Strategy Summary:

The Federal Open Market Committee (FOMC) maintained the Fed Funds target range between 0.00% and 0.25% (actual Fed Funds traded <10 bps). The FOMC continued Quantitative Easing (QE3) and downplayed the potential tapering of the monthly security purchases (tapering now projected for early 2014). Overall employment and economic activity remains moderate with preliminary third quarter GDP of 3.6%. The US stock markets touched new highs. Financial institution deposit yields faced downward pressure, but still provide the best interest earnings opportunity. Government securities yields have risen and may become an attractive option.

Quarter End Results by Investment Category:

Asset Type Demand/Pools/MMMF Securities/CDs Totals

August 31, 2013 Book Value Market Value $ 74,592,866 $ 74,592,866 82,832,985 82,822,943 $ 157,425,851 $ 157,415,809

November 30, 2013 Book Value Market Value $ 69,735,868 $ 69,735,868 61,894,887 61,892,524 $ 131,630,756 $ 131,628,392

Average Yield for Current Quarter (1) Total Portfolio Average Yield 1 year Treasury Note

Ave. Yield 0.12% 0.46%

Fiscal Year-to-Date Average Yield (2) 0.28% 0.13%

Total Portfolio Average Yield 1 year Treasury Note

0.28% 0.13%

Interest Income Quarter Fiscal Year to Date

$ $

99,123 99,123

(1) Average Yield for Current Quarter is calculated using quarter end report yield and adjusted book values and does not reflect a total return analysis or account for advisory fees. (2) Fiscal Year-to-Date Average Yields calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees.

Valley View Consulting, L.L.C. did not provide investment advice on all investment transactions. Valley View Consulting, L.L.C.

Page 1.

Treasury Yield Curves 3.00

2.50

Percentage

2.00

1.50

1.00

0.50

0.00

November 30, 2012

August 30, 2013

November 29, 2013

Valley View Consulting, L.L.C.

Page 2.

US Treasury Historical Yields 7.50 7.00 6.50 6.00 5.50 5.00

Percentage

4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0.00

Six Month T-Bill

Two Year T-Note

Ten Year T-Note

Valley View Consulting, L.L.C.

Page 3.

2,000

S&P 500

1,750 1,500 1,250 1,000 750 500 250 0

Valley View Consulting, L.L.C.

Page 4.

Detail of Investment Holdings November 30, 2013 Description Bank of America - Cash BBVA Compass - Cash US Bank - Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA - Libor+ TexPool Comerica Bank CD Southside Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Brownsville ISD Muni

Ratings Coupon 0.00% 0.00% 0.00% 0.00% 0.20% 0.26% AAAm 0.04%

Aaa/AAA

0.27% 0.34% 0.28% 0.34% 0.41% 0.49% 0.57% 0.54% 0.53% 0.55% 0.98% 4.00%

Maturity Settlement Date Date Par Value 12/01/13 11/30/13 $ 2,822,891 12/01/13 11/30/13 4,496,645 12/01/13 11/30/13 170,000 12/01/13 11/30/13 12,833,254 12/01/13 11/30/13 12,362,867 12/01/13 11/30/13 19,542,920 12/01/13 11/30/13 17,507,291 12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17

01/22/13 01/03/13 01/22/13 01/22/13 01/22/13 01/22/13 11/26/12 04/12/13 06/18/13 07/25/13 07/11/13 06/26/13

Purchased Value $ 2,822,891 4,496,645 170,000 12,833,254 12,362,867 19,542,920 17,507,291

Book Value $ 2,822,891 4,496,645 170,000 12,833,254 12,362,867 19,542,920 17,507,291

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 500,000

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 549,603

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 549,603

$ 131,581,152

$ 131,630,756

$ 131,630,756

Market Market Life Price Value (days) 100.000 $ 2,822,891 1 100.000 7,968,798 1 100.000 170,000 1 100.000 9,361,100 1 100.000 12,362,867 1 100.000 19,542,920 1 100.000 17,507,291 1

Yield 0.00% 0.00% 0.00% 0.00% 0.20% 0.26% 0.04%

100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 100.000 109.448

1 34 37 122 213 305 361 499 565 604 954 1,354

0.27% 0.34% 0.28% 0.34% 0.41% 0.49% 0.57% 0.54% 0.53% 0.55% 0.98% 1.25%

140

0.28%

(1)

(2)

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 547,240 $ 131,628,392

(1) Weighted average life - For purposes of calculating weighted average life bank, pool, and money market investments are assumed to mature the next business day. (2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank, pool, and money market investments. Valley View Consulting, L.L.C. did not provide investment advice on all investment transactions.

Valley View Consulting, L.L.C.

Page 5.

Portfolio Composition Certificates of Deposit 47%

Agency Bullets 0%

Bank Accounts 6%

Pool, MMA & MMMF 47%

Valley View Consulting, L.L.C. Page 6.

