Atwater City Council
June 10, 2024

In-person participation by the public will be permitted. In addition, remote public participation is available in the following ways:

1. Livestream online at www.atwater.org (Please be advised that there is a broadcasting delay. If you would like to participate in public comment, please use the option below).

2. Submit a written public comment prior to the meeting: Public comments submitted to [email protected] by 4:00 p.m. on the day of the meeting will be distributed to the City Council, and made part of the official minutes but will not be read out loud during the meeting.

Assistance will be provided to those requiring accommodations for disabilities in compliance with the Americans with Disabilities Act of 1990. Persons requesting accommodation should contact the City in advance of the meeting, and as soon as possible, at (209) 357-6241.

CITY OF ATWATER

CITY COUNCIL,

FIRE PROTECTION DISTRICT,
AND

SUCCESSOR AGENCY TO THE ATWATER

REDEVELOPMENT AGENCY
AGENDA
Council Chambers
750 Bellevue Road
Atwater, California
June 10, 2024
CALL TO ORDER: 5:30 PM
ROLL CALL: (City Council)
Ambriz ____, Button ____, Cale ____, Raymond ____, Nelson _____ CLOSED SESSION:

Adjourn to Conference Room A
• Conference with Labor Negotiators - Government Code Section 54957.6, Agency Negotiators: Interim City Manager Thompson and Human Resources Director Sousa Bargaining Units: AFSCME Local 2703 - Clerical

City Council, FPD and Successor Agency to ARA Agenda for Meeting of June 10, 2024

Employees Unit, Miscellaneous Employees Unit and Mid-Managers Group.

REGULAR SESSION: (Council Chambers)
CALL TO ORDER: 6:00 PM
INVOCATION:

PLEDGE OF ALLEGIANCE TO THE FLAG:

ROLL CALL: (City Council/Board of Directors)
Ambriz ____, Button ____, Cale ____, Raymond ____, Nelson _____ MAYOR OR CITY ATTORNEY REPORT OUT FROM CLOSED SESSION:

SUBSEQUENT NEED ITEMS: (The City Clerk shall announce any requests for items requiring immediate action subsequent to the posting of the agenda. Subsequent need items require a two-thirds vote of the members of the City Council present at the meeting.)
APPROVAL OF AGENDA AS POSTED OR AS AMENDED: (This is the time for the City Council to remove items from the agenda or to change the order of the agenda.) Staff's Recommendation: Motion to approve agenda as posted or as amended.

CONSENT CALENDAR:

NOTICE TO THE PUBLIC
Background information has been provided on all matters listed under the Consent Calendar, and these items are considered to be routine. All items under the Consent Calendar are normally approved by one motion. If a Councilmember requests separate discussion on any item, that item will be removed from the Consent Calendar for separate action.

WARRANTS:

1. June 10, 2024
Staff's Recommendation: Approval of warrants as listed.

MINUTES: (City Council)

2. a.) May 28, 2024 - Special meeting
b.) May 28, 2024 - Regular meeting
c.) June 3, 2024 - Special meeting
Staff's Recommendation: Approval of minutes as listed.

City Council, FPD and Successor Agency to ARA Agenda for Meeting of June 10, 2024

RESOLUTIONS:

3. Approval of the Statement of Investment Policy for the 2024-25 Fiscal Year and Delegating Authority to the City Treasurer to Invest Funds in Accordance with the Statement of Investment Policy (Finance Director Nicholas)
Staff's Recommendation: Adoption of Resolution No. 3464-24 approving the Statement of Investment Policy for Fiscal Year 2024-25 and delegating authority to the City Treasurer to invest funds in accordance with the Statement of Investment Policy.

AGREEMENTS:

4. Approving Professional Services Agreements for Labor-Related Services (Human Resources Director Sousa)
Staff's Recommendation: Approval of Professional Service Agreements, in a Form Approved by the City Attorney, for LaborRelated Services and Authorizes and Directs the Interim City Manager, or Designee, to Execute the Agreements on Behalf of the City.

OTHER ACTIONABLE ITEMS:

5. Approving Specifications and Authorizing Advertising and Calling for Bids for Water Meter Installation Project (Public Works Director Vinson) Staff's Recommendation: Approval of specifications and authorizing advertising and calling for bids for the Meter Installation Project, Project No. 24-10, Bid Call Number 729-24.

6. Approval of Plans and Specifications for Downtown Pedestrian Improvement Project- Phase II (Interim City Manager Thompson) Staff's Recommendation: Approval of Plans and Specifications and authorizes advertising and calling for bids for the Downtown Pedestrian Improvement Project- Phase II, City Project 20-8, Bid Call Number 709-21 and; Make a finding that the project is categorically exempt under CEQA provisions Class 1 and Class 3 Categorical Exemptions (Sections 15301 and 15303 of the State CEQA
Guidelines).

7. Accepting Atwater Boulevard and First Street Traffic Signal Project as complete (Public Works Director Vinson)
Staff's Recommendation: Accept work done under the contract for Atwater Boulevard and First Street Traffic Signal, City Project 18-2; and authorize and direct the Interim City Manager to sign a Notice of Completion and have it recorded on behalf of the City; and authorize a final payment in the amount of $22,772.84.

8. Accepting Community Center Roof Repairs Project as complete (Public

City Council, FPD and Successor Agency to ARA Agenda for Meeting of June 10, 2024

Works Director Vinson)
Staff's Recommendation: Accept work done under the contract for Community Center Roof Repairs Project, City Project 24-01; and authorize and direct Interim City Manager to sign a Notice of Completion and have it recorded on behalf of the City.

9. Accepting Suncrest Street and Fortuna Avenue Overlay Project as complete (Public Works Director Vinson)
Staff's Recommendation: Accepts work done under the contract for Suncrest Street and Fortuna Avenue Overlay Project, City Project 24- 09; and authorizes and directs the Interim City Manager to sign a Notice of Completion and have it recorded on behalf of the City. ***END OF CONSENT CALENDAR***
PUBLIC HEARINGS:

10. Adopting a Resolution Setting the Fiscal Year 2024-25 Miscellaneous Fee Schedule (Finance Director Nicholas)
Staff's Recommendation: Open the Public Hearing and receive any testimony given regarding the proposed 2024-25 Miscellaneous Fee Schedule;
Close the Public Hearing;
Motion to adopt Resolution No. 3460-24 setting the City of Atwater's Miscellaneous Fee Schedule for Fiscal Year 2024-25; or

Motion to approve staff's recommendation as presented.

11. Resolutions Adopting Fiscal Year 2024-25 Budget including Five-Year Capital Improvement Plan and Approving Fund Expenditures and Fund Transfers; Establishing Appropriations Limitations; and Amending Classification Plan and Adopting Salary Schedule A-25 Effective June 20, 2024 (Interim City Manager/Executive Director Thompson, Human Resources Director Sousa, and Finance Director/Treasurer Nicholas) Staff's Recommendation: Open the Public Hearing and receive any testimony given regarding the Fiscal Year 2024-25 Budget; Close the Public Hearing;
Motion to adopt Joint Authority Resolution No. 3461-24, Resolution No. AFPD 1-2024, and Resolution No. SA 2024-1 adopting the Fiscal Year 2024-25 budget, approving Fund Expenditures and Fund Transfers, and a Five-Year Capital Improvement Program with any modifications from the budget review and public hearing; to adopt Resolution No. 3462-24 establishing the Fiscal Year 2024-25 Appropriations Limitation; to adopt Resolution No. 3463-24 amending the City of Atwater Classification Plan and adopting Salary Schedule A-25, effective June 20, 2024; or

City Council, FPD and Successor Agency to ARA Agenda for Meeting of June 10, 2024

Motion to approve staff's recommendation as presented.

REPORTS AND PRESENTATIONS FROM STAFF:

12. Awarding Construction Services Contract to George Reed, Inc. for the Fruitland Avenue Reconstruction Project Phase 3 (Interim City Manager Thompson)
Staff's Recommendation: Motion to award a General Construction Agreement, in a form approved by the City Attorney, to George Reed Inc. of Modesto, CA, for the Fruitland Avenue Reconstruction Project Phase 3 Base Bid, City Project 16-2-3, in an amount not to exceed $6,623,539.60 and authorize construction contract change orders up to an aggregate amount of $662,353.96 (10%); and authorizes and directs the Interim City Manager or designee to execute all contract documents on behalf of the City; or
Motion to approve staff's recommendation as presented.

CITY MANAGER REPORTS/UPDATES:

13. Update from the Office of the Interim City Manager
COMMENTS FROM THE PUBLIC:

NOTICE TO THE PUBLIC
At this time any person may comment on any item which is not on the agenda. You may state your name and address for the record; however, it is not required. Action will not be taken on an item that is not on the agenda. If it requires action, it will be referred to staff and/or placed on a future agenda. Please limit comments to a maximum of three (3) minutes.

CITY COUNCIL REPORTS/UPDATES:
• City Council Member Cale, District 1
• City Council Member Button, District 2
• City Council Member Ambriz, District 3
• Mayor Pro Tem Raymond, District 4
• Mayor Nelson
CLOSED SESSION:

Continuation of Closed Session if necessary
ADJOURNMENT:

CERTIFICATION:

City Council, FPD and Successor Agency to ARA Agenda for Meeting of June 10, 2024

I, Kory J. Billings, City Clerk of the City of Atwater, do hereby certify that a copy of the foregoing agenda was posted at City Hall a minimum of 72 hours prior to the meeting. _______________________________
KORY J. BILLINGS

CITY CLERK
SB 343 NOTICE
In accordance with California Government Code Section 54957.5, any writing or document that is a public record, relates to an open session agenda item and is distributed less than 72 hours prior to a regular meeting will be made available for public inspection in the office of the City Clerk at City Hall during normal business hours at 750 Bellevue Road.

If, however, the document or writing is not distributed until the regular meeting to which it relates, then the document or writing will be made available to the public at the location of the meeting, as listed on this agenda at 750 Bellevue Road.

In compliance with the federal Americans with Disabilities Act of 1990, upon request, the agenda can be provided in an alternative format to accommodate special needs. If you require special accommodations to participate in a City Council, Commission or Committee meeting due to a disability, please contact the City Clerk’s Office a minimum of three (3) business days in advance of the meeting at (209) 357-6241. You may also send the request by email to [email protected] .

Unless otherwise noted, City Council actions include a determination that they are not a “Project” within the meaning of the California Environmental Quality Act (CEQA), and therefore, that CEQA does not apply to such actions.
.

JUNE 2024

S U N M O N T U E W E D T H U F R I S A T
4 18
25 11
26 5
19 12
7 21
14 8
22 15
6 20
13 27 28
1 29
3 17
10 24
9 23
16 2
30 City Holiday
Planning
Commission
Meeting - 6:00
PM
Merced County
District 3 Supervisor
McDaniel Office
Hours - 1:30 PM -
3:30 PM
City Council
Meeting - 6:00 PM
Audit & Finance
Meeting - 4:30 PM
City Council
Meeting - 6:00 PM
Community Open House
(Prop 218)
10 AM Community
Center
Citizens’
Oversight Committee
Meeting - 5:30 PM

S A T
JULY 2024

S U N M O N T U E W E D T H U F R I
1 15
8 22
7 21
14 28 29
2 16
23 9
24 3
17 10
5 19
12 6
20 13
4 18
11 25 26 27
30 31
Trash pick up
delayed - 1 day
City Holiday
City Council
Meeting - 6:00 PM
Planning
Commission
Meeting - 6:00
PM
Merced County
District 3 Supervisor
McDaniel Office
Hours - 1:30 PM -
3:30 PM

Warrant Summary June 10, 2024
Prepared By: Joseph Murillo
Accounts Payable Warrant
6/10/2024 Warrant
Prewrittens (Checks Processed Between Warrants)
Amount
$ 2,594,060.48
$ 6,150.75
Total Accounts Payable Warrants: $ 2,600,211.23
Additional Warrants
Date Description Amount
5/30/2024 Retiree Medical Reimbursement - June 2024 $ 41, 775.09 6/3/2024 PERS Retirement 5/9/24 - 5/22/24 $ 57.959.56
6/3/2024 State Disbursement - Child Support $ 115.38
6/5/2024 PERS Health - June 2024 $ 121, 354.96
$
$
$
$
$
$
Total Additional Warrants: $ 221,204.99
Payroll
Date Description Amount
5/30/2024 Net Payroll $ 210,031.54
6/3/2024 Federal Taxes
6/3/2024 State Taxes
$ 65,668.01
$ 8,684.65
$
Total Payroll: $ 284,384.20
Grant Total: $ 3,105,800.42
j—'
` Ulark Borba City Treasurer

Accounts Payable
Checks for Approval
User: jmurillo
Printed: 6/6/2024 - 2:26 PM
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Check Number Check Date Fund Name Account Name Vendor Name Void Amount 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees JAMES ATKINSON 150.55 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees LOIS BELT 246.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees KIM BENGSTON-JENNINGS 523.12 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees GLEN C. CARRINGTON 150.55 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees ROBERT CALLAWAY 577.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees ALLAN BOYER 649.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees JESUS F. DURAN 1,579.79 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees HARRY E. DUNN 587.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees RANDALL CARROTHERS 1,429.18 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees ANTHONY CARDOZA 812.16 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees ARMANDO ECHEVARRIA 867.97 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees DEBRA COURT 196.41 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees SCOTT DUNCAN 1,386.49 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees NELSON CRABB 601.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees GEORGE LOGAN 246.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees ADOLFO LOMELI 1,447.97 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees MICHAEL KEELER 150.55 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees STANLEY FEATHERS 587.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees LEN GUILLETTE 1,054.58 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees TYNA LAMISON 695.15 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees STEVE KJOS 587.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees DARIN JANTZ 1,456.33 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees CHRISTIAN HAMBRECHT 666.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees PATRICK FARETTA 1,624.52 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees RICHARD HAWTHORNE 577.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees KEN JENSEN 355.41 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees JOSEPH HOFFAR 458.10 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees BOBBY GREGORY 2,507.94 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees SAMUEL JOSEPH 1,553.12 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees LINDA FERRERO 246.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees ELIZABETH WILDE 867.97 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees CHRISTOPHER A. MCDANIEL 246.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees FRANK ORMOND 150.55 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees DICK WISDOM 150.55 AP-Checks for Approval (6/6/2024 - 2:26 PM) Page 1

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees BARBARA RIIS CHRISTENSEN 577.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees KELLY SORENSEN 1,278.51 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees EARL WEATHERS 587.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees ROBERTO ROMERO 472.62 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees DOUGLAS P. TILLEY 246.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees MARGARET MERRITT 150.55 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees JUAN SUFUENTES 1,650.12 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees CYNTHIA THOMPSON 246.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees THOMAS PROTHRO 150.55 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees DAVID WALKER 609.06 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees NANCY WILLIAMS 246.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees JERRY MOORE 577.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees JOHN RASMUSSEN 587.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees STEPHEN LUNDGREN 208.25 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees LORI WATERMAN 940.78 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees EDWARD VELASQUEZ 150.55 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees DENNIS O. SPARKS 246.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees TONY RAMIREZ 867.97 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees MIKE STANFORD 855.06 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees ROBERT VASQUEZ 208.94 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees FRANK PIETRO 510.45 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees JOHN SMOTHERS 740.16 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees WILLIAM RICHARDS 196.41 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees GREG WELLMAN 609.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees BENJAMIN THOMAS 1,357.10 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees RENE MENDOZA 577.67 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees JEFF MONDLOCH 184.34 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees SANDY RAHN 762.27 0 05/30/2024 Employee Benefits Fund Health Insurance, Retirees CHARLIE WOODS 587.67 Check Total: 41,775.09
0 06/03/2024 General Fund Federal Income Tax Withheld PAYROLL TAXES-FEDERAL 22,090.82 0 06/03/2024 General Fund Federal Income Tax Withheld PAYROLL TAXES-FEDERAL 49.57 0 06/03/2024 General Fund State Income Tax Withheld PAYROLL TAXES-STATE 8,684.65 0 06/03/2024 General Fund Fica/Medicare - Employee PAYROLL TAXES-FEDERAL 90.52 0 06/03/2024 General Fund Fica/Medicare - Employee PAYROLL TAXES-FEDERAL 17,548.14 0 06/03/2024 General Fund Fica/Medicare - Employee PAYROLL TAXES-FEDERAL 4,103.98 0 06/03/2024 General Fund Fica/Medicare - Employee PAYROLL TAXES-FEDERAL 21.17 0 06/03/2024 General Fund Fica/Medicare-Employer PAYROLL TAXES-FEDERAL 17,548.14 0 06/03/2024 General Fund Fica/Medicare-Employer PAYROLL TAXES-FEDERAL 4,103.98 0 06/03/2024 General Fund Fica/Medicare-Employer PAYROLL TAXES-FEDERAL 21.17 0 06/03/2024 General Fund Fica/Medicare-Employer PAYROLL TAXES-FEDERAL 90.52 0 06/03/2024 General Fund Pers Deduction PERS-RETIREMENT 7,927.12 AP-Checks for Approval (6/6/2024 - 2:26 PM) Page 2

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 0 06/03/2024 General Fund Pers Deduction PERS-RETIREMENT 888.47 0 06/03/2024 General Fund Pers Deduction PERS-RETIREMENT 2,632.45 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 15,840.75 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 2,890.63 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 9,724.60 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 1,134.93 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 41.23 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 6,620.91 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 40.86 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 786.58 0 06/03/2024 General Fund Pers Benefits PERS-RETIREMENT 9,431.03 0 06/03/2024 General Fund Garnishments STATE DISBURSEMENT UNIT 115.38 Check Total: 132,427.60
0 06/05/2024 General Fund Employee Pers Health Payable PERS-HEALTH 108,294.31 0 06/05/2024 Benefits Fund Employee General Administration-Ins PERS-HEALTH 346.54 0 06/05/2024 Benefits Fund Employee Health Insurance, Retirees PERS-HEALTH 219.82 0 06/05/2024 Benefits Fund General Health Insurance, Retirees PERS-HEALTH 10,833.00 0 06/05/2024 Fund Miscellaneous Bills PERS-HEALTH 1,655.99 0 06/05/2024 General Fund Miscellaneous Bills PERS-HEALTH 5.30 Check Total: 121,354.96
AP-Checks for Approval (6/6/2024 - 2:26 PM) Page 3

Accounts Payable
Checks for Approval
User:

Printed:
jmurillo
6/6/2024- 2:19 PM
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Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25377 05/30/2024 Employee Benefits Fund Health Insurance, Retirees DAVID CHURCH 573.49 Check Total: 573.49
25378 05/30/2024 Employee Benefits Fund Health Insurance, Retirees MANUEL DURAN 85.37 Check Total: 85.37
25379 05/30/2024 Employee Benefits Fund Health Insurance, Retirees GARY FRAGO 410.10 Check Total: 410.10
25380 05/30/2024 Employee Benefits Fund Health Insurance, Retirees LORIN MANN 643.16 Check Total: 643.16
25381 05/30/2024 Employee Benefits Fund Health Insurance, Retirees WILLIAM MARTIN 867.97 Check Total: 867.97
25382 05/30/2024 Employee Benefits Fund Health Insurance, Retirees BILL SWALLEY 150.55 Check Total: 150.55
25383 06/03/2024 General Fund Garnishments EMPLOYMENT DEVELOPMENT DEPARTMENT 420.11 Check Total: 420.11
25384 06/04/2024 Measure V Fund Fruitland Ave Rd Improvements JOSHUA LEPPER 3,000.00 Check Total: 3,000.00
Report Total: 6,150.75
AP-Checks for Approval (6/6/2024 - 2:19 PM) Page 1

Accounts Payable
Checks for Approval
User:

Printed:
jmurillo
6/6/2024 - 2:20 PM
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Check Number Check Date Fund Name Account Name Vendor Name Void Amount 0 06/10/2024 General Fund Office Supplies QUADIENT FINANCE USA INC 22.73 0 06/10/2024 General Fund Office Supplies QUADIENT FINANCE USA INC 1,000.00 0 06/10/2024 General Fund Electronic Pmt Processing Exp CHASE MERCHANT SERVICES 1,575.84 0 06/10/2024 General Fund Electronic Pmt Processing Exp CHASE MERCHANT SERVICES 31.88 0 06/10/2024 General Fund Electronic Pmt Processing Exp CHASE MERCHANT SERVICES 84.74 0 06/10/2024 Sewer Enterprise Fund Cash with Fiscal Agent THE BANK OF NEW YORK MELLON 182,653.13 0 06/10/2024 Sewer Enterprise Fund Cash with Fiscal Agent THE BANK OF NEW YORK MELLON 92,916.67 0 06/10/2024 Sewer Enterprise Fund Cash with Fiscal Agent THE BANK OF NEW YORK MELLON 59,583.33 0 06/10/2024 Sewer Enterprise Fund Cash with Fiscal Agent THE BANK OF NEW YORK MELLON 35,530.73 0 06/10/2024 Water Enterprise Fund Electronic Pmt Processing Exp VANCO PAYMENT SOLUTIONS 43.42 0 06/10/2024 Sewer Enterprise Fund Electronic Pmt Processing Exp VANCO PAYMENT SOLUTIONS 43.42 0 06/10/2024 Sanitation Enterprise Fund Electronic Pmt Processing Exp VANCO PAYMENT SOLUTIONS 43.42 0 06/10/2024 Water Enterprise Fund Electronic Pmt Processing Exp SPRINGBROOK-GROUP 487.38 0 06/10/2024 Sewer Enterprise Fund Electronic Pmt Processing Exp SPRINGBROOK-GROUP 487.37 0 06/10/2024 Sanitation Enterprise Fund Electronic Pmt Processing Exp SPRINGBROOK-GROUP 487.37 Check Total: 374,991.43
25385 06/10/2024 General Fund Office Supplies AAA BUSINESS SUPPLIES & INTERIORS 65.20 25385 06/10/2024 General Fund Office Supplies AAA BUSINESS SUPPLIES & INTERIORS 65.20 25385 06/10/2024 General Fund Office Supplies AAA BUSINESS SUPPLIES & INTERIORS 130.39 25385 06/10/2024 General Fund Office Supplies AAA BUSINESS SUPPLIES & INTERIORS 65.20 Check Total: 325.99
25386 06/10/2024 Water Enterprise Fund Professional Services ABS DIRECT INC 44.34 25386 06/10/2024 Sewer Enterprise Fund Professional Services ABS DIRECT INC 44.35 25386 06/10/2024 Sanitation Enterprise Fund Professional Services ABS DIRECT INC 44.35 25386 06/10/2024 Water Enterprise Fund Professional Services ABS DIRECT INC 142.11 25386 06/10/2024 Sewer Enterprise Fund Professional Services ABS DIRECT INC 142.12 25386 06/10/2024 Sanitation Enterprise Fund Professional Services ABS DIRECT INC 142.12 25386 06/10/2024 Water Enterprise Fund Professional Services ABS DIRECT INC 722.81 25386 06/10/2024 Sewer Enterprise Fund Professional Services ABS DIRECT INC 722.81 25386 06/10/2024 Sanitation Enterprise Fund Professional Services ABS DIRECT INC 722.81 25386 06/10/2024 Water Enterprise Fund Office Supplies ABS DIRECT INC 1,666.66 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 1

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25386 06/10/2024 Sewer Enterprise Fund Office Supplies ABS DIRECT INC 1,666.67 25386 06/10/2024 Sanitation Enterprise Fund Office Supplies ABS DIRECT INC 1,666.67 Check Total: 7,727.82
25387 06/10/2024 Local Transportation Fund Atwater Blvd & First St Signal ADVANCED MOBILITY GROUP 2,500.00 Check Total: 2,500.00
25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 34.43 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 34.43 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 880.83 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 346.20 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 34.43 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 34.43 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 34.43 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 34.43 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 24.77 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 77.76 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 23.59 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 1.79 25388 06/10/2024 Information Technology Fund Special Departmental Expense AMAZON CAPITAL SERVICES 367.21 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 73.10 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 51.27 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 25.35 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 20.65 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 77.83 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 271.62 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 33.59 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 75.60 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 1,294.08 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 7.93 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 31.65 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 134.29 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 24.21 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 70.50 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 25.89 25388 06/10/2024 General Fund Youth Indoor Soccer AMAZON CAPITAL SERVICES 73.44 25388 06/10/2024 General Fund Youth Indoor Soccer AMAZON CAPITAL SERVICES 80.46 25388 06/10/2024 General Fund Youth Indoor Soccer AMAZON CAPITAL SERVICES 39.12 25388 06/10/2024 General Fund Youth Indoor Soccer AMAZON CAPITAL SERVICES 80.46 25388 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense AMAZON CAPITAL SERVICES 52.95 25388 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense AMAZON CAPITAL SERVICES 147.50 25388 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense AMAZON CAPITAL SERVICES 114.16 25388 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense AMAZON CAPITAL SERVICES 123.77 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 2

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25388 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense AMAZON CAPITAL SERVICES 49.36 25388 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense AMAZON CAPITAL SERVICES 39.14 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 228.20 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 8.69 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 44.78 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 15.21 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 98.76 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 42.39 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 17.19 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 14.67 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 16.93 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 107.30 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 49.37 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 97.98 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 27.17 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 29.80 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 17.39 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 80.41 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 24.96 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 82.90 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 27.00 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 58.64 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 13.79 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 33.48 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 10.42 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 29.27 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 31.53 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 10.16 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 14.67 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 101.27 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 47.84 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 25.12 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 23.82 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 48.93 25388 06/10/2024 General Fund Office Supplies AMAZON CAPITAL SERVICES 38.04 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 144.59 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 140.13 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 53.68 25388 06/10/2024 General Fund Special Departmental Expense AMAZON CAPITAL SERVICES 15.21 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 41.77 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 165.32 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 15.17 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 14.86 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 49.95 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 3

