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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
REGISTRATION NO.
811-07696
IOWA PUBLIC AGENCY INVESTMENT TRUST
(EXACT NAME OF REGISTRANT AS SPECIFIED IN CHARTER)
1415 28th STREET, SUITE 200
WEST DES MOINES, IOWA 50266
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) (ZIP CODE)
Elizabeth Grob, Esq.
Ahlers & Cooney, P.C.
100 Court Avenue, Suite 600, Des Moines, Iowa 50309
(NAME AND ADDRESS OF AGENT FOR SERVICE)
COPIES OF ALL COMMUNICATIONS TO:
| |
Gweneth K. Gosselink | John C. Miles, ESQ. |
Iowa Public Agency Investment Trust | Cline, Williams, Wright, Johnson & Oldfather |
1415 28th Street, Suite 200 | 1900 U.S. Bank Building, 233 S. 13TH Street |
West Des Moines, Iowa 50266 | Lincoln, Nebraska 68508 |
Registrant’s Telephone Number, Including Area Code: (515) 244-5426
Date of fiscal year end: 06/30
Date of reporting period: 06/30/2016
Item 1. Reports to Unitholders.
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IOWA PUBLIC AGENCY INVESTMENT TRUST
DIVERSIFIED PORTFOLIO ANNUAL FINANCIAL REPORT
FISCAL YEAR ENDING JUNE 30, 2016
The Fund is distributed by Miles Capital, Inc.
Shares of the Fund are NOT INSURED BY THE FDIC. Investment products involve investment risk, including the possible loss of principal. Past performance is not predictive of future results, and the composition of the Fund’s portfolio is subject to change.
This annual report is not authorized for distribution unless accompanied or preceded by a current Information Statement also known as a prospectus. An investor should consider the Fund’s investment objectives, risks, and charges and expenses carefully before investing or sending money. This and other important information about the investment company can be found in the Fund’s Information Statement. To obtain more information, please call 800-872-4024 or visit the website IPAIT.org. Please read the Information Statement carefully before investing.
TABLE OF CONTENTS
INTRODUCTORY SECTION
Letter from the Chair
3
Board of Trustees
5
Service Providers
7
Organization Chart
8
FINANCIAL SECTION
Report of Independent Registered Public Accounting Firm
9
Management’s Discussion and Analysis
11
Schedule of Investments
14
Statement of Net Assets
16
Statements of Operations
17
Statements of Changes in Net Assets
17
Notes to Financial Statements
18
Financial Highlights
21
INVESTMENT SECTION
Fund Facts Summary
22
Introduction
23
Risk Profile
24
Performance Summary
25
Fund Expenses
26
Statement of Additional Information
28
Investment Commentary
29
IPAIT Investment Policy
30
Investing and Non-Investing Participants
34
STATISTICAL SECTION
Statistical Information
36
Changes in Net Assets
38
Glossary of Investment Terms
39
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2
LETTER FROM THE CHAIR (UNAUDITED)
August 24, 2016
Dear Fellow IPAIT Participants:
The Iowa Public Agency Investment Trust (IPAIT) is pleased to submit the Diversified Portfolio Annual Financial Report for the Fiscal Year ended June 30, 2016.
During the fiscal year, the IPAIT board made the decision to obtain a fund rating from S&P Global. This action came as a result of the upcoming changes to the SEC’s Rule 2a-7. On June 1, 2016 IPAIT received a ‘AAAm’ principal stability fund rating. According to S&P Global, a fund rated ‘AAAm’ demonstrates extremely strong capacity to maintain principal stability and to limit exposure to principal losses due to credit risk. ‘AAAm’ is the highest principal stability fund rating assigned by S&P Global Ratings. This is accomplished through conservative investment practices and strict internal controls. The portfolio will be monitored on a weekly basis by S&P Global Ratings.
About the Report
While IPAIT's financial statements and the related financial data contained in this report have been prepared in conformity with U.S. generally accepted accounting principles and have been audited by IPAIT's Independent Registered Public Accounting Firm, KPMG LLP, the ultimate accuracy and validity of this information is the responsibility of the management of the Iowa Public Agency Investment Trust Board of Trustees. To carry out this responsibility, the Board of Trustees maintains financial policies, procedures, accounting systems and internal controls which the Board believes provide reasonable, but not absolute, assurance that accurate financial records are maintained and investment assets are safeguarded.
In addition, the three ex-officio non-voting trustees meet with the Program's service providers and legal counsel to review all aspects of IPAIT performance each month. The Board of Trustees meets quarterly to similarly review Program performance and compliance. In addition, the IPAIT Board of Trustees regularly subjects IPAIT to a comprehensive review of all services and costs of operation.
In the Board's opinion, IPAIT's internal controls are adequate to ensure that the financial information in this report presents fairly the IPAIT Diversified Portfolio operations and financial condition.
The Federal Reserve raised the interest rate to a range of 0.25 to 0.50 percent in December 2015 for the first time in nearly a decade. The Fed Funds rate had been at 0.0 to 0.25 percent since December 16, 2008. IPAIT fund yields experienced a slight tick up as a result of the Fed Funds increase. There is more detail on the economic environment in the Investment Commentary from our registered investment advisor found later in this report.
Investment Policies and Strategies
IPAIT was created pursuant to Iowa Code Chapter 28E in 1987 to enable eligible Iowa public agencies to effectively invest their available operating and reserve funds in a competitive rate environment,that focuses on safety of principal and liquidity. The Diversified Portfolio has followed established money market mutual fund investment parameters designed to maintain a $1 per unit net asset value since inception.
Investment Safeguards
The Fund continues to be focused on the investment objectives as stated in the IPAIT Investment Policy. These goals, in order of priority are: safety of invested principal, maintenance of liquidity, and maximum yield. Within these objectives, the Fund strives to provide participants with the best available rate of return for legally authorized investments. All security settlements within the Fund are settled on a delivery-versus-payment (DVP) basis. DVP settlements greatly reduce the possibility of inappropriate transmission of funds or securities.
3
LETTER FROM THE CHAIR (CONT.) (ANAUDITED)
Reliability of Investment Section
All commentary and displays in the Investment Section were prepared by IPAIT's service provider, Miles Capital, the program's Investment Adviser, Administrative Services provider, and Program Support provider. Miles Capital has provided services to the IPAIT program since the program's inception in 1987. All services provided by IPAIT to participants are subject to rigorous and regular verification.
Miles Capital and IPAIT have designed internal controls and procedures to ensure that material information is made known to the principal executive officers, David Miles (Chief Executive Officer), Gwen Gosselink (Chief Compliance Officer), and Amy Mitchell (Chief Financial Officer), respectively during the reporting period for the semi-annual and annual report to shareholders. These individuals are required to report any deficiencies and any actual or alleged fraud to the Fund Auditor and to the Executive Committee immediately upon discovery.
Participant Meetings
IPAIT had a participant meeting during the fiscal year with two proposals considered, election of the Board of Trustees and the selection of program auditors. Details of the meeting results and proposal responses can be found later in this report.
Summary
On behalf of IPAIT's Board of Trustees, sponsoring associations and service providers, we thank you for your continued support of the Iowa Public Agency Investment Trust. We encourage you to contact us with comments and suggestions regarding any improvements to the operation of IPAIT. Your involvement in IPAIT is essential in its ability to provide a competitive investment alternative, and ongoing program opportunities for association members.
As we begin Fiscal Year 2016-2017, IPAIT will continue to be guided by its objectives of safety of principal, liquidity, and competitive return. In addition, IPAIT will be an excellent resource as a user-friendly investment alternative and also an educational resource. The website provides monthly updates as well as access to the secure IPASonline system. We collectively pledge to continue working together to provide a viable investment option for every participant.
Respectfully,
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Brent Hinson
Chair, Board of Trustees
4
BOARD OF TRUSTEES (UNAUDITED)
Alan Kemp
Executive Director,
Iowa League of Cities
IPAIT Secretary to the Board
William Peterson
Executive Director,
Iowa State Association of Counties
IPAIT Treasurer to the Board
Troy DeJoode
Executive Director,
Iowa Association of Municipal Utilities
IPAIT Assistant Secretary to the Board
Brent Hinson
City Administrator
City of Washington
Michelle Weidner
Chief Financial Officer
City of Waterloo
Tim Stiles
Finance Director
City of West Des Moines
Craig Anderson
Board of Supervisors
Plymouth County
Renee Twedt
County Treasurer
Story County
Randy Jacobsma
County Treasurer
Sioux County
Steven Pick
General Manager
Spencer Municipal Utilities
Greg Fritz
Chief Executive Officer
NIMECA
Paula Meyer
Finance Manager, Treasurer
West Des Moines Water Works
The trustees and officers are not compensated for Board service. Expenses incurred in attending meetings are paid by the Trust.
5
BOARD OF TRUSTEES (UNAUDITED)
6
SERVICE PROVIDERS (UNAUDITED)
Service Providers
Sponsoring Associations
Iowa Association of Municipal Utilities
1735 NE 70th Avenue
Ankeny, IA 50021-9353
Troy DeJoode, Executive Director
tdejoode@iamu.org
515-289-1999
Iowa State Association of Counties
5500 Westown Parkway, Suite 190
West Des Moines, IA 50266-8202
William Peterson, Executive Director
bpeterson@iowacounties.org
515-244-7181
Iowa League of Cities
500 SW 7th Street, Suite 101
Des Moines, IA 50309
Alan Kemp, Executive Director
alankemp@iowaleague.org
515-244-7282
Legal Counsel
AHLERS & COONEY, P.C.
