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Home My WebLink About2004-12-08MINUTES OF FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE MEETING Orange County Sanitation District Wednesday, December 8, 2004, 5:00 p.m. A meeting of the Finance, Administration and Human Resources Committee of the Orange County Sanitation District was held on December 8, 2004, at 5:00 p.m., in the District's Administrative Office. (1) The roll was called and a quorum declared present, as follows: FAHR COMMITTEE MEMBERS: DIRECTORS PRESENT: Roy Moore, Chair Mike Duvall, Vice Chair Patricia Bortle Bill Dalton Darryl Miller Joy Neugebauer James W. Silva Steve Anderson, Board Chair DIRECTORS ABSENT: Jim Ferryman, Vice Board Chair STAFF PRESENT: Blake P. Anderson, General Manager Gary Streed, Director of Finance/Treasurer Carol Beekman, Director of Communications & Administrative Services Lisa Tomko, Director of Human Resources Mike White, Controller Lisa Arosteguy, Human Resources Supervisor Ann Sullivan, Human Resources Analyst Paul Loehr, Senior Human Resources Analyst Rich Castillon, Information Technology Manager Jennifer Cabral, Senior Public Information Specialist Penny Kyle, Committee Secretary Lilia Kovac, Assistant Committee Secretary OTHERS PRESENT: Director Cathy Green Brad Hogin, Assistant General Counsel Layne Baroldi Bob Geggie (2) APPOINTMENT OF CHAIR PRO TEM No appointment was necessary. (3) PUBLIC COMMENTS There were no public comments. (4) REPORT OF THE COMMITTEE CHAIR Committee Chair Moore had no report. (5) REPORTOFTHEGENERALMANAGER FILED AR'I IN THE OFFICE OF THE SECRET \Ci E ,..n, ,.,~•., ... , .,..-,-r1 f'lt-l OISTR ORANG 1 • · DEC 15 2004 BY _f_r. __ Minutes of the Finance, Administration and Human Resources Committee Meeting Page 2 December 8, 2004 Blake Anderson, General Manager, reported that the Orange County Business Council Board of Directors has invited him to join their Executive Committee. This opportunity will afford OCSD a forum to educate the customers about the District's infrastructure. The Directors were reminded that the Orange County Leadership Symposium will be held January 14-16, 2005, in Lake Arrowhead. The Directors were encouraged to attend this event. It was also noted that the Orange County Grand Jury will be visiting the District on Monday, December 13, to learn about the District's infrastructure. (6) REPORT OF DIRECTOR OF FINANCE/TREASURER The Director of Finance/Treasurer had no report. (7) REPORT OF DIRECTOR OF HUMAN RESOURCES Lisa Tomko, Director of Human Resources, introduced Paul Loehr, Senior Human Resources Analyst, who will be involved with employee labor relations. (8) REPORT OF DIRECTOR OF COMMUNICATIONS & ADMINISTRATlVE SERVICES The Director of Communications & Administrative Services had no report. (9) REPORT OF GENERAL COUNSEL Assistant General Counsel Brad Hagin had no report. (10) CONSENT CALENDAR ITEMS a. Approve minutes of the November 10, 2004, Finance, Administration and Human Resources Committee meeting, as corrected. b. FAHR04-105 Recommend to the Board of Directors to receive and file Treasurer's Report for the month of November 2004. c. FAHR04-106 Receive and file Certificates of Participation (COP) Monthly Report. d. FAHR04-107 Receive and file Employment Status Report as of November 15, 2004. e. FAHR04-108 Receive and file OSHA Incidence Rates and Workers' Compensation Claims and Costs Report. f. FAHR04-109 Receive and file report of General Manager approved purchases in amounts exceeding $50,000 in accordance with Board purchasing policies. g. FAHR04-110 Recommend to the Board of Directors to adopt Resolution No. OCSD 04- _, amending Resolution No. OCSD 98-33, amending Human Resources Policies and Procedures Manual. Minutes of the Finance, Administration and Human Resources Committee Meeting Page 3 December 8, 2004 h. FAHR04-111 Recommend to the Board of Directors to adopt Resolution No. OCSD 04- _, amending Resolution No. OCSD 98-33, amending Human Resources Policies and Procedures Manual re specific IT related policies. i. FAHR04-112 Receive and file informational report on Status and Impact of State MOTION: Property Tax Shift for 2004-05 and 2005-06. It was moved, seconded and duly carried to approve the recommended actions for items specified as 1 O(a) through (i) under Consent Calendar. END OF CONSENT CAL~NDAR (11) ACTION ITEMS a. FAHR04-113 Approve a one time only non-base building payment for the Director of MOTION: Technical Services in an amount not to exceed $3,480 for his service as Acting General Manager. Blake Anderson, General Manager, reported the item is being resubmitted to the FAHR Committee for a revised lower amount, after consideration of comments made at the last FAHR Committee meeting. It was moved, seconded and duly carried to recommend approval to the Board of Directors. b. FAHR04-114 In response to the Huntington Beach Conference and Visitors Bureau (HBCVB) proposal, continue to use the planned efforts for community outreach activities and education programs as described in the current Communications and Administrative Services Strategic Plan FY 2004-05. Carol Beekman, Director of Communications & Administrative Services, reported the Steering Committee and staff have reviewed the proposal submitted by the HBCVB. In response to the District's Labor Day weekend effluent discharge to the Santa Ana River and subsequent pre- emptive closing of nearby beaches by the County Health Department, the HBCVB has made a proposal that the District establish a special budget for an advertising campaign that would directly benefit the city's tourism industry. Board Chair Steve Anderson met with the mayors of Huntington Beach and Newport Beach and representatives of HBCVB. The General Manager wrote a memo to Chair Anderson outlining staff recommendations that were presented at the November 17, 2004 Steering Committee meeting. After Chair Anderson's review of the recommendations, he asked that the proposal be submitted to the FAHR Committee for consideration. General Counsel issued an opinion that was shared with the FAHR Committee that the proposal, as written, would constitute an unlawful gift of public funds because it would have a purely private purpose Minutes of the Finance, Administration and Human Resources Committee Meeting Page4 December 8, 2004 MOTION: (prevention of lost revenue to area businesses), and it would vest discretionary spending authority in a private individual, effectively allowing a private individual to spend public funds. Ms. Beekman noted highlights contained in a letter dated November 30, 2004, from the HBCVB, that was provided to the Directors that evening: (1) "We think OCSD should step up to its job for education and outreach and finance a significant regional advertising campaign to tell the story"; and, (2) "It could even be funded as a Supplemental Environmental Project of the Regional Water Quality Control Board using OCSD's fines assessed for the Labor Day sewage spill." It was noted that Dr. Robert Ghirelli, Director of Technical Services and a former Executive Officer of a Regional Water Quality Control Board, had provided his considered opinion that the Regional Water Quality Control Board's supplemental environmental projects are designed for projects to improve water quality and that the HBCVB proposal would not qualify for that reason. Ms. Beekman referred the Directors to review a handout provided that evening listing projects the District has voluntarily initiated since the 1999 Strategic Plan analysis of peak flow management. It was noted more than $700 million has been spent to date to better the District's system and decrease risks of emergency discharge. The Directors entered into a brief discussion and Director Cathy Green was asked for her input. The city is having a difficult time promoting an environmentally friendly city while experiencing beach closures for sewage spills, and construction problems in connection with the Bushard Trunk Sewer project. She asked that the District do more in promoting a positive image and to do more in promoting positive reports to the public. It was moved, seconded and duly carried to continue with the planned efforts for community outreach activities and education programs as described in the current Communications and Administrative Services Strategic Plan FY 2004-05. c. FAHR04-115 Approve the request for proposal for independent financial auditors to conduct the annual financial audit over a five year period beginning with the fiscal year ending 2004-05 and the list of independent auditors to receive the proposal. Mike White, Controller, provided a brief report on the successful audit results of the District's accounting practice. The FAHR Committee directed staff to continue with the existing Audit Committee Policy and Procedure. It was also noted that Moreland & Associates was not to be asked to submit a proposal as they have served as the external auditors for the last ten years; and Moss, Levy & Hartzheim was not to be asked to submit a proposal as they are currently serving as the District's contract internal auditors. Minutes of the Finance, Administration and Human Resources Committee Meeting Page 5 December 8, 2004 MOTION: It was moved, seconded and duly carried to recommend approval to the Board of Directors. (12) INFORMATION PRESENTATIONS There were none. (13) CLOSED SESSION There was no closed session. (14) OTHER BUSINESS, COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY The General Manager advised the Directors that General Counsel was sending the Board of Directors a confidential memorandum regarding the Yakima Company. Director Bortle announced that this was her last FAHR meeting. Committee members expressed gratitude for her service to the agency. (15) CONSIDERATION OF UPCOMING MEETINGS The next FAHR Committee meeting is scheduled for February 9, 2005 at 5 p.m. (16) ADJOURNMENT The Chair declared the meeting adjourned at 5:45 p.m. Submitted by: Penny M. 1-(y'le FAHR Committee Secretary H:\dept\agenda\FAHR\FAHR2004\ 1204\ 120804 FAHR Minutes.doc STATE OF CALIFORNIA) ) SS . COUNTY OF ORANGE ) Pursuant to California Government Code Section 54954.2, I hereby certify that the Notice and the Agenda for the Finance, Administration, and Human Resources Committee meeting to be held on /Jlcl/hv(t/..(_,,, f: , 200 5( was duly posted for public inspection in the main lobby of the District's offices on fttblV/¼...,,-; 200 z/ , IN WITNESS WHEREOF, I have hereunto set my hand this /df-day of {µ,lf/J : ~. 2oo_v.' Penny M. Kyle, SecretaryJ Board of Directors Orange County Sanitation District G:\WP.DTA\ADMIN\BS\FORMS\AGENDA CERTIFICA TION-FAHR COMMITTEE.DOC phone: [714) 962-2411 fax: (714) 962-0356 -.Dead.cam malling address: P.O. Box 8127 Fountain Valley, CA 92728-8127 strnt address: 10844 Ellis Avenue Fountain Valley, CA 92708-7018 Member Agencies • Cities Anaheim Brea Buena Park Cypress Fountain Valley Fullerton Garden Grove Huntington Beach Irvine La Habra La Palma Los Alamitos Newport Beach Orenge Placentia Santa Ana Seal Beach Stenton Tustin Villa Park Yorba Linda Caunty af Orange Sanitary Districts Costa Mesa Midway City Water Districts Irvine Ranch •RANGE COUNTY SANITATION DISTRICT December 1 , 2004 NOTICE OF MEETING FINANCE, ADMINISTRATION AND HUMAN RESOURCES. COMMITTEE ORANGE COUNTY SANITATION DISTRICT WEDNESDAY, DECEMBER 8. 2004-5:00 P.M. DISTRICT'S ADMINISTRATIVE OFFICES 10844 ELLIS AVENUE FOUNTAIN VALLEY, CALIFORNIA 92708 WWW.OCSD.COM A regular meeting of the Finance, Administration and Human Resources Committee of the Board of Directors of the Orange County Sanitation District, will be held at the above location, date and time. To maintain world-class leadership in wastewater and water resource management. FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE MEETING DATES FAHR Committee Meeting Date December 8, 2004 January -Dark February 9, 2005 March 9, 2005 April 13, 2005 May 11, 2005 June 8, 2005 July 13, 2005 August-Dark September 14, 2005 October 12, 2005 November 9, 2005 Board Meetihg Dates *December 15, 2004 January 26, 2005 February 23, 2005 March 23, 2005 April 27, 2005 May 25, 2005 June 22, 2005 July 27, 2005 August 24, 2005 September 28, 2005 October 26, 2005 *November 16, 2005 *Meetings being held the third Wednesday of the month. ROLL CALL FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE Meeting Date: December 8, 2004 COMMITTEE MEMBERS Roy Moore (Chair) Mike Duvall (Vice Chair) Patricia Bortle Bill Dalton Darryl Miller Joy L. Neugebauer James W. Silva Steve Anderson (Board Chair) Jim Ferryman (Board Vice Chair) OTHERS Tom Woodruff, General Counsel Don Hughes STAFF Blake Anderson, General Manager Time: 5:00 p.m. Adjourn: Carol Beekman, Director of Communications & Administrative Services David Ludwin, Director of Engineering Bob Ooten, Director of O & M Lisa Tomko, Director of Human Resources Gary Streed, Director of Financen-reasurer Patrick Miles, Director of Information Technology Robert Ghirelli, Director of Technical Services Mike White, Controller Penny Kyle, Committee Secretary Lilia Kovac, Assistant Committee Secretary Rich Castillon Jeff Reed Lisa Arosteguy Ann Sullivan Paul Loehr c: Lenora Crane AGENDA REGULAR MEETING OF THE FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE ORANGE COUNTY SANITATION DISTRICT WEDNESDAY, DECEMBER 8, 2004, AT 5:00 P.M. ADMINISTRATIVE OFFICE 10844 Ellis Avenue Fountain Valley, California 92708 www.ocsd.com Agenda Posting : In accordance with the requirements of California Government Code Section 54954.2, this agenda has been posted in the main lobby of the District's Administrative offices not less than 72 hours prior to the meeting date and time above. All written materials relating to each agenda item are available for public inspection in the office of the Board Secretary. Items Not Posted: In the event any matter not listed on this agenda is proposed to be submitted to the Committee for discussion and/or action, it will be done in compliance with Section 54954.2(b) as an emergency item or because there is a need to take immediate action, which need came to the attention of the Committee subsequent to the posting of agenda, or as set forth on a supplemental agenda posted in the manner as above, not less than 72 hours prior to the meeting date. Accommodations for the Disabled: The Board of Directors Meeting Room is wheelchair accessible. If you require any special disability related accommodations, please contact the Orange County Sanitation District Board Secretary's office at (714) 593-7130 at least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type of accommodation requested. Items Continued: Items may be continued from this meeting without further notice to a Committee meeting held within five (5) days of this meeting per Government Code Section 54954.2(b)(3). MeetingcAd[ournment: This meeting may be adjourned to a later time and items of business from this agenda may be considered at the later meeting by Order of Adjournment and Notice in accordance with Government Code Section 54955 (posted within 24 hours). (1) ROLL CALL (2) APPOlr:-JTMENT OF CHAIR PRO TEM, IF NECESSARY Book Page 1 December 8, 2004 (3) PUBLIC COMMENTS All persons wishing to address the Finance, Administration and Human Resources Committee on specific agenda items or matters of general interest should do so at this time. As determined by the Chair, speakers may be deferred until the specific item is taken for discussion and remarks may be limited to three minutes. Matters of interest addressed by a member of the public and not listed on this agenda cannot have action taken by the Committee except as authorized by Section 54954.2(b). (4) REPORT OF COMMITTEE CHAIR (5) REPORT OF GENERAL MANAGER (6) REPORT OF DIRECTOR OF FINANCE (7) REPORT OF DIRECTOR OF HUMAN RESOURCES (8) REPORT OF DIRECTOR OF COMMUNICATIONS & ADMINISTRATIVE SERVICES (9) REPORT Of= GENERAL COUNSEL (10) CONSENT CALENDAR ITEMS Consideration of motion to approve all agenda items appearing on the Consent Calendar not specifically removed from same, as follows: \-All m~tters placed on the cons~nt calendar are considered.as not requiring discus~ion or further explanation and ·· · i )unless any particular item is requested to be removed from the consent calendar by a Director or staff member, i ]there will be no separate discussion of these items. All items on the consent calendar will be enacted by one j -1 action approving all motions, and casting a unanimous ballot for resolutions included on the consent calendar. All ! ·\items removed from the consent calendar shall be considered in the regular order of business. j !The Chair will determine if any items are to be deleted from the consent calendar. ! ~ ............ -............. •· 0 •• o0o0_0 ... 00-•••·-· .. ••• .. •·-·•-••Ho ... o• ............ , 001,HJ ... , O _., 0 O 00 .... 00-00-1 ................................... ,.,., ............. ~•···•••••••••· .. UOU~o••· ... • ................. -•• ,•-.. ,, •• ..... •·••••H••• ....... 0'0 .. 0H00HHO•oo0, .. 0 .... 0H ~ a. Approve minutes of the November 10, 2004, Finance, Administration and Human Resources Committee meeting. b. FAHR04-105 Recommend to the Board of Directors to receive and file Treasurer's Report for the month of November 2004. The Treasurer's Report will be distributed at the FAHR Committee meeting in accordance with the Board-approved Investment Policy, and in conformance to the Government Code requirement to have monthly reports reviewed within 30 days of month end. 2 Book Page 2 December 8, 2004 c. FAHR04-106 Receive and file Certificates of Participation (COP) Monthly Report. d. FAHR04-107 Receive and file Employment Status Report as of November 15, 2004. e. FAHR04-108 Receive and file OSHA Incidence Rates and Workers' Compensation Claims and Costs Report. f. FAHR04-109 Receive and file report of General Manager approved purchases in amounts exceeding $50,000 in accordance with Board purchasing policies. g. FAHR04-110 Recommend to the Board of Directors to adopt Resolution No. OCSD 04- _, amending Resolution No. OCSD 98-33, amending Human Resources Policies and Procedures Manual. h. FAHR04-111 Recommend to the Board of Directors to adopt Resolution No. OCSD 04- _, amending Resolution No. OCSD 98-33, amending Human Resources Policies and Procedures Manual re specific IT related policies. i. FAHR04-112 Receive and file informational status report on Status and Impact of State Property Tax Shift for 2004-05 and 2005-06. END OF CONSENT CALENDAR Consideration of items deleted from Consent Calendar, if any. (11) ACTION ITEMS a. FAHR04-113 Approve a one time only non-base building payment for the Director of Technical Services in an amount not to exceed $3,480 for his service as Acting General Manager. (Blake Anderson -1 O minutes) b. FAHR04-114 In response to the Huntington Beach Conference and Visitors Bureau (HBCVB) proposal, continue to use the planned efforts for community outreach activities and education programs as described in the current Communications and Administrative Services Strategic Plan FY 2004-05. (Carol Beekman -5 minutes) c. FAHR04-115 Approve the request for proposal for independent financial auditors to conduct the annual financial audit over a five year period beginning with the fiscal year ending 2004-05 and the list of independent auditors to receive the proposal. (Mike White -15 minutes) 3 Book Page 3 December 8, 2004 (12) INFORMATIONAL PRESENTATIONS (13) CLOSED SESSION i During . the course of conducting the business set fortti' on this agencia'"as a , .. r~guiar···me·eting .. of the .......... ( i Committee, the Chair may convene the Committee in closed session to consider matters of pending real i ! estate negotiations, pending or potential litigation, or personnel matters, pursuant to Government Code ; l Sections 54956.8, 54956.9, 54957 or 54957.6, as noted. ' j Reports relating to (a) purchase and sale of real property; (b) matters of pending or potential litigation; (c) l employee actions or negotiations with employee representatives; or which are exempt from public disclosure ! under the California Public Records Act, may be reviewed by the Committee during a permitted closed 1 session and are not available for public inspection. At such time as final actions are taken by the Committee j on any of these subjects, the minutes will reflect all required disclosures of information. ' . i...--···-·· ......................................... u .............................. -• .................................................................... _,. ..................... ..., ...... \ .................. t"1••··••HHHO-•····· ..................... _ ................. u ,~••hoO} a. Convene in closed session. b. Reconvene in regular session. c. Consideration of action, if any, on matters considered in closed session. (14) OTHER BUSINESS. COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY (15) MATTERS WH ICH A DIRECTOR MAY WISH TO PLACE ON A FUTURE AGENDA FOR ACTION AND STAFF REPORT (16) FUTURE MEETING DATES The next Finance, Administration and Human Resources Committee Meeting is scheduled for February 9, 2005, at 5 p.m. (17) ADJOURNMENT 4 Book Page 4 December 8, 2004 • ~-~•·• •-••••••• .. •• .. ••••· .. ••--.. 'r••o.oo•••· .. _..••••.n•• .. uuu•-•HoooO•u ooH00aoo,o-0 ,uooo' .... .,,,, ••••• • -••••·•U .. •o, ,,n o,, ••-••--o'•H•••••n•o •-•·•-••.,.HO"' .... ,._., .................. ._. .... ,, .. ,,._,,.~u,.._,.,,_.,,._..,,_.,,,,o.ooo••• 0 ,.., ! Notice to Committee Members: I I For any questions on the agenda or to place any items on the agenda, Committee members should contact the ! !Committee Chair or Secretary ten days in advance of the Committee meeting. ',,,'=,,,,'' 1Committee Chair: Roy Moore (714) 990-7703 (Committee Secretary: Penny Kyle (714) 593-7130 pkyle@ocsd.com )General Manager Blake Anderson (714) 593-7110 banderson@ocsd.com )Director of Finance Gary Streed (714) 593-7550 gstreed@ocsd.com )Director of Human Resources Lisa Tomko (714) 593-7145 ltomko@ocsd.com :_r:, !Director of Communications & Carol Beekman (714) 593-7120 cbeekman@ocsd.com !Aclministrative Services , , .... ,, . ..., .................. ••••••••••••·•·• ....... ••••••••••••••••.,.••••~•.-.'<>·•••._..•·•·••·•oo,nooo, -••••n•H••• .. •• .. ohn, ... •••• .. •--.•••• ... l ....... •••·•••••••••• .. ••••••••••• .. •••n••• .. ~n•••·•• .. •·•• .... • .. ·U•WoOooHHHHH ......... ••••• .. ••.-.• .. .......,...,... .... .....,.....,_.., ... on-•.•-••••• H:\dept\agenda\FAHR\FAHR2004\1104\01 .3.111004 FAHR Agenda.doc 5 Book Page 5 Book Page 6 December 1, 2004 FAHR COMMITTEE AGENDA CALENDAR Month Item Action January No meeting scheduled February Consider revised OCERS ARBA Agreement Action February Consider Structure of 2005-06 COP Offering Action February Consider Financing Team for 2005-06 Offering Action February Consider Preliminary Budget Assumptions for Action 2005-06 February Consider mid-year budget review for 6 months Action ended 12/31 /04 February Consider Quarterly Investment Management Report (2nd Quarter) Action February Consider Preliminary Sewer Service User Fees for Information 2005-06 February SWAP Status Report (2 nd Quarter) Action February Communications Plan Quarterly Update Information February OCERS ARBA Agreement Action March Preliminary 2005-06 Budgets Information March Consider Sewer Service User Fees for 2005-06 Action March Consider Permit User Service Fees for 2005-06 Action March Consider Capital Facilities Capacity Charges Action March Consider HR and Safety Policy Changes Action Book Page 7 Book Page 8 MINUTES OF FINANCE, ADMINISTRATION AND HUMAN RESOURCES COMMITTEE MEETING Orange County Sanitation District Wednesday, November 10, 2004, 5:00 p.m. A meeting of the Finance, Administration and Human Resources Committee of the Orange County Sanitation District was held on November 10, 2004, at 5:00 p.m., in the District's Administrative Office. (1) The roll was called and a quorum declared present, as follows: FAHR COMMITTEE MEMBERS: DIRECTORS PRESENT: Roy Moore, Chair Mike Duvall, Vice Chair Patricia Bortle Bill Dalton Shirley McCracken Darryl Miller Joy Neugebauer James W. Silva Steve Anderson, Board Chair DIRECTORS ABSENT: Jim Ferryman, Vice Board Chair (2) APPOINTMENT OF CHAIR PRO TEM No appointment was necessary. (3) PUBLIC COMMENTS There were no public comments. (4) REPORT OF THE COMMITTEE CHAIR The Chair had no report. STAFF PRESENT: Blake P. Anderson, General Manager Gary Streed, Director of Finance/Treasurer Carol Beekman, Director of Communications & Administrative Services Mike White, Controller Lisa Arosteguy, Human Resources Supervisor Ann Sullivan, Human Resources Analyst Dionne Kardos, Public Relations Penny Kyle, Committee Secretary Lilia Kovac, Assistant Committee Secretary OTHERS PRESENT: Donna Carter Robbynn Lystrup Mike Moreland Nepa Shah (5) REPORT OF THE GENERAL MANAGER Blake Anderson, General Manager, announced a reception would be held for Wes Bannister at 6:30 p.m. prior to the Board Meeting on November 17th. He also encouraged directors to attend the Orange County Leadership Symposium that would be held on January 14-16, 2005. Book Page 9 Minutes of the Finance, Administration and Human Resources Committee Meeting Page2 November 10, 2004 (6) REPORT OF DIRECTOR OF FINANCE/TREASURER Gary Streed, Director of Finance/Treasurer, referr,ed to the Treasurer Report distributed that evening. He reported that rate adjustment hearing notifications have been sent to all permit users. (7) REPORT OF DIRECTOR OF HUMAN RESOURCES The Director of Human Resources representative had no report. (8) REPORT OF DIRECTOR OF COMMUNICATIONS & ADMINISTRATIVE SERVICES Carol Beekman, Director of Communications & Administrative Services, reported on the "Nerissa" christening that was held on November 6th at the Newport Harbor Nautical Museum. 260 people and five Board members attended the event along with 34 employee volunteers who helped with the event. Lilia Kovac, Assistant Board Secretary, was introduced to the Directors. (9) REPORT OF GENERAL COUNSEL General Counsel was not present. (10) CONSENT CALENDAR ITEMS a. Approve minutes of the October 13, 2004, Finance, Administration and Human Resources Committee meeting, as corrected. b. FAHR04-93 Recommend to the Board of Directors to receive and file Treasurer's Report for the month of October 2004. c. FAHR04-94 Receive and file Certificates of Participation (COP) Monthly Report. d. FAHR04-95 Receive and file Employment Status Report as of October 21, 2004. e. FAHR04-96 Receive and file OSHA Incidence Rates and Workers' Compensation Claims and Costs Report. f. FAHR04-97 Recommend to the Board of Directors to receive and file the Quarterly Investment Management Program Report for the period July 1, 2004 through September 30, 2004. g. FAHR04-98 Recommend to the Board of Directors to receive and file the 2004-05 First Quarter Financial Report for the period ending September 30, 2004. h. FAHR04-99 Recommend to the Board of Directors to receive and file the SWAP MOTION: Report for the quarter ended September 30, 2004. It was moved, seconded and duly carried to approve the recommended actions for items specified as 1 0(a) through (h) under Consent Calendar. ENO OF CONSENT CALENDAR Book Page 10 Minutes of the Finance, Administration and Human Resources Committee Meeting Page 3 November 10, 2004 (11) ACTION ITEMS a. FAHR04-100 Recommend to the Board of Directors to: (1) Approve the reclassification MOTION: of two District employees and one position upgrade; and, (2) Approve the pay range placement of the Director of Communications and Administrative Services. Ann Sullivan, Human Resources Analyst gave a brief report outlining the employee re-classifications and position upgrade. It was moved, seconded and duly carried to recommend approval to the Board of Directors. b. FAHR04-101 Approve a one-time only non-base building payment for the Director of MOTION: Technical Services in an amount not to exceed $7,948 for his service as Acting General Manager. Blake Anderson reported that Bob Ghiretli was the acting General Manager for approximately two months and did an extraordinary job. He was recommending the approval of a one-time only non-base building payment for the additional responsibilities. The Directors discussed the calculation to derive to the amount of the payment and expressed concern that the payment was somewhat excessive. It was moved, seconded and duly carried to recommend approval to the Board of Directors. c. FAHR04-102 Authorize the General Manager to solicit Requests for Proposal and MOTION: subsequently award a Consultant Services Agreement for Phase 2 of the Corporate Identity and Public Awareness Project, Specification No. CS-2003-162BD, in an amount not to exceed $20,000. Carol Beekman, Director of Communications & Administrative Services introduced Donna Carter and Robbynn Lystrup of Johnson/Ukropina who reviewed the findings for Phase 1 of the Corporate Identity Program. The Directors concluded that the District should not make a change to its name or logo, nor add a tag line, but should develop an identity standards manual at an estimated cost of $5,000-$7,500. It was then moved, seconded and duly carried to recommend approval to the Board of Directors to proceed with no change in name or logo, no added tag line, and develop an identity standards manual at a cost estimated between $5,000 to $7,5000. Directors also requested that should a tag line be considered during the development of the identity standards, that the item be brought back to the FAHR Committee for consideration. It was moved, seconded and duly carried to recommend approval to the Board of Directors. Book Page 11 Minutes of the Finance, Administration and Human Resources Committee Meeting Page4 November 10, 2004 d. FAHR04-103 Recommend to the Board of Directors to receive and file FY 03/04 MOTION: Comprehensive Annual Financial Report. Mike White, Controller, provided a brief review of the new CAFR. Mike Moreland of Moreland and Associates reported there were no areas of concern discovered during their financial audit. It was moved, seconded and duly carried to recommend approval to the Board of Directors. (12) INFORMATION PRESENTATIONS a. FAHR04-104 Status and Impact of State Property Tax Shift for 2004-05 and 2005-06 Gary Streed, Director of Finance, reported the expected tax shift would be $16 million each year for two years. The FAHR Committee would be having a discussion on 2005-06 cash flows with the budget assumptions in December. (13) CLOSED SESSION The Committee convened in Closed Session at 6:31 p.m. pursuant to Government Code Section 54957.6 to discuss and consider Agenda Item Nos. 13(a) (1) and (2). Confidential Minutes of the Closed Session held by the Finance, Administration and Human Resources Committee have been prepared in accordance with California Government Code Section 54957.2, and are maintained by the Board Secretary in the Official Book of Confidential Minutes of Board and Committee Closed Meetings. A report of the actions taken will be publicly reported at the time the approved action becomes final re Agenda Items Nos. 13(a)(1) and (2). RECONVENE IN REGULAR SESSION: At 7:05 p.m., the Committee reconvened in regular session. (14) OTHER BUSINESS, COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF ANY There were none. (15) CONSIDERATION OF UPCOMING MEETINGS The next FAHR Committee meeting is scheduled for December 8, 2004 at 5 p.m. (16) ADJOURNMENT The Chair declared the meeting adjourned at 7:05 p.m. Book Page 12 Minutes of the Finance, Administration and Human Resources Committee Meeting Page 5 November 10, 2004 Submitted by: Penny M. 'e FAHR Committee S retary H:\dept\agenda\FAHR\FAHR2004\1004\101304 FAHR Minutes.doc Book Page 13 Book Page 14 FAHR COMMITTEE AGENDA REPORT Orange County Sanitation District FROM: Gary G. Streed, Director of Finance Originator: Michael D. White, Controller Meeting Date 12/08/04 Item Number FAHR04-106 SUBJECT: CERTIFICATES OF PARTICIPATION (COP) MONTHLY REPORT - NOVEMBER 2004 GENERAL MANAGER'S RECOMMENDATION Receive and file Certificates of Participation (COP) Monthly Report for the month of November 2004. SUMMARY To Bd. of Dir. Item Number The District began issuing Certificates of Participation (COPs) on a variable interest rate basis in 1990. These variable rate COPs were a part of our long-term financing plan which also included some more traditional fixed rate borrowing. In 1992 and 1993, some of the fixed rate COPs were refunded and replaced with synthetic-fixed rate COPs. These are variable interest rate COPs that are also subject to a long-term fixed-rate interest exchange agreement (SWAP). The SWAP provides the maximum interest rate to be paid by the District, and is less costly than traditional fixed rate borrowing. In August 2000, the entire financing program was restructured and modernized to incorporate and take advantage of the consolidation of District books of account and revenue structure. This process has reduced the number of COP issues from five to three; 1992 Refunding COPs, 1993 Refunding COPs and 2000 Refunding COPs. The 2000 COPs can be divided into Series A and Series B, if additional remarketing agents are desired. In August 2003, the District issued $280 million of fixed rate COPs, Series 2003, that have varying coupon rates that are matched against the varying maturity dates. The true interest cost for the entire issue is 5.15 percent. Variable interest rate COPs can be put back on the market by the buyer each day. When this happens, they must be remarketed or sold to another buyer. This process, called remarketing, is generally provided by a municipal bond underwriter. The remarketing agent sets the interest rate they believe is required to sell the COPs. Some issuers believe that having more than one remarketing agent promotes competition and results in lower interest costs. Staff has monitored variable interest rate issues of other agencies since the inception of our program. The attached charts are described in the "Additional Information" section of this agenda report. They are provided monthly to compare our actual interest rates to a composite index, and to other selected issuers of similar credit quality, and with COP issues of similar amounts. Many variables affect interest rates, but staff expects our rates to be among the lowest. Book Page 15 PRIOR COMMITTEE/BOARD ACTIONS N/A PROJECT/CONTRACT COST SUMMARY N/A BUDGET IMPACT D This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. ~ Not applicable (information item) ADDITIONAL INFORMATION The first graph entitled, "OCSD COP Rate History Report," shows the actual variable interest rates paid on each of the daily rate COPs since the last report, and the effective fixed rate for the two refunding issues which are covered by an interest rate exchange agreement commonly called "swap." The second bc)r chart entitled, "Comparative Daily COP Rate History Report," shows the performanee of the District's Daily Rate COPs as compared to a composite index rate, which represents the average rate of six similar variable rate daily reset borrowings. The third bar ehart entitled, "COP Rate History, Comparison of Highest & Lowest Rates," compares the performance (monthly average interest rate) of the District's Daily Rate COPs with the highest and lowest monthly av~rage: rates from among six similar variable rate dally reset COPs. The .. table entitled, "COP Rate History, Comparison of Month,ly Averages," shows the monthly variable interest rate perf0rmance of the District's Daily Rate COPs as compared to the composite index. Estimated annual interest payments calculated for a standard $100 m,illion par amount, are also shown. Variable rates historically rise at the end of each calendar quarter, and especially at year-end, because of business taxes and liquidity requirements. The rates tend to decline to prior levels immediately in the following month. Staff maintains continuous rate m0nitoring and ongoing dialog with the remarketing agents to keep the Committee fully informed about aevelopments in the program as they may occur. ATTACHMENTS 1. Graph -OCSD COP Rate History Report 2. Graph -Comparative Daily COP Rate History Report 3. Graph -COP Daily Rate History, C0mparison of Highest & Lowest Rates 4. Tabular -COP Rate History, Comparison of. Monthly Averages GGS:MW:lc H:ldeptlagenda\FAHRIFAHR2004\1204I04-106.COP doc Revised: 06/04/03 Book Page 16 Page2 ~ 0 a. w ~ ~g 0~ t; a: -w :c m w :E t-w ~ ~ a. z 0 0 C UJ 0 0 co I I I I I l I I l ·1 1 I I I l I l I I l I I I I I I I I I I l C"» N .... 0 (%)3l'AI Book Page 17 1'Q-des-zz to-des-a to-A•w-s to-Jd'(MZ t,Q-JdV-L t,Q-J9,-l·tZ t,Q-J9W·O~ t,0-qe:HZ i,o-qe:1-u to-u•r-az to-uar-t~ £0-:180-~£ £0-:180-L~ £0-:180-£ w ~ C Q >,Q) ::i2]5 Q)n, Q)·-s~ -o..!Qo a>.Co >< ('I]-·-·--c LL. CUC M>n, OC\l(f') OC)C) N. - Cl) Cl) Cl) Q)Q)Q) ·c::·c::·c: Q)Q)Q) C/JUJC/J +++ .... Cl) ..,: UJ :i: w ~ ~ 1j C Ill C i:i: ..::: Cl 5r 9 0 N N 5)1 C :S .!!! ~ J C!i ~ 0 0.. w D:: ~ 0 1-U) -:I: • Wo I-C) ~~ 0.. Cl) 0 .c u E > ~ --' 0 -z <C C w > -I-~ <C 0.. :E 0 u 0 0 ~ 0 0 (') 0 0 c-.i (%)3.lW 1 1--1 _____ ---I t,Q 'AON :~------~ t,Q~O :1---------1 vo 'des :1-------i va'Bnv I 11-------1 va '1nr 1------~ t,Q 'unr 1-----~ t,Q 'ABV\I 1-----~ t,Q 'JdV .i-------i t,Q 'JeV\I ~-----1 t,Q 'qa:1 1-------1 vo 'uer ,__ ___ ....,.. £0 'oaa 0 ~ ..... 0 ~w 0 ... ~ Book Page 18 g ~ "C C ftl C') 9> -~ "1 Q. 8 C rn 0 0 II OJ ~ 0 0 "' w I-"U !l) ~ cc CD ....>. (0 I COP DAILY RATE HISTORY COMPARISON OF HIGHEST & LOWEST RATES 2 .---------------~~~~~~~~~~~~--------- 1.75 1.5 1.25 . 1 0.75 · 0.5 ' ••• , HIGH LOW Jun1 04 Jul,04 Aug,04 llep,D4 oct, 04 l:=!.w I l:=a~ 11:W:ft~m,o II=~ I llHighest rate DOCSD COP Series '00-PW •OCSD COP Series '93-PW •Lowest rate llERIOCSO MERRUtlRWl Nav,04 OJ 0 0 :;,,;- ""O Ill co Cl) N 0 DAILY COP RA TE HISTORY COMPARISON OF MONTHLY AVERAGES DEC 2003 -NOV 2004 OCSD $218.6M $46M Series 2000 Series 93 Ref Composite PaineWebber PaineWebber Index* Dec-03 1.00 1.00 0.99 Jan-04 0.88 0.88 0.87 Feb-04 0.87 0.87 0.86 Mar-04 0.94 0.94 0.92 Apr-04 1.01 1.01 1.00 May-04 1.05 1.05 1.03 Jun-04 1.02 1.02 1.00 Jul-04 0.99 0.99 0.97 Aug-04 1.15 1.15 1.13 Sep-04 1.34 1.34 1.32 Oct-04 1.67 1.67 1.65 Nov-04 1.52 1.52 1.51 AVERAGE 1.12% 1.12% 1.10% ESTIMATED ANNUAL INTEREST PAYMENTS PER $100M PAR AM $ 1,120,000 $ 1,120,000 $ 1,104,167 * FOOTNOTE Composite index consists of the following COP transactions: . IRWD, Series 86-COP, 88, 95, $106.1M, Citigroup . IRWD, SeriesC-Ref93-B, 85-B, $62.1M, Lehman Brothers . IRWD, Series 91, 93, 85, $93.0M, PaineWebber . IRWD, Series 89, C-Ref 93-A, C-Ref 95, $70.9M, Merrill Lynch . Western Riverside Co. Reg. Wastewater Auth., Series 96, $25.4M, PaineWebber . Orange Co., Irvine Coast Asst. Dist. 88-1, $94.5M, J.P. Morgan FAHR COMMITTEE Meeting Date 12/08/04 AGENDA REPORT Item Number FAHR04-107 Orange County Sanitation District FROM: Lisa L. Tomko, Director of Human Resources Originator: Lisa Arosteguy, Human Resources Supervisor SUBJECT: EMPLOYMENT STATUS REPORT AS OF NOVEMBER 15, 2004 GENERAL MANAGER'S RECOMMENDATION Receive and file the Employment Status Report. SUMMARY The number of full-time equivalent (FTE) employees at the District is 584 as of November 15, 2004. PRIOR COMMITTEE/BOARD ACTIONS N/A PROJECT/CONTRACT COST SUMMARY N/A BUDGET IMPACT D This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. 1Z! Not applicable (information item) ADDITIONAL INFORMATION The actual number of employees (headcount) was 596 as of November 15, 2004. To Bd. of Dir. Item Number • James Spears was promoted from a Senior Plant Operator to an Operations Supervisor (Plant No. 1 Operations) • Vincent Lockyer was promoted from a Plant Operator to a Senior Plant Operator (Plant No. 1 Operations) • Michael Boess was promoted from a Plant Operator to a Senior Plant Operator (Plant No. 2 Operations) H:ldept\agenda\FAHRIFAHR200411204104-107 Emp Status,doc Revised: 06/04/03 Book Page 21 Page 1 There were six new hires: • Two Maintenance Workers (Regional Assets & Services) • Assistant Board Secretary (Administrative Services) • Three Interns (Two-Communications; One-Environmental Compliance Services) There were three terminations: • Accounting Assistant II (Accounting) • Maintenance Worker (Regional Assets and Services) • Intern (Safety & Health) ALTERNATIVES N/A CEQA FINDINGS N/A ATTACHMENTS 1. November 15, 2004 Employment Status Report 2. Performance compared to budgeted FTE's H:\deptlagenda\FAHRIFAHR2004\1204104-107.Emp Status.doc Revised: 06/04/03 Book Page 22 Page2 CD 0 0 ~ ""CJ ll) (Q CD I\.) w 700 - - - - - - - - - I -+-AUTHORIZED FTE -a-ACTUAL FTE • • ---• DEC JAN 596 596 552.25 558.25 STAFFING REPORT / • • • • • • • • •--· • • • • •---• • FEB MAR APR MAY JUN JUL AUG SEP OCT NOV 596 596 596 596 598 598 628 628 628 628 558.75 559.75 564.75 567.75 571.75 571.75 576.25 578.25 581.50 584.00 OJ 0 0 ;;,,;- '""O Q) cc CD "' ~ DIV ,10 General Managemen1 Admin 120 Ad.mlnlslralive Servlc:ea 130 Communications Ganer.al Management Totals 210 Finance Adminis1131ion 220 Acc:oun1ing 230 Pwchaalng & Warehousing Finance Totals 510 Human Resources Admln Interns Intern Program (510) 520 Employee DevelopmentfTraining 530 Safety & Health 540 Employee Services 540 Planned Recruttmen1s Human Resoun:es Totals 610 Technical Services Admin 620 Environmental Assessmen1 630 Environmental Sciences Lab 640 Source Control 680 Environmental Compliance Svcs Technical Services Totals 710 Engineering Admln 740 Planning 750 Project Management Office 780 Engineering & Cons1ruction Engineering Totals 810 O&M Admlnis11311on 420 Regional Asse1s & Services 430 Facilities Maintenance Svcs 820 O&M Process Engineering 830 Ope1311ons, Plant No. 1 840 Operations, Plant No. 2 860, Mech Malnt & Power Production 860 Electrical & lns1rumentatlon Maint Oper.atlons & Malnlllnanc:e Totals 910 IT Administration 930 IT Customer & Nelworlc Support 940 IT Programming & Database Sys 960 IT Process Controls Integration tnfoonatlon Technology Totals GRANO TOTAL FT& AUTHORIZED FTE REG l!.§!t m 2.00 7.00 1.00 7.00 0.50 . 18.00 1.50 . 2.00 . . 20.00 . . 22.00 0.50 . 44.00 0.50 . 1.00 . -9.00 . 3.00 -- 1.00 . 8.00 . . 2.00 . . 25.00 9.00 - 2.00 . . 15.00 -. 38.00 1.00 . 40.00 . . 18.00 . 111.00 1.00 . 3.00 . 18.00 . 17.00 -0.75 58.00 . 94.00 . 0.75 4.00 . . 29.75 0.50 . 32.00 0.75 . 15.00 0.50 . 39.00 -0.75 47.00 59.00 . 54.00 . 279.75 1.75 0.75 2.00 . . 17.00 . . 12.00 . . 13.00 . . 44.00 . . 813.75 13.75 1.50 TOTAL AUTHORIZED FTE 829.00 E .. PLOYIIENT8TATU8 REPORT ACTUALFTE Recruflmen1s Vacancies TOTAL Bfilz 0.50 0.75 I&A .mr& 2.00 200 ---2.00 -- 1.00 B.00 100 -. 7.00 1.00 1 00 7.111 B.00 0.50 -. fl.SO 1 00 1 00 17.ICI 14.00 1.50 -. 16.60 2.00 2.00 2.00 2.00 . . . 2.00 . . 20.00 18.00 . -. 18.00 3.00 2.00 22.IO 19.00 0.50 . . 19.50 2.00 300 44SI 311.00 D.SD . . 31.IJO 5.00 6.00 1.00 5.00 -. . S.00 . 2 00 1.00 . 7.50 . . 7.SO -150 uo 3.00 ---3.00 . - 1.00 7.00 . . -7.00 . e.oo B.00 -. . tJ.00 . . 2.00 -. --. 2.00 M.00 21.00 7.60 . . 211.ISO -6.50 2.00 2.00 -. . 2.00 . . 11.00 13.00 ---13.00 1 00 200 37.00 35.00 2.00 . . 37.00 -. 40.08 40.00 . -. 40.00 . - 18.00 18.00 . . -18.00 . - 112.00 108.00 2.00 . -110.00 1.00 2.00 3.00 3.00 -. -3.00 . - 18.00 1400 -. . 14.00 200 200 17.71 1200 -0.75 . 12.75 2.00 500 18.00 47.00 -. 1.00 48.00 600 1000 14.71 78.DD . D.75 1.00 77.75 10.00 17.00 4.00 4.00 -. -4.00 -- 30-21 25.00 0.50 0.75 26.25 7.00 4 00 32.71 31.00 0.75 . 31.7S 1 00 1 00 15.IO 14.00 . . -14.00 1,00 1 50 39.71 35.00 -0.75 1.00 38.7.S 1.00 3 00 47.DO 46.00 --. 411.00 -1 00 19.00 58.00 . . -SB.00 1.00 1 00 54.00 53.00 . . -5100 1.00 1 00 212.21 288.00 1.25 1.50 1.00 a.11 12.00 12.50 2.00 2.00 -. . 2.00 -. 17.00 16.00 -. 1.00 17.00 -- 12.00 11.00 ---11.00 -1 00 13.00 13.00 -. -13.00 -- 44.00 42.DD . . 1.00 ,u.oo . 1.00 588.00 12.75 2.25 3.00 == ·1 1· TOTAL Total + T21!!1 Vl!!,!!ncles Al:,TL/dLFTE Recruttments (lesa racruilmenls) 584.00 3000 15.00 FAHR COMMITTEE AGENDA REPORT Orange County Sanitation District FROM: Lisa L. Tomko, Director of Human Resources Originator: James Matte, Safety & Health Supervisor Meeting Date To Bd. of Dir, 12/8/04 Item Number Item Number FAHR04-108 SUBJECT: OSHA INCIDENCE RATES AND WORKERS' COMPENSATION CLAIMS AND COSTS REPORT GENERAL MANAGER'S RECOMMENDATION Receive and file the OSHA Incidence Rates and Workers' Compensation Claims and Costs Report. SUMMARY Safety and Health Division staff track OSHA Incidence Rates for DART* Cases (DART Incidence Rate) and Total Accidents (Total Injury Frequency Rate). There were nine DART Cases District-wide for the period of January-October 2004. The industry average is 4.5 for the DART Case Incidence Rate while the District Incident Rate was 1.91 for the period of January-October 2004. There were 13 OSHA Recordable Accidents District-wide for the period of January-October 2004. The industry average is 7.3 for the Total Injury Frequency Rate while the District Incident Rate was 2.76 for the period of January-October 2004. The Division also tracks the District's Workers' Compensation Claims and Costs. The District's claim count for Fiscal Year 2004-2005 is five. The costs associated with these claims for year-to-date is $2,808, which includes medical bills, temporary disability payments, legal costs and a claim reserve account. * DART -Days Away, Restricted or Transfer; replaces Lost Work Day. PRIOR COMMITTEE/BOARD ACTIONS N/A PROJECTICONTRACTCOSTSUMMARY NIA Revised: 06104103 Book Page 25 Page 1 BUDGET IMPACT D This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. ~ Not applicable (information item) ADDITIONAL INFORMATION The District had nine DART cases and four other injuries that required only medical treatment for the period of January-October 2004. The reporting period is for 45 days prior to committee meeting. ALTERNATIVES NIA CEQA FINDINGS NIA ATTACHMENTS 1. OSHA Incidence Rates Reports for DART Cases and Total Injuries 2. Workers' Compensation Claims and Costs Revised: 06/04/03 Book Page 26 Page 2 Safety and Health Division DART Cases District-Wide There were nine DART Cases in January-October 2004 (DART -Days Away, Restricted or Transfer) ffl 25 8 20 0 15 jj 10 E 5 DART Cases ~ 0 +--~~-----.---_._~._.-,.__._-,-_.._~-----.---_._~'---, 2000 2001 2002 Calendar Year OSHA Incidence Rates District-Wide 2003 2004 The industry average for DART Cases is 4.5 and the District rate was 1.91 for January-October 2004. The OSHA DART Case Incidence Rate is calculated by multiplying the number of injuries by 200,000 and dividing the sum by total hours worked. The rate is also based on the data for the calendar year so the rate will change as the number of hours worked increases. 2000 OSHA Incidence Rates DART Cases 2001 2002 Calendar Year 2003 2004 Book Page 27 Total Injuries District-Wide There were 13 OSHA Recordable Accidents in January-October 2004 Total OSHA Recordable Accidents ii~~-,•-.•-, 2000 2001 2002 Calendar Year 2003 2004 OSHA Incidence Rates District-Wide The Total Injury Frequency Rate is a combination of the DART Cases and the cases that require Other Medical Treatment. The industry average for Total Injury Frequency rate is 7.3 and the District rate was 2. 76 for January-October 2004. First Aid cases are not included in the calculation of this rate. 10.00 Jl 8.00 CII a: 8 6.00 C 4.00 Q) i:, ·a 2.00 .E 0.00 OSHA Incidence Rate Total Injuries 2000 2001 2002 Calendar Year 2003 2004 Book Page 28 Workers' Compensation Claims and Costs The Workers' Compensation Claims and Costs are reported by fiscal year. The DART and Total Injury graphs shown above are calendar year rates as required for OSHA recordkeeping. All claims and medical invoices are reviewed by a third party to ensure that proper medical treatment is provided for injured employees and the costs for the treatment are within established guidelines. The medical bills reviewed for July-October 2004 totaled $54,806.02. Medical treatment costs are charged to the fiscal year in which the injury occurred. All open claims have the potential to incur additional costs. After the medical review process, the amount was reduced to $30,531.45, which resulted in savings of $24,274.57 for this reporting period. Workers Compensation Claims and Costs Fiscal Period Claim Count Open Claims Total Incurred 7/1/85 -6/30/86 38 0 $270,794 7 /1 /86 -6/30/87 53 0 $99,933 7/1/87 -6/30/88 51 0 $173,583 7/1/88-6/30/89 41 0 $153,481 7 /1 /89 -6/30/90 61 0 $294,817 7/1/90 -6/30/91 76 0 $121,978 7/1/91 -6/30/92 58 2 $228,212 7 /1 /92 -6/30/93 58 0 $93,198 7 /1 /93 -6/30/94 47 0 $217,922 7 /1 /94 -6/30/95 46 0 $276,359 7 /1 /95 -6/30/96 46 1 $191,323 7/1/96 -6/30/97 36 0 $370,950 7/1/97 -6/30/98 45 1 $1,026,722 7 /1 /98 -6/30/99 38 2 $274,114 7/1/99 -6/30/00 43 2 $351,608 7/1/00-6/30/01 32 3 $445,764 7/1/01 -6/30/02 30 6 $369,406 7/1/02-6/30/03 18 4 $118,034 7/1/03-6/30/04 15 2 $85,335 7/1/04-6/30/05 5 1 $2,808 "Total Incurred" includes medical bills, temporary disability payments to employees, legal costs, and a claim reserve account. Book Page 29 Book Page 30 FAHR COMMITTEE Meeting Date To Bd. of Dir. 12/08/04 AGENDA REPORT Item Number Item Number FAHR04-109 Orange County Sanitation District FROM: Marc Dubois, Contracts / Purchasing Manager SUBJECT: GENERAL MANAGER APPROVED PURCHASES GENERAL MANAGER'S RECOMMENDATION Receive and file report of General Manager approved purchases in amounts exceeding $50,000 in accordance with Board purchasing policies. SUMMARY In May 1998, the FAHR Committee and the Board approved changes to the staff purchasing authority. One of the changes was to increase the dollar threshold before Board authority was required for purchases of goods or services, excluding public works purchases, to $100,000. When approving this change, the Committee asked for periodic reports showing purchases approved by the General Manager for amounts between $50,000 and $100,000. Subsequent to receiving the initial report, the Committee requested that future reports be placed on the Consent Calendar. Vendor Name Amount Description/Discussion SPEC South Coast Environmental $95,000 Air Quality services for CGS. ISEC, Inc. $67,409 FE04-15 Bioassay Laboratory rehabilitation. Sancon Engineering, Inc. $92,000 Emergency spot repairs to four locations. Consiliant Technologies, LLC $65,218 Tape Library. Section 4.03.B of Resolution 04-08, the District's Delegation of Authority Resolution, authorizes the Contracts / Purchasing Manager to purchase items that have been previously authorized by the Board as identified in the annual District budget. During the budget adoption process, the lists of these items were highlighted for the Directors. For these reasons, purchases that fell into these categories are not included in this report. PRIOR COMMITTEE/BOARD ACTIONS N/A H:ldepllagenda\FAHRIFAHR200411204\04-109 GM Purchases doc Revised: 06/04/03 Book Page 31 Page 1 PROJECT/CONTRACT COST SUMMARY N/A BUDGET IMPACT D This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. rgj Not applicable (information item) ADDITIONAL INFORMATION N/A ALTERNATIVES N/A CEQA FINDINGS N/A ATTACHMENTS None. MD H:ldeptlagenda\FAHRIFAHR2004\ 1204104-109. GM Purchases.doc Revised: 06/04/03 Book Page 32 Page 2 FAHR COMMITTEE AGENDA REPORT Orange County Sanitation District FROM: Lisa L. Tomko, Director of Human Resources Originator: Jeff Reed, Human Resources Manager Meeting Date To Bel. of Dir. 12/08/04 12/15/04 Item Number Item Number FAHR04-110 SUBJECT: CHANGES AND ADDITIONS TO HUMAN RESOURCES POLICIES AND PROCEDURES AS AUTHORIZED BY RESOLUTION 98-33. GENERAL MANAGER'S RECOMMENDATION Adopt Resolution No. OCSD 04-XX, amending Resolution No. OCSD 98-33, amending Human Resources Policies and Procedures Manual. SUMMARY The attached policies are routine updates or additions to maintain consistent language with the Memorandums of Understanding (MOU), to address new legislation, or to clarify procedures. A Smoking policy was written to establish clear smoking regulations and guidelines for OCSD employees, contractors, and the general public who are in or on OCSD property. A recent amendment to the California Government Code §7597 prohibits smoking within 20 feet from a main entrance, exit, and/or operable window. The policy further defines these and other legislative requirements. The policy supports and enforces Article 8, Smoke-Free Work Environment, for each MOU ratified by OCSD and each bargaining unit. In addition, many of the policies in this quarterly update refer to new legislation pertaining to domestic partner rights. Currently, California Labor Code § 233 provides certain protections to registered domestic partners. These protections allow employees to use sick leave to care for a domestic partner. The Leave-of-Absence with Pay and Catastrophic Illness Leave Donation Program policies accommodate these changes. Furthermore, recent updates to the California Domestic Partner Rights and Responsibilities Act of 2003, chartered by the California Secretary of State, provide insurance benefits for domestic partners. Qualifications and procedures for becoming a registered domestic partner with the California Secretary of State are pursuant to Family Code §297 and §298. These provisions also provide the same nondiscrimination rights as spouses and under the Fair Employment and Housing Act (FEHA), employers may not discriminate on the basis of marital status. A Domestic Partnership policy was written to recognize the status of this protected class of employees and to set guidelines and procedures for providing eligibility for OCSD provided programs. It is also the intent of this policy to provide communication, ensuring H:\deptlagenda\FAHRIFAHR2004\1204104-110 HR Policy Procedure doc Page 1 Book Page 33 equal access to eligible programs. Based on domestic partner eligibility for OCSD provided insurance benefits effective January 1, 2005, the Insurance policy has also been updated. PRIOR COMMITTEE/BOARD ACTIONS Human Resources Policies and Procedures Manual revisions were presented at the July 2004 FAHR and Board of Directors meetings. PROJECT/CONTRACT COST SUMMARY N/A BUDGET IMPACT D This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. ~ Not applicable (information item) ADDITIONAL INFORMATION Policy Number and Subject D10.00 Leave of Absence With Pay D50.00 Insurance D51 .00 Pro Rata Benefits for Part-Time Employees D90.00 Tuition Reimbursement Program D11 0.00Catastrophic Illness Leave Donation Program D130.00 Domestic Partnership F20.00 Hours of Work -Non-Exempt Employees F20.10 Hours of Work -Exempt Employees F100.00 Smoking ALTERNATIVES NIA CEQA FINDINGS NIA H:\deptlagenda\FAHRIFAHR2004\1204\04-110.HR Policy Procedure.doc From Current Language Current Language Current Language Current Language Current Language Current Language Current Language Book Page 34 To Revised Language Revised Language Revised Language Revised Language Revised Language Revised Language Revised Language Reason for Change Add domestic partner language Add domestic partner language Add transitioning to full-time / part-time language Establish detailed submittal guidelines and policy clarification Add domestic partner language New Policy Add transitioning to full-time / part-time language Add transitioning to full-time/ part-time language and update memo time language New Policy Page 2 ATTACHMENTS 1. D10.00 Leave of Absence with Pay 2. D50.00 Insurance 3. D51.00 Pro-Rata Benefits for Part-Time Employees 4. D90.00 Tuition Reimbursement Program 5. D110.00 Catastrophic Illness Leave Donation Program 6. D130.00 Domestic Partnership 7. F20.00 Hours of Work-Non-Exempt Employees 8. F20.10 Hours of Work -Exempt Employees 9. F100.00 Smoking 10. Resolution No. OCSD 04-XX H:\dept\agenda\FAHRIFAHR200411204104-110.HR Policy Procedure.doc Page 3 Book Page 35 Book Page 36 Orange County Sanitation District Policy Number: D10.00 Effective Date: February 25, 2004 December 15, 2004 Subject: LEAVE-OF-ABSENCE WITH PAY Supersedes: August 221 2001 February 25, 2004 Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 The purpose of this policy is to establish uniform guidelines and procedures for use in the administration of the Orange County Sanitation District's (OCSD's) leave-of-absence with pay program. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 All regular OCSD employees. 3.0 DEFINITIONS 4.0 POLICY 4.1 Vacation Leave. Except as otherwise provided, regular full-time employees accrue vacation leave in accordance with the following schedule: Years of Service In years 0 through 1 In years 2 through 4 In years 5 through 10 In year 11 In year 12 lnyear13 lnyear14 lnyear15 lnyear16 lnyear17 lnvear18 lnyear19 In years 20 and over Hours-Biweekly 3.08 3.08 4.62 4.93 5.24 5.54 5.85 6.16 6.46 6.77 7.08 7.39 7.69 Page I of8 Book Page 37 Hours-Annually 80 80 120 128 136 144 152 160 168 176 184 192 200 4.2 4.1 .1 Vacation leave begins to accrue after a new employee has completed six months of continuous service. After the first six months of service, the employee's account will be credited with 40 hours. After that time, the employee will accrue vacation hours consistent with the above chart. Vacation leave may only be utilized in increments of one-half hour or more. Vacation leave is accrued for all paid hours, including hours actually worked and hours in a paid-leave payroll status. A full-time, regular employee will be granted pro rata vacation leave credit during any pay period in which he/she is absent without pay for one (1) full working day. A part-time, regular employee will not be granted vacation leave credit during any period he/she is absent without pay on his/her regular working day. Employees may have a maximum accumulation of 200 hours as of the last day of the final pay period in December of each year. In the event an employee accrues vacation leave in excess of 200 hours, it must be used prior to said December date, all other remaining hours in excess of 200 will be paid to the employee in the first pay period in January at the employee's then current hourly rate of compensation. 4.1.2 Management shall make a reasonable effort, considering the operational needs of OCSD, to accommodate all employee requests for vacation leave. Vacation leave should normally be requested at least ·two weeks ifl advanee to increase the likelihood of submitted dates being approved. However, in the event unforeseen circumstances prevent such advance notification, employees may request vacation leave with as little as one day's notice. Preference among employees who request time off at least six months in advance shall be based on seniority. Requests received less than six months in advance shall be scheduled in the order received. Further guidelines for vacation leave are outlined in applicable Memorandums of Understanding (MOUs). Sick Leave. Sick leave Is an insurance or protection provided b.y OCSD to be granted to employees in circumstances of adversity to promote the health and welfare of the individual employee. It is not an earned right to take time off from work. Sick leave is defined as the absence from duty of an employee because of a bona fide illness, injury, or pregnancy, or to attend to the illness or injury of a family member as hereinafter defined. Temporary employees are not entitled to sick leave benefits. 4.2.1 Sick-Leave Accrual. Full-time employees hired prior to November 27, 1981, accrue paid sick leave at the rate of three and one-half (3.5) hours for each biweekly pay period of continuous service (ninety-one (91) hours per year). Full- time employees hired on or after November 27, 1981, accrue paid sick leave at the rate of three (3.0) hours for each biweekly pay period of continuous service (seventy-eight (78] hours per year), beginning with the first day of employment. Part-time employees receive pro-rated sick leave according to OCSD Policy D51.00. 4.2.2 Sick-Leave Credit. A full-time, regular employee shall be granted pro rata sick- leave credit during any pay period in which he/she is absent without pay. A part- time, regular employee shall not be granted sick-leave credit during any period he/she Is absent without pay on his/her regular working day. In the event an employee is required to work part-time by direction of his/her physician, sick- leave credit shall be prorated, except that sick leave shall continue to accrue if an employee is absent due to an injury arising out of or in the course of his/her employment and is entitled to Workers' Compensation benefits. 4.2.3 Annual Payoff. Employees may elect annually to be paid for any unused sick leave hours accrued through the end of October at their current hourly rate according to the following payoff schedule or as specified in a MOU. Page 2 of8 Book Page 38 Accrued Sick Leave Hours Rate of Payoff 0-100 0% 101-240 25% 241-560 35% Over 560 (mandatory) 50% 4.2.4 Employees in the Orange County Employees Association bargaining groups who separated for any reason other than retirement or death shall be compensated for any accrued and unused sick leave according to the above schedule. Employees who retire or decease shall be paid at the fifty percent (50%) rate for all accrued and unused sick leave. Employees in the Supervisory and Professional Groups who retire or decease with 20-years or more of service shall be paid at the one hundred percent (100%) rate for all accrued and unused sick leave. Employees in the Supervisory and Professional Groups who retire or decease with less than 20-years of service will be paid at the seventy-five percent (75%) rate for all accrued and unused sick leave. 4.2.5 Sick Leave Incentive Plan. The Sick Leave Incentive Plan applies to Executive Management, Management, Supervisory and Professional Groups. The Plan will be administered on an individual Group basis. If the average sick leave usage of employees in a Group is under 40 hours per year, calculated on annualized actual time off during the period November 1 to October 31 exclusive of catastrophic illness or injury requiring absence in excess of 200 hours or industrial injury leave in excess of 80 hours, the annual payoff for unused sick leave will be made according to the following table or as otherwise stipulated in a prevailing Memorandum of Understanding. Accrued Sick Leave Hours Rate of Payoff 0-100 10% 101-240 40% 241-560 50% Over 560 (mandatory) 60% 4.2.6 Permissible Uses. Sick leave may be applied only when: a. The employee is physically or mentally unable to perform his or her normal functions due to illness, injury, or a medical condition. b. The absence is for the purpose of obtaining professional diagnosis or treatment for a medical condition of the employee or the absence is due to medical and dental office appointments of an employee when approved by the employee's supervisor. c. The absence is for other medical reasons of the employee, such as pregnancy or obtaining a physical examination. d. The absence is for the care of the employee's parent, father-in-law, mother- in-law, brother, sister, spouse, domestic partner, child, step-child, grandchild, grandparent, legal guardian, or any family member with whom the employee resides. e. The absence is due to a job-related injury. Page 3 of8 Book Page 39 4.3 4.2.7 General Pr0visions. To qualify for sick-leave pay, the employee must notify OCSD at or in advance of the time the employee is scheduled to report for duty. Minimum charge to the employee's sick-leave account shall be one-half {.5) hour and thereafter in one-half (.5) hour increments. 4.2.8 Human Resources, along with the division management, shall be responsible for control of abuse of the sick-leave privilege. If notified in advance by a manager or s.upervisor, the employee may be req uired, at any time, to furnish a certificate issued by a licensed ph ysician or nurse, or other satisfactory evidence of illness; however, for absences of ten (10) consecutive working days or more, a request for leave and a medical statement, on prescribed forms, stating expected date of return must be submitted to Human Resources. Upon return to work, a written doctor's release must be submitted to Human Resources. For absences of one or more working days in an unpaid status, a request for leave and a medical statement, on prescribed forms, stating expected date of return must be submitted to Human Resources. 4.2.9 If the need for leave is due to the employee's serious health condition , as defined in the Family and Medical Leave Act ("FMLA") or the California Family Rights Act ("CFRA"), the certification requirement shall comply with provisions of these Acts. Personal Leave. Personal leave is provided to allow employees time off with pay for vacation, personal business and non-job-related illness or injury. Personal leave is accrued by full-time employees for all paid hours, including hours actually worked and hours in a paid-leave payroll status, on a biweekly basis as follows: Personal Leave Hours Biweekly Annual Years of Service 0 through 1 2.31 80* 2 through 4 5.38 140 5 through 10 6.92 180 11 7.23 188 12 7.54 196 13 7.85 204 14 8.15 212 15 and over 8.46 220 *Only 60 hours may be taken in the first year; the 20 additional hours shall be credited to the accrual balance following successful completion of one year's service. Regular part-time employees accrue personal leave on a pro-rated basis according to OCSD Policy D51 .00. 4.3.1 Scheduled Time Off. Management shall make a reasonable effort, considering the operational needs of OCSD, to accommodate all employee requests for personal leave time off. Personal leave Sc;heduled time off should normally be requested at least two weeks in advance to increase the likelihood of submitted tRGse dates being approved. However, in the event unforeseen circumstances prevent such advance notification, employees may request scheduled time off with as little as one day's notice. Preference among employees who request time off at least six months in advance shall be based on seniority. Requests received less than six months in advance shall be scheduled in the order received. Personal leave may only be reported in one-half (.5) hour or one-hour increments. Page 4 of8 Book Page 40 4.3.2 Unscheduled Time Off. Personal leave that is classified as unscheduled time off provides income protection to an employee who is unable to work due to the following: a. The employee is physically or mentally unable to perform his or her normal functions due to illness, injury, or a medical condition . b. The absence is for the purpose of obtaining professional diagnosis or treatment for a medical condition of the employee or the absence is due to medical and dental office appointments of an employee when approved by the employee's supervisor. c. The absence is for other medical reasons of the employee, such as pregnancy or obtaining a physical examination. d. The absence is for the care of the employee's parent, father-in-law, mother- in-law, brother, sister, spouse, domestic partner, child, step-child, grandchild, grandparent, legal guardian, or any family member with whom the employee resides. e. The absence is due to a job-related injury. Unscheduled time off must be accounted for by completion of an Unscheduled Time Off Report upon the employee's return to work. Employees may be required to submit medical documentation for their injury or illness. It is the responsibility of OCSD management to control the potential abuse of unscheduled time off privileges. Tardiness less than 15 minutes shall not be deducted from the employee's pay, but numerous occurrences will be addressed through the progressive discipline procedure. Tardiness of one hour or more shall be considered an unscheduled occurrence. 4.3.3 An employee's attendance record shall be reviewed with an employee after five separate occurrences of unscheduled time off to address problems that could potentially lead to disciplinary action. • The accumulation of the sixth and seventh occurrence within a calendar year shall result in a verbal warning. • The eighth occurrence shall result in a written warning. • Employees who are charged with ten occurrences of absence within a twelve-month period shall be subject to termination. • Absences of multiple consecutive days involving the same injury or illness shall be considered a single occurrence. OCSD also has the right to discipline employees on the basis of total absences away from work. Employees must notify their supervisor prior to the start time of their shift when they are unable to report for work. Employees returning from an extended leave should notify their supervisor as soon as possible to facilitate personnel scheduling. 4.3.4 Human Resources, along with the division management, shall be responsible for control of abuse of the unscheduled leave privilege. The employee may be required, at any time, to furnish a certificate issued by a licensed physician or nurse, or other satisfactory evidence of illness; however, for unscheduled absences of ten (10) consecutive working days or more, a request for leave and a medical statement, on prescribed forms, stating expected date of return must be submitted to Human Resources. Upon return to work, a written doctor's release must be submitted to Human Resources. For absences of one or more working days in an unpaid status, a request for leave and a medical statement on prescribed forms, stating expected date of return must be submitted to Human Resources. Page 5 of 8 Book Page 41 4.4 4.3.5 Personal Leave and Workers' Compensation Leave. Employees who are injured in the course of their employment are placed on Workers' Compensation Leave, and receive wage loss benefits to which they are entitled under the Workers' Compensation Act. Employees may request to receive prorated Personal Leave pay to supplement their Workers' Compensation payments in an amount such that the sum of both is equal to the employee's regular base pay. 4.3.6 Personal Leave Payoff. Employees (or their estate) who separate, retire or die shall be paid in full at their current rate of pay for all Personal Leave hours accrued. 4.3.7 Maximum Accrual. Employees may have a maximum accumulation of 400 hours of Personal Leave as of the last day of the final pay period in December of each year. In the event an employee accrues personal leave in excess of 400 hours, it must be used prior to said December date, all other remaining hours in excess of 400 will be paid to the employee in the first pay period in January at the employee's then current hourly rate of compensation. 4.3.8 Sick Leave Bank. Employees who elected to bank sick leave accrued prior to the implementation of Personal Leave provisions may elect to use such time off for absence due to a ban fide illness, injury, or pregnancy, or to attend to the illness or injury of an Immediate family member. Employees who retire or die shall be paid at the 50 percent rate for all Banked Sick Leave hours; an employee who separates shall be compensated for Banked Sick Leave as follows. Banked Sick Leave Hours Rate of Payoff 0 -100 0 percent 101 -240 25 percent 241 -560 35 percent Over 560 50 percent 4.3.9 If the need for leave is due to the employee's own serious health condition, as defined in the Family and Medical Leave Act ("FMLA") or the California Family Rights Act ("CFRA"), the certification requirement-shall comply with the provisions of these Acts. Jury Duty Leave. Any full-time, including probationary, employee who is called for jury duty shall be entitled to his/her regular pay for those hours of absence due to performance of the jury duty for a period up to twenty-two (22) working days. 4.4.1 Prior to jury duty service, each employee must complete OCSD's Leave-of- Absence Form and submit it to Human Resources with a copy of the summons. To be entitled to receive regular pay for such jury leave, employees must report for work during their regularly scheduled work shift when they are relieved from jury duty service, unless there is less than one-half(½) of their regular shift remaining. Employees are not compensated for jury duty occurring on scheduled days off. 4.4.2 An employee serving jury duty must obtain an attendance slip from the court to be submitted to Payroll with his/her time sheet in order to be eligible for regular pay for those hours of absence due to jury duty. Page 6 of8 Book Page 42 4.5 Witness Leave. Any full-time, including probationary, employee who is required to be absent from work by a subpoena properly issued by a court, agency or commission legally empowered to subpoena witnesses, which subpoena compels his/her presence as a witness, except in a matter wherein he/she is named as a defendant or plaintiff or as an expert witness, shall, upon request on Leave-of-Absence Forms approved by Human Resources, be entitled to the time necessary to comply with such subpoena. An employee's regular pay will be reduced by the amount of witness leave pay received, exclusive of mileage. 4.5.1 An employee so subpoenaed must submit a copy of the subpoena with his/her time sheet in order to be eligible for pay for such absence. To be entitled to receive regular pay for such witness leave, the employee must report for work at OCSD for time not actually retained on witness service of one (1) hour or more prior to and/or upon completion of each day's service, exclusive of travel time. 4.6 Military Leave. A request for military leave shall be made upon Leave-of-Absence Forms approved by Human Resources and shall state the date when it is desired to begin the leave-of-absence and the date of anticipated return. A copy of the orders requiring such military service shall be submitted with the request. 4.6.1 Provisions of the Military and Veterans Code of the State of California, Sections 395-395.5 shall govern military leave. In general, current law provides that an employee having one year or more service with a public entity is entitled to military leave with pay not exceeding thirty (30) days per year if the employee is engaged in military duty ordered for purposes of active military training or encampment. An employee who is required to attend scheduled service drill periods or perform other inactive duty reserve obligations is entitled to military leave without pay, not exceeding seventeen (17) calendar days per year, although the employee may, at his or her option, elect to use vacation or personal leave time to attend the scheduled reserve drill periods or to perform other inactive drill period obligations. Employees who participate in weekend military drill duty are not eligible for leave with pay for such activity, but may have their regular work schedule changed to accommodate the required time off. 4. 7 Bereavement Leave. Using the prescribed forms, approved by Human Resources, any full-time employee, whether probationary or regular, shall receive a maximum of 36 hours off with pay for the death or funeral of an immediate family member. Immediate family member is defined as the employee's father, father-in-law, mother, mother-in-law, brother, sister, husband, wife, domestic partner, child, step-child, step parent, grandchild, grandparent, foster parent, foster child, legal guardian, or any family member with whom the employee resides or who is identified in the employee's Memorandum of Understanding (MOU), if applicable. Employees must submit a leave-of-absence form for approval by the supervisor and Human Resources. 5.0 PROCEDURE 6.0 EXCEPTIONS 6.1 Section 4.1, Vacation, including Subsection 4.1.1 of this policy does not apply to employees covered under the provisions of Personal Leave in the Operations and Maintenance Memorandum of Understanding and employees in the Confidential Group. Page 7 of8 Book Page 43 6.2 Section 4.2, Sick Leave, including Subsections 4.2 .1 through 4.2.8, of this policy does not apply to employees covered under the provisions of Personal Leave in the Operations and Maintenance Memorandum of Understanding and employees in the Confidential Group. 6.3 Section 4.3, Personal Leave, including Subsections 4.31 through 4.3.9, of this policy applies only to those employees covered under the provisions of Personal Leave in the Operations and Maintenance Memorandum of Understanding and employees in the Confidential Group. 6.4 Vacation leave is not accrued for overtime hours worked. 6.5 If any conflict is found to exist between this policy and an existing Memorandum of Understanding, the M.O.U . provision shall prevail. 7 .0 PROVISIONS AND CONDITIONS 7 .1 Accrued balances of vacation leave, compensatory leave, and personal leave may be cashed out at the employee's request on an annual basis in December of each calendar year. 7.2 Employees may have a maximum accumulation of 200 hours of vacation as of the last day of the final pay period in December of each year. 7.3 In the event an employee accrues vacation leave in excess of 200 hours, it must be used prior to the December date, all other remaining hours in excess of 200 will be paid to the employee in the first pay period in January at the employee's then current hourly rate of compensation. 7.4 Employees are not eligible to schedule vacation leave until the completion of six months continuous service. 7.5 Employees may not maintain a negative balance of vacation, sick, compensatory, or personal leave accruals. 8.0 RELATED DOCUMENTS 8.1 California Labor Code, Section 233 8.2 Local 501,. Operations and Maintenance Unit MOU 8.3 Administrative and Clerical Unit MOU 8.4 Engineering Unit MOU 8.5 Technical Services Unit MOU 8.6 Professional Group MOU 8.7 Supervisor Group MOU Supervisory and Professional MOU 8.8 Personal Leave Unscheduled Time Off Report Form Page 8 of8 Book Page 44 Subject: Orange County Sanitation District INSURANCE Policy Number: D50.00 Effective Date: February 25, 2004 December 15, 2004 Supersedes: October 27, 1999 February 25, 2004 Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 The purpose of this policy is to establish uniform guidelines and procedures for use in the administration of Orange County Sanitation District's (OCSD's) insurance benefits program. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 All OCSD employees and legal dependents who are covered under OCSD's insurance provided Summary Plan Description (SPD). Domestic partners are considered legal dependents as long that they meet the criterion set forth in policy D130.00. 3.0 DEFINITIONS 3.1 3.2 Summary Plan Description is a booklet published by an insurance carrier that provides detailed information about how the plan works. Qualifying event occurs when an employee becomes legally married, a parent to a natural, step, or adopted child(ren), ordered by a court to cover a dependent under his/her health plan, or receives registration approval as a domestic partner from the California Secretary of State. 4.0 POLICY 4.1 OCSD shall provide medical-health insurance coverage through both health maintenance organizations and an indemnity type group health plan, life insurance, and disability insurance for the benefit of full-time employees. Part-time employees receive insurance benefits as set forth in policy D51.00. 4.2 All insurance coverage for OCSD employees shall become effective on the first day of the month following date of hire, regardless of hire date. Insurance coverage for an employee's legal dependent(s), as defined in each insurance SPD, will become effective once his/her insurance coverage becomes effective or upon a qualifying event. An open enrollment period shall be held annually in the month of June. 5.0 PROCEDURE 5.1 Medical. OCSD shall contribute 90% 400-% of employee only premiums for the HMO medical health plans, 80% of employee only premiums for the POS medical plans, and shall contribute 80% for the employee + 1 dependent and full family premiums. Any change in insurance rates shall be shared equally in same ratio as premiums are Page I of3 Book Page 45 currently paid by OCSD and employees. Before the renewal of any OCSD's sponsored health insurance plan, the parties agree to meet and confer as to the plan. 5.1.1 Any changes in insurance rates caused by a carrier after November 25, 1996 are subject to the applicable provisions of the various Memorandums of Understanding approved by the Board of Directors. 5.2 Life. OCSD provides term life insurance coverage for most employees. OCSD shall pay the full premium for term life insurance as established for each employee covered under a Memorandum of Understanding or as otherwise agreed upon. 5.3 Short Term Disability. OCSD shall provide a non-work related, short-term disability indemnity plan that pays up to a maximum of $490 per week for up to 26 weeks following a fourteen calendar day waiting penod. Employees may request to receive prorated sick leave, personal leave or vacation pay to supplement their short term disability payments in an amount such that the sum of botM is equal to the employee's regular base pay. 5.4 Long-Term Disability. OCSD offers, at the employee's expense, a non-work related, long-term disability indemnity plan that pays two-thirds of the employee's rate of pay in effect at the time of such disability, not to exceed $5,000 per month, following a 90--day waiting period of continuous disability. OCSD provides this coverage at OCSD's expense after five years of employment. 5.5 Dental. OCSD provides a dental plan for regular, full-time employees and their eligible dependents at no cost for employee-only coverage and $9.00 per month for full family coverage. 5.5 Vision. OCSD shall provide a vision insurance plan for regular, full-time employees and their eligible dependents. 5.6 Retiring Employees. OCSD shall pay, for employees hired prior to July 1, 1988, two and one-half months' premium for each year of continuous service of a retiring employee towards the premium costs of coverage for the employee and eligible dependents under OCSD's medical plan. 5.6.1 OCSD shall enter into an agreement with the Orange County Employee Retirement System (OCERS) to implement the retiree medical health premium offset program established by the County of Orange wherein the cost of health premiums are offset by $10 per month for every year of service up to a maximum of 25 years or $250 per month. 5. 7 Deceased Employees. In the event of the death of an active employee OCSD shall pay the premium cost for a period of one year from the date benefits would otherwise terminate for the surviving dependents covered under the deceased employee's medical and dental insurance plans. 5.8 Workers Compensation Insurance. OCSD's Workers Compensation program is self- funded and administered by a third party administrator. Workers' Compensation insurance provides coverage for injuries arising out of employment with OCSD and occurring in the course of employment. 5.9 Reimbursement Account. Section 125 of the Internal Revenue Code permits employees to use pretax dollars to pay for their portion of the cost of benefits under the plan through salary redirection arrangements. The available options are summarized below. For complete information regarding Flexible Spending Accounts employees must refer to the plan booklet available in the Human Resources Department. Participation in this Program does not affect OCSD's contribution to the Orange County Employees Page 2 of3 Book Page 46 Retirement System. The amount deducted shall then be repaid to the employee through OCSD's provided Reimbursement Program. 5.9.1 Medical Care Reimbursement Account. The purpose of this account is to provide a method through which an employee can accumulate pretax funds in a Medical Care Reimbursement Account for the purposes of reimbursing the employee for payment of health care costs not otherwise covered by the health and medical insurance. 5.9.2 Dependent Care Assistance Account. The purpose of this account is to provide a method through which an employee can accumulate pretax funds in a Dependent Care Assistance Account for the purposes of reimbursing the employee for child care expenses or day care for a disabled dependent. 6.0 EXCEPTIONS 6.1 Contract workers and student interns are not entitled to and are ineligible to join or participate in any benefit plans offered to those individuals listed on OCSD's payroll as regular employees. 7 .0 PROVISIONS AND CONDITIONS 7.1 No combination of disability or sick leave pay shall result in more than an employee's regular rate of pay. Employees may not receive short-term and long-term disability benefits at the same time. An employee who is otherwise not eligible for OCSD paid long-term disability may purchase such coverage at their own expense. 7.2 In the event OCSD adds additional optional insurance plans, OCSD's share of the premium shall be the same as for existing plans as set forth above. In the event OCSD changes underwriters for existing insurance plans, OCSD's share of the premium shall be the same as for existing insurance plans as set forth above. 8.0 RELATED DOCUMENTS 8.1 Policy D20.00, Leave-of-Absence Without Pay 8.2 Policy D51.00, Pro Rata Benefits for Part-Time Employees 8.3 Policy D70.00, Retirement 8.4 080.00, Employee Assistance Program 8.5 Policy D130.00, Domestic Partnership 8.6 Local 501, Operations and Maintenance Unit MOU 8.7 Administrative and Clerical Unit MOU 8.8 Engineering Unit MOU 8.9 Technical Services Unit MOU 8.10 Professional Group MOU 8.11 Supervisor Group MOU Page 3 of3 Book Page 47 Book Page 48 Subject: Orange County Sanitation District Pro Rata Benefits for Part-Time Employees Policy Number: D51.00 Effective Date: October 24, 2002 December 15, 2004 Supersedes: June 27, 2001 October 24, 2002 Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 . The purpose of this policy is to establish uniform guidelines for use in the administration of the benefits program provided for regular employees working in a part-time status. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 . All regular Orange County Sanitation District (OCSD) employees authorized to workmg in a part-time status. 3.0 DEFINITIONS 3.1 3.2 Part-time employees -Employees who are authorized to regularly work less than 80 hours in a bi-weekly pay period Pro rata insurance benefits -Part-time employees are responsible for payment of pro- rated insurance benefit premiums. Insurance benefits consist of medical, dental, vision, life, and short and long-term disability. 4.0 POLICY 4.1 4.2 Notwithstanding any other provision herein, the General Manager is authorized to confer the benefits set forth under OCSD's the District's policies and procedures regarding leave of absence with or without pay (excluding jury duty), vacation leave, sick leave, personal leave, bereavement leave, holidays, tuition reimbursement, and insurance benefits. These benefits shall apply to regular part-time employees on a prorated basis, as follows: HOURS OF WORK PER WEEK PERCENT BENEFIT/SUBSIDY 0-19 None 20-29 50 percent 30-39 75 percent Pro rata insurance benefits mean the employee 1,vill be responsible for payment of the pro rated amount of the insurance premium. Insurance benefits consist of: Medical, Dental, Vision, Life and Short and Long Term Disabllity. Page I of2 Book Page 49 4.2 On occasion, employees may request or be asked to transition from part-time to full-time status or vice-versa. It is the right of OCSD, at its sole discretion, to schedule working hours and assign work that may be necessary to operate OCSD in the most efficient and economical manner and in the best interest of the public it serves. Due consideration will be given to an employee's input and concerns prior to implementation of a schedule change. Multiple transitions to full-time or part-time, requested by the affected employee, shall be deemed as an abuse of this privilege and factored into future considerations for approval. A thirty (30) day written notice for work schedule changes must be given to an affected employee prior to the change. 5.0 PROCEDURE 5.1 With respect to insurance, employees pay premiums through monthly payroll deduction, according to the chart in section 4.1. 6.0 EXCEPTIONS 7 .0 PROVISIONS AND CONDITIONS 8.0 RELATED DOCUMENTS 8.1 Policy D10.00, Leave-of-Absence with Pay 8.2 Policy D20.00, Leave-of-Absence without Pay 8.3 Policy D30.00, Holidays 8.4 Policy D50.00, Insurance 8.5 Policy D90.00, Tuition Reimbursement Program 8.6 Policy F20.00, Hours of Work -Non-Exempt Employees 8. 7 Policy F20.10, Hours of Work -Exempt Employees 8.8 Local 501, Operations and Maintenance Unit MOU 8.9 Administrative and Clerical Unit MOU 8.10 Engineering Unit MOU 8.11 Technical Services Unit MOU 8.12 Professional Group MOU 8.13 Supervisor Group MOU Page 2 of2 Book Page 50 Orange County Sanitation District Policy Number: D90.00 Effective Date: October 24, 2002 December 15, 2004 Subject: TUITION REIMBURSEMENT PROGRAM Supersedes: October 24, 2001 October 24, 2002 Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 This program is designed to encourage self-development of Orange County Sanitation District (OCSD) employees by providing qualifying employees with tuition reimbursement for job-related educational courses at accredited colleges, universities, or other institutions approved by the Employee Development (ED) Division, provided that such courses are primarily for the purpose of: 1.1.1 Increasing capabilities in the employee's present position within OCSD District; 1.1.2 Preparing for positions to which the employee could be reasonably expected to advance within OCSD the District; and/or 1.1 .3 Updating professional and/or technical capabilities that are pertinent and beneficial to OCSD the District. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 This policy applies to all OCSD employees who have completed their initial probationary period of employment and work more than 19 hours per week. This policy does not apply to student interns or temporary employees. 3.0 DEFINITIONS 3.1 3.2 Qualifying Employees -All OCSD District employees who have completed their initial probationary period of employment and work more than 19 hours per week. Tuition Reimbursement -A program in which qualifying employees who successfully complete OCSD District approved courses, on their own time, at accredited colleges, universities or other institutions approved by the ED Division, within the guidelines of this policy, can be reimbursed for eligible expenses incurred. 4.0 POLICY 4.1 OCSD The District will reimburse employees who successfully complete educational courses that serve the mission and goals of OCSD the District, at the sole determination of OCSD the District, in compliance with this policy based upon the number of hours worked per week as follows: HOURS OF WORK PER WEEK 0-19 20-29 30-39 40 Page 1 of 4 Book Page 51 PERCENT OF REIMBURSEMENT NOT ELIGIBLE -0% 50% 75% 100% 5.0 4.2 Employees may GaA-be reimbursed for the following: 4.2.1 Specific, job-related Associate, Baccalaureate, and Graduate degree program courses. 4.2.1.1 Requests for reimbursement of courses above the Bachelor degree level require special approval by the Department Head, Human Resources and the General Manager. Such requests will be subject to a more extensive process, including an analysis to determine the value to OCSD the District of the proposed courses or degree program. 4.2.2 Specific, job-related courses through accredited colleges or universities. 4.2.3 Specific, job-related courses offered through an institution of study approved by the ED Division. 4.2.3.1 The employee's Division Manager is responsible for determining whether or not the course is "job-related." 4.3 When an employee successfully completes a course with a grade of "C" or better and within the guidelines of this policy, OCSD the District will reimburse the employee for eligible expenses incurred, based on the number of hours worked per week, not to exceed $5,250 per calendar year. Reimbursements are paid y. through payroll. Examples of eligible and ineligible expenses are: Eligible ExE!enses • Tuition • • Registration fees • • Laboratory fees • • Parking fees • • Health fees • • Application fees • • Required textbooks and materials per the course syllabus • Supplies required per the course syllabus not to exceed $100.00 • per course PROCEDURE Ineligible Expenses Travel Optional student fees Doctoral dissertation fees Masters thesis fees Supplemental textbook costs Supplies and materials used for the course and retained by the employee after course completion (i.e., paper, pencils, notebooks, diskettes, etc.) Graduation or diploma fees 5.1 To participate in the Tuition Reimbursement Program, employees must submit a completed Tuition Reimbursement Application and a copy of the course description which includes the course cost, course start/end date, and number of units for each course to the ED Division or HR Department HR & E:D Division NO LATER THAN one day prior to the course start date. Tuition Reimbursement Applications received in the ED Division on or after the course start date will not be approved. 5.1 .1 The Director of Human Resources E:D Director (or designee) will sign completed applications. A copy of the approved application will be forwarded maM interoffice to the employee to be re-submitted upon course completion. 5.1 .2 Incomplete applications will be returned to the employee with explanation(s) attached. Page 2 of4 Book Page 52 5.2 Upon course completion, the employee must complete and submit a Request for Tuition Reimbursement along with ( 1) an official record of the final grade, (2) itemized receipts for eligible expenses, (3) a copy of the course syllabus (if requesting reimbursement for required textbooks, materials and/or supplies) and (4) a copy of the original approved Tuition Reimbursement Application for each course to the ED Division within 60 calendar days following the course end date. • Requests for Tuition Reimbursement FE!"Gei1Jed in the ED Division more than 60 days after the Gourse end date will not be approved. 5.2.1 The Director of Human Resources HR Manager (or designee) will sign completed requests. Copies of the approved request will be forwarded mailed interoffice to the employee and submitted to the Accounting Division for reimbursement. 5.2.2 Incomplete requests will be returned to the employee with explanation(s) attached. 6.0 EXCEPTIONS 6.1 If an employee terminates employment or gives notice of termination prior to the completion of a course, no reimbursement will be made. 6.2 This policy does not apply to interns or temporary employees. 7.3 Reimbursement may be authorized whenever the employee's manager and HR Manager (or designee) determines that there is substantial benefit to be derived by OCSD tRe ~ when an employee takes a course that does not meet the requirements of this policy. 7.0 PROVISIONS AND CONDITIONS 7.1 Requests for Tuition Reimbursement received in the ED Division more than 60 days after the course end date will not be approved. 7.2 Tuition Reimbursement Applications received in the ED Division on or after the course start date will not be approved. 7.2.1 Reimbursement requests must be received by payroll by the second-to-last pay period of the calendar year to be applied to an employee's reimbursement limit for that calendar year. 7.2.2 Reimbursement requests received by payroll on or after the last pay period of the calendar year will be applied to the employee's reimbursement limit for the following year. 7.3 Employees who voluntarily terminate employment with OCSD and received reimbursement through the Tuition Reimbursement Program within 36 months of resignation, shall be subject to the following: 7.3.1 Should an employee voluntarily terminate employment with OCSD the DistriGt 1-12 months after receiving reimbursement, he/she shall agrees to repay OCSD the DistriGt 100% of the funds received through this program within the twelve- month period prior to the date of his/her voluntary termination. 7.3.2 Should an employee voluntarily terminate employment with OCSD the DistriGt 13-24 months after receiving reimbursement, he/she shall agrees to repay OCSD the DistriGt 66% of all funds received through this program within the twenty-four month period prior to the date of his/her voluntary termination. Page 3 of 4 Book Page 53 7.3.3 Should an employee voluntarily terminate employment with OCSD the District 25-36 months after receiving reimbursement, he/she shall agrees to repay OCSD the District 33% of all funds received through this program within the thirty-six month period prior to the date of his/her voluntary termination. 7.4 Reimbursement will be at the discretion of OCSD the District provided the employee meets the criteria specified in this policy. 8.0 RELATED DOCUMENTS 8.1 Fair Labor Standards Act, as amended. 8.2 Sections 127 and 132-J8 of the Internal Revenue Code. 8.3 Tuition Reimbursement Pre-Approval Application 8.4 Request for Tuition Reimbursement Page 4 of 4 Book Page 54 Subject: Orange County Sanitation District Policy Number: D110.00 Effective Date: February 25, .2004 December 15, 2004 Catastrophic Illness Supersedes: October .22, 2003 February 25, 2004 Leave Donation Program Approved by: Lisa L. Tomko 1.0 PURPOSE 1 1 The purpose of this policy is to establish uniform guidelines and procedures for use in the administration of Orange County Sanitation District's (OCSD's) the District's Catastrophic Illness Leave Donation Program. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 All OCSD District employees. 3.0 DEFINITIONS 3.1 Catastrophic Illness or Injury: • Debilitating illness or injury that wruGl:l-is expected to incapacitate the employee for an extended period of time and that wruGl:l-creates a financial hardship due to the exhaustion of all accrued leave. • A debilitating illness or injury of a child, parent, OF spouse, or domestic partner that results in the employee being required to take time away from work for an extended period to care for the family member, therefore creating a hardship due to the exhaustion of the employee's accrued leave. 4.0 POLICY 4.1 Employees may on occasion face catastrophic medical conditions involving themselves or their immediate family that results in the exhaustion of all accrued sick, vacation, personal or other paid leave time. Such employees may request, or be nominated for allocations of leave time according to OCSD's the District's Catastrophic Illness Leave Donation Program. 4.2 Employees may, in accordance with the provisions of OCSD's the District's policy regarding the Catastrophic Illness Leave Donation Program, elect to donate accrued and unused personal leave, vacation leave or compensatory time off to an individual employee qualified and approved to receive allocations of leave time. 4.3 Paid leave time categories authorized for eligible to be donation by one employee to another include vacation, compensatory or personal leave. Pagel of3 Book Page 55 5.0 PROCEDURE 5.1 Requests or nominations for donated leave time are subject to the approval of the Director of Human Resources or designee, pursuant to this policy. 5.2 Requests for donated leave time are to be submitted to the Human Resources Supervisor using the form "Application for Use of Catastrophic Illness Leave Hours". This form is located on the HR intranet site. 5.3 Communicating the request to OCSD District employees for leave time donations shall be made in the following manner: 5.3.1 The employee or nominator will submit a draft e-mail to Human Resources for review informing employees of the request for leave time donations. 5.3.2 Human Resources will send the approved e-mail announcement to the employee's immediate work division, and may also send it to the department. It can later be sent to other divisions or departments if requested. 5.4 To make a leave time donation, employees should complete a "Catastrophic Illness Leave Donation Form" and submit« the form to Human Resources. This form is located on the HR intranet site. 5.5 The vacation, compensatory or personal leave time donated by an employee shall be converted to a dollar value based on the hourly rate of the donor. 5.6 At the time of allocation, those dollars shall then be converted into sick leave or personal leave at the hourly rate of the recipient of the donated leave time. 6.0 EXCEPTIONS 6.1 Employees who have not exhausted their paid leave -vacation, sick, personal and compensatory time off -at the time of request or nomination will not be considered for allocation of leave time until their paid leave time is exhausted. 6.2 Sick leave may not be donated by one employee to another. 7.0 PROVISIONS AND CONDITIONS 7.1 To be eligible to receive allocations of leave time as provided by the Catastrophic Illness Leave Donation Program, employees must have exhausted all of their paid leave, including vacation, sick, personal and compensatory time off. 7.2 The maximum allocation of donated leave that an employee may receive is 480 hours per individual per 12 month period except in the event the leave period terminates due to the employee's death. If death occurs, remaining donated hours may exceed 480 to be paid out as a survivor benefit. 7.3 Employees will be requested to provide medical documentation of a catastrophic health condition involving their child, parent or spouse, domestic partner, or involving the employee's own catastrophic health condition. 7.4 Donations must be made in whole hour increments, and are irrevocable. Page 2 of3 Book Page 56 7.4.1 Any such hours that remain at the conclusion of the leave period shall be returned to the donors on a pro-rated basis per the hourly salary of the originally donated hours. 7.4.2 In the case of an employee's death during the leave period, donors may be given the option of having their donated hours remain in the deceased employee's leave account to be paid out as a survivor benefit. 8.0 RELATED DOCUMENTS 8. 1 Caiifornia Labq_r CodeJ Section 233 8.2 Application for Use of Catastrophic Illness Leave Hours Form. 8.3 Catastrophic Illness Leave Donation Form Page 3 of3 Book Page 57 Book Page 58 Ej Orange County Policy Number: D130.00 Sanitation District Effective Date: December 15, 2004 Subject: Domestic Partnership Supersedes: Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 The purpose of this policy is to recognize the status of domestic partners and to establish uniform guidelines and procedures for providing eligibility for programs (e .g., benefits) and ensuring equal access to those programs. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 All Orange County Sanitation District (OCSD) employees. 3.0 DEFINITIONS 3.1 Domestic Partners are two adults who have chosen to share one another's lives in an intimate and committed relationship of mutual caring and who have met the criteria set forth in California Family Code, Sections 297and 298. 4.0 POLICY 4.1 It is the policy of OCSD to recognize employees who meet the definition of domestic partners provided for within this policy and who have registered with the California Secretary of State. 4.2 No one shall discriminate against or harass any person or couple on the grounds of domestic partner status, gender, sexual orientation, or any other protected class as outlined in OCSD's non-discrimination and harassment policies. 4.3 The use of any available sick or personal leave entitlement to attend to an illness of a domestic partner is permitted as outlined in OCSD's Leave-of-Absence with Pay policy. 4.4 Employees who are registered domestic partners on or after January 1, 2005 shall be extended the same rights, responsibilities, and duties as married couples and shall be afforded the same protections and benefits. 5.0 PROCEDURE 5.1 Registered domestic partners must file with the Human Resources Department, a copy of all applicable documentation that establishes approved domestic partnership status, in order to receive all available benefits outlined in OCSD policies, procedures, and applicable Memorandums of Understanding (MOUs). Book Page 59 6.0 EXCEPTIONS 7 .0 PROVISIONS AND CONDITIONS 7.1 To be eligible to receive the same allocation of benefits extended to married couples, employees must register with the California Secretary of State and file approved documentation with OCSD's Human Resources Department. 8.0 RELATED DOCUMENTS 8.1 California Family Code, Sections 297and 298 8.2 California Domestic Partner and Responsibilities Act of 2003 8.3 Declaration of Domestic Partnership Registration Form 8.4 Policy 820.00, Nondiscrimination in Employment 8.5 Policy 830.00, Harassment Policy 8.6 Policy D10.00, Leave-of-Absence with Pay 8.7 Policy D20.00, Leave-of-Absence without Pay 8.8 Policy D50.00, Insurance 8.9 Policy D110.00, Catastrophic Illness Leave Bank Program 8.10 F10.00, Rules of Conduct 8.11 F70.00, Discipline 8.12 Local 501, Operations and Maintenance Unit MOU 8.13 Administrative and Clerical Unit MOU 8.14 Engineering Unit MOU 8.15 Technical Services Unit MOU 8.16 Professional Group MOU 8.17 Supervisor Group MOU Book Page 60 Orange County Sanitation District Subject: HOURS OF WORK- NON-EXEMPT EMPLOYEES 1.0 PURPOSE Policy Number: F20.00 Effective Date: July 21, 2004 December 15, 2004 Supersedes: April 26, 2000 July 21, 2004 Approved by: Lisa L. Tomko 1.1 The purpose of this policy is to establish uniform guidelines and procedures for use in the administration of Orange County Sanitation District's (OCSD's) the Oistrict's working hours. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 This policy applies to all OCSD Oistrict non-exempt employees in all organizational units and departments unless otherwise specified. 