First American Funds NCSR Certified annual shareholder report (management investment company)

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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-03313

First American Funds, Inc.

(Exact name of registrant as specified in charter)


800 Nicollet Mall, Minneapolis, MN (Address of principal executive offices)		55402 (Zip code)

Charles D. Gariboldi, Jr., 800 Nicollet Mall, Minneapolis, MN 55402
(Name and address of agent for service)

Registrant’s telephone number, including area code: 800-677-3863

Date of fiscal period end: August 31

Date of reporting period: August 31, 2006

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. Section 3507.

Table of Contents


Message to Shareholders			1
Report of Independent Registered Public Accounting Firm			9
Schedule of Investments			10
Statements of Assets and Liabilities			23
Statements of Operations			25
Statements of Changes in Net Assets			26
Financial Highlights			30
Notes to Financial Statements			40
Notice to Shareholders			47
Certifications of the Principal Executive Officer and Principal Financial Officer
Certifications of the Principal Executive Officer and Principal Financial Officer

An investment in money market funds is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although these funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in these funds.


	NOT FDIC INSURED NO BANK GUARANTEE MAY LOSE VALUE

Message to SHAREHOLDERS October 16, 2006


Dear Shareholders:


We invite you to take a few minutes to review the results of the fiscal year ended August 31, 2006.

This report includes a complete listing of portfolio holdings and additional fund information. We hope you will find this helpful in monitoring your investment portfolio.

Also, through our website, firstamericanfunds.com, we provide quarterly performance fact sheets on all First American Funds, the economic outlook as viewed by our senior investment officers, and other information about fund investments and portfolio strategies.

Please contact your financial professional if you have questions about First American Funds or contact First American Investor Services at 800.677.FUND.

We appreciate your investment with First American Funds and look forward to serving your financial needs in the future.

Sincerely,




Virginia L. Stringer Chairperson of the Board First American Funds, Inc.		Thomas S. Schreier, Jr. President First American Funds, Inc.

First American Funds Annual Report 2006 1

Government Obligations fund

Expense Example

As a shareholder of the Government Obligations Fund (the “fund”), you incur ongoing costs, including advisory fees; distribution and/or service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from March 1, 2006, to August 31, 2006.

Actual Expenses

For each class, the first line of the table below provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

For each class, the second line of the table below provides information about hypothetical account values and hypothetical expenses based on the fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only. Therefore, the second line of the table for each class is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

Expense Examples


					Expenses Paid During
	Beginning Account		Ending Account		Period¹(3/01/06 to
	Value (3/01/06)		Value (8/31/06)		8/31/06)
Class A Actual²	$	1,000.00	$	1,021.60	$	3.82

Class A Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.42	$	3.82

Class D Actual²	$	1,000.00	$	1,022.30	$	3.06

Class D Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.18	$	3.06

Class Y Actual²	$	1,000.00	$	1,023.10	$	2.29

Class Y Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.94	$	2.29

Class Z Actual²	$	1,000.00	$	1,024.40	$	1.02

Class Z Hypothetical (5% return before expenses)	$	1,000.00	$	1,024.20	$	1.02

Institutional Investor Class Actual^2,3	$	1,000.00	$	1,020.30	$	1.53

Institutional Investor Class Hypothetical (5% return before expenses)^2,3	$	1,000.00	$	1,019.83	$	1.53

Piper Jaffray Class Actual²	$	1,000.00	$	1,021.20	$	4.13

Piper Jaffray Class Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.12	$	4.13


¹	Expenses are equal to the fund’s annualized expense ratio for the most recent six-month period of 0.75%, 0.60%, 0.45%, 0.20%, and 0.81% for Class A, Class D, Class Y, Class Z, and Piper Jaffray Class, respectively, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year/365 (to reflect the one-half year period). For the Institutional Investor Class the expenses are equal to the class’s annualized expense ratio for the five-month period ended August 31, 2006 of 0.30%.

²	Based on the actual returns for the six-month period ended August 31, 2006 of 2.16%, 2.23%, 2.31%, 2.44%, and 2.12% for Class A, Class D, Class Y, Class Z, and Piper Jaffray Class, respectively. For Institutional Investor Class the actual is based on the return of 2.03% for the five-month period ended August 31, 2006.

³	Institutional Investor Class inception was March 31, 2006.

Portfolio Allocation as of August 31, 2006⁴ (% of net assets)


Repurchase Agreements			72.7%
U.S. Government Agency Obligations			27.6%


⁴	Portfolio allocations are subject to change at any time and are not recommendations to buy or sell any security.

2 First American Funds Annual Report 2006

Government Obligations fund continued

Prime Obligations fund

Expense Example

As a shareholder of the Prime Obligations Fund (the “fund”), you incur two types of costs: (1) transaction costs (for example, any contingent deferred sales charges that may apply on Class B or Class C shares); and (2) ongoing costs, including advisory fees, distribution and/or service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from March 1, 2006, to August 31, 2006.

Actual Expenses

Hypothetical Example for Comparison Purposes

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as contingent deferred sales charges. Therefore, the second line of the table for each class is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

Expense Examples


					Expenses Paid During
	Beginning Account		Ending Account		Period¹(3/01/06 to
	Value (3/01/06)		Value (8/31/06)		8/31/06)
Class A Actual²	$	1,000.00	$	1,021.70	$	3.97

Class A Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.27	$	3.97

Class B Actual²	$	1,000.00	$	1,019.40	$	6.26

Class B Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.00	$	6.26

Class C Actual²	$	1,000.00	$	1,019.40	$	6.26

Class C Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.00	$	6.26

Class D Actual²	$	1,000.00	$	1,022.50	$	3.21

Class D Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.03	$	3.21

Class I Actual²	$	1,000.00	$	1,023.70	$	2.04

Class I Hypothetical (5% return before expenses)	$	1,000.00	$	1,023.19	$	2.04

Class Y Actual²	$	1,000.00	$	1,023.30	$	2.45

Class Y Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.79	$	2.45

Class Z Actual²	$	1,000.00	$	1,024.70	$	1.02

Class Z Hypothetical (5% return before expenses)	$	1,000.00	$	1,024.20	$	1.02

Institutional Investor Class Actual^2,3	$	1,000.00	$	1,020.50	$	1.28

Institutional Investor Class Hypothetical (5% return before expenses)^2,3	$	1,000.00	$	1,019.83	$	1.28

Piper Jaffray Class Actual²	$	1,000.00	$	1,021.20	$	4.48

Piper Jaffray Class Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.20	$	4.48


¹	Expenses are equal to the fund’s annualized expense ratio for the most recent six-month period of 0.78%, 1.23%, 1.23%, 0.63%, 0.40%, 0.48%, 0.20%, and 0.88% for Class A, Class B, Class C, Class D, Class I, Class Y, Class Z, and Piper Jaffray Class, respectively, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year/365 (to reflect the one-half year period). For the Institutional Investor Class the expenses are equal to the class’s annualized expense ratio for the five-month period ended August 31, 2006 of 0.30%.

²	Based on the actual returns for the six-month period ended August 31, 2006 of 2.17%, 1.94%, 1.94%, 2.25%, 2.37%, 2.33%, 2.47%, and 2.12% for Class A, Class B, Class C, Class D, Class I, Class Y, Class Z, and Piper Jaffray Class, respectively. For Institutional Investor Class the actual is based on the return of 2.05% for the five-month period ended August 31, 2006.

³	Institutional Investor Class inception was March 31, 2006.

First American Funds Annual Report 2006 3

Prime Obligations fund continued

Portfolio Allocation as of August 31, 2006¹ (% of net assets)


Commercial Paper			22.1%
Certificates of Deposit			21.7%
Structured Investment Vehicles			16.2%
Extendible Floating Rate Corporate Notes			13.0%
Corporate Notes			11.2%
Euro Time Deposits			4.9%
Floating Rate Funding Agreements			4.2%
Repurchase Agreements			2.6%
U.S. Government & Agency Securities			2.3%
Structured Notes			1.6%
Weekly Variable Rate Demand Notes			0.7%


¹	Portfolio allocations are subject to change at any time and are not recommendations to buy or sell any security.

4 First American Funds Annual Report 2006

Prime Obligations fund continued

Tax Free Obligations fund

Expense Example

As a shareholder of the Tax Free Obligations Fund (the “fund”), you incur ongoing costs, including advisory fees; distribution and/or service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from March 1, 2006, to August 31, 2006.

Actual Expenses

Hypothetical Example for Comparison Purposes

Expense Examples


					Expenses Paid During
	Beginning Account		Ending Account		Period¹(3/01/06 to
	Value (3/01/06)		Value (8/31/06)		8/31/06)
Class A Actual²	$	1,000.00	$	1,013.70	$	3.81

Class A Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.42	$	3.82

Class D Actual²	$	1,000.00	$	1,014.50	$	3.05

Class D Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.18	$	3.06

Class Y Actual²	$	1,000.00	$	1,015.30	$	2.29

Class Y Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.94	$	2.29

Class Z Actual²	$	1,000.00	$	1,016.60	$	1.02

Class Z Hypothetical (5% return before expenses)	$	1,000.00	$	1,024.20	$	1.02

Institutional Investor Class Actual^2,3	$	1,000.00	$	1,013.70	$	1.27

Institutional Investor Class Hypothetical (5% return before expenses)^2,3	$	1,000.00	$	1,019.83	$	1.28

Piper Jaffray Class Actual²	$	1,000.00	$	1,013.50	$	4.01

Piper Jaffray Class Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.22	$	4.02


¹	Expenses are equal to the fund’s annualized expense ratio for the most recent six-month period of 0.75%, 0.60%, 0.45%, 0.20%, and 0.79% for Class A, Class D, Class Y, Class Z, and Piper Jaffray Class, respectively, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year/365 (to reflect the one-half year period). For the Institutional Investor Class the expenses are equal to the class’s annualized expense ratio for the five-month period ended August 31, 2006 of 0.30%.
²	Based on the actual returns for the six-month period ended August 31, 2006 of 1.37%, 1.45%, 1.53%, 1.66%, and 1.35% for Class A, Class D, Class Y, Class Z, and Piper Jaffray Class, respectively. For Institutional Investor Class the actual is based on the return of 1.37% for the five-month period ended August 31, 2006.
³	Institutional Investor Class inception was March 31, 2006.

Portfolio Allocation as of August 31, 2006⁴ (% of net assets)


Variable Rate Demand Notes – Weekly			83.0%
Commercial Paper			6.0%
Variable Rate Demand Notes – Daily			4.3%
Municipal Notes			3.9%
Money Market Fund			2.5%


⁴	Portfolio allocations are subject to change at any time and are not recommendations to buy or sell any security.

First American Funds Annual Report 2006 5

Tax Free Obligations fund continued

Treasury Obligations fund

Expense Example

As a shareholder of the Treasury Obligations Fund (the “fund”), you incur ongoing costs, including advisory fees; distribution and/or service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from March 1, 2006, to August 31, 2006.

Actual Expenses

Hypothetical Example for Comparison Purposes

Expense Examples


					Expenses Paid During
	Beginning Account		Ending Account		Period¹(3/01/06 to
	Value (3/01/06)		Value (8/31/06)		8/31/06)
Class A Actual²	$	1,000.00	$	1,021.30	$	3.82

Class A Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.42	$	3.82

Class D Actual²	$	1,000.00	$	1,022.10	$	3.06

Class D Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.18	$	3.06

Class Y Actual²	$	1,000.00	$	1,022.90	$	2.29

Class Y Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.94	$	2.29

Class Z Actual²	$	1,000.00	$	1,024.10	$	1.02

Class Z Hypothetical (5% return before expenses)	$	1,000.00	$	1,024.20	$	1.02

Institutional Investor Class Actual^2,3	$	1,000.00	$	1,020.00	$	1.28

Institutional Investor Class Hypothetical (5% return before expenses)^2,3	$	1,000.00	$	1,019.83	$	1.28

Piper Jaffray Class Actual²	$	1,000.00	$	1,021.10	$	4.02

Piper Jaffray Class Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.22	$	4.02

Reserve Class Actual²	$	1,000.00	$	1,020.30	$	4.79

Reserve Class Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.47	$	4.79	��


¹	Expenses are equal to the fund’s annualized expense ratio for the most recent six-month period of 0.75%, 0.60%, 0.45%, 0.20%, 0.79%, and 0.94% for Class A, Class D, Class Y, Class Z, Piper Jaffray Class, and Reserve Class, respectively, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year/365 (to reflect the one-half year period). For the Institutional Investor Class the expenses are equal to the class’s annualized expense ratio for the five-month period ended August 31, 2006 of 0.30%.

²	Based on the actual returns for the six-month period ended August 31, 2006 of 2.13%, 2.21%, 2.29%, 2.41%, 2.11%, and 2.03% for Class A, Class D, Class Y, Class Z, Piper Jaffray Class, and Reserve Class, respectively. For Institutional Investor Class the actual is based on the return of 2.00% for the five-month period ended August 31, 2006.

³	Institutional Investor Class inception was March 31, 2006.

Portfolio Allocation as of August 31, 2006⁴ (% of net assets)


Repurchase Agreements			99.1%
U.S. Treasury Obligations			1.3%


⁴	Portfolio allocations are subject to change at any time and are not recommendations to buy or sell any security.

6 First American Funds Annual Report 2006

Treasury Obligations fund continued

U.S. Treasury Money Market fund

Expense Example

As a shareholder of the U.S. Treasury Money Market Fund (the “fund”), you incur ongoing costs, including advisory fees; distribution and/or service (12b-1) fees; and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the fund and to compare these costs with the ongoing costs of investing in other mutual funds. The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from March 1, 2006, to August 31, 2006.

Actual Expenses

Hypothetical Example for Comparison Purposes

Expense Examples


					Expenses Paid During
	Beginning Account		Ending Account		Period¹(3/01/06 to
	Value (3/01/06)		Value (8/31/06)		8/31/06)
Class A Actual²	$	1,000.00	$	1,020.30	$	3.82

Class A Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.42	$	3.82

Class D Actual²	$	1,000.00	$	1,021.10	$	3.06

Class D Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.18	$	3.06

Class Y Actual²	$	1,000.00	$	1,021.80	$	2.29

Class Y Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.94	$	2.29

Class Z Actual²	$	1,000.00	$	1,023.20	$	1.02

Class Z Hypothetical (5% return before expenses)	$	1,000.00	$	1,024.20	$	1.02

Institutional Investor Class Actual^2,3	$	1,000.00	$	1,019.10	$	1.28

Institutional Investor Class Hypothetical (5% return before expenses)^2,3	$	1,000.00	$	1,019.83	$	1.28


¹	Expenses are equal to the fund’s annualized expense ratio for the most recent six-month period of 0.75%, 0.60%, 0.45%, and 0.20% for Class A, Class D, Class Y, and Class Z, respectively, multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year/365 (to reflect the one-half year period). For the Institutional Investor Class the expenses are equal to the class’s annualized expense ratio for the five-month period ended August 31, 2006 of 0.30%.

²	Based on the actual returns for the six-month period ended August 31, 2006 of 2.03%, 2.11%, 2.18%, and 2.32% for Class A, Class D, Class Y, and Class Z, respectively. For Institutional Investor Class the actual is based on the return of 1.91% for the five-month period ended August 31, 2006.

³	Institutional Investor Class inception was March 31, 2006.

Portfolio Allocation as of August 31, 2006⁴ (% of net assets)


U.S. Treasury Obligations			101.1%
Money Market Fund			4.6%


⁴	Portfolio allocations are subject to change at any time and are not recommendations to buy or sell any security.

First American Funds Annual Report 2006 7

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Report of Independent Registered Public Accounting Firm

To the Shareholders and Board of Directors

First American Funds, Inc.

We have audited the accompanying statements of assets and liabilities of First American Funds, Inc. (comprised of the Government Obligations, Prime Obligations, Tax Free Obligations, Treasury Obligations and U.S. Treasury Money Market Funds) (the funds), including the schedules of investments, as of August 31, 2006, and the related statements of operations and changes in net assets and the financial highlights for the periods indicated therein. These financial statements and financial highlights are the responsibility of the funds’ management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. We were not engaged to perform an audit of the funds’ internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the funds’ internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included verification by examination of securities held by the custodian as of August 31, 2006, and confirmation of the securities held by correspondence with brokers, or by other appropriate auditing procedures where replies from brokers were not received. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of each of the funds comprising the First American Funds, Inc. at August 31, 2006, the results of their operations, the changes in their net assets and the financial highlights for the periods indicated therein, in conformity with U.S. generally accepted accounting principles.

Minneapolis, Minnesota

October 13, 2006

First American Funds Annual Report 2006 9

Schedule of INVESTMENTS August 31, 2006, all dollars are rounded to thousands (000)


Government Obligations Fund
DESCRIPTION			PAR		VALUE

U.S. Government Agency Obligations – 27.6%
Federal Farm Credit Bank
	5.230%, 11/24/2006 (a)		$	48,000	$	47,986
Federal Home Loan Bank
	5.263%, 09/06/2006 (a)(b)			100,000		100,000
	5.190%, 09/13/2006 (a)(b)			25,000		24,998
	5.240%, 10/18/2006 (a)			1,995		1,995
	4.500%, 11/03/2006 (b)			20,000		20,000
	3.520%, 12/29/2006 (b)			12,560		12,511
	5.575%, 08/17/2007			40,000		40,000
Federal Home Loan Mortgage Corporation
	4.150%, 09/05/2006 (b)			25,000		25,000
	5.266%, 09/20/2006 (a)			135,000		134,969
	5.181%, 09/27/2006 (a)(b)			225,000		224,884
	5.351%, 10/06/2006 (a)(b)			49,000		48,986
	4.170%, 10/18/2006 (b)			25,000		25,000
	4.610%, 11/24/2006 (b)			12,500		12,500
	4.800%, 02/20/2007 (b)			25,000		25,000
	5.375%, 06/04/2007			25,000		25,000
	5.500%, 07/03/2007			35,000		35,000
	5.500%, 07/09/2007			25,000		25,000
Federal National Mortgage Association
	5.284%, 09/21/2006 (a)			112,500		112,465
	4.560%, 10/02/2006			25,000		24,902
	5.019%, 10/02/2006			150,000		149,309
	5.350%, 10/02/2006			12,565		12,507
	5.350%, 10/02/2006			16,200		16,125
	5.350%, 10/02/2006			33,000		32,848
	5.350%, 10/02/2006			81,400		81,025
	2.625%, 11/15/2006 (b)			25,000		24,897
	5.350%, 01/02/2007			45,000		44,177
	5.500%, 07/09/2007			100,000		100,000
	5.500%, 07/10/2007			25,000		25,000
	5.500%, 07/16/2007			20,000		20,000

Total U.S. Government Agency Obligations (Cost $1,472,084)						1,472,084

Repurchase Agreements – 72.7%
Bank of America
	5.260%, dated 08/31/2006, matures 09/01/2006, repurchase price $600,088 (collateralized by U.S. Treasury and Government Agency Obligations: Total market value $612,001)			600,000		600,000
Barclays
	5.260%, dated 08/31/2006, matures 09/01/2006, repurchase price $250,037 (collateralized by U.S. Treasury and Government Agency Obligations: Total market value $255,001)			250,000		250,000
BNP Paribas
	5.270%, dated 08/31/2006, matures 09/01/2006, repurchase price $1,000,146 (collateralized by U.S. Treasury and Government Agency Obligations: Total market value $1,020,004)			1,000,000		1,000,000
CS First Boston
	5.270%, dated 08/31/2006, matures 09/01/2006, repurchase price $500,073 (collateralized by U.S. Treasury and Government Agency Obligations: Total market value $510,002)			500,000		500,000
Merrill Lynch
	5.260%, dated 08/31/2006, matures 09/01/2006, repurchase price $575,084 (collateralized by U.S. Treasury and Government Agency Obligations: Total market value $586,503)			575,000		575,000
UBS Warburg
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $77,873 (collateralized by U.S. Treasury Obligations: Total market value $79,420)			77,862		77,862
UBS Warburg
	5.270%, dated 08/31/2006, matures 09/01/2006, repurchase price $875,128 (collateralized by U.S. Treasury and Government Agency Obligations: Total market value $892,505)			875,000		875,000

Total Repurchase Agreements (Cost $3,877,862)						3,877,862

Investments Purchased with Proceeds from Securities Lending (c) – 9.4%
		(Cost $503,633)				503,633

Total Investments – 109.7% (Cost $5,853,579)						5,853,579

Other Assets and Liabilities, Net – (9.7)%						(519,154	)

Total Net Assets – 100.0%					$	5,334,425


(a)	Variable Rate Security – The rate shown is the rate in effect as of August 31, 2006. The date shown is the next reset date.

(b)	This security or a portion of this security is out on loan at August 31, 2006. Total loaned securities had a market value of $493,603 at August 31, 2006. See note 2 in Notes to Financial Statements.

(c)	The fund may loan securities in return for collateral in the form of cash, U.S. government securities, or other high grade debt obligations. As of August 31, 2006, the cash collateral was invested solely in a repurchase agreement. See note 2 in Notes to Financial Statements.

The accompanying notes are an integral part of the financial statements.

