HomeMy WebLinkAbout06.d.1)e) Action Summary-Finance Committee October 6, 20144.de /) e)
1 Central Contra Costa Sanitary District
REGULAR MEETING OF THE
CENTRAL CONTRA COSTA
SANITARY DISTRICT
FINANCE COMMITTEE
ACTION SUMMARY
Member Pilecki (Alternate)
Member Nejedly
Monday, October 6, 2014
3:00 p.m.
Executive Conference Room
5019 Imhoff Place
Martinez, California
BOARD OF DIRECTORS:
DAVID R. WILLIAMS
President
MICHAEL R. MCGILL
President Pro Tent
PAUL H CAUSEY
JAMES A. NEJEDLY
TAD J PILECKI
PHONE: (925) 228 -9500
FAX.- (925) 372 -0192
www.centralsan.org
PRESENT: Member Jim Nejedly, Member Pilecki (Alternate), Director of Administration
David Heath, Finance Administrator Todd Smithey, Andrew Brown of HighMark Capital
Management (for Item 3.), Ryan Fox of HighMark Capital Management (for Item 3.),
Vikki Rodriguez of Maze & Associates (for Item 5.), Senior Administrative Technician
Christina Gee
1. Call Meeting to Order
Acting Chair Nejedly called the meeting to order at 3:00 p.m.
2. Public Comments
None.
3. Receive presentation from Andrew Brown of HighMark Capital Management on
performance review through August for the Governmental Accounting Standards
Board (GASB) 45 Trust
Andrew Brown, Vice President of HighMark Capital Management, discussed the
performance review report which was included in the agenda packet. His
associate, Ryan Fox, Vice President and Portfolio Manager at HighMark Capital
Management, was also present.
Finance Committee Action Summary
October 6, 2014
Page 2
Member Pilecki inquired about the allocation into international equities, given the
volatile state of international markets and the increasing strength of the U.S.
dollar.
Mr. Brown replied that investment in the international market is a calculated risk,
but they are aware of the situation. He also noted that he was monitoring a few
funds, including the T. Rowe Price Equity Income Fund, PIMCO Total Return
Fund Institutional Class, and Loomis Sayles Value Fund.
COMMITTEE ACTION: Received the presentation.
4. Expenditures
a. Review Expenditures
Member Pilecki requested that the front page of the expenditures be dated
November 6, 2014, instead of October 16, 2014, since the Board meeting
scheduled for that day was cancelled.
Member Pilecki inquired about a US Bank procurement card charge
(Check #201825 dated 9118114, totaling $1,525.00). Finance
Administrator Todd Smithey recalled that he had raised the same question
with Human Resources Analyst Judy Rivers, who confirmed to him that
the District pays to participate in job fairs.
COMMITTEE ACTION: Reviewed and recommended Board approval
with date revision.
5. Receive and accept Audited Financial Statements for Fiscal Year (FY) 2013 -14
Vikki Rodriguez of Maze & Associates reported that the audit was completed.
She congratulated the District on receiving an unmodified opinion, which is the
cleanest outcome one can receive. She noted that it was a comparative report
which impacted the statements, notes, and Management's Discussion. Bond
issuance was expensed, and future debt will also be expensed. She also
reported that Governmental Accounting Standards Board (GASB) 68, regarding
pensions, cannot be implemented early because Contra Costa County
Employees' Retirement Association (CCCERA) needs to implement GASB 67.
Member Pilecki inquired about what appeared to be a $2 million discrepancy
between the pre- audited "Period 13" versus the current figures in the Operations
& Maintenance (O &M) revenue. He also suggested that the pension disclosure
include the fact that this year, the District, in a move indicating fiscal prudence,
Finance Committee Action Summary
October 6, 2014
Page 3
contributed an additional $5 million to CCCERA to pay down the District's
unfunded liabilities.
COMMITTEE ACTION: Reviewed and recommended Board acceptance with
suggested addition to the disclosure. Requested information on the
apparent $2 million discrepancy.
6. Announcements
a. Future scheduled meetings:
Monday, October 27, 2014 at 3:00 p.m.
Wednesday, November 12, 2014 at 3:00 p.m. (Special)
Monday, November 24, 2014 at 3:00 p.m.
COMMITTEE ACTION: Received the announcements.
7. Suggestions for future agenda items
None.
8. Adjournment — at 3:50 p.m.