3.0 DEFINITIONS 3.1 Non-exempt Employees are employees who are covered by the minimum wage and overtime provisions of the Fair Labor Standards Act, as amended. Such employees, because of the type of work that they perform and their earnings level, are subject to receiving overtime pay in addition to any other entitlement otherwise provided for in applicable Memorandums of Understanding and/or other OCSD policies. 3.2 Day Shift is an assigned work shift of at least seven consecutive hours between the hours of 6:00 a.m. and 6:00 p.m. 3.3 Night Shift is an assigned work shift of at least seven consecutive hours between the hours of 6:00 p.m . and 6:00 a.m. 3.4 Flexti me is the option of employees to choose the starting and finishing times of their shift, with supervisory pre-approval. 3.5 Overtime is the number of hours in paid staws, which are counted as time worked, in excess of 40 hours during a workweek. For the purposes of overtime, all time charged to unscheduled leave will not be counted as time worked. 3.6 Core Hours are the hours between 8:00 a.m. and 4:00 p.m . on any given day. 3.7 Payday is the Wednesday before the end of the subsequent pay period. 3.8 Pay Periods occur bi-weekly and are calculated on the basis of 80-hours worked for full-time employees. 3.9 Workweek means 40-hours of work per 168-hour period. The workweek is a fixed and recurring period of 168-hours, or seven consecutive 24-hour periods. OCSD Oistrict employee workweeks are structured on an individual and/or group basis so that 40-hours of work regularly occurs during the fixed and regularly recurring period of 168-hours. The specific workweek for each employee is fixed by the General Manager, or his designee, and is maintained by the accounting payroll office. Pagel of 4 Book Page 61 4.0 POLICY 4.1 It is the policy of OCSD the District to establish the time and duration of working hours as required by work load, operations flow, customer service needs, the efficient management of human resources, and any applicable law. 4.2 It is the policy of OCSD to require non-exempt employees to complete weekly timesheets. 4.3 On occasion, employees may request or be asked to transition from part-time to full-time status or vice-versa. It is the right of OCSD, at its sole discretion, to schedule working hours and assign work that may be necessary to operate OCSD in the most efficient and economical manner and in the best interest of the public it serves. Due consideration will be given to an employee's input and concerns prior to implementation 0f a schedule change. Multiple transitions to full-time or part-time, requested by the affected employee, shall be deemed as an abuse of this privilege and factored into future consideratr0ns for approval. A thirty (30) day written notice for work schedule changes must be given to an affected employee prior to the change. 5.0 PROCEDURE 5.1 Normal Business Hours. Administrative and business functions are normally performed between the hours of 7:30 a.m . and 5:30 p.m., Monday through Thursday, and between the hours of 7:30 a.m. and 4:30 p.m. on Friday. However, OCSD the District allows flextime for employees to choose their starting and finishing times as long as employees whose jobs involve contact with the public or outside organizations are present between the core hours of 8:00 a.m. and 4:00 p.m. In addition, department heads, or designee, may deny flextime to certain employees for reasons of business necessity, work flow, or customer service needs. 5.2 Core Hours. Individual divisions may schedule work beyond the core hours of 8:00 a.m. and 4:00 p.m., subject to approval by the department head, or designee, to meet specific operating or service requirements in the most cost-effective and efficient manner. Actual starting and ending times of an employee's shift may vary depending on the operational requirements of each department. 5.3 Shift Schedules. For time record keeping and accounting purposes, the "workweek" for full- time employees is 40 hours per 168-hour period, to be paid on a biweekly payroll basis of 80 hours worked. The actual work periods may be scheduled in shifts of four 9-hour days and one 4-hour day each workweek (9/80 schedule), five 8-hour days each workweek (10/80), four 10-hour days each workweek (8/80), or three 12-hour days and on e 4-hour day each workweek (7/80) at the discretion of the supervisor. The starting and ending times of individual employees' workweeks may vary. 5 4 Overtime. Supervisors may schedule overtime or extra shifts as necessary. Supervisors will assign overtime to non-exempt employees in the particular job for which overtime is required. Non-exempt employees are not permitted to work overtime without the prior written or verbal approval of their supervisor, division manager, or department head. 5.5 Meeting Attendance. Employee attendance at lectures, meetings, and training programs will be considered as part of an employee's work hours if attendance is requested by management. Overtime or compensatory time may be allowed for such attendance only in unusual circumstances and must be approved by the department head in advance of the meeting. 5.6 Make-up Time. Using At their discretion, supervisors may allow non-exempt employees to make-up lost time during a given workweek. However, make-up time may not be allowed if the lost time results from conditions the employee could control, if there is no work the employee is qualified to do, or if adequate supervision is not available. Page 2 of4 Book Page 62 5. 7 Timesheets -Non-exempt Employees. AH employees are required to complete an individual time-record, hereinafter referred to as a "timesheet" showing ti:le daily hours worked. The following points shall SAOOiG be considered when by employees in filling out timesheets: 5. 7.1 Employees shalt SAOOiG record their total hours worked for each workday on their timesheets and sign their own timesheets at the end of the pay period. 5.7.2 Employees are not permitted to begin work before their normal starting time or work after their normal quitting time without the prior approval of their supervisor. 5.7.3 Employees are required to take scheduled lunch breaks and are required to take scheduled morning and afternoon breaks. 5.7.4 Employee timesheets shall be checked and signed by their supervisor or designee. 5.7.5 Unapproved absences are not considered as hours worked for pay purposes. Supervisors should inform employees if they will not be paid for certain hours in which they are or were absent from work. 5.7.6 Filling out another employee's timesheet without management authorization, or falsifying any timesheet is prohibited and may be grounds for disciplinary action, up to and including termination. 5.7.7 Timesheets must be completed in ink. Time worked should be charged to the appropriate work order category, and timesheets must be signed by both the employee and supervisor. If an employee is unable to complete their timesheet due to absence, the timesheet must be completed by the supervisor or designee (e.g., designee authorized by management to process employee's timesheet while on a leave-of-absence) and submitted to timekeeping. When the employee returns to work, another copy of the timesheet should be signed by both the employee and the supervisor and sent to Accounting in the Finance Department timekeeping. 5.7.8 An employee must record all time taken as paid or unpaid leave. Any day with less than the typical amount of time for that shift recorded, usually 8, 9, 10 or 12 hours, must be supported by an explanation of the missing hours in an appropriate space on the sheet. Total hours recorded for each day or shift must agree with the total time for the pay period. 5.7.9 Timesheets will be distributed and collected by supervisors or other designated individuals and submitted to Timekeeping in the Accounting Gffise no later than Friday noon each week. Timesheets may vary depending upon the operational needs of each department, but will conform to the above requirements. Supervisors are responsible for ensuring that timesheets are submitted in a timely manner. Corrections to a timesheet entry may only be made by supervisors drawing a single line through the incorrect entry, writing the correct entry in the margin, and initialing the change. 5.8 Payday. Paychecks are distributed on the Wednesday immediately preceding the close of a pay period. Paychecks received on Wednesday cover the period worked during the previous pay period. If a payday falls on a holiday, paychecks will normally be distributed on the last working day preceding the holiday. Employees who will not be at work on a payday may request that their checks be held, forwarded to their supervisor, or mailed directly to them. Unclaimed paychecks will be held in Accounting tt:ie Payroll Off.ice. Paychecks of individuals who terminate their employment with OCSD tt:ie District, or are separated, will be mailed directly to them on the next regular payday subsequent to the separation date unless other arrangements are made to hold the check. Page 3 of4 Book Page 63 6.0 EXCEPTIONS 6. 1 Flextime does not apply to the Operations and Maintenance Department. 7 .0 PROVISIONS AND CONDITIONS 8.0 RELATED DOCUMENTS 8.1 Fair Labor Standards Act, as amended 8.2 Policy D51 .00, Pro Rata Benefits for Part-Time Employees 8.3 Policy F10.00, Rules of Conduct 8.4 Policy F20.10, Hours of Work -Exempt Employees 8.5, Local 501 , Operations and Maintenance Unit MOU 8.6 Administratfve and Clerical Unit MOU 8.7 Engineering Unit MOU 8.8 Tectmical Services Unit MOU Page4 of4 Book Page 64 Orange County Sanitation District Subject: HOURS OF WORK -EXEMPT EMPLOYEES 1.0 PURPOSE Policy Number: F20.10 Effective Date: April 26, 2000 December 15, 2004 Supersedes: December 9, 1998 April 26, 2000 Approved by: Lisa L. Tomko 1.1 The purpose of this policy is to establish uniform guidelines and procedures for use in the administration of Orange County Sanitation District's (OCSD's) working hours. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 This policy applies to all OCSD exempt employees in all organizational units and departments unless otherwise specified. 3.0 DEFINITIONS 3.1 Exempt Employees are employees who are not covered by the minimum wage and overtime provisions of the Fair Labor Standards Act (FLSA), as amended. Such employees are considered exempt by virtue of their duties in conformance with FLSA's the Act's definition of Executive, Administrative and Professional employees. 3.2 Flextime is the option of employees to choose the starting and finishing times of their shift with supervisory pre-approval. 3.3 Overtime is the number of hours ~d status, which are counted as time worked, in excess of 40 hours during a workweek. For the purposes of overtime, all time charged to unscheduled leave will not be counted as time worked. Overtime only applies to non-exempt employees. 3.4 Memo time is the number of hours in excess or short of the normal working hours for an employee in a single workday. The normal working hours could be 8, 9, 10 or 12 depending on the employee's assigned schedule. J.5 Make up time is time worked in the second week of the pay period to make blp for a shortage of time in the first week of the pay period. 3.6 Core Hours are the hours between 8:00 a.m. and 4:00 p.m. on any given day. 3.7 Payday is the Wednesday before the end of the subsequent pay period. 3.8 Pay Periods occur bi-weekly and are calculated on the basis of 80-hours worked for full-time employees. 3.9 Workweek means 40-hours of work per 168-hour period. The workweek is a fixed and recurring period of 168-hours, or seven consecutive 24-hour periods. OCSD Q.istfiGt employee workweeks are structured on an individual and/or group basis so that 40-hours of work regularly occurs during the fixed and regularly recurring period of 168-hours. The specific workweek for each employee is fixed by the General Manager, or his designee, and is maintained by the accounting payroll office. Page 1 of 4 Book Page 65 3.10 Leave time is any authorized leave-of-absence with pay outlined in OCSD's policies and procedures, such as vacation leave, sick leave, personal leave, etc. 4.0 POLICY 4.1 1t is the policy of OCSD to establish the time and duration of working hours as requlred by werk load, operations flow, customer service needs, the efficient management of human resources, and any applicable law. 4.2 It is the policy of OCSD the District to require exempt employees to complete weekly timesheets. Exempt employees must use approved leave time sick time, vacation time or GGmpensatory time for any partial-day absences unless "memo time" is authorized. 4..J In certain situations employees may not be required to use leave time for partial-day absences and may be eliglble to use "make up time" or "memo time." This situation may occur if the employee receiv,ed advance approval from his/her supervisor and if the employee makes up the scheduled tirne~off in the same pay period week. mere than the eighty (80) hours in the same pay period. (Please refer to the sample timesheet.) 4.4 On occasion, employees may request or be asked to transition from part-time to full-time status or vice-versa. It is the right of OCSD, at its sole discretion, to schedule working hours and assign work that may be necessary to operate OCSD in the most efficient and economical manner and in the best interest of the public it serves. Due consideration will be given to an employee's input and concerns prior to implementation of a schedule change. Multiple transitions to full-time or part-time, requested by the affected employee, shall be deemed as an abuse of this privilege and factored into future considerations for approval. A thirty (30) day written notice for work schedule changes must be given to an affected employee prior to the change. 5.0 PROCEDURE 5.1 Normal Business Hours. Administrative and business functions are normally performed between the hours of 7:30 a.m. and 5:30 p.m., Monday through Thursday, and between the hours of 7:30 a.m. and 4:30 p.m. on Friday. However, OCSD the District allows flextime for employees to choose their starting and finishing times as long as employees whose jobs involve contact with the public or outside organizations are present between the core hours of 8;00 a.m. and 4:00 p,m. In addition, department heads, or designee, may deny flextime to certain employees for reasons of business necessity, workflow, or customer service needs. 5.2 Core Hours. Individual divisions may schedule work beyond the core hours of 8:00 a.m. and 4:00 p.m., subject to approval by the department head, or designee, to meet specific operating or service requirements in the most cost-effective and efficient manner. Actual starting and ending times of an employee's shift may vary depending on the operational requirements of each department. 5.3 Shift Schedules. For time record keeping and accounting purposes, the "workweek" for full- time employees is 40 hours per 168-hour period , to be paid on a biweekly payroll basis of 80 hours worked. The actual work periods may be scheduled in shifts of four 9-hour days and one 4-hour day each workweek (9/80 schedule), five 8-hour days each workweek (10/80), four 10-hour days each workweek (8/80), or three 12-hour days and one 4-hour day each workweek (7/80) at the discretion of the supervisor. The starting and ending times of individual employee workweeks may vary. 5.4 Meeting Attendance. Employee attendance at lectures, meetings, and training programs will be considered as part of an employee's work hours if attendance is requested by management. 0 1.•ertime or compensatory time may be allowed for such attendance onl-y-iA blAUsual cfrcblmstances and must be approved by the department head in advance ef the meeting_ Page 2 of4 Book Page 66 5.5 Timesheets -Exempt Employees. Exempt employees Personnel, as defined by the exempt job classifications generally of the Fair Labor Standards Act, are not eligible to receive overtime pay; however, exempt employees must account for daily attendance. The following points shall be considered when filling out time sheets: 5.5.1 Timesheets for exempt employees shall SROOW indicate the days worked during the pay period and include all time taken as paid or unpaid leave. Timesheets should report a total of eighty (80) hours per pay period plus any applicable memo time. 5.5.2 Hours in excess or short of the daily total should be accounted for in the work description line titled "Memo Time". (Please refer to the sample timesheet). The appropriate subledger number should be entered, and the timesheet signed by the appropriate management level. When using subledger numbers, time should be recorded in blocks of half hour increments or more. 5.5.3 Employees may be able to draw hours from their "memo time" in certain situations; however, memo time is NOT compensatory time and will NOT be granted on an hour for hour basis. It is to be used on an exception basis and must be approved in advance by the supervisor. For example, if an employee schedules 2.5 hours off and makes up that time during that pay period week, "memo time" may be used. works 48.5 total hours in week one and needs to use 2.5 hours to 90 to a doctor's appointment in week two, the supervisor may approve using memo time. (Please refer to the attached sample timesheets). Memo time, in some occurrences, may be allowed for an entire day, but may not replace the use of leave time, such as vacation time, when practical. For example, memo time may not be used in conjunction with vacation, sick or personal leave time. In addition, "memo time" shall not be authorized for more than one day in a pay period, if using memo time creates a negative "memo time" accrual balance, or if it is not scheduled in advance with the supervisor. 5.5.4 Make up time may be used if the employee will need to blse the 2.5 hours in the first week of the pay period and will 1Nork an extra hours (of a least 2.5 hours) in the second week of the pay period to "make up" for the shortage of hours. Agai11, it is to be used on an exceptiOA-basis-and must be approved in ad11ance by the supervisor. ~ Exempt personnel timesheets shall shook!-be submitted to Timekeeping in the Accounting in the Finance Department GffiGe no later than Friday of each week. In addition, exempt employees will not receive overtime compensation, except as Extraordinary Services Compensation agreed to in applicable bargaining unit MOUs. (except as specifically agreed to in an applicable bargaining unit MOUs) but occasionally may be eligible for time off after working abnormally long hours. 5.5.6 Timesheets must be completed in ink. Time worked shall should be charged to the appropriate work order category, and timesheets must be signed by both the employee and supervisor. If an employee is unable to complete their timesheet due to absence, the timesheet must be completed by the supervisor or designee (e.g., designee authorized by management to process employee's timesheet while on a leave-of-absence) and submitted to timekeeping. When the employee returns to work, another copy of the timesheet should be signed by both the employee and the supervisor and sent to timekeeping. ~ Filling out another employee's timesheet, without management authorization, or falsifying any timesheet is prohibited and may be grounds for disciplinary action, up to and including termination. Coworkers, \'vithout management authorization, completing another coworker's timesheet or employee's :falsifying any timesheet is prohibited and may be grounds for disciplinary action, u·p to and incl!.iding termination. 5.6 Payday. Paychecks are distributed on the Wednesday immediately preceding the close of a pay period. Paychecks received on Wednesday cover the period worked during the previous Page 3 of 4 Book Page 67 pay period. If a payday falls on a holiday, paychecks wilt normally be distributed on the lijst working day preceding the hofiaay. Employees Who will nat be at work on a payday may requel?t that their checks be held1 forwarded to th-eir supervisor1 ar mailed directly to their resfdence. Unc:;:laimed paychecks will be held in Accmmting. Paychecks of individuals who fermtnate their employment with OCSD, or are separated, w111 be mailed directly to'them on the next regular payday subsequent to the separation date unless other arrangements are made to hold the check. 6.0 EXCEPTIONS 7 .0 PROVISIONS AND CONDITIONS 8.0 RELATED DOCUMENTS 8.1 Fair Labor Standards Act, as amended 8.2 Policy 051 .00, Pm Rata Benefits for Part-Time Employees 8.3 Policy F10.00, RUies af Condwct 8-4 Policy F20.00, Hours of Work -Nori-exempt Employees 8.5 Professicmal Group MOU 8.6 Supervisar G:roup MOU 8. 7 Prof.essional and Supervi sory M.O.U. Page4 of4 Book Page 68 OCSD WEEKLY TIME REPORT -SAMPLE TIMESHEET (MEMO TIME USE) DIV.# EMP# Work Description or Administration Staff Meeting Attending Training Holiday Floating Holiday Personal Leave-Scheduled Personal Leave-Unscheduled Non-Working Holiday Memo Time PAY TYPES: CIP Phase# Week Ending: Name: DAILY TIME LOG Project/ Pay 11/19 11/20 Subledger Type Shift F S 09803113 R 8.00 X 09801014 R X 09803223 R X 09801100 H X 09801100 CF X 09801100 S X 09801100 us X 09801100 N/H X 09803106 M 2.50 R= Regular ML = Military Leave SL= Employee Sick Leave SF= Family Sick Leave H ~ Holiday CC = N/H Compensatory Time Paid CF = Floating Holiday ES = Extraordinary Services V= Vacation EMPLOYEE Page ___ of SI = Sick Industrial SB = Sick Bereavement N/H = Non-Working Holiday Book Page 69 11/21 s X X X X X X X X 11/25/2004 11/22 11/23 11124 M T W 9.00 9.00 9.00 (2.50) JD = Jury Duty 11/25 TH 9.00 t :< )/ ,:: :/ ::.1r .. '' ::, :,:; •. ·.:.•. : S = Scheduled Personal Leave US = Unscheduled Personal leave M=MemoTime APPROVED BY Updated: June 13, 2001 Book Page 70 Orange County Sanitation District Policy Number: F100.00 Effective Date: December 15, 2004 Subject: Smoking Supersedes: Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 This policy has been developed to protect employees and the general public from the dangers associated with second-hand smoke. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 This policy applies to all Orange County Sanitation District (OCSD) employees, contractors, and the general public who are in or on OCSD property. 3.0 DEFINITIONS 3.1 Public Building -A building owned and occupied, or leased and occupied, by the State, County, City, City and County, or a California College District. In or inside a public building includes all indoor areas of the public building, except for covered parking lots. 4.0 POLICY 4.1 GENERAL INFORMATION 4.1.1 OCSD provides designated smoking areas that meet regulatory requirements and the operational needs of the organization. This policy defines employee, contractor, and general public conduct, as related to smoking, in or on OCSD property. 4.1.2 EMPLOYEE, CONTRACTOR AND PUBLIC CONDUCT 4.1 .3 No OCSD employee, contractor, or member of the general public shall smoke any tobacco product in an OCSD public building or vehicle. Smoking is prohibited at OCSD except in designated areas that are clearly posted. 4.1.4 Failure to comply with the requirements of this policy shall result in disciplinary action, which includes, but isn't limited to: 4.1.4.1 Progressive disciplinary action for OCSD employees, which may result in termination for repeated violations. 4.1.4.2 Removal of contractor personnel from an OCSD public building facility or vehicle and/or termination of the contract. 4.1.4.3 Removal of a member of the general public from the impacted OCSD public building or vehicle. Page I of2 Book Page 71 4.2 LOCATING DESIGNATED SMOKING AREAS 4.2.1 All designated smoking areas shall be located outdoors and at least 20 feet from a main entrance, exit, and/or operable window. 4.2.2 All designated smoking areas shall be clearly posted and delineated by OCSD. 4.2.3 Ash trays will be provided at each designated smoking area and will be maintained by OCSD. 5.0 PROCEDURE 5.1 RECORDKEEPING 5.1.1 A database within the Computer Maintenance Management System (CMMS) shall be implemented to properly maintain the location of all designed smoking areas at OCSD. 6.0 EXCEPTIONS 7 .0 PROVISIONS AND CONDITIONS 8.0 RELATED DOCUMENTS 8.1 Code of Federal Regulations, Title 49 (Subpart D) 8.2 California Government Code, Sections 7597-7598 8.3 California Labor Code, Section 6400-6413.5 8.4 All signed and implemented MOUs between OCSD and designated Bargaining Units/Employee Associations 8.5 Policy F41 .00, Vehicle Usage 8.6 Policy F70.00, Discipline Page 2 of2 Book Page 72 RESOLUTION NO. OCSD 04-XX AMENDING RESOLUTION NO. OCSD 98-33 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT AMENDING THE HUMAN RESOURCES POLICIES AND PROCEDURES ***************************** The Board of Directors of the Orange County Sanitation District, DOES HEREBY RESOLVE, DETERMINE AND ORDER: Section 1: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. 010.00, Leave of Absence with Pay, set forth in Attachment No. 1, attached hereto and incorporated herein by reference. Section 2: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. 050.00, Insurance, set fourth in Attachment No. 2, attached hereto and incorporated herein by reference. Section 3: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. 051. 00, Pro-Rata Benefits for Part-Time Employees, set fourth in Attachment No. 3, attached hereto and incorporated herein by reference. Section 4: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. 090.00, Tuition Reimbursement Program, set fourth in Attachment No. 4, attached hereto and incorporated herein by reference. Section 5: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. 0110.00, Catastrophic Illness Leave Donation Program, set fourth in Attachment No. 5, attached hereto and incorporated herein by reference. Section 6: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. 0130.00, Domestic Partnership, set fourth in Attachment No. 6, attached hereto and incorporated herein by reference. Section 7: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. F20. 00, Hours of Work -Non-Exempt Employees, set fourth in Attachment No. 7, attached hereto and incorporated herein by reference. Section 8: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. F20. 10, Hours of Work -Exempt Employees, set fourth in Attachment No. 8, attached hereto and incorporated herein by reference. Section 9: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. F100. 00, Smoking, set fourth in Attachment No. 9, attached hereto and incorporated herein by reference. Book Page 73 Section 10: That all other terms and conditions of Resolution No. OCSD 98- 33, as previously recommended, shall remain in full force and effect. Section 11 : That all future amendments to Resolution No. OCSD 98-33 be made by Resolution. PASSED AND ADOPTED at a regular meeting held December 15, 2004. Chair ATTEST: Board Secretary Book Page 74 FAHR COMMITTEE AGENDA REPORT Orange County Sanitation District FROM: Lisa L. Tomko, Director of Human Resources Patrick Miles, Director of Information Technology Originator: Rich Castillon, Information Technology Manager Meeting Date 12/08/04 Item Number FAHR04-111 SUBJECT: CHANGES AND ADDITIONS TO HUMAN RESOURCES POLICIES AND PROCEDURES AS AUTHORIZED BY RESOLUTION 98-33. GENERAL MANAGER'S RECOMMENDATION Adopt Resolution No. OCSD 04-XX, amending Resolution No. OCSD 98-33, amending Human Resources Policies and Procedures Manual re specific Information Technology related policies. SUMMARY The attached policies are updates and additions to establish and promote the ethical, legal, and secure use of computing and electronic communications for all OCSD staff members. Staff retained TruSecure (the leading provider of intelligent risk management processes and services) to assess OCSD's information security infrastructure against a set of standardized practices. Acting on TruSecure's recommendations, several new policies will be implemented to address specific acceptable use practices. A Computer End-User policy establishes a uniform policy for end-user accounts and security configuration. This will ensure that guidelines are in place to secure the electronic data stored on the OCSD network and access to the network is through secure logon accounts. The existing policy was modernized to address issues regarding the use, retention, and protection of email as well as acceptable use of the Internet. A new Change Control policy is introduced to establish a uniform method to keep all PCs, servers, and computer infrastructure at proper operating levels. The Software policy establishes a uniform method for software copyright enforcement, software selection, and maintenance. The policy will validate OCSD's diligence in adhering to existing copyrights. Additionally, this policy bans the installation of software on OCSD owned equipment that may not be properly licensed and registered. The new Computer Incident Response policy establishes uniform guidelines for responses to computer-related incidents and establishes procedures that will be followed and referenced in legal and discovery actions. Remote Access and Special Technology policies address emerging technologies that allow connections to the OCSD network from external sites through wireless methods. PRIOR COMMITTEE/BOARD ACTIONS Human Resources Policies and Procedures Manual revisions were presented at the July 2004 FAHR and Board of Directors meetings. H:ldeptlagenda\FAHRIFAHR200411204\04-111 HR Policy & Procedure re IT Policies.doc Book Page 75 To Bd. of Dir. 12/15/04 Item Number Page 1 PROJECT/CONTRACT COST SUMMARY N/A BUDGET IMPACT D This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. ~ Not applicable (information item) ADDITIONAL INFORMATION Policy Number and Subject E90.00 Information Systems Management E91 .00 End-User Policy E92.00 Software Policy E93.00 E-mail Policy E94.00 Internet Usage Policy E95.00 Computer Incident Response Policy E96.00 Change Control Policy E97.00 Remote Access Policy E98.00 Special Technology Policy ALTERNATIVES N/A CEQA FINDINGS N/A ATTACHMENTS 1. Proposed Resolution From Current Language NIA NIA NIA NIA NIA NIA NIA NIA 2. E90.00 Information Systems Management 3. E91.00 End-User Policy 4. E92.00 Software Policy 5. E93.00 E-mail Policy 6. E94.00 Internet Usage Policy 7. E95.00 Computer Incident Response Policy 8. E96.00 Change Control Policy 9. E97 .00 Remote Access Policy 10. E98.00 Special Technology Policy H:ldept\agenda\FAHRIFAHR2004\1204\04-111.HR Policy & Procedure re IT Policies doc Book Page 76 To Revised Language NIA NIA NIA NIA NIA NIA NIA NIA Reason for Change Retitled to establish detailed computer related policies New Policy New Policy New Policy New Policy New Policy New Policy New Policy New Policy Page ,I RESOLUTION NO. OCSD 04-XX AMENDING RESOLUTION NO. OCSD 98-33 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT AMENDING THE HUMAN RESOURCES POLICIES AND PROCEDURES *~1rfl:~************************ The Board of Directors of the Orange County Sanitation District, DOES HEREBY RESOLVE, DETERMINE AND ORDER: Section 1: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by amending Policy No. E90.00, Information Systems Management, set forth in Attachment No. 1, attached hereto and incorporated herein by reference. Section 2: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. E91.00, End-User Policy, set fourth in Attachment No. 2, attached hereto and incorporated herein by reference. Section 3: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. E92.00, Software Policy, set fourth in Attachment No. 3, attached hereto and incorporated herein by reference. Section 4: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. E93. 00, E-Mail Policy, set fourth in Attachment No . 4, attached hereto and incorporated herein by reference. Section 5: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. E94. 00, Internet Usage Policy, set fourth in Attachment No. 5, attached hereto and incorporated herein by reference. Section 6: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. E95. 00, Computer Incident Response Policy, set fourth in Attachment No. 6, attached hereto and incorporated herein by reference. Section 7: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. E96. 00, Change Control Policy, set fourth in Attachment No. 7, attached hereto and incorporated herein by reference. Section 8: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. E97.00, Remote Access Policy, set fourth in Attachment No. 8, attached hereto and incorporated herein by reference. Section 9: That Exhibit "A" of Resolution No. OCSD 98-33 is hereby amended by adding Policy No. E98.00, Special Technology Policy, set fourth in Attachment No. 9, attached hereto and incorporated herein by reference. H:\depl\agenda\FAHR\FAHR2004\1204\04-111.HR Policy & Procedure re IT Policies doc Book Page 77 Page~ Section 10: That all other terms and conditions of Resolution No. OCSD 98- 33, as previously recommended, shall remain in full force and effect. Section 11 : That all future amendments to Resolution No. OCSD 98-33 be made by Resolution. PASSED AND ADOPTED at a regular meeting held December 15, 2004. Chair ATTEST: Board Secretary H:\dept\agenda\FAHRIFAHR2004\1204104-111 HR Policy & Procedure re IT Policies doc Page'- Book Page 78 Orange County Sanitation District Information Systems Management 1.0 PURPOSE Policy Number: E90.00 Effective Date: February 26, 2003 December 15, 2004 Supersedes: December 1B, 2002 February 26, 2003 Approved by: Lisa L. Tomko 1.1 The purpose of this policy is to establish uniform guidelines and procedures for all Information System Management policies, procedures, and applications. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 This policy applies to all Orange County Sanitation District (OCSD) employees, independent contractors (contract or temporary employees), consultants, appointed officials, authorized volunteers, special committee members, and all other parties who are authorized to use OCSD's computer resources in the performance of OCSD business. 3.0 DEFINITIONS 4.0 POLICY 4.1 All E9X.XX policies provide rules, regulations, and general standard operating procedures for all uses of OCSD computer equipment, software, internet and e-mail, change control, remote access, computer incident response, and/or any other computer related resource. 5.0 PROCEDURE 6.0 EXCEPTIONS 6.1 No exceptions are permitted to this policy unless authorized by the General Manager or designee and/or Information Technology management staff members. 7.0 PROVISIONS AND CONDITIONS 7.1 Access to all OCSD computer resources, including but not limited to, hardware, software, files, email, and internet must be approved by the employee's supervisor and Information Technology management staff members. Page 1 of 2 Book Page 79 8~ RELATED DOCUMENTS 8.1 Computer Secunty Act of 1987 tPublic Law 100-235) 8. 2 The California Public Recerds Act 8.3 Policy E91 .00, Comguter End~User Polley 8.:4 Policy E92."00, Software Policy 8.5 Policy E93.00, E-mail Policy 8.6 Policy E94.00, Internet Usage Policy 8.7 Polley E95.00, Cernputer Incident Response Policy 8.8 Policy E96.00, Change Control Policy 8.9 Policy E97.00, Remote Access Pelicy 8.10 Policy E98.00; Special Technology Polii;;y 8.11 Policy F40.00, Use of District's Property Page 2 of 2 Book Page 80 Orange County Sanitation District Computer End-User 1.0 PURPOSE Policy Number: E91.00 Effective Date: December 15, 2004 Supersedes: Approved by: Lisa L. Tomko 1.1 To establish a uniform policy for end-user accounts and security configurations 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 The organizational units affected are outlined in policy E90.00. 3.0 DEFINITIONS 3.1 Account -The name assigned to a computer user, which is used to control access to computer related resources. 3.2 Character Sets -There are four character sets: 1) a through z; 2) A through Z; 3) O through 9; and, 4) special characters such as@,#, $, %, or 11. 3.3 Complexity Requirements -Containing members of three of the four character sets. 3.4 Network -The collective name used for all computers and computer related resources that communicate with each other. 3.5 Password -A string of characters used to verify a user's permission for an account. 3.6 Virus -A generic name that includes all computer related infectious agents. 3.7 Electronic snooping -The unauthorized use of or attempt to use another employee's password without the employee's consent, or the unauthorized entry to or attempt to enter the computer files and communications of another without that person's consent, or the unauthorized entry or attempt to enter the encrypted storage of e-mail messages. 4.0 POLICY 4.1 GENERAL INFORMATION 4.1.1 Internet services and e-mail are unique mediums that are viewed by most users as being different from traditional written correspondence or telephone communication. One of the greatest dangers of the use of Internet services and e-mail is that they are treated far more informally than other forms of business communication. Due to the perceived impermanence of Internet communications and e-mail messages, employees and other users often use them to express sentiments and opinions they would never memorialize in traditional business writing. In drafting any Internet communication or e-mail message, employees and other users shall exercise care and diligence because these communication mediums are a reflection of the Orange County Sanitation District (OCSD) and the employee's department. As such, employees and other users shall always Page 1 of 6 Book Page 81 conduct themselves in a professional manner and refrain from sending anything by way of Internet communications or e-mail messages that would not appear in an official memorandum or letter. 4.1.2 OCSD's computer resources are provided for the purpose of conducting OCSD business, enhancing efficiency, and better serving the public interest. Internet services and e-mail are business communication tools that are made available to certain OCSD employees and other users in order to enhance efficiency and effectiveness in the performance of job duties and OCSD related business and are to be used in accordance with state and federal laws, and this policy. The e-mail system may not be used to solicit or persuade others for commercial ventures, religious or political causes, outside organizations, or other non-job- related solicitations or to support any profit entity. 4.1.3 OCSD's computer resources, regardless of their physical location or the form in which they are maintained, are the exclusive property of OCSD. Employees and other users are provided access to OCSD's computer resources as authorized by the General Manager, Department Directors and/or the Information Technology Director (IT Director). 4.1.4 Use of OCSD's computer resources, including all uses of the Internet and e-mail communications, are to be used for the accomplishment of business-related tasks and/or directly pertain to OCSD business, administration, or practices. Employees may use these resources for non-business research or browsing use only during the.ir Scheduled meal break, rest pedods, and before or following work time; provided that all other Information Systems Management related policies are followed. 4.1.5 Employees are aware that all records, whether on paper or computerized, are subject to the mandatory public disclosure requirements of the California Public Records Act. The information created or transmitted on any OCSD computer resource, including Internet communications and e-mail messages, may be subject to public disclosure under the California Public Records Act or in connection with litigation. 4.1.6 Employees who are terminated or laid-off have no rights to the contents of their computer files or e-mail messages and are not allowed access to such systems. OCSD shall have the right to delete or retain any or all e-mail messages or computer files of any person no longer employed by OCSD. When an employee is separated from OCSD employment, it is the responsibility of the Department Director and the IT Director to ensure that access to OCSD's computer resources is terminated and all computer files are retained. 4.1. 7 OCSD prohibits sexual, racial, or other forms of harassment and OCSD's computer resources shall not be used for such purposes. If you are harassed or discriminated against through the use of OCSD's computer resources, you must report the act of harassment or discrimination to your direct supervisor or Departm ent Director immediately. If you feel uncomfortable doing so, or if your direct supervisor or Department Director is the source of the harassment, condones the problem, or ignores the problem, report the harassment to Human Resources. 4.1.8 The dissemination of derogatory, defamatory, obscene, disrespectful, sexually explicit, sexually suggestive or in any other way inappropri~te Internet and/ore- mail communications is prohibited. For example, OCSD prohibits the display or transmission of sexually explicit images, messages, or cartoons or any Page 2 of 6 Book Page 82 transmission or use of e-mail communications that contain ethnic slurs, racial epithets, or anything that may be construed as harassment or disparagement of others based on their race, national origin, color, sex, sexual orientation, age, disability, religious or political beliefs, and/or any other protected class of people. Sending or forwarding a copy of these types of offensive communications on OCSD's computer system is strictly prohibited. 4.1.9 Electronic snooping or tampering by any employee is prohibited. 4.1.10 OCSD reserves the right for any reason to access, disclose or delete all messages and other electronic data sent over its electronic mail system or stored in its files. 4.1.11 No employee or contractor shall use OCSD's facilities or equipment to deliberately circulate a virus, Trojan horse, trap-door program, or any other malicious code. All employees and contractors must exercise due diligence not to distribute any malicious codes through e-mail communications or any other electronic format. 4.2 ACCESS TO COMPUTER INFORMATION/CONFIDENTIALITY 4.2.1 An employee's use of OCSD's computer resources, including, but not limited to, all computer files, Internet services, and e-mail, are not confidential. OCSD provides no assurance of privacy with respect to an employee or any other end- user of an OCSD computer resource. OCSD expressly reserves the right to access or monitor, with or without notice, any authorized end-user's use of OCSD computer resources. 4.2.2 OCSD reserves the right to monitor and record individual employee and other user computer files, as well as Internet and e-mail usage, at any time as allowed by the Electronic Communications Privacy Act of 1986. No employee or other user shall have any expectation of privacy as to his/her computer files, Internet communications, or e-mail messages. OCSD has software and systems in place that can and will monitor and record all usage for each and every user, including, but not limited to, all internal transmissions, Internet website visits, newsgroups, e-mail messages, computer files, and file transfers into and out of OCSD's internal network. OCSD representatives may access, audit, and review all activity and analyze usage patterns, and may, for whatever reason, disclose this data to ensure that the OCSD's computer resources are devoted to maintaining the highest level of efficiency and productivity. 4.2.3 Employees or contractors shall not attempt to defeat any connectivity, monitoring, or blocking software/hardware nor use any method that attempts to disguise one's login identity. An employee or contractor may not delete or intentionally hide or rename any files or data that are involved in any pending or anticipated matters. 4.3 ACCOUNTS 4.3.1 As directed by Information Technology management, a limited number of the technical staff will be assigned administration duties. 4.3.2 As directed, technical staff will deactivate and/or delete accounts. Steps will be taken to ensure that no files of value are deactivated or deleted. Page 3 of 6 Book Page 83 4.3.3 Password changes will be transmitted to an end-user via secure means only. Secure methods of transmittal include voice-mail, in-person or through the end- user's manager. 4.3.4 All passwords must adhere to the complexity requirements. 4.3.5 Information Technology will force the changing of a password when the user logs on for the first time. 4.3.6 No account will be added to security or distribution groups without approval of senior technical staff, the resource owner, and/or the owner's supervisor. 4.3.7 Staff with multiple accounts shall use discretion when using a particular account. The account with the lowest level of authorization needed to access information shall be used. 4.3.8. Senior Information Technology staff may create accounts for testing purposes as needed. 4.4 PASSWORDS 4.4.1 Subject to the constraints of this policy, a user will always be allowed to set and/or change their password. 4.4.2 A password must never be shared unless it is an emergency. Notify Information Technology if you share your password and change it as soon as practicable. 4.4.3 If a password has been compromised, change it immediately and notify Information Technology. 4.4.4 Enforcement of password requirements is automated. A password must meet the following complexity requirements: • A minimum of six (6) characters long. • Contain three (3) of the four (4) character sets. • Be changed at least every six (6) months. • Cannot be reused for 20 generations. 4.4.5 As desired and to minimize the number of passwords to remember, a user may manually change all of his/her passwords to match. 4.4.6 A written password must never be left in an unsecured location. 4.4.7 Never repeat a password or follow a pattern that may be easily compromised. 4.4.8 Periodically, Information Technology staff will perform password audits. 4.4.9 As determined by senior Information Technology staff, certain system-oriented accounts will be exempted from these requirements. 4.4.10 Desktop and laptop computers connected to the OCSD network will be automatically configured to lock the Computer after a predetermined inactive timeframe. Computer accounts that contain applications determined by Information Technology staff to be negatively impacted by this activity will be exempt. Under no circumstances shall this automated feature be intentionally defeated by the end-user. Page 4 of 6 Book Page 84 4.5 ANTIVIRUS 4.5.1 Information Technology staff must install antivirus software on all production computers. 4.5.2 Information Technology staff will take measures to automatically update the antivirus software as updates are released by the manufacturer. 4.5.3 Senior Information Technology staff will subscribe to "virus warning" services. 4.5.4 At a minimum, antivirus software will be configured to scan all incoming files. 4.5.5 End-users will not interfere with the antivirus software in any manner whatsoever unless directed by Information Technology staff. In the event such directives are issued, it is Information Technology's responsibility to re-enable/re-configure the antivirus software. 4.5.6 End-users must notify Information Technology staff immediately if a virus is detected on the computer they are using. All work on that computer must be stopped until Information Technology issues a clearance. 4.5.7 In the event of an infection, Information Technology will take all possible steps to limit the spread of the infection. This includes, but is not limited to, isolation of the infected computer(s), shutting down servers or services and disconnecting OCSD's network from the Internet. 4.6 EXTERNAL DEVICES 4.6.1 No personally owned external device shall be connected to an OCSD's computer without approval from Information Technology. External devices include, but are not limited to , thumb drives, memory sticks, disk drives, and wireless access points. 4.6.2 If applicable, Information Technology is responsible for ensuring that all external devices are subject to standard anti-virus measures. 4. 7 INTELLECTUAL PROPERTY RIGHTS 4.7.1. It is OCSD's policy to retain all copyrights and other intellectual property rights of which it is the legal owner. All copyrights and other intellectual property rights, which are created by OCSD employees in the course and scope of their employment with OCSD, are the exclusive property of OCSD. 4.7.2 Transfer of Information • OCSD employees shall not post material on Internet or Intranet services or send material via e-mail, which is copyrighted by a party other than OCSD. • OCSD employees shall not download copyrighted materials from these services except where permitted for research use. Page 5 of 6 Book Page 85 5.0 PROCEDURE 5.1 All procedures necessary for compliance with this policy will be maintained and executed by OCSD Information Technology staff. 6.0 EXCEPTIONS 6.1 Exceptions are outlined in policy E90.00. 7 .0 PROVISIONS AND CONDITIONS 7.1 Provisions and conditions are outlined in policy E90.00 8.0 RELATED DOCUMENTS 8.1 Computer Security Act of 1987 (Public Law 100-235) 8.2 The California Public Records Act 8.3 Electronic Communications Privacy Act of 1986 8.4 Policy 830.00, Harassment Policy 8.5 Policy E90.00, Information Systems Management Policy 8.6 Policy E92.00, Software Policy 8.7 Policy E93.00, E-mail Policy 8.8 Policy E94.00, Internet Usage Policy 8.9 Policy E95.00, Computer Incident Response Policy 8.10 Policy E96.00, Change Control Policy 8.11 Policy E97.00, Remote Access Policy 8.12 Policy E98.00, Special Technology Policy 8.13 Policy F40.00, Use of District's Property Page 6 of6 Book Page 86 Software Orange County Sanitation District Policy Number: E92.00 Effective Date: December 15, 2004 Supersedes: Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 To establish a uniform method for software copyright enforcement, software selection, and maintenance. 2.0 ORGANIZATIONAL UNITS AFFECTS 2.1 The organizational units affected are outlined in policy E90.00. 3.0 DEFINITIONS 3.1 Copyright -The exclusive legal rights to copy, reproduce, or sell a software package or document. 3.2 Software -A set of related programs, procedures, and documentation. 4.0 POLICY 4.1 Orange County Sanitation District (OCSD) staff are expected to rigorously observe and enforce copyright laws. In particular: .. Copyrighted software installation is only authorized to be used on the computer for which it was purchased and intended. • No software distribution media will be copied except in the following instances: backup; disaster recovery; and/or as determined by senior Information Technology staff. • Electronic copyrighted documents used as reference material must contain a credited statement acknowledging the source. • All violations of copyright laws and this policy must be reported to an employee's supervisor or to Information Technology management immediately after it is known. 4.2 No software is to be purchased or installed without Information Technology approval. • Employees are prohibited from installing or allowing the installation of any software that has not been authorized by Information Technology. This includes, but is not limited to, personally owned, "free", licensed and hacking software. • Employees are prohibited from installing or using software which provides encryption, wipes programs, personal firewalls, or similar products unless a particular use has been authorized by Information Technology staff. • Employees are prohibited from installing or using software originating from the Internet and must notify Information Technology management if such software exists. Page 1 of 2 Book Page 87 4.3 Information Technology will act as a clearing-house for all software and will perform the following: • Maintain a secure library of all software and accompanying documentation. • Maintain records detailing software usage and installations on OCSD computers. • Perform software inventories. • Provide software consulting to OCSD. • Perform all software installations. • Review the need for any new software and, if possible, present alternatives. 4.4 Employees are expected to maintain the confidentiality of all in-house and contractor authored software unless approved by management. 5.0 PROCEDURE 5.1 All procedures necessary for compliance with this policy will be maintained and executed by OCSD Information Technology staff. 6.0 EXCEPTIONS 6.1 Exceptions are outlined in policy E90.00. 7 .0 PROVISIONS AND CONDITIONS 7.1 Provisions and conditions are outlined in policy E90.00. 