Please note: This page will be updated as new information becomes available.

Update: Are you still holding a registered warrant (IOU) issued by the State in 2009?

State of California registered warrants (IOUs) issued in 2009 continue to be redeemed. If you want to receive interest that has been earned on the IOU, you can present the warrant to the State Treasurers Office at 915 Capitol Mall, Sacramento, CA. You may also mail it to the Treasurers Office at Attention: Registered Warrant Desk, State Treasurers Office, 915 Capitol Mall, Sacramento, CA 95814.

You also can check with your bank or credit union to determine its policy for cashing IOUs and paying interest.

The State issued 450,000 IOUs worth $2.6 billion between July 2, 2009, and Sept. 4, 2009, when the IOUs matured. Please note that IOUs stopped accruing interest after Sept. 4, 2009 .

For more information about redeeming an IOU, please call the State Treasurer’s Office at 1-888-864-2762 or visit them online at www.treasurer.ca.gov .

Information on which financial institutions are accepting IOUs can be found on the State Controllers Registered Warrants Web pages and the State Treasurers Web site.

Please visit our Registered Warrants Interest Calculator Page for a rough estimate of interest to be paid on your IOUs upon redemption

State of California registered warrants (IOUs) issued in 2009 will be payable beginning Friday, September 4, 2009. If you want to receive interest that has been earned on the IOU, you must present the warrant to the State Treasurers Office at 915 Capitol Mall, Sacramento, CA. You may also mail it to the Treasurers Office at Attention: Registered Warrant Desk, State Treasurers Office, 915 Capitol Mall, Sacramento, CA 95814.

For more information about redeeming an IOU, please call the State Treasurer’s Office at 1-888-864-2762 or visit them online at www.treasurer.ca.gov .

Board Approves Controllers Recommendation for Redeeming IOUs

The Pooled Money Investment Board (PMIB) has approved Controller Chiangs recommendation that the State redeem IOUs a month early, beginning September 4, 2009.

Controller Chiang Completes Cash Review, Determines Date to Stop Issuing IOUs

State Controller John Chiang has announced that he has completed “stress testing” the Department of Finance’s cash projections from the State’s newly-revised budget and has determined the new spending plan will provide the State Treasury with enough cash to stop issuing IOUs on September 4, 2009, almost one month earlier than expected.

“The State of California owes a debt of gratitude to the thousands of individuals and businesses that were forced to bear the brunt of the State’s chronic fiscal mismanagement,” Chiang said. “Along with short-term loans that are routinely obtained in the fall, this spending plan should provide sufficient cash to meet all of California’s payment obligations through the fiscal year.”

For more information, please see:

Controllers August 13, 2009, News Release and Cash Outlook Chart

General Information about Registered Warrants (IOUs) Issued by the State in 2009

1. What is a registered warrant?

A registered warrant is a “promise to pay,” or an IOU, that is issued by the State when there are not enough funds to pay all of its General Fund obligations. Registered warrants bear interest and are redeemable by the State Treasury only when the General Fund has sufficient money. If the Legislature and Governor fail to enact budgetary solutions that provide enough cash for the State to pay all of its bills by July 2, 2009, the Controller will begin issuing registered warrants. Assuming there is adequate cash in the Treasury, those warrants may be redeemed on October 2, 2009. Both the issue and the maturity date will be printed on the warrant. If the Pooled Money Investment Board (PMIB) determines there is sufficient cash available for redemption at an earlier date, the warrants may be redeemed earlier than October 2, 2009. (Please see updates at top of page.)

2. How do I know if I have a “registered” warrant, instead of a “regular” warrant?