The balance of unrestricted funds as of September 30, 2016 was $9,304,143 which includes a $2.5M cash reserve. Restricted funds include the Preservation and Improvement Fund (“PIF”) and the Capital Reserve Fund. As of September 30, 2016, PIF had a balance of $8,428,639 plus $577,000 collected in September that was transferred into the PIF account the first part of October 2016. The Capital Reserve Fund had a balance of $5,034,304 as of month end.
The corporation has operated within its budget for the 2016 fiscal year.
Investment Report 3rd Quarter 2016:
RCSC’s Investment Policy (Board Policy 33) is stringent in its requirements with the priority of investment objectives to be placed in this order: 1) safety, 2) liquidity, and 3) yield.
At the end of the third quarter, $2,486,982.06 (cost basis) of the $2.5M unrestricted cash reserve has been invested in various FDIC insured certificates of deposit. Year-to-date these investments along with the unrestricted money market account have produced interest income of $35,205.87 with management fees of $3,772.77 for a net income on unrestricted funds investments of $31,433.10.
As of September 30, 2016, $4,975,242.10 (cost basis) of the $5M restricted capital reserve has been invested in various FDIC insured certificates of deposit and corporate bonds. Year-to-date these investments have produced interest income of $32,859.34 with management fees of $7,519.44 for a net income on restricted capital reserve investments of $25,339.90