8.0 RELATED DOCUMENTS 8.1 Computer Security Act of 1987 (Public Law 100-235) 8.2 All Federal and State Copyright laws 8.3 Policy E90.00, Information Systems Management Policy 8.4 Policy E91.00, Computer End-User Policy 8.5 Policy E93.00, Email Policy 8.6 Policy E94.00, Internet Usage Policy 8.7 Policy E95.00, Computer Incident Response Policy 8.8 Policy E96.00, Change Control Policy 8.9 Policy E97.00, Remote Access Policy 8.10 Policy E98.00, Special Technology Policy 8.11 Policy F40.00, Use of District's Property Policy Page 2 of 2 Book Page 88 E-mail Orange County Sanitation District Policy Number: E93.00 Effective Date: December 15, 2004 Supersedes: Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 To establish guidelines for the use of e-mail with Orange County Sanitation District (OCSD) computer resources. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 The organizational units affected are outlined in policy E90.00. 3.0 DEFINITIONS 3.1 Attachments -As defined and related to this policy are as follows: • An application specific file, such as a Word or Excel document that is transported with an e-mail message. The recipient must have suitable software for viewing the attachment. • A self-executing file such as an exe, com, or bat file 3.2 E-mail -A message, possibly with attachments, composed on a computer and received by a computer. A network, including the Internet, is the transmission medium. 3.3 Internet -A worldwide network of computers, adhering to universal standards that are capable of exchanging data with each other. 3.4 Confidential Information -Information that requires a "need-to-know", restricted use, or is sensitive in nature is considered confidential information. Generally, OCSD technical data, proprietary, customer, and personnel related information is confidential. Personnel related information includes, but isn't limited to; medical, recruitment, disciplinary, and performance information. Once information becomes generally available to the public, it is no longer considered confidential. Contact the Human Resources Department if there are questions. 4.0 POLICY 4.1 E-MAIL USAGE 4.1.1 E-mail, used by those affected parties in this policy through the course of their duties and/or while using OCSD computer related resources, shall always be used with the assumption that a message will be read by someone other than the intended recipient. When transmitting e-mail messages, employees and other authorized users should consider that the message, even though "deleted," may later be disclosed to outside parties, members of the public, or in connection with litigation. Due to these concerns, employees and other users are required to Page 1 of 5 Book Page 89 maintain the highest standards of courtesy and professionalism when sending e-mail messages. 4.1.2 Employees shall have no right or expectation of privacy or confidentiality in any e-mail messages created, sent, received, deleted, or stored using OCSD's computer resources. Management and supervisors have the right to read and review any e-mail message created, sent, received, deleted, or stored of any employee at any time and for any reason. 4.1.3 Employees are expected to exercise good judgment in sending any e-mail communication, especially if such communication is deemed sensitive. All confidential communications shall be in hard copy form and be filed and retained in accordance with OCSD Records Retention Policies and procedures. 4.1.4 The sending of mass e-mailings on a "District-wide" basis to all employees without the prior authorization of a Department Director or the Director of Administration is prohibited. 4.1 .5 Always err on the side of caution. Whenever an e-mail is written, assume the message is permanent and that it will be retrieved and/or printed-out. 4.1.6 All employees are representatives of OCSD and will always use appropriate language. E-mail is a unique medium that is unlike traditional written correspondence, in that, composed e-mail transmission statements, despite the intended number of recipients, can be viewed globally. 4.1. 7 Transmitting a message under another employee's name or password without their permission is prohibited. Any employee who obtains a password or user identification must keep that password confidential. 4.1.8 Employees should regularly change their individual passwords. Employees shall not share individual passwords with other individuals except for legitimate OCSD business reasons. 4.1.9 A password must never be shared unless it is an emergency. Notify Information Technology if you share your password and change it as soon as practicable. 4.1.10 All communications should follow proper etiquette, such as: • Materials posted by employees shall professionally represent OCSD. The transmission of defamatory, obscene, offensive or harassing messages or messages, which disclose personal information without authorization, is prohibited. • E-mail messages and electronic postings may be read by people beyond the addressee, and upon request, may be produced to a court in connection with litigation and should be composed accordingly. 4.1 .11 Employees should carefully consider who is used on an e-mail as addressees or courtesy copies. Some employees may not want their e-mail addresses to be widely known or to receive responses from widely distributed messages. 4.1.12 Non-exempt OCSD employees are prohibited from accessing their e-mail accounts from home. If extenuating circumstances apply (i.e., lead worker "acting" as supervisor), HR will evaluate the situation on a case-by-case basis. Page 2 of 5 Book Page 90 4.2. RETENTION OF E-MAIL 4.2.1 E-mail generates correspondence and other documentation, which may be recognized as Official OCSD Records in need of protection/retention in accordance with the California Public Records Act and as evidence in connection with litigation. Although the use of e-mail is primarily for official OCSD business, the e-mail system is intended as a medium of communication. Therefore, the e-mail system should not be used for the electronic storage or maintenance of documentation, including, but not limited to, Official OCSD Records. 4.2.2 E-mail messages sent and received, including any attachments, which are considered as Official OCSD Records, are to be stored in computer files or printed as a hard £QQY and filed in accordance with their department's filing policy. Generally, the sender of the e-mail shall be the person responsible for storing or printing and filing it accordingly. The persons responsible for a particular program or project file shall be responsible for retaining all e-mail they send or receive related to that program or project. 4.2.3 Individual employees are responsible for the management of their mailboxes and associated folders. In order to assure maximum efficiency in the operation of the e-mail system, employees are encouraged to delete e-mail messages that are not Official OCSD Records from their in-boxes once they are no longer needed. If a hard copy of data, which constitutes an Official OCSD Record, has been printed and filed in accordance with OCSD's Record Retention Policy and Schedule, the e-mail may be deleted. 4.2.4 It is the responsibility of individual employees and their Department Heads to determine if e-mail is an Official OCSD Record, which must be retained in accordance with OCSD's Record Retention Policy and Schedule. OCSD's Records Management Specialist will assist in making such a determination. Preliminary drafts, notes, or interagency or intra-agency memoranda, which are not retained by OCSD in the ordinary course of business, are generally not considered to be Official OCSD Records subject to disclosure. Employees are encouraged to delete documents, which are not otherwise required to be kept by law or whose preservation is not necessary or convenient to the discharge of OCSD duties or the conduct of OCSD business. 4.2.5 A record of additions and deletions made in the course of creating a draft letter or memorandum need not be saved. 4.2.6 Periodically, OCSD receives requests for inspection or production of documents pursuant to the California Public Records Act, as well as demands by subpoena or court order for the production of evidence in connection with litigation. In the event of such a request, the applicable Department Head shall require all employees to make available relevant e-mail files to the extent e-mail is stored in the computer and not printed and filed. The employee having control over e-mail files, once he/she is made aware of the request, shall immediately print and transmit a hard copy of any computer files that either are or may be responsive to the request or subpoena to his/her Department Head. 4.2.7 E-mail records that are Official OCSD Records must be kept for the minimum retention periods identified in OCSD's Record Retention Disposition Schedule. Such e-mail records may not be destroyed except after approval of the Division Manager, Records Management Specialist, and General Counsel. Page 3 of 5 Book Page 91 4.2.8 E-mail messages are subject to the same disclosure requirements as other public records. Requests from the public for e-mail records must be honored in the same manner as for other public records. E-mail messages, which are determined to be Official OCSD Records must be accessible and retrievable during their entire retention period and are to be maintained in a manner which permits easy and timely retrieval. 4.3. ATTORNEY-CLIENT PRIVILEGED COMMUNICATIONS 4.3.1 Some messages sent, received or stored on OCSD e-mail systems will constitute confidential, privileged communications between OCSD and its attorneys. Attorney-client communications should not be forwarded without consulting the General Manager's office and/or the General Counsel's office. 4.4. CONFIDENTIAL INFORMATION 4.4.1 Most communications among OCSD employees are not considered confidential. However, certain communications, such as law enforcement investigations and personnel records, may be confidential or contain confidential information. Questions about whether communications are confidential should be discussed with the employee's supervisor. 4.4.2 Employees shall exercise caution in sending confidential information on the e- mail system as compared to written memoranda, letters or phone calls, because of the ease with which such information may be retransmitted or accessed. 4.4.3 Confidential information should not be sent or forwarded to individuals or entities not authorized to receive that information and should not be sent or forwarded to other OCSD employees not directly involved with the specific matter. 4.4.4 Steps must be taken while using e-mail to ensure messages are not inadvertently sent to the wrong individual. In particular, exercise care when using distribution lists to make sure all addressees are appropriate recipients of the information. Lists are not always current and individuals using lists should take measures to ensure lists are up-to-date. 4.4.5 Employees shall not discuss confidential information outside of the workplace. 4.4.6 Confidential information should not be reproduced unnecessarily. 4.4.7 Employees shall return all tangible forms of confidential information to OCSD upon termination of employment or upon OCSD's request. 5.0 PROCEDURE 5.1 All procedures necessary for compliance with this policy will be maintained and executed by OCSD Information Technology staff. 6.0 EXCEPTIONS 6.1 Exceptions are outlined in policy E90.00. 7 .0 PROVISIONS AND CONDITIONS 7.1 Provisions and conditions are outlined in policy E90.00. Page 4 of 5 Book Page 92 8.0 RELATED DOCUMENTS 8.1 Computer Security Act of 1987 (Public Law 100-235) 8.2 The California Public Records Act 8.3 Policy E90.00, Information Systems Management Policy 8.4 Policy E91.00, Computer End-User Policy 8.5 Policy E92.00, Software Policy 8.6 Policy E94.00, Internet Usage Policy 8.7 Policy E95.00, Computer Incident Response Policy 8.8 Policy E96.00, Change Control Policy 8.9 Policy E97.00, Remote Access Policy 8.10 Policy E98.00, Special Technology Policy 8.11 Policy F40.00, Use of District's Property Page 5 of 5 Book Page 93 Book Page 94 Orange County Sanitation District Internet Usage 1.0 PURPOSE Policy Number: E94.00 Effective Date: December 15, 2004 Supersedes: Approved by: Lisa L. Tomko 1.1 To establish acceptable use guidelines of the Internet with Orange County Sanitation District (OCSD) computer resources. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 The organizational units affected are outlined in policy E90.00. 3.0 DEFINITIONS 3.1 Internet -A worldwide network of computers, adhering to universal standards that are capable of exchanging data with each other. 4.0 POLICY 4.1 INTERNET ACCESS 4.1.1 Use of the Internet is becoming increasingly necessary for OCSD employees to provide effective and efficient public services. The efficient utilization of the Internet for communications and research can improve the quality, productivity, and general cost- effectiveness of the OCSD's work force. Internet capability and employee access is provided by OCSD on an "as needed" basis and is a revocable privilege. 4.1.2 Internet access and use of online services are business communication tools, which are made available to certain OCSD employees and other authorized users in order to enhance efficiency and effectiveness in the performance of job duties and OCSD related business and are to be used in accordance with generally accepted business practices and current laws. Use of the Internet or online services should be predominantly for the purpose of OCSD business activities or contain information essential for OCSD employees to accomplish business related tasks, and/or communication directly related to business, administration, or practices of OCSD. 4.1.3 OCSD reserves the right to monitor individual Internet access and use of online services for any purpose including, but not limited to, review, audit, and disclosure of all matters transmitted over OCSD computer resources or placed in its network storage. 4.1.4 Downloaded information including e-mail attachments shall be checked for virus contamination. The Information Technology Department has information available on how to scan for viruses. 4.1.5 Downloading large data images, video and graphics shall be timed so as not to impact the performance of OCSD network. Very large files shall be downloaded after normal working hours. Page 1 of 3 Book Page 95 4.2 ACCEPTABLE USE OF THE INTERNET 4.2.1 Specifically acceptable uses of the Internet includes: • Communication and information exchange that is directly related to the mission, objectives, and business activities of OCSD. • Communication and exchange of information for professional development, to maintain current training and education, or to discuss issues related to the employee or other job-related activities. • Use for advisory, standards, research, analysis, and professional society activities related to the employee or other end-user work tasks or job-related duties. • Announcement of new OCSD procedures, policies, rules, services, programs, information, or activities. • Communication with professional associations, public agencies, universities, businesses, and/or individuals associated with the facilitation of OCSD related business, research, and/or continuing education. • Authorized procurement of goods or services in accordance with applicable delegation of authority. 4.3 UNACCEPTABLE USE OF THE INTERNET 4.3.1 Specifically unacceptable uses of the Internet include: • Downloading any program, software, or application from the Internet or online services without prior written approval from both a Department Director and the IT Director and without scanning such applications for viruses before they are run , stored, or accessed. • Downloading or distributing pirated software or data. • Deliberately propagating any virus or any other destructive programming. • Downloading entertainment software or games. • Uploading any software licensed to OCSD or data owned or licensed by OCSD without the prior written authorization from both a Department Director and the IT Director. • Releasing and/or disseminating any OCSD confidential information. • Intentionally introducing OCSD's computer systems to, or experimenting with, malicious computer code(s), such as computer worms or viruses. • Transmitting any material or information on the Internet or through the use of online services in violation of applicable copyright laws or patents. Page 2 of 3 Book Page 96 5.0 PROCEDURE • Using any Internet access or online services that are likely to result in the loss of any recipients' work or which could cause congestion on OCSD's electronic network or which could otherwise interfere or disrupt OCSD's local area network users, services, or equipment. 5.1 All procedures necessary for compliance with this policy will be maintained and executed by OCSD Information Technology staff. 6.0 EXCEPTIONS 6.1 Exceptions are outlined in policy E90.00. 7.0 PROVISIONS AND CONDITIONS 7.1 Provisions and conditions are outlined in policy E90.00 8.0 RELATED DOCUMENTS 8.1 Computer Security Act of 1987 (Public Law 100-235) 8.2 The California Public Records Act 8.3 Electronic Communications Privacy Act of 1986 8.4 All Federal and State Copyright laws 8.5 Policy 830.00, Harassment Policy 8.6 Policy E90.00, Information Systems Management Policy 8.7 Policy E91.00, End-User Policy 8.8 Policy E92.00, Software Policy 8.9 Policy E93.00, E-mail Policy 8.10 Policy E95.00, Computer Incident Response Policy 8.11 Policy E96.00, Change Control Policy 8.12 Policy E97.00, Remote Access Policy 8.13 Policy E98.00, Special Technology Policy 8.14 Policy F40.00, Use of District's Property Page 3 of 3 Book Page 97 Book Page 98 Orange County Sanitation District Policy Number: E95.00 Effective Date: December 15, 2004 Computer Incident Response Supersedes: Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 Establish uniform policies and procedures for response to computer-related incidents. 1.2 Establish escalation policies. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 The organizational units affected are outlined in policy E90.00 3.0 DEFINITIONS 3.1 3.2 3.3 3.4 Escalation -Providing additional resources (managerial or technical) in order to solve a problem. Digital Signature -A technical means by which computer-readable files can be shown as unmodified by the collection time. Intrusion -Gaining access by unauthorized means. Sabotage-Deliberate destruction of data or property. 4.0 POLICY 4.1 All collected information regarding Computer Incident Response activities must be kept confidential. 4.2 All media inquires will be directed to the Communications Division regarding any incident. 4.3 The Computer Incident Response Team (GIRT) will consist of: • Information Technology management or designees. • Human Resources management or designees. • Other staff and/or agencies may be involved as needed. 4.4 It is the CIRT's responsibility to communicate status and information to Orange County Sanitation District (OCSD) management. 4.5 CIRT's primary duties are: • Establish governing security procedures for all computer-related resources. • To minimize damage to OCSD internal and external computer related resources. • Assist and/or marshal resources sufficient to recover from an incident. Page 1 of 3 Book Page 99 • Gather evidence and preserve it for future analysis and possible legal action . • In conjunction with senior management and other staff, create and prioritize a list of possible contingencies and create a plan that addresses each contingency. • Perform risk and cost-benefit analysis for prevention and/or remediation of typical computer-related incidents. These include but are not limited to: o Local disasters including earthquakes, floods, fire and terrorist activity. o Denial of service attacks. o External and internal intrusion. o External site vandalism. o Internal virus or worm attack. o Theft of proprietary information. o Sabotage. • Ensure appropriate resources such as staff and parts are readily available to deal with any computer incident contingency. 4.6 The CIRT is expected to follow chain-of-evidence procedures. These include but are not limited to: • Electronic records and logs must include a time stamp and be digitally signed. • All evidence must be documented in the appropriate log. • Document all relevant conversations. • All documents and other relevant material must be stored in a secure location under lock and key. • If necessary, seek guidance from legal counsel. 5.0 PROCEDURE 5.1 All procedures necessary for compliance with this policy will be maintained and executed by OCSD Information Technology staff. 6.0 EXCEPTIONS 6.1 Exceptions are outlined in policy E90.00. 7.0 PROVISIONS AND CONDITIONS 7.1 Provisions and conditions are outlined in policy E90.00 Page 2 of 3 Book Page 1 00 8.0 RELATED DOCUMENTS 8.1 Computer Security Act of 1987 (Public Law 100-235) 8.2 The California Public Records Act 8.3 Electronic Communications Privacy Act of 1986 8.4 Policy E90.00, Information Systems Management Policy 8.5 Policy E91.00, End-User Policy 8.6 Policy E92.00, Software Policy 8.7 Policy E93.00, E-mail Policy 8.8 Policy E94.00, Internet Usage Policy 8.9 Policy E96.00, Change Control Policy 8.10 Policy E97.00, Remote Access Policy 8.11 Policy E98.00, Special Technology Policy 8.12 Policy F40.00, Use of District's Property Page 3 of 3 Book Page 101 Book Page 102 ~-E96.00 Orange County Policy Number: ... 1\· -~ ·~:-~ Sanitation District Effective Date: December 15, 2004 Change Control Supersedes: Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 To establish a uniform method for Orange County Sanitation District's (OCSD) computer- oriented change control. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 The organizational units affected are outlined in policy E90.00. 3.0 DEFINITIONS 3.1 Change control -The planned process of modifying computer-related hardware or software. 3.2 Backup -A copy of a disk image. 3.3 Patch -A "small" fix that targets a "few" operating systems or application problems. 3.4 Server -A large computer, resident on the network, that supports shared resources. 3.5 Service Pack-A "large" fix that targets multiple problems. 4.0 POLICY 4.1 Only authorized Information Technology staff will initiate or perform any upgrades or changes to any computer or networking system. 4.2 Information Technology staff must verify that all patches and service packs are digitally signed or originate from a vendor's distribution media. 4.3 Prior to installation on production computers, patches and services packs must be evaluated on test computers. As much as practicable, test computers must duplicate the production environment. Detailed notes will be kept in a log book. If required, formal installation procedures may need to be created and/or modified. 4.4 Except in emergencies or with the approval of Information Technology management, a full backup is required before any patches or service packs are installed on any production server. Detailed notes of the operation will to be kept in a log book. 4.5 Log entries must contain the following information: date, time, person, problem description, change/fix description, and the results. Anything else deemed useful should also be noted. Page 1 of 2 Book Page 1 03 5.0 PROCEDURE 5.1 All procedures necessary for compliance with this policy will be maintained and executed by OCSD Information Technology staff. 6.0 EXCEPTIONS 6.1 Exceptions are outlined in policy E90.00 . 7 .0 PROVISIONS AND CONDITIONS 7.1 Provisions and conditions are outlined in policy E90.00 8.0 RELATED DOCUMENTS 8.1 Computer Security Act of 1987 (Public Law 100-235) 8.2 The California Public Records Act 8.3 Electronic Communications Privacy Act of 1986 8.4 Policy E90.00, Information Systems Management Policy 8.5 Policy E91.00, End-User Policy 8.6 Policy E92.00, Software Policy 8.7 Policy E93.00, E-mail Policy 8.8 Policy E94.00, Internet Usage Policy 8.9 Policy E95.00, Computer Incident Response Policy 8.10 Policy E97.00, Remote Access Policy 8.11 Policy E98.00, Special Technology Policy 8.12 Policy F40.00, Use of District's Property Page 2 of2 Book Page 104 Orange County Sanitation District Remote Access 1.0 PURPOSE Policy Number: E97 .00 Effective Date: December 15, 2004 Supersedes: Approved by: Lisa L. Tomko 1.1 Establish uniform policies and methods for all types of computer-to-computer connections for Orange County Sanitation District (OCSD) computer resources using a variety of techniques. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 The organizational units affected are outlined in policy E90.00. 3.0 DEFINITIONS 3.1 Authentication -The act of verifying the identity of a user or computer. 3.2 Encryption -The coding or scrambling, using sophisticated techniques, of information to prevent third parties from "reading" it. 3.3 Modem -A device used to access remote computers or networks utilizing a phone line as the transmission media. Note that a modem has the potential to bypass all network- edge security measures. 3.4 VPN -Functionality that allows the accessing of remote networks utilizing the Internet as the transmission media. 3.5 Vetting -The procedural process of appraising or examining access. 4.0 POLICY 4.1 MODEMS 4.1.1 Modems must always be the last solution to consider due to the inherent lack of security. 4.1.2 No modem shall be connected to any OCSD computer without the express approval of Information Technology management. 4.1.3 No modem will be configured to auto-answer without the express approval of Information Technology management. 4.1.4 External modems will be used with desktop computers. 4.1.5 It is the end-user's responsibility to ensure the external modem is always turned off when not in use. 4.1.6 Unless directed by Information Technology, end-users will never modify a Page 1 of 3 Book Page 105 modem or an associated software configuration. 4.1. 7 A modem shall never be installed on any OCSD computer that does not have functioning and recently updated antivirus software. 4.2 VENDOR CONNECTION 4.2.1 Approved and authorized vendors may remotely connect to OCSD's network after vetting by Information Technology. 4.2.2 Vendors must submit a statement detailing the antivirus and firewall software installed on the computer being used to connect to OCSD's network. Information Technology staff shall review the submitted document before allowing access. 4.2.3 OCSD managers must request remote access and Information Technology staff must determine if the vendor meets OCSD's security requirements. 4.3 GENERAL 4.3.1 Accessing outside e-mail services from any computer connected to OCSD's network is strictly prohibited. 4.3.2 Non-OCSD computers and/or computer equipment are never to be connected to OCSD's network without the express written permission of Information Technology management. 4.3.3 Non-OCSD computers or computer equipment are not to be stationed at any OCSD facility without the express written permission of Information Technology management. 4.3.4 All computers connecting to the network from external locations must have current antivirus and firewall software installed. 4.3.5 With managerial approval, staff requiring access to OCSD's network will be issued laptops. 4.3.6 OCSD managers must request remote access for their staff. 4.3. 7 If required by an investigation, any computer used to access OCSD's network, by any means, may be impounded for an indefinite period. 4.3.8 Computers connecting to OCSD's network must be configured in a manner such that the networking password must be entered immediately prior to each connection. Do not allow the password to be saved. 4.4 INFORMATION TECHNOLOGY 4.4.1 Consistent with recommended security practices, the needs of OCSD and the capability of the involved hardware and software, the highest level of authentication and data encryption methods shall used. 4.4.2 Routinely, the remote access logs will be examined for unusual activity. 4.4.3 OCSD-resident remote access servers will be set to a "default deny" configuration. Page 2 of 3 Book Page 106 5.0 PROCEDURE 5.1 All procedures necessary for compliance with this policy will be maintained and executed by OCSD Information Technology staff. 6.0 EXCEPTIONS 6.1 Exceptions are outlined in policy E90.00. 7.0 PROVISIONS AND CONDITIONS 7.1 Provisions and conditions are outlined in policy E90.00 8.0 RELATED DOCUMENTS 8.1 Computer Security Act of 1987 (Public Law 100-235) 8.2 The California Public Records Act 8.3 Electronic Communications Privacy Act of 1986 8.4 Policy E90.00, Information Systems Management Policy 8.5 Policy E91.00, End-User Policy 8.6 Policy E92.00, Software Policy 8.7 Policy E93.00, E-mail Policy 8.8 Policy E94.00, Internet Usage Policy 8.9 Policy E95.00, Computer Incident Response Policy 8.10 Policy E96.00, Change Control Policy 8.11 Policy E98.00, Special Technology Policy 8.12 Policy F40.00, Use of District's Property Page 3 of 3 Book Page 107 Book Page 108 ~ Orange County Policy Number: E98.00 9 Sanitation District Effective Date: December 15, 2004 Special Technology Supersedes: Approved by: Lisa L. Tomko 1.0 PURPOSE 1.1 To establish configuration/deployment policies for families of technology that, if mis-configured, would expose Orange County Sanitation District's computer resources to a high level of risk. 2.0 ORGANIZATIONAL UNITS AFFECTED 2.1 The organizational units affected are outlined in policy E90.00. 3.0 DEFINITIONS 3.1 Access Point (AP) -A device that connects wireless computers together and may also connect to the corporate network. 3.2 Content Creator -Any staff member that creates, makes available, or publishes information on an Internet-facing server. 3.3 Domain -A logical grouping of computers that share security information and resources. 3.4 Internet -Any computer network external to OCSD's network. 3.5 Internet-Facing -A computer that is directly connected to the Internet. 3.6 WLAN -Wireless Local Area Network. 3.7 Scanning -The act of using an instrument to detect WLANs. 3.8 Server -A computer that shares a resource. 3.9 Standalone -A computer that is NOT part of OCSD's domain but is connected to OCSD's network. 3.1 O Wireless -A family of technologies that enable networking between devices using radio signals as the medium. 4.0 POLICY 4.1 INTERNET-FACING SERVERS 4.1 .1. Internet facing servers are to be configured with the highest priority placed on security configurations. 4.1.2. If possible, all Internet-facing servers are to be configured as standalone servers Page 1 of 3 Book Page 109 4.1.3. All contractor-produced software is to be reviewed by Information Technology staff before being placed in service on all Internet-facing servers. 4.1 .4. Confidential materials of any type are never to be placed on any Internet-facing Server and are the responsibility of the content creator. 4.1 .5. No database is to be installed on any Internet-facing server unless approved by Information Technology management. 4.1.6. All applicable laws and regulations shall be followed while using OCSD computer resources. 4.2. WIRELESS 4.2.1 . No access point shall be connected to OCSD's network without approval from Information Technology management. 4.2.2. No device shall be connected to any access point without approval from Information Technology management. 4.2.3. Never deploy an access point with the default configuration. 4.2.4. Information Technology shall configure all access points. 4.2.5. Periodically, Information Technology will "sweep" the plant areas to ensure that no "rogue" access points are functioning. 4.2.6. All wireless equipment must be approved by Information Technology staff. 4.2.7. Given the nature of wireless technology and the potential for bypassing standard security measures, Information Technology will ensure that all wireless equipment is well maintained and inspected frequently. 4.2.8. No computer connected to a home-based wireless LAN will access any OCSD computer or network-hosted resource without approval by Information Technology management. 5.0 PROCEDURE 5.1 All procedures necessary for compliance with this policy will be maintained and executed by OCSD Information Technology staff. 6.0 EXCEPTIONS 6.1 Exceptions are outlined in policy E90.00. 7 .0 PROVISIONS AND CONDITIONS 7.1 Provisions and conditions are outlined in policy E90.00 8.0 RELATED DOCUMENTS 8.1 Computer Security Act of 1987 (Public Law 100-235) 8.2 Electronic Communications Privacy Act of 1986 Page 2 of 3 Book Page 110 8.3 Policy E90.00, Information Systems Management Policy 8.4 Policy E91.00, End-User Policy 8.5 Policy E92.00, Software Policy 8.6 Policy E93.00, E-mail Policy 8.7 Policy E94.00, Internet Usage Policy 8.8 Policy E95.00, Computer Incident Response Policy 8.9 Policy E96.00, Change Control Policy 8.10 Policy E97.00, Remote Access Policy 8.11 Policy F40.00, Use of District's Property Page 3 of 3 Book Page 111 Book Page 112 FAHR CO MM ITT EE M~J:!ting· Date To Bd. ·ef Dir. 12/08/04 AGE NDA REPORT Item Number Item Number FAHR04-112 Orange County Sanitation District FROM: Gary Streed, Director of Finance/Treasurer SUBJECT: STATUS AND IMPACT OF STATE PROPERTY TAX SHIFT -2004-05 GENERAL MANAGER'S RECOMMENDATION This is an informational status report requested by the Committee. This is expected to be the final report on this matter until the State begins deliberations on the property tax shift for 2005-06. The District's 2005-06 budget assumptions provide for the continuation of the tax shift at the current level. SUMMARY At the November 2004 Committee meeting, Director Miller asked that the Directors be updated each month on the status and the impact of the State property tax shift for 2004-05. The Committee agreed that this could be useful information for them. The original State tax shift proposal included a two-year shift of property taxes from all special districts in the amount of $350 million. This was part of a larger tax shift that also involved counties and cities. A coalition of these agencies agreed to the proposal in exchange for protection against future tax shifts. Once approved, some special districts lobbied for exemptions and reductions. As these were granted, the impact on other special districts was magnified because the total of $350 million did not change. The potential impact of this magnification has caused some concern amongst enterprise special districts. The property tax shift from enterprise special districts like OCSD has three parameters. The total to be shifted from all enterprise special districts grew to $300 million as exemptions and limits on the amount to be shifted from non-enterprise special districts resulted in another $50 million falling to enterprise districts. The other two parameters are 40% of property taxes not to exceed 10% of "total revenues for the 2001-02 fiscal year, from whatever source." The final numbers were released by the State on November 12, 2004. For OCSD, the shift is exactly what we had planned for during the 2004-05 budget cycle, and reported to you in November. Our total property taxes for 2001-02 were $40,584,454 and our total revenues were $161,198,044. The 40% of property taxes that we anticipated losing was $16,233,782. The 10% maximum shift actually reduces our tax reduction by $113,978 so that the actual tax shift is $16,198,044. This property tax reduction was expected and included in the 2004-05 budget. A similar reduction is included in the projected cash flows for 2005-06. While the amount is H:\depllagenda\FAHRIFAHR200411204\04-112 Slate Tax Shift doc Revised: 06/04/03 Book Page 113 Page 1 significant, the Directors agreed during the last budget cycle that OCSD could weather a two-year diversion by use of reserves, unfilled positions and delays in the capital improvement program. No changes to the previously considered and noticed user fee program are anticipated, so long as property tax allocations return to normal in 2006-07. PRIOR COMMITTEE/BOARD ACTIONS 1. The Committee and the Board heard numerous updates on this topic during the OCSD and State budget adoption cycles for 2004-05. 2. In June, the Board adopted the 2004-05 budget which included the property tax shift and projected a similar shift in 2005-06. PROJECT/CONTRACT COST SUMMARY The projected loss of property tax revenues for 2004-05 and 2005-06 was budgeted to be about $17 million for each year. This loss will be absorbed by the District without raising user fees above the annual increases previously considered and scheduled for review each year. BUDGET IMPACT 1Z! This item has been budgeted. (Line item : ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. D Not applicable (information item) ADDITIONAL INFORMATION None. ALTERNATIVES Alternatives could include raising user fees, deferring capital projects, deferring operations and maintenance projects. None of these seem to be necessary at this time. CEQA FINDINGS N/A ATTACHMENTS None GGS H:\depl\agenda\FAHR\FAHR2004\1204\04-112 Stale Tax Shift doc Revised: 06/04103 Page 2 Book Page 114 FAHR COMMITTEE Meeting Date To Bd. of Dir. 12/8/04 12/15/04 AGENDA REPORT Item Number Item Number FAHR04-113 Orange County Sanitation District FROM: Blake Anderson, General Manager SUBJECT: NON-BASE BUILDING PAYMENT GENERAL MANAGER'S RECOMMENDATION Approve a one time only non-base building payment for the Director of Technical Services in an amount not to exceed $3,480 for his service as Acting General Manager. SUMMARY This item came before the FAHR in November. The committee, after considerable discussion, approved a one-time payment to the Director of Technical Services for his service as Acting General Manager in the amount of $7,948 as recommended by the General Manager. After further reflection, the General Manager asked that this item be removed from the November Board agenda for re-consideration by the FAHR in December. Approve a one-time only non-base building payment for the Director of Technical Services in an amount of $3,480 for his service as Acting General Manager. The basis for this amount is explained later in this agenda report. • Current policy is silent at the Executive Management and Manager level regarding additional compensation for Directors and Managers who assume the responsibilities of an Executive Management position for an extended period of time. • As an Executive Management employee, awarding the incumbent a one-time only non-base building payment will fairly compensate the employee for assuming the additional duties of the higher level position. The assumption of these additional duties has been critical in ensuring the District's operations continued without interruption. • The General Manager began a formal medical leave of absence on September 1, 2004. He significantly cut back on his day-to-day duties in the two weeks prior to his leave and depended upon the Director of Technical Services to provide significant support during that time. The medical leave of absence ended on October 18, 2004. All told, there was a total of eight work weeks of support provided by the Director of Technical Services. • During this time period, the Director of Technical Services assumed the duties of the General Manager, while at the same time continuing to handle his normal duties as Director of Technical Services. Page 1 Book Page 115 PRIOR COMMITTEE/BOARD ACTIONS N/A PROJECTICONTRACTCOSTSUMMARY Apply a one time only non-base building payment of one percent of annual salary for each month of extraordinary service provided: BUDGET IMPACT Dr. Ghirelli's annual base salary= $174,032 • 1.0% X $174,032 = $1,740 2 months of service= $1,740 x 2 = $3,480 ~ This item has been budgeted D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted D Not applicable (information item) ADDITIONAL INFORMATION N/A ALTERNATIVES Do not approve the recommended non-base building payment. CEQA FINDINGS N/A ATTACHMENTS None Book Page 116 Page 2 FA HR CO MM ITTEE AGE NDA REPORT Orange County Sanitation District FROM: Blake Anderson, General Manager Originator: Carol Beekman Meeting Date To Bd. of Dir. 12/08/04 Item Number Item Number FAHR04-114 SUBJECT: Staff Recommendations re: Huntington Beach Conference and Visitors Bureau Proposal GENERAL MANAGER'S RECOMMENDATION In response to the Huntington Beach Conference and Visitors Bureau (HBCVB) proposal regarding Labor Day Weekend Sewage Spill, the General Manager recommends the District continue to use the planned efforts for community outreach activities and education programs as described in the current Communications and Administrative Services Strategic Plan FY 2004-05. Additional efforts described below in the Summary section can be considered by the FAHR Committee if more action is desired. SUMMARY In response to OCSD's Labor Day weekend effluent discharge to the Santa Ana River and subsequent pre-emptive closing of nearby beaches by the County Health Department, the Huntington Beach Conference and Visitors Bureau (HBCVB) has made a proposal that OCSD establish a special budget for an advertising campaign that would directly benefit the city's tourism industry. General Counsel has issued an opinion that under California law, OCSD cannot participate in the funding arrangements as described within the Huntington Beach Conference and Visitors Bureau (HBCVB) proposal. (See attached) While HBCVB's proposal may not be fundable, there are a number of activities which OCSD can appropriately fund and conduct. I believe they get to the core of what HBCVB is asking. With this in mind, I recommend that we proceed in the following manner: -The Science of the Matter: ·we have conducted a number of ocean monitoring reports on water quality from 1999 to the present. A number of other organizations such as the County of Orange and UCI have done so as well. I recommend that we compile a summary of all of these documents, put them into a format that will be meaningful to members of the general public and convey the information to our customers. We will use existing forums and approaches that have worked well for us in the past and we will consider ideas presented by others. Our intention will be to inform the general public about the present level of scientific understanding of water quality in the near coastal waters of Orange County from the Los Angeles County line to Corona Del Mar-the area of the coast that we monitor. Associated costs: Staff time to compile and summarize numerous documents. Our early rough estimate is 75 hours. H:ldept\agenda\FAHRIFAHR200411204104-114, HBConferenceVisitorBureau doc Revised: 06/04/03 Book Page 117 Page 1 Information Availability to Third Parties: I recommend that we make all of the scientific information and findings we and others generate readily available to all interested third parties such as cities, service groups, environmental groups, schools, chambers of commerce and visitor bureaus. We will provide re-prints of all documents of interest to all who may want the information or who may want to convey the information to others. We will continue to provide web access to all of the information we generate in much the same way we have been doing for several years. A few years ago, the Grand Jury recommended that we improve the way we provided public access to all reports, documents and board agendas. We have been doing so. Associated costs: Staff time to format and design. Document can be reproduced in- house. Mailing costs to be determined by audience and size of document. Our early rough estimate· is 80 hours and $2,500. Ongoing Communication Strategy: I recommend that we continue to use the Communications ServiGes Strategic Plan approved by the Board of Directors to enhance the public's understanding of our mission of protecting the environment, our past activities and successes and our future plans. This is in keeping with this Board-approved objective. (See attached: Communications and Administrative Services Strategic Plan FY 2004-05 for detailed objectives and tactics on community education and outreach and external communications) Associated costs: Already budgeted for 2004-2005. Use the Orange County Coastal Coaliton as a forum to disseminate clean water qualify in-formation: One of our existing long;-term objectives is to provide iptereste~ Ji)arties information about the state of the ocean. A new opjective we could promote is a fair-share public education program about coastal water quality. Since the Orange County Coastal Coalition already provides a well-attended venue to share and discuss issues related to coastal water quality and we already regularly attend the meeting, I recommend we use this forum to reinforce our message to promote a more robust public education program with appropriate cost-sharing. Associated costs: Staff time to attend meetings. Since this group focuses on disseminating and collecting information, rather than promotional campaigns, a budget is not required at this time. Public Opinion Survey: In 2001 and 2002, we conducted public opinion surveys to measure public perception and understanding of coastal water quality, the factors impacting water quality, and the public policy and practices needed to sufficiently protect water quality. Those years were particularly controversial for a number of reasons we can all remember. Interestingly, even during those days, 68% of respondents said it is safe to go in the ocean. We need to measure that question and others to understand how to best target our efforts to achieve efficient and effective results. For this reason, I re.commend that we conduct a new survey to assess service area residents' perception of Orange County beaches. In 2001, we polled 1500 residents in our service area for $35,000. If we widen the survey to portions of the Inland Empire the cost will be approximately $40,000. If you okay this concept, we will refine a budget number and seek board authorization prior to conducting a new survey. H:\deptlagenda\FAHRIFAHR2004\1204\04-114 HBConferenceVisitorBureau.doc Revised: 06/04/03 Book Page 118 Page 2 Associated costs: Staff time to write RFP and interview firms to conduct survey; $35,000 -$40,000 for survey. PRIOR COMMITTEE/BOARD ACTIONS Huntington Beach Conference and Visitors Bureau presented the attached proposal to the Steering Committee in October. Following that presentation, OCSD Board Chair Steve Anderson met with Mayors of the Beach Cities and representatives of the visitors bureaus. General Manager Blake Anderson wrote a memo to Chair Anderson with staff recommendation. Chair Anderson reviewed the memo and asked that it be transmitted to the FAHR committee for consideration. PROJECT/CONTRACT COST SUMMARY $35,000-$40,000 for survey and an estimate of 250 hours of staff time. BUDGET IMPACT D This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. Ox This item has not been budgeted. D Not applicable (information item) ADDITIONAL INFORMATION ALTERNATIVES Instead of conducting an in-depth survey at a cost of $35,000-$40,000, insert water quality questions into the next OCBC annual survey. (No cost.) CEQA FINDINGS NIA ATTACHMENTS HB conference and Visitors Bureau Proposal to OCSD Regarding Labor Day Weekend Sewage Spill H:ldeptlagenda\FAHRIFAHR200411204104-114 HBConferenceVisitorBureau.doc Revised: 06/04/03 Book Page 119 Page 3 Book Page 120 BACKGROUND PROPOSAL TO O.C.S.D. REGARDING LABOR DAY WEEKEND SEWAGE SPILL Over the past five years, Newport Beach and Huntington Beach have received extensive "bad press" regarding the water quality of their coastal waters. As a result, extensive, far-reaching efforts have been made to protect their coastal waters and bolster their reputations for clean water. The cities and their respective Conference and Visitor Bureaus have invested millions of dollars to turn things around. A fair degree of success was realized with one of the best summers on record this year until the final weekend. PROBLEM On September 4, 2004 the Orange County Sanitation District generated a sewage spill of at least 13,500 gallons into the Santa River that drained to the Pacific Ocean. The District properly reported the spill to the proper authorities and the sewage spill incident was picked up by the news media. Huntington Beach and Newport Beach lifeguards removed hundreds of swimmers from the water. The subsequent news "blitz" became front page and headline news on major networks, radio and newspapers nationwide. There were "eyewitness" type interviews with tourists on the beach. The major news coverage lasted three days and generated over 60 network television news broadcaststhat mentioned Huntington Beach according to Video Monitoring Services of Los Angeles. There is no possible way to relate the intensity of the damage that was done to the reputation of these beach communities. The incident will more than likely be replayed by the news media again in the years to come. Local businesses experienced financial losses from this incident. Numerous service industries reported lower sales receipts compared to identical days in the proceeding year, despite inland temperatures exceeding 100 degrees. This was to be the last big weekend of the season, the last significant infusion of capital for tourism-dependent businesses and mom and pops struggling through the lean winter months. The incident created an immediate financial hardship that should not have occurred. An even bigger concern is the cumulative impact on the public resulting from another widely reported incident of water pollution and beach closings. How much of the positive image built up over the past few years has been lost by this incident? How many local families who might consider or reconsider our beaches will be discouraged from doing so due to water quality and safety concerns? How great will be the financial damage yet to come as a result of this unfortunate incident? Book Page 121 SOLUTION This sewage spill was caused by human error at Orange County Sanitation District. The District is responsible for all damage caused by the incident. If the OCSD wishes to step up and take responsibility for its actions, the District should fund the cost of a special advertising and publicity campaign focused to the southern California market that reinforces that the Huntington Beach and Newport Beach shorelines and coastal waters are clean and safe for recreation and families. The campaign should be a coordinated between both Bureaus and the District and be directed to television and radio spots with benchmark public opinion surveys conducted before, midway and after the campaign is over to measure its success. Although this will not immediately reimburse the communities for their losses received to date, this solution has the potential to reverse additional losses that are certain to accrue if nothing is done to rectify the situation. REQUEST Since both Newport Beach and Huntington Beach "share" the impacts of any incident caused by the District, a special budget should be established within the District whereby this advertising campaign directly benefiting the two city's tourism industries will be completely funded. The budget would be co-directed by Carol Beekman, Director of Communications and Administrative Services for the OCSD, and Doug Traub, President of the Huntington Beach Conference and Visitors Bureau, with extensive input and guidance from the Cities of Huntington Beach and Newport Beach, as well as the Newport Beach Conference & Visitors Bureau. (To reflect the District's entire coastal service area, the City of Seal Beach could also be included, if warranted.) The Board of Directors of the Huntington Beach Conference and Visitors Bureau request this account to be established for an initial period of three consecutive years with an allocation of $150,000 the first year and $100,000 for two subsequent years. A memorandum of understanding would stipulate the management, purpose, and terms of the program. The first year allocation reflects $50,000 for startup costs including benchmark research, creative development and media selection. The additional funding for media and promotion is the very least that could be expected to "move the needle." CONCLUSION The District invests significant dollars annually on its public image and to communicate to its ratepayers on various programs and projects it deems important. This scenario is the same. The true image that our beaches are clean and safe for families to swim must be protected if for no better reason than they represent an important source of funding for OCSD itself. By taking responsibility for this incident, the resulting efforts could become a vehicle for the District to get recognition for the job it performs to keep our environment clean and safe for future generations. Book Page 122 OCSD Clean Water Campaign Committee: Steve Bone, Co-Owner of Hyatt Regency Huntington Beach Resort & Spa and Hilton Waterfront Beach Resort Garry Brown, Executive Director, Orange County CoastKeeper Dave Kiff, Assistant City Manager, City of Newport Beach Bridgett Linquist, Deputy Director, Newport Beach Conference & Visitors Bureau Chip Monaco, Watershed & Coastal Resources Division, County of Orange Doug Traub, President, Huntington Beach Conference and Visitors Bureau Bill Workman, Assistant Administrator, City of Huntington Beach Book Page 123 Book Page 124 FAHR COMMITTEE AGENDA REPORT Orange County Sanitation District FROM: Gary G. Streed, Director of Finance Originator: Michael D. White, Controller · Meeting Date To Bd. of Dir. 12/08/04 Item Number Item Number FAHR04-115 SUBJECT: SELECTION PROCESS FOR INDEPENDENT FINANCIAL AUDITING SERVICES FOR THE NEXT FIVE FISCAL YEARS BEGINNING WITH THE FISCAL YEAR ENDING JUNE 30, 2005 GENERAL MANAGER'S RECOMMENDATION Approve the request for proposal for independent financial auditors to conduct the annual financial audit over a five year period beginning with the fiscal year ending 2004- 05 and the list of independent auditors to receive the proposal. SUMMARY Moreland & Associates has served as the District's auditors for the past ten years, the first five years under the original selection process and for the past five years under the recently expired contract. Moreland & Associates has served the District well and has consistently submitted the lowest qualifying bid. In June 2001, the FAHR Committee approved the District's Audit Committee Policy and Procedure that established the following policies: • identified the FAHR Committee as the committee to serve as the District's Audit Committee; • determined that the independent auditors will serve the District for a three year period with a District option for an additional two years; • determined that the Audit Committee will approve the request for proposal for auditing services and the list of independent auditors to receive the proposal. Following are the independent auditing firms that staff is recommending for inclusion on the list to receive the proposal: Caporicci & Larson 3184-D Airway Ave. Costa Mesa, CA 92626-4619 H:\dept\agenda\FAHRIFAHR200411204104-115.Financial Audit RFP.doc Revised: 06/04/03 Conrad & Associates 1100 Main St., Ste. C Irvine, CA 92614 Book Page 125 Page 1 Deloitte T ouche LLP 695 Town Center Drive Costa Mesa, CA 92626 Ernst & Young 18111 Von Karman, Ave Ste. 1000 Irvine, CA 92612 Lance, Soll & Lunghard, CPA's LLP 203 N. Brea Blvd., Ste. 203 Brea, CA 92821-4056 Diehl, Evans, & Co. 2121 Alton Parkway, Ste. 100 Irvine, CA 92606-4906 Charles Z. Fedak & Co. 6081 Orange Avenue Cypress, CA 90630 McGladrey & Pullen 3880 Lemon Street, Ste. 100 Riverside, CA 92501-3667 PricewaterhouseCoopers LLP 2020 Main Street, Suite 400 Rogers, Anderson, Malady & Scott, LLP Vanir Tower Irvine, CA 92614 290 North D Street, Ste. 300 San Bernardino, CA 92401 Vavrinek, Trine, Day & Co. P.O. Box 4407 Teaman, Ramirez & Smith, Inc. 4201 Brockton Ave., Ste. 100 Riverside, CA 92501 Rancho Cucamonga, CA 91729 Moss, Levy & Hartzheim, CPA's have been excluded from this vendor listing because they are currently serving as the District's contracted internal auditors and are therefore, not independent of the District. Moreland & Associates has also been excluded from this listing because they have served as the District's external independent auditors for the last ten years and staff understands that the District's Audit Committee is interested in audit rotation. PRIOR COMMITTEE/BOARD ACTIONS June 2001. PROJECT/CONTRACT COST SUMMARY Moreland & Associates fee was $47,800 and $49,700, for the fiscal years ended June 30, 2003 and June 30, 2004, respectively. Staff believes that the new contract will approximate these amounts. BUDGET IMPACT ~ This item has been budgeted. (Line item: ) D This item has been budgeted, but there are insufficient funds. D This item has not been budgeted. D Not applicable (information item) H:\dep!lagenda\FAHRIFAHR2004\1204\04-115, Financial Audit RFP doc Revised: 06/04/03 Book Page 126 Page 2 ADDITIONAL INFORMATION None. ALTERNATIVES Defer the competitive bid solicitation at this time and seek a one-year renewal quote from Moreland & Associates. CEQA FINDINGS NIA ATTACHMENTS 1. Request for proposal. 