Book Value Maturity Distribution

Total Portfolio $80,000,000

$270,000,000

$70,000,000

$220,000,000 $60,000,000

$50,000,000 $170,000,000

$40,000,000

$120,000,000

$30,000,000

$20,000,000 $70,000,000 $10,000,000

$0

$20,000,000

Quarter End Book Value

Maturity Date

Call Date

* Pre 2010 reported information derived from previous manager reports and does not include all accounts and funds

Valley View Consulting, L.L.C.

Page 7.

Book Value Comparison Description Bank of America - Cash BBVA Compass - Cash US Bank - Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA - Libor+ TexPool Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Southside Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Brownsville ISD Muni

Coupon 0.00% 0.00% 0.00% 0.00% 0.20% 0.26% 0.04%

Yield 0.00% 0.00% 0.00% 0.00% 0.20% 0.26% 0.04%

Maturity Date 12/01/13 12/01/13 12/01/13 12/01/13 12/01/13 12/01/13 12/01/13

0.23% 0.23% 0.25% 0.25% 0.26% 0.26% 0.27% 0.34% 0.28% 0.34% 0.41% 0.49% 0.57% 0.54% 0.53% 0.55% 0.98% 4.00%

0.23% 0.23% 0.25% 0.25% 0.26% 0.26% 0.27% 0.34% 0.28% 0.34% 0.41% 0.49% 0.57% 0.54% 0.53% 0.55% 0.98% 1.25%

09/03/13 09/03/13 10/01/13 10/01/13 11/01/13 11/01/13 12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17

August 31, 2013 Par Value Book Value $ 2,874,990 $ 2,874,990 7,323,463 7,323,463 $ 170,000 $ 170,000 17,779,814 17,779,814 12,356,856 12,356,856 18,028,818 18,028,818 16,058,924 16,058,924 2,000,000 3,000,000 5,000,000 3,000,000 5,000,000 3,000,000 3,000,000 3,606,072 4,000,000 10,019,765 10,023,838 10,028,495 6,527,764 5,409,753 3,603,189 3,017,046 2,044,125 500,000

2,000,000 3,000,000 5,000,000 3,000,000 5,000,000 3,000,000 3,000,000 3,606,072 4,000,000 10,019,765 10,023,838 10,028,495 6,527,764 5,409,753 3,603,189 3,017,046 2,044,125 552,937

$ 157,372,914

$ 157,425,851

Valley View Consulting, L.L.C.

Purchase/ Adjustment $

-

6,011 1,514,102 1,448,367

November 30, 2013 Maturity/Call/ Adjustment Par Value Book Value $ (52,099) $ 2,822,891 $ 2,822,891 (2,826,819) 4,496,645 4,496,645 170,000 170,000 (4,946,561) 12,833,254 12,833,254 12,362,867 12,362,867 19,542,920 19,542,920 17,507,291 17,507,291 (2,000,000) (3,000,000) (5,000,000) (3,000,000) (5,000,000) (3,000,000) 3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 500,000

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 549,603

$ (28,828,812) $ 131,581,152

$ 131,630,756

3,090 8,589 10,362 12,391 9,383 7,367 4,816 4,184 5,053 (3,334) $

3,033,716

Page 8.

Market Value Comparison Description Bank of America - Cash BBVA Compass - Cash US Bank - Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA - Libor+ TexPool Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Southside Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Comerica Bank CD Brownsville ISD Muni

Coupon 0.00% 0.00% 0.00% 0.00% 0.20% 0.26% 0.04%

Yield 0.00% 0.00% 0.00% 0.00% 0.19% 0.28% 0.04%

Maturity Date 12/01/13 12/01/13 12/01/13 12/01/13 12/01/13 12/01/13 12/01/13

0.23% 0.23% 0.25% 0.25% 0.26% 0.26% 0.27% 0.34% 0.28% 0.34% 0.41% 0.49% 0.57% 0.54% 0.53% 0.55% 0.98% 4.00%

0.23% 0.23% 0.25% 0.25% 0.26% 0.26% 0.27% 0.34% 0.28% 0.34% 0.41% 0.49% 0.57% 0.54% 0.53% 0.55% 0.98% 1.25%

09/03/13 09/03/13 10/01/13 10/01/13 11/01/13 11/01/13 12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17

August 31, 2013 Par Value Market Value $ 2,874,990 $ 2,874,990 7,323,463 11,700,995 170,000 170,000 17,779,814 13,402,283 12,356,856 12,356,856 18,028,818 18,028,818 16,058,924 16,058,924

Qtr to Qtr Change $ (52,099) (3,732,197) (4,041,183) 6,011 1,514,102 1,448,367

November 30, 2013 Par Value Market Value $ 2,822,891 $ 2,822,891 4,496,645 7,968,798 170,000 170,000 12,833,254 9,361,100 12,362,867 12,362,867 19,542,920 19,542,920 17,507,291 17,507,291

