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Redevelopment Agency of the City of Redwood City 6.1. B. - Page 180 <br /> Notes to Basic Financial Statements, Continued <br /> For the year ended June 30, 2011 <br /> 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Continued <br /> B. Basis of Accouyiting/Measurerrient Focus, Co�rtinued <br /> Tl1e Reconciliation of t11e Fund Fulancial Statenlents to t11e Government-Wide Financial Statenlents is <br /> provided to e�lain the differences created by flze integrated approach of GASB Statenlent No. 34. <br /> C. Cc�sl� and Investments <br /> The Agency pools its available cash with the City for uzvestment purposes. The City considers pooled <br /> cash and investnlent anlounts with origulal nlaturities of three nlonths or less to be cash equivalents. <br /> In accordailce witll GASB Statemeilt No. 31, Accounting and Financirzl Peporting for Certain Inz�estments ancl <br /> for Exte��nc�l Investnzent Pools, highly liquid inarket investnlents wit11 inaturities of one year or less at tinle <br /> of purchase are stated at ainortized cost. All other investinents are stated at fair value. Market value is <br /> used as fair value for those securities for which nlarket quotations are readily available. <br /> The City participates in an investment pool managed by fl1e State of California titled Local Agency <br /> Investrilent Fund (LAIF), which has ulvested a portion of the pool funds in Structured Notes and Asset- <br /> Backed Securities. LAIF's investnlents are subject to credit risk with t11e full faith and credit of t11e State <br /> of California collateralizing these ulvestrnents. In addition, tllese Structured Notes and Asset-Backed <br /> Securities are subject to nlarket risk as to change in interest rates. <br /> Tl1e City is also a voluntary participant in the San Mateo County Investrnent Fund (County Pool) t11at is <br /> regulated by California Governnlent Code Section 16429 under tlle oversigllt of the Treasurer of the <br /> Cowlty. The City reports its ulvestnlent in the County Pool at tlle fair value anlount provided by the <br /> County. Included in the County Pool's investment portfolio are US Treasury Notes, Obligations issued <br /> by agencies of the United States Governnleilt, LAIF, Corporate Notes, Coninlercial Paper, collateralized <br /> nlortgage obligations, mortgage-backed securities, other asset-backed securities, and floating rate <br /> securities issued by federal agencies, governnlent-sponsored eilterprises, and corporations. <br /> D. Receivables <br /> During t11e course of ilorinal operations, tlle Agency carries various receivable balances for taxes, <br /> ulterest, and loan assistance services. Receivables are sho�mm �et of an allowance for doubtful accounts. <br /> As of June 30, 2011, no allowance was required to be recorded. <br /> E. CapitalAssets <br /> Capital assets are valued at historical cost or estimated historical cost if actual historical cost was not <br /> available. Contributed capital assets are valued at their estimated fair nlarket value on the date <br /> contributed. Agency's policy is to capitalize all assets with costs exceeding certain nlulinlum <br /> thresholds, $5,000 for machuzery and equipment, $100,000 for buildings, improvements, and <br /> ulfrastructure, and with useful lives exceedulg two years. <br /> ?� <br />