2. District's Audit Committee Policy and Procedure. MW H:\deptlagenda\FAHRIFAHR2004\1204104-115.Financial Audit RFP doc Revised: 06104103 Book Page 127 Page 3 Book Page 128 ORANGE COUNTY SANITATION DISTRICT ORANGE COUNTY, CALIFORNIA REQUEST FOR PROPOSALS FOR PROFESSIONAL AUDITING SERVICES December 8, 2004 P.O. BOX 8127 10844 ELLIS AVENUE FOUNTAIN VALLEY, CA 92728-8127 ORANGE COUNTY SANITATION DISTRICT Book Page 129 I. INTRODUCTION REQUEST FOR PROPOSALS TABLE OF CONTENTS A. General Information ......................................................................... 3 B. Term of Engagement. ...................................................................... 4 11. NATURE OF SERVICES REQUIRED A. General. ........................................................................................... 4 B. Scope of Work to be Performed ..................................................... .4 C. Auditing Standards to be Followed .................................................. 5 D. Reports to be Issued ....................................................................... 5 E. Special Considerations .................................................................... 7 F. Working Paper Retention and Access to Working Papers8 Ill. DESCRIPTION OF THE GOVERNMENT A. Name and Telephone Number of Contact Person .......................... 8 B. Background Information .................................................................. 9 C. Fund Structure ................................................................................. 9 D. Federal and State Financial Assistance .......................................... 9 E. Pension Plans ............................................................................... 10 F. Joint Ventures ............................................................................... 10 G. Magnitude of Finance Operations ................................................. 1 O H. Computer Systems ........................................................................ 11 IV. TIME REQUIREMENTS A. Proposal Calendar ......................................................................... 11 B. Notification and Contract Dates ..................................................... 11 C. Schedule for the 1999-00 Fiscal Year Audit.. ................................ 12 D. Entrance Conference, Progress Reporting and Exit Conference .. 12 E. Date Final Report is Due ............................................................... 14 2 Book Page 130 V. ASSISTANCE TO BE PROVIDED TO THE AUDITOR AND REPORT PREPARATION A. Accounting Division ....................................................................... 14 B. Report Preparation ........................................................................ 14 VI. PROPOSAL REQUIREMENTS A. General Requirements .................................................................. 14 B. Technical Proposal ........................................................................ 16 C. Sealed Dollar Cost Bid .................................................................. 20 VII. EVALUATION PROCEDURES A. Audit Selection Committee ............................................................ 22 B. Review of Proposals ...................................................................... 22 C. Evaluation Criteria ......................................................................... 22 D. Oral Presentations ......................................................................... 24 E. Final Selection ............................................................................... 24 F. Right to Reject Proposals .............................................................. 24 APPENDICES A. Organizational Chart ................................................................................ 25 B. Proposer Guarantees ............................................................................... 26 C. Proposer Warranties ................................................................................ 27 D. Format for Schedule of Professional Fees and Expenses to Support the Total All-Inclusive Maximum Price ................................ 28 3 Book Page 131 ORANGE COUNTY SANITATION DISTRICT REQUEST FOR PROPOSALS I. INTRODUCTION A. General Information The Orange County Sanitation District (District) is requesting proposals from qualified firms of certified public accountants to audit its financial statements for the fiscal year ending June 30, 2005, with the option of auditing their financial statements for each of the four subsequent fiscal years. There is no expressed or implied obligation for the District to reimburse responding firms for any expenses incurred in preparing proposals in response to this request. Any inquiries concerning the request for proposals should be addressed to: Michael D. White, Controller Orange County Sanitation District P.O. Box 8127 10844 Ellis Avenue Fountain Valley, CA 92728-8127 To be considered, five copies of a proposal must be sealed and received before 5:00 p.m., January 14, 2004 by: Penny Kyle, Board Secretary Orange County Sanitation District P.O. Box 8127 10844 Ellis Avenue Fountain Valley, CA 92728-8127 The District reserves the right to reject any or all proposals submitted. Proposals submitted will be evaluated by an Audit Selection Committee with the contract being awarded by the District's Board of Directors. During the evaluation process, the District reserves the right, where it may serve the District's best interest, to request additional information or clarifications from proposers, or to allow corrections of errors or omissions. At the discretion of the District, firms submitting proposals may be requested to make oral presentations as part of the evaluation process. 4 Book Page 132 The District reserves the right to retain all proposals submitted and to use any ideas in a proposal regardless of whether that proposal is selected. Submission of a proposal indicates acceptance by the firm of the conditions contained in this request for proposals, unless clearly and specifically noted in the proposal submitted and confirmed in the contract between the District and the firm selected. It is anticipated the selection of a firm will be completed by February 15, 2005. Following the notification of the selected firm it is expected a contract will be executed between both parties by March 15. B. Term of Engagement A three-year contract is contemplated, subject to the annual review and recommendation of District's staff. An additional two-year extension beyond the three-year contract may be granted upon recommendation by staff and approval by the Board of Directors. II. NATURE OF SERVICES REQUIRED A. General The District is soliciting the services of qualified firms of certified public accountants to audit its financial statements for the fiscal year ending June 30, 2005, with the option to audit the District's financial statements for each of the two subsequent fiscal years. These audits are to be performed in accordance with the provisions contained in this request for proposals. B. Scope of Work to be Performed The District desires the auditor to express an opinion on the fair presentation of its general purpose financial statements for the years ended June 30, 2005, 2006, and 2007 in conformity with generally accepted accounting principles. The auditor is not required to audit the combining and individual fund 5 Book Page 133 financial statements and supporting schedules. However, the auditor is to provide an "in-relation-to" report on the combining and individual fund financial statements and supporting schedules based on the auditing procedures applied during the audit of the general purpose and basic financial statements. The auditor is not required to audit the statistical section of the report. C. Auditing Standards To Be Followed To meet the requirements of this request for proposals, the audit shall be performed in accordance with: 1 generally accepted auditing standards as set forth by the American Institute of Certified Public Accountants; 2 the standards for financial audits set forth in the U.S. General Accounting Office's Government Auditing Standards (1999) 3 the provisions of the Single Audit Act of 1984 and the provisions of U.S. Office of Management and Budget (0MB) Circular A-128, Audits of State and Local Governments. D. Reports to be Issued Following the completion of the audit of the fiscal year's financial statements, the auditor shall issue: 1. A report on the fair presentation of the financial statements in conformity with generally accepted accounting principles. 2. A report on the procedures applied and the results on the application of these procedures in determining as to whether the District's appropriation limitation calculation was computed in accordance with Article XIIIB of the Constitution of The State of California. 3. Bond comfort letters to the District's two bond trustees, Texas Commerce Bank and State Street Bank. 4. A letter to the Southern California Edison Company reporting the District's net tangible worth in compliance with the Interconnection Facilities Agreement between the Southern California Edison Company and the District. 5. If the District receives any federal financial assistance over the next 6 Book Page 134 three years and an audit is required to be performed under the provisions of the Single Audit Act of 1984 and the U.S. Office of Management and Budget (0MB) Circular A-128, then the auditor shall issue the following additional reports for each year required: a) A report on the internal control structure based on the auditors' understanding of the control structure and assessment of control risk. b) A report on compliance with applicable laws and regulations. c) An "in-relation-to" report on the schedule of federal financial assistance. d) A report on the internal control structure used in administering federal financial assistance programs (this report may be combined with report "a"). e) A report on compliance with specific requirements applicable to major federal financial assistance programs. f) A report on compliance with specific requirements applicable to nonmajor federal financial assistance programs (this report may be combined with report "e"). g) A report on compliance with general requirements for both major and nonmajor federal financial assistance programs. 6. The auditor shall communicate in a letter to management any reportable conditions found during the audit. A reportable condition shall be defined as a significant deficiency in the design or operation of the internal control structure, which could adversely affect the organization's ability to record, process, summarize, and report financial data consistent with the assertions of management in the financial statements. Reportable conditions that are also material weaknesses shall be identified as such in the report. Non reportable conditions discovered by the auditors shall be reported in a separate letter to management, which should be referred to in the report on internal controls if required as part of a single audit. If required, the report on compliance (3g above) shall include all material instances of noncompliance. All nonmaterial instances of 7 Book Page 135 noncompliance shall be reported in a separate management letter, which shall be referred to in the report on compliance. 7. Irregularities and illegal acts. Auditors shall be required to make an immediate, written report of all irregularities and illegal acts or indications of illegal acts of which they become aware to the following parties: • District's Chairperson • District's Finance Administration and Human Resource Committee Chairperson • District's General Manager • District's Director of Finance E. Special Considerations 1. The District will send their comprehensive annual financial report to the Government Finance Officers Association of the United States and Canada for review in their Certificate of Achievement for Excellence in Financial Reporting program. It is anticipated that the auditor will provide assistance to the District to meet the requirements of that program. 2. The District currently anticipates preparing one or more official statements in connection with the sale of debt securities which will contain the general purpose financial statements and the auditor's report thereon. The auditor shall be required, if requested by the fiscal advisor and/or the underwriter, to issue a "consent and citation of expertise" as the auditor and any necessary "comfort letters." 3. The District has determined that the State Controller of the State of California will function as the cognizant agency in accordance with the provisions of the Single Audit Act of 1984 and U.S. Office of Management and Budget (0MB) Circular A-128, Audits of State and Local Governments. 4. If applicable, the schedule of federal financial assistance and related auditors' report, as well as the reports on the internal controls and compliance are not to be included in the comprehensive annual financial report, but are to be issued separately. 5. The partner-in-charge of the audit shall be available to attend 8 Book Page 136 meetings of the District's Directors at which the audit progress, reports, and findings will be discussed. F. Working Paper Retention and Access to Working Papers All working papers and reports must be retained, at the auditors' expense, for a minimum of three (3) years, unless the firm is notified in writing by the District of the need to extend the retention period. The auditor will be required to make working papers available, upon request, to the following parties or their designees: • Orange County Sanitation District • State Controller of the State of California • U.S. General Accounting Office (GAO) • Parties designated by the federal or state governments or by the District as part of an audit quality review process • Auditors of entities of which the District is a sub-recipient of grant funds • Auditors of entities of which the District is a component unit In addition, the firm shall respond to the reasonable inquiries of successor auditors and allow successor auditors to review working papers relating to matters of continuing accounting significance. Ill. DESCRIPTION OF THE GOVERNMENT A. Name and Telephone Number of Contact The auditors' principal contact with the District will be Michael D. White, Controller (714) 593-7570, who will coordinate with the Auditor the assistance to be provided by the District. An organizational chart (Appendix A) is attached . B. Background Information The District provides wastewater collection, treatment, and disposal services to a population of 2.4 million covering an area of 471 square miles. The District's fiscal year begins on July 1 and ends on June 30. The District has a total payroll, including benefits, of $65.5 million covering 9 Book Page 137 629.0 full time equivalent employees. The District is currently working on a 10-year, $2.1 billion capital improvement program with budgeted cash outlays of $231.2 million for fiscal year 2004-05. The District's organization consists of seven separate departments; Administration, Finance, Human Resources, Operations and Maintenance, Engineering, Technical Services, and Information Technologies. The accounting and financial reporting functions of the District are centralized within the Finance Department's Accounting Division. More detailed information on the District and its finances can be found in the District's Comprehensive Annual Financial Report for the year ended June 30, 2004 and the adopted budget for fiscal year 2004-05. These documents are available from the District's website, www.ocsd.com , or from the Accounting Division through the contact person indicated above under Section A. C. Fund Structure The District uses Enterprise fund accounting. Although the District's Board of Directors approves an annual budgetary operating plan each year, the District, in complying with general accepted accounting principles, does not integrate budgetary accounts into the proprietary fund accounting system for financial statement presentation. D. Federal and State Financial Assistance During fiscal year 2004-05, the District is expected to receive a maximum of $40,000 in federal assistance from the Bureau of Reclamation and a maximum of $250,000 in state financial assistance from the California State Energy Resources Conservation and Development Commission. In previous years, the District has received federal grants from the Environmental Protection Agency. However, there is currently no available federal financial assistance under the Clean Water Act. 10 Book Page 138 E. Pension Plan The District participates in the Orange County Employees Retirement System, a cost-sharing multiple-employer defined benefit pension plan. All District's full-time employees participate in this plan. F. Joint Ventures The District is a member of the California Public Entity Insurance Authority for excess workers' compensation insurance coverage up to $50 million. In addition, the District and the Orange County Water District are jointly constructing the Groundwater Replenishment System (GWRS), the largest reclamation system in the nation. GWRS will initially provide 78,400 acre- feet per year of reclaimed water for replenishment of the Orange County Groundwater Basin and augmentation of the seawater intrusion barrier at a total projected cost of $503 million. G. Magnitude of Finance Operations The District's Finance Department consists of 44.5 full time equivalent employees, and includes the Finance Administration Division that is responsible for debt, treasury and risk management, the Accounting Division that is responsible for budgeting, accounting and reporting, and the Purchasing Division that is responsible for contracts administration, purchasing and warehousing. The District's Comprehensive Annual Financial Report has earned the Government Finance Officer's Association (GFOA) Award for ten consecutive years and the District's annual budget has achieved the GFOA award for Distinguished Budget Presentation for eight consecutive years. In addition, the District has also earned the Achievement of Excellence in Procurement Award for the last three consecutive years and received certification of its investment policy by the Association of Public Treasurers of the United States and Canada. H. Computer Systems Hardware-The Financial System software is currently running on an IBM AS400 platform. The AS400 is accessible by Windows NT Clients. There are currently over 100 users accessing the system to either create purchase requisitions or to review the status of budgets. There are also approximately 45 heavy users located within the Finance and Human Resources Departments. 11 Book Page 139 Software-The District is currently migrating from its present financial system software operating on proprietary applications developed by J. D. Edwards and originally installed in 1997. The software is now referred to as PeopleSoft World as a result of the recent merger between People Soft and J. D. Edwards. The District is currently utilizing PeopleSoft Enterprise One, an enterprise resource planning open architecture system. Major applications include: • Address Book • General Ledger • Accounts Payable • Accounts Receivable • Purchasing • Inventory • Sales Order • Fixed Assets • Job Cost • Budget • Payroll • Human Resources IV. TIME REQUIREMENTS A. Proposal Calendar The following is a list of key dates up to and including the date proposals are due: Request for proposal issued Due date for proposals B. Notification and Contract Dates Selected firm notified Contract date Date Audit May Commence December 16, 2004 January 14, 2005 February 15, 2005 March 15, 2005 The District will have records ready for interim audit work and all management personnel available to meet with the firm's personnel as of May 12 Book Page 140 1, 2005. C. Schedule for the Fiscal Year 2004-05 Audit (A similar time schedule will be developed for audits of future fiscal years if the District exercises their option for additional audits). Each of the following should be completed by the auditor no later than the dates indicated. 1. Detailed Audit Plan The auditor shall provide the Districts with a detailed audit plan by June 1, 2005. 3. Fieldwork The auditor shall complete all fieldwork by September 15, 2005. 4. Draft Reports The auditor shall have drafts of the audit report and recommendations to management available for review by the District's Finance, Administration and Human Resources Committee, the Director of Finance and Controller by September 29, 2005. D. Entrance Conferences, Progress Reporting and Exit Conferences (A similar time schedule will be developed for audits of future fiscal years if the District exercises their option for additional audits). At a minimum, the following conferences should be held by the time frames indicated on the schedule: Conferences Entrance conference with key Finance Department personnel. The purpose of this meeting will be to discuss the interim work to be performed. This meeting will also be used to establish overall liaison for the audit and to make arrangements for work space 13 Book Page 141 Time Frame Prior to the start of interim audit work. and other needs of the auditor. Progress conference with Director of Finance and Controller. The purpose of this meeting will be to summarize the results of the preliminary review and to identify the key internal controls or other matters to be tested. Progress conference with key Finance Department personnel. The purpose of this meeting will be to discuss the year- end work to be performed. Exit conference with Director of Finance and Controller. The purpose of this meeting will be to summarize the results of the field work and to review significant findings. 14 Book Page 142 Following the auditors' initial review of the District's internal accounting controls and prior to the completion of the interim audit work. Prior to the beginning of the year-end audit work. At the conclusion of the year-end audit work. E. Date Final Report is Due The Accounting Division shall prepare draft financial statements, notes and all required supplementary schedules and statistical data by September 15, 2005. The auditor shall provide all recommendations, revisions and suggestions for improvement to the Controller by September 22, 2005. The final Comprehensive Annual Financial Report, including auditor's report shall be delivered to the District's Finance, Administration and Human Resource Committee by October 12, 2005. The Director of Finance and Controller will complete their review of the draft report as expeditiously as possible. It is not expected that this process should exceed one week. During that period, the auditor should be available for any meetings that may be necessary to discuss the audit reports. Once all issues identified for discussion are resolved, the final signed report and 100 sheets of the auditing firm's letterhead shall be delivered to the Controller by September 30, 2005. V. ASSISTANCE TO BE PROVIDED TO THE AUDITOR AND REPORT PREPARATION A. Accounting Division The Accounting Division staff and responsible management personnel will be available during the audit to assist the firm by providing information, documentation and explanations. The preparation of the requested audit confirmations will be the responsibility of the District. The Accounting Division staff will endeavor to assist the audit staff by pulling vouchers, paid warrants, etc. and by providing copies of schedules prepared in the normal course of year end closing of the accounting records. The auditors will coordinate their efforts with the Accounting Division and should endeavor to accomplish the audit on a phased basis throughout the year to reduce the year-end workload on the accounting staff. B. Report Preparation The responsibility for preparation, editing, and printing of the Comprehensive Annual Financial Report shall be the responsibility of the District. VI. PROPOSAL REQUIREMENTS A. General Requirements 1. Pre-proposal Conference 15 Book Page 143 A pre-proposal conference may be scheduled with the Controller at the request of a prospective bidder to answer questions relative to this proposal request. 2. Submission of Proposals The following material is required to be received by January 14, 2000 for a proposing firm to be considered: a. A master copy (so marked) of a Technical Proposal and four copies to include the following: i. Title Page Title page showing the request for proposals subject; the firm's name; the name, address and telephone number of the contact person; and the date of the proposal. ii. Table of Contents iii. Transmittal Letter A signed letter of transmittal briefly stating the proposer's understanding of the work to be done, the commitment to perform the work within the time period, a statement why the firm believes itself to be best qualified to perform the engagement and a statement that the proposal is a firm and irrevocable offer for 60 days. iv. Detailed Proposal The detailed proposal should follow the order set forth in Section VI B of this request for proposals. v. Executed copies of Proposer Guarantees and Proposer Warranties, attached to this request for proposal (Appendix B and Appendix C) b. The proposer shall submit a dollar cost bid in a separate sealed envelope marked as follows: 16 Book Page 144 SEALED DOLLAR COST BID PROPOSAL FOR ORANGE COUNTY SANITATION DISTRICT FOR PROFESSIONAL AUDITING SERVICES FOR THE YEAR ENDED JUNE 30, 2005 WITH AN OPTION FOR EACH OF THE FOLLOWING FOUR YEARS c. Proposers should send the completed proposal consisting of the two separate envelopes to the following address: B. Technical Proposal Penny Kyle, Board Secretary Orange County Sanitation District P.O. Box 8127 10844 Ellis Avenue Fountain Valley, CA 92728-8127 1. General Requirements The purpose of the Technical Proposal is to demonstrate the qualifications, competence and capacity of the firms seeking to undertake an independent audit of the District in conformity with the requirements of this request for proposals. As such, the substance of proposals will carry more weight than their form or manner of presentation. The Technical Proposal should demonstrate the qualifications of the firm and of the particular staff to be assigned to this engagement. It should also specify an audit approach that will meet the request for proposals requirements. THERE SHOULD BE NO DOLLAR UNITS OR TOTAL COSTS INCLUDED IN THE TECHNICAL PROPOSAL DOCUMENT. The Technical Proposal should address all the points outlined in the request for proposals (excluding any cost information which should only be included in the sealed dollar cost bid). The Proposal should be prepared simply and economically, providing a straightforward, concise description of the proposer's capabilities to satisfy the requirements of the request for proposals. While additional data may be presented, the following subjects, items Nos. 2 through 10, must be included. They represent the criteria against which the proposal will be evaluated. 17 Book Page 145 2. Independence The firm should provide an affirmative statement that is independent of the District as defined by generally accepted auditing standards. The firm should also list and describe the firm's professional relationships involving the District for the past five (5) years, together with a statement explaining why such relationships do not constitute a conflict of interest relative to performing the proposed audit. In addition, the firm shall give the District written notice of any professional relationships entered into during the period of this agreement. 3. License to Practice in the State of California An affirmative statement should be included that the firm and all assigned key professional staff are properly licensed to practice in the State of California. 4. Firm Qualifications and Experience The proposer should state the size of the firm, the size of the firm's governmental audit staff, the location of the office from which the work on this engagement is to be performed and the number and nature of the professional staff to be employed in this engagement on a full- time basis and the number and nature of the staff to be so employed on a part-time basis. The firm is also required to submit a copy of the report on its most recent external quality control review, with a statement whether that quality control review included a review of specific government engagements. The firm shall also provide information on the results of any federal or state desk reviews or field reviews of its audits during the past three (3) years. In addition, the firm shall provide information on the circumstances and status of any disciplinary action taken or pending against the firm during the past three (3) years with state regulatory bodies or professional organizations. 5. Partner, Supervisory and Staff Qualifications and Experience Identify the principal supervisory and management staff, including engagement partners, managers, other supervisors and specialists, 18 Book Page 146 who would be assigned to the engagement. Indicate whether each such person is licensed to practice as a certified public accountant in the State of California. Provide information on the government auditing experience of each person, including information on relevant continuing professional education for the past three (3) years and membership in professional organizations relevant to the performance of this audit. Provide as much information as possible regarding the number, qualifications, experience and training, including relevant continuing professional education, of the specific staff to be assigned to this engagement. Indicate how the quality of staff over the term of the agreement will be assured. The proposer should identify the extent to which staff to be assigned to the audit reflect the District's commitment to Affirmative Action. The audit staff should remain constant through each year's audit process. Engagement partners, managers, other supervisory staff and specialists may be changed if those personnel leave the firm, are promoted or are assigned to another office. These personnel may also be changed for other reasons with the express prior written permission of the District. However, in either case, the District retains the right to approve or reject replacements. Consultants and firm specialists mentioned in response to this request for proposal can only be changed with the express prior written permission of the District, which retains the right to approve or reject replacements. Other audit personnel may be changed at the discretion of the proposer provided that replacements have substantially the same or better qualifications or experience. However, at least one staff member from the prior year's audit is to be a member of the subsequent year's audit team. 6. Prior Engagements with the Districts List separately all engagements within the last five years, ranked on the basis of total staff hours, for the District by type of engagement (i.e., audit, management advisory services, other). Indicate the scope of work, date, engagement partners, total hours, the location of the firm's office from which the engagement was performed, and the name and telephone number of the principal client contact. 19 Book Page 14 7 7. Similar Engagements With Other Government Entities For the firm's office that will be assigned responsibility for the audit, list the most significant engagements (maximum -5) performed in the last five years that are similar to the engagement described in this request for proposal. These engagements should be ranked on the basis of total staff hours. Indicate the scope of work, date, engagement partners, total hours, and the name and telephone number of the principal client contact. 8. Specific Audit Approach The proposal should set forth a work plan, including an explanation of the audit methodology to be followed, to perform the services required in Section II of this request for proposal. In developing the work plan, reference should be made to such sources of information as the District's budget and related materials, organizational charts, manuals and programs, and financial and other management information systems. Proposers will be required to provide the following information on their audit approach: a. Proposed segmentation of the engagement b. Level of staff and number of hours to be assigned to each proposed segment of the engagement NO DOLLARS SHOULD BE INCLUDED IN THE TECHNICAL PROPOSAL c. Sample size and the extent to which statistical sampling is to be used in the engagement. d. Extent of use of EDP software in the engagement. e. Type and extent of analytical procedures to be used in the engagement. f. Approach to be taken to gain and document an understanding of the District's internal control structure. g. Approach to be taken in determining laws and regulations that 20 Book Page 148 will be subject to audit test work. h. Approach to be taken in drawing audit samples for purposes of tests of compliance. 9. Identification of Anticipated Potential Audit Problems The proposal should identify and describe any anticipated potential audit problems, the firm's approach to resolving these problems and any special assistance that will be requested from the District. 10. Report Format The proposal should include sample formats for required reports. NO DOLLARS SHOULD BE INCLUDED IN THE TECHNICAL PROPOSAL C. Sealed Dollar Cost Bid 1. Total All-Inclusive Maximum Price The sealed dollar cost bid should contain all pricing information relative to performing the audit engagement as described in this request for proposal. The total all-inclusive maximum price to be bid is to contain all direct and indirect costs including all out-of-pocket expenses. The District will not be responsible for expenses incurred in preparing and submitting the technical proposal or the sealed dollar cost bid. Such costs should not be included in the proposal. The first page of the sealed dollar cost bid should include the following information: a. Name of Firm b. Certification that the person signing the proposal is entitled to represent the firm, empowered to submit the bid, and authorized to sign a contract with the District. c. A Total All-Inclusive Maximum Price for the fiscal year 1999-00 engagement. 2. Rates by Partner, Specialist, Supervisory and Staff Level Times Hours 21 Book Page 149 Anticipated for Each The second page of the sealed dollar cost bid should include a schedule of professional fees and expenses, presented in the format provided in the attachment (Appendix D), that supports the total all- inclusive maximum price. The cost of special services described in Section I E of this request for proposal should be disclosed as separate components of the total all-inclusive maximum price. 3. Out-of-pocket Expenses Included in the Total All-inclusive Maximum Price and Reimbursement Rates All estimated out-of-pocket expenses to be reimbursed should be presented on the second page of the sealed dollar cost bid in the format provided in the attachment (Appendix D). All expense reimbursements will be charged against the total all-inclusive maximum price submitted by the firm. 4. Rates for Additional Professional Services If it should become necessary for District to request the auditor to render any additional services to either supplement the services requested in this RFP or to perform additional work as a result of the specific recommendations included in any report issued on this engagement, then such additional work shall be performed only if set forth in an addendum to the contract between District and the firm. Any such additional work agreed to between District and the firm shall be performed at the same rates set forth in the schedule of fees and expenses included in the sealed dollar cost bid. 5. Manner of Payment Progress payments will be made on the basis of hours of work completed during the course of the engagement and out-of-pocket expenses incurred in accordance with the firm's dollar cost bid proposal. Interim billing shall cover a period of not less than a calendar month. VII. EVALUATION PROCEDURES A. Audit Selection Committee Proposals submitted will be evaluated by an Audit Selection Committee comprised of District's management staff. 22 Book Page 150 B. Review of Proposals The Audit Selection Committee will use a point formula during the review process to score proposals. Each member of the Audit Selection Committee will first score each technical proposal by each of the criteria described in Section VII C below. The full Audit Selection Committee will then convene to review and discuss these evaluations and to combine the individual scores to arrive at a composite technical score for each firm. At this point, firms with an unacceptably low technical score will be eliminated from further consideration. After the composite technical score for each firm has been established, the sealed dollar cost bid will be opened and additional points will be added to the technical score based on the price bid. The maximum score for price will be assigned to the firm offering the lowest total all-inclusive maximum price. Appropriate fractional scores will be assigned to other proposers. The District reserves the right to retain all proposals submitted and use any idea in a proposal regardless of whether that proposal is selected. C. Evaluation Criteria Proposals will be evaluated using three sets of criteria. Firms meeting the mandatory criteria will have their proposals evaluated for both technical qualifications and price. The following represent the principal selection criteria which will be considered during the evaluation process. 23 Book Page 151 1 . Mandatory Elements a. The audit firm is independent and licensed to practice in State of California. b. The firm has no conflict of interest with regard to any other work performed by the firm for the District. c. The firm adheres to the instructions in this request for proposal on preparing and submitting the proposal. d. The firm submits a copy of its last external quality control review report and the firm has a record of quality audit work. 2. Technical Quality a. Expertise and Experience (1) The firm's past experience and performance on comparable government engagements (2) The quality of the firm's professional personnel to be assigned to the engagement and the quality of the firm's management support personnel to be available for technical consultation b. Audit Approach 3. Price (1) Adequacy of proposed staffing plan for various segments of the engagement (2) Adequacy of sampling techniques (3) Adequacy of analytical procedures (4) The degree of anticipated support requirements of District's staff. COST WILL NOT BE THE PRIMARY FACTOR IN THE SELECTION OF AN AUDIT FIRM D. Oral Presentations 24 Book Page 152 During the evaluation process, the Audit Committee may, at its discretion, request any one or all firms to make oral presentations. Such presentations will provide firms with an opportunity to answer any questions the Audit Selection Committee may have on a firm's proposal. Not all firms may be asked to make such oral presentations. E. Final Selection The District will select a firm based upon the recommendation of the Audit Selection Committee. It is anticipated that a firm will be selected by February 15, 2005. Following notification of the firm selected, it is expected a contract will be executed between both parties by March 15, 2005. F. Right to Reject Proposals Submission of a proposal indicates acceptance by the firm of the conditions contained in this request for proposal unless clearly and specifically noted in the proposal submitted and confirmed in the contract between the District and the firm selected. The District reserves the right without prejudice to reject any or all proposals. 25 Book Page 153 APPENDICES A. Organizational Chart B. Proposer Guarantees C. Proposer Warranties D. Format for Schedule of Professional Fees and Expenses to Support the Total All-inclusive Maximum Price 26 Book Page 154 APPENDIX B PROPOSER GUARANTEES I. The proposer certifies it can and will provide and make available, as a minimum, all services set forth in Section II, Nature of Services Required. Signature of Official : Name (typed): Title: Firm: Date: 27 Book Page 155 APPENDIX C PROPOSER WARRANTIES A. Proposer warrants that it is willing and able to obtain an errors and omissions insurance policy providing a prudent amount of coverage for the willful or negligent acts, or omissions of any officers, employees or agents thereof. B. Proposer warrants that it will not delegate or subcontract its responsibilities under an agreement without the prior written permission of the District. D. Proposer warrants that all information provided by it in connection with this proposal is true and accurate. Signature of Official: Name (typed): Title: Firm: Date: ------------- 28 Book Page 156 APPENDIX D Page 1 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR 2004-05 FINANCIAL STATEMENTS Partners Managers Supervisory staff Staff Other (specify): __ _ Subtotal Hours Standard Hourly Rates Quoted Hourly Rates Total for services Described in Section I I E of the RFP (Detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other (specify): ___ _ Total all-inclusive maximum price for fiscal year 1994-05 audit Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. Since there is currently no available federal assistance under the Clean Water Act, assume that a single audit will not be required. If a single audit is subsequently determined to be required, the cost of the audit will be in accordance with Section VI.B.1 0.C.4. 29 Book Page 157 APPENDIX D Page 2 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR 2005-06 FINANCIAL STATEMENTS Partners Managers Supervisory staff Staff Other (specify): __ _ Subtotal Hours Standard Hourly Rates Quoted Hourly Rates Total for services Described in Section 11 E of the RFP (Detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other (specify): ____ _ Total all-inclusive maximum price for fiscal year 2005-06 audit Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. Since there is currently no available federal assistance under the Clean Water Act, assume that a single audit will not be required. If a single audit is subsequently determined to be required, the cost of the audit will be in accordance with Section VI.B.1 0.C.4. 30 Book Page 158 APPENDIX D Page 3 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR 2006-07 FINANCIAL STATEMENTS Partners Managers Supervisory staff Staff Other (specify): __ _ Subtotal Hours Standard Hourly Rates Quoted Hourly Rates Total for services Described in Section 11 E of the RFP (Detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other (specify): ___ _ Total all-inclusive maximum price for fiscal year 2006-07 audit Total Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. Since there is currently no available federal assistance under the Clean Water Act, assume that a single audit will not be required. If a single audit is subsequently determined to be required, the cost of the audit will be in accordance with Section VI.B.1 0.C.4. 31 Book Page 159 APPENDIXD Page4 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR 2007-08 FINANCIAL STATEMENTS Partners Managers Supervisory staff Staff Other (specify): __ _ Subtotal Hours Standard Hourly Rates Quoted Hourly Rates Total for services Described in Section 11 E of the RFP (Detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other (specify): ___ _ Total all-inclusive maximum price for fiscal year 2007-08 audit Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. Since there is currently no available federal assistance under the Clean Water Act, assume that a single audit will not be required. If a single audit is subsequently determined to be required, the cost of the audit will be in accordance with Section VI.B.1 0.C.4 .. 32 Book Page 160 APPENDIX D Page 5 SCHEDULE OF PROFESSIONAL FEES AND EXPENSES FOR THE AUDIT OF THE FISCAL YEAR 2008-09 FINANCIAL STATEMENTS Partners Managers Supervisory staff Staff Other (specify): __ _ Subtotal Hours Standard Hourly Rates Quoted Hourly Rates Total for services Described in Section 11 E of the RFP (Detail on subsequent pages) Out-of-pocket expenses: Meals and lodging Transportation Other (specify): ___ _ Total all-inclusive maximum price for fiscal year 2008-09 audit Total Note: The rate quoted should not be presented as a general percentage of the standard hourly rate or as a gross deduction from the total all-inclusive maximum price. Since there is currently no available federal assistance under the Clean Water Act, assume that a single audit will not be required. If a single audit is subsequently determined to be required, the cost of the audit will be in accordance with Section VI.B.1 0.C.4 .. 33 Book Page 161 Book Page 162 ~ FINANCE DEPARTMENT POLICY AND PROCEDURE Subject: District's Audit Index: Finance Administration Committee Number: 201-1-2 I Effective Date: June 13, 2001 Prepared by: Finance AdminisuaLiu,, Supersedes: N/A Approved By: FAHR Committee 1.0 PURPOSE: To establish the Finance, Administration and Human Resources Committee role as the District's Audit Committee, and to provide policy for the duties to be performed by the Audit Committee. 2.0 ORGANIZATIONS AFFECTED: General Manager's Department, Finance Department, and external auditors. 3.0 REFERENCES: 3.1 Government Auditing Standards issued by the Comptroller General of the United States. 3.2 American Institute of Certified Public Accountants Statement of Auditing Standard No. 61 -"Communications with Audit Committees", and No. 90 - "Audit Committee Communications". 4.0 POLICY: 4.1 The Finance, Administration and Human Resources Committee will serve as the District's Audit Committee . 4.2 The Audit Committee will oversee the annual financial audit to ensure that the District's financial statements are prepared in accordance with generally accepted accounting principles. In addition, the Audit Committee will from time to time direct special audits of the District to ensure that the District is operating in a most efficient and effective manner, intended programs are Page 1 of 5 Book Page 163 accomplishing stated objectives, and accounting and administrative internal controls are in place and functioning as intended. 4.2 The Audit Committee will be responsible for the selection of the District's external independent auditors. 4.2.1 Selected independent auditors will serve the District for a three year period with a District option to renew for an additional two years. However, the contract with the independent auditors can be terminated at the end of any one-year at the discretion of either the Audit Committee or the independent auditors. 4.2.2 The Audit Committee will approve the request for proposal for auditing services and the list of independent auditors to receive the proposal. 4.2.3 Finance staff will summarize the results of the responses to the request for proposal for auditing services and recommend to the Audit Committee the top three firms to be interviewed based on technical qualifications and responsiveness to the request for proposal. 4.2.4 The Finance, Administration and Human Resources Committee chair, or his/her designee, along with the Director of Finance and Controller will serve on the Audit Selection Subcommittee responsible for interviewing the three finalist auditing firms. 4.2.5 The Audit Selection Subcommittee will recommend to the Audit Committee the most technical and responsive firm for final selection and approval. Price will be a secondary consideration. 4.2.6 The selected firm's proposal for auditing services, which will include the auditors' responsibilities in a financial statement audit, including the responsibilities for testing and reporting on internal controls and compliance with laws and regulations, and the nature of any additional testing of internal controls and compliance required by laws and regulations, will serve as the engagement letter. 4.3 The external auditors will report periodically to the Audit Committee in regards to the progress made on all audits. 