NEWPORT—The Cocke County Emergency Communications District (E-911) board met Tuesday afternoon to discuss the organizations finances and audit report.
In a previous meeting board members tasked Director Nancy Hansel and Assistant Director Sonja Turner with finding the best CD rates from local banks.
The state auditor for E-911 said the organizations district funds needed to be moved from a regular account.
“We have almost $1.5 million in cash not including the $89,000 the state will be sending this week,” Turner said.
“The state suggested that we move $1 million into CDs. We checked the rates at US Bank, Tennessee State Bank and Commercial Bank. The auditor suggested that upwards of $500,000 be placed in each CD. Anything over $250,000 is invested, and is relatively safe.”
At the $250,000 dollar mark and higher, the funds can be placed in the investment pool.
Turner suggested using the special rates that two banks were offering. The longer month terms would net more money from the interest gained.
Commercial Bank offered a 13-month CD with a 2.14 percent interest rate, while US Bank offered an 11-month CD with a rate of 2.23 percent.
City Mayor and board member Roland “Trey” Dykes asked what would happen if the organization needed money immediately in case of an emergency.
Hansel and Turner said that E-911 would be covered because it currently has other funds at Tennessee State Bank and Newport Federal that can be easily accessed.
“Radio equipment failing, or a tower being struck by lightning would cost a lot of money,” Hansel said. “Our tower is insured and so is our building. The radio equipment has a deprecation period of about five years because it is used 24/7. Hopefully we can make ours last another year.”
Board member and Sheriff Armando Fontes, made a motion to place $500,000 each in US Bank and Commercial Bank CDs for the suggest term lengths.
The motion passed unanimously.
In the new business portion of the meeting Hansel was happy to tell board members that for the fifth straight year the organization received no findings on its annual audit report.
Chairman and Police Chief Maurice Shults thanked Hansel and Turner for their hard work and for keeping everything in order, which makes the auditing process easier.
The entire board echoed Shults’ sentiments.