City of De Pere

Discussion Item

Review and Possible Action on City of De Pere Investments and Cash Detail for June 30, 2019.


Department:Finance DepartmentSponsors:

Meeting History

Aug 13, 2019 7:30 PM Video Finance/Personnel Committee Regular Meeting
draft Draft

Finance Director Zegers provided an overview of the monthly investment summary detail; the balance decreased from 25 million (at the end of May) to 23 million; the second-half tax payment is expected from Brown County on August 20, and in July, 15% of City's shared revenue was received and 85% is expected in November. There has been a steady cash flow over the years, and due to City's fund balance policy, there is enough cash reserves to pay bills, including contractor bills over the summer months. The revolving loan fund is now under City control and is planned to be designated by the end of the month at a money market rate for a better return. He further pointed out the nice rates of return on investments, and that Schwab requested that he advise the Committee that rate of return can be influenced by timing of when bonds are purchased. Alderperson Crevier confirmed with Finance Director Zegers that the former revolving loan fund is still being called by the same title, which Finance Director Zegers acknowledged, and Administrator Delo added that because outstanding payments are still coming in, the title will be kept the same for now, so it can be easily tracked, until reallocated later. Finance Director Zegers added that five notes are still outstanding in the amount of $500,000 and there is $800,000 in cash. In response to Alderperson Nelson, Finance Director Zegers explained that the significant amount of money in the health checking account is reflective of a positive first six months this year and a positive trend over the last few years. The account is growing due to less being paid out in health insurance claims versus the premiums paid in; that balance will guide rates for next year and help to keep increases minimal. Administrator Delo added that the initial budget model for next year proposes a 0% increase in rates and may possibly include a decrease after further evaluation; the health account is targeted to have a balance of $800,000 minimally to 1.2 million on the high end.

Mayor Walsh moved to accept the report, which was seconded by Alderperson Nelson. Upon vote, Motion carried unanimously.

No further action was taken as this item was for discussion purposes.