Protecting public funds held by financial institutions.
SAFE Program (Security for Alabama Funds Enhancement)
The SAFE Program establishes a uniform system to secure public funds deposited with qualified financial institutions across Alabama. Participating banks and custodians use the SAFE Portal to report and manage collateral requirements. The program promotes transparency, accountability, and financial stability in public fund management.
SAFE PORTAL is an online system that allows qualified public depositories and custodians access to their SAFE activities by accessing the SAFE transaction tracker. It has customized features for custodians and QPDs and allows the QPD the ability to submit their monthly report electronically.
The Security for Alabama Funds Enhancement, or SAFE Program, in Title 41, Chapter 14A, Code of Alabama 1975, as amended, provides a uniform program for the security of public funds deposited with financial institutions in the State of Alabama that qualify to serve as depositories of public funds.
The Program requires any bank or financial institution in the State of Alabama, accepting any deposits of public funds, to ensure those funds by pledging eligible collateral to the State Treasurer for the SAFE collateral pool. The law further provides for safeguarding of public deposits by requiring the entire pool and each participating financial institution to stand behind each deposit. Rules of the Program have been developed subject to the Administrative Procedures Act, whereby the public was given the opportunity to make comments prior to their adoption. The Rules provide the details of the Program.
A Board of Directors is charged with the responsibility and authority to assess and manage the sufficiency of the collateral pool. The board meets at least quarterly and is comprised of 8 members who serve without compensation, except for reimbursement for travel associated with the meeting in accordance with state per diem rates. The Treasurer serves as a permanent, voting member and Chairman. The Superintendent of Banks serves as a permanent, non-voting member. The remaining six members are 4 representatives from the banking industry, one representative from the League of Municipalities, and one representative from the County Commission Association. The term of office of each appointed member is four years with any appointed member being eligible for reappointment and serving until a successor is selected.
SAFE Member Application Process. All public depositors are required by SAFE law to place their public deposit funds with one or more bank or savings institution that has met the requirements to become a member or “Qualified Public Depository” (QPD).
Bank or savings institutions interested in becoming a QPD are strongly encouraged to thoroughly read the SAFE Law (Sections 41-14A-1 through 14) and Rules (Chapter 892-S-1-.01 though .19) prior to submitting their application documents. These documents provide detailed information on the operational environment for the program.
To become a member in the SAFE Program, a bank or savings institution must be organized and existing under Alabama or any other state law, be in the business of making loans and accepting deposits in Alabama, and have FDIC coverage. To apply for membership, please see below for a list of documents that must be completed by the applying institution and submitted as an application package to SAFE.
SAFE Program Membership
- Contingent Liability Agreement—establishes operational relationship between the SAFE Program and the banking institution. This agreement must be approved by the banking institution’s board of directors.
- Collateral Agreement—establishes custodial relationship between the custodian institution and SAFE. The banking institution initiates this document by signature, chooses the custodian, sends the agreement to the custodian for execution, and receives the returned agreement. The banking institution may have one or more custodians. Whenever a custodian is changed or selected, this agreement must be executed.
- Authorized Representative Signature Certification—up to four officers/staff of the banking institution must sign the form and are designated as “authorized representatives” for purposes of the SAFE Program.
- Certification of Adoption of Director’s Resolution—to be completed by the banking institution’s board of directors confirming adoption of the Contingent Liability Agreement.
- Confirmation of Security Pledge with minimum $100,000 market value—the banking institution must pledge (and maintain) through their custodian a minimum pledge of eligible securities confirmed by a security receipt issued to SAFE.
The above five documents should be submitted to SAFE in one package. The SAFE Program will review the documents upon receipt and, if correct, issue a Qualified Public Depository Certificate to the banking institution. Upon receipt of this document the banking institution is authorized to begin accepting public funds for deposit. Public depositors may request a copy of their Certificate for their file in order to confirm your membership to their auditors. List of QPDs can be found below.
The definition of public entity and public deposit are included in the SAFE law available on the Treasurer’s website. A bank’s operational staff should know and understand these definitions well. The depositor should notify the bank representative that the deposits are public, and then it is the responsibility of the banking institution to code the deposits as such. If the bank is uncertain about whether the deposits meet the definition provided in the SAFE law, their legal counsel should be consulted, as well as the depositor.
