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HomeMy WebLinkAboutAgenda Packet - EVWD Board of Directors - 04/22/2026BOARD OF DIRECTORS APRIL 22, 2026 East Valley Water District was formed in 1954 and provides water and wastewater services to 108,000 residents within the cities of San Bernardino and Highland, and portions of San Bernardino County. EVWD operates under the direction of a 5­member elected Board. GOVERNING BOARD EXECUTIVE MANAGEMENT Ronald L. Coats Chairman of the Board Brian W. Tompkins Chief Financial Officer Chris Carrillo Vice­Chairman Jeff Noelte Director of Engineering & Operations David E. Smith Governing Board Member Kerrie Bryan Director of Administrative Services Phillip R. Goodrich Governing Board Member Patrick Milroy  Operations Manager James Morales, Jr. Governing Board Member Manuel Moreno Water Reclamation Manager William Ringland Director of External Affairs & Customer Experience Michael Moore General Manager/CEO Ryan Ritualo Information Technology Manager Justine Hendricksen District Clerk Board of Directors Regular Meeting April 22, 2026 ­ 5:00 PM 31111 Greenspot Road, Highland, CA 92346 www.eastvalleywater.gov PLEASE NOTE: Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection in the District’s office located at 31111 Greenspot Rd., Highland, during normal business hours. Also, such documents are available on the District’s website at eastvalley.org and are subject to staff’s ability to post the documents before the meeting. Pursuant to Government Code Section 54954.2(a), any request for a disability­related modification or accommodation, including auxiliary aids or services, that is sought in order to participate in the above agendized public meeting should be directed to the District Clerk at (909) 885­4900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL OF BOARD MEMBERS PRESENTATIONS AND CEREMONIAL ITEMS Introduction of Newly Hired Employees Dustin Matheson, Field Service Worker I Cristina Nunez, Customer Service Representative I PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the March 25, 2026 Regular Board Meeting Minutes b.Approve the April 8, 2026 Regular Board Meeting Minutes c.Adopt Resolution 2023.10 ­ Accepting Dedication of Sewer System Improvements for the Piedmont Gate Guard Shack d.Adopt Resolutions 2026.03 and 2026.04 ­ Accepting Dedication of Water and Sewer System Improvements for Piedmont Park Estates Development e.Approve March 2026 Disbursements: Accounts payable disbursements for the period include check numbers 267106 through 267254, bank drafts, and ACH payments in the amount of $7,348,996.06 and $541,830.12 for payroll f.Accept and File Financial Statements for February 2026 g.Accept and File Investment Report for Quarter Ended March 31, 2026 3.INFORMATIONAL ITEMS a.FY 2026­27 Program Goals and Objectives Workshop 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Adoption of Resolution 2026.05, Adopting the Updated Investment Policy for Fiscal Year 2026­27 b.Consider Approving the Updated Purchasing/Procurement Policy for East Valley Water District 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report Water Supply Dashboard c.Legal Counsel Report d.Board of Directors’ Comments ADJOURN BOARD OF DIRECTORSAPRIL 22, 2026East Valley Water District was formed in 1954 and provides water and wastewater services to108,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5­member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTRonald L. CoatsChairman of the Board Brian W. TompkinsChief Financial OfficerChris CarrilloVice­Chairman Jeff NoelteDirector of Engineering & OperationsDavid E. SmithGoverning Board Member Kerrie BryanDirector of Administrative ServicesPhillip R. GoodrichGoverning Board Member Patrick Milroy Operations ManagerJames Morales, Jr.Governing Board Member Manuel MorenoWater Reclamation ManagerWilliam RinglandDirector of External Affairs & Customer ExperienceMichael Moore General Manager/CEO Ryan Ritualo Information Technology Manager Justine Hendricksen District Clerk Board of Directors Regular Meeting April 22, 2026 ­ 5:00 PM 31111 Greenspot Road, Highland, CA 92346 www.eastvalleywater.gov PLEASE NOTE: Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection in the District’s office located at 31111 Greenspot Rd., Highland, during normal business hours. Also, such documents are available on the District’s website at eastvalley.org and are subject to staff’s ability to post the documents before the meeting. Pursuant to Government Code Section 54954.2(a), any request for a disability­related modification or accommodation, including auxiliary aids or services, that is sought in order to participate in the above agendized public meeting should be directed to the District Clerk at (909) 885­4900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL OF BOARD MEMBERS PRESENTATIONS AND CEREMONIAL ITEMS Introduction of Newly Hired Employees Dustin Matheson, Field Service Worker I Cristina Nunez, Customer Service Representative I PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the March 25, 2026 Regular Board Meeting Minutes b.Approve the April 8, 2026 Regular Board Meeting Minutes c.Adopt Resolution 2023.10 ­ Accepting Dedication of Sewer System Improvements for the Piedmont Gate Guard Shack d.Adopt Resolutions 2026.03 and 2026.04 ­ Accepting Dedication of Water and Sewer System Improvements for Piedmont Park Estates Development e.Approve March 2026 Disbursements: Accounts payable disbursements for the period include check numbers 267106 through 267254, bank drafts, and ACH payments in the amount of $7,348,996.06 and $541,830.12 for payroll f.Accept and File Financial Statements for February 2026 g.Accept and File Investment Report for Quarter Ended March 31, 2026 3.INFORMATIONAL ITEMS a.FY 2026­27 Program Goals and Objectives Workshop 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Adoption of Resolution 2026.05, Adopting the Updated Investment Policy for Fiscal Year 2026­27 b.Consider Approving the Updated Purchasing/Procurement Policy for East Valley Water District 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report Water Supply Dashboard c.Legal Counsel Report d.Board of Directors’ Comments ADJOURN BOARD OF DIRECTORSAPRIL 22, 2026East Valley Water District was formed in 1954 and provides water and wastewater services to108,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5­member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTRonald L. CoatsChairman of the Board Brian W. TompkinsChief Financial OfficerChris CarrilloVice­Chairman Jeff NoelteDirector of Engineering & OperationsDavid E. SmithGoverning Board Member Kerrie BryanDirector of Administrative ServicesPhillip R. GoodrichGoverning Board Member Patrick Milroy Operations ManagerJames Morales, Jr.Governing Board Member Manuel MorenoWater Reclamation ManagerWilliam RinglandDirector of External Affairs & Customer ExperienceMichael MooreGeneral Manager/CEO Ryan RitualoInformation Technology ManagerJustine HendricksenDistrict ClerkBoard of Directors Regular MeetingApril 22, 2026 ­ 5:00 PM31111 Greenspot Road, Highland, CA 92346www.eastvalleywater.govPLEASE NOTE:Materials related to an item on this agenda submitted to the Board after distribution of theagenda packet are available for public inspection in the District’s office located at 31111Greenspot Rd., Highland, during normal business hours. Also, such documents are availableon the District’s website at eastvalley.org and are subject to staff’s ability to post thedocuments before the meeting.Pursuant to Government Code Section 54954.2(a), any request for a disability­relatedmodification or accommodation, including auxiliary aids or services, that is sought in orderto participate in the above agendized public meeting should be directed to the District Clerkat (909) 885­4900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL OF BOARD MEMBERS PRESENTATIONS AND CEREMONIAL ITEMS Introduction of Newly Hired Employees Dustin Matheson, Field Service Worker I Cristina Nunez, Customer Service Representative I PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the March 25, 2026 Regular Board Meeting Minutes b.Approve the April 8, 2026 Regular Board Meeting Minutes c.Adopt Resolution 2023.10 ­ Accepting Dedication of Sewer System Improvements for the Piedmont Gate Guard Shack d.Adopt Resolutions 2026.03 and 2026.04 ­ Accepting Dedication of Water and Sewer System Improvements for Piedmont Park Estates Development e.Approve March 2026 Disbursements: Accounts payable disbursements for the period include check numbers 267106 through 267254, bank drafts, and ACH payments in the amount of $7,348,996.06 and $541,830.12 for payroll f.Accept and File Financial Statements for February 2026 g.Accept and File Investment Report for Quarter Ended March 31, 2026 3.INFORMATIONAL ITEMS a.FY 2026­27 Program Goals and Objectives Workshop 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Adoption of Resolution 2026.05, Adopting the Updated Investment Policy for Fiscal Year 2026­27 b.Consider Approving the Updated Purchasing/Procurement Policy for East Valley Water District 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report Water Supply Dashboard c.Legal Counsel Report d.Board of Directors’ Comments ADJOURN BOARD OF DIRECTORSAPRIL 22, 2026East Valley Water District was formed in 1954 and provides water and wastewater services to108,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5­member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTRonald L. CoatsChairman of the Board Brian W. TompkinsChief Financial OfficerChris CarrilloVice­Chairman Jeff NoelteDirector of Engineering & OperationsDavid E. SmithGoverning Board Member Kerrie BryanDirector of Administrative ServicesPhillip R. GoodrichGoverning Board Member Patrick Milroy Operations ManagerJames Morales, Jr.Governing Board Member Manuel MorenoWater Reclamation ManagerWilliam RinglandDirector of External Affairs & Customer ExperienceMichael MooreGeneral Manager/CEO Ryan RitualoInformation Technology ManagerJustine HendricksenDistrict ClerkBoard of Directors Regular MeetingApril 22, 2026 ­ 5:00 PM31111 Greenspot Road, Highland, CA 92346www.eastvalleywater.govPLEASE NOTE:Materials related to an item on this agenda submitted to the Board after distribution of theagenda packet are available for public inspection in the District’s office located at 31111Greenspot Rd., Highland, during normal business hours. Also, such documents are availableon the District’s website at eastvalley.org and are subject to staff’s ability to post thedocuments before the meeting.Pursuant to Government Code Section 54954.2(a), any request for a disability­relatedmodification or accommodation, including auxiliary aids or services, that is sought in orderto participate in the above agendized public meeting should be directed to the District Clerkat (909) 885­4900 at least 72 hours prior to said meeting.In order to comply with legal requirements for posting of agenda, only those items filedwith the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesdaymeeting not requiring departmental investigation, will be considered by the Board ofDirectors.CALL TO ORDERPLEDGE OF ALLEGIANCEROLL CALL OF BOARD MEMBERSPRESENTATIONS AND CEREMONIAL ITEMSIntroduction of Newly Hired EmployeesDustin Matheson, Field Service Worker ICristina Nunez, Customer Service Representative IPUBLIC COMMENTSAny person wishing to speak to the Board of Directors is asked to complete a SpeakerCard and submit it to the District Clerk prior to the start of the meeting. Each speaker islimited to three (3) minutes, unless waived by the Chairman of the Board. Under the Stateof California Brown Act, the Board of Directors is prohibited from discussing or takingaction on any item not listed on the posted agenda. The matter will automatically bereferred to staff for an appropriate response or action and may appear on the agenda at afuture meeting.1.AGENDAThis agenda contains a brief general description of each item to be considered.Except as otherwise provided by law, no action shall be taken on any item notappearing on the following agenda unless the Board of Directors makes adetermination that an emergency exists or that a need to take immediate action onthe item came to the attention of the District subsequent to the posting of theagenda.a.Approval of Agenda2.APPROVAL OF CONSENT CALENDARAll matters listed under the Consent Calendar are considered by the Board ofDirectors to be routine and will be enacted in one motion. There will be nodiscussion of these items prior to the time the board considers the motion unlessmembers of the board, the administrative staff, or the public request specific itemsto be discussed and/or removed from the Consent Calendar. a.Approve the March 25, 2026 Regular Board Meeting Minutes b.Approve the April 8, 2026 Regular Board Meeting Minutes c.Adopt Resolution 2023.10 ­ Accepting Dedication of Sewer System Improvements for the Piedmont Gate Guard Shack d.Adopt Resolutions 2026.03 and 2026.04 ­ Accepting Dedication of Water and Sewer System Improvements for Piedmont Park Estates Development e.Approve March 2026 Disbursements: Accounts payable disbursements for the period include check numbers 267106 through 267254, bank drafts, and ACH payments in the amount of $7,348,996.06 and $541,830.12 for payroll f.Accept and File Financial Statements for February 2026 g.Accept and File Investment Report for Quarter Ended March 31, 2026 3.INFORMATIONAL ITEMS a.FY 2026­27 Program Goals and Objectives Workshop 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Adoption of Resolution 2026.05, Adopting the Updated Investment Policy for Fiscal Year 2026­27 b.Consider Approving the Updated Purchasing/Procurement Policy for East Valley Water District 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report Water Supply Dashboard c.Legal Counsel Report d.Board of Directors’ Comments ADJOURN Agenda Item #2a April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #2a Consent Item Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Approve the March 25, 2026 Regular Board Meeting Minutes RECOMMENDATION That the Board of Directors approve the March 25, 2026 regular Board meeting minutes as submitted. DISTRICT PILLARS AND STRATEGIES II - Sustainability, Transparency, and Accountability a. Uphold Transparent and Accountable Fiscal and Resource Management REVIEW BY OTHERS This agenda item has been reviewed by Administration. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Justine Hendricksen District Clerk ATTACHMENTS Draft March 25, 2026 minutes Regular Board Meeting Meeting Date: March 25, 2026 CALL TO ORDER The Chairman of the Board called the meeting to order at 5:00 p.m. PLEDGE OF ALLEGIANCE Brian Tompkins led the flag salute. ROLL CALL OF BOARD MEMBERS PRESENT Directors: Coats, Morales, Smith ABSENT Directors: Carrillo, Goodrich STAFF Michael Moore, General Manager/CEO; Brian Tompkins, Chief Financial Officer; Jeff Noelte, Director of Engineering and Operations; Kerrie Bryan, Director of Administrative Services; William Ringland, Director of External Affairs and Public Experience; Nathan Carlson, Senior Engineer; Justine Hendricksen, District Clerk; Shayla Antrim, Administrative Specialist LEGAL COUNSEL Jean Cihigoyenetche GUESTS Members of the public PUBLIC COMMENTS Chairman Coats declared the public participation section of the meeting open at 5:01 p.m. Draft pending approval 2 6 8 7 There being no written or verbal comments, the public participation section was closed. 1.APPROVAL OF AGENDA a.Approval of Agenda 2.APPROVAL OF CONSENT CALENDAR a.Approve the February 25, 2026 Regular Board Meeting Minutes b.Approve the March 11, 2026 Regular Board Meeting Minutes c.Accept and File Financial Statements for January 2026 d.Accept and File Investment Transaction Report for Month Ended February 28, 2026 e.Approve February 2026 Disbursements: Accounts payable disbursements for the period include check numbers 266936 through 267105, bank drafts, and ACH payments in the amount of $2,761,747.81 and $508,245.09 for payroll 3.INFORMATIONAL ITEMS a.2026 Development Update 2 6 8 7 b.Construction Material Cost Increases and District Mitigation Strategies The General Manager/CEO provided an update on construction material cost increases and their impact on the District’s budget. He explained the key drivers contributing to the increases. He discussed mitigation strategies the District is using to manage these increases and control costs. He noted the information was intended to help inform upcoming budget discussions. For information only. The Director of Engineering and Operations provided an overview of salt and nutrient management requirements and the regulatory framework affecting the groundwater basin and recycled water operations. He described regional coordination efforts among multiple agencies and summarized prior studies and ongoing planning efforts. He also explained the need for updated groundwater modeling to better inform long-term management and infrastructure planning. A motion was made by Director Smith, seconded by Director Morales, that the Board of Directors authorize the General Manager/CEO to execute Amendment 02 to the Memorandum of Understanding and Amendment 02 to the Cost Share Agreement related to Mitigation of Salt Loading in the Bunker Hill-B Groundwater Basin in the amount of $66,629 plus 25% contingency. The motion carried by the following: Ayes: Coats, Morales, Smith Noes: None Absent: Carrillo, Goodrich Director Morales reported on the following: March 12 he attended the East Valley Association of Realtors Legislative Committee meeting; March 18 he attended the Association of California Wate Agencies (ACWA) Region 9 meeting to prepare for the statewide Board meeting; March 20 he attended the ACWA statewide Board meeting as alternate Chair, where ACWA ratified regional work plans and approved a vision for future water priorities; and March 23 he participated in a tour at the Sterling Natural Resource Center with the San Bernardino Valley Water Conservation District. Director Smith reported on the following: March 23 he attended the Sterling Natural Resource Center tour with the San Bernardino Valley Water Conservation District; 2 6 8 7 March 24 he attended the Highland Chamber of Commerce monthly meeting, where San Bernardino County Auditor Controller Treasurer Tax Collector Ensen Mason was the speaker; and March 25 he participated in a San Bernardino Valley Water Conservation District Environmental Workshop, which included tours of habitat conservation areas, species restoration efforts, fuel management projects, and the Plunge Creek restoration and floodplain studies. b. General Manager/CEO Report The District will host a Water Treatment Operator Training Course on Friday in the Boardroom to provide continuing education hours for operators seeking higher levels of certification. The District will sponsor and participate in the Highland Citrus Harvest Festival on Saturday, March 28, where staff will host a booth from 10:00 a.m. to 3:30 p.m. The North Fork Water Company will hold its Annual Shareholders Meeting on April 7 at 2:00 p.m. Conservation staff participated in Career Day events at Monterey Elementary School and Cypress Elementary School, where staff educated students on the water cycle and careers in the water and wastewater industry. District staff and the City of Highland visited the Burrtec Waste Transfer Station in Rialto to evaluate opportunities to divert source-separated food waste to the Sterling Natural Resource Center, including reviewing new equipment that produces an organic slurry for transport, with ongoing discussions planned over the next six months. The District hosted a tour of the Sterling Natural Resource Center for the San Bernardino Valley Water Conservation District. 2 6 8 7 For information only. c. Legal Counsel Report d. Board of Directors’ Comments ADJOURN Agenda Item #2b April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #2b Consent Item Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Approve the April 8, 2026 Regular Board Meeting Minutes RECOMMENDATION That the Board of Directors approve the April 8, 2026 regular Board meeting minutes as submitted DISTRICT PILLARS AND STRATEGIES II - Sustainability, Transparency, and Accountability a. Uphold Transparent and Accountable Fiscal and Resource Management REVIEW BY OTHERS This agenda item has been reviewed by Administration. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Justine Hendricksen District Clerk ATTACHMENTS Draft April 8, 2026 minutes Regular Board Meeting Meeting Date: April 8, 2026 CALL TO ORDER The Chairman of the Board called the meeting to order at 5:00 p.m. PLEDGE OF ALLEGIANCE Vice Chairman Carrillo led the flag salute. ROLL CALL OF BOARD MEMBERS PRESENT Directors: Carrillo, Coats, Goodrich, Morales, Smith ABSENT None STAFF Michael Moore, General Manager/CEO; Brian Tompkins, Chief Financial Officer; Kerrie Bryan, Director of Administrative Services; William Ringland, Director of External Affairs and Public Experience; Patrick Milroy, Operations Manager; Rudy Guerrero, Finance Manager; Cecilia Contreras, Public Affairs Coordinator; Justine Hendricksen, District Clerk; Shayla Antrim, Administrative Specialist LEGAL COUNSEL Jean Cihigoyenetche GUESTS Members of the public Draft pending approval 2 6 8 7 PRESENTATIONS AND CEREMONIAL ITEMS Student Bottled Water Art Contest The General Manager/CEO stated that this is the District’s third annual Bottled Water Art Contest. The Public Affairs Coordinator provided an overview of the contest. She stated that students from grades 1-6 from various local schools participated to expressively create reasons why they love water. She stated that over 100 entries were received, and the top three winners’ artwork will be printed on limited-edition water bottles used by the District to support the community during short-term outages, and the designs will also be displayed in the lobbies at District headquarters and the Sterling Natural Resource Center. Winners were announced and received certificates, along with cases of bottled water featuring their artwork on the labels. Chairman Coats thanked students and teachers for their participation. Chairman Coats declared the public participation section of the meeting open at 5:30 p.m. There being no written or verbal comments, the public participation section was closed. A motion was made by Director Smith, seconded by Director Goodrich, that the Board approve the April 8, 2026 agenda as submitted. The motion carried by the following: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None Absent: None 2 6 8 7 A motion was made by Director Morales, seconded by Vice Chairman Carrillo, that the Board approve the Consent Calendar items as submitted. 3.INFORMATIONAL ITEMS a.Crisis Communication Plan b.Review FY 2026-27 Revenue Projections 4.REPORTS a.Board of Directors’ Reports 2 6 8 7 Director Smith reported on the following: March 20 he attended the Citrus Harvest Festival, supporting the District’s booth and outreach activities; April 7 he attended the North Fork Water Company Annual Shareholders’ and Board of Directors meeting; and April 8 he attended the San Bernardino Valley Water Conservation District Board meeting with nothing to report. b. General Manager/CEO Report Announced Fitch Ratings affirmed the District’s AA- rating with a stable outlook following its annual review of the 2020 revenue bonds, noting strong financial performance and highlighting SNRC operations, digester revenue, and the capital improvement program. April 10 the Customer Service Center at District Headquarters will be closed due to staffing issues, with services available at the Sterling Natural Resource Center location. April 11 from 12:00 p.m. to 4:00 p.m. a “Day in the Park” event will be held at the Sterling Natural Resource Center for nearby residents, featuring community engagement activities; he noted the event may be rescheduled pending weather conditions. April 14 at 10:00 a.m. a Special Finance and Human Resources Committee meeting will be held at the District office. April 17 Conservation staff will participate in the Monterey Elementary STEAM event, providing education on the water cycle, water careers, and water-use efficiency. April 18, the District will be hosting a “Tips & Salsa Garden” Workshop at the Sterling Natural Resource Center, with registration required due to high demand. 2 6 8 7 April 10, he will be attending the American Water Works Association Conference and co-presenting on the District’s in-house pipeline construction program with the General Manager from Crescenta Valley Water District. Next week, he will be attending the Design-Build Institute of America Conference. May 16, the Highland Chamber of Commerce will be holding the “Evening Under the Stars” event at the Sterling Natural Resource Center; he invited the Board to attend. Ryan Ritualo, IT Manager, presented at the ESRI headquarters on the District’s new GIS platform, noting that the District is among the first retail water agencies on the West Coast to implement the system. April 7, he attended the San Bernardino City Unified School District’s Linked Learning Gold Pathway Celebration, where partner schools were recognized and appreciation was expressed for the District’s involvement. He announced the upcoming retirement of the Chief Financial Officer, noting his years of service and contributions to the District. The Chief Financial Officer, Brian Tompkins, thanked the Board and staff and reflected on his tenure with the District. He expressed appreciation for his 24 years of service, noting significant advancements in customer service and technology during that time. He acknowledged that his retirement would be bittersweet, expressed pride in the accomplishments achieved for the community, and conveyed deep respect for the Board’s leadership and support. He also commended District staff for their dedication and professionalism, and shared that he and his wife look forward to remaining part of the community. For information only. c. Legal Counsel Report Legal Counsel had nothing to report. d. Board of Directors’ Comments Director Smith thanked the Chief Financial Officer for his service, noting he learned a great deal about municipal finance from him and wished him well in retirement. Director Morales congratulated the Chief Financial Officer and highlighted his contributions, referencing the recent Fitch rating affirmation and recognizing the Finance staff's efforts. Director Goodrich shared appreciation for the Chief Financial Officer’s leadership, noting his reassuring presence during challenging times and acknowledging his support. 