MINUTES OF THE DECEMBER
05, 2007 EMERGENCY MEETING
FOR THE
MATLACHA/PINE
Call to Order: The meeting was called to order at 1 p.m.
Roll Call: Commissioners Cox, Cole, Elder, Cammick and Peckinpaugh were present.
Deputy Chief Marzella and Administrative Assistant
Business: Discuss and enact actions regarding the financial and banking matters of the district.
Commissioner Elder: The meeting has been called at the recommendation of Jeff Tuscan, Tuscan & Co. I’m going to ask because this is an emergency meeting and we’ve called it as such without much advance notice so that the public could be here. I’ve asked administrative assistant to do 2 things: (1) any motions that are made she will be writing them, so speak clearly and slowly so she can read them back for the record. (2) the minutes as opposed to normal where the minutes are done in abbreviated fashion she will be transcribing the minutes verbatim so that the public can see and read every word that was spoken. That’s all in agreement with the board I assume. Board agrees. With that our Treasurer has been involved we will let Mr. Cammick have the floor.
Commissioner Cammick: Before I get started I’m going to need, before I’m done the exact figures we have in our accounts, which you may have and how they’re separated into Impact Fees and all those things. You people pretty much know the history of how this started, so the meeting that I was at via phone the other day, was yesterday, pretty much described what they planned on some of the ideas that they were going to use. After going through that meeting it was extremely professional, it’s amazing what a good job they came up with, as far as ideas and things like that. Commissioners questioned who he was referring to. Commissioner Cammick: BlackRock which was hired by the state to deal with this situation. So to give you the facts; the fund used to have about $27 billion in it now it has about $14 billion because of all the people pulling money out. Out of that $14 million, 8% is under stress and 6% is in default status; now default just means that they’re not paying their interest, doesn’t mean that you are going to loose all your money. The minute a bond doesn’t pay their interest the value of it goes down, and that was driving the value down, these were driving the value down in the fund that is why people got afraid. 86% is considered AAA, you can’t get any safer investments than those unless they were quick matured. Average maturity, the furthest they can go out is 13 months, so this money here is all going to mature by 12/07/07 and 2/2008 that would all turn over. That’s the same with this except when you have a defaulted bond it may have to take longer to reorganize so technically some of these bonds could go 1, 2 or 3 years by the time you get all your money back. So with those facts what the SBA did was say they wanted to set up two accounts A shares and B shares, so your are going to have shares. So they say the B shares are going to hold all the under stress and defaulted bonds you cannot sell B shares, you can’t sell them; 14%, if you had a $1 million in there $140,000 of your money ends up in B shares. You’re not going to be able to sell until they okay it at a later date probably not for a year at least. Commissioner Elder: Before you go any farther with that did that come from the commentary from Bloomberg? Commissioner Cammick: No. Commissioner Elder: Because I spoke with Jeff Tuscan yesterday evening about 5:30 and he had spoken with someone he said she, at the SBA, and that the $2 million was the magic number that if you are under $2 million a 100%. Commissioner Cammick: This is a different thing. This here is just B shares. Commissioner Elder: No I understand but you said if you have a million dollars, Jeff Tuscan said that’s not the case, said the case is if you’re under $2 million you can have all your money. Commissioner Cammick: You’re right but this is, you can’t have all your money. Commissioner Elder: Yes. Commissioner Cammick: For the B shares. Commissioner Elder: Jeff Tuscan disagrees with you by his conversation with the SBA. Commissioner Cox: You are saying that we have no money that has been put into the B share category. Commissioner Elder: Right. Commissioner Cammick: I haven’t heard that and they didn’t mention that yesterday they just said you can’t. But let’s go under the assumption, my assumption would be the worse possible scenario. Commissioners reply okay. Commissioner Peckinpaugh: There’s an article, there was a current article in the paper $2 million. Commissioner Elder: It was an interpretation from Bloomberg, if you read where that came from. Commissioner Cammick: No this here is from my notes yesterday. Commissioner Peckinpaugh: It makes no reference to that. Commissioner Cammick: We were talking to BlackRock, SBA and everybody there. So this is the A shares, A shares is going to have the 86% this is where you can pull your 15% or your $2 mil out of, whichever is greater. So that is where we can get our money so my assumption was that if you had $1 million in there $140,000 stays in there and for us you can take the whole balance out the other $860,000 you can keep. Commissioner Peckinpaugh: Do we have any knowledge as to if we have any money in B? Commissioner Cammick: Everyone has money in B. Commissioner Peckinpaugh: Everybody does. Commissioner Cammick: They have $14 billion they took all the bad bonds and put them in B and they put all the good ones in A, you have. Commissioner Peckinpaugh: But the bad ones are worth about what 14%. Commissioner Cammick:
So they separated the shares you own B shares but you can’t get your money out of them. Your A shares you can get out anytime, we can call the SBA after this and get this but this is the worse scenario, and this is the way I got it from when we talked yesterday. So the A shares is where you are taking your money out of. Now if you take more than your allotted amount out then that’s where you pay the 2% penalty for taking it out. But in order to keep people happy and keep people putting money into here they have set it up the two side’s new money and old money. So that us and everyone else doesn’t mind putting our money in this A account with all the AAA bonds, any new money there is never a fee to get it out. So they’re going to keep track of our money in this A account between new money and old money. So if we had some of these people that have $10 million in here if they wanted that whole thing out they have to pay all those fees, so their not going to want to put money in there. Commissioner Cole: What fees are those? Commissioner Cammick: 2% penalty. Commissioner Cole: 2% over $2 million or 15%. Commissioner Cox: Over your total investment you’re A value. Commissioner Cammick: Right they want to keep money in here so technically they could still be putting money in A shares pulling that out at anytime they want without a fee and then just take money out of B shares whenever they are allowed without a fee if they have enough. Commissioner Elder: But in our case we’re under the $2 million and so assuming your scenario is right we could take 86% of our money out tomorrow if they open it up. Commissioner Cammick: Correct. Commissioner Elder: Because that’s well under the $2 million. Commissioner Cammick: So we would get about $1.3 million in our hand and then we would end up with B shares account and let’s say if you wanted to you could turn right around the next day and put it right back in now your in the new money. Now anytime you want you can pull this back out. So that’s going to be some possibility for us to look at a %. Commissioner Cox: From what I’m hearing there seems to be Bob’s interpretation so we need to get some updated information about the status of our total amount of money which is less than $2 million. Commissioner Elder: Jeff Tuscans conversation and he asked specifically he told me he asked the question the answer was if you’re under $2 million you can take all of your money; that you don’t fall into the 86%/14%. Commissioner Cammick: It doesn’t matter to us because the worse is what I just said if that’s not it then that means we get the whole $1.5 and technically we can say we don’t have B’s why don’t we put back the $300,000 that was in B’s and we’ll stick that back into new. So you could do all kinds of things. Commissioner Cox:
I think either way
we’re in better shape than probably a lot of others. Commissioner
Cammick: Yeah because we’re so
small. They’ve set up so you can borrow
off your money if you don’t want to take it out early, doesn’t pertain to us
because we’re not big enough holders. Commissioner Cox: And they’ve drawn down from how many billion
into $14 million? Commissioner Cammick: $27 billion.
Commissioner Cox: That is just amazing you can see if how they
continued on they would be bankrupt. Commissioner Cammick: The safest part of this whole deal is with
SBA is they have the power to stop, banks don’t have that power they can’t just
say we aren’t going to start paying you we are going to stop it stop the
run. They stopped the run on this and this
is a brilliant idea force people to leave their money in the bad one and make
everyone feel really really comfortable about this. This isn’t going to hurt because most people
can withstand leaving 14% of their money in there plus they didn’t have any
choice. That’s why they hired those guys
and that’s a good idea. So they are going to hold this to maturity let them get
back a big % net asset value and any interest it earns hopefully it makes up
for the portion of the lose if there is any which I’m sure there will be. Commissioner
Peckinpaugh: A couple things am I
correct that the under stress bonds are the bonds that got down graded from a C
to a D-; which devaluated them by $700 million that started this snowball. Commissioner
Cammick: I would say the default
ones were first the default were obviously under stress before they were
defaults so I would say this is probably what started your right. Commissioner
Peckinpaugh: Is this the sub prime
money, mortgage money that they bought.