4.3.1 An audit entrance conference with the Audit Committee will be conducted by the auditors on all independent financial audits, operational audits, program audits, and forensic audits. The purpose of this meeting is to ensure a good working relationship and to discuss the scope and timing of the audit(s). This meeting will set the tone that will allow the auditors to feel comfortable asking questions and expressing their views. On the independent audit of the District Page 2 of 5 Book Page 164 financial statements, a discussion shall ensue as to how the tests of internal controls and compliance with laws and regulations in a financial statement audit contribute to the auditors' opinion on the District's financial statements. However, they do not provide a basis for opining on internal controls or compliance. The review of internal controls during an independent financial audit is usually conducted during the beginning of the audit known as the interim audit work. 4.3.1.1 In order to meet the needs of the Audit Committee in regards to the review of internal controls, the auditors may be assigned to perform further tests on internal controls and compliance with laws and regulations by performing supplemental, or agreed-upon, procedures or performing an examination of the District's internal controls resulting in an opinion. 4.3.2 Following the interim audit work, a meeting with the Audit Committee will be agendized at the discretion of the independent auditors to discuss any matters which may impact the audit procedures on the District's financial statements or to report on any material irregularities or improprieties within the District's system of internal control. 4.3.3 Following the conclusion of the Auditors' fieldwork in the examination of the District's financial statements, operational audits, program audits, or forensic audits, the Auditors will conduct an exit conference. At this exit conference, the Auditors will issue their audit reports and answer any questions pertaining to the audit conducted. This would include the issuance of the auditors' opinion letter on the independent financial audit on the District's internally prepared financial statements and the auditors' management letter. In addition, the auditors will provide worthwhile suggestions for improving the internal control structure as well as the efficiency and effectiveness of accounting operations and procedures. 5.0 DEFINITIONS: 5.1 INDEPENDENT FINANCIAL AUDIT -Audits that render an opinion as to whether financial statements are prepared in accordance with generally accepted accounting principles. 5.2 OPERATIONAL AUDITS -Audits that are conducted to determine if an entities operations are being conducted in an economically and efficient manner. Page 3 of 5 Book Page 165 5.3 PERFORMANCE (OR PROGRAM) AUDITS -Audits designed to establish whether specific government programs are effective in meeting their stated goals and objectives. 5.4 FORENSIC AUDITS -Audits that are usually performed after malfeasance has been detected and are set up to determine what controls failed, who was involved and the full extent of the losses. Forensic Audits can be performed prior to any indication of malfeasance by focusing on those portions of an operation that appear to have the greatest exposure to loss or opportunity for malfeasance. 5.3 GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP) -The minimum uniform standards and guidelines for financial accounting and reporting. 5.3.1 GAAP encompasses the conventions, rules, and procedures which define accepted accounting practice, both as broad guidelines of general application and as detailed practices and procedures. GAAP also governs the form and content of financial statements. 5.3.2 The primary authoritative body on the application of GAAP to governments is the Governmental Accounting Standards Board (GASB). 5.4 GOVERNMENTAL ACCOUNTING STANDARDS BOARD (GASB) -The authoritative body on the application of GAAP to government entities. GASB is the primary accounting and financial reporting standard-setting body for government entities. 5.5 GENERALLY ACCEPTED AUDITING STANDARDS (GAAS) -The rules and procedures that govern the conduct of a financial audit. 5.5.1 There are ten basic GAAS, classed into three broad categories: general standards, standards of fieldwork, and standards of reporting. 5.5.2 The Auditing Standards Board of the American Institute of Certified Public Accountants publishes Statements of Auditing Standards and related interpretations to comment and expand upon these basic statements. 5.6 GENERALLY ACCEPTED GOVERNMENT AUDITING STANDARDS (GAGAS) -Standards for the conduct and reporting of both financial and performance audits in the public sector. 5.6.1 The General Accounting Office promulgates GAGAS through its publication "Government Auditing Standards". Page 4 of 5 Book Page 166 5.6.2 The basic GAGAS standards are classified into three broad categories: general standards, fieldwork standards, and reporting standards. The general standards of GAGAS apply to both financial audits and performance audits. GAGAS establish separate fieldwork and reporting standards for financial audits and performance audits. The fieldwork standards and reporting standards used for financial audits build upon the standards of fieldwork and the standards of reporting of GAAS. Page 5 of 5 Book Page 167 Book Page 168 ORANGE COUNlY SANITATION DISTRICT (714) 962-2411 www.ocsd.com Mailing Address: P.O. Box 8127 Fountain Valley, California 92728-8127 Street Address: 10844 Ellis Avenue Fountain Valley, California 92708-7018 Orange County Sanitation District Project Summary Summary of projects that OCSD has voluntarily initiated since our 1999 Strategic Plan analysis of peak flow management: • Investigations, studies and corrective actions to identify cause of water pollution in Huntington Beach in 1999 -$7 million. • Cooperative Projects Grants Program -Over $5.5 million • Urban runoff diversions -about $500,000 • Primary Clarifiers Construction -$15 million • Peak Flow Management -$3,393,000, including $1,651,000 for raising the emergency discharge point to the river. • Effluent Pump Station Annex -$8 million • Electrical Power Master Plan -$1.9 million • Final Effluent Disinfection -$8 million • Groundwater Replenishment System $225 million - • Secondary Treatment Standards -$450 million • Regional leadership with the Regional Water Quality Control Board Waste Discharge regulations • Ocean Shoreline Bacteria Monitoring Program -$1.5 million a year. • Assistance with more than a dozen coastal spills dating back to 2000 More than $700 million to date has been spent in the above projects to better our system and to decrease risks of emergency discharge. Community outreach and education efforts: • OCSD Web site/ E-Subscriptions • Fats, Oils and Grease (FOG) Toolbox • Integrated Emergency Response Plan • Plant tours for local schools/community groups • Past HB3 TV o Odor Control o Bushard Construction project • Participation with SEHBNA o Hold SEHBNA meetings at Plant No. 2 o Attend SEHBNA meetings regarding current OCSD hot topics • Pollution Prevention Program -County of Orange 1 • Community education -sewer science for students • Community surveys in the City of Huntington Beach (3) (2 -301 h and 1 -Biosolids) • Focus groups (2) (GWRS and Biosolids) o Better understanding of the needs of Huntington Beach o Additional education needs on urban runoff, biosolids and water conservation. o Findings: In general residents do not realize what happens after they flush and did not know there was an ocean outfall in Huntington Beach. o Findings: the majority of Huntington Beach residents surveyed did not know a waste water facility was located in their community or that OCSD treats sewage for 2.3 million people. 2 November 30, 2004 Huntintton ltach Conference and Visitors Bureau Mr. Blake Anderson General Manager Orange County Sanitation District 10844 Ellis Avenue Fountain Valley, CA 92708 Dear ijlake, II,. "J.ol(- ~o#tla .,..= OC.90 S r~tf,A C ,..,_ aeae"44.,.. ---~~· T~ ~I:. We appreciate the time your agency devoted to us during our meeting with the FAHR - Committee on November 3 to discuss the Clean Water Campaign proposal. Many of us were less encouraged than our previous meetings with OCSD. After a few weeks to regroup and rethink, however, we still believe the concept has strong merit. It conforms exactly with OCSD's policy objective of education and outreach and could help to solve perception problems caused by OCSD while championing its environmental stewardship. Our Bureau has been in the middle of a public debate that began when OCSD discharged 1.6 gallons of treated sewage over the Labor Day weekend. The discharge hurt our tourism industry and will impact it negatively for years. lt also revitali_zeq ~o~cems about the outfall pipe off our shores. We maintain the best-approach to r~JDedy_proble:Qls is to create an advertising campaign that.fosters OCSD's environmental reputation so the public is educated that OC beaches are some of the cleanest coastal waters in the US. There are people in Southern California who will avoid visiting or swimming at beaches in Orange County and Huntington Beach as a result of your Labor Day sewage spill. There are people who will continue to avoid our beaches because of your outfall pipe off Qur waters. Wpether urban runoff or other sources can create water quality pr9blems, or studies show that many local people ignore the discharges·-from your outfall pipe, does not relieve OCSD of responsibility or make the situation more palatable. Our Clean Water Campaign proposal may need some revision to make it viable, but the intent and sJ;>irit of our concept has been clear from the first meeting with your agency on October 20 . Namely, we think that OCSD's considerable proactive efforts to make our coastal waters the cleanest in the nation needs to be told. Report cards from Heal the Beach are not eno.µgh. We think OCSD should step l.1P to.its job for ~ducatjon .and outreach and finance a ~ignificant regional .advertising.cam.~.~gn to tell _t~e ~tory . .. ··- 30/ Main Street, Suite 208 • Huntington Beach • California 92648-5/7I • Tel 7l4-969-3492 Fax 7/4-969-5592 • www.hbvisitcom Mr. Blake Anderson Page Two To invest a miniscule almost insignificant fraction of OCSD' s budget over the next ten years into an educational campaign for the public about how OCSD is working to keep our coastal waters safe and clean for the future is a good idea for many reasons and not an illegal scheme to bolster the wealth of your coastal constituents. From what we have learned over the years, OCSD has an enviable success story to tell about its work in this area and it's about time more people in our region understand your efforts. The Bureau's intent has never been to be adversarial, and if we have come across in this manner, please accept our apologies. After two previous meetings with OCSD, the Clean Water Campaign concept seemed to strike a positive chord. We've asked for your staff's support to help us address the image problem of our coastal waters and you had helped us to create what we thought was a win-win solution. Please help us to overcome this latest setback towards resolving this matter. In conclusion, we believe the Clean Water Campaign concept could meet your criteria if it was addressed from the perspective of what's right with it instead of what's wrong with it. It could provide the perfect vehicle to bolster OCSD's image like never before. It could even be funded as a Supplemental Environmental Project of the Regional Water Quality Control Board using OCSD's fines assessed for the Labor Day sewage spill, if you saw fit. We simply ask for a continuation of the good will and assistance your agency demonstrated prior to November 3 to help develop this concept accordingly. ~~ Douglas C. Traub President & CEO cc: HBCVB Board of Directors, Mayor Cathy Green, Steve Anderson, Dr. Penny Culbreth-Graft, David Biggs, Bob Beardsley, Laurie Payne, Steve Bone FAHR COMMITTEE AGENDA REPORT Orange County Sanitation District FROM: Gary Streed, Director of Finance/Treasurer Originator: Michael White, Controller Meeting !!>ate To Bd. of Dir. 12/08/04 12/15/04 Item Num~r Item Number FAHR 04-105 H(b) SUBJECT: TREASURER'S REPORT FOR THE MONTH OF NOVEMBER 2004 GENERAL MANAGER'S RECOMMENDATION Receive and file Treasurer's Report for the month of November 2004. SUMMARY Pacific Investment Management Co. (PIMCO), serves as the District's professional external money manager, and Mellon Trust serves as the District's third-party custodian bank for the investment program. Some funds are also deposited in the State of California Local Agency Investment Fund for liquidity. The District's Investment Policy, adopted by the Board, includes reporting requirements as listed down the left most column of the attached PIMCO Monthly Report for the "Liquid Operating Monies" and for the "Long-Term Operating Monies" portfolios. The District's external money manager is operating in compliance with the requirements of the Investment Policy. The portfolio contains no reverse repurchase agreements. As shown on page 2 of the attached PIMCO's Performance Monitoring and Reporting Report for the Long-Term Operating Monies, there is one investment policy compliance exception. It pertains to the holding of one security within PIMCO's Long-Term Operating Monies Portfolio that had an acceptable rating at the time of purchase but has since fallen below the minimum rating allowed by the investment policy. The District's investment policy requires a minimum rating of A3 by Moody's or A-by S&P, with at least a BBB rating in the event of a split rating, at the time of purchase. The rating exception pertains to the holding of a United Airlines (UAL) Asset Backed Security with a par value of $1.6 million, representing 0.44 percent of the portfolio holdings, whose rating from Moody's has fallen several times, from A3 to BA 1, then to BA3, B3, B, and finally to CA. Likewise, the rating from Standard & Poor's has also fallen several times, first from A-to BBB, then to BB, then to B+, B-, and finally to CCC+. Both rating agencies have since withdrawn their ratings, Moody's in February 2004 and Standard & Poor's in June 2004. Although these ratings are less than what is required at the time of purchase, PIMCO believes, based on the financial strength of UAL and the underlying collateral of the security, that the District would suffer an unwarranted loss if the security was sold at this time. H:ldeptlfin\220\geggie\FAHRITREASRPT120B04.doc Page 1 The District's investment policy does not require any action because of "credit watch" notices or the decline in credit standing. However, PIMCO will continue to monitor the credit for this security very closely. Historical cost and current market values are shown as estimated by both PIMCO and Mellon Trust. The District's portfolios are priced to market ("mark-to-market") as of the last day of each reporting period. The slight differences in value are related to minor variations in pricing assumptions by the valuation sources at the estimate date. BUDGET IMPACT D ~ This item has been budgeted. (Line item: Not applicable (information item) ADDITIONAL INFORMATION Schedules are attached summarizing the detail for both the short-term and long-term investment portfolios for the reporting period. In addition, a consolidated report of posted investment portfolio transactions for the month is attached. The attached yield analysis report is presented as a monitoring and reporting enhancement. In this report, yield calculations based on book values and market values are shown for individual holdings, as well as for each portfolio. Mellon Trust, the District's custodian bank, is the source for these reports. Transactions that were r:>ending settlement at month end may not be reflected. Also provided is a $Ummary of monthly investment balances and transactions within the State of California Local Agency Investment Fund (LAIF). These reports accurately reflect all District investments and are in compliance with California Government Code Section 53646 and the District's Investment Policy. Sufficient liquidity and anticipated revenues are available to meet budgeted expenditures for the next six months. The table on the following page details the book balances of the District's investment accounts at month-end. A graphical representation of month-end balances is shown on the attached bar chart. H:ldeptlfin\220\geggie\FAHRITREASRPT120804.doc Page2 Book Balances ', .. Estlma~ed .'J Investment Accounts ,~. .• i November 30; 2004 · Yield'(%) State of Calif. LAIF $26,408,111 2.00 Union Bank Checking Account 826,120 1.64(1) PIMCO -Short-term Portfolio 72,892,222 2.32 PIMCO -Long-term Portfolio 344,814,076 3.39 Petty Cash 4000 N/A TOTAL $444 944 529 3.13 Debt Service Reserves w/Trustees $62 589 742 3.17 (1) This is the annualized yield for the month of October. The November annualized rate was not available as of the date of this report. ATTACHMENTS 1. Graph of Monthly Investment Balances by Type -Last Six Months 2. Investment Transactions and Balances in the State Local Agency Investment Fund 3. PIMCO Monthly Investment Recap & Yield Analysis Report 4. PIMCO Performance Monitoring Report -Liquid Operating Monies 5. PIMCO Performance Monitoring Report-Long-Term Operating Monies 6. Mellon Trust Asset Summary by Asset Type with Sectors -Liquid Operating Monies 7. Mellon Trust Asset Summary by Asset Type with Sectors -L-T Operating Monies 8. Mellon Trust Yield Analysis Report 9. Mellon Trust Asset Detail -Consolidated 10. Mellon Trust Transaction Detail -Consolidated MW:bg H:ldeptlfin\220\geggie\FAHRITREASRPT120B04.doc Page 3 Prepared by Finance, 12/7/2004, 3:38 PM Monthly Investment Balances by Type- Last Six Months $700,000,000 -----------------------------, $600,000,000 ___,___., $500,000,000 --L--- $400,000,000 I ~ $300,000,000 --i-----------, m§~--1~~~--ii~~i----i~m---ffl~ $200,000,000 +---li2l'l,'\~e.t'>;9$?:.r,,,,,i~~-----t.,,s8?"""~00:88(Y'j~--~i~~----t(~ $100,000,000 $ol mm ~ ~ . ™ ~ ~ I June 2004 July 2004 August 2004 September 2004 ~ PIMCO -Long-term 121 PIMCO -Short-term Im COP Debt Reserves mLAIF •Bank Accts •Petty Cash H:\dept\fin\EXCEL.dta\220\geggie\mo treas rpt\Monthly Investment Balances Graph1 .xis October 2004 November 2004 Orange County Sanitation District Investment Transactions and Balances in the State of California Local Agency Investment Fund November 30, 2004 Par Value Book Value Market Value Balance November 1, 2004 $9,908,111 $9,908,111 $9,908,111 Deposits: 11/15/2004 13,200,000 13,200,000 13,200,000 11/24/2004 12,100,000 12,100,000 12,100,000 Total Deposits 25,300,000 25,300,000 25,300,000 Withdrawals: 11/4/2004 (7,100,000) (7,100,000) (7,100,000) 11/22/2004 (1 ,700,000) p ,700,000) (1,700,000) Total Withdrawels (8 ,800,000) (8 ,800,000) (8,800 ,000) Balance November 30, 2004 $26,408,111 $26,408,111 $26,408,111 Rate Yield 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 PIM C 0 December 6, 2004 Mr. Mike White, CPA Controller Orange County Sanitation District 10844 Ellis A venue Fountain Valley, CA 92708-7018 Dear Mike: The following is a description of events in the bond markets during the month of November in addition to an analysis of the strategies undertaken in the Orange County Sanitation District's Long-Term and Liquid portfolios over the period. Also included is a section on our outlook and preferred strategies to be pursued in your portfolios during the coming months. Bo11d Market Recap: U.S. Treasury yields rose in November following President Bush's victory and releases of stronger than expected economic data. Bush's proposed tax policy is expected to help sustain the U.S. economic growth. An anticipated interest rate hike, declining oil prices and concerns over weakening foreign demand for U.S. Treasuries amplified the sell-off in Treasuries. Federal Open Market Committee (FOMC) policy makers increased the benchmark Fed funds rate by 25 basis points to 2.0 percent, representing the fourth rate hike since June 2004, while restating their plan to tighten at a "measured" pace. Across the yield curve, interest rates edged up, with the benchmark 10-year Treasury note yielding 4.35 percent at the end of the month, an increase of 33 basis points. Treasuries, as represented by the Lehman Treasury Index, lost 1.34 percent during the month. On a duration-adjusted basis, TIPS outperformed their nominal counterparts, as the Lehman Brothers Global Real U.S. TIPS index returned -0.24 percent for the month. Mortgage- backed securities returned -0.25 percent, exceeding Treasuries by 38 basis points after adjusting for duration. The credit sector, represented by the Lehman Credit Index, returned -1.00 percent, outperforming Treasuries for the month by 41 basis points. November began with a strong Employment Report, indicating that the economy created 337,000 new jobs in October, far exceeding the consensus estimate of 160,000 jobs; however, the unemployment rate edged up to 5.5%. On the inflation front, consumer prices rose 0.6% in October. A 4.2% increase in energy prices drove the annual inflation rate up to 3 .2%. Excluding food and energy items, core inflation increased 0.2%, placing the annual rate of inflation for core Mr. Mike White, CPA Orange County Sanitation District December 6, 2004 Page2 consumer prices at 2.0%. Consumer confidence dropped unexpectedly in November, pulled down by considerably weaker expectations for the next six months. Surveyed consumers believed that the employment situation will be worse, income trends will deteriorate and business conditions will falter. Lastly, the Bureau of Economic Analysis revised third quarter GDP growth up to 3.9% from 3.7%. The real trade balance was revised lower, while consumer spending and business equipment investment were revised higher. Treasury yield changes during the month of November are summarized as follows: • 3-month bills: +33 basis points to 2.22% • 6-month bills: +31 basis points to 2.43% • 2-year notes: +45 basis points to 3.00% • 5-year notes: +41 basis points to 3.69% • 10-year notes: +33 basis points to 4.35% • 30-year notes: +21 basis points to 5.00% Performance Attribution: Long-Term Portfolio The Long-Term portfolio that PIMCO manages on behalf of Orange County Sanitation District returned -0.45% on a total return basis for the month of November, outperforming the Merrill Lynch 1-5 year Government Corporate Index by 24 basis points. The following points summarize returns for the month ended November 30: • The Long-Term portfolio outperformed the benchmark by 24 basis points for the month. • For the twelve-month period, the Long-Term portfolio returned 2.61%, outperforming the benchmark by 4 7 basis points. • Portfolio duration, below the index, was positive for monthly performance as interest rates increased during the month. • Yield curve positioning similar to that of the index was neutral for performance. • An underweight exposure to corporates was negative for performance, as corporates outperformed Treasuries on a duration-adjusted basis. • Exposure to mortgage-backed securities was positive for relative performance as the sector outperformed Treasuries on a duration-adjusted basis. • Substituting Treasury Inflation Protected Securities for nominal Treasuries was positive for performance as short and intermediate TIPS outperformed their nominal counterparts during the month. Mr. Mike White, CPA Orange County Sanitation District Liquid Portfolio December 6, 2004 Page3 The Liquid portfolio that PIMCO manages on behalf of Orange County Sanitation District generated a total return of 0.14% during the month of November, performing in line with the 3- month Treasury Bill Index. The following points summarize returns for the period ending November 30: • The Liquid portfolio performed in line with the benchmark for the month. • For the twelve-month period, the Liquid portfolio returned 1.23%, outperforming the benchmark by 7 basis points. • Use of higher yielding securities such as commercial paper and short-term notes contributed to performance. Outlook and Strategy: The global economy will muddle along over the next several quarters, with neither a boom nor a bust likely to emerge. The U.S., Japan and China will grow faster than Europe. A global excess of supply over demand in labor and product markets, as well as subdued unit labor costs, will restrain inflation. Interest rates in the U.S. will be range-bound within 30-40 basis points, with a bias toward slightly higher rates, given the very low absolute yields. Important aspects of the outlook are: • A Boom Is Not In The Cards ... More business investment will be needed to bolster global demand growth now that fiscal and monetary stimulus is fading. Companies in the U.S. and Japan have ample liquidity to boost investment after repairing their balance sheets over the last several years, but a lack of confidence about future growth and lingering excess capacity will subdue the "animal spirits" of corporate executives. Investment spending and hiring will be more modest than would be expected given such robust corporate profits and cash flow. • ... But Neither Is a Bust -Some growth in investment will be needed just to maintain the capital stock of Corporate America, whose current spending is not keeping pace with depreciation. Growth in consumer spending will remain a net positive, as a modest pickup in hiring will support disposable incomes. Range-bound rates will keep household debt service at manageable levels. • Higher Oil Prices Will Restrain Growth -Higher oil prices will also exert inflationary pressure worldwide. Still, the adverse impact of rising oil prices will be more muted than in the past. Oil prices in real terms are nowhere near levels seen in the late 1970s. Moreover, the world's reliance on oil per unit of output has been considerably reduced since then. The global economy looks stable, with prospects for modest growth, low volatility in financial markets and range-bound interest rates. PIMCO remains concerned, however, about a tilt in the direction of either deflation or inflation. The uncertain pace of investment and hiring could tilt the balance of risks toward deflation. On the other hand, monetary policy remains simulative despite the beginning of Fed tightening. Easy money combined with higher commodity prices and dollar weakness could swing the economy back in the other direction. A prudent approach in Mr. Mike White, CPA December 6, 2004 Page4 Orange County Sanitation District this environment is to stay defensive and well diversified to avoid negative consequences of being on the wrong side of any market dislocation. Key strategies will include: • • • • Tactically Flexible Interest Rate Strategies -Rates are more likely to rise than fall over a secular, or three to five year time frame. We will therefore be wary of extending duration beyond benchmark levels. At the low end of our forecasted interest rate range, we will target duration about 0.5 year below the index and then shift toward a neutral posture should rates move back up. Structural Yield Curve Exposure -While short/intermediate maturities are close to full valuation, we will retain a modest structural emphasis here. Because the short/intermediate portion of the yield curve remains relatively steep, this "bulleted" posture can provide extra yield with less price risk than a "barbell," or mix of short and long term bonds. In addition, longer maturities would be more vulnerable if the economy tilted toward inflation. Retain Current Exposure to Core U.S. Sectors but Do Not Increase Allocations -Tight corporate yield premiums offer too little reward to bear the risk of negative credit events if the economy were to slow. While mortgage-backed bonds offer structural yield advantage and high credit quality, they are fully valued for now as a result of unusually heavy demand from banks, which are taking advantage of mortgages' attractive "carry" in a steep yield curve environment. TIPS as an Out-of-Index Alternative -Better risk/reward trade-offs can be found outside of core sectors. At current break-even inflation levels, real return bonds continue to provide an effective hedge against secular inflation risk. They are also less volatile than nominal bonds in a rising rate environment. We look forward to discussing these and other topics with you in the near future. Best regards, Christine Telish, CF A Vice President John M. Miller, CFA Senior Vice President Orange County Sanitation District for the month ending November 30, 2004 Total Return Account -203 With Accruedlnterest Market Value Book Value Yield to Maturity Short Term Account-603 348,138,333 346,131,159 3.39 With Accrued Interest Market Value Book Value Yield to Maturity 72,954,146 73,000,318 2.32 Without Accrued Lnterest 344,795,020 342,787,846 3.42 Without Accrued Interest 72,748 925 72,795,097 2.33 MONTHLY REPORT ORANGE COUNTY SANITATION DISTRICT INVESTMENT MANAGEMENT PROGRAM PIMCO'S PERFORMANCE MONITORING & REPORTING (for the month ended 30 November 2004) Liquid Operating Monies (603) 15.1.1 PORTFOLIO COST AND MARKET VALUE Current Market Value Estimate: • PIMCO • Mellon Historical Cost: • PIMCO • Mellon 15.1.2 MODIFIED DURATION Of Portfolio: Oflndex: 15.1.3 1 % INTEREST RATE CHANGE Dollar Inmact ( 2ain/loss) of 1 % Chan2e: 15.1.4 REVERSE REPOS % of Portfolio in Reverse Repos: ( see attached schedule) 15.1.5 PORTFOLIO MATURITY % of Portfolio Maturing within 90 days: 15.1.6 PORTFOLIO QUALITY Average Portfolio Credit Oualitv: 15.1.7 SECURITIES BELOW "A" RATING % of Portfolio Below "A": 15.1.8 INVESTMENT POLICY COMPLIANCE "In Conmliance" 15.1.9 PORTFOLIO PERFORMANCE Total Rate of Return(%) by Period: 1 Month: 3 Months: 12 Months: Fiscal Year-to-Date: Commentary • The Liquid portfolio outperformed the benchmark by t basis point for the month, but performed in line with the benchmark fiscal year-to-date. • PIMCO's emphasis on higher yielding securities such as commercial paper and short-term notes contributed to performance. H:ldept1Rn\220\gqgle\FAHR\LIQ0800-04-ll.RPT.doc Page 1 of 1 $72,954,146 $72,954,849 $73,000,318 $73,010,657 0.16 0.20 $116 727 0% 76% "AAA" 0% Yes Portfolio Index 0.15 0.14 0.37 0.40 1.23 1.16 0.60 0.60 MONTHLY REPORT ORANGE COUNTY SANITATION DISTRICT INVESTMENT MANAGEMENT PROGRAM PIMCO'S PERFORMANCE MONITORING & REPORTING (for the month ended 30 November 2004) (. Long-Term Operating Monies (203) 15.1.1 PORTFOLIO COST AND MARKET VALUE Current Market Value Estimate: • PIMCO • Mellon Historical Cost: • PIMCO • Mellon 15.1.2 MODIFIED DURATION Of Portfolio: Oflndex: 15.1.3 1 % INTEREST RATE CHANGE Dollar lnmact (gain/loss) of 1 % Change: 15.1.4 REVERSE REPOS % of Portfolio in Reverse Repos: ( see attached schedule) 15.1.5 PORTFOLIO MATURITY % of Portfolio Maturing within 90 days: 15.1.6 PORTFOLIO QUALITY Average Portfolio Credit Quality: 15.1.7 SECURITIES BELOW "A" RATING % of Portfolio Below "A": 15.1.8 INVESTMENT POLICY COMPLIANCE "In Comoliance" 15.1.9 PORTFOLIO PERFORMANCE Total Rate of Return(%) by Period: 1 Month: 3 Months: 12 Months: Fiscal Year-to-Date: • The Long-Term portfolio outperformed the benchmark by 24 basis points for the month, and by 11 basis points fiscal year-tcKiate. • Portfolio duration, below the index, was positive for monthly perfonnance as interest rates increased during the month. • Yield curve positioning similar to that of the index was neutral for performance. • An underweight exposure to corporates was negative for performance, as corporates outperformed Treasuries on a duration-adjusted basis. • Exposure to mortgage-backed securities was positive for relative performance as the sector outperformed Treasuries on a duration-adjusted basis. Page 1 o/2 $348,138,333 $348,223,192 $346,131,159 $348,135,742 1.99 2.43 $6,927,953 0% 12% AAA 0% No* Portfolio Index -0.45 -0.69 -0.02 -0.24 2.61 2.14 1.56 1.45 • Substituting Treasury Inflation Protected Securities for nominal Treasuries was positive for performance as short and intermediate TIPS outperformed their nominal counterparts during the month. *Compliance Issues: MONTHLY REPORT ORANGE COUNTY SANITATION DISTRICT INVESTMENT MANAGEMENT PROGRAM PIMCO'S PERFORMANCE MONITORING & REPORTING (for the month ended 30 November 2004) 0 Page2of2 (1) $1,600,000 par of United Airlines (UAL) Pass-Through 2001-1-C (Enhanced Equipment Trust Certificate (EETC) -909317BC2), 6.831 % coupon, 3/01/2010 maturity, representing 0.46% of the portfolio holdings on a par basis was purchased on 8/10/2001; and subsequently downgraded by Moody's from A3 to BAl (on 9/18/2001) and S&P from A-to BBB (on 9/20/2001). The security was further downgraded by Moody's fromBAl to BA3 (on 12/21/2001) and by S&P from BBB to BB (on 6/28/02). Following news of the possible bankruptcy filing, the security was further downgraded in August (B3 Moody's, B+ by S&P). On November 29, 2002, S&P further downgraded this issue to B, and shortly thereafter on December 9, 2002, downgraded the issue one notch further to B-. On August 7, 2003, S&P downgraded the issue to CCC+, while Moody's followed suit on August 28, 2003 with a downgrade to CA. Both rating agencies have since withdrawn their ratings (Moody's withdrew in February 2004 and S & P withdrew in June 2004). The District's investment policy requires a minimum rating of A3 by Moody's or A-by S&P, with at least a BBB rating in the event of a split. On November 24, UAL asked an Illinois bankruptcy judge to let it reject its union labor contracts ifit fails by January to extract an additional $725 million of annual savings from its employees. The airline says it needs the additional labor concessions and the ability to drop traditional pensions to secure financing and get out of bankruptcy. The cuts would come atop the $2.5 billion United employees have already made in annual labor concessions. A hearing on the motion is scheduled for January 10, 2005. PIMCO continues to negotiate with United on our holdings and currently leads an ad hoc committee. This has been an extremely complicated effort due to the complex nature ofUnited's bankruptcy. These negotiations have required PIMCO's analysts access to non-public information and therefore sharing them results in parties becoming restricted. In light of this extremely complicated bankruptcy, PIM CO continues to strive to act in the most prudent manner to obtain maximum recovery. Split Rated Securities Still In Compliance: The District's investment policy requires a minimum rating of A3 by Moody's or A-by S&P, with at least a BBB in the event of a split rating. • $1,000,000 par of Ford Motor Credit securities (cusip 345397GV9 maturing 5/15/05), representing 0.29% of the portfolio holdings on a par basis (exposure was reduced in July 2004 as $2.5 million par matured). The securities were downgraded on 10/16/2001 by S&P from A to BBB+, then to BBB on 10/25/02, and then to BBB-on 11/13/03. Moody's downgraded the securities on 1/16/02 fromA2 to A3. • $1,750,000 par of Virginia Electric Power NT securities (cusip 927804EN0), maturing on March 31, 2006, represents 0.50% of the portfolio holdings on a par basis. The security was downgraded on 10/21/2002 by S&P from A-to BBB+, but continues to carry a Moody's rating of A3. H:ldeptlfin1220\geggielFAHRIL-T0800-04-l J.RPT.doc Asset Summary by Asset Type with Sectors LIQUID OPER-PlMCO -O_C_S_F_0_7_5_1_1_1_0_2'---------------11/30/2004 ---~ Description CASH & CASH EQUIVALENTS U.S. DOLLAR PENDING TRADES INTEREST CERTIFICATES OF DEPOSIT -DOMESTIC FED HM LOAN BNK -LESS THAN 1 YR FEDERAL HOME LOAN MORTGAGE -LESS THAN 1 FNMA ISSUES -LESS THAN 1 YR MUTUAL FUNDS REPURCHASE AGREEMENTS TREASURY BILLS -LESS THAN 1 YR U.S. DOLLAR CASH & CASH EQUIVALENTS FIXED INCOME SECURITIES U.S. DOLLAR BANKING & FINANCE Cost Shares Par Base -154,002.33 216,629.09 4,400,000.000 4,400,000.00 13,600,000.000 13,532,370.01 14,600,000.000 14,517,643.45 12,600,000.000 12,538,965.61 131,167.290 131,167.29 13,000,000.000 13,000,000.00 9,000,000.000 8,906,337.09 67,331,167.290 67,089,110.21 67,331,167.290 67,089,110.21 5,800,000.000 5,921,546.50 Report ID: GL8251' .- Base Currency: USD Alternate Base Currency: Exchange Rate: _J Market Value Base -154,002.33 216,629.09 4,400,000.00 13,532,370.01 14,517,643.45 12,538,965.61 131,167.29 13,000,000.00 8,906,337.09 67,089,110.21 67,089,110.21 5,865,738.50 Status: FINAL ---- % of Total -0.21% 0.30% 6.03% 18.55% 19.90% 17.19% 0.18% 17.82% 12.21% 91.96% 91.96% 8.04% Net Unrealized Gain/Loss Base 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -55,808.00 TOTAL ASSETS -BASE: 73,131,167_._290 73,010,656.71 72,954,848.71 100.00% -55,808.00 1 Workbench LONG TERM OPER-PIMCO -OCSF07522202 Description CASH & CASH EQUIVALENTS U.S. DOLLAR PENDING TRADES INTEREST COMMERCIAL PAPER -DISCOUNT FED HM LOAN BNK -LESS THAN 1 YR FEDERAL HOME LOAN MORTGAGE -LESS THAN 1 FNMA ISSUES -LESS THAN 1 YR MUTUAL FUNDS TREASURY BILLS -LESS THAN 1 YR U.S. DOLLAR CASH & CASH EQUIVALENTS FIXED INCOME SECURITIES U.S. DOLLAR ABS -AIRPLANE RECEIVABLES ABS -HOME EQUITY BANKING & FINANCE COLLATERALIZED MORTGAGE OBLIGATION FHLMC MULTICLASS FHLMCPOOLS FNMA POOLS FNMAREMIC GNMA MULTI FAMILY POOLS GNMA SINGLE FAMILY POOLS INFLATION INDEXED SECURITIES INSURANCE PVT PLACEMENTS -MORE THN 1 YR U.S. AGENCIES U.S. GOVERNMENTS UTILITY -ELECTRIC U.S. DOLLAR Asset Summary by Asset Type with Sectors _ __,1=--=l c...&..../ 3Q/ 2004 Cost Shares Par Base -26,348, 165.24 3,409,116.23 7,100,000.000 7,051,720.00 600,000.000 599,967.83 3,500,000.000 3,474,512.22 6,400,000.000 6,365,477.66 1,217,743.410 1,217,743.41 16,000,000.000 15,843,937.78 34,817,743.410 11,614,309.89 34,817,743.410 11,614,309.89 1,600,000.000 1,600,000.00 683,565.240 683,565.24 10,000,000.000 9,929,273.50 1,920,261.520 1,920,261.52 839,278.290 840,172.39 60,279.950 58,810.61 52,611,183.470 53,453,917.37 436,944.990 445,683.89 3,619,062.430 3,606,957.26 588,274.660 616,784.43 35,407,700.000 35,424,619.79 1,600,000.000 1,594,032.00 752,000.000 826,199.84 43,901,715.270 44,862,502.30 176,285,923.500 178,914,812.43 1,750,000.000 1,743,840.00 332,056,189.320 336,521,432.57 1 Report ID: GL8251 Base Currency: USD Alternate Base Currency: Exchange Rate: ___ S~t=a=t=us:FINAL ___ _ Market Value Base -26,348,165.24 3,409,116.23 7,051,720.00 599,967.83 3,474,512.22 6,365,477.66 1,217,743.41 15,843,937.78 11,614,309.89 11,614,309.89 84,000.00 683,671.88 10,000,121.00 2,033,364.92 837,532.59 61,893.52 53,360,737.50 437,280.17 3,649,704.61 622,715.45 38,742,294.10 1,633,488.00 826,199.84 44,645,437.10 177,186,856.19 1,803,585.00 336,608,881.87 % of Total -7.57% 0.98% 2.03% 0.17% 1.00% 1.83% 0.35% 4.55% 3.34% 3.34% 0.02% 0.20% 2.87% 0.58% 0.24% 0.02% 15.32"/o 0.13% 1.05% 0.18% 11.13% 0.47% 0.24% 12.82% 50.88% 0.52"/o 96.66% Net Unrealized Gain/Loss Base 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -1,516,000.00 106.64 70,847.50 113,103.40 -2,639.80 3,082.91 -93,179.87 -8,403.72 42,747.35 5,931.02 3,317,674.31 39,456.00 0.00 -217 ,065.20 -1, 727,956.24 59,745.00 87,449.30 Workbench LONG TERM OPER-PIMCO -OCSF07522202 Description FIXED INCOME SECURITIES TOTAL ASSETS -BASE: Asset Summary by Asset Type with Sectors 11/30/2004 Cost Shares Par Base 332,056,189.320 336,521,432.57 366,873,932.730 348,135,742.46 2 Report1D:GL8251• ---, Base Currency: USD Alternate Base Currency: Exchange Rate: Status: FINAL Net Unrealized Market Value % of Gain/Loss Base Total Base 336,608,881.87 96.66% 87,449.30 348,223,191.76 100.00% 87,449.30 Workbench YLOANAL YIELD ANALYSIS PAGE 1 OCSF07511102 2004/11/30 RUN DATE 12/06/04 DISTRICT: LIQUID OPERATING RUN TIME 09,57.19 -= -- PAR VALUE YTM AT CURRENT MOODY MARKET TOTAL COST/ I TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE I TOTAL ------------·----------------·--~----------·----·------------------------------------------------ CASH & CASH EQUIVALENTS 1,600,000.00 BANK OF AMERICAN NA INSTL C/D .ooo 2,260 100.000 1,600,000.00 2.38 06050GGS3 2,2601 03/09/2005 DO 11/16/04 1,600,000.00 2.20 5,ooo,ooo.oo FEDERAL HOME LN BK CONS DISC N .ooo .ooo P-1 99,551 4,977,541.67 7,42 313384S59 MAT 12/08/2004 A-1+ 4,977,541.67 6.83 1,000,000.00 FEDERAL HOME LN BK CONS DISC N .000 .ooo P-1 99,521 995,215.00 1.48 313385AW6 MAT 01/21/2005 A-1+ 995,215.00 1.37 1,600,000.00 FEDERAL HOME LN BK CONS DISC .ooo .ooo P-1 99.599 1,593,586.67 2,37 313385BJ4 MAT 02/02/2005 A-1+ 1,593,586.67 2.19 6,000,000.00 FEDERAL HOME LN BK CONS DISC .ooo .000 P-1 99,434 5,966,026.67 8.90 313385CA2 MAT 02/18/2005 A-1+ 5,966,026.67 8,18 6,100,000.00 FEDERAL HOME LN MTG CORP DISC .ooo .ooo P-1 99,545 6,072,251.78 9.05 313396T37 MAT 12/14/2004 A-1+ 6,072,251.78 8.33 6,000,000.00 FEDERAL HOME LN MTG CORP DISC .ooo .ooo P-1 99,457 5,967,391.67 8.90 313397BQ3 MAT 02/08/2005 A-1+ 5,967,391.67 8.19 2,500,000.00 FEDERAL HOME LN MTG CORP DISC .ooo .ooo P-1 99,120 2,478,000.00 3.69 313397DY4 MAT 04/05/2005 A-1+ 2,478,000.00 3.40 6,000,000.00 FEDERAL NATL MTG ASSN DISCOUNT .ooo .ooo P-1 99,570 5,974,216.67 8,91 313588R64 MAT 12/01/2004 A-1+ 5,974,216.67 8.20 1,000,000.00 FEDERAL NATL MTG ASSN DISCOUNT .ooo .000 P-1 99,579 995,787,78 1.48 313589BJ1 MAT 02/02/2005 A-1+ 995,787.78 1.37 4,000,000.00 FEDERAL NATL MTG ASSN DISCOUNT .ooo .000 P-1 99,442 3,977,675 .83 5,93 313589BY8 MAT 02/16/2005 A-1+ 3,977,675.83 5.46 1,600,000.00 FEDERAL NATL MTG ASSN DISCONT .ooo .ooo P-1 99,455 1,591,285.33 2.37 313589CF8 MAT 02/23/2005 A-1+ 1,591,285.33 2,18 1,400,000.00 HSBC BANK USA INSTL C/D .000 2,335 100.000 1,400,000.00 2.08 40428AGZ4 2,3351 03/23/2005 DD 11/23/04 1,400,000.00 1.92 9,000,000.00 US TREASURY BILL .000 .ooo P-1 98,959 8,906,337.09 13.28 912795SL6 DUE 04/28/2005 DD 10/28/04 A-1+ 8,906,337.09 12.22 YLDANAL YIELD ANALYSIS PAGE 2 OCSF07511102 2004/11/30 RUN DATE 12/06/04 DISTRICTI LIQUID OPERATING RUN TIME 09.57.19 ---- PAR VALUE YTK AT CURRENT MOODY KARKET TOTAL COST/ I TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE I TOTAL -·------------------------------------------------------------------------------------------------------ 1,100,000.00 WELLS FARGO BK NA INSTL C/D .ooo 1,900 100.000 1,100,000.00 1.64 9497PlJEO 1,9001 12/15/2004 DD 10/14/04 1,100,000.00 1.51 300,000,00 WELLS FARGO BANI< NA INSTL C/D .ooo 1.860 100,000 300,000.00 .44 9497PlLQO 1,8601 12/06/2004 DD 10/08/04 300,000.00 .41 13,000,000.00 CREDIT SUISSE FB REPO .ooo 1,900 100.000 13,000,000.00 19.39 99428K085 Ol,9001 12/01/2004 DD 11/30/04 13,000,000,00 17 ,83 131,167.29 DREYFUS TREASURY CASH KGKT .ooo 1.734 AAA 100,000 131,167,29 ,19 996085247 AAA 131,167.29 ,18 --------------------------·------------------TOTAL CASH & CASH EQUIVALENTS .ooo ,236 67,026,483,45 100.00 67,026,483,45 91.97 FIXED INCOME SECURITIES 3,000,000.00 ASSOCIATES CORP NORTH AMER SR .000 6,498 AAl 101.953 3,112,350.00 52.14 046003FF1 6,6251 06/15/2005 DD 06/09/95 AA-3,058,590.00 4.20 1so,ooo.oo BANKAMERICA CORP KTN SR 00150 .000 6.990 AA2 101.937 153,652.50 2.60 06605LGFO 7.1251 05/12/2005 DD 05/12/95 A+ 152,905,50 ,21 2,500,000.00 GENERAL ELEC CAP MTN tTR 00526 .ooo 2,004 AAA 100.046 2,502,460.00 42 ,63 36962GXX7 VAR RT 03/15/2005 DD 03/20/02 AAA 2,501,150.00 3.43 150,000.00 NORWEST FINL INC NT .ooo 7,446 AAl 102,062 153,084,00 2,60 669383DX6 7,6001 05/03/2005 DD 05/03/00 AA-153,093.00 .21 -----------------------·------------------- TOTAL FIXED INCOME SECURITIES .ooo 5.259 5,921,546.50 100.00 5,865,738,50 8.05 ----------------------------------------------- TOTAL .000 .379 72,948,029,95 100.00 72,892,221.95 100.00 ----------- YLDANAL YIELD ANALYSIS PAGE 3 OCSF07522202 2004/11/30 RUN DATE 12/06/04 DISTRICT: LONG-TERM OPERATING RUN TIME 09 .57.19 PAR VALUE YTM AT CURRENT MOODY MARKET TOTAL COST/ I TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE I TOTAL ---~------------·---·------------·------------------------------------------------------------------ CASH & CASH EQUIVALENTS 600,000.00 FEDERAL HOME LN BK CONS DISC N .ooo .ooo P-1 99 ,995 599,967.83 1.73 313384R68 MAT 12/01/2004 A-1+ 599,967.83 ,16 3,S00,000,00 FEDERAL HOME LN MTG CORP DISC .ooo .ooo P-1 99,272 3,474,512.22 10.05 313397DA6 MAT 03/14/2005 A-1+ 3,474,512.22 .94 400,000.00 FEDERAL NATL MTG ASSN DISCOUNT .ooo .000 P-1 99,731 398,922,50 1.15 313589AG8 MAT 01/07/2005 A-1+ 398,922.50 ,11 2,900,000.00 FEDERAL NATL MTG ASSN DISCOUNT .ooo .ooo P-1 99,450 2,884,047.99 8.34 313589BY8 MAT 02/16/2005 A-1+ 2,884,047.99 .78 3,100,000.00 FEDERAL NATL MTG ASSN DISCONT .ooo .ooo P-1 99,436 3,082,507.17 8.92 313589CF8 MAT 02/23/2005 A-1+ 3,082,507.17 .83 1,100,000.00 GENERAL ELEC CAP DISC .ooo 2.054 P-1 99,320 7,051,720.00 20 .40 36959BP43 02/04/2005 7,051,720.00 1.90 16,000,000.00 US TREASURY BILL .ooo .ooo P-1 99,025 15,843,937.78 45.85 912795SG7 DUE 03/31/2005 DD 09/30/2004 A-1+ 15,843,937.78 4 .27 1,217,743.41 DREYFUS TREASURY CASH MGMT .ooo 1.734 AAA 100.000 1,217,743,41 3.52 996085247 AAA 1,217,743,41 .33 .oo BSDT-LATE MONEY DEPOSIT ACCT .ooo .ooo .000 .oo .oo 996087094 .oo .oo ---------------------------------------TOTAL CASH & CASH EQUIVALENTS .ooo ,423 34,553,358.90 100.00 34,553,358.90 9,32 FIXED INCOME SECURITIES 752,000.00 AIG SUNAMERICA GLOBAL REGS .ooo 5.325 109,867 826,199.84 ,24 U00907AAO 5,8501 08/01/2008 DD 08/08/01 826,199.84 .22 22,000,000.00 COMMIT TO PUR FNMA SF MTG .ooo 4,936 AAA 101,297 22,316,250.00 6 .62 01F0504C7 5,0001 12/01/2019 DD 12/01/04 AAA 22,285,313.60 6 .00 4,000,000.00 COMMIT TO PUR FNMA SF MTG .ooo 5,440 AAA 101.109 4,053,242.18 1.20 OlF0526Cl 5,5001 12/01/2034 DD 12/01/04 AAA 4,044,375.20 1.09 YLDANAL YIELD ANALYSIS PAGE 4 OCSF07522202 2004/11/30 RUN DATE 12/06/04 DISTRICT! LONG-TERM OPERATING RUN TIME 09.57.19 -----==- PAR VALUE YTM AT CURRENT MOODY MARKET TOTAL COST/ % TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE % TOTAL -----------·-·------~-----------·-----------·---------------·--------·------~----------- 1,500,000.00 CIT GROUP INC NEW SR NT .ooo 2.309 A2 100.421 1,501,005.00 .44 125581AF5 VAR RT 09/22/2006 DD 09/23/03 A 1,506,315.00 .41 10,000,000.00 FEDERAL HOME LN MTG CORP MTN .ooo 4.026 AAA 99.343 9,993,100.00 2.95 3128X3WY5 4.000% 09/22/2009 DD 09/22/04 AAA 9,934,310.00 2.68 3,500,000.00 FEDERAL HOME LN BK CONS BDS .000 7.056 AAA 100.975 3,732,225.00 1.04 3133MAUN7 7,125% 02/15/2005 DD 02/08/00 AAA 3,534,111.35 .95 60,279.95 FHLMC GROUP 178-6064 .ooo 3,320 AAA 102.677 58,810.61 .01 31348SWZ3 6,3841 01/01/2028 DD 12/01/97 AAA 61,893.52 .02 11,350,000.00 FEDERAL NATL MTG ASSN DEBS .ooo 5,085 AAA 103,251 11,521,271.50 3.48 31359M.JX2 5,250% 06/15/2006 DD 06/22/01 AAA 11,719,029,36 3.16 670,639,63 FNMA POOL 10254510 .ooo 4,919 AAA 101.641 690,758.81 .20 31371KVB4 5,0001 11/01/2017 DD 10/01/02 AAA 681,642,34 ,18 144,232.89 FNMA POOL 10254631 .ooo 4,919 AAA 101.641 148,559.88 .04 31371KY47 5,0001 02/01/2018 DD 01/01/03 AAA 146,599,22 ,04 128,626,11 FNMA POOL 10254760 .ooo 4,921 AAA 101.609 132,484.88 .03 31371K5V9 5,000% 06/01/2018 DD 05/01/03 AAA 130,696.19 .04 58,348,47 FNMA POOL 10254866 .ooo 4,921 AAA 101.609 60,098,93 .01 31371LCB3 5,0001 09/01/2018 DD 08/01/03 AAA 59,287,52 .02 309,768.53 FNMA POOL 10254953 .ooo 4,924 AAA 101.547 313,737,45 .09 31371LE21 5,0001 11/01/2018 DD 10/01/03 AAA 314,560.28 .08 839,060.53 FNMA POOL 10254987 .ooo 4.932 AAA 101.384 849,810.99 ,25 31371LF46 5,000% 12/01/2018 DD 11/01/03 AAA 850,676,74 ,23 148,649 ,48 FNMA POOL 10323980 .ooo 5,710 AAA 105,086 155,199.35 .04 31374T2MO 6,0001 04/01/2014 DD 09/01/99 AAA 156,209.70 .04 24,453.04 FNMA POOL 10357328 .ooo 4,927 AAA 101.474 25,186.63 .oo 31376.J4M8 5,0001 01/01/2018 DD 01/01/03 AAA 24,813,46 .01 1,285,831.39 FNMA POOL f0357430 .000 4,921 AAA 101. 609 1,300,296.99 .38 31376KA71 5.0001 09/01/2018 DD 09/01/03 AAA 1,306,525,30 .35 41,861.30 FNMA POOL 10456482 .ooo 5.710 AAA 105.086 43,705.80 .01 31381CCT2 6,0001 02/01/2014 DD 02/01/99 AAA 43,990.34 .01 YLDANAL YIELD ANALYSIS PAGE 5 OCSF07522202 2004/11/30 RUN DATE 12/06/04 DISTRICT: LONG-TERM OPERATING RUN TIME 09.57.19 -- PAR VALUE YTM AT CURRENT MOODY MARKET TOTAL COST/ I TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE I TOTAL -~---------------------------------------------------------------------------------------------- 100,441.22 FNMA POOL 10509649 .ooo 5.710 AAA 105,086 104,866.91 .03 31383QEWO 6.0001 09/01/2014 DD 09/01/99 AAA 105,549.60 .03 115,989.40 FNMA POOL 10535451 .ooo 5. 716 AAA 104,961 121,100.18 .03 31384VZQB 6.0001 06/01/2015 DD 07/01/00 AAA 121,743.56 .03 307,611.11 FNMA POOL 10555363 .000 4.919 AAA 101,641 316,839.43 .09 31385W5Yl 5,0001 04/01/2018 DD 03/01/03 AAA 312,657.87 ,OB 32,033.31 FNMA POOL 10555453 .ooo 4,919 AAA 101.641 32,443.74 .oo 31385XBW6 5,0001 05/01/2018 DD 04/01/03 AAA 32,558.86 .01 255,698.09 FNMA POOL 10555545 .ooo 4.919 AAA 101.641 263,369.05 .07 31385XES2 5.0001 06/01/2018 DD 05/01/03 AAA 259,893.15 .01 886,007.21 FNMA POOL 10555621 .ooo 4.932 AAA 101,384 895,974.79 ,26 31385XG68 5.0001 07/01/2018 DD 06/01/03 AAA 898,273.37 ,24 472,873.20 FNMA POOL 10681309 .ooo 4 .919 AAA 101.641 487,059.39 ,14 31391Y3S4 5,0001 02/01/2018 DD 02/01/03 AAA 480,631.30 ,13 57,757.94 FNMA POOL 10681334 .ooo 4.919 AAA 101.641 59,490.68 .01 31391Y4Tl 5.0001 02/01/2018 DD 01/01/03 AAA 58,705.53 .02 436,944.99 FNMA GTD REMIC P/T 02-76 PD .ooo 4.996 AAA 100,077 445,683.89 .12 31392FKF3 5.0001 08/25/2022 DD 10/01/02 AAA 437,280.17 .12 309,055.19 FNMA POOL 10684908 .000 4,919 AAA 101.641 313,014.97 .09 31400D3Rl 5,0001 06/01/2018 DD 05/01/03 AAA 314,125.64 .08 170,532.63 FNMA POOL 10685200 .ooo 4,919 AAA 101,641 172,717.60 .05 31400EGB7 5.0001 03/01/2018 DD 03/01/03 AAA 173,330.44 .os 29,499.02 FNMA POOL 10685665 .000 4,919 AAA 101.641 30,383.99 .oo 31400EW22 5,0001 02/01/2018 DD 02/01/03 AAA 29,982.99 .01 258,290.12 FNMA POOL 10686318 .ooo 4,919 AAA 101.641 266,038.83 .07 31400FPB7 5,0001 03/01/2018 DD 03/01/03 AAA 262,527.71 .07 102,025.74 FNMA POOL 10688739 .ooo 4,921 AAA 101,609 105,086.51 .03 31400JEL9 5.0001 06/01/2018 DD 06/01/03 AAA 103,667.72 .03 83,790.18 FNMA POOL 10689859 .ooo 4.921 AAA 101,609 84,863.74 .02 31400KMG8 5.0001 05/01/2018 DD 05/01/03 AAA 85,138.68 .02 YLDANAL YIELD ANALYSIS PAGE 6 OCSF07522202 2004/11/30 RUN DATE : 12/06/04 DISTRICT: LONG-TERM OPERATING RUN TIME I 09.57.19 = ------------- PAR VALUE YTM AT CURRENT MOODY MARKET TOTAL COST/ I TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE I TOTAL -----·------------------------~----------------------------------------------------------------------- 571,879.31 FNMA POOL t0693834 .ooo 4.919 AAA 101.641 589,035.68 .17 31400PY74 5.0001 03/01/2018 DD 03/01/03 AAA 581,261.73 .16 204,404.45 FNMA POOL t0695852 .ooo 4 .919 AAA 101.641 210,536.58 .06 31400SBVO 5.0001 05/01/2018 DD 05/01/03 AAA 207,757.97 .06 677,918.77 FNMA POOL t0695889 .ooo 4.921 AAA 101.609 698,256.35 .20 31400SC23 5.0001 05/01/2018 DD 05/01/03 AAA 688,829.06 .19 21,496.35 FNMA POOL J0697026 .ooo 4.919 AAA 101.641 22,141,26 .oo 31400TLF2 5.0001 05/01/2018 DD 04/01/03 AAA 21,849.03 ,01 206,067.58 FNMA POOL t0702210 .ooo 4.932 AAA 101,384 212,249.60 .06 31401ADP9 5.0001 05/01/2018 DD 05/01/03 AAA 208,920.44 .06 126,494.17 FNMA POOL t0702328 .ooo 4.919 AAA 101.641 128,114,87 .03 31401ABD2 5,0001 05/01/2018 DD 04/01/03 AAA 128,569.47 .03 258,850.56 FNMA POOL #0709148 .ooo 4,921 AAA 101,609 266,616.08 .01 31401HZM7 5.0001 06/01/2018 DD 06/01/03 AAA 263,016.45 .01 582,179.80 FNMA POOL #0709360 .000 4.921 AAA 101.609 589,638.99 .17 31401JB56 5.000% 07/01/2018 DD 06/01/03 AAA 591,549.29 .16 101,131.22 FNMA POOL t0709826 .ooo 4.921 AAA 101,609 102,426,96 ,03 31401JSP4 5.000% 06/01/2018 DD 06/01/03 AAA 102,758.81 .03 210,736.05 FNMA POOL #0709917 .ooo 4.921 AAA 101.609 213,436,10 .06 31401JVJ4 5.000% 06/01/2018 DD 06/01/03 AAA 214,127.59 .06 18,049.83 FNMA POOL t0709963 ,000 4.932 AAA 101.384 18,281.10 .oo 31401JWYO 5.0001 06/01/2018 DD 06/01/03 AAA 18,299.72 .oo 556,777.49 FNMA POOL #0710235 .ooo 4.921 AAA 101.609 573,480.83 .16 31401KBC8 5.0001 06/01/2018 DD 06/01/03 AAA 565,738.16 ,15 15,229.86 FNMA POOL t0713344 .ooo 4.921 AAA 101.609 15,686.75 .oo 31401NP52 5.0001 06/01/2018 DD 06/01/03 AAA 15,474,97 .oo 242,621.09 FNMA POOL t0713365 .000 4,921 AAA 101.609 245,729.67 .07 31401HQS1 5.0001 07/01/2018 DD 07/01/03 AAA 246,525.79 .07 695,706.76 FNMA POOL t0720319 .000 4,921 AAA 101.609 704,620,50 .21 31401WG45 5,0001 07/01/2018 DD 07/01/03 AAA 706,903.33 .19 YLDANAL YIELD ANALYSIS PAGE 7 OCSF07522202 2004/11/30 RUN DATE 12/06/04 DISTRICT: LONG-TERM OPERATING RUN TIME : 09.57.19 ======z:::.== PAR VALUE YTM AT CURRENT MOODY MARRET TOTAL COST/ % TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE % TOTAL .----------------------------------------------·-------------------------------------------- 1,997 1 621. 