Pathway to Recovery® Series
A Better Crystal Ball
If you are a public sector budget officer, then this year you are going to need a better crystal ball. We can help with that.
I can appreciate the anxiety that municipal budget officers are feeling right now. Even in the best of times, putting together a spending plan for your organization that incorporates and addresses all of the “what ifs” that can happen between now and December 31st of the following year can be a daunting task. And the autumn of 2020 is definitely NOT the best of times.
I served as a budget officer for a small-to-medium size county in upstate New York for 18 years, and I had to deal with my share of challenges. In addition to the standard annual struggle to hold the line on property taxes while still providing much-needed services to the public, my rural community was still coming back from the economic impacts of the Great Recession when we were hit with historic flooding that swept through our scenic valley in 2011. Businesses closed, sales tax revenues fell, and some houses remained vacant and abandoned.
Covid-19 has presented us with challenges that none of us have ever seen before. There are many unanswered questions swirling about which compound the difficulty of making revenue projections for the coming year. Will Congress approve more federal aid to states and local governments? Will every municipality receive a fair and direct share of that desperately needed aid, regardless of the size of their population? Will the coronavirus be contained over the next two or three quarters, or will there be a second wave that could result in yet another blow to businesses struggling to survive?
Here at three+one®, we provide our clients with liquidity data and cash-flow projections that can help bring the financial picture into a sharper focus. We do this by equipping our clients with a broad range of financial technology tools. These can include our patented cashvest® liquidity monitoring and cash management system; access to our MC Forecast® cash-flow modeling tool which provides accurate, reliable data about what your municipality’s or higher-Ed institution’s cash position will be 6, 12, and even 18 months from now; and the option of utilizing our innovative rfpPrep® software that makes it easier than ever before to compare banking services and procure the best-performing and lowest-cost options that fit your particular needs.
The timing is perfect right now because besides providing you with a much clearer view of what your financial picture will look like over the next several quarters, three+one will also help you to immediately begin achieving real, significant financial benefits that can be incorporated into your 2021 budget. These include:
- Increased interest earnings by helping you put every available dollar to work—and extending the timeline that you can lock in the interest.
- Savings on bank fees by helping you to consolidate under-utilized accounts and embrace new banking technology measures that can help combat fraud.
- Our liquidity data can help reduce the number of times you have to borrow for short-term cash-flow needs; that means lower debt service.
- Higher credit ratings based upon the extensive liquidity data we provide can result in lower interest rates when you do have to borrow money.
Why not give three+one® a call? Our team of experienced financial professionals will be happy to help you polish up that crystal ball of yours and assist you in getting a more accurate picture of what the future holds.
The author served for a total of 38 years in local government at the village, town, and county levels, including 18 years as a county Budget Officer and eight years as a Disaster Recovery Coordinator. As Director of Public Partnerships for three+one®, he can be reached at 585-484-0311 or by email at: firstname.lastname@example.org