Agenda packet, regular meeting — Banning City Council, August 25, 2026 (part 1 of 6)

August 25, 2026
5:00 p.m.

In Chambers
Council Chambers
99 E. Ramsey Street
Banning, CA 92220

1. CALL TO ORDER

2. AGENDA APPROVAL
AGENDA

CITY COUNCIL - REGULAR MEETING

CITY OF BANNING, CALIFORNIA
The following information comprises the agenda for the regular meeting of the Banning City Council, a joint meeting of the City Council and Banning Utility Authority, and the Banning City Council sitting in its capacity as the Banning Successor Agency Board.

This meeting is being held via Zoom so that members of the public may observe and participate in this meeting electronically. If you participate in this meeting via Zoom, you are agreeing to abide by the City's Zoom Community Standards for Public Meetings (provided in full on the last page of the agenda). Esta reunión se lleva a cabo en la Cámara y a través de Video/Teleconferencia en Zoom para que los miembros del público puedan observar y participar en esta reunión de manera electrónica. Si elige participar en esta reunión a través de Zoom, acepta cumplir con los Estándares comunitarios de Zoom para reuniones públicas de la ciudad (que se proporcionan en su totalidad en la última página de la agenda).

To observe and participate in the online video portion of the meeting through your personal computer or device, follow this link:
https://us02web.zoom.us/j/82012644588?pwd=GwdLNir0X6fHkhlgVjAjRUQf1C6yoz.1 Dial in: +1 669 900 9128
Meeting ID: 820 1264 4588
Password: 1913-92220
Join Via Audio/Passcode: 8464147627 - *9 raise hand
Per the City of Banning Manual of Procedural Guidelines, matters taken up by the Council before 10 p.m. may be concluded, but no new matters shall be taken up except upon a majority vote of the council members present and voting. Such an extension shall only be valid for one hour and each hour thereafter shall require a renewed action for the meeting to continue.

1.1 INVOCATION
Performed by Pastor Nate Rodriguez of Infinite Center Church

1.2 PLEDGE OF ALLEGIANCE

1.3 ROLL CALL
City Council - Regular Meeting Agenda
August 25, 2026
1 3. PRESENTATIONS

4. REPORT ON CLOSED SESSION

5. PUBLIC COMMENTS, CORRESPONDENCE, APPOINTMENTS, AND REPORTS

6. CONSENT ITEMS

6.1 Consideration and Approval of the following City Council Meeting Minutes:

January 13, 2026
January 27, 2026
January 27, 2026 - Closed Session
February 5, 2026 - Closed Session
February 10, 2026
February 10, 2026 - Workshop
May 12, 2026
May 14, 2026 - Workshop

6.2 Receive and File Fire Protection Services Statistics for the Month of June and July 2026

2.1 AGENDA APPROVAL
Phaedra Norton, City Attorney

5.1 PUBLIC COMMENTS

5.2 CORRESPONDENCE

5.3 APPOINTMENTS

5.3.1. Banning Youth Council Appointments
Recommendation: Appoint five applicants to the Banning Youth Council.

5.4 CITY COUNCIL COMMITTEE REPORTS

5.5 ANNOUNCEMENTS OF CITY COUNCIL MEMBERS

5.6 CITY TREASURER'S REPORT

5.7 CITY MANAGER'S REPORT

5.8 CITY ATTORNEY'S REPORT
The following items have been recommended for approval and will be acted upon simultaneously, unless a member of the City Council/Banning Utility Authority/Successor Agency Board wishes to remove an item for separate consideration.

Recommendation: Approve the Meeting Minutes of:

January 13, 2026
January 27, 2026
January 27, 2026 - Closed Session
February 5, 2026 - Closed Session
February 10, 2026
February 10, 2026 - Workshop
May 12, 2026
May 14, 2026 - Workshop
Recommendation: Receive and file
City Council - Regular Meeting Agenda
August 25, 2026
2 6.3 Receive and File Code Enforcement Statistics for the Month of June & July 2026

6.4 Receive and File Police Department Statistics for the Month of June & July 2026

6.5 Receive and File Animal Control Statistics for the Month of June & July 2026

6.6 Approval of City Attorney Invoices for the Month of July 2026

6.7 Parks and Recreation Report of Monthly Activities through the 4th Quarter of Fiscal Year 2025/2026

6.8 Public Works Capital Improvement Project Tracking List

6.9 Receive and File the Combined Cash and Investments Report for September 2025 Through June 2026

6.10Receive and File Accounts Payable and Payroll Warrants Issued in the Month of April 2026.

6.11A Resolution of the City Council of the City of Banning, California, Retroactive Approval for the Appointment of a Retired Annuitant, Michelle Green, as extra help.

6.12Consideration of Resolution No. 2026-117, to Authorize the City Manager to Execute Amendment No. 2 to the Reimbursement Agreement with SFPP, L.P., a Delaware Limited Partnership, for additional Costs Associated with the Relocation of Pipeline Facilities owned and Operated by SFPP in Relation to the Sun Lakes Boulevard Extension Project.

6.13Consideration of Resolution 2026-119, Approving Amendment No. 2 to the Professional Services Agreement with STC Traffic, Inc. for the Design of Traffic Signal Hardware Upgrades at 17 Intersections to Extend the Term to March 31, 2027.

6.14Consider Resolution No. 2026-121, Authorizing the City Manager or Her Designee to Execute the Memorandum Of Understanding (MOU) Agreement and All Related Grant Documents, for the Sustainable Communities Program-Active Transportation and Safety, Banning Two-Way Cycle Track Safety Project, With the Southern California Association Of Governments (SCAG) on Behalf of the City of Banning

7. PUBLIC HEARINGS
Recommendation: Receive and file
Recommendation: Receive and file
Recommendation: Receive and file
Recommendation: Approve the attorney invoices for July 2026 as presented in the amount of $124,916.70
Recommendation: Receive and file
Recommendation: Receive and file
Recommendation: That the City Council receive and file the combined Cash and Investments Report for September 2025 through June 2026, in accordance with Government Code § 53607.

Recommendation: Receive and file.

Recommendation: Adopt Resolution 2026-114
Recommendation: Approve Resolution No. 2026-117
Recommendation: Approve Resolution 2026-119
Recommendation: Adopt Resolution No. 2026-121
City Council - Regular Meeting Agenda
August 25, 2026
3 7.1 Compliance with Assembly Bill 2561/Government Code Section 3502.3 regarding vacancies, recruitment and retention efforts

8. DISCUSSION ITEMS

8.1 Urgency Ordinance No. 1625 - Establishing a Moratorium on Cannabis Cultivation Warehouses, Manufacturing and Testing

8.2 Consideration of Resolution 2026-110, Approving the Purchase of a New IBM Server to Support the Central Square-Naviline ERP Upgrade, Authorizing the Required Installation Services, and Approving a Citywide Naviline Business Process Review and System ReImplementation

8.3 Informational Update: Existing Vacant Property Registration and Enforcement Framework Under Banning Municipal Code Chapter 8.12 and Ordinance No. 1589

8.4 Professional Services Agreements for On-Call/As Needed CEQA/NEPA Services Recommendation: Conduct a public hearing on workforce vacancies, recruitment, and retention efforts in accordance with Assembly Bill 2561 Recommendation: Staff recommends the City Council adopt ORDINANCE NO. 1625 an Interim Urgency Ordinance of the City Council of the City of Banning, California, adopting and imposing a temporary moratorium on the submittal and approval of licenses, permits, approvals, or other entitlements for use, including any modification thereof for marijuana cultivation, marijuana cultivation activities, cultivation facilities, manufacturing facilities, testing laboratory facilities, distribution facilities or cannabis microbusiness Recommendation:

Adopt Resolution 2026-110
Recommendation:

That the City Council receive the report, discuss the information presented, and provide direction to staff, as deemed appropriate.

Recommendation: The Community Development Department recommends the City Council take the following actions:

1. Authorize the City Manager to execute a Professional Services Agreement between the City of Banning and PlaceWorks, Inc., to provide on-call CEQA/NEPA services;

2. Authorize the City Manager to execute a Professional Services Agreement between the City of Banning and Albert Webb & Associates to provide on-call CEQA/NEPA services;

3. Authorize the City Manager to execute a Professional Services Agreement between the City of Banning and Environmental Planning Development Solutions, Inc., to provide on-call CEQA/NEPA services;

4. Authorize the City Manager to execute a Professional Services Agreement between the City of Banning and Kimley-Horn Inc., to provide on-call CEQA/NEPA services; and

5. Authorize the City Manager to execute a Professional Services Agreement between the City of Banning and Michael Baker International, Inc., to provide on-call CEQA/NEPA services;
City Council - Regular Meeting Agenda
August 25, 2026
4 8.5 Consideration of Resolution 2026-02UA, Approving a Professional Services Agreement with Water Resources Economics, LLC, in the Amount of $108,805 for Preparation of the City’s 2027 Water and Wastewater Rate Study

8.6 Consideration of Resolution 2026-104 Approving a Contract with Clean Energy for the Compressed Natural Gas (CNG) Fueling Station Maintenance Program

8.7 Adoption of the City of Banning’s Social Media Policy for Public Officials.

8.8 City Council Resolution of Support for the “Our Neighborhood Voices" Ballot Initiative to Amend Article IX of the California Constitution related to Zoning and Land Use Matters of Local Authority

8.9 Discussion and Direction on a Proposed Ordinance Modifying Banning Municipal Code Section 2.04.070 - Appointment of Mayor and Mayor Pro Tem

9. REPORTS OF OFFICERS

10. ITEMS FOR FUTURE AGENDAS

11. ADJOURNMENT
Recommendation: Adopt Resolution 2026-02UA
Recommendation: Approve Resolution No. 2026-104.

Recommendation: Adopt Resolution 2026-122
In light of the United States Supreme Court opinion in Lindke v. Freed (2024) 601 U.S. 187, it is recommended that the City of Banning adopt a Social Media policy that (1) clearly delineates between official social media accounts and personal accounts while discouraging hybrid accounts, and (2) establishes that all official social media accounts are intended to provide one-way informational communications only from the City to the public.

Recommendation: A the request of Mayor Richard Royce, adopt Council Resolution No. 26- 113 supporting the “Our Neighborhood Voices" Ballot Initiative.

Recommendation: Discussion and direction to staff on preparing a draft ordinance setting an annual rotation for Mayor and Mayor Pro Tempore

10.1 NEW ITEMS

10.2 EXISTING ITEMS

1. Streamline Procurement Policy (Flynn) August 2025

2. Sales Tax Agreement Update with Diamond Chevrolet (Flynn) December 2025

3. Maintenance and replacement of street signs. (Flynn) March 2026

4. Rename the Arthur Welch Community Center back to the National Guard Armory (Flynn) April 2026

5. Smoke Shop Moratorium (Miller) April 2026

6. Landscape Standards Review (Wallace) May 2026

7. Special Event Fee Schedule and Permit Process Review (Miller) May 2026

8. Review and discussion of the Censure Policy to ensure conformance with the City of Banning Manual of Procedural Guidelines and the Banning Municipal Code (Flynn) June 2026 Next Regular Meeting – September 8, 2026
Zoom Community Standards for Public Meetings
City Council - Regular Meeting Agenda
August 25, 2026
5 By participating in this meeting on Zoom, you are agreeing to abide by the City of Banning’s Community Standards for Public Meetings. Zoom attendees that fail to adhere to these standards may be removed from the meeting room.

Your microphone must remain on mute, and you may only unmute your microphone when/if you are recognized by the Mayor.

Your camera must be turned off unless/until you are recognized by the Mayor.

To indicate a desire to make Public Comment, you must use the Raise Hand function. The Mayor will not recognize those who have not used the Raise Hand function.

Public Comment from Zoom attendees will immediately follow in-person comment from members of the public in Council Chambers.

If you fail to adhere to these community guidelines, you may be removed for disrupting the meeting occurring in Council Chambers. You may rejoin the meeting but may be removed for each violation of these community standards.

The chat function will be disabled for all City Council meetings on Zoom.

Estándares comunitarios de Zoom para Reuniones Públicas Al participar en esta reunión en Zoom, usted acepta cumplir con los Estándares Comunitarios para Reuniones Públicas de la ciudad de Banning. Los que atienden por Zoom que no cumplan con estos estándares pueden ser retirados de la sala de reuniones.

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Si no cumple con estas pautas de la comunidad, es posible que lo destituyan por interrumpir la reunión que tiene lugar en las Cámaras del Consejo. Puede volver a unirse a la reunión, pero es posible que lo eliminen por cada violación de estos estándares de la comunidad.

La función de chat estará deshabilitada para todas las Reuniones del Ayuntamiento en Zoom.

AFFIDAVIT • DECLARACIÓN JURADA
IT IS HEREBY CERTIFIED under the laws of the State of California that the above agenda was posted on the City's website (www.banningca.gov) as well as the Bulletin Board at Banning City Hall, located at 99 E Ramsey Street, Banning, CA 92220, at least 72 hours in advance of the meeting.
_________________________
Vickie Sellers, Elected City Clerk
Secretaria Municipal Electa
City Council - Regular Meeting Agenda
August 25, 2026
6 PUBLIC NOTICE • NOTICIA PÚBLICA
Meeting Agendas and Notices
Interested in receiving email and/or text notifications of upcoming City Council meetings? Sign up for meeting notifications through the City's website. Pursuant to amended Government Code §54957.5(b), staff reports and other public records related to open session agenda items are available on the City's website (www.banningca.gov/).

Public Comment
Agenda Items
Any member of the public may address this meeting of the City Council on any item appearing on the agenda. A five-minute limitation shall apply to each member of the public and no member of the public shall be permitted to share their time with any other person.

Non-Agenda Items
Any member of the public may address this meeting of the City Council on any item which does not appear on the regular meeting agenda but is of interest to the general public and is an item upon which the City Council may act. A three-minute limitation shall apply to each member of the public and no member shall be permitted to share their time with any other person. No action shall be taken, nor discussion held by the City Council, on any item which does not appear on the agenda, unless the action is otherwise authorized in accordance with the provisions of subdivision (b) of §54954.2 of the Government Code.

Special Assistance/Accessibility Requests
In compliance with the Americans with Disabilities Act, any member of the public may request that the agenda and agenda packet be mailed to them. If you need special assistance to participate in this meeting (such as translation services), please contact the City Clerk's Office. Advanced notification of at least 48 hours prior to the meeting will allow the city to make arrangements to ensure your accessibility.
¿Necesita servicios de traducción para participar? Contacto Oficina del Secretario de la Ciudad.

CONTACT • CONTACTO
City Clerk's Office | 951-922-3102 | [email protected] 99 East Ramsey Street, Banning, California 92220
City Council - Regular Meeting Agenda
August 25, 2026
7 CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Sandra Calderon, Deputy City Clerk
Ralph Wright, Parks and Recreation Director
MEETING DATE: August 25, 2026
SUBJECT: 5.3.1. Banning Youth Council Appointments
STAFF RECOMMENDATION:

Appoint five applicants to the Banning Youth Council.

BACKGROUND:

The Banning Youth Council is as an advisory board to the City Council established under Chapter 2.42 of the Banning Municipal Code (BMC). The purpose of the Youth Council is to provide City youth with a vehicle to learn about government, participate in the process of city government, represent and articulate the needs of City youth, as well as advise the City Council on matters affecting the youth and teen population, especially City programs relating to youth and teens.

The Youth Council is composed of five (5) to nine (9) members who are appointed for two-year terms that can be
extended once. Currently five (5) positions are vacant due to graduation.

Today's applicants include:

Illiana Guichard
Xochitl Hernandez
Nathaly Spindola-Santos
Jayden Salgado
Daniel Garcia
Emma Pennington
JUSTIFICATION:

The City opened the application period for Youth Council appointments and publicly posted the vacancies on the City's website. The City Clerk's Office received six (6) applications, and all applicants meet the qualifications to serve.

FISCAL IMPACT:

No Fiscal Impact
ATTACHMENTS:

1. BYC Applications_Combined_Redacted.pdf

2. Banning__CA_Code_of_Ordinances.pdf
8 9
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18 19
20 2/13/24, 6:45 PM Banning, CA Code of Ordinances
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3. L.

1. 2.

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1. 2.

Chapter 2.42 - YOUTH COUNCIL

2.42.010 - Established—Purpose.

There is hereby established a youth council of the city. The youth council shall serve as an advisory board to the city council. The purpose of the youth council is to provide city youth with a vehicle to learn about government, participate in the process of city government, represent and articulate the needs of city youth, and advise the city council on matters affecting the youth and teen population, especially city programs relating to youth and teens. ( Ord. No. 1590 , § 2, 7-11-23)

2.42.020 - Duties and responsibilities.

The youth council shall have the following duties and responsibilities:

The youth council shall foster increased youth involvement in the affairs of city government.

The youth council shall study problems and hold forums on issues, activities, and concerns of city youth.

The youth council shall comment on existing or proposed legislation, ordinances, resolutions, and policies that impact city youth.

The youth council shall present methods to resolve youth-related conflicts between youths and between youths and adults.

The youth council shall recommend the implementation of community programs to improve the lives of youth.

The youth council shall monitor programs and policies that affect youth to ensure they are achieving the intended results.

The youth council shall work with other youth organizations in the city to collaborate on shared issues and interests.

The youth council shall submit to the city council an annual report of its activities prior to the end of the school year for the Banning unified school district.

The youth council shall utilize social networking sites and/or technology to engage and inform city youth of important city activities.

The youth council shall participate in an annual workshop that will introduce the members of the youth council to the city council meeting agenda process, a mock city council meeting, and the role of city officials.

At the first regular meeting following appointment of members, the youth council shall select a chairperson and vice-chairperson from among its members. The chairperson and vice-chairperson shall serve for one term.

The chairperson shall preside at the regular and special meetings of the youth council.

The chairperson shall serve as the youth council's liaison to the city council.

The vice-chairperson shall assume the duties of the chairperson in their absence.

The chairperson of the youth council shall attend the regular meetings of the city council and serve as a non-voting liaison to the city council. ( Ord. No. 1590 , § 2, 7-11-23)

2.42.030 - Qualifications; composition and compensation; appointment; term; vacancies.

Qualifications. Members of the youth council:

Shall be residents of the city;
Shall be high school students in the 9 , 10 , 11 , or 12 grades; and Shall demonstrate, in their application, a sincere interest and motivation to work for the community.

Composition and compensation. The youth council shall consist of nine members who shall not receive compensation.

Appointment. The city council shall appoint members of the youth council. Applications shall be made available and the closing date announced by July 1 of each year.

Term. Youth council members shall serve two-year terms. Members may be appointed for a subsequent one-year term, provided that no member shall serve more than three years. Youth council members shall serve at the pleasure of the city council and may be removed at any time by a majority vote of the entire council.

Vacancies.

Any member who is unexcused for two consecutive regular meetings of the youth council or six meetings within a twelve-month period, whether the six meetings are excused or not, will be deemed to have resigned their office and the city council shall appoint a new member to serve in the resigned youth council member's place for the remainder of their term. th th th th
21 2/13/24, 6:45 PM Banning, CA Code of Ordinances
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3. C.

To be excused from any such meeting, a member shall notify the staff liaison, at least forty-eight hours prior to any such meeting. If a member is unable to attend due to illness, injury, or family matters, a statement by the member at the next regular meeting of the youth council shall constitute an excused absence.
( Ord. No. 1590 , § 2, 7-11-23)

2.42.040 - Meeting times and place; conduct of meetings; rules of procedure; staff liaison.

Meeting times and place. The youth council shall meet on the third Tuesday of each month, except the months of July and December, at a regular time established by resolution of the youth council, at the City Council Chambers located at 99 E. Ramsey Street.

Conduct of meetings.

The youth council shall be subject to the Brown Act.

A quorum of the youth council shall consist of a majority of the members (including any vacancies). A quorum must be present in order for the youth council to hold a meeting.

A vote of the majority of members present constituting a quorum shall be required to constitute action taken by the youth council.

Rules of procedure. That certain "Manual of Procedural Guidelines for the Conduct of City Council and Constituent Body/Commission Meetings for the City of Banning" adopted on October 23, 2012, as may be amended from time to time (the "manual"), shall govern the conduct and procedures applicable to meetings of the youth council.

Staff liaison. The city manager shall designate the staff liaison to the youth council. The staff liaison to the youth council shall support the youth council in carrying out its purpose, duties, and responsibilities and provide facilities for meetings and other activities, as necessary. ( Ord. No. 1590 , § 2, 7-11-23)
22 CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Sandra Calderon, Deputy City Clerk
MEETING DATE: August 25, 2026
SUBJECT: Consideration and Approval of the following City Council Meeting Minutes:

Approve the Meeting Minutes of:

January 13, 2026
January 27, 2026
January 27, 2026 - Closed Session
February 5, 2026 - Closed Session
February 10, 2026
February 10, 2026 - Workshop
May 12, 2026
May 14, 2026 - Workshop
BACKGROUND:

After every meeting, the City Clerk's Office prepares meeting minutes. The City Council reviews and approves these minutes either as presented or with modifications.

JUSTIFICATION:

These minutes have been prepared as summary minutes in accordance with City Council Resolution 2025-22 and Government Code Section 36814, 4801, and 54953 (c)(2).

FISCAL IMPACT:

None
ATTACHMENTS:

1. 011326_CC Meeting Minutes.pdf

2. 012726_CC Meeting Minutes.pdf

3. 012726_CC Meeting Minutes_CS.pdf
23 4. 020526_CC Meeting Minutes_CS.pdf

5. 021026_CC Meeting Minutes.pdf

6. 021026_CC Meeting Minutes_WS.pdf

7. 051226_CCMinutes.pdf

8. 051426_CC Meeting Minutes_WS.pdf
24 MINUTES
CITY COUNCIL – REGULAR MEETING
JANUARY 13, 2026

1. CALL TO ORDER – 5:11 p.m.

1.1 ROLL CALL
COUNCIL MEMBERS PRESENT: Mayor Richard Royce
Mayor Pro Tem Cindy Barrington
Council Member Sheri Flynn
Council Member Leroy Miller
Council Member Colleen Wallace
COUNCIL MEMBERS ABSENT: None
OTHERS PRESENT: Phaedra Norton, Assistant City Attorney Art Vela, Interim City Manager
Robert Wright, Parks and Recreation Director
Vickie Sellers, City Clerk
Sandra Calderon, Deputy City Clerk

1.2 INVOCATION
Performed by Pastor Todd Oldenburg of Thrive Church

1.3 PLEDGE OF ALLEGIANCE
Mayor Royce led the Pledge of Allegiance.

Council Members held a moment of silence for Parks and Recreation Commissioner Steve Lapham, who passed over the holiday break.

2. AGENDA APPROVAL

2.1 AGENDA APPROVAL
MOTION
Council Member Wallace moved and Council Member Flynn seconded a motion to approve the agenda, amended to move Item 9.3 to be heard following Consent Items. The motion carried unanimously.

3. PRESENTATIONS
None.

4. REPORT ON CLOSED SESSION
Assistant City Attorney Norton stated there was no reportable action from Closed Session. 25 City of Banning
City Council Minutes
January 13, 2026 Regular Meeting
2 5. PUBLIC COMMENTS, CORRESPONDENCE, APPOINTMENTS, AND REPORTS

5.1 PUBLIC COMMENTS
Sue Savage discussed the upcoming public hearing regarding the Sunset Crossroads project and requested clarification as to whether the hearing would be for project consideration or project approval. She stated the Planning Commission had previously denied the project on three occasions due to concerns regarding heavy truck traffic on roads not designed for that level of use, increased traffic congestion, public safety, and air quality impacts. She stated the concern was not the project itself, but rather its proposed location. She asked whether the City Council had considered alternatives, such as a land exchange or relocation of the project.

Bill Hobbs acknowledged the passing of Steve Lapman, noting his service as Commanding Officer of the Banning American Legion, and stated he would be missed. Mr. Hobbs also discussed homelessness during the recent cold weather and expressed concern for unhoused individuals and their pets. He encouraged the City to address the issue through Animal Control and other available resources.

Oleg Ivaschuk, President of the Banning Chamber of Commerce, provided an update on Chamber activities. He introduced the Chamber's new Executive Director, Amy Pippenger, announced that the upcoming pancake breakfast had sold out, and thanked City Council Members who attended the Farm to Fork grand opening. He stated the Chamber's shared goal was to help the City thrive and prosper.

Oscar discussed Oracle's technology platform for local governments and described various features available to support City operations. He stated that if the City already owned the system, it should consider fully implementing and utilizing its available capabilities.

5.2 CORRESPONDENCE
Staff announced that two letters were received for Items 7.2 and 7.3 and would be read during the public hearings.

5.3 APPOINTMENTS
City Council Committee Assignments for 2026
Recommendation: Discuss and assign Council Members to serve on various committees to represent the City of Banning in the 2026 calendar year.

Mayor Royce presented the proposed City Council committee assignments for the 2026 calendar year.

During discussion of the City of Beaumont committee assignment, Council Member Flynn suggested appointing Mayor Pro Tem Barrington in place of Council Member Miller due to the ongoing coordination between the two agencies regarding the regional animal shelter. Council Member Miller agreed with the recommendation.

The City Council discussed the proposed committee assignments and reached consensus on the following appointments:

Western Riverside Council of Governments: Mayor Royce and Council Member Flynn Riverside Transit Agency: Council Members Miller and Wallace Riverside County Transportation Commission: Council Member Flynn and Mayor Pro Tem Barrington
26 City of Banning
City Council Minutes
January 13, 2026 Regular Meeting
3 NOW Committee: Mayor Pro Tem Barrington and Council Member Wallace Regional Conservation Authority: Council Members Wallace and Flynn San Gorgonio Pass River Alliance: Council Member Wallace and Mayor Royce Southern California Association of Governments: Council Members Wallace and Flynn Community Action Partnership: Mayor Royce and Council Member Miller League of California Cities: Mayor Royce and Council Member Miller Banning Unified School District: Council Member Miller and Mayor Royce Morongo Band of Mission Indians: Council Member Miller and Mayor Royce Mt. San Jacinto College: Mayor Pro Tem Barrington and Council Member Flynn San Gorgonio Memorial Hospital: Council Member Flynn and Mayor Pro Tem Barrington City of Beaumont: Council Member Flynn and Mayor Pro Tem Barrington Economic Development Committee: Mayor Royce and Council Member Miller Healthy Living Committee: Council Members Miller and Wallace Downtown Committee: Council Members Wallace and Flynn
Budget and Finance Committee: Mayor Royce and Mayor Pro Tem Barrington Homeless Advisory Committee: Mayor Royce and Mayor Pro Tem Barrington Cannabis Committee: Council Members Miller and Wallace
General Plan Committee: Mayor Pro Tem Barrington and Council Member Flynn Community Development Block Grant Committee: Council Member Miller and Mayor Royce Jail 2x2 Committee: Mayor Pro Tem Barrington and Council Member Miller MOTION
Council Member Wallace moved and Council Member Flynn seconded to approve the 2026 City Council committee assignments as presented. The motion carried unanimously.

5.4 CITY COUNCIL COMMITTEE REPORTS
Council Member Wallace reported on a meeting of the Riverside County Conservation Authority.

She discussed several projects reviewed by the Authority, including roadway widening improvements, auto mall developments, and other regional conservation projects.

Council Member Flynn reported on a Riverside County Transportation Commission meeting, where action was taken on the State Route 60/Potrero Avenue Interchange Phase II project and the Pennsylvania Avenue Grade Separation Agreement with the City of Beaumont. She also attended a Western Riverside Council of Governments strategic planning session. Council Member Flynn stated she would be attending the upcoming Riverside County Transportation Commission meeting and League of California Cities Mayors and Council Members Academy. She also announced the Sunset Crossroads public hearing would be held on January 28 at 5:00 p.m.

Mayor Royce reported he had not attended any committee meetings since the previous City Council meeting. He stated he recently held a Town Hall regarding utility billing and would also be attending the upcoming League of California Cities Mayors and Council Members Academy.

Mayor Pro Tem Barrington reported on a Homeless Ad Hoc Committee meeting regarding next steps following the closure of Opportunity Village. She stated the City was awaiting the appointment of a Homeless Services Coordinator, who would work with collaborative partners and nonprofit organizations to coordinate homeless services. Mayor Pro Tem Barrington also reported that she and Mayor Royce met with representatives of Gilman Historic Ranch and Wagon Museum to receive an update on Riverside County's plans to rehabilitate the property. She also attended the Farm to Fork grand opening.

Council Member Miller reported on a Riverside Transit Agency meeting, during which the Board elected a new Chair and Vice Chair. He also attended the State of the County event and the Shop with a Cop program, where he commended the Banning Police Department and Walmart for their support of the event. Council Member Miller stated he would also be attending the upcoming 27 City of Banning
City Council Minutes
January 13, 2026 Regular Meeting
4 League of California Cities Mayors and Council Members Academy.

5.5 ANNOUNCEMENTS OF CITY COUNCIL MEMBERS

5.6 CITY TREASURER’S REPORT
Sue Savage, City Treasurer, stated she was not the only person concerned about the City's financial condition. She reported that the City's electric utility revenue bonds had recently been downgraded by Standard & Poor's for the second time within approximately 18 months. She stated the City's Fiscal Year 2024-2025 audit had not yet been completed and noted that Banning's poverty rate was approximately 19 percent. She also compared the City's electric utility rates to those charged by Southern California Edison.

City Treasurer Savage discussed the purpose of bond ratings and stated they reflect a rating agency's assessment of an issuer's ability to meet its financial obligations. She stated the recent bond rating downgrade was not a crisis or a failure but rather a warning that required attention.

She stated the rating agency cited concerns including a potential rate covenant violation, deteriorating quality of financial information, and a lack of clarity regarding the City's Fiscal Year 2025 financial position. She stated the downgrade did not indicate that funds were missing or that City services were currently at risk, but rather that the City's financial information had not been provided in a sufficiently timely or transparent manner.

City Treasurer Savage stated she would like to work collaboratively with City staff to develop a plan to address the identified concerns and provide regular updates to the City Council. She discussed potential consequences of a rate covenant violation, including waiver requests, increased interest rates, additional collateral requirements, or acceleration of outstanding debt obligations. She noted the outstanding balance of the affected bonds was approximately $19,410,000 and stated addressing the issue should be the City's highest financial priority.

City Treasurer Savage also discussed year-over-year financial comparisons and stated revised financial information reflected an approximate $15 million decrease in cash balances, leaving approximately $50,840,000 on hand. She stated she had reviewed the City's bank statements and summarized balances within various City funds and bond accounts.

5.6 CITY MANAGER'S REPORT
Art Vela, Interim City Manager, stated the City had previously evaluated an Oracle software suite but ultimately decided not to move forward with its implementation. He stated staff was currently focused on resolving utility billing issues and that, once completed, the City could evaluate upgrades to its legacy software system.

Mr. Vela stated the City Council had recently approved a contract to complete an assessment of the City's animal control facility and that the project was underway. He reported that the Morongo Band of Mission Indians had expressed interest in participating in the project and had contributed approximately one-half of the cost of the assessment.

Mr. Vela acknowledged the City's ongoing financial challenges and stated staff was continuing efforts to bring the City's financial records current. He stated the recent bond rating downgrade was anticipated and explained that the City experienced a significant turnover within the Finance Department while the Fiscal Year 2024 audit was being prepared. He stated consultants had assisted in completing the audit and that it would be presented to the City Council at the next regular meeting. He also stated there was a correlation between the City's reported cash balances and the utility billing issues.

Mr. Vela reported that all residents of Opportunity Village had been successfully relocated prior to the facility's closure. He also announced the upcoming Bulky Item Collection Day, scheduled for 28 City of Banning
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5 Saturday, January 17, at Dysart Park. He stated the City's community cleanup events had contributed to a reduction in illegal dumping throughout the City.

Ralph Wright, Parks and Recreation Director, announced that the free produce distribution sponsored by the Riverside County Fifth District Supervisor would be held on Thursday morning.

He stated the event had been moved to the third Thursday of the month due to the New Year's holiday and that residents could register in advance or onsite.

5.7 CITY ATTORNEY'S REPORT
Assistant City Attorney Norton stated her office, along with staff, provided training to the Planning Commission recently and had another training coming up in February. She read portions of the Rules of Decorum and Procedural Guidelines for the City of Banning.

6. CONSENT ITEMS

6.1 Consideration and Approval of the meeting minutes of the May 13, 2025, May 14, 2025, May 22, 2025, Regular meeting of November 12, 2025, and the Closed Session and Workshop of the November 9, 2025, City Council meetings.

Recommendation: Approve the meeting minutes of the Consideration and Approval of the meeting minutes of the May 13, 2025, May 14, 2025, May 22, 2025, Regular meeting of November 12, 2025, and the Closed Session and Workshop of the November 9, 2025, City Council meetings.

6.2 Accept as Complete Various Improvements Related to the Atwell Specific Plan Development and Authorize the 90% Reduction of the Improvement Bonds
Recommendation: City Council accept as complete various improvements related to the Atwell Specific Plan Development and authorize the 90% reductions in the improvements bonds.

6.3 Public Works Capital Improvement Project Tracking List Recommendation: Receive and file.

6.4 Consideration of Second Reading and Adoption of Ordinance 1614, Repealing and Replacing Chapter 12.32
Recommendation: Approve second reading and Adoption of Ordinance 1614.

6.5 Consideration of Resolution 2026-01 UA Approving the Fourth Amendment to the Professional Services Agreement with Falen Law Offices, LLC for Legal Services related to the Transfer of the San Gorgonio Flume System Increasing the Agreement Amount by $250,000 and to Ratify $150,000 issued on July 2025
Recommendation: Adopt Resolution 2026-01 UA.

6.6 Consideration of Resolution 2026-01, Awarding a Professional Services Agreement to Carollo Engineers, Inc. in the amount of $150,000 to perform On-Call Water/Wastewater Hydraulic Feasibility Studies.

Recommendation: Adopt Resolution 2026-01.

6.7 Consideration of Resolution 2026-02, Approving a Western Systems Power Pool Confirmation Letter Agreement with the City of Vernon for the Purchase of Thirteen Megawatts of Local / Flexible Resource Adequacy Capacity for Calendar Years 2027 through 2029 at a Cost of $8.25 per Kilowatt-month, or $1,287,000 Per Year.

Recommendation: Approve Resolution 2026-02.

6.8 Consider Resolution 2026-05 to Quitclaim City Property to the Riverside County Flood Control and Water Conservation District and to accept property to be Quitclaimed by the Riverside County Flood Control and Water Conservation District along Pershing Channel (Highland Home Road) in 29 City of Banning
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6 the vicinity of Wilson Street
Recommendation: Adopt Resolution 2026-05.

6.9 Consideration of Resolution 2026-06, Amending the Classification and Compensation Plan, Position Reclassification (Senior Planner)
Recommendation: Adopt Resolution 2026-06.

6.10 Consideration of Resolution 2026-08, Amending the Classification and Compensation Plan, Adding a Homeless Services Coordinator
Recommendation: Adopt Resolution 2026-08.

6.11 Consideration of Resolution 2026-10, Accepting a donation from Sun Lakes Country Club HOA Bingo Program in the amount of $1,500
Recommendation: Adopt Resolution 2026-10.

6.12 Consideration of Resolution 2026-11, Approving Final Parcel Map 38367 and Release the Map for Recordation
Recommendation: Adopt Resolution 2026-11.

6.13 Consideration of Resolution 2026-12, Award of a Professional Services Contract to Jacob Green and Associates to conduct an Organizational Assessment for the Banning Police Department in the amount of $48,000.00
Recommendation: Adopt Resolution 2026-12.

6.14 Consideration of Resolution 2026-13, Awarding a Construction Contract for Project No. 2020-04 Sun Lakes Boulevard Extension Project, to Riverside Construction Company, Inc. in the amount of $20,996,793.50 and approving a 10% contingency for a total budget of “Not-to-Exceed” $23,096,472.85
Recommendation: Adopt Resolution 2026-13.

6.15 Consideration of Resolution 2026-14, to Authorize the City Manager to Execute Amendment No. 2 to Cooperative Agreement Between Riverside County Transportation Commission, City of Banning and City of Beaumont for the Management of the I-10/Highland Springs Avenue Interchange Project Study Report and to Include Project Approval and Environmental Document (PA/ED) Phase
Recommendation: Approve Resolution 2026-14.

Council Member Flynn stated she wanted to pull Items 6.11, 6.13, 6.14, and 6.15.

MOTION
Council Member Wallace moved and Council Member Miller seconded a motion to approve Items 6.1-6.10 and Item 6.12. The motion carried unanimously.

6.11 Consideration of Resolution 2026-10, Accepting a donation from Sun Lakes Country Club HOA Bingo Program in the amount of $1,500
Recommendation: Adopt Resolution 2026-10.

Council Member Flynn stated she pulled this item to thank Sun Lakes for their donation.

MOTION
Council Member Flynn moved and Council Member Miller seconded a motion to adopt Resolution No. 2026-10. The motion carried unanimously. 30 City of Banning
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7 6.13 Consideration of Resolution 2026-12, Award of a Professional Services Contract to Jacob Green and Associates to conduct an Organizational Assessment for the Banning Police Department in the amount of $48,000.00
Recommendation: Adopt Resolution 2026-12.

In response to Council Member Flynn, Mr. Vela discussed the organizational assessment and stated its purpose was to provide department leadership with strategies to improve organizational culture and address issues, whether real or perceived, to strengthen the department overall. He stated organizational assessments of this nature were common.

MOTION
Council Member Wallace moved and Council Member Flynn seconded a motion to adopt Resolution No. 2026-12. The motion carried unanimously.

6.14 Consideration of Resolution 2026-13, Awarding a Construction Contract for Project No. 2020-04 Sun Lakes Boulevard Extension Project, to Riverside Construction Company, Inc. in the amount of $20,996,793.50 and approving a 10% contingency for a total budget of “Not-toExceed” $23,096,472.85 Recommendation: Adopt Resolution 2026-13.

Council Member Flynn stated previous cost estimates for the project were significantly higher and would have required the City to contribute approximately $2 million. She stated she was pleased the City would be able to complete the project at a substantially lower local cost.

Nate Smith, Deputy Director of Public Works, presented the staff report. He reviewed the history and details of the project and stated staff was recommending budgeting the project through the City's Measure A Fund, with a corresponding amount recognized as grant revenue to the fund. He stated the total project cost was approximately $2.6 million less than the maximum grant award, resulting in no net budget impact to the City. Mr. Smith also recommended amending Section 1 of the proposed resolution to authorize the City Manager, or designee, to make necessary budget adjustments in accordance with the project plan. He stated the project was fully funded as a stand-alone City project and was not dependent on any other development project.

MOTION
Council Member Flynn moved and Mayor Pro Tem Barrington seconded a motion to adopt Resolution No. 2026-13, as amended by staff. The motion carried unanimously.

In response to Council Member Flynn, Mr. Smith discussed the status of the project. He reviewed the four phases of a typical construction project and stated the project was currently in the environmental review phase. He discussed challenges encountered during the environmental review process with Caltrans and stated a solution had been agreed upon by all parties. He stated funding had been secured through the Western Riverside Council of Governments to complete the current phase, with additional funding available for the next phase. He stated staff would begin pursuing funding for the construction phase and estimated the project would take approximately four to five years to complete. 31 City of Banning
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8 MOTION
Council Member Flynn moved and Council Member Miller seconded a motion to adopt Resolution No. 2026-14. The motion carried unanimously.

RECESS
At 6:34 p.m., the City Council recessed. The meeting reconvened at 6:49 p.m. with all Council Members present.

Mayor Royce called Item 9.3 per the reorder upon approval of the agenda.

9.3 Discuss the City of Banning's Current Utility Billing Payment Plan Policies Recommendation: That City Council consider the current utility billing payment plan structure and possible alternatives to payment plans with consideration of the City's recent utility billing challenges.

Interim City Manager Vela presented the staff report and provided an update on the City's utility billing system. He stated staff anticipated mailing the November and December utility bills by the end of January and expected billing to be current beginning in February. He stated the customer portal and credit card payment options remained available, but automatic payments would remain suspended until an issue with the system was resolved. He reviewed the City's current utility payment policies, including payment extensions, amortization, alternative payment schedules, payment reductions, Proposition 218 requirements, discontinuation of service, and exceptions for qualifying financial and medical circumstances. He stated staff was seeking City Council direction regarding revisions to the payment policy.

In response to Council Member Wallace, Mr. Vela stated payments made by customers were being properly credited to accounts, but because bills included new charges before some payments were reflected, it could appear that payments had not been applied. He stated customers could request a payment and billing history. In response to Mayor Royce, Mr. Vela stated the City would normally charge copy fees pursuant to the User Fee Schedule but would waive those fees until the billing issues were resolved.

