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Home My WebLink About3rd_Qtr_Report_FY2020Georgetown: A caring community honoring our past and innovating for the future Quarterly EST 1848 GEORGETOWN TEXAS FY2020 BUDGET AND FIVE YEAR CAPITAL IMPROVEMENT PLAN FINANCIAL REPOR T AND INVESTMENT REPOR T For the Quarter Ended June 30, 2020 Table of Con tents ExecutiveSummary....................................................................................................................................... 1 GeneralFund Schedule................................................................................................................................. 8 ElectricFund Schedule................................................................................................................................11 Water Services Fund Schedule.................................................................................................................... 13 Joint Services Fund Schedule....................................................................................................................... 15 Council Discretionary Fund Schedule.......................................................................................................... 17 Convention & Visitors Bureau Fund Schedule............................................................................................. 18 AirportFund Schedule.................................................................................................................................19 Georgetown Transportation Enhancement Corporation Fund Schedule .................................................... 21 Georgetown Economic Development Corporation Fund Schedule............................................................. 23 Quarterly Investment Report - City............................................................................................................. 25 Quarterly Investment Report - GTEC........................................................................................................... 50 Quarterly Investment Report - GEDCO........................................................................................................ 56 GrantActivities............................................................................................................................................ 62 Long-term Commitments and Other Unfunded Liabilities.......................................................................... 64 EIT 111411 G EORGETOWN TEXAS � EXECUTIVE SUMMARY FOR THE QUARTER ENDED TUNE 30, 2020 Each year the City amends the budget for multi -year capital projects, as well as operational changes that were not known at the time the budget was adopted. This 3rd quarter report reflects the Rollforward amendment that was adopted in January 2020, as well as the Mid -Year Amendment adopted in June. I. QUARTERLY FINANCIAL ANALYSIS GENERAL FUND REVENUES: Year to date, General Fund revenues total $56.7 million, or 74% of budget through the third quarter. Total revenues through the third quarter are 9.6% higher than FY2019. Sales tax is the largest segment of revenue in the general fund. Sales tax revenue received through June totals $10.6 million, or 59.16% of budget. Sales tax is two months in arrears. The third quarter returns were 10.25% higher than through the 3rd quarter last year. The increase in sales tax revenue is the result of continued growth in the City's core sales tax sectors of retail, food, and information, as well as the opening of new large retail businesses. Restaurants and bars closed their dining rooms on March 19t" due to COVID- 19. Visits data shows that traffic at many retailers also changed due to COVID. While sales tax is two months in arrears, positive growth after re -openings and online sales show promise for finishing the year on budget. Strong performance in the first half of the fiscal year will help mitigate reduced sales in the second half of the year. Property tax is the second largest revenue segment in the fund. Property tax revenue is typically received during the first two quarters of the fiscal year, with most of the taxes being received in December and January. Property tax revenue through the third quarter of FY2020 is up 13.1%, or $1.8 million from the third quarter of FY2019. The General Fund will make transfers of propertytax revenue to the Tax Increment Reinvestment Zone funds in the 4t" quarter of FY2020. Development related revenue continues to be very strong. Through the third quarter, development related revenue totals $3.9 million, or 103% of budget. Development revenues through the third quarter are 66.44% higher than FY2019. The City received a large Master Development Fee in the first quarter which accounts for part of the significant increase. Despite COVID, the City is still seeing strong performance in permits and inspections activity each month. The increases seen in sales tax, property tax, and development fee revenue accounts for most of the increase from the third quarter of FY2019 to the third quarter of FY2020. Parks and Recreation revenue totals $1.2 million through the third quarter. This represents a decrease of 35.68% from the third quarter of FY2019. Through the third quarter, Parks and Rec revenues are at 43.8% of budget. Historically, Parks and Rec revenues skew more heavily to the spring and summer months. The Recreation Center and City pools are expected to re -open in June at 25% capacity. This revenue stream will be monitored closely for the effects of COVID. EIT 111411 G EORGETOWN TEXAS � The City collects franchise fees for electric, natural gas, cable, and non -cellular telephone services. Through the third quarter, franchise fee revenues total $3.5 million in FY2020, a decrease of less than 1%from the third quarter of FY2019. The City collects a Return on Investment (RO1) on the electric, water, and stormwater utilities. This revenue sector totals $5.36 million through the third quarter, or 66.5% of budget. Fire/EMS Revenue through the third quarter totals $5 million, or 70.2% of budget. This is a 12% decrease compared to the same period last year. This is another section we will watch closely due to COVID, as there will likely be reduced number of transports to hospitals. In June, the City received $76,000 of CAREs Act funding for reduced EMS revenues. Sanitation revenue through the third quarter totals $6.98 million or 70.3% of budget. Overall, general fund revenues through the third quarter begin to show impacts of the pandemic, although not as steep as originally forecasted. Staff are closely monitoring the effects of COVID-19 closures on sales tax, EMS, and Parks and Rec revenues. We expect to receive additional CARES Act grant revenue in the 41n quarter to mitigate expenditures related to COVID-19. GENERAL FUND EXPENDITURES: In March and April, the City Manager put the Budget Contingency plan in place to reduce expenses while the City watches lagging revenue indicators. Vacant positions were put on hold, travel and training programs were reduced, and other projects were paused. Overall expenditures (personnel, operations, and capital) through the third quarter total $55.19 million, or 71.5% of budget. Total salaries and benefit expenditures through the third quarter total $22.7 million. Operational costs total $15.2 million. The table below excludes capital accounts (like street repair or transfers out for fleet purchases) and is used to compare the personnel and operations costs year to year. Generally, year over year increases are reflective of growth in new programs, and personnel costs for new salaries and benefits as well as merit and market adjustments. Personnel and Operations Summary (excludes capital accounts) The Administration Services Division (Administrative Services, City Council, City Secretary, and Social Service Funding) expenditures through the third quarter total $1.96 million, which represents 67% of budget. Year-to-date expenditures for the Community Services (Parks and Rec., Library, and Communications) and Finance Division (Municipal Court) total $10.2 million or 68.1% of budget. Development and Planning expenditures through the third quarter total $2.28 million, or 71.4% of budget. The planning department is experiencing higher than budget expenses related to Traffic Impact Analyses EST. 111411 G EORGETOWN TEXAS � (TIA). These TIAs are reimbursed by developers. Adjustments were made to the mid -year budget amendment to increase both revenues and expenses. The Public Works Division (Environmental Services, Public Works, and Streets) expenditures through the third quarter total $8.6 million or 64% of budget. Year-to-date expenditures for Public Safety total $27 million, which represents 74.13% of budget. General Government Contracts includes the vacancy savings factor for the entire General Fund. This section also includes the City's social services funding contracts. The City has experienced 19 of 26 pay periods through the third quarter, or 75% of total cycles. Expenses OAdministotive Services FY2020Budget FY2020 Actuals Budget FY2019 Budget FY2019Actuals Budget r Variance %Variance PFRSC194FL 2,190,819 1,568,526 716% 1,967,951 1,519y920 77.2X 49,1116 -56% OPERATIONS 748,554 399,114 53.3% 671,827 424,772 632% MIXim -9.9% Admi nistrative Services TWO 2,939,373 1,997,541 OCarnm unity Services and Finance PERSONNEL $8A057 6,066,328 685% 7,156,124 5,12Q311 71.6X 946,017 31% OPERATIONS 6,118,137 4,13%211 67.7% 5,28$877 i 3,603,863 i GH 1%1 535,347 -05% Community Services and Finance Total 14,977.194 10,205,539 11 5,72A175 7 1,364 -2.0% O Developm ent &Planning PERSONNEL ZM509 1,790,270 732% Z306,625 I,OA276 70.3% 1M994 29% OPERATIONS 762,718 49%558 65.5% 714,668 295,941 41.4% 203,617 241% Development&Planning Total 3,209,227 2.219,525 71.4 1,919,217 O Fi re Services PERSONNEL 116.0511,81141 12,025,433 74.9% 15,104,390 10,859,231 71.9% 1,1MM 3.0% OPERAl10NS 4,051,6901 3,O6z537 75.6% 3,671,475 2,81$611 7&8% 243,9M -12% Fire Services Tots 15.057.970 75.1% 13.677.541 eGeneral Gott Contracts PERSONNEL (1,200,000) 30 00% (1,145,000) 0.0% 30 00% OPERAl10NS 4,647,250 3,338,088 71.8% 4,575,401 3,46Q096 75.6% (122,008) 38% General Gott Contmds Toal 3,335, 115 96. 3,460, OPolice Services PERSONNEL 12,TA919 %440,440 74.1% 12,502,781 9,591,993 767% (151,553) -26% OPERATIONS 3,613,811 2,494,203 69.0% 3,657,400 Z625�383 71.8% (131,190) -29% Police Services Total 11.934.643 73. 