[00:00:03]
[1. CALL TO ORDER]
WE'RE CALLING THE MEETING OF THE BOARD OF FINANCE ORDERLY REPORT TO THE COMMISSION OF NOVEMBER 8, 2023 AT 5:16 P.M.[2. STATUS OF THE TREASURER’S OFFICE]
AND WE TURN THE FLOOR OVER TO THE COUNTY TREASURER.>> THANK YOU, CHAIRMAN, VICE CHAIR, AND COMMISSIONERS.
GOOD EVENING. I AM PLEASED TO REPORT THAT IT'S BEEN VERY SUCCESSFUL 2023 IN THE TREASURER'S OFFICE.
I LIKE TO START BY INTRODUCING YOU TO TWO VERY SPECIAL GUESTS THAT ARE HERE WITH ME TODAY.
PLEASE WELCOME MY TWO JUNIOR TREASURERS, DANNY, WHO IS A SENIOR AT RIO RANCHO HIGH SCHOOL.
DANNY, CAN YOU STAND UP? THANK YOU.
AND THEN WE HAVE NATALIA -- SORRY, SHAYHAY? SHAYHAY. AND SHE HAS A SENIOR AT JEMEZ SENIOR HIGH SCHOOL.
[APPLAUSE] BOTH OF THESE LADIES WERE SELECTED IN SEPTEMBER OF THESE YEARS WERE INITIALLY PLANNED TO ACCEPT ONE JUNIOR AND ONE SENIOR PARTICIPATE.
THEY ARE ALSO HERE AS ONE OF THE REQUIREMENTS FOR THE PROGRAM AS THEY ARE GOING TO BE REQUIRED TO CONDUCT THEIR OWN MOCK BOARD OF FINANCE COMMITTEE MEETING IN THE NEXT FEW WEEKS.
THEY WILL BE PRESENTED WITH AN AWARD AND RECOGNIZED AS THE OFFICIAL 2023 JUNIOR TREASURERS.
WE ALSO HAVE TWO HIGH SCHOOL INTERNS WHO JUST STARTED IN OUR OFFICE FROM CUBA HIGH SCHOOL.
THEY JUST STARTED IN OUR OFFICE ON MONDAY, OCTOBER 23.
THIS INTERNSHIP IS A PAID INTERNSHIP AND PART OF FUTURE FOCUSED EDUCATION THAT CUBA SCHOOL DISTRICT PARTICIPATES IN AND THAT'S HOW IT'S ACTUALLY FUNDED, SO NO MONEY WILL COME FROM THE COUNTY WHEN IT COMES TO PAYING THEM.
DO YOU HAVE ANY QUESTIONS IN REGARD TO MY TWO JUNIOR COUNTY TRADERS OR OUR INTERNS?
>> J. BLOCK: MR. CHAIR, MADAME TREASURERS, ARE THEY AWARE THEY ARE GOING TO BE BRIEFING TODAY?
>> J. BLOCK: YOU HAVE NOT TOLD THEM YET?
[LAUGHTER] LOOK AT THEM LIKE, WHAT?
>> I THINK THEY ARE GOING TO DO GREAT.
>> J. BLOCK: IS THIS THE FIRST TIME WE'VE DONE THIS AT THE COUNTY, THIS PROGRAM, BY THE WAY?
>> CHAIRMAN, COMMISSIONER BLOCK, YES THIS IS THE FIRST TIME I'M AWARE OF.
>> J. BLOCK: WHO CAME UP WITH THAT IDEA?
>> I CAME UP WITH AN IDEA FROM NACO PUT AN ARTICLE IN THEIR NEWSPAPER, THEIR MONTHLY NEWSPAPER ABOUT IN TENNESSEE, IT WAS ACTUALLY A JUNIOR COMMISSIONER PROGRAM AND I LOVED THE IDEA, SO I WANTED TO TRY IT MYSELF.
>> J. BLOCK: YEAH. THANK YOU FOR DOING THAT AND GIVE TO YOU YOUNG LADIES FOR BEING HERE.
I HOPE YOU LEARN A LITTLE BIT ABOUT GOVERNMENT AND SAME TO THE TWO INTERNS THEY GET PAID.
GOOD ON YOU. I DON'T KNOW IF THIS IS SOMETHING WE COULD DO IN THE ASSESSOR'S OFFICE.
