% 380

PRIVATE EXPT FDG CORP (PEFCO) 09/18/2013 05/15/2015 2,624,886 2,622,311 (2,575.29) 2,455,000.00 0.36% 592

PRIVATE EXPT FDG CORP (PEFCO) 08/21/2013 02/15/2017 3,023,010 3,023,322 312.00 3,000,000.00 1.15% 1,234

FHLB 03/16/2012 02/28/2014 2,021,220 2,005,688 (15,532.00) 2,000,000.00 0.45% 151

FNMA 10/21/2010 04/21/2014 3,007,500 3,016,419 8,919.00 3,000,000.00 1.25% 203

FHLMC 04/01/2011 04/29/2014 2,989,920 3,021,504 31,584.00 3,000,000.00 1.46% 211

FHLMC 09/16/2011 08/20/2014 3,037,470 3,021,864 (15,606.00) 3,000,000.00 0.57% 324

FHLMC 10/17/2011 08/20/2014 3,020,010 3,021,864 1,854.00 3,000,000.00 0.76% 324

FNMA 07/29/2011 09/08/2014 2,030,524 2,022,366 (8,158.00) 2,000,000.00 1.00% 343

FNMA 08/04/2011 09/08/2014 2,041,940 2,022,366 (19,574.00) 2,000,000.00 0.81% 343

FHLB 08/11/2011 06/12/2015 2,156,240 2,085,054 (71,186.00) 2,000,000.00 0.80% 620

FHLMC 08/19/2013 08/19/2015 9,505,510 9,506,156 646.00 9,500,000.00 0.44% 684

FNMA 03/19/2012 10/26/2015 1,282,750 1,280,570 (2,180.00) 1,250,000.00 0.88% 756

FNMA 03/11/2013 03/11/2016 3,016,770 3,008,196 (8,574.00) 3,000,000.00 0.38% 893

FHLMC 03/14/2012 03/14/2016 2,000,000 2,006,468 6,468.00 2,000,000.00 1.00% 896

FNMA 06/29/2012 05/23/2016 3,008,550 3,006,225 (2,325.00) 3,000,000.00 0.72% 966

FHLMC 08/14/2012 09/28/2016 3,021,750 3,002,520 (19,230.00) 3,000,000.00 0.60% 1,094

FNMA 05/14/2013 11/14/2016 7,750,000 7,682,769 (67,231.25) 7,750,000.00 0.55% 1,141

FNMA 08/28/2013 11/28/2016 4,402,750 4,404,484 1,733.60 4,400,000.00 0.88% 1,155

FNMA 08/09/2013 12/05/2016 50,065 49,816 (249.45) 50,000.00 0.77% 1,162

FHLMC 01/27/2012 12/19/2016 1,521,150 1,513,269 (7,881.00) 1,500,000.00 1.00% 1,176

FHLMC 01/23/2012 01/23/2017 2,062,000 2,013,030 (48,970.00) 2,000,000.00 0.69% 1,211

22

Wtd. Avg.



SANDAG



FHLMC 02/28/2012 02/28/2017 4,000,000 4,010,196 10,196.00 4,000,000.00 0.75% 1,247

FHLMC 08/06/2012 05/12/2017 511,200 503,452 (7,748.00) 500,000.00 0.77% 1,320

FHLMC 07/31/2012 06/29/2017 3,025,650 2,993,643 (32,007.00) 3,000,000.00 0.82% 1,368

FNMA 11/30/2012 09/20/2017 3,508,400 3,474,713 (33,687.50) 3,500,000.00 1.00% 1,451

FNMA 12/05/2012 09/20/2017 1,002,750 992,775 (9,975.00) 1,000,000.00 1.00% 1,451

FNMA 02/26/2013 09/20/2017 4,004,000 3,971,100 (32,900.00) 4,000,000.00 1.00% 1,451

FHLMC 01/30/2013 01/12/2018 4,931,800 4,874,225 (57,575.00) 5,000,000.00 1.03% 1,565

Farmer Mac 01/25/2013 01/24/2018 2,499,375 2,448,740 (50,635.00) 2,500,000.00 0.94% 1,577