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25388 06/10/2024 General Fund Summer Youth Camps AMAZON CAPITAL SERVICES 34.82 25388 06/10/2024 General Fund Various Classes AMAZON CAPITAL SERVICES 19.53 25388 06/10/2024 General Fund Various Classes AMAZON CAPITAL SERVICES 96.78 25388 06/10/2024 General Fund Various Classes AMAZON CAPITAL SERVICES 10.85 25388 06/10/2024 General Fund Various Classes AMAZON CAPITAL SERVICES 19.02 25388 06/10/2024 Public Safety Trans & Use Tax Machinery & Equipment AMAZON CAPITAL SERVICES 218.90 25388 06/10/2024 Public Safety Trans & Use Tax Machinery & Equipment AMAZON CAPITAL SERVICES 48.30 25388 06/10/2024 Public Safety Trans & Use Tax Machinery & Equipment AMAZON CAPITAL SERVICES 58.08 25388 06/10/2024 Public Safety Trans & Use Tax Machinery & Equipment AMAZON CAPITAL SERVICES 158.34 25388 06/10/2024 Water Enterprise Fund Special Departmental Expense AMAZON CAPITAL SERVICES 26.88 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 21.17 25388 06/10/2024 Internal Service Fund Special Departmental Expense AMAZON CAPITAL SERVICES 156.93 25388 06/10/2024 Information Technology Fund Special Departmental Expense AMAZON CAPITAL SERVICES 27.39 25388 06/10/2024 Information Technology Fund Special Departmental Expense AMAZON CAPITAL SERVICES 1,433.32 25388 06/10/2024 Information Technology Fund Special Departmental Expense AMAZON CAPITAL SERVICES 7.82 Check Total: 9,443.54
25389 06/10/2024 Water Fund Capital Replacement Installation-New Water Meters AQUA METRIC 62,710.50 Check Total: 62,710.50
25390 06/10/2024 Internal Service Fund Special Departmental Expense ASSOCIATES LOCK & SAFE SERVICE 7.04 25390 06/10/2024 Internal Service Fund Professional Services ASSOCIATES LOCK & SAFE SERVICE 95.00 25390 06/10/2024 Internal Service Fund Professional Services ASSOCIATES LOCK & SAFE SERVICE 80.00 Check Total: 182.04
25391 06/10/2024 General Fund Special Departmental Expense BAKER SUPPLIES AND REPAIRS 38.06 Check Total: 38.06
25392 06/10/2024 Internal Service Fund Professional Services DON BENNER 600.00 25392 06/10/2024 Internal Service Fund Professional Services DON BENNER 375.00 Check Total: 975.00
25393 06/10/2024 Internal Service Fund Improvements Other Than Bldg BEST CONTRACTING SERVICES INC 80,866.00 Check Total: 80,866.00
25394 06/10/2024 General Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 8.72 25394 06/10/2024 Water Enterprise Fund Small Tools BIG CREEK LUMBER COMPANY 33.91 25394 06/10/2024 General Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 38.75 25394 06/10/2024 Internal Service Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 16.53 25394 06/10/2024 Internal Service Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 20.98 25394 06/10/2024 Internal Service Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 34.87 25394 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense BIG CREEK LUMBER COMPANY 84.11 --
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AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 4

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 5.42 25394 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense BIG CREEK LUMBER COMPANY 43.81 25394 06/10/2024 Internal Service Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 34.87 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 28.86 25394 06/10/2024 Water Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 9.68 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 71.57 25394 06/10/2024 Internal Service Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 10.65 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 15.63 25394 06/10/2024 Water Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 51.97 25394 06/10/2024 Water Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 81.94 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 47.71 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 12.73 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 31.02 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 7.82 25394 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense BIG CREEK LUMBER COMPANY 85.12 25394 06/10/2024 General Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 7.53 25394 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense BIG CREEK LUMBER COMPANY 28.44 25394 06/10/2024 Gas Tax/Street Improvement Special Departmental Expcnse BIG CREEK LUMBER COMPANY 4.87 25394 06/10/2024 Sewer Enterprise Fund Special Departmental Expense BIG CREEK LUMBER COMPANY 31.00 Check Total: 848.51
25395 06/10/2024 General Fund Towing Fees BILL'S TOWING 1,650.00 Check Total: 1,650.00
25396 06/10/2024 Internal Service Fund Operations & Maintenance BOBCAT CENTRAL, INC. 122.23 Check Total: 122.23
25397 06/10/2024 Water Enterprise Fund Uniform & Clothing Expense BOOT BARN 200.00 25397 06/10/2024 Water Enterprise Fund Uniform & Clothing Expense BOOT BARN 200.00 Check Total: 400.00
25398 06/10/2024 Internal Service Fund Special Departmental Expense BRADY INDUSTRIES 61.75 Check Total: 61.75
25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 204.00 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 127.50 25399 06/10/2024 1,2,3-TCP Fund Professional Services BSK ASSOCIATES 952.50 25399 06/10/2024 1,2,3-TCP Fund Professional Services BSK ASSOCIATES 952.50 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 58.50 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 96.75 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 76.50 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 76.50 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 5

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 204.00 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 25.50 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 25.50 25399 06/10/2024 Water Enterprise Fund Professional Services BSK ASSOCIATES 25.50 25399 06/10/2024 1,2,3-TCP Fund Professional Services BSK ASSOCIATES 2,476.50 Check Total: 5,301.75
25400 06/10/2024 Internal Service Fund Operations & Maintenance BURTONS FIRE INC 362.76 25400 06/10/2024 Internal Service Fund Professional Services BURTONS FIRE INC 497.31 25400 06/10/2024 Internal Service Fund Operations & Maintenance BURTONS FIRE INC 227.23 Check Total: 1,087.30
25401 06/10/2024 General Fund Castle Park Deposits DESTINY BUSTAMANTE 200.00 Check Total: 200.00
25402 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense CAL FARM SERVICES 217.19 25402 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense CAL FARM SERVICES 173.56 25402 06/10/2024 Gas Tax/Street Improvement Professional Services CAL FARM SERVICES 100.00 25402 06/10/2024 General Fund Special Departmental Expense CAL FARM SERVICES 71.12 25402 06/10/2024 General Fund Professional Services CAL FARM SERVICES 30.00 25402 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense CAL FARM SERVICES 67.74 Check Total: 659.61
25403 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense CALIFORNIA LANDSCAPE SUPPLY, INC. 391.17 Check Total: 391.17
25404 06/10/2024 Gas Tax/Street Improvement Professional Services CENTRAL VALLEY TREES AND LANDSCAPE 950.00 Check Total: 950.00
25405 06/10/2024 Internal Service Fund Special Departmental Expense CINTAS CORP 29.35 25405 06/10/2024 Internal Service Fund Uniform & Clothing Expense CINTAS CORP 14.04 25405 06/10/2024 Internal Service Fund Uniform & Clothing Expense CINTAS CORP 18.93 25405 06/10/2024 General Fund Uniform & Clothing Expense CINTAS CORP 38.38 25405 06/10/2024 Gas Tax/Street Improvement Uniform & Clothing Expense CINTAS CORP 33.59 25405 06/10/2024 Sewer Enterprise Fund Uniform & Clothing Expense CINTAS CORP 74.55 25405 06/10/2024 Water Enterprise Fund Uniform & Clothing Expense CINTAS CORP 89.77 25405 06/10/2024 Sewer Enterprise Fund Uniform & Clothing Expense CINTAS CORP 74.55 25405 06/10/2024 Internal Service Fund Special Departmental Expense CINTAS CORP 29.35 25405 06/10/2024 Internal Service Fund Uniform & Clothing Expense CINTAS CORP 18.93 25405 06/10/2024 Gas Tax/Street Improvement Uniform & Clothing Expense CINTAS CORP 33.59 25405 06/10/2024 Internal Service Fund Uniform & Clothing Expense CINTAS CORP 14.04 25405 06/10/2024 Water Enterprise Fund Uniform & Clothing Expense CINTAS CORP 89.51 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 6
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Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25405 06/10/2024 General Fund Uniform & Clothing Expense CINTAS CORP 38.38 Check Total: 596.96
25406 06/10/2024 General Fund Training CITY OF FRESNO 257.00 25406 06/10/2024 General Fund Training CITY OF FRESNO 257.00 25406 06/10/2024 General Fund Training CITY OF FRESNO 257.00 25406 06/10/2024 General Fund Training CITY OF FRESNO 593.00 25406 06/10/2024 General Fund Training CITY OF FRESNO 593.00 25406 06/10/2024 General Fund Training CITY OF FRESNO 593.00 Check Total: 2,550.00
25407 06/10/2024 Internal Service Fund Communications COMCAST 262.60 Check Total: 262.60
25408 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense CONSOLIDATED ELECTRICAL DISTRIBUTORS 22.12 25408 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense CONSOLIDATED ELECTRICAL DISTRIBUTORS 82.58 Check Total: 104.70
25409 06/10/2024 ARPA-American Rescue Plan Act Suncrest/Fortuna Overlay Proj CONSOLIDATED ENGINEERING INC 200,786.00 Check Total: 200,786.00
25410 06/10/2024 General Fund Castle Park Deposits RACHEL CORONADO 200.00 Check Total: 200.00
25411 06/10/2024 General Fund Community Center Deposits ANISA COTA 3 50.00 Check Total: 350.00
25412 06/10/2024 Information Technology Fund Professional Services DATA PATH 7,850.00 25412 06/10/2024 Information Technology Fund Memberships & Subscriptions DATA PATH 1,089.00 25412 06/10/2024 Information Technology Fund Memberships & Subscriptions DATA PATH 730.00 25412 06/10/2024 Information Technology Fund Memberships & Subscriptions DATA PATH 830.00 25412 06/10/2024 Information Technology Fund Memberships & Subscriptions DATA PATH 2,831.00 25412 06/10/2024 Information Technology Fund Memberships & Subscriptions DATA PATH 2,617.50 Check Total: 15,947.50
25413 06/10/2024 Internal Service Fund Professional Services DELRAY TIRE 127.95 25413 06/10/2024 Internal Service Fund Operations & Maintenance DELRAY TIRE 373.42 25413 06/10/2024 Internal Service Fund Operations & Maintenance DELRAY TIRE 515.86 25413 06/10/2024 Internal Service Fund Professional Services DELRAY TIRE 193.45 25413 06/10/2024 Internal Service Fund Operations & Maintenance DELRAY TIRE 705.82 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 7
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Check Number Check Date Fund Name Account Name Vendor Name Void Amount Check Total: 1,916.50
25414 06/10/2024 General Fund Professional Services DEPT.OF FORESTRY & FIRE PROTECTION 1,185,634.73 Check Total: 1,185,634.73
25415 06/10/2024 General Fund Professional Services MARTIN DURAN 810.00 Check Total: 810.00
25416 06/10/2024 Internal Service Fund Special Departmental Expense ELITE IRON FENCING 1,740.00 Check Total: 1,740.00
25417 06/10/2024 General Fund Uniform & Clothing Expense ELITE UNIFORMS 1,932.92 25417 06/10/2024 General Fund Uniform & Clothing Expense ELITE UNIFORMS 89.84 Check Total: 2,022.76
25418 06/10/2024 General Fund Special Departmental Expense EMBLEM ENTERPRISES, INC. 722.30 Check Total: 722.30
25419 06/10/2024 Sewer Enterprise Fund uniform & Clothing Expense FASTENAL COMPANY 2,178.14 Check Total: 2,178.14
25420 06/10/2024 General Fund Office Supplies FEDEX 24.94 Check Total: 24.94
25421 06/10/2024 Water Fund Capital Replacement Installation-New Water Meters FERGUSON WATERWORKS 2,811.68 25421 06/10/2024 Water Fund Capital Replacement Installation-New Water Meters FERGUSON WATERWORKS 2,863.87 25421 06/10/2024 Water Fund Capital Replacement Installation-New Water Meters FERGUSON WATERWORKS 1,424.49 25421 06/10/2024 Water Fund Capital Replacement Installation-New Water Meters FERGUSON WATERWORKS 4,150.03 25421 06/10/2024 Internal Service Fund Special Departmental Expense FERGUSON WATERWORKS 19.01 Check Total: 11,269.08
25422 06/10/2024 Internal Service Fund Operations & Maintenance FORD PRO 884.21 Check Total: 884.21
25423 06/10/2024 Internal Service Fund Operations & Maintenance GARTON TRACTOR INC 216.55 Check Total: 216.55
25424 06/10/2024 Sewer Enterprise Fund Special Departmental Expense GCP WW HOLDCO LLC 194.84 Check Total: 194.84
25425 06/10/2024 Sewer Enterprise Fund Lower Shaffer Storm Drain Imp GHD 38,203.21 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 8
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Check Number Check Date Fund Name Account Name Vendor Name Void Amount Check Total: 38,203.21
25426 06/10/2024 Water Enterprise Fund Special Departmental Expense GRAINGER 91.35 25426 06/10/2024 Internal Service Fund Special Departmental Expense GRAINGER 138.00 Check Total: 229.35
25427 06/10/2024 Public Safety Trans & Use Tax Professional Services GRIFFIN STRUCTURES INC 25,000.00 Check Total: 25,000.00
25428 06/10/2024 General Fund Professional Services GUARDIAN ALLIANCE TECHNOLOGIES INC 50.00 Check Total: 50.00
25429 06/10/2024 Internal Service Fund Utilities IIOFFMAN SECURITY 55.00 25429 06/10/2024 Internal Service Fund Utilities HOFFMAN SECURITY 170.85 25429 06/10/2024 Internal Service Fund Utilities HOFFMAN SECURITY 1,070.90 Check Total: 1,296.75
25430 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense HORIZON 1,308.77 25430 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense HORIZON 209.81 25430 06/10/2024 General Fund Special Departmental Expense HORIZON 180.18 25430 06/10/2024 General Fund Special Departmental Expense HORIZON 721.99 25430 06/10/2024 General Fund Special Departmental Expense HORIZON 79.02 25430 06/10/2024 General Fund Special Departmental Expense HORIZON 98.55 Check Total: 2,598.32
25431 06/10/2024 General Fund Special Departmental Expense INGRAHAM TROPHIES 111.50 Check Total: 111.50
25432 06/10/2024 General Fund Uniform & Clothing Expense INSIDELINES GRAPIIIX INC. 120.56 Check Total: 120.56
25433 06/10/2024 Internal Service Fund Professional Services JANI TEK CLEANING SOLUTIONS 11,693.00 Check Total: 11,693.00
25434 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense JOHN DEERE FINANCIAL 107.75 25434 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense JOHN DEERE FINANCIAL 636.77 Check Total: 744.52
25435 06/10/2024 Water Enterprise Fund Special Departmental Expense JOHNSTONE SUPPLY 32.46 Check Total: 32.46
AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 9

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25436 06/10/2024 Internal Service Fund Operations & Maintenance KELLOGG SUPPLY 43.57 Check Total: 43.57 '
25437 06/10/2024 Internal Service Fund Operations & Maintenance MCAULEY MOTORS -433.00 25437 06/10/2024 Internal Service Fund Operations & Maintenance MCAULEY MOTORS 642.21 Check Total: 209.21
25438 06/10/2024 General Fund Printing & Advertising MCCLATCHY COMPANY LLC 194.50 25438 06/10/2024 General Fund Printing & Advertising MCCLATCHY COMPANY LLC 175.90 25438 06/10/2024 General Fund Printing & Advertising MCCLATCHY COMPANY LLC 125.68 25438 06/10/2024 General Fund Printing & Advertising MCCLATCHY COMPANY LLC 192.64 Check Total: 688.72
25439 06/10/2024 General Fund Professional Services MERCED COUNTY ANIMAL CONTROL 4,930.00 Check Total: 4,930.00
25440 06/10/2024 General Fund Fire Marshal Supplies MERCED COUNTY ASSESSOR 75.00 Check Total: 75.00
25441 06/10/2024 General Fund Special Departmental Expense MERCED COUNTY LAW ENFORCEMENT CHIE 20.00 Check Total: 20.00
25442 06/10/2024 General Fund Professional Services MERCED ROOFING AND CONSTRUCTION 2,150.00 Check Total: 2,150.00
25443 06/10/2024 Internal Service Fund Operations & Maintenance MERCED TRUCK & TRAILER INC. 28.42 Check Total: 28.42
25444 06/10/2024 General Fund Uniform & Clothing Expense METRO UNIFORM MERCED 391.43 Check Total: 391.43
25445 06/10/2024 Water Enterprise Fund Special Departmental Expense MINUTEMAN PRESS, MERCED 210.01 25445 06/10/2024 Sewer Enterprise Fund Special Departmental Expense MINUTEMAN PRESS, MERCED 210.00 Check Total: 420.01
25446 06/10/2024 Internal Service Fund Operations & Maintenance NAPA AUTO PARTS 79.27 25446 06/10/2024 Sewer Enterprise Fund Special Departmental Expense NAPA AUTO PARTS 142.61 Check Total: 221.88
25447 06/10/2024 General Fund Special Departmental Expense O'REILLY AUTO PARTS 21.17 25447 06/10/2024 General Fund Special Departmental Expense O'REILLY AUTO PARTS 68.48 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 10
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Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25447 06/10/2024 General Fund Special Departmental Expense O'REILLYAUTO PARTS 24.98 25447 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense O'REILLY AUTO PARTS 54.36 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 61.64 25447 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense O'REILLY AUTO PARTS 40.23 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 219.89 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 18.47 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 41.46 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 46.21 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 21.73 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 198.94 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS -53.29 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 93.46 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 30.47 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 17.05 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 9.50 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 9.98 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 76.54 25447 06/10/2024 Internal Service Fund Operations & Maintenance O'REILLY AUTO PARTS 236.10 25447 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense O'REILLY AUTO PARTS 14.34 Check Total: 1,251.71
25448 06/10/2024 General Fund Utilities PACIFIC GAS & ELECTRIC 91.80 25448 06/10/2024 General Fund Utilities PACIFIC GAS & ELECTRIC 853.79 25448 06/10/2024 Gas Tax/Street Improvement Utilities PACIFIC GAS & ELECTRIC 295.32 25448 06/10/2024 Water Enterprise Fund Utilities PACIFIC GAS & ELECTRIC 25,319.20 25448 06/10/2024 Sewer Enterprise Fund Utilities PACIFIC GAS & ELECTRIC 45,131.69 25448 06/10/2024 Internal Service Fund Utilities PACIFIC GAS & ELECTRIC 333.83 25448 06/10/2024 General Fund Utilities PACIFIC GAS & ELECTRIC 1,794.76 25448 06/10/2024 General Fund Utilities PACIFIC GAS & ELECTRIC 6,398.23 25448 06/10/2024 Gas Tax/Street Improvement Utilities PACIFIC GAS & ELECTRIC 16,253.39 25448 06/10/2024 Northwood Village LD Utilities PACIFIC GAS & ELECTRIC 585.77 25448 06/10/2024 Orchard Park Estates LD Utilities PACIFIC GAS & ELECTRIC 183.32 25448 06/10/2024 Wildwood Estates LD Utilities PACIFIC GAS & ELECTRIC 42.42 25448 06/10/2024 Woodview Garland LA Utilities PACIFIC GAS & ELECTRIC 18.17 25448 06/10/2024 Shaffer Lakes West LD Utilities PACIFIC GAS & ELECTRIC 60.80 25448 06/10/2024 Woodhaven LD Utilities PACIFIC GAS & ELECTRIC 20.03 25448 06/10/2024 Sierra Parks LD Utilities PACIFIC GAS & ELECTRIC 29.79 25448 06/10/2024 Shaffer Lakes East LD Utilities PACIFIC GAS & ELECTRIC 245.53 25448 06/10/2024 Price Annexation LD Utilities PACIFIC GAS & ELECTRIC 1,046.42 25448 06/10/2024 Sandlewood Square LD Utilities PACIFIC GAS & ELECTRIC 32.70 25448 06/10/2024 Pajaro Dunes LD Utilities PACIFIC GAS & ELECTRIC 29.07 25448 06/10/2024 Cottage Gardens LD Utilities PACIFIC GAS & ELECTRIC 28.87 25448 06/10/2024 Airport Business Park LD Utilities PACIFIC GAS & ELECTRIC 734.54 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 11

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25448 06/10/2024 Atwater South LD Utilities PACIFIC GAS & ELECTRIC 42.39 25448 06/10/2024 Water Enterprise Fund Utilities PACIFIC GAS & ELECTRIC 75,880.57 25448 06/10/2024 Sewer Enterprise Fund Utilities PACIFIC GAS & ELECTRIC 5,932.45 25448 06/10/2024 Internal Service Fund Utilities PACIFIC GAS & ELECTRIC 5,650.09 Check Total: 187,034.94
25449 06/10/2024 General Fund Special Departmental Expense PATRICK & CO. 258.83 Check Total: 258.83
25450 06/10/2024 General Fund Professional Services PRECISION CIVIL ENGINEERING, INC. 9,275.00 Check Total: 9,275.00
25451 06/10/2024 Water Fund Capital Replacement Canal Creek Utility Crossing PROVOST & PRITCHARD CONSULTING GROU 782.50 25451 06/10/2024 Sewer Enterprise Fund Canal Creek Utility Crossing PROVOST & PRITCHARD CONSULTING GROU 782.50 25451 06/10/2024 Water Fund Capital Replacement Well #20A Rehab PROVOST & PRITCHARD CONSULTING GROU 988.70 Check Total: 2,553.70
25452 06/10/2024 General Fund Special Departmental Expense QUADIENT, INC. 114.15 25452 06/10/2024 General Fund Rents & Leases QUADIENT, INC. 36.00 Check Total: 150.15
25453 06/10/2024 Water Enterprise Fund Professional Services RAILROAD MANAGEMENT COMPANY, LLC 611.46 Check Total: 611.46
25454 06/10/2024 Internal Service Fund Professional Services RAZZARI FORD\MAZDA 360.00 25454 06/10/2024 Internal Service Fund Operations & Maintenance RAZZARI FORD\MAZDA 8.48 25454 06/10/2024 Internal Service Fund Professional Services RAZZARI FORD\MAZDA 180.00 25454 06/10/2024 Internal Service Fund Operations & Maintenance RAZZARI FORD\MAZDA 16.21 Check Total: 564.69
25455 06/10/2024 Sanitation Enterprise Fund Accounts Payable NEREIDA SANCHEZ 26.97 Check Total: 26.97
25456 06/10/2024 CDBG Program Income Loans & Grants (Rehab) SELF-HELP ENTERPRISES 717.08 25456 06/10/2024 CDBG Program Income Activity Deliv (Rehab) • SELF-HELP ENTERPRISES 155.52 25456 06/10/2024 CDBG Program Income Loans & Grants (Rehab) SELF-HELP ENTERPRISES 2,280.51 25456 06/10/2024 CDBG Program Income Activity Deliv (Rehab) SELF-HELP ENTERPRISES 1,895.81 25456 06/10/2024 CDBG Program Income Loans & Grants (Rehab) SELF-HELP ENTERPRISES 1,651.17 25456 06/10/2024 CDBG Program Income Activity Deliv (Rehab) SELF-HELP ENTERPRISES 1,570.21 Check Total: 8,270.30
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AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 12

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25457 06/10/2024 Sewer Enterprise Fund Special Departmental Expense SIERRA MATERIALS & TRUCKING COMPANY 301.58 Check Total: 301.58
25458 06/10/2024 General Fund Uniform & Clothing Expense DAYTON SNYDER 52.00 Check Total: 52.00
25459 06/10/2024 General Fund Various Classes LETICIA SOLIS 50.00 Check Total: 50.00
25460 06/10/2024 General Fund Office Supplies STAPLES 181.81 Check Total: 181.81
25461 06/10/2024 General Fund Professional Services STATE CONTROLLER'S OFFICE 80.82 Check Total: 80.82
25462 06/10/2024 Sewer Enterprise Fund Accounts Payable STATE WATER RESOURCES CONTROL BOARD 445.24 Check Total: 445.24
25463 06/10/2024 Water Enterprise Fund Accounts Payable STATE WATER RESOURCES CONTROL. BOARD 368.76 Check Total: 368.76
25464 06/10/2024 General Fund Professional Services STERICYCLE INC 39.44 Check Total: 39.44
25465 06/10/2024 Information Technology Fund Special Departmental Expense STOREY PRODUCTS 475.00 Check Total: 475.00
25466 06/10/2024 Water Enterprise Fund Special Departmental Expense TESCO CONTROLS, INC. 963.43 25466 06/10/2024 Sewer Enterprise Fund Lower Shaffer Storm Drain Imp TESCO CONTROLS, INC. 43,000.00 Check Total: 43,963.43
25467 06/10/2024 Water Enterprise Fund Special Departmental Expense THE HAT SOURCE 924.38 25467 06/10/2024 Sewer Enterprise Fund Special Departmental Expense THE HAT SOURCE 924.37 Check Total: 1,848.75
25468 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense THE SIGN GUYS 565.69 Check Total: 565.69
25469 06/10/2024 Sewer Enterprise Fund Machinery & Equipment TROJAN TECHNOLOGIES 82,080.83 25469 06/10/2024 Sewer Enterprise Fund Machinery & Equipment TROJAN TECHNOLOGIES 53,738.64 25469 06/10/2024 Sewer Enterprise Fund Machinery & Equipment TROJAN TECHNOLOGIES 46,220.45 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 13
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—
-
-
-

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25469 06/10/2024 Sewer Enterprise Fund Machinery & Equipment TROJAN TECHNOLOGIES -50,841.21 Check Total: 131,198.71
25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 25.38 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 327.57 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 34.07 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 25.39 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 345.43 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 46.13 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 31.98 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 523.10 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 347.97 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 35.11 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 27.55 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 174.61 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 174.98 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 394.27 25470 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 279.56 25470 06/10/2024 Water Enterprise Fund Rents & Leases UBEO WEST LLC 125.67 25470 06/10/2024 Sewer Enterprise Fund Rents & Leases UBEO WEST LLC 125.67 Check Total: 3,044.44
25471 06/10/2024 General Fund Rents & Leases UBEO WEST LLC 173.96 Check Total: 173.96
25472 06/10/2024 Gas Tax/Street Improvement Professional Services UNION PACIFIC RAILROAD CO. 350.72 Check Total: 350.72
25473 06/10/2024 Internal Service Fund Operations & Maintenance VAN DE POL 10,072.28 Check Total: 10,072.28
25474 06/10/2024 Employee Benefits Fund Vision Insurance VISION SERVICE PLAN (CA) 1,169.07 25474 06/10/2024 Employee Benefits Fund Vision Insurance VISION SERVICE PLAN (CA) 17.58 Check Total: 1,186.65
25475 06/10/2024 Public Safety Trans & Use Tax Improvements Other Than Bldg VISTA PAINT CORPORATION 149.63 Check Total: 149.63
25476 06/10/2024 SB1-Road Maint & Rehab RMRA Fruitland Ave Rd Improvements VVH CONSULTING SERVICES 7,578.75 25476 06/10/2024 General Fund Professional Services VVH CONSULTING SERVICES 2,992.50 25476 06/10/2024 Water Enterprise Fund Professional Services VVH CONSULTING SERVICES 11,970.00 25476 06/10/2024 General Fund Professional Services VVH CONSULTING SERVICES 990.00 AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 14
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-

