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Home My WebLink About04-21-1993 CITY COUNCIL AGENDASARATOGA CITY COUNCIL 2;&a4o? EXECUTIVE SUMMARY NO. 3 Do/ AGENDA ITEM �oS MEETING DATE: April 21, 1993 CITY MGR. ORIGINATING DEPT. Engineering SUBJECT: Saratoga Avenue Sidewalk Project, Capital Project No. 961 - Authorization to solicit bids Recommended Motion(s) : Move to add item to %he agenda as an urgency matter. Move to authorize staff to solicit bids for the project. Report Summary: Engineering staff has completed the plans, specifications and bidding documents for the Saratoga Avenue Sidewalk Project, Capital Project No. 961. In order to advance the project to construction as quickly as possible, staff is requesting Council's authorization to solicit bids for the project now, rather than waiting until your next meeting on May 5. The reason for this is to ensure that at least $21,000 in project costs are incurred by June 30 to preserve that amount of TDA funds allocated to the project. Last week, staff held an evening workshop to review the proje(:;t plans with all property owners along Saratoga Ave. whose properties would be affected by the sidewalk construction. Of 32 property owners invited to the workshop, only 4 attended and only 2 of thos<: had any serious objections to the project. Staff is attempting to address the concerns raised by the two property owners by developing an alternative design for the sidewalk in front of their properties and soliciting bids for the alternative design. If the bids for the alternative design come within the available project budget, then the Council will have the option of approving the alternative. However, if the bids for the alternative design exceed the project budget, then the Council will have to either 1) appropriate additional funds to implement the alternative, 2) approve the original design over the objections of the two property owners, or 3) abandon the installation of the sidewalk in front of the two properties. At this point since it is not known what the alternative design will cost, staff is recommending Council's authorization to solicit bids for both the original and alternative designs. Once the bid prices are known, staff will return with a recommendation for award of a construction contract. At that time, the Council can consider testimony from affected property owners before a final decision on the sidewalk construction is made. Fiscal Impacts: Unknown at this time. The City has been allocated $85,000 in TDA funds to complete the project, $21,000 of which, must be incurred by June 30. Follow Up Actions: Staff will advertise the project for bids. Consequences of Not Acting on the Recommended Motions: Staff would not advertise the project for bids and the matter would be continued to the May 5 City Council meeting. ::+_ SARATOGA CITY COUNCIL EXECUTIVE SUMMARY NO. �D r GENDA ITEM MEETING DATES April 21,- 1993 CITY MGR. ORIGINATING DEPT. FINANCE.DEPARTMENT SUBJECT: MARCH FINANCIAL REPORTS Recommended Motion(s): Note and file the 9 -month Status Report: Cash and Investments, Treasurer's Report of Fund Balances and Comparative Financial Reports of the City of Saratoga. Report Summary: I have prepared for your review and consideration the attached reports. Included with the standard reports are Graphs and Summaries prepared to further illustrate the Financial Status and Budgetary Activity of the City. CASH AND INVESTMENTS The City's Cash and Investments balance at March 31, 1993 is $4,718,973. For the 5th consecutive month, Cash.invested at one- year or less has remained below the current Operating Reserve Requirement ($4,958,341). The distribution of Cash and Investments is: Demand Deposits (Banks) 26.9% 1,268,949 Investments (L.A..I.F.) 59.3% 2,797,551 Invested in Loans 12.4% 586,250. Restricted Cash (Quarry Cr) 1.4% 66,2.23 Current investment yield is estimated at 4.2% earning.