1 1160,181 12,217 .733) -2.6% e Public Works PERSONNEL 1,888,823 1,120,006 59.3% 1,875,598 1,395,845 74.4% (275,840) -15.1% OPERATIONS Public Works Total 11,555,614 7,485,205 64.8% 10,275,620 64.0% 12, 151,21 6,9nOOi2 67.4% 563,202 -20% 5,4D5,210 5,317,54E 68.5% 257,363 -4A% Grand Tall 74,49E,714 53, M949 71-7% 9E,925,727 55,290 4E 1 7&2%4 3,19E,703 1 -1-5% Overall, General Fund expenditures are within budget and the fund can cover the 90-day Contingency Reserve. UTILITY FUNDS: Electric Fund: Electric operating revenues total $59.1 million, or 65.22% of budget. Electric sales revenue, the largest component of revenue, totals $54.1 million, or 63.22% of budget through the first three quarters. Electric revenue sales are typically higher in the summer months when consumption increases. Operating expenses total $60.6 million through the first three quarters, or 72%of budget. Purchased Power expenses total $42.5 million, or 69.16% of budgeted Purchase Power expenses. Non -operating revenue is budgeted at $5.5 million. Year to date, non -operating revenues total $5.67 million, mainly from bond proceeds for capital projects that are issued in the 3rd Quarter. Non -operating expenses are budgeted at $9.2 million. Year to date, expenses total $2.16 million for capital improvement projects. Debt principal payments are made in the 4t" quarter reach year. c1 EIT 111411 G EORGETOWN TEXAS � Overall, the Power Cost Adjustment, efforts to manage the power portfolio, and actions to reduce operating expenditures are stabilizing the fund. Water Fund: Overall operating water revenue totals $60.4 million, or 80.13% of budget. Water, wastewater, and irrigation sales revenue through the third quarter totals $29.8 million, or 67.2% of budget. Capital Recovery Fees total $24 million. Over the past three years, the fund has seen higher than budget Capital Recovery Fees due to the growth and new development in the City, including several significant one-time payments for large developments. Bond proceeds for debt -funded capital projects were issued in quarter three. The total of bond proceeds is $9.4 million. Water operating expenses total $31 million, or 64.8% of budget. Non -operational expenses total $38.5 million. These non -operational expenses are capital improvement projects that normally span multiple years. These infrastructure projects are paid from a combination of capital recover fees and debt. Convention & Visitors Bureau Fund: Hotel Occupancy Tax revenue totals $693,000 through the third quarter of FY2020, or 53% of budget. This is on target to meet the reduced year-end projection of only $900,000 due to the COVID-19 pandemic's impact on travel and tourism. Year to date expenses in the Convention & Visitors Bureau Fund total $869,000, or 60% of budget. The fund's large reserves will help mitigate the impact of reduced revenue. Activities continue to promote Georgetown as a day -trip destination. The alternative fall "Pop-tober Festival" has been cancelled and associated refunds accounted. Airport Fund: Airport operating revenues total $2.4 million which represents 61% of budget. Typically, the City of Georgetown has a Bond Sale to sell debt annually in the spring. However, due to the market disruptions, the City deferred airport maintenance facility project and will not issue the debt in FY2020. This change was part of mid -year budget amendment and is reflected in the Airport Operations Fund Report. The largest revenue stream for the airport is fuel sales. Through the third quarter, fuels sales total $1.7 million, or 58% of budget. Operating Expenses in the Airport fund total $3.1 million, or 85% of budget. $900 thousand of the year to date expenses is fuel related encumbrances. As part of the mid -year budget amendment, there was a reduction in CIP expense by $750,000. The reduction moved the maintenance facility project to FY2021. II. INVESTMENTS The investment activity and strategies described in this report comply with the Public Funds Investment Act (PFIA), the City's investment policy, and generally accepted accounting principles. Activity for the third quarter of fiscal year 2020 includes the maturing Treasury Bills, maturing of financial institution deposits (CDs), reinvestment of CD's, and investing of consolidated funds in CD's. Interest rates for money market accounts, Treasury bills, and CD's decreased during this quarter. We have begun to see a decline in rates being submitted to competitive investment offerings due to changes in the market. The Federal Open Market Committee (FOMC) made 2 changes in March which impacted the Federal Funds rate greatly due to the COVID-19 pandemic. The current rate is 0% - .25%. These are the lowest rates we have seen since December 2008. The City will continue soliciting for the best rates to improve both diversity and yield, while keeping in mind safety and liquidity. 4 E57.f8411 G EORGETOWN TEXAS � The Investment Reports for the quarter ending June 30, 2020, and the supporting schedules are attached. Valley View Consulting, L.L.C., has prepared the attached investment reports. A component of our investment advisory services contract includes Valley View preparing the quarterly investment reports on behalf of the City. A summary of the investment balances at June 30, 2020, compared to the prior quarter, is shown below for the City, as well as Georgetown Transportation Enhancement Corporation (GTEC) and Georgetown Economic Development Corporation (GEDCO). Included in the City portfolio are debt service, consolidated funds, and bond proceeds. The breakdown is consolidated at 63%, debt service at 5%, and bond proceeds at 32%. CITY Book Value GTEC GEDCO 3/31/20 6/30/20 3/31/20 6/30/20 3/31/19 6/30/20 Total cash and investments $220,709,845 $249,992,313 $23,202,700 $29,222,450 $9,011,792 $9,347,002 Quarter End Average Yield 1.41% .74% 1.23% .52% 1.26% .55% The City's strategy continues to be matching maturities with cash flow needs, while focusing on the investment policy's long-range goals. The City's investment strategy is to "ladder" or stagger maturities, thus minimizing erratic interest rate fluctuations. The City is continuing to manage the yield on bond proceeds for arbitrage purposes. The City's investment portfolio includes bank deposits, local government investment pool balances, money market accounts, financial institution deposits (CD's), and Treasury Bills. All of these investments meet the safety requirements of the PFIA. Local Government Investment Pools must maintain a rating of AAAm, Securities (Treasury Bills) must have direct or implied backing of the Federal Government and Financial Institution Deposits (CDs and money market accounts) must be collateralized with FDIC insurance or obligations with an implied backing from the Federal Government. The collateral on all City investments are monitored monthly to ensure the financial institutions carry minimum collateral of 100% with a letter of credit or 102% with pledged securities for all of the City's investments. All securities held by financial institutions as collateral on behalf of the City have been reviewed and met PFIA-minimum rating criteria. The City has worked closely with the City's depository bank (JPMorgan Chase) to find an average daily balance that is best to receive the highest yield on the account. These balances earn credit against the fees charged by the bank. The City will continue to verify depository yield versus investment yield to achieve the best outcome. The City's investment program is conducted to accomplish the objectives of safety, liquidity, public trust, and yield. Each aspect is considered when making decisions regarding investments. III. CAPITAL PROJECTS The projects in the Capital Improvement Program (CIP) consist of infrastructure and related construction and do not include small capital items such as furniture, equipment, and vehicle maintenance. Maintenance -type projects are not capitalized as a fixed asset and are usually cash funded. Therefore, these projects are operational in nature and are in the departmental operating budget. A year-to-date 6 GEORGETE'OVI N TEXAS � budget status for each of the approved projects is normally included in the quarterly report. However, staff is still developing this report in the new financial system. Parks Golden Bear Park construction is nearing completion and is expected to be complete in September. Bid documents are being finalized for ADA trail reconstructions. Bidding and construction will begin when the bid documents are completed. Village PID Park Renovation Project has bid and was approved for construction by Council on May 121". Pre -construction meeting was held May 281". The project is underway and is expected to be complete in October. Facilities Fire Station 6 is nearing completion with the millwork currently being installed. Furniture and equipment are ready to be installed as soon as the project reaches substantial completion. Station alerting, security and Audio/Visual are all in the process of installation and should be completed within a few weeks. Fire Station 7 is also nearing completion. Currently installing millwork, then will proceed with adding in furniture and equipment. Security, station alerting, and Audio/Visual are currently being installed and there is anticipation to finish installation in the next few weeks. Finance Administration Implementation of Workday Financials completed in April 2020. Expenses include continuation of consulting contracts to provide support to the implementation throughout the 3rd quarter, as well as the release of the second retainage payment. Consulting agents will continue to provide support throughout 41" quarter and into fiscal year 2021 as the Financial team implements the final phase - Workday Adaptive. Public Safety Before the end of fiscal year 2020, Fire Department plans to replace cardiac monitors for the EMS teams, as the current monitors are out of date. Streets Northwest Boulevard Bridge is currently under construction, this project is anticipated to be completed in late 2020 or early 2021. Bids for the South East Inner Loop will go to council in August of 2020. With council approval, teams expect to start construction at the end of summer 2020 and complete the project by August of 2021. Progress continues on the 2015 Road Bond Program for Priority 1 sidewalks; current focus is on downtown improvements. The Southwestern Boulevard Expansion Project, from 2 lanes to 4 from University Park to Inner Loop, is currently in design phase and the teams plan to start the right of way acquisition process in the coming months. 6 GEORGETE'OVI N TFXAS� There are continuous and ongoing efforts on an annual basis to improve traffic signal and intersections, to accommodate vehicle and pedestrian movements. These improvements are at various locations and are determined by Council on an as needed basis. Stormwater FY2020 Curb and Gutter repairs continue across the city and are ongoing as needed. Various drainage improvements and flood mitigation projects. Initial focus will be on multiple low water crossings around town mitigation, warning measures to protect drivers and reduce operational demands during rain events. Water Currently under construction are the San Gabriel Belt Press and planned rehabilitation of the San Gabriel Wastewater Treatment Plant Aeration System. Teams anticipate these updates to be completed early 2021. The team expects Lake Water Treatment Plant to go for bidding in late 2020. The Raw Water Intake Rehabilitation is now complete. Shell Road Waterline design is complete, teams are finalizing easements and expect to bid early 2021. Wastewater Teams have begun easement acquisition for Berry Creek Interceptor. System repairs required by EARZ testing are ongoing. Gatlin Creek and Teravista Improvements, Teravista lift station offline and decommission expected to be completed by end of 2020. This rerouting and decommissioning will help prolong the useful life of the Smith Branch Lift Station. Lift Station Upgrades continue and consist of decommissioning, electrical upgrade, backup power, structure rehab to fulfill the requirements of the Sanitary Sewer Overflow Initiative with the Texas Commission on Environmental Quality. San Gabriel Interceptor is currently in design process. Moving forward with easement acquisition in 41h quarter. This project will also include the San Gabriel Lift Station and Force Main. Georgetown Transportation Enhancement Corporation Rabbit Hill and Mays Street currently in process, teams are finalizing the right of way, and expect to go for bidding in early 2021. N COG - General Fund Report Period FY 2020 - Jun Ledger Account Beginning Fund Balance Revenue Administrative Charges Other Revenue Development and Permit Fees Approved Budget 14,263,750 2,707,730 2,638,420 3,804,250 Current Period 226,478 388,162 506,172 Year to Date (w/Encumberance) 14,263,750 2,038,298 2,329,987 3,916,550 Year -End Projection 14,263,750 2,707,730 2,336,338 4,685,897 Franchise Fees 5,890,270 25,630 3,521,740 5,892,057 Parks and Rec Fees 2,833,100 44,499 1,241,019 1,476,005 Property Tax 14,900,000 73,903 15,405,838 14,915,295 ROI 8,060,000 - 5,366,282 8,433,100 Sales Tax 17,861,875 1,381,130 10,566,870 17,943,750 Sanitation Revenue 9,933,450 264,177 6,984,361 10,118,450 Fire/EMS revenue 7,176,152 1,144,756 5,044,344 6,793,885 Transfers In 373,100 - 303,634 373,100 Revenue Total 76,178,347 4,054,907 56,718,924 75,675,607 COG - General Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Year to Date Year -End Projection (w/Encumberance) Expense Administrative Services 1,933,852 130,434 1,263,996 1,675,228 Animal Services 989,508 66,069 701,362 967,657 Arts & Culture 36,729 13,571 34,801 53,694 City Council 177,608 18,825 127,962 169,049 City Secretary 819,283 47,079 574,389 761,473 Code Enforcement 524,383 28,153 305,508 439,142 Communications 684,453 42,411 376,050 608,209 Community Services 265,738 20,068 183,223 253,593 Environmental Services 8,532,355 685,679 5,590,924 8,480,012 Fire Emergency Services 14,312,200 1,068,232 10,694,186 14,426,111 Fire Support Services 3,160,345 242,392 2,634,628 3,351,268 Fire EMS 2,864,866 174,772 1,827,682 2,532,757 Garey Park 976,612 62,914 685,449 914,087 General Gov't Contracts 3,443,750 291,454 3,276,183 4,339,251 Inspections 1,347,040 98,866 972,978 1,282,436 Library 2,788,513 227,196 2,127,628 2,702,504 Municipal Court 664,063 39,880 465,557 605,084 Parks 2,781,344 195,762 2,013,134 2,640,419 Parks Admin 624,953 (12,852) 464,247 619,947 Planning 1,937,189 102,773 1,316,850 1,656,891 Police Admin 2,632,662 225,834 1,867,253 2,659,080 Police Operations 13,821,765 1,023,412 10,148,186 13,390,524 Public Works 1,469,053 43,668 727,482 1,235,203 Rec Programs 1,370,708 61,184 565,071 1,098,537 Recreation 2,798,284 263,818 2,049,482 2,686,073 Streets 5,261,013 255,281 3,468,266 4,071,354 Tennis Center 464,348 25,171 270,272 351,183 Transfer Out 524,860 - 457,860 524,860 Expense Total 77,207,474 5,442,047 55,190,608 74,495,625 Excess (Deficiency) of Total (982,627) (1,386,450) 1,529,608 1,179,982 Revenue over Total uirements Ending Fund Balance 13,234,623 (1,387,140) 15,792,065 15,443,732 COG - General Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Year to Date Year -End Projection (w/Encumberance) Contingency Reserve 11,414,340 - 11,414,340 11,414,340 Economic Stability Reserve 1,480,283 - 1,480,283 1,759,446 Benefit Payout Reserve 340,000 - 340,000 340,000 Total Reserved Fund 13,234,623 - 13,234,623 13,513,786 Balance Available Fund Balance - - 2,557,442 1,929,946 10 COG - Electric Fund Report Period Ledger Account Beginning Fund Balance Operating Revenue FY 2020 - Jun PRELIMINARY Approved Budget 6,614,742 Current Period Year to Date (w/Encumbrance) 6,614,742 Year -End Projection 6,614,742 Electric Revenue 85,509,803 3,015,263 54,061,655 82,530,271 Interest 40,000 829 5,968 10,000 Other Revenue 4,498,616 32,291 2,577,297 4,515,348 Developer Contributions 600,000 16,345 2,475,250 2,000,000 Operating Revenue Total 90,648,419 3,064,727 59,120,170 89,055,619 Operating Expenditures CRR Credits (2,000,000) (34,163) (31,594) (1,698,472) Electric Operations 20,282,587 1,394,201 15,101,499 19,448,613 Purchase Power 61,500,000 5,522,022 42,532,340 61,198,472 Transfers Out - ROI 4,500,000 - 3,063,942 4,500,000 Operating Expenditures 84,282,587 6,882,060 60,666,187 83,448,613 Total Total Net Operations 6,365,832 (3,817,333) (1,546,018) 5,607,006 Renewable Energy Credits - 224,261 602,061 602,061 Grant Revenue - - - - Bond Proceeds 5,010,000 - 5,055,000 5,055,000 Transfers In 500,000 - - 500,000 Sale of Assets 10,000 - 12,274 10,261,000 Non -Operating Revenue 5,520,000 224,261 5,669,335 16,418,061 Total 11 COG - Electric Fund Report - Period FY 2020 - Jun PRELIMINARY Ledger Account Approved Budget Current Period Year to Date Year -End Projection (w/Encumbrance) Non -Operating Expenditures CI P 5,110,948 40,174 1,522,401 5,010,000 Interest Expense 1,224,183 - 590,621 1,224,183 Debt Service 2,866,312 2,405 47,975 2,866,312 Non -Operating Expenditures 9,201,442 42,579 2,160,997 9,100,495 Total Total Net Non -Operations (3,681,442) 181,682 3,508,338 7,317,566 Excess (Deficiency) of Total 2,684,390 (3,635,650) 1,962,320 12,924,572 Revenue Over Total Requirements Ending Fund Balance 9,299,132 (3,635,650) 8,577,062 19,539,314 Reserves Contingency Reserve 4,142,159 - 4,142,159 4,190,234 Non -Operational Reserve - - - 13,402,019 Rate Stabilization Reserve 4,555,000 - 4,555,000 1,300,000 Total Reserved Fund 8,697,159 - 8,697,159 18,892,253 Balance Available Fund Balance 601,973 - (120,097) 647,061 *As of the time of agenda posting, the Electric Fund report is preliminary and the period not closed for June. Additional revenue accrual and ROI expenses will occur. 12 COG Water Fund Report Period Ledger Account Beginning Fund Balance Operating Revenue FY 2020 - Jun PRELIMINARY Approved Budget 92,139,373 Current Period Year to Date (w/Encumbrance) 92,139,373 Year -End Projection 92,139,373 Capital Recovery Fee 26,550,000 4,057,262 23,968,570 26,449,377 Interest 949,500 60,455 1,232,662 1,045,052 Irrigation Charges 310,000 37,448 261,511 310,000 Other Revenue 3,450,300 427,542 5,359,875 6,201,391 Wastewater Charges 13,298,825 358,308 10,116,116 13,500,000 Water Charges 30,869,778 965,096 19,505,217 30,881,001 Total Operating Revenue 75,428,403 5,906,111 60,443,950 78,386,821 Operating Expenses Irrigation Operations 290,000 30,521 199,220 290,000 Transfer Out, ROI 3,300,000 - 2,509,497 3,300,000 Transfer Out 467,733 - 399,500 399,500 Wastewater Operations 771,598 50,876 662,504 741,100 Wastewater Plant 3,317,076 294,832 2,811,716 3,258,422 Management Water Administration 23,957,200 1,377,581 17,857,646 24,910,863 Water Distribution 3,536,426 190,840 1,337,150 1,931,113 Water Operations 4,277,280 214,702 3,069,076 4,136,579 Water Plant Management 7,889,427 412,450 2,120,020 6,751,311 Total Operating Expenses 47,806,740 2,571,802 30,966,329 45,718,887 Total Net Operations 27,621,663 3,334,309 29,477,620 32,667,934 13 COG Water Fund Report Period Ledger Account FY 2020 - Jun PRELIMINARY Approved Budget Current Period Year to Date Year -End Projection (w/Encumbrance) Non -Operating Revenue Bond Proceeds 9,300,000 - 9,375,000 9,375,000 Grant Revenue - - - - Transfers In -Debt 104,211 - - 104,211 Sale of Assets 1,500 - 435,404 435,404 Non -Operating Revenue 9,405,711 - 9,810,404 9,914,615 Total Non -Operating Expenditures Interest Expense 2,150,937 - 1,099,409 2,150,937 CIP 96,437,008 1,881,396 37,372,634 96,624,449 Debt Service 4,491,481 2,595 79,600 4,300,481 Non -Operating 103,079,426 1,883,991 38,551,643 103,075,867 Expenditures Total Total Net Non -Operations Excess (Deficiency) of Total Revenue over Total Requirements (93,673,715) (1,883,991) (66,052,052) 1,450,318 (28,741,239) 736,382 (93,161,252) (60,493,318) Ending Fund Balance 26,087,321 1,450,318 92,875,755 31,646,055 Reserves Contingency Reserve 9,480,045 Non -Operating Contingency 10,000,000 Total Reserved Fund 19,480,045 Balance 9,480,045 10,000,000 19,480,045 9,480,045 10,000,000 19,480,045 Available Fund Balance 6,607,276 - 73,395,710 12,166,010 *As of the time of agenda posting, the Water Fund report is preliminary and the period not closed for June. Additional revenue accrual and ROI expenses will occur. 14 COG - Joint Services Fund Report Period FY 2020 - Jun Ledger Account Beginning Fund Balance Reven Approved Budget 1,415,206 Current Period Year to Date (w/Encumbrance) 1,415,206 Year -End Projection 1,415,206 Administrative Charges 17,691,145 1,391,067 13,101,969 17,640,111 Interest 25,000 1,100 17,353 23,620 Other 103,000 100,501 355,485 96,075 Transfers In 313,405 - 295,059 331,751 Revenue Total 18,132,550 1,492,668 13,769,866 18,091,557 Expense Accounting Business System Services Citywide HR Conservation Customer Care Economic Development Finance Administration Human Resources Legal Non -departmental Organizational and Operational Excellence Purchasing Svstems Enaineerina MMM 1,128,153 77,278 846,969 1,198,892 75,790 852,360 1,331,061 43,162 870,281 894,920 51,626 420,015 5,115,459 395,571 3,930,361 687,049 42,436 450,160 1,050,021 1,447,934 1,063,008 741,193 329,898 923,989 2.565.963 52,759 94,114 66,389 72,606 22,055 61,418 159.756 764,461 957,980 751,205 1,054,320 197,025 656,036 821.930 S � 1,124,962 1,043,437 1,087,621 731,365 5,020,817 605,918 963,711 1,320,069 993,354 1,089,171 299,152 888,375 306.340 Expense Total 18,477,541 1,214,960 13,573,104 17,474,292 Excess (Deficiency) of Total (344,991) 277,708 196,762 617,265 Revenue over Total irements Ending Fund Balance 1,070,215 277,708 1,611,968 2,032,471 Reserves 15 Reserve Total Reserve Balance 1,070,215 1,070,215 1,070,215 1,070,215 1,070,216 1,070,216 Available Fund Balance 0 541,753 962,255 IN Council Discretionary Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Year to Date Year -End Projection (w/Encumbrance) Beginning Fund Balance 109,415 0 109,415 109,383 Revenue — a Interest 2,500 64 1,345 1,789 Transfers In 0 0 0 - Revenue Total 2,500 64 1,345 1,789 Expense Transfers Out 0 0 0 - Expense Total 0 0 0 - Excess (Deficiency) of Total 2,500 64 1,345 1,789 Revenue over Total Requirements Ending Fund Balance 111,915 64 110,760 111,172 Available Fund Balance 111,915 0 110,760 111,172 17 Convention & Visitors Bureau (CVB) Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Year to Date Year -End Projection (w/Encumbrance) Beginning Fund Balance 1,551,889 - 1,551,889 1,551,889 Revenue Hotel/Motel Occupancy Tax 1,300,000 36,821 692,947 900,000 Revenues Interest 18,000 912 17,858 20,594 Other 18,500 649 34,639 36,859 Poppy Festival 144,283 - 87,261 91,155 Revenue Total 1,480,783 38,382 832,704 1,048,608 Expense Operations 823,367 (37,360) 487,252 790,897 Personnel 388,953 24,116 296,534 354,071 Poppy Festival 211,700 27,703 57,025 149,978 Transfers Out 28,634 - 28,634 28,634 Expense Total 1,452,654 14,458 869,445 1,323,580 Excess (Deficiency) of Total 28,129 23,923 (36,741) (274,972) Revenue over Total Requirements Ending Fund Balance 1,580,018 23,923 1,515,148 1,276,917 Contingency Reserve 273,376 - 273,376 273,376 Capital Reserve 1,203,635 - 1,203,635 - Total Reserved Fund 1,477,011 - 1,477,011 - Balance Available Fund Balance 103,007 - 38,137 1,003,541 18 COG - Airport Operations Fund Report Period FY 2020 - Jun Ledger Account Beginning Fund Balance Operating Revenue Approved Budget 1,259,036 Current Period Year To Date (w/Encumbrance) 1,259,036 Year -End Projections 1,259,036 Fuel and Terminal Sales 2,901,500 166,148 1,678,717 2,502,000 Interest and Other 51,000 734 15,491 52,000 Grant Revenue - - - 153,000 Leases and Rentals 928,500 76,586 691,018 906,500 Operating Revenue Total 3,881,000 243,468 2,385,226 3,613,500 Operating Expenditures Operations -Fuel 2,272,000 132,666 2,203,687 2,204,510 Operations -Non Fuel 876,327 58,431 562,623 802,664 Personnel 501,098 30,287 333,022 475,573 Operating Expenditures 3,649,425 221,384 3,099,332 3,482,747 Total Total Net Operations 231,575 22,083 (714,106) 130,753 Non -Operating Revenue Bond Interest - 9 593 600 Non -Operating Revenue Total Non-Operatin Expendi Buildings & Improvements - Debt Service 101,358 Interest Expense 60,062 Furniture & Equipment 22,000 Improvements 266,566 Pavement Upgrades 35,000 0 593 29,638 - 8,111 1,286 17,835 we 86,358 60,062 28,000 17,835 19 COG - Airport Operations Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Year To Date Year -End Projections (w/Encumbrance) Non -Operating Expenditure 484,986 1,286 55,584 192,255 Total Total Net Non -Operations (484,986) (1,277) (54,991) (191,655) Excess (Deficiency) of Total (253,411) 20,806 (769,097) (60,902) Revenue over Total Requirements Endina Fund Balance 1.005.625 20.806 489.939 1.198.134 Reserves Contingency Reserve 256,021 - 256,021 256,021 Debt Service Reserve 143,431 - 143,431 143,431 Total Reserved Fund 399,452 - 399,452 399,452 Balance Available Fund Balance 606,173 - 90,487 798,682 20 COG - Georgetown Transportation Enhancement Corporation Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Year to Date Year -End Projection (w/Encumbrance) Beginning Fund Balance 21,649,668 - 21,649,668 21,649,668 -evenue Sales Tax 7,937,500 613,730 4,695,507 7,975,000 Interest 230,000 11,673 250,899 285,918 Other Revenue - - - 0 Operating Revenue Total 8,167,500 625,403 4,946,406 8,260,918 Operating Expenditures Administrative Support 410,223 34,119 307,067 410,223 Operating Expenditures 410,223 34,119 307,067 410,223 Total Total Net Operations 7,757,277 591,284 4,639,339 7,850,695 Non -Operating Revenue Bond Proceeds 4,700,000 - 4,740,000 4,740,000 Transfers In - - - 0 Non -Operating Revenue 4,700,000 - 4,740,000 4,740,000 Total Non -Operating Expenditur Strategic Partnerships 5,734,375 - - 2,000,000 CIP