NEW ISSUE -- FULL BOOK-ENTRY Ratings: Moody's: "Aa3"; S&P: "AA-" (See "MISCELLANEOUS-Ratings" herein) In the opinion ofStradling Yocca Carlson & Rauth, a Professional Corporation, San Francisco, California ("Bond Counsel"), under existing statutes, regulations, rulings andjudicial decisions, and assuming the accuracy ofcertain representations and compliance with certain covenants and requirements described herein, interest (and original issue discount) on the Bonds is excluded from gross income for federal income tax purposes and is not an item oftax preference for purposes ofcalculating the federal alternative minimum tax imposed on individuals. In the further opinion ofBond Counsel, interest (and original issue discount) on the Bonds is exempt from State ofCalifornia personal income tax. (See "TAX MATTERS" herein with respect to tax consequences relating to the Bonds.)
$42,000,000 OCEAN VIEW SCHOOL DISTRICT (Orange County, California) Election of 2016 General Obligation Bonds, Series B
Dated: Date of Delivery Due: August 1, as shown on inside cover This cover page contains certain information for general reference only. It is not a summary of this issue. Investors must read the entire official statement to obtain information essential to the making of an informed investment decision. Capitalized terms used on this cover page and not otherwise defined shall have the meanings set forth herein.
The Ocean View School District (Orange County, California) Election of 2016 General Obligation Bonds, Series B (the "Bonds"), were authorized at an election of the registered voters of the Ocean View School District (the "District") held on November 8, 2016, at which election the requisite fifty-five percent of the persons voting on the proposition voted to authorize the issuance and sale of $169,000,000 aggregate principal amount of general obligation bonds of the District. The Bonds are being issued to (i) finance the repair, upgrading, acquisition, construction and equipping of District sites and facilities and (ii) to pay the costs of issuing the Bonds.
The Bonds are general obligations of the District payable solely from the proceeds of ad valorem property taxes. The Board of Supervisors of Orange County is empowered and obligated to annually levy such ad valorem property taxes upon all property subject to taxation by the District, without limitation of rate or amount (except as to certain personal property which is taxable at limited rates), for the payment of principal of and interest on the Bonds when due.
The Bonds will be issued in book-entry form only, and will be initially issued and registered in the name of Cede & Co. as nominee of The Depository Trust Company, New York, New York (collectively referred to herein as "DTC"). Purchasers of the Bonds (the "Beneficial Owners") will not receive physical certificates representing their interests in the Bonds, but will instead receive credit balances on the books of their respective nominees. See "APPENDIX D - Book-Entry Only System" attached hereto.
The Bonds will be issued as current interest bonds, such that interest thereon will accrue from the date of delivery and be payable semiannually on February 1 and August 1 of each year, commencing August 1, 2020. The Bonds are issuable as fully registered bonds in denominations of $5,000 principal amount or any integral multiple thereof.
Payments of principal of and interest on the Bonds will be made by The Bank of New York Mellon Trust Company, N.A., as the designated paying agent, bond registrar and transfer agent (the "Paying Agent"), to DTC for subsequent disbursement to DTC Participants (defined herein) who will remit such payments to the Beneficial Owners of the Bonds.
The Bonds are subject to optional and mandatory sinking fund redemption as further described herein.
Maturity Schedule (See inside front cover)
Pursuant to the terms of a public sale on January 30, 2020, the Bonds were awarded to the Underwriter, at a True-Interest Cost of 2. 440623%. The Bonds are being offered when, as and ifissued and received by the Underwriter, subject to the approval oflegality by Stradling Yocca Carlson & Rauth, a Professional Corporation, San Francisco, California, Bond Counsel. Certain matters will be passed on for the District by Stradling Yocca Carlson & Rauth, a Professional Corporation, as Disclosure Counsel. The Bonds, in book-entry form, will be available through the facilities ofThe Depository Trust Company in New York, New York, on or about February 13, 2020.
The date of this Official Statement is: January 30, 2020 MATURITY SCHEDULE
$42,000,000 OCEAN VIEW SCHOOL DISTRICT (Orange County, California) Election of 2016 General Obligation Bonds, Series B
1 Base CUSIP< ): 675158
$23,240,000 Serial Bonds Maturity Principal Interest CUSIP (AUg!!St 1} Amount Rate Yield Suffix(ll 2021 $1,750,000 6.000% 0.750% QK8 2022 1,400,000 6.000 0.750 QL6 2023 2,555,000 6.000 0.750 QM4 2024 455,000 6.000 0.750 QN2 2025 720,000 6.000 0.750 QP7 2026 830,000 6.000 0.800 QQ5 2027 330,000 6.000 0.850 QR3 2028 400,000 6.000 0.920 QSl 2029 475,000 5.000 1.000 QT9 2030 550,000 5.000 1.080 QU6 2031 635,000 5.000 1.140 QV4 2032 720,000 5.000 1.200 QW2 2033 815,000 4.000 1.320 QXO 2034 910,000 2.000 2.000 QY8 2035 995,000 2.000 2.100 QZ5 2036 1,080,000 2.125 2.200 RA9 2037 1,170,000 2.125 2.250 RB7 2038 1,270,000 2.250 2.300 RCS 2039 1,375,000 2.250 2.350 RD3 2040 1,485,000 2.250 2.400 REI 2041 1,600,000 2.375 2.440 RF8 2042 1,720,000 2.375 2.470 RG6
$8,235,000 - 2.375% Term Bonds due August 1, 2046 - Yield: 2.560%; CUSIP Suffix(ll: RL5
$10,525,000 - 2.500% Term Bonds due August 1, 2049 - Yield: 2.598%; CUSIP Suffix<1>: RP6
OJ CUSIP is a registered trademark of the American Bankers Association. CUSIP data herein is provided by CUSIP Global Services ("CGS"), managed by S&P Capital IQ on behalf of The American Bankers Association. These data are not intended to create a database and does not serve in any way as a substitute for the CGS database. None of the Underwriter, the Municipal Advisor or the District is responsible for the selection or correctness of the CUSIP numbers set forth herein. CUSIP numbers have been assigned by an independent company not affiliated with the District, the Municipal Advisor or the Underwriter and are included solely for the convenience of the registered owners of the applicable Bonds. The CUSIP number for a specific maturity is subject to being changed after the execution and delivery of the Bonds as a result of various subsequent actions including, but not limited to, a refunding in whole or in part or as a result of the procurement of secondary market portfolio insurance or other similar enhancement by investors that is applicable to all or a portion of certain maturities of the Bonds. This Official Statement does not constitute an offering of any security other than the original offering of the Bonds of the District. No dealer, broker, salesperson or other person has been authorized by the District to give any information or to make any representations other than as contained in this Official Statement, and if given or made, such other information or representation not so authorized should not be relied upon as having been given or authorized by the District.
The issuance and sale of the Bonds have not been registered under the Securities Act of 1933 or the Securities Exchange Act of 1934, both as amended, in reliance upon exemptions provided thereunder by Section 3(a)2 and 3(a)l2, respectively, for the issuance and sale of municipal securities. This Official Statement does not constitute an offer to sell or a solicitation of an offer to buy in any state in which such offer or solicitation is not authorized or in which the person making such offer or solicitation is not qualified to do so or to any person to whom it is unlawful to make such offer or solicitation.
Certain information set forth herein has been obtained from sources outside the District which are believed to be reliable, but such information is not guaranteed as to accuracy or completeness, and is not to be construed as a representation by the District. The information and expressions of opinions herein are subject to change without notice and neither delivery of this Official Statement nor any sale made hereunder shall, under any circumstances, create any implication that there has been no change in the affairs of the District since the date hereof. This Official Statement is submitted in connection with the sale of the Bonds referred to herein and may not be reproduced or used, in whole or in part, for any other purpose.
When used in this Official Statement and in any continuing disclosure by the District in any press release and in any oral statement made with the approval of an authorized officer of the District or any other entity described or referenced in this Official Statement, the words or phrases "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," "forecast," "expect," "intend" and similar expressions identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements. Any forecast is subject to such uncertamt1es. Inevitably, some assumptions used to develop the forecasts will not be realized and unanticipated events and circumstances may occur. Therefore, there are likely to be differences between forecasts and actual results, and those differences may be material.
IN CONNECTION WITH THIS OFFERING, THE PURCHASER MAY OVERALLOT OR EFFECT TRANSACTIONS WHICH STABILIZE OR MAINTAIN THE MARKET PRICES OF THE BONDS AT LEVELS ABOVE THAT WHICH MIGHT OTHERWISE PREVAIL IN THE OPEN MARKET. SUCH STABILIZING, IF COMMENCED, MAY BE DISCONTINUED AT ANY TIME. THE PURCHASER MAY OFFER AND SELL THE BONDS TO CERTAIN SECURITIES DEALERS AND DEALER BANKS AND BANKS ACTING AS AGENT AT PRICES LOWER THAN THE PUBLIC OFFERING PRICES STATED ON THE INSIDE COVER PAGE AND SAID PUBLIC OFFERING PRICES MAY BE CHANGED FROM TIME TO TIME BY THE PURCHASER.
The District maintains a website and certain social media accounts. However, the information presented there is not part of this Official Statement and should not be relied upon in making an investment decision with respect to the Bonds.
References to website addresses presented herein are for informational purposes only and may be in the form of a hyperlink solely for the reader's convenience. Unless specified otherwise, such websites and the information or links contained therein are not incorporated into, and are not part of, this Official Statement for purposes of, and as that term is defined in, the Rule (defined herein). OCEAN VIEW SCHOOL DISTRICT
Board of Trustees
Gina Clayton-Tarvin, President Patricia Singer, Vice President Jack C. Souders, Clerk John Briscoe, Member Norm Westwell, Member
District Administration
Carol Hansen, Ed.D., Superintendent Michael Conroy, Ed.D., Deputy Superintendent, Administrative Services
PROFESSIONAL SERVICES
Bond and Disclosure Counsel
Stradling Y occa Carlson & Rauth, a Professional Corporation San Francisco, California
Municipal Advisor Fieldman, Rolapp & Associates, Inc. Irvine, California
Paying Agent and Escrow Agent
The Bank of New York Mellon Trust Company, N.A. Dallas, Texas TABLE OF CONTENTS Page INTRODUCTION ...... 1
THE DISTRICT ...... 1 PURPOSE OF ISSUE ...... 1 AUTHORITY FOR ISSUANCE OF THE BONDS ...... 2 SECURITY AND SOURCES OF PAYMENT FOR THE BONDS ...... 2 DESCRIPTION OF THE BONDS ...... 2 TAX MATTERS ...... 3 OFFERING AND DELIVERY OF THE BONDS ...... 3 BoNDOWNER's RrsKs ...... 3 CONTINUING DISCLOSURE ...... 3 PROFESSIONALS INVOLVED IN THE 0FFERING ...... 3 FORWARD-LOOKING STATEMENTS ...... 4 OTHER INFORMATION ...... 4 THEBONDS ...... 5
AUTHORITY FOR ISSUANCE ...... 5 STATUTORYLIEN ...... 6 GENERAL PROVISIONS ...... 6 ANNUAL DEBT SERVICE ...... 7 REDEMPTION ...... 7 DISCONTINUATION OF BOOK-ENTRY ONLY SYSTEM; PAYMENT TO BENEFICIAL OWNERS ...... 10 DEFEASANCE ...... 11 APPLICATION AND INVESTMENT OF BOND PROCEEDS ...... 12 ESTIMATED SOURCES AND USES OF FUNDS ...... 13 TAX BASE FOR REPAYMENT OF BONDS ...... 13
AD VALOREMPROPERTY TAXATION ...... 13 ASSESSED VALUATIONS ...... 14 TAX LEVIES, COLLECTIONS AND DELINQUENCIES ...... 19 ALTERNATIVE METHOD OF TAX APPORTIONMENT- "TEETERPLAN" ...... 19 TAX RATES ...... 20 PRINCIPAL TAXPAYERS ...... 21 STATEMENT OF DIRECT AND OVERLAPPING DEBT ...... 21 CONSTITUTIONAL AND STATUTORY PROVISIONS AFFECTING DISTRICT REVENUES AND APPROPRIATIONS ...... 23
ARTICLE XIIIA OF THE CALIFORNIA CONSTITUTION ...... 23 LEGISLATION IMPLEMENTING ARTICLE XIIIA ...... 24 PROPOSITION 50 AND PROPOSITION 171 ...... 24 UNITARY PROPERTY ...... 25 ARTICLE XIIIB OF THE CALIFORNIA CONSTITUTION ...... 25 ARTICLE XIIIC AND ARTICLE XIIID OF THE CALIFORNIA CONSTITUTION ...... 26 PROPOSITION 26 ...... 27 PROPOSITIONS 98 AND 111 ...... 27 PROPOSITION 39 ...... 29 PROPOSITION lA AND PROPOSITION 22 ...... 29 JARVIS VS. CONNELL...... 30 PROPOSITIONS 30 AND 55 ...... 30 PROPOSITION 2 ...... 31 PROPOSITION 51 ...... 33 FUTURE INITIATIVES ...... 33 DISTRICT FINANCIAL INFORMATION ...... 34
STATE FUNDING OF EDUCATION ...... 34 TABLE OF CONTENTS (cont'd) Page OTHER REVENUE SOURCES ...... 37 STATE BUDGET MEASURES ...... 38 BUDGET PROCESS ...... 41 COMPARATIVE FINANCIAL STATEMENTS ...... 44 ACCOUNTING PRACTICES ...... 45 OCEAN VIEW SCHOOL DISTRICT ...... 45
INTRODUCTION ...... 45 ADMINISTRATION ...... 45 DISTRICT GROWTH ...... 46 CHARTER SCHOOL ...... 46 LABOR RELATIONS ...... 47 RETIREMENT PROGRAMS ...... 4 7 SUPPLEMENTAL EARLY RETIREMENT PLAN ...... 55 OTHER POST-EMPLOYMENT BENEFITS ...... 55 RISK MANAGEMENT ...... 56 DISTRICT DEBT STRUCTURE ...... 57 TAX MATTERS ...... 60 LIMITATION ON REMEDIES; BANKRUPTCY ...... 61
GENERAL ...... 61 STATUTORY LIEN ...... 62 SPECIAL REVENUES ...... 62 POSSESSION OF TAX REVENUES; REMEDIES ...... 62 OPINION OF BOND COUNSEL QUALIFIED BY REFERENCE TO BANKRUPTCY, INSOLVENCY AND OTHER LAWS RELATING TO OR AFFECTING CREDITOR'S RIGHTS ...... 63 LEGAL MATTERS ...... 63
LEGALITY FOR INVESTMENT IN CALIFORNIA ...... 63 CONTINUING DISCLOSURE ...... 63 ABSENCE OF MATERIAL LITIGATION ...... 63 INFORMATION REPORTING REQUIREMENTS ...... 63 LEGAL OPINION ...... 64 MISCELLANEOUS ...... 64
RATINGS ...... 64 FINANCIAL STATEMENTS ...... 64 UNDERWRITING ...... 64 ADDITIONAL INFORMATION ...... 65
APPENDIX A: FORM OF OPINION OF BOND COUNSEL FOR THE BONDS ...... A-1 APPENDIXB: 2018-19 AUDITED FINANCIAL STATEMENTS OF THE DISTRICT ...... B-1 APPENDIXC: FORM OF CONTINUING DISCLOSURE CERTIFICATE ...... C-1 APPENDIXD: BOOK-ENTRY ONLY SYSTEM ...... D-1 APPENDIXE: GENERAL ECONOMIC AND DEMOGRAPHIC DATA FOR ORANGE COUNTY AND THE CITIES OF FOUNTAIN VALLEY AND HUNTINGTON BEACH ...... E-1 APPENDIXF: ORANGE COUNTY EDUCATIONAL INVESTMENT POOL ...... F-1 APPENDIXG: ORANGE COUNTY INVESTMENT POOL ...... G-1
11 $42,000,000 OCEAN VIEW SCHOOL DISTRICT (Orange County, California) Election of 2016 General Obligation Bonds, Series B
INTRODUCTION
This Official Statement, which includes the cover page, inside cover page and appendices hereto, provides information in connection with the sale of the Ocean View School District (Orange County, California) Election of 2016 General Obligation Bonds, Series Bin the principal amount of $42,000,000 (the "Bonds").
This Introduction is not a summary of this Official Statement. It is only a brief description of and guide to, and is qualified by, more complete and detailed information contained in the entire Official Statement, including the cover page, inside cover page and appendices hereto, and the documents summarized or described herein. A full review should be made of the entire Official Statement. The offering of Bonds to potential investors is made only by means of the entire Official Statement.
The District
The Ocean View School District (the "District") was established in 1874 and encompasses 15 square miles in western Orange County (the "County") and serves portions of the northern half of Huntington Beach, as well as portions of Westminster, Fountain Valley and Midway City. The District operates 10 elementary schools, four middle schools and three pre-schools. For fiscal year 2019-20, the District has a budgeted average daily attendance ("ADA") of 7,488 students, and taxable property within the District has an assessed valuation of $17,169,568,648.
The District is governed by a five-member Board of Trustees (the "Board"), each member of which is elected to a four-year term. Elections for positions to the Board are held every two years, alternating between two and three available positions. The management and policies of the District are administered by a Superintendent appointed by the Board who is responsible for day-to-day District operations as well as the supervision of the District's other key personnel. Dr. Carol Hansen is the current Superintendent of the District.
See "TAX BASE FOR REPAYMENT OF BONDS" herein for information regarding the District's assessed valuation, and "DISTRICT FINANCIAL INFORMATION" and "OCEAN VIEW SCHOOL DISTRICT" herein for information regarding the District generally. The District's audited financial statements for the fiscal year ended June 30, 2019 are attached hereto as APPENDIX B and should be read in their entirety. The discussion of the District's financial history and the financial information contained herein does not purport to be complete or definitive.
Purpose of Issue
The Bonds are being issued to Ci) finance the repair, upgrading, acquisition, construction and equipping of District sites and facilities and (ii) pay the costs of issuing the Bonds.
1 Authority for Issuance of the Bonds
The Bonds are issued pursuant to certain prov1s1ons of the State of California (the "State") Government Code and other applicable law, and pursuant to a resolution adopted by the Board on January 21, 2020. See "THE BONDS -Authority for Issuance" herein.
Security and Sources of Payment for the Bonds
The Bonds are general obligations of the District, payable solely from the proceeds of ad valorem property taxes. The Board of Supervisors of the County (the "County Board") is empowered and obligated to annually levy such ad valorem property taxes for the payment of the principal of and interest on the Bonds upon all property within the District subject to taxation thereby, without limitation of rate or amount ( except as to certain personal property which is taxable at limited rates). See "THE BONDS - Security and Sources of Payment" herein.
Description of the Bonds
Form, Registration and Denomination. The Bonds will only be issued in fully registered book entry form (without coupons), initially registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York, New York ("DTC"), and will be available to actual purchasers of the Bonds (the "Beneficial Owners") in the denominations set forth on the inside cover page hereof, under the book-entry only system maintained by DTC, and only through brokers and dealers who are or act through DTC Participants as described herein. See "APPENDIX D - Book-Entry Only System" herein. Beneficial Owners will not receive physical certificates representing their interests in the Bonds, but will instead receive credit balances on the books of their respective Nominees ( defined herein). In event that the book-entry only system described herein is no longer used with respect to the Bonds, the Bonds will be registered in accordance with the Resolution described herein. See "THE BONDS - Discontinuation of Book-Entry Only System; Payment to Beneficial Owners" herein.
So long as Cede & Co. is the registered owner of the Bonds, as nominee of DTC, references herein to the "Owners," "Bond Owners" or "Holders" of the Bonds ( other than under the caption "TAX MATTERS" herein, as well as in APPENDIX A attached hereto) will mean Cede & Co. and will not mean the Beneficial Owners of the Bonds.
Denominations. Individual purchases of interests in the Bonds will be available to purchasers of the Bonds in the denominations of $5,000 principal amount or any integral multiple thereof.
Redemption. The Bonds are subject to redemption prior to their respective stated maturity dates, at the option of the District, as further described herein. Certain of the Bonds are further subject to mandatory sinking fund redemption as further described herein. See "THE BONDS - Redemption" herein.
Payments. The Bonds will be issued as current interest bonds, such that interest thereon will accrue from the initial date of delivery of the Bonds (the "Date of Delivery"), and be payable semiannually on each February 1 and August 1 (each a "Bond Payment Date"), commencing August 1, 2020. Principal on the Bonds is payable on August 1 in the amounts and years as set forth on the inside cover page hereof Payments of the principal of and interest on the Bonds will be made by The Bank of New York Mellon Trust Company, N.A., acting as the designated paying agent, bond registrar and transfer agent (the "Paying Agent"), to DTC for subsequent disbursement through DTC Participants (defined herein) to the Beneficial Owners of the Bonds. See "APPENDIX D - BOOK-ENTRY ONLY SYSTEM' herein.
2 Tax Matters
In the opinion of Stradling Y occa Carlson & Rauth, a Professional Corporation, San Francisco, California, Bond Counsel, based on existing statutes, regulations, rulings and judicial decisions and assuming the accuracy of certain representations and compliance with certain covenants and requirements described herein, interest on the Bonds is excluded from gross income for federal income tax purposes and is not an item of tax preference for purposes of calculating the federal alternative minimum tax imposed on individuals. In the further opinion of Bond Counsel, interest on the Bonds is exempt from State of California (the "State") personal income tax. In addition, the difference between the issue price of a Bond (the first price at which a substantial amount of the Bonds of a maturity is to be sold to the public) and the stated redemption price at maturity with respect to the Bond constitutes original issue discount, and the amount of original issue discount that accrues to the owner of the Bond is excluded from gross income of such owner for federal income tax purposes, is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals, and is exempt from State of California personal income tax. See "TAX MATTERS" herein.
Offering and Delivery of the Bonds
The Bonds are offered when, as and if issued, subject to approval as to the validity by Bond Counsel. It is anticipated that the Bonds will be available for delivery through the facilities of DTC in New York, New York on or about February 13, 2020.
Bondowner's Risks
The Bonds are general obligations of the District payable solely from the proceeds of ad valorem property taxes which may be levied without limitation as to rate or amount ( except with respect to certain personal property which is taxable at limited rates) on all taxable property in the District. For more complete information regarding the taxation of property within the District, and certain other considerations, see "TAX BASE FOR REPAYMENT OF BONDS" and "LIMITATION ON REMEDIES; BANKRUPTCY" herein.
Continuing Disclosure
The District has covenanted that it will comply with and carry out the provisions of that certain Continuing Disclosure Certificate relating to the Bonds. Pursuant thereto, the District will covenant for the benefit of the Owners and Beneficial Owners of the Bonds to make available certain financial information and operating data relating to the District and to provide notices of the occurrence of certain listed events, in compliance with Securities and Exchange Commission Rule 15c2-12(b)(5) (the "Rule"). These covenants have been made in order to assist the Underwriter ( defined herein) in complying with the Rule. The specific nature of the information to be made available and of the notices of listed events is summarized under "LEGAL MATTERS - Continuing Disclosure" herein and in "APPENDIX C - FORM OF CONTINUING DISCLOSURE CERTIFICATE" attached hereto.
Professionals Involved in the Offering
Stradling Y occa Carlson & Rauth, a Professional Corporation, San Francisco, California is acting as Bond Counsel and Disclosure Counsel to the District with respect to the Bonds. Fieldman, Rolapp & Associates, Inc. is the municipal advisor for the District (the "Muncipal Advisor"). Stradling Yocca Carlson & Rauth, a Professional Corporation and Fieldman, Rolapp & Associates, Inc. will receive compensation from the District contingent upon the sale and delivery of the Bonds. The Bank of New York Mellon Trust Company, N.A., Dallas, Texas is acting as Paying Agent for the Bonds.
3 Forward-Looking Statements
Certain statements included or incorporated by reference in this Official Statement constitute "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995, Section 21E of the United States Securities Exchange Act of 1934, as amended, and Section 27 A of the United States Securities Act of 1933, as amended. Such statements are generally identifiable by the terminology used such as "plan," "expect," "estimate," "project," "budget," "intend," or other similar words. Such forward-looking statements include, but are not limited to, certain statements contained in the information regarding the District herein.
THE ACHIEVEMENT OF CERTAIN RESULTS OR OTHER EXPECTATIONS CONTAINED IN SUCH FORWARD-LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS WHICH MAY CAUSE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS DESCRIBED TO BE MATERIALLY DIFFERENT FROM ANY FUTURE RESULTS, PERFORMANCE OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. THE DISTRICT DOES NOT PLAN TO ISSUE ANY UPDATES OR REVISIONS TO THE FORWARD-LOOKING STATEMENTS SET FORTH IN THIS OFFICIAL STATEMENT.
Other Information
This Official Statement speaks only as of its date, and the information contained herein is subject to change. Copies of documents referred to herein and information concerning the Bonds are available from the Ocean View School District, 17200 Pinehurst Lane, Huntington Beach, California 92647 Telephone: (714) 228-3100. The District may impose a charge for copying, mailing and handling.
No dealer, broker, salesperson or other person has been authorized by the District to give any information or to make any representations other than as contained herein and, if given or made, such other information or representations must not be relied upon as having been authorized by the District. This Official Statement does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the Bonds by a person in any jurisdiction in which it is unlawful for such person to make such an offer, solicitation or sale.
This Official Statement is not to be construed as a contract with the purchasers of the Bonds. Statements contained in this Official Statement which involve estimates, forecasts or matters of opinion, whether or not expressly so described herein, are intended solely as such and are not to be construed as representations of fact. The summaries and references to documents, statutes and constitutional provisions referred to herein do not purport to be comprehensive or definitive, and are qualified in their entireties by reference to each of such documents, statutes and constitutional provisions.
Certain information set forth herein, other than that provided by the District, has been obtained from official sources which are believed to be reliable but it is not guaranteed as to accuracy or completeness, and is not to be construed as a representation by the District. The information and expressions of opinions herein are subject to change without notice and neither delivery of this Official Statement nor any sale made hereunder shall, under any circumstances, create any implication that there has been no change in the affairs of the District since the date hereof This Official Statement is submitted in connection with the sale of the Bonds referred to herein and may not be reproduced or used, in whole or in part, for any other purpose.
Capitalized terms used but not otherwise defined herein shall have the meanings assigned to such terms in the Resolution.
4 THE BONDS
Authority for Issuance
The Bonds are issued pursuant to the provisions of Government Code Article 4.5 of Chapter 3 of Part 1 of Division 2 of Title 5, commencing with Section 53506 et seq., as amended, Article XIIIA of the California Constitution and pursuant to a resolution adopted by the District Board on January 21, 2020 (the "Resolution"). The District received authorization at an election held on November 8, 2016 by the requisite fifty-five percent of the votes cast by eligible voters within the District to issue $169,000,000 aggregate principal amount of general obligation bonds (the "2016 Authorization"). The Bonds represent the second issuance of general obligation bonds under the 2016 Authorization. Following the issuance of the Bonds, $82,000,000 of the 2016 Authorization will remain unissued.
The Bonds are general obligations of the District payable solely from ad valorem property taxes. The County Board is empowered and obligated to annually levy ad valorem property taxes upon all property subject to taxation by the District, without limitation as to rate or amount ( except certain personal property which is taxable at limited rates), for the payment of principal of and interest on the Bonds when due. The levy may include allowance for an annual reserve, established for the purpose of avoiding fluctuating tax levies. The County, however, is not obligated to establish such a reserve, and the District can make no representation that such reserve will be established by the County or that such a reserve, if previously established by the County, will be maintained in the future.
Such taxes will be levied annually in addition to all other taxes during the period that the Bonds are outstanding in an amount sufficient to pay the principal of and interest on the Bonds when due. Such taxes, when collected, will be placed by the County in the Debt Service Fund (as defined herein), which is required to be segregated and maintained by the County and which is designated for the payment of the Bonds, and interest thereon when due, and for no other purpose. Pursuant to the Resolution, the District has pledged funds on deposit in the Debt Service Fund to the payment of the Bonds. Although the County Board is obligated to levy ad valorem property taxes for the payment of the Bonds as described above, and the County will maintain the Debt Service Fund, the Bonds are a debt of the County.
The moneys in the Debt Service Fund, to the extent necessary to pay the principal of and interest on the Bonds as the same become due and payable, will be transferred to the Paying Agent. The Paying Agent will in turn remit the funds to DTC for remittance of such principal and interest to its Participants for subsequent disbursement to the Beneficial Owners of the Bonds.
The amount of the annual ad valorem property taxes levied to repay the Bonds will be determined by the relationship between the assessed valuation of taxable property in the District and the amount of debt service due on the Bonds in any year. Fluctuations in the annual debt service on the Bonds and the assessed value of taxable property in the District may cause the annual tax rate to fluctuate. Economic and other factors beyond the District's control, such as general market decline in real property values, disruption in financial markets that may reduce the availability of financing for purchasers of property, reclassification of property to a class exempt from taxation, whether by ownership or use (such as exemptions for property owned by the State and local agencies and property used for qualified education, hospital, charitable or religious purposes), or the complete or partial destruction of the taxable property caused by a natural or manmade disaster, such as earthquake, wildfire, flood, fire, drought or toxic contamination, could cause a reduction in the assessed value of taxable property within the District and necessitate a corresponding increase in the annual tax rate. For further information regarding the District's assessed valuation, tax rates, overlapping debt, and other matters concerning taxation, see "CONSTITUTIONAL AND STATUTORY PROVISIONS AFFECTING DISTRICT REVENUES AND
5 APPROPRIATIONS - Article XIIIA of the California Constitution" and "TAX BASE FOR REPAYMENT OF BONDS -Assessed Valuations" herein.
Statutory Lien
Pursuant to Government Code Section 53515, the Bonds will be secured by a statutory lien on all revenues received pursuant to the levy and collection of ad valorem property taxes for the payment thereof. The lien automatically attaches, without further action or authorization by the Board, and is valid and binding from the time the Bonds are executed and delivered. The revenues received pursuant to the levy and collection of the ad valorem property tax will be immediately subject to the lien, and such lien will be enforceable against the District, its successor, transferees and creditors, and all other parties asserting rights therein, irrespective of whether such parties have notice of the lien and without the need for physical delivery, recordation, filing or further act.
This statutory lien, by its terms, secures not only the Bonds, but also any other bonds of the District issued after January 1, 2016 and payable, both as to principal and interest, from the proceeds of ad valorem property taxes that may be levied pursuant to paragraphs (2) and (3) of subdivision (b) of Section I of Article XIII A of the State Constitution. The statutory lien provision does not specify the relative priority of obligations so secured or a method of allocation in the event that the revenues received pursuant to the levy and collection of such ad valorem property taxes are insufficient to pay all amounts then due and owing that are secured by the statutory lien.
General Provisions
The Bonds will be issued in book-entry form only and will be initially issued and registered in the name of Cede & Co., as nominee for DTC. Beneficial Owners will not receive certificates representing their interests in the Bonds.
Interest on the Bonds accrues from the Date of Delivery, and is payable semiannually on each Bond Payment Date, commencing August 1, 2020. Interest on the Bonds will be computed on the basis of a 360-day year of twelve 30-day months. Each Bond shall bear interest from the Bond Payment Date next preceding the date of authentication thereof unless it is authenticated as of a day during the period from the 16th day of the month immediately preceding any Bond Payment Date to and including such Bond Payment Date, in which event it shall bear interest from such Bond Payment Date, or unless it is authenticated on or before July 15, 2020, in which event it shall bear interest from its dated date. The Bonds are issuable in denominations of $5,000 principal amount or any integral multiple thereof and mature on August I in the years and amounts set forth on the inside cover page hereof
Payment of interest on any Bond will be made on any Bond Payment Date to the person appearing on the bond registration books of the Paying Agent (the "Bond Register") of the Paying Agent as the Owner thereof as of the close of business on the 15th day of the month next preceding any Bond Payment Date ( a "Record Date"), such interest to be paid by wire transfer to such Owner on the Bond Payment Date at his or her bank and account number as it appears on such Bond Register or at such other address as he or she may have filed with the Paying Agent for that purpose on or before the Record Date. The principal, and redemption premiums, if any, payable on the Bonds will be payable upon maturity or redemption upon surrender at the principal office of the Paying Agent. The principal of, redemption premiums, if any, and interest on, the Bonds will be payable in lawful money of the United States of America. The Paying Agent is hereby authorized to pay the Bonds when duly presented for payment at maturity, and to cancel all Bonds upon payment thereof.
6 Annual Debt Service
The following table summarizes the debt service requirements of the District for the Bonds (assuming no optional redemptions):
Year Annual Annual Ending Principal Interest Total Annual (August 1) Payment Payment(ll Debt Service 2020 $641,383.75 $641,383.75 2021 $1,750,000.00 1,374,393.76 3,124,393.76 2022 1,400,000.00 1,269,393.76 2,669,393.76 2023 2,555,000.00 1,185,393.76 3,740,393.76 2024 455,000.00 1,032,093.76 1,487,093.76 2025 720,000.00 1,004,793. 76 1,724,793.76 2026 830,000.00 961,593.76 1,791,593.76 2027 330,000.00 911,793.76 1,241,793.76 2028 400,000.00 891,993.76 1,291,993.76 2029 475,000.00 867,993.76 1,342,993. 76 2030 550,000.00 844,243.76 1,394,243.76 2031 635,000.00 816,743.76 1,451,743.76 2032 720,000.00 784,993.76 1,504,993.76 2033 815,000.00 748,993.76 1,563,993.76 2034 910,000.00 716,393.76 1,626,393.76 2035 995,000.00 698,193.76 1,693,193.76 2036 1,080,000.00 678,293.76 1,758,293.76 2037 1,170,000.00 655,343.76 1,825,343.76 2038 1,270,000.00 630,481.26 1,900,481.26 2039 1,375,000.00 601,906.26 1,976,906.26 2040 1,485,000.00 570,968.76 2,055,968.76 2041 1,600,000.00 537,556.26 2,137,556.26 2042 1,720,000.00 499,556.26 2,219,556.26 2043 1,850,000.00 458,706.26 2,308,706.26 2044 1,985,000.00 414,768.76 2,399,768.76 2045 2, 125,000.00 367,625.00 2,492,625.00 2046 2,275,000.00 317,156.26 2,592, 156.26 2047 3,280,000.00 263,125.00 3,543, 125.00 2048 3,505,000.00 181,125.00 3,686, 125.00 2049 3 740 000.00 93 500.00 3 833 500.00 TOTAL $42 000 000.00 $21 020 502.75 $63 020 502.75
(JJ Interest payments on the Bonds will be made semiannually on February 1 and August 1 of each year, commencing August 1, 2020.
See also "OCEAN VIEW SCHOOL DISTRICT - District Debt Structure - General Obligation Bonds" herein for a schedule of the combined debt service requirements for all of the District's outstanding general obligation bonds.
Redemption
Optional Redemption. The Bonds maturing on or before August 1, 2028 are not subject to redemption prior to their fixed maturity dates. The Bonds maturing on or after August 1, 2029 may be redeemed prior to their respective stated maturity dates at the option of the District, from any source of funds, in whole or in part, on August 1, 2028 or on any date thereafter, at a redemption price equal to the principal amount of the Bonds called for redemption, together with interest accrued thereon to the date fixed for redemption, without premium.
7 Mandatory Redemption. The Term Bonds maturing on August 1, 2046 (the "2046 Term Bonds"), are subject to redemption prior to maturity from mandatory sinking fund payments on August 1 of each year, on and after August 1, 2043, at a redemption price equal to the principal amount thereof, plus accrued interest to the date fixed for redemption, without premium. The principal amount represented by such Term Bonds to be so redeemed and the dates therefor and the final principal payment date is as indicated in the following table:
Redemption Date (August 1) Principal Amount 2043 $1,850,000 2044 1,985,000 2045 2,125,000 2046(1) 2,275,000
(IJ Maturity. In the event that a portion of the 2046 Term Bonds is optionally redeemed prior to maturity, the remaining mandatory sinking fund payments shown above shall be reduced proportionately, or as otherwise directed by the District, in integral multiples of $5,000 of principal amount, in respect of the portion of such 2046 Term Bonds optionally redeemed.
The Term Bonds maturing on August 1, 2049 (the "2049 Term Bonds"), are subject to redemption prior to maturity from mandatory sinking fund payments on August 1 of each year, on and after August 1, 2047, at a redemption price equal to the principal amount thereof, plus accrued interest to the date fixed for redemption, without premium. The principal amount represented by such Term Bonds to be so redeemed and the dates therefor and the final principal payment date is as indicated in the following table:
Redemption Date (August 1) Principal Amount 2047 $3,280,000 2048 3,505,000 2049(1) 3,740,000
(IJ Maturity. In the event that a portion of the 2049 Term Bonds is optionally redeemed prior to maturity, the remaining mandatory sinking fund payments shown above shall be reduced proportionately, or as otherwise directed by the District, in integral multiples of $5,000 of principal amount, in respect of the portion of such 2049 Term Bonds optionally redeemed.
Selection of Bonds for Redemption. Whenever provision is made for the optional redemption of Bonds and less than all outstanding Bonds are to be redeemed, the Paying Agent, upon written instruction from the District, shall select Bonds for redemption as so directed and if not directed, in inverse order of maturity. Within a maturity, the Paying Agent shall select Bonds for redemption as directed by the District, and if not so directed, by lot. Redemption by lot shall be in such manner as the Paying Agent shall determine; provided, however, that with respect to redemption by lot, the portion of any Bond to be redeemed in part shall be in a principal amount of $5,000, or any integral multiple thereof.
Notice of Redemption. When redemption is authorized or required pursuant to the Resolution, upon written instruction from the District, the Paying Agent will give notice (a "Redemption Notice") of the redemption of the Bonds (or portions thereof). Each Redemption Notice will specify (a) the Bonds or designated portions thereof (in the case of redemption of the Bonds in part but not in whole) which are to be redeemed, (b) the date of redemption, ( c) the place or places where the redemption will be made,
8 including the name and address of the Paying Agent, ( d) the redemption price, ( e) the CUSIP numbers (if any) assigned to the Bonds to be redeemed, (f) the Bond numbers of the Bonds to be redeemed in whole or in part and, in the case of any Bond to be redeemed in part only, the portion of the principal amount of such Bond to be redeemed, and (g) the original issue date, interest rate and stated maturity date of each Bond to be redeemed in whole or in part.
The Paying Agent will take the following actions with respect to each such Redemption Notice: (a) at least 20 but not more than 45 days prior to the redemption date, such Redemption Notice will be given to the respective Owners of Bonds designated for redemption by registered or certified mail, postage prepaid, at their addresses appearing on the bond register; (b) at least 20 but not more than 45 days prior to the redemption date, such Redemption Notice will be given by (i) registered or certified mail, postage prepaid, (ii) telephonically confirmed facsimile transmission, or (iii) overnight delivery service, to the Securities Depository; and (c) at least 20 but not more than 45 days prior to the redemption date, such Redemption Notice will be given by (i) registered or certified mail, postage prepaid, or (ii) overnight delivery service, to one of the Information Services. Such Redemption Notice shall be given to such other persons as may be required pursuant to the Continuing Disclosure Certificate.
"Information Services" means the Municipal Securities Rulemaking Board's Electronic Municipal Market Access System ("EMMA"); or, such other services providing information with respect to called municipal obligations as the District may specify in writing to the Paying Agent or as the Paying Agent may select.
"Securities Depository" shall mean The Depository Trust Company, 55 Water Street, New York, New York 10041.
A certificate of the Paying Agent or the District that a Redemption Notice has been given as provided herein will be conclusive as against all parties. Neither failure to receive any Redemption Notice nor any defect in any such Redemption Notice so given will affect the sufficiency of the proceedings for the redemption of the affected Bonds.
Conditional Notice of Redemption. With respect to any notice of optional redemption of Bonds ( or portions thereof) as described above, unless upon the giving of such notice such Bonds ( or portions thereof) shall be deemed to have been defeased as described in "-Defeasance" herein, such notice will state that such redemption will be conditional upon the receipt by an independent escrow agent selected by the District on or prior to the date fixed for such redemption of the moneys necessary and sufficient to pay the principal of, and premium, if any, and interest on, such Bonds (or portions thereof) to be redeemed, and that, if such moneys shall not have been so received, said notice shall be of no force and effect, no portion of the Bonds will be subject to redemption on such date and such Bonds shall not be required to be redeemed on such date. In the event that such Redemption Notice contains such a condition and such moneys are not so received, the redemption will not be made and the Paying Agent will within a reasonable time thereafter (but in no event later than the date originally set for redemption) give notice, to the persons to whom and in the manner in which the Redemption Notice was given, that such moneys were not so received. In addition, the District has the right to rescind any Redemption Notice, by written notice to the Paying Agent, on or prior to the date fixed for such redemption. The Paying Agent will distribute a notice of the rescission of such Redemption Notice in the same manner as such notice was originally provided.
Partial Redemption of Bonds. Upon the surrender of any Bond redeemed in part only, the Paying Agent will execute and deliver to the Owner thereof a new Bond or Bonds of like tenor and maturity and of authorized denominations equal in principal amount to the unredeemed portion of the Bond surrendered. Such partial redemption is valid upon payment of the amount required to be paid to
9 such Owner, and the District will be released and discharged thereupon from all liability to the extent of such payment.
Effect of Notice of Redemption. If notice of redemption is given as described above, and the moneys for the redemption (including the interest accrued to the applicable date of redemption) having been set aside as described in "-Defeasance" herein, the Bonds to be redeemed will become due and payable on such date of redemption.
If on such redemption date, moneys for the redemption of all the Bonds to be redeemed, together with interest accrued to such redemption date, shall be held in trust so as to be available therefor on such redemption date, and if Redemption Notice thereof shall have been given as described above, then from and after such redemption date, interest on the Bonds to be redeemed will cease to accrue and become payable. All money held for the redemption of Bonds will be held in trust for the account of the Owners of the Bonds so to be redeemed.
Bonds No Longer Outstanding. When any Bonds ( or portions thereof), which have been duly called for redemption prior to maturity, or with respect to which irrevocable instructions to call for redemption prior to maturity at the earliest redemption date have been given to the Paying Agent, in form satisfactory to it, and sufficient moneys shall be held irrevocably in trust for the payment of the redemption price of such Bonds or portions thereof, and, accrued interest with respect thereto to the date fixed for redemption, then such Bonds will no longer be deemed outstanding and will be surrendered to the Paying Agent for cancellation.
Discontinuation of Book-Entry Only System; Payment to Beneficial Owners
So long as any of the Bonds remain outstanding, the District will cause the Paying Agent to maintain at its designated office all books and records necessary for the registration, exchange and transfer of such Bonds, which will at all times be open to inspection by the District, and, upon presentation for such purpose, the Paying Agent shall, under such reasonable regulations as it may prescribe, register, exchange or transfer or cause to be registered, exchanged or transferred, on said books, Bonds as provided in the Resolution.
In the event that the book-entry only system as described herein is no longer used with respect to the Bonds, the following provisions will govern the payment, registration, transfer, and exchange of the Bonds.
Payment of interest on any Bond will be made to the person appearing on the registration books of the Paying Agent as the Owner thereof as of the Record Date immediately preceding such Bond Payment Date, such interest to be paid by wire transfer to the bank and account number on file with the Paying Agent as of the Record Date. The principal, and redemption premiums, if any, payable on the Bonds, will be payable upon maturity or redemption upon surrender at the designated corporate trust office of the Paying Agent. The principal of, premiums, if any, and interest on, the Bonds will be payable in lawful money of the United States of America.
Any Bond may be exchanged for Bonds of like tenor, maturity and Transfer Amount ( which with respect to any outstanding Bonds means the principal amount thereof) upon presentation and surrender at the designated corporate trust office of the Paying Agent, together with a request for exchange signed by the registered Owner or by a person legally empowered to do so in a form satisfactory to the Paying Agent. A Bond may be transferred on the Bond Register only upon presentation and surrender of the Bond at the designated corporate trust office of the Paying Agent together with an assignment executed by the Owner or by a person legally empowered to do so in a form satisfactory to the Paying Agent.
10 Upon exchange or transfer, the Paying Agent shall complete, authenticate and deliver a new Bond or Bonds of like tenor and of any authorized denomination or denominations requested by the Owner equal to the Transfer Amount of the Bond surrendered and bearing interest at the same rate and maturing on the same date.
Neither the District nor the Paying Agent will be required (a) to issue or transfer any Bonds during a period beginning with the opening of business on the 16th day next preceding either any Bond Payment Date or any date of selection of Bonds to be redeemed and ending with the close of business on the Bond Payment Date or any day on which the applicable notice of redemption is given or (b) to transfer any Bonds which have been selected or called for redemption in whole or in part.
Defeasance
All or any portion of the outstanding maturities of the Bonds may be defeased prior to maturity in the following ways:
(a) Cash: by irrevocably depositing with an independent escrow agent selected by the District an amount of cash which together with amounts transferred from the respective Debt Service Fund, if any, is sufficient to pay all such Bonds outstanding and designated for defeasance (including all principal thereof, interest thereon and redemption premium, if any) at or before their maturity date; or
(b) Government Obligations: by irrevocably depositing with an independent escrow agent selected by the District noncallable Government Obligations together with amounts transferred from the respective Debt Service Fund, if any, and any other cash, if required, in such amount as will, together with interest to accrue thereon, in the opinion of an independent certified public accountant, be fully sufficient to pay and discharge all Bonds outstanding and designated for defeasance (including all principal thereof, interest thereon and redemption premium, if any) at or before their maturity date; then, notwithstanding that any of such Bonds shall not have been surrendered for payment, all obligations of the District with respect to all such designated outstanding Bonds shall cease and terminate, except only the obligation of the independent escrow agent selected by the District to pay or cause to be paid from funds deposited pursuant to paragraphs (a) or (b) above, to the Owners of the Bonds not so surrendered and paid all sums due with respect thereto.
"Government Obligations" means direct and general obligations of the United States of America, or obligations that are unconditionally guaranteed as to principal and interest by the United States of America ( which may consist of obligations of the Resolution Funding Corporation that constitute interest strips), and obligations secured or otherwise guaranteed, directly or indirectly, as to principal and interest by a pledge of the full faith and credit of the United States of America. In the case of direct and general obligations of the United States of America, Government Obligations shall include evidences of direct ownership of proportionate interests in future interest or principal payments of such obligations. Investments in such proportionate interests must be limited to circumstances where (a) a bank or trust company acts as custodian and holds the underlying United States obligations; (b) the owner of the investment is the real party in interest and has the right to proceed directly and individually against the obligor of the underlying United States obligations; and ( c) the underlying United States obligations are held in a special account, segregated from the custodian's general assets, and are not available to satisfy any claim of the custodian, any person claiming through the custodian, or any person to whom the custodian may be obligated; provided that such obligations are rated or assessed at least as high as direct
11 and general obligations of the United States of America by either S&P Global Ratings, a business unit of Standard & Poor's Financial Services LLC ("S&P") or by Moody's Investors Service ("Moody's").
Application and Investment of Bond Proceeds
The proceeds of the Bonds will be used to (i) finance the repair, upgrading, acqms1t1on, construction and equipping of certain District sites and facilities and (ii) pay the costs of issuing the Bonds.
The net proceeds from the sale of the Bonds will be paid to the County to the credit of a building fund (the "Building Fund") created by the Resolution and held by the County, and will be applied solely for the purposes for which the Bonds are being issued. Interest earnings in the Building Fund will be retained therein. Any excess proceeds of the Bonds not needed for the authorized purposes for which the Bonds are being issued, upon written notice from the District, will be transferred from the Building Fund to the Debt Service Fund and applied to the payment of the principal of and interest on the Bonds.
Any premium received by the District from the sale of the Bonds, as well as ad valorem property taxes levied for the payment of the Bonds, when collected, shall be kept separate and apart in a debt service fund created by the Resolution and held by the County (the "Debt Service Fund") and used only for payment of principal of and interest on the Bonds. Any interest earnings on moneys held in the Debt Service Fund will be retained therein. If, after all of the Bonds have been redeemed or paid and otherwise cancelled, there are moneys remaining in the Debt Service Fund, said moneys will be transferred to the general fund of the District as provided and permitted by law.
All funds held by the County Treasurer (the "Treasurer") in the Building Fund and the Debt Service Fund are expected to be invested at the sole discretion of the Treasurer, on behalf of the District, in investment pools of the County into which the District may lawfully invest its funds, in any investments authorized pursuant to the Government Code Section 53601, all in accordance with the investment policy of the County, as such statutes and investment policy may be amended or supplemented from time to time. Amounts in the Building Fund will be invested in the Orange County Educational Investment Pool. Amounts in the Debt Service Fund will be invested in the County's Commingled Investment Pool. See "APPENDIX F - ORANGE COUNTY EDUCATIONAL INVESTMENT POOL" and "APPENDIX G - ORANGE COUNTY INVESTMENT POOL" attached hereto.
12 ESTIMATED SOURCES AND USES OF FUNDS
The estimated sources and uses of funds with respect to the Bonds are as follows:
Sources of Funds Principal Amount $42,000,000.00 Net Original Issue Premium 1,896,889.15 Total Sources $43,869,889.15
Uses of Funds Building Fund $41,770,000.00 Debt Service Fund 1,471,753.60 Underwriter's Discount 425,135.55 1 Costs of Issuance< l 230,000.00 Total Uses $43,869,889.15
(IJ Includes all costs of issuance to be paid from the proceeds of the Bonds, including but not limited to the legal fees, Municipal Advisory fees, printing costs, rating agencies fees, and the costs and fees of the Paying Agent.
TAX BASE FOR REPAYMENT OF BONDS
The information in this section describes ad valorem property taxation, assessed valuation, and other measures of the tax base of the District. The Bonds are payable solely from ad valorem property taxes levied and collected by the County on taxable property in the District. The District's general fund is not a source for the repayment of the Bonds.
Ad Valorem Property Taxation
District property taxes are assessed and collected by the County at the same time and on the same rolls as County, city and special district property taxes. Assessed valuations are the same for both the District and the County's taxing purposes.
Taxes are levied for each fiscal year on taxable real and personal property which is located in the District as of the preceding January 1. For assessment and collection purposes, property is classified either as "secured" or "unsecured" and is listed accordingly on separate parts of the assessment roll. The "secured roll" is that part of the assessment roll containing State assessed public utilities property and real property having a tax lien which is sufficient, in the opinion of the assessor, to secure payment of the taxes. Unsecured property is assessed on the "unsecured roll." Unsecured property comprises all property not attached to land, such as personal property or business property. Boats and airplanes are examples of unsecured property. A supplemental roll is developed when property changes hands or new construction is completed. The County levies and collects all property taxes for property falling within the County's taxing boundaries
The valuation of secured property is established as of January 1 and is subsequently equalized in August. Property taxes on the secured roll are payable in two installments, due November 1 and February 1. If unpaid, such taxes become delinquent on December 10 and April 10, respectively, and a 10% penalty attaches to any delinquent installment plus any additional amount determined by the Treasurer. After the second installment of taxes on the secured roll is delinquent, the tax collector shall collect a cost of $10 for preparing the delinquent tax records and giving notice of delinquency. Property on the secured roll with delinquent taxes is declared tax-defaulted on July 1 of the calendar year. Such property may thereafter be redeemed, until the right of redemption is terminated, by payment of the delinquent taxes
13 and the delinquency penalty, plus a $15 redemption fee and a redemption penalty of 1.5% per month to the time of redemption. If taxes are unpaid for a period of five years or more, the property is subject to sale by the Treasurer.
Property taxes on the unsecured roll as of July 31 become delinquent if they are not paid by August 31 and are thereafter subject to a delinquent penalty of 10%. Taxes added to the unsecured tax roll after July 31, if unpaid are delinquent and subject to a penalty of 10% on the last day of the month succeeding the month of enrollment. In the case of unsecured property taxes, an additional penalty of 1. 5% per month begins to accrue when such taxes remain unpaid on the last day of the second month after the 10% penalty attaches. The taxing authority has four ways of collecting unsecured personal property taxes: (1) a civil action against the assessee; (2) filing a certificate in the office of the county clerk specifying certain facts in order to obtain a judgment lien on specific property of the assessee; (3) filing a certificate of delinquency for record in the county recorder's office in order to obtain a lien on specified property of the assessee; and (4) seizure and sale of personal property, improvements or possessory interests belonging or assessed to the assessee. See also "- Secured Tax Charges and Delinquencies" herein.
State law exempts from taxation $7,000 of the full cash value of an owner-occupied dwelling, but this exemption does not result in any loss of revenue to local agencies, since the State reimburses local agencies for the value of the exemptions.
All property is assessed using full cash value as defined by Article XIIIA of the State Constitution. State law provides exemptions from ad valorem property taxation for certain classes of property, such as churches, colleges, non-profit hospitals, and charitable institutions.
Future assessed valuation growth allowed under Article XIIIA (new construction, certain changes of ownership, 2% inflation) is allocated on the basis of "situs" among the jurisdictions that serve the tax rate area within which the growth occurs. Local agencies, including school districts, will share the growth of "base" revenues from the tax rate area. Each year's growth allocation becomes part of each agency's allocation in the following year.
Assessed Valuations
The following table shows a 10-year history of assessed valuations in the District, each as of the date the equalized assessment roll is established in August of each year.
ASSESSED VALUATIONS Ocean View School District Fiscal Years 2010-11 through 2019-20
Local Secured Unsecured Total Change 2010-11 $10,906,072,465 $449 ,325 ,278 $11,355,397,743 2011-12 11,003,217,684 473,923,562 11,477,141,246 1.07% 2012-13 11,334,354,184 412,344,249 11,746,698,433 2.35 2013-14 11,922,820,663 490,482,217 12,413 ,302,880 5.67 2014-15 12,650,314, 185 409,138,253 13,059,452,438 5.21 2015-16 13,413,619,588 435, 127,549 13,848,747,137 6.04 2016-17 14,252,223,893 400,095,070 14,652,318,963 5.80 2017-18 15, 100,856,534 411,660,435 15,512,516,969 5.87 2018-19 15,872,797,541 418,429,772 16,291,227,313 5.02 2019-20 16,679, 167,678 490,400,970 17,169,568,648 5.39
Source: California Municipal Statistics, Inc.; Percent change figures provided by the Municipal Advisor.
14 Economic and other factors beyond the District's control, such as a general market decline in real property values, disruption in financial markets that may reduce availability of financing for purchasers of property, reclassification of property to a class exempt from taxation, whether by ownership or use (such as exemptions for property owned by the State and local agencies and property used for qualified education, hospital, charitable or religious purposes), or the complete or partial destruction of the taxable property caused by a natural or manmade disaster, such as earthquake, flood, fire, drought or toxic contamination, could cause a reduction in the assessed value of taxable property within the District. Any such reduction would result in a corresponding increase in the annual tax rate levied to pay the debt service with respect to the Bonds. See "THE BONDS - Security and Sources of Payment" herein.
Appeals and Adjustments of Assessed Valuation. Under State law, property owners may apply for a reduction of their property tax assessment by filing a written application, in form prescribed by the State Board of Equalization (the "SBE"), with the appropriate county board of equalization or assessment appeals board. In most cases, the appeal is filed because the applicant believes that present market conditions (such as residential home prices) cause the property to be worth less than its current assessed value. Any reduction in the assessment ultimately granted as a result of such appeal applies to the year for which application is made and during which the written application was filed.
A second type of assessment appeal involves a challenge to the base year value of an assessed property. Appeals for reduction in the base year value of an assessment, if successful, reduce the assessment for the year in which the appeal is taken and prospectively thereafter. The base year is determined by the completion date of new construction or the date of change of ownership. Any base year appeal must be made within four years of the change of ownership or new construction date.
In addition to the above-described taxpayer appeals, county assessors may independently reduce assessed valuations based on changes in the market value of property, or for other factors such as the complete or partial destruction of taxable property caused by natural or man-made disasters such as earthquakes, floods, fire, drought or toxic contamination pursuant to relevant provisions of the State Constitution.
Whether resulting from taxpayer appeals or county assessor reductions, adjustments to assessed value are subject to yearly reappraisals by the county assessor and may be adjusted back to their original values when real estate market conditions improve. Once property has regained its prior assessed value, adjusted for inflation, it once again is subject to the annual inflationary growth rate factor allowed under Article XIIIA. See also "CONSTITUTIONAL AND STATUTORY PROVISIONS AFFECTING DISTRICT REVENUES AND APPROPRIATIONS - Article XIIIA of the California Constitution" herein.
The District does not have information regarding pending appeals of assessed valuation of property within the District. No assurance can be given that property tax appeals currently pending or in the future, or actions by county assessors, will not significantly reduce the assessed valuation of property within the District.
Assembly Bill 102. On June 27, 2017, the Governor signed into law Assembly Bill 102 ("AB 102"). AB 102 restructures the functions of the SBE and creates two new separate agencies: (i) the California Department of Tax and Fee Administration, and (ii) the Office of Tax Appeals. Under AB 102, the California Department of Tax and Fee Administration will take over programs previously in the SBE Property Tax Department, such as the Tax Area Services Section, which is responsible for maintaining all property tax-rate area maps and for maintaining special revenue district boundaries. Under AB 102, the SBE will continue to perform the duties assigned by the State Constitution related to property taxes, however, beginning January 1, 2018, the SBE will only hear appeals related to the
15 programs that it constitutionally administers and the Office of Tax Appeals will hear tax appeals on all other taxes and fee matters, such as sales and use tax and other special taxes and fees. AB I 02 obligates the Office of Tax Appeals to adopt regulations as necessary to carry out its duties, powers, and responsibilities. No assurances can be given as to the effect of such regulations on the appeals process or on the assessed valuation of property within the District.
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16 Assessed Valuation by Land Use. The following shows a per-parcel analysis of the distribution of taxable property within the District by principal use, and the fiscal year 2019-20 assessed valuation of such parcels (excluding utility and unsecured assessed valuations).
ASSESSED VALUATION AND PARCELS BY LAND USE Ocean View School District Fiscal Year 2019-20
2019-20 0/o of No. of 0/o of Non-Residential: Assessed Valuation (1) Total Parcels Total Commercial/Office $2,065,233,478 12.38% 834 3.18% Industrial 970,493,017 5.82 695 2.65 Government/Social/Institutional 985 201 0.01 265 1.01 Subtotal Non-Residential $3,036,711,696 18.21% 1,794 6.84%
Residential: Single Family Residence $ 9,967,091,862 59.76% 18,626 71.05% Condominium 1,041,769,192 6.25 3,132 11.95 Mobile Home 81,634,064 0.49 1,103 4.21 2+ Residential Units/Apartments 2,551,960,864 15.30 1 560 5.95 Subtotal Residential $13,642,455,982 81.79% 24,421 93.16%
Total $16,679,167,678 100.00% 26,215 100.00%
(IJ Local secured assessed valuation, excluding tax-exempt property. Source: California Municipal Statistics, Inc.
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17 Assessed Valuation of Single Family Homes. The following table shows the distribution of single family homes within the District among various fiscal year 2019-20 assessed valuation ranges, as well as the average and median assessed valuation of single family homes within the District.
ASSESSED VALUATION OF SINGLE FAMILY HOMES Ocean View School District Fiscal Year 2019-20
No. of 2019-20 Average Median Parcels Assessed Valuation Assessed Valuation Assessed Valuation Single Family Residential 18,626 $9,967,091,862 $535,117 $443,404
2019-20 No. of %of Cumulative Total %of Cumulative Assessed Valuation Parcels(!) Total % of Total Valuation Total % of Total $0 - $49,999 41 0.220% 0.220% $1,201,358 0.012% 0.012% 50,000 - 99,999 1,972 10.587 10.807 155,590,314 1.561 1.573 100,000 - 149,999 1,324 7.108 17.916 160,021,599 1.605 3.179 150,000 - 199,999 843 4.526 22.442 145,518,021 1.460 4.639 200,000 - 249,999 909 4.880 27.322 204,924,044 2.056 6.695 250,000 - 299,999 1,031 5.535 32.857 284,058,650 2.850 9.545 300,000 - 349,999 1,194 6.410 39.268 3 87 ,862,555 3.891 13.436 350,000 - 399,999 1,223 6.566 45.834 458,193,838 4.597 18.033 400,000 - 449,999 899 4.827 50.660 381,293,089 3.826 21.859 450,000 - 499,999 841 4.515 55.176 399,107,725 4.004 25.863 500,000 - 549,999 764 4.102 59.277 400,633,291 4.020 29.882 550,000 - 599,999 814 4.370 63.648 468,438,054 4.700 34.582 600,000 - 649,999 893 4.794 68.442 558,315,377 5.602 40.184 650,000 - 699,999 896 4.810 73.252 604,653,368 6.066 46.250 700,000 - 749,999 940 5.047 78.299 680,675,331 6.829 53.080 750,000 - 799,999 849 4.558 82.857 656,093,779 6.583 59.662 800,000 - 849,999 600 3.221 86.079 493,659,093 4.953 64.615 850,000 - 899,999 423 2.271 88.350 369,691,709 3.709 68.324 900,000 - 949,999 346 1.858 90.207 319,850,633 3.209 71.533 950,000 - 999,999 229 1.229 91.437 222,959,004 2.237 73.770 1,000,000 and greater 1 595 ____]_j_§]_ 100.000 2,614,351,030 26.230 100.000 Total 18,626 100.000% $9,967,091,862 100.000%
(JJ Improved single family residential parcels. Excludes condominiums and parcels with multiple family units. Source: California Municipal Statistics, Inc.
Assessed Valuation by Jurisdiction. The following table shows a per-parcel analysis of the distribution of taxable property within the District by jurisdiction for fiscal year 2018-19.
ASSESSED VALDATION BY JURISDICTION Ocean View School District Fiscal Year 2018-19
Assessed Valuation %of Assessed Valuation % of Jurisdiction Jurisdiction: in District District of Jurisdiction in District City of Fountain Valley $154,189,421 0.95% $9,591,156,528 1.61% City of Huntington Beach 15,234,208,021 93.51 40,169,845,596 37.92 City of Seal Beach 1,080,628 0.01 5,625,919,713 0.02 City of Westminster 853,684,629 5.24 9,391,193,921 9.09 Unincorporated Orange County 48 064 614 ___QJ_Q 29 ,526,543 ,695 0.16 Total District $16,291,227,313 100.00%
Orange County $16,291,227,313 100.00% $591,987,855,656 2.75%
Source: California Municipal Statistics, Inc.
18 Tax Levies, Collections and Delinquencies
The following table shows secured ad valorem property taxes within the District, and amounts delinquent as of June 30, for fiscal years 2009-10 through 2018-19.
SECURED TAX CHARGES AND DELINQUENCIES(l) Ocean View School District Fiscal Years 2009-10 through 2018-19
Amount Delinquent Percent Delinquent Fiscal Year Secured Tax Charge as of June 30 June 30 2009-10 $26,295,419.20 $623,569.87 2.37% 2010-11 26,407,048.15 443,168.47 1.68 2011-12 26,618,905.11 396,788.81 1.49 2012-13 27 ,636,265 .46 325.398.61 1.18 2013-14 29,616,877.38 315.200.45 1.06 2014-15 31,088,480.66 335,181.67 1.08 2015-16 33,373,554.51 826,331.40 2.48 2016-17 33,458,965.39 228,941.20 0.68 2017-18 35,406,860.66 196,671.20 0.56 2018-19 37,286,497.94 248,355.77 0.67
(IJ 1% General Fund apportionment. Source: California Municipal Statistics, Inc.
Alternative Method of Tax Apportionment - "Teeter Plan"
The County Board has approved the implementation of the Alternative Method of Distribution of Tax Levies and Collections and of Tax Sale Proceeds (the "Teeter Plan"), as provided for in the California Revenue and Taxation Code Section 4701 et seq. Under the Teeter Plan, the County apportions secured property taxes on an accrual basis when due (irrespective of actual collections) to its local political subdivisions, including the District, for which the County acts as the tax-levying or tax collecting agency.
The Teeter Plan is applicable to all tax levies for which the County acts as the tax-levying or tax collecting agency, or for which the County treasury is the legal depository of the tax collections. As adopted by the County, the Teeter Plan includes Mello-Roos Community Facilities Districts and special assessment districts which provide for accelerated judicial foreclosure of property for which assessments are delinquent.
The ad valorem property tax to be levied to pay the interest on and principal of the Bonds will be subject to the Teeter Plan, beginning in the first year of such levy. The District will receive 100% of the ad valorem property tax levied to pay the Bonds irrespective of actual delinquencies in the collection of the tax by the County.
The Teeter Plan is to remain in effect unless the County Board orders its discontinuance or unless, prior to the commencement of any fiscal year of the County (which commences on July 1), the Board of Supervisors receives a petition for its discontinuance joined in by resolutions adopted by at least two-thirds of the participating revenue districts in the County, in which event the Board of Supervisors is to order discontinuance of the Teeter Plan effective at the commencement of the subsequent fiscal year. The County Board may, by resolution adopted not later than July 15 of the fiscal year for which it is to
19 apply after holding a public hearing on the matter, discontinue the procedures under the Teeter Plan with respect to any tax levying agency or assessment levying agency in the County if the rate of secure tax delinquency in that agency exceeds 3% of the total of all taxes and assessments levied on the secured rolls for that agency. If the Teeter Plan is discontinued subsequent to its implementation, only those secured property taxes actually collected would be allocated to political subdivisions (including the District) for which the County acts as the tax-levying or tax-collecting agency, but penalties and interest would be credited to the political subdivisions. Tax Rates
The following table summarizes the total ad valorem property tax rates levied, as a percentage of assessed valuation, by all taxing entities in a typical tax rate area within the District during the period from fiscal year 2015-16 to fiscal year 2019-20.
SUMMARY OF AD VALOREMPROPERTY TAX RATES Ocean View School District Fiscal Years 2015-16 through 2019-20
(TRA 4-007 - 2019-20 Assessed Valuation: $9,021,897,344}°J 2015-16 2016-17 2017-18 2018-19 2019-20 General Tax Rate 1.00000% 1.00000% 1.00000% 1.00000% 1.00000% City of Huntington Beach Employee Retirement .01500 .01500 .01500 .01500 .01500 Ocean View School District .02703 .02404 .02800 Huntington Union High School District .02560 .02543 .02403 .02388 .02326 Coast Community College District .03092 .03116 .03145 .03052 .03100 Metropolitan Water District .00350 .00350 .00350 .00350 .00350 Total All Property Tax Rate 1.07502% 1.07509% 1.10101% 1.09694% 1.10076%
OJ The assessed valuation ofTRA 4-007 is 52.55% of the District's total assessed valuation. Source: California Municipal Statistics, Inc.
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20 Principal Taxpayers
The more property (by assessed value) which is owned by a single taxpayer within the District, the greater amount of tax collections that are exposed to weaknesses in such a taxpayer's financial situation and ability or willingness to pay property taxes. The following table lists the 20 largest local secured taxpayers in the District in terms of their fiscal year 2019-20 secured assessed valuations. Each taxpayer listed below is a name listed on the tax rolls. The District cannot make any representation as to whether individual persons, corporations or other organizations are liable for tax payments with respect to multiple properties held in various names that in aggregate may be larger than is suggested by the table below.
LARGEST LOCAL SECURED TAXPAYERS Ocean View School District Fiscal Year 2019-20
2019-20 %of 1 Property Owner Primary Land Use Assessed Valuation Tota1< > 1. Bella Terra Associates LLC Commercial $353,969,088 2.12% 2. Monogram Residential Huntington Beach Apartments 135,585,637 0.81 3. One Pacific Plaza Owner LLC Commercial 124,500,000 0.75 4. LSREF4 Shark Huntington LLC Apartments 122,596,246 0.74 5. Freeway Industrial Park HB Boardwalk LLC Apartments 112,058,966 0.67 6. Bella Terra Villas LLC Apartments 107,983,714 0.65 7. Archstone Huntington Beach College Park Apartments 94,010,492 0.56 8. HB Village Partners LLC Apartments 92,590,398 0.56 9. Pacific Shores Fee Owner LLC Apartments 92,310,000 0.55 10. NF Huntington Plaza LP Commercial 77,119,443 0.46 11. Harbour Lights LP Apartments 69,585,856 0.42 12. PK I Pavilions Place LP Commercial 65,807,238 0.39 13. SCG Edinger Plaza LLC Commercial 65,500,000 0.39 14. Miramonte Building LLC Apartments 62,684,100 0.38 15. Essex Huntington on Edinger LP Apartments 54,595,057 0.33 16. Sendero Huntington Beach LLC Apartments 52,734,000 0.32 17. Roy Due Glen Revocable Living Trust Residential 45,731,067 0.27 18. PK II Marina Village LP Commercial 43,730,677 0.26 19. A val on at Pacific Bay LP Apartments 39,255,481 0.24 20. SHI-III Huntington Beach LP Commercial 35 893 800 0.22 $1,848,241,260 11.08%
(IJ 2019-20 local secured assessed valuation: $16,679,167,678. Source: California Municipal Statistics, Inc.
Statement of Direct and Overlapping Debt
Set forth on the following page is a direct and overlapping debt report ( the "Debt Report") prepared by California Municipal Statistics, Inc., effective as of December 1, 2019. The Debt Report is included for general information purposes only. The District has not reviewed the Debt Report for completeness or accuracy and makes no representation in connection therewith.
The Debt Report generally includes long-term obligations sold in the public credit markets by public agencies whose boundaries overlap the boundaries of the District in whole or in part. Such long term obligations generally are not payable from revenues of the District ( except as indicated) nor are they necessarily obligations secured by land within the District. In many cases long-term obligations issued by a public agency are payable only from the general fund or other revenues of such public agency.
21 The table shows the percentage of each overlapping entity's assessed value located within the boundaries of the District. The table also shows the corresponding portion of the overlapping entity's existing debt payable from property taxes levied within the District. The total amount of debt for each overlapping entity is not given in the table.
The first column in the table names each public agency which has outstanding debt as of the date of the report and whose territory overlaps the District in whole or in part. The second column shows the percentage of each overlapping agency's assessed value located within the boundaries of the District. This percentage, multiplied by the total outstanding debt of each overlapping agency (which is not shown in the table) produces the amount shown in the third column, which is the apportionment of each overlapping agency's outstanding debt to taxable property in the District.
STATEMENT OF DIRECT AND OVERLAPPING DEBT
2019-20 Assessed Valuation: $17,169,568,648
1 DIRECT AND OVERLAPPING TAX AND ASSESSMENT DEBT: % Applicable< ) Debt 12/1/19 Metropolitan Water District 0.557% $267,639 Coast Community College District 11.556 83,621,470 Huntington Beach Union High School District 29.700 51,345,359 2 Ocean View School District 100.000 38,855,000( ) City of Huntington Beach Community Facilities District No. 2003-1 100.000 16 415 000 TOTAL DIRECT AND OVERLAPPING TAX AND ASSESSMENT DEBT $190,504,468
DIRECT AND OVERLAPPING GENERAL FUND DEBT: Orange County General Fund Obligations 2.752% $10,697,574 Orange County Pension Obligation Bonds 2.752 5,615,697 Orange County Office of Education Certificates of Participation 2.752 371,245 Coast Community College District Certificates of Participation 11.556 321,257 Huntington Beach Union High School District Certificates of Participation 29.700 18,586,584 Ocean View School District Certificates of Participation 100.000 21,110,000 City of Fountain Valley Certificates of Participation and Pension Obligation Bonds 1.608 461,511 City of Huntington Beach General Fund and Judgment Obligations 37.924 13,753,769 City of Westminster General Fund Obligations 9.090 91 355 TOTAL DIRECT AND OVERLAPPING GENERAL FUND DEBT $71,008,992
OVERLAPPING TAX INCREMENT DEBT (Successor Agency): $8,666,569
3 COMBINED TOTAL DEBT $270,180,029( )
Ratios to 2019-20 Assessed Valuation: Direct Debt ($38,855,000) ...... 0.23% Total Overlapping Tax and Assessment Debt ...... 1.11 % Combined Direct Debt ($59,965,000) ...... 0.35% Combined Total Debt ...... 1.57%
Ratio to Redevelopment Incremental Valuation ($1,702,137,441): Total Overlapping Tax Increment Debt ...... 0.51 %
(IJ 2018-19 ratios. C2J Excludes the Bonds described herein. C3J Excludes tax and revenue anticipation notes, enterprise revenue, mortgage revenue and non-bonded capital lease obligations. Source: California Municipal Statistics, Inc.
22 CONSTITUTIONAL AND STATUTORY PROVISIONS AFFECTING DISTRICT REVENUES AND APPROPRIATIONS
The principal ofand interest on the Bonds are payable solely from the proceeds ofan ad valorem property tax levied for the payment thereof See "THE BONDS - Security and Sources of Payment" herein. Articles XIIIA, XIIIB, XIIIC and XIIID of the State Constitution, Propositions 98 and 111, and certain other provisions of law discussed below, are included in this section to describe the potential effect of these Constitutional and statutory measures on the ability of the County to levy property taxes on behalf of the District and of the District to spend tax proceeds for operating and other purposes, and it should not be inferred from the inclusion of such materials that these laws impose any limitation on the ability of the County to levy taxes for payment of the Bonds. The tax levied for payment of the Bonds was approved by the voters of the District in compliance with Article XIIIA, Article XIIIC, and all applicable laws.
Article XIIIA of the California Constitution
Article XIIIA ("Article XIIIA") of the State Constitution limits the amount of ad valorem property taxes on real property to 1% of "full cash value" as determined by the county assessor. Article XIIIA defines "full cash value" to mean "the county assessor's valuation of real property as shown on the 1975-76 bill under "full cash value," or thereafter, the appraised value of real property when purchased, newly constructed or a change in ownership has occurred after the 1975 assessment," subject to exemptions in certain circumstances of property transfer or reconstruction. Determined in this manner, the full cash value is also referred to as the "base year value." The full cash value is subject to annual adjustment to reflect increases, not to exceed 2% for any year, or decreases in the consumer price index or comparable local data, or to reflect reductions in property value caused by damage, destruction or other factors.
Article XIIIA has been amended to allow for temporary reductions of assessed value in instances where the fair market value of real property falls below the adjusted base year value described above. Proposition 8-approved by the voters in November of 1978-provides for the enrollment of the lesser of the base year value or the market value of real property, taking into account reductions in value due to damage, destruction, depreciation, obsolescence, removal of property, or other factors causing a similar decline. In these instances, the market value is required to be reviewed annually until the market value exceeds the base year value, adjusted for inflation. Reductions in assessed value could result in a corresponding increase in the annual tax rate levied to pay debt service on the Bonds. See "THE BONDS - Security and Sources of Payment" and "TAX BASE FOR REPAYMENT OF BONDS" herein.
Article XIIIA requires a vote of two-thirds or more of the qualified electorate of a city, county, special district or other public agency to impose special taxes, while totally precluding the imposition of any additional ad valorem property, sales or transaction tax on real property. Article XIIIA exempts from the 1% tax limitation any taxes above that level required to pay debt service (a) on any indebtedness approved by the voters prior to July 1, 1978, or (b), as the result of an amendment approved by State voters on June 3, 1986, on any bonded indebtedness approved by two-thirds or more of the votes cast by the voters for the acquisition or improvement of real property on or after July 1, 1978, or (c) on bonded indebtedness incurred by a school district or community college district for the construction, reconstruction, rehabilitation or replacement of school facilities or the acquisition or lease of real property for school facilities, approved by fifty-five percent or more of the votes cast on the proposition, but only if certain accountability measures are included in the proposition. The tax for payment of the Bonds falls within the exception described in (c) of the immediately preceding sentence. In addition, Article XIIIA requires the approval of two-thirds or more of all members of the legislature of the State (the "State Legislature") to change any State taxes for the purpose of increasing tax revenues.
23 Legislation Implementing Article XIIIA
Legislation has been enacted and amended a number of times since 1978 to implement Article XIIIA. Under current law, local agencies are no longer permitted to levy directly any property tax ( except to pay voter-approved indebtedness). The 1% property tax is automatically levied by the relevant county and distributed according to a formula among taxing agencies. The formula apportions the tax roughly in proportion to the relative shares of taxes levied prior to 1979.
Increases of assessed valuation resulting from reappraisals of property due to new construction, change in ownership or from the annual adjustment not to exceed 2% are allocated among the various jurisdictions in the "taxing area" based upon their respective "situs." Any such allocation made to a local agency continues as part of its allocation in future years.
All taxable property value included in this Official Statement is shown at 100% of taxable value (unless noted differently) and all tax rates reflect the $1 per $100 of taxable value.
Both the United States Supreme Court and the California State Supreme Court have upheld the general validity of Article XIIIA.
Proposition 50 and Proposition 171
On June 3, 1986, the voters of the State approved Proposition 50. Proposition 50 amends Section 2 of Article XIIIA of the State Constitution to allow owners of property that was "substantially damaged or destroyed" by a disaster, as declared by the Governor, (the "Damaged Property"), to transfer their existing base year value ( the "Original Base Year Value") to a comparable replacement property within the same county, which is acquired or constructed within five years after the disaster. At the time of such transfer, the Damaged Property will be reassessed at its full cash value immediately prior to damage or destruction (the "Original Cash Value"); however, such property will retain its base year value notwithstanding such a transfer. Property is substantially damaged or destroyed if either the land or the improvements sustain physical damage amounting to more than 50 percent of either the land or improvements full cash value immediately prior to the disaster. There is no filing deadline, but the assessor can only correct four years of assessments when the owner fails to file a claim within four years of acquiring a replacement property.
Under Proposition 50, the base year value of the replacement property (the "Replacement Base Year Value") depends on the relation of the full cash value of the replacement property (the "Replacement Cash Value") to the Original Cash Value: if the Replacement Cash Value exceeds 120 percent of the Original Cash Value, then the Replacement Base Year Value is calculated by combining the Original Base Year Value with such excessive Replacement Cash Value; if the Replacement Cash Value does not exceed 120 percent of the Original Cash Value, then the Replacement Base Year Value equals the Original Base Year Value; if the Replacement Cash Value is less than the Original Cash Value, then the Replacement Base Year Value equals the Replacement Cash Value. The replacement property must be comparable in size, utility, and function to the Damaged Property.
On November 2, 1993, the voters of the State approved Proposition 171. Proposition 171 amends subdivision (e) of Section 2 of Article XIIIA of the State Constitution to allow owners of Damaged Property to transfer their Original Base Year Value to a "comparable replacement property" located within another county in the State, which is acquired or newly constructed within three years after the disaster.
24 Intra-county transfers under Proposition 171 are more restrictive than inter-county transfers under Proposition 50. For example, Proposition 171 (1) only applies to (a) structures that are owned and occupied by property owners as their principal place of residence and (b) land of a "reasonable size that is used as a site for a residence;" (2) explicitly does not apply to property owned by firms, partnerships, associations, corporations, companies, or legal entities of any kind; (3) only applies to replacement property located in a county that adopted an ordinance allowing Proposition 171 transfers; (4) claims must be timely filed within three years of the date of purchase or completion of new construction; and ( 5) only applies to comparable replacement property, which has a full cash value that is of "equal or lesser value" than the Original Cash Value.
Within the context of Proposition 171, "equal or lesser value" means that the amount of the Replacement Cash Value does not exceed either (1) 105 percent of the Original Cash Value when the replacement property is acquired or constructed within one year of the destruction, (2) 110 percent of the Original Cash Value when the replacement property is acquired or constructed within two years of the destruction, or (3) 115 percent of the Original Cash Value when the replacement property is acquired or constructed within three years of the destruction.
Unitary Property
Some amount of property tax revenue of the District is derived from utility property which is considered part of a utility system with components located in many taxing jurisdictions ("unitary property"). Under the State Constitution, such property is assessed by the SBE as part of a "going concern" rather than as individual pieces of real or personal property. Such State-assessed unitary and certain other property is allocated to the counties by the SBE, taxed at special county-wide rates, and the tax revenues distributed to taxing jurisdictions (including the District) according to statutory formulae generally based on the distribution of taxes in the prior year. So long as the District is not a basic aid district, taxes lost through any reduction in assessed valuation will be compensated by the State as equalization aid under the State's school financing formula. See "DISTRICT FINANCIAL INFORMATION - State Funding of Education" herein.
Article XIIIB of the California Constitution
Article XIIIB ("Article XIIIB") of the State Constitution, as subsequently amended by Propositions 98 and 111, respectively, limits the annual appropriations of the State and of any city, county, school district, authority or other political subdivision of the State to the level of appropriations of the particular governmental entity for the prior fiscal year, as adjusted for changes in the cost of living and in population and for transfers in the financial responsibility for providing services and for certain declared emergencies. As amended, Article XIIIB defines:
(a) "change in the cost of living" with respect to school districts to mean the percentage change in California per capita income from the preceding year, and
(b) "change in population" with respect to a school district to mean the percentage change in the ADA of the school district from the preceding fiscal year.
For fiscal years beginning on or after July 1, 1990, the appropriations limit of each entity of government shall be the appropriations limit for the 1986-87 fiscal year adjusted for the changes made from that fiscal year pursuant to the provisions of Article XIIIB, as amended.
25 The appropriations of an entity of local government subject to Article XIIIB limitations include the proceeds of taxes levied by or for that entity and the proceeds of certain State subventions to that entity. "Proceeds of taxes" include, but are not limited to, all tax revenues and the proceeds to the entity from (a) regulatory licenses, user charges and user fees (but only to the extent that these proceeds exceed the reasonable costs in providing the regulation, product or service), and (b) the investment of tax revenues.
Appropriations subject to limitation do not include (a) refunds of taxes, (b) appropriations for debt service such as the Bonds, ( c) appropriations required to comply with certain mandates of the courts or the federal government, ( d) appropriations of certain special districts, ( e) appropriations for all qualified capital outlay projects as defined by the State Legislature, (f) appropriations derived from certain fuel and vehicle taxes and (g) appropriations derived from certain taxes on tobacco products.
Article XIIIB includes a requirement that all revenues received by an entity of government other than the State in a fiscal year and in the fiscal year immediately following it in excess of the amount permitted to be appropriated during that fiscal year and the fiscal year immediately following it shall be returned by a revision of tax rates or fee schedules within the next two subsequent fiscal years.
Article XIIIB also includes a requirement that fifty percent of all revenues received by the State in a fiscal year and in the fiscal year immediately following it in excess of the amount permitted to be appropriated during that fiscal year and the fiscal year immediately following it shall be transferred and allocated to the State School Fund pursuant to Section 8. 5 of Article XVI of the State Constitution. See "- Propositions 98 and 111" herein.
Article XIIIC and Article XIIID of the California Constitution
On November 5, 1996, the voters of the State approved Proposition 218, popularly known as the "Right to Vote on Taxes Act." Proposition 218 added to the California Constitution Articles XIIIC and XIIID (respectively, "Article XIIIC" and "Article XIIID"), which contain a number of provisions affecting the ability of local agencies, including school districts, to levy and collect both existing and future taxes, assessments, fees and charges.
According to the "Title and Summary" of Proposition 218 prepared by the California Attorney General, Proposition 218 limits "the authority of local governments to impose taxes and property-related assessments, fees and charges." Among other things, Article XIIIC establishes that every tax is either a "general tax" (imposed for general governmental purposes) or a "special tax" (imposed for specific purposes), prohibits special purpose government agencies such as school districts from levying general taxes, and prohibits any local agency from imposing, extending or increasing any special tax beyond its maximum authorized rate without a two-thirds vote; and also provides that the initiative power will not be limited in matters of reducing or repealing local taxes, assessments, fees and charges. Article XIIIC further provides that no tax may be assessed on property other than ad valorem property taxes imposed in accordance with Articles XIII and XIIIA of the California Constitution and special taxes approved by a two-thirds vote under Article XIIIA, Section 4. Article XIIID deals with assessments and property related fees and charges, and explicitly provides that nothing in Article XIIIC or XIIID will be construed to affect existing laws relating to the imposition of fees or charges as a condition of property development.
The District does not impose any taxes, assessments, or property-related fees or charges which are subject to the provisions of Proposition 218. It does, however, receive a portion of the basic 1% ad valorem property tax levied and collected by the County pursuant to Article XIIIA of the California Constitution. The provisions of Proposition 218 may have an indirect effect on the District, such as by
26 limiting or reducing the revenues otherwise available to other local governments whose boundaries encompass property located within the District thereby causing such local governments to reduce service levels and possibly adversely affecting the value of property within the District.
Proposition 26
On November 2, 2010, voters in the State approved Proposition 26. Proposition 26 amends Article XIIIC of the State Constitution to expand the definition of "tax" to include "any levy, charge, or exaction of any kind imposed by a local government" except the following: (1) a charge imposed for a specific benefit conferred or privilege granted directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of conferring the benefit or granting the privilege; (2) a charge imposed for a specific government service or product provided directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of providing the service or product; (3) a charge imposed for the reasonable regulatory costs to a local government for issuing licenses and permits, performing investigations, inspections, and audits, enforcing agricultural marketing orders, and the administrative enforcement and adjudication thereof; (4) a charge imposed for entrance to or use of local government property, or the purchase, rental, or lease of local government property; (5) a fine, penalty, or other monetary charge imposed by the judicial branch of government or a local government, as a result of a violation of law; (6) a charge imposed as a condition of property development; and (7) assessments and property-related fees imposed in accordance with the provisions of Article XIIID. Proposition 26 provides that the local government bears the burden of proving by a preponderance of the evidence that a levy, charge, or other exaction is not a tax, that the amount is no more than necessary to cover the reasonable costs of the governmental activity, and that the manner in which those costs are allocated to a payor bear a fair or reasonable relationship to the payor's burdens on, or benefits received from, the governmental activity.
Propositions 98 and 111
On November 8, 1988, voters of the State approved Proposition 98, a combined initiative constitutional amendment and statute called the "Classroom Instructional Improvement and Accountability Act" (the "Accountability Act"). Certain provisions of the Accountability Act have, however, been modified by Proposition 111, discussed below, the provisions of which became effective on July 1, 1990. The Accountability Act changed State funding of public education below the university level and the operation of the State's appropriations limit. The Accountability Act guarantees State funding for K-12 school districts and community college districts (hereinafter referred to collectively as "K-14 school districts") at a level equal to the greater of (a) the same percentage of the State general fund revenues as the percentage appropriated to such districts in the 1986-87 fiscal year, and (b) the amount actually appropriated to such districts from the State general fund in the previous fiscal year, adjusted for increases in enrollment and changes in the cost of living. The Accountability Act permits the State Legislature to suspend this formula for a one-year period.
The Accountability Act also changed how tax revenues in excess of the State appropriations limit are distributed. Any excess State tax revenues up to a specified amount are, instead of being returned to taxpayers, is transferred to K-14 school districts. Any such transfer to K-14 school districts would be excluded from the appropriations limit for K-14 school districts and the K-14 school district appropriations limit for the next year is automatically increased by the amount of such transfer. These additional moneys enter the base funding calculation for K-14 school districts for subsequent years, creating further pressure on other portions of the State budget, particularly if revenues decline in a year following an Article XIIIB surplus. The maximum amount of excess tax revenues which can be transferred to K-14 school districts is 4% of the minimum State spending for education mandated by the Accountability Act.
27 Since the Accountability Act is unclear in some details, there can be no assurances that the Legislature or a court might not interpret the Accountability Act to require a different percentage of State general fund revenues to be allocated to K-14 school districts, or to apply the relevant percentage to the State's budgets in a different way than is proposed in the Governor's budget.
On June 5, 1990, the voters approved Proposition 111 (Senate Constitutional Amendment No. 1) called the "Traffic Congestion Relief and Spending Limit Act of 1990" ("Proposition 111 ") which further modified Article XIIIB and Sections 8 and 8.5 of Article XVI of the State Constitution with respect to appropriations limitations and school funding priority and allocation.
The most significant provisions of Proposition 111 are summarized as follows:
a. Annual Adjustments to Spending Limit. The annual adjustments to the Article XIIIB spending limit were liberalized to be more closely linked to the rate of economic growth. Instead of being tied to the Consumer Price Index, the "change in the cost of living" is now measured by the change in California per capita personal income. The definition of "change in population" specifies that a portion of the State's spending limit is to be adjusted to reflect changes in school attendance.
b. Treatment of Excess Tax Revenues. "Excess" tax revenues with respect to Article XIIIB are now determined based on a two-year cycle, so that the State can avoid having to return to taxpayers excess tax revenues in one year if its appropriations in the next fiscal year are under its limit. In addition, the Proposition 98 provision regarding excess tax revenues was modified. After any two-year period, if there are excess State tax revenues, 50% of the excess are to be transferred to K-14 school districts with the balance returned to taxpayers; under prior law, 100% of excess State tax revenues went to K-14 school districts, but only up to a maximum of 4% of the minimum funding level for such districts. Also, reversing prior law, any excess State tax revenues transferred to K-14 school districts are not built into K-14 school districts' base expenditures for calculating their entitlement for State aid in the next year, and the State's appropriations limit is not to be increased by this amount.
c. Exclusions from Spending Limit. Two exceptions were added to the calculation of appropriations which are subject to the Article XIIIB spending limit: (i) all appropriations for "qualified capital outlay projects" as defined by the State Legislature; and (ii) any increases in gasoline taxes above the 1990 level (then nine cents per gallon), sales and use taxes on such increment in gasoline taxes, and increases in receipts from vehicle weight fees above the levels in effect on January 1, 1990. These latter provisions were necessary to make effective the transportation funding package approved by the State Legislature and the Governor, which was expected to raise over $15 billion in additional taxes from 1990 through 2000 to fund transportation programs.
d. Recalculation of Appropriations Limit. The Article XIIIB appropriations limit for each unit of government, including the State, is to be recalculated beginning in fiscal year 1990-91. It is based on the actual limit for fiscal year 1986-87, adjusted forward to 1990-91 as if Proposition 111 had been in effect.
e. School Funding Guarantee. There is a complex adjustment in the formula enacted in Proposition 98 which guarantees K-14 school districts a certain amount of State general fund revenues. Under prior law, K-14 school districts were guaranteed the greater of (1) 40.9% of State general fund revenues ("Test l") or (2) the amount appropriated in the
28 prior year adjusted for changes in the cost of living (measured as in Article XIIIB by reference to per capita personal income) and enrollment ("Test 2"). Under Proposition 111, schools will receive the greater of (1) Test 1, (2) Test 2, or (3) a third test ("Test 3"), which will replace Test 2 in any year when growth in per capita State general fund revenues from the prior year is less than the annual growth in California per capita personal income. Under Test 3, K-14 school districts will receive the amount appropriated in the prior year adjusted for change in enrollment and per capita State general fund revenues, plus an additional small adjustment factor. If Test 3 is used in any year, the difference between Test 3 and Test 2 will become a "credit" to schools (also referred to as a "maintenance factor") which will be paid in future years when State general fund revenue growth exceeds personal income growth.