In response to Council Member Flynn, Mr. Vela stated the City maintained approximately 13,000 utility accounts. He stated staff was evaluating whether payment history reports could be made available through the customer portal. He acknowledged staff had received a significant volume of calls and emails regarding utility billing concerns and stated the complaints regarding responsiveness were understandable given the circumstances. He stated staff was considering creating a dedicated email address for utility billing inquiries.

Mr. Vela explained the City's utility billing software was implemented in November 2024. He stated billing was subsequently suspended and the City transitioned back to its legacy system in April 2025, resulting in customers receiving bills reflecting approximately six months of charges. Mayor Pro Tem Barrington stated many residents remained confused regarding the billing statements, particularly the balance forward, current charges, and total amount due. Mr. Vela stated this had been one of the most common questions received and explained the timing differences between bill generation and customer payments. Mayor Pro Tem Barrington requested additional public outreach explaining how to read the bills.

Council Member Miller stated he had received similar concerns from constituents and questioned how the City would improve communication moving forward. Mr. Vela stated staff anticipated being current with billing by February and would then focus on revising the payment plan policy. He also stated staff intended to continue using the current software while implementing upgrades to improve its functionality. Council Member Miller suggested preparing a sample utility bill identifying where customers could locate the correct account balances. 32 City of Banning
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9 In response to Council Member Flynn, Mr. Vela stated payment plans would apply to the balance outstanding at the time a customer entered into the agreement. He discussed how payment plans would be administered and stated staff was evaluating methods to display payment plan balances separately from current utility charges on future bills.

Frank Connolly stated the City should not waive credit card convenience fees because of the associated cost to the City. He suggested all payment plans should extend for 12 months and stated a 10 percent deposit may not be feasible for some customers. He also encouraged residents to retain payment receipts and noted that obtaining a payment history from City staff was a simple process. Mr. Connolly also expressed concern regarding the condition of his water meter.

Kathy Aranda thanked staff for explaining the utility billing issues and expressed appreciation for the City's efforts to assist residents. She also thanked Mayor Royce for hosting a utility billing Town Hall meeting. Ms. Aranda encouraged the City to establish measurable benchmarks for resolving the billing issues, communicate progress regularly, explain the evaluation process for future software improvements, and consider the use of a third-party utility billing administrator.

Ms. Goodwin stated her monthly utility bills had increased significantly despite living in a two-person household. She stated staff had inspected her water meter and she was unaware of any leaks.

She also stated her review of previous bills indicated some payments had not been reflected and expressed concern that automatic payments continued to be processed despite being advised they had been suspended.

In response to Mayor Royce, Mr. Vela stated approximately 10 percent of the City's water meters were tested each year. He explained that while meters could occasionally vary slightly in accuracy, the differences were generally not significant enough to account for substantial billing increases.

He reviewed the City's meter testing process, leak indicators, and common causes of high water usage, noting outdoor irrigation was frequently the largest contributor. He also stated the last water rate increase occurred in January and another increase was scheduled for January 1.

Mayor Royce discussed the importance of evaluating the City's utility billing system comprehensively to avoid repeating previous issues. Mr. Vela stated the current billing software version was no longer supported and staff intended to upgrade the existing system before evaluating long-term software options.

In response to Council Member Flynn, Mr. Vela stated the billing software had the capability to identify unusual account activity through exception reports, although staff was still evaluating the system's capabilities.

Mayor Royce and Council Member Flynn noted the current policy referenced customer attendance during meter testing. Mr. Vela explained the City's current practices differed from the written policy and agreed the policy should be updated for clarity.

The City Council discussed revisions to the proposed payment plan policy. Council Members discussed payment plan durations, required deposits, credit card convenience fees, late fees, discontinuation of service, and the length of the utility billing grace period. Mayor Pro Tem Barrington also requested additional outreach regarding the City's low-income utility assistance programs.

By consensus, the City Council directed staff to implement a three-month grace period following the date the City became current with utility billing, during which no late fees or utility service discontinuations would occur.

By consensus, the City Council directed staff to establish payment plans of up to 6 months with a 33 City of Banning
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10 5 percent deposit and up to 12 months with a 10 percent deposit.

By consensus, the City Council directed staff to waive credit card convenience fees during the grace period and reinstate those fees following the expiration of the grace period.

By consensus, the City Council directed staff to resume the assessment of late fees following the expiration of the grace period or upon default of an approved payment plan, as applicable.

Interim City Manager Vela stated he would return with a resolution at an upcoming meeting formalizing these temporary revisions to the Utility Payment Plan Policy.

RECESS
At 8:11 p.m., the City Council recessed. The meeting reconvened at 8:30 p.m. with all Council Members present.

7. PUBLIC HEARINGS

7.1 Introduction and First Reading of Ordinance No. 1615, A Zone Text Amendment to Banning Municipal Code Title 17, Chapter 17.88, Section 17.88.020 (Non-Conforming Structures and Uses)
Recommendation: Waive full reading, direct the City Clerk to read the ordinance by title only, and introduce Ordinance No. 1615, entitled: An Ordinance of the City Council of the City of Banning, California, amending Section 17.88.020 of Chapter 17.88 (Non-Conforming Structures and NonConforming Uses) of Title 17 (Zoning) of the Banning Municipal Code to provide greater flexibility for the repair and reconstruction of legally established non-conforming residential structures.

Mary Yaryan, Associate Planner, presented the staff report. She stated the proposed ordinance was prompted by a residential structure lost in a fire and reviewed the City's current regulations governing reconstruction of fire-damaged nonconforming structures. She stated the proposed amendment would allow legally established nonconforming residential structures destroyed by fire to be reconstructed to their original size regardless of current zoning standards and would eliminate the existing two-year reconstruction deadline. She stated the proposed amendments were consistent with Housing Element Goal 1 to preserve the City's existing housing stock.

Ms. Yaryan stated the Planning Commission directed staff on August 6, 2025 to initiate a Zoning Text Amendment. She further stated that following a public hearing on November 17, 2025, the Planning Commission voted 4-0 to recommend City Council approval of the proposed ordinance.

She recommended the City Council introduce the ordinance and waive further reading, with second reading and adoption scheduled for the next regular meeting.

Mayor Pro Tem Barrington thanked staff for bringing the ordinance forward and stated it would allow the affected property owner to finally rebuild after more than two years.

Mayor Royce opened the public hearing.

Stephen Beers stated he appreciated the City Council's efforts to bring the ordinance forward so he could rebuild his home. He shared that his family had been displaced following the fire and described the hardships they had experienced while waiting for the opportunity to rebuild.

Mayor Royce closed the public hearing.

In response to Council Member Miller, Ms. Yaryan confirmed the ordinance would return to the City Council as a consent item for second reading and adoption at the next regular meeting.

City Clerk Sellers read the title of the ordinance.
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11 MOTION
Council Member Wallace moved and Mayor Pro Tem Barrington seconded to introduce Ordinance No. 1615, entitled: An Ordinance of the City Council of the City of Banning, California, amending Section 17.88.020 of Chapter 17.88 (Non-Conforming Structures and Non-Conforming Uses) of Title 17 (Zoning) of the Banning Municipal Code to provide greater flexibility for the repair and reconstruction of legally established non-conforming residential structures. The motion carried unanimously.

7.2 Consideration of Resolution 2026-03, Approving a Tentative Tract Map Application (Case No.

TTM 39259/PTM25-0004), submitted by Tri Pointe Homes to Subdivide 15 Parcels Totaling 160.02 Acres into 544 Single-Family Residential Lots and 36 Condominium Lots (for 248 Duplex Condominium Units) Located at the Northwest Corner of Highland Home Road and the Southern California Edison Corridor.

Recommendation: Adopt Resolution 2026-03.

Mark Staples, Planning Manager, presented the staff report. He described the project submitted by Tri Pointe Homes, consisting of 544 single-family residential lots, 36 condominium lots containing 248 attached condominium units, a 1.03-acre neighborhood park, a 5.62-acre community park, and associated lettered lots within the Atwell Development and Butterfield Specific Plan area. He presented maps of the project site and discussed surrounding land use designations. He stated the proposal included a density increase within Planning Area 49A and noted the overall Butterfield Specific Plan remained below its previously approved maximum residential unit count. He reviewed the planning areas, secondary access roads, and design review approval previously granted by the Planning Commission for the condominium product. He also presented architectural renderings of the proposed condominium models, discussed the required findings under the Subdivision Map Act and environmental determinations, and recommended approval of the tentative tract map.

In response to Council Member Wallace, Mr. Staples stated the development would include two parks.

In response to Council Member Flynn, Mr. Staples discussed the proposed housing product types and their respective sizes.

In response to Mayor Pro Tem Barrington and Council Member Flynn, the applicant stated the condominium units were intended to provide a more affordable housing option, with anticipated sales prices beginning in the low $400,000 range. He stated detached single-family homes were expected to be approximately $20,000 to $50,000 higher, depending on the model. He explained each unit would be individually sold and stated he would review the project's Covenants, Conditions and Restrictions (CC&Rs) regarding limitations on rental units. Council Member Flynn expressed support for a one-year owner-occupancy requirement and stated she was concerned there could be a large number of rental properties within the Atwell community.

Mayor Royce stated he had concerns regarding several of the required findings and requested additional background regarding previous litigation involving the project and how the current proposal reflected those settlement terms.

In response to Council Member Miller, Mr. Staples stated the development would be part of the overall Atwell Homeowners Association. He also clarified that the duplex product consisted of individually owned attached homes rather than two-unit rental buildings.

Mayor Royce opened the public hearing.

Frank Connolly questioned provisions within the project's CC&Rs regarding rental restrictions. 35 City of Banning
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12 Hayley Uno, a law clerk speaking on behalf of SAFER, urged the City Council to deny the project or require additional environmental review. She stated the project improperly relied on the 2011 Butterfield Specific Plan Environmental Impact Report and argued that supplemental environmental review should be prepared to address biological resources, wildlife impacts, traffic mortality, bird collisions, air quality, greenhouse gas emissions, and other issues. She also requested consideration of additional mitigation measures, including bird-safe building materials and native landscaping.

Mr. Staples stated staff had received SAFER's comment letter earlier that afternoon. He explained the 2011 Environmental Impact Report evaluated development of approximately 5,300 residential units and noted that the overall project had since been reduced pursuant to previous litigation.

Mayor Royce suggested continuing the item to allow adequate time to review the recently submitted letter.

Michael Titus, representing Tri Pointe Homes, stated the letter raised issues that had already been addressed through previous environmental review and litigation. He stated greenhouse gas impacts had been analyzed through a subsequent Environmental Impact Report addendum and numerous mitigation measures had already been incorporated into the project. He also discussed biological resource protections, required permits from regulatory agencies, and previous grading activities completed within the project area. He stated the concerns raised in the comment letter could have been addressed earlier in the process and requested the City Council proceed with approval.

Mayor Royce stated that, independent of the comment letter, he remained concerned about cumulative traffic impacts associated with continued development within the Atwell project.

In response to Mayor Royce, Michael Heishman stated the Environmental Impact Report evaluated the entire Butterfield Specific Plan rather than each individual subdivision and reiterated the various modifications incorporated through prior litigation. He reviewed provisions of the prior settlement agreement, including elimination of the proposed gas station, preservation measures related to the Veterans Tree, installation of electric vehicle charging infrastructure, dedication of additional open space, and elimination of the Brookside Avenue connection.

In response to Mayor Pro Tem Barrington, Mr. Heishman discussed the Veterans Tree and stated staff was working with the City's engineering staff to determine whether it could be preserved, although the settlement agreement contemplated its removal.

Mayor Royce closed the public hearing.

Council Member Flynn stated she was familiar with the law firm representing SAFER from other development projects and expressed concern regarding the timing of the submitted letter. She reiterated her interest in requiring an owner-occupancy condition to limit investor-owned rental properties.

Assistant City Attorney Norton stated she believed an owner-occupancy requirement may be legally permissible but recommended additional legal research before the City Council acted. She also stated the SAFER letter had become part of the administrative record and, although there had been insufficient time for staff to fully evaluate its contents, staff should review the issues raised before a final decision was made. She further advised that if the item were continued, the public hearing would not need to be reopened unless new evidence was presented.

MOTION
Council Member Miller moved and Mayor Royce seconded to continue the item to the next regular meeting to allow legal counsel to review the recently submitted comment letter and research the 36 City of Banning
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13 proposed owner-occupancy condition. The motion carried unanimously.

7.3 Consideration of Resolution 2026-04, Approving a Tentative Tract Map Application (Case No.

TTM 39262/PTM25-0005), submitted by Tri Pointe Homes to Subdivide 6 Parcels Totaling 68.74 Acres into 193 Single-Family Residential Lots, Located at the Northeast Corner of Highland Home Road and the Southern California Edison Corridor
Recommendation: Adopt Resolution 2026-04.

Mark Staples, Planning Manager, presented the staff report. He described the project submitted by Tri Pointe Homes, consisting of 193 single-family residential lots within the Atwell Development and Butterfield Specific Plan area. He presented project maps and site plans identifying the location of the development and discussed the primary roadway network and access roads. He stated the applicant was still evaluating whether the neighborhood would be developed as a gated, agerestricted community for residents 55 years of age and older. He stated staff was working with Public Works to modify access points to ensure adequate emergency vehicle access and that all streets were designed in accordance with City standards. He stated the Design Review application was ready for approval pending approval of the tentative tract map. He presented the proposed landscape plans and architectural elevations. Mr. Staples discussed the required findings under the Subdivision Map Act and stated the findings were included in the proposed resolution. He recommended the City Council adopt the resolution, as amended to incorporate the applicant's most recently submitted plans and add Condition of Approval PW.Street.24 to allow local residential streets to be accepted as private streets.

In response to Council Member Flynn, Mr. Staples stated designation of the project as an agerestricted community would be at the applicant's discretion and would not require any assistance or incentives from the City. He stated the designation would simply be incorporated as a condition of approval.

Mayor Royce opened the public hearing.

Hayley Uno, speaking on behalf of SAFER, reiterated the comments presented during the previous agenda item. She stated SAFER would have preferred to submit its comments earlier.

Mayor Royce closed the public hearing.

Mayor Royce stated he had the same concerns regarding the project as those expressed during the previous agenda item.

In response to Council Member Miller, the applicant, Mr. Heishman, stated the project was being evaluated as either a gated, age-restricted community or a conventional residential neighborhood.

He stated if developed as a gated community, the private streets would be maintained through the Community Facilities District, while a non-gated project would include public streets maintained by the City. He stated the final decision would be made before construction commenced. Mr.

Heishman also stated the active adult community was permitted under the Butterfield Specific Plan and would provide an additional marketing opportunity. He further stated the required fire access and turnaround areas had been incorporated into the engineering plans.

Council Member Flynn stated she supported the project and hoped the applicant proceeded with the age-restricted community because it would encourage more long-term residents.

Mayor Royce stated the project should not be viewed independently of the previous agenda item because both developments contributed to the overall number of residential units within the Atwell Development.

In response to Council Member Flynn, Mr. Heishman stated the property was already designated 37 City of Banning
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14 for single-family residential development and the proposed project would not increase the approved residential density, unlike the previous project. He stated the project remained consistent with the approved low- to medium-density residential land use designation.

MOTION
Council Member Flynn moved and Council Member Wallace seconded to adopt the resolution, as amended by staff. The motion carried unanimously.

8. REPORTS OF OFFICERS
None.

9. DISCUSSION ITEMS

9.1 Consideration of Resolution 2026-07, Authorizing the Appointment of Retired Annuitant Kenneth Louie as Interim Finance Director
Recommendation: Adopt Resolution 2026-07.

Lisa Rossi, Administrative Services Director, presented the staff report. She stated Mr. Louie would come in as the Interim Finance Director and that they had another retired annuitant, Bonnie Johnson, who would be staying on to handle special projects for the Finance Department.

MOTION
Council Member Wallace moved and Mayor Royce seconded to adopt Resolution 2026-07. The motion carried unanimously.

9.2 Evaluation of current City of Banning Planning Commissioners pursuant to Banning Municipal Code Section 2.28.020(C) and Section 6.4 (C) of the Manual of Procedural Guidelines for the Conduct of City Council and Constituent Body/Commission Meetings for the City of Banning Recommendation: This item is being presented to the full City Council for the consideration and evaluation of all current City of Banning Planning Commissioners, in accordance with Banning Municipal Code (BMC) Section 2.28.020(C) and Section 6.4(C) of the Manual of Procedural Guidelines for the Conduct of City Council and Commission Meetings.

Interim City Manager Vela stated the item had been placed on the agenda at the request of Council Member Flynn.

Mayor Royce stated he recently attended a Planning Commission meeting and expressed concern regarding comments made by a Planning Commissioner. He stated he wished to consider removal of the Commissioner pursuant to the City's procedures.

Frank Connolly stated he was a former Planning Commissioner. He stated he agreed with Mayor Royce's concerns regarding the Commissioner's comments and believed another individual could better serve on the Planning Commission.

Council Member Flynn stated she watched the Planning Commission meeting and was concerned by comments made by the same Commissioner. She stated the comments were directed toward a neighborhood within the city and believed they were inappropriate.

Council Member Miller stated he reviewed the Planning Commission meeting and believed the matter was being overstated. He stated he was concerned that removing Commissioners based on a single comment could discourage future volunteers from serving on City commissions. He also noted the Planning Commission had recently received training from the City Attorney's Office and believed Commissioners should be given the opportunity to apply that training. 38 City of Banning
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15 Mayor Royce stated the Banning Municipal Code authorized the City Council to remove a Commissioner for cause and that the determination rested with the City Council.

Assistant City Attorney Norton stated the determination of whether cause existed for removal was a subjective decision for the City Council as the appointing authority.

MOTION
Council Member Flynn moved and Mayor Pro Tem Barrington seconded to remove Nathaniel Rodriguez from the Planning Commission. The motion carried 3-2, Council Members Miller and Wallace dissenting.

MOTION
Council Member Wallace moved and Council Member Miller seconded a motion to remove Jerry Phelps from the Planning Commission. The motion failed 2-3, Council Member Flynn, Mayor Pro Tem Barrington, and Mayor Royce dissenting.

MOTION
Council Member Miller moved and Council Member Wallace seconded a motion to remove Chris Castorena from the Planning Commission. The motion failed 2-3, Council Member Flynn, Mayor Pro Tem Barrington, and Mayor Royce dissenting.

10. ANNOUNCEMENTS FROM CITY COUNCIL MEMBERS
Council Member Wallace stated she would be holding a town hall meeting on January 21 at Roosevelt Williams Park with Art Vela as her guest as well as an attorney who would discuss estate planning and wills.

Council Member Miller stated he would hold a town hall that Friday at the Banning Community Center also with Art Aela regarding utility billing. He announced that Council Member Wallace had been selected as an honoree of the Black Chamber of Palm Springs honorary dinner to be held on February

7. ITEMS FOR FUTURE AGENDAS

11.1 NEW ITEMS

1. Revise Manual of Procedural Guidelines, Article 10.3 (c) (Flynn) December 2025

2. Sales Tax Agreement Update with Diamond Chevrolet (Flynn) December 2025

3. Cannabis Warehouse Moratorium (New Facilities Only) (Barrington) December 2025

11.2 EXISTING ITEMS

1. Emergency Preparedness (Barrington) January 2025

2. Review and Update Council Travel Policy (Flynn) May 2025

3. Streamline Procurement Policy (Flynn) August 2025

4. Community Garden, Sun Lakes (Flynn) September 2025

5.Update (anti-camping) Ordinance 1603 (Flynn) October 2025

12. ADJOURNMENT
MOTION
Council Member Flynn moved and Mayor Royce seconded a motion to adjourn.

The question was called and the motion carried unanimously. 39 City of Banning
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January 13, 2026 Regular Meeting
16 The meeting adjourned at 9:59 p.m.

Minutes prepared by:

Sandra B. Calderon
Deputy City Clerk
These minutes have been prepared as Summary Minutes in accordance with City Council Resolution 2025-22 and Government Code Sections 36814, 40801, and 54953(c)(2).

The entire discussion of this meeting may be viewed here:
https://banningca.granicus.com/player/clip/277?view_id=1&redirect=true 40 MINUTES
CITY COUNCIL – REGULAR MEETING
JANUARY 27, 2026

1. CALL TO ORDER – 5:32 p.m.

1.1 ROLL CALL
COUNCIL MEMBERS PRESENT: Mayor Richard Royce
Mayor Pro Tem Cindy Barrington
Council Member Sheri Flynn
Council Member Leroy Miller
Council Member Colleen Wallace
COUNCIL MEMBERS ABSENT: None
OTHERS PRESENT: John Pinkney, City Attorney
Art Vela, Interim City Manager
Robert Wright, Parks and Recreation Director
Nate Smith, Deputy Director of Public Works
Bonnie Johnson, Interim Finance Director
Fred Lynn, Deputy Director of Electric Utility
Mark Staples, Planning Manager
Vickie Sellers, City Clerk
Sandra Calderon, Deputy City Clerk

1.2 INVOCATION
Performed by Pastor Preston Norman from Praise Tabernacle Church

1.3 PLEDGE OF ALLEGIANCE
Council Member Wallace led the Pledge of Allegiance.

2. AGENDA APPROVAL

2.1 AGENDA APPROVAL
MOTION
Council Member Miller moved and Council Member Wallace seconded a motion to approve the agenda, amended to move Item 9.2 to be heard following Report on Closed Session.

The motion carried unanimously.

3. PRESENTATIONS

3.1 Proclamation - Youth in Government Day
Recommendation: Proclaim January 29, 2026, as Youth in Government Day.

Mayor Royce presented the Proclamation to Robert Wright, Parks and Recreation Director. 41 City of Banning
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January 27, 2026 Regular Meeting
2 Joe Matthews, Youth Commission Coordinator for Riverside County, discussed the Riverside County Youth Commission and explained how Youth in Government Day provides students with opportunities to participate in local government based on their areas of interest. He stated approximately 135 students participated in the program.

4. REPORT ON CLOSED SESSION
City Attorney Pinkney stated there was no reportable action from Closed Session.

Item 9.2 was moved to be heard at this time upon approval of the agenda.

9.2 Consideration of Resolution 2026-21, City of Banning Fiscal Year Ending June 30, 2024 Financial Statements and Related Required Reports and Approving a Contract Amendment and an Additional Appropriation for Eide Bailly Related to the City's Fiscal Year Ended June 30, 2024 Audit Increasing the Agreement Amount by $145,000
Recommendation: Adopt Resolution 2026-21.

Bonnie Johnson, Interim Finance Director, presented the staff report and introduced Roger Alfaro, Partner with Eide Bailly, to review the results of the City's Fiscal Year ending June 30, 2024 audit.

Mr. Alfaro reviewed the audit of the City's Fiscal Year ending June 30, 2024 financial statements.

He stated the responsibility of the independent external auditors was to express an opinion as to whether the financial statements were fairly presented, in all material respects, in accordance with generally accepted accounting principles. He also discussed the audit of the City's major federal programs and stated the audit included an evaluation of internal controls and compliance with applicable requirements.

Mr. Alfaro stated Eide Bailly issued a qualified opinion, explaining the auditors were able to express an opinion on the City's account balances, disclosures, and classes of transactions for both the City and the Banning Utility Authority, with the exception of inventory. He also stated the audit identified debt covenant noncompliance within the Banning Utility Authority. He reported the audit identified seven material weaknesses, one significant deficiency, and one instance of noncompliance in accordance with Government Auditing Standards, all of which were described in detail in the staff report. He stated management had prepared a corrective action plan to address the findings and reviewed the audit's summary findings.

Interim Finance Director Johnson reviewed the City's major operational funds. She stated the General Fund balance had declined from approximately $11.8 million in Fiscal Year 2019-2020 to approximately $3.5 million in Fiscal Year 2023-2024, indicating a structural budget imbalance. She also stated the Internal Service Funds reflected a deficit fund balance of approximately $12 million and explained that correcting the deficit would require a multi-year financial recovery plan. She discussed the need for additional funding to complete the audit and stated staff recommended the City Council receive and file the audit and adopt Resolution No. 2026-21 approving a contract amendment and additional appropriation of $145,000 for Eide Bailly related to the Fiscal Year ended June 30, 2024 audit.

Interim City Manager Vela discussed the reasons the audit required additional time to complete.

He stated several key Finance Department positions were vacant both currently and during the audit process and that staff was working diligently to complete the Fiscal Year 2024-2025 financial records so the next audit could proceed.

MOTION
Council Member Wallace moved and Mayor Royce seconded a motion to approve the staff recommendation. The motion carried unanimously.
42 City of Banning
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January 27, 2026 Regular Meeting
3 5. PUBLIC COMMENTS, CORRESPONDENCE, APPOINTMENTS, AND REPORTS

5.1 PUBLIC COMMENTS
Sue Savage discussed the City's utility billing system. She stated residents had reported that the electric rate increase reflected on their utility bills did not match the 20 percent increase previously communicated by the City. She requested that all public communications regarding electric rate increases be reviewed and updated to accurately reflect the rate increase.

Oleg Ivaschuk, President of the Banning Chamber of Commerce, provided an update on Chamber activities. He stated the recent Sunshine Breakfast at Morongo was a successful event. He also noted that the City's billboard along the freeway needed to be updated.

Tanya Hershey expressed concerns regarding homelessness within the city. She discussed biohazards associated with homeless encampments, including concerns about disease transmission, sharps waste, drug paraphernalia, and accumulated trash. She urged the City to take action to address the issue.

5.2 CORRESPONDENCE
Staff announced no correspondence had been received.

5.3 APPOINTMENTS
Banning Youth Council Appointment - Position 2, 3, 4, 5, & 7, terms ending January 31, 2027.

Recommendation: Extend the terms of five members of the Banning Youth Council with expiring terms for one year, terms ending January 31, 2027.

Parks and Recreation Director Wright presented the staff report. He stated the Youth Council was established in 2023 and highlighted several accomplishments, including working on policy, adopting a park, hosting community events, and engaging in other community service activities.

He stated the initial appointments were for two-year terms and that five members were reaching the end of those terms. Staff recommended extending each of those appointments by one additional year.

In response to Mayor Royce, Mr. Wright stated all current members were appointed during the initial formation of the Youth Council, resulting in non-staggered terms. Mayor Royce stated staff should develop a method for staggering future appointments to preserve institutional knowledge and experience on the Youth Council.

In response to Council Member Miller, Mr. Wright stated the Youth Council currently consisted of eight members and that the Banning Municipal Code authorized a membership of five to nine members.

MOTION
Council Member Miller moved and Council Member Wallace seconded a motion to approve the staff recommendation. The motion carried unanimously.

5.4 CITY COUNCIL COMMITTEE REPORTS
Council Member Wallace reported on her attendance at the League of California Cities Mayors and Council Members Academy, where she participated in several educational workshops. She also attended a meeting of the Transportation, Communications and Public Works Policy Committee, during which members discussed e-bikes and child safety. In addition, she attended a San Diego 43 City of Banning
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January 27, 2026 Regular Meeting
4 Association of Governments meeting regarding transportation planning for the upcoming Olympic Games and anticipated impacts in areas expected to receive significant tourist activity.

Council Member Flynn reported the Riverside County Transportation Commission meeting had been canceled. She also attended the League of California Cities Mayors and Council Members Academy, where she participated in workshops covering effective advocacy, key municipal issues, open government and conflicts of interest, and land use planning. She stated the conference was beneficial. Council Member Flynn also reported on a Western Riverside Programs and Projects Committee meeting, during which approximately $2.5 million in Transportation Uniform Mitigation Fee funding was approved for the Interstate 10/State Route 79 Interchange Project. She stated construction of that project was not anticipated to begin until approximately 2032 and noted the Highland Springs Interchange Project would begin first. She also announced the upcoming Sunset Crossroads public hearing and a Riverside County Transportation Commission workshop in Cathedral City.

Mayor Royce reported on his attendance at the League of California Cities Mayors and Council Members Academy, where he attended many of the same workshops discussed by Council Member Flynn. He stated he found the Brown Act training particularly beneficial. He also met with representatives from Cal Cities Riverside County Division regarding service on a public service committee focused on potential Public Employees' Pension Reform Act reforms. He stated he also attended sessions regarding the State budget process and how funding flows from the State to counties and cities.

Mayor Pro Tem Barrington reported she did not attend the League of California Cities conference but attended a recent Budget and Finance Committee meeting.

Council Member Miller reported he attended a Riverside Transit Agency Board Administrative and Operations Committee meeting and stated he had been appointed to the agency's Budget and Finance Committee. He reported he attended an appointed officials training webinar. Council Member Miller reported on his attendance at the League of California Cities Mayors and Council Members Academy, where he met with State legislators to discuss Caltrans projects and homelessness. He stated he was appointed to the League of California Cities Tax and Revenue Policy Committee and attended its meeting during the conference. He stated the conference included valuable training on CEQA, social media, and the Brown Act. He also noted he had an upcoming Riverside Transit Agency Board of Directors meeting.

5.5 CITY MANAGER'S REPORT
Art Vela, Interim City Manager, addressed several public comments. Regarding the recent utility rate increase, he stated the City Council previously adopted annual utility rate adjustments for a five-year period. He clarified the previously discussed 20 percent increase referred to an increase in overall utility revenue rather than a 20 percent increase to individual electric rates. He stated the rate adjustments varied depending on customer classification and became effective November 1, 2025.

Mr. Vela also discussed the City's freeway billboard and stated staff had been discussing potential updates internally. He stated staff anticipated bringing an update to the City Council within the next few months.

Regarding homelessness, Mr. Vela stated the City maintained an internal Homeless Task Force that regularly addressed homeless encampments and cleanup efforts. He stated photographs shown depicted locations that had already been cleaned and discussed a recent large-scale cleanup completed the previous week. He further explained that when encampments were located on private property, the City was required to provide notice to the property owner. If the property was not cleaned within the required timeframe, the City could perform the cleanup and bill the 44 City of Banning
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January 27, 2026 Regular Meeting
5 property owner for the associated costs. He also stated the City Council had recently awarded a contract for homeless encampment cleanup services and staff was in the process of implementing that contract.

5.6 CITY ATTORNEY'S REPORT
City Attorney Pinkney read portions of the Rules of Decorum and Procedural Guidelines for the City of Banning.

6. CONSENT ITEMS

6.1 Consideration and Approval of the meeting minutes of the May 27, 2025, and January 13, 2026 Closed Session City Council meetings
Recommendation: Approve the meeting minutes of the May 27, 2025, and January 13, 2026 Closed Session City Council meetings.

6.2 Receive and File Fire Protective Services Statistics for the Month of December 2025 Recommendation: Receive and file.

6.3 Receive and File Code Enforcement Statistics for the Month of December 2025 Recommendation: Receive and file.

6.4 Receive and File Police Department Statistics for the Month of December 2025 Recommendation: Receive and file.

6.5 Receive and File Animal Control Statistics for the Month of December 2025 Recommendation: Receive and file.

6.6 Consideration of Second Reading and Adoption of Ordinance No. 1615, A Zone Text Amendment to Banning Municipal Code Title 17, Chapter 17.88, Section 17.88.020 (Non-Conforming Structures and Uses).

Recommendation: Approve second reading and Adoption of Ordinance 1615.

6.7 Consideration of Resolution 2026-09, Approving an Agreement with Electric Power Systems International, Inc. for Electric Substation Equipment Maintenance Testing, Advisory, and On-Call Services
Recommendation: Adopt Resolution 2026-09.

6.8 Consideration of Resolution 2026-17, Initiating Proceedings to Update Landscape Maintenance District No. 1 for Fiscal Year 2026/2027
Recommendation: Adopt Resolution 2026-17.

6.9 Consideration of Resolution 2026-18, Awarding a Professional Services Agreement for Project No. 2020-04 Sun Lakes Boulevard Extension Project for Environmental Monitoring Services, to UltraSystems Environmental, Inc. in the amount of $381,900 and approving a 10% contingency for a total budget of “Not-to-Exceed” $420,090
Recommendation: Adopt Resolution 2026-18.

6.10 Consideration of Resolution 2026-20, Authorizing the Purchase of Three 35-Foot Fixed Route CNG Buses in the Amount of $2,717,459.56
Recommendation: Adopt Resolution 2026-20.

Council Member Flynn stated she would like to pull Item 6.7. 45 City of Banning
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January 27, 2026 Regular Meeting
6 MOTION
Council Member Wallace moved and Mayor Pro Tem Barrington seconded a motion to approve Items 6.1-6.10, with the exception of Item 6.7. The motion carried unanimously.

In response to Council Member Flynn, Fred Lynn, Deputy Director of Electric Utility, discussed the three bids received and explained the cost differences between the bids. He clarified the proposed agreement covered a three-fiscal-year term and that the additional amount included on-call services to be provided on an as-needed basis, for a total contract amount not to exceed $293,000.

MOTION
Council Member Flynn moved and Council Member Miller seconded a motion to approve the staff recommendation. The motion carried unanimously.

7. PUBLIC HEARINGS

7.1 Continued from January 13, 2026, meeting - continued deliberation by the City Council to Consideration of Resolution 2026-03, Approving a Tentative Tract Map Application (Case No. TTM 39259/PTM25-0004), submitted by Tri Pointe Homes to Subdivide 15 Parcels Totaling 160.02 Acres into 544 Single-Family Residential Lots and 36 Condominium Lots (for 248 Duplex Condominium Units) Located at the Northwest Corner of Highland Home Road and the Southern California Edison Corridor.

Recommendation: Adopt Resolution 2026-03.

Mark Staples, Planning Manager, presented the continued item from the previous meeting regarding the Tentative Tract Map application. He summarized the questions and concerns raised during the initial public hearing, including the proposed parks, the size and anticipated pricing of the condominium units, and owner occupancy. He stated the applicant had agreed to include an owner-occupancy addendum in its purchase agreements requiring purchasers to occupy their homes for one year. He also stated most purchasers were expected to be first-time homebuyers and that current rental rates in Banning would not generally be sufficient to cover mortgage payments. Mr. Staples further explained the proposed density adjustment would not increase the total number of residential units or traffic beyond what was already contemplated under the Butterfield Specific Plan because the overall approved unit count remained unchanged. He also stated the Development Agreement prohibited the City from imposing conditions on the project that were not applied citywide.

Council Member Flynn reiterated her concern that investors could purchase homes with cash and convert them to rental properties. She asked City Attorney Pinkney whether the Development Agreement prevented the City from imposing an owner-occupancy requirement. Mr. Pinkney stated his understanding was that the Development Agreement contained language limiting the City's ability to impose additional project-specific conditions. He stated, however, that the applicant had proposed a voluntary owner-occupancy condition that would address the Council's concerns. He explained the City would have the ability to enforce the voluntarily accepted condition.

In response to Council Member Miller, Mr. Staples stated the two proposed parks would be accessible to the public. He explained one park would be located within the proposed age-restricted community, but neither park would have public access restrictions. He stated both parks would be maintained by the homeowners association.
46 City of Banning
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January 27, 2026 Regular Meeting
7 Mayor Pro Tem Barrington discussed the Veterans Tree and stated she understood relocating the approximately 100-year-old tree would likely not be feasible. She asked when that issue would be addressed. Interim City Manager Vela stated the issue would arise when improvements to the adjacent roadway were undertaken, although he could not identify a specific timeline. He stated staff remained hopeful a solution could be identified that would preserve the tree and discussed potential design alternatives, including a roundabout, while acknowledging engineering challenges.

Michael Titus, representing Tri Pointe Homes, discussed the proposed owner-occupancy condition.

He stated Tri Pointe Homes agreed to a condition of approval requiring the occupancy addendum currently used by the company to be included with the sale of all residential units within Tract 39259-2. He further stated the occupancy addendum would not be modified without the approval of the City of Banning, allowing the City to enforce the condition. Mr. Titus also responded to the CEQA comments raised at the previous hearing and reiterated his position that the existing environmental documents adequately addressed the issues identified in the submitted comment letter.

In response to Council Member Flynn, Mr. Titus clarified the condition of approval would apply to the condominium units included within the tract. He stated, however, that Tri Pointe Homes used the occupancy addendum in the sale of all of its homes.

City Attorney Pinkney stated Mr. Titus had provided the proposed occupancy addendum and related condition language by email. He stated both documents would be incorporated into the administrative record and provided to the City Clerk.

Mayor Royce reopened the public hearing.

Edward Espinosa expressed concern regarding the condition of Highland Springs Road. He stated portions of the roadway were deteriorating and questioned whether damage from construction traffic would be addressed as part of the project.

Mayor Royce closed the public hearing.

Interim City Manager Vela stated certain improvements to Highland Springs Road had already been completed by the developer as conditions of the project. He acknowledged portions of the original roadway remained in poor condition and stated staff was obtaining quotes for temporary repairs until permanent improvements associated with future development could be completed.

MOTION
Mayor Pro Tem Barrington moved and Council Member Wallace seconded a motion to approve the staff recommendation as amended. The motion carried unanimously.

RECESS
At 7:10 p.m., the City Council recessed. The meeting reconvened at 7:35 p.m. with all Council Members present.

8. REPORTS OF OFFICERS
There were no reports.

9. DISCUSSION ITEMS

9.1 Consideration of Resolution 2026-16, Authorizing the City Manager to Execute the Voluntary VMT Exchange Program Participation Agreement between the Western Riverside Council of Governments and the City of Banning
47 City of Banning
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January 27, 2026 Regular Meeting
8 Recommendation: Adopt Resolution 2026-16.

Nate Smith, Deputy Director of Public Works, presented the staff report. He explained that Vehicle Miles Traveled (VMT) is the transportation metric required under the California Environmental Quality Act (CEQA) and focuses on reducing vehicle travel and associated emissions rather than roadway level of service. He stated projects that increase VMT are required to mitigate those impacts.

Mr. Smith explained the Western Riverside Council of Governments (WRCOG) had developed a regional VMT Mitigation Program, which would establish a mitigation credit marketplace. He stated public agencies could create eligible transportation projects that generate VMT mitigation credits, while private development projects needing to mitigate VMT impacts could purchase those credits.

He noted a project in Beaumont would likely be among the first developments required to purchase VMT mitigation credits through the program.

Mr. Smith stated the City of Banning could participate in the program by developing eligible projects, such as transit enhancements, and offering those projects as mitigation credits through the WRCOG marketplace. He explained WRCOG would collect the mitigation payments and remit funding to the City to construct the approved project. He stated if project costs exceeded estimates, the City would be responsible for the additional costs, while any unused funds would be returned to WRCOG.

Mr. Smith stated staff recommended beginning with a transit pass program because it satisfied farebox recovery requirements, did not require General Fund support, had a known cost, and would allow staff to gain experience with the new program. He stated the transit passes would be distributed to the community.

Christopher Tzeng, Program Manager for the Western Riverside Council of Governments (WRCOG), emphasized there was no cost to the City to participate in the program and stated it provided significant benefits to agencies seeking to construct projects or implement programs that met the program criteria.

In response to Mayor Royce, Mr. Smith stated that if the City purchased transit passes for approximately $100, the corresponding mitigation credits could be offered through the marketplace for approximately $104.

In response to Council Member Flynn, Mr. Tzeng stated the program was available throughout California.

Mr. Smith stated staff would continue working through policy issues related to the program and would return to the City Council with additional recommendations as needed. He stated staff was requesting authorization to execute the voluntary participation agreement with WRCOG to allow local mitigation funding to support local transit improvements.

Council Member Miller expressed support for participating in the program. He stated Riverside Transit Agency had recently approved participation and believed it was important for the City to participate early before mitigation credits became more competitive.

MOTION
Council Member Wallace moved and Mayor Royce seconded a motion to approve the staff recommendation. The motion carried unanimously.

This item was heard earlier in the meeting, immediately following the Closed Session Report, as reordered by the City Council upon approval of the agenda.

9.3 Consideration of Resolution 2026-22, Approving a Temporary Payment Plan Policy for a Period of Twelve Months
Recommendation: Adopt Resolution 2026-22.

Interim City Manager Vela presented the staff report. He stated the proposed resolution memorialized the City Council's direction from the previous meeting regarding utility billing payment plans and the grace period. He provided an update on the City's utility billing schedule, stating all November bills and approximately two-thirds of the December bills would be mailed by the end of January, with the remaining December bills expected to be mailed during the first week of February.

He stated January bills would be mailed during February and anticipated March would be the first month in which all customers would receive only one monthly bill.

Mr. Vela reviewed the proposed payment plan policy, including a three-month grace period during which customers could either pay their outstanding balance in full or enroll in a payment plan. He stated no late fees, service discontinuations, or credit card convenience fees would be assessed during the grace period. Following the grace period, the City would resume its standard discontinuation of service procedures, subject to applicable medical and financial hardship exceptions. He stated payment plans would include either a 6-month term with a 5 percent deposit or a 12-month term with a 10 percent deposit. He requested City Council direction regarding the commencement date of the grace period.

Mayor Royce stated he wanted to ensure all customers would be receiving only one monthly bill before the grace period began. Mr. Vela stated staff anticipated all customers would receive only their February utility bill during March and was confident that schedule could be achieved.