100 Court Avenue, Suite 600
Des Moines, IA 50309
Elizabeth Grob 515-246-0305
egrob@ahlerslaw.com
Investment Adviser
Administrator
Program Support
Miles Capital
Century II Building
1415 28th Street, Suite 200
West Des Moines, IA 50266-1461
Doug Earney 515-224-2703
dearny@miles-capital.com
Amy Mitchell 515-224-2720
amitchell@miles-capital.com
Anita Tracy 515-224-2725
atracy@miles-capital.com
Gwen Gosselink 515-224-2716
ggosselink@miles-capital.com
Dan Zomermaand 515-224-2723
dzomermaand@miles-capital.com
Custodian
Wells Fargo Bank, N.A.
MAC N9300-060
600 S. 4th Street, 6th Floor
Minneapolis, MN 55479
Brent Jordahl 612-316-0112
brent.m.jordahl@wellsfargo.com
Independent Registered Public Accounting Firm
KPMG LLP
2500 Ruan Center
666 Grand Avenue
Des Moines, IA 50309
William S. Long 612-305-5009
wslong@kpmg.com
7
ORGANIZATION CHART (UNAUDITED)
IPAIT Board of Trustees
Brent Hinson, Chair and Trustee
Craig Anderson, Vice Chair and Trustee
Greg Fritz, Second Vice Chair and Trustee
Randy Jacobsma, Trustee
Paula Meyer, Trustee
Michelle Weidner, Trustee
Tim Stiles, Trustee
Renee Twedt, Trustee
Steven Pick, Trustee
IPAIT Sponsoring Association
Iowa League of Cities
Alan Kemp
Iowa State Association of Counties
William Peterson
Iowa Association of Municipal Utilities
Troy DeJoode
IPAIT Custodian
Wells Fargo Bank, N.A.
Brent Jordahl
IPAIT Investment Advisor
Miles Capital
Laurie Mardis
IPAIT Administrator
Miles Capital
Amy Mitchell
Anita Tracy
IPAIT Program Support
Miles Capital
Dan Zomermaand
Amy Mitchell
IPAIT Legal Counsel
Ahlers & Cooney, P.C.
Elizabeth Grob
IPAIT Independent Registered Public Accounting Firm
KPMG LLP
William S. Long
8
KPMG LLP
2500 Ruan Center
666 Grand Avenue
Des Moines, IA 50309
Report of Independent Registered Public Accounting Firm
The Board of Trustees and Unitholders
Iowa Public Agency Investment Trust:
We have audited the accompanying statement of net assets of the Diversified Portfolio of the Iowa Public Agency Investment Trust (the Fund), including the schedule of investments, as of June 30, 2016, and the related statements of operations and changes in net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the five-year period then ended. These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States) and the standards applicable to financial statement audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of June 30, 2016, by correspondence with the custodian. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of the Diversified Portfolio of the Iowa Public Agency Investment Trust as of June 30, 2016, and the results of its operations and the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.
9
In accordance with Government Auditing Standards, we have also issued our report dated August 24, 2016 on our consideration of the Fund’s internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audits.
U.S. generally accepted accounting principles require that the management’s discussion and analysis on pages 11-13 be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the
required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries with management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
/S/ KPMG LLP
Des Moines, Iowa
August 24, 2016
10
MANAGEMENT’S DISCUSSION AND ANALYSIS (UNAUDITED)
This section of the IPAIT Diversified Portfolio’s Comprehensive Annual Financial Report presents management’s discussion and analysis of the financial position and results of operations as of and for the fiscal years ended June 30, 2016 (FY 16) and 2015 (FY 15). This information is being presented to provide additional information regarding the activities of IPAIT, pursuant to the requirements of Governmental Accounting Standards Board Statement No. 34, Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments, Statement No. 37, Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments: Omnibus, and Statement No. 38, Certain Financial Statement Note Disclosures (Statements Nos. 34, 37, and 38). This discussion and analysis should be read in conjunction with the basic financial statements of IPAIT’s Diversified Portfolio.
OVERVIEW OF THE FINANCIAL STATEMENTS
The Management’s Discussion and Analysis provides an introduction to and overview of the basic financial statements of IPAIT’s Diversified Portfolio. The following components comprise the financial statements: 1) Schedule of Investments, 2) Statement of Net Assets, 3) Statements of Operations, 4) Statements of Changes in Net Assets, and 5) Notes to Financial Statements.
·
The Schedule of Investments lists each security held by the portfolio as of the date of current fiscal year end.
·
The Statement of Net Assets shows the financial position (assets and liabilities) of the portfolio as of the date of the current fiscal year end.
·
The Statements of Operations display the results of operations (income and expenses) of the portfolio for the two most recent fiscal years.
·
The Statements of Changes in Net Assets display the results of additions (net investment income, unit sales, and reinvestments) and deductions (dividends and unit redemptions) of the portfolio for the two most recent fiscal years.
·
The Notes to Financial Statements describe significant accounting policies and disclose summary security transaction amounts of the portfolio and other information required by U.S. generally accepted accounting principles.
MANAGEMENT’S DISCUSSION AND ANALYSIS
Year-over-year changes in most financial statement amounts reported in IPAIT’s Diversified Portfolio are most significantly impacted by the level of average net assets (which fluctuates based on the overall levels of pool participant/unitholder invested balances). The pool is the portfolio. Additionally, changes in the short-term interest rate environment (which follows the general trend established by monetary policy set by the Federal Reserve) contribute to year-over-year variances in the amount of investment income earned by the portfolio. Over the twelve months ended June 30, 2016, the Federal Reserve’s Federal Open Market Committee changed the Fed Funds target rate on December 17, 2015 to a range of 0.25 to 0.50 percent. This is the first Fed Funds target rate change since December 16, 2008 when the range was set at zero to 0.25 percent.
11
MANAGEMENT’S DISCUSSION AND ANALYSIS (UNAUDITED)
Condensed financial information and variance explanations for FY 16, as compared to FY 15, follow.
| | | | | |
| | | Percent | | |
Net Assets | June 30, 2016 | | Change | | June 30, 2015 |
Total investments | $ 255,341,402 | | -14% | | $ 297,073,026 |
Excess of other assets over total liabilities | 138,216 | | 11% | | 124,178 |
Net assets held in trust for pool participants | 255,479,618 | | -16% | | 297,197,204 |
| | | | | |
Average Net Assets | $ 316,833,988 | | 0% | | $ 315,975,161 |
Total investments decreased 14 percent and net assets decreased 16 percent, comparing June 30, 2016 and June 30, 2015 amounts mainly due to a sizeable redemption by a large participant. During FY 16, there was no significant change in average net assets. The increase in other assets over liabilities during FY 16 was due to an increase in the interest receivable resulting from higher investment returns at June 30, 2016.
| | | | | |
| | | Percent | | |
Change in Net Assets for the years ended | June 30, 2016 | | Change | | June 30, 2015 |
Investment Income | $ 1,003,713 | | 70% | | $ 591,038 |
Total Net Expenses | (934,494) | | 67% | | (559,441) |
Dividends to unitholders from net investment income | (69,219) | | 119% | | (31,597) |
Net decrease in net assets | (41,717,586) | | -127% | | (18,380,668) |
Net assets at beginning of year | 297,197,204 | | -6% | | 315,577,872 |
| | | | | |
Net assets at end of year | $ 255,479,618 | | -16% | | $ 297,197,204 |
| | | | | |
During the 12-month periods in FY 16 and FY 15, the Fed Funds target rate increased to a range from 0.25 to 0.50 percent resulting in increases in investment income of 70 percent and dividends to unitholders of 119 percent. The Fed Funds target rate is an economic indicator for short-term investments and has been at the same zero to 0.25 percent level since December 2008. Total net expenses are derived based on net assets held by the Fund and the effect of any fee waivers in place. These expenses increased 67 percent during FY 16 compared to FY 15 due to a reduction in the percentage of fees waived by service providers.
