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For a school district business manager or a city treasurer in Oklahoma, the weight of responsibility is heavy. You aren't just managing "money"; you’re managing the public’s trust, the funds that pay for new textbooks, local police patrols, and the maintenance of our county roads. But when those deposits grow beyond the standard $250,000 FDIC insurance limit, the rules of the game change.

Traditionally, protecting those extra funds in Oklahoma meant a tedious process governed by the Security for Local Public Deposits Act. To stay compliant, banks have to "collateralize" those deposits by setting aside specific government bonds as a backstop. For the public official, this means tracking market values, managing pledge agreements, and staying on top of constant paperwork.

First Liberty Bank in Oklahoma City and Norman are helping Oklahoma municipalities and schools cut through that red tape with a more straightforward approach: IntraFi Cash Service (ICS) and CDARS.

How It Works (Without the Jargon)

Think of these services as a high-tech "sorting hat" for your deposits. Instead of you having to manually open accounts at dozens of different banks to keep your funds insured, First Liberty Bank does the heavy lifting for you.

When a school district or city places a large deposit at First Liberty, the bank uses the IntraFi network to break that total into smaller pieces—each under $250,000. These pieces are placed with other well-capitalized banks across the country. Because every piece is under the limit, the entire balance is covered by FDIC insurance.

The best part? You never have to deal with those other banks. You still have one point of contact at First Liberty, one statement, and one login.

Why Oklahoma Public Entities Are Making the Switch

The "why" comes down to three practical benefits: simplicity, safety, and community impact.

1. Ending the Paperwork Chase

In Oklahoma, if a deposit is fully insured, the legal requirement to pledge collateral disappears. For a city treasurer, this means no more checking quarterly bond prices or managing third-party safekeeping accounts at a different bank. It turns a multi-step compliance chore into a single, automated solution.

2. Keeping the Focus Local

One might worry that "sending" money to other banks means those funds leave the community. In reality, the opposite is true. These are "reciprocal" deposits. For every dollar First Liberty sends out to protect it, an equal dollar comes back into the bank from another institution in the network. This allows First Liberty to keep the full value of those public funds on its own books, using that liquidity to lend to local Oklahoma businesses and families.

3. Total Peace of Mind

The market value of collateral can fluctuate based on interest rates and the economy. FDIC insurance does not. It is the "gold standard" of protection. By ensuring every cent of a school district’s budget is backed by the full faith and credit of the U.S. government, officials can sleep better knowing the funds for next year's payroll or a bonded construction project are secure.

The Bottom Line

For Oklahoma public servants, the goal is always to be the best possible steward of taxpayer dollars. By moving away from the old, clunky world of manual collateral and toward the streamlined protection of CDARS and IntraFi, First Liberty Bank is giving these leaders more time to focus on their actual jobs: building better cities and schools for our neighbors.

Frequently Asked Questions about IntraFi and CDARS

If my money is being sent to other banks, do I have to call them if I need a withdrawal?

Not at all. One of the biggest perks of this system is that First Liberty remains your single point of contact. You don't have to manage twenty different bank relationships. You’ll continue to use our online banking, our team for support, and you’ll receive just one consolidated statement from us that shows your total balance and the insurance coverage.

How quickly can I get to my money if an unexpected city or school expense comes up?

It depends on which tool we use, but you won't lose your flexibility. If we use the IntraFi Cash Service (ICS), you have "demand" or "savings" access, meaning you can move money back to your primary account just like a standard savings account. If we use CDARS, your funds are in a Certificate of Deposit for a set term (like 6 or 12 months) to earn a higher rate, so those would be managed based on the maturity date you choose.

Does using IntraFi or CDARS change our reporting requirements for the Oklahoma State Auditor?

It actually makes them much simpler. Because these deposits are fully FDIC-insured, they are typically exempt from the specific "pledged collateral" reporting sections of the Security for Local Public Deposits Act. Instead of tracking the fluctuating market value of bonds, your statement clearly shows that your entire balance is protected by the "gold standard" of government insurance.

Is there an extra fee for IntraFi or CDARS, and will it lower the interest rate we earn?

There are no hidden "per-bank" fees for you to worry about. We handle the network costs on our end. Regarding rates: while they are highly competitive, the primary goal here is maximum safety. Most of our Oklahoma public clients find that the time they save on paperwork, combined with the peace of mind of full FDIC insurance, far outweighs any minor difference in rate compared to traditional, un-insured deposits.

Ready to simplify your treasury management?

Ultimately, managing public funds shouldn't be a trade-off between security and simplicity. By moving away from the manual hurdles of traditional collateral, Oklahoma’s public stewards can ensure their deposits are fully insured, compliant, and kept right here at home to support our local economy. Contact First Liberty Bank to get started! Call an FLB Associate in Oklahoma City or Norman, or visit one of our branch locations!