The balance of unrestricted funds as of December 31, 2021 was $17,497,266 which includes a $2.5M cash reserve. Restricted funds include the Preservation and Improvement Fund (“PIF”) and the Capital Reserve Fund. As of December 31st, 2021, PIF had a balance of $27,429,091 plus $861,700 collected in December that was transferred into the PIF account the first part of January 2022. The Capital Reserve Fund had a balance of $5,532,194 as of month end.
The corporation operated within its budget year to date 2021.
Investment Report 4th Quarter 2021:
RCSC’s Investment Policy (Bylaws Article XIII) is stringent in its requirements with the priority of investment objectives which are placed in this order: 1) safety, 2) liquidity, and 3) yield.
At the end of the fourth quarter 2021, $3,153,288 (cost basis) of the $2.5M unrestricted cash reserve and other unrestricted funds have been invested in various FDIC insured certificates of deposit, treasury bills and corporate bonds. In 2021, these investments along with the unrestricted money market account have produced interest income of $93,540 with management fees of $7,461 for a net income on unrestricted fund investments of $86,079.
As of December 31, 2021, $4,103,783 (cost basis) of the $5.0M restricted capital reserve plus interest earned has been invested in various FDIC insured certificates of deposit and corporate bonds. Year-to-date, these investments have produced interest income of $117,789 with management fees of $8,950 for a net income on restricted capital reserve investments of $108,839.
At the end of the fourth quarter 2021, $3,674,063 (cost basis) of the $25.2M in the restricted Preservation and Improvement Fund has been invested in various FDIC insured certificates of deposit, treasury bills and corporate bonds. Year-to-date these investments have produced interest income of $145,474 with management fees of $9,876 for a net income on restricted fund investments of $135,599.