Rylander Announces First Online Auction for State Deposits
Contact: Mark Sanders or Mary Jane Wardlow, 512-463-4070
(Austin)-Texas Comptroller Carole Keeton Rylander today announced her office has successfully completed the first online auction of state deposits for financial institutions that want to compete for state funds.
Rylander said $70 million in certificates of deposit were awarded to 42 banks, credit unions and savings and loans at an average interest rate of 6.19 percent.
The electronic bidding auction, called BidTX, is an innovative new process that uses the latest Internet technology to invest state funds with institutions that offer the highest interest rates to maximize earnings on state revenue.
"Technology has revolutionized the way Texans do business," Rylander said. "Since taking office, I have worked to modernize the investment practices of my agency with new technology as part of my e-Texas initiative to help state government meet the challenges of the Information Age. I am delighted the first online auction was such a great success."
The Comptroller's Office will conduct online auctions for state deposits on the first Wednesday of each month through MuniAuction, an auction hosting service. Approved Texas depositories are eligible to participate after they have been registered and approved by the Comptroller. Minimum bids are $100,000 and may increase in $100,000 increments to a maximum of $7 million per institution.
More information on BidTX is available at www.bidtx.com or by calling the Comptroller's Office toll-free at 1-800-252-5555 (ext. 3-3146).
Go to: BidTx Home Page
Please direct questions and comments regarding bidding procedures to the Auction Administrator or call (412) 391-7686.