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Investment Securities (Tables)
 9 Months Ended
Sep. 30, 2024
Investments, Debt and Equity Securities [Abstract]  
Schedule of Held-to-Maturity Amortized Cost and Fair Value
A summary of the amortized cost, fair value and allowance for credit losses related to securities held-to-maturity as of September 30, 2024 and December 31, 2023 is presented below.
Held-to-maturity:
Amortized Cost 1
Allowance for Credit LossesNet Carrying AmountGross UnrealizedFair Value
(in thousands)Gains(Losses)
September 30, 2024
Securities of U.S. government-sponsored enterprises:
   CMBS issued by FHLMC, FNMA and GNMA$243,622 $— $243,622 $— $(28,231)$215,391 
CMOs issued by FHLMC, FNMA and GNMA214,385 — 214,385 97 (12,732)201,750 
MBS pass-through securities issued by FHLMC, FNMA and GNMA196,247 — 196,247 24 (23,301)172,970 
SBA-backed securities1,514 — 1,514 — (43)1,471 
Debentures of government-sponsored agencies141,357 — 141,357 — (17,775)123,582 
Obligations of state and political subdivisions61,679 — 61,679 6 (6,698)54,987 
Corporate bonds30,000 — 30,000 — (627)29,373 
Total held-to-maturity$888,804 $— $888,804 $127 $(89,407)$799,524 
December 31, 2023
Securities of U.S. government-sponsored enterprises:
  CMBS issued by FHLMC, FNMA and GNMA$247,441 $— $247,441 $— $(35,071)$212,370 
  CMOs issued by FHLMC, FNMA and GNMA228,761 — 228,761 28 (16,882)211,907 
MBS pass-through securities issued by FHLMC, FNMA and GNMA208,983 — 208,983 — (27,326)181,657 
  SBA-backed securities1,853 — 1,853 — (90)1,763 
Debentures of government-sponsored agencies146,126 — 146,126 — (21,994)124,132 
Obligations of state and political subdivisions62,034 — 62,034 47 (7,884)54,197 
Corporate bonds30,000 — 30,000 — (1,196)28,804 
Total held-to-maturity$925,198 $— $925,198 $75 $(110,443)$814,830 
1 Amortized cost and fair values exclude accrued interest receivable of $2.5 million and $3.6 million at September 30, 2024 and December 31, 2023, respectively, which is included in interest receivable and other assets in the consolidated statements of condition.
Schedule of Bond Ratings for Held-to-Maturity Securities
The following table summarizes the amortized cost of our portfolio of held-to-maturity securities issued by states and political subdivisions and corporate bonds by Moody's and/or Standard & Poor's bond ratings as of September 30, 2024 and December 31, 2023.
Obligations of state and political subdivisionsCorporate bonds
(in thousands)September 30, 2024December 31, 2023September 30, 2024December 31, 2023
Aaa / AAA$42,265 $42,577 $— $— 
Aa1 / AA+19,414 19,457 — — 
A2 / A— — 30,000 30,000 
Total$61,679 $62,034 $30,000 $30,000 
Schedule of Available-for-Sale Securities Amortized Cost and Fair Value
A summary of the amortized cost, fair value and allowance for credit losses related to securities available-for-sale as of September 30, 2024 and December 31, 2023 is presented below.