But the thing that really disturbs me that was brought up in the
articles from today and yesterday and I was curious as to what Jeff’s opinion
would be today because he told the chief and the chief told me Thursday that
don’t worry our money is protected by the State of Florida and I said well
that’s good that’s just nothing more than you’s and me’s. Commissioner
Cox: Lets take it from the left pocket
and put it in the right pocket. Commissioner Cammick: But it isn’t.
Commissioner Peckinpaugh: But these articles are saying now that the
State of
Commissioner Cammick: You want me just to finish this and then we can do it?
Commissioner Elder: Sure. Commissioner Cammick: I look at it a little differently than Bob, having been in the security business the reaction in what these people came up to do was brilliant and when you’re in a run they had to take some time to figure out what to do and they didn’t want to stop the second the run started so I think I don’t have a problem with what they did maybe the fact that how they invested it but when they wanted to fix it and we do want to remember that they have set up a few other things. They’ve set it up so you can borrow from other entities, like banks they are setting up deals with. So if this ever happened again the people that need their money and don’t want to pay the 2% they can borrow off the contract. Kind of like we could borrow a $1 million off our $2 million in there as an equity and it would be extremely low interest rates because they would be backed up by cash. Most all these are going to mature in 6 months the new fund is going to be more like a money market than it is now so it’s not going to pay as much; you’re going to have shorter term even though 13 months isn’t very long it’s going to be shorter than that. That’s going to be for the new and old money in this account, going to earn money market rates. Benefit smaller share holders which it did because the way they set it up to get money out. They figure the best they are going to do is get 60% of B back but they will know more by March. Commissioner Cole: Get 60% of their original $27 million. Commissioner Cox: In the amount of money in fund B. Commissioner Cammick: But they will know that by March because there are going to be a lot of. Commissioner Elder: Which is going to amount to about a 3% loss of the total fund approximately. Commissioner Cammick: That is it and I have some ideas but when it comes time for ideas and what to do I will talk about that afterwards. Commissioner Elder: Have you got your copy of the Investment portion of our guidelines? If you take a moment to go to (E) Prudence. Commissioner Cammick: This fund doesn’t have what we have in Fifth Third. Linda: It’s only talking about the SBA. Commissioner Cammick: When you’re investing money you have to know the total amount of what you have. Linda: My understanding was the meeting was for the SBA Fund. Commissioner Cammick: But I wouldn’t invest money without knowing where other things are so I would just like to know how much we have with Fifth Third. Linda:
There is approximately $800,000. I can go pull the information. Commissioner Peckinpaugh: Some of ad valorem has already gone into Fifth Third, correct. Commissioner Elder: And it’s going to continue to go in there. Commissioner Cammick: No I just wanted to know, it makes a big difference on weather how much we may or may not leave in the SBA or what we might do with other banks when we decide we’ve almost got $1 million in this account that’s why I just wanted to know. Commissioner Elder: Let’s get through and decide how we go about deciding. Linda:
Mr. Peckinpaugh had asked a question about the last tax money. The last $704,000 that we had thought went into SBA did not go into the SBA it went into Fifth Third that’s why Fifth Third is higher. Commissioner Elder: But Fifth Third is just as a point of reference Fifth Third is our depository is our daily bank. So when we get tax money in it’s going to go into Fifth Third. Linda: From now on yes. Commissioner Elder:
Now from there once there get’s to be a balance in Fifth Third if we choose to make an investment or transfer or buy CD’s or whatever we decide to do it will come out of that account and that will be our general account that we operate from and we’ll decide, Linda and the Chief will decide how much to leave in there to operate with. That’s what Jeff Tuscans comments were; don’t trade one situation for another and go right back into one bank. We’re in some what of unexplored territory here. So anyway if we can get back to this Prudence. Commissioner Cammick: Did we pay off the equity line? Linda: Not yet I was waiting for direction from the board today. Commissioner Cammick: I had mentioned yesterday that that would be a good thing for us to do. Linda: All I have to do is call Jim Mitchell and tell him we are going to do that. Commissioner Peckinpaugh:
What did we borrow? Linda: $150,000. Commissioner Cammick: So we have $150,000 out that we are paying interest on so we want to quit that. Commissioner Elder:
So you want to read through the Prudence under E: The standard of prudence to be applied by the Investment Officer shall be the “Prudent Person” rule, which states:
“investments shall be made with judgment and care, under circumstances then prevailing, which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital, as well as the probable income derived.” So our decision needs to be not just on how much income we made potentially we get from where ever we put our money; but the security of where that money is so that we don’t potentially loose it. Because we did such a laborious project of selecting a bank, banking relationship when we ended with Fifth Third I did a little research and talked to Jeff Tuscan and we do not there is no need for the district a requirement for the district to go out and bid banking services. We could authorize the chief to place CD investments that will tie them out over time and I know we can, now that Lodge Construction is on it’s way, have you seen a cash flow Linda have they done one, they will do one if we ask them to do it and they will tell us a projection of month by month, what kind of money we should have on hand to expect to pay them with, we know what the districts monthly capital outlays are by history and payroll so my recommendation at this point would be to develop that so we know as our money comes in when are we going to need it. The tax monies going to come in that we are not going to need for a period of time; but when will we need it in this upcoming year. The discussion I had with Jeff Tuscan he’s not text messaging me back so I assume he’s not available. That we do 2 things (1) we not put the money all in one location, he recommended against Bank of America and against Wachovia because they are so heavily into the mortgage paper. The newest bank on the block is probably the best bank but it must be a Government Depository. Southwest Capital is the newest bank and they are not yet although. Commissioner Cammick: Two more weeks they said. Commissioner Elder: Their application is in. The next newer one other than that local to us is Florida Gulf Bank which just put the branch in over on Sandoval on Veterans. I spoke with the CEO this morning they’ve been in business for 7 years they have not issued any speculative loans they’re loan paper for equity lines which is the worst to have accounts for about 10% of their total loan paper that’s out there. Because their young their not in the mortgage market as heavy and the mortgage market is the problem. Is that not correct Mr. Cammick that’s where this is coming from the loses.
Commissioner Cammick: A lot of these were prime mortgages. Commissioner Elder:
Right mortgages. Commissioner Cammick: The people borrowing the money and the
collateral was good stuff it wasn’t sub par the values went down and these
banks that we are talking about it’s not necessarily where they have a lot of
their money it’s where did they have the money if we are putting our money in a
bank for a certificate of deposit in a certified qualified public depository
what do they have that they are going to collateralize it with, if they
collateralize with crappy mortgages we don’t want it and if they collateralize
it with U.S. Treasuries which they wouldn’t cause it wouldn’t make any money,
then obviously you couldn’t be any safer than that. Commissioner
Elder: That’s the other thing the
Florida, I’m glad you said that cause the Florida Gulf Bank said they have zero
in sub prime. They haven’t issued any
sub prime at all. So whether we decide
to leave monies in the SBA, I believe we have to evaluate while your
presentation was great and I agree that BlackRock has done a good job putting
together a plan. Commissioner Cammick: They’re
the new managers by the way for the next 6 months I think. Commissioner
Elder: Since this has all happened I
remember that bumper sticker that says I love my country but I fear my
government. And that the State of
Florida in taking the action that they took if we as a district had not taken
out roughly $1.5 million line of credit which we may well not have done if we
weren’t going forward with Station 3 our money would have been tied up at this
time the particular cycle would have been tied up in the SBA and we potentially
might not of made payroll. And if that
would of happened we would have had real problems. I think in that sense what the legislature
did, Mr. Christ and the Legislature did was wrong, callous I don’t disagree
that they should have done something to stave off what was happening but the
way they did it I think was wrong. Commissioner Cox: I’d like to add to that and you made a
quote and I would like to quote someone too I’d like to quote Will ?? (not
audio able) I am more concerned about
the return of my investment than I am the return on my investment. And if we go down this list guys and it boils
down to U.S. Government Treasury Bonds because we are not living off the
interest that we are earning we’re living off the dollars we are getting from our
public. I want to go on record as being said I’m more concerned about the
safety than I am the investment. Commissioner Cammick: It’s easy to do and we have money that we
can put away for a decent length of time not much over a year. Commissioner
Peckinpaugh: I have made a list that
would qualify 5 institutions that maybe we could look into unless we have to
make decisions today other than withdrawing from the SBA, I think that is one
thing we should do. (1)
Commissioner
Elder: Okay. Let’s talk about where we are financially, so
we can decide where we put our money.
