Some of the children asked him why he was acting the way he was and Pauley told them most people did what he was doing.
Pauley continued to talk to the children because he was "lonely and was enjoying their company", the summary said.
He told police he had become stressed with ongoing issues in his life relating to debt and other problems. He said he accepted he needed medical help and that previous prison sentences had never helped him address his behaviour.
The court had heard that Pauley had 34 previous convictions for doing an indecent act in a public place.
All of his offending was done during daylight hours.
The court was also told Pauley was previously handed a jail term for this offending and was released from prison in December.
Judge Graham Hubble remanded Pauley in custody for sentencing on May 14.