Proposition 39
On November 7, 2000, California voters approved an amendment (commonly known as Proposition 39) to the California Constitution. This amendment (1) allows school facilities bond measures to be approved by 55% (rather than two-thirds) of the voters in local elections and permits property taxes to exceed the current I% limit in order to repay the bonds and (2) changes existing statutory law regarding charter school facilities. As adopted, the constitutional amendments may be changed only with another Statewide vote of the people. The statutory provisions could be changed by a majority vote of both houses of the State Legislature and approval by the Governor, but only to further the purposes of the proposition. The local school jurisdictions affected by this proposition are K-12 school districts, including the District, community college districts, and county offices of education. As noted above, the California Constitution previously limited property taxes to I percent of the value of property, and property taxes could only exceed this limit to pay for (1) any local government debt approved by the voters prior to July 1, 1978 or (2) bonds to acquire or improve real property that receive two-thirds voter approval after July 1, 1978.
The 55% vote requirement authorized by Proposition 39 applies only if the local bond measure presented to the voters includes: (1) a requirement that the bond funds can be used only for construction, rehabilitation, equipping of school facilities, or the acquisition or lease of real property for school facilities; (2) a specific list of school projects to be funded and certification that the school board has evaluated safety, class size reduction, and information technology needs in developing the list; and (3) a requirement that the school board conduct annual, independent financial and performance audits until all bond funds have been spent to ensure that the bond funds have been used only for the projects listed in the measure. Legislation approved in June 2000 placed certain limitations on local school bonds to be approved by 55% of the voters. These provisions require that the tax rate projected to be levied as the result of any single election be no more than $60 (for a unified school district), $30 (for a high school or elementary school district, such as the District), or $25 (for a community college district) per $100,000 of taxable property value, when assessed valuation is projected to increase in accordance with Article XIIIA of the State Constitution. These requirements are not part of Proposition 39 and can be changed with a majority vote of both houses of the State Legislature and approval by the Governor. See"- Article XIIIA of the California Constitution" herein.
Proposition lA and Proposition 22
On November 2, 2004, California voters approved Proposition IA, which amends the State Constitution to significantly reduce the State's authority over major local government revenue sources. Under Proposition IA, the State cannot (i) reduce local sales tax rates or alter the method of allocating the revenue generated by such taxes, (ii) shift property taxes from local governments to schools or community colleges, (iii) change how property tax revenues are shared among local governments without
29 two-third approval of both houses of the State Legislature or (iv) decrease Vehicle License Fee revenues without providing local governments with equal replacement funding. Proposition I A does allow the State to approve voluntary exchanges of local sales tax and property tax revenues among local governments within a county. Proposition IA also amends the State Constitution to require the State to suspend certain State laws creating mandates in any year that the State does not fully reimburse local governments for their costs to comply with the mandates. This provision does not apply to mandates relating to schools or community colleges or to those mandates relating to employee rights.
Proposition 22, The Local Taxpayer, Public Safety, and Transportation Protection Act, approved by the voters of the State on November 2, 2010, prohibits the State from enacting new laws that require redevelopment agencies to shift funds to schools or other agencies and eliminates the State's authority to shift property taxes temporarily during a severe financial hardship of the State. In addition, Proposition 22 restricts the State's authority to use State fuel tax revenues to pay debt service on state transportation bonds, to borrow or change the distribution of state fuel tax revenues, and to use vehicle license fee revenues to reimburse local governments for state mandated costs. Proposition 22 impacts resources in the State's general fund and transportation funds, the State's main funding source for schools and community colleges, as well as universities, prisons and health and social services programs. According to an analysis of Proposition 22 submitted by the Legislative Analyst's Office (the "LAO") on July 15, 2010, the expected reduction in resources available for the State to spend on these other programs as a consequence of the passage of Proposition 22 was expected to be approximately $1 billion in fiscal year 20 I 0-11, with an estimated immediate fiscal effect equal to approximately I% of the State's total general fund spending. The longer-term effect of Proposition 22, according to the LAO analysis, was expected to be an increase in the State's general fund costs by approximately $1 billion annually for several decades.
Jarvis vs. Connell
On May 29, 2002, the California Court of Appeal for the Second District decided the case of Howard Jarvis Taxpayers Association, et al. v. Kathleen Connell (as Controller of the State of California). The Court of Appeal held that either a final budget bill, an emergency appropriation, a self executing authorization pursuant to state statutes (such as continuing appropriations) or the California Constitution or a federal mandate is necessary for the State Controller to disburse funds. The foregoing requirement could apply to amounts budgeted by the District as being received from the State. To the extent the holding in such case would apply to State payments reflected in the District's budget, the requirement that there be either a final budget bill or an emergency appropriation may result in the delay of such payments to the District if such required legislative action is delayed, unless the payments are self-executing authorizations or are subject to a federal mandate. On May 1, 2003, the California Supreme Court upheld the holding of the Court of Appeal, stating that the Controller is not authorized under State law to disburse funds prior to the enactment of a budget or other proper appropriation, but under federal law, the Controller is required, notwithstanding a budget impasse and the limitations imposed by State law, to timely pay those State employees who are subject to the minimum wage and overtime compensation provisions of the federal Fair Labor Standards Act.
Propositions 30 and 55
The California Children's Education and Health Care Protection Act of 2016 (also known as "Proposition 55") is a constitutional amendment approved by the voters of the State on November 8, 2016. Proposition 55 extends, through 2030, the increases to personal income tax rates for high-income taxpayers that were approved as part of Temporary Taxes to Fund Education, Guaranteed Local Public Safety Funding, Initiative Constitutional Amendment (also known as "Proposition 30"). Proposition 30 increased the marginal personal income tax rate by: (i) I% for taxable income over $250,000 but less than $300,001 for single filers (over $500,000 but less than $600,001 for joint filers and over $340,000 but less
30 than $408,001 for head-of-household filers), (ii) 2% for taxable income over $300,000 but less than $500,001 for single filers (over $600,000 but less than $1,000,001 for joint filers and over $408,000 but less than $680,001 for head-of-household filers), and (iii) 3% for taxable income over $500,000 for single filers ( over $1, 000, 000 for joint filers and over $680, 000 for head-of-household filers).
The revenues generated from the personal income tax increases will be included in the calculation of the Proposition 98 minimum funding guarantee for school districts and community college districts. See "CONSTITUTIONAL AND STATUTORY PROVISIONS AFFECTING SCHOOL DISTRICT REVENUES AND APPROPRIATIONS - Propositions 98 and 111" herein. From an accounting perspective, the revenues generated from the personal income tax increases are being deposited into the State account created pursuant to Proposition 30 called the Education Protection Account (the "EPA"). Pursuant to Proposition 30, funds in the EPA will be allocated quarterly, with 89% of such funds provided to schools districts and 11 % provided to community college districts. The funds will be distributed to school districts and community college districts in the same manner as existing unrestricted per-student funding, except that no school district will receive less than $200 per unit of ADA and no community college district will receive less than $100 per full time equivalent student. The governing board of each school district and community college district is granted sole authority to determine how the moneys received from the EPA are spent, provided that the appropriate governing board is required to make these spending determinations in open session at a public meeting and such local governing board is prohibited from using any funds from the EPA for salaries or benefits of administrators or any other administrative costs.
Proposition 2
On November 4, 2014, voters approved the Rainy Day Budget Stabilization Fund Act (also known as "Proposition 2"). Proposition 2 is a legislatively-referred constitutional amendment which makes certain changes to State budgeting practices, including substantially revising the conditions under which transfers are made to and from the State's Budget Stabilization Account (the "BSA") established by the California Balanced Budget Act of 2004 ( also known as Proposition 58).
Under Proposition 2, and beginning in fiscal year 2015-16 and each fiscal year thereafter, the State will generally be required to annually transfer to the BSA an amount equal to 1. 5% of estimated State general fund revenues (the "Annual BSA Transfer"). Supplemental transfers to the BSA (a "Supplemental BSA Transfer") are also required in any fiscal year in which the estimated State general fund revenues that are allocable to capital gains taxes exceed 8% of the total estimated general fund tax revenues. Such excess capital gains taxes-net of any portion thereof owed to K-14 school districts pursuant to Proposition 98-will be transferred to the BSA Proposition 2 also increases the maximum size of the BSA to an amount equal to 10% of estimated State general fund revenues for any given fiscal year. In any fiscal year in which a required transfer to the BSA would result in an amount in excess of the 10% threshold, Proposition 2 requires such excess to be expended on State infrastructure, including deferred maintenance.
For the first 15 year period ending with the 2029-30 fiscal year, Proposition 2 provides that half of any required transfer to the BSA, either annual or supplemental, must be appropriated to reduce certain State liabilities, including making certain payments owed to K-14 school districts, repaying State interfund borrowing, reimbursing local governments for State mandated services, and reducing or prefunding accrued liabilities associated with State-level pension and retirement benefits. Following the initial 15-year period, the Governor and the State Legislature are given discretion to apply up to half of any required transfer to the BSA to the reduction of such State liabilities. Any amount not applied towards such reduction must be transferred to the BSA or applied to infrastructure, as described above.
31 Proposition 2 changes the conditions under which the Governor and the Legislature may draw upon or reduce transfers to the BSA The Governor does not retain unilateral discretion to suspend transfers the BSA, nor does the State Legislature retain discretion to transfer funds from the BSA for any reason, as previously provided by law. Rather, the Governor must declare a "budget emergency," defined as an emergency within the meaning of Article XIIIB of the Constitution or a determination that estimated resources are inadequate to fund State general fund expenditures, for the current or ensuing fiscal year, at a level equal to the highest level of State spending within the three immediately preceding fiscal years. Any such declaration must be followed by a legislative bill providing for a reduction or transfer. Draws on the BSA are limited to the amount necessary to address the budget emergency, and no draw in any fiscal year may exceed 50% of the funds on deposit in the BSA unless a budget emergency was declared in the preceding fiscal year.
Proposition 2 also requires the creation of the Public School System Stabilization Account (the "PSSSA") into which transfers will be made in any fiscal year in which a Supplemental BSA Transfer is required (as described above). Such transfer will be equal to the portion of capital gains taxes above the 8% threshold that would be otherwise paid to K-14 school districts as part of the minimum funding guarantee. A transfer to the PS SSA will only be made if certain additional conditions are met, as follows: (i) the minimum funding guarantee was not suspended in the immediately preceding fiscal year, (ii) the operative Proposition 98 formula for the fiscal year in which a PSSSA transfer might be made is "Test l," (iii) no maintenance factor obligation is being created in the budgetary legislation for the fiscal year in which a PSSSA transfer might be made, (iv) all prior maintenance factor obligations have been fully repaid, and (v) the minimum funding guarantee for the fiscal year in which a PSSSA transfer might be made is higher than the immediately preceding fiscal year, as adjusted for ADA growth and cost of living. Proposition 2 caps the size of the PSS SA at 10% of the estimated minimum guarantee in any fiscal year, and any excess funds must be paid to K-14 school districts. Reductions to any required transfer to the PSSSA, or draws on the PSSSA, are subject to the same budget emergency requirements described above. However, Proposition 2 also mandates draws on the PSSSA in any fiscal year in which the estimated minimum funding guarantee is less than the prior year's funding level, as adjusted for ADA growth and cost of living.
SB 858. Senate Bill 858 ("SB 858") became effective upon the passage of Proposition 2. SB 858 includes provisions which could limit the amount of reserves that may be maintained by a school district in certain circumstances. Under SB 858, in any fiscal year immediately following a fiscal year in which the State has made a transfer into the PSSSA, any adopted or revised budget by a school district would need to contain a combined unassigned and assigned ending fund balance that (a) for school districts with an ADA of less than 400,000, is not more than two times the amount of the reserve for economic uncertainties mandated by the Education Code, or (b) for school districts with an ADA that is more than 400,000, is not more than three times the amount of the reserve for economic uncertainties mandated by the Education Code. In certain cases, the county superintendent of schools may grant a school district a waiver from this limitation on reserves for up to two consecutive years within a three-year period if there are certain extraordinary fiscal circumstances.
The District, which has an ADA of less than 400,000, is required to maintain a reserve for economic uncertainty in an amount equal to 3% of its general fund expenditures and other financing uses.
SB 751. Senate Bill 751 ("SB 751 "), enacted on October 11, 2017, alters the reserve requirements imposed by SB 858. Under SB 751, in a fiscal year immediately after a fiscal year in which the amount of moneys in the PSSSA is equal to or exceeds 3% of the combined total general fund revenues appropriated for school districts and allocated local proceeds of taxes for that fiscal year, a school district budget that is adopted or revised cannot have an assigned or unassigned ending fund balance that exceeds 10% of those funds. SB 751 excludes from the requirements of those provisions
32 basic aid school districts (also known as community funded districts) and small school districts having fewer than 2,501 units of average daily attendance.
The Bonds are payable solely from ad valorem property taxes to be levied within the District pursuant to the State Constitution and other State law. Accordingly, the District does not expect SB 858 or SB 751 to adversely affect its ability to pay the principal of and interest on the Bonds as and when due.
Proposition 51
The Kindergarten Through Community College Public Education Facilities Bond Act of 2016 ( also known as "Proposition 51 ") is a voter initiative that was approved by voters on November 8, 2016. Proposition 51 authorizes the sale and issuance of $9 billion in State general obligation bonds by the State for the new construction and modernization ofK-14 facilities.
K-12 School Facilities. Proposition 51 includes $3 billion for the new construction of K-12 facilities and an additional $3 billion for the modernization of existing K-12 facilities. K-12 school districts will be required to pay for 50% of the new construction costs and 40% of the modernization costs with local revenues. If a school district lacks sufficient local funding, it may apply for additional state grant funding, up to 100% of the project costs. In addition, a total of $1 billion will be available for the modernization and new construction of charter school ($500 million) and technical education ($500 million) facilities. Generally, 50% of modernization and new construction project costs for charter school and technical education facilities must come from local revenues. However, school districts that cannot cover their local share for these two types of projects may apply for state loans. State loans must be repaid over a maximum of 30 years for charter school facilities and 15 years for career technical education facilities. For career technical education facilities, State grants are capped at $3 million for a new facility and $1.5 million for a modernized facility. Charter schools must be deemed financially sound before project approval.
Community College Facilities. Proposition 51 includes $2 billion for community college district facility projects, including buying land, constructing new buildings, modernizing existing buildings, and purchasing equipment. In order to receive funding, community college districts must submit project proposals to the Chancellor of the community college system, who then decides which projects to submit to the State Legislature and Governor based on a scoring system that factors in the amount of local funds contributed to the project. The Governor and State Legislature will select among eligible projects as part of the annual state budget process.
The District makes no representation or guarantees that it will either pursue or qualify for Proposition 51 State facilities funding.
Future Initiatives
Article XIIIA, Article XIIIB, Article XIIIC and Article XIIID of the State Constitution and Propositions 22, 26, 30, 39, 51, 55, and 98 were each adopted as measures that qualified for the ballot pursuant to the State's initiative process. From time to time other initiative measures could be adopted further affecting District revenues or the District's ability to expend revenues. The nature and impact of these measures cannot be anticipated by the District.
33 DISTRICT FINANCIAL INFORMATION
The information in this section concerning the State funding ofpublic education is provided as supplementary information only, and it should not be inferred from the inclusion of this information in this Official Statement that the principal of or interest on the Bonds is payable from State revenues. The Bonds will be payable solely from the proceeds of an ad valorem property tax which is required to be levied by the County in an amount sufficient for the payment thereof
State Funding of Education
School district revenues consist primarily of guaranteed State moneys, local property taxes and funds received from the State in the form of categorical aid under ongoing programs of local assistance. All State aid is subject to the appropriation offunds in the State's annual budget.
Revenue Limit Funding. Previously, school districts operated under general purpose revenue limits established by the State Department of Education. In general, revenue limits were calculated for each school district by multiplying the ADA for such district by a base revenue limit per unit of ADA Revenue limit calculations were subject to adjustment in accordance with a number of factors designed to provide cost of living adjustments ("COLAs") and to equalize revenues among school districts of the same type. Funding of a school district's revenue limit was provided by a mix of local property taxes and State apportionments of basic and equalization aid. Since fiscal year 2013-14, school districts have been funded based on a uniform system of funding grants assigned to certain grade spans. See "-Local Control Funding Formula" herein.
Local Control Funding Formula. State Assembly Bill 97 (Stats. 2013, Chapter 47) ("AB 97"), enacted as part of the 2013-14 State budget, established the current system for funding school districts, charter schools and county offices of education. Certain provisions of AB 97 were amended and clarified by Senate Bill 91 (Stats. 2013, Chapter 49) ("SB 91 ").
The primary component of AB 97 was the implementation of the Local Control Funding Formula ("LCFF"), which replaced the revenue limit funding system for determining State apportionments, as well as the majority of categorical program funding. State allocations are now provided on the basis of target base funding grants per unit of ADA (a "Base Grant") assigned to each of four grade spans. Each Base Grant is subject to certain adjustments and add-ons, as discussed below. The LCFF was implemented over a period of eight years, during which an annual transition adjustment was calculated for each school district, equal to such district's proportionate share of appropriations included in the State budget to close the gap between the prior-year funding level and the target allocation following full implementation of the LCFF. In each year, school districts had the same proportion of their respective funding gaps closed, with dollar amounts varying depending on the size of a district's funding gap.
The Base Grants per unit of ADA for each grade span are as follows: (i) $6,845 for grades K-3; (ii) $6,947 for grades 4-6; (iii) $7,154 for grades 7-8; and (iv) $8,289 for grades 9-12. During the implementation period of the LCFF, Base Grants were required to be adjusted for COLAs by applying the implicit price deflator for government goods and services. Following full implementation of the LCFF, the provision of COLAs will be subject to appropriation for such adjustment in the annual State budget. The differences among Base Grants are linked to differentials in statewide average revenue limit rates by district type, and are intended to recognize the generally higher costs of education at higher grade levels. See also "-State Budget Measures" herein for information on the adjusted Base Grants provided for by current State budgetary legislation.
34 The Base Grants for grades K-3 and 9-12 are subject to adjustments of 10.4% and 2.6%, respectively, to cover the costs of class size reduction in early grades and the provision of career technical education in high schools. Following full implementation of the LCFF, and unless otherwise collectively bargained for, school districts serving students in grades K-3 must maintain an average class enrollment of 24 or fewer students in grades K-3 at each school site in order to continue receiving the adjustment to the K-3 Base Grant. Such school districts must also make progress towards this class size reduction goal in proportion to the growth in their funding over the implementation period. The LCFF also provides additional add-ons to school districts that received categorical block grant funding pursuant to the Targeted Instructional Improvement and Home-to-School Transportation programs during fiscal year 2012-13.
School districts that serve students of limited English proficiency ("EL" students) and students from low income families that are eligible for free or reduced priced meals, including foster youth ("LI" students), are eligible to receive additional funding grants. Enrollment counts are unduplicated, such that students may not be counted as both EL and LI. AB 97 authorizes a supplemental grant add-on ( each, a "Supplemental Grant") for school districts that serve EL/LI students, equal to 20% of the applicable Base Grant multiplied by such districts' percentage of unduplicated EL/LI student enrollment. School districts whose EL/LI populations exceed 55% of their total enrollment are eligible for a concentration grant add on ( each, a "Concentration Grant") equal to 50% of the applicable Base Grant multiplied the percentage of such district's unduplicated EL/LI student enrollment in excess of the 5 5% threshold.
The following table shows a breakdown of the District's ADA by grade span, total enrollment, and the percentage of EL/LI student enrollment, for fiscal years 2013-14 through 2018-19, and projected amounts for fiscal year 2019-20.
ADA, ENROLLMENT AND EL/LI ENROLLMENT PERCENTAGE Ocean View School District Fiscal Years 2013-14 through 2019-20
2 Average Daily Attendance(ll Enrollment< > %of Fiscal Total Total EL/LI 3 Year K-3 4-6 7-8 ADA Enrollment Enrollment< > 2013-14 3,948 3,0IO 2,057 9,014 9,223 44.2% 2014-15 3,674 2,951 1,987 8,612 9,0IO 44.5 2015-16 3,563 2,833 2,039 8,436 8,725 46.1 2016-17 3,414 2,782 2,009 8,204 8,467 46.7 2017-18 3,426 2,628 1,935 7,988 8,263 50.3 2018-19 3,329 2,529 1,878 7,736 7,998 50.1 4 2019-20( ) 3,204 2,503 1,782 7,488 7,723 56.1
(!) Except for fiscal year 2019-20, reflects ADA as of the second principal reporting period ("P-2 ADA"), which ends on or before the last attendance month prior to April 15 of each school year. An attendance month is equal to each four-week period of instruction beginning with the first day of school for a particular school district. Excludes students enrolled in charter schools. 2 ( ) Reflects certified enrollment as of the fall census day (the first Wednesday in October), which is reported to the State Longitudinal Pupil Achievement Data System ("CALPADS") in each school year and is used to calculate each school district's unduplicated EL/LI student enrollment. Adjustments may be made to the certified EL/LI counts by the State Department of Education. CALPADS figures exclude preschool students. Excludes students enrolled in charter schools 3 ( ) Reflects actual El/LI enrollment percentage for each year. However, for purposes of calculating Supplemental and Concentration Grants, a school district's fiscal year 2013-14 percentage of unduplicated EL/LI students was expressed solely as a percentage of its fiscal year 2013- 14 total enrollment. For fiscal year 2014-15, the percentage of unduplicated EL/LI enrollment was based on the two-year average of EL/LI enrollment in fiscal years 2013-14 and 2014-15. Since fiscal year 2015-16, a school district's percentage of unduplicated EL/LI students has been based on a rolling average of such district's EL/LI enrollment for the then-current fiscal year and the two immediately preceding fiscal years. 4 ( ) Budgeted. Source: Ocean View School District.
35 For certain school districts that would have received greater funding levels under the prior revenue limit system, the LCFF provides for a permanent economic recovery target ("ERT") add-on, equal to the difference between the revenue limit allocations such districts would have received under the prior system in fiscal year 2020-21, and the target LCFF allocations owed to such districts in the same year. To derive the projected funding levels, the LCFF assumes the discontinuance of deficit revenue limit funding, implementation of a COLA in fiscal years 2014-15 through 2020-21, and restoration of categorical funding to pre-recession levels. The ERT add-on will be paid incrementally over the implementing period of the LCFF. [The District does not qualify for the ERT add-on.]
The sum of a school district's adjusted Base, Supplemental and Concentration Grants will be multiplied by such district's P-2 ADA for the current or prior year, whichever is greater (with certain adjustments applicable to small school districts). This funding amount, together with any applicable ERT or categorical block grant add-ons, will yield a district's total LCFF allocation. Generally, the amount of annual State apportionments received by a school district will amount to the difference between such total LCFF allocation and such district's share of applicable local property taxes. Most school districts receive a significant portion of their funding from such State apportionments. As a result, decreases in State revenues may significantly affect appropriations made by the State Legislature to school districts.
Certain school districts, known as "basic aid" districts ( or "community supported" districts), have allocable local property tax collections that equal or exceed such districts' total LCFF allocation, and result in the receipt of no State apportionment aid. Basic aid school districts receive only special categorical funding, which is deemed to satisfy the "basic aid" requirement of $120 per student per year guaranteed by Article IX, Section 6 of the State Constitution. The implication for basic aid districts is that the legislatively determined allocations to school districts, and other politically determined factors, are less significant in determining their primary funding sources. Rather, property tax growth and the local economy are the primary determinants. The District does not currently qualify as a basic aid district.
Accountability. Regulations adopted by the State Board of Education require that school districts increase or improve services for EL/LI students in proportion to the increase in funds apportioned to such districts on the basis of the number and concentration of such EL/LI students, and detail the conditions under which school districts can use supplemental or concentration funding on a school-wide or district wide basis.
School districts are also required to adopt local control and accountability plans ("LCAPs") disclosing annual goals for all students, as well as certain numerically significant student subgroups, to be achieved in eight areas of State priority identified by the LCFF. LCAPs may also specify additional local priorities. LCAPs must specify the actions to be taken to achieve each goal, including actions to correct identified deficiencies with regard to areas of State priority. LCAPs covering a three-year period are required to updated annually thereafter. The State Board of Education has adopted a template LCAP for school districts.
Support and Intervention. AB 97, as amended by SB 91, established a new system of support and intervention to assist school districts in meeting the performance expectations outlined in their respective LCAPs. School districts must adopt their LCAPs ( or annual updates thereto) in tandem with their annual operating budgets, and not later than five days thereafter submit such LCAPs or updates to their respective county superintendents of schools. On or before August 15 of each year, a county superintendent may seek clarification regarding the contents of a district's LCAP ( or annual update thereto), and the district is required to respond to such a request within 15 days. Within 15 days of receiving such a response, the county superintendent can submit non-binding recommendations for amending the LCAP or annual update, and such recommendations must be considered by the respective
36 school district at a public hearing within 15 days. A district's LCAP or annual update must be approved by the county superintendent by October 8 of each year if the superintendent determines that (i) the LCAP or annual update adheres to the State template, and (ii) the district's budgeted expenditures are sufficient to implement the actions and strategies outlined in the LCAP.
A school district is required to receive additional support if its respective LCAP or annual update thereto is not approved, if the district requests technical assistance from its respective county superintendent, or if the district does not improve student achievement across more than one State priority for one or more student subgroups. Such support can include a review of a district's strengths and weaknesses in the eight State priority areas, or the assignment of an academic expert to assist the district with identifying and implementing programs designed to improve outcomes. Assistance may be provided by the California Collaborative for Educational Excellence, a state agency created by the LCFF and charged with assisting school districts achieve the goals set forth in their LCAPs. The State Board of Education has developed rubrics to assess school district performance and the need for support and intervention.
The State Superintendent of Public Instruction (the "State Superintendent") is further authorized, with the approval of the State Board of Education, to intervene in the management of persistently underperforming school districts. The State Superintendent may intervene directly or assign an academic trustee to act on his or her behalf In so doing, the State Superintendent is authorized to (i) modify a district's LCAP, (ii) impose budget revisions designed to improve student outcomes, and (iii) stay or rescind actions of the local governing board that would prevent such district from improving student outcomes; provided, however, that the State Superintendent is not authorized to rescind an action required by a local collective bargaining agreement.
Other State Sources. In addition to State allocations determined pursuant to the LCFF, the District receives other State revenues consisting primarily of restricted revenues designed to implement State mandated programs. Beginning in fiscal year 2013-14, categorical spending restrictions associated with a majority of State mandated programs were eliminated, and funding for these programs was folded into the LCFF. Categorical funding for certain programs was excluded from the LCFF, and school districts will continue to receive restricted State revenues to fund these programs.
Other Revenue Sources
Federal and Local Sources. The federal government provides funding for several of the District's programs, including special education programs, programs under the Every Student Succeeds Act, and specialized programs such as Drug Free Schools, Innovative Strategies, and Vocational & Applied Technology. In addition, school districts may receive additional local revenues beyond local property tax collections, such as from leases and rentals, interest earnings, interagency services, developer fees (as discussed below), redevelopment revenues (as discussed below), foundation revenues, and other local sources.
37 State Budget Measures
The following information concerning the State's budgets has been obtained from publicly available information which the District believes to be reliable; however, the District does not guarantee the accuracy or completeness of this information and has not independently verified such information. Furthermore, it should not be inferred from the inclusion of this information herein that the principal of or interest on the Bonds is payable from the general fund of the District. The Bonds are payable solely from the proceeds of an ad valorem property tax required to be levied in an amount sufficient for the payment thereof
2019-20 Budget. On June 27, 2019, the Governor signed into law the State budget for fiscal year 2019-20 (the "2019-20 Budget"). The following information is drawn from summaries of the 2019-20 Budget prepared by the State Department of Finance and the LAO.
For fiscal year 2018-19, the 2019-20 Budget projected total general fund revenues and transfers of $138 billion and total expenditures of $142.7 billion. The State was projected to end the 2018-19 fiscal year with total available general fund reserves of $20. 7 billion, including $5.4 billion in the traditional general fund reserve, $14.4 billion in the BSA and $900 million in the Safety Net Reserve Fund for the CalWORKs and Medi-Cal programs. For fiscal year 2019-20, the 2019-20 Budget projected total general fund revenues and transfers of $143.8 billion and authorized expenditures of $147.8 billion. The State was projected to end the 2019-20 fiscal year with total available general fund reserves of $18.8 billion, including $1.4 billion in the traditional general fund reserve, $16.5 billion in the BSA and $900 million in the Safety Net Reserve Fund. The 2019-20 Budget also authorized a deposit to the PSSSA of $376.5 million in order to comply with Proposition 2. The amount was projected to be below the threshold required to trigger certain maximum local reserve levels for school districts created by State legislation approved in 2014 (and amended in 2017). See "CONSTITUTIONAL AND STATUTORY PROVISIONS AFFECTING DISTRICT REVENUES AND APPROPRIATIONS - Proposition 2 - SB 858; SB 751."
For fiscal year 2019-20, the 2019-20 Budget set the minimum funding guarantee at $81.1 billion. With respect to K-12 education, ongoing per-pupil spending was set at $11,993. Other significant features with respect to K-12 education funding include the following:
• Local Control Funding Formula - An increase of $1.9 billion in Proposition 98 funding for the LCFF, reflecting a 3.26% COLA For fiscal year 2019-20, the adjusted Base Grants are as follows: (i) $8,503 for grades K-3, (ii) $7,818 for grades 4-6, (iii) $8,050 for grades 7-8, and (iv) $9,572 for grades 9-12. See also "- State Funding of Education - Local Control Funding Formula" herein.
• Settle-Up Payment - An increase of $686.6 million for K-14 school districts to pay the balance of past-year Proposition 98 funding owed through fiscal year 2017-18.
• Special Education - $645.3 million in ongoing Proposition 98 funding for special education. Specifically, the 2019-20 Budget allocated (i) $152.6 million to provide all special education local area plans at least the Statewide target rate for base special education funding, and (ii) $492. 7 million in special education funding, to be allocated to school districts based on the number of children between three to five years of age and with exceptional needs that are being served.
• Pension Costs - A $3.15 billion payment from non-Proposition 98 funds to CalSTRS and CalPERS, to reduce long-term liabilities for K-14 school districts. Of this amount, $850
38 million would be provided to buy down employer contribution rates in fiscal years 2019-20 and 2020-21. With these payments, CalSTRS employer contributions will be reduced from 18.13% to 17.1% in fiscal year 2019-20, and from 19.1% to 18.4% in fiscal year 2020-21. The CalPERS employer contribution will be reduced from 20. 7% to 19. 7% in fiscal year 2019-20, and the projected CalPERS employer contribution is expected to be reduced from 23.6% to 22.9 % in fiscal year 2020-21. The remaining $2.3 billion would be paid towards employers' long-term unfunded liability. See also "OCEAN VIEW SCHOOL DISTRICT - Retirement Programs" herein.
• After School Programs - $50 million in ongoing Proposition 98 funding to provide an increase of approximately 8.3% to the per-pupil daily rate for after school education and safety programs.
• Teacher Support - $43.8 million in one-time non-Proposition 98 funding to provide training and resources for classroom educators and paraprofessionals, to build capacity in key State priorities. The 2019-20 Budget also included $89.8 million in one-time, non-Proposition 98 funding to provide up to 4,487 grants for students enrolled in professional teacher preparation programs who commit to working in a high-need field at a priority school for at least four years.
• Broadband Infrastructure - $7.5 million in one-time, non-Proposition 98 funding for broadband infrastructure improvements at local educational agencies.
• Full-Day Kindergarten - $300 million in one-time, non-Proposition 98 funding to finance construction or retrofit of facilities to support full-day kindergarten programs.
• Wildfire-Related Cost Adjustments - An increase of $2 million in one-time Proposition 98 funding to reflect adjustments in the estimated for property tax backfill for basic aid school districts impacted by wildfires which occurred in 2017 and 2018. The 2019-20 Budget also held both school districts and charter schools impacted by wildfires in 2018 harmless in terms of State funding for two years.
• Proposition 51 - a total allocation of $1.5 billion in Proposition 51 bond funds for K-12 school facility projects.
For additional information regarding the 2019-20 Budget, see the State Department of Finance and LAO websites at www.dof.ca.gov and www.lao.ca.gov. However, the information presented on such website is not incorporated herein by reference.
Proposed 2020-21 Budget. On January 10, 2020, the Governor released his proposed State budget for fiscal year 2020-21 (the "Proposed 2020-21 Budget"). The following information is drawn from the summaries of the 2019-20 Budget prepared by the State Department of Finance and the LAO.
For fiscal year 2019-20, the Proposed 2020-21 Budget projects total general fund revenues and transfers of $146.5 billion and total expenditures of $149.7 billion. The State is projected to end the 2019-20 fiscal year with total available general fund reserves of $20 billion, including $3.1 billion in the traditional general fund reserve, $16 billion in the BSA and $900 million in the Safety Net Reserve Fund for the CalWORKs. The Proposed 2020-21 Budget also increases the deposit into the PSSA by $147.7 million, for a total of $524 million, in order to comply with Proposition 2. The amount continues to be below the threshold required to trigger certain maximum local reserve levels for school districts created by State legislation approved in 2014 (and amended in 2017). See "CONSTITUTIONAL AND
39 STATUTORY PROVISIONS AFFECTING DISTRICT REVENUES AND APPROPRIATIONS - Proposition 2 - SB 858; SB 751."
For fiscal year 2020-21, the Proposed 2020-21 Budget projects total general fund revenues and transfers of $151.6 billion and authorizes expenditures of $153.1 billion. The State is projected to end the 2020-21 fiscal year with total available general fund reserves of $20. 5 billion, including $1. 6 billion in the traditional general fund reserve, $18 billion in the BSA and $900 million in the Safety Net Reserve Fund. The Proposed 2020-21 Budget also authorizes a deposit to the PSSSA of $487 million in order to comply with Proposition 2. This amount is below the amount required to trigger certain maximum local reserve levels for school district. See "CONSTITUTIONAL AND STATUTORY PROVISIONS AFFECTING DISTRICT REVENUES AND APPROPRIATIONS -Proposition 2 - SB 858; SB 751." Pursuant to the provisions of Proposition 2, the Proposed 2020-21 Budget also projects a draw on the PSSSA of approximately $37.6 million.
The Proposed 2020-21 Budget makes certain revisions to Proposition 98 funding levels set by prior budgetary legislation. For fiscal year 2018-19, the minimum funding guarantee is revised to $78.4 billion, an increase of $301.5 million from prior levels. For fiscal year 2019-20, the minimum funding guarantee is revised to $81. 6 billion, an increase of $51 7 million from the prior level. These increases are due largely to increases in property tax revenues in fiscal year 2018-19, and increases in State general fund revenues in both fiscal years.
For fiscal year 2020-21, the Proposed 2020-21 Budget sets the minimum funding guarantee at $84 billion, and increase of approximately $2.6 billion over the revised prior year level. With respect to K-12 education, ongoing per-pupil spending is set at $17,964. Due to the year-to-year growth in State revenues and a projected decline in ADA, fiscal year 2020-21 is projected to be a "Test l" year. Other significant features with respect to K-12 education funding include the following:
• Local Control Funding Formula - An increase of $1.2 billion in Proposition 98 funding for the LCFF, reflecting a 2.29% COLA This would bring total LCFF funding to $64.2 billion. The Proposed 2020-21 Budget also includes $600,000 in one-time Proposition 98 funding to improve LCFF fiscal accountability by making Statewide LCAP information more accessible to the public. Finally, the Proposed 2020-21 Budget includes an increase of $5. 7 million in LCFF funding for county offices of education, reflecting a 2.29% COLA See also "- State Funding of Education -Local Control Funding Formula" herein.
• Categorical Programs - An increase of $122.4 million in Proposition 98 funding for categorical programs that remain outside the LCFF, reflecting a 2.29% COLA
• Special Education - A new special education base funding formula using a three-year rolling average of local educational agency ADA allocated to special education local plans areas. This funding level would include a 15% increase in the Proposition 98 contribution to the funding rate provided in the prior year's budgetary legislation. The Proposed 2020-21 Budget also includes an additional $250 million in ongoing Proposition 98 funding based on the number of children between ages three and five with exceptional needs. Funding would be allocated on a one-time basis to school districts based on the number of preschool-age children with disabilities.
• Educator Recruitment and Professional Development - $900 million in one-time Proposition 98 funding for six initiatives aimed at improving school employee training, recruitment and retention.
40 • Community Schools - $300 million in one-time Proposition 98 funding to implement community school models which typically integrate health, mental health and other services for students and families and provides these services directly on school campuses.
• Opportunity Grants - $300 million in one-time Proposition 98 funding to establish opportunity grants for low-performing schools and school districts and to expand the Statewide system of support therefor.
• Computer Science - $15 million in one-time Proposition 98 funding for grants to local educational agencies to support K-12 teachers earning a supplemental authorization to their teaching credential to teach computer science. The Proposed 2020-21 Budget also provides $2.5 million in one-time Proposition 98 funding for county offices of education to identify, compile and share resources for computer science professional development, curriculum and best practices.
• School Nutrition - $60 million in Proposition 98 funding to increase funding for school nutrition. Additionally, the Proposed 2020-21 Budget includes $10 million in Proposition 98 funding to provide training for school food service workers.
• School Facilities - $400 million in one-time, non-Proposition 98 funding for eligible school districts to construct new, or to retrofit existing, facilities for full-day kindergarten programs.
• Proposition 51 - a total allocation of $1.5 billion in Proposition 51 bond funds for K-12 school facility projects.
For additional information regarding the 2019-20 Budget, see the State Department of Finance website at ivw_:_vv.gof_ca.gmc and the LAO's website at yyyVV{.lag.c
Future Actions. The District cannot predict what actions will be taken in the future by the State legislature and the Governor to address changing State revenues and expenditures. The District also cannot predict the impact such actions will have on State revenues available in the current or future years for education. The State budget will be affected by national and State economic conditions and other factors over which the District will have no control. Certain actions or results could produce a significant shortfall of revenue and cash, and could consequently impair the State's ability to fund schools. State budget shortfalls in future fiscal years may also have an adverse financial impact on the financial condition of the District. However, the obligation to levy ad valorem property taxes upon all taxable property within the District for the payment of principal of and interest on the Bonds would not be impaired.
Budget Process
State Budgeting Requirements. The District is required by provisions of the Education Code to maintain a balanced budget each year, in which the sum of expenditures and the ending fund balance cannot exceed the sum of revenues and the carry-over fund balance from the previous year. The State Department of Education imposes a uniform budgeting and accounting format for school districts. The budget process for school districts was substantially amended by Assembly Bill 1200 ("AB 1200"), which became State law on October 14, 1991. Portions of AB 1200 are summarized below. Additional amendments to the budget process were made by Assembly Bill 2585, effective as of September 9, 2014, including the elimination of the dual budget cycle option for school districts. All school districts must now be on a single budget cycle.
41 School districts must adopt a budget on or before July 1 of each year. The budget must be submitted to the county superintendent within five days of adoption or by July 1, whichever occurs first. The county superintendent will examine the adopted budget for compliance with the standards and criteria adopted by the State Board of Education and identify technical corrections necessary to bring the budget into compliance, and will determine if the budget allows the district to meet its current obligations, if the budget is consistent with a financial plan that will enable the district to meet its multi-year financial commitments, whether the budget includes the expenditures necessary to implement a local control and accountability plan, and whether the budget's ending fund balance exceeds the minimum recommended reserve for economic uncertainties.
On or before September 15, the county superintendent will approve, conditionally approve or disapprove the adopted budget for each school district. Budgets will be disapproved if they fail the above standards. The district board must be notified by September 15 of the county superintendent's recommendations for revision and reasons for the recommendations. The county superintendent may assign a fiscal advisor or appoint a committee to examine and comment on the superintendent's recommendations. The committee must report its findings no later than September 20. Any recommendations made by the county superintendent must be made available by the district for public inspection. No later than October 22, the county superintendent must notify the State Superintendent of Public Instruction of all school districts whose budget may be disapproved.
A school district whose budget has been disapproved must revise and readopt its budget by September 8, reflecting changes in projected income and expense since July 1, including responding to the county superintendent's recommendations. The county superintendent must determine if the budget conforms with the standards and criteria applicable to final school district budgets and not later than November 8, must approve or disapprove the revised budgets. If the budget is disapproved, the county superintendent will call for the formation of a budget review committee pursuant to Education Code Section 42127.1. No later than November 8, the county superintendent must notify the State Superintendent of Public Instruction of all school districts whose budget has been disapproved. Until a school district's budget is approved, the school district will operate on the lesser of its proposed budget for the current fiscal year or the last budget adopted and reviewed for the prior fiscal year.
Interim Financial Reports. Under the provisions of AB 1200, each school district is required to file interim certifications with the county office of education as to its ability to meet its financial obligations for the remainder of the then-current fiscal year and, based on current forecasts, for the subsequent two fiscal years. The county office of education reviews the certification and issues either a positive, negative or qualified certification. A positive certification is assigned to any school district that will meet its financial obligations for the current fiscal year and subsequent two fiscal years. A negative certification is assigned to any school district that will be unable to meet its financial obligations for the remainder of the current fiscal year or the subsequent fiscal year. A qualified certification is assigned to any school district that may not meet its financial obligations for the current fiscal year or the two subsequent fiscal years.
Within the past five years, the District submitted, and the County superintendent of schools accepted, "qualified" designations on its interim financial reports for fiscal year 2014-15. Since fiscal year 2014-15, the District has submitted, and the County superintendent of schools has accepted, "positive" certifications on each of its interim financial reports.
Budgeting Trends. The table on the following page summarizes the District's adopted general fund budgets for fiscal years 2015-16 through 2019-20, ending results for fiscal years 2015-16 through 2017-18, and estimated actual results for fiscal year 2018-19.
42 GENERAL FUND BUDGETING(!) Ocean View School District Fiscal Years 2015-16 through 2019-20
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year 2015-16 2016-17 2017-18 2018-19 2019-20 REVENUES Adopted Projected 4 Budgeted<2l Audited<2l Budgeted<2l Audited<2l Budgeted<2l Audited<2l Budgeted<2l Audited<2l Budget<3l Actua1s< l LCFF /Revenue Limit Sources $66,117,638 $66,280,167 $68,264,349 $68,350,229 $68,114,294 $61,185,761 $70,663,852 $71,084,855 $71,214,795 $71,459,071 Federal Sources 4,092,966 4,620,202 3,779,916 4,471,344 3,762,397 4,779,648 4,309,363 4,554,713 4,298,468 4,312,240 Other State Sources 6,324,920 l0,053,207 7,302,981 7,390,369 5,886,047 7,106,030 6,068,021 l l,849,865 2,382,193 6,113,61 l Other Local Sources 5,872,679 7 319 197 6 398 307 7 487 925 5,272,346 6,668,208 5,686,883 7 554 965 5 854 844 5 913 803 TOTAL REVENUES 82,408,203 88,272,773 85,745,553 87,699,867 83,035,084 86,739,647 86,728,119 95,044,398 83,750,300 87,792,326
EXPENDITURES Certificated Salaries 38,327,074 40,831,542 41,454,150 41,948,675 41,278,117 40,959,780 39,168,478 41,245,824 40,871,181 40,909,968 Classified Salaries 14,774,879 15,828,090 15,980,872 15,929,541 16,419,318 16,103,583 15,733,024 16,180,315 16,116,121 16,184,068 Employee Benefits 14,007,796 17,156,282 18,870,951 18,357,764 20,058,859 19,857,746 20,565,638 25,487,l lO 18,884,479 22,531,383 Books and Supplies 3,469,913 3,535,376 2,537,415 2,370,040 3,942,378 4,080,951 3,492,342 2,220,248 2,793,343 3,085,666 Services, Other Operating Expenses 6,081,451 6,750,769 6,709,369 7,490,614 6,307,128 7,558,197 7,274,434 7,400,558 6,439859 7,018,701 Capital Outlay 125,000 32,476 177,000 115,254 79,020 153,725 75,581 527,835 187,782 160,931 Other Outgo 173 797 183 590 87 145 291 041 66 575 55,713 97 094 (94,81 l) 180,672 166,672 TOTAL EXPENDITURES 76,959,910 84,318,125 85,816,902 86,502,929 87,959,724 88,769,695 86,406,591 92,967,079 85,473,437 90,057,390
Excess (Deficiency) of Revenues Over 5,448,293 3,954,648 (71,349) l,196,938 ( 4,942,640) (2,030,048) 321,528 2,077,319 (l,723,137) (2,265 ,064) Expenditures
OTHER FINANCING SOURCES (USES) Transfers In Other Sources Transfers Out (500,000) (250,000) (250,000) (250,000) (250,000) Total Other Financing Sources (Uses) (500,000) (250,000) (250,000) (250,000) (250,000) Net Change In Fund Balance 4,948,293 3,954,648 (321,349) l,196,938 (5,174,640) (2,030,048) 71,528 2,077,319 (l,973,137) (2,265 ,064) Beginning Balance, July 1 9 125 536 9 125 536 13 080 184 13 080 184 14 277 122 14 277 122 12 247 074 12 247 074 14 324 393 14 324 393 Fund Balance, June 30 $14 073 829 $13 080 184 $10033319 $14 277 122 $9 102 482 $12 247 074 $12 318 602 $14 324 393 $12 351 256 $12 059 329
(!) All amounts rounded to nearest whole number. Reflects combined unrestricted and restricted general fund. On-behalf payments are not included in budgeted revenues and expenditures, however on behalf payments of $2,500,324 are included in the actual revenues and expenditures for fiscal year 2015-16. In addition, due to the consolidation of the Deferred Maintenance Fund and the Special Reserve Fund for Other than Capital Outlay Projects into the General Fund for reporting purposes, revenues and expenditures pertaining to such funds are included in the actual revenue and expenditures for fiscal years 2015-16 through 2018-19, however are not included in the General Fund budgets for such fiscal years. (2) From the District's Comprehensive Audited Financial Statements for fiscal years 2015-16 through 2018-19, respectively. (3) From the District's 2019-20 Adopted Budget approved by the Board on June 25, 2019. (4) From the District's 2019-20 Interim Financials approved by the Board on December 10, 2019. Source: Ocean View School District.
43 Comparative Financial Statements
The District's audited financial statements for the year ended June 30, 2019 are included for reference in APPENDIX B hereto. Audited financial statements for the District for the fiscal year ended June 30, 2019, and prior fiscal years are on file with the District and available for public inspection at the Office of the Deputy Superintendent, Administrative Services of the District, 17200 Pinehurst Lane, Huntington Beach, California, 92647 Telephone: (714) 847-2551. The following table reflects the District's revenues, expenditures and fund balances for fiscal years 2014-15 through 2018-19.
AUDITED STATEMENT OF GENERAL FUND REVENUES, EXPENDITURES AND FUND BALANCES Ocean View School District Fiscal Years 2014-15 through 2018-19 Audited Audited Audited Audited Audited Actuals Actuals Actuals Actuals Actuals 2014-15 2015-16 2016-17 2017-18 2018-19 REVENUES: Revenue limit sources/LCFF sources $62,058,200 $66,280,167 $68,350,229 $68,185,761 $71,084,855 Federal sources 3,848,803 4,620,202 4,471,344 4,779,648 4,554,713 Other State sources 4,936,339 I0,053,207 7,390,369 7,106,030 l l,849,865 Other local sources 7 317 565 7 319 197 7 487 925 6,668,208 7 554 965 Total Revenues 78,160,907 88,272,773 87,699,867 86,739,647 95,044,398
EXPENDITURES: Instruction 52,457,974 57,008,026 57,998,229 60,510,704 62,785,207 Instruction-related activities: Supervision of instruction and administration 2,172,091 2,904,175 3,163,889 2,658,668 2,804,332 Instructional library, media and technology l,179,234 l,015,155 995,435 l,024,418 817,633 School site administration 4,809,670 5,373,764 5,730,825 5,801,117 5,640,370 Pupil services: Home-to-school transportation 2,418,717 2,262,933 2,224,565 2,335,885 2,418,080 Food services l,OIO IO All other pupil services 2,673,908 3,118,926 3,249,283 2,834,082 3,264,035 General administration: Data processing l,147,91 l 878,482 752,542 931,752 l,l l l,500 All other administration 4,246,761 4,051,457 4,336,099 4,197,252 5,488,665 Plant services 9,430,968 7,238,387 7,505,404 8,004,073 8,141,304 Facility acquisition and construction Ancillary services 63,025 53,885 54,858 49,713 99,776 Community services 508 5,976 3,975 2,282 570 Other outgo 370,235 386,991 467,867 399,791 188,493 Debt Service: Principal 25,003 17,303 18,267 19,290 l,656 Interest and other 3 992 2 655 I 691 668 ~ Total Expenditures 81,00I,007 84,318,125 86,502,929 88,769,695 92,067,079
Excess (Deficiency) of (2,840,IOO) 3,954,648 l,196,938 (2,030,048) 2,077,319 Revenue Over Expenditures
Other Financing Sources (Uses): Transfer in Other sources Transfer out Net Financing Sources Uses
Net Change in Fund Balance (2,840,IOO) 3,954,648 l,196,938 (2,030,048) 2,077,319
Fund Balance at Beginning of Year l l 965 636 9,125,536 13 080 184 14,277,122 12,247,074 Fund Balance at End of Year $9 125 536 $13 080 184 $14 277 126 $12 247 074 $14 324 393
Source: Ocean View School District.
44 Accounting Practices
The accounting policies of the District conform to generally accepted accounting principles in accordance with policies and procedures of the California School Accounting Manual. This manual, according to Education Code Section 41010, is to be followed by all California school districts. Revenues are recognized in the period in which they become both measurable and available to finance expenditures of the current fiscal period. Expenditures are recognized in the period in which the liability is incurred.
OCEAN VIEW SCHOOL DISTRICT
The information in this section concerning the operations of the District and the District's operating budget are provided as supplementary information only, and it should not be inferred from the inclusion of this information in this Official Statement that the principal of or interest on the Bonds is payable from the general fund of the District. The Bonds will be payable solely from the proceeds of an ad valorem property tax which is required to be levied by the County in an amount sufficient for the payment thereof See "THE BONDS-Security and Sources for Payment" herein.
Introduction
The District was established in 1874 and encompasses 15 square miles in western Orange County and serves portions of the northern half of Huntington Beach, as well as portions of Westminster, Fountain Valley and Midway City. The District operates 10 elementary schools, four middle schools and three pre-schools. For fiscal year 2019-20, the District has a budgeted ADA of 7,488 students, and taxable property within the District has an assessed valuation of $17,169,568,648.
Unless otherwise indicated, the following financial, statistical and demographic data has been provided by the District. Additional information concerning the District and copies of subsequent audited financial reports of the District may be obtained by contacting: Ocean View School District, Attention: Deputy Superintendent, Administrative Services.
Administration
The District is governed by a five-member Board of Trustees (the "Board"), each member of which is elected to a four-year term. Elections for positions to the Board are held every two years, alternating between two and three available positions. Current members of the Board, together with their offices and the dates their term expires, are listed below:
BOARD OF TRUSTEES Ocean View School District Name Term Expires Gina Clayton-Tarvin President December 2020 Patricia Singer Vice President December 2022 Jack C. Souders Clerk December 2022 John Briscoe Member December 2022 Norm Westwell Member December 2020
The Superintendent of the District is responsible for administering the affairs of the District in accordance with the policies of the Board. Currently, Dr. Carol Hansen is the Superintendent of the District. Brief biographies of the Superintendent and the Deputy Superintendent, Administrative Services follow:
Carol Hansen, Ed.D., Superintendent. Dr. Hansen was appointed Superintendent of the District effective July 2015. Immediately prior thereto, she served as the Assistant Superintendent for Human
45 Resources for the ABC Unified School District. Dr. Hansen's previous experience also includes serving as a principal, assistant principal, teacher and coach. Dr. Hansen received a Doctorate degree in Educational Administration from the University of California, Irvine, a Master of Arts degree in Educational Administration from California State University, Long Beach and a Bachelor of Arts degree in Physical Education from California State University, Long Beach.
Michael Conroy, Ed.D., Deputy Superintendent, Administrative Services. Dr. Conroy was appointed Deputy Superintendent of the District effective July 2015. Immediately prior thereto, he served as the Assistant Superintendent of Business and Chief Business Official for the Paramount Unified School District and, before that, for the Magnolia School District. Dr. Conroy's previous experience also includes serving as a principal, assistant principal and high school teacher. Dr. Conroy received a Doctorate and Master's degree from the University of Southern California and a Bachelor's degree in Business Administration from California State University, Long Beach.
District Growth
The following table reflects the ADA and enrollment for the District for the last nine years, and a projected amount for fiscal year 2019-20.
AVERAGE DAILY ATTENDANCE AND ENROLLMENT Ocean View School District Fiscal Years 2010-11 through 2019-20
1 2 Fiscal Year Total ADA< ) Enrollment< ) 2010-11 9,241 9,554 2011-12 9,240 9,461 2012-13 9,216 9,418 2013-14 9,014 9,223 2014-15 8,612 9,010 2015-16 8,436 8,725 2016-17 8,204 8,467 2017-18 7,988 8,263 2018-19 7,736 7,998 3 2019-20( ) 7,488 7,723
(I) Reflects ADA as of the second principal reporting period (P-2 ADA), ending on or before the last attendance month prior to April 15 of each school year. Includes K-12, home and hospital, special education 2 C J Fiscal years 2010-11 through 2012-13 enrollment as of October report submitted to the CBEDS. Fiscal years 2013-14 through 2018-19 reflect certified enrollment as of the fall census day (the first Wednesday in October), as reported to CALFADS. 3 C J Budgeted. Source: Ocean View School District.
Charter School
The California Legislature enacted the Charter Schools Act of 1992 (California Education Code Sections 47600-47616.5) to permit teachers, parents, students, and community members to establish schools that would be free from most state and district regulations. Revised in 1998, California's charter school law states that local boards are the primary charter approving agency and that county panels can appeal a denied charter. State education standards apply, and charter schools are required to use the same student assessment instruments. The charter school is exempt from state and local education rules and regulations, except as specified in the legislation.
The District has certain fiscal oversight and other responsibilities with respect to both independent and affiliated charter schools established within its boundaries. However, independent charter schools receive funding directly from the State, and such funding would not be reported in the
46 District's audited financial statements. Affiliated charter schools receive their funding from the District, and would be reflected in the District's audited financial statements.
There is one independent charter school currently operating within the District.
Labor Relations
The District currently employs 402 full-time certificated employees, 26 part-time certificated employees, 136 full-time classified employees, and 527 part-time classified employees. These employees, except management and some part-time employees, are represented by the bargaining units as noted below:
LABOR RELATIONS Ocean View School District
Number of Employees in Contract Labor Organization Organization Expiration Date Ocean View Teachers Association 348 June 30, 2020 Classified School Employees Association 469 June 30, 2019Cll
(IJ Currently operating under the terms of the expired contract. Source: Ocean View School District.
Retirement Programs
The information set forth below regarding the District's retirement programs, other than the information provided by the District regarding its annual contributions thereto, has been obtained from publicly available sources which are believed to be reliable but are not guaranteed as to accuracy or completeness, and should not to be construed as a representation by either the District, the Financial Advisor or the Underwriter.
STRS. All full-time certificated employees, as well as certain classified employees, are members of the State Teachers' Retirement System ("STRS"). STRS provides retirement, disability and survivor benefits to plan members and beneficiaries under a defined benefit program (the "STRS Defined Benefit Program"). The STRS Defined Benefit Program is funded through a combination of investment earnings and statutorily set contributions from three sources: employees, employers, and the State. Benefit provisions and contribution amounts are established by State statutes, as legislatively amended from time to time.
Prior to fiscal year 2014-15, and unlike typical defined benefit programs, none of the employee, employer nor State contribution rates to the STRS Defined Benefit Program varied annually to make up funding shortfalls or assess credits for actuarial surpluses. In recent years, the combined employer, employee and State contributions to the STRS Defined Benefit Program have not been sufficient to pay actuarially required amounts. As a result, and due to significant investment losses, the unfunded actuarial liability of the STRS Defined Benefit Program has increased significantly in recent fiscal years. In September 2013, STRS projected that the STRS Defined Benefit Program would be depleted in 31 years assuming existing contribution rates continued, and other significant actuarial assumptions were realized. In an effort to reduce the unfunded actuarial liability of the STRS Defined Benefit Program, the State passed the legislation described below to increase contribution rates.
Prior to July 1, 2014, K-14 school districts were required by such statutes to contribute 8.25% of eligible salary expenditures, while participants contributed 8% of their respective salaries. On June 24, 2014, the Governor signed AB 1469 ("AB 1469") into law as a part of the State's fiscal year 2014-15 budget. AB 1469 seeks to fully fund the unfunded actuarial obligation with respect to service
47 credited to members of the STRS Defined Benefit Program before July 1, 2014 (the "2014 Liability"), within 32 years, by increasing member, K-14 school district and State contributions to STRS. Commencing July 1, 2014, the employee contribution rate increased over a three-year phase-in period in accordance with the following schedule:
MEMBER CONTRIBUTION RATES STRS (Defined Benefit Program)
STRS Members Hired Prior to STRS Members Hired Effective Date January 1, 2013 After January 1, 2013 July 1, 2014 8.150% 8.150% July 1, 2015 9.200 8.560 July 1, 2016 10.250 9.205
Source: AB 1469.
Pursuant to the Reform Act ( defined below), the contribution rates for members hired after the Implementation Date ( defined below) will be adjusted if the normal cost increases by more than 1% since the last time the member contribution was set. The contribution rate for employees hired after the Implementation Date (defined below) increased from 9.205% of creditable compensation for fiscal year commencing July 1, 2017 to 10.205% of creditable compensation effective July 1, 2018. For fiscal year commencing July 1, 2019, the contribution rate for employees hired after the Implementation Date ( defined below) will be 10.205%.
Pursuant to AB 1469, K-14 school districts' contribution rate will increase over a seven-year phase-in period in accordance with the following schedule:
K-14 SCHOOL DISTRICT CONTRIBUTION RATES STRS (Defined Benefit Program)
Effective Date K-14 school districts July 1, 2014 8.88% July 1, 2015 10.73 July 1, 2016 12.58 July 1, 2017 14.43 July 1, 2018 16.28 July 1, 2019 18.13 July 1, 2020 19.10
Source: AB 1469.
Based upon the recommendation from its actuary, for fiscal year 2021-22 and each fiscal year thereafter the STRS Teachers' Retirement Board (the "STRS Board"), is required to increase or decrease the K-14 school districts' contribution rate to reflect the contribution required to eliminate the remaining 2014 Liability by June 30, 2046; provided that the rate cannot change in any fiscal year by more than 1% of creditable compensation upon which members' contributions to the STRS Defined Benefit Program are based; and provided further that such contribution rate cannot exceed a maximum of 20.25%. In addition to the increased contribution rates discussed above, AB 1469 also requires the STRS Board to report to the State Legislature every five years (commencing with a report due on or before July 1, 2019) on the fiscal health of the STRS Defined Benefit Program and the unfunded actuarial obligation with respect to service credited to members of that program before July 1, 2014. The reports are also required to identify adjustments required in contribution rates for K-14 school districts and the State in order to eliminate the 2014 Liability.
48 On June 27, 2019, the Governor signed SB 90 ("SB 90") into law as a part of the 2019-20 Budget. Pursuant to SB 90, the State Legislature appropriated $2.246 billion to be transferred to the Teacher's Retirement Fund for the STRS Defined Benefit Program to pay in advance, on behalf of employers, part of the contributions required for fiscal years 2019-20 and 2020-21, resulting in K-14 school districts having to contribute 1. 03% less in fiscal year 2019-20 and 0. 70% less in fiscal year 2020- 21. The remainder of the payment not committed for the reduction in employer contribution rates described above, is required to be allocated to reduce the employer's share of the unfunded actuarial obligation determined by the STRS Board upon recommendation from its actuary. See also "DISTRICT FINANCIAL INFORMATION - State Budget Measures" herein.
The District's contribution to STRS was $4,226,877 in fiscal year 2015-16, $5,136,815 in fiscal year 2016-17, $5,822,110 in fiscal year 2017-18 and $6,547,005 in fiscal year 2018-19. The District currently projects $6,944,153 as its contribution to STRS for fiscal year 2019-20.
The State also contributes to STRS, currently in an amount equal to 7.328% for fiscal year 2018- 19 and 7.828% for fiscal year 2019-20. The State's contribution reflects a base contribution rate of 2.017%, and a supplemental contribution rate that will vary from year to year based on statutory criteria. Based upon the recommendation from its actuary, for fiscal year 2017-18 and each fiscal year thereafter, the STRS Board is required, with certain limitations, to increase or decrease the State's contribution rates to reflect the contribution required to eliminate the unfunded actuarial accrued liability attributed to benefits in effect before July 1, 1990.
In addition, the State is currently required to make an annual general fund contribution up to 2. 5% of the fiscal year covered STRS member payroll to the Supplemental Benefit Protection Account (the "SBPA"), which was established by statute to provide supplemental payments to beneficiaries whose purchasing power has fallen below 85% of the purchasing power of their initial allowance.
PERS. Classified employees working four or more hours per day are members of the Public Employees' Retirement System ("PERS"). PERS provides retirement and disability benefits, annual cost of-living adjustments, and death benefits to plan members and beneficiaries. Benefit provisions are established by the State statutes, as legislatively amended from time to time. PERS operates a number of retirement plans including the Public Employees Retirement Fund ("PERF"). PERF is a multiple employer defined benefit retirement plan. In addition to the State, employer participants at June 30, 2018 included 1,579 public agencies and 1,313 K-14 school districts and charter schools. PERS acts as the common investment and administrative agent for the member agencies. The State and K-14 school districts (for "classified employees," which generally consist of school employees other than teachers) are required by law to participate in PERF. Employees participating in PERF generally become fully vested in their retirement benefits earned to date after five years of credited service. One of the plans operated by PERS is for K-14 school districts throughout the State (the "Schools Pool").
Contributions by employers to the Schools Pool are based upon an actuarial rate determined annually and contributions by plan members vary based upon their date of hire. The District is currently required to contribute to PERS at an actuarially determined rate, which is 20.733% of eligible salary expenditures in fiscal year 2019-20. Participants enrolled in PERS prior to January 1, 2013 contribute at a rate established by statute, which is 7% of their respective salaries in fiscal year 2019-20, while participants enrolled after January 1, 2013 contribute at an actuarially determined rate, which is 7% in fiscal year 2019-20. See "-California Public Employees' Pension Reform Act of 2013" herein.
Pursuant to SB 90, the State Legislature appropriated $144 million for fiscal year 2019-20 and $100 million for fiscal year 2020-21 to be transferred to the Public Employees' Retirement Fund, to pay in advance, on behalf ofK-14 school district employers, part of the contributions required for K-14 school district employers for such fiscal years. In addition, the State Legislature appropriated $660 million to be applied toward certain unfunded liabilities for K-14 school district employers. As a result of the payments
49 made by the State pursuant to SB 90, the employer contribution rate for fiscal year 2019-20 is 19. 721 %. See also "DISTRICT FINANCIAL INFORMATION - State Budget Measures" herein.
The District's contribution to PERS was $1,845,099 in fiscal year 2015-16, $2,142,682 in fiscal year 2016-17, $2,610,441 in fiscal year 2017-18 and $2,972,755 in fiscal year 2018-19. The District currently projects $3,351,014 as its contribution to STRS for fiscal year 2019-20.
State Pension Trusts. Each of STRS and PERS issues a separate comprehensive financial report that includes financial statements and required supplemental information. Copies of such financial reports may be obtained from each of STRS and PERS as follows: (i) STRS, P.O. Box 15275, Sacramento, California 95851-0275; (ii) PERS, P.O. Box 942703, Sacramento, California 94229-2703. Moreover, each of STRS and PERS maintains a website, as follows: (i) STRS: www.calstrs.com; (ii) PERS: www.ca)pyrs.cagov. However, the information presented in such financial reports or on such websites is not incorporated into this Official Statement by any reference.
Both STRS and PERS have substantial statewide unfunded liabilities. The amount of these unfunded liabilities will vary depending on actuarial assumptions, returns on investments, salary scales and participant contributions. The following table summarizes information regarding the actuarially-determined accrued liability for both STRS and PERS. Actuarial assessments are "forward looking" information that reflect the judgment of the fiduciaries of the pension plans, and are based upon a variety of assumptions, one or more of which may not materialize or be changed in the future. Actuarial assessments will change with the future experience of the pension plans.
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50 FUNDED STATUS STRS (Defined Benefit Program) and PERS (Schools Pool) (Dollar Amounts in Millions) (l) Fiscal Years 2010-11 through 2017-18 STRS Value of Trust Value of Assets Unfunded Trust Unfunded Fiscal Accrued Liability Assets Liability 3 Year Liability (MVAi2) (MVAi2) (AVAi3) (AVAi ) 2010-11 $208,405 $147,140 $68,365 $143,930 $64,475 2011-12 215,189 143,118 80,354 144,232 70,957 2012-13 222,281 157,176 74,374 148,614 73,667 2013-14 231,213 179,749 61,807 158,495 72,718 2014-15 241,753 180,633 72,626 165,553 76,200 2015-16 266,704 177,914 101,586 169,976 96,728 2016-17 286,950 197,718 103,468 179,689 107,261 2017-18 297,603 211,367 101,992 190,451 107,152 PERS Value of Value of Trust Unfunded Trust Unfunded Fiscal Accrued Assets Liability Assets Liability 3 Year Liability (MVA} (MVA} (AVAi3) (AVAi ) 2010-11 $58,358 $45,901 $12,457 $51,547 $6,811 2011-12 59,439 44,854 14,585 53, 791 5,648 2012-13 61,487 49,482 12,005 56,250 5,237 2013-14 65,600 56,838 8,761 (4) (4) 2014-15 73,325 56,814 16,511 (4) (4) 2015-16 77,544 55,785 21,759 (4) (4) 2016-17 84,416 60,865 23,551 (4) (4) 2017-18 92,071 64,846 27,225 (4) (4)
(!) Amounts may not add due to rounding. (2) Reflects market value of assets, including the assets allocated to the SBPA reserve. Since the benefits provided through the SBPA are not a part of the projected benefits included in the actuarial valuations summarized above, the SBPA reserve is subtracted from the SIRS Defined Benefit Program assets to arrive at the value of assets available to support benefits included in the respective actuarial valuations. (3) Reflects actuarial value of assets. (4) Effective for the June 30, 2014 actuarial valuation, PERS no longer uses an actuarial value of assets. Source: PERS Schools Pool Actuarial Valuation; STRS Defined Benefit Program Actuarial Valuation.
The STRS Board has sole authority to determine the actuarial assumptions and methods used for the valuation of the STRS Defined Benefit Program. Based on the multi-year CalSTRS Experience Analysis (spanning from July 1, 2010, through June 30, 2015), on February 1, 2017, the STRS Board adopted a new set of actuarial assumptions that reflect member's increasing life expectancies and current economic trends. These new assumptions were first reflected in the STRS Defined Benefit Program Actuarial Valuation, as of June 30, 2016 (the "2016 STRS Actuarial Valuation"). The new actuarial assumptions include, but are not limited to: (i) adopting a generational mortality methodology to reflect past improvements in life expectancies and provide a more dynamic assessment of future life spans, (ii) decreasing the investment rate of return (net of investment and administrative expenses) to 7.25% for the 2016 STRS Actuarial Valuation and 7.00% for the June 30, 2017 actuarial evaluation (the "2017 STRS Actuarial Valuation"), and (iii) decreasing the projected wage growth to 3.50% and the projected inflation rate to 2.75%. The 2017 STRS Actuarial Valuation continues using the Entry Age Normal Actuarial Cost Method.
51 Based on salary increases less than assumed and actuarial asset gains recognized from the current and prior years, the STRS Defined Benefit Program Actuarial Valuation, as of June 30, 2018 (the "2018 STRS Actuarial Valuation") reports that the unfunded actuarial obligation decreased by $109 million since the 2017 STRS Actuarial Valuation and the funded ratio increased by 1.4% to 64.0% over such time period.
According to the 2018 STRS Actuarial Valuation, the future revenues from contributions and appropriations for the STRS Defined Benefit Program are projected to be approximately sufficient to finance its obligations with a projected ending funded ratio in fiscal year ending June 30, 2046 of 99.9%, except for a small portion of the unfunded actuarial obligation related to service accrued on or after July 1, 2014 for member benefits adopted after 1990, for which AB 1469 provides no authority to the S TRS Board to adjust rates to pay down that portion of the unfunded actuarial obligation. This finding reflects the scheduled contribution rate increases directed by statute, assumes additional increases in the scheduled contribution rates allowed under the current law will be made, and is based on the valuation assumptions and valuation policy adopted by the STRS Board, including a 7.00% investment rate of return assumption.
In recent years, the PERS Board of Administration (the "PERS Board") has taken several steps, as described below, intended to reduce the amount of the unfunded accrued actuarial liability of its plans, including the Schools Pool.
On March 14, 2012, the PERS Board voted to lower the PERS' rate of expected price inflation and its investment rate of return (net of administrative expenses) (the "PERS Discount Rate") from 7. 75% to 7.5%. On February 18, 2014, the PERS Board voted to keep the PERS Discount Rate unchanged at 7.5%. On November 17, 2015, the PERS Board approved a new funding risk mitigation policy to incrementally lower the PERS Discount Rate by establishing a mechanism whereby such rate is reduced by a minimum of 0.05% to a maximum of 0.25% in years when investment returns outperform the existing PERS Discount Rate by at least four percentage points. On December 21, 2016, the PERS Board voted to lower the PERS Discount Rate to 7.0% over a three year phase-in period in accordance with the following schedule: 7.375% for the June 30, 2017 actuarial valuation, 7.25% for the June 30, 2018 actuarial valuation and 7.00% for the June 30, 2019 actuarial valuation. The new discount rate went into effect July 1, 2017 for the State and July 1, 2018 for K-14 school districts and other public agencies. Lowering the PERS Discount Rate means employers that contract with PERS to administer their pension plans will see increases in their normal costs and unfunded actuarial liabilities. Active members hired after January 1, 2013, under the Reform Act (defined below) will also see their contribution rates rise.
On April 17, 2013, the PERS Board approved new actuarial policies aimed at returning PERS to fully-funded status within 30 years. The policies include a rate smoothing method with a 30-year fixed amortization period for gains and losses, a five-year increase of public agency contribution rates, including the contribution rate at the onset of such amortization period, and a five year reduction of public agency contribution rates at the end of such amortization period. The new actuarial policies were first included in the June 30, 2014 actuarial valuation and were implemented with respect the State, K-14 school districts and all other public agencies in fiscal year 2015-16.
Also, on February 20, 2014, the PERS Board approved new demographic assumptions reflecting (i) expected longer life spans of public agency employees and related increases in costs for the PERS system and (ii) trends of higher rates of retirement for certain public agency employee classes, including police officers and firefighters. The new actuarial assumptions were first reflected in the Schools Pool in the June 30, 2015 actuarial valuation. The increase in liability due to the new assumptions will be amortized over 20 years with increases phased in over five years, beginning with the contribution requirement for fiscal year 2016-17. The new demographic assumptions affect the State, K-14 school districts and all other public agencies.
52 The PERS Board is required to undertake an experience study every four years under its Actuarial Assumptions Policy and State law. As a result of the most recent experience study, on December 20, 2017, the PERS Board approved new actuarial assumptions, including (i) lowering the inflation rate to 2.625% for the June 30, 2018 actuarial valuation and to 2. 50% for the June 30, 2019 actuarial valuation, (ii) lowering the payroll growth rate to 2.875% for the June 30, 2018 actuarial valuation and 2.75% for the June 30, 2019 actuarial valuation, and (iii) certain changes to demographic assumptions relating to the salary scale for most constituent groups, and modifications to the morality, retirement, and disability retirement rates.
On February 14, 2018, the PERS Board approved a new actuarial amortization policy with an effective date for actuarial valuations beginning on or after June 30, 2019, which includes (i) shortening the period over which actuarial gains and losses are amortized from 30 years to 20 years, (ii) requiring that amortization payments for all unfunded accrued liability bases established after the effective date be computed to remain a level dollar amount throughout the amortization period, (iii) removing the 5-year ramp-up and ramp-down on unfunded accrued liability bases attributable to assumptions changes and non-investment gains/losses established on or after the effective date and (iv) removing the 5-year ramp down on investment gains/losses established after the effective date. While PERS expects that reducing the amortization period for certain sources of unfunded liability will increase future average funding ratios, provide faster recovery of funded status following market downturns, decrease expected cumulative contributions, and mitigate concerns over intergenerational equity, such changes may result in increases in future employer contribution rates.
The Schools Pool Actuarial Valuation as of June 30, 2018 (the "2018 PERS Actuarial Valuation"), reported that the contribution rate for 2020-21 is projected to be 22.8%, with annual increases thereafter, resulting in a projected 26. 7% employer contribution rate for fiscal year 2026-27. The projected contribution rates reflect a 6. 7% investment return reduced by estimated administrative expenses for fiscal year 2018-19 and the anticipated decrease in normal cost due to new hires entering lower benefit formulas under the Reform Act, as well as the additional $904 million contributed by the State in July 2019 pursuant to SB 90. As reported in the 2018 PERS Actuarial Valuation, the funded status for the Schools Pool decreased by 1. 7% from June 30, 2017 to June 30, 2018, primarily due to increases in liability resulting from the decrease in the discount rate, discussed above, and the new actuarial valuation system, partially offset by the investment return in fiscal year 2017-18 being greater than expected.
The District can make no representations regarding the future program liabilities of STRS, or whether the District will be required to make additional contributions to STRS in the future above those amounts required under AB 1469. The District can also provide no assurances that the District's required contributions to PERS will not increase in the future.
California Public Employees' Pension Reform Act of 2013. On September 12, 2012, the Governor signed into law the California Public Employees' Pension Reform Act of 2013 (the "Reform Act"), which makes changes to both STRS and PERS, most substantially affecting new employees hired after January 1, 2013 (the "Implementation Date"). For STRS participants hired after the Implementation Date, the Reform Act changes the normal retirement age by increasing the eligibility for the 2% age factor (the age factor is the percent of final compensation to which an employee is entitled for each year of service) from age 60 to 62 and increasing the eligibility of the maximum age factor of 2.4% from age 63 to 65. Similarly, for non-safety PERS participants hired after the Implementation Date, the Reform Act changes the normal retirement age by increasing the eligibility for the 2% age factor from age 55 to 62 and increases the eligibility requirement for the maximum age factor of 2.5% to age 67. Among the other changes to PERS and STRS, the Reform Act also: (i) requires all new participants enrolled in PERS and S TRS after the Implementation Date to contribute at least 50% of the total annual normal cost of their pension benefit each year as determined by an actuary, (ii) requires STRS and PERS to determine the final compensation amount for employees based upon the highest annual compensation earnable averaged
53 over a consecutive 36-month period as the basis for calculating retirement benefits for new participants enrolled after the Implementation Date (previously 12 months for STRS members who retire with 25 years of service), and (iii) caps "pensionable compensation" for new participants enrolled after the Implementation Date at 100% of the federal Social Security contribution (to be adjusted annually based on changes to the Consumer Price Index for all Urban Consumers) and benefit base for members participating in Social Security or 120% for members not participating in social security (to be adjusted annually based on changes to the Consumer Price Index for all Urban Consumers), while excluding previously allowed forms of compensation under the formula such as payments for unused vacation, annual leave, personal leave, sick leave, or compensatory time off.
GASB Statement Nos. 67 and 68. On June 25, 2012, GASB approved Statements Nos. 67 and 68 ("Statements") with respect to pension accounting and financial reporting standards for state and local governments and pension plans. The new Statements, No. 67 and No. 68, replace GASB Statement No. 27 and most of Statements No. 25 and No. 50. The changes impact the accounting treatment of pension plans in which state and local governments participate. Major changes include: (1) the inclusion of unfunded pension liabilities on the government's balance sheet ( currently, such unfunded liabilities are typically included as notes to the government's financial statements); (2) more components of full pension costs being shown as expenses regardless of actual contribution levels; (3) lower actuarial discount rates being required to be used for underfunded plans in certain cases for purposes of the financial statements; (4) closed amortization periods for unfunded liabilities being required to be used for certain purposes of the financial statements; and ( 5) the difference between expected and actual investment returns being recognized over a closed five-year smoothing period. In addition, according to GASB, Statement No. 68 means that, for pensions within the scope of the Statement, a cost-sharing employer that does not have a special funding situation is required to recognize a net pension liability, deferred outflows of resources, deferred inflows of resources related to pensions and pension expense based on its proportionate share of the net pension liability for benefits provided through the pension plan. Because the accounting standards do not require changes in funding policies, the full extent of the effect of the new standards on the District is not known at this time. The reporting requirements for pension plans took effect for the fiscal year beginning July 1, 2013 and the reporting requirements for government employers, including the District, took effect for the fiscal year beginning July 1, 2014.
54 Supplemental Early Retirement Plan
The District adopted a supplemental early retirement plan (the "SERP") during fiscal year 2017- 18 whereby certain eligible certificated and classified employees were provided an annuity to supplement the retirement benefits they are entitled to through STRS and PERS. The criteria for qualification are as follows: have 50 percent full-time employment with the District with five years of service with the District, certificated employees have to be at least 55 years of age by the date of retirement with five years of STRS service, and classified employees have to be at least 50 years of age by the date of retirement with at least five years of PERS service. The following table displays the future annuity payments due.
Year Ending June 30, Amount 2020 $647,300 2021 647,300 2022 647,300 2023 647 300 Total $2,589,200
Other Post-Employment Benefits
Plan Description. The District's Postemployment Benefit Plan (the "Plan") is a single-employer defined benefit healthcare plan administered by the District. The Plan provides medical and dental benefits to eligible employees and their spouses. As of June 30, 2019, membership of the Plan consisted of 38 retirees and beneficiaries currently receiving benefits, 0 terminated Plan members entitled to but not yet receiving benefits and 595 active Plan members.
Funding Policy. The District currently finances the Benefits on a "pay-as-you-go" basis to cover the cost of insurance premiums for current retirees. For fiscal years 2015-16 through 2018-19, the District contributed $346,654, $284,697, $266,793 and $379,132 respectively, to the Plan. For Fiscal Year 2019-20, the District has budgeted a contribution of $326,620 to the Plan.
Accrued Liability. The District has implemented Governmental Accounting Standards Board Statement #74, Financial Reporting for Postemployment Benefit Plans Other Than Pensions ("GASB 74") and Accounting and Financial Reporting for Postemployment Benefits Other Than Pensions ("GASB 75"), pursuant to which the District has commissioned and received an actuarial study of its liability with respect to the Benefits. The new GASB statements No. 74 and No. 75 (discussed below) require biennial actuarial valuations for all plans. The actuarial study, dated as of August 26, 2019 (the "Study"), concluded that, as of a July 1, 2019 valuation date, the Total OPEB Liability (the "TOL") with respect to such Benefits, was $23,129,462. Because the District does not maintain a qualifying irrevocable trust, the District's Net OPEB Liability (the "NOL") is equal to the TOL. For more information regarding the District's other post-employment benefit liability, see "APPENDIX B - THE DISTRICT'S 2018-19 AUDITED FINANCIAL STATEMENTS -Note 9" attached hereto.
GASB Statement Nos. 74 and 75. On June 2, 2015, GASB approved Statements Nos. 74 and 75 with respect to pension accounting and financial reporting standards for public sector post-retirement benefit programs and the employers that sponsor them. GASB Statement No. 74 replaces GASB Statements No. 43 and 57 and Statement No. 75 replaces GASB Statement No. 45.
Most of GASB Statement No. 74 applies to plans administered through trusts, in which contributions are irrevocable, trust assets are dedicated to providing other post -employment benefits to plan members and trust assets are legally protected from creditors. GASB Statements No. 74 and No. 75 will require a liability for OPEB obligations, known as the net OPEB Liability (NOL), to be recognized
55 on the balance sheet of the plan and the participating employer's financial statements. In addition, an OPEB expense (service cost plus interest on total OPEB liability plus current-period benefit changes minus member contributions minus assumed earning on plan investments plus administrative expenses plus recognition of deferred outflows minus recognition of deferred inflows) will be recognized in the income statement of the participating employers. In the notes to its financial statements, employers providing other post-employment benefits will also have to include information regarding the year-to-year change in the NOL and a sensitivity analysis of the NOL to changes in the discount rate and healthcare trend rate. The required supplementary information will also be required to show a 10-year schedule of the plan's net OPEB liability reconciliation and related ratios, and any actuarially determined contributions and investment returns.
Under GASB Statement No. 74, the measurement date must be the same as the plan's fiscal year end, but the actuarial valuation date may be any date up to 24 months prior to the measurement date. For the total OPEB liability (the TOL), if the valuation date is before the measurement date, the results must be projected forward from the valuation date to the measurement date using standard actuarial roll forward techniques. For plans that are unfunded or have assets insufficient to cover the projected benefit payments, a discount rate reflecting a 20-year tax-exempt municipal bond yield or index rate must be used. For plans with assets that meet the GASB Statement No. 74 requirements, a projection of the benefit payments and future Fiduciary Net Position (FNP) is performed based on the funding policy and assumptions of the plan, along with the methodology specified in GASB.
GASB No. 74 has an effective date for plan fiscal years beginning after June 15, 2016 and GASB Statement No. 75 will be effective for employer fiscal years beginning after June 15, 2017. The District first recognized GASB No. 74 and GASB No. 75 in their financial statements for fiscal year 2017-18.
Risk Management
The District participates in various public entity risk pools ( each a "Risk Pool") including the Alliance of Schools for Cooperative Insurance Programs ("ASCIP") Joint Powers Authority and the School Excess Liability Fund for property and liability insurance coverage; the Western Orange County Self-Funded Workers' Compensation Insurance Agency for workers' compensation representation; the California Schools VEBA for employee health and welfare benefits; and ASCIP for employee dental benefits. The District pays an annual premium for the coverage provided under each Risk Pool. The relationship between the District and the Risk Pools is such that none of the Risk Pools is a component unit of the District for financial reporting purposes.
There are several claims pending with respect to District employees. In the opinion of the District, the related liability, if any, stemming from these claims will not materially affect the financial condition of the District. Settled claims have not exceeded available insurance coverages in the past three fiscal years. Based upon prior claims experience, the District believes that it has adequate insurance coverage. For more information, see "APPENDIX B - 2018-19 AUDITED FINANCIAL STATEMENTS OF THE DISTRICT-Note 12" and "-Note 15" attached hereto.
56 District Debt Structure
Long-Term Debt. A schedule of changes in long-term debt for the year ended June 30, 2019 is shown below: Balance Balance Government Activities July 1, 2018 Additions Deletions June 30, 2019 General Obligation Bonds $45,000,000 $3,535,000 $41,465,000 Premium on General Obligation Bonds 1,790,036 64,313 1,725,723 Certificates of Participation 22,545,000 1,435,000 21,110,000 Premium on Certificates of Participation 188,860 34,248 154,612 Discount on Certificates of Participation (41,443) (3,453) (37,990) Compensated Absences 814,317 17,524 796,793 Capital Leases 15,656 15,656 SERP 3,236,500 647,300 2,589,200 Net OPEB benefits liability 22,418,960 $2,027,854 797 531 23,649,283 TOTAL $95 967 886 2 027 854 6 543 119 91 452 621
Source: Ocean View School District.
General Obligation Bonds. Pursuant to a voter authorization received on November 8, 2016, the voters of the District approved the issuance of up to $169,000,000 of bonds to finance the acquisition, construction, modernization and equipping of District sites and facilities (the "2016 Authorization"). The District has issued one series of bonds under the 2016 Authorization, leaving $124,000,000 of the 2016 Authorization unissued. The Bonds will be the second series of bonds under the 2016 Authorization.
The table on the following page shows the combined debt service schedule with respect to the total outstanding general obligation debt of the District, including the Bonds (and assuming no optional redemptions).
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57 OUTSTANDING BONDED INDEBTEDNESS Ocean View School District
Year Ending Series A The Total Annual (August 1) Bonds Bonds Debt Service 2020 $4,933,050.00 $641,383.75 $5,574,433.75 2021 2,489,300.00 3,124,393.76 5,613,693.76 2022 2,589,300.00 2,669,393.76 5,258,693.76 2023 1,796,550.00 3,740,393.76 5,536,943.76 2024 1,865,300.00 1,487,093.76 3,352,393.76 2025 1,454,300.00 1,724,793.76 3,179,093.76 2026 1,512,300.00 1,791,593.76 3,303,893.76 2027 1,576,800.00 1,241,793.76 2,818,593.76 2028 1,637,300.00 1,291,993.76 2,929,293.76 2029 1,703,800.00 1,342,993.76 3,046,793.76 2030 1,770,800.00 1,394,243.76 3,165,043.76 2031 1,843,050.00 1,451,743.76 3,294,793.76 2032 1,915,050.00 1,504,993.76 3,420,043.76 2033 1,991,550.00 1,563,993.76 3,555,543.76 2034 2,071,950.00 1,626,393.76 3,698,343.76 2035 2,157,550.00 1,693,193.76 3,850,743.76 2036 2,242,950.00 1,758,293.76 4,001,243.76 2037 2,332,950.00 1,825,343.76 4,158,293.76 2038 2,422,150.00 1,900,481.26 4,322,631.26 2039 2,523,700.00 1,976,906.26 4,500,606.26 2040 2,619,650.00 2,055,968.76 4,675,618.76 2041 2,725,000.00 2,137,556.26 4,862,556.26 2042 2,834,225.00 2,219,556.26 5,053,781.26 2043 2,951,975.00 2,308,706.26 5,260,681.26 2044 3,067,725.00 2,399, 768. 76 5,467,493.76 2045 3,191,300.00 2,492,625.00 5,683,925.00 2046 3,317,175.00 2,592, 156.26 5,909,331.26 2047 3,543,125.00 3,543, 125.00 2048 3,686,125.00 3,686, 125.00 2049 3,833,500.00 3 833 500.00 TOTAL $63 536 750.00 $63 020 502.75 $126 557 252.75
Source: Ocean View School District.
58 Certificates of Participation. On February 26, 2010, the District executed and delivered its 2010 Refunding Certificates of Participation (the "2010 Certificates") evidencing principal in the amount of $6,875,000, the proceeds of which were used to refinance prior certificates of participation of the District. On June 19, 2014, the District executed and delivered its Certificates of Participation (2014 School Facilities Project (the "2014 Certificates") evidencing principal in the amount of $10,720,000, the proceeds of which were used to finance the modernization of certain District schools. On September 17, 2015, the District executed and delivered its Certificates of Participation (2015 School Facilities Project (the "2015 Certificates" and, collectively with the 2010 Certificates and the 2014 Certificates, the "Certificates") evidencing principal in the amount of $11,870,000, the proceeds of which were used to finance the modernization of certain District schools. The following table displays the total annual debt service requirements of the District for the Certificates:
CERTIFICATES OF PARTICIPATION INDEBTEDNESS-ANNUAL DEBT SERVICE REQUIREMENTS Ocean View School District
Total Annual 2 2 Maturity 2010 Certificates(!) 2014 Certificates< ) 2015 Certificates< ) Debt Service 2020 $797,500.00 $747,637.50 $607,937.50 $2,153,075.00 2021 796,750.00 762,787.50 623,787.50 2,183,325.00 2022 364,875.00 967,287.50 877,187.50 2,209,350.00 2023 1,145,637.50 1,095,387.50 2,241,025.00 2024 1,157,587.50 1,111,937.50 2,269,525.00 2025 1,158,337.50 1,122,700.00 2,281,037.50 2026 1,043,187.50 1,271,150.00 2,314,337.50 2027 1,050,587.50 1,294,350.00 2,344,937.50 2028 1,056,937.50 1,320,900.00 2,377,837.50 2029 1,064,762.50 1,340,650.00 2,405,412.50 2030 2,433,750.00 2,433,750.00 TOTAL $1959125.00 $10 154 750.00 $13 099 737.50 $25 213 612.50
(IJ Semi-annual interest payments thereon are due each March 1 and September 1. Principal thereof payable on March 1 of each year. C2J Semi-annual interest payments thereon are due each June 1 and December 1. Principal thereof payable on June 1 of each year. Source: Ocean View School District.
59 TAX MATTERS
In the opm10n of Bond Counsel, under existing statutes, regulations, rulings and judicial decisions, interest on the Bonds is excluded from gross income for federal income tax purposes, and is not an item of tax preference for purposes of calculating the federal alternative minimum tax imposed on individuals. In the further opinion of Bond Counsel, interest on the Bonds is exempt from State personal income tax.
The excess of the stated redemption price at maturity of a Bond over the issue price of a Bond (the first price at which a substantial amount of the Bonds of a maturity is to be sold to the public) constitutes original issue discount. Original issue discount accrues under a constant yield method, and original issue discount will accrue to a Bond Owner before receipt of cash attributable to such excludable income. The amount of original issue discount deemed received by the Bond Owner will increase the Bond Owner's basis in the applicable Bond. In the opinion of Bond Counsel, the amount of original issue discount that accrues to the owner of the Bond is excluded from gross income of such owner for federal income tax purposes and is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals. In the opinion of Bond Counsel, the amount of original issue discount that accrues to the Bond Owner of the Bonds is exempt from State personal income tax.
Bond Counsel's opinion as to the exclusion from gross income for federal income tax purposes of interest (and original issue discount) on the Bonds is based upon certain representations of fact and certifications made by the District and others and is subject to the condition that the District comply with all requirements of the Internal Revenue Code of 1986, as amended (the "Code"), that must be satisfied subsequent to the issuance of the Bonds to assure that interest (and original issue discount) on the Bonds will not become includable in gross income for federal income tax purposes. Failure to comply with such requirements of the Code might cause the interest (and original issue discount) on the Bonds to be included in gross income for federal income tax purposes retroactive to the date of issuance of the Bonds. The District has covenanted to comply with all such requirements.
The amount by which a Bond Owner's original basis for determining gain or loss on sale or exchange of the applicable Bond (generally, the purchase price) exceeds the amount payable on maturity (or on an earlier call date) constitutes amortizable Bond premium, which must be amortized under Section 171 of the Code; such amortizable Bond premium reduces the Bond Owner's basis in the applicable Bond (and the amount of tax-exempt interest received), and is not deductible for federal income tax purposes. The basis reduction as a result of the amortization of Bond premium may result in a Bond Owner realizing a taxable gain when a Bond is sold by the Owner for an amount equal to or less (under certain circumstances) than the original cost of the Bond to the Owner. Purchasers of the Bonds should consult their own tax advisors as to the treatment, computation and collateral consequences of amortizable bond premmm.
The Internal Revenue Service (the "IRS") has initiated an expanded program for the auditing of tax-exempt bond issues, including both random and targeted audits. It is possible that the Bonds will be selected for audit by the IRS. It is also possible that the market value of the Bonds might be affected as a result of such an audit of the Bonds ( or by an audit of similar bonds). No assurance can be given that in the course of an audit, as a result of an audit, or otherwise, Congress or the IRS might not change the Code ( or interpretation thereof) subsequent to the issuance of the Bonds to the extent that it adversely affects the exclusion from gross income of interest (and original issue discount) on the Bonds or their market value.