Expense 13,509,855 (98,278) 961,756 15,259,855 Debt Service 3,333,921 485 528,060 3,333,921 Non -Operating Expenditure 22,578,151 (97,793) 1,489,816 20,593,776 Total Total Net Non -Operations (17,878,151) 97,793 3,250,184 (15,853,776) Excess (Deficiency) of Total (10,120,874) 689,078 7,889,523 (8,003,081) Revenue over Total Requirements Ending Fund Balance 11,528,794 689,078 29,539,191 13,646,587 21 COG - Georgetown Transportation Enhancement Corporation Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Year to Date Year -End Projection (w/Encumbrance) Contingency Reserve 1,984,375 - 1,984,375 1,984,375 Debt Service Reserve 3,225,642 - 3,225,642 3,602,792 Total Reserved Fund 5,210,017 - 5,210,017 5,587,167 Balance Available Fund Balance 6,318,777 - 24,329,174 8,059,420 22 COG - GEDCO Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Beginning Fund Balance 8,138,781 Operating Revenue Interest 76,000 2,315 Sales Tax 1,984,375 153,433 Other Revenue - - Operating Revenue Total 2,060,375 155,748 Operating Expenditures Year to Date (w/Encumbrance) 8,138,781 Year -End Projection 8,138,781 84,934 92,060 1,173,877 1,993,750 1,258,811 2,085,810 Promotional & Marketing 108,534 3,150 69,604 100,000 Program Contractual Services 30,000 - 20,080 24,000 Administrative Expenses 244,771 20,398 183,578 244,771 Travel & Training 500 - 92 - Supplies - - - - Operating Expenditures 573,805 23,548 273,354 368,771 Total Total Net Operations 1,486,570 132,200 985,457 1,717,039 Non -Operating Revenue Bond Proceeds Bond Premium Transfers In Non -Operating Revenue - - - - Total Non -Operating Non- Expen Principal Reduction 83,695 - - 83,695 Debt Service 207,669 - 41,334 207,669 23 COG - GEDCO Fund Report Period FY 2020 - Jun Ledger Account Approved Budget Current Period Year to Date Year -End Projection (w/Encumbrance) Interest Expense 20,516 - - 20,516 Strategic Partnership 8,613,855 204,642 804,551 700,000 Non -Operating Expenditures 8,925,735 204,642 845,886 1,011,880 Total Total Net Non -Operations (8,925,735) (204,642) (845,886) (1,011,880) Excess (Deficiency) of Total (7,439,165) (72,442) 139,572 705,159 Revenue over Total Requirements Ending Fund Balance 699,616 (72,442) 8,278,353 8,843,940 Contingency Reserve 489,298 - 489,298 489,298 Non -Operational Reserve 210,318 - 210,318 200,169 Bond Proceeds Reserve - - - - Total Reserved Fund 699,616 - 699,616 689,467 Balance Available Fund Balance 0 - 7,578,737 8,154,473 24 GEORGETOWN TEXAS CITY QUARTERLY INVESTMENT REPORT For the Quarter Ended June 30, 2020 Prepared by Valley View Consulting, L.L.C. The investment portfolio of the City of Georgetown is in compliance with the Public Funds Investment Act and the Investment Policy and Strategies. Elaine Wilson Leigh Wallace Finance Director Karrie Pursley Treasurer Disclaimer: These reports were compiled using information provided by the City. No procedures were performed to test the accuracy or completeness of this information. The market values included in these reports were obtained by Valley View Consulting, L.L.C. from sources believed to be accurate and represent proprietary valuation. Due to market fluctuations these levels are not necessarily reflective of current liquidation values. Yield calculations are not determined using standard performance formulas, are not representative of total return yields and do not account for investment advisor fees. 25 Summary Quarter End Results by Investment Category: March 31, 2020 Asset Type Book Value Market Value Demand Accounts $ 10,852,258 10,852,258 NOW/MMA 21,716,013 21,716,013 Pools 104,846,720 104,846,720 CDs/Securities 83,294,855 83,323,230 Totals $ 220,709,845 $ 220,738,220 Quarter End Average Yield (1) Total Portfolio 0.74% Rolling Three Month Treasury 0.14% Rolling Six Month Treasury 0.67% TexPool 0.22% Interest income provided in separate report. June 30, 2020 Book Value Market Value Ave. Yield $ 9,511,536 $ 9,511,536 0.22% 21,787,639 21,787,639 1.33% 135,563,839 135,563,839 0.20% 83,129,298 83,138,997 1.53% $ 249,992,313 $ 250,002,012 0.74% Fiscal Year -to -Date Average Yield (2) Total Portfolio 1.35% Rolling Three Month Treasury 0.97% Rolling Six Month Treasury 1.28% TexPool 0.95% Bank Fees Offset Quarterly Bank Fees Offset $ 4,696 Year-to-date Bank Fees Offset $ 25,337 (1) Quarter End Average Yield - based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank, pool, and money market balances. (2) Fiscal Year -to -Date Average Yield - calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. Valley View Consulting, L.L.C. 26 Economic Overview 6/30/2020 The Federal Open Market Committee (FOMC) maintained the Fed Funds target range at 0.00% to 0.25% (Effective Fed Funds are trading +/-0.08%). Worldwide and domestic economic activity popped -up as isolation protocols eased. However, continued positive COVID test growth may impact additional activity. The Yield Curve remains stabilized at current levels. The FOMC has signaled reduced rates for an extended period. Crude oil increased to $40+ per barrel. Unemployment claims continued to rise, but June Non Farm Payroll surged to 4.8 million. The Stock Market wobbled but stabilized. Full recovery timeline still very uncertain. 3.00 2.50 2.00 - 1.50 1.00 0.50 Treasury Yield Curves 0.00 IT 01 6�0��PQ June 30, 2019 March 31, 2020 June 30, 2020 US Treasury Historical Yields - Since 2006 6.00 5.50 5.00 4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0 00 ♦ • � 1 • 1 • • ^l\1l 10\^6 ^9�19 LO fan �v fan �v fan �J fan �J fan �v fan �V fan �v fan �J fan �J fan �J fan �v fan �J fan �J fan �J fan -Six Month T-Bill Two Year T-Note Ten Year T-Note S&P 500 3,750 3,500 3,250 3,000 2,750 2,500 2,250 2,000 1,750 1,500 1,250 1,000 750 500 250 0 PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� US Treasury Historical Yields - Since Nov 2015 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0 00 M • VW• • . �6 . I6 . I6 . _ �� . A� ' 1� K - Na . 1\16 . N$ . 10 . _ �9 . �°� _ ^9 . N9 Valley View Cons2 ulting, L.L.C. City - Investment Holdings June 30, 2020 Coupon/ Maturity Settlement Face Amount/ Book Market Market Life Description Ratings Discount Date Date Par Value Value Price Value (Day) Yield JPMorgan Chase Cash (3) 0.22% 07/01/20 06/30/20 $ 9,511,536 $ 9,511,536 1.00 $ 9,511,536 1 0.22% JPMorgan Chase MMA 0.05% 07/01/20 06/30/20 433,929 433,929 1.00 433,929 1 0.05% Veritex Bank MMA 0.30% 07/01/20 06/30/20 3,208,928 3,208,928 1.00 3,208,928 1 0.30% NexBank MMA 0.50% 07/01/20 06/30/20 7,346,749 7,346,749 1.00 7,346,749 1 0.50% Origin Bank MMA (4) 2.25% 07/01/20 06/30/20 10,798,033 10,798,033 1.00 10,798,033 1 2.25% TexPool AAAm 0.22% 07/01/20 06/30/20 45,475,841 45,475,841 1.00 45,475,841 1 0.22% TexSTAR AAAm 0.20% 07/01/20 06/30/20 90,087,998 90,087,998 1.00 90,087,998 1 0.20% East West Bank CD 2.48% 07/15/20 04/15/19 5,152,781 5,152,781 100.00 5,152,781 15 2.51% East West Bank CD 1.72% 08/04/20 02/04/20 6,546,565 6,546,565 100.00 6,546,565 35 1.73% R Bank CD 2.10% 08/16/20 08/16/19 2,031,778 2,031,778 100.00 2,031,778 47 2.12% R Bank CD 1.17% 08/16/20 02/26/20 1,013,818 1,013,818 100.00 1,013,818 47 1.17% Prosperity Bank CD 2.66% 08/21/20 02/22/19 6,215,859 6,215,859 100.00 6,215,859 52 2.69% T-Bill Aaa/AA+ 0.00% 10/08/20 10/17/19 2,500,000 2,489,236 99.96 2,498,935 100 1.60% Independent Bank CD 1.85% 10/18/20 10/18/19 2,523,205 2,523,205 100.00 2,523,205 110 1.86% East West Bank CD 0.55% 11/09/20 05/08/20 3,002,442 3,002,442 100.00 3,002,442 132 0.55% Independent Bank CD 2.56% 11/10/20 05/10/19 1,025,893 1,025,893 100.00 1,025,893 133 2.58% R Bank CD 1.76% 11/19/20 02/19/20 2,510,767 2,510,767 100.00 2,510,767 142 1.78% Southside Bank CD 1.72% 11/19/20 11/19/19 3,244,620 3,244,620 100.00 3,244,620 142 1.73% East West Bank CD 1.71% 12/09/20 12/09/19 4,038,601 4,038,601 100.00 4,038,601 162 1.72% East West Bank CD 1.71% 01/08/21 01/08/20 3,024,696 3,024,696 100.00 3,024,696 192 1.72% Independent Bank CD 1.70% 02/05/21 02/05/20 3,112,959 3,112,959 100.00 3,112,959 220 1.71% Independent Bank CD 0.60% 02/08/21 05/08/20 11,000,000 11,000,000 100.00 11,000,000 223 0.60% R Bank CD 1.81 % 02/19/21 02/19/20 4,017,891 4,017,891 100.00 4,017,891 234 1.83% Bank OZK CD 1.72% 02/26/21 02/27/20 6,034,021 6,034,021 100.00 6,034,021 241 1.73% Independent Bank CD 1.80% 04/22/21 10/22/19 4,137,022 4,137,022 100.00 4,137,022 296 1.81% Bank OZK CD 0.70% 05/10/21 05/08/20 12,007,144 12,007,144 100.00 12,007,144 314 0.70% $ 250,003,077 $ 249,992,313 $ 250,002,012 58 0.74% (1) (2) (1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity. (2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisoryfees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds. (3) Earnings Credit - The City's depository accounts provide an earnings credit on balances which is used to offset bank fees. (4) Origin Bank MMA - Interest rate fixed until August 2020. Valley View Consulting, L.L.C. 28 3 Current Quarter Maturities 0-6 Months 83% 6-12 Months 17% 18 Months 0% Weighted Average to Maturity 200 174 166 166 ,ate 150 CD >, co C, 100 0 it 0 ^x ^t, N10 NO N6 ^b ^A NA Nb N% ^Cb ^-, ti4 Rd tid �o- 1P Ra 1P �d `P Na 1P Na 1P �o- 1P Ra tid Portfolio Balances $275,000,000 $250,000,000 $225,000,000 $200,000,000 $175,000,000 $150,000,000 $125,000,000 $100,000,000 $75,000,000 $50,000,000 $25,000,000 $0 09/30/20 12/31/19 03/31/20 06/30/20 ■ Money Market ■ Local Depository ■ TexSTAR TexPool ■ Certificate of Deposit US Treasury Portfolio Holdings by Issuer J BankuC T-Bill BBVA Bank JPMorgan 1% 1% ` 0% Chase R Bank_ 4% Prosperity Bank 4% r 3% Veritex Bank East West Bank 1 % 9% Bank OZK Origin Bankis 7% 4% NexBank 3% Independent / Bank 9% TexSTAR 36% — TexPool 18% Valley View CgRsulting, L.L.C. 4 City - Book Value Comparison Description Coupon/ Discount Maturity Date March 31, 2020 Face Amount/ Par Value Book Value Purchases/ Adjustments June 30, 2020 Sales/Adjust/ Face Amount/ Call/Maturity Par Value Book Value JPMorgan Chase Cash 0.22% 07/01/20 $ 10,852,258 $ 10,852,258 $ — $ (1,340,722) $ 9,511,536 $ 9,511,536 JPMorgan Chase MMA 0.05% 07/01/20 433,875 433,875 54 433,929 433,929 Veritex Bank MMA 0.30% 07/01/20 3,205,333 3,205,333 3,595 3,208,928 3,208,928 NexBank MMA 0.50% 07/01/20 7,337,623 7,337,623 9,126 7,346,749 7,346,749 Origin Bank MMA (4) 2.25% 07/01/20 10,739,181 10,739,181 58,852 10,798,033 10,798,033 TexPool 0.22% 07/01/20 38,781,634 38,781,634 6,694,207 45,475,841 45,475,841 TexSTAR 0.20% 07/01/20 66,065,086 66,065,086 24,022,913 90,087,998 90,087,998 East West Bank CD 2.62% 04/01/20 5,252,290 5,252,290 (5,252,290) — — T-Bill 0.00% 04/16/20 2,500,000 2,498,236 (2,498,236) — — Southside Bank CD 1.82% 04/17/20 2,514,336 2,514,336 (2,514,336) — — LegacyTexas Bank CD 2.91% 05/06/20 4,157,776 4,157,776 (4,157,776) — — T-Bill 0.00% 05/07/20 4,900,000 4,892,333 (4,892,333) — — Southside Bank CD 2.47% 05/11/20 3,056,381 3,056,381 (3,056,381) — — BBVA Bank CD 2.51 % 06/20/20 4,076,022 4,076,022 (4,076,022) — — East West Bank CD 2.48% 07/15/20 5,121,021 5,121,021 31,760 5,152,781 5,152,781 East West Bank CD 1.72% 08/04/20 6,518,552 6,518,552 28,012 6,546,565 6,546,565 R Bank CD 2.10% 08/16/20 2,021,284 2,021,284 10,493 2,031,778 2,031,778 R Bank CD 1.17% 08/16/20 1,010,897 1,010,897 2,921 1,013,818 1,013,818 Prosperity Bank CD 2.66% 08/21/20 6,174,483 6,174,483 41,377 6,215,859 6,215,859 T-Bill 0.00% 10/08/20 2,500,000 2,479,441 9,795 2,500,000 2,489,236 Independent Bank CD 1.85% 10/18/20 2,511,652 2,511,652 11,553 2,523,205 2,523,205 East West Bank CD 0.55% 11/09/20 — — 3,002,442 3,002,442 3,002,442 Independent Bank CD 2.56% 11/10/20 1,019,475 1,019,475 6,418 1,025,893 1,025,893 R Bank CD 1.76% 11/19/20 2,500,000 2,500,000 10,767 2,510,767 2,510,767 Southside Bank CD 1.72% 11/19/20 3,230,917 3,230,917 13,703 3,244,620 3,244,620 East West Bank CD 1.71% 12/09/20 4,021,420 4,021,420 17,181 4,038,601 4,038,601 East West Bank CD 1.71% 01/08/21 3,011,829 3,011,829 12,867 3,024,696 3,024,696 Independent Bank CD 1.70% 02/05/21 3,100,000 3,100,000 12,959 3,112,959 3,112,959 Independent Bank CD 0.60% 02/08/21 — — 11,000,000 11,000,000 11,000,000 R Bank CD 1.81% 02/19/21 4,000,000 4,000,000 