WE CAN PROBABLY USE A JUNIOR COUNTY MANAGER OR SOMETHING LIKE THAT.
[LAUGHTER] I THINK IT'S GREAT AND I JUST WILL COME BOTH OF YOU.
>> THANK YOU, CHAIRMAN, COMMISSIONER BLOCK.
SO IN REGARD TO OUR OFFICE STAFF, OF COURSE YOU KNOW WE HAVE SOME AMAZING EMPLOYEES THAT WORK IN THE TREASURER'S OFFICE AND THEY'VE BEEN WORKING EXTREMELY HARD BRINGING IN THAT MONEY FOR THE COUNTY AND ALSO ENSURING WE ARE FILLING OUR STATUTORY OBLIGATIONS.
BEEN EXTREMELY BUSY ALL HANDS ON DECK ANSWERING CALLS AND ASSISTING TAXPAYERS AT THE WINDOWS.
2023 TAX ROLE WAS RAN ON OCTOBER 31.
>> CHAIRMAN HEIL: I GOT MINE. >> J. TAYLOR: I'M SORRY, WHAT WAS THAT?
>> J. TAYLOR: OUR 2023 TAX ROLE WAS RAN ON OCTOBER 31 AND TAX BILLS WERE SENT OUT ON OCTOBER 31.
[00:05:03]
OUR TAX ROLE HAS INCREASED I'M PLEASED TO SAY BY $15 MILLION.I KNOW THAT SHE BRING SMILES TO YOUR FACES, WHICH PARTIALLY ATTRIBUTES TO THE 500 NEW PARCELS THAT WERE ADDED TO OUR TAX ROLE AS WELL AS ADDITIONAL PIV THAT WAS ADDED.
WE HAVE ADVERTISES TAX SEASON THE LOCAL NEWSPAPER AS WELL AS DIGITAL STREAMING CAMPAIGNS TO BOOST TAXPAYER ENGAGEMENT.
THIS YEAR, MY OFFICE IS ALSO OFFERING A NEW FORM OF COMMUNICATION TO TAXPAYERS VIA TEXT MESSAGING.
THE SERVICE IS CALLED ENGAGED BY CELL.
MESSAGES REGARDING POTENTIAL LATE PAYMENTS WILL BE SENT TO THOSE WHO OPT IN TO RECEIVE THEM IN EFFORT TO CURB TAXPAYERS BECOMING DELINQUENT. THIS WILL ALSO HELP TO REDUCE THE AMOUNT OF FRIENDLY REMINDERS THAT WE MAIL OUT EACH SPRING IN MARCH.
IN ADDITION, BASED ON THE CONVENIENCE AND SIMPLICITY OF TEXT MESSAGING, TEXT MESSAGES ARE LIKELY TO COMMAND MUCH HIGHER AND FASTER RESPONSE RATES AND OTHER APPROACHES SUCH AS EMAIL. THIS IS DEFINITELY A TEST RUN TO SEE HOW SUCCESSFUL IT IS BEFORE DECIDING IF IT IS SOMETHING WE WANT TO CONTINUE GOING FORWARD.
ARE THERE ANY QUESTIONS REGARDING THAT? NO? OKAY.
EACH YEAR THAT WE HOSTED IT IT HAS BEEN MORE SUCCESSFUL THAN THE YEAR BEFORE.
WE ARE ANTICIPATING A BIGGER TURNOUT THIS YEAR DUE TO THE INCREASED COST OF LIVING.
WE ARE HOPING WE CAN ALL COME TOGETHER AS A COUNTY AND HELPING WITH NEEDED DONATION.
TO MY KNOWLEDGE, I KNOW THAT KRQE REPORTED ON IT AS WELL AS THE SANDOVAL SIGNPOST AND -- THANK YOU ALL FOR HELPING US OUT.
THE FOOD DRIVE IS TAKING PL., OCTOBER 16.
WE'VE ALREADY STARTED IT, BUT IT GOES UNTIL NOVEMBER 17 AND WILL BE FOLLOWED RIGHT AFTER BY OUR ANNUAL TOY DRIVE TAKING PL., NOVEMBER 27TH THROUGH DECEMBER 22.
ARE THERE ANY QUESTIONS? >> J. BLOCK: YOU GETTING A LOT OF FOOD IN?