Check Number Check Date Fund Name Account Name Vendor Name Void Amount 25476 06/10/2024 General Fund Professional Services VVH CONSULTING SERVICES 2,527.50 25476 06/10/2024 SB1-Road Maint & Rehab RMRA Fruitland Ave Rd Improvements VVH CONSULTING SERVICES 3,250.00 25476 06/10/2024 General Fund Professional Services VVH CONSULTING SERVICES 2,180.00 25476 06/10/2024 General Fund Professional Services VVH CONSULTING SERVICES 12,285.00 25476 06/10/2024 Local Transportation Fund Atwater Blvd & First St Signal VVH CONSULTING SERVICES 1,391.44 25476 06/10/2024 Sewer Enterprise Fund Eucalyptus/First Drainage Imp VVH CONSULTING SERVICES 50,000.00 25476 06/10/2024 Sewer Enterprise Fund Atwater Blvd Drainage Imprvmts VVH CONSULTING SERVICES 22,735.00 Check Total: 117,900.19
25477 06/10/2024 Sewer Enterprise Fund Special Departmental Expense WARD ENTERPRISES 42.36 Check Total: 42.36
25478 06/10/2024 Water Enterprise Fund Special Departmental Expense WATERFORD IRRIGATION SUPPLY, INC 21.02 25478 06/10/2024 Water Fund Capital Replacement Installation-New Water Meters WATERFORD IRRIGATION SUPPLY, INC 403.99 25478 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense WATERFORD IRRIGATION SUPPLY, INC 83.82 25478 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense WATERFORD IRRIGATION SUPPLY, INC 16.68 25478 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense WATERFORD IRRIGATION SUPPLY, INC 10.09 25478 06/10/2024 Water Fund Capital Replacement Installation-New Water Meters WATERFORD IRRIGATION SUPPLY, INC 123.80 25478 06/10/2024 Sewer Enterprise Fund Special Departmental Expense WATERFORD IRRIGATION SUPPLY, INC 108.33 25478 06/10/2024 Sewer Enterprise Fund Special Departmental Expense WATERFORD IRRIGATION SUPPLY, INC 29.39 25478 06/10/2024 General Fund Maint. Buildings & Grounds WATERFORD IRRIGATION SUPPLY, INC 7.10 25478 06/10/2024 Water Fund Capital Replacement Installation-New Water Meters WATERFORD IRRIGATION SUPPLY, INC 353.53 Check Total: 1,157.75
25479 06/10/2024 Internal Service Fund Utilities WEST COAST GAS CO. INC. 29.97 Check Total: 29.97
25480 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense WINTON HARDWARE 45.24 25480 06/10/2024 Water Enterprise Fund Special Departmental Expense WINTON HARDWARE 11.78 25480 06/10/2024 General Fund Special Departmental Expense WINTON HARDWARE 5.81 25480 06/10/2024 Gas Tax/Street Improvement Special Departmental Expense WINTON HARDWARE 47.38 25480 06/10/2024 Sewer Enterprise Fund Special Departmental Expense WINTON HARDWARE 8.61 25480 06/10/2024 Sewer Enterprise Fund Special Departmental Expense WINTON HARDWARE 18.31 Check Total: 137.13
25481 06/10/2024 General Fund Special Departmental Expense WORK WELLNESS 1,144.00 Check Total: 1,144.00
Report Total: 2,594,060.48
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AP-Checks for Approval (6/6/2024 - 2:20 PM) Page 15

SPECIAL MEETING

CITY COUNCIL

ACTION MINUTES
May 28, 2024
CALL TO ORDER:

The City Council of the City of Atwater met in Special Session this date at 4:08 PM in the City Council Chambers located at 750 Bellevue Road, Atwater, California; Mayor Nelson presiding.

ROLL CALL:

Present: City Council Members Cale, Raymond, Mayor Nelson

Absent: City Council Members Button and Ambriz
Staff present: Interim City Manager Thompson, Deputy City Attorney Gin, Police Chief Salvador, Battalion Chief Ayuso, Public Works Director Vinson, Finance Director Nicholas, Human Resources Director Sousa, Deputy City Clerk Peralta
Mayor Nelson opened public comment.

No one came forward.

Mayor Nelson closed the public comment.

City Council Member Ambriz arrived at the dais at 4:32 PM.

BUDGET WORKSHOP:

Proposed 2024-2025 Fiscal Year Budget (Finance Director Nicholas)

CITY OF ATWATER
Minutes

City Council Special Meeting Action Minutes for May 28, 2024 Page 2 Finance Director Nicholas gave a presentation on the proposed 2024-2025 fiscal year budget.

Interim City Manager Thompson provided clarification to City Council Member questions.

ADJOURNMENT:

Mayor Nelson adjourned the Special Meeting at 5:00 PM.

APPROVED:
________________________________

MIKE NELSON
MAYOR
ATTEST:
________________________________

GISELA PERALTA

DEPUTY CITY CLERK

CITY OF ATWATER
Minutes

CITY COUNCIL

ACTION MINUTES
May 28, 2024
REGULAR SESSION: (Council Chambers)
The City Council of the City of Atwater met in Regular Session this date at 6:01 PM in the City Council Chambers located at the Atwater Civic Center, 750 Bellevue Road, Atwater, California; Mayor Nelson presiding.

INVOCATION:

The Invocation was led by Steve Mead.

PLEDGE OF ALLEGIANCE TO THE FLAG:

The Pledge of Allegiance was led by Council Member Button.

ROLL CALL: (City Council)

Present: City Council Members Cale, Ambriz, Button, Mayor Nelson

Absent: Mayor Pro Tem Raymond
Staff Present: Interim City Manager Thompson, Deputy City Attorney Gin, Police Chief Salvador, Human Resources Director Sousa,
Finance Director Nicholas, Public Works Director Vinson, Deputy City Clerk Peralta
SUBSEQUENT NEED ITEMS: None

City Council Meeting Action Minutes for May 28, 2024 Page 2 APPROVAL OF AGENDA AS POSTED OR AS AMENDED:

MOTION: Mayor Pro Tem Raymond moved to approve the agenda as posted. The motion was seconded by City Council Member Button and the vote was: Ayes:

Cale, Ambriz, Button, Nelson; Noes: None; Absent: Raymond. The motion passed.

PRESENTATIONS:

Monthly report by Merced County District 3 Supervisor McDaniel • Thanked Mayor Nelson for assisting with the Measure B committee meeting. • County appreciates City moving forward with the Bellevue project. • Thanked CAL Fire for their quick response.

CEREMONIAL MATTERS:

Certificate of Recognition - Mike Richter, Carden Kalcevich, Elmer Wood, Juniper, McSwain, Mitchell Senior, Peggy Heller, and Shaffer Students City Council Members Button and Ambriz presented certificates to Mike Richter, Carden Kalcevich, and the students of Elmer Wood, Juniper, McSwain, Mitchell Senior, Peggy Heller, and Shaffer.

CONSENT CALENDAR:

Mayor Nelson opened public comment regarding items on the Consent Calendar.

No one came forward.

Mayor Nelson closed the public comment.

MOTION: City Council Member Ambriz moved to approve the Consent Calendar as posted. The motion was seconded by City Council Member Button and the vote was: Ayes: Cale, Ambriz, Button, Nelson; Noes: None; Absent: Raymond. The motion passed.

TREASURER’S REPORT:

1. April 30, 2024
ACTION: Acceptance of report as listed.

WARRANTS:

2. May 28, 2024
ACTION: Approval of warrants as listed.

City Council Meeting Action Minutes for May 28, 2024 Page 3 MINUTES: (City Council)

3. a.) May 13, 2024 - Regular meeting
b.) May 20, 2024 - Special meeting
ACTION: Approval of minutes as listed.

RESOLUTIONS:

4. Resolutions Initiating Proceedings for the Annual Assessments Levy, Ordering the Engineer to Prepare and File Reports, Declaring the City’s Intent to Collect, Preliminarily Approving Engineer’s Reports, and Setting a Public Hearing for the Collection of Annual Levy for Various Assessment Maintenance Districts for Fiscal Year 2024/25 (Interim City Manager Thompson)
ACTION: Adoption of Resolution No. 3465-24, initiating proceedings for the Annual Assessments Levy with respect to the various Assessment Maintenance Districts for Fiscal Year 2024/25 pursuant to the provisions of Part 2 of Division 15 of the Streets and Highways Code of the State of California; and Adoption of Resolution No. 3466-24 ordering the City’s Assessment Engineer to prepare and file the Engineer’s Reports for the collection of the proposed annual assessments for the Lighting and Drainage and Landscape Assessment Maintenance Districts for Fiscal Year 2024/25; and Adoption of Resolution No. 3467-24 declaring the City’s intention to levy and collect the annual assessments for various assessment maintenance districts for Fiscal Year 2024/25, granting preliminary approval of the Engineer’s Reports, and setting a public hearing date for said assessments for June 24, 2024.

CITY MANAGER REPORTS/UPDATES:

5. Update from the Office of the Interim City Manager
Interim City Manager Thompson spoke about the Community Services Event.

COMMENTS FROM THE PUBLIC:

Notice to the public was read.

Mayor Nelson clarified that under the Brown Act, members of the public are entitled to directly address the City Council and are not entitled to address their comments to other members of the public or to staff.

Mayor Nelson opened public comment.

Jennifer Krumm, Community Administrator at Castle Vista Senior Community, spoke about the issues regarding the canal that runs alongside the property.

Richard Goeken, Fry Memorial Chapel, spoke regarding bringing a crematory and

City Council Meeting Action Minutes for May 28, 2024 Page 4 a chapel to the City of Atwater.

Jim Price recognized Ernie Conner and Police Chaplain Lee.

Mayor Nelson closed the public comment.

CITY COUNCIL REPORTS/UPDATES:

City Council comments
City Council Member Cale congratulated the student athletes and spoke about Ernie Conner.

City Council Member Button congratulated the student athletes and thanked Jim Price for his kind words.

City Council Member Ambriz congratulated the student athletes.

Mayor Nelson spoke regarding the Community Services Event and about the Memorial Day events.

Police Chief Salvador recognized Police Chaplain Lee.

ADJOURNMENT:

In Memory of Police Chaplain Larry Lee.

Mayor Nelson adjourned the meeting at 6:39 PM.

APPROVED:
________________________________

MIKE NELSON
MAYOR
ATTEST:
________________________________

GISELA PERALTA

DEPUTY CITY CLERK

CITY OF ATWATER
Minutes

SPECIAL MEETING

CITY COUNCIL

ACTION MINUTES
June 3, 2024
OPEN SESSION: (Council Chambers)
The City Council of the City of Atwater met in Special Session this date at 5:00 PM in the City Council Chambers located at the Atwater Civic Center, 750 Bellevue Road, Atwater, California; Mayor Nelson presiding.

ROLL CALL:

Present: City Council Members Ambriz, Button, Cale, Mayor Pro Tem Raymond (Via Teleconference as posted on the agenda, 221 Broadway, Nashville, TN 37201), Mayor Nelson

Absent: None
Staff Present: City Attorney Splendorio, Assistant City Clerk Martin CLOSED SESSION: (Conference Room A)
Pursuant to Government Code Section 54957, Public Employee Appointment; Title: City Manager
Mayor Nelson invited public comment on Closed Session items.

No one came forward to speak.

Mayor Nelson adjourned the meeting to Conference Room A for Closed Session at 5:02 PM. Human Resources Director Sousa joined the meeting in Conference Room A.

City Attorney Splendorio reported that the City Council received information, provided direction, and there was no reportable action.

City Council Special Meeting Action Minutes for June 3, 2024 Page 2 ADJOURNMENT:

Mayor Nelson adjourned the meeting at 6:15 PM.

APPROVED:
________________________________

MIKE NELSON
MAYOR
ATTEST:
________________________________

JANELL MARTIN

ASSISTANT CITY CLERK

CITY COUNCIL

AGENDA REPORT

MEETING
DATE:

June 10, 2024
TO: Mayor and City Council
FROM: Anna Nicholas, Finance Director

PREPARED
BY:

Anna Nicholas, Finance Director
SUBJECT: Approval of the Statement of Investment Policy for the 2024-25 Fiscal Year and Delegating Authority to the City Treasurer to Invest Funds in Accordance with the Statement of Investment Policy (Finance Director Nicholas)

RECOMMENDED COUNCIL ACTION
Adoption of Resolution No. 3464-24 approving the Statement of Investment Policy for Fiscal Year 2024-25 and delegating authority to the City Treasurer to invest funds in accordance with the Statement of Investment Policy.

I. BACKGROUND/ANALYSIS:

Government Code Section, 53600 et seq. contains the statues governing the investment of public funds. Annually, the City's Statement of Investment Policy is reviewed and updated for compliance with Government code Section, 53600 et seq.

The goal of the Statement of Investment Policy presented to Council for adoption for fiscal year 2024-25 remains consistent with past fiscal years, which is to invest public funds in a manner which will provide maximum security, meet daily cash flow demands of the City, and provide the highest investment return while conforming to all California Laws pertaining to the investment of public funds.

In collaboration with the City of Atwater’s investment advisor, Chandler Asset Management, finance staff recently reviewed the City’s investment policy to capture recent changes to California Government Code (Code) sections that govern the investment of public funds. Staff also reviewed the policy to ensure inclusion of the latest best practices from recognized industry groups such as Government Finance Officers Association (GFOA), California Society of Municipal Finance Officers (CSMFO) and California Municipal Treasurers Association (CMTA).

Below is a summary of the recommended changes that are incorporated into the Statement of Investment Policy for Fiscal Year 2024-25:

Section 1: Purpose
• Recommend updating effective date to correspond to council approval

CITY COUNCIL
Mike Nelson, Mayor
Danny Ambriz Tyler Button
John Cale Brian Raymond

Agenda Report - Approval of the Statement of Investment Policy for the 2024-25 Fiscal Year and Delegating Authority to the City Treasurer to Invest Funds in Accordance with the Statement of Investment Policy (Finance Director Nicholas) Page 2

Section 8: Ethics and Conflicts of Interest
• Updated language related to conflicts of interest and requiring form 700 Section 12: Collateralization
• Added more detail on collateralization requirements per specific investments.

Exhibit A : Authorized Investments
• #6 Certificates of Deposit
Updated the types of CDs for permitted investments.
• #7 Commercial Paper
Updated issuer limitation for CP(5 % per issuer/ 10% of outstanding CP per issuer)
Glossary
• Added terms Fiduciary and Paydown.

II. FISCAL IMPACTS:

While there is no direct fiscal impact with approval of this item, there is potential fiscal impact dependent on the type and length of the allowed investment. Remaining in compliance with Government Code Section 53600 et seq. is imperative to managing risk associated with noncompliance. Through annual review, update and approval, the investment policy remains in compliance with Government Code Section 53600 et seq.

This item has been reviewed by the Finance Department.

III. LEGAL REVIEW:

This item has been reviewed by the City Attorney's Office.

IV. EXISTING POLICY:

Resolution No. 3399-23 is the most current adopted Statement of Investment Policy which covers Fiscal Year 2023-2024. Approving Resolution 3464-24 will bring into effect the Statement of Investment Policy for the Fiscal Year of 2024-25. This item also contributes toward the City Council's goal of ensuring financial solvency by complying with Government Code 53600 et. seq.

V. ALTERNATIVES:

The City Council could choose not to adopt Resolution No. 3464-24 approving the Statement of Investment Policy for Fiscal Year 2024-25.

VI. INTERDEPARTMENTAL COORDINATION:

While Interdepartmental Coordination is not necessary for completion of this Resolution to approve the FY 2024-25 Statement of Investment Policy, it is fully expected all municipal departments will comply with the Statement of Investment Policy.

Agenda Report - Approval of the Statement of Investment Policy for the 2024-25 Fiscal Year and Delegating Authority to the City Treasurer to Invest Funds in Accordance with the Statement of Investment Policy (Finance Director Nicholas) Page 3

VII. PUBLIC PARTICIPATION:

The public will have an opportunity to provide comments on this item prior to City Council action.

VIII. ENVIRONMENTAL REVIEW:

This item is not a project under the California Environmental Quality Act (CEQA) as this activity does not cause either direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, pursuant to Public Resources Code Section 21065.

IX. STEPS FOLLOWING APPROVAL:

Following approval and adoption of Resolution 3464-24, the City Clerk will post the FY 2024-25 Statement of Investment Policy to the City's website. The City will implement the FY 2024-25 Statement of Investment Policy for all applicable activities.

Submitted by: /s/ Anna Nicholas, Finance Director
Approved by:

Greg Thompson, Interim City Manager
Attachments:

1. 3464-24 Reso Adopt Stmt of Investment Policy FY 24-25

2. FY 24-25 Atwater Investment Policy_redlne May 2024

3. FY 24-25 Atwater Investment Policy-FINAL

CITY COUNCIL
OF THE

CITY OF ATWATER
RESOLUTION NO. 3464-24

A RESOLUTION OF THE CITY COUNCIL OF THE

CITY OF ATWATER APPROVING THE

STATEMENT OF INVESTMENT POLICY FOR THE
2024-2025 FISCAL YEAR AND DELEGATING

AUTHORITY TO THE CITY TREASURER TO

INVEST FUNDS IN ACCORDANCE WITH THE

STATEMENT OF INVESTMENT POLICY
WHEREAS, the City Council has reviewed a proposed annual Statement of Investment Policy providing guidelines for the investment of City funds pursuant to Government Code Sections 53600 et seq.; and
WHEREAS, consistent with Government Code Section 53607, the City Council may annually delegate authority to the City Treasurer to make investments on behalf of the City.

NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Atwater that the Statement of Investment Policy attached as Exhibit “A” is hereby approved.

BE IT FURTHER RESOLVED, that the City Council does hereby delegate authority to the City Treasurer to invest funds in accordance with the City’s Statement of Investment Policy for the 2024-2025 fiscal year. .

The foregoing resolution is hereby adopted this 10th day of June 2024.

Resolution No. 3464-24 Page 2
AYES:

NOES:

ABSENT:

APPROVED:

________________________________

MIKE NELSON, MAYOR
ATTEST:
_________________________________
KORY J. BILLINGS, CITY CLERK

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

1. Purpose
This statement is intended to provide a guideline for the prudent investment of operating funds and restricted monies and to outline a policy for maximizing the efficiency of the cash management system for the City of Atwater. Ultimate investment goals include the enhancement of economic status and the protection of pooled cash investments. This investment policy was endorsed and adopted by the City Council of the City of Atwater, is effective as of the 27th 10XXth day of June, 202432, and replaces any previous version.

2. Policy
It is the policy of the City of Atwater to invest public funds in a manner which will provide maximum security, meet the daily cash flow demands of the City, and provide highest investment return while conforming to all California laws set forth in the State Government Code, Sections 53600 et seq., and local statutes governing the investment of public funds.

3. Scope
This Investment Policy applies to all funds and investment activities under the direct authority of the City of Atwater, including that of the Successor Agency to the Atwater Redevelopment Agency. This policy does not cover any funds held by fiscal agents in connection with the issuance of any debt by the City. Such funds shall be invested in accordance with the bond documents and trust indentures.

Pooling of funds: Except for cash in certain restricted and special funds, the Agency will consolidate cash and reserve balances from all funds to maximize investment earnings and to increase efficiencies with regard to investment pricing, safekeeping and administration.

Investment income will be allocated to the various funds based on their respective participation and in accordance with generally accepted accounting principles.

4. Prudence
Pursuant to California Government Code , Section 53600.3, all persons authorized to make investment decisions on behalf of the City are trustees and therefore fiduciaries subject to the prudent investor standard: “…all governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard.” 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 character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency. Within the limitations of this section and considering individual investments as part of an overall strategy, investments may be acquired as authorized by law. Investment officials shall recognize that the investment portfolio is subject to public review and evaluation. The overall investment program shall be designed and managed with a degree of professionalism that is worthy of the public trust. Deviations from expectations of a security’s credit or market risk should be reported to the governing body in a timely fashion and appropriate action should be taken to control adverse developments.

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

5. Objective
The primary objectives in priority order, of the City of Atwater’s investment activities shall be:

5.1 Safety: Safety of principal is the foremost objective of the investment program.

Investments of the City of Atwater shall be undertaken in a manner that seeks to ensure that capital losses are avoided, whether from securities default, broker-dealer default, or erosion of market value. To attain this objective, diversification is required in order that potential losses on individual securities do not exceed the income generated from the remainder of the portfolio. The City may elect to sell a security prior to its maturity and record a capital gain or loss in order to improve the quality, liquidity or yield of the portfolio in response to market conditions or the City's risk preferences.

5.2 Liquidity: The City of Atwater's investment portfolio will remain sufficiently liquid to enable the City to meet all operating requirements, which might be reasonably anticipated.

5.3 Return on Investment: The City of Atwater's investment portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the City's investment risk constraints and the cash flow characteristics of the portfolio.

6. Risk Tolerance
The City Council of the City of Atwater recognizes that investment risks can result from issuer default, market price changes or various technical complications leading to temporary illiquidity.

Portfolio diversification is employed as a method to control risk. Investment managers are expected to display prudence in the selection of securities, as a way to minimize default risk. No individual investment transaction shall be undertaken, which jeopardizes the total capital position of the overall portfolio. The City Treasurer shall, concurrent with the annual review and approval of the City’s Statement of Investment Policy, periodically recommend to the City Council guidelines and strategies to control risks of default, market price changes and liquidity.

7. Delegation of Authority
Management responsibility for the investment program is the responsibility of the City Council unless delegated by City Council action to the City Treasurer. Investment of City of Atwater funds shall be conducted within the constraints of this Investment Policy. The conduct of the City’s dayto-day banking and investment activities shall be the responsibility of the Finance Director, Finance Operations Manager and/or City Manager of the City of Atwater. The Finance Director, Finance Operations Manager and/or City Manager must conform to the signature requirements on all City accounts and cannot conduct banking and investing business without the proper signatures.

The City may engage the services of one or more external investment advisers, who are registered under the Investment Advisers Act of 1940, to assist in the management of the City’s investment portfolio in a manner consistent with the City’s objectives. External investment advisers may be granted discretion to purchase and sell investment securities in accordance with this investment policy.

The City's overall investment program shall be designed and managed with a degree of professionalism that is worthy of the public trust. The City recognizes that in a diversified portfolio,

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

occasional measured losses may be inevitable and must be considered within the context of the overall portfolio’s return and the cash flow requirements of the City.

8. 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 City Manager any material financial interests in financial institutions that conduct business within the jurisdiction, and they shall further disclose any large personal financial/investment positions that could be related to the performance of the City of Atwater’s portfolio. Employees and officers shall subordinate their personal investment transactions to those of the City's, particularly with regard to the time of purchases and sales.

All participants in the investment process are required to comply with terms of the Political Reform Act, Fair Political Practices Commission Regulations promulgated thereunder (2 C.C.R. §§ 18110 through 18998), the City’s Conflict of Interest Policy, including, without limitation, filing of Form 700, notification and recusal obligations, and Government Code section 1090 prohibitions.

9. Authorized Financial Dealers and Institutions
To the extent practicable, the Treasurer shall endeavor to complete investment transactions using a competitive bid process whenever possible. The City’s Treasurer will determine which financial institutions are authorized to provide investment services to the City. It shall be the City’s policy to purchase securities only from authorized institutions and firms.

The Treasurer shall maintain procedures for establishing a list of authorized broker/dealers and financial institutions that are approved for investment purposes that are selected through a process of due diligence as determined by the City. Due inquiry shall determine whether such authorized broker/dealers, and the individuals covering the City are reputable and trustworthy, knowledgeable and experienced in Public City investing and able to meet all of their financial obligations. These institutions may include "primary" dealers or regional dealers that qualify under Securities and Exchange Commission (SEC) Rule 15c3-1 (uniform net capital rule).

In accordance with Gov. Code Section 53601.5, the City is permitted to purchase investments from the following institutions:
• Institutions licensed by the state as a broker-dealer. • Institutions that are members of a federally regulated securities exchange. • A brokerage firm designated as a primary government dealer by the Federal Reserve bank.
• Nationally or state-chartered banks.
• A State Association or a Federal Association
• Direct issuers of securities eligible for purchase.

Selection of financial institutions and broker/dealers authorized to engage in transactions will be at the sole discretion of the City, except where the City utilizes an external investment adviser in which case the City may rely on the adviser for selection.

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

All financial institutions which desire to become qualified bidders for investment transactions (and which are not dealing only with the investment adviser) must supply the Treasurer with audited financials and a statement certifying that the institution has reviewed the California Government Code, Section 53600 et seq. and the City’s investment policy. The Treasurer will conduct an annual review of the financial condition and registrations of such qualified bidders.

Public deposits will be made only in qualified public depositories as established by State law.

Deposits will be insured by the Federal Deposit Insurance Corporation, or, to the extent the amount exceeds the insured maximum, will be collateralized in accordance with State law.

Selection of broker/dealers used by an external investment adviser retained by the City will be at the sole discretion of the adviser. Where possible, transactions with broker/dealers shall be selected on a competitive basis and their bid or offering prices shall be recorded. If there is no other readily available competitive offering, best efforts will be made to document quotations for comparable or alternative securities. When purchasing original issue instrumentality securities, no competitive offerings will be required as all dealers in the selling group offer those securities at the same original issue price.

10. Authorized Investments
The City is governed by the California Government Code Sections 53600 et seq. Authorized investments of the City are detailed in Exhibit "A" which is made part of this investment policy.

11. Investment Pools / Mutual Funds
The Agency shall conduct a thorough investigation of any pool or mutual fund prior to making an investment, and on a continual basis thereafter. The Treasurer shall develop a questionnaire which will answer the following general questions:
• A description of eligible investment securities, and a written statement of investment policy and objectives.
• A description of interest calculations and how it is distributed, and how gains and losses are treated.
• A description of how the securities are safeguarded (including the settlement processes), and how often the securities are priced and the program audited. • A description of who may invest in the program, how often, what size deposit and withdrawal are allowed.
• A schedule for receiving statements and portfolio listings. • Are reserves, retained earnings, etc. utilized by the pool/fund? • A fee schedule, and when and how is it assessed.
• Is the pool/fund eligible for bond proceeds and/or will it accept such proceeds?