10 First American Funds Annual Report 2006


Prime Obligations Fund
DESCRIPTION		PAR		VALUE

Commercial Paper – 22.1%
Asset-Backed (a) – 20.4%
Chesham Finance
	5.250%, 09/01/2006	$	50,000	$	50,000
	5.250%, 09/07/2006		110,000		109,904
	5.260%, 09/12/2006		172,650		172,373
	5.260%, 09/13/2006		100,000		99,825
	5.260%, 09/19/2006		50,000		49,869
Concord Minutemen Capital
	5.260%, 09/11/2006		75,000		74,890
	5.260%, 09/12/2006		111,477		111,298
	5.260%, 09/14/2006		100,215		100,025
	5.270%, 09/15/2006		60,000		59,877
	5.260%, 09/18/2006		100,000		99,752
Corporate Asset Funding
	5.260%, 09/29/2006		100,000		99,591
Falcon Asset Securitization Corporation
	5.250%, 09/20/2006		60,000		59,833
	5.270%, 09/21/2006		117,400		117,056
	5.250%, 09/22/2006		110,828		110,488
	5.260%, 09/29/2006		44,479		44,297
	5.260%, 10/02/2006		101,569		101,109
Kitty Hawk Funding (Guarantor: Bank of America)
	5.260%, 09/12/2006		125,000		124,799
	5.260%, 09/14/2006		37,338		37,267
	5.255%, 09/25/2006		50,997		50,818
Old Line Funding
	5.260%, 09/22/2006		50,186		50,032
	5.260%, 10/05/2006		45,425		45,199
Ranger Funding
	5.390%, 09/08/2006		107,430		107,317
	5.260%, 10/03/2006		80,487		80,111
Sheffield Receivables Corporation
	5.260%, 09/06/2006		50,000		49,964
	5.260%, 09/11/2006		79,100		78,984
	5.260%, 09/12/2006		76,000		75,878
	5.260%, 09/22/2006		40,000		39,877
	5.260%, 09/25/2006		100,000		99,649
	5.260%, 09/29/2006		100,000		99,591
Thames Asset Global Securitization Corporation
	5.270%, 09/01/2006		90,179		90,179
	5.265%, 09/14/2006		70,518		70,384
	5.265%, 09/15/2006		100,000		99,795
	5.260%, 09/20/2006		135,000		134,625
	5.270%, 09/21/2006		44,712		44,581
Variable Funding Corporation (Guarantor: Wachovia Bank)
	5.356%, 09/07/2006 (b)		75,000		75,000
Windmill Funding Corporation
	5.260%, 09/13/2006		100,000		99,825
	5.265%, 10/06/2006		66,846		66,504
	5.260%, 10/11/2006		100,905		100,315
	5.270%, 10/16/2006		77,565		77,055

Total Asset-Backed					3,257,936

Secured Liquidity Notes – 1.7%
Emerald Trust Certificates (MBNA Master Certificates)
	5.280%, 09/27/2006 (a)		68,500		68,238
Fenway Funding
	5.300%, 09/05/2006 (a)		105,200		105,138
Rams Funding
	5.300%, 09/22/2006 (a)		100,000		99,691

Total Secured Liquidity Notes					273,067

Total Commercial Paper (Cost $3,531,003)					3,531,003

Certificates of Deposit – 21.7%
Abbey National NY
	5.270%, 10/02/2006		250,000		250,000
Barclays Bank NY
	5.010%, 02/13/2007		100,000		100,000
	5.200%, 04/03/2007		100,000		100,000
	5.278%, 04/11/2007		100,000		99,999
	5.305%, 04/19/2007		100,000		100,000
Branch Banking & Trust
	5.260%, 09/12/2006		200,000		200,000
CS First Boston NY
	5.285%, 09/11/2006		250,000		250,000
Deutsche Bank NY
	5.280%, 09/19/2006		350,000		350,000
Dexia Bank NY
	5.275%, 09/29/2006		100,000		100,000
Fortis Bank NY
	5.305%, 09/01/2006		200,000		200,000
HBOS NY
	5.340%, 11/30/2006		100,000		100,000
	5.340%, 12/01/2006		100,000		100,000
Natexis Banque NY
	5.290%, 10/18/2006		125,000		125,000
	5.345%, 12/01/2006		75,000		75,000
Rabobank Nederland NY
	4.758%, 11/28/2006		100,000		100,001
	5.615%, 06/26/2007		50,000		50,000
	5.660%, 07/03/2007		100,000		100,000
Royal Bank Of Canada NY
	5.280%, 09/15/2006		100,000		100,000
Royal Bank of Scotland NY
	4.170%, 09/21/2006		75,000		75,000
Svenska Handelsbanken NY
	4.340%, 10/03/2006		100,000		99,998
	4.765%, 11/14/2006		100,000		100,000
	4.790%, 01/16/2007		100,000		100,000
	4.970%, 02/07/2007		50,000		50,000
	5.690%, 07/23/2007		100,000		100,000
Wells Fargo
	5.280%, 09/15/2006		100,000		100,000
	4.800%, 12/27/2006		75,000		75,000
	4.850%, 01/30/2007		100,000		100,000
	5.000%, 02/13/2007		100,000		100,000
	5.600%, 06/22/2007		75,000		75,000

Total Certificates of Deposit (Cost $3,474,998)					3,474,998

The accompanying notes are an integral part of the financial statements.

First American Funds Annual Report 2006 11

Schedule of Investments August 31, 2006, all dollars are rounded to thousands (000)


Prime Obligations Fund (continued)
DESCRIPTION			PAR		VALUE

Structured Investment Vehicles (a) – 16.2%
Beta Finance
	5.308%, 09/01/2006 (b)		$	100,000	$	100,000
	5.378%, 09/01/2006 (b)			100,000		100,000
	5.353%, 09/05/2006 (b)			100,000		100,000
	5.343%, 09/07/2006 (b)			100,000		100,000
	4.370%, 10/06/2006			50,000		50,000
CC USA
	5.310%, 09/01/2006 (b)			90,000		89,984
Cheyne Finance LLC
	5.318%, 09/01/2006 (b)			50,000		49,995
	5.318%, 09/01/2006 (b)			100,000		99,989
	5.453%, 10/06/2006 (b)			100,000		99,993
	5.450%, 10/25/2006 (b)			100,000		99,992
	5.455%, 10/25/2006 (b)			100,000		99,992
	5.365%, 11/25/2006 (b)			100,000		99,990
K2 USA LLC
	5.310%, 09/01/2006 (b)			150,000		149,993
	5.315%, 09/01/2006 (b)			50,000		49,997
	5.315%, 09/01/2006 (b)			50,000		49,994
	5.315%, 09/01/2006 (b)			65,000		64,998
	5.320%, 09/01/2006 (b)			100,000		100,000
	5.325%, 09/01/2006 (b)			50,000		49,993
	4.175%, 09/22/2006			85,000		85,000
Links Finance LLC
	5.315%, 09/01/2006 (b)			100,000		99,995
	5.320%, 09/01/2006 (b)			100,000		99,994
	5.320%, 09/01/2006 (b)			50,000		49,997
	5.323%, 09/01/2006 (b)			100,000		99,993
	5.328%, 09/01/2006 (b)			100,000		99,998
Sigma Finance
	5.315%, 09/01/2006 (b)			200,000		199,990
	5.318%, 09/01/2006 (b)			100,000		99,994
	5.320%, 09/01/2006 (b)			100,000		99,991
	5.325%, 09/01/2006 (b)			100,000		99,998

Total Structured Investment Vehicles (Cost $2,589,860)						2,589,860

Extendible Floating Rate Corporate Notes (a)(b) – 13.0%
Allstate Global Funding
	5.376%, 09/04/2006			65,000		65,000
	5.318%, 09/27/2006			69,000		69,000
	5.338%, 09/27/2006			100,000		100,000
Bayerische Landesbank NY
	5.376%, 09/24/2006			300,000		300,000
BNP Paribas
	5.298%, 09/26/2006			124,000		124,000
	5.363%, 11/19/2006			100,000		100,000
General Electric Capital Corporation
	5.430%, 09/17/2006			200,000		200,000
	5.286%, 09/24/2006			100,000		100,000
Marshall & Isley
	5.310%, 09/15/2006			50,000		50,000
Metlife Global Funding
	5.416%, 09/07/2006			85,000		85,000
	5.428%, 09/28/2006			95,000		95,000
Morgan Stanley Dean Witter
	5.390%, 09/15/2006			100,000		100,000
	5.398%, 09/27/2006			95,000		95,000
Royal Bank of Canada
	5.372%, 09/01/2006			100,000		100,000
Royal Bank Of Scotland
	5.315%, 09/22/2006			259,000		259,000
Societe Generale
	5.361%, 09/02/2006			34,000		34,000
Wells Fargo
	5.340%, 09/15/2006			100,000		100,000
WestAG NY
	5.529%, 09/30/2006			100,000		100,000

Total Extendible Floating Rate Corporate Notes (Cost $2,076,000)						2,076,000

Corporate Notes – 11.2%
Bank Of America Securities Master Note
	5.383%, 09/01/2006 (b)			200,000		200,000
Bear Stearns Master Note
	5.438%, 09/01/2006 (b)			200,000		200,000
	5.452%, 09/01/2006			200,000		200,000
Citigroup Global Markets
	5.383%, 09/01/2006 (b)			300,000		300,000
General Electric Capital Corporation
	5.493%, 09/09/2006 (b)			300,000		300,000
Goldman Sachs Group
	5.430%, 09/15/2006 (a)(b)			177,000		177,000
MBIA Global Funding
	5.325%, 09/20/2006 (a)(b)			50,000		50,009
	5.279%, 09/26/2006 (a)(b)			125,000		125,000
	5.520%, 07/13/2007 (a)			80,000		80,000
Morgan Stanley Dean Witter
	5.363%, 09/01/2006 (a)(b)			100,000		100,000
	5.363%, 09/01/2006 (a)(b)			60,000		60,000

Total Corporate Notes (Cost $1,792,009)						1,792,009

Euro Time Deposits – 4.9%
National City Time Deposit
	5.270%, 09/01/2006			419,664		419,664
Sun Trust Time Deposit
	5.280%, 09/01/2006			364,000		364,000

Total Euro Time Deposits (Cost $783,664)						783,664

Floating Rate Funding Agreements (b) – 4.2%
ING USA Life
	5.400%, 09/19/2006			150,000		150,000
Transamerica Occidental Funding Agreement
	5.552%, 09/01/2006			400,000		400,000
Travelers Insurance Company
	5.363%, 09/07/2006			80,000		80,000
United Of Omaha
	5.452%, 09/01/2006			25,000		25,000
	5.474%, 09/21/2006			25,000		25,000

Total Floating Rate Funding Agreements (Cost $680,000)						680,000

U.S. Government & Agency Securities – 2.3%
Federal Home Loan Mortgage Corporation, Callable until 06/06/2007 @ 100
		5.500%, 07/03/2007		124,500		124,500
Federal National Mortgage Association, Callable until 06/12/2007 @ 100
		5.500%, 07/09/2007		137,363		137,363

The accompanying notes are an integral part of the financial statements.

12 First American Funds Annual Report 2006


Prime Obligations Fund (continued)
DESCRIPTION			PAR		VALUE

Federal National Mortgage Association, Callable until 06/13/2007 @ 100
		5.500%, 07/10/2007	$	100,000	$	100,000

Total U.S. Government & Agency Securities (Cost $361,863)						361,863

Structured Notes – 1.6%
3M Company
	5.645%, 12/12/2006 (a)			114,000		114,273
Paragon Mortgages
	Series 12A, Class A1
		5.340%, 09/15/2006 (a)(b)		35,000		35,000
Wachovia Asset Securitization
	Series 2004-HM2A, Class AMM
		5.314%, 09/25/2006 (a)(b)		44,736		44,736
	Series 2005-HM1A, Class AMM
		5.314%, 09/25/2006 (a)(b)		59,968		59,968

Total Structured Notes (Cost $253,977)						253,977

Weekly Variable Rate Demand Notes (b) – 0.7%
California Housing Finance Agency Revenue, Series R (AMBAC)
		5.380%, 09/07/2006		42,785		42,785
Delaware County Pennsylvania Authority Revenue, Riddle Village, Series B (LOC: Lloyds Bank)
		5.350%, 09/07/2006		14,800		14,800
Franklin County Ohio Health Care Facilities Revenue, Presbyterian, Series C (LOC: National City Bank)
		5.350%, 09/07/2006		10,045		10,045
Frisch School (LOC: KBC Bank)
		5.350%, 09/07/2006		12,100		12,100
Greensboro North Carolina, Series B (LOC: Bank of America N.A.)
		5.310%, 09/07/2006		5,690		5,690
Gwinnett County Georgia Development Authority Revenue, Hopewell Christian Academy
		(LOC: Bank of America N.A.)
		5.310%, 09/07/2006		6,100		6,100
Illinois Finance Authority Revenue, Windsor Park
		(LOC: LaSalle Bank)
		5.350%, 09/07/2006		9,500		9,500
NGSP (LOC: Bank of America N.A.)
	5.310%, 09/07/2006			10,000		10,000
North Carolina Capital Facilities Finance Agency Revenue, Wolfpack Powers, Series B
		(LOC: Bank of America N.A.)
		5.310%, 09/07/2006		5,200		5,200

Total Weekly Variable Rate Demand Notes (Cost $116,220)						116,220

Repurchase Agreements – 2.6%
CS First Boston
	5.250%, dated 08/31/2006, matures 09/01/2006, repurchase price $51,958 (collateralized by U.S. Treasury Obligations:
		Total market value $52,991)		51,950		51,950
Goldman Sachs
	5.403%, dated 08/31/2006, matures 09/01/2006, repurchase price $200,030 (collateralized by various securities:
		Total market value $206,264)		200,000		200,000
UBS Warburg
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $160,640 (collateralized by U.S. Treasury Obligations:
		Total market value $163,834)		160,617		160,617

Total Repurchase Agreements (Cost $412,567)						412,567

Total Investments – 100.5% (Cost $16,072,161)						16,072,161

Other Assets and Liabilities, Net – (0.5)%						(81,397	)

Total Net Assets – 100.0%					$	15,990,764


(a)	Security sold within the terms of a private placement memorandum, exempt from registration under Rule 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other “qualified institutional buyers.” These securities have been determined to be liquid under the guidelines established by the funds’ board of directors. As of August 31, 2006, the value of these investments was $9,042,849 or 56.6% of total net assets.

(b)	Variable Rate Security – The rate shown is the rate in effect as of August 31, 2006. The date shown is the next reset date.


AMBAC –	American Municipal Bond Assurance Corporation


LOC –	Letter of Credit

The accompanying notes are an integral part of the financial statements.

First American Funds Annual Report 2006 13

Schedule of Investments August 31, 2006, all dollars are rounded to thousands (000)


Tax-Free Obligations Fund
DESCRIPTION		PAR		VALUE

Municipal Bonds – 97.2%
Alabama – 1.4%
Birmingham Public Educational Building Authority, Student Housing UAB II, Series A (LOC: Regions Bank)
	3.420%, 09/07/2006 (a)	$	6,000	$	6,000
Infirmary Health Systems Special Care Facilities Financing Authority, Series B
	(LOC: Regions Bank)
	3.480%, 09/07/2006 (a)		5,000		5,000
Pell City Special Care Facilities Financing Authority, Noland Health Services
	(LOC: Allied Irish Bank, PLC)
	3.400%, 09/07/2006 (a)		15,000		15,000

					26,000

Alaska – 0.4%
ABN AMRO Munitops Certificates Trust, Series 2006-9 (INS: MBIA)
	(SPA: ABN AMRO Bank)
	3.460%, 09/07/2006 (a)(b)		8,100		8,100

Arizona – 1.1%
Arizona Health Facilities, Royal Oaks
	(LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		6,025		6,025
Arizona Health Facilities, The Terraces Project, Series B2 (LOC: Sovereign Bank)
	(LOC: Lloyds TSB Bank)
	3.400%, 09/07/2006 (a)		5,000		5,000
Pima County Industrial Development Authority, Harvest Preparatory Project
	(LOC: J.P. Morgan Chase Bank)
	3.450%, 09/07/2006 (a)		8,700		8,700

					19,725

Arkansas – 0.3%
Little Rock Residential Housing & Public Facilities Board, Pleasant Woods Project (INS: FNMA)
	3.420%, 09/07/2006 (a)		6,390		6,390

California – 1.7%
ABN AMRO Munitops Certificates Trust (General Obligation) (INS: AMBAC)
	(SPA: ABN AMRO Bank)
	3.690%, 05/31/2007 (a)(b)		17,530		17,530
California State Department of Water Resources Power Supply, Series B-5
	(LOC: Bayerische Landesbank)
	(LOC: Westdeutsche Landesbank)
	3.470%, 09/01/2006 (a)		13,350		13,350

					30,880

Colorado – 4.4%
Colorado Educational & Cultural Facilities, Linfield Christian School
	(LOC: Evangelical Christian)
	(LOC: Wescorp Credit Union)
	3.430%, 09/07/2006 (a)		18,750		18,750
Colorado Educational & Cultural Facilities, Mesivta L.A. (LOC: Bank of America)
	3.400%, 09/07/2006 (a)		5,000		5,000
Colorado Health Facilities Authority, Adventist Health, Sunbelt, Series B
	(LOC: Suntrust Bank)
	3.400%, 09/07/2006 (a)		20,900		20,900
Colorado Health Facilities Authority, Covenant Retirement, Series A
	(LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		7,000		7,000
El Paso County School District #020 (Certificate of Participation)
	(LOC: J.P. Morgan Chase Bank)
	3.430%, 09/07/2006 (a)		22,020		22,020
Moffat County Pollution Control (INS: AMBAC) (SPA: J.P. Morgan Chase Bank)
	3.440%, 09/07/2006 (a)		6,220		6,220

					79,890

District of Columbia – 1.1%
District of Columbia, American Society, Series A (LOC: Wachovia Bank)
	3.410%, 09/07/2006 (a)		10,000		10,000
District of Columbia, The Washington Home
	(LOC: Wachovia Bank)
	3.400%, 09/07/2006 (a)		9,300		9,300

					19,300

Florida – 6.3%
ABN AMRO Munitops Certificates Trust, Series 1999-11 (INS: FGIC)
	(SPA: ABN AMRO Bank)
	3.840%, 06/14/2007 (a)(b)		10,000		9,995
Broward County Educational Facilities Authority, City College (LOC: Citibank)
	3.400%, 09/07/2006 (a)		8,025		8,025
Highlands County Health Facilities, Adventist Health Systems, Series A (INS: FSA) (SPA: Dexia Credit Local)
	3.400%, 09/07/2006 (a)		21,440		21,440
Highlands County Health Facilities, Adventist Health Systems, Sunbelt, Series A (INS: FGIC) (SPA: Bank One)
	3.400%, 09/07/2006 (a)		37,900		37,900
Miami-Dade County Development Authority, Gulliver School Project (LOC: Bank of America)
	3.430%, 09/07/2006 (a)		3,550		3,550
Orange County Health Facilities Authority, Adventist Health Systems, Sunbelt (LOC: Suntrust Bank)
	3.400%, 09/07/2006 (a)		22,000		22,000
St. Petersburg Health Facilities Authority, Menorah Manor Project
	(LOC: Suntrust Bank)
	3.400%, 09/07/2006 (a)		6,950		6,950
Temple Terrace, Lifepath Hospice Project
	(LOC: Suntrust Bank)
	3.410%, 09/07/2006 (a)		6,000		6,000

					115,860

Georgia – 5.3%
Albany-Dougherty County Hospital Authority, Phoebe Putney Memorial Hospital (INS: AMBAC) (SPA: Suntrust Bank)
	3.400%, 09/07/2006 (a)		19,180		19,180
Clayton County Development Authority, Delta Airlines Project, Series A (LOC: General Electric Capital)
	3.480%, 09/07/2006 (a)		2,450		2,450
Cobb County Development Authority, Presbyterian, Series B
	(LOC: Allied Irish Bank, PLC)
	3.420%, 09/07/2006 (a)		5,350		5,350

The accompanying notes are an integral part of the financial statements.

14 First American Funds Annual Report 2006


Tax-Free Obligations Fund (continued)
DESCRIPTION		PAR		VALUE

Fayette County Development Authority, Catholic School Properties
	(LOC: Wachovia Bank)
	3.410%, 09/07/2006 (a)	$	10,415	$	10,415
Fulton County Development Authority, Catholic Education, North Georgia
	(LOC: Wachovia Bank)
	3.410%, 09/07/2006 (a)		13,095		13,095
Fulton County Development Authority, Pace Academy Project (LOC: Bank of America)
	3.410%, 09/07/2006 (a)		1,725		1,725
Gordon County Hospital Authority, Adventist Health Systems, Series A
	(LOC: Suntrust Bank)
	3.400%, 09/07/2006 (a)		1,155		1,155
Hapeville Development Authority, Industrial Development Revenue, Hapeville Hotel (LOC: Bank of America)
	3.560%, 09/01/2006 (a)		9,000		9,000
Medical Center Hospital Authority, Spring Harbor at Green Island
	(LOC: Bank of Scotland)
	3.400%, 09/07/2006 (a)		13,400		13,400
Rockdale County Hospital Authority
	(LOC: Suntrust Bank)
	3.400%, 09/07/2006 (a)		10,405		10,405
Thomasville Hospital Authority, J.D. Archbold
	(LOC: Suntrust Bank)
	3.410%, 09/07/2006 (a)(b)		11,250		11,250

					97,425

Idaho – 0.3%
Boise Urban Renewal Agency, Capital City (LOC: Bank of America)
	3.470%, 09/07/2006 (a)		4,275		4,275
University of Idaho Foundation Authority
	(LOC: First Security Bank)
	3.450%, 09/07/2006 (a)(b)		1,565		1,565

					5,840

Illinois – 16.4%
Aurora Economic Development, Aurora Christian School (LOC: Fifth Third Bank)
	3.400%, 09/07/2006 (a)		15,660		15,660
Aurora Economic Development, Aurora Christian School, Series B (LOC: Fifth Third Bank)
	3.400%, 09/07/2006 (a)		2,600		2,600
Chicago, Series B-1 (General Obligation) (INS: FSA) (SPA: J.P. Morgan Chase Bank)
	3.430%, 09/07/2006 (a)		22,000		22,000
Cook County, Bernard Zell Anshe Emet
	(LOC: J.P. Morgan Chase Bank)
	3.440%, 09/07/2006 (a)		7,800		7,800
Cook County, Catholic Theological University project (LOC: Harris Trust & Savings)
	3.440%, 09/07/2006 (a)		12,000		12,000
Illinois Development Finance Authority
	(LOC: Northern Trust)
	3.600%, 09/07/2006 (a)		3,500		3,500
Illinois Development Finance Authority, Aurora (LOC: Allied Irish Bank, PLC)
	3.690%, 09/07/2006 (a)		6,740		6,740
Illinois Development Finance Authority, Chinese American Service Project
	(LOC: LaSalle Bank)
	3.450%, 09/07/2006 (a)		4,500		4,500
Illinois Development Finance Authority, Lake Forest (LOC: Northern Trust)
	3.440%, 09/07/2006 (a)		6,255		6,255
Illinois Development Finance Authority, Loyola Academy
	(LOC: J.P. Morgan Chase Bank)
	3.440%, 09/07/2006 (a)		4,000		4,000
Illinois Development Finance Authority, Mount Caramel High School Project
	(LOC: J.P. Morgan Chase Bank)
	3.440%, 09/07/2006 (a)		14,000		14,000
Illinois Development Finance Authority, Presbyterian Home Lake, Series A (INS: FSA) (SPA: First Union National Bank)
	3.430%, 09/07/2006 (a)		30,000		30,000
Illinois Development Finance Authority, Roosevelt University
	(LOC: J.P. Morgan Chase Bank)
	3.440%, 09/07/2006 (a)		10,000		10,000
Illinois Development Finance Authority, Roosevelt University
	(LOC: J.P. Morgan Chase Bank)
	3.440%, 09/07/2006 (a)		13,500		13,500
Illinois Development Finance Authority, Solomon Schecter Day Schools
	(LOC: LaSalle Bank)
	3.450%, 09/07/2006 (a)(b)		5,000		5,000
Illinois Development Finance Authority, United Way/ Crusade Mercy
	(LOC: LaSalle Bank)
	3.450%, 09/07/2006 (a)		3,710		3,710
Illinois Educational Facilities Authority, Chicago Zoological Society
	(LOC: Northern Trust)
	3.440%, 09/07/2006 (a)		5,000		5,000
Illinois Finance Authority, Kohl Children’s Museum
	(LOC: Fifth Third Bank)
	3.440%, 09/07/2006 (a)		8,040		8,040
Illinois Finance Authority, Landing at Plymouth Place, Series B (LOC: Sovereign Bank)
	(LOC: Lloyd’s TSB Bank)
	3.400%, 09/07/2006 (a)		8,500		8,500
Illinois Finance Authority, Luther Oaks, Series C (LOC: Fifth Third Bank)
	3.410%, 09/07/2006 (a)		6,500		6,500
Illinois Finance Authority, Merit School of Music Project
	(LOC: LaSalle Bank)
	3.460%, 09/07/2006 (a)		4,000		4,000
Illinois Finance Authority, Presbyterian Homes
	(LOC: Northern Trust)
	3.440%, 09/07/2006 (a)		7,135		7,135
Illinois Finance Authority, Rest Haven Christian, Series B (LOC: KBC Bank)
	3.420%, 09/07/2006 (a)		3,125		3,125
Illinois Finance Authority, Rest Haven Christian, Series C (LOC: Sovereign Bank)
	(LOC: KBC Bank)
	3.420%, 09/07/2006 (a)		7,145		7,145

The accompanying notes are an integral part of the financial statements.