(1) Dr. Cole as you talked about this money at this time next year we
will be into our line of credit, we won’t have this money this time next year
because we will have built the building.
So temporarily what’s going to happen is this $1.5 million plus the $700
or $800,000 that’s in Fifth Third is going to grow considerably over the next
few months as the tax dollars roll in.
So we are about to be wealthy for a short period of time and then we’re
going to spend it as we move forward through the year payroll, operating
expenses the building and so on until we either decide we’re going to spend our
cash reserves and lean on our credit line as a reserve or do we go ahead and
use the credit line and keep part of the cash, as a true cash reserve, we’ve
got to decide that later in the year. So
I probably agree with you that it’s probably more important with our cycle
that’s facing us that we absolutely secure the funds, that’s more important
than getting the best return on our investment because our investments going to
be short. A year from now we will have
cashed all these which is where I was thinking, can you get 6 month
T-bills? Commissioners: Yes 3, 6 a
year. Commissioner Cammick: Fifth
Third might even be able to buy them for us.
Commissioner Elder: The best scenario that I can see is for to
get with Lodge, and maybe Mr. Cammick you might want to do this with Jeff
Tuscan or Linda and lay out a monthly budget, a monthly cash flow budget, that
Lodge will help you with. Commissioner Cammick: Linda already knows what she needs. Commissioner
Elder: Linda already probably knows what the payroll and truck payments and
all of that. Is that already in the
budget program? Is it monthly or is it
yearly? Linda: It’s yearly. Commissioner
Elder: So you would have to go
through and pull it apart month to month to get the monthly. Linda: Because some are annual payments and some are
monthly payments so we put it in as a yearly.
Commissioner Elder: And we’re not talking about a detailed
we’re talking about a broad brush we need this much this month and so on, the
biggest numbers going to be the Lodge the construction money. And then we will know when we need the money,
and that will tell us how long we invest it for. So we get it back and whether it’s T-Bills,
CD’s a combination of. Commissioner Cammick: T-Bills is the simplest, easiest,
guaranteed safest thing. Commissioner Cox: I’m with you. Commissioner
Cammick: Tomorrow, then we can worry
about banks and interest rates all that stuff and I think if we could get
someone could get Jim Mitchell on the line, I bet you they can buy T-Bills for
us in their department. The 800 grand is
there the monies going to be in there tomorrow.