12
MANAGEMENT’S DISCUSSION AND ANALYSIS (CONT.) (ANAUITED)
Condensed financial information and variance explanations for FY 15, as compared to FY 14, follow.
| | | | | |
| | | Percent | | |
Net Assets | June 30, 2015 | | Change | | June 30, 2014 |
Total investments | $ 297,073,026 | | -6% | | $ 315,533,953 |
Excess of other assets over total liabilities | 124,178 | | 183% | | 43,919 |
Net assets held in trust for pool participants | 297,197,204 | | -6% | | 315,577,872 |
| | | | | |
Average Net Assets | $ 315,975,161 | | -20% | | $ 394,178,911 |
Total investments and net assets decreased 6 percent, comparing June 30, 2015 and June 30, 2014 amounts. During FY 15, average net assets decreased 20 percent to $315,975,161 from average net assets of $394,178,911 during FY 14. The increase in other assets over liabilities during FY 15 was due to interest receivable at June 30, 2015.
| | | | | |
| | | Percent | | |
Change in Net Assets for the years ended | June 30, 2015 | | Change | | June 30, 2014 |
Investment Income | $ 591,038 | | 15% | | $ 512,932 |
Total Net Expenses | (559,441) | | 18% | | (473,387) |
Dividends to unitholders from net investment income | (31,597) | | -21% | | (39,545) |
Net decrease in net assets | (18,380,668) | | 87% | | (140,119,443) |
Net assets at beginning of year | 315,577,872 | | -31% | | 455,697,315 |
| | | | | |
Net assets at end of year | $ 297,197,204 | | -6% | | $ 315,577,872 |
| | | | | |
Investment income increased 15 percent mainly due to higher short term rates from investments in the ICS, Insured Cash Sweep program. Dividends to unitholders from net investment income decreased 21 percent during FY 15 compared to FY 14 due to lower average net assets. During the 12-month periods in FY 15 and FY 14, the Fed Funds target rate remained at a range from zero to 0.25 percent. The Fed Funds target rate is an economic indicator for short-term investments and has been at the same zero to 0.25 percent level since December 2008. Total net expenses are derived based on net assets held by the Fund and the effect of any fee waivers in place. These expenses increased 18 percent during FY 15 compared to FY 14 due to a reduction in the percentage of fees waived by service providers.
CONTACTING THE PORTFOLIO’S FINANCIAL MANAGEMENT
This financial report is designed to provide IPAIT participants and prospective investors with a general overview of the Fund’s finances and to demonstrate the Fund’s accountability for the resources it receives and manages. If you have questions about the report or need additional financial information, contact IPAIT at 800-872-4024 or visit the website at IPAIT.org.
13
FINANCIAL STATEMENTS
15
FINANCIAL STATEMENTS (CONT.)
| | | | |
Iowa Public Agency Investment Trust - Diversified Portfolio | |
Statement of Net Assets | | |
June 30, 2016 | | |
| | | | |
ASSETS | | | |
| | | | |
Investments in securities, at amortized cost: | | |
| Coupon Securities | $ 154,352,238 | |
| Deposit Accounts | 8,942,050 | |
| Repurchase Agreements | 92,047,114 | |
| | Total investments in securities | 255,341,402 | |
| | | | |
Interest receivable | 219,636 | |
| | Total assets | 255,561,038 | |
| | | | |
| | | | |
| | | | |
LIABILITIES | | |
Investment advisory, administrative, | | |
and program support fees payable | 49,641 | |
Custody fees payable | 6,328 | |
Distribution fees payable | 15,819 | |
Dividends payable | 9,632 | |
| | Total liabilities | 81,420 | |
| | | | |
NET ASSETS HELD IN TRUST FOR POOL PARTICIPANTS | $ 255,479,618 | |
| | | | |
Units of beneficial interest outstanding | 255,479,618 | |
| | | | |
Net asset value - offering and redemption price per share | $ 1.00 | |
| | | | |
See accompanying notes to financial statements. | | |
16
FINANCIAL STATEMENTS (CONT.)
| | | | | | |
Statements of Operations | | | |
For the Years Ended June 30, | | | |
| | | | 2016 | | 2015 |
INVESTMENT INCOME | | | |
| Interest | | $ 1,003,713 | | $ 591,038 |
| | | | | | |
EXPENSES | | | | |
| Investment advisory, administrative, | | | |
| and program support fees | 692,595 | | 720,353 |
| Custody fees | 95,310 | | 94,792 |
| Distribution fees | 238,276 | | 236,981 |
| Audit and tax expenses | 19,571 | | 19,726 |
| Insurance expense | 22,202 | | 24,559 |
| Legal fees | 51,596 | | 26,824 |
| Rating fees | 30,270 | | 0 |
| Other fees and expenses | 5,270 | | 7,885 |
| | | Total expenses | 1,155,090 | | 1,131,120 |
Less: Expenses voluntarily reduced/waived | | | |
| Investment advisory, administrative, | | | |
| and program support fees | (150,361) | | (391,350) |
| Custody fees | (20,067) | | (51,522) |
| Distribution fees | (50,168) | | (128,807) |
| Other fees and expenses | 0 | | 0 |
| | | Total expenses voluntarily reduced/waived | (220,596) | | (571,679) |
| Net expenses | 934,494 | | 559,441 |
| | | | | | |
NET INVESTMENT INCOME | $ 69,219 | | $ 31,597 |
| | | | | | |
Statements of Changes in Net Assets | | | |
For the Years Ended June 30, | | | |
| | | | 2016 | | 2015 |
ADDITIONS | | | | |
From investment activities: | | | |
| Net investment income | $ 69,219 | | $ 31,597 |
From unit transactions: | | | |
| (at constant net asset value of $1 per unit) | | | |
| Units sold | 707,854,967 | | 778,833,748 |
| Units issued in reinvestment of dividends | | | |
| from net investment income | 59,588 | | 29,918 |
| | | Total additions | 707,983,774 | | 778,895,263 |
| | | | | | |
DEDUCTIONS | | | |
Dividends to unitholders from: | | | |
| Net investment income | (69,219) | | (31,597) |
| | | | | | |
From unit transactions: | | | |
| Units redeemed | (749,632,141) | | (797,244,334) |
| | | Total deductions | (749,701,360) | | (797,275,931) |
| | | | | | |
Net decrease in net assets | (41,717,586) | | (18,380,668) |
Net assets held in trust for pool participants at beginning of period | 297,197,204 | | 315,577,872 |
Net assets held in trust for pool participants at end of period | $ 255,479,618 | | $ 297,197,204 |
See accompanying notes to financial statements. | | | |
17
NOTES TO FINANCIAL STATEMENTS
(1)
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
ORGANIZATION
Iowa Public Agency Investment Trust (IPAIT) is a common law trust established under Iowa law pursuant to Chapter 28E and Sections 331.555 and 384.21, Iowa Code (1987), as amended, which authorizes Iowa public agencies to jointly invest monies pursuant to a joint investment agreement. IPAIT is registered under the Investment Company Act of 1940 as required by Iowa Statute and files reports with the Securities and Exchange Commission under Regulation S-X. IPAIT was established by the adoption of a Joint Powers Agreement and Declaration of Trust as of October 1, 1987, and commenced operations on November 13, 1987. The Joint Powers Agreement and Declaration of Trust was amended September 1, 1988, May 1, 1993, and again on September 1, 2005. The accompanying financial statements include activities of the Diversified Portfolio. The objective of the portfolio is to maintain a high degree of liquidity and safety of principal through investment in short-term securities as permitted for Iowa public agencies under Iowa law. Wells Fargo Bank, N.A. (Wells Fargo) serves as the Custodian, and Miles Capital, Inc. (Miles Capital) serves as the Investment Adviser, Administrator, and Program Support Provider.
The preparation of financial statements, in conformity with U.S. generally accepted accounting principles, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of net investment income during the year. Actual results could differ from those estimates.
IPAIT is exposed to various risks in connection with operation of the Diversified Portfolio and adheres to policies which attempt to mitigate market risk in the portfolio and maintains insurance coverage for fidelity and errors and omissions exposures. IPAIT has had no claims or settlements under its insurance coverage since its organization in 1987.
INVESTMENTS IN SECURITIES
The Diversified Portfolio consists of cash and short-term investments valued at amortized cost, which approximates fair value, pursuant to Rule 2a-7 under the Investment Company Act of 1940. This involves valuing a portfolio security at its original cost on the date of purchase, and thereafter amortizing any premium or discount on the interest method. Investment policies are followed to maintain a constant net asset value of $1.00 per unit for the portfolio.
Security transactions are accounted for on the trade date. Interest income, including the accretion of discount and amortization of premium, is accrued daily as earned.
IPAIT is authorized by investment policy and statute to invest public funds in obligations of the U.S. government, its agencies and instrumentalities; certificates of deposit and other evidences of deposit at federally insured Iowa depository institutions approved and secured pursuant to Chapter 12B of the Code of Iowa; and repurchase agreements, provided that the underlying collateral consists of obligations of the U.S. government, its agencies and instrumentalities and that IPAIT’s custodian takes delivery of the collateral either directly or through an authorized custodian.
In connection with transactions in repurchase agreements, it is IPAIT’s policy that the underlying collateral securities value exceeds the principal amount of the repurchase transaction, including accrued interest at all times. If the seller were to default on its repurchase obligation and the value of the collateral declines, realization of the collateral by IPAIT may be delayed or limited. At June 30, 2016 and 2015, the securities purchased under overnight agreements to resell were collateralized by U.S. Government Agency Securities with a fair value of $93,888,056 and of $97,713,064, respectively with maturities ranging from 09/25/15 to 06/01/46.
ICS, the Insured Cash Sweep service, is a network of banks offering demand deposit accounts below the standard FDIC insurance maximum so that principal and interest are eligible for full FDIC insurance. As of June 30, 2016, the portfolio held $8,942,050 in the ICS program.
Under Governmental Accounting Standards as to custodial credit risk, IPAIT's investments in securities in the Diversified Portfolio held securities whose S&P credit ratings were 96.5 percent AA+ and 3.5 percent not rated representing all Deposit Accounts from Iowa financial institutions guaranteed by the FDIC or the state of Iowa sinking fund. Securities which are not rated or carry an NA rating are securities guaranteed or issued by government-sponsored entities which are deemed to carry the equivalent of A1+/P1 ratings by the IPAIT Board of Trustees or are repurchase agreements as defined above.