First American Funds Annual Report 2006 15

Schedule of Investments August 31, 2006, all dollars are rounded to thousands (000)


Tax-Free Obligations Fund (continued)
DESCRIPTION		PAR		VALUE

Illinois Finance Authority, Richard Driehaus Museum
	(LOC: Northern Trust)
	3.440%, 09/07/2006 (a)	$	6,400	$	6,400
Illinois Finance Authority, Smith Village, Series C (LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		10,500		10,500
Illinois Finance Authority, Thresholds Project
	(LOC: Northern Trust)
	3.440%, 09/07/2006 (a)		8,000		8,000
Illinois Health Facilities Authority Lifelink
	(LOC: J.P. Morgan Chase Bank)
	3.400%, 09/07/2006 (a)		1,290		1,290
Illinois Health Facilities Authority, Franciscan Eldercare, Series C
	(LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		11,320		11,320
Illinois Health Facilities Authority, Franciscan Eldercare, Series E
	(LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		5,660		5,660
Illinois Health Facilities, Central Baptist Home, Series B (LOC: Allied Irish Bank, PLC)
	3.420%, 09/07/2006 (a)		3,070		3,070
Illinois Health Facilities, Lutheran Home and Services
	(LOC: Fifth Third Bank)
	3.460%, 09/07/2006 (a)		13,695		13,695
Illinois Health Facilities, Lutheran Home and Services Project
	(LOC: Allied Irish Bank, PLC)
	3.420%, 09/07/2006 (a)		12,760		12,760
Macon County – Milikin University (INS: AMBAC) (SPA: J.P. Morgan Chase Bank)
	3.450%, 09/07/2006 (a)		3,700		3,700
Northern Cook County Solid Waste Agency
	(LOC: Northern Trust)
	3.440%, 09/07/2006 (a)		5,100		5,100
St. Clair County, McKendree College Project
	(LOC: Bank of America)
	3.410%, 09/07/2006 (a)		5,845		5,845
Yorkville, MPI Grande Project (LOC: LaSalle Bank)
	3.450%, 09/07/2006 (a)		3,205		3,205

					301,255

Indiana – 6.5%
Evansville Economic Development, Good Samaritan Home
	(LOC: Fifth Third Bank)
	3.460%, 09/07/2006 (a)		6,730		6,730
Fort Wayne Industries Economic Development, Lutheran Homes Project (LOC: Fifth Third Bank)
	3.510%, 09/07/2006 (a)		4,925		4,925
Indiana Bond Bank, Series A
	(LOC: Bank of New York)
	4.500%, 02/01/2007		42,000		42,212
Indiana Health & Educational Facilities Financing Authority, Community Village, Hartsfield, Series A (LOC: Harris Bank)
	3.400%, 09/07/2006 (a)		7,175		7,175
Indiana Health Facilities Financing Authority, Major Hospital Project
	(LOC: J.P. Morgan Chase Bank)
	3.430%, 09/07/2006 (a)		17,900		17,900
Indiana Health Facilities Financing Authority, Westview Hospital (LOC: Fifth Third Bank)
	3.450%, 09/07/2006 (a)		12,670		12,670
Indianapolis Local Public Improvement Bond Bank, Series E
	4.500%, 01/04/2007		27,775		27,836

					119,448

Iowa – 1.2%
Iowa Financial Authority, Health Care Facilities, Unity Healthcare (LOC: Bank of America)
	3.440%, 09/07/2006 (a)		14,505		14,505
Iowa Financial Retirement Authority, Deerfield Retirement, Series B
	(LOC: LaSalle Bank)
	3.400, 09/07/2006 (a)		600		600
Iowa Financial Retirement Authority, Wesley Retirement Services
	(LOC: Wells Fargo Bank)
	3.400%, 09/07/2006 (a)		6,000		6,000

					21,105

Kansas – 1.1%
Olathe Senior Living Facility, Catholic Care Campus, Series C-1
	(LOC: LaSalle Bank)
	3.410%, 09/07/2006 (a)		11,300		11,300
Prairie Village Revenue, Claridge Court
	(LOC: LaSalle Bank)
	3.410%, 09/07/2006 (a)		8,595		8,595

					19,895

Louisiana – 1.6%
ABN AMRO Munitops Certificates Trust, Series 2002-17 (INS: AMBAC)
	(SPA: ABN AMRO Bank)
	3.450%, 09/07/2006 (a)(b)		15,000		15,000
Louisiana Public Facilities Authority
	(LOC: J.P. Morgan Chase Bank)
	3.430%, 09/07/2006 (a)		8,500		8,500
Louisiana Public Facilities Authority, Tiger Athletic Foundation Project
	(LOC: Regions Bank)
	3.420%, 09/07/2006 (a)		6,075		6,075

					29,575

Maryland – 1.2%
Gaithersburg Economic Development, Asbury Methodist (LOC: KBC Bank)
	3.420%, 09/07/2006 (a)		2,200		2,200
Maryland State Health & Higher Educational Facilities Authority, Adventist Healthcare, Series A (LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		10,000		10,000
Prince Georges County Revenue, Collington Episcopal, Series A
	(LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		6,350		6,350
Prince Georges County Revenue, Collington Episcopal, Series B
	(LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		3,650		3,650

					22,200

The accompanying notes are an integral part of the financial statements.

16 First American Funds Annual Report 2006


Tax-Free Obligations Fund (continued)
DESCRIPTION		PAR		VALUE


Massachusetts – 0.5%
ABN AMRO Munitops Certificates Trust, Series 2000-2 (INS: FGIC)
	(SPA: ABN AMRO Bank)
	3.430%, 09/07/2006 (a)(b)	$	10,000	$	10,000

Michigan – 3.9%
Ann Arbor Economic Development, Glacier Hills, Series B (LOC: J.P. Morgan Chase Bank)
	3.400%, 09/07/2006 (a)		3,030		3,030
Georgetown Township Economic Development, Sunset Manor Project (LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		7,600		7,600
Grand Rapids Economic Development Corporation, St. Dominic Project
	(LOC: Allied Irish Bank, PLC)
	3.460%, 09/07/2006 (a)		11,700		11,700
Kalamazoo Economic Development, Friendship Village (LOC: Fifth Third Bank)
	3.400%, 09/07/2006 (a)		8,305		8,305
Kalamazoo Economic Development, Heritage Project (LOC: Fifth Third Bank)
	3.400%, 09/07/2006 (a)		3,705		3,705
State of Michigan Strategic Fund, Father Gabriel High School Project
	(LOC: Allied Irish Bank, PLC)
	3.420%, 09/07/2006 (a)		8,335		8,335
State of Michigan Strategic Fund, Holland Home Group, Series A
	(LOC: Fifth Third Bank)
	3.400%, 09/07/2006 (a)		10,645		10,645
State of Michigan Strategic Fund, Lutheran Social Services
	(LOC: National City Bank)
	3.470%, 09/07/2006 (a)		18,320		18,320

					71,640

Minnesota – 1.8%
Eden Prairie, Multifamily Housing Authority
	3.460%, 09/07/2006 (a)		14,105		14,105
Mendota Heights Revenue, St. Thomas Academy Project
	(LOC: Allied Irish Bank, PLC)
	3.420%, 09/07/2006 (a)		1,765		1,765
Minnesota State Higher Educational Facilities, Bethel College (INS: General Obligation of Institution) (LOC: Allied Irish Bank, PLC)
	3.490%, 09/07/2006 (a)		4,745		4,745
Minnesota State Higher Educational Facilities, Bethel College, Series 5
	(LOC: Allied Irish Bank, PLC)
	3.490%, 09/07/2006 (a)		3,950		3,950
Oak Park Heights Multi-Family, Boutwells Landing (INS: FHLMC)
	3.420%, 09/07/2006 (a)		8,900		8,900

					33,465

Mississippi – 0.7%
Medical Center Educational Building, Adult Hospital (INS: AMBAC)
	(SPA: AmSouth Bank)
	3.400%, 09/07/2006 (a)		12,700		12,700

Missouri – 1.1%
Jackson County Industrial Development Authority, YMCA Greater Kansas City
	(LOC: Bank of America)
	3.460%, 09/07/2006 (a)		7,100		7,100
Missouri State Health & Educational Facilities
	(LOC: J.P. Morgan Chase Bank)
	3.440%, 09/07/2006 (a)		8,435		8,435
St. Louis County Industrial Development Authority, Friendship Village West
	(LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		4,100		4,100

					19,635

New Hampshire – 0.2%
New Hampshire Health & Educational Facilities Authority, Colby-Sawyer College
	(LOC: Allied Irish Bank, PLC)
	3.410%, 09/07/2006 (a)		2,745		2,745

New York – 3.9%
ABN AMRO Munitops Certificates Trust, Series 1999-3 (INS: MBIA)
	(SPA: ABN AMRO Bank)
	3.560%, 09/07/2006 (a) (b)		21,402		21,402
ABN AMRO Munitops Certificates Trust, Series 1999-13 (INS: FGIC)
	(SPA: ABN AMRO Bank)
	3.420%, 09/07/2006 (a) (b)		7,561		7,561
ABN AMRO Munitops Certificates Trust, Series 2000-7 (INS: FGIC)
	(SPA: ABN AMRO Bank)
	3.540%, 09/07/2006 (a) (b)		27,565		27,565
New York, Subseries H-2 (General Obligation)
	(LOC: Dexia Credit Local)
	3.560%, 09/01/2006 (a)		15,700		15,700

					72,228

North Carolina – 2.8%
North Carolina Student Housing, Fayetteville University
	(LOC: Wachovia Bank)
	3.410%, 09/07/2006 (a)		9,465		9,465
North Carolina Student Housing, NCCU Real Estate, Series A
	(LOC: Wachovia Bank)
	3.410%, 09/07/2006 (a)		9,285		9,285
North Carolina Wolfpack Club Project
	(LOC: Bank of America)
	3.410%, 09/07/2006 (a)		8,100		8,100
Wake County (Commercial Paper)
	3.700%, 03/19/2007		23,580		23,580

					50,430

North Dakota – 0.2%
Mercer County Pollution Control
	(LOC: LaSalle Bank)
	3.450%, 09/07/2006 (a)		3,600		3,600

Ohio – 6.1%
Akron, Bath, and Copley, Summa Health Systems, Series B (LOC: J.P. Morgan Chase Bank)
	3.420%, 09/07/2006 (a)		6,145		6,145
Cuyahoga County Continuing Care Facilities
	(LOC: LaSalle National Bank)
	3.400%, 09/07/2006 (a)		3,000		3,000

The accompanying notes are an integral part of the financial statements.

First American Funds Annual Report 2006 17

Schedule of Investments August 31, 2006, all dollars are rounded to thousands (000)


Tax-Free Obligations Fund (continued)
DESCRIPTION		PAR		VALUE

Cuyahoga County Metrohealth System
	(LOC: National City Bank)
	3.420%, 09/07/2006 (a)	$	11,900	$	11,900
Franklin County Health Care Facilities
	(LOC: National City Bank)
	3.420%, 09/07/2006 (a)		3,400		3,400
Franklin County Health Care Facilities, Friendship Village Dublin, Series B
	(LOC: LaSalle Bank)
	3.400%, 09/07/2006 (a)		5,700		5,700
Franklin County Health Care Facilities, Mother Angeline McCrory Project
	(LOC: Allied Irish Bank, PLC)
	3.460%, 09/07/2006 (a)		16,425		16,425
Franklin County Health Care Facilities, Presbyterian, Series B
	(LOC: National City Bank)
	3.420%, 09/07/2006 (a)		5,000		5,000
Franklin County Health Care Facilities, Wesley Glen, Series A
	(LOC: Fifth Third Bank)
	3.430%, 09/07/2006 (a)		4,155		4,155
Franklin County Health Care Facilities, Wesley Glen, Series B
	(LOC: Fifth Third Bank)
	3.430%, 09/07/2006 (a)		2,120		2,120
Franklin County Health Care Facilities, Wesley Ridge Residence, Series C
	(LOC: Fifth Third Bank)
	3.430%, 09/07/2006 (a)		10,200		10,200
Fulton County Health Center
	(LOC: J.P. Morgan Chase Bank)
	3.460%, 09/07/2006 (a)		12,300		12,300
Logan County Health Care Facilities
	(LOC: Fifth Third Bank)
	3.460%, 09/07/2006 (a)		10,270		10,270
Middleburg Heights Hospital Improvement Revenue (LOC: Fifth Third Bank)
	3.410%, 09/07/2006 (a)		2,100		2,100
Pike County Health Care Facilities, Hill View
	(LOC: Fifth Third Bank)
	3.400%, 09/07/2006 (a)		8,550		8,550
Summit County Port Authority, Lawrence School Project
	(LOC: Fifth Third Bank)
	3.400%, 09/07/2006 (a)		10,475		10,475

					111,740

Oklahoma – 0.6%
Oklahoma Authority Revenue, American Cancer Society Project
	(LOC: Bank of America)
	3.460%, 09/07/2006 (a)		2,595		2,595
Tulsa Industrial Authority Revenue Floating (INS: MBIA)
	3.440%, 09/07/2006 (a) (b)		7,970		7,970

					10,565

Oregon – 1.0%
Clackamas County Hospital Facilities Authority, Williamette, Series A-1
	(LOC: Sovereign Bank)
	(LOC: Bank of New York)
	3.400%, 09/07/2006 (a)		2,000		2,000
Clackamas County Hospital Facilities, Senior Living Facility, Mary’s Woods
	(LOC: Sovereign Bank) (LOC: KBC Bank)
	3.420%, 09/07/2006 (a)		15,520		15,520

					17,520

Pennsylvania – 3.0%
ABN AMRO Munitops Certificates Trust, Series 1999-16 (INS: MBIA)
	(SPA: ABN AMRO Bank)
	3.430%, 09/07/2006 (a) (b)		11,884		11,884
Chester County Health & Educational Facilities Retirement Community, Kendal Crosslands Project
	(LOC: Allied Irish Bank, PLC)
	3.420%, 09/07/2006 (a)		4,900		4,900
Delaware County Authority Revenue, Riddle Village Project, Series A
	(LOC: Sovereign Bank)
	(LOC: Lloyds TSB Bank)
	3.400%, 09/07/2006 (a)		8,230		8,230
Lebanon County Health Facilities, Health Center, United Church of Christ (LOC: Wachovia Bank)
	3.410%, 09/07/2006 (a)		9,380		9,380
Lehigh County General Purpose, Phoebe Devitt Homes, Series B
	(LOC: Sovereign Bank)
	(LOC: Scotia Bank)
	3.410%, 09/07/2006 (a)		3,635		3,635
Philadelphia Hospitals & Higher Educational Facilities Authority, Temple University Health, Series A (LOC: Wachovia Bank)
	3.430%, 09/07/2006 (a)		10,000		10,000
Westmoreland County Industrial Development, Redstone Retirement, Series B
	(LOC: Sovereign Bank) (LOC: Scotia Bank)
	3.410%, 09/07/2006 (a)		6,000		6,000

					54,029

Puerto Rico – 0.5%
ABN AMRO Munitops Certificates Trust, Series 2000-17
	(SPA: ABN AMRO Bank)
	3.420%, 09/07/2006 (a) (b)		9,825		9,825

Rhode Island – 0.6%
Rhode Island Health & Education Revenue, Jewish Services Agency
	(LOC: Sovereign Bank)
	(LOC: Bank of New York)
	3.400%, 09/07/2006 (a)		11,750		11,750

South Carolina – 0.5%
Charleston Waterworks & Sewer, Series A
	(SPA: Bank of America)
	3.410%, 09/07/2006 (a)		8,665		8,665

Tennessee – 2.1%
Jefferson City Health & Educational Facilities, Carson Newman College
	(LOC: Suntrust Bank)
	3.410%, 09/07/2006 (a)		8,000		8,000
Knox County Health Educational & Housing Facilities Board, Volunteer Student Housing Project
	(LOC: Allied Irish Bank, PLC)
	3.420%, 09/07/2006 (a)		19,800		19,800

The accompanying notes are an integral part of the financial statements.

18 First American Funds Annual Report 2006


Tax-Free Obligations Fund (continued)
DESCRIPTION			PAR		VALUE

Met Government Nashville & Davidson
		(LOC: Societe Generale)
		3.630%, 09/07/2006 (a)	$	7,035	$	7,035
Rutherford County Industrial Development – Square D Company (LOC: Societe Generale)
		3.650%, 09/07/2006 (a)		4,100		4,100

						38,935

Texas – 6.8%
ABN AMRO Munitops Certificates Trust, Frisco School District (INS: PSF-Guaranteed)
		(SPA: ABN AMRO Bank)
		3.600%, 09/20/2006 (a) (b)		9,695		9,695
ABN AMRO Munitops Certificates Trust, Williamson County (INS: FSA)
		(SPA: ABN AMRO Bank)
		3.700%, 06/21/2007 (a) (b)		10,395		10,395
Bexar County Health Facilities, Air Force Village
		(LOC: Bank of America)
		3.400%, 09/07/2006 (a)		12,000		12,000
Capital Area Cultural Educational Facilities Finance, Summit Christian Academy
		(LOC: Wachovia Bank)
		3.400%, 09/07/2006 (a)		7,100		7,100
Crawford Educational Facilities, Prince Peace Christian School
		(LOC: Wachovia Bank)
		3.410%, 09/07/2006 (a)		5,680		5,680
Harris County Health Facilities Development, Seven Acres Jewish Senior Care
		(LOC: J.P. Morgan Chase Bank)
		3.460%, 09/07/2006 (a)		19,000		19,000
HFDC Central Texas, Village De San Antonio, Series C (LOC: Sovereign Bank)
		(LOC: KBC Bank)
		3.420%, 09/07/2006 (a)		4,200		4,200
Kendall County Health Facilities, Morningside Ministries
		(LOC: J.P. Morgan Chase Bank)
		3.430%, 09/07/2006 (a)		14,700		14,700
Midland County Health Facilities, Manor Park Project
		(LOC: Wells Fargo Bank)
		3.460%, 09/07/2006 (a)		17,860		17,860
Tarrant County Cultural Educational Facilities Financing, Northwest Senior Retirement Facility, Edgemere, Series B (LOC: LaSalle Bank)
		3.400%, 09/07/2006 (a)		10,000		10,000
Travis County Health Facilities, Querencia Barton Creek, Series C
		(LOC: LaSalle Bank)
		3.400%, 09/07/2006 (a)		14,500		14,500

						125,130

Utah – 0.4%
Intermountain Power Agency, Utah Power Supply, Series E (INS: AMBAC)
		(SPA: Morgan Stanley Bank)
		3.600%, 12/01/2006 (a)		4,260		4,260
Intermountain Power Agency, Utah Power Supply,
	Series F (INS: AMBAC) (SPA: Morgan Stanley Bank)
		3.600%, 12/01/2006 (a)		3,050	��	3,050

						7,310

Virginia – 3.2%
Montgomery County Industrial Development Authority, Virginia Tech Foundation
		(LOC: Bank of America)
		3.590%, 09/01/2006 (a)		41,200		41,200
Prince Williams County Facilities, Series B
		(LOC: Wachovia Bank)
		3.400%, 09/07/2006 (a)		17,500		17,500

						58,700

Washington – 2.7%
ABN AMRO Munitops Certificates Trust, Washington State (INS: MBIA-Insured Bond Certificate)
		(SPA: ABN AMRO Bank)
		3.430%, 09/07/2006 (a) (b)		19,000		19,000
Washington State Higher Educational Facilities, Cornish College Arts Project, Series A
		(LOC: Bank of America)
		3.500%, 09/07/2006 (a)		6,160		6,160
Washington State Housing Financial Nonprofit Revenue, Kenney Home Project
		(LOC: Wells Fargo Bank)
		3.580%, 09/07/2006 (a)		17,620		17,620
Washington State Housing Financial Nonprofit Revenue, Open Window School Project
		(LOC: Bank of America)
		3.630%, 09/07/2006 (a)		6,310		6,310

						49,090

West Virginia – 2.2%
ABN AMRO Munitops Certificates Trust, West Virginia (INS: FGIC)
		(SPA: ABN AMRO Bank)
		3.600%, 09/20/2006 (a) (b)		30,995		30,995
Monongalia County, Trinity Christian School
		(LOC: Fifth Third Bank)
		3.400%, 09/07/2006 (a)		9,060		9,060
West Virginia State Hospital Financing Authority, Pallottine Health, Series A1
		(LOC: Fifth Third Bank)
		3.420%, 09/07/2006 (a)		135		135

						40,190
Wisconsin – 2.1%
Wisconsin State Health & Educational Facilities, Community Health, Series B
		(LOC: Fifth Third Bank)
		3.400%, 09/07/2006 (a)		4,790		4,790
Wisconsin State Health & Educational Facilities, Felician Services, Series A (INS: AMBAC)
		(SPA: J.P. Morgan Chase Bank)
		3.390%, 09/07/2006 (a)		75		75
Wisconsin State Health & Educational Facilities, Froedtert & Community Health, Series C (INS: AMBAC) (SPA: Morgan Stanley Bank)
		3.390%, 09/07/2006 (a)		5,000		5,000
Wisconsin State Health & Educational Facilities, Marshfield (LOC: Morgan Guaranty)
		3.400%, 09/07/2006 (a)		8,000		8,000
Wisconsin State Health & Educational Facilities, Marshfield, Series B (LOC: M&I Bank)
		3.430%, 09/07/2006 (a)		16,500		16,500
Wisconsin State Health & Educational Facilities, University of Wisconsin Medical Foundation
		(LOC: LaSalle Bank)
		3.420%, 09/07/2006 (a)		15		15

The accompanying notes are an integral part of the financial statements.

First American Funds Annual Report 2006 19

Schedule of Investments August 31, 2006, all dollars are rounded to thousands (000)


Tax-Free Obligations Fund (concluded)
DESCRIPTION		PAR/SHARES		VALUE

Wisconsin State Health & Educational Facilities, Watertown Memorial Hospital Project
	(LOC: J.P. Morgan Chase Bank)
	3.420%, 09/07/2006 (a)	$	3,960	$	3,960

					38,340

Total Municipal Bonds (Cost $1,781,120)					1,781,120

Money Market Fund – 2.5%
AIM TFIT-Tax-Free Cash Reserve Portfolio (Cost $46,075)			46,074,689		46,075

Total Investments – 99.7% (Cost $1,827,195)					1,827,195
Other Assets and Liabilities, Net – 0.3%					5,540

Total Net Assets – 100.0%				$	1,832,735


(a)	Variable Rate Security – The rate shown is the rate in effect as of August 31, 2006. The date shown is the next reset date.

(b)	Security sold within the terms of a private placement memorandum, exempt from registration under Rule 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other “qualified institutional buyers.” These securities have been determined to be liquid under the guidelines established by the funds’ board of directors. As of August 31, 2006, the value of these investments was $234,732 or 12.8% of total net assets.

AMBAC – American Municipal Bond Assurance Company

FGIC – Financial Guaranty Insurance Corporation

FHLMC – Federal Home Loan Mortgage Corporation

FNMA – Federal National Mortgage Association

FSA – Financial Security Assistance

INS – Insured

LOC – Letter of Credit

MBIA – Municipal Bond Insurance Association

PLC – Public Liability Company

PSF – Permanent School Fund

SPA – Standby Purchase Agreement


Treasury Obligations Fund
DESCRIPTION			PAR		VALUE

U.S. Treasury Obligation – 1.3%
U.S. Treasury Note
	2.500%, 10/31/2006 (a)
		(Cost $199,417)	$	200,000	$	199,417

Repurchase Agreements – 99.1%
ABN AMRO
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $2,800,407 (collateralized by U.S. Treasury Obligations: Total market value $2,856,001)			2,800,000		2,800,000
Barclays
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $350,051 (collateralized by U.S. Treasury Obligations: Total market value $357,001)			350,000		350,000
Bear Stearns
	5.240%, dated 08/31/2006, matures 09/01/2006, repurchase price $1,500,218 (collateralized by U.S. Treasury Obligations: Total market value $1,530,004)			1,500,000		1,500,000
CS First Boston
	5.240%, dated 08/31/2006, matures 09/01/2006, repurchase price $975,142 (collateralized by U.S. Treasury Obligations: Total market value $994,507)			975,000		975,000
Deutsche Bank
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $2,500,363 (collateralized by U.S. Treasury Obligations: Total market value $2,550,001)			2,500,000		2,500,000
Greenwich Capital
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $750,109 (collateralized by U.S. Treasury Obligations: Total market value $765,002)			750,000		750,000
Merrill Lynch
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $600,087 (collateralized by U.S. Treasury Obligations: Total market value $612,001)			600,000		600,000
Morgan Stanley
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $3,250,472 (collateralized by U.S. Treasury Obligations: Total market value $3,315,002)			3,250,000		3,250,000

The accompanying notes are an integral part of the financial statements.