>> J. TAYLOR: SO FAR THEY'VE BEEN TRICKLING IN, BUT WE DID MORE.
>> J. BLOCK: WE HAVING OUR PA PERSON SENDING THIS OUT EVERY 3-5 DAYS?
>> J. TAYLOR: I KNOW SEAN HAS BEEN A HUGE HELP IN GETTING THE WORD OUT.
WE WILL SEND OUT A REMINDER TO ALL MEDIA OUTLETS.
>> J. BLOCK: CAN YOU SEND THIS OUT TO ME AS A JPEG, PLEASE?
BLOCK: THANKS. >> CHAIRMAN HEIL: SEND THAT TO ME, TOO.
I CAN POST THAT ON AT LEAST THREE FACEBOOK PAGES.
>> CHAIRMAN HEIL: HOW DO YOU DISTRIBUTE THIS? YOU ARE COLLECTING UP UNTIL THE 18TH.
FRIDAY BEFORE THE WEEKEND BEFORE THANKSGIVING.
>> J. TAYLOR: WHAT WE ARE DOING IS WE'RE GOING TO BE DELIVERING THEM TO CHECKERBOARD FOOD PANTRY.
THEY ACTUALLY HAVE A DISTRIBUTION AT THE SANDOVAL COUNTY FAIRGROUNDS.
SO WE ARE GOING TO HAVE A DRIVE.
WE ARE GOING TO PICK UP THE DONATIONS.
WE HAVE SEVERAL SITES, REMOTE SITES, THAT ARE HELPING AS WELL.
WE ARE GOING TO PICK UP THE DONATED ITEMS AND DELIVER THEM ON THAT DATE.
>> J. TAYLOR: YOU ARE WELCOME.
ANY OTHER QUESTIONS? OKAY, GREAT. THANK YOU.
NEXT IS AN UPDATE ON OUR LETTER OF CREDIT.
ON SEPTEMBER 29 WE RECEIVED OUR RENEWED LETTER OF CREDIT FROM THE BANK IN TOPEKA.
WE HAVE MET WITH OUR NEW MEXICO BANK AND TRUST LEADERSHIP DURING OUR FOURTH QUARTERLY MEETING ON OCTOBER 11 AND WE WERE REASSURED THAT IN THE EVENT THE BANK BALANCES BEGIN TO NEAR THAT $135 MILLION TOTAL THEY WILL EXTEND AS AN ADDITIONAL LETTER OF CREDIT TO ENSURE WE MAINTAIN OUR COLLATERALIZATION.
WE ARE EXPECTED TO NEAR THAT 135 AND WILL PROBABLY GO A LITTLE BIT OVER THAT.
[00:10:01]
$7.5 MILLION AND THE TOTAL BALANCE OF ALL OUR ACCOUNTS IS AT $61.1 MILLION.ARE THERE ANY QUESTIONS IN REGARD TO THE BANK BALANCES OR OUR LETTER OF CREDIT?
OKAY. >> CHAIRMAN HEIL: I'M STILL READING.
I THINK YOU SLIPPED THROUGH THAT FAST SO YOU DON'T GET ANY QUESTIONS.
YOU CAN FEEL FREE TO LOOK AT IT A LITTLE BIT LONGER.
I KNOW YOU WILL WOULD LIKE TO GET THROUGH THIS.
>> CHAIRMAN HEIL: I HAVE NO QUESTIONS. >> J.
I'M GOING TO TURN THIS OVER TO MY CHIEF DEPUTY JESSICA MCPARLIN BECAUSE SHE'S GOING TO PROVIDE AN UPDATE OF OUR 2023 TAX ROLE AND TREASURY OPERATIONS MANAGER HOLLY AND -- BLESS YOU.
AS MADAME TREASURER STATED, WE PROCESSED THE TAX ROLL ON OCTOBER 31.
THIS YEAR $172,064,558.30 WAS CHARGED TO THE TREASURER TO COLLECT FOR 2023 TAXES.
THIS YEAR HAS BEEN ONE OF OUR LARGEST INCREASES.
HE INFORMED ME THAT IT WAS NOT ASSOCIATED WITH JUST ONE FACTOR OR ANOTHER, BUT MANY FACTORS CAN ACCOUNT FOR THE INCREASE IN THE TAX ROLE TO INCLUDE BUT NOT LIMITED TO THE LEVY RATES, INCREASE VALUES, INCREASE OF PARCELS, AND THE ADDITION OF PID'S, THE PUBLIC -- 148,845, WHICH IS AN INCREASE OF 506 THE FIVE NEW PARCELS ON THE TAX ROLE.
