New Mexico State Treasurer's Office Information

The New Mexico State Treasurer's Office (STO): Provides Banking Assistance and Services to State Agencies—The cash management function of STO includes accepting money for deposit (through the fiscal agent bank), processing withdrawals, reconciling all bank transactions and balances, and managing securities used as collateral in accordance with Federal Reserve requirements. Validates Bank Activity—STO validates deposits and withdrawals into and out of the state’s fiscal agent accounts, including all adjustments such as returned checks, stop payments, etc., to help identify and eliminate fraudulent activity. Acts as Paying Agent on the State’s Outstanding Debt/Bond Issues—STO is required to make all debt payments on scheduled maturity dates to designated payees. Manages and Invests the State’s Operating Cash—The Chief Investment Officer invests money in the custody of STO that is not immediately needed for the operations of state government. Accordingly, all investments made by STO must follow three fundamental principles: safety, liquidity, and yield, prioritized in that order. Manages and Invests the State’s Bond Proceeds Until Needed for Project Costs—STO is responsible for investing bond proceeds from the issuance of general obligation bonds, severance tax bonds, and supplemental severance tax bonds. Manages and Invests the New Mexico Local Government Investment Pool (LGIP)—The LGIP is a Standard & Poor’s AAAm-rated money market fund that STO offers to eligible local public bodies. It offers greater purchasing power and the economy of scale to secure the best yields with the lowest possible participant fees. Enforces the State’s Collateral Policy on Financial Institutions Holding State Money—Collateral ensures adequate protection of State money deposited by agencies in local banks, the State’s fiscal agent account, and ancillary receivership deposits.