State Treasurer Markell Outlines Vision for Next Fiscal Year
Dover, DE - As Delaware State Treasurer Jack Markell readies for a new term in the Office, he outlined highlights from Fiscal 2007 and his vision for Fiscal Year 2008 in his budget request to the Office of Management and Budget.
"The Treasurer's office continues to work diligently to combat new types of check fraud," Markell said. "We're also expanding our use of electronic payments and the development of a comprehensive payables strategy. We've automated our accounting for the state's debt, improved our deferred compensation plan and have transitioned to a new third party custodian in connection with the investment of state funds."
As Markell recapped Fiscal Year 2007, he shared that the State's Deferred Compensation Program has increased its participants by 16% increase over last year. Markell said that there are more than 11,200 employees currently participating in the retirement savings plan, and made his intention to again petition the Delaware Legislature to increase the match amount from $10 to $20 per pay. "Increasing the amount of the match is a powerful tool in encouraging our State Employees to save for their own retirement," Markell said.
Referencing ever-increasing college costs, Markell detailed that participation in the Delaware College Investment Plan continues to grow, increasing from 22,000 accounts with assets of $263 million to 24,000 accounts with assets of $320 million. Contrasting that with the 4,200 accounts and $25 million in assets six years ago, Markell again voiced his support for a state tax deduction for contributions for college savings. "More and more families understand the importance of saving for college," Markell said. "However, the potential to help young people prepare and pay for their education is tremendous especially now that qualified withdrawals are free of federal and in Delaware state taxes. We need to provide our families all of the tools that we can to assist them in saving for college, and that is why I wholeheartedly support such a state tax deduction for college savings."
While reporting on the Office's Consumer Tool Chest of Financial Security Tools for Delaware Seniors, Markell thanked the Director of Management and Budget for the funding last year that allowed the Office of the State Treasurer to partner with the AARP of Delaware to provide this important resource to Delaware's seniors and their families. Markell also provided an update of a project funded in FY06 outlining Delaware's changing demographics and the implications to the State's financial health and long-term economic stability. As a follow-up to the Consumer Tool Chest, Markell is requesting seventy-five thousand dollars in one-time funds to contract for the planning and development of a statewide anti-fall initiative that would be developed in cooperation with the Delaware Division of Aging. "The demographics are beginning to shift in a significant way as Delaware is aging faster than the rest of the country," Markell stated. "We are committed to continuing to focus on the health of our aging Delawareans."
Markell also reviewed the ongoing financial literacy efforts that the Office supports, noting the overwhelming success of the From Purses to Portfolios conference specifically designed to address financial concerns of women, and the 2nd Annual State Treasurer's Summit for High School Students.
"Across the board, we've had a terrific year successfully executing the traditional functions of the Office and expanding our focus to better serve the needs of Delawareans," Markell said. "There's a lot more to be done, and I'm confident that with your continued support, we'll continue to do great things."
