City Treasurer
Encyclopedia
The City Treasurer is a position of responsibility for a city
according to the prevailing laws in that city.
The treasurer
of a public agency is elected by the voting public or is appointed by the city council
or city manager
. City treasurers are primarily responsible for managing the revenue and cash flow of the agency, banking, collection, receipt, reporting, custody, investment or disbursement of municipal funds.
management, cash management
, issuing and repaying debt
, and interest rate risk
, and oversight of pension investment management
.
They also typically advise the city council and city manager, or their eaquivalents, on matters relating to municipal finance.
They could also have oversight of other areas, such as the purchase of insurance
, and collections of user fees such as utility usage and business licenses. Municipal funding sources are commonly property tax
, sales tax
, income tax
, utility users tax (UUT), transient occupancy tax (hotel occupancy), and user fees such as licensing and permit fees.
.
Appointed city treasurers, not subject to residency requirements, are likely to be subject to competition and likely must have finance-related college degrees, prior investment experience, municipal department head experience and appropriate training and certifications.
City
A city is a relatively large and permanent settlement. Although there is no agreement on how a city is distinguished from a town within general English language meanings, many cities have a particular administrative, legal, or historical status based on local law.For example, in the U.S...
according to the prevailing laws in that city.
The treasurer
Treasurer
A treasurer is the person responsible for running the treasury of an organization. The adjective for a treasurer is normally "tresorial". The adjective "treasurial" normally means pertaining to a treasury, rather than the treasurer.-Government:...
of a public agency is elected by the voting public or is appointed by the city council
City council
A city council or town council is the legislative body that governs a city, town, municipality or local government area.-Australia & NZ:Because of the differences in legislation between the States, the exact definition of a City Council varies...
or city manager
City manager
A city manager is an official appointed as the administrative manager of a city, in a council-manager form of city government. Local officials serving in this position are sometimes referred to as the chief executive officer or chief administrative officer in some municipalities...
. City treasurers are primarily responsible for managing the revenue and cash flow of the agency, banking, collection, receipt, reporting, custody, investment or disbursement of municipal funds.
Responsibilities
The city treasurer is typically responsible for liquidity riskLiquidity risk
In finance, liquidity risk is the risk that a given security or asset cannot be traded quickly enough in the market to prevent a loss .-Types of Liquidity Risk:...
management, cash management
Cash management
In United States banking, cash management, or treasury management, is a marketing term for certain services offered primarily to larger business customers...
, issuing and repaying debt
Debt
A debt is an obligation owed by one party to a second party, the creditor; usually this refers to assets granted by the creditor to the debtor, but the term can also be used metaphorically to cover moral obligations and other interactions not based on economic value.A debt is created when a...
, and interest rate risk
Interest rate risk
Interest rate risk is the risk borne by an interest-bearing asset, such as a loan or a bond, due to variability of interest rates. In general, as rates rise, the price of a fixed rate bond will fall, and vice versa...
, and oversight of pension investment management
Investment management
Investment management is the professional management of various securities and assets in order to meet specified investment goals for the benefit of the investors...
.
They also typically advise the city council and city manager, or their eaquivalents, on matters relating to municipal finance.
They could also have oversight of other areas, such as the purchase of insurance
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
, and collections of user fees such as utility usage and business licenses. Municipal funding sources are commonly property tax
Property tax
A property tax is an ad valorem levy on the value of property that the owner is required to pay. The tax is levied by the governing authority of the jurisdiction in which the property is located; it may be paid to a national government, a federated state or a municipality...
, sales tax
Sales tax
A sales tax is a tax, usually paid by the consumer at the point of purchase, itemized separately from the base price, for certain goods and services. The tax amount is usually calculated by applying a percentage rate to the taxable price of a sale....
, income tax
Income tax
An income tax is a tax levied on the income of individuals or businesses . Various income tax systems exist, with varying degrees of tax incidence. Income taxation can be progressive, proportional, or regressive. When the tax is levied on the income of companies, it is often called a corporate...
, utility users tax (UUT), transient occupancy tax (hotel occupancy), and user fees such as licensing and permit fees.
Qualifications
Elected city treasurers may only be required to be of legal age, over 18, for example, meet minimum residency requirements, perhaps six months or one year, and be a registered voter. With no training requirement, citizens may have a legitimate concern and may impose post-election training requirements once in office. Some States offer but may not require, extensive training and certification programs, such as the Certified California Municipal TreasurerCertified California Municipal Treasurer
A Certified California Municipal Treasurer is a post-nominal professional certification awarded by the California Municipal Treasurers Association to California public treasurers who meet standards of education, experience and a stated commitment to a code of ethics...
.
Appointed city treasurers, not subject to residency requirements, are likely to be subject to competition and likely must have finance-related college degrees, prior investment experience, municipal department head experience and appropriate training and certifications.
See also
- Association of Public Treasurers of the United States and CanadaAssociation of Public Treasurers of the United States and CanadaAssociation of Public Treasurers of the United States and Canada is the professional society of active public treasurers of counties, provinces, cities, and special districts in the United States and Canada...
- California Municipal Treasurers AssociationCalifornia Municipal Treasurers AssociationCalifornia Municipal Treasurers Association is the professional society of active public treasurers of California counties, cities, and special districts. It sets ethical standards for the treasury profession in state and local government in California....
External links
- Association of Public Treasurers of the United States and Canada
- California Municipal Treasurers Association
- Illinois Municipal Treasurers Association
- Michigan Municipal Treasurers Association
- Government Treasurers Organization of Texas
- Washington Municipal Treasurers Association
- Treasurers of Wisconsin