1.1. What is the SAFE program? The Security for Alabama Funds Enhancement, or SAFE Program, is encompassed in Title 41, Chapter 14A, Code of Alabama 1975, as amended. SAFE is a uniform program for the security of public funds deposited with financial institutions in the State of Alabama. Financial institutions must meet certain requirements to serve as depositories for Alabama public funds and are then known as qualified public depositories (“QPD”). All public depositors are required to place their deposits with one or more QPDs.
1.2. What are the Program Rules? The program rules are the procedures and guidelines of how the program operates in accordance with state law. They are created by the SAFE Board of Directors, submitted for approval following the Administrative Procedures Act, and are available for public comment before approval. The rules can be found under the documents tab in the SAFE Program portal or on the Treasury website, click SAFE.
1.3. How does a bank become a QPD (Qualified Public Depository) to participate in the SAFE program? To become a member of the SAFE Program, a bank must be organized and existing under Alabama or any other state law, be in the business of making loans and accepting deposits at a physical location in Alabama and have FDIC coverage. Under the law, credit unions do not qualify as a QPD and are not eligible to accept or hold public funds. Application forms are available on the Treasury website, click SAFE. A list of current QPDs is available on the Treasury website at www.treasury.alabama.gov, click SAFE.
1.4. What are the responsibilities of the QPD? The QPD is responsible for entering and submitting its monthly SAFE report by the deadline, entering and submitting collateral pledge and release requests, reconciling the bank investment portfolio with the custodian report, monitoring public deposit bank balances, providing annual statements to public entities and ensuring that adequate eligible collateral is pledged against its public deposits. By completing an authorized representative form, the QPD will assign users to the SAFE Program portal to manage its collateral and reporting.
1.5. What are the responsibilities of the Custodian? Each QPD selects a custodian that is responsible for providing securities services, including maintaining and safekeeping securities owned by the QPD. At the request of the QPD, the custodian is responsible for pledging a security to SAFE and attaching the pledge receipt to the transaction in the portal. A custodian shall not release a security from pledge status without the prior approval of SAFE. The custodian’s list of pledged securities should be reconciled by the QPD to those securities listed in the portal. By completing an authorized representative form, the custodian will assign users to the SAFE Program portal.
1.6. How are the QPD required pledge levels determined? The collateral pledging levels are determined by the Board by utilizing an independent financial condition evaluation from a nationally recognized service, currently S&P Global Market Intelligence. The evaluation is based on quarterly financial data as reported in each bank’s call report. Updated ratings are received quarterly. S&P Global Market Intelligence ratings methodology and ratios can be found on the Treasury website.
The pledging levels are as follows:
- 70% – financial evaluation of 70-99
- 80% – financial evaluation of 40-69
- 90% – financial evaluation of 20-39
- 100% – financial evaluation of 10-19
- 115% – financial evaluation of Below 10
Additionally, 5% may be added to any of the above levels if the QPD’s net average daily ledger balance of public deposits exceeds its Tier 1 capital and/or the net average monthly ledger balance of the QPD’s public deposits comprises 20% or more of the total SAFE public deposits held in all QPDs.
1.7. Where can I find a list of eligible collateral to pledge to SAFE? Eligible collateral is described in state law, Code of Alabama, as amended, Section 41-14-35. The listing is available on the Treasury website, as well as on the SAFE Program portal under the documents tab.
1.8. How does a QPD determine public entity status of a depositor? A definition of a covered public entity is included in the SAFE law, Code of Alabama, as amended, Section 41-14A-2. The law, as well as the definition of covered public entity, is available on the Treasury website or the SAFE Program portal under the documents tab. It is the responsibility of the public entity to notify the QPD of its public entity status. The QPD may request additional information from the public entity confirming it meets the legal definition of a covered public entity.
2.1. What is the link to the SAFE Program portal? The SAFE Program portal URL is https://www.alabamainteractive.org/treasury/safe/. For future use, be sure to bookmark this link.
2.2. If I need to reset my password or I’m having trouble logging into the SAFE Program portal, what should I do? You will find a “forgot password” link on the SAFE Program portal login page that allows you to reset your password. If you have any problems with this process, contact Technical Support at 866-353-3468.
