Treasurer reports historic $202 million pool earnings for fiscal 2025; warns yields may fall

Ventura County Treasurer‑Tax Collector Sue Horgan told the Board of Supervisors on Sept. 30 that the county’s pooled investments generated approximately $202 million in earnings for fiscal year 2025, noting the county’s average daily balance was about $4.7 billion in June and reached a high of $5.2 billion in April.

Horgan said the pool’s net effective rate of return was 4.31% in June 2025 and that the portfolio outperformed the State of California pool (LAIF/LEAF benchmark) in 10 of 12 months of the fiscal year. She emphasized the fund’s conservative allocation: roughly 46% of the pool is in U.S. Treasuries, government agencies and supranationals and nearly half of the portfolio matures within six months to preserve liquidity.

The county’s portion of the pool was about 43.3% at the June 30 reporting date; Horgan estimated the county’s portion of 2025 earnings was nearly $90 million. Horgan cautioned the board that the Federal Reserve’s expected rate cuts would likely reduce returns going forward and said the current earnings level likely represents a high point in the current cycle.

The board received the report on a unanimous vote. Supervisors commended Horgan and staff for conservative portfolio management and noted that the pool’s earnings are important to county fiscal planning.

Why it matters: The investment pool’s strong 2025 returns improved county interest income in a year of fiscal pressure; staff warned the board that earnings may moderate as the Federal Reserve trims rates and recommended continued conservative risk management.