WASHINGTON COUNTY, Ore. — Washington County officials on Oct. 21 received an annual briefing on the county’s investment policy and cash management strategy and were told the county’s current policy meets statutory and best-practice requirements.

The presentation, led by Dallas Dyer, Washington County’s chief financial officer, and Diane of Government Portfolio Advisors (GPA), reviewed the county’s portfolio structure, recent performance, maturity and credit constraints, and the firm’s recommendation that no changes be made to the investment policy adopted last year.

The presentation matters because the county manages hundreds of millions of dollars across operating funds, reserves and capital accounts; how those funds are invested affects cash available for operations and yields that feed forecasts across taxing districts.

GPA described the county’s portfolio as composed of three components: liquidity (daily cash and state pool holdings), a cash-match account for near-term liabilities, and a core investment portfolio intended to match longer-term obligations. “All public funds are guided by these three primary goals: keep the money safe, preserve principal and keep the money liquid that needs to remain liquid,” Diane said. She told commissioners the county’s portfolio is being managed inside its policy limits and that GPA recommends no changes to the policy this year.

Dyer told the board GPA helps the county “optimize the liquidity of our portfolio and help us execute the investment strategy,” noting GPA’s role in trade execution, compliance monitoring and benchmark reporting. GPA reported the core portfolio yield at fiscal year-end was roughly 3.79%, up from about 2.99% the prior year, and said total interest and investment earnings across managed assets rose from roughly $28 million to about $36 million year-over-year (the figure includes bond proceeds and other non-operating assets).

GPA emphasized risk controls written into the county’s policy: a maximum final maturity of 5.25 years, a weighted average maturity constraint of 2.5 years (the adviser said the county’s actual management target is about 1.75 years), and high-quality credit limits (roughly AA- or better for allowable corporate securities). Diane said the policy also applies an ESG filter to corporate holdings for GPA’s Oregon clients.

Commissioners asked questions about how large portfolio balances relate to the county’s budget, the difference between accrual (book) earnings and fair-market returns, the county’s bond issuance and potential premium, and reporting cadence. County staff and GPA explained that the roughly $857 million reported at fiscal year-end represents funds that are “spoken for” across many budgeted purposes and multi-year projects, not discretionary cash. GPA also explained that fair-market (“mark-to-market”) values reflect current bond prices and are not the same as cash earnings available for spending.

On reporting, GPA and staff said the investment policy calls for annual review by statute and recommended quarterly reporting as a fiduciary best practice. Several commissioners expressed concern about board time and asked staff to determine whether quarterly reports should be provided automatically or only when indicators suggest heightened risk; staff agreed to bring follow-up recommendations.

Quotes attributed to speakers in this article are drawn from the work session presentation and Q&A. Where the transcript did not provide a complete personal or surname, titles and affiliations are shown as provided by staff.

The county’s finance team said it will return with any updates needed to satisfy statutory reporting and recommended practices; staff did not propose any immediate changes to portfolio composition or the county’s written investment policy.