ANY QUESTIONS SO FAR? ALRIGHTY. ALBERTO CHITEZ WILL CONTINUE TO VISIT OUR MORE RURAL COMMUNITIES.
WE INCLUDED THE FIRST-HALF OUTREACH CALENDAR WITH OUR TAX BILL AND SHOULD WE HAVE ANY UNFORESEEN CIRCUMSTANCES ARISE AND WE NEED TO CANCEL, WE WILL RESCHEDULE WITHIN FIVE BUSINESS DAYS AT THAT PARTICULAR LOCATION.
WE ARE JUST VERY EXCITED TO START COLLECTING AND ASSISTING THE TAXPAYERS OF SANDOVAL COUNTY.
FOR YOUR REFERENCE, I HAVE ALSO INCLUDED SOME HISTORICAL DATA FROM THE PAST YEARS AND AS SOON AS SUCH AS THE IVR WEB AND POINT-OF-SALE COLLECTIONS LOCKBOX COLLECTIONS, PAYMENTS TAKEN IN THE OFFICE, AS WELL AS MORTGAGE PAYMENTS THAT WE COLLECT IN THE OFFICE.
ANY QUESTIONS? >> CHAIRMAN HEIL: WHY WASN'T THAT SLIDE IN YOUR PACKAGE?
IT SHOULD BE. I CAN DIFFERENTLY EMAIL YOU THAT SLIDE.
>> H. AGUILAR: GOOD EVENING. I WOULD LIKE TO START OFF WITH OUR TEXT MAINTENANCE SCHEDULE THAT WAS RUN JUST PRIOR TO THE GENERATION --
IT WAS JUST A FEW SLIDES DOWN.
>> CHAIRMAN HEIL: I'M SORRY TO INTERRUPT YOU.
THIS TEXT MAINTENANCE SCHEDULE WAS RUN JUST PRIOR TO THE GENERATION OF THE NEW TAX ROLE.
WE ENDED THE TAX YEAR WITH A 97.63% COLLECTED ON 2023 TAXES AND WE HAVE NINE YEARS TO COLLECT THE REMAINING 2.37%.
OR 10 YEAR COLLECTION RATE IS AT 99.38%.
[00:15:03]
99% COLLECTION RATE ON 10 YEARS CHARGED TO THE TREASURER.THIS SLIDE SHOWS THAT COMPARISON.
AS YOU CAN SEE, WE ARE AT OR ABOVE OTHER CLASS A COUNTIES.
>> J. BLOCK: MR. CHAIR? >> CHAIRMAN HEIL: COMMISSIONER BLOCK.
>> J. BLOCK: SO FOR SAN JUAN THEY DIDN'T GIVE YOU A PERCENTAGE?
>> H. AGUILAR: NO, THEY DID NOT HAVE PERCENTAGES POSTED.
WE ARE STILL TRYING TO COLLECT THAT INFORMATION SANTA FE COUNTY.
>> J. BLOCK: THEY DON'T EVEN POST IT. THAT'S RIDICULOUS.
THAT, TO ME, IS A TRANSPARENCY ISSUE.
I APPRECIATE WHAT YOU GUYS ARE DOING IN DOÑA ANA AND -- AS WELL.
SHAME ON SANTA FE COUNTY FOR NOT SHARING THAT INFORMATION LIKE THE REST OF THE CLASS A COUNTIES ARE.
I WOULD JUST BE CURIOUS IF SAN JUAN HAD A PERCENTAGE.
IF YOU COULD SHOW THIS NEXT MEETING, THAT BE GREAT.
>> H. AGUILAR: SURE THING. >> J.
BLOCK: THANK YOU FOR LOOKING AT THIS.
WE DID SEND OUT TWO SMALL INTEREST PAYMENTS ON THE 2023 AND 2021 GENERAL OBLIGATION BONDS LAST WEEK.
ARE THERE ANY QUESTIONS ON THE DEBT SCHEDULE? OKAY. THEN I WOULD LIKE TO TURN THIS MEETING BACK OVER TO TREASURER TAYLOR.