2 6 8 7 Vice Chairman Carrillo praised the Chief Financial Officer as a strong steward of public funds, emphasizing his trust in his leadership and recognizing his many accomplishments and service to the District. Chairman Coats expressed appreciation for the Chief Financial Officer’s financial expertise, shared an example of his impact, noted he will be difficult to replace, and wished him well in retirement. For information only. ADJOURN Chairman Coats adjourned the meeting at 6:33 p.m. Ronald L. Coats, Board President Michael Moore, Board Secretary Agenda Item #2c April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #2c Consent Item Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Adopt Resolution 2023.10 - Accepting Dedication of Sewer System Improvements for the Piedmont Gate Guard Shack RECOMMENDATION That the Board of Directors adopt Resolution 2023.10 - Accepting Dedication of Sewer System Improvements for the Piedmont Gate Guard Shack. BACKGROUND / ANALYSIS Located at the intersection of Belvedere Avenue and Piedmont Drive, the San Manuel Band of Mission Indians (developer), now known as the Yuhaaviatam of San Manuel Nation, completed the construction of a sewer main extension to allow a connection for their new Piedmont Gate Guard Shack. The Offer of Dedication has been executed by the developer. It is the recommendation of staff to accept the completed facilities to permanently incorporate into the District’s system and future master planning studies. For Sewer Improvements under Resolution 2023.10, the acceptance will add approximately 117 linear feet of sewer main, 4 manholes, and 1 new sewer lateral. DISTRICT PILLARS AND STRATEGIES IV - Planning, Maintenance, and Preservation of District Resources b. Dedicate Efforts Toward System Maintenance and Modernization d. Enhance Planning Efforts that Respond to Future Demands REVIEW BY OTHERS This agenda item has been reviewed by the Engineering Department. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Agenda Item #2c April 22, 20262 Meeting Date: April 22, 2026 Agenda Item #2c Consent Item Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Nathan Carlson Senior Engineer ATTACHMENTS Resolution 2023.10 Sewer Offer of Dedication EXHIBIT “A” RESOLUTION 2023.10 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE EAST VALLEY WATER DISTRICT ACCEPTING DEDICATION OF SEWER SYSTEM IMPROVEMENTS PIEDMONT GATE GUARD SHACK SAN MANUEL BAND OF MISSION INDIANS BE IT HEREBY RESOLVED by the Board of Directors of the East Valley Water District, as follows: WHEREAS the Sewer pipelines and appurtenant structures constructed in accordance with specifications of the East Valley Water District for the development of the Piedmont Gate Guard Shack, for public use in the City of Highland, County of San Bernardino, have been dedicated to East Valley Water District by the San Manuel Band of Mission Indians, a federally recognized Indian Tribe (DEVELOPER). NOW THEREFORE, BE IT HEREBY RESOLVED, that the Dedication of Sewer System dated July 25, 2023, executed by Daniel D’Arrigo, Chief Financial Officer, for the DEVELOPER, be accepted and all rights, title and interest in and to said sewer system be vested in the East Valley Water District, and that the Secretary of this District be, and is hereby authorized and directed to, record this Resolution with said Irrevocable Offer of Dedication of Sewer System attached hereto, in the office of the County Recorder of the County of San Bernardino, State of California. * * * * * * * * * * * * * * * * * * * * * * * The foregoing resolution was duly adopted at a meeting of the Board of Directors of the East Valley Water District, upon motion duly made, seconded and carried on April 22, 2026. AYES: Directors: NOES: ABSENT: ABSTAIN: EAST VALLEY WATER DISTRICT _______________________________________ Ronald L. Coats, Board President East Valley Water District Resolution 2023.10 Page 1 of 2 DATE OF ACCEPTANCE I HEREBY CERTIFY the foregoing is a full, true and correct copy of Resolution 2023.10 adopted by the Board of Directors of East Valley Water District at its’ Regular Meeting held April 22, 2026. ATTEST: ______________________________________________ Michael Moore, PE Secretary, Board of Directors East Valley Water District Resolution 2023.10 Page 2 of 2 Agenda Item #2d April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #2d Consent Item Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Adopt Resolutions 2026.03 and 2026.04 - Accepting Dedication of Water and Sewer System Improvements for Piedmont Park Estates Development RECOMMENDATION That the Board of Directors adopt Resolution(s) 2026.03 & 04 – Accepting Dedication of Water & Sewer System Improvements for Piedmont Park Estates Development. BACKGROUND / ANALYSIS Located east of Piedmont Avenue and north of Highland Avenue, developer Piedmont Venture I, LLC has completed the construction of all off-site water and sewer mains for the Piedmont Park Estates Development, a 49-lot residential development. The Offers of Dedication have been executed by the developer. It is the recommendation of staff to accept the completed facilities to permanently incorporate into the District’s system and future master planning studies. For Water Improvements under Resolution 2026.03, the acceptance will add approximately 350 linear feet of water main, 2 domestic connections, 1 irrigation meter, and 2 fire services. For Sewer Improvements under Resolution 2026.04, this acceptance will add approximately 56 linear feet of sewer main and 1 manhole. DISTRICT PILLARS AND STRATEGIES IV - Planning, Maintenance, and Preservation of District Resources b. Dedicate Efforts Toward System Maintenance and Modernization d. Enhance Planning Efforts that Respond to Future Demands REVIEW BY OTHERS This agenda item has been reviewed by the Engineering Department. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Agenda Item #2d April 22, 20262 Meeting Date: April 22, 2026 Agenda Item #2d Consent Item Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Nathan Carlson Senior Engineer ATTACHMENTS Resolution 2026.03 (Water) Water Offer of Dedication Resolution 2026.04 (Sewer) Sewer Offer of Dedication WS4243 EXHIBIT “A” RESOLUTION 2026.03 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE EAST VALLEY WATER DISTRICT ACCEPTING DEDICATION OF WATER SYSTEM IMPROVEMENTS PIEDMONT PARK ESTATES DEVELOPMENT PIEDMONT VENTURE I, LLC BE IT HEREBY RESOLVED by the Board of Directors of the East Valley Water District, as follows: WHEREAS the off-site Water pipelines and appurtenant structures constructed in accordance with specifications of the East Valley Water District for the development of a new residential development, PIEDMONT PARK ESTATES DEVELOPMENT, for public use in the City of San Bernardino, County of San Bernardino, have been dedicated to East Valley Water District by the developer, Piedmont Venture I, LLC (DEVELOPER). NOW THEREFORE, BE IT HEREBY RESOLVED, that the Dedication of Water System dated April XX, 2026, executed by XX, XX, for the DEVELOPER, be accepted and all rights, title and interest in and to said water system be vested in the East Valley Water District, and that the Secretary of this District be, and is hereby authorized and directed to, record this Resolution with said Irrevocable Offer of Dedication of Water System attached hereto, in the office of the County Recorder of the County of San Bernardino, State of California. * * * * * * * * * * * * * * * * * * * * * * * The foregoing resolution was duly adopted at a meeting of the Board of Directors of the East Valley Water District, upon motion duly made, seconded and carried on April 22, 2026. AYES: Directors: NOES: ABSENT: ABSTAIN: EAST VALLEY WATER DISTRICT _______________________________________ Ronald L. Coats, Board President East Valley Water District Resolution 2026.03 Page 1 of 2 WS4243 DATE OF ACCEPTANCE I HEREBY CERTIFY the foregoing is a full, true and correct copy of Resolution 2026.03 adopted by the Board of Directors of East Valley Water District at its’ Regular Meeting held April 22, 2026. ATTEST: ______________________________________________ Michael Moore, PE Secretary, Board of Directors East Valley Water District Resolution 2026.03 Page 2 of 2 RECORDING REQUESTED BY: East Valley Water District WHEN RECORDED MAIL TO: East Valley Water District 31111 Greenspot Road Highland, California 92346 FEE EXEMPT PURSUANT TO GOVERNMENT CODE SECTION 6103 IRREVOCABLE OFFER OF DEDICATION OF WATER SYSTEM Board of Directors East Valley Water District Highland, California 92346 We (I), Piedmont Venture I, LLC, hereby declare that the water system and appurtenant structures constructed in the City of San Bernardino, California for Off-site Water Improvements for Piedmont Park Estates Development in accordance with all the requirements of the East Valley Water District, are intended for public use and that upon their acceptance by said District, all rights, title and interest of the undersigned; in and to said Water system, shall there upon be vested in the District. The within dedication shall be binding upon heirs, successors, assignees, executors, or administrators of the undersigned. SEE EXHIBIT “A” RESOLUTION No. 2026.03 . The undersigned further declares and hereby certifies that there are no liens or debts of any nature presently due , or outstanding against, or upon said water system and appurtenant structures; for labor or materials, or for any other cause; and that the undersigned will hold East Valley Water District free and harmless from any and all such claims of liens , asserted upon said water system and appurtenant structures, should they be claimed or arise; provided such claims or liens arose from acts which occurred on or before the date listed below. IN WITNESS WHEREOF: EXECUTED ON THIS DAY OF , 20 . (CORPORATE SEAL) OWNER OR DEVELOPER X NAME Ali Sahabi________ TITLE Manager______ ************************************************************************************************************************************************* ACKNOWLEDGEMENT STATE OF CALIFORNIA COUNTY OF On , before me, , personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) Last Revised: 7-28-23 A NOTARY PUBLIC OR OTHER OFFICER COMPLETING THIS CERTIFICATE VERIFIES ONLY THE IDENTITY OF THE INDIVIDUAL WHO SIGNED THE DOCUMENT TO WHICH THIS CERTIFICATE IS ATTACHED, AND NOT THE TRUTHFULNESS, ACCURACY, OR VALIDITY OF THAT DOCUMENT. SCALE: 1"= 40' N W W W W W o o o o o AT&T AT&T AT&T AT&T W W AT & T AT & T WF W W IRRIRR W78 ' ' W78 ' ' W78 ' ' W78 ' ' W78 ' ' W WF AT & T WF W W W78 ' ' W WF WF W SCALE: 1"= 20' D-11-568 BENCHMARK:DESCRIPTIONDATEREV.BY DATE: BY: APPROVED: OF E.V.W.D. NO. SHEET JOB TITLE: SHEET TITLE:SCALE: DRAWN BY: DATE: CHECKED BY: DATE: BY: . AS SHOWN 2 31111 GREENSPOT ROAD HIGHLAND, CALIFORNIA 92346 4243BENCHMARK INFO PIEDMONT PARK ESTATES DEVELOPMENT P.E. NO. EXP. SENIOR ENGINEER LIC. 88028 DATE: D.G. 4/26/24 G.P.A. 4/26/24 JASON D. WOLF, P.E. 2 WATER IMPROVEMENT PLAN PI E D M O N T P L A C E PIEDMONT AVENU E PI E D M O N T PIEDMONT PLAC E PR O V E N A N C E CI R C L E N NAV E . SCALE: 1"= 20' 1 1 1 Field Lok 350 Gasket were added on water main per EVWD inspector request. WS4243 EXHIBIT “A” RESOLUTION 2026.04 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE EAST VALLEY WATER DISTRICT ACCEPTING DEDICATION OF SEWER SYSTEM IMPROVEMENTS PIEDMONT PARK ESTATES DEVELOPMENT PIEDMONT VENTURE I, LLC BE IT HEREBY RESOLVED by the Board of Directors of the East Valley Water District, as follows: WHEREAS the off-site Sewer pipelines and appurtenant structures constructed in accordance with specifications of the East Valley Water District for the development of a new residential development, PIEDMONT PARK ESTATES DEVELOPMENT, for public use in the City of San Bernardino, County of San Bernardino, have been dedicated to East Valley Water District by the developer, Piedmont Venture I, LLC (DEVELOPER). NOW THEREFORE, BE IT HEREBY RESOLVED, that the Dedication of Sewer System dated April XX, 2026, executed by XX, XX, for the DEVELOPER, be accepted and all rights, title and interest in and to said sewer system be vested in the East Valley Water District, and that the Secretary of this District be, and is hereby authorized and directed to, record this Resolution with said Irrevocable Offer of Dedication of Sewer System attached hereto, in the office of the County Recorder of the County of San Bernardino, State of California. * * * * * * * * * * * * * * * * * * * * * * * The foregoing resolution was duly adopted at a meeting of the Board of Directors of the East Valley Water District, upon motion duly made, seconded and carried on April 22, 2026. AYES: Directors: NOES: ABSENT: ABSTAIN: EAST VALLEY WATER DISTRICT _______________________________________ Ronald L. Coats, Board President East Valley Water District Resolution 2026.04 Page 1 of 2 WS4243 DATE OF ACCEPTANCE I HEREBY CERTIFY the foregoing is a full, true and correct copy of Resolution 2026.03 adopted by the Board of Directors of East Valley Water District at its’ Regular Meeting held April 22, 2026. ATTEST: ______________________________________________ Michael Moore, PE Secretary, Board of Directors East Valley Water District Resolution 2026.04 Page 2 of 2 RECORDING REQUESTED BY: East Valley Water District WHEN RECORDED MAIL TO: East Valley Water District 31111 Greenspot Road Highland, California 92346 FEE EXEMPT PURSUANT TO GOVERNMENT CODE SECTION 6103 IRREVOCABLE OFFER OF DEDICATION OF SEWER SYSTEM Board of Directors East Valley Water District Highland, California 92346 We (I), Piedmont Venture I, LLC, hereby declare that the sewer system and appurtenant structures constructed in the City of San Bernardino, California for Off-site Sewer Improvements for Piedmont Park Estates Development in accordance with all the requirements of the East Valley Water District, are intended for public use and that upon their acceptance by said District, all rights, title and interest of the undersigned; in and to said sewer system, shall there upon be vested in the District. The within dedication shall be binding upon heirs, successors, assignees, executors, or administrators of the undersigned. SEE EXHIBIT “A” RESOLUTION No. 2026.04 . The undersigned further declares and hereby certifies that there are no liens or debts of any nature presently due , or outstanding against, or upon said sewer system and appurtenant structures; for labor or materials, or for any other cause; and that the undersigned will hold East Valley Water District free and harmless from any and all such claims of liens , asserted upon said sewer system and appurtenant structures, should they be claimed or arise; provided such claims or liens arose from acts which occurred on or before the date listed below. IN WITNESS WHEREOF: EXECUTED ON THIS DAY OF , 20 . (CORPORATE SEAL) OWNER OR DEVELOPER X NAME Ali Sahabi TITLE Manager ************************************************************************************************************************************************* ACKNOWLEDGEMENT STATE OF CALIFORNIA COUNTY OF On , before me, , personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) Last Revised: 7-28-23 A NOTARY PUBLIC OR OTHER OFFICER COMPLETING THIS CERTIFICATE VERIFIES ONLY THE IDENTITY OF THE INDIVIDUAL WHO SIGNED THE DOCUMENT TO WHICH THIS CERTIFICATE IS ATTACHED, AND NOT THE TRUTHFULNESS, ACCURACY, OR VALIDITY OF THAT DOCUMENT. Agenda Item #2e April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #2e Consent Item 1 8 1 9 Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Approve March 2026 Disbursements: Accounts payable disbursements for the period include check numbers 267106 through 267254, bank drafts, and ACH payments in the amount of $7,348,996.06 and $541,830.12 for payroll RECOMMENDATION That the Board of Directors approve the District's expense disbursements for the period March 1, 2026 through March 31, 2026 in the amount of $7,890,826.18. BACKGROUND / ANALYSIS The payment register for supplies, materials, services, and payroll for March 2026 is attached for review and approval. This process provides the Board of Directors and the public with an opportunity to review the expenses of the District. Accounts Payable are processed weekly, while payroll is processed bi-weekly. District Policy 7.1 provides the requirements for purchases and contracts, and all supporting documents are maintained by the Purchasing Agent. Accounts payable disbursements for the period include check numbers 267106 through 267254, bank drafts, and ACH Payments in the amount of $7,348,996.06 and $541,830.12, for payroll. Significant expenses greater than or equal to $50,000 are further explained below: Agenda Item #2e April 22, 20262 Meeting Date: April 22, 2026 Agenda Item #2e Consent Item 1 8 1 9 DISTRICT PILLARS AND STRATEGIES II - Sustainability, Transparency, and Accountability a. Uphold Transparent and Accountable Fiscal and Resource Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department. FISCAL IMPACT This item is funded in the current fiscal year budget. Agenda Item #2e April 22, 20263 Meeting Date: April 22, 2026 Agenda Item #2e Consent Item 1 8 1 9 Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer ATTACHMENTS March 2026 Payment Register PAYMENT REGISTER MARCH 1, 2026 - MARCH 31, 2026 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 03/05/2026 267106 AMERICAN FIDELITY ASSURANCE COMPANY 4,851.24 03/05/2026 267107 AMERICAN FIDELITY ASSURANCE COMPANY (FSA)1,639.47 03/05/2026 267108 AMERITAS LIFE INSURANCE CORP (DENTAL)12,689.95 03/05/2026 267109 APPLEONE EMPLOYMENT SERVICE 1,130.16 03/05/2026 267110 AT&T 3,137.31 03/05/2026 267111 BEAR VALLEY MUTUAL WATER COMPANY 172.50 03/05/2026 267112 CHEM-TECH INTERNATIONAL INC 1,906.20 03/05/2026 267113 CHICAGO TITLE COMPANY 3,000.00 03/05/2026 267114 CITIZENSTRUST 2,230.71 03/05/2026 267115 COLONIAL LIFE, PREMIUM 491.64 03/05/2026 267116 COMMERCIAL GATE CO., INC.195.00 03/05/2026 267117 DIRECTV 306.23 03/05/2026 267118 EVERSOFT, INC 349.23 03/05/2026 267119 EXPERIAN 354.64 03/05/2026 267120 EYE MED VISION CARE 1,618.84 03/05/2026 267121 FIELDMAN, ROLAPP & ASSOCIATES, INC 1,750.00 03/05/2026 267122 FIRST CHOICE SERVICES 88.00 03/05/2026 267123 HYDROTECH ELECTRIC 3,514.56 03/05/2026 267124 INTERSTATE BATTERY 216.96 03/05/2026 267125 K & L HARDWARE 72.70 03/05/2026 267126 KONICA MINOLTA BUSINESS SOLUTIONS 529.93 03/05/2026 267127 LAYNE CONSTRUCTION INC.8,625.00 03/05/2026 267128 LOWE'S 2,097.27 03/05/2026 267129 METROPOLITAN LIFE INS CO 70.14 03/05/2026 267130 MIDWEST MOTOR SUPPLY CO INC 421.97 03/05/2026 267131 R. F. MACDONALD CO., LLC 51,634.13 03/05/2026 267132 RYAN HERCO FLOW SOLUTIONS 2,572.31 03/05/2026 267133 SAN BERNARDINO VALLEY WATER CONSERVATION DISTRICT 268.55 03/05/2026 267134 SOLITUDE LAKE MANAGEMENT LLC 1,376.94 03/05/2026 267135 SONSRAY MACHINERY LLC 106,958.44 03/05/2026 267136 SOUTH COAST A Q M D 736.57 03/05/2026 267137 SOUTHERN CALIFORNIA EDISON COMPANY 9,862.11 03/05/2026 267138 THE SUN 122.95 03/05/2026 267139 UNIFIRST CORPORATION 1,106.60 03/11/2026 267140 INDIAN SPRINGS HIGH SCHOOL 150.00 03/11/2026 267141 ARROYO VALLEY HIGH SCHOOL 150.00 03/11/2026 267142 PAMELA PENNELL 750.00 03/11/2026 267143 SIERRA HIGH SCHOOL A.S.B.100.00 03/11/2026 267144 RAY GAONA 12.52 03/11/2026 267145 EQUITY PREMIUM INVESTMENTS INC 103.56 03/11/2026 267146 FLANIGAN CONSTRUCTION 2,490.76 03/11/2026 267147 SCS ENGINEERS 4,900.85 03/11/2026 267148 ROYAL FALCON INVESTMENT COMPANY 111.59 03/11/2026 267149 MARK BEGUELIN 0.36 03/11/2026 267150 JORGE GUERRERO 4.42 03/11/2026 267151 RACHEL VARELA 22.01 03/11/2026 267152 JOSHUA RUIZ 100.00 PAYMENT REGISTER MARCH 1, 2026 - MARCH 31, 2026 Page 1 of 6 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 03/11/2026 267153 JASPAL MANN 65.40 03/11/2026 267154 RICHMOND AMERICAN HOMES 129.10 03/11/2026 267155 RICHMOND AMERICAN HOMES 66.41 03/11/2026 267156 BRIAN PHILLIPS 59.55 03/11/2026 267157 CARLOS RODRIGUEZ GONZALEZ 556.30 03/11/2026 267158 SHILISE LISA RAMBO 150.00 03/11/2026 267159 CENTURY COMMUNITIES OF CALIFORNIA, LLC 85.63 03/11/2026 267160 CENTURY COMMUNITIES OF CALIFORNIA, LLC 182.47 03/11/2026 267161 CENTURY COMMUNITIES OF CALIFORNIA, LLC 185.24 03/11/2026 267162 AGKA INVESTMENTS LLC 89.37 03/11/2026 267163 REUBEN M WELLS JR. & RAMONA WELLS 133.69 03/12/2026 267164 SAN BERNARDINO COUNTY SHERIFF 546.32 03/12/2026 267165 UNITED STATES TREASURY 100.00 03/12/2026 267166 ALTERNATIVE HOSE INC 637.35 03/12/2026 267167 APPLEONE EMPLOYMENT SERVICE 538.92 03/12/2026 267168 ATMAA, INC.300.00 03/12/2026 267169 BURGESS MOVING & STORAGE 337.05 03/12/2026 267170 BURRTEC WASTE/ 5455 INDUSTRIAL PKWY 1,075.56 03/12/2026 267171 BURRTEC WASTE/ E. 111 MILL ST 2,120.94 03/12/2026 267172 CHASE TRUCK MOBILE SERVICE 350.00 03/12/2026 267173 CHEM-TECH INTERNATIONAL INC 26,689.45 03/12/2026 267174 CULLIGAN OF ONTARIO 128.87 03/12/2026 267175 DOUGLAS DONEGAN 350.00 03/12/2026 267176 EVERSOFT, INC 112.84 03/12/2026 267177 FIRST CHOICE SERVICES 47.25 03/12/2026 267178 GALLAGHER BENEFIT SERVICES, INC 19,976.00 03/12/2026 267179 HEALTH AND HUMAN RESOURCE CENTER INC.121.50 03/12/2026 267180 JAMES LITHO 2,361.28 03/12/2026 267181 JUAN D. BASOLS 58.45 03/12/2026 267182 K & L HARDWARE 30.96 03/12/2026 267183 KONICA MINOLTA BUSINESS SOLUTIONS 340.97 03/12/2026 267184 LA VERNE POWER EQUIPMENT, INC.416.31 03/12/2026 267185 LLU CENTER FOR HEALTH PROMOTION 3,209.01 03/12/2026 267186 LOMA LINDA UNIVERSITY HEALTH CARE 450.00 03/12/2026 267187 MIDWEST MOTOR SUPPLY CO INC 591.45 03/12/2026 267188 NAES CORPORATION 163.69 03/12/2026 267189 ORANGE COUNTY WINWATER WORKS 1,421.27 03/12/2026 267190 O'REILLYS AUTO PARTS 368.82 03/12/2026 267191 PETE'S ROAD SERVICE INC 2,567.80 03/12/2026 267192 POLYDYNE INC.16,883.44 03/12/2026 267193 PROJECT PARTNERS, INC.13,440.00 03/12/2026 267194 PRO-WEST & ASSOC., INC 9,018.80 03/12/2026 267195 RYAN HERCO FLOW SOLUTIONS 510.12 03/12/2026 267196 SAN BERNARDINO VALLEY WATER CONSERVATION DISTRICT 4,500.00 03/12/2026 267197 SO CAL GAS 1,049.38 03/12/2026 267198 SOUTHERN CALIFORNIA EDISON COMPANY 158,065.86 03/12/2026 267199 SPECTRUM 210.91 03/12/2026 267200 TT TECHNOLOGIES INC.1,142.98 03/12/2026 267201 ULINE, INC.152.07 03/12/2026 267202 UNIFIRST CORPORATION 1,587.50 03/12/2026 267203 VERIZON CONNECT FLEET USA LLC 1,018.32 03/12/2026 267204 WEB ADVANCED CORPORATION 5,487.50 03/12/2026 267205 WESTAIR GASES & EQUIPMENT, INC.267.50 03/12/2026 267206 MICHAEL RALEY & TOMLISON AND PRINCE 45,943.57 03/18/2026 267207 AMERICAN FIDELITY ASSURANCE COMPANY (FSA)1,639.47 PAYMENT REGISTER MARCH 1, 2026 - MARCH 31, 2026 Page 2 of 6 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 03/18/2026 267208 APPLEONE EMPLOYMENT SERVICE 538.92 03/18/2026 267209 AT&T MOBILITY, LLC 2,980.79 03/18/2026 267210 BALFOUR BEATTY INFRASTRUCTURE, INC 238,467.57 03/18/2026 267211 BAY CITY EQUIPMENT INDUSTRIES, INC 6,233.98 03/18/2026 267212 BURRTEC WASTE/ 5455 INDUSTRIAL PKWY 6,480.35 03/18/2026 267213 CALIFORNIA ASSOCIATINO OF PUBLIC INFORMATION OFFICIALS (CAPIO)425.00 03/18/2026 267214 CHEM-TECH INTERNATIONAL INC 28,137.78 03/18/2026 267215 COSTIN PUBLIC OUTREACH GROUP, INC 2,945.00 03/18/2026 267216 DENTAL HEALTH SERVICES 162.90 03/18/2026 267217 EEC ENVIRONMENTAL 935.00 03/18/2026 267218 EQUIPMENTSHARE.COM INC 5,032.29 03/18/2026 267219 EUCLID MANAGERS, INSURANCE SERVICES INC.216.00 03/18/2026 267220 JUAN D. BASOLS 26.42 03/18/2026 267221 K & L HARDWARE 449.91 03/18/2026 267222 LOMA LINDA UNIVERSITY HEALTH CARE 680.00 03/18/2026 267223 ORANGE COUNTY WINWATER WORKS 115.64 03/18/2026 267224 POLYDYNE INC.27,013.51 03/18/2026 267225 SAN BDNO AREA CHAMBER OF COMMERCE 220.00 03/18/2026 267226 SOUTHERN CALIFORNIA EDISON COMPANY 141,247.83 03/18/2026 267227 STEP SAVER, INC 4,039.50 03/18/2026 267228 TECHNICAL SYSTEM, INC 5,430.00 03/18/2026 267229 TEXAS LIFE INSURANCE COMPANY 867.11 03/18/2026 267230 TRI-CITIES ANSWERING SERVICE & CALL CENTER, INC.872.95 03/18/2026 267231 TRUSSELL TECHNOLOGIES.INC 30,717.50 03/18/2026 267232 UNIFIRST CORPORATION 1,399.05 03/18/2026 267233 US BANCORP SERVICE CENTER 43,337.85 03/18/2026 267238 WESTERN WATER WORKS SUPPLY CO., INC 8,429.43 03/26/2026 267239 ALTERNATIVE HOSE INC 1,200.63 03/26/2026 267240 AMERITAS LIFE INSURANCE CORP (DENTAL)12,689.95 03/26/2026 267241 APPLEONE EMPLOYMENT SERVICE 538.92 03/26/2026 267242 AT&T 47.77 03/26/2026 267243 DIRECTV 98.79 03/26/2026 267244 FIRST CHOICE SERVICES 967.50 03/26/2026 267245 FRANCHISE TAX BOARD 790.66 03/26/2026 267246 I INLAND (KENWORTH (US) INC.)16,812.17 03/26/2026 267247 K & L HARDWARE 148.46 03/26/2026 267248 METROPOLITAN LIFE INS CO 70.14 03/26/2026 267249 MIDWEST MOTOR SUPPLY CO INC 853.54 03/26/2026 267250 MOHANNAD ZIAD ABO AWAD 2,332.73 