2.3. If I need to edit/add/delete a SAFE Program portal user, what should I do? Complete the SAFE Authorized Representative form found on the Treasury website or the SAFE Program portal under the documents tab. Email the completed form to safe.treasury@treasury.alabama.gov. SAFE will make the change in the portal. If a new user is added, he/she will receive an instructional email.
2.4. Is the QPD required to utilize the SAFE Program portal? Yes. The QPD will enter and submit all SAFE pledge and withdrawal transactions. Transactions can be monitored in the portal until fully completed. A transaction is not considered complete/pledged until approved by SAFE. The QPD will also enter and submit, in the portal, its monthly report by the 15th day of each month. The report is due on the 1st day of the month and considered late on the 16th. A late report is subject to warnings, and eventually fines.
2.5. Is the Custodian required to utilize the SAFE Program portal? Yes. The custodian will monitor pledge and withdrawal transactions for its associated QPDs, and, most importantly, attach receipts to securities pledged. No security is considered pledged until the receipt is attached, and the transaction is approved by SAFE. Custodian users can monitor the process until completion.
2.6. How does a QPD pledge or withdraw collateral to SAFE? QPD users will enter and submit pledge and withdrawal requests through the SAFE Program portal and can monitor the process to completion. Information required to pledge a security may include security CUSIP number, security type, full security description, security coupon rate, current security rating, maturity date, original par, current par, and market value. If the QPD user does not know this information, he/she should contact the colleague who purchased the security. Information required to request a withdrawal of a pledged security is the security CUSIP number and the original par value of the security to be withdrawn.
2.7. How does a QPD user pledge a security that is not currently in the SAFE portal? If the QPD user enters the CUSIP, and the security is not currently in the portal, you will be directed to create and add the security in the portal. Information required includes security CUSIP number, security type, full security description, security coupon rate, current security rating, maturity date, original par, current par, and market value. If you do not know the security type, such as Treasury, Alabama Revenue, etc., contact the colleague who purchased the security.
2.8. When is a security considered pledged? A QPD user will enter and submit the pledge request in the portal. The request will be routed to the QPD’s custodian who will verify the security information, will verify its availability to be pledged, and will attach the pledge receipt. The custodian must attach the receipt before the transaction will be available for SAFE approval. No security is considered pledged until the transaction is completed after approval by SAFE staff. The transaction can be monitored on the tracker tab in the SAFE portal.
2.9. What happens if a custodian does not attach a receipt? The transaction will remain available to be completed for two (2) business days on the tracker tab of the portal. If the custodian does not act during this time, the transaction will automatically cancel, and the pledge will not have occurred. The pledge is only made active after the custodian attaches the receipt and SAFE approves the transaction. The status of every transaction in process can be monitored by the QPD, Custodian, and SAFE on the tracker tab.
2.10. When is a pledged security considered withdrawn or released? A QPD user will enter and submit the withdrawal request in the portal. The request will be routed to SAFE for review. If the QPD’s required collateral remains sufficient with the release of the requested security, SAFE will approve the transaction. If SAFE does not approve the request, a reason is provided and emailed to the QPD. The transaction can also be monitored on the tracker tab. Once the withdrawal request is approved, the Custodian should release the security from pledge status on its internal system. This will allow the two systems to be reconciled.
2.11. Can a QPD user request a partial withdrawal of a security pledge? Yes, if your custodian allows partial withdrawals to be processed. A partial withdrawal request is submitted by a QPD and approved by SAFE. The transaction will be routed to the custodian to attach a pledge receipt of the remaining original par value of the security pledged, and subsequently approved by SAFE. The transaction is then complete.
2.12. Can a QPD user cancel a transaction in the portal? Yes. A QPD user can cancel any pledge or withdrawal transaction before submitting the request. After submitting the request, a QPD can cancel (1) a pledge transaction when in “pending receipt” status; (2) a partial withdrawal transaction when in “pending partial withdrawal review” status; and (3) a withdrawal transaction when in “pending approval” status. If the QPD cancels the transaction after submitting the request, a reason must be provided in the text box. The canceled transaction can be viewed in the tracker tab for one business day and then in the history tab thereafter.