JUST WANT TO MAKE SURE IF THERE'S ANY OTHER QUESTIONS IN REGARD TO STATUS OF THE COUNTY TREASURER'S OFFICE BEFORE WE MOVE ON TO OUR INVESTMENTS? OKAY. THIS -- OH, THE GRAPH? IT'S JUST FOR A PLACEHOLDER SO WE KNOW WE ARE MOVING TO THE NEXT ITEM.
>> J. BLOCK: THAT'S A PLACEHOLDER?
>> J. TAYLOR: THAT'S A PLACEHOLDER.
>> CHAIRMAN HEIL: THAT'S AS ARTISTIC AS TREASURERS CAN GET.
[LAUGHTER] >> J. TAYLOR: I'M SORRY I'M NOT AN ARTIST.
[LAUGHTER] >> J. BLOCK: LIKE IS THAT GOOD OR IS THAT BAD?
>> J. TAYLOR: I'M GOING TO COME UP WITH SOMETHING MORE CREATIVE NEXT TIME.
I'LL BE MORE CREATIVE AT THE NEXT MEETING.
[3. STATUS OF COUNTY INVESTMENTS]
TREASURER HOLLY NACO WILL BEGIN WITH AN OVERVIEW OF OUR INVESTMENT SUMMARY.WE HAVE A TOTAL OF $57.3 MILLION INVESTED AT THIS TIME.
WE HAVE BEEN ALLOWING MATURITIES TO STAY LIQUID IN THE CASH MANAGEMENT FUND.
WE WILL TRANSFER FORMULAE AND OF THIS TO THE GENERAL CHECKING AS PART OF THE COURTHOUSE FUNDING PRIOR TO CLOSING IN DECEMBER. WE ARE CURRENTLY EARNING 5.23% INTEREST ON THESE FUNDS BY ALLOWING THEM TO REMAIN IN THE INVESTMENT ACCOUNT AT THIS TIME.
>> J. TAYLOR: OKAY. GREAT. I'M GOING TO SHARE SOMETHING.
SOME NEW INFORMATION THAT I HADN'T SHARED PREVIOUSLY.
THE TOTALS OF INTEREST EARNED ON ALL OF OUR INTEREST-BEARING ACCOUNTS FOR 2023 AT NEW MEXICO BANK AND TRUST, NORMALLY WE REPORT THESE WITH OUR PORTFOLIO BECAUSE TECHNICALLY WE CONSIDER THESE AND INVESTMENT.
I FELT IT WOULD BE HELPFUL TO PROVIDE AN OVERVIEW OF EXACTLY HOW MUCH MONEY THE COUNTY IS EARNING AN INTEREST IN ALL OF OUR ACCOUNTS AT NEW MEXICO BANK AND TRUST, AND LIKE I SAID, THIS IS INCLUDED IN OUR PORTFOLIO, BUT I THOUGHT A DOLLAR AMOUNT MIGHT MAKE A LITTLE MORE SENSE FOR EVERYBODY.
AS YOU CAN SEE, IT'S QUITE SIGNIFICANT.
WE HAVE MADE $2.4 MILLION JUST IN INTEREST ALONE.
NOW, FROM JANUARY, 2023 THROUGH MAY, 2023 WE WERE EARNING 4% INTEREST AND FROM JUNE UNTIL PRESENT DAY WE ARE EARNING 4.25% INTEREST.
TYPICALLY, GPA WILL INCLUDE THESE NUMBERS IN THEIR REPORT AS WELL, BUT AGAIN, I THINK IT'S GREAT TO SEE A DOLLAR AMOUNT WHEN WE'RE LOOKING AT THAT ACCUMULATED AMOUNT OF MONEY. ARE THERE ANY QUESTIONS BEFORE I TURN THIS PRESENTATION OVER TO DEANNE?
[00:20:05]
OKAY. DEANNE, GO AHEAD AND TAKE IT OVER.GOOD EVENING. IT'S NICE TO SEE EVERYBODY.
I WILL SHARE MY SCREEN AND GET US GOING ON THE REPORT HERE.
AS TREASURER JUST MENTIONED, WE ARE REALLY BENEFITING A LOT FROM THE CHANGE IN INTEREST RATES AND THE PORTFOLIO STRUCTURE BOTH IN THE BANK ACCOUNT AS WELL AS THE INVESTMENTS ARE PROVIDING HIGHER EARNINGS, SO IT WILL BE GREAT TO SEE THIS NUMBER COMING INTO JUNE 30 FOR YOU.
