HomeMy WebLinkAboutBUDGET AND FINANCE AGENDA 02-27-12SPECIAL MEETING OF THE
CENTRAL CONTRA COSTA
SANITARY DISTRICT
BUDGET AND FINANCE COMMITTEE
Chair McGill
Member Nejedly
Monday, February 27, 2012
3:00 p.m.
Executive Conference Room
5019 Imhoff Place
Martinez, California
INFORMATION FOR THE PUBLIC
ADDRESSING THE COMMITTEE ON AN ITEM ON THE AGENDA
BOARD OF DIRECTORS:
JAMES A. NEJEDLY
President
DAVID R. ULLIAMS
President Pro Tem
BARBARA D. HOCKETT
MICHAEL R. MCGILL
MARIO M. MENESINI
PHONE: (925) 228 -9500
FAX: (925) 676 -7211
www.centralsan.org
Anyone wishing to address the Committee on an item listed on the agenda will be heard when the
Committee Chair calls for comments from the audience. The Chair may specify the number of minutes
each person will be permitted to speak based on the number of persons wishing to speak and the time
available. After the public has commented, the item is closed to further public comment and brought to the
Committee for discussion. There is no further comment permitted from the audience unless invited by the
Committee.
ADDRESSING THE COMMITTEE ON AN ITEM NOT ON THE AGENDA
In accordance with state law, the Committee is prohibited from discussing items not calendared on the
agenda. You may address the Committee on any items not listed on the agenda, and which are within their
jurisdiction, under PUBLIC COMMENTS. Matters brought up which are not on the agenda may be
referred to staff for action or calendared on a future agenda.
AGENDA REPORTS
Supporting materials on Committee agenda items are available for public review at the Reception Desk,
5019 Imhoff Place, Martinez. Reports or information relating to agenda items distributed within 72 hours
of the meeting to a majority of the Committee are also available for public inspection at the Reception
Desk. During the meeting, information and supporting materials are available in the Conference Room.
AMERICANS WITH DISABILITIES ACT
In accordance with the Americans With Disabilities Act and state law, it is the policy of the Central Contra
Costa Sanitary District to offer its public meetings in a manner that is readily accessible to everyone,
including those with disabilities. If you are disabled and require special accommodations to participate,
please contact the Secretary of the District at least 48 hours in advance of the meeting at (925) 229 -7303.
Budget and Finance Committee
February 27, 2012
Page 2
Call Meeting to Order
2. Public Comments
*3. Presentation by Andrew Brown (HighMark Capital) on 4t" Quarter GASB 45 Trust
and Mitch Barker (PARS) on change to U.S. Bank for Trustee services
Staff Recommendation: Receive the presentation.
4. Old Business
*a. Review staff's response to the Committee's question regarding an
expenditure for sleeves from Enaqua
Staff Recommendation: Review the response.
5. Risk Management
*a. Review Loss Control Report and discuss outstanding claims
Staff Recommendation: Review the report, discuss outstanding
claims and provide direction if needed.
6. Review Position Paper holding a public hearing to conduct a review of Board
Member compensation and benefits and (1) consider adopting an ordinance
amending Title 2, Administration, of District Code Section 2.04.030,
"Compensation of Board Members," if a change in stipend is desired; (2)
consider directing staff to amend other compensation and benefits; and (3)
consider adopting Resolution 2012 -018 establishing a formal annual public
review (Item 4.a. in Board Binder)
Staff Recommendation: Review and make a recommendation to the Board
if needed.
7. Review January 2012 Financial Statements and Investment Reports (Item 3.c. in
Board Binder)
Staff Recommendation: Review and recommend Board approval.
8. Expenditures
a. Review Expenditures (Item 3.b. in Board Binder)
Staff Recommendation: Review and recommend Board approval.
Budget and Finance Committee
February 27, 2012
Page 3
*b. Review Legal Expenditure Summary
Staff Recommendation: Review Legal Expenditure Summary.