12. Collateralization

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

Collateralization will be required as indicated in Exhibit "A". Collateral will always be held by an independent third party with whom the City has a current custodial agreement. A clearly marked evidence of ownership (safekeeping receipt) must be supplied to the City and retained. The right of collateral substitution may be granted.

CERTIFICATES OF DEPOSIT (CDS). The City 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.

COLLATERALIZATION OF BANK DEPOSITS. This is the process by which a bank or financial institution pledges securities, or other deposits for the purpose of securing repayment of deposited funds. The City shall require any bank or financial institution to comply with the collateralization criteria defined in California Government Code, Section 53651.

REPURCHASE AGREEMENTS. The City requires that Repurchase Agreements be collateralized only by securities authorized in accordance with California Government Code:
• The securities which collateralize the repurchase agreement shall be priced at Market Value, including any Accrued Interest plus a margin. The Market Value of the securities that underlie a repurchase agreement shall be valued at 102% or greater of the funds borrowed against those securities.
• Financial institutions shall mark the value of the collateral to market at least monthly and increase or decrease the collateral to satisfy the ratio requirement described above. • The City shall receive monthly statements of collateral.

13. Safekeeping and Custody
All securities owned by the City, shall be held in safekeeping by the City's custodian bank or a third partythird-party bank trust department, acting as agent for the City under the terms of a custody or trustee agreement executed by the bank and by the City. A monthly report will be received by the City from the custodian or third partythird-party bank trust department listing all securities held in safekeeping with current market data and other information. All securities will be received and delivered using standard delivery-versus-payment (DVP) procedures. The only exceptions to the foregoing shall be depository accounts and securities purchases made with: (i) local government investment pools; (ii) time certificates of deposit, and, (iii) mutual funds and money market mutual funds, since these securities are not deliverable.

14. Risk Management and Diversification

MITIGATING CREDIT RISK IN THE PORTFOLIO
Credit risk is the risk that a security or a portfolio will lose some or all its value due to a real or perceived change in the ability of the issuer to repay its debt. The City will mitigate

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

credit risk by adopting the following strategies:
• Following the diversification requirements included in the “Authorized Investments” section of this policy.
• No more than 5% of the total portfolio may be deposited with or invested in securities issued by any single issuer unless otherwise specified in this policy. • The City may elect to sell a security prior to its maturity and record a capital gain or loss in order to manage the quality, liquidity or yield of the portfolio in response to market conditions or City’s risk preferences.
• If a security owned by the City is downgraded to a level below the requirements of this policy, making the security ineligible for additional purchases, the following steps will be taken:
• Any actions taken related to the downgrade by the investment manager will be communicated to the Treasurer in a timely manner.
• If a decision is made to retain the security, the credit situation will be monitored and reported to the City Council.

MITIGATING MARKET RISK IN THE PORTFOLIO
Market risk is the risk that the portfolio value will fluctuate due to changes in the general level of interest rates. The City recognizes that, over time, longer-term portfolios have the potential to achieve higher returns. On the other hand, longer-term portfolios have higher volatility of return. The City will mitigate market risk by providing adequate liquidity for short-term cash needs, and by making longer-term investments only with funds that are not needed for current cash flow purposes.

The City further recognizes that certain types of securities, including variable rate securities, securities with principal paydowns prior to maturity, and securities with embedded options, will affect the market risk profile of the portfolio differently in different interest rate environments. The City, therefore, adopts the following strategies to control and mitigate its exposure to market risk:
• The City will maintain a minimum of six months of budgeted operating expenditures in short termshort-term investments to provide sufficient liquidity for expected disbursements.
• The maximum stated final maturity of individual securities in the portfolio will be five (5) years, except as otherwise stated in this policy.

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

• The duration of the portfolio will generally be approximately equal to the duration (typically, plus or minus 20%) of a Market Benchmark, an index selected by the City based on the City’s investment objectives, constraints and risk tolerances. ".

15. Maximum Maturities
Unless matched to a specific cash flow, the City will not directly invest in securities maturing more than five years from the settlement date (See exceptions indicated in Exhibit "A").

16. Internal Control
The Treasurer shall establish a system of written internal controls which shall be reviewed by an independent auditor. This review will provide internal control by assuring compliance with policies and procedures. The controls shall be designed to prevent losses of public funds arising from fraud, employee error, misrepresentation of third parties, unanticipated changes in financial markets, or imprudent actions by employees and officers of the city. Controls deemed most important include: control of collusion, separation of duties, separation of transaction authority from accounting and recordkeeping, clear delegation of authority, specific limitations regarding securities losses and remedial action, written confirmation of telephone transactions, minimizing the number of authorized investment officials, documentation of transactions and strategies, and code of ethics standards.'

17. Performance Standards
The investment portfolio shall be designed to attain a market average rate of return through budgetary and economic cycles, taking into account the investment risk constraints and cash flow needs. The specific investment performance objective for the portfolio shall be to earn a total rate of return over a market cycle which is approximately equal to a market benchmark index. The current benchmark index for the portfolio is the ICE BofA 1-5 Yr US Treasury & Agency Index.

18. Reporting
The City Treasurer shall submit a monthly investment report to the City Council. This report will include all required elements of the monthly report as prescribed in California Government Code Section 53646. Pursuant to the adopted Investment Policy for the City of Atwater, this monthly shall include:

1. The type of investment, name of issuer, date of investment, date of maturity, rate of interest, asking price and par and dollar amount invested on all securities, investments, monies and/or deposits.

2. The weighted average maturity of the portfolio.

3. Transactions for the period

4. A description of the funds, investments and programs (including lending programs) managed by contracted parties (i.e. LAIF, investment pools, outside money managers and securities lending agents)

5. The market value as of the date of the report and the source of the valuation.

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

6. A statement of compliance with the Investment Policy or, if not in compliance, a statement of non-compliance and the manner in which the portfolio is not in compliance.

7. A statement of compliance with California Government Code Section 53646 from the City Treasurer certifying that sufficient investment liquidity and anticipated revenues are available to meet the City’s budgeted expenditure requirement for the next six (6) months or an explanation as to why sufficient money shall, or may, not be available

19. Review of the Investment Policy
The City of Atwater’s Statement of Investment Policy shall be reviewed and adopted at least annually within 120 days of the end of the fiscal year to ensure its consistency with the overall objectives of preservation of principal, liquidity and return, and its relevance to current law and financial and economic trends by City Council resolution. Any modifications made thereto must be approved by the City Council.

20. External Auditor
As a part of each year’s financial audit of the City of Atwater, the external auditors shall review the Statement of Investment Policy and shall confirm that the City’s investments are in compliance with that policy. Any issues noted will be reported to the City Council.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

A. INVESTMENTS- Within the investments permitted by the Code, the Agency seeks to further restrict eligible investments to the guidelines listed below. In the event a discrepancy is found between this policy and the Code, the more restrictive parameters will take precedence.

Percentage holding limits listed in this section apply at the time the security is purchased.

Any investment currently held at the time the policy is adopted which does not meet the new policy guidelines can be held until maturity and shall be exempt from the current policy. At the time of the investment’s maturity or liquidation, such funds shall be reinvested only as provided in the current policy.

An appropriate risk level shall be maintained by primarily purchasing securities that are of high quality, liquid, and marketable. The portfolio shall be diversified by security type and institution to avoid incurring unreasonable and avoidable risks regarding specific security types or individual issuers.

1. U.S. Treasury Securities (bills, notes and bonds) are sold to finance gaps between the federal government's receipts and expenditures.

California Government Code Section 53601 Requirement: No limit specified:

City of Atwater Limitation:
1) Maximum maturity - five years
2) Maximum par value total size - None
3) Maximum par value per issue- None
4) Credit- Full faith and credit of the Federal Government

2. U.S. Agency & Government Sponsored Enterprise Securities are not direct obligations of the United States but rather are direct obligations of agencies of the federal government or government-sponsored enterprises. Securities issued by U.S. government agencies are backed by the full faith and credit of the U.S. government. They include the following agencies:
-Government National Mortgage Association (GNMA)
-Export-Import Bank (EXIMBANK)
-Small Business Administration (SBAs)
-Farmers Home Administration (FHA)
-General Services Administration (GSA)
-Maritime Administration
The federal government has sponsored the creation of, or the financial support of several corporations, also known as government-sponsored enterprises. None of these organizations carry the federal government guarantee.

They include the following agencies:
-Federal National Mortgage Association (FNMA)
-Federal Farm Credit Bank (FFCB)

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

-Federal Home Loan Bank (FHLB)
-Federal Home Loan Mortgage Corporation (FHLMC)
-Tennessee Valley Authority (TVA)
California Government Code Section 53601 Requirement: No limit specified.

City of Atwater Limitation:
1) Maximum maturity- five years
2) Maximum par value total size- no limitation
3) Maximum par value per issue-no limitation
4) The maximum percent of callable agency securities in the portfolio will be 20%. 5) Credit-Despite having no statutory limitation concerning this category, prudent investment practice necessitates constant analysis of the issuing agency. Although these issues have either the implicit or explicit guarantee of the federal government, market perception often limits the liquidity of these issues.

3. Obligations of the State of California or any local agency within the state, including bonds payable solely out of revenues from a revenue producing property owned, controlled or operated by the state or any local agency, or by a department, board, agency or authority of the state or any local agency.

California Government Code Section 53601 Requirement: No limit specified.

City of Atwater Limitation:
1) Maximum maturity- five years
2) Maximum par value total size- 30% of portfolio
3) Maximum par value per issue-5%
4) Credit- The Securities are rated in a rating category of “A” or its equivalent or better by at least one nationally recognized statistical rating organization (“NRSRO”)

4. Obligations (Municipal Securities) of any of the other 49 states in addition to California, including bonds payable solely out of revenues from a revenue producing property owned, controlled or operated by the state or any local agency, or by a department, board, agency or authority of the state or any local agency.

California Government Code Section 53601 Requirement: No limit specified.

City of Atwater Limitation:
1) Maximum maturity- five years
2) Maximum par value total size- 30% of portfolio
3) Maximum par value per issue-5%
4) Credit- The Securities are rated in a rating category of “A” or its equivalent or better by at least one nationally recognized statistical rating organization (“NRSRO”)

5. Bankers Acceptances are typically created from a letter of credit issued in a foreign trade transaction and are time drafts drawn on and accepted by a bank to pay a specified amount of

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

money on a specified date.

California Government Code Section 53601 Requirement:
1) Purchases may not exceed 180 days.
2) Purchases are restricted to 40% of the agency's surplus money. 3) No more than 30% of the City's surplus money may be invested in the bankers’ acceptances of any one commercial bank.
4) Include only those that are eligible for discounting with the Federal Reserve System.

City of Atwater Limitation:
1) Maximum maturity – 180 days
2) Maximum par value size 30% of portfolio
3) Maximum par value per institution - 5%
4) Credit - financial institutions that shall only include banks that have short-term credit ratings of A-1, P-1 or equivalent ratings from other recognized rating services.

6. Certificates of Deposit
a. Negotiable Certificats of Deposit (NCDS), issued by a nationally or statechartered bank, a savings association or a federal association, a state or federal credit union, or by a federally licensed or state-licensed branch of a foreign ban:

California Government Code Section 53601(i) Requirement:
1) Maximum maturity - 5 years
2) Maximum par value total size - No more than 30% of the total portfolio may be invested in NCDs.

City of Atwater Limitation:
1) Maximum maturity - 5 years
2) Maximum par value total size - No more than 30% of the total portfolio may be invested in NCDs (combined with CDARS).
3) Maximum par value per institution - No more than 5% of the total portfolio may be invested in any single issuer.
4) Credit - The amount of the NCD insured up to the FDIC limit does not require any credit ratings. Any amount above the FDIC insured limit must be issued by institutions which have short-term debt obligations rated “A-1” or its equivalent or better by at least one NRSRO; or long-term obligations rated in a rating category of “A” or its equivalent or better by at least one NRSRO.
b. Federally Insured Time Deposits (Non-Negotiable Certificates of Deposit) in state or federally chartered banks, savings and loans, or credit unions.

California Government Code Section 53630 Requirement:
1) Maximum maturity - 5 years

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

City of Atwater Limitation:
1) Maximum maturity - 5 years
2) Maximum par value total size - No more 20% of the total portfolio will be invested in a combination of federally insured and collateralized time deposits. 3) Maximum par value per institution - The amount per institution is limited to the maximum covered under federal insurance.
c. Collateralized Time Deposits (Non-Negotiable Certificates of Deposit) in state or federally chartered banks, savings and loans, or credit unions in excess of insured amounts which are fully collateralized with securities in accordance with California law.

California Government Code Section 53630 Requirement:
1) Maximum maturity - 5 years
City of Atwater Limitation:
1) Maximum maturity - 5 years
2) Maximum par value total size - No more 20% of the total portfolio will be invested in a combination of federally insured and collateralized time deposits. d. Placement Service Deposit:

California Government Code Section 53630 Requirement:
1) Maximum maturity - 5 years
2) Maximum par value total size - Under a provision sunsetting on January 1, 2026, no more than 50% of the portfolio may be invested in deposits through a placement service, including Certificates of Deposit, if the Agency is a city, district or local agency that does not pool money with other local agencies.

City of Atwater Limitation:
1) Maximum maturity - 5 years
2) Maximum par value total size No more than 30% of the total portfolio may be invested in a combination of Certificates of Deposit, including CDARS. e. Collateralized Bank Deposits. The City’s deposits with financial institutions will be collateralized with pledged securities per California Government Code, Section 53651. There are no limits on the dollar amount or percentage that the City may invest in collateralized bank deposits.

California Government Code Section 53630 Requirement:
3) Maximum maturity - 5 years
4) Maximum par value total size – No limit
City of Atwater Limitation:
1) Maximum maturity - 5 yearsa. Certificate of Deposit (Time Deposit) is a time deposit in a financial institution documented by a certificate that bears a specified dollar amount of the deposit, a specified maturity date and a specified interest rate.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

California Government Code Section 53635.8 Requirement: No limit specified.

City of Atwater Limitation:
1) Maximum maturity - 2 years
2) Maximum par value total size-No restriction
3) Maximum par value per institution- $500,000
4) Credit - from City authorized financial institutions. Collateralization must comply with statutory regulations.
5) Must be located in the State of California
b. Negotiable Certificates of Deposit are issued by nationally or state-chartered banks, savings associations or federal associations (as defined by Section 5102 of the Financial Code), state or federal credit unions, or federally or state licensed branches of foreign banks and are traditionally traded in lots of at least $1,000,000.

California Government Code Section 53601 Requirement: Shall not exceed the net worth of the institution.

City of Atwater Limitation:
1) Maximum Maturity- 2 years
2) Maximum par value total size - 30%
3) Maximum par value per institution - $1,000,000
4) Credit - Must be rated ‘A’ or higher by a nationally recognized statistical-rating organization.

7. Commercial Paper are short-term unsecured promissory notes issued by various economic entities in the open market to finance certain short-term credit needs.

California Government Code Section 53601 Requirement:
1) Prime quality of the highest ranking or of the highest letter and numerical rating as provided for by nationally recognized statistical-rating organization. 2) Issuing corporation must be organized and operating within the United States. 3) Issuing corporation must have total assets in excess of five hundred million dollars ($500,000,000). .
4) Issuing corporation must have an "A" or higher rating by a nationally recognized statistical-rating organization for the issuer's debt, other than commercial paper. 5) Purchases may not exceed 270 days maturity.
6) Purchases may not represent more than 10% of the outstanding paper of an issuing corporation.
7) Purchases may not exceed 25% of the agency's surplus money.

City of Atwater Limitation:
1) Maximum maturity- 270 days
2) Maximum par value size 25% of portfolio
3) Maximum par value per name- 10% of outstanding commercial paper of any single per issuer, and no more than 5%of total portfolio may be invested in any single

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

issuer. regardless of sector.
4) Credit- CA Government Code Section 53601 requirements including commercial paper rated “A-1” or higher, or the equivalent, by a nationally recognized statistical ratings organization.

8. Medium Term Notes: The issuer is a corporation 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.

California Government Code Section 53601 Requirement:
1) Maximum of five years maturity
2) Shall be rating category of ‘A’ or better by a nationally recognized statistical ratings organization.
3) May not exceed 30% of surplus money
City of Atwater Limitation:
1) Maximum of five years maturity
2) Shall be rating category of ‘A’ or better by a nationally recognized statistical ratings organization
3) Maximum par value per issuer- 5%
4) Credit – from City authorized institutions that shall only include institutions rated in a rating category of ‘A’ or higher by a nationally recognized statistical-rating organization. Any downgrading of these issues after purchase shall be reported to the Council.

9. Local Agency Investment Fund (LAIF) was established by the State to enable treasurers to place funds in a pool for investments.

LAIF Limitations:

Maximum per California Government Code
City of Atwater Limitation:

1. LAIF limitation

10. Repurchase Agreements are not a security but a contractual agreement and consist of two simultaneous transactions: 1) First, an investor purchases securities (collateral) from a bank or dealer; 2) At the same time, the selling bank or dealer contractually agrees to repurchase the collateral security at the same price (plus interest) at some mutually agreed future date.

California Government Code Section 53601 Requirement:
1) Term of repurchase agreements shall be for one year or less. 2) All securities under a repurchase agreement shall be held by the agency's safekeeping agent.
3) The seller of repurchase securities shall not be entitled to substitute securities, except as authorized by the City. New or substitute securities should be reasonably identical to the original securities in terms of maturity, yield, quality and liquidity.

City of Atwater Limitation:

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

1) Maximum maturity – one year
2) Maximum par value total size - 10%
3) Maximum par value per institution - 10%
4) Credita) Securities shall be marked to market daily and shall be maintained at a value no lower than $102.
b) Securities acceptable as collateral shall be U.S. Treasury obligations only. c) It should be covered by a master repurchase agreement. 5) Repurchase agreements shall only be made with primary dealers of the Federal Reserve Bank of New York.

11. Asset Backed Securities (ABS)/ Mortgage Back Securities (MBS) are securities whose value is derived from the collateral of a specified pool of underlying assets. The pools of underlying assets can include common payments from the loans and leases of credit cards, autos, equipment and mortgages.

California Government Code Section 53601 (o) Requirement:
1) Maximum Maturity 5 years or less.
2) Shall be rated in a rating category of ‘AA’ or better by a nationally recognized statistical ratings organization.
3) Maximum par value total size- 20% of portfolio
City of Atwater Limitation:
1) Maximum maturity – 5 years or less
2) Maximum par value total size - 20%
3) Maximum par value per institution – 5%
4) Credit: In a rating category of ‘AA’ or better by a nationally recognized statistical ratings organization.
5) This section does not apply for issuers in section 2 (US agency and Government Securities.

12. Supranationals Obligations: Supranationals are international institutions that provide development financing, advisory services and/or other financial services to their member countries.

California Government Code Section 53601(q) Requirement:
1) Maximum of five years maturity or less
2) Shall be rated in a rating category of AA’ or better by a nationally recognized statistical ratings organization.
3) May not exceed 30% of surplus money
City of Atwater Limitation:
1) Maximum of five years maturity or less
2) Shall be rated in a rating category of ‘AA’ or better by a nationally recognized statistical ratings organization

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

3) Maximum value not to exceed 30% or portfolio value
4) No more than 10% of the portfolio may be invested in any single issuer. 5) Credit –Any downgrading of these issues after purchase shall be reported to the Council.

13. Mutual Funds and Money Market Mutual Funds that are registered with the Securities and Exchange Commission under the Investment Company Act of 1940, provided that:

1. MUTUAL FUNDS that invest in the securities and obligations as authorized under California Government Code, Section 53601 (a) to (k) and (m) to (q) inclusive and that meet either of the following criteria:
(i) Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
(ii) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.
• No more than 10% of the total portfolio may be invested in shares of any one mutual fund.

2. MONEY MARKET MUTUAL FUNDS registered with the Securities and Exchange Commission under the Investment Company Act of 1940 and issued by diversified management companies and meet either of the following criteria:
(i) Have attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
(ii) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience managing money market mutual funds with assets under management in excess of $500 million.

California Government Code Section 53601(q) Requirement:
1) Maximum maturity: no limit specified

2. a) Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or b) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.
3) May not exceed 20% of portfolio
City of Atwater Limitation:
1) Maximum maturity not specified

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

2 a) Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or b) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.
3) No more than 20% of the total portfolio may be invested in these securities 4) Investment Limitations:
• Mutual Funds: No more than 10% of the total portfolio may be invested in shares of any one mutual fund
• Money Market Funds: No more than 20% of the total portfolio may be invested in shares of any one money market fund

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

__________________________________________________________________________

GLOSSARY OF INVESTMENT TERMS
AGENCIES. Shorthand market terminology for any obligation issued by a government-sponsored entity (GSE), or a federally related institution. Most obligations of GSEs are not guaranteed by the full faith and credit of the US government. Examples are:

FFCB. The Federal Farm Credit Bank System provides credit and liquidity in the agricultural industry. FFCB issues discount notes and bonds.

FHLB. The Federal Home Loan Bank provides credit and liquidity in the housing market.

FHLB issues discount notes and bonds.

FHLMC. Like FHLB, the Federal Home Loan Mortgage Corporation provides credit and liquidity in the housing market. FHLMC, also called “FreddieMac” issues discount notes, bonds and mortgage pass-through securities.

FNMA. Like FHLB and FreddieMac, the Federal National Mortgage Association was established to provide credit and liquidity in the housing market. FNMA, also known as “FannieMae,” issues discount notes, bonds and mortgage pass-through securities.

GNMA. The Government National Mortgage Association, known as “GinnieMae,” issues mortgage pass-through securities, which are guaranteed by the full faith and credit of the US Government.

PEFCO. The Private Export Funding Corporation assists exporters. Obligations of PEFCO are not guaranteed by the full faith and credit of the US government.

TVA. The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds.

ASSET BACKED SECURITIES. Securities supported by pools of installment loans or leases or by pools of revolving lines of credit.

AVERAGE LIFE. In mortgage-related investments, including CMOs, the average time to expected receipt of principal payments, weighted by the amount of principal expected.

BANKER’S ACCEPTANCE. A money market instrument created to facilitate international trade transactions. It is highly liquid and safe because the risk of the trade transaction is transferred to the bank which “accepts” the obligation to pay the investor.

BENCHMARK. A comparison security or portfolio. A performance benchmark is a partial market index, which reflects the mix of securities allowed under a specific investment policy.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

BROKER. A broker brings buyers and sellers together for a transaction for which the broker receives a commission. A broker does not sell securities from his own position.

CALLABLE. A callable security gives the issuer the option to call it from the investor prior to its maturity. The main cause of a call is a decline in interest rates. If interest rates decline, the issuer will likely call its current securities and reissue them at a lower rate of interest.

CERTIFICATE OF DEPOSIT (CD). A time deposit with a specific maturity evidenced by a certificate.

CERTIFICATE OF DEPOSIT ACCOUNT REGISTRY SYSTEM (CDARS). A private placement service that allows local agencies to purchase more than $250,000 in CDs from a single financial institution (must be a participating institution of CDARS) while still maintaining FDIC insurance coverage. CDARS is currently the only entity providing this service. CDARS facilitates the trading of deposits between the California institution and other participating institutions in amounts that are less than $250,000 each, so that FDIC coverage is maintained.

COLLATERAL. Securities or cash pledged by a borrower to secure repayment of a loan or repurchase agreement. Also, securities pledged by a financial institution to secure deposits of public monies.

COLLATERALIZED BANK DEPOSIT. A bank deposit that is collateralized at least 100% (principal plus interest to maturity). The deposit is collateralized using assets set aside by the issuer such as Treasury securities or other qualified collateral to secure the deposit in excess of the limit covered by the Federal Deposit Insurance Corporation.

COLLATERALIZED MORTGAGE OBLIGATIONS (CMO). Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities.

COLLATERALIZED TIME DEPOSIT. Time deposits that are collateralized at least 100% (principal plus interest to maturity). These instruments are collateralized using assets set aside by the issuer such as Treasury securities or other qualified collateral to secure the deposit in excess of the limit covered by the Federal Deposit Insurance Corporation.

COMMERCIAL PAPER. The short-term unsecured debt of corporations.

COUPON. The rate of return at which interest is paid on a bond.

CREDIT RISK. The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer.

DEALER. A dealer acts as a principal in security transactions, selling securities from and buying securities for his own position.

DEBENTURE. A bond secured only by the general credit of the issuer.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

DELIVERY VS. PAYMENT (DVP). A securities industry procedure whereby payment for a security must be made at the time the security is delivered to the purchaser’s agent.

DERIVATIVE. Any security that has principal and/or interest payments which are subject to uncertainty (but not for reasons of default or credit risk) as to timing and/or amount, or any security which represents a component of another security which has been separated from other components (“Stripped” coupons and principal). A derivative is also defined as a financial instrument the value of which is totally or partially derived from the value of another instrument, interest rate, or index.

DISCOUNT. The difference between the par value of a bond and the cost of the bond, when the cost is below par. Some short-term securities, such as T-bills and banker’s acceptances, are known as discount securities. They sell at a discount from par and return the par value to the investor at maturity without additional interest. Other securities, which have fixed coupons, trade at a discount when the coupon rate is lower than the current market rate for securities of that maturity and/or quality.

DIVERSIFICATION. Dividing investment funds among a variety of investments to avoid excessive exposure to any one source of risk.

DURATION. The weighted average time to maturity of a bond where the weights are the present values of the future cash flows. Duration measures the price sensitivity of a security to changes interest rates.

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC). The Federal Deposit Insurance Corporation (FDIC) is an independent federal agency insuring deposits in U.S. banks and thrifts in the event of bank failures. The FDIC was created in 1933 to maintain public confidence and encourage stability in the financial system through the promotion of sound banking practices.

FEDERALLY INSURED TIME DEPOSIT. A time deposit is an interest-bearing bank deposit account that has a specified date of maturity, such as a certificate of deposit (CD). These deposits are limited to funds insured in accordance with FDIC insurance deposit limits.

FIDUCIARY. A person or organization that acts on behalf of another person(s) or organization that puts their clients’ interest ahead of their own as they are bound both legally and ethically to act in the other’s best interests.