Council Member Wallace asked how the policy would apply to customers who had made no payments during the billing delay. Mr. Vela explained those customers would have three months from the commencement of the grace period to either pay their outstanding balance or enter into a payment plan before the standard 60-day discontinuation timeline would begin. He also reviewed examples of how payment plans would be structured, noting payment plan installments would be in addition to current monthly utility charges and did not constitute interest-bearing loans.

Mayor Pro Tem Barrington requested information regarding the City's low-income utility assistance programs be included with customer bills. Mr. Vela stated staff was preparing additional public outreach regarding both local and State assistance programs and that future bills would also include information regarding the grace period and available payment plans.

In response to Mayor Royce, Mr. Vela stated staff was also developing a sample utility bill to help customers better understand how to read their statements. He noted customers would be required to establish payment plans in person.

In response to Council Member Flynn, Mr. Vela stated staff continued to evaluate how automatic payments would function for customers participating in payment plans. He stated staff wanted to avoid automatically charging customers for their full outstanding balances and that automatic payments might remain suspended until all payment plans had concluded.

Frank Connolly encouraged the City to implement the payment plan program as soon as possible.

He stated residents had benefited from delayed billing and should now begin paying the outstanding balances owed to the City.
49 City of Banning
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January 27, 2026 Regular Meeting
10 Jerry Phelps stated she agreed the City needed to move forward but remained concerned the utility billing process was confusing for many residents. She stated not all residents had been able to save money during the billing delays and expressed concern that requiring customers to appear at City Hall during business hours to establish payment plans could create hardships.

Leslie Evans stated she had established utility service after moving to Banning and questioned how customer utility deposits would be treated for residents enrolling in payment plans. She asked whether previously paid utility deposits could be applied toward outstanding balances.

Edward Espinosa questioned whether the City had authority to place delinquent utility accounts on property liens and discussed potential options for customers who continued to refuse payment.

Mayor Royce encouraged residents with billing questions to meet with City staff and request detailed payment and usage histories to better understand their accounts.

Mr. Vela stated Ms. Evans had raised a valid issue that staff had not previously considered. He stated it would be reasonable to consider applying qualifying customer utility deposits toward outstanding balances in appropriate circumstances. He also referenced Section 2 of the proposed resolution, which authorized the City Manager to approve special payment arrangements on a case-by-case basis for documented special circumstances.

Council Member Flynn stated customer utility deposits should be credited back to qualifying customers after the required holding period rather than combining deposits with payment plan balances.

Mayor Royce stated the City should exercise flexibility when assisting customers experiencing unique circumstances.

Council Member Miller expressed agreement with Mayor Royce's comments.

Mayor Pro Tem Barrington stated situations involving customer deposits could be addressed under the case-by-case provisions contained in Section 2 of the proposed resolution.

Following discussion, the City Council reached consensus that the three-month grace period would commence with customers' February utility bills, which would be mailed in March.

MOTION
Council Member Wallace moved and Council Member Miller seconded a motion to approve the staff recommendation. The motion carried unanimously.

9.4 Consideration of Resolution 2026-23, Authorizing the City Manager to Execute the Engagement Letter with Stradling Yocca Carlson & Rauth, LLP to Serve as Bond Counsel and Disclosure Counsel to the City of Banning
Recommendation: Adopt Resolution 2026-23.

Interim City Manager Vela presented the staff report. He stated the City was seeking to retain a law firm to provide specialized legal services, including bond counsel and, when necessary, disclosure counsel, to ensure compliance with applicable federal, State, and local laws. He stated the City currently utilized municipal advisors and had issued a Request for Proposals to solicit legal services, although such services were exempt from the City's purchasing policy. He stated the Request for Proposals process was conducted to ensure the City received the best value. Mr. Vela stated staff recommended Stradling Yocca Carlson & Rauth as the most qualified firm. He also noted a typographical error in the proposed resolution and clarified the contract amount should be $200,000.
50 City of Banning
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January 27, 2026 Regular Meeting
11 Council Member Flynn noted the firm's proposal identified an estimated cost of $70,000 to $120,000 and questioned why the proposed contract amount was higher. Mr. Vela explained the proposal was based on a specific bond financing matter, while the proposed agreement would provide broader bond counsel and disclosure counsel services. He stated the City Council could authorize a lower amount and staff could return with a future amendment if additional services became necessary.

Sue Savage expressed concerns regarding the City's electric utility bonds. She stated the City had received two non-investment-grade bond ratings from Standard & Poor's and questioned whether issuing additional debt was the appropriate solution. She suggested the City consider using existing funds to resolve the bond covenant issues rather than incurring additional debt and associated legal costs. She also recommended filling key Finance Department vacancies, clarifying the November utility rate increases, and addressing exposed electrical infrastructure. She stated those issues affected the City's ability to meet its current debt obligations.

Mr. Vela stated Ms. Savage had raised important questions but explained they were outside the scope of the proposed agreement. He clarified the purpose of retaining Stradling was not to issue additional bonds, but rather to provide specialized legal advice regarding bond-related matters and assist the City in developing strategies to address its existing financial and bond obligations. He stated issuing additional debt, if considered in the future, would occur only if determined to be appropriate under improved financial circumstances.

MOTION
Council Member Flynn moved and Council Member Miller seconded a motion to approve the staff recommendation leaving the resolution as presented with a not-to-exceed amount of $150,000. The motion carried unanimously.

10. CLOSED SESSION
Recommendation: MAYOR TO CONTINUE CLOSED SESSION AGENDA ITEMS 10.1 AND 10.2 TO THE ADJOURNED REGULAR MEETING FEBRUARY 5, 2026 at 12:00 p.m. AS SET FORTH UNDER ITEM 12 - ADJOURNMENT

10.1 Conference with Labor Negotiator Pursuant to Government Code Section 54957.6 Agency Designated Representative: HR Director Lisa Rossi or her designee. Unrepresented Potential Employee: City Manager.

10.2 Public Employee Appointment/Employment Pursuant to Government Code Section 54957 Title: City Manager.

Mayor Royce continued to the items to the Adjourned Regular Meeting to be held on February 5, 2026 at 12:00 p.m.

11. ITEMS FOR FUTURE AGENDAS

11.1 NEW ITEMS

11.2 EXISTING ITEMS

1. Emergency Preparedness (Barrington) January 2025

2. Review and Update Council Travel Policy (Flynn) May 2025

3. Streamline Procurement Policy (Flynn) August 2025

4. Community Garden, Sun Lakes (Flynn) September 2025

5.Update (anti-camping) Ordinance 1603 (Flynn) October 2025

6. Revise Manual of Procedural Guidelines, Article 10.3 (c) (Flynn) December 2025

7. Sales Tax Agreement Update with Diamond Chevrolet (Flynn) December 2025 51 City of Banning
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January 27, 2026 Regular Meeting
12 8. Cannabis Warehouse Moratorium (New Facilities Only) (Barrington) December 2025 Council Member Flynn requested that a future agenda item be added to consider updating the Interstate 10 billboard with a new theme.

Mayor Pro Tem Barrington requested that a future agenda item be added to continue the monthly Foodie Fridays food truck events with a new agreement with the Chamber of Commerce.

12. ADJOURNMENT
MOTION
Mayor Royce moved and Council Member Wallace seconded a motion to adjourn the meeting to February 5, 2026 at 12:00 pm. The question was called and the motion carried unanimously.

The meeting adjourned at 8:30 p.m.

Minutes prepared by:

Sandra B. Calderon
Deputy City Clerk
These minutes have been prepared as Summary Minutes in accordance with City Council Resolution 2025-22 and Government Code Sections 36814, 40801, and 54953(c)(2).

The entire discussion of this meeting may be viewed here:
https://banningca.granicus.com/player/clip/281?view_id=1&redirect=true 52 MINUTES
CITY COUNCIL – SPECIAL MEETING (CLOSED SESSION)
JANUARY 27, 2026

1. CALL TO ORDER – 3:02 p.m.

COUNCIL MEMBERS PRESENT: Mayor Richard Royce
Mayor Pro Tem Cindy Barrington
Council Member Leroy Miller
Council Member Colleen Wallace
COUNCIL MEMBERS ABSENT: Council Member Sheri Flynn (arrived during Closed Session) OTHERS PRESENT: John Pinkney, City Attorney
Art Vela, Interim City Manager
Vickie Sellers, City Clerk
Sandra Calderon, Deputy City Clerk

2. PUBLIC COMMENTS - Agenda Items Only
There were no public comments.

3. CLOSED SESSION

3.1 PUBLIC EMPLOYEE APPOINTMENT/EMPLOYENT
Pursuant to Government Code Section 54957. Title: City Manager.

3.2 CONFERENCE WITH LEGAL COUNSEL REGARDING POTENTIAL INITIATION OF LITIGATION Pursuant to Government Code 54956.9(d)(4). One potential case.

3.3 CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION - SIGNIFICANT

EXPOSURE TO LITIGATION
Pursuant to Government Code Section 54956.9(d)(2) and/or (3). Two potential cases.

Council Members recessed to Closed Session at 3:03 p.m. to discuss the items listed.

The City Council reconvened in open session, with all Council Members present, with no reportable action taken.

4. ADJOURNMENT
MOTION
Council Member Wallace moved and Council Member Miller seconded a motion to adjourn the meeting. The question was called and the motion carried unanimously.

The meeting adjourned at 5:23 p.m.
53 City of Banning
City Council Minutes
January 27, 2026 Special Meeting – Closed Session
2 Minutes prepared by:

Sandra B. Calderon
Deputy City Clerk
These minutes have been prepared as Summary Minutes in accordance with City Council Resolution 2025-22 and Government Code Sections 36814, 40801, and 54953(c)(2).

The entire discussion of this meeting may be viewed here:
https://banningca.granicus.com/player/clip/280?view_id=1&redirect=true 54 MINUTES
CITY COUNCIL – ADJOURNED REGULAR MEETING
FEBRUARY 5, 2026

1. CALL TO ORDER – 12:08 p.m.

COUNCIL MEMBERS PRESENT: Mayor Richard Royce
Mayor Pro Tem Cindy Barrington
Council Member Sheri Flynn (attending remotely)
Council Member Leroy Miller
Council Member Colleen Wallace
COUNCIL MEMBERS ABSENT: None.

OTHERS PRESENT: John Pinkney, City Attorney
Art Vela, Interim City Manager
Vickie Sellers, City Clerk
Sandra Calderon, Deputy City Clerk

2. PUBLIC COMMENTS - Agenda Items Only
There were no public comments.

3. CLOSED SESSION

3.1 Conference with Labor Negotiator Pursuant to Government Code Section 54957.6 Agency Designated Representative: HR Director Lisa Rossi or her designee.

Unrepresented Potential Employee: City Manager.

3.2 Public Employee Appointment/Employment Pursuant to Government Code Section 54957 Title: City Manager
Council Members recessed to Closed Session at 12:10 p.m. to discuss the items listed.

The City Council reconvened in open session, Council Members Flynn and Wallace absent, with no reportable action taken.

4. ADJOURNMENT
MOTION
Council Member Miller moved and Mayor Pro Tem Barrington seconded a motion to adjourn the meeting. The question was called and the motion carried unanimously.

The meeting adjourned at 4:51 p.m.

Minutes prepared by:
55 City of Banning
City Council Minutes
January 27, 2026 Special Meeting – Closed Session
2 Sandra B. Calderon
Deputy City Clerk
These minutes have been prepared as Summary Minutes in accordance with City Council Resolution 2025-22 and Government Code Sections 36814, 40801, and 54953(c)(2).

The entire discussion of this meeting may be viewed here:
https://banningca.granicus.com/player/clip/285?view_id=1&redirect=true 56 MINUTES
CITY COUNCIL – REGULAR MEETING
February 10, 2026

1. CALL TO ORDER – 5:08 p.m.

1.1 ROLL CALL
COUNCIL MEMBERS PRESENT: Mayor Richard Royce
Mayor Pro Tem Cindy Barrington
Council Member Sheri Flynn
Council Member Leroy Miller
Council Member Colleen Wallace
COUNCIL MEMBERS ABSENT: None
OTHERS PRESENT: John Pinkney, City Attorney
Art Vela, Interim City Manager
Nate Smith, Deputy Director of Public Works
Vickie Sellers, City Clerk
Sandra Calderon, Deputy City Clerk

1.2 INVOCATION
There was no invocation at this meeting.

1.3 PLEDGE OF ALLEGIANCE
Mayor Royce led the Pledge of Allegiance.

2. AGENDA APPROVAL

2.1 AGENDA APPROVAL
MOTION
Council Member Wallace moved and Council Member Flynn seconded a motion to approve the agenda. The motion carried unanimously.

3. PRESENTATIONS

3.1 Proclamation February 2026 as American Heart Month
Recommendation: The City Council proclaim February 2026 as American Heart Month.

Mayor Royce read the proclamation.

4. REPORT ON CLOSED SESSION
City Attorney Pinkney stated there were two Closed Session items listed at the end of agenda and those would not be heard as part of this meeting or agenda. 57 City of Banning
City Council Minutes
February 10, 2026 Regular Meeting
2 5. PUBLIC COMMENTS, CORRESPONDENCE, APPOINTMENTS, AND REPORTS

5.1 PUBLIC COMMENTS
Inge Schuler expressed disappointment that the City had not issued a proclamation recognizing Black History Month, noting it had been done traditionally in previous years. She questioned why it had not been included this year. She also expressed concerns regarding code enforcement, citing several recreational vehicles, trailers, and a boat that she stated had remained parked on City streets for extended periods while accumulating trash. She also discussed enforcement related to horse properties and questioned why horse owners received citations for waste disposal while other nuisance conditions appeared to go unaddressed. She acknowledged the City had recently hired new code enforcement staff and encouraged consistent enforcement of the Municipal Code.

Bill Hobbs expressed concern regarding warehouse development adjacent to residential neighborhoods and retirement communities. He stated he was concerned about the resulting impacts on air quality and believed the City should better protect existing neighborhoods.

Kathy Aranda expressed concerns regarding homeless encampments near commercial areas, including one located near Chipotle and another near the City's welcome sign. She stated the conditions negatively affected public safety, public health, local businesses, and the City's image.

She urged the City to address the encampments.

Steven McCleary expressed concerns regarding the quality of the City's tap water, stating it had a metallic taste. He also discussed the City's utility billing software and stated the City should retain a system that was reliable and easy for residents to use, particularly those on fixed incomes.

Stuart Mackenzie stated he had recently paid his outstanding utility bills and hoped the City's billing system would improve moving forward. He encouraged the City to evaluate utility billing systems used by other agencies and thoroughly test any future software before implementation. He also discussed the City's Strategic Plan and encouraged the City to focus on attracting new businesses and filling vacant commercial storefronts.

Oleg Ivaschuk, President of the Banning Chamber of Commerce, announced the upcoming Sunshine Breakfast scheduled for February 18 and invited the public to attend. He stated conditions within the City were improving and noted the recent opening of another health and wellness business. He encouraged continued business development, requested the City revisit updating the Interstate 10 billboard with a positive message, and stated the Chamber was willing to assist. He also encouraged residents to shop locally.

Adam Evanton, Senior Affairs Manager for Southern California Gas Company, discussed the company's proposal to close in-person payment offices. He stated in-person transactions represented approximately two percent of customer payments while costing approximately $19 million annually to operate. He stated the proposal was currently pending before the California Public Utilities Commission. He explained customers would continue to have in-person payment options available at participating retail locations, including Cheers Market, Cardenas Market, and Walmart, as well as payment by mail and online. He acknowledged concerns previously expressed by the City regarding payments being accepted at liquor stores and stated Southern California Gas Company was willing to work with the City to identify an alternative authorized payment location, including a local business or City Hall.

Frank Connelly thanked Mayor Royce for opposing the closure of the local Southern California Gas payment office. He stated many elderly residents preferred making payments in person and should not be required to use a liquor store to pay utility bills. He urged the City to continue opposing the closure until additional payment options were made available. 58 City of Banning
City Council Minutes
February 10, 2026 Regular Meeting
3 Veronica Luna discussed the City's utility billing delays and stated she had continued making payments throughout the billing issues but was still receiving multiple bills in a single month. She expressed concern regarding the financial impact on low-income families and urged the City to stop issuing multiple utility bills each month.

5.2 CORRESPONDENCE
Staff announced two comments letters had been received for Item 9.1 and would be read during public comment on that item.

5.3 APPOINTMENTS
There were no appointments for this meeting.

5.4 CITY COUNCIL COMMITTEE REPORTS
Council Member Wallace reported on a meeting of the Regional Conservation Authority Board of Directors. She stated the Board received its annual review of the Riverside County Treasurer-Tax Collector's investment pool and reported the fund continued to perform well. She also discussed the Authority's ongoing efforts to acquire land for habitat conservation, including habitat for birds, toads, snakes, and lizards. Council Member Wallace also attended a Southern California Association of Governments transportation meeting, where members discussed transportation safety targets, particularly regarding electric bicycles. She expressed concern about modified ebikes capable of traveling at high speeds and discussed the need for increased safety measures, including greater involvement by the Department of Motor Vehicles.

Council Member Flynn reported on a Riverside County Transportation Commission transportation workshop, which she described as informative. She stated topics included traffic relief projects in western Riverside County, Interstate 10 interchange reconstruction projects, expansion of express lanes on Interstate 10, and expansion of passenger rail service into new areas of Riverside County.

She stated a future rail station could potentially be located in Cabazon, Banning, Beaumont, or Calimesa and expressed support for locating the station in Banning. She also discussed the continued growth of warehousing and logistics within Riverside County and stated projections indicated trucks would account for approximately 50 percent of daily traffic on Interstate 10 by 2045.

Council Member Flynn also reported on the 35th anniversary meeting of the Western Riverside Council of Governments. She stated the City paid approximately $6,570 annually in membership dues and, with WRCOG's assistance, had received more than $14.6 million in Transportation Uniform Mitigation Fee project funding. She also noted WRCOG had assisted the City with numerous regional studies and grant applications.

Mayor Pro Tem Barrington stated she had nothing to report.

Council Member Miller reported on a Riverside Transit Agency Budget and Finance Committee meeting. He stated the agency was installing 20 new bus shelters, although none were currently planned for Banning. He noted a new shelter had recently been installed at the Walmart in Beaumont. He also stated the committee discussed fuel tax issues and their potential impacts on local transit systems, with additional information expected at a future meeting. Council Member Miller further reported attending a League of California Cities district meeting, where several legislative proposals were discussed that could be considered for City sponsorship.

Mayor Royce stated he had nothing to report.

5.5 CITY TREASURER’S REPORT
59 City of Banning
City Council Minutes
February 10, 2026 Regular Meeting
4 Sue Savage, City Treasurer, presented the January 2026 Treasurer's Report. She stated the reports provided to her remained limited and that she continued to be denied access to a printer and printer paper. She compared January 2026 financial information to January 2025 and stated the City's Local Agency Investment Fund (LAIF) balance had decreased by nearly $17 million. She noted the City's savings account earned approximately $833,000 in interest over the previous year while the reduction in LAIF balances, at an approximate 4.2 percent interest rate, resulted in an estimated $726,000 in lost interest earnings. She stated City funds should be managed strategically to maximize investment opportunities.

Ms. Savage stated California Government Code Section 53646 required the preparation of quarterly investment reports and questioned why those reports had not been provided. She also stated the City's combined cash and investment balances had decreased by approximately $12.87 million over the previous year. She expressed concern that more recent bank statements and online account access had not been made available, stating effective financial oversight required timely access to financial information. She also discussed changes in revenues, expenditures, fund balances, bond payments, debt covenant violations, and other matters related to the City's financial stewardship.

5.6 CITY MANAGER’S REPORT
Interim City Manager Vela responded to comments regarding the Treasurer's Report. He clarified the City experienced approximately a $25 million reduction in cash flow during the six-month period utility bills were not issued. He stated that although the City was currently issuing two utility bills per month as part of the catch-up process, customers were only being billed for one month of utility usage on each bill.

Mr. Vela announced the City would host a utility assistance event on February 19 from 9:00 a.m. to 2:00 p.m. in the Council Chambers, where County staff and City utility billing staff would assist customers with applications for the Low-Income Home Energy Assistance Program (LIHEAP) and the City's low-income electric utility assistance program.

Mr. Vela stated staff expected customers to receive their final catch-up utility bill during the month and that March would be the first month all customers would receive a single bill covering only their February utility usage. He acknowledged the utility billing issues had significantly impacted residents and stated that although the City still planned to upgrade its utility billing system, additional safeguards would be implemented to ensure a successful transition. In response to Mayor Royce, Mr. Vela stated future utility bills would include additional educational information to assist customers in understanding their statements.

5.7 CITY ATTORNEY’S REPORT
City Attorney Pinkney reviewed portions of the City of Banning's Rules of Decorum and Procedural Guidelines. He also addressed the Government Code section referenced during the City Treasurer's Report and clarified that the applicable statutory language was permissive rather than mandatory. He stated the Government Code provides that the City Treasurer or chief fiscal officer may prepare quarterly investment reports.

In response to Mayor Royce, Interim City Manager Vela stated the City had previously prepared quarterly investment reports but that staffing vacancies within the Finance Department and utility billing priorities had delayed their preparation. Mayor Royce stated he would like quarterly investment reports to resume once Finance Department staffing had stabilized. By consensus, the City Council agreed.
60 City of Banning
City Council Minutes
February 10, 2026 Regular Meeting
5 6. CONSENT ITEMS

6.1 Consideration and Approval of the meeting minutes of the December 9, 2025 Regular City Council meeting
Recommendation: Approve the meeting minutes of December 9, 2025 Regular City Council meeting.

6.2 Public Works Capital Improvement Project List
Recommendation: Receive and file.

6.3 Receive and File Notice of Application for FY27 Office of Traffic Safety (OTS) Selective Traffic Enforcement Program (STEP) Grant
Recommendation: Receive and file the application submitted by the Banning Police Department to the California Office of Traffic Safety (OTS) for the FY27 Selective Traffic Enforcement Program (STEP) Grant.

6.4 Receive and file the application submitted for the FY26 Emergency Management Department State Homeland Security Program (SHSP) grant
Recommendation: Receive and file.

6.5 Parks and Recreation Report of Monthly Activities through the 2nd Quarter of Fiscal Year 2025/2026 - December 2025
Recommendation: Receive and file.

6.6 Consideration of Resolution 2026-19, to Authorize the City Manager to Execute Amendment No. 1 to the Reimbursement Agreement with SFPP, L.P., a Delaware Limited Partnership, for additional Costs Associated with the Relocation of Pipeline Facilities owned and Operated by SFPP in Relation to the Sun Lakes Boulevard Extension Project.

Recommendation: Approve Resolution 2026-19

6.7 Approve Resolution 2026-32, Awarding a Professional Services Agreement for Design Services for the Upgrade of the Intersection of Wilson Street and 12th Street to TKE Engineering, Inc. in the amount of $41,665 and Approving a 10% Contingency for a Total Project Budget of “Not-toExceed” $45,831.50.

Recommendation: Approve Resolution 2026-32.

6.8 Consideration of Resolution 2026-33, Amending the Classification and Compensation Plan, Position Reclassification (Accountant)
Recommendation: Adopt Resolution 2026-33.

MOTION
Council Member Wallace moved and Mayor Pro Tem Barrington seconded a motion to approve the consent agenda. The motion carried unanimously.

7. PUBLIC HEARINGS
None.

8. REPORTS OF OFFICERS
There were no reports.
61 City of Banning
City Council Minutes
February 10, 2026 Regular Meeting
6 9. DISCUSSION ITEMS

9.1 Discussion of the 2025 Development Impact Fee Study, Maximum Justifiable Rates and City Council’s Direction for Final Rates for Approval.

Recommendation: Provide direction to staff on Development Impact Fee Rates.

Nate Smith, Deputy Director of Public Works, presented the staff report. He stated the item was a follow-up to the recent Development Impact Fee workshop. He explained the public hearing originally scheduled for this meeting had been postponed due to a noticing error. He stated staff was providing an overview of the proposed fees and seeking preliminary policy direction from the City Council in preparation for the public hearing scheduled for February 24.

Mr. Smith reviewed the proposed Development Impact Fees and compared the recommended fees to those of neighboring jurisdictions. He explained the fees were calculated based on land use rather than unit size and represented the maximum justifiable fees supported by the City's nexus study. He presented sample development scenarios and compared the resulting fees with neighboring agencies. He stated the proposed residential fees were generally higher than neighboring agencies while the proposed commercial and industrial fees were generally lower. He also presented an alternative comparison based on reduced fee levels, noting residential fees would be approximately 75 percent of the maximum justifiable amount if adjusted to be more comparable with neighboring cities. He further explained the Atwell Development Agreement limited certain development impact fees that could be imposed within that development. Mr. Smith stated that if the City elected to charge less than the maximum justifiable fees, another funding source would ultimately be required to construct the infrastructure those fees were intended to fund.

Mr. Smith stated staff would meet with the City's Development Impact Fee consultant and department directors to review the proposed fees, develop additional alternatives, and discuss those options with representatives of the development community before the February 24 public hearing.

In response to Mayor Royce, Mr. Smith stated the fee comparison for the City of Beaumont was based on its 2024 fee schedule. He stated staff would verify whether Beaumont had subsequently adjusted its fees for inflation and provide updated information at the public hearing.

Council Member Flynn discussed comments submitted by the Building Industry Association regarding the proposed residential fee increases. She questioned why a greater share of the impact fees was not allocated to commercial and industrial development. Mr. Smith explained the nexus study was specific to Banning and reflected the differing infrastructure impacts associated with each land use category. He stated the City's policy decision was whether to adopt the maximum justifiable fees or a lesser amount.

Mayor Pro Tem Barrington asked how other comparable cities determined the percentage of the maximum justifiable fees they charged. Mr. Smith stated that decision varied by jurisdiction and was ultimately a policy determination. He explained staff's recommendation was to adopt the maximum justifiable fees in order to fully recover the City's infrastructure costs. He also noted infrastructure costs continued to increase over time and stated the City could adjust Development Impact Fees by resolution in the future. He further explained an ordinance would be required to establish the proposed electric utility impact fee within the Municipal Code.

Council Member Miller stated additional information would be helpful before the public hearing. Mr.

Smith confirmed staff would provide the requested information.

In response to Council Member Wallace, Mr. Smith explained projected growth was determined using the City's General Plan land use designations.
62 City of Banning
City Council Minutes
February 10, 2026 Regular Meeting
7 Interim City Manager Vela discussed the methodology used to calculate Development Impact Fees and explained comparisons between cities were not always meaningful because each nexus study reflected the unique infrastructure needs and growth patterns of that jurisdiction. He stated charging less than the maximum justifiable fee would increase the City's long-term infrastructure funding gap.

City Clerk Sellers read into the record letters submitted by the Building Industry Association and the Building Industry Legal Defense Foundation. The letters expressed concerns that the proposed residential Development Impact Fees would significantly increase housing costs and negatively affect future residential development.

Council Member Flynn stated the City should consider whether its policy objective was to encourage additional residential or commercial development when establishing the fee structure.

Mayor Pro Tem Barrington noted the proposed non-residential fees were already at the maximum justifiable amount. Mr. Smith explained they could not exceed the maximum amount supported by the nexus study. Interim City Manager Vela added that while the City could reduce fees below the maximum justifiable amount, it could not shift the resulting revenue shortfall from one land use category to another.

Mr. Smith stated staff was seeking general policy direction to assist in preparing the February 24 public hearing. Mayor Royce stated he supported capturing as much of the justifiable impact fees as possible for both residential and non-residential development.

Mr. Smith stated the staff report for the February 24 public hearing would include the results of staff's additional analysis and stakeholder meetings.

10. CLOSED SESSION

10.2 Public Employee Appointment/Employment Pursuant to Government Code Section 54957 Title: City Manager.

City Attorney Pinkney stated during Item 4 that these items would no longer be heard as part of this agenda.

11. ANNOUNCEMENTS FROM CITY COUNCIL MEMBERS
There were no announcements.

12. ITEMS FOR FUTURE AGENDAS

12.1 NEW ITEMS

1. Update Outdated Billboard on Sunset St. (Flynn) January 2026

2. Continue Food Truck Festival (Barrington) January 2026

12.2 EXISTING ITEMS

1. Emergency Preparedness (Barrington) January 2025

2. Review and Update Council Travel Policy (Flynn) May 2025

3. Streamline Procurement Policy (Flynn) August 2025

4. Community Garden, Sun Lakes (Flynn) September 2025

5.Update (anti-camping) Ordinance 1603 (Flynn) October 2025 63 City of Banning
City Council Minutes
February 10, 2026 Regular Meeting
8 6. Revise Manual of Procedural Guidelines, Article 10.3 (c) (Flynn) December 2025

7. Sales Tax Agreement Update with Diamond Chevrolet (Flynn) December 2025

8. Cannabis Warehouse Moratorium (New Facilities Only) (Barrington) December 2025 In response to Mayor Pro Tem Barrington, Interim City Manager Vela stated some of the items were being scheduled for upcoming meetings.

13. ADJOURNMENT
MOTION
Council Member Miller moved and Mayor Pro Tem Barrington seconded a motion to adjourn the meeting. The question was called and the motion carried unanimously.

The meeting adjourned at 6:35 p.m.

Minutes prepared by:

Sandra B. Calderon
Deputy City Clerk
These minutes have been prepared as Summary Minutes in accordance with City Council Resolution 2025-22 and Government Code Sections 36814, 40801, and 54953(c)(2).

The entire discussion of this meeting may be viewed here:
https://banningca.granicus.com/player/clip/287?view_id=1&redirect=true 64 MINUTES
CITY COUNCIL – SPECIAL MEETING (WORKSHOP)
FEBRUARY 10, 2026

1. CALL TO ORDER – 4:02 p.m.

COUNCIL MEMBERS PRESENT: Mayor Richard Royce
Mayor Pro Tem Cindy Barrington
Council Member Sheri Flynn
Council Member Leroy Miller
Council Member Colleen Wallace
COUNCIL MEMBERS ABSENT: None
OTHERS PRESENT: John Pinkney, City Attorney
Art Vela, Interim City Manager
Nate Smith, Deputy Director of Public Works
Vickie Sellers, City Clerk
Sandra Calderon, Deputy City Clerk

2. WORKSHOP

2.1 Progress Report on the Hargrave Grade Separation – Design Phase Recommendation: This report is for information and discussion only.

Nate Smith, Deputy Director of Public Works, presented the staff report. He stated the item was intended to provide an overview of the conceptual design for the project.

Darren Adrian, representing Kimley-Horn and the project design team, presented a project overview.

He discussed the project schedule, estimated costs, and ongoing efforts to secure funding for future phases. He explained the project would construct a grade separation similar to the Sunset Avenue Grade Separation to improve safety by eliminating the at-grade railroad crossing. He stated the project also supports planned growth and transportation improvements on the east side of Banning, including future interchange improvements. Mr. Adrian reviewed the conceptual design, project components, anticipated construction schedule, estimated project cost of approximately $133 million, and funding strategy. He stated project completion was currently anticipated in 2031.

In response to Mayor Pro Tem Barrington, Mr. Adrian stated the current concept did not anticipate a full closure of Lincoln Street during construction, although portions of the roadway would be temporarily closed during various phases of the project. He stated Lincoln Street would serve as the primary detour route during construction. He also stated no existing structures along Hermosa Street were currently anticipated to be removed. He explained the proposed connector road remained part of the conceptual design because it provided better circulation, reduced the need for cul-de-sacs, minimized impacts to adjacent properties, and met emergency access requirements. He stated the current concept would require removal of only one existing structure.

Interim City Manager Vela further discussed the purpose of the proposed connector road and why it was included in the conceptual design. Mayor Pro Tem Barrington stated she supported the proposed 65 City of Banning
City Council Minutes
February 10, 2026 Special Meeting – Workshop
2 solution and requested that future traffic signal timing be coordinated appropriately.

Mr. Smith explained the traffic signals at the Interstate 10 ramps were owned and maintained by Caltrans and were timed primarily to maximize freeway operations rather than local traffic flow. He stated the Western Riverside Council of Governments was preparing a regional traffic signal synchronization study for the San Gorgonio Pass area to address those concerns.

In response to Council Member Miller, Mr. Smith discussed potential circulation improvements being evaluated as part of the General Plan circulation update and Strategic Plan implementation. He stated some potential improvements would require significant projects initiated by Caltrans. Interim City Manager Vela added there was limited space between Ramsey Street and Interstate 10 and also discussed constraints near the Highland Springs Avenue interchange.

Mayor Pro Tem Barrington stated she believed Council Member Miller was referring to truck traffic associated with future warehouse development, particularly vehicles turning left onto Hargrave Street near the service station. Mr. Smith stated one of the approved development projects included a condition requiring a traffic study to evaluate that intersection.

Mr. Smith concluded by stating the project's estimated construction cost would require significant coordination among local, State, and federal funding partners. He encouraged the City Council to continue fostering those relationships to improve the project's competitiveness for future grant funding.

3. PUBLIC COMMENTS - Agenda Items Only
There were no public comments.

4. ADJOURNMENT
MOTION
Mayor Pro Tem Barrington moved and Council Member Miller seconded a motion to adjourn the meeting. The question was called and the motion carried unanimously.

The meeting adjourned at 4:38 p.m.

Minutes prepared by:

Sandra B. Calderon
Deputy City Clerk
These minutes have been prepared as Summary Minutes in accordance with City Council Resolution 2025-22 and Government Code Sections 36814, 40801, and 54953(c)(2).

The entire discussion of this meeting may be viewed here:
https://banningca.granicus.com/player/clip/286?view_id=1&redirect=true 66 MINUTES
CITY COUNCIL – REGULAR MEETING
MAY 12, 2026

1. CALL TO ORDER – 5:01 p.m.

1.1 ROLL CALL
COUNCIL MEMBERS PRESENT: Mayor Richard Royce
Mayor Pro Tem Cindy Barrington
Council Member Sheri Flynn
Council Member Leroy Miller
Council Member Colleen Wallace
COUNCIL MEMBERS ABSENT: None
OTHERS PRESENT: Phaedra Norton, Assistant City Attorney Elizabeth Gibbs, City Manager
Art Vela, Public Works Director
Robert Wright, Parks and Recreation Director
Marisol Lopez, Economic Development Manager
Vickie Sellers, City Clerk
Sandra Calderon, Deputy City Clerk

1.2 INVOCATION
Performed by Council Member Miller

1.3 PLEDGE OF ALLEGIANCE
Mayor Royce led the Pledge of Allegiance.

2. AGENDA APPROVAL

2.1 AGENDA APPROVAL
MOTION
Council Member Miller moved and Mayor Pro Tem Barrington seconded a motion to approve the agenda. The motion carried unanimously.

3. PRESENTATIONS

3.1 Proclamation - Kids to Parks Day 2026
Recommendation: Proclaim May 16, 2026 as National Kids to Parks Day.

Mayor Royce presented the Proclamation to the Banning Parks and Recreation Director. 67 City of Banning
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May 12, 2026 Regular Meeting
2 3.2 Small Business Month – May 2026 Proclamation and Recognition of Black Diamond Event Planning DBA Elegant Affair Wedding Venue
Recommendation: Staff recommends that the City Council:

1. Approve the Small Business Month Proclamation for May 2026; and

2. Receive and file the recognition of Black Diamond Event Planning DBA Elegant Affair Wedding Venue.

Mayor Royce read the Proclamation and presented a Certificate of Recognition to Black Diamond Event Planning DBA Elegant Affair Wedding Venue.

3.3 Proclamation - National Public Works Week (May 17-23) Recommendation: Proclaim May 17 to May 23, 2026 as National Public Works Week Mayor Royce read the Proclamation and recognized Banning Public Works employees in attendance.

4. REPORT ON CLOSED SESSION
Phaedra Norton, Assistant City Attorney stated the City Council met in Closed Session and there was no reportable action taken.

5. PUBLIC COMMENTS, CORRESPONDENCE, APPOINTMENTS, AND REPORTS

5.1 PUBLIC COMMENTS
Pat Murkland promoted the Downtown Banning Art Walk. She announced a special event scheduled for May 23, 2026, commemorating the 98th anniversary of the opening of the Banning Theater. She stated the event would feature a film originally shown at the theater in 1928 and invited the community to attend.

Inge Schuler expressed concern that City Council minutes posted on the City's website were not current. She also requested that City Council members provide additional information regarding the events they attend and the relevance of those events to the City of Banning.

Rita Chapparosa, Parks and Recreation Commissioner, commended the Parks and Recreation Department for its work despite limited resources.

Stuart Mackenzie commented on a Closed Session item and questioned why the matter had not yet been resolved. He also questioned whether a new pharmacy would be opening in downtown Banning.

5.2 CORRESPONDENCE
Staff stated no correspondence was received.

5.3 APPOINTMENTS
Parks and Recreation Appointment for Position 1, term ending January 31, 2029 Recommendation: Appoint one applicant to fill vacancy in Position 1 on the Parks and Recreation Commission
The City Council considered the appointment of a member to the Parks and Recreation Commission. Following a roll call of Council Member preferences, Cheryce Cobbs was appointed by a 3-2 vote, with Council Members Miller, Wallace, and Mayor Royce voting in favor of Cobbs, 68 City of Banning
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May 12, 2026 Regular Meeting
3 and Mayor Pro Tem Barrington and Council Member Flynn supporting Monette Hamilton. Mayor Royce thanked both applicants for their willingness to serve.

5.4 CITY COUNCIL COMMITTEE REPORTS
Council Member Wallace reported on her attendance at the Southern California Association of Governments General Assembly. She stated many of the workshops focused on Regional Housing Needs Allocation (RHNA) requirements and efforts by SCAG to assist smaller jurisdictions in meeting their housing obligations. She also attended a workshop on artificial intelligence. Council Member Wallace further reported on a meeting of the Western Riverside County Regional Conservation Authority, where discussions included wildlife and habitat conservation issues, as well as budget-related matters.

Council Member Flynn reported on her attendance at a meeting of the Western Riverside Council of Governments (WRCOG), where the Southern California Association of Governments (SCAG) presented 2050 population, household, and employment projections. She stated the Inland Empire is projected to experience the second-highest household growth and the highest job growth among Southern California regions. She also reviewed regional office vacancy rates, noting that the Inland Empire continues to have one of the lowest office vacancy rates in the region.

Council Member Flynn also reported that she and Mayor Pro Tem Barrington attended an Ad Hoc Animal Shelter Committee meeting with the City Manager, Planning Department, and Police Department to review information that would be presented at the May 14 animal shelter workshop.

Council Member Flynn further reported on activities related to the Sun Lakes Boulevard Extension Project through the Riverside County Transportation Commission, noting that the groundbreaking ceremony for the project was scheduled for May 26.

Mayor Pro Tem Barrington reported on her attendance at the grand reopening of Gus Jr.'s on May 5, noting the restaurant is under new ownership and management.

Mayor Pro Tem Barrington also attended a Blue Zones meeting, where participants discussed priority initiatives they hoped to advance with Council support. She stated she encouraged efforts focused on seniors and reducing children's screen time and noted that related initiatives would be developed.

Mayor Pro Tem Barrington reported that she and Council Member Flynn attended an Ad Hoc Animal Shelter Committee meeting to review information that would be presented at the May 14 animal shelter workshop.

Mayor Pro Tem Barrington thanked Banning Utility for its successful community tree giveaway, noting that the available trees were claimed quickly and expressing appreciation for the program.

Mayor Pro Tem Barrington stated she also attended the May 6 Beaumont Chamber of Commerce breakfast, where the Mayor of Beaumont presented a mini State of the City address. She stated she took note of several ideas that could benefit Banning. She reported that approximately 40 percent of Beaumont's General Fund revenues are generated through sales tax and that public safety expenditures account for approximately half of the City's General Fund and have increased significantly in recent years. She also noted that approximately half of Beaumont's sales tax revenue is generated by visitors from outside the city and encouraged residents to support local businesses by shopping in Banning.

Council Member Miller reported on his attendance at the ribbon cutting for Gus Jr.'s under its new ownership and management. He also attended the Beaumont Chamber of Commerce breakfast and a Riverside Transit Agency (RTA) Budget and Finance Committee meeting on May 6. He 69 City of Banning
City Council Minutes
May 12, 2026 Regular Meeting
4 stated that while many RTA issues do not directly affect Banning, the City is served by an RTA bus stop and residents have access to numerous regional transit destinations. Council Member Miller also announced he would be attending the Nonprofit Recognition Awards on May 13.

Mayor Royce reported on recent state legislation related to housing and development and discussed the Regional Housing Needs Allocation (RHNA) process and associated state housing mandates. He stated that many cities have been required to pursue creative approaches to comply with those requirements. Mayor Royce also reported on his involvement with Our Neighborhood Voices, a grassroots organization advocating for local control over land use decisions, including proposed changes to the RHNA process and the authority of the California Coastal Commission.

