State Treasurer Committed to South Carolina Voters; Not Politics as Usual

Dear Editor,

I write to address claims made in recent editorials questioning my leadership as South Carolina’s State Treasurer. While I welcome scrutiny, the misrepresentations in these op-eds must be corrected to uphold the trust of South Carolinians. I have long asserted that this matter can harm our State’s vaulted credit rating and impact our ability to issue debt on behalf of the State and its agencies.

Transparency has been, and continues to be, a cornerstone of my administration. The $1.8 billion conversion entry was a shared responsibility among several agencies, not an isolated failure of the State Treasurer’s Office. The Comptroller General (as the State’s Accountant), the State Auditor and the State’s outside audit firm were all aware of the entry. From the moment concerns arose, my team acted swiftly and within legal parameters to address them. To suggest otherwise ignores the collaborative nature of state financial oversight and unfairly assigns blame for systemic issues.

Regarding the discussion of potential investment earnings, I want to set the record straight. This statement arose during a subcommittee hearing with legislators that were questioning us about the existence of the $1.8B and whether it was cash. At that time, the State Auditor, the Comptroller General and the State’s outside audit firm had issued professional opinions that those funds represented General Fund cash. Considering that information, our office examined how much $1.8B would have earned based on the daily available rate. As a reminder, the State Treasurer’s Office pools and invests ALL available cash in its custody.

The State Treasurer’s Office is tasked with managing billions of dollars in public funds daily, ensuring taxpayer dollars work to generate returns for vital services like education, infrastructure, and public safety. This diligence has contributed to South Carolina’s financial stability and enhanced credit ratings, benefiting all citizens. Attempting to distort this record with out-of-context soundbites does a disservice to the public.

For the record, last spring I initiated the calls for an external audit to determine if the $1.8B was indeed cash. I also reached out to the Governor, and that collaboration led to the establishment of a working group dedicated to resolving this issue.

The recent $3 million expenditure on external consultants highlights the need for stronger internal processes—something I have championed. My office has repeatedly advocated for modernized accounting systems and greater interagency cooperation to prevent future discrepancies. The Alix Partners report reinforces these priorities, and I welcome its recommendations.

However, the suggestion that South Carolina should appoint, rather than elect, its State Treasurer is misguided. An appointed State Treasurer would answer to special interests, not directly to the people. I remain accountable to voters, ensuring their voices guide the stewardship of our state’s finances. Since 1868, South Carolinians have elected a State Treasurer. Furthermore, 75 percent of the states elect a State Treasurer rather than appointing one.

Finally, claims by select legislators that I have been uncooperative in addressing these challenges is not only baseless but also a disservice to the dedicated professionals in my office. My passion for protecting taxpayer dollars should not be construed as anything but a reflection of my unwavering commitment to ensuring South Carolina’s financial integrity.

The citizens first elected me in 2010, and since then the State Treasurer’s Office has achieved significant successes that directly benefit the people of South Carolina. Most notably, we protected and grew the state’s investment portfolio, ensuring South Carolina’s financial resources are secure and produce strong returns.

Leadership is about tackling hard truths, addressing issues, and driving solutions. Over my tenure, I have delivered unprecedented transparency, strengthened the state’s credit rating, and safeguarded billions in public assets. These accomplishments reflect a track record of responsibility and trustworthiness.

The people of South Carolina deserve a State Treasurer who puts their interests first—someone who is not afraid to face challenges head-on and advocate for reforms that benefit everyone. I stand by my record and will continue to serve with integrity and accountability.

Sincerely,
Curtis Loftis
South Carolina State Treasurer

This letter appeared on The Post & Courier website on January 23, 2025.