By State Treasurer John Kennedy

The mission of the Louisiana Department of the Treasury is to promote prudent cash management and investment strategies in the administration of state funds. Even in the midst of the national economic crisis, 2010 proved to be another solid year in terms of investment and program performance for the Treasury.

Some of Fiscal Year 2010’s financial highlights include:

  • Managed an average of $11 billion in statutory and constitutionally created funds with earnings totaling $309.1 million.
  • Exceeded the $4.9 billion mark for the General Fund investment portfolio’s cumulative income (since 1968).
  • Serviced and managed 11 outstanding GO debt issues with payments totaling $303 million.
  • Earned $185.9 million on the state’s Treasury General Fund Portfolios and $120.6 million on the state’s three major trust funds which had the following rates of return: 16.7 percent (Louisiana Education Quality Trust Fund), 5.4 percent (Millennium Trust Fund) and 8.8 percent (Medicaid Trust Fund).
  • Grew the Millennium Trust Fund for health care, education and TOPS from an original investment of $912 million in 2001 to more than $1.4 billion today.
  • Awarded $313.3 million in certificates of deposits to 99 banks statewide.
  • Collected a record $60.8 million in unclaimed property from Louisiana businesses and refunded a record $22.2 million to Louisiana residents.
  • Earned 2.7 percent on fixed income investments in the START 529 plan and 9.2 percent to 27.7 percent on equity investments (managed by The Vanguard Group).
  • Reached $1.8 billion in assets, 622 participants and 3,482 accounts for the Louisiana Asset Management Pool.
  • Improved the state’s credit rating from Standard & Poor’s from A+ to AA- with a stable outlook. Raised the outlook of the state’s credit rating from Moody’s Investor Service from stable to positive and maintained an A1 rating.

The Treasury will continue to work to earn the best rate possible on taxpayer dollars and meet our goals of financial strength and durability of the state. We take our job seriously and will continue to work to improve the state’s finances, investment performance and bond rating. For more information about our efforts, visit www.latreasury.com.