Certified California Municipal Treasurer
Encyclopedia
A Certified California Municipal Treasurer (CCMT) is a post-nominal professional certification
awarded by the California Municipal Treasurers Association
(CMTA) to California
public treasurers who meet standards of education
, experience
and a stated commitment to a code of ethics. It was created in 1978 to provide a professional standard of financial expertise and ethics in California government treasury.
It provides a framework for municipal treasurers in improving performance through continuing education
and become valued administrators in local government
. A CCMT is a professional
treasurer
who is qualified to meet the challenges of a job that is becoming more and more complex in the environment of public finance
.
provides a degree of confidence that practitioners are adequately trained, educated and experienced to be prepared for financial challenges in the real world. Education
, experience
and ethics
requirements serve as a standard for the profession
. Those who have received the Certified California Municipal Treasurer (CCMT) have subjected themselves to review of their educational and experience.
Whereas in the private sector
, revenue generation and collection, banking and debt
management are important to management
and stockholders, in the public sector
there is an element of safeguarding the public trust that is added.
Education
Requirement: College or University degrees at Bachelor level in Public Administration, Accounting, Finance or related field or satisfactory completion of a course of education approved by CMTA – ½ point per instruction hour.
Professional Experience
and Training
Requirement equivalent to employment as a Municipal Treasurer for 12.5 years, financial administrative position in local government or in corporate or private business for 25 years or a combination of several factors including board service on state and national treasury boards. Current active participation in CMTA is required.
CCMTs must be recertified every four years. Recertification is accomplished by a combination of treasury experience and a minimum of 40 hours of continuing education
.
in 1775. Michael Hillegas
served as the first Treasurer of the United States and throughout the American Revolution
until Congress created the Department of the Treasury on September 2, 1789 [Henry Paulson] is currently the [United States Secretary of the Treasury].
Bill Lockyer
is the Treasurer
of the State of California. There are 480 California cities , 58 California counties about 3,400 Special Districts and School Districts, each with independent fiscal stewardship. Many City Treasurers are elected, and are therefore directly accountable to their constituents; the remainder are appointed either by City Council
or City Manager
.
Public treasurers are primarily responsible for managing the revenue
and cash flow
of a government agency
. This officer is also responsible for banking, collections of user fees such as utility usage and business licenses, and communicating financial performance and forecasts to the community. The title may vary, such as finance director, chief financial officer or CFO, from agency to agency.
Treasury has multiple constituencies, with a responsibility to citizens, taxpayers and voters to deliver informed stewardship in the investment of public funds (taxes). Additionally, treasury reporting must fund internal programs and fulfill budgetary requirements meeting expectations of governing city councils and boards of directors within approved financial policy
guidelines.
The municipal treasurer does not have the public’s permission to put public funds principal at risk
, no matter how great the potential yield
. Securities options, therefore, are limited by statute
to the safest portion of the investment continuum. Public Treasury statutes mandate a priority of safety
(first), liquidity (secondarily) and yield (last) . Since there is an inverse relationship between risk
and return
, the potential return is limited by the risk that public funds are permitted to take.
of the agency’s investments. Agencies are required to create a publicly reviewed investment policy
, prepared in conformance with all pertinent existing laws of the State of California including California Government Code
Sections 53600, et seq. This section of California Government Code defines permitted and prohibited investments. California public treasurers must abide within the limits of this code.
Professional certification
Professional certification, trade certification, or professional designation, often called simply certification or qualification, is a designation earned by a person to assure qualification to perform a job or task...
awarded by the California Municipal Treasurers Association
California Municipal Treasurers Association
California Municipal Treasurers Association is the professional society of active public treasurers of California counties, cities, and special districts. It sets ethical standards for the treasury profession in state and local government in California....
(CMTA) to California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
public treasurers who meet standards of education
Education
Education in its broadest, general sense is the means through which the aims and habits of a group of people lives on from one generation to the next. Generally, it occurs through any experience that has a formative effect on the way one thinks, feels, or acts...
, experience
Experience
Experience as a general concept comprises knowledge of or skill in or observation of some thing or some event gained through involvement in or exposure to that thing or event....
and a stated commitment to a code of ethics. It was created in 1978 to provide a professional standard of financial expertise and ethics in California government treasury.
It provides a framework for municipal treasurers in improving performance through continuing education
Continuing education
Continuing education is an all-encompassing term within a broad spectrum of post-secondary learning activities and programs. The term is used mainly in the United States and Canada...
and become valued administrators in local government
Local government
Local government refers collectively to administrative authorities over areas that are smaller than a state.The term is used to contrast with offices at nation-state level, which are referred to as the central government, national government, or federal government...
. A CCMT is a professional
Professional
A professional is a person who is paid to undertake a specialised set of tasks and to complete them for a fee. The traditional professions were doctors, lawyers, clergymen, and commissioned military officers. Today, the term is applied to estate agents, surveyors , environmental scientists,...
treasurer
Treasurer
A treasurer is the person responsible for running the treasury of an organization. The adjective for a treasurer is normally "tresorial". The adjective "treasurial" normally means pertaining to a treasury, rather than the treasurer.-Government:...
who is qualified to meet the challenges of a job that is becoming more and more complex in the environment of public finance
Public finance
Public finance is the revenue and expenditure of public authoritiesThe purview of public finance is considered to be threefold: governmental effects on efficient allocation of resources, distribution of income, and macroeconomic stabilization.-Overview:The proper role of government provides a...
