Cash Management

The Office of the State Treasurer (OST) processes all cash receipts statements from all State agencies. In Fiscal Year 2017, more than 126,594 cash receipts were processed; more than 561,000 checks were distributed, as well as 643,000 electronic fund transfers (EFTs) for vendor payments. Banking services provided to State agencies are coordinated by the Treasurer's Office--including deposit access to 38 Maine bank accounts, check stop payments and/or reissues, wire transfer services, and more.  Cash flow is monitored.  Funds not needed to pay State expenses are invested through the Treasurer's Cash Pool in obligations of the U.S. Government, repurchase agreements, CDs in Maine banks, money market mutual funds, corporate bonds, and commercial paper.  The cash pool included 104 funds with average daily balance of more than $1.044 billion, and was managed with safety, liquidity and yield in mind. Cash pool earnings from investments registered at more than $8.84 million, including more than $3.59 million to the General Fund.

The goal of the Office of the State Treasurer (OST) is to ensure effective internal controls of State cash transactions by providing centralized cash collection, processing, disbursement and management of State funds. From an accounting perspective, OST works toward internal controls through proper segregation of duties-the Treasurer is appointed by the Legislature, while the Department of Administrative and Financial Services is part of the Executive Branch of State government.