60 SUBSEQUENT TO THE ISSUANCE OF THE BONDS THERE MIGHT BE FEDERAL, STATE, OR LOCAL STATUTORY CHANGES (OR ruDICIAL OR REGULATORY CHANGES TO OR INTERPRETATIONS OF FEDERAL, STATE, OR LOCAL LAW) THAT AFFECT THE FEDERAL, STATE, OR LOCAL TAX TREATMENT OF THE BONDS INCLUDING THE IMPOSITION OF ADDITIONAL FEDERAL INCOME OR STATE TAXES BEING IMPOSED ON OWNERS OF TAX-EXEMPT STATE OR LOCAL OBLIGATIONS, SUCH AS THE BONDS. THESE CHANGES COULD ADVERSELY AFFECT THE MARKET VALUE OR LIQUIDITY OF THE BONDS. NO ASSURANCE CAN BE GIVEN THAT SUBSEQUENT TO THE ISSUANCE OF THE BONDS STATUTORY CHANGES WILL NOT BE INTRODUCED OR ENACTED OR ruDICIAL OR REGULATORY INTERPRETATIONS WILL NOT OCCUR HAVING THE EFFECTS DESCRIBED ABOVE. BEFORE PURCHASING ANY OF THE BONDS, ALL POTENTIAL PURCHASERS SHOULD CONSULT THEIR TAX ADVISORS REGARDING POSSIBLE STATUTORY CHANGES OR ruDICIAL OR REGULATORY CHANGES OR INTERPRETATIONS, AND THEIR COLLATERAL TAX CONSEQUENCES RELATING TO THE BONDS.
Bond Counsel's opinions may be affected by actions taken ( or not taken) or events occurring ( or not occurring) after the date hereof. Bond Counsel has not undertaken to determine, or to inform any person, whether any such actions or events are taken or do occur. The Resolution and the Tax Certificate relating to the Bonds permit certain actions to be taken or to be omitted if a favorable opinion of a bond counsel is provided with respect thereto. Bond Counsel expresses no opinion as to the effect on the exclusion from gross income for federal income tax purposes of interest ( or original issue discount) on any Bond if any such action is taken or omitted based upon the advice of counsel other than Bond Counsel.
Although Bond Counsel will render an opinion that interest (and original issue discount) on the Bonds is excluded from gross income for federal income tax purposes provided that the District continues to comply with certain requirements of the Code, the ownership of the Bonds and the accrual or receipt of interest (and original issue discount) with respect to the Bonds may otherwise affect the tax liability of certain persons. Bond Counsel expresses no opinion regarding any such tax consequences. Accordingly, before purchasing any of the Bonds, all potential purchasers should consult their tax advisors with respect to collateral tax consequences relating to the Bonds.
A copy of the proposed form of opinion of Bond Counsel for the Bonds is attached hereto as Appendix A
LIMITATION ON REMEDIES; BANKRUPTCY
General
State law contains certain safeguards to protect the financial solvency of school districts. See "DISTRICT FINANCIAL INFORMATION - Budget Process" herein. If the safeguards are not successful in preventing a school district from becoming insolvent, the State Superintendent, operating through an administrator appointed thereby, may be authorized under State law to file a petition under Chapter 9 of the United States Bankruptcy Code (the "Bankruptcy Code") on behalf of the school district for the adjustment of its debts, assuming that the school district meets certain other requirements contained in the Bankruptcy Code necessary for filing such a petition. School districts are not themselves authorized to file a bankruptcy proceeding, and they are not subject to involuntary bankruptcy.
Bankruptcy courts are courts of equity and as such have broad discretionary powers. If the District were to become the debtor in a proceeding under Chapter 9 of the Bankruptcy Code, the automatic stay provisions of Bankruptcy Code Sections 362 and 922 generally would prohibit creditors from taking any action to collect amounts due from the District or to enforce any obligation of the District related to such amounts due, without consent of the District or authorization of the bankruptcy court
61 (although such stays would not operate to block creditor application of pledged special revenues to payment of indebtedness secured by such revenues). In addition, as part of its plan of adjustment in a Chapter 9 bankruptcy case, the District may be able to alter the priority, interest rate, principal amount, payment terms, collateral, maturity dates, payment sources, covenants (including tax-related covenants), and other terms or provisions of the Bonds and other transaction documents related to the Bonds, as long as the bankruptcy court determines that the alterations are fair and equitable. There also may be other possible effects of a bankruptcy of the District that could result in delays or reductions in payments on the Bonds. Moreover, regardless of any specific adverse determinations in any District bankruptcy proceeding, the fact of a District bankruptcy proceeding could have an adverse effect on the liquidity and market price of the Bonds.
Statutory Lien
Pursuant to Government Code Section 53515, the Bonds are secured by a statutory lien on all revenues received pursuant to the levy and collection of the tax, and such lien automatically arises, without the need for any action or authorization by the District or the Board, and is valid and binding from the time the Bonds are executed and delivered. See "THE BONDS - Security and Sources of Payment" herein. Although a statutory lien would not be automatically terminated by the filing of a Chapter 9 bankruptcy petition by the District, the automatic stay provisions of the Bankruptcy Code would apply and payments that become due and owing on the Bonds during the pendency of the Chapter 9 proceeding could be delayed, unless the Bonds are determined to be secured by a pledge of "special revenues" within the meaning of the Bankruptcy Code and the pledged ad valorem property taxes are applied to pay the Bonds in a manner consistent with the Bankruptcy Code.
Special Revenues
If the ad valorem property tax revenues that are pledged to the payment of the Bonds are determined to be "special revenues" within the meaning of the Bankruptcy Code, then the application in a manner consistent with the Bankruptcy Code of the pledged ad valorem revenues should not be subject to the automatic stay. "Special revenues" are defined to include, among others, taxes specifically levied to finance one or more projects or systems of the debtor, but excluding receipts from general property, sales, or income taxes levied to finance the general purposes of the debtor. State law prohibits the use of the tax proceeds for any purpose other than payment of the Bonds and the Bond proceeds can only be used to finance or refinance the acquisition or improvement of real property and other capital expenditures included in the proposition, so such tax revenues appear to fit the definition of special revenues. However, there is no binding judicial precedent dealing with the treatment in bankruptcy proceedings of ad valorem property tax revenues collected for the payments of bonds in the State, so no assurance can be given that a bankruptcy court would not hold otherwise.
Possession of Tax Revenues; Remedies
The County on behalf of the District is expected to be in possession of the annual ad valorem property taxes and certain funds to repay the Bonds and may invest these funds in the County's investment pool, as described in "THE BONDS - Application and Investment of Bond Proceeds" herein and Appendices F and G attached hereto. If the County goes into bankruptcy and has possession of tax revenues (whether collected before or after commencement of the bankruptcy), and if the County does not voluntarily pay such tax revenues to the owners of the Bonds, it is not entirely clear what procedures the owners of the Bonds would have to follow to attempt to obtain possession of such tax revenues, how much time it would take for such procedures to be completed, or whether such procedures would ultimately be successful. Further, should those investments suffer any losses, there may be delays or reductions in payments on the Bonds.
62 Opinion of Bond Counsel Qualified by Reference to Bankruptcy, Insolvency and Other Laws Relating to or Affecting Creditor's Rights
The proposed form of the approving opinion of Bond Counsel attached hereto as APPENDIX A is qualified by reference to bankruptcy, insolvency and other laws relating to or affecting creditor's rights. Bankruptcy proceedings, if initiated, could subject the owners of the Bonds to judicial discretion and interpretation of their rights in bankruptcy or otherwise, and consequently may entail risks of delay, limitation, or modification of their rights.
LEGAL MATTERS
Legality for Investment in California
Under provisions of the Financial Code, the Bonds are legal investments for commercial banks in California to the extent that the Bonds, in the informed opinion of the bank, are prudent for the investment of funds of depositors, and under provisions of the Government Code, are eligible for security for deposits of public moneys in the State.
Continuing Disclosure
Current Undertaking. In connection with the issuance of the Bonds, the District has covenanted for the benefit of Owners and Beneficial Owners of the Bonds to provide certain financial information and operating data relating to the District (the "Annual Reports") by not later than March 31 each year, commencing with the report for the 2019-20 fiscal year (which is due not later than March 31, 2021), and to provide notices of the occurrence of certain enumerated events. The Annual Reports and notices of material events will be filed by the District in accordance with the requirements of the Rule. The specific nature of the information to be contained in the Annual Reports or the notices of material events is included in "APPENDIX C - FORM OF CONTINUING DISCLOSURE CERTIFICATE FOR THE BONDS" attached hereto. These covenants have been made in order to assist the Underwriter in complying with the Rule.
Previous Undertakings. Within the past five years, the District failed to file its annual report for fiscal year 2015-16 in a timely manner, as required by its prior continuing disclosure undertakings.
Absence of Material Litigation
No litigation is pending or threatened concerning the validity of the Bonds, and a certificate to that effect will be furnished to purchasers at the time of the original delivery of the Bonds. The District is not aware of any litigation pending or threatened questioning the political existence of the District or contesting the District's ability to receive ad valorem property taxes or to collect other revenues or contesting the District's ability to issue and retire the Bonds.
Information Reporting Requirements
Under Section 6049 of the Internal Revenue Code of 1986, as amended by Tax Increase Prevention and Reconciliation Act of 2005 ("TIPRA"), interest paid on tax-exempt obligations is subject to information reporting in a manner similar to interest paid on taxable obligations. The effective date of this provision is for interest paid after December 31, 2005, regardless of when the tax-exempt obligations were issued. The purpose of this change was to assist in relevant information gathering for the IRS relating to other applicable tax provisions. TIPRA provides that backup withholding may apply to such interest payments made after March 31, 2007 to any bondholder who fails to file an accurate Form W-9 or who meets certain other criteria. The information reporting and backup withholding requirements of TIPRA do not affect the excludability of such interest from gross income for federal income tax purposes.
63 Legal Opinion
The legal opinion of Bond Counsel, approving the validity of the Bonds, will be supplied to the original purchasers of the Bonds without cost. A copy of the proposed form of such legal opinion is attached to this Official Statement as Appendix A
MISCELLANEOUS
Ratings
The Bonds have been assigned ratings of "Aa3" and "AA-" by Moody's and S&P, respectively. The ratings reflect only the view of the rating agencies, and any explanation of the significance of such ratings should be obtained from the rating agencies at the following addresses: Moody's Investors Service, 7 World Trade Center at 250 Greenwich Street, New York, NY 10007; S&P, 55 Water Street, 45th Floor, New York, New York 10041. There is no assurance that the ratings will be retained for any given period of time or that the same will not be revised downward or withdrawn entirely by the rating agencies if, in the judgment of the rating agencies, circumstances so warrant. The District undertakes no responsibility to oppose any such revision or withdrawal. Any such downward revision or withdrawal of the ratings obtained may have an adverse effect on the market price of the Bonds.
Generally, rating agencies base their ratings on information and materials furnished to them (which may include information and material from the District which is not included in this Official Statement), and on independent investigations, studies and assumptions by such rating agencies.
The District has covenanted in a Continuing Disclosure Certificate to file notices of any rating changes on the Bonds on EMMA. See "APPENDIX C - FORM OF CONTINUING DISCLOSURE" attached hereto. Notwithstanding such covenant, information relating to rating changes on the Bonds may be publicly available from the rating agencies prior to such information being provided to the District and prior to the date the District is obligated to file a notice of rating change on EMMA. Purchasers of the Bonds are directed to the rating agencies and their respective websites and official media outlets for the most current rating changes with respect to the Bonds after the initial issuance of the Bonds.
Financial Statements
The financial statements with supplemental information for the year ended June 30, 2019, the independent auditor's report of the District, and the related statements of activities and of cash flows for the year then ended, and the report of Eide Bailly LLP (the "Auditor") dated December 3, 2019, are included in this Official Statement as APPENDIX B. In connection with the inclusion herein, the District did not request the Auditor to, and the Auditor has not undertaken to, update its report or to take any action intended or likely to elicit information concerning the accuracy, completeness or fairness of the statements made in this Official Statement, and no opinion is expressed by the Auditor with respect to any event subsequent to the date of its report. Underwriting
Purchase of Bonds. Pursuant to the terms of a Notice Inviting Proposals for Purchase of Bonds (the "Notice Inviting Proposals"), the Bonds were awarded to Mesirow Financial, Inc., as underwriter therefor (the "Underwriter"), at a True Interest Cost of 2.440623%. The Underwriter will purchase all of the Bonds for a purchase price of $43,471,753.60 (which is equal to the principal amount of the Bonds of $42,000,000.00 plus net original issue premium of $1,896,889.15, and less $425,135.55 of underwriting discount).
The Notice Inviting Proposals provides that the Underwriter will purchase all of the Bonds, if any are purchased. The initial offering prices stated on the inside cover of this Official Statement may be
64 changed from time to time by the Underwriter. The Underwriter may offer and sell Bonds to certain dealers and others at prices lower than such initial offering prices. Additional Information
The purpose of this Official Statement is to supply information to prospective buyers of the Bonds. Quotations from and summaries and explanations of the Bonds, the Resolution providing for issuance of the Bonds, and the constitutional provisions, statutes and other documents referenced herein, do not purport to be complete, and reference is made to said documents, constitutional provisions and statutes for full and complete statements of their provisions. Some of the data contained herein has been taken or constructed from District records. Appropriate District officials, acting in their official capacities, have reviewed this Official Statement and have determined that, as of the date hereof, the information contained herein is, to the best of their knowledge and belief, true and correct in all material respects and does not contain an untrue statement of a material fact or omit to state a material fact necessary in order to make the statements made herein, in light of the circumstances under which they were made, not misleading. This Official Statement has been approved by the District. Any statements in this Official Statement involving matters of opinion, whether or not expressly so stated, are intended only as such and not as representations of fact. This Official Statement is not to be construed as a contract or agreement between the District and the purchasers or Owners, beneficial or otherwise, of any of the Bonds. This Official Statement and the delivery thereof have been duly approved and authorized by the District. OCEAN VIEW SCHOOL DISTRICT
By~~~~/=s~/=l\.1=i=c=ha~e=l~C~o=n=r~oY~,~E=d=·=D~·~~~~~~ l\.1ichael Conroy, Ed.D. Deputy Superintendent, Administrative Services
65 [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIX A
FORM OF OPINION OF BOND COUNSEL FOR THE BONDS
Upon issuance of the Bonds, Stradling Yocca Carlson & Rauth, a Professional Corporation, Bond Counsel, proposes to render its final approving opinion with respect to the Bonds in substantially the following form:
February 13, 2020
Board of Trustees Ocean View School District
Members of the Board of Trustees:
We have examined a certified copy of the record of the proceedings relative to the issuance and sale of $42,000,000 Ocean View School District (Orange County, California) Election of 2016 General Obligation Bonds, Series B (the "Bonds"). As to questions of fact material to our opinion, we have relied upon the certified proceedings and other certifications of public officials furnished to us without undertaking to verify the same by independent investigation.
Based on our examination as bond counsel of existing law, certified copies of such legal proceedings and such other proofs as we deem necessary to render this opinion, we are of the opinion, as of the date hereof and under existing law, that:
1. Such proceedings and proofs show lawful authority for the issuance and sale of the Bonds pursuant to the State of California Government Code Article 4. 5 of Chapter 3 of Part 1 of Division 2 of Title 5 (the "Act"), commencing with Section 53506 et seq., a fifty-five percent vote of the qualified electors of the Ocean View School District (the "District") voting at an election held on November 8, 2016, and a resolution of the Board of Trustees of the District (the "Resolution").
2. The Bonds constitute valid and binding general obligations of the District, payable as to both principal and interest from the proceeds of a levy of ad valorem property taxes on all property subject to such taxes in the District, which taxes are unlimited as to rate or amount.
3. Under existing statutes, regulations, rulings and judicial decisions, interest on the Bonds is excluded from gross income for federal income tax purposes and is not an item of tax preference for purposes of calculating the federal alternative minimum tax imposed on individuals.
4. Interest on the Bonds is exempt from State of California personal income tax.
5. The excess of the stated redemption price at maturity of a Bond over the issue price of a Bond (the first price at which a substantial amount of the Bonds of a maturity is to be sold to the public) constitutes original issue discount. Original issue discount accrues under a constant yield method, and original issue discount will accrue to a Bondowner before receipt of cash attributable to such excludable income. The amount of original issue discount deemed received by a Bondowner will increase the Bondowner' s basis in the applicable Bond. Original issue discount that accrues to the Bondowner is excluded from the gross income of such owner A-1 for federal income tax purposes, is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals, and is exempt from State of California personal income tax.
6. The amount by which a Bondowner' s original basis for determining gain or loss on sale or exchange in the applicable Bond (generally, the purchase price) exceeds the amount payable on maturity (or on an earlier call date) constitutes amortizable Bond premium, which must be amortized under Section 171 of the Internal Revenue Code of 1986, as amended (the "Code"); such amortizable Bond premium reduces the Bondowner's basis in the applicable Bond (and the amount of tax-exempt interest received), and is not deductible for federal income tax purposes. The basis reduction as a result of the amortization of Bond premium may result in a Bondowner realizing a taxable gain when a Bond is sold by the Bondowner for an amount equal to or less (under certain circumstances) than the original cost of the Bond to the Bondowner. Purchasers of the Bonds should consult their own tax advisors as to the treatment, computation and collateral consequences of amortizable Bond premium.
The opinions expressed herein may be affected by actions taken ( or not taken) or events occurring ( or not occurring) after the date hereof We have not undertaken to determine, or to inform any person, whether any such actions or events are taken or do occur. The Resolution and the Tax Certificate relating to the Bonds permit certain actions to be taken or to be omitted if a favorable opinion of Bond Counsel is provided with respect thereto. No opinion is expressed herein as to the effect on the exclusion from gross income of interest (and original issue discount) for federal income tax purposes with respect to any Bond if any such action is taken or omitted based upon the advice of counsel other than ourselves. Other than expressly stated herein, we express no opinion regarding tax consequences with respect to the Bonds.
The opinions expressed herein as to the exclusion from gross income of interest (and original issue discount) on the Bonds are based upon certain representations of fact and certifications made by the District and others and are subject to the condition that the District complies with all requirements of the Code, that must be satisfied subsequent to the issuance of the Bonds to assure that such interest (and original issue discount) will not become includable in gross income for federal income tax purposes. Failure to comply with such requirements of the Code might cause interest (and original issue discount) on the Bonds to be included in gross income for federal income tax purposes retroactive to the date of issuance of the Bonds. The District has covenanted to comply with all such requirements.
It is possible that subsequent to the issuance of the Bonds there might be federal, state, or local statutory changes ( or judicial or regulatory interpretations of federal, state, or local law) that affect the federal, state, or local tax treatment of the Bonds or the market value of the Bonds. No assurance can be given that subsequent to the issuance of the Bonds such changes or interpretations will not occur.
A-2 The rights of the owners of the Bonds and the enforceability thereof may be subject to bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting creditors' rights heretofore or hereafter enacted to the extent constitutionally applicable and their enforcement may also be subject to the exercise of judicial discretion in appropriate cases and the limitations on legal remedies against public agencies in the State of California.
Respectfully submitted,
Stradling Y occa Carlson & Rauth
A-3 [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIXB
2018-19 AUDITED FINANCIAL STATEMENTS OF THE DISTRICT
B-1 [THIS PAGE INTENTIONALLY LEFT BLANK] "'ide ailly. OCEAN VIEW SCHOOL DISTRICT
TABLE OF CONTENTS JUNE 30, 2019
FI NANCI AL SECTION I ndependent Audi tor's Report 2 Managerrent's Discussion and Analysis 5 Basic Financial Staterrents G overnrrent-W i de Financial Staterrents Staterrent of Net Position 13 Staterrent of Activities 14 Fund Financial Staterrents Governrrental Funds -Balance Sheet 15 Reconciliation of the Governrrental Funds Balance Sheet to the Staterrent of Net Position 16 Governrrental Funds -Staterrent of Revenues, Expenditures, and Changes in Fund Balances 18 Reconciliation of the Governrrental Funds Staterrent of Revenues, Expenditures, and Changes in Fund Balances to the Staterrent of Activities 19 Fiduciary Funds -Staterrent of Net Position 21 Notes to Financial Staterrents 22
REQUIRED SUPPLEMENTARY INFORMATION General Fund -Budgetary Comparison Schedule 64 Schedule of Changes in the District's Total OPEB Liability and Related Ratios 65 Schedule of the District's Proportionate Share of the Net OPEB Liability- MPP Program 66 Schedule of the District's Proportionate Share of the Net Pension Liability 67 Schedule of District Contributions 68 Note to Required Suppl errentary I nforrrati on 69
SUPPLEMENTARY INFORMATION Schedule of Expenditures of Federal Awards 72 Local Education Agency Organization Structure 73 Schedule of Average Daily Attendance 74 Schedule of Instructional Tirre 75 Reconciliation of Annual Financial and Budget Report with Audited Financial Staterrents 76 Schedule of Financial Trends and Analysis 77 Combining Staterrents -Non-Major Governrrental Funds Combining Balance Sheet 78 Combining Staterrent of Revenues, Expenditures, and Changes in Fund Balances 79 Note to Supplerrentary I nforrration 80
INDEPENDENT AUDITOR'S REPORTS Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Staterrents Perforrred in Accordance with Governrrent Auditing Standards 83 Report on Compliance for Each Major Program and Report on Internal Control Over Compliance Required by the Uniform Guidance 85 Report on State Compliance 87
SCHEDULE OF Fl NDI NGS AND QUESTIONED COSTS Sumrrary of Auditor's Results 91 Financial Staterrent Findings 92 Federal Awards Findings and Questioned Costs 93 State Awards Findings and Questioned Costs 94 Sumrrary Schedule of Prior Audit Findings 95 M anagerrent Letter 96 Fl NANCIAL SECTION 'll - ~ E1-.J.t''d _e
INDEPENDENT AUDITOR'S REPORT
Gc:werni ng Bcard Ocean Vie/\/ School District Huntington Beach, California
Report on the Financial Statements
We have audited the accompanying financial statements of the gc:wernmental activities, each major fund, and the aggregate remaining fund information of the Ocean Vie/\/ School District (the District) as of and for the year ended June 30, 2019, and the related notes to the financial statements, which collectively comprise the District's basic financial statements as listed in the table of contents.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, i mpl ementati on, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material ni sstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Gc:wernment Auditing Standards, issued by the Comptroller General of the United States; and the 2018-2019 Guide for Annual Audits of K-12 Local Education Agencies and State Compliance Reporting, issued by the California Education Audit Appeals Panel as regulations. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves perform ng procedures to obtain audit evidence about the amounts and di sci osures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. I n making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as wel I as evaluating the c:weral I presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to prc:wide a basis for our audit opinions.
2
What inspirnfl you, i11:.;pires us. eidebtli!ly.,om
10681 Foothill Blvd., Ste. 300 Rancho Cucamonga, CA 91730-383 l , T 909.466.4410 F 909.466.4431 EOE Opinions
In our opinion, the financial staterrents referred to abc:we present fairly, in all rraterial respects, the respective financial position of the governrrental activities, each major fund, and the aggregate rerraining fund inforrration of the Ocean View School District, as of June 30, 2019, and the respective changes in financial position thereof for the year then ended in accordance with accounting principles generally accepted in the U ni ted States of A rreri ca.
Other Matters
Required Supplerrentary I nforrration
Accounting principles generally accepted in the United States of Arrerica require that the rranagerrent's discussion and analysis on pages 5 through 12, budgetary corrµarison schedule on page 64, schedule of changes in the District's total OPEB liability and related ratios on page 65, schedule of the District's proportionate share of the net OPEB liability - MPP program on page 66, schedule of the District's proportionate share of the net pension liability on page 67, and the schedule of District contributions on page 68, be presented to supplerrent the basic financial staterrents. Such inforrration, although not a part of the basic financial staterrents, is required by the Governrrental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial staterrents in an appropriate operational, economic, or historical context. We have applied certain Ii ni ted procedures to the required suppl errentary i nforrrati on in accordance with auditing standards generally accepted in the U nited States of Arrerica, which consisted of inquiries of rranagerrent about the rrethods of preparing the inforrration and comparing the inforrration for consistency with rranagerrent's responses to our inquiries, the basic financial staterrents, and other knONledge we obtained during our audit of the basic financial staterrents. We do not express an opinion or provide any assurance on the inforrrati on because the Ii ni ted procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Other I nforrration
Our audit was conducted for the purpose of forni ng opinions on the financial staterrents that collectively comprise the Ocean View School District's basic financial staterrents. The accompanying supplerrentary inforrration such as the combining and individual non-fTBjor fund financial staterrents and Schedule of Expenditures of Federal Awards, as required by Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Adninistrative Requirerrents, Cost Principles, and Audit Requirerrents for Federal Awards ( U ni formG ui dance) and the other suppl errentary i nforrrati on as Ii sted in the ta.bl e of contents are presented for purposes of additional analysis and are not a required part of the basic financial staterrents.
The accompanying supplerrentary inforrration is the responsibility of rranagerrent and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial staterrents. Such i nforrrati on has been suqj ected to the auditing procedures applied in the audit of the basic financial staterrents and certain additional procedures, including corrµaring and reconciling such inforrration directly to the underlying accounting and other records used to prepare the basic financial staterrents or to the basic financial staterrents themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of Arrerica In our opinion, the accompanying supplerrentary inforrration is fairly stated, in all rraterial respects, in relation to the basic financial staterrents as a whole.
3 Other Reporting Required by Go.ternmentAuditing Standards
In accordance with Go.ternrrent Auditing Standards, we have also issued our report dated December 3, 2019, on our consideration of the Ocean Vi eN School District's internal control o.ter financial reporting and on our tests of its compliance with certain pro.ti sions of laws, regulations, contracts, and grant agreements and other rratters. The purpose of that report is solely to describe the scope of our testing of internal control o.ter financial reporting and compliance and the results of that testing, and not to pro.tide an opinion on the effectiveness of Ocean Vietv School District's internal control o.ter financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Go.ternrrent Auditing Standards in considering Ocean Vietv School District's internal control o.ter financial reporting and compliance.
~~hi' Rancho Cucarronga, California December 3, 2019
4 Ocean View School Distr,ict 17200 Pinehurst Lane, Superintendent Board Of Trustees Huntington Beach, CA 92647 John Briscoe, President Tel: 714 847-2551 Carol Hansen, Ed. 0. Gina Clayton-Tarvin, Vice President Fax: 714 847-1430 Jack Souders, Clerk Web: www.ovsd.org Patricia Singer, Member Norm WestweH, Member
This section of Ocean View School District's (the District) annual financial report presents our discussion and analysis of the District's financial perforrrance during the fiscal year that ended onJ une 30, 2019, with corrµirative inforrration for the year endingJ une 30, 2018. Please read it in conjunction with the District's financial staterrents, which imrrediately foll0/1/ this section.
OVERVIEW OF THE FINANCIAL STATEMENTS
This annual report consists of three parts -rranagerrent's discussion and analysis (this section), the basic financial staterrents, and required suppl errentary i nforrrati on. The basic financial staterrents include two kinds of staterrents that present different views of the District:
• The first two staterrents are District-wide financial staterrents that prc:wide both short-term and long-term i nforrration about the District's c:werall financial status. • The rerraining staterrents are fund financial staterrents that focus on individual parts of the District, reporting the District's operations in more detail than the District-wide staterrents. • The Gc:wernrrental Funds staterrents tell hCNV basic services like regular and special education were financed in the short term, as well as what rerrai ns for future spending. • The F i duci ary Funds staterrents prc:wi de i nforrrati on about the financial rel ati onshi ps in which the District acts solely as a trustee or agent for the benefit of others (Associated Student Body).
The financial staterrents al so include notes that explain sorre of the inforrrati on in the staterrents and prc:wi de more detai Ied data. The staterrents are foll 0/\/ed by a section of required suppl errentary i nfor rrnti on that further explains and supports the financial staterrents with a corrµirison of the District's budget for the year.
District-Wide Statements
The District-wide staterrents report inforrration about the District as a whole using accounting rrethods similar to those used by private-sector companies. The staterrent of net position includes all of the District's assets and Ii abi Ii ti es. A 11 of the current year's revenues and expenses are accounted for in the Staterrent of Activities regard Iess of when cash is received or paid. District-wide staterrents were not required of this District prior to the 2002-2003 fi seal years.
The District-wide staterrents report the District's net position and h0/1/ they have changed. Net position - the difference between the District's assets and deferred outflCNVs of resources and liabilities and deferred infl0/1/s of resources -is one way to measure the District's financial health or position.
5 OCEAN VIEW SCHOOL DISTRICT
MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2019
Over tirre, increases or decreases in the District's net position are an indicator of whether its financial position is imprc:wing or deteriorating, respectively. To assess the c:werall health of the District, you need to consider additional non-financial factors such as changes in the condition of District school buildings and other facilities.
Gc:wernmental Activities
A 11 of the District's services are reported in this category. This includes the education of kindergarten through grade eight students, the operation of child developrrent activities, and the on-going effort to imprc:we and rraintain buildings and sites. Property taxes, user fees, interest incorre, Federal, State, and local grants, as well as proceeds from certificate of participation, finance these activities.
Fl NANCIAL HIGHLIGHTS
The District's financial status rerrains positive. The ending balance of the General Fund increased $2,077,319 betweenJ uly 1, 2018andJ une 30, 2019. The General Fund has consistently rraintained a reserve for errergencies abcwe the State rrandated three ( 3) percent reserve.
In Nc:wember 2016, the Ocean View School District community apprc:wedtheGeneral Obligation Bond Measure R. The voter ballot's language stated that "Ocean View School Student Measure Success Measure. To repair/n,odernize aging classrooms/school facilities including imprc:wing student safety /campus security, disabled access, deteriorating roofs, plumbing, ventilation/electrical systems, and acquire, renc:wate, construct, and equip classrooms, sites, facilities, labsfinstructional technology to support student achieverrent in reading, rrath, arts, science, and technology." The taxpayers of the Ocean View School District approved a total of $169,000,000 to imprc:we school facilities. For fiscal year 2018--2019 prqject expenditures were $20,587,462 with construction comnitrrents of $3,789,757.
6 OCEAN VIEW SCHOOL DISTRICT
MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2019
Fl NANCIAL ANALYSIS OF THE DISTRICT AS A WHOLE
Net Position
The District's corrbined net position was $(3,638,250) for the fiscal year endedJ une 30, 2019. Of this arrount, $(97,753,501) was unrestricted. Restricted net position is reported separately to shCNV legal constraints from debt covenants and legislation that Ii nit the Board of Trustees' ability to use that net position for day-to-day operations. The analysis belCNV, focuses on the net position (Table 1) and change in the net position (Table 2) for the District's governmental activities.
Table 1
Governmental Activities 2019 2018 Assets Current and other assets $ 65,565,825 $ 81,429,794 Capital assets 118, 752, 958 98,763,086 Total Assets 184,318, 783 180, 192,880 Deferred Outflcws of Resources 26,925,483 28,870,739 Liabilities Current liabilities 11,768,960 8,028,580 Long-term obi i gati ons 91,452,621 95,967,886 Aggregate net pension Ii abi Ii ty 103,069,697 102, 19:>,870 Total Liabilities 206,291,278 206, 187,336 Deferred I nflcws of Resources 8,591,238 7,889,489 Net Position Net investments in capital assets 75,968,069 70,603,641 Restricted 18, 147, 182 18,934,321 U nrestri cted (deficit) (97,753,501) (94,551,168) Total Net Position (deficit) $ (3,638,250) $ ( 5,013,206)
The $(97,753,501) in unrestricted net position of governmental activities represents the accumulated results of all past years' operations.
7 OCEAN VIEW SCHOOL DISTRICT
MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2019
Change in Net Position
The District's total revenues were $114, 108, 196 and total expenses were $112,733,240. Table 2 presents total revenues and total expenses for governmental activities by category.
Table 2
Governmental Activities 2019 2018 Revenues Program revenues: Charges for services $ 804,914 $ 703,373 Operating grants and contributions 19,609,074 18, 121,773 Capita.I grants and contributions 162,396 5,746,551 General revenues: Federal and State aid not restricted 28,751,473 27,235,593 Property taxes 50,806,804 48,961,859 Other general revenues 13,973,535 6,880,602 Total Revenues 114, 108, 196 107,649, 751 Expenses I nstructi on-related 74,505,673 77,932,377 Pupil services 9, 121, 140 8,962,757 Adninistration 6,873,698 7, 193, 177 Plant services 12,044,482 9,574,953 All other services 10, 188,247 7,641,784 Total Expenses 112,733,240 111,305,048 Change in Net Position $ 1,374,956 $ (3,655,297)
Property taxes and State formula aid accounted for 70 percent of the revenue from governmental activities. Another 17 percent came from operating and capita.I grants and contributions, and the rerrai nder from fees charged for services and niscellaneous sources.
The District's expenses from governmental activities are predoni nately related to educating and caring for students (74 percent). The purely adninistrative activities of the District accounted for six percent of total costs. Total revenues surpassed expenses, increasing net position by $1,374,956 from last year.
8 OCEAN VIEW SCHOOL DISTRICT
MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2019
Governmental Activities
Table 3 presents the costs of five rrajor District activities: instruction-related activities, pupil services, adninistration, plant services, and all other services. The table also shCNVs each activity's net cost (total cost less fees generated by the activities and intergovernrrental aid provided for specific programs). The net cost shONs the financial burden that was placed on the District's taxpayers by each of these functions.
The cost of all governrrental activities this year was $112,733,240.
• Sorre of the cost was financed by the users of the District's programs ($804,914). • The Federal and State governrrents subsidized certain programs with operating grants and contributions ($19,609,074) and capital grants and contributions of ($162,396). • Most of the District's costs, hONever, were financed by District taxpayers and the taxpayers of our State ($79,558,277). This portion of governrrental activities was financed with property taxes, unrestricted State aid based on the State-wide education aid formula, and other State funding.
Table 3
Total Cost of Services Net Cost of Services 2019 2018 2019 2018 Instruction-related activities $ 74,505,673 $ 77,932,377 $ 59,522,780 $ 58,638, 128 Pupil services 9, 121, 140 8,962,757 5,085, 126 4,971,781 A dni ni strati on 6,873,698 7, 193, 177 6,339,623 6,641,105 Plant services 12,044,482 9,574,953 11,441,638 9,367,059 All other services 10, 188,247 7,641,784 9,767,689 7, 115,278 Total $ 112, 733,240 $ 111,305,048 $ 92, 156,856 $ 86,733,351
Fund Financial Statements
The fund financial staterrents provide rrore detailed inforrration about the District's funds, focusing on its most significant or "major" funds -not the District as a whole. Funds are accounting devices the District uses to keep track of specific sources of funding and spending on particular programs. Sorre funds are required by State law and by bond covenants. The District established other funds to control and rranage rroney for particular purposes (like capital facilities) or to shCNV that it is properly using certain revenues (like cafeteria revenues).
The Di strict has two kinds of funds:
Governrrental funds -Most of the District's basic services are included in governrrental funds, which generally focus on (1) hON cash and other financial assets can readily be converted to cash flCNV in and out and (2) the balances Ieft at year-end that are avai Iable for spending. Consequently, the governrrental funds staterrents provide a detai Ied short-term view that helps you determine whether there are rrore or fewer financial resources that can be spent in the near future to finance the District's programs. Because this inforrration does not encompass the additional Iong-term focus of the Di strict-wide staterrents, we provide additional i nforrrati on with the governrrental funds staterrent that explains the relationship (or differences) between them
9 OCEAN VIEW SCHOOL DISTRICT
MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2019
Fiduciary funds -The District is trustee, or fiduciary, for assets that belong to others, such as the student activities funds. The District is responsible for ensuring that the assets reported in these funds are used only for their intended purposes and by those to whom the assets belong. We exclude these activities from the District-wide financial statements because the District cannot use these assets to finance its operations.
Fl NANCIAL ANALYSIS OF THE DISTRICT'S FUNDS
The strong financial perforrrance of the District as a whole is reflected in its governmental funds. The rrain day-to-day operating fund of the District is the General Fund. The monies deposited into the General Fund represent the Federal, State, and local revenues available for the ongoing costs related to instruction, school and District adni ni strati on, student transportation and regular rrai ntenance and operations. During 2018-2019, the General Fund had revenues of $95,044,398, and expenditures of $92,967,079. The General Fund balance increased by $2,077,319 or 2.2 percent of expenditures. The General Fund has rraintained additional reserves above the State required 3.0 percent reserves for rrany years, reflecting that the District achieves a financial balance between revenues and expenditures for its ongoing day-to-day operations.
As the District completed the year, its governmental funds reported combined fund balances of $54,563,351.
Table 4
Balances and Activity July 1, 2018 Revenues Expenditures June 30, 2019 General Fund $ 12,247,074 $ 95,044,398 $ 92,967,079 $ 14,324,393 Building Fund 41,338,664 881,254 20,587,462 21,632,456 Child Development Fund 705,507 3,338, 128 3,294,571 749,064 Cafeteria Fund 1,563,600 3, 198,031 3,355,700 1,405,931 Capital Facilities Fund 6,097,834 1, 169,387 3,046,723 4,220,498 County School Facilities Fund 6,221, 129 162,396 203,188 6,180,337 Special Reserve Fund for Capital Outlay Projects 1,406, 113 7,908,995 6,739,603 2,575,505 Bond I nterest and Redemption Fund 4,628,478 4,079,489 5,232,800 3,475, 167 Total $ 74,208,399 $ 115, 782,078 $ 135,427, 126 $ 54,563,351
Fiduciary Funds
The Associated Student Body funds ended the year with assets of $312,879, consisting of $273,344 in bank deposits and $39,535 in stores inventories, and with liabilities of $11,274 and $301,605 due to student groups.
10 OCEAN VIEW SCHOOL DISTRICT
MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2019
General Fund Budgetary Highlights
Over the course of the year, the Board apprc:wes three versions of the operating budget. These budget revisions are: Adopted B udget, First I nteri m, and Second I nteri m, with the U naudi ted Actuals brought forward after the year-end closing is corrµI eted.
Budget Adj ustrrents to revenues for the year include: • Adj ustrrents to reflect changes to enrol I rrent as wel I as prqj ecti ons for corrµonents of the Local Control Funding Forrrula(COLA and GAP Funding Rate). • Adjustrrents to unrestricted Federal revenue for Medi-Cal Adninistrative Activities (MAA) funding received but not originally budgeted. • Adj ustrrents to restricted Federal revenue as the federal gc:wernrrent finalizes al Iocati ons. • Adj ustrrents to State revenue to reflect the actual State Lottery i ncorre ewer original prqj ecti ons. • Adjustrrents to Local revenues to reflect donations from parents and comrrunity.
The District's estimated budget includes all rronies available, whereas the actual budget reflects final expenditures, which are often ICNVer, and result in carryc:wers to be rolled into the follCNVingyear. An example would be unspent restricted Federal and State programs and school site carryc:wer.
CAPITAL ASSET AND DEBT ADMINISTRATION
Capital Assets
During 2018--2019, the District invested in capital assets that included purchasing a new tractor m::wer that has imprc:wed grounds managerrent. Copiers were replaced districtwide. New servers were purchased, consolidating site servers to the District office with an upgrade to network security.
The District broke ground and started construction on a new Central Kitchen planned to be in service in 2019--2020.
For fiscal year 2018--2019, the interim school site forrrerly knONn as Sun View was completed on tirre to accept the students for the first school to be modernized. W estrront was modernized in 2018--2019 reopening its doors for the 2019--2020 school year. College View's initial planning and implementation had begun at the end of fiscal year 2018--2019. The Oak View Gym was corrµleted inJ une 2019. Phase I of the fencing prqject had started and was corrµI eted in the sumrrer of 2019.
Total depreciation expense for the year was approximately $5.2 nillion.
We present rrore detai Ied information regarding our capital assets in Note 5 of the financial staterrents.
11 OCEAN VIEW SCHOOL DISTRICT
MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2019
Long-Term Obligations
At year-end, the District had $91,452,621 in long-term obligations outstanding versus $95,967,886 last year, a decrease of $4, 51 5,265 or 4. 7 percent. We present more detai Ied i nforrrati on regarding our Iong-term obi i gati ons in Note 9 of the financial statements.
Table 5
Gc:wernmental Activities 2019 2018 General obi i gati on bonds (financed with property taxes) $ 41,465,000 $ 45,000,000 Preniumon general obligation bonds 1,725,723 1,790,036 Certificates of participation 21, 110,000 22,545,000 Preni um on certificates of participation 154,612 188,860 Discount on certificates of participation (37,990) (41,443) Compensated absences 796,793 814,317 Capitalized lease obligations 15,656 Supplemental early retirement plan 2,589,200 3,236,500 Net other postemplayment benefits (OPEB) liability 23,649,283 22,418,960 T~I $ 91,452,621 $ 95,967,886
Net Pension Liability (NPL)
At year-end, the District had $103,069,697 in pension liability versus $102,190,870 last year, an increase of $878,827 or 0.9 percent. We present more detailed inforrration regarding our net pension liability in Note 13 of the financial statements
FACTORS BEARING ON THE DISTRICT'S FUTURE
Ocean View School District's enrollment 5cN'.J a decrease in 2018-2019 like rrany other districts in California Fluctuation in enrollment impacts the District's revenue. The District continues to rrake expenditure adjustments to assist in compensating for the loss in revenue and will continue to rraintain a reserve level above the minimum level required. The District is also impacted by the increasing CalSTRS and Cal PERS pension liabilities without any additional or new revenue stream
CONTACTING THE DISTRICT'S FINANCIAL MANAGEMENT
This financial report is designed to provide our citizens, taxpayers, customers, and investors and creditors with a general c:wervi ew of the District's finances and to demonstrate the District's accountabi Ii ty for the money it receives. If you have questions about this report or need additional i nforrrati on, contact:
Michael Conray, Ed D., Deputy Superintendent Ocean View School District 17200 Pinehurst Lane Huntington Beach, California 92647
12 OCEAN VIEW SCHOOL DISTRICT
STATEMENT OF NET POSITION JUNE 30, 2019
Governmental Activities ASSETS Deposits and investments $ 59,760,448 Receivables 5,634,504 Prepaid expenses 2,420 Stores inventories 168,453 Total Current Assets 65,565,825 Capital Assets: Land and construction in progress 38,789,951 Other capital assets 149,004,063 Less: Accumulated depreciation (69,041,056) Total Capital Assets 118, 752,958 Total Assets 184,318, 783
DEFERRED OUTFLOWS OF RESOURCES Deferred outflCMJs of resources related to net other postemployment benefits (OPEB) liability 526,463 Deferred outflCMJs of resources related to pensions 26,399,020 Total Deferred Outflows of Resources 26,925,483
LIABILITIES Accounts payable 10,891,904 Accrued interest 766,486 Unearned revenue 110,570 Long-term obi i gations: Current portion of long-term obligations other than pensions 4,772,300 Noncurrent portion of long-term obligations other than pensions 86,680,321 Total Long-Term Obligations 91,452,621 Aggregate net pension liability 103, 069, 697 Total Liabilities 206,291,278
DE FERRE DI NF LOWS OF RESOURCES Deferred inflows of resources related to pensions 8,591,238
NET POSITION Net investments in capital assets 75,968,069 Restricted for: Debt service 2,708,681 Capital projects 11,763,901 Educational programs 1,615, 724 Other activities 2,058,876 Unrestricted (deficit) (97, 753,501) Total Net Position (deficit) $ (3,638,250)
The accorrµanyi ng notes are an integral part of these financial statements.
13 OCEAN VIEW SCHOOL DISTRICT
STATEMENT OF ACTIVITIES FOR THE YEAR ENDE DJ UNE 30, 2019
Net (Expenses) Revenues and Changes in Program Revenues Net Position Charges for Operating Capital Services and Grants and Grants and Governmental F unctions;Programs Expenses Sales Contributions Contributions Activities Governmental Activities: Instruction $ 64,783,356 $ 197 $ 13,267,201 $ 162,396 $ (51,353,562) Instruction-related activities: Supervision of instruction 2, 963, 000 240 1,066, 158 ( 1, 896, 602) I nstructi anal Ii brary, media, and technology 863,698 37,228 (826,470) School site adrrinistration 5,895,619 259 449,214 (5,446, 146) Pupil services: Home-to-school transportation 2,520,281 77, 145 (2,443, 136) Food services 3,238,651 736,916 2,285,939 (215,796) All other pupil services 3,362,208 628 935,386 (2,426, 194) Adrri nistration: Data processing 1, 147,661 27,957 ( 1, 119, 704) All other administration 5,726,037 34,536 471,582 (5,219,919) Plant services 12,044,482 602,844 (11,441,638) Anci I lary services 104,318 7,227 (97,091) Community services 2,430,658 86,484 (2,344, 174) Interest on long-term obligations 2,252,776 (2,252, 776) Other outgo 188,450 32, 138 294,709 138,397 Depreciation (unallocated) 1 5,212,045 (5,212,045) Total Governmental Activities $ 112, 733,240 $ 804,914 $ 19,609,074 $ 162,396 (92, 156,856)
General Revenues and Subventions: Property taxes, levied for general purposes 46,093,669 Taxes levied for debt service 4,039,088 Taxes levied for other specific purposes 674,047 Federal and State aid not restricted to specific purposes 28,751,473 I nterest and investment earnings 1,774, 145 Mi scel I aneous 12, 199,390 Subtotal, General Revenues 93,531,812 Change in Net Position 1,374,956 Net Position -Beginning (5,013,206) Net Position -Ending $ (3,638,250)
1 This arrount excludes any depreciation that is included in the direct expenses of the various programs.
The accorrµanyi ng notes are an integral part of these financial staterrents.
14 OCEAN VIEW SCHOOL DISTRICT
GOVERNMENTAL FUNDS BALANCE SHE ET JUNE 30, 2019 ,,..,...... ,,.:,-;..,,,..,...... ,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.==~
Non-Major Total General Building Governmental Governmental Fund Fund Funds Funds ASSETS Deposits and investments $ 14,489,883 $ 25,369, 180 $ 19,901,385 $ 59,760,448 Receivables 4,854,559 53,033 726,912 5,634,504 Due from other funds 291,594 291,594 Prepaid expenditures 2,420 2,420 Stores inventories 73,334 95, 119 168,453 Total Assets $ 19,711,790 $ 25,422,213 $ 20,723,416 $ 65,857,419
LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 5,328,973 $ 3,789,757 $ 1,773, 174 $ 10,891,904 Due to other funds 291,594 291,594 Unearned revenue 58,424 52, 146 110,570 Total Liabilities 5,387,397 3,789,757 2, 116,914 11,294,068 Fund Balances: N onspendable 121,754 96, 119 217,873 Restricted 1,615,724 21,632,456 17,297,944 40,546, 124 Assigned 9,848,889 1,212,439 11,061,328 Unassigned 2,738,026 2,738,026 Total Fund Balances 14,324,393 21,632,456 18,606,502 54,563,351 Total Liabilities and Fund Balances $ 19,711,790 $ 25,422,213 $ 20,723,416 $ 65,857,419
The accorrµanyi ng notes are an integral part of these financial statements.
15 OCEAN VIEW SCHOOL DISTRICT
RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENT OF NET POSITION JUNE 30, 2019
Total Fund Balance-Governmental Funds $ 54,563,351 Amounts Reported for Governmental Activities in the Statement of Net Position are Different Because: Capital assets used in governmental activities are not financial resources and, therefore, are not reported as assets in governmental funds. The cost of capital assets is: $ 187,794,014 Accumulated depreciation is: (69,041,056) Net Capital Assets 118,752,958 In governmental funds, unmatured interest on long-term obi igations is recognized in the period when it is due. On the government-wide financial statements, unmatured interest on long-term obi igations is recognized when it is incurred. (766,486) Deferred outflcms of resources related to pensions represent a consumption of net position in a future period and is not reported in the District's funds. Deferred outflows of resources related to pensions at year-end consist of: Pension contributions subsequent to measurement date 9,519,760 Net change in proportionate share of net pension liability 39,478 Differences between projected and actual earnings on pension plan investments 275,029 Differences between expected and actual experience in the measurement of the total pension I iabi I ity 2,413,809 Changes of assumptions 14, 150,944 Total Deferred Outflows of Resources Related to Pensions 26,399,020 Deferred inflcms of resources related to pensions represent an acquisition of net position that applies to a future period and is not reported in the District's funds. Deferred inflcms of resources related to pensions at year-end consist of: Net change in proportionate share of net pension liability (4,903,472) Differences between projected and actual earnings on pension plan investments (2,677,678) Differences between expected and actual experience in the measurement of the total pension I iabi I ity ( 1,010,088) Total Deferred I nfl cms of Resources Related to Pensi ans (8,591,238) Deferred outflcms of resources related to OPE B represent a consumption of net position in a future period and is not reported in the District's funds. Deferred outflcms of resources related to OPEB at year-end consist of changes of assumptions. 526,463
The accorrµanyi ng notes are an integral part of these financial statements.
16 OCEAN VIEW SCHOOL DISTRICT
RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENT OF NET POSITION (Continued) JUNE 30, 2019
Net pension liability is not due and payable in the current period, and is not reported as a liability in the funds. $ ( 103, 069, 697)
Long-term obligations are not due and payable in the current period, and therefore are not reported as liabilities in the funds.
Long-term obligations at year-end consist of: General obligation bonds $ (41,465,000) Premium on issuance of general obi igation bonds ( 1, 725, 723) Certificates of participation (21, 110,000) Premium on issuance of certificates of participation ( 154,612) Discount on issuance of certificates of participation 37,990 Compensated absences (796,793) S uppl errental early reti rerrent pl an (2,589,200) Net other posternployrrent benefits (OPEB) liability ( 23, 649, 283) Total Long-Term Obi i gati ans (91,452,621) Total Net Position -Governmental Activities $ (3,638,250)
The accorrµanyi ng notes are an integral part of these financial statements.
17 OCEAN VIEW SCHOOL DISTRICT
GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES,AND CHANGES IN FUND BALANCES FOR THE YEAR ENDE DJ UNE 30, 2019 -~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ·,-~..,.~-..- ··-~
Non-Major Total General Building Governmental Govern mental Fund Fund Funds Funds REVENUES Local Control Funding Formula $ 71,084,855 $ - $ - $ 71,084,855 Federal sources 4,554,713 2,118,767 6,673,480 Other State sources 11,849,865 3,004,943 14,854,808 Other I ocal sources 7,554,965 881,254 14,732,716 23,168,935 Total Revenues 95,044,398 881,254 19,856,426 11 5, 782,078 EXPENDITURES Current I nstructi on 62,785,207 555,793 63,341,000 Instruction-related activities: Supervision of instruction 2,804,332 78,417 2,882,749 I nstructi anal I i brary, rredi a, and technology 817,633 817,633 School site adrrinistration 5,640,370 46,077 5,686,447 Pupi I services: Home-to-school transportation 2,418,080 2,418,080 Food services 3, 171,266 3, 171,266 All other pupil services 3,264,035 3,264,035 Adrrinistration: Data processing 1, 111,500 1, 111,500 All other administration 5,488,665 298,765 5,787,430 Plant services 8, 141,304 426,227 376,876 8,944,407 A nci 11 ary services 99,776 99,776 Community services 570 2,315,461 2,316,031 Other outgo 188,450 188,450 Facility acquisition and construction 205,493 20, 161,235 7,657,355 28,024,083 Debt service Principal 1,656 4,984,000 4,985,656 I nterest and other 8 2,388,575 2,388,583 Total Expenditures 92,967,079 20,587,462 21,872,585 135,427, 126 NET CHANGE IN FUND BALANCES 2,077,319 ( 19, 706, 208) (2,016, 159) ( 19,645,048) Fund Balances-Beginning 12,247,074 41,338,664 20,622,661 74,208,399 Fund Balances-Ending $ 14,324,393 $ 21,632,456 $ 18,606,502 $ 54,563,351
The accorrµanyi ng notes are an integral part of these financial statements.
18 OCEAN VIEW SCHOOL DISTRICT
RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES,AND CHANGES IN FUND BALANCES TO THE STATEMENT OF ACTIVITIES FOR THE YEAR ENDE DJ UNE 30, 2019
Total Net Change in Fund Balances -Governmental Funds $ ( 19,645,048) Amounts Reported for Governmental Activities in the Statement of Activities are Different Because: Capital outlays to purchase or build capital assets are reported in governmental funds as expenditures, however, for governmental activities, those costs are shown in the Statement of Net Position and al located over their estimated useful lives as annual depreciation expenses in the Statement of Activities. This is the amount by which capital outlay exceeds depreciation in the period. Capital outlays $ 25,205,539 Depreciation expense (5,212,045) Net Expense Adjustment 19,993,494 Loss on disposal of capital assets is reported in the government-wide Statement of Net Position, but is not recorded in the governmental funds. (3,622) In the Statement of Activities, compensated absences (vacations) and special termination benefits (supplemental early retirement plan) are measured by the armunts earned during the year. In the governmental funds, however, expenditures for these items are measured by the armunt of financial resources used (essentially, the armunts actually paid). Vacation earned was less than the armunts used by $17,524. Special termination benefits added was less than the armunt paid by $647,300. 664,824 In the governmental funds, pension costs are based on employer contributions made to pension plans during the year. However, in the Statement of Activities, pension expense is the net effect of all changes in the deferred outflows, deferred inflows and net pension liability during the year. (3,808,550) In the governmental funds, OPEB costs are based on employer contributions made to OPEB plans during the year. However, in the Statement of Activities, OPEB expense is the net effect of all changes in the deferred outflows, deferred inflows and net OPEB liability during the year. (947,605) Repayment of debt principal is an expenditure in the governmental funds, but it reduces long-term obligations in the Statement of Net Position and does not affect the Statement of Activities: General obligation bonds 3,535,000 Certificates of participation 1,435,000 Capital lease 15,656 Combined Adjustment 4,985,656
The accorrµanyi ng notes are an integral part of these financial statements.
19 OCEAN VIEW SCHOOL DISTRICT
RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES,AND CHANGES IN FUND BALANCES TO THE STATEMENT OF ACTIVITIES, (Continued) FOR THE YEAR ENDE DJ UNE 30, 2019
Under the rmclified basis of accounting used in the govern~ntal funds, expenditures are not recognized for transactions that are not normally paid with expendable available financial resources. In the State~nt of Activities, however, which is presented on the accrual basis, expenses and liabilities are reported regardless of when financial resources are available. This adjust~nt combines the net changes of the following balances: Amortization of debt premium $ 98,561 Amortization of debt discount (3,453) Combined Adjust~nt $ 95, 108 Interest on long-term obi igations in the State~nt ot Activities ditters tram the amount reported in the govern~ntal funds because interest is recorded as an expenditure in the funds when it is due, and thus requires the use of current financial resources. In the State~nt of Activities, however, interest expense is recognized as the interest accrues, regardless of when it is due. Accrued interest on the general obligation bonds and the certificates of participation decreased by $40,699. 40,699 Change in Net Position of Governmental Activities $ 1,374,956
The accorrµanyi ng notes are an integral part of these financial statements. 20 OCEAN VIEW SCHOOL DISTRICT
Fl DUCIARY FUNDS STATEMENT OF NET POSITION JUNE 30, 2019
Agency Funds Student Funds ASSETS Deposits and investrrents $ 273,344 Stores inventories 39,535 Total Assets $ 312,879
LIABILITIES Accounts payable $ 11,274 Due to student groups 301,605 Total Liabilities $ 312,879
The accornpanyi ng notes are an integral part of these financial staterrents.
21 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
NOTE 1 -SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Financial Reporting E ntity
The Ocean View School District (the District) was organized in 1874 under the laws of the State of California. The District operates under a locally-elected five--rrember Board form of government and provides educational services to grades kindergarten through eight as mandated by the State and Federal agencies. The District operates eleven elementary schools and four niddle schools.
A reporting entity is comprised of the primary government, component units, and other organizations that are included to ensure the financial statements are not misleading. The primary government of the District consists of all funds, departments, boards, and agencies that are not legally separate from the District. For Ocean View School District, this includes general operations, child care operations, food service, and student related activities of the District.
Component Units
Component units are legally separate organizations for which the District is financially accountable. Component units may include organizations that are fiscally dependent on the District in that the District approves their budget, the issuance of their debt or the levying of their taxes. In addition, component units are other legally separate organizations for which the District is not financially accountable but the nature and significance of the organization's relationship with the District is such that exclusion would cause the District's financial statements to be nisleading or incomplete. For financial reporting purposes, the component unit has a financial and operational relationship which meets the reporting entity definition criteria of the Governmental Accounting Standards Board (GASB) Statement No. 14, The Financial Reporting Entity, and thus is included in the financial statements of the District. The component unit, although a legally separate entity, is reported in the financial statements using the blended presentation method as if it were part of the District's operations because the governing board of the component unit is essentially the same as the governing board of the District and because its purpose is to finance the construction of faci Ii ti es to be used for the benefit of the District.
The District and the Ocean View School District Facilities Corporation (the Corporation), as represented by the Certificates of Participations, have a financial and operational relationship which meets the reporting entity definition criteria of GASB Statement No. 14, The Financial Reporting Entity, for inclusion of the Corporation as a component unit of the District. Accordingly, the financial activity of the Corporation is presented in the financial statements as the Debt Service Fund. The Certificates of Participation issued by the Corporation are included as long-term obi igations in the government-wide financial statements. Individually-prepared financial statements are not prepared for the Corporation.
Basis of Presentation -Fund Accounting
The accounting system is organized and operated on a fund basis. A fund is defined as a fiscal and accounting entity with a self-balancing set of accounts, which are segregated for the purpose of carrying on specific activities or attaining certain oqjectives in accordance with special regulations, restrictions, or linitations. The District's funds are grouped into two broad fund categories: governmental and fiduciary.
22 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Governmental Funds Governrrental funds are those through which rrost governrrental functions typically are financed. Governrrental fund reporting focuses on the sources, uses, and balances of current financial resources. Expendable assets are assigned to the various governrrental funds according to the purposes for which they may or must be used. Current liabilities are assigned to the fund from which they will be paid. The difference between governrrental fund assets and liabilities is reported as fund balance. ThefollONingarethe District's rrajorand non rnajor governrrental funds:
Maj or Governmental Funds
General Fund The General Fund is the chief operating fund for all districts. It is used to account for the ordinary operations of the District. A 11 transactions except those accounted for in another fund are accounted for in this fund.
Two funds currently defined as a special revenue fund in the California State Accounting Manual (CSAM) does not rreettheGASB Staterrent No. 54 special revenue fund definition. Specifically, Fund 14, Deferred Maintenance Fund, and Fund 17, Special Reserve Fund for Other Than Capital Outlay Prqjects is not substantially composed of restricted or comnitted revenue sources. While this fund is authorized by statute and will remain open for internal reporting purposes, this fund functions effectively as an extension of the General Fund, and accordingly has been combined with the General Fund for presentation in these audited financial staterrents.
As a result, the General Fund reflects an increase in fund balance, revenues, and expenditures and other uses of $621,493, $17,288, and $372,355, respectively.
Building Fund The Building Fund exists primarily to account separately for proceeds from the sale of bonds (Education Code Section 15146) and may not be used for any purposes other than those for which the bonds were issued.
Non-Major Governmental Funds
Special Revenue Funds The Special Revenue funds are used to account for the proceeds from specific revenue sources (other than trusts, major capital prqjects, or debt service) that are restricted or comnitted to the financing of particular activities, that compose a substantial portion of the i nfl ONS of the fund, and that are reasonably expected to continue. Additional resources that are restricted, comnitted, or assigned to the purpose of the fund may also be reported in the fund.
Child Development Fund The Child Developrrent Fund is used to account separately for federal, State, and local revenues to operate child developrrent programs and is to be used only for expenditures for the operation of chi Id devel oprrent programs.
Cafeteria Fund The Cafeteria Fund is used to account separately for Federal, State, and local resources to operate the food service program (Education Code Sections 38090-38093) and is used only for those expenditures authorized by the governing board as necessary for the operation of the District's food service program (Education Code Sections 38091 and 38100).
23 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Capital Prqject Funds The Capital Prqject funds are used to account for financial resources to be used for the acquisition or construction of major capital facilities and other capital assets (other than those financed by proprietary funds and trust funds).
Capital Facilities Fund The Capital Facilities Fund is used prirrarily to account separately for rronies received from fees levied on developers or other agencies as a condition of apprc:wal (Education Code Sections 17620-17626 and Gc:wernrrent Code Section 65995 et seq.). Expenditures are restricted to the purposes specified in Gc:wernrrentCodeSections 65970-65981 or to the items specified in agreerrentswith the developer (Gc:wernrrent Code Section 66006).
County School Facilities Fund The County School Facilities Fund is established pursuant to Education Code Section 17070.43 to receive apportionrrents from the 1998 State School Facilities Fund (Proposition IA), the 2002 State School Facilities Fund (Proposition 47), the 2004 State School Facilities Fund (Proposition 55), the 2006 State School Facilities Fund (Proposition 10), or the 2016 State School Facilities Fund (Proposition 51), authorized by the State Allocation Board for new school facility construction, modernization prqj ects, and faci Ii ty hardship grants, as prc:wi ded in the Leray F. Greene School Facilities Act of 1998 (Education Code Section 17070 et seq.).
Special Reserve Fund for Capital Outlay Projects The Special Reserve Fund for Capital Outlay Prqjects exists prirrarily to prc:wide for the accumulation of General Fund rronies for capital outlay purposes (Education Code Section 42840).
Debt Service Funds The Debt Service funds are used to account for the accumulation of resources for, and the payment of, principal and interest on general I ong-term obi i gati ons.
Bond Interest and Redemption Fund The Bond Interest and Redemption Fund is used for the repayrrent of bonds issued for a district (Education Code Sections 15125-15262).
Fiduciary Funds Fiduciary funds are used to account for assets held in trustee or agent capacity for others that cannot be used to support the District's ONn programs. The fiduciary fund category is split into four classifications: pension trust funds, investrrent trust funds, private-purpose trust funds, and agency funds. The key distinction between trust and agency funds is that trust funds are suqject to a trust agreerrent that affects the degree of rranagement involvement and the I ength of ti rre that the resources are held.
Agency funds are custodial in nature (assets equal liabilities) and do not involve measurerrent of results of operations. Such funds have no equity accounts since all assets are due to individuals or entities at sorre future time. The District's agency fund accounts for student body activities (ASB).
Basis of A ccou nti ng - M easu r ement Focus
G c:wern ment-W i de F i nanci al Statements The gc:wernment-wi de statements are prepared using the econoni c resources measurerrent focus and the accrual basis of accounting. This is the same approach used in the preparation of the proprietary fund financial statements but differs from the rranner in which gc:wernrrental fund financial statements are prepared.
24 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
The gc:wernment-wi de statement of activities presents a corrµiri son between direct expenses and program revenues for each segment of the Districtandforeach gc:wernmental programand excludes fiduciary activity. Direct expenses are those that are specifically associated with a service, program, or department and are therefore cl early i dentifi able to a particular function. The District does not allocate indirect expenses to functions in the Statement of Activities. Program revenues include charges paid by the recipients of the goods or services offered by the programs and grants and contributions that are restricted to meeting the operational or capital requirements of a particular program. Revenues that are not classified as program revenues are presented as general revenues. The comparison of program revenues and expenses identifies the extent to which each program or business segment is self-financing or draws from the general revenues of the District. EI i ni nations have been made to mini ni ze the double counting of internal activities.
Net position should be reported as restricted when constraints placed on net position are either externally imposed by creditors (such as through debt cc:wenants), granters, contributors, or laws or regulations of other gc:wernments or imposed by law through constitutional prc:wisions or enabling legislation. The net position restricted for other activities result from special revenue funds and the restrictions on their use.
Fund Financial Statements Fund financial statements report detailed inforrration about the District. The focus of governmental fund financial statements is on major funds rather than reporting funds by type. Each major fund is presented in a separate column. Non-fTBjor funds are aggregated and presented in a single column.
G c:wern mental Funds A 11 gc:wernmental funds are accounted for using a fl CNV of current financial resources measurement focus and the modified accrual basis of accounting. With this measurement focus, only current assets and current liabilities generally are included on the balance sheet. The statement of revenues, expenditures, and changes in fund balances reports on the sources (revenues and other financing sources) and uses ( expenditures and other financing uses) of current financial resources. This approach differs from the rranner in which the gc:wernmental activities of the gc:wernment-wide statements are prepared. Gc:wernmental fund financial statements therefore include reconciliation with brief explanations to better identify the relationship between the gc:wernment-wide statements and the statements for the gc:wernmental funds on a modified accrual basis of accounting and the current financial resources measurement focus. U nder this basis, revenues are recognized in the accounting period in which they become measurable and available. Expenditures are recognized in the accounting period in which the fund liability is incurred, if measurable.
Fiduciary Funds Fiduciary funds are accounted for using the flCNV of economic resources measurement focus and the accrual basis of accounting. Fiduciary funds are excluded from the gc:wernment-wide financial statement because they do not represent resources of the District.
Revenues - Exchange and Non-£ xchange Transactions Revenue resulting from exchange transactions, in which each party gives and receives essentially equal value, is recorded on the accrual basis when the exchange takes place. On a modified accrual basis, revenue is recorded in the fiscal year in which the resources are measurable and become available. Available means that the resources will be collected within the current fiscal year or are expected to be collected soon enough thereafter to be used to pay liabilities of the current fiscal year. Generally, available is defined as collectiblewithin 9()days. HCNVever, to achieve comparability of reportingarrongCalifornia districts and so as not to distort norrral revenue patterns, with specific respect to reimbursement grants and corrections to state-aid apportionments, the California Department of Education has defined available for districts as col Iecti bl e within one year. The fol ICNVi ng revenue sources are considered to be both measurable and avai Iable at fiscal year-end: State apportionments, interest, certain grants, and other local sources.
25 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Non-exchange transactions, in which the District receives value without directly giving equal value in return, include property taxes, certain grants, entitlerrents, and donations. Revenue from property taxes is recognized in the fiscal year in which the taxes are received. Revenue from certain grants, entitlerrents, and donations is recognized in the fiscal year in which all eligibility requirerrents have been satisfied. Eligibility requirerrents include ti rre and purpose requi rerrents. 0 n a modified accrual basis, revenue from non-exchange transactions must also be available before it can be recognized.
Unearned Revenue Unearned revenue arises when potential revenue does not rreet both the "measurable" and "available" criteria for recognition in the current period, or when resources are received by the District prior to the incurrence of qualifying expenditures. In subsequent periods, when both revenue recognition criteria are rret, or when the District has a legal claim to the resources, the liability for unearned revenue is rerroved from the balance sheet and revenue is recognized.
Certain grants received before the eligibility requirerrents are rret are recorded as unearned revenue. On the governrrental fund financial staterrents, receivables that will not be collected within the available period are also recorded as unearned revenue.
Expenses;Expenditures On the accrual basis of accounting, expenses are recognized at the tirre they are incurred. The measurerrent focus of governrrental fund accounting is on decreases in net financial resources ( expenditures) rather than expenses. Expenditures are generally recognized in the accounting period in which the related fund liability is incurred, if measurable, and typically paid within 90 days. Principal and interest on long-term obligations, which has not rratured, are recognized when paid in the governrrental funds as expenditures. Allocations of costs, such as depreciation and amortization, are not recognized in the governrrental funds but are recognized in the entity-wide staterrents.
I nvestments
I nvestrrents held atJ une 30, 2019, with original rraturities greater than one year are stated at fair value. Fair value is estirrated based on quoted rrarket prices at year-end. All investrrents not required to be reported at fair value are stated at cost or arrorti zed cost. Fair values of i nvestrrents in county and State i nvestrrent pools are deterni ned by the program sponsor.
Prepaid Expenditures (Expenses)
Prepaid expenditures (expenses) represent amounts paid in advance of receiving goods or services. The District has the option of reporting an expenditure in governrrental funds for prepaid items either when purchased or during the benefiting period. The District has chosen to report the expenditures when incurred.
Stores Inventories
Inventories consist of expendable food and supplies held for consumption. Inventories are stated at the IONer of cost or market, on the weighted average basis. The costs of inventory items are recorded as expenditures in the governrrental type funds and expenses in the fiduciary type funds when used.
26 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Capital Assets and Depreciation
The accounting and reporting treatrrent applied to the capital assets associated with a fund are deternined by its rreasurerrent focus. General capital assets are long-lived assets of the District. The District maintains a capitalization threshold of $5,000. The District does not possess any infrastructure. I rrµroverrents are capitalized; the costs of normal maintenance and repairs that do not add to the value of the asset or materially extend an asset's life are not capitalized but are expensed as incurred. Interest incurred during the construction of capital assets utilized by the enterprise fund is also capitalized.
When purchased, such assets are recorded as expenditures in the governrrental funds and capitalized in the governrrent-wide financial staterrent of net position. The valuation basis for general capital assets are historical cost, or where historical cost is not avai Iable, estimated historical cost based on repl acerrent cost. Donated capital assets are capitalized at estimated fair market value on the date donated.
Capital assets in the proprietary funds are capitalized in the fund in which they are utilized. The valuation basis for proprietary fund and capital assets are the sarre as those used for the capital assets of governrrental funds.
Depreciation of capital assets is corrµuted and recorded by the straight-line rrethod. Estimated useful lives of the various classes of depreciable capital assets are as follONs: land improverrents, 20 to 50 years; buildings and i mproverrents, 20 to 50 years; equi prrent, 5 to 15 years.
I nterfund Balances
On fund financial staterrents, receivables and payables resulting from short-term interfund loans are classified as "interfund receivables/payables." These amounts are elininated in the governrrental activities columns of the staterrent of net position.
Compensated Absences
Compensated absences are accrued as a I iabi I ity as the benefits are earned. The entire compensated absence I iabi I ity is reported on the governrrent-wide staterrent of net position. For governrrental funds, the current portion of unpaid compensated absences is recognized upon the occurrence of relevant events such as employee resignations and reti rerrents that occur prior to year-end that have not yet been paid with expendable available financial resources. These amounts are reported in the fund from which the errµloyees who have accumulated leave are paid.
Sick leave is accumulated without limit for each employee at the rate of one day for each rronth worked. Leave with pay is provided when errµloyees are absent for health reasons; hONever, the errµloyees do not gain a vested right to accumulated sick leave. Errµloyees are never paid for any sick leave balance at terni nation of employrrent or any other tirre. Therefore, the value of accumulated sick leave is not recognized as a liability in the District's financial staterrents. HCNVever, credit for unused sick leave is applicable to all classified school rrembers who retire after January 1, 1999. At reti rerrent, each rrember wi 11 receive .004 year of service credit for each day of unused sick leave. Credit for unused sick leave is applicable to all certificated employees and is deternined by dividing the number of unused sick days by the number of base service days required to complete the last school year, if employed f ul I-ti rre.
27 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Accrued Liabilities and Long-Term Obligations
All payables, accrued liabilities, and long-term obligations are reported in the governrrent-wide financial staterrents. In general, governrrental fund payables and accrued liabilities that, once incurred, are paid in a tirrely rranner and in ful I from current financial resources are reported as obi igations of the funds.
HONever, claims and judgrrents, compensated absences, special ternination benefits, and contractually required pension contributions that will be paid from governrrental funds are reported as a liability in the fund financial staterrents only to the extent that they are due for payrrent during the current year. Certificates of participation, capital leases, and compensated absences are recognized as liabilities in the governrrental fund financial staterrents when due.
Debt Issuance Costs, Premiums, and Discounts
In the governrrent-wide financial staterrents financial staterrents, long-term obligations are reported as liabilities in the applicable governrrental activities Staterrent of Net position. Debt preniums and discounts, as well as issuance costs related to prepaid insurance costs are amortized over the life of the bonds using the straight-line rrethod.
In governrrental fund financial staterrents, bond preniums and discounts, as well as debt issuance costs are recognized in the current period. The face amount of the debt is reported as other financing sources. Preniums received on debt issuance are al so reported as other financing sources. Issuance costs, whether or not withheld from the actual debt proceeds, are reported as debt seivice expenditures.
Deferred OutflONs~ nflONs of Resources
In addition to assets, the Staterrent of Net Position also reports deferred outflONs of resources. This separate financial staterrent elerrent represents a consumption of net position that applies to a future period and so will not be recognized as an expense or expenditure until then. The District reports deferred outflCNVs of resources for pension related items, and for OPEB related items.
In addition to liabilities, the Staterrent of Net Position reports a separate section for deferred inflCNVs of resources. This separate financial staterrent el errent represents an acqui si ti on of net position that applies to a future period and so will not be recognized as revenue until then. The District reports deferred inflONs of resources for pension related items.
Pensions
For purposes of measuring the net pension I iabi I ity and deferred outfl CNVsfi nfl CNVS of resources related to pensions, and pension expense, inforrration about the fiduciary net position of the California State Teachers Retirerrent System (CalSTRS) and the California Public Employees' Retirerrent System (Cal PERS) plan for schools (Plans) and additions to/deductions from the Plans' fiduciary net position have been deternined on the sarre basis as they are reported by CalSTRS and CalPERS. For this purpose, benefit payrrents (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Member contributions are recognized in the period in which they are earned. I nvestrrents are reported at fair value.
28 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Postempl0yment Benefits Other Than Pensions (OPE B)
For purposes of measuring the net OPE B I iabi I ity, deferred outflCNVs of resources and deferred i nflONs of resources related to OPEB, and OPEB expense, information about the fiduciary net position of the District Plan and the CalSTRS Medicare Premium Payment (M PP) Program and additions to/deductions from the District Plan and the MPP's fiduciary net position have been deternined on the same basis as they are reported by the District Plan and the M PP. For this purpose, the District Plan and the M PP recognizes benefit payments when due and payable in accordance with the benefit terms. I nvestments are reported at fair value, except for money market investments and participating interest-earning investment contracts that have a maturity at the time of purchase of one year or less, which are reported at cost.
Fund Balances -Governmental Funds
As of June 30, 2019, fund balances of the governmental funds are classified as fol lONs:
Nonspendable -amounts that cannot be spent either because they are in nonspendable form or because they are legally or contractually required to be maintained intact.
Restricted -amounts that can be spent only for specific purposes because of constitutional provisions or enabling legislation or because of constraints that are externally imposed by creditors, granters, contributors, or the laws or regulations of other governments.
Assigned -amounts that do not meet the criteria to be classified as restricted or committed but that are intended to be used for specific purposes. Under the District's adopted policy, only the governing board or chief business officer{clssistant superintendent of business services may assign amounts for specific purposes.
Unassigned -all other spendable amounts.
Spending Order Policy
When an expenditure is incurred for purposes for which both restricted and unrestricted fund balances is available, the District considers restricted funds to have been spent first. When an expenditure is incurred for which assigned, or unassigned fund balances are available, the District considers amounts to have been spent first out of assigned funds, and then unassigned funds, as needed, unless the governing board has provided otherwise in its comnitment or assignment actions.
Minimum Fund Balance Policy
The governing board adopted a ninimum fund balance policy for the General Fund in order to protect the district against revenue shortfalls or unpredicted one-time expenditures. The policy requires a Reserve for Econonic Uncertainties consisting of unassigned amounts equal to no less than three percent of General Fund expenditures and other financing uses.
29 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Net Position
Net position represents the difference between assets and Ii abi Ii ti es. Net position net of i nvestrrent in capital assets consists of capital assets, net of accurrulated depreciation, reduced by the outstanding balances of any borrONings used for the acqui si ti on, construction, or i rrµrc:werrent of those assets. Net position is reported as restricted when there are linitations imposed on their use either through the enabling legislation adopted by the District or through external restrictions imposed by creditors, granters, or laws or regulations of other gc:wernrrents. The District first applies restricted resources when an expense is incurred for purposes for which both restricted and unrestricted net position is avai Iable. The gc:wernrrent-wide financial staterrents report $18, 147, 182 of restricted net position, which is restricted by enabling legislation.
I nterfund Activity
Exchange transactions between funds are reported as revenues in the seller funds and as expenditures/expenses in the purchaser funds. FIONs of cash or goods from one fund to another without a requirerrent for repayrrent are reported as i nterfund transfers. I nterfund transfers are reported as other financing sources/uses in gc:wernrrental funds. Repayrrents from funds responsible for particular expenditures/expenses to the funds that initially paid for them are not presented on the financial staterrents. I nterfund transfers are eliminated in the gc:wernrrental activities columns of the staterrent of activities.
Estimates
The preparation of the financial staterrents in conformity with accounting principles generally accepted in the United States of Arrerica requires rranagerrent to rrake esti rrates and assurrµtions that affect the arrounts reported in the financial staterrents and accorrµanyi ng notes. Actual results rray differ from those esti rrates.
Property Tax
Secured property taxes attach as an enforceable lien on property as of March 1. Taxes are payable in two i nstal I rrents on N cw ember 1 and February 1 and becorre delinquent on December 10 and A pri I 10, respectively. U nsecured property taxes are payable in one i nstal I rrent on or before August 31 and becorre delinquent after Nc:wember 1. The County of Orange bills and collects the taxes on behalf of the District. Local property tax revenues are recorded when received.
Change in Accounting Principles
In Nc:wember 2016, the GASB issued Staterrent No. 83, Certain Asset Retirerrent Obligations. This Staterrent addresses accounting and financial reporting for certain asset reti rerrent obi i gati ons (AR Os) . An ARO is a Iegal ly enforceable liability associated with the retirerrent of a tangible capital asset. A gc:wernrrent that has legal obligations to perform future asset retirerrent activities related to its tangible capital assets should recognize a liability based on the guidance in this Staterrent.
30 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
This Statement establishes criteria for determining the timing and pattern of recognition of a liability and a corresponding deferred outflON of resources for AROs. This Statement requires that recognition occur when the liability is both incurred and reasonably estirrable. The deternination of when the liability is incurred should be based on the occurrence of external laws, regulations, contracts, or courtjudgments, together with the occurrence of an internal event that obligates a government to perform asset retirement activities. Laws and regulations rray require governments to take specific actions to retire certain tangible capital assets at the end of the useful lives of those capital assets, such as decommissioning nuclear reactors and disrrantling and rem::wing sewage treatment plants. Other obligations to retire tangible capital assets rray arise from contracts or court judgments. Internal obligating events include the occurrence of contanination, placing into operation a tangible capital asset that is required to be retired, abandoning a tangible capital asset before it is placed into operation, or acquiring a tangible capital asset that has an existing ARO.
The District has implemented the provisions of this Statement as of June 30, 2019.
In April 2018, the GASB issued Statement No. 88, Certain Disclosures Related to Debt, including Direct BorrCNVings and Direct Placerrents. The prirrary oqjective of this Statement is to improve the inforrration that is disclosed in notes to government financial statements related to debt, including direct borrCNVings and direct placements. It also clarifies which liabilities governments should include when disclosing inforrration related to debt.
This Statement defines debt for purposes of disclosure in notes to financial statements as a liability that arises from a contractual obi i gati on to pay cash ( or other assets that may be used in Ii eu of cash) in one or more payments to settle an amount that is fixed at the date the contractual obi i gati on is established.
This Statement requires that additional essential inforrration related to debt be disclosed in notes to financial statements, including unused lines of credit; assets pledged as collateral for the debt; and terms specified in debt agreements related to significant events of default with finance-related consequences, significant terni nation events with finance-related consequences, and significant suqjective acceleration clauses.
For notes to financial statements related to debt, this Statement al so requires that existing and additional inforrrati on be provided for direct borrONi ngs and direct placements of debt separately from other debt.
The District has implemented the provisions of this Statement as of June 30, 2019.
New Accounting Pronouncements
In January 2017, the GASB issued Statement No. 84, Fiduciary Activities. The oqjective of this Statement is to improve guidance regarding the identification of fiduciary activities for accounting and financial reporting purposes and hCNV those activities should be reported.
This Statement establishes criteria for identifying fiduciary activities of all State and local governments. The focus of the criteria generally is on ( 1) whether a government is controlling the assets of the fiduciary activity and (2) the beneficiaries with whom a fiduciary relationship exists. Separate criteria are included to identify fiduciary component units and postemplayment benefit arrangements that are fiduciary activities.
The requirements of this Statement are effective for the reporting periods beginning after December 15, 2018. Early i mpl ementati on is encouraged.
31 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
lnJ une 2017, the GASB issued Statement No. 87, Leases. The oqjective of this Statement is to better meet the i nforrrati on needs of financial statement users by improving accounting and financial reporting for Ieases by governments. This Statement increases the usefulness of governments' financial statements by requiring recognition of certain lease assets and liabi I ities for leases that previously were classified as operating leases and recognized as i nfl ONS of resources or outfl ONS of resources based on the payment provisions of the contract. It establishes a single mxlel for lease accounting based on the foundational principle that leases are financings of the right to use an underlying asset. Under this Statement, a lessee is required to recognize a lease liability and an intangible right-to use lease asset, and a lessor is required to recognize a lease receivable and a deferred inflON of resources, thereby enhancing the relevance and consistency of inforrration about governments' leasing activities.
The requirements of this Statement are effective for the reporting periods beginning after December 15, 2019. Early i mpl ementati on is encouraged.
In June 2018, the GASB issued Statement No. 89, Accounting for Interest Cost Incurred Before the End of a Construction Period. The oqjectives of this Statement are (1) to enhance the relevance and comparability of inforrration about capital assets and the cost of borrCM1ing for a reporting period and (2) to simplify accounting for interest cost incurred before the end of a construction period.
This Statement establishes accounting requirements for interest cost incurred before the end of a construction period. Such interest cost includes al I interest that previously was accounted for in accordance with the requirements of paragraphs 5-22 of Statement No. 62, Codification of Accounting and Financial Reporting Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncerrents, which are superseded by this Statement. This Statement requires that interest cost incurred before the end of a construction period be recognized as an expense in the period in which the cost is incurred for financial statements prepared using the econonic resources measurement focus. As a result, interest cost incurred before the end of a construction period will not be included in the historical cost of a capital asset reported in a busi ness--type activity or enterprise fund.
This Statement also reiterates that in financial statements prepared using the current financial resources measurement focus, interest cost incurred before the end of a construction period should be recognized as an expenditure on a basis consistent with governmental fund accounting principles.
The requirements of this Statement are effective for reporting periods beginning after December 15, 2019. Earlier application is encouraged. The requirements of this Statement should be applied prospectively.
In August 2018, the GASB issued Statement 90, Majority Equity Interests - An Arrendrrent of GASB Staterrents No. 14 and No. 60. The pri rrary objectives of this Statement are to i rnprove the consistency and comparabi I i ty of reporting a government's majority equity interest in a legally separate organization and to improve the relevance of financial statement inforrration for certain component units. It defines a majority equity interest and specifies that a majority equity interest in a legally separate organization should be reported as an investment if a government's holding of the equity interest meets the definition of an investment. A majority equity interest that meets the definition of an investment should be measured using the equity method, unless it is held by a special-purpose government engaged only in fiduciary activities, a fiduciary fund, or an endCM1ment (including perrranent and term endCM1ments) or permanent fund. Those governments and funds should measure the majority equity interest at fair value.
32 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
For all other holdings of a majority equity interest in a legally separate organization, a governrrent should report the legally separate organization as a component unit, and the governrrent or fund that holds the equity interest should report an asset related to the majority equity interest using the equity rrethod. This Staterrent establishes that CM1nership of a majority equity interest in a legally separate organization results in the governrrent being financially accountable for the legally separate organization and, therefore, the governrrent should report that organization as a component unit.
This Staterrent al so requires that a component unit in which a governrrent has a 100 percent equity interest account for its assets, deferred outflCM1s of resources, liabilities, and deferred inflONs of resources at acquisition value at the date the governrrent acquired a 100 percent equity interest in the component unit. Transactions presented in f1CM1s staterrents of the component unit in that circumstance should include only transactions that occurred subsequent to the acquisition.
The requi rerrents of this Staterrent are effective for reporting periods beginning after December 15, 2018. Earlier application is encouraged. The requirerrents of this Staterrent should be applied prospectively.
In May 2019, the GASB issued Staterrent No. 91, Conduit Debt Obligations. The primary oqjectives of this Staterrent are to provide a single rrethod of reporting conduit debt obligations by issuers and eliminate diversity in practice associated with ( 1) comnitrrents extended by issuers, (2) arrangerrents associated with conduit debt obligations, and (3) related note disclosures. This Staterrent achieves those oqjectives by clarifying the existing definition of a conduit debt obligation; establishing that a conduit debt obligation is not a liability of the issuer; establishing standards for accounting and financial reporting of additional comnitrrents and voluntary comnitrrents extended by issuers and arrangerrents associated with conduit debt obligations; and improving required note di sci osures.
A conduit debt obi i gati on is defined as a debt i nstrurrent having al I of the fol I CM1i ng characteristics:
• There are at least three parties involved: ( 1) an issuer, (2) a third-party obliger, and (3) a debt holder or a debt trustee. • The issuer and the third-party obliger are not within the sarre financial reporting entity. • The debt obligation is not a parity bond of the issuer, nor is it cross-collateralized with other debt of the issuer. • The third-party obliger or its agent, not the issuer, ultirrately receives the proceeds from the debt issuance. • The third-party obliger, not the issuer, is prirrarily obligated for the payrrent of all amounts associated with the debt obligation (debt service payrrents).
All conduit debt obligations involve the issuer rraking a linited commitrrent. Sorre issuers extend additional comni trrents or voluntary comni trrents to support debt service in the event the third party is, or wi 11 be, unable to doso.
33 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
An issuer should not recognize a conduit debt obligation as a liability. HCNVever, an issuer should recognize a liability associated with an additional commitment or a voluntary comnitment to support debt service if certain recognition criteria are met. As long as a conduit debt obligation is outstanding, an issuer that has rrade an additional comnitment should evaluate at least annually whether those criteria are met. An issuer that has rrade only a linited comnitment should evaluate whether those criteria are met when an event occurs that causes the issuer to reevaluate its willingness or ability to support the obliger's debt service through a voluntary commitment.
This Statement also addresses arrangements-often characterized as leases-that are associated with conduit debt obligations. In those arrangements, capital assets are constructed or acquired with the proceeds of a conduit debt obi i gati on and used by third-party obi i gors in the course of their activities. Payments from third-party obi i gors are intended to cover and coincide with debt service payments. During those arrangements, issuers retain the titles to the capital assets. Those titles may or rray not pass to the obi igors at the end of the arrangements.
Issuers should not report those arrangements as leases, nor should they recognize a liability for the related conduit debt obligations or a receivable for the payments related to those arrangements. In addition, the follCNVing provisions apply:
• If the ti tie passes to the third-party obi i gor at the end of the arrangement, an issuer should not recognize a capital asset. • If the title does not pass to the third-party obliger and the third party has exclusive use of the entire capital asset during the arrangement, the issuer should not recognize a capital asset until the arrangement ends. • If the title does not pass to the third-party obliger and the third party has exclusive use of only portions of the capital asset during the arrangement, the issuer, at the inception of the arrangement, should recognize the entire capital asset and a deferred i nfl ON of resources. The deferred i nfl ON of resources should be reduced, and an i nfl ON recognized, in a systerrati c and rational rranner over the term of the arrangement.
This Statement requires issuers to disclose general inforrration about their conduit debt obligations, organized by type of comnitment, including the aggregate outstanding principal arrount of the issuers' conduit debt obligations and a description of each type of comni tment. Issuers that recognize Ii abi Ii ti es related to supporting the debt service of conduit debt obligations also should disclose inforrration about the arrount recognized and hCNV the liabilities changed during the reporting period.
The requirements of this Statement are effective for the reporting periods beginning after December 15, 2020. Early i mpl ementati on is encouraged.
34 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
NOTE 2 -DE POSITS AND INVESTMENTS
Summary of Deposits and Investments
Deposits and investrrents as of June 30, 2019, are classified in the accompanying financial staterrents as follONs:
G overnrrental activities $ 59, 760,448 Fiduciary funds 273,344 Total Deposits and I nvestrrents $ 60,033,792
Deposits and i nvestrrents as of June 30, 2019, consist of the fol lCNVi ng:
Cash on hand and in ranks $ 501,593 Cash in revolving 47,000 I nvestrrents 59,485, 199 Total Deposits and I nvestrrents $ 60,033,792
Policies and Practices
The District is authorized under California Governrrent Code and the District's investrrent policy to make direct investrrents in local agency bonds, notes, or warrants within the State; U.S. Treasury instrurrents; registered State warrants or treasury notes; securities of the U.S. Governrrent, or its agencies; rankers acceptances; comrrercial paper; certificates of deposit placed with comrrercial banks and/or savings and loan companies; repurchase or reverse repurchase agreerrents ( if such transactions are matched to maturity); rredi um term corporate notes; shares of beneficial interest issued by diversified managerrent companies, certificates of participation, obligations with first priority security; and coll aterali zed mortgage obligations.
Investment in County Treasury - The District is considered to be an involuntary participant in an external investrrent pool as the District is required to deposit all receipts and collections of monies with their County Treasurer (Education Code Section 41001). The fair value of the District's investrrent in the pool is reported in the accounting financial staterrents at amounts based upon the District's pro-rata share of the fair value provided by the County Treasurer for the entire portfolio (in relation to the amortized cost of that portfolio). The ralance available for withdrawal is based on the accounting records maintained by the County Treasurer, which is recorded on the amortized cost basis.
35 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
General Authorizations
Limitations as they relate to interest rate risk, credit risk, and concentration of credit risk are indicated in the schedules bel ON:
Maximum Maximum Maximum Authorized Remaining Percentage Investment Investment Type Maturity of Portfolio in One Issuer Local Agency Bonds, Notes, Warrants 5 years None None Registered State Bonds, Notes, Warrants 5 years None None U.S. Treasury Obligations 5 years None None U.S. Agency Securities 5 years None None Banker's Acceptance 180days 4(]>;6 3()>;6 Commercial Paper 270days 25% l(Y;6 Negotiable Certificates of Deposit 5 years 3()>;6 None Repurchase Agreements 1 year None None Reverse Repurchase Agreements 92 days 2CY;6 of base None Medium-Term Corporate Notes 5 years 3()>;6 None M utual Funds N/A 2()>;6 l(Y;6 Money Market Mutual Funds N/A 2()>;6 l(Y;6 Mortgage Pass-Through Securities 5 years 2()>;6 None County Pooled Investment Funds N/A None None Local Agency Investment Fund (LAI F) N/A None None Joint PONers Authority Pools N/A None None
Interest Rate Risk
I nterest rate risk is the risk that changes in market interest rates wi 11 adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. The District does not have a formal investment policy that limits investment maturities as a means of managing its exposure to fair value losses arising from increasing rates. The District manages its exposure to interest rate risk by investing in the Orange County Treasury Investment Pool and by purchasing a combination of shorter term and Ionger term investments and by timing cash fl ONS from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flON and liquidity needed for operations. The District maintains an investment of $59,485, 199with the Orange County Treasury Investment Pool that has an average weighted maturity of 310 days.
