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HomeMy WebLinkAbout5.1 Monthly Financial Report 8/27/2019 BoardDocs®Pro v „tllr, T-77 Agenda Item Details Meeting Mar 20, 2018 - SPECIAL MEETING OF THE MOUNT PROSPECT VILLAGE BOARD - 7:00 p.m. Category 5. CONSENT AGENDA Subject 5.1 Monthly Financial Report - February 2018 Access Public Type Action (Consent) Preferred Date Mar 20, 2018 Absolute Date Mar 20, 2018 Fiscal Impact No Budgeted No Recommended Action Accept the monthly financial report for February 2018. Public Content Information The monthly financial report contains a Cash Position Report and Fund Financials for the month ended February 28, 2018. Alternatives 1. Accept the monthly financial report for February 2018. 2. Action at discretion of Village Board. Staff Recommendation Staff recommends the Village Board accept the monthly financial report for February 28, 2018. Combined Financials for BD 2-18.pdf (752 KB) 02 February Board Reports for Upload .pdf (333 KB) Administrative Content Executive Content https://go.boarddocs.com/il/vomp/Board.nsf/Private?open&login# 1/2 8/27/2019 BoardDocs®Pro All items under Consent Agenda are considered routine by the Village Board and will be enacted by one motion. There will be no separate discussion of those items unless a Board member or member from the audience so requests, in which the item will be removed from the Consent Agenda and considered in its sequence on the agenda. Motion &Voting Accept the monthly financial report for February 2018. Motion by Paul Hoefert, second by Colleen Saccotelli. Final Resolution: Motion Carries Yea: William Grossi, Eleni Hatzis, Paul Hoefert, Richard Rogers, Colleen Saccotelli, Michael Zadel https://go.boarddocs.com/il/vomp/Board.nsf/Private?open&login# 2/2 Village of Mount Prospectmr ntP",vim Mount Prospect, Illinois INTEROFFICE MEMORANDUM TO: VILLAGE PRESIDENT AND BOARD OF TRUSTEES FINANCE COMMISSION FROM: FINANCE DIRECTOR DATE: MARCH 15, 2018 SUBJECT: MONTHLY FINANCIAL REPORT—FEBRUARY 2018 Attached hereto are the cash position and investment statements of the Village for the month ended February 28, 2018. These statements provide a snapshot of the Village's cash position as of the month end date noted and are intended to supplement the budget revenue and expenditure summary and listing of bills you receive. The first statement presents the Village's cash position broken down by governmental and enterprise funds and trust and agency funds. The second statement presents the Village's cash position by fund type. The third statement presents the list of investments again broken down by governmental and enterprise funds and trust and agency funds. It is important to note that although we have included the trust and agency funds in the cash position report, these are not funds accessible for Village operations. They are restricted for pension and escrow funding only. Please read the summary that follows for further detail on the cash position of the Village. Cash and Investment Position Report—All Funds (page 4) This report provides a detailed summary of cash and investments for the Village broken out by governmental and enterprise funds and trust and agency funds. Governmental funds include the General Fund, Special Revenue Funds, Debt Service Funds, Capital Project Funds and Internal Service Funds. The Enterprise Funds consist of the Water/Sewer Fund and two (2) Parking Funds. Trust funds include the Village's two public safety pensions(Police and Firefighters')while the agency funds include the Escrow Deposit and Flexcomp Escrow Funds. The Escrow Deposit Fund accounts for refundable deposits held by the Village to ensure completion of public improvements. The Flexcomp Escrow Fund accounts for employee payroll deductions pursuant to a Section 125 flexible compensation plan. Governmental and Enterprise Funds - Cash and cash equivalents at January 31 