03/26/2026 267251 O'REILLYS AUTO PARTS 206.75 03/26/2026 267252 SAN BERNARDINO COUNTY SHERIFF 546.32 03/26/2026 267253 UNITED STATES TREASURY 100.00 03/26/2026 267254 WEST COAST COMMERCIAL AIR GOLDEN STATE COMPRESSOR, INC.1,428.69 BANK DRAFTS 03/02/2026 DFT0005873 GLOBAL PAYMENTS 24,733.89 03/03/2026 DFT0005874 MERCHANT BANKCD 1,215.74 03/05/2026 DFT0005872 CALPERS/ MEDICAL 151,468.96 03/06/2026 DFT0005883 CALPERS, UAL PAYMENT 4,000,000.00 03/09/2026 DFT0005875 PAYNEARME, INC.145.27 03/10/2026 DFT0005893 FORTE, ACH DIRECT INC, ACH FEES 5,290.84 03/11/2026 DFT0005876 CALPERS/ DEFERRED COMPENSATION 27,602.21 03/11/2026 DFT0005877 CALPERS/ RETIREMENT 66,913.04 PAYMENT REGISTER MARCH 1, 2026 - MARCH 31, 2026 Page 3 of 6 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 03/11/2026 DFT0005878 CA SDI TAX 5,160.61 03/11/2026 DFT0005879 FEDERAL PAYROLL TAX 43,524.59 03/11/2026 DFT0005880 MEDICARE 11,523.50 03/11/2026 DFT0005881 STATE DISBURSEMENT UNIT 682.15 03/11/2026 DFT0005882 STATE PAYROLL TAX 18,128.37 03/20/2026 DFT0005892 CBB 3,230.72 03/27/2026 DFT0005884 CA SDI TAX 5,198.96 03/27/2026 DFT0005885 CALPERS/ DEFERRED COMPENSATION 28,441.66 03/27/2026 DFT0005886 CALPERS/ RETIREMENT 66,908.79 03/27/2026 DFT0005887 FEDERAL PAYROLL TAX 43,731.71 03/27/2026 DFT0005888 MEDICARE 11,615.86 03/27/2026 DFT0005889 SOCIAL SECURITY 1,372.76 03/27/2026 DFT0005890 STATE DISBURSEMENT UNIT 682.15 03/27/2026 DFT0005891 STATE PAYROLL TAX 17,902.95 03/31/2026 DFT0005894 PAYNEARME, INC.338.30 ACH PAYMENTS 03/05/2026 10017031 ADVANCED TELEMETRY SYSTEMS INTERNATIONAL, INC.7,500.00 03/05/2026 10017032 ALLISON MECHANICAL, INC 1,473.00 03/05/2026 10017033 AMAZON CAPITAL SERVICES, INC 907.94 03/05/2026 10017034 AMERICAN RENTALS, INC 40.24 03/05/2026 10017035 ASBCSD 375.00 03/05/2026 10017036 BARRY'S SECURITY SERVICES, INC 4,747.38 03/05/2026 10017037 BOOT BARN, INC 400.00 03/05/2026 10017038 CAROL CALES 656.06 03/05/2026 10017039 CLARK PEST CONTROL 424.00 03/05/2026 10017040 CLA-VAL CO 10,965.02 03/05/2026 10017041 CLEARFLY COMMUNATIONS 88.72 03/05/2026 10017042 COUNTY OF SAN BERNARDINO, RECORDER- CLERK 120.00 03/05/2026 10017043 EAGLE AERIAL PHOTOGRAPHY INC 40,567.00 03/05/2026 10017044 ED KING 636.33 03/05/2026 10017045 ELISEO OCHOA 730.85 03/05/2026 10017046 FERGUSON ENTERPRISES, INC.45.50 03/05/2026 10017047 FRONTIER COMMUNICATIONS 1,442.23 03/05/2026 10017048 GENERAL PUMP COMPANY, INC.8,410.00 03/05/2026 10017049 HYDROPRO SOLUTIONS 1,749.11 03/05/2026 10017050 INFOSEND, INC 70,851.68 03/05/2026 10017051 JC LAW FIRM 12,150.00 03/05/2026 10017052 JOHN MURA 735.03 03/05/2026 10017053 LESLIE'S POOL SUPPLIES, INC.33.64 03/05/2026 10017054 LINCOLN NATIONAL LIFE INS CO.2,894.53 03/05/2026 10017055 MCMASTER-CARR 43.62 03/05/2026 10017056 MIKE J. ROQUET CONSTRUCTION INC 14,762.49 03/05/2026 10017057 MINUTEMAN PRESS OF RANCHO CUCAMONGA 1,764.61 03/05/2026 10017058 NORM TERRY 735.03 03/05/2026 10017059 PSI WATER TECHNOLOGIES 6,029.98 03/05/2026 10017060 REBECCA KASTEN 708.76 03/05/2026 10017061 RICHARD BECERRA 735.03 03/05/2026 10017062 SCN, SECURITY COMMUNICATION NETWORK, INC 330.00 03/05/2026 10017063 TROY A YERGENS 250.00 03/05/2026 10017064 UNDERGROUND SERVICE ALERT 1,235.50 03/05/2026 10017065 USA BLUE BOOK, HD SUPPLY FACILITIES MAINT, LTD 570.64 03/05/2026 10017066 VERIZON WIRELESS 7,381.46 03/12/2026 10017068 EVWD EMPLOYEES EVENTS ASSOC 279.50 03/12/2026 10017069 ADCOMP SYSTEMS, INC 100.00 PAYMENT REGISTER MARCH 1, 2026 - MARCH 31, 2026 Page 4 of 6 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 03/12/2026 10017070 ALBERT A. WEBB ASSOCIATES 75,813.37 03/12/2026 10017071 ALLISON MECHANICAL, INC 1,231.49 03/12/2026 10017072 AMAZON CAPITAL SERVICES, INC 1,657.05 03/12/2026 10017073 ANAERGIA TECHNOLOGIES LLC 226,406.28 03/12/2026 10017074 ANTHESIS 11,314.71 03/12/2026 10017075 BARRY'S SECURITY SERVICES, INC 4,379.88 03/12/2026 10017076 CLARK PEST CONTROL 62.00 03/12/2026 10017077 CLA-VAL CO 12,789.13 03/12/2026 10017078 CORE & MAIN LP 3,692.17 03/12/2026 10017079 EXCLAIMER LTD 2,376.00 03/12/2026 10017080 FLEETCREW, INC.189.00 03/12/2026 10017081 FMB TRUCK OUTFITTERS, INC 73.43 03/12/2026 10017082 FRONTIER COMMUNICATIONS 84.03 03/12/2026 10017083 GRAINGER 1,977.87 03/12/2026 10017084 GROUP DELTA CONSULTANTS, INC 1,777.50 03/12/2026 10017085 INFOSEND, INC 53,653.10 03/12/2026 10017086 JOSE MILLAN 160.00 03/12/2026 10017087 KRIEGER & STEWART, INCORPORATED 11,525.50 03/12/2026 10017088 MARVIN'S MOBILE TRUCK WASH 2,380.00 03/12/2026 10017089 MIKE J. ROQUET CONSTRUCTION INC 9,862.54 03/12/2026 10017090 MINUTEMAN PRESS OF RANCHO CUCAMONGA 318.81 03/12/2026 10017091 MOBILE OCCUPATIONAL SERVICES, INC 40.00 03/12/2026 10017092 MUSICK, PEELER & GARRETT LLP 220.00 03/12/2026 10017093 NOR-CAL PUMP & WELL DRILLING, INC.136,492.37 03/12/2026 10017094 ROCKWELL ENGINEERING AND EQUIPMENT CO 41,239.15 03/12/2026 10017095 SCN, SECURITY COMMUNICATION NETWORK, INC 317.50 03/12/2026 10017096 SG CREATIVE, LLC 6,600.00 03/12/2026 10017097 STAPLES BUSINESS ADVANTAGE 362.67 03/12/2026 10017098 STEVE A. FILARSKY, ATTORNEY AT LAW 5,362.00 03/12/2026 10017099 VULCAN MATERIALS CO/ CALMAT CO 4,345.04 03/12/2026 10017100 WESTBROOK FENCE, INC 2,450.00 03/18/2026 10017101 ADVANCED INDUSTRIAL SOLUTIONS, INC 1,211.99 03/18/2026 10017102 ADVANCED TELEMETRY SYSTEMS INTERNATIONAL, INC.9,088.67 03/18/2026 10017103 ALBERT A. WEBB ASSOCIATES 6,854.00 03/18/2026 10017104 ALLISON MECHANICAL, INC 475.99 03/18/2026 10017105 AMAZON CAPITAL SERVICES, INC 2,387.28 03/18/2026 10017107 AMERICAN RENTALS, INC 175.04 03/18/2026 10017108 BARRY'S SECURITY SERVICES, INC 4,343.13 03/18/2026 10017109 CALIFORNIA TOOL & WELDING SUPPLY 215.52 03/18/2026 10017110 GENERAL PUMP COMPANY, INC.60,537.23 03/18/2026 10017111 GRAINGER 1,204.16 03/18/2026 10017112 HACH COMPANY 346.17 03/18/2026 10017113 HARPER & ASSOCIATES ENGINEERING, INC 20,415.00 03/18/2026 10017114 INDUSTRIAL RUBBER & SUPPLY 722.18 03/18/2026 10017115 LOGICALIS, INC 12,748.19 03/18/2026 10017116 MARLINK INC 478.50 03/18/2026 10017117 RESOLUTE 10,000.00 03/18/2026 10017118 SAFETY COMPLIANCE COMPANY 200.00 03/18/2026 10017119 STAPLES BUSINESS ADVANTAGE 25.19 03/18/2026 10017120 SYNAGRO - WWT, INC 135,396.03 03/18/2026 10017121 USA BLUE BOOK, HD SUPPLY FACILITIES MAINT, LTD 2,760.00 03/18/2026 10017122 VALERO FLEET, WEX BANK 23,094.61 03/18/2026 10017123 VULCAN MATERIALS CO/ CALMAT CO 2,902.70 03/26/2026 10017124 ACI PAYMENTS INC.42.75 03/26/2026 10017125 ADCOMP SYSTEMS, INC 319.29 PAYMENT REGISTER MARCH 1, 2026 - MARCH 31, 2026 Page 5 of 6 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 03/26/2026 10017126 AMAZON CAPITAL SERVICES, INC 545.16 03/26/2026 10017127 BOOT BARN, INC 987.12 03/26/2026 10017128 CLARK PEST CONTROL 146.00 03/26/2026 10017129 CLINICAL LAB OF S B 5,282.75 03/26/2026 10017130 EVWD EMPLOYEES EVENTS ASSOC 379.50 03/26/2026 10017131 FLEETCREW, INC.250.00 03/26/2026 10017132 FRONTIER COMMUNICATIONS 1,653.93 03/26/2026 10017133 IAN JOHNSON 1,936.84 03/26/2026 10017134 JBI GROUP 1,750.00 03/26/2026 10017135 KRIEGER & STEWART, INCORPORATED 58,681.55 03/26/2026 10017136 LARRY WALKER ASSOCIATES, INC.1,176.00 03/26/2026 10017137 MARVIN'S MOBILE TRUCK WASH 1,935.00 03/26/2026 10017138 MIKE J. ROQUET CONSTRUCTION INC 42,991.17 03/26/2026 10017139 PLUMBERS DEPOT INC.344.30 03/26/2026 10017140 SWIFTCOMPLY US OPCO, INC 4,000.00 03/26/2026 10017141 U.S. BANK OPERATIONS CENTER 413,149.50 03/26/2026 10017142 USA BLUE BOOK, HD SUPPLY FACILITIES MAINT, LTD 528.86 03/26/2026 10017143 WORK BOOT WAREHOUSE 217.00 TOTAL 7,348,996.06$ PAYMENT REGISTER MARCH 1, 2026 - MARCH 31, 2026 Page 6 of 6 Agenda Item #2f April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #2f Consent Item Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Accept and File Financial Statements for February 2026 RECOMMENDATION That the Board of Directors accept and file the attached financial statements as of, and for the period ended, February 28, 2026. BACKGROUND / ANALYSIS The East Valley Water District adopted an annual budget on June 25, 2025 for fiscal year 2025- 26. In accordance with District Administrative Policy 7.7, the Chief Financial Officer provides regular budget updates to the Board of Directors (Board). Included herewith for the Board’s review is a summary of the District’s financial results, as of February 28, 2026. DISTRICT PILLARS AND STRATEGIES II - Sustainability, Transparency, and Accountability a. Uphold Transparent and Accountable Fiscal and Resource Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer Agenda Item #2f April 22, 20262 Meeting Date: April 22, 2026 Agenda Item #2f Consent Item ATTACHMENTS February 2026 Financial Statement Monthly Review February 2026 Financial Statements FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING FEBRUARY 28, 2026 page | 1 The following is a highlight summary of the District’s financial results as of February 28, 2026. Please note all values presented are in millions (unless otherwise noted). Statement of Net Position Total assets at February 28, 2026 are $412.85 million. CLASSIFICATION WATER WASTEWATER RECLAMATION DISTRICT TOTAL Cash and Investments $ 33.11 $ 10.80 $ 25.12 $ 69.03 Utility Plant, Net 108.03 27.04 170.64 305.71 Other Assets 25.47 6.30 6.34 Long Term Liabilities 44.06 10.48 167.68 TOTAL NET $ 116.10 $ 33.04 $ 32.79 $ 181.93 Cash and Investments Cash and Investments are $69.03 million for the month of February, an increase of $1.63 million from the prior month. The District’s Due from Other Governments includes receivables from SBVMWD bringing the ending balance as of February 28, 2026 to $670 thousand. $0 $10 $20 $30 $40 $50 $60 $70 $80 Mi l l i o n s CASH & INVESTMENTS Restricted Unrestricted FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING FEBRUARY 28, 2026 page | 2 Statement of Revenues & Expenses Total Revenues & Expenses through February 28, 2026 are summarized below (in millions): Column1 WATER WASTEWATER RECLAMATION DISTRICT TOTAL Revenue $ 25.76 $ 5.36 $ 35.78 $ 66.90 Expense 18.09 4.00 9.72 31.81 Water Sales by Tier Water Sales for the month ending February 28, 2026 were $1.20 million; $163 thousand over staff projections for the month and $17 thousand over year-to-date projections. $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 Mi l l i o n s WATER SALES BY TIER Tier 1 Tier 2 Tier 3 FY 2025-26 Projection For a more detailed presentation, operating results are presented in three ways on pages 2 through 6 of the attached financial statements for the period ending February 28, 2026. First is a one-page summary with monthly and year-to-date totals for revenue and expenses, presented by Expense Category. Second is a one-page summary with monthly and year-to-date totals for Revenues and Expense by Program. Third is a Budget-to- Actual presentation of program expense detail. FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING FEBRUARY 28, 2026 page | 3 Water Sales by Customer Class The table below shows the District’s water sales for the month of February 2026 by customer class. The following icons are to complement the graph below: positive change, no change, negative change when comparing actuals versus projections. CUSTOMER CLASS ACTUAL PROJECTION $ VARIANCE % VARIANCE Residential 694,342$ 611,000$ 83,342$ 14% Multi-Family 230,797 243,000 (12,203) -5% Commercial 137,627 124,000 13,627 11% Irrigation 140,869 63,000 77,869 124% TOTAL $1,203,635 $ 1,041,000 $ 162,635 16% The following table displays customer class by tier for the month of February 2026: CUSTOMER CLASS TIER ACTUAL PROJECTION $ VARIANCE % VARIANCE Residential Tier 1 326,977$ 331,000$ (4,023)$ -1% Residential Tier 2 169,350 126,000 43,350 34% Residential Tier 3 198,015 154,000 44,015 29% Multi-Family Tier 1 121,971 145,000 (23,029) -16% Multi-Family Tier 2 21,992 12,000 9,992 83% Multi-Family Tier 3 86,834 86,000 834 1% Commercial Flat Rate 85,408 91,000 (5,592)$ -6% Commercial Tier 1 17,452 20,000 (2,548) -13% Commercial Tier 2 18,733 12,000 6,733 56% Commercial Tier 3 16,034 1,000 15,034 1503% Irrigation Tier 2 38,774 25,000 13,774 55% Irrigation Tier 3 102,095 38,000 64,095 169% TOTAL $ 1,203,635 $ 1,041,000 $ 162,635 16% Legend - Positive Change in Actuals - Neutral Change in Actuals - Negative Change in Actuals FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING FEBRUARY 28, 2026 page | 4 The chart below is a comparative illustration of Water Revenue year-to-date compared to last year’s Water Revenue year-to-date as of February. As noted in the graph, Water Revenue experienced a minor decrease over last year. Water consumption decreased 395.93 million gallons (529.3K HCF) compared to February of 2025 and water sales were down $724K for all three tiers combined. $0.0 $5.0 $10.0 $15.0 $20.0 $25.0 2/28/2025 2/28/2026 Mi l l i o n s COMPARATIVE YEAR-TO-DATE WATER REVENUE (WATER SALES & METER CHARGES) Meter Tier 1 Tier 2 Tier 3 Total - $22,104,534 Total - $21,879,511 FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING FEBRUARY 28, 2026 page | 5 Water Fund Activities by Cost Center The graph below provides a year-to-date comparison of the Water Fund operating cost centers for FY 2024-25 and FY 2025-26. The $2.1 million increase as of February 28, 2026 is primarily driven by higher purchased water and electricity expenses. Purchased water increased by $800 thousand, reflecting 7,800 acre-feet purchased in FY 2025-26 compared to 1,800 acre-feet during the same period last year. Electricity costs increased by $1 million, mainly due to Edison credits and rebilling adjustments that resulted in higher-than-average billing in January 2026, compared to a $597 thousand credit in January 2025. FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING FEBRUARY 28, 2026 page | 6 Wastewater Fund Activities by Cost Center The graph below provides a year-to-date comparison of the Wastewater Fund operating cost centers for FY 2024-25 and FY 2025-26. FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING FEBRUARY 28, 2026 page | 7 Water Reclamation Fund Activities by Category The graph below provides a year-to-date comparison of the Water Reclamation Fund operating categories for FY 2024-25 and FY 2025-26. WATER WASTEWATER RECLAMATION DISTRICT TOTAL Assets: Current Assets: 01 - Cash and Cash EquivalentsCash and Cash Equivalents 9,709,871.98$ 4,445,898.81$ 12,674,517.92$ 26,830,288.71$ 02 - InvestmentsInvestments 13,619,751.77 2,232,960.70 - 15,852,712.47 03 - Accounts Receivable, NetAccounts Receivable, Net 5,343,306.05 372,123.37 759,400.76 6,474,830.18 14*05 - Other ReceivablesOther Receivables 2,163,768.71 1,173.53 - 2,164,942.24 06 - Due from other GovernmentsDue from Other Governments 51,245.30 - 618,671.95 669,917.25 08 - InventoryInventory 1,994,176.10 6,721.16 46,242.90 2,047,140.16 09 - Prepaid ExpensesPrepaid Expenses 606,080.58 55,624.41 - 661,704.99 33,488,200.49 7,114,501.98 14,098,833.53 54,701,536.00 Non-Current Assets: 10 - Restricted Cash and Cash EquivalentsRestricted Cash and Cash Equivalents 9,781,145.39 4,124,958.29 12,439,743.79 26,345,847.47 11 - Capital Assets not being DepreciatedCapital Assets not being Depreciated 10,229,920.23 3,665,191.83 4,914,538.66 18,809,650.72 13 - Capital Assets, NetCapital Assets, Net 108,028,390.45 27,040,879.33 170,637,036.68 305,706,306.46 128,039,456.07 34,831,029.45 187,991,319.13 350,861,804.65 Total Assets:161,527,656.56 41,945,531.43 202,090,152.66 405,563,340.65 Deferred Outflow Of Resources 24*Deferred Charge on Refunding 524,362.13 245,874.77 - 770,236.90 25 - Deferred Outflow - PensionsDeferred Outflows - Pensions 4,558,538.10 1,953,658.90 - 6,512,197.00 166,610,556.79 44,145,065.10 202,090,152.66 412,845,774.55 Current Liabilities: 22 - PayablesAccounts Payable and Accrued Expenses 2,062,420.90 30,904.88 1,544,299.00 3,637,624.78 15 - Customer Service DepositsCustomer Service Deposits 1,614,781.17 - - 1,614,781.17 16 - Construction Advances and RetentionsConstruction Advances and Retentions 387,997.42 3,500.01 21,176.50 412,673.93 17 - Interest PayableAccrued Interest Payable 190,571.50 24,072.00 - 214,643.50 18 - Current Portion of Compensated AbsencesCurrent Portion of Compensated Absences 333,495.90 99,373.18 53,314.93 486,184.01 19 - Current Portion of Long-Term DebtCurrent Portion of Long-Term Debt 1,171,500.28 175,000.00 - 1,346,500.28 5,760,767.17 332,850.07 1,618,790.43 7,712,407.67 Non-Current Liabilities: 20 - Compensated Absences, less current portionCompensated Absences, less current portion 496,600.90 151,886.92 206,649.41 855,137.23 28 - Net Pension LiabilityNet Pension Liability 10,217,111.29 4,351,668.00 - 14,568,779.29 21 - Long Term DebtLong Term Debt, Less Current Portion 33,347,831.85 5,979,340.50 167,475,214.91 206,802,387.26 27 - Other LiabilitiesOther Liabilities 1,173.64 - - 1,173.64 44,062,717.68 10,482,895.42 167,681,864.32 222,227,477.42 Total Liabilities:49,823,484.85 10,815,745.49 169,300,654.75 229,939,885.09 Deferred Inflows Of Resources 26 - Deferred Inflows - PensionsDeferred Inflows - Pensions 689,036.80 295,301.20 - 984,338.00 50,512,521.65 11,111,046.69 169,300,654.75 230,924,223.09 31 - EquityEquity 108,429,420.26 31,678,247.70 6,733,879.72 146,841,547.68 108,429,420.26 31,678,247.70 6,733,879.72 146,841,547.68 Total RevenueTotal Revenue 25,755,575.83 5,359,272.50 35,779,313.22 66,894,161.55 Total ExpenseTotal Expense 18,086,960.95 4,003,501.79 9,723,695.03 31,814,157.77 7,668,614.88 1,355,770.71 26,055,618.19 35,080,003.78 116,098,035.14 33,034,018.41 32,789,497.91 181,921,551.46 166,610,556.79$ 44,145,065.10$ 202,090,152.66$ 412,845,774.55$ Total Liabilities, Equity and Current Surplus (Deficit): Total Beginning Equity: Equity: Revenues Over/Under Expenses Total Current Liabilities: Total Liabilities and Deferred Inflows of Resources: Total Non-Current Liabilities: Unaudited As of February 28, 2026 Combining Schedule of Net Position Total Equity and Current Surplus (Deficit): Total Assets and Deferred Outflows of Resources: Total Current Assets: Total Non-Current Assets: Page 1 of 6 ADOPTED ADOPTED ADOPTED ADOPTED REMAINING MTD YTD BUDGET MTD YTD BUDGET MTD YTD BUDGET TOTAL BUDGET BUDGET Revenue 41 - Water SalesWater Sales 1,203,632.51$ 13,774,040.91$ 18,900,000.00$ -$ -$ -$ -$ 618,464.21$ 1,237,000.00$ 20,137,000.00$ 5,744,494.88$ 42 - Meter ChargesMeter Charges 1,002,574.17 7,617,151.52 11,525,000.00 - - - - - - 11,525,000.00 3,907,848.48 43 - PenaltiesPenalties 55,267.66 453,263.69 360,000.00 2,056.05 16,856.38 130,000.00 4,112.00 33,424.00 90,000.00 580,000.00 76,455.93 44 - Wastewater System ChargesWastewater System Charges - - - 561,690.04 4,593,453.87 6,870,000.00 - - - 6,870,000.00 2,276,546.13 45 - Wastewater Treatment ChargesWastewater Treatment Charges - - - - - - 1,118,568.21 9,294,111.08 13,835,000.00 13,835,000.00 4,540,888.92 46 - Other Operating RevenueOther Operating Revenue 481,708.66 3,336,997.20 30,000.00 23,071.00 593,089.14 5,000.00 87,616.00 1,897,528.67 515,000.00 550,000.00 (5,277,615.01) 47 - Non Operating RevenueNon Operating Revenue 41,385.39 574,122.51 925,000.00 7,674.64 155,873.11 220,000.00 31,013.12 23,935,785.26 25,706,000.00 26,851,000.00 2,185,219.12 48 - Gain or Loss on DispositionGain or Loss on Disposition - - - - - - - - - - - 56 - BenefitsBenefits - - - - - - - - - - - 68 - DepreciationDepreciation - - - - - - - - - - - Revenue Total:2,784,568.39 25,755,575.83 31,740,000.00 594,491.73 5,359,272.50 7,225,000.00 1,241,309.33 35,779,313.22 41,383,000.00 80,348,000.00 13,453,838.45 - - - - - - - - Expense by Category 51 - LaborLabor 469,706.12 4,068,124.11 6,671,400.00 125,635.82 1,112,451.52 1,859,600.00 79,239.31 728,989.48 1,301,000.00 9,832,000.00 3,922,434.89 56 - BenefitsBenefits 172,280.19 2,423,872.79 3,209,100.00 41,478.45 619,115.36 861,900.00 33,778.52 458,758.34 608,000.00 4,679,000.00 1,177,253.51 63 - Contract ServicesContract Services 442,471.65 3,549,711.43 6,336,500.00 112,871.85 1,185,366.39 2,065,500.00 181,010.89 2,639,271.42 4,353,000.00 12,755,000.00 5,380,650.76 65 - Professional DevelopmentProfessional Development 3,251.50 161,444.88 312,500.00 1,329.60 55,980.67 113,500.00 - 8,469.17 14,000.00 440,000.00 214,105.28 53 - OvertimeOvertime 45,520.77 429,477.06 654,100.00 1,714.60 21,912.87 40,900.00 21,862.34 206,684.10 280,000.00 975,000.00 316,925.97 62 - Materials and SuppliesMaterials and Supplies 236,744.35 1,255,696.44 1,944,800.00 21,138.47 99,461.64 192,200.00 109,316.24 675,995.66 1,281,000.00 3,418,000.00 1,386,846.26 64 - UtilitiesUtilities 63,360.74 2,855,559.06 4,131,100.00 19,192.51 165,146.85 317,900.00 165,379.77 1,771,901.46 2,579,000.00 7,028,000.00 2,235,392.63 52 - Temporary LaborTemporary Labor 27,008.15 37,614.87 95,900.00 750.93 5,296.73 41,100.00 10,289.78 106,383.78 - 137,000.00 (12,295.38) 67 - OtherOther 8,421.89 1,631,096.20 2,205,300.00 2,953.44 683,083.92 908,700.00 - - - 3,114,000.00 799,819.88 54 - StandbyStandby 6,716.85 64,222.59 96,500.00 355.64 3,597.96 5,500.00 4,162.68 38,283.38 65,000.00 167,000.00 60,896.07 61 - Water SupplyWater Supply 441.05 1,168,325.17 1,462,000.00 - - - - - - 1,462,000.00 293,674.83 71 - Debt ServiceDebt Service - 775,000.00 1,775,000.00 - 175,000.00 270,000.00 - 7,667,532.36 8,370,000.00 10,415,000.00 1,797,467.64 81 - Capital ImprovementCapital Improvement 553,245.81 1,189,018.67 4,041,000.00 - - - - - - 4,041,000.00 2,851,981.33 82 - Capital OutlayCapital Outlay 176,160.56 441,816.35 1,640,400.00 13,632.99 52,087.88 153,600.00 - - - 1,794,000.00 1,300,095.77 83 - Accounting Income Add backAccounting Income Add back (553,245.81) (1,964,018.67) - - (175,000.00) - - (4,578,574.12) - - 6,717,592.79 88 - Transfer from ReservesTransfer to Reserves - - 3,552,900.00 - - 517,100.00 - - 22,532,000.00 26,602,000.00 26,602,000.00 99 - 99Transfer from Reserves - - (6,388,500.00) - - (122,500.00) - - - (6,511,000.00) (6,511,000.00) Expense Total:1,652,083.82 18,086,960.95 31,740,000.00 341,054.30 4,003,501.79 7,225,000.00 605,039.53 9,723,695.03 41,383,000.00 80,348,000.00 48,533,842.23 Total Surplus (Deficit):1,132,484.57$ 7,668,614.88$ -$ 253,437.43$ 1,355,770.71$ -$ 636,269.80$ 26,055,618.19$ -$ -$ (35,080,003.78)$ Unaudited Revenue and Expense Budget-to-Actual by Category Month Ended February 28, 2026 WATER WASTEWATER DISTRICT WIDERECLAMATION Page 2 of 6 ADOPTED ADOPTED ADOPTED ADOPTED REMAINING MTD YTD BUDGET MTD YTD BUDGET MTD YTD BUDGET TOTAL BUDGET BUDGET Revenue 41 - Water SalesWater Sales 1,203,632.51$ 13,774,040.91$ 18,900,000.00$ -$ -$ -$ -$ 618,464.21$ 1,237,000.00$ 20,137,000.00$ 5,744,494.88$ 42 - Meter ChargesMeter Charges 1,002,574.17 7,617,151.52 11,525,000.00 - - - - - - 11,525,000.00 3,907,848.48 43 - PenaltiesPenalties 55,267.66 453,263.69 360,000.00 2,056.05 16,856.38 130,000.00 4,112.00 33,424.00 90,000.00 580,000.00 76,455.93 44 - Wastewater System ChargesWastewater System Charges - - - 561,690.04 4,593,453.87 6,870,000.00 - - - 6,870,000.00 2,276,546.13 45 - Wastewater Treatment ChargesWastewater Treatment Charges - - - - - - 1,118,568.21 9,294,111.08 13,835,000.00 13,835,000.00 4,540,888.92 46 - Other Operating RevenueOther Operating Revenue 481,708.66 3,336,997.20 30,000.00 23,071.00 593,089.14 5,000.00 87,616.00 1,897,528.67 515,000.00 550,000.00 (5,277,615.01) 47 - Non Operating RevenueNon Operating Revenue 41,385.39 574,122.51 925,000.00 7,674.64 155,873.11 220,000.00 31,013.12 23,935,785.26 25,706,000.00 26,851,000.00 2,185,219.12 56 - BenefitsBenefits - - - - - - - - - - - Revenue Total:2,784,568.39 25,755,575.83 31,740,000.00 594,491.73 5,359,272.50 7,225,000.00 1,241,309.33 35,779,313.22 41,383,000.00 80,348,000.00 13,453,838.45 Program: 1000 - Governing Board Total:1000 - Governing Board 10,697.17 116,404.64 186,200.00 4,520.60 47,875.50 79,800.00 - - - 266,000.00 101,719.86 Program: 2000 - General Administration Total:2000 - General Administration 49,282.08 581,641.86 954,600.00 19,947.50 241,642.69 409,400.00 - - - 1,364,000.00 540,715.45 Program: 2100 - Human Resources Total:2100 - Human Resources 42,812.27 2,052,063.90 2,846,200.00 18,348.05 875,522.97 1,219,800.00 - - - 4,066,000.00 1,138,413.13 Program: 2200 - Public Affairs Total:2200 - Public Affairs 63,131.56 597,008.78 1,141,700.00 25,576.63 260,695.12 489,300.00 - - - 1,631,000.00 773,296.10 Program: 2300 - Conservation Total:2300 - Conservation 18,974.31 252,840.63 626,000.00 - - - - - - 626,000.00 373,159.37 Program: 3000 - Finance Total:3000 - Finance & Accounting 65,220.08 688,077.07 1,113,700.00 27,716.49 307,175.78 477,300.00 - - - 1,591,000.00 595,747.15 Program: 3200 - Information Technology Total:3200 - Information Technology 115,738.59 897,772.55 1,384,600.00 49,602.14 386,333.95 593,400.00 - - - 1,978,000.00 693,893.50 Program: 3300 - Customer Service Total:3300 - Customer Service 103,005.94 1,038,894.44 1,632,400.00 43,687.67 441,512.51 699,600.00 - - - 2,332,000.00 851,593.05 Program: 3400 - Meter Services Total:3400 - Meter Services 20,732.24 206,389.32 315,000.00 - - - - - - 315,000.00 108,610.68 Program: 4000 - Engineering Surplus Total:4000 - Engineering 106,346.60 485,718.67 1,085,700.00 14,817.16 148,208.67 465,300.00 - - - 1,551,000.00 917,072.66 Program: 5000 - Water Production Total:5000 - Water Production 213,836.36 4,688,009.40 6,846,000.00 - - - - - - 6,846,000.00 2,157,990.60 Program: 5100 - Water Treatment Total:5100 - Water Treatment 106,633.19 1,190,650.54 1,775,000.00 - - - - - - 1,775,000.00 584,349.46 Program: 5200 - Water Quality Total:5200 - Water Quality 34,733.48 381,403.48 666,000.00 - - - - - - 666,000.00 284,596.52 Program: 6000 - Maintenance Administration Total:6000 - Maintenance Administration 29,213.69 310,086.75 443,700.00 3,041.41 32,905.58 49,300.00 - - - 493,000.00 150,007.67 Program: 6100 - Water Maintenance Total:6100 - Water Maintenance 362,344.33 2,585,873.98 