2.13. Can a custodian user cancel a transaction in the portal? Yes. A custodian user can cancel a pledge transaction when in “pending receipt” status. If the custodian cancels the transaction, a reason must be provided in the text box. The canceled transaction can be viewed in the tracker tab for one business day and then in the history tab thereafter.
2.14. Are completed and canceled pledge and withdrawal transactions viewable? Yes. All portal transactions associated with a QPD or custodian are available to be viewed by clicking on the tracker tab. After one (1) business day, all completed, canceled, and denied transactions are available to be viewed on the history tab.
2.15. What information is on the Tracker Tab and History Tab? The tracker tab includes every pledge or withdrawal transaction that is in process for the QPD or custodian. Once a transaction is completed or canceled, it is transferred to the history tab where the data remains in perpetuity.
2.16. Can a QPD change custodians? Yes. The process requires good communication between the QPD, new and current custodians, and SAFE. See additional information in the User Guide.
3.1. If the 15th of the month falls on a weekend or state holiday, does the QPD have until the following business day to submit the monthly report? Yes. Reports are due on the first day of each month and considered late on the 16th unless the 15th is on a weekend or a state holiday.
3.2. What items on the monthly report can the QPD edit after the report is submitted to SAFE? A QPD user can edit the number of public entities and Tier 1 capital through the end of the calendar month. Other edits should be emailed to safe.treasury@treasury.alabama.gov.
3.3. Why is the market value of a security priced by the QPD different than the market value of SAFE? Pricing will likely never agree between SAFE and the QPD due to different pricing sources, and pricing securities on different days and times. SAFE prices collateral between the 25th calendar day of the month and the first day of the following month. SAFE may price collateral one or more additional times during the month. SAFE recognizes the pricing it has obtained. If the QPD feels the market value difference is significant, email SAFE at safe.treasury@treasury.alabama.gov.
3.4. I’m trying to enter the monthly SAFE report and receive an error message that the original par value I entered does not agree with the SAFE original par value. What should I do? During the month, the QPD submits pledge and withdrawal requests to SAFE based on the original par value. The QPD’s custodian also records these transactions and likely provides reporting of pledged securities to the QPD. Once all transactions are completed, the SAFE system total original par value of securities pledged should reconcile to reports provided to or maintained by the QPD. The QPD can monitor all completed pledge and withdrawal transactions on the portal history tab. The QPD also has a securities tab on the portal that describes all securities pledged to SAFE. The description does not include the original par value of the security pledged. If the QPD cannot resolve the difference, email safe.treasury@treasury.alabama.gov.
3.5. What is an Interim report? The interim report can be filed if the QPD has experienced a deposit withdrawal during the month that would decrease its Net Average Daily Deposits by 25% or more. The 25% decrease must have occurred over seven consecutive banking days or less. The report allows consideration for the release of excess collateral immediately. The report can be found on the SAFE Program portal under the documents tab. Email the completed report to SAFE.
SAFE Program Reports
As of February 2026
| 22nd State Banking Company | Louisville | AL |
| Amerifirst Bank | Union Springs | AL |
| Ameris Bank | Moultrie | GA |
| AuburnBank | Auburn | AL |