Buy a $1 million or $1.5 million worth 30 day or CD’s. Commissioner
Cox:
If you take Dr. Coles thoughts of third, third, third if you bought a third, third, third, 30, 60 and 90 that gives us time to make intelligent decisions and to get with our accountants and find out, it gives us cash in 30 days, 60 days and 90 days taking T-Bills. Commissioner Cammick: We don’t have to make any decisions. Commissioner Cox: To keep our operating account to a minimum of $100,000 or $200,000 there’s going to be some risk but just look at a simple for us we’re not financial wizards other than Mr. Cammick. Commissioner Cammick: But it is easy for us just to keep it simple. Commissioner Cox: And it is, keep it simple and let the people that we pay make these decisions and for us to approve it. Commissioner Elder: I would like Mr. Cammick to work with them. Commissioner Cox: Absolutely, absolutely John is on top of it. Commissioner Elder: I don’t think there needs to me a motion because the chief already is in control of the funds. Commissioner Cammick: We do need someone to Deputy Chief can tell someone to buy T-Bills if we decide we want to do that. Commissioner Elder: Let’s try to frame a motion that authorizes the executive staff to analysis and make those and I’m going to suggest that in the motion that we look at the bank paper and look at the report to see where their investments, where their securities are. Commissioner Peckinpaugh: Should we be successful tomorrow and withdraw 1.9 million it’s going to go into Fifth Third, correct? Commissioner Cammick: It’s 1.56 million. Commissioner Peckinpaugh: Or 1.56. Linda: My orders were to put it into Fifth Third yes. Commissioner Cammick: It automatically goes there. Commissioner Elder: Well Tuscan says we shouldn’t leave it there. Commissioner Peckinpaugh: I understand. We have a meeting next Monday do we not? Linda: You have an executive session meeting. Commissioner Elder: We have executive session only. Commissioner Peckinpaugh: Oh it’s executive session okay. Could we call another emergency meeting after that to further discuss this in the mean time some us will or John or whoever go to several of these banks and find out about their paper. Commissioner Elder: My conversation this morning. Commissioner Peckinpaugh: So we can make decisions at that time as to where this monies going to go. Commissioner Cammick: I’d put it in T-Bills tomorrow and then we have 30 days, if we put all of it in T-Bills tomorrow or the day we get it out or the next day, then we can run around and do stuff we don’t worry about; because Fifth Third is getting an enormous amount of this money. Commissioner Cox: You could put your sick and some of those funds in a 60 or 90 day but the immediate cash the majority of this 30 days give us time to have another meeting. Commissioner Cammick: Is it possible for you or someone to give me Jim Mitchell’s number and at least see if he can do it. Commissioner Elder: My conversation this morning with John Rincard, who’s the CEO of Fl. Gulf was that he wanted to know what was next he wanted to talk to us and I said you would probably be hearing from Mr. Cammick. That’s he’s our treasurer and he has been in that industry. Commissioner Peckinpaugh: Well how liquid is T-Bills? Commissioner Cammick: Instantly. If you wanted to take them out the next day you’re going to have market value fluctuation but if you take it in 30 days. Commissioner Cox: You have guaranteed return. Commissioner Cammick: It’s impossible to loose money in the T-Bill. Commissioner Peckinpaugh: Well I’m not worried about loosing money as I am protecting principal I don’t want to tie it all up. Commissioner Cammick: We have $800,000 in Fifth Third. Commissioner Cammick: Plus more coming in. Commissioner Cammick: We could do it in a couple of weeks, I can have all the information, Linda and I from all the banks before our next meeting on the 24th. Commissioner Peckinpaugh: We have another meeting after the 10th which is a workshop before the board meeting. Commissioner Elder: I think the question is does the board want to be involved in all these detail decisions or does the board want to let Mr. Cammick work with the chief and executive staff to make. Commissioner Cox: That’s my inclination. Commissioner Peckinpaugh: makes a motion that if we are successful in withdrawing money from SBA tomorrow that they be deposited into Fifth Third and then converted to T-Bills asap and within the next 30 days with Mr. Cammick research, the board along with staff can make decisions as a board and with staff on the disbursements of the T-Bills with Commissioner Cox to second. Commissioner Elder: Providing this all moves forward by our December meeting could we have a plan. Linda could you put together a cash flow by then, I know it’s going to hinge on Lodge? A monthly cash flow. Linda: I can do my portion and then we can ask Lodge. Commissioner Elder: We are looking for the 1st of July gives us a 6 month window that there is a sizable amount of money that we can put into 6 month instruments that we won’t need back until then and then stagger out the rest of the fiscal year so we could as the tax monies. More than just this 