Credit Risk
Credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. The investment with the Orange County Treasury Investment Pool has been rated Aaa by Moody's Investor Service
36 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Custodial Credit Risk -Deposits
This is the risk that in the event of a bank failure, the District's deposits rray not be returned to it. The District does have a policy for custodial credit risk for deposits. The District's policy requires that all rronies deposited in a bank account outside of the County Treasury be fully insured or collateralized. TheCaliforniaGc:wernrrentCode requires that a financial institution secure deposits rrade by State or local gc:wernrrental units by pledging securities in an undivided collateral pool held by a depository regulated under State law (unless so waived by the gc:wernrrental unit). The rrarket value of the pledged securities in the collateral pool must equal at least 110 percent of the total arrount deposited by the public agency. California law also allONs financial institutions to secure public deposits by pledging first trust deed rrortgage notes having a value of 150 percent of the secured public deposits and letters of credit issued by the Federal Horre Loan Bank of San Francisco having a value of 105 percent of the secured deposits. Accounts at each institution are insured by the Federal Deposit Insurance Corporation (FDIC). As of June 30, 2019, the District's bank balances of $14,993was exposed to custodial credit risk because it was uninsured and uncollateralized.
NOTE 3-FAIR VALUE MEASUREMENTS
The District categorizes the fair value rreasurerrents of its investrrents based on the hierarchy established by generally accepted accounting pri nci pl es. The fair value hierarchy, which has three I evel s, is based on the valuation inputs used to rreasure an asset's fair value. The fol I ONi ng prc:wi des a sumrrary of the hierarchy used to rreasure fair value:
Level 1 -Quoted prices in active rrarkets for identical assets that the District has the ability to access at the rreasurerrent date. Level 1 assets rray include debt and equity securities that are traded in an active exchange rrarket and that are highly liquid and are actively traded in ewer-the-counter rrarkets.
Level 2 -Observable inputs other than Level 1 prices such as quoted prices for sinilar assets in active rrarkets, quoted prices for identical or sinilar assets in rrarkets that are not active, or other inputs that are observable, such as interest rates and curves observable at comrronly quoted intervals, implied volatilities, and credit spreads. For financial reporting purposes, if an asset has a specified term, a Level 2 input is required to be observable for substantially the ful I term of the asset.
Level 3 - U nobservabl e inputs should be developed using the best i nforrrati on avai Iable under the circumstances, which night include the District's CM/n data. The District should adjust that data if reasonably available inforrrati on indicates that other rrarket participants would use different data or certain circumstances specific to the District are not avai Iable to other rrarket participants.
37 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Uncategorized -lnvestrrents in the Orange County Treasury lnvestrrent Pool are not rreasured using the input levels above because the District's transactions are based on a stable net asset value per share. All contributions and redernpti ons are transacted at $1 .00 net asset value per share.
The District's fair value rreasurerrents are as follCNVs atJ une 30, 2019:
Reported I nvestrrent Type AmJUnt U ncategori zed Orange County Treasury I nvestrrent Pool $ 59,485, 199 $ 59,485, 199
NOTE 4-RECEIVABLES
Receivables atJ une 30, 2019, consisted of i ntergc:wernrrental grants, entitlerrents, interest, and other local sources. All receivables are considered collectible in full.
Non-Major Total General Building Gc:wernrrental Gc:wernrrental Fund Fund Funds Activities Federal Gc:wernrrent Categorical aid $ 1,984,078 $ $ 355,268 $ 2,339,346 State Gc:wernrrent LC FF apporti onrrent 388,531 388,531 Categorical aid 207,050 117,645 324,695 Lottery 449,078 449,078 Special education 1,244,268 1,244,268 Local Gc:wernrrent Interest 50,094 53,033 45,485 148,612 Other Local Sources 531,460 208,514 739,974 Total $ 4,854,559 $ 53,033 $ 726,912 $ 5,634,504
38 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
NOTE 5-CAPITAL ASSETS
Capital asset activity for the fiscal year endedJ une 30, 2019, was as foll01Vs:
Balance Balance July 1, 2018 Additions Deductions June 30, 2019 Governmental Activities Capital Assets Not Being Depreciated Land $ 10,554, 104 $ $ $ 10,554,104 Construction in process 8,219,846 24,723,635 4,707,634 28,235,847 Total Capital Assets Not Being Depreciated 18,773,950 24,723,635 4,707,634 38,789,951 Capital Assets Being Depreciated Land i rnproverrents 7, 173,759 7, 173,759 B ui Idings and i mproverrents 120, 979, 339 4,687,424 125,666, 763 Furniture and equi prrent 15,685,574 502, 114 24, 147 16, 163,541 Total Capital Assets Being Depreciated 143,838,672 5, 189,538 24, 147 149,004,063 Less Accumulated Depreciation Land i rnproverrents 6,624,008 65,233 6,689,241 B ui Idings and i mproverrents 44,083,957 4,529,862 48,613,819 Furniture and equi prrent 13, 141,571 616,950 20,525 13,737,996 Total Accumulated Depreciation 63,849,536 5,212,045 20,525 69,041,056 Governrrental Activities Capital Assets, Net $ 98,763,086 $ 24,701, 128 $ 4,711,256 $ 118,752,958
Depreciation expense was charged to governrrental as unal Iocated.
39 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
NOTE 6-1 NTERFUNDTRANSACTIONS
I nterfund Receivables;Payables (Due To/Due From)
lnterfund receivable and payable balances arise from interfund transactions and are recorded by all funds affected in the period in which transactions are executed. I nterfund receivable and payable balances at June 30, 2019, between rnaj or and non-fTBj or governmental funds are as fol IONs:
A balance of $138,866 is due from the Child Development Non-Major Governmental Fund to the General Fund for indirect costs. $ 138,866 A balance of $4,500 is due from the Child Development Non-Major Governmental Fund to the General Fund for payroll, benefits and other operating expenditures. 4,500 A balance of $146,059 is due from the Cafeteria Non-Major Governmental Fund to the General Fund for indirect costs. 146,059 A balance of $2, 169 is due from the Cafeteria Non-Major Governmental Fund to the General Fund for payroll, benefits and other operating expenditures. 2, 169 $ 291,594
NOTE7-ACCOUNTSPAYABLE
Accounts payable atJ une 30, 2019, consisted of the follONing:
Non-Major Total General Building Governmental Governmental Fiduciary Fund Fund Funds Activities Funds Salaries and benefits $ 4,518,999 $ $ 458,840 $ 4,977,839 $ Materials and supplies 94,448 69,094 163,542 Services 565,490 614,688 104, 105 1,284,283 Construction 75,602 3, 175,069 1, 141, 135 4,391,806 Other vendor payables 74,434 74,434 11,274 Total $ 5,328,973 $ 3,789,757 $ 1,773, 174 $ 10,891,904 $ 11,274
40 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
NOTE 8-UNEARNED REVENUE
U nearned revenue atJ une 30, 2019, consists of the fol IONi ng:
Non-Major Total General Gcwernrrental Gcwernrrental Fund Funds Activities Federal financial assistance $ 47,882 $ $ 47,882 State categorical aid 5,357 5,357 Other local 10,542 46,789 57,331 Total $ 58,424 $ 52, 146 $ 110,570
NOTE 9-LONG-TERM OBLIGATIONS
Summary
The changes in the District's Iong-term obi i gati ons during the year consisted of the foll CNVi ng:
Balance Balance Due in July 1, 2018 Additions Deductions J une 30, 2019 One Year General obi i gati on bonds $ 45,000,000 $ $ 3,535,000 $ 41,465,000 $ 2,610,000 Preniumon general obi i gati on bonds 1,790,036 64,313 1,725,723 Certificates of participation 22,545,000 1,435,000 21, 110,000 1,515,000 Prenium on certificates of participation 188,860 34,248 154,612 Discount on certificates of participation (41,443) (3,453) (37,990) Co111Jensated absences 814,317 17,524 796,793 Capital leases 15,656 15,656 Suppl errental early reti rerrent plan 3,236,500 647,300 2,589,200 647,300 Net other postempl oyrrent benefits (OPEB) liability 22,418,960 2,027,854 797,531 23,649,283 $ 95,967,886 $ 2,027,854 $ 6,543, 119 $ 91,452,621 $ 4,772,300
Payrrents for the General Obligation Bonds will be rrade by the Bond Interest and Redemption Fund with local revenues. Payrrents for the Certificates of Participation are rrade by the Special Reserve Fund for Capital Outlay Prqjects. Capital leases for District equiprrent and portable buildings are paid by the General Fund and capital leases for portable buildings used in the Child Care Program are paid by the Child Developrrent Fund. Co111Jensated absences will be paid by the fund for which the employee worked. Supplerrental early retirerrent plan and net other postemployrrent (OPEB) liability are paid by the General Fund.
41 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
2016General Obligation Bonds, SeriesA
On May 17, 2017, the District issued the $45,000,000 Election of 2016 General Obligation Bonds, Series A. The Series A bonds were issued as current interest bonds. The bonds have a final rraturity of August 1, 2046, with interest rates ranging from 2.00 to 5.00 percent. Proceeds from the sale of the bonds will be used to finance the repair, upgrading, acquisition, construction, equipping of District sites and facilities, and to pay the costs of issuing the bonds. AtJ une 30, 2019, the principal balance outstanding of the 2016 General Obligation Bonds, Series A was $41,465,000. U narrortized premium as of June 30, 2019, was $1,725,723.
The Bonds rrature through 2047 as foll01Vs:
Interest to Fiscal Year Principal Maturity Total 2020 $ 2,610,000 $ 1,610,250 $ 4,220,250 2021 3,375,000 1,473,675 4,848,675 2022 1, 100,000 1,361,800 2,461,800 2023 1,255,000 1,302,925 2,557,925 2024 525,000 1,258,425 1,783,425 2025-2029 2,030,000 5,965,250 7,995,250 2030-2034 3,835,000 5,298,325 9, 133,325 2035-2039 6,915,000 4, 178,425 11,093,425 2040-2044 10,885,000 2,579,062 13,464,062 2045-2047 8,935,000 484,838 9,419,838 Total $ 41,465,000 $ 25,512,975 $ 66,977,975
2010 Refunding Certificates of Participation
On February 26, 2010, the Corporation issued the 2010 Refunding Certificates of Participation in the amount of $6,875,000with interest rates ranging from 3.0 to 4.25 percent. The 2010 Refunding Certificates of Participation have a final rraturity to occur on March 1, 2022. Proceeds from the sale of the certificates were used to refund the outstanding portion of the 2002 Certificates of Participation and pay the costs associated with the execution and delivery of the certificates. As of June 30, 2019, the outstanding balance on the 2010 Refunding Certificates of Participation was $1,815,000. As of June 30, 2019, the unarrortized prenium received on issuance arrounted to $68,311.
2014 Certificates of Participation
OnJ une 19, 2014, the Corporation issued the 2014 Certificates of Participation in the arrount of $10,720,000with interest rates ranging from 3.0 to 3.375 percent. The 2014 Certificates of Participation have a final rraturity to occur on J une 1, 2029. Proceeds from the sale of the certificates were used to finance the modernization of certain District schools and pay certain costs of issuance of the Certificates. As of June 30, 2019, the outstanding balance on the 2014 Certificates of Participation was $8,570,000. As of June 30, 2019, the unarrortized prenium received on issuance arrounted to $86,301.
42 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
2015 Certificates of Participation
On August 26, 2015, the Corporation issued the 2015 Certificates of Participation in the arrount of $11,870,000 with interest rates ranging from 3.0 to 4.0 percent. The 2015 Certificates of Participation have a final rraturity to occur onJ une 1, 2030. Proceeds from the sale of the certificates wi 11 be used to finance the modernization of certain District schools and pay certain costs of issuance of the Certificates. As of June 30, 2019, the outstanding balance on the 2015 Certificates of Participation was $10,725,000. As of June 30, 2019, the unarrortized discount on issuance amounted to $37,990.
The certificates of participation rrature through 2030, as follONs:
Year Ending June 30, Principal Interest Total 2020 $ 1,515,000 $ 638,075 $ 2, 153,075 2021 1,605,000 578,325 2, 183,325 2022 1,680,000 529,349 2,209,349 2023 1,755,000 486,025 2,241,025 2024 1,830,000 439,525 2,269,525 2025-2029 10,365,000 1,358,563 11,723,563 2030 2,360,000 73,750 2,433,750 Total $ 21, 110,000 $ 4, 103,612 $ 25,213,612
Compensated Absences
Compensated absences (unpaid employee vacation) for the District atJ une 30, 2019, arrounted to $796,793.
Capital Leases
The District has entered into agreements to lease various facilities and equipment. Such agreements are, in substance, purchases (capital leases) and are reported as capital lease obligations. The District's liability on lease agreements with options to purchase is sumrrarized belCNV:
Equipment Modulars Total Balance, Beginning of Year $ 1,664 $ 14,000 $ 15,664 Payments ( 1,664) ( 14,000) ( 15,664) Balance, End of Year $ $ $
43 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Supplemental Early Retirement Plan (SE RP)
In 2017--2018 fi seal year, the District adopted the suppl errental early reti rerrent plan whereby certain eli gi bl e certificated and classified employees were provided an annuity to supplerrent the retirerrent benefits they are entitled to through the California State Teachers' Retirerrent System (CalSTRS) and the California Public Employees' Retirerrent System (Cal PERS). The criteria for qualification are as foll01Vs: have 50 percent full-tirre employrrentwith the District with five years of service with the District, certificated employees have to be at least 55 years of age by the date of reti rerrent with five years of CalSTRS service or be at least 50 years of age by the date of retirerrent with 30 years of CalSTRS service, and classified employees have to be at least 50 years of age by the date of reti rerrent with five years of Cal PE RS service.
Future annuity payrrents are as foll01Vs:
Year Ending June 30, Amount 2020 $ 647,300 2021 647,300 2022 647,300 2023 647,300 Total $ 2,589,200
Net Other Postemployment Benefit (OPE B) Liability
For the fiscal year endedJ une 30, 2019, the District reported net OPEB liability, deferred outfl01Vs of resources, and OPEB expense for the foll01Ving plans:
Deferred NetOPEB Outfl01Vs of OPEB OPEB Plan Liability Resources Expense District Plan $ 23, 129,462 $ 526,463 $ 1,020,521 Medicare Prenium Payrrent (M PP) Program 519,821 (72,916) Total $ 23,649,283 $ 526,463 $ 947,605
The detai Is of each plan are as fol l01Vs:
District Plan
Plan Administration
The District's Governing Board adninisters the Postemployrrent Benefits Plan (the Plan). The Plan is a single-employer defined benefit plan that is used to provide postemployrrent benefits other than pensions (OPEB) for eligible retirees and their spouses. No assets are accumulated in a trust that rreets the criteria in paragraph 4 of GASB Staterrent No. 75.
44 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Plan Merrbership
As of July 1, 2017, the valuation date, the Plan rrerrbership consisted of the foll01Ving:
Inactive e1Tployees or beneficiaries currently receiving benefits payrrents 38 Active e1Tployees 595 633
Benefits Pro.tided
The Plan pro.tides rredical and dental insurance benefits to eligible retirees and their spouses. Benefits are pro.tided through a third-party insurer, and the full cost of benefits is co.tered by the Plan. The Ocean View School District's Go.terning Board (the Go.terning Board) has the authority to establish and arrend the benefit terms as contained within the negotiated Iabor agreerrents.
The benefit payrrent requirerrents of the Plan rrerrbers and the District are established and may be arrended by the District, the Ocean View Teacher Association (OVTA), the local California Service Employees Association (CSEA), and unrepresented groups. The benefit payrrent is based on prqjected pay-as-you-go financing requirerrents as deternined annually through the agreerrents with the District, OVTA, CSEA, and the unrepresented groups. For fiscal year 2018--2019, the District paid $724,615 in benefits.
Total OPE B Liability of the District
The total OPEB liability of $23, 129,462 was rreasured as of June 30, 2019, and the total OPEB liability was deternined by an actuarial valuation as of July 1, 2017.
Actuarial Assurnptions
The total OPEB liability as of June 30, 2019 was deternined by applying update procedures to the financial reporting actuarial valuation as ofJune 30, 2018and rolling forward the total OPEB liability toJ une 30, 2019. The fol I0/\/i ng assumptions were applied to al I periods included in the rreasurerrent, uni ess otherwise specified:
Inflation 2. 79 percent for 2019 Salary increases 2. 75 percent, average, including i nfl ati on Discount rate 2. 79 percent for 2019 Healthcare cost trend rates 7.00 percent
The discount rate was based on the Bond Buyer 20-bond General Obi igation Index.
Mortality rates were based on the 2015 CalSTRS MortalityTableforcertificated employees and the 2017Ca1PERS Active Mortality for M i scel Ianeous Employees Table for classified employees.
The actuarial assumptions used in theJ une 30, 2019 valuation were based on the results of an actual experience study for the periodJ uly 1, 2017 toJ une 30, 2018.
45 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Changes in the Total OPE B Liability
Total OPEB Liability
Balance atJ une 30, 2018 $ 21,826,223 Service cost 1,003,367 Interest 669,604 Changes of assumptions 354,883 Benefit payrrents (724,615) Net change in total OPEB liability 1,303,239 Balance atJ une 30, 2019 $ 23, 129,462
Changes of assumptions and other inputs reflect a change in the discount rate from 2.98 percent in 2018 to 2. 79 percent in 2019.
Sensitivity of the Total OPEB Liability to Changes in the Discount Rate
The follo,ving presents the total OPEB liability of the District, as well as what the District's total OPEB liability would be if it were calculated using a discount rate that is one percent lo,ver or higher than the current discount rate:
TotalOPEB Discount Rate Liability 1% decrease ( 1. 7<]J/o ) $ 25,051,411 Current discount rate (2.7<]J/o) 23, 129,462 1% increase ( 3. 7<]J/o) 21,303,472
Sensitivity of the Total OPEB Liability to Changes in the Healthcare Cost Trend Rates
The follo,ving presents the total OPEB liability of the District, as well as what the District's total OPEB liability would be if it were calculated using healthcare cost trend rates that are one percent lo,ver or higher than the current healthcare costs trend rates:
TotalOPEB Health Care Cost Trend Rates Liability 1% decrease (6.CY/o) $ 20,305,956 Current healthcare cost trend rate (7.CY/o) 23, 129,462 1% increase ( 8. CY/o ) 26,453,523
46 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
OPEB Expense and Deferred OutflONs of Resources related toOPEB
For the year ended June 30, 2019, the District recognized OPEB expense of $1,020,521. AtJune 30, 2019, the District reported deferred outflONs of resources for changes of assumptions of $526,463.
Amounts reported as deferred outflONs of resources related to OPEB will be recognized in OPEB expense as follONs:
Year Ended Deferred Outfl ONS June 30, of Resources 2020 $ 72, 165 2021 72, 165 2022 72, 165 2023 72, 165 2024 72, 165 Thereafter 165,638 $ 526,463
Medicare Premium Payment (M PP) Program
Plan Description
The Medicare Premium Payrrent (M PP) Program is administered by the California State Teachers' Retirerrent System (CalSTRS). The MPP Program is a cost-sharing multiple-employer other postemployrrent benefit plan (OPEB) established pursuant to Chapter 1032, Statutes 2000 (SB 1435). CalSTRS adninisters the M PP Program through the Teachers' Health Benefits Fund (THB F).
A full description of the MPP Program regarding benefit prc:wisions, assumptions (for funding, but not accounting purposes), and rrembership information is listed in theJ une 30, 2017, annual actuarial valuation report, Medicare Prenium Payrrent Program Actuarial Valuation. This report and CalSTRS audited financial information are publicly available reports that can be found on the CalSTRS website under Publications at http: //'-Nvvw .cal strs.com/rrerrber-pubi i cations.
Benefits Prc:wided
The MPP Program pays Medicare Part A preniums and Medicare Parts A and B late enrollrrent surcharges for eligible rrembers of the State Teachers Retirerrent Plan (STRP) DB Programwhowere retired or began receiving a disability allONance prior toJ uly 1, 2012 and were not eligible for preniumfree Medicare Part A. The payrrents are made directly to the Centers for Medicare and Medicaid Services (CMS) on a rronthly basis.
The M PP Program is closed to new entrants as rrembers who retire after July 1, 2012, are not eligible for cc:werage under the M PP Program
47 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
The MPP Program is funded on a pay-as-you go basis from a portion of monthly District benefit payments. In accordance with California Education Code Section 25930, benefit payments that would otherwise be credited to the DB Program each month are instead credited to the M PP Program to fund monthly program and adni nistrative costs. Total redirections to the M PP Program are monitored to ensure that total incurred costs do not exceed the amount initially identified as the cost of the program.
Net OPE B Liability and OPE B Expense
AtJ une 30, 2019, the District reported a liability of $519,821 for its proportionate share of the net OPEB liability for the MPP Program. The netOPEB liability was measured as ofJune 30, 2018, and the total OPEB liability used to calculate the net OPEB liability was deternined by an actuarial valuation as of June 30, 2017. The District's proportion of the net OPEB liability was based on a prqjection of the District's long-term share of contributions to the OPEB Plan relative to the prqjected contributions of all participating school districts, actuarially deternined. The District's proportionate share for the measurement periodJ une 30, 2018 andJ une 30, 2017, respectively, was 0.1358 percent and 0.1409 percent, resulting in a decrease of 0.0051 percent.
For the year endedJ une 30, 2019, the District recognized OPE B expense of $(72,916).
Actuarial Methods and Assumptions
The June 30, 2018 total OPE B I iabi lity was deterni ned by applying update procedures to the financial reporting actuarial valuation as of June 30, 2017, and rolling forward the total OPEB liability toJ une 30, 2018, using the assumptions listed in the follo,ving table:
Measurement Date J une 30, 2018 J une 30, 201 7 Valuation Date J une 30, 201 7 J une 30, 2016 J uly 1, 201 0 through J uly 1, 201 0 through Experience Study J une 30, 201 5 J une 30, 201 5 Actuarial Cost Method Entry age norrral Entry age normal Investment Rate of Return 3.87>A> 3.58>A> Medicare PartA PremiumCostTrend Rate 3.7CYA> 3.7CYA> Medicare Part B Prenium Cost Trend Rate 4. lCYA> 4. lCYA>
For the valuation as of June 30, 2017, CalSTRS uses a generational mortality assumption, which involves the use of a base mortality table and prqjection scales to reflect expected annual reductions in mortality rates at each age, resulting in increases in life expectancies each year into the future. The base mortality tables are CalSTRS custom tables derived to best fit the patterns of mortality among our members. The prqjection scale was set equal to 110 percent of the ultirrate imprOJement factor from the Mortality I mprOJement Scale (M P--2016) table, issued by the Society of Actuaries.
48 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Assurrµtions were rrade about future participation (enrollrrent) into the M PP Program because CalSTRS is unable to determine which rrembers not currently participating rreet all eligibility criteria for enrollrrent in the future. Assurred enrollrrent rates were derived based on past experience and are stratified by age with the probability of enrollrrent dininishing as the rrembers' age increases. This estirrated enrollrrent rate was then applied to the population of rrembers who may rreet criteria necessary for eligibility and are not currently enrolled in the M PP Program Based on this, the esti rrated number of future enrol I rrents used in the financial reporting valuation was 459 or an average of 0.27 percent of the potentially eligible population ( 171,593).
The MPP Program is funded on a pay-as-you-go basis with contributions generally being rrade at the sarre tirre and in the sarre arrount as benefit payrrents and expenses coming due. Any funds within the M PP Program as of June 30, 2018, were to rranage differences between estirrated and actual amounts to be paid and were invested in the Surplus Money lnvestrrent Fund, which is a pooled investrrent programadninistered by the State Treasurer.
Discount Rate
The discount rate used to measure the total OPEB liability as of June 30, 2018, is 3.87 percent. The M PP Program is funded on a pay-as-you-go basis as described in Note 1, and under the pay-as-you-go rrethod, the OPEB Plan's fiduciary net position was not prqjected to be sufficient to rrake prqjected future benefit payrrents. Therefore, a discount rate of 3.87 percent, which is the Bond Buyer 20-Bond GO lndexfromBondbuyer.comas ofJune 30, 2018 was applied to all periods of prqjected benefit payrrents to measure the total OPEB liability. The discount rate increased 0.29 percent from 3. 58 percent as ofJ une 30, 2017.
Sensitivity of the District's Proportionate Share of the Net OPEB Liability to Changes in the Discount Rate
The follCNVing presents the District's proportionate share of the net OPEB liability calculated using the current discount rate as well as what the net OPEB liability would be if it were calculated using a discount rate that is one percent ICNVer or higher than the current rate:
NetOPEB Discount Rate Liability 1% decrease (2.87°;6) $ 574,948 Current discount rate (3.81%) 519,821 1% increase ( 4.87°;6) 470,045
Sensitivity of the District's Proportionate Share of the Net OP EB Liability to Changes in the Medicare Costs Trend Rates
The follCNVing presents the District's proportionate share of the net OPEB liability calculated using the current Medicare costs trend rates as well as what the net OPEB liability would be if it were calculated using Medicare costs trend rates that are one percent ICNVer or higher than the current rates:
NetOPEB Medicare Costs Trend Rate Liability 1% decrease ( 2. 7°;6 Part A and 3. 1% Part B) $ 474,024 Current medicare costs trend rate (3.7°;6 Part A and 4.1% Part B) 519,821 1% increase ( 4. 7°;6 Part A and 5.1 % Part B) 569,075
49 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
NOTE 10-FUNDBALANCES
Fund balances are composed of the fol lCNVi ng elerrents:
Non-Major General Building G o.ternrrental Fund Fund Funds Total N onspendabl e Revolving cash $ 46,000 $ $ 1,000 $ 47,000 Stores inventories 73,334 95, 119 168,453 Prepaid expenditures 2,420 2,420 Total Nonspendabl e 121,754 96, 119 217,873 Restricted Legally restricted programs 1,615,724 2,058,876 3,674,600 Capital projects 21,632,456 11,763,901 33,396,357 Debt services 3,475, 167 3,475, 167 Total Restricted 1,615,724 21,632,456 17,297,944 40,546, 124 Assigned School site, donations, and departrrents carryo.ter 587,270 587,270 Errergency reserve 7,339,585 7,339,585 Lottery unrestricted 1,369,928 1,369,928 Deferred rrai ntenance projects 552, 106 552, 106 Capital projects 1,212,439 1,212,439 Total Assigned 9,848,889 1,212,439 11,061,328 Unassigned Reserve for econonic uncertainties 2,738,026 2,738,026 Total $ 14,324,393 $ 21,632,456 $ 18,606,502 $ 54,563,351
50 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
NOTE 11 -LEASE REVENUES
Lease agreerrents have been entered into with various lessees for terms that exceed one year. None of the agreerrents contain purchase options. All of the agreerrents contain a ternination clause providing for cancellation after a specified number of days written notice to lessees but is unlikely that the District will cancel any of the agreerrents prior to their expiration date. The future mini mum lease payrrents expected to be received under these agreerrents are as fol ICNVs:
Year Ending Lease June 30, Revenue 2020 $ 2, 149,898 2021 2, 176,717 2022 1,512,241 2023 1,536, 121 2024 1,550,073 2025-2029 3,458,443 2030-2034 2,771,875 2035-2039 2,918,750 2040-2044 3, 146,875 2045-2049 3,293,750 Thereafter 13,423,750 Total $ 37,938,493
NOTE 12-RISK MANAGEMENT
Property and Liability
The District is exposed to various risks of loss related to torts; theft of, darrage to and destruction of assets; errors and onissions; injuries to emplayees and natural disasters. During fiscal year endingJ une 30, 2019, the District contracted with Alliance of Schools for Cooperative Insurance ProgramsJ oint PONers Authority for property and liability insurance coverage. Settled claims have not exceeded this comrrercial coverage in any of the past three years. There has not been a significant reduction in coverage from the prior year.
Worker's Compensation
For the fiscal year ending 2019, the District participated in the Western Orange County Self-funded Workers' Compensation I nsuranceAgency (the Agency), ajoint pONers authority. The intent of the Agency is to achieve the benefit of a reduced preniumfor the District by virtue of its grouping and representation with other participants in the Agency. The workers' compensation experience of the participating districts is calculated as one experience and a comrron premium rate is applied to all districts in the Agency. Each participant pays its workers' compensation prenium based on its individual rate. Participation in the Agency is linited to districts that can rreet the Agency's selection criteria.
51 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Employee Medical Benefits
The District has contracted with California Schools VEBA (CSVEBA) to provide employee health and welfare benefits. The District has also contracted with Alliance of Schools for Cooperative Insurance Programs (ASCIP), aj oi nt po,vers authority, to provide employee dental benefits. CSV EBA and ASCI Pare shared risk pools comprised of several local education agencies. Rates are set through an annual calculation process. The District pays a monthly contribution, which is placed in a common fund from which claim payments are rrade for all participating districts. Claims are paid for all participants regardless of claims flOIV. The Board of Directors has a right to return monies to a district subsequent to the settlement of all expenses and claims if a district withdraws from the pool.
NOTE 13-EMPLOYEE RETIREMENT SYSTEMS
Qualified employees are covered under multiple-employer defined benefit pension plans rraintained by agencies of the State of California. Academic employees are members of the California State Teachers' Retirement System (CalSTRS) and classified employees are members of the California Public Employees' Retirement System (Cal PERS).
For the fiscal year endedJ une 30, 2019, the District reported net pension liabilities, deferred outflCNVs of resources, deferred i nfl 0/\/S of resources, and pension expense for each of the above pl ans as fol ICNVs:
Collective Collective Collective Net Deferred Outfl 0/\/S Deferred I nfl 0/\/S Collective Pension Plan Pension Liability of Resources of Resources Pension Expense CalSTRS $ 69,538,654 $ 17,605, 137 $ 7,970,390 $ 7,336,421 Cal PERS 33,531,043 8,793,883 620,848 5,991,889 Total $ 103,069,697 $ 26,399,020 $ 8,591,238 $ 13,328,310
The details of each plan are as foll01Vs:
California State Teachers' Retirement System (CalSTRS)
Plan Description
The District contributes to the State Teachers Retirement Plan (STRP) administered by the California State Teachers' Retirement System (CalSTRS). STRP is a cost-sharing multiple-employer public employee retirement system defined benefit pension plan. Benefit provisions are established by State statutes, as legislatively amended, within the State Teachers' Retirement Law.
A full description of the pension plan regarding benefit provisions, assumptions (for funding, but not accounting purposes), and membership inforrration is listed in theJ une 30, 2017, annual actuarial valuation report, Defined Benefit ProgramActuarial Valuation. This reportandCalSTRS audited financial inforrration are publicly available reports that can be found on the CalSTRS website under Publications at http:/jwww.calstrs.com/member-publ i cations.
52 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Benefits PrOJided
The STRP prOJides retirerrent, disability and survivor benefits to beneficiaries. Benefits are based on rrermers' final compensation, age, and years of service credit. M ermers hi red on or before Decermer 31 , 2012, with five years of credited service are eligible for the norrral retirerrent benefit at age 60. Mermers hired on or after January 1, 2013, with five years of credited service are eligible for the norrral retirerrent benefit at age 62. The norrral retirerrent benefit is equal to 2.0 percent of final compensation for each year of credited service.
The STRP is comprised of four programs: Defined Benefit Program, Defined Benefit Supplerrent Program, Cash Balance Benefit Program, and Replacerrent Benefits Program. The STRP holds assets for the exclusive purpose of prOJiding benefits to rrembers and beneficiaries of these programs. CalSTRS also uses plan assets to defray reasonable expenses of adninistering the STRP. Although CalSTRS is the administrator of the STRP, the state is the sponsor of the STRP and obliger of the trust. In addition, the state is both an employer and nonemployer contributing entity to the STRP.
The District contributes exclusively to the STRP Defined Benefit Program; thus, disclosures are not included for the other plans.
The STRP prOJisions and benefits in effect atJ une 30, 2019, are sumrrarized as fol lCNVs:
STRP Defined Benefit Program On or before On or after Hire date December 31, 2012 January 1, 2013 Benefit formula 2% at 60 2% at 62 Benefit vesting schedule 5 Years of Service 5 Years of Service Benefit payments Monthly for Life Monthly for Life Retirement age 60 62 Monthly benefits as a percentage of eligible compensation 2.CJ>/o -Vr/o 2.(J>/o -2.4% Required employee contribution rate 10.25% 10.205% Required employer contribution rate 16.28>/o 16.28>/o Required State contribution rate 9.828>/o 9.828>/o
Contributions
Required rrermer, District, and State of California contributions rates are set by the California Legislature and GOJernor and detai Ied in Teachers' Reti rerrent Law. The contributions rates are expressed as a Ievel percentage of payrol I using the entry age norrral actuarial rrethod. I n accordance with AB 1469, employer contributions into the CalSTRS will be increasing to a total of 19.1 percent of applicable rrermer earnings phased OJer a seven-year period. The contribution rates for each plan for the year endedJ une 30, 2019, are presented abOJe and the District's total contributions were $6, 547,005.
53 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Pension Liabilities, Pension Expense, and Deferred OutflONs of Resources and Deferred I nflONs of Resources Related to Pensions
AtJ une 30, 2019, the District reported a liability for its proportionate share of the net pension liability that reflected a reduction for State pension support provided to the District. The amount recognized by the District as its proportionate share of the net pension liability, the related state support and the total portion of the net pension liability that was associated with the District were as follONs:
Total Net Pension Li abi Ii ty, I ncl udi ng State Share:
District's proportionate share of net pension liability $ 69, 538,654 State's proportionate share of the net pension I iabi I ity associated with the District 39,814, 132 Total $ 109, 352, 786
The net pension liability was rreasured as of June 30, 2018. The District's proportion of the net pension liability was based on a prqjection of the District's long-term share of contributions to the pension plan relative to the prqjected contributions of all participating school districts and the State, actuarially deternined. The District's proportionate share for the rreasurerrent periodJ une 30, 2018 andJ une 30, 2017, respectively, was 0.0757 percent and 0.0778 percent, resulting in a net decrease in the proportionate share of 0.0021 percent.
For the year endedJ une 30, 2019, the District recognized pension expense of $7,336,421. In addition, the District recognized pension expense and revenue of $4,677,263 for support provided by the State. AtJ une 30, 2019, the District reported deferred outflONs of resources and deferred inflCNVs of resources related to pensions from the fol IONi ng sources:
Deferred Outfl ONS Deferred I nflCNVs of Resources of Resources Pension contributions subsequent to rreasurerrent date $ 6,547,005 $ Net change in proportionate share of net pension liability 39,478 4,282,624 Difference between prqjected and actual earnings on pension plan investrrents 2,677,678 Differences between expected and actual experience in the rreasurerrent of the total pension Ii abi Ii ty 215,637 1,010,088 Changes of assumptions 10,803,017 Total $ 17,605, 137 $ 7,970,390
The deferred outflCNVs of resources related to pensions resulting from District contributions subsequent to the rreasurerrent date will be recognized as a reduction of the net pension liability in the subsequent fiscal year.
54 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
The deferred outflONs~inflONs) of resources related to the difference between prqjected and actual earnings on pension plan investrrentswill bearrortized ewer aclosedfive-year periodandwill be recognized in pension expense as fol ICNVS:
Deferred Year Ended OutflONs/(1 nflCNVs) June 30, of Resources 2020 $ 581,400 2021 (421,879) 2022 (2,246,468) 2023 (590,731) Total $ (2,677,678)
The deferred outfl CNVs/( i nfl CNVs) of resources related to the net change in proportionate share of net pension Ii abi Ii ty, differences between expected and actual experience in the rreasurerrent of the total pension liability, and changes of assurrµtions wi 11 be arrortized ewer the Expected Average Remaining Service Life (EARS L) of al I rrembers that are prewided benefits (active, inactive, and retirees) as of the beginning of the rreasurerrent period. The EARSL for the rreasurerrent period is seven years and wi 11 be recognized in pension expense as fol ICNVs:
Deferred Year Ended OutflCNVs/(1 nflCNVs) June 30, of Resources 2020 $ 1,061,548 2021 1,061,548 2022 1,061,550 2023 1, 190,632 2024 1,644,347 Thereafter (254,205) Total $ 5,765,420
Actuarial Methods and Assumptions
Total pension liability for STRP was determined by applying update procedures to a financial reporting actuarial valuation as ofJ une 30, 2017 and rollingforwardthetotal pension liability toJ une 30, 2018. The financial reporting actuarial valuation as of June 30, 2017, used the follONing rrethods and assumptions, applied to all prior periods included in the rreasurerrent:
Valuation date J une 30, 201 7 M easurerrent date J une 30, 2018 Experience study July 1, 2010 throughJ une 30, 2015 Actuarial cost rrethod Entry age normal Discount rate 7. lCYA> I nvestrrent rate of return 7. lCYA> Consurrer price inflation 2.75% Wage grCNVth 3.5CYA>
55 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
CalSTRS uses a generational mortality assurrµtion, which involves the use of a base mortality table and prqjection scales to reflect expected annual reductions in mortality rates at each age, resulting in increases in life expectancies each year into the future. The base mortality tables are CalSTRS custom tables derived to best fit the patterns of mortality among its members. The prqj ecti on seal e was set equal to 11 0 percent of the ul ti rrate i mprc:wement factor from the Mortality I rrµrc:wement Scale (MP-2016) table, issued by the Society of Actuaries.
The long-term expected rate of return on pension plan investments was deternined using a building-block method in which best esti rrate ranges of expected future real rates of return ( expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. The best estirrate ranges were developed using capital rrarket assurrµtions fromCalSTRS general investment consultant (Pension ConsultingAlliance-PCA) as an input to the process. The actuarial investment rate of return assumption was adopted by the board in February 2017 in conjunction with the most recent experience study. For each future valuation, CalSTRS consulting actuary ( M i 11 i rran) revi etvs the return assumption for reasonableness based on the most current capital market assurrµti ons. Best estirrates of 20-year geometrically-linked real rates of return and the assumed asset allocation for each major asset class for the year endedJ une 30, 2018, are summarized in the fol lONi ng table:
Long-Term Assumed Asset Expected Real Asset Class Allocation Rate of Return Global equity 47°/o 6.3CJ>/o Fixed i ncorne 12% 0.3CJ>/o Real estate 13% 5.2CJ>/o Private equity 13% 9.3CJ>/o Absolute Return;R i sk M i ti gating Strategies 9>/o 2.9:J>/o Inflation sensitive 4% 3.BCJ>/o Cash~iquidity 2% -1.0CJ>/o
Discount Rate
The discount rate used to measure the total pension liability was 7.10 percent. The prqjection of cash flONs used to deternine the discount rate assumed the contributions from plan members and errµlayers will be rrade at statutory contribution rates. Prqjected inflONs from investment earnings were calculated using the long-term assumed investment rate of return (7.10 percent) and assuning that contributions, benefit payments and adninistrative expense occurred midyear. Based on these assurrµtions, the STRP's fiduciary net position was prqjected to be avai Iable to rrake al I prqj ected future benefit payments to current pl an members. Therefore, the Iong-term assumed investment rate of return was applied to al I periods of prqj ected benefit payments to deterni ne total pension I iabi Ii ty.
The follONing presents the District's proportionate share of the net pension liability calculated using the current discount rate as well as what the net pension liability would be if it were calculated using a discount rate that is one percent IONer or higher than the current rate:
Net Pension Discount Rate Liability 1% decrease ( 6. 1CJ>/o ) $ 101,865,991 Current discount rate (7.1 CJ>/o) 69,538,654 1% i ncrease ( 8. 1CJ>/o ) 42,736, 155
56 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
California Public E mplayees Retirement System (Cal PE RS)
Plan Description
Qualified ernplayees are eligible to participate in the School Ernplayer Pool (SEP) under the California Public Emplayees' Retirement System (Cal PERS), a cost-sharing multiple-emplayer public emplayee retirement system defined benefit pension plan adninistered by CalPERS. Benefit provisions are established by State statutes, as legislatively amended, within the Public Ernplayees' Retirement Law.
A full description of the pension plan regarding benefit provisions, assumptions (for funding, but not accounting purposes), and membership information is Ii sted in the J une 30, 2017 annual actuarial valuation report, Schools Pool Actuarial Valuation. This report and Cal PERS audited financial information are publicly available reports that can be found on the Cal PERS website under Forms and Publications at https:/jwww.calpers.ca.gov/page/forms-publ ications ..
Benefits Provided
Cal PERS provides service retirement and disability benefits, annual cost of living adjustments, and death benefits to pl an members, who must be public empl ayees and beneficiaries. Benefits are based on years of service credit, a benefit factor, and the member's final compensation. Members hired on or before December 31, 2012, with five years of total service are el i gi bl e to retire at age 50 with statutorily reduced benefits. Members hi red on or after January 1, 2013, with five years of total service are eligible to retire at age 52 with statutorily reduced benefits. Al I members are eligible for non-duty disability benefits after five years of service. The Basic Death Benefit is paid to any member's beneficiary if the member di es whi Ie actively empl ayed. An empl ayee's el i gi bl e survivor may receive the 1957 Survivor Benefit if the member dies while actively ernplayed, is at least age 50 (or 52 for members hired on or after January 1, 2013), and has at Ieast five years of credited service. The cost of I ivi ng adjustments for each plan are applied as specified by the Public Ernplayees' Retirement Law.
The Cal PERS provisions and benefits in effect atJ une 30, 2019, are summarized as foll0111s:
School Ernplayer Pool (Cal PERS) On or before On or after Hire date December 31 , 2012 J anuary 1, 201 3 Benefit formula 2% at 55 2°AJ at 62 Benefit vesting schedule 5 Years of Service 5 Years of Service Benefit payments Monthly for Life Monthly for Life Retirement age 55 62 Monthly benefits as a percentage of eligible compensation 1.1% -2.5% l .CYAJ -2.5% Required emplayee contribution rate 7.CXYA> 7.CXYA> Required emplayer contribution rate l 8.062°AJ 18.062%
57 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Contributions
Section 20814( c) of the California Public ErrµI ayees' Reti re!'l"Ent Law requires that the errµI ayer contribution rates for all public emplayers be determined on an annual basis by the actuary and shall be effective on the July 1 follONing notice of a change in the rate. Total plan contributions are calculated through the CalPERS annual actuarial valuation process. The actuarially deternined rate is the estimated arrount necessary to finance the costs of benefits earned by errµlayees during the year, with an additional amount to finance any unfunded accrued liability. The District is required to contribute the difference between the actuarially determined rate and the contribution rate of errµlayees. The contributions rates are expressed as percentage of annual payroll. The contribution rates for each plan for the year ended June 30, 2019, are presented above and the total District contributions were $2,972,755.
Pension Liabilities, Pension Expense, and Deferred OutflONs of Resources and Deferred I nflONs of Resources Related to Pensions
As of June 30, 2019, the District reported net pension liabilities for its proportionate share of the Cal PERS net pension liability totaling $33,531,043. The net pension liability was measured as of June 30, 2018. The District's proportion of the net pension liability was based on a prqjection of the District's long-term share of contributions to the pension plan relative to the prqjected contributions of all participating school districts, actuarially deternined. The District's proportionate share for the measure!'l"Ent periodJ une 30, 2018 andJ une 30, 2017, respectively, was 0.1258 percent and 0.1266 percent, resulting in a net decrease in the proportionate share of 0.0008 percent.
For the year ended June 30, 2019, the District recognized pension expense of $5,991,889. AtJ une 30, 2019, the District reported deferred outflONs of resources and deferred inflONs of resources related to pensions from the fol IONi ng sources:
Deferred OutflONs Deferred I nfl ONS of Resa.irces of Resa.irces Pension contributions subsequent to measure!'l"Ent date $ 2,972,755 $ Net change in proportionate share of net pension liability 620,848 Difference between prqjected and actual earnings on pension plan invest!'l"Ents 275,029 Differences between expected and actual experience in the measure!'l"Ent of the total pension liability 2, 198, 172 Changes of assumptions 3,347,927 Total $ 8,793,883 $ 620,848
The deferred outflCNVs of resources related to pensions resulting from District contributions subsequent to the measure!'l"Ent date will be recognized as a reduction of the net pension liability in the subsequent fiscal year.
58 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
The deferred outflONs~inflONs) of resources related to the difference between prqjected and actual earnings on pension plan investmentswill bearrortized ewer aclosedfive-year periodandwill be recognized in pension expense as fol ICNVS:
Deferred Year Erded OutflONs/(1 nflONs) June 30, of Resources 2020 $ 1,000,344 2021 239,223 2022 (766,624) 2023 (197,914) Total $ 275,029
The deferred outfl ONS~ i nfl CNVs) of resources related to the net change in proportionate share of net pension Ii abi Ii ty, differences between expected and actual experience in the measurement of the total pension liability, and changes of assurrµtions wi 11 be arrortized ewer the Expected Average Rerrai ni ng Service Life (EARS L) of al I members that are prewided benefits (active, inactive, and retirees) as of the beginning of the measurement period. The EARSL for the measurement period is 4.0years and will be recognized in pension expense as follCNVs:
Deferred Year Ended Outflows~! nflows) June 30, of Resources 2020 $ 2,063,369 2021 2,177,527 2022 684,355 Total $ 4,925,251
Actuarial Methods and Assumptions
Total pension I iabi I ity for the SEP was determined by applying update procedures to a financial reporting actuarial valuation as ofJ une 30, 2017 and rollingforwardthetotal pension liability toJ une 30, 2018. The financial reporting actuarial valuation as of June 30, 2017, used the follONing methods and assumptions, applied to all prior periods included in the measurement:
Valuation date J une 30, 2017 Measurement date J une 30, 2018 Experience study July 1, 1997 throughJ une 30, 2015 Actuarial cost method Entry age norrral Discount rate 7.15% I nvestment rate of return 7.15% Consumer price inflation 2.5CYA> Wage grCNVth Vari es by entry age and service
The rrortality table used was developed based on Cal PERS-specific data The table includes 15 years of rrortality imprewements using Society of Actuaries 90 percent of scale M P-2016.
59 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
In deternining the long-term expected rate of return, Cal PERS took into account both short-term and long-term rrarket return expectations as wel I as the expected pension fund cash fl ONS. Using historical returns of al I the funds' asset classes, expected COITl)Ollnd returns were calculated ewer the short-term (first ten years) and the long-term ( 11 + years) using a bui Iding-block approach. U sing the expected nominal returns for both short-term and Iong-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the rounded single equivalent expected return that arrived at the same present value of benefits for cash flCNVs as the one calculated using both short-term and long-term returns. The expected rate of return was then set equal to the single equivalent rate calculated above and adjusted to account for assumed administrative expenses. The target asset al location and best esti rrates of arithmetic real rates of return for each major asset class are sumrrarized in the foll ONi ng table:
Long-Term Assumed Asset Expected Real Asset Class Allocation Rate of Return Global equity 5CY,,6 5.98>,,6 Fixed income 28>,,6 2.62% I nfl ati on assets (Y,,6 1.81% Private equity g>,,6 7.2JJ,,6 Real estate 13% 4.9JJ,,6 Liquidity 1% --0.92%
Discount Rate
The discount rate used to measure the total pension liability was 7.15 percent. The prqjection of cash flONs used to deternine the discount rate assumed the contributions from plan members and emplayers will be rrade at statutory contribution rates. Based on these assumptions, the School Emplayer Pool fiduciary net position was prqjected to be available to rrake all prqjected future benefit payments to current plan members. Therefore, the long-term assumed investment rate of return was applied to al I periods of prqj ected benefit payments to deterni ne total pension liability.
The follONing presents the District's proportionate share of the net pension liability calculated using the current discount rate as well as what the net pension liability would be if it were calculated using a discount rate that is one percent ICNVer or higher than the current rate:
Net Pension Discount Rate Liability 1% decrease (6.15%) $ 48,819,595 Current discount rate (7.15%) 33,531,043 1% increase (8.15%) 20,847,000
60 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Tax Deferred Annuity f.;ocial Security
As established by Federal law, all public-sector errµlayees who are not members of their emplayer's existing retirement system (CalSTRS or Cal PERS) must be covered by Social Security or an alternative plan. The District has elected to use Social Security.
On Behalf Payments
The State of California rrakes contributions to Cal STRS on behalf of the District. These payments consist of State General Fund contributions to CalSTRS in the amount of $3,674,600 (9.828 percent of annual payroll). Contributions are no longer appropriated in the annual Budget Act for the legislatively rrandated benefits to Cal PERS. Therefore, there is no on-behalf contribution rate for Cal PERS. Under accounting principles generally accepted in the U ni ted States of America, these amounts are to be reported as revenues and expenditures. Accordingly, these amounts have been recorded in these financial statements. On behalf payments have been included in the calculation of available reserves.
Senate B i 11 90 (Chapter 33, Statutes of 2019), which was signed by the Governor on J une 27, 2019, appropriated for an additional 2018--19 contribution on-behalf of school emplayers of $2.246 billion for CalSTRS and $904 ni 11 ion for Cal PE RS. A proportionate share of these contribution has been recorded in these financial statements. On behalf payments related to these additional contributions have been excluded from the calculation of available reserves and have not been included in the budgeted amounts reported in the General Fund- Budgetary Corrpari son Schedule.
NOTE 14-COMMITMENTS AND CONTINGENCIES
Grants
The District received financial assistance from Federal and State agencies in the form of grants. The disbursement of funds received under these programs generally requires corrµliance with terms and conditions specified in the grant agreements and are suqj ect to audit by the granter agencies. Any di sal ICNVed claims resulting from such audits could become a liability of the General Fund or other applicable funds. HONever, in the opinion of rranagement, any such disallCNVed claims will not have a rraterial adverse effect on the overall financial position of the District atJ une 30, 2019.
Litigation
The District is involved in various litigations arising from the norrral course of business. In the opinion of rranagement and legal counsel, the disposition of all litigation pending is not expected to have a rraterial adverse effect on the overall financial position of the District atJ une 30, 2019.
61 OCEAN VIEW SCHOOL DISTRICT
NOTES TO FINANCIAL STATEMENTS JUNE 30, 2019
Construction Commitments
As of June 30, 2019, the District had the foll01Ving comnitments with respect to the unfinished capital prqjects:
Rerraining Expected Construction Date of Capital Project Comnitment Completion Oak View ES Gym $ 315, 156 09j()l /19 Food Service Kitchens 90,000 09j()l /19 Central Kitchen 1,000,000 lOj()l /19 Harbour View ES Restrooms 1,117,570 lOj()l /19 College View ES Modernization 15,950,472 09j()l (2.0 Westrront ES Modernization 2,010,832 09j()l (2.0 $ 20,484,031
NOTE 15-PARTICIPATION IN PUBLIC ENTITY RISK POOLS
The District is a mermer of the, the Western Orange County Self-funded Workers' Compensation Agency, California Schools VE BA, and the Alliance of Schools for Cooperative Insurance ProgramsJ oi nt PCNVers Authority public entity risk pools. The District pays an annual premium to each entity for its workers' compensation, property ~iability, and health and welfare benefits coverage. The relationships between the District and the pools are such that they are not component units of the District for financial reporting purposes.
These entities have budgeting and financial reporting requirements independent of mermer uni ts and their financial statements are not presented in these financial statements; hCNVever, fund transactions between the entities and the District are included in these statements. Audited financial statements are avai Iable from the respective entities.
During the year ended J une 30, 2019, the District rrade payments of $841, 948, $9, 791,673, and $1,492,211 to the Western Orange County Self-funded Workers' Compensation Agency, California Schools VE BA, and Alliance of Schools for Cooperative Insurance Programs Joint P0/1/ers Authority, respectively, for annual premium payments.
62 REQUIRED SUPPLEMENTARY INFORMATION
63 OCEAN VIEW SCHOOL DISTRICT
GENERAL FUND BUDGETARY COM PAR I SON SCHEDULE FOR THE YEAR ENDE DJ UNE 30, 2019 ,,..,...... ,,.:,-;..,,,..,...... ,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.==~
Variances - Positive (Negative) Budgeted Amounts Actual Final Original Final (GAAP Basis) to Actual REVENUES Local Control Funding Formula $ 70,663,852 $ 71, 103,558 $ 71,084,855 $ (18,703) Federal sources 4,309,363 4,607,358 4,554,713 (52,645) Other State sources 6,068,021 8, 133,332 11,849,865 3,716,533 Other local sources 5,686,883 6,755,817 7,554,965 799, 148 Total Revenues 1 86,728, 119 90,600,065 95,044,398 4,444,333 EXPENDITURES Current Certificated salaries 39, 168,478 40,468,750 41,245,824 (777,074) Classified salaries 15,733,024 15,613,355 16, 180,315 (566,960) E rrµI ayee benefits 20,565,638 21,623,385 25,487, 110 (3,863,725) Books and supplies 3,492,342 4,237, 117 2,220,248 2,016,869 Services and operating expenditures 7,274,434 8,727, 188 7,400,558 1,326,630 Other outgo 97,094 199, 159 (94,811) 293,970 Capital outlay 75,581 456,914 527,835 (70,921) Total Expenditures 1 86,406,591 91,325,868 92,967,079 (1,641,211) Excess (Deficiency) of Revenues Over Expenditures 321,528 (725,803) 2,077,319 2,803, 122 Other Financing Uses Transfers out (250,000) (250,000) 250,000 NET CHANGE IN FUND BALANCE 71,528 (975,803) 2,077,319 3,053, 122 Fund Balance -Beginning 12,247,074 12,247,074 12,247,074 Fund Balance-Ending $ 12,318,602 $ 11,271,271 $ 14,324,393 $ 3,053, 122
1 Due to the consolidation of Fund 14, Deferred Maintenance Fund and Fund 17, Special Reserve Fund for Other Than Capital Outlay Projects for reporting purposes into the General Fund, additional revenues and expenditures pertaining to these other funds are included in the Actual (GAAP Basis) revenues and expenditures, h01tVever are not included in the original and final General Fund budgets. In addition, on-behalf payments of $3,640, 115, relating to SB Senate Bill 90 (Chapter 33, Statues of 2019), are included in the actual revenues and expenditures, but have not been included in the budget arrnunts.
See accompanying note to required supplementary information.
64 OCEAN VIEW SCHOOL DISTRICT
SCHEDULE OF CHANGES IN THE DISTRICT'S TOTAL OPEB LIABILITY AND RELATED RATIOS FOR THE YEAR ENDE DJ UNE 30, 2019
2019 2018 Plan OPE B Liability Interest $ 1,003,367 $ 1,058,553 Changes of benefit terms 669,604 661, 107 Difference between expected and actual experience 1,847,041 Changes of assumptions 354,883 274,835 Benefit payments (724,615) (459, 130) Net change in total OPEB liability 1,303,239 3,382,406 Total OPE B liability -beginning 21,826,223 18,443,817 Total OPE B liability -ending (a) $ 23, 129,462 $ 21,826,223
1 1 Covered payroll N/A N/A
1 1 District's total OPE B liability as a percentage of covered payroll N/A N/A
1 The District's OPEB Plan is not adninistered through a trust and contributions are not made based on a measure of pay. Therefore, no measure of payroll is presented.
Note: In the future, as data becomes avai Iable, ten years of i nforrration wi 11 be presented.
See accompanying note to required supplementary inforrration.
65 OCEAN VIEW SCHOOL DISTRICT
SCHEDULE OF THE DISTRICT'S PROPORTIONATE SHARE OF THE NET OPEB LIABILITY - M PP PROGRAM FOR THE YEAR ENDE DJ UNE 30, 2019
Year ended J une 30, 2019 2018
District's proportion of the net OPEB liability 0.1358)6 0.1409>;6
District's proportionate share of the netOPEB liability $ 519,821 $ 592,737
District's covered-empl ayee payrol I N/A 1 N/A 1
District's proportionate share of the net OPEB liability as a percentage of it's covered-emplayee payroll N/A1 N/A1
Plan fiduciary net position as a percentage of the total OPEB liability -0.4CY;6 0.01%
1 As of June 30, 2012, active members are no longer eligible for future enrollment in the M PP Program; therefore, the covered payrol I di sci osure is not applicable.
Note: I n the future, as data becomes avai Iable, ten years of information wi 11 be presented.
See accompanying note to required supplementary information. 66 [THIS PAGE INTENTIONALLY LEFT BLANK] OCEAN VIEW SCHOOL DISTRICT
SCHEDULE OF THE DISTRICT'S PROPORTIONATE SHARE OF THE NET PENSION LIABILITY FOR THE YEAR ENDE DJ UNE 30, 2019
2019 2018 CalSTRS
District's proportion of the net pension I iabi lity 0.0757°;6 0.0778>;6
District's proportionate share of the net pension Ii abi Ii ty $ 69,538,654 $ 71,969,514 State's proportionate share of the net pension liability associated with the District 39,814, 132 42,576,556 Total $ 109,352,786 $ 114,546,070
District's c011ered -employee payroll $ 40,347,263 $ 40,833, 188
District's proportionate share of the net pension Ii abi Ii ty as a percentage of its c011ered -employee payroll 172.35% 176.25%
Plan fiduciary net position as a percentage of the total pension liability 71% 69>;6
CalPERS
District's proportion of the net pension I iabi lity 0. 12 58>;6 0. 1266%
District's proportionate share of the net pension Ii abi Ii ty $ 33,531,043 $ 30,221,356
District's c011ered -employee payroll $ 16,807,939 $ 15,428,298
District's proportionate share of the net pension Ii abi Ii ty as a percentage of its c011ered -employee payroll l 99.5CY;6 195.88>;6
Plan fiduciary net position as a percentage of the total pension liability 71% 7~;6
Note: I n the future, as data becomes avai Iable, ten years of information wi 11 be presented.
See accompanying note to required supplementary information.
67 2017 2016 2015
0.0806% 0.0837°;6 0.0836%
$ 65,203,930 $ 56,334,655 $ 48,824,373
37, 119,434 29, 794,822 29,482,264 $ 102,323,364 $ 86, 129,477 $ 78,306,637
$ 39,393,075 $ 37,924,471 $ 37,497,499
165.52% 148.54% 130.21%
0. 1299>;6 0. 1364% 0. 137(Y;6
$ 25,660,835 $ 20, 112,330 $ 15,558,329
$ 15,574,399 $ 15,147,003 $ 14,372,498
164.76% 132.78>;6 108.25%
74% 7(JJ;6 83%
67 OCEAN VIEW SCHOOL DISTRICT
SCHEDULE OF DISTRICT CONTRIBUTIONS FOR THE YEAR ENDE DJ UNE 30, 2019
2019 2018 CalSTRS
Contractually required contribution $ 6,547,005 $ 5,822, 110 Contributions in relation to the contractually required contribution 6,547,005 5,822, 110
Contribution deficiency (excess) $ $
District's covered -errplayee payroll $ 40,215,018 $ 40,347,263
Contributions as a percentage of covered -errplayee payroll 16.28>;6 14.43%
Cal PERS
Contractually required contribution $ 2,972,755 $ 2,610,441 Contributions in relation to the contractually required contribution 2,972,755 2,610,441
Contribution deficiency (excess) $ $
District's covered -errplayee payroll $ 16,458,615 $ 16,807,939
Contributions as a percentage of covered -errplayee payroll 18.062% 15.531%
Note: I n the future, as data becomes avai Iable, ten years of information wi 11 be presented.
See accompanying note to required supplementary information.
68 2017 2016 2015
$ 5, 136,815 $ 4,226,877 $ 3,367,693 5, 136,815 4,226,877 3,367,693
$ - $ - $
$ 40,833, 188 $ 39,393,075 $ 37,924,471
12.58>;6 10.73% 8.88>;6
$ 2, 142,682 $ 1,845,099 $ 1, 783,241 2, 142,682 1,845,099 1, 783,241
$ - $ - $ ======
$ 15,428,298 $ 15,574,399 $ 15,147,003
13.888>;6 11.847% 11.771%
68 OCEAN VIEW SCHOOL DISTRICT
NOTE TO REQUIRED SUPPLEMENTARY INFORMATION FOR THE YEAR ENDE DJ UNE 30, 2019
NOTE 1 -PURPOSE OF SCHEDULES
Budgetary Comparison Schedule
The District emplays budget control by oqject codes and by individual appropriation accounts. Budgets are prepared on the modified accrual basis of accounting in accordance with accounting principles generally accepted in the United State of America as prescribed by the Governmental Accounting Standards Board and provisions of the California Education Code. The governing board is required to hold a public hearing and adopt an operating budget no later thanJ uly 1 of each year. The adopted budget is suqject to amendment throughout the year to give consideration to unanticipated revenue and expenditures prirrarily resulting from events unknCNVn at the time of budget adoption with the legal restriction that expenditures cannot exceed appropriations by major oqject account.
The amounts reported as the original budgeted amounts in the budgetary statements reflect the amounts when the original appropriations were adopted. The amounts reported as the final budgeted amounts in the budgetary statements reflect the amounts after al I budget amendments have been accounted for.
This schedules present i nforrrati on for the original and final budgets and actual operations, as wel I as the variances from the final budget to actual results of operations.
At June 30, 2019, the District's General Fund exceeded the budgeted amount in total as follows:
Expenditures and Other Uses Budget Actual* Excess General Fund $91,575,868 $92,967,079 $1,391,211
'~ Total actual expenditures include on behalf payments of $3, 640, 115, relating to SB 90.
ScheduleofChangesintheDistrict'sTotal OPEB Liability and Related Ratios
This schedule presents inforrration on the District's changes in the total OPEB liability, including beginning and ending balances, and the total OPEB liability. In the future, as data becomes available, ten years of inforrration wi 11 be presented.
Change in benefit terms- There were no changes in the benefits terms since the previous valuation. Change of assumptions- The discount rate changed from 2.98 percent in 2018 to 2.79 percent in 2019.
Schedule of the District's Proportionate Share of the Net OPE B Liability -M PP Program
This schedule presents inforrration on the District's proportionate share of the netOPEB Liability- MPP Program and the plans' fiduciary net position. In the future, as data becomes available, ten years of inforrration will be presented.
Changes in Benefit Terms- There were no changes in the benefit terms since the previous valuation. Changes of Assumptions- The plan rate of investment return assumption was changed from 3.58 percent to 3.87 percent since the previous valuation.
69 OCEAN VIEW SCHOOL DISTRICT
NOTE TO REQUIRED SUPPLEMENTARY INFORMATION FOR THE YEAR ENDE DJ UNE 30, 2019
Schedule of the District's Proportionate Share of the Net Pension Liability
This schedule presents inforrration on the District's proportionate share of the net pension liability (NPL), the plans' fiduciary net position and, when applicable, the State's proportionate share of the N PL associated with the District. In the future, as data becorres available, ten years of i nforrrati on wi 11 be presented.
Changes in Benefit Terms - There were no changes in benefit terms since the previous valuations for both CalSTRS and Cal PERS. Changes of Assumptions- There were no changes in econonic assumptions for either the CalSTRS or Cal PE RS plans from the previous valuations.
Schedule of District Contributions
This schedule presents inforrration on the District's required contribution, the amounts actually contributed, and any excess or deficiency related to the required contribution. In the future, as data becorres available, ten years of i nforrrati on wi 11 be presented.
70 SUPPLEMENTARY INFORMATION
71 OCEAN VIEW SCHOOL DISTRICT
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDE DJ UNE 30, 2019
Pass-Through Entity Federal Grantor ;Pass-Through CFDA Identifying Federal G rantor ;Program or CI uster Ti tie Nurrber Number Expendi tu res
U.S. DEPARTMENT OF EDUCATION Passed through California Department of Education (COE): Title I, Part A, Basic Grants LO\tV--l ncome and Neglected 84.010 14329 $ 1,489,402 Title 11, Part A, Supporting Effective Instruction 84.367 14341 237,878 Title 111, I rmigrant Student Program 84.365 15146 22,403 Title Ill, English Learner Student Program 84.365 14346 239,107 Title IV, PartA, StudentSupportandAcadenic Enrichment Grants 84.424 15396 5,470 Passed through West Orange County Consorti um for Special Education: Special Education (IDEA) Cluster: Basic Local Assistance Entitlement, Part B, Sec 611 84.027 13379 1,310,241 Local Assistance, Part B, Sec 611, Private School lSPs 84.027 10115 20,116 Preschool Grants, Part B, Sec 619 84.173 13430 85,941 Preschool Local Entitlement, Part B, Sec 611 84.027A 13682 296,027 Preschool Staff Development, Part B, Sec 619 84.173A 13431 815 Subtotal Special Education (IDEA) Cluster 1,713,140 State Improvement Grant, Improving Special Ed Systems 84.323 14920 10,788 Total U .S. Department of Education 3,718, 188
U.S. DEPARTMENT OF AG RI CULTURE Passed through COE: Child Nutrition Cluster: National School Lunch Program 10.555 13396 1,395,287 Especially Needy Breakfast 10.553 13390 375,055 Seamless Summer Food Options 10.559 13396 8,835 Corrrmdities 10.555 13396 258,945 Subtotal Child Nutrition Cluster 2,038,122 Child and Adult Care Food Program 10.558 13666 80,645 Total U.S. Department of Agriculture 2,118,767
U.S. DEPARTMENT HEAL TH AND HUMAN SERVICES Medicaid Cluster: Passed through California Department of Health Care Services: Medi-Cal Billing Option 93.778 10013 583,737 Passed through Orange County Department of Education: M edi--Cal Adni ni strative Activities 93.778 10060 636,755 Subtotal Medicaid Cluster 1,220,492 Total U.S. Department of Health and Human Services 1,220,492 Total Expenditures of Federal Awards $ 7,057,447
See accompanying note to supplementary information.
72 OCEAN VIEW SCHOOL DISTRICT
LOCAL EDUCATION AGENCY ORGANIZATION STRUCTURE JUNE 30, 2019
ORGANIZATION
The Ocean View School District was established in 1874, serving grades kindergarten through eighth. The District operates eleven elerrentary schools and four niddle schools. The District occupies the northern regions of Huntington Beach and srral I segrrents of Westminster, M i dway City, and Fountain Val Iey. There were no boundary changes during the year.
GOVER NI NG BOARD
MEMBER OFFICE TE RM EX Pl RES
Mr.John Briscoe President 2022
Ms. Gina Clayton-Tarvin Vice President 2020
Mr.Jack Souders Clerk 2022
Ms. Patricia Singer Member 2022
Mr. NormWestwell Member 2020
ADMINISTRATION
Dr. Carol Hansen Superintendent
Dr. Michael Conroy Deputy Superintendent, Adninistrative Services
Mr. FelixAvila Assistant Superintendent, Hurran Resources
Ms.Julianne Hoefer Assistant Superintendent, Educational Services
See accompanying note to supplerrentary inforrration.
73 OCEAN VIEW SCHOOL DISTRICT
SCHEDULE OF AVERAGE DAILY ATTENDANCE FOR THE YEAR ENDE DJ UNE 30, 2019
Final Report Second Period Annual Report Report 88EB3853 EF7109EA Regular ADA Transitional kindergarten through third 3,318.24 3,324.76 Fourth through sixth 2,521.84 2,520.48 Seventh and eighth 1,871.31 1,864.84 Total Regular ADA 7,711.39 7,710.08
Extended Year Special Education Transitional kindergarten through third 8.78 8.78 Fourth through sixth 4.58 4.58 Seventh and eighth 1.51 1.51 Total Extended Year Special Education 14.87 14.87
Special Education, Nonpublic, Nonsectarian Schools Transitional kindergarten through third 2.26 2.23 Fourth through sixth 2.91 2.69 Seventh and eighth 4.19 4.20 Total Special Education, Nonpublic, Nonsectarian Schools 9.36 9.12
Extended Year Special Education, Nonpublic, Nonsectarian Schools Transitional kindergarten through third 0.17 0.17 Fourth through sixth 0.31 0.31 Seventh and eighth 0.54 0.54 Total Extended Special Education, Nonpublic, Nonsectarian Schools 1.02 1.02 Total ADA 7,736.64 7,735.09
See accompanying note to supplementary information.
74 OCEAN VIEW SCHOOL DISTRICT
SCHEDULE OF INSTRUCTIONAL TIME FOR THE YEAR ENDE DJ UNE 30, 2019
1986--87 2018-19 Nurrber of Days Minutes Actual Traditional Multitrack Grade Level Requi rerrent Minutes Calendar Calendar Status K i ndergarten 36,000 51,490 180 N/A Corrplied Grades 1 -3 50,400 Grade 1 50,570 180 N/A Corrplied Grade 2 50,570 180 N/A Corrplied Grade 3 50,570 180 N/A Corrplied Grades 4-6 54,000 Grade 4 57,940 180 N/A Corrplied Grade 5 57,940 180 N/A Corrplied Grade 6 58,960 180 N/A Corrplied Grades 7-8 54,000 Grade 7 58,960 180 N/A Corrplied Grade 8 58,960 180 N/A Corrplied
See accompanying note to supplerrentary information.
75 OCEAN VIEW SCHOOL DISTRICT
RECONCILIATION OF ANNUAL Fl NANCI AL AND BUDGET REPORT WITH AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDE DJ UNE 30, 2019
There were no adjustrrents to the Unaudited Actual Financial Report, which required reconciliation to the audited financial staterrents atJ une 30, 2019.
See accompanying note to supplerrentary information.
76 OCEAN VIEW SCHOOL DISTRICT
SCHEDULE OF Fl NANCI AL TRENDS AND ANALYSIS FOR THE YEAR ENDE DJ UNE 30, 2019
(Budget) 2020 1 2019 2018 2017 GENERAL FUND 3 Revenues $ 87,565, 199 $ 95,027, 110 $ 86, 726, 982 $ 87,688,324 Expenditures 89,288,336 92,344,724 88,249,774 86,047,552 Other uses and transfers out 250,000 250,000 250,000 250,000 Total Expenditures and Other U ses 89,538,336 92,594,724 88,499,774 86,297,552 I NC REASE (DECREASE) IN FUND BALANCE $ ( 1,973, 137) $ 2,432,386 $ ( 1, 772, 792) $ 1,390,772 ENDING FUND BALANCE $ 11,729,763 $ 13,702,900 $ 11,270,514 $ 13,043,306 2 AVAILABLE RESERVES $ 2,691, 150 $ 2,738,026 $ 9,716,575 $ 2,656,801 AVAILABLE RESERVES AS A 4 PERCENTAGE OF TOTAL OUTGO 3.01% 3.0s>A> 10.98>A> 3.0s>A> LONG-TERM OBLIGATIONS N/A $ 91,452,621 $ 95,967,886 $ 90,884,280 K-12AVERAGE DAILY ATTENDANCE AT P--2 7,540 7,737 7,988 8,204
The General Fund balance has increased by $659,594 over the past two years. The fiscal year 2019-2020 budget prqjects a decrease of $1,973, 137 ( 14.4 percent). For a district this size, the State recommends available reserves of at least three percent of total General Fund expenditures, transfers out, and other uses (total outgo).
The District has incurred operating surpluses in two of the past three years; hONever, the District anticipates incurring an operating deficit during the 2019--2020 fiscal year. Total long-term obligations have increased by $568,341 over the past two years.
Average daily attendance has decreased by 467 over the past two years. An additional decline of 197 ADA is anticipated during fi seal year 2019--2020.
1 Budget 2020 is included for analytical purposes only and has not been suqjected to audit. 2 Available reserves consist of all unassigned fund balances including all annunts reserved for economic uncertainties contained with the General Fund and the Special Reserve Fund for Other Than Capital Outlay Projects. 3 General Fund annunts do not include activity related to the consolidation of the Fund 14, Deferred Maintenance Fund and Fund 17, Special Reserve Fund for Other Than Capital Outlay Projects as required by GASB Staterrent No. 54. 4 On-behalf payrrents of $3,640, 115, relating to SB Senate Bill 90 (Chapter 33, Statues of 2019), have been excluded from the calculation of available reserve for the fiscal year endingJ une 30, 2019.
See accompanying note to supplementary information.
77 [THIS PAGE INTENTIONALLY LEFT BLANK] OCEAN VIEW SCHOOL DISTRICT
NON-MAJ OR GOVERNMENTAL FUNDS COMB I NI NG BALANCE SHE ET JUNE 30, 2019 ,,..,...... ,,.:,-;..,,,..,...... ,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.=== ....,,.==~
Child Capital County School Development Cafeteria Facilities Facilities Fund Fund Fund Fund ASSETS Deposits and investments $ 1, 128, 133 $ 1,257,869 $ 4,990,914 $ 6, 176,893 Receivables 132,394 431,612 11,976 11,982 Stores inventories 95, 119 Total Assets $ 1,260,527 $ 1,784,600 $ 5,002,890 $ 6, 188,875
LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 315,951 $ 230,441 $ 782,392 $ 8,538 Due to other funds 143,366 148,228 Unearned revenue 52, 146 Total Liabilities 511,463 378,669 782,392 8,538 Fund Balances: N onspendable 96, 119 Restricted 749,064 1,309,812 4,220,498 6, 180,337 Assigned Total Fund Balances 749,064 1,405,931 4,220,498 6, 180,337 Total Liabilities and Fund Balances $ 1,260,527 $ 1,784,600 $ 5,002,890 $ 6, 188,875
See accompanying note to supplementary information.
78 Special Reserve Band I nterest Total N on-M aj or Fund for Capital and Redemption Govern mental Outlay Projects Fund Funds
$ 2,883,887 $ 3,463,689 $ 19,901,385 127,470 11,478 726,912 95, 119 $ 3,011,357 $ 3,475, 167 $ 20,723,416
$ 435,852 $ $ 1,773, 174 291,594 52, 146 435,852 2, 116,914
96, 119 1,363,066 3,475, 167 17,297,944 1,212,439 1,212,439 2,575,505 3,475, 167 18,606,502
$ 3,011,357 $ 3,475, 167 $ 20,723,416
78 OCEAN VIEW SCHOOL DISTRICT
NON-MAJ OR GOVERNMENTAL FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDE DJ UNE 30, 2019 _,_,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--,..,,,,,--
Child Capital County School Development Cafeteria Facilities Facilities Fund Fund Fund Fund REVENUES Federal sources $ $ 2, 118,767 $ $ Other State sources 957,343 182,950 Other local sources 2,380,785 896,314 1, 169,387 162,396 Total Revenues 3,338, 128 3, 198,031 1, 169,387 162,396 EXPENDITURES Current Instruction 555,793 Instruction-related activities: Supervision of instruction 78,417 School site adrrinistration 46,077 Pupil services: Food services 3, 171,266 Administration: All other administration 138,866 146,059 13,840 Plant services 145,957 52,335 Community services 2,315,461 Facility acquisition and construction 38,375 3,032,883 150,853 Debt service Principal 14,000 I nterest and other Total Expenditures 3,294,571 3,355,700 3,046,723 203, 188
NET CHANGE IN FUND BALANCES 43,557 ( 157,669) ( 1, 877, 336) (40,792) Fund Balances -Beginning 705,507 1,563,600 6,097,834 6,221, 129 Fund Balances-Ending $ 749,064 $ 1,405,931 $ 4,220,498 $ 6, 180,337
See accompanying note to supplementary information.
79 Special Reserve Bond Interest Total Non-Major Fund for Capital and Redemption Governmental Outlay Projects Fund Funds
$ - $ $ 2, 118,767 1,841,071 23,579 3,004,943 6,067,924 4,055,910 14,732,716 7,908,995 4,079,489 19,856,426
555,793
78,417 46,077
3, 171,266
298,765 178,584 376,876 2,315,461 4,435,244 7,657,355
1,435,000 3,535,000 4,984,000 690,775 1,697,800 2,388,575 6,739,603 5,232,800 21,872,585
1, 169,392 ( 1, 153, 311) (2,016, 159) 1,406, 113 4,628,478 20,622,661 $ 2,575,505 $ 3,475, 167 $ 18,606,502
79 OCEAN VIEW SCHOOL DISTRICT
NOTE TO SUPPLEMENTARY INFORMATION JUNE 30, 2019
NOTE 1 -PURPOSE OF SCHEDULES
Schedule of Expenditures of Federal Awards
The accorrµmying Schedule of Expenditures of Federal Awards includes the Federal grant activity of the District and is presented on the mxlified accrual basis of accounting. The inforrration in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, U niformAdninistrative Requirerrents, Cost Principles, and Audit Requirerrents for Federal Awards (U niformGuidance). Therefore, some amounts presented in this schedule rray differfromarrounts presented in, or used in the preparation of, the financial statements. The District has not elected to use the ten percent de nininis cost rate as cc:wered in Section 200.414 I ndi rect ( F& A) costs of the U ni form Gui dance.
The follCNVing schedule prc:wides reconciliation between revenues reported on the Statement of Revenues, Expenditures, and Changes in Fund Balances and the related expenditures reported on the Schedule of Expenditures of Federal Awards. The reconciling amount consists of Medi-Cal Billing Options funds that in the previous period were recorded as revenues but were unspent. These unspent balances have been expended in the current period.
CFDA Number Arrount Total Federal Revenues From the Staternent of Revenues, Expenditures, and Changes in Fund Balances: $ 6,673,480 Medi-Cal Billing Option 93.778 383,%7 Total Schedule of Expenditures of Federal Awards $ 7,057,447
Local Education Agency Organization Structure
This schedule prc:wides inforrration about the District's boundaries and schools operated members of the gc:werning board, and members of the adni ni strati on.
Schedule of Average Daily Attendance (ADA)
Average daily attendance (ADA) is a measurement of the number of pupils attending classes of the District. The purpose of attendance accounting from a fiscal standpoint is to prc:wide the basis on which apportionments of State funds are rrade to school districts. This schedule prc:wides inforrration regarding the attendance of students at various grade levels and in different programs.
Schedule of Instructional Time
The District has received incentive funding for increasing instructional time as prc:wided by the Incentives for Longer I nstructi onal Day. The District has met its target funding. This schedule presents inforrrati on on the arrount of instructional time offered by the District and whether the District complied with the prc:wisions of Education Code Sections 46200 through 46206.
Districts must rraintain their instructional ninutes at 1986-87 requirements, as required by Education Code Section 46201.
80 OCEAN VIEW SCHOOL DISTRICT
NOTE TO SUPPLEMENTARY INFORMATION JUNE 30, 2019
Reconciliation of Annual Financial and Budget Report with Audited Financial Statements
This schedule prc:wides the inforrration necessary to reconcile the fund balance of all funds reported on the U naudited Actual Financial Report to the audited financial staterrents.
Schedule of Financial Trends and Analysis
This schedule discloses the District's financial trends by displaying past years' data along with current year budget inforrration. These financial trend disclosures are used to evaluate the District's ability to continue as a going concern for a reasonable period of ti rre.
Non-Major Gc:wernmental Funds -Balance Sheet and Statement of Revenues, Expenditures, and Changes in Fund Balances
The Non-Major Gc:wernrrental Funds Combining Balance Sheet and Combining Staterrent of Revenues, Expenditures, and Changes in Fund Balances are included to prc:wide inforrration regarding the individual funds that have been included in the Non-Major Gc:wernrrental Funds column on the Gc:wernrrental Funds Balance Sheet and Staterrent of Revenues, Expenditures, and Changes in Fund Balances.
81 I NOE PENDENT AUDITOR'S REPORTS
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INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING ANDON COMPLIANCE AND OTHER MATTERS BASEDONANAUDITOF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
G ewerni ng B card Ocean View School District Huntington Beach, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Gewernrrent Auditing Standards issued by the Comptroller General of the United States, the financial statements of the gcwernmental activities, each rrajor fund, and the aggregate rerraining fund inforrration of Ocean View School District (the District) as of and for the year endedJ une 30, 2019, and the related notes to the financial statements, which collectively comprise Ocean View School District's basic financial statements, and have issued our report thereon dated December 3, 2019.
Internal Control ewer Financial Reporting
In planning and perforning our audit of the financial statements, we considered Ocean View School District's internal control ewer financial reporting (internal control) to deternine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Ocean View School District's internal control. Accordingly, we do not express an opinion on the effectiveness of Ocean View School District's internal control.
A deficiency in internal control exists when the design or operation of a control does not al I CNV rranagement or empl ayees, in the norrral course of performing their assigned functions, to prevent, or detect and correct, ni sstatements on a timely basis. A rrnteri al weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a rraterial misstatement of the District's financial statements will not be prevented or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a rraterial weakness, yet important enough to merit attention by those charged with gewernance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify al I deficiencies in internal control that night be rrateri al weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be rraterial weaknesses. HONever, rraterial weaknesses rray exist that have not been identified.
83
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10681 Foothill Blvd., Ste. 300 Rancho Cucamonga, CA 91730-383 l , T 909.466.4410 F 909.466.4431 EOE Compliance and Other Matters
As part of obtaining reasonable assurance about whether Ocean Vi eN School District's financial statements are free from rraterial nisstatement, we performed tests of its compliance with certain prc:wisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and rraterial effect on the deternination of financial statement amounts. HONever, prc:widing an opinion on compliance with those prc:wi si ons was not an oqj ective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other rratters that are required to be reported under Gc:wernmentAuditing Standards.
We noted certain rratters that we reported to rranagement of Ocean Vi eN School District in a separate Ietter dated December 3, 2019.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to prc:wide an opinion on the effectiveness of the entity's internal control or on compliance. This report is an integral part of an audit performed in accordance with Gc:wernmentAuditing Standards in considering the entity's internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
Rancho Cucarronga, California December 3, 2019
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INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE FOR EACH MAJ OR PROGRAM AND REPORT ON INTERNAL CONTROL OVER COMPLIANCE REQUIRED BY THE UNIFORM GUIDANCE
Gc:werni ng Bcard Ocean View School District Huntington Beach, California
Report on Compliance for Each Major Federal Program
We have audited Ocean View School District's (the District) compliance with the types of compliance requirements described in the OMB Compliance Supplement that could have a direct and rraterial effect on each of Ocean View School District's major Federal programs for the year endedJ une 30, 2019. Ocean View School District's major Federal programs are identified in the sumrrary of auditor's results section of the accorrµmyi ng schedule of findings and questioned costs.
Management's Responsibility
Management is responsible for compliance with the Federal statutes, regulations, and the terms and conditions of its Federal awards applicable to its Federal programs.
Auditor's Responsibility
Our responsibility is to express an opinion on compliance for each of Ocean View School District's major Federal programs based on our audit of the types of compliance requirements referred to abcwe. We conducted our audit of compliance in accordance with auditing standards generally accepted in the U nited States of America; the standards applicable to financial audits contained in G c:wernment Auditing Standards, issued by the Comptroller General of the United States; and the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Adninistrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Gui dance). Those standards and the Uniform Gui dance require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to abcwe that could have a direct and rraterial effect on a major Federal program occurred. An audit includes examining, on a test basis, evidence about Ocean View School District's compliance with those requirements and perforning such other procedures as we considered necessary in the circumstances.
We believe that our audit prc:wides a reasonable basis for our opinion on compliance for each major Federal program. HONever, our audit does not prc:wide a legal deternination of Ocean View School District's compliance.
85
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10681 Foothill Blvd., Ste. 300 Rancho Cucamonga, CA 91730-383 l , T 909.466.4410 F 909.466.4431 EOE Opinion on Each Major Federal Program
In our opinion, Ocean View School District complied, in all rraterial respects, with the types of compliance requirements referred to abcwe that could have a direct and rraterial effect on each of its major Federal programs for the year endedJ une 30, 2019.
Report on Internal Control over Compliance
Management of Ocean View School District is responsible for establishing and rraintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and perforning our audit of compliance, we considered Ocean View School District's internal control over compliancewiththetypes of requirements that could haveadirectand rraterial effect on each major Federal program to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for each major Federal program and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of Ocean View School District's internal control over compliance.
A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allON rranagement or emplayees, in the norrral course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a Federal programonatimely basis. A rraterial weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that rraterial noncompliance with a type of compliance requirement of a Federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a Federal program that is less severe than a rraterial weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that night be rraterial weaknesses or significant deficiencies. We did not identify any deficiencies in internal control over compliance that we consider to be rraterial weaknesses. HCNVever, rraterial weaknesses rray exist that have not been identified.
The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose.
Rancho Cucarronga, California December 3, 2019
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INDEPENDENT AUDITOR'S REPORT ON STATE COMPLIANCE
Gc:werni ng Bcard Ocean View School District Huntington Beach, California
Report on State Compliance
We have audited Ocean View School District's (the District) compliance with the types of compliance requirements as identified in the 2018-2019 Guide for Annual Audits of K-12 Local Education Agencies and State Compliance Reporting that could have a direct and material effect on each of the Ocean View School District's State gc:wernment programs as noted belCNV for the year endedJ une 30, 2019.
Management's Responsibility
Management is responsible for compliance with the requirements of State laws, regulations, and the terms and conditions of its State awards applicable to its State programs.
Auditor's Responsibility
Our responsibility is to express an opinion on compliance of each of the Ocean View School District's State programs based on our audit of the types of compliance requirements referred to abcwe. We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Gc:wernment Auditing Standards, issued by the Comptroller General of the United States; and the 2018-2019 Guide for Annual Audits of K-12 Local Education Agencies and State Compliance Reporting. These standards require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the compliance requirements referred to abcwe that could have a material effect on the applicable gc:wernment programs noted belCNV. An audit includes exani ni ng, on a test basis, evidence about Ocean View School District's compliance with those requirements and perforning such other procedures as we considered necessary in the circumstances. We believe that our audit prc:wi des a reasonable basis for our opinions. Our audit does not prc:wi de a Iegal deternination of Ocean View School District's compliance with those requirements.
Unmodified Opinion
In our opinion, Ocean View School District complied, in all material respects, with the compliance requirements referred to abcwe that are applicable to the gc:wernment programs noted belCNV that were audited for the year endedJ une 30, 2019.
87
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10681 Foothill Blvd., Ste. 300 Rancho Cucamonga, CA 91730-383 l , T 909.466.4410 F 909.466.4431 EOE In connection with the audit referred to abc:we, we selected and tested transactions and records to deterni ne the Ocean View School District's corrµI i ance with the State Iaws and regulations applicable to the fol IONi ng items:
Procedures Performed LOCAL EDUCATION AGENCIES OTHER THAN CHARTER SCHOOLS Attendance Yes Teacher Certification and M isassignments Yes Kindergarten Conti nuance Yes I ndependent Study No, see belCNV Continuation Education No, see belCNV I nstructi onal Ti me Yes Instructional Materials Yes Ratios of Adninistrative Errµloyees to Teachers Yes Classroom Teacher Salaries Yes Early Retirement Incentive No, see belCNV Gann Li nit Calculation Yes School Accountabi I ity Report Card Yes Juvenile Court Schools No, see belCNV Middle or Early College High Schools No, see belCNV K -3 Grade Span Adjustment Yes Transportation Maintenance of Effort Yes Apprenticeship: Related and Supplemental Instruction No, see belCNV Corrµrehensive School Safety Plan Yes District of Choice No, see belCNV
SCHOOL DISTRICTS, COUNTY OFFICES OF EDUCATION, AND CHARTER SCHOOLS California Clean Energy Jobs Act Yes After/Before School Education and Safety Program General Requirements Yes After School Yes Before School No, see belCNV Proper Expenditure of Education Protection Account Funds Yes U nduplicated Local Control Funding Formula Pupil Counts Yes Local Control Accountability Plan Yes Independent Study -Course Based No, see belCNV
CHARTER SCHOOLS Attendance No, see belCNV Mode of I nstructi on No, see belCNV Nonclassroom-Based Instruction~ ndependent Study for Charter Schools No, see belCNV Deterni nation of Funding for Noncl assroom-B ased I nstructi on No, see belCNV Annual I nstructi on M i nutes CI assroom-8 ased No, see belCNV Charter School Facility Grant Program No, see belCNV
88 The District does not offer an I ndependent Study Program; therefore, we did not perform procedures related to the Independent Study Program.
The District is an elerrentary school district and does not offer a Continuation Education Program; therefore, we did not perform procedures related to the Continuation Education Program
The District did not offer an Early Retirerrent Incentive Program during the current year; therefore, we did not perform procedures related to the Early Reti rerrent Incentive Program
The District does not have any J uveni Ie Court Schools; therefore, we did not perform any procedures related toJ uvenile Court Schools.
The District does not offer a Middle or Early College High School Program; therefore, we did not perform procedures related to the Middle or Early College High School Program
The District does not offer an Apprenticeship Program; therefore, we did not perform any procedures related to the Apprenticeship Program
The District did not elect to operate as a district of choice; therefore, we did not perform any procedures related to the District of Choice Program
The District does not offer a Before School Education and Safety Program; therefore, we did not perform any procedures related to the Before School Education and Safety Program.
The District does not offer an Independent Study-Course Based Program; therefore, we did not perform any procedures related to the Independent Study-Course Based Program
The District does not have any Charter Schools; therefore, we did not perform any procedures related to the Charter School Programs.
Rancho Cucarronga, California December 3, 2019
89 SCHEDULE OF Fl NDI NGS AND QUESTIONED COSTS
90 OCEAN VIEW SCHOOL DISTRICT
SUMMARY OF AUDITOR'S RESULTS FOR THE YEAR ENDE DJ UNE 30, 2019
Fl NANCI AL STATEMENTS Type of auditor's report issued: Unmodified Internal control OJer financial reporting: Material weakness identified? No Significant deficiency identified? None reported Noncompliance rrateri al to financial staterrents noted? No
FEDERAL AWARDS Internal control OJer rrajor Federal programs: Material weakness identified? No Significant deficiency identified? None reported
Type of auditor's report issued on compliance for rrajor Federal programs: Unmodified Any audit findings disclosed that are required to be reported in accordance with Section 200.516(a) of the U niformGuidance? No I denti fi cation of rraj or Federal programs: CFDA Number Narre of Federal Program or Cluster Title I, PartA, Basic Grants 84.010 L 0/\/-l ncorre and Neglected
Doi Iar threshold used to di sti ngui sh between Type A and Type B programs: $ 750,000 Auditee qualified as I0/1/-riskauditee? Yes
STATE AWARDS Type of auditor's report issued on compliance for State programs: Unmodified
91 OCEAN VIEW SCHOOL DISTRICT
FINANCIAL STATEMENT FINDINGS FOR THE YEAR ENDE DJ UNE 30, 2019
None reported.
92 OCEAN VIEW SCHOOL DISTRICT
FEDERAL AWARDS Fl NDI NGS AND QUESTIONED COSTS FOR THE YEAR ENDE DJ UNE 30, 2019
None reported.
93 OCEAN VIEW SCHOOL DISTRICT
STATE AWARDS Fl NDI NGS AND QUESTIONED COSTS FOR THE YEAR ENDE DJ UNE 30, 2019
None reported.
94 OCEAN VIEW SCHOOL DISTRICT
SUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS FOR THE YEAR ENDE DJ UNE 30, 2019
There were no audit findings reported in the prior year's Schedule of Findings and Questioned Costs.