9. Reports and Announcements
10. Suggestions for future agenda items
11. Adjournment
* Attachment
Central Contra Costa Sanitary District
Fourth Quarter 2011
Presented by
Andrew Brown, CFA
HIGHMARK®
CAPITAL MANAGEMENT
.W
CCCSD
Asset Allocation
Total Assets: $19,638,846
Period Ending 12 -31 -11
4Q11 Return: 6.47% Cash
1 Year Return: 0.13% $767.298
40%
Inception -to -Date Return: 13.82%
Inception Date: 4 -1 -2009
Fixed Income
$8,532,688
43.5%
HIGHMARK® December 31, 2011 PARS: Central Contra Costa Sanitary District
CAPITAL MANAGEMENT
Equity
$10,338,860
52.6%
INVESTMENT PERFORMANCE
As of December 31, 2011
Time - Weighted
Rate of Return
3 Months
YTD
1 Year
2 Years
Inception
33 Months
Cash Equivalents
.01
.03
.03
.08
.21
iMoneyNet Taxable
.00
.00
.00
.00
.02
Fixed Holdings
1.54
4.59
4.59
6.09
8.35
Barclays Aggregate Bond Index
1.12
7.86
7.86
7.21
7.38
Total Equity
10.74
-4.53
-4.53
5.42
19.14
Large Cap Fund
10.69
-3.46
-3.46
4.42
17.28
Standard & Poors 500
11.81
2.12
2.12
8.39
20.49
Small Cap Fund
16.73
.85
.85
13.87
27.38
Russell 2000 Index
15.48
-4.17
-4.17
10.25
24.27
International Equities
5.27
-16.52
-16.52
-2.03
17.00
MSCI EAFE Index (Net)
3.33
-12.13
-12.13
-2.70
14.45
Real Estate Holdings
15.38
7.92
7.92
18.64
DJ Select REIT Index
15.43
9.24
9.24
18.52
44.17
Total Managed Portfolio
6.47
.13
.13
6.03
13.82
Account Inception: 4/1/2009
Returns are gross -of -fees unless otherwise noted. Returns for periods over one year are annualized. The information presented has been
obtained from sources believed to be accurate and reliable.
Past performance is not indicative of future returns. Securities are not FDIC insured, have no bank guarantee, and may lose value.
HIGHMARK® December 31, 2011 PARS: Central Contra Costa Sanitary District
CAPITAL MANAGEMENT
2
ASSET ALLOCATION
As of December 31, 2011
Current Asset Allocation rlVe ttld�il} Vehloh
Equity
52.64%
LZEMX
Lazard Emerging Markets Instl Fund
89,064
Large Cap Core
4.89%
SMGIX
Columbia Contrarian Core Cl Z
960,008
Real Estate
4.88%
EXEYX
Manning and Napier Equity Fund
959,226
Large Cap Value
1.62%
HMIEX
HighMark Large Cap Value
317,474
Short -Term
4.30%
PRFDX
T. Rowe Price Equity Income Fund
844,318
Intermediate -Term
6.70%
LSGIX
Loomis Sayles Value Fund
1,315,444
Large Cap Growth
4.64%
HACAX
Harbor Capital Appreciation Instl
910,306
Cash
4.87%
PRGFX
T. Rowe Price Growth Stock Fund
956,379
Mid Cap Value
2.68%
T1MVX
TIAA -CREF Mid -Cap Value Instl
526,788
Mid Cap Growth
1.94%
PNMFX
HighMark Geneva Mid Cap Growth Fund
381,394
Small Cap Value
3.91%
NSVAX
Columbia Small Cap Value Fund II
767,778
Small Cap Growth
2.19%
PRNHX
T. Rowe Price New Horizons Fund
429,176
International Core
1.72%
HIOFX
HighMark International Opportunity Fund
337,467
International Value
1.72%
DODFX
Dodge & Cox International Stock Fund
338,622
International Growth
1.72%
MQGIX
MFS International Growth Fund
338,473
Emerging Markets
0.45%
LZEMX
Lazard Emerging Markets Instl Fund
89,064
2.95%
RSENX
RS Emerging Markets Y
580,088
Real Estate
1.46%
FARCX
Nu\,een Real Estate Secs 1
286,853
Fixed Income
43.45%
Short -Term
11.56%
VFSUX
Vanguard Short -Term Corp Adm Fund
2,270,111
Intermediate -Term
16.06%
HMBDX
HighMark Bond Fund
3,153,179
15.83%
PTTRX
PIMCO Total Return Instl Fund
3,109,398
Cash
3.91%
3.91%
HMDXX
HighMark Diversified MM Fund
767,298
TOTAL
100.00%
$19,638,846
HIGHMARKO December 31, 2011 PARS: Central Contra Costa Sanitary District
CAPITAL MANAGEMENT
PARS /CENTRAL CONTRA COSTA SANITARY PRHCP
For Periods Ending December 31, 2011
LARGE CAP EQI,ITYFt1AIQS
HighMark Geneva Mid Cap Growth (1)
1 -Month
3 -Month
Year -to-
1 -Year
3 -Year
5 -Year
10 -Year
Fund Name
Return
Return
Date
Return
Return
Return
Return
Columbia Contrarian Core CI Z (2)
0.76
11.70
-0.93
-0.93
16.48
2.81
3.66
T Rowe Price Equity Income (5)
1.91
12.05
-0.72
-0.72
12.82
-0.96
4.07
HighMark Large Cap Value Fid
-0.04
12.30
-8.85
-8.85
6.28
-4.48
2.44
Harbor Capital Appreciation Insti (3)
-2.03
7.11
0.61
0.61
16.79
2.37
2.63
Manning & Napier Equity Fd
-0.53
9.72
-6.05
-6.05
14.29
-0.28
4.55
Loomis Sayles Value Fund
1.55
12.48
-2.81
-2.81
9.34
-1.54
4.66
T Rowe Price Growth Stock
-0.94
10.01
-0.97
-0.97
18.37
1.12
3.65
S &P 500 Index
1.02
11.82
2.11
2.11
14.11
-0.25
2.92
HighMark Geneva Mid Cap Growth (1)
-2.40
12.79
2.89
2.89
21.73
5.93
7.20
Russell Nid Cap Growth Index
-0.12
12.31
-1.55
-1.55
20.17
1.41
6.99
TIAA -Cref Mid -Cap Value Insti (1)
0.54
12.32
-2.17
-2.17
17.66
0.57
--
Russell Nid Cap Value Index
1.25
13.37
-1.38
-1.38
18.19
0.04
7.67
- ..