20 First American Funds Annual Report 2006


Treasury Obligations Fund (concluded)
DESCRIPTION			PAR		VALUE

UBS Warburg
	5.230%, dated 08/31/2006, matures 09/01/2006, repurchase price $2,761,922 (collateralized by U.S. Treasury Obligations: Total market value $2,816,754)		$	2,761,521	$	2,761,521

Total Repurchase Agreements (Cost $15,486,521)						15,486,521

Investments Purchased with Proceeds from Securities Lending (b) – 1.3%
		(Cost $204,000)				204,000

Total Investments – 101.7% (Cost $15,889,938)						15,889,938

Other Assets and Liabilities, Net – (1.7)%						(269,160	)

Total Net Assets – 100.0%					$	15,620,778


(a)	This security or a portion of this security is out on loan at August 31, 2006. Total loaned security had a value of $199,417 or 1.3% of total net assets at August 31, 2006. See note 2 in Notes to Financial Statements.

(b)	The fund may loan securities in return for collateral in the form of cash, U.S. government securities, or other high grade debt obligations. As of August 31, 2006, the cash collateral was invested solely in a repurchase agreement. See note 2 in Notes to Financial Statements.


U.S. Treasury Money Market Fund
DESCRIPTION			PAR/SHARES		VALUE

U.S. Treasury Obligations – 101.1%
U.S. Treasury Bills (a)
	2.925%, 09/07/2006		$	44,416	$	44,380
	5.083%, 09/14/2006			174,769		174,448
	5.150%, 09/15/2006			40,000		39,920
	5.045%, 09/21/2006			381,197		380,129
	4.877%, 10/05/2006			54,109		53,860
	4.909%, 10/12/2006			39,967		39,744
	4.870%, 10/26/2006			10,000		9,926
	4.894%, 11/02/2006			10,000		9,916
	4.835%, 11/30/2006			7,233		7,145

Total U.S. Treasury Obligations (Cost $759,468)						759,468

Money Market Fund – 4.6%
Goldman Sachs Financial Square Treasury Instruments Fund
		(Cost $35,089)		35,089,262		35,089

Total Investments – 105.7% (Cost $794,557)						794,557

Other Assets and Liabilities, Net – (5.7)%						(43,149	)

Total Net Assets – 100.0%					$	751,408


(a)	Yield shown is the effective yield as of August 31, 2006.

The accompanying notes are an integral part of the financial statements.

First American Funds Annual Report 2006 21

(This page intentionally left blank.)

Statements of Assets and Liabilities August 31, 2006, all dollars are rounded to thousands (000), except per share data


	Government			Prime			Tax Free			Treasury			U.S. Treasury
	Obligations			Obligations			Obligations			Obligations			Money Market
	Fund			Fund			Fund			Fund			Fund

ASSETS:
Investments in securities, at amortized cost (note 2)	$	1,472,084		$	15,659,594		$	1,827,195		$	199,417		$	794,557
Investments purchased with proceeds from securities lending (cost: $503,633, $0, $0, $204,000, and $0) (note 2)		503,633			—			—			204,000			—
Repurchase agreements, at amortized cost (note 2)		3,877,862			412,567			—			15,486,521			—
Cash		1			2,460			3,078			1			—
Receivable for interest		9,965			92,416			8,031			3,942			18
Receivable for capital shares sold		103			1,670			—			—			1
Prepaid expenses and other assets		62			103			71			69			60

Total assets		5,863,710			16,168,810			1,838,375			15,893,950			794,636

LIABILITIES:
Dividends payable		23,011			70,889			4,959			61,648			2,942
Payable for investment securities purchased		—			99,691			—			—			39,920
Payable upon return of securities loaned		503,633			—			—			204,000			—
Payable for capital shares redeemed		—			981			5			1			—
Payable to affiliates (note 3)		953			3,375			310			2,664			110
Payable for distribution and shareholder servicing fees		1,389			3,028			298			4,645			167
Accrued expenses and other liabilities		299			82			68			214			89

Total liabilities		529,285			178,046			5,640			273,172			43,228

Net assets	$	5,334,425		$	15,990,764		$	1,832,735		$	15,620,778		$	751,408

COMPOSITION OF NET ASSETS:
Portfolio capital	$	5,334,464		$	15,990,596		$	1,832,747		$	15,620,923		$	751,443
Undistributed (distributions in excess of) net investment income		(31	)		173			(6	)		(5	)		—
Accumulated net realized loss on investments (note 2)		(8	)		(5	)		(6	)		(140	)		(35	)

Net assets	$	5,334,425		$	15,990,764		$	1,832,735		$	15,620,778		$	751,408

Class A:
Net assets	$	429,573		$	1,707,450		$	172,800		$	1,496,419		$	66,783
Shares issued and outstanding (000) ($0.01 par value – 5 billion authorized*)		429,574			1,707,490			172,836			1,496,404			66,785
Net asset value, offering price, and redemption price per share	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Class B:
Net assets		—		$	11,769			—			—			—
Shares issued and outstanding (000) ($0.01 par value – 20 billion authorized)		—			11,773			—			—			—
Net asset value, offering price, and redemption price per share		—		$	1.00			—			—			—
Class C:
Net assets		—		$	14,486			—			—			—
Shares issued and outstanding (000) ($0.01 par value – 1 billion authorized)		—			14,483			—			—			—
Net asset value, offering price, and redemption price per share		—		$	1.00			—			—			—
Class D:
Net assets	$	1,307,002		$	965,305		$	47,306		$	6,051,333		$	188,499
Shares issued and outstanding (000) ($0.01 par value – 20 billion authorized)		1,307,020			965,313			47,307			6,051,419			188,507
Net asset value, offering price, and redemption price per share	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Class I:
Net assets		—		$	1,932,477			—			—			—
Shares issued and outstanding (000) ($0.01 par value – 20 billion authorized)		—			1,932,516			—			—			—
Net asset value, offering price, and redemption price per share		—		$	1.00			—			—			—
Class Y:
Net assets	$	3,128,539		$	5,900,840		$	884,041		$	5,395,566		$	355,081
Shares issued and outstanding (000) ($0.01 par value – 20 billion authorized)		3,128,644			5,900,764			884,048			5,395,617			355,106
Net asset value, offering price, and redemption price per share	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00
Class Z:
Net assets	$	434,248		$	5,095,307		$	711,489		$	877,206		$	124,961
Shares issued and outstanding (000) ($0.01 par value – 20 billion authorized)		434,250			5,095,320			711,504			877,212			124,962
Net asset value, offering price, and redemption price per share	$	1.00		$	1.00		$	1.00		$	1.00		$	1.00

First American Funds Annual Report 2006 23

Statements of Assets and Liabilities August 31, 2006, all dollars are rounded to thousands (000), except per share data


	Government		Prime		Tax Free		Treasury		U.S. Treasury
	Obligations		Obligations		Obligations		Obligations		Money Market
	Fund		Fund		Fund		Fund		Fund

Institutional Investor Class:
Net assets	$	19,271	$	228,587	$	10,092	$	437,586	$	16,084
Shares issued and outstanding (000) ($0.01 par value – 20 billion authorized)		19,271		228,587		10,092		437,586		16,084
Net asset value, offering price, and redemption price per share	$	1.00	$	1.00	$	1.00	$	1.00	$	1.00
Piper Jaffray Class:
Net assets	$	15,792	$	134,543	$	7,007	$	817		—
Shares issued and outstanding (000) ($0.01 par value – 20 billion authorized)		15,792		134,542		7,025		816		—
Net asset value, offering price, and redemption price per share	$	1.00	$	1.00	$	1.00	$	1.00		—
Reserve Class:
Net assets		—		—		—	$	1,361,851		—
Shares issued and outstanding (000) ($0.01 par value – 5 billion authorized)		—		—		—		1,361,881		—
Net asset value, offering price, and redemption price per share		—		—		—	$	1.00		—


	*	20 billion shares were authorized for U.S. Treasury Money Market Fund.

The accompanying notes are an integral part of the financial statements.

24 First American Funds Annual Report 2006

Statements of Operations For the year ended August 31, 2006, all dollars are rounded to thousands (000)


	Government			Prime			Tax Free			Treasury			U.S. Treasury
	Obligations			Obligations			Obligations			Obligations			Money Market
	Fund			Fund			Fund			Fund			Fund

INVESTMENT INCOME:
Interest income	$	224,439		$	799,006		$	65,369		$	538,358		$	23,433
Securities lending income		133			—			—			62			—

Total investment income		224,572			799,006			65,369			538,420			23,433

EXPENSES (note 3):
Investment advisory fees		4,907			17,348			2,064			11,948			537
Administration fees and expenses		4,269			14,723			1,759			10,441			484
Transfer agent fees and expenses		2,567			12,374			1,252			5,361			242
Custodian fees		246			864			107			593			28
Registration fees		284			121			119			229			128
Professional fees		59			78			39			84			41
Postage and printing fees		80			361			35			118			11
Directors’ fees		72			207			37			150			20
Other expenses		106			205			65			170			56
Distribution and shareholder servicing fees – Class A		1,406			8,180			786			6,046			140
Distribution and shareholder servicing fees – Class B		—			104			—			—			—
Distribution and shareholder servicing fees – Class C		—			116			—			—			—
Distribution and shareholder servicing fees – Class D		4,989			3,795			116			19,967			780
Distribution and shareholder servicing fees – Piper Jaffray Class		1,361			14,150			905			149			—
Distribution and shareholder servicing fees – Reserve Class		—			—			—			8,402			—
Shareholder servicing fees – Class I		—			3,291			—			—			—
Shareholder servicing fees – Class Y		6,725			14,018			2,246			8,697			668
Shareholder servicing fees – Institutional Investor Class		3			50			3			91			2

Total expenses		27,074			89,985			9,533			72,446			3,137

Less: Fee waivers (note 3)		(2,353	)		(3,292	)		(1,110	)		(4,923	)		(464	)
Less: Indirect payments from the custodian (note 3)		(1	)		(25	)		(4	)		(2	)		—	⁽¹⁾

Total net expenses		24,720			86,668			8,419			67,521			2,673

Investment income – net		199,852			712,338			56,950			470,899			20,760

Net realized loss on investments		—	⁽¹⁾		(5	)		(1	)		(58	)		(23	)

Net increase in net assets resulting from operations	$	199,852		$	712,333		$	56,949		$	470,841		$	20,737


	(1)	Due to the presentation of the financial statements in thousands, the numbers round to zero.

First American Funds Annual Report 2006 25


		Government									Prime
		Obligations Fund									Obligations Fund

					Eleven-Month Fiscal									Eleven-Month Fiscal
		Year Ended			Period Ended			Year Ended			Year Ended			Period Ended			Year Ended
		8/31/06			8/31/05			9/30/04			8/31/06			8/31/05			9/30/04

OPERATIONS:
Investment income – net		$	199,852		$	79,225		$	21,738		$	712,338		$	307,271		$	121,223
Net realized gain (loss) on investments			—			(8	)		19			(5	)		—			51

Net increase in net assets resulting from operations			199,852			79,217			21,757			712,333			307,271			121,274

DISTRIBUTIONS TO SHAREHOLDERS FROM:
Investment income – net:
	Class A		(11,123	)		(2,819	)		(667	)		(62,419	)		(20,956	)		(5,968	)
	Class B		—			—			—			(353	)		(155	)		(10	)
	Class C		—			—			—			(394	)		(172	)		(13	)
	Class D		(48,601	)		(19,442	)		(4,810	)		(37,966	)		(12,427	)		(4,713	)
	Class I		—			—			—			(68,685	)		(34,090	)		(15,694	)
	Class Y		(112,012	)		(42,136	)		(12,630	)		(232,423	)		(101,007	)		(44,841	)
	Class Z		(17,944	)		(9,895	)		(2,117	)		(203,618	)		(87,606	)		(35,276	)
	Institutional Investor Class		(151	)		—			—			(2,457	)		—			—
	Piper Jaffray Class		(10,021	)		(4,933	)		(1,514	)		(104,023	)		(50,858	)		(14,707	)
	Reserve Class		—			—			—			—			—			—
Net realized gain on investments:
	Class A		—			(1	)		—			—			(4	)		(2	)
	Class D		—			(3	)		—			—			(2	)		—
	Class I		—			—			—			—			(4	)		—
	Class Y		—			(5	)		—			—			(16	)		(3	)
	Class Z		—			(2	)		—			—			(15	)		(1	)
	Piper Jaffray Class		—			(1	)		—			—			(10	)		—

Total distributions			(199,852	)		(79,237	)		(21,738	)		(712,338	)		(307,322	)		(121,228	)

CAPITAL SHARE TRANSACTIONS AT NET ASSET VALUE OF $1.00 PER SHARE:
Class A:
	Proceeds from sales		9,022,981			1,713,823			624,638			7,687,744			5,989,710			5,207,624
	Reinvestment of distributions		1,580			668			285			30,193			11,208			4,044
	Payments for redemptions		(8,748,771	)		(1,705,401	)		(631,572	)		(7,153,995	)		(6,153,575	)		(5,409,696	)

Increase (decrease) in net assets from Class A transactions			275,790			9,090			(6,649	)		563,942			(152,657	)		(198,028	)

Class B:
	Proceeds from sales		—			—			—			12,942			10,047			13,329
	Reinvestment of distributions		—			—			—			283			127			5
	Payments for redemptions		—			—			—			(12,061	)		(14,945	)		(6,039	)

Increase (decrease) in net assets from Class B transactions			—			—			—			1,164			(4,771	)		7,295

Class C:
	Proceeds from sales		—			—			—			19,710			23,753			22,153
	Reinvestment of distributions		—			—			—			276			113			5
	Payments for redemptions		—			—			—			(18,054	)		(30,664	)		(9,546	)

Increase (decrease) in net assets from Class C transactions			—			—			—			1,932			(6,798	)		12,612

Class D:
	Proceeds from sales		7,579,788			4,874,399			3,121,709			26,233,880			9,562,303			6,374,861
	Reinvestment of distributions		21			14			4			89			82			46
	Payments for redemptions		(8,022,701	)		(3,958,625	)		(3,190,547	)		(25,955,442	)		(9,588,331	)		(6,294,647	)

Increase (decrease) in net assets from Class D transactions			(442,892	)		915,788			(68,834	)		278,527			(25,946	)		80,260

Class I:
	Proceeds from sales		—			—			—			10,188,111			11,053,677			9,002,857
	Reinvestment of distributions		—			—			—			1,500			942			1,055
	Payments for redemptions		—			—			—			(10,236,452	)		(10,722,753	)		(8,988,148	)

Increase (decrease) in net assets from Class I transactions			—			—			—			(46,841	)		331,866			15,764

Class Y:
	Proceeds from sales		20,476,852			22,624,167			16,379,683			45,098,439			42,560,109			68,772,198
	Reinvestment of distributions		25,490			10,355			4,330			67,787			32,520			17,792
	Payments for redemptions		(19,832,119	)		(21,878,418	)		(16,232,248	)		(44,209,061	)		(42,958,365	)		(70,311,174	)

Increase (decrease) in net assets from Class Y transactions			670,223			756,104			151,765			957,165			(365,736	)		(1,521,184	)


	(1)	Commencement of operations.

The accompanying notes are an integral part of the financial statements.

26 First American Funds Annual Report 2006


Tax Free										Treasury									U.S. Treasury
Obligations Fund										Obligations Fund									Money Market Fund

				Eleven-Month Fiscal									Eleven-Month Fiscal									10/25/04 (1)
	Year Ended			Period Ended			Year Ended			Year Ended			Period Ended			Year Ended			Year Ended			to
	8/31/06			8/31/05			9/30/04			8/31/06			8/31/05			9/30/04			8/31/06			8/31/05

	$	56,950		$	28,965		$	8,667		$	470,899		$	172,673		$	57,912		$	20,760		$	5,062
		(1	)		1			52			(58	)		(20	)		—			(23	)		(12	)

		56,949			28,966			8,719			470,841			172,653			57,912			20,737			5,050

		(3,818	)		(1,762	)		(538	)		(45,423	)		(18,944	)		(4,766	)		(1,107	)		(67	)
		—			—			—			—			—			—			—			—
		—			—			—			—			—			—			—			—
		(759	)		(253	)		(97	)		(195,844	)		(83,398	)		(28,158	)		(7,045	)		(539	)
		—			—			—			—			—			—			—			—
		(24,394	)		(12,880	)		(5,755	)		(143,752	)		(55,856	)		(23,682	)		(10,441	)		(4,445	)
		(23,599	)		(11,502	)		(1,391	)		(40,392	)		(13,836	)		(981	)		(2,070	)		(11	)
		(110	)		—			—			(4,418	)		—			—			(97	)		—
		(4,271	)		(2,569	)		(886	)		(1,070	)		(565	)		(325	)		—			—
		—			—			—			(40,000	)		(74	)		—			—			—
		—			(7	)		(6	)		—			—			—			—			—
		—			(1	)		(1	)		—			—			—			—			—
		—			—			—			—			—			—			—			—
		—			(34	)		(48	)		—			—			—			—			—
		—			(22	)		—			—			—			—			—			—
		—			(8	)		(18	)		—			—			—			—			—

		(56,951	)		(29,038	)		(8,740	)		(470,899	)		(172,673	)		(57,912	)		(20,760	)		(5,062	)

		444,190			428,980			418,277			5,357,400			22,115,413			3,731,445			285,496			49,406
		2,176			1,048			296			620			255			115			36			—
		(401,810	)		(461,307	)		(475,924	)		(5,036,344	)		(22,138,241	)		(4,157,309	)		(223,977	)		(44,177	)

		44,556			(31,279	)		(57,351	)		321,676			(22,573	)		(425,749	)		61,555			5,229

		—			—			—			—			—			—			—			—
		—			—			—			—			—			—			—			—
		—			—			—			—			—			—			—			—

		—			—			—			—			—			—			—			—

		—			—			—			—			—			—			—			—
		—			—			—			—			—			—			—			—
		—			—			—			—			—			—			—			—

		—			—			—			—			—			—			—			—

		125,682			86,964			173,329			18,001,631			64,599,851			25,492,341			775,283			747,296
		—			—			—			7			10			1			—			—
		(94,068	)		(85,405	)		(178,537	)		(16,729,339	)		(64,718,980	)		(26,314,282	)		(1,217,206	)		(116,866	)

		31,614			1,559			(5,208	)		1,272,299			(119,119	)		(821,940	)		(441,923	)		630,430

		—			—			—			—			—			—			—			—
		—			—			—			—			—			—			—			—
		—			—			—			—			—			—			—			—

		—			—			—			—			—			—			—			—

		3,051,944			2,335,792			1,948,928			53,340,895			26,383,632			21,043,156			2,408,741			1,063,571
		4,205			1,637			810			22,631			10,317			4,417			—			—
		(3,047,521	)		(2,230,250	)		(2,062,138	)		(51,146,585	)		(26,053,557	)		(21,779,713	)		(2,255,334	)		(861,872	)

		8,628			107,179			(112,400	)		2,216,941			340,392			(732,140	)		153,407			201,699

First American Funds Annual Report 2006 27


		Government									Prime
		Obligations Fund									Obligations Fund

					Eleven-Month Fiscal									Eleven-Month Fiscal
		Year Ended			Period Ended			Year Ended			Year Ended			Period Ended			Year Ended
		8/31/06			8/31/05			9/30/04			8/31/06			8/31/05			9/30/04

Class Z:
	Proceeds from sales		4,062,674			2,268,232			885,277			140,513,109			111,215,880			42,070,958
	Reinvestment of distributions		1,337			—			—			24,900			6,074			2,503
	Payments for redemptions		(4,048,931	)		(2,274,003	)		(460,335	)		(139,237,121	)		(110,805,063	)		(41,924,285	)

Increase (decrease) in net assets from Class Z transactions			15,080			(5,771	)		424,942			1,300,888			416,891			149,176

Institutional Investor Class (2):
	Proceeds from sales		50,874			—			—			371,820			—			—
	Reinvestment of distributions		—			—			—			—			—			—
	Payments for redemptions		(31,603	)		—			—			(143,233	)		—			—

Increase in net assets from Institutional Investor Class transactions			19,271			—			—			228,587			—			—

Piper Jaffray Class:
	Proceeds from sales		299,788			247,453			401,555			2,359,322			2,087,317			3,069,685
	Reinvestment of distributions		10,304			4,494			1,272			106,718			46,536			12,410
	Payments for redemptions		(580,615	)		(262,131	)		(482,733	)		(5,203,302	)		(2,364,078	)		(3,239,104	)

Increase (decrease) in net assets from Piper Jaffray Class transactions			(270,523	)		(10,184	)		(79,906	)		(2,737,262	)		(230,225	)		(157,009	)

Reserve Class (3):
	Proceeds from sales		—			—			—			—			—			—
	Reinvestment of distributions		—			—			—			—			—			—
	Payments for redemptions		—			—			—			—			—			—
	Fund merger (note 5)		—			—			—			—			—			—

Increase in net assets from Reserve Class transactions			—			—			—			—			—			—

Increase (decrease) in net assets from capital share transactions			266,949			1,665,027			421,318			548,104			(37,376	)		(1,611,114	)

Total increase (decrease) in net assets			266,949			1,665,007			421,337			548,099			(37,427	)		(1,611,068	)
Net assets at beginning of period			5,067,476			3,402,469			2,981,132			15,442,665			15,480,092			17,091,160

Net assets at end of period		$	5,334,425		$	5,067,476		$	3,402,469		$	15,990,764		$	15,442,665		$	15,480,092

Undistributed (distributions in excess of) net investment income		$	(31	)	$	(31	)	$	(27	)	$	173		$	173		$	173


	(1)	Commencement of operations.

	(2)	Share class commenced operations on March 31, 2006.

	(3)	Share class commenced operations on August 31, 2005.

The accompanying notes are an integral part of the financial statements.