$16,552 for the current month. TREASURER'S REPORT OF'FUND BALANCES The City began this Fiscal Year with a Fund Balance of $.6,227,403. -The General Fund accounted for $2,858,.4966 or 45.9% of the balance and Restricted Funds accounted for $3,368,907 or 54.1% of the balance. During the first nine months we have spent $1.8 more than we have earned, resulting in.a current Fund Balance of $4,628,628.. This balance is currently $180,000 less than the Fund Balance projected for yearend.. The General Fund accounts for $1,538,431 or 33..2% of this balance and Restricted Funds account for $3,090,,197 or 66.8% of the balance. Current projections. (as discussed in all budget planning sessions): $10,414,561 in Revenue, $12,572,407 in Expenditures and $4,808,136 in. Fund Balance appear to be valid. in the absence of any further policy decisions. 4 COMPARATIVE FINANCIAL STATEMENTS Revenues collected for the first nine months total $6,:042,818 or 58% of the year's current estimated revenue. Results compare favorably with last year with the exception of Investment Income. Our current. effective yield on cash and investments has dropped from 6.6% on $6.2 mil to 4.21 on $4.7 mil. Budget variance is due to two factors. This is not a Cash Flow Budget -- Revenues lag one month or more. The re estimate of Revenues used for current budget planning are not reflected in the Budgetted Revenue on this schedule. Expenditures for the first nine months total $7,835,324 or 62% of the year's budget:. Negative variances are primarily due to spending trends (annual costs paid in full versus regular monthly . expenditures) with the exception of Litigation Costs and Liability Claims, which are currently higher than anticipated and over our budget estimates. Capital Project spending is well below schedule due to both workload requirements and fiscal restraint. Expenditures by type (rather than program) breakdown as follows: Salaries and benefits 34 %, Outside Contracts and .Fixed Operating Costs 58 %, Grants to Other Agencies 2%,. Debt Service 4% and Fixed Assets 2 %.. Fiscal Impacts: None. Follow Up Actions: File. Consequences of Not Acting on. the Recommended Motions: No recommendations. Attachments: .+Cash and Investment Report - March 'Treasurers Report of Fund Balances Comparative Financial Statements - March 1993 - Revenue by.Source March 1993 — Expenditures by Type Cash Flow Model Fiscal 1986 through F: \WPFILES \42193FIN 31, 1993 - March 31, 1993 March 31, 1993 1996 \RBFORTS\393INV 13- Apr -93 CITY OF SARATOGA CASH AND INVESTNENT REPORT BALANCES AT ROM 31, 1993 * EARNED ACCOUNT TYPE INSTITUTION DATE FDR CDRRENT RATE NATURES TERN IN NONTH 3- 01761 -3 8F L.A.I.F. N/A $2,797,551 4.647% OPEN OPEN $10,834 ESTINATED 3- 01761 -3 TCD HERITAGE THRIFT 042090 12 $0 8.800$ 042093 1095 $0 EARLY RETIRENENT BY 1GENCY TOTAL CERTIFICATES OF DEPOSIT $0 8.8001(kVG YLD) $0 SUB -TOTAL U.I.F. R C.D.s $2,797,551 4.6474 $10,834 CAN, AMOUNTS. 