FHLMC 02/26/2013 02/07/2018 2,470,712 2,447,132 (23,580.27) 2,455,000.00 0.67% 1,591

FNMA 02/22/2013 02/08/2018 1,989,480 1,956,112 (33,368.00) 2,000,000.00 0.98% 1,592

FHLB 03/18/2013 03/09/2018 254,980 249,448 (5,532.25) 250,000.00 0.96% 1,621

FNMA 05/29/2013 03/13/2018 3,033,720 2,992,410 (41,310.00) 3,000,000.00 0.87% 1,625

FNMA 07/22/2013 03/13/2018 400,760 398,988 (1,772.00) 400,000.00 1.38% 1,625

FNMA 08/09/2013 03/13/2018 600,300 598,482 (1,818.00) 600,000.00 1.47% 1,625

FNMA 06/14/2013 04/03/2018 2,968,800 2,955,804 (12,996.00) 3,000,000.00 1.35% 1,646

Total U.S. Agencies 213,717,702$ 211,955,816$ (1,761,886)$ 209,166,000$ 0.62% 790

Corporate Medium Term Notes:

Gen Electric Cap Corp 09/30/2013 09/15/2017 58,896$ 56,974$ (1,923)$ 50,000$ 0.50% 1,445

General Electric Capital Corp Global Notes 03/19/2013 09/15/2014 344,858 338,654 (6,204) 325,000 0.62% 350

Walt Disney Co Global Notes 11/30/2012 12/01/2015 382,132 382,983 851 385,000 0.70% 792

Caterpillar Financial SE Notes 02/28/2013 02/26/2016 649,194 647,018 (2,176) 650,000 0.74% 879

PepsiCo Inc Global Notes 02/28/2013 02/26/2016 709,752 707,916 (1,835) 710,000 0.71% 879

JPMorgan Chase & Co Global Notes 02/26/2013 02/26/2016 1,997,580 1,997,692 112 2,000,000 1.17% 879

Apple Inc Global Notes 05/03/2013 05/03/2016 998,190 993,004 (5,186) 1,000,000 0.51% 946

IBM Corp Global Notes (Ex-Callable) 05/07/2013 05/06/2016 2,742,245 2,727,192 (15,054) 2,750,000 0.55% 949

Toyota Motor Credit Corp 05/17/2013 05/17/2016 1,099,549 1,099,035 (514) 1,100,000 0.81% 960

General Electric Capital Corp (Floating) 07/12/2013 07/12/2016 2,240,000 2,247,999 7,999 2,240,000 0.93% 1,016

Wells Fargo and Company 07/29/2013 07/20/2016 769,261 770,338 1,077 770,000 1.28% 1,024

Bershire Hathaway Fin Global Notes 08/15/2013 08/15/2016 1,419,247 1,421,847 2,600 1,420,000 0.97% 1,050

Pfizer Inc Global Notes 06/03/2013 01/15/2017 2,695,680 2,686,613 (9,067) 2,700,000 0.95% 1,203

Berkshire Hathaway Fin Corp 10/04/2010 10/15/2013 1,101,590 1,001,475 (100,115) 1,000,000 1.20% 15

Berkshire Hathaway Fin Corp 01/04/2012 10/15/2013 154,712 145,214 (9,498) 145,000 0.83% 15

23

Wtd. Avg.



SANDAG



New York Life Global 09/08/2010 12/13/2013 1,623,296 1,604,635 (18,661) 1,600,000 1.39% 74

Wal-Mart 12/17/2010 02/03/2014 3,109,437 3,026,547 (82,890) 3,000,000 1.80% 126

Met Life Inc. 03/16/2012 04/04/2014 2,513,315 2,510,710 (2,605) 2,500,000 0.92% 186

Google Inc. 05/23/2011 05/19/2014 2,999,130 3,017,469 18,339 3,000,000 1.26% 231

GE Capital 10/16/2012 01/09/2015 1,029,240 1,020,796 (8,444) 1,000,000 0.82% 466

Berkshire Hathaway Fin Corp 01/26/2012 01/15/2015 4,474,400 4,222,240 (252,160) 4,000,000 0.80% 472

IBM Corp 02/07/2012 02/06/2015 3,002,220 3,003,978 1,758 3,000,000 0.53% 494

New York Life Global 03/21/2012 05/04/2015 1,324,665 1,303,067 (21,599) 1,255,000 1.18% 581

GE Capital 12/23/2011 06/29/2015 1,053,750 1,045,979 (7,771) 1,000,000 1.91% 637

Wal-Mart 01/19/2012 07/08/2015 1,049,330 1,030,321 (19,009) 1,000,000 0.81% 646

US Bancorp 10/29/2010 07/27/2015 3,082,440 3,096,210 13,770 3,000,000 1.84% 665

GE Capital 12/23/2011 09/21/2015 1,472,581 1,450,246 (22,335) 1,360,000 2.07% 721