| Bank47 (formerly LifeSteps Bank &Trust) | Union Springs | AL |
| Bank Independent | Sheffield | AL |
| Bank of Brewton | Brewton | AL |
| Bank of Evergreen | Evergreen | AL |
| Bank of Hope | Los Angeles | CA |
| Bank of Moundville | Moundville | AL |
| Bank of Tuscaloosa, division of Synovus Bank | Tuscaloosa | AL |
| Bank of Vernon | Vernon | AL |
| Bank of Walker Cnty | Jasper | AL |
| BankFirst Financial Servies | Columbus | MS |
| BankPlus | Ridgeland | MS |
| BankSouth | Dothan | AL |
| BHM Bank | Birmingham | AL |
| Brantley Bank &Trust Company | Brantley | AL |
| Bryant Bank | Tuscaloosa | AL |
| Cadence Bank | Tupelo | MS |
| Capital City Bank | Tallahassee | FL |
| CB&S Bank | Russellville | AL |
| CB&T Bank, division of Synovus Bank | Phenix City | AL |
| CCB Community Bank | Andalusia | AL |
| Centennial Bank | Conway | AR |
| Central State Bank | Calera | AL |
| Century Bank | Lucedale | MS |
| Citizens Bank | Enterprise | AL |
| Citizens Bank | Robertsdale | AL |
| Citizens Bank | Greensboro | AL |
| Citizens Bank | Winfield | AL |
| Citizens Bank &Trust Company | Guntersville | AL |
| Citizens Trust Bank | Atlanta | GA |
| CommerceOne Bank | Birmingham | AL |
| Commercial Bank | Ozark | AL |
| Commonwealth National Bank | Mobile | AL |
| Community Bank &Trust, division of Synovus Bank | Dothan | AL |
| Community Bank of Mississippi | Forest | MS |
| Community Neighbor Bank | Camden | AL |
| Community Spirit Bank | Red Bay | AL |
| Cullman Savings Bank | Cullman | AL |
| Dozier Bank | Dozier | AL |
| Eva Bank | Eva | AL |
| Exchange Bank of Alabama | Altoona | AL |
| F&M Bank | Piedmont | AL |
| Farmers & Merchants Bank | Lafayette | AL |
| Farmers & Merchants Bank | Waterloo | AL |
| First Bank of Alabama | Talladega | AL |
| First Bank of Boaz | Boaz | AL |
| First Cahawba Bank | Selma | AL |
| First Citizens Bank | Luverne | AL |
| First Commercial Bank, division of Synovus Bank | Birmingham | AL |
| First Commercial Bank, division of Synovus Bank | Huntsville | AL |
| First Community Bank of Central AL | Wetumpka | AL |
| First Federal Bank | Tuscaloosa | AL |
| First Fidelity Bank | Ft. Payne | AL |
| First Financial Bank | Bessemer | AL |
| First Horizaon Bank | Memphis | TN |
| First Jackson Bank | Stevenson | AL |
| First Metro Bank | Muscle Shoals | AL |
| First National Bank | Hartford | AL |
| First National Bank & Trust | Atmore | AL |
| First National Bank of Hamilton | Hamilton | AL |
| First National Bank of Pulaski | Pulaski | TN |
| First National Bank, division of Synovus Bank | Jasper | AL |
| First Southern Bank | Florence | AL |
| First Southern State Bank | Stevenson | AL |
| First State Bank of Clay County | Lineville | AL |
| First State Bank of DeKalb Cty | Fort Payne | AL |
| First State Bank of the South | Sulligent | AL |
| First US Bank | Thomasville | AL |
| FirstBank | Lexington | TN |
| Friend Bank | Slocomb | AL |
| Hancock Whitney Bank | Gulfport | MS |
| HNB First Bank | Headland | AL |
| Hometown Bank of Alabama | Oneonta | AL |
| Investar Bank | Baton Rouge | LA |
| JPMorgan Chase, N.A. | Atlanta | GA |
| Liberty Bank | Geraldine | AL |
| Liberty Bank & Trust Company | New Orleans | LA |
| Local Bank | Tuscaloosa | AL |
| Marion Community Bank | Marion | AL |
| Merchants & Farmers Bank | Eutaw | AL |
| Merchants & Marine Bank | Pascagoula | MS |
| Merit Bank | Valley Head | AL |
| Metro Bank | Pell City | AL |
| MidSouth Bank NA | Dothan | AL |
| Millennial Bank | Leeds | AL |
| Noble Bank & Trust | Anniston | AL |
| North Alabama Bank | Hazel Green | AL |
| Origin Bank | Rushton | LA |
| Peoples Bank of AL | Cullman | AL |
| Peoples Bank of Greensboro | Greensboro | AL |
| Peoples Exchange Bank | Beatrice | AL |
| Peoples Independent Bank | Boaz | AL |
| PeopleSouth Bank | Colquitt | GA |
| PeoplesTrust Bank | Hamilton | AL |
| Phenix-Girard Bank | Phenix City | AL |
| Pinnacle Bank | Jasper | AL |