95 'll - ~ E1-.J.t''d _e
Management Ocean View School District Huntington Beach, California
In planning and performing our audit of the financial statements of Ocean View School District (the District) for the year ended June 30, 2019, we considered its internal control structure in order to deternine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to prc:wi de assurance on the internal control structure.
HONever, during our audit we noted matters that are opportunities for strengthening internal controls and operating efficiency. The follONing items represent conditions noted by our audit that we consider important enough to bring to your attention. This letter does not affect our report dated December 3, 2019, on the gc:wernment-wide financial statements of the District.
INTERNAL CONTROL
Cash Receipts- General Clearing
Observation
Cash collected by school sites or departments is not accounted for properly. Cash collections are not supported by sub-receipts or I ogs that tie the total to the cash count sheet. 11 of 88 deposits tested did not have sufficiently documented support; therefore, the auditor was unable to confirm if these deposits were intact and deposited in a timely manner.
Recommendation
Pre-numbered triplicate receipts or logs should be utilized when collecting money by all school sites or departments. If utilizing a log, the students name, and amount being turned in should be documented. If using a receipt book, the receipts should be issued in sequential order to all individuals turning in monies. Teachers and adninistrators who collect monies should be equipped with a triplicate receipts book or log sheet. The white copy of the receipt should be issued to the person turning in the monies, theyellON receipt or log sheet should be uti I ized for deposit back-up, and the pink copy should be retained in the receipt book for audit purposes. When teachers are turning in monies for deposit, a cash count sheet should be turned in with theyellON copy of the receipts and monies to clearly identify the total amount being turned in.
96
What inspirnfl you, i11:.;pires us. eidebtli!ly.,om
10681 Foothill Blvd., Ste. 300 Rancho Cucamonga, CA 91730-383 l , T 909.466.4410 F 909.466.4431 EOE Management Ocean View School District
Observation
Per review of the supporting documents pertaining to the District's General Fund local revenues, it was noted that 22 of 88 deposits tested were not deposited in a timely rranner. Based on our review of sample transnittals selected for testing, it appears that delay in deposits ranged from 12 to 160 days. The delay in cash deposits can increase the probability of loss or nisappropriation.
Recommendation
The District should adhere to its established procedures related to frequency of deposits. The frequency of deposits rray need to be increased depending on the volume and amount of cash collected. At a minimum, the District should, at a minimum, rrake a single deposit once a week to reduce the risks associated with theft, loss, and nisappropriation.
Observation
Cash collections that occur at school sites are not receipted at the ti me funds are collected. For 19 of 88 receipts tested, it was noted that the school site completed a triplicate receipt on the date the cash was prepared for deposit, rather than the actual date of receipt of the cash collections.
Recommendation
The school sites are already utilizing a triplicate receipt book but should alter the procedures to ensure that receipts are issued at the time funds are received. The original copy of the receipt should be given to the payee at the time the payment is rrade. This process will ensure that all deposits are rrade intact, timely, and sequentially.
Cash Receipts- Ocean View Preparatory Preschool (OVPP)
Observation
During our review of the cash collection procedures for OVPP, it was noted that there appears to be a lack of segregation of duties. The individual in charge of collecting cash also records the collection in the system, deposit the funds into the District's bank account, and reconciles the account. Not having proper segregation of duties creates an opportunity for cash to be misappropriated.
Recommendation
It is recommended that the District revise their procedures ewer cash col Iecti on, input, deposits, and account reconci Ii ati on to ensure proper segregation of duties are established. It is al so recommended that the person collecting the cash is different from the person that inputs the collections into the system and deposits the money. It is highly recommended that a video monitoring system be uti Ii zed to frequently monitor for the ability to deter nisappropriation of cash.
97 Management Ocean View School District
Observation
Per review of the District's OVPP bank account reconciliations forthe clearing account, it was noted that the reconci Ii ati ons prepared during the current year were not reviewed by a party other than the employee preparing the bank reconciliation.
Recommendation
Independent review of prepared bank reconciliation should always be performed by an individual with accounting knCNVledge to ensure proper monitoring of the District's OVPP clearing activities. Upon reviewing the reconciliation, the reviewer should sign and date the reconciliation to indicate it was reviewed. The review process will help identify any errors that may have otherwise gone unidentified.
Observation
Per review of the cash collection and reconciliation procedures, it was noted that the deposits are not reconciled to the EZ Care system report to ensure the deposit is made intact.
Recommendation
The District should revise their depositing procedures to utilize the EZ Care system reports to reconcile the deposit batches to ensure the deposits are made intact. In addition, the system report along with the cash count sheets should be forwarded to the business department for an independent review prior to posting the deposit to the general ledger.
Observation
Checks received by OVPP are not accounted for properly. Checks are not supported by sub-receipts or log indicating the original date the checks were received. Without having sub-receipts or logs the auditor was unable to confirm if these deposits were intact and deposited in a timely manner.
Recommendation
Pre-numbered triplicate receipts or logs should be utilized when collecting money. If utilizing a log, the date of receipt, check number, the students name, and amount being turned in should be documented. If using a receipt book, the receipts should be issued in sequential order to all individuals turning in monies. The white copy of the receipt should be issued to the person turning in the monies, the yel ICNV receipt or I og sheet should be utilized for deposit back-up, and the pink copy should be retained in the receipt book for audit purposes.
Vacation Accrual
Observation
During the review of the District's vacation accruals, the auditor selected 20 employees to test controls ewer vacation usage and accruals. Four of 20 employees tested had accrual balances higher than allotted by the collective bargaining contract agreement. The collective bargaining contract agreement has a carryc:wer policy of 18 months' worth of carryc:wer for a 12-month employee.
98 Management Ocean View School District
Recommendation
The District should adhere to its collective bargaining contract agreement's policy ewer rraxirrumallCNVable vacation accruals. Errµlayees that exceed the rraxirrum allONable vacation accrual should either be encouraged to use their vacation, or excess hours should be paid out to decrease the I iabi lity.
Benefits Reconciliation
Observation
During the review of the health and welfare benefits reconciliation process, it was noted that the benefits reconciliations are not being prepared corrµletely. The benefits technicians are not able to reconcile the benefits for the errµlayees due to the inaccuracies in the benefits system reports.
Recommendation
It is recommended that the District develop procedures to ensure the reports generated from the District's benefits system are accurate and usable for the purposes of reconciling to benefit invoices. This will allCNV the District to prc:wide an accurate list of individuals who should be on the Districts health benefits plans.
School Site Revolving Accounts
Observation
Per review of the school site revolving account activity, it was noted that the revolving accounts are excessively used for goods and services that should be procured through the District's purchasing process. Across all the school sites, on average the sites spent $2,573 per month and a year-to-date total of $23, 155. Expenditures made via these revolving accounts ci rcurrwent the District's existing procurement procedures and can result in nisappropriation of cash or school sites purchasing unallONable items.
Recommendation
The District should consider implementing procedures that would restrict the excessive usage of the revolving accounts by school sites. All disbursements should be pre-apprc:wed prior to the transaction taking place. Disbursements should go through rrultiple levels of apprc:wal. One of the most important apprc:wals is by the business department. The business department is responsible for reviewing account coding and making sure that expenditures are linited by established budgets.
Observation
During our review of the school site revolving bank reconciliations, we noted that the reconciliations are not completed in a timely manner and are not always reviewed by an individual other than the preparer. The lack of perforning the reconciliations in a timely manner and an independent review may prevent errors or oni ssi ons from being detected.
99 Management Ocean Vie/\/ School District
Recommendation
The District should consider implementing a procedure where a designated individual performs the reconciliation and an independent individual revietv of the revolving bank reconciliation. The independent revietv ensures the accuracy and completeness of the bank reconciliation as the revietver rray be able to identify errors or modifications that the preparer has rrade.
ASSOCIATED STUDENT BODY (ASB)
Vista Vietv Middle School
Observation
Revenue potential forms are not consistently being completed for fundraising events and/or fundraising events are not being apprc:wed prior to the event taking place. Through testing, it was noted that some revenue potential forms used for fundraising events were not completed with respect to anticipated and/or actual income and expense. As a result, expected versus actual results cannot be measured to deternine whether or not the fundrai ser was successful, or any I osses have occurred.
Recommendation
The District should require all completed revenue potential forms to be revie/1/ed by an adninistrator/ASB advisor. A third-party revie/1/ of completed revenue potential forms would ensure that the ASB are adequately monitoring the profitability and accountability of their fundraising events. Morec:wer, by documenting the revenues from each fundrai sing event and reconci Ii ng the amount of actual cash col I ected prc:wides a method to verify that all revenues are deposited intact. Revietv and apprc:wing of thefundraising events are an important control activity to prevent any potential unacceptable AS B activity. A 11 f undrai sing events should be apprc:wed by either the ASB student council or site administrator(s) prior to the event taking place to ensure that the activities related to fundraisers are appropriate in a school setting.
We will revietv the status of the current year comments during our next audit engagement.
Rancho Cucamonga, California December 3, 2019
100 APPENDIXC
FORM OF CONTINUING DISCLOSURE CERTIFICATE
This Continuing Disclosure Certificate (the "Disclosure Certificate") is executed and delivered by the Ocean View School District (the "District") in connection with the issuance of $42,000,000 of the District's Election of 2016 General Obligation Bonds, Series B (the "Bonds"). The Bonds are being issued pursuant to a Resolution of the District adopted on January 21, 2020 (the "Resolution"). The District covenants and agrees as follows:
SECTION 1. Purpose of the Disclosure Certificate. This Disclosure Certificate is being executed and delivered by the District for the benefit of the Holders and Beneficial Owners of the Bonds and in order to assist the Participating Underwriter in complying with S.E. C. Rule l 5c2-l 2(b )( 5).
SECTION 2. Definitions. In addition to the definitions set forth in the Resolution, which apply to any capitalized term used in this Disclosure Certificate unless otherwise defined in this Section, the following capitalized terms shall have the following meanings:
"Annual Report" shall mean any Annual Report provided by the District pursuant to, and as described in, Sections 3 and 4 of this Disclosure Certificate.
"Beneficial Owner" shall mean any person which (a) has the power, directly or indirectly, to vote or consent with respect to, or to dispose of ownership of, any Bonds (including persons holding Bonds through nominees, depositories or other intermediaries), or (b) is treated as the owner of any Bonds for federal income tax purposes.
"Dissemination Agent" shall mean initially the District, or any successor Dissemination Agent designated in writing by the District (which may be the District) and which has filed with the District a written acceptance of such designation.
"Financial Obligation" shall mean (a) a debt obligation, (b) a derivative instrument entered into in connection with, or pledged as security or a source of payment for, an existing or planned debt obligation, or ( c) a guarantee of ( a) or (b ). The term "Financial Obligation" does not include municipal securities as to which a final official statement has been provided to the Municipal Rulemaking Board consistent with the Rule.
"Holders" shall mean registered owners of the Bonds.
"Listed Events" shall mean any of the events listed in Sections 5(a) or (b) of this Disclosure Certificate.
"Official Statement" means the official statement dated as of January 30, 2020 and relating the primary offering and sale of the Bonds.
"Participating Underwriter" shall mean the original underwriters of the bonds or any of the original underwriters of the Bonds required to comply with the Rule in connection with offering of the Bonds.
"Repository" shall mean the Municipal Securities Rulemaking Board, which can be found at http://emma.msrb.org/, or any other repository of disclosure information that may be designated by the Securities and Exchange Commission as such for purposes of the Rule in the future.
C-1 "Rule" shall mean Rule 15c2-12(b)(5) adopted by the Securities and Exchange Commission under the Securities Exchange Act of 1934, as the same may be amended from time to time.
"State" shall mean the State of California.
SECTION 3. Provision of Annual Reports.
(a) The District shall, or shall cause the Dissemination Agent to, not later March 31 each year, commencing with the report for the 2019-20 Fiscal Year, which shall be due no later than March 31, 2020, provide to the Repository an Annual Report which is consistent with the requirements of Section 4 of this Disclosure Certificate. The Annual Report may be submitted as a single document or as separate documents comprising a package, and may cross-reference other information as provided in Section 4 of this Disclosure Certificate; provided that the audited financial statements of the District may be submitted separately from the balance of the Annual Report and later than the date required above for the filing of the Annual Report if they are not available by that date. If the District's fiscal year changes, it shall give notice of such change in the same manner as for a Listed Event under Section 5( c ).
(b) Not later than 30 days (nor more than 60 days) prior to said date the Dissemination Agent shall give notice to the District that the Annual Report shall be required to be filed in accordance with the terms of this Disclosure Certificate. Not later than 15 Business Days prior to said date, the District shall provide the Annual Report in a format suitable for reporting to the Repository to the Dissemination Agent (if other than the District). If the District is unable to provide to the Repository an Annual Report by the date required in subsection (a), the District shall send a notice to the Repository in substantially the form attached as Exhibit A with a copy to the Dissemination Agent. The Dissemination Agent shall not be required to file a Notice to Repository of Failure to File an Annual Report.
( c) The Dissemination Agent shall file a report with the District stating it has filed the Annual Report in accordance with its obligations hereunder, stating the date it was provided.
SECTION 4. Content and Form of Annual Reports.
(a) The District's Annual Report shall contain or include by reference the following:
1. The audited financial statements of the District for the prior fiscal year, prepared in accordance with generally accepted accounting principles as promulgated to apply to governmental entities from time to time by the Governmental Accounting Standards Board. If the District's audited financial statements are not available by the time the Annual Report is required to be filed pursuant to Section 3(a), the Annual Report shall contain unaudited financial statements in a format similar to the financial statements contained in the final Official Statement, and the audited financial statements shall be filed in the same manner as the Annual Report when they become available.
2. Material financial information and operating data with respect to the District of the type included in the Official Statement in the following categories (to the extent not included in the District's audited financial statements):
(a) State funding received by the District for the last completed fiscal year;
(b) Average daily attendance of the District for the last completed fiscal year;
( c) Outstanding District indebtedness;
C-2 (d) Summary financial information on revenues, expenditures and fund balances for the District's general fund reflecting adopted budget for the current fiscal year.
( e) Information regarding total assessed valuation of taxable properties within the District, if and to the extent provided to the District by the County and;
(f) Information regarding total secured tax charges and delinquencies on taxable properties within the District, to the extent the County has elected to disenroll the Teeter Plan.
Any or all of the items listed above may be included by specific reference to other documents, including official statements of debt issues of the District or related public entities, which have been submitted to the Repository or the Securities and Exchange Commission. If the document included by reference is a final official statement, it must be available from the Municipal Securities Rulemaking Board. The District shall clearly identify each such other document so included by reference.
(b) The Annual Report shall be filed in an electronic format accompanied by identifying information prescribed by the Municipal Securities Rulemaking Board.
SECTION 5. Reporting of Significant Events.
(a) Pursuant to the provisions of this Section 5, the District shall give, or cause to be given, notice of the occurrence of any of the following events with respect to the Bonds in a timely manner not in excess of IO business days after the occurrence of the event:
1. principal and interest payment delinquencies.
2. tender offers.
3. defeasances.
4. rating changes.
5. adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, adverse tax opinions or Notices of Proposed Issue (IRS Form 5701-TEB).
6. unscheduled draws on the debt service reserves reflecting financial difficulties.
7. unscheduled draws on credit enhancement reflecting financial difficulties.
8. substitution of the credit or liquidity providers or their failure to perform.
9. bankruptcy, insolvency, receivership or similar event (within the meaning of the Rule) of the District. For the purposes of the event identified in this Section 5(a)(9), the event is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent or similar officer for the District in a proceeding under the U.S. Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the District, or if such jurisdiction has been assumed by leaving the existing governmental body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the
C-3 entry of an order confirming a plan of reorganization, arrangement or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the District.
I 0. default, event of acceleration, termination event, modification of terms, or other similar events under the terms of a Financial Obligation, any of which reflect financial difficulties.
(b) Pursuant to the provisions of this Section 5, the District shall give, or cause to be given, notice of the occurrence of any of the following events with respect to the Bonds, if material:
1. non-payment related defaults.
2. modifications to rights of Bondholders.
3. optional, contingent or unscheduled bond calls.
4. unless described under Section 5(a)(5) above, material notices or determinations with respect to the tax status of the Bonds, or other material events affecting the tax status of the Bonds.
5. release, substitution or sale of property securing repayment of the Bonds.
6. the consummation of a merger, consolidation, or acquisition involving the District or the sale of all or substantially all of the assets of the District, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms.
7. Appointment of a successor or additional trustee or paying agent with respect to the Bonds or the change of name of such a trustee or paying agent.
8. incurrence of a Financial Obligation, or agreement to covenants, events of default, remedies, priority rights, or other similar terms of a Financial Obligation, any of which affect Bondowners.
( c) Whenever the District obtains knowledge of the occurrence of a Listed Event under Section 5(b) hereof, the District shall as soon as possible determine if such event would be material under applicable federal securities laws.
( d) If the District determines that knowledge of the occurrence of a Listed Event under Section 5(b) hereof would be material under applicable federal securities laws, the District shall (i) file a notice of such occurrence with the Repository in a timely manner not in excess of IO business days after the occurrence of the event or (ii) provide notice of such reportable event to the Dissemination Agent in format suitable for filing with the Repository in a timely manner not in excess of IO business days after the occurrence of the event. The Dissemination Agent shall have no duty to independently prepare or file any report of Listed Events. The Dissemination Agent may conclusively rely on the District's determination of materiality pursuant to Section 5( c).
SECTION 6. Termination of Reporting Obligation. The District's obligations under this Disclosure Certificate shall terminate upon the legal defeasance, prior redemption or payment in full of all
C-4 of the Bonds. If such termination occurs prior to the final maturity of the Bonds, the District shall give notice of such termination in the same manner as for a Listed Event under Section 5(a) or Section 5(b), as applicable.
SECTION 7. Dissemination Agent. The District may, from time to time, appoint or engage a Dissemination Agent (or substitute Dissemination Agent) to assist it in carrying out its obligations under this Disclosure Certificate, and may discharge any such Agent, with or without appointing a successor Dissemination Agent. The Dissemination Agent may resign upon 15 days written notice to the District. Upon such resignation, the District shall act as its own Dissemination Agent until it appoints a successor. The Dissemination Agent shall not be responsible in any manner for the content of any notice or report prepared by the District pursuant to this Disclosure Certificate and shall not be responsible to verify the accuracy, completeness or materiality of any continuing disclosure information provided by the District. The District shall compensate the Dissemination Agent for its fees and expenses hereunder as agreed by the parties. Any entity succeeding to all or substantially all of the Dissemination Agent's corporate trust business shall be the successor Dissemination Agent without the execution or filing of any paper or further act.
SECTION 8. Amendment; Waiver. Notwithstanding any other provision of this Disclosure Certificate, the District may amend this Disclosure Certificate, and any provision of this Disclosure Certificate may be waived, provided that the following conditions are satisfied:
(a) If the amendment or waiver relates to the provisions of Sections 3(a), 4, 5(a) or 5(b), it may only be made in connection with a change in circumstances that arises from a change in legal requirements, change in law, or change in the identity, nature or status of an obligated person with respect to the Bonds, or the type of business conducted;
(b) The undertaking, as amended or taking into account such waiver, would, in the opinion of nationally recognized bond counsel, have complied with the requirements of the Rule at the time of the original issuance of the Bonds, after taking into account any amendments or interpretations of the Rule, as well as any change in circumstances;
( c) The amendment or waiver does not, in the opinion of nationally recognized bond counsel, materially impair the interests of the Holders or Beneficial Owners of the Bonds; and
( d) No duties of the Dissemination Agent hereunder shall be amended without its written consent thereto.
In the event of any amendment or waiver of a provision of this Disclosure Certificate, the District shall describe such amendment in the next Annual Report, and shall include, as applicable, a narrative explanation of the reason for the amendment or waiver and its impact on the type ( or in the case of a change of accounting principles, on the presentation) of financial information or operating data being presented by the District. In addition, if the amendment relates to the accounting principles to be followed in preparing financial statements, (i) notice of such change shall be given in the same manner as for a Listed Event under Section 5(b ), and (ii) the Annual Report for the year in which the change is made should present a comparison (in narrative form and also, if feasible, in quantitative form) between the financial statements as prepared on the basis of the new accounting principles and those prepared on the basis of the former accounting principles.
SECTION 9. Additional Information. Nothing in this Disclosure Certificate shall be deemed to prevent the District from disseminating any other information, using the means of dissemination set forth in this Disclosure Certificate or any other means of communication, or including any other information in
C-5 any Annual Report or notice of occurrence of a Listed Event, in addition to that which is required by this Disclosure Certificate. If the District chooses to include any information in any Annual Report or notice of occurrence of a Listed Event in addition to that which is specifically required by this Disclosure Certificate, the District shall have no obligation under this Certificate to update such information or include it in any future Annual Report or notice of occurrence of a Listed Event.
SECTION 10. Default. In the event of a failure of the District to comply with any provision of this Disclosure Certificate any Holder or Beneficial Owner of the Bonds may take such actions as may be necessary and appropriate, including seeking mandate or specific performance by court order, to cause the District to comply with its obligations under this Disclosure Certificate. A default under this Disclosure Certificate shall not be deemed an event of default under the Resolution, and the sole remedy under this Disclosure Certificate in the event of any failure of the District to comply with this Disclosure Certificate shall be an action to compel performance.
SECTION 11. Duties, Immunities and Liabilities of Dissemination Agent. The Dissemination Agent shall have only such duties as are specifically set forth in this Disclosure Certificate. The Dissemination Agent acts hereunder solely for the benefit of the District; this Disclosure Certificate shall confer no duties on the Dissemination Agent to the Participating Underwriter, the Holders and the Beneficial Owners. The District agrees to indemnify and save the Dissemination Agent, its officers, directors, employees and agents, harmless against any loss, expense and liabilities which it may incur arising out of or in the exercise or performance of its powers and duties hereunder, including the costs and expenses (including attorneys fees) of defending against any claim of liability, but excluding liabilities due to the Dissemination Agent's negligence or willful misconduct. The obligations of the District under this Section shall survive resignation or removal of the Dissemination Agent and payment of the Bonds. The Dissemination Agent shall have no liability for the failure to report any event or any financial information as to which the District has not provided an information report in format suitable for filing with the Repository. The Dissemination Agent shall not be required to monitor or enforce the District's duty to comply with its continuing disclosure requirements hereunder.
SECTION 12. Beneficiaries. This Disclosure Certificate shall inure solely to the benefit of the District, the Dissemination Agent, the Participating Underwriter and Holders and Beneficial Owners from time to time of the Bonds, and shall create no rights in any other person or entity.
Dated: February 13, 2020 OCEAN VIEW SCHOOL DISTRICT
Deputy Superintendent, Administrative Services
C-6 EXHIBIT A
NOTICE TO REPOSITORY OF FAILURE TO FILE ANNUAL REPORT
Name of District: OCEAN VIEW SCHOOL DISTRICT
Name of Bond Issue: Election of 2016 General Obligation Bonds, Series B
Date oflssuance: February 13, 2020
NOTICE IS HEREBY GIVEN that the District has not provided an Annual Report with respect to the above-named Bonds as required by the Continuing Disclosure Certificate relating to the Bonds. The District anticipates that the Annual Report will be filed by ______
OCEAN VIEW SCHOOL DISTRICT
By [form only; no signature required]
C-A-1 [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIXD
BOOK-ENTRY ONLY SYSTEM
The information in this section concerning DTC and DTC 's book-entry system has been obtained from sources that the District believes to be reliable, but the District takes no responsibility for the accuracy or completeness thereof The District cannot and does not give any assurances that DTC, DTC Direct Participants or Indirect Participants (as defined herein) will distribute to the Beneficial Owners (a) payments of interest, principal or premium, if any, with respect to the Bonds, (b) certificates representing ownership interest in or other confirmation or ownership interest in the Bonds, or (c) redemption or other notices sent to DTC or Cede & Co., its nominee, as the registered owner of the Bonds, or that they will so do on a timely basis or that DTC, Direct Participants or Indirect Participants will act in the manner described in this Official Statement. The current "Rules" applicable to DTC are on file with the Securities and Exchange Commission and the current "Procedures" of DTC to be followed in dealing with Participants are on file with DTC.
The Depository Trust Company ("DTC"), New York, NY, will act as securities depository for the Bonds. The Bonds will be issued as fully-registered securities registered in the name of Cede & Co. (DTC's partnership nominee) or such other name as may be requested by an authorized representative of DTC. One fully-registered Bond certificate will be issued for each of maturity of the Bonds, each in the aggregate principal amount of such bond, and will be deposited with DTC.
DTC, the world's largest securities depository, is a limited-purpose trust company organized under the New York Banking Law, a "banking organization" within the meaning of the New York Banking Law, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the New York Uniform Commercial Code, and a "clearing agency" registered pursuant to the provisions of Section 17 A of the Securities Exchange Act of 1934. DTC holds and provides asset servicing for over 3.5 million issues of U.S. and non-US. equity issues, corporate and municipal debt issues, and money market instruments (from over 100 countries) that DTC's participants ("Direct Participants") deposit with DTC. DTC also facilitates the post-trade settlement among Direct Participants of sales and other securities transactions in deposited securities, through electronic computerized book-entry transfers and pledges between Direct Participants' accounts. This eliminates the need for physical movement of securities certificates. Direct Participants include both U.S. and non-US. securities brokers and dealers, banks, trust companies, clearing corporations, and certain other organizations. DTC is a wholly-owned subsidiary of The Depository Trust & Clearing Corporation ("DTCC"). DTCC is the holding company for DTC, National Securities Clearing Corporation and Fixed Income Clearing Corporation, all of which are registered clearing agencies. DTCC is owned by the users of its regulated subsidiaries. Access to the DTC system is also available to others such as both U.S. and non-US. securities brokers and dealers, banks, trust companies, and clearing corporations that clear through or maintain a custodial relationship with a Direct Participant, either directly or indirectly ("Indirect Participants"). DTC has a Standard & Poor's rating of AA+. The DTC Rules applicable to its Participants are on file with the Securities and Exchange Commission. More information about DTC can be found at www.dtcc.com. However, the information presented on such website is not incorporated herein by any reference to such website.
Purchases of Bonds under the DTC system must be made by or through Direct Participants, which will receive a credit for the Bonds on DTC's records. The Beneficial Owner is in turn to be recorded on the Direct and Indirect Participants' records. Beneficial Owners will not receive written confirmation from DTC of their purchase. Beneficial Owners are, however, expected to receive written confirmations providing details of the transaction, as well as periodic statements of their holdings, from the Direct or Indirect Participant through which the Beneficial Owner entered into the transaction. Transfers of ownership interests in the Bonds are to be accomplished by entries made on the books of D-1 Direct and Indirect Participants acting on behalf of Beneficial Owners. Beneficial Owners will not receive certificates representing their ownership interests in Bonds, except in the event that use of the book-entry system for the Bonds is discontinued.
To facilitate subsequent transfers, all Bonds deposited by Direct Participants with DTC are registered in the name of DTC's partnership nominee, Cede & Co., or such other name as may be requested by an authorized representative of DTC. The deposit of Bonds with DTC and their registration in the name of Cede & Co. or such other DTC nominee do not effect any change in beneficial ownership. DTC has no knowledge of the actual Beneficial Owners of the Bonds; DTC's records reflect only the identity of the Direct Participants to whose accounts such Bonds are credited, which may or may not be the Beneficial Owners. The Direct and Indirect Participants will remain responsible for keeping account of their holdings on behalf of their customers.
Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to Indirect Participants, and by Direct Participants and Indirect Participants to Beneficial Owners will be governed by arrangements among them, subject to any statutory or regulatory requirements as may be in effect from time to time. Beneficial Owners of Bonds may wish to take certain steps to augment the transmission to them of notices of significant events with respect to the Bonds, such as redemptions, tenders, defaults, and proposed amendments to the Bond documents. For example, Beneficial Owners of Bonds may wish to ascertain that the nominee holding the Bonds for their benefit has agreed to obtain and transmit notices to Beneficial Owners. In the alternative, Beneficial Owners may wish to provide their names and addresses to the registrar and request that copies of notices be provided directly to them.
Redemption notices shall be sent to DTC. If less than all of the Bonds within an issue are being redeemed, DTC' s practice is to determine by lot the amount of the interest of each Direct Participant in such issue to be redeemed.
Neither DTC nor Cede & Co. (nor any other DTC nominee) will consent or vote with respect to the Bonds unless authorized by a Direct Participant in accordance with DTC's MMI Procedures. Under its usual procedures, DTC mails an Omnibus Proxy to the District as soon as possible after the Record Date. The Omnibus Proxy assigns Cede & Co.'s consenting or voting rights to those Direct Participants to whose accounts Bonds are credited on the record date (identified in a listing attached to the Omnibus Proxy).
Redemption proceeds or distributions on the Bonds will be made to Cede & Co., or such other nominee as may be requested by an authorized representative of DTC. DTC's practice is to credit Direct Participants' accounts upon DTC's receipt of funds and corresponding detail information from the District or Paying Agent, on the payable date in accordance with their respective holdings shown on DTC's records. Payments by Participants to Beneficial Owners will be governed by standing instructions and customary practices, as is the case with securities held for the accounts of customers in bearer form or registered in "street name," and will be the responsibility of such Participant and not of DTC, the Paying Agent, or the District, subject to any statutory or regulatory requirements as may be in effect from time to time. Payment of redemption proceeds or distributions to Cede & Co. ( or such other nominee as may be requested by an authorized representative of DTC) is the responsibility of the District or the Paying Agent, disbursement of such payments to Direct Participants will be the responsibility of DTC, and disbursement of such payments to the Beneficial Owners will be the responsibility of Direct and Indirect Participants.
DTC may discontinue providing its services as depository with respect to the Bonds at any time by giving reasonable notice to the District or the Paying Agent. Under such circumstances, in the event
D-2 that a successor depository is not obtained, Bond certificates are required to be printed and delivered. The District may decide to discontinue use of the system of book-entry-only transfers through DTC ( or a successor securities depository). In that event, Bond certificates will be printed and delivered to DTC.
The information in this section concerning DTC and DTC's book-entry system has been obtained from sources that the District believes to be reliable, but the District takes no responsibility for the accuracy thereof.
D-3 [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIXE
GENERAL ECONOMIC AND DEMOGRAPHIC DATA FOR ORANGE COUNTY AND THE CITIES OF FOUNTAIN VALLEY AND HUNTINGTON BEACH
The Bonds are not obligations of the City of Fountain Valley ("Fountain Valley''), the City of Huntington Beach ("Huntington Beach, " and together with Fountain Valley, the "Cities'') or Orange County (the "County'') and do not represent a lien or charge against any funds or property of the Cities or the County. The following information is provided only to give prospective investors an overview of the general economic condition of the Cities and the County. The Bonds are not a debt of the Cities, the County or the State of California (the "State'').
General
Fountain Valley. Fountain Valley was incorporated on June 13, 1957 and has a land area of 9.75 square miles. It is located in the northern tip of the County and is bordered by the cities of Santa Ana, Costa Mesa, Huntington Beach, and Westminster. The San Diego Freeway (Interstate 405) bisects Fountain Valley diagonally. Fountain Valley is roughly 30 miles southeast of Los Angeles and 90 miles northwest of San Diego. Fountain Valley has operated under a council-manager form of government since incorporation. Policy making and legislative authority are vested in the City Council, which is comprised of five members elected at large, on a non-partisan basis, for staggered four-year terms of office. Largely residential, Fountain Valley has seen a recent increase in commercial development. It also hosts Mile Square Regional Park, which as 640 acres of park space, golf courses, lakes, and recreational facilities. Fountain Valley was incorporated on June 13, 1957 and has a land area of 9.75 square miles. It is located in the northern tip of the County and is bordered by the cities of Santa Ana, Costa Mesa, Huntington Beach, and Westminster. The San Diego Freeway (Interstate 405) bisects Fountain Valley diagonally. Fountain Valley is roughly 30 miles southeast of Los Angeles and 90 miles northwest of San Diego. Fountain Valley has operated under a council-manager form of government since incorporation. Policy making and legislative authority are vested in the City Council, which is comprised of five members elected at large, on a non-partisan basis, for staggered four-year terms of office. Largely residential, Fountain Valley has seen a recent increase in commercial development. It also hosts Mile Square Regional Park, which as 640 acres of park space, golf courses, lakes, and recreational facilities.
Huntington Beach. Huntington Beach is bordered by the Pacific Ocean on the southwest, by Seal Beach on the northwest, by Costa Mesa on the east, by Newport Beach on the southeast, by Westminster on the north, and by Fountain Valley on the northeast, with a land area of 31. 6 square miles. Huntington Beach is famous for a 9.5 mile stretch of sandy beach that is complemented by a mild climate and surf culture that has earned Huntington Beach the title, "Surf City, USA" Incorporated in 1909 Huntington Beach has a council/administrator form of government. The City Council is comprised of seven members elected biannually at large to four-year terms and the Mayor is selected by the Council Members to one-year term. In addition to its famous beaches, Huntington Beach has diversified economy and is one of the leading commercial and industrial centers in Southern California.
Orange County. The County was established as a political entity on March 11, 1889, after being divided from Los Angeles County. It occupies approximately 798 square miles with a coastline of 42 miles. The County is third most-populous and second-most densely populated county in California and is located adjacent to the Pacific Ocean to the west and the Counties of Los Angeles to the north, San Bernardino and Riverside to the east, and San Diego to the south. There is no defined urban center in the County, as it is a mostly suburban region except for some traditionally urban areas at the centers of the older City of Anaheim, Fullerton, Huntington Beach, Orange, and Santa Ana. The County seat is the City
E-1 of Santa Ana. The County is a general law county and governed by a five-member Board of Supervisors, each of whom serves for four-year terms. The County's warm Mediterranean climate draws millions of tourists to its famous amusement parks and beaches, and also is headquarters to many companies in technology, automotive, fashion and restaurant industries, and numerous shopping malls and shopping centers.
The County was incorporated on February 18, 1850 and functions under a charter adopted in 1933, which is subsequently amended from time to time. The County is governed by a five-member Board of Supervisors elected to four-year terms in district nonpartisan elections. The Board of Supervisors appoints the Chief Administrative Officer and the County Counsel. Elected officials include the Assessor/County Clerk/Recorder, District Attorney, Sheriff and Treasurer/Tax Collector.
Population
The following table below shows historical population figures for the Cities, the County and the State from 2010 through 2019.
POPULATION ESTIMATES 2010 through 2019 City of Fountain Valley, City of Huntington Beach, Orange County and State of California City of City of Year< 1l Fountain Valley Huntington Beach Orange Countv State of California 2010<2i 55,313 189,992 3,010,232 37,253,956 2011 55,559 191,031 3,040,125 37,594,781 2012 56,075 193,763 3,076,373 37,971,427 2013 56,354 195,112 3,109,213 38,321,459 2014 56,751 196,744 3,131,411 38,622,301 2015 56,987 198,613 3,155,578 38,952,462 2016 57,036 200,910 3,174,945 39,214,803 2017 57,059 202,115 3,199,509 39,504,609 2018 56,914 202,097 3,213,275 39,740,508 2019 56,652 203,761 3,222,498 39,927,315
(IJ As of January 1. 2 < J As of April 1. Source: 2010: U.S. Department ofCommerce, Bureau ofthe Census,for April 1. 2011-19 (2010 Benchmark Census): California Department ofFinance for January 1.
E-2 Personal Income
The following table summarizes 10 years of per capita personal income for the County, State and United States from 2009 through 2018.
PER CAPITA PERSONAL INCOME(l) 2009 through 2018 Orange County, State of California, and United States Year Orange County State of California United States 2009 $46,806 $42,044 $39,284 2010 49,773 43,634 40,546 2011 51,495 46,170 42,735 2012 55,348 48,798 44,599 2013 54,717 49,277 44,851 2014 57,165 52,324 47,058 2015 61,219 55,758 48,978 2016 63,086 57,739 49,870 2017 65,709 60,156 51,885 2018 69,268 63,557 54,446
Note: Per capita personal income is the total personal income divided by the total mid-year population estimates of the U.S. Bureau of the Census. Estimates for 2010 through 2018 reflect county population estimates available as of March 2019. All dollar estimates are in current dollars (not adjusted for inflation). Data for 2019 is not yet available. Source: U.S. Department of Commerce, Bureau ofEconomic Analysis.
Retail Trade
The following tables show a four-year history of taxable sales for the Cities and the County:
ANNUAL TAXABLE SALES 2015 through 2018 City of Fountain Valley (Dollars in Thousands) Retail Stores Total Outlets Taxable Taxable Year Retail Permits Transactions Total Permits Transactions 2015 1,055 $857,964 1,793 $1,018,126 2016 1,019 861,534 1,712 1,031,769 2017 1,052 883,913 1,784 1,060,303 2018 1,069 919,583 1,857 1,108,224
Source: "Taxable Sales in California (Sales & Use Tax)," California Board ofEqualization.
E-3 ANNUAL TAXABLE SALES 2015 through 2018 City of Huntington Beach (Dollars in Thousands) Retail Stores Total Outlets Taxable Taxable Year Retail Permits Transactions Total Permits Transactions 2015 5,769 $2,502,440 8,725 $3,207,380 2016 5,997 2,554,369 9,106 3,246,972 2017 6,095 2,642,949 9,295 3,489,560 2018 6,146 2,635,760 9,586 3,576,655
Source: "Taxable Sales in California (Sales & Use Tax)," California Board ofEqualization.
ANNUAL TAXABLE SALES 2015 through 2018 Orange County (Dollars in Thousands) Retail Stores Total Outlets Taxable Taxable Year Retail Permits Transactions Total Permits Transactions 2015 66,830 $42,148,058 109,426 $61,916,219 2016 68,338 42,817,111 112,154 63,058,761 2017 68,701 44,264,343 113,180 65,148,058 2018 69,228 46,078,187 117,633 67,468,616
Source: "Taxable Sales in California (Sales & Use Tax)," California Board ofEqualization.
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E-4 Employment
With respect to the Cities, County, and State, the following table summarizes the civilian labor force, employment, unemployment and unemployment rate for the years 2014 through 2018.
CIVILIAN LABOR FORCE, EMPLOYMENT AND UNEMPLOYMENT 2014 through 2018 City of Fountain Valley, City of Huntington Beach, Orange County and State of California Unemployment Year Area Labor Force Em12loyment Unem12loyment Rate(%} 2014 City of Fountain Valley 28,300 26,800 1,500 5.4 City of Huntington Beach 106,800 101,100 5,700 5.3 Orange County 1,569,000 1,482,900 86,100 5.5 State of California 18,714,700 17,310,900 1,403,800 7.5
2015 City of Fountain Valley 28,400 27,200 1,200 4.4 City of Huntington Beach 107,700 103, 100 4,600 4.3 Orange County 1,585,800 1,514,900 70,900 4.5 State of California 18,851,100 17,681,800 1,169,200 6.2
2016 City of Fountain Valley 28,500 27,300 1,200 4.2 City of Huntington Beach 108,000 103,700 4,300 4.0 Orange County 1,598,800 1,534,100 64,700 4.0 State of California 19,044,500 18,002,800 1,041,700 5.5
2017 City of Fountain Valley 28,400 27,400 1,000 3.7 City of Huntington Beach 108,800 105,000 3,800 3.5 Orange County 1,609,800 1,553,400 56,400 3.5 State of California 19,205,300 18,285,500 919,800 4.8
2018 City of Fountain Valley 28,700 27,800 900 3.0 City of Huntington Beach 109,800 106,700 3,100 2.9 Orange County 1,625,400 1,577,900 47,500 2.9 State of California 19,398,200 18,582,800 815,400 4.2
Note: Data is based on annual averages, unless otherwise specified, and is not seasonally adjusted. Source: U.S. Department ofLabor - Bureau ofLabor Statistics, California Employment Development Department. March 2018 Benchmark.
E-5 Industry
The Cities are included in the Anaheim-Santa Ana-Irvine Metropolitan Statistical Area (the "MSA"). The distribution of employment in the MSA is presented in the following table for calendar years 2014 through 2018. These figures are multi county-wide statistics and may not necessarily accurately reflect employment trends within the communities served by the District.
INDUSTRY EMPLOYMENT & LABOR FORCE 1 2014 through 201s< ) Anaheim-Santa Ana-Irvine Metropolitan Statistical Area 2014 2015 2016 2017 2018 Total Farm 2,800 2,400 2,400 2,100 2,000 Mining, Logging and Construction 83,600 92,100 97,700 102,300 106,600 Manufacturing 158,200 157,800 158,200 160,500 159,800 Wholesale Trade 79,100 78,900 78,600 79,000 80,100 Retail Trade 148,600 151,600 152,600 153,500 152,900 Transportation, Warehousing & Utilities 26,500 26,900 27,200 28,000 29,300 Information 23,400 24,900 26,000 26,800 26,700 Financial Activities 113,900 116,400 118,000 119,600 119,100 Professional & Business Services 278,400 287,900 297,900 303,000 315,400 Education & Health Services 190,900 198,900 206,200 215,900 225,000 Leisure & Hospitality 194,500 203,800 212,000 218,100 222,600 Other Services 47,300 48,900 50,500 50,300 51,100 Government 152,200 156 400 159 600 160 200 160 800 Total (all industries) 1,499,400 1,547,000 1,586,900 1,619,200 1,651,300
(!) Annual averages, unless otherwise specified. Note: Items may not add to total due to independent rounding. Source: California Employment Development Department, Labor Market Information Division. March 2018 Benchmark.
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E-6 Largest Employers
The following tables list the most recently available data concerning major employers located in the Cities and the County.
LARGEST EMPLOYERS As of June 30, 2018 City of Fountain Valley Number of Local Rank Employer Employees Industry 1. Fountain Valley Regional Hosp. 1,774 Healthcare 2. Memorial Health Services 1,493 Healthcare 3. Orange Coast Memorial Med. 1,050 Healthcare 4. Hyundai Motor America 677 Automotive manufacturer 5. Kingston Technology Corp. 677 Solid state drive manufacturer 6. Antech Diagnostics, Inc. 339 Veterinary laboratory services 7. Surefire LLC 336 Flashlight manufacturer 8. Costco 322 Retail store 9. Ceridian Tax Services, Inc. 288 Corporate tax services 10. Manor Care of Fountain Valley 192 Skilled nursing facility
Source: City ofFountain Valley, 'Comprehensive Annual Financial Report' for the year ending June 30, 2018.
LARGEST EMPLOYERS As of June 30, 2018 City of Huntington Beach Number of Local Rank Employer Employees Industry 1. Boeing 3,827 Aerospace engineering 2. Hyatt Regency-Huntington Beach 641 Hotel 3. Zodiac Aerospace/Driessen Aircraft 709 Aircraft equipment manufacturing 4. C&D Aerospace 555 Aircraft equipment manufacturing 5. Cambro Mfg. Co. 550 Commercial manufacturing 6. Huntington Beach Hospital 527 Healthcare 7. WalMart 461 Retail store 8. No Ordinary Moments 421 Services to developmentally disabled 9. Huntington Valley Healthcare 381 Healthcare 10. Harbor Distributing 350 Retail distributors
Source: City ofHuntington Beach, 'Comprehensive Annual Financial Report' for the year ending June 30, 2018.
E-7 LARGEST EMPLOYERS As of June 30, 2018 Orange County Rank Employer Employees Industry 1. Walt Disney Co. 30,000 Amusement and Recreation Services 2. University of California, Irvine 23,605 Services: Educational 3. County of Orange 18,257 Public Administration 4. St. Joseph Health System 13,786 Services: Health 5. Kaiser Permanente 7,800 Insurance 6. Boeing Co. 6,103 Manufacturing: Industrial 7. Albertson's 6,057 Retail Trade: Grocery Store 8. Walmart 6,000 Retail Trade: General Merchandise 9. Hoag Memorial Hospital 5,680 Services: Health 10. Target Corporation 5,400 Retail Trade: General Merchandise
Source: Orange County Comprehensive Annual Financial Report for the Fiscal Year Ended June 30, 2018.
Construction
The following tables show a five-year history of the building permits and valuations for the Cities and the County from years 2014 through 2018.
BUILDING PERMITS AND VALUATIONS 2014 through 2018 City of Fountain Valley (Dollars in Thousands) 2014 2015 2016 2017 2018 Valuation Residential $10,966 $7,359 $10,774 $10,781 $9,047 Non-residential 30,542 32,413 23,227 14,592 15,333 Total $41,508 $39,772 $34,001 $25,373 $24,380 New Housing Units Single Units 14 5 9 16 13 Multiple Units 0 0 0 0 0 Total 14 5 9 16 13
Source: Construction Industry Research Board.
E-8 BUILDING PERMITS AND VALUATIONS 2014 through 2018 City of Huntington Beach (Dollars in Thousands) 2014 2015 2016 2017 2018 Valuation $119,953 $95,512 $177,123 $104,901 $61,435 Residential 117 447 158,529 116,351 47 668 52,769 Non-residential $237,400 $254,041 293,474 $152,569 $114,204 Total New Housing Units Single Units 59 125 52 50 60 Multiple Units 989 147 813 228 0 Total 1,048 272 865 278 60
Source: Construction Industry Research Board.
BUILDING PERMITS AND VALUATIONS 2014 through 2018 Orange County (Dollars in Thousands) 2014 2015 2016 2017 2018 Valuation Residential $2,633,471 $2,826,883 $3,151,640 $3,188,601 $2,750,619 Non-residential 2,000,168 2,203,105 2,495,687 2,090,029 3,532,285 Total $4,633,639 $5,029,988 $5,647,327 $5,278,630 $6,282,904 New Housing Units Single Units 3,646 3,667 4,226 5,097 3,975 Multiple Units 6 990 7,230 7 908 5 197 4,130 Total 10,636 10,897 12,134 10,294 8,105
Source: Construction Industry Research Board.
E-9 [THIS PAGE INTENTIONALLY LEFT BLANK] APPENDIXF
ORANGE COUNTY EDUCATIONAL INVESTMENT POOL
The following information concerning the Orange County Educational Investment Pool (the "Educational Investment Pool'') has been provided by the Treasurer-Tax Collector (the "Treasurer'') specifically for inclusion herein, and has not been confirmed or verified by the District. The District has not made an independent investigation of the investments in the Educational Investment Pool and has made no assessment of the current County investment policy. The value of the various investments in the Educational Investment Pool will fluctuate on a daily basis as a result of a multitude offactors, including generally prevailing interest rates and other economic conditions. Additionally, the Treasurer, with the consent of the County Board of Supervisors may change the County investment policy at any time. Therefore, there can be no assurance that the values of the various investments in the Educational Investment Pool will not vary significantly from the values described herein. Finally, the District does not make any representation as to the accuracy or adequacy of such information or as to the absence of material adverse changes in such information subsequent to the date hereof, or that the information contained or incorporated hereby by reference is correct as ofany time subsequent to its date.
The County Board of Supervisors (the "Board") approved the current County Investment Policy Statement (the "Investment Policy") on December 18, 2018 (see ocgov.com/ocinvestrnents). (This reference is for convenience of reference only and not considered to be incorporated as part of this Official Statement.) The Investment Policy applies to all funds managed by the County Treasurer as delegated by the Board including the Orange County Investment Pool, the Orange County Educational Investment Pool, the John Wayne Airport Investment Fund and various other small non-Pooled investment funds. The primary goal is to invest public funds in a manner which will provide the maximum security of principal invested with secondary emphasis on providing adequate liquidity to Pool Participants and lastly to achieve a market rate of return within the parameters of prudent risk management while conforming to all applicable statutes and resolutions governing the investment of public funds. The main investing objectives, in order of priority are: Safety, Liquidity and Yield.
Pursuant to California Government Code Section (CGC) 27130-27137, the Board of Supervisors has established a Treasury Oversight Committee (TOC) that monitors and reviews the Investment Policy Statement annually and causes an annual audit to be conducted to determine if the Treasurer is in compliance with CGC 27130-17137 and which includes, limited tests of compliance with laws and regulations. The TOC consists of the County Executive Officer, the elected County Auditor-Controller, the elected County Superintendent of Schools, or their respective designees and four public members. In addition, the Auditor-Controller Internal Audit Division and the Internal Audit Department perform regular reviews and audits as required by CGC 26920(a) and (b) and as required by a TOC Directive. These reports, when issued, are available online in the Treasurer's Monthly Investment Report at ocgov.com/ocinvestments (This reference is for convenience of reference only and not considered to be incorporated as part of this Official Statement).
Ocean View School District's funds held by the County Treasurer are invested in the Orange County Educational Investment Pool (the "Pool") which pools all of the School District's funds. As of November 30, 2019, the balance in Ocean View School District's funds was $34,438,644.22 or 0.73% of the Pool. The pool is invested 97% in securities rated in the two highest rating categories. As of November 30, 2019, the Pool has a weighted average maturity of 296 days and the year-to-date net yield is 2.20%.
F-1 The following represents the composition of the Pool as of November 30, 2019:
Market Value (In thousands) %of Type of Investment Pool U.S. Government Agencies $ 3,061,016 65.02% U.S. Treasuries 1,157,373 24.58% Medium-Term Notes 254,863 5.41% Municipal Debt 107,904 2.29% Money Market Mutual Funds 100,648 2.14% Local Agency Investment 26,564 0.56% Fund Certificates of Deposit 0.00% Total $ 4,708,368 100.00%
Neither Ocean View School District nor the Underwriter has made an independent investigation of the investments in the Pools and has made no assessment of the current County Investment Policy. The value of the various investments in the Pools will fluctuate on a daily basis as a result of a multitude of factors, including generally prevailing interest rates and other economic conditions. Additionally, the County Treasurer, after a review by the Committee and approval by the Board may change the County Investment Policy at any time. Therefore, there can be no assurance that the values of the various investments in the Pools will not vary significantly from the values described therein.
F-2 APPENDIXG
ORANGE COUNTY INVESTMENT POOL
The following information consists of a portion of the most recent monthly report concerning the Educational Investment Pool and the Commingled Investment Pool (collectively, the "Investment Pool'') provided by the Treasurer-Tax Collector (the "Treasurer''). The information in this appendix has not been confirmed or verified by the District. The District has not made an independent investigation of the investments in the Investment Pool and has made no assessment of the current County investment policy. The value of the various investments in the Investment Pool will fluctuate on a daily basis as a result ofa multitude offactors, including generally prevailing interest rates and other economic conditions. Additionally, the Treasurer, with the consent of the County Board of Supervisors, may change the County investment policy at any time. Therefore, there can be no assurance that the values of the various investments in the Investment Pool will not vary significantly from the values described herein. Finally, the District does not make any representation as to the accuracy or adequacy of such information or as to the absence of material adverse changes in such information subsequent to the date hereof, or that the information contained or incorporated hereby by reference is correct as of any time subsequent to its date. Additional information regarding the Investment Pool may be obtained from the Treasurer at Q_£gov.com/ocinvestments; however, the information presented on such website is not incorporated herein by any reference.
G-1 [THIS PAGE INTENTIONALLY LEFT BLANK]
COUNTY OF ORANGE
TREASURER'S INVESTMENT REPORT For December 31, 2019
Table of Contents
I. Memo to Board of Supervisors-Executive Summary 3
II. Investment Pool Summary, Statistics and Charts, Fund Composition, Top Ten Participants 5
Ill. Investment Objectives 12 - Safety - Investment Type/Credit Quality/Issuer Concentration/Issuer List - Liquidity - Maturities Distribution - Yield - Interest Rate Yield
IV. Cash Availability Projection per California Government Code Section 53646(b)(3) 21
V. Statement of Accountability 22
VI. Investment Policy and Treasury Oversight Committee (TOC) Bylaws Compliance Summary 23 - Investment Policy Compliance Summary - Investment Policy and TOC Bylaws Compliance Summary - Noncompliance Detail
VII. Portfolio Investment Inventory with Market Values 26 - Extended Fund, County and Educational Money Market Funds -John Wayne Airport Investment Pool/Non-pooled Investments - Investments with Trustees - CEO/Public Finance - Investments with Trustees -John Wayne Airport - Portfolio Holdings of Debt Issued by Pool Participants - Temporary Transfers to School Districts
VIII. Detailed Transaction Reports - Transaction Report by Fund for all Funds 70 - Money Market Mutual Fund and LAIF Transactions
IX. Distribution List 100
2 OFFICE OF THE TREASURER-TAX COLLECTOR SHARI L~ FREIDENRICH, CPA, CC~IT, CPFA, ACPFIM
INTERDEPARTMENTAL COMMUNICATION Date: January 17, 2020
To: Michelle Steel, Chair Andrew Do, Vice Chairman Supervisor Doug Chaffee Supervisor Donald P. Wagner Supervisor Lisa A. Bartlett
From: Shari L. Freidenrich, CPA, CCMT, CPFA, ,...,,_,,_., .. ,,,,,
Subject: Trea.'3urer• s Investment Report for the Month Ended December 31 , 2019
Attached please find the Treasurer's Investment Report for the County of Orange for the month ended December 31, 2019. The County Treasurer provides this report in compliance with California Government Code Sections 53607, 53646, and 27134 and the County's Investment Policy Statement (IPS). We have included some charts and other data for your information including charts on fund composition and the top ten. pool participants. This report is also publicly available on our website at ocgov.comioc:investments.
INVESTMENT POOL COMPOSITION The investments contained within this report are as of December 31, 2019. The Investment Pool Statistics summary shows the total investment responsibility of the County Tre-asurcr as delegated by the Board of Supervisors: the Orange County Investment Pool (OCIP) that includes the Voluntary Participants' funds, the Orange County Educational Investment Pool (OCEIP), the Jolm Wayne Airport Investment Fund and vaiious other specific non pooled investment funds. The investment practices and policies of the Treasurer are based on compliance with State law and prudent money management. The primary goal is to invest public funds in a manner which will provide :maximum security of principal invested with secondary emphasis on providing adequate liquidity to Pool Participants and lastly to achieve a market rate of return ·within the parameters of prudent risk management while conforming to all applicable statutes and resolutions governing the investment of public funds.
The County Treasurer established three short..:term funds, the Orange County Money Market Fund (OClVlMF), the Orange County Educational Money Market Fund (OCE1vfMF), and the John Wayne Airport Investment Fund, which all are invested in cash-equivalent securities and provide liquidity for immediate cash ne-eds. Standard & Poor's, on December 13, 2019 reaffirmed their highest rating of AAAm on the OCM1vlF and the OCEMMF. The County Treasurer also established the Extended Fund that is generally invested to meet longer-tenn cash needs up to five years. The OCIP is comprised of the OCMMF and portions of the Extended Fund. The OCEIP is comprised of the OCMMF and portions of the Extended Fund.
The maximum maturity of investments for the OCMMF and the OCEl\1MF is 13 months, with a maximum weighted average maturity (WAivi) of 60 days, and they have a current W AM of 24 and 26, respectively. The maximum maturity of investments for the John Wayne Airport Investment Fund is 15 months, with a maximum W AM of 90 days, and a current W AM of 86. The maximum maturity of the Extended Fund is five years, with duration not to exceed 1.5 years, and the duration is currently at 0.78. The investments in all of the funds are marke.d to market daily to calculate the daily fair value of the funds. To further maintain safety, adherence to an investment strategy of only purchasing top-rated securities and diversification of instrument types and maturities is required. ;ECO~Q.MJ~_\:TP~6;\IE In December 2019, the job market added 145,000 new jobs, and November's job numbers were revised downward by 10,000 to 256,000. The U.S. unemployment rate for December remained unchanged from November at 3.5%.
Mission: Ensure safe and timely receipt, deposit, collection and investment ofpublic funds. 3 The Empire State Manufacturing Index rose to 3.5 from 2.9 in November. The Philadelphia Fed Index decreased to 0.3. from 10.4 in November. The Federal Reserve uses these indexes as regional economic gauges, and a reading above zero signals economic expansion. With respect to housing, S&P/CaseShiller reprnted that year-over-year housing prices increased for the ninetieth consecutive month in October, up 3.34% from a year ago. The index for pending home sales increased 5.6% on a year-over-year basis in December, from 3.9% in November.
The IO-year Treasury rate increased from 1.78% in November to 1.92<3,'o in December. The short-term 90-day T-bill decreased from 1.59% at the end of November to 1.55% at th.e end of December. The rate on the 2-year Treasury note was l .5 8% at the end of December, a decrease from the November rate of 1.61 %.
INVESTMENT INTEREST YIELDS AND FOR,ECAST. The current gross and net year-to~date yields for fiscal year 2019/2020 are 2.17% and 2.11 % for OCIP and 2.21 %" and 2.15% for OCEIP. The current gross and net yields forecast for fiscal year 2019/2020 are 2.15% and 2.09% for both OCIP and OCEIP. j\.P~NM:ENT ~GLED POOL INTEREST EARNINGS Each month, the Cou11ty Treasurer apportions the accru.ed interest earnings to each pool participant. As of the first business day of the following month accrued, but unpaid, interest earnings are added to pool participants' average balances in detem1ining a participant's relative share of the pool's monthly earnings. The actual cash distribution for October 2019, November 2019 and December 2019 interest apportionments are expected to be paid in January 2020, Febnmry 2020 and March 2020 respectively. The investment administration fee for fiscal year 2019/2020 is estimated at 5.9 basis points.
!EM!:~~ The County Treasurer, as required by Constitution Article XVI, Section 6, and per the Board of Supervisor's Resolution 15~016, is authorized to make temporary transfers to school districts to address their short-term cash flow needs. The loans are secured by tax receipts to be received by the County Treasurer, as the banker for the school districts. Temporary transfers from the OCEIP total $40 million and will be repaid by January 31, 2020.
POJlTFOLIO HOLDJNGSJJF]~E!JJJS§lJED ~B~ PQQJ.,g.AJ!'.flCJPA~Tffi Under guidelines outlined in the current IPS, the County Treasurer may invest iu "AA." or above rated securities issued by municipalities. Mut1icipal debt issued by the County of Orange is exempt from this credit rating requirement. The Investment Pools may invest no more than 5% of individual pool assets in any one issuer, with the exception of the County of Orange which has a 10% limit. The Investment Pools have a total market value of $201 million in County of Orange debt, which represents approximately 1.8% of total pooled assets. On January 7, 2020, the Investment Pools purchased, at par value, $464 million of unrated County of Orange Taxable Pension Obligation Bonds 2020 Series A debt in a private placement with coupon interest rates ranging from l. 770% to 1.820%. Prior to purchasing any pool participant debt, a standardized credit analysis is performed.
COMPLIANCE SUMMARY The investment portfolios had no compliance exceptions for the month of December, 2019.
CREDIT UPDA1'E During December, there were no changes to the Treasurer's Approved Issuer List. However, on January 7. 2020, the Credit Investment Committee approved the addition of the County of Orange Taxable Pension Obligation Bonds 2020 Series A An ongoing credit analysis of all issuers owned in. the Investment Pools is reviewed 011 a daily, monthly, quarterly, and annual basis.
I certify that this report includes all pooled and non~pooled investments as of December 31, 2019 and is in conformity with all State laws and the IPS approved by the Board of Supervisors on November 19, 2019. The investments herein shown provide adequate liquidity to meet tbe next six months of projected cash flow requirements. I run available if you have any questions on this Investment Report at (714) 834-7625.
Enclosures cc: Distribution List
4 ORANGE COUNTY TREASURER-TAX COLLECTOR
SUMMARY OF INVESTMENT DATA
INVESTMENT TRENDS
INCREASE NET CHANGE INCREASE NET CHANGE DECEMBER 2019 NOVEMBER 2019 DECEMBER 2018 (DECREASE) % (DECREASE) %
Orange Coun)}'. Investment Pool (OCIP)
