As state treasurer, my number one priority is the safety of the state’s money. My office functions like a bank for state agencies that are collecting taxes, fees and other revenue. All the money that is collected is deposited into the State Operating Fund. From this fund, we make sure there is enough cash available each day to pay the state’s bills, such as education funding, human services expenses, vendor payments and income tax refunds. We invest remaining money in highly-rated fixed income securities. Most of these investments are issued by the United States government and its agencies. More than half of the investments are short-term securities that mature in under a year.
In addition to investing in U.S. government securities, we place deposits in Iowa financial institutions through my Invest in Iowa program. Invest in Iowa enables the state to earn a competitive rate on its money while providing local financial institutions with money they need to keep the economy moving. Currently, my office has over $230 million in deposits here in Iowa.
Last fiscal year, my office managed the flow of about $20 billion in and out of the state treasury. The State Operating Fund had an average daily investment balance of $3.5 billion. Keeping all this money safe, ensuring adequate liquidity of funds and earning interest through prudent investments are my goals.
For additional information about my office’s duties and the state’s investments, please select the “Our Responsibilities” tab on the top of my website.