About Treasury Services (Mission Statement)
The Office of Treasury Services (“OTS”) serves as UConn’s public finance department, and professionally and prudently issues, invests and disburses UConn 2000 bond funds, and also acts as the compliance department for UConn 2000 and other tax-exempt debt pursuant to the rules and regulations of the Internal Revenue Service, the Securities and Exchange Commission, the Municipal Securities Rulemaking Board, State Law, the indentures and other financing documents, and other entities.
OTS strives to promote public confidence in the University’s Treasury Operations and the UConn 2000 bonds through effective management of resources, high standards of professionalism and integrity, and skillfully acting on opportunity for the University’s debt programs in the public and private markets.
Debt Management Responsibilities
The Office of Treasury Service manages the issuance of UConn 2000 debt, and disbursements of UConn 2000 debt proceeds pursuant to the indentures, state law, the U.S. Internal Revenue Service, the Securities and Exchange Commission and other regulatory requirements. Treasury Services actively issues and manages the University’s debt, in a prudent and cost-effective manner, negotiating favorable interest rates and other financing terms, in conjunction with the State Office of the Treasurer, pursuant to the UConn 2000 Act. OTS establishes debt service and payments thereof; administers the bond funds, oversees the Bond Trustee accounts, Paying Agent, Checking Account and Investment bank relationships, and oversees the University’s credit rating agency relationships. The efficiency with which OTS operates its debt management program directly affects the debt service costs paid for by UConn students and/or Connecticut taxpayers. The department oversees development of the SEC required Official Statements and other financing documents, and actively prices and structures the bond issues. Treasury Services refunds outstanding bond providing money to UConn and the State through debt service savings. Treasury Services supervises bond counsel in developing the Supplemental Indentures for the Executive Vice President for Administration and Chief Financial Officer for submission to the Board of Trustees and the State Governor pursuant to the Indentures and State Law. OTS also oversees bond proceeds reallocations pursuant to the act and prepares the formal amendments to the Indentures with bond counsel.
Cash Management Responsibilities
The Manager of Treasury Services is an Indenture Authorized Officer and disburses and invests bond proceeds. OTS acts as the clearinghouse for all UConn 2000 debt transactions with cash inflows and outflows totaling billions of dollars. OTS directs the disposition and investment of all bond funds totaling billions of dollars including refunding escrows. OTS supervises and directs the creation of the appropriate bond fund trustee bank accounts; paying agent bank accounts; checking accounts; and investment bank accounts, and administers the same. OTS oversees the UConn 2000 banking relationships, and the coordination of banking and cash management activities with the State Treasurer’s Office.
Indenture and Regulatory Compliance Responsibilities
While compliance is ultimately the responsibility of Senior Management, OTS has been charged by the Executive Vice President for Administration and Chief Financial Officer with performing much of the UConn 2000 debt program’s compliance function including the General Obligation and Special Obligation Indentures, supervising the development of the Official Statement and other financing documents; and tax-exempt debt related Internal Revenue Service compliance (including arbitrage computations, IRS audits, etc. OTS has also been charged by the Executive Vice President for Administration and Chief Financial Officer with overseeing the required Municipal Service Rulemaking Board disclosure filings, and performs the appropriate Electronic Municipal Market Access system filings pursuant to the MSRB and SEC rules and regulations. OTS works closely with the Office of the State Treasurer and bond counsel.
Other State Statute Responsibilities
OTS works with the University’s Purchasing Department, General Counsel, and UConn Health, the Office of the State Treasurer, and Attorney General’s Office for the sales or leases of assets including land pursuant to Conn. Gen. Stat. 4-b 38(g) and the tax compliance of any UConn tax-exempt debt (including lease financings), pursuant to Connecticut General Statutes 3-20d.
This document describes the functions of the Office of Treasury Services and provides the applicable resources to ensure compliance with rules, regulations, policies and procedures.
OTS has responsibilities and contributes to other areas as directed by the EVPA&CFO.