13 FNMA POOL 10720369 .000 4.932 AAA 101.384 2,057,549.76 .60 31401WJBO 5.000% 06/01/2018 DD 06/01/03 AAA 2,025,276.82 .55 280,001.23 FNMA POOL 10721629 .ooo 4.921 AAA 101.609 288,401.28 .00 31401XVW4 5.000% 07/01/2018 DD 06/01/03 AAA 284,507.51 .00 231,331.15 FNMA POOL 10723487 .ooo 4.921 AAA 101.609 233,933.63 .06 31402AXQ4 5.000% 06/01/2018 DD 06/01/03 AAA 235,054.15 .06 377,606.92 FNMA POOL 10729601 .000 4.921 AAA 101.609 382,445.01 .11 31402BRW3 5.000% 07/01/2018 DD 07/01/03 AAA 383,684.05 .10 33,074.76 FNMA POOL 10732873 .ooo 4.921 AAA 101.609 33,498.51 .oo 31402MFN5 5.000% 11/01/2018 DD 10/01/03 AAA 33,607.06 .01 601,112.70 FNMA POOL 10737130 .ooo 4.921 AAA 101.609 608,814.46 .18 31402S4P9 5.000% 10/01/2018 DD 10/01/03 AAA 610,786.89 .16 509,373.22 FNMA POOL 10738211 .000 4.932 AAA 101.384 515,899.58 ,15 31402UDQ2 5.000% 10/01/2018 DD 10/01/03 AAA 516,425.14 .14 179,137.86 FNMA POOL 10738487 .ooo 4.924 AAA 101.547 181,433.06 ,05 31402UNC2 5.000% 10/01/2018 DD 10/01/03 AAA 181,908.91 .os 668,098.06 FNMA POOL 10740471 .ooo 4.932 AAA 101.384 676,658.05 .20 31402WT40 5.000% 10/01/2018 DD 10/01/03 AAA 677,347.42 .18 732,173.27 FNMA POOL 10740748 .000 4.921 AAA 101.609 741,554.23 .22 31402W5B7 5.0001 10/01/2018 DD 11/01/03 AAA 743,956.72 .20 35,983.50 FNMA POOL 10743868 .000 4.932 AAA 101.384 36,444.53 .01 31403BMR1 5.0001 11/01/2018 DD 10/01/03 AAA 36,481.67 .01 951,079.13 FNMA POOL 10744008 .ooo 4.921 AAA 101.609 963,264.83 .28 31403BR54 5.0001 07/01/2018 DD 09/01/03 AAA 966,385.61 ,26 148,492.34 FNMA POOL 10744316 .000 4.932 AAA 101.384 150,394.90 ,04 31403B3Z4 5.0001 09/01/2018 DD 09/01/03 AAA 150,548.11 .04 324,958.21 FNMA POOL 10747914 .ooo 4.924 AAA 101.547 329,121.74 .09 31403F3XO 5.000% 11/01/2018 DD 11/01/03 AAA 329,984.92 .09 193,516.08 FNMA POOL 10748400 .ooo 4.932 AAA 101.384 195,995.51 .OS 31403GNR9 5.0001 08/01/2018 DD 09/01/03 AAA 196,195.18 .05 YLDANAL YIELD ANALYSIS PAGE 8 OCSF07522202 2004/11/30 RUN DATE 12/06/04 DISTRICT: LONG-TERM OPERATING RUN TIME 09.57.19 ·==- PAR VALUE YTM AT CURRENT MOODY MARKET TOTAL COST/ I TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE I TOTAL ----------·---------------·----------·---------------------------------------------·------------•-------- 909,993.46 FNMA POOL 10748899 .ooo 4.927 AAA 101.474 921,652.75 ,27 31403G7LO 5,0001 12/01/2018 DO 11/01/03 AAA 923,409.53 ,25 2,045,032.15 FNMA POOL 10750377 .ooo 4,927 AAA 101.474 2,071,234.12 .61 31403JUA2 5,0001 11/01/2018 DD 11/01/03 AAA 2,075,182.14 .56 1,827,041.64 FNMA POOL 10750380 .ooo 4.927 AAA 101.474 1,850,450.63 .55 31403JUD6 5,0001 11/01/2018 DD 11/01/03 AAA 1,853,977.79 .so 166,746.20 FNMA POOL 10750445 .ooo 4,927 AAA 101,474 168,882,64 .os 31403JWE2 5,0001 11/01/2018 DD 11/01/03 AAA 169,204.55 .05 771,893.98 FNMA POOL 10751960 .ooo 4.932 AAA 101.384 781,783.88 ,23 31403LMH1 5,0001 12/01/2018 DD 11/01/03 AAA 782,580.32 .21 818,437.58 FNMA POOL 10753425 .ooo 4.928 AAA 101.453 827,900.75 ,24 31403NA23 5.0001 11/01/2018 DD 11/01/03 AAA 830,330.54 .22 584,297.55 FNMA POOL 10755165 .ooo 4,924 AAA 101.547 591,783.87 .17 31403Q6A3 5,000\ 12/01/2018 DD 11/01/03 AAA 593,335.93 ,16 901,562.33 FNMA POOL 10756372 .ooo 4.924 AAA 101,547 911,986.63 .27 31403SJR8 5,0001 11/01/2018 DD 11/01/03 AAA 915,508.42 .25 10,279.10 GNMA POOL 10421389 .ooo 6,134 AAA 105,965 10,788,25 .oo 36206UC23 6.5001 04/15/2026 DD 04/01/96 AAA 10,892.23 .00 19,865.62 GNMA POOL 10449851 .000 6,169 AAA 105,359 20,849.60 .oo 36208FWLO 6.5001 01/15/2028 DD 01/01/98 AAA 20,930.22 .01 36,570.24 GNMA POOL 10466845 .ooo 6.140 AAA 105,871 38,381.61 .01 36209BTA6 6.5001 06/15/2028 DD 06/01/98 AAA 38,717.31 .01 111,094,05 GNMA POOL 10468052 .ooo 6,140 AAA 105.871 116,596.68 .03 36209C5M4 6.5001 07/15/2028 DD 07/01/98 AAA 117,616.48 ,03 146,114,19 GNMA POOL 10476041 .ooo 6.140 AAA 105,871 153,123.12 .04 36209MZE7 6.5001 06/15/2028 DD 06/01/98 AAA 154,692,69 ,04 120,804.66 GNMA POOL 10478626 .000 6.140 AAA 105,871 126,599.51 ,03 36209QVT9 6.5001 01/15/2029 DD 01/01/99 AAA 127,897.21 .03 28,813.62 GNMA POOL 10480598 .ooo 6,140 AAA 105.871 30,195.76 .oo 36209S3F6 6.500\ 10/15/2028 DD 10/01/98 AAA 30,505.29 .01 YLDANAL YIELD ANALYSIS PAGE 9 OCSF07522202 2004/11/30 RUN DATE 12/06/04 DISTRICT: LONG-TERM OPERATING RUN TIME 09.57.19 -= PAR VALUE YTM AT CURRENT MOODY MARKET TOTAL COST/ % TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE % TOTAL -----~ --------------------------------·------·----------------·------------------- 8,404.54 GNMA POOL 10512235 .ooo 6.143 AAA 105.809 8,820.82 .oo 36211GBC6 6.500% 11/15/2029 DD 11/01/99 AAA 8,892.73 .oo 106,328.64 GNMA POOL 10514326 .ooo 6.140 AAA 105.871 111,429.08 .03 36211JLF2 6.500% 07/15/2029 DD 07/01/99 AAA 112,571.29 .03 184,891.72 GNMA II POOL 10080395 .000 3.341 AAA 101.030 183,216.14 .os 36225CNM4 VAR RT 04/20/2030 DD 04/01/00 AAA 186,796.10 .os 1,678,625.24 GNMA II POOL I080408X .ooo 3.341 AAA 101.029 1,661,576.69 .so 36225CN28 6.500% 05/20/2030 DD 05/01/00 AAA 1,695,905.01 .46 1,373,606.82 GNMA II POOL 10080965 .ooo 3.485 AAA 100.432 1,372,748.31 .40 36225DCB8 VAR RT 07/20/2034 DD 07/01/04 AAA 1,379,544.92 .37 3,soo,ooo.oo GOLDMAN SACHS GRP MTN ITR00194 .ooo 2.276 AA3 100.156 3,507,850.50 1.04 38141EJB6 VAR RT 10/27/2006 DD 10/29/03 A+ 3,505,460.00 .94 000,000.00 GOLDMAN SACHS GRP MTN ITR00207 .ooo 2.427 AA3 100.140 aoo,000.00 .23 38141EJQ3 VAR RT 07/23/2009 DD 07/23/04 A+ 901,120.00 .22 3,200,000.00 MORGAN STANLEY NT .ooo 3.910 AA3 99.093 3,149,248.00 .94 61746BALO 3.875% 01/15/2009 DD 01/13/04 A+ 3,170,976.00 .as 683,565.24 RESIDENTIAL ASSET 03-RSll AIIB .ooo 2.510 AAA 100.016 683,565.24 .20 760985K83 VAR RT 12/25/2033 DD 12/30/03 AAA 683,671.88 .18 2,985,923.50 SBA GTD DEV PARTN 2001-20C 1 .ooo 5.900 AAA 107.465 2,985,923.50 .95 83162CLJO 6.340% 03/01/2021 AAA 3,208,822.69 .86 1,920,261.52 SBA GTD PARTN CTFS SBIC-PS 01 .ooo 6.271 AAA 105.890 1,920,261.52 .60 831641DD4 6.6401 02/10/2011 DD 02/21/01 NR 2,033,364.92 .ss 1,600,000.00 UNITED AIRLS PASSTBRU 01-1 C .ooo 130.114 WR 5.250 1,600,000.00 .02 909317BC2 6.831% 03/01/2010 DD 08/22/01 A-84,000.00 .02 20,000,000.00 US TREASURY NOTES .ooo 5.853 AAA 106.781 22,620,312.50 6.34 9128272JO 06.250% 02/15/2007 DD 02/15/97 AAA 21,356,300.00 5.75 3,531,120.00 US TREASURY INFLATION INDEX NT .ooo 3,309 AAA 109.563 3,840,621.35 1.14 9128273T7 3,625% 01/15/2008 DD 01/15/98 AAA 3,868,783.35 1.04 15,073,500.00 US TREASURY INFLATION INDEX NT .ooo 3.443 AAA 112.531 16,698,860.11 5.03 9128274YS 3.875% 01/15/2009 DD 01/15/99 AAA 16,962,435.65 4.57 YLDANAL YIELD ANALYSIS PAGE 10 OCSF07522202 2004/11/30 RUN DATE 12/06/04 DISTRICT! LONG-TERM OPERATING RUN TIME 09.57.19 =c:===== PAR VALUE YTM AT CURRENT MOODY MARKET TOTAL COST/ I TYPE SECURITY ID SECURITY DESCRIPTION BOOK YIELD S-P PRICE MARKET VALUE I TOTAL ---------------------·---·--------------------------------------------------~------------ 3,900,000.00 US TREASURY NOTES .ooo 5.588 AAA 102.906 4,288,149.14 1.19 9128276N7 05,7501 11/15/2005 DD 11/15/00 AAA 4,013,353.50 1.08 17,600,000.00 US TREASURY NOTES .ooo 3.393 AAA 99,480 17,405,000.00 5.20 912828BT6 3,3751 12/15/2008 DD 12/15/03 AAA 17,508,480.00 4,72 21,soo,000.00 US TREASURY NOTES .ooo 2.755 AAA 99,810 27,463,468.63 8.15 912828CMO 2,7501 06/30/2006 DD 06/30/04 AAA 27,447,750.00 7.40 49,000,000.00 US TREASURY NOTES .ooo 2,757 AAA 99,750 49,103,927,41 14.52 912828CQ1 2.7501 07/31/2006 DD 07/31/04 AAA 48,877,500.00 13.17 55,300,000.00 US TREASURY NOTES .ooo 2,398 AAA 99,050 55,048,031.25 16.27 912828CU2 2.3751 08/31/2006 DD 08/31/04 AAA 54,774,650.00 14.76 1,750,000.00 VIRGINIA ELEC & PWR 01 SER A .ooo 5,579 A3 103,062 1,743,840.00 .53 927804ENO 5,7501 03/31/2006 DD 03/27/01 BBB+ 1,803,585.00 .49 16,803,080.00 US TREASURY INFLATION INDEX NT 3,817 3.166 AAA 106.594 14,885,138.33 5,32 9128272M3 3,3751 01/15/2007 DD 01/15/97 AAA 17,911,075.10 4,83 1s,soo,ooo.oo FEDERAL NATL MTG ASSN DEBS 5.967 7,056 AAA 100,983 16,154,410.00 4.65 31359MFB1 7,1251 02/15/2005 DD 02/14/00 AAA 15,652,411.50 4,22 839,278.29 FBLMC MIJLTICLASS MTG SER E3 A 6,316 3.686 AAA 99,792 840,172,39 ,24 3133TCE95 VAR RT 08/15/2032 DD 12/01/97 AAA 837,532.59 ,23 514,623,10 GNMA GTD REMIC TR 2000-9 FH 6.320 2,583 AAA 100,709 514,623, 10 ,15 3837H4NX9 VAR RT 02/16/2030 AAA 518,271.78 ,14 216,773.50 GNMA II POOL f080088M 6.705 3.341 AAA 101,019 221,515.43 .06 36225CC20 7,3751 06/20/2027 DD 06/01/97 AAA 218,982.86 .06 165,165.15 GNMA II POOL 10080023 6.992 4,534 AAA 102,004 167,900.69 .05 36225CAZ9 VAR RT 12/20/2026 DD 12/01/96 AAA 168,475.72 .05 2,100,000.00 FEDERAL NATL MTG ASSN DEBS 7,113 5.949 AAA 111,357 2,030,133.00 .69 31359MEY5 6,6251 09/15/2009 DD 09/01/99 AAA 2,338,500.57 .63 1,000,000.00 FORD MOTOR CR CO NT 7.582 6,642 A3 101.625 965,170.00 ,30 345397GV9 6,7501 05/15/2005 DD 05/24/93 BBB-1,016,250.00 ,27 937,092,17 WMP/HUNTOON PAIGE f000-11150 7.684 7,407 AAA 101.250 916,739.70 ,28 302998GE3 7,5001 12/01/2030 DD 10/21/99 AAA 948,802.54 .26 YLDANAL OCSF07522202 DISTRICT: LONG-TERM OPERATING PAR VALUE SECURITY ID SECURITY DESCRIPTION 1,600,000.00 ALLSTATE CORP SR NT 020002AL5 7.875% 05/01/2005 DD 05/01/00 TOTAL FIXED INCOME SECURITIES TOTAL YIELD ANALYSIS 2004/11/30 YTM AT CURRENT MOODY MARKET BOOK YIELD S-P PRICE 7.967 7.714 Al 102.093 A+ .156 4,503 .154 4.449 PAGE RUN DATE RUN TIME TOTAL COST/ MARKET VALUE 1,594,032.00 1,633,488.00 336,521,432.57 336,608,881.87 371,074,791.47 371,162,240.77 11 12/06/04 09.57.19 % TYPE % TOTAL .48 .44 100.00 90.71 100.00 100.00 = - Asset Detail Report ID: GL8013 Base Currency: USD by Currency Alternate Base Currency: ! OCSD-CONSOUDATED · OCSGO00l0000 Exchange Rate: 11/30/2004 Status: FINAL I Description Net Unrealized 1 C Price Cost Market Value % of Gain/Loss Base Shares Par Base Base Total Base U.S. DOLLAR CASH & CASH EQUIVALENTS INTEREST RECEIVABLE 3,625,745.32 3,625,745.32 0.86% 0.00 RECEIVABLE FOR INVESTMENTS 21,326.94 21,326.94 0.01% 0.00 SOLD PAYABLE FOR INVESTMENTS -26,523,494.51 -26,523,494.51 -6.30% 0.00 PURCHASED BANK OF AMERICAN NA INSTL C/D 100.0000 1,600,000.000 1,600,000.00 1,600,000.00 0.38% 0.00 2.260% 03/09/2005 DD ll/16/04SECID:06050GGS3 FEDERAL HOME LN BK CONS DISC 99.9946 600,000.000 599,967.83 599,967.83 0.14% 0.00 NMAT 12/01/2004SEC ID: 313384R68 FEDERAL HOME LN BK CONS DISC 99.5508 5,000,000.000 4,977,541.67 4,977,541.67 1.18% 0.00 NMAT 12/08/2004SEC ID: 313384S59 FEDERAL HOME LN BK CONS DISC 99.5215 1,000,000.000 995,215.00 995,215.00 0.24% 0.00 NMAT 01/21/2005SEC ID: 313385AW6 FEDERAL HOME LN BK CONS 99.5992 1,600,000.000 1,593,586.67 1,593,586.67 0.38% 0.00 DISCMAT 02/02/2005SEC ID: 313385BJ4 FEDERAL HOME LN BK CONS 99.4338 6,000,000.000 5,966,026.67 5,966,026.67 1.42% 0.00 DISCMAT 02/18/2005SEC ID: 313385CA2 FEDERAL HOME LN MTG CORP 99.5451 6,100,000.000 6,072,251.78 6,072,251.78 1.44% 0.00 DISCMAT 12/14/2004SEC ID: 313396T37 FEDERAL HOME LN MTG CORP 99.4565 6,000,000.000 5,967,391.67 5,967,391.67 1.42"/o 0.00 DISCMAT 02/08/2005SEC ID: 313397BQ3 FEDERAL HOME LN MTG CORP 99.2718 3,500,000.000 3,474,512.22 3,474,512.22 0.82% 0.00 DISCMAT 03/ 14/2005SEC ID: 313397DA6 FEDERAL HOME LN MTG CORP 99.1200 2,500,000.000 2,478,000.00 2,478,000.00 0.59% 0.00 DISCMAT 04/05/2005SEC ID: 313397DY4 FEDERAL NATL MTG ASSN 99.5703 6,000,000.000 5,974,216.67 5,974,216.67 1.42% 0.00 DISCOUNTMAT 12/01/2004SEC ID: 313588R64 1 Workbench Asset Detail Report ID: GL8013 Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED-OCSG000l0000 11/30/2004 Status: FINAL -------- Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base FEDERAL NATL MTG ASSN 99.7306 400,000.000 398,922.50 398,922.50 0.09% 0.00 DISCOUNTMAT 01/07 /2005SEC ID: 313589AG8 FEDERAL NATL MTG ASSN 99.5788 1,000,000.000 995,787.78 995,787.78 0.24% 0.00 DISCOUNTMAT 02/02/2005SEC ID:313589BJ1 FEDERAL NATL MTG ASSN 99.4499 6,900,000.000 6,861,723.82 6,861,723.82 1.63% 0.00 DISCOUNTMAT 02/ 16/2005SEC ID:313589BY8 FEDERAL NATL MTG ASSN 99.4553 4,700,000.000 4,673,792.50 4,673,792.50 1.11% 0.00 DISCONTMAT 02/23/2005SEC ID: 313589CF8 GENERAL ELEC CAP 99.3200 7,100,000.000 7,051,720_00 7,051,720.00 1.67% 0.00 DISC02/04/2005SEC ID: 36959HP43 HSBC BANK USA INSTL C/D 2. 100.0000 1,400,000.000 1,400,000.00 1,400,000.00 0.33% 0.00 335% 03/23/2005 DD 11/23/04SEC ID: 40428AGZ4 U S TREASURY BILLDUE 99.0246 16,000,000.000 15,843,937.78 15,843,937.78 3.76% 0.00 03/31/2005 DD 09/30/2004SEC ID: 912795SG7 U S TREASURY BILLDUE 98.9593 9,000,000.000 8,906,337.09 8,906,337.09 2.11% 0.00 04/28/2005 DD 10/28/04SEC ID: 912795SL6 WELLS FARGO BK NA INSTL C/D 1. 100.0000 1,100,000.000 1,100,000.00 1,100,000.00 0.26% 0.00 900% 12/15/2004 DD 10/14/04SECID:9497PlJE0 WELLS FARGO BANK NA INSTL C/D 100.0000 300,000.000 300,000.00 300,000.00 0.07% 0.00 1.860% 12/06/2004 DD 10/08/04SECID:9497P1LQ0 CREDIT SUISSE FB REPO0 1. 900"/o 100.0000 13,000,000.000 13,000,000.00 13,000,000.00 3.09% 0.00 12/01/2004 DD ll/30/04SEC ID: 99428K085 DREYFUS TREASURY CASH 100.0000 1,348,910.700 1,348,910.70 1,348,910.70 0.32% 0.00 MGMTSEC ID: 99608524 7 TOTAL CASH & CASH EQUIVALENTS 102,148,910.700 78,703,420.10 78,703,420.10 18.69% 0.00 FIXED INCOME SECURITIES AIG SUNAMERICA GLOBAL REG S 5. 109.8670 752,000.000 826,199.84 826,199.84 0.20"/o 0 .00 850% 08/01/2008 DD 08/08/01SECID:U00907M0 2 Workbench Asset Detail Report ID: OLB01!3 ·1 Base Currency: USD r by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED • OCSG000lO000 11/30/2004 Status: FINAL Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base COMMIT TO PUR FNMA SF MTG 5. 101.2969 22,000,000.000 22,316,250.00 22,285,313.60 5.29% -30,936.40 000% 12/01/2019 DD 12/01/04SECID:01F0504C7 COMMIT TO PUR FNMA SF MTG 5. 101.1094 4,000,000.000 4,053,242.18 4,044,375.20 0.96% -8,866.98 500% 12/01/2034 DD 12/0l/04SECID:01F0526Cl ALLSTATE CORP SR NTT.875% 102.0930 1,600,000.000 1,594,032.00 1,633,488.00 0.39% 39,456.00 05/01/2005 DD 05/01/00SEC ID: 020002AL5 ASSOCIATES CORP NORTH AMER 101.9530 3,000,000.000 3,112,350.00 3,058,590.00 0.73% -53,760.00 SR6.625% 06/15/2005 DD 06/09/95SECID:046003FF1 BANKAMERICA CORP MTN SR 101.9370 150,000.000 153,652.50 152,905.50 0.04% -747.00 001507.125% 05/12/2005 DD 05/12/95SECID:06605LGF0 CIT GROUP INC NEW SR NTVAR RT 100.4210 1,500,000.000 1,507,005.00 1,506,315.00 0.36% -690.00 09/22/2006 DD 09/23/03SEC ID: 125581AF5 WMP /HUNTOON PAIGE #000-101.2497 937,092.170 916,739.70 948,802.54 0.23% 32,062.84 111507.500"/o 12/01/2030 DD 10/21/99SECID:302998GE3 FEDERAL HOME LN MTG CORP MTN 99.3431 10,000,000.000 9,993,100.00 9,934,310.00 2.36% -58,790.00 4.000% 09/22/2009 DD 09/22/04SECID:3128X3WY5 FEDERAL HOME LN BK CONS BDS7. 100.9746 3,500,000.000 3,732,225.00 3,534,111.35 0.84% -198,113.65 125% 02/15/2005 DD 02/08/00SECID:3133MAUN7 FHLMC MULTICLASS MTG SER E3 99.7920 839,278.290 840,172.39 837,532.59 0.20% -2,639.80 AVAR RT 08/15/2032 DD 12/01/97SECID:3133TCE95 FHLMC GROUP #78-6064 6.384% 102.6768 60,279.950 58,810.61 61,893.52 0.01% 3,082.91 01/01/2028 DD 12/01/97SEC ID: 31348SWZ3 FEDERAL NATL MTG ASSN DEBS6. 111.3572 2,100,000.000 2,030,133.00 2,338,500.57 0.56% 308,367.57 625% 09/15/2009 DD 09/01/99SEC ID: 31359MEY5 FEDERAL NATL MTG ASSN DEBS7. 100.9833 15,500,000.000 16,154,410.00 15,652,411.50 3.72% -501,998.50 125% 02/15/2005 DD 02/14/00SEC ID: 31359MFH1 3 Workbench ...--------- Asset Detail Report ID: GL8013 Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDA TED -OCSG000 10000 11/30/2004 Status: FINAL Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base FEDERAL NATL MTG ASSN DEBS5. 103.2514 11,350,000.000 11,521,271.50 11,719,029.36 2.78% 197,757.86 250% 06/15/2006 DD 06/22/01SECID:31359MJX2 FNMA POOL #0254510 5.000% 101.6406 670,639.630 690,758.81 681,642.34 0.16% -9,116.47 11/01/2017 DD 10/0l/02SEC ID: 31371KVB4 FNMA POOL #0254631 5.000% 101.6406 144,232.890 148,559.88 146,599.22 0.03% -1,960.66 02/01/2018 DD 01/01/03SEC ID: 31371KY47 FNMA POOL #0254760 5.000% 101.6094 128,626.110 132,484.88 130,696.19 0.03% -1,788.69 06/01/2018 DD 05/0l/03SEC ID: 31371K5V9 FNMA POOL #0254866 5.000% 101.6094 58,348.470 60,098.93 59,287.52 0.01% -811.41 09/01/2018 DD 08/01/03SEC ID: 31371LCB3 FNMA POOL #0254953 5.0000/o 101.5469 309,768.530 313,737.45 314,560.28 0.07% 822.83 11/01/2018 DD 10/01/03SEC ID: 31371LE21 FNMA POOL #0254987 5.000% 101.3844 839,060.530 849,810.99 850,676.74 0.20% 865.75 12/01/2018 DD ll/0l/03SEC ID: 31371LF46 FNMA POOL #0323980 6 .0000/o 105.0859 148,649.480 155,199.35 156,209.70 0.04% 1,010.35 04/01/2014 DD 09/01/99SEC ID: 31374T2M0 FNMA POOL #0357328 5.000% 101.4739 24,453.040 25,186.63 24,813.46 0.01% -373.17 01/01/2018 DD 01/0l/03SEC ID: 31376J4M8 FNMA POOL #0357430 5.000% 101.6094 1,285,831.390 1,300,296.99 1,306,525.30 0.31% 6,228.31 09/01/2018 DD 09/01/03SEC ID: 31376KA71 FNMA POOL #0456482 6.000% 105.0859 41,861.300 43,705.80 43,990.34 0.01% 284.54 02/01/2014 DD 02/01/99SEC ID: 31381CCT2 FNMA POOL #0509649 6.000% 105.0859 100,441.220 104,866.91 105,549.60 0.03% 682.69 09/01/2014 DD 09/0l/99SEC ID: 31383QEW0 FNMA POOL #0535451 6.000% 104.9609 115,989.400 121,100.18 121,743.56 0.03% 643.38 06/01/2015 DD 07 /01/00SEC ID: 31384VZQ8 4 Workbench Asset Detail Report ID: GL8013 ·1 Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED-OCSG000l0000 11/30/2004 Status: FINAL -- Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base FNMA POOL #0555363 5.000% 101.6406 307,611.110 316,839.43 312,657.87 0.07% -4,181.56 04/01/2018 DD 03/01/03SEC ID: 31385W5Yl FNMA POOL #0555453 5.000% 101.6406 32,033.310 32,443.74 32,558.86 0.01% 115.12 05/01/2018 DD 04/01/03SEC ID: 31385XBW6 FNMA POOL #0555545 5.000% 101.6406 255,698.090 263,369.05 259,893.15 0.06% -3,475.90 06/01/2018 DD 05/01/03SEC ID: 31385XES2 FNMA POOL #0555621 5.000% 101.3844 886,007.210 895,974.79 898,273.37 0.21% 2,298.58 07/01/2018 DD 06/01/03SEC ID: 31385XG68 FNMA POOL #0681309 5.000% 101.6406 472,873.200 487,059.39 480,631.30 0.11% -6,428.09 02/01/2018 DD 02/01/03SEC ID: 31391Y3S4 FNMA POOL #0681334 5.000% 101.6406 57,757.940 59,490.68 58,705.53 0.01% -785.15 02/01/2018 DD 01/01/03SEC ID: 31391Y4Tl FNMA GTD REMIC P/T 02-76 PD 5. 100.0767 436,944.990 445,683.89 437,280.17 0 .10% -8,403.72 000% 08/25/2022 DD 10/01/02SECID:31392FKF3 FNMA POOL #0684908 5.000% 101.6406 309,055.190 313,014.97 314,125.64 0.07% 1,110.67 06/01/2018 DD 05/01/03SEC ID: 31400D3Rl FNMA POOL #0685200 5.000% 101.6406 170,532.630 172,717.60 173,330.44 0.04% 612.84 03/01/2018 DD 03/01/03SEC ID: 31400EGH7 FNMA POOL #0685665 5.000% 101.6406 29,499.020 30,383.99 29,982.99 0.01% -401.00 02/01/2018 DD 02/01/03SEC ID: 31400EW22 FNMA POOL #0686318 5.000% 101.6406 258,290.120 266,038.83 262,527.71 0.06% -3,511.12 03/01/2018 DD 03/01/03SEC ID: 31400FPB7 FNMA POOL #0688739 5.000% 101.6094 102,025.740 105,086.51 103,667.72 0.02% -1,418.79 06/01/2018 DD 06/01/03SEC ID: 31400JEL9 FNMA POOL #0689859 5.000% 101.6094 83,790.180 84,863.74 85,138.68 0.02% 274.94 05/01/2018 DD 05/01/03SEC ID: 31400KMG8 5 Workbench Asset Detail Report ID: GL8013 Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED-OCSG000l0000 11/30/2004 Status: FINAL -c. Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base FNMA POOL #0693834 5.000% 101.6406 571,879.310 589,035.68 581,261.73 0.14% -7,773.95 03/01/2018 DD 03/01/03SEC ID: 31400PY74 FNMA POOL #0695852 5.000% 101.6406 204,404.450 05/01/2018 DD 05/01/03SEC ID: 210,536.58 207,757.97 0.05% -2,778.61 31400SBV0 FNMA POOL #0695889 5.000% 101.6094 677,918.770 698,256.35 688,829.06 0.16% -9,427.29 05/01/2018 DD 05/01/03SEC ID: 31400SC23 FNMA POOL #0697026 5.000% 101.6406 21,496.350 22,141.26 21,849.03 0.01% -292.23 05/01/2018 DD 04/01/03SEC ID: 31400TLF2 FNMA POOL #0702210 5.000% 101.3844 206,067.580 212,249.60 208,920.44 0.05% -3,329.16 05/01/2018 DD 05/01/03SEC ID: 31401ADP9 FNMA POOL #0702328 5.000% 101.6406 126,494.170 128,114.87 128,569.47 0.03% 454.60 05/01/2018 DD 04/01/03SEC ID: 31401AHD2 FNMA POOL #0709148 5.000% 101.6094 258,850.560 266,616.08 263,016.45 0.06% -3,599.63 06/01/2018 DD 06/01/03SEC ID: 31401HZM7 FNMA POOL #0709360 5.000% 101.6094 582,179.800 589,638.99 591,549.29 0.14% 1,910.30 07/01/2018 DD 06/01/03SEC ID: 31401JB56 FNMA POOL #0709826 5.000% 101.6094 101,131.220 102,426.96 102,758.81 0.02% 331.85 06/01/2018 DD 06/01/03SEC ID: 31401JSP4 FNMA POOL #0709917 5.000% 101.6094 210,736.050 213,436.10 214,127.59 0.05% 691.49 06/01/2018 DD 06/0l/03SEC ID: 31401JVJ4 FNMA POOL #0709963 5.000% 101.3844 18,049.830 18,281.10 18,299.72 0.00% 18.62 06/01/2018 DD 06/01/03SEC ID: 31401JWY0 FNMA POOL #0710235 5.000% 101.6094 556,777.490 573,480.83 565,738.16 0.13% -7,742.67 06/01/2018 DD 06/0l/03SEC ID: 31401KBC8 FNMA POOL #0713344 5.000% 101.6094 15,229.860 15,686.75 15,474.97 0.00% -211.78 06/01/2018 DD 06/01/03SEC ID: 31401NP52 6 Workbench ---- Asset Detail Report ID: GL8013 Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED-OCSG000lO000 11/30/2004 Status: FINAL 0 Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base FNMA POOL #0713365 5.000% 101.6094 242,621.090 245,729.67 246,525.79 0.06% 796.12 07/01/2018 DD 07 /Ol/03SEC ID: 31401NQS1 FNMA POOL #0720319 5.000% 101.6094 695,706.760 704,620.50 706,903.33 0.17% 2,282.83 07/01/2018 DD 07 /Ol/03SEC ID: 31401WG45 FNMA POOL #0720369 5.000% 101.3844 1,997,621.130 2,057,549.76 2,025,276.82 0.48% -32,272.94 06/01/2018 DD 06/01/03SEC ID: 31401WJNO FNMA POOL #0721629 5.000% 101.6094 280,001.230 288,401.28 284,507.51 0.07% -3,893.77 07/01/2018 DD 06/01/03SEC ID: 31401XVW4 FNMA POOL #0723487 5.000% 101.6094 231,331.150 233,933.63 235,054.15 0.06% 1,120.52 06/01/2018 DD 06/0l/03SEC ID: 31402AXQ4 FNMA POOL #0729601 5.000% 101.6094 377,606.920 382,445.01 383,684.05 0.09"/o 1,239.04 07/01/2018 DD 07 /01/03SEC ID: 31402HRW3 FNMA POOL #0732873 5.000% 101.6094 33,074.760 33,498.51 33,607.06 0.01% 108.55 11/01/2018 DD 10/0l/03SEC ID: 31402MFN5 FNMA POOL #0737130 5.000% 101.6094 601,112.700 608,814.46 610,786.89 0.15% 1,972.43 10/01/2018 DD 10/01/03SEC ID: 31402S4P9 FNMA POOL #0738211 5.000% 101.3844 509,373.220 515,899.58 516,425.14 0.12% 525.56 10/01/2018 DD 10/01/03SEC ID: 31402UDQ2 FNMA POOL #0738487 5.000% 101.5469 179,137.860 181,433.06 181,908.91 0.04% 475.85 10/01/2018 DD 10/0l/03SEC ID: 31402UNC2 FNMA POOL #0740471 5.000% 101.3844 668,098.060 676,658.05 677,347.42 0.16% 689.37 10/01/2018 DD 10/0l/03SEC ID: 31402WT40 FNMA POOL #0740748 5.000% 101.6094 732,173.270 741,554.23 743,956.72 0.18% 2,402.49 10/01/2018 DD 11/01/03SEC ID: 31402W5H7 FNMA POOL #0743868 5.000% 101.3844 35,983.500 36,444.53 36,481.67 0.01% 37.14 11/01/2018 DD 10/0l/03SEC ID: 31403BMR1 7 Workbench --· ---__ .,. .. ----GL8013 -i Asset r~tail Report ID: Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED-OCSG000lO000 11/30/2004 Status: FINAL C C Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base FNMA POOL #0744008 5.000% 101.6094 951,079.130 963,264.83 966,385.61 0.23% 3,120.78 07/01/2018 DD 09/0l/03SEC ID: 31403BR54 FNMA POOL #0744316 5.000% 101.3844 148,492.340 150,394.90 150,548.11 0.04% 153.21 09/01/2018 DD 09/0l/03SEC ID: 31403B3Z4 FNMA POOL #0747914 5.000% 101.5469 324,958.210 329,121.74 329,984.92 0.08% 863.18 11/01/2018 DD 11/01/03SEC ID: 31403F3X0 FNMA POOL #0748400 5.000% 101.3844 193,516.080 195,995.51 196,195.18 0.05% 199.67 08/01/2018 DD 09/01/03SEC ID: 31403GNR9 FNMA POOL #0748899 5.000% 101.4743 909,993.460 921,652.75 923,409.53 0.22% 1,756.78 12/01/2018 DD ll/0l/03SEC ID: 314030710 FNMA POOL #0750377 5.000% 101.4743 2,045,032.150 2,071,234.12 2,075,182.14 o.4go1o 3,948.02 11/01/2018 DD 11/0l/03SEC ID: 31403JUA2 FNMA POOL #0750380 5.000% 101.4743 1,827,041.640 1,850,450.63 1,853,977.79 0.44% 3,527.16 11/01/2018 DD 11/01/03SEC ID: 31403JUD6 FNMA POOL #0750445 5.000% 101.4743 166,746.200 168,882.64 169,204.55 0.04% 321.91 11/01/2018 DD ll/01/03SEC ID: 31403JWE2 FNMA POOL #0751960 5.000% 101.3844 771,893.980 781,783.88 782,580.32 0.19% 796.44 12/01/2018 DD ll/01/03SEC ID: 31403LMH1 FNMA POOL #0753425 5.000% 101.4531 818,437.580 827,900.75 830,330.54 0 .20% 2,429.79 11/01/2018 DD 11/0l/03SEC ID: 31403NA23 FNMA POOL #0755165 5.000% 101.5469 584,297.550 591,783.87 593,335.93 0.14% 1,552.06 12/01/2018 DD 11/01/03SEC ID: 31403Q6A3 FNMA POOL #0756372 5.000% 101.5469 901,562.330 911,986.63 915,508.42 0.22% 3,521.79 11/01/2018 DD 11/01/03SEC ID: 31403SJR8 FORD MOTOR CR CO NT6. 750% 101.6250 1,000,000.000 965,170.00 1,016,250.00 0.24% 51,080.00 05/15/2005 DD 05/24/93SEC ID: 345397GV9 8 Workbench Asset Det::-.il Report ID: GL8013 Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED-OCSGOOOlOOOO 11/30/2004 Status: FINAL ---Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base GNMA POOL #0421389 6.500% 105.9648 10,279.100 10,788.25 10,892.23 0.00% 103.98 04/15/2026 DD 04/01/96SEC ID: 36206UC23 GNMA POOL #0449851 6.500% 105.3590 19,865.620 20,849.60 20,930.22 0 .00% 80.62 01/15/2028 DD Ol/Ol/98SEC ID: 36208FWLO GNMA POOL #0466845 6.500% 105.8711 36,570.240 38,381.61 38,717.31 0.01% 335.70 06/15/2028 DD 06/01/98SEC ID: 36209BTA6 GNMA POOL #0468052 6.500% 105.8711 111,094.050 116,596.68 117,616.48 0.03% 1,019.80 07/15/2028 DD 07 /Ol/98SEC ID: 36209C5M4 GNMA POOL #0476041 6.500% 105.8711 146,114.190 153,123.12 154,692.69 0.04% 1,569.57 06/15/2028 DD 06/0l/98SEC ID: 36209MZE7 GNMA POOL #0478626 6.500% 105.8711 120,804.660 126,599.51 127,897.21 0.03% 1,297.70 01/15/2029 DD 01/0l/99SEC ID: 36209QVT9 GNMA POOL #0480598 6.500% 105.8711 28,813.620 30,195.76 30,505.29 0.01% 309.53 10/15/2028 DD 10/01/98SEC ID: 36209S3F6 GNMA POOL #0512235 6.500% 105.8086 8,404.540 8,820.82 8,892.73 0.00% 71.91 11/15/2029 DD ll/01/99SEC ID: 36211GBC6 GNMA POOL #0514326 6.500% 105.8711 106,328.640 111,429.08 112,571.29 0.03% 1,142.21 07/15/2029 DD 07 /01/99SEC ID: 36211JLF2 GNMA II POOL #0080023VAR RT 102.0044 165,165.150 167,900.69 168,475.72 0.04% 575.03 12/20/2026 DD 12/0l/96SEC ID: 36225CAZ9 GNMA II POOL #080088M 7.375% 101.0192 216,773.500 221,515.43 218,982.86 0.05% -2,532.57 06/20/2027 DD 06/01/97SEC ID: 36225CC20 GNMA II POOL #0080395VAR RT 101.0300 184,891.720 183,216.14 186,796.10 0.04% 3,579.96 04/20/2030 DD 04/01/00SEC ID: 36225CNM4 GNMA II POOL #080408X 6.500% 101.0294 1,678,625.240 1,661,576.69 1,695,905.01 0.40% 34,328.32 05/20/2030 DD 05/01/00SEC ID: 36225CN28 9 Workbench --~-- Asset r-__ . --~1 Report ID: GL8013 Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED-OCSGO00l0000 11/30/2004 Status: FINAL - Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base GNMA II POOL #0080965VAR RT 100.4323 1,373,606.820 1,372,748.31 1,379,544.92 0.33% 6,796.61 07/20/2034 DD 07 /01/04SEC ID: 36225DCB8 GENERAL ELEC CAP MTN #TR 100.0460 2,500,000.000 00526VAR RT 03/15/2005 DD 2,502,460.00 2,501,150.00 0.59% -1,310.00 03/20/02SECID:36962GXX:7 GOLDMAN SACHS GRP MTN 100.1560 3,500,000.000 #TR00194VAR RT 10/27/2006 DD 3,507,850.50 3,505,460.00 0.83% -2,390.50 10/29/03SECID:38141EJB6 GOLDMAN SACHS GRP MTN 100.1400 800,000.000 800,000.00 801,120.00 0.19% 1,120.00 #TR00207VAR RT 07/23/2009 DD 07/23/04SECID:38141EJQ3 GNMA GTD REMIC TR 2000-9 100.7090 514,623.100 514,623.10 518,271.78 0.12% 3,648.68 FHVAR RT 02/ 16/2030SEC ID: 3837H4NX9 MORGAN STANLEY NT 3.875% 99.0930 3,200,000.000 3,149,248.00 3,170,976.00 0.75% 21,728.00 01/15/2009 DD Ol/13/04SEC ID: 61746BALO NORWEST FINL INC NTT.600% 102.0620 150,000.000 153,084.00 153,093.00 0.04% 9.00 05/03/2005 DD 05/03/00SEC ID: 669383DX6 RESIDENTIAL ASSET 03-RSl 1 100.0156 683,565.240 683,565.24 683,671.88 0 .16% 106.64 AIIBVAR RT 12/25/2033 DD 12/30/03SECID:760985K83 SBA GTD DEV PARTN 2001-20C 16. 107.4650 2,985,923.500 2,985,923.50 3,208,822.69 0.76% 222,899.19 340% 03/01/2021SEC ID: 83162CWO SBA GTD PARTN CTFS SBIC-PS 01 105.8900 1,920,261.520 1,920,261.52 2,033,364.92 0.48% 113,103.40 6.640% 02/10/2011 DD 02/21/0lSEC ID: 831641DD4 UNITED AIRLS PASSTHRU 01-1 C 6. 5.2500 1,600,000.000 1,600,000.00 84,000.00 0.02"/o -1,516,000.00 831% 03/01/2010 DD 08/22/01SECID:909317BC2 U S TREASURY NOTES06.250% 106.7815 20,000,000.000 22,620,312.50 21,356,300.00 5.07% -1,264,012.50 02/15/2007 DD 02/15/97SEC ID: 9128272JO US TREASURY INFLATION INDEX 106.5940 16,803,080.000 14,885,138.33 17,911,075.10 4.25% 3,025,936.77 NT 3.375% 01/15/2007 DD Ol/15/97SECID:9128272M3 10 Workbench ----·~•M , ... , Asset I.~ ~ .... .i.l PepoTt JD: ('I,8013 Base Currency: USD by Currency Alternate Base Currency: Exchange Rate: OCSD-CONSOLIDATED-OCSGOOOlOOOO 11/30/2004 Status: FINAL Net Unrealized Price Cost Market Value % of Gain/Loss Description Base Shares Par Base Base Total Base US TREASURY INFLATION INDEX NT 109.5625 3,531,120.000 3,840,62 1.35 3,868,783.35 0.92% 28,162.00 3.625% 01/15/2008 DD 01/15/98SECID:9128273T7 US TREASURY INFLATION INDEX NT 112.5315 15,073,500.000 16,698,860.11 16,962,435.65 4.03% 263,575.54 3.875% 01/15/2009 DD 0l/15/99SECID:9128274Y5 U S TREASURY NOTES05. 750% 102.9065 3,900,000.000 4,288,149.14 4,013,353.50 0.95% -274,795.64 11/15/2005 DD 11/15/00SEC ID: 9128276N7 U S TREASURY NOTES 3.375% 99.4800 17,600,000.000 17,405,000.00 17,508,480.00 4.16% 103,480.00 12/15/2008 DD 12/ 15/03SEC ID: 912828BT6 U S TREASURY NOTES 2. 750% 99.8100 27,500,000.000 27,463,468.63 27,447,750.00 6.52% -15,718.63 06/30/2006 DD 06/30/04SEC ID: 912828CM0 U S TREASURY NOTES 2. 750% 99.7500 49,000,000.000 49,103,927.41 48,877,500.00 11.60% -226,427.41 07/31/2006 DD 07 /31/04SEC ID: 912828CQ1 US TREASURY NOTES 2.375% 99.0500 55,300,000.000 55,048,031.25 54,774,650.00 13.01% -273,381.25 08/31/2006 DD 08/31/04SEC ID: 912828CU2 VIRGINIA ELEC & PWR 01 SER AS. 103.0620 1,750,000.000 1,743,840.00 1,803,585.00 0.43% 59,745.00 750% 03/31/2006 DD 03/27/01SECID:927804EN0 TOTAL FIXED INCOME SECURITIES 337,856,189.320 342,442,979.07 342,474,620.37 81.31% 31,641.30 TOTAL ASSETS U.S. DOLLAR 440,005,100.020 421,146,399.17 421,178,040.47 100.00% 31,641.30 TOTAL ASSETS -BASE: 440,005,100.020 421,146,399.17 421,178,040.47 100.00% 31,641.30 11 Workbench OCSD-CONSOUDATED -OCSGOOOlOOOO --- Tran Type Description RECEIPTS AND DISBURSEMENT TRANSACTIONS DISTRIBUTION TO PLAN ADMINISTRATOR U.S. DOLLAR Transaction Detail Reported by Transaction Category 11/1/2004-11/30/2004 Trade D<ate Settle Date Reported Date Price Base Shares/Par Cost Base CW TRAN TO ORANGE COUNTYSEC ID: 11/10/2004 NA9123459OCSF07522202: LONG TERM OPER- 0.000 -15,000,000.00 PIMCO 11/10/2004 PURCHASES B B B B B B B CASH 115 CASH EQUIVALENTS U.S. DOLLAR BANK OF AMERICAN NA INSTL C/D 2.260% 03/09/2005 DD ll/16/04SEC ID: 06050GGS3BROKER: BANC OF AMERICA SEC LLC, SAN FRANCISCOOCSF07511102: LIQUID OPER-PIMCO FEDERAL HOME LN BK CONS DISC N MAT 11/29/2004SEC ID: 313384R43BROKER: LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO FEDERAL HOME LN BK CONS DISC N MAT 12/0l/2004SEC ID: 313384R68BROKER: CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07522202: LONG TERM OPER-PIMCO FEDERAL HOME LN BK CONS DISC MAT 02/02/2005SEC ID: 313385BJ4BROKER: LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PfMCO FEDERAAL HOME LN BK CONS DISC MAT 11/12/2004 11/16/2004 11/12/2004 11/26/2004 11/26/2004 11/26/2004 11/30/2004 11/30/2004 11/30/2004 11/29/2004 11/29/2004 11/29/2004 11/19/2004 02/18/2005SEC ID: 313385CA2BROKER: BANC 11/19/2004 QF AMERICA SEC LLC, SAN FRANCISCOOCSF07511102: LIQUID OPER-11/19/2004 PIMCO FEDERAL HOME LN MTG CORP DISC MAT 11/9/2004 02/08/2005SEC ID: 31 3397BQ3BROKER: 11/9/2004 CHASE SECURITIES, NEW YORKOCSF0751 l 102: LIQUID OPER-PIMCO 11/9/2004 FEDERAL HOME LN MTG CORP DISC MAT 11/18/2004 03/ 14/2005SEC ID: 313397DA6BROKER: 11/18/2004 MORGAN STANLEY & CO INC, NYOCSF07522202: LONG TERM OPER-PIMCO 11/18/2004 100.0000 1,600,000.000 1,600,000.00 99.9846 2,000,000.000 1,999,691.67 99.9946 600,000.000 599,967.83 99.5992 1,600,000.000 1,593,586.67 99.4338 6,000,000.000 5,966,026.67 99.4565 6,000,000.000 5,967,391.67 99.2718 3,500,000.000 3,474,512.22 1 Report ID: EWB009 Base Currency: USD Status: FINAL Amount Base Net Gain/Loss Base -15,000,000.00 0.00 -1,600,000.00 0.00 -1,999,691.67 0.00 -599,967.83 0.00 -1 ,593,586.67 0.00 -5,966,026.67 0.00 -5,967,391.67 0.00 -3,474,512.22 0.00 Workbench -------- Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD I OCS~CONSOUDATED -OCSGO00l0000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base B FEDERAL HOME LN MTG CORP DISC MAT 11/24/2004 99.1200 2,500,000.000 2,478,000.00 -2,478,000.00 0.00 04/05/2005SEC ID: 313397DY4BROKER: 11/24/2004 LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/24/2004 B FEDERAL NATL MTG ASSN DISCOUNT MAT 11/23/2004 99.7306 400,000.000 398,922.50 -398,922.50 0.00 01/07/2005SEC ID: 313589AG8BROKER: 11/23/2004 LEHMAN GOVT SECS INC, NYOCSF07522202: LONG TERM OPER-PIMCO 11/23/2004 B FEDERAL NATL MTG ASSN DISCOUNT MAT 11/26/2004 99.5788 1,000,000.000 995,787.78 -995,787.78 0.00 02/02/2005SEC ID: 313589BJlBROKER: BANC 11/26/2004 OF AMERICA SEC LLC, SAN FRANCISCOOCSF07511102: LIQUID OPER-11/26/2004 PIMCO B FEDERAL NATL MTG ASSN DISCOUNT MAT 11/17/2004 99.4376 2,000,000.000 1,988,751.39 -1,988,751.39 0.00 02/16/2005SEC ID: 313589BY8BROKER: 11/17/2004 LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/17/2004 B FEDERAL NATL MTG ASSN DISCOUNT MAT 11/19/2004 99.4462 2,000,000.000 1,988,924.44 -1,988,924.44 0.00 02/16/2005SEC ID: 313589BY8BROKER: 11/19/2004 CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07511102: LIQUID OPER-PIMCO 11/19/2004 B FEDERAL NATL MTG ASSN DISCOUNT MAT 11/19/2004 99.4499 2,900,000.000 2,884,047.99 -2,884,047.99 0.00 02/ 16/2005SEC ID: 313589BYSBROKER: 11/19/2004 GOLDMAN SACHS & CO, NYOCSF07522202: LONG TERM OPER-PIMCO 11/19/2004 B FEDERAL NATL MTG ASSN DISCONT MAT 11/26/2004 99.4357 3,100,000.000 3,082,507.17 -3,082,507.17 0.00 02/23/2005SEC ID: 313589CF8BROKER: 11/26/2004 MERRILL LYNCH PIERCE FENNER SMITH INC NYOCSF07522202: LONG TERM OPER-PIMCO 11/26/2004 B FEDERAL NATL MTG ASSN DISCONT MAT 11/29/2004 99.4553 600,000.000 596,732.00 -596,732.00 0.00 02/23/2005SEC ID: 313589CF8BROKER: 11/29/2004 MORGAN STANLEY & CO INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/29/2004 B FEDERAL NATL MTG ASSN DISCONT MAT 11/29/2004 99.4553 1,000,000.000 994,553.33 -994,553.33 0.00 02/23/2005SEC ID: 313589CF8BROKER: 11/29/2004 MORGAN STANLEY & CO INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/29/2004 Workbench 2 Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSG000l0000 11/1/2004 -11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base B HSBCBANKUSAINSTLC/D 2.335% 11/19/2004 100.0000 1,400,000.000 1,400,000.00 -1,400,000.00 0.00 03/23/2005 DD 11/23/04SEC ID: 11/23/2004 40428AGZ4BROKER: BANC OF AMERICA SEC LLC, SAN FRANCISCOOCSF07511102: LIQUID 11/19/2004 OPER-PIMCO B US TREASURY BILL DUE 04/28/2005 DD 11/9/2004 98.9528 3,000,000.000 2,968,585.42 -2,968,585.42 0.00 10/28/04SEC ID: 912795SL6BROKER: 11/9/2004 GOLDMAN SACHS & CO, NYOCSF07511102: LIQUID OPER-PIMCO 11/9/2004 B US TREASURY BILL DUE 04/28/2005 DD 11/10/2004 98.9625 6,000,000.000 5,937,751.67 -5,937,751.67 0.00 10/28/04SEC ID: 912795SL6BROKER: UBS 11/10/2004 SECURITIES LLC, STAMFORDOCSF07511102: LIQUID OPER-PIMCO 11/10/2004 B LEHMAN CAT 1 REPO REPO 01.760% 11/5/2004 100.0000 11,900,000.000 11,900,000.00 -11,900,000.00 0.00 11/08/2004 DD 11/05/04SEC ID: 1 4 99427M686BROKER: LEHMAN GOVT SECS INC, l /5 /2oo NYOCSF07511102: LIQUID OPER-PIMCO 11/5/2004 B LEHMAN CAT 1 REPO REPO 01.790% 11/8/2004 100.0000 11,900,000.000 11,900,000.00 -11,900,000.00 0.00 11/09/20'04 DD 11/08/04SEC ID: 11/8/2004 99427Pl01BROKER: LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-P[MCO 11/8/2004 B LEHMAN CAT 2 REPO 01.710% 11/10/2004 DD 11/9/2004 100.0000 10,200,000.000 10,200,000.00 -10,200,000.00 0.00 11/09/04SEC ID: 99427Q547BROKER: LEHMAN 11/9/2004 GOVT SECS INC, NYOCSF0751 l 102: LIQUID OPER--PlMCO 11/9/2004 B LEHMAN CAT 2 REPO 01.800"/o 11/12/2004 DD 11/10/2004 100.0000 4,300,000.000 4,300,000.00 -4,300,000.00 0.00 11/10/04SEC ID: 99427R925BROKER: LEHMAN 11/10/2004 GOVT SECS INC, NYOCSF07511102: LIQUID QPER-P.!MCO 11/10/2004 B LEHMAN CAT 2 REPO 01.950"/o 11/15/2004 DD 11/12/2004 100.0000 6,400,000.000 6,400,000.00 -6,400,000.00 0.00 l 1/12/04SEC ID: 994271'798BROKER: LEHMAN 11/12/2004 GOVT SECSJNC, NYOCS.F07511 102: LIQUID OPER-PlMCO 11/12/2004 B LEHMAN CAT 2 REPO 01.990"/o 11/16/2004 DD 11/15/2004 100.0000 5,800,000.000 5,800,000.00 -5,800,000.00 0.00 11/ 15/04SEC ID: 99427V033BROKER: LEHMAN 11/15/2004 GOVT SECS LNC, NYOCSF07511102: LIQUID OPER-PIMCO 11/15/2004 Workbench 3 DCSD-CONSOLIDATED • OCSG000l0000 Transaction Detail Reported by Transaction Category 11/1/2004 -11/30/2004 B B B B B B B B B Tran Type Description Trade Date Settle Date Reported Date LEHMAN CAT 1 REPO RE.PO 01.910% 11/16/2004 11/17/2004 DD 11/ 16/04SEC ID: 11/16/2004 99427W585BROKER: LEHMAN GOVT SECS INC, NYOCSF0751J 102: LIQUID OPER-P1MCO 11/16/2004 LEHMANCAT2 REPO 01.900% 11/18/2004 DD 11/17/2004 ll/17/04SECJD: 99427Y078BROKER: LEHMAN 11/17/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/17/2004 CREDIT SUISSE FB REPO 01.900"/a 11/19/2004 11/18/2004 DD 1 l/18/04SEC ID: 99427Z497BR01<ER: 11/18/2004 CREDIT SUISSE FIRS'l' BOSTON CORP, N YOCSF07522202: LONG TERM OPER-PCMCO 11/18/2004 LEHMAN CAT 1 REPO REPO 01.900% 11/18/2004 11/19/2004 DD 11/18/04SECID; 11/18/2004 99427Z505BROKER: LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/18/2004 LEHMAN CAT 2 REPO 01.900% 11/22/2004 OD 11/19/2004 ll/19/04SEC ID: 9<;J428A707BROKER: LEHMAN 11/19/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PUvfCO 11/19/2004 CREDIT SUISSE FB REPO 01.900% 11/23/2004 11/22/2004 DO 11/22/04SEC10: 99428C471BROKER: 11/22/2004 CREDlT SUISSE FIRST BOSTON CORP, N YOCSF07511102: LlQUlD OPER-PIMCO 11/22/2004 LERMAN CAT 2 REPO 01.850% P/24/2004 DD 11/23/2004 11/23/04SEC ID: 99428D.537BROKER: LEHMAN 11/23/2004 GOVT SECS INC, NYOCSF07511102: LlQ UCD OPER-PIMCO 11/23/2004 CREDlT SUISSE FB REPO 01.910% '11/26/2004 11/24/2004 DD l l/24/04SEC LO: 99428F326BROKER: 11/24/2004 CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07511102: LIQtnD OPER-PlMCO 11/24/2004 LEHMAN CAT 2 REPO 01.9!?0"/4 11/29/2004 DD 11/26/2004 ll/26/04SEC ID: 99428G712BROKER: LEHMAN 11/26/2004 GOVT SECS INC, NYOCSF0751 l 102: LIQUID OPER-PIMCO 11/26/2004 Price Base 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 4 Shares/Par 5,800,000.000 6,600,000.000 2,900,000.000 11,600,000.000 12,000,000.000 10,600,000.000 10,600,000.000 12,000,000.000 14,200,000.000 Cost Base 5,800,000.00 6,600,000.00 2,900,000.00 11,600,000.00 12,000,000.00 10,600,000.00 10,600,000.00 12,000,000.00 14,200,000.00 Report ID: EWB009 Base Currency: USD Status: FINAL Amount Base Net Gain/Loss Base -5,800,000.00 0.00 -6,600,000.00 0.00 -2,900,000.00 0.00 -11,600,000.00 0.00 -12,000,000.00 0.00 -10,600,000.00 0.00 -10,600,000.00 0.00 -12,000,000.00 0.00 -14,200,000.00 0.00 Workbench Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSGOOOlOOOO 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base B CREDIT SUISSE FB REPO 01.900% 11/30/2004 11/29/2004 100.0000 13,000,000.000 13,000,000.00 -13,000,000.00 0.00 DD l l/29/04SEC ID: 99428H850BROKER: 11/29/2004 CREDIT SUISSE F[RST BOSTON CORP, N YOCSF07511102: L!QUID OPER-PIMCO 11/29/2004 B CREDIT SUISSE FB REPO 01.900% 12/01/2004 11/30/2004 100.0000 13,000,000.000 13,000,000.00 -13,000,000.00 0.00 DD 11 /30/04SEC ID: 99428K085BROKER: 11/30/2004 CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07511102: LIQUID OPER-PlMCO 11/30/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/1/2004 1.0000 63,000.000 63,000.00 -63,000.00 0.00 996085247OCSF07522202: LONG TERM OPER-11/1/2004 PIMCO 11/1/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/2/2004 1.0000 2,208,712.000 2,208,712.00 -2,208,712.00 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/2/2004 11/2/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/3/2004 1.0000 1,479.930 1,479.93 -1,479.93 0.00 996085247OCSF07522202: LONG TERM OPER-11/3/2004 PIMCO 11/3/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/3/2004 1.0000 1,801,017.640 1,801,017.64 -1,801,017.64 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/3/2004 11/3/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/4/2004 1.0000 5,441,241.250 5,441,241.25 -5,441,241.25 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/4/2004 11/4/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/8/2004 1.0000 1,745.330 1,745.33 -1,745.33 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/8/2004 11/8/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/9/2004 1.0000 64,614.600 64,614.60 -64,614.60 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/9/2004 11/9/2004 Workbench 5 ----- Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSG000l0000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base B DREYFUS TREASURY CASH MGMTSEC ID: 11/15/2004 1.0000 601,040.000 601,040.00 -601,040.00 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/15/2004 11/15/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/15/2004 1.0000 173,905.740 173,905.74 -173,905.74 0.00 996085247OCSF07522202: LONG TERM OPER-11/15/2004 PIMCO 11/15/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/16/2004 1.0000 14,558.400 14,558.40 -14,558.40 0.00 996085247OCSF07522202: LONG TERM OPER-11/16/2004 PIMCO 11/16/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/17/2004 1.0000 3,156,062.920 3,156,062.92 -3, 156,062.92 0.00 99608524 7OCSF07522202: LONG TERM OPER-11/17/2004 PIMCO 11/17/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/17/2004 1.0000 11,556.330 11,556.33 -11,556.33 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/17/2004 11/17/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/18/2004 1.0000 348.330 348.33 -348.33 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/18/2004 11/18/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/19/2004 1.0000 16,105.070 16,105.07 -16,105.07 0.00 996085247OCSF07522202: LONG TERM OPER-11/19/2004 PIMCO 11/19/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/19/2004 1.0000 45,661.110 45,661.11 -45,661.11 0.00 996085247OCSF07511102: LIQUID OPER-PIMCO 11/19/2004 11/19/2004 B DREYFUS TREASURY CASH MGMTSEC ID: 11/22/2004 1.0000 1,401,900.000 1,401,900.00 -1,401,900.00 0.00 996085247OCSF07511102: LIQ.UID OPER-PIMCO 11/22/2004 11/22/2004 Workbench 6 i--- OCSD-CONSOLIDA TED -OCSG000 10000 Transaction Detail Reported by Transaction Category 11/1/2004-11/30/2004 B B B B B B B Tran Type Description Trade Date Settle Date Reported Date DREYFUS TREASURY CASH MGMTSEC ID: 11/22/2004 996085247OCSF07522202: LONG TERM OPER-11/22/2004 PIMCO 11/22/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/24/2004 996085247OCSF07511102: LIQUID OPER-PIMCO 11/24/2004 11/24/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/26/2004 996085247OCSF07511102: LIQUID OPER-PIMCO 11/26/2004 11/26/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/26/2004 996085247OCSF07522202: LONG TERM OPER-11/26/2004 PIMCO 11/26/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/29/2004 996085247OCSF07522202: LONG TERM OPER-11/29/2004 PIMCO 11/29/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/30/2004 996085247OCSF07511102: LIQUID OPER-PIMCO 11/30/2004 11/30/2004 BSDT-LATE MONEY DEPOSIT ACCTSEC ID: 11/26/2004 996087094OCSF07522202: LONG TERM OPER-11/26/2004 PIMCO 11/26/2004 Price Base 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 Shares/Par 101,127.560 12,122,544.720 2,005,793.880 672,400.530 15,026.670 686.110 15,026.670 Cost Base 101,127.56 12,122,544.72 2,005,793.88 672,400.53 15,026.67 686.11 15,026.67 TOTAL CASH 115 CASH EQUIVALENTS U.S. DOLLAR: 239,935,554.790 239,651,295.21 FIXED INCOME SECURITIES U.S. DOLLAR TOTAL CASH 115 CASH EQUIVALENTS BASE: 7 239,935,554.790 239,651,295.21 Report ID: EWB009 Base Currency: USD Status: FINAL Amount Base Net Gain/Loss Base -101,127.56 0.00 -12,122,544.72 0.00 -2,005,793.88 0.00 -672,400.53 0.00 -15,026.67 0.00 -686.11 0.00 -15,026.67 0.00 -239,651,295.21 0.00 -239,651,295.21 0.00 Workbench Transaction Detail Report 10: EWB009 Reported by Transaction Category Base Currency: USD ----~ OCSD-CONSOLIDATED • OCSG000l0000 l 1 / l / 2004 -11/30/2004 ---Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base B COMMlT TO PlJR FNMA.SF MTCi 5.000%, 11/16/2004 101.4375 22,000,000.000 22,316,250.00 -22,316,250.00 0.00 12/01/2019 DD 12/0l /04SEC ID: 12/16/2004 01F0504C7BROKER: UBS SECURITIES LLC, STAMFORDOCSF07522202: LONG TERM OPER-11/16/2004 PIMCO - B COMMIT TO PUR FNMA SF MTG 5.500% 11/9/2004 101.2813 1,000,000.000 1,012,812.50 -1,012,812.50 0.00 12/01/2034 DD 12/01/04,SEC ID: 12/13/2004 01F0526Cl.BROKER: L.EHMAN GOVT SECS INC, NYOCSF07522202: LONG TERM OPER-PIMCO 11/9/2004 B COMMIT TO PUR FNMA SF MTG 5.500"/o 11/9/2004 101.3477 3,000,000.000 3,040,429.68 -3,040,429.68 0.00 12/01/2034 DD 12/0l/04SEC ID: 12/13/2004 01F0526ClBROKER; GOLDMAN SACHS & CO, NYOCSF07522202: LONG TERM OPER-PCMCO 11/9/2004 B BANKAMERICA CORP MTN SR 00150 7.125% 11/1/2004 102.4350 150,000.000 153,652.50 -153,652.50 0.00 05/12/2005 DD 05/12/95SEC ID: 11/4/2004 06605LGFOBROKER: CANTOR ITI'ZQERALD & CO INC, NEW YORKOCSF07511102: LIQUID 11/1/2004 OPER-PIMCO IB BANKAMERICA CORP MTN SR 00150 7.125% 11/1/2004 102.4350 0.000 0.00 -5,106.25 0.00 05/12/2005 DD 05/12/95SEC ID: 11/4/2004 06605LGFOBROKER: CANTOR FITZGERALD & CO INC, NEW YORKOCSF07511102: LIQUID 11/1/2004 OPER-PIMCO B FEDERAL ROME LN MTG CORP MTN 4.000"/o 11/3/2004 99.9310 10,000,000.000 9,993,100.00 -9,993,100.00 0.00 09/22/2009 DD 09/22/04SEC ID: 11/5/2004 3128X3WYSBROKER: CHASE SECURlTlES, NEW YORKOCSF07522202: LONGTERM OPER-PWCO 11/3/2004 IB FEDERAL HOME LN MTG CORP MTN 4.000"/o 11/3/2004 99.9310 0.000 0.00 -47,777.78 0.00 09/22/2009 DD 09/22/04SEC ID; 11/5/2004 3128X3WYSBROKER: CHASE SECURITIES, NEW YORKOCSF07522202: LONG TERM OPER-PIMGO 11/3/2004 B NORWEST FlNL fNC NT 7.600"/o 05/03/2005 DD 11/29/2004 102.0560 150,000.000 153,084.00 -153,084.00 0.00 05/03/00SEC ID: 669383DX6BROKER: CANTOR 12/2/2004 FITZCIBRALD & CG INC, NEW YORKOCSF07511102: LIQUID OPER-PIMCO 11/29/2004 IB NORWEST FINL INC NT 7.600"/o 05/03/2005 DD 11/29/2004 102.0560 0.000 0.00 -918.33 0.00 05/03/00SEC ID: 669383DX6BROKER: CANTOR 12/2/2004 FITZGERALD & CO INC, NEW YORKOCSF07511102: LIQUID OPER-PIMCO 11/29/2004 Workbench 8 Transaction Detai! OCSD-CONSOLIDATED -OCSG000l0000 Reported by Transaction Category 11/1/2004-11/30/2004 Tran Type Description Trade Date Settle Date Reported Date TOTAL FIXED INCOME SECURITIES U.S. DOLLAR: TOTAL FIXED INCOME SECURITIES BASE: TOTAL PURCHASES BASE: PAY UPS FIXED INCOME SECURITIES U.S. DOLLAR PU US TREASURY INFLATION INDEX NT 3.375% 7/15/2004 01/15/2007 DD 01/ 15/97SEC ID: 7/15/2004 9128272M3OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PU US TREASURY INFLATION INDEX NT 3.625% 7/15/2004 01/15/2008 DD 01/ 15/98SEC ID: 7/15/2004 9128273T7OCSF07522202: LONG TERM OPER-PIMCO 11/1/2004 PU US TREASURY INFLATION INDEX NT 3.875% 7/15/2004 01/15/2009 DD 0l/15/99SEC ID: 7/15/2004 9128274Y5OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 TOTAL FIXED INCOME SECURITIES U.S. DOLLAR: TOTAL FIXED INCOME SECURITIES BASE: TOTAL PAY UPS BABE: SALES CASH 81 CASH EQUIVALENTS U.S. DOLLAR Price Base 100.0000 100.0000 100.0000 9 Shares/Par 36,300,000.000 36,300,000.000 276,235,554.790 34,440.000 7,230.000 30,940.000 72,610.000 72,610.000 72,610.000 Cost Base 36,669,328.68 36,669,328.68 276,320,623.89 34,440.00 7,230.00 30,940.00 72,610.00 72,610.00 72,610.00 Report ID: EWB009 :]·- Base Currency: USD Status: FINAL Amount Base -36,723,131.04 -36,723,131.04 -276,374,426.25 -34,440.00 -7,230.00 -30,940.00 -72,610.00 -72,610.00 -72,610.00 Net Gain/Loss Base 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Workbench r ------·· --------- Transaction Detail Report ID: EWil009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSG000 10000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base s FEDERAL HOME LN BK CONS DISC N MAT 11/10/2004 99.4982 -3,200,000.000 -3, 183,943.56 3,183,943.56 0.00 0l/21/2005SEC ID: 313385AW6BROKER: 11/10/2004 MERRILL LYNCH PIERCE FENNER SMITH INC NYOCSF07522202: LONG TERM OPER-PIMCO 11/10/2004 IS FEDERAL HOME LN BK CONS DISC N MAT 11/10/2004 99.4982 0.000 0.00 2,744.44 0.00 0l/21/2005SEC ID: 313385AW6BROKER: 11/10/2004 MERRILL LYNCH PIERCE FENNER SMITH INC NYOCSF07522202: LONG TERM OPER-PIMCO 11/10/2004 s FEDERAL HOME LN MTG CORP DISC MAT 11/5/2004 99.5258 -7,600,000.000 -7,563,959.11 7,563,959.11 0.00 01/04/2005SEC ID: 313397AD3BROKER: 11/5/2004 CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07522202: LONG TERM OPER-PIMCO 11/5/2004 IS FEDERAL HOME LN MTG CORP DISC MAT 11/5/2004 99.5258 0.000 0.00 10,327.56 0.00 0l/04/2005SEC ID: 313397AD3BROKER: 11/5/2004 CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07522202: LONG TERM OPER-PIMCO 11/5/2004 s FEDERAL NATL MTG ASSN DISCOUNT MAT 11/5/2004 99.5050 -2,300,000.000 -2,288,615.00 2,288,615.00 0.00 0l/05/2005SEC ID: 313589AE3BROKER: 11/5/2004 MERRILL LYNCH PIERCE FENNER SMITH INC NYOCSF07522202: LONG TERM OPER-PIMCO 11/5/2004 IS FEDERAL NATL MTG ASSN DISCOUNT MAT 11/5/2004 99.5050 0.000 0.00 3,590.56 0.00 0l/05/2005SEC ID: 313589AE3BROKER: 11/5/2004 MERRILL LYNCH PIERCE FENNER SMITH INC NYOCSF07522202: LONG TERM OPER-PIMCO 11/5/2004 s FEDERAL NATL MTG ASSN DISCOUNT MAT 11/10/2004 99.5050 -7,600,000.000 -7,562,380.00 7,562,380.00 0.00 01/05/2005SEC ID: 313589AE3BROKER: 11/10/2004 GOLDMAN SACHS & CO, NYOCSF07522202: LONG TERM OPER-PIMCO 11/10/2004 IS FEDERAL NATL MTG ASSN DISCOUNT MAT 11/10/2004 99.5050 0.000 0.00 12,911.56 0.00 0l/05/2005SEC ID: 313589AE3BROKER: 11/10/2004 GOLDMAN SACHS & CO, NYOCSF07522202: LONG TERM OPER-PIMCO 11/10/2004 s FEDERAL NATL MTG ASSN DISC NT MAT 11/10/2004 99.4932 -700,000.000 -696,461.11 696,452.26 -8.85 01/26/2005SEC ID: 313589BB8BROKER: 11/10/2004 LEHMAN GOVT SECS INC, NYOCSF07522202: LONG TERM OPER-PIMCO 11/10/2004 Workbench 10 Transaction Detail Report ID: EWB009 -1 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSG000l0000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IS FEDERAL NATL MTG ASSN DISC NT MAT 11/10/2004 99.4932 0.000 0.00 373.63 0.00 01/26/2005SEC ID: 313589BB8BROKER: 11/10/2004 LEHMAN GOVT SECS INC, NYOCSF07522202: LONG TERM OPER-PIMCO 11/10/2004 s GENERAL ELEC CAP DISC 11/16/2004SEC ID: 11/10/2004 99.4499 -500,000.000 -497,249.58 497,249.55 -0.03 36959HLG0BROKER: MORGAN STANLEY & CO 11/10/2004 INC, NYOCSF07522202: LONG TERM OPER- PIMCO 11/10/2004 IS GENERAL ELEC CAP DISC 11/16/2004SEC ID: 11/10/2004 99.4499 0.000 0.00 2,587.95 0.00 36959HLG0BROKER: MORGAN STANLEY & CO 11/10/2004 INC, NYOCSF07522202: LONG TERM OPER- PIMCO 11/10/2004 s GENERAL ELEC CAP DISC 12/02/2004SEC ID: 11/10/2004 99.5604 -200,000.000 -199,120.89 199,120.88 -0.01 36959HM20BROKER: MORGAN STANLEY & CO 11/10/2004 INC, NYOCSF07522202: LONG TERM OPER- PIMCO 11/10/2004 IS GENERAL ELEC CAP DISC 12/02/2004SEC ID: 11/10/2004 99.5604 0.000 0.00 634.68 0.00 36959HM20BROKER: MORGAN STANLEY & CO 11/10/2004 INC, NYOCSF07522202: LONG TERM OPER- PIMCO 11/10/2004 s GENERAL ELEC CAP DISC 02/04/2005SEC ID: 11/10/2004 99.3200 -2,800,000.000 -2, 780,960.00 2,780,960.00 0.00 36959HP43BROKER: GOLDMAN SACHS & CO, 11/10/2004 NYOCSF07522202: LONG TERM OPER-PIMCO 11/10/2004 IS GENERAL ELEC CAP DISC 02/04/2005SEC ID: 11/10/2004 99.3200 0.000 0.00 4,458.22 0.00 36959HP43BROKER: GOLDMAN SACHS & CO, 11/10/2004 NYOCSF07522202: LONG TERM OPER-PIMCO 11/10/2004 s LEHMAN CAT 1 REPO REPO 01.760% 11/8/2004 100.0000 -11, 900,000.000 -11,900,000.00 11,900,000.00 0.00 11/08/2004 DD 11/05/04SEC ID: 11/8/2004 99427M686BROKER: LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/8/2004 IS LEHMAN CAT 1 REPO REPO 01.760% 11/8/2004 100.0000 0.000 0.00 1,745.33 0.00 11/08/2004 DD 11/05/04SEC ID: 11/8/2004 99427M686BROKER: LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/8/2004 Workbench 11 ·-----•·'"" Transaction Detail Report ID: Ewaoog Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSG000lO000 ___ 11/1/2004 -11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base S LEHMAN CAT 1 REPO REPO 0 1.790% 11/9/2004 100.0000 -11,900,000.000 -11,900,000.00 11,900,000.00 0.00 11/09/2004 DD H/08/04SECJD: 11/9/2004 99427Pl01.BROKER: LEHMAN GOVT SECS INC, NYOCSE'07511102: LIQUID OPER-PIMCO 11/9/2004 IS LEHMAN CAT 1 RE-PO REPO 01.790% 11/9/2004 100.0000 0.000 0.00 591.69 0.00 11/09/2004 DD 11/08/04SEC ID: 11/9/2004 99427Pl01BROKER: LEHMAN GOVT SECS INC, NYOCSF075l1102: LIQUID OPER-PJMCO 11/9/2004 S LEHMAN CAT 2 REPO 01.710% 11/10/2004 DD 11/10/2004 100.0000 -10,200,000.000 -10,200,000.00 10,200,000.00 0.00 11 /09/04SEC ID: 99427Q547BROKER: LEHMAN 11/10/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PrMCO 11/10/2004 IS LEHMAN CAT 2 REPO 01-710% 11/10/2004 DD 11/10/2004 100.0000 0.000 0.00 484.50 0.00 li/09/04SEC ID: 9942_7QS47BROKER: LEHMAN 11/10/2004 GOVT SECS INC, NYOCSF07511102: LIQUID . OPER-PfMCO 11/10/2004 S LEHMAN CAT 2 REPO 01.800% 11/12/2004 DD 11/ 12/2!)04 100.0000 -4,300,000.000 -4,300,000.00 4,300,000.00 0.00 H/l0/04SEC ID: 99427R925BROKER: LEHMAN 11/12/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/12/2004 IS LEHMAN CAT2 REPO 01.800% 11/12/2004 DD 11/12 /2004 100.0000 0.000 0.00 430.00 0.00 11/ 10/04SEC JD: 99427R925BROKER: LEHMAN 11/12/2004 GOVT SECS INC, NYOCSF0751 l 102: LIQUID OPER-PIMCO 11/12/2004 S LEHMAN CAT 2 REPO 01.950% 11/15/2004 DD 11/15/2004 100.0000 -6,400,000.000 -6,400,000.00 6,400,000.00 0.00 11/12/04SEC fD: 99427T798BROKER:LEHMAN 11/15/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/15/2004 IS LEHMAN CAT 2 REPO 01.950"/o 11/15/2004 DD 11/15/2004 100.0000 0.000 0.00 1,040.00 0.00 11/ 12/04SEC JD: 99427T798BROKER: LEHMAN 11/15/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PlMCO 11/15/2004 S LEHMAN CAT 2 REPO 01.990"/a 11/ 16/2004.DD 11/16/2004 100.0000 -5,800,000.000 -5,800,000.00 5,800,000.00 0.00 11/l 5/04SEC ID: 99427V033BROKER: LEl:IMAN 11/16/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/16/2004 Workbench 12 OCSD-CONSOLIDATED-OCSGOOOlOOOO Transaction De tail Reported by Transaction Category 11/1/2004-11/30/2004 Tran Trade Date Settle Date Reported Date Type Description IS s IS s IS s IS s IS LEHMAN CAT 2 REPO 01.990% 11/16/2004 DD 11/16/2004 11 J15/04SEC ID: 99427V033BROKER: LEHMAN 11/16/2004 GOVT SECS INC, NYOCSF075Lll'02: LIQUID OPER-PlMCO 11/16/2004 LEHMAN CAT 1 REPO REPO 01.910% 11/17/2004 11/17/2004 DD 11/ 16/04SEC ID: 11/17/2004 99427W585BROKER: LEHMAN GOVT SECS INC, NYOCSF0751Ll02: LIQUID OPER-PIMCO 11/17/2004 LEHMAN CAT 1 REPO REPO 01.910% 11/17/2004 11/17/2004 DD 11/ 16/04SEC ID: 11/17/2004 99427WS85BROKER: LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPE:R-PIMCO 11/17/2004 LEHMAN CAT 2 REPO 01.900% 11/18/2004 DD 11/18/2004 11/17/04SEC ID: 99427Y078BROKER: LEHMAN 11/18/2004 GOVT SECS INC, NYOCSF0,511102: LIQUID OPER-PIMCO 11/18/2004 LEHMAN CAT 2 REPO 01.900% 11/18/2004 DD 11/18/2004 ll/17/04SEC ID: 99427Y078BROKER: LEHMAN 11/18/2004 GOVT SECS INC,NYOCSF07511102: LIQUID OPER-PIMCO 11/18/2004 CREDIT SUISSE FB REPO 01.900% 11/19/2004 11/19/2004 DD ll/18/04SEC ID: 99427Z497BROKER: 11/19/2004 CREDlT SUISSE FIRST BOSTON CORP, N YOCSF07522202: LONGTERM OPER-P1MCO 11/19/2004 CREDIT SUISSE FB REPO 01.900% 11/19/2004 11/19/2004 DD ll/18/04SEC fD: 99427Z497BROKER: CREDIT SU£SSE FIRST BOSTON CORP, N YOCSF07522202: LONG TERM OPER-PIMCO 11/19/2004 11/19/2004 LEHMAN CAT 1 REPO REPO 01.900% 11/19/2004 11/19/2004 DD ll/18/04SEC ID: 11/19/2004 99427Z505BROKER: LEHMAN GOVT SECS INC, NYOCSF0751ll02: LIQUID OPER-PIMCO 11/19/2004 LEHMAN CAT 1 REPO REPO 01.900% 11/19/2004 11/19/2004 DD ll/18/04SEC ID: 11/19/2004 99427Z505BROKER: LEHMAN GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/19/2004 Price Base 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 13 Shares/Par 0.000 -5,800,000.000 0.000 -6,600,000.000 0.000 -2,900,000.000 0.000 -11,600,000.000 0.000 Cost Base 0.00 -5,800,000.00 0.00 -6,600,000.00 0.00 -2,900,000.00 0.00 -11,600,000.00 0.00 _,,,_ .. _,,, ___ ,,.. -I Report ID: EWllJO:i Base Currency: USO Status: FINAL Amount Base 320.61 5,800,000.00 307.72 6,600,000.00 348.33 2,900,000.00 153.06 11,600,000.00 612.22 Net Gain/Loss Base 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Workbench .. ,. ___ Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCS~CONSOLIDA TED -OCSG000l0000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base s LEHMAN CAT 2 REPO 01.900% 11/22/2004 DD 11/22/2004 100.0000 -12,000,000.000 -12,000,000.00 12,000,000.00 0.00 11/ 19/04SEC ID: 99428A707BROKER: LEHMAN 11/22/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/22/2004 IS LEHMAN C/\T 2 REPO 01.900% 11/22/2004 DD 11/22/2004 100.0000 0.000 0.00 1,900.00 0.00 11/ 19/04SEC TD: 99428A707BROKER:. LEHMAN 11/22/2004 GOVT SECS lNC, NYOCSF0751 l 102: LIQUID OPER-PIMCO 11/22/2004 s CREDIT SUISSE FB REPO 01.900% 11/23/2004 11/23/2004 100.0000 -10,600,000.000 -10,600,000.00 10,600,000.00 0.00 DD l 1/22/04SEC ID: 99428C471BROKER: 11/23/2004 CREDIT SUISSE FlRST BOSTON CO.RP, N YOCSF0751 l 102: LIQUID OPER-PlMCO 11/23/2004 IS CREDIT SUISSE FB REPO 01.900% 11/23/2004 11/23/2004 100.0000 0.000 0.00 559.44 0.00 DD ll/22/04SEC ID: 99428C471BROKER: 11/23/2004 CREDIT SUISSE FrRST BOSTON CORP, N YOCSF07511102: LIQUID OPER-PIMCO 11/23/2004 s LEHMAN CAT 2 REPO 01.850% 11/24/2004 lJD 11/24/2004 100.0000 -10,600,000.000 -10,600,000.00 10,600,000.00 0.00 l l/23/04SEC ID: 9942-8O537BROKER: LEHMAN 11/24/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PrMCO 11/24/2004 IS LEHMAN CAT 2 REPO 01.850% 11/24/2004 DD 11/24/2004 100.0000 0.000 0.00 544.72 0.00 ll/23/04SEC ID: 99428D537BROKER: LEHMAN 11/24/2004 GOVT SECS INC, NYOC SF07511102: LIQUID OPER-PIMCO 11/24/2004 s CREDIT SUISSE FB REPO 01.910% 11/26/2004 11/26/2004 100.0000 -12,000,000.000 -12,000,000.00 12,000,000.00 0.00 DD 11/24/04SEC ID: 99428F326BROKER: 11/26/2004 CREDiT SUISSE FIRST BOSTON CORP, N YOCSF07511102: LIQUID OPER-P[MCO 11/26/2004 IS CREDIT SUISSE FB REPO 01.910% 11/26/2004 11/26/2004 100.0000 0.000 0.00 1,273.33 0.00 DD 11/24/04SEC ID: 99428F326BROKER: 11/26/2004 CREDIT SUISSE FIRST BOSTON CORP-, N. YOCSF075ll 102: LIQUID OPER-PlMCO 11/26/2004 s LEHMAN CAT 2 REPO 01.950% 11/29/2004 DD 11/29/2004 100.0000 -14,200,000.000 -14,200,000.00 14,200,000.00 0.00 .Ll/26/04SEC ID: 99428G712BROKER: LEHMAN 11/29/2004 GOVT SECS me. NYOCSF0751 l 102: LIQUID OPER-PlMCO 11/29/2004 Workbench 14 Transactic.;:~ ::::; .:; ~an OCSD-CONSOLIDATED -OCSGO00 10000 Reported by Transaction Category 11/1/2004-11/30/2004 Tran Trade Date Settle Date Reported Date Type Description IS s IS s s s s s s LEHMAN CAT 2 REPO 01.950% 11/29/2004 DD 11/29/2004 U/26/04SEC ID: 99428G712BROKER: LEHMAN 11/29/2004 GOVT SECS INC, NYOCSF07511102: LIQUID OPER-PIMCO 11/29/2004 CREDIT SUISSE FB REPO 01.900% 11/30/2004 11/30/2004 DD 11/29/04SEC ID: 99428H850BROKER: 11/30/2004 CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07511102: LIQUID OPER·PrMCO 11/30/2004 CREDIT SUISSE FB REPO 01.900% 11/30/2004 11/30/2004 DD 11/29/04SEC ID: 99428H8508ROKER: CREDIT SUISSE FIRST BOSTON CORP, N YOCSP07511 l 02: LIQUID OPER-PIMCO 11/30/2004 11/30/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/5/2004 9960852470CSF07511102: LIQUID OPER-PIMCO 11/5/2004 11/5/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/5/2004 9960852470CSF07522202: LONG TERM OPER-11/5/2004 PIMCO 11/5/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/10/2004 9960852470CSF07511102: LIQUID OPER-PIMCO 11/10/2004 11/10/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/10/2004 9960852470CSF07522202: LONGTERM OPER-11/10/2004 PIMCO 11/10/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/12/2004 9960852470CSF07511102: LIQUID OPER-PIMCO 11/12/2004 11/12/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/16/2004 9960852470CSF07511102: LIQUID OPER-PIMCO 11/16/2004 11/16/2004 Price Base 100.0000 100.0000 100.