| Pinnacle Bank, a Tennessee Bank | Nashville | TN |
| PNC Bank | Pittsburgh | PA |
| Premier Bank of the South | Good Hope | AL |
| Regions Bank | Birmingham | AL |
| Renasant Bank | Tupelo | MS |
| River Bank & Trust | Prattville | AL |
| Robertson Banking Company | Demopolis | AL |
| Samson Banking Company | Samson | AL |
| ServisFirst Bank | Birmingham | AL |
| Smart Bank | Knoxville | TN |
| Solutions Plus Bank | Albertville | AL |
| Southern Bank Company | Gadsden | AL |
| Southern Independent Bank | Opp | AL |
| SouthPoint Bank | Birmingham | AL |
| South State Bank, N.A. | Winter Haven | FL |
| State Bank & Trust | Winfield | AL |
| Sterling Bank, division of Synovus Bank | Montgomery | AL |
| Sweet Water State Bank | Sweet Water | AL |
| Traditions Bank | Cullman | AL |
| Troy Bank & Trust Company | Troy | AL |
| Truist Bank | Charlotte | NC |
| Trustmark Bank | Jackson | MS |
| Union State Bank | Pell City | AL |
| United Bank | Atmore | AL |
| United Community Bank | Blairsville | GA |
| Valley National Bank | Wayne | NJ |
| Valley State Bank | Russellville | AL |
| Wells Fargo | Charlotte | NC |
| West Alabama Bank & Trust | Reform | AL |
Banks Voluntarily not Participating in SAFE
| AB&T National Bank | Dothan | AL |
| Alostar Bank & Trust/State Bank | Atlanta | GA |
| Bank of Pine Hill | Pine Hill | AL |
| Beal Bank | Irondale | AL |
| First Progressive Bank | Brewton | AL |
| Oakworth Capital | Birmingham | AL |
As of February 2026
- Bank of New York Mellon
- Bryant Bank
- Federal Home Loan Bank
- First Horizon Bank
- First National Bankers Bank
- PNC Bank
- South State Bank
- Synovus
- Truist Bank
- US Bank
- Wells Fargo
Meeting of February 5, 2026
Summary Report
| 12/31/25 | 9/30/25 | 6/30/25 | |
| Average Public Deposit Pool (in millions) | $20,560 | $20,234 | $20,369 |
| Less FDIC: | $ 1,048 | $ 1,043 | $ 1,185 |
| Net Average Public Deposits (in millions) | $19,511 | $19,191 | $19,183 |
| Reported Public Entities | 5,000 | 4,960 | 4,992 |
| Total # QPDs | 122 | 122 | 123 |
| Coverage Ratio-Net Average Deposits | 87.23% | 88.67% | 88.83% |
| Coverage Ratio-Total Actual Deposits | 82.78% | 84.10% | 83.66% |
Note: Source of data: monthly reports filed by QPDs
Collateral Detail
| Security Type | Market Value (in millions) | % of Total in Dollars | Count | % of Total in Count |
| ABS | $239 | 1.4% | 159 | 2.7% |
| CMO | $1,613 | 9.5% | 306 | 5.2% |
| FHLB LOC | $3,959 | 23.3% | 33 | 0.6% |
| MBS | $6,882 | 40.4% | 2,229 | 38.2% |
| SCM-ALABAMA GO | $440 | 2.6% | 870 | 14.9% |
| SCM-ALABAMA REV | $630 | 3.7% | 1,006 | 17.2% |
| SCM-OUT OF STATE GO | $852 | 5% | 656 | 11.2% |
| US AGENCY | $987 | 5.7% | 478 | 8.2% |
| US TREASURY | $1,427 | 8.4% | 104 | 1.8% |
| TOTAL | $17,020 | 100% | 5,841 | 100% |
| Note: Source of data is the SAFE database as of December 31, 2025 |
Pledging Level Detail
| Pledging Level | # Banks Pledged | #Banks Pledged | #Banks Pledged | Average Public Deposits (in Millions) | Required Collateral (in Millions) | Market Value (in Millions) | Over Pledged (in Millions) |
| 12/31/2025 | 9/30/2025 | 6/30/2025 | 12/31/2025 | 12/31/2025 | 12/31/2025 | 12/31/2025 | |
| 70% | 14 | 16 | 15 | $399 | $247 | $301 | $53 |
| 75% | 7 | 5 | 6 | $1,633 | $1,156 | $1,219 | $62 |
| 80% | 41 | 41 | 40 | $11,138 | $8,591 | $9,077 | $485 |
| 85% | 21 | 17 | 18 | $4,028 | $3,188 | $3,199 | $12 |
| 90% | 17 | 20 | 22 | $1,992 | $1,690 | $1,870 | $180 |
| 95% | 13 | 14 | 13 | $864 | $746 | $802 | $55 |
| 100% | 1 | 2 | 3 | $1 | $1 | $4 | $3 |
| 105% | 2 | 2 | 3 | $195 | $191 | $192 | $1 |
| 115% | 5 | 5 | 3 | $223 | $230 | $285 | $56 |
| 120% | 1 | 0 | 0 | $87 | $99 | $71 | -$27 |
| Total | 122 | 122 | 123 | $20,560 | $16,139 | $17,020 | $880 |
Notes
- Deposit data represents the deposits reported by QPD’s as of December 31, 2025
- Pledged Ranking Data represents rankings from the monthly reports filed by QPD’s.