28 First American Funds Annual Report 2006


Tax Free										Treasury									U.S. Treasury
Obligations Fund										Obligations Fund									Money Market Fund

				Eleven-Month Fiscal									Eleven-Month Fiscal									10/25/04 (1)
	Year Ended			Period Ended			Year Ended			Year Ended			Period Ended			Year Ended			Year Ended			to
	8/31/06			8/31/05			9/30/04			8/31/06			8/31/05			9/30/04			8/31/06			8/31/05

		5,506,043			8,052,571			1,033,492			15,261,846			7,984,060			683,068			206,016			149,662
		4,561			886			173			8,766			152			30			—			—
		(5,405,719	)		(7,931,967	)		(548,536	)		(15,039,883	)		(7,504,076	)		(516,751	)		(81,055	)		(149,661	)

		104,885			121,490			485,129			230,729			480,136			166,347			124,961			1

		10,098			—			—			901,944			—			—			20,286			—
		—			—			—			—			—			—			—			—
		(6	)		—			—			(464,358	)		—			—			(4,202	)		—

		10,092			—			—			437,586			—			—			16,084			—

		235,729			228,367			278,202			83,011			106,685			172,841			—			—
		4,411			2,417			764			1,105			517			141			—			—
		(426,503	)		(245,880	)		(325,845	)		(117,849	)		(104,278	)		(351,106	)		—			—

		(186,363	)		(15,096	)		(46,879	)		(33,733	)		2,924			(178,124	)		—			—

		—			—			—			3,200,243			161			—			—			—
		—			—			—			24,113			—			—			—			—
		—			—			—			(2,895,965	)		(71,516	)		—			—			—
		—			—			—			—			1,104,823			—			—			—

		—			—			—			328,391			1,033,468			—			—			—

		13,412			183,853			263,291			4,773,889			1,715,228			(1,991,606	)		(85,916	)		837,359

		13,410			183,781			263,270			4,773,831			1,715,208			(1,991,606	)		(85,939	)		837,347
		1,819,325			1,635,544			1,372,274			10,846,947			9,131,739			11,123,345			837,347

	$	1,832,735		$	1,819,325		$	1,635,544		$	15,620,778		$	10,846,947		$	9,131,739		$	751,408		$	837,347

	$	(6	)	$	(10	)	$	9		$	(5	)	$	(5	)	$	(5	)	$	—		$	—

First American Funds Annual Report 2006 29

Financial Highlights For a share outstanding throughout the indicated periods.


		Net Asset				Dividends			Net Asset
		Value		Net		from Net			Value
		Beginning		Investment		Investment			End of		Total
		of Period		Income		Income			Period		Return (9)

Government Obligations Fund
Class A
	2006 (1)	$	1.00	$	0.038	$	(0.038	)	$	1.00		3.86	%
	2005 (2)		1.00		0.017		(0.017	)		1.00		1.73
	2004 (3)(4)		1.00		0.004		(0.004	)		1.00		0.45
	2003 (3)		1.00		0.006		(0.006	)		1.00		0.52
	2002 (3)		1.00		0.014		(0.014	)		1.00		1.41
	2001 (5)		1.00		0.001		(0.001	)		1.00		0.05
Class D
	2006 (1)	$	1.00	$	0.039	$	(0.039	)	$	1.00		4.01	%
	2005 (2)		1.00		0.019		(0.019	)		1.00		1.87
	2004 (3)		1.00		0.006		(0.006	)		1.00		0.60
	2003 (3)		1.00		0.008		(0.008	)		1.00		0.78
	2002 (3)		1.00		0.015		(0.015	)		1.00		1.56
	2001 (3)		1.00		0.046		(0.046	)		1.00		4.68
Class Y
	2006 (1)	$	1.00	$	0.041	$	(0.041	)	$	1.00		4.17	%
	2005 (2)		1.00		0.020		(0.020	)		1.00		2.01
	2004 (3)		1.00		0.007		(0.007	)		1.00		0.75
	2003 (3)		1.00		0.009		(0.009	)		1.00		0.93
	2002 (3)		1.00		0.017		(0.017	)		1.00		1.71
	2001 (3)		1.00		0.047		(0.047	)		1.00		4.84
Class Z
	2006 (1)	$	1.00	$	0.043	$	(0.043	)	$	1.00		4.43	%
	2005 (2)		1.00		0.022		(0.022	)		1.00		2.25
	2004 (6)		1.00		0.008		(0.008	)		1.00		0.84
Institutional Investor Class
	2006 (7)	$	1.00	$	0.020	$	(0.020	)	$	1.00		2.03	%
Piper Jaffray Class
	2006 (1)	$	1.00	$	0.037	$	(0.037	)	$	1.00		3.80	%
	2005 (2)		1.00		0.017		(0.017	)		1.00		1.70
	2004 (3)(8)		1.00		0.004		(0.004	)		1.00		0.43
	2003 (3)		1.00		0.006		(0.006	)		1.00		0.65
	2002 (3)		1.00		0.014		(0.014	)		1.00		1.41
	2001 (3)		1.00		0.044		(0.044	)		1.00		4.53


	(1)	For the period September 1 to August 31 in the year indicated.

	(2)	For the period October 1, 2004 to August 31, 2005. Effective in 2005, the fund’s fiscal year end was changed from September 30 to August 31. All ratios for the period have been annualized, except total return.

	(3)	For the period October 1 to September 30 in the year indicated.

	(4)	On December 1, 2003, existing Class S shares of the fund were designated as Class A shares.

	(5)	For the period from September 24, 2001, when the class of shares was first offered, to September 30, 2001. All ratios for the period have been annualized, except total return.

	(6)	For the period from December 1, 2003, when the class of shares was first offered, to September 30, 2004. All ratios for the period have been annualized, except total return.

	(7)	For the period from March 31, 2006, when the class of shares was first offered, to August 31, 2006. All ratios for the period have been annualized, except total return.

	(8)	On December 1, 2003, existing Class A shares of the fund were designated as Piper Jaffray Class shares.

	(9)	Total return would have been lower had certain expenses not been waived.

The accompanying notes are an integral part of the financial statements.

30 First American Funds Annual Report 2006


											Ratio of Net
								Ratio of			Investment
					Ratio of Net			Expenses to			Income
		Ratio of			Investment			Average			to Average
Net Assets		Expenses to			Income			Net Assets			Net Assets
End of		Average			to Average			(Excluding			(Excluding
Period (000)		Net Assets			Net Assets			Waivers)			Waivers)



$	429,573		0.75	%		3.96	%		0.80	%		3.91	%
	153,852		0.75			1.88			0.80			1.83
	144,764		0.75			0.45			0.80			0.40
	60,206		0.75			0.67			0.81			0.61
	101,513		0.75			1.42			0.81			1.36
	96,036		0.70			2.66			0.80			2.56

$	1,307,002		0.60	%		3.90	%		0.65	%		3.85	%
	1,749,894		0.60			2.07			0.65			2.02
	834,112		0.60			0.60			0.65			0.55
	902,940		0.60			0.73			0.65			0.68
	428,307		0.60			1.57			0.66			1.51
	609,315		0.60			4.51			0.66			4.45

$	3,128,539		0.45	%		4.17	%		0.50	%		4.12	%
	2,458,316		0.45			2.22			0.50			2.17
	1,702,220		0.45			0.75			0.50			0.70
	1,550,445		0.45			0.93			0.51			0.87
	1,562,880		0.45			1.68			0.51			1.62
	1,041,700		0.45			4.75			0.51			4.69

$	434,248		0.20	%		4.34	%		0.25	%		4.29	%
	419,167		0.20			2.37			0.25			2.32
	424,941		0.20			1.12			0.25			1.07

$	19,271		0.30	%		4.90	%		0.35	%		4.85	%

$	15,792		0.81	%		3.68	%		0.90	%		3.59	%
	286,247		0.78			1.83			0.90			1.71
	296,432		0.76			0.42			0.88			0.30
	467,541		0.73			0.65			0.78			0.60
	528,343		0.75			1.39			0.81			1.33
	490,164		0.75			4.41			0.81			4.35

First American Funds Annual Report 2006 31

Financial Highlights For a share outstanding throughout the indicated periods.


		Net Asset				Dividends			Net Asset
		Value		Net		from Net			Value
		Beginning		Investment		Investment			End of		Total
		of Period		Income		Income			Period		Return (9)

Prime Obligations Fund
Class A
	2006 (1)	$	1.00	$	0.038	$	(0.038	)	$	1.00		3.88	%
	2005 (2)		1.00		0.017		(0.017	)		1.00		1.75
	2004 (3)(4)		1.00		0.005		(0.005	)		1.00		0.48
	2003 (3)		1.00		0.007		(0.007	)		1.00		0.67
	2002 (3)		1.00		0.014		(0.014	)		1.00		1.46
	2001 (5)		1.00		—		—			1.00		0.04
Class B
	2006 (1)	$	1.00	$	0.034	$	(0.034	)	$	1.00		3.42	%
	2005 (2)		1.00		0.013		(0.013	)		1.00		1.33
	2004 (3)		1.00		0.001		(0.001	)		1.00		0.11
	2003 (3)		1.00		0.001		(0.001	)		1.00		0.04
	2002 (3)		1.00		0.007		(0.007	)		1.00		0.75
	2001 (3)		1.00		0.038		(0.038	)		1.00		3.92
Class C
	2006 (1)	$	1.00	$	0.034	$	(0.034	)	$	1.00		3.42	%
	2005 (2)		1.00		0.013		(0.013	)		1.00		1.33
	2004 (3)		1.00		0.001		(0.001	)		1.00		0.11
	2003 (3)		1.00		0.001		(0.001	)		1.00		0.14
	2002 (3)		1.00		0.007		(0.007	)		1.00		0.75
	2001 (3)		1.00		0.038		(0.038	)		1.00		3.90
Class D
	2006 (1)	$	1.00	$	0.040	$	(0.040	)	$	1.00		4.04	%
	2005 (2)		1.00		0.019		(0.019	)		1.00		1.89
	2004 (3)		1.00		0.006		(0.006	)		1.00		0.63
	2003 (3)		1.00		0.008		(0.008	)		1.00		0.82
	2002 (3)		1.00		0.016		(0.016	)		1.00		1.61
	2001 (3)		1.00		0.047		(0.047	)		1.00		4.81
Class I
	2006 (1)	$	1.00	$	0.042	$	(0.042	)	$	1.00		4.28	%
	2005 (2)		1.00		0.021		(0.021	)		1.00		2.10
	2004 (3)		1.00		0.009		(0.009	)		1.00		0.86
	2003 (3)		1.00		0.010		(0.010	)		1.00		1.05
	2002 (3)		1.00		0.018		(0.018	)		1.00		1.84
	2001 (5)		1.00		0.001		(0.001	)		1.00		0.06
Class Y
	2006 (1)	$	1.00	$	0.041	$	(0.041	)	$	1.00		4.20	%
	2005 (2)		1.00		0.020		(0.020	)		1.00		2.03
	2004 (3)		1.00		0.008		(0.008	)		1.00		0.78
	2003 (3)		1.00		0.010		(0.010	)		1.00		0.97
	2002 (3)		1.00		0.017		(0.017	)		1.00		1.76
	2001 (3)		1.00		0.048		(0.048	)		1.00		4.96
Class Z
	2006 (1)	$	1.00	$	0.044	$	(0.044	)	$	1.00		4.49	%
	2005 (2)		1.00		0.023		(0.023	)		1.00		2.29
	2004 (3)		1.00		0.011		(0.011	)		1.00		1.06
	2003 (6)		1.00		0.002		(0.002	)		1.00		0.16
Institutional Investor Class
	2006 (7)	$	1.00	$	0.020	$	(0.020	)	$	1.00		2.05	%
Piper Jaffray Class
	2006 (1)	$	1.00	$	0.037	$	(0.037	)	$	1.00		3.78	%
	2005 (2)		1.00		0.017		(0.017	)		1.00		1.68
	2004 (3)(8)		1.00		0.004		(0.004	)		1.00		0.42
	2003 (3)		1.00		0.006		(0.006	)		1.00		0.63
	2002 (3)		1.00		0.014		(0.014	)		1.00		1.43
	2001 (3)		1.00		0.045		(0.045	)		1.00		4.61


	(1)	For the period September 1 to August 31 in the year indicated.

	(2)	For the period October 1, 2004 to August 31, 2005. Effective in 2005, the fund’s fiscal year end was changed from September 30 to August 31. All ratios for the period have been annualized, except total return.

	(3)	For the period October 1 to September 30 in the year indicated.

	(4)	On December 1, 2003, existing Class S shares of the fund were designated as Class A shares.

	(5)	For the period from September 24, 2001, when the class of shares was first offered, to September 30, 2001. All ratios for the period have been annualized, except total return.

	(6)	For the period from August 1, 2003, when the class of shares was first offered, to September 30, 2003. All ratios for the period have been annualized, except total return.

	(7)	For the period from March 31, 2006, when the class of shares was first offered, to August 31, 2006. All ratios for the period have been annualized, except total return.

	(8)	On December 1, 2003, existing Class A shares of the fund were designated as Piper Jaffray Class shares.

	(9)	Total return would have been lower had certain expenses not been waived.

The accompanying notes are an integral part of the financial statements.

32 First American Funds Annual Report 2006


												Ratio of Net
									Ratio of			Investment
						Ratio of Net			Expenses to			Income
			Ratio of			Investment			Average			to Average
Net Assets			Expenses to			Income			Net Assets			Net Assets
End of			Average			to Average			(Excluding			(Excluding
Period (000)			Net Assets			Net Assets			Waivers)			Waivers)

		��

$	1,707,450			0.78	%		3.81	%		0.79	%		3.80	%
��	1,143,508			0.78			1.86			0.80			1.84
	1,296,169			0.78			0.50			0.80			0.48
	120,863			0.78			0.59			0.80			0.57
	34,147			0.78			1.31			0.81			1.28
	—			—			—			—			—

$	11,769			1.23	%		3.40	%		1.24	%		3.39	%
	10,605			1.23			1.38			1.25			1.36
	15,376			1.14			0.15			1.16			0.13
	8,079			1.36			0.10			1.38			0.08
	10,350			1.48			0.73			1.51			0.70
	7,393			1.48			3.74			1.51			3.71

$	14,486			1.23	%		3.41	%		1.24	%		3.40	%
	12,551			1.23			1.39			1.25			1.37
	19,349			1.15			0.17			1.17			0.15
	6,736			1.33			0.07			1.35			0.05
	2,958			1.48			0.71			1.51			0.68
	2,163			1.49			3.66			1.51			3.64

$	965,305			0.63	%		4.00	%		0.64	%		3.99	%
	686,779			0.63			2.04			0.65			2.02
	712,727			0.63			0.62			0.65			0.60
	632,464			0.63			0.80			0.65			0.78
	623,431			0.63			1.61			0.66			1.58
	738,871			0.63			4.55			0.65			4.53

$	1,932,477			0.40	%		4.16	%		0.44	%		4.12	%
	1,979,318			0.40			2.29			0.45			2.24
	1,647,456			0.40			0.87			0.45			0.82
	1,631,687			0.40			1.07			0.42			1.05		��
	2,578,732			0.40			1.85			0.43			1.82
	2,932,264			0.48			3.00			0.54			2.94

$	5,900,840			0.48	%		4.15	%		0.49	%		4.14	%
	4,943,677			0.48			2.18			0.50			2.16
	5,309,431			0.48			0.76			0.50			0.74
	6,830,595			0.48			0.98			0.50			0.96
	8,666,782			0.48			1.73			0.51			1.70
	7,577,143			0.48			4.78			0.50			4.76

$	5,095,307			0.20	%		4.48	%		0.24	%		4.44	%
	3,794,421			0.20			2.44			0.25			2.39
	3,377,543			0.20			1.09			0.25			1.04
	3,228,365			0.20			0.97			0.22			0.95

$	228,587			0.30	%		4.93	%		0.34	%		4.89	%

$	134,543			0.88	%		3.68	%		0.89	%		3.67	%
	2,871,806			0.85			1.80			0.90			1.75
	3,102,041			0.84			0.41			0.88			0.37
	4,632,371			0.81			0.64			0.83			0.62
	5,728,745			0.81			1.42			0.84			1.39
	5,784,153			0.83			4.46			0.85			4.44

First American Funds Annual Report 2006 33

Financial Highlights For a share outstanding throughout the indicated periods.


		Net Asset				Dividends			Net Asset
		Value		Net		from Net			Value
		Beginning		Investment		Investment			End of		Total
		of Period		Income		Income			Period		Return (9)

Tax Free Obligations Fund
Class A
	2006 (1)	$	1.00	$	0.024	$	(0.024	)	$	1.00		2.45	%
	2005 (2)		1.00		0.012		(0.012	)		1.00		1.22
	2004 (3)(4)		1.00		0.003		(0.003	)		1.00		0.35
	2003 (3)		1.00		0.005		(0.005	)		1.00		0.45
	2002 (3)		1.00		0.008		(0.008	)		1.00		0.85
	2001 (5)		1.00		—		—			1.00		0.02
Class D
	2006 (1)	$	1.00	$	0.026	$	(0.026	)	$	1.00		2.61	%
	2005 (2)		1.00		0.013		(0.013	)		1.00		1.36
	2004 (3)		1.00		0.005		(0.005	)		1.00		0.50
	2003 (3)		1.00		0.006		(0.006	)		1.00		0.60
	2002 (3)		1.00		0.010		(0.010	)		1.00		1.01
	2001 (3)		1.00		0.028		(0.028	)		1.00		2.86
Class Y
	2006 (1)	$	1.00	$	0.027	$	(0.027	)	$	1.00		2.76	%
	2005 (2)		1.00		0.015		(0.015	)		1.00		1.50
	2004 (3)		1.00		0.006		(0.006	)		1.00		0.65
	2003 (3)		1.00		0.008		(0.008	)		1.00		0.76
	2002 (3)		1.00		0.011		(0.011	)		1.00		1.16
	2001 (3)		1.00		0.029		(0.029	)		1.00		3.02
Class Z
	2006 (1)	$	1.00	$	0.030	$	(0.030	)	$	1.00		3.02	%
	2005 (2)		1.00		0.017		(0.017	)		1.00		1.73
	2004 (6)		1.00		0.007		(0.007	)		1.00		0.75
Institutional Investor Class
	2006 (7)	$	1.00	$	0.014	$	(0.014	)	$	1.00		1.37	%
Piper Jaffray Class
	2006 (1)	$	1.00	$	0.024	$	(0.024	)	$	1.00		2.41	%
	2005 (2)		1.00		0.012		(0.012	)		1.00		1.21
	2004 (3)(8)		1.00		0.004		(0.004	)		1.00		0.36
	2003 (3)		1.00		0.005		(0.005	)		1.00		0.48
	2002 (3)		1.00		0.008		(0.008	)		1.00		0.85
	2001 (3)		1.00		0.027		(0.027	)		1.00		2.72


	(1)	For the period September 1 to August 31 in the year indicated.

	(2)	For the period October 1, 2004 to August 31, 2005. Effective in 2005, the fund’s fiscal year end was changed from September 30 to August 31. All ratios for the period have been annualized, except total return.

	(3)	For the period October 1 to September 30 in the year indicated.

	(4)	On December 1, 2003, existing Class S shares of the fund were designated as Class A shares.

	(5)	For the period from September 24, 2001, when the class of shares was first offered, to September 30, 2001. All ratios for the period have been annualized, except total return.

	(6)	For the period from December 1, 2003, when the class of shares was first offered, to September 30, 2004. All ratios for the period have been annualized, except total return.

	(7)	For the period from March 31, 2006, when the class of shares was first offered, to August 31, 2006. All ratios for the period have been annualized, except total return.

	(8)	On December 1, 2003, existing Class A shares of the fund were designated as Piper Jaffray Class shares.

	(9)	Total return would have been lower had certain expenses not been waived.

The accompanying notes are an integral part of the financial statements.

34 First American Funds Annual Report 2006


											Ratio of Net
								Ratio of			Investment
					Ratio of Net			Expenses to			Income (Loss)
		Ratio of			Investment			Average			to Average
Net Assets		Expenses to			Income			Net Assets			Net Assets
End of		Average			to Average			(Excluding			(Excluding
Period (000)		Net Assets			Net Assets			Waivers)			Waivers)



$	172,800		0.75	%		2.43	%		0.80	%		2.38	%
	128,245		0.75			1.27			0.80			1.22
	159,531		0.75			0.34			0.80			0.29
	123,272		0.75			0.48			0.81			0.42
	206,647		0.75			0.88			0.81			0.82
	402,813		0.70			1.67			0.76			1.61

$	47,306		0.60	%		2.60	%		0.65	%		2.55	%
	15,693		0.60			1.49			0.65			1.44
	14,134		0.60			0.48			0.65			0.43
	19,343		0.60			0.59			0.65			0.54
	20,952		0.60			1.03			0.66			0.97
	32,615		0.60			2.84			0.66			2.78

$	884,041		0.45	%		2.71	%		0.50	%		2.66	%
	875,414		0.45			1.62			0.50			1.57
	768,269		0.45			0.63			0.50			0.58
	880,685		0.45			0.72			0.50			0.67
	584,132		0.45			1.14			0.51			1.08
	443,276		0.45			2.93			0.51			2.87

$	711,489		0.20	%		2.99	%		0.25	%		2.94	%
	606,603		0.20			1.87			0.25			1.82
	485,135		0.20			0.96			0.25			0.91

$	10,092		0.30	%		3.26	%		0.35	%		3.21	%

$	7,007		0.79	%		2.36	%		0.90	%		2.25	%
	193,370		0.76			1.29			0.91			1.14
	208,475		0.75			0.34			0.88			0.21
	348,974		0.72			0.48			0.77			0.43
	406,204		0.75			0.85			0.81			0.79
	497,631		0.74			2.63			0.80			2.57

First American Funds Annual Report 2006 35

Financial Highlights For a share outstanding throughout the indicated periods.


		Net Asset				Dividends			Net Asset
		Value		Net		from Net			Value
		Beginning		Investment		Investment			End of		Total
		of Period		Income		Income			Period		Return (10)

Treasury Obligations Fund
Class A
	2006 (1)	$	1.00	$	0.037	$	(0.037	)	$	1.00		3.79	%
	2005 (2)		1.00		0.016		(0.016	)		1.00		1.65
	2004 (3)(4)		1.00		0.004		(0.004	)		1.00		0.39
	2003 (3)		1.00		0.006		(0.006	)		1.00		0.56
	2002 (3)		1.00		0.013		(0.013	)		1.00		1.34
	2001 (5)		1.00		0.001		(0.001	)		1.00		0.05
Class D
	2006 (1)	$	1.00	$	0.039	$	(0.039	)	$	1.00		3.95	%
	2005 (2)		1.00		0.018		(0.018	)		1.00		1.79
	2004 (3)		1.00		0.005		(0.005	)		1.00		0.54
	2003 (3)		1.00		0.007		(0.007	)		1.00		0.71
	2002 (3)		1.00		0.015		(0.015	)		1.00		1.49
	2001 (3)		1.00		0.045		(0.045	)		1.00		4.54
Class Y
	2006 (1)	$	1.00	$	0.040	$	(0.040	)	$	1.00		4.10	%
	2005 (2)		1.00		0.019		(0.019	)		1.00		1.93
	2004 (3)		1.00		0.007		(0.007	)		1.00		0.69
	2003 (3)		1.00		0.009		(0.009	)		1.00		0.86
	2002 (3)		1.00		0.016		(0.016	)		1.00		1.64
	2001 (3)		1.00		0.046		(0.046	)		1.00		4.70
Class Z
	2006 (1)	$	1.00	$	0.043	$	(0.043	)	$	1.00		4.36	%
	2005 (2)		1.00		0.021		(0.021	)		1.00		2.16
	2004 (6)		1.00		0.008		(0.008	)		1.00		0.80
Institutional Investor Class
	2006 (7)	$	1.00	$	0.020	$	(0.020	)	$	1.00		2.00	%
Piper Jaffray Class
	2006 (1)	$	1.00	$	0.037	$	(0.037	)	$	1.00		3.75	%
	2005 (2)		1.00		0.016		(0.016	)		1.00		1.64
	2004 (3)(8)		1.00		0.005		(0.005	)		1.00		0.46
	2003 (3)		1.00		0.006		(0.006	)		1.00		0.61
	2002 (3)		1.00		0.013		(0.013	)		1.00		1.34
	2001 (3)		1.00		0.043		(0.043	)		1.00		4.44
Reserve Class
	2006 (1)	$	1.00	$	0.035	$	(0.035	)	$	1.00		3.60	%
	2005 (9)		1.00		—		—			1.00		0.01


	(1)	For the period September 1 to August 31 in the year indicated.