1 2 End Of Month Market Value · $ 5,091,530,022 $ 4,451,712,839 $ 639,817, 183 14.37% $ 5,008,408,848 $ 83, 121, 174 1.66%
End Of Month Book Value2 $ 5,074,870,551 $ 4,432,886,066 $ 641,984,485 14.48% $ 5,016,509,479 $ 58,361,072 1.16%
Monthly Average Balance2 $ 5,625,603,546 $ 4,495,891,987 $ 1, 129,711,559 25.13% $ 5,430,555,655 $ 195,047,891 3.59%
Year-To-Date Average Balance $ 4,303,850,963 $ 4,039,500,446 $ 264,350,517 6.54% $ 4,251,548,062 $ 52,302,901 1.23%
Monthly Accrued Earnings3 $ 9,423,469 $ 7,800,487 $ 1,622,982 20.81% $ 9,757,749 $ (334,280) -3.43%
Monthly Net Yield 1.88% 2.01% -0.13% -6.42% 2.04% -0.16% -7.93%
Year-To-Date Net Yield 4 2.11% 2.18% -0.07% -3.13% 1.83% 0.28% 15.39%
Annual Estimated Gross Yield 2.15% 2.15% 0.00% 0.00% 2.11% 0.04% 2.06%
Weighted Average Maturity (WAM)5 219 271 (52) -19.19% 275 ((56) -20.36%
Orange Coun)}'. Educational Investment Pool (OCEIP)
1 2 End Of Month Market Value · $ 6,099,020,032 $ 4, 708,367,206 $ 1,390,652,826 29.54% $ 5,370, 720,634 $ 728,299,398 13.56%
End Of Month Book Value2 $ 6,076,480,394 $ 4,686,453, 731 $ 1,390,026,663 29.66% $ 5,380,553,768 $ 695,926,626 12.93%
Monthly Average Balance2 $ 5, 126,497,577 $ 4,570,058,655 $ 556,438,922 12.18% $ 4,752,884,924 $ 373,612,653 7.86%
Year-To-Date Average Balance $ 4,935,620,248 $ 4,897,444, 782 $ 38,175,466 0.78% $ 4,629,927, 160 $ 305,693,088 6.60%
Monthly Accrued Earnings3 $ 8,803,880 $ 8,136,863 $ 667,017 8.20% $ 8,521,030 $ 282,850 3.32%
Monthly Net Yield 1.94% 2.07% -0.13% -6.47% 2.02% -0.09% -4.35%
Year-To-Date Net Yield 4 2.15% 2.19% -0.04% -1.83% 1.82% 0.33% 18.41%
Annual Estimated Gross Yield 2.15% 2.15% 0.00% 0.00% 2.09% 0.06% 2.70%
Weighted Average Maturity (WAM)5 245 296 (5'1) -17.23% 306 (61) -19.93%
1 Market values provided by Bloomberg and Northern Trust 2 In December 2019, OCIP End of Month Market and Book Value and Monthly Average Balances increased from the prior month primarily due to higher incoming secured property tax receipts OCEIP End of Month and Book Values and Monthly Average Balance increased from prior month and year primarily due to the receipt of the unsecured property tax apportionment on December 17, 2019 for $1.05 billion up from last year's apportionment of $961 million 3 In December 2019, OCIP Monthly Accrued Earnings were higher than the prior month primarily due to an increased poll balance. The OCIP and OCEIP December 2018 Monthly Accrued Earnings and Monthly and Year-to-Date Net Yields are higher than the reported yields in the Monthly Investment December 2018 Report due to the addition of the Money Market Mutual Funds (MMMF) interest income that was not posted timely as noted in the June 2019 report 4 In December 2019, OCIP and OCEIP Year-to-Date Net Yields were higher than the prior year primarily due to increased pool balances and to the eleven Federal Reserve short-term rate changes resulting in a net increase of 1.25% since November 2016 5 In December 2019, OCIP and OCEIP Weighted Average Maturity (WAM) declined from prior month and year primarily due to incoming secured property tax receipts being invested in overall shorter maturities
5 ORANGE COUNTY TREASURER-TAX COLLECTOR INVESTMENT POOL STATISTICS FOR THE MONTH AND QUARTER ENDED: December 31, 2019
INVESTMENT STATISTICS -By Investment Pool Average Dally Yield MONTHLY QUARTER Gross Days to as of Gross Yield Yield Current NAV Maturity 12/ll /19 DESCRIPTION CURRENT BALANCES COMBINED POOL BALANCES includes the Extended Fund) MARKET Value 5,091 ,530,022 219 1.95% 1.94% 2.06% 1.0033 COST (Capital) 5,069,558,291 Orange County Investment Pool (OCIP) MONTHLY AVG Balance 5,625,603,546 QUARTERLY AVG Balance 4,707,034,481 BOOK Value 5,074,870,551 MARKET Value 6,099,020,032 245 2.02% 2.00% 2.11% 1.0037 COST (Capital) 6,069,760,855 Orange County Educational Investment Pool (OCEIP) MONTHLY AVG Balance 5, 126,497,577 QUARTERLY AVG Balance 4,768,353,998 BOOK Value $ 6,076,480,394 DESCRIPTION CURRENT BALANCE INVESTMENT BALANCES AT COST Specific Investment Funds: MARKET Value 98,870,289 John Wayne Airport Investment Fund 41,743,273 283, FVSD, CCCD COST (Capital) 97,676,107 Fountain Valley School District Fund 40 34,700,216 MONTHLY AVG Balance 108,053,873 CCCD Series 2017E Bands 21,232,618 QUARTERLY AVG Balance 108, 101,358 BOOK Value $. 97,484,476 97,676, 107 INVESTMENTS &CASH INVESTMENTS & CASH COUNTY MONEY MARKET FUND (OCMMF) County Money Market Fund 1,334,671,552 OCIP 5,077,708,273 County Cash & Cash Equivalent 8,149,982 OCEIP 6,070,225,288 EXTENDED FUND 8,786,033,398 Specific Investment Funds 97,676, 107 EDUCATIONAL MONEY MARKET FUND (OCEMMF) Non-Pooled Cash & Cash Equivalent 29,721,534 Educational Money Market Fund 1,018,614, 196 Educational Cash & Cash Equivalent 464,433 NON-POOLED INVESTMENTS Non-Pooled Investments@ Cost 97,676, 107 Non-Pooled Cash & Cash Equivalent 29,721,534 11,275,331,202 11,275,331,202 INTEREST RATE YIELD WEIGHTEDAVERAGE MATURITY (WAM) OCMMF -MONTHLY GROSS YIELD 1.57% OCMMF 24 OCEMMF -MONTHLY GROSS YIELD 1.58% OCEMMF 26 OHN WAYNE AIRPORT-MONTHLY GROSS YIELD 1.63% JOHN WAYNE AIRPORT WAM 86 OCIP -YTD NET YIELD131 2.11% LGIP WAM (Standard & Poors) 39 OCEIP -YTD NETYIELD131 2.15% 90-0AY T-B ILL YIELD -MONTHLY AVERAGE 1.55% 6 ORANGE COUNTY TREASURER-TAX COLLECTOR INVESTMENT POOL STATISTICS FOR THE MONTH AND QUARTER ENDED: December 31, 2019 INVESTMENT STATISTICS -By Investment Fund Average Dally Yield MONTHLY QUARTER Gross Days to as of Gross Yield Yield Current NAV DESCRIPTION CURRENT BALANCES Maturity 12/ll /19 MARKET Value $ 1,335,660,236 24 1.54% 1.57% 1.69% 1.0002 COST (Capital) $ 1,334,671,552 Coun)}'. Money Market Fund (OCMMF) MONTHLY AVG Balance $ 1,454, 739,000 QUARTERLY AVG Balance $ 1, 187,315,218 BOOK Value $ 1,335,383,241 MARKET Value $ 1,019,495,419 26 1.56% 1.58% 1.72% 1.0004 COST (Capital) $ 1,018,614, 196 Educational Money Market Fund (OCEMMF) MONTHLY AVG Balance $ 758,654, 167 QUARTERLY AVG Balance $ 821,850,998 BOOK Value $ T,019, 11 l ,817 MARKET Value $ 8,835,394,399 289 2.10% 2.11% 2.23% 1.0044 COST (Capital) $ 8, 786,033,398 Extended Fund MONTHLY AVG Balance $ 8,538,707,956 QUARTERLY AVG Balance $ 7,466,222,263 BOOK Value $ 8;796,855 ,887 ALLOCATION OF EXTENDED FUND Extended Fund OCIP Share MARKET Value $ 3,755,869,786 289 2.10% 2.11% 2.23% 1.0044 COST (Capital) $ 3, 734,886, 739 MONTHLY AVG Balance $ 4, 170,864,546 QUARTERLY AVG Balance $ 3,519,719,263 BOOK Value $ 3,739,487,310 OCEIP Share MARKET Value $ 5,079,524,613 289 2.10% 2.11% 2.23% 1.0044 COST (Capital) $ 5,051, 146,659 MONTHLY AVG Balance $ 4,367,843,410 QUARTERLY AVG Balance $ 3,946,503,000 BOOK Value $ S,057,368,577 Modified Duration 0.78 (1) The Combined Pool Balances include the County and Educational Money Market Funds and their respective portions of the Extended Fund. (2) Specific non-pooled investments are reported in compliance with Government Code Section 53646 (b)(l). Detailed descriptions are included in the inventory listing in Section VII of this report. (3) The Net Yield differs from the Monthly Gross Yield as it includes the deduction of the Investment Administrative Fee. 7 ORANGE COUNlY INVESTMENT POOL COMPOSITION BY FUND AS OF DECEMBER 31, 2019 FUNDS BALANCE CAPITAL PROJECTS CHILO/FAM COMM OF II SPECIAL REVENUE $ 1,499,662,664 2% ORANGE COUNTY II AGENCY 1,389,119,139 1% 3% II ENTERPRISE 810,592,316 • GENERAL FUND 520, 126,620 INTERNAL SERVICE • INVESTMENT TRUST- SCHOOL BONDS 288,147,943 FUNDS II INTERNAL SERVICE FUNDS 226,328,936 4% II OTHER TRUST FUNDS 154,255,047 D CAPITAL PROJECTS 97,733,855 SPECIAL REVENUE INVESTMENT TRUST - VOLUNTARY PARTICIPANTS 54,578,387 30% Ill SCHOOL BONDS • CHILD/FAM COMM OF ORANGE COUNTY 37,163,366 6% TOTAL $ 5,077,708,273 GENERAL FUND 10% 16% 27% 8 ORANGE COUNTY INVESTMENT POOL COMPOSITION BY FUND AS OF DECEMBER 31, 2019 $1,800 $1,600 $1,400 $1,200 Ill z $1,000 0 :::i...... ~ $800 $600 $400 ~\o ~\o ...... $200 __'5~°_ 1~------·rf;'e. .. - {,io ·{\<5 .. - {,io ·{.\a .. $0 ' ~«, ~ef' ~ ~ 4~o~ Fund Class Balance as of 12/31/2018 Balance as of 12/31/2019 9 ORANGE COUNTY INVESTMENT POOL TOP TEN POOL PARTICIPANTS AS OF DECEMBER 31, 2019 OCWR LANDFILL OC FLOOD - POST-CLOSE SANTA ANA RIVER MAINT EDUCATIONAL MAI NSTE M/PRAD REVENUE ODAM CAPI AUGMENTATION 6% 20% FUND# FUND NAME BALANCE 664 EDUCATIONAL REVENUE AUGMENTATION $ 522,023,974 JOHN WAYNE 100 COUNTY GENERAL $ 520,116,323 AIRPORT 400 OC FLOOD $ 313,920,028 OPERATING 7% 299 OC WASTE & RECYCLING ENTERPRISE $ 225,249,786 673 SECURED UNAPP TAX $ 208,002,854 13Y MENTAL HEALTH SERVICES ACT $ 201,927,054 MENTAL HEAL TH 280 JOHN WAYNE AIRPORT OPERATING $ 169,488,413 SERVICES ACT 404 OC FLOOD - SANTA ANA RIVER MAINSTEM/Pfi $ 160,757,137 8% COUNTY GENERAL 279 OCWR LANDFILL POST-CLOSE MAINT $ 123,211,358 20% 115 OCROAD $ 119,097,070 SECURED UNAPP TOTAL $ 2, 563, 793,997 TAX 8% ENTERPRISE 12% 9% 10 ORANGE COUNTY EDUCATIONAL INVESTMENT POOL TOP TEN POOL PARTICIPANTS AS OF DECEMBER 31, 2019 COUNTY SCHOOL SERVICES GARDEN GROVE USO RANCHO SANTIAGO CCD 8% DISTRICT# SCHOOL DISTRICT BALANCE (l) 72 GARDEN GROVE USO $ 500, 170, 708 (1) NORTH ORANGE 88 NORTH ORANGE COUNTY CCD 455,949,778 (1) COUNTY CCD 75 IRVINE USO 436,090,374 (1) ORANGE USO 12% 96 SOUTH ORANGE COUNTY CCD 408,673,819 9% 90 COASTCCD 381,941, 168 (1) 64 ANAHEIM UHSD 346,961,638 (1) 84 SANTA ANA USO 346,011,826 (1) 80 ORANGE USO 335,492,818 (1) 92 RANCHO SANTIAGO CCD 330,636,835 (1) SANTA ANA USO 94 COUNTY SCHOOL SERVICES 327,635,686 9% 11% TOTAL $ 3,869,564,650 ANAHEIM UHSD (1) BALANCES INCLUDE GENERAL OBLIGATION BOND PROCEEDS 9% COAST CCD COUNTY CCD 10% 11% 11 ORANGE COUNTY TREASURER -TAX COLLECTOR BY INVESTMENT TYPE AT MARKET VALUE -By Percentage Holdings December 31, 2019 1 00"/o 90% 80"/o 70% 60% 50% 40% 30% 20% 10% 0% Orange County Investment Pool Orange County Educational Investment Pool John Wayne Airport Investment Fund Orange County Investment Pool Orange County Educational Investment Pool John Wayne Airport Investment Fund In Thousands % In Thousands % In Thousands % ,.U.S. GOVERNMENT AGENCIES $ 3,465,162 68.06% ,U.S. GOVERNMENT AGENCIES $ 4,161,983 68.24% I U. S. GOVERNMENT AGENCIES $ 24,886 59.51% S. TREASURIES 1,139,747 22.39% !,~i!U. S TREASURIES 1,360,662 22.31% ~i\Vu. s. TREASURIES $ 11,718 28.02% 1!%]u. Yf'::;5& {\MEDIUM-TERM NOTES 203,290 3.99% 1/MEDiUM-TERM NOTES 272,027 4.46% ~) MONEY MARKET MUTUAL FUNDS $ 5,216 ·12.47% • MUNICIPAL DEBT 85,482 1.68% .MUNICIPAL DEBT 115,608 1.90% f,J;"lMONEY MARKET MUTUAL FUNDS 170,710 3.35% ~MONEY MARKET MUTUAL FUNDS 152,036 2.49% LOCAL AGENCY INVESTMENT FUND 27, 139 0.53% LOCAL AGENCY INVESTMENT FUND 36,704 0.60% I ~~~~~~~~~ I _ $ _ 5,091,530 _ _1.Q9_:Q~_ _ $ _ 6,099,020 _ _1_qQ~_":!, _ 12 ORANGE COUNTY TREASURER - TAX COLLECTOR CREDIT QUALITY BY MARKET VALUE December 31, 2019 Orange County Investment Pool Orange County Educational Investment Pool NR Total AA Total 3% 89% 91% US GOV Includes Agency & Treasury Debt AA includes AA+, AA-, & AA NR Includes LAIF and Orange County Pension Obligation Bonds 13 ORANGE COUNTY TREASURER - TAX COLLECTOR CREDIT QUALITY BY MARKET VALUE December 31, 2019 County Money Market Fund Educational Money Market Fund AA Total 1% AAA Total----::::.i 18% 16% US Gov Total 83% Extended Fund John Wayne Investment Fund I I AAA Total I 1% I I I I I _____ US Gov Total ~ -----US Gov Total I 92% 90% j US GOV Includes Agency & Treasury Debt AA includes AA+, AA-, & AA NR Includes LAIF and Orange County Pension Obligation Bonds 14 ORANGE COUNTY TREASURER -TAX COLLECTOR MEDIUM-TERM NOTES I CERTIFICATES OF DEPOSIT ISSUER CONCENTRATION-By Investment Pool December 31, 2019 WAL-MART STORES INC MICROSOFT CORP JOHNSON & JOHNSmJ APPLE INC. 0.00% i.00% 2.00% 3.00% 4.0Q',6 5.00% Percent of lnves tment Pool ill ORANGE COUNTY EDUCATIONAL INVESTMENT POOL ·~ORANGE COUNTY INVESTMENT POOL ORANGE COUNTY TREASURER-TAX COLLECTOR APPROVED ISSUER LIST-OCIP, OCEIP, andJWA December 31 , 2019 I NV ESCO GOVERNMENT & AGENCY SHORT-TERM INVESTMENTS TRUST (AIM) AAAm Aaa--nf AAArmf GOLDMAN SACHS FINANCIAL SQUARE GOVT FUND AAAm Aaa--nf NR MORGAN STANLEY INSTITUTIONAL LIQUIDITY FUNDS -GOVT AAAm Aaa--nf NR NORTHERN INSTITUTIONAL TREASURY PORTFOLIO AAAm NR NR Moody's placed its L/f issuer credit rating on Negative Outlook on August 28, 2019. Moody's do.vngraded its L/f issuer credit rating fromAal toAa3 on Septerrber 24, 2018. S&P changed the Wal mart Inc Outlook from Negative to Stable onJ une 10, 2019. **** County of Orange Taxable Pension Obligation Bonds, 2020 Series A bonds were aprrOJed 0y the Credit I nvestrrent Connittee onJ anuary 7, 2020. ***** All money market funds are institutional money market funds investing in debt issued or guaranteed 0y the U.S. GCNernrrent and its agencies. 16 Orange County Treasurer-Tax Collector Changes in Approved Issuer's List For the Month Ended December 31, 2019 During December, there were no changes to the Treasurer's Approved Issuer List. Hovvever, onJ anuary 7h, 2020 the Credit Investment Committee approved the addition of the County of Orange Taxable Pension Obligation Bands, 2020 Series A. An ongoing credit analysis of all issuers ovvned in the Investment Pools is reviewed on a daily, monthly, quarterly, and annual basis. 17 ORANGE COUNTY TREASURER -TAX COLLECTOR MATURITIES DISTRIBUTION December 31, 2019 1 to 30 dci'vS 31 days to 1 ao dav::. 181 day:, to 365 davs I to 2 years 2 m 3 vears 3 to 5 vears ORANGE COUNTY INVESTMENT POOL ORANGE COUNTY EDUCATIONAL INVESTMENT POOL JOHN WAYNE AIRPORT INVESTMENT FUND 1 2 2 11 21 In Thousands ' ,i l % In Thousands (lli ) % In Thousands li % 1 T030DMS $ 1,492,739 29.38% 1 T030DAYS $ 1,350,498 22.20% 1 T030DAYS $ 8,731 20.86% 31 TO '180 DAYS 1,S40,5'l6 36.22% 31 TO 180 DAYS 2,369,925 38.96% 31 TO 180 DAYS 26.125 62.42% 18'1 TO 365 DAYS 602,343 11,86% 18'1 TO 365 DAYS 814,622 13.39% 181 T0365DAYS ------7,000 ------16.72% 1 YEAR TO 2 YEARS 720,469 '14.18% 1 YEAR TO 2 YEARS 974,380 16.02% TOTAL _ $ -~~.41,856 _~~~-100.00% 2 YEARS TO 3 YEARS 395,61)8 7.79% 2 YEARS TO 3 YEARS 535,029 8.79% 3 YEA.RS TO 5 YEARS ----- 28,996______0.57% 3 YEARS TO 5 YEARS ------39,214 ______0.64% TOTAL _ $ ~-- 5,080,670 ~~~ 100.00% TOTAL _ $ ~~-- 6,083,670 ~~~~- 100.00% (1) Maturity limits are calculated using face value. (2) Floating Rate Notes are deemed to have a maturity date equal to their next interest reset date. At 12/31/19, Floating Rate Notes comprise 1.06%, 1.20%, and 0.00% of the Orange County Investment Pool, Orange County Educational Investment Pool, and JWA Investment Fund respectively. 18 ORANGE COUNTY MONEY MARKET POOLSvsSELECTEDMONEY MARKETYIELDS (INTEREST RATE YI ELD) For The P eriocl Decerroer 2009 to Decerroer 2019 5.00 ------ 4.00 ------ 3.00 ------ 2.00 ------ 0.00 c ..., ..., oO ~ $:J " 8 i i 8 i i"" i i"' i i i"' 9 9 9 9 9 9 9 9 9 9 -SCHOOL '"-~"COU NlY -90-DAY T--BILL ·~~oclP--NET ] ORANGE COUNTY MONEY MARKET POOLS vs SELECTED AVERAGES WEIGHTED AVERAGE MATURITY (WAM) For The Period Decenter 2009to Decenter 2019 100 ------ 90 ------ 80 ------ lO c .... ~ $:J :!; ::: " ;?) J l l J j J J l "' l l "" J -SCHOOL -~=,-cou NTY -LGIP •For the Month Ended Decenter 31, 2019, S&P LGIP -1.68; S&P LGIP WAM -38.50; 90-DayT---Bill- 1.55; OCIP- N~f1.--- 1.88 ORANGE COUNlY TREASURER-TAX COLLECTOR INVESTMENT POOL YIELDS January 1, 2019 -December 31, 2019 OCMfv4F 1.57% 24 OCEMMF 1.58% 26 November 2019 OCMM.F 1.64% 36 52 OCMMF 2.41% 23 OCEMMF 2.45% 42 March 2019 OCMMF 2.42% ()Cf\flfvlF OCEMMF January 2019 OCEMMF Average 291 305 NOTE: Schedule does include additional interest income earned from Money Market Mutual Funds (MMMF) in FY 18-19, but excludes interest income from MMMFs earned in FY 17-18. 20 ORANGE COUNTY TREAS UR ER-TAX COLLECTOR CASH AVAILABILITY PROJECTION FOR THE SIX MONTHS ENDING J U NE 30, 2020 Government Code Section 53646 (b) (3), effective on January 1, 1996, requires the Treasurer-Tax Collector to include a statement in the investment report, denoting the ability of the Orange County Investment Pool (OCIP) and the Orange County Educational Investment Pool (OCEIP) to meet their expenditure requirements for the next six months. The OCIP and OCEIP consist of funds in the treasury deposited by various entities required to do so by statute, as well as those entities voluntarily depositing monies in accordance with Government Code Section 53684. The Treasurer-Tax Collector is required to disburse monies placed in the treasury as directed by the Auditor Controller and the Department of Education, except for the making of legal investments, to the extent funds are transferred to one or more clearing funds in accordance with Government Code Section 29808. The Treasurer-Tax Collector, in her projection of cash availability to disburse funds as directed by the Auditor Controller and the Department of Education, is primarily relying on historical trends involving deposits and withdrawals and known future cash flows. No representation is made as to an individual depositor's ability to meet their anticipated expenditures with anticipated revenues. The Cash Availability Projection for the six months ending June 30, 2020, indicates the ability of the pools to meet projected cash flow requirements. However, there will usually be differences between projected and actual results because events and circumstances frequently do not occur as expected and those differences may be material. ORANGE COUNTY INVESTMENT POOL Investment Projected Projected Cumulative Month Maturities Deposits Disbursements Available Cash December 2019 - Ending Cash $ 8,149,982 January $ 1,632, 172,863 $ 560,506,705 $ 1,069,732, 134 1,131,097,416 February 501,158,085 559,405,818 327,949,326 1,863,711,993 March 443,580,773 1, 117,320,564 650,753,801 2, 773,859,529 April 364,562,973 2,522,635,242 2,156,787,532 3,504,270,212 May 318,959,220 242,202,613 852,550,044 3,212,882,001 June 163,975,252 520,617,874 675,615,271 3,221,859,856 ORANGE COUNTY EDUCATIONAL INVESTMENT POOL Investment Projected Projected Cumulative Month Maturities Deposits Disbursements Available Cash December 2019 - Ending Cash $ 464,433 January $ 1,521,356,798 $ 600,147,862 $ 937 ,827 ,287 1,184,141,806 February 603,477,653 305,128,516 703,845,111 1,388,902,864 March 516,922,036 628,661,135 731,640,064 1,802,845,971 April 452,125,731 1,334, 152, 161 730, 139 ,893 2,858,983,970 May 433,820,634 267, 148 ,829 726,935,069 2,833,018,364 June 221,763,900 873,864,199 716,976,128 3,211,670,335 21 ORANGE COUNTY TREASURER-TAX COLLECTOR STATEMENT OF ACCOUNTABILITY For the Month and Quarter Ended December 31, 2019 Month Quarter Treasurer's Accountability at the Beginning of the Period: $ 9,430, 791,660 $ 8,855,692,628 Cash Receipts: County 2,791,598,895 5, 168, 168,424 School and Community College Districts 1,885,763,047 3,479,406,957 Total Cash Receipts 4,677,361,942 8,647,575,381 Cash Disbursements: County 2,302,314,336 4,001,436,593 School and Community College Districts 532,347,394 2,232,521,041 Total Cash Disbursements 2,834,661,730 6,233,957,634 Net Change in Cost Value of Pooled Assets 1,842,700,212 2,413,617,747 Net Decrease in Non-Pooled Investments (3,923,592) (10,584,819) Net Increase in Non-Pooled Cash 5,762,922 16,605,646 Treasurer's Accountability at the End of the Period: $ 11,275,331,202 $ 11,275,331,202 Assets in the Treasury at the End of the Period (at Cost Value): Pooled Investments: Orange County Investment Pool $ 5,069,558,291 Orange County Educational Investment Pool 6,069,760,855 Total Pooled Investments 11,139,319,146 Non-Pooled Investments: Non-Pooled Investments - John Wayne Airport 41,743,273 Non-Pooled Investments - Fountain Valley School District Fund 40 34,700,216 Non-Pooled Investments - CCCD Series 2017E Bonds 21,232,618 Total Non-Pooled Investments 97,676,107 Cash and Cash Equivalent: Cash in banks - County 8,094,868 Cash in banks - Schools 464,433 Cash in banks - OC Sheriff 10,838,382 4 Cash in banks - John Wayne Airport ( l 18,883,152 Cash - Other 55, 114 Total Cash 38,335,949 Total Assets in the Treasury at the End of the Period: $ 11,275,331,202 tiJ Maturities settled with Northern Trust on 12/31/2019 and re-invested on 1/2/2020 22 ORANGE COUNTY TREASURER-TAX COLLECTOR INVESTMENT POLICY (IPS) COMPLIANCE SUMMARY December 31, 2019 Investment prangeCounty Extended Fund ()rangi\l C1>unty EdLTcaticmat j oh,n W .i.yne Aifpprt PoHcy(lPS) Monl\ly Market Fund Money Market Fund lnves tment Fund GuideUnes Market Value of Percent of Market Value of Percent of Market Value of Percent of Market Value of Percent of Diversification Limit l1wesJ:ment Type Investments 111 Portfolio Investments 111 Portfolio Investments 111 Portfolio Investments 111 Portfolio 100'/o U.S. Treasuries Securities $ 369,276,262 27.65% $ 1,812,473,015 20.51% $ 318,659,351 31.26% $ 11,718,546 28.02% 100'/o U.S. Government Agency Securities 785,671,496 58.82% 6,303,294,369 71.34% 538, 178,765 52.79% 24,885,631 59.51% 20'/o Municipal Debt - O.Oa'lo 201,090,000 2.28% - O.Oa'lo - O.Oa'lo 20'/o Medium-Term Notes 10,002,200 0.75% 454,694,072 5.15% 10,620,878 1.04% - O.Oa'lo 40'/o Banker Acceptances - O.Oa'lo - O.Oa'lo - O.Oa'lo - O.Oa'lo 40'/o Commercial Paper - O.Oa'lo - O.Oa'lo - O.Oa'lo - O.Oa'lo 20'/o Negotiable Certificates of Deposits - O.Oa'lo - O.Oa'lo - O.Oa'lo - O.Oa'lo $65MM Local Agency Investment Fund (LAIF) - O.Oa'lo 63,842,943 0.72% - O.Oa'lo - O.Oa'lo 20'/o Repurchase Agreements - O.Oa'lo - O.Oa'lo - O.Oa'lo - O.Oa'lo 20'/o Money Market Mutual Funds (MMMFs) 170,710,278 12.78% - O.Oa'lo 152,036,425 14.91% 5,215,948 12.47% 20'/o J PA Investment Pools U PA) - O.Oa'lo - O.Oa'lo - O.Oa'lo - O.Oa'lo 30'/o S upranationals - O.Oa'lo - O.Oa'lo - O.Oa'lo - O.Oa'lo $ 1,335,660,236 100.00'/o $ 8,835,394,399 100.00'/o $ 1,019,495,419 100.00'/o $ 41,820,125 100.00'/o Compliance Category Ol'ange County Orange County Educational John Wayne Airport lll\testment Ppllcy {!PS}: Guh:lel.ines Extended Fund {YesiNo) Money Maiketf urid Money Market Fund Investment F um! Percentage Limits 5% Issuer Limit Yes Yes Yes Yes 20'/o MMMFs,J PA, Repurchase Agreements Yes 131 N/A Yes 131 Yes 100'/o Government Agencies Issuer Yes 141 Yes Yes 141 Yes 141 See Above Diversification Limit Yes Yes Yes Yes Maturity ;Duration Limits 60 Days Weighted Average Maturity -Money Market Fund Yes;24.41 N/A Yes;26.00 N/A 90 Days Weighted Average Maturity -J WA Investment Fund N/A N/A N/A Yes/85.66 l.5Years Duration151 N/A Yes;0.78 N/A N/A 13 Months /397 days Final Maturity -Money Market Fund Yes/127 N/A Yes/129 N/A 15 Months f458 days Final Maturity-John Wayne Airport Investment Fund N/A N/A N/A Yes;265 5 Years /1826 days Final Maturity -Extended Fund N/A Yes/1529 N/A N/A Rating Limits A-1 /2: AA 121 Money Market Fund S hart Term/Long Term Yes N/A Yes Yes 2: A-1 /P-1 /F 1 S hart Term Debt/No Split Ratings Yes N/A Yes Yes A-1/> AA 121 Extended Fund S hart Term/Long Term N/A Yes N/A N/A Approved Issuer List Authorized Issuer Yes Yes Yes Yes Braker;Dealer List Authorized Financial Dealer~nstitution Yes Yes Yes Yes >0.9975 Net Asset Value -Money Market Fund andJ WA Yes/1.0002 N/A Yes /1.0004 Yes/1.0004 (1) All investments are marked to market in compliance with the IPS and market values are provided by Bloomberg Professional Services and Northern Trust (2) Excludes US Government Debt and municipal debt issued by the County of Orange, California, per the 2019 IPS policy approved by the Board of Supervisors on December 18, 2018 effective on January 1, 2019 (3) IPS requirements further limit investments in each MMMF account, JPA pool and repurchase agreement issuer to 10% (4) Rating Agency requirements limit the investments in U.S. Government Agency Securities to 33% for the two Money Market Funds (5) Duration is a modified duration, which does not take into consideration all embedded options such as callable bonds Note: Compliance exceptions, if any, are noted by red shading for the specific IPS guideline and investment pool 23 ORANGE COUNTY TREASURER-TAX COLLECTOR INVESTMENT POLICY (IPS) AND TREASURY OVERSIGHT COMMITTEE (TOC) COMPLIANCE SUMMARY December 31, 2019 RES,PONSISLI COMPLIANC1! CATEGORY PARTY REGULATORY /POLICY G.UIDEtJNIIS CURRENT STATUS Annual Compliance Audit TOC Performance Evaluation-Cal Govt. Code 27134 June 30, 2018 and June 30, 2019 in progress. Quarterly Compliance Monitoring TOC TOC Directive September 30, 2019 and December 31, 2019 in progress. Annual Statement of Assets Audit AC Performance Evaluation-Cal Govt. Code 26920(b) June 30, 2018 and June 30, 2019 in progress. Quarterly Statement of Assets Review AC Performance Evaluation-Cal Govt. Code 26920(a) September 30, 2019 and December 31, 2019 in progress. Investment Administrative Fee TIC Compensation Agreement-Cal Govt. Code 27013 FY 17/18 & 18/19 in progress. Annual Broker/Dealer Review TIC Authorized Financial Dealers and Qualified Institutions Calendar year 2018 in progress. Annual Broker/Dealer IPS Certification TIC Authorized Financial Dealers and Qualified Institutions Receipt of 2019 IPS Certifications for active approved brokers in progress. IPS Compliance Deficiencies TIC Investment/Diversification/Maturity Restrictions/Form 700 FY 19/20 identified zero compliance incidents as of Decmber 31, 2019. TOC Bylaw Changes BOS TOC Review and BOS Annual Approval The TOC reviewed Bylaws and made no changes at the October 30, 2019 meeting. No BOS approval required. The TOC reviewed proposed IPS changes at the October 30, 2019 meeting and did not make any additional changes. BOS Annual IPS Approval BOS TOC Review and BOS Annual Approval approved November 19, 2019. TOC Annual Report BOS TOC Bylaws Rule 30 - Oral and Written Report The TOC 2018 Annual Report was presented to the BOS March 12, 2019. The TOC members were provided a list of active TIC Broker/Dealers and Financial Institutions at the TOC meeting on Broker/Financial Institution List TIC OC Gift Ban Ordinance and Form 700 October 30, 2019. Certificates of Compliance TIC TOC Bylaws Rule 34 - Annual The TOC members are in compliance for calendar year 2019 Ethics Training TIC TOC Bylaws Rule 34 - Every Two Years The TOC members are in compliance for calendar year 2018. Conflict of Interest Form 700 Filing TIC TOC Bylaws Rule 34 I IPS - Every Year All current TOC members and designated employees are in compliance for calendar year 2018. lEG.~NO Auditor-Controller AC Board of Supervisors BOS Treasury Oversight Committee TDC Office of Treasurer-Tax Collector TIC 24 During December, the Orange County Investment Pool ( OCI P), the Orange County Educational Investment Pool (OCEIP), and the John Wayne Airport Investment Fund were al I free of investment noncompliance incidents. 25 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 1 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Counpt Mone~ Mkt Fnd FUNDS INVESCO STIC GOVERNMENT & AGENCY 1/2/20 AAAm Aaa-mf AAAmmf 15,599,115.85 1.5111 15,599,115.85 0.00 0.00 15,599,115.85 15,599,115.85 0.00 MORGAN STANLEY GOVT 8302-COUNTY MMF 1/2/20 AAAm Aaa-mf NR 36,735,678.99 1.5239 36,735,678.99 0.00 0.00 36,735,678.99 36,735,678.99 0.00 GOLDMAN SACHS - COUNTY MMF 1/2/20 AAAm Aaa-mf NR 118,375,482.82 1.6382 118,375,482.82 0.00 0.00 118,375,482.82 118,375,482.82 0.00 Subtotal for FUNDS: 170,710,277.66 1.6020 170,710,277 .66 0.00 0.00 170,710,277.66 170,710,277.66 0.00 GOVERNMENT AGENCY DISCOUNT NOTES FHLB DISC CORP / JEFFERIES & COMPANY 1047142 12/5/19 1/2/20 313384RG6 A-1+ P-1 NR 41,500,000.00 1.5300 41,450,615.00 0.00 47,621.25 41,498,236.25 41,500,000.00 1,763.75 FHLB DISC CORP / FTN FINANCIAL 1047180 12/9/19 1/2/20 313384RG6 A-1+ P-1 NR 50,000,000.00 1.4700 49,951,000.00 0.00 46,958.33 49,997,958.33 50,000,000.00 2,041.67 FHLB DISC CORP / CASTLE OAK SECURITIES 1047181 12/9/19 1/2/20 313384RG6 A-1+ P-1 NR 50,000,000.00 1.4700 49,951,000.00 0.00 46,958.33 49,997,958.33 50,000,000.00 2,041.67 FHLB DISC CORP / BNY Mellon Capital Market 1047863 12/11/19 1/2/20 313384RG6 A-1+ P-1 NR 10,000,000.00 1.5000 9,990,833.33 0.00 8,750.00 9,999,583.33 10,000,000.00 416.67 FNMA DISCOUNT I cmGROUP GLOBAL MARKETS 1049267 12/20/19 1/2/20 313588RG2 A-1+ P-1 Fl+ 50,000,000.00 1.5200 49,972,555.56 0.00 25,333.33 49,997,888.89 50,000,000.00 2,111.11 FHLB DISC CORP / CASTLE OAK SECURITIES 1047605 12/10/19 1/6/20 313384RL5 A-1+ P-1 NR 14,000,000.00 1.5100 13,984,145.00 0.00 12,918.89 13,997,063.89 13,997,651.08 587.19 FHLB DISC CORP / CASTLE OAK SECURITIES 1043293 11/13/19 1/8/20 313384RN1 A-1+ P-1 NR 5,000,000.00 1.5490 4,987,952.22 0.00 10,541.81 4,998,494.03 4,998,741.65 247.62 FHLB DISC CORP / DAIWA CAPITAL MARKETS 1047179 12/9/19 1/8/20 313384RN1 A-1+ P-1 NR 2,995,000.00 1.5450 2,991,143.94 0.00 2,956.31 2,994,100.25 2,994,246.25 146.00 FHLB DISC CORP / FTN FINANCIAL 1047859 12/11/19 1/8/20 313384RN1 A-1+ P-1 NR 10,000,000.00 1.5200 9,988,177.78 0.00 8,866.67 9,997,044.45 9,997,483.30 438.85 FHLB DISC CORP / CASTLE OAK SECURITIES 1046868 12/5/19 1/9/20 313384RP6 A-1+ P-1 NR 40,000,000.00 1.5000 39,941,666.67 0.00 45,000.00 39,986,666.67 39,988,255.60 1,588.93 FHLB DISC CORP / BNY Mellon Capital Market 1046869 12/5/19 1/9/20 313384RP6 A-1+ P-1 NR 50,000,000.00 1.5000 49,927,083.33 0.00 56,250.00 49,983,333.33 49,985,319.50 1,986.17 FHLB DISC CORP / TD SECURITIES 1047176 12/9/19 1/9/20 313384RP6 A-1+ P-1 NR 50,000,000.00 1.5200 49,934,555.56 0.00 48,555.55 49,983,111.11 49,985,319.50 2,208.39 FHLB DISC CORP / TD SECURITIES 26 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 2 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Counpt Mone~ Mkt Fnd GOVERNMENT AGENCY DISCOUNT NOTES 1047177 12/9/19 1/9/20 313384RP6 A-1+ P-1 NR 43,000,000.00 1.5200 42,943,717.78 0.00 41,757.78 42,985,475.56 42,987,374.77 1,899.21 FED FARM CR BK / BARCLAYS CAPITAL 1047602 12/10/19 1/9/20 313312RP7 A-1+ P-1 Fl+ 3,000,000.00 1.5400 2,996,150.00 0.00 2,823.33 2,998,973.33 2,999,119.17 145.84 FHLB DISC CORP / TD SECURITIES 1047604 12/10/19 1/9/20 313384RP6 A-1+ P-1 NR 14,000,000.00 1.5250 13,982,208.33 0.00 13,047.22 13,995,255.55 13,995,889.46 633.91 FHLB DISC CORP / BNY Mellon Capital Market 1048068 12/12/19 1/10/20 313384RQ4 A-1+ P-1 NR 43,000,000.00 1.5300 42,947,002.50 0.00 36,550.00 42,983,552.50 42,985,570.92 2,018.42 FHLB DISC CORP / BARCLAYS CAPITAL 1048773 12/18/19 1/10/20 313384RQ4 A-1+ P-1 NR 15,300,000.00 1.5400 15,284,946.50 0.00 9,163.00 15,294,109.50 15,294,865.93 756.43 FHLB DISC CORP / FTN FINANCIAL 1047606 12/10/19 1/13/20 313384RT8 A-1+ P-1 NR 27,000,000.00 1.5250 26,961,112.50 0.00 25,162.50 26,986,275.00 26,987,542.47 1,267.47 FHLB DISC CORP / JP MORGAN CHASE & CO 1049216 12/19/19 1/13/20 313384RT8 A-1+ P-1 NR 25,000,000.00 1.5400 24,973,263.89 0.00 13,902.78 24,987,166.67 24,988,465.25 1,298.58 FHLB DISC CORP / BARCLAYS CAPITAL 1048764 12/18/19 1/14/20 313384RU5 A-1+ P-1 NR 30,000,000.00 1.5600 29,964,900.00 0.00 18,200.00 29,983,100.00 29,984,900.10 1,800.10 FHLB DISC CORP / MORGAN STANLEY 1048351 12/16/19 1/16/20 313384RW1 A-1+ P-1 NR 10,000,000.00 1.5500 9,986,652.78 0.00 6,888.89 9,993,541.67 9,994,127.80 586.13 FED FARM CR BK / BARCLAYS CAPITAL 1048766 12/18/19 1/21/20 313312587 A-1+ P-1 Fl+ 49,265,000.00 1.5500 49,192,881.51 0.00 29,695.85 49,222,577.36 49,225,738.75 3,161.39 FHLB DISC CORP / BNY Mellon Capital Market 1048717 12/17/19 1/27/20 3133845H3 A-1+ P-1 NR 17,000,000.00 1.5700 16,969,603.06 0.00 11,120.83 16,980,723.89 16,982,173.63 1,449.74 FHLB DISC CORP / TD SECURITIES 1048348 12/16/19 2/3/20 3133845Q3 A-1+ P-1 NR 3,000,000.00 1.5700 2,993,589.17 0.00 2,093.33 2,995,682.50 2,995,946.67 264.17 FHLB DISC CORP / MORGAN STANLEY 1048349 12/16/19 2/3/20 3133845Q3 A-1+ P-1 NR 1,200,000.00 1.5700 1,197,435.67 0.00 837.33 1,198,273.00 1,198,378.67 105.67 FHLB DISC CORP / BARCLAYS CAPITAL 1048350 12/16/19 2/3/20 3133845Q3 A-1+ P-1 NR 3,300,000.00 1.5700 3,292,948.08 0.00 2,302.67 3,295,250.75 3,295,541.34 290.59 FHLB DISC CORP / DEUTSCHE 1047858 12/11/19 2/7/20 3133845U4 A-1+ P-1 NR 33,000,000.00 1.5200 32,919,186.67 0.00 29,260.00 32,948,446.67 32,949,840.00 1,393.33 FHLB DISC CORP / JEFFERIES & COMPANY 1047857 12/11/19 2/12/20 313384523 A-1+ P-1 NR 30,600,000.00 1.5550 30,516,729.75 0.00 27,756.75 30,544,486.50 30,547,028.03 2,541.53 FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1047861 12/11/19 2/21/20 313396TJ2 A-1+ P-1 Fl+ 30,000,000.00 1.5350 29,907,900.00 0.00 26,862.50 29,934,762.50 29,936,666.70 1,904.20 27 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 3 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Counpt Mone~ Mkt Fnd GOVERNMENT AGENCY DISCOUNT NOTES FHLB DISC CORP / DEUTSCHE 1048716 12/17/19 3/2/20 313384TU3 A-1+ P-1 NR 7,000,000.00 1.5700 6,976,798.89 0.00 4,579.17 6,981,378.06 6,981,800.00 421.94 FHLB DISC CORP / DEUTSCHE 1048069 12/12/19 3/6/20 313384TY5 A-1+ P-1 NR 7,000,000.00 1.5600 6,974,216.67 0.00 6,066.67 6,980,283.34 6,980,558.69 275.35 FREDDIE DISCOUNT/ MORGAN STANLEY 1048354 12/16/19 3/20/20 313396UN1 A-1+ P-1 Fl+ 10,000,000.00 1.5650 9,958,701.39 0.00 6,955.56 9,965,656.95 9,966,200.00 543.05 FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1049215 12/19/19 4/22/20 313396VX8 A-1+ P-1 Fl+ 11,000,000.00 1.5500 10,940,798.61 0.00 6,156.94 10,946,955.55 10,946,750.87 (204.68) Subtotal for DISCOUNT NOTES: 786,160,000.00 0.0000 1.5227 784,951,472.14 0.00 681,893.57 785,633,365.71 785,671,496.10 38,130.39 Subtotal for GOVERNMENT AGENCY: 786,160,000.00 1.5227 784,951,472.14 0.00 681,893.57 785,633,365.71 785,671,496.10 38,130.39 MEDIUM-TERM NOTES MEDIUM-TERM NOTE APPLE INC. I cm GLOBAL MARKETS 1017098 5/30/19 5/6/20 037833BD1 AA+ Aal NR 10,000,000.00 2.0000 2.4500 9,958,700.00 25,935.42 26,666.67 9,984,635.42 10,002,200.00 17,564.58 Subtotal for MEDIUM-TERM NOTE: 10,000,000.00 2.0000 2.4500 9,958,700.00 25,935.42 26,666.67 9,984,635.42 10,002,200.00 17,564.58 Subtotal for MEDIUM-TERM NOTES: 10,000,000.00 2.0000 2.4500 9,958,700.00 25,935.42 26,666.67 9,984,635.42 10,002,200.00 17,564.58 U. S. TREASURIES TREASURY BILL US TREASURY N/B / MORGAN STANLEY 1044668 11/21/19 1/7/20 912796WM7 AA+ Aaa AAA 50,000,000.00 1.5235 49,900,549.31 0.00 86,754.86 49,900,549.31 49,986,826.50 86,277.19 US TREASURY N/B / JEFFERIES & COMPANY 1050129 12/26/19 1/21/20 912796WPO AA+ Aaa AAA 50,000,000.00 1.5160 49,945,255.56 0.00 12,633.33 49,945,255.56 49,957,817.50 12,561.94 US TREASURY N/B / DEUTSCHE 1048722 12/17/19 1/28/20 912796WQ8 AA+ Aaa AAA 20,000,000.00 1.5250 19,964,416.67 0.00 12,708.33 19,964,416.67 19,977,794.40 13,377.73 US TREASURY N/B / JEFFERIES & COMPANY 1050745 12/31/19 1/28/20 912796WQ8 AA+ Aaa AAA 15,000,000.00 1.4400 14,983,200.00 0.00 600.00 14,983,200.00 14,983,345.80 145.80 US TREASURY N/B / JEFFERIES & COMPANY 1050748 12/31/19 2/25/20 912796WU9 AA+ Aaa AAA 30,000,000.00 1.4925 29,930,350.00 0.00 1,243.75 29,930,350.00 29,930,991.60 641.60 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1050744 12/31/19 2/27/20 912796502 AA+ Aaa AAA 50,000,000.00 1.4655 49,881,945.83 0.00 2,035.42 49,881,945.83 49,881,180.50 (765.33) US TREASURY N/B / MORGAN STANLEY 1047865 12/11/19 3/12/20 912796TK5 AA+ Aaa AAA 15,000,000.00 1.5195 14,941,752.50 0.00 13,295.63 14,941,752.50 14,955,412.50 13,660.00 28 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 4 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Counpt Mone~ Mkt Fnd U. S. TREASURIES TREASURY BILL US TREASURY N/B / BARCLAYS CAPITAL 1047867 12/11/19 3/12/20 912796TK5 AA+ Aaa AAA 50,000,000.00 1.5250 49,805,138.89 0.00 44,479.17 49,805,138.89 49,851,375.00 46,236.11 US TREASURY N/B / BARCLAYS CAPITAL 1047868 12/11/19 3/12/20 912796TK5 AA+ Aaa AAA 50,000,000.00 1.5250 49,805,138.89 0.00 44,479.17 49,805,138.89 49,851,375.00 46,236.11 US TREASURY N/B / BNY Mellon Capital Market 1050495 12/30/19 4/23/20 912796SM2 AA+ Aaa AAA 20,000,000.00 1.5225 19,902,729.17 0.00 1,691.67 19,902,729.17 19,904,050.00 1,320.83 Subtotal for TREASURY BILL: 350,000,000.00 0.0000 1.5082 349,060,476.82 0.00 219,921.33 349,060,476.82 349,280,168.80 219,691.98 TREASURY BOND - ME US TREASURY N/B / DEUTSCHE 1047870 12/11/19 1/31/20 912828H52 AA+ Aaa AAA 20,000,000.00 1.2500 1.5818 19,990,625.00 3,860.29 14,266.30 19,994,485.29 19,996,093.80 1,608.51 Subtotal for TREASURY BOND - ME: 20,000,000.00 1.2500 1.5818 19,990,625.00 3,860.29 14,266.30 19,994,485.29 19,996,093.80 1,608.51 Subtotal for U. S. TREASURIES: 370,000,000.00 0.0676 1.5122 369,051,101.82 3,860.29 234,187.63 369,054,962.11 369,276,262.60 221,300.49 Total County Money Mkt Fnd : 1,336,870,277 .66 0.0337 1.5369 1,334,671,551.62 29,795.71 942,747.87 1,335,383,240.90 1,335,660,236.36 276,995.46 Net Asset Value (NAV): 1.000207 Educational Mone~ Mkt Fnd FUNDS INVESCO STIC GOVERNMENT & AGENCY 1/2/20 AAAm Aaa-mf AAAmmf 5,470,576.14 1.5111 5,470,576.14 0.00 0.00 5,470,576.14 5,470,576.14 0.00 MORGAN STANLEY GOVT 8302-EDUCATIONAL MMF 1/2/20 AAAm Aaa-mf NR 54,551,431.54 1.5239 54,551,431.54 0.00 0.00 54,551,431.54 54,551,431.54 0.00 GOLDMAN SACHS - EDUCATIONAL MMF 1/2/20 AAAm Aaa-mf NR 92,014,416.94 1.6382 92,014,416.94 0.00 0.00 92,014,416.94 92,014,416.94 0.00 Subtotal for FUNDS: 152,036,424.62 1.5926 152,036,424.62 0.00 0.00 152,036,424.62 152,036,424.62 0.00 GOVERNMENT AGENCY DISCOUNT NOTES FHLB DISC CORP / MORGAN STANLEY 1042832 11/7/19 1/3/20 313384RH4 A-1+ P-1 NR 2,000,000.00 1.5400 1,995,123.33 0.00 4,705.56 1,999,828.89 1,999,916.12 87.23 FHLB DISC CORP / DEUTSCHE 1042834 11/7/19 1/3/20 313384RH4 A-1+ P-1 NR 1,450,000.00 1.5400 1,446,464.42 0.00 3,411.52 1,449,875.94 1,449,939.19 63.25 FHLB DISC CORP / BNY Mellon Capital Market 1046159 12/2/19 1/3/20 313384RH4 A-1+ P-1 NR 1,700,000.00 1.5800 1,697,612.44 0.00 2,238.34 1,699,850.78 1,699,928.70 77.92 29 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 5 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Educational Mone~ Mkt Fnd GOVERNMENT AGENCY DISCOUNT NOTES FHLB DISC CORP I cmGROUP GLOBAL MARKETS 1048765 12/18/19 1/3/20 313384RH4 A-1+ P-1 NR 20,000,000.00 1.5300 19,986,400.00 0.00 11,900.00 19,998,300.00 19,999,161.20 861.20 FHLB DISC CORP / BARCLAYS CAPITAL 1049337 12/23/19 1/3/20 313384RH4 A-1+ P-1 NR 5,100,000.00 1.5500 5,097,584.58 0.00 1,976.25 5,099,560.83 5,099,786.11 225.28 FHLB DISC CORP / DAIWA CAPITAL MARKETS 1048719 12/17/19 1/6/20 313384RL5 A-1+ P-1 NR 6,000,000.00 1.4700 5,995,100.00 0.00 3,675.00 5,998,775.00 5,998,993.32 218.32 FHLB DISC CORP / CASTLE OAK SECURITIES 1043295 11/13/19 1/8/20 313384RN1 A-1+ P-1 NR 15,000,000.00 1.5490 14,963,856.67 0.00 31,625.41 14,995,482.08 14,996,224.95 742.87 FHLB DISC CORP / MORGAN STANLEY 1043709 11/15/19 1/10/20 313384RQ4 A-1+ P-1 NR 25,000,000.00 1.5550 24,939,527.78 0.00 50,753.47 24,990,281.25 24,991,611.00 1,329.75 FHLB DISC CORP / FTN FINANCIAL 1049219 12/19/19 1/10/20 313384RQ4 A-1+ P-1 NR 2,965,000.00 1.5300 2,962,227.73 0.00 1,638.16 2,963,865.89 2,964,005.06 139.17 FHLB DISC CORP / JEFFERIES & COMPANY 1048769 12/18/19 1/13/20 313384RT8 A-1+ P-1 NR 10,000,000.00 1.5200 9,989,022.22 0.00 5,911.11 9,994,933.33 9,995,386.10 452.77 FHLB DISC CORP / BARCLAYS CAPITAL 1049218 12/19/19 1/13/20 313384RT8 A-1+ P-1 NR 1,150,000.00 1.5400 1,148,770.14 0.00 639.53 1,149,409.67 1,149,469.40 59.73 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1042831 11/7/19 1/14/20 313384RU5 A-1+ P-1 NR 10,000,000.00 1.5400 9,970,911.11 0.00 23,527.78 9,994,438.89 9,994,966.70 527.81 FNMA DISCOUNT I cmGROUP GLOBAL MARKETS 1043722 11/15/19 1/15/20 313588RV9 A-1+ P-1 Fl+ 37,000,000.00 1.5000 36,905,958.33 0.00 72,458.34 36,978,416.67 36,979,824.64 1,407.97 FHLB DISC CORP / JEFFERIES & COMPANY 1047182 12/9/19 1/15/20 313384RV3 A-1+ P-1 NR 11,000,000.00 1.5000 10,983,041.67 0.00 10,541.66 10,993,583.33 10,994,001.92 418.59 FHLB DISC CORP / TD SECURITIES 1048771 12/18/19 1/15/20 313384RV3 A-1+ P-1 NR 2,900,000.00 1.5500 2,896,503.89 0.00 1,748.05 2,898,251.94 2,898,418.69 166.75 FHLB DISC CORP / BNY Mellon Capital Market 1049217 12/19/19 1/15/20 313384RV3 A-1+ P-1 NR 6,600,000.00 1.5300 6,592,426.50 0.00 3,646.50 6,596,073.00 6,596,401.15 328.15 FNMA DISCOUNT/ GREAT PACIFIC SECURITIES 1046163 12/2/19 1/16/20 313588RW7 A-1+ P-1 Fl+ 10,000,000.00 1.5700 9,980,375.00 0.00 13,083.33 9,993,458.33 9,994,127.80 669.47 FNMA DISCOUNT I cmGROUP GLOBAL MARKETS 1046185 12/2/19 1/17/20 313588RXS A-1+ P-1 Fl+ 10,000,000.00 1.5700 9,979,938.89 0.00 13,083.33 9,993,022.22 9,993,708.30 686.08 FHLB DISC CORP / BNY Mellon Capital Market 1048768 12/18/19 1/17/20 313384RX9 A-1+ P-1 NR 2,650,000.00 1.5500 2,646,577.08 0.00 1,597.36 2,648,174.44 2,648,332.70 158.26 FHLB DISC CORP / DAIWA CAPITAL MARKETS 30 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 6 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Educational Mone~ Mkt Fnd GOVERNMENT AGENCY DISCOUNT NOTES 1047856 12/11/19 1/22/20 3133845C4 A-1+ P-1 NR 20,000,000.00 1.5000 19,965,000.00 0.00 17,500.00 19,982,500.00 19,983,222.20 722.20 FNMA DISCOUNT/ BNY Mellon Capital Market 1047862 12/11/19 1/22/20 3135885CO A-1+ P-1 Fl+ 3,000,000.00 1.5100 2,994,715.00 0.00 2,642.50 2,997,357.50 2,997,483.33 125.83 FHLB DISC CORP I cmGROUP GLOBAL MARKETS 1048772 12/18/19 1/22/20 3133845C4 A-1+ P-1 NR 5,386,000.00 1.5600 5,377,831.23 0.00 3,267.51 5,381,098.74 5,381,481.74 383.00 FHLB DISC CORP / BARCLAYS CAPITAL 1047603 12/10/19 1/23/20 313384502 A-1+ P-1 NR 10,000,000.00 1.5250 9,981,361.11 0.00 9,319.45 9,990,680.56 9,991,191.70 511.14 FHLB DISC CORP / TD SECURmES 1049338 12/23/19 1/24/20 3133845EO A-1+ P-1 NR 30,000,000.00 1.5600 29,958,400.00 0.00 11,700.00 29,970,100.00 29,972,316.60 2,216.60 FHLB DISC CORP / JP MORGAN CHASE & CO 1050167 12/27/19 1/24/20 3133845EO A-1+ P-1 NR 17,765,000.00 1.5600 17,743,445.13 0.00 3,849.08 17,747,294.21 17,748,606.81 1,312.60 FHLB DISC CORP / BNY Mellon Capital Market 1048715 12/17/19 1/27/20 3133845H3 A-1+ P-1 NR 15,000,000.00 1.5700 14,973,179.17 0.00 9,812.50 14,982,991.67 14,984,270.85 1,279.18 FHLB DISC CORP / Mizuho Securities USA Inc 1050743 12/31/19 1/28/20 3133845]9 A-1+ P-1 NR 1,800,000.00 1.5000 1,797,900.00 0.00 75.00 1,797,975.00 1,798,036.99 61.99 FNMA DISCOUNT/ MORGAN STANLEY 1050164 12/27/19 1/31/20 3135885M8 A-1+ P-1 Fl+ 50,000,000.00 1.5300 49,925,625.00 0.00 10,625.00 49,936,250.00 49,939,180.50 2,930.50 FNMA DISCOUNT/ DAIWA CAPITAL MARKETS 1050165 12/27/19 1/31/20 3135885M8 A-1+ P-1 Fl+ 50,000,000.00 1.5300 49,925,625.00 0.00 10,625.00 49,936,250.00 49,939,180.50 2,930.50 FHLB DISC CORP / JEFFERIES & COMPANY 1050166 12/27/19 1/31/20 3133845M2 A-1+ P-1 NR 3,590,000.00 1.5600 3,584,555.17 0.00 777.83 3,585,333.00 3,585,633.16 300.16 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1048289 12/13/19 2/3/20 3133845Q3 A-1+ P-1 NR 10,000,000.00 1.5600 9,977,466.67 0.00 8,233.33 9,985,700.00 9,986,488.90 788.90 FHLB DISC CORP I cmGROUP GLOBAL MARKETS 1049860 12/24/19 2/5/20 313384559 A-1+ P-1 NR 50,000,000.00 1.5700 49,906,236.11 0.00 17,444.44 49,923,680.55 49,928,222.00 4,541.45 FREDDIE DISCOUNT/ Mizuho Securities USA Inc 1048718 12/17/19 3/10/20 313396UC5 A-1+ P-1 Fl+ 20,000,000.00 1.5500 19,927,666.67 0.00 12,916.67 19,940,583.34 19,941,066.60 483.26 FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1048770 12/18/19 3/10/20 313396UC5 A-1+ P-1 Fl+ 20,000,000.00 1.5500 19,928,527.78 0.00 12,055.56 19,940,583.34 19,941,066.60 483.26 FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1048720 12/17/19 3/11/20 313396UD3 A-1+ P-1 Fl+ 10,000,000.00 1.5500 9,963,402.78 0.00 6,458.33 9,969,861.11 9,970,100.00 238.89 FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1048721 12/17/19 3/12/20 313396UE1 A-1+ P-1 Fl+ 11,000,000.00 1.5500 10,959,269.44 0.00 7,104.17 10,966,373.61 10,966,633.37 259.76 31 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 7 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Educational Mone~ Mkt Fnd GOVERNMENT AGENCY DISCOUNT NOTES FHLB DISC CORP / FTN FINANCIAL 1048767 12/18/19 3/18/20 313384UL1 A-1+ P-1 NR 11,000,000.00 1.5800 10,956,067.22 0.00 6,758.89 10,962,826.11 10,963,773.37 947.26 FHLB DISC CORP / FTN FINANCIAL 1049265 12/20/19 3/20/20 313384UN7 A-1+ P-1 NR 10,000,000.00 1.5850 9,959,934.72 0.00 5,283.33 9,965,218.05 9,966,200.00 981.95 Subtotal for DISCOUNT NOTES: 529,056,000.00 0.0000 1.5421 527,983,629.98 0.00 414,609.29 528,398,239.27 528,428,358.27 30,119.00 GOVT AGENCY-FIX-30/360 FREDDIE MAC / Mizuho Securities USA Inc 1013828 5/8/19 1/17/20 3137EAEE5 AA+ Aaa AAA 1,787,000.00 1.5000 2.4577 1,775,314.81 10,934.33 12,211.17 1,786,249.14 1,786,446.03 196.89 FANNIE MAE / FTN FINANCIAL 1015240 5/16/19 1/21/20 3135GOA78 AA+ Aaa AAA 1,000,000.00 1.6250 2.4850 994,220.00 5,308.16 7,222.22 999,528.16 999,980.00 451.84 FANNIE MAE / FTN FINANCIAL 1016718 5/29/19 4/30/20 3136GOW23 AA+ Aaa AAA 1,000,000.00 1.5000 2.3857 991,986.00 5,132.83 2,541.67 997,118.83 999,780.00 2,661.17 FREDDIE MAC / Mizuho Securities USA Inc 1017097 5/30/19 5/1/20 3137EADR7 AA+ Aaa AAA 4,919,000.00 1.3750 2.3389 4,876,091.56 27,352.51 11,272.71 4,903,444.07 4,915,113.99 11,669.92 FED FARM CR BK / Mizuho Securities USA Inc 1016723 5/29/19 5/8/20 3133EHJA2 AA+ Aaa AAA 1,050,000.00 1.5500 2.3432 1,042,282.50 4,826.28 2,396.04 1,047,108.78 1,049,086.50 1,977.72 Subtotal for GOVT AGENCY-FIX-30/360: 9,756,000.00 1.4552 2.3809 9,679,894.87 53,554.11 35,643.81 9,733,448.98 9,750,406.52 16,957.54 Subtotal for GOVERNMENT AGENCY: 538,812,000.00 0.0263 1.5573 537,663,524.85 53,554.11 450,253.10 538,131,688.25 538,178,764.79 47,076.54 MEDIUM-TERM NOTES MEDIUM-TERM NOTE APPLE INC. / JP MORGAN CHASE & CO 1016248 5/23/19 2/7/20 037833AX8 AA+ Aal NR 619,000.00 1.5500 2.5023 614,896.03 3,522.30 3,784.50 618,418.33 618,678.12 259.79 APPLE INC. I cm GLOBAL MARKETS 1017100 5/30/19 5/6/20 037833BD1 AA+ Aal NR 10,000,000.00 2.0000 2.3999 9,958,700.00 25,935.42 26,666.67 9,984,635.42 10,002,200.00 17,564.58 Subtotal for MEDIUM-TERM NOTE: 10,619,000.00 1.9738 2.4059 10,573,596.03 29,457.72 30,451.17 10,603,053.75 10,620,878.12 17,824.37 Subtotal for MEDIUM-TERM NOTES: 10,619,000.00 1.9738 2.4059 10,573,596.03 29,457.72 30,451.17 10,603,053.75 10,620,878.12 17,824.37 U. S. TREASURIES TREASURY BILL US TREASURY N/B / BNY Mellon Capital Market 1043723 11/15/19 1/2/20 912796RT8 AA+ Aaa AAA 50,000,000.00 1.5000 49,900,000.00 0.00 97,916.67 49,900,000.00 49,996,139.00 96,139.00 US TREASURY N/B / JP MORGAN CHASE & CO 1043994 11/18/19 1/2/20 912796RT8 AA+ Aaa AAA 50,000,000.00 1.5125 49,905,468.75 0.00 92,430.56 49,905,468.75 49,996,139.00 90,670.25 32 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 8 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Educational Mone~ Mkt Fnd U. S. TREASURIES TREASURY BILL US TREASURY N/B / JP MORGAN CHASE & CO 1043995 11/18/19 1/2/20 912796RT8 AA+ Aaa AAA 15,000,000.00 1.5125 14,971,640.63 0.00 27,729.16 14,971,640.63 14,998,841.70 27,201.07 US TREASURY N/B / JEFFERIES & COMPANY 1047608 12/10/19 1/7/20 912796WM7 AA+ Aaa AAA 11,000,000.00 1.5075 10,987,102.50 0.00 10,133.75 10,987,102.50 10,997,101.83 9,999.33 US TREASURY N/B / JP MORGAN CHASE & CO 1042587 11/6/19 1/9/20 912796TA7 AA+ Aaa AAA 10,000,000.00 1.4985 9,973,360.00 0.00 23,310.00 9,973,360.00 9,996,518.80 23,158.80 US TREASURY N/B / JEFFERIES & COMPANY 1049861 12/24/19 1/21/20 912796WPO AA+ Aaa AAA 20,000,000.00 1.5160 19,976,417.78 0.00 6,737.78 19,976,417.78 19,983,127.00 6,709.22 US TREASURY N/B / BNY Mellon Capital Market 1047866 12/11/19 1/28/20 912796WQ8 AA+ Aaa AAA 10,000,000.00 1.5050 9,979,933.33 0.00 8,779.17 9,979,933.33 9,988,897.20 8,963.87 US TREASURY N/B / JEFFERIES & COMPANY 1050749 12/31/19 1/28/20 912796WQ8 AA+ Aaa AAA 20,000,000.00 1.4550 19,977,366.67 0.00 808.33 19,977,366.67 19,977,794.40 427.73 US TREASURY N/B / BNY Mellon Capital Market 1048727 12/17/19 2/4/20 912796WR6 AA+ Aaa AAA 10,000,000.00 1.5250 9,979,243.06 0.00 6,354.17 9,979,243.06 9,985,756.90 6,513.84 US TREASURY N/B / BNY Mellon Capital Market 1048728 12/17/19 2/6/20 912796TE9 AA+ Aaa AAA 10,000,000.00 1.5200 9,978,466.67 0.00 6,333.33 9,978,466.67 9,984,917.40 6,450.73 US TREASURY N/B / JEFFERIES & COMPANY 1048726 12/17/19 2/11/20 912796WS4 AA+ Aaa AAA 15,000,000.00 1.5275 14,964,358.33 0.00 9,546.88 14,964,358.33 14,974,340.70 9,982.37 US TREASURY N/B / JP MORGAN CHASE & CO 1048725 12/17/19 2/13/20 912796TF6 AA+ Aaa AAA 15,000,000.00 1.5235 14,963,182.08 0.00 9,521.88 14,963,182.08 14,973,004.20 9,822.12 US TREASURY N/B / BNY Mellon Capital Market 1050170 12/27/19 2/18/20 912796WT2 AA+ Aaa AAA 20,000,000.00 1.5250 19,955,097.22 0.00 4,236.11 19,955,097.22 19,959,813.20 4,715.98 US TREASURY N/B / MORGAN STANLEY 1050496 12/30/19 2/18/20 912796WT2 AA+ Aaa AAA 20,000,000.00 1.4680 19,959,222.22 0.00 1,631.11 19,959,222.22 19,959,813.20 590.98 US TREASURY N/B / MORGAN STANLEY 1048724 12/17/19 2/20/20 912796TG4 AA+ Aaa AAA 10,000,000.00 1.5270 9,972,429.17 0.00 6,362.50 9,972,429.17 9,978,891.70 6,462.53 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1050169 12/27/19 2/27/20 912796502 AA+ Aaa AAA 10,000,000.00 1.5160 9,973,891.11 0.00 2,105.56 9,973,891.11 9,976,236.10 2,344.99 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1050497 12/30/19 3/5/20 912796TH2 AA+ Aaa AAA 11,000,000.00 1.4935 10,969,881.08 0.00 912.69 10,969,881.08 10,970,531.11 650.03 US TREASURY N/B / BNY Mellon Capital Market 1049221 12/19/19 3/19/20 912796TL3 AA+ Aaa AAA 12,000,000.00 1.5300 11,953,590.00 0.00 6,630.00 11,953,590.00 11,961,487.56 7,897.56 Subtotal for TREASURY BILL: 319,000,000.00 0.0000 1.5067 318,340,650.60 0.00 321,479.65 318,340,650.60 318,659,351.00 318,700.40 33 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 9 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Educational Money Mkt Fnd Subtotal for U. S. TREASURIES: 319,000,000.00 1.5067 318,340,650.60 0.00 321,479.65 318,340,650.60 318,659,351.00 318,700.40 Total Educational Money Mkt Fnd : 1,020,467,424.62 0.0345 1.5556 1,018,614,196.10 83,011.83 802,183.92 1,019,111,817.22 1,019,495,418.53 383,601.31 Net Asset Value (NAV): 1.000376 Extended Fund FUNDS LAIF - EXTENDED FUND 1/2/20 NR 63,842,943.31 2.0430 63,842,943.31 0.00 0.00 63,842,943.31 63,842,943.31 0.00 Subtotal for FUNDS: 63,842,943.31 2.0430 63,842,943.31 0.00 0.00 63,842,943.31 63,842,943.31 0.00 GOVERNMENT AGENCY DISCOUNT NOTES FHLB DISC CORP / TD SECURITIES 1044884 11/22/19 1/8/20 313384RN1 A-1+ P-1 NR 14,400,000.00 1.5600 14,370,672.00 0.00 24,960.00 14,395,632.00 14,396,375.95 743.95 FHLB DISC CORP / Mizuho Securities USA Inc 1042145 11/5/19 1/10/20 313384RQ4 A-1+ P-1 NR 38,500,000.00 1.5100 38,393,419.17 0.00 92,047.08 38,485,466.25 38,487,080.94 1,614.69 FHLB DISC CORP / DAIWA CAPITAL MARKETS 1042146 11/5/19 1/10/20 313384RQ4 A-1+ P-1 NR 43,000,000.00 1.5100 42,880,961.67 0.00 102,805.83 42,983,767.50 42,985,570.92 1,803.42 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1039487 10/21/19 1/13/20 313384RT8 A-1+ P-1 NR 50,000,000.00 1.6300 49,809,833.33 0.00 163,000.00 49,972,833.33 49,976,930.50 4,097.17 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1039488 10/21/19 1/13/20 313384RT8 A-1+ P-1 NR 40,000,000.00 1.6300 39,847,866.67 0.00 130,400.00 39,978,266.67 39,981,544.40 3,277.73 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1040481 10/24/19 1/14/20 313384RU5 A-1+ P-1 NR 50,000,000.00 1.6450 49,812,652.78 0.00 157,645.83 49,970,298.61 49,974,833.50 4,534.89 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1040482 10/24/19 1/14/20 313384RU5 A-1+ P-1 NR 50,000,000.00 1.6450 49,812,652.78 0.00 157,645.83 49,970,298.61 49,974,833.50 4,534.89 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1040826 10/29/19 1/14/20 313384RU5 A-1+ P-1 NR 50,000,000.00 1.6300 49,825,680.56 0.00 144,888.89 49,970,569.45 49,974,833.50 4,264.05 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1040829 10/29/19 1/14/20 313384RU5 A-1+ P-1 NR 40,000,000.00 1.6300 39 ,860 ,544 .44 0.00 115,911.11 39,976,455.55 39,979,866.80 3,411.25 FHLB DISC CORP / DAIWA CAPITAL MARKETS 1040942 10/31/19 1/14/20 313384RU5 A-1+ P-1 NR 7,000,000.00 1.5200 6,977,833.33 0.00 18,324.45 6,996,157.78 6,996,476.69 318.91 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1040945 10/31/19 1/14/20 313384RU5 A-1+ P-1 NR 50,000,000.00 1.5900 49,834,375.00 0.00 136,916.67 49,971,291.67 49,974,833.50 3,541.83 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1040946 10/31/19 1/14/20 313384RU5 A-1+ P-1 NR 50,000,000.00 1.5900 49,834,375.00 0.00 136,916.67 49,971,291.67 49,974,833.50 3,541.83 34 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 10 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY DISCOUNT NOTES FHLB DISC CORP / DAIWA CAPITAL MARKETS 1043497 11/14/19 1/14/20 313384RU5 A-1+ P-1 NR 5,000,000.00 1.5550 4,986,825.69 0.00 10,366.67 4,997,192.36 4,997,483.35 290.99 FHLB DISC CORP / Mizuho Securities USA Inc 1043498 11/14/19 1/14/20 313384RU5 A-1+ P-1 NR 31,000,000.00 1.5550 30,918,319.31 0.00 64,273.33 30,982,592.64 30,984,396.77 1,804.13 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1043499 11/14/19 1/14/20 313384RU5 A-1+ P-1 NR 30,000,000.00 1.5350 29,921,970.83 0.00 61,400.00 29,983,370.83 29,984,900.10 1,529.27 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1036521 9/30/19 1/15/20 313384RV3 A-1+ P-1 NR 25,000,000.00 1.8200 24,864,763.89 0.00 117,541.67 24,982,305.56 24,986,368.00 4,062.44 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1036522 9/30/19 1/15/20 313384RV3 A-1+ P-1 NR 50,000,000.00 1.8200 49,729,527.78 0.00 235,083.33 49,964,611.11 49,972,736.00 8,124.89 FHLB DISC CORP / DEUTSCHE 1045301 11/25/19 1/24/20 313384SEO A-1+ P-1 NR 14,100,000.00 1.5700 14,063,105.00 0.00 22,751.92 14,085,856.92 14,086,988.80 1,131.88 FHLB DISC CORP / MORGAN STANLEY 1045302 11/25/19 1/24/20 313384SEO A-1+ P-1 NR 20,290,000.00 1.5700 20,236,907.83 0.00 32,740.17 20,269,648.00 20,271,276.79 1,628.79 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1048355 12/16/19 1/27/20 313384SH3 A-1+ P-1 NR 20,000,000.00 1.5600 19,963,600.00 0.00 13,866.67 19,977,466.67 19,979,027.80 1,561.13 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1048356 12/16/19 1/27/20 313384SH3 A-1+ P-1 NR 50,000,000.00 1.5600 49,909,000.00 0.00 34,666.67 49,943,666.67 49,947,569.50 3,902.83 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1046636 12/4/19 1/29/20 313384SK6 A-1+ P-1 NR 50,000,000.00 1.5840 49,876,800.00 0.00 61,600.00 49,938,400.00 49,943,375.00 4,975.00 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1046637 12/4/19 1/29/20 313384SK6 A-1+ P-1 NR 50,000,000.00 1.5840 49,876,800.00 0.00 61,600.00 49,938,400.00 49,943,375.00 4,975.00 FHLB DISC CORP / BARCLAYS CAPITAL 1040877 10/30/19 2/7/20 313384SU4 A-1+ P-1 NR 50,000,000.00 1.5600 49,783,333.33 0.00 136,500.00 49,919,833.33 49,924,000.00 4,166.67 FHLB DISC CORP / UBS 1045654 11/27/19 2/7/20 313384SU4 A-1+ P-1 NR 22,000,000.00 1.5900 21,930,040.00 0.00 34,008.33 21,964,048.33 21,966,560.00 2,511.67 FHLB DISC CORP / FTN FINANCIAL 1046183 12/2/19 2/7/20 313384SU4 A-1+ P-1 NR 30,000,000.00 1.5950 29,910,945.83 0.00 39,875.00 29,950,820.83 29,954,400.00 3,579.17 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1043294 11/13/19 2/10/20 313384SX8 A-1+ P-1 NR 40,000,000.00 1.5600 39,845,733.33 0.00 84,933.34 39,930,666.67 39,934,133.20 3,466.53 FREDDIE DISCOUNT/ Mizuho Securities USA Inc 1045562 11/26/19 2/10/20 313396SX2 A-1+ P-1 Fl+ 25,000,000.00 1.5400 24,918,722.22 0.00 38,500.00 24,957,222.22 24,958,833.25 1,611.03 FREDDIE DISCOUNT/ JEFFERIES & COMPANY 35 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 11 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY DISCOUNT NOTES 1045563 11/26/19 2/10/20 313396SX2 A-1+ P-1 Fl+ 50,000,000.00 1.5400 49,837,444.44 0.00 77,000.00 49,914,444.44 49,917,666.50 3,222.06 FNMA DISCOUNT/ GREAT PACIFIC SECURITIES 1045653 11/27/19 2/12/20 313588529 A-1+ P-1 Fl+ 23,000,000.00 1.5500 22,923,748.61 0.00 34,659.72 22,958,408.33 22,960,184.47 1,776.14 FNMA DISCOUNT/ DAIWA CAPITAL MARKETS 1046186 12/2/19 2/14/20 313588TB1 A-1+ P-1 Fl+ 15,000,000.00 1.5700 14,951,591.67 0.00 19,625.00 14,971,216.67 14,972,766.60 1,549.93 FHLB DISC CORP / DAIWA CAPITAL MARKETS 1047397 12/9/19 2/14/20 313384TB5 A-1+ P-1 NR 10,000,000.00 1.5400 9,971,338.89 0.00 9,838.89 9,981,177.78 9,981,844.40 666.62 FHLB DISC CORP / Mizuho Securities USA Inc 1046405 12/3/19 2/25/20 313384TN9 A-1+ P-1 NR 25,000,000.00 1.5800 24,907,833.33 0.00 31,819.45 24,939,652.78 24,944,300.00 4,647.22 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1002856 2/28/19 2/28/20 313384TRO A-1+ P-1 NR 40,000,000.00 2.4900 38,990,166.67 0.00 849,366.66 39,839,533.33 39,903,733.20 64,199.87 FHLB DISC CORP / BNY Mellon Capital Market 1046404 12/3/19 2/28/20 313384TRO A-1+ P-1 NR 25,000,000.00 1.5850 24,904,239.58 0.00 31,920.14 24,936,159.72 24,939,833.25 3,673.53 FHLB DISC CORP / MORGAN STANLEY 1046635 12/4/19 3/6/20 313384TY5 A-1+ P-1 NR 50,000,000.00 1.5600 49,798,500.00 0.00 60,666.67 49,859,166.67 49,861,133.50 1,966.83 FHLB DISC CORP / RBC 1046646 12/4/19 3/6/20 313384TY5 A-1+ P-1 NR 40,000,000.00 1.5600 39,838,800.00 0.00 48,533.33 39,887,333.33 39,888,906.80 1,573.47 FHLB DISC CORP / DEUTSCHE 1048080 12/12/19 3/6/20 313384TY5 A-1+ P-1 NR 28,000,000.00 1.5600 27,896,866.67 0.00 24,266.67 27,921,133.34 27,922,234.76 1,101.42 FHLB DISC CORP / DAIWA CAPITAL MARKETS 1048353 12/16/19 3/10/20 313384UC1 A-1+ P-1 NR 34,000,000.00 1.5750 33,873,562.50 0.00 23,800.00 33,897,362.50 33,899,813.22 2,450.72 FHLB DISC CORP / JEFFERIES & COMPANY 1050168 12/27/19 3/10/20 313384UC1 A-1+ P-1 NR 9,600,000.00 1.5600 9,569,216.00 0.00 2,080.00 9,571,296.00 9,571,711.97 415.97 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1046645 12/4/19 3/13/20 313384UF4 A-1+ P-1 NR 40,000,000.00 1.5600 39,826,666.67 0.00 48,533.33 39,875,200.00 39,876,933.20 1,733.20 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1005492 3/18/19 3/18/20 313384UL1 A-1+ P-1 NR 9,000,000.00 2.4650 8,774,452.50 0.00 178,096.25 8,952,548.75 8,970,360.03 17,811.28 FREDDIE DISCOUNT/ CASTLE OAK SECURITIES 1046640 12/4/19 4/7/20 313396VG5 A-1+ P-1 Fl+ 20,000,000.00 1.5400 19,893,055.56 0.00 23,955.55 19,917,011.11 19,916,266.60 (744.51) FREDDIE DISCOUNT/ CASTLE OAK SECURITIES 1046641 12/4/19 4/7/20 313396VG5 A-1+ P-1 Fl+ 50,000,000.00 1.5400 49,732,638.89 0.00 59,888.89 49,792,527.78 49,790,666.50 (1,861.28) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1046642 12/4/19 4/10/20 313396VK6 A-1+ P-1 Fl+ 50,000,000.00 1.5400 49,726,222.22 0.00 59,888.89 49,786,111.11 49,784,125.00 (1,986.11) 36 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 12 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY DISCOUNT NOTES FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1046643 12/4/19 4/10/20 313396VK6 A-1+ P-1 Fl+ 50,000,000.00 1.5400 49,726,222.22 0.00 59,888.89 49,786,111.11 49,784,125.00 (1,986.11) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1046644 12/4/19 4/10/20 313396VK6 A-1+ P-1 Fl+ 10,000,000.00 1.5400 9,945,244.44 0.00 11,977.78 9,957,222.22 9,956,825.00 (397.22) FHLB DISC CORP / Mizuho Securities USA Inc 1047396 12/9/19 4/15/20 313384VQ9 A-1+ P-1 NR 37,000,000.00 1.5200 36,800,035.56 0.00 35,931.11 36,835,966.67 36,832,184.28 (3,782.39) FHLB DISC CORP / GREAT PACIFIC SECURITIES 1048078 12/12/19 4/17/20 313384VS5 A-1+ P-1 NR 35,000,000.00 1.5500 34,808,618.06 0.00 30,138.89 34,838,756.95 34,838,202.70 (554.25) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1046870 12/5/19 4/30/20 313396WF6 A-1+ P-1 Fl+ 9,000,000.00 1.5300 8,943,772.50 0.00 10,327.50 8,954,100.00 8,953,292.52 (807.48) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1046872 12/5/19 4/30/20 313396WF6 A-1+ P-1 Fl+ 50,000,000.00 1.5300 49,687,625.00 0.00 57,375.00 49,745,000.00 49,740,514.00 (4,486.00) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1046875 12/5/19 4/30/20 313396WF6 A-1+ P-1 Fl+ 50,000,000.00 1.5300 49,687,625.00 0.00 57,375.00 49,745,000.00 49,740,514.00 (4,486.00) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1046882 12/5/19 4/30/20 313396WF6 A-1+ P-1 Fl+ 50,000,000.00 1.5300 49,687,625.00 0.00 57,375.00 49,745,000.00 49,740,514.00 (4,486.00) FHLB DISC CORP / TD SECURITIES 1046884 12/5/19 4/30/20 313384WF2 A-1+ P-1 NR 50,000,000.00 1.5300 49,687,625.00 0.00 57,375.00 49,745,000.00 49,740,514.00 (4,486.00) FHLB DISC CORP / Mizuho Securities USA Inc 1048077 12/12/19 5/1/20 313384WGO A-1+ P-1 NR 42,000,000.00 1.5500 41,745,025.00 0.00 36,166.67 41,781,191.67 41,780,200.14 (991.53) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1047400 12/9/19 5/7/20 313396WN9 A-1+ P-1 Fl+ 50,000,000.00 1.5200 49,683,333.33 0.00 48,555.56 49,731,888.89 49,725,250.00 (6,638.89) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1047401 12/9/19 5/7/20 313396WN9 A-1+ P-1 Fl+ 31,000,000.00 1.5200 30,803,666.67 0.00 30,104.44 30,833,771.11 30,829,655.00 (4,116.11) FREDDIE DISCOUNT/ FTN FINANCIAL 1043290 11/13/19 5/8/20 313396WP4 A-1+ P-1 Fl+ 35,000,000.00 1.5300 34,736,712.50 0.00 72,887.50 34,809,600.00 34,806,148.65 (3,451.35) FHLB DISC CORP / TD SECURITIES 1043291 11/13/19 5/8/20 313384WPO A-1+ P-1 NR 16,240,000.00 1.5580 16,115,598.89 0.00 34,438.73 16,150,037.62 16,150,052.97 15.35 FHLB DISC CORP / MORGAN STANLEY 1043292 11/13/19 5/8/20 313384WPO A-1+ P-1 NR 11,000,000.00 1.5580 10,915,738.17 0.00 23,326.72 10,939,064.89 10,939,075.29 10.40 FHLB DISC CORP / Mizuho Securities USA Inc 1046638 12/4/19 5/8/20 313384WPO A-1+ P-1 NR 44,000,000.00 1.5400 43,706,373.33 0.00 52,702.22 43,759,075.55 43,756,301.16 (2,774.39) FHLB DISC CORP / Mizuho Securities USA Inc 37 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 13 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY DISCOUNT NOTES 1046639 12/4/19 5/15/20 313384WW5 A-1+ P-1 NR 36,500,000.00 1.5400 36,245,493.61 0.00 43,718.89 36,289,212.50 36,286,698.02 (2,514.48) FHLB DISC CORP / BNY Mellon Capital Market 1046883 12/5/19 5/29/20 313384XL8 A-1+ P-1 NR 41,850,000.00 1.5600 41,530,824.00 0.00 48,964.50 41,579,788.50 41,579,881.69 93.19 FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1047607 12/10/19 5/29/20 313396XL2 A-1+ P-1 Fl+ 5,000,000.00 1.5300 4,963,662.50 0.00 4,675.00 4,968,337.50 4,967,727.80 (609.70) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1047609 12/10/19 5/29/20 313396XL2 A-1+ P-1 Fl+ 50,000,000.00 1.5300 49,636,625.00 0.00 46,750.00 49,683,375.00 49,677,278.00 (6,097.00) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1047610 12/10/19 5/29/20 313396XL2 A-1+ P-1 Fl+ 50,000,000.00 1.5300 49,636,625.00 0.00 46,750.00 49,683,375.00 49,677,278.00 (6,097.00) FREDDIE DISCOUNT/ GREAT PACIFIC SECURITIES 1047611 12/10/19 5/29/20 313396XL2 A-1+ P-1 Fl+ 50,000,000.00 1.5300 49,636,625.00 0.00 46,750.00 49,683,375.00 49,677,278.00 (6,097.00) FHLB DISC CORP / GREAT PACIFIC SECURITIES 1035363 9/23/19 9/23/20 313384G94 A-1+ P-1 NR 12,000,000.00 1.8200 11,777,960.00 0.00 60,666.67 11,838,626.67 11,863,083.36 24,456.69 Subtotal for DISCOUNT NOTES: 2,329,480,000.00 0.0000 1.5893 2,317,522,261.75 0.00 4,989,329.97 2,322,511,591.72 2,322,658,510.84 146,919.12 GOVT AGENCY-FIX-30/360 FED FARM CR BK / FTN FINANCIAL 955348 5/1/18 1/10/20 3133EH6L2 AA+ Aaa AAA 22,545,000.00 1.9500 2.5165 22,334,429.70 207,458.42 208,823.06 22,541,888.12 22,542,745.50 857.38 FREDDIE MAC / JEFFERIES & COMPANY 883202 2/1/17 1/17/20 3137EAEE5 AA+ Aaa AAA 20,000,000.00 1.5000 1.5496 19,971,360.00 28,210.13 136,666.67 19,999,570.13 19,993,800.00 (5,770.13) FED FARM CR BK / FTN FINANCIAL 954198 4/24/18 1/24/20 3133EJLU1 AA+ Aaa AAA 30,000,000.00 2.4200 2.4404 29,990,100.00 9,538.57 316,616.67 29,999,638.57 30,025,200.00 25,561.43 FANNIE MAE / FTN FINANCIAL 968044 7/19/18 1/30/20 3136GOX63 AA+ Aaa AAA 2,000,000.00 1.3500 2.6115 1,962,380.00 35,640.00 11,325.00 1,998,020.00 2,000,000.00 1,980.00 FED FARM CR BK / MORGAN STANLEY 971882 8/10/18 2/10/20 3133EJWN5 AA+ Aaa AAA 10,000,000.00 2.6000 2.6328 9,995,200.00 4,453.33 101,833.33 9,999,653.33 10,000,000.00 346.67 FED HM LN BK BD / CASTLE OAK SECURITIES 942312 2/9/18 2/11/20 3130ADN32 AA+ Aaa NR 10,000,000.00 2.1250 2.2188 9,981,700.00 17,286.15 82,638.89 9,998,986.15 10,005,500.00 6,513.85 FED HM LN BK BD / BARCLAYS CAPITAL 942313 2/9/18 2/11/20 3130ADN32 AA+ Aaa NR 50,000,000.00 2.1250 2.2188 49,908,500.00 86,430.75 413,194.44 49,994,930.75 50,027,500.00 32,569.25 FED HM LN BK BD / CITIGROUP GLOBAL MARKETS 971123 8/7/18 2/11/20 3130ADN32 AA+ Aaa NR 25,000,000.00 2.1250 2.6415 24,809,896.75 176,125.07 206,597.22 24,986,021.82 25,013,750.00 27,728.18 FED HM LN BK BD / Mizuho Securities USA Inc 971398 8/8/18 2/11/20 3130ADN32 AA+ Aaa NR 12,285,000.00 2.1250 2.6497 12,190,282.65 87,740.01 101,521.88 12,278,022.66 12,291,756.75 13,734.09 38 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 14 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 FED FARM CR BK / BNY Mellon Capital Market 944992 2/28/18 2/14/20 3133EJCN7 AA+ Aaa AAA 25,000,000.00 2.0700 2.3274 24,877,250.00 115,273.73 196,937.50 24,992,523.73 25,020,250.00 27,726.27 FANNIE MAE / JP MORGAN CHASE & CO 887109 2/28/17 2/28/20 3135GOT29 AA+ Aaa AAA 50,000,000.00 1.5000 1.5219 49,968,000.00 30,311.11 256,250.00 49,998,311.11 49,971,000.00 (27,311.11) FANNIE MAE / JP MORGAN CHASE & CO 887110 2/28/17 2/28/20 3135GOT29 AA+ Aaa AAA 50,000,000.00 1.5000 1.5219 49,968,000.00 30,311.11 256,250.00 49,998,311.11 49,971,000.00 (27,311.11) FANNIE MAE / JP MORGAN CHASE & CO 887111 2/28/17 2/28/20 3135GOT29 AA+ Aaa AAA 20,000,000.00 1.5000 1.5219 19,987,200.00 12,124.44 102,500.00 19 ,999 ,324 .44 19,988,400.00 (10,924.44) FED HM LN BK BD / FTN FINANCIAL 946766 3/9/18 3/13/20 3130A12B3 AA+ Aaa NR 25,000,000.00 2.1250 2.3389 24,895,500.00 94,107.73 159,375.00 24,989,607.73 25,029,500.00 39,892.27 FED HM LN BK BD / CASTLE OAK SECURITIES 946952 3/12/18 3/13/20 3130A12B3 AA+ Aaa NR 25,000,000.00 2.1250 2.3417 24,894,600.00 94,874.62 159,375.00 24,989,474.62 25,029,500.00 40,025.38 FED HM LN BK BD / GREAT PACIFIC SECURITIES 947407 3/14/18 3/13/20 3130A12B3 AA+ Aaa NR 13,000,000.00 2.1250 2.3499 12,943,281.00 51,039.21 82,875.00 12,994,320.21 13,015,340.00 21,019.79 FED HM LN BK BD / Mizuho Securities USA Inc 971625 8/9/18 3/13/20 313378]77 AA+ Aaa NR 1,830,000.00 1.8750 2.6656 1,807,542.24 19,640.76 10,293.75 1,827,183.00 1,831,079.70 3,896.70 FED HM LN BK BD / Mizuho Securities USA Inc 979283 9/27/18 3/13/20 3133XXP50 AA+ Aaa NR 2,150,000.00 4.1250 2.7861 2,190,914.50 (35,314.04) 26,606.25 2,155,600.46 2,160,814.50 5,214.04 FED HM LN BK BD / BARCLAYS CAPITAL 989147 11/30/18 3/13/20 313378]77 AA+ Aaa NR 400,000.00 1.8750 2.8445 395,130.01 4,112.67 2,250.00 399,242.68 400,236.00 993.32 FED HM LN BK BD / Mizuho Securities USA Inc 996194 1/16/19 3/13/20 3133XXP50 AA+ Aaa NR 21,100,000.00 4.1250 2.6171 21,460,082.05 (297,909.61) 261,112.50 21,162,172.44 21,206,133.00 43,960.56 FED FARM CR BK / MORGAN STANLEY 979515 9/28/18 3/25/20 3133EJB81 AA+ Aaa AAA 45,810,000.00 2.7300 2.7988 45,764,190.00 38,644.19 333,496.80 45,802,834.19 45,810,000.00 7,165.81 FED FARM CR BK / FTN FINANCIAL 949538 3/27/18 3/27/20 3133EJHL6 AA+ Aaa AAA 10,000,000.00 2.3750 2.4492 9,985,600.00 12,680.00 62,013.89 9,998,280.00 10,019,600.00 21,320.00 FED HM LN BK BD / CASTLE OAK SECURITIES 948128 3/19/18 3/30/20 3130ADUJ9 AA+ Aaa NR 20,000,000.00 2.3750 2.3838 19,996,400.00 3,161.70 120,069.44 19 ,999 ,561.70 20,042,000.00 42,438.30 FED HM LN BK BD / GREAT PACIFIC SECURITIES 948132 3/19/18 3/30/20 3130ADUJ9 AA+ Aaa NR 20,000,000.00 2.3750 2.3838 19,996,400.00 3,161.70 120,069.44 19 ,999 ,561.70 20,042,000.00 42,438.30 FED HM LN BK BD / DEUTSCHE 979512 9/28/18 3/30/20 3130ADUJ9 AA+ Aaa NR 50,000,000.00 2.3750 2.7960 49,691,718.00 257,660.05 300,173.61 49,949,378.05 50,105,000.00 155,621.95 FED FARM CR BK / DEUTSCHE 39 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 15 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 897278 5/1/17 4/13/20 3133EHFL2 AA+ Aaa AAA 25,000,000.00 1.5500 1.5645 24,989,500.00 9,491.53 83,958.33 24,998,991.53 24,989,750.00 (9,241.53) FED FARM CR BK / MORGAN STANLEY 905308 6/21/17 4/13/20 3133EHFL2 AA+ Aaa AAA 5,500,000.00 1.5500 1.5789 5,495,600.00 3,956.52 18,470.83 5,499,556.52 5,497,745.00 (1,811.52) FED FARM CR BK / BNY Mellon Capital Market 952740 4/16/18 4/13/20 3133EJKY4 AA+ Aaa AAA 35,000,000.00 2.3750 2.4029 34,981,100.00 16,211.30 180,104.17 34 ,997 ,311.30 35,078,750.00 81,438.70 FREDDIE MAC / Mizuho Securities USA Inc 1012932 5/2/19 4/20/20 3137EAEF2 AA+ Aaa AAA 6,900,000.00 1.3750 2.4201 6,831,489.90 47,051.48 18,711.46 6,878,541.38 6,894,549.00 16,007.62 FREDDIE MAC / Mizuho Securities USA Inc 1018332 5/1/19 4/20/20 3137EAEF2 AA+ Aaa AAA 24,895,000.00 1.3750 2.4199 24,647,170.28 170,427.31 67,510.40 24,817,597.59 24,875,332.95 57,735.36 FREDDIE MAC I cmGROUP GLOBAL MARKETS 953528 4/19/18 4/23/20 3137EAEM7 AA+ Aaa AAA 20,000,000.00 2.5000 2.5112 19,995,600.00 3,719.34 94,444.44 19,999,319.34 20,054,400.00 55,080.66 FREDDIE MAC / Mizuho Securities USA Inc 979032 9/26/18 4/23/20 3137EAEM7 AA+ Aaa AAA 3,720,000.00 2.5000 2.8142 3,702,069.60 14,388.59 17,566.67 3,716,458.19 3,730,118.40 13,660.21 FED FARM CR BK / JP MORGAN CHASE & CO 898356 5/8/17 5/8/20 3133EHJA2 AA+ Aaa AAA 50,000,000.00 1.5500 1.5688 49,972,550.00 24,222.08 114,097.22 49,996,772.08 49,956,500.00 (40,272.08) FED HM LN BK BD / Mizuho Securities USA Inc 1014962 5/15/19 5/13/20 3130AGF83 AA+ Aaa NR 11,720,000.00 2.3750 2.3493 11,722,930.00 (1,849.66) 37,113.33 11,721,080.34 11,747,827.26 26,746.92 FED HM LN BK BD / BARCLAYS CAPITAL 958574 5/21/18 5/28/20 3130AECJ7 AA+ Aaa NR 20,000,000.00 2.6250 2.6432 19,992,800.00 5,744.15 48,125.00 19,998,544.15 20,084,000.00 85,455.85 FED HM LN BK BD / Mizuho Securities USA Inc 958575 5/21/18 5/28/20 3130AECJ7 AA+ Aaa NR 10,000,000.00 2.6250 2.6432 9,996,400.00 2,872.08 24,062.50 9,999,272.08 10,042,000.00 42,727.92 FED HM LN BK BD / MORGAN STANLEY 960136 5/31/18 5/28/20 3130AECJ7 AA+ Aaa NR 10,000,000.00 2.6250 2.4740 10,028,400.00 (22,577.41) 24,062.50 10,005,822.59 10,042,000.00 36,177.41 FED HM LN BK BD / Mizuho Securities USA Inc 1027667 8/6/19 5/28/20 3130AECJ7 AA+ Aaa NR 25,000,000.00 2.6250 1.8955 25,145,750.00 (72,375.86) 60,156.25 25,073,374.14 25,105,000.00 31,625.86 FED FARM CR BK / BNY Mellon Capital Market 961782 6/11/18 6/11/20 3133EJRL5 AA+ Aaa AAA 30,000,000.00 2.5500 2.5774 29,984,100.00 12,366.67 42,500.00 29,996,466.67 30,134,100.00 137,633.33 FED FARM CR BK / BNY Mellon Capital Market 962195 6/13/18 6/11/20 3133EJRL5 AA+ Aaa AAA 30,000,000.00 2.5500 2.5774 29,984,100.00 12,356.82 42,500.00 29,996,456.82 30,134,100.00 137,643.18 FED HM LN BK BD / DEUTSCHE 902919 6/7/17 6/12/20 313383HU8 AA+ Aaa NR 22,000,000.00 1.7500 1.5181 22,149,710.00 (127,494.97) 20,319.44 22,022,215.03 22,015,400.00 (6,815.03) FED HM LN BK BD / DEUTSCHE 903115 6/8/17 6/12/20 313383HU8 AA+ Aaa NR 4,220,000.00 1.7500 1.5235 4,248,020.80 (23,859.04) 3,897.64 4,224,161.76 4,222,954.00 (1,207.76) 40 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 16 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 FED HM LN BK BD / DAIWA CAPITAL MARKETS 905577 6/22/17 6/12/20 313383HU8 AA+ Aaa NR 20,000,000.00 1.7500 1.5900 20,092,520.00 (78,598.77) 18,472.22 20,013,921.23 20,014,000.00 78.77 FED HM LN BK BD / DEUTSCHE 955811 5/3/18 6/12/20 313370E38 AA+ Aaa NR 20,000,000.00 3.3750 2.5930 20,318,518.00 (250,953.58) 35,625.00 20,067,564.42 20,154,800.00 87,235.58 FED HM LN BK BD / MORGAN STANLEY 960137 5/31/18 6/12/20 313370E38 AA+ Aaa NR 30,000,000.00 3.3750 2.4620 30,537,000.00 (418,727.77) 53,437.50 30,118,272.23 30,232,200.00 113,927.77 FED HM LN BK BD / Mizuho Securities USA Inc 960468 6/1/18 6/12/20 313370E38 AA+ Aaa NR 31,100,000.00 3.3750 2.4976 31,636,786.00 (418,560.90) 55,396.88 31,218,225.10 31,340,714.00 122,488.90 FED HM LN BK BD / Mizuho Securities USA Inc 960469 6/1/18 6/12/20 313370E38 AA+ Aaa NR 18,900,000.00 3.3750 2.4992 19,225,647.00 (253,924.47) 33,665.63 18,971,722.53 19,046,286.00 74,563.47 FED HM LN BK BD / BNY Mellon Capital Market 965298 7/2/18 6/12/20 313370E38 AA+ Aaa NR 13,470,000.00 3.3750 2.6206 13,661,274.00 (147,280.98) 23,993.44 13,513,993.02 13,574,257.80 60,264.78 FED HM LN BK BD / FTN FINANCIAL 965614 7/3/18 6/12/20 313370E38 AA+ Aaa NR 20,000,000.00 3.3750 2.6164 20,285,200.00 (219,510.16) 35,625.00 20,065,689.84 20,154,800.00 89,110.16 FED HM LN BK BD / MORGAN STANLEY 965616 7/3/18 6/12/20 313370E38 AA+ Aaa NR 20,000,000.00 3.3750 2.6164 20,285,200.00 (219,510.16) 35,625.00 20,065,689.84 20,154,800.00 89,110.16 FED HM LN BK BD / Mizuho Securities USA Inc 965617 7/3/18 6/12/20 313370E38 AA+ Aaa NR 11,050,000.00 3.3750 2.6164 11,207,573.00 (121,279.36) 19,682.81 11,086,293.64 11,135,527.00 49,233.36 FED FARM CR BK / DEUTSCHE 905575 6/22/17 6/15/20 3133EHNKS AA+ Aaa AAA 7,860,000.00 1.5400 1.5872 7,849,231.80 9,122.36 5,379.73 7,858,354.16 7,860,000.00 1,645.84 FANNIE MAE / BARCLAYS CAPITAL 912219 8/1/17 7/30/20 3135GOT60 AA+ Aaa AAA 50,000,000.00 1.5000 1.6040 49,848,500.00 122,154.77 314,583.33 49 ,970 ,654. 