What’s Next? Part II

Can an entity be financially prepared for the unexpected disruption of its operations due to a natural disaster or another unfortunate occurrence?

The answer is clearly “Yes.”

What's Next? Part II

In last week’s bog, I described my latest visit to our nation’s capital. I noted the strong sense of accomplishment by federal officials, acknowledging the well-coordinated efforts of local, state, and federal responders to communities affected by Hurricanes Harvey and Irma.

Now with all the media attention down to a whisper, one might ask “what’s next ” for those still-reeling communities.

The Federal Emergency Management Administration (FEMA) serves as the primary federal agency in the management of emergency assistance to local communities. Their process can take countless months to years for reimbursements, involve mounds of paperwork, multiple levels of approvals, and frustrating bureaucratic roadblocks at every stage.

At three+one we can help serve public entities and higherEd institutions at two levels:

First, our liquidity analysis and data will can factor in the “unexpected” for liquidity proposes when preparing your cash flow forecasting. Our independent perspective considers various stress levels to assure you that cash would be available when necessary, while also providing your financial institutions the data they need to balance between available cash and investments.

Second, our liquidity data can be used to project the “what ifs” in case of unforeseen disruptions. This information can help an entity like yours prepare before and assist during and after a disruption in operations.

A coordinated between you, your financial institutions, and three+one can lead to a seamless process with liquidity when needed—without jeopardizing safety or yield.

“What’s next” pertains to all public and private entities and can be unsettling. But, with the right help and strategy, they can become a normal process in your cash flow and liquidity planning.


See Us At These Upcoming Events and Conferences:
GFOA SC – October
PA GFOA – October

My Capital Visit, Pt. I

Last week, I had the opportunity to attend several briefings by the Pentagon, White House and Treasury Department officials, along with several Congressional leaders in Washington, DC.

My Capital Visit, Pt. I

The top five topics we discussed were as follows:

1.) There was a sense of accomplishment in the Fed’s response to Hurricanes Harvey and Irma and in providing initial funds to the scores of communities affected by them. The level of communication between all levels of government received positive reviews.

2.) Achieving tax reform is now the main emphasis on Capitol Hill. The new dogma in Washington is that tax cuts for the middle class, while lowering the corporate tax rate, would lead to an overall stronger economy and be a catalyst for job creation that could provide financial strength for public entities.

My Capital Visit, Pt. I

3.) The Treasury Department’s major focus seems to be centered on the flow of monies funding domestic and international terrorism. In addition, the threat of inflation looms should there be a big uptick in economic growth.

4.) Though there was an undertone of grave concern over North Korea, there is some hope that recent global sanctions and the possibility of Chinese intervention may lead to a diplomatic resolution.

5.) We met with a bipartisan caucus of 40 members of Congress; they call themselves the “problem solvers.” Led by Tom Reed (R-NY) and Josh Gottheimer (D-NJ), this caucus may become a powerful switch group within Congress.

At three+one our proprietary liquidity analysis and data will identify all levels of cash, operating & non-operating, that can be put to work by your bank(s) or financial advisor to capture a higher yield, while maintaining all required safety and liquidity requirements. One aspect of our analysis is to consider what influences would affect liquidity and stress levels of one’s cash over periods of time.

Next week, in Part 2, I will discuss how public entities can best deal with unexpected liquidity needs as a result of disruptive events caused by natural disasters.

See Us At These Upcoming Events and Conferences:
Ohio GFOA – September
GFOA SC – October
PA GFOA – October