He invited members of the public to learn more about the organization and its efforts.

5.5 ANNOUNCEMENTS OF CITY COUNCIL MEMBERS
This item was taken out of order following Item 5.8.

Council Member Wallace announced that the Banning Woman's Club Fashion Show would be held on June 13 at 12:00 p.m. She also announced two upcoming Juneteenth celebrations: one at Roosevelt Williams Park on June 19 at 11:00 a.m., where attendees were encouraged to bring chairs and food, and a second event on June 20 at Sylvan Park.

Council Member Miller announced that he would not be holding a Town Hall meeting during the upcoming weekend. He encouraged residents instead to attend the City's Fiscal Sustainability Workshop on May 14.

Mayor Royce echoed Council Member Miller's comments and emphasized the importance of the May 14 Fiscal Sustainability Workshop, stating it was the City's highest priority at that time.

Mayor Pro Tem Barrington clarified comments made by the City Treasurer regarding utility billing.

She stated she had not advised the City Treasurer against discussing utility bills with residents and that she was welcome to.

5.6 CITY TREASURER’S REPORT
Sue Savage, City Treasurer, reported that she recently met with the City Manager and stated the Treasurer's Report would be presented at the second City Council meeting of each month. She stated the meeting was productive and that she had been advised she would receive bank statements and that the Finance Department would work collaboratively with the Treasurer's Office.

She stated she looked forward to those commitments being implemented and to continuing a cooperative working relationship.

City Treasurer Savage also stated she had received questions from residents regarding utility billing statements. She stated she had been advised that assisting with utility billing was not within the Treasurer's responsibilities; however, members of the public continued to seek her assistance.

She questioned the City's transition back to its previous utility billing system after implementation of a newer system and whether the issues that prompted the change had been resolved. She stated she would continue assisting residents in reviewing their utility billing statements when requested and expressed her desire to work collaboratively with the City Manager and Finance Director to move the City forward.

5.7 CITY MANAGER'S REPORT
In response to Mayor Royce, City Manager Gibbs stated the City had engaged a retired City Clerk to assist with bringing City Council minutes current over the coming months. She stated completed minutes would be presented to the City Council for approval as they become available. 70 City of Banning
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5 City Manager Gibbs also clarified that an error had occurred regarding the utility billing grace period. She stated two utility bills had been issued in March and that the City Council had previously approved a three-month grace period. She clarified that the grace period would expire at the end of June.

In response to comments from the City Treasurer, City Manager Gibbs confirmed they had recently met and agreed that the Treasurer's Report would be presented at the second City Council meeting of each month. She stated future agendas would reflect that schedule.

City Manager Gibbs announced a Utility Assistance Clinic to be held on May 20 from 9:00 a.m. to 2:00 p.m. in the Council Chambers for residents seeking financial assistance with utility bills. She also announced that the Fifth District County Supervisor's Office would be hosting a free produce distribution on May 14 beginning at 9:30 a.m. and encouraged residents to register in advance, if possible, to assist with planning.

City Manager Gibbs introduced Acting Police Captain Smith to provide an update on the City's new false alarm management program.

Acting Police Captain Smith discussed implementation of the City's new false alarm management program through PMAM. He stated the system had gone live that day following staff training and was currently in a soft launch to ensure proper functionality. He stated alarm permits were once again being accepted and that a public portal would be available through the City's website. He also discussed community outreach efforts, including public education regarding alarm permits and false alarm fees, and explained that the Police and Fire Departments would utilize the system to administer the program.

In response to Mayor Royce, Acting Police Captain Smith stated the permit fee cycle would reset every three years based on the anniversary of the permit. He also discussed permit requirements, circumstances under which false alarm fees would apply, and reporting capabilities available through the PMAM system.

Council Member Miller commended Acting Police Captain Smith and staff on implementation of the program and stated he was pleased to see it moving forward.

City Manager Gibbs reminded the public of the upcoming Workout Plan to Sustainability Workshop scheduled for May 14 at 4:00 p.m. She encouraged residents to attend in person or participate remotely and stated the workshop would provide an overview of the City's current financial condition.

5.8 CITY ATTORNEY'S REPORT
Phaedra Norton, Assistant City Attorney, read portions of the Rules of Decorum and Procedural Guidelines for the City of Banning.

6. CONSENT ITEMS

6.1 Consideration and Approval of the meeting minutes of the February 22, 2025 Special City City Council meeting (Workshop).

Recommendation: Approve the meeting minutes of the February 22, 2025 Special City Council meeting (Workshop).

6.2 Public Works Capital Improvement Project Tracking List Recommendation: Receive and file
71 City of Banning
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6 6.3 Accept as Complete Various Improvements Related to the Atwell Specific Plan Development and Authorize a 90% Reduction in the Improvements Bonds and Exoneration of Monumentation Bonds Recommendation: City Council accept as complete various improvements related to the Atwell Specific Plan Development and authorize a 90% reduction in the improvements bonds and exoneration of Monumentation Bonds.

6.4 Parks and Recreation of Monthly Activities through the 3rd Quarter of Fiscal Year 2025/2026 – March 2026
Recommendation: Receive and file.

6.5 Consideration of Resolution 2026-15, Approving and Adopting the City of Banning Electric Utility’s Electric System Master Plan
Recommendation: Adopt Resolution 2026-15.

6.6 Consideration of Resolution 2026-73, Amendment to the Professional Services Agreement with Rogers, Anderson, Malody & Scott LLP (RAMS) Providing Oversight Accounting Services and Staff Augmentation to the City’s Finance Department
Recommendation: Adopt Resolution 2026-73.

Frank Connolly addressed Item 6.6. and questioned when the Finance Department would no longer need consultants.

In response to Mayor Royce, City Manager Gibbs stated she was very cognizant of not spending more than was necessary and also announced that two critical positions in the Finance Department were just recently filled. She stated the City’s books were still in bad shape and the consultants were working to bring those up to date. She explained the tasks RAMS was helping with and stated she hoped the staff augmentation would not be needed by end of summer.

MOTION
Council Member Wallace moved and Council Member Miller seconded a motion to approve the agenda. The motion carried unanimously.

RECESS
At 6:05 p.m., the City Council recessed. The meeting reconvened at 6:23 p.m. with all Council Members present.

7. PUBLIC HEARINGS
None.

8. REPORTS OF OFFICERS

9. DISCUSSION ITEMS

9.1 Consideration of a Fee Waiver Request Not-to-Exceed $12,960 for Stagecoach Days Associations Barrels, Brews, and Bites Event Scheduled for May 15-16, 2026 Recommendation: Approve the Fee Waiver of no more than $12,960.

Ralph Wright, Parks and Recreation Director, presented the staff report. He stated the requested fee waiver pertained to the cost of required Police Department staffing for the event. He explained that although police presence had traditionally been required for events serving alcohol, the City had recently adopted a Master Fee Schedule requiring event organizers to reimburse those costs.

He stated this was the first event subject to the new fee and that the Stagecoach Days Association 72 City of Banning
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7 had requested a waiver because the additional expense had not been anticipated. He noted the City's fee waiver policy required City Council approval.

In response to Council Member Miller, Mr. Wright stated the Stagecoach Days Association submitted its fee waiver request approximately one week earlier after learning of the new fees. He explained the fees were included in the updated application materials but had only recently taken effect under the newly adopted Master Fee Schedule.

Amy Pippinger, representing the Stagecoach Days Association, stated the organization was notified of the new fees approximately two weeks earlier and had not budgeted for the additional expense. She explained the Association already contracted private security and was unaware that Police Department staffing would also be required, resulting in an unexpected increase in event costs.

MOTION
Mayor Pro Tem Barrington moved and Mayor Royce seconded a motion to approve the fee waiver.

The motion carried unanimously.

9.2 Consideration of Resolution 2026-44, Reprogramming Approved Community Development Block Grant (CDBG) Funds in the Amount of $43,144 from FY 2024-25 – Banning Senior Center ADA Improvement Project to CDBG FY 2025-26 – Banning Senior Center ADA Improvement Project #2 ($148,144)
Recommendation: Adopt Resolution 2026-44
Robert Wright, Parks and Recreation Director, presented the staff report. He reviewed the history of the item, noting that it had been continued from the April meeting to allow staff to explore potential funding opportunities for the Senior Center through the Riverside County Supervisor's Office. He stated County staff were evaluating available funding sources and believed they may be able to provide partial assistance, although sufficient funding to complete the project had not yet been identified.

Mr. Wright explained that County staff had identified three options for the remaining Community Development Block Grant (CDBG) funds: extend the existing project for one year, reprogram the funds to the Senior Center roof replacement project, or cancel the current Dysart Park project and reserve the funding for a future Dysart Park application following approval of the County's updated funding plan. Staff recommended reprogramming the funds to the Senior Center project while preserving the opportunity to seek future funding for Dysart Park improvements. He also noted a correction to the proposed resolution regarding the funding amount. Mr. Wright also noted a correction to the proposed resolution, stating that the funding amounts should be listed as $43,144 and a total of $141,828 in the final parenthetical reference.

Council Members discussed the proposed reprogramming of the CDBG funds, the timing of future funding cycles, and the availability of additional grant opportunities. Questions were raised regarding the original scope of the Dysart Park project, including whether the approved funding had been intended solely for replacement of the bleachers or for a broader scope of improvements.

Council Member Flynn requested that staff provide the original CDBG application and supporting documentation for Council review. City Manager Gibbs stated the information would be provided when the future application was brought forward.

Council Members also discussed the relationship between the Senior Center project and future Dysart Park improvements. Mr. Wright clarified that the proposed action would not eliminate future funding opportunities for Dysart Park but would require submission of a new application during a future funding cycle. He also noted that additional CDBG funds may become available for reprogramming upon completion of the Lions Park project. 73 City of Banning
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8 Frank Connolly stated he believed the original intent of the Dysart Park funding had been to purchase bleachers and encouraged the City to clarify the original project scope. He also encouraged the City to continue pursuing additional County funding for the Senior Center project.

Edward Espinosa questioned why repairs to the Senior Center roof had not been completed years earlier and expressed concern regarding costs associated with the Dysart Park project. He encouraged the City to prioritize needed facility improvements.

Mayor Royce stated he believed staff's recommended option to reprogram the funds to the Senior Center project while reserving future funding opportunities for Dysart Park was the most appropriate course of action. Mr. Wright agreed and stated the recommended action included adoption of the reprogramming resolution and authorization to submit the required request to reserve funding for a future Dysart Park project.

MOTION
Council Member Wallace moved and Council Member Miller seconded a motion to adopt Resolution 2026-44, as amended. The motion carried unanimously.

9.3 Make a Determination of Exemption Under the California Environmental Quality Act and Consideration of Resolution 2026-69, Establishing Fiscal Year 2026/2027 Rates for Residential and Commercial Garbage, Recyclable, and Organic Waste Collection Recommendation: Adopt Resolution 2026-69
Art Vela, Public Works Director, presented the staff report. He provided background on the City's solid waste franchise agreement with Waste Management, which was approved in 2021 to ensure compliance with state solid waste requirements. He stated the City subsequently completed Proposition 218 proceedings to establish and update the associated rate structure. He explained that, under the franchise agreement, annual rate adjustments are authorized through July 1, 2027, based on a prescribed methodology. Mr. Vela reviewed the methodology used to calculate the proposed Fiscal Year 2026-27 rate adjustment, including Consumer Price Index (CPI) increases, adjustments related to Senate Bill 1383 implementation, and disposal, recycling, and organic waste processing costs. He stated the proposed monthly residential rate would increase from $31.62 to $32.64 and noted that Banning's rates remain generally comparable to neighboring communities.

He stated the proposed resolution would maintain compliance with the franchise agreement, applicable state regulations, and existing service levels.

In response to Mayor Pro Tem Barrington, Mr. Vela discussed rate calculations for customers with additional refuse containers and referred to the rate schedule included in the agenda packet.

Mayor Pro Tem Barrington and Mayor Royce expressed concerns regarding Waste Management's enforcement of overfilled container requirements and notices issued when container lids remain open. They questioned whether the current enforcement approach was overly restrictive and discussed situations in which wind may cause container lids to open or containers to tip over.

Representatives of Waste Management explained that closed container lids are required for safety during collection operations and to comply with state regulations, including Senate Bill 1383 contamination and diversion requirements. They stated overloaded containers can create safety hazards, increase litter, and affect compliance with CalRecycle's diversion goals. Waste Management representatives also discussed proper use of color-coded containers and noted that previous delays in container availability had primarily occurred during the COVID-19 pandemic.

Frank Connolly expressed concerns regarding solid waste service and costs for homeowners associations. He requested additional community refuse containers, questioned charges for unused containers, and requested additional information regarding applicable state requirements. 74 City of Banning
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9 Edward Espinosa expressed concerns regarding wind conditions affecting refuse containers, cleanup of refuse that escapes from containers, and the availability of replacement color-coded containers.

Laura Leindecker stated Waste Management had been responsive in resolving the few service issues she had experienced and expressed support for the company's customer service.

The City Council continued its discussion regarding container requirements, collection practices, and implementation of the franchise agreement with Waste Management.

MOTION
Council Member Flynn moved and Council Member Miller seconded a motion to adopt Resolution 2026-69. The motion carried unanimously.

9.4 Make a Determination of Exemption Under the California Environmental Quality Act and Consideration of Resolution 2026-70, Receiving a Report in Connection with the Proposed Collection on the 2026-27 Riverside County Property Tax Roll of Delinquent Solid Waste Service Charges for Single-Family and Multi-Family Accounts for Calendar Year 2025, Setting a Public Hearing on the Report
Recommendation: Adopt Resolution 2026-70
Art Vela, Public Works Director, presented the staff report. He stated the item was a continuation of the previous discussion and represented an annual process required under the City's franchise agreement. He explained that when the franchise agreement was approved, the City negotiated the ability to place delinquent residential solid waste accounts on the County tax roll. He stated that after an account became 90 days delinquent, notices were mailed to both tenants and property owners, where applicable. He reported that there were currently 968 delinquent accounts totaling $360,135, including service charges, late fees, and the 10 percent tax roll administrative fee. He stated a public hearing was required before the delinquent accounts could be placed on the tax roll and noted that the hearing was scheduled for June 23, 2026. He further explained that property owners would have approximately one month following the public hearing to pay outstanding balances before the accounts were submitted to the County for placement on the tax roll.

In response to Mayor Royce, Mr. Vela explained there had been clerical errors in the original calculations and confirmed that the revised figures presented to the City Council were accurate.

In response to Council Member Miller, Mr. Vela clarified that the report pertained only to residential accounts and stated that delinquent commercial accounts were written off rather than placed on the tax roll.

In response to Mayor Pro Tem Barrington, Mr. Vela explained that, if approved following the public hearing, staff would transmit the resolution and delinquent account list to the County for placement on the tax roll.

Frank Connolly suggested the City consider a similar process for delinquent water and electric utility accounts.

MOTION
Council Member Flynn moved and Council Member Wallace seconded a motion to adopt Resolution 2026-70. The motion carried unanimously.

9.5 Lamar Billboard – Agreement Overview and Selection of City Advertisement Rendering Recommendation: Receive and file the overview of the Lamar billboard Agreement and provide staff with direction by selecting a preferred advertisement rendering (Attachment A, B, or C) for 75 City of Banning
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10 display on the City of Banning Lamar billboard. Additionally, provide any desired feedback or modifications to the selected design. Upon City Council selection, staff will: 1) finalize the selected design incorporating any Council feedback; 2) coordinate with Lamar Advertising for production and installation; and 3) schedule the advertisement update in accordance with the agreement’s annual no-cost change provision.

Marisol Lopez, Economic Development Manager, presented the staff report. She stated the City obtained exclusive rights to the billboard through a land use agreement in 2021, allowing the City continuous use of the billboard for economic development and tourism promotion. She reviewed the benefits of the agreement and stated the Economic Development Committee had previously met to discuss updated branding concepts and billboard designs. She then presented the proposed billboard design options for City Council consideration.

The City Council discussed the proposed billboard designs and provided feedback regarding various design elements and branding concepts.

Frank Connolly stated the proposed designs were too simple and did not effectively promote the City. He expressed concern that the branding did not adequately reflect Banning's identity and discussed elements of each design. He stated he preferred Design E.

Edward Espinosa stated he preferred Design A and suggested incorporating a stagecoach or another element reflecting Banning's history.

Mayor Royce stated he agreed with Mr. Espinosa's comments. He stated he preferred Designs A and E, but favored Design A with modifications.

Mayor Pro Tem Barrington stated she preferred Design E with modifications and suggested replacing the houses with mountains.

Council Member Flynn discussed the proposed designs and stated she supported Design A.

Council Member Miller stated he preferred Design A.

Following additional discussion, the City Council provided direction to incorporate the suggested modifications into the preferred billboard design.

MOTION
In response to City Manager Gibbs, Mayor Royce moved to table this item. Mayor Pro Tem Barrington seconded the motion. The motion carried 4-1, Council Member Flynn dissenting.

9.6 Discussion and Direction to Staff on a Draft Social Media Policy Recommendation: Discuss the draft social media policy as presented and provide direction to staff on any changes to the policy.

Elizabeth Gibbs, City Manager, presented the staff report and reviewed the proposed Social Media Policy.

Council Member Flynn stated she supported adopting a social media policy but expressed concern that portions of the proposed policy were overly broad and could affect free speech rights.

In response to Council Member Flynn, Assistant City Attorney Norton stated staff would evaluate comments under the proposed policy using a reasonable person standard to determine whether content was defamatory, slanderous, or otherwise violated the policy, and would take appropriate action when warranted. She stated the policy was intended to ensure compliance with the Brown Act.
76 City of Banning
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11 In response to Mayor Royce, Assistant City Attorney Norton stated staff could revise the proposed language to provide additional clarity.

Edward Espinosa commented on the Brown Act and its relationship to social media. He suggested disabling comments on the City's social media platforms to avoid potential legal issues. He also expressed concern that former City Council members continued to display the City's logo and official titles on their personal social media accounts.

The City Council discussed the City's social media presence, including promoting a positive image of the community, limiting social media to informational posts, and the potential use of disabled comments. Council Members also discussed alternative methods for residents to communicate with elected officials, including attending public meetings and contacting Council Members directly.

Assistant City Attorney Norton stated disabling comments could expose the City to potential First Amendment liability because restricting public viewpoints on a government social media page may constitute impermissible viewpoint discrimination.

In response to Council Member Miller, City Manager Gibbs recommended that the item be continued to a future workshop to allow staff and the City Attorney's Office to conduct additional research and address the questions raised by the City Council. By consensus, the City Council directed staff to return the item at a future workshop.

10. ITEMS FOR FUTURE AGENDAS

11.1 NEW ITEMS

1. Rename the Arthur Welch Community Center back to the National Guard Armory (Flynn) April 2026

2. Smoke Shop Moratorium (Miller) April 2026

11.2 EXISTING ITEMS

1. Emergency Preparedness (Barrington) January 2025

2. Streamline Procurement Policy (Flynn) August 2025

3. Sales Tax Agreement Update with Diamond Chevrolet (Flynn) December 2025

4. Cannabis Warehouse Moratorium (New Facilities Only) (Barrington) December 2025

5. Continue Food Truck Festival (Barrington) January 2026

6. Maintenance and replacement of street signs. (Flynn) March 2026 Council Member Wallace asked for a future item to review of the Municipal Code regarding code enforcement related to trees.

Council Member Miller requested an item to review the Fee Schedule, specifically related to special events.

11. ADJOURNMENT
MOTION
Council Member Wallace motioned to adjourn, seconded by Council Member Miller. The motion carried unanimously.

The meeting adjourned at 8:29 p.m.
77 City of Banning
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12 Minutes prepared by:

Sandra B. Calderon
Deputy City Clerk
These minutes have been prepared as Summary Minutes in accordance with City Council Resolution 2025-22 and Government Code Sections 36814, 40801, and 54953(c)(2).

The entire discussion of this meeting may be viewed here:
https://banningca.granicus.com/player/clip/316?view_id=1&redirect=true 78 MINUTES
CITY COUNCIL – SPECIAL MEETING (WORKSHOP)
MAY 14, 2026

1. CALL TO ORDER – 4:00 p.m.

COUNCIL MEMBERS PRESENT: Mayor Richard Royce
Mayor Pro Tem Cindy Barrington
Council Member Sheri Flynn
Council Member Leroy Miller
Council Member Colleen Wallace
COUNCIL MEMBERS ABSENT: None
OTHERS PRESENT: Phaedra Norton, Assistant City Attorney Elizabeth Gibbs, City Manager
Art Vela, Public Works Director
Vickie Sellers, City Clerk
Sandra Calderon, Deputy City Clerk

2. PUBLIC COMMENTS
Susan Savalinin stated workforce development was missing from the proposed plan. She stated the City should diversify its economic development efforts rather than focus on a single industry. She also suggested increased traffic enforcement as a potential source of additional revenue for the City.

3. WORKSHOP

3.1 Banning’s Workout Plan to Sustainability
Recommendation:
(1) Formally acknowledge the financial status update presented in this report; and (2) Provide direction to staff on the revenue and expenditure options outlined in Milestone 5; and
(3) Direct staff to return in June with a proposed budget for the City's next fiscal year (July 2026 through June 2027), incorporating Council guidance from this workshop.

Elizabeth Gibbs, City Manager, presented the staff report regarding the City's financial outlook. She stated the City was facing significant financial challenges and that staff would present the current fiscal condition, factors contributing to the situation, and potential strategies for recovery. She stated the presentation would include an overview of projected finances and that staff would seek City Council direction regarding future budget development. Ms. Gibbs introduced Jim Morris, financial forecast consultant. She explained that the forecast began with a baseline scenario reflecting the City's current financial trajectory absent corrective action and stated the baseline forecast indicated significant fiscal concerns.

Jim Morris, Urban Futures, financial advisor to the City of Banning, presented the fiscal outlook and discussed the forecasting methodology used in the analysis. He stated the forecast was based on the City's ten-year financial history, regional economic data, and revenue and expenditure trends. He 79 City of Banning
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2 noted that long-range forecasts are inherently conservative due to the uncertainty associated with future economic conditions.

Mr. Morris explained that the baseline forecast assumes current spending and revenue patterns continue over a ten-year period and serves as a starting point for evaluating future policy decisions.

He stated that City Council direction would be incorporated into future scenario forecasts for comparison against the baseline.

Mr. Morris reviewed the baseline financial projections and discussed the City's structural deficit, noting that expenditures have exceeded revenues for several years and that fund balance levels have declined. He stated the City would need to identify opportunities to close the gap between revenues and expenditures and indicated that potential solutions would be discussed later in the presentation.

In response to Council Member Flynn, Mr. Morris stated that the forecast included General Fund expenditures such as salaries, operating costs, and debt service obligations, but did not include enterprise funds.

In response to Council Member Wallace, Mr. Morris discussed the City's CalPERS obligations and stated the City's retirement system was relatively well funded compared to many other jurisdictions.

In response to a member of the public, Mr. Morris discussed previous clients that had faced similar fiscal challenges. He stated that earlier identification of structural financial issues provides greater flexibility in addressing them and noted that timely decision-making would be important moving forward. He stated the City had viable options available to address the projected deficit and discussed examples of how financial forecasting tools can be used to evaluate policy decisions and achieve long-term fiscal stability.

Mike Bush, financial consultant for the City, discussed his experience assisting other agencies through fiscal recovery efforts. He stated that addressing structural deficits often requires evaluating workforce levels, revenue opportunities, and service delivery models. He noted that when fiscal gaps are significant, incremental reductions alone may not be sufficient and broader operational adjustments may need to be considered. He emphasized the importance of providing the City Council with sufficient time and information to make informed policy decisions. He stated he generally did not support across-the-board reductions, as such cuts can disproportionately affect departmental operations, and noted that implementation of fiscal solutions often requires a targeted approach. He stated some decisions would be relatively straightforward while others would be more difficult.

Ms. Gibbs discussed the City's decision to conduct an open and transparent process regarding its fiscal challenges. She stated that City services belong to the residents and that public involvement was an important component of the process. She reviewed the recently adopted Strategic Plan, Banning 2030, and specifically Initiative 4A, "Banning's Workout Plan to Fiscal Sustainability." Ms. Gibbs outlined the five milestones of the initiative, including: (1) completing the City's financial records for Fiscal Year 2024-25 to establish an accurate financial position; (2) reconciling Fiscal Year 2025-26 activity and developing year-end estimates; (3) updating and adopting Fiscal Management Policies; (4) completing a ten-year fiscal forecast and establishing budget guidance; and (5) evaluating options to eliminate structural deficits and restore fund balances. She discussed each milestone and the City’s budget and financial situation in greater detail.

Sue Savage, Banning's elected City Treasurer, stated she had previously warned City officials that current spending levels were not sustainable. She stated that shortly after raising those concerns, 80 City of Banning
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May 14, 2026 Special Meeting – Workshop
3 she lost access to her office and was limited in her ability to communicate with the public regarding financial matters. She questioned whether her concerns had been inaccurate or simply unwelcome.

She stated the City continued to face significant fiscal challenges and questioned whether the Council was prepared to take the actions necessary to address them. She acknowledged recent efforts to reduce spending but stated expenditures continued to exceed revenues. She also stated the City Treasurer's Office could assist with investment strategies and other financial tools, provided there was a willingness to collaborate.

Frank Connolly stated that policies were already in place to address many of the City's financial issues but had not been consistently followed by previous staff. He emphasized the importance of adhering to adopted policies and stated that policies should be meaningfully implemented if they are to be effective.

Mayor Royce thanked both speakers for their comments and stated he agreed with their observations. He stated he looked forward to the Council taking the matter seriously and adhering to the adopted budget in the upcoming fiscal year.

Ms. Gibbs discussed the City's two primary fiscal challenges: restoring depleted fund balances and addressing the ongoing structural deficit. She stated that both issues required action but would require different solutions.

Ms. Gibbs reviewed potential one-time funding sources available to restore fund balance, including the sale of surplus City-owned properties, potential revenues associated with the Sunset Crossroads development agreement, and options related to existing utility lease agreements. She noted that onetime revenues could be used to stabilize reserves but would not address ongoing operating deficits.

She then discussed potential long-term solutions to address the structural deficit, including a local sales tax measure, economic development initiatives, and continued growth of the City's commercial and industrial tax base. She reviewed timelines and requirements associated with a potential sales tax measure and discussed efforts to promote economic development, including opportunities at the Banning Municipal Airport.

Ms. Gibbs outlined a proposed three-phase approach consisting of: (1) stabilization through expenditure reductions, accounting improvements, and restoration of financial controls; (2) structural alignment of ongoing revenues and expenditures through forecasting and fiscal discipline; and (3) long-term sustainability through economic development, restoration of reserves, and potential voterapproved revenue measures.

Ms. Gibbs stated the City already operates with limited service levels and that expenditure reductions alone would not be sufficient to eliminate the structural deficit. She also discussed municipal bankruptcy, explaining why staff did not believe it was an appropriate solution for the City's circumstances.

Ms. Gibbs concluded by outlining next steps, including finalization of the proposed budget, implementation of updated fiscal management policies, evaluation of service reductions, and initiation of community outreach related to potential future revenue measures. She reiterated the actions being requested of the City Council as part of the workshop.

In response to Council Member Miller, Art Vela, Public Works Director, discussed the five City-owned properties that could potentially be declared surplus and sold.

In response to Mayor Royce, Mr. Vela stated staff could evaluate the financial implications of leasing the properties versus selling them outright.
81 City of Banning
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4 In response to Council Member Wallace, Mr. Vela stated staff could explore opportunities to connect business owners with developers interested in investing in Banning.

In response to Council Member Flynn, Ms. Gibbs stated it would likely take approximately one year from groundbreaking to opening of a Sam's Club at the Sunset Crossroads shopping center, after which sales tax revenues would begin to be received. She stated an additional year or more would likely be required for planning, entitlement, and approval processes prior to construction.

In response to a public speaker, Mr. Vela discussed a recent condominium development and stated the project would generate ongoing property tax revenues but limited recurring revenues beyond that. He stated one-time revenues associated with the project would primarily consist of development and permit fees.

In response to Council Member Flynn, Mr. Vela stated he was uncertain why City-owned properties had not been declared surplus and sold in the past. He stated it was his understanding that one reason was to maintain control over future development of the properties and noted that would be an important consideration moving forward.

In response to Mayor Royce, Mr. Vela stated the properties had not been actively marketed for sale, with the exception of 150 Ramsey Street.

Mayor Pro Tem Barrington stated that the last City-owned property sold by the City was sold below its appraised value.

Council Members expressed general consensus in support of exploring a potential sales tax measure for the November 2027 ballot and evaluating City-owned properties for potential sale.

In response to questions from the City Council, Mr. Bush discussed the advantages and disadvantages of leasing versus selling City-owned property. He stated that developers often prefer to purchase property outright rather than lease it, particularly when substantial capital improvements are required. He noted that developers may offer less than market value when significant site improvements are necessary, but that long-term sales tax revenues generated by development may offset any reduction in the initial sale price. He also stated that some available parcels may need to be assembled with adjacent properties to support larger development projects and encouraged the City Council to maintain realistic expectations regarding development opportunities.

Council Member Flynn stated she agreed with Mayor Pro Tem Barrington that undeveloped Cityowned properties should be sold rather than leased. She also stated that development-related conditions could potentially be included as part of the sale process.

In response to City Manager Gibbs, Mayor Royce stated he did not believe accelerating utility lease payments was in the City's best interest at this time. Following additional discussion and clarification from staff, the City Council expressed interest in further analyzing the option.

Council Member Flynn discussed the City's utility system and stated the City should consider evaluating the potential sale of utility assets to Southern California Edison.

In response to City Manager Gibbs, Council Members expressed interest in exploring the use of Community Facilities Districts in connection with future development projects.

The City Council discussed personnel costs, service levels, and potential expenditure reductions. 82 City of Banning
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5 Mayor Royce stated the City should conduct a comprehensive review of departmental structures, staffing levels, operating expenses, and service delivery. He emphasized the importance of prioritizing core governmental functions and basic services before enhanced services.

Council Member Flynn acknowledged that reductions to enhanced services would be difficult but stated temporary reductions may need to be considered as part of the City's fiscal recovery efforts.

Mayor Pro Tem Barrington and Council Member Wallace requested additional information regarding the costs associated with enhanced services before making decisions regarding potential reductions.

Council Member Wallace expressed concern regarding the impact service reductions could have on staffing levels and public safety operations.

Mayor Pro Tem Barrington stated the Council should rely on recommendations from department directors regarding staffing and service levels, noting that reductions should be carefully evaluated to avoid unintended operational impacts.

Mayor Royce discussed additional cost-saving measures that could be explored, including temporary furloughs, contract and benefit negotiations, and other personnel-related adjustments. He stated the City was currently in a period of fiscal triage and would need to focus on achieving alignment between revenues and expenditures.

Mayor Pro Tem Barrington suggested that programs could be designed to be cost-neutral versus cut completely.

Council Member Miller suggested that the City look into in-kind services as a potential place to cut costs or increase revenue.

4. ADJOURNMENT
MOTION
Council Member Wallace motioned to adjourn, seconded by Council Member Miller.

The question was called and the motion carried unanimously.

The meeting adjourned at 6:08 p.m.

Minutes prepared by:

Sandra B. Calderon
Deputy City Clerk
These minutes have been prepared as Summary Minutes in accordance with City Council Resolution 2025-22 and Government Code Sections 36814, 40801, and 54953(c)(2).

The entire discussion of this meeting may be viewed here:
83 City of Banning
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6 https://banningca.granicus.com/player/clip/317?view_id=1&redirect=true 84 CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Sandra Calderon, Deputy City Clerk
Todd Hopkins, CalFire Division Chief
MEETING DATE: August 25, 2026
SUBJECT: Receive and File Fire Protection Services Statistics for the Month of June and July 2026
STAFF RECOMMENDATION:

Receive and file
BACKGROUND:

City Council has requested CalFire’s Riverside County Division, which provides fire protection services in the City of Banning, provide specific reports to the public and City Council on a monthly basis.

JUSTIFICATION:

Many Fire and EMS Departments store and analyze statistical data, which can provide a detailed analysis of the types of responses their organization is called to assist. This information is critical to elevating the level of service provided by the Fire Department.

FISCAL IMPACT:

None
ATTACHMENTS:

1. jurisreport_banning.pdf

2. jurisreport_banning.pdf
85 Robert Fish
Jurisdiction Summary for City of Banning
Fire Chief
Riverside County Fire Department/ CAL FIRE
6/1/2026 to 6/30/2026
Incident Response Activity
*At least 1 Resource Dispatched
Incident Type #
6 False Alarm 21
Medical 375
Other Fire 5
Other Misc 4
Public Service Assist 15
Res Fire 3
Ringing Alarm 2
Standby 6
Traffic Collision 17
Vehicle Fire 1
Wildland Fire 5
Incident Total 460
Average Enroute to On-Scene Time
*Units Responding Charlie, Delta, Bravo, Echo, Code 3
8 238 77
1 4.47 73.46
<5 Minutes +5 Minutes
+10 Minutes +20 Minutes
Average Min % 0 to 5 Min
Enroute Time: Unit has been acknowledged as responding.

On-Scene Time: Unit has been acknowledged as being On-Scene.

Transport
*Based on Units with a Transport time
0 Total: 0
Mutual Aid
*Unit responses
Jurisdiction Units Responses
Engine 161
Total: 161
Mutual Aid Given
Engine 202
Total: 202
Mutual Aid Received
Breathing Support 2
Brush 9
Chief 12
Engine 330
MRF 36
Nurse 20
Patrol 11
PIO 2
Squad 36
Truck/Quint 13
Total: 471
7/1/2026 1:41:02PM Page 1 of 286
Truck Report
Q106 recorded 13 responses in City of Banning from 6/1/2026 1:40:09 PM to 6/30/2026 1:40:09 PM
Significant Incidents
CALFIRE/Riverside County Fire Department responded to a reported structure fire at the address listed above. The first arriving engine reported a single-story structure with heavy volume of fire coming from the rear of the structure. Crews deployed hose lines and were able to keep fire contained to an attached rear garage. During the primary search of the structure Firefighters were able to rescue 4 dogs and 4 cats. Red Cross has made contact with the family. No Civilians or Firefighters were injured during the operation.
26CARRU092674
6/8/2026 2:30:00PM
CAL FIRE / Riverside County Fire Department responded to reports of a residential structure fire at the above address. The first arriving company officer reported a single-story residential structure fully involved with fire. Firefighters contained the fire to the building of origin. One firefighter with minor injuries was transported to a local hospital for evaluation. One resident was transported to a local hospital with minor injuries. Seven persons were displaced as a result of the fire. Red Cross was contacted and will be providing assistance. Firefighters will remain on scene for overhaul. 26CARRU100195
6/21/2026 4:38:00PM
7/1/2026 1:41:02PM Page 2 of 287
Robert Fish
Jurisdiction Summary for City of Banning
Fire Chief
Riverside County Fire Department/ CAL FIRE
7/1/2026 to 7/31/2026
Incident Response Activity
*At least 1 Resource Dispatched
Incident Type #
Com Fire 1
False Alarm 38
Medical 411
Other Fire 11
Other Misc 3
Public Service Assist 21
Ringing Alarm 2
Standby 2
Traffic Collision 12
Vehicle Fire 2
Wildland Fire 10
Incident Total 513
Average Enroute to On-Scene Time
*Units Responding Charlie, Delta, Bravo, Echo, Code 3
6 249 89
1 4.25 72.17
<5 Minutes +5 Minutes
+10 Minutes +20 Minutes
Average Min % 0 to 5 Min
Enroute Time: Unit has been acknowledged as responding.

On-Scene Time: Unit has been acknowledged as being On-Scene.

Transport
*Based on Units with a Transport time
0 Total: 0
Mutual Aid
*Unit responses
Jurisdiction Units Responses
Engine 179
Total: 179
Mutual Aid Given
Engine 241
Total: 241
Mutual Aid Received
1 Breathing Support 1
Brush 16
Chief 9
Crew 2
Dozer 3
Engine 377
MRF 38
Nurse 19
Patrol 8
PIO 7
Squad 33
Truck/Quint 16
Water Tender 2
Total: 532
8/1/2026 1:41:04PM Page 1 of 288
Truck Report
Q106 recorded 16 responses in City of Banning from 7/1/2026 1:40:10 PM to 7/31/2026 1:40:10 PM
Significant Incidents
CAL FIRE/Riverside County Fire Department units responded to reports of a commercial structure fire at the above location. The first arriving unit arrived on scene to find an abandoned building with smoke coming from the roof and openings of the building. Quick action of firefighters limited the spread of the fire to a pile of trash and debris inside the building. The building has previously been involved in fire so further damage to the structure was minimal. There were no reported injuries to civilians or firefighters. Firefighters remained at scene for an additional hour and a half for overhaul.
26CARRU122212
7/29/2026 3:12:00PM
8/1/2026 1:41:04PM Page 2 of 289

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Kristine Gutierrez, Community Development Operations Manager Vincent Avila, Chief of Police
MEETING DATE: August 25, 2026
SUBJECT: Receive and File Code Enforcement Statistics for the Month of June & July 2026
STAFF RECOMMENDATION:

Receive and file
BACKGROUND:

The Banning Police Department provides Code Enforcement statistics to the public and City Council upon request.

JUSTIFICATION:

Statistics provide details on the types of code enforcement related calls the City responds to. Statistics show increases and decreases in particular areas of Code Enforcement over time.

FISCAL IMPACT:

None.

ATTACHMENTS:

1. Code Stats June 2026.pdf

2. July Code Stats 2026.pdf
90 Code Enforcement Jun‐26 Jun‐25 % CHGE YTD‐26 YTD‐25 % CHGE New Cases Opened 55 94 ‐41% 504 254 98%Total Cases Open (Active) 242 408 ‐41% 1502 2398 ‐37%Notice of Violations Issued 201 210 ‐4% 1432 701 104%Violations Resolved 181 150 21% 1419 703 102%Citations Issued 32 0 3200% 188 37 408%Inspections Completed 145 206 ‐30% 1336 683 96%Collected Fee's (Citations) $ 3,745.00 $ 295.00 1169% 17,240.00 $ $ 2,241.67 669%Red Tagged Properties 2 0 200% 11 15 ‐27%AVA Program Vehicles Abated 0 0 0% 4 0 400%Weed Abatement Cost Recovery $ ‐ 5,264.95 $ 526495% 28,951.35 $ $ ‐ 90,935.03 68%72 Hour Parking (NOV) CVC 22651 K 15 27 ‐44% 96 30 220%Unhoused Encampments Tagged (PC602) 15 6 150% 106 9 1078%Calls For Service 151 1 15000% 1101 6 18250%

BANNING POLICE DEPARTMENT
JUNE, 2026
91 Code Enforcement Jul-26 Jul-25 % CHGE YTD-26 YTD-25 % CHGE New Cases Opened 41 140 -71% 545 394 38%
Total Cases Open (Active) 243 356 -32% 1745 2754 -37%
Notice of Violations Issued 140 476 -71% 1572 1177 34%
Violations Resolved 209 300 -30% 1628 1003 62%
Citations Issued 54 12 350% 242 49 394%
Inspections Completed 175 432 -59% 1511 1115 36%
Collected Fee's (Citations) $ - $ 20.00 -100% $ 17,240.00 $ 2,261.67 662% Red Tagged Properties 1 1 0% 12 16 -25%
AVA Program Vehicles Abated 1 0 100% 5 0 500%
Weed Abatement Cost Recovery $ - $ - 0% $ 28,951.35 $ 90,935.03 -68% 72 Hour Parking (NOV) CVC 22651 K 3 63 -95% 99 93 6%
Unhoused Encampments Tagged (PC602) 12 23 -48% 118 32 269% Calls For Service 185 79 134% 1135 84 1251%

BANNING POLICE DEPARTMENT
JULY, 2026
92 CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Brandon Smith, Lieutenant
Vincent Avila, Chief of Police
MEETING DATE: August 25, 2026
SUBJECT: Receive and File Police Department Statistics for the Month of June & July 2026
STAFF RECOMMENDATION:

Receive and file
BACKGROUND:

The Banning Police Department provides statistics to the public and City Council upon request.

JUSTIFICATION:

Statistics tell a city how many police officers need to be on the street, what crimes are being committed, and reveal increases and decreases in specific crimes. Also, cities get funding in part on their crime rates. If a federal crime bill passed, the Government needs to know which cities could benefit the most from those funds, and some cities have been rewarded financially for drastically lowering rates of crime.

FISCAL IMPACT:

None.