CAN EVERYBODY, I HOPE YOU CAN SEE MY SCREEN HERE ALL RIGHT.
>> CHAIRMAN HEIL: [INDISCERNIBLE]
>> D. WOODRING: IS IT LOOKING WEIRD?
>> CHAIRMAN HEIL: THERE YOU GO.
IS AN IMPORTANT TIME FOR US TO STEP BACK AND ASSESS STRATEGY COMING INTO NOVEMBER AND DECEMBER FOR YOU AS YOU ARE GOING TO GET INFO FROM TAX RECEIPTS AND OBVIOUSLY YOU HAVE THESE OUTFLOWS THAT ARE HAPPENING FOR DIFFERENT TARGETED MONEY.
SO FIRST OF ALL, LET'S LOOK AGAIN AT YIELDS AND WHAT'S HAPPENING.
THIS IS A REFLECTION OF WHAT'S HAPPENING TO THE TWO YEAR TREASURY NOTE VERSUS LONG-TERM RATES.
YOU GUYS MAY HEAR IN THE NEWS THAT LOWER FOR LONGER, HIGHER FOR LONGER.
THIS IS THE PICTURE THAT WE'RE SEEING THAT.
AS THE FED IS COMING, WE COLLECT THE FED IS VERY CLOSE TO BEING DOWN.
2.5 A YEAR AND HALF AGO TO 5 1/4.
THIS SHIFT IS PROBABLY GOING TO BE A LITTLE BIT LONGER AND DELAYED FROM DROPPING DRAMATICALLY.
THIS ALSO IS SAYING THAT ARE LONGER CURVE INVESTMENTS ARE BELOW 5%.
THE WHOLE STRATEGY WE ARE DEVELOPING AND STAYING INVESTED AND KEEP ON GOING IS WORKING.
WE'RE OWING TO SEE THAT AS THE ROLLUP IN YIELDS ARE BENEFITING FROM THAT.
KEY NUMBERS THAT ARE DRIVING THIS ARE INFLATION.
THIS NUMBER DOWN HERE AT THE VERY BOTTOM IS OUR CORE CPI, THIS X ENERGY AND X FOOD.
YOU CAN SEE WHERE ALMOST AT 2% IN THAT UNDERLYING NUMBER WHEREAS THE PREVIOUS SIX MONTHS OF -- AGO AND A YEAR AGO -- GIVING ROOM TO NOT BE AS AGGRESSIVE AND FEELING BETTER ABOUT PAUSING ON DRIVING RATES HIGHER.
THE NUMBERS CONTINUE TO BE VOLATILE AND WHAT'S GOING ON IN LABOR.
WE FEEL LIKE LABOR IS STRENGTHENING, BUT WE ARE ALL SAYING THAT IN THE LOCAL GOVERNMENT COMMUNITY.
LOVE SEEING THE INTERNS AND YOUNG PEOPLE COMING INTO THE PUBLIC ENTITY MARKET.
THIS IS A GREAT FIELD TO BE IN AND A LOT OF OPPORTUNITIES.
FOR YOU GUYS IN THE ROOM, KEEP IT UP AND KEEP LOOKING AT LOCAL OPPORTUNITIES IN GOVERNMENT.
WE ARE STARTING TO SEE PEOPLE COME BACK TO WORK, BUT WE CONTINUE TO SEE SIGNS OF WAGE PRESSURE.
IF THAT WAGE PRESSURE CONTINUES, WE WILL HAVE AGAIN A FIGHT WITH INFLATION NUMBERS AS WELL.
LASTLY, THE MAIN THING WE ARE LOOKING AT IS SUPPLY.
U.S. TREASURY IS HITTING ITS LARGEST DEBT ISSUANCE.
WE HAVE NUMBERS COMING UP ON NOVEMBER 16 FOR A SHUTDOWN OF THE GOVERNMENT.
WE WILL SEE IF POLITICALLY WE CAN GET THROUGH WITHOUT HAVING THAT HAPPEN.
THAT ISN'T WHAT WE HAD EARLIER WITH REISSUANCE OF MONEY AND POSSIBLE DELAYS OF PAYMENTS ON U.S.