17,891 4,017,891 4,017,891 Bank OZK CD 1.72% 02/26/21 6,007,921 6,007,921 26,099 6,034,021 6,034,021 Independent Bank CD 1.80% 04/22/21 4,118,590 4,118,590 18,432 4,137,022 4,137,022 Bank OZK CD 0.70% 05/10/21 — — 12,007,144 12,007,144 12,007,144 TOTAL $ 220,739,836 $ 220,709,845 $ 57,070,561 $ (27,788,094) $ 250,003,077 $ 249,992,313 Valley View dRsulting, L.L.C. 5 City - Market Value Comparison March 31, 2020 June 30, 2020 Maturity Face Amount/ Market Qtr to Qtr Face Amount/ Market Description Date Par Value Price Market Value Change Par Value Price Market Value JPMorgan Chase Cash 07/01/20 $ 10,852,258 1.00 $ 10,852,258 $ (1,340,722) $ 9,511,536 1.00 $ 9,511,536 JPMorgan Chase MMA 07/01/20 433,875 1.00 433,875 54 433,929 1.00 433,929 Veritex Bank MMA 07/01/20 3,205,333 1.00 3,205,333 3,595 3,208,928 1.00 3,208,928 NexBank MMA 07/01/20 7,337,623 1.00 7,337,623 9,126 7,346,749 1.00 7,346,749 Origin Bank MMA (4) 07/01/20 10,739,181 1.00 10,739,181 58,852 10,798,033 1.00 10,798,033 TexPool 07/01/20 38,781,634 1.00 38,781,634 6,694,207 45,475,841 1.00 45,475,841 TexSTAR 07/01/20 66,065,086 1.00 66,065,086 24,022,913 90,087,998 1.00 90,087,998 East West Bank CD 04/01/20 5,252,290 100.00 5,252,290 (5,252,290) - - T-Bill 04/16/20 2,500,000 100.00 2,499,923 (2,499,923) - - Southside Bank CD 04/17/20 2,514,336 100.00 2,514,336 (2,514,336) - - LegacyTexas Bank CD 05/06/20 4,157,776 100.00 4,157,776 (4,157,776) - - T-Bill 05/07/20 4,900,000 99.99 4,899,686 (4,899,686) - - Southside Bank CD 05/11/20 3,056,381 100.00 3,056,381 (3,056,381) - - BBVA Bank CD 06/20/20 4,076,022 100.00 4,076,022 (4,076,022) - - East West Bank CD 07/15/20 5,121,021 100.00 5,121,021 31,760 5,152,781 100.00 5,152,781 East West Bank CD 08/04/20 6,518,552 100.00 6,518,552 28,012 6,546,565 100.00 6,546,565 R Bank CD 08/16/20 2,021,284 100.00 2,021,284 10,493 2,031,778 100.00 2,031,778 R Bank CD 08/16/20 1,010,897 100.00 1,010,897 2,921 1,013,818 100.00 1,013,818 Prosperity Bank CD 08/21/20 6,174,483 100.00 6,174,483 41,377 6,215,859 100.00 6,215,859 T-Bill 10/08/20 2,500,000 99.95 2,498,775 160 2,500,000 99.96 2,498,935 Independent Bank CD 10/18/20 2,511,652 100.00 2,511,652 11,553 2,523,205 100.00 2,523,205 East West Bank CD 11/09/20 - - 3,002,442 3,002,442 100.00 3,002,442 Independent Bank CD 11/10/20 1,019,475 100.00 1,019,475 6,418 1,025,893 100.00 1,025,893 R Bank CD 11/19/20 2,500,000 100.00 2,500,000 10,767 2,510,767 100.00 2,510,767 Southside Bank CD 11/19/20 3,230,917 100.00 3,230,917 13,703 3,244,620 100.00 3,244,620 East West Bank CD 12/09/20 4,021,420 100.00 4,021,420 17,181 4,038,601 100.00 4,038,601 East West Bank CD 01/08/21 3,011,829 100.00 3,011,829 12,867 3,024,696 100.00 3,024,696 Independent Bank CD 02/05/21 3,100,000 100.00 3,100,000 12,959 3,112,959 100.00 3,112,959 Independent Bank CD 02/08/21 - - 11,000,000 11,000,000 100.00 11,000,000 R Bank CD 02/19/21 4,000,000 100.00 4,000,000 17,891 4,017,891 100.00 4,017,891 Bank OZK CD 02/26/21 6,007,921 100.00 6,007,921 26,099 6,034,021 100.00 6,034,021 Independent Bank CD 04/22/21 4,118,590 100.00 4,118,590 18,432 4,137,022 100.00 4,137,022 Bank OZK CD 05/10/21 - - 12,007,144 12,007,144 100.00 12,007,144 TOTAL $ 220,738,220 $ 29,263,791 $ 250,003,077 $ 250,002,012 $ 220,739,836 Valley View dAsulting, L.L.C. 6 City - Allocation June 30, 2020 Book Value Investment 2014 Revenue Consolidated Debt Service 2015 CO- 2015 CO - Parks/Streets/ Total Water WW Stormwater Vehicles JPMorgan Chase Cash $ 9,511,536 $ 9,511,536 $ — $ — $ — $ — JPMorgan Chase MMA 433,929 433,929 — — — — Veritex Bank MMA 3,208,928 3,208,928 — — — — NexBank MMA 7,346,749 7,346,749 — — — — Origin Bank MMA 10,798,033 4,080,098 — — — — TexPool 45,475,841 45,475,841 — — — — TexSTAR 90,087,998 10,057,422 583,850 16,567,129 137,205 311,153 East West Bank CD 07/15/20 5,152,781 5,152,781 — — — — East West Bank CD 08/04/20 6,546,565 — — — — — R Bank CD 08/16/20 2,031,778 — — — R Bank CD 08/16/20 1,013,818 — — — — — Prosperity Bank CD 08/21/20 6,215,859 6,215,859 — — — — T-Bill 10/08/20 2,489,236 2,489,236 — — — — Independent Bank CD 10/18/20 2,523,205 2,523,205 — — — — East West Bank CD 11/09/20 3,002,442 3,002,442 — — — — Independent Bank CD 11/10/20 1,025,893 1,025,893 — — — — R Bank CD 11/19/20 2,510,767 2,510,767 — — — — Southside Bank CD 11/19/20 3,244,620 3,244,620 — — — — East West Bank CD 12/09/20 4,038,601 4,038,601 — — — — East West Bank CD 01/08/21 3,024,696 3,024,696 — — Independent Bank CD 02/05/21 3,112,959 3,112,959 — — — — Independent Bank CD 02/08/21 11,000,000 8,000,000 — — R Bank CD 02/19/21 4,017,891 4,017,891 — — — — Bank OZK CD 02/26/21 6,034,021 6,034,021 — — Independent Bank CD 04/22/21 4,137,022 4,137,022 — — — — Bank OZK CD 05/10/21 12,007,144 10,005,954 — — Totals $ 249,992,313 $ 148,650,451 $ 583,850 $ 16,567,129 $ 137,205 $ 311,153 32 7 Valley View Consulting, L.L.C. City - Allocation (Continued) June 30, 2020 2016 CO - Book Value 2015 GO- 2015 Revenue Streets/ 2016 GO- 2016 Revenue Garey Park Roads Water WW Facilities/ Roads Water/WW Donation Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — Veritex Bank MMA — — — — — — NexBank MMA — — — — — — Origin Bank MMA — — — — — — TexPool — — — — — — TexSTAR 2,506,968 1,530,698 68,555 1,450,521 1,503,286 382,436 East West Bank CD 07/15/20 — — — — — — East West Bank CD 08/04/20 — — — — — — R Bank CD 08/16/20 — — — — — — R Bank CD 08/16/20 — — — — — — Prosperity Bank CD 08/21/20 — — — — — — T-B i I I 10/08/20 — — — — — — Independent Bank CD 10/18/20 — — — — — — East West Bank CD 11/09/20 — — — — — — Independent Bank CD 11/10/20 — — — — — — R Bank CD 11/19/20 — — — — — — Southside Bank CD 11/19/20 — — — — — — East West Bank CD 12/09/20 — — — — — — East West Bank CD 01/08/21 — — — — — — Independent Bank CD 02/05/21 — — — — — — Independent Bank CD 02/08/21 — — — — — — R Bank CD 02/19/21 — — — — — — Bank OZK CD 02/26/21 — — — — — — Independent Bank CD 04/22/21 — — — — — — Bank OZK CD 05/10/21 — — — — — — Totals $ 2,506,968 $ 1,530,698 $ 68,555 $ 1,450,521 $ 1,503,286 $ 382,436 33 8 Valley View Consulting, L.L.C. City - Allocation (Continued) June 30, 2020 2017 CO 2018 CO - Book Value Facilities/ Public 2017 GO- 2017 Revenue 2017 Revenue 2018 CO- Streets/ Safety/ Sidewalks Electric Water WW Airport Facilities/ Equipment Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — Veritex Bank MMA — — — — — — NexBank MMA — — — — — — Origin Bank MMA — — — 1,005,754 — — TexPool — — — — — — TexSTAR 182,203 380,642 97,311 5,922,590 56,657 924,743 East West Bank CD 07/15/20 — — — — — — East West Bank CD 08/04/20 — — — — — — R Bank CD 08/16/20 — — — 2,031,778 — — R Bank CD 08/16/20 — — — 1,013,818 — — Prosperity Bank CD 08/21/20 — — — — — — T-B i I I 10/08/20 — — — — — — Independent Bank CD 10/18/20 — — — — — — East West Bank CD 11/09/20 — — — — — — Independent Bank CD 11/10/20 — — — — — — R Bank CD 11/19/20 — — — — — — Southside Bank CD 11/19/20 — — — — — — East West Bank CD 12/09/20 — — — — — — East West Bank CD 01/08/21 — — — — — — Independent Bank CD 02/05/21 — — — — — — Independent Bank CD 02/08/21 — — — 3,000,000 R Bank CD 02/19/21 — — — — — — Bank OZK CD 02/26/21 — — — — — — Independent Bank CD 04/22/21 — — — — — — Bank OZK CD 05/10/21 — — — 2,001,191 — — Totals $ 182,203 $ 380,642 $ 97,311 $ 14,975,130 $ 56,657 $ 924,743 34 9 Valley View Consulting, L.L.C. City - Allocation (Continued) June 30, 2020 2019 CO- 2020 CO - Book Value 2018 GO- 2018 GO- Streets/ 2019 CO- 2019 GO- Facilities/ 2020 CO - Parks Roads Facilities/ Stormwater Roads Stormwater Equip/Parks Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — — Veritex Bank MMA — — — — — — — NexBank MMA — — — — — — — Origin Bank MMA — — 4,743,154 — 969,028 — — TexPool — — — — — — — TexSTAR 560,262 11,613,036 2,607,390 439,319 2,472,153 5,767,255 650,141 East West Bank CD 07/15/20 — — — — — — — East West Bank CD 08/04/20 — 2,014,063 3,514,104 — 1,018,398 — — R Bank CD 08/16/20 — — — — — — — R Bank CD 08/16/20 — — — — — — — Prosperity Bank CD 08/21/20 — — — — — — — T-Bill 10/08/20 — — — — — — — Independent Bank CD 10/18/20 — — — — — — — East West Bank CD 11/09/20 — — — — — — — Independent Bank CD 11/10/20 — — — — — — — R Bank CD 11/19/20 — — — — — — — Southside Bank CD 11/19/20 — — — — — — — East West Bank CD 12/09/20 — — — — — — — East West Bank CD 01/08/21 — — — — — — — Independent Bank CD 02/05/21 — — — — — — — Independent Bank CD 02/08/21 — — — — — — — R Bank CD 02/19/21 — — — — — — — Bank OZK CD 02/26/21 — — — — — — — Independent Bank CD 04/22/21 — — — — — — — Bank OZK CD 05/10/21 — — — — — — — Totals $ 560,262 $ 13,627,099 $ 10,864,648 $ 439,319 $ 4,459,579 $ 5,767,255 $ 650,141 35 10 Valley View Consulting, L.L.C. City - Allocation (Continued) June 30, 2020 2020 2020 Book Value 2020 GO- Revenue- Revenue - Roads Electric Water/WW JPMorgan Chase Cash $ — $ — $ — JPMorgan Chase MMA — — — Veritex Bank MMA — NexBank MMA — — — Origin Bank MMA — TexPool — — — TexSTAR 9,001,959 5,011,090 9,302,024 East West Bank CD 07/15/20 — East West Bank CD 08/04/20 — — — R Bank CD 08/16/20 — R Bank CD 08/16/20 — — — Prosperity Bank CD 08/21/20 — T-B i I I 10/08/20 — — — Independent Bank CD 10/18/20 — East West Bank CD 11/09/20 — — — Independent Bank CD 11/10/20 — — — R Bank CD 11/19/20 — — — Southside Bank CD 11/19/20 — — — East West Bank CD 12/09/20 — — — East West Bank CD 01/08/21 — — — Independent Bank CD 02/05/21 — — — Independent Bank CD 02/08/21 — — — R Bank CD 02/19/21 — — — Bank OZK CD 02/26/21 — — — Independent Bank CD 04/22/21 — — — Bank OZK CD 05/10/21 — — — Totals $ 9,001,959 $ 5,011,090 $ 9,302,024 36 11 Valley View Consulting, L.L.C. City - Allocation June 30, 2020 Market Value Investment 2014 Revenue Consolidated Debt Service 2015 CO- 2015 CO - Parks/Streets/ Total Water WW Stormwater Vehicles JPMorgan Chase Cash $ 9,511,536 $ 9,511,536 $ — $ — $ — $ — JPMorgan Chase MMA 433,929 433,929 — — — — Veritex Bank MMA 3,208,928 3,208,928 — — — — NexBank MMA 7,346,749 7,346,749 — — — — Origin Bank MMA 10,798,033 4,080,098 — — — — TexPool 45,475,841 45,475,841 — — — — TexSTAR 90,087,998 10,057,422 583,850 16,567,129 137,205 311,153 East West Bank CD 07/15/20 5,152,781 5,152,781 — — — — East West Bank CD 08/04/20 6,546,565 — — — — — R Bank CD 08/16/20 2,031,778 — — — — — R Bank CD 08/16/20 1,013,818 — — — — — Prosperity Bank CD 08/21/20 6,215,859 6,215,859 — — — — T-Bill 10/08/20 2,498,935 2,498,935 — — — — Independent Bank CD 10/18/20 2,523,205 2,523,205 — — — — East West Bank CD 11/09/20 6,002,442 3,002,442 — — Independent Bank CD 11/10/20 1,025,893 1,025,893 — — — — R Bank CD 11/19/20 2,510,767 2,510,767 — — — — Southside Bank CD 11/19/20 3,244,620 3,244,620 — — — — East West Bank CD 12/09/20 4,038,601 4,038,601 — — — — East West Bank CD 01/08/21 3,024,696 3,024,696 — — — — Independent Bank CD 02/05/21 3,112,959 3,112,959 — — — — Independent Bank CD 02/08/21 8,000,000 8,000,000 — — — — R Bank CD 02/19/21 4,017,891 4,017,891 — — — — Bank OZK CD 02/26/21 6,034,021 6,034,021 — — — — Independent Bank CD 04/22/21 4,137,022 4,137,022 — — — — Bank OZK CD 05/10/21 12,007,144 10,005,954 — — — — Totals $ 250,002,012 $ 148,660,149 $ 583,850 $ 16,567,129 $ 137,205 $ 311,153 37 12 Valley View Consulting, L.L.C. City - Allocation (Continued) June 30, 2020 2016 CO - Market Value 2015 GO- 2015 Revenue Streets/ 2016 GO- 2016 Revenue Garey Park Roads Water WW Facilities/ Roads Water/WW Donation Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — Veritex Bank MMA — — — — — — NexBank MMA — — — — — — Origin Bank MMA — — — — — — TexPool — — — — — — TexSTAR 2,506,968 1,530,698 68,555 1,450,521 1,503,286 382,436 East West Bank CD 07/15/20 — — — — — — East West Bank CD 08/04/20 — — — — — — R Bank CD 08/16/20 — — — — — — R Bank CD 08/16/20 — — — — — — Prosperity Bank CD 08/21/20 — — — — — — T-Bill 10/08/20 — — — — — — Independent Bank CD 10/18/20 — — — — — — East West Bank CD 11/09/20 — — — — — — Independent Bank CD 11/10/20 — — — — — — R Bank CD 11/19/20 — — — — — — Southside Bank CD 11/19/20 — — — — — — East West Bank CD 12/09/20 — — — — — — East West Bank CD 01/08/21 — — — — — — Independent Bank CD 02/05/21 — — — — — — Independent Bank CD 