ATTACHMENTS:

1. Group A Offense Stats 2026 June.pdf

2. Police Stats June 2026.pdf

3. Group A Offense Stats 2026 July.pdf

4. Police Stats July 2026.pdf
93 Offense Reported
in 2026
Reported
in 2025
Percent
Change
Offenses
Cleared
Percent
Cleared
Percent Of
Category
Rate Per
100,000*
Murder 1 0 NA 1 100.00% 4.17% 3.13
Negligent Manslaughter 0 0 NA 0 0.00% 0.00% 0.00
Justifiable Homicide 0 0 NA 0 0.00% 0.00% 0.00
Non-consensual Sex Offenses:

Rape 1 1 0.00% 0 0.00% 4.17% 3.13
Sodomy 0 0 NA 0 0.00% 0.00% 0.00
Sexual Assault with Object 0 0 NA 0 0.00% 0.00% 0.00
Fondling 0 0 NA 0 0.00% 0.00% 0.00
Aggravated Assault 6 9 -33.33% 4 66.67% 25.00% 18.75
Simple Assault 14 14 0.00% 7 50.00% 58.33% 43.75
Intimidation 1 1 0.00% 1 100.00% 4.17% 3.13
Kidnapping/Abduction 1 1 0.00% 0 0.00% 4.17% 3.13
Consensual Sex Offenses:

Incest 0 0 NA 0 0.00% 0.00% 0.00
Statutory Rape 0 0 NA 0 0.00% 0.00% 0.00
Human Trafficking, Commercial
Sex Acts
0 0 NA 0 0.00% 0.00% 0.00
Human Trafficking, Involuntary
Servitude
0 0 NA 0 0.00% 0.00% 0.00
Crimes Against Persons Total 24 26 -7.69% 13 54.17% 29.63% 75 Robbery 1 3 -66.67% 0 0.00% 3.70% 3.13
Burglary/Breaking & Entering 2 1 100.00% 1 50.00% 7.41% 6.25 Larceny/Theft Offenses 11 9 22.22% 1 9.09% 40.74% 34.38 Motor Vehicle Theft 2 9 -77.78% 0 0.00% 7.41% 6.25
Arson 0 0 NA 0 0.00% 0.00% 0.00
Destruction Of Property 7 8 -12.50% 3 42.86% 25.93% 21.88 Counterfeiting/Forgery 1 1 0.00% 0 0.00% 3.70% 3.13
Fraud Offense 3 1 200.00% 1 33.33% 11.11% 9.38
Embezzlement 0 0 NA 0 0.00% 0.00% 0.00
Extortion/Blackmail 0 0 NA 0 0.00% 0.00% 0.00
Bribery 0 0 NA 0 0.00% 0.00% 0.00
Stolen Property Offenses 0 0 NA 0 0.00% 0.00% 0.00
Crimes Against Property Total 27 32 -15.63% 6 22.22% 33.33% 84.38 Drug/Narcotic Violations 13 4 225.00% 13 100.00% 43.33% 40.63 Drug Equipment Violations 14 6 133.33% 14 100.00% 46.67% 43.75 Gambling Offenses 0 0 NA 0 0.00% 0.00% 0.00
Pornography/Obscene Material 0 0 NA 0 0.00% 0.00% 0.00
Prostitution 0 0 NA 0 0.00% 0.00% 0.00
Weapons Law Violation 3 1 200.00% 3 100.00% 10.00% 9.38 Animal Cruelty 0 0 NA 0 0.00% 0.00% 0.00
Crimes Against Society Total 30 11 172.73% 30 100% 37.04% 93.75 Agency: BANNING PD
Total Group "A" Offenses 81 69 17.39% 49 60.49% 100% 253.13 Statewide Crime Profile * Adjusted population base: 32,000 2026 Crime in California

Note: The Rate per 100,000 will be 'NA' when the Adjusted Population Base is Zero.

Group A Offense Report
Beginning Date: 06/01/2026 Ending Date: 06/30/2026
Printed On: 07/13/2026

Page 1 of 1 ends

94 CRIME Jun-26 Jun-25 % CHGE YTD-26 YTD-25 % CHGE
PART 1 CRIMES
Homicide 1 1 0% 1 4 -75%
Rape 1 1 0% 3 3 0%
Robbery 1 3 -67% 7 6 17%
Assaults Agg/Simp 20 18 11% 91 84 8%
Burglary 2 7 -71% 5 45 -89%
Vehicle Theft 2 2 0% 28 27 4%
Larceny 11 12 -8% 94 68 38%
OTHER
Narcotics 13 10 30% 54 48 13%
DUI 4 5 -20% 16 13 23%
T/C Non-Injury 10 6 67% 119 48 148%
T/C Injury 6 0 600% 17 21 -19%
T/C Fatal 0 0 0% 1 0 100%
Transient Calls 121 159 -24% 803 791 2%
Unattended Death 4 8 -50% 30 43 -30%
246PC 2 0 200% 6 11 -45%
Citations 144 98 47% 757 380 99%
Total Incidents 3148 3066 3% 19075 17261 11%

BANNING POLICE DEPARTMENT
JUNE, 2026
95 Offense Reported
in 2026
Reported
in 2025
Percent
Change
Offenses
Cleared
Percent
Cleared
Percent Of
Category
Rate Per
100,000*
Murder 0 0 NA 0 0.00% 0.00% 0.00
Negligent Manslaughter 0 0 NA 0 0.00% 0.00% 0.00
Justifiable Homicide 0 0 NA 0 0.00% 0.00% 0.00
Non-consensual Sex Offenses:

Rape 1 0 NA 0 0.00% 5.26% 3.13
Sodomy 0 0 NA 0 0.00% 0.00% 0.00
Sexual Assault with Object 0 0 NA 0 0.00% 0.00% 0.00
Fondling 0 0 NA 0 0.00% 0.00% 0.00
Aggravated Assault 5 5 0.00% 2 40.00% 26.32% 15.63
Simple Assault 11 8 37.50% 6 54.55% 57.89% 34.38
Intimidation 1 3 -66.67% 0 0.00% 5.26% 3.13
Kidnapping/Abduction 1 0 NA 1 100.00% 5.26% 3.13
Consensual Sex Offenses:

Incest 0 0 NA 0 0.00% 0.00% 0.00
Statutory Rape 0 0 NA 0 0.00% 0.00% 0.00
Human Trafficking, Commercial
Sex Acts
0 0 NA 0 0.00% 0.00% 0.00
Human Trafficking, Involuntary
Servitude
0 0 NA 0 0.00% 0.00% 0.00
Crimes Against Persons Total 19 16 18.75% 9 47.37% 29.69% 59.38 Robbery 0 0 NA 0 0.00% 0.00% 0.00
Burglary/Breaking & Entering 4 3 33.33% 1 25.00% 14.29% 12.50 Larceny/Theft Offenses 11 10 10.00% 4 36.36% 39.29% 34.38 Motor Vehicle Theft 2 11 -81.82% 0 0.00% 7.14% 6.25
Arson 1 0 NA 1 100.00% 3.57% 3.13
Destruction Of Property 10 7 42.86% 2 20.00% 35.71% 31.25 Counterfeiting/Forgery 0 0 NA 0 0.00% 0.00% 0.00
Fraud Offense 0 0 NA 0 0.00% 0.00% 0.00
Embezzlement 0 0 NA 0 0.00% 0.00% 0.00
Extortion/Blackmail 0 0 NA 0 0.00% 0.00% 0.00
Bribery 0 0 NA 0 0.00% 0.00% 0.00
Stolen Property Offenses 0 2 -100.00% 0 0.00% 0.00% 0.00 Crimes Against Property Total 28 33 -15.15% 8 28.57% 43.75% 87.5 Drug/Narcotic Violations 9 1 800.00% 9 100.00% 52.94% 28.13 Drug Equipment Violations 6 2 200.00% 6 100.00% 35.29% 18.75 Gambling Offenses 0 0 NA 0 0.00% 0.00% 0.00
Pornography/Obscene Material 0 0 NA 0 0.00% 0.00% 0.00
Prostitution 0 0 NA 0 0.00% 0.00% 0.00
Weapons Law Violation 2 0 NA 2 100.00% 11.76% 6.25
Animal Cruelty 0 0 NA 0 0.00% 0.00% 0.00
Crimes Against Society Total 17 3 466.67% 17 100% 26.56% 53.13 Agency: BANNING PD
Total Group "A" Offenses 64 52 23.08% 34 53.13% 100% 200 Statewide Crime Profile * Adjusted population base: 32,000 2026 Crime in California

Note: The Rate per 100,000 will be 'NA' when the Adjusted Population Base is Zero.

Group A Offense Report
Beginning Date: 07/01/2026 Ending Date: 07/31/2026
Printed On: 08/13/2026

Page 1 of 1 ends

96 CRIME Jul-26 Jul-25 % CHGE YTD-26 YTD-25 % CHGE
PART 1 CRIMES
Homicide 0 0 0% 1 4 -75%
Rape 1 1 0% 4 4 0%
Robbery 0 1 -100% 7 7 0%
Assaults Agg/Simp 16 13 23% 107 97 10%
Burglary 4 6 -33% 9 51 -82%
Vehicle Theft 2 6 0% 30 33 -9%
Larceny 11 15 -27% 105 83 27%
OTHER
Narcotics 3 17 -82% 57 65 -12%
DUI 0 5 -100% 16 18 -11%
T/C Non-Injury 1 3 -67% 120 51 135%
T/C Injury 4 0 400% 21 21 0%
T/C Fatal 1 0 100% 2 0 200%
Transient Calls 127 157 -19% 930 948 -2%
Unattended Death 7 6 17% 37 49 -24%
246PC 0 0 0% 6 11 -45%
Citations 110 132 -17% 867 512 69%
Total Incidents 3268 3375 -3% 22343 20636 8%

BANNING POLICE DEPARTMENT
JULY, 2026
97 CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Brandon Smith, Lieutenant
Vincent Avila, Chief of Police
MEETING DATE: August 25, 2026
SUBJECT: Receive and File Animal Control Statistics for the Month of June & July 2026
STAFF RECOMMENDATION:

Receive and file
BACKGROUND:

The Banning Police Department provides Animal Control Services statistics to the public and City Council upon request.

JUSTIFICATION:

Statistics tell a city how many Animal Control Officers need to be on the street, the types of calls they handle, and the need for additional services. Statistics show increases and decreases in particular areas of Animal Control Services over time.

FISCAL IMPACT:

None.

ATTACHMENTS:

1. ACO Stats 2026 June.pdf

2. ACO Stats 2026 July.pdf
98 ANIMAL CONTROL Jun-26 Jun-25 % CHGE YTD-26 YTD-25 % CHGE Calls for Service 195 123 59% 859 621 38%
Animals Impounded 38 6 533% 154 15 927%
Animals Euthanized 5 2 150% 20 5 300%
Bite Reports 3 3 0% 17 18 -6%
Citations Issued 2 0 200% 13 0 1300%
Expenses 2664.85 2295.5 16% 14010.8 10335.36 36%
Revenue 732.39 886 -17% 2428.95 5536 -56%

BANNING POLICE DEPARTMENT
JUNE, 2026
99 ANIMAL CONTROL Jul-26 Jul-25 % CHGE YTD-26 YTD-25 % CHGE Calls for Service 161 118 36% 1020 739 38%
Animals Impounded 41 5 720% 195 20 875%
Animals Euthanized 4 2 100% 24 7 243%
Bite Reports 1 5 -80% 18 23 -22%
Citations Issued 4 0 400% 17 0 1700%
Expenses $ - $ 738.75 -100% $ 14,010.80 $ 11,074.11 27% Revenue $ 300.00 $ 646.00 -54% $ 2,728.95 $ 6,182.00 -56%

BANNING POLICE DEPARTMENT
JULY, 2026
100

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Sandra Calderon, Deputy City Clerk
MEETING DATE: August 25, 2026
SUBJECT: Approval of City Attorney Invoices for the Month of July 2026 STAFF RECOMMENDATION:

Approve the attorney invoices for July 2026 as presented in the amount of $124,916.70 BACKGROUND:

Invoices cover legal services provided to the City during July 2026 and are submitted for Council approval.

JUSTIFICATION:

The invoices reflect legal services provided to the City during July 2026. Approval is necessary to ensure timely payment for contracted legal services.

FISCAL IMPACT:

Funds are available within the City's adopted budget for legal services.

ATTACHMENTS:

1. Banning Statements-July 2026_Redacted.pdf
101

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102320 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $266.00
102

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102321 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $266.00
103

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102322 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $266.00
104

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102323 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $105.00
105

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102324 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $261.80
106

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102325 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $1,741.60
107

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102326 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $16,941.40
108

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102327 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $30.80
109

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102328 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $11,085.30
110

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102329 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $910.00
111

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102330 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $743.00
112

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/29/2026: Invoice # 102332 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $90,901.40
113

SLOVAK BARON EMPEY MURPHY & PINKNEY LLP
www.sbemp.com
74774 Highway 111
Indian Wells, CA 92210
Fed. ID #33-0833010
Telephone 760-322-2275
August 6, 2026
City of Banning

E-MAIL INVOICES
Our file no:

Professional services through: 7/31/2026: Invoice # 102331 Amount
BALANCE DUE – PLEASE SUBMIT PAYMENT: $1,398.40
114

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Ralph Wright, Parks and Recreation Director MEETING DATE: August 25, 2026
SUBJECT: Parks and Recreation Report of Monthly Activities through the 4th Quarter of Fiscal Year 2025/2026
STAFF RECOMMENDATION:

Receive and file
BACKGROUND:

To better track the participation levels of parks and recreation program offerings and the facilities usage for parks and recreation programs and services, staff developed a monthly report that is used to compile and present our numbers, help tell our story and allow for easy year over year comparison.

The ten-page report includes parks staff activities, park and facility usage, sports and classes participation, Senior activities, Banning Connect ridership and passes sold, aquatics programming, special events and the last page is a tracking page for trips and activities associated with the Outdoor Equity Program grant. The report is aligned with the fiscal year, July through June of each year and compiled each month.

Staff brings the report to the Council after each quarter of the Fiscal Year. Attached in this item, is the June 2026 report that contains participation information through the end of the 4th quarter of FY 2025-26 and includes participation data for the entire 2025/2026 Fiscal year.

The 4th quarter report shows strong ongoing park and facility usage as well as continued strong participation data throughout all programming areas. The June report also shows the start of our Summer programming with the start of our Summer Day Camp program and the aquatic programming in full swing.

The June report continues to show great participation throughout all programming and services offered in the Senior Center. The daily meal program has grown to offering up to an average of 821 daily meals each month.

The report shows a slight reduction in the total number of incidents of graffiti and a significant increase in the total incidents of vandalism through the Fiscal Year, the impacts on the department and the general public are noticeable. Staff attempts to mitigate the graffiti and repair or remove any hazardous debris from the vandalism as soon as possible. These negative incidents significantly impact our park staff's ability to perform ongoing park’s maintenance and the general public’s ability to use the park.

TRACKING OF PARK REVENUE AND PARK FEES WAIVED:

During City Council discussions on previous Parks and Recreation Monthly Reports of Activities, it was requested that it would be helpful to include total revenue received on a monthly basis from parks 115
facilities as well as information on total costs associated with waived fees in park facilities. Beginning in the July 2026 Monthly Report, the department will be including both collected park's revenue and fees waived to increase transparency and increase an understanding of the costs and impacts. These fees will include park and facility rental fees, shelter fees, ballfields and all applicable facility rental fees.

JUSTIFICATION:

This report provides quantitative information pertinent to parks and recreation services offered for the City of Banning's residents.

FISCAL IMPACT:

There is no fiscal impact with this report
ATTACHMENTS:

1. Parks and Recreation MRA - June 2026.pdf
116
*Fiscal Year *
25-26
*The Monthly Reports are based on a fiscal year*
July 1, 2025- June 30, 2026
Six parks with approximately 58 developed acres maintained P1
P2
P3
P4
P5
P6
P7
P8
P9
P10
Parks Maintenance
Parks Usage
Facility Usage
Sports/Volunteers
Senior Center
Classes / Programs
Transit
Aquatics
Special Events
Outdoor Equity
PARK and REC Stats
Monthly Year-to-Date
2024-2025 2025-2026 2024-2025 2025-2026
# of trees PLANTED 0 0 1 10
# of trees REMOVED 0 0 5 2
# of trees TRIMMED 2 4 93 44
Service requests completed by
Parks 8 13 91 122
Vandalism incidents repaired 11 11 106 141
Graffiti incidents repaired 21 22 215 184
June is full of dancing, swimming, and celebrating holidays like Juneteenth and Father’s Day. We remind ourselves that celebrating with friends is good medicine and
days at the pool are what
makes summer great.
117
2 Park/Field Usage
# of uses
Monthly Year-to-Date
2024-2025 2025-2026 2024-2025 2025-2026
Dysart Park 6 13 46 62
Lion’s Park 3 78 346 417
Repplier Park 33 5 269 297
Richard Sanchez 0 0 0 0
Roosevelt Williams 0 0 3 4
Sylvan Park 8 0 114 83
TOTAL 50 96 790 869
East Ramsey Lot 0 1 11 6
Carpenter Hamilton Park 0 0 0 0
Picnic Area Usage
(scheduled)
# of uses
Monthly Year-to-Date
2024-2025 2025-2026 2024-2025 2025-2026
Repplier Park 18 27 60 56
Roosevelt Williams Small 1 0 2 1
Sylvan Park 22 29 60 67
TOTAL 43 63 140 145
Roosevelt Williams Large 2 7 16 21
Lion’s Park 0 0 2 0
Dysart Park
As the Little League season winds down, it is wonderful to see how Banning Pass Little League works together to provide such an incredible program to the youth in our community.
118
3 n/a - Figures not available
Community Center
# of uses
Monthly Year-to-Date
2024-2025 2025-2026 2024-2025 2025-2026
Small Meeting Room 25 0 186 101
Large Dance Room 21 32 195 267
Gymnasium 74 79 1031 934
Kitchen 0 0 26 28
Parking Lot 1 0 25 22
TOTAL 121 111 1463 1352
Senior Center
# of uses
Monthly Year-to-Date
2024-2025 2025-2026 2024-2025 2025-2026
Nutrition Site 27 25 321 292
Multi-purpose Room 37 41 368 499
TOTAL 64 66 690 791
Playhouse Bowl
# of uses
Monthly Year-to-Date
2024-2025 2025-2026 2024-2025 2025-2026
Meeting Room 22 23 133 110
Amphitheater 1 1 19 11
TOTAL 23 24 152 121
Roosevelt Williams
and Armory
# of uses
Monthly Year-to-Date
2024-2025 2025-2026 2024-2025 2025-2026
Roosevelt Will. Meeting Room 1 1 68 28
TOTAL 2 2 141 51
Armory 1 1 73 23
Facility Use
We had the opportunity to host Infinite Center’s Father’s Day event.
119
4 n/a - Figures not applicable min - Minimum participation not met NO - Not offered Youth Sports # of Participants # of Participants # of Teams Facility Visits Monthly Year to Date Year-to-Date Year To Date
2025-2026 2025-2026 2025-2026 2025-2026
Youth Basketball 0 322 24 6756
Youth Flag Football 0 84 10 1848
Youth Soccer 0 174 11 1960
Smart Start 0 30 0 60
TOTAL 0 610 45 10624
Adult Sports # of Participants # of Participants # of Teams Facility Visits Monthly Year to Date Year-to-Date Year To Date
2025-2026 2025-2026 2025-2026 2025-2026
Adult Softball NO NO NO NO
Adult Basketball 0 119 12 1134
TOTAL 0 119 12 1134
Volunteers # of Volunteers Hours volunteered # of Volunteers Hours volunteered Monthly Monthly Year to Date Year To Date
2025-2026 2025-2026 2025-2026 2025-2026
Coaches 0 0 49 1048
Events 7 28 73 357
Senior Center 16 247 204 3034.25
TOTAL 23 275 326 4439.25
We are gearing up for our summer Soccer Camp in July! This five-day clinic is designed to help young athletes improve their skills through stretching, drills, expert instruction, and fun small-sided scrimmages.
120
5 # of Participants # of Participants
Classes/Programs
Monthly Year to Date
2025-2026 2025-2026
Games & Puzzles 21 443
Bingo & Loteria 102 1321
Health & Wellness Programs 352 2965
Crafts & Activities 101 830
Pool Table 2 98
Education Classes 51 492
Movies 15 167
Events 80 1142
Sponsored Social Programs 65 796
Presentations 22 672
TOTAL 811 8925
# of Participants # of Participants
Services Monthly Year to Date
2025-2026 2025-2026
Fill the Cupboard 20 354
Computer Lab/Library 64 394
Daily Meals 868 9854
Paralegal 0 2
Phone / Walk-in Referrals 154 1634
Morning Greeters 64 921
Food Vouchers / Salvation
Army/Other Services 5 212
Happiness Campaign 57 723
Boutique 109 1113
Cool/Warm Center 0 31
Morongo Moravian Gifts 0 103
Total 1341 15431
I want to shout out a huge thank you to our senior
center staff and volunteers. They continue to make
incredibly fun and meaningful things happen for
our seniors when they plan activities!
121
6 n/a - Figures not applicable min - Minimum participation not met NO - Not offered Classes/Programs # of Participants # of Participants Facility Visits Monthly Year to Date Year To Date
2025-2026 2025-2026 2025-2026
Adult Programs/Classes 60 1842 2687
Youth Programs/Classes 48 630 2436
Day Camp 324 639 8583
Open Gym Basketball 0 511 511
Open Gym Pickleball 81 830 830
Open Gym Volleyball 0 0 0
TOTAL 513 5072 16256
Special Needs Programs/Classes 0 620 1209
It is Day Camp time! We have been doing this program for years, but every year is an adventure entirely its own.
122
7 n/a - Figures not applicable min - Minimum participation not met NO - Not offered # of Passes # of Passes
Bus Passes Purchased Monthly Year to Date
2025-2026 2025-2026
Day Pass n/a n/a
Disabled Bus Pass 0 1
General Bus Pass 0 0
Senior Bus Pass 0 2
Youth Bus Pass n/a n/a
Banning Student Bus Pass 0 0
General Ticket Book 0 8
Senior Disabled Ticket Book 0 0
Dial-A-Ride 10 ticket Pass n/a n/a
TOTAL 0 11
We have come to know and bond with our bus riders either through phone call, from when they check in on the schedule, or in person, when they come to purchase their pass. We are grateful to be of service to them and to notify them that bus rides will be free for all Banning residents.
# of Passengers # of Passengers
Ridership Numbers Monthly Year to Date
2025-2026 2025-2026
Senior/Disabled Passengers 2839 29013
General Passengers 6011 69110
Cabazon Zone Passengers 723 9305
Youth Passengers 179 4593
Student Passengers 908 10377
Veteran Passengers 63 468
Dial-A-Ride Passengers 444 4326
TOTAL 16987 145051
Non Resident Riders 5790 17376
123
n/a - Figures not applicable min - Minimum participation not met NO - Not offered 8 June
Monthly Monthly Yearly
Visits Visits
2025-2026 2025-2026 2025-2026
Child Admission 2263 2263 5384
Adult Admission 1234 1234 3257
Senior Admission 130 130 368
Lap Swim Adult 3 3 9
Lap Swim Senior 130 130 183
Adult Swim Lessons 1 8 16
Children's Lessons 230 1840 4732
Senior Water Exercise 39 39 83
Aqua Zumba 91 91 363
Pool Rentals: 2 360 3780
Dive-In Movie Admission 720 720 1737
Cabana Rentals 7 225 600
TOTAL 4850 7043 20513
Our Swim Season is in full swing and our swim lessons focus on encouraging residents to build a life-long passion for swimming while safely enjoying the water. We have also continued on the tradition of Guard of the Week!
124
9 n/a - Figures not applicable min - Minimum participation not met NO - Not offered We had our annual Disaster Preparedness Expo full of family fun and valuable information.

Special Events Year-to-Date
# Participants/Attendees 2025-2026
Monthly 2025-2026
Evening Concert Series 0 5000
Hispanic Heritage 0 1200
Total: 357 15331
July 4th Celebration 0 2500
Glow Party 0 180
Lego Party 0 15
Halloween Trunk or Treat 0 1300
Family Color Run 0 74
Beary Party 0 21
Santa Shoppe & Pancake Break- 0 450
Paint Party 0 21
Christmas Pajama Party 0 13
Christmas at the Ranch 0 500
Disaster Expo 357 357
Downtown Christmas 0 2500
Downtown Black History Month 0 200
Easter Event 0 1000
125
n/a - Figures not applicable min - Minimum participation not met NO - Not offered 10 June
Monthly Monthly Yearly
Events/
Activities
Participants Participants
2025-2026 2025-2026 2025-2026
Community Clean Ups 0 0 60
Teen Development 6 48 181
Events 0 0 260
Programs 0 0 64
TOTALS 8 160 962
Trips 2 112 397
June
The Outdoor Equity Program seeks to provide outdoor experiences and opportunities to the Banning community. Combining education and the outdoors, the Outdoor Equity Program allows participants to seek enriching outdoor experiences through trips, programs and activities focusing on the surrounding outdoors and community. It has been wonderful to offer these opportunities to our community to explore the outdoors with our Teen Development programming like our Jr. Rec Leader program and our Youth Council. We also love exploring the Orange County Zoo with our Summer Day Camp program as well.

This program funded by the Outdoor Equity Grants Program, created through AB 209 and administered by California State Parks, Office of Grants and Local Services. 126

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Patrick Safari, Capital Improvement Projects Manager Art Vela, Director of Public Works
MEETING DATE: August 25, 2026
SUBJECT: Public Works Capital Improvement Project Tracking List STAFF RECOMMENDATION:

Receive and file
BACKGROUND:

To keep the City Council and the public informed of the progress and status of various capital improvement projects, staff has prepared the attached Public Works CIP Tracking List, which will be updated and presented on a monthly basis.

The tracking list includes planning, environmental, design, and construction contracts previously approved by the City Council and/or the City Manager’s Office and currently managed by the Public Works Department.

JUSTIFICATION:

This recurring item is provided to keep the City Council and public apprised of the progress on certain projects.

FISCAL IMPACT:

Not applicable
ATTACHMENTS:

1. CIP Tracking Sheet_July 2026.pdf
127
Category Project # Project Name Phase % Completed Tasks Completed Current Tasks Future Tasks Tentative Completion Date Project Budget Streets 2023-17 Hargrave Grade Separation PA&ED 40% Contract execution; project kickoff, grant reporting.
35% Caltrans Submittal; 10% UPRR
Approval; FRA RCE Grant Application
65% UPRR Submittal, Environmental
Assessments
12/31/27 $ 8,300,000
Streets - Highland Springs Avenue
Interchange
PA&ED 40% Highway Safety Manual segmentation existing
condition; aerial topo mapping; traffic volume
report; Environmental Purpose/Need Statement;
Air/Noise memos; VMT Methodology Memo;
DDI Exclusion Memo; ROW Data Sheets;
Revised noise studies for new alternate,
updated technical studies
Design Standard Risk Assessment;
Value Analysis Report; Geometric
Approval Document; R/W Data Sheets;
Transp. Management Plan
12/31/27 $ 2,900,000
Streets 2020-04 Sun Lakes Blvd Extension CEQA, PS&E 99% Obtained environmental permits, complted PSE package.

Construction support Complete environmental mitigations 12/1/26 $ 1,248,026 Streets 2020-04 Sun Lakes Blvd Extension Construction 10% Construction project public advertising Contractor installed rebar at RCB K. Pour Conrete for the invert
Begin Kinder Morgan Relocation and
Construction of the retaining wall.
7/30/27 $ 20,996,793
Streets - Traffic Signalization of 8th
Street/I-10 Interchange
Design/Permits 90% Design well underway. Submittal of
encroachment permit application to Caltrans.

Caltrans approval on TOAR and concepts.

Design paused, due to rephase of RSG
project and property acquisition needs
Resubmitted to Caltrans if needed.

Caltrans encroachment permit
issuance. Property acquisition (private
party task)
9/30/26 $ 1,081,000
Streets 2023-04 HSIP Cycle 10 Ramsey Street
Pedestrian Safety Improvements
Construction 95% Project Approved for Funding by the State.

Project Awarded.

Construction is substantially completed.

Installation of street lights week of 8/10
Pre-Construction review meeting with
Caltrans.
8/30/26 $ 596,850
Streets 2023-09 HSIP Upgrade 17 Traffic Signals
Hardware
PS&E 95% Project approved for funding by Caltrans STC Traffic Working on 90% Plans Submittal, Caltrans EP Approval and CC
Contract Amendment #2 for term
extension
100% Plans Submittal and Approval 3/31/27 $ 74,760
Streets 2023-10 HSIP Pedestrian Crossings
Upgrades at 19 Intersection
PS&E 90% Project approved for funding by Caltrans City review of 90% Plans 100% plan submittal city review 12/31/26 $ 86,075 Streets 2023-11 HSIP Wilson St & 12 St
Intersection Upgrade
PS&E 90% Project approved for funding by Caltrans City review of 90% plans comments sent to TKE
100% plan submittal city review 9/30/26 $ 41,665
Streets 2023-05 San Gorgonio/UPRR Pedestrian
Crossing
Design 95% Amendment 2 CC Approval. 65% Plans
complete
Final Plans approved by UPRR, CUPC
and Caltrans. C&M Agreement Draft
Approve C&M Agreement. Prepare Bid
Documents
8/30/26 $ 230,000
Facility 2021-06 CNG Station Design-Build 100% Project is now substantially complete. Project is now substantially complete. Completion of final punchlist items.

Notice of Completion
7/15/26 $ 4,888,261
Facility City Hall Roof Repairs - Phase 2 Design/Bid 10% Scope identification - Roof/leak repairs on flat roof section over remainder of City Hall
On Hold Award, Construction 10/31/26 $ 275,000
Facility 2024-02 City Hall HVAC Replacement Construction 5% Bid and award of contract Begin HVAC installation Construction 12/30/26 $ 188,000 Water 2018-02W2 New Domestic Water Well C8 (Phase 2: Well Equipping and Site Development)
Construction 85% Installed pump, above-ground piping, pump-towaste, louvers, doors, CMU block. Completed curb, gutter, asphalt paving, drainage swale,
above ground pipe painting, and stucco
Finish roofing and truss system, interior
electrical, MCC, switchboard, VFD, and
Transfer Switch
Generator, start-up, O&M manuals,
testing and training
10/31/26 $ 3,774,100
Water 2022-07W Well M12A (Phase 2: Well
Equipping an Site Development)
Construction 95% Installed pump, above-ground piping, pump-towaste, louvers, doors, CMU block, electrical units, testing, disinfection, Slurry seal asphalt
Pump efficiency testing O&M manuals and training, completion of final punchlist items. Notice of
completion
9/1/26 $ 2,684,990
Wastewater 2022-
01WW
Wastewater Treatment Plant and
Recycled Water Improvements
Phase 1
(Design)
30% Received 10% BODR (Basis Of Design Report). Off-ramping current Design Build contract, preparing an RFP for alternative delivery
Advertise and award RFP for
alternative design.
8/1/27 $ 4,398,490
Wastewater 2020-
08WW
WWTP Equalization Basin Construction 5% Finalized 100% drawings, ~$1.25M EPA Community Grant has been issued, project
advertisement
Award contract Construction 8/30/27 $ 362,866
Recycled
Water
2024-1RW Charles Street and Lincoln Street
Booster Station and Reservoirs
Construction 95% Project was awarded, a NTP was issued
followed by pre-con meeting and submittal
reviews.

Start-up and Testing 8/11 SCADA Integration and Final
Walkthrough
8/30/26 $ 10,160,200
Recycled
Water
2023-
06RW
Lions Park Non-Potable Water
Conversion
Construction 100% Project Awarded. Kick Off Meeting. Surveying and utility research
Release Retention Warranty Period 7/30/26 $ 920,672
Electric Sun Lakes Blvd Extension Construction 2% Application for SCE relocation work is complete.

SCE joint trench plan estimated to be complete
in August 2026.

Construction started on May 11. Contractor
on site for clearing and grubbing whole site
including potholing all utilities
Begin construction of concrete box
culverts on the east side
7/30/27 $ 2,366,090
Electric Robertson's Ready Mix Pole
Relocation
PS&E 95% Line Extension Agreement approved by City
Council. Additional comments provided by
Robertson's Ready Mix
Update agreement and resubmit for City
Council approval
Collect deposits from Robertson's
Ready Mix and order materials for
construction and schedule installation
12/30/26 $ 425,000

PUBLIC WORKS CAPITAL IMPROVEMENT PROJECTS (CIP) TRACKING SHEET 128
Electric 12kV Reconductor on Barbour St
at Hathaway
PS&E 95% Alternative plan to address replacement of 4kV equipment at the site has been approved.

Negotiate cost sharing with property
owners at 700 S Hathaway St for reduced
scope of work for completing necessary
upgrades to replace all 4kV equipment
with 12kV equipment.

Current construction estimate is
$125,000 and has been added to the
FY 2026/27 budget.
3/31/27 $ 125,000
Electric Mias Canyon Line Hardening Design/MSHCP 100% Line hardeining redesign completed. MSHCP Consistency Analysis has been completed and
submitted to USFW/FEMA/CDFW/CalOES for
review.

Coordinate with Riverside County and
other participating jurisdictions to confirm
incorporations of measures for consistency
with the MSHCP.

Await determination on approval of
federal grant funding and match
funding thru CalOES
12/30/27 $ 2,189,140
Electric 34.5kV Circuit Reroute Construction 65% 16 of 26 poles have been replaced. Installation is being completed by BEU linemen.

Make adjustments for 2026/27 budget
cycle to include funding for this project.

Schedule construction for remaining poles
Complete installation of remaining
poles and re-energize sub-transmission
Circuit #1.
12/30/26 $ 275,000
129

CITY OF BANNING

STAFF REPORT
TO: CITY COUNCIL
FROM: Elizabeth Gibbs, City Manager
PREPARED BY: Cornelio Datuin, Budget and Financial Analyst Jennifer Terry, Finance Director
MEETING DATE: August 25, 2026
SUBJECT: Receive and File the Combined Cash and Investments Report for September 2025 Through June 2026
STAFF RECOMMENDATION:

That the City Council receive and file the combined Cash and Investments Report for September 2025 through June 2026, in accordance with Government Code § 53607.

BACKGROUND:

The City prepares a monthly Cash and Investments Report to provide the City Council with information regarding the City's cash balances, investments, restricted funds, and investment activity.

Due to significant staff turnover within the Finance Department during Fiscal Year 2025/26, reports beginning in September 2025 were not prepared and presented according to the City’s regular monthly reporting schedule. Finance staff have since completed the necessary reconciliations and compiled the outstanding cash and investment information.

This consolidated report presents the City’s cash and investment position from September 30, 2025, through June 30, 2026. Receiving and filing the report will bring the City’s investment reporting up to date through the end of Fiscal Year 2025/26.

JUSTIFICATION:

The attached report presents the City’s unrestricted and restricted cash and investments, including funds held in the California Local Agency Investment Fund (LAIF) and the City’s investment custody account maintained with U.S. Bank.

On September 30, 2025, the City's total cash and investments were $48,181,907.80. By June 30, 2026, total cash and investments had increased to $60,256,711.30, an increase of approximately $12.07 million over the ten months. Note: The PERMA trust schedules are excluded from this reporting period because PERMA has not published its 4th-quarter trust schedules as of the reporting date. The balances will be updated in the July reporting period once the schedules are available.

The principal components of the City's unrestricted cash and investments on June 30, 2026, were:

Category September 30, 2025 June 30, 2026
Cash and Investments – Unrestricted $35,752,395.48 $53,783,484.83 Cash and Investments - Restricted $12,429,512.32 $ 6,473,226.47 Total Cash and Investments $48,181,907.80 $60,256,711.30 130
The City's unrestricted cash and investments increased by approximately $18.03 million during the reporting period, while restricted cash and investments decreased by approximately $5.96 million. The resulting net increase in total cash and investments was approximately $12.07 million.

On June 30, 2026, the City's unrestricted investments included approximately $8.42 million in LAIF and $22.68 million in the U.S. Bank custody account. LAIF accounted for approximately 27% of the City's investments, consistent with the monthly reports for the reporting period.

The Chandler Asset Management account, which is maintained through U.S. Bank, had a June 30, 2026, total market value of $22,548,614.71, consisting of $22,496,310.41 in market value and $52,304.30 in accrued interest. The portfolio had an average credit quality of AAA, a modified duration of 0.32, and a market yield to maturity of 3.84%.

For the period reported by Chandler Asset Management, the City's portfolio had a 1-year total rate of return of 3.91%, compared with 3.88% for the ICE Bank of America 0-1 Year U.S. Treasury Notes & Bonds benchmark. The portfolio's 3-year annualized return was 4.81%, compared with 4.61% for the benchmark.

Chandler Asset Management's June 30, 2026, compliance report indicates that the portfolio complied with the applicable investment policy limitations. For example, U.S. Treasury securities represented

82.4% of market value against a 100% maximum, Federal Agencies represented 13.2% against a 100% maximum, and the applicable other security-category limits were also reported as compliant.

LAIF / PMIA PERFORMANCE
The City's LAIF balance was $8,420,445.52 as of June 30, 2026. The accompanying State of California PMIA/LAIF (Pooled Money Investment Account) performance information reports a June 2026 PMIA effective yield of 3.816%, with the May and April yields at 3.810% and 3.811%, respectively. The reported LAIF apportionment rate was 3.92%.

The State's June 30, 2026 PMIA market valuation reported a total amortized cost of approximately $193.79 billion, a fair value of approximately $193.57 billion, and a fair value including accrued interest of approximately $194.48 billion. The LAIF fair-value factor was reported as 0.998872382.

INVESTMENT POLICY COMPLIANCE
Based on the June 30, 2026, Chandler Asset Management report, the City's investment portfolio remained within the applicable investment policy parameters. The portfolio's average credit quality was AAA, and the Chandler compliance report identifies the applicable investment categories as compliant.

The attached City Monthly Cash and Investment Report also includes the City's certification that investment activity conforms with the investment policy adopted by the City Council and Government Code § 53646, subdivision (b)(3), and that adequate pooled cash is available to meet the City's anticipated disbursement requirements for the upcoming six months.

FISCAL IMPACT:

There is no fiscal impact associated with receiving this report.

