Kate Marshall Misleads Voters on Failed Record as Nevada’s Top Financial Officer

As Kate Marshall continues to campaign on her failed record as Nevada’s top financial officer, details of Marshall’s gross mishandling of taxpayer dollars have emerged. Although Kate Marshall claims that she did not lose all of the $50 million of taxpayer money on a Wall Street gamble, there is evidence to the contrary. According to a September 2010 article,

“The amount the state expects to recoup from the Lehman loss has been a moving target. Marshall told the Legislature in February 2009 the return might be half of the original investment. The state has recovered none of the $50 million yet.” (Sean Whaley, “State Treasurer, GOP Challenger Argue Over Facts and Figures,” Nevada News Bureau, 9/24/2010)

Kate Marshall even admitted the state could lose all $50 million on the Wall Street gamble.

“The investment is set to mature on March 23, but Marshall acknowledged in an interview that because of Lehman’s bankruptcy, the state could lose its entire outlay.” (David McGrath Schwartz, “$50 million could go the way of Lehman Bros.” Las Vegas Sun, 2/21/2009)

Unfortunately for Nevada taxpayers, Kate Marshall even had the opportunity to change investment advisers at the beginning of her term and could have pulled Nevada taxpayer dollars out of the market before Lehman collapsed.

Marshall also wrongly claims that she has steered Nevada’s economy with a steady hand.

“If one looks at the interest earnings for the state’s general portfolio, it’s plummeted since Marshall took office. In 2007, the interest rate earned was 5.1 percent, which translated into more than $110 million that year.

“Earnings for the general portfolio have dropped each year since.

“In fiscal year 2010, the interest rate earned was 0.51 percent, or about $7.5 million.” (Mark Robison, “Fact checker: Did Nevada Treasurer gamble away $50 million?, Reno Gazette-Journal, 8/1/2010)

NRCC Comment

“Kate Marshall’s reckless handling of taxpayer dollars as Nevada’s chief financial officer is nothing to brag about. While Nevada families suffer from the nation’s highest unemployment and home foreclosure rates, Kate Marshall continues to mislead Nevada voters about losing $50 million of their money on a preventable Wall Street gamble.” – Tyler Q. Houlton, NRCC Spokesman