Available-for-sale:
Amortized Cost 1
Gross UnrealizedAllowance for Credit LossesFair Value
(in thousands)Gains(Losses)
September 30, 2024
Securities of U.S. government-sponsored enterprises:
   CMBS issued by FHLMC, FNMA and GNMA$194,316 $404 $(3,942)$— $190,778 
CMOs issued by FHLMC, FNMA and GNMA44,208 20 (5,248)— 38,980 
MBS pass-through securities issued by FHLMC, FNMA and GNMA31,520 3 (3,823)— 27,700 
SBA-backed securities332 — (18)— 314 
Debentures of government- sponsored agencies8,971 — (1,463)— 7,508 
U.S. Treasury securities11,937 — (962)— 10,975 
Obligations of state and political subdivisions95,782 — (9,427)— 86,355 
Corporate bonds6,000 — (422)— 5,578 
Total available-for-sale$393,066 $427 $(25,305)$— $368,188 
December 31, 2023
Securities of U.S. government-sponsored enterprises:
   CMBS issued by FHLMC, FNMA and GNMA$160,968 $— $(13,279)$— 147,689 
   CMOs issued by FHLMC, FNMA and GNMA153,689 — (17,420)— 136,269 
MBS pass-through securities issued by FHLMC, FNMA and GNMA77,680 2 (9,168)$— 68,514 
SBA-backed securities21,126 — (1,655)— 19,471 
Debentures of government- sponsored agencies73,899 — (7,037)— 66,862 
U.S. Treasury securities11,923 — (1,300)10,623 
Obligations of state and political subdivisions102,202 1 (10,321)— 91,882 
Corporate bonds11,992 — (1,274)— 10,718 
Total available-for-sale$613,479 $3 $(61,454)$— $552,028 
1 Amortized cost and fair value exclude accrued interest receivable of $1.6 million and $2.3 million at September 30, 2024 and December 31, 2023, respectively, which is included in interest receivable and other assets in the consolidated statements of condition.
Schedule of Investments Classified by Contractual Maturity Date
The amortized cost and fair value of investment debt securities by contractual maturity at September 30, 2024 and December 31, 2023 are shown below. Expected maturities may differ from contractual maturities if the issuers of the securities have the right to call or prepay obligations with or without call or prepayment penalties.
 September 30, 2024December 31, 2023
 Held-to-MaturityAvailable-for-SaleHeld-to-MaturityAvailable-for-Sale
(in thousands)Amortized CostFair ValueAmortized CostFair ValueAmortized CostFair ValueAmortized CostFair Value
Within one year$36,491 $36,300 $68,969 $68,925 $— $— $101 $100 
After one but within five years118,449 113,039 127,751 124,740 87,887 84,541 226,669 208,444 
After five years through ten years230,261 200,089 45,908 40,767 304,976 261,654 95,552 85,447 
After ten years503,603 450,096 150,438 133,756 532,335 468,635 291,157 258,037 
Total$888,804 $799,524 $393,066 $368,188 $925,198 $814,830 $613,479 $552,028 
Schedule of Sale of Investment Securities and Gross Gains and Losses
Sales of investment securities and gross gains and losses are shown in the following table:
 Three months endedNine months ended
(in thousands)September 30, 2024September 30, 2023September 30, 2024September 30, 2023
Available-for-sale:
Sales proceeds$— $79,840 $292,621 $79,840 
Gross realized gains— 5 — 5 
Gross realized losses— (2,798)(32,541)(2,798)
Sale of equity securities: 1
Sales proceeds— 2,807 — 2,807 
Gross realized gain— 2,807 — 2,807 
1 Refer to VISA Inc. Class B Common Stock section below for more information.
Schedule of Financial Instruments Owned and Pledged as Collateral
The reported values of pledged investment securities are shown in the following table.
