The FinTech Revolution

The FinTech Revolution

Public entities & higher-ed institutions will continue to see the rise of Artificial Intelligence, not only with their constituents and students, but also with their own business partners like financial institutions.

rfpPrep® is the answer to making that relationship and process easier, faster & more cost efficient. And three+one can help your talent pool prepare for and embrace this technology.

The Time is Now For Small Budgets: A Case Study with the Town of Elma, NY

The Time is Now For Small Budgets: A Case Study with the Town of Elma, NY

After developing customized liquidity-management strategies with public entities that have budgets as low as $2.5 million, I can confidently say that opportunities for smaller municipalities have returned. The weak interest-rate environment of the past decade is no more; your cash has value once again!

The Time is Now For Small Budgets: A Case Study with the Town of Elma, NY

The Town of Elma* has proven this to be true with their impressive interest earnings since their first cashVest® report last June. The Town Supervisor’s office has worked closely with threeplusone in order to feel confident making cash-management decisions and comfortable with their liquidity position.

The results speak for themselves. We anticipate Elma to generate over $60,000 in interest earnings in the next 12 months, a 1440% increase over the $3,894 that the Town earned in the previous 12 months before working with us.

Elma’s cashVest score has increased by over 30 points since their initial report; they made advances in all five components of the score. Some of the main drivers of the Town’s success can be seen below.

1.) They significantly increased the value they receive on over 44% of funds.

2.) The Town earned 1.63% on strategic funds in mid 2018, compared to earning .08% on these funds in 2017.

3.) The Supervisor’s office took steps to reduce banking fees by over $15,000. This action freed up significant dollars for investments.

4.) The Town updated their investment policy to ensure that the correct procedures were in place and all available investment options according to General Municipal Law were properly represented. This enabled the Town to create an investment plan that works for their office and greatly benefits the taxpayers.

If your public entity has a budget under $10 million and you’re not budgeting for a substantial increase in interest income in 2019, then it’s likely your cash holds untapped potential.

It’s time to follow the Town of Elma’s lead and put a new focus on liquidity management. By implementing a customized cash-management strategy, its Supervisor’s office has generated new and recurring revenue streams—and shown a strong dedication to its taxpayers.

We can help your entity find similar revenue streams where you may never thought to look.

The Good Side of Borrowing

The Good Side of Borrowing

Debt financing is a necessary tool for all public entities when they are faced with major capital projects. School districts purchase new fleets of buses, counties manage infrastructure projects that span multiple years, and cities construct public spaces meant to attract residents and tourists. Though these endeavors carry a large price tag, they also provide worthwhile benefits.

The Good Side of Borrowing

Government entities, having limited sources of revenue, strive to pass balanced budgets each year. Debt financing allows for the opportunity to pursue more ambitious public works by funding the projects over several years.

Moreover, when a public entity borrows for a project, the financial burden is spread across generations of taxpayers. This is more equitable than asking current residents to pick up the entire tab for public parks and buildings that will be utilized well into the future.

If you’re a finance official who is currently navigating the debt-financing process, it is imperative that you know your duties don’t end once the funds are secured. Your cash is more valuable today than at any point in the past decade and these proceeds can significantly help reduce your initial borrowing costs.

Collaborating with project managers to develop an accurate draw schedule will help you maximize your earnings without sacrificing liquidity. Additionally, the IRS has arbitrage laws that limit the amount of interest certain entities can earn on borrowed proceeds. Don’t shy away from working to offset borrowing costs because arbitrage calculations seem intimidating. Rather, talk to your municipal advisors and work with vendors who specialize in these areas.

Finance officials will be called on to lead debt-financing efforts when their entity is considering a large project outside the scope of their routine activities, or if the state mandates a specific capital project.

Public entities that work with threeplusone® to receive time-horizon data feel confident that their operating and reserve funds are always earning the highest yield possible without sacrificing safety or liquidity. We encourage our clients to be proactive in managing their bond proceeds with a similar level of detail in order to offset borrowing costs to the fullest extent possible.

The Analytics Revolution

The Analytics Revolution

The Information Age and resulting new technologies have led to a a paradigm shift in the way the world makes decisions. Look no further than professional sports to see how the approach to formulating strategies has changed.

The Analytics Revolution


Coaches, who in the past defended their most important decisions using factors like “gut feeling” and “momentum,” are now making calls based on the probability of winning games according to the data. Analytics gives these leaders the opportunity to completely remove emotions from the situation and take an unbiased approach based on the numbers. The underlying statistics have always been there but now, thanks to technology, they have easy and virtually unlimited access to them.

Modernized treasury management within public entities and higher Ed sectors is no different. Cash can be spread out across many accounts at multiple institutions all earning different yields. Combine this with restrictions or limits on withdrawals and required balances, and one’s cash management picture can be a lot more complex.

Treasury officers are eager to get their hands on data and analysis from one central location that enables them to feel both comfortable and confident when making their cash-management decisions. Analytics makes it possible to maximize the potential of public funds without sacrificing safety or liquidity—and save valuable time during the decision-making process.

This type of information and analysis can include time-horizon data, effective rates for all entity funds across different providers, current market rates, and much more. Finance officials who collaborate with threeplusone have this data at their fingertips; that gives them the ability to maximize taxpayer dollars like never before.

Much like coaches in professional sports, finance officials are accountable to a large group of constituents who will not hesitate to voice their opinions if the results are not in line with their expectations.Having the data in hand and an appropriate application of analytics that backs up your decisions can be the difference maker in getting your finance office the hard-earned recognition it deserves!

The threeplusone Difference

The threeplusone Difference

The most important factor in any relationship is trust. The threeplusone team earns the trust of its clients because of our unique role as an independent liquidity-data provider. This term may be unfamiliar to many people, so we chose to break it down in this week’s blog and showcase how threeplusone is different from banks and investment advisors.

Let’s start with liquidity-data provider. When public and higher Ed finance officials have the necessary data to ensure every dollar is valued appropriately in the marketplace, the increased savings and earnings are truly impressive.

The threeplusone Difference

The threeplusone Difference

The application of time-horizon data makes certain that all funds are earning their maximum allowable yield without sacrificing safety or liquidity. The data provided by threeplusone answer the challenging questions “How much?” and “For how long?” with statistically supported figures that ensure an entity is managing its liquidity in the most effective manner. This kind of information is only available through threeplusone’s liquidity analyses; it’s not offered by investment advisors or banks.

Another attribute that makes threeplusone unique is the fact that we do not take fiduciary or manage funds. Our proven track record in the public and higher Ed marketplace continues to prove there’s a value in having an independent firm that works solely to benefit the entity—not outside stakeholders—in achieving higher levels of savings and greater revenue.

When threeplusone provides time-horizon data, clients can be confident that each recommendation is quantitatively based and customized to each entity to help ensure that every dollar of taxpayer money is earning an appropriate value, allowing for more savings on treasury services, and earning a higher level of yield, dependent on the entity’s specific liquidity requirements.

Our goal is to help ensure that every dollar of taxpayer money is earning its appropriate value, whether it is on deposit at a bank, managed within an investment-advisory firm, or held in custody on behalf of the entity.

This type of relationship differentiates threeplusone from other financial providers. We are able to bring a completely objective outlook to all cash-management decisions because we do not collect fees based on the placement of funds. At threeplusone, our interests are completely and properly aligned with those of our clients; we have no incentive to have cash move in any specific direction.

This is why threeplusone is considered to be an independent liquidity-data provider.

Taxpayers are the true beneficiaries of the data that threeplusone provides to public entities and higher Ed institutions. We are not beholden to any interest other than theirs.

Now you know the threeplusone difference.