Laserfiche WebLink
CITY OF ROSEVILLE <br />NOTES TO FINANCIAL STATEMENTS <br />DECEMBER 31, 2011 <br />NOTE 4 - DETAILED NOTES ON ALL FUNDS (Continued) <br />A. Deposits and investments (Continued) <br />3. Investments (Continued) <br />Concentration risk — This is the risk associated with investing a significant portion of the City's <br />investment (considered 5 percent or more) in the securities of a single issuer, excluding U.S. guaranteed <br />investments (such as Treasuries), investment pools, and mutual funds. The City's investment policy does <br />not limit the concentration of investments. The City holds 7.8% with Federal Home Mortgage Corp, <br />15.4% with Federal Home Bank, 76.8% with Fannie Mae. <br />Interest rate risk —This is the risk of potential variability in the fair value of fixed rate investments <br />resulting from changes in interest rates (the longer the period for which an interest rate is fixed, the <br />greater the risk). The City's investment policy does not address interest rate risk. The City holds all <br />investments to maturity. <br />B. Receivables <br />Governmental funds report deferred revenue in connection with receivables for revenues that are not <br />considered available to liquidate liabilities of the current period. Governmental funds also defer revenue <br />recognition in connection with resources that have been received, but not yet earned. At the end of the <br />current fiscal year, the various components of deferred revenue reported in the governmental funds were <br />as follows: <br />Unavailable <br />Special assessments not yet due (G.O. improvement bonds) $ 509,620 <br />Special assessments not yet due (Street construction) 713,322 <br />Total deferred /unearned revenue for governmental funds $ L222,942 <br />56 <br />