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Home My WebLink About08-10-11 Board Packet (Part 3)AGENDA ITEM 11 STAFF REPORT August 10,2011 DIV.NO.All MEETING DATE: W.O.lG.F.NO:ce Manager ,Chief Financial Officer German Alvare7/j1~stant General Manager,Finance andAdministra~- TYPE MEETING: SUBMITIED BY: APPROVED BY: (Chien APPROVED BY: (Ass!.GM): SUBJECT:Annual Review of Investment Policy (Policy No.27)and Adoption of Resolution No.4184 Amending the Policy and Re- Delegating Authority for all Investment Related Activities to the Chief Financial Officer GENERAL MANAGER'S RECOMMENDATION: That the Board receives the District's Investment Policy (Policy #27)for review,and adopts Resolution No.4184 amending the policy and re-delegating authority for all investment related activities to the Chief Financial Officer (CFO),in accordance with Government Code Section 53607. COMMITTEE ACTION: See Attachment A. PURPOSE: Government Code Section 53646 recommends that the District's Investment Policy be rendered to the Board on an annual basis for review.In addition,Government Code Section 53607 requires that for the CFO's delegation of authority to remain effective, the governing board must re-delegate authority over investment activities on an annual basis. ANALYSIS: The proposed Investment Policy (Attachment C)revises the existing Policy (Exhibit 1),which was approved by the Board on September 6,2006.The only change to the existing policy is to add the Restricted New Water Supply Fund (para.2.2.6),as an additional Capital Project Fund of the District,in accordance with the District's Reserve Policy which was revised effective November 3,2010. The primary goals of the investment policy are to assure compliance with the California Government Code,Sections 53600 et seq,and to protect the principal of the funds.The code provides a broad range of investment options for local agencies, including Federal Treasuries,Federal Agencies,Callable Federal Agencies,the State Pool,the County Pool,high-grade corporate debt,and others.Over the past two years,the size of the District's portfolio has fluctuated between $115 million and $65 million due to large outlays for construction projects,and the influx of bond proceeds from the COPS/BABS-2010 funding. Because of the District's adherence to a conservative range of authorized investments,we have been able to maintain a healthy and diversified portfolio with no investment losses despite an extended period of turmoil and instability in the national financial markets.The policy is consistent with the current law and the overall objectives of the policy are being met. FISCAL IMPACT: None. STRATEGIC GOAL: Demonstrate financial health through formalized policies, prudent investing,and efficient operations. LEGAL IMPACT: Attachments: A)Committee Action Form B)Resolution No.4184 Exhibit 1:Strike-through Investment Policy No.27 C)Proposed Investment Policy No.27 D)Portfolio Management:Portfolio Summary E)Investment Policy Presentation ATTACHMENT A Annual Review of Investment Policy (Policy No.27)and Adoption of Resolution No.4184 Amending the Policy and Re- delegating Authority for all Investment Related Activities SUBJECT/PROJECT:to the Chief Financial Officer COMMITTEE ACTION: The Finance,Administration and Communications Committee discussed this item at a meeting held on July 19,2011 and the following comments were made: •Staff is presenting the District's Investment Policy for review and is proposing that the board adopt Resolution No. 4184 to amend the policy and re-delegate the authority for all investment related activities to the Chief Financial Officer. •State statute does not require the annual review of the District's Investment Policy,however,it is a best practice.Staff reviews the pOlicy each year to assure that there have not been any changes proposed by the Government Finance Officers (GFOA)Association or the Association of Public Treasurers that should be incorporated into the District's Investment Policy.Staff indicated that the policy continues to meet best industry practices and complies with State Government Code Sections 53600 to 53692. •State statute does require that the delegation of investment authority be renewed each year and a resolution is presented for adoption by the board for this purpose. •It was indicated that the policy,as a whole,was last revised in September 2006 and,at that time,the District received a Best Industry Practices Award from the Association of Public Treasurers. •Staff noted that there are a couple changes proposed to the Investment Policy: o The addition of the new Restricted Water Supply Reserve Fund as per the revisions adopted to the Y \Board\CurBdPkg\FINANC2\CommMtglnvestpol081011.doc District's Reserve Policy by the board in November 2010. o Board policy has always authorized the District to invest in LAIF up to the LAIF limit.The LAIF limit has increased from $40 million to $50 million since the last Investment Policy review.This change is noted on page six (6)of the policy. •The objectives of the Investment Policy are safety, liquidity and return on investment.The District has been able to achieve a return on investment that has been better than LAIF's return for over three and half (3~)years now. Otay's return on investment for FY 2011 and FY 2010 was 1.25%and 1.35%respectively versus LAIF's return of 0.50% and 0.65%respectively . •Staff noted that,as per the District's June 30,2011 Financial Report,the District's financial position is very strong and the District can meet all its obligations. Following the discussion,the committee supported staffs' recommendation and presentation to the board as an action item. Attachment B RESOLUTION NO.4184 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE OTAY WATER DISTRICT AMENDING INVESTMENT POLICY NO.27 OF THE DISTRICT'S CODE OF ORDINANCES WHEREAS,the Otay Water District Board of Directors have been presented with an amended Investment Policy No.27 of the District's Code of Ordinances for the financial management of the Otay Water District;and WHEREAS,the amended Investment Policy has been reviewed and considered by the Board,and it is in the interest of the District to adopt the amended Investment Policy;and WHEREAS,the strike-through copy of the proposed policy is attached as Exhibit 1 to this resolution;and NOW,THEREFORE,BE IT RESOLVED,DETERMINED AND ORDERED by the Board of Directors of the Otay Water District that the amended Investment Policy,incorporated herein as an attachment, is hereby adopted. PASSED,APPROVED AND ADOPTED by the Board of Directors of Otay Water District at a board meeting held this lOth day of August 2011,by the following vote: Ayes: Noes: Abstain: Absent: President ATTEST: District Secretary Page 1 of 1 Exhibit 1 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 1.0:POLICY It is the policy of the Otay Water District to invest public funds in a manner which will provide maximum security with the best interest return,while meeting the daily cash flow demands of the entity and conforming to all state statues governing the investment of public funds. 2.0:SCOPE This investment policy applies to all financial assets of the Otay Water District.The District pools all cash for investment purposes. These funds are accounted for in the District's audited Comprehensive Annual Financial Report (CAFR)and include: 2.1)General Fund 2.2)Capital Project Funds 2.2.1)Designated Expansion Fund 2.2.2)Restricted Expansion Fund 2.2.3)Designated Betterment Fund 2.2.4)Restricted Betterment Fund 2.2.5)Designated Replacement Fund 2.2.6)Restricted New Water Supply Fund 2.3)Other Post Employment Fund (OPEB) 2.4)Debt Reserve Fund Exceptions to the pooling of funds do exist for tax-exempt debt proceeds and deferred compensation funds.Funds received from the sale of general obligation bonds,certificates of participation or other tax-exempt financing vehicles are segregated from pooled investments and the investment of such funds are guided by the legal documents that govern the terms of such debt issuances. 3.0:PRUDENCE Investments should be made with judgment and care,under current prevailing circumstances,which persons of prudence,discretion and intelligence,exercise in the management of their own affairs,not for speculation,but for investment,considering the probable safety of their capital as well as the probable income to be derived. Page 1 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 The standard of prudence to be used by investment officials shall be the "Prudent PersonH and/or "Prudent Investor"standard (California Government Code 53600.3)and shall be applied in the context of managing an overall portfolio.Investment officers acting in accordance with written procedures and the investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments. 4.0:OBJECTIVE As specified in the California Government Code 53600.5,when investing,reinvesting,purchasing,acquiring,exchanging,selling and managing public funds,the primary objectives,in priority order,of the investment activities shall be: 4.1)Safety:Safety of principal is the foremost objective of the investment program.Investments of the Otay Water District shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. To attain this objective,the District will diversify its investments by investing funds among a variety of securities offering independent returns and financial institutions. 4.2)Liquidity:The Otay Water District's investment portfolio will remain sufficiently liquid to enable the District to meet all operating requirements which might be reasonably anticipated. 4.3)Return on Investment:The Otay Water District's investment portfolio shall be designed with the objective of attaining a benchmark rate of return throughout budgetary and economic cycles,commensurate with the District's investment risk constraints and the cash flow characteristics of the portfolio. 5.0 DELEGATION OF AUTHORITY Authority to manage the Otay Water District's investment program is derived from the California Government Code,Sections 53600 through Page 2 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Polley Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 53692.Management responsibility for the investment program is hereby delegated to the Chief Financial Officer (CFO),who shall be responsible for all transactions undertaken and shall establish a system of controls to regulate the activities of subordinate officials and their procedures in the absence of the CFO. The CFO shall establish written investment policy procedures for the operation of the investment program consistent with this policy.Such procedures shall include explicit delegation of authority to persons responsible for investment transactions.No person may engage in an investment transaction except as provided under the terms of this policy and the procedures established by the CFO. Page 3 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY SUbject Policy Date Date Number Adooted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 6.0:ETHICS AND CONFLICTS OF INTEREST Officers and employees involved in the investment process shall refrain from personal business activity that could conflict with the proper execution and management of the investment program,or that could impair their ability to make impartial investment decisions. Employees and investment officials shall disclose to the General Manager any material financial interests in financial institutions with which they conduct business.They shall further disclose any personal financial/investment positions that could be related to the performance of the investment portfolio.Employees and officers shall refrain from undertaking personal investment transactions with the same individual with whom business is conducted on behalf of the District. 7.0:AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS The Chief Financial Officer shall maintain a list of financial institutions authorized to provide investment services.In addition, a list will also be maintained of approved security broker/dealers who are authorized to provide investment services in the State of California.These may include "primary"dealers or regional dealers that qualify under Securities &Exchange Commission Rule 15C3-1 (Uniform Net Capital Rule).No public deposit shall be made except in a qualified public depository as established by state laws. All financial institutions and broker/dealers who desire to become qualified bidders for investment transactions must supply the District with the following,as appropriate: •Audited Financial Statements. •Proof of National Association of Security Dealers (NASD) certification. •Proof of state registration. •Completed broker/dealer questionnaire. •Certification of having read the District's Investment Policy. •Evidence of adequate insurance coverage. Page 4 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY SUbject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 As annual review of the financial condition and registrations of qualified bidders will be conducted by the CFO.A current audited financial statement is required to be on file for each financial institution and broker/dealer in which the District invests. Page 5 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised I DISTRICT INV8STM8NT POLICY 27 9/15/93 9/6/06 8/10/11 8.0:AUTHORIZED AND SUITABLE INVESTMENTS From the governing body perspective,special care must be taken to ensure that the list of instruments includes only those allowed by law and those that local investment managers are trained and competent to handle.The District is governed by the California Government Code, Sections 53600 through 53692,to invest in the following types of securities,as further limited herein: 8.01)United States Treasury Bills,Bonds,Notes or those instruments for which the full faith and credit of the United States are pledged for payment of principal and interest.There is no percentage limitation of the portfolio which can be invested in this category,although a five-year maturity limitation is applicable. 8.02)Local Agency Investment Fund (LAIF),which is a State of California managed investment pool,may be used up to the maximum permitted by State Law (currently ~$50 million).The District may also invest bond proceeds in LAIF with the same but independent maximum limitation. 8.03)Bonds,debentures,notes and other evidence of indebtedness issued by any of the following government agency issuers: •Federal Home Loan Bank (FHLB) •Federal Home Loan Mortgage Corporation (FHLMC or "Freddie Mac") •Federal National Mortgage Association (FNMA or "Fannie Mae") •Government National Mortgage Association (GNMA or "Ginnie Mae") •Student Loan Marketing Association (SLMA or "Sallie Mae") •Federal Farm Credit Bank (FFCB) There is no percentage limitation of the portfolio which can be invested in this category,although a five-year maturity limitation is applicable. Page 6 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number AdoDted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 8.04)Interest-bearing demand deposit accounts and Certificates of Deposit (CD)will be made only in Federal Deposit Insurance Corporation (FDIC)insured accounts.For deposits in excess of the insured maximum of $100,000,approved collateral shall be required in accordance with California Government Code, Section 53652.Investments in CD's are limited to 15 percent of the District's portfolio. 8.05)Commercial paper,which is short-term,unsecured promissory notes of corporate and public entities.Purchases of eligible commercial paper may not exceed 10 percent of the outstanding paper of an issuing corporation,and maximum investment maturity will be restricted to 270 days.Investment is further limited as described in California Government Code, Section 53601(g).Purchases of commercial paper may not exceed 15 percent of the District's portfolio. 8.06)Medium-term notes defined as all corporate debt securities with a maximum remaining maturity of five years or less,and that meet the further requirements of California Government Code,Section 53601(j).Investments in medium-term notes are limited to 15 percent of the District's portfolio. 8.07)Money market mutual funds that invest only in Treasury securities and repurchase agreements collateralized with Treasury securities,and that meet the further requirements of California Government Code,Section 53601(k).Investments in money market mutual funds are limited to 15 percent of the District's portfolio. 8.08)The San Diego County Treasurer's Pooled Money Fund, which is a County managed investment pool,may be used by the Otay Water District to invest excess funds.There is no percentage limitation of the portfolio which can be invested in this category. 8.09)Under the provisions of California Government Code 53601.6,the Otay Water District shall not invest any funds covered by this Investment Policy in inverse floaters,range notes,interest-only strips derived from mortgage pools,or any investment that may result in a zero interest accrual if held to Page 7 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adooted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 maturity.Also,the borrowing of funds for investment purposes, known a leveraging,is prohibited. 9.0:INVESTMENT POOLS/MUTUAL FUNDS A thorough investigation of the pool/fund is required prior to investing,and on a continual basis.There shall be a questionnaire developed which will answer the following general questions: • A description of eligible investment securities,and a written statement of investment policy and objectives. • A description of interest calculations and how it is distributed,and how gains and losses are treated. • A description of how the securities are safeguarded (including the settlement processes),and how often the securities are priced and the program audited. • A description of who may invest in the program,how often, and what size deposits and withdrawals are allowed. • A schedule for receiving statements and portfolio listings. •Are reserves,retained earnings,etc.,utilized by the pool/fund? • A fee schedule,and when and how is it assessed. •Is the pool/fund eligible for bond proceeds and/or will it accept such proceeds? 10.0 COLLATERALIZATION Collateralization will be required on certificates of deposit.In order to anticipate market changes and provide a level of security for all funds,the collateralization level will be 102%of market value of principal and accrued interest.Collateral will always be held by an independent third party with whom the entity has a current custodial agreement.A clearly marked evidence of ownership (safekeeping receipt)must be supplied to the entity and retained.The right of collateral substitution is granted. 11.0:SAFEKEEPING AND CUSTODY All security transactions entered into by the Otay Water District shall be conducted on a delivery-versus-payment (DVP)basis. Page 8 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adooted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 Securities will be held by a third party custodian designated by the District and evidenced by safekeeping receipts. 12.0:DIVERSIFICATION The Otay Water District will diversify its investments by security type and institution,with limitations on the total amounts invested in each security type as detailed in Paragraph 8.0,above,so as to reduce overall portfolio risks while attaining benchmark average rate of return.With the exception of u.S.Treasury securities,government agencies,and authorized pools,no more than 50%of the District's total investment portfolio will be invested with a single financial institution. Page 9 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 13.0:MAXIMUM MATURITIES To the extent possible,the Otay Water District will attempt to match its investments with anticipated cash flow requirements.Unless matched to a specific cash flow,the District will not directly invest in securities maturing more than five years from the date of purchase. However,for time deposits with banks or savings and loan associations,investment maturities will not exceed two years. Investments in commercial paper will be restricted to 270 days. 14.0:INTERNAL CONTROL The Chief Financial Officer shall establish an annual process of independent review by an external auditor.This review will provide internal control by assuring compliance with policies and procedures. 15.0:PERFORMANCE STANDARDS The investment portfolio shall be designed with the objective of obtaining a rate of return throughout budgetary and economic cycles, commensurate with the investment risk constraints and the cash flow needs. The Otay Water District's investment strategy is passive.Given this strategy,the basis used by the CFO to determine whether market yields are being achieved shall be the State of California Local Agency Investment Fund (LAIF)as a comparable benchmark. 16 .0:REPORTING The Chief Financial Officer shall provide the Board of Directors monthly investment reports which provide a clear picture of the status of the current investment portfolio.The management report should include comments on the fixed income markets and economic conditions, discussions regarding restrictions on percentage of investment by categories,possible changes in the portfolio structure going forward and thoughts on investment strategies.Schedules in the quarterly report should include the following: • A listing of individual securities held at the end of the reporting period by authorized investment category. Page10of19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adooted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 •Average life and final maturity of all investments listed. •Coupon,discount or earnings rate. •Par value,amortized book value,and market value. •Percentage of the portfolio represented by each investment category. 17.0:INVESTMENT POLICY ADOPTION The Otay Water District's investment policy shall be adopted by resolution of the District's Board of Directors.The policy shall be reviewed annually by the Board and any modifications made thereto must be approved by the Board. 