was $34.0 million. During February, cash receipts totaled $8,099,609 and investment income was $28,814. Reductions in cash and cash equivalents during February totaled $6,244,206. Of this amount, payments to vendors were $4,681,125 and employee payroll expenses were $1,563,081. There was also a net increase in cash due to investment activities of$749,745. Outflows resulting from interfund activity totaled $88,748 while other reductions to cash totaled $4,544. Cash and cash equivalents at February 28 were$36.5 million. Investments in the Governmental and Enterprise Funds at January 31 were$13,228,950. During the month of February, investment income was $14,545. There was also a net decrease in cash due to investment activities of$749,745.The Notes and CD's accounted for in the Governmental and Enterprise Funds reside in multiple Funds investing surplus funds above what is needed for cash flow purposes. Total investments at February 28 are $12.5 million. Total cash and investments for Governmental and Enterprise Funds at January 31 were$47,229,384.Cash and investments at February 28 totaled $49,034,854. This is an increase of$1,805,470 for the month. Monthly Financial Report—February 2018 March 15,2018 Page 2 Trust and Agency Funds - Cash and cash equivalents at January 31 was $3.5 million. During February, cash receipts totaled $844,243. Investment income for the month was $107,354. There was also a net decrease in cash due to investment activities of $311,653 while inflows due to Interfund activity totaled $88,748. Reductions in cash and cash equivalents during January totaled $1,000,650. Of this amount, payments to vendors were $176,690 and employee payroll and related expenses were $822,404. Other disbursements totaled $1,556. Cash and cash equivalents at February 28 were $3.2 million. Total investments at February 28 were $135,689,466, a decrease of $3,465,954 from January 31. There were investment losses of $3,777,607 and a net transfer from cash of $311,653 that accounted for the change. Total cash and investments for Trust and Agency Funds at January 31 were $142,614,932. Cash and investments at February 28 totaled $138,877,021. This is a decrease of$3,737,911. Summary of Cash Activity by Fund Type (page 5) This report provides a breakdown of the cash activity for the month broken down by fund type. This breakdown is useful in identifying where the activity (receipts and disbursements) is occurring. There are times during the year when activity in certain funds such as the capital improvement and special revenue funds is higher than normal. This will distort the financial picture of some of the other components of the governmental funds such as the General Fund which tends to be more level and predictable in terms of spending and receipt of revenue. Each month the report will provide detail explanation on activity of the General Fund, the Village's primary operating fund. Detail on the activity of the General Fund is highlighted below. General Fund — Cash and cash equivalents at January 31 totaled $10,538,709. During February, cash receipts totaled $4,718,047 and net income from investment activity was $433,486. Significant cash receipts included sales and income taxes. Sales tax revenues for the month totaled $1,503,921 generated from the 1% state portion. Sales taxes received in February are for November sales as there is a three-month lag in getting this distribution from the state. State income tax receipts for February totaled $595,820 and were for the month of January. Disbursements from the General Fund for February included payments to vendors of$2,031,833, payments for employee wages and benefits of$1,333,783 and other disbursements of$4,544. There was also a net decrease in cash from Interfund transfers totaling $1,079,233. Cash and cash equivalents at February 28 were $11,240,848, an increase of$702,139 from January 31. In