3,924,000.00 - - - - - - 3,924,000.00 1,338,126.02 Program: 6200 - Wastewater Collection Total:6200 - Wastewater Collection - - - 68,185.16 594,392.72 990,000.00 - - - 990,000.00 395,607.28 Program: 6200 - Wastewater Collection Total:6300 - Water Reclamation - - - - - - 605,039.53 6,634,736.79 10,481,000.00 10,481,000.00 3,846,263.21 Program: 7000 - Facilities Maintenance Total:7000 - Facilities Maintenance 82,001.82 1,176,221.10 1,521,800.00 30,027.37 445,690.83 652,200.00 - - - 2,174,000.00 552,088.07 Program: 7100 - Fleet Maintenance Total:7100 - Fleet Maintenance 51,219.55 396,087.49 656,600.00 21,951.13 169,457.59 281,400.00 - - - 938,000.00 372,454.92 Program: 8000 - Capital Total:8000 - Capital 176,160.56 441,816.35 4,620,800.00 13,632.99 52,087.88 818,200.00 - 3,088,958.24 30,902,000.00 36,341,000.00 32,758,137.53 Total Surplus (Deficit):1,132,484.57$ 7,668,614.88$ -$ 253,437.43$ 1,355,770.71$ -$ 636,269.80$ 26,055,618.19$ -$ -$ (35,080,003.78)$ WATER WASTEWATER DISTRICT WIDE Revenue and Expense Budget-to-Actual by Program Month Ended February 28, 2026 Unaudited RECLAMATION Page 3 of 6 ADOPTED ADOPTED ADOPTED ADOPTED REMAINING MTD YTD BUDGET MTD YTD BUDGET MTD YTD BUDGET TOTAL BUDGET BUDGET Revenue 41 - Water SalesWater Sales 1,203,632.51$ 13,774,040.91$ 18,900,000.00$ -$ -$ -$ -$ 618,464.21$ 1,237,000.00$ 20,137,000.00$ 5,744,494.88$ 42 - Meter ChargesMeter Charges 1,002,574.17 7,617,151.52 11,525,000.00 - - - - - - 11,525,000.00 3,907,848.48 43 - PenaltiesPenalties 55,267.66 453,263.69 360,000.00 2,056.05 16,856.38 130,000.00 4,112.00 33,424.00 90,000.00 580,000.00 76,455.93 44 - Wastewater System ChargesWastewater System Charges - - - 561,690.04 4,593,453.87 6,870,000.00 - - - 6,870,000.00 2,276,546.13 45 - Wastewater Treatment ChargesWastewater Treatment Charges - - - - - - 1,118,568.21 9,294,111.08 13,835,000.00 13,835,000.00 4,540,888.92 46 - Other Operating RevenueOther Operating Revenue 481,708.66 3,336,997.20 30,000.00 23,071.00 593,089.14 5,000.00 87,616.00 1,897,528.67 515,000.00 550,000.00 (5,277,615.01) 47 - Non Operating RevenueNon Operating Revenue 41,385.39 574,122.51 925,000.00 7,674.64 155,873.11 220,000.00 31,013.12 23,935,785.26 25,706,000.00 26,851,000.00 2,185,219.12 48 - Gain or Loss on DispositionGain or Loss on Disposition - - - - - - - - - - - 56 - BenefitsBenefits - - - - - - - - - - - 68 - DepreciationDepreciation - - - - - - - - - - - Revenue Total:2,784,568.39 25,755,575.83 31,740,000.00 594,491.73 5,359,272.50 7,225,000.00 1,241,309.33 35,779,313.22 41,383,000.00 80,348,000.00 13,453,838.45 - - - - - - - - Program: 1000 - Governing Board - - - - - 51 - LaborLabor 5,723.20$ 52,904.93$ 95,900.00$ 2,452.80$ 22,673.53$ 41,100.00$ -$ -$ -$ 137,000.00$ 61,421.54$ 56 - BenefitsBenefits 4,824.87 47,738.31 65,100.00 2,067.80 20,459.34 27,900.00 - - - 93,000.00 24,802.35 62 - Materials and SuppliesMaterials and Supplies - - 2,100.00 - - 900.00 - - - 3,000.00 3,000.00 63 - Contract ServicesContract Services - 4,473.00 5,600.00 - 1,917.00 2,400.00 - - - 8,000.00 1,610.00 65 - Professional DevelopmentProfessional Development 149.10 11,288.40 17,500.00 - 2,825.63 7,500.00 - - - 25,000.00 10,885.97 Program: 1000 - Governing Board Total:10,697.17 116,404.64 186,200.00 4,520.60 47,875.50 79,800.00 - - - 266,000.00 101,719.86 - - - - - - Program: 2000 - General Administration - - - - - 51 - LaborLabor 32,468.80 297,706.78 453,600.00 13,915.20 127,588.60 194,400.00 - - - 648,000.00 222,704.62 52 - Temporary LaborTemporary Labor 1,752.15 12,358.87 18,900.00 750.93 5,296.73 8,100.00 - - - 27,000.00 9,344.40 53 - OvertimeOvertime 233.68 1,942.51 4,900.00 100.16 832.54 2,100.00 - - - 7,000.00 4,224.95 56 - BenefitsBenefits 11,936.15 148,519.93 197,400.00 3,942.08 56,018.94 84,600.00 - - - 282,000.00 77,461.13 62 - Materials and SuppliesMaterials and Supplies - 655.80 4,200.00 - 281.03 1,800.00 - - - 6,000.00 5,063.17 63 - Contract ServicesContract Services - 48,784.07 172,200.00 - 20,907.44 73,800.00 - - - 246,000.00 176,308.49 64 - UtilitiesUtilities 152.90 1,394.45 2,800.00 65.53 597.64 1,200.00 - - - 4,000.00 2,007.91 65 - Professional DevelopmentProfessional Development 2,738.40 70,279.45 100,600.00 1,173.60 30,119.77 43,400.00 - - - 144,000.00 43,600.78 Program: 2000 - General Administration Total:49,282.08 581,641.86 954,600.00 19,947.50 241,642.69 409,400.00 - - - 1,364,000.00 540,715.45 - - - - - - Program: 2100 - Human Resources - - - - - - 51 - LaborLabor 18,108.51 154,926.71 257,600.00 7,760.77 66,397.00 110,400.00 - - - 368,000.00 146,676.29 52 - Temporary LaborTemporary Labor - - - - - - - - - - - 53 - OvertimeOvertime 56.97 769.14 2,100.00 24.42 329.64 900.00 - - - 3,000.00 1,901.22 56 - BenefitsBenefits 6,157.12 128,037.06 162,400.00 2,638.72 54,872.42 69,600.00 - - - 232,000.00 49,090.52 62 - Materials and SuppliesMaterials and Supplies - 3,849.01 6,300.00 - 323.62 2,700.00 - - - 9,000.00 4,827.37 63 - Contract ServicesContract Services 11,515.44 153,640.90 264,600.00 4,935.18 65,846.11 113,400.00 - - - 378,000.00 158,512.99 64 - UtilitiesUtilities 82.87 661.45 1,400.00 35.52 283.50 600.00 - - - 2,000.00 1,055.05 65 - Professional DevelopmentProfessional Development - 16,317.02 35,700.00 - 4,386.76 15,300.00 - - - 51,000.00 30,296.22 67 - OtherOther 6,891.36 1,593,862.61 2,116,100.00 2,953.44 683,083.92 906,900.00 - - - 3,023,000.00 746,053.47 Program: 2100 - Human Resources Total:42,812.27 2,052,063.90 2,846,200.00 18,348.05 875,522.97 1,219,800.00 - - - 4,066,000.00 1,138,413.13 - - - - - - Program: 2200 - Public Affairs - - - - - - 51 - LaborLabor 24,890.34 241,453.66 401,800.00 10,667.26 103,480.00 172,200.00 - - - 574,000.00 229,066.34 52 - Temporary LaborTemporary Labor - - - - - - - - - - - 53 - OvertimeOvertime 256.39 4,612.78 11,900.00 109.87 1,976.91 5,100.00 - - - 17,000.00 10,410.31 56 - BenefitsBenefits 5,272.08 87,940.12 118,300.00 2,259.40 37,687.90 50,700.00 - - - 169,000.00 43,371.98 62 - Materials and SuppliesMaterials and Supplies 57.22 22,529.44 81,900.00 24.52 9,655.45 35,100.00 - - - 117,000.00 84,815.11 63 - Contract ServicesContract Services 32,101.22 221,989.17 460,600.00 12,278.02 99,973.32 197,400.00 - - - 658,000.00 336,037.51 64 - UtilitiesUtilities 190.31 1,942.05 26,600.00 81.56 832.31 11,400.00 - - - 38,000.00 35,225.64 65 - Professional DevelopmentProfessional Development 364.00 16,541.56 40,600.00 156.00 7,089.23 17,400.00 - - - 58,000.00 34,369.21 Program: 2200 - Public Affairs Total:63,131.56 597,008.78 1,141,700.00 25,576.63 260,695.12 489,300.00 - - - 1,631,000.00 773,296.10 - - - - - - Program: 2300 - Conservation - - - - - - 51 - LaborLabor 9,200.00 78,185.06 126,000.00 - - - - - - 126,000.00 47,814.94 52 - Temporary LaborTemporary Labor - - - - - - - - - - - 53 - OvertimeOvertime - 1,811.25 7,000.00 - - - - - - 7,000.00 5,188.75 56 - BenefitsBenefits 3,415.96 28,169.52 45,000.00 - - - - - - 45,000.00 16,830.48 62 - Materials and SuppliesMaterials and Supplies - 19,772.62 40,000.00 - - - - - - 40,000.00 20,227.38 63 - Contract ServicesContract Services 5,000.00 74,437.95 292,000.00 - - - - - - 292,000.00 217,562.05 64 - UtilitiesUtilities 38.37 7,802.86 16,000.00 - - - - - - 16,000.00 8,197.14 65 - Professional DevelopmentProfessional Development - 6,004.16 15,000.00 - - - - - - 15,000.00 8,995.84 67 - OtherOther 1,319.98 36,657.21 85,000.00 - - - - - - 85,000.00 48,342.79 Program: 2300 - Conservation Total:18,974.31 252,840.63 626,000.00 - - - - - - 626,000.00 373,159.37 Program: 3000 - Finance & Accounting - - - - - - 51 - LaborLabor 44,306.08 374,206.15 613,900.00 18,988.32 162,162.50 263,100.00 - - - 877,000.00 340,631.35 52 - Temporary LaborTemporary Labor - - - - - - - - - - - 53 - OvertimeOvertime 556.10 10,607.58 9,100.00 238.33 4,546.11 3,900.00 - - - 13,000.00 (2,153.69) 56 - BenefitsBenefits 15,873.41 218,273.15 301,000.00 6,802.76 106,048.81 129,000.00 - - - 430,000.00 105,678.04 62 - Materials and SuppliesMaterials and Supplies 120.69 2,837.74 4,900.00 51.72 1,216.16 2,100.00 - - - 7,000.00 2,946.10 63 - Contract ServicesContract Services 4,254.05 68,278.27 157,500.00 1,588.32 27,256.14 67,500.00 - - - 225,000.00 129,465.59 64 - UtilitiesUtilities 109.75 888.88 2,800.00 47.04 380.93 1,200.00 - - - 4,000.00 2,730.19 65 - Professional DevelopmentProfessional Development - 12,985.30 24,500.00 - 5,565.13 10,500.00 - - - 35,000.00 16,449.57 67 - OtherOther - - - - - - - - - - - Program: 3000 - Finance & Accounting Total:65,220.08 688,077.07 1,113,700.00 27,716.49 307,175.78 477,300.00 - - - 1,591,000.00 595,747.15 - - - - - - Month Ended February 28, 2026 Unaudited Program Expense Detail Budget-to-Actual WATER WASTEWATER DISTRICT WIDERECLAMATION Page 4 of 6 ADOPTED ADOPTED ADOPTED ADOPTED REMAINING MTD YTD BUDGET MTD YTD BUDGET MTD YTD BUDGET TOTAL BUDGET BUDGET Month Ended February 28, 2026 Unaudited Program Expense Detail Budget-to-Actual WATER WASTEWATER DISTRICT WIDERECLAMATION Program: 3200 - Information Technology - - - - - - 51 - LaborLabor 28,302.40 232,917.85 392,000.00 12,129.60 101,207.36 168,000.00 - - - 560,000.00 225,874.79 52 - Temporary LaborTemporary Labor - - - - - - - - - - - 53 - OvertimeOvertime 76.92 76.92 - 32.97 32.97 - - - - - (109.89) 56 - BenefitsBenefits 10,335.09 188,017.44 247,100.00 4,429.21 80,767.73 105,900.00 - - - 353,000.00 84,214.83 62 - Materials and SuppliesMaterials and Supplies 13,065.73 53,248.86 56,700.00 5,599.57 22,820.90 24,300.00 - - - 81,000.00 4,930.24 63 - Contract ServicesContract Services 63,061.55 410,677.32 668,500.00 27,026.40 176,004.62 286,500.00 - - - 955,000.00 368,318.06 64 - UtilitiesUtilities 896.90 10,687.84 8,400.00 384.39 4,580.51 3,600.00 - - - 12,000.00 (3,268.35) 65 - Professional DevelopmentProfessional Development - 2,146.32 11,900.00 - 919.86 5,100.00 - - - 17,000.00 13,933.82 Program: 3200 - Information Technology Total:115,738.59 897,772.55 1,384,600.00 49,602.14 386,333.95 593,400.00 - - - 1,978,000.00 693,893.50 - - - - - - Program: 3300 - Customer Service - - - - - - 51 - LaborLabor 25,324.32 277,722.94 462,000.00 10,853.28 119,024.12 198,000.00 - - - 660,000.00 263,252.94 52 - Temporary LaborTemporary Labor - - - - - - - - - - - 53 - OvertimeOvertime 1,352.79 8,557.85 26,600.00 579.79 3,667.71 11,400.00 - - - 38,000.00 25,774.44 56 - BenefitsBenefits 10,689.95 177,539.63 233,100.00 4,581.33 76,086.44 99,900.00 - - - 333,000.00 79,373.93 62 - Materials and SuppliesMaterials and Supplies 221.39 1,268.32 4,900.00 94.88 543.56 2,100.00 - - - 7,000.00 5,188.12 63 - Contract ServicesContract Services 52,863.88 467,783.00 737,800.00 22,655.93 200,478.52 316,200.00 - - - 1,054,000.00 385,738.48 64 - UtilitiesUtilities 12,343.06 101,697.86 149,800.00 4,922.46 40,150.70 64,200.00 - - - 214,000.00 72,151.44 65 - Professional DevelopmentProfessional Development - 3,643.42 14,000.00 - 1,561.46 6,000.00 - - - 20,000.00 14,795.12 67 - OtherOther 210.55 681.42 4,200.00 - - 1,800.00 - - - 6,000.00 5,318.58 Program: 3300 - Customer Service Total:103,005.94 1,038,894.44 1,632,400.00 43,687.67 441,512.51 699,600.00 - - - 2,332,000.00 851,593.05 - - - - - - Program: 3400 - Meter Services - - - - - - 51 - LaborLabor 13,561.60 115,615.07 186,000.00 - - - - - - 186,000.00 70,384.93 53 - OvertimeOvertime 762.84 7,850.90 6,000.00 - - - - - - 6,000.00 (1,850.90) 56 - BenefitsBenefits 6,185.82 79,999.03 109,000.00 - - - - - - 109,000.00 29,000.97 62 - Materials and SuppliesMaterials and Supplies - 34.80 4,000.00 - - - - - - 4,000.00 3,965.20 63 - Contract ServicesContract Services 143.60 2,086.50 8,000.00 - - - - - - 8,000.00 5,913.50 64 - UtilitiesUtilities 78.38 803.02 2,000.00 - - - - - - 2,000.00 1,196.98 65 - Professional DevelopmentProfessional Development - - - - - - - - - - - Program: 3400 - Meter Services Total:20,732.24 206,389.32 315,000.00 - - - - - - 315,000.00 108,610.68 - - - - - - Program: 4000 - Engineering - - - - - - 51 - LaborLabor 23,442.72 230,750.58 398,300.00 10,046.88 105,192.66 170,700.00 - - - 569,000.00 233,056.76 52 - Temporary LaborTemporary Labor 25,256.00 25,256.00 77,000.00 - - 33,000.00 - - - 110,000.00 84,744.00 53 - OvertimeOvertime - - - - - - - - - - - 56 - BenefitsBenefits 6,087.39 62,900.27 91,700.00 2,608.84 26,956.72 39,300.00 - - - 131,000.00 41,143.01 62 - Materials and SuppliesMaterials and Supplies - 417.18 4,200.00 - 178.80 1,800.00 - - - 6,000.00 5,404.02 63 - Contract ServicesContract Services 50,643.71 107,320.74 436,800.00 2,099.87 14,244.69 187,200.00 - - - 624,000.00 502,434.57 64 - UtilitiesUtilities 916.78 56,224.18 68,600.00 61.57 427.35 29,400.00 - - - 98,000.00 41,348.47 65 - Professional DevelopmentProfessional Development - 2,849.72 9,100.00 - 1,208.45 3,900.00 - - - 13,000.00 8,941.83 Program: 4000 - Engineering Total:106,346.60 485,718.67 1,085,700.00 14,817.16 148,208.67 465,300.00 - - - 1,551,000.00 917,072.66 - - - - - - Program: 5000 - Water Production - - - - - - 51 - LaborLabor 66,762.36 572,004.23 920,000.00 - - - - - - 920,000.00 347,995.77 53 - OvertimeOvertime 6,332.53 57,335.41 89,000.00 - - - - - - 89,000.00 31,664.59 54 - StandbyStandby 3,388.89 30,126.83 47,000.00 - - - - - - 47,000.00 16,873.17 56 - BenefitsBenefits 22,363.36 326,800.68 419,000.00 - - - - - - 419,000.00 92,199.32 61 - Water SupplyWater Supply 441.05 1,168,325.17 1,462,000.00 - - - - - - 1,462,000.00 293,674.83 62 - Materials and SuppliesMaterials and Supplies 26,336.75 199,668.47 288,000.00 - - - - - - 288,000.00 88,331.53 63 - Contract ServicesContract Services 86,638.18 164,201.64 511,000.00 - - - - - - 511,000.00 346,798.36 64 - UtilitiesUtilities 1,573.24 2,164,882.24 3,099,000.00 - - - - - - 3,099,000.00 934,117.76 65 - Professional DevelopmentProfessional Development - 4,664.73 11,000.00 - - - - - - 11,000.00 6,335.27 Program: 5000 - Water Production Total:213,836.36 4,688,009.40 6,846,000.00 - - - - - - 6,846,000.00 2,157,990.60 - - - - - - Program: 5100 - Water Treatment - - - - - - 51 - LaborLabor 22,636.80 193,060.62 312,000.00 - - - - - - 312,000.00 118,939.38 53 - OvertimeOvertime 2,162.82 18,938.01 39,000.00 - - - - - - 39,000.00 20,061.99 56 - BenefitsBenefits 6,900.45 155,780.47 192,000.00 - - - - - - 192,000.00 36,219.53 62 - Materials and SuppliesMaterials and Supplies 54,693.56 261,632.84 325,000.00 - - - - - - 325,000.00 63,367.16 63 - Contract ServicesContract Services 10,145.56 391,629.41 664,000.00 - - - - - - 664,000.00 272,370.59 64 - UtilitiesUtilities 10,094.00 169,609.19 243,000.00 - - - - - - 243,000.00 73,390.81 Program: 5100 - Water Treatment Total:106,633.19 1,190,650.54 1,775,000.00 - - - - - - 1,775,000.00 584,349.46 - - - - - - Program: 5200 - Water Quality - - - - - - 51 - LaborLabor 21,737.60 182,890.00 298,000.00 - - - - - - 298,000.00 115,110.00 53 - OvertimeOvertime 311.04 4,658.40 12,000.00 - - - - - - 12,000.00 7,341.60 56 - BenefitsBenefits 7,314.92 111,654.96 159,000.00 - - - - - - 159,000.00 47,345.04 62 - Materials and SuppliesMaterials and Supplies 32.28 16,124.74 29,000.00 - - - - - - 29,000.00 12,875.26 63 - Contract ServicesContract Services 5,337.64 64,638.71 159,000.00 - - - - - - 159,000.00 94,361.29 64 - UtilitiesUtilities - 86.58 2,000.00 - - - - - - 2,000.00 1,913.42 65 - Professional DevelopmentProfessional Development - 1,350.09 7,000.00 - - - - - - 7,000.00 5,649.91 Program: 5200 - Water Quality Total:34,733.48 381,403.48 666,000.00 - - - - - - 666,000.00 284,596.52 - - - - - - Page 5 of 6 ADOPTED ADOPTED ADOPTED ADOPTED REMAINING MTD YTD BUDGET MTD YTD BUDGET MTD YTD BUDGET TOTAL BUDGET BUDGET Month Ended February 28, 2026 Unaudited Program Expense Detail Budget-to-Actual WATER WASTEWATER DISTRICT WIDERECLAMATION Program: 6000 - Maintenance Administration - - - - - - 51 - LaborLabor 15,807.16 134,571.91 212,400.00 1,756.36 15,043.09 23,600.00 - - - 236,000.00 86,385.00 52 - Temporary LaborTemporary Labor - - - - - - - - - - - 53 - OvertimeOvertime 1,128.31 3,403.70 1,800.00 125.36 378.19 200.00 - - - 2,000.00 (1,781.89) 54 - StandbyStandby 3,327.96 34,095.76 49,500.00 355.64 3,597.96 5,500.00 - - - 55,000.00 17,306.28 56 - BenefitsBenefits 7,162.49 96,194.78 117,900.00 795.69 10,687.30 13,100.00 - - - 131,000.00 24,117.92 62 - Materials and SuppliesMaterials and Supplies 32.70 129.68 2,700.00 - - 300.00 - - - 3,000.00 2,870.32 63 - Contract ServicesContract Services 75.32 681.46 1,800.00 8.36 75.77 200.00 - - - 2,000.00 1,242.77 64 - UtilitiesUtilities 1,679.75 28,204.29 36,900.00 - 1,400.54 4,100.00 - - - 41,000.00 11,395.17 65 - Professional DevelopmentProfessional Development - 12,910.21 20,700.00 - 1,722.73 2,300.00 - - - 23,000.00 8,367.06 67 - OtherOther - (105.04) - - 105.04 Program: 6000 - Maintenance Administration Total:29,213.69 310,086.75 443,700.00 3,041.41 32,905.58 49,300.00 - - - 493,000.00 150,007.67 - - - - - - Program: 6100 - Water Maintenance - - - - - - 51 - LaborLabor 99,238.46 774,401.81 1,292,000.00 - - - - - - 1,292,000.00 517,598.19 53 - OvertimeOvertime 31,115.06 296,078.96 430,000.00 - - - - - - 430,000.00 133,921.04 56 - BenefitsBenefits 40,541.91 471,967.39 623,000.00 - - - - - - 623,000.00 151,032.61 62 - Materials and SuppliesMaterials and Supplies 134,198.86 550,385.48 897,000.00 - - - - - - 897,000.00 346,614.52 63 - Contract ServicesContract Services 57,250.04 493,040.34 682,000.00 - - - - - - 682,000.00 188,959.66 64 - UtilitiesUtilities - - - - - - - - - - - Program: 6100 - Water Maintenance Total:362,344.33 2,585,873.98 3,924,000.00 - - - - - - 3,924,000.00 1,338,126.02 - - - - - - Program: 6200 - Wastewater Collection - - - - - - 51 - LaborLabor - - - 29,267.20 223,346.49 411,000.00 - - - 411,000.00 187,653.51 53 - OvertimeOvertime - - - - 4,648.70 11,000.00 - - - 11,000.00 6,351.30 56 - BenefitsBenefits - - - 8,258.65 109,099.73 187,000.00 - - - 187,000.00 77,900.27 62 - Materials and SuppliesMaterials and Supplies - - - 11,945.56 12,271.48 38,000.00 - - - 38,000.00 25,728.52 63 - Contract ServicesContract Services - - - 18,713.75 244,601.32 343,000.00 - - - 343,000.00 98,398.68 64 - UtilitiesUtilities - - - - - - - - - - - 65 - Professional DevelopmentProfessional Development - - - - 425.00 - - - - - (425.00) Program: 6200 - Wastewater Collection Total:- - - 68,185.16 594,392.72 990,000.00 - - - 990,000.00 395,607.28 - - - - - - Program: 6300 - Water Reclamation - - - - - - 51 - LaborLabor - - - - - - 79,239.31 728,989.48 1,301,000.00 1,301,000.00 572,010.52 52 - Temporary LaborTemporary Labor - - - - - - 10,289.78 106,383.78 - - (106,383.78) 53 - OvertimeOvertime - - - - - - 21,862.34 206,684.10 280,000.00 280,000.00 73,315.90 54 - StandbyStandby - - - - - - 4,162.68 38,283.38 65,000.00 65,000.00 26,716.62 56 - BenefitsBenefits - - - - - - 33,778.52 458,758.34 608,000.00 608,000.00 149,241.66 62 - Materials and SuppliesMaterials and Supplies - - - - - - 109,316.24 675,995.66 1,281,000.00 1,281,000.00 605,004.34 63 - Contract ServicesContract Services - - - - - - 181,010.89 2,639,271.42 4,353,000.00 4,353,000.00 1,713,728.58 64 - UtilitiesUtilities - - - - - - 165,379.77 1,771,901.46 2,579,000.00 2,579,000.00 807,098.54 65 - Professional DevelopmentProfessional Development - - - - - - - 8,469.17 14,000.00 14,000.00 5,530.83 Program: 6300 - Water Reclamation Total:- - - - - - 605,039.53 6,634,736.79 10,481,000.00 10,481,000.00 3,846,263.21 - - - - - - Program: 7000 - Facilities Maintenance - - - - - - 51 - LaborLabor 12,413.21 105,667.70 170,100.00 5,319.91 45,276.98 72,900.00 - - - 243,000.00 92,055.32 53 - OvertimeOvertime 364.90 8,777.92 9,800.00 156.38 3,761.96 4,200.00 - - - 14,000.00 1,460.12 56 - BenefitsBenefits 4,866.85 74,757.69 95,900.00 2,085.88 32,177.71 41,100.00 - - - 137,000.00 30,064.60 62 - Materials and SuppliesMaterials and Supplies 1,639.77 43,395.06 67,900.00 702.77 18,079.62 29,100.00 - - - 97,000.00 35,525.32 63 - Contract ServicesContract Services 55,073.24 749,616.78 900,900.00 19,979.66 279,876.11 386,100.00 - - - 1,287,000.00 257,507.11 64 - UtilitiesUtilities 7,643.85 193,751.70 275,100.00 1,782.77 66,409.48 117,900.00 - - - 393,000.00 132,838.82 65 - Professional DevelopmentProfessional Development - 254.25 2,100.00 - 108.97 900.00 - - - 3,000.00 2,636.78 Program: 7000 - Facilities Maintenance Total:82,001.82 1,176,221.10 1,521,800.00 30,027.37 445,690.83 652,200.00 - - - 2,174,000.00 552,088.07 - - - Program: 7100 - Fleet Maintenance - - - - - - 51 - LaborLabor 5,782.56 49,138.11 79,800.00 2,478.24 21,059.19 34,200.00 - - - 114,000.00 43,802.70 53 - OvertimeOvertime 867.39 4,824.87 7,000.00 371.74 2,067.78 3,000.00 - - - 10,000.00 3,107.35 56 - BenefitsBenefits 2,295.40 18,813.22 30,100.00 983.67 7,922.68 12,900.00 - - - 43,000.00 16,264.10 62 - Materials and SuppliesMaterials and Supplies 6,345.40 79,746.40 126,000.00 2,719.45 34,091.02 54,000.00 - - - 180,000.00 66,162.58 63 - Contract ServicesContract Services 8,368.22 126,432.17 214,200.00 3,586.36 54,185.35 91,800.00 - - - 306,000.00 125,382.48 64 - UtilitiesUtilities 27,560.58 116,922.47 196,700.00 11,811.67 50,083.89 84,300.00 - - - 281,000.00 113,993.64 65 - Professional DevelopmentProfessional Development - 210.25 2,800.00 - 47.68 1,200.00 - - - 4,000.00 3,742.07 Program: 7100 - Fleet Maintenance Total:51,219.55 396,087.49 656,600.00 21,951.13 169,457.59 281,400.00 - - - 938,000.00 372,454.92 - - - Program: 8000 - Capital - - - - - 11 - Capital Assets not being DepreciatedCapital Assets not being Depreciated - - - - - - - - - - - 71 - Debt ServiceDebt Service - Principal - 775,000.00 1,028,000.00 - 175,000.00 175,000.00 - 4,578,574.12 5,280,000.00 6,483,000.00 954,425.88 75 - Other Non Operating ExpenseDebt Service - Interest - - 747,000.00 - - 95,000.00 - 3,088,958.24 3,090,000.00 3,932,000.00 843,041.76 81 - Capital ImprovementCapital Improvement 553,245.81 1,189,018.67 4,041,000.00 - - - - - - 4,041,000.00 2,851,981.33 82 - Capital OutlayCapital Outlay 176,160.56 441,816.35 1,640,400.00 13,632.99 52,087.88 153,600.00 - - - 1,794,000.00 1,300,095.77 83 - Accounting Income Add backAccounting Income Add back (553,245.81) (1,964,018.67) - - (175,000.00) - - (4,578,574.12) - - 6,717,592.79 88 - Transfer To (From) ReservesTransfer to Reserves - - 3,552,900.00 - - 517,100.00 - - 22,532,000.00 26,602,000.00 26,602,000.00 99 - 99Transfer from Reserves - - (6,388,500.00) - - (122,500.00) - - - (6,511,000.00) (6,511,000.00) Program: 8000 - Capital Total:176,160.56 441,816.35 4,620,800.00 13,632.99 52,087.88 818,200.00 - 3,088,958.24 30,902,000.00 36,341,000.00 32,758,137.53 Total Surplus (Deficit):1,132,484.57$ 7,668,614.88$ -$ 253,437.43$ 1,355,770.71$ -$ 636,269.80$ 26,055,618.19$ -$ -$ (35,080,003.78)$ Page 6 of 6 Agenda Item #2g April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #2g Consent Item 1 8 2 2 Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Accept and File Investment Report for Quarter Ended March 31, 2026 RECOMMENDATION That the Board of Directors accept and file the attached Investment Report for the quarter ended March 31, 2026. BACKGROUND / ANALYSIS California Government Code §53646(b) requires the Treasurer or CFO of a local agency to submit a quarterly report on the agency’s investments to the legislative body of the agency within 45 days of the end of each quarter. The attached Investment Report shows all the District’s cash and investments, restricted and unrestricted, as of March 31, 2026. Attachment A presents the investment securities purchased and retired during the quarter January to March 2026. Increases and decreases in highly liquid funds, such as LAIF, are explained in the narrative below. Unrestricted Investments LAIF The balance held in the Local Agency Investment Fund (LAIF) at the beginning of the quarter was $19,026,039. Interest earned during the previous quarter of $198,199 was posted to the account in January. There was one $12,000,000 deposit to, and one $1,000,000 withdrawal from, LAIF during the quarter, leaving a balance at the end of March of $30,224,238. LAIF earnings for the quarter ending March 31, 2026, were $296,147 calculated at an apportionment rate of 3.98%; down from 4.2% which had been in effect for the previous quarter. The earnings were posted to the District’s account on April 15, 2026. California CLASS The balance held in the California CLASS at the beginning of the quarter was $3,822,732. The District made one transfer into California CLASS during the quarter to the debt service reserve for the SNRC loan totaling $10,000,000. Interest earnings during the current quarter of $121,500 were posted to the account this quarter. The District transfers in and interest deposits received raised the balance to $13,944,232, which was the balance at the end of the quarter. Agenda Item #2g April 22, 20262 Meeting Date: April 22, 2026 Agenda Item #2g Consent Item 1 8 2 2 U.S. Bank Fixed Income Account The District’s portfolio of investments in securities is held in a custodial account with U.S. Bank as recommended by California Government Code section 53601. Investment manager(s), currently just Citizen’s Business Bank Wealth Management, are granted access to the account to direct the reinvestment of proceeds when securities are called, or mature, in accordance with the District’s investment policy. The total (book) value of the assets held in the U.S. Bank custodial account increased from $17,147,231 to $17,255,002 during the quarter ended March 31, 2026. The balance in this account is held both in a money market account, $1,192,311, and in a $16,062,691 portfolio of Treasury and federal agency securities shown on Attachment A. There were no transfers into or out of the U.S. Bank account during the quarter. Net interest payments received on securities in the District’s portfolio were $101,695 and funds held in the money market account earned dividends of $7,738. Investment manager fees paid during the quarter were $3,000, and amortization