18.0:GLOSSARY See Appendix A. Page 11 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 APPENDIX A:GLOSSARY ACTIVE INVESTING:Active investors will purchase investments and continuously monitor their activity,often looking at the price movements of their stocks many times a day,in order to exploit profitable conditions.Typically,active investors are seeking short term profits. AGENCIES:Federal agency securities and/or Government-sponsored enterprises. BANKERS'ACCEPTANCE (BA):A draft or bill or exchange accepted by a bank or trust company.The accepting institution guarantees payment of the bill,as well as the issuer. BENCHMARK:A comparative base for measuring the performance or risk tolerance of the investment portfolio.A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio's investments. BROKER/DEALER:Any individual or firm in the business of buying and selling securities for itself and others.Broker/dealers must register with the SEC.When acting as a broker,a broker/dealer executes orders on behalf of his/her client.When acting as a dealer,a broker/dealer executes trades for his/her firm's own account. Securities bought for the firm's own account may be sold to clients or other firms,or become a part of the firm's holdings. CERTIFICATE OF DEPOSIT (CD):A short or medium term,interest bearing, FDIC insured debt instrument offered by banks and savings and loans. Money removed before maturity is subject to a penalty.CDs are a low risk,low return investment,and are also known as "time deposits", because the account holder has agreed to keep the money in the account for a specified amount of time,anywhere from a few months to several years. COLLATERAL:Securities,evidence of deposit or other property,which a borrower pledges to secure repayment of a loan.Also refers to securities pledged by a bank to secure deposits of public monies. Page 12 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 COMMERCIAL PAPER:An unsecured short-term promissory note,issued by corporations,with maturities ranging from 2 to 270 days. COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR):The official annual report for the Otay Water District.It includes detailed financial information prepared in conformity with generally accepted accounting principles (GAAP).It also includes supporting schedules necessary to demonstrate compliance with finance-related legal and contractual provisions,extensive introductory material,and a detailed statistical section. COUPON:(a)The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value.(b)A certificate attached to a bond evidencing interest due on a set date. DEALER:A dealer,as opposed to a broker,acts as a principal in all transactions,buying and selling for his own account. DEBENTURE:A bond secured only by the general credit of the issuer. DELIVERY VERSUS PAYMENT:There are two methods of delivery of securities:delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities.Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. DERIVATIVES:(1)Financial instruments whose return profile is linked to,or derived from,the movement of one or more underlying index or security,and may include a leveraging factor,or (2)financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates,foreign exchange rates, equities or commodities). DISCOUNT:The difference between the cost price of a security and its maturity when quoted at lower than face value.A security selling below original offering price shortly after sale also is considered to be at a discount. DISCOUNT SECURITIES:Non-interest bearing money market instruments that are issued at a discount and redeemed at maturity for full face value,e.g.,U.S.Treasury Bills. Page 13 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number AdoDted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 DIVERSIFICATION:Dividing investment funds among a variety of securities offering independent returns. FEDERAL CREDIT AGENCIES:Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g.,S&L's,small business firms,students,farmers,farm cooperatives,and exporters. FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC):A federal agency that insures deposits in member banks and thrifts,currently up to $100,000 per deposit. FEDERAL FARM CREDIT BANK (FFCB):The Federal Farm Credit Bank system supports agricultural loans and issues securities and bonds in financial markets backed by these loans.It has consolidated the financing programs of several related farm credit agencies and corporations. FEDERAL FUNDS RATE:The rate of interest at which Fed funds are traded.This rate is currently pegged by the Federal Reserve through open-market operations. FEDERAL HOME LOAN BANK (FHLB):Government sponsored wholesale banks (currently 12 regional banks),which lend funds and provide correspondent banking services to member commercial banks,thrift institutions,credit unions and insurance companies. FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC or Freddie Mac):A stockholder owned,publicly traded company chartered by the United States federal government in 1970 to purchase mortgages and related securities,and then issue securities and bonds in financial markets backed by those mortgages in secondary markets.Freddie Mac,like its competitor Fannie Mae,is regulated by the United States Department of Housing and Urban Development (HUD). FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA or Fannie Mae):FNMA,like GNMA was chartered under the Federal National Mortgage Association Act in 1938.FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD).It is the largest single provider of residential mortgage funds in the United Page 14 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY SUbject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 States.Fannie Mae is a private stockholder-owned corporation.The corporation's purchases include a variety of adjustable mortgages and second loans,in addition to fixed-rate mortgages.FNMA's securities are also highly liquid and are widely accepted.FNMA assumes and guarantees that all security holders will receive timely payment of principal and interest. FEDERAL RESERVE SYSTEM:The central bank of the United States created by Congress and consisting of a seven member Board of Governors in Washington,D.C.,12 regional banks and about 5,700 commercial banks that are members of the system. GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae):A government owned agency which buys mortgages from lending institutions,securitizes them,and then sells them to investors. Because the payments to investors are guaranteed by the full faith and credit of the U.S.Government,they return slightly less interest than other mortgage-backed securities. INTEREST-ONLY STRIPS:A mortgage backed instrument where the investor receives only the interest,no principal,from a pool of mortgages. Issues are highly interest rate sensitive,and cash flows vary between interest periods.Also,the maturity date may occur earlier than that stated if all loans within the pool are pre-paid.High prepayments on underlying mortgages can return less to the holder than the dollar amount invested. INVERSE FLOATER:A bond or note that does not earn a fixed rate of interest.Rather,the interest rate is tied to a specific interest rate index identified in the bond/note structure.The interest rate earned by the bond/note will move in the opposite direction of the index.An inverse floater increases the market rate risk and modified duration of the investment. LEVERAGE:Investing with borrowed money with the expectation that the interest earned on the investment will exceed the interest paid on the borrowed money. LIQUIDITY:A liquid asset is one that can be converted easily and rapidly into cash without a substantial loss of value.In the money market,a security is said to be liquid if the spread between bid and Page 15 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 asked prices is narrow and reasonable size can be done at those quotes. LOCAL AGENCY INVESTMENT FUND (LAIF):The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment. MARKET VALUE:The price at which a security is trading and could presumably be purchased or sold. MASTER REPURCHASE AGREEMENT:A written contract covering all future transactions between the parties to repurchase/reverse repurchase agreements that establish each party's rights in the transactions.A master agreement will often specify,among other things,the right of the buyer-lender to liquidate the underlying securities in the event of default by the seller borrower. MATURITY:The date upon which the principal or stated value of an investment becomes due and payable. MONEY MARKET:The market in which short-term debt instruments (bills, commercial paper,bankers'acceptances,etc.)are issued and traded. MUTUAL FUNDS:An open-ended fund operated by an investment company which raises money from shareholders and invests in a group of assets, in accordance with a stated set of objectives.Mutual funds raise money by selling shares of the fund to the public.Mutual funds then take the money they receive from the sale of their shares (along with any money made from previous investments)and use it to purchase various investment vehicles,such as stocks,bonds,and money market instruments. MONEY MARKET MUTUAL FUNDS:An open-end mutual fund which invests only in money markets.These funds invest in short term (one day to one year)debt obligations such as Treasury bills,certificates of deposit,and commercial paper. NATIONAL ASSOCIATION OF SECURITIES DEALERS (NASD):A self-regulatory organization of the securities industry responsible for the operation and regulation of the NASDAQ stock market and over-the-counter Page 16 of 19 OTAYWATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 markets.Its regulatory mandate includes authority over firms that distribute mutual fund shares as well as other securities. PASSIVE INVESTING:An investment strategy involving limited ongoing buying and selling actions.Passive investors will purchase investments with the intention of long term appreciation and limited maintenance,and typically don't actively attempt to profit from short term price fluctuations.Also known as a buy-and-hold strategy. PRIMARY DEALER:A designation given by the Federal Reserve System to commercial banks or broker/dealers who meet specific criteria, including capital requirements and participation in Treasury auctions. These dealers submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight.Primary dealers include Securities and Exchange Commission registered securities broker/dealers,banks,and a few unregulated firms. PRUDENT PERSON RULE:An investment standard.In some states the law requires that a fiduciary,such as a trustee,may invest money only in a list of securities selected by the custody state-the so-called legal list.In other states the trustee may invest in a security if it is one which would be bought by a prudent person of discretion and intelligence who is seeking a reasonable income and preservation of capital. PUBLIC SECURITIES ASSOCIATION (PSA):A trade organization of dealers, brokers,and bankers who underwrite and trade securities offerings. QUALIFIED PUBLIC DEPOSITORIES:A financial institution which does not claim exemption from the payment of any sales or compensating use or ad valorem taxes under the laws of this state,which has segregated for the benefit of the commission eligible collateral having a value of not less than its maximum liability and which has been approved by the Public Deposit Protection Commission to hold public deposits. RANGE NOTE:An investment whose coupon payment varies and is dependent on whether the current benchmark falls within a pre-determined range. Page 17 of 19 OTAYWATER DISTRICT BOARD OF DIRECTORS POLICY SUbject Policy Date Date Number Adopted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 RATE OF RETURN:The yield obtainable on a security based on its purchase price or its current market price.This may be the amortized yield to maturity on a bond the current income return. REGIONAL DEALER:A securities broker/dealer,registered with the Securities &Exchange Commission (SEC),who meets all of the licensing requirements for buying and selling securities. REPURCHASE AGREEMENT (RP OR REPO):A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date.The security "buyer"in effect lends the "seller"money for the period of the agreement,and the terms of the agreement are structured to compensate him for this.Dealers use RP extensively to finance their positions.Exception:When the Fed is said to be doing RP,it is lending money that is increasing bank reserves. SAFEKEEPING:A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank's vaults for protection. SECONDARY MARKET:A market made for the purchase and sale of outstanding securities issues following their initial distribution. SECURITIES &EXCHANGE COMMISSION:Agency created by Congress to protect investors in securities transactions by administering securities legislation. SEC RULE 15C3-1:See Uniform Net Capital Rule. STRUCTURED NOTES:Notes issued by Government Sponsored Enterprises (FHLB,FNMA,SLMA,etc.),and Corporations,which have imbedded options (e.g.,call features,step-up coupons,floating rate coupons, derivative-based returns)into their debt structure.Their market performance is impacted by the fluctuation of interest rates,the volatility of the imbedded options and shifts in the shape of the yield curve. STUDENT LOAN MARKETING ASSOCIATION (SLMA or Sallie Mae):A federally established,publicly traded corporation which buys student loans from colleges and other lenders,pools them,and sells them to investors. Page 18 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adooted Revised I DISTRICT INVESTMENT POLICY 27 9/15/93 9/6/06 8/10/11 TREASURY BILLS:A non-interest bearing discount security issued by the U.S.Treasury to finance the national debt.Most bills are issued to mature in three months,six months,or one year. TREASURY BONDS:Long-term coupon-bearing U.S.Treasury securities issued as direct obligations of the U.S.Government and having initial maturities of more than 10 years. TREASURY NOTES:Medium-term coupon-bearing U.S.Treasury securities issued as direct obligations of the U.S.Government and having initial maturities from two to 10 years. UNIFORM NET CAPITAL RULE:Securities and Exchange Commission requirement that member firms as well as nonmember broker-dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1;also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm,including margin loans and commitments to purchase securities,one reason new public issues are spread among members of underwriting syndicates.Liquid capital includes cash and assets easily converted into cash. YIELD:The rate of annual income return on an investment,expressed as a percentage.(a)INCOME YIELD is obtained by dividing the current dollar income by the current market price for the security.(b)NET YIELD or YIELD TO MATURITY is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond. Page190f19 Attachment C OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 1.0:POLICY It is the policy of the Otay Water District to invest public funds in a manner which will provide maximum security with the best interest return,while meeting the daily cash flow demands of the entity and conforming to all state statues governing the investment of public funds. 2.0:SCOPE This investment policy applies to all financial assets of the Otay Water District.The District pools all cash for investment purposes. These funds are accounted for in the District's audited Comprehensive Annual Financial Report (CAFR)and include: 2.1)General Fund 2.2)Capital Project Funds 2.2.1)Designated Expansion Fund 2.2.2)Restricted Expansion Fund 2.2.3)Designated Betterment Fund 2.2.4)Restricted Betterment Fund 2.2.5)Designated Replacement Fund 2.2.6)Restricted New Water Supply Fund 2.3)Other Post Employment Fund (OPEBj 2.4)Debt Reserve Fund Exceptions to the pooling of funds do exist for tax-exempt debt proceeds and deferred compensation funds.Funds received from the sale of general obligation bonds,certificates of participation or other tax-exempt financing vehicles are segregated from pooled investments and the investment of such funds are guided by the legal documents that govern the terms of such debt issuances. 3.0:PRUDENCE Investments should be made with judgment and care,under current prevailing circumstances,which persons of prudence,discretion and intelligence,exercise in the management of their own affairs,not for speculation,but for investment,considering the probable safety of their capital as well as the probable income to be derived. Page 1 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 The standard of prudence to be used by investment officials shall be the "Prudent PersonH and/or "Prudent Investor"standard (California Government Code 53600.3)and shall be applied in the context of managing an overall portfolio.Investment officers acting in accordance with written procedures and the investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments. 4.0:OBJECTIVE As specified in the California Government Code 53600.5,when investing,reinvesting,purchasing,acquiring,exchanging,selling and managing public funds,the primary objectives,in priority order,of the investment activities shall be: 4.1)Safety:Safety of principal is the foremost objective of the investment program.Investments of the Otay Water District shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. To attain this objective,the District will diversify its investments by investing funds among a variety of securities offering independent returns and financial institutions. 4.2)Liquidity:The Otay Water District's investment portfolio will remain sufficiently liquid to enable the District to meet all operating requirements which might be reasonably anticipated. 4.3)Return on Investment:The Otay Water District's investment portfolio shall be designed with the objective of attaining a benchmark rate of return throughout budgetary and economic cycles,commensurate with the District's investment risk constraints and the cash flow characteristics of the portfolio. 5.0 DELEGATION OF AUTHORITY Authority to manage the Otay Water District's investment program is derived from the California Government Code,Sections 53600 through 53692.Management responsibility for the investment program is hereby Page 2 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 delegated to the Chief Financial Officer (CFO),who shall be responsible for all transactions undertaken and shall establish a system of controls to regulate the activities of subordinate officials and their procedures in the absence of the CFO. The CFO shall establish written investment policy procedures for the operation of the investment program consistent with this policy.Such procedures shall include explicit delegation of authority to persons responsible for investment transactions.No person may engage in an investment transaction except as provided under the terms of this policy and the procedures established by the CFO. Page 3 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 6.0:ETHICS AND CONFLICTS OF INTEREST Officers and employees involved in the investment process shall refrain from personal business activity that could conflict with the proper execution and management of the investment program,or that could impair their ability to make impartial investment decisions. Employees and investment officials shall disclose to the General Manager any material financial interests in financial institutions with which they conduct business.They shall further disclose any personal financial/investment positions that could be related to the performance of the investment portfolio.Employees and officers shall refrain from undertaking personal investment transactions with the same individual with whom business is conducted on behalf of the District. 7.0:AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS The Chief Financial Officer shall maintain a list of financial institutions authorized to provide investment services.In addition, a list will also be maintained of approved security broker/dealers who are authorized to provide investment services in the State of California.These may include "primary"dealers or regional dealers that qualify under Securities &Exchange Commission Rule l5C3-l (Uniform Net Capital Rule).No public deposit shall be made except in a qualified public depository as established by state laws. All financial institutions and broker/dealers who desire to become qualified bidders for investment transactions must supply the District with the following,as appropriate: •Audited Financial Statements. •Proof of National Association of Security Dealers (NASD) certification. •Proof of state registration. •Completed broker/dealer questionnaire. •Certification of having read the District's Investment Policy. •Evidence of adequate insurance coverage. As annual review of the financial condition and registrations of qualified bidders will be conducted by the CFO. A current audited Page 4 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 financial statement is required to be on file for each financial institution and broker/dealer in which the District invests. Page 5 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 8.0:AUTHORIZED AND SUITABLE INVESTMENTS From the governing body perspective,special care must be taken to ensure that the list of instruments includes only those allowed by law and those that local investment managers are trained and competent to handle.The District is governed by the California Government Code, Sections 53600 through 53692,to invest in the following types of securities,as further limited herein: 8.01)United States Treasury Bills,Bonds,Notes or those instruments for which the full faith and credit of the United States are pledged for payment of principal and interest.There is no percentage limitation of the portfolio which can be invested in this category,although a five-year maturity limitation is applicable. 8.02)Local Agency Investment Fund (LAIF),which is a State of California managed investment pool,may be used up to the maximum permitted by State Law (currently $50 million).The District may also invest bond proceeds in LAIF with the same but independent maximum limitation. 8.03)Bonds,debentures,notes and other evidence of indebtedness issued by any of the following government agency issuers: •Federal Home Loan Bank (FHLB) •Federal Home Loan Mortgage Corporation (FHLMC or "Freddie Mac") •Federal National Mortgage Association (FNMA or "Fannie Mae") •Government National Mortgage Association (GNMA or "Ginnie Mae") •Student Loan Marketing Association (SLMA or "Sallie Mae") •Federal Farm Credit Bank (FFCB) There is no percentage limitation of the portfolio which can be invested in this category,although a five-year maturity limitation is applicable. 8.04)Interest-bearing demand deposit accounts and Certificates of Deposit (CD)will be made only in Federal Deposit Page 6 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 Insurance Corporation (FDIC)insured accounts.For deposits in excess of the insured maximum of $100,000,approved collateral shall be required in accordance with California Government Code, Section 53652.Investments in CD's are limited to 15 percent of the District's portfolio. 8.05)Commercial paper,which is short-term,unsecured promissory notes of corporate and public entities.Purchases of eligible commercial paper may not exceed 10 percent of the outstanding paper of an issuing corporation,and maximum investment maturity will be restricted to 270 days.Investment is further limited as described in California Government Code, Section 53601(g).Purchases of commercial paper may not exceed 15 percent of the District's portfolio. 8.06)Medium-term notes defined as all corporate debt securities with a maximum remaining maturity of five years or less,and that meet the further requirements of California Government Code,Section 53601(j).Investments in medium-term notes are limited to 15 percent of the District's portfolio. 8.07)Money market mutual funds that invest only in Treasury securities and repurchase agreements collateralized with Treasury securities,and that meet the further requirements of California Government Code,Section 53601(k).Investments in money market mutual funds are limited to 15 percent of the District's portfolio. 