2,000,000 3,000,000 5,000,000 3,000,000 5,000,000 3,000,000 3,000,000 3,606,072 4,000,000 10,019,765 10,023,838 10,028,495 6,527,764 5,409,753 3,603,189 3,017,046 2,044,125 500,000

2,000,000 3,000,000 5,000,000 3,000,000 5,000,000 3,000,000 3,000,000 3,606,072 4,000,000 10,019,765 10,023,838 10,028,495 6,527,764 5,409,753 3,603,189 3,017,046 2,044,125 542,895

(2,000,000) (3,000,000) (5,000,000) (3,000,000) (5,000,000) (3,000,000) 3,090 8,589 10,362 12,391 9,383 7,367 4,816 4,184 5,053 4,345

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 500,000

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 547,240

$ 157,372,914

$ 157,415,809

$ (25,787,417)

$ 131,581,152

$ 131,628,392

Valley View Consulting, L.L.C.

Page 9.

Allocation - Book Value November 30, 2013 Description

Portfolio Total

Bank of America - Cash BBVA Compass - Cash US Bank - Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA - Libor+ TexPool

$

12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17 Totals

Operating Fund

2,822,891 4,496,645 170,000 12,833,254 12,362,867 19,542,920 17,507,291

$

1,615,393 3,627,430

Interest & GO Interest & Sinking Fund Sinking Fund $

6,867

$

-

Revenue Bond 2009 Fund $ -

131,630,756

$

-

170,000 2,818,601 19,542,920 1,594,363

1,919,059

7,625,208 817,153

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 549,603 $

Reserve Fund

5,417,120 3,608,005 2,049,179 549,603 $ 29,198,707

$

2,095,926

Valley View Consulting, L.L.C.

$

817,153

$

7,625,208

$ 11,623,907

Page 10.

Allocation - Book Value November 30, 2013 2010 Projects 2012 Projects Fund Fund (Hays)

Description Bank of America - Cash BBVA Compass - Cash US Bank - Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA - Libor+ TexPool

$

-

$

3,472,154

$

PFC Reserve Fund

PFC Project Fund -

$

5,378,869

-

702,037

$

-

PFC Repair & Replace Fund $ -

197

300,335

PFC Payment Account -

$

2,979,663

Auxiliary Funds $ 1,200,631 869,215

15,095,775 3,000,000

12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17 Totals

-

Revenue Bonds 2012

3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147

3,021,230

$ 3,472,154

$

8,988,032

$ 52,199,215

$

702,037

Valley View Consulting, L.L.C.

$ 9,516,809

$

197

$

300,335

$ 5,091,076

Page 11.

Allocation - Market Value November 30, 2013 Description

Portfolio Total

Bank of America - Cash BBVA Compass - Cash US Bank - Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA - Libor+ TexPool

$

12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17

2,822,891 7,968,798 170,000 9,361,100 12,362,867 19,542,920 17,507,291

Operating Fund $ 1,615,393 3,627,430

Interest & Sinking Fund

GO Interest & Sinking Fund

Revenue Bond 2009 Fund

$

$

$

6,867

-

-

131,628,392

$

-

170,000 2,818,601 19,542,920 1,594,363

1,919,059

7,625,208 817,153

3,000,000 3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147 5,417,120 3,608,005 3,021,230 2,049,179 547,240 $

Reserve Fund

5,417,120 3,608,005 2,049,179 547,240 $ 29,198,707

$ 2,095,926

Valley View Consulting, L.L.C.

$

817,153

$ 7,625,208

$ 11,621,544

Page 12.

Allocation - Market Value November 30, 2013 2010 Projects 2012 Projects Fund Fund (Hays)

Description Bank of America - Cash BBVA Compass - Cash US Bank - Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA - Libor+ TexPool

$

3,472,154

$

-

Revenue Bonds 2012 $

PFC Payment Account

PFC Project PFC Reserve Fund Fund -

$

5,378,869

-

702,037

$

-

$

2,979,663

PFC Repair & Replace Fund -

197

$

-

Auxiliary Funds $

1,200,631 869,215

300,335

15,095,775 3,000,000

12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17

3,609,163 4,000,000 10,028,354 10,034,200 10,040,886 6,537,147

3,021,230

$ 3,472,154

$

8,988,032

$ 52,199,215

$

702,037

Valley View Consulting, L.L.C.

$ 9,516,809

$

197

$ 300,335

$ 5,091,076

Page 13.