	(2)	For the period October 1, 2004 to August 31, 2005. Effective in 2005, the fund’s fiscal year end was changed from September 30 to August 31. All ratios for the period have been annualized, except total return.

	(3)	For the period October 1 to September 30 in the year indicated.

	(4)	On December 1, 2003, existing Class S shares of the fund were designated as Class A shares.

	(5)	For the period from September 24, 2001, when the class of shares was first offered, to September 30, 2001. All ratios for the period have been annualized, except total return.

	(6)	For the period from December 1, 2003, when the class of shares was first offered, to September 30, 2004. All ratios for the period have been annualized, except total return.

	(7)	For the period from March 31, 2006, when the class of shares was first offered, to August 31, 2006. All ratios for the period have been annualized, except total return.

	(8)	On December 1, 2003, existing Class A shares of the fund were designated as Piper Jaffray Class shares.

	(9)	Reserve Class shares have been offered since August 31, 2005. All ratios for the period have been annualized, except total return.


	(10)	Total return would have been lower had certain expenses not been waived.

The accompanying notes are an integral part of the financial statements.

36 First American Funds Annual Report 2006


											Ratio of Net
								Ratio of			Investment
					Ratio of Net			Expenses to			Income (Loss)
		Ratio of			Investment			Average			to Average
Net Assets		Expenses to			Income			Net Assets			Net Assets
End of		Average			to Average			(Excluding			(Excluding
Period (000)		Net Assets			Net Assets			Waivers)			Waivers)



$	1,496,419		0.75	%		3.76	%		0.79	%		3.72	%
	1,174,750		0.75			1.77			0.80			1.72
	1,197,325		0.75			0.39			0.80			0.34
	1,354,195		0.75			0.57			0.80			0.52
	1,648,326		0.75			1.34			0.81			1.28
	2,035,433		0.70			2.46			0.82			2.34

$	6,051,333		0.60	%		3.93	%		0.64	%		3.89	%
	4,779,060		0.60			1.93			0.65			1.88
	4,898,189		0.60			0.53			0.65			0.48
	5,720,129		0.60			0.68			0.65			0.63
	5,155,284		0.60			1.48			0.66			1.42
	3,996,702		0.60			4.40			0.66			4.34

$	5,395,566		0.45	%		4.14	%		0.49	%		4.10	%
	3,178,640		0.45			2.10			0.50			2.05
	2,838,253		0.45			0.68			0.50			0.63
	3,570,394		0.45			0.85			0.51			0.79
	2,996,616		0.45			1.62			0.51			1.56
	2,929,764		0.45			4.48			0.51			4.42

$	877,206		0.20	%		4.29	%		0.24	%		4.25	%
	646,481		0.20			2.45			0.25			2.40
	166,347		0.20			0.99			0.25			0.94

$	437,586		0.30	%		4.87	%		0.34	%		4.83	%

$	817		0.79	%		3.60	%		0.89	%		3.50	%
	34,549		0.76			1.75			0.90			1.61
	31,625		0.75			0.35			0.81			0.29
	478,627		0.70			0.55			0.75			0.50
	230,541		0.75			1.29			0.81			1.23
	132,245		0.70			4.00			0.76			3.94

$	1,361,851		0.94	%		3.57	%		0.99	%		3.52	%
	1,033,467		0.94			2.60			1.00			2.54

First American Funds Annual Report 2006 37

Financial Highlights For a share outstanding throughout the indicated periods.


		Net Asset				Dividends			Net Asset
		Value		Net		from Net			Value
		Beginning		Investment		Investment			End of		Total
		of Period		Income		Income			Period		Return (4)

U.S. Treasury Money Market Fund
Class A
	2006 (1)	$	1.00	$	0.035	$	(0.035	)	$	1.00		3.56	%
	2005 (2)		1.00		0.015		(0.015	)		1.00		1.49
Class D
	2006 (1)	$	1.00	$	0.037	$	(0.037	)	$	1.00		3.71	%
	2005 (2)		1.00		0.016		(0.016	)		1.00		1.63
Class Y
	2006 (1)	$	1.00	$	0.038	$	(0.038	)	$	1.00		3.87	%
	2005 (2)		1.00		0.017		(0.017	)		1.00		1.75
Class Z
	2006 (1)	$	1.00	$	0.041	$	(0.041	)	$	1.00		4.15	%
	2005 (2)		1.00		0.020		(0.020	)		1.00		2.00
Institutional Investor Class
	2006 (3)	$	1.00	$	0.019	$	(0.019	)	$	1.00		1.91	%


	(1)	For the period September 1 to August 31 in the year indicated.

	(2)	For the period from October 25, 2004, when the class of shares was first offered, to August 31, 2005. All ratios for the period have been annualized, except total return.

	(3)	For the period from March 31, 2006, when the class of shares was first offered, to August 31, 2006. All ratios for the period have been annualized, except total return.

	(4)	Total return would have been lower had certain expenses not been waived.

The accompanying notes are an integral part of the financial statements.

38 First American Funds Annual Report 2006


											Ratio of Net
											Investment
					Ratio of Net						Income
		Ratio of			Investment						to Average
Net Assets		Expenses to			Income			Ratio of			Net Assets
End of		Average			to Average			Expenses to			(Excluding
Period (000)		Net Assets			Net Assets			Average			Waivers)



$	66,783		0.75	%		3.96	%		0.84	%		3.87	%
	5,229		0.75			1.51			0.82			1.44

$	188,499		0.60	%		3.62	%		0.69	%		3.53	%
	630,430		0.60			2.34			0.67			2.27

$	355,081		0.45	%		3.91	%		0.54	%		3.82	%
	201,687		0.45			2.08			0.52			2.01

$	124,961		0.20	%		4.66	%		0.29	%		4.57	%
	1		0.20			2.37			0.27			2.30

$	16,084		0.30	%		4.68	%		0.39	%		4.59	%

First American Funds Annual Report 2006 39

Notes to Financial Statements August 31, 2006, all dollars are rounded to thousands (000)


1 >	Organization


	The Government Obligations Fund, Prime Obligations Fund, Tax Free Obligations Fund, Treasury Obligations Fund, and U.S. Treasury Money Market Fund (each a “fund” and collectively, the “funds”) are mutual funds offered by First American Funds, Inc. (“FAF”), which is a member of the First American Family of Funds. FAF is registered under the Investment Company Act of 1940, as amended, as an open-end investment management company. FAF’s articles of incorporation permit the board of directors to create additional funds in the future.

	FAF offers Class A, Class B, Class C, Class D, Class I, Class Y, Class Z, Institutional Investor Class, Piper Jaffray Class, and Reserve Class shares. Prior to December 1, 2003, Class A shares were named Class S shares and Piper Jaffray Class shares were named Class A shares. Class A shares are not subject to sales charges. Class B and Class C shares of Prime Obligations Fund are only available pursuant to an exchange for Class B and Class C shares, respectively, of another fund in the First American Family of Funds or certain other unaffiliated funds, or in establishing a systematic exchange program that will be used to purchase Class B and Class C shares, respectively, of those funds. Class B shares may be subject to a contingent deferred sales charge for six years and automatically convert to Class A shares after eight years. Class C shares may be subject to a contingent deferred sales charge for 12 months, and will not convert to Class A shares. Class D, Class I, Class Y, Class Z, Institutional Investor Class, Piper Jaffray Class, and Reserve Class shares are offered only to qualifying institutional investors. Class B, Class C, and Class I shares are not offered by Government Obligations Fund, Tax Free Obligations Fund, Treasury Obligations Fund or U.S. Treasury Money Market Fund. Piper Jaffray Class shares are not offered by U.S. Treasury Money Market Fund. Reserve Class shares are offered by Treasury Obligations Fund only.

	The funds’ prospectuses provide descriptions of each fund’s investment objective, principal investment strategies, and principal risks. All classes of shares of a fund have identical voting, dividend, liquidation and other rights, and the same terms and conditions, except that certain fees, including distribution and shareholder servicing fees, may differ among classes. Each class has exclusive voting rights on any matters relating to that class’ servicing or distribution arrangements.


2 >	Summary of Significant Accounting Policies


	The significant accounting policies followed by the funds are as follows:

	SECURITY VALUATIONS – Investment securities held are stated at amortized cost, which approximates market value. Under the amortized cost method, any discount or premium is amortized ratably to the expected maturity of the security and is included in interest income. In accordance with Rule 2a-7 of the Investment Company Act of 1940, the market values of the securities held in the funds are determined weekly using prices supplied by the funds’ pricing services. These values are then compared to the securities’ amortized cost. Securities whose market price varies from amortized cost by more than 0.5% are identified and validated with the pricing agent. If the difference between the aggregate market price and aggregate amortized cost of all securities held by a fund exceeds 50% of the allowable 0.5% threshold, the funds’ administrator will notify the funds’ board of directors. The board of directors will then determine what action, if any, to take. No such notification was required during the fiscal year ended August 31, 2006.

	SECURITY TRANSACTIONS AND INVESTMENT INCOME – For financial statement purposes, the funds record security transactions on the trade date of the security purchase or sale. Interest income, including amortization of bond premium and discount, is recorded on an accrual basis.

	DISTRIBUTIONS TO SHAREHOLDERS – Distributions from net investment income are declared daily and are payable in cash or reinvested in additional shares of the fund at net asset value on the first business day of the following month.

	FEDERAL TAXES – Each fund is treated as a separate taxable entity. Each fund intends to continue to qualify as a regulated investment company as provided in Subchapter M of the Internal Revenue Code, as amended, and to distribute all taxable income, if any, to its shareholders. Accordingly, no provision for federal income taxes is required.

	Net investment income and net realized gains (losses) may differ for financial statement and tax purposes because of temporary or permanent book-to-tax differences. To the extent these differences are permanent, reclassifications are made to the appropriate equity accounts in the period that the differences arise.

40 First American Funds Annual Report 2006


	On the Statement of Assets and Liabilities the following reclassifications were made:


	Undistributed		Accumulated
	Net Investment		Net Realized
	Income		Gain

Tax Free Obligations Fund	$	5	$	(5	)

The character of distributions made during the year from net investment income or net realized gains may differ from its ultimate characterization for federal income tax purposes. In addition, due to the timing of dividend distributions, the fiscal period or year in which the amounts are distributed may differ from the period or year that the income or realized gains (losses) were recorded by the fund. The distributions paid during the fiscal year ended August 31, 2006, the fiscal period ended August 31, 2005, and the fiscal year ended September 30, 2004 (adjusted by dividends payable as of August 31, 2006, August 31, 2005, and September 30, 2004) were as follows:


	2006

	Ordinary		Tax-Exempt		Capital
Fund	Income		Income		Gain		Total

Government Obligations Fund	$	187,771	$	—	$	—	$	187,771
Prime Obligations Fund		680,871		—		—		680,871
Tax Free Obligations Fund		1		55,012		5		55,018
Treasury Obligations Fund		434,691		—		—		434,691
U.S. Treasury Money Market Fund		18,670		—		—		18,670


	2005

	Ordinary		Tax-Exempt		Capital
Fund	Income		Income		Gain		Total

Government Obligations Fund	$	71,511	$	—	$	—	$	71,511
Prime Obligations Fund		283,513		—		51		283,564
Tax Free Obligations Fund		2		27,205		51		27,258
Treasury Obligations Fund		154,897		—		—		154,897
U.S. Treasury Money Market Fund (1)		4,210		—		—		4,210


	(1) The Fund commenced operations on October 25, 2004.


	2004

	Ordinary		Tax-Exempt		Capital
Fund	Income		Income		Gain		Total

Government Obligations Fund	$	19,914	$	—	$	—	$	19,914
Prime Obligations Fund		114,322		—		—		114,322
Tax Free Obligations Fund		20		7,917		65		8,002
Treasury Obligations Fund		54,652		—		—		54,652


	As of August 31, 2006, components of accumulated earnings (deficit) on a tax-basis were as follows:


							Accumulated
	Undistributed		Undistributed		Undistributed		Capital and			Unrealized			Total
	Ordinary		Tax Exempt		Long Term		Post-October			Appreciation			Accumulated
	Income		Income		Capital Gains		Losses			(Depreciation)			Earnings

Government Obligations Fund	$	22,980	$	—	$	—	$	(8	)	$	—		$	22,972
Prime Obligations Fund		71,062		—		—		(5	)		—			71,057
Tax Free Obligations Fund		—		4,953		—		—			(6	)		4,947
Treasury Obligations Fund		61,643		—		—		(140	)		—			61,503
U.S. Treasury Money Market Fund		2,942		—		—		(28	)		(7	)		2,907


	The differences between book-basis and tax-basis undistributed/accumulated income, gains and losses are primarily due to distributions declared but not paid by August 31, 2006 and the deferral of wash sale losses.

	As of August 31, 2006, Government Obligations Fund had a capital loss carryforward of $8 that will expire in 2014, if not offset by subsequent capital gains. As of August 31, 2006, Treasury Obligations Fund had a capital loss carryforward of $83 of which $63 will expire in 2008 and $20 will expire in 2014, if not offset by subsequent capital gains.

	Prime Obligations Fund, Treasury Obligations Fund, and U.S. Treasury Money Market Fund incurred losses of $5, $57, and $28, respectively, for tax purposes for the period from November 1, 2005 to August 31, 2006. As permitted by tax regulations, the funds intend to elect to defer and treat those losses as arising in the fiscal year ending August 31, 2007.

First American Funds Annual Report 2006 41

Notes to Financial Statements August 31, 2006


	REPURCHASE AGREEMENTS – Each fund (other than U.S. Treasury Money Market Fund) may enter into repurchase agreements with member banks of the Federal Reserve or registered broker dealers whom the funds’ investment advisor deems creditworthy under guidelines approved by the funds’ board of directors, subject to the seller’s agreement to repurchase such securities at a mutually agreed upon date and price. The repurchase price generally equals the price paid by the fund plus interest negotiated on the basis of current short-term rates.

	Securities pledged as collateral for repurchase agreements are held by the custodian bank until the respective agreements mature. Each fund may also invest in triparty repurchase agreements. Securities held as collateral for triparty repurchase agreements are maintained in a segregated account by the broker’s custodian bank until the maturity of the repurchase agreement. Provisions of the repurchase agreements ensure that the market value of the collateral, including accrued interest thereon, is sufficient in the event of default of the counterparty. If the counterparty defaults and the value of the collateral declines or if the counterparty enters an insolvency proceeding, realization of the collateral by the fund may be delayed or limited.

	SECURITIES LENDING – In order to generate additional income, each fund, other than U.S. Treasury Money Market Fund, may lend securities representing up to one-third of the value of its total assets (which includes collateral for securities on loan) to broker-dealers, banks or other institutional borrowers of securities. Currently, only Government Obligations Fund and Treasury Obligations Fund lend their securities. Each fund’s policy is to maintain collateral in the form of cash, U.S. Government securities, or other high-grade debt obligations equal to at least 100% of the value of securities loaned. The collateral is then “marked to market” daily until the securities are returned. As with other extensions of credit, there may be risks of delay in recovery of the securities or even loss of rights in the collateral should the borrower of the security fail financially. Cash collateral is invested in short-term, high quality U.S. dollar-denominated securities that would be eligible for investment by a money market fund under Investment Company Act Rule 2a-7. As of August 31, 2006, cash collateral invested was as follows:


	Repurchase
	Agreements

Government Obligations Fund	$	503,633
Treasury Obligations Fund		204,000


	FAF Advisors, Inc. (“FAF Advisors”), formerly known as U.S. Bancorp Asset Management, Inc., serves as the securities lending agent for the funds in transactions involving the lending of portfolio securities on behalf of the fund. FAF Advisors acts as the securities lending agent pursuant to, and subject to compliance with conditions contained in, an exemptive order issued by the Securities and Exchange Commission (“SEC”). Effective January 1, 2006, FAF Advisors receives fees equal to 32% of the funds’ income from securities lending transactions. Prior to January 1, 2006, such fees were 35% of the funds’ income from securities lending transactions. Fees paid to FAF Advisors from Government Obligations Fund and Treasury Obligations Fund for the fiscal year ended August 31, 2006 were $54 and $30, respectively.

	Income from securities lending is recorded on the Statement of Operations as securities lending income net of fees paid to FAF Advisors.

	EXPENSES – Expenses that are directly related to one of the funds are charged directly to that fund. Other operating expenses are allocated to the funds on several bases, including relative net assets of all funds within the First American Family of Funds. Class specific expenses, such as distribution fees and shareholder servicing fees are borne by that class. Income, other expenses, and realized and unrealized gains and losses of a fund are allocated to each respective class in proportion to the relative net assets of each class.

	INTERFUND LENDING PROGRAM – Pursuant to an exemptive order issued by the Securities and Exchange Commission, the funds, along with other registered investment companies in the First American Family of Funds, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating funds. The funds did not have any interfund lending transactions during the fiscal year ended August 31, 2006.

	DEFERRED COMPENSATION PLAN – Under a Deferred Compensation Plan (the “Plan”), non-interested directors of the First American Fund family may participate and elect to defer receipt of part or all of their annual compensation. Deferred amounts are treated as though equivalent dollar amounts had been invested in shares of selected open-end First American Funds as designated by the board of directors. All amounts in the Plan are 100% vested and accounts under the Plan are obligations of the funds. Deferred amounts remain in the funds until distributed in accordance with the Plan.

	USE OF ESTIMATES IN THE PREPARATION OF FINANCIAL STATEMENTS – The preparation of financial statements, in conformity with U.S. generally accepted accounting principles, requires management to make estimates and assumptions that affect the reported amounts of net assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported results of operations during the reporting period. Actual results could differ from those estimates.

42 First American Funds Annual Report 2006


3 >	Fees and Expenses

INVESTMENT ADVISORY FEES – Pursuant to an investment advisory agreement (the “Agreement”), FAF Advisors manages each fund’s assets and furnishes related office facilities, equipment, research and personnel. The Agreement requires each fund to pay FAF Advisors a monthly fee based upon average daily net assets. The annual fee for each fund is 0.10%. FAF Advisors has agreed to waive fees and reimburse other fund expenses until June 30, 2007, so that total fund operating expenses, as a percentage of average daily net assets, do not exceed the following amounts:


	Share Class

																						Institutional			Piper
Fund	A			B			C			D			I			Y			Z			Investor			Jaffray			Reserve

Government Obligations Fund		0.75	%		—	%		—	%		0.60	%		—	%		0.45	%		0.20	%		0.30	%		0.81	%		—	%
Prime Obligations Fund		0.78			1.23			1.23			0.63			0.40			0.48			0.20			0.30			0.88			—
Tax Free Obligations Fund		0.75			—			—			0.60			—			0.45			0.20			0.30			0.79			—
Treasury Obligations Fund		0.75			—			—			0.60			—			0.45			0.20			0.30			0.79			0.94
U.S. Treasury Money Market Fund		0.75			—			—			0.60			—			0.45			0.20			0.30			—			—


	ADMINISTRATION FEES – FAF Advisors serves as the funds’ administrator pursuant to an administration agreement between FAF Advisors and the funds. U.S. Bancorp Fund Services, LLC (“USBFS”) serves as sub-administrator pursuant to a sub-administration agreement between USBFS and FAF Advisors. FAF Advisors is a subsidiary of U.S. Bank National Association (“U.S. Bank”). Both U.S. Bank and USBFS are direct subsidiaries of U.S. Bancorp. Under the administration agreement, FAF Advisors provides, or engages other entities to provide, services to the funds. These services include various legal, oversight and administrative services and accounting services. The funds pay FAF Advisors administration fees which are calculated daily and paid monthly. Prior to July 1, 2006, such fees were equal to each fund’s pro rata share of an amount equal, on an annual basis, to 0.10% of the aggregate average daily net assets of all open-end mutual funds in the First American Family of Funds, up to $8 billion, 0.085% on the next $17 billion of the aggregate average daily net assets, 0.07% on the next $25 billion of the aggregate average daily net assets, and 0.05% of the aggregate average daily net assets in excess of $50 billion.

	Effective July 1, 2006, the administration fee was increased to each fund’s pro rata share of an amount equal, on an annual basis, to 0.20% of the aggregate average daily Class A share net assets and 0.15% of the aggregate average daily net assets for all other share classes of all open-end mutual funds in the First American Family of Funds, up to $8 billion, 0.185% for Class A shares and 0.135% for all other classes on the next $17 billion of the aggregate average daily net assets, 0.17% for Class A shares and 0.12% for all other classes on the next $25 billion of aggregate average daily net assets, and 0.15% for Class A shares and 0.10% for all other classes of the aggregate average daily net assets in excess of $50 billion.

	This increase was the result of incorporating into the administration fee the fee discussed below that had previously been paid as part of the transfer agency fee for providing certain shareholder services and as reimbursement for payments to financial institutions. All fees paid to the sub-administrator are paid from the administration fee. In addition to these fees, the funds may reimburse FAF Advisors and the sub-administrator for any out-of-pocket expenses incurred in providing administration services.

	For the fiscal year ended August 31, 2006, administration fees paid to FAF Advisors by the funds included in this annual report were as follows:


Fund	Amount

Government Obligations Fund	$	4,157
Prime Obligations Fund		14,230
Tax Free Obligations Fund		1,712
Treasury Obligations Fund		10,139
U.S. Treasury Money Market Fund		464


	During the fiscal year ended August 31, 2006, administration fees of $287 were waived on Class Z of Prime Obligations Fund.

	TRANSFER AGENT FEES – USBFS serves as the funds’ transfer agent pursuant to a transfer agent agreement with FAF. For the period from July 1, 2005 to July 1, 2006, FAF paid transfer agent fees of $18,500 per share class and additional per account fees for transfer agent services. These fees were allocated to each fund based upon the fund’s pro rata share of the aggregate average daily net assets of the funds that comprise FAF. Under the transfer agent agreement, FAF also paid USBFS a fee equal, on an annual basis, to 0.10% of each fund’s average daily net assets for Class A shares and 0.05% for all other share classes. This fee was intended to compensate USBFS for providing certain shareholder services and to reimburse USBFS for its payments to financial institutions that establish and maintain omnibus accounts and provide customary services for such accounts. In addition to these fees, the funds reimbursed USBFS for out-of-pocket expenses incurred in providing transfer agent services.

	Effective July 1, 2006, the funds are charged transfer agent fees on a per shareholder account basis, subject to a minimum per share class fee. These fees are charged to

First American Funds Annual Report 2006 43

Notes to Financial Statements August 31, 2006


	each fund based on the number of accounts within that fund. The $18,500 per share class fee was eliminated. As noted above, effective July 1, 2006, the 0.10% fee for Class A shares and 0.05% fee for all other share classes for shareholder services and payments to financial services was incorporated into the administration fee. Funds continue to reimburse USBFS for out-of-pocket expenses incurred in providing transfer agent services.

	For the fiscal year ended August 31, 2006, transfer agent fees paid to USBFS by the funds included in this annual report were as follows:


Fund	Amount

Government Obligations Fund	$	2,149
Prime Obligations Fund		6,956
Tax Free Obligations Fund		977
Treasury Obligations Fund		5,314
U.S. Treasury Money Market Fund		236


	During the fiscal year ended August 31, 2006, transfer agent fees of $1,078 were waived on Class Z of Prime Obligations Fund.