1.5 but I’m mainly talking about tax monies that come in ad valorem taxes we could stagger that in the 6 month investments so that it comes back to us when we need it. And that’s the part of the plan I would hope we could have some information on for this months meeting. Commissioner Cole: I think if we get the cash flow projection in isn’t that what you call ladder in T-bills. Commissioner Cammick: And the chief will be back. The 5 year plan which we haven’t got much past the 6 month plan, but if there’s anything big coming up that Linda may not know about then the chief will be back to work on that part too. We’re leasing that truck. Commissioner Elder: Conversations with the banks I think Mr. Peckinpaugh listed some banks off the small local banks we may want to see what their paper looks like. Commissioner Peckinpaugh: I’ll be happy to talk to Suncoast and Regions. Commissioner Elder: My recommendation is going to be that we let the treasurer do it, completely because he’s our treasurer. Commissioner Cammick: But if you want to give me names, address of who to call. Commissioner Peckinpaugh: I’ll do the research. Commissioner Elder: We have to be careful of the sunshine law. Commissioner Peckinpaugh: Not if he gets it in the mail. Commissioner Cammick: If you gave me there research I would still call to verify it. That’s what I would feel comfortable doing. Commissioner Peckinpaugh: If you’re going to do that you might as well do it from the get go. Commissioner Cammick: But if you know who these people are it would make it a lot easier. Commissioner Elder: To avoid issues with the sunshine law it needs to be the executive staff doing it with the consultation. Commissioner Peckinpaugh: Well I can do it give it to staff and they can do it. Commissioner Elder: If the board authorizes any commissioner to do anything then that commissioner carries the weight of the board and is subject every action, conversation that that commissioner has with any entity becomes a sunshine law issue. Commissioner Peckinpaugh: I’m not looking for authorization I’m just volunteering to do those two. Commissioner Cammick: I’m the one that’s authorized. Commissioner Cole: I think we do need to follow the protocol because I think the public is going to come forward on this thing. Commissioner Elder: My point is I made a call this morning to one bank and said that would be the last that banker heard from me, that banker will be hearing probably from Mr. Cammick. And let Mr. Cammick have the conversations or the executive staff and come back to us I believe it should be our treasurer that’s where his expertise lies in the past. Commissioner Cammick: And we just finished doing this with all the banks Linda has all the information we have all their reports from the banks we have all the people but if you have information if you just give it to Linda. Commissioner Peckinpaugh: Okay. Commissioner Cammick: We will put a list of things we need to know about. Deputy Chief Marzella: Two questions for my verification if not for Linda’s the T-Bills you talked about several different types 30, 60, 90 days you authorized her to put it into T-Bills does it need to be 30 or 60 or 90 or. Commissioner Elder: I think she’s going to be talking to her chief financial consultant right here. Commissioner Cammick: We’ll figure that out our main thing we’ve got to figure out right now is about who can buy them. Commissioner Peckinpaugh: I think between Jeff and John I mean we are paying Tuscan to do something. Commissioner Elder: Yes. Deputy Chief Marzella: That was my next question at one point you said to have Tuscan involved then you just said Cammick. Commissioner Elder: Well Tuscan’s involved because they are our consultants and obviously they need to be in it. Commissioner Cox: I’m sure Linda can remind John when it needs to go to Tuscan. Commissioner Cammick: They don’t need to do much work when you’re putting money in T-Bills it’s kind of hard to get into trouble. Commissioner Elder: The Florida Gulf Bank came from Jeff Tuscan. Because he said they are so conservative. You get a little bit more money on your return then you’re going to get from the T-Bills but they’re probably every bit as solid because they’re so conservative. Commissioner Peckinpaugh: You’ve got Busey in there too. Commissioner Cammick: Before we get done would you like us to call Fifth Third and find out if they can do T-Bills? So you leave here knowing. Commissioner Elder: The motion doesn’t tie the district to Fifth Third it ties the district into moving the money into T-Bills and leaves the avenue open. Commissioner Cox: We don’t need to sit here and wait. Commissioner Cammick: I call for the question. Commissioner Cox: Seconds call for the question. Vote on question: Unanimous. Vote on original motion unanimous. Commissioner Elder: Is there any other discussion that the board would like to have pertaining to the agenda.
Commissioner Cox
makes a motion to adjourn with Commissioner Cole to second. Motion passed unanimously.
Meeting adjourned at 2:01 p.m.
Respectfully submitted,
Linda
District Administrative Assistant
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James Cole, Secretary