.
Service provided by CCMTs
A professional certificationProfessional certification
Professional certification, trade certification, or professional designation, often called simply certification or qualification, is a designation earned by a person to assure qualification to perform a job or task...
provides a degree of confidence that practitioners are adequately trained, educated and experienced to be prepared for financial challenges in the real world. Education
Education
Education in its broadest, general sense is the means through which the aims and habits of a group of people lives on from one generation to the next. Generally, it occurs through any experience that has a formative effect on the way one thinks, feels, or acts...
, experience
Experience
Experience as a general concept comprises knowledge of or skill in or observation of some thing or some event gained through involvement in or exposure to that thing or event....
and ethics
Ethics
Ethics, also known as moral philosophy, is a branch of philosophy that addresses questions about morality—that is, concepts such as good and evil, right and wrong, virtue and vice, justice and crime, etc.Major branches of ethics include:...
requirements serve as a standard for the profession
Profession
A profession is a vocation founded upon specialized educational training, the purpose of which is to supply disinterested counsel and service to others, for a direct and definite compensation, wholly apart from expectation of other business gain....
. Those who have received the Certified California Municipal Treasurer (CCMT) have subjected themselves to review of their educational and experience.
Whereas in the private sector
Private sector
In economics, the private sector is that part of the economy, sometimes referred to as the citizen sector, which is run by private individuals or groups, usually as a means of enterprise for profit, and is not controlled by the state...
, revenue generation and collection, banking and debt
Debt
A debt is an obligation owed by one party to a second party, the creditor; usually this refers to assets granted by the creditor to the debtor, but the term can also be used metaphorically to cover moral obligations and other interactions not based on economic value.A debt is created when a...
management are important to management
Management
Management in all business and organizational activities is the act of getting people together to accomplish desired goals and objectives using available resources efficiently and effectively...
and stockholders, in the public sector
Public sector
The public sector, sometimes referred to as the state sector, is a part of the state that deals with either the production, delivery and allocation of goods and services by and for the government or its citizens, whether national, regional or local/municipal.Examples of public sector activity range...
there is an element of safeguarding the public trust that is added.
CCMT Requirements
CCMT candidates must meet or exceed requirements in two areas; 50% educational standards and 50% experience and training requirements. Certification is also designed as a guide for municipal treasurers to become valued administrators in local government.Education
Education
Education in its broadest, general sense is the means through which the aims and habits of a group of people lives on from one generation to the next. Generally, it occurs through any experience that has a formative effect on the way one thinks, feels, or acts...
Requirement: College or University degrees at Bachelor level in Public Administration, Accounting, Finance or related field or satisfactory completion of a course of education approved by CMTA – ½ point per instruction hour.
Professional Experience
Experience
Experience as a general concept comprises knowledge of or skill in or observation of some thing or some event gained through involvement in or exposure to that thing or event....
and Training
Training
The term training refers to the acquisition of knowledge, skills, and competencies as a result of the teaching of vocational or practical skills and knowledge that relate to specific useful competencies. It forms the core of apprenticeships and provides the backbone of content at institutes of...
Requirement equivalent to employment as a Municipal Treasurer for 12.5 years, financial administrative position in local government or in corporate or private business for 25 years or a combination of several factors including board service on state and national treasury boards. Current active participation in CMTA is required.
CCMTs must be recertified every four years. Recertification is accomplished by a combination of treasury experience and a minimum of 40 hours of continuing education
Continuing education
Continuing education is an all-encompassing term within a broad spectrum of post-secondary learning activities and programs. The term is used mainly in the United States and Canada...
.
Unique Requirements of Public Sector Treasury
The Office of the Treasurer is the only office in the Treasury Department that is older than the Department itself, as it was originally created by the Continental CongressContinental Congress
The Continental Congress was a convention of delegates called together from the Thirteen Colonies that became the governing body of the United States during the American Revolution....
in 1775. Michael Hillegas
Michael Hillegas
Michael Hillegas was the first Treasurer of the United States.-Biography:Hillegas was born in Philadelphia, Pennsylvania. He was the son of Margaret Schiebenstock and George Michael Hillegass , an immigrant from Germany and a well-to-do merchant involved in iron and sugar...
served as the first Treasurer of the United States and throughout the American Revolution
American Revolution
The American Revolution was the political upheaval during the last half of the 18th century in which thirteen colonies in North America joined together to break free from the British Empire, combining to become the United States of America...
until Congress created the Department of the Treasury on September 2, 1789 [Henry Paulson] is currently the [United States Secretary of the Treasury].
