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Marion County staff recommend moving $300,000 from Road & Bridge reserves into a 4.15% CD
Summary
County staff told trustees the Road & Bridge fund has about $1.6 million in reserves and proposed placing $300,000 into a certificate of deposit at 4.15% with State Bank and Trust; staff said that bid was roughly 0.25 percentage points higher than other offers.
County staff recommended using a portion of Road & Bridge reserves to buy a certificate of deposit, citing available funds and comparative interest rates.
Scott told the board the Road & Bridge account balance is about $1.6 million and that the county has extra reserves that could be transferred into savings. "We have about 1.6 in Road and Bridge right now, so we have extra in our reserves," he said. He told the board the State Bank and Trust bid of 4.15% "was about a quarter percent more than any other that we received." The recommendation presented to the board was to purchase a $300,000 CD at 4.15% from State Bank and Trust.
Board members made and seconded a motion to approve the purchase. Staff indicated next steps include executing paperwork to place the funds into the CD and updating financial records.
What it means Moving $300,000 into a CD is a short-term investment of reserves intended to earn interest while maintaining principal accessibility through follow-up procedures the county must complete. Staff framed the move as shifting a portion of excess reserves into a higher-yield option after comparing bids.
Follow-up Finance staff and the Road & Bridge department were assigned to execute the purchase and record the transaction; no legal references or conditions were cited in the meeting discussion.
