Laserfiche WebLink
CITY OF PARIS, TEXAS <br />Notes to Financial Statements (Continued) <br />September 30, 2025 <br />III. Stewardship, Compliance, andwAccountabiliti: <br />Violations of Legal or Contractual Provisions <br />Note I.F.2, on the Excess of Expenditures Over Appropriations, describes budgetary violations that occurred for <br />the year ended September 30, 2025. <br />IV . Detailed Notes on_All Activities„ and Funds <br />A. Cash and Cash Equivalents <br />Custodial Credit Risk for deposits is the risk that in the event of a bank failure, the City's deposits may not be <br />returned, or the City will not be able to recover collateral securities in the possession of an outside party. The <br />City's policy requires deposits to be secured by collateral valued at market or par, whichever is lower, less the <br />amount of the Federal Deposit Insurance Corporation (FDIC) insurance. Collateral agreements must be <br />approved prior to deposit of funds as provided by law. <br />At September 30, 2025, the City maintained deposits at a bank with a carrying amount of $58,738,331, and the <br />bank's balances were $61,487,478. As of September 30, 2025, $750,000 was insured by FDIC and $60,737,478 <br />was collateralized with securities held by the pledging financial institution's agent in the name of the City. The <br />City's certificate of deposit totaling $15,110,907 is considered a deposit for this footnote but is classified as an <br />investment on the face of the financial statements. <br />Discretely Presented Component Unit <br />At September 30, 2025, $250,000 was insured by FDIC and $1,950,634 was collateralized with securities <br />pledged. PEDC's carrying amount of demand deposits was $2,092,082 and the bank balance was $2,200,634. <br />The carrying amount of cash includes amounts related to custodial funds that are not reported in the component <br />unit column of the financial statements. <br />B. Investments <br />As of September 30, 2025, the City had the following investments: <br />Tylae of Secuny <br />Primary Government <br />Federal Home Loan Mortgage Corporation <br />Federal National Mortgage Association <br />Federal Home Loan Banks Debenture <br />Federal Farm Credit Banks Debenture <br />Certificates of Deposit <br />U.S. Treasury Bills OID <br />U.S. Treasury Notes <br />Paris Economic Development Corporation <br />Texas Class Investment Pool <br />Totals <br />Fair Value <br />2,351,314 <br />1,311,756 <br />1,251,400 <br />190,662 <br />15,110,907 <br />34,314,385 <br />13,909,197 <br />_.. 22471.7491.. <br />$ <br />70911 118 <br />Weighted <br />Average <br />Maturity <br />(Days) <br />The City invested in the Texas Local Government Investment Cooperative (LOGIC) Liquid Asset Portfolio. <br />LOGIC is a public funds investment pool managed by J.P. Morgan Investment Management Inc. and Hilltop <br />Securities Inc. LOGIC uses amortized cost rather than market value to report net position to compute share <br />prices. Accordingly, fair value of the position of LOGIC is the same as the net asset value of LOGIC shares. <br />LOGIC issues an annual report that can be obtained upon request. The accounts remain open at September 30, <br />2025. However, the City had a zero balance at year end. <br />44 <br />82 <br />Weighted <br />Average <br />Credit <br />Maturity <br />.............RatmB.._._._ <br />AA+ <br />6.42 <br />A-1+ <br />5.60 <br />AA+ <br />2.50 <br />AA+ <br />0.89 <br />Not Rated <br />0.33 <br />0.17 <br />AAAm <br />1.08 <br />Weighted <br />Average <br />Maturity <br />(Days) <br />The City invested in the Texas Local Government Investment Cooperative (LOGIC) Liquid Asset Portfolio. <br />LOGIC is a public funds investment pool managed by J.P. Morgan Investment Management Inc. and Hilltop <br />Securities Inc. LOGIC uses amortized cost rather than market value to report net position to compute share <br />prices. Accordingly, fair value of the position of LOGIC is the same as the net asset value of LOGIC shares. <br />LOGIC issues an annual report that can be obtained upon request. The accounts remain open at September 30, <br />2025. However, the City had a zero balance at year end. <br />44 <br />82 <br />