3- 60009 -5 DD PACIFIC NEST$RN - QUARRY CRBBl4 $66,223 $132 3- 01761 -3 DD PACIFIC WESTEW BANK - SAVINGS $612,152 4.750$ $861 734- WI151DD SEAFIRST - PROCEEDS OF COPS $637,192 VAR $1,709 3- 01036 -8 CK PACIFIC WESTERN BANE - CWM $19,605 TOTAL CASH ACCOUNTS $1,335,172 2.4291 $2,702 OTHER INVESTNENTS - LONG -TEM LOANS RECEIVABLE RUM NOTES RECEIVABLE (NON- IN'PEBEST) HAKOHE 5 -YEAR NOTE RECEIVABLE PE&COCK SECURED NOTE RECEIVABLE TOTAL OTHER INVESTRIM GRAND TOTAL POOLED CASH AND IHVBSTNENTS IN BY: PATRICIA SEVER, FINANCE DIRECTOR $23,250 $363,000 6.5001 $1,%6 $200,000 6.8271 $1,050 $586,250 6.174% $3,016 $4,718,973 4.2091 $16,552 - --- APPROVED By. HARRY PEACOCK, CITY TREASURER The ratio of Deposits and active investments with a tern on one year or less to the Operating Reserve is: ($9,916,682/2) 83.354 Ws.ratio does not meet the requirements of our Cash Reserve Policy. Demand Deposits available for April expenses: $4,066,500 Please note: The cash balances appearing on this report will not reconcile to the Treasurer's Report of Fund Balances due to a combination of the Reserves for Loans Receivable and various accruals. This report bas been revised to include the invested proceeds of the Certificates of Participation and the Hakone Foundation Loan. Due to the level of Interest Rates currently, being offerred by Hamm and Savings and Loans, the City is investing its idle and matured funds with the State's Local Agency Investment Fund. * FDR - Financial Directory Rating 6/30/91: This is a rating calculated from prime financial statistics. 0 f. $66,223 RESTRICTED CASH $1,268,949 CASH (26.9%) CITY OF SARATOGA DISTRIBUTION OF CASH & INVESTMENTS 3/31/93 $586,,,250 i n A AIC` / 9 n A07� $2,797,551 INVESTMENTS (59.30 f \REPORTS \393FB CITY OF SARATOGA TREASURER'S REPORT OF FOND BALANCES MARCH 31, 1993 FOND 6/30/92 P.Y. ADJUST REVENUE EXPENDITURE 03/31/93 0001 GENERAL 2,858,496 242,209 4,356,948 5,919,222 1,538,431 0010 T.D.A.: 0 4,000 4,000 0 0012 H.C.D.A. 98,738 78,076 144,996 225,596 96,214 0013 TRAFFIC SAFETY (21,648) 107,019 13,525 981896 0 0014 GAS TAX 533,820 (1,045) 944,835 495,026 982,584 0017 LOCAL DRAINAGE 185,210 (154,389) 30,821 0018 HILLSIDE DEV 991,173 0 30,712 1,021,885 0021 LIBRARY DEBT (1) 3,099 73,485 73,485 3,098 0022 STATE PARR BONDS 0 0 0 0024 CERTS OF PART. 442,027 (104,984) 531 336,512 0028 ENVIRON PROGRAMS 207,641 54,087 209,738 142,592 328,875 0031 PARR DEVELOP 490,618 20,127 40,800 551,545 (0) 0032 CAPITAL IMPROVEMENT 0 0 0 0033 STATE URBAN PARRS 0 0 0 0060 HERITAGE 6,964 (34) 3,000 3,930 0061 QUARRY CREEK TRUST 65,121 1,167 66 66,222 0062 S.C.A.C.TV FOUND TRUS 58,185 4,000 54,185 0063 PARKING DISTRICT 12 181 7,549 15,800 (8,070) 0064 PARKING DISTRICT 13 122,517 79,935 159,210 43,242 0071 LANDSCAPE /LIGHT 134,708 (20,995) 93,013 73,796 132,931 0073 PKG DIST BONDS 11 & 4 176,351 (146,238) 43,282 75,625 (2,230) .TOTALS 6,227,403 199,630 6,043,985 7,842,390 4,628,628 12- Apr-93 Note: Trust Find Disbursements are included on this report but do not appear on the Comparative Financial Statements creating the appearance of a difference in the reporting of year -to -date expense. The Prior Year Adjustment column records interfund transfers, year -end accruals and other adjustments. ZIst' ent Special Assessment Tax Receipts are forwarded by the County Treasurer in January. '`"' SUBMITTED BY: PATRICIA SHRNER, FINANCE DIRECTOR J APPROVED B HARRY PEACOCK, CITY TREASURER RESTRICTED (54.1%) $3,368,907 RESTRICTED (66.81 $3,090,197 CITY OF SARATOGA GENERAL & RESTRICTED FUND BALANCES 6/30/92 CITY OF SARATOGA GENERAL & RESTRICTED FUND BALANCES „ 3/31/93 GENERAL (45.9 %) $2,858,496 ENERAL (33.2 %) $1,538,431 REPORTS \393COM CITY OF SARATDGA COMPARATIVE FINANCIAL STATEMENTS MARCH 31 TOTAL REVENUES EXPENDITURES PUBLIC SAFETY COMMUNITY ENVIRONMENT MAINTENANCE SERVICESS COMMUNITY SERVICES ASSESSMENT DISTRICTS COMMUNITY SUPPORT GENERAL GOVERNMENT INTRAGOV. SERVICES PROJECTS TOTAL EXPENDITURES CONTRIBUTION TO (FROM) FUND BALANCE 7,395,965 5,185,069 - 29.89% BUDGET 1,595,147 909,669 1,256,652 345,630 284,536 255,116 961,248 772,803 2,445,667 8,826,468 (1,430,503) ACTUAL 1,344,137 780,425 1,063,960 294,697 193,841 113,059 875,575 707,098 898,488 6,271,280 (1,086,211) 15.74% 14.21% 15.33% 14.74% 31.87% 55.68% 8.91% 8.50% 63.26% 28.95% 8,172,272 BUDGET 1,626,518 1,271,304 1,576,134 437,743 872,708 125,721 797,066 831,353 1,750,722 9,289,268 13 -Apr-93 MARCH 1992 MARCH 1993 ACTUAL VARIANCE MARCH 1991 ACTUAL VARIANCE REVENUES BUDGET ACTUAL VARIANCE BUDGET PROPERTY TAXES 669,077 637,903 -4.66% 816,883 SPECIAL ASSESSMENTS 289,483 149,007 - 48.53% 299,794 OTHER LOCAL TAXES 1,819,597 1,398,520 - 23.14% 1,693,559 INTERGOV. STATE 1,653,594 1,215,299 -26.51% 1,270,064 INTERGOV. FEDERAL 383,229 91,771 - 76.05% 276,039 FRANCHISE FEES 386,768 326,212 - 15.66% 500,850 USE OF.MONEY & PROPERTY 639,384 468,327 - 26.75% 577,103 CURRENT SERVICE CHARGES 1,554,833 898,030 - 42.24% 937,636 BOND PROCEEDS 1,800,343 TOTAL REVENUES EXPENDITURES PUBLIC SAFETY COMMUNITY ENVIRONMENT MAINTENANCE SERVICESS COMMUNITY SERVICES ASSESSMENT DISTRICTS COMMUNITY SUPPORT GENERAL GOVERNMENT INTRAGOV. SERVICES PROJECTS TOTAL EXPENDITURES CONTRIBUTION TO (FROM) FUND BALANCE 7,395,965 5,185,069 - 29.89% BUDGET 1,595,147 909,669 1,256,652 345,630 284,536 255,116 961,248 772,803 2,445,667 8,826,468 (1,430,503) ACTUAL 1,344,137 780,425 1,063,960 294,697 193,841 113,059 875,575 707,098 898,488 6,271,280 (1,086,211) 15.74% 14.21% 15.33% 14.74% 31.87% 55.68% 8.91% 8.50% 63.26% 28.95% 8,172,272 BUDGET 1,626,518 1,271,304 1,576,134 437,743 872,708 125,721 797,066 831,353 1,750,722 9,289,268 13 -Apr-93 MARCH 1992 MARCH 1993 ACTUAL VARIANCE BUDGET ACTUAL VARIANCE 614,599 - 24.76% 1,021,500 622,239 - 39.09% 180,195 - 39.89% 307,238 184,005 - 40.11% 1,472,265 - 13.07% 1,756,569 1,537,288 - 12.48% 1,143,452 -9.97% 1,866,416 1,607,204 - 13.89% 128,734 - 53.36% 784,850 215,357 - 72.56% 335,030 - 33.11% 530,901 335,963 - 36.72% 433,867 - 24.82% 498,171 283,678 -43.12% 1,243,832 32.66% 2,193,119 1,257,084 - 42.68% 1,707,970 -5.13% 7,259,944 - 11.16 %(3)8,959,364 ACTUAL VARIANCE BUDGET 1,459,608 10.26% 1,656,693 1,077,811 15.22% 1,329,044 1,637,617 -3.90% 1,585,394 366,085 16.37% 474,551 721,865 17.28% 525,494 122,669 2.43% 126,763 933,238 -17.08% 771,959 775,542 6.71% 778,436, 1,242,840 29.01% 21220,761 8,337,276 10.25% 9,469,093 6,042,818 - 32.55% ACTUAL VARIANCE 1,503,648 9.24% 940,093 29.27% 1,638,300 -3.34% 467,537 1.48% 398,447 24.18% 141,000 - 11.23% 841,062 -8.95% 829,730 -6.59% 1,075,508 51.57% 7,835,324 17.25% (1,116,996) (1,077,332) (509,729) (1,792,506) r: CITY OF SARATOGA MARCH 1993 REVENUES BY SOURCE USE OF MONEY & PROPERTY (4.7%) $283,678 SERVICE CHARGES (20:F $1,257,084 FRANCHISE FEES (5.6%) $335,963 STATE AND FEDERAL (30.2 %) $1,822,561 TAXES (38.8 %) $2,343,532 CITY OF SARATOGA MARCH 1993 EXPENDITURES BY TYPE $1,075,508 PROJECT EXPENDIT' $;670,79.2 (�AtLOCABLE EXPENDITURES (21 -:3 %) (GEN GOVT & INTRAGOW T ) $5,089,024 )PERATING PROGRAMS (64.9 %) SALARIES BENEFITS CONTRACTS ADV SUPPLIES FUEL POSTAGE,PHONE PRINT UTIL RENTALS INS EMPL REIMB MEET,DUES,PUBL MILEAGE . EXPALLOW OTHERS DEBT FA T O T A L TO D A T E - 3/3 1/ 9 3 EXPENDITURES BY TYPE 2,060,479 489,350 3,906,466 11,066 131,795: 19,317 37,358 43,5211, 161,588 14,410 225,`562 15,256 $2,549,829 SALARIES AND BENEFITS 37,533 4,149,523 OUTSIDE SERVICES 19,532 401,560 OPERATING COSTS 22,322 94,643 EMPLOYEE RELATED EXPENSES 175,735 175,735 GRANTS TO OTHERS 324,120 324,120 DEBT SERVICE 142,914 _. 