TREASURY AND ACTUAL SPENDING THAT THE GOVERNMENT IS DOING.
MY GUESS IS WE WILL PROBABLY HAVE SOME GRIDLOCK COMING INTO THAT.
YOUR MATURITIES AND SECURITIES YOU HAVE WILL NOT BE IMPACTED BY THAT COMPONENT.
SO I'LL JUST KIND OF MOVE ON TO THE PORTFOLIO.
AS HAS BEEN REPORTED, THE CASH CASH EQUIVALENTS, WHICH INCLUDES YOUR MONEY AT THE NEW MEXICO BANK AND TRUST PLUS YOUR MONEY MARKET IS ABOUT $67 MILLION.
[00:25:01]
THE INVESTMENTS WE DONE AS FAR AS TREASURIES AND AGENCIES IS $46 MILLION.EARNINGS BOOK YIELD IS UP TO 355, WHICH CONTINUES TO BE UPWARD IN YOUR OVERALL INVESTMENTS.
THE AVERAGE MATURITY OF THE TOTAL PORTFOLIO COMBINED -- FROM AN OVERSIGHT PERSPECTIVE WE ARE RIGHT ON TARGET. DOWN HERE AT THE BOTTOM OF THE SLIDE GIVE YOU YOUR ALLOCATION.
ABOUT 50% OF THE PORTFOLIO REMAINS IN BANK DEPOSITS.
31% TREASURIES, 7.6% IN AGENCIES.
WE'LL CONTINUE TO LOOK AT THE SPREADS BETWEEN AGENCIES AND TREASURIES WHEN WE ARE BUYING.
WE ARE BUYING OPENWORK TREASURY SECURITY OVER 540 IN A VERY SHORT PART OF THE CURVE AND THAT SOMETHING ONLY WORKING WITH THE TREASURY OFFICE ON AND COMPARE AS YOUR TAX MONEY RULES THROUGH. IS THERE A PLACE FOR US TO PUT THAT IN YOUR SHORT CASH MANAGEMENT PORTFOLIO AS A PLACEHOLDER SECURITIES THAT ARE DUE IN UNDER THREE MONTHS.
WE WILL BE WORKING THAT THROUGH YOUR SYSTEM AND LOOKING AT THAT.
THE NEXT REPORT IS ON YOUR INVESTMENT POLICY COMPLIANCE REPORT.
EVERY THING SHOWS UP COMPLIANT.
THIS COMPARES HOW YOU ARE INVESTED RELATIVE TO YOUR POLICY.
EVERYTHING IS LOOKING GOOD ON THAT SIDE OF IT.
YOU DON'T HAVE A LOT OF EXPOSURE AND RATINGS.
YOU HAVE TREASURY, YOU HAVE AGENCY.
THE RATING CRITERIA ARE ON THAT.
WHEN WE LOOK AT THE BREAKOUT, SO YOUR PORTFOLIO IS BROKEN OUT IN SEVEN COMPONENTS.
WITH THE ECONOMIC COMPONENT, LIQUIDITY AND INVESTMENT THERE.
WHEN YOU LOOK AT THESE YIELDS, YOU'LL SEE THE SHORT MATURITIES.
EVENTUALLY, THIS WILL TRUE UP ITSELF.
WE WANT TO KEEP INVESTING AND ALLOW THOSE RATES TO GET LOCKED IN TO THE PORTFOLIO.
THIS IS WHERE YOUR OVERALL YIELDS IS 354.
ALSO, WE CONTINUE TO LOOK AT BALANCES.
I WAS KIND OF REFLECTING ON THIS TO LOOK AT EXPECTATIONS COMING INTO YOUR TAX ROLL.
LAST YEAR IN DECEMBER YOUR TOTAL BALANCES WENT DOWN TO ABOUT ONE HALF $5 MILLION.
FLATTENED OUT SOME OF THAT MONEY.
I CAN'T REMEMBER WHAT THE STRAP WAS, BUT YOU CAME BACK IN HERE.
PART OF THE ANALYSIS I'LL BE WORKING WITH THE TREASURY'S OFFICE IS LOOKING AT THE CYCLES AND SEE IF YOU CAN GET MORE OF THAT EXCESS BALANCE FROM THE BANK INVESTED INTO THE INVESTMENT PORTFOLIO SIDE TO TRUE UP AND BALANCE THE PORTFOLIO.
