Boone County treasurer reports $39 million in cash, flags $5 million posting error in capital projects fund

The Boone County Committee of the Whole (Finance) heard the treasurer's report on Dec. 11, when Mr. Newport told members the county closed the year with just over $39,000,000 in cash and investments and that the investment pool returned more than $1,700,000 in interest for the year.

Newport said the county is keeping maturities liquid to meet near-term building and insurance obligations and noted December is typically an expensive month for department spending. He told the committee the Federal Reserve's recent 25-basis-point cut contributed to lower market yields and that staff is prioritizing liquidity to cover rising bills and an upcoming roughly $1,000,000 liability and casualty insurance payment.

During the report Newport identified a $5,000,000 discrepancy in the capital projects fund that resulted from a budgeted interfund transfer being posted incorrectly. "We made an interfund transfer that was budgeted, moving $5,000,000 out of the general fund to the capital projects fund, something went wrong in the way that we posted that transfer," he said, and added the calculated ending balance in the capital projects fund is $4,700,000. He said staff will determine how to correct the posting.

Members asked clarifying questions about the $5,000,000 item and other balance details; Newport and staff explained the general fund expenses showed higher spending for the month because the transfer was posted against those expenditures, and that one previously-transferred $1,000,000 also affected month-to-month figures. Newport said auditors will review collateral and deposit security at year end and walked members through the bank ratings report he uses to monitor counterparty health.

The committee did not take a separate formal vote on the treasurer's report; Newport said staff will follow up with the accounting correction and provide more detailed spreadsheets at the next meeting.