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 15 Shares/Par 0.000 -13,000,000.000 0.000 -11,900,000.000 -174,385.550 -37,267.170 -24,044.930 -94,226.250 -599,679.390 Cost Base 0.00 -13,000,000.00 0.00 -11,900,000.00 -174,385.55 -37,267.17 -24,044.93 -94,226.25 -599,679.39 Report ID: EWB009 Base Currency: USD Status: FINAL • I Amount Base Net Gain/Loss Base 2,307.50 0.00 13,000,000.00 0.00 686.11 0.00 11,900,000.00 0.00 174,385.55 0.00 37,267.17 0.00 24,044.93 0.00 94,226.25 0.00 599,679.39 0.00 Workbench :.~:..1.sactic ... :.. ~--... ~:! OCSD-CONSOLIDATED -OCSGO00 10000 Reported by Transaction Category 11/1/2004-11/30/2004 s s s s s s s Tran Type Description Trade Date Settle Date Reported Date DREYFUS TREASURY CASH MGMTSEC ID: 11/18/2004 996085247OCSF07522202: LONG TERM OPER-11/18/2004 PIMCO 11/18/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/23/2004 996085247OCSF07522202: LONG TERM OPER-11/23/2004 PIMCO 11/23/2004 DREYFUS TREASURY CASH MOMTSEC 10: 11/23/2004 996085247OCSF07511102: LIQUID OPER-PIMCO 11/23/2004 11/23/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/29/2004 996085247OCSF0751 l 102: LIQUID OPER-PIMCO 11/29/2004 11/29/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/30/2004 996085247OCSF07522202: LONG TERM OPER-11/30/2004 PIMCO 11/30/2004 BSDT-LATE MONEY DEPOSIT ACCTSEC ID: 11/29/2004 996087094OCSF07522202: LONG TERM OPER-11/29/2004 PlMCO 11/29/2004 TOTAL CASH & CASH EQUIVALENTS U.S. DOLLAR: TOTAL CASH & CASH EQUIVALENTS BASE: FIXED INCOME SECURITIES U.S. DOLLAR COMMIT TO PUR FNMA SF MTG 5.000"/o 11/16/2004 11/01/2019 DP 11/01/04SEC ID: 11/18/2004 0 1F050489BROKER: UBS SECURITIES LLC, STAMFORDOCSF07622202: LONG TERM OPER-11/16/2004 PIMCO Price Base 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 101.6563 16 Shares/Par -3,326,620.970 -24,630.450 -1,399,440.560 -14, 182,564.500 -599,967.830 -15,026.670 -207,077,854.270 -207,077 ,854.270 -22,000,000.000 Cost Base -3,326,620.97 -24,630.45 -1,399,440.56 -14,182,564.50 -599,967.83 -15,026.67 -206,950,543.52 -206,950,543.52 -22,405,625.00 H .. CjJU.Ct i.u: Lh·J.h.109 Base Currency: USD Status: FINAL Amount Base 3,326,620.97 24,630.45 1,399,440.56 14,182,564.50 599,967.83 15,026.67 207,001,467.79 207,001,467.79 22,364,375.00 Net Gain/Loss Base 0.00 0.00 0.00 0.00 0.00 0.00 -8.89 -8.89 -41,250.00 Workbench --- Transa .... ~:.:::.::. Detail -~"J:>'-»t~~-:: •• .:.:a? Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSGO00l0000 ______ 1 l / l / 2004 -11/30/2004 Status: FINAL o Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base S COMMIT TO PUR FNMA SF MTG 5.500% 11/9/2004 101.5430 -1,000,000.000 -1,014,843.75 1,015,429.68 585.93 11/01/2034 DD ll/01/04SEC ID: 11/15/2004 01F0526B3BROKER: LEHMAN GOVT SECS INC, NYOCSF07522202: LONG TERM OPER-PIMCO 11/9/2004 S COMMIT TO PUR FNMA SF MTG 5.500% 11/9/2004 101.6055 -3,000,000.000 -3,044,531.25 3,048,164.06 3,632.81 11/01/2034 DD 11/01/04SEC ID: 11/15/2004 01F0526B3BROKER: GOLDMAN SACHS & CO, NYOCSF07522202: LONG TERM OPER-PIMCO 11/9/2004 S GNMA II POOL #0080900 VAR RT 05/20/2034 11/16/2004 100.3125 -372,445.330 -362,377.65 373,609.23 11,231.58 DD 05/01/04SEC ID: 36225DAA2BROKER: 11/23/2004 CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07522202: LONG TERM OPER-PIMCO 11/16/2004 IS GNMA II POOL #0080900 VAR RT 05/20/2034 11/16/2004 100.3125 0.000 0.00 682.82 0.00 DD 05/01/04SEC ID: 36225DAA2BROKER: 11/23/2004 CREDIT SUISSE FIRST BOSTON CORP, N YOCSF07522202: LONG TERM OPER-PIMCO 11/16/2004 S GENERAL MTRS ACCEP CORP SR NT 6.125% 11/12/2004 103.8580 -3,000,000.000 -3,064,350.00 3,115,740.00 51,390.00 08/28/2007 DD 08/29/02SEC ID: 11/17/2004 370425SD3BROKER: WACHOVIA CAPITAL MARKETS LLC, CHARLOTTEOCSF07522202: 11/12/2004 LONG TERM OPER-PIMCO IS GENERAL MTRS ACCEP CORP SR NT 6.125% 11/12/2004 103.8580 0.000 0.00 40,322.92 0.00 08/28/2007 DD 08/29/02SEC ID: 11/17/2004 370425SD3BROKER: WACHOVIA CAPITAL MARKETS LLC, CHARLOTTEOCSF07522202: 11/12/2004 LONG TERM OPER-PIMCO S GOLDMAN SACHS GROUP INC SR NT 4.125% 11/15/2004 101.5620 -3,000,000.000 -3,030,030.00 3,046,860.00 16,830.00 01/15/2008 DD 01/13/03SEC ID: 11/18/2004 38141GCS1BROKER: GOLDMAN SACHS & CO, NYOCSF07522202: LONG TERM OPER-PIMCO 11/15/2004 IS GOLDMAN SACHS GROUP INC SR NT 4.125% 11/15/2004 101.5620 0.000 0.00 42,281.25 0.00 01/15/2008 DD 01/ 13/03SEC ID: 11/18/2004 38141GCS1BROKER: GOLDMAN SACHS & CO, NYOCSF07522202: LONG TE:RM OPER-PIMCO 11/15/2004 TOTAL FIXED INCOME SECURITIES U.S. DOLLAR: ____ ·32,372,445.330 -32,921,757.65 33,047,464.96 42,420.32 TOTAL FIXED INCOME SECURITIES BASE: -32,372,445.330 -32,921,757.65 33,047,464.96 42,420.32 Workbench 17 OCSD-CONSOLIDATED -OCSGO00l0000 Tran Type Description Transaction Detail Reported by Transaction Category 11/1/2004-11/30/2004 Trade Date Settle Date Reported Date Price Base Shares/Par Cost Base TOTAL SALES BASE: -239,450,299.600 -239,872,301.17 PRINCIPAL PAYMENTS FIXED INCOME SECURITIES U.S. DOLLAR PD PD PD PD PD PD PD PD WMP/HUNTOON PAIGE #000-11150 7.500% 11/1/2004 12/01/2030 DD 10/21/99SEC ID: 1 1 20 4 302998GE3OCSF07522202: LONG TERM OPER-l / / O PIMCO 11/1/2004 FHLMC MULTICLASS MTG SER E3 A VAR RT 11/1/2004 08/15/2032 DD 12/01/97SEC ID: 11/1/2004 3133TCE95OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 FHLMC GROUP #78-6064 6.384% 01/01/2028 11/1/2004 DD 12/01/97SEC ID: 11/1/2004 31348SWZ3OCSF07522202: LONG TERM OPER-PIMCO 11/1/2004 FNMA POOL #0254510 5.000% 11/01/2017 11/1/2004 DD 10/01/02SEC ID: 11/1/2004 31371KVB4OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 FNMA POOL #0254631 5.000% 02/01/2018 11/1/2004 DD 01/0l/03SEC ID: 11/1/2004 31371KY47OCSF07522202: LONG TERM OPER-PIMCO 11/1/2004 FNMA POOL #0254760 5.000% 06/01/2018 11/1/2004 DD 05/0l/03SEC ID: 11/1/2004 31371K5V9OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 F'NMA POOL #0254866 5.000% 09/01/2018 11/1/2004 DD 08/01/03SEC ID: 11/1/2004 31371LCB3OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 FNMA POOL #0254953 5.000% 11/01/2018 11/1/2004 DD 10/01/03SEC ID: 11/1/2004 31371LE210CSF07522202: LONGTERM OPER- PIMCO 11/1/2004 100.0000 -830.670 -812.63 100.0000 -17,683.950 -17,702.79 100.0000 -2,812.320 -2,743.77 100.0000 -13,018.200 -13,408.75 100.0000 -2,617.850 -2,696.39 100.0000 -2,000.560 -2,060.58 100.0000 -985.680 -1,015.25 100.0000 -4,503.500 -4,561.20 18 Report ID: EWB009 Base Currency: USD Status: FINAL Amount Base Net Gain/Loss Base 240,048,932.75 42,411.43 830.67 18.04 17,683.95 -18.84 2,812.32 68.55 13,018.20 -390.55 2,617.85 -78.54 2,000.56 -60.02 985.68 -29.57 4,503.50 -57.70 Workbench Transaction Detail Report ID: Ewuoog Reported by Transaction Category Base Currency: USD I I OCSD-CONSOLIDATED-OCSGOOOlOOOO 11/1/2004 -11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base PD FNMA POOL #0254987 5.000% 12/01/2018 11/1/2004 100.0000 -12,140.680 -12,296.23 12,140.68 -155.55 DD 11/01/03SEC ID: 31371LF460CSF07522202: LONG TERM OPER-ll/ l/2oo4 PIMCO 11/1/2004 PD FNMA POOL #0323980 6.000% 04/01/2014 11/1/2004 100.0000 -3,828.740 -3,997.44 3,828.74 -168.70 DD 09/01/99SEC ID: 11/1/2004 31374T2MOOCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0357328 5.000% 01/01/2018 11/1/2004 100.0000 -423.050 -435.74 423.05 -12.69 DD Ol/01/03SEC ID: 31376J4M80CSF07522202: LONG TERM OPER-l l / l / 2oo4 PIMCO 11/1/2004 PD FNMA POOL #0357430 5.000% 09/01/2018 11/1/2004 100.0000 -23,088.780 -23,348.53 23,088.78 -259.75 DD 09/01/03SEC ID: 31376KA710CSF07522202: LONG TERM OPER-ll/ l/2004 PIMCO 11/1/2004 PD FNMA POOL#0456482 6.000%02/01/2014 11/1/2004 100.0000 -387.930 -405.02 387.93 -17.09 DD 02/01/99SEC ID: 1 4 31381CCT20CSF07522202: LONGTERM OPER-l /l/200 PIMCO 11/1/2004 PD FNMA POOL #0509649 6.000% 09/01/2014 11/1/2004 100.0000 -850.270 -887.74 850.27 -37.47 DD 09/01/99SEC ID: 11/1/2004 31383QEWOOCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0535451 6.000% 06/01/2015 11/1/2004 100.0000 -3,137.360 -3,275.60 3,137.36 -138.24 DD 07 /01/00SEC ID: 11/1/2004 31384VZQ80CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0555363 5.0000/o 04/01/2018 11/1/2004 100.0000 -5,833.020 -6,008.01 5,833.02 -174.99 DD 03/01/03SEC ID: 11/1/2004 31385W5Y10CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0555453 5.000% 05/01/2018 11/1/2004 100.0000 -450.150 -455.92 450.15 -5.77 DD 04/01/03SEC ID: 11/1/2004 31385XBW60CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 Workbench 19 Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSG000 10000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base PD FNMA POOL #0555545 5.000% 06/01/2018 11/1/2004 100.0000 -4,294.150 -4,422.97 4,294.15 -128.82 DD 05/01/03SEC ID: 11/1/2004 31385XES20CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0555621 5.000% 07/01/2018 11/1/2004 100.0000 -13,150.950 -13,298.90 13,150.95 -147.95 DD 06/01/03SEC ID: 11/1/2004 31385XG680CSF07522202: LONG TERM OFER- PIMCO 11/1/2004 PD FNMA POOL #0681309 5.000% 02/01/2018 11/1/2004 100.0000 -9,001.630 -9,271.68 9,001.63 -270.05 DD 02/01/03SEC ID: 11/1/2004 31391Y3S40CSF07522202; LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0681334 5.000% 02/01/2018 11/1/2004 100.0000 -1,368.470 -1,409.52 1,368.47 -41.05 DD Ol/01/03SEC ID: 11/1/2004 31391Y4T10CSF07522202: LONG TERM OFER- PIMCO 11/1/2004 PD FNMA GTD REMIC P/T 02-76 PD 5.000% 11/1/2004 100.0000 -147,151.130 -150,094.15 147,151.13 -2,943.02 08/25/2022 DD 10/01/02SEC ID: 11/1/2004 31392FKF30CSF07522202: LONG TERM OFER- PIMCO 11/1/2004 PD FNMA POOL #0684908 5.000% 06/01/2018 11/1/2004 100.0000 -1,650.780 -1,671.93 1,650.78 -21.15 DD 05/0l/03SEC ID: 11/1/2004 31400D3R10CSF07522202: LONG TERM OFER- PIMCO 11/1/2004 PD FNMA POOL #0685200 5.000% 03/01/2018 11/1/2004 100.0000 -3,023.180 -3,061.91 3,023.18 -38.73 DD 03/01/03SEC ID: 11/1/2004 31400EGH70CSF07522202: LONG TERM OFER- PIMCO 11/1/2004 PD FNMA POOL #0685665 5.000% 02/01/2018 11/1/2004 100.0000 -618.940 -637.51 618.94 -18.57 DD 02/01/03SEC ID: 11/1/2004 31400EW220CSF07522202: LONG TERM OFER- PIMCO 11/1/2004 PD FNMA POOL #0686318 5.000% 03/01/2018 11/1/2004 100.0000 -2,254.260 -2,321.89 2,254.26 -67.63 DD 03/01/03SEC ID: 11/1/2004 31400FPB70CSF07522202: LONG TERM OFER- PIMCO 11/1/2004 Workbench 20 Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSG000l0000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base PD FNMA POOL #0688739 5.000% 06/01/2018 11/1/2004 100.0000 -1,844.410 -1,899.74 1,844.41 -55.33 DD 06/01/03SEC ID: 11/1/2004 31400JEL9OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0689859 5.000% 05/01/2018 11/1/2004 100.0000 -368.070 -372.79 368.07 -4.72 DD 05/01/03SEC ID: 11/1/2004 31400KMG8OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0693834 5.000% 03/01/2018 11/1/2004 100.0000 -15,079.300 -15,531.68 15,079.30 -452.38 DD 03/01/03SEC ID: 11/1/2004 31400PY74OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0695852 5.000% 05/01/2018 11/1/2004 100.0000 -2,640.940 -2,720.17 2,640.94 -79.23 DD 05/01/03SEC ID: 11/1/2004 31400SBV0OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0695889 5.000% 05/01/2018 11/1/2004 100.0000 -8,772.460 -9,035.63 8,772.46 -263.17 DD 05/01/03SEC ID: 11/1/2004 31400SC23OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0697026 5.000% 05/01/2018 11/1/2004 100.0000 -112.080 -115.44 112.08 -3.36 DD 04/01/03SEC ID: 11/1/2004 31400TLF2OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0702210 5.000% 05/01/2018 11/1/2004 100.0000 -2,755.080 -2,837.73 2,755.08 -82.65 DD 05/01/03SEC ID: 11/1/2004 31401ADP9OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0702328 5.000% 05/01/2018 11/1/2004 100.0000 -1,489.600 -1,508.69 1,489.60 -19.09 DD 04/01/03SEC ID: 11/1/2004 31401AHD2OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0709148 5.000% 06/01/2018 11/1/2004 100.0000 -3,939.270 -4,057.45 3,939.27 -118.18 DD 06/01/03SEC ID: 11/1/2004 31401HZM7OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 Workbench 21 Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDA TED -OCSG000 10000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base PD FNMA POOL #0709360 5.000% 07 /01/2-018 11/1/2004 100.0000 -21,712.960 -21,991.16 21,712.96 -278.20 DD 06/01/03SEC ID: 11/1/2004 31401JB560CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL 410709826 5.000% 06/01/2018 11/1/2004 100.0000 -1,031.880 -1,045.10 1,031.88 -13.22 DD 06/01/03SEC ID: 11/1/2004 31401JSP40CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0709917 5.000% 06/01/2018 11/1/2004 100.0000 -4,895.890 -4,958.62 4,895.89 -62.73 DD 06/01/03SEC ID: 11/1/2004 31401JVJ40CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0709963 5.000% 06/01/2018 11/1/2004 100.0000 -76.510 -77.49 76.51 -0.98 DD 06/01/03SEC ID: 31401JWYOOCSF07522202: LONG TERM OPER-l l/ l/2oo4 PIMCO 11/1/2004 PD FNMA POOL #0710235 5.000% 06/01/2018 11/1/2004 100.0000 -21,575.450 -22,222.71 21,575.45 -647.26 DD 06/0l/03SEC ID: 11/1/2004 31401KBC80CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0713344 5.000% 06/01/2018 11/1/2004 100.0000 -592.430 -610.20 592.43 -17.77 DD 06/01/03SEC ID: 11/1/2004 31401NP520CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL 410713365 5.000% 07/01/2018 11/1/2004 100.0000 -8,834.690 -8,947.88 8,834.69 -113.19 DD 07 /01/03SEC ID: 11/1/2004 31401NQS10CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL 410720319 5.000% 07/01/2018 11/1/2004 100.0000 -10,390.160 -10,523.28 10,390.16 -133.12 DD 07 /01/03SEC ID: 11/1/2004 31401WG450CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0720369 5.000% 06/01/2018 11/1/2004 100.0000 -12,012.900 -12,373.29 12,012.90 -360.39 DD 06/0l/03SEC ID: 11/1/2004 31401 WJNOOCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 Workbench 22 1-Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSGOOOlOOOO l 1 / l / 2004 -11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base PD FNMA POOL#0721629 5.000%07/01/2018 11/1/2004 100.0000 -3,630.160 -3,739.07 3,630.16 -108.91 DD 06/01/03SEC ID: 04 31401XVW4OCSF07522202: LONGTERM OPER-ll/l/20 PIMCO 11/1/2004 PD FNMA POOL #0723487 5.000% 06/01/2018 11/1/2004 100.0000 -957.510 -968.28 957.51 -10.77 DD 06/01/03SEC ID: 31402AXQ4OCSF07522202: LONG TERM OPER-ll/l/2oo4 PIMCO 11/1/2004 PD FNMA POOL #0729601 5.000% 07/01/2018 11/1/2004 100.0000 -6,597.040 -6,681.56 6,597.04 -84.52 DD 07 /0l/03SEC ID: 4 31402HRW3OCSF07522202: LONG TERM OPER-ll/l/200 PIMCO 11/1/2004 PD FNMA POOL #0732873 5.000% 11/01/2018 11/1/2004 100.0000 -134.880 -136.61 134.88 -1.73 DD 10/0l/03SEC ID: 31402MFN5OCSF07522202: LONG TERM OPER-ll/l/2004 PIMCO 11/1/2004 PD FNMA POOL #0737130 5.000% 10/01/2018 11/1/2004 100.0000 -2,729.530 -2,764.50 2,729.53 -34.97 DD 10/01/03SEC ID: 11/1/2004 31402S4P9OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL#0738211 5.000% 10/01/2018 11/1/2004 100.0000 -5,903.510 -5,979.15 5,903.51 -75.64 DD 10/0l/03SEC ID: 11/1/2004 31402UDQ2OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL#0738487 5.000% 10/01/2018 11/1/2004 100.0000 -4,719.680 -4,780.15 4,719.68 -60.47 DD 10/01/03SEC ID: 11/1/2004 31402UNC2OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0740471 5.000% 10/01/2018 11/1/2004 100.0000 -2,748.100 -2,783.31 2,748.10 -35.21 DD 10/0l/03SEC ID: 11/1/2004 31402WT40OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0740748 5.000% 10/01/2018 11/1/2004 100.0000 -9,866.990 -9,993.41 9,866.99 -126.42 DD 11/01/03SEC ID: 11/1/2004 31402W5H7OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 Workbench 23 ---Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSG000l0000 11/1/2004-11/30/2004 Status: FINAL - Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base PD FNMA POOL !f/0743868 5.000% 11/01/2018 11/1/2004 100.0000 -675.170 -683.82 675.17 -8.65 DD 10/01/03SEC ID: 31403BMR10CSF07522202: LONG TERM OPER-ll/ l/2004 PIMCO 11/1/2004 PD FNMA POOL #0744008 5.000% 07/01/2018 11/1/2004 100.0000 -20,234.290 -20,493.54 20,234.29 -259.25 DD 09/0l/03SEC ID: 11/1/2004 3l403BR54OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL-#0744316 5.000% 09/01/2018 11/1/2004 100.0000 -1,639.760 -1,660.77 1,639.76 -21.01 DD 09/01/03SEC ID: 11/1/2004 31403B3Z4OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL#Q747914 5.000% 11/01/2018 11/1/2004 100.0000 -13,334.210 -13,505.05 13,334.21 -170.84 DD ll/01/03SEC ID: 11/1/2004 3l403F3X0OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL f/0748400 5.000% 08/01/2018 11/1/2004 100.0000 -6,340.210 -6,421.44 6,340.21 -81.23 DD 09/0l/03SEC ID: 11/1/2004 3 l 403GNR9OCSF07522202, WNO TERM OPER- PIMCO 11/1/2004 PD FNMA POOL 110748899 5.000% 12/01/2018 11/1/2004 100.0000 -4,734.720 -4,795.38 4,734.72 -60.66 DD 1 l/01/03SEC ID: 11/1/2004 31403G7LOOCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0750377 5.000% 11/01/2018 11/1/2004 100.0000 -27,763.420 -28,119.14 27,763.42 -355.72 DD ll/01/03$EC ID: 11/1/2004 31403JUA2OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0750380 5.000% 11/01/2018 11/1/2004 100.0000 -48,519.120 -49,140.77 48,519.12 -621.65 DD 11/01/03SEC ID: 11/1/2004 31403JUD6OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0750445 5.000% 11/01/2018 11/1/2004 100.0000 -703.630 -712.65 703.63 -9.02 DD 11/01/03S_EC ID: 11/1/2004 31403JWE20CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 Workbench 24 ------.. -.---. ·• Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSG000lO000 11/1/2004 -11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base PD FNMA POOL #0751960 5.000% 12/01/2018 11/1/2004 100.0000 -17,528.230 -17,752.81 17,528.23 -224.58 DD ll/01/03SEC ID: 11/1/2004 31403LMH10CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0753425 5.000"/o 11/01/2018 11/1/2004 100.0000 -17,456.470 -17,658.31 17,456.47 -201.84 DD ll/01/03SEC ID: 11/1/2004 31403NA230CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL #0755165 5.000% 12/01/2018 11/1/2004 100.0000 -2,587.480 -2,620.63 2,587.48 -33.15 DD ll/01/03SEC ID: 11/1/2004 31403Q6A30CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD FNMA POOL#0756372 5.000% 11/01/2018 11/1/2004 100.0000 -4,457.950 -4,509.50 4,457.95 -51.55 DD 11/01/03SEC ID: 11/1/2004 31403SJR80CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA POOL#0421389 6.500%04/15/2026 11/1/2004 100.0000 -252.000 -264.48 252.00 -12.48 DD 04/01/96SEC ID: 11/1/2004 36206UC230CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA POOL #0449851 6.500% 01/15/2028 11/1/2004 100.0000 -34.410 -36.11 34.41 -1.70 DD 01/01/98SEC ID: 11/1/2004 36208FWLOOCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA POOL #0466845 6.500% 06/15/2028 11/1/2004 100.0000 -51.750 -54.31 51.75 -2.56 DD 06/01/98SEC ID: 11/1/2004 36209BTA60CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA POOL #0468052 6.500% 07/15/2028 11/1/2004 100.0000 -212.680 -223.21 212.68 -10.53 DD 07 /01/98SEC ID: 11/1/2004 36209C5M40CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA POOL #0476041 6.500% 06/15/2028 11/1/2004 100.0000 -291.310 -305.28 291.31 -13.97 DD 06/01/98SEC ID: 11/1/2004 36209MZE70CSF07522202: LONG TERM OPER- PIMCO 11/1/2004 Workbench 25 Transactic.:i Detail Report ID: EWB009 l Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSGOOOlOOOO 11/1/2004 -11/30/2004 Status: FINAL -----Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base PD ONMA POOL #0478626 6.500% 01/15/2029 11/1/2004 100.0000 -187.310 -196.30 187.31 -8.99 DD 0l/01/99SEC ID: 11/1/2004 36209QVT9OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA POOL #0480598 6.500% 10/15/2028 11/1/2004 100.0000 -38.790 -40.65 38.79 -1.86 DD 10/01/98SEC JD: 1 4 36209S3F6OCSF07522202: LONG TERM OPER-l / l/200 PIMCO 11/1/2004 PD GNMA POOL#0512235 6.500% 11/15/2029 11/1/2004 100.0000 -12.450 -13.07 12.45 -0.62 DD 11/01/99SEC rD: 36211GBC6OCSF07522202: LONG TERM OPER-ll/l/2oo4 PIMCO 11/1/2004 PD GNMA POOL #0514326 6.500%07/15/2029 11/1/2004 100.0000 -186.500 -195.45 186.50 -8.95 DD 07 /01/99SEC ID: 11/1/2004 36211JLF2OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA II POOL #0080023 VAR RT 12/20/2026 11/1/2004 100.0000 -4,522.470 -4,597.37 4,522.47 -74.90 DD 12/0t/96SEC ID: 11/1/2004 36225CAZ9OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA II POOL #080088M 7.375% 06/20/2027 11/1/2004 100.0000 -10,258.250 -10,482.65 10,258.25 -224.40 DD 06/0l/97SEC ID: 11/1/2004 36225CC20OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA II POOL #0080395 VAR RT 04/20/2030 11/1/2004 100.0000 -4,599.220 -4,557.54 4,599.22 41.68 DD 04/01/00SEC ID: 11/1/2004 36225CNM4OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMAIIPOOL#080408X 6.500%05/20/2030 11/1/2004 100.0000 -54,199.120 -53,648.66 54,199.12 550.46 DD 05/01/00SEC ID: 11/1/2004 36225CN28OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 PD GNMA IT POOL#0080900 V.AR RT 05/20/2034 11/1/2004 100.0000 -4,243.300 -4,128.60 4,243.30 114.70 DD 05/01/04SEC ID: 11/1/2004 36225DAA2OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 Workbench 26 OCSD-CONSOLIDATED -OCSGO00l0000 Transaction ~etail Reported by Transaction Category 11/1/2004-11/30/2004 -------------,,, ___ --------- Tran Trade Date Settle Date Reported Date Type Description PD PD PD GNMA II POOL #0080965 VAR RT 07/20/2034 11/1/2004 DD 07 /01/04SEC ID: 11/1/2004 36225DCB8OCSF07522202: LONG TERM OPER- PIMCO 11/1/2004 GNMA GTD REMIC TR 2000-9 FH VAR RT 11/16/2004 02/16/2030SECID:3837H4NX9OCSF07522202: 11/16/2004 LONG TERM OPER-PIMCO 11/16/2004 RESIDENTIAL ASSET 03-RSll AIIB VAR RT 11/25/2004 12/25/2033 DD 12/30/03SEC ID: 11/25/2004 760985K83OCSF07522202: WNG TERM OPER- PIMCO 11/25/2004 TOTAL FIXED INCOME SECURITIES U.S. DOLLAR: TOTAL FIXED INCOME SECURITIES BASE: TOTAL PRINCIPAL PAYMENTS BASE: MATURITIES CASH & CASH EQUIVALENTS U.S. DOLLAR MT MT MT BANK OF AMERICA NA INSTL C/D 1.620% 11/02/2004 DD 08/06/04SEC ID: 06050GEM8OCSF07511102: LIQUID OPER- PIMCO 11/2/2004 11/2/2004 11/2/2004 FEDERAL HOME LN BKS CONS DISC MAT 11/19/2004 11/19/2004SEC ID: 313384Q28OCSF07511102: 11/19/2004 LIQUID OPER-PIMCO 11/19/2004 FEDERAL HOME LN BK CONS DISC N MAT 11/29/2004 11/29/2004SEC ID: 313384R43OCSF07511102: 11/29/2004 LIQUID OPER-PIMCO 11/29/2004 Price Base 100.0000 100.0000 100.0000 100.0000 100.0000 100.0000 27 Shares/Par -11,624.190 -13,507.090 -60,793.980 -763,507.160 -763,507.160 -763,507.160 -2,200,000.000 -8,400,000.000 -2,000,000.000 Cost Base -11,616.92 -13,507.09 -60,793.98 -773,692.62 -773,692.62 -773,692.62 -2,200,000.00 -8,376, 181.33 -1,999,691.67 Report ID: EWB009 Base Currency: USD Status: FINAL Amount Base 11,624.19 13,507.09 60,793.98 763,507.16 763,507.16 763,507.16 2,200,000.00 8,376,181.33 1,999,691.67 Net Gain/Loss Base 7.27 0.00 0.00 -10,185.46 -10,185.46 -10,185.46 0.00 0.00 0.00 Workbench 7:.:ansaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USO OCSD-CONSOLIDATED -OCSGOOOlOOOO 11/1/2004-11/30/2004 Status: FINAL ------------· Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base MT FEDERAL HOME LN MTG CORP DISC MAT 11/9/2004 100.0000 -7,300,000.000 -7,270,844.61 7,270,844.61 0.00 11/09/2004SEC ID: 313396N82OCSF07511102: 11/9/2004 LIQUID OPER-PIMCO 11/9/2004 MT FEDERAL HOME LN MTG CORP DISC MAT 11/16/2004 100.0000 -1,000,000.000 -995,860.00 995,860.00 0.00 11/16/2004SECID:313396P72OCSF07511102: 11/16/2004 LIQUID OPER-PIMCO 11/16/2004 MT FEDERAL NATL MTG ASSN DISC NT MAT 11/3/2004 100.0000 -1,800,000.000 -1,792,755.00 1,792,755.00 0.00 ll/3/2004SEC ID: 313588N27OCSF07511102: 11/3/2004 LIQUID OPER-P!MCO 11/3/2004 MT FEDERAL NATL MTG ASSN DISCOUNT MAT 11/17/2004 100.0000 -2,800,000.000 -2, 788,569.39 2,788,569.39 0.00 ll/17/2004SECID:313588P82OCSF07511102: 11/17/2004 LIQUID OPER-PIMCO 11/17/2004 MT FEDERAL NATL MTG ASSN DISCOUNT MAT 11/24/2004 100.0000 -4,000,000.000 -3,983,114.44 3,983,114.44 0.00 11/24/2004SEC ID: 313588Q73OCSF07511102: 11/24/2004 LIQUID OPER-PIMCO 11/24/2004 MT US TREASURY BILL DUE 11/04/2004 DD 11/4/2004 100.0000 -5,600,000.000 -5,579,262.11 5,579,262.11 0.00 05/06/2004SEC ID: 912795RK9OCSF07511102: 11/4/2004 LIQUID OPER-PIMCO 11/4/2004 MT US TREASURY BILL DUE 11/12/2004 DD 11/12/2004 100.0000 -2,000,000.000 -1,991,997.50 1,991,997.50 0.00 05/13/2004SECID:912795RL7OCSF07511102: 11/12/2004 LIQUID OPER-PIMCO 11/12/2004 MT US TREASURY BILL DUE 11/18/2004 DD 11/18/2004 100.0000 -5,000,000.000 -4,982,207.29 4,982,207.29 0.00 05/20/2004SECID:912795RM5OCSF07511102: 11/18/2004 LIQUID OPER-PIMCO 11/18/2004 MT US TREASURY BILL DUE 11/26/2004 DD 11/26/2004 100.0000 -5,000,000.000 -4,980,686.39 4,980,686.39 0.00 05/27 /2004SEC ID: 912795RN3OCSF07511102: 11/26/2004 LIQUID OPER-PIMCO 11/26/2004 Workbench 28 ["""""•--~----· OCSD-CONSOLIDATED-OCSG000l0000 Transaction Detail Reported by Transaction Category 11/1/2004-11/30/2004 Tran Type Description Trade Date Settle Date Reported Date TOTAL CASH & CASH EQUIVALENTS U.S. DOLLAR: TOTAL CASH & CASH EQUIVALENTS BASE: FIXED INCOME SECURITIES U.S. DOLLAR MT KRAFT FOODS INC NT VAR RT 11/26/2004 DD 11/26/2004 11/26/02SEC ID: 50075NAJ3OCSF07522202: 11/26/2004 LONG TERM OPER-PIMCO 11/26/2004 TOTAL MATURITIES BASE: MISCELLANEOUS ACTMTY FIXED INCOME SECURITIES U.S. DOLLAR SW CD REPS FRACTIONAL WRITEOFF FHLMC 11/30/2004 MULTICLASS MTG SER E3 ASEC ID: 4 3133TCE95OCSF07522202: LONG TERM OPER-ll/30/200 PIMCO 11/30/2004 REPS ODD-CENT ADJUSTMENT FHLMC 11/30/2004 MULTICLASS MTG SER E3 ASEC ID: 3133TCE95OCSF07522202: LONG TERM OPER- PIMCO 11/30/2004 TOTAL FIXED INCOME SECURITIES U.S. DOLLAR: TOTAL FIXED INCOME SECURITIES BASE: TOTAL MISCELLANEOUS ACTMTY BASE: INTEREST Price Base 100.0000 29 Shares/Par -47,100,000.000 -47, 100,000.000 -3,000,000.000 -50, 100,000.000 -0.700 0.000 -0.700 -0.700 -0.700 Cost Base -46,941,169.73 -46,941,169.73 -2,999,910.00 -49,941,079. 73 -0.70 0.70 0.00 0.00 0.00 Report ID: EWB009 Base Currency: USD Status: FINAL Amount Base Net Gain/Loss Base 46,941,169.73 0.00 46,941,169.73 0.00 3,000,000.00 90.00 49,941,169.73 90.00 0.00 -0.70 0.70 0.70 0.70 0.00 0.70 0.00 0.70 0.00 Workbench Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSG000l0000 11/1/2004-11/30/2004 Status: FINAL Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base CASH Ill CASH EQUIVALENTS U.S. DOLLAR IT BANK OF AMERICA NA INSTL C/D 1.620% 11/2/2004 2,200,000.000 8,712.00 8,712.00 0.00 11/02/2004 DD 08/06/04SEC ID: 11/2/2004 06050GEM80CSF0751 l 102: LIQUID OPER- PIMCO 11/2/2004 IT FEDERAL HOME LN BKS CONS DISC MAT 11/19/2004 8,400,000.000 23,818.67 23,818.67 0.00 11/19/2004SEC ID: 313384Q280CSF07511102: 11/19/2004 LIQUID OPER-PIMCO 11/19/2004 IT FEDERAL HOME LN BK CONS DISC N MAT 11/29/2004 2,000,000.000 308.33 308.33 0.00 11/29/2004SEC ID: 313384R430CSF07511102: 11/29/2004 LIQUID OPER-PIMCO 11/29/2004 IT FEDERAL HOME LN MTG CORP DISC MAT 11/9/2004 7,300,000.000 29,155.39 29,155.39 0.00 ll/09/2004SEC ID: 313396N820CSF07511102: 11/9/2004 LIQUID OPER-PIMCO 11/9/2004 IT FEDERAL HOME LN MTG CORP DISC MAT 11/16/2004 1,000,000.000 4,140.00 4,140.00 0.00 11/16/2004SECID:313396P720CSF07511102: 11/16/2004 LIQUID OPER-PIMCO 11/16/2004 IT FEDERAL NATL MTG ASSN DISC NT MAT 11/3/2004 1,800,000.000 7,245.00 7,245.00 0.00 ll/3/2004SECID:313588N270CSF07511102: 11/3/2004 LIQUID OPER-PIMCO 11/3/2004 IT FEDERAL NATL MTG ASSN DISCOUNT MAT 11/17/2004 2,800,000.000 11,430.61 11,430.61 0.00 ll/17/2004SECID:313588P820CSF07511102: 11/17/2004 LIQUID OPER-PIMCO 11/17/2004 IT FEDERAL NATL MTG ASSN DISCOUNT MAT 11/24/2004 4,000,000.000 16,885.56 16,885.56 0.00 11/24/2004SEC ID: 313588Q730CSF07511102: 11/24/2004 LIQUID OPER-PIMCO 11/24/2004 IT US TREASURY BILL DUE 11/04/2004 DD 11/4/2004 5,600,000.000 20,737.89 20,737.89 0.00 05/06/2004SEC ID: 912795RK90 CSF07511102: 11/4/2004 LIQUID OPER-PIMCO 11/4/2004 Workbench 30 OCSD-CONSOLIDATED -OCSG000lO000 Transaction Detail Reported by Transaction Category 11/1/2004-11/30/2004 Tran Trade Date Settle Date Reported Date Type Description IT IT IT IT IT US TREASURY BILL DUE 11/12/2004 DD 11/12/2004 05/13/2004SEC ID: 912795RL7OCSF07511102: 11/12/2004 LIQUID OPER-PIMCO 11/12/2004 US TREASURY BILL DUE 11/18/2004 DD 11/18/2004 05/20/2004SECID:912795RM5OCSF07511102: 11/18/2004 LIQUID OPER-PIMCO 11/18/2004 US TREASURY BILL DUE 11/26/2004 DD 11/26/2004 05/27 /2004SEC ID: 912795RN3OCSF07511102: 11/26/2004 LIQUID OPER-PIMCO 11/26/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/3/2004 99608524 7OCSF07522202: LONG TERM OPER-11/1/2004 PIMCO 11/3/2004 DREYFUS TREASURY CASH MGMTSEC ID: 11/3/2004 996085247OCSF07511102: LIQUID OPER-PIMCO 11/1/2004 11/3/2004 TOTAL CASH & CASH EQUIVALENTS U.S. DOLLAR: TOTAL CASH Ill CASH EQUIVALENTS BASE: FIXED INCOME SECURITIES U.S. DOLLAR IT IT ALLSTATE CORP SR NT 7.875% 05/01/2005 DD 11/1/2004 05/01/00SECID:020002AL5OCSF07522202: 11/1/2004 LONG TERM OPER-PIMCO BANKAMERICA CORP MTN SR 00150 7.125% 05/12/2005 DD 05/ 12/95SEC ID: 06605LGF0OCSF07511102: LIQUID OPER- PIMCO 11/1/2004 11/12/2004 11/12/2004 11/12/2004 Price Base 31 Shares/Par 2,000,000.000 5,000,000.000 5,000,000.000 0.000 0.000 47,100,000.000 47,100,000.000 1,600,000.000 150,000.000 Cost Base 8,002.50 17,792.71 19,313.61 1,479.93 1,017.64 170,039.84 170,039.84 63,000.00 5,343.75 Report ID: EWB009 Base Currency: USD Status: FINAL Amount Base Net Gain/Loss Base 8,002.50 0.00 17,792.71 0.00 19,313.61 0.00 1,479.93 0.00 1,017.64 0.00 170,039.84 0.00 170,039.84 0.00 63,000.00 0.00 5,343.75 0.00 Workbench --------··-------------·- Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USO OCSD-CONSOUDATED • OCSGO00l0000 11/1/2004-11/30/2004 Status: FINAL ---------C Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT FHLMC MULTICLASS MTG SER E3 A VAR RT 11/15/2004 16,349.100 2,642.53 2,642.53 0.00 08/15/2032 DD 12/01/97SEC ID: 10/1/2004 3133TCE95OCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT FHLMC GROUP #78-6064 6.384% 01/01/2028 11/15/2004 181.240 178.59 178.59 0.00 DD 12/0l/97SEC ID: 10/1/2004 31348SWZ3OCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT FNMA POOL, 110254510 5.000% 11/01/2017 11/26/2004 13,018.200 2,848.57 2,848.57 0.00 DD 10/0l/02SEC ID: 11/1/2004 31371KVB4OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL 110254631 5.000% 02/01/2018 11/26/2004 2,617.850 611.88 611.88 0.00 DD 01/0l/03SEC ID: 11/1/2004 31371KY47OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0254760 5.000% 06/01/2018 11/26/2004 2,000.560 544.28 544.28 0.00 DD 05/0l/03SEC ID: 11/1/2004 31371K5V9OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL 11-0254866 5.000% 09/01/2018 11/26/2004 985.680 247.23 247.23 0.00 DD 08/01/03SEC ID: 11/1/2004 31371LCB3OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0254953 5.000% 11/01/2018 11/26/2004 4,503.500 1,309.46 1,309.46 0.00 DD 10/0l/03SEC ID: 11/1/2004 31371LE210CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0254987 5.000% 12/01/2018 11/26/2004 12,140.680 3,546.67 3,546.67 0.00 DD 11/0l/03SEC ID: 11/1/2004 31371LF46OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0323980 6.000% 04/01/2014 11/26/2004 3,828.740 762.39 762.39 0.00 DD 09/0l/99SEC ID: 11/1/2004 31374T2M0OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 Workbench 32 Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLlDATED• OCSGO00IOO00 ~-11/ 1/2004-11/30/2004 Status: FINAL ----- (. --Trade Date c Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT FNMA POOL #0357328 5.000% 01/01/2018 11/26/2004 423.050 103.65 103.65 0.00 DD 01/01/03SEC ID: 11/1/2004 31376J4M8OCSF07522202: LONG TERM OPER• PIMCO 11/26/2004 IT FNMA POOL #0357430 5.000% 09/01/2018 11/26/2004 23,088.780 5,453.83 5,453.83 0.00 DD 09/01/03SEC ID: 11/1/2004 31376KA710CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0456482 6.000% 02/01/2014 11/26/2004 387.930 211.24 211.24 0.00 DD 02/0l/99SEC ID: 31381CCT2OCSF07522202: LONG TERM OPER· ll/ l/2oo4 PIMCO 11/26/2004 IT FNMA POOL #0509649 6.000% 09/01/2014 11/26/2004 850.270 506.46 506.46 0.00 DD 09/01/99SEC ID: 11/1/2004 31383QEW0OCSF07522202: LONG TERM OPER· PIMCO 11/26/2004 IT FNMA POOL #0535451 6.000% 06/01/2015 11/26/2004 3,137.360 595.64 595.64 0.00 DD07/01/00SECID: 11/1/2004 31384VZQ8OCSF07522202: LONG TERM OPER· PIMCO 11/26/2004 IT FNMA POOL #0555363 5.000% 04/01/2018 11/26/2004 5,833.020 1,306.02 1,306.02 0.00 DD 03/01/03SEC ID: 11/1/2004 31385W5YIOCSF07522202: LONG TERM OPER· PIMCO 11/26/2004 IT FNMA POOL #0555453 5.000% 05/01/2018 11/26/2004 450.150 135.35 135.35 0.00 DD 04/01/03SEC ID: 11/1/2004 31385XBW6OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0555545 5.000% 06/01/2018 11/26/2004 4,294.150 1,083.30 1,083.30 0.00 DD 05/01/03SEC ID: 11/1/2004 31385XES2OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0555621 5.000% 07/01/2018 11/26/2004 13,150.950 3,746.49 3,746.49 0.00 DD 06/0l/03SEC ID: 11/1/2004 31385XG68OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 Workbench 33 Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED -OCSG00010000 11/1/2004-11/30/2004 Status: FINAL ----Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT FNMA POOL #0681309 5.000% 02/01/2018 11/26/2004 9,001.630 2,007.81 2,007.81 0.00 DD 02/0l/03SEC ID: 11/1/2004 31391Y3S40CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0681334 5.000% 02/01/2018 11/26/2004 1,368.470 246.36 246.36 0.00 DD 01/01/03SEC ID: 11/1/2004 31391Y4TlOCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA GTD REMIC P/T 02-76 PD 5.000% 11/26/2004 147,151.130 2,433.73 2,433.73 0.00 08/25/2022 DD 10/0l/02SEC ID: 11/1/2004 31392FKF30CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0684908 5.000% 06/01/2018 11/26/2004 1,650.780 1,294.61 1,294.61 0.00 DD 05/0l/03SEC ID: 11/1/2004 31400D3RlOCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0685200 5.000% 03/01/2018 11/26/2004 3,023.180 723.15 723.15 0.00 DD 03/0l/03SEC ID: 11/1/2004 31400EGH70CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0685665 5.000% 02/01/2018 11/26/2004 618.940 125.49 125.49 0.00 DD 02/01/03SEC ID: 11/1/2004 31400EW220CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0686318 5.000% 03/01/2018 11/26/2004 2,254.260 1,085.60 1,085.60 0.00 DD 03/01/03SEC ID: 11/1/2004 31400FPB70CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0688739 5.000% 06/01/2018 11/26/2004 1,844.410 432.79 432.79 0.00 DD 06/01/03SEC ID: 11/1/2004 31400JEL90CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0689859 5.000% 05/01/2018 11/26/2004 368.070 350.66 350.66 0.00 DD 05/01/03SEC ID: 11/1/2004 31400KMG80CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 Workbench 34 Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSG000l0000 11/1/2004-11/30/2004 Status: FINAL ---Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT FNMA POOL #0693834 5.000% 03/01/2018 11/26/2004 15,079.300 2,445.66 2,445.66 0.00 DD 03/01/03SEC ID: 11/1/2004 31400PY74OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0695852 5.000% 05/01/2018 11/26/2004 2,640.940 862.69 862.69 0.00 DD 05/0l/03SEC ID: 11/1/2004 31400SBV0OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0695889 5.000% 05/01/2018 11/26/2004 8,772.460 2,861.22 2,861.22 0.00 DD 05/01/03SEC ID: 11/1/2004 31400SC23OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0697026 5.000% 05/01/2018 11/26/2004 112.080 90.04 90.04 0.00 DD 04/01/03SEC ID: 11/1/2004 31400TLF2OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0702210 5.000% 05/01/2018 11/26/2004 2,755.080 870.09 870.09 0.00 DD 05/01/03SEC ID: 11/1/2004 31401ADP9OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0702328 5.000% 05/01/2018 11/26/2004 1,489.600 533.27 533.27 0.00 DD 04/0l/03SEC ID: 11/1/2004 31401AHD2OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0709148 5.000% 06/01/2018 11/26/2004 3,939.270 1,094.96 1,094.96 0.00 DD 06/0l/03SEC ID: 11/1/2004 31401HZM7OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0709360 5.000% 07/01/2018 11/26/2004 21,712.960 2,516.22 2,516.22 0.00 DD 06/01/03SEC ID: 11/1/2004 31401JB56OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0709826 5.000% 06/01/2018 11/26/2004 1,031.880 425.68 425.68 0.00 DD 06/01/03SEC ID: 11/1/2004 31401JSP4OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 Workbench 35 ---------------~ ------~•·--- Transaction Detail Report ID: EWB009 !'!.~;--=-:-~::~ ~y Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSG000l0000 11/1/2004 -11/30/2004 ---Status: FINA_L ____ _j Trade Date -- Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT FNMA POOL #0709917 5.000% 06/01/2018 11/26/2004 4,895.890 898.47 898.47 0.00 DD 06/0l/03SEC ID: 31401JVJ40CSF07522202: LONG TERM OPER-ll/l/2004 PIMCO 11/26/2004 IT FNMA POOL #0709963 5.000% 06/01/2018 11/26/2004 76.510 75.53 75.53 0.00 DD 06/01/0JSEC ID: / 31401JWY0OCSF07522202: LONGTERM OPER-ll/l 2oo4 PIMCO 11/26/2004 IT FNMA POOL #0710235 5.000% 06/01/2018 11/26/2004 21,575.450 2,409.80 2,409.80 0.00 DD 06/0l/03SEC ID: / 31401KBC8OCSF07522202: LONGTERM OPER-ll/l 2oo4 PIMCO 11/26/2004 IT FNMA POOL #0713344 5.000% 06/01/2018 11/26/2004 592.430 65.93 65.93 0.00 DD 06/0l/03SEC ID: / 31401NP52OCSF07522202: LONG TERM OPER-ll/l 2oo4 PIMCO 11/26/2004 IT FNMA POOL #0713365 5.000% 07/01/2018 11/26/2004 8,834.690 1,047.73 1,047.73 0.00 DD 07 /0l/03SEC ID: 11/ /200 31401NQS10CSF07522202: LONG TERM OPER-l 4 PIMCO 11/26/2004 IT FNMA POOL #0720319 5.000% 07/01/2018 11/26/2004 10,390.160 2,942.07 2,942.07 0.00 DD 07 /01/03SEC ID: 11/1/2004 31401WG45OCSF07522202: LONG TERM OPER-PIMCO 11/26/2004 IT FNMA POOL #0720369 5.000% 06/01/2018 11/26/2004 12,012.900 8,373.47 8,373.47 0.00 DD 06/0l/03SEC ID: 11/1/2004 31401WJN0OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0721629 5.000% 07/01/2018 11/26/2004 3,630.160 1,181.80 1,181.80 0.00 DD 06/0l/03SEC ID: 11/1/2004 31401.XVW4OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0723487 5.000% 06/01/2018 11/26/2004 957.510 967.87 967.87 0.00 DD 06/01/03SEC ID: 11/ /200 31402AXQ4OCSF07522202: LONG TERM OPER-l 4 PIMCO 11/26/2004 Workbench 36 OCSD-CONSOLIDATED -OCSGOOOlOOOO Transaction Detail Reported by Transaction Category 11/1/2004-11/30/2004 Tran Trade Date Settle Date Reported Date Type Description IT FNMA POOL #0729601 5.000% 07/01/2018 11/26/2004 DD 07 /01/03SEC ID: 11/1/2004 31402HRW30CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0732873 5.000% 11/01/2018 11/26/2004 DD 10/01/03SEC ID: 11/1/2004 31402MFNSOCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0737130 5.000% 10/01/2018 11/26/2004 DD 10/01/03SEC ID: 11/1/2004 31402S4P90CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0738211 5.000% 10/01/2018 11/26/2004 DD 10/01/03SEC ID: 11/1/2004 31402UDQ20CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0738487 5.000% 10/01/2018 11/26/2004 DD 10/01/03SEC ID: 11/1/2004 31402UNC20CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0740471 5.000% 10/01/2018 11/26/2004 DD 10/01/03SEC ID: 11/1/2004 31402WT400CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0740748 5.000% 10/01/2018 11/26/2004 DD ll/01/03SEC ID: 11/1/2004 31402WSH70CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0743868 5.000% 11/01/2018 11/26/2004 DD 10/01/03SEC ID: 11/1/2004 31403BMR10CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0744008 5.000% 07/01/2018 11/26/2004 DD 09/01/03SEC ID: 11/1/2004 31403BR540CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 Price Base 37 Shares/Par 6,597.040 134.880 2,729.530 5,903.510 4,719.680 2,748.100 9,866.990 675.170 20,234.290 Cost Base 1,600.85 138.37 2,516.01 2,146.99 766.07 2,795.19 3,091.83 152.74 4,047.14 Report ID: EWB009 Base Currency: t;.:;.:) Status: FINAL Amount Base Net Gain/Loss Base 1,600.85 0.00 138.37 0.00 2,516.01 0.00 2,146.99 0.00 766.07 0.00 2,795.19 0.00 3,091.83 0.00 152.74 0.00 4,047.14 0.00 Workbench )-------~ Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDA TED -OCSGO0O 10000 11/1/2004-11/30/2004 Status: FINAL ------Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT FNMA POOL #0744316 5.000% 09/01/2018 11/26/2004 1,639.760 625.55 625.55 0.00 DD 09/0l/03SEC ID: 11/1/2004 31403B3Z4OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL-#0747914 5.000% 11/01/2018 11/26/2004 13,334.210 1,409.55 1,409.55 0.00 DD ll/01/03SEC ID: 11/1/2004 31403F3X0OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0748400 5.000% 08/01/2018 11/26/2004 6,340.210 832.73 832.73 0.00 DD 09/01/03SEC ID: 11/1/2004 31403GNR9OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0748899 5.000% 12/01/2018 11/26/2004 4,734.720 3,811.37 3,811.37 0.00 DD ll/01/03SEC ID: 11/1/2004 31403G7LOOCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0750377 5.000% 11/01/2018 11/26/2004 27,763.420 8,636.65 8,636.65 0.00 DD 11/01/03SEC ID: 11/1/2004 31403JUA2OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0750380 5.000% 11/01/2018 11/26/2004 48,519.120 7,814.84 7,814.84 0.00 DD ll/01/03SEC ID: 11/1/2004 31403JUD6OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0750445 5.000% 11/01/2018 11/26/2004 703.630 697.71 697.71 0.00 DD ll/01/03SEC ID: 11/1/2004 31403JWE20CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0751960 5.000% 12/01/2018 11/26/2004 17,528.230 3,289.26 3,289.26 0.00 DD 11/01/03SEC ID: 11/1/2004 31403LMH1OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FNMA POOL #0753425 5.000% 11/01/2018 11/26/2004 17,456.470 3,482.89 3,482.89 0.00 DD 11/0l/03SEC ID: 11/1/2004 31403NA23OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 Workbench 38 ----Transaction Dctai! Report ID: EWB009 Report~ d by Transaction Category Base Currency: USD DC SD-CONSOLIDATED· OCSG00010000 ___ 11 / 1 / 2004 -11/30/2004 ____ _::-_::-_-_-_-_-_-_-_-_-----=----=--=--=--=---Status: FINAL ---------Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT FNMA POOL #0755165 5.000% 12/01/2018 11/26/2004 2,587.480 2,445.35 2,445.35 0.00 DD 11/01/03SEC ID: 4 31403Q6A3OCSF07522202: LONG TERM OPER-ll/l/200 PIMCO 11/26/2004 IT FNMA POOL #0756372 5.000% 11/01/2018 11/26/2004 4,457.950 3,775.08 3,775.08 0.00 DD 11/01/03SEC ID: 11/1/2004 31403SJR8OCSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT FORD MOTOR CR CO NT 6.750% 05/15/2005 11/15/2004 1,000,000.000 33,750.00 33,750.00 0.00 DD 05/24/93SEC ID: 2 345397GV9OCSF07522202: LONG TERM OPER-ll/l5/ 004 PIMCO 11/15/2004 IT GNMA POOL #0421389 6.500% 04/15/2026 11/15/2004 252.000 57.04 57.04 0.00 DD 04/01/96SEC ID: 2 4 36206UC23OCSF07522202: LONGTERM OPER· ll/l/ OO PIMCO 11/15/2004 IT GNMA POOL #0449851 6.500% 01/15/2028 11/15/2004 34.410 107.79 107.79 0.00 DD 01/01/98SEC ID: 11/1/2004 36208FWLOOCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT GNMA POOL#0466845 6.500% 06/15/2028 11/15/2004 51.750 198.37 198.37 0.00 DD 06/01/98SEC ID: 11/1/2004 36209BTA6OCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT GNMA POOL#0468052 6.500%07/15/2028 11/15/2004 212.680 602.91 602.91 0.00 DD 07 /01/98SEC ID: 11/1/2004 36209C5M4OCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT GNMA POOL #0476041 6.500% 06/15/2028 11/15/2004 291.310 793.03 793.03 0.00 DD 06/0l/98SEC ID: 11/1/2004 36209MZE7OCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT GNMA POOL #0478626 6.500% 01/15/2029 11/15/2004 187.310 655.37 655.37 0.00 DD 01/01/99SEC ID: / 4 36209QVT9OCSF07522202: LONG TERM OPER· l l/ l 200 PIMCO 11/15/2004 Workbench 39 Transaction Detail -1 Rcpozt ID: E'W.u009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED-OCSGO00l00O0 11/1/2004-11/30/2004 Status: FINAL - Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT GNMA POOL #0480598 6.500% 10/15/2028 11/15/2004 38,790 156.28 156.28 0,00 DD 10/0l/98SEC ID: 11/1/2004 36209S3F6OCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT GNMA POOL #0512235 6.500% 11/15/2029 11/15/2004 12.450 45.59 45.59 0.00 DD ll/01/99SEC ID: 11/1/2004 362 l 1GBC6OCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT GNMA POOL #0514326 6.500% 07/15/2029 11/15/2004 186.500 576.96 576.96 0.00 DD 07 /01/99SEC ID: 11/1/2004 36211JLF2OCSF07522202: LONG TERM OPER- PIMCO 11/15/2004 IT GNMA II POOL #0080023 VAR RT 12/20/2026 11/22/2004 4,522.470 654.00 654.00 0.00 DD 12/01/96SEC ID: 11/1/2004 36225CAZ9OCSF07522202: WNG TERM OPER- PIMCO 11/22/2004 IT GNMA II POOL #080088M 7.375% 06/20/2027 11/22/2004 10,258.250 638.53 638.53 0.00 DD 06/0l/97SEC ID: 11/1/2004 36225CC20OCSF07522202: WNO TERM OPER- PIMCO 11/22/2004 IT GNMA II POOL #0080395 VAR RT 04/20/2030 11/22/2004 4,599.220 532.94 532.94 0.00 DD 04/01/00SEC ID: 11/1/2004 36225CNM4OCSF07522202: LONG TERM OPER-PIMCO 11/22/2004 IT GNMA II POOL #080408X 6.500% 05/20/2030 11/22/2004 54,199.120 4,873.56 4,873.56 0.00 DD 05/01/00SEC ID: 11/1/2004 36225CN28OCSF07522202: WNG TERM OPER- PIMCO 11/22/2004 IT GNMA II POOL #0080900 VAR RT 05/20/2034 11/22/2004 4,243.300 941.72 941.72 0.00 DD 05/01/04SEC ID: 11/1/2004 36225DAA2OCSF07522202: WNG TERM OPER- PIMCO 11/22/2004 IT GNMA II POOL #0080965 VAR RT 07/20/2034 11/22/2004 11,624.190 4,040.26 4,040.26 0.00 DD 07 /01/04SEC ID: 11/1/2004 36225DCB8OCSF07522202: LONG TERM OPER- PIMCO 11/22/2004 Workbench 40 Transaction Detail Report ID: EWB009 Reported by Transaction Category Base Currency: USD OCSD-CONSOLIDATED. OCSGO00I0000 11/1/2004-11/30/2004 Status: FINAL --- Trade Date Tran Settle Date Price Cost Amount Net Gain/Loss Type Description Reported Date Base Shares/Par Base Base Base IT GNMA GTD REMIC TR 2000-9 FH VAR RT 11/16/2004 13,507.090 1,051.31 1,051.31 0.00 02/16/2030SECID:3837H4NX90CSF07522202: 11/16/2004 LONG TERM OPER-PIMCO 11/16/2004 IT KRAFT FOODS INC NT VAR RT 11/26/2004 DD 11/26/2004 3,000,000.000 15,026.67 15,026.67 0.00 ll/26/02SEC ID: 50075NAJ30CSF07522202: 11/26/2004 LONG TERM OPER-PIMCO 11/26/2004 IT RESIDENTIAL ASSET 03-RSll AIIB VAR RT 11/26/2004 60,793.980 1,496.99 1,496.99 0.00 12/25/2033 DD 12/30/03SEC ID: 11/25/2004 760985K830CSF07522202: LONG TERM OPER- PIMCO 11/26/2004 IT SBA GTD PARTN CTFS SBIC-PS 01 6.640% 11/10/2004 3,000,000.000 32,138.34 32,138.34 0.00 02/10/2011 DD 02/21/0lSEC ID: 11/1/2004 831641DD40CSF07522202: LONG TERM OPER- PIMCO 11/10/2004 CD US TREASURY INFLATION INDEX NT 3.375% 11/30/2004 0 .000 34,440.00 34,440.00 0.00 01/15/2007 DD 01/ 15/97SEC ID: 9128272M30CSF07522202: LONG TERM OPER- PIMCO 11/30/2004 CD US TREASURY INFLATION INDEX NT 3.625% 11/30/2004 01/15/2008 DD Ol/15/98SEC ID: 0.000 7,230.00 7,230.00 0.00 9128273T70CSF07522202: LONG TERM OPER- PIMCO 11/30/2004 CD US TREASURY INFLATION INDEX NT 3.875% 11/30/2004 0.000 30,940.00 30,940.00 0.00 01/15/2009 DD Ol/15/99SEC ID: 9128274Y50CSF07522202: LONG TERM OPER- PIMCO 11/30/2004 IT US TREASURY NOTES 05.750% 11/15/2005 DD 11/15/2004 3,900,000.000 112,125.00 112,125.00 0.00 11/ 15/00SEC JD: 9128276N70CSF07522202: 11/15/2004 LONG Tl!JRM OPER-PIMCO 11/15/2004 TOTAL FIXED INCOME SECURITIES U.S. DOLLAR: 13,408,710.560 469,688.86 469,688.86 0.00 TOTAL FIXED INCOME SECURITIES BASE: 13,408,710.560 469,688.86 469,688.86 0.00 Workbench 41 OCSD-CONSOLIDA TED -OCSGO00 10000 Tran Type Description Transaction Detail Reported by Transaction Category 11/1/2004-11/30/2004 Trade Date Settle Date Reported Date TOTAL INTEREST BASE: Price Base Shares/Par 60,508,710.560 Cost Base 639,728.70 Report ID: EWB009 Base Currency: USD Status: FINAL J Amount Base Net Gain/Loss Base 639,728.70 0.00 TOTAL TRANSACTIONS: 46,503,067.890 -28,554,110.93 -53,697.21 32,315.97 Workbench 42 OCSD-CONSOUDATED -OCSGOOOlOOOO Tran Type Description Transaction Detail Reported by Transaction Category 11/1/2004-11/30/2004 Trade Date Settle Date Reported Date Price Base 43 Shares/Par Cost Base .. Base Cu:rrency: .,_ Status: FINAL Amount Base Net Gain/Loss Base Workbench