Pub. 14 2017 Issue 3

O V E R A C E N T U R Y : B U I L D I N G B E T T E R B A N K S - H E L P I N G N E W M E X I C O R E A L I Z E D R E A M S Issue 3 • 2017 9 the County Assessor Offices across the state. I wanted to make the 33 counties consistent in method of operation and appraisal techniques. I was elected State Senator in 2008 andworked collaboratively withmy Senate colleagues to find a balance and do the right thing for all New Mexicans. During my tenure I chaired the Govern- mental Restructuring Task Force, which sought to streamline state government and save taxpayers money. In 2010, I carried the Governmental Conduct Act, tightening the code of ethics for all government employees. As a Commissioner of the City of Albuquerque’s Environ- mental Planning Commission, I realized how important the Albuquerque Metropolitan Arroyo Flood Control Authority (AMAFCA) was to the city’s new business development and its recreational future. Using AMAFCA’s facilities for multiple purposes, we enhanced our quality of life with more bicycle trails and parks. Currently, I’m serving my fourth term as an AMFACA Director. In 2014 I was elected New Mexico State Treasurer. How have your years of public service mixed with a successful private practice career assisted you in your role as Treasurer? I’m a lifelong resident of New Mexico, growing up in Albu- querque and graduating from the University of New Mexico. In addition to the public service we’ve spoken of, I began working in real estate while still in college. I have operated a small business for over 30 years as a property tax consultant, a state certified appraiser, a general contractor (GB-98), and a real estate bro- ker. My wife of 37 years, Sandra, owns a small business, and we raised our two children in Albuquerque. As you can see, I’m invested in NewMexico. I want the best opportunities for future generations, which is something I think about a lot in my role as State Treasurer. What are the most important duties and tasks of the State Treasurer? The State Treasurer receives and keeps all state money; dis- burses the public money; oversees the state’s investments; keeps a just, true, and comprehensive account of all money received and disbursed; and gives to the State Legislature a detailed statement of the condition of the treasury each year. The most important duty is to ensure that all decisions are always in the best interest of NewMexicans—even though those decisions are made in a political world. The most important tasks are maintaining an accessible, ethical, and transparent office; adhering to best management practices; investing the taxpayers’ money prudently; and, as the State of New Mexico’s banker, working with all state agencies collaboratively to ensure productivity. Given these duties, it helps to have a financial or business background. The responsibility is staggering when you realize that together New Mexico’s investing agencies are responsible for over $50 billion in investment assets. Individually, the State Investment Council has $22 billion, PERA has $14 billion, ERB has $12 billion, and the State Treasurer’s office is responsible for $3.8 billion. This is very serious business. What does overseeing the state’s investments entail? The State Treasurer’s Office invests excess state funds—those not needed immediately for operations. Presently this consists of $2.8 billion spread across various portfolios including the General Fund, the Bond Proceeds Investment Pool, and the Severance Tax Bonding Fund. Since I took office in January 2015, we’ve seen negative rates, four Fed rate hikes, and declining state revenues, yet we’ve successfully met all state liquidity needs while avoiding any undue losses. In terms of yield, over the last three fiscal years (2015-2017) we’ve added nearly $75 million to the State’s coffers (excluding unrealized gains or losses). As far as the future, the State Treasurer’s Office will continue to monitor the economy in hopes of discerning whether or not the Fed will hike rates once more in 2017. Also, over the last year we’ve expanded corporate bond and commercial paper investing activities. The State Treasurer’s Office has developed strong credit analysis and monitoring procedures, and to date n Tim Eichenberg  continued on page 10 For the State Board of Finance, the Mortgage Finance Authority, and the Small Business Investment Corporation, I seek to secure investments in job creation and infrastructure. For the State Investment Council, the Council Members ensure that the asset allocation is correct to meet performance. It’s SIC’s performance that guarantees the distribution to the General Fund.