on premiums / accretion of discounts taken at the time of purchase of certain securities, increased the value of the portfolio by $1,338. The following schedule summarizes the activity for Unrestricted Investments during the Quarter ended March 31, 2026: A B D ( P E F D A E L 1$1$1$-$-$3$ C 3 1 1 --1 U 1 -1 (1 1 Restricted Investments The District has also engaged U.S. Bank to act as Trustee on behalf of bondholders of the District’s Series 2020A and 2020B Refunding Revenue bonds. Initially the accounts were used to distribute bond proceeds, and are now used to receive District deposits, from which the Trustee makes semi-annual payments to the bondholders. Semi-annual bond payment dates are April 1st and October 1st. Accordingly, deposits sufficient to cover principal and interest payments on April 1, 2026 were made to the accounts in March 2026. There were no other transactions that affected the account balances, except for nominal interest earnings on the balances that were held briefly in the accounts prior to the interest payments. Summary Schedule of U.S. Bank Trustee Accounts Agenda Item #2g April 22, 20263 Meeting Date: April 22, 2026 Agenda Item #2g Consent Item 1 8 2 2 The following schedule summarizes activity in the U.S. Bank Trust accounts for the Quarter ended March 31, 2026: 2 A B D D E T W P B P -$2$-$-$($-$ I 1 2 1 --2 P ------ 2 A B D D E T W P B P -$1$-$-$($-$ I -1 ---1 P ------ DISTRICT PILLARS AND STRATEGIES II - Sustainability, Transparency, and Accountability a. Uphold Transparent and Accountable Fiscal and Resource Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer ATTACHMENTS Investment Report Quarter Ended Mar 2026 Attachment A-US Bank Investment Activity Quarter Ended Mar 2026 EAST VALLEY WATER DISTRICT Investment Activity Quarter Ended March 31, 2026 Purch Units /Maturity Amort Cost Adjusted Cost Matured /Market Date Issuer CUSIP Yield Face Value Date Total Adjustment 3/1/2026 Purchases Called Total Water Sewer Reclamation Value 03/31/21 US Treasury Note (UST0026A 91282CBT7 0.750%- 03/31/26 499,736.87 263.13 500,000.00 500,000.00 - - - 12/27/23 US Treasury Note (UST4326)91282CJP7 4.375%600,000 12/15/26 602,186.44 (582.44) 601,604.00 601,604.00 601,604.00 602,574.00 04/22/24 US Treasury Note 91282CJC6 4.625%200,000 10/15/26 199,631.37 119.91 199,751.28 199,751.28 199,751.28 200,904.00 04/05/24 US Treasury Note 91282CKH3 4.500%- 03/31/26 499,692.77 307.23 500,000.00 500,000.00 - - - 4/10 & 4/11 US Treasury Note 91282CKJ9 4.500%800,000 04/15/27 797,464.56 502.72 797,967.28 797,967.28 797,967.28 806,088.00 09/23/24 US Treasury Note 91282CLL3 3.375%500,000 09/15/27 499,153.66 129.15 499,282.81 499,282.81 499,282.81 496,740.00 02/13/25 US Treasury Note UST4228 91282CMN8 4.125%200,000 02/15/28 199,699.06 32.58 199,731.64 199,731.64 199,731.64 201,532.00 05/15/25 US Treasury Note UST3728 91282CND9 3.625%200,000 05/15/28 299,578.24 41.86 299,620.10 299,620.10 299,620.10 299,589.00 10/31/25 US Treasury Note UST3630 91282CPD7 3.625%400,000 05/15/28 399,875.00 0.86 399,875.86 399,875.86 399,875.86 394,828.00 10/31/25 US Treasury Note 91282CMA6 4.125%300,000 05/15/28 713,247.64 (794.72) 712,452.92 712,452.92 712,452.92 705,796.00 11/26/25 US Treasury Note 91282CPN5 3.625%600,000 11/30/30 596,558.57 150.13 596,708.70 596,708.70 596,708.70 588,960.00 12/08/25 US Treasury Note 91282CFC0 2.625%300,000 07/31/29 290,070.12 642.03 290,712.15 290,712.15 290,712.15 288,540.00 12/15/25 US Treasury Note 91282CPP0 3.500%600,000 12/15/28 598,973.68 66.62 599,040.30 599,040.30 599,040.30 595,032.00 01/13/26 US Treasury Note 91282CPT2 3.500%500,000 01/15/29 - 69.42 69.42 498,671.88 498,741.30 498,741.30 495,740.00 01/13/26 US Treasury Note 91282CPR6 3.625%500,000 12/31/30 - 97.43 97.43 497,109.38 497,206.81 497,206.81 493,205.00 01/28/26 US Treasury Note 91282CPW5 3.750%300,000 01/31/31 - 21.28 21.28 298,886.72 298,908.00 298,908.00 297,444.00 03/31/26 US Treasury Note 91282CQG9 3.875%300,000 01/31/31 - - - 671,183.59 671,183.59 671,183.59 697,760.00 07/30/20 FHLMC MTN 3134HAGV9 4.000%- 08/27/27 497,930.22 220.01 498,150.23 498,150.23 - - - 04/14/25 FHLMC MTN 3134HBKC4 4.150%100,000 04/17/28 500,000.00 500,000.00 500,000.00 500,000.00 499,980.00 09/23/21 Federal Home Loan Bank 3130APAZ8 1.030%200,000 09/30/26 200,000.00 200,000.00 200,000.00 200,000.00 197,290.00 03/25/21 Federal Home Loan Bank 3130ALUF9 1.000%- 03/30/26 300,000.00 300,000.00 300,000.00 - - - 09/17/21 Federal Home Loan Bank 3130AP6M2 1.020%400,000 09/30/26 400,000.00 400,000.00 400,000.00 400,000.00 394,672.00 10/25/24 Federal Home Loan Bank 3130B3G72 4.250%300,000 10/22/27 300,000.00 300,000.00 300,000.00 300,000.00 299,838.00 10/30/24 Federal Home Loan Bank 3130B3JC8 4.310%200,000 10/20/27 200,000.00 200,000.00 200,000.00 200,000.00 199,948.00 10/15/21 Federal Home Loan Bank 3130APJ55 1.250%300,000 10/26/26 299,999.24 299,999.24 299,999.24 299,999.24 295,764.00 04/10/24 Federal Home Loan Bank 3130B0UQ0 5.000%500,000 04/15/27 500,000.00 500,000.00 500,000.00 500,000.00 500,245.00 04/22/24 Federal Home Loan Bank 3130B13F2 4.910%450,000 11/27/26 450,152.76 (55.23) 450,097.53 450,097.53 450,097.53 453,114.00 11/17/21 Federal Farm Credit Bank 3133ENEM8 1.430%200,000 11/23/26 200,000.00 200,000.00 200,000.00 200,000.00 197,040.00 01/27/25 Federal Home Loan Bank 3130B4R52 4.500%500,000 10/27/28 500,000.00 500,000.00 500,000.00 500,000.00 501,495.00 01/24/25 Federal Home Loan Bank 3130B4SN2 4.500%500,000 07/28/28 500,000.00 500,000.00 500,000.00 500,000.00 500,650.00 02/18/25 Federal Home Loan Bank 3130B54T2 4.550%- 08/18/27 200,000.00 200,000.00 200,000.00 - - - 02/21/25 Federal Home Loan Bank 3130B4YG0 4.550%200,000 08/14/29 199,815.64 47.05 199,862.69 199,862.69 199,862.69 200,082.00 12/18/24 Federal Home Loan Bank 3130B4BW0 4.500%500,000 06/12/28 500,000.00 500,000.00 500,000.00 500,000.00 500,160.00 04/16/25 Federal Home Loan Bank 3130B5XT0 4.050%300,000 10/21/27 300,000.00 300,000.00 300,000.00 300,000.00 299,844.00 05/08/25 Federal Home Loan Bank 3130B6CN4 4.125%200,000 05/03/30 200,000.00 200,000.00 200,000.00 200,000.00 198,568.00 05/22/25 Federal Home Loan Bank 3130B6JZ0 4.250%300,000 11/22/27 300,000.00 300,000.00 300,000.00 300,000.00 299,910.00 06/26/25 Federal Home Loan Bank 3130B6VG8 4.100%300,000 06/26/28 300,000.00 300,000.00 300,000.00 300,000.00 299,889.00 07/31/25 Federal Home Loan Bank 3130B72H6 4.300%500,000 07/15/30 500,000.00 500,000.00 500,000.00 500,000.00 500,510.00 09/25/25 Federal Home Loan Bank 3130B7WY6 3.900%200,000 10/02/29 200,000.00 200,000.00 200,000.00 200,000.00 199,174.00 10/02/25 Federal Home Loan Bank 3130B7WX8 3.800%700,000 10/02/28 700,000.00 700,000.00 700,000.00 700,000.00 696,745.00 03/12/26 Federal Home Loan Bank 3130B9RS1 3.700%400,000 03/12/29 - - 400,000.00 400,000.00 400,000.00 397,672.00 03/17/26 Federal Home Loan Bank 3130B9RR3 3.920%400,000 03/17/31 - - 400,000.00 400,000.00 400,000.00 396,856.00 01/16/25 FNMA 3136GA5M7 4.550%- 01/13/28 299,970.92 29.08 300,000.00 300,000.00 - - - 03/31/25 FHLMC MTN 3134HBGK1 4.175%500,000 04/01/27 500,000.00 500,000.00 500,000.00 500,000.00 500,000.00 08/29/25 FHLMC MTN 3136GAPH6 4.065%350,000 08/27/30 349,915.36 29.77 349,945.13 349,945.13 349,945.13 348,792.50 15,200,000.00 15,593,652.12 1,337.87 15,594,989.99 2,765,851.57 2,298,150.23 16,062,691.33 13,912,871.10 2,149,820.23 - 16,042,970.50 Adjusted Cost 3/31/2026 Attachment A Agenda Item #3a April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #3a Informational Item 1 8 1 8 Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: FY 2026-27 Program Goals and Objectives Workshop RECOMMENDATION This agenda item is for informational purposes only, no action required. BACKGROUND / ANALYSIS East Valley Water District (District) is a performance-based organization, focused on achievement of goals derived from the Strategic Plan and 5-Year Work Plan adopted by the Board of Directors (Board). The 5-Year Work Plan is the framework of long-term goals related to District infrastructure improvements, operations, administration, and community engagement. Each year the 5-Year Work Plan is updated and used as a reference to develop an annual work plan for the upcoming fiscal year. With the adoption of the updated Strategic Plan in October 2024, the District celebrated the completion of the Sterling Natural Resource Center, and started a new chapter focused on replacing and maintaining aging infrastructure, while utilizing technology to further enhance services to our ratepayers. The following five Pillars in the updated Strategic Plan are reflected in the 5-Year Work Plan, and in the program goals and objectives being presented: 1. Effective Solutions 2. Sustainability, Transparency, and Accountability 3. Organizational Resiliency 4. Planning, Maintenance and Preservation of District Resources 5. Community Engagement, Advocacy, and Leadership The draft goals and objectives for each program are included in Attachment A. Many of the objectives are related directly to strategic initiatives identified in the 5-Year Work Plan. District staff will provide a mid-year and year-end update on each department’s objectives presented in the budget. Agenda Item #3a April 22, 20262 Meeting Date: April 22, 2026 Agenda Item #3a Informational Item 1 8 1 8 DISTRICT PILLARS AND STRATEGIES I - Effective Solutions b. Encourage Performance Based Results through Staff Empowerment II - Sustainability, Transparency, and Accountability a. Uphold Transparent and Accountable Fiscal and Resource Management REVIEW BY OTHERS This agenda item has been reviewed by all Departments and will be presented to the Community Advisory Commission. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Program goals and objectives will be used to support funding requests submitted in the proposed 2026-27 fiscal year budget, which will be submitted for Board review at the first Board meeting in June. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Rudy Guerrero Finance Manager ATTACHMENTS Presentation-Goals & Objectives FY 2026-27 Draft Goals & Objectives by Program FY 2026-27 GOALS & OBJECTIVES FY 2026-27 Program Managers April 22, 2026 STRATEGIC PLANNING WORKFLOW 2 DISTRICT PILLARS 3 Effective Solutions Sustainability, Transparency, and Accountability Planning, Maintenance, and Preservation of District Resources Organizational Resiliency Community Engagement, Advocacy, and Leadership PROGRAM SUMMARIES 4 GOVERNING BOARD 5 Policy Decisions Engage Community Strategic Priorities GENERAL ADMINISTRATION 6 City Creek Water Company Document and Records Management Optimize Agenda Management Platform Organizational Priorities / Philosophies FINANCE & ACCOUNTING 7 Enhance Financial Strategy Strengthen Governance Controls Adopt Biennial Budget 7 HUMAN RESOURCES & RISK MANAGEMENT 8 Emergency Preparedness Program Positive Organizational Culture Provide Educational Opportunities 8 PUBLIC AFFAIRS 9 Strategic Community Engagement Enhance District’s Priorities Legislative and Grants CONSERVATION 10 Water Use Efficiencies Rebate Program Water Resource Education 10 CUSTOMER SERVICE 11 Organizational Service Needs Resource Conservation Tools State Compliance 11 INFORMATION TECHNOLOGY 12 Technology Infrastructure Systems and Cybersecurity Reporting and Automation METER SERVICES 13 AMI Inspection Program AMI Coverage Meter Testing Compliance 13 WATER PRODUCTION 14 SNRC Discharge Location Water Production Reliability Rehabilitate Plant Components 14 WATER TREATMENT 15 Maximize Water Production Replacement Plan Assess Infrastructure and Technology 15 WATER QUALITY 16 Water Quality Compliance Cross-Connection Program Enhancements Fats, Oils, and Grease Program 16 WATER MAINTENANCE 17 Water System Supply Water Main Replacement Program Maintenance Program 17 WASTEWATER COLLECTION 18 Maintenance and Management Support FOG Program Clear Sewer Mains FACILITIES MAINTENANCE 19 Rehabilitate Facilities Security Needs Dispose Surplus Parcels FLEET MAINTENANCE 20 Surplus and Disposal Air Quality Management New Legislation Affects 20 WATER RECLAMATION 21 SNRC Resourcing Compliance Requirements Long-Term Sustainability ENGINEERING 22 Capital Improvement Program Water and Energy Resources 22 DISCUSSION Governing Board The Governing Board is the legislative body of the organization. Comprised of five members elected at-large to four-year staggered terms of office. Governing Board members are responsible for providing leadership, direction, and serving as the organizational policy makers. Goals Objectives 1 Provide Organizational Direction and Set Expectations through Policy Decisions Consistent with the 5- Year Work Plan Conduct General Manager/CEO annual evaluation. Review and approve the 5-Year Work Plan update. Maintain fiduciary responsibility and transparency while setting budgets and approving rates to support the 5-Year Work Plan. 2 Engage Stakeholders Regarding District’s Capital Expenditure Priorities Meet with community members and local agencies to share current Work-in-Progress. Meet with legislators to discuss Federal/State funding opportunities and legislative priorities. Communicate rate study findings to stakeholders and community. 3 Engage Elected Officials and Community on the District’s Strategic and Legislative Priorities Review and adopt the updated Legislative Platform. Engage with legislators to promote the legislative platform. Meet with community, local, and regional elected officials to promote the Strategic Plan, Goals, and Objectives. General Administration General Administration is responsible for ensuring the District’s business and daily activities are performed following Federal, State, and Governing Board approved policies. The General Manager/CEO provides daily oversight for interagency relations for advancing the District’s initiatives. Additionally, the General Manager/CEO implements strategic planning for future operations and capital improvement funding requirements and resource allocation. Goals Objectives 1 Evaluate Dissolving City Creek Water Company Negotiate with final shareholder to purchase remaining shares and consider disposition of properties. Evaluate disposition of City Creek Water Company assets. 2 Enhance Document Management Process Continue to scan vital documents and incorporate them into the electronic document repository. Continue destruction of documents in compliance with the Records Retention Policy. Implement automated workflow and naming convention for Operations’ electronic file management. Train departments on the process/standards of classifying files in accordance with the Records Retention Policy. 3 Optimize Agenda Management Platform Review current agenda management platform and determine if new features or upgrades are necessary. 4 Organizational Priorities and Philosophies Determine direction and activities of the Community Heritage and Education Foundation (CHEF). Assess and review District processes, systems, staffing, and regulations. Coordinate Board Member Elections and orientation process for directors. Develop and maintain procedures to declare properties for surplus. Human Resources & Risk Management Human Resources & Risk Management is responsible for administering programs to attract and retain a diverse and qualified workforce. To remain an industry leader, this Program analyzes compensation and benefits packages against the market and implements new initiatives based upon market demands. Acknowledging the need to build a work-life balance to support a successful workforce, Human Resources & Risk Management creates programs focused on the health and wellness of all employees. Additionally, Human Resources & Risk Management administers the Risk Management Program to: mitigate personnel injuries, property damage, and financial loss for the District; the Emergency Preparedness Program to ensure business continuity and recovery efforts in the event of a disaster; and the Pathway Program which provides water industry career education and internship opportunities to local students. Goals Objectives 1 Advance the District’s Emergency Preparedness Program Develop an emergency preparedness training program and prepare employees to follow plans established by the District. Develop and update District Emergency Operations Center training materials and enhance EOC supply inventory. Establish a vehicle and equipment inspection program to ensure the District’s fleet is fully prepared for emergency response. 2 Promote a Positive Organizational Culture that Maintains a Supportive and Encouraging Work Environment Update the District’s Succession Plan to continue identifying organizational growth, prepare for future retirements, and continue to provide training and development opportunities for staff. Implement agreed-upon salaries, benefits, and related programs as approved with the MOU. Facilitate quarterly activities that support employee engagement, team building, and empowerment. Develop a plan for converting employee personnel records into a secure electronic format. Research and launch a new employee engagement survey. 3 Promote Regional Involvement and Provide Workforce Experience and Educational Opportunities Actively engage schools within the District’s service area to promote participation in water industry workforce experiences. Enhance educational Pathways and interactive tours of the SNRC with hands on lab experiments for students to understand wastewater physical and biological processes. Public Affairs Public Affairs oversees internal and external communication programs consistent with the District’s Vision and Strategic Plan. Through community and media relations, this Program provides effective and strategic communications to various stakeholders. Public Affairs is also responsible for grant writing, legislative affairs, and the facility rental programs. Goals Objectives 1 Enhance Strategic Community Engagement Initiatives Develop a Strategic Communications plan to enhance and refine the District’s messaging while engaging the community. Engage with community members and organizations through pop-ups, presentations, and local events. Identify new community groups, HOAs, and informal neighborhood organizations to develop relationships with the “informal” community leaders. Conduct a community recruitment process and onboarding/training to fill CAC vacancies. 2 Utilize Communication Methods that Enhance the District’s Priorities Refine customer messaging touchpoints to enhance the new customer welcome packets and monthly customer bill. Audit and review the customer experience and identify improvements necessary to better communicate and improve the experience. 3 Legislative and Grants Continue to monitor, track, and review legislative bills that have an impact on District customers. Continue to monitor and respond to grant opportunities in accordance with the District’s grant platform. Conservation Conservation is responsible for overseeing programs that facilitate and encourage sustainable water use throughout the District. Additionally, this program is responsible for communicating conservation benchmarks to various regulatory agencies, preparing regulatory compliance documents, and monitoring regulatory conservation requirements. Goals Objectives 1 Coordinate Program Working Groups to Complete Conservation Reports and Monitor Progress on Water Use Efficiency Objectives Continue to hold internal coordination meetings for the purpose of tracking informational data requests for State mandated reports and identifying data inputs for new reporting requirements. Prepare and submit required water efficiency reports such as the Drought and Conservation reporting and Urban Water Use Objectives. Facilitate water efficiency programs to meet Urban Water Use Objectives. Submit an updated ordinance with including Nonfunctional Turf mandates to the State Water Resources Control Board by required deadline. 2 Evaluate Rebate Program Success and Implement Program Modifications Objectives Digitize the rebate program and improve the customer experience. Continue to analyze water consumption data to better understand historical conservation responses to forecast trends. Enhance rebate programs to maximize customer water savings through development of new rebate opportunities specifically focused towards CII accounts and the removal of turf. 3 Engage and Educate the Community on Water Resources Consistent with State Curriculum Objectives Continue to engage with students in a classroom environment to provide current water conservation and water resource materials consistent with State curriculum. Engage the CII community of nonfunctional turf requirements. Finance & Accounting Finance and Accounting oversees the business operations of the District to provide accountability and adequate control over the use of District funds. Staff maintains the financial systems and records in accordance with GAAP as well as applicable laws, regulations, and District policies. Goals Objectives 1 Strengthen Financial Management, Reporting, and Strategic Planning Review adequacy of all utility services to establish rates of current costs. Review and implement financial GASB 103 reporting standards. Ensure fiscal agent account transactions for revenue and CFD bonds are recorded timely. Consider alternatives for new capital financing needs, including issuing new debt. Review and assess the current investment strategy, investment manager relationships, and investment types. 2 Improve Governance, Compliance, and Operational Controls Conduct internal assessment of the contract compliance and RFP posting process. Create a Credit Card policy for Board approval. Update the Fraud Prevention and Operating and Capital Budget policies for Board approval. Assess the District’s current Tyler ERP and review potential implementation of the platform. 3 Transition from an Annual Financial Budget to a Biennial Document Develop the two-year budget framework and forecasting tools. Expand financial planning to include multi-year projections and assumptions. Prepare an annual budget with a second-year projection. Refine assumptions and processes based on internal use before full implementation. Information Technology The Information Technology (IT) Program oversees the District’s technology infrastructure to support essential business and operational functions. The functions utilize industry specific software programs required to meet agency needs. This Program implements routine cybersecurity training campaigns to mitigate financial and data loss. In addition to software management, IT proactively schedules hardware replacements from the point of procurement to installation. Goals Objectives 1 Ensure Reliability of Technology Infrastructure for Primary Business and Operation Requirements Replace technology that has reached end of its useful life to comply with hardware replacement schedule. Migrate the District’s phone system to Session Initiated Protocol (SIP) trunk routing through the CISCO platform. Upgrade three SNRC SCADA servers. 2 Enhance Systems and Cybersecurity Measures for Response Functions Evaluate CISCO advanced cybersecurity applications to monitor application performance, and quickly identify and resolve connectivity issues across internal and external network paths. Enhance and upgrade VMWare platform for SNRC SCADA hardware. 3 Analyze Current Systems to Enhance Reporting and Automate Processes Continue to work with the General Manager/CEO and Department heads to identify data-based decisions and source of supporting data. Work with Finance and Operations to create workflow and update Fixed Asset information for GIS tracking. Implement a GIS internal portal that displays the District’s pressure zones. Customer Service The Customer Service Department serves as the primary point of contact for residents and businesses, assisting with account setup, billing inquiries, and service requests. They help customers understand their water usage, resolve issues, and ensure timely payment processing. Goals Objectives 1 Address Organizational Service Needs Streamline customer payment process and assess processing fees charge to ratepayer. Develop training SOP for Customer Service Representatives to ensure consist onboarding and professional development. Continue seeking cooperation from the County and City of San Bernardino to identify additional billable ADUs within mutual service areas. 2 Enhance Customer Utilization of Resource Conservation Tools Create customized leak alerts and over-budget usage notifications to help customers track their water consumption. Assess the District’s approach to customer paperless billing and encourage use of paperless billing. 3 Refine Data in Billing System Toward Compliance with State Indoor and Outdoor Water Usage Goals Continue to track the number of household occupants in the Billing system to reconcile with District population from external sources. Reduce the number of accounts with default occupant numbers by 10%. Complete final 3% classification for Commercial, Industrial, and Institutional (CII) customers in accordance with WaterUse regulations. Meter Services The Meter Services Program maintains a network of approximately 23,000 Advanced Metering Infrastructure (AMI) meters. The AMI meter Program provides the District and its customers with near real-time consumption information; and conducts routine maintenance, testing, and replacement of meters to ensure billing is accurate. Goals Objectives 1 Continue Preventative Maintenance and Inspections of the AMI System Identify eight vault lids for replacement. Visually inspect meter boxes in routes where read problems are occurring. 