	Each fund, except U.S. Treasury Money Market Fund, currently pays to Piper Jaffray an annual fee equal to 0.15% of a fund’s average daily net assets attributable to its Piper Jaffray Class shares for certain recordkeeping services. During the fiscal year ended August 31, 2006, recordkeeping fees of $109, $109, and $18 were waived on the Piper Jaffray Class shares of Government Obligations Fund, Tax Free Obligations Fund and Treasury Obligations Fund, respectively.

	CUSTODIAN FEES – U.S. Bank serves as the funds’ custodian pursuant to a custodian agreement with FAF. The custodian fee charged for each fund is equal to an annual rate of 0.005% of average daily net assets. All fees are computed daily and paid monthly.

	Under the custodian agreement, interest earned on uninvested cash balances is used to reduce a portion of each fund’s custodian expenses. These credits, if any, are disclosed as “Indirect payments from the custodian” in the Statement of Operations. Conversely, the custodian charges a fee for any cash overdrafts incurred which will increase the fund’s custodian expenses.

	For the fiscal year ended August 31, 2006, custodian fees were increased as a result of overdrafts and decreased as a result of interest earned as follows:


Fund	Increased			Decreased

Government Obligations Fund	$	—	*	$	1
Prime Obligations Fund		—			25
Tax Free Obligations Fund		4			4
Treasury Obligations Fund		—	*		2
U.S. Treasury Money Market Fund		2			—	*


	*Rounds to zero.


	OTHER EXPENSES – In addition to the investment advisory fees, administration fees, transfer agent fees, custodian fees, and distribution and shareholder servicing fees, each fund is responsible for paying most other operating expenses, including: legal, auditing, registration fees, postage and printing of shareholder reports, fees and expenses of independent directors, insurance, and other miscellaneous expenses. For the fiscal year ended August 31, 2006, legal fees and expenses of $115 were paid to a law firm of which an Assistant Secretary of the funds is a partner.

	DISTRIBUTION AND SHAREHOLDER SERVICING (12b-1) FEES – Quasar Distributors, LLC (“Quasar”), a subsidiary of U.S. Bancorp, serves as distributor of the funds pursuant to a distribution agreement with FAF. Under the distribution agreement, and pursuant to a plan adopted by each fund under rule 12b-1 of the Investment Company Act, each fund pays Quasar a monthly distribution and/or shareholder servicing fee equal to an annual rate of 0.25%, 1.00%, 1.00%, 0.15%, 0.25%, and 0.50% of each fund’s average daily net assets attributable to Class A shares, Class B shares, Class C shares, Class D shares, Piper Jaffray Class shares and Reserve Class shares, respectively. No distribution or shareholder servicing fees are paid by Institutional Investor Class shares, Class Y shares, Class I shares, or Class Z shares. These fees may be used by Quasar to provide compensation for sales support and distribution activities for each class of the funds. In addition, for Class B shares and Class C shares, a portion of these fees may be used to provide compensation for shareholder servicing activities.

	Under these distribution and shareholder servicing agreements, the following amounts were retained by Quasar for the fiscal year ended August 31, 2006:


Fund	Amount

Government Obligations Fund	$	2,565
Prime Obligations Fund		5,244
Tax Free Obligations Fund		436
Treasury Obligations Fund		16,104
U.S. Treasury Money Market Fund		362

44 First American Funds Annual Report 2006


	SHAREHOLDER SERVICING (NON-12b-1) FEES – FAF has also adopted and entered into a shareholder servicing plan and agreement with FAF Advisors, under which FAF Advisors has agreed to provide FAF, or will enter into written agreements with other service providers pursuant to which the service providers will provide FAF, with non-distribution-related services to shareholders of Class A, Class D, Class I, Class Y shares, Institutional Investor Class, Piper Jaffray Class, and Reserve Class shares. Each fund pays FAF Advisors a monthly shareholder servicing fee equal to an annual rate of 0.25% of the average daily net assets attributable to Class A, Class D, Class Y, Piper Jaffray Class, and Reserve Class shares, a fee equal to an annual rate of 0.20% of the average daily net assets attributable to Class I shares, and a fee equal to an annual rate of 0.10% of the average daily net assets attributable to Institutional Investor Class shares. During the fiscal year ended August 31, 2006, shareholder servicing fees of $494 and $15 were waived on Class I shares and Institutional Investor Class shares of Prime Obligations Fund, respectively, and $112 was waived on Reserve Class shares of Treasury Obligations Fund, respectively.

	Under this shareholder servicing plan and agreement, the following amounts were paid to FAF Advisors for the fiscal year ended August 31, 2006:


Fund	Amount

Government Obligations Fund	$	11,230
Prime Obligations Fund		30,387
Tax Free Obligations Fund		3,167
Treasury Obligations Fund		27,053
U.S. Treasury Money Market Fund		1,227


	CONTINGENT DEFERRED SALES CHARGES – A contingent deferred sales charge (“CDSC”) is imposed on redemptions made in the Class B shares. The CDSC varies depending on the number of years from time of payment for the purchase of Class B shares until the redemption of such shares. Class B shares automatically convert to Class A shares after eight years.


	Contingent Deferred Sales Charge
	as a Percentage of Dollar
Year Since Purchase	Amount Subject to Charge

First		5.00	%
Second		5.00
Third		4.00
Fourth		3.00
Fifth		2.00
Sixth		1.00
Seventh		—
Eighth		—


	A CDSC of 1.00% is imposed on redemptions made in Class C shares for the first twelve months.

	The CDSC for Class B shares and Class C shares is imposed on the value of the purchased shares, or the value at the time of redemption, whichever is less. For the fiscal year ended August 31, 2006, total front-end sales charges and CDSCs retained by affiliates of FAF Advisors for distributing shares of Prime Obligations Fund were $8.

	Prime Obligations Fund Class B shares converted to Class A shares (reflected as proceeds from sales of Class A shares and payments for redemptions of Class B shares) during the fiscal year ended August 31, 2006, the fiscal period ended August 31, 2005, and the fiscal year ended September 30, 2004 in the amount of 346,282: 275,153, and 348,038 shares, respectively.


4 >	Investment Security Transactions


	The aggregate gross unrealized appreciation and depreciation of securities held by the funds and the total cost of the securities for federal income tax purposes at August 31, 2006 were as follows:


	Aggregate		Aggregate
	Gross		Gross						Federal
	Unrealized		Unrealized						Income Tax
	Appreciation		Depreciation			Net			Cost

Government Obligations Fund	$	—	$	—		$	—		$	5,853,579
Prime Obligations Fund		—		—			—			16,072,161
Tax Free Obligations Fund		—		(6	)		(6	)		1,827,201
Treasury Obligations Fund		—		—			—			15,889,938
U.S. Treasury Money Market Fund		—		(7	)		(7	)		794,564


5 >	Portfolio Characteristics of the Tax Free Obligations Fund


	The Tax Free Obligations Fund invests in five different types of municipal securities. At August 31, 2006, the percentage of portfolio investments by each category was as follows:


	Tax Free
	Obligations
	Fund

Weekly Variable Rate Demand Notes		83.3%
Commercial Paper		6.0
Daily Variable Rate Demand Notes		4.3
Municipal Notes & Bonds		3.9
Money Market Fund		2.5

		100.0%


	The Tax Free Obligations Fund invests in longer-term securities that include revenue bonds, tax and revenue anticipation notes, and general obligation bonds. At August 31, 2006, the percentage of portfolio investments in longer-term securities by each revenue source, was as follows:


	Tax Free
	Obligations
	Fund

Revenue Bonds		100.0%
Tax and Revenue Anticipation Notes		—
General Obligations		—

		100.0%

First American Funds Annual Report 2006 45

Notes to Financial Statements August 31, 2006


	The implied credit ratings of all portfolio holdings as a percentage of total market value of investments at August 31, 2006, were as follows (unaudited):


Standard &
Poor’s/	Tax Free
Moody’s/Fitch	Obligations
Ratings	Fund

AAA		33.0%
AA		67.0
A		—
NR		—

		100.0%


	Individual security ratings are based on information from Moody’s Investor Service, Standard & Poor’s, and/or Fitch. In the case of split ratings, the middle rating is used. If ratings are provided by only two rating agencies, the lower rating is used. If only one of those rating agencies provides a rating, that rating is used.


6 >	Fund Merger


	On August 16, 2005, shareholders of Treasury Reserve Fund approved the Agreement and Plan of Reorganization recommended by the funds’ board of directors, providing for the merger of Treasury Reserve Fund Class A shares into Treasury Obligations Fund Reserve shares at the close of business on August 30, 2005. The following table illustrates the specifics of the merger:

Acquired

Shares Issued to

Acquiring

Funds

Shareholders of

Fund

Combined

Tax Status

Acquired Fund

Acquiring Fund

Net Assets

Acquired Fund

Net Assets

of Transfer

Treasury Reserve Fund

Treasury Obligations Fund ¹

Class A

Reserve shares

1,104,823

1,104,846,229

9,840,427

10,945,250

Non-taxable


	¹Accounting survivor.


7 >	Indemnifications


	The funds enter into contracts that contain a variety of indemnifications. The funds’ maximum exposure under these arrangements is unknown. However, the funds have not had prior claims or losses pursuant to these contracts and expect the risk of loss to be remote.


8 >	New Accounting Pronouncement

On July 13, 2006, the Financial Accounting Standards Board (FASB) released FASB Interpretation No. 48 “Accounting for Uncertainty in Income Taxes” (FIN 48). FIN 48 provides guidance for how uncertain tax positions should be recognized, measured, presented and disclosed in the financial statements. FIN 48 requires the evaluation of tax positions taken or expected to be taken in the course of preparing the fund’s (series’, trust’s) tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. Adoption of FIN 48 is required for fiscal years beginning after December 15, 2006 and is to be applied to all open tax years as of the effective date. At this time, management is evaluating the implications of FIN 48 and its impact in the financial statements has not yet been determined.


9 >	Closing of Piper Jaffray Class


	Effective September 26, 2006, FAF Advisors discontinued offering Piper Jaffray Class shares. As of such date, all shares of such class had been redeemed or exchanged for Class A shares of the respective fund.

46 First American Funds Annual Report 2006

NOTICE TO SHAREHOLDERS August 31, 2006 (unaudited)

TAX INFORMATION


	The information set forth below is for each funds’s fiscal year as required by federal laws. Most shareholders, however, must report distributions on a calendar year basis for income tax purposes, which may include distributions for portions of two fiscal years of a fund. Accordingly, the information needed for income tax purposes will be sent in early 2007 on Form 1099. Please consult your tax advisor for proper treatment of this information.

	For the fiscal year ended August 31, 2006, each fund has designated long-term capital gains, ordinary income and tax exempt income with regard to distributions paid during the year as follows:


	Long Term			Ordinary
	Capital Gains			Income						Total
	Distributions			Distributions			Tax Exempt			Distributions
Fund	(Tax Basis)			(Tax Basis)			Interest			(Tax Basis)

Government Obligations Fund		0.00	%		100.00	%		0.00	%		100.00	%
Prime Obligations Fund		0.00			100.00			0.00			100.00
Tax Free Obligations Fund		0.01			0.00			99.99			100.00
Treasury Obligations Fund		0.00			100.00			0.00			100.00
U.S. Treasury Money Market Fund		0.00			100.00			0.00			100.00

Shareholder Notification of Federal Tax Status:


	Each fund designated 0.00% of the ordinary income distributions during the fiscal year ended August 31, 2006 as dividends qualifying for the dividends received deduction available to corporate shareholders.

	In addition, each fund designated 0.00% of the ordinary income distributions from net investment income during the fiscal year ended August 31, 2006 as qualified income available to individual shareholders under the Jobs and Growth Tax Relief Reconciliation Act of 2003.

Additional Information Applicable to Foreign Shareholders Only:


	The percentage of ordinary income distributions that are designated as interest-related dividends under Internal Revenue Code Section 871(k)(1)(C) for each fund was as follows:


Government Obligations Fund	89.30	%
Prime Obligations Fund	86.54	%
Tax Free Obligations Fund	0.00	%
Treasury Obligations Fund	99.04	%
U.S. Treasury Money Market Fund	100.00	%


	The percentage of ordinary income distributions that are designated as short-term capital gain distributions under Internal Revenue Code Section 871(k)(2)(C) for each Fund were as follows:


Government Obligations Fund	0.00	%
Prime Obligations Fund	0.00	%
Tax Free Obligations Fund	0.00	%
Treasury Obligations Fund	0.00	%
U.S. Treasury Money Market Fund	0.00	%

HOW TO OBTAIN A COPY OF THE FUNDS’ PROXY VOTING POLICIES AND PROXY VOTING RECORD

A description of the policies and procedures that the funds use to determine how to vote proxies relating to portfolio securities, as well as information regarding how the funds voted proxies relating to portfolio securities during the most recent 12 month period ended June 30, is available (1) without charge upon request by calling 800.677.FUND; (2) at firstamericanfunds.com; and (3) on the U.S. Securities and Exchange Commission’s website at http://www.sec.gov.

FORM N-Q HOLDINGS INFORMATION

Each fund is required to file its complete schedule of portfolio holdings for the first and third quarters of each fiscal year with the Securities and Exchange Commission on Form N-Q. The funds’ Forms N-Q are available (1) without charge upon request by calling 800.677.FUND and (2) on the U.S. Securities and Exchange Commission’s website at http://www.sec.gov. In addition, you may review and copy the funds’ Forms N-Q at the Commission’s Public Reference Room in Washington, D.C. You may obtain information on the operation of the Public Reference Room by calling 1-800-SEC-0330.

First American Funds Annual Report 2006 47

NOTICE TO SHAREHOLDERS (unaudited) continued

APPROVAL OF THE FUNDS’ INVESTMENT ADVISORY AGREEMENT


	The Board of Directors of the funds (the “Board”), which is comprised entirely of independent directors, oversees the management of each fund and, as required by law, determines annually whether to renew the funds’ advisory agreement with FAF Advisors, Inc. (“FAF Advisors”). At a meeting on May 1-3, 2006, the Board considered information relating to the funds’ investment advisory agreement with FAF Advisors (the “Agreement”). In advance of the meeting, the Board received materials relating to the Agreement, and had the opportunity to ask questions and request further information in connection with their consideration. At a subsequent meeting on June 19-21, 2006, the Board concluded its consideration of and approved the Agreement through June 30, 2007.

	Although the Agreement, which is with First American Funds, Inc., relates to all of the funds, the Board separately considered and approved the Agreement with respect to each fund. In considering the Agreement, the Board, advised by independent legal counsel, reviewed and considered the factors it deemed relevant, including: (1) the nature, quality and extent of FAF Advisors’ services to the fund, (2) the investment performance of the fund, (3) the profitability of FAF Advisors related to the fund, including an analysis of FAF Advisors’ cost of providing services and comparative expense information, (4) whether economies of scale may be realized as the fund grows and whether fee levels are adjusted to enable fund investors to share in these potential economies of scale, and (5) other benefits that accrue to FAF Advisors through its relationship with the funds. In its deliberations, the Board did not identify any single factor which alone was responsible for the Board’s decision to approve the Agreement.

	Before approving the Agreement, the Board met in executive session with its independent counsel on numerous occasions to consider the materials provided by FAF Advisors and the terms of the Agreement. Based on its evaluation of those materials, the Board concluded that the Agreement is fair and in the best interests of the shareholders of each fund. In reaching its conclusions, the Board considered the following:

Nature, Quality and Extent of Investment Advisory Services


	The Board examined the nature, quality and extent of the services provided by FAF Advisors to each fund. The Board reviewed FAF Advisors’ key personnel who provide investment management services to each fund as well as the fact that, under the Agreement, FAF Advisors has the authority and responsibility to make and execute investment decisions for each fund within the framework of that fund’s investment policies and restrictions, subject to review by the Board. The Board further considered that FAF Advisors’ duties with respect to each fund include (i) investment research and security selection, (ii) adherence to (and monitoring compliance with) the fund’s investment policies and restrictions and the Investment Company Act of 1940, and (iii) monitoring the performance of the various organizations providing services to the fund, including the fund’s distributor, sub-administrator, transfer agent and custodian. Finally, the Board considered FAF Advisors’ representation that the services provided by FAF Advisors under the Agreement are the type of services customarily provided by investment advisors in the fund industry.

	The Board also considered compliance reports about FAF Advisors from the funds’ Chief Compliance Officer.

	Based on the foregoing, the Board concluded that each fund is likely to benefit from the nature, extent and quality of the services provided by FAF Advisors under the Agreement.

Investment Performance of the Funds


	The Board considered the performance of each fund, including how the fund performed versus the median performance of a group of comparable funds selected by an independent data service (the “performance universe”). The performance periods considered by the Board ended on January 31, 2006. Also, given that different share classes have different expense structures and that each share class has been in existence for a different period of time, the Board considered separately (i) one- and three-year performance information for Class A shares, (ii) one-, three-, five- and ten-year performance information for Class Y shares and (iii) one-year performance information for Class Z shares. With respect to U.S. Treasury Money Market Fund, which has only been in existence for a short time, the Board considered the performance of each share class during that time period.

	Government Obligations Fund. The Board considered that the performance of the fund’s various classes of shares outperformed or performed competitively against the performance universe during each of the performance periods considered by the Board. The Board concluded that it would be in the interest of the fund and its shareholders to renew the Agreement.

	Prime Obligations Fund. The Board considered that Class A and Z shares outperformed the performance universe for each of their respective performance periods, while Class Y shares slightly underperformed. The Board concluded that, in light of

48 First American Funds Annual Report 2006


	the fund’s competitive performance against the performance universe, it would be in the interest of the fund and its shareholders to renew the Agreement.
��
	Tax Free Obligations Fund. The Board considered that, for each of their respective performance periods, the fund’s Class A and Class Y shares underperformed the performance universe. The Board also noted, however, that the fund’s Class Z shares significantly outperformed the performance universe for the one-year period. The Board considered FAF Advisors’ assertion that part of the underperformance of Class A and Class Y is attributable to the high quality of the fund’s portfolio securities. The Board considered that the fund’s AAA Standard & Poor’s rating prohibits the fund from buying unrated securities, which limits the universe of potential investments. Other funds in the performance universe do not have this restriction and, thus, have more investment options that can yield higher returns.

	In addition, the Board noted FAF Advisors’ assertion that the Class A and Class Y underperformance also could be attributable to the entirely tax-free nature of the fund’s income. The Board considered that, although the fund is allowed to invest up to 20% of its assets in taxable securities, including securities subject to the alternative minimum tax, the fund does not invest in any such securities. The Board noted that certain funds in the performance universe are not subject to this restriction and may invest without limit in securities subject to the alternative minimum tax. In light of this, the Board also compared the fund’s performance to that of a peer universe that excluded funds investing in securities subject to the alternative minimum tax, noting that the fund’s performance compared much more favorably against this alternate group of funds.

	In light of the fund’s performance after taking into account the AAA rating of the fund and the entirely tax-free nature of its investments, and after comparing the fund to similar funds that do not invest in securities subject to the alternative minimum tax, the Board concluded that it would be in the interest of the fund and its shareholders to renew the Agreement.

	Treasury Obligations Fund. The Board considered that each of the fund’s classes of shares outperformed or performed competitively against the performance universe median during each performance period reviewed by the Board. The Board concluded that, in light of the fund’s competitive performance, it would be in the interest of the fund and its shareholders to renew the Agreement.

	U.S. Treasury Money Market Fund. The Board considered that the Class Z shares outperformed the fund’s performance universe for the one-year period (the only full period during which the fund has been in existence). The Board also considered that the fund’s Class A and Class Y shares underperformed the performance universe for that same period. With respect to this, however, the Board considered FAF Advisors’ assertion that the fund’s performance universe includes funds that, unlike the U.S. Treasury Money Market Fund, invest in repurchase agreements and that the universe is, therefore, not as meaningful a source of comparative data. According to FAF Advisors, the positive impact of investing in repurchase agreements is demonstrated by the performance of another of the money market funds it advises, which is (i) reviewed against the same performance universe, (ii) is permitted to invest in repurchase agreements and, (iii) has outperformed or performed competitively against the performance universe. The Board concluded that, in light of the Class Z competitive performance, the limited comparative value of the performance universe, and the short operating history of the fund, it would be in the interest of the fund and its shareholders to renew the Agreement.

Costs of Services and Profits Realized by FAF Advisors


	The Board reviewed FAF Advisors’ estimated costs in serving as each fund’s investment manager, including the costs associated with the personnel and systems necessary to manage each fund. The Board also considered the reported profitability of FAF Advisors and its affiliates resulting from their relationship with each fund. For each fund, the Board reviewed fee and expense information as compared to that of other funds and accounts managed by FAF Advisors and of comparable funds managed by other advisers. The Board found that while the advisory fees for FAF Advisors’ institutional separate accounts are lower than the funds’ advisory fees, the funds receive additional services from FAF Advisors that separate accounts do not receive.

	Using information provided by an independent data service, the Board also evaluated each fund’s advisory fee compared to the median advisory fee for other funds similar in size, character and investment strategy, and each fund’s expense ratio compared to the median expense ratio of comparable funds (the “peer group median expense ratio”). In connection with its review of fund fees and expenses, the Board asked FAF Advisors to articulate its pricing philosophy. FAF Advisors responded that it attempts generally to maintain each fund’s total operating expenses at a level that approximates its peer group median expense ratio. In addition, FAF Advisors noted that it intends to waive its investment advisory fees to the extent necessary to maintain the funds’ total expense ratios at levels generally in line with their respective peer groups. Consistent with this pricing philosophy, FAF Advisors agreed to maintain the funds’ expense caps at their current levels

First American Funds Annual Report 2006 49

NOTICE TO SHAREHOLDERS (unaudited) continued

through June 30, 2007. The Board noted that the information provided by an independent data service reflected that for each fund, other than Treasury Obligations Fund, the advisory fee and expense ratio after waivers were below or equal to the peer group medians. With respect to Treasury Obligations Fund, the Board noted that the advisory fee was below the peer group median and that the total expense ratio, after waivers, was higher than the peer group median, but consistent with FAF Advisors’ pricing philosophy. The Board concluded that the funds’ advisory fees and expense ratios are reasonable in light of the services provided.

Economies of Scale in Providing Investment Advisory Services

The Board considered whether each fund’s investment advisory fee reflects the potential for economies of scale for the benefit of fund shareholders. Based on information provided by FAF Advisors, the Board noted that profitability will likely increase somewhat as assets grow over time. The Board considered that FAF Advisors has committed to waive advisory fees to the extent necessary to keep each fund’s total expenses generally in line with the median total expenses of a peer group of funds as selected by an independent data service. The median total expense ratio of a fund’s peer group will reflect the effect of any breakpoints in the advisory fee schedules of the funds in that group. Therefore, by capping a fund’s total expense ratio at a level close to the median, fund shareholders should receive the benefit of any breakpoints in the comparable funds’ advisory fee schedules. In light of FAF Advisors’ commitment to keep total fund expenses competitive, the Board concluded that it would be reasonable and in the best interest of each fund and its shareholders to renew the Agreement.

Other Benefits to FAF Advisors


	In evaluating the benefits that accrue to FAF Advisors through its relationship with the funds, the Board noted that FAF Advisors and certain of its affiliates serve the funds in various capacities, including as adviser, administrator, transfer agent, securities lending agent, and custodian, and receive compensation from each fund in connection with providing services to the fund. The Board considered that each service provided to a fund by FAF Advisors or one of its affiliates is pursuant to a written agreement, which the Board evaluates periodically as required by law.

	After full consideration of these and other factors, the Board concluded that approval of the Agreement was in the interest of the each fund and its shareholders.