ATTACHMENTS:

1. Attachment_1_-_Investment_Report.pdf

1. Attachment 2 - City of Banning Broker Report-Chandler Asset Mgt..pdf

2. Attachment 3 - LAIF Market Valuation (Sept 2025 to June 2026).pdf

3. Attachment 4 - PMIA-LAIF_Performance Yields.pdf
131

AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER
Institution/Investment Type
Bank Account
Number 8/31/2025 9/30/2025 10/31/2025 1/5/1900 12/31/2025

UNRESTRICTED CASH AND INVESTMENTS
Funds Under Control of the City:

Petty Cash / Cash on Hand $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00
Checking and Savings:

Wells Fargo - General Account XXXXX5798 $ 2,344,376.94 $ 4,763,589.42 $ 5,875,170.34 $ 4,641,997.97 $ 8,584,599.99 HCN Bank - General Account XXXXX97479 $ 50,000.00 $ 50,000.00 $ 50,000.00 $ 50,000.00 $ 50,000.00 HCN Bank - Parking Citations XXXXX94035 $ 68.00 $ 214.00 $ 214.00 $ 214.00 $ 262.00 Bank of America - Parking Citations XXXXXXXX 8776 $ 146,591.32 $ 146,713.53 $ 146,860.78 $ 146,861.99 $ 146,863.24 Bank of America - Airport Visa XXXXXXXX 7548 $ 639,172.06 $ 642,776.27 $ 645,131.23 $ 649,189.38 $ 652,403.28 Bank of America - CNG Charge Acct XXXXXXXX 5594 $ 79,091.90 $ 79,091.90 $ 79,091.90 $ 79,091.90 $ 79,091.90 $ 3,259,300.22 $ 5,682,385.12 $ 6,796,468.25 $ 5,567,355.24 $ 9,513,220.41 See Investment Report for Details of the following Investments:

State of California, Local Agency Investment Fund $ 10,855,755.48 $ 8,105,755.48 $ 8,251,571.48 $ 8,251,571.48 $ 8,251,571.48 % of Investments in LAIF 33% 27% 27% 27% 27%
US Bank
City of Banning Custody Account XXXXX6000 $ 21,855,348.55 $ 21,960,199.88 $ 22,017,194.04 $ 22,078,485.11 $ 22,165,953.76 Total Unrestricted Cash and Investments $ 35,974,459.25 $ 35,752,395.48 $ 37,069,288.77 $ 35,901,466.83 $ 39,934,800.65

RESTRICTED CASH AND INVESTMENTS
Cash with Fiscal Agents
US Bank
2015 Water Revenue Bonds-BUA Water Projects 258228005 $ 908,620.62 $ 911,512.46 $ 914,250.78 $ 917,008.20 $ 919,592.74 2015 Water Revenue Bonds-BUA Water Projects 258228000 $ 6,388.67 $ 6,409.00 $ 1,646,031.26 $ 1,772.49 $ 2,093.41 2019 Wastewater Revenue Bond 254226002 $ 352,530.51 $ 352,533.50 $ 352,536.40 $ 201,586.01 $ 201,587.75 2019 Wastewater Revenue Bonds 254226000 $ 115,054.69 $ 115,055.67 $ 115,056.62 $ 0.98 $ 1.04 2019 Wastewater Revenue Bonds - BUA Water Projects - Previous Balance less amount required for Refunding 254226006 $ 2,503,265.55 $ 2,503,286.81 $ 2,503,307.39 $ 2,503,328.65 $ 2,503,349.23 2019 Wastewater Revenue Bonds - Interest Account 254226001 $ 0.21 $ 0.21 $ 0.21 $ 0.21 $ 0.21 2019 Wastewater Revenue Bonds - Cost of Issuance Fund 254226005 $ 1.43 $ 1.43 $ 1.43 $ 1.43 $ 1.43 2015 Electric Revenue Bond-Acquisition & Construction Fund 262685003 $ 2,603.34 $ 2,611.63 $ 2,619.48 $ 2,627.38 $ 2,634.79 2015 Electric Revenue Bond-Acquisition & Construction Fund 262685000 $ 15,839.86 $ 15,890.27 $ 15,938.01 $ 455,757.96 $ 16,732.30 Successor Agency of the Dissolved Redevelopment Agency of the City of Banning Tax Allocation Bonds Series 2016 (Taxable) Revenue Fund 277166000 $ 1,796,277.92 $ 3.02 $ 3.27 $ 3.27 $ 3.27 Successor Agency of the Dissolved Redevelopment Agency of the City of Banning Tax Allocation Bonds Series 2016 (Taxable) Unexpended Proceeds Fund 277166005 $ 7,687,829.40 $ 4,647,920.53 $ 820,940.13 $ 820,952.01 $ 820,955.38 Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Interest Acct 789582000 $ 105,000.06 $ 0.16 $ 0.17 $ 0.17 $ 0.17 Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Principal Acct 789582001 $ 37,838.81 $ 0.02 $ 0.03 $ 0.03 $ 0.03 Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Reserve Fund 789582003 $ 186,064.54 $ 186,065.33 $ 186,066.09 $ 186,066.88 $ 186,067.64 PERMA Member Trust Account - Workers' Compensation Program xxx-xxxx-101.12-00 $ 1,805,835.96 $ 1,829,934.74 $ 1,786,445.77 $ 1,724,820.90 $ 1,680,339.68 PERMA Member Trust Account - General Liability Program xxx-xxxx-101.20-00 $ 174,445.20 $ 171,464.95 $ 177,100.14 $ 166,325.35 $ 163,012.76 CAISO - City of Banning XXXXX6994 $ 132,702.73 $ 133,173.15 $ 133,621.63 $ 134,076.63 $ 134,502.59 City of Banning Riverside Public Utility (RPU) XXXXX5920 - RPU $ 489,808.36 $ 523,662.30 $ 516,754.78 $ 651,338.71 $ 765,545.38 Cash with Fiscal Agents - US Bank $ 16,320,107.86 $ 11,399,525.18 $ 9,170,673.59 $ 7,765,667.26 $ 7,396,419.80 Restricted Investment in SCPPA Project Stabilization Fund Project Stabilization Fund $ 1,028,100.24 $ 1,029,987.14 $ 1,031,747.52 $ 1,043,448.34 $ 1,043,586.74 Total Restricted Cash and Investments $ 17,348,208.10 $ 12,429,512.32 $ 10,202,421.11 $ 8,809,115.60 $ 8,440,006.54 Grand Total Cash and Investments $ 53,322,667.35 $ 48,181,907.80 $ 47,271,709.88 $ 44,710,582.43 $ 48,374,807.19 Insurance Policy and Purpose
2015 Electric Revenue Bond-Reserve Fund - 262685002 - Market Value 262685002 $ 2,428,543.76 $ 2,428,543.76 $ 2,428,543.76 $ 2,428,543.76 $ 2,428,543.76 Successor Agency of the Dissolved Redevelopment Agency of the City of Banning Tax Allocation Bonds Series 2016 (Taxable) Reserve Fund277166004 Market Value 277166004 $ 2,205,497.50 $ 2,205,497.50 $ 2,205,497.50 $ 2,205,497.50 $ 2,205,497.50 $ 4,634,041.26 $ 4,634,041.26 $ 4,634,041.26 $ 4,634,041.26 $ 4,634,041.26 I hereby certify that the investment activity for this reporting period conforms with the investment policy adopted by the City of Banning's City Council and the California Government Code Section 53601 I also certify that there exists adequate pooled cash available to meet the City's disbursement requirements for at least the next six months.

JENNIFER TERRY Date
Finance Director
City of Banning
Monthly Cash and Investment Report for the Months of August to December 2025 Market Value
Cash & Investments
Cash & Investments
Bond Reserve Insurance Policies
132

JANUARY FEBRUARY MARCH APRIL MAY JUNE
Institution/Investment Type
Bank Account
Number 1/31/2026 2/28/2026 3/31/2026 4/30/2026 5/31/2026 6/30/2026

UNRESTRICTED CASH AND INVESTMENTS
Funds Under Control of the City:

Petty Cash / Cash on Hand $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 $ 4,055.00 Checking and Savings:

Wells Fargo - General Account XXXXX5798 $ 13,075,941.11 $ 15,889,390.28 $ 19,318,944.77 $ 16,737,734.00 $ 17,652,822.96 $ 21,705,357.41 HCN Bank - General Account XXXXX97479 $ 50,000.00 $ 50,000.00 $ 50,000.00 $ 50,000.00 $ 50,000.00 $ 50,000.00 HCN Bank - Parking Citations XXXXX94035 $ 262.00 $ 262.00 $ 358.00 $ 358.00 $ 604.00 $ 1,015.00 Bank of America - Parking Citations XXXXXXXX 8776 $ 146,864.49 $ 146,865.62 $ 146,866.87 $ 146,868.08 $ 146,869.33 $ 146,870.54 Bank of America - Airport Visa XXXXXXXX 7548 $ 654,823.53 $ 657,881.49 $ 661,332.67 $ 666,306.54 $ 684,047.96 $ 695,616.42 Bank of America - CNG Charge Acct XXXXXXXX 5594 $ 79,091.90 $ 79,091.90 $ 79,091.90 $ 79,091.90 $ 79,091.90 $ 79,091.90 $ 14,006,983.03 $ 16,823,491.29 $ 20,256,594.21 $ 17,680,358.52 $ 18,613,436.15 $ 22,677,951.27 See Investment Report for Details of the following Investments:

State of California, Local Agency Investment Fund $ 8,338,729.28 $ 8,338,729.28 $ 8,338,729.28 $ 8,420,445.52 $ 8,420,445.52 $ 8,420,445.52 % of Investments in LAIF 27% 27% 27% 27% 27% 27%
US Bank
City of Banning Custody Account XXXXX6000 $ 22,373,138.15 $ 22,440,200.70 $ 22,497,697.25 $ 22,558,208.19 $ 22,615,621.31 $ 22,681,033.04 Total Unrestricted Cash and Investments $ 44,722,905.46 $ 47,606,476.27 $ 51,097,075.74 $ 48,663,067.23 $ 49,653,557.98 $ 53,783,484.83

RESTRICTED CASH AND INVESTMENTS
Cash with Fiscal Agents
US Bank
2015 Water Revenue Bonds-BUA Water Projects 258228005 $ 922,140.70 $ 924,619.40 $ 926,852.32 $ 929,319.26 $ 931,705.20 $ 934,150.48 2015 Water Revenue Bonds-BUA Water Projects 258228000 $ 2,099.21 $ 2,104.85 $ 2,109.93 $ 310,521.81 $ 2,411.58 $ 2,417.91 2019 Wastewater Revenue Bond 254226002 $ 201,589.46 $ 201,591.17 $ 201,592.72 $ 201,594.43 $ 201,596.09 $ 201,597.80 2019 Wastewater Revenue Bonds 254226000 $ 1.04 $ 1.04 $ 1.04 $ 0.83 $ 1.09 $ 1.09 2019 Wastewater Revenue Bonds - BUA Water Projects - Previous Balance less amount required for Refunding 254226006 $ 2,503,370.49 $ 2,503,391.75 $ 2,503,410.96 $ 2,503,432.22 $ 2,503,452.80 $ 2,503,474.06 2019 Wastewater Revenue Bonds - Interest Account 254226001 $ 0.21 $ 0.21 $ 0.21 $ 23,850.21 $ 0.05 $ 0.05 2019 Wastewater Revenue Bonds - Cost of Issuance Fund 254226005 $ 1.43 $ 1.43 $ 1.43 $ 1.43 $ 1.43 $ 1.43 2015 Electric Revenue Bond-Acquisition & Construction Fund 262685003 $ 2,642.09 $ 2,649.19 $ 2,655.59 $ 2,662.66 $ 2,669.50 $ 2,676.51 2015 Electric Revenue Bond-Acquisition & Construction Fund 262685000 $ 16,778.66 $ 16,823.76 $ 16,864.39 $ 16,909.28 $ 16,952.69 $ 16,997.18 Successor Agency of the Dissolved Redevelopment Agency of the City of Banning Tax Allocation Bonds Series 2016 (Taxable) Revenue Fund 277166000 $ 3.27 $ 3.27 $ 3.43 $ 3.48 $ 3.48 $ 3.48 Successor Agency of the Dissolved Redevelopment Agency of the City of Banning Tax Allocation Bonds Series 2016 (Taxable) Unexpended Proceeds Fund 277166005 $ 820,958.87 $ 820,962.36 $ 820,965.51 $ 820,969.00 $ 820,972.37 $ 820,975.86 Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Interest Acct 789582000 $ 0.17 $ 0.17 $ 0.17 $ 0.17 $ 0.17 $ 0.17 Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Principal Acct 789582001 $ 0.03 $ 35,161.28 $ 0.04 $ 0.04 $ 0.04 $ 0.04 Improvement Dist No 2004-1 (Fair Oaks Ranch Estates) Limited Obligation Improvement Bonds Series 2005A Reserve Fund 789582003 $ 186,068.43 $ 186,069.22 $ 186,069.93 $ 186,070.72 $ 186,071.48 $ 186,072.27 PERMA Member Trust Account - Workers' Compensation Program xxx-xxxx-101.12-00 $ 1,651,256.31 $ 1,618,071.69 $ 1,580,947.66 Qtrly Statement not yet available on the PERMA website PERMA Member Trust Account - General Liability Program xxx-xxxx-101.20-00 $ 146,480.44 $ 146,925.88 $ 137,943.54 Qtrly Statement not yet available on the PERMA website CAISO - City of Banning XXXXX6994 $ 134,925.84 $ 135,338.25 $ 135,708.78 $ 136,118.03 $ 136,514.18 $ 136,920.38 City of Banning Riverside Public Utility (RPU) XXXXX5920 - RPU $ 1,048,774.24 $ 843,414.74 $ 720,529.49 $ 984,540.25 $ 890,191.30 $ 610,634.01 Cash with Fiscal Agents - US Bank $ 7,637,090.89 $ 7,437,129.66 $ 7,235,657.14 $ 6,115,993.82 $ 5,692,543.45 $ 5,415,922.72 Restricted Investment in SCPPA Project Stabilization Fund Project Stabilization Fund $ 1,044,040.69 $ 1,044,481.25 $ 1,044,876.57 $ 1,045,081.84 $ 1,056,753.45 $ 1,057,303.75 Total Restricted Cash and Investments $ 8,681,131.58 $ 8,481,610.91 $ 8,280,533.71 $ 7,161,075.66 $ 6,749,296.90 $ 6,473,226.47 Grand Total Cash and Investments $ 53,404,037.04 $ 56,088,087.18 $ 59,377,609.45 $ 55,824,142.89 $ 56,402,854.88 $ 60,256,711.30 Insurance Policy and Purpose
2015 Electric Revenue Bond-Reserve Fund - 262685002 - Market Value 262685002 $ 2,428,543.76 $ 2,428,543.76 $ 2,428,543.76 $ 2,428,543.76 $ 2,428,543.76 $ 2,428,543.76 Successor Agency of the Dissolved Redevelopment Agency of the City of Banning Tax Allocation Bonds Series 2016 (Taxable) Reserve Fund277166004 Market Value 277166004 $ 2,205,497.50 $ 2,205,497.50 $ 2,205,497.50 $ 2,205,497.50 $ 2,205,497.50 $ 2,205,497.50 $ 4,634,041.26 $ 4,634,041.26 $ 4,634,041.26 $ 4,634,041.26 $ 4,634,041.26 $ 4,634,041.26 I hereby certify that the investment activity for this reporting period conforms with the investment policy adopted by the City of Banning's City Council and the California Government Code Section 53601 I also certify that there exists adequate pooled cash available to meet the City's disbursement requirements for at least the next six months.

JENNIFER TERRY Date
Finance Director
City of Banning
Monthly Cash and Investment Report for the Months of January to June 2026 Market Value
Cash & Investments
Cash & Investments
Bond Reserve Insurance Policies
133

MONTHLY ACCOUNT STATEMENT
City of Banning | Account #11089 | As of September 30, 2025 CHANDLER ASSET MANAGEMENT | chandlerasset.com
Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures at the end of the statement.

Chandler Team:

For questions about your account, please call (800) 317-4747, or contact [email protected]
Custodian:

PORTFOLIO SUMMARY
Portfolio Characteristics
Sector Allocation
Performance Review
Account Summary
Maturity Distribution
Top Issuers
Credit Quality*
Total Rate of Return** 1M 3M YTD 1YR 2YRS 3YRS 5YRS 10YRS Since Inception (07/01/23)
City of Banning 0.36% 1.13% 3.47% 4.34% 5.46% -- -- -- 5.18% Benchmark Return 0.38% 1.15% 3.24% 4.35% 5.20% -- -- -- 4.95% Average Modified Duration 0.28
Average Coupon 1.18%
Average Purchase YTM 4.00%
Average Market YTM 4.05%
Average Credit Quality* AA+
Average Final Maturity 0.33
Average Life 0.29
End Values as of
08/31/2025
End Values as of
09/30/2025
Market Value 21,786,698.35 21,904,117.88
Accrued Interest 78,043.73 40,152.44
Total Market Value 21,864,742.08 21,944,270.32
Income Earned 82,793.87 72,154.92
Cont/WD 0.00 0.00
Par 21,855,348.55 21,960,199.88
Book Value 21,832,330.71 21,942,461.41
Cost Value 21,768,751.02 21,878,214.58
United States 75.46%
Federal Home Loan Banks 13.48%
Exxon Mobil Corporation 2.27%
Air Products and Chemicals, Inc. 1.25%
The Toronto-Dominion Bank 1.19%
JPMorgan Chase & Co. 1.16%
Honda Motor Co., Ltd. 1.01%
The PNC Financial Services Group, In 1.00%
**Periods over 1 year are annualized.

Benchmark: ICE BofA 0-1 Year US Treasury Notes & Bonds
*The average credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch. 135
CONFIDENTIAL | 3
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

AGENCY MORTGAGE SECURITIES (CMOS)
Max % (MV) 100.0 0.0 Compliant
Max % Issuer (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

ASSET-BACKED SECURITIES (ABS)
Max % (MV; Non Agency ABS & MBS) 20.0 2.4 Compliant
Max % Issuer (MV) 5.0 1.0 Compliant
Max Maturity (Years) 5 4 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

BANKERS' ACCEPTANCES
Max % (MV) 40.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 180 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CERTIFICATE OF DEPOSIT PLACEMENT SERVICE (CDARS)
Max % (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED BANK DEPOSITS
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED TIME DEPOSITS (NON-NEGOTIABLE
CD/TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COMMERCIAL PAPER
Max % (MV) 25.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 270 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CORPORATE MEDIUM TERM NOTES
Max % (MV) 30.0 7.9 Compliant
Max % Issuer (MV) 5.0 2.3 Compliant
Max Maturity (Years) 5 1 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant
136
CONFIDENTIAL | 4
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

FDIC INSURED TIME DEPOSITS (NON-NEGOTIABLE CD/
TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant

FEDERAL AGENCIES
Max % (MV) 100.0 13.5 Compliant
Max % Issuer (MV) 30.0 13.5 Compliant
Max Callables (MV) 20.0 13.5 Compliant
Max Maturity (Years) 5 1 Compliant

LOCAL AGENCY INVESTMENT FUND (LAIF)
Max Concentration (MV) 75.0 0.0 Compliant

MONEY MARKET MUTUAL FUNDS
Max % (MV) 20.0 0.8 Compliant
Max % Issuer (MV) 20.0 0.8 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant

MORTGAGE-BACKED SECURITIES (NON-AGENCY)
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

MUNICIPAL SECURITIES (CA, LOCAL AGENCY)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

MUNICIPAL SECURITIES (CA, OTHER STATES)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

MUTUAL FUNDS
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 10.0 0.0 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant
137
CONFIDENTIAL | 5
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

NEGOTIABLE CERTIFICATES OF DEPOSIT (NCD)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1 if > FDIC Limit) 0.0 0.0 Compliant

REPURCHASE AGREEMENTS
Max Maturity (Years) 1.0 0.0 Compliant

SUPRANATIONAL OBLIGATIONS
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 10.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant
U.S. TREASURIES
Max % (MV) 100.0 75.5 Compliant
Max Maturity (Years) 5 0.0 Compliant
138
CONFIDENTIAL | 6
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

RECONCILIATION SUMMARY
Accrual Activity Summary
Fair Market Activity Summary
Month to Date Fiscal Year to Date
(07/01/2025)
Beginning Book Value 21,832,330.71 21,683,876.68
Maturities/Calls (14,285,000.00) (40,760,000.00)
Principal Paydowns (17,318.54) (61,551.70)
Purchases 28,619,515.90 81,751,796.63
Sales (14,256,215.26) (40,810,503.74)
Change in Cash, Payables, Receivables 84.49 (1,151.48)
Amortization/Accretion 49,064.11 139,995.03
Realized Gain (Loss) (0.00) (0.01)
Ending Book Value 21,942,461.41 21,942,461.41
Month to Date Fiscal Year to Date
(07/01/2025)
Beginning Market Value 21,786,698.35 21,622,793.03
Maturities/Calls (14,285,000.00) (40,760,000.00)
Principal Paydowns (17,318.54) (61,551.70)
Purchases 28,619,515.90 81,751,796.63
Sales (14,256,215.26) (40,810,503.74)
Change in Cash, Payables, Receivables 84.49 (1,151.48)
Amortization/Accretion 49,064.11 139,995.03
Change in Net Unrealized Gain (Loss) 7,288.83 22,740.12 Realized Gain (Loss) (0.00) (0.01)
Ending Market Value 21,904,117.88 21,904,117.88
Maturities / Calls
Month to Date (14,285,000.00)
Fiscal Year to Date (40,760,000.00)
Principal Paydowns
Month to Date (17,318.54)
Fiscal Year to Date (61,551.70)
Purchases
Month to Date 28,619,515.90
Fiscal Year to Date 81,751,796.63
Sales
Month to Date (14,256,215.26)
Fiscal Year to Date (40,810,503.74)
Interest Received
Month to Date 60,982.10
Fiscal Year to Date 119,741.19
Purchased / Sold Interest
Month to Date 0.00
Fiscal Year to Date 0.00
139
CONFIDENTIAL | 7
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
ABS
379929AD4 GMALT 2023-3 A3 5.38
11/20/2026 9,011.20 08/08/20235.36%
9,010.12
9,010.83
100.11

4.16%
9,021.22

14.81 0.04%

10.39 NA/AAA
AAA

1.14 0.09
05592XAD2 BMWOT 2023-A A3 5.47
02/25/2028 23,156.41 07/12/20235.47%
23,152.31
23,154.27
100.71

4.04%
23,319.96

21.11 0.11%
165.69
NA/AAA
AAA

2.41 0.47
47787CAC7 JDOT 2023-C A3 5.48
05/15/2028 159,007.25 09/12/20235.55%
158,996.33
159,001.10
101.04

4.13%
160,656.52
387.27

0.73%
1,655.42
Aaa/NA
AAA

2.62 0.73
36267KAD9 GMCAR 2023-3 A3 5.45
06/16/2028 32,425.95 07/11/20235.51%
32,424.70
32,425.26
100.82

4.02%
32,692.26

73.63 0.15%
267.01
Aaa/AAA
NA

2.71 0.55
02582JKD1 AMXCA 2023-3 A 5.23
09/15/2026 215,000.00 09/12/20235.29%
214,990.39
214,996.93
101.30

3.87%
217,799.30
499.76

0.99%
2,802.37
NA/AAA
AAA

0.96 0.91
362955AD8 GMCAR 2025-1 A3 4.62
12/17/2029 85,000.00 01/09/20255.03%
84,993.68
84,994.59
101.12

3.83%
85,955.37
163.63

0.39%
960.78
Aaa/NA
AAA

4.21 1.34
Total ABS 523,600.82 5.35%
523,567.52
523,582.98
101.12

3.97%
529,444.64
1,160.21

2.42%
5,861.66

2.17 0.87
AGENCY
3130ARF55 FEDERAL HOME LOAN BANKS 2.6
03/30/2027 3,000,000.00 03/30/20222.60%
3,000,000.00
3,000,000.00

98.39 3.72%
2,951,696.64
216.67

13.48%
(48,303.36)
Aa1/AA+
AA+

1.50 1.45
Total Agency 3,000,000.00 2.60%
3,000,000.00
3,000,000.00

98.39 3.72%
2,951,696.64
216.67

13.48%
(48,303.36)

1.50 1.45
CASH
CCYUSD Receivable 2,019.40 -- 2,019.40
2,019.40

1.00 0.00%
2,019.40

0.00 0.01%

0.00 Aaa/AAA
AAA

0.00 0.00
Total Cash 2,019.40
2,019.40
2,019.40

1.00 0.00%
2,019.40

0.00 0.01%

0.00 0.00

0.00 CORPORATE
009158BB1 AIR PRODUCTS AND CHEMICALS
INC 1.5 10/15/2025 275,000.00 11/12/20244.51%
267,597.00
274,691.54

99.89 4.31%
274,697.32
1,902.08

1.25%

5.78 A2/A
NA

0.04 0.04
89115A2K7 TORONTO-DOMINION BANK

5.103 01/09/2026 260,000.00 02/24/20254.49%
261,326.00
260,416.98
100.22

4.24%
260,571.44
3,022.11

1.19%
154.45
A2/AAA0.28

0.27 02665WEY3 AMERICAN HONDA FINANCE
CORP 4.95 01/09/2026 220,000.00 03/19/20254.53%
220,712.80
220,241.63
100.19

4.20%
220,418.25
2,480.50

1.01%
176.63
A3/ANA0.28

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
30231GAT9 EXXON MOBIL CORP 3.043
03/01/2026 500,000.00 06/08/20234.53%
481,105.00
497,126.74

99.61 3.99%
498,048.72
1,267.92

2.27%
921.97
Aa2/AANA0.42

0.41 693475BB0 PNC FINANCIAL SERVICES
GROUP INC 1.15 08/13/2026 225,000.00 03/19/20254.52%
214,843.50
218,719.27

97.65 3.94%
219,702.10
345.00

1.00%
982.83
A3/AA0.87

0.85 48125LRU8 JPMORGAN CHASE BANK NA

5.11 12/08/2026 250,000.00 10/16/20244.23%
254,312.50
252,311.09
101.26

4.01%
253,145.79
4,009.93

1.16%
834.70
Aa2/AAAA1.19

1.05 Total Corporate 1,730,000.00 4.48%
1,699,896.80
1,723,507.25

99.81 4.10%
1,726,583.61
13,027.54

7.88%
3,076.37

0.49 0.46

MONEY MARKET
FUND
31846V401 FIRST AMER:GVT OBLG D 164,579.66 --

3.58%
164,579.66
164,579.66

1.00 3.77%
164,579.66

0.00 0.75%

0.00 Aaa/
AAAm
AAA

0.00 0.00
Total Money
Market Fund 164,579.66 3.58%
164,579.66
164,579.66

1.00 3.77%
164,579.66

0.00 0.75%

0.00 0.00

0.00 US TREASURY
912797RB5 UNITED STATES TREASURY
10/07/2025 14,300,000.00 09/09/20254.15%
14,256,215.26
14,290,270.06

99.93 4.13%
14,290,306.32

0.00 65.24%

36.26 P-1/A-1+
F1+

0.02 0.02
91282CFP1 UNITED STATES TREASURY 4.25
10/15/2025 300,000.00 03/12/20254.19%
300,093.75
300,006.08
100.00

4.17%
300,000.11
5,887.30

1.37%
(5.97)
Aa1/AA+
AA+

0.04 0.04
91282CFW6 UNITED STATES TREASURY 4.5
11/15/2025 400,000.00 12/30/20244.24%
400,859.38
400,121.23
100.04

4.08%
400,171.88
6,798.91

1.83%

50.65 Aa1/AA+
AA+

0.13 0.12
9128285N6 UNITED STATES TREASURY 2.875
11/30/2025 300,000.00 03/12/20254.18%
297,246.09
299,369.33

99.80 4.08%
299,394.53
2,898.57

1.37%

25.20 Aa1/AA+
AA+

0.17 0.16
91282CGA3 UNITED STATES TREASURY 4.0
12/15/2025 340,000.00 02/10/2025

4.26%
339,256.25
339,818.30
100.00

3.94%
340,009.96
4,013.11

1.55%
191.66
Aa1/AA+
AA+

0.21 0.20
91282CGE5 UNITED STATES TREASURY 3.875
01/15/2026 500,000.00 06/08/2023

4.27%
495,136.72
499,457.93

99.97 3.95%
499,848.64
4,106.66

2.28%
390.70
Aa1/AA+
AA+

0.29 0.28
91282CGL9 UNITED STATES TREASURY 4.0
02/15/2026 400,000.00 03/19/20254.18%
399,343.75
399,729.20
100.02

3.94%
400,062.50
2,043.48

1.83%
333.30
Aa1/AA+
AA+

0.38 0.37
Total US Treasury 16,540,000.00 4.16%
16,488,151.20
16,528,772.13

99.94 4.11%
16,529,793.93
25,748.02

75.46%
1,021.80

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
Total Portfolio 21,960,199.88 4.00%
21,878,214.58
21,942,461.41

99.00 4.05%
21,904,117.88
40,152.44
100.00%
(38,343.53)

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss

ACQUISITIONS
Purchase 09/02/2025 31846V401 1,934.91 FIRST AMER:GVT OBLG D 1.000 3.75% (1,934.91) 0.00 (1,934.91) 0.00 Purchase 09/02/2025 31846V401 287,420.00 FIRST AMER:GVT OBLG D 1.000 3.75% (287,420.00) 0.00 (287,420.00) 0.00 Purchase 09/08/2025 31846V401 5,265.00 FIRST AMER:GVT OBLG D 1.000 3.78% (5,265.00) 0.00 (5,265.00) 0.00 Purchase 09/08/2025 31846V401 260,000.00 FIRST AMER:GVT OBLG D 1.000 3.78% (260,000.00) 0.00 (260,000.00) 0.00 Purchase 09/09/2025 31846V401 13,750,000.00 FIRST AMER:GVT OBLG D 1.000 3.78% (13,750,000.00) 0.00 (13,750,000.00) 0.00 Purchase 09/10/2025 912797RB5 14,300,000.00 UNITED STATES TREASURY 10/07/2025 99.694 4.15% (14,256,215.26) 0.00 (14,256,215.26) 0.00 Purchase 09/15/2025 31846V401 7,908.58 FIRST AMER:GVT OBLG D 1.000 3.78% (7,908.58) 0.00 (7,908.58) 0.00 Purchase 09/15/2025 31846V401 937.04 FIRST AMER:GVT OBLG D 1.000 3.78% (937.04) 0.00 (937.04) 0.00 Purchase 09/16/2025 31846V401 3,049.88 FIRST AMER:GVT OBLG D 1.000 3.82% (3,049.88) 0.00 (3,049.88) 0.00 Purchase 09/22/2025 31846V401 5,425.14 FIRST AMER:GVT OBLG D 1.000 3.59% (5,425.14) 0.00 (5,425.14) 0.00 Purchase 09/25/2025 31846V401 2,360.09 FIRST AMER:GVT OBLG D 1.000 3.58% (2,360.09) 0.00 (2,360.09) 0.00 Purchase 09/30/2025 31846V401 39,000.00 FIRST AMER:GVT OBLG D 1.000 3.58% (39,000.00) 0.00 (39,000.00) 0.00 Total Purchase 28,663,300.64 (28,619,515.90) 0.00 (28,619,515.90) 0.00 TOTAL
ACQUISITIONS 28,663,300.64 (28,619,515.90) 0.00 (28,619,515.90) 0.00

DISPOSITIONS
Maturity 09/01/2025 828807CV7 (275,000.00) SIMON PROPERTY GROUP LP 3.5 09/01/2025 100.000 4.65% 275,000.00 0.00 275,000.00 0.00 Maturity 09/08/2025 24422EWJ4 (260,000.00) JOHN DEERE CAPITAL CORP 4.05 09/08/2025 100.000 5.06% 260,000.00 0.00 260,000.00 0.00 Maturity 09/09/2025 912797QT7 (13,750,000.00) UNITED STATES TREASURY 09/09/2025 100.000 4.33% 13,750,000.00 0.00 13,750,000.00 0.00 Total Maturity (14,285,000.00) 14,285,000.00 0.00 14,285,000.00 0.00 Sale 09/10/2025 31846V401 (14,256,215.26) FIRST AMER:GVT OBLG D 1.000 3.77% 14,256,215.26 0.00 14,256,215.26 0.00 Total Sale (14,256,215.26) 14,256,215.26 0.00 14,256,215.26 0.00 TOTAL
DISPOSITIONS (28,541,215.26) 28,541,215.26 0.00 28,541,215.26 0.00 143
CONFIDENTIAL | 11
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss
OTHER

TRANSACTIONS
Coupon 09/01/2025 828807CV7 0.00 SIMON PROPERTY GROUP
LP 3.5 09/01/2025 4.65% 4,812.50 0.00 4,812.50 0.00
Coupon 09/01/2025 30231GAT9 0.00 EXXON MOBIL CORP

3.043 03/01/2026 4.53% 7,607.50 0.00 7,607.50 0.00
Coupon 09/08/2025 24422EWJ4 0.00 JOHN DEERE CAPITAL
CORP 4.05 09/08/2025 5.06% 5,265.00 0.00 5,265.00 0.00
Coupon 09/15/2025 47787CAC7 0.00 JDOT 2023-C A3 5.48
05/15/2028 5.55% 758.78 0.00 758.78 0.00
Coupon 09/15/2025 02582JKD1 0.00 AMXCA 2023-3 A 5.23
09/15/2026 5.29% 937.04 0.00 937.04 0.00
Coupon 09/16/2025 36267KAD9 0.00 GMCAR 2023-3 A3 5.45
06/16/2028 5.51% 158.91 0.00 158.91 0.00
Coupon 09/16/2025 362955AD8 0.00 GMCAR 2025-1 A3 4.62
12/17/2029 5.03% 327.25 0.00 327.25 0.00
Coupon 09/20/2025 379929AD4 0.00 GMALT 2023-3 A3 5.38
11/20/2026 5.36% 64.43 0.00 64.43 0.00
Coupon 09/25/2025 05592XAD2 0.00 BMWOT 2023-A A3 5.47
02/25/2028 5.47% 115.78 0.00 115.78 0.00
Coupon 09/30/2025 3130ARF55 0.00 FEDERAL HOME LOAN
BANKS 2.6 03/30/2027 2.60% 39,000.00 0.00 39,000.00 0.00 Total Coupon 0.00 59,047.19 0.00 59,047.19 0.00
Dividend 09/30/2025 31846V401 0.00 FIRST AMER:GVT OBLG D 3.61% 2,019.40 0.00 2,019.40 0.00 Total Dividend 0.00 2,019.40 0.00 2,019.40 0.00
Principal Paydown 09/15/2025 47787CAC7 7,149.80 JDOT 2023-C A3 5.48 05/15/2028 5.55% 7,149.80 -- 7,149.80 (0.00)
Principal Paydown 09/16/2025 36267KAD9 2,563.72 GMCAR 2023-3 A3 5.45 06/16/2028 5.51% 2,563.72 -- 2,563.72 0.00
Principal Paydown 09/20/2025 379929AD4 5,360.71 GMALT 2023-3 A3 5.38 11/20/2026 5.36% 5,360.71 -- 5,360.71 0.00
Principal Paydown 09/25/2025 05592XAD2 2,244.31 BMWOT 2023-A A3 5.47 02/25/2028 5.47% 2,244.31 -- 2,244.31 (0.00)
144
CONFIDENTIAL | 12
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss
Total Principal
Paydown 17,318.54 17,318.54 -- 17,318.54 (0.00)

INCOME EARNED
Cusip Security Description
Trade Date
Settle Date
Units
Book Value: Begin
Book Value: Acq
Book Value: Disp
Book Value: End
Prior Accrued
Inc. Received
Ending Accrued
Total Interest
Accr. Of Discount
Amort. Of Premium
Net Accret/Amort
Income Earned
Total Income

CASH & EQUIVALENTS
31846V401 FIRST AMER:GVT OBLG D
164,579.66
57,494.28
14,363,300.64
(14,256,215.26)
164,579.66

0.00 1,934.91

0.00 0.00

0.00 1,934.91
1,934.91
912797QT7 UNITED STATES TREASURY
09/09/2025 0.00
13,737,006.00

0.00 (13,750,000.00)

0.00 0.00

0.00 12,994.00

0.00 12,994.00
12,994.00
12,994.00
912797RB5 UNITED STATES TREASURY
10/07/2025
09/09/2025
09/10/2025
14,300,000.00

0.00 14,256,215.26

0.00 14,290,270.06

0.00 0.00

0.00 0.00
34,054.80

0.00 34,054.80
34,054.80
34,054.80
CCYUSD Receivable
2,019.40
1,934.91

0.00 0.00
2,019.40

0.00 0.00

0.00 Total Cash & Equivalents 14,466,599.06
13,796,435.19
28,619,515.90
(28,006,215.26)
14,456,869.12

0.00 1,934.91

0.00 1,934.91
47,048.79

0.00 47,048.79
48,983.70 48,983.70

FIXED INCOME
009158BB1

AIR PRODUCTS AND
CHEMICALS INC 1.5
10/15/2025
11/12/2024
11/13/2024
275,000.00
274,030.56

0.00 0.00
274,691.54
1,558.33

0.00 1,902.08
343.75
660.98

0.00 660.98
1,004.73
1,004.73
02582JKD1 AMXCA 2023-3 A 5.23
09/15/2026
09/12/2023
09/19/2023
215,000.00
214,996.67

0.00 0.00
214,996.93
499.76
937.04
499.76
937.04

0.26 0.00

0.26 937.30
937.30
02665WEY3 AMERICAN HONDA FINANCE
CORP 4.95 01/09/2026
03/19/2025
03/20/2025
220,000.00
220,314.12

0.00 0.00
220,241.63
1,573.00

0.00 2,480.50
907.50

0.00 (2,244.31)
23,154.27

23.16 115.78

21.11 113.73

0.29 0.00

0.29 114.02
114.02
24422EWJ4 JOHN DEERE CAPITAL CORP

4.05 09/08/2025
07/09/2024
07/10/2024

0.00 259,951.52

0.00 (260,000.00)

0.00 5,060.25
5,265.00

0.00 204.75

48.48 0.00

48.48 253.23
253.23
30231GAT9 EXXON MOBIL CORP 3.043
03/01/2026
06/08/2023
06/12/2023
500,000.00
496,555.90

0.00 0.00
497,126.74
7,607.50
7,607.50
1,267.92
1,267.92
570.85

0.00 570.85
1,838.76
1,838.76
3130ARF55 FEDERAL HOME LOAN BANKS

2.6 03/30/2027
03/30/2022
03/30/2022
3,000,000.00
3,000,000.00

0.00 0.00
3,000,000.00
32,716.67
39,000.00
216.67
6,500.00

0.00 0.00

0.00 6,500.00
6,500.00
36267KAD9 GMCAR 2023-3 A3 5.45
06/16/2028
07/11/2023
07/19/2023
32,425.95
34,988.90

0.00 (2,563.72)
32,425.26

79.46 158.91

73.63 153.09

0.08 0.00

0.08 153.17
153.17
362955AD8 GMCAR 2025-1 A3 4.62
12/17/2029
01/09/2025
01/15/2025
85,000.00
84,994.48

0.00 0.00
84,994.59
163.63
327.25
163.63
327.25

0.11 0.00

0.11 327.36
327.36
379929AD4 GMALT 2023-3 A3 5.38
11/20/2026
08/08/2023
08/11/2023
9,011.20
14,371.27

0.00 (5,360.71)
9,010.83

23.63 64.43

14.81 55.62

0.27 0.00

0.27 55.88

55.88 47787CAC7 JDOT 2023-C A3 5.48
05/15/2028
09/12/2023
09/19/2023
159,007.25
166,150.43

0.00 (7,149.80)
159,001.10
404.68
758.78
387.27
741.37

0.48 0.00

0.48 741.84
741.84
48125LRU8 JPMORGAN CHASE BANK NA

5.11 12/08/2026
10/16/2024
10/17/2024
250,000.00
252,483.13

0.00 0.00
252,311.09
2,945.35

0.00 4,009.93
1,064.58

0.00 0.00
218,719.27
129.38

0.00 345.00
215.63
596.27

0.00 596.27
811.90
811.90
828807CV7 SIMON PROPERTY GROUP LP

3.5 09/01/2025
12/16/2024
12/17/2024

0.00 275,000.00

0.00 (275,000.00)

0.00 4,812.50
4,812.50

0.00 0.00

0.00 89115A2K7 TORONTO-DOMINION BANK

5.103 01/09/2026
02/24/2025
02/25/2025
260,000.00
260,542.08

0.00 0.00
260,416.98
1,916.46

0.00 3,022.11
1,105.65

0.00 (125.09)
(125.09)
980.56
980.56
9128285N6 UNITED STATES TREASURY

2.875 11/30/2025
03/12/2025
03/13/2025
300,000.00
299,054.00

0.00 0.00
299,369.33
2,191.60

0.00 2,898.57
706.97
315.33

0.00 315.33
1,022.30
1,022.30
91282CFP1 UNITED STATES TREASURY

4.25 10/15/2025
03/12/2025
03/13/2025
300,000.00
300,019.10

0.00 0.00
300,006.08
4,842.21

0.00 5,887.30
1,045.08

0.00 (13.02)
(13.02)
1,032.06
1,032.06
91282CFW6 UNITED STATES TREASURY 4.5
11/15/2025
12/30/2024
12/31/2024
400,000.00
400,202.05

0.00 0.00
400,121.23
5,331.52

0.00 6,798.91
1,467.39

0.00 (80.82)
(80.82)
1,386.57
1,386.57
91282CGA3 UNITED STATES TREASURY 4.0
12/15/2025
02/10/2025
02/11/2025
340,000.00
339,745.62

0.00 0.00
339,818.30
2,898.36

0.00 4,013.11
1,114.75

72.68 0.00

72.68 1,187.43
1,187.43
91282CGE5 UNITED STATES TREASURY

3.875 01/15/2026
06/08/2023
06/09/2023
500,000.00
499,304.51

0.00 0.00
499,457.93
2,527.17

0.00 4,106.66
1,579.48
153.42

0.00 153.42
1,732.90
1,732.90
91282CGL9 UNITED STATES TREASURY 4.0
02/15/2026
03/19/2025
03/20/2025
400,000.00
399,669.90

