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Wayne County panel considers letting treasurer invest in 5‑year maturities
Summary
Treasurer Eric Sabri told the committee an ordinance amendment would let the county invest in select U.S. Treasury, federal agency and municipal instruments up to five years for higher potential yields while maintaining liquidity; the committee referred the proposal to the full commission.
The Wayne County Committee on Ways and Means considered an ordinance amendment that would change Chapter 117 of the county code to allow investments in U.S. Treasuries, federal agency instruments and municipal bonds with maturities up to five years.
Eric Sabri, Wayne County treasurer, briefed the committee that extending maximum maturities to five years would give the county flexibility to lock in higher yields when interest rates are elevated and still preserve liquidity on the instruments discussed. "If we can invest longer, we'll get the higher yield for those times," Sabri said, adding the instruments under consideration are liquid and commonly used by public treasuries.
John Wallace, chief financial officer, said management and budget had no concerns and that the change provides the county with more flexibility. Sabri also noted the county uses an overnight sweep that currently earns funds in the federal funds range and that roughly $20 million of balances are managed daily, producing meaningful monthly investment income as an example of the county's cash-management practices.
After discussion the committee agreed to refer the ordinance amendment to the full Wayne County Commission for consideration; no ordinance was adopted by the committee at this meeting.