addition, investments consisting of certificates of deposit totaling $3,748,911 bring total cash and investments for the General Fund to $14,989,759. Statement of Investments (Pape 6) This report provides a breakdown of investments by trust and agency funds and governmental and enterprise funds. The report also provides a fund-by-fund breakdown of the investments. Government and Enterprise Funds - Investments for the governmental and agency funds are made up of Certificates of Deposit. At February 28, there was a total of$12,493,750 invested in CD's and various governmental notes. These notes and CD's are investing surplus monies available from the governmental and enterprise funds. A detail list of holdings is included with this report. Trust and Agency Funds—The investments for the trust and agency funds are made up of certificates of deposits,fixed income investments and equity mutual funds. CD's(if any)held in the Escrow Deposit Fund will generally have maturities of between 30 and 120 days. Most of the reserves for this fund are invested in the more liquid money market account due to the nature of the deposit. At February 28, there was a total of$135.7 million invested in a combination of fixed income and equity instruments. A detail list of holdings is included with this report. Escrow refunds are processed two times per month. Investment of the Village's pension funds is governed by an Investment Policy adopted by each Pension Board. H:\ACCT\Treasurer's Report\2018\Monthly Cash Position Report-February 2018.docx Monthly Financial Report—February 2018 March 15,2018 Page 3 Investments for the Police and Firefighter Pension Funds consist of various fixed income securities as well as equity mutual fund accounts. Wells Fargo is the third-party holder of the fixed income securities. The funds are managed by three investment management firms, Galliard, Segall Bryant and Mesirow Financial. Segall Bryant holds approximately half of the fixed income investments for the two pension funds while Galliard and Mesirow manage the balance of fixed income investments for these two funds. Each manager maintains a small portion of their portfolio in cash to help facilitate liquidity and trading. Investments in equities consist of mutual funds spread across various sectors (small, mid and large-cap stocks)as well as investment philosophies (value, core and growth). The funds also invest a small amount in international stocks. Each year the investment mix is evaluated for optimal diversification to meet pension fund investment policy goals and objectives. Equity investments held by the Police Pension Fund are managed by Sawyer Falduto Asset Management. A breakdown of where pension funds are invested is included with this report. Conclusion This cash position report is intended to provide a snapshot of the Village's cash position as of a particular month end date. Using this report, we are able to provide trend information to support cash management and maximize investment earnings while ensuring availability of funds to meet the Village's commitments. This report is provided to the Village Board and Finance Commission on a monthly basis. Please do not hesitate to contact me with any questions. David O. Erb Finance Director H:\ACCT\Treasurer's Report\2018\Monthly Cash Position Report-February 2018.docx VILLAGE OF MOUNT PROSPECT Preliminary Cash and Investment Position Report-All Funds For the Month Ended February 28, 2018 GOVERNMENTAL AND ENTERPRISE FUNDS Cash and Cash Total Cash and Equivalents Investments Investments Balance at January 31, 2018 $ 34,000,434.01 $ 13,228,949.66 $ 47,229,383.67 Cash receipts 8,099,609.16 8,099,609.16 Investment income 28,814.33 14,545.38 43,359.71 Transfers from investments to cash 749,745.38 (749,745.38) - Transfers to investments from cash - - - Interfund activity (88,747.78) (88,747.78) Disbursements: Accounts