2 Work Towards a Goal of 95% Read Reliability Continue to monitor read reliability throughout the District and provide the General Manager/CEO with monthly updates. Conduct an evaluation to identify which data collectors need replacement. 3 Continue Meter Testing Programs in Compliance with State Water Audits Best Practices Conduct an audit of 10% of large meters for accuracy to ensure compliance with AWWA standards. Replace large meters that do not meet AWWA standards. Engineering The Engineering Program responsibilities include infrastructure planning, maintaining a safe and reliable water supply, and ensuring compliance with Federal and State regulations. This Program also oversees wastewater collection and reclamation capital projects. Goals Objectives 1 Develop and Implement the District’s Capital Improvement Program to Address Rehabilitation and Maintenance Needs While Preparing for New Development Complete construction of the water facilities upgrade at Plant 101. Conduct the bid phase and start construction of grant-funded pipeline replacements (Dwight/Sterling), pending FEMA approval of Phase I. Complete grant-funded design package for pipeline replacements (Mountain/Marshall). Initiate and complete rehabilitation of the reservoir at Plant 99. Construct water monitoring wells near Plant 40 for recycled water recharge testing. Evaluate treatment process improvements to allow treatment of lower quality local surface water to optimize the cost of operating Plant 134. 2 Develop Plans to Optimize District Water and Energy Resources Complete construction of equipping the new well at Plant 129. Develop RFP for Engineering analysis of alternative energy generation opportunities. Complete well drilling and equipping design packages and initiate drilling construction for new Well 152 at District Headquarters site to improve water supply capacity. Water Production Water Production is responsible for the daily monitoring and operations of the entire water production system to ensure preventative maintenance of all pumps, motors, wells, boosters, reservoirs, pressure regulating valves (PRVs), hydro-pneumatic plants, and the SCADA system. This Program is also responsible for the delivery of Santa Ana River water through the North Fork Water Company canal/pipeline. Goals Objectives 1 Implement a Plan to Identify and Enhance Water Sources’ Requirements Due to the SNRC Discharge Location Work with Engineering team and contractor on new well equipping at Plant 129. Work with Engineering team and contractor on drilling new well at District Headquarters (Plant 152). 2 Enhance the SCADA System to Improve Water Production Reliability Evaluate and replace aging equipment in SCADA cabinets at all District sites. Replace emergency UPS batteries at all District sites. 3 Rehabilitate Plant Components to Ensure Water Production Coordinate replacement and associated plumbing repairs with Water Maintenance for isolation valves critical to the Intermediate and Lower Zones PRV (Pacific/Osbun). Solicit proposals and finalize new master agreements for pump and motor maintenance. Replace obsolete soft start electrical device at plant sites. Water Treatment Water Treatment is responsible for the management of two different sources of supply used by the District. The District operates Plant 134, a Surface Water Treatment Plant, that can treat Santa Ana River water and imported water from the State Water Project. Staff also operate two unique groundwater treatment facilities. Goals Objectives 1 Maximize Plant 134 Water Production Monitor backwash sludge for the solids handling process. Prioritize in real-time which source water to use for District needs. 2 Develop a Long-Term Replacement Plan Based on Plant Performance Track individual membrane integrity test (MIT) results and repairs to prioritize replacement schedule. Begin Phase I of the second cycle to replace membrane trains at Plant 134. 3 Evaluate Aging Infrastructure and Technology at Plant 134 Evaluate replacement of control systems. Replace sedimentation isolation valves. Replace chlorine dosing pump. Water Quality Water Quality is responsible for ensuring District compliance with State and Federal Drinking Water Regulations. This program manages Backflow Prevention, Water Sampling, Fire Hydrant Flushing Programs, and the Fats, Oils, and Grease (FOG) program for SNRC pre-treatment. Goals Objectives 1 Evaluate Water Quality Regulations and Improve Process Efficiencies to Enhance Water Quality Compliance Complete the update on Watershed Sanitary Survey that is required every five years. Conduct performance testing of re-activated carbon for possible use at Plants 134 and 28A. Maintain overall water quality compliance with State and Federal requirements. 2 Implement California Cross-Connection Control Policy Handbook Requirements Update District Ordinance to reflect State Policy changes. Continue site assessments in accordance with plan submitted to State. 3 Evaluate FOG Program Procedures for Effectiveness Continue to identify and investigate non-permitted locations for compliance. Work with Department staff to obtain inspector certification and training. Continue to evaluate program costs to ensure fees are adequate. Water Maintenance The Water Maintenance Program is responsible for repair and replacement of the District’s 300 miles of water pipeline. Water Maintenance coordinates with Engineering and Water Production to install water service lines, fire hydrants, meters, valves, and all related equipment. Crew members remain on standby during non-business hours to respond to customer after hours requests and emergencies. Goals Objectives 1 Prioritize Preventative Maintenance to Ensure Water System Supply Readiness Exercise approximately 1,200 isolation valves in the Distribution System to ensure readiness. Replace or repair all isolation valves identified as inoperable during valve exercise program. Coordinate with Production to perform valve replacements to Production and Treatment Facilities. Inspect, flush, and maintain 3,000 hydrants on a three-year cycle. 2 Continue Replacement Program for Water Mains Identify undersized and high priority water mains located within easements to determine whether to replace or abandon. Replace 8,000 feet of undersized water mains located within the District’s service area. Onboard two new Field Service Workers to assist with the water main replacement program. 3 Continue to Work with Production to Identify any Inoperable Valves at Plants/PRV Stations Exercise valves inside plants. Identify inoperable valves. Replace inoperable valves as needed. Wastewater Collection The Wastewater Collection Program performs routine inspections, cleaning, repairs, and replacement of the District’s 230 miles of collection pipelines. The District’s collection system has been engineered to use best practice gravity flow conveyance prior to treatment. California public health code mandates the District is responsible for inspection of wastewater collection systems. The pipeline inspection program uses a sewer inspection camera/transporter and closed-circuit television (CCTV) technology. The videoing software allows the operator to document pipeline condition attributes and location data for maintenance or replacement consideration. Along with videoing the collection pipeline, the Wastewater Collection Program conducts a daily sewer cleaning program using specialized equipment. The jetting program ensures the entire system is cleaned within 24 months, and high maintenance areas are cleaned more regularly. Goals Objectives 1 Continue Wastewater Collection System Maintenance and Management Video inspect and assess 75 miles of District sewer mains. Schedule foam blasting of identified areas to control roots. Clean 130 miles of sewer main. 2 Provide Support for the New Fats, Oils, and Grease (FOG) Program (check MH) Identify and inspect unpermitted dischargers within the collection system. Transition FOG inspection from contractor to in-house. Maintain overall system-wide compliance. 3 Keep Sewer Mains Clear of Pests and Obstructions Schedule to spray 2,500 manholes for insect control. Conduct an evaluation to identify areas requiring additional Smart Cover alarm implementation. Water Reclamation The Water Reclamation Program is responsible for treating and disinfecting up to eight million gallons of wastewater per day (MGD) at the District’s new water recycling plant known as the SNRC. SNRC operations include anaerobic digestion for energy generation to offset the cost of power needed to operate the plant. Goals Objectives 1 Evaluate SNRC Resourcing Continue participating in the summer internship program and provide learning opportunities at the SNRC. Continue to maintain an Operator in Training Program (OIT). Identify specialized system and equipment maintenance needs above current staff capacity. 2 Meet and Exceed Compliance Requirements for the SNRC Continue to manage and enforce a pre-treatment program. Continue to submit yearly Air Quality Management District (AQMD) emissions reports. Continue to submit Waste Discharge Requirements (WDR) and Master Recycling permits and reports; monthly, quarterly, and annually. 3 Operate the SNRC to Ensure Long-Term Sustainability and Resource Optimization Continue to provide operator training on the Computerized Maintenance Management System (CMMS). Continue to participate financially in coalition to implement recommendations of Salt Mitigation Feasibility Study. Continue to review backup power plan at the SNRC to ensure reliable operations of the plant and feasibility of an SCE Preferred Service (PE). Optimize digester operations to 50% average (75% end-of-year) on-site energy needs. Complete construction of the fifth Membrane Bioreactor (MBR) at the SNRC. Facilities Maintenance Facilities Maintenance is responsible for the maintenance of all District facilities. The district has several locations throughout the 30.1 square mile service area for operating the utility systems. The Program’s oversight includes administration buildings, water facilities, a water reclamation facility (SNRC), District-owned vacant properties, and easements. The purpose of this Program is to mitigate expenses by maintaining a complex facilities management system to achieve Program goals. Goals Objectives 1 Update and Adhere to Project Priority List for Upgrade / Rehabilitation of District Facilities Work with Operations Manager to Insert New Project Proposals into Priority List. Contract for painting the building at Plant 33. Contract for wall extensions at plants 108 and 33 to prevent site damage from hillside erosion. Contract for slurry seals at plants 134, 108 and district HQ to prevent costly damage to asphalt base and ensure staff and customer access to facilities. Work with Fleet Program Manager to install new chargers for electric fleet vehicles / equipment. Work with Contractor selected to assist in coordinating the upgrades on HQ remodel. 2 Maintain Focus on Access Control and Security Needs at District Sites Upgrade perimeter fencing at Plants 25, 99, 107, and 130. Identify camera monitoring options at plant sites. Reinforce doors at plant sites to harden security. 3 Assist Administration with Disposal of Surplus Parcels Identify comprehensive list of properties to be considered for disposal. Coordinate creation of a heatmap of parcel sites. Identify a real estate broker to assist with selling District properties. Fleet Maintenance Fleet Maintenance is responsible for the preventative maintenance program for all District vehicles and heavy equipment. This includes the procurement of fleet items and maintaining compliance with State and Federal air quality rules and regulations. The District fleet is comprised of light and heavy-duty utility trucks for water and wastewater crew members to maintain District infrastructure. The heavy equipment category of the fleet includes large, specialized equipment for routine maintenance and inspection of the water distribution, wastewater collection, and treatment systems. Goals Objectives 1 Identify Vehicles and Equipment Eligible for Surplus and Disposal Prepare justification and presentation to the Board for disposal. Arrange for disposal of surplus vehicles and equipment. Purchase new vehicles for the fleet. 2 Continue to Implement the Air Quality Management Program Manage all air quality regulations for AQMD and California Air Resources Board (CARB). Transmit emissions data to the Bureau of Automotive Repair (BAR) using Network Fleet devices. Submit offroad diesel and off roading reporting system (DORRS). 3 Gain Understanding of New Legislation Affecting the Fleet Maintenance Program Research and understand fleet regulations. Contract vendor to ensure the District is in compliance with zero emission regulations. Agenda Item #4a April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #4a Discussion Item 1 8 2 1 Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Consider Adoption of Resolution 2026.05, Adopting the Updated Investment Policy for Fiscal Year 2026-27 RECOMMENDATION That the Board of Directors Adopt Resolution 2026.05, Updating the Investment Policy for Fiscal Year 2026-27. BACKGROUND / ANALYSIS The Finance and Human Resources Committee recommended, at their April 14, 2026 meeting, that the Board of Directors (Board) adopt resolution 2026.05, Updating Investment Policy for Fiscal Year 2026-27. California Government Code section 53646(a) requires that the CFO/Treasurer of a local agency annually render to the legislative body a Statement of Investment Policy for consideration at a public meeting. Accordingly, a proposed Statement of Investment Policy for fiscal year 2026-27 is attached. The policy submitted to and approved by the Board on May 14, 2025 was subsequently submitted to the California Municipal Treasurers Association (CMTA) for peer review. The reviewers at CMTA scored the policy and gave their remarks and awarded the District the CMTA Investment Policy Certification. This Certification recognizes that the District’s Policy adheres to the State of California Government Code and meets program requirements within 18 different topic areas deemed to be best practices for investment policies. A copy of the Certification is attached. The policy submitted herewith shows the changes recommended by the CMTA as a result of their peer review. DISTRICT PILLARS AND STRATEGIES II - Sustainability, Transparency, and Accountability a. Uphold Transparent and Accountable Fiscal and Resource Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department and Finance and Human Resources Committee. Agenda Item #4a April 22, 20262 Meeting Date: April 22, 2026 Agenda Item #4a Discussion Item 1 8 2 1 FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer ATTACHMENTS Resolution 2026.05 Exhibit A - Investment Policy 7.6 CMTA Certification East Valley Water District 2 2 1 6 RESOLUTION NO. 2026.05 , the Board of Directors of the East Valley Water District (the “District”) desires to maintain a formal policy regarding the investment of public funds pursuant to the requirements of Government Code Sections 5921 and 53600 et seq.; and , the Board of Directors of the District has employed qualified staff to invest those funds in accordance with the law and the terms of the District’s investment policy, as well as in a manner that advances the District’s investment objectives of safety, liquidity and yield; and by the Board of Directors of the District that the East Valley Water District Investment Policy attached hereto as Exhibit “A” and incorporated in full herein by this reference is hereby adopted as the formal investment policy of the District; and that the General Manager/CEO and the Treasurer/Chief Financial Officer of the District are hereby authorized and directed to invest the District’s funds in a manner consistent with the terms hereof and in accordance with any further directions of the District’s Board of Directors; and that this Resolution supersedes Resolution No. 2025.01 adopted by the Board of Directors of the District on May 14, 2025. This Resolution shall take effect on July 1, 2026. this 22 nd day of April 2026. Ayes: Noes: Absent: Abstain: Ronald L. Coats Board President East Valley Water District 2 2 1 6 ATTEST: Michael Moore Secretary, Board of Directors April 22, 2026 I HEREBY CERTIFY that the foregoing is a full, true and correct copy of Resolution 2026.05 adopted by the Board of Directors of East Valley Water District at its Regular Meeting held April 22, 2026. Michael Moore Secretary, Board of Directors EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 1 of 15 Purpose The purpose of this policy is to establish guidelines for the prudent investment of East Valley Water District (District) funds in conformance with California Government Code requirements. Funds will be managed to provide for daily cash flow requirements and to meet the objectives of this policy. Policy It is the policy of the District to invest public funds in a manner which ensures the safety and preservation of capital while meeting reasonably anticipated operating needs, achieving a reasonable rate of return, and conforming to all state and local statutes governing the investment of public funds. Scope This policy applies to the investment of all operating funds; it does not apply to investments held in trust for the District retirement plan, or post-employment health benefits, as these investments are subject to policies established by the plan trustees. Indenture agreements specify how bond proceeds will be invested, but generally they will be invested in securities permitted by this policy. Invested funds are accounted for, and are identified in, the District’s Annual Comprehensive Financial Report. Objectives As specified in CGC §53600.5, when investing and managing public funds, the primary objectives, in priority order, of the District’s investment activities shall be: 1.Safety: Safety of principal is the foremost objective of the investment program. Investments of the East Valley Water District shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio by mitigating certain risks. Some of those risks are: A. Interest Rate Risk – the District will minimize the risk that the market value of securities in the portfolio will fall due to changes in general interest rates by: EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 2 of 15 Structuring the investment portfolio so that securities mature to meet cash requirements for ongoing operation and avoiding the need to sell securities on the open market prior to maturity. Investing operating funds primarily in short-term securities, money market mutual funds, or investment pools. B. Credit Risk – the risk that an issuer or other counterparty to an investment will not fulfill its obligations, will be reduced by: Limiting investments to higher rated securities as further described in this policy. Diversifying the investment portfolio so that potential losses on individual securities will be reduced. 2.Liquidity: The investment portfolio will remain sufficiently liquid to enable the East Valley Water District to meet all operating requirements that might be reasonably anticipated. 3.Return on Investments: The investment portfolio shall be designed with the objective of attaining the best yield or returns on investments, taking into account the investment risk constraints and liquidity needs. Return on investment is of secondary importance compared to the safety and liquidity objectives. Prudence The standard of prudence to be used by District officials involved in the investment program shall be the “prudent investor” standard and shall be applied in the context of managing the overall portfolio. The meaning of the standard of prudent investor is explained in CGC Section 53600.3, which states that “when investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 3 of 15 character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency.” The CFO/Treasurer and delegated investment officers, acting in accordance with written procedures and this Policy and exercising due diligence, shall be relieved of personal responsibility for an individual security’s credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments. Delegation of Authority The authority of the District’s Board of Directors to invest District funds is derived from California Government Code (CGC) section 53601. Section 53607 of the CGC grants the Board the authority to delegate that authority to the District’s Chief Financial Officer (CFO)/Treasurer. The authority to invest District funds is hereby delegated to the CFO/Treasurer. The CFO/Treasurer shall be responsible for all transactions undertaken and shall establish a system of controls to regulate the activities of subordinate officials in the absence of the Treasurer. All transactions will be reviewed by the Treasurer on a regular basis to ensure compliance with this Policy. No Person may engage in an investment transaction except as provided under the terms of this Investment Policy and the procedures established by the Treasurer. Ethics and Conflicts of Interest Officers and employees involved in the investment process shall refrain from personal business activity that could conflict with proper execution of the investment program or which could impair their ability to make impartial investment decisions. Employees and investment officials shall disclose to the District’s General Manager/CEO any material financial interest in financial institutions that conduct business within the District, and they shall further disclose any large personal financial/investment positions that could be related to the performance of the District. EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 4 of 15 All bond issue participants, including but not limited to, underwriters, bond counsel, financial advisors, brokers, and dealers will disclose any fee sharing arrangements or fee splitting to the CFO/Treasurer prior to the execution of any transaction. Authorized Broker-Dealers The CFO/Treasurer will maintain a list of approved financial institutions authorized to provide investment services to the District. These may include primary dealers authorized to buy and sell government securities in direct dealings with the Federal Reserve Bank of New York, or regional dealers that qualify under Securities and Exchange Commission Rule 15C3-1 (uniform net capital rule). The list of approved financial institutions will be reviewed by the CFO/Treasurer on an annual basis. All Broker Dealers who desire to conduct investment transactions with the District must supply the CFO/Treasurer with the following: Audited Financial Statements Proof of Financial Industry Regulatory Authority (FINRA) certification Proof of State of California registration Completed broker/dealer questionnaire (except Certificate of Deposit counterparties) Certification of having read the District’s investment policy and depository contracts Authorized and Suitable Investments The East Valley Water District as empowered by California Government Code (CGC) §53600, et. Seq., establishes the following as authorized investments: A.Local Agency Investment Fund (LAIF). The District may invest in the Local Agency Investment Fund established by the State Treasurer for the benefit of local agencies (CGC §16429.1). The fund must have 24-hour liquidity. There is no limitation on the percentage of the District portfolio that may be invested with LAIF, however, LAIF does impose a maximum deposit of $75 million. B.United States Treasury Securities. United States Treasury notes, bonds, or bills for which the full faith and credit of the United States is pledged for the payment of principal and interest (CGC §53601(b)). There is no limitation as to the percentage of EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 5 of 15 the District’s portfolio that may be invested in these securities, however, maximum investment maturities are limited to five years from the date of purchase. C.Federal Agency Obligations. The District is permitted to invest in federal agency or United States government sponsored enterprise obligations, participations, mortgage-backed securities or other instruments, including those issued by or fully guaranteed as to principal and interest by Federal agencies or United States government sponsored enterprises (CGC §53601(f)). Maximum maturity is limited to five years from the settlement date of purchase. There is no limitation as to the percentage of the District’s portfolio that may be invested in agencies. D.Bank Depository Accounts. The District may invest in insured or collateralized certificates of deposit, savings accounts, market rate accounts, or other bank deposits issued by a state or national bank, savings and loan associations, or state or federal credit unions located in California (CGC §53630 et. Seq.). A written depository contract is required with all institutions that hold District deposits requiring that deposits be collateralized in accordance with the California Government Code. Under provisions of the Code, California banks and savings and loan associations are required to secure the District’s deposits by pledging government securities with a value of 110% principal and accrued interest. State law also allows financial institutions to secure the District deposits by pledging first trust deed mortgage notes having a value of 150% of the District’s total deposits. The Treasurer may waive collateral requirement for the portion of any deposit insured pursuant to federal law. Securities placed in a collateral pool must provide coverage for at least 110% of all deposits that are placed in the institution. Acceptable pooled collateral is governed by CGC §53651. Real estate