CA OQUI7YFUNDS
HighMark Bond Fid
1.28
1.60
Columbia Small Cap Value II Z
1.45
18.23
-2.39
-2.39
15.35
0.96
--
T. Rowe Price New Horizons
-0.33
13.98
6.63
6.63
27.36
6.09
7.63
Russell 2000 Index
0.66
15.47
-4.18
-4.18
15.63
0.15
5.62
7.84
INTERNATIONAL
•
6.50
5.78
Dodge & Cox Intl Stock
-2.61
4.23
-15.97
-15.97
12.10
-3.45
7.99
HighMark Intl Opportunities Fid
-2.87
4.14
-15.58
-15.58
7.00
-4.35
6.33
Lazard Emerging Mkt Inst
-4.14
3.89
-17.75
-17.75
19.70
3.53
16.00
RS Emerging Markets Y (4)
-3.60
7.95
-20.82
- 20.82
22.02
2.95
14.81
MFS International Growth 1
-2.46
6.09
-10.62
-10.62
12.46
-0.12
7.63
MSCI EAFE Index
-0.95
3.33
-12.14
-12.14
7.65
-4.72
4.67
Source: SEI Investments, Morningstar Investments
(1) Fund was added to the Plan in February 2010
(2) Fund was added to the Plan in June 2011
(3) Fund was added to the Plan in July 2010
(4) Fund was added to the Plan i n August 2010
(5) Fund was added to the Plan in March 2011
(6) Fund was added to the Plan in December 2009
Returns less than one year are not annualized. Past performance is no indication of future results. The information presented has been obtained from sources
believed to be accurate and reliable. Securities are not FDIC insured, have no bank guarantee and may lose value.
JHIGHMARK® December 31, 2011 PARS: Central Contra Costa Sanitary District
CAPITAL MANAGEMENT
REIT
EQUITY •
Nuveen Real Estate Secs 1 (6)
4.46
14.83
7.96
7.96
22.54
0.35
12.34
DJ US Select REIT TR USD
4.70
15.36
9.37
9.37
21.63
-2.04
10.12
1B0NDFUND
HighMark Bond Fid
1.28
1.60
6.61
6.61
8.41
6.59
5.50
Pin-co Total Return Intl
1.74
2.22
4.16
4.16
8.87
8.09
6.80
Vanguard Short-Term I rnrestment -Grade Adm
0.42
0.49
2.02
2.02
7.05
4.39
4.11
BarCap US Aggregate Bond
1.10
1.12
7.84
7.84
6.77
6.50
5.78
Source: SEI Investments, Morningstar Investments
(1) Fund was added to the Plan in February 2010
(2) Fund was added to the Plan in June 2011
(3) Fund was added to the Plan in July 2010
(4) Fund was added to the Plan i n August 2010
(5) Fund was added to the Plan in March 2011
(6) Fund was added to the Plan in December 2009
Returns less than one year are not annualized. Past performance is no indication of future results. The information presented has been obtained from sources
believed to be accurate and reliable. Securities are not FDIC insured, have no bank guarantee and may lose value.
JHIGHMARK® December 31, 2011 PARS: Central Contra Costa Sanitary District
CAPITAL MANAGEMENT
4,at.
Central Contra Costa Sanitary District
February 24, 2012
TO: BOARD BUDGET AND FINANCE COMMITTEE
FROM: RANDALL MUSGRAVES, DIRECTOR OF ADMINISTRATION
DEBBIE RATCLIFF, CONTROLLER
SUBJECT: FEBRUARY 14, 2012 COMMITTEE MEETING
There was one outstanding question from the last Board Budget and Finance
Committee meeting which required additional staff research. The question and answer
is provided below:
1. 188697 Enaqua — What type of sleeves were purchased for $78,275?
Each bank of lamps in our Ultraviolet (UV) Disinfection Facility contains 512 UV
lamps, each of which is protected by a quart sleeve. Due to a process called
solarization, after approximately ten years, the quart sleeves do not allow the UV
radiation to pass as well reducing the effectiveness of the lamps to disinfect our
effluent. After conducting testing comparing ten year old sleeves to new ones, in
fiscal year 2010 -2011, staff began a program to change the quart sleeves in the
original eighteen lamp banks. (18 x 512 = 9216)
A quantity of both sleeves and lamps are kept in the warehouse in case the UV
Facility incurs damage due to a catastrophic event such as an earthquake.
s.
-It mismom, L.
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