LEVERAGE. Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing.

LIQUIDITY. The speed and ease with which an asset can be converted to cash.

LOCAL AGENCY INVESTMENT FUND (LAIF). A voluntary investment fund open to government

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

entities and certain non-profit organizations in California that is managed by the State Treasurer’s Office.

LOCAL GOVERNMENT INVESTMENT POOL. Investment pools that range from the State Treasurer’s Office Local Agency Investment Fund (LAIF) to county pools, to Joint Powers Authorities (JPAs). These funds are not subject to the same SEC rules applicable to money market mutual funds.

MAKE WHOLE CALL. A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole."
MARGIN. The difference between the market value of a security and the loan a broker makes using that security as collateral.

MARKET RISK. The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates.

MARKET VALUE. The price at which a security can be traded.

MATURITY. The final date upon which the principal of a security becomes due and payable. The investment’s term or remaining maturity is measured from the settlement date to final maturity.

MEDIUM TERM NOTES. Unsecured, investment-grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis.

MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences.

MODIFIED DURATION. The percent change in price for a 100-basis point change in yields. Modified duration is the best single measure of a portfolio’s or security’s exposure to market risk.

MONEY MARKET. The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker’s acceptances) are issued and traded.

MONEY MARKET MUTUAL FUND. A mutual fund that invests exclusively in short-term securities.

Examples of investments in money market funds are certificates of deposit and U.S.

Treasury securities. Money market funds attempt to keep their net asset values at $1 per share.

MORTGAGE PASS-THROUGH SECURITIES. A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

MUNICIPAL SECURITIES. Securities issued by state and local agencies to finance capital and operating expenses.

MUTUAL FUND. An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund’s prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund’s prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio.

NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION (NRSRO).

A credit rating agency that the Securities and Exchange Commission in the United States uses for regulatory purposes. Credit rating agencies provide assessments of an investment's risk. The issuers of investments, especially debt securities, pay credit rating agencies to provide them with ratings. The three most prominent NRSROs are Fitch, S&P, and Moody's.

NEGOTIABLE CERTIFICATE OF DEPOSIT (CD). A short-term debt instrument that pays interest and is issued by a bank, savings or federal association, state or federal credit union, or statelicensed branch of a foreign bank. Negotiable CDs are traded in a secondary market and are payable upon order to the bearer or initial depositor (investor).

PAYDOWN. A reduction in the principal amount owed on a bond, loan, or other debt.

PRIMARY DEALER. A financial institution (1) that is a trading counterparty with the Federal Reserve in its execution of market operations to carry out U.S. monetary policy, and (2) that participates for statistical reporting purposes in compiling data on activity in the U.S.

Government securities market.

PRUDENT PERSON (PRUDENT INVESTOR) RULE. 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.” REPURCHASE AGREEMENT. Short-term purchases of securities with a simultaneous agreement to sell the securities back at a higher price. From the seller’s point of view, the same transaction is a reverse repurchase agreement.

SAFEKEEPING. A service to bank customers whereby securities are held by the bank in the customer’s name.

SECURITIES AND EXCHANGE COMMISSION (SEC). The U.S. Securities and Exchange Commission (SEC) is an independent federal government agency responsible for protecting investors,

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

maintaining fair and orderly functioning of securities markets and facilitating capital formation. It was created by Congress in 1934 as the first federal regulator of securities markets. The SEC promotes full public disclosure, protects investors against fraudulent and manipulative practices in the market, and monitors corporate takeover actions in the United States.

SECURITIES AND EXCHANGE COMMISSION SEC) RULE 15C3-1. An SEC rule setting capital requirements for brokers and dealers. Under Rule 15c3-1, a broker or dealer must have sufficient liquidity in order to cover the most pressing obligations. This is defined as having a certain amount of liquidity as a percentage of the broker/dealer's total obligations. If the percentage falls below a certain point, the broker or dealer may not be allowed to take on new clients and may have restrictions placed on dealings with current client.

STRUCTURED NOTE. A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when other interest rates are rising, and "dual index floaters," which pay interest based on the relationship between two other interest rates - for example, the yield on the tenyear Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements.

SUPRANATIONAL. A Supranational is a multi-national organization whereby member states transcend national boundaries or interests to share in the decision making to promote economic development in the member countries.

TOTAL RATE OF RETURN. A measure of a portfolio’s performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value; it includes interest earnings, realized and unrealized gains, and losses in the portfolio.

U.S. TREASURY OBLIGATIONS. Securities issued by the U.S. Treasury and backed by the full faith and credit of the United States. Treasuries are considered to have no credit risk and are the benchmark for interest rates on all other securities in the US and overseas. The Treasury issues both discounted securities and fixed coupon notes and bonds.

TREASURY BILLS (“T-BILL”). All securities issued with initial maturities of one year or less are issued as discounted instruments and are called Treasury bills. The Treasury currently issues three- and six-month T-bills at regular weekly auctions. It also issues “cash management” bills as needed to smooth out cash flows.

TREASURY NOTES. All securities issued with initial maturities of two to ten years are called Treasury notes and pay interest semi-annually.

TREASURY BONDS. All securities issued with initial maturities greater than ten years are called

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 20243-20254

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

Treasury bonds. Like Treasury notes, they pay interest semi-annually.

YIELD TO MATURITY. The annualized internal rate of return on an investment which equates the expected cash flows from the investment to its cost.
3542772.1

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

1. Purpose
This statement is intended to provide a guideline for the prudent investment of operating funds and restricted monies and to outline a policy for maximizing the efficiency of the cash management system for the City of Atwater. Ultimate investment goals include the enhancement of economic status and the protection of pooled cash investments. This investment policy was endorsed and adopted by the City Council of the City of Atwater, is effective as of the 10th day of June, 2024, and replaces any previous version.

2. Policy
It is the policy of the City of Atwater to invest public funds in a manner which will provide maximum security, meet the daily cash flow demands of the City, and provide highest investment return while conforming to all California laws set forth in the State Government Code, Sections 53600 et seq., and local statutes governing the investment of public funds.

3. Scope
This Investment Policy applies to all funds and investment activities under the direct authority of the City of Atwater, including that of the Successor Agency to the Atwater Redevelopment Agency. This policy does not cover any funds held by fiscal agents in connection with the issuance of any debt by the City. Such funds shall be invested in accordance with the bond documents and trust indentures.

Pooling of funds: Except for cash in certain restricted and special funds, the Agency will consolidate cash and reserve balances from all funds to maximize investment earnings and to increase efficiencies with regard to investment pricing, safekeeping and administration.

Investment income will be allocated to the various funds based on their respective participation and in accordance with generally accepted accounting principles.

4. Prudence
Pursuant to California Government Code , Section 53600.3, all persons authorized to make investment decisions on behalf of the City are trustees and therefore fiduciaries subject to the prudent investor standard: “…all governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard.” 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 character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency. Within the limitations of this section and considering individual investments as part of an overall strategy, investments may be acquired as authorized by law. Investment officials shall recognize that the investment portfolio is subject to public review and evaluation. The overall investment program shall be designed and managed with a degree of professionalism that is worthy of the public trust. Deviations from expectations of a security’s credit or market risk should be reported to the governing body in a timely fashion and appropriate action should be taken to control adverse developments.

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

5. Objective
The primary objectives in priority order, of the City of Atwater’s investment activities shall be:

5.1 Safety: Safety of principal is the foremost objective of the investment program.

Investments of the City of Atwater shall be undertaken in a manner that seeks to ensure that capital losses are avoided, whether from securities default, broker-dealer default, or erosion of market value. To attain this objective, diversification is required in order that potential losses on individual securities do not exceed the income generated from the remainder of the portfolio. The City may elect to sell a security prior to its maturity and record a capital gain or loss in order to improve the quality, liquidity or yield of the portfolio in response to market conditions or the City's risk preferences.

5.2 Liquidity: The City of Atwater's investment portfolio will remain sufficiently liquid to enable the City to meet all operating requirements, which might be reasonably anticipated.

5.3 Return on Investment: The City of Atwater's investment portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the City's investment risk constraints and the cash flow characteristics of the portfolio.

6. Risk Tolerance
The City Council of the City of Atwater recognizes that investment risks can result from issuer default, market price changes or various technical complications leading to temporary illiquidity.

Portfolio diversification is employed as a method to control risk. Investment managers are expected to display prudence in the selection of securities, as a way to minimize default risk. No individual investment transaction shall be undertaken, which jeopardizes the total capital position of the overall portfolio. The City Treasurer shall, concurrent with the annual review and approval of the City’s Statement of Investment Policy, periodically recommend to the City Council guidelines and strategies to control risks of default, market price changes and liquidity.

7. Delegation of Authority
Management responsibility for the investment program is the responsibility of the City Council unless delegated by City Council action to the City Treasurer. Investment of City of Atwater funds shall be conducted within the constraints of this Investment Policy. The conduct of the City’s dayto-day banking and investment activities shall be the responsibility of the Finance Director, Finance Operations Manager and/or City Manager of the City of Atwater. The Finance Director, Finance Operations Manager and/or City Manager must conform to the signature requirements on all City accounts and cannot conduct banking and investing business without the proper signatures.

The City may engage the services of one or more external investment advisers, who are registered under the Investment Advisers Act of 1940, to assist in the management of the City’s investment portfolio in a manner consistent with the City’s objectives. External investment advisers may be granted discretion to purchase and sell investment securities in accordance with this investment policy.

The City's overall investment program shall be designed and managed with a degree of professionalism that is worthy of the public trust. The City recognizes that in a diversified portfolio,

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

occasional measured losses may be inevitable and must be considered within the context of the overall portfolio’s return and the cash flow requirements of the City.

8. 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 City Manager any material financial interests in financial institutions that conduct business within the jurisdiction, and they shall further disclose any large personal financial/investment positions that could be related to the performance of the City of Atwater’s portfolio. Employees and officers shall subordinate their personal investment transactions to those of the City's, particularly with regard to the time of purchases and sales.

All participants in the investment process are required to comply with terms of the Political Reform Act, Fair Political Practices Commission Regulations promulgated thereunder (2 C.C.R. §§ 18110 through 18998), the City’s Conflict of Interest Policy, including, without limitation, filing of Form 700, notification and recusal obligations, and Government Code section 1090 prohibitions.

9. Authorized Financial Dealers and Institutions
To the extent practicable, the Treasurer shall endeavor to complete investment transactions using a competitive bid process whenever possible. The City’s Treasurer will determine which financial institutions are authorized to provide investment services to the City. It shall be the City’s policy to purchase securities only from authorized institutions and firms.

The Treasurer shall maintain procedures for establishing a list of authorized broker/dealers and financial institutions that are approved for investment purposes that are selected through a process of due diligence as determined by the City. Due inquiry shall determine whether such authorized broker/dealers, and the individuals covering the City are reputable and trustworthy, knowledgeable and experienced in Public City investing and able to meet all of their financial obligations. These institutions may include "primary" dealers or regional dealers that qualify under Securities and Exchange Commission (SEC) Rule 15c3-1 (uniform net capital rule).

In accordance with Gov. Code Section 53601.5, the City is permitted to purchase investments from the following institutions:
• Institutions licensed by the state as a broker-dealer. • Institutions that are members of a federally regulated securities exchange. • A brokerage firm designated as a primary government dealer by the Federal Reserve bank.
• Nationally or state-chartered banks.
• A State Association or a Federal Association
• Direct issuers of securities eligible for purchase.

Selection of financial institutions and broker/dealers authorized to engage in transactions will be at the sole discretion of the City, except where the City utilizes an external investment adviser in which case the City may rely on the adviser for selection.

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

All financial institutions which desire to become qualified bidders for investment transactions (and which are not dealing only with the investment adviser) must supply the Treasurer with audited financials and a statement certifying that the institution has reviewed the California Government Code, Section 53600 et seq. and the City’s investment policy. The Treasurer will conduct an annual review of the financial condition and registrations of such qualified bidders.

Public deposits will be made only in qualified public depositories as established by State law.

Deposits will be insured by the Federal Deposit Insurance Corporation, or, to the extent the amount exceeds the insured maximum, will be collateralized in accordance with State law.

Selection of broker/dealers used by an external investment adviser retained by the City will be at the sole discretion of the adviser. Where possible, transactions with broker/dealers shall be selected on a competitive basis and their bid or offering prices shall be recorded. If there is no other readily available competitive offering, best efforts will be made to document quotations for comparable or alternative securities. When purchasing original issue instrumentality securities, no competitive offerings will be required as all dealers in the selling group offer those securities at the same original issue price.

10. Authorized Investments
The City is governed by the California Government Code Sections 53600 et seq. Authorized investments of the City are detailed in Exhibit "A" which is made part of this investment policy.

11. Investment Pools / Mutual Funds
The Agency shall conduct a thorough investigation of any pool or mutual fund prior to making an investment, and on a continual basis thereafter. The Treasurer shall develop a questionnaire which will answer the following general questions:
• A description of eligible investment securities, and a written statement of investment policy and objectives.
• A description of interest calculations and how it is distributed, and how gains and losses are treated.
• A description of how the securities are safeguarded (including the settlement processes), and how often the securities are priced and the program audited. • A description of who may invest in the program, how often, what size deposit and withdrawal are allowed.
• A schedule for receiving statements and portfolio listings. • Are reserves, retained earnings, etc. utilized by the pool/fund? • A fee schedule, and when and how is it assessed.
• Is the pool/fund eligible for bond proceeds and/or will it accept such proceeds?

12. Collateralization

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

Collateralization will be required as indicated in Exhibit "A". Collateral will always be held by an independent third party with whom the City has a current custodial agreement. A clearly marked evidence of ownership (safekeeping receipt) must be supplied to the City and retained. The right of collateral substitution may be granted.

CERTIFICATES OF DEPOSIT (CDS). The City 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.

COLLATERALIZATION OF BANK DEPOSITS. This is the process by which a bank or financial institution pledges securities, or other deposits for the purpose of securing repayment of deposited funds. The City shall require any bank or financial institution to comply with the collateralization criteria defined in California Government Code, Section 53651.

REPURCHASE AGREEMENTS. The City requires that Repurchase Agreements be collateralized only by securities authorized in accordance with California Government Code:
• The securities which collateralize the repurchase agreement shall be priced at Market Value, including any Accrued Interest plus a margin. The Market Value of the securities that underlie a repurchase agreement shall be valued at 102% or greater of the funds borrowed against those securities.
• Financial institutions shall mark the value of the collateral to market at least monthly and increase or decrease the collateral to satisfy the ratio requirement described above. • The City shall receive monthly statements of collateral.

13. Safekeeping and Custody
All securities owned by the City, shall be held in safekeeping by the City's custodian bank or a third-party bank trust department, acting as agent for the City under the terms of a custody or trustee agreement executed by the bank and by the City. A monthly report will be received by the City from the custodian or third-party bank trust department listing all securities held in safekeeping with current market data and other information. All securities will be received and delivered using standard delivery-versus-payment (DVP) procedures. The only exceptions to the foregoing shall be depository accounts and securities purchases made with: (i) local government investment pools; (ii) time certificates of deposit, and, (iii) mutual funds and money market mutual funds, since these securities are not deliverable.

14. Risk Management and Diversification

MITIGATING CREDIT RISK IN THE PORTFOLIO
Credit risk is the risk that a security or a portfolio will lose some or all its value due to a real or perceived change in the ability of the issuer to repay its debt. The City will mitigate

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

credit risk by adopting the following strategies:
• Following the diversification requirements included in the “Authorized Investments” section of this policy.
• No more than 5% of the total portfolio may be deposited with or invested in securities issued by any single issuer unless otherwise specified in this policy. • The City may elect to sell a security prior to its maturity and record a capital gain or loss in order to manage the quality, liquidity or yield of the portfolio in response to market conditions or City’s risk preferences.
• If a security owned by the City is downgraded to a level below the requirements of this policy, making the security ineligible for additional purchases, the following steps will be taken:
• Any actions taken related to the downgrade by the investment manager will be communicated to the Treasurer in a timely manner.
• If a decision is made to retain the security, the credit situation will be monitored and reported to the City Council.

MITIGATING MARKET RISK IN THE PORTFOLIO
Market risk is the risk that the portfolio value will fluctuate due to changes in the general level of interest rates. The City recognizes that, over time, longer-term portfolios have the potential to achieve higher returns. On the other hand, longer-term portfolios have higher volatility of return. The City will mitigate market risk by providing adequate liquidity for short-term cash needs, and by making longer-term investments only with funds that are not needed for current cash flow purposes.

The City further recognizes that certain types of securities, including variable rate securities, securities with principal paydowns prior to maturity, and securities with embedded options, will affect the market risk profile of the portfolio differently in different interest rate environments. The City, therefore, adopts the following strategies to control and mitigate its exposure to market risk:
• The City will maintain a minimum of six months of budgeted operating expenditures in short-term investments to provide sufficient liquidity for expected disbursements. • The maximum stated final maturity of individual securities in the portfolio will be five (5) years, except as otherwise stated in this policy.

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

• The duration of the portfolio will generally be approximately equal to the duration (typically, plus or minus 20%) of a Market Benchmark, an index selected by the City based on the City’s investment objectives, constraints and risk tolerances. ".

15. Maximum Maturities
Unless matched to a specific cash flow, the City will not directly invest in securities maturing more than five years from the settlement date (See exceptions indicated in Exhibit "A").

16. Internal Control
The Treasurer shall establish a system of written internal controls which shall be reviewed by an independent auditor. This review will provide internal control by assuring compliance with policies and procedures. The controls shall be designed to prevent losses of public funds arising from fraud, employee error, misrepresentation of third parties, unanticipated changes in financial markets, or imprudent actions by employees and officers of the city. Controls deemed most important include: control of collusion, separation of duties, separation of transaction authority from accounting and recordkeeping, clear delegation of authority, specific limitations regarding securities losses and remedial action, written confirmation of telephone transactions, minimizing the number of authorized investment officials, documentation of transactions and strategies, and code of ethics standards.'

17. Performance Standards
The investment portfolio shall be designed to attain a market average rate of return through budgetary and economic cycles, taking into account the investment risk constraints and cash flow needs. The specific investment performance objective for the portfolio shall be to earn a total rate of return over a market cycle which is approximately equal to a market benchmark index. The current benchmark index for the portfolio is the ICE BofA 1-5 Yr US Treasury & Agency Index.

18. Reporting
The City Treasurer shall submit a monthly investment report to the City Council. This report will include all required elements of the monthly report as prescribed in California Government Code Section 53646. Pursuant to the adopted Investment Policy for the City of Atwater, this monthly shall include:

1. The type of investment, name of issuer, date of investment, date of maturity, rate of interest, asking price and par and dollar amount invested on all securities, investments, monies and/or deposits.

2. The weighted average maturity of the portfolio.

3. Transactions for the period

4. A description of the funds, investments and programs (including lending programs) managed by contracted parties (i.e. LAIF, investment pools, outside money managers and securities lending agents)

5. The market value as of the date of the report and the source of the valuation.

6. A statement of compliance with the Investment Policy or, if not in compliance, a statement of non-compliance and the manner in which the portfolio is not in compliance.

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

7. A statement of compliance with California Government Code Section 53646 from the City Treasurer certifying that sufficient investment liquidity and anticipated revenues are available to meet the City’s budgeted expenditure requirement for the next six (6) months or an explanation as to why sufficient money shall, or may, not be available

19. Review of the Investment Policy
The City of Atwater’s Statement of Investment Policy shall be reviewed and adopted at least annually within 120 days of the end of the fiscal year to ensure its consistency with the overall objectives of preservation of principal, liquidity and return, and its relevance to current law and financial and economic trends by City Council resolution. Any modifications made thereto must be approved by the City Council.

20. External Auditor
As a part of each year’s financial audit of the City of Atwater, the external auditors shall review the Statement of Investment Policy and shall confirm that the City’s investments are in compliance with that policy. Any issues noted will be reported to the City Council.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

A. INVESTMENTS- Within the investments permitted by the Code, the Agency seeks to further restrict eligible investments to the guidelines listed below. In the event a discrepancy is found between this policy and the Code, the more restrictive parameters will take precedence.

Percentage holding limits listed in this section apply at the time the security is purchased.

Any investment currently held at the time the policy is adopted which does not meet the new policy guidelines can be held until maturity and shall be exempt from the current policy. At the time of the investment’s maturity or liquidation, such funds shall be reinvested only as provided in the current policy.

An appropriate risk level shall be maintained by primarily purchasing securities that are of high quality, liquid, and marketable. The portfolio shall be diversified by security type and institution to avoid incurring unreasonable and avoidable risks regarding specific security types or individual issuers.

1. U.S. Treasury Securities (bills, notes and bonds) are sold to finance gaps between the federal government's receipts and expenditures.

California Government Code Section 53601 Requirement: No limit specified:

City of Atwater Limitation:
1) Maximum maturity - five years
2) Maximum par value total size - None
3) Maximum par value per issue- None
4) Credit- Full faith and credit of the Federal Government

2. U.S. Agency & Government Sponsored Enterprise Securities are not direct obligations of the United States but rather are direct obligations of agencies of the federal government or government-sponsored enterprises. Securities issued by U.S. government agencies are backed by the full faith and credit of the U.S. government. They include the following agencies:
-Government National Mortgage Association (GNMA)
-Export-Import Bank (EXIMBANK)
-Small Business Administration (SBAs)
-Farmers Home Administration (FHA)
-General Services Administration (GSA)
-Maritime Administration
The federal government has sponsored the creation of, or the financial support of several corporations, also known as government-sponsored enterprises. None of these organizations carry the federal government guarantee.

They include the following agencies:
-Federal National Mortgage Association (FNMA)
-Federal Farm Credit Bank (FFCB)

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

-Federal Home Loan Bank (FHLB)
-Federal Home Loan Mortgage Corporation (FHLMC)
-Tennessee Valley Authority (TVA)
California Government Code Section 53601 Requirement: No limit specified.

City of Atwater Limitation:
1) Maximum maturity- five years
2) Maximum par value total size- no limitation
3) Maximum par value per issue-no limitation
4) The maximum percent of callable agency securities in the portfolio will be 20%. 5) Credit-Despite having no statutory limitation concerning this category, prudent investment practice necessitates constant analysis of the issuing agency. Although these issues have either the implicit or explicit guarantee of the federal government, market perception often limits the liquidity of these issues.

3. Obligations of the State of California or any local agency within the state, including bonds payable solely out of revenues from a revenue producing property owned, controlled or operated by the state or any local agency, or by a department, board, agency or authority of the state or any local agency.

California Government Code Section 53601 Requirement: No limit specified.

City of Atwater Limitation:
1) Maximum maturity- five years
2) Maximum par value total size- 30% of portfolio
3) Maximum par value per issue-5%
4) Credit- The Securities are rated in a rating category of “A” or its equivalent or better by at least one nationally recognized statistical rating organization (“NRSRO”)

4. Obligations (Municipal Securities) of any of the other 49 states in addition to California, including bonds payable solely out of revenues from a revenue producing property owned, controlled or operated by the state or any local agency, or by a department, board, agency or authority of the state or any local agency.

California Government Code Section 53601 Requirement: No limit specified.

City of Atwater Limitation:
1) Maximum maturity- five years
2) Maximum par value total size- 30% of portfolio
3) Maximum par value per issue-5%
4) Credit- The Securities are rated in a rating category of “A” or its equivalent or better by at least one nationally recognized statistical rating organization (“NRSRO”)

5. Bankers Acceptances are typically created from a letter of credit issued in a foreign trade transaction and are time drafts drawn on and accepted by a bank to pay a specified amount of

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

money on a specified date.

California Government Code Section 53601 Requirement:
1) Purchases may not exceed 180 days.
2) Purchases are restricted to 40% of the agency's surplus money. 3) No more than 30% of the City's surplus money may be invested in the bankers’ acceptances of any one commercial bank.
4) Include only those that are eligible for discounting with the Federal Reserve System.

City of Atwater Limitation:
1) Maximum maturity – 180 days
2) Maximum par value size 30% of portfolio
3) Maximum par value per institution - 5%
4) Credit - financial institutions that shall only include banks that have short-term credit ratings of A-1, P-1 or equivalent ratings from other recognized rating services.

6. Certificates of Deposit
a. Negotiable Certificats of Deposit (NCDS), issued by a nationally or statechartered bank, a savings association or a federal association, a state or federal credit union, or by a federally licensed or state-licensed branch of a foreign ban:

California Government Code Section 53601(i) Requirement:
1) Maximum maturity - 5 years
2) Maximum par value total size - No more than 30% of the total portfolio may be invested in NCDs.

City of Atwater Limitation:
1) Maximum maturity - 5 years
2) Maximum par value total size - No more than 30% of the total portfolio may be invested in NCDs (combined with CDARS).
3) Maximum par value per institution - No more than 5% of the total portfolio may be invested in any single issuer.
4) Credit - The amount of the NCD insured up to the FDIC limit does not require any credit ratings. Any amount above the FDIC insured limit must be issued by institutions which have short-term debt obligations rated “A-1” or its equivalent or better by at least one NRSRO; or long-term obligations rated in a rating category of “A” or its equivalent or better by at least one NRSRO.
b. Federally Insured Time Deposits (Non-Negotiable Certificates of Deposit) in state or federally chartered banks, savings and loans, or credit unions.

California Government Code Section 53630 Requirement:
1) Maximum maturity - 5 years

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

City of Atwater Limitation:
1) Maximum maturity - 5 years
2) Maximum par value total size - No more 20% of the total portfolio will be invested in a combination of federally insured and collateralized time deposits. 3) Maximum par value per institution - The amount per institution is limited to the maximum covered under federal insurance.
c. Collateralized Time Deposits (Non-Negotiable Certificates of Deposit) in state or federally chartered banks, savings and loans, or credit unions in excess of insured amounts which are fully collateralized with securities in accordance with California law.

California Government Code Section 53630 Requirement:
1) Maximum maturity - 5 years
City of Atwater Limitation:
1) Maximum maturity - 5 years
2) Maximum par value total size - No more 20% of the total portfolio will be invested in a combination of federally insured and collateralized time deposits. d. Placement Service Deposit:

California Government Code Section 53630 Requirement:
1) Maximum maturity - 5 years
2) Maximum par value total size - Under a provision sunsetting on January 1, 2026, no more than 50% of the portfolio may be invested in deposits through a placement service, including Certificates of Deposit, if the Agency is a city, district or local agency that does not pool money with other local agencies.