Procter & Gamble 09/20/2011 11/15/2015 2,055,280 2,051,650 (3,630) 2,000,000 1.12% 776

Google Inc. 10/16/2012 05/19/2016 1,053,370 1,036,614 (16,756) 1,000,000 0.62% 962

Procter & Gamble 12/23/2011 08/15/2016 1,145,143 1,150,679 5,537 1,132,000 1.19% 1,049

Procter & Gamble 12/23/2011 08/15/2016 734,429 737,980 3,551 726,000 1.19% 1,049

Mississippi Power Co 12/18/2012 10/15/2016 2,104,080 2,060,094 (43,986) 2,000,000 0.96% 1,111

PepsiCo Inc 02/19/2013 08/13/2017 3,004,200 2,956,965 (47,235) 3,000,000 1.22% 1,413

Philip Morris Int'l 12/18/2012 08/21/2017 999,720 982,005 (17,715) 1,000,000 1.13% 1,421

Wal-Mart 05/31/2013 02/15/2018 720,498 704,068 (16,430) 600,000 1.38% 1,599

Wal-Mart 04/16/2013 04/11/2018 500,215 488,933 (11,282) 500,000 1.12% 1,654

Apple Inc. 08/05/2013 05/03/2018 1,925,040 1,926,926 1,886 2,000,000 1.83% 1,676

Total Corporate Medium Notes 58,338,663$ 57,652,065$ (686,598)$ 56,918,000$ 1.12% 768

24

Wtd. Avg.



SANDAG



Commercial Paper:

BNP Paribas Finance Inc Comm Paper 09/18/2013 03/17/2014 2,795,660$ 2,795,635$ (25)$ 2,800,000$ 0.31% 168

Bank of Tokyo Mits UFJ Ltd Comm Paper 09/18/2013 03/17/2014 2,796,360 2,796,839 479 2,800,000 0.26% 168

HSBC USA Inc Comm Paper 03/25/2013 10/07/2013 9,985,300 9,999,860 14,560 10,000,000 0.27% 7

Toyota Motor Credit Corp Comm Paper 02/22/2013 10/21/2013 9,983,264 9,999,590 16,326 10,000,000 0.25% 21

BNP Paribas Finance Inc Comm Paper 08/23/2013 12/23/2013 9,991,867 9,995,470 3,603 10,000,000 0.24% 84

Bank of Tokyo Mitsubishi Comm Paper 07/31/2013 12/27/2013 9,990,067 9,995,120 5,053 10,000,000 0.24% 88

UBS Finance Delaware LLC Comm Paper 07/31/2013 12/27/2013 9,991,515 9,996,080 4,565 10,000,000 0.21% 88

US Bank NA Comm Paper 08/23/2013 12/31/2013 9,994,944 9,994,590 (354) 10,000,000 0.14% 92

Societe Generale NA Comm Paper 08/23/2013 10/31/2013 4,497,930 4,499,703 1,773 4,500,000 0.24% 31

Societe Generale NA Comm Paper 08/27/2013 11/01/2013 999,560 999,927 367 1,000,000 0.24% 32

Total Commercial Paper 71,026,467$ 71,072,813$ 46,346$ 71,100,000$ 0.23% 69

Municipal Bonds/Notes:

University of Cal Txbl Revenue Bonds 10/02/2013 05/15/2015 620,000$ 618,921$ (1,079)$ 620,000$ 0.53% 592

CA ST Dept of Water Rev Bonds 09/27/2012 12/01/2015 620,000 620,130 130 620,000 0.65% 884

Total Municipal Bonds/Notes 1,240,000$ 1,239,051$ (949)$ 1,240,000$ 0.59% 738

Certificates of Participation:

North County Transit District Certificates of Participation 07/30/2013 10/29/2013 30,575,000$ 30,575,000$ -$ 30,575,000$ 0.13% 29

Total Certificates of Participation 30,575,000$ 30,575,000$ -$ 30,575,000$ 0.13% 29

Total investments 423,269,860$ 420,866,774$ (2,403,086)$ N/A 0.54% 546

Total Portfolio: 676,720,007$ 674,316,921$ (2,403,086)$ N/A 0.43% 415

Legend:

Automated Regional Justice Information System (ARJIS)

Commercial Paper (CP)

State of California Local Agency Investment Fund (LAIF)

North County Transit District (NCTD)

San Diego County Regional Transportation Commission (RTC)

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agenda item no. 13-11- board of directors november 15, … · 2014. 3. 20. · debt service and...

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