- Pledge Level Breakdowns:
70 or > = 70%
40-69=80%
20-39 = 90%
10-19=100%
<10 =115%
5 percentage points will be added to any of the above levels if the QPD exhibits one or both of the following conditions:- Net average daily ledger balance of public deposits exceeds Tier 1 capital.
- Net average monthly ledger balance of public deposits comprises 20% or more of total public deposits held in QPD’s.
SAFE General Information
Board of Directors
State Treasurer Young Boozer, Chair
Montgomery, AL
Mr. Guy Davis, President and CEO
Marion Community Bank
Montgomery, AL
Ms. Allison Edge, Finance Director
City of Auburn
Auburn, AL
Ms. Rana Futral, CEO
First Community Bank of Central AL
Wetumpka, AL
Mr. Mike Hill, Superintendent
Alabama Department of Banking
Montgomery, AL
Mr. Roger Rendleman
Baldwin County Administrator
Bay Minette, AL
Mr. Mitt Schroeder, CEO
Central State Bank
Calera, AL
Mr. Mark Snead, President & CEO
Synovus Bank
Montgomery, AL
2-6-2026 Meeting
The state and its political subdivisions, including its agencies, departments, boards, commissions, officers, public institutions of higher learning as defined in Section 16-5-1, and courts;
counties, including the offices of their public officials, whether elected or appointed, and any of their agencies, departments, boards, school districts, commissions, and courts;
municipalities, and any of their agencies, departments, boards, school districts, commissions, and courts;
public corporations, including any public board, authority, or district, heretofore or hereafter organized or
created in this state pursuant to authorization or determination of any municipality or municipalities or by any
county or counties or the governing body of any one or more thereof and that receive any appropriations of
funds by action of the Legislature of this state or any governing body of any political subdivision, municipality,
or county of this state or that receive proceeds of any tax levied pursuant to any statute of this state;
any improvement authority incorporated under Chapter 7 of Title 39;
any public corporation or instrumentality created under the statutes of this state enacted prior to January 1,
2001, that expressly provide that depositories of funds of such public corporation or instrumentality shall pledge collateral to secure that public corporation’s or instrumentality’s deposits;
and any other public corporation created under statutes of this state enacted on or after January, 1, 2001, that
provide that the public corporation shall be subject to the provisions of this chapter.”
Eligible Securities Listing
- Direct obligations of the State of Alabama or any other state of the U.S.
- Obligations of the U.S. Government
- Obligations that are fully guaranteed as to payment of principal and interest by the U.S.
- Obligations issued or guaranteed by any agency or instrumentality of the U.S. including without Limitation:
- Government National Mortgage Association
- Federal Farm Credit Bank
- Federal Housing Finance Board
- Federal Home Loan Bank
- Debt obligations, including, without limitation, participation certificates, of Federal Home Loan Mortgage Corporation or of Federal National Mortgage Association
- Irrevocable, unconditional, letters of credit issued by any Federal Home Loan Bank Note: subject to approval and compliance with all related requirements, conditions and procedures established by the Board and Treasurer.
- Direct obligations of any agency, political subdivision, or instrumentality of the State of Alabama, including, without limitation, any direct obligation of any county, or municipality, which carries the full faith and credit of the issuing entity.
- General obligations of any county, municipality, agency, political subdivision, or instrumentality of any of the various other states of the U.S. with a rating of “A2” or better by Moody’s or a rating of “A” or better by Standard & Poor’s.