mortgages are not considered acceptable collateral by the District, even though they are permitted in CGC §53651(m). E. All financial institutions holding District deposits are required to provide the District with a regular statement of pooled collateral. This report will state that they are meeting the 110% collateral rule, a listing of all collateral with location and market value, plus an accountability of the total amount of deposits secured by the pool. D. Deposits are allowable in any institution that insures its deposits with the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Administration EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 6 of 15 (NCUA), and a maximum deposit of up to the federal insurance limits may be deposited in any one institution without collateral. No bank shall receive District deposits in excess of the federal insurance limits that has a long-term debt rating by Moody’s investors Service, Standard & Poor’s, or Fitch Ratings of less than ”A”. The maximum maturity is restricted to three years. In accordance with CGC §53638, no deposit shall exceed the shareholder’s equity of any depository bank, nor shall a deposit exceed the total net worth of any institution. No deposits shall be made at a state or federal credit union if a member of the Board of Directors or the General Manager/CEO or CFO/Treasurer of the District serves on the Board of Directors or a committee of the credit union. F.Municipal Securities. Registered treasury notes or bonds issued by the State of California or any of the other 49 states, including bonds payable solely out of the revenues from a revenue producing property owned, controlled, or operated by a state or by a department, board, agency, or authority of any states (CGC §53601 (c)(d)). Bonds, notes, or other evidence of debt issued by a local agency within the State of California, including issues by East Valley Water District if allowed under the bond indenture. This includes bonds payable solely out of revenue form from a revenue- producing property owned, controlled, or operated by the local agency, or by an authority of the local agency (CGC §53601 (a)(e)). Securities must have a debt rating of at least ”AA” by a Nationally Recognized Statistical Rating Organization (NRSRO). Maximum maturity is limited to five years from the settlement date of purchase, and holdings of this type of security are limited to a maximum of 20% of the District’s investment portfolio. G.Commercial Paper. Commercial paper of ”prime” quality of the highest ranking of the highest letter and number rating as provided for by a NRSRO and must be issued only by general corporations that are organized and operating within the United States and have total assets in excess of $500 million. The general corporation must have an ”A” rating or better on debt other than commercial paper, if any, assigned by an NRSRO (CGC §53601(h)). Purchases shall not exceed 5% of the outstanding paper of the issuing corporation, and maximum maturity is restricted to 270 397 days. This type of investment shall EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 7 of 15 not exceed 15% of the District’s investment portfolio. H.Placement Service Deposits. The District may invest in Certificates of Deposit placed with a private sector entity that assists in the placement of deposits with eligible financial institutions located in the United States (CGC §53601.8). The full amount of the principal and the interest that may be accrued during the maximum term of each deposit shall at all times be insured by federal deposit insurance. Placement Service Deposits, in combination with bank certificates of deposit shall not exceed 25% of the value of the District’s investments at any time. The maximum investment maturity will be restricted to three years. The District may invest in brokered or negotiable certificates of deposit through qualified brokers or deposit-placement services, provided the full amount of principal and interest is insured by the FDIC or collateralized as required by law, and subject to the limits and maturity restrictions of Government Code §§53601(i), 53601.8, and 53601.9. I.Medium Term Notes. The District may invest in corporate and depository institution debt securities issued by corporations organized and operating within the United States, or by depository institutions licensed by the United States or any state and operating within the United States (CGC §53601(k)). Securities eligible for investment under this section shall be rated ”AA” or better by an NRSRO. The maximum maturity is restricted to five years, and investment in this category of security shall not exceed 30% of the District’s investible funds, and not more than 5% from a single issuer. J.Money Market Funds. Shares of beneficial interest issued by diversified management companies that are money market funds registered with the Securities and Exchange Commission (CGC §53601(l)(2)). The Company shall either 1) have attained the highest ranking or the highest letter and numerical rating provided by not less than two NRSROs or 2) retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years of experience managing money market mutual funds with assets under management in excess of five hundred million dollars ($500,000,000). A maximum of 15% of the District’s investible funds can be invested in Money Market Mutual funds. EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 8 of 15 K.Local Government Investment Pools. Shares of beneficial interest in an investment pool created by a joint powers authority organized pursuant to CGC §6509.7 and that invest in securities and obligations authorized in the California Government Code (CGC §53601(p)). Investment is limited to pools that seek to maintain a stable Net Asset Value (NAV) and must be rated at least ”AA” or better by a NRSRO. A maximum of 25% of the District’s portfolio may be invested in Local Government Investment Pools. Prohibited Investments. Under the provision of CGC §53601.6 and §53631.5, the District shall not invest any funds covered by this Investment Policy in inverse floaters, range notes, interest-only strips derived from mortgage pools or any investment that may result in a zero-interest accrual if held to maturity. Notwithstanding the prohibition above, the District may invest in securities issued by, or backed by, the United States government that could result in zero or negative-interest accrual if held to maturity, in the event of, and for the duration of, a period of negative market interest rates (CA SB 998). Review of Investment Portfolio Investment Pools / Mutual Funds EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 9 of 15 2. A description of interest calculation and how it is distributed, and how gains and losses are treated. EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 9 of 15 EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 10 of 15 Collateralization Certificates of Deposit (CDs) - the District shall require any commercial bank or savings and loan association to deposit eligible securities with an agency of a depository approved by the State Banking Department to secure any uninsured portion of a Non-Negotiable Certificate of Deposit. The value of eligible securities as defined pursuant to California Government Code Section 53651, pledged against a Certificate of Deposit shall be equal to 150% of the face value of the CD if the securities are classified as mortgages and 110% of the face value of the CD for all other classes of security. Bank Deposits – the District shall ensure that all deposits of public funds are held only by a qualified bank or financial institution as established by California law. Deposits will be insured by the Federal Deposit Insurance Corporation (FDIC), or, to the extent the amount exceeds the insured maximum, will be collateralized in accordance with California law. Collateral will always be held by an independent third party with whom the financial institution has a current custodial agreement. Safekeeping and Custody Agreements To protect against potential losses caused by collapse of individual securities dealers, all securities owned by the East Valley Water District shall be kept in safekeeping by a third- party bank trust department, acting as agent for the District under the terms of a custody agreement executed by the bank and the District. All securities will be received and delivered using standard delivery versus payment (DVP) procedures with the District’s custodial bank, and evidenced by safekeeping receipts. Diversification and Maximum Maturities The District will diversify its investment by security type and institution. With the exception of the US Government, its agencies and instrumentalities, and the Local Agency Investment Fund, no more than 5% of the District’s total investment portfolio will be invested in a single security type with a single financial institution. To the extent possible, East Valley Water District will attempt to match its investments with anticipated cash flow requirements. Unless matched to a specific cash flow, the District will not directly invest in securities maturing more than 5 years from the date of purchase. EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 11 of 15 Reserve funds may be invested in securities exceeding 5 years if the maturity of such investments is made to coincide as nearly as practicable with the expected use of the funds. Internal Controls The CFO/Treasurer is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the District are protected from loss, theft, or misuse. The internal control structures shall be designed to provide reasonable assurance that these objectives are met. Internal controls shall be in writing and shall address the following: separation of transaction authority from accounting and record keeping, safekeeping of assets and written confirmation of telephone transactions for investments and wire transfers. The external auditors will annually review the investments and general activities associated with the investment program. This review will provide internal control by assuring compliance with the Investment Policy and District policies and procedures. Performance Standards The investment portfolio will be designed with the objective of obtaining a rate of return throughout budgetary and economic cycles, commensurate with the investment risk constraints, and the cash flow needs. The District’s investment strategy is passive. The performance of the District’s investment portfolio will be evaluated and compared to an appropriate benchmark in order to assess the success of the investment portfolio relative to the District’s Safety, Liquidity, and Return on Investments’ objectives. Investment Reporting In accordance with California Government Code §53607, the CFO/Treasurer will submit a monthly report to the Board of Directors showing all investment transactions occurring in the previous month. Further, in accordance with California Government Code §53646, the CFO/Treasurer will also prepare a quarterly Investment Report and render the report to the Board of Directors no later than 30 45 days after the close of each calendar quarter. EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 12 of 15 The report shall provide the type of investment, issuers, the date of maturity, par values and market values of each investment, transactions occurring during the reporting period, and identification of funds managed by third party managers. The report will also include 1) certification that all investment transactions have been made in compliance with the District’s Investment Policy, and 2) a statement that the District has the ability to meet all of its expenditure requirements during the next six months. Policy Adoption Adoption. This policy shall be reviewed annually with the Board of Directors and adopted by Board Resolution. Amendments. Any changes to the policy, or persons charged with maintaining internal controls over investments, must be approved by the Board. Glossary of Terms (Note: All words of a technical nature should be included. The Ffollowing is anare examples of common treasury terminology.) Agencies: Federal agency securities and/or Government-sponsored enterprises. Annual Comprehensive Financial Report (ACFR): The official annual report of the (East Valley Water District). It includes four combined financial statements prepared in conformity with Generally Accepted Accounting Principles (GAAP). It also includes supporting schedules necessary to demonstrate compliance with finance-related legal and contractual provisions, extensive introductory material, and a detailed Statistical Section. Benchmark: A comparative base for measuring the performance or risk tolerance of the investment portfolio. A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio’s investments. Broker: A broker brings buyers and sellers together for a commission. Certificate of Deposit (CD): A time deposit with a specific maturity evidenced by a Certificate. Large-denomination CDs are typically negotiable. Collateral: Securities, evidence of deposit or other property, which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies. EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 13 of 15 Coupon: (a) The annual rate of interest that a bond’s issuer promises to pay the bondholder on the bond’s face value. (b) A certificate attached to a bond evidencing interest due on a payment date. Dealer: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account. Delivery versus Payment (DVP): There are two methods of delivery of securities: delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. Discount: The difference between the cost price of a security and its maturity when quoted at lower than face value. A security selling below the original offering price shortly after sale is also considered to be at a discount. Diversification: A Dividing investment funds among a variety of securities offering independent returns. Duration: A measure of the sensitivity of the price (the value of principal) of a fixed-income investment to a change in interest rates. Duration is expressed as a number of years. Rising interest rates mean falling bond prices, while declining interest rates mean rising bond prices. Federal Credit Agencies: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals (e.g., S & L’s, small business firms, students, farmers, farm cooperatives, and exporters). Federal Deposit Insurance Corporation (FDIC): A federal agency that insures bank deposits, currently up to $250,000 per entity. Federal Reserve System: The central bank of the United States created by Congress and consisting of a seven-member Board of Governors in Washington, D.C., 12 regional banks, and about 5,700 commercial banks that are members of the system. Liquidity: A liquidity asset is one that can be converted easily and rapidly into cash without a substantial loss of value. In the money market, a security is said to be liquid if the spread between bid and asked prices is narrow and reasonable size can be done at those quotes. Local Government Investment Pool (LGIP): The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment. EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 14 of 15 Market Value: The price at which a security is trading and could presumably be purchased or sold. Maturity: The date upon which the principal or stated value of an investment becomes due and payable. Money Market: The marker in which short-term debt instruments (bills, commercial paper, bankers’ acceptances, etc.) are issued and traded. Offer: The price asked by a seller of securities. (When you are buying securities, you ask for an offer.) See Asked and Bid. Portfolio: Collection of securities held by an investor. Primary Dealer: A group of government securities dealers who submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission (SEC)-registered securities broker-dealers, banks, and a few unregulated firms. “Prudent Investor” Standard: A standard of responsibility which applies to fiduciaries. In California, the rule is stated as “Investments shall be managed with the care, skill, prudence and diligence, under the circumstances then prevailing, that a prudent person, acting in a like capacity and familiar with such matters, would use in the conduct of an enterprise of like character and with like aims to accomplish similar purposes.” Rate of Return: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond the current income return. Safekeeping: A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank’s vaults for protection. Securities and Exchange Commission: Agency created by Congress to protect investors in securities transactions by administering securities legislation. Treasury Bills: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year. EAST VALLEY WATER DISTRICT Policy Title: Investment Policy Original Approval Date: July 22, 2015 Last Revised: March 24, 2021 Policy No: 7.6 Page: 15 of 15 Treasury Bonds: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years. Treasury Notes: Medium-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities from two to 10 years. Uniform Net Capital Rule: Securities and Exchange Commission requirement that member firms as well as nonmember broker-dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1; also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm, including margin loans and commitments to purchase securities, one reason new public issues are spread among members of underwriting syndicates. Liquid capital includes cash and assets easily converted into cash. Yield: The rate of annual income return on an investment, expressed as a percentage. (a) Income Yield is obtained by dividing the current dollar income by the current market price for the security. (b) Net Yield or Yield to Maturity is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond. Board Approved: 5/14/25 5/22/24 4/12/23 4/27/22 3/24/21 5/13/20 4/24/19 4/25/18 4/12/17 4/27/16 California Municipal Treasurers Association Investment Policy Certification Issued on 3/13/2026 East Valley Water District The California Municipal Treasurers Association certifies that the investment policy of the East Valley Water District complies with the current State statutes governing the investment practices of local government entities located within the State of California. President 3/13/2026 Date Agenda Item #4b April 22, 20261 Meeting Date: April 22, 2026 Agenda Item #4b Discussion Item 1 8 2 3 Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Consider Approving the Updated Purchasing/Procurement Policy for East Valley Water District RECOMMENDATION That the Board of Directors Approve the Attached Updated Purchasing/Procurement Policy. BACKGROUND / ANALYSIS The Finance and Human Resources Committee recommended, at their April 14, 2026 meeting, that the Board of Directors (Board) approve updated Purchasing/Procurement Policy 7.1 and set a goal to review the policy for potential updates within three years. East Valley Water District (District) is an organization that strives for transparency, and to practice sound stewardship over the public funds with which it is entrusted. As such, it is prudent that the District periodically review key financial policies that provide guidelines for staff in performance of their day to day functions. One such policy is the District’s Purchasing/Procurement Policy (Policy). The current Policy, adopted in August 2011, has served the District well. However, due to ongoing changes in legal requirements, particularly those affecting Public Works projects, staff has identified and incorporated necessary revisions to ensure the District’s policy remains current and compliant. Revisions include updates to management spending authority and the incorporation of new requirements applicable to contractors bidding on Public Works projects. DISTRICT PILLARS AND STRATEGIES II - Sustainability, Transparency, and Accountability a. Uphold Transparent and Accountable Fiscal and Resource Management REVIEW BY OTHERS This agenda item has been reviewed by the Executive Team, Finance Department, Finance and Human Resources Committee, and Legal Counsel. Agenda Item #4b April 22, 20262 Meeting Date: April 22, 2026 Agenda Item #4b Discussion Item 1 8 2 3 FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer ATTACHMENTS 7.1 Purchasing Procurement Policy (redlined) Purchasing Procurement Policy (chart) EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 1 of 14 Purpose 1.1 The East Valley Water District Purchasing Policy (“Policy”) establishes procedures for acquiring services and materials, equipment and supplies (referred to collectively as “materials”), and for public works projects, for the East Valley Water District (the “District”), pursuant to Government Code Sections 54201, 54202, and 54204 and the Office of Management and Budget Uniform Grants Guidance Title 2, Subtitle A, Chapter II, Part 200, Subpart D (UGG 2 CFR 200). 1.2 This Policy establishes the Board of Directors’ (“Board”) approved policies with respect to the procurement of services and materials and for public works projects, including expenditure authorization and limits, competitive proposal and bidding requirements, and general procurement procedures. All purchases of services or materials and public works projects to be paid for by the District must adhere to the authority level and dollar limits of this Policy as set forth in Section 2, except as otherwise provided by specific terms and exceptions set forth in this Policy. Authorization 2.1 By adopting this Policy, the Board is authorizing the General Manager/CEO, or his/her designated representatives, to exercise certain duties and responsibilities that are essential for the day-to-day operation of the District. 2.2 The General Manager/CEO may delegate the procurement of services and materials and the provision of public works projects to those staff members given specific authority, consistent with the terms of this Policy. 2.3 Delegation of purchasing authority may be through the authorized use of purchasing cards, purchase orders, check requests, or other written authorization. All such purchases will be made in conformity with the policies and procedures prescribed within this Policy. 2.4 The Board-established procurement limits and contract signatory authority are listed in Table 1. These limits are applicable on a per-expenditure/per-contract basis, not on an aggregated basis, for unrelated activities. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 2 of 14 Table 1 Procurement Limits and Contract Signature Authority Title Expenditures Contract Signature Authority General Manager/CEO Up to $150,000$100,000 $150,000$100,000 and over with Board authorization Up to $150,000$100,000 without Board authorization Executive Management, Senior Management Up to $25,000 Up to $25,000 Management, Supervisors, Network Administrator Up to $10,000 Up to $10,000 Leads / Admin. Personnel Up to $5,000 None General Procurement Policies 3.1 Procurement practices shall comply with laws, regulations, and guidelines of the State of California and any other applicable law, and the provisions of grant or funding contracts, if applicable. 3.2 Any employee/individual affecting any procurement action outside of the policies and procedures established by this Policy, and without General Manager/CEO or Board authorization to do so, shall be subject to disciplinary action and/or termination in accordance with District policies. 3.3 Expenditures and contract awards must be authorized by the appropriate authorization level indicated in Table 1. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 3 of 14 3.3.1 Separating or dividing contracts into smaller components for the purpose of bringing the cost of one or more contracts below any specified sum to avoid a requirement in any section of this Policy or any policy incorporated herein is strictly prohibited. Contracts may be divided only to meet unique scheduling of a project or to accommodate necessary time frames. In addition, no specifications shall be drafted in such a manner as to limit competitive bidding or solicitation directly or indirectly to any one specific vendor, or any specific brand, product, thing, or service, except for those items that are approved as exempt from competitive bidding or solicitation requirements as provided in Section 6.1.2. 3.4 Purchase amounts include taxes and the cost of shipping, freight fees and any other charges billed by the supplier or contractor for purposes of the authorization limits under this Policy. 3.5 Purchase authorization and expenditure limits in Table 1, and competitive solicitation requirements in Table 2 and as further set forth in this Policy, are on a per purchase/per contract basis and shall not be applied as an aggregate limit to any vendor, supplier, contractor, or consultant. 3.6 With the exception of the General Manager/CEO, in the absence of an authorized signatory for a given request, authorization will be obtained from the next highest authority in Table 1. 3.7 The District may use electronic commerce (i.e. Amazon) whenever practicable or cost- effective. The District may accept electronic signatures and records in connection with District procurement, as permitted by applicable law. Procurement Methods The following methods are available to initiate a purchase request or to pay for materials, services or Public Works: 4.1 Requisition/Purchase Order (PO): Staff that require materials or services to carry out the defined duties of their positions shall submit Requisitions, in advance, for purchases in accordance with this Policy and other applicable procedures and policies of the District. The Finance Department will generate a PO from the Requisition. 