After developing and implementing a clear liquidity plan over the last year, Beaufort County, SC has increased its interest earning by over 300%. Treasurer Maria Walls, CPA has worked closely with her bank, investment advisors, and threeplusone to make sure every dollar that she has on hand is being put to work to earn more.
Beaufort County has an annual budget of $245 million. For fiscal year 2018 (July 2017-June 2018), Treasurer Walls recorded a record $2.9 million in interest earnings for her county. As she continues to proactively implement the County’s monthly cashVest® updates, we anticipate the County to earn over $3.5 million in interest earning for the next fiscal year.
With significant advances in all five components of the County’s cashVest update, Treasurer Walls was able to increase her score by over 20 points since the initial analysis. Here are a few ways the County has achieved over $2 million in interest earnings:
1.) By ensuring 100% of all the County funds are providing value, either through direct interest earnings or by offsetting banking fees.
2. ) The Treasurer continues to work on balancing the County’s operating balances and using threeplusone’s time-horizon data to ensure all low- and non-performing cash is receiving the maximum rate potential.
3.) The County increased the interest on operating liquidity by over 215% during the 2018 fiscal year.
4.) The Treasurer’s office adopted an investment policy that guides current and future employees in the allowable investments and restraints that maximize the County’s cash assets within the appropriate confines of safety and liquidity.
As budget season approaches, it’s time to focus on liquidity management. Let us help you achieve greater interest earnings in 2019 by identitying the value of your cash and putting it to work the way Beaufort County has.