18
NOTES TO FINANCIAL STATEMENTS (CONT.)
Management attempts to limit the Diversified Portfolio’s exposure to interest rate risk and believes this is addressed by the fact that securities are limited under Rule 2a-7 as well as by investment policy and statute to investments of high quality with durations not to exceed 397 days. Hence it is not expected that any significant change in market interest rates would present long-term risk to the Diversified Portfolio.
UNIT ISSUES, REDEMPTIONS AND DISTRIBUTIONS
IPAIT determines the net asset value of the Diversified Portfolio daily. Units are issued and redeemed daily at the daily net asset value. Dividends from net investment income are declared daily and distributed monthly.
INCOME TAXES
IPAIT is exempt from both state and federal income taxes pursuant to Section 115 of the Internal Revenue Code.
FEES AND EXPENSES
Under separate agreements with IPAIT, Miles Capital and Wells Fargo are paid an annual fee for operating the investment program. Effective March 15, 2010, Miles, Wells Fargo, and the public agency associations agreed to waive fees in order for the Diversified Portfolio to pay a net yield no lower than 0.0775 percent to participants. On April 06, 2010, Miles, Wells Fargo, and the public agency associations agreed to waive fees in order for the Diversified Portfolio to pay a net yield no lower than 0.05 percent to participants. On July 7, 2011, Miles, Wells Fargo, and the public agency associations agreed to waive fees in order for the Diversified Portfolio to pay a net yield no lower than 0.01 percent to participants. The total fee may vary each day based on the gross yield earned. These waivers are voluntary and may end at any time with no recovery of previously waived fees.
Miles Capital receives 0.190 percent of the average daily net asset value up to $150 million, 0.160 percent from $150 to $250 million, and 0.130 percent exceeding $250 million for investment adviser and administrative fees. In addition, Miles Capital receives 0.060 percent of the average daily net asset value for program support fees. For the years ended June 30, 2016 and 2015, the Diversified Portfolio paid $542,234 and $329,003, respectively, to Miles Capital for services provided net of waivers. During the year ended June 30, 2016, on various and multiple days, Miles Capital voluntarily waived a portion of the fees. Future waivers may not be required and are determined on market yields and other market considerations.
Wells Fargo receives 0.030 percent of the average daily net asset value of the portfolio for custody fees. For the years ended June 30, 2016 and 2015, the Diversified Portfolio paid $75,243 and $43,270, respectively, to Wells Fargo for services provided net of waivers. During the year ended June 30, 2016, on various and multiple days, Wells Fargo voluntarily waived a portion of the fees. Future waivers may not be required and are determined on market yields and other market considerations.
Under a distribution plan the public agency associations collectively receive an annual fee of 0.075 percent of the average daily net asset value for sponsorship fees. For the years ended June 30, 2016 and 2015, the Diversified Portfolio paid $90,948 and $64,023 to the Iowa League of Cities, $73,735 and $28,266 to the Iowa State Association of Counties, and $23,425 and $15,886 to the Iowa Association of Municipal Utilities, respectively, net of waivers. During the year ended June 30, 2016, on various and multiple days, the public agency associations voluntarily waived a portion of the fees. Future waivers may not be required and are determined on market yields and other market considerations.
IPAIT is responsible for other fees and expenses incurred directly by IPAIT. The other fees and expenses accrual is based on the annual estimated other fees and expenses incurred by IPAIT. The other fees and expenses have averaged between 0.025 and 0.04 percent of the average daily net asset value, and totaled $128,909 and $78,994 for the years ended June 30, 2016 and 2015, respectively, net of waivers. During the year ended June 30, 2016, on various and multiple days, the Diversified Portfolio voluntarily waived a portion of the other fees and expense accrual. Future waivers may not be required and are determined on market yields and other market considerations. All fees are computed daily and paid monthly.
19
NOTES TO FINANCIAL STATEMENTS (CONT.)
FAIR VALUE MEASUREMENT
ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ASC 820 also establishes a framework for measuring fair value in U.S. generally accepted accounting principles, and requires disclosures about fair value measurements. As a basis for considering market participant assumptions in fair value measurements, ASC 820 establishes a fair value hierarchy, which prioritizes the inputs used in measuring fair values. The hierarchy gives the highest priority to Level 1 measurements and the lowest priority to Level 3 measurements. These inputs are summarized into three broad levels as described below:
Level 1 –
quoted prices in active markets for identical securities;
Level 2 –
other significant observable inputs (including quoted prices for similar securities, interest rates, and evaluated quotations obtained from pricing services); or
Level 3 –
significant unobservable inputs (including IPAIT’s own assumptions in determining the fair value of investments.)
Securities in the Diversified Portfolio are valued at amortized cost, which approximates fair value, pursuant to Rule 2a-7 under the Investment Company Act of 1940. These approximate fair values are all considered level 2 valuations. There were no transfers between fair value hierarchy levels during the years ended June 30, 2016 or 2015.
(2)
SECURITIES TRANSACTIONS
Purchases of portfolio securities for the Diversified Portfolio aggregated $23,387,122,121 and $33,160,996,431 for the years ended June 30, 2016 and 2015, respectively. Proceeds from the maturity and sale of securities for the Diversified Portfolio aggregated $23,428,439,250 and $33,179,295,344 for the years ended June 30, 2016 and 2015, respectively.
(3) DIRECT GOVERNMENT OBLIGATIONS PORTFOLIO
In 2010, the Board of Trustees approved a resolution ceasing the investment operations of the Direct Government Obligation Portfolio and transferring assets to the Diversified Portfolio. The transfer was facilitated through Rule 17a-7 at fair value. The Portfolio remains available for future investment if IPAIT participants should request it in the future.
(4) SUBSEQUENT EVENTS
IPAIT has evaluated the effects of events that occurred subsequent to June 30, 2016, and there have been no material events that would require recognition in the financial statements or disclosure in the notes to the financial statements. In analyzing the Money Market Reform Rules, adopted by the Securities and Exchange Commission (SEC) in July of 2014, IPAIT’s Board of Trustee’s determined that it is in the best interest of the current Fund shareholders to de-register IPAIT with the SEC. IPAIT filed its application to de-register with the SEC on July 21, 2016. This process is expected to be finalized prior to the final Money Market Reform compliance date of October 16, 2016. Upon de-registration, IPAIT will operate in accordance with Government Accounting Standards Board accounting principles.
20
FINANCIAL HIGHLIGHTS
| | | | | | | | | | |
Iowa Public Agency Investment Trust - Diversified Portfolio Financial Highlights |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
Selected Data for Each Unit of Portfolio | | | | | | | | | |
Outstanding Through Each Year Ended | | | | | | | | | |
June 30 | 2016 | | 2015 | | 2014 | | 2013 | | 2012 |
| | | | | | | | | | |
Net Asset Value, Beginning of Period | $1.0000 | | $1.0000 | | $1.0000 | | $1.0000 | | $1.0000 |
| | | | | | | | | | |
Net Investment Income | 0.0002 | | 0.0001 | | 0.0001 | | 0.0001 | | 0.0002 |
| | | | | | | | | | |
Dividends Distributed | (0.0002) | | (0.0001) | | (0.0001) | | (0.0001) | | (0.0002) |
| | | | | | | | | | |
Net Asset Value, End of Period | $1.0000 | | $1.0000 | | $1.0000 | | $1.0000 | | $1.0000 |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
| | | | | | | | | | |
Total Return* | 0.02% | | 0.01% | | 0.01% | | 0.01% | | 0.02% |
| | | | | | | | | | |
Ratio of Expenses to Average | | | | | | | | | |
| Net Assets, After Waivers | 0.29% | | 0.18% | | 0.12% | | 0.18% | | 0.16% |
| | | | | | | | | | |
Ratio of Net Investment Income to | | | | | | | | | |
| Average Net Assets, After Waivers | 0.02% | | 0.01% | | 0.01% | | 0.01% | | 0.02% |
| | | | | | | | | | |
Ratio of Expenses to Average | | | | | | | | | |
| Net Assets, Before Waivers | 0.36% | | 0.36% | | 0.35% | | 0.34% | | 0.34% |
| | | | | | | | | | |
Ratio of Net Investment Income to | | | | | | | | | |
| Average Net Assets, Before Waivers | (0.05%) | | (0.17%) | | (0.22%) | | (0.15%) | | (0.16%) |
| | | | | | | | | | |
Net Assets, End of Period (000 Omitted) | $255,480 | | $297,197 | | $315,578 | | $455,697 | | $542,323 |
| | | | | | | | | | |
| | | | | | | | | | |
* Total return is calculated by taking the ending value of an initial $1,000 investment including monthly reinvested dividends, minus the |
initial investment, divided by the initial $1,000 investment. | | | | | | | | |
21
FUND FACTS SUMMARY
Diversified Portfolio Facts
as of June 30, 2016
(unaudited)
Investment Strategy/Goals: To provide a safe, liquid, effective investment alternative for the operating funds, reserve funds, and bond proceeds for Iowa's municipalities, counties, municipal utilities and other eligible public agencies by jointly investing participant funds in a professionally managed portfolio of short-term, high-quality, legally authorized, marketable securities.