77 49,948,500.00 (22,154.77) FANNIE MAE / BARCLAYS CAPITAL 912220 8/1/17 7/30/20 3135GOT60 AA+ Aaa AAA 10,000,000.00 1.5000 1.6040 9,969,700.00 24,430.95 62,916.67 9,994,130.95 9,989,700.00 (4,430.95) FED HM LN BK BD / CASTLE OAK SECURITIES 1027666 8/6/19 8/6/20 3130AGUV5 AA+ Aaa NR 25,000,000.00 1.8750 1.9024 24,993,250.00 2,718.75 188,802.08 24,995,968.75 25,021,963.75 25,995.00 FED HM LN BK BD / FTN FINANCIAL 983187 10/23/18 9/11/20 3130A66T9 AA+ Aaa NR 1,500,000.00 1.6250 2.9320 1,464,315.00 22,526.81 7,447.92 1,486,841.81 1,500,150.00 13,308.19 FED HM LN BK BD / DEUTSCHE 983820 10/26/18 9/11/20 3133XD4P3 AA+ Aaa NR 14,025,000.00 4.6250 2.9088 14,460,700.23 (274,329.77) 198,200.52 14,186,370.46 14,326,537.50 140,167.04 FED HM LN BK BD / CASTLE OAK SECURITIES 989142 11/30/18 9/11/20 313370US5 AA+ Aaa NR 13,950,000.00 2.8750 2.8636 13,952,402.19 (1,465.30) 122,546.88 13,950,936.89 14,068,714.50 117,777.61 FED HM LN BK BD / Mizuho Securities USA Inc 41 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 17 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 1009258 4/10/19 9/11/20 313370US5 AA+ Aaa NR 12,000,000.00 2.8750 2.4365 12,072,840.00 (37,203.99) 105,416.67 12,035,636.01 12,102,120.00 66,483.99 FED HM LN BK BD / JEFFERIES & COMPANY 947406 3/14/18 9/14/20 3130ADT93 AA+ Aaa NR 15,000,000.00 2.4000 2.4258 14,990,674.50 6,704.00 107,000.00 14,997,378.50 15,095,100.00 97,721.50 FED FARM CR BK / FTN FINANCIAL 992612 12/21/18 9/21/20 3133EJ3N7 AA+ Aaa AAA 5,000,000.00 2.7700 2.7254 5,003,900.00 (2,290.48) 38,472.22 5,001,609.52 5,000,000.00 (1,609.52) FED HM LN BK BD / BNY Mellon Capital Market 918099 9/8/17 9/28/20 3130ACE26 AA+ Aaa NR 15,000,000.00 1.3750 1.4829 14,951,850.00 36,462.68 53,281.25 14,988,312.68 14,965,275.00 (23,037.68) FED HM LN BK BD / BARCLAYS CAPITAL 918100 9/8/17 9/28/20 3130ACE26 AA+ Aaa NR 30,000,000.00 1.3750 1.4829 29,903,700.00 72,925.36 106,562.50 29,976,625.36 29,930,550.00 (46,075.36) FANNIE MAE / FTN FINANCIAL 984599 10/31/18 9/28/20 3136G1H28 AA+ Aaa AAA 3,000,000.00 1.7000 2.8568 2,935,731.00 39,291.09 13,175.00 2,975,022.09 3,000,870.00 25,847.91 FED HM LN BK BD / CITIGROUP GLOBAL MARKETS 1036528 9/30/19 9/28/20 3130ACE26 AA+ Aaa NR 30,000,000.00 1.3750 1.8132 29,871,000.00 32,790.50 104,270.83 29,903,790.50 29,930,550.00 26,759.50 FREDDIE MAC / TD SECURITIES 921685 9/29/17 9/29/20 3137EAEJ4 AA+ Aaa AAA 15,000,000.00 1.6250 1.6871 14,972,850.00 20,412.78 62,291.67 14,993,262.78 14,989,800.00 (3,462.78) FED HM LN BK BD / BARCLAYS CAPITAL 976131 9/7/18 10/1/20 3130AEWA4 AA+ Aaa NR 35,000,000.00 2.6250 2.7332 34,924,750.00 47,941.53 229,687.50 34,972,691.53 35,227,850.00 255,158.47 FED HM LN BK BD / BNY Mellon Capital Market 976354 9/10/18 10/1/20 3130AEWA4 AA+ Aaa NR 10,000,000.00 2.6250 2.7336 9,978,500.00 13,665.99 65,625.00 9,992,165.99 10,065,100.00 72,934.01 FED HM LN BK BD / FTN FINANCIAL 1037017 10/2/19 10/1/20 3130AH7J6 AA+ Aaa NR 3,755,000.00 1.7500 1.7715 3,754,203.94 197.35 16,245.59 3,754,401.29 3,757,247.52 2,846.23 FED FARM CR BK / BNY Mellon Capital Market 923727 10/13/17 10/13/20 3133EHF57 AA+ Aaa AAA 25,000,000.00 1.6800 1.6965 24,988,000.00 8,866.67 91,000.00 24,996,866.67 25,004,750.00 7,883.33 FED HM LN BK BD / DEUTSCHE 1039491 10/21/19 10/21/20 3130AHDF7 AA+ Aaa NR 12,000,000.00 1.6250 1.6807 11,993,400.00 1,283.33 37,916.67 11,994,683.33 12,001,016.64 6,333.31 FANNIE MAE / JP MORGAN CHASE & CO 984865 11/1/18 10/30/20 3135GOU84 AA+ Aaa AAA 20,000,000.00 2.8750 2.9051 19,988,400.00 6,776.08 97,430.56 19,995,176.08 20,197,800.00 202,623.92 FANNIE MAE / JP MORGAN CHASE & CO 984866 11/1/18 10/30/20 3135GOU84 AA+ Aaa AAA 50,000,000.00 2.8750 2.9051 49,971,000.00 16,940.19 243,576.39 49,987,940.19 50,494,500.00 506,559.81 FANNIE MAE / CASTLE OAK SECURITIES 991459 12/14/18 10/30/20 3135GOU84 AA+ Aaa AAA 11,000,000.00 2.8750 2.7942 11,015,961.00 (8,901.33) 53,586.81 11,007,059.67 11,108,790.00 101,730.33 FREDDIE MAC / GREAT PACIFIC SECURITIES 928973 11/15/17 11/17/20 3137EAEK1 AA+ Aaa AAA 5,000,000.00 1.8750 1.9080 4,995,200.00 3,398.15 11,458.33 4,998,598.15 5,008,700.00 10,101.85 42 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 18 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 FREDDIE MAC I cmGROUP GLOBAL MARKETS 928974 11/15/17 11/17/20 3137EAEK1 AA+ Aaa AAA 25,000,000.00 1.8750 1.9080 24,976,000.00 16,990.76 57,291.67 24,992,990.76 25,043,500.00 50,509.24 FANNIE MAE / BNY Mellon Capital Market 998948 2/4/19 11/20/20 3136G05M9 AA+ Aaa AAA 1,325,000.00 1.7500 2.5935 1,305,509.25 9,866.06 2,640.80 1,315,375.31 1,325,000.00 9,624.69 FED FARM CR BK / JEFFERIES & COMPANY 930409 11/27/17 11/27/20 3133EHW58 AA+ Aaa AAA 12,000,000.00 1.9000 1.9075 11,997,403.20 1,812.95 21,533.33 11,999,216.15 12,041,040.00 41,823.85 FED HM LN BK BD / BANK OF AMERICA 939799 1/25/18 12/11/20 313371U79 AA+ Aaa NR 7,345,000.00 3.1250 2.2413 7,524,805.60 (120,796.04) 12,751.74 7,404,009.56 7,447,315.85 43,306.29 FED HM LN BK BD / Mizuho Securities USA Inc 940936 2/1/18 12/11/20 3130AD4X7 AA+ Aaa NR 5,870,000.00 2.0000 2.3507 5,813,295.80 37,986.31 6,522.22 5,851,282.11 5,882,561.80 31,279.69 FED HM LN BK BD / Mizuho Securities USA Inc 941167 2/2/18 12/11/20 313371U79 AA+ Aaa NR 13,000,000.00 3.1250 2.3452 13,278,460.00 (186,451.84) 22,569.44 13,092,008.16 13,181,090.00 89,081.84 FED HM LN BK BD / BNY Mellon Capital Market 998605 1/31/19 12/11/20 313371U79 AA+ Aaa NR 15,000,000.00 3.1250 2.5284 15,160,350.00 (78,978.36) 26,041.67 15,081,371.64 15,208,950.00 127,578.36 FED FARM CR BK / BNY Mellon Capital Market 991453 12/14/18 12/14/20 3133EJ2R9 AA+ Aaa AAA 16,000,000.00 2.7500 2.8018 15,984,000.00 8,377.78 20,777.78 15,992,377.78 16,182,080.00 189,702.22 FED FARM CR BK / JEFFERIES & COMPANY 991454 12/14/18 12/14/20 3133EJ2R9 AA+ Aaa AAA 10,000,000.00 2.7500 2.8035 9,989,660.00 5,414.14 12,986.11 9,995,074.14 10,113,800.00 118,725.86 FED FARM CR BK / JEFFERIES & COMPANY 960140 5/31/18 12/21/20 3133EJPW3 AA+ Aaa AAA 10,450,000.00 2.7000 2.5705 10,482,598.25 (20,196.74) 7,837.50 10,462,401.51 10,563,069.00 100,667.49 FED FARM CR BK / DEUTSCHE 968047 7/19/18 1/19/21 3133EJUL1 AA+ Aaa AAA 5,000,000.00 2.7000 2.7203 4,997,562.95 1,413.49 60,750.00 4,998,976.44 5,000,000.00 1,023.56 FED FARM CR BK / FTN FINANCIAL 968048 7/19/18 1/19/21 3133EJUL1 AA+ Aaa AAA 5,000,000.00 2.7000 2.7203 4,997,562.95 1,413.49 60,750.00 4,998,976.44 5,000,000.00 1,023.56 FED FARM CR BK / DEUTSCHE 968049 7/19/18 1/19/21 3133EJUL1 AA+ Aaa AAA 14,000,000.00 2.7000 2.7369 13,987,615.18 7,183.20 170,100.00 13,994,798.38 14,000,000.00 5,201.62 FED HM LN BK BD / FTN FINANCIAL 982998 10/22/18 1/22/21 3130AFB63 AA+ Aaa NR 12,000,000.00 2.9500 2.9700 11,995,128.00 2,580.36 156,350.00 11,997,708.36 12,000,000.00 2,291.64 FED FARM CR BK / BNY Mellon Capital Market 985276 11/5/18 1/26/21 3133EJM30 AA+ Aaa AAA 29,400,000.00 3.0000 2.9534 29,429,929.20 (15,543.75) 379,750.00 29,414,385.45 29,838,060.00 423,674.55 FED FARM CR BK / CASnE OAK SECURITIES 960138 5/31/18 1/29/21 3133EJAW9 AA+ Aaa AAA 20,000,000.00 2.2500 2.5891 19,824,920.00 104,170.77 190,000.00 19,929,090.77 20,000,000.00 70,909.23 FED FARM CR BK / BNY Mellon Capital Market 43 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 19 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 942341 2/12/18 2/12/21 3133EJCE7 AA+ Aaa AAA 35,000,000.00 2.3500 2.3858 34,963,950.00 22,664.77 317,576.39 34,986,614.77 35,269,150.00 282,535.23 FED FARM CR BK / BNY Mellon Capital Market 955563 5/2/18 2/12/21 3133EJCE7 AA+ Aaa AAA 7,000,000.00 2.3500 2.7255 6,930,000.00 41,930.00 63,515.28 6,971,930.00 7,053,830.00 81,900.00 FED FARM CR BK / MORGAN STANLEY 955812 5/3/18 2/12/21 3133EJCE7 AA+ Aaa AAA 16,190,000.00 2.3500 2.7319 16,025,509.60 98,463.72 146,901.76 16,123,973.32 16,314,501.10 190,527.78 FED FARM CR BK / BNY Mellon Capital Market 955813 5/3/18 2/12/21 3133EJCE7 AA+ Aaa AAA 50,000,000.00 2.3500 2.7278 49,497,500.00 300,795.80 453,680.56 49,798,295.80 50,384,500.00 586,204.20 FED FARM CR BK / BNY Mellon Capital Market 977150 9/14/18 2/23/21 3133EJXV6 AA+ Aaa AAA 28,838,000.00 2.7000 2.8687 28,723,801.52 60,672.00 276,844.80 28,784,473.52 28,838,000.00 53,526.48 FED HM LN BK BD / DAIWA CAPITAL MARKETS 945503 3/2/18 3/12/21 3130AOXD7 AA+ Aaa NR 9,600,000.00 2.3750 2.5004 9,565,056.00 21,126.69 69,033.33 9,586,182.69 9,691,776.00 105,593.31 FED FARM CR BK / BNY Mellon Capital Market 990978 12/12/18 3/12/21 3133EJ257 AA+ Aaa AAA 6,825,000.00 2.7700 2.7970 6,821,178.00 1,788.32 57,240.90 6,822,966.32 6,825,000.00 2,033.68 FED HM LN BK BD / MORGAN STANLEY 999841 2/8/19 3/12/21 3130AFV61 AA+ Aaa NR 2,000,000.00 2.5000 2.4971 2,000,080.00 (34.27) 15,138.89 2,000,045.73 2,022,260.00 22,214.27 FED HM LN BK BD / DAIWA CAPITAL MARKETS 1007758 4/1/19 3/12/21 3130AFV61 AA+ Aaa NR 1,900,000.00 2.5000 2.3867 1,904,009.00 (1,544.12) 14,381.94 1,902,464.88 1,921,147.00 18,682.12 FED HM LN BK BD / BNY Mellon Capital Market 1007759 4/1/19 3/12/21 3130AFV61 AA+ Aaa NR 20,000,000.00 2.5000 2.3056 20,073,000.00 (28,116.98) 151,388.89 20,044,883.02 20,222,600.00 177,716.98 FED HM LN BK BD / Mizuho Securities USA Inc 1007762 4/1/19 3/12/21 3130AOXD7 AA+ Aaa NR 14,000,000.00 2.3750 2.3842 13,997,480.00 970.61 100,673.61 13,998,450.61 14,133,840.00 135,389.39 FED HM LN BK BD / MORGAN STANLEY 1007763 4/1/19 3/12/21 3130AOXD7 AA+ Aaa NR 16,035,000.00 2.3750 2.3842 16,032,113.70 1,111.70 115,307.24 16,033,225.40 16,188,294.60 155,069.20 FED HM LN BK BD / DEUTSCHE 1012442 4/30/19 3/12/21 3130AOXD7 AA+ Aaa NR 25,000,000.00 2.3750 2.3603 25,006,325.00 (2,268.34) 179,774.31 25,004,056.66 25,239,000.00 234,943.34 FED FARM CR BK / FTN FINANCIAL 1008596 4/5/19 4/5/21 3133EKFP6 AA+ Aaa AAA 27,000,000.00 2.2300 2.3930 26,914,545.00 31,570.88 143,835.00 26,946,115.88 27,129,600.00 183,484.12 FED FARM CR BK / FTN FINANCIAL 968917 7/25/18 4/9/21 3133EJUA5 AA+ Aaa AAA 10,980,000.00 2.7000 2.8142 10,947,718.80 17,101.74 67,527.00 10,964,820.54 10,980,000.00 15,179.46 FED FARM CR BK / DAIWA CAPITAL MARKETS 969725 7/30/18 4/9/21 3133EJUA5 AA+ Aaa AAA 25,000,000.00 2.7000 2.7852 24,945,500.00 28,740.45 153,750.00 24,974,240.45 25,000,000.00 25,759.55 FED FARM CR BK / RBC 1038663 10/15/19 4/15/21 3133EKY83 AA+ Aaa AAA 8,125,000.00 1.5000 1.5068 8,124,187.50 114.35 25,729.17 8,124,301.85 8,125,000.00 698.15 44 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 20 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 FED FARM CR BK / DEUTSCHE 953988 4/23/18 4/23/21 3133EJLZO AA+ Aaa AAA 5,000,000.00 2.6250 2.6767 4,992,600.00 4,165.93 24,791.67 4,996,765.93 5,049,100.00 52,334.07 FANNIE MAE / FTN FINANCIAL 990979 12/12/18 4/30/21 3136GOU58 AA+ Aaa AAA 2,000,000.00 1.7500 2.8418 1,950,000.00 22,086.25 5,930.56 1,972,086.25 2,003,820.00 31,733.75 FREDDIE MAC / Mizuho Securities USA Inc 1010169 4/16/19 5/17/21 3134G9HB6 AA+ Aaa AAA 15,550,000.00 1.5700 2.4001 15,288,760.00 88,703.33 29,838.72 15,377,463.33 15,550,000.00 172,536.67 FREDDIE MAC / Mizuho Securities USA Inc 1010170 4/16/19 5/17/21 3134G9HB6 AA+ Aaa AAA 10,000,000.00 1.5700 2.3962 9,832,800.00 56,772.30 19,188.89 9,889,572.30 10,000,000.00 110,427.70 FED FARM CR BK / DEUTSCHE 988366 11/27/18 5/26/21 3133EJW70 A-1+ P-1 Fl+ 8,500,000.00 2.8750 2.8910 8,496,736.00 1,430.50 23,758.68 8,498,166.50 8,645,350.00 147,183.50 FED FARM CR BK / DEUTSCHE 989143 11/30/18 5/26/21 3133EJW70 AA+ Aaa AAA 10,000,000.00 2.8750 2.9425 9,983,900.00 7,025.78 27,951.39 9,990,925.78 10,171,000.00 180,074.22 FED FARM CR BK / Mizuho Securities USA Inc 1012446 4/30/19 5/26/21 3133EJW70 AA+ Aaa AAA 12,050,000.00 2.8750 2.3657 12,173,271.50 (39,823.63) 33,681.42 12,133,447.87 12,256,055.00 122,607.13 FED HM LN BK BD / FTN FINANCIAL 965615 7/3/18 6/11/21 313373ZY1 AA+ Aaa NR 15,000,000.00 3.6250 2.7261 15,378,150.00 (192,291.78) 30,208.33 15,185,858.22 15,422,250.00 236,391.78 FED HM LN BK BD / JP MORGAN CHASE & CO 965858 7/6/18 6/11/21 313373ZY1 AA+ Aaa NR 16,110,000.00 3.6250 2.7359 16,510,494.60 (203,094.42) 32,443.75 16,307,400.18 16,563,496.50 256,096.32 FED HM LN BK BD / MORGAN STANLEY 965859 7/6/18 6/11/21 313373ZY1 AA+ Aaa NR 20,000,000.00 3.6250 2.7359 20,497,200.00 (252,134.60) 40,277.78 20,245,065.40 20,563,000.00 317,934.60 FED HM LN BK BD / BNY Mellon Capital Market 969937 7/31/18 6/11/21 313373ZY1 AA+ Aaa NR 10,000,000.00 3.6250 2.8490 10,210,700.00 (104,327.18) 20,138.89 10,106,372.82 10,281,500.00 175,127.18 FED HM LN BK BD / DEUTSCHE 969938 7/31/18 6/11/21 313373ZY1 AA+ Aaa NR 20,000,000.00 3.6250 2.8431 20,424,670.20 (210,273.59) 40,277.78 20,214,396.61 20,563,000.00 348,603.39 FED HM LN BK BD / DEUTSCHE 983819 10/26/18 6/11/21 3133XFKF2 AA+ Aaa NR 10,000,000.00 5.6250 2.9605 10,667,803.00 (300,334.68) 31,250.00 10,367,468.32 10,565,500.00 198,031.68 FANNIE MAE / CASTLE OAK SECURITIES 965025 6/29/18 6/22/21 3135GOU35 AA+ Aaa AAA 50,000,000.00 2.7500 2.7581 49,988,500.00 5,808.95 34,375.00 49,994,308.95 50,838,250.00 843,941.05 FED FARM CR BK / MORGAN STANLEY 965820 7/5/18 7/2/21 3133EJTF6 AA+ Aaa AAA 28,044,000.00 2.7000 2.7357 28,015,395.12 14,236.04 376,490.70 28,029,631.16 28,044,000.00 14,368.84 FED FARM CR BK/ GREAT PACIFIC SECURITIES 968919 7/25/18 7/16/21 3133EJUHO AA+ Aaa AAA 25,000,000.00 2.7000 2.7592 24,957,877.25 20,294.43 309,375.00 24,978,171.68 25,384,250.00 406,078.32 FED FARM CR BK / BNY Mellon Capital Market 45 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 21 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 970506 8/2/18 8/2/21 3133EJW8 AA+ Aaa AAA 20,000,000.00 2.8000 2.8328 19,981,280.00 8,822.67 231,777.78 19,990,102.67 20,383,400.00 393,297.33 FED FARM CR BK / BNY Mellon Capital Market 1029423 8/16/19 8/16/21 3133EKZV1 AA+ Aaa AAA 20,000,000.00 1.5500 1.6355 19,966,471.40 6,286.61 116,250.00 19,972,758.01 20,000,000.00 27,241.99 FED FARM CR BK / BNY Mellon Capital Market 1029424 8/16/19 8/16/21 3133EKZV1 AA+ Aaa AAA 50,000,000.00 1.5500 1.5882 49,962,500.00 7,031.25 290,625.00 49,969,531.25 50,000,000.00 30,468.75 FED HM LN BK BD / MORGAN STANLEY 984600 10/31/18 9/10/21 313383ZU8 AA+ Aaa NR 25,000,000.00 3.0000 2.9668 25,020,000.00 (8,163.27) 231,250.00 25,011,836.73 25,525,500.00 513,663.27 FED HM LN BK BD / Mizuho Securities USA Inc 1013372 5/6/19 9/10/21 313378JP7 AA+ Aaa NR 33,140,000.00 2.3750 2.2860 33,206,445.70 (18,500.88) 242,681.46 33,187,944.82 33,502,883.00 314,938.18 FED HM LN BK BD / MORGAN STANLEY 1031341 8/28/19 9/10/21 313378JP7 AA+ Aaa NR 14,620,000.00 2.3750 1.5886 14,849,095.40 (38,495.54) 107,061.04 14,810,599.86 14,780,089.00 (30,510.86) FED FARM CR BK / RBC 1034408 9/17/19 9/17/21 3133EKP67 AA+ Aaa AAA 28,750,000.00 1.6250 1.6826 28,717,592.14 4,681.14 134,965.28 28,722,273.28 28,889,437.50 167,164.22 FED FARM CR BK / BNY Mellon Capital Market 1034409 9/17/19 9/17/21 3133EKP67 AA+ Aaa AAA 28,750,000.00 1.6250 1.6826 28,717,592.14 4,681.14 134,965.28 28,722,273.28 28,889,437.50 167,164.22 FANNIE MAE / Mizuho Securities USA Inc 1010171 4/16/19 9/28/21 3136G1HQ5 AA+ Aaa AAA 2,000,000.00 2.0000 2.3801 1,982,000.00 5,204.08 10,333.33 1,987,204.08 2,014,720.00 27,515.92 FED HM LN BK BD / BARCLAYS CAPITAL 981584 10/12/18 10/12/21 3130AF5B9 AA+ Aaa NR 40,000,000.00 3.0000 3.0228 39,974,000.00 10,568.52 263,333.33 39,984,568.52 40,975,000.00 990,431.48 FED HM LN BK BD / CASTLE OAK SECURITIES 981585 10/12/18 10/12/21 3130AF5B9 AA+ Aaa NR 7,500,000.00 3.0000 3.0228 7,495,125.00 1,981.60 49,375.00 7,497,106.60 7,682,812.50 185,705.90 FED HM LN BK BD / JP MORGAN CHASE & CO 981586 10/12/18 10/12/21 3130AF5B9 AA+ Aaa NR 7,500,000.00 3.0000 3.0228 7,495,125.00 1,981.60 49,375.00 7,497,106.60 7,682,812.50 185,705.90 FED FARM CR BK / FTN FINANCIAL 982777 10/19/18 10/19/21 3133EJK24 AA+ Aaa AAA 10,000,000.00 3.0000 3.0290 9,991,740.00 3,304.00 60,000.00 9,995,044.00 10,228,700.00 233,656.00 FED FARM CR BK / FTN FINANCIAL 982778 10/19/18 10/19/21 3133EJK24 AA+ Aaa AAA 20,000,000.00 3.0000 3.0190 19,989,160.00 4,336.00 120,000.00 19,993,496.00 20,457,400.00 463,904.00 FED FARM CR BK / DEUTSCHE 982999 10/22/18 10/19/21 3133EJK24 AA+ Aaa AAA 2,050,000.00 3.0000 3.0542 2,046,840.75 1,258.42 12,300.00 2,048,099.17 2,096,883.50 48,784.33 FED FARM CR BK / CASnE OAK SECURITIES 984265 10/30/18 10/19/21 3133EJK24 AA+ Aaa AAA 40,000,000.00 3.0000 2.9444 40,062,560.00 (24,637.75) 240,000.00 40,037,922.25 40,914,800.00 876,877.75 FED FARM CR BK / FTN FINANCIAL 986886 11/15/18 11/15/21 3133EJT74 AA+ Aaa AAA 25,000,000.00 3.0500 3.0922 24,970,000.00 11,277.78 97,430.56 24,981,277.78 25,645,000.00 663,722.22 46 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 22 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 FED HM LN BK BD / GREAT PACIFIC SECURITIES 1043058 11/8/19 11/19/21 3130AHJYO AA+ Aaa NR 30,000,000.00 1.6250 1.7109 29,948,700.00 3,719.43 71,770.83 29,952,419.43 30,020,250.00 67,830.57 FED HM LN BK BD / CITIGROUP GLOBAL MARKETS 1043059 11/8/19 11/19/21 3130AHJYO AA+ Aaa NR 24,000,000.00 1.6250 1.7109 23,958,960.00 2,975.54 57,416.67 23,961,935.54 24,016,200.00 54,264.46 FED HM LN BK BD / Mizuho Securities USA Inc 988367 11/27/18 12/10/21 3130AOEN6 AA+ Aaa NR 16,250,000.00 2.8750 2.9476 16,215,875.00 12,301.24 27,252.60 16,228,176.24 16,644,225.00 416,048.76 FED HM LN BK BD / CASTLE OAK SECURITIES 989144 11/30/18 12/10/21 3130AOEN6 AA+ Aaa NR 10,000,000.00 2.8750 2.9737 9,971,560.00 10,201.87 16,770.83 9,981,761.87 10,242,600.00 260,838.13 FED HM LN BK BD / JP MORGAN CHASE & CO 989145 11/30/18 12/10/21 3130AOEN6 AA+ Aaa NR 13,965,000.00 2.8750 2.9788 13,923,244.65 14,978.30 23,420.47 13,938,222.95 14,303,790.90 365,567.95 FED HM LN BK BD / MORGAN STANLEY 989146 11/30/18 12/10/21 3130AOEN6 AA+ Aaa NR 20,000,000.00 2.8750 2.9764 19,941,600.00 20,948.99 33,541.67 19,962,548.99 20,485,200.00 522,651.01 FED HM LN BK BD / DAIWA CAPITAL MARKETS 996550 1/17/19 12/10/21 3130AOEN6 AA+ Aaa NR 31,000,000.00 2.8750 2.6126 31,225,060.00 (74,228.80) 51,989.58 31,150,831.20 31,752,060.00 601,228.80 FED HM LN BK BD / BNY Mellon Capital Market 998122 1/29/19 12/10/21 3130AFFN2 AA+ Aaa NR 8,145,000.00 3.0000 2.6660 8,219,200.95 (23,894.00) 14,253.75 8,195,306.95 8,145,000.00 (50,306.95) FED HM LN BK BD / BNY Mellon Capital Market 999836 2/8/19 12/10/21 313376C94 AA+ Aaa NR 5,090,000.00 2.6250 2.4893 5,108,731.20 (5,919.94) 7,794.06 5,102,811.26 5,185,692.00 82,880.74 FED HM LN BK BD / Mizuho Securities USA Inc 1031339 8/28/19 12/10/21 3133XHRJ3 AA+ Aaa NR 9,950,000.00 5.0000 1.5684 10,712,667.50 (114,121.78) 29,020.83 10,598,545.72 10,589,188.00 (9,357.72) FED FARM CR BK / FTN FINANCIAL 991703 12/17/18 12/17/21 3133EJ3B3 AA+ Aaa AAA 25,000,000.00 2.8000 2.8470 24,966,425.00 11,626.90 27,222.22 24,978,051.90 25,565,750.00 587,698.10 FED FARM CR BK / FTN FINANCIAL 996191 1/16/19 12/17/21 3133EJ3B3 AA+ Aaa AAA 16,000,000.00 2.8000 2.6510 16,066,352.00 (21,780.63) 17,422.22 16,044,571.37 16,362,080.00 317,508.63 FED HM LN BK BD / CASTLE OAK SECURITIES 1049268 12/20/19 12/20/21 3130AHSRS A-1+ P-1 NR 15,000,000.00 1.6250 1.6801 14,983,800.00 247.50 7,447.92 14,984,047.50 15,006,600.00 22,552.50 FED HM LN BK BD / BARCLAYS CAPITAL 1049269 12/20/19 12/20/21 3130AHSRS A-1+ P-1 NR 6,000,000.00 1.6250 1.6801 5,993,520.00 99.00 2,979.17 5,993,619.00 6,002,640.00 9,021.00 FED FARM CR BK / FTN FINANCIAL 1040769 10/28/19 12/28/21 3133EK3V6 AA+ Aaa AAA 20,000,000.00 1.6000 1.6220 19,990,800.00 743.08 2,666.67 19,991,543.08 19,960,600.00 (30,943.08) FANNIE MAE / CASTLE OAK SECURITIES 996192 1/16/19 1/11/22 3135GOU92 AA+ Aaa AAA 22,000,000.00 2.6250 2.6502 21,984,160.00 5,083.53 272,708.33 21,989,243.53 22,448,360.00 459,116.47 FED FARM CR BK / CASnE OAK SECURITIES 47 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 23 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 997717 1/25/19 1/18/22 3133EJ5PO AA+ Aaa AAA 14,000,000.00 2.6000 2.6714 13,971,482.00 8,930.15 164,811.11 13,980,412.15 14,258,300.00 277,887.85 FED FARM CR BK / BNY Mellon Capital Market 999152 2/5/19 1/18/22 3133EJ5PO AA+ Aaa AAA 10,600,000.00 2.6000 2.5944 10,601,590.00 (487.62) 124,785.56 10,601,102.38 10,795,570.00 194,467.62 FED FARM CR BK / CASnE OAK SECURITIES 984598 10/31/18 1/24/22 3133EJJ75 AA+ Aaa AAA 10,000,000.00 3.0000 2.9752 10,007,000.00 (2,527.94) 130,833.33 10,004,472.06 10,000,000.00 (4,472.06) FED FARM CR BK / CASnE OAK SECURITIES 984604 10/31/18 1/24/22 3133EJJ75 AA+ Aaa AAA 50,000,000.00 3.0000 2.9752 50,035,000.00 (12,639.72) 654,166.67 50,022,360.28 50,000,000.00 (22,360.28) FED FARM CR BK / CASnE OAK SECURITIES 985277 11/5/18 1/24/22 3133EJJ75 AA+ Aaa AAA 10,000,000.00 3.0000 3.0224 9,993,400.00 2,368.94 130,833.33 9,995,768.94 10,000,000.00 4,231.06 FED FARM CR BK / BNY Mellon Capital Market 1003100 3/1/19 3/1/22 3133EKBV7 AA+ Aaa AAA 15,000,000.00 2.5500 2.5764 14,988,649.50 3,152.92 127,500.00 14,991,802.42 15,000,000.00 8,197.58 FED HM LN BK BD / Mizuho Securities USA Inc 999837 2/8/19 3/11/22 313378WG2 AA+ Aaa NR 4,250,000.00 2.5000 2.4990 4,250,080.75 (23.43) 32,465.28 4,250,057.32 4,331,005.00 80,947.68 FED HM LN BK BD / MORGAN STANLEY 1000283 2/11/19 3/11/22 313378WG2 AA+ Aaa NR 25,000,000.00 2.5000 2.5095 24,992,750.00 2,090.09 190,972.22 24,994,840.09 25,476,500.00 481,659.91 FED HM LN BK BD / BNY Mellon Capital Market 1000489 2/13/19 3/11/22 313378WG2 AA+ Aaa NR 10,000,000.00 2.5000 2.5081 9,997,500.00 717.51 76,388.89 9,998,217.51 10,190,600.00 192,382.49 FED HM LN BK BD / Mizuho Securities USA Inc 1007492 3/29/19 3/11/22 313378WG2 AA+ Aaa NR 10,000,000.00 2.5000 2.2428 10,072,960.00 (18,686.55) 76,388.89 10,054,273.45 10,190,600.00 136,326.55 FED HM LN BK BD / MORGAN STANLEY 1007768 4/1/19 3/11/22 313378WG2 AA+ Aaa NR 28,000,000.00 2.5000 2.3559 28,113,960.00 (29,027.55) 213,888.89 28,084,932.45 28,533,680.00 448,747.55 FED HM LN BK BD / Mizuho Securities USA Inc 1008112 4/3/19 3/11/22 313378WG2 AA+ Aaa NR 15,000,000.00 2.5000 2.3556 15,061,050.00 (15,464.46) 114,583.33 15,045,585.54 15,285,900.00 240,314.46 FED HM LN BK BD / Mizuho Securities USA Inc 1009259 4/10/19 3/11/22 313378WG2 AA+ Aaa NR 10,035,000.00 2.5000 2.3539 10,076,043.15 (10,192.45) 76,656.25 10,065,850.70 10,226,267.10 160,416.40 FED HM LN BK BD / CITIGROUP GLOBAL MARKETS 1009950 4/15/19 3/11/22 313378WG2 AA+ Aaa NR 25,000,000.00 2.5000 2.3561 25,100,202.25 (24,523.69) 190,972.22 25,075,678.56 25,476,500.00 400,821.44 FANNIE MAE / GREAT PACIFIC SECURITIES 1009770 4/12/19 4/12/22 3135GOV59 AA+ Aaa AAA 25,000,000.00 2.2500 2.3639 24,918,000.00 19,664.81 123,437.50 24,937,664.81 25,353,250.00 415,585.19 FANNIE MAE / BARCLAYS CAPITAL 1009774 4/12/19 4/12/22 3135GOV59 AA+ Aaa AAA 50,000,000.00 2.2500 2.3639 49,836,000.00 39,329.63 246,875.00 49,875,329.63 50,706,500.00 831,170.37 FANNIE MAE / BARCLAYS CAPITAL 1009775 4/12/19 4/12/22 3135GOV59 AA+ Aaa AAA 25,000,000.00 2.2500 2.3639 24,918,000.00 19,664.81 123,437.50 24,937,664.81 25,353,250.00 415,585.19 48 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 24 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 FANNIE MAE/ TD SECURITIES 1010168 4/16/19 4/12/22 3135GOV59 AA+ Aaa AAA 13,000,000.00 2.2500 2.4307 12,932,660.00 15,958.83 64,187.50 12,948,618.83 13,183,690.00 235,071.17 FANNIE MAE/ TD SECURITIES 1010410 4/17/19 4/12/22 3135GOV59 AA+ Aaa AAA 27,000,000.00 2.2500 2.4305 26,860,410.00 32,982.20 133,312.50 26,893,392.20 27,381,510.00 488,117.80 FED FARM CR BK / BNY Mellon Capital Market 1007494 3/29/19 4/25/22 3133EJMB2 AA+ Aaa AAA 4,422,000.00 2.7500 2.2326 4,489,523.94 (16,606.25) 22,294.25 4,472,917.69 4,422,000.00 (50,917.69) FED HM LN BK BD / Mizuho Securities USA Inc 969137 7/26/18 6/10/22 3130AEBM1 AA+ Aaa NR 5,500,000.00 2.7500 2.8846 5,472,830.00 10,037.70 8,822.92 5,482,867.70 5,641,075.00 158,207.30 FED HM LN BK BD / Mizuho Securities USA Inc 970717 8/3/18 6/10/22 3133XKWY7 AA+ Aaa NR 5,950,000.00 5.2500 2.8730 6,462,116.50 (187,566.82) 18,221.88 6,274,549.68 6,467,590.50 193,040.82 FED HM LN BK BD / Mizuho Securities USA Inc 1009257 4/10/19 6/10/22 3130A5P45 AA+ Aaa NR 18,270,000.00 2.3750 2.3518 18,282,606.30 (2,886.18) 25,311.56 18,279,720.12 18,593,561.70 313,841.58 FED FARM CR BK / FTN FINANCIAL 968916 7/25/18 7/18/22 3133EJUJ6 AA+ Aaa AAA 12,400,000.00 2.8000 2.8779 12,363,878.18 13,006.88 157,204.44 12,376,885.06 12,400,000.00 23,114.94 FED FARM CR BK / MORGAN STANLEY 968918 7/25/18 7/18/22 3133EJUJ6 AA+ Aaa AAA 7,725,000.00 2.8000 2.8727 7,703,988.00 7,566.08 97,935.83 7,711,554.08 7,725,000.00 13,445.92 FED FARM CR BK / FTN FINANCIAL 986241 11/9/18 8/9/22 3133EJS83 AA+ Aaa AAA 10,000,000.00 3.0500 3.0850 9,987,980.00 3,668.33 120,305.56 9,991,648.33 10,334,900.00 343,251.67 FANNIE MAE/ TD SECURITIES 1032905 9/6/19 9/6/22 3135GOW33 AA+ Aaa AAA 25,000,000.00 1.3750 1.4941 24,913,000.00 9,263.89 109,809.03 24,922,263.89 24,830,000.00 (92,263.89) FANNIE MAE / GREAT PACIFIC SECURITIES 1032907 9/6/19 9/6/22 3135GOW33 AA+ Aaa AAA 15,000,000.00 1.3750 1.4941 14,947,800.00 5,558.33 65,885.42 14,953,358.33 14,898,000.00 (55,358.33) FED HM LN BK BD / MORGAN STANLEY 979507 9/28/18 9/9/22 313383WD9 AA+ Aaa NR 32,725,000.00 3.1250 3.0017 32,873,772.76 (47,427.21) 318,159.73 32,826,345.55 33,986,876.00 1,160,530.45 FED HM LN BK BD / Mizuho Securities USA Inc 979508 9/28/18 9/9/22 313383WD9 AA+ Aaa NR 5,255,000.00 3.1250 3.0016 5,278,910.25 (7,622.34) 51,090.28 5,271,287.91 5,457,632.80 186,344.89 FED HM LN BK BD / Mizuho Securities USA Inc 984867 11/1/18 9/9/22 313383WD9 AA+ Aaa NR 10,500,000.00 3.1250 3.0195 10,539,784.50 (12,038.54) 102,083.33 10,527,745.96 10,904,880.00 377,134.04 FED HM LN BK BD / MORGAN STANLEY 1031342 8/28/19 9/9/22 313380GJO AA+ Aaa NR 25,000,000.00 2.0000 1.5066 25,364,000.00 (41,037.58) 155,555.56 25,322,962.42 25,209,000.00 (113,962.42) FED HM LN BK BD / Mizuho Securities USA Inc 1038660 10/15/19 9/9/22 313380GJO AA+ Aaa NR 29,670,000.00 2.0000 1.6354 29,975,007.60 (22,203.62) 125,273.33 29,952,803.98 29,918,041.20 (34,762.78) FED FARM CR BK / FTN FINANCIAL 49 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 25 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 1038604 10/11/19 10/11/22 3133EKY91 AA+ Aaa AAA 10,000,000.00 1.3750 1.4370 9,981,850.00 1,344.44 30,555.56 9,983,194.44 9,930,600.00 (52,594.44) FED FARM CR BK / FTN FINANCIAL 1038605 10/11/19 10/11/22 3133EKY91 AA+ Aaa AAA 50,000,000.00 1.3750 1.3921 49,975,000.00 1,851.85 152,777.78 49,976,851.85 49,653,000.00 (323,851.85) FED FARM CR BK / MORGAN STANLEY 1010450 4/18/19 10/18/22 3133EKHN9 AA+ Aaa AAA 22,500,000.00 2.3300 2.3563 22,480,200.00 3,975.71 106,306.25 22,484,175.71 22,500,000.00 15,824.29 FED FARM CR BK / MORGAN STANLEY 1028939 8/14/19 8/14/23 3133EKZK5 AA+ Aaa AAA 25,000,000.00 1.6000 1.6189 24,981,750.00 1,736.28 152,222.22 24,983,486.28 25,000,000.00 16,513.72 FANNIE MAE / DAIWA CAPITAL MARKETS 1009949 4/15/19 9/12/23 3135GOU43 AA+ Aaa AAA 25,000,000.00 2.8750 2.3270 25,570,500.00 (92,027.73) 217,621.53 25,478,472.27 26,100,375.00 621,902.73 FED HM LN BK BD / MORGAN STANLEY 1008111 4/3/19 3/8/24 3130AB3H7 AA+ Aaa NR 10,000,000.00 2.3750 2.3843 9,995,600.00 664.34 74,548.61 9,996,264.34 10,256,800.00 260,535.66 Subtotal for GOVT AGENCY-FIX-30/360: 3,634,334,000.00 2.4081 2.3546 3,639,523,356.82 (2,028,799.78) 20,379,674.93 3,637,494,557 .04 3,664,986,704.32 27,492,147.28 GOVT AGENCY-FLOAT-ACT/360 FED FARM CR BK / BNY Mellon Capital Market 998604 1/31/19 3/23/20 3133EJGV5 AA+ Aaa AAA 10,000,000.00 1.7401 2.4555 10,001,340.00 (1,076.50) 4,350.32 10,000,263.50 10,000,000.00 (263.50) FED FARM CR BK / JEFFERIES & COMPANY 995309 1/10/19 6/15/20 3133EJRR2 AA+ Aaa AAA 7,500,000.00 1.6897 2.4744 7,492,573.95 5,064.51 5,984.53 7,497,638.46 7,500,000.00 2,361.54 FED FARM CR BK / BNY Mellon Capital Market 996198 1/16/19 7/21/20 3133EJA82 AA+ Aaa AAA 10,000,000.00 1.7351 2.5034 9,988,800.00 7,101.45 5,301.79 9,995,901.45 10,000,300.00 4,398.55 FED FARM CR BK / Mizuho Securities USA Inc 992841 12/24/18 8/19/20 3133EJ3G2 AA+ Aaa AAA 10,000,000.00 1.7739 2.4915 9,998,036.90 1,212.31 6,405.68 9,999,249.21 10,000,000.00 750.79 FED FARM CR BK / Mizuho Securities USA Inc 995980 1/15/19 8/19/20 3133EJ3G2 AA+ Aaa AAA 10,000,000.00 1.7739 2.5114 9,994,925.00 3,060.70 6,405.68 9,997,985.70 10,000,000.00 2,014.30 FED FARM CR BK / Mizuho Securities USA Inc 989140 11/30/18 8/24/20 3133EHVR1 AA+ Aaa AAA 50,000,000.00 1.7899 2.3140 50,009,391.48 (5,890.08) 19,887.56 50,003,501.40 50,000,000.00 (3,501.40) FED FARM CR BK / DAIWA CAPITAL MARKETS 996197 1/16/19 9/10/20 3133EJ4W6 AA+ Aaa AAA 10,000,000.00 1.7651 2.5312 10,000,000.00 0.00 10,786.91 10,000,000.00 10,000,000.00 0.00 FED FARM CR BK / Mizuho Securities USA Inc 990764 12/11/18 9/25/20 3133EHZK2 AA+ Aaa AAA 1,900,000.00 1.7920 2.3154 1,899,981.00 11.21 662.04 1,899,992.21 1,900,000.00 7.79 FED FARM CR BK / Mizuho Securities USA Inc 992136 12/19/18 10/19/20 3133EJ3HO AA+ Aaa NR 15,000,000.00 1.7839 2.4898 14,999,947.50 29.62 9,662.68 14,999,977.12 15,000,000.00 22.88 FED FARM CR BK / BARCLAYS CAPITAL 999153 2/5/19 12/11/20 3133EH2Jl AA+ Aaa AAA 1,220,000.00 1.7276 2.5574 1,219,352.45 316.58 1,229.50 1,219,669.03 1,220,378.20 709.17 50 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 26 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund GOVERNMENT AGENCY GOVT AGENCY-FLOAT-ACT/360 FED FARM CR BK / BARCLAYS CAPITAL 1002359 2/26/19 7/16/21 3133EJUF4 AA+ Aaa AAA 1,000,000.00 1.7397 2.5496 998,377.00 575.78 773.22 998,952.78 998,370.00 (582.78) Subtotal for GOVT AGENCY-FLOAT- 126,620,000.00 1.7695 2.4214 126,602,725.28 10,405.58 71,449.91 126,613,130.86 126,619,048.20 5,917.34 ACT/360: GOV'T AGY - CALLABLE FREDDIE MAC / TD SECURITIES 1010177 4/16/19 1/8/20 3134GTFF5 AA+ Aaa AAA 10,000,000.00 2.4600 2.5197 9,995,000.00 5,000.00 56,716.67 10,000,000.00 10,001,823.80 1,823.80 FREDDIE MAC I cmGROUP GLOBAL MARKETS 991923 12/17/18 7/13/20 3134GBXV9 AA+ Aaa AAA 15,000,000.00 1.8500 2.8072 14,780,550.00 219,450.00 129,500.00 15,000,000.00 15,000,000.00 0.00 FANNIE MAE / FTN FINANCIAL 995979 1/15/19 4/27/21 3136G3H99 AA+ Aaa AAA 5,000,000.00 1.5000 2.6550 4,872,810.00 127,190.00 13,333.33 5,000,000.00 5,000,000.00 0.00 FED HM LN BK BD / Mizuho Securities USA Inc 1036534 9/30/19 6/23/21 3130AH5N9 AA+ Aaa NR 15,000,000.00 2.0000 2.0065 14,998,500.00 789.02 75,833.34 14,999,289.02 14,983,200.00 (16,089.02) FED HM LN BK BD / RBC 1035364 9/23/19 9/23/21 3130AH5Dl AA+ Aaa NR 10,000,000.00 2.0500 2.0500 10,000,000.00 0.00 55,805.56 10,000,000.00 10,009,400.00 9,400.00 FREDDIE MAC / BNY Mellon Capital Market 1043243 11/12/19 5/11/22 3134GUPJ3 AA+ Aaa AAA 10,000,000.00 1.8200 1.8467 9,993,500.00 1,779.33 24,772.22 9,995,279.33 10,000,000.00 4,720.67 FREDDIE MAC / GREAT PACIFIC SECURITIES 1035588 9/24/19 8/19/22 3134GT2P7 AA+ Aaa AAA 20,000,000.00 1.9800 1.9797 20,000,000.00 0.00 106,700.00 20,000,000.00 20,009,000.00 9,000.00 FED HM LN BK BD / BARCLAYS CAPITAL 1031328 8/28/19 8/26/22 3130AGYJ8 AA+ Aaa NR 25,000,000.00 2.0000 2.0104 24,992,500.00 5,182.58 170,833.33 24,997,682.58 24,987,500.00 (10,182.58) FANNIE MAE / DEUTSCHE 1033991 9/13/19 9/13/22 3135GOW41 AA+ Aaa AAA 15,000,000.00 2.0500 2.0500 15,000,000.00 0.00 92,250.00 15,000,000.00 15,007,500.00 7,500.00 FREDDIE MAC / BNY Mellon Capital Market 1043248 11/12/19 10/28/22 3134GUMN7 AA+ Aaa AAA 13,550,000.00 1.8000 1.8260 13,539,837.50 2,999.77 33,197.50 13,542,837.27 13,550,000.00 7,162.73 FREDDIE MAC / JEFFERIES & COMPANY 1043060 11/8/19 11/8/22 3134GUPG9 AA+ Aaa AAA 12,285,000.00 1.8500 1.8758 12,275,786.25 2,712.94 33,459.56 12,278,499.19 12,275,786.25 (2,712.94) FED HM LN BK BD / FTN FINANCIAL 1049361 12/23/19 12/23/22 3130AHRV7 AA+ Aaa NR 30,000,000.00 1.8200 1.8200 30,000,000.00 0.00 12,133.33 30,000,000.00 30,000,000.00 0.00 FREDDIE MAC / GREAT PACIFIC SECURITIES 1050136 12/17/19 6/16/23 3134GUZG8 AA+ Aaa AAA 8,210,000.00 1.9100 1.9189 8,207,537.00 387.44 6,098.21 8,207,924.44 8,205,895.00 (2,029.44) Subtotal for GOV'T AGY - CALLABLE: 189,045,000.00 1.9376 2.0545 188,656,020.75 365,491.08 810,633.05 189,021,511.83 189,030,105.05 8,593.22 Subtotal for GOVERNMENT AGENCY: 6,279,479,000.00 1.4877 2.0631 6,272,304,364.60 (1,652,903.12) 26,251,087 .86 6,275,640,791.45 6,303,294,368.41 27,653,576.96 51 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 27 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Vall1e Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund MEDIUM-TERM NOTES MEDIUM-TERM NOTE MICROSOFT CORP / TD SECURITIES 903350 6/9/17 2/6/20 594918BV5 AAA Aaa AA+ 5,906,000.00 1.8500 1.6274 5,940,018.56 (32,774.41) 44,007.90 5,907,244.15 5,906,649.66 (594.49) APPLE INC. / JP MORGAN CHASE & CO 887108 2/28/17 2/7/20 037833AX8 AA+ Aal NR 5,000,000.00 1.5500 1.7601 4,970,000.00 28,980.17 30,569.44 4,998,980.17 4,997,400.00 (1,580.17) APPLE INC. / BNY Mellon Capital Market 892293 3/31/17 2/7/20 037833AX8 AA+ Aal NR 17,308,000.00 1.5500 1.7464 17,212,944.46 91,720.26 105,819.19 17 ,304 ,664. 72 17,298,999.84 (5,664.88) APPLE INC. / BNY Mellon Capital Market 995975 1/15/19 2/7/20 037833CK4 AA+ Aal NR 15,000,000.00 1.9000 2.7482 14,867,730.00 119,804.76 114,000.00 14,987,534.76 15,000,750.00 13,215.24 MICROSOFT CORP / JP MORGAN CHASE & CO 896808 4/27/17 2/12/20 594918AYO AAA Aaa AA+ 30,000,000.00 1.8500 1.7358 30,092,700.00 (88,918.21) 214,291.67 30,003,781.79 30,001,500.00 (2,281.79) MICROSOFT CORP / DAIWA CAPITAL MARKETS 903351 6/9/17 2/12/20 594918AYO AAA Aaa AA+ 12,500,000.00 1.8500 1.6612 12,561,375.00 (58,761.94) 89,288.19 12,502,613.06 12,500,625.00 (1,988.06) APPLE INC. I cm GLOBAL MARKETS 1017099 5/30/19 5/6/20 037833BD1 AA+ Aal NR 13,925,000.00 2.0000 2.4500 13,867,489.75 36,115.07 37,133.33 13,903,604.82 13,928,063.50 24,458.68 APPLE INC. / JP MORGAN CHASE & CO. 956076 5/4/18 5/11/20 037833CS7 AA+ Aal NR 10,000,000.00 1.8000 2.6671 9,830,600.00 139,108.39 25,000.00 9,969,708.39 10,003,000.00 33,291.61 APPLE INC. / TD SECURITIES 1009948 4/15/19 5/11/20 037833CS7 AA+ Aal NR 10,484,000.00 1.8000 2.5500 10,401,281.24 54,860.11 26,210.00 10,456,141.35 10,487,145.20 31,003.85 APPLE INC. I cm GLOBAL MARKETS 1017096 5/30/19 5/11/20 037833CS7 AA+ Aal NR 20,000,000.00 1.8000 2.4495 19,879,000.00 74,870.97 50,000.00 19,953,870.97 20,006,000.00 52,129.03 WAL-MART STORES INC/ CITIGROUP GLOBAL MARKETS 964456 6/27/18 6/23/20 931142EG4 AA Aa2 AA 40,000,000.00 2.8500 2.8663 39,987,600.00 9,421.23 25,333.33 39,997,021.23 40,214,000.00 216,978.77 WAL-MART STORES INC/ CITIGROUP GLOBAL MARKETS 965300 7/2/18 6/23/20 931142EG4 AA Aa2 AA 500,000.00 2.8500 2.7468 500,985.00 (746.72) 316.67 500,238.28 502,675.00 2,436.72 JOHNSON & JOHNSON / BNY Mellon Capital Market 961974 6/12/18 9/1/20 478160AW4 AAA Aaa AAA 4,800,000.00 2.9500 2.6580 4,829,904.00 (20,921.57) 47,200.00 4,808,982.43 4,843,200.00 34,217.57 JOHNSON & JOHNSON / TD SECURITIES 1015592 5/20/19 9/1/20 478160AW4 AAA Aaa AAA 1,600,000.00 2.9500 2.3900 1,611,200.00 (5,369.20) 15,733.33 1,605,830.80 1,614,400.00 8,569.20 MICROSOFT CORP / BARCLAYS CAPITAL 940669 1/31/18 11/3/20 594918BG8 AAA Aaa AA+ 4,750,000.00 2.0000 2.3786 4,701,930.00 33,435.79 15,305.56 4,735,365.79 4,758,027.50 22,661.71 MICROSOFT CORP / BARCLAYS CAPITAL 940672 1/31/18 11/3/20 594918BG8 AAA Aaa AA+ 10,250,000.00 2.0000 2.3744 10,147,397.50 71,366.66 33,027.78 10,218,764.16 10,267,322.50 48,558.34 MICROSOFT CORP / CITIGROUP GLOBAL MARKETS 52 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 28 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund MEDIUM-TERM NOTES MEDIUM-TERM NOTE 1009771 4/12/19 11/3/20 5949188G8 AAA Aaa AA+ 30,000,000.00 2.0000 2.4853 29,778,600.00 102,214.97 96,666.67 29,880,814.97 30,050,700.00 169,885.03 MICROSOFT CORP / CITIGROUP GLOBAL MARKETS 1009947 4/15/19 11/3/20 5949188G8 AAA Aaa AA+ 10,000,000.00 2.0000 2.4853 9,926,600.00 33,674.55 32,222.22 9,960,274.55 10,016,900.00 56,625.45 MICROSOFT CORP / TD SECURITIES 1016247 5/23/19 11/3/20 5949188G8 AAA Aaa AA+ 4,550,000.00 2.0000 2.4298 4,522,381.50 11,578.53 14,661.11 4,533,960.03 4,557,689.50 23,729.47 JOHNSON & JOHNSON / JP MORGAN CHASE & CO 928375 11/10/17 11/10/20 478160CH5 AAA Aaa AAA 5,000,000.00 1.9500 1.9869 4,994,650.00 3,819.31 13,812.50 4,998,469.31 5,012,950.00 14,480.69 APPLE INC. / JP MORGAN CHASE & CO 940012 1/26/18 11/13/20 0378330]6 AA+ Aal NR 6,000,000.00 2.0000 2.3636 5,941,200.00 40,581.93 16,000.00 5,981,781.93 6,014,220.00 32,438.07 APPLE INC. / RBC 950452 4/2/18 11/13/20 0378330]6 AA+ Aal NR 5,000,000.00 2.0000 2.6470 4,918,759.55 54,304.19 13,333.33 4,973,063.74 5,011,850.00 38,786.26 APPLE INC. / TD SECURITIES 1014227 5/10/19 11/13/20 0378330]6 AA+ Aal NR 3,475,000.00 2.0000 2.4764 3,450,633.30 10,365.94 9,266.67 3,460,999.24 3,483,235.75 22,236.51 APPLE INC. / UBS 956075 5/4/18 2/23/21 037833858 AA+ Aal NR 10,000,000.00 2.2500 2.8922 9,828,100.00 101,708.92 80,000.00 9,929,808.92 10,059,900.00 130,091.08 APPLE INC. / JP MORGAN CHASE & CO 958166 5/17/18 2/23/21 037833858 AA+ Aal NR 25,000,000.00 2.2500 2.9317 24,549,750.00 264,002.01 200,000.00 24,813,752.01 25,149,750.00 335,997.99 APPLE INC. / JP MORGAN CHASE & CO 958167 5/17/18 2/23/21 037833858 AA+ Aal NR 5,000,000.00 2.2500 2.9478 4,907,850.00 54,031.73 40,000.00 4,961,881.73 5,029,950.00 68,068.27 APPLE INC. / JP MORGAN CHASE & CO 958388 5/18/18 2/23/21 037833858 AA+ Aal NR 15,000,000.00 2.2500 2.9481 14,723,700.00 161,892.36 120,000.00 14,885,592.36 15,089,850.00 204,257.64 APPLE INC. / UBS FINANCIAL SERVICES 958389 5/18/18 2/23/21 037833858 AA+ Aal NR 2,025,000.00 2.2500 2.9481 1,987,699.50 21,855.47 16,200.00 2,009,554.97 2,037,129.75 27,574.78 APPLE INC. / UBS FINANCIAL SERVICES 960141 5/31/18 2/23/21 037833858 AA+ Aal NR 10,000,000.00 2.2500 2.7000 9,881,500.00 68,783.10 80,000.00 9,950,283.10 10,059,900.00 109,616.90 APPLE INC. / UBS FINANCIAL SERVICES 960467 6/1/18 2/23/21 037833858 AA+ Aal NR 10,000,000.00 2.2500 2.7021 9,881,700.00 68,667.01 80,000.00 9,950,367.01 10,059,900.00 109,532.99 APPLE INC. / MORGAN STANLEY 960888 6/5/18 2/23/21 037833858 AA+ Aal NR 2,000,000.00 2.2500 2.8000 1,971,380.00 16,563.31 16,000.00 1,987,943.31 2,011,980.00 24,036.69 APPLE INC. / TD SECURITIES 1002857 2/28/19 2/23/21 037833858 AA+ Aal NR 5,547,000.00 2.2500 2.6698 5,502,235.71 18,970.04 44,376.00 5,521,205.75 5,580,226.53 59,020.78 APPLE INC. / TD SECURITIES 1016245 5/23/19 2/23/21 037833858 AA+ Aal NR 1,800,000.00 2.2500 2.4975 1,792,386.00 2,634.69 14,400.00 1,795,020.69 1,810,782.00 15,761.31 53 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 29 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund MEDIUM-TERM NOTES MEDIUM-TERM NOTE APPLE INC. / MORGAN STANLEY 1016246 5/23/19 2/23/21 037833858 AA+ Aal NR 13,250,000.00 2.2500 2.4957 13,194,350.00 19,256.67 106,000.00 13,213,606.67 13,329,367.50 115,760.83 JOHNSON & JOHNSON/ GREAT PACIFIC SECURITIES 948127 3/19/18 3/1/21 478160852 AAA Aaa AAA 15,000,000.00 1.6500 2.6200 14,589,450.00 248,185.59 82,500.00 14,837,635.59 14,989,200.00 151,564.41 JOHNSON & JOHNSON / JP MORGAN CHASE & CO 953261 4/18/18 3/1/21 478160852 AAA Aaa AAA 15,000,000.00 1.6500 2.6605 14,583,750.00 247,009.92 82,500.00 14,830,759.92 14,989,200.00 158,440.08 JOHNSON & JOHNSON / BNY Mellon Capital Market 967574 7/17/18 3/1/21 478160852 AAA Aaa AAA 12,800,000.00 1.6500 2.7704 12,439,552.00 200,079.19 70,400.00 12,639,631.19 12,790,784.00 151,152.81 JOHNSON & JOHNSON / BNP PARIBAS 985095 11/2/18 3/1/21 478160852 AAA Aaa AAA 8,335,000.00 1.6500 3.1204 8,061,445.30 136,614.33 45,842.50 8,198,059.63 8,328,998.80 130,939.17 JOHNSON & JOHNSON / TD SECURITIES 1016452 5/24/19 3/1/21 478160852 AAA Aaa AAA 200,000.00 1.6500 2.4352 197,294.00 921.82 1,100.00 198,215.82 199,856.00 1,640.18 JOHNSON & JOHNSON / MORGAN STANLEY 1024388 7/16/19 3/1/21 478160852 AAA Aaa AAA 10,500,000.00 1.6500 2.0583 10,431,750.00 19,250.00 57,750.00 10,451,000.00 10,492,440.00 41,440.00 WAL-MART STORES INC/ BNY Mellon Capital Market 967575 7/17/18 4/15/21 931142DD2 AA Aa2 AA 4,000,000.00 4.2500 2.8664 4,144,920.00 (76,860.40) 35,888.89 4,068,059.60 4,150,000.00 81,940.40 APPLE INC. / UBS FINANCIAL 965856 7/6/18 5/6/21 037833AR1 AA+ Aal NR 5,000,000.00 2.8500 2.9125 4,991,450.00 4,484.56 21,770.83 4,995,934.56 5,074,000.00 78,065.44 MICROSOFT CORP / TD SECURITIES 1030440 8/22/19 8/8/21 5949188P8 AAA Aaa AA+ 17,035,000.00 1.5500 1.7024 16,985,095.46 9,118.53 94,615.23 16,994,213.99 16,983,554.30 (10,659.69) Subtotal for MEDIUM-TERM NOTE: 453,540,000.00 2.0490 2.4713 449,580,337 .83 2,295,899.63 2,358,542.34 451,876,237 .46 454,694,072.33 2,817,834.87 Subtotal for MEDIUM-TERM NOTES: 453,540,000.00 2.0490 2.4713 449,580,337 .83 2,295,899.63 2,358,542.34 451,876,237 .46 454,694,072.33 2,817,834.87 MUNICIPAL DEBT ORANGE COUNTY POB 2019A COUNTY OF ORANGE / 995787 1/14/19 1/31/20 68428LEC4 NR NR NR 100,545,000.00 2.8790 2.8783 100,545,000.00 0.00 482,448.43 100,545,000.00 100,545,000.00 0.00 COUNTY OF ORANGE / 995788 1/14/19 4/30/20 68428LED2 NR NR NR 100,545,000.00 2.8990 2.2778 100,545,000.00 0.00 485,799.93 100,545,000.00 100,545,000.00 0.00 Subtotal for ORANGE COUNTY POB 201,090,000.00 2.8890 2.5780 201,090,000.00 0.00 968,248.36 201,090,000.00 201,090,000.00 0.00 2019A: Subtotal for MUNICIPAL DEBT: 201,090,000.00 2.8890 2.5780 201,090,000.00 0.00 968,248.36 201,090,000.00 201,090,000.00 0.00 U. S. TREASURIES 54 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 30 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund U. S. TREASURIES TREASURY BILL US TREASURY N/B / JP MORGAN CHASE & CO 1044665 11/21/19 1/2/20 912796RT8 AA+ Aaa AAA 49,000,000.00 1.5124 48,913,541.13 0.00 84,400.33 48,913,541.13 48,996,216.22 82,675.09 US TREASURY N/B / JP MORGAN CHASE & CO 1044667 11/21/19 1/2/20 912796RT8 AA+ Aaa AAA 50,000,000.00 1.5124 49,911,776.67 0.00 86,122.77 49,911,776.67 49,996,139.00 84,362.33 US TREASURY N/B / DEUTSCHE 1045303 11/25/19 1/2/20 912796RT8 AA+ Aaa AAA 12,500,000.00 1.5440 12,479,627.78 0.00 19,836.11 12,479,627.78 12,499,034.75 19,406.97 US TREASURY N/B / BARCLAYS CAPITAL 1037016 10/2/19 1/9/20 912796TA7 AA+ Aaa AAA 5,000,000.00 1.7050 4,976,556.25 0.00 21,549.31 4,976,556.25 4,998,259.40 21,703.15 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1050746 12/31/19 1/21/20 912796WPO AA+ Aaa AAA 50,000,000.00 1.4010 49,959,137.50 0.00 1,945.83 49,959,137.50 49,957,817.50 (1,320.00) us TREASURY N/B / cmGROUP GLOBAL MARKETS 1050747 12/31/19 1/21/20 912796WPO AA+ Aaa AAA 12,000,000.00 1.4035 11,990,175.50 0.00 467.83 11,990,175.50 11,989,876.20 (299.30) US TREASURY N/B / DEUTSCHE 1046400 12/3/19 1/30/20 912796RY7 AA+ Aaa AAA 35,000,000.00 1.5200 34,914,288.89 0.00 42,855.55 34,914,288.89 34,959,057.35 44,768.46 US TREASURY N/B / JP MORGAN CHASE & CO 1031329 8/28/19 2/20/20 912796TG4 AA+ Aaa AAA 30,000,000.00 1.8396 29,730,192.00 0.00 193,158.00 29,730,192.00 29,936,675.10 206,483.10 US TREASURY N/B / JEFFERIES & COMPANY 1002858 2/28/19 2/27/20 912796502 AA+ Aaa AAA 20,000,000.00 2.4760 19,499,297.80 0.00 422,295.54 19,499,297.80 19,952,472.20 453,174.40 US TREASURY N/B / JP MORGAN CHASE & CO 1032151 9/3/19 8/13/20 912796TD1 AA+ Aaa AAA 32,000,000.00 1.6759 31,486,057.33 0.00 178,762.67 31,486,057.33 31,695,904.32 209,846.99 Subtotal for TREASURY BILL: 295,500,000.00 0.0000 1.6108 293,860,650.85 0.00 1,051,393.94 293,860,650.85 294,981,452.04 1,120,801.19 TREASURY BOND US TREASURY N/B / MORGAN STANLEY 1012444 4/30/19 1/15/20 912828V31 AA+ Aaa AAA 50,000,000.00 1.3750 2.4288 49,630,859.38 349,263.82 317,595.11 49,980,123.20 49,998,047.00 17,923.80 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1012449 4/30/19 1/15/20 912828V31 AA+ Aaa AAA 33,000,000.00 1.3750 2.4007 32,762,812.50 224,415.87 209,612.77 32,987,228.37 32,998,711.02 11,482.65 US TREASURY N/B / BARCLAYS CAPITAL 1002586 2/27/19 5/15/20 912828X96 AA+ Aaa AAA 6,000,000.00 1.5000 2.5325 5,926,406.25 51,166.76 11,620.88 5,977,573.01 5,998,007.82 20,434.81 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1002588 2/27/19 5/15/20 912828ND8 AA+ Aaa AAA 30,000,000.00 3.5000 2.5367 30,342,187.50 (237,909.14) 135,576.92 30,104,278.36 30,204,492.30 100,213.94 US TREASURY N/B / DEUTSCHE 1048079 12/12/19 5/15/20 912828X96 AA+ Aaa AAA 40,000,000.00 1.5000 1.5906 39,984,375.00 2,016.13 32,967.03 39,986,391.13 39,986,718.80 327.67 US TREASURY N/B / JEFFERIES & COMPANY 55 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 31 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund U. S. TREASURIES TREASURY BOND 1007761 4/1/19 7/15/20 9128282]8 AA+ Aaa AAA 50,000,000.00 1.5000 2.4086 49,425,781.25 335,265.72 346,467.39 49,761,046.97 49,975,586.00 214,539.03 US TREASURY N/B / DEUTSCHE 972326 1/24/18 8/15/20 912828NT3 AA+ Aaa AAA 50,000,000.00 2.6250 2.1470 50,591,796.88 (447,966.16) 495,754.08 50,143,830.72 50,310,547.00 166,716.28 US TREASURY N/B / BNY Mellon Capital Market 972327 1/26/18 8/15/20 912828NT3 AA+ Aaa AAA 23,000,000.00 2.6250 2.2073 23,237,187.50 (179,417.58) 228,046.88 23,057,769.92 23,142,851.62 85,081.70 US TREASURY N/B / Mizuho Securities USA Inc 972328 1/29/18 8/15/20 912828NT3 AA+ Aaa AAA 35,000,000.00 2.6250 2.2281 35,341,796.88 (258,279.24) 347,027.85 35,083,517.64 35,217,382.90 133,865.26 US TREASURY N/B / Mizuho Securities USA Inc 972329 1/30/18 8/15/20 912828NT3 AA+ Aaa AAA 29,000,000.00 2.6250 2.2167 29,291,132.81 (219,918.21) 287,537.36 29,071,214.60 29,180,117.26 108,902.66 US TREASURY N/B / DEUTSCHE 977204 1/25/18 9/15/20 9128282Vl AA+ Aaa AAA 25,000,000.00 1.3750 2.1626 24,498,046.88 367,612.97 101,991.76 24,865,659.85 24,958,496.00 92,836.15 US TREASURY N/B / BARCLAYS CAPITAL 977205 1/31/18 9/15/20 9128282Vl AA+ Aaa AAA 6,200,000.00 1.3750 2.2488 6,062,921.88 100,161.47 25,293.96 6,163,083.35 6,189,707.01 26,623.66 US TREASURY N/B / JEFFERIES & COMPANY 986690 1/31/18 11/15/20 912828PC8 AA+ Aaa AAA 25,000,000.00 2.6250 2.2695 25,238,281.25 (163,686.83) 84,735.58 25,074,594.42 25,213,379.00 138,784.58 US TREASURY N/B / BARCLAYS CAPITAL 1003309 3/4/19 11/15/20 9128283G3 AA+ Aaa AAA 10,000,000.00 1.7500 2.5602 9,866,015.63 65,268.91 22,596.15 9,931,284.54 10,010,742.20 79,457.66 US TREASURY N/B / MORGAN STANLEY 1002587 2/27/19 4/15/21 9128284G2 AA+ Aaa AAA 20,000,000.00 2.3750 2.5032 19,946,875.00 21,031.49 101,229.51 19,967,906.49 20,196,484.40 228,577.91 US TREASURY N/B / RBC 1010167 4/16/19 11/15/21 912828RR3 AA+ Aaa AAA 50,000,000.00 2.0000 2.3701 49,539,062.50 126,953.13 129,120.88 49,666,015.63 50,399,414.00 733,398.37 Subtotal for TREASURY BOND: 482,200,000.00 2.0661 2.2715 481,685,539.09 135,979.11 2,877,174.11 481,821,518.20 483,980,684.33 2,159,166.13 TREASURY BOND - ME US TREASURY N/B / Mizuho Securities USA Inc 1004203 3/8/19 1/31/20 912828357 AA+ Aaa AAA 50,000,000.00 2.0000 2.5286 49,765,625.00 213,003.42 418,478.26 49,978,628.42 50,020,508.00 41,879.58 US TREASURY N/B / DEUTSCHE 1044666 11/21/19 1/31/20 912828357 AA+ Aaa AAA 19,500,000.00 2.0000 1.5841 19,515,234.38 (8,797.32) 43,451.09 19,506,437.06 19,507,998.12 1,561.06 US TREASURY N/B / MORGAN STANLEY 995971 1/15/19 3/31/20 912828UVO AA+ Aaa AAA 14,350,000.00 1.1250 2.5875 14,102,238.28 197,198.10 41,021.00 14,299,436.38 14,334,304.69 34,868.31 US TREASURY N/B / DEUTSCHE 1046647 12/4/19 3/31/20 9128284Cl AA+ Aaa AAA 50,000,000.00 2.2500 1.5618 50,109,375.00 (25,953.39) 86,065.57 50,083,421.61 50,083,984.50 562.89 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1046648 12/4/19 3/31/20 9128284Cl AA+ Aaa AAA 50,000,000.00 2.2500 1.5861 50,105,468.75 (25,026.48) 86,065.57 50,080,442.27 50,083,984.50 3,542.23 56 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 32 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund U. S. TREASURIES TREASURY BOND - ME US TREASURY N/B / JP MORGAN CHASE & CO 1046663 12/4/19 3/31/20 9128284Cl AA+ Aaa AAA 31,000,000.00 2.2500 1.5497 31,069,023.44 (16,378.44) 53,360.66 31,052,645.00 31,052,070.39 (574.61) US TREASURY N/B / JEFFERIES & COMPANY 1046664 12/4/19 3/31/20 912828]84 AA+ Aaa AAA 50,000,000.00 1.3750 1.5782 49,966,796.88 7,878.71 52,595.63 49,974,675.59 49,980,469.00 5,793.41 US TREASURY N/B / DEUTSCHE 1046665 12/4/19 3/31/20 912828]84 AA+ Aaa AAA 50,000,000.00 1.3750 1.5660 49,968,750.00 7,415.25 52,595.63 49,976,165.25 49,980,469.00 4,303.75 US TREASURY N/B / MORGAN STANLEY 926799 11/1/17 4/30/20 912828K58 AA+ Aaa AAA 5,000,000.00 1.3750 1.6684 4,964,257.81 31,034.11 11,710.16 4,995,291.92 4,996,484.40 1,192.48 US TREASURY N/B / MORGAN STANLEY 1026703 7/31/19 4/30/20 912828K58 AA+ Aaa AAA 26,000,000.00 1.3750 2.0226 25,875,078.13 70,211.56 60,892.86 25,945,289.69 25,981,718.88 36,429.19 US TREASURY N/B / DAIWA CAPITAL MARKETS 1026704 7/31/19 4/30/20 912828K58 AA+ Aaa AAA 50,000,000.00 1.3750 2.0226 49,759,765.63 135,022.24 117,101.65 49,894,787.87 49,964,844.00 70,056.13 US TREASURY N/B / BNY Mellon Capital Market 937820 1/12/18 6/30/20 912828XH8 AA+ Aaa AAA 35,000,000.00 1.6250 2.0508 34,643,164.06 285,072.27 1,562.50 34,928,236.33 35,006,835.85 78,599.52 US TREASURY N/B / DEUTSCHE 939794 1/25/18 6/30/20 912828VJ6 AA+ Aaa AAA 10,000,000.00 1.8750 2.1566 9,933,593.75 52,855.48 515.11 9,986,449.23 10,013,671.90 27,222.67 US TREASURY N/B / JP MORGAN CHASE & CO 939795 1/25/18 7/31/20 912828VP2 AA+ Aaa AAA 20,000,000.00 2.0000 2.1554 19,924,218.75 58,280.57 167,391.30 19,982,499.32 20,044,921.80 62,422.48 US TREASURY N/B / BNY Mellon Capital Market 940934 2/1/18 7/31/20 912828VP2 AA+ Aaa AAA 47,000,000.00 2.0000 2.2507 46,715,429.69 218,347.58 393,369.57 46,933,777.27 47,105,566.23 171,788.96 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1004453 3/11/19 7/31/20 912828Y46 AA+ Aaa AAA 10,000,000.00 2.6250 2.5263 10,013,281.25 (7,738.68) 109,850.54 10,005,542.57 10,058,007.80 52,465.23 US TREASURY N/B / BANK OF AMERICA 944994 2/28/18 8/31/20 912828L32 AA+ Aaa AAA 40,000,000.00 1.3750 2.3622 39,046,875.00 700,000.00 185,851.65 39,746,875.00 39,939,843.60 192,968.60 US TREASURY N/B / JP MORGAN CHASE & CO 940197 1/29/18 9/30/20 912828L65 AA+ Aaa AAA 25,000,000.00 1.3750 2.2515 24,435,546.88 406,406.25 87,346.31 24,841,953.13 24,953,125.00 111,171.87 US TREASURY N/B / JP MORGAN CHASE & CO 940200 1/29/18 9/30/20 912828L65 AA+ Aaa AAA 45,000,000.00 1.3750 2.2177 44,022,656.25 703,687.50 157,223.36 44,726,343.75 44,915,625.00 189,281.25 US TREASURY N/B / MORGAN STANLEY 940935 2/1/18 9/30/20 912828VZO AA+ Aaa AAA 32,000,000.00 2.0000 2.2720 31,776,250.00 160,906.64 162,622.95 31,937,156.64 32,089,375.04 152,218.40 US TREASURY N/B / BNY Mellon Capital Market 940199 1/29/18 10/31/20 912828L99 AA+ Aaa AAA 25,000,000.00 1.3750 2.2655 24,409,179.69 412,282.16 58,550.82 24,821,461.85 24,946,777.25 125,315.40 us TREASURY N/B / cmGROUP GLOBAL MARKETS 57 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 33 of 34 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR Extended Fund U. S. TREASURIES TREASURY BOND - ME 940196 1/29/18 11/30/20 912828A42 AA+ Aaa AAA 20,000,000.00 2.0000 2.2685 19,853,125.00 99,523.41 34,972.68 19,952,648.41 20,067,968.80 115,320.39 us TREASURY N/B / cmGROUP GLOBAL MARKETS 940399 1/30/18 11/30/20 912828A42 AA+ Aaa AAA 15,000,000.00 2.0000 2.2601 14,893,359.38 72,227.13 26,229.51 14,965,586.51 15,050,976.60 85,390.09 US TREASURY N/B / BANK OF AMERICA 955119 4/30/18 11/30/20 912828M98 AA+ Aaa AAA 5,000,000.00 1.6250 2.5931 4,879,687.50 77,789.35 7,103.83 4,957,476.85 4,999,804.70 42,327.85 US TREASURY N/B / BARCLAYS CAPITAL 1032659 9/5/19 11/30/20 912828M98 AA+ Aaa AAA 25,000,000.00 1.6250 1.7334 24,966,796.88 8,668.07 35,519.13 24,975,464.95 24,999,023.50 23,558.55 us TREASURY N/B / cmGROUP GLOBAL MARKETS 1032660 9/5/19 11/30/20 912828M98 AA+ Aaa AAA 30,000,000.00 1.6250 1.7334 29,960,156.25 10,401.69 42,622.95 29,970,557.94 29,998,828.20 28,270.26 US TREASURY N/B / Mizuho Securities USA Inc 940013 1/26/18 12/31/20 912828N48 AA+ Aaa AAA 25,000,000.00 1.7500 2.2487 24,648,437.50 231,636.97 1,201.92 24,880,074.47 25,028,320.25 148,245.78 US TREASURY N/B / JP MORGAN CHASE & CO 1005499 3/18/19 12/31/20 912828A83 AA+ Aaa AAA 16,500,000.00 2.3750 2.4796 16,469,707.03 13,386.34 1,076.58 16,483,093.37 16,619,238.24 136,144.87 US TREASURY N/B / MORGAN STANLEY 1010166 4/16/19 1/31/21 9128285X4 AA+ Aaa AAA 50,000,000.00 2.5000 2.4273 50,062,500.00 (24,771.34) 523,097.83 50,037,728.66 50,466,797.00 429,068.34 US TREASURY N/B / MORGAN STANLEY 1004202 3/8/19 3/31/21 912828C57 AA+ Aaa AAA 39,000,000.00 2.2500 2.4665 38,830,898.44 67,057.52 222,971.31 38,897,955.96 39,303,925.83 405,969.87 US TREASURY N/B / MORGAN STANLEY 980701 10/5/18 7/31/21 912828576 AA+ Aaa AAA 5,000,000.00 1.1250 2.9847 4,750,195.31 109,865.56 23,539.40 4,860,060.87 4,963,183.60 103,122.73 US TREASURY N/B / Mizuho Securities USA Inc 939578 1/24/18 12/31/21 912828G87 AA+ Aaa AAA 50,000,000.00 2.1250 2.3254 49,625,000.00 184,498.96 2,918.96 49,809,498.96 50,524,414.00 714,915.04 US TREASURY N/B / BANK OF AMERICA 939579 1/24/18 4/30/22 912828X47 AA+ Aaa AAA 50,000,000.00 1.8750 2.3812 48,978,515.63 463,833.94 159,684.07 49,442,349.57 50,320,312.50 877,962.93 US TREASURY N/B / BNY Mellon Capital Market 940195 1/29/18 5/31/22 912828XD7 AA+ Aaa AAA 16,000,000.00 1.8750 2.4410 15,629,375.00 164,358.02 26,229.51 15,793,733.02 16,107,500.00 313,766.98 Subtotal for TREASURY BOND - ME: 1,031,350,000.00 1.8258 2.0925 1,023,669,562.54 5,054,183.15 3,454,789.87 1,028,723,745.69 1,033,510,878.17 4,787,132.48 Subtotal for U. S. TREASURIES: 1,809,050,000.00 1.5916 2.0615 1,799,215,752.48 5,190,162.26 7,383,357.92 1,804,405,914.74 1,812,473,014.54 8,067,099.80 Total Extended Fund : 8,807,001,943.31 1.5592 2.0954 8,786,033,398.22 5,833,158.77 36,961,236.48 8,796,855,886.96 8,835,394,398.59 38,538,511.63 Net Asset Value (NAV): 1.004381 Total Investments: 11,164,339,645.59 1.2371 1.9792 11,139,319,145.94 5,945,966.31 38,706,168.27 11,151,350,945.08 11,190,550,053.48 39,199,108.40 58 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:21 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 Extended Fund, County and Educational Money Market Funds Page 34 of 34 As at date: 08-Jan-2020 User: SNong As of 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Yield Capital Date Date Value Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker Report Parameters Deals [Settlement Date]<= 31-Dec-2019 Deals [Entity Name] include list County Money Mkt Fnd, Educational Money Mkt Fnd, Extended Fund Bank Accounts [Account Name] include list GOLDMAN SACHS - COUN1Y MMF, GOLDMAN SACHS - EDUCATIONAL MMF, INVESCO STIC ... 59 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:29 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 John Wayne Airport Investment Fund/Non-Pooled Investments Page 1 of 5 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR 100-GF-Tax Ex-Non AMT FUNDS GS FIN TAX FREE-GF 100 8/28/18 AAAm Aaa-mf NR 0.00 0.4216 0.00 0.00 0.00 0.00 0.00 0.00 Subtotal for FUNDS: 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total 100-GF-Tax Ex-Non AMT: 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Net Asset Value (NAV): 0.000000 283-John Wa~ne Air~ort FUNDS INVESCO STIC GOVERNMENT & AGENCY 1/2/20 AAAm Aaa-mf AAAmmf 1,300.94 1.5111 1,300.94 0.00 0.00 1,300.94 1,300.94 0.00 MORGAN STANLEY GOVT 8302-JWA MMF 1/2/20 AAAm Aaa-mf NR 2,020,913.69 1.5239 2,020,913.69 0.00 0.00 2,020,913.69 2,020,913.69 0.00 GOLDMAN SACHS - JWA MMF 1/2/20 AAAm Aaa-mf NR 3,193,732.77 1.6382 3,193,732.77 0.00 0.00 3,193,732.77 3,193,732.77 0.00 Subtotal for FUNDS: 5,215,947.40 1.5939 5,215,947.40 0.00 0.00 5,215,947.40 5,215,947.40 0.00 GOVERNMENT AGENCY DISCOUNT NOTES FHLB DISC CORP / DEUTSCHE 1041971 11/5/19 1/31/20 313384SM2 A-1+ P-1 NR 4,000,000.00 1.5500 3,985,016.67 0.00 9,816.66 3,994,833.33 3,995,134.44 301.11 FHLB DISC CORP / DEUTSCHE 1046596 12/4/19 2/21/20 313384TJ8 A-1+ P-1 NR 5,500,000.00 1.5850 5,480,869.93 0.00 6,780.28 5,487,650.21 5,488,388.90 738.69 FHLB DISC CORP / GREAT PACIFIC SECURITIES 1043991 11/18/19 3/19/20 313384UM9 A-1+ P-1 NR 5,000,000.00 1.5550 4,973,651.39 0.00 9,502.78 4,983,154.17 4,983,316.65 162.48 FHLB DISC CORP / FTN FINANCIAL 1046401 12/3/19 3/23/20 313384UR8 A-1+ P-1 NR 5,000,000.00 1.5850 4,975,564.58 0.00 6,384.03 4,981,948.61 4,982,450.00 501.39 Subtotal for DISCOUNT NOTES: 19,500,000.00 0.0000 1.5701 19,415,102.57 0.00 32,483.75 19,447,586.32 19,449,289.99 1,703.67 GOVT AGENCY-FIX-30/360 FREDDIE MAC / DEUTSCHE 1035836 9/25/19 1/17/20 3137EAEE5 AA+ Aaa AAA 1,415,000.00 1.5000 1.9035 1,413,061.45 1,661.61 5,660.00 1,414,723.06 1,414,561.35 (161.71) FANNIE MAE / FTN FINANCIAL 1016717 5/29/19 3/24/20 3136G3CY9 AA+ Aaa AAA 1,000,000.00 1.3500 2.3859 991,634.00 6,012.18 3,637.50 997,646.18 1,000,000.00 2,353.82 FED HM LN BK BD / FTN FINANCIAL 1042585 11/6/19 9/21/20 3130ADUY6 AA+ Aaa NR 3,000,000.00 2.4500 1.6206 3,021,504.00 (3,754.67) 11,229.17 3,017,749.33 3,021,780.00 4,030.67 60 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:29 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 John Wayne Airport Investment Fund/Non-Pooled Investments Page 2 of 5 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR 283-John Wa~ne Air~ort GOVERNMENT AGENCY Subtotal for GOVT AGENCY-FIX-30/360: 5,415,000.00 1.9986 1.8359 5,426,199.45 3,919.12 20,526.67 5,430,118.57 5,436,341.35 6,222.78 Subtotal for GOVERNMENT AGENCY: 24,915,000.00 0.4344 1.6279 24,841,302.02 3,919.12 53,010.42 24,877,704.89 24,885,631.34 7,926.45 U. S. TREASURIES TREASURY BOND us TREASURY N/B / cmGROUP GLOBAL MARKETS 1024061 7/15/19 1/15/20 912828V31 AA+ Aaa AAA 2,100,000.00 1.3750 2.0696 2,092,781.25 6,669.50 13,338.99 2,099,450.75 2,099,917.97 467.22 US TREASURY N/B / BANK OF AMERICA 1003098 3/1/19 2/15/20 912828W22 AA+ Aaa AAA 1,625,000.00 1.3750 2.5502 1,606,972.66 15,716.14 8,439.63 1,622,688.80 1,624,555.66 1,866.86 US TREASURY N/B / BNY Mellon Capital Market 1026014 7/26/19 2/15/20 912828MP2 AA+ Aaa AAA 1,500,000.00 3.6250 2.1364 1,512,246.09 (9,544.75) 20,538.38 1,502,701.34 1,503,750.00 1,048.66 Subtotal for TREASURY BOND: 5,225,000.00 2.0209 2.2382 5,212,000.00 12,840.89 42,317.00 5,224,840.89 5,228,223.63 3,382.74 TREASURY BOND - ME US TREASURY N/B / JEFFERIES & COMPANY 1022973 7/5/19 4/30/20 912828VA5 AA+ Aaa AAA 2,500,000.00 1.1250 2.0602 2,481,054.69 11,367.19 4,790.52 2,492,421.88 2,496,337.90 3,916.02 US TREASURY N/B / RBC 1048291 12/13/19 8/31/20 912828L32 AA+ Aaa AAA 4,000,000.00 1.3750 1.6226 3,992,968.75 509.90 2,870.88 3,993,478.65 3,993,984.36 505.71 Subtotal for TREASURY BOND - ME: 6,500,000.00 1.2788 1.7909 6,474,023.44 11,877.09 7,661.40 6,485,900.53 6,490,322.26 4,421.73 Subtotal for U. S. TREASURIES: 11,725,000.00 1.6095 1.9902 11,686,023.44 24,717.98 49,978.40 11,710,741.42 11,718,545.89 7,804.47 Total 283-John Wayne Airport : 41,855,947 .40 0.7094 1.7251 41,743,272.86 28,637.10 102,988.82 41,804,393.71 41,820,124.63 15,730.92 Net Asset Value (NAV): 1.000376 650-CCCD SERIES 2017E FUNDS NORTHERN INST U.S. TREASURY PORTFOLIO 1/2/20 AAAm NR NR 257,165.90 1.5211 257,165.90 0.00 0.00 257,165.90 257,165.90 0.00 Subtotal for FUNDS: 257,165.90 1.5211 257,165.90 0.00 0.00 257,165.90 257,165.90 0.00 GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 FED HM LN BK BD / DEUTSCHE 967776 7/18/18 6/11/27 3130AEFGO AA+ Aaa NR 385,000.00 3.1250 3.1846 383,225.15 289.81 668.40 383,514.96 415,287.95 31,772.99 FED FARM CR BK / FTN FINANCIAL 1001372 2/20/19 6/15/27 3133EEW89 AA+ Aaa AAA 225,000.00 3.1250 2.9561 227,778.98 (288.57) 312.50 227,490.41 225,000.00 (2,490.41) FED FARM CR BK / MORGAN STANLEY 61 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:29 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 John Wayne Airport Investment Fund/Non-Pooled Investments Page 3 of 5 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR 650-CCCD SERIES 2017E GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 1015241 5/16/19 11/12/27 3133EH6MO AA+ Aaa AAA 94,000.00 2.8000 2.6533 95,041.52 (76.68) 358.24 94,964.84 100,327.14 5,362.30 FED HM LN BK BD / CITIGROUP GLOBAL MARKETS 981587 10/12/18 12/10/27 3130AD7CO AA+ Aaa NR 180,000.00 2.7500 3.4669 169,941.34 1,338.92 288.75 171,280.26 191,210.40 19,930.14 FED FARM CR BK / FTN FINANCIAL 1026648 7/30/19 12/20/27 3133EH3SO AA+ Aaa AAA 137,000.00 2.7300 2.2650 141,840.21 (242.01) 114.28 141,598.20 146,651.65 5,053.45 FED FARM CR BK / MORGAN STANLEY 1005676 3/19/19 12/28/27 31331YLB4 AA+ Aaa AAA 45,000.00 5.2500 2.8900 53,177.40 (729.99) 19.69 52,447.41 55,311.30 2,863.89 FED FARM CR BK / DEUTSCHE 938650 1/18/18 1/18/28 3133EH7HO AA+ Aaa AAA 2,000,000.00 2.8750 2.8890 1,997,580.00 472.57 26,034.72 1,998,052.57 2,115,540.00 117,487.43 FED HM LN BK BD / CASTLE OAK SECURITIES 987151 11/16/18 11/16/28 3130AFFXO AA+ Aaa NR 85,000.00 3.2500 3.3680 84,154.25 95.15 345.31 84,249.40 93,020.60 8,771.20 FANNIE MAE/ TD SECURITIES 935871 12/29/17 5/15/29 31359MEU3 AA+ Aaa AAA 1,500,000.00 6.2500 2.7914 2,002,678.50 (88,606.90) 11,979.17 1,914,071.60 2,027,062.50 112,990.90 FED FARM CR BK / BANK OF AMERICA 936269 1/3/18 1/3/30 3133EH5Vl AA+ Aaa AAA 2,000,000.00 2.9800 2.9971 1,996,580.00 568.42 29,468.89 1,997,148.42 2,000,000.00 2,851.58 FREDDIE MAC / BARCLAYS CAPITAL 941166 2/2/18 3/15/31 3134A4AA2 AA+ Aaa AAA 1,500,000.00 6.7500 3.0912 2,088,162.00 (85,802.16) 29,812.50 2,002,359.84 2,176,035.00 173,675.16 FREDDIE MAC / Mizuho Securities USA Inc 945319 3/1/18 7/15/32 3134A4KX1 AA+ Aaa AAA 2,000,000.00 6.2500 3.2042 2,697,120.00 (88,925.24) 57,638.89 2,608,194.76 2,878,250.00 270,055.24 FED FARM CR BK / MORGAN STANLEY 948858 3/22/18 7/19/32 3133EA5P9 AA+ Aaa AAA 255,000.00 3.0500 3.3488 246,378.45 1,068.29 3,499.88 247,446.74 272,628.15 25,181.41 FED FARM CR BK / MORGAN STANLEY 948857 3/22/18 11/8/32 3133EA7G7 AA+ Aaa AAA 147,000.00 3.1200 3.3373 143,323.53 446.12 675.22 143,769.65 158,335.17 14,565.52 FED FARM CR BK / MORGAN STANLEY 948855 3/22/18 3/23/33 3133EEUG3 AA+ Aaa AAA 500,000.00 3.3500 3.3496 500,023.74 (2.81) 4,559.72 500,020.93 500,000.00 (20.93) FED FARM CR BK / MORGAN STANLEY 948856 3/22/18 12/27/33 3133EDCX8 AA+ Aaa AAA 263,000.00 4.4400 3.3596 297,542.42 (3,889.45) 129.75 293,652.97 324,954.91 31,301.94 FED FARM CR BK / FTN FINANCIAL 945505 3/2/18 2/13/34 3133EJCP2 AA+ Aaa AAA 2,000,000.00 3.3300 3.4801 1,963,460.00 4,194.37 25,530.00 1,967,654.37 2,000,000.00 32,345.63 FED FARM CR BK I cmGROUP GLOBAL MARKETS 947691 3/15/18 11/2/35 31331KN89 AA+ Aaa AAA 2,000,000.00 3.9100 3.3519 2,147,620.00 (15,024.82) 12,816.11 2,132,595.18 2,000,000.00 (132,595.18) Subtotal for GOVT AGENCY-FIX-30/360: 15,316,000.00 4.2975 3.1381 17,235,627.49 (275,114.98) 204,252.02 16,960,512.51 17,679,614.77 719,102.26 Subtotal for GOVERNMENT AGENCY: 15,316,000.00 4.2975 3.1381 17,235,627.49 (275,114.98) 204,252.02 16,960,512.51 17,679,614.77 719,102.26 62 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:29 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 John Wayne Airport Investment Fund/Non-Pooled Investments Page 4 of 5 As at date: 08-Jan-2020 User: SNong Asof 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Purchase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR 650-CCCD SERIES 2017E U. S. TREASURIES TREASURY BOND us TREASURY N/B / cmGROUP GLOBAL MARKETS 947405 3/14/18 2/15/36 912810FTO AA+ Aaa AAA 1,500,000.00 4.5000 2.9081 1,831,699.22 (33,337.11) 25,495.92 1,798,362.11 1,989,726.57 191,364.46 Subtotal for TREASURY BOND: 1,500,000.00 4.5000 2.9081 1,831,699.22 (33,337.11) 25,495.92 1,798,362.11 1,989,726.57 191,364.46 TREASURY BOND - ME US TREASURY N/B / MORGAN STANLEY 942094 2/8/18 2/15/27 912828V98 AA+ Aaa AAA 2,000,000.00 2.2500 2.8307 1,908,125.00 19,301.00 16,997.28 1,927,426.00 2,055,312.50 127,886.50 Subtotal for TREASURY BOND - ME: 2,000,000.00 2.2500 2.8307 1,908,125.00 19,301.00 16,997.28 1,927,426.00 2,055,312.50 127,886.50 Subtotal for U. S. TREASURIES: 3,500,000.00 3.2143 2.8639 3,739,824.22 (14,036.11) 42,493.20 3,725,788.11 4,045,039.07 319,250.96 Total 650-CCCD SERIES 2017E : 19,073,165.90 4.0408 3.0660 21,232,617.61 (289,151.09) 246,745.22 20,943,466.52 21,981,819.74 1,038,353.22 Net Asset Value (NAV): 1.049579 650-Fountain Valle~ 5040 GOVERNMENT AGENCY GOVT AGENCY-FIX-30/360 FANNIE MAE / MORGAN STANLEY 794635 7/30/15 1/21/20 3135GOA78 AA+ Aaa AAA 3,320,000.00 1.6250 1.6180 3,320,996.00 (983.64) 23,977.78 3,320,012.36 3,319,933.60 (78.76) FED HM LN BK BD / DAIWA CAPITAL MARKETS 794638 7/30/15 7/29/20 3130A5Z77 AA+ Aaa NR 3,500,000.00 1.8300 1.7810 3,508,150.38 (7,208.03) 27,043.33 3,500,942.35 3,507,630.00 6,687.65 FANNIE MAE / DEUTSCHE 846388 6/9/16 5/6/21 3135GOK69 AA+ Aaa AAA 3,500,000.00 1.2500 1.3700 3,480,120.00 14,423.41 6,684.03 3,494,543.41 3,483,725.00 (10,818.41) FANNIE MAE/ TD SECURITIES 882763 1/30/17 1/5/22 3135GOS38 AA+ Aaa AAA 3,500,000.00 2.0000 2.0592 3,490,315.50 5,734.32 34,222.22 3,496,049.82 3,527,667.50 31,617.68 FED HM LN BK BD / FTN FINANCIAL 963950 6/25/18 6/9/23 313383QR5 AA+ Aaa NR 3,430,000.00 3.2500 2.8430 3,494,072.40 (19,609.60) 6,812.36 3,474,462.80 3,604,552.70 130,089.90 FANNIE MAE / MORGAN STANLEY 1001371 2/20/19 2/5/24 3135GOV34 AA+ Aaa AAA 3,510,000.00 2.5000 2.5704 3,498,557.40 1,993.64 35,587.50 3,500,551.04 3,618,546.75 117,995.71 FED FARM CR BK / MORGAN STANLEY 1019609 6/14/19 6/3/24 3133EKNXO AA+ Aaa AAA 3,465,000.00 2.1600 1.9601 3,497,640.30 (3,594.26) 5,821.20 3,494,046.04 3,465,000.00 (29,046.04) Subtotal for GOVT AGENCY-FIX-30/360: 24,225,000.00 2.0880 2.0298 24,289,851.98 (9,244.16) 140,148.42 24,280,607 .82 24,527,055.55 246,447.73 Subtotal for GOVERNMENT AGENCY: 24,225,000.00 2.0880 2.0298 24,289,851.98 (9,244.16) 140,148.42 24,280,607 .82 24,527,055.55 246,447.73 U. S. TREASURIES TREASURY BOND - ME 63 ORANGE COUNTY TREASURER-TAX COLLECTOR Run Date: 08-Jan-2020 03:29 pm Investment Inventory with Market Value by Entity & Instrument Print Date: 08-Jan-2020 John Wayne Airport Investment Fund/Non-Pooled Investments Page S of S As at date: 08-Jan-2020 User: SNong As of 31-Dec-2019 976:3 * Market values provided by Bloomberg & Northern Trust Settle Maturity Face Pul'()hase Capital Interest Market Unrealized CUSIP S&P Moodys Fitch Coupon Capital Date Date Value Yield Accrual Accrual Book Value Value* Gain/(Loss) Issuer / Broker UNITED STATES DOLLAR 650-Fountain Valle~ 5040 U. S. TREASURIES TREASURY BOND - ME us TREASURY N/B / cmGROUP GLOBAL MARKETS 825557 2/1/16 1/31/21 912828N89 AA+ Aaa AAA 3,500,000.00 1.3750 1.4960 3,479,680.47 15,912.88 20,139.27 3,495,593.35 3,490,703.13 (4,890.23) US TREASURY N/B / DEUTSCHE 911416 7/27/17 6/30/22 912828XW5 AA+ Aaa AAA 3,500,000.00 1.7500 1.8449 3,484,414.06 7,693.34 168.27 3,492,107.40 3,513,535.17 21,427.77 US TREASURY N/B / BANK OF AMERICA 937819 1/12/18 10/31/22 9128283C2 AA+ Aaa AAA 3,500,000.00 2.0000 2.3398 3,446,269.53 22,037.77 11,923.08 3,468,307.30 3,537,050.79 68,743.49 Subtotal for TREASURY BOND - ME: 10,500,000.00 1.7083 1.8936 10,410,364.06 45,643.99 32,230.62 10,456,008.05 10,541,289.08 85,281.03 Subtotal for U. S. TREASURIES: 10,500,000.00 1.7083 1.8936 10,410,364.06 45,643.99 32,230.62 10,456,008.05 10,541,289.08 85,281.03 Total 650-Fountain Valley SD40 : 34,725,000.00 1.9732 1.9886 34,700,216.04 36,399.83 172,379.04 34,736,615.87 35,068,344.63 331,728.76 Net Asset Value (NAV): 1.009550 Total Investments: 95,654,113.30 1.8325 2.0882 97,676,106.51 (224,114.16) 522,113.08 97,484,476.10 98,870,289.00 1,385,812.90 Report Parameters Deals [Settlement Date]<= 31-Dec-2019 Deals [Entity Name] include list 283-John Wayne Airport, SOS-Foothill Rnch 87-4 DS, 6SO-CCCD SERIES 2017E, 6SO-Fountain Valley SD40 Deals [Instrument Type] exclude list NT TREASURY SWEEP - GF100, NT TREASURY SWE ... 64 Prepared by: Accountant Date: 1/15/2020 COUN1Y OF ORANGE CEO /PUBLIC FINANCE DEPARTMENT INVENTORY OF INVESTMENTS WITH TRUSTEES December3l,2019 PURCHASE MATURITY INTEREST ACCRUED TRUSTEE INVESTMENT TYPE DATE DATE DESCRIPTION CUSIP# MOODY S&P FITCH RATE BOOK VALUE MARKET VALUE INTEREST REDEVELOPMENT AGENCIES 2014 NDAPP U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 14,390.63 14,390.63 18.22 2014 SANTA ANA HEIGHTS U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 2,362,224.17 2,362,224.17 2,990.62 COMMUNllY FACILITIES DISTRICTS 2014 SOCPFA SERIES A&B U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 6,720,386.57 6,720,386.57 8,508.13 2016-1 VILLAGE OF ESENCIA U.S. BANK MONEY MARKET US BANK MONEY MARKET DEPOSIT ACCOUNT 8AMMFOFS5 A1 AA- AA- 1.65% 14,669,852.30 14,669,852.30 18,711.92 2017-1 VILLAGE OF ESENCIA U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 66,448,065.62 66,448,065.62 85,762.09 2018 SOCPFA SERIES A U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL D 31846V401 Aaa-mf AAAm AAAmmf 1.05% 2,719.12 2,719.12 2.47 2018 SOCPFA SERIES A U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 20,026.39 20,026.39 25.35 ASSESSMENT DISTRICTS NEWPORT COAST - Group 4 U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 453,273.44 453,273.44 573.85 2017-1 NEWPORT COAST U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 954,985.92 954,985.92 1,209.03 REVENUE BONDS ZIONS 2016 CUF LEASE REVENUE BONDS BAN CORPORATION MONEY MARKET FED GOVT OBLI FD-IS 60934N104 Aaa-mf AAAm AAAmmf 1.49% 245,647.98 245,647.98 311.64 PENS ION OB LIGATION BONDS (POBs) 1997A TAXABLE REFUNDING POBs BNY MELLON MONEY MARKET FEDERATED GOVT OBLIGATIONS TAX MGD FUND 608919494 Aaa-mf AAAm N/R 1.11% 2,405.62 2,405.62 2.26 1997A TAXABLE REFUNDING POBs BNY MELLON GOVT SECURITY 06/22/00 09/01/21 FANNIE MAE 31364KQH6 Aaa AA+ AAA 0.00% 8,431,417.46 18,827,928.34 2019A PREPAID POBs U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 4,817.93 4,817.93 6.10 TEETER PLAN OBLIGATION NOTES U.S. BANK MONEY MARKET FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 Aaa-mf AAAm AAAmmf 1.47% 82,610.72 82,610.72 4,502.95 TOTAL OF INVESTMENTS WITH TRUSTEES 100,412,823.87 110,809,334.75 122,624.63 • 8AMMFOFS5 is an US Bank internal identifiers Note: Investment balances with trustee provided by County Executive Office- Public Finance Accounting 28 TREAS-December 2019-TTC Al 65 COUNTY OF ORANGE CEO /PUBLIC FINANCE DEPARTMENT INVENTORY OF INVESTMENTS WITH TRUSTEES SUMMARY BY INVESTMENT TYPE December 31, 2019 PURCHASE MATURITY INTEREST ACCRUED DESCRIPTION DATE DATE CUSIP # RATE BOOK VALUE MARKET VALUE INTEREST MONEY MARKET FUNDS FEDERATED GOVT OBLIGATIONS TAX MGD FUND 608919494 1.11 % $ 2,405.62 $ 2,405.62 $ 2.26 FIRST AMERICAN GOVT OBLIGATION FUND CL D 31846V401 1.05% 2,719.12 2,719.12 2.47 FIRST AMERICAN GOVT OBLIGATION FUND CL Z 31846V567 1.47% 77,060,781.39 77,060,781.39 103,596.34 US BANK MONEY MARKET DEPOSIT ACCOUNT *8AMMFOFS5 1.65% 14,669,852.30 14,669,852.30 18,711.92 FED GOVT OBLI FD-IS 60934N104 1.49% 245,647.98 245,647.98 311.64 SUB-TOTAL MONEY MARKET FUNDS 91,981,406.41 91 ,981 ,406.41 122,624.63 GOVERNMENT SECURITIES FANNIE MAE 06/22/00 09/01/21 31364KQH6 0.00% 8,431,417.46 18,827,928.34 SUB-TOTAL US GOVERNMENT SECURITIES 8,431,417.46 18,827,928.34 TOTAL OF INVESTMENTS WITH TRUSTEES $ 100,412,823.87 $ 110,809,334. 