City of Atwater Limitation:
1) Maximum maturity - 5 years
2) Maximum par value total size No more than 30% of the total portfolio may be invested in a combination of Certificates of Deposit, including CDARS. e. Collateralized Bank Deposits. The City’s deposits with financial institutions will be collateralized with pledged securities per California Government Code, Section 53651. There are no limits on the dollar amount or percentage that the City may invest in collateralized bank deposits.

California Government Code Section 53630 Requirement:
3) Maximum maturity - 5 years
4) Maximum par value total size – No limit
City of Atwater Limitation:
1) Maximum maturity - 5 years

7. Commercial Paper are short-term unsecured promissory notes issued by various economic entities in the open market to finance certain short-term credit needs.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

California Government Code Section 53601 Requirement:
1) Prime quality of the highest ranking or of the highest letter and numerical rating as provided for by nationally recognized statistical-rating organization. 2) Issuing corporation must be organized and operating within the United States. 3) Issuing corporation must have total assets in excess of five hundred million dollars ($500,000,000). .
4) Issuing corporation must have an "A" or higher rating by a nationally recognized statistical-rating organization for the issuer's debt, other than commercial paper. 5) Purchases may not exceed 270 days maturity.
6) Purchases may not represent more than 10% of the outstanding paper of an issuing corporation.
7) Purchases may not exceed 25% of the agency's surplus money.

City of Atwater Limitation:
1) Maximum maturity- 270 days
2) Maximum par value size 25% of portfolio
3) Maximum par value per name- 10% of outstanding commercial paper of any single issuer, and no more than 5%of total portfolio may be invested in any single issuer. 4) Credit- CA Government Code Section 53601 requirements including commercial paper rated “A-1” or higher, or the equivalent, by a nationally recognized statistical ratings organization.

8. Medium Term Notes: The issuer is a corporation 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.

California Government Code Section 53601 Requirement:
1) Maximum of five years maturity
2) Shall be rating category of ‘A’ or better by a nationally recognized statistical ratings organization.
3) May not exceed 30% of surplus money
City of Atwater Limitation:
1) Maximum of five years maturity
2) Shall be rating category of ‘A’ or better by a nationally recognized statistical ratings organization
3) Maximum par value per issuer- 5%
4) Credit – from City authorized institutions that shall only include institutions rated in a rating category of ‘A’ or higher by a nationally recognized statistical-rating organization. Any downgrading of these issues after purchase shall be reported to the Council.

9. Local Agency Investment Fund (LAIF) was established by the State to enable treasurers to place funds in a pool for investments.

LAIF Limitations:

Maximum per California Government Code

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

City of Atwater Limitation:

1. LAIF limitation

10. Repurchase Agreements are not a security but a contractual agreement and consist of two simultaneous transactions: 1) First, an investor purchases securities (collateral) from a bank or dealer; 2) At the same time, the selling bank or dealer contractually agrees to repurchase the collateral security at the same price (plus interest) at some mutually agreed future date.

California Government Code Section 53601 Requirement:
1) Term of repurchase agreements shall be for one year or less. 2) All securities under a repurchase agreement shall be held by the agency's safekeeping agent.
3) The seller of repurchase securities shall not be entitled to substitute securities, except as authorized by the City. New or substitute securities should be reasonably identical to the original securities in terms of maturity, yield, quality and liquidity.

City of Atwater Limitation:
1) Maximum maturity – one year
2) Maximum par value total size - 10%
3) Maximum par value per institution - 10%
4) Credita) Securities shall be marked to market daily and shall be maintained at a value no lower than $102.
b) Securities acceptable as collateral shall be U.S. Treasury obligations only. c) It should be covered by a master repurchase agreement. 5) Repurchase agreements shall only be made with primary dealers of the Federal Reserve Bank of New York.

11. Asset Backed Securities (ABS)/ Mortgage Back Securities (MBS) are securities whose value is derived from the collateral of a specified pool of underlying assets. The pools of underlying assets can include common payments from the loans and leases of credit cards, autos, equipment and mortgages.

California Government Code Section 53601 (o) Requirement:
1) Maximum Maturity 5 years or less.
2) Shall be rated in a rating category of ‘AA’ or better by a nationally recognized statistical ratings organization.
3) Maximum par value total size- 20% of portfolio
City of Atwater Limitation:
1) Maximum maturity – 5 years or less
2) Maximum par value total size - 20%
3) Maximum par value per institution – 5%
4) Credit: In a rating category of ‘AA’ or better by a nationally recognized statistical ratings organization.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

5) This section does not apply for issuers in section 2 (US agency and Government Securities.

12. Supranationals Obligations: Supranationals are international institutions that provide development financing, advisory services and/or other financial services to their member countries.

California Government Code Section 53601(q) Requirement:
1) Maximum of five years maturity or less
2) Shall be rated in a rating category of AA’ or better by a nationally recognized statistical ratings organization.
3) May not exceed 30% of surplus money
City of Atwater Limitation:
1) Maximum of five years maturity or less
2) Shall be rated in a rating category of ‘AA’ or better by a nationally recognized statistical ratings organization
3) Maximum value not to exceed 30% or portfolio value
4) No more than 10% of the portfolio may be invested in any single issuer. 5) Credit –Any downgrading of these issues after purchase shall be reported to the Council.

13. Mutual Funds and Money Market Mutual Funds that are registered with the Securities and Exchange Commission under the Investment Company Act of 1940, provided that:

1. MUTUAL FUNDS that invest in the securities and obligations as authorized under California Government Code, Section 53601 (a) to (k) and (m) to (q) inclusive and that meet either of the following criteria:
(i) Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or
(ii) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.
• No more than 10% of the total portfolio may be invested in shares of any one mutual fund.

2. MONEY MARKET MUTUAL FUNDS registered with the Securities and Exchange Commission under the Investment Company Act of 1940 and issued by diversified management companies and meet either of the following criteria:
(i) Have attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

(ii) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience managing money market mutual funds with assets under management in excess of $500 million.

California Government Code Section 53601(q) Requirement:
1) Maximum maturity: no limit specified

2. a) Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or b) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.
3) May not exceed 20% of portfolio
City of Atwater Limitation:
1) Maximum maturity not specified
2 a) Attained the highest ranking or the highest letter and numerical rating provided by not less than two (2) NRSROs; or b) Have retained an investment adviser registered or exempt from registration with the Securities and Exchange Commission with not less than five years’ experience investing in the securities and obligations authorized by California Government Code, Section 53601 and with assets under management in excess of $500 million.
3) No more than 20% of the total portfolio may be invested in these securities 4) Investment Limitations:
• Mutual Funds: No more than 10% of the total portfolio may be invested in shares of any one mutual fund
• Money Market Funds: No more than 20% of the total portfolio may be invested in shares of any one money market fund

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

__________________________________________________________________________

GLOSSARY OF INVESTMENT TERMS
AGENCIES. Shorthand market terminology for any obligation issued by a government-sponsored entity (GSE), or a federally related institution. Most obligations of GSEs are not guaranteed by the full faith and credit of the US government. Examples are:

FFCB. The Federal Farm Credit Bank System provides credit and liquidity in the agricultural industry. FFCB issues discount notes and bonds.

FHLB. The Federal Home Loan Bank provides credit and liquidity in the housing market.

FHLB issues discount notes and bonds.

FHLMC. Like FHLB, the Federal Home Loan Mortgage Corporation provides credit and liquidity in the housing market. FHLMC, also called “FreddieMac” issues discount notes, bonds and mortgage pass-through securities.

FNMA. Like FHLB and FreddieMac, the Federal National Mortgage Association was established to provide credit and liquidity in the housing market. FNMA, also known as “FannieMae,” issues discount notes, bonds and mortgage pass-through securities.

GNMA. The Government National Mortgage Association, known as “GinnieMae,” issues mortgage pass-through securities, which are guaranteed by the full faith and credit of the US Government.

PEFCO. The Private Export Funding Corporation assists exporters. Obligations of PEFCO are not guaranteed by the full faith and credit of the US government.

TVA. The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds.

ASSET BACKED SECURITIES. Securities supported by pools of installment loans or leases or by pools of revolving lines of credit.

AVERAGE LIFE. In mortgage-related investments, including CMOs, the average time to expected receipt of principal payments, weighted by the amount of principal expected.

BANKER’S ACCEPTANCE. A money market instrument created to facilitate international trade transactions. It is highly liquid and safe because the risk of the trade transaction is transferred to the bank which “accepts” the obligation to pay the investor.

BENCHMARK. A comparison security or portfolio. A performance benchmark is a partial market index, which reflects the mix of securities allowed under a specific investment policy.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

BROKER. A broker brings buyers and sellers together for a transaction for which the broker receives a commission. A broker does not sell securities from his own position.

CALLABLE. A callable security gives the issuer the option to call it from the investor prior to its maturity. The main cause of a call is a decline in interest rates. If interest rates decline, the issuer will likely call its current securities and reissue them at a lower rate of interest.

CERTIFICATE OF DEPOSIT (CD). A time deposit with a specific maturity evidenced by a certificate.

CERTIFICATE OF DEPOSIT ACCOUNT REGISTRY SYSTEM (CDARS). A private placement service that allows local agencies to purchase more than $250,000 in CDs from a single financial institution (must be a participating institution of CDARS) while still maintaining FDIC insurance coverage. CDARS is currently the only entity providing this service. CDARS facilitates the trading of deposits between the California institution and other participating institutions in amounts that are less than $250,000 each, so that FDIC coverage is maintained.

COLLATERAL. Securities or cash pledged by a borrower to secure repayment of a loan or repurchase agreement. Also, securities pledged by a financial institution to secure deposits of public monies.

COLLATERALIZED BANK DEPOSIT. A bank deposit that is collateralized at least 100% (principal plus interest to maturity). The deposit is collateralized using assets set aside by the issuer such as Treasury securities or other qualified collateral to secure the deposit in excess of the limit covered by the Federal Deposit Insurance Corporation.

COLLATERALIZED MORTGAGE OBLIGATIONS (CMO). Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities.

COLLATERALIZED TIME DEPOSIT. Time deposits that are collateralized at least 100% (principal plus interest to maturity). These instruments are collateralized using assets set aside by the issuer such as Treasury securities or other qualified collateral to secure the deposit in excess of the limit covered by the Federal Deposit Insurance Corporation.

COMMERCIAL PAPER. The short-term unsecured debt of corporations.

COUPON. The rate of return at which interest is paid on a bond.

CREDIT RISK. The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer.

DEALER. A dealer acts as a principal in security transactions, selling securities from and buying securities for his own position.

DEBENTURE. A bond secured only by the general credit of the issuer.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

DELIVERY VS. PAYMENT (DVP). A securities industry procedure whereby payment for a security must be made at the time the security is delivered to the purchaser’s agent.

DERIVATIVE. Any security that has principal and/or interest payments which are subject to uncertainty (but not for reasons of default or credit risk) as to timing and/or amount, or any security which represents a component of another security which has been separated from other components (“Stripped” coupons and principal). A derivative is also defined as a financial instrument the value of which is totally or partially derived from the value of another instrument, interest rate, or index.

DISCOUNT. The difference between the par value of a bond and the cost of the bond, when the cost is below par. Some short-term securities, such as T-bills and banker’s acceptances, are known as discount securities. They sell at a discount from par and return the par value to the investor at maturity without additional interest. Other securities, which have fixed coupons, trade at a discount when the coupon rate is lower than the current market rate for securities of that maturity and/or quality.

DIVERSIFICATION. Dividing investment funds among a variety of investments to avoid excessive exposure to any one source of risk.

DURATION. The weighted average time to maturity of a bond where the weights are the present values of the future cash flows. Duration measures the price sensitivity of a security to changes interest rates.

FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC). The Federal Deposit Insurance Corporation (FDIC) is an independent federal agency insuring deposits in U.S. banks and thrifts in the event of bank failures. The FDIC was created in 1933 to maintain public confidence and encourage stability in the financial system through the promotion of sound banking practices.

FEDERALLY INSURED TIME DEPOSIT. A time deposit is an interest-bearing bank deposit account that has a specified date of maturity, such as a certificate of deposit (CD). These deposits are limited to funds insured in accordance with FDIC insurance deposit limits.

FIDUCIARY. A person or organization that acts on behalf of another person(s) or organization that puts their clients’ interest ahead of their own as they are bound both legally and ethically to act in the other’s best interests.

LEVERAGE. Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing.

LIQUIDITY. The speed and ease with which an asset can be converted to cash.

LOCAL AGENCY INVESTMENT FUND (LAIF). A voluntary investment fund open to government entities and certain non-profit organizations in California that is managed by the State

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

Treasurer’s Office.

LOCAL GOVERNMENT INVESTMENT POOL. Investment pools that range from the State Treasurer’s Office Local Agency Investment Fund (LAIF) to county pools, to Joint Powers Authorities (JPAs). These funds are not subject to the same SEC rules applicable to money market mutual funds.

MAKE WHOLE CALL. A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole."
MARGIN. The difference between the market value of a security and the loan a broker makes using that security as collateral.

MARKET RISK. The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates.

MARKET VALUE. The price at which a security can be traded.

MATURITY. The final date upon which the principal of a security becomes due and payable. The investment’s term or remaining maturity is measured from the settlement date to final maturity.

MEDIUM TERM NOTES. Unsecured, investment-grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis.

MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences.

MODIFIED DURATION. The percent change in price for a 100-basis point change in yields. Modified duration is the best single measure of a portfolio’s or security’s exposure to market risk.

MONEY MARKET. The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker’s acceptances) are issued and traded.

MONEY MARKET MUTUAL FUND. A mutual fund that invests exclusively in short-term securities.

Examples of investments in money market funds are certificates of deposit and U.S.

Treasury securities. Money market funds attempt to keep their net asset values at $1 per share.

MORTGAGE PASS-THROUGH SECURITIES. A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security.

MUNICIPAL SECURITIES. Securities issued by state and local agencies to finance capital and

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

operating expenses.

MUTUAL FUND. An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund’s prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund’s prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio.

NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION (NRSRO).

A credit rating agency that the Securities and Exchange Commission in the United States uses for regulatory purposes. Credit rating agencies provide assessments of an investment's risk. The issuers of investments, especially debt securities, pay credit rating agencies to provide them with ratings. The three most prominent NRSROs are Fitch, S&P, and Moody's.

NEGOTIABLE CERTIFICATE OF DEPOSIT (CD). A short-term debt instrument that pays interest and is issued by a bank, savings or federal association, state or federal credit union, or statelicensed branch of a foreign bank. Negotiable CDs are traded in a secondary market and are payable upon order to the bearer or initial depositor (investor).

PAYDOWN. A reduction in the principal amount owed on a bond, loan, or other debt.

PRIMARY DEALER. A financial institution (1) that is a trading counterparty with the Federal Reserve in its execution of market operations to carry out U.S. monetary policy, and (2) that participates for statistical reporting purposes in compiling data on activity in the U.S.

Government securities market.

PRUDENT PERSON (PRUDENT INVESTOR) RULE. 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.” REPURCHASE AGREEMENT. Short-term purchases of securities with a simultaneous agreement to sell the securities back at a higher price. From the seller’s point of view, the same transaction is a reverse repurchase agreement.

SAFEKEEPING. A service to bank customers whereby securities are held by the bank in the customer’s name.

SECURITIES AND EXCHANGE COMMISSION (SEC). The U.S. Securities and Exchange Commission (SEC) is an independent federal government agency responsible for protecting investors, maintaining fair and orderly functioning of securities markets and facilitating capital

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

formation. It was created by Congress in 1934 as the first federal regulator of securities markets. The SEC promotes full public disclosure, protects investors against fraudulent and manipulative practices in the market, and monitors corporate takeover actions in the United States.

SECURITIES AND EXCHANGE COMMISSION SEC) RULE 15C3-1. An SEC rule setting capital requirements for brokers and dealers. Under Rule 15c3-1, a broker or dealer must have sufficient liquidity in order to cover the most pressing obligations. This is defined as having a certain amount of liquidity as a percentage of the broker/dealer's total obligations. If the percentage falls below a certain point, the broker or dealer may not be allowed to take on new clients and may have restrictions placed on dealings with current client.

STRUCTURED NOTE. A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when other interest rates are rising, and "dual index floaters," which pay interest based on the relationship between two other interest rates - for example, the yield on the tenyear Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements.

SUPRANATIONAL. A Supranational is a multi-national organization whereby member states transcend national boundaries or interests to share in the decision making to promote economic development in the member countries.

TOTAL RATE OF RETURN. A measure of a portfolio’s performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value; it includes interest earnings, realized and unrealized gains, and losses in the portfolio.

U.S. TREASURY OBLIGATIONS. Securities issued by the U.S. Treasury and backed by the full faith and credit of the United States. Treasuries are considered to have no credit risk and are the benchmark for interest rates on all other securities in the US and overseas. The Treasury issues both discounted securities and fixed coupon notes and bonds.

TREASURY BILLS (“T-BILL”). All securities issued with initial maturities of one year or less are issued as discounted instruments and are called Treasury bills. The Treasury currently issues three- and six-month T-bills at regular weekly auctions. It also issues “cash management” bills as needed to smooth out cash flows.

TREASURY NOTES. All securities issued with initial maturities of two to ten years are called Treasury notes and pay interest semi-annually.

TREASURY BONDS. All securities issued with initial maturities greater than ten years are called Treasury bonds. Like Treasury notes, they pay interest semi-annually.

Exhibit A

CITY OF ATWATER

STATEMENT OF INVESTMENT POLICY
Fiscal Year 2024-2025

ALLOWABLE INVESTMENTS AND ADDITIONAL INVESTMENT GUIDELINES

YIELD TO MATURITY. The annualized internal rate of return on an investment which equates the expected cash flows from the investment to its cost.

CITY COUNCIL

AGENDA REPORT

MEETING
DATE:

June 10, 2024
TO: Mayor and City Council
FROM: Jana Sousa, Human Resources Director

PREPARED
BY:

Janell Martin, Assistant City Clerk/Records Coordinator SUBJECT: Approving Professional Services Agreements for Labor-Related Services (Human Resources Director Sousa)

RECOMMENDED COUNCIL ACTION
Approval of Professional Service Agreements, in a Form Approved by the City Attorney, for Labor-Related Services and Authorizes and Directs the Interim City Manager, or Designee, to Execute the Agreements on Behalf of the City.

I. BACKGROUND/ANALYSIS:

As the City of Atwater continues to grow, on occasion, the City is in need of highlyspecialized assistance through services provided by consultants or outside vendors.

These services are typically provided through established agreements between the vendors and the City. On occasion, the City is in need of independent third-party assistance regarding labor-related matters, which may include initiating unbiased investigations as needed. These agreements will support the Human Resources Department and provide assistance in areas such as consulting, counseling, municipal representation, labor relations, investigations, and other services pertaining to employment relations matters. This includes representation in labor negotiations and in administrative proceedings, as requested by the City or otherwise required by law, on an as-needed basis. The Agreements will allow the City to request the services of the retained consultants on an individual project basis as the need arises.

II. FISCAL IMPACTS:

The fiscal impacts associated with these Agreements shall be budgeted accordingly and included in the individual budgets according to the projects associated, as necessary.

This item in and of itself does not commit the City to any expenditures of funds unless or until such services are requested and budgets are submitted.

III. LEGAL REVIEW:

This item has been reviewed by the City Attorney's Office.

CITY COUNCIL
Mike Nelson, Mayor
Danny Ambriz Tyler Button
John Cale Brian Raymond

Agenda Report - Approving Professional Services Agreements for Labor-Related Services (Human Resources Director Sousa) Page 2

IV. EXISTING POLICY:

This item is consistent with goal numbers one (1) and two (2) of the City’s Strategic Plan: to ensure the City's continued financial stability and to improve public safety, respectively.

V. ALTERNATIVES:

N/A
VI. INTERDEPARTMENTAL COORDINATION:

This item has been reviewed by all departments.

VII. PUBLIC PARTICIPATION:

The public will have an opportunity to provide comments on this item prior to City Council action.

VIII. ENVIRONMENTAL REVIEW:

This item is not a “project” under the California Environmental Quality Act (CEQA) as professional services agreements do not cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, pursuant to Public Resources Code section 21065.

IX. STEPS FOLLOWING APPROVAL:

Upon approval by City Council, the Agreements will be executed and processed per City policies and procedures.

Submitted by:

Jana Sousa, Human Resources Director
Approved by:

Greg Thompson, Interim City Manager
Attachments:

1. Delfino Madden PSA 6.10.24

2. City of Atwater - Agreement - 2024-c1 (2)

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1 CITY OF ATWATER

PROFESSIONAL SERVICES AGREEMENT
This Agreement is made and entered into as of June 10, 2024, by and between the City of Atwater, a public agency organized and operating under the laws of the State of California (“City”), and Delfino Madden O’Malley Coyle & Koewler LLP, a Partnership with its principal place of business at 500 Capitol Mall Suite 1550, Sacramento, CA 95814 (hereinafter referred to as “Consultant”). City and Consultant are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement.

RECITALS
A. City is a public agency of the State of California and is in need of professional services for the following project:

General Employment Advice and Counseling Services
(hereinafter referred to as “the Project”).

B. Consultant is duly licensed and has the necessary qualifications to provide such services.

C. The Parties desire by this Agreement to establish the terms for City to retain Consultant to provide the services described herein.

AGREEMENT
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

1. Services.

Consultant shall provide the City with the services described in the Scope of Services attached hereto as Exhibit “A

2. Compensation.
a. Subject to paragraph 2(b) below, the City shall pay for such services in accordance with the Schedule of Charges set forth in Exhibit “A.” b. City agrees to pay Consultant for the full performance of its services on a time and materials basis at the compensation rates specified on Exhibit “A.” Each provision of services shall be under a particular Task Order. This amount is to cover all printing and related costs, and the City will not pay any additional fees for printing expenses. Periodic payments shall be made within 30 days of receipt of an invoice which includes a detailed description of the work performed. Payments to Consultant for work performed will be made on a monthly billing basis.

3. Additional Work.

If changes in the work seem merited by Consultant or the City, and informal consultations with the other party indicate that a change is warranted, it shall be processed in the following manner: a letter outlining the changes shall be forwarded to the City by Consultant with a statement of estimated changes in fee or time schedule. An amendment to this Agreement shall

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2 be prepared by the City and executed by both Parties before performance of such services, or the City will not be required to pay for the changes in the scope of work. Such amendment shall not render ineffective or invalidate unaffected portions of this Agreement.

4. Maintenance of Records.

Books, documents, papers, accounting records, and other evidence pertaining to costs incurred shall be maintained by Consultant and made available at all reasonable times during the contract period and for four (4) years from the date of final payment under the contract for inspection by City.

5. Term
The term of this Agreement shall be from June 10, 2024 to June 30, 2027 unless earlier terminated as provided herein. The Parties may, by mutual, written consent, extend the term of this Agreement if necessary to complete the Project. Consultant shall perform its services in a prompt and timely manner within the term of this Agreement and shall commence performance upon receipt of written notice from the City to proceed (“Notice to Proceed”).

6. Delays in Performance.
a. Neither City nor Consultant shall be considered in default of this Agreement for delays in performance caused by circumstances beyond the reasonable control of the nonperforming party. For purposes of this Agreement, such circumstances include but are not limited to, abnormal weather conditions; floods; earthquakes; fire; epidemics; pandemics; war; riots and other civil disturbances; strikes, lockouts, work slowdowns, and other labor disturbances; sabotage or judicial restraint.
b. Should such circumstances occur, the non-performing party shall, within a reasonable time of being prevented from performing, give written notice to the other party describing the circumstances preventing continued performance and the efforts being made to resume performance of this Agreement.

7. Compliance with Law.
a. Consultant shall comply with all applicable laws, ordinances, codes and regulations of the federal, state and local government, including Cal/OSHA requirements. b. If required, Consultant shall assist the City, as requested, in obtaining and maintaining all permits required of Consultant by federal, state and local regulatory agencies. c. If applicable, Consultant is responsible for all costs of clean up and/ or removal of hazardous and toxic substances spilled as a result of his or her services or operations performed under this Agreement.

8. Standard of Care; Performance of Employees
a. Consultant’s services will be performed in accordance with generally accepted professional practices and principles and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions.

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3 b. Consultant’s employees and subcontractors shall have sufficient skill and experience to perform the Services assigned to them. Consultant represents that it, its employees and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, including a City Business License, and that such licenses and approvals shall be maintained throughout the term of this Contract. As provided for in the indemnification provisions of this Contract, Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant’s failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

9. Assignment and Subcontracting
Consultant shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Any attempt to so assign or so transfer without such consent shall be void and without legal effect and shall constitute grounds for termination. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement. Nothing contained herein shall prevent Consultant from employing independent associates and subcontractors as Consultant may deem appropriate to assist in the performance of services hereunder.

10. Independent Contractor
Consultant is retained as an independent contractor and is not an employee of City. No employee or agent of Consultant shall become an employee of City. The work to be performed shall be in accordance with the work described in this Agreement, subject to such directions and amendments from City as herein provided.

11. Insurance. Consultant shall not commence work for the City until it has provided evidence satisfactory to the City it has secured all insurance required under this section. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has secured all insurance required under this section. a. Commercial General Liability
(i) The Consultant shall take out and maintain, during the performance of all work under this Agreement, in amounts not less than specified herein, Commercial General Liability Insurance, in a form and with insurance companies acceptable to the City. (ii) Coverage for Commercial General Liability insurance shall be at least as broad as the following:
(1) Insurance Services Office Commercial General Liability coverage (Occurrence Form CG 00 01) or exact equivalent. (iii) Commercial General Liability Insurance must include coverage for the following:

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4 (1) Bodily Injury and Property Damage
(2) Personal Injury/Advertising Injury
(3) Premises/Operations Liability
(4) Products/Completed Operations Liability
(5) Aggregate Limits that Apply per Project
(6) Explosion, Collapse and Underground (UCX) exclusion deleted
(7) Contractual Liability with respect to this Agreement (8) Property Damage
(9) Independent Contractors Coverage
(iv) The policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured against another; (3) products/completed operations liability; or (4) contain any other exclusion contrary to the Agreement.
(v) The policy shall give City, its officials, officers, employees, agents and City designated volunteers additional insured status using ISO endorsement forms CG 20 10 10 01 and 20 37 10 01, or endorsements providing the exact same coverage. (vi) The general liability program may utilize either deductibles or provide coverage excess of a self-insured retention, subject to written approval by the City, and provided that such deductibles shall not apply to the City as an additional insured. b. Automobile Liability
(i) At all times during the performance of the work under this Agreement, the Consultant shall maintain Automobile Liability Insurance for bodily injury and property damage including coverage for owned, non-owned and hired vehicles, in a form and with insurance companies acceptable to the City.
(ii) Coverage for automobile liability insurance shall be at least as broad as Insurance Services Office Form Number CA 00 01 covering automobile liability (Coverage Symbol 1, any auto).
(iii) The policy shall give City, its officials, officers, employees, agents and City designated volunteers additional insured status. (iv) Subject to written approval by the City, the automobile liability program may utilize deductibles, provided that such deductibles shall not apply to the City as an additional insured, but not a self-insured retention.
c. Workers’ Compensation/Employer’s Liability
(i) Consultant certifies that he/she is aware of the provisions of Section 3700 of the California Labor Code which requires every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and he/she will comply with such provisions before commencing work under this Agreement.