Date of Inception: November 13, 1987
Total Net Assets: $255 million
Benchmarks: Money Market Index, Iowa Code Chapter 74A 32-89 day Public Funds Rates, and Iowa Code Chapter 74A 90-179 day Public Funds Rates.
Performance Objective: To provide the highest level of current income from investment in a portfolio of U.S. government and agency securities, certificates of deposit in Iowa financial institutions, and other authorized securities collateralized by U.S. government and agency securities as is consistent with, in order of priority, preservation of principal and provision of necessary liquidity.
Investment Adviser: Miles Capital
Management Fees:
Sliding scale from nine basis points (0.09%) to five and one-half basis points (0.055%)
Total Expense Ratio:
Sliding scale from thirty-eight basis points (0.38%) to thirty-two basis points (0.32%)
Actual Expense Ratio FYE 2016: Due to voluntary fee waivers recognized by IPAIT’s sponsors and service providers, the actual fee ratio charged during FYE 2016 was twenty nine basis points (0.29%).
22
DIVERSIFIED PORTFOLIO (UNAUDITED)
INTRODUCTION
The IPAIT Diversified Portfolio (the “Fund”) is a short-term investment pool of high-quality money market instruments. The Fund has been registered since May of 1993 with the Securities and Exchange Commission (SEC) under the Investment Company Act of 1940. It is operated in accordance with 17 C.F.R. Section 270.2a-7 (Rule 2a-7). The Fund has complied voluntarily with all Rule 2a-7 money market fund operating guidelines from inception.
The Fund is made up of a professionally managed portfolio of U.S. government and federal agency securities, certificates of deposit issued by Iowa financial institutions, public fund deposit accounts, public fund savings accounts, and perfected repurchase agreements, the latter collateralized by U.S. government and federal agency securities. The Fund is typically used for the investment of public funds subject to the Iowa public funds statutory provisions invested by a participant unless other participant-specific investment restrictions exist.
Historical Portfolio Cash Flow (expressed in millions)
IPAIT Diversified Portfolio
![[ncsr716005.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716005.gif)
The Fund has been managed by Miles Capital, IPAIT’s West Des Moines, Iowa-based investment adviser, since inception. Aggregate cash flows are monitored daily and compared to respective Fund cash flow patterns of previous periods. Fund cash flow patterns throughout the fiscal period, as compared to previous years, have traditionally been repetitive. Over twenty-five years of operating history create a very helpful tool to gauge necessary pool liquidity needs.
The investment objective of the Fund is to provide as high a level of current income as is consistent with preservation of invested principal and provision of adequate liquidity to meet participants’ daily cash flow needs. As a general policy, all purchased securities will be held until they mature. Summaries of all security trades for the Fund are provided quarterly to the IPAIT Board of Trustees for review.
The Fund actively monitors rates offered by Iowa financial institutions for public fund certificates of deposit and savings accounts. Institutions experiencing strong loan demand typically offer rates that are at or above those available for marketable securities, presenting a helpful portfolio investment alternative.
Amortized Cost vs. Market Value Per Share
July 1, 2013 - June 30, 2016
IPAIT Diversified Portfolio
![[ncsr716007.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716007.gif)
The Fund accrues interest income daily and pays accrued income monthly to participant accounts. Interest is paid on the first business day of the month following accrual. Daily income amounts and investment returns are calculated using the interest method. Under this method, a security is initially valued at cost on the date of purchase and, thereafter, any premium or discount is amortized using the interest method.
The IPAIT Adviser values the Fund’s portfolio weekly at current fair value, based upon actual market quotations. The Fund’s current market valuation is compared to that Fund’s current amortized cost basis. In accordance with the established operating parameters of Rule 2a-7 and IPAIT’s internal controls and procedures, any deviation in net asset value based upon available market quotations from the Fund’s $1.00 amortized cost per unit is carefully monitored. Deviations may never exceed 0.5 percent. Illustrated above is the amortized cost versus market value per unit comparison for the past three fiscal years.
IPAIT Diversified Portfolio vs. Iowa Chapter 74A (90-179 & 32-89
Day) & Money Market Benchmark
US Government & Agency July 2015 - June 2016
![[ncsr716009.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716009.gif)
The Fund’s investment performance is regularly compared to three established benchmarks, the money market benchmark average rate for all registered Rule 2a-7 money market funds investing in U.S. government and federal agency securities and the Iowa Code Chapter 74A rate for 32-89, and 90-179 day certificates of deposit issued by Iowa financial institutions for public funds in the state.
DIVERSIFIED PORTFOLIO (CONT.) (UNAUDITED)
The Iowa Code Chapter 74A rates are distributed monthly by the state Treasurer’s office for various investment periods and are intended to be the minimum rates at which Iowa financial institutions can accept public funds for timed deposits. While a public body must commit funds for minimum periods of time to access Chapter 74A rates, IPAIT may offer rates at or above the Chapter 74A benchmarks with complete daily liquidity.
RISK PROFILE
The Fund is low in risk profile. Portfolio investments are limited to:
1. No single portfolio investment may exceed the 397 days to maturity as outlined in Rule 2a-7.
2. The weighted average maturity (WAM) of the portfolio may never exceed 60 days.
In addition to the above investment maturity restrictions, the Fund limits itself to U.S. government and federal agency securities, perfected repurchase agreements collateralized by U.S. government and federal agency securities, and Iowa financial institution certificates of deposit and Iowa depository accounts. This combination of those average maturities and extremely high-quality credit instruments provides eligible Iowa public fund investors with a safe, effective investment alternative.
Maturity Analysis as of June 30, 2016
IPAIT Diversified Portfolio
![[ncsr716011.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716011.gif)
As noted previously, the Fund carefully limits itself to high credit-quality securities. In addition, IPAIT monitors a broad array of economic indicators as well as activities of the Federal Reserve Board to be able to position the Fund’s WAM to take advantage of projected interest rate environments.
Distribution by Security Type as of June 30, 2016
IPAIT Diversified Portfolio
![[ncsr716013.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716013.gif)
It is important to note that portfolio liquidity needs for IPAIT must control evaluation of alternative portfolio management opportunities at all times. For example, if historical cash flow analysis indicates that participants will need to withdraw funds, material extension of the Fund’s portfolio is not a viable alternative.
Participation membership by affiliation concentration is illustrated in the following graph.
Participant Membership
IPAIT Diversified Portfolio
![[ncsr716015.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716015.gif)
24
DIVERSIFIED PORTFOLIO (CONT.) (UNAUDITED)
Ownership Analysis as of June 30, 2016
IPAIT Diversified Portfolio
![[ncsr716017.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716017.gif)
PERFORMANCE SUMMARY
For the one-year period ended June 30, 2016, the Fund reported a ratio of net investment income to average net assets of 0.02 percent, net of all operating expenses. These figures compare relative to the money market benchmark average, which returned 0.02 percent for the fiscal period.
Annual Total Returns
IPAIT Diversified Portfolio vs. Money Market Benchmark
US Government & Agency
![[ncsr716019.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716019.gif)
Also illustrated below are the historical returns for the Fund for the most recent one, three, and five year periods.
Annualized Total Returns
IPAIT Diversified Portfolio vs. Money Market Benchmark
US Government & Agency
![[ncsr716021.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716021.gif)
25
DIVERSIFIED PORTFOLIO (CONT.) (UNAUDITED)
FUND EXPENSES
It is important for you to understand the impact of costs on your investment. All mutual funds have operating expenses. As a shareholder of the fund, you incur ongoing costs, including management fees, distribution and service fees, and other fund expenses. Expenses, which are deducted from a fund’s investment income, directly reduce the investment return of the fund.
A fund’s expenses are expressed as a percentage of its average net assets. This figure is known as the expense ratio. The following examples are intended to help you understand the ongoing costs (in dollars) of investing in your fund and compare these costs with those of other mutual funds. The examples are based on an investment of $1,000 made at the beginning of the period and held for the entire period from January 1, 2016 to June 30, 2016. The table illustrates your fund’s costs in two ways:
1. Based on actual fund return. This section helps you to estimate the actual expenses that you paid over the period. The “Ending Account Value” shown is derived from the fund’s actual return, and the third column shows the dollar amount that would have been paid by an investor who started with $1,000 in the fund. You may use the information here, together with the amount you invested, to estimate the expenses that you paid over the period.
2. Based on hypothetical 5 percent return. This section is intended to help you compare your fund’s costs with those of other mutual funds. It assumes that the fund had a return of 5 percent before expenses during the period shown, but that the expense ratio is unchanged. In this case, because the return used is not the fund’s actual return, the results do not apply to your investment. The example is useful in making comparisons because the Securities and Exchange Commission requires all mutual funds to calculate expenses based on a 5 percent return. You can assess your fund’s costs by comparing this hypothetical example with the hypothetical examples that appear in shareholder reports of other funds.
Your fund does not carry a “sales load” or transaction fee. The calculations assume no shares were bought or sold during the period. Your actual costs may have been higher or lower, depending on the amount of your investment and timing of any purchases or redemptions.
You can find more information about the fund’s expenses, including annual expense ratios for the past five years, in the Financial Highlights section of this report. For additional information on operating expenses and other shareholder costs, please refer to the Information Statement.