142,914 FIXED ASSETS 7,835,324 7,835,324 TOTAL TO DATE (3/31/93) TOTAL TO DATE - 3/31 /93 EXPENDITURES BY TYPE q DE EMPLOYEE RELATE�T EX oEo` OPERATING .COSTS 0 OUTSIDE SERVICE ' a �LARIES AND BENEFITS (32.5 %) S GRAPHICS \AUDITED RESULTS CASH FLOW HODEL FY1985- FY1996 CITY OF SARATOGA 14- Apr -93 FY 85 -86 FY 86-87 FY 87 -88 FY 88 -89 FY 89-90 FY 90-91 FY 91-92 FY 92 -93 FY 93 -94 FY 94 -95 -FY 95 -96 AUDITED AUDITED AUDITED AUDITED AUDITED AUDITED AUDITED RE- ESTIMATE ESTIMATE ESTIMATE ESTIMATE OPENING FUNDS BALANCE 5,672,687 5,727,298 6,406,969 7,360,854 8,304,929 8,245,894 7,325,767 6,965,981 4,808,136 3,545,501 2,2981-880 REVENUES 6,611,902 7,452,937 7,693,688 10,234,111. 9,979,914 7,848,065 10,929,109 10,414,561 9,618,783 10,811,818 9,482,919 OPERATIONS EXPENSE 5,266,380 5,564,835 5,999,270 6,496,284 7,279,251 7,744,909 9,563,151 9,627,471 10,001,418 10,458,438 10,915,711 CAPITAL PROJECTS 1,290,911 1,277,312 740,533 2,793,752 2,759,698 1,023,283 1,725,744 2,944,936 880,000 1,600,000 525,000 TOTAL BUDGET 6,557,291 6,842,146 6,739,803 9,290,036 10,038,949 8,768,192 11,288,895 12,572,407 10,881,418 12,058,438 11,440,711 CLOSING FUNDS BALANCE 5,727,298 6,338,089 7,360,854 8,304,929 8,245,894 7,325,767 6,965,981 4,808,136 . 3,545,501 2,298,880 341,088 FUND BALANCE REQUIRED 2,999,635 3,248,142 3,639,626 31872,455 4,781,576 4,813,735 5,000,709 5,229,219 5,457,856 DIFFERENCE 4,361,219 5,056,787 4,606,269 3,453,313 2,184,406 (5,599) (1,455,208) (2,930,339) (5,116,768) ,1 w SARATOGA CITY COUNCIL EXECUTIVE. SUMMARY NO. 3 d� AGENDA ITEM MEETING DATE: April 21, 19'9 :3 CITY MGR.. ORIGINATING DEPT. FINANCE DEPARTMENT SUBJECT: RESPONSE TO QUESTIONS RE: HOUSING ASSISTANCE POLICY Recommended Motion(s): Note and file the Summary Report on the Housing Assistance Policy. Report Summary At your meeting of April 7, 1993, questions arose regarding the City's Housing Assistance Policy and its relationship, if any,_ to the Annual Budget Process. Councilman Monia had noted a Reserve. for Housing Assistance in the Comprehensive Annual Financial Report (CAFR) and phoned me on April 7 to gain some understanding of the Policy. He was unable to complete his. questions regarding the Policy when he apparently drove out of range of the Cellular Telephone Antenna. The Housing. Assistance reserve is ,a CASH MANAGEMENT issue; it.has NO Budgetary significance. There is no separate $1,000,000 in cash - -it is part of the Pooled Cash and Investments reported to you each month on the Cash and Investment report. There is no separate Fund Balance Reserve of $1,000,000 - -it is part of the $4,628,628 reported to you on the Treasurer's Report of Fund Balances for March, 1993. The Housing Assistance Policy is part of the City's Investment Policy renewed in'January of each Calendar Year. A copy of the current Investment Policy "is attached. Part IlI. B. 2. addresses the Housing Assistance Reserve. A description of the nature of the Policy and its history since establishment follows In 1990 the Finance Advisory Committee recommended the establishment of a _Housing._ Assistance Policy to assist in the recruitment of Department - Directors. The Policy establishes conditions for providing. an Interest only Housing Loan when necessary for the recruitment of the following management positions: City Engineer., Maintenance Director?, Finance Director, Planning Director, Recreation Director and Assistant to the City Manager. The Policy was used in recruiting the current City Engineer. This loan was repaid to.the City when market Interest Rates plummeted a few months ago. Under the Housing Assistance Policy the City can invest from idle funds an amount equal to 4 times the annual salary of the position- up to 75% of the Purchase price for housing in Saratoga or adjacent communities (Cupertino, Sunnyvale, San -Jose,,. Campbell or Los Gatos). Availability of Housing Assistance funds is subordinate to the City's Operating Reserve Policy. Interest on loans is set at the Average 12- month Yield on City investments for a 5 year period. r At the end of the 5 year term the.,Loan is'renegotiated on the same terms. In periods of falling interest this Policy results in good investment potential for the City by providing a constant rate of return on the loan. When interest rates are rising this policy is to the detriment of the City,and an advantage to the borrower. Application of the Housing Assistance Policy, is subject to the approval of the City Council upon the recruitment of. a Department Director. There is no candidate who can currently take advantage of this program. The $1,000,000 identified as available for the Housing Assistance Policy is an unsegregated part of the Fund Balances reported to you on the Treasurer's Report. of Fund Balances for March, 1993. Fiscal Impacts: None. Follow Up Actions: None. Consequences of Not Acting on the Recommended Notions: No recommended motion. F: \WPFILES \HAP42193 Amendeda1/20/93 CITY OF SARATOGA INVESTMENT POLICY The basic intent and purpose of this policy statement is to describe the primary objectives and means by which the City handles various investment instruments for City funds. I. INVESTMENT OBJECTIVES The investment of the funds of the City of Saratoga is directed to the goals of safety, liquidity and high yield. The primary objective of the City's investment policy is safety. Our investments are placed in a variety of investment instruments and the balance between the various instruments may change from time -to -time in order to give the City the best combination of high yield, liquidity, safety and local investment. As a matter of policy, one, of the secondary goals of this agency's investment program is related to ,local economic development by the placing of funds in local banks whenever possible (and in the best interests of the City of Saratoga). The City's investment program in local banks and savings and loans is accomplished to the extent that it does not sacrifice other goals of our investment policy, namely, safety, liquidity and high yield. These investments shall not exceed insurance requirements or collateralized securities within any institutions where the City places such investments. II. VARIED INVESTMENT PROGRAM Investments may be made in the following media: - Securities of the U. S. Government, or its agencies - Small Business Administration Loans - Certificates of Deposit (or Time Deposits) placed with commercial banks and /or savings and loan companies - Negotiable Certificates of Deposits - Local Agency Investment Fund (State