What: how the Town invests its cash reserves (one savings account alone held about $5 million in June). Investment earnings are a major revenue source ($150,000 budgeted for FYE 2027).
Where it stands: ongoing. Since spring Brock Hall and Finance Officer Linda Hunt have moved idle checking balances into higher-yield accounts.
Next: carry out the September 22 direction to close the Encore Bank accounts.
Approach and banks
John Byrum prefers guaranteed investments (money markets, CDs) over market risk.
Banks in use: First National Bank (primary), Home Trust Bank, Encore Bank, and the North Carolina Capital Management Trust, which Council heard about from Terra Greene on July 13.
Recent decisions
On September 22 Council directed Hall and Hunt to close the Encore Bank accounts (about $240,000 at 2.7%, local branch closed) and move them to First National Bank's 3.6% money market.
A CD maturing September 4 (about $7,448 interest) was renewed for six months at 3.75%.
Interest income was over $50,000 by the end of September.
2026-07-13 - Town Council - NC Capital Management Trust presentation (one-day yield 3.51%, 0.205% fee); no action.
2026-06-01 - Town Council - $1,000,000 moved into the highest-yield savings account (about $5,000,000), bank added 0.8%; meetings with banks completed.
2026-04-23 - Town Council Budget Work Session - Review of seven accounts; Council unanimously backed moving at least $1 million to higher-yield money markets and opening new banking relationships.