0.00 0.00
399,729.20
739.13

0.00 2,043.48
1,304.35

59.30 0.00

0.00 (552,318.54)
7,485,592.30
78,043.73
59,047.19
40,152.44
21,155.90
2,478.78
(463.46)
2,015.32
23,171.22 23,171.22
TOTAL PORTFOLIO 21,960,199.88
21,832,330.71
28,619,515.90
(28,558,533.80)
21,942,461.41
78,043.73
60,982.10
40,152.44
23,090.81
49,527.58
(463.46)
49,064.11
72,154.92 72,154.92
149
CONFIDENTIAL | 17
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount OCTOBER 2025
10/01/2025 Dividend 31846V401 0.00 2,019.40 2,019.40
10/07/2025 Final Maturity 912797RB5 14,300,000.00 UNITED STATES TREASURY 10/07/2025 14,300,000.00 14,300,000.00 10/15/2025 Coupon 009158BB1 275,000.00 AIR PRODUCTS AND CHEMICALS INC 1.5 10/15/2025 2,062.50 2,062.50
10/15/2025 Final Maturity 009158BB1 275,000.00 AIR PRODUCTS AND CHEMICALS INC 1.5 10/15/2025 275,000.00 275,000.00
10/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 10/15/2025 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 723.47 723.47 10/15/2025 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 9,565.19 9,565.19 10/15/2025 Coupon 91282CFP1 300,000.00 UNITED STATES TREASURY 4.25 10/15/2025 6,375.00 6,375.00 10/15/2025 Final Maturity 91282CFP1 300,000.00 UNITED STATES TREASURY 4.25 10/15/2025 300,000.00 300,000.00 10/16/2025 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 152.06 152.06 10/16/2025 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 2,239.80 2,239.80 10/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 10/20/2025 Coupon 379929AD4 9,011.20 GMALT 2023-3 A3 5.38 11/20/2026 39.32 39.32 10/20/2025 Principal Paydown 379929AD4 9,011.20 GMALT 2023-3 A3 5.38 11/20/2026 5,244.58 5,244.58 10/27/2025 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 108.22 108.22 10/27/2025 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,985.97 1,985.97 October 2025 Total 14,896,054.95 10,724.86 14,906,779.81 NOVEMBER 2025
11/17/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 11/17/2025 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 141.88 141.88 11/17/2025 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 2,188.92 2,188.92 11/17/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 11/17/2025 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 679.79 679.79 11/17/2025 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 10,381.03 10,381.03 11/17/2025 Coupon 91282CFW6 400,000.00 UNITED STATES TREASURY 4.5 11/15/2025 9,000.00 9,000.00 11/17/2025 Final Maturity 91282CFW6 400,000.00 UNITED STATES TREASURY 4.5 11/15/2025 400,000.00 400,000.00 11/20/2025 Coupon 379929AD4 9,011.20 GMALT 2023-3 A3 5.38 11/20/2026 15.81 15.81 11/20/2025 Effective Maturity 379929AD4 9,011.20 GMALT 2023-3 A3 5.38 11/20/2026 3,526.53 3,526.53 11/25/2025 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 99.17 99.17 150
CONFIDENTIAL | 18
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 11/25/2025 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,827.26 1,827.26 November 2025
Total 417,923.74 11,200.94 429,124.68
DECEMBER 2025
12/01/2025 Coupon 9128285N6 300,000.00 UNITED STATES TREASURY 2.875 11/30/2025 4,312.50 4,312.50 12/01/2025 Final Maturity 9128285N6 300,000.00 UNITED STATES TREASURY 2.875 11/30/2025 300,000.00 300,000.00 12/08/2025 Coupon 48125LRU8 250,000.00 JPMORGAN CHASE BANK NA 5.11 12/08/2026 6,387.50 6,387.50 12/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 12/15/2025 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 632.38 632.38 12/15/2025 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 7,819.97 7,819.97 12/15/2025 Coupon 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 6,800.00 6,800.00 12/15/2025 Final Maturity 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 340,000.00 340,000.00 12/16/2025 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 131.94 131.94 12/16/2025 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,877.52 1,877.52 12/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 12/25/2025 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 90.84 90.84 12/25/2025 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,737.60 1,737.60 December 2025
Total 651,435.09 19,619.45 671,054.54
JANUARY 2026
01/09/2026 Coupon 02665WEY3 220,000.00 AMERICAN HONDA FINANCE CORP 4.95 01/09/2026 5,445.00 5,445.00
01/09/2026 Final Maturity 02665WEY3 220,000.00 AMERICAN HONDA FINANCE CORP 4.95 01/09/2026 220,000.00 220,000.00
01/09/2026 Coupon 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 6,633.90 6,633.90 01/09/2026 Final Maturity 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 260,000.00 260,000.00 01/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 01/15/2026 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 596.67 596.67 01/15/2026 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 11,316.15 11,316.15 01/15/2026 Coupon 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 9,687.50 9,687.50 01/15/2026 Final Maturity 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 500,000.00 500,000.00 01/16/2026 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 123.41 123.41 151
CONFIDENTIAL | 19
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 01/16/2026 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,844.31 1,844.31 01/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 01/26/2026 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 82.92 82.92 01/26/2026 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,704.40 1,704.40 January 2026 Total 994,864.87 23,833.69 1,018,698.56
FEBRUARY 2026
02/13/2026 Coupon 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 1,293.75 1,293.75
02/16/2026 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 115.04 115.04 02/16/2026 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,823.48 1,823.48 02/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 02/16/2026 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 544.99 544.99 02/16/2026 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 10,300.98 10,300.98 02/17/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 02/17/2026 Coupon 91282CGL9 400,000.00 UNITED STATES TREASURY 4.0 02/15/2026 8,000.00 8,000.00 02/17/2026 Final Maturity 91282CGL9 400,000.00 UNITED STATES TREASURY 4.0 02/15/2026 400,000.00 400,000.00 02/25/2026 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 75.15 75.15 02/25/2026 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,679.63 1,679.63 February 2026
Total 413,804.10 11,293.22 425,097.32
MARCH 2026
03/02/2026 Coupon 30231GAT9 500,000.00 EXXON MOBIL CORP 3.043 03/01/2026 7,607.50 7,607.50 03/02/2026 Final Maturity 30231GAT9 500,000.00 EXXON MOBIL CORP 3.043 03/01/2026 500,000.00 500,000.00 03/16/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 03/16/2026 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 106.76 106.76 03/16/2026 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,766.71 1,766.71 03/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 03/16/2026 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 497.95 497.95 03/16/2026 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 8,500.35 8,500.35 03/25/2026 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 67.49 67.49 03/25/2026 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,636.52 1,636.52 03/30/2026 Coupon 3130ARF55 3,000,000.00 FEDERAL HOME LOAN BANKS 2.6 03/30/2027 39,000.00 39,000.00 152
CONFIDENTIAL | 20
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount March 2026 Total 511,903.58 48,543.99 560,447.57
APRIL 2026
04/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 04/15/2026 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 459.14 459.14 04/15/2026 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 10,673.89 10,673.89 04/16/2026 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 98.73 98.73 04/16/2026 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,851.45 1,851.45 04/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 04/27/2026 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 60.03 60.03 04/27/2026 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,579.42 1,579.42 April 2026 Total 14,104.76 1,882.19 15,986.95
MAY 2026
05/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 05/15/2026 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 410.39 410.39 05/15/2026 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 11,053.02 11,053.02 05/18/2026 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 90.32 90.32 05/18/2026 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,775.88 1,775.88 05/18/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 05/25/2026 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 52.83 52.83 05/25/2026 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,380.59 1,380.59 May 2026 Total 14,209.49 1,817.84 16,027.33
JUNE 2026
06/08/2026 Coupon 48125LRU8 250,000.00 JPMORGAN CHASE BANK NA 5.11 12/08/2026 6,387.50 6,387.50 06/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 06/15/2026 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 359.92 359.92 06/15/2026 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 9,546.90 9,546.90 06/16/2026 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 82.26 82.26 06/16/2026 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,746.91 1,746.91 06/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 06/25/2026 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 46.54 46.54 06/25/2026 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,357.27 1,357.27 June 2026 Total 12,651.08 8,140.50 20,791.58
153
CONFIDENTIAL | 21
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount JULY 2026
07/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 07/15/2026 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 316.32 316.32 07/15/2026 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 10,001.12 10,001.12 07/16/2026 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 74.32 74.32 07/16/2026 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,713.21 1,713.21 07/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 07/27/2026 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 40.35 40.35 07/27/2026 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,331.15 1,331.15 July 2026 Total 13,045.49 1,695.29 14,740.77
AUGUST 2026
08/13/2026 Coupon 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 1,293.75 1,293.75
08/13/2026 Final Maturity 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 225,000.00 225,000.00
08/17/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 08/17/2026 Coupon 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 66.54 66.54 08/17/2026 Principal Paydown 36267KAD9 32,425.95 GMCAR 2023-3 A3 5.45 06/16/2028 1,665.29 1,665.29 08/17/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 08/17/2026 Coupon 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 270.65 270.65 08/17/2026 Principal Paydown 47787CAC7 159,007.25 JDOT 2023-C A3 5.48 05/15/2028 7,208.51 7,208.51 08/25/2026 Coupon 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 34.28 34.28 08/25/2026 Principal Paydown 05592XAD2 23,156.41 BMWOT 2023-A A3 5.47 02/25/2028 1,296.84 1,296.84 August 2026 Total 235,170.64 2,929.52 238,100.16
Grand Total 33,522,016.34 18,175,167.77 141,681.49 18,316,849.27 154
CONFIDENTIAL | 22
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

IMPORTANT DISCLOSURES
Chandler Asset Management, Inc. (“Chandler”) is an SEC registered investment adviser. For additional information about our firm, please see our current disclosures (Form ADV).

To obtain a copy of our current disclosures, you may contact your client service representative by calling the number on the front of this statement or you may visit our website at www.chandlerasset.com.

Information contained in this monthly statement is confidential and is provided for informational purposes only and should not be construed as specific investment or legal advice. The information contained herein was obtained from sources believed to be reliable as of the date of this statement, but may become outdated or superseded at any time without notice.

Custody: Your qualified custodian bank maintains control of all assets reflected in this statement and we urge you to compare this statement to the one you receive from your qualified custodian. Chandler does not have any authority to withdraw or deposit funds from/to the custodian account.

Valuation: Prices are provided by IDC, an independent pricing source. In the event IDC does not provide a price or if the price provided is not reflective of fair market value, Chandler will obtain pricing from an alternative approved third party pricing source in accordance with our written valuation policy and procedures. Our valuation procedures are also disclosed in Item 5 of our Form ADV Part 2A.

Performance: Performance results are presented gross-of-advisory fees and represent the client’s Total Return. The deduction of advisory fees lowers performance results. These results include the reinvestment of dividends and other earnings. Past performance may not be indicative of future results. Therefore, clients should not assume that future performance of any specific investment or investment strategy will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Economic factors, market conditions or changes in investment strategies, contributions or withdrawals may materially alter the performance and results of your portfolio.

Source ICE Data Indices, LLC (“ICE”), used with permission. ICE PERMITS USE OF THE ICE INDICES AND RELATED DATA ON AN “AS IS” BASIS; ICE, ITS AFFILIATES AND

THEIR RESPECTIVE THIRD PARTY SUPPLIERS DISCLAIM ANY AND ALL WARRANTIES AND REPRESENTATIONS, EXPRESS AND/OR IMPLIED, INCLUDING ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, INCLUDING THE INDICES, INDEX DATA AND ANY DATA INCLUDED IN, RELATED TO, OR DERIVED THEREFROM.

NEITHER ICE DATA, ITS AFFILIATES OR THEIR RESPECTIVE THIRD PARTY PROVIDERS GUARANTEE THE QUALITY, ADEQUACY, ACCURACY, TIMELINESS OR COMPLETENESS OF THE INDICES OR THE INDEX DATA OR ANY COMPONENT THEREOF, AND THE INDICES AND INDEX DATA AND ALL COMPONENTS THEREOF ARE PROVIDED ON AN “AS IS” BASIS AND LICENSEE’S USE IS AT LICENSEE’S OWN RISK. ICE DATA, ITS AFFILIATES AND THEIR RESPECTIVE THIRD PARTY DO NOT SPONSOR, ENDORSE, OR RECOMMEND CHANDLER, OR ANY OF ITS PRODUCTS OR SERVICES.

Index returns assume reinvestment of all distributions. Historical performance results for investment indexes generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee, the incurrence of which would have the effect of decreasing historical performance results. It is not possible to invest directly in an index.

Ratings: Ratings information have been provided by Moody’s, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy.

Security level ratings for U.S. Agency issued mortgage-backed securities (“MBS”) reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest. 155
CONFIDENTIAL | 23
City of Banning | Account #11089 | As of September 30, 2025 Execution Time: 10/02/2025 02:55:32 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

BENCHMARK INDEX & DISCLOSURES
Benchmark Disclosure
ICE BofA 0-1 Yr US Treasury Index
The ICE BAML 0-1 Year US Treasury Index tracks the performance of US Dollar denominated Sovereign debt publically issued by the US government in its domestic market with maturities less than two years. Qualifying securities must haveat least one month and less than one years remaining term to final maturity, a fixed coupon schedule and a minimum amount outstanding of $1 billion. (Index: G0QA.

Please visit www.mlindex.ml.com for more information)
156

MONTHLY ACCOUNT STATEMENT
City of Banning | Account #11089 | As of October 31, 2025 CHANDLER ASSET MANAGEMENT | chandlerasset.com
Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures at the end of the statement.

Chandler Team:

For questions about your account, please call (800) 317-4747, or contact [email protected]
Custodian:

PORTFOLIO SUMMARY
Portfolio Characteristics
Sector Allocation
Performance Review
Account Summary
Maturity Distribution
Top Issuers
Credit Quality*
Total Rate of Return** 1M 3M YTD 1YR 2YRS 3YRS 5YRS 10YRS Since Inception (07/01/23)
City of Banning 0.35% 1.17% 3.83% 4.56% 5.45% -- -- -- 5.14% Benchmark Return 0.33% 1.19% 3.59% 4.41% 5.19% -- -- -- 4.91% Average Modified Duration 0.25
Average Coupon 1.07%
Average Purchase YTM 3.95%
Average Market YTM 3.88%
Average Credit Quality* AAA
Average Final Maturity 0.29
Average Life 0.26
End Values as of
09/30/2025
End Values as of
10/31/2025
Market Value 21,904,117.88 21,970,410.58
Accrued Interest 40,152.44 49,759.20
Total Market Value 21,944,270.32 22,020,169.78
Income Earned 72,154.92 71,409.02
Cont/WD 0.00 0.00
Par 21,960,199.88 22,017,194.04
Book Value 21,942,461.41 22,005,795.57
Cost Value 21,878,214.58 21,943,582.93
United States 77.55%
Federal Home Loan Banks 13.44%
Exxon Mobil Corporation 2.27%
The Toronto-Dominion Bank 1.19%
JPMorgan Chase & Co. 1.15%
American Honda Finance Corporation 1.00%
The PNC Financial Services Group, In 1.00%
American Express Credit Master Trust 0.99%
**Periods over 1 year are annualized.

Benchmark: ICE BofA 0-1 Year US Treasury Notes & Bonds
*The average credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch. 158
CONFIDENTIAL | 3
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

AGENCY MORTGAGE SECURITIES (CMOS)
Max % (MV) 100.0 0.0 Compliant
Max % Issuer (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

ASSET-BACKED SECURITIES (ABS)
Max % (MV; Non Agency ABS & MBS) 20.0 2.3 Compliant
Max % Issuer (MV) 5.0 1.0 Compliant
Max Maturity (Years) 5 4 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

BANKERS' ACCEPTANCES
Max % (MV) 40.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 180 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CERTIFICATE OF DEPOSIT PLACEMENT SERVICE (CDARS)
Max % (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED BANK DEPOSITS
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED TIME DEPOSITS (NON-NEGOTIABLE
CD/TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COMMERCIAL PAPER
Max % (MV) 25.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 270 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CORPORATE MEDIUM TERM NOTES
Max % (MV) 30.0 6.6 Compliant
Max % Issuer (MV) 5.0 2.3 Compliant
Max Maturity (Years) 5 1 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant
159
CONFIDENTIAL | 4
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

FDIC INSURED TIME DEPOSITS (NON-NEGOTIABLE CD/
TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant

FEDERAL AGENCIES
Max % (MV) 100.0 13.4 Compliant
Max % Issuer (MV) 30.0 13.4 Compliant
Max Callables (MV) 20.0 13.4 Compliant
Max Maturity (Years) 5 1 Compliant

LOCAL AGENCY INVESTMENT FUND (LAIF)
Max Concentration (MV) 75.0 0.0 Compliant

MONEY MARKET MUTUAL FUNDS
Max % (MV) 20.0 0.1 Compliant
Max % Issuer (MV) 20.0 0.1 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant

MORTGAGE-BACKED SECURITIES (NON-AGENCY)
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

MUNICIPAL SECURITIES (CA, LOCAL AGENCY)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

MUNICIPAL SECURITIES (CA, OTHER STATES)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

MUTUAL FUNDS
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 10.0 0.0 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant
160
CONFIDENTIAL | 5
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

REPURCHASE AGREEMENTS
Max Maturity (Years) 1.0 0.0 Compliant

SUPRANATIONAL OBLIGATIONS
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 10.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant
U.S. TREASURIES
Max % (MV) 100.0 77.6 Compliant
Max Maturity (Years) 5 0.0 Compliant
161
CONFIDENTIAL | 6
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

RECONCILIATION SUMMARY
Accrual Activity Summary
Fair Market Activity Summary
Month to Date Fiscal Year to Date
(07/01/2025)
Beginning Book Value 21,942,461.41 21,683,876.68
Maturities/Calls (14,875,000.00) (55,635,000.00)
Principal Paydowns (21,382.63) (82,934.33)
Purchases 30,074,787.73 111,826,584.36
Sales (15,165,664.56) (55,976,168.30)
Change in Cash, Payables, Receivables 1,531.90 380.42
Amortization/Accretion 49,061.72 189,056.75
Realized Gain (Loss) (0.00) (0.01)
Ending Book Value 22,005,795.57 22,005,795.57
Month to Date Fiscal Year to Date
(07/01/2025)
Beginning Market Value 21,904,117.88 21,622,793.03
Maturities/Calls (14,875,000.00) (55,635,000.00)
Principal Paydowns (21,382.63) (82,934.33)
Purchases 30,074,787.73 111,826,584.36
Sales (15,165,664.56) (55,976,168.30)
Change in Cash, Payables, Receivables 1,531.90 380.42
Amortization/Accretion 49,061.72 189,056.75
Change in Net Unrealized Gain (Loss) 2,958.55 25,698.66 Realized Gain (Loss) (0.00) (0.01)
Ending Market Value 21,970,410.58 21,970,410.58
Maturities / Calls
Month to Date (14,875,000.00)
Fiscal Year to Date (55,635,000.00)
Principal Paydowns
Month to Date (21,382.63)
Fiscal Year to Date (82,934.33)
Purchases
Month to Date 30,074,787.73
Fiscal Year to Date 111,826,584.36
Sales
Month to Date (15,165,664.56)
Fiscal Year to Date (55,976,168.30)
Interest Received
Month to Date 12,740.54
Fiscal Year to Date 132,481.73
Purchased / Sold Interest
Month to Date 0.00
Fiscal Year to Date 0.00
162
CONFIDENTIAL | 7
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
ABS
379929AD4 GMALT 2023-3 A3 5.38
11/20/2026 3,354.00 08/08/20235.36%
3,353.59
3,353.87
100.04

4.52%
3,355.41

5.51 0.02%

1.55 NA/AAA
AAA

1.05 0.05
05592XAD2 BMWOT 2023-A A3 5.47
02/25/2028 20,961.82 07/12/20235.47%
20,958.11
20,959.96
100.63

4.09%
21,094.16

19.11 0.10%
134.20
NA/AAA
AAA

2.32 0.44
47787CAC7 JDOT 2023-C A3 5.48
05/15/2028 147,973.71 09/12/20235.55%
147,963.54
147,968.17
100.87

4.08%
149,256.64
360.40

0.68%
1,288.47
Aaa/NA
AAA

2.54 0.59
36267KAD9 GMCAR 2023-3 A3 5.45
06/16/2028 29,928.66 07/11/20235.51%
29,927.50
29,928.04
100.71

4.13%
30,140.01

67.96 0.14%
211.97
Aaa/AAA
NA

2.63 0.51
02582JKD1 AMXCA 2023-3 A 5.23
09/15/2026 215,000.00 09/12/20235.29%
214,990.39
214,997.20
101.07

4.00%
217,303.73
499.76

0.99%
2,306.52
NA/AAA
AAA

0.87 0.83
362955AD8 GMCAR 2025-1 A3 4.62
12/17/2029 85,000.00 01/09/20255.03%
84,993.68
84,994.70
101.01

3.91%
85,858.76
163.63

0.39%
864.06
Aaa/NA
AAA

4.13 1.33
Total ABS 502,218.19 5.34%
502,186.81
502,201.93
100.95

4.02%
507,008.71
1,116.37

2.31%
4,806.77

2.08 0.80
AGENCY
3130ARF55 FEDERAL HOME LOAN BANKS 2.6
03/30/2027 3,000,000.00 03/30/20222.60%
3,000,000.00
3,000,000.00

98.44 3.75%
2,953,200.00
6,716.67

13.44%
(46,800.00)
Aa1/AA+
AA+

1.41 1.36
Total Agency 3,000,000.00 2.60%
3,000,000.00
3,000,000.00

98.44 3.75%
2,953,200.00
6,716.67

13.44%
(46,800.00)

1.41 1.36
CASH
CCYUSD Receivable 3,551.30 -- 3,551.30
3,551.30

1.00 0.00%
3,551.30

0.00 0.02%

0.00 Aaa/AAA
AAA

0.00 0.00
Total Cash 3,551.30
3,551.30
3,551.30

1.00 0.00%
3,551.30

0.00 0.02%

0.00 0.00

0.00 CORPORATE
89115A2K7 TORONTO-DOMINION BANK

5.103 01/09/2026 260,000.00 02/24/20254.49%
261,326.00
260,287.72
100.15

4.23%
260,381.68
4,127.76

1.19%

93.96 A2/AAA0.19

0.18 02665WEY3 AMERICAN HONDA FINANCE
CORP 4.95 01/09/2026 220,000.00 03/19/20254.53%
220,712.80
220,166.72
100.10

4.32%
220,225.06
3,388.00

1.00%

58.34 A3/ANA0.19

0.18 30231GAT9 EXXON MOBIL CORP 3.043
03/01/2026 500,000.00 06/08/20234.53%
481,105.00
497,716.62

99.68 4.00%
498,422.00
2,535.83

2.27%
705.38
Aa2/AANA0.33

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
693475BB0 PNC FINANCIAL SERVICES
GROUP INC 1.15 08/13/2026 225,000.00 03/19/20254.52%
214,843.50
219,335.42

97.79 4.07%
220,019.63
560.63

1.00%
684.21
A3/AA0.78

0.76 48125LRU8 JPMORGAN CHASE BANK NA

5.11 12/08/2026 250,000.00 10/16/20244.23%
254,312.50
252,133.31
101.19

3.99%
252,973.50
5,074.51

1.15%
840.19
Aa2/AAAA1.10

0.96 Total Corporate 1,455,000.00 4.47%
1,432,299.80
1,449,639.78

99.81 4.10%
1,452,021.87
15,686.73

6.61%
2,382.08

0.49 0.45

MONEY MARKET
FUND
31846V401 FIRST AMER:GVT OBLG D 16,424.55 --

3.51%
16,424.55
16,424.55

1.00 3.51%
16,424.55

0.00 0.07%

0.00 Aaa/
AAAm
AAA

0.00 0.00
Total Money
Market Fund 16,424.55 3.51%
16,424.55
16,424.55

1.00 3.51%
16,424.55

0.00 0.07%

0.00 0.00

0.00 US TREASURY
912797RM1 UNITED STATES TREASURY
11/04/2025 15,100,000.00 --4.08%
15,057,278.28
15,094,944.77

99.99 3.87%
15,098,399.40

0.00 68.72%
3,454.63
P-1/A-1+
F1+

0.01 0.00
91282CFW6 UNITED STATES TREASURY 4.5
11/15/2025 400,000.00 12/30/20244.24%
400,859.38
400,037.72
100.01

3.99%
400,055.60
8,315.22

1.82%

17.88 Aa1/AA+
AA+

0.04 0.03
9128285N6 UNITED STATES TREASURY 2.875
11/30/2025 300,000.00 03/12/20254.18%
297,246.09
299,695.18

99.91 4.02%
299,736.00
3,629.10

1.36%

40.82 Aa1/AA+
AA+

0.08 0.07
91282CGA3 UNITED STATES TREASURY 4.0
12/15/2025 340,000.00 02/10/20254.26%
339,256.25
339,893.40
100.00

3.92%
340,006.46
5,165.03

1.55%
113.06
Aa1/AA+
AA+

0.12 0.11
91282CGE5 UNITED STATES TREASURY 3.875
01/15/2026 500,000.00 06/08/20234.27%
495,136.72
499,616.46

99.99 3.90%
499,931.50
5,738.79

2.28%
315.04
Aa1/AA+
AA+

0.21 0.20
91282CGL9 UNITED STATES TREASURY 4.0
02/15/2026 400,000.00 03/19/2025

4.18%
399,343.75
399,790.47
100.02

3.90%
400,075.20
3,391.30

1.82%
284.73
Aa1/AA+
AA+

0.29 0.28
Total US Treasury 17,040,000.00 4.10%
16,989,120.47
17,033,978.00

99.99 3.88%
17,038,204.16
26,239.44

77.55%
4,226.16

0.03 0.02
Total Portfolio 22,017,194.04 3.95%
21,943,582.93
22,005,795.57

99.70 3.88%
21,970,410.58
49,759.20
100.00%
(35,384.99)

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss

ACQUISITIONS
Purchase 10/01/2025 31846V401 2,019.40 FIRST AMER:GVT OBLG D 1.000 3.61% (2,019.40) 0.00 (2,019.40) 0.00 Purchase 10/07/2025 31846V401 14,300,000.00 FIRST AMER:GVT OBLG D 1.000 3.58% (14,300,000.00) 0.00 (14,300,000.00) 0.00 Purchase 10/09/2025 912797RM1 14,400,000.00 UNITED STATES TREASURY 11/04/2025 99.710 4.09% (14,358,212.78) 0.00 (14,358,212.78) 0.00 Purchase 10/10/2025 31846V401 108,386.28 FIRST AMER:GVT OBLG D 1.000 3.56% (108,386.28) 0.00 (108,386.28) 0.00 Purchase 10/15/2025 31846V401 584,374.54 FIRST AMER:GVT OBLG D 1.000 3.59% (584,374.54) 0.00 (584,374.54) 0.00 Purchase 10/15/2025 31846V401 11,759.67 FIRST AMER:GVT OBLG D 1.000 3.59% (11,759.67) 0.00 (11,759.67) 0.00 Purchase 10/16/2025 31846V401 2,971.81 FIRST AMER:GVT OBLG D 1.000 3.63% (2,971.81) 0.00 (2,971.81) 0.00 Purchase 10/20/2025 31846V401 5,697.61 FIRST AMER:GVT OBLG D 1.000 3.61% (5,697.61) 0.00 (5,697.61) 0.00 Purchase 10/23/2025 912797RM1 700,000.00 UNITED STATES TREASURY 11/04/2025 99.867 4.07% (699,065.50) 0.00 (699,065.50) 0.00 Purchase 10/27/2025 31846V401 2,300.14 FIRST AMER:GVT OBLG D 1.000 3.61% (2,300.14) 0.00 (2,300.14) 0.00 Total Purchase 30,117,509.45 (30,074,787.73) 0.00 (30,074,787.73) 0.00 TOTAL
ACQUISITIONS 30,117,509.45 (30,074,787.73) 0.00 (30,074,787.73) 0.00

DISPOSITIONS
Maturity 10/07/2025 912797RB5 (14,300,000.00) UNITED STATES TREASURY 10/07/2025 100.000 4.15% 14,300,000.00 0.00 14,300,000.00 (0.00) Maturity 10/15/2025 009158BB1 (275,000.00)

AIR PRODUCTS AND
CHEMICALS INC 1.5
10/15/2025
100.000 4.51% 275,000.00 0.00 275,000.00 0.00
Maturity 10/15/2025 91282CFP1 (300,000.00) UNITED STATES TREASURY

4.25 10/15/2025 100.000 4.19% 300,000.00 0.00 300,000.00 0.00 Total Maturity (14,875,000.00) 14,875,000.00 0.00 14,875,000.00 (0.00) Sale 10/09/2025 31846V401 (14,466,599.06) FIRST AMER:GVT OBLG D 1.000 3.56% 14,466,599.06 0.00 14,466,599.06 0.00 Sale 10/23/2025 31846V401 (699,065.50) FIRST AMER:GVT OBLG D 1.000 3.60% 699,065.50 0.00 699,065.50 0.00 Total Sale (15,165,664.56) 15,165,664.56 0.00 15,165,664.56 0.00 TOTAL
DISPOSITIONS (30,040,664.56) 30,040,664.56 0.00 30,040,664.56 (0.00) 165
CONFIDENTIAL | 10
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss
OTHER

TRANSACTIONS
Coupon 10/15/2025 47787CAC7 0.00 JDOT 2023-C A3 5.48
05/15/2028 5.55% 726.13 0.00 726.13 0.00
Coupon 10/15/2025 02582JKD1 0.00 AMXCA 2023-3 A 5.23
09/15/2026 5.29% 937.04 0.00 937.04 0.00
Coupon 10/15/2025 009158BB1 0.00

AIR PRODUCTS AND
CHEMICALS INC 1.5
10/15/2025

4.51% 2,062.50 0.00 2,062.50 0.00
Coupon 10/15/2025 91282CFP1 0.00 UNITED STATES TREASURY

4.25 10/15/2025 4.19% 6,375.00 0.00 6,375.00 0.00
Coupon 10/16/2025 36267KAD9 0.00 GMCAR 2023-3 A3 5.45
06/16/2028 5.51% 147.27 0.00 147.27 0.00
Coupon 10/16/2025 362955AD8 0.00 GMCAR 2025-1 A3 4.62
12/17/2029 5.03% 327.25 0.00 327.25 0.00
Coupon 10/20/2025 379929AD4 0.00 GMALT 2023-3 A3 5.38
11/20/2026 5.36% 40.40 0.00 40.40 0.00
Coupon 10/25/2025 05592XAD2 0.00 BMWOT 2023-A A3 5.47
02/25/2028 5.47% 105.55 0.00 105.55 0.00
Total Coupon 0.00 10,721.14 0.00 10,721.14 0.00
Dividend 10/31/2025 31846V401 0.00 FIRST AMER:GVT OBLG D 3.53% 3,551.30 0.00 3,551.30 0.00 Total Dividend 0.00 3,551.30 0.00 3,551.30 0.00
Principal Paydown 10/15/2025 47787CAC7 11,033.54 JDOT 2023-C A3 5.48 05/15/2028 5.55% 11,033.54 -- 11,033.54 (0.00)
Principal Paydown 10/16/2025 36267KAD9 2,497.29 GMCAR 2023-3 A3 5.45 06/16/2028 5.51% 2,497.29 -- 2,497.29 (0.00)
Principal Paydown 10/20/2025 379929AD4 5,657.21 GMALT 2023-3 A3 5.38 11/20/2026 5.36% 5,657.21 -- 5,657.21 0.00
Principal Paydown 10/25/2025 05592XAD2 2,194.59 BMWOT 2023-A A3 5.47 02/25/2028 5.47% 2,194.59 -- 2,194.59 0.00
Total Principal
Paydown 21,382.63 21,382.63 -- 21,382.63 (0.00)
166
CONFIDENTIAL | 11
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss

CASH & EQUIVALENTS
31846V401 FIRST AMER:GVT OBLG D
16,424.55
164,579.66
15,017,509.45
(15,165,664.56)
16,424.55

0.00 2,019.40

0.00 0.00

0.00 2,019.40
2,019.40
912797RB5 UNITED STATES TREASURY
10/07/2025
09/09/2025
09/10/2025

0.00 14,290,270.06

0.00 (14,300,000.00)

0.00 0.00

0.00 9,729.94

0.00 9,729.94
9,729.94
9,729.94
912797RM1 UNITED STATES TREASURY
11/04/2025 15,100,000.00

0.00 15,057,278.28

0.00 15,094,944.77

0.00 0.00

0.00 0.00
37,666.49

0.00 37,666.49
37,666.49
37,666.49
CCYUSD Receivable
3,551.30
2,019.40

0.00 0.00
3,551.30

0.00 0.00

0.00 Total Cash & Equivalents 15,119,975.85
14,456,869.12
30,074,787.73
(29,465,664.56)
15,114,920.62

0.00 2,019.40

0.00 2,019.40
47,396.44

0.00 47,396.44
49,415.84 49,415.84

FIXED INCOME
009158BB1

AIR PRODUCTS AND
CHEMICALS INC 1.5
10/15/2025
11/12/2024
11/13/2024

0.00 274,691.54

0.00 (275,000.00)

0.00 1,902.08
2,062.50

0.00 160.42
308.46

0.00 308.46
468.88
468.88
02582JKD1 AMXCA 2023-3 A 5.23
09/15/2026
09/12/2023
09/19/2023
215,000.00
214,996.93

0.00 0.00
214,997.20
499.76
937.04
499.76
937.04

0.27 0.00

0.27 937.31
937.31
02665WEY3 AMERICAN HONDA FINANCE
CORP 4.95 01/09/2026
03/19/2025
03/20/2025
220,000.00
220,241.63

0.00 0.00
220,166.72
2,480.50

0.00 3,388.00
907.50

0.00 (2,194.59)
20,959.96

21.11 105.55

19.11 103.55

0.27 0.00

0.27 103.82
103.82
30231GAT9 EXXON MOBIL CORP 3.043
03/01/2026
06/08/2023
06/12/2023
500,000.00
497,126.74

0.00 0.00
497,716.62
1,267.92

0.00 2,535.83
1,267.92
589.87

0.00 589.87
1,857.79
1,857.79
3130ARF55 FEDERAL HOME LOAN BANKS

2.6 03/30/2027
03/30/2022
03/30/2022
3,000,000.00
3,000,000.00

0.00 0.00
3,000,000.00
216.67

0.00 6,716.67
6,500.00

0.00 0.00

0.00 6,500.00
6,500.00
36267KAD9 GMCAR 2023-3 A3 5.45
06/16/2028
07/11/2023
07/19/2023
29,928.66
32,425.26

0.00 (2,497.29)
29,928.04

73.63 147.27

67.96 141.60

0.07 0.00

0.07 141.67
141.67
362955AD8 GMCAR 2025-1 A3 4.62
12/17/2029
01/09/2025
01/15/2025
85,000.00
84,994.59

0.00 0.00
84,994.70
163.63
327.25
163.63
327.25

0.11 0.00

0.11 327.36
327.36
379929AD4 GMALT 2023-3 A3 5.38
11/20/2026
08/08/2023
08/11/2023
3,354.00
9,010.83

0.00 (5,657.21)
3,353.87

14.81 40.40

5.51 31.10

0.25 0.00

0.25 31.35

31.35 47787CAC7 JDOT 2023-C A3 5.48
05/15/2028
09/12/2023
09/19/2023
147,973.71
159,001.10

0.00 (11,033.54)
147,968.17
387.27
726.13
360.40
699.26

0.61 0.00

0.61 699.87
699.87
48125LRU8 JPMORGAN CHASE BANK NA

5.11 12/08/2026
10/16/2024
10/17/2024
250,000.00
252,311.09

0.00 0.00
252,133.31
4,009.93

0.00 5,074.51
1,064.58

0.00 (177.78)
(177.78)
886.81
886.81
693475BB0 PNC FINANCIAL SERVICES
GROUP INC 1.15 08/13/2026
03/19/2025
03/20/2025
225,000.00
218,719.27

0.00 0.00
219,335.42
345.00

0.00 560.63
215.63
616.15

5.103 01/09/2026
02/24/2025
02/25/2025
260,000.00
260,416.98

0.00 0.00
260,287.72
3,022.11

0.00 4,127.76
1,105.65

0.00 (129.26)
(129.26)
976.39
976.39
9128285N6 UNITED STATES TREASURY

2.875 11/30/2025
03/12/2025
03/13/2025
300,000.00
299,369.33

0.00 0.00
299,695.18
2,898.57

0.00 3,629.10
730.53
325.84

0.00 325.84
1,056.38
1,056.38
91282CFP1 UNITED STATES TREASURY

4.25 10/15/2025
03/12/2025
03/13/2025

0.00 300,006.08

0.00 (300,000.00)

0.00 5,887.30
6,375.00

0.00 487.70

0.00 (6.08)
(6.08)
481.63
481.63
91282CFW6 UNITED STATES TREASURY 4.5
11/15/2025
12/30/2024
12/31/2024
400,000.00
400,121.23

0.00 0.00
400,037.72
6,798.91

0.00 8,315.22
1,516.30

0.00 (83.51)
(83.51)
1,432.79
1,432.79
91282CGA3 UNITED STATES TREASURY 4.0
12/15/2025
02/10/2025
02/11/2025
340,000.00
339,818.30

0.00 0.00
339,893.40
4,013.11

0.00 5,165.03
1,151.91

75.10 0.00

75.10 1,227.01
1,227.01
91282CGE5 UNITED STATES TREASURY

3.875 01/15/2026
06/08/2023
06/09/2023
500,000.00
499,457.93

0.00 0.00
499,616.46
4,106.66

0.00 5,738.79
1,632.13
158.53

0.00 158.53
1,790.66
1,790.66
91282CGL9 UNITED STATES TREASURY 4.0
02/15/2026
03/19/2025
03/20/2025
400,000.00
399,729.20

0.00 0.00
399,790.47
2,043.48

0.00 3,391.30
1,347.83

61.28 0.00

61.28 1,409.10
1,409.10
Total Fixed Income 6,897,218.19
7,485,592.30

0.00 (596,382.63)
6,890,874.95
40,152.44
10,721.14
49,759.20
20,327.90
2,136.82
(471.53)
1,665.28
21,993.18 21,993.18
TOTAL PORTFOLIO 22,017,194.04
21,942,461.41
30,074,787.73
(30,062,047.19)
22,005,795.57
40,152.44
12,740.54
49,759.20
22,347.30
49,533.25
(471.53)
49,061.72
71,409.02 71,409.02
170
CONFIDENTIAL | 15
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount NOVEMBER 2025
11/04/2025 Final Maturity 912797RM1 15,100,000.00 UNITED STATES TREASURY 11/04/2025 15,100,000.00 15,100,000.00 11/17/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 11/17/2025 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 141.88 141.88 11/17/2025 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 2,188.92 2,188.92 11/17/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 11/17/2025 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 679.79 679.79 11/17/2025 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 10,381.03 10,381.03 11/17/2025 Coupon 91282CFW6 400,000.00 UNITED STATES TREASURY 4.5 11/15/2025 9,000.00 9,000.00 11/17/2025 Final Maturity 91282CFW6 400,000.00 UNITED STATES TREASURY 4.5 11/15/2025 400,000.00 400,000.00 11/20/2025 Coupon 379929AD4 3,354.00 GMALT 2023-3 A3 5.38 11/20/2026 15.81 15.81 11/20/2025 Effective Maturity 379929AD4 3,354.00 GMALT 2023-3 A3 5.38 11/20/2026 3,526.53 3,526.53 11/25/2025 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 95.55 95.55 11/25/2025 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,756.79 1,756.79 November 2025
Total 15,517,853.27 11,197.33 15,529,050.59
DECEMBER 2025
12/01/2025 Coupon 9128285N6 300,000.00 UNITED STATES TREASURY 2.875 11/30/2025 4,312.50 4,312.50 12/01/2025 Final Maturity 9128285N6 300,000.00 UNITED STATES TREASURY 2.875 11/30/2025 300,000.00 300,000.00 12/08/2025 Coupon 48125LRU8 250,000.00 JPMORGAN CHASE BANK NA 5.11 12/08/2026 6,387.50 6,387.50 12/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 12/15/2025 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 632.38 632.38 12/15/2025 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 7,819.97 7,819.97 12/15/2025 Coupon 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 6,800.00 6,800.00 12/15/2025 Final Maturity 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 340,000.00 340,000.00 12/16/2025 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 131.94 131.94 12/16/2025 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,877.52 1,877.52 12/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 12/25/2025 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 87.54 87.54 12/25/2025 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,671.82 1,671.82 December 2025
Total 651,369.31 19,616.16 670,985.47
171
CONFIDENTIAL | 16
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount JANUARY 2026
01/09/2026 Coupon 02665WEY3 220,000.00 AMERICAN HONDA FINANCE CORP 4.95 01/09/2026 5,445.00 5,445.00
01/09/2026 Final Maturity 02665WEY3 220,000.00 AMERICAN HONDA FINANCE CORP 4.95 01/09/2026 220,000.00 220,000.00
01/09/2026 Coupon 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 6,633.90 6,633.90 01/09/2026 Final Maturity 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 260,000.00 260,000.00 01/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 01/15/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 596.67 596.67 01/15/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 11,316.15 11,316.15 01/15/2026 Coupon 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 9,687.50 9,687.50 01/15/2026 Final Maturity 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 500,000.00 500,000.00 01/16/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 123.41 123.41 01/16/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,844.31 1,844.31 01/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 01/26/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 79.92 79.92 01/26/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,636.37 1,636.37 January 2026 Total 994,796.83 23,830.70 1,018,627.53
FEBRUARY 2026
02/13/2026 Coupon 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 1,293.75 1,293.75
02/16/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 115.04 115.04 02/16/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,823.48 1,823.48 02/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 02/16/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 544.99 544.99 02/16/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 10,300.98 10,300.98 02/17/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 02/17/2026 Coupon 91282CGL9 400,000.00 UNITED STATES TREASURY 4.0 02/15/2026 8,000.00 8,000.00 02/17/2026 Final Maturity 91282CGL9 400,000.00 UNITED STATES TREASURY 4.0 02/15/2026 400,000.00 400,000.00 02/25/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 72.46 72.46 02/25/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,614.20 1,614.20 172
CONFIDENTIAL | 17
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount February 2026
Total 413,738.66 11,290.54 425,029.20
MARCH 2026
03/02/2026 Coupon 30231GAT9 500,000.00 EXXON MOBIL CORP 3.043 03/01/2026 7,607.50 7,607.50 03/02/2026 Final Maturity 30231GAT9 500,000.00 EXXON MOBIL CORP 3.043 03/01/2026 500,000.00 500,000.00 03/16/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 03/16/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 106.76 106.76 03/16/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,766.71 1,766.71 03/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 03/16/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 497.95 497.95 03/16/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 8,500.35 8,500.35 03/25/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 65.11 65.11 03/25/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,573.29 1,573.29 03/30/2026 Coupon 3130ARF55 3,000,000.00 FEDERAL HOME LOAN BANKS 2.6 03/30/2027 39,000.00 39,000.00 March 2026 Total 511,840.34 48,541.61 560,381.95
APRIL 2026
04/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 04/15/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 459.14 459.14 04/15/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 10,673.89 10,673.89 04/16/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 98.73 98.73 04/16/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,851.45 1,851.45 04/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 04/27/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 57.93 57.93 04/27/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,610.04 1,610.04 April 2026 Total 14,135.38 1,880.09 16,015.47
MAY 2026
05/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 05/15/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 410.39 410.39 05/15/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 11,053.02 11,053.02 05/18/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 90.32 90.32 05/18/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,775.88 1,775.88 05/18/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 173
CONFIDENTIAL | 18
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 05/25/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 50.59 50.59 05/25/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,422.54 1,422.54 May 2026 Total 14,251.44 1,815.60 16,067.04
JUNE 2026
06/08/2026 Coupon 48125LRU8 250,000.00 JPMORGAN CHASE BANK NA 5.11 12/08/2026 6,387.50 6,387.50 06/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 06/15/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 359.92 359.92 06/15/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 9,546.90 9,546.90 06/16/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 82.26 82.26 06/16/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,746.91 1,746.91 06/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 06/25/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 44.11 44.11 06/25/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,398.07 1,398.07 June 2026 Total 12,691.87 8,138.08 20,829.95
JULY 2026
07/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 07/15/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 316.32 316.32 07/15/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 10,001.12 10,001.12 07/16/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 74.32 74.32 07/16/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,713.21 1,713.21 07/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 07/27/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 37.74 37.74 07/27/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,367.42 1,367.42 July 2026 Total 13,081.75 1,692.67 14,774.43
AUGUST 2026
08/13/2026 Coupon 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 1,293.75 1,293.75
08/13/2026 Final Maturity 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 225,000.00 225,000.00
08/17/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 08/17/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 66.54 66.54 08/17/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,665.29 1,665.29 174
CONFIDENTIAL | 19
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 08/17/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 08/17/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 270.65 270.65 08/17/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 7,208.51 7,208.51 08/25/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 31.50 31.50 08/25/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,254.24 1,254.24 August 2026 Total 235,128.04 2,926.74 238,054.77
SEPTEMBER 2026
09/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 09/15/2026 Final Maturity 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 215,000.00 215,000.00 09/15/2026 Coupon 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 237.73 237.73 09/15/2026 Principal Paydown 47787CAC7 147,973.71 JDOT 2023-C A3 5.48 05/15/2028 5,358.44 5,358.44 09/16/2026 Coupon 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 58.98 58.98 09/16/2026 Principal Paydown 36267KAD9 29,928.66 GMCAR 2023-3 A3 5.45 06/16/2028 1,633.22 1,633.22 09/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 09/16/2026 Principal Paydown 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 4,468.56 4,468.56 09/25/2026 Coupon 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 25.79 25.79 09/25/2026 Principal Paydown 05592XAD2 20,961.82 BMWOT 2023-A A3 5.47 02/25/2028 1,221.71 1,221.71 09/30/2026 Coupon 3130ARF55 3,000,000.00 FEDERAL HOME LOAN BANKS 2.6 03/30/2027 39,000.00 39,000.00 September 2026
Total 227,681.92 40,586.79 268,268.71
Grand Total 36,096,720.21 18,606,568.83 171,516.29 18,778,085.12 175
CONFIDENTIAL | 20
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

Source ICE Data Indices, LLC (“ICE”), used with permission. ICE PERMITS USE OF THE ICE INDICES AND RELATED DATA ON AN “AS IS” BASIS; ICE, ITS AFFILIATES AND

Ratings: Ratings information have been provided by Moody’s, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy.