50 First American Funds Annual Report 2006

Directors and Officers of the Funds

Independent Directors

Other

Position(s)

Term of Office

Number of Portfolios

Directorships

Name, Address, and

Held

and Length of

Principal Occupation(s)

in Fund Complex

Held by

Year of Birth

with Funds

Time Served

During Past 5 Years

Overseen by Director

Director †

Benjamin R. Field III
P.O. Box 1329
Minneapolis, MN
55440-1329
(1938)

Director

Term expiring earlier of death, resignation, removal, disqualification, or successor duly elected and qualified. Director of FAF since September 2003.

Retired; Senior Financial Advisor, Bemis Company, Inc. from May 2002 through June 2004; Senior Vice President, Chief Financial Officer & Treasurer, Bemis, through April 2002.

First American Funds Complex: twelve registered investment companies, including fifty-eight portfolios

None

Roger A. Gibson
P.O. Box 1329
Minneapolis, MN
55440-1329
(1946)

Director

Term expiring earlier of death, resignation, removal, disqualification, or successor duly elected and qualified. Director of FAF since October 1997.

Retired; Vice President, Cargo-United Airlines, from July 2001 through July 2004; Vice President, North America – Mountain Region, United Airlines, prior to July 2001.

First American Funds Complex: twelve registered investment companies, including fifty-eight portfolios

None

Victoria J. Herget
P.O. Box 1329
Minneapolis, MN
55440-1329
(1951)

Director

Term expiring earlier of death, resignation, removal, disqualification, or successor duly elected and qualified. Director of FAF since September 2003.

Investment consultant and non-profit board member since 2001; Managing Director of Zurich Scudder Investments through 2001.

First American Funds Complex: twelve registered investment companies, including fifty-eight portfolios

None

Leonard W. Kedrowski
P.O. Box 1329
Minneapolis, MN
55440-1329
(1941)

Director

Term expiring earlier of death, resignation, removal, disqualification, or successor duly elected and qualified. Director of FAF since November 1993.

Owner and President Executive and Management Consulting, Inc., a management consulting firm; Board member, GC McGuiggan Corporation (dba Smyth Companies), a label printer; former Chief Executive Officer, Creative Promotions International, LLC, a promotional award programs and products company, through October 2003; Advisory Board member, Designer Doors, manufacturer of designer doors, through 2002.

First American Funds Complex: twelve registered investment companies, including fifty-eight portfolios

None

Richard K. Riederer
P.O. Box 1329
Minneapolis, MN
55440-1329
(1944)

Director

Term expiring earlier of death, resignation, removal, disqualification, or successor duly elected and qualified. Director of FAF since August 2001.

Retired; Director, President and Chief Executive Officer, Weirton Steel through 2001.

First American Funds Complex: twelve registered investment companies, including fifty-eight portfolios

Cleveland Cliffs, Inc. (a producer of iron ore pellets)

Joseph D. Strauss
P.O. Box 1329
Minneapolis, MN
55440-1329
(1940)

Director

Term expiring earlier of death, resignation, removal, disqualification, or successor duly elected and qualified. Director of FAF since April 1991.

Attorney At Law, Owner and President, Strauss Management Company, a Minnesota holding company for various organizational management business ventures; Owner, Chairman and Chief Executive Officer, Community Resource Partnerships, Inc., a strategic planning, operations management, government relations, transportation planning and public relations organization; Owner, Chairman and Chief Executive Officer, Excensus^tm, LLC, a strategic demographic planning and application development firm, since 2001.

First American Funds Complex: twelve registered investment companies, including fifty-eight portfolios

None

First American Funds Annual Report 2006 51

NOTICE TO SHAREHOLDERS (unaudited) continued

Independent Directors — continued

Other

Position(s)

Term of Office

Number of Portfolios

Directorships

Name, Address, and

Held

and Length of

Principal Occupation(s)

in Fund Complex

Held by

Year of Birth

with Funds

Time Served

During Past 5 Years

Overseen by Director

Director †

Virginia L. Stringer
P.O. Box 1329
Minneapolis, MN
55440-1329
(1944)

Chair; Director

Chair Term three years. Directors Term expiring earlier of death, resignation, removal, disqualification, or successor duly elected and qualified. Chair of FAF’s Board since September 1997; Director of FASF since September 1987.

Owner and President, Strategic Management Resources, Inc., a management consulting firm; Executive Consultant to State Farm Insurance Company through 2003.

First American Funds Complex: twelve registered investment companies, including fifty-eight portfolios

None

James M. Wade
P.O. Box 1329
Minneapolis, MN
55440-1329
(1943)

Director

Term expiring earlier of death, resignation, removal, disqualification, or successor duly elected and qualified. Director of FAF since August 2001.

Owner and President, Jim Wade Homes, a homebuilding company, since 1999.

First American Funds Complex: twelve registered investment companies, including fifty-eight portfolios

None


†	Includes only directorships in a company with a class of securities registered pursuant to Section 12 of the Securities Exchange Act or subject to the requirements of Section 15(d) of the Securities Exchange Act, or any company registered as an investment company under the Investment Company Act.

The Statement of Additional Information (SAI) includes additional information about fund directors and is available upon request without charge by calling 800-677-FUND or writing to First American Funds, P.O. Box 1330, Minneapolis, Minnesota, 55440-1330.

52 First American Funds Annual Report 2006


Officers

	Position(s)	Term of Office
Name, Address, and	Held	And Length of
Year of Birth	with Funds	Time Served	Principal Occupation(s) During Past 5 Years

Thomas S. Schreier, Jr. FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1962)*	President	Re-elected by the Board annually; President of FAF since February 2001.	Chief Executive Officer of FAF Advisors, Inc.

Mark S. Jordahl FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1960)*	Vice President – Investments	Re-elected by the Board annually; Vice President – Investments of FAF since September 2001.	Chief Investment Officer of FAF Advisors, Inc., since September 2001.

Jeffery M. Wilson FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1956)*	Vice President – Administration	Re-elected by the Board annually; Vice President – Administration of FAF since March 2000.	Senior Vice President of FAF Advisors, Inc.

Charles D. Gariboldi, Jr. FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1959)*	Treasurer	Re-elected by the Board annually; Treasurer of FAF since December 2004.	Mutual Fund Treasurer, FAF Advisors, Inc., since October 2004; prior thereto, Vice President of investment accounting and Fund Treasurer for Thrivent Financial for Lutherans.

Jill M. Stevenson FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1965)*	Assistant Treasurer	Re-elected by the Board annually; Assistant Treasurer of FAF since September 2005.	Assistant Treasurer, FAF Advisors, Inc., since September 2005; prior thereto, Director, Senior Project Manager, FAF Advisors, Inc. from May 2003 to September 2005; prior to that, Vice President, Director of Operations, Paladin Investment Associates, LLC.

David H. Lui FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1960)*	Chief Compliance Officer	Re-elected by the Board annually; Chief Compliance Officer of FAF since February 2005.	Chief Compliance Officer for First American Funds and FAF Advisors, Inc., since February 2005; prior thereto, Chief Compliance Officer, Franklin Advisors, Inc. and Chief Compliance Counsel, Franklin Templeton Investments from March 2004 to February 2005; prior to that, Vice President, Charles Schwab & Co,. Inc.

Kathleen L. Prudhomme FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1953)*	Secretary	Re-elected by the Board annually; Secretary of FAF since December 2004; prior thereto, Assistant Secretary of FAF since September 1998.	Deputy General Counsel, FAF Advisors, Inc., since November 2004; prior thereto, Partner, Dorsey & Whitney LLP, a Minneapolis-based law firm.

Jason K. Mitchell FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1976)*	Anti-Money Laundering Officer	Re-elected by the Board annually; Anti-Money Laundering Officer of FAF since September 2006.	Anti-Money Laundering Officer of First American Funds and FAF Advisors, Inc., since September 2006. Compliance Manager, FAF Advisors, Inc., since June 2006, prior to that, Compliance Analyst, FAF Advisors, Inc. from October 2004 to June 2006, prior to that, Senior Systems Helpdesk Analyst, Wachovia Retirement Services from November 2002 to October 2004, prior to that, Senior Retirement Plan Specialist, PFPC, Inc.

James D. Alt Dorsey & Whitney LLP 50 South Sixth Street Suite 1500 Minneapolis, MN 55402 (1951)	Assistant Secretary	Re-elected by the Board annually; Assistant Secretary of FAF since December 2004; prior thereto, Secretary of FAF since June 2002; Assistant Secretary of FAF from September 1998 through June 2002.	Partner, Dorsey & Whitney LLP, a Minneapolis-based law firm.

Brett L. Agnew FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1971)*	Assistant Secretary	Re-elected by the Board annually; Assistant Secretary of FAF since December 2004.	Attorney for FAF Advisors, Inc., since August 2004; prior thereto, Senior Counsel, Thrivent Financial for Lutherans from May 2001 to August 2004; prior to that, Consultant, Principal Financial Group.

James R. Arnold 615 E. Michigan Street Milwaukee, WI 53202 (1957)*	Assistant Secretary	Re-elected by the Board annually; Assistant Secretary of FAF since June 2003.	Vice President, U.S. Bancorp Fund Services, LLC, since March 2002; prior thereto, Senior Administration Services Manager, UMB Fund Services, Inc.

First American Funds Annual Report 2006 53

NOTICE TO SHAREHOLDERS (unaudited) continued


Officers

	Position(s)	Term of Office
Name, Address, and	Held	And Length of
Year of Birth	with Funds	Time Served	Principal Occupation(s) During Past 5 Years

Richard J. Ertel FAF Advisors, Inc. 800 Nicollet Mall Minneapolis, MN 55402 (1967)*	Assistant Secretary	Re-elected by the Board annually; Assistant Secretary of FAF since June 2006 and from June 2003 through August 2004.	Counsel, FAF Advisors, Inc., since May 2006; prior thereto, Counsel, Ameriprise Financial Services, Inc. from September 2004 to May 2006; prior to that, Counsel, FAF Advisors, Inc. from May 2003 to August 2004; prior to May 2003, Associate Counsel, Hartford Life and Accident Insurance Company.

Douglas G. Hess 615 E. Michigan Street Milwaukee, WI 53202 (1967)*	Assistant Secretary	Re-elected by the Board annually; Assistant Secretary of FAF since September 2001.	Vice President, U.S. Bancorp Fund Services, LLC.


*	Messrs. Schreier, Jordahl, Wilson, Gariboldi, Lui, Mitchell, Agnew and Ertel, Ms. Stevenson and Ms. Prudhomme are each officers and/or employees of FAF Advisors, Inc., which serves as investment adviser and administrator for FAF. Messrs. Arnold and Hess are officers of U.S. Bancorp Fund Services, LLC, which is a subsidiary of U.S. Bancorp and which serves as Transfer Agent for FAF.

54 First American Funds Annual Report 2006

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Board of Directors First American Funds, Inc.


	Virginia Stringer

	Chairperson of First American Funds, Inc.
	Owner and President of Strategic Management Resources, Inc.

	Benjamin Field III

	Director of First American Funds, Inc.
	Retired; former Senior Vice President, Chief Financial Officer, and Treasurer of Bemis Company, Inc.

	Roger Gibson

	Director of First American Funds, Inc.
	Retired; former Vice President of Cargo-United Airlines

	Victoria Herget

	Director of First American Funds, Inc.
	Investment Consultant; former Managing Director of Zurich Scudder Investments

	Leonard Kedrowski

	Director of First American Funds, Inc.
	Owner and President of Executive and Management Consulting, Inc.

	Richard Riederer

	Director of First American Funds, Inc.
	Retired; former President and Chief Executive Officer of Weirton Steel

	Joseph Strauss

	Director of First American Funds, Inc.
	Owner and President of Strauss Management Company

	James Wade

	Director of First American Funds, Inc.
	Owner and President of Jim Wade Homes

	First American Funds’ Board of Directors is comprised entirely of independent directors.

Direct fund correspondence to:

First American Funds

P.O. Box 1330

Minneapolis, MN 55440-1330


This report and the financial statements contained herein are not intended to be a forecast of future events, a guarantee of future results, or investment advice. Further, there is no assurance that certain securities will remain in or out of each fund’s portfolio.

This report is for the information of shareholders of the First American Funds, Inc. It may also be used as sales literature when preceded or accompanied by a current prospectus, which contains information concerning investment objectives, risks, and charges and expenses of the funds. Read the prospectus carefully before investing.

The figures in this report represent past performance and do not guarantee future results. The principal value of an investment and investment return will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost.

INVESTMENT ADVISOR


	FAF Advisors, Inc.
	800 Nicollet Mall
	Minneapolis, Minnesota 55402

ADMINISTRATOR


	FAF Advisors, Inc.
	800 Nicollet Mall
	Minneapolis, Minnesota 55402

TRANSFER AGENT


	U.S. Bancorp Fund Services, LLC
	615 East Michigan Street
	Milwaukee, Wisconsin 53202

CUSTODIAN


	U.S. Bank National Association
	60 Livingston Avenue
	St. Paul, Minnesota 5510

DISTRIBUTOR


	Quasar Distributors, LLC
	615 East Michigan Street
	Milwaukee, Wisconsin 53202

INDEPENDENT REGISTERED PUBLIC

ACCOUNTING FIRM


	Ernst & Young LLP
	220 South Sixth Street
	Suite 1400
	Minneapolis, Minnesota 55402

COUNSEL


	Dorsey & Whitney LLP
	50 South Sixth Street
	Suite 1500
	Minneapolis, Minnesota 55402

First American Funds
P.O. Box 1330
Minneapolis, MN 55440-1330

In an attempt to reduce shareholder costs and help eliminate duplication, First American Funds will try to limit their mailing to one report for each address that lists one or more shareholders with the same last name. If you would like additional copies, please call First American Investor Services at 800.677.FUND or visit firstamericanfunds.com.

0251-06 10/2006 AR-MONEY

Item 2—Code of Ethics

(a)		The registrant has adopted a code of ethics that applies to its principal executive officer and principal financial officer.

(b)		During the period covered by this report, there were no amendments to the provisions of the registrant’s code of ethics that apply to the registrant’s principal executive officer and principal financial officer and that relate to any element of the code of ethics definition enumerated in paragraph (b) of Item 2 of Form N-CSR.

(c)		During the period covered by this report, the registrant did not grant to the registrant’s principal executive officer or principal financial officer any waivers, including implicit waivers, from any provisions of its code of ethics that relate to one or more of the items set forth in paragraph (b) of Item 2 of Form N-CSR.

(d)		The registrant undertakes to furnish a copy of its code of ethics to any person upon request, without charge, by calling 1-800-677-3863.

Item 3—Audit Committee Financial Expert

The registrant’s Board of Directors has determined that Leonard W. Kedrowski, Benjamin R. Field III, and Richard K. Riederer, members of the registrant’s Audit Committee, are each an “audit committee financial expert” and are “independent,” as these terms are defined in this Item.

Item 4—Principal Accountant Fees and Services

(a)		Audit Fees — Ernst & Young LLP (“E&Y”) billed the registrant audit fees totaling $479,491 in the fiscal year ended August 31, 2006, $439,310 in the fiscal period ended August 31, 2005, and $586,376 in the fiscal year ended September 30, 2004, including fees associated with the annual audit, SEC Rule 17f-2 security count filings and filings of the registrant’s Form N-CSR.

(b)		Audit-Related Fees – E&Y billed the registrant audit-related fees totaling $1,170 in the fiscal year ended August 31, 2006, $19,275 in the fiscal period ended August 31, 2005, and $17,082 in the fiscal year ended September 30, 2004, including fees associated with the semi-annual review of fund disclosures.

(c)		Tax Fees — E&Y billed the registrant fees of $67,981 in the fiscal year ended August 31, 2006, $82,384 in the fiscal period ended August 31, 2005, and $84,123 in the fiscal year ended September 30, 2004 for tax services, including tax compliance, tax advice and tax planning. Tax compliance, tax advice and tax planning services primarily related to preparation of original and amended tax returns, timely RIC qualification reviews, and tax distribution analysis and planning.

(d)		All Other Fees — There were no fees billed by E&Y for other services to the registrant during the fiscal year ended August 31, 2006, the fiscal period ended August 31, 2005, and the fiscal year ended September 30, 2004.

(e)(1)		The audit committee’s pre-approval policies and procedures pursuant to paragraph (c)(7) of Rule 2-01 of Regulation S-X are set forth below:

		Audit Committee policy regarding pre-approval of services provided by the Independent Auditor

		The Audit Committee of the First American Funds (“Committee”) has responsibility for ensuring that all services performed by the independent audit firm for the funds do not impair the firm’s independence. This review is intended to provide reasonable oversight without removing management from its responsibility for day-to-day operations. In this regard, the Committee should:

	•		Understand the nature of the professional services expected to be provided and their impact on auditor independence and audit quality

	•		Examine and evaluate the safeguards put into place by the Company and the auditor to safeguard independence

	•		Meet quarterly with the partner of the independent audit firm

•

Consider approving categories of service that are not deemed to impair independence for a one-year period

		It is important that a qualitative rather than a mere quantitative evaluation be performed by the Committee in discharging its responsibilities.

		Policy for Audit and Non-Audit Services Provided to the Funds

		On an annual basis, the Committee will review and consider whether to pre-approve the financial plan for audit fees as well as categories of audit-related and non-audit services that may be performed by the funds’ independent audit firm directly for the funds. At least annually the Committee will receive a report from the independent audit firm of all audit and non-audit services, which were approved during the year.

		The engagement of the independent audit firm for any non-audit service requires the written pre-approval of the Treasurer of the funds and all non-audit services performed by the independent audit firm will be disclosed in the required SEC periodic filings.

		In connection with the Committee review and pre-approval responsibilities, the review by the Committee will consist of the following:

		Audit Services

		The categories of audit services and related fees to be reviewed and considered for pre-approval annually by the Committee or its delegate include the following:

	•		Annual Fund financial statement audits

	•		Seed audits (related to new product filings, as required)

	•		SEC and regulatory filings and consents

		Audit-related Services

		In addition, the following categories of audit-related services are deemed to be consistent with the role of the independent audit firm and, as such, will be considered for pre-approval by the Committee or its delegate, on an annual basis.

	•		Accounting consultations

	•		Fund merger support services

	•		Other accounting related matters

	•		Agreed Upon Procedure Reports

	•		Attestation Reports

	•		Other Internal Control Reports

		Notwithstanding any annual pre-approval of these categories of services, individual projects with an estimated fee in excess of $25,000 are subject to pre-approval by the Committee Chair or its delegate on a case-by-case basis. Individual projects with an estimated fee in excess of $50,000 are subject to pre-approval by the Committee or its delegate on a case-by-case basis.

		Tax Services

		The following categories of tax services are deemed to be consistent with the role of the independent audit firm and, as such, will be considered for pre-approval by the Committee or its delegate, on an annual basis.

	•		Tax compliance services related to the filing or amendment of the following:

	•		Federal, state and local income tax compliance, and

	•		Sales and use tax compliance

	•		Timely RIC qualification reviews

	•		Tax distribution analysis and planning

	•		Tax authority examination services

	•		Tax appeals support services

	•		Accounting methods studies

	•		Fund merger support services

	•		Tax consulting services and related projects

		Notwithstanding any annual pre-approval of these categories of services, individual projects with an estimated fee in excess of $25,000 are subject to pre-approval by the Committee Chair or its delegate on a case-by-case basis. Individual projects with an estimated fee in excess of $50,000 are subject to pre-approval by the Committee or its delegate on a case-by-case basis.

		Other Non-audit Services

		The SEC auditor independence rules adopted in response to the Sarbanes-Oxley Act specifically allow certain non-audit services. Because of the nature of these services, none of these services may be commenced by the independent audit firm without the prior approval of the Committee. The Committee may delegate this responsibility to one or more of the Committee members, with the decisions presented to the full Committee at the next scheduled meeting.

		Proscribed Services

		In accordance with SEC rules on independence, the independent audit firm is prohibited from performing services in the following categories of non-audit services:

	•		Management functions

	•		Accounting and bookkeeping services

	•		Internal audit services

	•		Financial information systems design and implementation

	•		Valuation services supporting the financial statements

	•		Actuarial services supporting the financial statements

	•		Executive recruitment

	•		Expert services (e.g., litigation support)

	•		Investment banking

		Policy for Pre-approval of Non-Audit Services Provided to Other Entities within the Investment Company Complex

		The Committee is also responsible for pre-approving certain non-audit services provided to FAF Advisors, Inc., U.S. Bank N.A., Quasar Distributors, U.S. Bancorp Fund Services, LLC and any other entity under common control with FAF Advisors, Inc., that provides ongoing services to the funds. The only non-audit services provided to these entities which require pre-approval are those services that relate directly to the operations and financial reporting of the funds.

		Although the Committee is not required to pre-approve all services provided to FAF Advisors, Inc. and other affiliated service providers, the Committee will annually receive a report from the independent audit firm on the aggregate fees for all services provided to U.S. Bancorp and affiliates.

(e)(2)		All of the services described in paragraphs (b) through (d) of this Item 4 were pre-approved by the audit committee.

(f)		All services performed on the engagement to audit the registrant’s financial statements for the most recent fiscal year end were performed by the principal accountant’s full-time, permanent employees.

(g)		The aggregate non-audit fees billed by E&Y to the registrant, the registrant’s investment adviser, and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant, totaled $85,651 in the fiscal year ended August 31, 2006, $127,359 in the fiscal period ended August 31, 2005, and $131,955 in the fiscal year ended September 30, 2004.

(h)		The registrant’s audit committee has determined that the provision of non-audit services to the registrant’s investment adviser, and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant, that were not pre-approved is compatible with maintaining E&Y’s independence.

Item 5—Audit Committee of Listed Registrants

Not applicable.

Item 6— Schedule of Investments

The schedule is included as part of the report to shareholders filed under Item 1 of this Form.

Item 7—Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies

Not applicable.

Item 8—Portfolio Managers of Closed-End Management Investment Companies

Not applicable.

Item 9—Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers

Not applicable.

Item 10—Submission of Matters to a Vote of Security Holders

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s board of directors, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 7(d)(2)(ii)(G) of Schedule 14A (17 CFR 240.14a-101), or this item.

Item 11—Controls and Procedures

(a)		The registrant’s Principal Executive Officer and Principal Financial Officer have evaluated the registrant’s disclosure controls and procedures within 90 days of the date of this filing and have concluded that the registrant’s disclosure controls and procedures were effective, as of that date, in ensuring that information required to be disclosed by the registrant in this Form N-CSR was recorded, processed, summarized and reported timely.

(b)		There were no changes in the registrant’s internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 12—Exhibits

(a)(1)		Not applicable. Registrant’s code of ethics is provided to any person upon request without charge.

(a)(2)		Certifications of the Principal Executive Officer and Principal Financial Officer of the registrant as required by Rule 30a-2(a) under the Investment Company Act are filed as exhibits hereto.

(a)(3)		Not applicable.

(b)		Certifications of the Principal Executive Officer and Principal Financial Officer of the registrant as required by Rule 30a-2(b) under the Investment Company Act are filed as exhibits hereto.

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

First American Funds, Inc.


By:		/s/ Thomas S. Schreier, Jr.
		Thomas S. Schreier, Jr.
		President

Date: November 7, 2006

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.


By:		/s/ Thomas S. Schreier, Jr.
		Thomas S. Schreier, Jr.
		President

Date: November 7, 2006


By:		/s/ Charles D. Gariboldi, Jr.
		Charles D. Gariboldi, Jr.
		Treasurer

Date: November 7, 2006

First American Funds N-CSRCertified annual shareholder report (management investment company)