![[ncsr716023.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716023.gif)
26
DIVERSIFIED PORTFOLIO (CONT.) (UNAUDITED)
| | | | | | | | |
FEES AND EXPENSES | | | | | |
| | | | | |
All fees are calculated by basis points per net assets. | | | |
| | | | | |
Entity | Fee Type | | Fee | |
Miles Capital, Inc. | Adviser | | 0.090% up to $150MM; |
| | | | 0.070% on $150 - $250MM; |
| | | | 0.055% on assets exceeding $250MM |
Miles Capital, Inc. | Administrator | | 0.100% up to $150MM; |
| | | | 0.090% on $150 - $250MM; |
| | | | 0.075% on assets exceeding $250MM |
Miles Capital, Inc. | Program Support | | 0.060% | |
Sponsoring Associations 1 | Sponsoring Associations | 0.075% | |
Wells Fargo | Custody | | 0.030% | |
Administration Fund | Other fees & expenses | 0.025% | |
| | | | | |
1 Includes Iowa League of Cities, Iowa State Association of Counties, Iowa Association of Municipal Utilities |
|
| | | | | |
This fiscal year's actual expense ratio after fee waivers for the IPAIT Diversified portfolio was 0.29 percent of average net assets based on a sliding fee scale. |
|
| | | | | |
Actual: | | | | | |
For the fiscal year ended June 30, 2016, the following actual expenses were incurred by the Fund after waivers: |
| | | | | |
| | Diversified | | | |
| | Portfolio | | | |
Adviser | | $192,143 | | | |
Administrator | | 230,510 | | | |
Program Support | | 119,581 | | | |
Sponsoring Associations | | 188,108 | | | |
Custody | | 75,243 | | | |
Other fees and expenses | | 128,909 | | | |
Total | | $934,494 | | | |
| | | | | |
| | | | | |
27
DIVERSIFIED PORTFOLIO (CONT.) (UNAUDITED)
STATEMENT OF ADDITIONAL INFORMATION
The SAI has additional information about the Fund and is available without charge, upon request, by calling 800-872-4024.
SCHEDULE OF PORTFOLIO HOLDINGS
A complete schedule of portfolio holdings is posted every month at IPAIT.org and is filed monthly with the SEC (Form N-MFP). Form N-Q (first and third quarters) and the semiannual and annual reports (second and fourth quarter) are available at www.sec.gov, or by phone at 800-SEC-0330, or by mail at Public Reference Section / SEC / Washington DC / 20549 (duplicating fee required) or upon request from IPAIT at 800-872-4024 or at IPAIT.org.
PROXY VOTING
The SEC requires an annual report of the proxy voting record of the Trust. Because the investments allowable under Iowa law restrict the investment for IPAIT to securities to which proxy voting does not apply, IPAIT does not have a proxy voting policy and will report no proxy votes on the Form N-PX. The law requires the filing of the Form N-PX, and this disclosure, even though the Form N-PX will contain no votes. Form N-PX is available at www.sec.gov, or by phone at 800-SEC-0330, or by mail at Public Reference Section SEC / Washington / DC / 20549 (duplicating fee required) or upon request from IPAIT at 800-872-4024.
OTHER INFORMATION
Units of IPAIT’s Diversified Portfolio are not insured by the FDIC or the U.S. Government. Investment products involve investment risk, including the possible loss of principal. Past performance is not predictive of future results, and the composition of the Fund’s portfolio is subject to change.
PARTICIPANT MEETING RESULTS
On August 24, 2015, a participant meeting was held at the Iowa State Association of Counties in West Des Moines, Iowa for election of trustees, amendment of investment policy to allow for investments in deposit accounts and the selection of auditors. The proposals were approved by the participants:
| | | | |
Trustee Election: | 99.84% | 0.15% | NA | |
| | | | |
Selection of Auditors: | 99.70% | 0.30% | NA | |
| | | | |
28
INVESTMENT COMMENTARY (UNAUDITED)
U.S. Economy Plugs Along while Global Shocks Muddy the Water
The second quarter can best be described as a "rollercoaster of macro events" that continue to shape the outlook for the U.S. and global economies. After the extreme market volatility experienced in the first few months of the year, the second quarter was relatively calm until June. The volatility in June began with disappointing monthly jobs data and ended with the surprising result of the U.K. referendum to leave the European Union.
While the indirect impacts and the longer-term consequences of the U.K. exit vote are unclear for both the U.S. and the Eurozone, we do know that the vote creates uncertainty and risk to the region that will create headwinds to growth in the near term. As for the U.S., the U.K. is a relatively small trading partner and direct impacts are likely minimal.
Within the U.S., the consumer continues to be a relative bright spot. Consumer confidence has increased over the last several quarters and remains near multi-year highs, due in part to a sustained level of moderate growth in personal income experienced since 2014. Consumer spending dipped slightly in the first few months of the year but has returned in the 2nd quarter. Expectations are for the trend to continue based on solid income levels, low interest rates, and continued job market strength. This is critical to sustained GDP growth as household spending accounts for more than two-thirds of economic growth here in the U.S.
U.S. GDP growth has been choppy for the past few years, primarily due to the annual slowness we've experienced during the 1st quarter. First quarter growth in 2016 was just 1.1 percent. Nevertheless, we believe we’ll see a fairly stable GDP growth of 2 to 2.5 percent in the coming quarters. While not robust, U.S. growth has outpaced many of the developed markets.
![[ncsr716025.gif]](https://capedge.com/proxy/N-CSR/0000870156-16-000117/ncsr716025.gif)
Doug Earney, CFA
Director, Fixed Income
Miles Capital, Inc.
The views expressed herein are provided for informational purposes only and are believed to be correct, but accuracy and completeness cannot be guaranteed and should not be relied upon for legal or investment decision purposes. All expressions of opinion and predictions presented are subject to change without notice. Neither the information presented nor any opinion expressed constitutes a solicitation for the purchase or sale of any security. Past performance is not a guarantee of future results.
29
IPAIT INVESTMENT POLICY (UNAUDITED)
SECTION 1 - SCOPE OF INVESTMENT POLICY
The Investment Policy of the Iowa Public Agency Investment Trust (IPAIT) shall apply to all funds
invested on behalf of participants accounted for in the IPAIT financial statements. Each investment made pursuant to this Investment Policy must be authorized by applicable law and this written Investment Policy.
This Investment Policy is intended to comply with Iowa Code chapters 28E, 12B, 12C and sections 331.555 and 384.21.
Upon passage and upon future amendment, if any, copies of this Investment Policy shall be delivered to all of the following:
1.
The IPAIT Board of Trustees.
2.
All IPAIT depository institutions or fiduciaries.
3.
The auditor engaged to audit any fund of IPAIT.
SECTION 2 – FUNDAMENTAL INVESTMENT RESTRICTIONS
A. Unless otherwise specified below, none of the portfolios will:
1.
Invest more than 5 percent of the value of their total assets in the securities of any one federally insured Iowa depository institution (other than securities of the U.S. government or its agencies or instrumentalities).
2.
Invest 25 percent or more of the value of their total assets in the securities of issuers conducting their principal business activities in any one industry, including financial institutions. This restriction does not apply to securities of the U.S. Government or its agencies and instrumentalities and repurchase agreements relating thereto.
3.
Issue any senior securities (as defined in the Investment Company Act of 1940, as amended).
4.
Mortgage, pledge or hypothecate their assets.
5.
Make short sales of securities or maintain a short position.
6.
Purchase any securities on margin.
7.
Write, purchase or sell puts, calls or combinations thereof.
8.
Purchase or sell real estate or real estate mortgage loans.
9.
Invest in restricted securities or invest more than 10 percent of the Portfolio’s net assets in repurchase agreements with a maturity of more than seven days, and other liquid assets, such as securities with no readily available market quotation.
10.
Underwrite the securities of other issuers.
11.
Invest in any securities in contravention of the provisions of Rule 2a-7 of the Investment Company Act of 1940 as it presently exists or as it may hereafter be amended.
B. Prohibited Investments
Assets of IPAIT shall not be invested in the following:
1.
Reverse repurchase agreements.
2.
Futures and options contracts.
3.
Any security with a remaining maturity exceeding 397 days as provided in Rule 2a-7.
30
IPAIT INVESTMENT POLICY (CONT.) (UNAUDITED)
C. Prohibited Investment Practices
The following investment practices are prohibited:
1.
Trading of securities for speculation or the realization of short-term trading gains.
2.
Investing pursuant to a contract providing for the compensation of an agent or fiduciary based upon the performance of the invested assets.
3.
If a fiduciary or other third party with custody of public investment transaction records of IPAIT fails to produce requested records when requested by IPAIT or its agents within a reasonable time, IPAIT shall make no new investment with or through the fiduciary or third party and shall not renew maturity investments with or through the fiduciary or third party.
D. Management Policies and Procedures
Following are the fundamental management policies and procedures for IPAIT. All investments shall be maintained in separate IPAIT custodial accounts, segregated by Portfolio on behalf of IPAIT Participants.
1.
Each purchase or sale of a security must be handled on a delivery versus payment (DVP) basis. Funds for the purchase of an investment shall not be released to the seller until the security is delivered to the IPAIT Custodian. Conversely, a sold security shall not be released to the buyer until funds for the purchase price of the security have been received by the IPAIT Custodian.
2.
