Agenda

Return

C. 6

To:	Canyon Lakes GHAD Board of Directors
From:	Patricia E. Curtin, GHAD Attorney and General Manager
Date:	June 16, 2020

Contra

Costa

County

Subject:

Canyon Lakes GHAD Budget 2020/2021

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 06/16/2020

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Diane Burgis, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:

Amara L. Morrison 510.834.6600

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: June 16, 2020
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

ADOPT Canyon Lakes GHAD Resolution No. 2020/01 approving the GHAD budget for fiscal year 2020/21 and updating GHAd general manager payment limit under Consulting Services Agreement. ADOPT Canyon Lakes GHAD Resolution No. 2020/02 approving the change of the GHAD Treasurer from Watermark Asset Management, Inc. to CLT Management LLC in addition to a contract of services between CLT and Canyon Lakes GHAD.

FISCAL IMPACT:

The GHAD is funded 100% through assessments levied on properties within the GHAD.The current GHAD Treasurer, Watermark Asset Management, Inc., charged the GHAD an annual
fee of 0.25%, or 25 basis points, per year on the account balance of the GHAD. For services to be performed by the new GHAD Treasurer, investment manager and custodian, an annual fee is

FISCAL IMPACT: (CONT'D)

proposed of 0.25% or 25 basis points per year on the account balance of the GHAD.

BACKGROUND:

On June 4, 1985, the Contra Costa County Board of Supervisors adopted Resolution 85/289
approving the formation of the GHAD and appointed itself to serve as the GHAD Board of
Directors.
Annual Budget (Resolution 2020/01). The GHAD Board adopts a budget for the GHAD operations
each fiscal year. The GHAD Board is being requested to adopt the fiscal year budget for 2020/2021
as prepared by the GHAD General Manager which is attached to Resolution No. 2020/01. In
addition, the GHAD Board is being requested to update the GHAD General Manager payment limits under the existing Consulting Services Agreement as required by that Agreement. The budget attached to Resolution No. 2020/01 identifies that limit at $125,000

Appointment of GHAD Treasurer (Resolution 2020/02). The GHAD Board is also being asked to approve a change in the designation of the GHA Treasurer from Watermark Asset Management,
Inc. to CLT. On May 19, 2009, with Resolution 2009/01, the GHAD Board of Directors appointe Watermark Asset Management as GHAD Treasurer. On December 6, 2018, Watermark Asset
Management was acquired by CAPTRUST. Thereafter Watermark reorganized to allow it t continue to provide treasurer services to the GHAD until the time a new GHAD Treasurer was
appointed.

GHAD General Manager has researched and interviewed several potential candidates to serve asthe GHA Treasurer. GHAD Manager has determined that CLT is the most experienced and
capable to perform treasurer functions for the GHAD. CLT’s credentials and proposal for GHAD Treasurer services is attached as Exhibit 1 to this Staff Report. CLT will be responsible for retaining an investment manager(s) and custodian to assist in fulfilling GHAD Treasurer services. A contract of services between CLT and GHAD is attached as Exhibit 2 to the staff report.
Services include collecting, holding, investing, appropriating, and expending GHAD funds a snecessary to carry out the operations of the GHA in accordance with budgets approved by the
GHAD Board.

If approved, the GHAD Treasurer will complete actions necessary to change treasurer function from Watermark Asset Management to CLT.