Security level ratings for U.S. Agency issued mortgage-backed securities (“MBS”) reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest. 176
CONFIDENTIAL | 21
City of Banning | Account #11089 | As of October 31, 2025 Execution Time: 11/04/2025 06:36:55 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

Please visit www.mlindex.ml.com for more information)
177

MONTHLY ACCOUNT STATEMENT
City of Banning | Account #11089 | As of November 30, 2025 CHANDLER ASSET MANAGEMENT | chandlerasset.com
Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures at the end of the statement.

Chandler Team:

For questions about your account, please call (800) 317-4747, or contact [email protected]
Custodian:

PORTFOLIO SUMMARY
Portfolio Characteristics
Sector Allocation
Performance Review
Account Summary
Maturity Distribution
Top Issuers
Credit Quality*
Total Rate of Return** 1M 3M YTD 1YR 2YRS 3YRS 5YRS 10YRS Since Inception (07/01/23)
City of Banning 0.32% 1.03% 4.16% 4.54% 5.09% -- -- -- 5.10% Benchmark Return 0.33% 1.05% 3.92% 4.38% 4.83% -- -- -- 4.88% Average Modified Duration 0.22
Average Coupon 0.95%
Average Purchase YTM 3.83%
Average Market YTM 3.87%
Average Credit Quality* AAA
Average Final Maturity 0.26
Average Life 0.23
End Values as of
10/31/2025
End Values as of
11/30/2025
Market Value 21,970,410.58 22,038,204.05
Accrued Interest 49,759.20 52,831.10
Total Market Value 22,020,169.78 22,091,035.15
Income Earned 71,409.02 65,261.22
Cont/WD 0.00 0.00
Par 22,017,194.04 22,078,485.11
Book Value 22,005,795.57 22,071,830.92
Cost Value 21,943,582.93 22,006,784.81
United States 75.95%
Federal Home Loan Banks 13.43%
Exxon Mobil Corporation 2.26%
The Toronto-Dominion Bank 1.18%
JPMorgan Chase & Co. 1.15%
The PNC Financial Services Group, In 1.00%
American Honda Finance Corporation 1.00%
American Express Credit Master Trust 0.99%
**Periods over 1 year are annualized.

Benchmark: ICE BofA 0-1 Year US Treasury Notes & Bonds
*The average credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch. 179
CONFIDENTIAL | 3
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

AGENCY MORTGAGE SECURITIES (CMOS)
Max % (MV) 100.0 0.0 Compliant
Max % Issuer (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

ASSET-BACKED SECURITIES (ABS)
Max % (MV; Non Agency ABS & MBS) 20.0 2.2 Compliant
Max % Issuer (MV) 5.0 1.0 Compliant
Max Maturity (Years) 5 4 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

BANKERS' ACCEPTANCES
Max % (MV) 40.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 180 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CERTIFICATE OF DEPOSIT PLACEMENT SERVICE (CDARS)
Max % (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED BANK DEPOSITS
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED TIME DEPOSITS (NON-NEGOTIABLE
CD/TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COMMERCIAL PAPER
Max % (MV) 25.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 270 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CORPORATE MEDIUM TERM NOTES
Max % (MV) 30.0 6.6 Compliant
Max % Issuer (MV) 5.0 2.3 Compliant
Max Maturity (Years) 5 1 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant
180
CONFIDENTIAL | 4
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

FDIC INSURED TIME DEPOSITS (NON-NEGOTIABLE CD/
TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant

FEDERAL AGENCIES
Max % (MV) 100.0 13.4 Compliant
Max % Issuer (MV) 30.0 13.4 Compliant
Max Callables (MV) 20.0 13.4 Compliant
Max Maturity (Years) 5 1 Compliant

LOCAL AGENCY INVESTMENT FUND (LAIF)
Max Concentration (MV) 75.0 0.0 Compliant

MONEY MARKET MUTUAL FUNDS
Max % (MV) 20.0 0.4 Compliant
Max % Issuer (MV) 20.0 0.4 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant

MORTGAGE-BACKED SECURITIES (NON-AGENCY)
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

MUNICIPAL SECURITIES (CA, LOCAL AGENCY)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

MUNICIPAL SECURITIES (CA, OTHER STATES)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

MUTUAL FUNDS
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 10.0 0.0 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant
181
CONFIDENTIAL | 5
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

REPURCHASE AGREEMENTS
Max Maturity (Years) 1.0 0.0 Compliant

SUPRANATIONAL OBLIGATIONS
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 10.0 0.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant
U.S. TREASURIES
Max % (MV) 100.0 76.0 Compliant
Max Maturity (Years) 5 0.0 Compliant
182
CONFIDENTIAL | 6
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

RECONCILIATION SUMMARY
Accrual Activity Summary
Fair Market Activity Summary
Month to Date Fiscal Year to Date
(07/01/2025)
Beginning Book Value 22,005,795.57 21,683,876.68
Maturities/Calls (15,800,000.00) (71,435,000.00)
Principal Paydowns (20,516.02) (103,450.35)
Purchases 30,992,546.70 142,819,131.06
Sales (15,457,292.82) (71,433,461.12)
Change in Cash, Payables, Receivables 303,846.03 304,226.45 Amortization/Accretion 47,451.46 236,508.21
Realized Gain (Loss) (0.00) (0.01)
Ending Book Value 22,071,830.92 22,071,830.92
Month to Date Fiscal Year to Date
(07/01/2025)
Beginning Market Value 21,970,410.58 21,622,793.03
Maturities/Calls (15,800,000.00) (71,435,000.00)
Principal Paydowns (20,516.02) (103,450.35)
Purchases 30,992,546.70 142,819,131.06
Sales (15,457,292.82) (71,433,461.12)
Change in Cash, Payables, Receivables 303,846.03 304,226.45 Amortization/Accretion 47,451.46 236,508.21
Change in Net Unrealized Gain (Loss) 1,758.12 27,456.78 Realized Gain (Loss) (0.00) (0.01)
Ending Market Value 22,038,204.05 22,038,204.05
Maturities / Calls
Month to Date (15,800,000.00)
Fiscal Year to Date (71,435,000.00)
Principal Paydowns
Month to Date (20,516.02)
Fiscal Year to Date (103,450.35)
Purchases
Month to Date 30,992,546.70
Fiscal Year to Date 142,819,131.06
Sales
Month to Date (15,457,292.82)
Fiscal Year to Date (71,433,461.12)
Interest Received
Month to Date 14,737.86
Fiscal Year to Date 147,219.59
Purchased / Sold Interest
Month to Date 0.00
Fiscal Year to Date 0.00
183
CONFIDENTIAL | 7
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
ABS
05592XAD2 BMWOT 2023-A A3 5.47
02/25/2028 18,823.65 07/12/20235.47%
18,820.32
18,822.04
100.65

3.97%
18,945.76

17.16 0.09%
123.73
NA/AAA
AAA

2.24 0.42
47787CAC7 JDOT 2023-C A3 5.48
05/15/2028 135,437.62 09/12/20235.55%
135,428.31
135,432.71
100.86

3.93%
136,607.80
329.87

0.62%
1,175.09
Aaa/NA
AAA

2.46 0.53
36267KAD9 GMCAR 2023-3 A3 5.45
06/16/2028 27,440.89 07/11/20235.51%
27,439.83
27,440.34
100.72

4.02%
27,638.38

62.31 0.13%
198.04
Aaa/AAA
NA

2.54 0.48
02582JKD1 AMXCA 2023-3 A 5.23
09/15/2026 215,000.00 09/12/20235.29%
214,990.39
214,997.47
101.07

3.89%
217,292.55
499.76

0.99%
2,295.08
NA/AAA
AAA

0.79 0.76
362955AD8 GMCAR 2025-1 A3 4.62
12/17/2029 85,000.00 01/09/20255.03%
84,993.68
84,994.80
101.00

3.87%
85,853.49
163.63

0.39%
858.68
Aaa/NA
AAA

4.05 1.26
Total ABS 481,702.17 5.34%
481,672.53
481,687.36
100.96

3.91%
486,337.98
1,072.72

2.21%
4,650.62

1.99 0.75
AGENCY
3130ARF55 FEDERAL HOME LOAN BANKS 2.6
03/30/2027 3,000,000.00 03/30/20222.60%
3,000,000.00
3,000,000.00

98.63 3.66%
2,959,014.00
13,216.67

13.43%
(40,986.00)
Aa1/AA+
AA+

1.33 1.29
Total Agency 3,000,000.00 2.60%
3,000,000.00
3,000,000.00

98.63 3.66%
2,959,014.00
13,216.67

13.43%
(40,986.00)

1.33 1.29
CASH
CCYUSD Receivable 307,397.33 -- 307,397.33
307,397.33

1.00 0.00%
307,397.33

0.00 1.39%

0.00 Aaa/AAA
AAA

0.00 0.00
Total Cash 307,397.33
307,397.33
307,397.33

1.00 0.00%
307,397.33

0.00 1.39%

0.00 0.00

0.00 CORPORATE
02665WEY3 AMERICAN HONDA FINANCE
CORP 4.95 01/09/2026 220,000.00 03/19/20254.53%
220,712.80
220,094.23
100.06

4.30%
220,130.46
4,295.50

1.00%

36.23 A3/ANA0.11

0.11 89115A2K7 TORONTO-DOMINION BANK

5.103 01/09/2026 260,000.00 02/24/20254.49%
261,326.00
260,162.62
100.09

4.15%
260,238.42
5,233.41

1.18%

75.80 A2/AAA0.11

0.11 30231GAT9 EXXON MOBIL CORP 3.043
03/01/2026 500,000.00 06/08/20234.53%
481,105.00
498,287.46

99.77 3.96%
498,826.00
3,803.75

2.26%
538.54
Aa2/AANA0.25

0.25 693475BB0 PNC FINANCIAL SERVICES
GROUP INC 1.15 08/13/2026 225,000.00 03/19/20254.52%
214,843.50
219,931.69

98.07 3.97%
220,660.20
776.25

1.00%
728.51
A3/AA0.70

HOLDINGS REPORT
Cusip Security Description Par Value/
Units
Purchase Date
Purchase Yield
Cost Value
Book Value
Mkt Price
Mkt YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
48125LRU8 JPMORGAN CHASE BANK NA

5.11 12/08/2026 250,000.00 10/16/20244.23%
254,312.50
251,961.27
101.11

3.99%
252,767.25
6,139.10

1.15%
805.98
Aa2/AAAA1.02

0.89 Total Corporate 1,455,000.00 4.47%
1,432,299.80
1,450,437.28

99.84 4.05%
1,452,622.33
20,248.01

6.59%
2,185.05

0.41 0.38

MONEY MARKET
FUND
31846V401 FIRST AMER:GVT OBLG D 94,385.61 --

3.47%
94,385.61
94,385.61

1.00 3.47%
94,385.61

0.00 0.43%

0.00 Aaa/
AAAm
AAA

0.00 0.00
Total Money
Market Fund 94,385.61 3.47%
94,385.61
94,385.61

1.00 3.47%
94,385.61

0.00 0.43%

0.00 0.00

0.00 US TREASURY
912797RR0 UNITED STATES TREASURY
12/02/2025 15,500,000.00 --3.93%
15,457,292.82
15,498,337.61

99.99 3.98%
15,498,310.50

0.00 70.32%
(27.11)
P-1/A-1+
F1+

0.01 0.00
91282CGA3 UNITED STATES TREASURY 4.0
12/15/2025 340,000.00 02/10/20254.26%
339,256.25
339,966.08
100.00

3.97%
339,994.90
6,279.78

1.54%

28.82 Aa1/AA+
AA+

0.04 0.04
91282CGE5 UNITED STATES TREASURY 3.875
01/15/2026 500,000.00 06/08/20234.27%
495,136.72
499,769.88
100.00

3.83%
499,993.00
7,318.27

2.27%
223.12
Aa1/AA+
AA+

0.13 0.12
91282CGL9 UNITED STATES TREASURY 4.0
02/15/2026 400,000.00 03/19/20254.18%
399,343.75
399,849.77
100.04

3.77%
400,148.40
4,695.65

1.82%
298.63
Aa1/AA+
AA+

0.21 0.20
Total US Treasury 16,740,000.00 3.95%
16,691,029.54
16,737,923.34

99.99 3.97%
16,738,446.80
18,293.71

75.95%
523.46

0.01 0.01
Total Portfolio 22,078,485.11 3.83%
22,006,784.81
22,071,830.92

98.02 3.87%
22,038,204.05
52,831.10
100.00%
(33,626.87)

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss

ACQUISITIONS
Purchase 11/03/2025 31846V401 3,551.30 FIRST AMER:GVT OBLG D 1.000 3.53% (3,551.30) 0.00 (3,551.30) 0.00 Purchase 11/04/2025 31846V401 15,100,000.00 FIRST AMER:GVT OBLG D 1.000 3.54% (15,100,000.00) 0.00 (15,100,000.00) 0.00 Purchase 11/06/2025 912797RR0 15,100,000.00 UNITED STATES TREASURY 12/02/2025 99.721 3.93% (15,057,893.65) 0.00 (15,057,893.65) 0.00 Purchase 11/17/2025 31846V401 16,162.78 FIRST AMER:GVT OBLG D 1.000 3.42% (16,162.78) 0.00 (16,162.78) 0.00 Purchase 11/17/2025 31846V401 409,937.04 FIRST AMER:GVT OBLG D 1.000 3.42% (409,937.04) 0.00 (409,937.04) 0.00 Purchase 11/18/2025 912797RR0 400,000.00 UNITED STATES TREASURY 12/02/2025 99.850 3.92% (399,399.17) 0.00 (399,399.17) 0.00 Purchase 11/20/2025 31846V401 15.04 FIRST AMER:GVT OBLG D 1.000 3.39% (15.04) 0.00 (15.04) 0.00 Purchase 11/20/2025 31846V401 3,354.00 FIRST AMER:GVT OBLG D 1.000 3.39% (3,354.00) 0.00 (3,354.00) 0.00 Purchase 11/25/2025 31846V401 2,233.72 FIRST AMER:GVT OBLG D 1.000 3.42% (2,233.72) 0.00 (2,233.72) 0.00 Total Purchase 31,035,253.88 (30,992,546.70) 0.00 (30,992,546.70) 0.00 TOTAL
ACQUISITIONS 31,035,253.88 (30,992,546.70) 0.00 (30,992,546.70) 0.00

DISPOSITIONS
Maturity 11/04/2025 912797RM1 (15,100,000.00) UNITED STATES TREASURY 11/04/2025 100.000 4.08% 15,100,000.00 0.00 15,100,000.00 0.00 Maturity 11/15/2025 91282CFW6 (400,000.00) UNITED STATES TREASURY

4.5 11/15/2025 100.000 4.24% 400,000.00 0.00 400,000.00 0.00 Maturity 11/30/2025 9128285N6 (300,000.00) UNITED STATES TREASURY

2.875 11/30/2025 100.000 4.18% 300,000.00 0.00 300,000.00 0.00 Total Maturity (15,800,000.00) 15,800,000.00 0.00 15,800,000.00 0.00 Sale 11/06/2025 31846V401 (15,057,893.65) FIRST AMER:GVT OBLG D 1.000 3.43% 15,057,893.65 0.00 15,057,893.65 0.00 Sale 11/18/2025 31846V401 (399,399.17) FIRST AMER:GVT OBLG D 1.000 3.43% 399,399.17 0.00 399,399.17 0.00 Total Sale (15,457,292.82) 15,457,292.82 0.00 15,457,292.82 0.00 TOTAL
DISPOSITIONS (31,257,292.82) 31,257,292.82 0.00 31,257,292.82 0.00 OTHER

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss
Coupon 11/15/2025 47787CAC7 0.00 JDOT 2023-C A3 5.48
05/15/2028 5.55% 675.75 0.00 675.75 0.00
Coupon 11/15/2025 02582JKD1 0.00 AMXCA 2023-3 A 5.23
09/15/2026 5.29% 937.04 0.00 937.04 0.00
Coupon 11/15/2025 91282CFW6 0.00 UNITED STATES TREASURY

4.5 11/15/2025 4.24% 9,000.00 0.00 9,000.00 0.00
Coupon 11/16/2025 36267KAD9 0.00 GMCAR 2023-3 A3 5.45
06/16/2028 5.51% 135.93 0.00 135.93 0.00
Coupon 11/16/2025 362955AD8 0.00 GMCAR 2025-1 A3 4.62
12/17/2029 5.03% 327.25 0.00 327.25 0.00
Coupon 11/20/2025 379929AD4 0.00 GMALT 2023-3 A3 5.38
11/20/2026 5.36% 15.04 0.00 15.04 0.00
Coupon 11/25/2025 05592XAD2 0.00 BMWOT 2023-A A3 5.47
02/25/2028 5.47% 95.55 0.00 95.55 0.00
Coupon 11/30/2025 9128285N6 0.00 UNITED STATES TREASURY

2.875 11/30/2025 4.18% 4,312.50 0.00 4,312.50 0.00
Total Coupon 0.00 15,499.06 0.00 15,499.06 0.00
Dividend 11/30/2025 31846V401 0.00 FIRST AMER:GVT OBLG D 3.49% 3,084.83 0.00 3,084.83 0.00 Total Dividend 0.00 3,084.83 0.00 3,084.83 0.00
Principal Paydown 11/15/2025 47787CAC7 12,536.09 JDOT 2023-C A3 5.48 05/15/2028 5.55% 12,536.09 -- 12,536.09 (0.00)
Principal Paydown 11/16/2025 36267KAD9 2,487.76 GMCAR 2023-3 A3 5.45 06/16/2028 5.51% 2,487.76 -- 2,487.76 (0.00)
Principal Paydown 11/20/2025 379929AD4 3,354.00 GMALT 2023-3 A3 5.38 11/20/2026 5.36% 3,354.00 -- 3,354.00 0.00
Principal Paydown 11/25/2025 05592XAD2 2,138.17 BMWOT 2023-A A3 5.47 02/25/2028 5.47% 2,138.17 -- 2,138.17 (0.00)
Total Principal
Paydown 20,516.02 20,516.02 -- 20,516.02 (0.00)

CASH & EQUIVALENTS
31846V401 FIRST AMER:GVT OBLG D
94,385.61
16,424.55
15,535,253.88
(15,457,292.82)
94,385.61

0.00 3,551.30

0.00 0.00

0.00 3,551.30
3,551.30
912797RM1 UNITED STATES TREASURY
11/04/2025 0.00
15,094,944.77

0.00 (15,100,000.00)

0.00 0.00

0.00 5,055.23

0.00 5,055.23
5,055.23
5,055.23
912797RR0 UNITED STATES TREASURY
12/02/2025 15,500,000.00

0.00 15,457,292.82

0.00 15,498,337.61

0.00 0.00

0.00 0.00
41,044.79

0.00 41,044.79
41,044.79
41,044.79
CCYUSD Receivable
307,397.33
3,551.30

0.00 0.00
307,397.33

0.00 0.00

0.00 Total Cash & Equivalents 15,901,782.94
15,114,920.62
30,992,546.70
(30,557,292.82)
15,900,120.55

0.00 3,551.30

0.00 3,551.30
46,100.02

0.00 46,100.02
49,651.32 49,651.32

FIXED INCOME
02582JKD1 AMXCA 2023-3 A 5.23
09/15/2026
09/12/2023
09/19/2023
215,000.00
214,997.20

0.00 0.00
214,997.47
499.76
937.04
499.76
937.04

0.26 0.00

0.26 937.30
937.30
02665WEY3 AMERICAN HONDA FINANCE
CORP 4.95 01/09/2026
03/19/2025
03/20/2025
220,000.00
220,166.72

0.00 0.00
220,094.23
3,388.00

0.00 4,295.50
907.50

0.00 (72.49)
(72.49)
835.01
835.01
05592XAD2 BMWOT 2023-A A3 5.47
02/25/2028
07/12/2023
07/18/2023
18,823.65
20,959.96

0.00 (2,138.17)
18,822.04

19.11 95.55

17.16 93.60

0.25 0.00

0.25 93.85

0.00 0.00
498,287.46
2,535.83

0.00 3,803.75
1,267.92
570.85

0.00 570.85
1,838.76
1,838.76
3130ARF55 FEDERAL HOME LOAN BANKS

2.6 03/30/2027
03/30/2022
03/30/2022
3,000,000.00
3,000,000.00

0.00 0.00
3,000,000.00
6,716.67

0.00 13,216.67
6,500.00

0.00 0.00

0.00 6,500.00
6,500.00
36267KAD9 GMCAR 2023-3 A3 5.45
06/16/2028
07/11/2023
07/19/2023
27,440.89
29,928.04

0.00 (2,487.76)
27,440.34

67.96 135.93

62.31 130.28

0.07 0.00

0.07 130.35
130.35
362955AD8 GMCAR 2025-1 A3 4.62
12/17/2029
01/09/2025
01/15/2025
85,000.00
84,994.70

0.00 0.00
84,994.80
163.63
327.25
163.63
327.25

0.11 0.00

0.11 327.36
327.36
379929AD4 GMALT 2023-3 A3 5.38
11/20/2026
08/08/2023
08/11/2023

0.00 3,353.87

0.00 (3,354.00)

0.00 5.51

15.04 0.00

9.53 0.13

0.00 0.13

9.66 9.66
47787CAC7 JDOT 2023-C A3 5.48
05/15/2028
09/12/2023
09/19/2023
135,437.62
147,968.17

0.00 (12,536.09)
135,432.71
360.40
675.75
329.87
645.22

0.63 0.00

0.63 645.85
645.85
48125LRU8 JPMORGAN CHASE BANK NA

5.11 12/08/2026
10/16/2024
10/17/2024
250,000.00
252,133.31

0.00 0.00
251,961.27
5,074.51

0.00 6,139.10
1,064.58

0.00 (172.04)
(172.04)
892.54
892.54
693475BB0 PNC FINANCIAL SERVICES
GROUP INC 1.15 08/13/2026
03/19/2025
03/20/2025
225,000.00
219,335.42

0.00 0.00
219,931.69
560.63

0.00 776.25
215.63
596.27

0.00 596.27
811.90
811.90
89115A2K7 TORONTO-DOMINION BANK

5.103 01/09/2026
02/24/2025
02/25/2025
260,000.00
260,287.72

0.00 0.00
260,162.62
4,127.76

0.00 5,233.41
1,105.65

2.875 11/30/2025
03/12/2025
03/13/2025

0.00 299,695.18

0.00 (300,000.00)

0.00 3,629.10

0.00 0.00
(3,629.10)
304.82

0.00 304.82
(3,324.28)
(3,324.28)
91282CFW6 UNITED STATES TREASURY 4.5
11/15/2025
12/30/2024
12/31/2024

0.00 400,037.72

0.00 (400,000.00)

0.00 8,315.22
9,000.00

0.00 684.78

0.00 (37.72)
(37.72)
647.07
647.07
91282CGA3 UNITED STATES TREASURY 4.0
12/15/2025
02/10/2025
02/11/2025
340,000.00
339,893.40

0.00 0.00
339,966.08
5,165.03

0.00 6,279.78
1,114.75

72.68 0.00

72.68 1,187.43
1,187.43
91282CGE5 UNITED STATES TREASURY

3.875 01/15/2026
06/08/2023
06/09/2023
500,000.00
499,616.46

0.00 0.00
499,769.88
5,738.79

0.00 7,318.27
1,579.48
153.42

0.00 153.42
1,732.90
1,732.90
91282CGL9 UNITED STATES TREASURY 4.0
02/15/2026
03/19/2025
03/20/2025
400,000.00
399,790.47

0.00 0.00
399,849.77
3,391.30

0.00 4,695.65
1,304.35

59.30 0.00

59.30 1,363.65
1,363.65
Total Fixed Income 6,176,702.17
6,890,874.95

0.00 (720,516.02)
6,171,710.37
49,759.20
11,186.56
52,831.10
14,258.46
1,758.79
(407.34)
1,351.45
15,609.91 15,609.91
TOTAL PORTFOLIO 22,078,485.11
22,005,795.57
30,992,546.70
(31,277,808.84)
22,071,830.92
49,759.20
14,737.86
52,831.10
17,809.76
47,858.80
(407.34)
47,451.46
65,261.22 65,261.22
190
CONFIDENTIAL | 14
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount DECEMBER 2025
12/01/2025 Coupon 9128285N6 0.00 UNITED STATES TREASURY 2.875 11/30/2025 4,312.50 4,312.50 12/01/2025 Maturity 9128285N6 (300,000.00) UNITED STATES TREASURY 2.875 11/30/2025 300,000.00 300,000.00 12/01/2025 Dividend 31846V401 0.00 FIRST AMER:GVT OBLG D 3,084.83 3,084.83 12/02/2025 Final Maturity 912797RR0 15,500,000.00 UNITED STATES TREASURY 12/02/2025 15,500,000.00 15,500,000.00 12/08/2025 Coupon 48125LRU8 250,000.00 JPMORGAN CHASE BANK NA 5.11 12/08/2026 6,387.50 6,387.50 12/15/2025 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 12/15/2025 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 632.38 632.38 12/15/2025 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 7,819.97 7,819.97 12/15/2025 Coupon 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 6,800.00 6,800.00 12/15/2025 Final Maturity 91282CGA3 340,000.00 UNITED STATES TREASURY 4.0 12/15/2025 340,000.00 340,000.00 12/16/2025 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 131.94 131.94 12/16/2025 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,877.52 1,877.52 12/16/2025 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 12/25/2025 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 85.80 85.80 12/25/2025 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,642.13 1,642.13 December 2025
Total 16,154,424.45 19,614.42 16,174,038.87
JANUARY 2026
01/09/2026 Coupon 02665WEY3 220,000.00 AMERICAN HONDA FINANCE CORP 4.95 01/09/2026 5,445.00 5,445.00
01/09/2026 Final Maturity 02665WEY3 220,000.00 AMERICAN HONDA FINANCE CORP 4.95 01/09/2026 220,000.00 220,000.00
01/09/2026 Coupon 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 6,633.90 6,633.90 01/09/2026 Final Maturity 89115A2K7 260,000.00 TORONTO-DOMINION BANK 5.103 01/09/2026 260,000.00 260,000.00 01/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 01/15/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 596.67 596.67 01/15/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 11,316.15 11,316.15 01/15/2026 Coupon 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 9,687.50 9,687.50 01/15/2026 Final Maturity 91282CGE5 500,000.00 UNITED STATES TREASURY 3.875 01/15/2026 500,000.00 500,000.00 01/16/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 123.41 123.41 01/16/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,844.31 1,844.31 191
CONFIDENTIAL | 15
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 01/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 01/26/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 78.32 78.32 01/26/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,611.82 1,611.82 January 2026 Total 994,772.28 23,829.10 1,018,601.37
FEBRUARY 2026
02/13/2026 Coupon 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 1,293.75 1,293.75
02/16/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 115.04 115.04 02/16/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,823.48 1,823.48 02/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 02/16/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 544.99 544.99 02/16/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 10,300.98 10,300.98 02/17/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 02/17/2026 Coupon 91282CGL9 400,000.00 UNITED STATES TREASURY 4.0 02/15/2026 8,000.00 8,000.00 02/17/2026 Final Maturity 91282CGL9 400,000.00 UNITED STATES TREASURY 4.0 02/15/2026 400,000.00 400,000.00 02/25/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 70.97 70.97 02/25/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,586.93 1,586.93 February 2026
Total 413,711.39 11,289.05 425,000.44
MARCH 2026
03/02/2026 Coupon 30231GAT9 500,000.00 EXXON MOBIL CORP 3.043 03/01/2026 7,607.50 7,607.50 03/02/2026 Final Maturity 30231GAT9 500,000.00 EXXON MOBIL CORP 3.043 03/01/2026 500,000.00 500,000.00 03/16/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 03/16/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 106.76 106.76 03/16/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,766.71 1,766.71 03/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 03/16/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 497.95 497.95 03/16/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 8,500.35 8,500.35 03/25/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 63.74 63.74 03/25/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,547.69 1,547.69 03/30/2026 Coupon 3130ARF55 3,000,000.00 FEDERAL HOME LOAN BANKS 2.6 03/30/2027 39,000.00 39,000.00 March 2026 Total 511,814.75 48,540.24 560,354.99
192
CONFIDENTIAL | 16
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount APRIL 2026
04/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 04/15/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 459.14 459.14 04/15/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 10,673.89 10,673.89 04/16/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 98.73 98.73 04/16/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,851.45 1,851.45 04/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 04/27/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 56.68 56.68 04/27/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,583.98 1,583.98 April 2026 Total 14,109.32 1,878.84 15,988.16
MAY 2026
05/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 05/15/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 410.39 410.39 05/15/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 11,053.02 11,053.02 05/18/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 90.32 90.32 05/18/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,775.88 1,775.88 05/18/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 05/25/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 49.46 49.46 05/25/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,400.03 1,400.03 May 2026 Total 14,228.92 1,814.47 16,043.39
JUNE 2026
06/08/2026 Coupon 48125LRU8 250,000.00 JPMORGAN CHASE BANK NA 5.11 12/08/2026 6,387.50 6,387.50 06/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 06/15/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 359.92 359.92 06/15/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 9,546.90 9,546.90 06/16/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 82.26 82.26 06/16/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,746.91 1,746.91 06/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 06/25/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 43.08 43.08 06/25/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,375.95 1,375.95 June 2026 Total 12,669.76 8,137.05 20,806.81
JULY 2026
193
CONFIDENTIAL | 17
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 07/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 07/15/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 316.32 316.32 07/15/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 10,001.12 10,001.12 07/16/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 74.32 74.32 07/16/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,713.21 1,713.21 07/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 07/27/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 36.81 36.81 07/27/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,345.80 1,345.80 July 2026 Total 13,060.13 1,691.74 14,751.87
AUGUST 2026
08/13/2026 Coupon 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 1,293.75 1,293.75
08/13/2026 Final Maturity 693475BB0 225,000.00 PNC FINANCIAL SERVICES GROUP INC 1.15 08/13/2026 225,000.00 225,000.00
08/17/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 08/17/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 66.54 66.54 08/17/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,665.29 1,665.29 08/17/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 08/17/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 270.65 270.65 08/17/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 7,208.51 7,208.51 08/25/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 30.67 30.67 08/25/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,309.84 1,309.84 August 2026 Total 235,183.64 2,925.91 238,109.55
SEPTEMBER 2026
09/15/2026 Coupon 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 937.04 937.04 09/15/2026 Final Maturity 02582JKD1 215,000.00 AMXCA 2023-3 A 5.23 09/15/2026 215,000.00 215,000.00 09/15/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 237.73 237.73 09/15/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 5,358.44 5,358.44 09/16/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 58.98 58.98 09/16/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,633.22 1,633.22 09/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 327.25 327.25 09/16/2026 Principal Paydown 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 4,356.12 4,356.12 194
CONFIDENTIAL | 18
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

CASH FLOW REPORT
Payment Date Transaction Type CUSIP Quantity Security Description Principal Amount Income Total Amount 09/25/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 24.70 24.70 09/25/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,202.88 1,202.88 09/30/2026 Coupon 3130ARF55 3,000,000.00 FEDERAL HOME LOAN BANKS 2.6 03/30/2027 39,000.00 39,000.00 September 2026
Total 227,550.66 40,585.70 268,136.36
OCTOBER 2026
10/15/2026 Coupon 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 213.26 213.26 10/15/2026 Principal Paydown 47787CAC7 135,437.62 JDOT 2023-C A3 5.48 05/15/2028 6,350.10 6,350.10 10/16/2026 Coupon 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 51.56 51.56 10/16/2026 Principal Paydown 36267KAD9 27,440.89 GMCAR 2023-3 A3 5.45 06/16/2028 1,571.52 1,571.52 10/16/2026 Coupon 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 310.48 310.48 10/16/2026 Principal Paydown 362955AD8 85,000.00 GMCAR 2025-1 A3 4.62 12/17/2029 3,606.31 3,606.31 10/26/2026 Coupon 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 19.22 19.22 10/26/2026 Principal Paydown 05592XAD2 18,823.65 BMWOT 2023-A A3 5.47 02/25/2028 1,052.33 1,052.33 October 2026 Total 12,580.27 594.52 13,174.79
Grand Total 34,282,447.67 18,604,105.57 160,901.04 18,765,006.60 195
CONFIDENTIAL | 19
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

Source ICE Data Indices, LLC (“ICE”), used with permission. ICE PERMITS USE OF THE ICE INDICES AND RELATED DATA ON AN “AS IS” BASIS; ICE, ITS AFFILIATES AND

Ratings: Ratings information have been provided by Moody’s, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy.

Security level ratings for U.S. Agency issued mortgage-backed securities (“MBS”) reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest. 196
CONFIDENTIAL | 20
City of Banning | Account #11089 | As of November 30, 2025 Execution Time: 12/02/2025 03:34:41 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

Please visit www.mlindex.ml.com for more information)
197

MONTHLY ACCOUNT STATEMENT
City of Banning | Account #11089 | As of December 31, 2025 CHANDLER ASSET MANAGEMENT | chandlerasset.com
Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures at the end of the statement.

Chandler Team:

For questions about your account, please call (800) 317-4747, or contact [email protected]
Custodian:

PORTFOLIO SUMMARY
Portfolio Characteristics
Sector Allocation
Performance Review
Account Summary
Maturity Distribution
Top Issuers
Credit Quality*
Total Rate of Return** 1M 3M YTD 1YR 2YRS 3YRS 5YRS 10YRS Since Inception (07/01/23)
City of Banning 0.34% 1.02% 4.52% 4.52% 4.63% -- -- -- 5.07% Benchmark Return 0.38% 1.04% 4.32% 4.32% 4.75% -- -- -- 4.87% Average Modified Duration 0.23
Average Coupon 0.88%
Average Purchase YTM 3.68%
Average Market YTM 3.62%
Average Credit Quality* AAA
Average Final Maturity 0.26
Average Life 0.24
End Values as of
11/30/2025
End Values as of
12/31/2025
Market Value 22,038,204.05 22,113,039.52
Accrued Interest 52,831.10 54,181.38
Total Market Value 22,091,035.15 22,167,220.90
Income Earned 65,261.22 72,459.64
Cont/WD 0.00 0.00
Par 22,078,485.11 22,165,953.76
Book Value 22,071,830.92 22,138,916.79
Cost Value 22,006,784.81 22,068,891.19
United States 77.46%
Federal Home Loan Banks 13.41%
Exxon Mobil Corporation 2.26%
The Toronto-Dominion Bank 1.18%
JPMorgan Chase & Co. 1.14%
The PNC Financial Services Group, In 1.00%
American Honda Finance Corporation 1.00%
American Express Credit Master Trust 0.98%
**Periods over 1 year are annualized.

Benchmark: ICE BofA 0-1 Year US Treasury Notes & Bonds
*The average credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch. 199
CONFIDENTIAL | 3
City of Banning | Account #11089 | As of December 31, 2025 Execution Time: 01/05/2026 04:52:08 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747

STATEMENT OF COMPLIANCE
Rules Name Limit Actual Compliance
Status Notes

AGENCY MORTGAGE SECURITIES
Max % (MV) 100.0 0.0 Compliant
Max % Issuer (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

ASSET-BACKED SECURITIES (ABS)
Max % (MV; Non Agency ABS & MBS) 20.0 2.1 Compliant
Max % Issuer (MV) 5.0 1.0 Compliant
Max Maturity (Years) 5 3 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

BANKERS' ACCEPTANCES
Max % (MV) 40.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 180 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CERTIFICATE OF DEPOSIT PLACEMENT SERVICE (CDARS)
Max % (MV) 30.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED BANK DEPOSITS
Max Maturity (Years) 5.0 0.0 Compliant

COLLATERALIZED TIME DEPOSITS (NON-NEGOTIABLE
CD/TD)
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COMMERCIAL PAPER
Max % (MV) 25.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 270 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CORPORATE MEDIUM TERM NOTES
Max % (MV) 30.0 6.6 Compliant
Max % Issuer (MV) 5.0 2.3 Compliant
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant
200
CONFIDENTIAL | 4
City of Banning | Account #11089 | As of December 31, 2025 Execution Time: 01/05/2026 04:52:08 PM Chandler Asset Management | [email protected] | www.chandlerasset.com | 800.317.4747