02/08/21 — — — — — — R Bank CD 02/19/21 — — — — — — Bank OZK CD 02/26/21 — — — — — — Independent Bank CD 04/22/21 — — — — — — Bank OZK CD 05/10/21 — — — — — — Totals $ 2,506,968 $ 1,530,698 $ 68,555 $ 1,450,521 $ 1,503,286 $ 382,436 38 13 Valley View Consulting, L.L.C. City - Allocation (Continued) June 30, 2020 2017 CO 2018 CO - Market Value Facilities/ Public 2017 GO- 2017 Revenue 2017 Revenue 2018 CO- Streets/ Safety/ Sidewalks Electric Water WW Airport Facilities/ Equipment Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — Veritex Bank MMA — — — — — — NexBank MMA — — — — — — Origin Bank MMA — — — 1,005,754 — — TexPool — — — — — — TexSTAR 182,203 380,642 97,311 5,922,590 56,657 924,743 East West Bank CD 07/15/20 — — — — — — East West Bank CD 08/04/20 — — — — — — R Bank CD 08/16/20 — — — 2,031,778 — — R Bank CD 08/16/20 — — — 1,013,818 — — Prosperity Bank CD 08/21/20 — — — — — — T-Bill 10/08/20 — — — — — — Independent Bank CD 10/18/20 — — — — — — East West Bank CD 11/09/20 — — — 3,000,000 Independent Bank CD 11/10/20 — — — — — — R Bank CD 11/19/20 — — — — Southside Bank CD 11/19/20 — — — — — — East West Bank CD 12/09/20 — — — — East West Bank CD 01/08/21 — — — — — — Independent Bank CD 02/05/21 — — — — — — Independent Bank CD 02/08/21 — — — — — — R Bank CD 02/19/21 — — — — — — Bank OZK CD 02/26/21 — — — — — — Independent Bank CD 04/22/21 — — — — — — Bank OZK CD 05/10/21 — — — 2,001,191 — — Totals $ 182,203 $ 380,642 $ 97,311 $ 14,975,130 $ 56,657 $ 924,743 39 14 Valley View Consulting, L.L.C. City - Allocation (Continued) June 30, 2020 2019 CO- 2018 GO- 2018 GO- Streets/ 2019 CO- 2019 GO- 2020 CO - 2020 CO - Market Value Facilities/ Parks Roads Facilities/ Stormwater Roads Stormwater Equip/Parks Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — — Veritex Bank MMA — — — — — — — NexBank MMA — — — — — — — Origin Bank MMA — — 4,743,154 — 969,028 — — TexPool — — — — — — — TexSTAR 560,262 11,613,036 2,607,390 439,319 2,472,153 5,767,255 650,141 East West Bank CD 07/15/20 — — — — — — — East West Bank CD 08/04/20 — 2,014,063 3,514,104 — 1,018,398 — — R Bank CD 08/16/20 — — — — — — — R Bank CD 08/16/20 — — — — — — — Prosperity Bank CD 08/21/20 — — — — — — — T-Bill 10/08/20 — — — — — — — Independent Bank CD 10/18/20 — — — — — — — East West Bank CD 11/09/20 — — — — — — — Independent Bank CD 11/10/20 — — — — — — — R Bank CD 11/19/20 — — — — — — — Southside Bank CD 11/19/20 — — — — — — — East West Bank CD 12/09/20 — — — — — — — East West Bank CD 01/08/21 — — — — — — — Independent Bank CD 02/05/21 — — — — — — — Independent Bank CD 02/08/21 — — — — — — — R Bank CD 02/19/21 — — — — — — — Bank OZK CD 02/26/21 — — — — — — — Independent Bank CD 04/22/21 — — — — — — — Bank OZK CD 05/10/21 — — — — — — — Totals $ 560,262 $ 13,627,099 $ 10,864,648 $ 439,319 $ 4,459,579 $ 5,767,255 $ 650,141 40 15 Valley View Consulting, L.L.C. City - Allocation (Continued) June 30, 2020 2020 2020 Market Value 2020 GO- Revenue- Revenue - Roads Electric Water/WW JPMorgan Chase Cash $ — $ — $ — JPMorgan Chase MMA — — — Veritex Bank MMA — — — NexBank MMA — — — Origin Bank MMA — — — TexPool — — — TexSTAR 9,001,959 5,011,090 9,302,024 East West Bank CD 07/15/20 — — — East West Bank CD 08/04/20 — — — R Bank CD 08/16/20 — — — R Bank CD 08/16/20 — — — Prosperity Bank CD 08/21/20 — — — T-Bill 10/08/20 — — — Independent Bank CD 10/18/20 — — — East West Bank CD 11/09/20 — — — Independent Bank CD 11/10/20 — — — R Bank CD 11/19/20 — — — Southside Bank CD 11/19/20 — — — East West Bank CD 12/09/20 — East West Bank CD 01/08/21 — — — Independent Bank CD 02/05/21 — Independent Bank CD 02/08/21 — — — R Bank CD 02/19/21 — Bank OZK CD 02/26/21 — — — Independent Bank CD 04/22/21 — — — Bank OZK CD 05/10/21 — — — Totals $ 9,001,959 $ 5,011,090 $ 9,302,024 41 16 Valley View Consulting, L.L.C. City - Allocation March 31, 2020 Book Value Investment 2014 Revenue Consolidated Debt Service 2015 CO- 2015 CO - Parks/Streets/ Total Water WW Stormwater Vehicles JPMorgan Chase Cash $ 10,852,258 $ 10,852,258 $ — $ — $ — $ — JPMorgan Chase MMA 433,875 433,875 — — — — Veritex Bank MMA 3,205,333 3,205,333 — — — — NexBank MMA 7,337,623 7,337,623 — — — — Origin Bank MMA 10,739,181 4,057,314 — — — — TexPool 38,781,634 38,781,634 — — — — TexSTAR 66,065,086 16,194,709 583,421 16,064,232 137,104 310,924 East West Bank CD 04/01/20 5,252,290 5,252,290 — — — — T-Bill 04/16/20 2,498,236 2,498,236 — — — — Southside Bank CD 04/17/20 2,514,336 2,514,336 — — — — Prosperity Bank CD 05/06/20 4,157,776 4,157,776 — — T-Bill 05/07/20 4,892,333 — — — — — Southside Bank CD 05/11/20 3,056,381 3,056,381 — — — — BBVA Bank CD 06/20/20 4,076,022 4,076,022 — — — — East West Bank CD 07/15/20 5,121,021 5,121,021 — — — — East West Bank CD 08/04/20 6,518,552 6,518,552 — — — — R Bank CD 08/16/20 2,021,284 — — — — — R Bank CD 08/16/20 1,010,897 — — — — — LegacyTexas Bank CD 08/21/20 6,174,483 6,174,483 — — — — T-Bill 10/08/20 2,479,441 2,479,441 — — — — Independent Bank CD 10/18/20 2,511,652 2,511,652 — — — — Independent Bank CD 11/10/20 1,019,475 1,019,475 — — — — R Bank CD 11/19/20 2,500,000 2,500,000 — — — — Southside Bank CD 11/19/20 3,230,917 3,230,917 — — — — East West Bank CD 12/09/20 4,021,420 4,021,420 — — East West Bank CD 01/08/21 3,011,829 3,011,829 — — — — Independent Bank CD 02/05/21 3,100,000 3,100,000 — — R Bank CD 02/19/21 4,000,000 4,000,000 — — — — Bank OZK CD 02/26/21 6,007,921 6,007,921 — — — — Independent Bank CD 04/22/21 4,118,590 4,118,590 — — — — Totals $ 220,709,845 $ 156,233,087 $ 583,421 $ 16,064,232 $ 137,104 $ 310,924 42 17 Valley View Consulting, L.L.C. City - Allocation (Continued) March 31, 2020 2016 CO - Book Value 2015 GO- 2015 Revenue Streets/ 2016 GO- 2016 Revenue Garey Park Roads Water WW Facilities/ Roads Water/WW Donation Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — Veritex Bank MMA — — — — — — NexBank MMA — — — — — — Origin Bank MMA — — — — — — TexPool — — — — — — TexSTAR 2,505,126 1,529,574 68,505 1,449,455 1,502,181 382,155 East West Bank CD 04/01/20 — — — — — — T-Bil I 04/16/20 — — — — — — Southside Bank CD 04/17/20 — — — — — — Prosperity Bank CD 05/06/20 — — — — — — T-Bil I 05/07/20 — — — — — — Southside Bank CD 05/11/20 — — — — — — BBVA Bank CD 06/20/20 — — — — — — East West Bank CD 07/15/20 — — — — — — East West Bank CD 08/04/20 — — — — — — R Bank CD 08/16/20 — — — — — — R Bank CD 08/16/20 — — — — — — LegacyTexas Bank CD 08/21/20 — — — — — — T-B i I I 10/08/20 — — — — — — Independent Bank CD 10/18/20 — — — — — — Independent Bank CD 11/10/20 — — — — — — R Bank CD 11/19/20 — — — — — — Southside Bank CD 11/19/20 — — — — — — East West Bank CD 12/09/20 — — — — — — East West Bank CD 01/08/21 — — — — — — Independent Bank CD 02/05/21 — — — — — — R Bank CD 02/19/21 — — — — — — Bank OZK CD 02/26/21 — — — — — — Independent Bank CD 04/22/21 — — — — — — Totals $ 2,505,126 $ 1,529,574 $ 68,505 $ 1,449,455 $ 1,502,181 $ 382,155 43 18 Valley View Consulting, L.L.C. City - Allocation (Continued) March 31, 2020 2017 CO 2018 CO - Book Value Facilities/ Public 2017 GO- 2017 Revenue 2017 Revenue 2018 CO- Streets/ Safety/ Sidewalks Electric Water WW Airport Facilities/ Equipment Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — Veritex Bank MMA — — — — — — NexBank MMA — — — — Origin Bank MMA — — — 1,001,628 — — TexPool — — — — TexSTAR 182,069 380,362 97,239 6,018,195 56,616 924,064 East West Bank CD 04/01/20 — — — — — — T-Bil I 04/16/20 — — — — — — Southside Bank CD 04/17/20 — — — — — — Prosperity Bank CD 05/06/20 — — — — T-Bill 05/07/20 — — — 4,892,333 — — Southside Bank CD 05/11/20 — — — — BBVA Bank CD 06/20/20 — — — — — — East West Bank CD 07/15/20 — — — — — — East West Bank CD 08/04/20 — — — — — — R Bank CD 08/16/20 — — — 2,021,284 — — R Bank CD 08/16/20 — — — 1,010,897 — — LegacyTexas Bank CD 08/21/20 — — — — — — T-B i I I 10/08/20 — — — — — — Independent Bank CD 10/18/20 — — — — — — Independent Bank CD 11/10/20 — — — — — — R Bank CD 11/19/20 — — — — — — Southside Bank CD 11/19/20 — — — — — — East West Bank CD 12/09/20 — — — — — — East West Bank CD 01/08/21 — — — — — — Independent Bank CD 02/05/21 — — — — — — R Bank CD 02/19/21 — — — — — — Bank OZK CD 02/26/21 — — — — — — Independent Bank CD 04/22/21 — — — — — — Totals $ 182,069 $ 380,362 $ 97,239 $ 14,944,336 $ 56,616 $ 924,064 44 19 Valley View Consulting, L.L.C. City - Allocation (Continued) March 31, 2020 2019 CO - Book Value 2018 GO- 2018 GO- Streets/ 2019 CO- 2019 GO - Parks Roads Facilities/ Stormwater Roads Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — Veritex Bank MMA — — — — — NexBank MMA — — — — — Origin Bank MMA — — 4,716,627 — 963,612 TexPool — — — — — TexSTAR 559,850 11,604,502 2,605,474 438,996 2,470,336 East West Bank CD 04/01/20 — — — — — T-Bill 04/16/20 — — — — — Southside Bank CD 04/17/20 — — — — — Prosperity Bank CD 05/06/20 — — — — — T-Bill 05/07/20 — — — — — Southside Bank CD 05/11/20 — — — — — BBVA Bank CD 06/20/20 — — — — — East West Bank CD 07/15/20 — — — — — East West Bank CD 08/04/20 — — — — — R Bank CD 08/16/20 — — — — — R Bank CD 08/16/20 — — — — — LegacyTexas Bank CD 08/21/20 — — — — — T-Bill 10/08/20 — — — — — Independent Bank CD 10/18/20 — — — — — Independent Bank CD 11/10/20 — — — — — R Bank CD 11/19/20 — — — — — Southside Bank CD 11/19/20 — — — — — East West Bank CD 12/09/20 — — — — — East West Bank CD 01/08/21 — — — — — Independent Bank CD 02/05/21 — — — — — R Bank CD 02/19/21 — — — — — Bank OZK CD 02/26/21 — — — — — Independent Bank CD 04/22/21 — — — — — Totals $ 559,850 $ 11,604,502 $ 7,322,102 $ 438,996 $ 3,433,948 45 20 Valley View Consulting, L.L.C. City - Allocation March 31, 2020 Market Value Investment 2014 Revenue Consolidated Debt Service 2015 CO- 2015 CO - Parks/Streets/ Total Water WW Stormwater Vehicles JPMorgan Chase Cash $ 10,852,258 $ 10,852,258 $ — $ — $ — $ — JPMorgan Chase MMA 433,875 433,875 — — — — Veritex Bank MMA 3,205,333 3,205,333 — — — — NexBank MMA 7,337,623 7,337,623 — — — — Origin Bank MMA 10,739,181 4,057,314 — — — — TexPool 38,781,634 38,781,634 — — — — TexSTAR 66,065,086 16,194,709 583,421 16,064,232 137,104 310,924 East West Bank CD 04/01/20 5,252,290 5,252,290 — — — — T-Bill 04/16/20 2,499,923 2,499,923 — — Southside Bank CD 04/17/20 2,514,336 2,514,336 — — — — Prosperity Bank CD 05/06/20 4,157,776 4,157,776 — — — — T-Bill 05/07/20 4,899,686 — — — — — Southside Bank CD 05/11/20 3,056,381 3,056,381 — — — — BBVA Bank CD 06/20/20 4,076,022 4,076,022 — — — — East West Bank CD 07/15/20 5,121,021 5,121,021 — — — — East West Bank CD 08/04/20 6,518,552 6,518,552 — — — — R Bank CD 08/16/20 2,021,284 — — — — — R Bank CD 08/16/20 1,010,897 — — — — — LegacyTexas Bank CD 08/21/20 6,174,483 6,174,483 — — — — T-Bill 10/08/20 2,498,775 2,498,775 — — — — Independent Bank CD 10/18/20 2,511,652 2,511,652 — — — — Independent Bank CD 11/10/20 1,019,475 1,019,475 — — — — R Bank CD 11/19/20 2,500,000 2,500,000 — — — — Southside Bank CD 11/19/20 3,230,917 3,230,917 — — — — East West Bank CD 12/09/20 4,021,420 4,021,420 — — — — East West Bank CD 01/08/21 3,011,829 3,011,829 — — — — Independent Bank CD 02/05/21 3,100,000 3,100,000 — — — — R Bank CD 02/19/21 4,000,000 4,000,000 — — — — Bank OZK CD 02/26/21 6,007,921 6,007,921 — — — — Independent Bank CD 04/22/21 4,118,590 4,118,590 — — — — Totals $ 220,738,220 $ 156,254,108 $ 583,421 $ 16,064,232 $ 137,104 $ 310,924 46 21 Valley View Consulting, L.L.C. City - Allocation (Continued) March 31, 2020 2016 CO - Market Value 2015 GO- 2015 Revenue Streets/ 2016 GO- 2016 Revenue Garey Park Roads Water WW Facilities/ Roads Water/WW Donation Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — Veritex Bank MMA — — — — — — NexBank MMA — — — — — — Origin Bank MMA — — — — — — TexPool — — — — — — TexSTAR 2,505,126 1,529,574 68,505 1,449,455 1,502,181 382,155 East West Bank CD 04/01/20 — — — — — — T-Bil I 04/16/20 — — — — — — Southside Bank CD 04/17/20 — — — — — — Prosperity Bank CD 05/06/20 — — — — — — T-Bil I 05/07/20 — — — — — — Southside Bank CD 05/11/20 — — — — — — BBVA Bank CD 06/20/20 — — — — — — East West Bank CD 07/15/20 — — — — East West Bank CD 08/04/20 — — — — — — R Bank CD 08/16/20 — — — — — — R Bank CD 08/16/20 — — — — — — LegacyTexas Bank CD 08/21/20 — — — — — — T-Bil I 10/08/20 — — — — — — Independent Bank CD 10/18/20 — — — — — — Independent Bank CD 11/10/20 — — — — — — R Bank CD 11/19/20 — — — — — — Southside Bank CD 11/19/20 — — — — — — East West Bank CD 12/09/20 — — — — — — East West Bank CD 01/08/21 — — — — — — Independent Bank CD 02/05/21 — — — — — — R Bank CD 02/19/21 — — — — — — Bank OZK CD 02/26/21 — — — — — — Independent Bank CD 04/22/21 — — — — — — Totals $ 2,505,126 $ 1,529,574 $ 68,505 $ 1,449,455 $ 1,502,181 $ 382,155 47 22 Valley View Consulting, L.L.C. City - Allocation (Continued) March 31, 2020 2017 CO 2018 CO - Market Value Facilities/ Public 2017 GO- 2017 Revenue 2017 Revenue 2018 CO- Streets/ Safety/ Sidewalks Electric Water WW Airport Facilities/ Equipment Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — — Veritex Bank MMA — — — — — — NexBank MMA — — — — Origin Bank MMA — — — 1,001,628 — — TexPool — — — — TexSTAR 182,069 380,362 97,239 6,018,195 56,616 924,064 East West Bank CD 04/01/20 — — — — — — T-Bil I 04/16/20 — — — — — — Southside Bank CD 04/17/20 — — — — — — Prosperity Bank CD 05/06/20 — — — — T-Bill 05/07/20 — — — 4,899,686 — — Southside Bank CD 05/11/20 — — — — BBVA Bank CD 06/20/20 — — — — — — East West Bank CD 07/15/20 — — — — East West Bank CD 08/04/20 — — — — — — R Bank CD 08/16/20 — — — 2,021,284 R Bank CD 08/16/20 — — — 1,010,897 — — LegacyTexas Bank CD 08/21/20 — — — — — — T-Bil I 10/08/20 — — — — — — Independent Bank CD 10/18/20 — — — — — — Independent Bank CD 11/10/20 — — — — — — R Bank CD 11/19/20 — — — — — — Southside Bank CD 11/19/20 — — — — — — East West Bank CD 12/09/20 — — — — — — East West Bank CD 01/08/21 — — — — — — Independent Bank CD 02/05/21 — — — — — — R Bank CD 02/19/21 — — — — — — Bank OZK CD 02/26/21 — — — — — — Independent Bank CD 04/22/21 — — — — — — Totals $ 182,069 $ 380,362 $ 97,239 $ 14,951,690 $ 56,616 $ 924,064 4s 23 Valley View Consulting, L.L.C. City - Allocation (Continued) March 31, 2020 2019 CO - Market Value 2018 GO- 2018 GO- Streets/ 2019 CO- 2019 GO - Parks Roads Facilities/ Stormwater Roads Equip JPMorgan Chase Cash $ — $ — $ — $ — $ — JPMorgan Chase MMA — — — — — Veritex Bank MMA — — — — — NexBank MMA — — — — — Origin Bank MMA — — 4,716,627 — 963,612 TexPool — — — — — TexSTAR 559,850 11,604,502 2,605,474 438,996 2,470,336 East West Bank CD 04/01/20 — — — — — T-Bil I 04/16/20 — — — Southside Bank CD 04/17/20 — — — — — Prosperity Bank CD 05/06/20 — — — T-Bill 05/07/20 — — — — — Southside Bank CD 05/11/20 — — — BBVA Bank CD 06/20/20 — — — — — East West Bank CD 07/15/20 — — — — — East West Bank CD 08/04/20 — — — — — R Bank CD 08/16/20 — — — R Bank CD 08/16/20 — — — — — LegacyTexas Bank CD 08/21/20 — — — — — T-Bill 10/08/20 — — — — — Independent Bank CD 10/18/20 — — — — — Independent Bank CD 11/10/20 — — — — — R Bank CD 11/19/20 — — — — Southside Bank CD 11/19/20 — — — — — East West Bank CD 12/09/20 — — — — — East West Bank CD 01/08/21 — — — — — Independent Bank CD 02/05/21 — — — — — R Bank CD 02/19/21 — — — — — Bank OZK CD 02/26/21 — — — — — Independent Bank CD 04/22/21 — — — — — Totals $ 559,850 $ 11,604,502 $ 7,322,102 $ 438,996 $ 3,433,948 49 24 Valley View Consulting, L.L.C. GEORGETOWN TEXAS Georgetown Transportation Enhancement Corporation (GTEC) QUARTERLY INVESTMENT REPORT For the Quarter Ended June 30, 2020 Prepared by Valley View Consulting, L.L.C. The investment portfolio of the Georgetown Transportation Enhancement Corporation (GTEC) is in compliance with the Texas Public Funds Investment Act and the Investment Policy and Strategies. Elaine Wilson Controller Karrie Pursley Treasurer Leigh Wallace Finance Director Disclaimer: These reports were compiled using information provided by the City. No procedures were performed to test the accuracy or completeness of this information. The market values included in these reports were obtained by Valley View Consulting, L.L.C. from sources believed to be accurate and represent proprietary valuation. Due to market fluctuations these levels are not necessarily reflective of current liquidation values. Yield calculations are not determined using standard performance formulas, are not representative of total return yields and do not account for investment advisor fees. 50 Summary Quarter End Results by Investment Category: March 31, 2020 Asset Type Book Value Market Value Pools/MMAs $ 19,994,093 $ 19,994,093 CDs/Securities 3,208,607 3,208,607 Book Value $26,000,055 3,222,395 June 30, 2020 Market Value $ 26,000,055 3,222,395 Totals $ 23,202,700 $ 23,202,700 $29,222,450 $ 29,222,450 Quarter End Average Yield (1) Total Portfolio 0.52% Rolling Three Month Treasury 0.14% Rolling Six Month Treasury 0.67% TexPool 0.22% Interest data provided in separate report. Ave. Yield 0.37% 1.73% 0.52% Fiscal Year -to -Date Average Yield (2) Total Portfolio 1.24% Rolling Three Month Treasury 0.97% Rolling Six Month Treasury 1.28% TexPool 0.96% (1) Quarter End Average Yield - based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank, pool, and money market balances. (2) Fiscal Year -to -Date Average Yield - calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. Valley View Consulting, L.L.C. 51 1 Economic Overview 6/30/2020 The Federal Open Market Committee (FOMC) maintained the Fed Funds target range at 0.00% to 0.25% (Effective Fed Funds are trading +/-0.08%). Worldwide and domestic economic activity popped -up as isolation protocols eased. However, continued positive COVID test growth may impact additional activity. The Yield Curve remains stabilized at current levels. The FOMC has signaled reduced rates for an extended period. Crude oil increased to $40+ per barrel. Unemployment claims continued to rise, but June Non Farm Payroll surged to 4.8 million. The Stock Market wobbled but stabilized. Full recovery timeline still very uncertain. 3.00 2.50 2.00 - 1.50 1.00 0.50 Treasury Yield Curves 0.00 IT 01 6�0��PQ June 30, 2019 March 31, 2020 June 30, 2020 US Treasury Historical Yields - Since 2006 6.00 5.50 5.00 4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0 00 ♦ • � 1 • 1 • • ^l\1l 10\^6 ^9�19 LO fan �v fan �v fan �J fan �J fan �v fan �V fan �v fan �J fan �J fan �J fan �v fan �J fan �J fan �J fan -Six Month T-Bill Two Year T-Note Ten Year T-Note S&P 500 3,750 3,500 3,250 3,000 2,750 2,500 2,250 2,000 1,750 1,500 1,250 1,000 750 500 250 0 PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� US Treasury Historical Yields - Since Nov 2015 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0 00 M • VW• • . �6 . I6 . I6 . _ �� . A� ' 1� K - Na . 1\16 . N$ . 10 . _ �9 . �°� _ ^9 . N9 Valley View Cons2 ulting, L.L.C. Investment Holdings June 30, 2020 Coupon/ Maturity Settlement Face Amount/ Book Market Market Life Description Ratings Discount Date Date Par Value Value Price Value (Day) Yield TexPool AAAm 0.22% 07/01/20 06/30/20 $ 7,942,833 $ 7,942,833 1.00 $ 7,942,833 1 0.22% TexSTAR AAAm 0.20% 07/01/20 06/30/20 13,332,342 13,332,342 1.00 13,332,342 1 0.20% Origin Bank MMA (3) 2.25% 07/01/20 06/30/20 2,040,058 2,040,058 1.00 2,040,058 1 2.25% Veritex Bank MMA 0.30% 07/01/20 06/30/20 2,684,822 2,684,822 1.00 2,684,822 1 0.30% East West Bank CD 1.72% 08/04/20 02/04/20 3,222,395 3,222,395 100.00 3,222,395 35 1.73% $ 29,222,450 $ 29,222,450 $ 29,222,450 5 0.52% (1) (2) (1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity. (2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds. (3) Origin Bank MMA - Interest rate fixed until August 2020. Valley View C89sulting, L.L.C. 3 GTEC PORTFOLIO COMPOSITION CDs/Securities 11%, 89% GTEC PORTFOLIO BALANCES $35,000,000 $30,000,000 $25,000,000 $20,000,000 ■ CD TexPool $15,000,000 TexSTAR $10,000,000 Money Market $5,000,000 $0 9/30/2019 12/31 /2019 3/31 /2020 6/30/2020 Valley View Consulting, L.L.C. 54 4 Book Value Comparison March 31, 2020 June 30, 2020 Coupon/ Maturity Face Amount/ Purchases/ Sales/Adjust/ Face Amount/ Description Discount Date Par Value Book Value Adjustments Call/Maturity Par Value Book Value TexPool 0.22% 07/01/20 $ 6,658,162 $ 6,658,162 $ 1,284,671 $ — $ 7,942,833 $ 7,942,833 TexSTAR 0.20% 07/01/20 8,625,460 8,625,460 4,706,882 13,332,342 13,332,342 Origin Bank MMA (3) 2.25% 07/01/20 2,028,657 2,028,657 11,401 2,040,058 2,040,058 Veritex Bank MMA 0.30% 07/01/20 2,681,814 2,681,814 3,008 2,684,822 2,684,822 East West Bank CD 1.72% 08/04/20 3,208,607 3,208,607 13,788 3,222,395 3,222,395 TOTAL Market Value Comparison $ 23,202,700 $ 23,202,700 $ 6,019,751 $ — $ 29,222,450 $ 29,222,450 March 31, 2020 June 30, 2020 Coupon/ Maturity Face Amount/ Qtr to Qtr Face Amount/ Description Discount Date Par Value Market Value Change Par Value Market Value TexPool 0.22% 07/01/20 $ 6,658,162 $ 6,658,162 $ 1,284,671 $ 7,942,833 $ 7,942,833 TexSTAR 0.20% 07/01/20 8,625,460 8,625,460 4,706,882 13,332,342 13,332,342 Origin Bank MMA (3) 2.25% 07/01/20 2,028,657 2,028,657 11,401 2,040,058 2,040,058 Veritex Bank MMA 0.30% 07/01/20 2,681,814 2,681,814 3,008 2,684,822 2,684,822 East West Bank CD 1.72% 08/04/20 3,208,607 3,208,607 13,788 3,222,395 3,222,395 TOTAL $ 23,202,700 $ 23,202,700 $ 6,019,751 $ 29,222,450 $ 29,222,450 55 5 Valley View Consulting, L.L.C. 48 )WN Georgetown Economic Development Corporation (GEDCO) QUARTERLY INVESTMENT REPORT For the Quarter Ended June 30, 2020 Prepared by Valley View Consulting, L.L.C. The investment portfolio of the Georgetown Economic Development Corporation (GEDCO) is in compliance with the Texas Public Funds Investment Act and the Investment Policy and Strategies. Elaine Wilson Controller Karrie Pursley Treasurer Leigh Wallace Finance Director Disclaimer: These reports were compiled using information provided by the City. No procedures were performed to test the accuracy or completeness of this information. The market values included in these reports were obtained by Valley View Consulting, L.L.C. from sources believed to be accurate and represent proprietary valuation. Due to market fluctuations these levels are not necessarily reflective of current liquidation values. Yield calculations are not determined using standard performance formulas, are not representative of total return yields and do not account for investment advisor fees. 56 Summary Quarter End Results by Investment Category: March 31, 2020 June 30, 2020 Asset Type Book Value Market Value Book Value Market Value Ave. Yield MMA $ 2,125,358 $ 2,125,358 $ 2,127,743 $ 2,127,743 0.30% Pools 4,886,433 4,886,433 5,210,899 5,210,899 0.21 % Certificates of Deposit 2,000,000 2,000,000 2,008,361 2,008,361 1.70% $ 9,011,792 $ 9,011,792 $ 9,347,002 $ 9,347,002 0.55% Quarter End Average Yield (1) Total Portfolio 0.55% Rolling Three Month Treasury 0.14% Rolling Six Month Treasury 0.67% TexPool 0.22% Interest income provided in separate report. Fiscal Year -to -Date Average Yield (2) Total Portfolio 1.15% Rolling Three Month Treasury 0.97% Rolling Six Month Treasury 1.28% TexPool 0.95% (1) Quarter End Average Yield - based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank, pool, and money market balances. (2) Fiscal Year -to -Date Average Yield - calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees. Valley View Consulting, L.L.C. 57 1 Economic Overview 6/30/2020 The Federal Open Market Committee (FOMC) maintained the Fed Funds target range at 0.00% to 0.25% (Effective Fed Funds are trading +/-0.08%). Worldwide and domestic economic activity popped -up as isolation protocols eased. However, continued positive COVID test growth may impact additional activity. The Yield Curve remains stabilized at current levels. The FOMC has signaled reduced rates for an extended period. Crude oil increased to $40+ per barrel. Unemployment claims continued to rise, but June Non Farm Payroll surged to 4.8 million. The Stock Market wobbled but stabilized. Full recovery timeline still very uncertain. 