b"Capital Region Airport Commission NOTES TO FINANCIAL STATEMENTS June 30, 2025 and 2024 Note 3.CASH, CASH EQUIVALENTS AND INVESTMENTS (continued) Interest and credit risk: Interest rate risk is the risk that the value of investments will decrease as a result of a rise in interest rates. The Commission currently has no formal policy relating to interest rate risk.The Commissions cash equivalents and investments at June 30, 2025, except for those relating to money marketfunds,arecategorizedbelowtogiveanindicationofthelevelofriskassumedbythe Commission at year-end:Investment Maturities and Ratings for 2025Moody's Less Than 12Quality Investment Type Fair Value months Over 12 months RatingsFederal Home Loan Banks $ 736,689 $ - $736,689 Aa1Federal Home Loan Mortgage Corp 1,988,655 - 1,988,655 Aa1 Federal Farm Credit Banks Funding Corp378,274 - 378,274 Aa1 $3,103,618 $ - $3,103,618Investment Maturities and Ratings for 2024Less Than 12Quality Investment Type Fair Value months Over 12 months RatingsFederal National Mortgage Association $ 424,274 $ - $424,274 AaaFederal Home Loan Banks704,427 - 704,427 Aaa Federal Home Loan Mortgage Corp 1,898,831 - 1,898,831 Aaa Federal Farm Credit Banks Funding Corp356,454 - 356,454 Aaa $3,383,986 $ - $3,383,986Fair Value Measurements: Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Commission categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of the asset. The Commission maximizes the use of observable inputs and minimizes the use of unobservable inputs. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from independent sources. Unobservable inputs reflect assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances. The fair value hierarchy categorizes the inputs to valuation techniques used to measure fair value into three levels as follows:Level 1 are quoted prices (unadjusted) for identical assets or liabilities in active markets that agovernment can access at a measurement date. Level 2 are directly or indirectly observable inputs for the asset or liability other than quotedprices. Level 3 are unobservable inputs that are supported by little or no market activity for the asset orliability.Inputs are used in applying the various valuation techniques and broadly refer to the assumptions that market participants use to make valuation decisions, including assumptions about risk. 30"