75 $ 122,624.63 * 8AMMFOFS5 is an US Bank internal identifier. 1/15/2020 Note: Investment balances with trustee provided by County Executive Office - Public Finance Accounting 28 TREAS-December 2019-TTC 66 JOHN WAYNE AIRPORT Prepared by: JWA Accounting INVESTMENT WITH TRUSTEE AND NON-POOLED CASH Date: 1/7/2020 FOR THE MONTH ENDED DECEMBER 2019 Reserve Fund Principal Acct. lnteres t Acct. Type of Investment /Interest Rate Maturity Market Cost Market Cost Market Cost 2019A AND 20198 AIRPORT REVENUE REFUNDING BONDS US Bank Money Market Deposit #0155 (Note 1) 9,667,482.15 9,667,482.15 Interest Rate: 1.75% 8AMMFOFP1 $9,667,482.15 $9,667,482.15 2019A AIRPORT REVENUE REFUNDING BONDS US Bank Money Market Deposit #0155 (Note 1) 1,495,482.85 1 ,495,482.85 874,600.27 874,600.27 Interest Rate: 1.75% 8AMMFOFP1 $1,495,482.85 $1,495,482.85 $874,600.27 $874,600.27 20198 AIRPORT REVENUE REFUNDING BONDS US Bank Money Market Deposit #0155 (Note 1) 4, 152,598.08 4, 152,598.08 1,277,722.57 1,277,722.57 Interest Rate: 1.75% 8AMMFOFP1 $4, 152,598.08 $4, 152,598.08 $1,277,722.57 $1,277,722.57 WELLS FARGO BANK Cash - Checking Accounts N/A $7,826,902.27 $7,826,902.27 (Interest rate is variable) (Note 1 ): US Bank Money Market Deposit - Interest rate is variable. G:\Treasurer\Accounting\Treasury Investment Report\Month End Reports 2019\2019-12\Final Versions\30 JWA Investment with Trustee December 2019 67 Orange County Treasurer-Tax Collector Portfolio Holdings of Debt Issued by Pool Participants For the Month Ended December 31, 2019 Purchase S&P Current Date Maturity Yield Rating Purchase Amount Account Held In Outstanding Market Value** COUNTY OF ORANGE Taxable Pension Obligation Bonds, 2019 Series A 01/14/19 01/31/20 2.88% NR 100,545,000 Extended Fund* 100,545,000 100,545,000 Taxable Pension Obligation Bonds, 2019 Series A 01/14/19 04/30/20 2.28% NR 100,545,000 Extended Fund* 100,545,000 100,545,000 $ 201,090,000 $ 201,090,000 $ 201,090,000 A * Percentage breakdown of Extended Fund ownership: Orange County Investment Pool - 42.51% Orange County Educational Investment Pool - 57.49% **Market values provided by Bloomberg and Northern Trust Total Pooled Assets 11,190,550,053 B 1.80% =A/B County Pool 1,335,660,236.36 Education Pool 1,019,495,418.53 X-Fund 8,835,394,398.59 11,190,550,053.48 68 Orange County Treasurer-Tax Collector Temporary Transfers to School Districts** Fiscal Years 2011/2012 through 2019/2020 Tem11orary Transfer-from OCEIP Transfer Date Maturity Int Rate* Original Amount Princi11al Paydown Princi11al Outstanding Anaheim Union High 4/30/2012 10/31/2012 0.56% $ 55,000,000 Educational Money Market Fund $ 55,000,000 Anaheim Union High 10/10/2012 1/31/2013 0.44% 15,000,000 Educational Money Market Fund 15,000,000 Anaheim Union High 2/28/2013 8/31/2013 0.38% 47,000,000 Educational Money Market Fund 47,000,000 Anaheim Union High 4/28/2014 7/31/2014 0.47% 26,000,000 Educational Money Market Fund 26,000,000 Anaheim Union High 10/23/2015 12/31/2015 0.76% 17,000,000 Educational Money Market Fund 17,000,000 Anaheim Union High 8/23/2016 12/31/2016 0.78% 15,000,000 Educational Money Market Fund 15,000,000 Anaheim City 4/29/2013 8/31/2013 0.38% 14,700,000 Educational Money Market Fund 14,700,000 Anaheim City 9/9/2013 12/31/2013 0.34% 12,000,000 Educational Money Market Fund 12,000,000 Anaheim City 4/28/2014 7/31/2014 0.47% 12,000,000 Educational Money Market Fund 12,000,000 Anaheim City 8/1/2014 12/31/2014 0.46% 12,000,000 Educational Money Market Fund 12,000,000 Anaheim City 8/3/2015 12/31/2015 0.76% 10,000,000 Educational Money Market Fund 10,000,000 Brea Olinda 4/30/2012 10/31/2012 0.56% 3,000,000 Educational Money Market Fund 3,000,000 Capistrano Unified 4/29/2013 7/31/2013 0.36% 15,000,000 Educational Money Market Fund 15,000,000 Capistrano Unified 8/9/2013 12/31/2013 0.34% 55,000,000 Educational Money Market Fund 55,000,000 Capistrano Unified 10/1/2014 12/31/2014 0.46% 25,000,000 Educational Money Market Fund 25,000,000 Capistrano Unified 10/9/2015 4/30/2016 0.80% 40,000,000 Educational Money Market Fund 40,000,000 Capistrano Unified 8/8/2016 1/31/2017 0.78% 60,000,000 Educational Money Market Fund 60,000,000 Capistrano Unified 10/10/2017 1/31/2018 1.34% 60,000,000 Educational Money Market Fund 60,000,000 Capistrano Unified 9/28/2018 1/31/2019 2.24% 40,000,000 Educational Money Market Fund 40,000,000 Capistrano Unified 9/27/2019 1/31/2020 2.15% 40,000,000 Educational Money Market Fund 40,000,000 Fullerton Joint Union High 4/30/2012 10/31/2012 0.56% 15,000,000 Educational Money Market Fund 15,000,000 Fullerton Joint Union High 4/29/2013 8/31/2013 0.38% 15,000,000 Educational Money Market Fund 15,000,000 La Habra City 4/30/2012 10/31/2012 0.56% 4,000,000 Educational Money Market Fund 4,000,000 La Habra City 4/10/2013 8/31/2013 0.38% 4,000,000 Educational Money Market Fund 4,000,000 La Habra City 4/28/2014 7/31/2014 0.47% 2,000,000 Educational Money Market Fund 2,000,000 Ocean View 4/29/2013 8/31/2013 0.38% 3,000,000 Educational Money Market Fund 3,000,000 Placentia Yorba-Linda 10/10/2012 1/31/2013 0.44% 20,000,000 Educational Money Market Fund 20,000,000 Placentia Yorba-Linda 2/28/2013 8/31/2013 0.38% 40,000,000 Educational Money Market Fund 40,000,000 Santa Ana Unified 4/30/2012 10/31/2012 0.56% 70,000,000 Educational Money Market Fund 70,000,000 Santa Ana Unified 4/15/2013 8/31/2013 0.38% 45,000,000 Educational Money Market Fund 45,000,000 Santa Ana Unified 4/28/2014 7/31/2014 0.47% 35,000,000 Educational Money Market Fund 35,000,000 Savanna School District 11/2/2015 1/6/2016 0.76% 1,000,000 Educational Money Market Fund 1,000,000 Total Temporary Transfers $ 827,700,000 $ 787,700,000 40,000,000 * Int Rate is the Educational Investment Pool monthly apportionment gross yield for the last active month plus 15 basis points. ** Temporary Transfers are authorized by California Constitution Article XVI Section 6, and OC Board of Supervisors Resolution 19-018 These transactions are reported in the County's books as Due to/From other Governmental Entities within the School Fund #650. 69 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 1 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: County Money Mkt Fnd 1046184 US TREASURY NIB /BARCLAYS TB ILL 1.4500 I 1.4510 CAPITAL 12/19/2019 12/2/2019 PURC 50,000,000.00 49,965,763.90 0.00 0.00 (49,965,763.89) 1043057US TREASURY NIB /JEFFERIES & TB ILL 1.5010 1.5026 COMPANY 12/3/2019 12/3/2019 MAT (41,000,000.00) ( 40,957,263.19) 0.00 (42,736.81) 41,000,000.00 1045292FHLB DISC CORP /DAIWA AGDN 1.4400 1.4406 CAPITAL MARKETS 12/5/2019 12/5/2019 MAT (20,000,000.00) (19,992,000.00) 0.00 (8,000.00) 20,000,000.00 1046868FHLB DISC CORP /CASTLE OAK AGDN 1.5000 · 1.5022 SECURITIES 1/9/2020 12/5/2019 PURC 40,000,000.00 39,941,666.68 0.00 0.00 (39,941,666.67) 1046869FHLB DISC CORP /BNYMellon AGDN 1.5000 ; 1.5022 Capital Market 1/9/2020 12/5/2019 PURC 50,000,000.00 49,927,083.35 0.00 0.00 (49,927,083.33) 1047142FHLB DISC CORP /JEFFERIES & AGDN 1.5300 · 1.5318 COMPANY 1/2/2020 12/5/2019 PURC 41,500,000.00 41,450,615.00 0.00 0.00 (41,450,615.00) 1047176FHLB DISC CORP /TD SECURITIES AGDN 1.5200 1.5220 1/9/2020 12/9/2019 PURC 50,000,000.00 49,934,555.55 0.00 0.00 (49,934,555.56) 1047177FHLB DISC CORP /TD SECURITIES AGDN 1.5200 · 1.5220 1/9/2020 12/9/2019 PURC 43,000,000.00 42,943, 717. 77 0.00 0.00 (42,943,717.78) 1047179FHLB DISC CORP /DAIWA AGDN 1.5450 • 1.5470 CAPITAL MARKETS 1/8/2020 12/9/2019 PURC 2,995,000.00 2,991,143.94 0.00 0.00 (2,991,143.94) 1047180FHLB DISC CORP /FTN FINANCIAL AGDN 1.4700 ; 1.4714 1/2/2020 12/9/2019 PURC 50,000,000.00 49,951,000.00 0.00 0.00 ( 49,951,000.00) 1047181FHLB DISC CORP /CASTLE OAK AGDN 1.4700 ; 1.4714 SECURITIES 1/2/2020 12/9/2019 PURC 50,000,000.00 49,951,000.00 0.00 0.00 ( 49,951,000.00) 1044243 US TREASURY NIB /DEUTSCHE TB ILL 1.5260 · 1.5274 12/10/2019 12/10/2019 MAT (15,000,000.00) (14,986,647.50) 0.00 (13,352.50) 15,000,000.00 1047602FED FARM CR BK /BARCLAYS AGDN 1.5400 ; 1.5420 CAPITAL 1/9/2020 12/10/2019 PURC 3,000,000.00 2,996,150.00 0.00 0.00 (2,996, 150.00) 1047604FHLB DISC CORP /TD SECURITIES AGDN 1.5250 • 1.5269 Deals [Transaction Type] ~ SE 70 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 2 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: County Money Mkt Fnd 1/9/2020 12/10/2019 PURC 14,000,000.00 13,982,208.32 0.00 0.00 (13,982,208.33) 1047605FHLB DISC CORP /CASTLE OAK AGDN 1.5100 / 1.5117 SECURITIES 1/6/2020 12/10/2019 PURC 14,000,000.00 13,984,145.00 0.00 0.00 (13,984,145.00) 1047606FHLB DISC CORP /FTN FINANCIAL AGDN 1.5250 1.5272 1/13/2020 12/10/2019 PURC 27,000,000.00 26,961, 112.49 0.00 0.00 (26,961,112.50) 1043286FHLB DISC CORP /DAIWA AGDN 1.5350 1.5368 CAPITAL MARKETS 12/11/2019 12/11/2019 MAT (20,000,000.00) (19,976,122.22) 0.00 (23,877.78) 20,000,000.00 1043287FHLB DISC CORP /DAIWA AGDN 1.5350 1.5368 CAPITAL MARKETS 12/11/2019 12/11/2019 MAT (27,000,000.00) (26,967, 765.00) 0.00 (32,235.00) 27,000,000.00 1043987FHLB DISC CORP /MORGAN AGDN 1.5300 1.5315 STANLEY 12/11/2019 12/11/2019 MAT (8,200,000.00) (8,191,984.50) 0.00 (8,015.50) 8,200,000.00 1043988FHLB DISC CORP /BNYMellon AGDN 1.5400 1.5415 Capital Market 12/11/2019 12/11/2019 MAT (7,481,000.00) (7,473,639.53) 0.00 (7,360.47) 7,481,000.00 1047857FHLB DISC CORP /JEFFERIES & AGDN 1.5550 ; 1.5592 COMPANY 2/12/2020 12/11/2019 PURC 30,600,000.00 30,516, 729. 75 0.00 0.00 (30,516,729.75) 1047858FHLB DISC CORP /DEUTSCHE AGDN 1.5200 1.5237 2/7/2020 12/11/2019 PURC 33,000,000.00 32,919,186.66 0.00 0.00 (32,919,186.67) 1047859FHLB DISC CORP /FTN FINANCIAL AGDN 1.5200 1.5218 1/8/2020 12/11/2019 PURC 10,000,000.00 9,988, 177. 78 0.00 0.00 (9,988, 177.78) 1047861FREDDIE /GREAT AGDN 1.5350 ; 1.5397 DISCOUNT PACIFIC SECURITIES 2/21/2020 12/11/2019 PURC 30,000,000.00 29,907,900.00 0.00 0.00 (29,907,900.00) 1047863FHLB DISC CORP /BNYMellon AGDN 1.5000 1.5014 Capital Market 1/2/2020 12/11/2019 PURC 10,000,000.00 9,990,833.33 0.00 0.00 (9,990,833.33) 1047865 US TREASURY NIB /MORGAN TB ILL 1.5195 1.5254 STANLEY 3/12/2020 12/11/2019 PURC 15,000,000.00 14,941,752.50 0.00 0.00 (14,941,752.50) 1047867US TREASURY NIB /BARCLAYS TB ILL 1.5250 ; 1.5310 CAPITAL Deals [Transaction Type] ~ SE 71 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 3 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: County Money Mkt Fnd 3/12/2020 12/11/2019 PURC 50,000,000.00 49,805,138.90 0.00 0.00 (49,805,138.89) 1047868US TREASURYN/B /BARCLAYS TB ILL 1.5250 / 1.5310 CAPITAL 3/12/2020 12/11/2019 PURC 50,000,000.00 49,805,138.90 0.00 0.00 (49,805,138.89) 104 7870 US TREASURY NIB /DEUTSCHE TRBDME 1.2500 1.5818 1/31/2020 12/11/2019 PURC 20,000,000.00 19,990,625.00 90,353.26 0.00 (20,080,978.26) 1048068FHLB DISC CORP /BNYMellon AGDN 1.5300 1.5319 Capital Market 1/10/2020 12/12/2019 PURC 43,000,000.00 42,947,002.50 0.00 0.00 (42,947,002.50) 1048069FHLB DISC CORP /DEUTSCHE AGDN 1.5600 ' 1.5658 3/6/2020 12/12/2019 PURC 7,000,000.00 6,974,216.67 0.00 0.00 (6,974,216.67) 1048290 US TREASURY NIB /DEUTSCHE TB ILL 1.5320 1.5323 12/17/2019 12/13/2019 PURC 20,000,000.00 19,996,595.56 0.00 0.00 (19,996,595.56) 1037019FNMADISCOUNT /DAIWA AGDN 1.7300 ; 1.7363 CAPITAL MARKETS 12/16/2019 12/16/2019 MAT (10,000,000.00) (9,963,958.33) 0.00 (36,041.67) 10,000,000.00 1043055 FNMA DISCOUNT /DAIWA AGDN 1.4900 ; 1.4923 CAPITAL MARKETS 12/16/2019 12/16/2019 MAT (25,000,000.00) (24,960,680.56) 0.00 (39,319.44) 25,000,000.00 1048347FHLB DISC CORP /CITIGROUP AGDN 1.5000 ; 1.5002 GLOBAL MARKETS 12/19/2019 12/16/2019 PURC 1,400,000.00 1,399,825.00 0.00 0.00 (1,399,825.00) 1048348FHLB DISC CORP /TD SECURITIES AGDN 1.5700 i 1.5734 2/3/2020 12/16/2019 PURC 3,000,000.00 2,993,589.17 0.00 0.00 (2,993,589.17) 1048349FHLB DISC CORP /MORGAN AGDN 1.5700 ; 1.5734 STANLEY 2/3/2020 12/16/2019 PURC 1,200,000.00 1,197,435.67 0.00 0.00 (1,197,435.67) 1048350FHLB DISC CORP /BARCLAYS AGDN 1.5700 1.5734 CAPITAL 2/3/2020 12/16/2019 PURC 3,300,000.00 3,292,948.08 0.00 0.00 (3,292,948.08) 1048351FHLB DISC CORP /MORGAN AGDN 1.5500 ' 1.5521 STANLEY 1/16/2020 12/16/2019 PURC 10,000,000.00 9,986,652. 78 0.00 0.00 (9,986,652.78) 1048354 FREDDIE /MORGAN AGDN 1.5650 1.5715 DISCOUNT STANLEY Deals [Transaction Type] ~ SE 72 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 4 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: County Money Mkt Fnd 3/20/2020 12/16/2019 PURC 10,000,000.00 9,958,701.39 0.00 0.00 (9,958,701.39) 1048290 US TREASURY NIB /DEUTSCHE TB ILL 1.5320 I 1.5323 12/17/2019 12/17/2019 MAT (20,000,000.00) (19,996,595.56) 0.00 (3,404.44) 20,000,000.00 1048716FHLB DISC CORP /DEUTSCHE AGDN 1.5700 1.5752 3/2/2020 12/17/2019 PURC 7,000,000.00 6,976,798.89 0.00 0.00 (6,976, 798.89) 1048717FHLB DISC CORP /BNYMellon AGDN 1.5700 1.5728 Capital Market 1/27/2020 12/17/2019 PURC 17,000,000.00 16,969,603.07 0.00 0.00 (16,969,603.06) 1048722 US TREASURY NIB /DEUTSCHE TB ILL 1.5250 I 1.5277 1/28/2020 12/17/2019 PURC 20,000,000.00 19,964,416.66 0.00 0.00 (19,964,416.67) 1036846FNMADISCOUNT /CITIGROUP AGDN 1.7300 • 1.7364 GLOBAL MARKETS 12/18/2019 12/18/2019 MAT (10,000,000.00) (9,962,997.22) 0.00 (37,002.78) 10,000,000.00 1044441FHLB DISC CORP /CITIGROUP AGDN 1.5470 1.5489 GLOBAL MARKETS 12/18/2019 12/18/2019 MAT (20,000,000.00) (19,975,935.56) 0.00 (24,064.44) 20,000,000.00 1044657FHLB DISC CORP /JEFFERIES & AGDN 1.5450 1.5468 COMPANY 12/18/2019 12/18/2019 MAT (20,000,000.00) (19,976,825.00) 0.00 (23,175.00) 20,000,000.00 1048764FHLB DISC CORP /BARCLAYS AGDN 1.5600 ; 1.5618 CAPITAL 1/14/2020 12/18/2019 PURC 30,000,000.00 29,964,900.00 0.00 0.00 (29,964,900.00) 1048766 FED FARM CR BK /BARCLAYS AGDN 1.5500 1.5523 CAPITAL 1/21/2020 12/18/2019 PURC 49,265,000.00 49, 192,881.51 0.00 0.00 (49,192,881.51) 1048773FHLB DISC CORP /BARCLAYS AGDN 1.5400 ; 1.5415 CAPITAL 1/10/2020 12/18/2019 PURC 15,300,000.00 15,284,946.50 0.00 0.00 (15,284,946.50) 1040874FHLB DISC CORP /FTN FINANCIAL AGDN 1.6100 • 1.6136 12/19/2019 12/19/2019 MAT (50,000,000.00) ( 49,888, 194.44) 0.00 (lll,805.56) 50,000,000.00 1040926FHLB DISC CORP /BARCLAYS AGDN 1.5550 1.5583 CAPITAL 12/19/2019 12/19/2019 MAT (50,000,000.00) (49,894,173.61) 0.00 ( 105,826.39) 50,000,000.00 1041974FNMADISCOUNT /TD SECURITIES AGDN 1.5000 · 1.5028 12/19/2019 12/19/2019 MAT (25,000,000.00) (24,954,166.67) 0.00 (45,833.33) 25,000,000.00 Deals [Transaction Type] ~ SE 73 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 5 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: County Money Mkt Fnd 1041975 FNMA DISCOUNT /MORGAN AGDN 1.5000 I 1.5028 STANLEY 12/19/2019 12/19/2019 MAT (50,000,000.00) (49,908,333.33) 0.00 (91,666.67) 50,000,000.00 1042586US TREASURYN/B /JPMORGAN TB ILL 1.4489 1.4514 CHASE&CO 12/19/2019 12/19/2019 MAT (36,000,000.00) (35,937,697.30) 0.00 (62,302.70) 36,000,000.00 1043285FHLB DISC CORP /BNYMellon AGDN 1.5300 1.5323 Capital Market 12/19/2019 12/19/2019 MAT (50,000,000.00) ( 49,923,500.00) 0.00 (76,500.00) 50,000,000.00 1043985FHLB DISC CORP /JEFFERIES & AGDN 1.5200 / 1.5220 COMPANY 12/19/2019 12/19/2019 MAT (5,000,000.00) ( 4,993,455.56) 0.00 (6,544.44) 5,000,000.00 1043989FHLB DISC CORP /GREAT AGDN 1.5200 · 1.5220 PACIFIC SECURITIES 12/19/2019 12/19/2019 MAT (30,000,000.00) (29,960, 733.33) 0.00 (39,266.67) 30,000,000.00 1043992US TREASURYN/B /DEUTSCHE TB ILL 1.4430 · 1.4448 12/19/2019 12/19/2019 MAT (20,000,000.00) (19,975,148.33) 0.00 (24,851.67) 20,000,000.00 1045294FHLB DISC CORP /GREAT AGDN 1.5500 • 1.5516 PACIFIC SECURITIES 12/19/2019 12/19/2019 MAT (50,000,000.00) (49,948,333.33) 0.00 (51,666.67) 50,000,000.00 1045295FHLB DISC CORP /GREAT AGDN 1.5500 • 1.5516 PACIFIC SECURITIES 12/19/2019 12/19/2019 MAT (50,000,000.00) (49,948,333.33) 0.00 (51,666.67) 50,000,000.00 1045348FHLB DISC CORP /GREAT AGDN 1.5500 1.5515 PACIFIC SECURITIES 12/19/2019 12/19/2019 MAT (50,000,000.00) ( 49,950,486.11) 0.00 (49,513.89) 50,000,000.00 1045354FHLB DISC CORP /GREAT AGDN 1.5500 1.5515 PACIFIC SECURITIES 12/19/2019 12/19/2019 MAT (50,000,000.00) ( 49,950,486.11) 0.00 (49,513.89) 50,000,000.00 1045355FHLB DISC CORP /GREAT AGDN 1.5500 1.5515 PACIFIC SECURITIES 12/19/2019 12/19/2019 MAT (50,000,000.00) ( 49,950,486.11) 0.00 (49,513.89) 50,000,000.00 Deals [Transaction Type] ~ SE 74 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 6 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: County Money Mkt Fnd 1046184 US TREASURY NIB /BARCLAYS TB ILL 1.4500 I 1.4510 CAPITAL 12/19/2019 12/19/2019 MAT (50,000,000.00) (49,965,763.89) 0.00 (34,236.11) 50,000,000.00 1048347FHLB DISC CORP /CITIGROUP AGDN 1.5000 1.5002 GLOBAL MARKETS 12/19/2019 12/19/2019 MAT (1,400,000.00) ( 1,399,825.00) 0.00 (175.00) 1,400,000.00 1049215 FREDDIE /GREAT AGDN 1.5500 · 1.5584 DISCOUNT PACIFIC SECURITIES 4/22/2020 12/19/2019 PURC 11,000,000.00 10,940,798.61 0.00 0.00 (10,940,798.61) 1049216FHLB DISC CORP /JPMORGAN AGDN 1.5400 · 1.5416 CHASE&CO 1/13/2020 12/19/2019 PURC 25,000,000.00 24,973,263.90 0.00 0.00 (24,973,263.89) 1049267FNMADISCOUNT /CITIGROUP AGDN 1.5200 · 1.5208 GLOBAL MARKETS 1/2/2020 12/20/2019 PURC 50,000,000.00 49,972,555.55 0.00 0.00 (49,972,555.56) 1044659FHLB DISC CORP /TD SECURITIES AGDN 1.5500 · 1.5523 12/26/2019 12/26/2019 MAT (3,800,000.00) (3,794,273.61) 0.00 (5,726.39) 3,800,000.00 1044660FHLB DISC CORP /DEUTSCHE AGDN 1.5500 1.5523 12/26/2019 12/26/2019 MAT (2,600,000.00) (2,596,081.94) 0.00 (3,918.06) 2,600,000.00 10448 86 US TREASURY NIB /MORGAN TB ILL 1.5150 ; 1.5172 STANLEY 12/26/2019 12/26/2019 MAT (20,000,000.00) (19,971,383.33) 0.00 (28,616.67) 20,000,000.00 1050129US TREASURY NIB /JEFFERIES & TB ILL 1.5160 I 1.5177 COMPANY 1/21/2020 12/26/2019 PURC 50,000,000.00 49,945,255.55 0.00 0.00 (49,945,255.56) 1045293 FHLB DISC CORP /TD SECURITIES AGDN 1.5400 · 1.5421 12/27/2019 12/27/2019 MAT (10,000,000.00) (9,986,311.11) 0.00 (13,688.89) 10,000,000.00 1045349FHLB DISC CORP /BNYMellon AGDN 1.5700 • 1.5723 Capital Market 12/30/2019 12/30/2019 MAT ( 40,000,000.00) (39,940,688.89) 0.00 (59,311.11) 40,000,000.00 1050495 US TREASURY NIB /BNYMellon TB ILL 1.5225 ; 1.5299 Capital Market 4/23/2020 12/30/2019 PURC 20,000,000.00 19,902, 729.16 0.00 0.00 (19,902,729.17) 1035594 US TREASURY NIB /JEFFERIES & TRBDME 1.6250 · 1.9714 COMPANY 12/31/2019 12/31/2019 INT 0.00 0.00 0.00 (243,750.00) 243,750.00 Deals [Transaction Type] ~ SE 75 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 7 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: County Money Mkt Fnd 12/31/2019 12/31/2019 MAT (30,000,000.00) (29,971,875.00) 0.00 (28,125.00) 30,000,000.00 1050744 US TREASURY NIB /CITIGROUP TB ILL 1.4655 / 1.4690 GLOBAL MARKETS 2/27/2020 12/31/2019 PURC 50,000,000.00 49,881,945.85 0.00 0.00 (49,881,945.83) 1050745 US TREASURY NIB /JEFFERIES & TB ILL 1.4400 ; 1.4416 COMPANY 1/28/2020 12/31/2019 PURC 15,000,000.00 14,983,200.00 0.00 0.00 (14,983,200.00) 1050748US TREASURYN/B /JEFFERIES & TB ILL 1.4925 · 1.4960 COMPANY 2/25/2020 12/31/2019 PURC 30,000,000.00 29,930,349.99 0.00 0.00 (29,930,350.00) Suh Tr,tai: 20.'Y'h_079,000.00 20::L284J.12.38 %,35.1.26 {l ,53:h605.5[; f202..t.84 l ,~Uitt. 14) Fund: Extended Fund 1046183FHLB DISC CORP /FTN FINANCIAL AGDN 1.5950 · 1.5997 2/7/2020 12/2/2019 PURC 30,000,000.00 29,910,945.84 0.00 0.00 (29,910,945.83) 1046186FNMADISCOUNT /DAIWA AGDN 1.5700 / 1.5751 CAPITAL MARKETS 2/14/2020 12/2/2019 PURC 15,000,000.00 14,951,591.67 0.00 0.00 (14,951,591.67) 1046400 US TREASURY NIB /DEUTSCHE TB ILL 1.5200 · 1.5237 1/30/2020 12/3/2019 PURC 35,000,000.00 34,914,288.89 0.00 0.00 (34,914,288.89) 1046402FHLB DISC CORP /FTN FINANCIAL AGDN 1.4500 · 1.4501 12/4/2019 12/3/2019 PURC 50,000,000.00 49,997,986.10 0.00 0.00 ( 49,997,986.11) 1046403FHLB DISC CORP /DAIWA AGDN 1.4500 1.4501 CAPITAL MARKETS 12/4/2019 12/3/2019 PURC 50,000,000.00 49,997,986.10 0.00 0.00 ( 49,997,986.11) 1046404FHLB DISC CORP /BNYMellon AGDN 1.5850 1.5911 Capital Market 2/28/2020 12/3/2019 PURC 25,000,000.00 24,904,239.58 0.00 0.00 (24,904,239.58) 1046405 FHLB DISC CORP /Mizuho Securities AGDN 1.5800 ! 1.5858 USA Inc 2/25/2020 12/3/2019 PURC 25,000,000.00 24,907,833.33 0.00 0.00 (24,907,833.33) 1046402FHLB DISC CORP /FTN FINANCIAL AGDN 1.4500 1.4501 12/4/2019 12/4/2019 MAT (50,000,000.00) (49,997,986.11) 0.00 (2,013.89) 50,000,000.00 1046403 FHLB DISC CORP /DAIWA AGDN 1.4500 · 1.4501 CAPITAL MARKETS Deals [Transaction Type] ~ SE 76 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 8 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 12/4/2019 12/4/2019 MAT (50,000,000.00) (49,997,986.11) 0.00 (2,013.89) 50,000,000.00 1046635FHLB DISC CORP /MORGAN AGDN 1.5600 / 1.5663 STANLEY 3/6/2020 12/4/2019 PURC 50,000,000.00 49, 798,500.00 0.00 0.00 ( 49, 798,500.00) 1046636FHLB DISC CORP /GREAT AGDN 1.5840 1.5879 PACIFIC SECURITIES 1/29/2020 12/4/2019 PURC 50,000,000.00 49,876,800.00 0.00 0.00 ( 49,876,800.00) 1046637FHLB DISC CORP /GREAT AGDN 1.5840 ; 1.5879 PACIFIC SECURITIES 1/29/2020 12/4/2019 PURC 50,000,000.00 49,876,800.00 0.00 0.00 ( 49,876,800.00) 1046638FHLB DISC CORP /Mizuho Securities AGDN 1.5400 · 1.5503 USA Inc 5/8/2020 12/4/2019 PURC 44,000,000.00 43,706,373.35 0.00 0.00 (43,706,373.33) 1046639FHLB DISC CORP /Mizuho Securities AGDN 1.5400 · 1.5508 USA Inc 5/15/2020 12/4/2019 PURC 36,500,000.00 36,245,493.60 0.00 0.00 (36,245,493.61) 1046640FREDDIE /CASTLE OAK AGDN 1.5400 • 1.5483 DISCOUNT SECURITIES 4/7/2020 12/4/2019 PURC 20,000,000.00 19,893,055.56 0.00 0.00 (19,893,055.56) 1046641FREDDIE /CASTLE OAK AGDN 1.5400 ; 1.5483 DISCOUNT SECURITIES 4/7/2020 12/4/2019 PURC 50,000,000.00 49,732,638.90 0.00 0.00 (49,732,638.89) 1046642 FREDDIE /GREAT AGDN 1.5400 1.5485 DISCOUNT PACIFIC SECURITIES 4/10/2020 12/4/2019 PURC 50,000,000.00 49, 726,222.20 0.00 0.00 ( 49, 726,222.22) 1046643 FREDDIE /GREAT AGDN 1.5400 ; 1.5485 DISCOUNT PACIFIC SECURITIES 4/10/2020 12/4/2019 PURC 50,000,000.00 49, 726,222.20 0.00 0.00 ( 49, 726,222.22) 1046644 FREDDIE /GREAT AGDN 1.5400 · 1.5485 DISCOUNT PACIFIC SECURITIES 4/10/2020 12/4/2019 PURC 10,000,000.00 9,945,244.44 0.00 0.00 (9,945,244.44) 1046645 FHLB DISC CORP /GREAT AGDN 1.5600 · 1.5668 PACIFIC SECURITIES Deals [Transaction Type] ~ SE 77 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 9 of 26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 3/13/2020 12/4/2019 PURC 40,000,000.00 39,826,666.68 0.00 0.00 (39,826,666.67) 1046646FHLB DISC CORP /RBC AGDN 1.5600 I 1.5663 3/6/2020 12/4/2019 PURC 40,000,000.00 39,838,800.00 0.00 0.00 (39,838,800.00) 1046647US TREASURY NIB /DEUTSCHE TRBDME 2.2500 1.5618 3/31/2020 12/4/2019 PURC 50,000,000.00 50,109,375.00 199,795.08 0.00 (50,309,170.08) 1046648 US TREASURY NIB /CITIGROUP TRBDME 2.2500 1.5861 GLOBAL MARKETS 3/31/2020 12/4/2019 PURC 50,000,000.00 50, 105,468. 75 199,795.08 0.00 (50,305,263.83) 1046663 US TREASURY NIB /JPMORGAN TRBDME 2.2500 ; 1.5497 CHASE&CO 3/31/2020 12/4/2019 PURC 31,000,000.00 31,069,023.42 123,872.97 0.00 (31, 192,896.39) 1046664 US TREASURY NIB /JEFFERIES & TRBDME 1.3750 • 1.5782 COMPANY 3/31/2020 12/4/2019 PURC 50,000,000.00 49,966,796.85 122,097.02 0.00 (50,088,893.87) 1046665 US TREASURY NIB /DEUTSCHE TRBDME 1.3750 ; 1.5660 3/31/2020 12/4/2019 PURC 50,000,000.00 49,968, 750.00 122,096.99 0.00 (50,090,846.99) 1046870 FREDDIE /GREAT AGDN 1.5300 ; 1.5396 DISCOUNT PACIFIC SECURITIES 4/30/2020 12/5/2019 PURC 9,000,000.00 8,943,772.50 0.00 0.00 (8,943, 772.50) 1046872 FREDDIE /GREAT AGDN 1.5300 ; 1.5396 DISCOUNT PACIFIC SECURITIES 4/30/2020 12/5/2019 PURC 50,000,000.00 49,687,625.00 0.00 0.00 ( 49,687,625.00) 1046875 FREDDIE /GREAT AGDN 1.5300 i 1.5396 DISCOUNT PACIFIC SECURITIES 4/30/2020 12/5/2019 PURC 50,000,000.00 49,687,625.00 0.00 0.00 ( 49,687,625.00) 1046882FREDDIE /GREAT AGDN 1.5300 1 1.5396 DISCOUNT PACIFIC SECURITIES 4/30/2020 12/5/2019 PURC 50,000,000.00 49,687,625.00 0.00 0.00 ( 49,687,625.00) 1046883FHLB DISC CORP /BNYMellon AGDN 1.5600 i 1.5720 Capital Market 5/29/2020 12/5/2019 PURC 41,850,000.00 41,530,823.99 0.00 0.00 (41,530,824.00) 1046884FHLB DISC CORP /TD SECURITIES AGDN 1.5300 · 1.5396 4/30/2020 12/5/2019 PURC 50,000,000.00 49,687,625.00 0.00 0.00 ( 49,687,625.00) Deals [Transaction Type] ~ SE 78 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 10 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 1047396FHLB DISC CORP /Mizuho Securities AGDN 1.5200 I 1.5283 USA Inc 4/15/2020 12/9/2019 PURC 37,000,000.00 36,800,035.57 0.00 0.00 (36,800,035.56) 1047397FHLB DISC CORP /DAIWA AGDN 1.5400 1.5444 CAPITAL MARKETS 2/14/2020 12/9/2019 PURC 10,000,000.00 9,971,338.89 0.00 0.00 (9,971,338.89) 1047400FREDDIE /GREAT AGDN 1.5200 · 1.5297 DISCOUNT PACIFIC SECURITIES 5/7/2020 12/9/2019 PURC 50,000,000.00 49,683,333.35 0.00 0.00 (49,683,333.33) 1047401FREDDIE /GREAT AGDN 1.5200 · 1.5297 DISCOUNT PACIFIC SECURITIES 5/7/2020 12/9/2019 PURC 31,000,000.00 30,803,666.68 0.00 0.00 (30,803,666.67) 969137FED HM LN BK BD /Mizuho Securities AGNFl 2. 7500 i 2.8846 USA Inc 6/10/2022 12/10/2019 INT 0.00 0.00 0.00 (75,625.00) 75,625.00 970717FED HM LN BK BD /Mizuho Securities AGNFl 5.2500 · 2.8730 USA Inc 6/10/2022 12/10/2019 INT 0.00 0.00 0.00 (156,187.50) 156,187.50 988367FED HM LN BK BD /Mizuho Securities AGNFl 2.8750 ; 2.9476 USA Inc 12/10/2021 12/10/2019 INT 0.00 0.00 0.00 (233,593. 75) 233,593.75 989144FED HM LN BK BD /CASTLE OAK AGNFl 2.8750 i 2.9737 SECURITIES 12/10/2021 12/10/2019 INT 0.00 0.00 0.00 (143,750.00) 143,750.00 989145 FED HM LN BK BD /JPMORGAN AGNFl 2.8750 · 2.9788 CHASE&CO 12/10/2021 12/10/2019 INT 0.00 0.00 0.00 (200,746.88) 200,746.88 989146 FED HM LN BK BD /MORGAN AGNFl 2.8750 · 2.9764 STANLEY 12/10/2021 12/10/2019 INT 0.00 0.00 0.00 (287,500.00) 287,500.00 996197FED FARM CR BK /DAIWA AGNFLOATl 2.5655 ; 2.5655 CAPITAL MARKETS 9/10/2020 12/10/2019 INT 0.00 0.00 0.00 (15,066.67) 15,066.67 Deals [Transaction Type] ~ SE 79 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 11 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 996550FED HM LN BK BD /DAIWA AGNFl 2.8750 I 2.6126 CAPITAL MARKETS 12/10/2021 12/10/2019 INT 0.00 0.00 0.00 ( 445,625.00) 445,625.00 998122FED HM LN BK BD /BNYMellon AGNFl 3.0000 ! 2.6660 Capital Market 12/10/2021 12/10/2019 INT 0.00 0.00 0.00 ( 122,175.00) 122,175.00 999836 FED HM LN BK BD /BNYMellon AGNFl 2.6250 · 2.4893 Capital Market 12/10/2021 12/10/2019 INT 0.00 0.00 0.00 (66,806.25) 66,806.25 1009257FED HM LN BK BD /Mizuho Securities AGNFl 2.3750 · 2.3518 USA Inc 6/10/2022 12/10/2019 INT 0.00 0.00 0.00 (216,956.25) 216,956.25 1031339FED HMLN BKBD /Mizuho Securities AGNFl 5.0000 ; 1.5684 USA Inc 12/10/2021 12/10/2019 INT 0.00 0.00 0.00 (248,750.00) 248,750.00 1041021FHLB DISC CORP /MORGAN AGDN 1.5600 · 1.5626 STANLEY 12/10/2019 12/10/2019 MAT (25,000,000.00) (24,957, 750.00) 0.00 ( 42,250.00) 25,000,000.00 1041022FHLB DISC CORP /Mizuho Securities AGDN 1.5600 1.5626 USA Inc 12/10/2019 12/10/2019 MAT (10,831,000.00) (10,812,695.61) 0.00 (18,304.39) 10,831,000.00 1041210FHLB DISC CORP /JEFFERIES & AGDN 1.5000 ; 1.5023 COMPANY 12/10/2019 12/10/2019 MAT (21,400,000.00) (21,367,900.00) 0.00 (32, 100.00) 21,400,000.00 1041211FHLB DISC CORP /FTN FINANCIAL AGDN 1.5000 I 1.5023 12/10/2019 12/10/2019 MAT (15,000,000.00) (14,977,500.00) 0.00 (22,500.00) 15,000,000.00 1047607FREDDIE /GREAT AGDN 1.5300 · 1.5412 DISCOUNT PACIFIC SECURITIES 5/29/2020 12/10/2019 PURC 5,000,000.00 4,963,662.50 0.00 0.00 ( 4,963,662.50) 1047609FREDDIE /GREAT AGDN 1.5300 · 1.5412 DISCOUNT PACIFIC SECURITIES 5/29/2020 12/10/2019 PURC 50,000,000.00 49,636,625.00 0.00 0.00 ( 49,636,625.00) 1047610FREDDIE /GREAT AGDN 1.5300 · 1.5412 DISCOUNT PACIFIC SECURITIES 5/29/2020 12/10/2019 PURC 50,000,000.00 49,636,625.00 0.00 0.00 ( 49,636,625.00) Deals [Transaction Type] ~ SE 80 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 12 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 1047611 FREDDIE /GREAT AGDN 1.5300 I 1.5412 DISCOUNT PACIFIC SECURITIES 5/29/2020 12/10/2019 PURC 50,000,000.00 49,636,625.00 0.00 0.00 ( 49,636,625.00) 939799FED HM LN BK BD /BANK OF AGNFl 3.1250 ! 2.2413 AMERICA 12/11/2020 12/11/2019 INT 0.00 0.00 0.00 (114,765.63) 114,765.63 940936 FED HM LN BK BD /Mizuho Securities AGNFl 2.0000 · 2.3507 USA Inc 12/11/2020 12/11/2019 INT 0.00 0.00 0.00 (58,700.00) 58,700.00 941167FED HM LN BK BD /Mizuho Securities AGNFl 3.1250 · 2.3452 USA Inc 12/11/2020 12/11/2019 INT 0.00 0.00 0.00 (203,125.00) 203,125.00 961782 FED FARM CR BK /BNYMellon AGNFl 2.5500 ; 2.5774 Capital Market 6/11/2020 12/11/2019 INT 0.00 0.00 0.00 (382,500.00) 382,500.00 962195 FED FARM CR BK /BNYMellon AGNFl 2.5500 I 2.5774 Capital Market 6/11/2020 12/11/2019 INT 0.00 0.00 0.00 (382,500.00) 382,500.00 965615FED HMLN BKBD /FTN FINANCIAL AGNFl 3.6250 2.7261 6/11/2021 12/11/2019 INT 0.00 0.00 0.00 (271,875.00) 271,875.00 965858FED HM LN BK BD /JPMORGAN AGNFl 3.6250 · 2.7359 CHASE&CO 6/11/2021 12/11/2019 INT 0.00 0.00 0.00 (291,993.75) 291,993.75 965859FED HM LN BK BD /MORGAN AGNFl 3.6250 i 2.7359 STANLEY 6/11/2021 12/11/2019 INT 0.00 0.00 0.00 (362,500.00) 362,500.00 969937FED HM LN BK BD /BNYMellon AGNFl 3.6250 · 2.8490 Capital Market 6/11/2021 12/11/2019 INT 0.00 0.00 0.00 ( 181,250.00) 181,250.00 969938 FED HM LN BK BD /DEUTSCHE AGNFl 3.6250 , 2.8431 6/11/2021 12/11/2019 INT 0.00 0.00 0.00 (362,500.00) 362,500.00 983819FED HM LN BK BD /DEUTSCHE AGNFl 5.6250 • 2.9605 6/11/2021 12/11/2019 INT 0.00 0.00 0.00 (281,250.00) 281,250.00 998605 FED HM LN BK BD /BNYMellon AGNFl 3.1250 2.5284 Capital Market 12/11/2020 12/11/2019 INT 0.00 0.00 0.00 (234,375.00) 234,375.00 999153 FED FARM CR BK /BARCLAYS AGNFLOATl 2.5288 ; 2.5574 CAPITAL Deals [Transaction Type] ~ SE 81 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 13 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 12/11/2020 12/11/2019 INT 0.00 0.00 0.00 (1,797.47) 1,797.47 902919FED HM LN BK BD /DEUTSCHE AGNFl 1.7500 I 1.5181 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 ( 192,500.00) 192,500.00 903115 FED HM LN BK BD /DEUTSCHE AGNFl 1.7500 1.5235 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 (36,925.00) 36,925.00 905577FED HM LN BK BD /DAIWA AGNFl 1.7500 1.5900 CAPITAL MARKETS 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 ( 175,000.00) 175,000.00 955811FED HMLN BKBD /DEUTSCHE AGNFl 3.3750 ; 2.5930 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 (337,500.00) 337,500.00 96013 7 FED HM LN BK BD /MORGAN AGNFl 3.3750 , 2.4620 STANLEY 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 (506,250.00) 506,250.00 960468 FED HM LN BK BD /Mizuho Securities AGNFl 3.3750 2.4976 USA Inc 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 (524,812.50) 524,812.50 960469FED HM LN BK BD /Mizuho Securities AGNFl 3.3750 ; 2.4992 USA Inc 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 (318,937.50) 318,937.50 965298 FED HM LN BK BD /BNYMellon AGNFl 3.3750 , 2.6206 Capital Market 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 (227,306.25) 227,306.25 965614FED HM LN BK BD /FTN FINANCIAL AGNFl 3.3750 ; 2.6164 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 (337,500.00) 337,500.00 965616FED HM LN BK BD /MORGAN AGNFl 3.3750 I 2.6164 STANLEY 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 (337,500.00) 337,500.00 965617FED HMLN BKBD /Mizuho Securities AGNFl 3.3750 2.6164 USA Inc 6/12/2020 12/12/2019 INT 0.00 0.00 0.00 ( 186,468. 75) 186,468.75 1048077FHLB DISC CORP /Mizuho Securities AGDN 1.5500 ; 1.5595 USA Inc 5/1/2020 12/12/2019 PURC 42,000,000.00 41,745,025.01 0.00 0.00 ( 41, 745,025.00) 1048078FHLB DISC CORP /GREAT AGDN 1.5500 1.5585 PACIFIC SECURITIES 4/17/2020 12/12/2019 PURC 35,000,000.00 34,808,618.08 0.00 0.00 (34,808,618.06) Deals [Transaction Type] ~ SE 82 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 14 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 1048079US TREASURY NIB /DEUTSCHE TRBDI 1.5000 I 1.5906 5/15/2020 12/12/2019 PURC 40,000,000.00 39,984,375.00 44,505.49 0.00 ( 40,028,880.49) 1048080FHLB DISC CORP /DEUTSCHE AGDN 1.5600 , 1.5658 3/6/2020 12/12/2019 PURC 28,000,000.00 27,896,866.68 0.00 0.00 (27,896,866.67) 991453 FED FARM CR BK /BNYMellon AGNFl 2.7500 2.8018 Capital Market 12/14/2020 12/14/2019 INT 0.00 0.00 0.00 (220,000.00) 220,000.00 991454FED FARM CR BK /JEFFERIES & AGNFl 2.7500 ; 2.8035 COMPANY 12/14/2020 12/14/2019 INT 0.00 0.00 0.00 (137,500.00) 137,500.00 905575 FED FARM CR BK /DEUTSCHE AGNFl 1.5400 / 1.5872 6/15/2020 12/15/2019 INT 0.00 0.00 0.00 (60,522.00) 60,522.00 995309FED FARM CR BK /JEFFERIES & AGNFLOATl 2.4051 · 2.4744 COMPANY 6/15/2020 12/15/2019 INT 0.00 0.00 0.00 (0.01) 0.01 6/15/2020 12/15/2019 INT 0.00 0.00 0.00 (10,721.13) 10,721.13 999546 US TREASURY NIB /BANK OF TRBDI 1.3750 · 2.5450 AMERICA 12/15/2019 12/15/2019 INT 0.00 0.00 0.00 (68,750.00) 68,750.00 12/15/2019 12/15/2019 MAT (10,000,000.00) (9,901,953.12) 0.00 (98,046.88) 10,000,000.00 10023 5 5 US TREASURY NIB /RBC TRBDI 1.3750 ; 2.5209 12/15/2019 12/15/2019 INT 0.00 0.00 0.00 (343,750.00) 343,750.00 12/15/2019 12/15/2019 MAT (50,000,000.00) ( 49,548,828.10) 0.00 ( 451,171.90) 50,000,000.00 10023 5 8 US TREASURY NIB /JPMORGAN TRBDI 1.3750 • 2.5259 CHASE&CO 12/15/2019 12/15/2019 INT 0.00 0.00 0.00 (171,875.00) 171,875.00 12/15/2019 12/15/2019 MAT (25,000,000.00) (24,773,437.50) 0.00 (226,562.50) 25,000,000.00 1002359FED FARM CR BK /BARCLAYS AGNFLOATl 2.4814 I 2.5496 CAPITAL 7/16/2021 12/16/2019 INT 0.00 0.00 0.00 (1,468.75) 1,468.75 1048352FNMADISCOUNT /JPMORGAN AGDN 1.5200 1.5204 CHASE&CO 12/23/2019 12/16/2019 PURC 15,592,000.00 15,587,391.71 0.00 0.00 (15,587,391.70) 1048353FHLB DISC CORP /DAIWA AGDN 1.5750 ; 1.5809 CAPITAL MARKETS 3/10/2020 12/16/2019 PURC 34,000,000.00 33,873,562.50 0.00 0.00 (33,873,562.50) Deals [Transaction Type] ~ SE 83 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 15 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 1048355FHLB DISC CORP /GREAT AGDN 1.5600 I 1.5628 PACIFIC SECURITIES 1/27/2020 12/16/2019 PURC 20,000,000.00 19,963,600.00 0.00 0.00 (19,963,600.00) 1048356FHLB DISC CORP /GREAT AGDN 1.5600 1.5628 PACIFIC SECURITIES 1/27/2020 12/16/2019 PURC 50,000,000.00 49,909,000.00 0.00 0.00 ( 49,909,000.00) 991703 FED FARM CR BK /FTN FINANCIAL AGNFl 2.8000 ! 2.8470 12/17/2021 12/17/2019 INT 0.00 0.00 0.00 (350,000.00) 350,000.00 996191FED FARM CR BK /FTN FINANCIAL AGNFl 2.8000 2.6510 12/17/2021 12/17/2019 INT 0.00 0.00 0.00 (224,000.00) 224,000.00 1050136FREDDIE MAC /GREAT CALLGOVAGY 1.9100 · 1.9189 PACIFIC SECURITIES 6/16/2023 12/17/2019 PURC 8,210,000.00 8,207,537.00 435.59 0.00 (8,207,972.59) 992136FED FARM CR BK /Mizuho Securities AGNFLOATl 2.4896 : 2.4898 USA Inc 10/19/2020 12/19/2019 INT 0.00 0.00 0.00 (21,915.63) 21,915.63 992841 FED FARM CR BK /Mizuho Securities AGNFLOATl 2.4796 · 2.4915 USA Inc 8/19/2020 12/19/2019 INT 0.00 0.00 0.00 (0.01) 0.01 8/19/2020 12/19/2019 INT 0.00 0.00 0.00 (14,527.08) 14,527.08 995980FED FARM CR BK /Mizuho Securities AGNFLOATl 2.4796 , 2.5114 USA Inc 8/19/2020 12/19/2019 INT 0.00 0.00 0.00 (14,527.08) 14,527.08 1041020FHLB DISC CORP /FTN FINANCIAL AGDN 1.5300 I 1.5332 12/20/2019 12/20/2019 MAT (19,000,000.00) (18,960,432.50) 0.00 (39,567.50) 19,000,000.00 1049268FED HM LN BK BD /CASTLE OAK AGNFl 1.6250 1.6801 SECURITIES 12/20/2021 12/20/2019 PURC 15,000,000.00 14,983,800.00 0.00 0.00 (14,983,800.00) 1049269FED HM LN BK BD /BARCLAYS AGNFl 1.6250 1.6801 CAPITAL 12/20/2021 12/20/2019 PURC 6,000,000.00 5,993,520.00 0.00 0.00 (5,993,520.00) 960140FED FARM CR BK /JEFFERIES & AGNFl 2.7000 2.5705 COMPANY 12/21/2020 12/21/2019 INT 0.00 0.00 0.00 (141,075.00) 141,075.00 996198FED FARM CR BK /BNYMellon AGNFLOATl 2.4294 ; 2.5034 Capital Market Deals [Transaction Type] ~ SE 84 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 16 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 7/21/2020 12/21/2019 INT 0.00 0.00 0.00 (13,930.25) 13,930.25 965025FANNIE MAE /CASTLE OAK AGNFl 2.7500 / 2.7581 SECURITIES 6/22/2021 12/22/2019 INT 0.00 0.00 0.00 (687,500.00) 687,500.00 964456 WAL-MART /CITIGROUP MTN 2.8500 I 2.8663 STORES INC GLOBAL MARKETS 6/23/2020 12/23/2019 INT 0.00 0.00 0.00 (570,000.00) 570,000.00 965300 WAL-MART /CITIGROUP MTN 2.8500 ; 2.7468 STORES INC GLOBAL MARKETS 6/23/2020 12/23/2019 INT 0.00 0.00 0.00 (7,125.00) 7,125.00 998604FED FARM CR BK /BNYMellon AGNFLOATl 2.4672 I 2.4555 Capital Market 3/23/2020 12/23/2019 INT 0.00 0.00 0.00 (13,858.33) 13,858.33 1048352FNMADISCOUNT /JPMORGAN AGDN 1.5200 · 1.5204 CHASE&CO 12/23/2019 12/23/2019 MAT (15,592,000.00) (15,587,391.70) 0.00 (4,608.30) 15,592,000.00 1049361FED HMLN BKBD /FTN FINANCIAL CALLGOVAGY 1.8200 • 1.8200 12/23/2022 12/23/2019 PURC 30,000,000.00 30,000,000.00 0.00 0.00 (30,000,000.00) 989140FED FARM CR BK /Mizuho Securities AGNFLOATl 2.3249 ; 2.3140 USA Inc 8/24/2020 12/24/2019 INT 0.00 0.00 0.00 (0.01) 0.01 8/24/2020 12/24/2019 INT 0.00 0.00 0.00 (71,583.33) 71,583.33 990764FED FARM CR BK /Mizuho Securities AGNFLOATl 2.3149 I 2.3154 USA Inc 9/25/2020 12/25/2019 INT 0.00 0.00 0.00 (2,704.33) 2,704.33 1049896FED HM LN BK BD /CITIGROUP CALLGOVAGY 2.1500 · 2.8257 GLOBAL MARKETS 9/26/2022 12/26/2019 "LINTERJ (10,000,000.00) (9,764,535.30) 0.00 0.00 9,764,535.30 9/26/2022 12/26/2019 EPAY PRI (10,000,000.00) (9,764,535.30) 0.00 0.00 9,764,535.30 1050168FHLB DISC CORP /JEFFERIES & AGDN 1.5600 1.5650 COMPANY 3/10/2020 12/27/2019 PURC 9,600,000.00 9,569,216.00 0.00 0.00 (9,569,216.00) 1040769FED FARM CR BK /FTN FINANCIAL AGNFl 1.6000 I 1.6220 12/28/2021 12/28/2019 INT 0.00 0.00 0.00 (53,333.33) 53,333.33 937820US TREASURYN/B /BNYMellon TRBDME 1.6250 i 2.0508 Capital Market Deals [Transaction Type] ~ SE 85 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 17 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Extended Fund 6/30/2020 12/31/2019 INT 0.00 0.00 0.00 (284,375.00) 284,375.00 939578 US TREASURY NIB /Mizuho Securities TRBDME 2.1250 ; 2.3254 USA Inc 12/31/2021 12/31/2019 INT 0.00 0.00 0.00 (531,250.00) 531,250.00 939794 US TREASURY NIB /DEUTSCHE TRBDME 1.8750 i 2.1566 6/30/2020 12/31/2019 INT 0.00 0.00 0.00 (93, 750.00) 93,750.00 940013 US TREASURY NIB /Mizuho Securities TRBDME 1.7500 , 2.2487 USA Inc 12/31/2020 12/31/2019 INT 0.00 0.00 0.00 (218,750.00) 218,750.00 975405 US TREASURY NIB /MORGAN TRBDME 1.8750 ' 2.5672 STANLEY 12/31/2019 12/31/2019 INT 0.00 0.00 0.00 (46,875.00) 46,875.00 12/31/2019 12/31/2019 MAT (5,000,000.00) ( 4,955,273.44) 0.00 ( 44, 726.56) 5,000,000.00 996553 US TREASURY NIB /JPMORGAN TRBDME 1.6250 I 2.5766 CHASE&CO 12/31/2019 12/31/2019 INT 0.00 0.00 0.00 ( 162,500.00) 162,500.00 12/31/2019 12/31/2019 MAT (20,000,000.00) (19,821,875.00) 0.00 ( 178,125.00) 20,000,000.00 998606 US TREASURY NIB /MORGAN TRBDME 1.1250 i 2.5554 STANLEY 12/31/2019 12/31/2019 INT 0.00 0.00 0.00 (281,250.00) 281,250.00 12/31/2019 12/31/2019 MAT (50,000,000.00) (49,357,421.85) 0.00 (642,578.15) 50,000,000.00 1005499US TREASURY NIB /JPMORGAN TRBDME 2.3750 2.4796 CHASE&CO 12/31/2020 12/31/2019 INT 0.00 0.00 0.00 (195,937.50) 195,937.50 1050746US TREASURYN/B /CITIGROUP TB ILL 1.4010 , 1.4021 GLOBAL MARKETS 1/21/2020 12/31/2019 PURC 50,000,000.00 49,959,137.50 0.00 0.00 (49,959,137.50) 1050747US TREASURY NIB /CITIGROUP TB ILL 1.4035 1 1.4047 GLOBAL MARKETS 1/21/2020 12/31/2019 PURC 12,000,000.00 11,990,175.50 0.00 0.00 (11,990,175.50) Sub Tota\: lA9:-J 1::-12~.ooo,oo _L.±'l9.27~45·1.26 812/~98.;22_ 0 ~,.. ~42~;Hi8~l (~.474~74R,f95.5.6l Fund: Educational Money Mkt Fnd 1037020FNMADISCOUNT /GREAT AGDN 1.7400 1.7451 PACIFIC SECURITIES 12/2/2019 12/2/2019 MAT (12,000,000.00) (11,964,620.00) 0.00 (35,380.00) 12,000,000.00 Deals [Transaction Type] ~ SE 86 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 18 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Educational Money Mkt Fnd 1046159FHLB DISC CORP /BNYMellon AGDN 1.5800 I 1.5822 Capital Market 1/3/2020 12/2/2019 PURC 1,700,000.00 1,697,612.44 0.00 0.00 (1,697,612.44) 1046163FNMADISCOUNT /GREAT AGDN 1.5700 1.5731 PACIFIC SECURITIES 1/16/2020 12/2/2019 PURC 10,000,000.00 9,980,375.00 0.00 0.00 (9,980,375.00) 1046164FHLB DISC CORP /JEFFERIES & AGDN 1.5300 · 1.5310 COMPANY 12/18/2019 12/2/2019 PURC 2,050,000.00 2,048,606.00 0.00 0.00 (2,048,606.00) 1046185FNMADISCOUNT /CITIGROUP AGDN 1.5700 · 1.5732 GLOBAL MARKETS 1/17/2020 12/2/2019 PURC 10,000,000.00 9,979,938.89 0.00 0.00 (9,979,938.89) 1036849FNMADISCOUNT /TD SECURITIES AGDN 1.7400 · 1.7452 12/3/2019 12/3/2019 MAT (8,000,000.00) (7,976,026.67) 0.00 (23,973.33) 8,000,000.00 1042148US TREASURYN/B /BNYMellon TB ILL 1.5320 1.5338 Capital Market 12/3/2019 12/3/2019 MAT (5,000,000.00) ( 4,994,042.22) 0.00 (5,957.78) 5,000,000.00 1042150US TREASURY NIB /BARCLAYS TB ILL 1.5300 • 1.5318 CAPITAL 12/3/2019 12/3/2019 MAT ( 40,000,000.00) (39,952,400.00) 0.00 (47,600.00) 40,000,000.00 1042152US TREASURY NIB /BNP PARIBAS TB ILL 1.5330 , 1.5348 12/3/2019 12/3/2019 MAT (50,000,000.00) (49,940,383.33) 0.00 (59,616.67) 50,000,000.00 1046397FHLB DISC CORP /CASTLE OAK AGDN 1.4000 1.4002 SECURITIES 12/6/2019 12/3/2019 PURC 11,000,000.00 10,998,716.67 0.00 0.00 (10,998,716.67) 1046398FHLB DISC CORP /MORGAN AGDN 1.5500 ; 1.5511 STANLEY 12/19/2019 12/3/2019 PURC 25,000,000.00 24,982, 777. 78 0.00 0.00 (24,982, 777. 78) 1046399FHLB DISC CORP /BNYMellon AGDN 1.5500 / 1.5510 Capital Market 12/18/2019 12/3/2019 PURC 50,000,000.00 49,967, 708.35 0.00 0.00 (49,967,708.33) 1036785FHLB DISC CORP /GREAT AGDN 1.8200 ; 1.8259 PACIFIC SECURITIES 12/4/2019 12/4/2019 MAT (10,000,000.00) (9,967,644.44) 0.00 (32,355.56) 10,000,000.00 1016453 JOHNSON & /TD SECURITIES MTN 1.8750 I 2.5120 JOHNSON Deals [Transaction Type] ~ SE 87 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 19 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Educational Money Mkt Fnd 12/5/2019 12/5/2019 INT 0.00 0.00 0.00 (0.01) 0.01 12/5/2019 12/5/2019 INT 0.00 0.00 0.00 (2,812.51) 2,812.51 12/5/2019 12/5/2019 MAT (300,000.00) (298,998.00) 0.00 (1,002.00) 300,000.00 1036845 FNMA DISCOUNT /CASTLE OAK AGDN 1.7400 · 1.7455 SECURITIES 12/6/2019 12/6/2019 MAT (10,000,000.00) (9,968,583.33) 0.00 (31,416.67) 10,000,000.00 1038607FHLB DISC CORP /Mizuho Securities AGDN 1.7060 • 1.7105 USA Inc 12/6/2019 12/6/2019 MAT (10,000,000.00) (9,973,462.22) 0.00 (26,537.78) 10,000,000.00 1038836FHLB DISC CORP /BARCLAYS AGDN 1.7250 1.7292 CAPITAL 12/6/2019 12/6/2019 MAT (20,000,000.00) (19,951, 125.00) 0.00 (48,875.00) 20,000,000.00 1043242FHLB DISC CORP /DEUTSCHE AGDN 1.5100 i 1.5115 12/6/2019 12/6/2019 MAT (10,000,000.00) (9,989,933.33) 0.00 (10,066.67) 10,000,000.00 1045296FHLB DISC CORP /TD SECURITIES AGDN 1.4400 ; 1.4406 12/6/2019 12/6/2019 MAT (20,000,000.00) (19,991,200.00) 0.00 (8,800.00) 20,000,000.00 1046397FHLB DISC CORP /CASTLE OAK AGDN 1.4000 1.4002 SECURITIES 12/6/2019 12/6/2019 MAT ( 11,000,000.00) (10,998,716.67) 0.00 (1,283.33) 11,000,000.00 1045305FHLB DISC CORP /BNYMellon AGDN 1.5200 1.5209 Capital Market 12/9/2019 12/9/2019 MAT (24,318,000.00) (24,303,625.36) 0.00 (14,374.64) 24,318,000.00 1047182FHLB DISC CORP /JEFFERIES & AGDN 1.5000 • 1.5023 COMPANY 1/15/2020 12/9/2019 PURC 11,000,000.00 10,983,041.67 0.00 0.00 (10,983,041.67) 1040878US TREASURYN/B /CITIGROUP TB ILL 1.5460 ; 1.5487 GLOBAL MARKETS 12/10/2019 12/10/2019 MAT (30,000,000.00) (29,947,178.33) 0.00 (52,821.67) 30,000,000.00 1040943FHLB DISC CORP /DAIWA AGDN 1.5600 ; 1.5627 CAPITAL MARKETS 12/10/2019 12/10/2019 MAT (15,000,000.00) (14,974,000.00) 0.00 (26,000.00) 15,000,000.00 1047603FHLB DISC CORP /BARCLAYS AGDN 1.5250 ; 1.5278 CAPITAL 1/23/2020 12/10/2019 PURC 10,000,000.00 9,981,361.11 0.00 0.00 (9,981,361.11) 1047608US TREASURYN/B /JEFFERIES & TB ILL 1.5075 1.5093 COMPANY 1/7/2020 12/10/2019 PURC 11,000,000.00 10,987, 102.50 0.00 0.00 (10,987,102.50) Deals [Transaction Type] ~ SE 88 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 20 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Educational Money Mkt Fnd 1035349FHLB DISC CORP /BARCLAYS AGDN 1.9200 I 1.9281 CAPITAL 12/11/2019 12/11/2019 MAT (3, 700,000.00) (3,684,410.67) 0.00 (15,589.33) 3, 700,000.00 1043289FHLB DISC CORP /DAlWA AGDN 1.5350 1.5368 CAPITAL MARKETS 12/11/2019 12/11/2019 MAT (50,000,000.00) (49,940,305.56) 0.00 (59,694.44) 50,000,000.00 1047856FHLB DISC CORP /DAlWA AGDN 1.5000 · 1.5026 CAPITAL MARKETS 1/22/2020 12/11/2019 PURC 20,000,000.00 19,965,000.00 0.00 0.00 (19,965,000.00) 1047860FHLB DISC CORP /BNYMellon AGDN 1.5100 · 1.5101 Capital Market 12/13/2019 12/11/2019 PURC 3,738,000.00 3, 737,686.42 0.00 0.00 (3,737,686.42) 1047862FNMADISCOUNT /BNYMellon AGDN 1.5100 · 1.5127 Capital Market 1/22/2020 12/11/2019 PURC 3,000,000.00 2,994,715.00 0.00 0.00 (2,994,715.00) 104 7866 US TREASURY NIB /BNYMellon TB ILL 1.5050 ; 1.5080 Capital Market 1/28/2020 12/11/2019 PURC 10,000,000.00 9,979,933.33 0.00 0.00 (9,979,933.33) 1042149US TREASURY NIB /DEUTSCHE TB ILL 1.4480 I 1.4502 12/12/2019 12/12/2019 MAT (15,000,000.00) (14,977,676.67) 0.00 (22,323.33) 15,000,000.00 1043288FHLB DISC CORP /JPMORGAN AGDN 1.5350 , 1.5370 CHASE&CO 12/13/2019 12/13/2019 MAT (12,000,000.00) (11,984,650.00) 0.00 (15,350.00) 12,000,000.00 1043708FHLB DISC CORP /JPMORGAN AGDN 1.5500 • 1.5519 CHASE&CO 12/13/2019 12/13/2019 MAT (20,000,000.00) (19,975,888.89) 0.00 (24, 111.11) 20,000,000.00 1047860FHLB DISC CORP /BNYMellon AGDN 1.5100 1 1.5101 Capital Market 12/13/2019 12/13/2019 MAT (3,738,000.00) (3,737,686.42) 0.00 (313.58) 3,738,000.00 1048289FHLB DISC CORP /GREAT AGDN 1.5600 · 1.5635 PACIFIC SECURITIES 2/3/2020 12/13/2019 PURC 10,000,000.00 9,977,466.67 0.00 0.00 (9,977,466.67) 1041972FNMADISCOUNT /JEFFERIES & AGDN 1.5000 · 1.5026 COMPANY 12/16/2019 12/16/2019 MAT (10,000,000.00) (9,982,916.67) 0.00 (17,083.33) 10,000,000.00 Deals [Transaction Type] ~ SE 89 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 21 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Educational Money Mkt Fnd 1042838US TREASURYN/B /MORGAN TB ILL 1.4835 I 1.4859 STANLEY 12/17/2019 12/17/2019 MAT (13,000,000.00) (12,978,571.67) 0.00 (21,428.33) 13,000,000.00 1048715FHLB DISC CORP /BNYMellon AGDN 1.5700 1.5728 Capital Market 1/27/2020 12/17/2019 PURC 15,000,000.00 14,973,179.18 0.00 0.00 (14,973,179.17) 1048718FREDDIE /Mizuho Securities AGDN 1.5500 1.5556 DISCOUNT USA Inc 3/10/2020 12/17/2019 PURC 20,000,000.00 19,927,666.66 0.00 0.00 (19,927,666.67) 1048719FHLB DISC CORP /DAIWA AGDN 1.4700 / 1.4712 CAPITAL MARKETS 1/6/2020 12/17/2019 PURC 6,000,000.00 5,995,100.00 0.00 0.00 (5,995,100.00) 1048720FREDDIE /GREAT AGDN 1.5500 ; 1.5557 DISCOUNT PACIFIC SECURITIES 3/11/2020 12/17/2019 PURC 10,000,000.00 9,963,402. 78 0.00 0.00 (9,963,402.78) 1048721 FREDDIE /GREAT AGDN 1.5500 ; 1.5558 DISCOUNT PACIFIC SECURITIES 3/12/2020 12/17/2019 PURC 11,000,000.00 10,959,269.44 0.00 0.00 (10,959,269.44) 1048724 US TREASURY NIB /MORGAN TB ILL 1.5270 ; 1.5312 STANLEY 2/20/2020 12/17/2019 PURC 10,000,000.00 9,972,429.17 0.00 0.00 (9,972,429.17) 1048725 US TREASURY NIB /JPMORGAN TB ILL 1.5235 i 1.5272 CHASE&CO 2/13/2020 12/17/2019 PURC 15,000,000.00 14,963,182.08 0.00 0.00 (14,963,182.08) 1048726 US TREASURY NIB /JEFFERIES & TB ILL 1.5275 · 1.5311 COMPANY 2/11/2020 12/17/2019 PURC 15,000,000.00 14,964,358.34 0.00 0.00 (14,964,358.33) 1048727US TREASURY NIB /BNYMellon TB ILL 1.5250 · 1.5282 Capital Market 2/4/2020 12/17/2019 PURC 10,000,000.00 9,979,243.06 0.00 0.00 (9,979,243.06) 1048728 US TREASURY NIB /BNYMellon TB ILL 1.5200 ; 1.5233 Capital Market 2/6/2020 12/17/2019 PURC 10,000,000.00 9,978,466.67 0.00 0.00 (9,978,466.67) 1046164FHLB DISC CORP /JEFFERIES & AGDN 1.5300 · 1.5310 COMPANY 12/18/2019 12/18/2019 MAT (2,050,000.00) (2,048,606.00) 0.00 (1,394.00) 2,050,000.00 Deals [Transaction Type] ~ SE 90 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 22 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Educational Money Mkt Fnd 1046399FHLB DISC CORP /BNYMellon AGDN 1.5500 I 1.5510 Capital Market 12/18/2019 12/18/2019 MAT (50,000,000.00) ( 49,967, 708.33) 0.00 (32,291.67) 50,000,000.00 1048765FHLB DISC CORP /CITIGROUP AGDN 1.5300 1.5310 GLOBAL MARKETS 1/3/2020 12/18/2019 PURC 20,000,000.00 19,986,400.00 0.00 0.00 (19,986,400.00) 1048767FHLB DISC CORP /FTN FINANCIAL AGDN 1.5800 · 1.5863 3/18/2020 12/18/2019 PURC 11,000,000.00 10,956,067.22 0.00 0.00 (10,956,067.22) 1048768FHLB DISC CORP /BNYMellon AGDN 1.5500 / 1.5520 Capital Market 1/17/2020 12/18/2019 PURC 2,650,000.00 2,646,577.08 0.00 0.00 (2,646,577.08) 1048769FHLB DISC CORP /JEFFERIES & AGDN 1.5200 i 1.5217 COMPANY 1/13/2020 12/18/2019 PURC 10,000,000.00 9,989,022.22 0.00 0.00 (9,989,022.22) 1048770 FREDDIE /GREAT AGDN 1.5500 · 1.5556 DISCOUNT PACIFIC SECURITIES 3/10/2020 12/18/2019 PURC 20,000,000.00 19,928,527. 78 0.00 0.00 (19,928,527. 78) 1048771FHLB DISC CORP /TD SECURITIES AGDN 1.5500 • 1.5519 1/15/2020 12/18/2019 PURC 2,900,000.00 2,896,503.89 0.00 0.00 (2,896,503.89) 1048772FHLB DISC CORP /CITIGROUP AGDN 1.5600 · 1.5624 GLOBAL MARKETS 1/22/2020 12/18/2019 PURC 5,386,000.00 5,377,831.23 0.00 0.00 (5,377,831.23) 1041976FNMADISCOUNT /FTN FINANCIAL AGDN 1.5000 I 1.5028 12/19/2019 12/19/2019 MAT ( 11,000,000.00) (10,979,833.33) 0.00 (20, 166.67) 11,000,000.00 1046398FHLB DISC CORP /MORGAN AGDN 1.5500 1.5511 STANLEY 12/19/2019 12/19/2019 MAT (25,000,000.00) (24,982, 777. 78) 0.00 (17,222.22) 25,000,000.00 1049217FHLB DISC CORP /BNYMellon AGDN 1.5300 • 1.5318 Capital Market 1/15/2020 12/19/2019 PURC 6,600,000.00 6,592,426.50 0.00 0.00 (6,592,426.50) 1049218FHLB DISC CORP /BARCLAYS AGDN 1.5400 i 1.5416 CAPITAL 1/13/2020 12/19/2019 PURC 1,150,000.00 1,148,770.14 0.00 0.00 (1,148,770.14) 1049219FHLB DISC CORP /FTN FINANCIAL AGDN 1.5300 · 1.5314 1/10/2020 12/19/2019 PURC 2,965,000.00 2,962,227. 73 0.00 0.00 (2,962,227.73) Deals [Transaction Type] ~ SE 91 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 23 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Educational Money Mkt Fnd 1049221 US TREASURY NIB /BNYMellon TB ILL 1.5300 I 1.5359 Capital Market 3/19/2020 12/19/2019 PURC 12,000,000.00 11,953,590.00 0.00 0.00 ( 11,953,590.00) 1042147FNMADISCOUNT /CITIGROUP AGDN 1.5000 1.5028 GLOBAL MARKETS 12/20/2019 12/20/2019 MAT (10,000,000.00) (9,981,250.00) 0.00 (18,750.00) 10,000,000.00 1049265FHLB DISC CORP /FTN FINANCIAL AGDN 1.5850 · 1.5914 3/20/2020 12/20/2019 PURC 10,000,000.00 9,959,934. 72 0.00 0.00 (9,959,934.72) 1043721FHLB DISC CORP /DEUTSCHE AGDN 1.5400 / 1.5425 12/23/2019 12/23/2019 MAT (15,000,000.00) (14,975,616.67) 0.00 (24,383.33) 15,000,000.00 1049337FHLB DISC CORP /BARCLAYS AGDN 1.5500 1.5507 CAPITAL 1/3/2020 12/23/2019 PURC 5,100,000.00 5,097,584.58 0.00 0.00 (5,097,584.58) 1049338FHLB DISC CORP /TD SECURITIES AGDN 1.5600 ; 1.5622 1/24/2020 12/23/2019 PURC 30,000,000.00 29,958,399.99 0.00 0.00 (29,958,400.00) 1042154 US TREASURY NIB /DEUTSCHE TB ILL 1.5100 · 1.5131 12/24/2019 12/24/2019 MAT (7,000,000.00) (6,985,613.06) 0.00 (14,386.94) 7,000,000.00 1049860FHLB DISC CORP /CITIGROUP AGDN 1.5700 · 1.5729 GLOBAL MARKETS 2/5/2020 12/24/2019 PURC 50,000,000.00 49,906,236.10 0.00 0.00 ( 49,906,236.11) 1049861 US TREASURY NIB /JEFFERIES & TB ILL 1.5160 · 1.5178 COMPANY 1/21/2020 12/24/2019 PURC 20,000,000.00 19,976,417.78 0.00 0.00 (19,976,417.78) 1042155 US TREASURY NIB /BARCLAYS TB ILL 1.5200 1.5233 CAPITAL 12/26/2019 12/26/2019 MAT (6,000,000.00) (5,987,080.00) 0.00 (12,920.00) 6,000,000.00 1050164FNMADISCOUNT /MORGAN AGDN 1.5300 ; 1.5323 STANLEY 1/31/2020 12/27/2019 PURC 50,000,000.00 49,925,625.00 0.00 0.00 ( 49,925,625.00) 1050165FNMADISCOUNT /DAIWA AGDN 1.5300 / 1.5323 CAPITAL MARKETS 1/31/2020 12/27/2019 PURC 50,000,000.00 49,925,625.00 0.00 0.00 ( 49,925,625.00) 1050166FHLB DISC CORP /JEFFERIES & AGDN 1.5600 / 1.5624 COMPANY 1/31/2020 12/27/2019 PURC 3,590,000.00 3,584,555.17 0.00 0.00 (3,584,555.17) Deals [Transaction Type] ~ SE 92 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 24 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: Educational Money Mkt Fnd 1050167FHLB DISC CORP /JPMORGAN AGDN 1.5600 I 1.5619 CHASE&CO 1/24/2020 12/27/2019 PURC 17, 765,000.00 17,743,445.12 0.00 0.00 (17,743,445.13) 1050169US TREASURYN/B /CITIGROUP TB ILL 1.5160 1.5200 GLOBAL MARKETS 2/27/2020 12/27/2019 PURC 10,000,000.00 9,973,891.11 0.00 0.00 (9,973,891.11) 1050170US TREASURYN/B /BNYMellon TB ILL 1.5250 · 1.5284 Capital Market 2/18/2020 12/27/2019 PURC 20,000,000.00 19,955,097.22 0.00 0.00 (19,955,097.22) 1050496US TREASURYN/B /MORGAN TB ILL 1.4680 · 1.4710 STANLEY 2/18/2020 12/30/2019 PURC 20,000,000.00 19,959,222.22 0.00 0.00 (19,959,222.22) 1050497US TREASURY NIB /CITIGROUP TB ILL 1.4935 ; 1.4976 GLOBAL MARKETS 3/5/2020 12/30/2019 PURC 11,000,000.00 10,969,881.08 0.00 0.00 (10,969,881.08) 1042153 US TREASURY NIB /JPMORGAN TB ILL 1.5401 ; 1.5438 CHASE&CO 12/31/2019 12/31/2019 MAT (6,000,000.00) (5,985,625.73) 0.00 (14,374.27) 6,000,000.00 1050743FHLB DISC CORP /Mizuho Securities AGDN 1.5000 I 1.5018 USA Inc 1/28/2020 12/31/2019 PURC 1,800,000.00 1, 797,900.00 0.00 0.00 (1,797,900.00) 1050749US TREASURY NIB /JEFFERIES & TB ILL 1.4550 1.4566 COMPANY 1/28/2020 12/31/2019 PURC 20,000,000.00 19,977,366.66 0.00 0.00 (19,977,366.67) Sub Total: ..L'!J,28~,000,,_~ J_~!.Jl2d!L'i.}9 _QJ~ c:_6H.t06. t Zl { l87jl'78&:;2.1_..;1 Fund: 283..John Wayne Airport 1046401FHLB DISC CORP /FTN FINANCIAL AGDN 1.5850 1.5928 3/23/2020 12/3/2019 PURC 5,000,000.00 4,975,564.58 0.00 0.00 (4,975,564.58) 1036784FHLB DISC CORP /GREAT AGDN 1.8200 1.8259 PACIFIC SECURITIES 12/4/2019 12/4/2019 MAT ( 4,000,000.00) (3,987,057. 78) 0.00 (12,942.22) 4,000,000.00 1046596FHLB DISC CORP /DEUTSCHE AGDN 1.5850 1.5905 2/21/2020 12/4/2019 PURC 5,500,000.00 5,480,869.93 0.00 0.00 (5,480,869.93) Deals [Transaction Type] ~ SE 93 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 25 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: 283..John Wayne Airport 1019151 US TREASURY NIB /UBS TB ILL 2.1530 I 2.1767 FINANCIAL SERVICES 12/12/2019 12/12/2019 MAT (2,000,000.00) ( 1,978,230. 78) 0.00 (21,769.22) 2,000,000.00 1037499FHLB DISC CORP /BARCLAYS AGDN 1.7200 1.7258 CAPITAL 12/13/2019 12/13/2019 MAT ( 4,000,000.00) (3,986,622.22) 0.00 (13,377.78) 4,000,000.00 1048291 US TREASURY NIB /RBC TRBDME 1.3750 · 1.6226 8/31/2020 12/13/2019 PURC 4,000,000.00 3,992,968. 75 15,714.29 0.00 (4,008,683.04) 1026701 US TREASURY NIB /BNYMellon TRBDME 1.8750 / 2.0991 Capital Market 12/31/2019 12/31/2019 INT 0.00 0.00 0.00 (28,125.00) 28,125.00 12/31/2019 12/31/2019 MAT (3,000,000.00) (2,997,187.50) 0.00 (2,812.50) 3,000,000.00 1030659US TREASURY NIB /JEFFERIES & TRBDME 1.8750 1.9587 COMPANY 12/31/2019 12/31/2019 INT 0.00 0.00 0.00 (28,125.00) 28,125.00 12/31/2019 12/31/2019 MAT (3,000,000.00) (2,999,062.50) 0.00 (937.50) 3,000,000.00 1040944FHLB DISC CORP /DEUTSCHE AGDN 1.5700 i 1.5742 12/31/2019 12/31/2019 MAT (5,000,000.00) ( 4,986,698.61) 0.00 (13,301.39) 5,000,000.00 ~ub 1ota!: !Q,_~Jllfi. 09.} llic'~:i:\6. I.,li J5.,7-J,U;_)_ ill_~Q&ll 6.5_9 iJ.:}2.45_ Fund: 650-Fountain Valley SD40 1019609FED FARM CR BK /MORGAN AGNFl 2.1600 , 1.9601 STANLEY 6/3/2024 12/3/2019 INT 0.00 0.00 0.00 (37,422.00) 37,422.00 963950 FED HM LN BK BD /FTN FINANCIAL AGNFl 3.2500 1 2.8430 6/9/2023 12/9/2019 INT 0.00 0.00 0.00 (55,737.50) 55,737.50 911416US TREASURY NIB /DEUTSCHE TRBDME 1.7500 1.8449 6/30/2022 12/31/2019 INT 0.00 0.00 0.00 (30,625.00) 30,625.00 S"b Total: J!&Q.. _Q;_Q_"!_ J.ljl_i_l_ {123.784.5(!) . 123284.50 Fund: 650-CCCD SERIES 2017E 981587FED HM LN BK BD /CITIGROUP AGNFl 2.7500 I 3.4669 GLOBAL MARKETS 12/10/2027 12/10/2019 INT 0.00 0.00 0.00 (2,475.00) 2,475.00 967776 FED HM LN BK BD /DEUTSCHE AGNFl 3.1250 ! 3.1846 6/11/2027 12/11/2019 INT 0.00 0.00 0.00 (6,015.63) 6,015.63 1001372FED FARM CR BK /FTN FINANCIAL AGNFl 3.1250 . 2.9561 Deals [Transaction Type] ~ SE 94 County of Orange Run Date: 15-Jan-2020 05: 12 pm Page 26 of26 Treasurer-Tax Collector's Office Print Date: 1/15/2020 User: tn Detail Transaction Report Transaction Date From 01-Dec-2019 To 31-Dec-2019 Deal Issuer Broker Inst Maturity Trans Trans Coupon/ Par Value Cost Purchased (Interest) Settlement Type Date Date Type Yield(%) Interest Amort I (Aceret) (Gain) I Loss Fund: 650-CCCD SERIES 2017E 6/15/2027 12/15/2019 INT 0.00 0.00 0.00 (3,515.63) 3,515.63 1026648FED FARM CR BK /FTN FINANCIAL AGNFl 2.7300 / 2.2650 12/20/2027 12/20/2019 INT 0.00 0.00 0.00 (1,870.05) 1,870.05 948856FED FARM CR BK /MORGAN AGNFl 4.4400 . 3.3596 STANLEY 12/27/2033 12/27/2019 INT 0.00 0.00 0.00 (5,838.60) 5,838.60 1005676FED FARM CR BK /MORGAN AGNFl 5.2500 , 2.8900 STANLEY 12/28/2027 12/28/2019 INT 0.00 0.00 0.00 (1,181.25) 1, 181.25 Sub Tot3!'. J.)J~ JU!Q. l!:.~!L QJ1l,_26.1 Grand Total: ______1,881, 796,000.00 ----- 1,875,816,398.90 --- 918,665. 77 ___(17,901,869.82) ----- (1,858,833, 194.83) Deals [Transaction Type] ~ SE 95 Page 1 of 4 1/13/2020 County of Orange Treasurer-Tax Collector's Office 12:23:11 PM MONEY MARKET MUTUAL FUNDS AND LAIF TRANSACTIONS REPORT For 01-0ec-2019 to 31-0ec-2019 Cashflow Deposit Slip Deal Date Transaction Description Instrument Amount Code Counterparty No AIM#Sl 102--692 INVESCO STIC GOVERNMENT & AGENCY 12/4/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 15,517,078.79 INVESCO STIC GOVERNMENT & AGENCY 1046667 Sub Total Amount Per 15,517,078.79 AIM#Sl 103--694 INVESCO STIC GOVERNMENT & AGENCY 12/2/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (524,325.00) INVESCO STIC GOVERNMENT & AGENCY 1046226 12/9/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (3,057,255.55) INVESCO STIC GOVERNMENT & AGENCY 1047416 12/23/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (31,440,727.58) 49332 INVESCO STIC GOVERNMENT & AGENCY 1049331 Sub Total Amount Per (35,022,308.13) GS283 GOLDMAN SACHS -J WA MMF 12/2/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 2,000,000.00 GOLDMAN SACHS Fl NL SQ GOVT 1046202 12/4/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (1,480,264.75) GOLDMAN SACHS Fl NL SQ GOVT 1046666 Sub Total Amount Per 519,735.25 GS692 GOLDMAN SACHS -COUNTY MMF 12/2/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 12,000,000.00 GOLDMAN SACHS Fl NL SQ GOVT 1046199 12/3/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (5,670,895.02) GOLDMAN SACHS Fl NL SQ GOVT 1046406 12/5/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (46,700,960.50) GOLDMAN SACHS Fl NL SQ GOVT 1046893 12/6/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 65, 000, 000. 00 GOLDMAN SACHS Fl NL SQ GOVT 1047141 12/10/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (4,988,684.52) GOLDMAN SACHS Fl NL SQ GOVT 1047626 12/11/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 45,899, 145.78 GOLDMAN SACHS Fl NL SQ GOVT 1047872 12/16/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 4,189,546.71 GOLDMAN SACHS Fl NL SQ GOVT 1048358 12/19/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (45,000,000.00) GOLDMAN SACHS Fl NL SQ GOVT 1049223 12/23/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (4,478,404.42) GOLDMAN SACHS Fl NL SQ GOVT 1049347 Sub Total Amount Per 20,249, 748.03 GS694 GOLDMAN SACHS -EDUCATIONAL MMF 12/13/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (4,956,397.67) GOLDMAN SACHS Fl NL SQ GOVT 1048288 12/16/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (7,792,860.00) GOLDMAN SACHS Fl NL SQ GOVT 1048359 12/26/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 4,405,934.00 GOLDMAN SACHS Fl NL SQ GOVT 1049904 12/27/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 40, 197,657.37 GOLDMAN SACHS Fl NL SQ GOVT 1050162 96 Page 2 of 4 1/13/2020 County of Orange Treasurer-Tax Collector's Office 12:23:11 PM MONEY MARKET MUTUAL FUNDS AND LAIF TRANSACTIONS REPORT For 01-0ec-2019 to 31-0ec-2019 Cashflow Deposit Slip Deal Date Transaction Description Instrument Amount Code Counterparty No Sub Total Amount Per 31,854,333.70 LAIF -EXTENDED FUND LAIF -EXTENDED FUND 12/2/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 1,841,000.00 LOCALAGENCYINVESTMENTFUND 1046198 12/11/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 3, 130,000.00 LOCALAGENCYINVESTMENTFUND 1047871 12/12/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 3,181,000.00 LOCALAGENCYINVESTMENTFUND 1048076 12/16/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 560,000.00 LOCALAGENCYINVESTMENTFUND 1048357 12/17/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (7,633,000.00) LOCALAGENCYINVESTMENTFUND 1048729 12/19/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 51,000.00 LOCALAGENCYINVESTMENTFUND 1049220 12/20/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (1,977,000.00) LOCALAGENCYINVESTMENTFUND 1049279 12/23/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (10,000,000.00) LOCALAGENCYINVESTMENTFUND 1049340 12/24/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 75,000.00 LOCALAGENCYINVESTMENTFUND 1049704 12/26/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 10,057,000.00 LOCALAGENCYINVESTMENTFUND 1049902 12/30/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 54,000.00 LOCALAGENCYINVESTMENTFUND 1050493 12/31/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 15,000,000.00 LOCALAGENCYINVESTMENTFUND 1050556 Sub Total Amount Per 14,339,000.00 MORGAN 283 MORGAN STANLEY GOVT 8302-::1 WA MMF 12/2/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 5,000,000.00 46195 MORGAN STANLEY INST LIQUIDITY FUND 1046194 12/3/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (4,975,564.58) 46396 MORGAN STANLEY INST LIQUIDITY FUND 1046395 12/12/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 2,000,000.00 48075 MORGAN STANLEY INST LIQUIDITY FUND 1048074 12/13/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (8,683.04) 48281 MORGAN STANLEY INST LIQUIDITY FUND 1048280 Sub Total Amount Per 2,015, 752.38 MORGAN 692 MORGAN STANLEY GOVT 8302-COUNTY MMF 12/2/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 89,317,059.61 46197 MORGAN STANLEY INST LIQUIDITY FUND 1046196 12/3/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (20,000,000.00) 46394 MORGAN STANLEY INST LIQUIDITY FUND 1046393 12/5/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (69,400,000.00) 46865 MORGAN STANLEY INST LIQUIDITY FUND 1046864 12/6/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 110,423,287.00 46927 MORGAN STANLEY INST LIQUIDITY FUND 1046926 12/9/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (50,791,589.73) 47395 MORGAN STANLEY INST LIQUIDITY FUND 1047394 12/10/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 61,689,949.67 47444 MORGAN STANLEY INST LIQUIDITY FUND 1047443 12/11/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 50,000,000.00 47855 MORGAN STANLEY INST LIQUIDITY FUND 1047854 12/12/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (47,279,924.55) 48073 MORGAN STANLEY INST LIQUIDITY FUND 1048072 97 Page 3 of 4 1/13/2020 County of Orange Treasurer-Tax Collector's Office 12:23:11 PM MONEY MARKET MUTUAL FUNDS AND LAIF TRANSACTIONS REPORT For 01-0ec-2019 to 31-0ec-2019 Cashflow Deposit Slip Deal Date Transaction Description Instrument Amount Code Counterparty No 12/13/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (953,832.56) 48287 MORGAN STANLEY INST LIQUIDITY FUND 1048286 12/16/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 60,000,000.00 48346 MORGAN STANLEY INST LIQUIDITY FUND 1048345 12/17/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (271,669.21) 48714 MORGAN STANLEY INST LIQUIDITY FUND 1048713 12/18/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (29,521,862.01) 48763 MORGAN STANLEY INST LIQUIDITY FUND 1048762 12/19/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (40,422,907.71) 49213 MORGAN STANLEY INST LIQUIDITY FUND 1049212 12/20/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (32, 191, 178.56) 49262 MORGAN STANLEY INST LIQUIDITY FUND 1049261 12/23/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (15,000,000.00) 49330 MORGAN STANLEY INST LIQUIDITY FUND 1049329 12/24/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 4,525,950.33 49583 MORGAN STANLEY INST LIQUIDITY FUND 1049582 12/26/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (24,536,772.23) 49901 MORGAN STANLEY INST LIQUIDITY FUND 1049900 12/27/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 19,902,597.00 50160 MORGAN STANLEY INST LIQUIDITY FUND 1050159 12/30/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 36,496,358.16 50487 MORGAN STANLEY INST LIQUIDITY FUND 1050486 12/31/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (65,491,256.33) 50554 MORGAN STANLEY INST LIQUIDITY FUND 1050553 Sub Total Amount Per 36,494,208.88 MORGAN 694 MORGAN STANLEY GOVT 8302-EDUCATIONAL 12/2/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 21,334,716.67 46193 MORGAN STANLEY INST LIQUIDITY FUND 1046192 12/3/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 7,579,421.22 46392 MORGAN STANLEY INST LIQUIDITY FUND 1046391 12/4/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 7,698,931.00 46634 MORGAN STANLEY INST LIQUIDITY FUND 1046633 12/5/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (3,392,336.00) 46867 MORGAN STANLEY INST LIQUIDITY FUND 1046866 12/6/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 521,961.00 46923 MORGAN STANLEY INST LIQUIDITY FUND 1046922 12/9/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (936,283.17) 47399 MORGAN STANLEY INST LIQUIDITY FUND 1047398 12/10/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (20,577,261.31) 47442 MORGAN STANLEY INST LIQUIDITY FUND 1047441 12/11/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 10,428,055.25 47853 MORGAN STANLEY INST LIQUIDITY FUND 1047852 12/12/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 148,335.00 48071 MORGAN STANLEY INST LIQUIDITY FUND 1048070 12/13/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (10,000,000.00) 48285 MORGAN STANLEY INST LIQUIDITY FUND 1048284 12/17/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 41,523,629.63 48712 MORGAN STANLEY INST LIQUIDITY FUND 1048711 12/18/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (4,641,945.42) 48761 MORGAN STANLEY INST LIQUIDITY FUND 1048760 12/19/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 4,367,482.63 49209 MORGAN STANLEY INST LIQUIDITY FUND 1049208 12/20/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (22,931,559.72) 49260 MORGAN STANLEY INST LIQUIDITY FUND 1049259 12/24/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 41,242,410.11 49581 MORGAN STANLEY INST LIQUIDITY FUND 1049580 12/30/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (10,873,684.30) 50485 MORGAN STANLEY INST LIQUIDITY FUND 1050484 12/31/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (7, 102,367.67) 50552 MORGAN STANLEY INST LIQUIDITY FUND 1050551 98 Page 4 of 4 1/13/2020 County of Orange Treasurer-Tax Collector's Office 12:23:11 PM MONEY MARKET MUTUAL FUNDS AND LAIF TRANSACTIONS REPORT For 01-0ec-2019 to 31-0ec-2019 Cashflow Deposit Slip Deal Date Transaction Description Instrument Amount Code Counterparty No Sub Total Amount Per 54, 389, 504. 92 NORTHERN TRUST NORTHERN INST U.S. TREASURY PORTFOLIO 12/10/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 2,475.00 NORTHERN TRUST COMPANY 1047612 12/11/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 6,015.63 NORTHERN TRUST COMPANY 1047873 12/16/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 3,515.63 NORTHERN TRUST COMPANY 1048360 12/19/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND (1,024.55) NORTHERN TRUST COMPANY 1049222 12/20/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 1,870.05 NORTHERN TRUST COMPANY 1049283 12/27/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 5,838.60 NORTHERN TRUST COMPANY 1050163 12/30/2019 ACTUAL CASHFLOW MONEY MARKET MUTUAL FUND 1,181.25 NORTHERN TRUST COMPANY 1050504 Sub Total Amount Per 19,871.61 Total Amount : 140,376,925.43 99 MONTHLY TREASURER'S INVESTMENT REPORT Distribution List County of Orange Elected Officials Honorable Don Barnes, Sheriff-Coroner Buena Park School District Honorable Hugh Nguyen, Clerk-Recorder Capistrano Unified School District Honorable Claude Parrish, Assessor Centralia School District Honorable Todd Spitzer, District Attorney/Public Cypress School District Administrator Fountain Valley School District Frank Davies, Auditor Controller Fullerton School District Fullerton Joint Union High School District Treasury Oversight Committee Garden Grove Unified School District Gary Capata Huntington Beach City School District Alisa Cutchen Huntington Beach Union High School District Frank Kim Irvine Unified School District Al Mijares Laguna Beach Unified School District Laura Parisi La Habra City School District Richard Rohm Los Alamitos Unified School District Lowell Joint School District County of Orange Departments Magnolia School District Assessor Newport-Mesa Unified School District Auditor-Controller Ocean View School District Campaign Finance and Ethics Commission Orange Unified School District Child Support Services Placentia-Yorba Linda Unified School District Clerk of the Board Saddleback Valley Unified School District Clerk-Recorder Santa Ana Unified School District County Counsel Savanna School District County Executive Office Tustin Unified School District District Attorney/Public Administrator Westminster School District Health Care Agency Human Resources Services Orange County Community College Districts Independent Review (CCD) Internal Audit Coast CCD John Wayne Airport North Orange County CCD OC Community Resources Rancho-Santiago CCD OC Public Works South Orange County CCD OC Waste & Recycling Probation Orange County Regional Occupational Programs Public Defender (ROP) Registrar of Voters Capistrano-Laguna Beach ROP Sheriff-Coroner Coastline ROP Social Services Agency North Orange County ROP County Agencies Voluntary Pool Participants (date approved) Civic Center Commission Serrano Water District (6-22-99) First 5 Orange County Children & Families Commission City of Villa Park (10-2-01) In-Home Supportive Services City of Tustin (5-21-02) Law Library Mesa Water District (8-9-02) Orange County Employees Retirement System Orange County Water District (3-30-04) Orange County Cemetery District Municipal Water District of OC (7-27-04) Orange County Fire Authority Orange County Mosquito and Vector Control District Orange County Transportation Authority (11-14-06) Transportation Corridor Agencies Buena Park Library District (2-9-10) Local Agency Formation Commission (10-5-10) State of California Villa Park Community Services Foundation (4-5-11) CDIAC City of Laguna Niguel (3-13-14) Superior Court City of Lake Forest (12-16-15) Foothill/Eastern TCA (10-14-16) Orange County School Districts San Joaquin Hills TCA (10-14-16) Orange County Department of Education Foothill/Eastern TCA/RCC (11-17-16) Anaheim City School District City of Laguna Woods (5-10-17) Anaheim Union High School District City of Mission Viejo (10-2-17) Brea-Olinda Unified School District Placentia Library District (10-16-17) 8/20/2019 100