8.08)The San Diego County Treasurer's Pooled Money Fund, which is a County managed investment pool,may be used by the Otay Water District to invest excess funds.There is no percentage limitation of the portfolio which can be invested in this category. 8.09)Under the provisions of California Government Code 53601.6,the Otay Water District shall not invest any funds covered by this Investment Policy in inverse floaters,range notes,interest-only strips derived from mortgage pools,or any investment that may result in a zero interest accrual if held to maturity.Also,the borrowing of funds for investment purposes, known a leveraging,is prohibited. 9.0:INVESTMENT POOLS/MUTUAL FUNDS Page 7 of 19 OTAYWATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 A thorough investigation of the pool/fund is required prior to investing,and on a continual basis.There shall be a questionnaire developed which will answer the following general questions: • A description of eligible investment securities,and a written statement of investment policy and objectives. • A description of interest calculations and how it is distributed,and how gains and losses are treated. • A description of how the securities are safeguarded (including the settlement processes),and how often the securities are priced and the program audited. • A description of who may invest in the program,how often, and what size deposits and withdrawals are allowed. • A schedule for receiving statements and portfolio listings. •Are reserves,retained earnings,etc.,utilized by the pool/fund? • A fee schedule,and when and how is it assessed. •Is the pool/fund eligible for bond proceeds and/or will it accept such proceeds? 10.0 COLLATERALIZATION Co11ateralization will be required on certificates of deposit.In order to anticipate market changes and provide a level of security for all funds,the collateralization level will be 102%of market value of principal and accrued interest.Collateral will always be held by an independent third party with whom the entity has a current custodial agreement.A clearly marked evidence of ownership (safekeeping receipt)must be supplied to the entity and retained.The right of collateral substitution is granted. 11.0:SAFEKEEPING AND CUSTODY All security transactions entered into by the Otay Water District shall be conducted on a de1ivery-versus-payment (DVP)basis. Securities will be held by a third party custodian designated by the District and evidenced by safekeeping receipts. 12.0:DIVERSIFICATION Page 8 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 The Otay Water District will diversify its investments by security type and institution,with limitations on the total amounts invested in each security type as detailed in Paragraph 8.0,above,so as to reduce overall portfolio risks while attaining benchmark average rate of return.With the exception of u.S.Treasury securities,government agencies,and authorized pools,no more than 50%of the District's total investment portfolio will be invested with a single financial institution. Page 9 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 13.0:MAXIMUM MATURITIES To the extent possible,the Otay Water District will attempt to match its investments with anticipated cash flow requirements.Unless matched to a specific cash flow,the District will not directly invest in securities maturing more than five years from the date of purchase. However,for time deposits with banks or savings and loan associations,investment maturities will not exceed two years. Investments in commercial paper will be restricted to 270 days. 14.0:INTERNAL CONTROL The Chief Financial Officer shall establish an annual process of independent review by an external auditor.This review will provide internal control by assuring compliance with policies and procedures. 15.0:PERFORMANCE STANDARDS The investment portfolio shall be designed with the objective of obtaining a rate of return throughout budgetary and economic cycles, commensurate with the investment risk constraints and the cash flow needs. The Otay Water District's investment strategy is passive.Given this strategy,the basis used by the CFO to determine whether market yields are being achieved shall be the State of California Local Agency Investment Fund (LAIF)as a comparable benchmark. 16.0:REPORTING The Chief Financial Officer shall provide the Board of Directors monthly investment reports which provide a clear picture of the status of the current investment portfolio.The management report should include comments on the fixed income markets and economic conditions, discussions regarding restrictions on percentage of investment by categories,possible changes in the portfolio structure going forward and thoughts on investment strategies.Schedules in the quarterly report should include the following: • A listing of individual securities held at the end of the reporting period by authorized investment category. •Average life and final maturity of all investments listed. Page 10 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adooted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 •Coupon,discount or earnings rate. •Par value,amortized book value,and market value. •Percentage of the portfolio represented by each investment category. 17.0:INVESTMENT POLICY ADOPTION The Otay Water District's investment policy shall be adopted by resolution of the District's Board of Directors.The policy shall be reviewed annually by the Board and any modifications made thereto must be approved by the Board. 18.0:GLOSSARY See Appendix A. Page 11 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adooted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 APPENDIX A:GLOSSARY ACTIVE INVESTING:Active investors will purchase investments and continuously monitor their activity,often looking at the price movements of their stocks many times a day,in order to exploit profitable conditions.Typically,active investors are seeking short term profits. AGENCIES:Federal agency securities and/or Government-sponsored enterprises. BANKERS'ACCEPTANCE (BA):A draft or bill or exchange accepted by a bank or trust company.The accepting institution guarantees payment of the bill,as well as the issuer. BENCHMARK:A comparative base for measuring the performance or risk tolerance of the investment portfolio.A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio's investments. BROKER/DEALER:Any individual or firm in the business of buying and selling securities for itself and others.Broker/dealers must register with the SEC.When acting as a broker,a broker/dealer executes orders on behalf of his/her client.When acting as a dealer,a broker/dealer executes trades for his/her firm's own account. Securities bought for the firm's own account may be sold to clients or other firms,or become a part of the firm's holdings. CERTIFICATE OF DEPOSIT (CD):A short or medium term,interest bearing, FDIC insured debt instrument offered by banks and savings and loans. Money removed before maturity is subject to a penalty.CDs are a low risk,low return investment,and are also known as "time deposits", because the account holder has agreed to keep the money in the account for a specified amount of time,anywhere from a few months to several years. COLLATERAL:Securities,evidence of deposit or other property,which a borrower pledges to secure repayment of a loan.Also refers to securities pledged by a bank to secure deposits of public monies. COMMERCIAL PAPER:An unsecured short-term promissory note,issued by corporations,with maturities ranging from 2 to 270 days. Page12of19 OTAYWATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR):The official annual report for the Otay Water District.It includes detailed financial information prepared in conformity with generally accepted accounting principles (GAAP).It also includes supporting schedules necessary to demonstrate compliance with finance-related legal and contractual provisions,extensive introductory material,and a detailed statistical section. COUPON:(a)The annual rate of interest that a bond's issuer promises to pay the bondholder on the bond's face value.(b)A certificate attached to a bond evidencing interest due on a set date. DEALER:A dealer,as opposed to a broker,acts as a principal in all transactions,buying and selling for his own account. DEBENTURE:A bond secured only by the general credit of the issuer. DELIVERY VERSUS PAYMENT:There are two methods of delivery of securities:delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities.Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. DERIVATIVES:(1)Financial instruments whose return profile is linked to,or derived from,the movement of one or more underlying index or security,and may include a leveraging factor,or (2)financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates,foreign exchange rates, equities or commodities). DISCOUNT:The difference between the cost price of a security and its maturity when quoted at lower than face value.A security selling below original offering price shortly after sale also is considered to be at a discount. DISCOUNT SECURITIES:Non-interest bearing money market instruments that are issued at a discount and redeemed at maturity for full face value,e.g.,u.S.Treasury Bills. DIVERSIFICATION:Dividing investment funds among a variety of securities offering independent returns. Page 13 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 FEDERAL CREDIT AGENCIES:Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g.,S&L's,small business firms,students,farmers,farm cooperatives,and exporters. FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC):A federal agency that insures deposits in member banks and thrifts,currently up to $100,000 per deposit. FEDERAL FARM CREDIT BANK (FFCB):The Federal Farm Credit Bank system supports agricultural loans and issues securities and bonds in financial markets backed by these loans.It has consolidated the financing programs of several related farm credit agencies and corporations. FEDERAL FUNDS RATE:The rate of interest at which Fed funds are traded.This rate is currently pegged by the Federal Reserve through open-market operations. FEDERAL HOME LOAN BANK (FHLB)Government sponsored wholesale banks (currently 12 regional banks),which lend funds and provide correspondent banking services to member commercial banks,thrift institutions,credit unions and insurance companies. FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC or Freddie Mac):A stockholder owned,publicly traded company chartered by the United States federal government in 1970 to purchase mortgages and related securities,and then issue securities and bonds in financial markets backed by those mortgages in secondary markets.Freddie Mac,like its competitor Fannie Mae,is regulated by the United States Department of Housing and Urban Development (HUD). FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA or Fannie Mae):FNMA,like GNMA was chartered under the Federal National Mortgage Association Act in 1938.FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD).It is the largest single provider of residential mortgage funds in the United States.Fannie Mae is a private stockholder-owned corporation.The corporation's purchases include a variety of adjustable mortgages and second loans,in addition to fixed-rate mortgages.FNMA's securities are also highly liquid and are widely accepted.FNMA assumes and Page14of19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 guarantees that all security holders will receive timely payment of principal and interest. FEDERAL RESERVE SYSTEM:The central bank of the United States created by Congress and consisting of a seven member Board of Governors in Washington,D.C.,12 regional banks and about 5,700 commercial banks that are members of the system. GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae):A government owned agency which buys mortgages from lending institutions,securitizes them,and then sells them to investors. Because the payments to investors are guaranteed by the full faith and credit of the U.S.Government,they return slightly less interest than other mortgage-backed securities. INTEREST-ONLY STRIPS:A mortgage backed instrument where the investor receives only the interest,no principal,from a pool of mortgages. Issues are highly interest rate sensitive,and cash flows vary between interest periods.Also,the maturity date may occur earlier than that stated if all loans within the pool are pre-paid.High prepayments on underlying mortgages can return less to the holder than the dollar amount invested. INVERSE FLOATER:A bond or note that does not earn a fixed rate of interest.Rather,the interest rate is tied to a specific interest rate index identified in the bond/note structure.The interest rate earned by the bond/note will move in the opposite direction of the index.An inverse floater increases the market rate risk and modified duration of the investment. LEVERAGE:Investing with borrowed money with the expectation that the interest earned on the investment will exceed the interest paid on the borrowed money. LIQUIDITY:A liquid asset is one that can be converted easily and rapidly into cash without a substantial loss of value.In the money market,a security is said to be liquid if the spread between bid and asked prices is narrow and reasonable size can be done at those quotes. Page 15 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adooted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 LOCAL AGENCY INVESTMENT FUND (LAIF):The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment. MARKET VALUE:The price at which a security is trading and could presumably be purchased or sold. MASTER REPURCHASE AGREEMENT:A written contract covering all future transactions between the parties to repurchase/reverse repurchase agreements that establish each party's rights in the transactions.A master agreement will often specify,among other things,the right of the buyer-lender to liquidate the underlying securities in the event of default by the seller borrower. MATURITY:The date upon which the principal or stated value of an investment becomes due and payable. MONEY MARKET:The market in which short-term debt instruments (bills, commercial paper,bankers'acceptances,etc.)are issued and traded. MUTUAL FUNDS:An open-ended fund operated by an investment company which raises money from shareholders and invests in a group of assets, in accordance with a stated set of objectives.Mutual funds raise money by selling shares of the fund to the public.Mutual funds then take the money they receive from the sale of their shares (along with any money made from previous investments)and use it to purchase various investment vehicles,such as stocks,bonds,and money market instruments. MONEY MARKET MUTUAL FUNDS:An open-end mutual fund which invests only in money markets.These funds invest in short term (one day to one year)debt obligations such as Treasury bills,certificates of deposit,and commercial paper. NATIONAL ASSOCIATION OF SECURITIES DEALERS (NASD):A self-regulatory organization of the securities industry responsible for the operation and regulation of the NASDAQ stock market and over-the-counter markets.Its regulatory mandate includes authority over firms that distribute mutual fund shares as well as other securities. PASSIVE INVESTING:An investment strategy involving limited ongoing buying and selling actions.Passive investors will purchase Page 16 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 investments with the intention of long term appreciation and limited maintenance,and typically don't actively attempt to profit from short term price fluctuations.Also known as a buy-and-hold strategy. PRIMARY DEALER:A designation given by the Federal Reserve System to commercial banks or broker/dealers who meet specific criteria, including capital requirements and participation in Treasury auctions. These dealers submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight.Primary dealers include Securities and Exchange Commission registered securities broker/dealers,banks,and a few unregulated firms. PRUDENT PERSON RULE:An investment standard.In some states the law requires that a fiduciary,such as a trustee,may invest money only in a list of securities selected by the custody state-the so-called legal list.In other states the trustee may invest in a security if it is one which would be bought by a prudent person of discretion and intelligence who is seeking a reasonable income and preservation of capital. PUBLIC SECURITIES ASSOCIATION (PSA):A trade organization of dealers, brokers,and bankers who underwrite and trade securities offerings. QUALIFIED PUBLIC DEPOSITORIES:A financial institution which does not claim exemption from the payment of any sales or compensating use or ad valorem taxes under the laws of this state,which has segregated for the benefit of the commission eligible collateral having a value of not less than its maximum liability and which has been approved by the Public Deposit Protection Commission to hold public deposits. RANGE NOTE:An investment whose coupon payment varies and is dependent on whether the current benchmark falls within a pre-determined range. RATE OF RETURN:The yield obtainable on a security based on its purchase price or its current market price.This may be the amortized yield to maturity on a bond the current income return. REGIONAL DEALER:A securities broker/dealer,registered with the Securities &Exchange Commission (SEC),who meets all of the licensing requirements for buying and selling securities. Page 17 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Date Date Number AdoDted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 REPURCHASE AGREEMENT (RP OR REPO):A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date.The security "buyerff in effect lends the "sellerff money for the period of the agreement,and the terms of the agreement are structured to compensate him for this.Dealers use RP extensively to finance their positions.Exception:When the Fed is said to be doing RP,it is lending money that is increasing bank reserves. SAFEKEEPING:A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank's vaults for protection. SECONDARY MARKET:A market made for the purchase and sale of outstanding securities issues following their initial distribution. SECURITIES &EXCHANGE COMMISSION:Agency created by Congress to protect investors in securities transactions by administering securities legislation. SEC RULE l5C3-l:See Uniform Net Capital Rule. STRUCTURED NOTES:Notes issued by Government Sponsored Enterprises (FHLB,FNMA,SLMA,etc.),and Corporations,which have imbedded options (e.g.,call features,step-up coupons,floating rate coupons, derivative-based returns)into their debt structure.Their market performance is impacted by the fluctuation of interest rates,the volatility of the imbedded options and shifts in the shape of the yield curve. STUDENT LOAN MARKETING ASSOCIATION (SLMA or Sallie Mae):A federally established,publicly traded corporation which buys student loans from colleges and other lenders,pools them,and sells them to investors. TREASURY BILLS:A non-interest bearing discount security issued by the U.S.Treasury to finance the national debt.Most bills are issued to mature in three months,six months,or one year. TREASURY BONDS:Long-term coupon-bearing U.S.Treasury securities issued as direct obligations of the U.S.Government and having initial maturities of more than 10 years. Page 18 of 19 OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY SUbject Policy Date Date Number Adopted Revised DISTRICT INVESTMENT POLICY 27 9/15/93 8/10/11 TREASURY NOTES:Medium-term coupon-bearing u.S.Treasury securities issued as direct obligations of the u.S.Government and having initial maturities from two to 10 years. UNIFORM NET CAPITAL RULE:Securities and Exchange Commission requirement that member firms as well as nonmember broker-dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1;also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm,including margin loans and commitments to purchase securities,one reason new public issues are spread among members of underwriting syndicates.Liquid capital includes cash and assets easily converted into cash. YIELD:The rate of annual income return on an investment,expressed as a percentage.(a)INCOME YIELD is obtained by dividing the current dollar income by the current market price for the security.(b)NET YIELD or YIELD TO MATURITY is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond. Page 19 of 19 OTAY Portfolio Management Portfolio Summary June 30,2011 Investments Federal AgencyIssues-callable Certificates of Deposit·Bank Local Agency Investment Fund (LAlF) San DiegoCountyPool Investments p"Market Book %of Daysto YTM YTM Value Value Value Portfolio Te""Maturity 360 Equiv.365Equiv. 49,147,000.00 49,234,217.02 49.146.158.75 48.15 882 737 1.045 1.059 79,108.00 79.108.00 79.108.00 0.08 730 lOS 1.380 1.399 35,820,150.35 35.876.619-74 35.820.150.35 35.10 1 1 0.442 0.448 17,013,171.57 16.992,478.65 17,013.171.57 16.67 1 1 0.828 0.840----102,059,429.92 102,182,423.41 102,058,588.67 100.00%426 356 0.797 0.808 Cash 965,184.50 965.184.50 965.184.50 0,042 0.043 103,024,614.42 103,147,607.91 103,023.n3.17 426 356 0.797 0.808 June 30 Month Ending FiscalYear To Date Fiscal YearEnding 68.563.25 1,009,770.66 1,009.770.66 103,763,262.51 105,380.585.04 TotalEarnings Current Year Average Daily Balance Effective Rate of Return 0.80%1.25% Ihereby certify that the investments contained in this report are made in accordance with the District Investment PolicyNumber 27 adopted by the Board ofDirectors on September 6,2006.The market value information provided b ata Corporation.The investments provide sufficient liquidity to meet the cash flow requirements of the District for the next six months of expenditures. (notincluded in yield calculations Total Cash and Investments 7-/C7-1! Reporting period 06/01/2011~6130/2011 RunDale:07/1412011 •15:07 Portfolio OTAY AP PMIPRF PM1l7.3.0 Reporlv...,.7.3.2 »~Q)o::::r 3CD ::::J~o Attachment E DISTRICT INVESTMENT POLICY Policy #27 August 10,2011 POLICY REVIEW ·Purpose: ~Annual Review ~Adoption of Resolution No.4184, Amending the Current Policy #27 ~Delegation of Investment Authority POLICY REVIEW ·Analysis: •Proposed policy adds the Restricted New Water Supply Fund (para 2.2.6), as an additional Capital Project Fund of the District,in accordance with the District's Reserve Policy which was revised effective 11-03-10 ~Current Policy #27 was last revised 09-06-06 INVESTMENT POLICY GUIDELINES A.California Government Code: ~Sections 53600 through 53692 B.Investment Policy Certification: ~Association of Public Treasurers of the United States &Canada (APT US&C) INVESTMENT PORTFOLIO:6/30/11 Authorized $('OOOs)$ /0/0 Actual 0/0 LAIF (Operating)$31,769 $50 Mil 30.84% LAIF (Bonds)$4,051 100%3.93% Govt.Agency Bonds $49,147 100%47.70% Bank Deposits &CDs $1,044 15%1.01% San Diego County Pool $17,014 50%16.52% TOTAL:$103,025 INVESTMENT PORTFOLIO:6/30/11 $49,147,000 47.70%Otay Water District Investment Portfolio:06/30/11 $1,044,293 1.01% $52,833,322 51.28% o Banks (Passbook/Checking/CD)II Pools (LAIF &County)o Agencies &Corporate Notes INVESTMENT PERFORMANCE Fund Objectives Y Safety Y Liquidity y Return on Investment Fund Performance:FY-ll FY-l0 y OTAY:1.25% 1.35% y LAIF:0.50%0.65% REQUESTED BOARD ACTION Adopt Resolution No.4184 amending Policy #27,and re-delegate authority for all investment related activities to the Chief Financial Officer (CFO),in accordance with Government Code Section 53607. STAFF REPORT AGENDA ITEM 12a TYPE MEETING:Regular Board Meeting SUBMITIED BY:Mark Watton, General Manager MEETING DATE: W.O.lG.F.NO: August 10,2011 DIV.NO. SUBJECT:Board of Directors 2011 Calendar of Meetings GENERAL MANAGER'S RECOMMENDATION: At the request of the Board,the attached Board of Director's meeting calendar for 2011 is being presented for discussion. PURPOSE: This staff report is being presented to provide the Board the opportunity to review the 2011 Board of Director's meeting calendars and amend the schedule as needed. COMMITTEE ACTION: N/A ANALYSIS: The Board requested that this item be presented at each meeting so they may have an opportunity to review the Board meeting calendar schedule and amend it as needed. STRATEGIC GOAL: N/A FISCAL IMPACT: None. LEGAL IMPACT: None. Attachments:Calendar of Meetings for 2011 G:\UscrDill;L\DistSccIWINWORD\STAFRPTSIBoanl MeetingCalendar 8·1 0-11,doc Regular Board Meetings: January 5,20 II February 2,2011 March 2,20 II April 6,20 II May 4,2011 June 1,2011 July 15,2011 August 10,20 II September 7,2011 October 5,2011 November 2,2011 December 7,20 II Board Workshops: Board of Directors,Workshops and Committee Meetings 2011 Special Board or Committee Meetings (3'd Wednesday of Each Month or as Noted) January 19,20 I1 February 16,201 1 March 16,2011 April 20,20 II May 18,2011 June IS,2011 July 20,20 II August 17,2011 September 21,20 II October 19,20II November 16,2011 December 21,2011 Budget Workshop:Monday,May 16,2011 Special Board Meeting/Board Retreat Workshop:TBD G:\UserData\DistSec\WINWORD\STAFRPTS\Board Meeting Calendar Attach A for 2011 8-IO-ll.doc Page I of I AGENDA ITEM 13a STAFF REPORT August 10,2011TYPEMEETING:Regular Board SUBMITTED BY:Jeff Marchioro )-rf\. Senior Civil Engineer MEETING DATE: PROJECTI SUBPROJECT: P2511- 001102 DIV. NO. 3,4 APPROVED BY: (Chief) APPROVED BY: (Ass!.GM): SUBJECT: Ron Ripperger ~ Engineering Manager Rod Posada~~~ Chief,Engineering -Manny Magan~ Assistant General \rnager,Engineering and Operations Informational Item -An update on the North District and South District Interconnection System Project GENERAL MANAGER'S RECOMMENDATION: No recommendation.This is an informational item only. COMMITTEE ACTION: Please see Attachment A. PURPOSE: To update the Otay Water District (District)Board of Directors (Board)on the progress,highlights,and any significant issues relating to the North District and South District Interconnection System Project (Project). ANALYSIS: The Project consists of a transmission main and pumping station between the La Presa area of Spring Valley and the Eastlake area in the City of Chula Vista.The Project's primary objective is to provide the capability of conveying potable water from the North District to the South District (and vice versa)via a transmission main and a 10,000 gpm booster pump station. Additional facilities may be included to provide the capability to receive an alternative source of water via the Sweetwater Authority's system in the future. Currently,the District does not have the infrastructure to convey potable water between the North District and the South District;they are served by the supply from five (5) connections to the San Diego County Water Authority (CWA).The North District is supplied by Flow Control Facility (FCF)No.11 located on CWA's Pipeline 4 and,with the completion of the 36- Inch Pipeline in Jamacha Road this fall,will also be supplied by FCF No.14 located in El Cajon.The South District is supplied by FCF Nos.10,12,and 13,which are all located along CWA's Pipeline 4.This Project will provide the capability to convey potable water to the North and South service areas during normal operations,during CWA shutdowns on Pipeline 4 or the FCFs,or during emergency conditions.It will improve the reliability to supply potable water from any FCF to any customer within the District and facilitate delivery of future water sources such as desalinated seawater.Combined with existing storage infrastructure,this Project will provide the necessary redundancy in the event of an emergency.In addition,this Project will replace the Proctor Valley Road Interconnection Pipelines and the 40 million gallon 624-4 Reservoir,all key projects in the District's Water Resources Master Plan.The replacement of these projects has the potential to save the District over $10,000,000. At the November 3,2010 Board Meeting,Lee &Ro,Inc.(Lee &Ro) was awarded the professional services contract for the Project to provide a range of professional services,including engineering,environmental,public outreach,surveying,easement acquisition,and real estate appraisal for the planning and design of the Project. Lee &Ro studied eight (8)alternative pipeline alignments considering system operations and maintenance,reliability, interagency agreements,permitting,traffic impacts, constructability,geological,environmental,public relations, land use,land and easement acquisitions,economic,and other considerations to recommend a 5.3 mile pipeline alignment (Exhibit A).To study the environmental impact,Lee &Ro's environmental sub consultant (Helix Environmental Planning, Inc.)has prepared a draft Notice of Preparation to prepare an Environmental Impact Report (EIR)in accordance with the California Environmental Quality Act (CEQA).A dedicated website,(www.connectotay.com),using the Project's new name, "Otay Interconnect Pipeline,"has been set up to provide information to the public about the Project. 2 A slightly longer version of the recommended alignment (a 6.2 mile alignment that is the same as the preferred alignment except for the area generally located southwest of the Bonita Golf Course along San Miguel Road to Frisbie Street to Central Avenue to Corral Canyon Road)may be necessary to avoid acquisition of additional easements on private property along an existing horse trail between the intersection of Central Avenue and Corral Canyon Road. The Notice of Preparation (Nap)will be publicized after the board meeting in media outlets that are circulated in the area affected by the Project including San Diego Union Tribune - South County Edition,Chula Vista Star-News,East County Californian,and other media sources identified at the time of publication.A letter will also be drafted and mailed to property owners whose property will be directly impacted by the proposed pipeline.Upon publishing the Nap,public outreach activities will continue to target a variety of community stakeholders including City of Chula Vista,Bonita Golf Course, Sweetwater Authority,and residences and businesses along pipeline alignment.Public outreach efforts will also target approximately 14 local clubs,associations,and other organizations identified by Lee &Ro's public outreach consultant (Marston+Marston,Inc). The planning and design phases of the project are estimated to be completed in early 2013. FISCAL IMPACT: None. STRATEGIC GOAL: This Project supports the District's Mission statement,"To provide the best quality of water and wastewater service to the customers of the Otay Water District,in a professional, effective,and efficient manner."This Project fulfills the District's Strategic Goals No.1 -Community and Governance,and No.5 -Potable Water,by maintaining proactive and productive relationships with the Project stakeholders and by guaranteeing that the District will provide for current and future water needs. LEGAL IMPACT: None. 3 Gene ?:\WORKl.' RR).do:: JM/RR:jf Attachments: Intertte\S:<I~~Reports\S:!08-:"'-11,S,:a:f Report..lr:fo ltel:l ~-S [:l:.erc:orJ.ection.(JH~ Attachment A Exhibit A -Location Map 4 :SUBJECT/PROJECT:I P2511-001102 L __ ATTACHMENT A I Informational Item -An update on the North District and i South District Interconnection System Project ! I , J COMMITTEE ACTION: The Engineering,Operations,and Water Resources Committee reviewed this item at a meeting held on July 12,2011 and the following comments were made: •Staff stated that the intent of this informational item is to update the Committee and the Board on the status of the North District and South District Interconnection System Project (Project)prior to issuing the Notice of Preparation (NOP)that formally begins the environmental process with the public. •Staff introduced Jeff Marchioro,Senior Civil Design Engineer,who will be the new project manager to oversee the Project. •Staff indicated that the Project consists of a 5.3 mile, 3D-inch transmission main and 10,000 gpm pumping station that will connect the La Presa area of Spring Valley (Paradise Valley Road at Elkekton Place)and the EastLake area of Chula Vista (East H Street and Corral Canyon Road) The new facilities will provide the capability to convey potable water from the North District to the South District and vice versa. •Staff noted that for the first time,the District will be able to reliably deliver water from any source to any part of the system during an emergency,a CWA shutdown,and/or during normal operations. •This Project will replace the Proctor Valley Road Interconnection Pipelines and the 40 million gallon 624-4 Reservoir,which are part of District's Water Resources Master Plan.Staff noted that the replacement of these projects has the potential of saving the District over $lOM in projected budget costs. •Staff stated that at the November 3,2010 Board Meeting, Lee &Ro was awarded the professional services contract for the Project.Lee &Ro studied eight (8)alternative pipeline alignments ultimately recommending the alignment shown in (Exhibit A)of the staff report.It was indicated that a slightly longer version of the recommended alignment may be necessary to avoid acquisition of additional easements on private property along an existing horse trail between the intersection of Central Avenue and Corral Canyon Road. •Staff indicated that Lee &Ro's environmental sub consultant,Helix Environmental,has prepared the NOP to prepare an Environmental Impact Report (EIR)in accordance with the California Environmental Quality Act (CEQA). •After the August 10th Board meeting,the District will publish the NOP in media outlets including the San Diego Union Tribune -South County Edition,Chula Vista Star- News,and the East County Californian and send it to the State Clearinghouse and other local agencies. •Staff stated that the CEQA public notification rules only require that a notice be placed in a local newspaper of general circulation and that local agencies be notified. However,similar to the community outreach process for the 36-inch Jamacha Pipeline Project,the District plans to send a letter to all property owners located within 1,000 feet of each side of the pipeline alignment and to reach out to community stakeholders including the City of Chula Vista,Bonita Golf Course,Sweetwater Authority,and area businesses.It was noted that the ProjecL wil include proper construction phases to minimize the impact upon the community. Following the discussion,the Committees supported staffs' recommendation and presentation to the full Board as an informational item. 6 OTAYWATER DISTRICT NORTH I SOUTH DISTRICT INTERCONNECTION SYSTEM PROPOSED PUMP STATION AND PIPELINE ALIGNMENT CIP#P2511 Proposed PumpStalion Legend Proposed Pipeline Alignment Alternative Alignment ".;:;Preferred AlignmentIi .<:=:::1:1 OWO Boundary~I------r----i ~2; ~"L..-...........I EXHIBIT A Quality Assurance Approval Sheet Subject:Informational Item -An update on the North District and South District Interconnection System Project Project No.:P2511-001102 Document Description:Staff Report for the August 10,2011 Board Meeting. Author: Date Jeff Marchioro Printed Name QA Reviewer: Manager: Lisa Coburn-Boyd Printed Name 1Z .~~rel Ron Ripperger Printed Name ~-=i-II Date 7-7-11 Date The above signatures attest that the attached document has been reviewed and to the best of their ability the signers verify that it meets the District quality standard by clearly and concisely conveying the intended information;being grammatically correct and free of formatting and typographical errors; accurately presenting calculated values and numerical references;and being internally consistent,legible and uniform in its presentation style. AGENDA ITEM 14 STAFF REPORT TYPE MEETING:Regular Board MEETING DATE:August 10,2011 SUBMITTED BY: Mark Watton General Manager W.O./G.F. NO: N/A DIV. NO. N/A SUBJECT:General Manager's Report ADMINISTRATIVE SERVICES,INFORMATION TECHNOLOGY AND FINANCE: ADMINISTRATIVE SERVICES: Human Resources: •Recognition Luncheon The District's Summer Recognition Luncheon and BBQ was held on Wednesday,July 13th at the Operations Center.Employee Recognition Awards were presented to the following employees: o Employee Excellence Award:Richard Namba,for providing excellent customer service by completing over 113 residential surveys and for helping cultivate interest in two of the District's Water Conservation programs,which experienced wait-lists for the first time. o Management Excellence Award:Shamala Saripalli,for her high level of professionalism in implementing the Training Tracking System,the completion of the open enrollment process for HR,special assessments,and for the automation of the accounting processes,among other things. o Team of Excellence Award:Team consisting of Doug Marple, Cyndi Alcantara,Jonathan Chambers,and Brandon DiPietro, for their work on the automation of the construction daily reports through IMS along with the inclusion of new tracking modules for inspection purposes. •Employee Picnic -The Employee Picnic will be held on Saturday,August 13th at Santee Lakes.Employees,guests,and children will enjoy excellent food,while playing garnes, paddling on the lake,or participating in the District's annual horseshoe tournament. •New Hires -There were no new hires in the month of July. Water Conservation and School Education: •Smart Landscape MOU with CWA -The General Manager signed the agreement with the Water Authority confirming that CWA will reimburse the District for up to $20,000 this fiscal year for completing residential,large landscape,follow-up audits and irrigation checkups.Amendment No.4 of the MOU,which outlines the reimbursement cost per service,is attached. •Outreach Event -On July 16th,the District staffed a table at the Chula Vista Center for Sustainable Energy's Community Savings Initiative Kick-off Event.The event was held at the Gorski home in Chula Vista's Rancho del Rey neighborhood. •Water Conservation Programs -The District is offering rebates for a variety of devices as noted below.For a complete listing and an application,visit the District's webpage at www.otaywater.gov and click on °Conservationff • o High Efficiency Clothes Washers:$110 customer rebate o High Efficiency Toilets:$25 o Weather Based Irrigation Controllers:$150 o Weather Based Irrigation Controllers at sites with 1+acre of irrigated landscape:$25 per irrigation station o Rotating Sprinkler (High Efficiency)Nozzles:$3/nozzle (15 minimum) o $l/square foot to replace irrigated turfgrass with water- wise plants •FY 2011 -Water Conservation Activity: o Funded the replacement of 55,000 acre-feet of turfgrass with water-wise plants in landscapes both in front of single- family homes and in common areas maintained by homeowners' associations.The average single-family project involved the replacement of 1,575 square feet of turfgrass,while the average multi-family project involved 4,397 square feet. o Funded six separate irrigation efficiency upgrades, impacting over 96,000 square feet or 2.2 acres of irrigated landscape.Average irrigation efficiency improved from 33% to 74%.The program's goal is to increase efficiency to 70%. o Conducted 281 residential water use surveys and one large landscape audit for Sharp's Chula Vista Medical Facility. o Funded rebates for 893 rotating sprinkler nozzles,1,376 high-efficiency clothes washers,14 residential and 23 commercial smart controllers.In addition,staff distributed 246 showerhead therm kits. 2 Safety and Security: •On July 19th ,the San Miguel Fire Department conducted their annual inspection of the Operations and Warehouse buildings. No citations were issued. •On July 20th and 21st,Anita Fire Service conducted their annual fire extinguisher inspection and service. Purchasing and Facilities: •Purchase Orders -There were 276 purchase orders processed in July 2011 for a total of $27,065,702.99. INFORMATION TECHNOLOGY AND STRATEGIC PLANNING: •System Upgrade -Staff completed the Microsoft Exchange (Outlook)upgrade,including a new more intuitive webmail interface that is more secure,has a powerful search function, and allows viewing multiple mailboxes and calendars via webmail.Exchange 2010 interfaces work well with our new VoIP system,allowing access to voicemails in Outlook. •Security -Staff enhanced our Virtual Private Network (VPN)for staff and vendors who access our network remotely by adding a higher level of encryption (SSL). •Network -Staff completely reorganized the network wiring closet.With the VoIP project and other upgrades,the wiring closet had become cluttered. •GIS ESRI International User Conference Presentation -Ming Zhao and Geoff Stevens submitted a paper entitled "GIS and Asset Management:A Cost Efficient Enterprise Solution.H The paper was accepted and will be published in the issue.Ming and Geoff presented the paper at the 2011 ESRI International Conference at the San Diego Convention Center on July 14th • FINANCE: •Internal Controls -The District hired an independent auditor who specializes in internal controls to come and look at the District's financial processes and provide the District with recommended improvements.The first review,over the cash and investment controls,is complete and shows that the District has very strong controls.A few minor recommendations were implemented by the District to strengthen controls even further.The District is continuously vigilant and always looking for ways to improve the safety and security of the customer's funds.There will be two additional areas reviewed as a part of this overall effort and staff will report those as they are completed. 3 •Special Assessments Staff has successfully transmitted the annual file for water and sewer availability charges to the County of San Diego so these charges can be included in the annual property tax bill.This year's total was $1.2 million affecting 63,354 parcels. •FEMA Claims (December 2010 Storms)-Four FEMA claims have been approved to date,for a total of $16,355.One claim is pending (access road between Treatment Plant and Salt Creek Golf Course),which cannot be completed until after September 30 th due to Habitat Area environmental concerns. •Financial Reporting: o The financial reporting for June 30,2011 is as follows:For the twelve months ended June 30,2011,there are total revenues of $70,931,528 and total expenses of $75,466,647. The expenses exceeded revenues by $4,535,119.These year- end numbers are preliminary until the completion of the audit. o The financial reporting for investments for June 30,2011 is as follows:The market value shown in the Portfolio Summary and in the Investment Portfolio Details as of June 30,2011 total $103,147,607.91 with an average yield to maturity of .797%.The total earnings year-to-date are $1,009,770.66. ENGINEERING AND WATER OPERATIONS: Engineering: •Rancho del Rey Groundwater Well Development:A process design workshop with Engineering and Operations staff was conducted by Tetra Tech on July 6,2011.The workshop provided details necessary for Tetra Tech to submit a draft PDR and 30%drawings on July 29.The As-Needed geotechnical consultant,Montana Testing Geotechnical Laboratory (MTGL),drilled two borings at the site on July 13 to develop structural building and yard piping design criteria for the design of the treatment plant. Activities are underway to secure a sewer discharge permit from the City of Chula Vista,power supply from SDG&E,and other components.The design is anticipated to be complete by the end of calendar year 2011,with construction complete by the end of calendar year 2012.(P2434) •North District -South District Interconnections System:This project consists of installing approximately 5.2 miles of 30- inch diameter pipe from Proctor Valley Rd.in Chula Vista to Paradise Valley Rd.in Spring Valley.The project is currently in the early design phase with Lee &Ro,Inc.working on the preliminary design report.Work includes surveying, geotechnical,environmental,and community outreach.The hydraulic modeling consultant,NCS,provided preliminary hydraulic modeling results to determine pump station design 4 criteria and system impacts that may warrant future CIP projects.(P2511) •Del Rio Rd.&Gillispie Dr.Emergency Interconnections:This project consists of installing two new emergency interconnections with Helix Water District.The contractor is LH Woods.The District expects to receive 50%reimbursement from Helix Water District for the Planning,Design,and Construction costs for this project.Project is on budget and will be completed by August 2011,as scheduled.(P2488,P2499) •657-1 &2 Reservoirs Coating:Blastco has completed the interior and exterior coating of the 657-1 Reservoir.The Volatile organic compounds (VOC)issue was resolved on June 20 by aerating the water,and the tank was put back into service on June 27.The exterior coating of the 657-2 has been removed and the new coating has been applied.The interior coating has been removed,and tank modifications are being finalized before the new coating is applied.Project is on budget and scheduled to be completed by September 2011.(P2505,P2506) •1296-1 &2 Reservoirs Coating:The two reservoirs are completed and in operation.The contractor,West Coast Industrial,re-coated the bottom 8-feet of the 1296-1 reservoir wall and the floor with a 100%solids product to help resolve the previously failed VOC tests.(P2490,P2492) •944-1R Recycled Water Pump Station Upgrades &Enhancements: This project consists of upgrading the 944-1R Pump Station with new pumps,new pipe configurations,and electrical upgrades to keep up with current and future recycled water demands.The contractor,Sepulveda,is working on submittals and schedules. Project is scheduled to be completed in May 2012.(R2091) •Ralph W.Chapman Water Reclamation Facility Upgrade Project: This project consists of an upgrade to the treatment plant to reduce the nitrogen levels in the plant effluent.The upgrade includes modifications to the aeration basins,the addition of energy-efficient turbo blowers and replacement of corroded air piping,a new cover for the filter backwash storage tank,a new filter air scour system and automation enhancements.The Board awarded the construction contract to Newest Construction at the July 15 Board Meeting.Construction is anticipated to begin in August 2011 and will take approximately one (1)year to complete.(R2096) •For the month of June 2011,the District sold 64 meters (88 EDUs)generating $537,753 in revenue.Projection for this period was 12 meters (26 EDUs)with budgeted revenue of $217,086.Projected revenue from July 1,2010 through June 30, 2011 is $2,605,032 and revenues collected to date is $3,758,387 which is 44%above the projection. 5 •For the month of June,staff reviewed five potential easement encroachments and will be gathering all the necessary information prior to informing customers of the removal of the encroachments.The above is part of an on-going program of easement monitoring. The following table summarizes Engineering's project purchases and Change Orders issued during the period of June 11 through July 31, 2011 that were within staff signatory authority: Date Action Amount Contractor/ProjectConsultant California 6/13/11 Check Request $99,220.00 Department of Inspection Fee (P2009) Transportation 6/27/11 Check Request $5,000.00 Kim~Thoa Thi Easement Acquisition Hoang (82019) Construction Management and Inspection Services 6/30/11 P.O.$4,940.00 RBF Consulting for trench settlement in the City of E1 Cajon (P2009) 6/30/11 P.O.$4,419.81 Lee &Ro Design Services (P2513 &S2019) 6/30/11 P.O.$4,500.00 Atkins Consulting Services for boron analysis (P2451) Clarkson Lab &Bacteriological 7/1/11 P.O.$15,000.00 Supply Inc Sampling and Testing Services (Various) Underground 7/18/11 P.O.$5,000.00 Service Alert of Underground alerts Southern (PIOOO) California Excavation Fee, County of San Inspection Deposit, 7/18/11 Check Request $13,841.25 Diego Project Review Deposit (S2019,S2020,S2022, S2026) 7/19/11 P.O.$9,000.00 James Naughton Three permanent utility Jr.I MAl acquisitions (P2514) LN Real Estate Acquisition of 7/19/11 Check Request $5,900.00 LLC temporary construction easement (S2 019) Change Order Installation of 7/23/11 $9,537.00 Blastco Cathodic Test Station#2 Boxes (P2505 &P2506) Water Operations: •Total number of potable water meters is 48,403. 6 •Potable sales in units are 4.98%below budget and recycled sales are 10.45%below budget through June 2011. •Potable water purchases for June 2011 were 3,020.0 acre-feet, compared to budgeted purchases of 2,978.7 acre-feet which is 1.4%above the budget.The cumulative variance were 3.9%below budget and 24.7%below the CWA allocation. Potable Water Purchases 45.000 40.000 35.000 30.000 25,000 20,000 15,000 10,000 5,000 ~ ~J1.....- ~...n--.- ~~ ~~~Purchases --Budget 0'-.-Allocation Jul-10 Aug- 10 Sep-Oct-10 Nov- 10 10 Dec-Jan-11 Feb- 10 11 Mar-Apr-11 May-Jun-11 11 11 •Recycled water consumption for the month of June is as follows: Total consumption was 456.6 acre-feet or 148,738,304 gallons and the average daily consumption was 4,957,943 gallons per day. Total number of recycled water meters is 689. Total recycled water consumption to date for FY 2011 is 3,852 acre-feet. •Wastewater flows for the month of June were as follows: • • • • • Total basin flow,gallons per day:2,006,143. Spring Valley Sanitation District Flow to Metro,gallons per day:663,563. Total Otay flow,gallons per day:1,338,794. Flow Processed at the Ralph W.Chapman Water Recycling Facility,gallons per day:1,315,077. Flow to Metro from Otay Water District,gallons per day: 168,604. 7 General Mq1lager 8 6,081 wastewater ~50"Dwgo Co.myW.."A."",,,,,, AMENDMENT NO.4 MEMORANDUM OF UNDERSTANDING BETWEEN OTAY WATERDISTRlCf AND THE SANDIEGO COUNTY WATER AUTHORlTY This Memorandum ofUnderstanding between the San Diego County Water Authority and the Otay Water District,for the Water Authority's SMART Landscape Program,which was executed by the parties on September 13,2007 and amended on July 7,2009,November 23, 2009 and July 21,2010,is hereby further amended as follows: 1.Program name is changed from "SMART Landscape Program"to "WaterSmart Landscape Field Services". 2.Section Ib.ii.!,Water Authority Obligations,is amended as follows: Should Agency elect to self-perform authorized services,Water Authority shall reimburse Agency the maximum amount listed on Exhibit E:Agency Election Form, section 2. 3.Section 6,Term ofAgreement,the first sentence is amended as follows: The term ofthis MOU shall be from the date ofexecution through June 30,2012,or until superseded by an alternate agreement,whichever occurs first. 4.The following attachments are amended: Exhibit A -Exhibit is renamed Summary ofServices and Mini Audit is renamed Irrigation Checkup. Exhibit C -Mini Audit is moved to elected services and renamed Irrigation Checkup. Exhibit D -Mini Audit is moved to elected services and renamed Irrigation Checkup. Exhibit E -The FY 2012 Agency Election Form replaces the FY 2011 Agency Election Form. 5.All other terms,covenants,and conditions in the original MOU as amended shall remain in full force and effect and shall be applicable to this amendment. The individuals executing this Fourth Amendment to the MOD represent and warrant that they have the legal capacity and authority to do so on behalfoftheir respective legal entities. IN WITNESS WHEREOF,the parties have executed this Fourth Amendment to the MOD on the following date. DATED:~--";:j=~,,,-----~.2011 San Diego c~rAuthority B~~~,,~Q-k:By:.-F-:-=--'----'-'J.--'-'--'-----_2.0--.Dennis CUShm~~ ~-Assistant General Manager Approved as to form: General Counsel,Daniel S.Hentschke By::2 Rosann Gallien, EXHIBIT A-4:SUMMARY OF SERVICES CommerciaJlMuiti-family Seroice Full Audit Follow-up Audit Irrigation Checkup Residential Seroice Residential Survey EXHIBIT C-4:AGENCY REIMBURSEMENT RATES For agencies electing to perform their own services Elected Service Amount Paid to Agency In-Kind Cost of Service Agency by Water Service (Value)(Market Value) Authoritv Full Audit $200.00/acre up to $0.00 $200.00/acre up to $3,000.00 maximum $3,000.00 maximum Follow-up Audit $156.50 $156.50 .$313.00 Residential Survey $50.00 $50.00 $100.00 Irrigation Checkup $156.50 $156.50 $313.00 EXHIBIT D-4:WATER AUTHORITY SERVICE FEES For agencies electing to have the Water Authority provide services through its Regional contractor; Elected Service Water Authority Share Agency Share Cost of Service (MarketValue) Full Audit $200.00/acre up to $0.00 $200.00/acre up to $3,000.00 maximum $3,000.00 maximum Follow-up Audit $156.50 $156.50 $313.00 Residential Survey $50.00 $50.00 $100.00 Irrigation Checkup $156.50 $156.50 $313.00 EXHIBIT E-4: SAN DIEGO COUNTY WATER AUTHORITY WATER CONSERVATION PROGRAMS FY2012 AGENCY ELECTION FORM Elected Services: Agency will elect to have all services selected below performed by either (1)Water Authority or (2)Agency.Agency may select either section (1)or section (2),not both. (1)Agency elects to have the Water Authority perform the following services (check all that apply): Full Audits _Follow-up Audits _Residential Surveys _Irrigation Checkups Agency Co-Fundingfor Section (1)Elected Services:Not to Exceed Amount Agency shall provide a maximum of $,for Fiscal Year 2012. (2)Agency elects to perform the following services with trained staff (check all that apply): ~ull Audits ~ollow-up Audits /Residential Surveys ~rigation Checkups Water Authority Fundingfor Section (2)Elected Services:Not to Exceed Amount Water Authority shall provide a maximum of $20,000.00 for Fiscal Year 2012. IMX~ota;rWate;District Mark Watton General Manager aTAY WATER DlSTRlCT PRELIMINARY COMPARATIVE BUDGET SUMMARY FORTWELVE MONTHS ENDED JUNE 30,2011 Exhibit A REVENUES: Water Sales Energy Charges System Charges Penalties MWD &CWA Fixed Charges Total Water Sales Reclamation Sales Sewer Charges Meter Fees Capacity Fee Revenues Betterment Fees for Maintenance Non-Operating Revenues Tax Revenues Interest General Fund Draw Down Transfer from OPES Total Revenues EXPENSES: Potable Water Purchases Recycled Water Purchases CWA-Infrastructure Access Charge CWA-Customer Service Charge CWA-Emergency Storage Charge MWD-Capacity Res Charge MWD-Readiness to Serve Charge Subtotal \Vater Purchases Power Charges Payroll &Related Costs Material &Maintenance Administrative Expenses Legal Fees Expansion Reserve Betterment Reserve Replacement Reserve Transfer to SewerGeneral Fund Transfer to General Fund Reserve Total Expenses EXCESS REVENUES(EXPENSE) F:/MORPT/FS2011-0611 Part 1 Anoual Budget $36,560,100 1,854,600 9,532,200 747,600 7,639,400 56,333,900 7,620,600 2,270,500 50,300 1,095,300 657,400 1,948,300 3,843,900 296,200 1,657,500 1,220,000 $76,993,900 $26,238,700 1,179,900 1,550,700 1,315,200 2,875,200 665,100 1,232,400 35,057,200 2,520,700 16,749,400 3,769,500 5,130,400 451,200 2,775,000 1,435,000 6,965,000 390,500 1,750,000 $76,993,900 $- YTD YTD Actual Variance Var 0/0 $32,236,018 $(4,324,082)(11.8%) 1,693,186 (161,414)(8.7%) 9,415,229 (116,971)(1.2%) 665,931 (81,669)(10.9%) 7,421,386 (218,014)(2.9%) 51,431,750 (4,902,150)(8.7%) 6,762,039 (858,561)(11.3%) 2,415,763 145,263 6.4% 91,152 40,852 81.2% 1,063,234 (32,066)(2.9%) 560,229 (97,171)(14.8%) 2,052,817 104,517 5.4% 3,533,567 (310,333)(8.1%) 143,477 (152,723)(51.6%) 1,657,500 0.0% 1,220,000 0.0% $70,931,528 $(6,062,372)(7.9%) $25,323,291 $915,409 3.5% 1,264,681 (84,781)(7.2%) 1,550,466 234 0.0% 1,315,224 (24)(0.0%) 2,884,050 (8,850)(0.3%) 660,282 4,818 0.7% 1,232,240 160 0.0% 34,230,234 826,966 2.4% 2,250,357 270,343 10.7% 17,276,329 (526,929)(3.1%) 3,732,575 36,925 1.0% 4,318,976 811,424 15.8% 342,676 108,524 24.1% 2,775,000 0.0% 1,435,000 0.0% 6,965,000 0.0% 390,500 0.0% 1,750,000 0.0% $75,466,647 $1,527,253 2.0% $(4,535,119)$(4,535,119) 8/2/2011 11:29 AM OTAY WATER DISTRICT INVESTMENT PORTFOLIO REVIEW JUNE 30,2011 INVESTMENT OVERVIEW &MARKET STATUS: The federal funds rate has remained constant now for over 30-months.On December l6,2008,at the Federal Reserve Board's regular scheduled meeting,the federal funds rate was lowered from 1.00%to "a target range ofbetween Zero and 0.25%"in response to the nation's ongoing financial crisis,as well as banking industry pressure to ease credit and stimulate the economy.This marked the ninth reduction in a row since September 18,2007,when the rate was 5.25%.There have been no further changes made to the federal funds rate at the Federal Reserve Board's subsequent regular scheduled meetings,the most recent of which was held on June 22,201l. They went on to say:"The Committee contillues to anticipate that economic cOllditions are likely to warrant exceptionally low levels ofthe federal funds rate for em extended period." Despite the large drop in available interest rates,the District's overall effective rate of return at June 30th was 0.80%,which was a decrease of 5 basis points (0.05%)from the prior month.At the same time the LAIF return on deposits has decreased over the last several months,reaching an average effective yield of 0.45%for the month of June 20ll.Based on our success at maintaining a competitive rate of return on our portfolio during this extended period of interest rate declines,no changes in investment strategy are being considered at this time. In accordance with the District's Investment Policy,all District funds continue to be managed based on the objectives,in priority order,of safety, liquidity,and return on investment. PORTFOLIO COMPLIANCE:June 30,2011 8.01: 8.02: 8.02: 8.03: 8.04: 8.05: 8.06: 8.07: 8.08: 12.0: Investment Treasury Securities Local Agency Investment Fund (Operations) Local Agency Investment Fund (Bonds) Federal Agency Issues Certificates of Deposit Short-Term Commercial Notes Medium-Term Commercial Debt Money Market Mutual Funds San Diego County Pool Maximum Single Financial Institution State Limit 100% $50 Million 100% 100% 30% 25% 30% 20% 100% 100% Otay Limit 100% $40 Million 100% 100% 15% 15% 15% 15% 100% 50% Otay Actual o $31.77 Million 3.93% 47.70% 0.07% o o o 16.52% 0.94% Target:Meet or Exceed 100%of LAiF Performance Measure F-12 Return on Investment 4lhQlrFYIO IstQlrFYl1 0':;6 0.51 1.08 1.13 0.52 0.62 2nd Qll"3rJ Qlr AprFYll May FYI J JuneFY11 4thQlrFY11FYII FYII 0.47 052 0.59 0.41 0.45 0.48 0.92 0.K9 0.86 0.85 0.80 0.84 0.45 0.37 0.27 0.44 0.35 0.35 Month lLAIF .Olay ODi1le'ence -----------..-------- $49,147,000 47.70%Otay Water District Investment Portfolio:06/30/11 $1,044,293 1.01% $52,833,322 51.28% OBanks (Passbook/Checking/CD).Pools (LAIF &County)o Agencies &Corporate Notes OlAY Portfolio Management Portfolio Summary June 30,2011 Investments Federal AgencyIssues-Callable Certificates ofDeposit -Bank Local Agel""lqllnvestmentFuod (LAIF) San Diego County Pool P"Market Book "of Daysto YTM YTM Value Value Value Portfolio T.~Maturity 360 Equiv.365 Equiv. 49.147,000.00 49.234.217.02 49.148.158.75 48.15 882 737 1.045 1.059 79.108.00 79.108.00 79.108.00 0.08 730 205 1.380 1.399 35.820.150.35 35.876.619.74 35.820.150.35 35.10 1 1 0.442 0.448 17,013,171.57 16.992,478.65 17.013,171.57 16.67 1 1 0.828 0.840 102,059,429.92 102,182,423.41 102,058,588.67 100.00"10 .26 356 0.797 0.808 Investments Cash (not induded in Yield calculations Total Cash and Investments 965.184.50 103,024.614.42 965.184.50 103,147,607.91 965.164.50 103,023,773.17 .26 356 0.042 0.797 0.043 0.808 _____.,F.:;s"c"a.:'.:y::'ear En:cd:c;n"g~=c-_ 1,009,770.66 Total Earnings June30 Month Ending Fiscal YearTo Date Current Year 68,563.25 1.009.770.66 Average Daily Balance 103,763,282.51 105,380,585.04 Effective Rate of Return 0.80%1.25% I hereby certify that the investments c~ed in this report are made in accordance with the District Investment Policy Number 27 adopted by the Board of Directors on September 6,2006.The market value information provided by..Jnte~ve Data Corporation.The investments provide sufficient liquidity to meet the cash flow requirements of the District for the next six months ofexpenditures.--::J"--.-........-:?.._-.·;·...-c:·-~-~3-2.-II Joseph Bepeh~.'ChietF?nancial Officer Reporting period 06/01/2011-06130/2011 Run Oate.0711412011.IS.07 Portfolio OTAY AP PM lPRF PM1l7.3.0 ReportVef_7_32 OTAY Portfolio Management Page 1 Portfolio Details -Investments June 30,2011 Average Purchase Stated YTM Days to Maturity CUSIP Investment#Issuer Balance Date Par Value MarketValue Book Value Rate S&P 360 Maturity Date Federal Agency Issues-Callable 313371MR4 2174 Federal Home loan Bank 11/2212010 2.000,000.00 1,998.980.00 2,000,000.00 0.700 AM 0.690 691 05/2212013 313373CWO 2193 Federal Home Loan Bank 04/2512011 2,000.000.00 2,001,520.00 2,000,000.00 1.375 AM 1.356 847 1012512013 313373K27 2194 Federal Home Loan Bank 05/1212011 2.000,000.00 2,001,920.00 2.000,000.00 1.200 AM 1.164 773 08f1212013 313373MC3 2195 Federal Home Loan Bank 05/12/2011 1,775,000.00 1.776,810.50 1,775,000.00 1.200 AM 1.184 865 11/1212013 313373QJ4 2196 Federal Home Loan Bank 05/2512011 2,000,000.00 2.006,360,00 2,000,000.00 1.125 AM 1.110 878 11125/2013 313373UD2 2197 Federal Homeloan Bank 06/0912011 2,000,000.00 2,005,440.00 2,000,000.00 1.050 AM 1.036 892 1210912013 313373V25 2198 Federal Homeloan Bank 06/06/2011 2,000,000.00 2,002,080.00 2,000,000.00 0.875 AM 0.863 798 09/0612013 313373W\10 2199 Federal Homeloan Bank 06/06/2011 2,000,000.00 2,000,220.00 2,000,000.00 1.100 AM 1.085 889 1210612013 313374ElO 2201 Federal HomeLoan Bank 06/30/2011 2,000,000.00 1,993.300.00 2,000,000.00 0.875 0.863 913 12130/2013 3133747H7 2202 Federal Homeloan Bank 06/27/2011 2,000,000.00 1,997.800.00 2,000,000.00 0.875 AM 0.863 910 12/27/2013 3137EACK3 2146 Federal Homeloan Mortgage 05/28/2010 2,000,000.00 2,015,920.00 1,999,524.31 1.147 AM 1.154 392 07/27/2012 3137EACKJA 2148 Federal Homeloan Mortgage 05127/2010 1,030,000.00 1,038.198.60 1,030,000.00 1.125 AM 1.109 392 07127/2012 3137EACK3B 2149 Federal Homeloan Mortgage 05/27/2010 2,707,000.00 2,728,547.72 2,707,000.00 1.125 AM 1.109 392 07/27/2012 3134G1MD3 2153 Federal Homeloan Mortgage 07/2212010 2,000,000.00 2.000,960.00 2,000,000.00 1.100 AM 1.085 571 01/2212013 3134G1PK4 2158 Federal Home Loan Mortgage 08/11/2010 2,000,000.00 2,001,820.00 2,000,000.00 1.000 AM 0.986 591 02/11/2013 3134G1Y40 2183 Federal Home Loan Mortgage 02115/2011 2,000,000.00 2,009,100.00 2,000,000.00 1.100 AM 1.085 776 08/15/2013 3134G13K8 2185 Federal Home Loan Mortgage 02124/2011 2,000,000.00 2,002,200,00 2,000,000.00 1.000 AM 0,986 693 05/24/2013 3134G12U7 2186 Federal Home Loan Mortgage 02123/2011 2,000,000.00 2,001,040.00 2,000,000.00 0.750 0.740 511 11123/2012 3134G14B7 2187 Federal Home Loan Mortgage 02/23/2011 2,000,000.00 2,002,820.00 2,000,000.00 1.350 AM 1.332 784 08/23/2013 3134G15C4 2188 Federal Home Loan Mortgage 03/07/2011 2,000,000.00 2,003,600.00 2,000,000.00 1.250 AM 1.233 707 06/07/2013 3134G17L2 2190 Federal Home Loan Mortgage 03/23f2011 2,000,000.00 2,004,420.00 2,000,000.00 1.350 1.332 615 09/23/2013 3134G2MC3 2200 Federal Home Loan Mortgage 06/27f2011 2,000,000.00 1,996,780.00 2,000,000,00 0.800 AM 0.789 819 09/27/2013 3136FPQG5 2171 Federal National MortageAssoc 10/26/2010 635,000.00 636.270.00 635,000.00 0.850 AM 0.837 756 07/26/2013 3136FPSK4 2172 Federal National MortageAssoc 10/29/2010 2,000,000.00 2,000.780.00 1.999,634.44 0.675 AM 0.676 668 04/29/2013 3136FP5X1 2182 Federal National MortageAssoc 01/28/2011 2,000.000.00 2.000,760.00 2,000,000.00 0,860 AM 0,848 577 01/28/2013 3136FRFMO 2192 Federal National MortageAssoc 04/27/2011 1,000,000.00 1,006.570.00 1,000,000.00 2.000 AM 1,973 1,762 0412l/2016--------- Subtotal and Average 51,746,132.83 49,147,000.00 49,234,217.02 49,146,158.75 1.045 737 Certificates of Deposit·Bank 2050003183-4 2121 California Bank &Trust 01/2212010 79,108.00 79,108.00 79,108.00 1.380 1.380 205 01/22/2012--------- Subtotal and Average 79,108.00 79,108.00 79,108.00 79,108.00 1.380 206 Local Agency Investment Fund (LAIF) LAIF 9001 STATE OF CALIFORNIA 07/0112004 31,768.986.12 31,819,068.97 31,766,986.12 0.448 0.442 LAIF BABS 2010 9012 STATE OF CALIFORNIA 04/21/2010 4,051,164.23 4,057,550.77 4,051,164.23 0.448 0.442--------- Subtotal and Average 35,113,483.68 35,820,150.35 35,876,619.74 35,820,150.35 0.442 Portfolio OTAY AP Run Oa16_08J0212O11 -13 51 PM (PRF]M2)7.3.0 ReportVer.7.3.2 OlAY Portfolio Management Portfolio Details -Investments June 30,2011 Page 2 Average Purchase Stated YTM Days to Maturity CUSI?Investment#Issuer Balance Date ParValue MarketValue Book Value Rate S&P 360 Maturity Date San Diego County Pool so COUNTY POOL 9007 San DiegoCounty 07/01/2004 17,013.171.57 16,992.478.65 17,013,171.57 0.671 0.662--------- Subtotal and Average 13,513,171.57 17,013,171.57 16,992,478.65 17,013,171.57 0.662 Total and Average 102,442,216.78 102,059,429.92 102,182,423.41 102,058,588.67 a.no 356 Run Date:08102I2011 •13 51 Portfolio OTAY AP PM(PRF_PM2)7.3.0 OTAY Portfolio Management Portfolio Details -Cash June 30,2011 Page 3 Average Purchase Stated YTM Days to CUSIP Investment #Issuer Balance Date ParValue Market Value BookValue Rate S&P 360 Maturity Union Bank UNION MONEY 9002 STATE OF CALIFORNIA 07/0112004 10,056.49 10,056.49 10,056.49 0.050 0.049 PETTY CASH 9003 STATE OF CALIFORNIA 07/0112004 2,950.00 2,950.00 2,950.00 0.000 UNION OPERATING 9004 STATE OF CALIFORNIA 07/0112004 887,572.12 887,572.12 887,572.12 0.028 0.028 PAYROLL 9005 STATE OF CALIFORNIA 07/0112004 23.784.71 23,784.71 23,784.71 0.000 RESERVE·l0 COPS 9010 STATE OF CALIFORNIA 04/2012010 8,383.59 8.383.59 8,383.59 0.000 RESERVE·,aBASS 9011 STATE OF CALIFORNIA 04/2012010 20,642.94 20,642.94 20,642.94 0.001 0.001 UBNA-2010 BOND 9013 STATE OF CALIFORNIA 04120/2010 51.89 51.89 51.89 0.147 0.145 UBNA-FLEX AGGT 9014 STATE OF CALIFORNIA 01/01/2011 11,742.76 11,742.76 11,742.76 0.000 Average Balance 0.00 Total Cash and Investments 102,442,216.78 103,024,614.42 103,147,607.91 103,023,773.17 0.770 356 Run Date:QM)2J2011 -13.51 Portfolio OTAY AP PM (PRF]M2)7.3.0 OlAY Activity Report Sorted By Issuer July 1,2010 -June 30,2011 CUSIP Investment #I Issuer Percent of Portfolio ParValue Beginning Current Transaction Balance Rate Date Purchases or Deposits ParValue Redemptions or Withdrawals Ending Balance Issuer:Berkshire Hathaway Fin Corporate Notes 084664AF8 2094 Berkshire Hathaway Fin Subtotal and Balance 2,000,000.00 4.200 12/15/2010 0.00 0.00 2,000,000.00 2,000,000.00 0.00 Issuer Subtotal 0.000%2,000,000.00 0.00 2,000,000.00 0.00 Issuer:STATE OF CALIFORNIA Issuer Subtotal 35.705°k Subtotal and Balance Subtotal and Balance Local Agency Investment Fund (LAIF) LAIF 9001 STATE OF CALIFORNIA LAIF BASS 2010 9012 STATE OF CALIFORNIA 965,184.50 36,785,334.85 35,820,150.35 O.osa 198.948,067.38 198,948.020.88 150.00 0.00 0.028 5.772,064.52 5,929,204.39 2,571.025.04 2.572,217.59 7,692.83 0.00 0.001 20,217.93 0.00 0.147 10,000,000.00 10.000,000.00 100,000.00 88,257.24 1,083,666.90 217,419,217.70 217,537,700.10 0.448 108.564.500.39 95.300,463.98 0.448 51,406.86 12.000.242.63 34,504,949.71 108,615,907.25 107,300,706.61 35,588,616.61 326,035,124.95 324,838,406.71 STATE OF CALIFORNIA STATE OF CALIFORNIA STATE OF CALIFORNIA STATE OF CALIFORNIA STATE OF CALIFORNIA STATE OF CALIFORNIA STATE OF CALIFORNIA STATE OF CALIFORNIA Union Bank UNION MONEY 9002 PEnYCASH 9003 UNION OPERATING 9004 PAYROll 9005 RESERVE-10 COPS 9010 RESERVE-10 BASS 9011 UBNA·2010 BOND 9013 UBNA·FlEXACCT 9014 Issuer:California Bank &Trust Certificates of Deposit-Bank Subtotal and Balance 79,108.00 79,108.00 Issuer Subtotal 0.077%79,108.00 0.00 0.00 79,108.00 Run Dale.0810212011 -13:51 Portfolio OTAY AP DA (PRF_DA)7.2.0 Report Ver.7.3.2 OTAY Activity Report Page 2 July 1,2010 -June 30,2011 Par Value ParValue Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment#Issuer ofPortfolio Balance Rate Date Deposits Withdrawals Balance Issuer:Federal Fann Credit Bank Federal Agency Issues·Callable 31331GZ36 2155 Federal Farm Credit Bank 1.550 07/16/2010 4,000,000.00 0.00 31331GZ36 2155 Federal Farm Credit Bank 10/19/2010 0.00 4,000,000.00 31331JYF4 2161 Federal Farm Credit Bank 0.900 08/19/2010 2,000,000.00 0.00 31331JYF4 2161 Federal Farm Credit Bank 11/19/2010 0.00 2,000,000,00 31331JZV8 2164 Federal Farm Credit Bank 0.950 09/0312010 2,000,000.00 0.00 31331JZV8 2164 Federal Farm Credit Bank 06/06/2011 0.00 2,000,000.00 31331JM75 2170 Federal Farm Credit Bank 0.900 10/1212010 2,000,000.00 0.00 31331JM75 2170 Federal Farm Credit Bank 06113/2011 0.00 2,000,000.00 Subtotal and Balance 0.00 10,000,000.00 10,000,000.00 0.00 IssuerSubtotal O.OOD°1-0.00 10,000,000.00 10,000,000.00 0.00 Issuer:Federal Home Loan Bank Federal Agency Issues-Callable 3133XXK22 2124 Federal Home Loan Bank 1.250 07/0812010 0.00 2,000,000.00 3133XXRW9 2128 Federal Home loan Bank 1.250 03/2912011 0.00 2,000,000.00 3133XY2C8 2130 Federal Home Loan Bank 1.800 07/26/2010 0.00 2,000,000.00 3133XY5H4 2131 Federal Home loan Bank lA50 07/30/2010 0.00 2,000.000.00 3133XTAS4 2133 Federal Home loan Bank 1.600 08/06/2010 0.00 2.000,000.00 3133XY004 2138 Federal Home loan Bank 1,700 08/13/2010 0.00 2,000,000.00 3133XYCTO 2139 Federal Home loan Bank 1.500 08113/2010 0.00 2,000,000.00 3133XYFP5 2142 Federal Home loan Bank 1.020 08125/2010 0.00 2,000,000.00 3133XYNSO 2145 Federal Home Loan Bank 1.280 06fl0/2011 0.00 2,000,000.00 3133XYSH9 2147 Federal Home loan Bank 1.125 06f21/2011 0.00 2,000,000.00 3133XYXR1 2150 Federal Home Loan Bank 1.250 07114/2010 2,000,000.00 0.00 3133XYXR1 2150 Federal Home loan Bank 10114/2010 0.00 2,000,000.00 313370809 2156 Federal Home loan Bank 0.800 07127/2010 2,000,000.00 0.00 313370B09 2156 Federal Home Loan Bank 0812712010 0.00 2,000,000.00 313370NF1 2160 Federal Home Loan Bank 0.800 0812012010 2,000,000.00 0.00 313370NFl 2160 Federal Home Loan Bank 1012012010 0.00 2,000,000.00 313370P77 2162 Federal Home Loan Bank 0.850 08125/2010 2,000,000.00 0.00 313370P77 2162 Federal Home Loan Bank 03/2512011 0.00 2,000,000.00 313370JRO 2163 Federal Home Loan Bank 0.850 08/2712010 2,875,000.00 0.00 313370JRO 2163 Federal Home Loan Bank 09/2712010 0.00 2,875,000.00 313370UP1 2165 Federal Home Loan Bank 0.875 09/13/2010 2,000,000.00 0.00 Portfolio OTAY AP Run Date.08/02/2011 -13.51 DA(pRF_CAl 72.0 RepOl1 VeL 7.3.2 OTAY Activity Report Page 3 July 1,2010 -June 30,2011 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment#Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Issuer:Federal Home Loan Bank Federal Agency Issues-Callable 313370UP1 2165 Federal Home Loan Bank 05f16/2011 0.00 2,000,000.00 313370VGO 2166 Federal Home Loan Bank 0.800 09f21/2010 2,000,000.00 0.00 313370VGO 2166 Federal Home Loan Bank 10/21/2010 0.00 2,000,000.00 313371LKO 2173 Federal Home Loan Bank 0.700 11/16/2010 2,000,000.00 0.00 313371LKO 2173 Federal Home Loan Bank 05/16/2011 0.00 2,000,000.00 313371MR4 2174 Federal Home Loan Bank 0.700 11f2212010 2,000,000.00 0.00 313371RA6 2175 Federal Home Loan Bank 0.700 12107/2010 2,000,000.00 0.00 313371RA6 2175 Federal Home Loan Bank 05/07/2011 0.00 2,000,000.00 313371U20 2176 Federal Home Loan Bank 1.000 12103/2010 2,000,000.00 0.00 313371U20 2176 Federal Home Loan Bank 05/17/2011 0.00 2,000,000.00 313372B45 2181 Federal Home Loan Bank 1.375 0110512011 2,000,000.00 0,00 313372B45 2181 Federal Home Loan Bank 04/05/2011 0.00 2,000,000.00 313372GVO 2184 Federal Home Loan Bank 1.050 02/08/2011 2,000,000.00 0.00 313372GVO 2184 Federal Home Loan Bank 04/08/2011 0.00 2,000,000.00 3133736B3 2191 Federal Home Loan Bank 1.000 03/28/2011 2,000,000.00 0.00 3133736B3 2191 Federal Home Loan Bank 06/28/2011 0.00 2,000,000.00 313373CWO 2193 Federal Home Loan Bank 1.375 04/25/2011 2,000,000.00 0.00 313373K27 2194 Federal Home Loan Bank 1.200 05/12/2011 2,000.000.00 0.00 313373MC3 2195 Federal Home Loan Bank 1.200 05/1212011 1,775,000.00 0.00 313373QJ4 2196 Federal Home Loan Bank 1.125 05/25/2011 2,000,000.00 0.00 313373UD2 2197 Federal Home Loan Bank 1.050 06/09/2011 2,000,000.00 0.00 313373V25 2198 Federal Home Loan Bank 0.875 06/06/2011 2,000,000.00 0.00 313373WVO 2199 Federal Home Loan Bank 1.100 06/06/2011 2,000,000.00 0.00 313374ELO 2201 Federal Home Loan Bank 0.875 06/30/2011 2,000,000.00 0.00 3133747H7 2202 Federal Home Loan Bank 0.875 06/27/2011 2,000,000.00 0.00 Subtotal and Balance 20,000,000,00 46,650,000.00 46,875,000.00 19,775,000.00 IssuerSubtotal 19.194%20,000,000,00 46,650,000.00 46,875,000,00 19,775,000,00 Issuer:Federal Home Loan Mortgage Federal Agency Issues·Callable 3134G1AW4 2134 Federal Home Loan Mortgage 1,300 08/10/2010 000 2,000,000.00 3134G1DE1 2140 Federal Home loan Mortgage 1650 11/19/2010 0.00 2,000,000.00 3134G1EH3 2144 Federal Home Loan Mortgage 1.300 09/08/2010 0.00 2,000,000.00 3134G1KZ6 2151 Federal Home Loan Mortgage 1.000 07/20/2010 2,000,000.00 0.00 Portfolio OTAY AP Run Date:08/0212011 -13:51 DA (PRF_OA)7.2.0 ReportVer,7,3,2 OTAY Activity Report Page 4 July 1,2010 -June 30,2011 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment #Issuer ofPortfolio Balance Rate Date Deposits Withdrawals Balance Issuer:Federal Home Loan Mortgage Federal Agency Issues·Callable 3134G1KZ6 2151 Federal Home Loan Mortgage 01/20/2011 0.00 2.000,000.00 3134G1MD3 2153 Federal Home Loan Mortgage 1.100 07/22/2010 2,000,000.00 0.00 3134G1PK4 2158 Federal Home Loan Mortgage 1.000 08/11/2010 2,000,000.00 0.00 3134G1TU8 2167 Federal Home Loan Mortgage 0.800 09/2812010 2,000,000.00 0.00 3134GHU8 2167 Federal Home Loan Mortgage 03/28/2011 0.00 2,000,000.00 3134G1UR3 2169 Federal Home Loan Mortgage 0.900 09/26/2010 2,000,000.00 0.00 3134G1UR3 2169 Federal Home loan Mortgage 03f2BI2011 0.00 2,000,000.00 3134G1C69 2177 Federal Home loan Mortgage 0.B50 12/20/2010 2,000,000.00 0.00 3134G1C69 2177 Federal Home loan Mortgage 06/20/2011 0.00 2,000,000.00 3134G1G32 2179 Federal Home loan Mortgage 1.000 12/2812010 2,000.000.00 0.00 3134G1G32 2179 Federal Home loan Mortgage 03128/2011 0.00 2.000,000.00 3134G1PB1 2160 Federal Home loan Mortgage 1.000 01/07/2011 2,000,000.00 0.00 3134G1P81 2180 Federal Home loan Mortgage 04/07/2011 0.00 2,000,000.00 3134G1Y40 2183 Federal Home loan Mortgage 1.100 02/15/2011 2,000,000.00 0.00 3134G13K8 2185 Federal Home loan Mortgage 1.000 02124/2011 2,000,000.00 0.00 3134G12U7 2186 Federal Home loan Mortgage 0.750 02/23/2011 2,000,000.00 0.00 3134G14B7 2187 Federal Home loan Mortgage 1.350 02123/2011 2,000,000.00 0.00 3134G15C4 2188 Federal Home loan Mortgage 1.250 03/07/2011 2,000,000.00 0.00 3134G12E3 2189 Federal Home loan Mortgage 1.200 03/04/2011 2,000,000.00 0.00 3134G12E3 2189 Federal Home loan Mortgage 05/16/2011 0.00 2,000,000.00 3134G17l2 2190 Federal Home loan Mortgage 1.350 03/23/2011 2,000.000,00 0.00 3134G2MC3 2200 Federal Home loan Mortgage 0.800 06/27/2011 2.000.000,00 0.00 Subtotal and Balance 11,737,000.00 32,000,000.00 20,000,000.00 23,737,000.00 IssuerSubtotal 23.040%11,737,000.00 32,000,000.00 20,000,000.00 23,737,000.00 Issuer:Federal National Mortage Assoc Federal Agency Issues·Callable 31398AC91 2117 Federal National MortageAssoc 1.500 07/20/2010 0.00 2,000,000.00 3136FJR45 2118 Federal National MortageAssoc 2.750 01/25/2011 0.00 2.000,000.00 3136FJ4T5 2120 Federal National MortageAssoc 1.500 08116/2010 0.00 2.000,000.00 31398AH88 2123 Federal National MortageAssoc 1.500 09/24/2010 0.00 2.000.00000 3136FMFRO 2127 Federal National MortageAssoc 1.500 04105/2011 0.00 2,000,000.00 3136FMJF2 2129 Federal National MortageAssoc 1.250 01114/2011 0.00 2,000.000.00 3136FMPB4 2132 Federal National Mortage Assoc 1.480 04/29/2011 0.00 2,000,000.00 Portfolio OTAY AP Run Date:0810212011 -13:51 DA (PRF_DA)7.2,0 Report Ver.7.3.2 OlAY Activity Report Page 5 July 1,2010 -June 30,2011 ParValue ParValue Percent Beginning Current Transaction Purchases or Redemptionsor Ending CU$IP Investment#Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Issuer:Federal National Mortage Assoc Federal Agency Issues-Callable 31398AQ47 2135 Federal National ManageAssoc 1.600 11/05/2010 0.00 2,000,000.00 3136FMRH9 2136 Federal National ManageAssoc '.550 04/2912011 0.00 2,000,000.00 3136FMRGl 2137 Federal National MortageAssoc 1.300 11/1012010 0.00 2,000,000.00 31398AS78 2143 Federal National MortageAssoc 1.400 08/25/2010 0.00 2,000.000.00 31398AW65 2152 Federal National MortageAssoc 1.000 07/2712010 2,000,000.00 0.00 31398AW65 2152 Federal National MortageAssoc 1012712010 0.00 2,000,000.00 3136FMX.82 2154 Federal National MonageAssoc 1.000 07126/2010 2,000,000,00 0.00 3136FMX82 2154 Federal National MonageAssoc 0112612011 0.00 2,000,000.00 3136FM4Nl 2157 Federal National MortageAssoc 1.000 08111/2010 2,000.000.00 0.00 3136FM4Nl 2157 Federal National MortageAssoc 0211112011 0.00 2,000,000.00 3136FM6A7 2159 Federal National MortageAssoc 1.000 0811912010 2,000,000.00 0.00 3136FM6A7 2159 Federal National MortageAssoc 1111912010 0.00 2,000,000.00 3136FPHU4 2168 Federal National MortageAssoc 0.875 0912112010 2,000,000.00 0.00 3136FPHU4 2168 Federal National MortageAssoc 06/2112011 0.00 2,000,000.00 3136FPQG5 2171 Federal National MortageAssoc 0.850 10/2612010 635,000.00 0.00 3136FPSK4 2172 Federal National MortageAssoc 0.675 10/2912010 2,000,000.00 0.00 3136FPL47 2178 Federal National Mortage Assoc 1.000 12/2712010 2,000,000.00 0.00 3136FPL47 2178 Federal National Mortage Assoc 06/2712011 0.00 2,000,000.00 3136FP5Xl 2182 Federal National Mortage Assoc 0.860 01/28/2011 2,000,000.00 0.00 3136FRFMQ 2192 Federal National Mortage Assoc 2.000 04/2712011 1,000,000.00 0.00 Subtotal and Balance 22,000,000.00 17,635,000.00 34,000,000.00 5,635,000.00 IssuerSubtotal 5.470%22,000,000.00 17,635,000.00 34,000,000.00 5,635,000.00 Issuer:General Electric Capital Corporate Notes 36962G2S2 2044 General Electric Capital 5.000 12/0112010 0.00 2.000,000.00 Subtotal and Balance 2,000,000.00 0.00 2,000,000.00 0.00 IssuerSubtotal 0.000%2,000,000.00 0.00 2,000,000.00 0.00 Issuer:Neighborhood National Bank Certificates of Deposit·Bank 1008995288 2119 Neighborhood National Bank 1.400 1210912010 0.00 1,000,000.00 1006200563·2 2126 Neighborhood National Bank 1.400 0210412011 0.00 2,000,000.00 Portfolio OTAY AP Run Dale.0610212011-13.51 DA (PRF_DA)7.2.0 Report Vee 7 3_2 OTAY Activity Report July 1,2010 -June 30,2011 Page 6 CUSIP Investment#Issuer Percent of Portfolio ParValue Beginning Balance Current Transaction Rate Date Purchases or Deposits Par Value Redemptions or Withdrawals Ending Balance Subtotal and Balance IssuerSubtotal Issuer:San Diego County 3,000.000.00 3,000,000.00 0.00 0.00 3,000,000.00 3,000,000.00 0.00 0.00 San Diego County Pool SO COUNTY POOL 9007 Run Date 08I02I2011 ·13 S1 San Diego County Subtotal and Balance IssuerSubtotal 16.514% Total 100.000% 18,878,241.73 18,878,241.73 115,282,966.34 0.671 5,134,929.84 5,134,929.84 5,134,929.84 437,455,054.79 7,000,000.00 7,000,000.00 7,000,000.00 449,713,406.71 17,013,171.57 17,013,171.57 103,024,614.42 Portfolio OTAY AP QA (PRF_DAl7-2-0 Report Ver.7.3.2 OTAY GASS 31 Compliance Detail Sorted by Fund -Fund July 1,2010 -June 30,2011 Adjustment in Value Investment Maturity Beginning Purchase Addition Redemption Amortization Change in Ending CUSIP Investment #Fund Class Date Invested Value of Principal to Principal of Principal Adjustment Market Value Invested Value Fund:Treasury Fund lAlF 9001 99 FajrValue 18,535,367.70 0.00 108,564,500.39 95,300,463.98 0.00 19,664.86 31,819,068.97 UNION MONEY 9002 99 Amortized 10,009.99 0.00 198.948,067.38 198.948,020.88 0.00 0.00 10,056.49 PETTY CASH 9003 99 Amortized 2,800.00 0.00 150.00 0.00 0.00 0.00 2,950.00 UNION OPERATING 9004 99 Amortized 1,044,711.99 0.00 5.772.064.52 5.929,204.39 0.00 0.00 887,572.12 PAYROll 9005 99 Amortized 24,977.26 0.00 2,571,025.04 2,572,217.59 0.00 0.00 23,784.71 SO COUNTY POOL 9007 99 Fair Value 18.851,000.00 0.00 5,134,929.84 7.000,000.00 0.00 6,548.81 16,992,478.65 36962G2$2 2044 99 FairValue 12101/2010 2,032,000.00 0.00 0.00 2,000,000.00 0.00 ·32,000.00 0.00 084664AF8 2094 99 Fair Value 12115/2010 2,030,740.00 0.00 0.00 2,000,000.00 0.00 -30,740.00 0.00 31398AC91 2117 99 Fair Value 01/20/2012 2,000,620.00 0.00 0.00 2,000.000.00 0.00 -620.00 0.00 3136FJR45 2118 99 Fair Value 01/25/2013 2,005,620.00 0.00 0.00 2,000,000.00 0.00 -5,620.00 0.00 1008995288 2119 99 Amortized 12109/2010 1,000,000.00 0.00 0.00 1,000,000.00 0.00 0.00 0.00 3136FJ4T5 2120 99 Fair Value 08/16/2012 2,002,500.00 0.00 0.00 2.000,000.00 0.00 -2,500.00 0.00 2050003183-4 2121 99 Amortized 01122/2012 79,108.00 0.00 0.00 0.00 0.00 0.00 79,108.00 31398AH88 2123 99 Fair Value 09/24/2012 2,004,380.00 0.00 0.00 2,000,000.00 0.00 -4,380.00 0.00 3133XXK22 2124 99 FairValue 06/25/2012 2,000,000.00 0.00 0.00 2,000,000.00 0.00 0.00 0.00 1006200563-2 2126 99 Amortized 02/04/2011 2,000,000.00 0.00 0.00 2,000,000.00 0.00 0.00 0.00 3136FMFRO 2127 99 FairValue 10/05/2012 2,012,500.00 0.00 0.00 2,000,000.00 0.00 -12,500.00 0,00 3133XXRW9 2128 99 Fair Value 06/29/2012 2,012,500.00 0.00 0.00 2,000,000.00 0.00 -12,500.00 0.00 3136FMJF2 2129 99 Fair Value 05/14/2012 2,009,380.00 0.00 0.00 2,000,000.00 0.00 -9,380.00 0.00 3133XY2C8 2130 99 FairValue 01129/2013 2,001,880.00 0,00 0.00 2,000,000.00 0.00 -1,880.00 0.00 3133XY5H4 2131 99 FairValue 07/30/2012 2,001,880.00 0.00 0.00 2,000,000.00 0.00 -1,880.00 0.00 3136FMPB4 2132 99 FairValue 10/29/2012 2,010.620.00 0.00 0.00 2,000,000.00 0.00 -10,620.00 0.00 3134G1AW4 2134 99 FairValue 05/1012012 2,001,920.00 0.00 0.00 2,000,000.00 0.00 -1,920.00 0.00 31398AQ47 2135 99 FairValue 11105/2012 2,007,500.00 0.00 0.00 2,000,000.00 0.00 -7,500.00 0.00 3136FMRH9 2136 99 FairValue 10/29/2012 2,014.380.00 0.00 0.00 2,000,000.00 0.00 -14,380.00 0.00 3136FMRG1 2137 99 FairValue 05/10/2012 2,005,620.00 0.00 0.00 2,000.000.00 0.00 -5,620.00 0.00 3133XYDD4 2138 99 FairValue 1111312012 2,002,500.00 0.00 0.00 2,000,000.00 0.00 -2,500.00 0.00 3133XYCTO 2139 99 FairValue 08/1312012 2,002,500.00 0.00 0.00 2,000,000.00 0.00 -2,500.00 0.00 3134G1DE1 2140 99 FairValue 11/1912012 2,008,000.00 0.00 0.00 2,000,000.00 0.00 -8,000.00 0.00 RESERVE-10 COPS 9010 99 Amortized 690.76 0.00 7,692.83 0.00 0.00 0.00 8.383.59 RESERVE-10 BABS 9011 99 Amortized 425.01 0.00 20,217.93 0.00 0.00 0.00 20,642.94 3133XYFP5 2142 99 FairValue 11/2512011 2,001,880.00 0.00 0,00 2,000,000.00 0.00 -1,880.00 0.00 Portfolio DTAY AP Run Date'0&'0212011 -13'52 GO {PRF_GO)7.1.1 ReportVer.7.3.2 OTAY GASB 31 Compliance Detail Page 2 Sorted by Fund·Fund Adjustment in Value Investment Maturity Beginning Purchase Addition Redemption Amortization Change in Ending CUSI?Investment #Fund Class Date Invested Value of Principal to Principal ofPrincipal Adjustment MarketValue Invested Value Fund:Treasury Fund 3139BAS78 2143 99 Fair Value 05/25/2012 2,001,880.00 0.00 0.00 2,000,000.00 0.00 -',880.00 0.00 3134G1EH3 2144 99 Fair Value 0610812012 2,002,540.00 0.00 0.00 2,000,000.00 0.00 -2,540.00 0.00 LAIF BASS2010 9012 99 FairValue 16,026,300.42 0.00 51,406.86 12,000,242.63 0.00 .19,913.88 4,057,550.n UBNA-2010 BOND 9013 99 Amortized 51.89 0.00 10,000,000.00 10,000,000.00 0.00 0.00 51.89 3133XYNSO 2145 99 Fair Value 1211012012 2,009,380.00 0.00 0.00 2,000,000.00 0.00 -9,380.00 0.00 3137EACK3 2146 99 FairValue 07/2712012 2,014,380.00 0.00 0.00 0.00 0.00 1,540.00 2,015,920.00 3133XYSH9 2147 99 FairValue 09121/2012 2,010,000.00 0.00 0.00 2,000.000.00 0.00 -10,000.00 0.00 3137EACK3A 2148 99 FairValue 07/2712012 1,037,405.70 0.00 0.00 0.00 0.00 793.10 1,038,198.80 3137EACK38 2149 99 FairValue 07127/2012 2,726,463.33 0.00 0.00 0.00 0.00 2,084.39 2,728,547.72 3133XYXR1 2150 99 FairValue 01114/2013 0.00 2,000,000.00 0.00 2,000.000.00 0.00 0.00 0.00 3134G1K.Z6 2151 99 FairValue 07120/2012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 31398AW65 2152 99 FairValue 07127/2012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3134G1M03 2153 99 FairValue 0112212013 0.00 2,000,000.00 0.00 0.00 0.00 960.00 2,000,960.00 3136FMX82 2154 99 Fair Value 10/26/2012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 313370809 2156 99 FairValue 04/27/2012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3136FM4N1 2157 99 FairValue 02111/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3134G1PK4 2158 99 FairValue 02/11/2013 0.00 2,000,000.00 0.00 0.00 0.00 1,820.00 2,001,820.00 313370NF1 2160 99 FairValue 11/2012012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 31331JYF4 2161 99 FairValue 02/19/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 313370P77 2162 99 FairValue 02125/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 313370JRO 2163 99 FairValue 08f27/2012 0.00 2,875,000.00 0.00 2,875,000.00 0.00 0.00 0.00 31331JZV8 2164 99 FairValue 05f0312013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 313370UP1 2165 99 FairValue 03f13/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 313370VGo 2166 99 FairValue 09f2112012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3134GHU8 2167 99 FairValue 09f2812012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3136FPHU4 2168 99 FairValue 03f2112013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3134G1UR3 2169 99 FairValue 03f2812013 0.00 2,000,000.00 0.00 2,000.000.00 0.00 0.00 0.00 31331JM75 2170 99 FairValue 04f1212013 0.00 2,000,000.00 0.00 2.000.000.00 0.00 0.00 0.00 3136FPQG5 2171 99 FairValue 07f2612013 0.00 635.000.00 0.00 0.00 0.00 1,270.00 636,270.00 3136FPSK4 2172 99 FairValue 04f2912013 0.00 1,999,500.00 0.00 0.00 0.00 1,280.00 2,000,780.00 3133XTAS4 2133 99 FairValue 11f06/2012 2,001.880.00 0.00 0.00 2,000.000.00 0.00 -1,880.00 0.00 313371lKO 2173 99 FairValue 11/16/2012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 313371MR4 2174 99 FairValue OS/2212013 0.00 2,000,000.00 0.00 0.00 0.00 -1,020.00 1,998,980.00 313371RA6 2175 99 FairValue 12/07/2012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 313371U20 2176 99 FairValue 06/03/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 31331GZ36 2155 99 FairValue 07/19f2012 0.00 4,012,400.00 0.00 4.000,000.00 0.00 -12,400.00 0.00 3134G1C69 21n 99 FairValue 06120/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 Portfolio OTAY AP Runoate:08f02J2011-1352 GO (pRF_GD)7.1.1 Report Vet".7.3.2 DTAY GASB 31 Compliance Detail Page 3 Sorted by Fund -Fund Adjustment in Value Investment Maturity Beginning Purchase Addition Redemption Amortization Change in Ending CUSIP Investment#Fund Class Date Invested Value ofPrincipal to Principal ofPrincipal Adjustment MarketValue Invested Value Fund:Treasury Fund 3136FPl47 2178 99 Fair Value 06/27/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3134G1G32 2179 99 Fair Value 03/2812013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3134G1P81 2180 99 Fair Value 01/07/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3136FM6A7 2159 99 Fair Value 11/1912012 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 313372845 2181 99 Fair Value 07/0512013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3136FP5X1 2182 99 Fair Value 0112812013 0.00 2,000,000.00 0.00 0.00 0.00 760.00 2,000,760.00 3134G1Y40 2183 99 Fair Value 0811512013 0.00 2,000,000.00 0.00 0.00 0.00 9,100.00 2.009,100.00 313372GVO 2184 99 Fair Value 0210812013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3134G13K8 2185 99 Fair Value OS/24/2013 0.00 2,000,000.00 0.00 0.00 0.00 2.200.00 2,002,200.00 3134G12U7 2186 99 Fair Value 11/2312012 0.00 2,000,000.00 0.00 0.00 0.00 1,040.00 2,001,040.00 3134G14B7 2187 99 Fair Value 08123/2013 0.00 2,000,000.00 0.00 0.00 0.00 2,820.00 2,002,820.00 3134G15C4 2188 99 Fair Value 06/07/2013 0.00 2,000,000.00 0.00 0.00 0.00 3,600.00 2,003,600.00 UBNA~FLEJ(ACCT 9014 99 Amortized 0.00 50.000.00 50,000.00 88,257.24 0.00 0.00 11,742.76 3134G12E3 2189 99 Fair Value 08116/2013 0.00 1,994,060.00 0.00 2,000,000.00 0.00 5,940.00 0.00 3134G17l2 2190 99 Fair Value 09/23/2013 0.00 2,000,000.00 0.00 0.00 0.00 4,420.00 2,004,420.00 313373683 2191 99 Fair Value 06/28/2013 0.00 2,000,000.00 0.00 2,000,000.00 0.00 0.00 0.00 3136FRFMQ 2192 99 Fair Value 04/27/2016 0.00 1,000,000.00 0.00 0.00 0.00 6,570.00 1,006,570.00 313373CWO 2193 99 Fair Value 10/25/2013 0.00 2,000,000.00 0.00 0.00 0.00 1,520.00 2,001,520.00 313373K27 2194 99 Fair Value 08/1212013 0.00 2,000,000.00 0.00 0.00 0.00 1,920.00 2.001,920.00 313373MC3 2195 99 Fair Value 11112/2013 0.00 1,775,000.00 0.00 0.00 0.00 1,810.50 1.776,810.50 313373QJ4 2196 99 Fair Value 11/25/2013 0.00 2,000,000.00 0.00 0.00 0.00 6,360.00 2,006,360.00 313373UD2 2197 99 Fair Value 12109/2013 0.00 2,000,000.00 0,00 0.00 0.00 5,440.00 2,005,440.00 313373V25 2198 99 Fair Value 09106/2013 0.00 2,000,000.00 0.00 0.00 0.00 2,080.00 2.002,080.00 313373VWO 2199 99 Fair Value 12106/2013 0.00 2,000,000.00 0.00 0.00 0.00 220,00 2,000,220.00 3134G2MC3 2200 99 Fair Value 09127/2013 0.00 2,000,000.00 0.00 0.00 0.00 -3,220.00 1,996,780.00 313374ELO 2201 99 Fair Value 12/30/2013 0.00 2,000,000.00 0.00 0.00 0.00 ~6,700,00 1,993,300.00 3133747H7 2202 99 Fair Value 12127/2013 0.00 2,000,000.00 0.00 0.00 0.00 .2,200.00 1,997,800.00 Subtotal 115,548,292.05 106,340,960.00 331,120,054.79 449,713,406.71 0.00 .148,292.22 103,147,607.91 Total 115,548,292.05 106,340,960.00 331,120,054.79 449,713,406.71 0.00 ~148,292.22 103,147,607.91 Portfolio OTAY AP RUfl Dale.0810212011 ·1352 GO (PRF_GO)7 1.1 ReportVeL 7.3.2 OTAY Duration Report Sorted by Investment Type -Investment Type Through 06/30/2011 Security 10 3134G1Y40 3134G12U7 3137EACK3A 3137EACK3B 3134G1PK4 3134G14B7 3134G15C4 3137EACK3 3134G13K8 3134G2MC3 3134G1M03 3134G17L2 3136FRFMO 3136FP5X1 3136FPQG5 3136FPSK4 313373QJ4 3133747H7 313373V25 313373CWO 313371MR4 313373K27 313373MC3 313374ELO 313373WVO 313373U02 Investment# 2183 2186 2148 2149 2158 2187 2188 2146 2185 2200 2153 2190 2192 2182 2171 2172 2196 2202 2198 2193 2174 2194 2195 2201 2199 2197 Fund 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 99 Issuer Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home Loan Mortgage Federal Home loan Mortgage Federal Home Loan Mortgage Federal National Mortage Assoc Federal National Mortage Assoc Federal National Mortage Assoc Federal National Mortage Assoc Federal Home Loan Bank Federal Home Loan Bank Federal Home loan Bank Federal Home loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Investment Class Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Fair Book Value 2,000,000.00 2,000,000.00 1,030,000.00 2,707,000.00 2,000,000.00 2,000,000.00 2,000,000.00 1,999,524.31 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 1,000,000.00 2,000,000.00 635,000.00 1,999,634.44 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 1,775,000.00 2,000,000.00 2,000,000.00 2,000,000.00 Par Value 2,000,000.00 2,000,000.00 1,030,000.00 2,707,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 1,000,000.00 2,000,000.00 635,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 2,000,000.00 1,775,000.00 2,000,000.00 2,000,000.00 2,000,000.00 Market Current Value Rate 2,009,100.00 1.100000 2,001,040.00 .7501010 1,038,198.80 1.125000 2,728,547.72 1.125000 2,001,820.00 1.000000 2,002,820.00 1.350000 2,003,600.00 1.250000 2,015,920.00 1.147196 2,002,200.00 1.000000 1,996,780.00 .8000000 2,000,960.00 1.100000 2,004,420.00 1.350000 1,006,570,00 2.000000 2,000,760.00 .8600000 636,270.00 .8500830 2,000,780.00 6750000 2,006,360.00 1.125000 1,997,800.00 .8750000 2,002,080.00 .8750000 2,001,520.00 1.375000 1,998,980.00 7000000 2,001,920.00 1.200000 1,776,810.50 1.200000 1,993,300.00 .8750000 2,000,220.00 1.100000 2,005,440.00 1.050000 YTM 360 1.085 0.740 1.109 1.109 0.986 1.332 1.233 1.154 0.986 0.789 1.085 1.332 1.973 0.848 0.837 0.676 1.110 0.863 0.863 1.356 0.690 1.184 1.184 0.863 1.085 1.036 Current Yield 0.883 0.713 0.380 0.380 0.943 1.283 1.156 0.403 0.941 0.873 1.069 1.249 1.857 0,836 0.753 0.654 0.991 0.920 0.827 1.342 0.727 1.154 1.156 1.011 1.095 0.937 Maturityl Modified Call Date Duration 08/15/2013 2086 11/2312012 1.383 07/2712012 1.065 07/27/2012 1.065 02/1112013 1.589 08/23/2013 2.098 06/07/2013 1.897 07/27/2012 1.061 05/24/2013 1.868 09f27/2013 2.212 0112212013 0.058 09/23/2013 2.180 04/27/2016 4.547 01/28/2013 1.555 07/26/2013 2.040 04/29/2013 1,811 11/25/2013 2.360 1212712013 2.456 09/06/2013 2.154 10/25/2013 2.267 05/22/2013 1.874 08/12/2013 2.078 11/12/2013 2.321 12/30/2013 2.463 12/06/2013 2.390 12/09/2013 2.402 Run Date:OSf0212011 -13:53 Page 1 Portfolio OTAY AP DU (PRF_DU)7,1,1 Report Ver,7,3,2 OTAY Duration Report Sorted by Investment Type -Investment Type Through 06/30/2011 Investment Book Po<Market Current YTM Current Maturity'Modified Security ID Investment#Fund Issuer Class Value Value Value Rate 360 Yield Call Date Duration 2050003183-4 2121 99 Califomia Bank &Trust Amort 79,108.00 79,108,00 79,108.00 1.380000 1.380 1.380 01/2212012 0.556 t LAIF BABS 2010 9012 99 STATE OF CALIFORNIA Fair 4,051,164.23 4,051,164.23 4,057,550.77 .4480000 0.442 0.448 0.000 LAIF COPSO?9009 99 STATE OF CALIFORNIA Fair 0.00 0.00 0.00 1.530000 1.509 1.530 0.000 LAIF 9001 99 STATE OF CALIFORNIA Fair 31,768.986.12 31,768,986.12 31,819,068.97 .4480000 0.442 0.446 0.000 SO COUNTY 9007 99 San Diego County Fair 17.013,171.57 17.013.171.57 16,992.478.65 .6710000 0.662 0.671 0.000 Report Total 102,058,588.67 102,059,429.92 102,182,423.41 0.719 O.925t t =Duration can not be calculated on these investments due to incomplete Market price data. Run DaIs.0&tI2I2011 -13.53 Page 2 Portfolio OTAY AP