- Any revenue obligation issued by the State of Alabama or any agency, political subdivision, instrumentality, county, municipality, or district thereof, or by any authority, board, or public corporation of the State of Alabama, or any such agency, political subdivision, instrumentality county, municipality, or district, payable from designated taxes or from revenues or other limited or special sources of funds derived from any public facility or project which either (1) has a current rating of “A2” or better by Moody’s or “A” or better by Standard & Poor’s or Fitch or (2) has an average annual debt service coverage of at least two times.
- Mortgage-Backed Securities, Collateralized-Mortgage Obligations, Asset-Backed Securities (excluding MBSs, CMOs, and ABSs constituting inverse floaters, interest-only strips, principal- only strips or similar leveraged derivative instruments) issued by any public entity or organization, quasi-public entity or organization or private entity or organization, provided that, except in the case of MBS, CMO, and ABS issued by an agency or instrumentality of the U.S. or any federally chartered or sponsored quasi-public entity or organization (including the Federal National Mortgage Assoc. or Federal Home Loan Mortgage Corporation) such securities or obligations shall have a current rating of “Aaa” by Moody’s or “AAA” by Standard & Poor’s or Fitch.
SNL FINANCIAL RATING: Overview of SNL Financial’s Bank Rating
Overview
The SNL Financial provides 3 Bank Insight depository ratings:
- National—Compares all institutions of like types to all other institutions in the nation
- Regional—Compares all institutions of like types to all others in a certain region
- Asset Size peer group—Compares all institutions of like types to others based on their asset
size
The Alabama SAFE program uses the asset based peer group for ratings.
Ratings are calculated using quarterly data obtained from the FDIC call reports, Federal Reserve Y-9C reports, Office of Thrift Supervision TFR reports and NCUA call reports. Banks are assigned a numerical rating from 0-99, with 99 representing the top performers and 0 representing the lowest.
The SNL Rating should be used to estimate an institution’s health and potential for failure. It is not a credit rating and is not intended to be a judgment on a bank’s current quarter performance. Use the rating as a starting point in evaluating a bank’s health. There are other factors that should be considered in determining the health of an institution; Management capability, regional economic strength, bank holding company policy and strength, and exceptions made in conjunction with regulators.
Calculation
Different ratios are used to compute ratings for different kinds of institutions. For example, the four ratios used for bank ratings are as follows:
- Capital Adequacy—Core Cap-Loss on AFS Securities/Adjusted Total Assets
- Asset Quality—Adjusted Nonperforming Loans & OREO/Total Loans & OREO
- Earnings—Operating Profit / Average Assets
- Liquidity—Liquid Assets / Total Liabilities
Each institution’s ratios are weighted to arrive at a raw score. For an average institution the approximate weightings, which indicate the relative importance of each ratio used in the new rating system, are as follows:
- Capital Adequacy 30%
- Asset Quality 35%
- Earnings 25%
- Liquidity 10%
Calculation of Rating
Step 1: For each institution, data is pulled for each of the four ratios for the current quarter and the previous four year ends.
Step 2: The ratio value is then multiplied by its corresponding weight for each of the five time periods (current quarter and the four previous year ends)
- Weights: Capital Adequacy—0.03
- Asset Quality—0.106
- Earnings—0.215
- Liquidity—0.0035
Step 3: The weighted financial metrics are summed for each time period to derive a raw score. Each institution will have 5 raw scores, one for each time period.
Step 4: A single mean and standard deviation are calculated using the raw scores for all institutions and all time periods based on the specific group for each rating(National, Regional and Asset Size). Raw scores >7 and < -3.5 are excluded.
Step 5: For each institution, the distance of the current quarter’s raw score from the mean is calculated with the following formula: (raw score-mean)/standard deviation.
Step 6: Using the lookup table, the distance from the mean is converted into a score for each institution.
- The lookup table has scores from 0 to 50 that are assigned based on the distance from the
mean. - If the distance from the mean is positive, the score is added to 50. If the distance from the
mean is negative, the score is subtracted from 50. - The resulting number is the rating.
For more detail on the SNL-Bank Insight ratings please call SNL support @ 888-275-2822 or
support@SNL.com.