Bill Lockyer
Bill Lockyer
William Westwood "Bill" Lockyer is an American politician. He is the current 32nd State Treasurer of California, elected in 2006 and re-elected in 2010. He has also served as California Attorney General and President Pro Tempore of the California State Senate...
is the Treasurer
Treasurer
A treasurer is the person responsible for running the treasury of an organization. The adjective for a treasurer is normally "tresorial". The adjective "treasurial" normally means pertaining to a treasury, rather than the treasurer.-Government:...
of the State of California. There are 480 California cities , 58 California counties about 3,400 Special Districts and School Districts, each with independent fiscal stewardship. Many City Treasurers are elected, and are therefore directly accountable to their constituents; the remainder are appointed either by City Council
City council
A city council or town council is the legislative body that governs a city, town, municipality or local government area.-Australia & NZ:Because of the differences in legislation between the States, the exact definition of a City Council varies...
or City Manager
City manager
A city manager is an official appointed as the administrative manager of a city, in a council-manager form of city government. Local officials serving in this position are sometimes referred to as the chief executive officer or chief administrative officer in some municipalities...
.
Public treasurers are primarily responsible for managing the revenue
Revenue
In business, revenue is income that a company receives from its normal business activities, usually from the sale of goods and services to customers. In many countries, such as the United Kingdom, revenue is referred to as turnover....
and cash flow
Cash flow
Cash flow is the movement of money into or out of a business, project, or financial product. It is usually measured during a specified, finite period of time. Measurement of cash flow can be used for calculating other parameters that give information on a company's value and situation.Cash flow...
of a government agency
Government agency
A government or state agency is a permanent or semi-permanent organization in the machinery of government that is responsible for the oversight and administration of specific functions, such as an intelligence agency. There is a notable variety of agency types...
. This officer is also responsible for banking, collections of user fees such as utility usage and business licenses, and communicating financial performance and forecasts to the community. The title may vary, such as finance director, chief financial officer or CFO, from agency to agency.
Treasury has multiple constituencies, with a responsibility to citizens, taxpayers and voters to deliver informed stewardship in the investment of public funds (taxes). Additionally, treasury reporting must fund internal programs and fulfill budgetary requirements meeting expectations of governing city councils and boards of directors within approved financial policy
Policy
A policy is typically described as a principle or rule to guide decisions and achieve rational outcome. The term is not normally used to denote what is actually done, this is normally referred to as either procedure or protocol...
guidelines.
Responsibilities of Public Treasury
According to Benjamin Finkelstein, “On Main Street, political risk entails all the bad things that can happen to elected officials and their appointees when they take risks – even reasonable risks – with taxpayer money and come up short.”The municipal treasurer does not have the public’s permission to put public funds principal at risk
Risk
Risk is the potential that a chosen action or activity will lead to a loss . The notion implies that a choice having an influence on the outcome exists . Potential losses themselves may also be called "risks"...
, no matter how great the potential yield
Yield (finance)
In finance, the term yield describes the amount in cash that returns to the owners of a security. Normally it does not include the price variations, at the difference of the total return...
. Securities options, therefore, are limited by statute
Statute
A statute is a formal written enactment of a legislative authority that governs a state, city, or county. Typically, statutes command or prohibit something, or declare policy. The word is often used to distinguish law made by legislative bodies from case law, decided by courts, and regulations...
to the safest portion of the investment continuum. Public Treasury statutes mandate a priority of safety
Safety
Safety is the state of being "safe" , the condition of being protected against physical, social, spiritual, financial, political, emotional, occupational, psychological, educational or other types or consequences of failure, damage, error, accidents, harm or any other event which could be...
(first), liquidity (secondarily) and yield (last) . Since there is an inverse relationship between risk
Risk
Risk is the potential that a chosen action or activity will lead to a loss . The notion implies that a choice having an influence on the outcome exists . Potential losses themselves may also be called "risks"...
and return
Return
-In business, economics, and finance:* Rate of return, the financial term for the profit or loss derived from an investment* Tax return , various meanings relating to taxation...
, the potential return is limited by the risk that public funds are permitted to take.
California Government Investment Environment
The objective of municipal investments is to enhance the economic status of a given agency consistent with the prudent protectionProtection
Protection may refer to:-Music:*Protection , by Massive Attack*"Protection" *"Protection" *"Protection," a song by Krokus from To You All...
of the agency’s investments. Agencies are required to create a publicly reviewed investment policy
Investment policy
An investment policy is any government regulation or law that encourages or discourages foreign investment in the local economy, e.g. currency exchange limits.- Explanation :...
, prepared in conformance with all pertinent existing laws of the State of California including California Government Code
Code
A code is a rule for converting a piece of information into another form or representation , not necessarily of the same type....
Sections 53600, et seq. This section of California Government Code defines permitted and prohibited investments. California public treasurers must abide within the limits of this code.
See also
- Government of CaliforniaGovernment of CaliforniaThe government of California operates in the context of a democratic republic with three branches of government: the executive branch consisting of the Governor of California and the other elected constitutional officers; the legislative branch consisting of the California State Legislature which...
- List of finance topics
- List of post-nominal letters
- Professional certificationProfessional certificationProfessional certification, trade certification, or professional designation, often called simply certification or qualification, is a designation earned by a person to assure qualification to perform a job or task...