3.00 2.50 2.00 - 1.50 1.00 0.50 Treasury Yield Curves 0.00 IT 01 6�0��PQ June 30, 2019 March 31, 2020 June 30, 2020 US Treasury Historical Yields - Since 2006 6.00 5.50 5.00 4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0 00 ♦ • � 1 • 1 • • ^l\1l 10\^6 ^9�19 LO fan �v fan �v fan �J fan �J fan �v fan �V fan �v fan �J fan �J fan �J fan �v fan �J fan �J fan �J fan -Six Month T-Bill Two Year T-Note Ten Year T-Note S&P 500 3,750 3,500 3,250 3,000 2,750 2,500 2,250 2,000 1,750 1,500 1,250 1,000 750 500 250 0 PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� PJ� US Treasury Historical Yields - Since Nov 2015 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0 00 M • VW• • . �6 . I6 . I6 . _ �� . A� ' 1� K - Na . 1\16 . N$ . 10 . _ �9 . �°� _ ^9 . N9 Valley View Cons2 ulting, L.L.C. Investment Holdings June 30, 2020 Coupon/ Maturity Settlement Face Amount/ Book Market Market Life Description Ratings Discount Date Date Par Value Value Price Value (Day) Yield Veritex Bank MMA 0.30% 07/01/20 06/30/20 $ 2,127,743 $ 2,127,743 1.00 $ 2,127,743 1 0.30% TexasDAILY AAAm 0.24% 07/01/20 06/30/20 2,123,848 2,123,848 1.00 2,123,848 1 0.24% TexSTAR AAAm 0.20% 07/01/20 06/30/20 3,087,051 3,087,051 1.00 3,087,051 1 0.20% Independent Bank 1.70% 02/05/21 02/05/20 2,008,361 2,008,361 100.00 2,008,361 220 1.70% $ 9,347,002 $ 9,347,002 $ 9,347,002 48 0.55% (1) (2) (1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity. (2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds. Valley View C8@suiting, L.L.C. 3 GEDCO PORTFOLIO COMPOSITION Pools % MM/ 23% Deposit 21% GEDCO PORTFOLIO BALANCES $10,000,000 $9, 000,000 $8, 000,000 $7, 000,000 $6, 000,000 $5,000,000 $4, 000,000 $3,000,000 $2,000,000 $1, 000,000 son $o 09/30/19 12/31/19 03/31/20 06/30/20 CD TexasDAI LY TexSTAR ■ Money Market Valley View Consulting, L.L.C. 60 4 Book & Market Value Comparison March 31, 2020 Coupon/ Maturity Face Amount/ June 30, 2020 Purchases/ Sales/Adjust/ Face Amount/ Description Discount Date Par Value Book Value Adjustments Call/Maturity Par Value Book Value Veritex Bank MMA 0.30% 07/01/20 $ 2,125,358 $ 2,125,358 $ 2,385 $ — $ 2,127,743 $ 2,127,743 TexasDAILY 0.24% 07/01/20 2,121,273 2,121,273 2,574 2,123,848 2,123,848 TexSTAR 0.20% 07/01/20 2,765,160 2,765,160 321,891 3,087,051 3,087,051 Independent Bank 1.70% 02/05/21 2,000,000 2,000,000 8,361 2,008,361 2,008,361 TOTAL $ 9,011,792 $ 9,011,792 $ 335,211 $ — $ 9,347,002 $ 9,347,002 61 5 Valley View Consulting, L.L.C. CITY OF GEORGETOWN Grant/Federal Funding Report as of June 30, 2020 Active Federal Grantor Pass -Through A enc entifying Number COG Name/Purpos� YTD Expenditures YTD Revenue Recognized Airport N/A Texas Department of M 1914GEOR RAMP Grant - Routine Airport 35,941.50 - Transportation -Aviation Maintenance Program Airport Federal Aviation Texas Department of 1814GRGTN Runway 18/36 Rehabilitation- - - Administration Transportation -Aviation Engineering Airport Federal Aviation Texas Department of 1814GEORG Runway 18/36 Rehabilitation- - - Administration Transportation -Aviation Construction Airport Federal Aviation Texas Department of 1914GEORG Taxiway Lighting Project 799,733.00 719,759.70 Administration Transportation -Aviation Airport FEMA Texas Department of Airport CARES Funding - - Transportation - Aviation Emergency Management FEMA Williamson County WILCO Forward - CARES 108,000.64 43,212.50 Funding for COVID-19 Fire Department of Health & CMS (Centers for Medicare & EMS CARES Round I - 76,174.22 Human Services Medicaid Services) Fire US Department of Homeland Federal Emergency EMW-2017-FH-00496 SAFER 717,206.83 144,731.72 Security Management Agency Fire Federal Emergency Texas Department of Public TEEX Tracy Ryan Deployment - 12,207.45 Management Agency Safety - TDEM Urban Search and Rescue (US&R) Library Texas Commission on the Arts Arts Respond Project - 5,362.00 Grant/Supplemental CARES Funding Planning US Department of Housing & Williamson County B-17-UC-48-0502 CDBG Sidewalks and Ramps 123,650.75 123,650.75 Urban Development along 17th St Planning US Department of Housing & Williamson County CDBG Home Repair 28,325.23 28,325.23 Urban Development Police Bureau of Justice Assistance N/A KXPIIIA Bullet Proof Vests - Supply - - Police with new vests Police US. Department of Justice N/A TX2460200 Equitable Sharing Agreement 70,600.78 - Police US. Department of Treasury N/A TX2460200 Equitable Sharing Agreement - 12,339.76 Public Works Dept. of Transportation Texas Department of CSJ-0914-05-187 Highway Planning & 12,140.65 - /Federal Highway Transportation Construction (Austin Ave Administration Bridge) Public Works Dept. of Transportation Texas Department of CSJ-0914-05-200,201,202 Highway Planning & - - /Federal Highway Transportation Construction (Williams Dr Administration Corridor) Parks Texas Parks and Wildlife Federal Highway RT017010 Recreation San Gabriel Trails $ 461,345.71 200,000.00 Department (TPWD) Administration 62 Reviewed By: Elaine Wilson 63 CITY OF GEORGETOWN Long-term Commitments, Reservations, and Other Unfunded Liabilities 6/30/2020 Unfunded Liability & Financial Impact/Notes Status Updates - 3/31/20 Status Updates - 6/30/20 Commitments Currently cemetery operations are self -funded through plot sales of approximately $50K per year. The cemetery is Cemetery Special Revenue managed through Parks Administration. In 2015, Council Depending on the economic impacts of COVID, the General Fund Fund elected to reserve $75,000 annually for future costs No change may not make this transfer in FY2020. Additionally, the FY2021 associated with maintaining the property. The General budget has reduced this transfer. Fund has made this transfer in since FY 2016. Recognizes the outstanding liability for the City's employee retirement plan through TMRS. The City contributes As of 9/30/2019, the net pension liability is $28.8 million and is Unfunded Actuarial Accrued monthly to fund the UAAL, based on an annual percentage 81.41%funded. The 2020 total combined contribution rate is No change Liability (UAAL) of payroll. Actual % of payroll costs is recognized within 12.26%. This increase is due to a change in the discount rate. each fund. The UAAL is provided by TMRS and lags one year. While the City has no obligation to offer additional retiree benefits, retirees are eligible to participate in the City's Other Post Employee Benefits health insurance program. That ability represents a subsidy OPEB liability as of 9/30/2019 is $3.3 million. This is a combination (OPEB) that impacts health insurance costs to the City. Retirees pay of sudden death benefits as well as post -retirement healthcare. No change their monthly premiums to the self insurance fund, which then processes their health insurance claims. Future costs associated with benefits such as vacation, and sick leave for City employees. Compensated Absence is accrued annually to each proprietary fund type on a GAAP basis and accounted for on the balance sheet of each fund. Compensated absences as of 9/30/2019 are $7.5 million. This Compensated Absence For governmental funds (and for budgetary basis), the increase is due to more time being earned than used in FY19. In No change expense is recognized when due and payable. The City FY2020, the budgeted reserve was increased to $340,000. keeps a reserve in the General Fund to help offset large payouts for long-term employees. The reserve is used as needed, and annually replenished or increased based on known risk. Purchased Power expenses for the first, second and third quarter Staff are projecting to sell transformer assets to a third party by the Electric Fund Rate Stabilization Intended to mitigate potential rate impacts due to increased are on track for the FY2020 budget. Revenues were strong in the end of the fiscal year, as well as to make a second installment in the Reserve fuel costs or other external factors. The RSR is maintained first half of the year, but started to lag from the impact of closed sale of the fiber asset to the IT Fund. These one-time influxes of within the Electric Fund. businesses and schools with the pandemic. A hot summer is cash are helping to restore reserves to the fund. expected to help revenues meet budget. 64 Unfunded Liability & Financial Impact/Notes Status Updates - 3/31/20 Status Updates - 6/30/20 Commitments Fund on -going maintenance of the Airport grounds, runways and taxi ways. Terminal and Tower included in Airport Maintenance Facilities ISF. An Airport Master Plan was developed to No change No change address long term capital maintenance project prioritization. As facilities are built or repurposed, meeting ADA compliance will be included in Project Costs. Funding for program expansion will be needed (General Fund sources). Americans with Disabilities Act The City has an adopted policy, as required by Federal Law, (ADA) Compliance Needs that it will make reasonable accommodations and No change No change modifications to ensure that people with disabilities have an equal opportunity to enjoy its programs, services, and activities. The City does not maintain a reserve for these modifications. Currently, new sidewalks are built as development occurs. Repairs are funded as needed or if funding is available, Old Town NE Sidewalk - Contractor has completed 95% of the Sidewalk Maintenance & when major roads are repaired. Useful life of a sidewalk is project. All sidewalk and pedestrian ramps are in place. TDLR Old Town NE sidewalk is completed and all punch list items are Masterplan estimated at 40 to 50 years. The largest revenue source inspection and walk-through to be completed in Mid -May. done. Project will close out in July. comes from the City's General Fund, but there has been Contractor to address any punch list items. some debt funding as well. Over the past 5 years, funding for Park Maintenance and Park Equipment Maintenance Replacement has increased. $200K transfer from General Golden Bear Park development is underway and is expected to be & Replacement Fund included in FY2018 budget. Staff has listed all assets & No change complete in August. The development consists of age appropriate developed replacement schedule funded by the General play equipment, accessible sidewalks, pergola, and landscaping. g. Fund. Communication system consisting of 500 on -body and in - There will not be any new radios purchased in FY2020 budget vehicle radios for Police, Fire, parks and utilities. because they were taken out of the debt sale due market Radio Equipment Replacement Replacement radios are compatible with newer technology. No change uncertainty related to There will be debt issued in debt The replacement takes place over 5 years due to cost and is of the r FY2021 for the final year of the replacement project. year funded with certificate of obligation debt. 65 Unfunded Liability & Commitments Financial Impact/Notes Status Updates - 3/31/20 Status Updates - 6/30/20 The City funds street maintenance in the General Fund, supplemented by a 1/8th Street Sales Tax special revenue fund. In 2017 and 2018, the Council and GTAB reviewed various methods for enhanced street maintenance and Due to the COVID-19 pandemic, the Street Maintenance budget in Street Maintenance costs. Direction from Council is to use high performance No change the General Fund was reduced in FY2021. The Streets Special surface seals and pavement wearing courses and begin Revenue Fund will pick up some of the expenses, but not all. programmatically addressing the street network's deferred maintenance backlog, creating a need for approximately $2 million more per year for street maintenance. Network fiber infrastructure is installed across the City. Fiber staff will be moved into IT at beginning of FY 21. Also in FY Traditionally, the Electric Fund has installed and maintained 2021, Fiber costs will be allocated across departments according to Fiber Asset Allocation the network. In reviewing all costs for the Electric Fund, the No change the IT allocation process. The second installment to acquire the City has begun moving the fiber asset to the IT Fund. Staff asset will be paid in FY2020, and there is a plan to assume must develop a multi -year strategy to complete the asset additional installments over the next 4 years. The IT Fund will need transfer and allocate costs for maintenance. to increase cost recovery rates to complete the acquisition. 66