(in thousands)September 30, 2024December 31, 2023
Pledged to the State of California:
Secure public deposits in compliance with the Local Agency Security Program$277,095 $287,436 
Collateral for trust deposits934 666 
   Collateral for Wealth Management and Trust Services checking account1,310 562 
Total investment securities pledged to the State of California279,339 288,664 
Bankruptcy trustee deposits pledged with Federal Reserve Bank729 1,151 
Pledged to FHLB Securities-Backed Credit Program288,162 383,484 
Pledged to the Federal Reserve "BTFP"— 265,660 
Pledged to the Federal Reserve Discount Window369,499 — 
Total pledged investment securities$937,729 $938,959 
Schedule of Unrealized Loss on Investments Those securities are summarized and classified according to the duration of the loss period in the tables below:
September 30, 2024< 12 continuous months≥ 12 continuous monthsTotal securities
 in a loss position
(in thousands)Fair valueUnrealized lossFair valueUnrealized lossFair valueUnrealized loss
Held-to-maturity:
CMBS issued by FHLMC, FNMA and GNMA$8,888 $(35)$206,503 $(28,196)$215,391 $(28,231)
CMOs issued by FHLMC, FNMA and GNMA7,819 (1,204)182,278 (11,528)190,097 (12,732)
MBS pass-through securities issued by FHLMC, FNMA and GNMA— — 169,133 (23,301)169,133 (23,301)
SBA-backed securities— — 1,471 (43)1,471 (43)
Debentures of government-sponsored agencies— — 123,582 (17,775)123,582 (17,775)
Obligations of state and political subdivisions4,057 (1)45,312 (6,697)49,369 (6,698)
Corporate bonds29,373 (627)29,373 (627)
Total held-to-maturity20,764 (1,240)757,652 (88,167)778,416 (89,407)
Available-for-sale:
CMBS issued by FHLMC, FNMA and GNMA76,278 (92)60,550 (3,850)136,828 (3,942)
CMOs issued by FHLMC, FNMA and GNMA— — 36,052 (5,248)36,052 (5,248)
MBS pass-through securities issued by FHLMC, FNMA and GNMA— — 27,535 (3,823)27,535 (3,823)
SBA-backed securities— — 314 (18)314 (18)
Debentures of government- sponsored agencies— — 7,508 (1,463)7,508 (1,463)
U.S. Treasury securities— — 10,975 (962)10,975 (962)
Obligations of state and political subdivisions— — 86,355 (9,427)86,355 (9,427)
Corporate bonds— — 5,578 (422)5,578 (422)
Total available-for-sale76,278 (92)234,867 (25,213)311,145 (25,305)
Total securities at loss position$97,042 $(1,332)$992,519 $(113,380)$1,089,561 $(114,712)
December 31, 2023< 12 continuous months≥ 12 continuous monthsTotal securities
 in a loss position
(in thousands)Fair valueUnrealized lossFair valueUnrealized lossFair valueUnrealized loss
Held-to-maturity:
CMBS issued by FHLMC, FNMA and GNMA$10,988 $(244)$201,383 $(34,826)$212,371 $(35,070)
CMOs issued by FHLMC, FNMA and GNMA51,136 (432)156,515 (16,451)207,651 (16,883)
MBS pass-through securities issued by FHLMC, FNMA and GNMA— — 181,656 (27,326)181,656 (27,326)
SBA-backed securities— — 1,763 (90)1,763 (90)
Debentures of government- sponsored agencies— — 124,132 (21,994)124,132 (21,994)
Obligations of state and political subdivisions— — 44,437 (7,884)44,437 (7,884)
Corporate Bonds— — 28,804 (1,196)28,804 (1,196)
Total held-to-maturity62,124 (676)738,690 (109,767)800,814 (110,443)
Available-for-sale:
CMBS issued by FHLMC, FNMA and GNMA1,235 (7)146,454 (13,272)147,689 (13,279)
CMOs issued by FHLMC, FNMA and GNMA— — 136,269 (17,420)136,269 (17,420)
MBS pass-through securities issued by FHLMC, FNMA and GNMA— — 68,237 (9,168)68,237 (9,168)
SBA-backed securities— — 19,471 (1,655)19,471 (1,655)
Debentures of government- sponsored agencies— — 66,862 (7,037)66,862 (7,037)
U.S. Treasury securities— — 10,623 (1,300)10,623 (1,300)
Obligations of state and political subdivisions666 (1)90,655 (10,320)91,321 (10,321)
Corporate Bonds— — 10,718 (1,274)10,718 (1,274)
Total available-for-sale1,901 (8)549,289 (61,446)551,190 (61,454)
Total securities at loss position$64,025 $(684)$1,287,979 $(171,213)$1,352,004 $(171,897)