“Free delivery” transactions are prohibited. The Custodian shall never release assets from the IPAIT custodial accounts until the funds for the investment are delivered.
3.
Any material deviation (greater than 0.5 percent) from the amortized cost of investments shall be promptly reported by the Adviser to the Board of Trustees. If such deviation exceeds 0.5 percent, the Adviser will consider what action, if any, should be initiated to reasonably eliminate or reduce material dilution or other unfair results to Participants. Such action may include redemption of Trust Units in kind, selling portfolio securities prior to maturity, withholding distributions or utilizing a net asset value per Trust Unit based upon available market quotations.
4.
The frequent trading of securities, including day trading for the purpose of realizing short-term gains, the purchase and sale of futures and options to buy or sell authorized investments, reverse repurchase agreements, and other similar speculative transactions are expressly prohibited.
5.
IPAIT may not make any investment other than Permitted Investments authorized by the provisions of the law applicable to the investment of funds by the Participants, as such laws may be amended from time to time.
6.
IPAIT may not purchase any Permitted Investment if the effect of such purchase by IPAIT would be to make the average dollar weighted maturity of a portfolio greater than sixty (60) days.
7.
IPAIT may not borrow money or incur indebtedness whether or not the proceeds thereof are intended to be used to purchase Permitted Investments.
8.
IPAIT may not make loans, provided that IPAIT may make Permitted Investments.
9.
IPAIT may not purchase securities or shares of investment companies or any entities similar to IPAIT.
The restrictions set forth above are fundamental to the operation and activities of IPAIT and may not be changed without the affirmative approval, in writing, of a majority of the Participants entitled to vote, except that such restrictions may be changed by the Trustees so as to make them more restrictive when necessary to confirm the investment program and activities of IPAIT to the laws of the State of Iowa and the United States of America as they may from time to time be amended.
The above investment restrictions shall not be changed without the vote of a majority of the Participants in a Portfolio. “Majority” means the lesser of (a) 67 percent of the Trust’s or a Portfolio’s outstanding Trust Units voting at a meeting of the Participants at which more than 50 percent of the outstanding Trust Units are represented in person or by proxy or (b) a majority of the Trust’s or a Portfolio’s outstanding Trust Units.
31
IPAIT INVESTMENT POLICY (CONT.) (UNAUDITED)
Provided, however, the Trust may invest Portfolio assets pursuant to the maximum extent possible by Iowa law governing investments by public agencies and Rule 2a-7 and any change in the restrictions of the Iowa law governing investments by public agencies and Rule 2a-7 shall be deemed to be adopted by the Trust, and such change shall not require the approval of the Participants.
Any investment restrictions or limitations referred to above which involves a maximum percentage of securities or assets shall not be considered to be violated unless an excess over the percentage occurs immediately after an acquisition of securities or utilization of assets and results there from.
Section 3 – DELEGATION OF AUTHORITY
The responsibility for conducting IPAIT investment transactions resides with the IPAIT Board of
Trustees. Certain responsibilities have been delegated to the Administrator, the Adviser, and the
Custodian (the “Service Providers”) pursuant to the Administrator Agreement, the Adviser Agreement, the Custodian Agreement, with amendments as may be adopted from time to time, and the current Information Statement (the “Documents”).
Each Service Provider shall individually notify the IPAIT Board of Trustees in writing within thirty days of receipt of all communications from the auditor of any Service Provider or any regulatory authority of the existence of a material weakness in internal control structure of the Service Provider or regulatory orders or sanctions regarding the type of services being provided to IPAIT by the Service Provider.
The records of investment transactions made by or on behalf of IPAIT are public records and are the property of IPAIT whether in the custody of IPAIT or in the custody of a fiduciary or other third party.
Section 4 – OBJECTIVES OF INVESTMENT POLICY
The primary objectives, in order of priority, of all investment activities involving the financial assets of IPAIT shall be the following:
1.
Safety: Safety and preservation of principal in the overall portfolio is the foremost investment objective.
2.
Liquidity: Maintaining the necessary liquidity to match expected liabilities is the second investment objective.
3.
Return: Obtaining a reasonable return is the third investment objective.
Section 5 – PRUDENCE
The Board of Trustees, when providing for the investment of deposit of public funds in the IPAIT
program, shall exercise the care, skill, prudence, and diligence under the circumstances then prevailing that a person acting in a like capacity and familiar with such matters would use to attain the Section 4 investment objectives.
Section 6 – INSTRUMENTS ELIGIBLE FOR INVESTMENT
Assets of IPAIT may be invested in the following, all as more fully described in the IPAIT Information Statement:
n
Obligations of the United States government, its agencies and instrumentalities.
n
Certificates of deposit ("CDs") and other evidences of deposit at federally insured Iowa depository institutions approved and secured pursuant to chapter 12C.
n
Repurchase agreements, provided that the underlying collateral consists of obligations of the United States government, its agencies and instrumentalities and that the Custodian takes delivery of the collateral either directly or through a third party custodian.
n
Insured deposits or certificates of deposit, invested pursuant to Iowa Code Section 12B10(7), in an amount above any insured portion of the public funds on deposit at a federally insured Iowa depository institution approved and secured pursuant to Iowa Code chapter 12C.
All instruments eligible for investment are further qualified by all other provisions of this Investment Policy, including Section 7, Diversification and Investment Maturity Limitations.
32
IPAIT INVESTMENT POLICY (CONT.) (UNAUDITED)
Section 7 – DIVERSIFICATION AND INVESTMENT MATURITY LIMITATIONS
It is the policy of IPAIT to diversify portfolio investments in the Diversified Portfolio. As described in the Information Statement, portfolio investments in the Diversified Portfolio are limited to the following:
1.
No individual investment with maturity in excess of 397 days as provided in Rule 2a-7.
2.
The maximum average maturity of all portfolio investments may not exceed 60 days. Pursuant to IPAIT policies as disclosed in the Documents, Participants may also individually invest in Fixed Term Program investments.
Section 8 – SAFEKEEPING AND CUSTODY
All invested assets of Participants in the Portfolios or in the Fixed Term Program shall be held in accordance with the Custodian Agreement.
All invested assets eligible for physical delivery shall be secured by having them held at a third party custodian. All purchased investments shall be held pursuant to a written third party custodial agreement requiring delivery versus payment. No assets may be delivered out of the IPAIT account without full payment (no “free deliveries” shall be permitted).
Section 9 – REPORTING
The Service Providers shall submit all reports required in the Documents.
Section 10 – INVESTMENT POLICY REVIEW AND AMENDMENT
This Investment Policy shall be reviewed annually or more frequently as appropriate. Notice of amendments to the Investment Policy shall be promptly given to all parties noted in Section 1.
Section 11 – EFFECTIVE DATE
This Investment Policy shall be effective as of May 1, 1993.
Passed and approved this 20th day of April, 1993.
Amended effective November 1, 2003, August 26, 2009, August 25, 2010, and August 28, 2013.
