TRANSMITTAL LETTER FOR BOARD MEETING OF NOVEMBER 5, 2026
COMMITTEE ON FINANCE
Mr. John P. Murray, Executive Director
Title
Report on the investment interest income during September 2026
Body
Dear Sir:
Attached is a report of cash investment interest income received by the District for the month of September 2026 and a comparison of income for the same period in 2025.
The District’s inventory of investments at September 30, 2026, consisted of 151 items having a total par value of $1,109,917,608.76, an average annual yield of 3.92%, and total interest income to maturity of approximately $51.4 million. Inventory figures at the same date in 2025 consisted of 119 items having a total par value of $1,039,151,599.94, an average annual yield of 4.03%, and total interest income to maturity of approximately $64.6 million.
Interest Forecast for 2026:
On September 16, 2026, the Federal Reserve (Fed) decided to raise the target range for the federal funds rate to 3.75-4.00%. The current median projection for 2026 is 4.10%. The Fed remains highly attentive to inflation expectations and seeks to achieve maximum employment along with an inflation rate of 2.00%. The Fed will continue to adjust its monetary policy based on its assessment of labor market conditions, inflation pressures and expectations, and financial and geopolitical developments.
Respectfully Submitted, Steven J. Lux, Treasurer, SJL:ehh
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