payable (4,681,124.94) (4,681,124.94) Payroll (1,563,081.05) (1,563,081.05) Other (4,544.41) (4,544.41) Balance at February 28, 2018 $ 36,541,104.70 $ 12,493,749.66 $ 49,034,854.36 TRUST AND AGENCY FUNDS Cash and Cash Total Cash and Equivalents Investments Investments Balance at January 31, 2018 $ 3,459,511.22 $ 139,155,420.40 $ 142,614,931.62 Cash receipts 844,243.14 844,243.14 Investment income (loss) 107,354.47 (3,777,606.51) (3,670,252.04) Transfers from investments to cash 975,780.28 (975,780.28) - Transfers to investments from cash (1,287,432.75) 1,287,432.75 - Interfund activity 88,747.78 88,747.78 Disbursements: Accounts payable (176,690.05) (176,690.05) Payroll (771,806.58) (771,806.58) Flex spending (50,596.82) (50,596.82) Other (1,556.15) (1,556.15) Balance at February 28, 2018 $ 3,187,554.54 $ 135,689,466.36 $ 138,877,020.90 Assets are restricted in purpose and do not represent discretionary assets of the government. 4 M O O(D Cn 0 CO N M F V (D r U? 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(A P Q CO 00 V' ms M O cd W W L1 LL N w UMD r vV Ov MO N ti 001 Z O V' r,v u N M cl V O (f) Hi 10 L (n m W W w n n yCL c w W c ww ,c >_ E c o o c c Z o p �E Lax? mc8 c) EE p d1 E = N 0� CLM anN w U E C N N N N U H C C = N ¢a a� O o aci w m v m w ,°� 0 E rn g �Ocu 1i'R > J N Qac'im > mmQ?' vmiore > a) o ~O UcDU EFF 0000n w zU F F . 5 VILLAGE OF MOUNT PROSPECT STATEMENT OF INVESTMENTS As of February 28,2018 GOVERNMENTAL AND ENTERPRISE FUNDS Maturity Purchase Financial Investment CUS1P/ Date Date Institution Description FDIC# Net Yield Purch Price GENERAL FUND(001) 06/29/18 12/28/17 Freddie Mac Agency Notes 3134G9TH0 5.000% 1,251,401.35 12/31/18 12/28/17 U.S.Treasury Note Treasury Note 912828A75 1.500% 1,250,067.88 12/13/19 12/28/17 Federal Home Loan Bank Agency Notes 3130AOJR2 2.375% 1,247,441.57 3,748,910.80 PROSPECT AND MAIN TIF DISTRICT 03/31/18 12/28/17 U.S.Treasury Note Treasury Note 912828QB9 2.875% 2,482,129.06 2,482,129.06 WATER AND SEWER FUND(050) 05/31/18 12/28/17 U.S.Treasury Note Treasury Note 912828VE7 1.000% 2,497,287.58 2,497,287.58 VEHICLE REPLACEMENT FUND(061) 05/30/19 12/28/17 Freddie Mac Agency Notes 3137EADGI 1.750% 1,250,297.28 06/12/20 12/28/17 Federal Home Loan Bank Agency Notes 313383MB4 1.875% 1,248,799.87 12/11/20 12/28/17 Federal Home Loan Bank Agency Notes 3130A3UQ5 1.875% 1,246,287.38 3,745,384.53 RISK MANAGEMENT FUND (063) 03/06/19 03/06/17 Mount Prospect State Bank Certificate of Deposit 354058 0.250% 20,037.69 20,037.69 TOTAL GOVERNMENTAL AND ENTERPRISE FUNDS $ 12,493,749.66 TRUST AND AGENCY FUNDS Maturity Purchase Financial Investment CUSIP/ Interest Market Date Date Institution Description Acct# Rate% Value POLICE PENSION FUND(070) Various Various Wells Fargo Wells Fargo Investments Various Various $ 22,759,617.28 Various Various Various Mutual Fund Investments Various Various 47,218,461.05 69,978,078.33 FIRE PENSION FUND(071) Various 5/26/2015 Principal Life Insurance Company Group Annuity Contract 8-10810 Variable 3,207,364.15 Various Various Wells Fargo Wells Fargo Investments Various Various 21,943,187.93 Various Various Various Mutual Fund Investments Various Various 40,560,835.95 65,711,388.03 TOTAL TRUST AND AGENCY FUND INVESTMENTS $ 135,689,466.36 * Assets are restricted in purpose and do not represent discretionary assets of the government. 6 U a � w O w � � w � O A W w ,� w m Lf) M O1 1� nm n O l0 O O� co n m O M 01 m L!] O lD lD , } Ln Ln l0 . t i M O O Ln M M w II N t- +--v MF M M tD +--v I� n CO %L lD O M %E Lf1 O O Ln o 10 m Ln 10 00 CD Ln n O1 Lr) M N "" „ q,i,,,,,,,,, ro^^ ,,. a_ N to 4A ro x«m N omm } i ® ® V1I� N n Cl M n -i N -i O O O C O n W .-1 Cl N Ln O l0 O O1 O1 r 0 M N n LD N CO 7 M Il %D lD u N 11 O Ln l0 7 l0 7 N O O W .-1 M W O n N 01 M M C n N l0 lD n O lD 7 M M Qf � Ln M lDD .ln- O n 01 MLn Ln .--v 7 7 Q,d°J ER VT -! 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