Pool) Demand Deposits Passbook Savings Account Demand Deposits Qualified Government Securities Mutual Funds (2/6/91), (2/19/92) CITY OF SARATOGA INVESTMENT POLICY Amended 1/20/93 r Page Two III. SARATOGA INVESTMENT PROGRAM A. Deposit of Active Funds - Money must be deposited in state or national banks or state or federal savings and loan associations or credit unions. Deposits cannot exceed the amount of the institution's paid up capital and surplus. Institutions must secure deposits either with insurance equal to 100% of the deposit or with eligible securities having a market value of 110% of the total amount of deposit. It is the policy of the City to keep active deposits to the minimum necessary to meet the City's near term cash flow requirements., (1/20/88) B. Investment of Inactive Funds - Saratoga operates its pooled inactive cash investments under the Prudent Man Rule. This affords a broad spectrum of investment opportunities so long as the investment is deemed prudent and is permissible under currently effective legislation of the State of California and other, imposed legal restrictions. It is required that each financial institution in which inactive funds are invested submit current financial statements to be evaluated by the Treasurer and Finance Director. No funds shall be invested in any institution which has not shown a net profit in each of the three preceding years of operation. In addition, investments in Savings and Loans and Credit Unions shall 'be limited to institutions which have an asset -to- equity ratio. of at least 3 %. The City will verify an Institution's acceptability by validation through an industry- accepted independent rating service. (1/20/88), (2/19/92) Investment in qualified government securities mutual funds shall not exceed $1,000,000. No more than 20% of the City's invested funds shall be placed with the same financial institution. Investment in the Local Agency Investment Fund shall be limited to $10,000,000. (2/6/91) 1. Investment of Operating Reserve - It is the policy of Saratoga to retain a general operating reserve of at least six months based on the current operating budget adopted by the City Council. In order to implement this policy, the amount of active deposits and inactive investments with a maturity of one year or less shall always be equal to or greater than the required general operating reserve. The monthly investment report of the Treasurer shall demonstrate this policy is in effect. (1 /20/pp). s' _` CITY OF SARATOGA INVESTMENT POLICY Amended 1/20/93 L, Page Three 2. Investment of Reserve for Housing Assistance - It is the policy of Saratoga to retain a $1,000,000 .reserve to' implement its Housing Assistance Policy for Department Directors. Any portion of the reserve which is uncommitted to loans may be invested in active deposits or inactive investments with a maturity of one year or less. (1/17/90) 3. Investment of Funds in Excess of the Operating Reserve - Inactive Funds which exceed the minimum required reserve may be invested for a term not to exceed five years. (1/20/88.) C. Relationship with Investment Brokers - For the sake of efficiency the City may wish to purchase Certificates of Deposit and /or other investments through a third- party intermediary. The selection of Broker - Dealers will be made by the City Treasurer upon a review of an RFI (Request for Information) submitted by prospective broker - dealers. The City will establish a list of qualified broker - dealers based on successful responses to the RFI and verifications of references. (1/18/89) The request for information will be updated annually in January. (1/17/90) IV. STATEMENT OF RESPONSIBILITY The City Treasurer 'shall submit for City Council review and acceptance a monthly' report on the status. of all invested funds. The report shall be signed by the City Treasurer and shall certify that all investments made are in accordance with the current adopted Investment Policy. The Investment Policy may be changed only with approval of the City Council and shall be reviewed by the City Council not less frequently than once a year as required by Section 53646 of the Government Code. (1/15/86) Amended: January January January January January February February January 15, 1986, 21, 1987 20, 1988 18, 1989 17, 1990 6, 1991 19, 1992 20, 1993 September 13, 1986 CITY OF SARATOGA INVESTMENT POLICY Page Four Amended 1/20/93. I certify that the above policy was duly adopted and amended as shown above by the City Council on the dates shown. Harry R. Peacock, City Clerk Jm O: \FIN \invest.pol Date SARATOGA CITY COUNCIL EXECUTIVE SUMMARY NO. 2'3 c)2�— MEETING DATE: April 21, 1993 Ol/ORIGINATING DEPT. Planning AGENDA ITEM 5 � 3 CITY MGR. SUBJECT: Request of Waiver of Temporary Use Permit Fee Recommended Motion(s): Deny the request of waiver per City Council policy. Report Summary: The attached letter has been received from Meredith Fife Fischer representing Prince of Peace Lutheran Church. Ms. Fischer is requesting the $465 fee for a Temporary Use Permit be waived. The TUP is for an Art and Music Festival to be held October 2, 1993, on the church property. The TUP fee covers the administrative costs of processing the application, including staff /departmental reviews of the request. Because of current budget constraints, staff feels it is not appropriate to recommend a waiver of fees. On April 7, 1993, the City Council denied a fee waiver based on current budget constraints. Fiscal Impacts: Loss of revenue necessary to cover the cost of the administrative review ($465). Follow Up Actions: None Consequences of Not Acting on the Recommended Motions: The City would process the TUP with no cost recovery possible for administrative review of the request. p: \exec.sum (rev.2 -3 -93) Prince of (peace Lutheran Church Rev. Eugene W. Jewell Mailing Address Pastor 12770 Saratoga Ave. Telephone (408) 253 -7167 Saratoga, CA 95070 Telephone (408) 867 -0877 R�c�IV APR.j 3 ED Thursday, 08 Apr, 1993 P 1993 DFP T. Paul Curtis Planning Director 13777 Fruitvale Ave. Saratoga, CA 95070 Dear Mr. Curtis: I am requesting a waiver for the $465.00 fee for a temporary use permit. We plan on holding our third annual Art & Music Festival Saturday, October 2, 1993 on the grounds of Prince of Peace Lutheran Church (corner of Saratoga and Cox Avenues). The money that we raise at this event will go towards the first and last month's rent for a homeless family. For the past two years we have successfully reached our goal. Since this is strictly a not-for-profit venture we would very much appreciate a fee waiver. The total funds raised at last years event amounted to approximately $1.500.00. Our goal would be difficult to reach if a third of the funds raised went towards a use fee. We would like to be placed on the agenda for the April 21 st Planning meeting. Thank you for your consideration in this matter. Sincerely, Meredith Fife Fischer Chairperson 1993 Art & Music Festival