County pulls most of its funds out of investment pool

-A A +A
By Jeff M. Hardison

BRONSON - Up north in Tallahassee, the weather was too warm for a frozen pool from Nov. 30 to Dec. 6, but when it came to securing investments - that was a different story.

All activity in a state-run investment pool was frozen from Nov. 30 until Dec. 6 as the result of a run on funds. This impacted Levy County.

Florida Local Government Investment Pool (LGIP) funds are managed by the State Board of Administration (SBA). Emergency action to freeze the LGIP money came from the SBA Board -- Gov. Charlie Crist, Chief Financial Officer Alex Sink and Attorney General Bill McCollum.

The freeze resulted after the previous two-week span of county and municipal governments pulling about $10 billion out from the investment pool, according to records.

An erroneous report in Bloomberg News said $900 million of defaulted "asset-backed commercial paper" is almost 5 percent of the LGIP holdings, according to a Nov. 28 press statement from now-former SBA Executive Director Coleman Stipanovich.

If you subscribe to the newspaper, you receive FREE access to all the exclusive content of the web site! Simply register to receive uninterrupted access to our award-winning and in-depth local online content!

Renew Current or Past Subscription / Register for Online Subscription

If you currently subscribe or have subscribed in the past to the Chiefland Citizen, then simply find your account number on your mailing label and enter it below.

Click the question mark below to see where your account ID appears on your mailing label.

Newspaper Acct. ID:
Street Address:
(exactly as it appears on the label)

If you are a subscriber and you do not know your account ID or don't have a copy of your newspaper available that shows the information on the address label you can click continue below to search for your account.

Special Offer

You have used all your free page views for the month however if you wish to create a FREE limited access account you will be able to view a additional 2 pages per month.

You can also purchase a subscription and have full access to the site. To purchase a subscription simply enter your zipcode below

ZIP Code:

Chiefland Citizen | circulation@chieflandcitizen.com | 352-493-4796
624 W Park Avenue, Chiefland, FL 32626
Office Hours are 8:00 a.m. to 5:00 p.m., Monday - Friday