Reconciliation Information

The goal of the Office of the State Treasurer is to ensure effective internal control of State cash transactions by providing centralized cash collection, processing, disbursement and management of state funds.

From an accounting perspective, we work toward internal control 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. Our ‘independence’ in collection and processing of state revenues, bank reconciliations, and cash management helps to maintain the checks and balances within any successful organization.

Title 5: Administrative Procedures and Services, Park 1: State Departments, Chapter 7: Treasurer of State, Section 131, states:

“Every department and agency of the State, whether located at the Capitol or not, collecting or receiving public money, or money from any source whatsoever, belonging to or for the use of the State, or for the use of any state department or agency, shall pay the same immediately into the State Treasury, without any deductions on account of salaries, fees, costs, charges, expenses, refunds, claims or demands of any description whatsoever.”

As the clearinghouse for all of the State's cash inflows and outflows, totaling nearly $5.8 billion for the last fiscal year, the Office of the State Treasurer is responsible for managing the State's cash transactions and banking relationships.

We maintain two primary bank accounts, one for check disbursements and one to concentrate all cash inflows, to accommodate the banking service needs of State agencies. In addition, there are a number of specialized accounts that accommodate unique requirements or functions of individual agencies that cannot be met through the more general accounts.

These accounts include an electronic disbursement account, a payroll checking account, a payroll direct deposit account, a credit card settlement account, two Lottery accounts, three specialized Labor accounts, five accounts for tax deposits and refunds for Maine Revenue Services, a checking account to process restitution payments to victims of crime, two Bureau of Financial Institution EFT accounts, three Department of Administrative and Financial Services accounts, a DHHS child support collection account and a DHHS Smartcard clearing account.

Proprietary software systems may produce data files which may be transmitted to the bank (i.e. check issuance information), or may require standardized imports from the bank to feed a proprietary system.

In addition to these accounts and services, the Treasurer currently maintains twelve deposit accounts with satellite banks throughout the State in order to meet geographic needs and provide operational flexibility.

The Office of the State Treasurer is responsible for processing revenues to the State’s accounting system through its electronic revenue collection system, the Treasurer’s Automated Management Information System (TAMI). We independently assure the integrity of revenue collections through our bank reconciliation functions, by comparing bank transactions to entries on the accounting system.

Unmatched or open reconciliation items between the State’s accounting system and actual banking transactions are researched and the Office of the State Treasurer works with the appropriate State agency or the appropriate bank for resolution.

We also work with State agencies to procure advantageous arrangements for new petty cash, escrow accounts, and/or non-operational accounts seeking security, minimal fees and maximum interest earnings.