2021 Annual Comprehensive Financial Report

high quality debt securities eligible under G.S. 147-69.2(b)(1)-(6), and BlackRock’s MSCI ACWI EQ Index Non-Lendable Class B Fund (EIF) authorized under G.S. 147-69.2(b)(8). Under the authority of G.S. 147-69.3, no unrealized gains or losses of the STIF are distributed to participants of the fund. The BIF is also valued at $1 per share. The MSCI ACWI EQ Index Non-Lendable Class B Fund is priced at $32.24591 per share at June 30, 2021. General Statute 159-30.2 allows the City to establish a Law Enforcement Special Separation Allowance Trust and G.S. 147 69.2 (65) allows the State Treasurer to invest deposits by the City into this Trust in the same manner as the OPEB Trust in the same three sub-funds outlined above. Interest income earned in the Capital Projects funds, amounting to $170,764 was assigned to the Debt Service Fund.

Valuation Measurement

Weighted Average

Method

Reported/Fair Value

Maturity (Year)

Investment Type

U.S. Government Agencies

Fair Value - Level 2 Fair Value - Level 2 Amortized Cost Fair Value - Level 2 Fair Value - Level 1 Amortized Cost Fair Value - Level 2 Fair Value - Level 1 Fair Value - Level 1 Amortized Cost

$

286,699,440 41,982,480 2,007,556 10,526,158 21,876,743

1.34263 0.17744 0.00375 0.01967 0.04088 0.00002 0.00553 0.01199 0.00068 0.00376

Commercial Paper

OPEB - STIF OPEB - BIF OPEB - EIF

LEOSSA - STIF LEOSSA - BIF LEOSSA - EIF

8,777

2,958,062 6,419,578

NCCMT Government Portfolio

131,227,978

M&F Bank

2,012,209

US Bank Trust Account: US Government Agencies

Fair Value - Level 2

21,920,724 527,639,705

0.04096

Total Fair Value

$

Portfolio Weighted Average Maturity

1.64731

All investments are measured using the market approach: using prices and other relevant information generated by market transactions involving identical or comparable assets or a group of assets. Level of fair value hierarchy: Level 1: Financial instruments are valued using directly observable, quoted prices (unadjusted) in active markets for identical assets. Level 2: Financial instruments are valued using a matrix pricing technique. Matrix pricing is used to value securities based on the securities’ benchmark quoted prices. Interest Rate Risk In accordance with the formal approved City of Greensboro’s Charter, Article III, Section 4.71, the Investment Manager (Assistant Treasurer) prepares a memo describing investment transactions in detail as they are purchased. This memo is sent to the Mayor, the City Manager and the Finance Director (Treasurer) for signature approval and then returned to the Investment Manager. Although the investment policy has not been formally approved by the City Council, the City has an investment policy guideline, an internally approved Finance Department document that follows North Carolina General Statute 159-30. As a means of limiting the City’s exposure to declines in fair market values from rising interest rates, the City limits the weighted average maturity of its investments to less than 3.5 years. Also, the City purchases securities in a structured ladder with stated maturity dates to limit interest rate risk. The State Treasurer’s STIF is unrated and had a weighted average maturity of 1.3 years at June 30, 2021. The State Treasurer’s BIF is unrated and had an average maturity of 8.34 years at June 30, 2021.

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