Allocation - Book Value August 31, 2013 Description Bank of America - Cash BBVA Compass - Cash US Bank Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA-Libor+ TexPool

$

09/03/13 09/03/13 10/01/13 10/01/13 11/01/13 11/01/13 12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17 Totals

Operating Fund

Portfolio Total

$

2,874,990 7,323,463 170,000 17,779,814 12,356,856 18,028,818 16,058,924

$

1,538,203 6,816,660

Interest & GO Interest & Sinking Fund Sinking Fund $

2,817,230 18,028,818 652,996

2,000,000 3,000,000 5,000,000 3,000,000 5,000,000 3,000,000 3,000,000 3,606,072 4,000,000 10,019,765 10,023,838 10,028,495 6,527,764 5,409,753 3,603,189 3,017,046 2,044,125 552,937

2,000,000

157,425,851

$ 41,853,908

-

$

-

Revenue Bond 2009 Fund $ -

1,918,125

Reserve Fund $

-

7,621,500 817,062

5,000,000 5,000,000

5,409,753 3,603,189 2,044,125 552,937 $

1,918,125

Valley View Consulting, L.L.C.

$

817,062

$

7,621,500

$ 11,610,005

Page 14.

Allocation - Book Value August 31, 2013 2010 Projects Revenue 2012 Projects Fund Bond 2011A Fund (Hays)

Description Bank of America - Cash BBVA Compass - Cash US Bank Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA-Libor+ TexPool

$

-

$

-

-

$

PFC Reserve Fund

PFC Project Fund -

$

-

$

PFC Repair & Auxiliary Replace Funds Fund - $ - $ 1,336,787 506,803

PFC Payment Account -

$

170,000 4,377,532

9,417,096

705,069

2,979,663

121

300,335

14,588,866

09/03/13 09/03/13 10/01/13 10/01/13 11/01/13 11/01/13 12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17 Totals

$

Revenue Bonds 2012

3,000,000 3,000,000 3,000,000 3,000,000 3,606,072 4,000,000 10,019,765 10,023,838 10,028,495 6,527,764

3,017,046

$ 4,377,532

$

170,000

$ 13,023,168

$ 60,660,964

$

Valley View Consulting, L.L.C.

705,069

$ 9,507,426

$

121

$

300,335

$ 4,860,636

Page 15.

Allocation - Market Value August 31, 2013 Description

Portfolio Total

Bank of America - Cash BBVA Compass - Cash US Bank Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA-Libor+ TexPool

$

09/03/13 09/03/13 10/01/13 10/01/13 11/01/13 11/01/13 12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17

2,874,990 11,700,995 170,000 13,402,283 12,356,856 18,028,818 16,058,924 2,000,000 3,000,000 5,000,000 3,000,000 5,000,000 3,000,000 3,000,000 3,606,072 4,000,000 10,019,765 10,023,838 10,028,495 6,527,764 5,409,753 3,603,189 3,017,046 2,044,125 542,895

$ 157,415,809

Operating Fund $

1,538,203 6,816,660

2,817,230 18,028,818 652,996

Interest & Sinking Fund

GO Interest & Sinking Fund

Revenue Bond 2009 Reserve Fund Fund

$

$

$

-

-

1,918,125

-

$

-

7,621,500 817,062

2,000,000 5,000,000 5,000,000

5,409,753 3,603,189 2,044,125 542,895 $ 41,853,908

$ 1,918,125

Valley View Consulting, L.L.C.

$

817,062

$ 7,621,500

$ 11,599,963

Page 16.

Allocation - Market Value August 31, 2013 2010 Projects Revenue 2012 Projects Fund Bond 2011A Fund (Hays)

Description Bank of America - Cash BBVA Compass - Cash US Bank Cash First Amer Govt Oblig MMMF Southside Bank MMA BBVA Compass MMA-Libor+ TexPool

$

4,377,532

$

-

$

-

PFC Repair PFC Project PFC Reserve PFC Payment & Replace Fund Fund Account Fund

Revenue Bonds 2012 $

-

$

-

$

-

$

-

$

-

Auxiliary Funds $

1,336,787 506,803

170,000 9,417,096

705,069

2,979,663

121

300,335

14,588,866

09/03/13 09/03/13 10/01/13 10/01/13 11/01/13 11/01/13 12/01/13 01/03/14 01/06/14 04/01/14 07/01/14 10/01/14 11/26/14 04/13/15 06/18/15 07/27/15 07/11/16 08/15/17

3,000,000 3,000,000 3,000,000 3,000,000 3,606,072 4,000,000 10,019,765 10,023,838 10,028,495 -

6,527,764

3,017,046

$ 4,377,532

$

170,000

$ 13,023,168

$ 60,660,964

$

Valley View Consulting, L.L.C.

705,069

$ 9,507,426

$

121

$ 300,335

$

4,860,636

Page 17.

Total Portfolio Performance 0.90 0.80 0.70

Percentage

0.60 0.50 0.40 0.30 0.20 0.10 0.00

One Year Treasury

Weighted Average Yield

Valley View Consulting, L.L.C.

Page 18.