THAT SHOULD ALLOW HER MORE INVESTMENT TO OCCUR WITHIN THE PORTFOLIO.
AGAIN, BEING IN A VERY SHORT PROFILE WITH AN AVERAGE MATURITY OF UNDER ONE YEAR.
AND THEN THIS IS KIND OF THE TREND LINE THAT WE ARE LOOKING FOR.
YOUR EARNED INCOME IS MOVING UP NICELY ON THE TOTAL PORTFOLIO.
I HAVE YOUR MONTHLY BANK BALANCE RETURNS IN HERE AS WELL.
RIGHT NOW WE ARE ENDING UP AT ABOUT 3 TO 5 PER MONTH, WHICH IS UP FROM 141 A YEAR AGO.
THAT IS WHERE OUR PUSH IS RIGHT NOW TO MAKE SURE YOU ARE FULLY INVESTED AS MUCH AS WE CAN BE TO BE ABLE TO CAPTURE AND INVEST IN OVER 5% IN THE MARKET AND THAT WILL ANCHOR DOWN THE PORTFOLIO GOING INTO AN EXPECTED LOWER RATE ENVIRONMENT GOING TO 2024 AND 25.
AND THEN THESE NEXT SLIDES ARE REALLY ON STRATEGY FROM 1/4 TO QUARTER PERSPECTIVE FOR YOU TO BE ABLE TO LOOK AT CHANGES IN EARNINGS YIELD.
I TOLD YOU GUYS HAVE BEEN IN THE MARKETS FOR A VERY LONG TIME.
GOING ON 40 YEARS RIGHT NOW AND I'VE NEVER SEEN THESE TYPES OF WONDERFUL MOVE UPS WE ARE HAVING IN THE MARKETS AND IT'S BECAUSE THEY LOWER YIELDING MATURITIES AND YOU ARE GETTING MORE IN YOUR LIQUIDITY BALANCES.
[00:30:03]
HERE GIVES YOU A SUMMARY OF INDIVIDUAL BALANCES.COMING INTO DECEMBER, I THINK YOUR TAXES WILL COME IN BEFORE THEN.
WE SHOULD SEE SOME CHANGES IN THESE BALANCES, BUT RIGHT HERE YOU ARE PRETTY STABLE.
YOU CAN SEE WE'RE NOT WITH HEAVY WEIGHTING INTO THE CASH ENVIRONMENT.
THAT'S THE AREA WE WANT TO FOCUS ON.
IT SHOULD BE INVESTED OUT MORE AT THIS TIME.
NOT AGGRESSIVELY, BUT A NICE BALANCE.
AND THEN WE ALSO GIVE YOU A GRAPHIC OF THE TYPES OF SECURITIES YOU'RE BUYING.
SEEING A LARGE AMOUNT IN THE BANKS, WHICH IS EXPECTED, AND US TREASURIES.
AND THEN JUST TOUCHING ON YOUR FINANCIAL INSTITUTIONS.
YOU'RE USING MONEY MARKET SECURITIES AT FEDERATED AND NEW MEXICO BANK.
THE NEW MEXICO BANK DEPOSITS AT 4 1/4.
AND NOTING THAT THE LGPI -- THAT'S WHAT I WANT TO WORK OUT TACTICALLY WITH YOU TO SEE IF THERE'S AN OPPORTUNITY TO BRING THOSE BALANCES THROUGH TAX TIME THEY ARE GOING TO GET PRETTY HIGH IN EITHER PLACE IT INTO MONEY MARKET FUND OR SHORT TREASURY.
WITH THAT, THAT'S KIND OF THE END OF THE REPORT.
ARE THERE ANY QUESTIONS? >> CHAIRMAN HEIL: COMMISSIONERS?
I HEAR NO QUESTIONS. >> D. WOODRING: OKAY.
>> J. TAYLOR: THANK YOU, DEANNE.
>> CHAIRMAN HEIL: COMMISSIONERS, ANY QUESTIONS? HEARING NONE, WE WILL ADJOURN THE BOARD OF FINANCE.
>> J. TAYLOR: THANK YOU, CHAIRMAN.
THANK YOU, COMMISSIONERS. >> CHAIRMAN HEIL: THANK YOU.
* This transcript was compiled from uncorrected Closed Captioning.