Individuals, businesses, and county, local and federal governments make payments to the state with checks or by an electronic transfer. The largest source of payments collected by state agencies are tax payments made to the Department of Revenue. Many of these payments are deposited into 300 depository bank accounts located in communities around the state. Treasury Operations balances these accounts and transfers the money to a central bank account.

The state pays individuals and businesses by either issuing a state warrant (check) or by an electronic transfer of cash to their bank accounts. Treasury Operations receives from banks and the Federal Reserve System the warrants that have been cashed or deposited and transfers state cash to them to cover the payments.

Cash balances are determined daily and are reported to the State Board of Investment. The SBI staff then invests the excess cash balances and the Treasury Operations electronically transfers the cash balances to the investors' banks.

Each day, the cash balance recorded on the state's books must equal the actual amount of the cash balance held in bank accounts and in investments.

The Treasury Operations is responsible for paying the debt service on the state's outstanding general obligation bonds. After each sale of bonds, the amount of debt service (principal and interest) and the proper funds where the payments are to be made from is determined. Each month when payments are due, cash is transferred to the state's paying agent to be paid to the investors in the state's bonds.