33
INVESTING AND NON-INVESTING PARTICIPANTS DIVERSIFIED PORTFOLIO (UNAUDITED)
|
$0-$50,000 Assets Invested |
Anita Municipal Utilities |
Cascade Municipal Utilities |
Cedar Rapids/Linn County SWA |
Central IA Reg Trans Planning Alliance |
City of Afton |
City of Badger |
City of Bellevue |
City of Bloomfield |
City of Breda |
City of Carson |
City of Central City |
City of Clarinda |
City of Coralville |
City of Council Bluffs |
City of Dyersville |
City of Earlville |
City of Grundy Center |
City of Guttenberg |
City of Humboldt |
City of Jefferson |
City of Keystone |
City of Letts |
City of Lovilia |
City of Manchester |
City of Marengo |
City of Martensdale |
City of Massena |
City of McCausland |
City of Melcher-Dallas |
City of Monroe |
City of Nevada |
City of New London |
City of New Virginia |
City of Panora |
City of Polk City |
City of Springbrook |
City of Walnut |
City of Wellman |
City of Wesley |
City of West Burlington |
City of West Liberty |
City Utility of Lake Mills |
City Utility of Martensdale |
City Utility of New Hampton |
City Utility of Orient |
City Utility of Pella |
City Utility of Prairie City |
County of Cedar |
County of Des Moines |
County of Dickinson |
County of Emmet |
County of Fremont |
County of Greene |
County of Hardin |
County of Howard |
County of Lyon |
County of Monona |
County of Polk |
County of Story |
Durant Municipal Electric Plant |
Fontanelle Municipal Utility |
Gowrie Municipal Utilities |
Johnson Township Barnum Community Fire D |
Knoxville Utility |
La Porte City Utility |
Lamoni Municipal Utilities |
Manning Municipal Gas Department |
NIMECA |
North Central Iowa Regional SWA |
Southeast Iowa Regional Planning Commiss |
Stuart Municipal Utilities |
Urbandale Sanitary Sewer District |
Webster County Telecommunications Board |
West Des Moines Water Works |
Winterset Municipal Utilities |
|
$50,000-$250,000 Assets Invested |
City of Boone |
City of Clinton |
City of Dike |
City of Fairbank |
City of Grant |
City of Grimes |
City of Indianola |
City of Lake Mills |
City of Lewis |
City of Mason City |
City of Maynard |
City of Montezuma |
City of Morning Sun |
City of Moulton |
City of Nora Springs |
City of Orange City |
City of Parnell |
City of Readlyn |
City of Red Oak |
City of Ringsted |
City of Riverdale |
City of Shelby |
City of Shenandoah |
City of State Center |
City Utility of Eagle Grove |
City Utility of Fredericksburg |
City Utility of Melcher-Dallas |
City Utility of Middletown |
City Utility of Montezuma |
City Utility of Readlyn |
City Utility of Urbandale |
Corning Municipal Utilities |
County of Audubon |
County of Boone |
County of Butler |
County of Carroll |
County of Crawford |
County of Franklin |
County of Kossuth |
County of Plymouth |
Fifth Judicial District |
Hiawatha Water Department |
IPAIT Administration Fund |
Lakewood Benefited Rec. Lake District |
Lenox Municipal Utilities |
Villisca Municipal Power Plant |
Warren County |
|
$250,000-$500,000 Assets Invested |
Algona Municipal Utilities |
City of Adel |
City of Algona |
City of Davenport |
City of Early |
City of Elk Horn |
City of Griswold |
City of Orleans |
City of Osceola |
City of Pella |
City Utility of Dike |
City Utility of Traer |
County of Adair |
Grundy Center Municipal Utilities |
IAMU Insurance Trust |
Iowa Agency for Municipal Wind |
Iowa Public Power Agency |
South Iowa Area Crime Commission |
South Iowa Detention Service Agency |
|
$500,000-$1,000,000 Assets Invested |
City of Clive |
City of Independence |
City of Mitchellville |
City of Prairie City |
City of Windsor Heights |
City Utility of Shelby |
County of Hamilton |
County of Osceola |
County of Wright |
Dallas County |
Denison Municipal Utilities |
Des Moines Area MPO |
Northwest Iowa Area Solid Waste Agency |
Ringgold County Hospital |
SIMECA |
Spencer Municipal Utility |
|
$1,000,000-$5,000,000 Assets Invested |
City of Altoona |
City of Bondurant |
City of Denison |
City of Eagle Grove |
City of Fort Dodge |
City of Iowa City |
City of Knoxville |
City of Marion |
City of Marshalltown |
City of Mount Pleasant |
City of Muscatine |
City of Oskaloosa |
City of Sioux City |
City of Traer |
City of Washington |
City of Waterloo |
City of Waverly |
County of Appanoose |
County of Buchanan |
County of Cass |
County of Henry |
County of Louisa |
County of O'Brien |
County of Tama |
County of Wapello |
County of Wayne |
County of Winneshiek |
IMWCA Group C |
Lucas County |
Montezuma Municipal Light and Power |
Orange City Area Health System |
Resale Power Group of Iowa |
Southwest Iowa Planning Council |
Waterloo Water Works |
Xenia Rural Water District |
|
Over $5,000,000 Assets Invested |
Broadlawns Medical Center |
City of Hiawatha |
City of Johnston |
City of Ottumwa |
City of West Des Moines |
County of Black Hawk |
County of Calhoun |
County of Jackson |
County of Madison |
County of Poweshiek |
County of Sioux |
Muscatine Power and Water |
34
|
|
Non-Investing Participants |
Audubon County Memorial Hospital |
Brooklyn Municipal Utilities |
Buena Vista County Solid Waste Commiss |
Cass County Environment Control Agency |
Cedar Falls Utilities |
Central IA Juvenile Detention Commission |
City of Ackley |
City of Agency |
City of Albert City |
City of Alton |
City of Ames |
City of Anamosa |
City of Ankeny |
City of Anthon |
City of Atlantic |
City of Auburn |
City of Audubon |
City of Bedford |
City of Bettendorf |
City of Brandon |
City of Burlington |
City of Burt |
City of Bussey |
City of Callender |
City of Camanche |
City of Carlisle |
City of Carter Lake |
City of Cascade |
City of Cedar Falls |
City of Cedar Rapids |
City of Center Point |
City of Centerville |
City of Charles City |
City of Cherokee |
City of Clear Lake |
City of Colfax |
City of Colo |
City of Corning |
City of Correctionville |
City of Corydon |
City of Creston |
City of Cumming |
City of Dayton |
City of Denver |
City of Des Moines |
City of DeWitt |
City of Dubuque |
City of Dunkerton |
City of Dysart |
City of Earlham |
City of Eldon |
City of Eldridge |
City of Elk Run Heights |
City of Ellsworth |
City of Ely |
City of Epworth |
City of Evansdale |
City of Fairfield |
City of Forest City |
City of Fort Madison |
City of Garner |
City of Gilbertville |
City of Gilmore City |
City of Grand Mound |
City of Grand River |
City of Greenfield |
City of Grinnell |
City of Harlan |
City of Hartley |
City of Hawarden |
City of Hazleton |
City of Hudson |
City of Huxley |
City of Keokuk |
City of La Porte City |
City of Lamont |
City of Lehigh |
City of Lenox |
City of Leon |
City of Lisbon |
City of Lohrville |
City of Mallard |
City of Manning |
City of Maquoketa |
City of Marble Rock |
City of Middletown |
City of Missouri Valley |
City of Montezuma Fire Department |
City of Mount Vernon |
City of Murray |
City of New Hampton |
City of Newton |
City of Oelwein |
City of Osage |
City of Ossian |
City of Peosta |
City of Perry |
City of Pleasant Hill |
City of Pleasantville |
City of Pocahontas |
City of Prescott |
City of Preston |
City of Rockwell City |
City of Sac City |
City of Sageville |
City of Sheldon |
City of Shueyville |
City of Slater |
City of Spencer |
City of Spirit Lake |
City of Spragueville |
City of St. Charles |
City of Storm Lake |
City of Stratford |
City of Sumner |
City of Tiffin |
City of Tipton |
City of Underwood |
City of Urbana |
City of Urbandale |
City of Van Meter |
City of Villisca |
City of Vinton |
City of Webster City |
City of West Branch |
City of Westfield |
City of Wilton |
City of Woodbine |
City Utility of Alton |
City Utility of Ames |
City Utility of Anamosa |
City Utility of Anthon |
City Utility of Aplington |
City Utility of Bloomfield |
City Utility of Colfax |
City Utility of Coon Rapids |
City Utility of Corydon |
City Utility of Creston |
City Utility of Denver |
City Utility of Epworth |
City Utility of Fairbank |
City Utility of Graettinger |
City Utility of Harlan |
City Utility of Hawarden |
City Utility of Laurens |
City Utility of LeClaire |
City Utility of Lohrville |
City Utility of Maquoketa |
City Utility of Murray |
City Utility of Preston |
City Utility of Sac City |
City Utility of Sanborn |
City Utility of Slater |
City Utility of St. Charles |
City Utility of Story City |
City Utility of Vinton |
City Utility of Wahpeton |
Clay County |
Clayton County |
Clear Lake Sanitary District |
Council Bluffs Airport Authority |
County of Buena Vista |
County of Cerro Gordo |
County of Chickasaw |
County of Clarke |
County of Clinton |
County of Davis |
County of Decatur |
County of Dubuque |
County of Floyd |
County of Greene-Medical Center |
County of Grundy |
County of Hancock |
County of Harrison |
County of Iowa |
County of Jasper |
County of Johnson |
County of Jones |
County of Linn |
County of Marion |
County of Marshall |
County of Mills |
County of Mitchell |
County of Monroe |
County of Muscatine |
County of Page |
County of Pocahontas |
County of Ringgold |
County of Sac |
County of Scott |
County of Union |
County of Washington |
County of Webster |
County of Winnebago |
County of Worth |
Crawford County Memorial Hospital |
Dallas County Hospital |
Des Moines Metropolitan Transit Authorit |
Des Moines Utility |
Eighth Judicial Dist. Dept. of Correct. |
Evansdale Water Works |
Fort Madison Utility |
Geode Resource Conserv. & Develp., Inc. |
Gilbertville Community Day, Inc. |
Greenfield Municipal Utilities |
Guthrie County |
Heart of Iowa Reg. Transit Agency |
Ida County |
Iowa Cities E-Payment Aggregation System |
Iowa Lakes Regional Water |
Iowa Northland Reg. Council of Gov. |
Iowa Stored Energy Plant Agency |
Jefferson County Hosp. Foundation, Inc. |
Jefferson County Hospital |
Lee County |
Madison County Memorial Hospital |
Manilla Municipal Gas Dept. |
Manning Municipal Utilities |
Mid Iowa Regional Housing Authority |
Midas Council of Governments |
Mid-Iowa Development Association COG |
Missouri River Energy Services |
Mitchell County Regional Health Center |
Monroe County Hospital |
Mt. Pleasant Municipal Utilities |
Newton Waterworks |
North Central Reg. Emerg. Resp. Com. |
North Iowa Area Council of Govts. |
Ogden Municipal Utility |
Page County Landfill Association |
Palo Alto County Hospital |
Plymouth County Solid Waste Agency |
Pottawattamie County |
Poweshiek Water Association |
Second Judicial Dist Dept. of Correct |
Seventh Judicial District |
Third Judicial District |
Van Buren County Hospital |
Washington County Hospital |
Waverly Health Center |
Waverly Light and Power |
Webster County Solid Waste Commission |
Wilton Municipal Light and Power |
35
STATISTICAL INFORMATION (UNAUDITED)
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