Gov’t bank accounts register 2.5% drop

The report released last week showed that government accounts went down by $437 million from some $17.44 billion available on Oct. 31.

By The Star Staff

As of Nov. 30, 2022, the central government’s bank accounts have $17 billion, a 2.5% decrease from the balance recorded in the previous month, a report from the Puerto Rico Fiscal Agency and Financial Advisory Authority shows.

The Dec. 29, 2022 report, an unaudited summary of account cash balances for most of the island government and its instrumentalities, showed that government accounts went down by $437 million from some $17.44 billion available on Oct. 31, 2022.

The decrease was the result of a $216 million reduction in the Treasury Single Account (TSA) balance, a $201 million decline in public corporations and legally separated entities, and a $111 million reduction in restricted accounts, or accounts that are impacted by the Title III bankruptcy process. The government’s non-TSA bank accounts went up by $84 million. An $8 million hike was recorded in pension-related accounts.

Among the instrumentalities with restricted accounts under the Title III bankruptcy, the bank account balance of the Puerto Rico Electric Power Authority decreased to $1.11 billion as of Nov. 30, 2022, from $1.21 billion the prior month. Meanwhile, the Puerto Rico Sales Tax Financing Corporation’s account balance ticked lower to $21.6 million in November 2022, down from $21.7 million in October 2022, the report said.

The cash in the Puerto Rico Highways and Transportation Authority account decreased to $248.8 million as of Nov. 30, 2022 from $259.8 million in the previous month.

Other public corporations whose finances were impacted included the Puerto Rico Aqueduct and Sewer Authority, whose account balance lowered to $1.13 billion in November from $1.15 billion in October 2022. The University of Puerto Rico’s account balance dropped to $414.7 million in November of last year from $448.6 million in October.

The report also notes that the bank balance for the Health Services Administration sank to $430.6 million in November 2022 from $654.5 million in October.

The report is based on information on 800 or more bank accounts. The Treasury Department now has centralized access to bank account information for most of the government. The report is based on a process of discussion between the Treasury Department and the Financial Oversight and Management Board and its advisers. The Treasury Department has been providing periodic reports to the oversight board since July 2017.