4.2 Check Request: A check request can be used to initiate payment for certain limited materials or services without a PO. Check requests can be used to request payment EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 4 of 14 for Non-Discretionary Purchases, services rendered, subscriptions, membership dues, workshop/seminar/conference registrations, use of facilities, etc. 4.3 CAL-Card and Other Purchasing Cards: Designated staff may be assigned a CAL-Card for miscellaneous purchases of goods and limited services. Services acquired using the CAL-Card shall be restricted to low-risk, non-recurring services (e.g., training, conference registrations, and software subscriptions) that do not require a formal Agreement (Contract) and are within established spending limits. All other services shall require a written Agreement (Contract) in accordance with this Policy. Purchases using the CAL-Card are subject to the terms of this Policy, the District Cardholder Agreement, and any other applicable District CAL-Card policies or procedures. CAL-Card purchases may exceed individual card limits or standard purchasing thresholds, provided the purchase is reviewed and approved in advance by staff with appropriate authorization in accordance with Table 1. CAL-Card limits may be increased temporarily or permanently with approval by authorized staff. CAL-Cards should not be used if a purchase order or other form of procurement is more appropriate. 4.4 Purchase Order: A Purchase Order is used to authorize payment to a supplier, contractor, or consultant for anticipated expenditures during a fiscal year or contract term. Purchase Orders typically expire at the end of the fiscal year or upon expiration or termination of the associated contract. 4.5 Agreement (Contract): Provisions shall be made, either through specifications or procedures established by the District, for verification of the references and financial responsibility of the contracting parties prior to the award of a contract. After award, all contracts shall be executed on behalf of the District by the appropriate authorized signatory indicated in Table 1. In no case shall any contract be made if sufficient funds are not budgeted and not available to make payment promptly upon delivery or completion, or in accordance with a progress payment schedule, unless otherwise authorized and approved by the Board or approved by the General Manager/CEO as provided for in Section 5.2 (Emergency). 4.5.1 An Agreement (Contract) will be executed when an expenditure exceeds $75,000 or will require a vendor to work at District sites. 4.5.2 Multiple Year Contracts are allowed when in the best interests of the District as determined and executed by the General Manager/CEO. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 5 of 14 For purposes of procurement authorization, the dollar value of a Multiple Year Contract shall be the total contract value, including optional renewal periods, and shall state the annual maximum for expenditure in each contract year. Once initially approved in accordance with the Policy requirements, any optional renewals may then be authorized by the General Manager/CEO at the time of renewal, regardless of the dollar amount, provided the pre-priced option is consistent with the terms of the contract as initially approved. Exceptions to Pre-Authorization 5.1 Non-Discretionary Purchases do not require Board approval for payment, including those that exceed the General Manager/CEO limit of $150,000$100,000. Purchase Orders are not required for Non-Discretionary Purchases. 5.2 Emergency Work/Services: The General Manager/CEO may authorize Emergency expenditures for work, services, and/or supplies where the cost exceeds $150,000$100,000 without prior Board approval. The Board shall be notified of any expenditures for Emergency work, services, and/or supplies exceeding the General Manager/CEO’s authorization limit at the next regularly scheduled Board meeting. 5.3 Purchase requests to replenish the District’s warehouse inventory within established inventory re-order levels require no prior authorization or signatory approval under Table 1. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 5 of 14 EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 6 of 14 Competitive Selection Process 6.1 General - A competitive selection process for procurement of services, materials, and Public Works projects, is required, in accordance with the limits set forth in Table 2 below (subject to certain exceptions, qualifications, or limitations as further set forth below). Table 2 Selection Process Procurement Method Equipment, Vehicles, Software, etc. Professional or General Services Public Works / Capital Improvement Projects N/A Purchasing Card, Check Request, or PO ≤$5,000 N/A N/A Informal Quotes PO $5,000 - $10,000 ≤$10,000 N/A Written Quotes PO ≥$10,000 $10,000 - $75,000 ≤$75,000 Written Bids (RFP, RFQ, ITB) Written Agreement, PO N/A ≥$75,000 ≥$75,000 6.1.1 Competitive Solicitation – Quote, Proposal, and Bid Submissions i. Informal Quotes - For qualifying purchases (Table 2), quotes may be obtained through an informal process (e.g. web browsing or phone calls). Documentation of the bids is recommended for all purchases, but is required for purchases over $5,000. A requisition and purchase order may be issued to document small purchases, but are required for purchases over $5,000. In the event a Purchase Order is not issued, the accounts payable process will require that the invoice be signed by an authorized signor before payment is released. ii. Written Quotes - For purchases qualifying for written quotes (Table 2), a minimum of three written quotes are required. The quotes must be EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 7 of 14 documented and retained with the Purchase Order. The request for quotes must be made in a consistent manner for all vendors meaning that all vendors must receive the same information regarding specifications and requirements of the product or service. The request must also be transmitted to the vendors in a consistent manner (e.g. mail, email). iii. Written Bids (RFP, RFQ, or ITB) - For purchases falling into this category based on Table 2, Bids/Proposals shall be solicited from a minimum of three vendors and should be posted on the District’s online bid portal. A Request for Proposal (RFP), Request for Qualifications (RFQ), or Invitation to Bid (ITB) must be used to document the specifications and requirements of the product or service. Bids must be received from the vendors in written form and retained on file by the manager of the requesting department in accordance with the District’s retention policy. All bids are confidential until the deadline for bid submission or bid changes has elapsed. Under an RFP, proposers must meet specific requirements set forth by the District. Among others, they must show independence, experience, firm capacity and certain level of insurance coverage. California Public Contract Code (PCC) sets forth strict standards for public works contracts. Public works is defined as the erection, construction, alteration, repair or improvement of any public structure, building, road, or other public improvement of any kind. Contracts shall be awarded in a manner most beneficial to the District. The District shall strive to obtain the best value in awarding contracts, service agreements, and purchase agreements. 6.1.2 Exceptions from Competitive Solicitation Process - Generally solicitation of bids or proposals is preferable whenever practicable. In addition, to the exceptions stated under Section 6.3.2, the competitive solicitation requirements set forth under Table 2 may be waived when any of the following is applicable: Sole Source Purchases. Single Source Purchases. Emergency expenditures. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 8 of 14 Supplies, materials, or equipment procured through a Cooperative Purchasing program with federal, state, county, or other public agencies. After a reasonable attempt has been made to obtain competitive quotes/responses and it has been determined that no additional suppliers/providers/contractors/consultants can be located; the District has a lack of response from suppliers/providers/contractors/consultants to a competitive solicitation; or, when sufficient, satisfactory bids/proposals are not received, based on the District’s sole discretion. Purchases to replenish the District’s warehouse inventory within established inventory re-order levels. As dictated by law. 6.1.3 It shall be at the discretion of the General Manager/CEO or the Department Head to determine whether an expenditure meets the qualifications listed herein to be exempt from a competitive solicitation, subject to any Board authorization. 6.2 Public Works - Contracts for Public Works projects shall conform to applicable requirements for Public Works contracts under state law, including but not limited to requirements relating to listing of subcontractors, posting of a payment bond in an amount not less than 100% of the total contract amount (for all Public Works contracts over $25,000), contractor registration with the Department of Industrial Relations, and payment of prevailing wages (for all contracts for Public Works exceeding $1,000), or as otherwise required by statute. In addition, the District is authorized to utilize alternative project delivery methods, including design-build and progressive design-build, in accordance with applicable provisions of the California Public Contract Code. Progressive design-build projects shall be procured through a competitive best value Request for Qualifications (RFQ) process. Unless specifically waived by the District with the approval of the General Manager/CEO and District’s legal counsel, the District shall require performance bonds for all Public Works Contracts in an amount not less than 100% of the total contract amount. Public Works Contracts procured by an Invitation to Bid shall be awarded to the lowest responsive, responsible bidder. 6.3 Professional and General Services - RFPs will be initiated pursuant to the limits set forth in Table 2 when the contract is anticipated to exceed $75,000, unless the District’s EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 9 of 14 needs mandate uniquely qualified services, in which case only one proposal from a qualified firm may be solicited. Professional Services shall be engaged in accordance with California Government Code Section 4525 et seq., on the basis of demonstrated competence and qualifications for the types of services to be performed and at fair and reasonable prices to the District. 6.3.1 Exceptions from Competitive Solicitation Process - Professional Services. In addition to the exception for “uniquely qualified services” set forth under Section 6.3, the following criteria shall apply as exceptions to the competitive solicitation requirements set forth under Table 2 for Professional Services where such requirements would otherwise apply: For Professional Services estimated to cost $25,000 or less, staff may request a proposal from one (1) qualified consultant selecting from the list of qualified consultants on file with the District. For Public Works projects where the project design is scheduled in phases, the related Professional Services may be negotiated with the consultant that performed the work for a prior phase, if the consultant performed satisfactory work on the prior phase(s) in terms of quality, schedule, estimated design costs, and a satisfactory contract can be negotiated. For Professional Services in which it is impracticable to comply with the selection process because of the unique, exploratory, or experimental nature of the project, staff may request a proposal from one (1) qualified consultant selecting from a list of qualified consultants on file with the District. Prior to commencing any tasks outlined in a proposal, the consultant shall execute a Master Services Agreement ensuring that all requirements for performing work for the District have been met. 6.4 Rejecting Competitive Responses - In response to an Invitation to Bid, RFQ, or RFP, the District may reject a bid or other response which is in any way incomplete, irregular, amplified, unqualified, conditional or otherwise not in compliance with the solicitation documents in all material respects, and in accordance with law. The District may waive any informality, irregularity, immaterial defects or technicalities in any bids or other responses received; and/or cancel an invitation to bid or RFP/RFQ, or reject all bids or responses for any other reason, which indicates the cancellation or rejection of all bids or responses is in the best interest of the District, and in accordance with EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 10 of 14 law. Rejection of all bids or responses or cancellation of competitive solicitations, including determinations to re-bid, or re-solicit are subject to the same level of authority which is required to award a contract as provided under Table 1, and as required by law. 6.5 In the case of RFPs and RFQs, the General Manager/CEO and the Board reserve the right to award contracts based upon the best interests of the District, as determined by the District in its sole discretion. Change Orders Change Orders may be issued from time to time as required by changes in the specifications or conditions of a project, services performed or materials issued. 7.1 Change Orders – PO Only. Change Orders up to 10% of the original PO amount may be issued by the Purchasing or Finance Department without further approvals. A revised Purchase Order Requisition must be completed and approved at the appropriate authorization levels under Table 1 for any Change Order request exceeding the original amount by more than 10%. 7.2 Change Orders – Formal Contracts and Amendments. i.For Contracts and Amendments under $150,000$100,000: a. Change Orders up to 10% of the original contract amount can be approved by the appropriate authorization levels as outlined in Table 1 up to a maximum total contract amount of $150,000$100,000 without Board approval. b.Board approval is required for Change Order requests exceeding the original contract amount by more than 10%, or resulting in a total contract amount over $150,000$100,000. ii.For Contracts and Amendments $150,000$100,000 and over: a. Change Orders up to 10% of the original contract amount can be approved by the appropriate authorization levels as outlined in Table 1 without Board approval. b. Board approval is required for Change Order requests exceeding the original contract amount by more than a 10% increase. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 11 of 14 7.3 A Change Order exceeding the Change Order limits set forth in this article may be authorized by the General Manager/CEO prior to Board approval if, in the General Manager/CEO’s determination, any of the following circumstances exist: i. A delay in Change Order authorization could result in a negative financial impact to the District. ii. A delay in Change Order authorization could result in damage to or impairment of the operations of a District facility. iii. An Emergency exists which requires immediate work/services. The Board shall be notified of any Change Order authorization exceeding the General Manager/CEO’s authorization limit at the next regularly scheduled Board meeting. Conflict of Interest Board members, District officers, and employees shall not be financially interested in any contract made by them in their official capacity. (Government Code Section 1090). Board Members, officers, and employees shall not participate in any way to influence a governmental decision in which he/she knows or has reason to know that he/she has a financial interest. (Government Code Section 87100). 8.1 Any District employee authorized under this Policy to make or enter into purchases on behalf of the District will complete a Statement of Economic Interests (Form 700) and comply with the District’s Conflict of Interest Code. 8.2 Confidential or proprietary information must be handled with due care and proper consideration of ethical and legal ramifications and governmental regulations. 8.3 Purchasing activities must be performed in accordance with all applicable laws and District policies. 8.4 Any employee/individual who violates the standards set forth in this Section shall be subject to disciplinary action consistent with District personnel policies. County Water District Status Notwithstanding anything to the contrary in this Policy, the District is a County Water District and therefore is not mandated by state law to competitively bid any purchases, including those for Public Works projects and/or capital expenditures. The District is free to enter into non-bid contracts for Public Works, to purchase materials, services and supplies, to contract EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 12 of 14 for design-build work, to utilize job-order contracting and to enter into Cooperative Purchasing arrangements for the design, construction and maintenance of Public Works, or undertake any other form of contracting determined to be in the District’s best interest, except as otherwise expressly restricted by law. Policy Revisions This document will be maintained and revised by the General Manager/CEO with his/her designated representatives in consultation with the District’s legal counsel, subject to approval by the Board. Revisions will occur whenever applicable federal, state, or local regulations change or otherwise as the need arises and in the discretion of the Board. Definitions The terms referenced in this Policy shall have the meanings as defined below: 9.1 Administrative Personnel - District administrative employees or leads authorized by staff with Contract Signature Authority to purchase miscellaneous items, food and travel in support of District functions; includes Administrative Assistant, Analyst, Coordinator, Specialist, and any other administrative position. 9.2 Agreement (Contract) - For purposes of this Policy, the terms “Agreement” and “Contract” are used interchangeably and refer to a written, legally binding contract. It authorizes a contractor, consultant, supplier, or service provider to provide materials, services, or Public Works in accordance with the terms of the contract. 9.3 Amendment - A written change or addition to a legal document which, when properly executed, has the same legal validity of the original document. 9.4 Board - The Board of Directors of East Valley Water District. 9.5 Change Order - A written Amendment modifying the terms of an existing contract or Purchase Order. 9.6 Consultant - An individual, firm, or entity that provides or offers to provide Professional Services to the District. 9.7 Contingency - A predetermined amount or percentage of a contract held for changes in a Public Works project. 9.8 Cooperative Purchasing - Participation with other agencies in cooperative purchasing arrangements and programs to leverage the benefits of volume purchases, delivery and EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 13 of 14 supply chain advantages, best practices, and the reduction of administrative time and expenses. 9.9 Emergency - A situation in which unforeseen circumstances present an immediate risk of harm or hazard to the public health, safety, and welfare, or to the District property, or threaten serious interruption of District operations. 9.10 Invitation to Bid (ITB)- A formal process for soliciting sealed bids from qualified prospective suppliers or Public Works contractors. Typically involves a formal bid opening, and the awarding of a contract to a responsive and responsible supplier or contractor based on price and other specified factors, and as otherwise required by law. 9.11 Multiple Year Contract - A contract for the purchase of services or materials, or for Public Works for a multiple year term or that may contain provisions to extend performance by exercising optional renewal periods. A Multiple Year Contract does not obligate the District beyond the initial award period and shall not provide for a cancellation payment to the contractor if options are not exercised. 9.12 Non-Discretionary Purchases - Payments to utilities, temporary employment services, insurance providers, healthcare providers, and national, state, or local agencies that relate to routine obligations and expenses essential to the District’s ability to provide service to customers and that have been approved in fiscal year operating or capital budgets. 9.13 General Services - Services other than Professional Services, including supply and maintenance services. 9.14 Procurement - The purchase or lease of materials, supplies, equipment, services, or Public Works. 9.15 Professional Services - Any type of special service or advice in financial, economic, accounting, engineering, legal or administrative matters by persons specially trained and experienced and competent to perform the special services required. (Government Code Section 53060.) Such services include but are not limited to architectural; engineering; environmental; financial; land surveying; construction management; audits; training services; legal services; preparation of planning or studies; technology application development; and personnel, job classification, and benefit studies. 9.16 Public Works - As defined by California Public Code Section 22002, public projects include construction, reconstruction, alteration, renovation, improvement, demolition, EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Purchasing/Procurement Policy Original Approval Date: August 9, 2011 Last Revised: October 11, 2017 Policy No: 7.1 Page 14 of 14 and repair work involving any publicly owned, leased, or operated facility. Maintenance work is not considered a public project for purposes of this definition. 9.17 Purchase Order (PO) - An authorization, under a standardized form in which the party designated as the “Provider” is to provide materials and/or services for which the District agrees to pay. 9.18 Purchasing Card - A form of charge card that allows materials and services to be purchased without using a Purchase Order. The District participates in the CAL-Card, Lowe’s, and Valero credit card programs. 9.19 Request for Proposal (RFP) - A solicitation used for the procurement of Professional Services and General Services. Prospective suppliers or consultants submit requested information and are evaluated/awarded based on pre-established criteria. 9.20 Request for Quotes (RFQ) - A solicitation used for procurement of supplies, materials, equipment, or services. 9.21 Requisition - The procedural method by which departments may request a PO for the purchase of materials, supplies, or equipment. Requisitions are entered into the District’s ERP system application. 9.22 Single Source Purchase - Procurement where: (1) there is a compelling reason for only one source, a preferred brand, like material, etc., to be procured; or (2) the commodity is unique, including, but not limited to, acquisition of data processing, telecommunications and word processing equipment, goods and services; or (3) the purchase of a specific brand name, make or model is necessary to match existing District equipment or facilitate effective maintenance and support; or (4) when it is in the best interest of the District to extend or renew a contract from a previous contract period, based on satisfactory service, reasonable prices, avoidance of start-up costs, avoidance of interruptions to District business, or good business practices. 9.23 Sole Source Purchase - Procurement where only one viable source exists. This is usually due to legal restrictions of patent rights, a proprietary process, warranty issues, original equipment, copyrights, etc. START Define Need (goods/services) + estimate total cost (Including tax and freight) Vendor already under an approved Contract/Master Agreement? NO Issue PO against approved contract (encumber funds) YES Goods or Services? Is purchase eligible for Calcard / Direct Pay? Is this a Professional Service? Calcard / Direct Pay (if allowed)YES NO Classify purchase type ServicesGoodsYES YES Is the service one- time, low risk, and within administrative authority? NO END Execute Professional Services Agreement NO Attachment A - Purchasing Workflow (Overview) to the East Valley Water District 2026 Purchasing Policy Update Execute General Services Agreement This workflow is provided for administrative guidance only and does not replace or supersede the Purchasing Policy, Board action, Delegation of Authority, or applicable law. PO Required Obtain Services Accept Work Process Invoice Obtain Insurance Certificates (if required) YES 1 2 3 4 5 6 0 20 40 60 80 100 120 140 160 Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Current Water Year (2026)Average (2010-Current) 5.7 88% Full (5 mAF) 0 1 2 3 4 5 6 Mi l l i o n A c r e F e e t Capacity Current Storage Last Year 3.4 90% Full (3.1 mAF) 3.0 0 1 2 3 4 Mi l l i o n A c r e F e e t Capacity Current Storage Last Year Water Supply Update Groundwater Bunker Hill Basin Storage Imported Water Lake Oroville Total Storage Surface Water Santa Ana River Total Inflow Current Water Shortage Stage Updated: 4/15/2026 30% 0 5 10 15 20 OCT JAN APR JUL In c h e s Big Bear State Water Project Current Table A Allocation 0 5 10 15 Oct Jan Apr Jul In c h e s 0 10 20 30 40 50 60 Oct Jan Apr Jul In c h e s Highland Norther Sierra 8-Station DroughtPrecipitation Updated: 4/15/2026