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5 (ii) To the extent Consultant has employees at any time during the term of this Agreement, at all times during the performance of the work under this Agreement, the Consultant shall maintain full compensation insurance for all persons employed directly by him/her to carry out the work contemplated under this Agreement, all in accordance with the “Workers’ Compensation and Insurance Act,” Division IV of the Labor Code of the State of California and any acts amendatory thereof, and Employer’s Liability Coverage in amounts indicated herein. Consultant shall require all subconsultants to obtain and maintain, for the period required by this Agreement, workers’ compensation coverage of the same type and limits as specified in this section.
d. Professional Liability (Errors and Omissions)
At all times during the performance of the work under this Agreement the Consultant shall maintain professional liability or Errors and Omissions insurance appropriate to its profession, in a form and with insurance companies acceptable to the City and in an amount indicated herein.

This insurance shall be endorsed to include contractual liability applicable to this Agreement and shall be written on a policy form specifically designed to protect against acts, errors or omissions of the Consultant. “Covered Professional Services” as designated in the policy must specifically include work performed under this Agreement. The policy must “pay on behalf of” the insured and must include a provision establishing the insurer's duty to defend. e. Minimum Policy Limits Required
(i) The following insurance limits are required for the Agreement:

Combined Single Limit
Commercial General Liability $1,000,000 per occurrence/ $2,000,000 aggregate for bodily injury, personal injury, and property
damage
Automobile Liability $1,000,000 combined single limit
Employer’s Liability $1,000,000 per accident or disease Professional Liability $1,000,000 per claim and aggregate (errors and omissions)
(ii) Defense costs shall be payable in addition to the limits. (iii) Requirements of specific coverage or limits contained in this section are not intended as a limitation on coverage, limits, or other requirement, or a waiver of any coverage normally provided by any insurance. Any available coverage shall be provided to the parties required to be named as Additional Insured pursuant to this Agreement. f. Evidence Required
Prior to execution of the Agreement, the Consultant shall file with the City evidence of insurance from an insurer or insurers certifying to the coverage of all insurance required herein. Such evidence shall include original copies of the ISO CG 00 01 (or insurer’s equivalent) signed by the insurer’s representative and Certificate of Insurance (Acord Form 25-S or

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6 equivalent), together with required endorsements. All evidence of insurance shall be signed by a properly authorized officer, agent, or qualified representative of the insurer and shall certify the names of the insured, any additional insureds, where appropriate, the type and amount of the insurance, the location and operations to which the insurance applies, and the expiration date of such insurance.
g. Policy Provisions Required
(i) Consultant shall provide the City at least thirty (30) days prior written notice of cancellation of any policy required by this Agreement, except that the Consultant shall provide at least ten (10) days prior written notice of cancellation of any such policy due to non-payment of premium. If any of the required coverage is cancelled or expires during the term of this Agreement, the Consultant shall deliver renewal certificate(s) including the General Liability Additional Insured Endorsement to the City at least ten (10) days prior to the effective date of cancellation or expiration.
(ii) The Commercial General Liability Policy and Automobile Policy shall each contain a provision stating that Consultant’s policy is primary insurance and that any insurance, self-insurance or other coverage maintained by the City or any named insureds shall not be called upon to contribute to any loss.
(iii) The retroactive date (if any) of each policy is to be no later than the effective date of this Agreement. Consultant shall maintain such coverage continuously for a period of at least three years after the completion of the work under this Agreement. Consultant shall purchase a one (1) year extended reporting period A) if the retroactive date is advanced past the effective date of this Agreement; B) if the policy is cancelled or not renewed; or C) if the policy is replaced by another claims-made policy with a retroactive date subsequent to the effective date of this Agreement.
(iv) All required insurance coverages, except for the professional liability coverage, shall contain or be endorsed to provide a waiver of subrogation in favor of the City, its officials, officers, employees, agents, and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subconsultants.
(v) The limits set forth herein shall apply separately to each insured against whom claims are made or suits are brought, except with respect to the limits of liability.

Further the limits set forth herein shall not be construed to relieve the Consultant from liability in excess of such coverage, nor shall it limit the Consultant’s indemnification obligations to the City and shall not preclude the City from taking such other actions available to the City under other provisions of the Agreement or law.
h. Qualifying Insurers
(i) All policies required shall be issued by acceptable insurance companies, as determined by the City, which satisfy the following minimum requirements:
(1) Each such policy shall be from a company or companies with a current A.M. Best's rating of no less than A:VII and admitted to transact in the

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7 business of insurance in the State of California, or otherwise allowed to place insurance through surplus line brokers under applicable provisions of the California Insurance Code or any federal law.
i. Additional Insurance Provisions
(i) The foregoing requirements as to the types and limits of insurance coverage to be maintained by Consultant, and any approval of said insurance by the City, is not intended to and shall not in any manner limit or qualify the liabilities and obligations otherwise assumed by the Consultant pursuant to this Agreement, including but not limited to, the provisions concerning indemnification.
(ii) If at any time during the life of the Agreement, any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement.
(iii) The City may require the Consultant to provide complete copies of all insurance policies in effect for the duration of the Project. (iv) Neither the City nor any of its officials, officers, employees, agents or volunteers shall be personally responsible for any liability arising under or by virtue of this Agreement.
j. Subconsultant Insurance Requirements. Consultant shall not allow any subcontractors or subconsultants to commence work on any subcontract until they have provided evidence satisfactory to the City that they have secured all insurance required under this section.

Policies of commercial general liability insurance provided by such subcontractors or subconsultants shall be endorsed to name the City as an additional insured using ISO form CG 20 38 04 13 or an endorsement providing the exact same coverage. If requested by Consultant, City may approve different scopes or minimum limits of insurance for particular subcontractors or subconsultants.

12. Indemnification.
a. To the fullest extent permitted by law, Consultant shall defend (with counsel of City’s choosing), indemnify and hold the City, its officials, officers, employees, volunteers, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project or this Agreement, including without limitation the payment of all damages, expert witness fees and attorney’s fees and other related costs and expenses. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by Consultant, the City, its officials, officers, employees, agents, or volunteers.
b. If Consultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance of “design professional” services (as that term is defined under

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8 Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

13. California Labor Code Requirements.
a. Consultant is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., which require the payment of prevailing wage rates and the performance of other requirements on certain “public works” and “maintenance” projects (“Prevailing Wage Laws”). If the services are being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Consultant agrees to fully comply with such Prevailing Wage Laws. Consultant shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claims, liabilities, costs, penalties or interest arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory upon the Consultant and all subconsultants to comply with all California Labor Code provisions, which include but are not limited to prevailing wages (Labor Code Sections 1771, 1774 and 1775), employment of apprentices (Labor Code Section 1777.5), certified payroll records (Labor Code Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and debarment of contractors and subcontractors (Labor Code Section 1777.1). The requirement to submit certified payroll records directly to the Labor Commissioner under Labor Code section 1771.4 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Section 1771.4. b. If the services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant and all subconsultants performing such services must be registered with the Department of Industrial Relations. Consultant shall maintain registration for the duration of the Project and require the same of any subconsultants, as applicable. Notwithstanding the foregoing, the contractor registration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1. c. This Agreement may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations. It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements. Any stop orders issued by the Department of Industrial Relations against Consultant or any subcontractor that affect Consultant’s performance of services, including any delay, shall be Consultant’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Consultant caused delay and shall not be compensable by the City. Consultant shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claim or liability arising out of stop orders issued by the Department of Industrial Relations against Consultant or any subcontractor.

14. Safety.

Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance

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9 with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions as applicable shall include, but shall not be limited to: (A) adequate life protection and life-saving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

15. Verification of Employment Eligibility.

By executing this Agreement, Consultant verifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time, and shall require all subconsultants and sub-subconsultants to comply with the same.

16. INTENTIONALLY DELETED

17. Laws and Venue.

This Agreement shall be interpreted in accordance with the laws of the State of California.

If any action is brought to interpret or enforce any term of this Agreement, the action shall be brought in a the Superior Court of California for the County of Merced.

18. Termination or Abandonment
a. City has the right to terminate or abandon any portion or all of the work under this Agreement by giving ten (10) calendar days written notice to Consultant. In such event, City shall be immediately given title and possession to all original field notes, drawings and specifications, written reports and other documents produced or developed for that portion of the work completed and/or being abandoned. City shall pay Consultant the reasonable value of services rendered for any portion of the work completed prior to termination. If said termination occurs prior to completion of any task for the Project for which a payment request has not been received, the charge for services performed during such task shall be the reasonable value of such services, based on an amount mutually agreed to by City and Consultant of the portion of such task completed but not paid prior to said termination. City shall not be liable for any costs other than the charges or portions thereof which are specified herein. Consultant shall not be entitled to payment for unperformed services, and shall not be entitled to damages or compensation for termination of work.
b. Consultant may terminate its obligation to provide further services under this Agreement upon thirty (30) calendar days’ written notice to City only in the event of substantial failure by City to perform in accordance with the terms of this Agreement through no fault of Consultant.

19. Ownership of Documents and Confidential Information. a. All deliverables and other documents generated by Consultant in the performance of the Services, including all work papers, work-in-progress, designs, drawings,

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10 documents, data, computations, specifications, studies and reports prepared by Consultant as a part of the Services or authorized Additional Services (“Consultant Work Product”) shall belong to and be subject to the sole ownership and use of City. b. Except as otherwise provided in “Termination or Abandonment,” above, all original field notes, written reports, drawings and specifications and other documents, produced or developed for the Project shall, upon payment in full for the services described in this Agreement, be furnished to and become the property of the City. c. During the course of the performance of this Agreement, Consultant may receive written or verbal information from City, its representatives or agents, not in the public domain. Such information may include City’s know how, trade secrets, and other proprietary and confidential information and Consultant agrees to treat such information as confidential information belonging to City. Consultant agrees that neither it, nor its officers, employees, representatives, agents, successors, or assigns, will disclose such information to any third party or use the same in any manner without the prior written consent of City. Moreover, Consultant agrees to safeguard such proprietary and confidential information from unauthorized disclosure and/or use using the same degree of care it uses to protect its own proprietary and confidential information, but not less than a reasonable standard of care. In the event that disclosure of such information is sought pursuant to any law or regulation, Consultant shall promptly notify City of such fact to allow City to assert whatever exclusions or exemptions may be available to it under applicable law or regulation.

20. Organization
Consultant shall assign Jana Sousa, Human Resources Director as Project Manager. The Project Manager shall not be removed from the Project or reassigned without the prior written consent of the City.

21. Limitation of Agreement.

This Agreement is limited to and includes only the work included in the Project described above.

22. Notice
Any notice or instrument required to be given or delivered by this Agreement may be given or delivered by depositing the same in any United States Post Office, certified mail, return receipt requested, postage prepaid, addressed to:

CITY:

City of Atwater
1160 Fifth Street
Atwater, CA 95301
Attn: City Manager
[email protected]
CONSULTANT:

Delfino, Madden, O’Malley Coyle & Koewler
LLP
500 Capitol Mall Suite 1550
Sacramento, CA 95814
Attn: Monica Hans Folsom
[email protected]
and shall be effective upon receipt thereof.

83389.00001\40708740.1
11 23. Third Party Rights
Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than the City and the Consultant.

24. Equal Opportunity Employment.

Consultant represents that it is an equal opportunity employer and that it shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, sex, age or other interests protected by the State or Federal Constitutions. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

25. Entire Agreement
This Agreement, with its exhibits, represents the entire understanding of City and Consultant as to those matters contained herein, and supersedes and cancels any prior or contemporaneous oral or written understanding, promises or representations with respect to those matters covered hereunder. Each Party acknowledges that no representations, inducements, promises or agreements have been made by any person which are not incorporated herein, and that any other agreements shall be void. This Agreement may not be modified or altered except in writing signed by both Parties hereto. This is an integrated Agreement.

26. Severability
The unenforceability, invalidity or illegality of any provision(s) of this Agreement shall not render the remaining provisions unenforceable, invalid or illegal.

27. Successors and Assigns
This Agreement shall be binding upon and shall inure to the benefit of the successors in interest, executors, administrators and assigns of each Party to this Agreement. However, Consultant shall not assign or transfer by operation of law or otherwise any or all of its rights, burdens, duties or obligations without the prior written consent of City. Any attempted assignment without such consent shall be invalid and void.

28. Non-Waiver
None of the provisions of this Agreement shall be considered waived by either Party, unless such waiver is specifically specified in writing.

29. Time of Essence
Time is of the essence for each and every provision of this Agreement.

30. City’s Right to Employ Other Consultants

83389.00001\40708740.1
12 City reserves its right to employ other consultants, including engineers, in connection with this Project or other projects.

31. Prohibited Interests
Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no director, official, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

When funding for the services is provided, in whole or in part, by an agency of the federal government, Consultant shall also fully and adequately comply with the provisions included in Exhibit “D” (Federal Requirements) attached hereto and incorporated herein by reference (“Federal Requirements”). With respect to any conflict between such Federal Requirements and the terms of this Agreement and/or the provisions of state law, the more stringent requirement shall control.
[SIGNATURES ON FOLLOWING PAGE]

83389.00001\40708740.1
13 SIGNATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT

BETWEEN CITY OF ATWATER
AND DELFINO MADDEN O’MALLEY COYLE & KOEWLER LLP
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above.

CITY OF ATWATER CONSULTANT
By: By: _______________________________
Greg Thompson, Interim City Manager Monica Hans Folsom, Partner Date:_______________________________ Date:______________________________ ATTEST:

By:

Kory J. Billings, City Clerk
APPROVED AS TO FORM:

By:

Frank Splendorio, City Attorney

83389.00001\40708740.1
14 EXHIBIT A
The firm employs a team approach to staffing matters as appropriate for each engagement to provide efficient and cost-effective service. Fees for engagement will be charged on an hourly basis. Current hourly rate is $385. The current hourly rate of associates and paralegals who may assist on matters range from $200-$365. The aforementioned rates are effective January 1, 2024 and are subject to change on an annual basis.

1 12416036.2 LC001-009

AGREEMENT FOR SPECIAL SERVICES
This Agreement is entered into between the law firm of LIEBERT CASSIDY WHITMORE, A Professional Corporation (“Attorney”), and the CITY OF ATWATER, A Municipal Corporation (“City”).

1. Conditions
This Agreement will not take effect, and Attorney will have no obligation to provide services, until City returns a properly signed and executed copy of this Agreement.

2. Attorney’s Services
Attorney agrees to provide City with consulting, representational and legal services pertaining to employment relations matters, including representation in negotiations and in administrative and court proceedings, as requested by City or otherwise required by law.

3. Fees, Costs, Expenses
City agrees to pay Attorney the sums billed monthly for time spent by Attorney in providing the services, including reasonable travel time.

The current range of hourly rates for Attorney time is from Two Hundred Seventy to Four Hundred Fifty Dollars ($270.00 - $450.00). See Schedule I for a full Fee Schedule. Attorney reviews its hourly rates on an annual basis and, if appropriate, adjusts them effective July 1. Attorney will provide the City with written notification of any adjustment in the range of rates. Attorney bills its time in minimum units of onetenth of an hour.

2 12416036.2 LC001-009
For Litigation Matters
See Schedule II attached for a description of Attorney’s Litigation and EDiscovery Management.

Other Expenses
City agrees to reimburse Attorney for necessary costs and expenses incurred by Attorney on behalf of City. Attorney bills photocopying charges at Fifteen Cents ($0.15) per page. See Schedule I attached.

Payment by City against monthly billings is due upon receipt of statements, and is considered delinquent if payment is not received within thirty (30) days of the date of the invoice.

4. Professional Liability Insurance
The California Business & Professions Code requires us to inform you whether we maintain errors and omissions insurance coverage applicable to the services to be rendered to you. We hereby confirm that the firm does maintain such insurance coverage.

5. Arbitration of Professional Liability or Other Claims Disputes. If a dispute between City and Attorney arises over fees charged for services, the controversy will be submitted to binding arbitration in accordance with the rules of the California State Bar Fee Arbitration Program, set forth in California Business and Professions Code, sections 6200 through 6206. The arbitrator or arbitration panel shall have the authority to award to the prevailing party attorneys’ fees, costs and interest incurred. Any arbitration award may be served by mail upon either side and personal service shall not be required.

3 12416036.2 LC001-009
If a dispute arises between City and Attorney over any other aspect of the attorney-client relationship, including, without limitation, a claim for breach of professional duty, that dispute will also be resolved by arbitration. It is understood that any dispute as to any alleged breach of professional duty (that is, as to whether any legal services rendered under this agreement were allegedly unnecessary, unauthorized, omitted entirely, or were improperly, negligently or incompetently rendered) will be determined by submission to arbitration as provided by California law, and not by a lawsuit or resort to court process except as California law provides for judicial review of arbitration proceedings. Both parties to this agreement, by entering into it, are giving up their constitutional right to have any such dispute decided in a court of law before a jury, and instead are accepting the use of arbitration. Each party is to bear its own attorney’s fees and costs.

6. File Retention
After our services conclude, Attorney will, upon City’s request, deliver the file for the matter to City, along with any funds or property of City’s in our possession. If City requests the file for the matter, Attorney will retain a copy of the file at the City’s expense. If City does not request the file for this matter, we will retain it for a period of seven (7) years after this matter is closed. If City does not request delivery of the file for this matter before the end of the seven (7) year period, we will have no further obligation to retain the file and may, at our discretion, destroy it without further notice to City. At any point during the seven (7) year period, City may request delivery of the file.

4 12416036.2 LC001-009

7. Assignment
This Agreement is not assignable without the written consent of City.

8. Independent Contractor
It is understood and agreed that Attorney, while engaged in performing the terms of this Agreement, is an independent contractor and not an employee of City.

9. Authority
The signators to this Agreement represent that they hold the positions set forth below their signatures, and that they are authorized to execute this Agreement on behalf of their respective parties and to bind their respective parties hereto.

10. Term
This Agreement is effective June 10, 2024, ongoing and may be modified by mutual agreement of the parties. This agreement shall be terminable by either party upon thirty (30) days written notice.

LIEBERT CASSIDY WHITMORE, CITY OF ATWATER
A Professional Corporation A Municipal Corporation
By: ________________________ By: _______________________ Name: ______________________ Name: ______________________ Title: _______________________ Title: _______________________ Date: _______________________ Date: ______________________

5 12416036.2 LC001-009
SCHEDULE I – FEES & COSTS

1. Hourly Rates (As of Agreement Effective Date)
Partners $450.00
Senior Counsel $375.00
Associates $270.00 - $355.00
Labor Relations/HR Consultant $290.00
Classification & Compensation Consultant $210.00
Paralegals $150.00
E- Discovery Specialists $175.00
Law Clerks $150.00 - $185.00

2. COSTS

1. Photocopies $0.15 per copy

6 12416036.2 LC001-009

SCHEDULE II
LCW LITIGATION and E-DISCOVERY MANAGEMENT
LCW is committed to using state-of-the-art technology to efficiently manage and harness electronically-stored information (“ESI”) in compliance with Federal and State law requirements. LCW partners with an outside managed services provider to provide Relativity, the industry leading e-discovery software, for this purpose. The cost for each matter will depend on the volume and format of the data. For non-complex data up to 50 gigabytes, LCW charges a monthly fee of $450 on all active litigation matters for data management, including data validation and security, ingestion, de-duplication, culling and streamlining, and creation of Relativity fields for expedited review. For data of 50 gigabytes and over and for complex data requiring specialized services (e.g., payroll data, spreadsheets with underlying formulas, video, advanced searches, etc.), additional charges are incurred and are passed through to the client. For such charges, we will provide an itemized bill from our managed services provider and obtain client approval prior to incurring the charges.

Litigation Case Staffing
LCW has organized its litigation practice to meet the challenges of today’s complex litigation cases. We employ a dedicated Litigation Manager – a non-billing attorney litigator – whose responsibility is to monitor all litigation cases to ensure quality, efficiency, and adherence to client and firm litigation guidelines. Each litigation case is staffed with a Partner, an Associate (or Associates, as required and as approved by the Client), a Paralegal and an E-Discovery Specialist. Our E-Discovery Specialists have extensive experience in the efficient management of electronic data through every stage of the e-discovery life cycle, and they strategize with attorneys and clients on effective ESI protocols. This makes the document review process more efficient and enables our attorneys to target the most relevant data to meet litigation objectives. Working with our e-discovery managed services provider, we are able to provide state-of-the-art data processing and hosting services at below-market rates.

CITY COUNCIL

AGENDA REPORT

MEETING
DATE:

June 10, 2024
TO: Mayor and City Council
FROM: Ana Jaramillo, Executive Assistant , Justin Vinson, Public Works Director

PREPARED
BY:

Ana Jaramillo, Executive Assistant
SUBJECT: Approving Specifications and Authorizing Advertising and Calling for Bids for Water Meter Installation Project (Public Works Director Vinson)

RECOMMENDED COUNCIL ACTION
Approval of specifications and authorizing advertising and calling for bids for the Meter Installation Project, Project No. 24-10, Bid Call Number 729-24.

I. BACKGROUND/ANALYSIS:

In 2004, the California State Legislative passed Assembly Bill No. 2572 amending the California Water Code. The Bill required a water supplier beginning on or before January 1, 2021, to start reading meters and charging on a water volume-based measurement on all connections installed on or after January 1, 1992. By January 1, 2025, the water supplier must have all other connections prior to January 1, 1992, on water meters and be charged on a water volume-based measurement.

Public Works continues to work towards installing meters on all unmetered water services within the City of Atwater service areas. The installation of the water meters will enable the City to comply with a state mandate, Assembly Bill 2572, which requires a fully metered system by January 1, 2025.

At the regular council meeting of November 13, 2023, the City Council authorized the purchase order of 3,500 water meters and transmitters to be installed on the remaining unmetered services in the City. This call for bids will install some of those meters on services that are not prepped for the installation of a water meter. There are 1,549 addresses throughout the city that are not prepped for water meters, and these addresses are not located in any specific area in the city, but spread out all throughout the city. City staff are also still installing meters on addresses throughout the city that are prepped for the installation of a water meter. For an address to be prepped for the installation of a water meter, it must already have a B16 Christy box and lid, piping and brass meter swivel connections.

Staff is anticipating returning to the July 8th Council Meeting to award a contract for the installation of these remaining unprepared water meters.

CITY COUNCIL
Mike Nelson, Mayor
Danny Ambriz Tyler Button
John Cale Brian Raymond

Agenda Report - Approving Specifications and Authorizing Advertising and Calling for Bids for Water Meter Installation Project (Public Works Director Vinson) Page 2

II. FISCAL IMPACTS:

There are no fiscal impacts at this time. Once staff receives bids back from contractors, staff will return to council with a budget amendment and contract awarding construction.

This item has been reviewed by the Finance Department.

III. LEGAL REVIEW:

This item has been reviewed by the City Attorney's Office.

IV. EXISTING POLICY:

This item is consistent with goal number one (1) of the Strategic Plan: to ensure the City's continued financial stability.

V. ALTERNATIVES:

N/A
VI. INTERDEPARTMENTAL COORDINATION:

This item has been reviewed by all departments.

VII. PUBLIC PARTICIPATION:

The public will have an opportunity to provide comments on this item prior to City Council action.

VIII. ENVIRONMENTAL REVIEW:

This item is not considered a "project" under Section 21065 of the Public Resources Code as it will not directly or reasonably indirectly affect the physical environment and therefore is not subject to review or analysis.

IX. STEPS FOLLOWING APPROVAL:

Upon City Council approval, staff will advertise the Notice Inviting Bids in a local newspaper, on the City's website, and with one or more regional Builders Exchange.

Staff anticipates returning to the City Council with a recommendation to award the General Construction Contract and a budget amendment for the project.