DU(PRF_DU)7.1.1 ReportVeL 7.32 STAFF REPORT TYPE MEETING:Regular Board SUBMITIED BY:Sean Prendergast,Finance MEETING DATE: WO.lG.F.NO: i'\ugust 10,2011 DIV NO. Officer Supervisor,~~l &.lIP Joseph Beac~·~hief FinancialAPPROVEDBY: (Chien APPROVED BY:German Alvarez,Assistant General Manager (Ass!.GM): SUBJECT:Accounts Payable Demand List PURPOSE: Attached is the list of demands for the Board's information. FISCAL IMPACT: SUMMARY NET DEMANDS CHECKS (2029367-2029746) VOID CHECKS (2) TOTAL CHECKS WIRE TO: BANK OF NEW YORK MELLON (ONE TIME COST) CITY OF CHULA VISTA -SEWER CHARGES (BI-MONTHLY) DELTA HEALTH SYSTEMS -DENTAL &COBRA CLAIMS (MONTHLY) JP MORGAN -REMARKETING FEE (QUARTERLY) SAN DIEGO COUNTY WATER CAP FEJ-:S (QUARTERLY) SAN DIEGO COUNTY WATER WATER DELIVERIES (MONTHLY) SPECIAL DIST RISK MGMT AUTH -INSURANCE PREMIUM (MONTHLY) STATE BOARD OF EQUALIZATION -SALES USE TAX (QUARTERLY) STRADLING YOCCA CARLSON -FEES 1996 COPS (ONE TIME COST) UKION BANK -FEES &COSTS 1996 COPS (ONE TIME COST) UNION BANK -FEES &COSTS 1996 COPS (QU.'IRTERLYI UNION BANK -PAYROLL TAXES (BI-WEEKLY) TOTAL CASH DISBURSEMENTS $3,095,993.07 $(910.42) S 3,095,082.65 S 2,000.00 $2,835,140.91 S 13,880.43 S 2,535.53 S 569,590.00 S 3,224,392.10 $217,096.15 S 1,295.00 S 52,000.00 S 39,000.00 S 32,277.29 S 302,271.87 $10,386,561.93 RECOMMENDED ACTION: That the Board receive the attached list of demands. Jb/Attachment OTAY WATER OISTRICT CHECK REGISTER FOR CHECKS2029367 THROUGH 2029746 RUN DATES 71612011 TO712712011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029367 07106111 08488 ABLEFORCE INC 2734 06/14111 TEMP LABOR 7,905.00 7,905.00 2029598 07120(11 08488 ABLEFORCE INC 2747 06/28111 TEMP LABOR 8,670.00 2756 06/30111 TEMP LABOR 3,125.00 11,795.00 2029368 07106111 00179 ACRO INSTRUMENT CO 11461 05/31111 GAUGE CALIBRATION 280.00 280.00 2029531 07120/11 13072 ADAM OLIVER Ref002415331 07119/11 US Refund Cst#0000127061 15.75 15.75 2029532 07120/11 13094 ADRIANA HERRERA Ref002415355 07119/11 UB Refund Cst#0000174675 22.24 22.24 2029369 07106111 03317 ADVANCED CALL PROCESSING INC 20112213 05117/11 PBX UPGRADE 65,777.99 65,777.99 2029688 07127/11 12006 ADVANCED WEB OFFSET INC 111201 06121/11 CONSUMER CONFIDENCE REPORT 7,085.06 7,085.06 2029370 07106/11 12174 AECOM TECHNICAL SERVICES INC 37134573 06115111 DISINFECTION SYSTEM 24,185.00 24,185.00 2029371 07106/11 11462 AEGIS ENGINEERING MGMT INC 1019 06/13/11 PLAN CHECKING 5,200.38 1106 06(13/11 DEVELOPER PLANCHECKS 3,029.94 8,230.32 2029689 07/27/11 11462 AEGIS ENGINEERING MGMT INC 1107 07/08/11 DEVELOPER PLANCHECKS 7,308.43 1020 07/08/11 PLAN CHECKING 5,745.42 13,053.85 2029690 07/27/11 01884 AEP (ASSN OF ENVIR PROF'lS 2622536 07/20/11 MEMBERSHIP FEE 140,00 140.00 2029372 07/06/11 07732 AIRGAS SPECIALTY PRODUCTS INC 131201396 06/16/11 AQUA AMMONIA 2,329,17 131201395 06/16/11 AQUA AMMONIA 1,578.96 131201398 06/16/11 AQUA AMMONIA 865,47 131201397 06/16/11 AQUAAMMONIA 177.99 4,951.59 2029599 07/20/11 00132 AIRGAS WEST INC 103816491 06/30/11 BREATHING AIR 31.35 31.35 2029533 07/20/11 13082 ALEGRIA REAL ESTATE Ref002415341 07/19/11 US Refund Cst #0000163204 112.09 112.09 2029534 07/20/11 13086 ALEJANDRO AIZPURU Ref002415346 07/19/11 UB Refund Cst #0000172072 78.41 78.41 2029535 07/20/11 13085 ALEXANDRA VINSON Ref002415345 07/19(11 UB Refund Cst #0000172067 102.26 102.26 2029600 07120111 02362 ALLIED WASTE SERVICES #509 0509004401759 06/25111 CONTAINER RENTAL (JUNE 2011)235.42 235.42 2029691 07/27111 02362 ALLIED WASTE SERVICES #509 0509004400513 06/25111 TRASH SERVICES (JULY 2011)1,019.77 0509004402407 06125/11 TRASH SERVICES TP (JULY 2011)170.43 1,190.20 2029373 07/06/11 12911 ALTA LAND SURVEYING INC 11210001 06113111 SURVEYING SERVICES 6,860.00 6,860.00 2029692 07/27/11 12911 ALTA LAND SURVEYING INC 11210002 07111/11 SURVEYING SERVICES 10,570.00 10,570.00 2029446 07114/11 06166 AMERICAN MESSAGING L1109570LG 07/01111 PAGER SERVICES 19446 194.46 Page 1of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO712712011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029447 07114111 00002 ANSWER INC 5148 06122111 ANSWERING SERVICES 1,000.00 1,000.00 2029601 07/20111 08967 ANTHEM BLUECROSS EAP 40975 06124111 EMPLOYEE ASSISTANCE (JULY 2011)356.50 356.50 2029448 07/14111 03357 APEX ADVERTISING INC 65261 05/20111 ANNUAL T-SHIRTS 4,678.46 4,678.46 2029602 07120111 12175 APPLE INC 003019 07113111 COMPUTER LOAN 2,109.19 2,109.19 2029536 07120111 13064 ARTURO RAMIREZ Ref002415323 07119/11 UB Refund Cst#0000054523 23.81 23.81 2029537 07/20111 13102 A8LAN TRINITY RESIDENTIAL Ref002415363 07119111 UBRefund Cst#0000175899 54.37 54.37 2029374 07106111 03340 ASSOCIATION OF PUBLIC 5917 06129111 ANNUAL MEMBERSHIP 90.00 90.00 2029449 07114/11 05758 AT&T 082164572806251'06/25/11 INTERNET BANDWIDTH 2,263.53 2,263.53 2029450 07/14/11 05758 AT&T 61942256050611 06120/11 PHONE SVC (INTERAGENCY WTR MTR CONN)43.23 43.23 2029603 07/20/11 07785 AT&T 000002477649 07102111 PHONE SERVICES (JUNE 2011)5,659.37 5.659.37 2029693 07/27111 05758 AT&T 33784130450711 07107111 PHONE SERVICE (HI HEAD P/S-SCADA)31.38 3138 2029451 07/14/11 08330 AT&T INTERNET SERVICES 8547826250611 06/22111 INTERNET BANDWIDTH 1,200.00 1.20000 2029452 07/14/11 12810 ATKINS 1114747 06/23/11 WATER MANAGEMENT 2,425.00 2,425,00 2029694 07/27/11 12810 ATKINS 1115586 07/11/11 CONSULTING SERVICES 4,600.00 4,600.00 2029538 07/20/11 13107 ATLANTIC &PACIFIC REAL ESTATE Ref002415368 07/19/11 UB Refund Cst #0000176727 57.06 57.06 2029539 07120/11 13065 AXIA SAUL Ref002415324 07/19/11 UB Refund Cst #0000059906 29.49 29.49 2029375 07106/11 11519 BACKFLOWAPPARATUS &VALVE CO 540621 06113111 TEMP METER BACKFLOWS 3,447.38 3,447.38 2029453 07/14/11 08024 BACKGROUND PROFILES INC 3023 06/30111 BACKGROUND CHECKS 158.50 158.50 2029540 07/20/11 13089 BANCROFT REALTY Ref002415350 07/19/11 UB Refund Cst #0000173811 43.00 43.00 2029541 07/20/11 13093 BANCROFT REALTY Ref002415354 07119/11 UB Refund Cst #0000174420 23.27 23.27 2029454 07/14/11 07446 BANK OF NEWYORK MELLON,THE 2521561790 07/01111 ADM FEES 2,782.50 2,782.50 2029542 07/20/11 13060 BARBARA MILES Ref002415319 07119111 UB Refund Cst#0000007173 184.60 184.60 2029604 07/20111 00145 BARREn ENGINEERED PUMPS 076549 06/28/11 JABSCD PUMP 863.48 863.48 2029695 07127111 06285 BARTEL ASSOCIATES LlC 11436 07/08111 ADDITIONAL ACTUARIAL SERVICES 5,00000 5,000.00 2029543 07/20/11 13111 BATTlATA REAL ESTATE GROUP Ref002415372 07119111 UB Refund Cst #0000177882 33.85 33.85 Page 2 of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 7/6/2011 TO 7/27{2011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029544 07/20/11 13066 BERNADETTE OCA Ref002415325 07119/11 UB Refund Cst #0000075202 5.06 5,06 2029605 07/20/11 04806 BJ'S RENTALS 355034 06/30/11 BOOMLIFT RENTAL 377.33 377,33 2029455 07/14/11 12577 BLASTCO INC 5 06/24/11 RESERVOIR COATING 6,813.00 6,813,00 2029696 07/27/11 12852 BODY BY BOBBIE INC 2 06/14/11 WELLNESS PROGRAM 800.00 800,00 2029376 07/06/11 10970 BRENNTAG PACIFIC INC BPI106384 06/16/11 SODIUM HYPOCHLORITE 3,460.83 BPI105569 06/14/11 SODIUM HYPOCHLORITE 3,449.31 BPI105142 06/13/11 SODIUM HYPOCHLORITE 1,366.11 BPI106002 06/15/11 SODIUM HYPOCHLORITE 1,175.90 BPI105567 06114/11 SODIUM HYPOCHLORITE 922,27 BPI106003 06/16/11 SODIUM HYPOCHLORITE 586,80 BPI105568 06/14/11 SODIUM HYPOCHLORITE 195.98 11,157.20 2029456 07/14/11 10970 BRENNTAG PACIFIC INC BPI108076 06/22/11 SODIUM HYPOCHLORITE 3,427,39 BPI108878 06/24111 SODIUM HYPOCHLORITE 3,312.11 BPI107199 06/20/11 SODIUM HYPOCHLORITE 2,282,62 BPI108075 06/22/11 SODIUM HYPOCHLORITE 1,815.73 BPI107200 06/20/11 SODIUM HYPOCHLORITE 1,730.41 BPI108074 06/21/11 SODIUM HYPOCHLORITE 1,212.80 BPI108522 06/24/11 SODIUM HYPOCHLORITE 933.80 14,714,86 2029606 07/20/11 10970 BRENNTAG PACIFIC INC BPI109689 06/28/11 SODIUM HYPOCHLORITE 3,455.05 BPI110749 06/30/11 SODIUM HYPOCHLORITE 3,450.45 BPI109296 06/27/11 SODIUM HYPOCHLORITE 1,379.94 BPI109688 06/28/11 SODIUM HYPOCHLORITE 909.59 BPI110201 06/30/11 SODIUM HYPOCHLORITE 537.22 9,732.25 2029697 07/27/11 10970 BRENNTAG PACIFIC INC BPI112195 07/07/11 SODIUM HYPOCHLORITE 3,427,32 BPI111426 07101/11 SODIUM HYPOCHLORITE 3,425.04 BPI111425 07/05/11 SODIUM HYPOCHLORITE 3,121.15 BPI112194 07/07/11 SODIUM HYPOCHLORITE 1,378,93 BPI111424 07105/11 SODIUM HYPOCHLORITE 1,29781 BPI111755 07106/11 SODIUM HYPOCHLORITE 1,128,74 BPI112196 07/07/11 SODIUM HYPOCHLORITE 472,97 14,251.96 2029377 07/06/11 03531 BROWN AND CALDWELL 19106EXTENSION:06/13111 RECRUITMENT ADVERTISING 100,00 100.00 2029457 07/14/11 08156 BROWNSTEIN HYATT FARBER 441524 06/30111 LEGISLATION REVIEW 585.00 585,00 2029378 07106/11 00223 C W MCGRATH INC 39470 06/14/11 CRUSHED ROCK 131.40 131.40 2029458 07/14/11 00223 C W MCGRATH INC 39540 06/22/11 CRUSHED ROCK 112.67 112,67 2029607 07/20/11 02920 CALIFORNIA COMMERCIAL 104575 06/27/11 ASPHALT 1,326.40 1,326.40 Page 3 of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO712712011 Check #Dale Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029608 07120111 08328 CALIFORNIA RURAL WATER 003028 07119111 REVIEWCLASSES 350.00 350.00 2029698 07127/11 02758 CARMEL BUSINESS SYSTEMS INC 7352 07/01111 RECORDS STORAGE (JUNE 2011)1,652.97 7353 07/01111 RECORDS ASSISTANCE (JUNE 2011)854.76 2,507.73 2029379 07/06/11 12416 CASINO ISLAND 002993 07106/11 EMPLOYEE PROGRAM 368.75 368.75 2029609 07/20/11 09801 CENTERBEAMINC 134409 06/01111 NETWORK MONITORING 1,697.00 1,697.00 2029545 07/20/11 13084 CHEN HWAN KIM Ref002415344 07/19/11 UB Refund Cst #0000169503 31.26 3126 2029459 07/14/11 00446 CITY OF CHULA VISTA 003010 07/12/11 CONSORTIUM 1,700.00 1,700.00 2029546 07120/11 13101 CITYSIDE MANAGEMENT Ref002415362 07/19/11 UB Refund Cst #0000175720 177.08 177.08 2029610 07/20/11 04119 CLARKSON LAB &SUPPLY INC 56634 06/30/11 BACTERIOLOGICAL SERVICES 583.00 56636 06/30/11 BACTERIOLOGICAL SERVICES 583.00 56637 06/30(11 BACTERIOLOGICAL SERVICES 583.00 56633 06/30/11 BACTERIOLOGICAL SERVICES 468.00 56635 06/30/11 BACTERIOLOGICAL SERVICES 412.00 56638 06/30/11 BACTERIOLOGICAL SERVICES 362.00 56639 06/30/11 BACTERIOLOGICAL SERVICES 331.00 56640 06/30/11 BACTERIOLOGICAL SERVICES 178.00 3,500.00 2029699 07/27/11 11520 CLINICAL LABORATORY OF 915503 07/11/11 LAB ANALYSIS 1,377.00 1,377.00 2029547 07/20/11 13105 COLDWELL BANKER Ref002415366 07/19/11 UB Refund Cst #0000176386 9.96 9.96 2029380 07/06/11 12854 COMMERCIAL TRANSPORTATION 1089 06/15/11 DRIVERS TRAINING 2,855,00 2,855.00 2029381 07/06/11 08160 COMPLETE OFFICE 12944560 06/10/11 TONER 670,97 670.97 2029460 07/14/11 08160 COMPLETE OFFICE 12944561 06/23111 TONER 123.98 123.98 2029461 07/14/11 11510 CONFERENCE CALL.COM 2670638419 06/30111 CONFERENCE CALL 60.40 60.40 2029362 07/06/11 04398 CONSTRUCTION MANAGEMENT 002990 07/06/11 REGISTRATION FEE 55.00 55.00 2029700 07/27/11 04396 CONSTRUCTION MANAGEMENT 003059 07126/11 REGISTRATION FEE 55.00 55.00 2029611 07/20/11 12334 CORODATA MEDIA STORAGE INC 0$1244247 06/30111 DATA STORAGE (JUNE 2011)279.29 279.29 2029612 07120/11 02612 COUNCILOF WATER UTiLiTIES 003031 07/14/11 MONTHLY MEETING I WATER UTILITIES 25.00 25.00 2029462 07/14111 00184 COUNTY OF SAN DIEGO HK071321370711 07/06/11 HAZMAT PERMIT 643.00 643.00 2029613 07/20111 00134 COUNTY OF SAN DIEGO 12382 07/01111 ELECTRONIC MAPS (ANNUAL)5.76 5.76 2029614 07/20/11 00184 COUNTY OF SAN DIEGO DEHll0646Dl1 06/28/11 SHUT DOWN TEST 652.00 Page4of19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN OATES 7/6/2011 TO7/27/2011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total HK2035840611 06117111 HAZMAT PERMITANNUAL 727.00 DEH11 0662011 06128111 SHUT DOWN TEST 532.50 DEH110666D11 06128/11 SHUT DOWN TEST 284.00 2,395.50 2029615 07/20/11 02122 COUNTY OF SAN DIEGO 003029 07118/11 APPLICATION FEE 2,432.00 2,432.00 2029616 07/20111 08479 COUNTY OF SAN DIEGO 003030 07/18/11 PERMITI DEPOSIT FEES 13,841.25 13,841.25 2029617 07/20/11 00099 COUNTY OF SAN DIEGO -OPW 143863 06130/11 MONTHLY EXCAVATION PERMITS 2,939.48 2,939.48 2029701 07127/11 11286 CPM PARTNERS INC 11058 07/01111 SCHEDULING SERVICES 5,28500 5,285.00 2029463 07/14/11 06415 CUMMINS CAL PACIFIC llC 00340739 06/21/11 TREATMENT PLANT GEN-SET 70,38579 70,385.79 2029383 07/06/11 00422 0&0 TOOL &SUPPLY S3552301001 06116111 MASKCERTIFICATION 135.00 135.00 2029702 07127/11 00422 o & D TOOL &SUPPLY S3516797001 07/13/11 OCCUPANCY SIGNS 152.67 152.67 2029548 07120111 13070 DALE VAUGHN Ref002415329 07119/11 UB Refund Cst #0000097483 234.13 234.13 2029549 07120/11 13071 D'ANGELO PRICE Ref002415330 07119(11 UB Refund Cst #0000126896 350.00 350.00 2029464 07114/11 11150 DARNELL &ASSOCIATES INC 024183 06121/11 TRAFFIC SERVICES 20,830,00 20,830.00 2029618 07/20/11 03606 DCSE INC 1006 06/27111 INTEGRATION SERVICES 8,005.00 8,005.00 2029619 07/20111 01797 DELL ENTERPRISES 189052 07/08/11 AWARD PLAQUE 151,93 151,93 2029465 07/14/11 02603 DELL MARKETING LP XFCN9T674 06/20/11 DELL M4600 1,724.64 1,724,64 2029620 07/20/11 02603 DELL MARKETING LP XFCTN26K5 06/27/11 LAPTOP 1,760,20 1,760,20 2029384 07/06/11 07680 DELTA HEALTH SYSTEMS Pl10628 06/28/11 HEALTH ADMINISTRATION 1,653.55 1,653,55 2029621 07/20111 03744 DEPARTMENT OF JUSTICE 858498 06/30/11 FINGERPRINTING SERVICES 510.00 510.00 2029466 07/14/11 00319 DEPARTMENT OF PUBLIC HEALTH 304240711 07107/11 CERTIFICATE RENEWAL 60.00 60.00 2029703 07/27/11 00319 DEPARTMENT OF PUBLIC HEALTH 263050711 07/20/11 CERTIFICATE RENEWAL 60.00 60.00 2029704 07127/11 03417 DIRECTV 15509945005 07/05111 SATelLITE TV(MONTHLY)18.00 15613804438 07119/11 SATELLITETV(MONTHLY)6.00 24.00 2029365 07106/11 11371 DOCUFlOWSOLUTIONSINC 6310 06/02/11 FAX MAINTENANCE 1,254.75 1,254.75 2029467 07/14/11 06523 DURAN,PATRICIA 003011 07/07/11 TUITION 1,575.00 1,575.00 2029468 07/14/11 02447 EDCO DISPOSAL CORPORATION 1554580611 06/30/11 RECYCLING SERVICES (JUNE 2011)90.00 90.00 Page5 of 19 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO 7f27/2011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029705 07/27/11 06525 ELECTRIC MOTOR SPECIALISTS INC 4040 06/13/11 PUMP #1 RE~BUILD 20,400.00 4041 06/13/11 MACHINE WORK 1,500,00 21,900.00 2029550 07/20/11 13074 ELIZABETH LOPEZ Ref002415333 07119/11 UB Refund Cst #0000141443 42.12 42.12 2029386 07/06/11 08023 EMPLOYEE BENEFIT SPECIALISTS 00527291N 05/31/11 ADMINISTRATION FEES 56250 562.50 2029469 07/14/11 08023 EMPLOYEE BENEFIT SPECIALISTS 0053100lN 06/30/11 ADMINISTRATION FEES (JUNE 2011)562,50 562.50 2029387 07/06/11 04467 ENGINEERING &GENERAL 002984 07/01/11 REGISTRATION FEE 50.00 50.00 2029470 07/14/11 03227 ENVIROMATRIX ANALYTICAL INC 1060367 06/20/11 LABORATORY SERVICES 895.00 895.00 2029622 07/20/11 03227 ENVIROMATRIX ANALYTICAL INC 1060609 06/30/11 LABORATORY SERVICES 695.00 695.00 2029706 07/27/11 03227 ENV1ROMATRIX ANALYTICAL INC 1070120 07/11/11 LABORATORY SERVICES 815.00 815.00 2029707 07/27/11 12134 ENVIRONMENTAL LAB ACCR PROG BR 003055 07/25/11 ACCREDITATION FEE 2,359.00 2,359,00 2029708 07/27/11 13120 ERNESTO UMALI 003057 07/25/11 CUSTOMER REFUND 58.87 58.87 2029388 07/06/11 02639 EW TRUCK &EQUIPMENT 272590 06/10/11 DIESEL EXHAUST FLUID 44.76 44.76 2029389 07/06/11 03757 FANDEL ENTERPRISES INC 1453 06/15/11 TELECOM SERVICES 8,230.00 8,230.00 2029471 07/14/11 00645 FEDEX 754750602 07/01/11 MAIL SERVICES AS NEEDED 8,16 8.16 2029390 07/06/11 03546 FERGUSON WATERWORKS #1083 0375214 06/16/11 TAPPING MACHINE REPAIR 10,548,75 0378578 06/10/11 REPAIR PARTS 82650 0378555 06/14/11 BREAK AWAY PARTS 247,25 0379014 06/10/11 TREATMENT PLANT UPGRADE 228,38 0378561 06/10/11 REPAIR PARTS 43,50 11,894.38 2029472 07/14/11 03546 FERGUSON WATERWORKS #1083 0378094 06/17/11 FLAP VALVE 2,392,50 0379379 06/22/11 TOOLS 487,20 2,879.70 2029551 07/20/11 13091 FIELD ASSET SERVICES Ref002415352 07119/11 US Refund Cst #0000173926 46,07 46.07 2029623 07/20/11 09146 FIGUEROA,JIANYNE 003017 07/18/11 REIMBURSE TUITION 832.75 832.75 2029624 07/20/11 12187 FIRST AMERICAN DATA TREE LLC 90034061 06/30/11 ONLINE MAPS (JUNE 2011)99.00 99.00 2029709 07/27/11 04066 FIRST CHOICE SERVICES ~SO 134857 07/05/11 COFFEE SUPPLIES 753.60 753.60 2029625 07/20/11 00035 FISHER SCIENTIFIC 2230032 06/21/11 LABORATORY SUPPLIES 132.25 132,25 2029391 07/06/11 03188 FLEETPRIDE WEST INC 42556338 CREDIT MEMO (1,087.50) 42460025 06/14/11 REPLACEMENT PARTS 2,826.41 41098188 03/22/11 REPAIR PART 55.76 1,794.67 Page 6 of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS2029367 THROUGH 2029746 RUN OATES 71612011 TO 7/2712011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029392 07106111 11962 FlEETWASH INC 3600875 06110/11 VEHICLE WASH 19.71 3600874 06110111 VEHICLE WASH 18.62 38.33 2029473 07114/11 11962 FlEETWASH INC 3610547 06/17/11 VEHICLE WASH 473.04 473.04 2029710 07127/11 13044 FlOMAX PRODUCTS INC 0012522 07/19111 ONIOFF ACTUATOR WI MOUNTING 10,444.42 10,444.42 2029393 07/06/11 01612 FRANCHISE TAX BOARD Ben2415038 07107/11 PAYROLL DEDUCTION 190.00 190.00 2029394 07/06/11 02344 FRANCHISE TAX BOARD Ben2415040 07/07/11 PAYROLL DEDUCTION 466.56 466.56 2029585 07120/11 01612 FRANCHISETAX BOARD Ben2415413 07121/11 BI-WEEKLY PAYROLL DEDUCTION 190.00 190.00 2029586 07120/11 02344 FRANCHISE TAX BOARD Ben2415415 07/21/11 BI·WEEKLY PAYROLL DEDUCTION 466.56 466.56 2029626 07/20/11 01327 FRANK &SON PAVING INC 0558 06127/11 ANNUAL PAVING 5,831.80 5,831.80 2029627 07120/11 12676 GEO IT RESOURCES INC 1025 06129111 SYSTEM MAINTENANCE 4,958.34 4,958.34 2029628 07/20111 10817 GEXPRO 580312357 06/27/11 GLOBAL CARE 3,250.37 3,250.37 2029711 07/27/11 10817 GEXPRO 580312358 06/28/11 GLOBAL CARE 835.04 835.04 2029474 07/14/11 03537 GHATECHNOLOGIES INC 661040 06/24/11 HP LASERJET 2,370.75 661038 06/24/11 PRINTER 1,148.40 661039 06/24/11 PRINTER 152.25 3,671.40 2029629 07/20/11 12008 GIERLICH-MITCHELL INC S012948 06/24/11 CLARIFIER MATERIALS 17,164.36 17,164.36 2029552 07/20/11 13069 GLADIS PEREZ Ref002415328 07/19/11 US Refund Cst #0000088698 176.15 176.15 2029553 07/20/11 12880 GRACIELA STEINKE Ref002415343 07/19/11 US Refund Cst #0000168662 74.00 74.00 2029395 07/06/11 00101 GRAINGER INC 9560557218 06/13/11 TOOLS 1,496.93 9561785107 06/14/11 BYPASS TPLANT 236.60 9558737392 06/10/11 ELECTRICAL PARTS 164.56 9561631418 06114/11 POWER STRIP 68.29 9560974561 06113111 TOOLS 10.51 1,976.89 2029475 07/14/11 00101 GRAINGER INC 9573093656 CREDIT MEMO (224.04) 9569191845 06122/11 ANALOG CABLE 464.49 9569947071 06123111 TOOLS 224.04 484.49 2029630 07/20/11 00101 GRAINGER INC 9573196129 06128111 TOOLS 64.50 8450 2029476 07/14111 01576 GRAYBAR ELECTRIC CO INC 954628177 06/21/11 PATCH CABLES 2,793.24 2,793.24 2029631 07120/11 01576 GRAYBAR ELECTRIC CO INC 954729755 06/27/11 PATCH CABLES 34.31 34.31 Page 7 of 19 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN OATES 71612011 TO 712712011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029632 07/20/11 03773 GTC SYSTEMS INC 31859 06130/11 ClTIRX SUPPORT 1,389.90 1,389.90 2029396 07/06/11 02630 HAAKER EQUIPMENT COMPANY C80855 06/10/11 REPAIR PARTS 8599 85.99 2029633 07120/11 02630 HAAKER EQUIPMENT COMPANY M03022 06129/11 HYDRO-EXCAVATION TRUCK 305,511.88 305,511.88 2029477 07114/11 00174 HACH COMPANY 7298653 06121111 PORTABLE COLORIMETER 1.345.60 7300922 06122111 LABORATORY SUPPLIES 231.28 1,576.88 2029634 07120111 00174 HACH COMPANY 7312267 06/29/11 EQUIPMENT REPAIR 916,31 916.31 2029712 07/27/11 00174 HACH COMPANY 7315888 07/01111 SCADAINTERFACE 4,000.00 4,000.00 2029478 07114111 02629 HANSON AGGREGATES INC 1175684 06/22111 AGGREGATES 419.05 419.05 2029713 07/27111 02629 HANSON AGGREGATES INC 1178855 07/06/11 CRUSHED AGGREGATES 764.78 764.78 2029397 07/06/11 04472 HECTOR I MARES-COSSIO 74 04/30/11 CONSULTANT SERVICES 3,600.00 75 05/30111 CONSULTANT SERVICES 3,600.00 7,200.00 2029398 07/06/11 08610 HENRY BROS ELECTRONICS INC SM33606 06f15/11 SECURITY MAINTENANCE 4,355,57 4,355.57 2029479 07/14/11 08610 HENRY BROS ELECTRONICS INC 130201112 06124/11 SECURITY HARDWARE INSTALL 135,782.26 135,782.26 2029714 07/27/11 13116 HERBERT EUGENE ABELL JR 001873 02/05/10 W/O REFUND D0013-XX9688 885,42 885,42 2029399 07/06/11 00713 HEWLETT-PACKARD COMPANY 49612756 06/14/11 ENGINEERING PLOTTER 8.864.21 8,864.21 2029480 07/14/11 00713 HEWLETT-PACKARD COMPANY 49650251 06/21/11 HARDWARE SUPPORT 1,799,20 1,799.20 2029715 07/27/11 00713 HEWLETT-PACKARD COMPANY 49728581 07/07/11 STORAGE EXPANSION 3,517.56 3,517.56 2029554 07/20/11 13068 HOMETEAM PROPERTY MANAGEMENT Ref002415327 07/19/11 US Refund Cst #0000081589 36.51 36.51 2029716 07/27/11 12335 HP ENTERPRISE SERVICES lLC U2816144 07/08/11 CREDIT CARD SERVICES (JUNE 2011)1,979.60 1,979-60 2029481 07/14/11 08969 INFOSEND INC 50963 05/31111 POSTAGE (MAY 2011)15,501.39 50962 05/31111 BILL PRINTING SERVICES 6,701 19 51039 06102111 INFOSEND E8PP (MAY)3,881,40 26,083.98 2029635 07/20/11 08969 INFOSEND INC 51677 06130/11 POSTAGE (JUNE 2011)15,630.15 51676 06/30/11 BILL PRINTING SERVICES (JUNE 2011)6,519.97 22,150.12 2029717 07127/11 08969 INFOSEND INC 51763 07/05/11 INFOSEND BILLING (JUNE 2011)3,97000 3,970.00 2029636 07/20/11 02372 INTERIOR PLANT SERVICE INC 38535 06130111 PLANT SERVICES (JUNE 2011)186.00 186.00 2029482 07/14/11 02263 ITRON INC 197382 06111/11 SOFTWARE MAINTENANCE 4,505.04 4,505.04 Page 8 of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 7/6/2011 TO 7127/2011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029483 07/14/11 03077 JANI-KING OF CALIFORNIA INC SOO06110845 06/21/11 JANITORIAL SERVICES (JUNE 2011)4,200.00 4,20000 2029637 07/20/11 03077 JANI-KING OF CALIFORNIA INC SOO06110202 06/01/11 JANITORIAL SERVICES 1,062.84 1,06284 2029484 07/14/11 10563 JCI JONES CHEMICALS INC 508471 CREDIT MEMO (3,000.00) 510988 CREDIT MEMO (3,000.00) 513062 CREDIT MEMO (3,000.00) 510842 06/22/11 CHLORINE 4,801.80 512880 07/06/11 CHLORINE GAS 4,801.80 603,60 2029555 07/20/11 13075 Jill HAYES Ref002415334 07/19/11 UB Refund Cst #0000143037 44.85 44.85 2029400 07/06/11 12994 JIM &SLIM TOOL SUPPLY INC 315051 06/10/11 ONE-HANDED WRENCH 201.45 201.45 2029556 07/20/11 13080 JOHN AOAMSKE Ref002415339 07/19/11 UB Refund Cst #0000159575 47,52 47.52 2029401 07/06/11 03172 JONES &STOKES ASSOCIATES INC 0079663 06/04/11 P1253 SAN MIGUEL HABITAT MGMT AREA 22,984,77 0079655 06/14/11 ENVIRONMENTAL CONSULTING 1,479,68 0079652 06/14/11 ENVIRONMENTAL CONSULTING 1,330,00 25,794.45 2029718 07/27/11 03172 JONES &STOKES ASSOCIATES INC 0080114 07/08/11 P1253 SAN MIGUEL HABITAT MGMT AREA 19,115,07 0080112 07/09/11 ENVIRONMENTAL CONSULTING 585.75 19,700.82 2029557 07/20/11 13103 JOSE REYNOSO Ref002415364 0711 9/11 UB Refund Cst #0000175979 75.00 75.00 2029402 07/06/11 12417 JOSE VillANUEVA JR 002991 06/14/11 EMPLOYEE PROGRAM 275.00 275.00 2029558 07/20/11 13067 JUDITH ORTEGA Ref002415326 07/19/11 UB Refund Cst #0000075631 28.67 28,67 2029559 07/20/11 13110 KEN CAPURRO Ref002415371 07/19/11 UB Refund Cst #0000177352 38.76 38.76 2029560 07/20/11 13090 KIM THOMAS Ref002415351 07/19/11 US Refund Cst #0000173847 39.99 39.99 2029638 07/20/11 12633 l H WOODS AND SONS INC 4 06/30/11 EMERGENCY INTERCONNECTIONS 89,141.58 89,141.58 2029561 07/20/11 13098 l&J INVESTMENT PROPERTIES Ref002415359 07/19/11 US Refund Cst #0000175218 11.64 11.64 2029639 07/20/11 05632 LARSON,BRAD 003021 07/12/11 SAFETY BOOTS 127.22 127.22 2029640 07/20/11 09511 lAYFIElD ENVIRONMENTAL SYSTEMS E03186 06/30/11 COVER MAINTENANCE (ANNUAL)72,663,00 72,663.00 2029719 07/27/11 03607 LEE &RO INC lR14280 07/11/11 DESIGN SERVICES 4,419.81 4,419.81 2029562 07/20/11 13106 LENDER PROCESSING SERVICE Ref002415367 07/19/11 US Refund Cst #0000176411 434.79 434.79 2029563 07/20/11 13078 lEVY HOME TEAM Ref002415337 07/19/11 UB Refund Cst #0000155374 20.42 20.42 2029641 07/20/11 07784 LICON,HECTOR 003022 07/12/11 SAFETY BOOTS 150.00 150.00 Page 9 of19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 716f2011 TO 7/27/2011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029642 07/20f11 00491 LIGHTHOUSE INC,THE 0136787 06127/11 REPAIR PARTS 132.73 132.73 2029403 07/06/11 13054 LINDA WOODS 002985 06/30/11 lANDSCAPE PROGRAM 1,114.00 1,114.00 2029564 07/20f11 13073 LINNET CAMPUZANO Ref002415332 07/19/11 US Refund Cst #0000140757 35.28 35.28 2029643 07/20/11 13114 lN REAL ESTATE llC 003034 07119/11 EASEMENT ACQUISITION 5,900,00 5,900.00 2029644 07/20/11 05220 lOGICALIS INTEGRATION SOLUTION S134589 06/30/11 2010 EXCHANGE UPGRADE 8,535.64 S134722 06/30/11 CONFIGURATION ASSISTANCE (JUNE 2011)3,465,00 12,000.64 2029645 07/20/11 13046 lUCITY INC 611042 05/31/11 ASSET MANAGEMENT ANNUAL 4,520.00 4,520.00 2029720 07/27/11 07591 MA,DONGXING 17470711 07f26/11 TRAVEL EXPENSE 137.68 137.68 2029404 07f06/11 10512 MAil MANAGEMENT GROUP INC OWD7034 06/30/11 C C R PROCESSING 2,200.59 2,200.59 2029646 07120/11 00628 MANHATTAN NATIONAL LIFE 003026 07/15/11 MONTHLY VOLUNTARY LIFE INSURANCE 330.94 330.94 2029565 07f20/11 13087 MARIA JIMENEZ Ref002415347 07119/11 US Refund Cst #0000173077 37.18 37.18 2029721 07f27/11 02902 MARSTON+MARSTONINC 201162 06f06/11 PROFESSIONAL SERVICES (MAY 2011)3,775.50 201172 07f01f11 WELL PROJECT 1,875.50 5,651.00 2029566 07f20/11 13109 MARTHA ALDANA Ref002415370 07119111 US Refund Cst #0000176830 130.44 130.44 2029722 07/27/11 13112 MATERIAL SALES 314627 07/07f11 SHOPI MAINT MATERIAL 668.81 668.81 2029647 07f20/11 02882 MAYER REPROGRAPHICS INC 06644881N 06/09/11 HVACIMPROVEMENTS 321.44 321.44 2029405 07/06/11 01183 MCMASTER-CARR SUPPLY CO 87803009 06/13/11 FLAGS 350.74 87930706 06/14/11 STAINLESS HARDWARE FOR WWTP 231.50 582,24 2029723 07/27/11 01183 MCMASTER-CARR SUPPLY CO 89625300 07/05f11 SCREEN REPAIRS 268.64 89734672 07/06/11 SCREEN REPAIRS 16.16 284.80 2029567 07/20/11 13063 MERLIN HElM Ref002415322 07l19f11 US Refund Cst #00000281 01 41.73 41,73 2029648 07/20/11 02835 Mil-RAM TECHNOLOGY INC 984780 06/28f11 SENSOR RECHARGE 288.00 288,00 2029724 07/27f11 00237 MISSION JANITORIAL &ABRASIVE 26465500 07/05/11 JANITORIAL 759.73 759.73 2029725 07/27/11 02371 MOODY'S INVESTORS SERVICE C1806370000 07/19/11 RATING AGENCY FEES 6,000.00 6,000.00 2029485 07/14/11 09227 MOORE INDUSTRIES-INTRNTL INC 554886 06/17/11 POWERS 535 8,585.82 8,585.82 2029568 07/20/11 13108 MORENO VALLEY CONSTRUCTION Ref002415369 07119/11 US Refund Cst #0000176799 1,870.01 1,870.01 Page10of19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 7/6/2011 TO 7127J2011 Check #Date Vendor Vendor name Invoice lov Date Description Amount Paid Check Total 2029486 07/14/11 02764 MYRON L COMPANY 324539 06/24/11 EQUIPMENT MAINTENANCE 866.51 866.51 2029649 07/20/11 04676 NAPA AUTO PARTS 240769 05/31/11 AUTO PARTS 528.34 528.34 2029487 07/14/11 12908 NARASIMHAN CONSULTING SERVICES 03901 06/23/11 HYDRAULIC MODELING SERVICES 2,057.00 2,057.00 2029406 07106/11 03523 NATIONAL DEFERRED COMPENSATION Ben2415028 07107/11 DEFERRED COMP PLAN 9,268.43 9,268.43 2029587 07/20/11 03523 NATIONAL DEFERRED COMPENSATION Ben2415403 07/21/11 BI-WEEKLY DEFERRED COMP PLAN 9,370.16 9,370.16 2029650 07/20/11 09884 NATIONAL SAFETY COMPLIANCE INC 50057 06/30/11 RANDOM DRUG TESTING 451,13 451.13 2029569 07/20/11 13079 NEW DAWN REALTY Ref002415338 07/19/11 UB Refund Cst #0000157773 11,83 11.83 2029651 07/20/11 00745 NEWARK 20763544 06/27/11 IDEC TIMERS 295.62 295.62 2029652 07/20/11 05494 NEXTEL OF CALIFORNIA INC 901500243058 07112/11 GPS LICENSE (ANNUAL)3,561.90 3,56190 2029407 07106/11 03517 NOBEL SYSTEMS 11789 05/31/11 DATA CAPTURE 7,600.00 7,600.00 2029653 07/20/11 03517 NOBEL SYSTEMS 11857 06/30/11 DATA CAPTURE (JUNE 2011)1,600.00 1,600.00 2029654 07/20/11 07447 NTU TECHNOLOGIES INC 7358 06/29/11 POLYMER 908 6,622.88 6,622.88 2029408 07/06/11 00510 OFFICE DEPOT INC 567594752001 06/10/11 STAPLERS 54,55 54.55 2029488 07/14/11 00510 OFFICE DEPOT INC 568965554001 06/22/11 WHITE BOARD 242,67 568914349001 06/21111 SUPPLIES 81,82 324.49 2029655 07/20/11 00510 OFFICE DEPOT INC 569776521001 06/29/11 INKJET CARTRIDGES 259.80 569912542001 06/30/11 EMPLOYEE RECOGNITION 125.69 385.49 2029726 07/27/11 00510 OFFICE DEPOT INC 570218024001 07105/11 EMPLOYEE RECOGNITION 88.89 570555711001 07107/11 FILE FOLDERS 44.36 133,25 2029570 07/20/11 13062 OKYON HUGHES Ref002415321 07119/11 UB Refund Cst #0000026995 48.44 48.44 2029656 07/20/11 03149 ON SITE LASER LLC 45797 06/25/11 HP 4500 PRINTER SERVICE 99.00 99.00 2029657 07/20/11 02334 OTAY LANDFILL 011026 06/30/11 WASTE DISPOSAL (JUNE 2011)224.35 224.35 2029409 07/06/11 03101 OTAY WATER DISTRICT Ben2415030 07/07/11 PAYROLL DEDUCTION -ASSN DUES 735,00 735.00 2029588 07/20/11 03101 OTAY WATER DISTRICT Ben2415405 07/21/11 BI-WEEKLY PAYROLL DEDUCTION -UNION DUES 735,00 735.00 2029727 07/27/11 03780 OWEN,DOUGLAS WESTLEY 003056 07/26/11 REIMBURSE TUITION 3,000.00 3,000.00 2029410 07/06/11 01002 PACIFIC PIPELINE SUPPLY 147228 06/10/11 LID LIFTER I NUT WRENCH 228.38 228,38 Page 11 of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 7/6/2011 TO 7/27/2011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029489 07/14/11 01002 PACIFIC PIPELINE SUPPLY 146953 06127/11 INVENTORY 380.08 147096 06117/11 GATE CAPS 274.05 654.13 2029411 07/06/11 03017 PACIFIC SAFETY COUNCIL 68218 05131111 ANNUAL MEMBERSHIP 380.00 380.00 2029658 07120/11 03017 PACIFIC SAFETY COUNCIL 68333 06130111 REGISTRATION FEE 119.00 119.00 2029571 07/20/11 13096 PACIFIC WEST HOME MORTGAGE LLC Ref002415357 07/19/11 UB Refund Cst #0000175046 2688 26.88 2029659 07/20/11 05497 PAYPAL INC 12364839 06130111 PAYMENT SERVICES (JUNE 2011)54.10 54.10 2029490 07/14/11 12472 PCNATION P049416801018 06117111 CYBERPOWER UPS 1,663.97 1,663.97 2029491 07114/11 00227 PELL MELL SUPPLY 54581 06117/11 MATERIAL PUMPS 81.56 81.56 2029412 07/06/11 03790 PENHALL COMPANY 28115 06113/11 CUnlNG SERVICES 200.00 200.00 2029492 07/14/11 03790 PENHALL COMPANY 28152 06120/11 cunlNG SERVICES 260.00 260.00 2029660 07/20/11 03790 PENHALL COMPANY 28266 06130/11 CUTTING SERVICES 290.00 290.00 2029413 07106/11 03457 PERSONAL TOUCH WEST 22121 06/16111 PENS 1,071.46 1,071.46 2029493 07114/11 03457 PERSONAL TOUCH WEST 22123 06/21/11 CONSERVATION MATERIALS 727.17 727.17 2029728 07/27/11 03457 PERSONAL TOUCH WEST 22148 07/06111 OUTREACH MATERIALS 832.01 22091 05/31111 CONSERVATION MATERIALS 450.13 1,282.14 2029572 07/20/11 13095 PETERSON FAMILY TRUST Ref002415356 07119/11 UB Refund Cst #0000174771 14.75 14.75 2029414 07/06/11 00137 PETTY CASH CUSTODIAN 002987 07/05fl1 PETTY CASH 555.38 555.38 2029589 07/20/11 00137 PETTY CASH CUSTODIAN 003015 07/19111 PETTY CASH 314.24 003014 07/19111 PEnYCASH 74.88 389.12 2029573 07/20/11 13088 PGIINVESTMENTS INC Ref002415348 07/19/11 UB Refund Cst #0000173086 27.06 27.06 2029445 07/12111 04850 PHIL'S B BO PC1959 07/06/11 BI·ANNUAL EVENT 3.384.78 3,384.78 2029494 07/14/11 03253 PIPEHORN UTILITY TOOL COINC IN2900 06120/11 TOOLS 1,269.00 1,269.00 2029729 07/27/11 00053 PITNEY BOWES INC 427275 07/01/11 POSTAGE MACHINE MAINTENANCE ANNUAL 2,569.00 427276 07/01/11 POSTAL SECURITY DEVICE RENTAL (QUARTERLY)250.00 2,819.00 2029495 07114/11 06419 PLANT SOUP INC 759 06115/11 WATER CONSERVATION -NEWSLETTER ARTICLE 843.00 843.00 2029496 07114/11 07161 POULIN,WILLIAM 17280611 06/21111 TRAVEL EXPENSE 25.22 25.22 2029415 07106111 01733 PRICE TRONCONE &12384 05/16/11 SITE RENTAL 4,128.00 4,128.00 Page 12 of19 DTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO7/2712011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029497 07/14/11 07346 PRIME ELECTRICALSERVICES INC 9498 06123/11 WIRELESS BACKHAUL 2,466.00 2,466.00 2029661 07/20"1 07346 PRIME ELECTRICAL SERVICES INC 9509 06/28t11 WIRELESS BACKHAUL 2,000.00 9520 06/30/11 ELECTRICAL SERVICES 1,631.50 9521 06/30/11 ELECTRICAL SERVICES 742.00 4,373,50 2029662 07/20/11 12773 PRM CONSULTING 20111040WD 07113/11 REDISTRICTING PROJECT 3,625.00 3,625.00 2029416 07/06/11 06641 PRUDENTIAL OVERALL SUPPLY 30188501 06/16/11 MATS,TOWElS &SUPPLIES 168.70 30187869 06/14/11 MATS,TOWElS &SUPPLIES 105.88 30188502 06/16/11 UNIFORMS 59.26 30187868 06/14/11 UNIFORMS 57.49 30188499 06/16/11 MATS,TOWELS &SUPPLIES 187.29 30188500 06/16/11 UNIFORMS 367.64 946.26 2029498 07114/11 06641 PRUDENTIAL OVERAll SUPPLY 30190034 06123/11 UNIFORMS 364.92 30190033 06/23/11 MATS,TOWELS &SUPPLIES 187.29 30190035 06/23111 MATS,TOWElS &SUPPLIES 168.70 30189396 06/21111 MATS,TOWElS &SUPPLIES 105.88 30190036 06/23111 UNIFORMS 59.26 30189395 06/21/11 UNIFORMS 47.50 933.55 2029663 07'20/11 06641 PRUDENTIAL OVERALL SUPPLY 30190783 06/28/11 MATS,TOWELS &SUPPLIES 105,88 30181769 05/17/11 MATS,TOWELS &SUPPLIES 105.88 30181768 05f,7',1 UNIFORMS 68.60 30190782 06/28/11 UNIFORMS 53.50 333.86 2029730 07/27/11 06641 PRUDENTIAL OVERALL SUPPLY 30191450 06/30/11 UNIFORMS,TOWELS &MATS 371.92 30193117 07107111 UNIFORMS,TOWELS &MATS 369.64 30193116 07/07/11 UNIFORMS,TOWELS &MATS 197.34 30191449 06/30/11 UNIFORMS,TOWELS &MATS 197.34 30193118 07107111 UNIFORMS,TOWELS &MATS 168.70 30191451 06/30111 UNIFORMS,TOWELS &MATS 168.70 30191452 06130111 UNIFORMS,TOWELS &MATS 136.50 30192461 07/05111 UNIFORMS,TOWELS &MATS 111.33 30186341 06107/11 UNIFORMS,TOWELS &MATS 105.88 30193119 07/07/11 UNIFORMS,TOWELS &MATS 80.81 30186340 06/07/11 UNIFORMS,TOWELS &MATS 53.49 30192460 07/05111 UNIFORMS,TOWELS &MATS 49.22 2,010.87 2029731 07/27/11 00078 PUBLIC EMPLOYEES RET SYSTEM Ben2415399 07/21111 BI·WEEKLY PERS CONTRIBUTION 158,452.28 158,452.28 2029499 07/14/11 00078 PUBLIC EMPLOYEES RETIREMENT Ben2415024 07/07111 PERS CONTRIBUTION 152,658.35 152,658.35 2029664 07120/11 04065 PURCHASE POWER 800090001116750~07/05/11 POSTAGE METER REFILL 2,119.99 2,119.99 2029665 07/20/11 10415 QUICKSTARTINTELLIGENCE QSM101504 06/28/11 TRAINING PROGRAM 4,800.00 4,800.00 Page 13of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO 7f27/2011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029500 07/14/11 10294 QWIKPRINTS 111821150 07/01/11 FINGERPRINTING SERVICES 120,00 120.00 2029417 07/06/11 01342 R J SAFETYSUPPLY CO INC 28760602 06/10/11 SAFETY SUPPLIES 9,02 9.02 2029666 07/20/11 02041 RBF CONSULTING 11060010 06/27/11 CONSULTING SERVICES 4,940,00 4,940.00 2029667 07/20/11 13052 RC TRAILERS 2803 06/28/11 BASIN SKIRT 946,13 946.13 2029418 07/06/11 01722 ROO EQUIPMENT CO P58422 06/10/11 REPAIR PARTS 317.46 317.46 2029501 07/14/11 09993 REPROHAUS CORP 0000141502 06/17/11 REPROGRAPHICS SVCS 293.63 293.63 2029419 07/06/11 13053 RICHARD CAIN 002986 06/30/11 LANDSCAPE PROGRAM 3,00000 3,000.00 2029574 07/20/11 13061 RICHARD STORK Ref002415320 07/19/11 UB Refund Cst #0000026282 67.28 67.28 2029732 07/27/11 12017 RICK ALEXANDER COMPANY,THE 003013 07/01/11 CONSULTING SERVICES 1,492.69 1,492.69 2029420 07/06/11 04068 ROADONE TOWING 432348 06/13/11 TOWING,UNIT 111 198.00 19800 2029502 07/14/11 04542 ROBAK,MARK 70140511 05/31/11 MILEAGE REIMBURSEMENT 67.83 67.83 2029575 07/20/11 13081 ROBERT MARSH Ref002415340 07119/11 UB Refund Cst #0000163063 14.55 14,55 2029503 07/14/11 12228 ROCKWELL ENGINEERING &12187 06/08/11 ROTATING ASSEMBLY 7,759.85 7,759.85 2029504 07/14/11 13057 RODERICK ARCE 003005 06/02/11 ADVERTISING 400.00 400.00 2029505 07/14/11 06412 ROMERO,TANYA 003003 07/07/11 TUITION 750.53 750.53 2029668 07/20/11 06412 ROMERO,TANYA 003018 07/18/11 TUITION 170.00 170.00 2029421 07/06/11 10092 RONALD JAY OEDING 6242011 07/01/11 WELLNESS PROGRAM 543.75 543.75 2029576 07/20/11 13097 ROSANNA CARRISOS Ref002415358 07/19/11 UB Refund Cst #0000175130 53.22 53.22 2029669 07/20/11 02142 RUPE'S HYDRAULICS P127925 06/30/11 CYLINDER REPAIRS 528,58 528.58 2029733 07/27/11 02142 RUPE'S HYDRAULICS P127938 07/01/11 CYLINDER REPAIRS 776.98 776.98 2029422 07/06/11 05130 SAFARI MICRO INC 202201 06/15/11 PRINTER 789.53 789.53 2029670 07/20/11 05130 SAFARI MICRO INC 202200 06/15/11 AC ADAPTER 1,315,88 1,315.88 2029671 07/20/11 02390 SAFE HEARING AMERICA INC DP13182 06/30/11 HEARING EXAMS 30,00 30.00 2029734 07/27/11 03687 SAFETY-KLEEN SYSTEMS INC 54287635 07/01111 SOLVENT TANK SERVICE 204.84 204.84 2029423 07/06/11 11596 SAN DIEGO CONSTRUCTION WELDING 8000 06/10/11 WELDING SERVICES 340.00 Page 14 of 19 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO 7/2712011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 8006 06116/11 WELDING SERVICES 25500 595.00 2029735 07/27/11 02586 SAN DIEGO COUNTY ASSESSOR 2011018 07/08/11 ASSESSOR DATA (JUNE 2011)125.00 125.00 2029506 07/14/11 00003 SAN DIEGO COUNTY WATER 0000000354 06/20/11 HEW REBATES 2,175,00 0000000352 06/20/11 HEW REBATES 550,00 2,725.00 2029507 07/14/11 04661 SAN DIEGO COUNTY WATER 003004 07/13/11 REGISTRATION FEE 25,00 25.00 2029736 07/27/11 00247 SAN DIEGO DAILY TRANSCRIPT 254756 07101111 ADVERTISEMENT 77,60 254755 07101/11 ADVERTISEMENT 66.75 254728 07/01111 ADVERTISEMENT 54.35 198.70 2029508 07/14111 00121 SAN DIEGO GAS &ELECTRIC 002997 06/24/11 UTILITY EXPENSES 1,733.85 002995 06/29/11 UTILITY EXPENSES 55,887.93 002996 06/27/11 UTILITY EXPENSES 32,112.92 89,734,70 2029672 07/20/11 00121 SAN DIEGO GAS &ELECTRIC 003012 07/07/11 UTILITY EXPENSES 93,185.71 93,185,71 2029509 07/14/11 10578 SAN DIEGO INTERNATIONAL PUBLIC 003009 07/12/11 MEMBERSHIP FEES 165.00 165.00 2029577 07/20/11 13104 SAN DIEGO REALTY INC Ref002415365 07/19/11 UB Refund Cst #0000176146 5.50 5.50 2029673 07/20/11 12080 SAN DIEGO UNION-TRIBUNE LLC 0010528217 06/29/11 BID ADVERTISEMENT 240.40 240.40 2029737 07/27/11 12080 SAN DIEGO UNION-TRIBUNE LLC 0010528829 07101/11 ADVERTISEMENT 310,80 0010528824 07/01/11 ADVERTISEMENT 253,20 564.00 2029578 07/20/11 13083 SANDY MILLER Ref002415342 07/19/11 UB Refund Cst #0000168369 118.48 118.48 2029579 07/20/11 13077 SANGSIK LEE Ref002415336 07/19/11 UB Refund Cst #0000154352 13153 131.53 2029674 07/20/11 05321 SCHIFF ASSOCIATES 00303742H 06/25/11 CATHODIC PROTECTION 13,400,60 13,400.60 2029675 07/20/11 12333 SCHINDLER ELEVATOR CORPORATION 8102915768 06/01/11 ELEVATOR MAINTENANCE 430.00 430.00 2029580 07/20/11 12519 SDREO SOLD Ref002415349 07119/11 US Refund Cst#0000173171 25.68 25,68 2029738 07/27111 00419 SHAPE PRODUCTS 151745 07/06/11 LABORATORY SUPPLIES 1,151.04 1,151,04 2029424 07/06/11 01651 SHARP REES-STEALY MEDICAL CTRS 237 06/22111 HEALTH EXAM 15.00 15.00 2029510 07/14/11 01651 SHARP REES-STEALY MEDICAL CTRS 237A 06/18/11 HEALTH EXAMS 178.00 178.00 2029511 07/14/11 11516 SIEMENS INDUSTRY INC 900227174 06/20/11 CHLORINE INJECTORS 3,544.17 900224954 06117/11 CHLORINE INJECTORS 20.00 3,564.17 2029739 07127/11 05627 SIGNA DIGITAL SOLUTIONS INC ARS57480 07101/11 COPIER MAINTENANCE (APR-JUN 2011)130.85 130.85 Page150f19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO 712712011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029425 07/06111 00258 SLOAN ELECTRIC COMPANY 0059214 06/16111 PUMP #2 REBUILD 18,175.98 18,175.98 2029581 07/20111 13092 SONYA FLORES Ref002415353 07/19111 UB Refund Cst #0000174134 54.99 54.99 2029676 07/20/11 11618 SOUTH COAST COpySYSTEMS AR88970 06/27/11 WARRANTY UPGRADES 2,064.00 AR89242 06129/11 RAM FOR UPGRADE OF ECOPY 44.95 2,108.95 2029512 07114/11 02963 SOUTH COUNTY ECONOMIC 19511 06116/11 MEMBERSHIP RENEWAL 750.00 750.00 2029677 07/20/11 03103 SOUTHCOAST HEATING &C46368 06/13/11 AC MAINTENANCE 1,068.00 1,068.00 2029676 07120111 03760 SPANKY'S PORTABLE SERVICES INC 863635 06123111 PORTABLE TOilET RENTAL (JULY 2011)96.25 861774 06103111 PORTABLE TOilET RENTAL (JUNE 2011)60.06 861775 06/03/11 PORTABLE TOilET RENTAL (JUNE 2011)60.06 861776 06103/11 PORTABLE TOilET RENTAL (JUNE 2011)80.06 881846 06106111 PORTABLE TOilET RENTAL (JUNE 2011)80.06 883096 06/15/11 PORTABLE TOilET RENTAL (JUNE 2011)80.06 498.55 2029740 07/27111 03760 SPANKY'S PORTABLE SERVICES INC 884527 07/04111 PORTABLE TOILET RENTAL (JULY 2011)80.06 884463 07/01111 PORTABLE TOILET RENTAL (JULY 2011)80.06 884462 07101/11 PORTABLE TOilET RENTAL (JULY 2011)80.06 884461 07101/11 PORTABLE TOilET RENTAL (JULY 2011)80.06 320.24 2029426 07/06f11 09711 SPATIAL WAVE INC 6075 06/12f11 SOfTWARE DEVELOPMENT 16,800.00 16,800.00 2029679 07/20f11 09711 SPATIAL WAVE INC 11064689 05/28/11 MAPPlET MAINTENANCE (ANNUAL)34,650.00 34,650.00 2029427 07/06f11 03516 SPECIAL DISTRICT RISK 36087 05/27/11 PROPERTY &LIABILITY PROGRAM (ANNUAL)542,862.66 36648 06/08/11 WORKERS'COMPENSATION 50,868.00 593,730.66 2029428 07/06/11 10343 SPECIALTY DOORS AND AUTOMATION 36016SD 04/27/11 GATE REPAIRS 763.89 763.89 2029582 07/20/11 13099 SSFT HOLDING llC Ref002415360 07/19/11 UB Refund Cst #0000175487 87.40 87.40 2029680 07/20/11 13113 ST JOSEPHS OCCUPATIONAL HEALTH 003027 06/29/11 PRE·PLACEMENT PHYSICAL 135.00 135.00 2029681 07120/11 10670 STANDARD &POOR'S FINANCIAL 10273713 07/08111 S&P CREDIT RATING 3,500.00 3,500.00 2029741 07127/11 02354 STANDARD elECTRONICS 15623 07/07/11 SECURITY SERVICES (JULY 2011)1,472.50 1,472.50 2029429 07/06/11 06281 STATE DISBURSEMENT UNIT Ben2415046 07/07/11 PAYROll DEDUCTION 415.36 415.38 2029430 07/06111 06299 STATE DISBURSEMENT UNIT Ben2415034 07/07/11 PAYROll DEDUCTION 237.69 237.69 2029431 07106111 06303 STATE DISBURSEMENT UNIT Ben2415042 07/07/11 PAYROll DEDUCTION 802.15 802.15 2029590 07120/11 06281 STATE DISBURSEMENT UNIT Ben2415421 07/21/11 BI·WEEKlY PAYROll DEDUCTION 415.38 415.38 2029591 07120/11 06299 STATE DISBURSEMENT UNIT Ben2415409 07/21/11 BI·WEEKLY PAYROll DEDUCTION 237.69 237.69 Page 16 of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO 7/2712011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029592 07/20/11 06303 STATE DISBURSEMENT UNIT Ben2415417 07/21111 BI·WEEKLY PAYROLL DEDUCTION 802.15 802.15 2029432 07/06111 02261 STATE STREET BANK&TRUSTCO Ben2415026 07107/11 DEFERRED COMP PLAN 5,791.11 5,791.11 2029593 07/20111 02261 STATE STREET BANK&TRUST CO Ben2415401 07121111 BI·WEEKLY DEFERRED COMP PLAN 5,812.19 5,812.19 2029682 07120/11 03263 STRUNKS JR,DALE R 003020 07/18111 SAFETY BOOTS 137.00 137.00 2029513 07/14/11 12809 STUTZ ARTIANO SHINOFF 84276 06/27/11 LEGAL SERVICES 37,430.52 37,430.52 2029514 07/14111 13055 SUNSET MAGAZINE 600075639 06/22111 PUBLICATION INVOICE 1,646.23 1,646.23 2029683 07/20/11 12565 SUSAN GUllEDA &CO 003025 07118/11 EMPLOYEE PROGRAM 250.00 250.00 2029515 07114/11 00408 SWEETWATER AUTHORITY 5113404 06/15/11 O&MCOSTS 30,793.90 30,793.90 2029433 07106111 01905 SYMPRO INC 06138 05/01111 ANNUAL SUPPORT 7.086.00 7,086.00 2029516 07/14111 02188 TALLEY COMMUNICATIONS 10065543 CREDIT MEMO (5,883.04) 10065708 06f08/11 ANTENNA CABLES 5,905.66 10066674 06f17/'1 ANTENNA CABLES 3,759.24 3,781.86 2029517 07/14/11 02376 TECHKNOWSION INC 2331 06f24/11 ETHERNET CONVERSIONS 8,775.00 2332 06f24/11 DELRIO INTERCONECTION 5,332.50 2333 06/24/11 GILLESPIE INTERCONNECTION 5,332.50 19,440.00 2028684 07/20/11 02376 TECHKNOWSION INC 2334 06/27/11 COTTONWOOD CONVERSION 8,644.00 8,644.00 2029434 07/06/11 02975 TETRA TECH INC 50461520 06/10/11 WELL PROJECT 26,550.90 26,550.90 2029518 07/14/11 06847 THIRD AVENUE VILLAGE ASSN 002994 07/06111 MEMBERSHIP RENEWAL (2011-2012)180.00 180.00 2029444 07/08/11 13056 TINA BREWER &SHAWN BREWER 002998 07/08f11 CUSTOMER REFUND 2,564.21 2,564.21 2029583 07/20/11 13100 TRI POINTE HOMES ReID02415361 07/19111 UB Refund Cst #0000175691 108.43 108.43 2029742 07/27/11 03261 TYLER TECHNOLOGIES INC 47725 05125111 SUPPORT&MAINTENANCE ANNUAL 130,030.50 130,030.50 2029743 07/27/11 00427 UNDERGROUND SERVICE ALERT OF 620110464 07/01111 UNDERGROUND ALERTS (JUNE 2011)313.50 313.50 2029435 07/06111 13047 UNION BANK NA 5717A 05/02/11 ADM FEES 2,915.00 2,915.00 2029519 07114/11 13047 UNION BANK NA 6054 06123111 ADM FEES I 93 COP 2,097.00 6055 06123111 ADM FEES 790.00 2,887.00 2029520 07114/11 08262 UNITED RENTALS NORTHWEST INC 94099837001 06123111 FORKLIFT RENTAL 610.23 610.23 2029436 07/06/11 05417 UNITED STATES DEPARTMENT Ben2415044 07107111 PAYROLL DEDUCTION 100.00 100.00 Page 17 of 19 OTAYWATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO7127/2011 Check #Date Vendor Vendor name Invoice Inv Date Description Amount Paid Check Total 2029594 07/20/11 05417 UNITED STATES DEPARTMENT Ben2415419 07/21111 BI·WEEKLY PAYROLL DEDUCTION 100.00 100.00 2029521 07114/11 00350 UNITED STATES POSTAL SERVICE 104339510711 07/11111 REIMBURSE POSTAGE MACHINE 2,100.00 2,100.00 2029685 07/20/11 07662 UNITEDHEALTHCARE SPECIALTY 112000000115 07/15111 LIFE,AD&D AND SUPPLEMENTAL INS (MONTHLY)5,747.39 5,747.39 2029595 07/20/11 03212 UNUM LIFE INSURANCE Ben2415397 07121111 CONTRIBUTION TO LTD (MONTHLY)5,968.80 5,968.80 2029437 07/06/11 07674 US BANKCORPORATE PAYMENT 002988 06122111 DISTRICT EXPENSES 43.49 43-49 2029522 07/14/11 07674 US BANKCORPORATE PAYMENT 003002 06122111 DISTRICT EXPENSES 14,383.91 003008 06122111 DISTRICT EXPENSES 297.00 14,680.91 2029686 07/20/11 07674 US BANKCORPORATE PAYMENT 003033 06122111 DISTRICTEXPENSES 7,574.38 003032 06122/11 DISTRICT EXPENSES 2,143.50 9,717.88 2029523 07/14/11 06829 US SECURITY ASSOCIATES INC A236142 04/28111 SECURITY SERVICES (APRIL 2011)241.70 241.70 2029744 07/27/11 06829 US SECURITY ASSOCIATES INC 306202 06/30111 SECURITY SERVICES (JUNE 2011)197.80 197.80 2029524 07114111 11606 USA BLUE BOOK 418636 06/10111 SAFETY EQUIPMENT 1,175.97 1,175.97 2029525 07/14/11 03190 VALCO INSTRUMENTS CO INC 90155211 06/20/11 HACH PARTS 4,443.15 4,443.15 2029438 07/06/11 01095 VANTAGEPOINT TRANSFER AGENTS Ben2415032 07/07/11 DEFERRED COMP PLAN 7,801.29 7,801,29 2029439 07/06/11 06414 VANTAGEPOINT TRANSFER AGENTS Ben2415036 07/07/11 401A PLAN 1,645,58 1,645,58 2029596 07/20/11 01095 VANTAGEPOINT TRANSFER AGENTS Ben2415407 07/21/11 BI·WEEKLY DEFERRED COMP PLAN 7,850.74 7,850.74 2029597 07/20/11 06414 VANTAGEPOINT TRANSFER AGENTS Ben2415411 07/21/11 BI-WEEKLY 401A PLAN 1,645.58 1,645.58 2029440 07/06/11 03329 VERIZON WIRELESS 0979577674 05/21/11 WIRELESS SERVICES 10,518.69 10,518.69 2029526 07/14/11 03329 VERIZON WIRELESS 0988481400 06121/11 WIRELESS SERVICES 9,453.64 9,453.64 2029441 07/06/11 00264 WATER ENVIRONMENT FEDERATION 002992 07/01/11 MEMBERSHIP RENEWAL #1774171 295.00 295.00 2029745 07/27/11 00264 WATER ENVIRONMENT FEDERATION 003058 07120/11 MEMBERSHIP FEE 270.00 270.00 2029442 07106/11 01343 WE GOT YA PESTCONTROL 68926 06110/11 PEST CONTROL 115.00 68913 06110/11 PEST CONTROL 115.00 230.00 2029527 07/14/11 01343 WE GOT YA PESTCONTROL 69279 06124/11 PEST CONTROL 115.00 115.00 2029443 07/06/11 11692 WEST COAST lND COATINGS INC 11 06/16111 RESERVOIR COATING 42,930.00 42,930.00 2029528 07/14/11 00125 WESTERN PUMP INC 0102860lN 06120111 LEAK CERTIFICATION 1,515.00 1,515.00 Page 18 of 19 OTAY WATER DISTRICT CHECK REGISTER FOR CHECKS 2029367 THROUGH 2029746 RUN DATES 71612011 TO 7/27/2011 Check #Date Vendor Vendor name Invoice lov Date Description Amount Paid Check Total 2029687 07/20/11 00125 WESTERN PUMP INC 0103206IN 06/28111 APCD TESTING 400.00 400.00 2029746 07/27111 03692 WESTIN ENGINEERING INC 589 07/07/11 PROJECTCONSULTING (JUNE 2011)32,810.00 32,610.00 2029529 07/14111 09149 WILLIS RISK AND INSURANCE 0233701 06/29111 BENEFITS CONSULTING ANNUAL 9,282.75 9,282.75 2029530 07114111 03423 WINZER CORPORATION 3986774 06123111 SHOP SUPPLIES 646.28 646.28 2029584 07/20/11 13076 YVETTE BEUCLER Ref002415335 07/19/11 UB Refund Cst #0000144097 43,99 43.99 GRAND TOTAL 3,095,993.07 3,095,993.07 Page 19 of 19