Submitted by:

Justin Vinson, Public Works Director
Approved by:

Agenda Report - Approving Specifications and Authorizing Advertising and Calling for Bids for Water Meter Installation Project (Public Works Director Vinson) Page 3

Greg Thompson, Interim City Manager
Attachments:

1. Construction and Bid Documents WATER METER INSTALLATION PROJECT

2. Exhibit A - Map

38072.00001\34443465.1

ATWATER, CALIFORNIA

CONTRACT DOCUMENTS AND SPECIFICATIONS FOR

WATER METER INSTALLION PROJECT
Bid Call #729-24
City Project # 24-10
- BID OPENING -
THURSDAY, JUNE 27, 2024 at 2:00PM

CITY OF ATWATER- CITY CLERKS OFFICE
750 BELLEVUE RD
ATWATER, CA 95301

38072.00001\34443465.1
<Month> <Year> -i- TABLE OF CONTENTS

TABLE OF CONTENTS
Page
00 11 16 – NOTICE INVITING BIDS .............................................................................................5 00 21 13 – INSTRUCTIONS TO BIDDERS...................................................................................8 ARTICLE 1. SECURING DOCUMENTS...............................................................................8 ARTICLE 2. EXAMINATION OF SITE AND CONTRACT DOCUMENTS ............................8 ARTICLE 3. INTERPRETATION OF DRAWINGS AND DOCUMENTS...............................8 ARTICLE 4. PRE-BID CONFERENCE .................................................................................9 ARTICLE 5. ADDENDA ........................................................................................................9 ARTICLE 6. ALTERNATE BIDS ...........................................................................................9 ARTICLE 7. COMPLETION OF BID FORMS .......................................................................9 ARTICLE 8. MODIFICATIONS OF BIDS............................................................................10 ARTICLE 9. SUBCONTRACTORS.....................................................................................10 ARTICLE 10. LICENSING REQUIREMENTS.....................................................................10 ARTICLE 11. COMPLIANCE WITH CARB REGULATIONS ..............................................10 ARTICLE 12. BID GUARANTEE (BOND)...........................................................................10 ARTICLE 13. IRAN CONTRACTING ACT OF 2010...........................................................11 ARTICLE 14. NONCOLLUSION DECLARATION...............................................................11 ARTICLE 15. PUBLIC WORKS CONTRACTOR REGISTRATION
CERTIFICATION .......................................................................................................11 ARTICLE 16. BIDDER INFORMATION AND EXPERIENCE FORM..................................11 ARTICLE 17. WORKERS' COMPENSATION CERTIFICATION........................................11 ARTICLE 18. SIGNING OF BIDS .......................................................................................12 ARTICLE 19. SUBMISSION OF SEALED BIDS.................................................................12 ARTICLE 20. OPENING OF BIDS......................................................................................12 ARTICLE 21. WITHDRAWAL OF BID ................................................................................13 ARTICLE 22. BIDDERS INTERESTED IN MORE THAN ONE BID ...................................13 ARTICLE 23. SUBSTITUTION OF SECURITY ..................................................................13 ARTICLE 24. PREVAILING WAGES..................................................................................13 ARTICLE 25. DEBARMENT OF CONTRACTORS AND SUBCONTRACTORS................14 ARTICLE 26. INSURANCE REQUIREMENTS...................................................................14 ARTICLE 27. PERFORMANCE BOND AND PAYMENT BOND
REQUIREMENTS......................................................................................................14 ARTICLE 28. SALES AND OTHER APPLICABLE TAXES, PERMITS,
LICENSES AND FEES ..............................................................................................14 ARTICLE 29. PERMIT AND INSPECTION FEE ALLOWANCE .........................................14 ARTICLE 30. FILING OF BID PROTESTS.........................................................................15

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ARTICLE 31. BASIS OF AWARD; BALANCED BID...........................................................15 ARTICLE 32. AWARD PROCESS......................................................................................15 ARTICLE 33. EXECUTION OF CONTRACT......................................................................16 ARTICLE 34. QUESTIONS.................................................................................................16 00 41 43 – BID FORMS...............................................................................................................17 ARTICLE 1. INFORMATION ABOUT BIDDER...................................................................28 ARTICLE 2. LIST OF CURRENT PROJECTS (BACKLOG)...............................................31 ARTICLE 3. LIST OF COMPLETED PROJECTS – LAST THREE YEARS .......................32 ARTICLE 4. EXPERIENCE AND TECHNICAL QUALIFICATIONS
QUESTIONNAIRE .....................................................................................................33 ARTICLE 5. VERIFICATION AND EXECUTION ................................................................34 00 52 13 – CONTRACT...............................................................................................................39 00 61 13 – BOND FORMS ..........................................................................................................43 00 72 13 – GENERAL CONDITIONS..........................................................................................53 ARTICLE 1. DEFINED TERMS ..........................................................................................53 ARTICLE 2. CONTRACT DOCUMENTS............................................................................57 ARTICLE 3. PRECONSTRUCTION AND CONSTRUCTION
COMMUNICATION....................................................................................................57 ARTICLE 4. CONTRACT DOCUMENTS: COPIES & MAINTENANCE ............................58 ARTICLE 5. EXAMINATION OF DRAWINGS, SPECIFICATIONS AND SITE OF WORK..................................................................................................................58 ARTICLE 6. MOBILIZATION ..............................................................................................58 ARTICLE 7. EXISTENCE OF UTILITIES AT THE WORK SITE.........................................59 ARTICLE 8. SOILS INVESTIGATIONS ..............................................................................60 ARTICLE 9. CONTRACTOR’S SUPERVISION..................................................................61 ARTICLE 10. WORKERS ...................................................................................................61 ARTICLE 11. INDEPENDENT CONTRACTORS ...............................................................61 ARTICLE 12. SUBCONTRACTS ........................................................................................61 ARTICLE 13. VERIFICATION OF EMPLOYMENT ELIGIBILITY .......................................62 ARTICLE 14. REQUESTS FOR SUBSTITUTION ..............................................................62 ARTICLE 15. SHOP DRAWINGS.......................................................................................63 ARTICLE 16. SUBMITTALS ...............................................................................................64 ARTICLE 17. MATERIALS..................................................................................................64 ARTICLE 18. PERMITS AND LICENSES...........................................................................65 ARTICLE 19. TRENCHES ..................................................................................................65

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ARTICLE 20. TRAFFIC CONTROL ....................................................................................66 ARTICLE 21. DIVERSION OF RECYCLABLE WASTE MATERIALS ................................67 ARTICLE 22. REMOVAL OF HAZARDOUS MATERIALS .................................................67 ARTICLE 23. SANITARY FACILITIES................................................................................67 ARTICLE 24. AIR POLLUTION CONTROL........................................................................68 ARTICLE 25. LAYOUT AND FIELD ENGINEERING..........................................................68 ARTICLE 26. TESTS AND INSPECTIONS ........................................................................68 ARTICLE 27. PROTECTION OF WORK AND PROPERTY...............................................69 ARTICLE 28. CONTRACTOR’S MEANS AND METHODS................................................69 ARTICLE 29. AUTHORIZED REPRESENTATIVES...........................................................69 ARTICLE 30. HOURS OF WORK.......................................................................................69 ARTICLE 31. PAYROLL RECORDS; LABOR COMPLIANCE ...........................................70 ARTICLE 32. PREVAILING RATES OF WAGES...............................................................72 ARTICLE 33. PUBLIC WORKS CONTRACTOR REGISTRATION....................................72 ARTICLE 34. EMPLOYMENT OF APPRENTICES ............................................................73 ARTICLE 35. NONDISCRIMINATION/EQUAL EMPLOYMENT OPPORTUNITY..............73 ARTICLE 36. DEBARMENT OF CONTRACTORS AND SUBCONTRACTORS................74 ARTICLE 37. LABOR/EMPLOYMENT SAFETY.................................................................74 ARTICLE 38. INSURANCE.................................................................................................74 ARTICLE 39. FORM AND PROOF OF CARRIAGE OF INSURANCE...............................78 ARTICLE 40. TIME FOR COMPLETION AND LIQUIDATED DAMAGES..........................79 ARTICLE 41. COST BREAKDOWN AND PERIODIC ESTIMATES...................................80 ARTICLE 42. PROGRESS ESTIMATES AND PAYMENT .................................................80 ARTICLE 43. SECURITIES FOR MONEY WITHHELD......................................................82 ARTICLE 44. CHANGES AND EXTRA WORK. .................................................................82 ARTICLE 45. FINAL ACCEPTANCE AND PAYMENT .......................................................96 ARTICLE 46. OCCUPANCY...............................................................................................97 ARTICLE 47. INDEMNIFICATION......................................................................................97 ARTICLE 48. PROCEDURE FOR RESOLVING DISPUTES .............................................98 ARTICLE 49. CITY’S RIGHT TO TERMINATE CONTRACT............................................102 ARTICLE 50. WARRANTY AND GUARANTEE OF WORK .............................................104 ARTICLE 51. DOCUMENT RETENTION & EXAMINATION ............................................107 ARTICLE 52. SEPARATE CONTRACTS .........................................................................107 ARTICLE 53. NOTICE AND SERVICE THEREOF...........................................................108

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ARTICLE 54. NOTICE OF THIRD PARTY CLAIMS.........................................................108 ARTICLE 55. STATE LICENSE BOARD NOTICE............................................................108 ARTICLE 56. INTEGRATION ...........................................................................................108 ARTICLE 57. ASSIGNMENT OF CONTRACT .................................................................109 ARTICLE 58. CHANGE IN NAME AND NATURE OF CONTRACTOR’S LEGAL ENTITY109
ARTICLE 59. ASSIGNMENT OF ANTITRUST ACTIONS................................................109 ARTICLE 60. PROHIBITED INTERESTS.........................................................................109 ARTICLE 61. CONTROLLING LAW .................................................................................109 ARTICLE 62. JURISDICTION; VENUE ............................................................................109 ARTICLE 63. LAWS AND REGULATIONS ......................................................................110 ARTICLE 64. PATENTS ...................................................................................................110 ARTICLE 65. OWNERSHIP OF CONTRACT DOCUMENTS...........................................110 ARTICLE 66. NOTICE OF TAXABLE POSSESSORY INTEREST ..................................110 ARTICLE 67. SURVIVAL OF OBLIGATIONS...................................................................110 00 73 13 – SPECIAL CONDITIONS..........................................................................................112 01 00 00 – GENERAL REQUIREMENTS .................................................................................117 EXHIBIT “A” CHANGE ORDER FORM.........................................................................................1

38072.00001\34443465.1
-5- 00 11 16 – NOTICE INVITING BIDS
00 11 16 – NOTICE INVITING BIDS
NOTICE IS HEREBY GIVEN that the City of Atwater (“City”) invites and will receive sealed Bids up to but not later than 2:00 p.m. on Thursday, June 27, 2024 at the office of the City Clerks Office, located at 750 Bellevue Rd, Atwater, California 95301 for the furnishing to City of all labor, equipment, materials, tools, services, transportation, permits, utilities, and all other items necessary for WATER METER INSTALLATION PROJECT (the “Project”). At said time, Bids will be publicly opened and read aloud at 750 Bellevue Rd, Atwater, California 95301. Bids received after said time shall be returned unopened. Bids shall be valid for a period of 90 calendar days after the Bid opening date.

Bids must be submitted on the City’s Bid Forms. Bidders may obtain a copy of the Contract Documents from the city’s website https://www.atwater.org/bids-rfps-rfqs/ . To the extent required by section 20103.7 of the Public Contract Code, upon request from a contractor plan room service, the City shall provide an electronic copy of the Contract Documents at no charge to the contractor plan room.

It is the responsibility of each prospective bidder to download and print all Bid Documents for review and to verify the completeness of Bid Documents before submitting a bid. Any Addenda will be posted on the city’s website at the following URL: https://www.atwater.org/bids-rfps-rfqs/.

It is the responsibility of each prospective bidder to check the city’s website at the following URL:
https://www.atwater.org/bids-rfps-rfqs/ on a daily basis through the close of bids for any applicable addenda or updates. The City does not assume any liability or responsibility based on any defective or incomplete copying, excerpting, scanning, faxing, downloading or printing of the Bid Documents. Information on the city’s website at the following URL: https://www.atwater.org/bidsrfps-rfqs/ may change without notice to prospective bidders. The Contract Documents shall supersede any information posted or transmitted by the city’s website at the following URL:
https://www.atwater.org/bids-rfps-rfqs/.

Each Bid shall be accompanied by cash, a certified or cashier’s check, or Bid Bond secured from a surety company satisfactory to the City, the amount of which shall not be less than ten percent (10%) of the submitted Total Bid Price, made payable to CityCity of Atwater as bid security. The bid security shall be provided as a guarantee that within ten (10) working days after the City provides the successful bidder the Notice of Award, the successful Bidder will enter into a contract and provide the necessary bonds and certificates of insurance. The bid security will be declared forfeited if the successful Bidder fails to comply within said time. No interest will be paid on funds deposited with City.

The successful Bidder will be required to furnish a Faithful Performance Bond and a Labor and Material Payment Bond each in an amount equal to one hundred percent (100%) of the Contract Price. Each bond shall be in the forms set forth herein, shall be secured from a surety company that meets all State of California bonding requirements, as defined in California Code of Civil Procedure Section 995.120, and that is a California admitted surety insurer.

Pursuant to Section 22300 of the Public Contract Code of the State of California, the successful Bidder may substitute certain securities for funds withheld by City to ensure its performance under the contract.

Pursuant to Labor Code Section 1773, City has obtained the prevailing rate of per diem wages and the prevailing wage rate for holiday and overtime work applicable in Merced County from the Director of the Department of Industrial Relations for each craft, classification, or type of worker

38072.00001\34443465.1
-6- 00 11 16 – NOTICE INVITING BIDS
needed to execute this contract. A copy of these prevailing wage rates may be obtained via the internet at: www.dir.ca.gov/dlsr/.

In addition, a copy of the prevailing rate of per diem wages is available at the City’s Public Works Department and shall be made available to interested parties upon request. The successful bidder shall post a copy of the prevailing wage rates at each job site. It shall be mandatory upon the Bidder to whom the Contract is awarded, and upon any subcontractors, to comply with all Labor Code provisions, which include but are not limited to the payment of not less than the said specified prevailing wage rates to all workers employed by them in the execution of the Contract, employment of apprentices, hours of labor and debarment of contractors and subcontractors.

Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that wish to bid on, be listed in a bid proposal, or enter into a contract to perform public work must be registered with the Department of Industrial Relations. No Bid will be accepted nor any contract entered into without proof of the contractor’s and subcontractors’ current registration with the Department of Industrial Relations to perform public work. If awarded a contract, the Bidder and its subcontractors, of any tier, shall maintain active registration with the Department of Industrial Relations for the duration of the Project. Notwithstanding the foregoing, the contractor registration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1.

This Project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. In bidding on this Project, it shall be the Bidder’s sole responsibility to evaluate and include the cost of complying with all labor compliance requirements under this contract and applicable law in its Bid.

The California Air Resources Board (“CARB”) implemented amendments to the In-Use Off-Road Diesel-Fueled Fleets Regulations (“Regulation”) which are effective on January 1, 2024 and apply broadly to all self-propelled off road diesel vehicles 25 horsepower or greater and other forms of equipment used in California. A copy of the Regulation is available at https://ww2.arb.ca.gov/sites/default/files/barcu/regact/2022/off-roaddiesel/appa-1.pdf. Bidders are required to comply with all CARB and Regulation requirements, including, without limitation, all applicable sections of the Regulation, as codified in Title 13 of the California Code of Regulations section 2449 et seq. throughout the term of the Project. Bidders must provide, with their Bid, copies of Bidder’s and all listed subcontractors the most recent, valid Certificate of Reported Compliance (“CRC”) issued by CARB. Failure to provide valid CRCs as required herein may render the Bid non-responsive.

Unless otherwise provided in the Instructions for Bidders, each Bidder shall be a licensed contractor pursuant to sections 7000 et seq. of the Business and Professions Code in the following classification(s) throughout the time it submits its Bid and for the duration of the contract: Class A.

Substitution requests shall be made within 35 calendar days after the award of the contract.

Pursuant to Public Contract Code Section 3400(b), the City may make findings designating that certain additional materials, methods or services by specific brand or trade name other than those listed in the Standard Specifications be used for the Project. Such findings, if any, as well as the materials, methods or services and their specific brand or trade names that must be used for the Project may be found in the Special Conditions.

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City shall award the contract for the Project to the lowest responsive, responsible Bidder as determined by the City from the BASE BID ALONE. City reserves the right to reject any or all bids or to waive any irregularities or informalities in any bids or in the bidding process.

For further information, contact Justin Vinson, at [email protected] or 209-357-6370.

END OF NOTICE INVITING BIDS

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00 21 13 – INSTRUCTIONS TO BIDDERS
ARTICLE 1. SECURING DOCUMENTS
Bids must be submitted to the City on the Bid Forms which are a part of the Bid Package for the Project. Bid and Contract Documents may be obtained from the City’s website at the following URL: https://www.atwater.org/bids-rfps-rfqs/ as specified in the Notice Inviting Bids. Prospective bidders are encouraged to telephone in advance to determine the availability of Contract Documents. Any charge for the Contract Documents is stated in the Notice Inviting Bids.

The City may also make the Contract Documents available for review at one or more plan rooms, as indicated in the Notice Inviting Bids. Please Note: Prospective Bidders who choose to review the Contract Documents at a plan room must contact the City to obtain the required Contract Documents if they decide to submit a bid for the Project.

Any Addenda will be posted on https://www.atwater.org/bids-rfps-rfqs/. Failure to acknowledge addenda may make a bid nonresponsive and not eligible for award of the contract.

ARTICLE 2. EXAMINATION OF SITE AND CONTRACT DOCUMENTS
At its own expense and prior to submitting its Bid, each Bidder shall visit the site of the proposed work and fully acquaint itself with the conditions relating to the construction and labor required so that the Bidder may fully understand the work, including but not limited to difficulties and restrictions attending the execution of the work under the contract. Each Bidder shall carefully examine the Drawings, and shall read the Specifications, Contract, and all other documents referenced herein. Each Bidder shall also determine the local conditions which may in any way affect the performance of the work, including local tax structure, contractors’ licensing requirements, availability of required insurance, the prevailing wages and other relevant cost factors, shall familiarize itself with all federal, state and local laws, ordinances, rules, regulations and codes affecting the performance of the work, including the cost of permits and licenses required for the work, and shall make such surveys and investigations, including investigations of subsurface or latent physical conditions at the site or where work is to be performed as may be required. Bidders are responsible for consulting the standards referenced in the Contract. The failure or omission of any Bidder to receive or examine any contract documents, forms, instruments, addenda, or other documents, or to visit the site and acquaint itself with conditions there existing shall in no way relieve any Bidder from any obligation with respect to its Bid or to the contract and no relief for error or omission will be given except as required under State law.

The submission of a Bid shall be taken as conclusive evidence of compliance with this Article.

ARTICLE 3. INTERPRETATION OF DRAWINGS AND DOCUMENTS
Prospective Bidders unclear as to the true meaning of any part of the Drawings, Specifications or other proposed contract documents may submit to the Engineer of the City a written request for interpretation. The prospective Bidder submitting the request is responsible for prompt delivery.

Interpretation of the Drawings, Specifications or other proposed contract documents will be made only by a written addendum duly issued and a copy of such addenda will be mailed or delivered to each prospective Bidder who has purchased a set of Drawings and Specifications. The City will not be responsible for any other explanation or interpretations of the proposed documents. If a Prospective Bidders becomes aware of any errors or omissions in any part of the Contract Documents, it is the obligation of the Prospective Bidder to promptly bring it to the attention of the City.

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ARTICLE 4. PRE-BID CONFERENCE
N/A
ARTICLE 5. ADDENDA
The City reserves the right to revise the Contract Documents prior to the Bid opening date.

Revisions, if any, shall be made by written Addenda. All Addenda issued by the City shall be included in the Bid and made part of the Contract Documents. Pursuant to Public Contract Code Section 4104.5, if the City issues an Addendum which includes material changes to the Project less than 72 hours prior to the deadline for submission of Bids, the City will extend the deadline for submission of Bids. The City may determine, in its sole discretion, whether an Addendum warrants postponement of the Bid submission date. Each prospective Bidder shall provide City a name, address, email address, and facsimile number to which Addenda may be sent, as well as a telephone number by which the City can contact the Bidder. Copies of Addenda will be furnished by email, facsimile, first class mail, express mail or other proper means of delivery without charge to all parties who have obtained a copy of the Contract Documents and provided such current information. Please Note: Bidders are responsible for ensuring that they have received any and all Addenda. To this end, each Bidder should contact the Public Works Department to verify that it has received all Addenda issued, if any, prior to the Bid opening. The Bidder shall indicate the Addenda received prior to bidding in the space provided in the Bid Form.

Failure to indicate all Addenda may be sufficient cause for rejecting the Bid.

ARTICLE 6. ALTERNATE BIDS
If alternate bid items are called for in the Contract Documents, the time required for completion of the alternate bid items has already been factored into the Contract duration and no additional Contract time will be awarded for any of the alternate bid items. The City may elect to include one or more of the alternate bid items, or to otherwise remove certain work from the Project scope of work. Accordingly, each bidder must ensure that each bid item contains a proportionate share of profit, overhead, and other costs or expenses which will be incurred by the bidder.

ARTICLE 7. COMPLETION OF BID FORMS
Bids shall only be prepared using copies of the Bid Forms which are included in the Contract Documents. The use of substitute Bid Forms other than clear and correct photocopies of those provided by the City will not be permitted. Bids shall be executed by an authorized signatory as described in these Instructions to Bidders. In addition, Bidders shall fill in all blank spaces (including inserting “N/A” where applicable), and initial all interlineations, alterations, or erasures to the Bid Forms. Bidders shall neither delete, modify, nor supplement the printed matter on the Bid Forms nor make substitutions thereon. USE OF BLACK OR BLUE INK, INDELIBLE PENCIL, OR A TYPEWRITER IS REQUIRED. Deviations in the Bid Forms may result in the Bid being deemed non-responsive.

ARTICLE 8. MODIFICATIONS OF BIDS
Each Bidder shall submit its Bid in strict conformity with the requirements of the Contract Documents. Unauthorized additions, modifications, revisions, conditions, limitations, exclusions or provisions attached to a Bid may render it non-responsive and may cause its rejection. Bidders shall not delete, modify, or supplement the printed matter on the Bid Forms, or make substitutions thereon. Oral, telephonic and electronic modifications will not be considered.

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ARTICLE 9. SUBCONTRACTORS
Bidder shall set forth the name, address of the place of business, DIR public works contractor registration number unless exempt pursuant to Labor Code Sections 1725.5 and 1771.1, and contractor license number of each subcontractor who will perform work, labor, furnish materials or render services to the bidder on said contract and each subcontractor licensed by the State of California who, under subcontract to bidder, specially fabricates and installs a portion of the Work described in the Drawings and Specifications in an amount in excess of one half of one percent (0.5%) of the total bid price, and shall indicate the portion of the work to be done by such subcontractor in accordance with Public Contract Code Section 4104.

ARTICLE 10. LICENSING REQUIREMENTS
Pursuant to Business and Professions Code Section 7028.15 and Public Contract Code Section 3300, all bidders must possess proper licenses for performance of this Contract. Subcontractors must possess the appropriate licenses for each specialty subcontracted. Pursuant to Business and Professions Code Section 7028.5, the City shall consider any bid submitted by a contractor not currently licensed in accordance with state law and pursuant to the requirements found in the Contract Documents to be nonresponsive, and the City shall reject the Bid. The City shall have the right to request, and Bidders shall provide within ten (10) calendar days, evidence satisfactory to the City of all valid license(s) currently held by that Bidder and each of the Bidder’s subcontractors, before awarding the Contract.

Notwithstanding anything contained herein, if the Work involves federal funds, the Contractor shall be properly licensed by the time the Contract is awarded, pursuant to the provisions of Public Contract Code section 20103.5.

ARTICLE 11. COMPLIANCE WITH CARB REGULATIONS
The City is a Public Works Awarding Body, as defined under Title 13 California Code of Regulations section 2449(c)(46). Accordingly, Bidders must submit, with their Bids, a valid Certificate of Reported Compliance (“CRC”) for the Bidder’s and its listed subcontractors fleet (including any applicable leased equipment or vehicles) . Bidder must complete and submit the Fleet Compliance Certification, on the form included in the bid package. Failure to provide a valid CRC for the Bidder’s fleet, and for the fleets of all listed subcontractors, or failure to complete the Fleet Compliance Certification, may render the Bid non-responsive.

ARTICLE 12. BID GUARANTEE (BOND)
Each bid shall be accompanied by: (a) cash; (b) a certified or cashier’s check made payable to City of Atwater; or (c) a Bid Bond secured from a surety company satisfactory to the City, the amount of which shall not be less than ten percent (10%) of the Total Bid Price, made payable to City of Atwater as bid security. Personal sureties and unregistered surety companies are unacceptable. The surety insurer shall be California admitted surety insurer, as defined in Code of Civil Procedure Section 995.120. The bid security shall be provided as a guarantee that within ten (10) working days after the City provides the successful bidder the Notice of Award, the successful bidder will enter into a contract and provide the necessary bonds and certificates of insurance. The bid security will be declared forfeited if the successful bidder fails to comply within said time, and City may enter into a contract with the next lowest responsive responsible bidder, or may call for new bids. No interest shall be paid on funds deposited with the City. City will

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return the security accompanying the bids of all unsuccessful bidders no later than 60 calendar days after award of the contract.

ARTICLE 13. IRAN CONTRACTING ACT OF 2010
In accordance with Public Contract Code Section 2200 et seq., the City requires that any person that submits a bid or proposal or otherwise proposes to enter into or renew a contract with the City with respect to goods or services of one million dollars ($1,000,000) or more, certify at the time the bid is submitted or the contract is renewed, that the person is not identified on a list created pursuant to subdivision (b) of Public Contract Code Section 2203 as a person engaging in investment activities in Iran described in subdivision (a) of Public Contract Code Section 2202.5, or as a person described in subdivision (b) of Public Contract Code Section 2202.5, as applicable.

The form of such Iran Contracting Certificate is included with the bid package and must be signed and dated under penalty of perjury.

ARTICLE 14. NONCOLLUSION DECLARATION
Bidders on all public works contracts are required to submit a declaration of noncollusion with their bid. This form is included with the bid package and must be signed and dated under penalty of perjury.

ARTICLE 15. PUBLIC WORKS CONTRACTOR REGISTRATION CERTIFICATION Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that wish to bid on, be listed in a bid proposal, or enter into a contract to perform public work must be registered with the Department of Industrial Relations. No bid will be accepted nor any contract entered into without proof of the contractor’s and subcontractors’ current registration with the Department of Industrial Relations to perform public work. If awarded a contract, the bidder and its subcontractors, of any tier, shall maintain active registration with the Department of Industrial Relations for the duration of the Project. To this end, Bidder shall sign and submit with its Bid the Public Works Contractor Registration Certification on the form provided, attesting to the facts contained therein. Failure to submit this form may render the bid non-responsive. In addition, each Bidder shall provide the registration number for each listed subcontractor in the space provided in the Designation of Subcontractors form.

ARTICLE 16. BIDDER INFORMATION AND EXPERIENCE FORM
Each Bidder shall complete the questionnaire provided herein and shall submit the questionnaire along with its Bid. Failure to provide all information requested within the questionnaire along with the Bid may cause the bid to be rejected as non-responsive. The City reserves the right to reject any Bid if an investigation of the information submitted does not satisfy the Engineer that the Bidder is qualified to properly carry out the terms of the contract.

ARTICLE 17. WORKERS' COMPENSATION CERTIFICATION
In accordance with the provisions of Labor Code Section 3700, Contractor shall secure the payment of compensation to its employees. Contractor shall sign and file with the City the following certificate prior to performing the work under this Contract: