Agenda packet — Clean Power Alliance Finance Committee, October 28, 2026

Finance Committee of the
Clean Power Alliance of Southern California
Regular Meeting
Wednesday, October 28, 2026
11:00 a.m.

Visit CPA’s YouTube Channel to view a Live Stream of the Meeting www.youtube.com/@CPApublicmeetings
*There may be a streaming delay of up to 90 seconds. This is a view-only live stream.

Clean Power Alliance
Executive Conference Room
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
Members of the public may also participate in this meeting at the following locations:

Calabasas City Hall
Closed Session Room
100 Civic Center Way
Calabasas, CA 91302
Camarillo City Hall
Administrative Conference Room
601 Carmen Drive
Camarillo, CA 93010
Claremont City Hall
Council Office
207 Harvard Avenue
Claremont, CA 91711
Rolling Hills Estates City Hall
Conference Room
4045 Palos Verdes Drive North
Rolling Hills Estates, CA 90274
Thousand Oaks City Hall
City Manager’s Office, Council Office #1
2100 Thousand Oaks Blvd.

Thousand Oaks, CA 91362
Carson City Hall
City Manager’s Conference Room
701 East Carson Street
Carson, CA 90745
Monterey-Salinas Transit
Bus Stop Shop
201 Pearl Street
Monterey, CA 939940

PUBLIC COMMENT: Members of the public may submit their comments by one of the following options:
• Email Public Comment: Members of the public are encouraged to submit written comments on any agenda item to [email protected] up to four hours before the meeting. Written public comments will be announced at the meeting and become part of the meeting record. Public comments received in writing will not be read aloud at the meeting. • Provide Public Comment During the Meeting: The General Public Comment item is reserved for persons wishing to address the Committee on any Clean Power Alliance-related matters not on today’s agenda. Public comments on matters on today’s Consent Agenda and Regular Agenda shall be heard at the time the matter is called. Comments on items on the Consent Agenda are Agenda Page 1
consolidated into one public comment period. Members of the public who wish to address the Committee at CPA’s Office are requested to complete a comment card and provide it to staff. If you are attending from a remote location, please identify yourself to a CPA representative when your item is called. Each speaker is limited to two (2) minutes (in whole-minute increments) per agenda item with a cumulative total of five 5 minutes to be allocated between the General Public Comment, the entire Consent Agenda, or individual items in the Regular Agenda. Please refer to Policy No. 8 – Public Comment for additional information.

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ACCESSIBILITY: Meetings are accessible to people with disabilities. Individuals who need special assistance or a disability-related modification or accommodation to participate in this meeting, or who have a disability and wish to request an alternative format for the meeting materials, should contact the Clerk of the Board at least two (2) working days before the meeting at [email protected] or (213) 713- 5995. Notification in advance of the meeting, while not required, will enable us to make reasonable arrangements to ensure accessibility to this meeting and the materials related to it.

CALL TO ORDER & ROLL CALL

GENERAL PUBLIC COMMENT

CONSENT AGENDA

1. Approve Minutes from the August 26, 2026, Finance Committee Meeting

2. Receive and File September 2026 Risk Management Team Report

3. Receive and File August and September 2026 Investment Report

4. Receive and File August 2026 Financial Dashboard

REGULAR AGENDA

5. Receive Report from the Independent Auditor and Review Fiscal Year 2025- 2026 Financial Statements and Fiscal Year 2025-2026 Budget to Actual Report

6. Oral Report from the Chief Financial Officer

COMMITTEE MEMBER COMMENTS
ADJOURN – NEXT MEETING ON NOVEMBER 18, 2026
Public Records: Public records that relate to any item on the open session agenda for a Committee Meeting are available for public inspection. Those records that are distributed less than 72 hours prior to the meeting are available for public inspection at the same time they are distributed to all, or a majority of, the members of the Committee. Public records are available for inspection at CPA’s Office at 801 S. Grand Ave., Suite 400, Los Angeles, CA 90017, or online at www.cleanpoweralliance.org/agendas.

Agenda Page 2
Staff Report – Agenda Item 1
To: Finance Committee
Subject: Approve Minutes from the August 26, 2026, Finance Committee Meeting
Date: October 28, 2026

RECOMMENDATION
Approve.

ATTACHMENT

1. Minutes
Agenda Page 3

MINUTES
Finance Committee
of the Clean Power Alliance of Southern California
Regular Meeting
Wednesday, August 26, 2026
11:00 a.m.

Meeting videos are available on CPA's YouTube Channel.
http://www.youtube.com/@CPApublicmeetings
Committee Members participated in this meeting from the following locations:

Camarillo City Hall
Administrative Conference Room
601 Carmen Drive
Camarillo, CA 93010
Clean Power Alliance
Executive Conference Room
801 S. Grand Ave., Suite 400
Los Angeles, CA 90017
Calabasas City Hall
Closed Session Room
100 Civic Center Way
Calabasas, CA 91302
Claremont City Hall
Council Office
207 Harvard Avenue
Claremont, CA 91711
Rolling Hills Estates City Hall
Conference Room
4045 Palos Verdes Drive North
Rolling Hills Estates, CA 90274
Thousand Oaks City Hall
City Manager’s Office, Council Office #1
2100 Thousand Oaks Blvd.

Thousand Oaks, CA 91362
Carson City Hall
Executive Conference Room
701 East Carson Street
Carson, CA 90745

CALL TO ORDER & ROLL CALL
Chair Santangelo called the meeting to order at 11:02 a.m. and Annie Mendoza, Deputy Clerk of the Board, conducted roll call.

ROLL CALL
Camarillo Susan Santangelo Committee Chair Remote
Calabasas Ed Albrecht Committee Member Remote
Carson Reata Kulcsar Committee Member Remote
Claremont Corey Calaycay Committee Member Remote
Rolling Hills Estates Steve Zuckerman Committee Member Remote Santa Monica Pam O’Connor Committee Member Present
Thousand Oaks David Newman Committee Member Remote
All votes are unanimous, unless otherwise stated.

Finance Committee Item 1
Agenda Page 4

GENERAL PUBLIC COMMENT
There was no public comment.

CONSENT AGENDA

1. Approve Minutes from the May 27, 2026, Finance Committee Meeting

2. Receive and File May, June, and July 2026 Risk Management Team Reports Motion: Committee Member Albrecht, Calabasas
Second: Committee Member Calaycay, Claremont
Vote: The consent agenda was approved.

REGULAR AGENDA

3. Oral Report from the Chief Financial Officer
David McNeil, Chief Financial Officer, reported that staff is working to close the fiscal year, and the annual audit has begun; the results will be presented to the Committee in October. Staff is preparing for the upcoming Board Retreat, including a presentation on transmission opportunities.

4. Receive Presentation on Updates to the Monthly Investment Report and Provide Feedback on the July Investment Report
Ammad Mansoor, Analyst II, Strategic Finance, requested Committee feedback on updates to the monthly Investment Report. Updates include a table summarizing cash balances at River City Bank and total investments, a Chandler Account Statement detailing investments made by CPA’s investment manager, and other administrative cleanups. Steven Huntley, Senior Portfolio Strategist with Chandler Asset Management, explained details of the statements that will be included in CPA’s Investment Report.

Staff clarified for Committee Member Albrecht that CPA is not permitted to invest in equities and that the Goldman Sachs holding is an investment in a fixed-income security. Committee Member Zuckerman complimented the report showing holdings and asked about the reporting of interest. Staff directed the Committee to the summary page of the investment report, which includes information on interest earned and the Chandler portion of investments. Committee Member Kulcsar expressed appreciation for the clarity of the proposed investment report and for CPA earning interest from the Chandler-guided investments.

5. Receive Presentation on Updates to the Monthly and Quarterly Financial Reports Jennifer Stevenson, Financial Planning and Analysis Manager II, described the updates to the monthly dashboard and showed the new format. The updated quarterly report added a reserves percentage feature to track status against reserve targets.

Committee Member Newman praised the report's accessibility, stating that the former newspaper editor in him found answers to the questions of what, where, and why regarding the financials. Committee Member Kulcsar echoed his remarks and thanked staff for thoughtfully reorganizing the information.

Finance Committee Item 1
Agenda Page 5

COMMITTEE MEMBER COMMENTS
None.

ADJOURN
Chair Santangelo adjourned the meeting at 11:38 a.m.

Finance Committee Item 1
Agenda Page 6
Staff Report – Agenda Item 2
To: Finance Committee
From: Lyon Hardgrave, Director, Energy Risk Management
Approved By: Ted Bardacke, Chief Executive Officer
David McNeil, Chief Financial Officer
Subject: Receive and File September 2026 Risk Management Team Report Date: October 28, 2026
September 2026 RMT REPORT
Key Actions
• Reviewed the counterparty credit exposure summary
• Reviewed June 2026 day-ahead load forecast performance • Reviewed the load forecast update summary and forecast methodology • Reviewed 2026 - 2031 energy position recommendations
• Reviewed 2026 - 2030 Renewable and Carbon-Free positions • Reviewed PCC1 purchase and sales strategy
• Reviewed CF purchase and sales strategy
• Reviewed Sunzia generation and Solar Star test energy forecast • Reviewed 2026 - 2028 slice of day RA position
• Reviewed RA purchase and sales strategy
• Reviewed Energy Risk Management Policy (ERMP) compliance for RA, REC, CF, and Energy
• Reviewed Long-Term Energy Contract amendments and terminations • Reviewed September 2026 CRR Allocations
• Reviewed the Negative REC Price strategy
Agenda Page 7
Finance Committee Item 2
Policy Compliance
Policy Deviation Required Action
The renewable energy hedge ratio exceeds
the maximum hedge percentage for 2027-
2031 due to cumulative PPA supply
additions, a reduction in the load forecast,
and updates to product content strategy that
reduced clean power RE targets in 2027-
2030.

None.

The deviations for 2027-2031 will be
resolved as CPA nears these years and
the maximum hedge percentages
increase.

The energy hedge position exceeds the
maximum hedge percentage limit in May,
July, October, and November 2029,
February through May 2030, March through
May 2031 and 2032, and each March from
2033-2035. These deviations arise from
CPA continuing to enter into long-term
contracts for renewable energy consistent
with its objective to reduce exposure to the
short-term renewable energy market and
from July 2026 amendments to the ERMP
which require monthly (formerly quarterly)
measurement of energy hedge positions.

None.

The deviations for 2029-2034 will be
resolved as CPA implements its energy
hedge program, and as the electricity
production period nears and
corresponding policy hedge limit
maximums increase.

ATTACHMENT
None.

Agenda Page 8
Staff Report – Agenda Item 3
To: Finance Committee
From: Ammad Mansoor, Analyst II, Strategic Finance
Reviewed by: David McNeil, Chief Financial Officer
Approved By: Ted Bardacke, Chief Executive Officer
Subject: Receive and File August and September 2026 Investment Reports Date: October 28, 2026

RECOMMENDATION
Receive and file.

ATTACHMENTS

1. August and September 2026 Investment Reports
Agenda Page 9
Investment Type: First American
Treasury Obligations CAMP Pool Local Agency Investment Fund (LAIF) CAMP Term Managed Portfolio - Chandler Asset Management US Treasury Securities
Issuer/Depository: US Bank, N.A. California Asset Management Program (CAMP) State of California California Asset Management Program (CAMP) Issuer: See Chandler Account
Statement
Custodian: US Bank, N.A.

US Department of the
Treasury
Beginning Balance 963,217 74,694,567 18,286 75,000,000 101,688,679 138,824,963 391,189,712 Deposits & Purchases 1,333 240,722 0 0 4,120,302 0 4,362,356 Maturities, Withdrawals, Sales (856) 0 0 0 (3,988,457) 0 (3,989,313) Net Change in Value3
0 0 0 0 65,992 0 65,992
Ending Balance 963,693 74,935,289 18,286 75,000,000 101,886,516 138,824,963 391,628,747 Total Investments
Investment Report1
August 2026
(in USD unless otherwise noted)
Portfolio Summary
Book Value2
Beginning Balance 963,217 74,694,567 18,286 75,000,000 101,080,565 136,160,439 387,917,074 Deposits & Purchases 1,333 240,722 0 0 4,120,302 0 4,362,356 Maturities, Withdrawals, Sales (856) 0 0 0 (3,988,457) 0 (3,989,313) Net Change in Value3
0 0 0 0 (82,816) (249,487) (332,303)
Ending Balance 963,693 74,935,289 18,286 75,000,000 101,129,594 135,910,952 387,957,814 Interest Earned4 2,689 240,722 59 273,267 375,768 442,585 1,335,090 Yield5 3.29% 3.80% 3.86% 4.29% 4.46% 3.78% 4.06%
Weighted Average Term to Maturity (Months) 1.0 2.0 7.0 10.5 39.2 42.4 27.6 High Interest Savings 103,980,545.29
Insured Cash Sweep 134,345,331.53
Operating 4,789,750.76
Checking 44,386,588.24
Total Bank Deposits 287,502,215.82
Total Investments 391,628,747.20
Total Cash & Investments 679,130,963.02
2Book value represents the original purchase cost of fixed income assets adjusted for amortization/accretion. Market value reflects the month-end fair market value of fixed income assets based on current interest rate and market conditions. Market values were provided by LAIF, CAMP, US Bank, and Chandler statements using independent pricing sources. 1 This report is in compliance with CPA's Investment Policy as approved by the Board of Directors and in alignment with California Government Code Sections 53607 & 53646. CPA has sufficient resources to meet its investment portfolio’s expenditure requirements over the next six months. 3Net Change in Value is the change in balance not attributable to contributions, deposits, or withdrawals. For US Treasury holdings it reflects amortization/accretion of bond premium/discount; for the professionally managed portfolio it also reflects net realized and unrealized gains/(losses) and accrued interest. It is derived from the beginning balance, ending balance, and net contributions reported on each account statement. 4 Interest earned on LAIF is based on daily compounding, account balances and monthly effective yield published by LAIF. Interest earned on fixed income is based on the yield of each asset and is paid out at maturity (for terms <6mo) or biannually (for terms >6mo).

Market Value2
Month Ending Cash Balances & Investments
5 Yield for LAIF & CAMP is reported on a monthly average basis; yield for fixed income assets is equivalent to the yield to maturity at purchase date; total yield is the weighted average yield for the whole portfolio.

Agenda Page 10

MONTHLY ACCOUNT STATEMENT
CPA Long Term Managed | Account #11571 | As of August 31, 2026 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 (07/01/26)
CPA Long Term Managed 0.22% -- -- -- -- -- -- -- --
Benchmark Return 0.20% -- -- -- -- -- -- -- --
Average Modified Duration 2.49
Average Coupon 3.72%
Average Purchase YTM 4.46%
Average Market YTM 4.69%
Average Credit Quality* AA
Average Final Maturity 3.27
Average Life 2.94
End Values as of
07/31/2026
End Values as of
08/31/2026
Market Value 101,080,564.77 101,129,593.90
Accrued Interest 622,292.70 796,012.27
Total Market Value 101,702,857.47 101,925,606.16
Income Earned 412,220.16 375,768.05
Cont/WD 0.00 0.00
Par 103,325,566.35 103,500,099.82
Book Value 101,688,678.98 101,886,515.75
Cost Value 101,607,268.87 101,753,330.67
Federal Home Loan Mortgage Corp 11.18%
Bank of America Corporation 4.88%
Toyota Motor Corporation 4.85%
BNY Mellon Corp 2.96%
Hyundai Auto Receivables Trust 2.96%
WF Card Issuance Trust 2.96%
The Goldman Sachs Group, Inc. 2.96%
Wells Fargo & Company 2.96%
**Periods over 1 year are annualized.

Benchmark: ICE BofA 1-5 Year Unsubordinated US Treasury & Agency Index *The average credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch.

RECONCILIATION SUMMARY
Accrual Activity Summary
Fair Market Activity Summary
Month to Date Fiscal Year to Date
(07/01/2026)
Beginning Book Value 101,688,678.98 101,344,425.04
Maturities/Calls (2,000,000.00) (2,000,000.00)
Principal Paydowns 0.00 0.00
Purchases 4,120,301.85 4,461,250.25
Sales (1,988,456.69) (2,016,001.21)
Change in Cash, Payables, Receivables 1,508.31 (33,351.03) Amortization/Accretion 64,483.30 130,192.69
Realized Gain (Loss) 0.00 0.00
Ending Book Value 101,886,515.75 101,886,515.75
Month to Date Fiscal Year to Date
(07/01/2026)
Beginning Market Value 101,080,564.77 101,227,238.38
Maturities/Calls (2,000,000.00) (2,000,000.00)
Principal Paydowns 0.00 0.00
Purchases 4,120,301.85 4,461,250.25
Sales (1,988,456.69) (2,016,001.21)
Change in Cash, Payables, Receivables 1,508.31 (33,351.03) Amortization/Accretion 64,483.30 130,192.69
Change in Net Unrealized Gain (Loss) (148,807.64) (639,735.18) Realized Gain (Loss) 0.00 0.00
Ending Market Value 101,129,593.90 101,129,593.90
Maturities / Calls
Month to Date (2,000,000.00)
Fiscal Year to Date (2,000,000.00)
Principal Paydowns
Month to Date 0.00
Fiscal Year to Date 0.00
Purchases
Month to Date 4,120,301.85
Fiscal Year to Date 4,461,250.25
Sales
Month to Date (1,988,456.69)
Fiscal Year to Date (2,016,001.21)
Interest Received
Month to Date 162,113.80
Fiscal Year to Date 479,546.94
Purchased / Sold Interest
Month to Date (24,548.61)
Fiscal Year to Date (24,548.61)
Agenda Page 13
CONFIDENTIAL | 4
CPA Long Term Managed | Account #11571 | As of August 31, 2026 Execution Time: 09/03/2026 01:43:38 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
89240MAD6 TLOT 26A A3 3.82 02/20/2029 3,000,000.00 06/04/2026

4.40%
2,977,382.81
2,979,391.20

99.01 4.68%
2,970,447.00
3,501.67

2.94%
(8,944.20)
NA/AAA
AAA

2.47 1.19
36275AAD1 GMALT 2026-2 A3 4.3
03/20/2029 3,000,000.00 06/03/20264.46%
2,996,601.56
2,996,898.09

99.65 4.59%
2,989,518.00
3,941.67

2.96%
(7,380.09)
NA/AAA
AAA

2.55 1.38
05594YAD8 BMWLT 2026-1 A3 4.15
05/25/2029 3,000,000.00 06/17/20264.39%
2,990,742.19
2,991,389.89

99.38 4.61%
2,981,502.00
2,075.00

2.95%
(9,887.89)
Aaa/NA
AAA

2.73 1.46
92970QAJ4 WFCIT 2025-1 A 4.34
05/15/2030 3,000,000.00 06/15/20264.29%
3,004,921.87
3,004,379.69

99.77 4.52%
2,993,061.00
5,786.67

2.96%
(11,318.69)
NA/AAA
AAA

3.70 1.61
44935KAD5 HART 2026-B A3 4.51
02/18/2031 3,000,000.00 06/22/20264.83%
3,002,109.38
3,001,998.61

99.79 4.66%
2,993,613.00
6,013.33

2.96%
(8,385.61)
NA/AAA
AAA

4.47 2.04
92348KFC2 VZMT 2026-1 A1A 3.94
02/20/2031 3,000,000.00 06/26/20264.35%
2,982,539.06
2,983,197.58

99.15 4.61%
2,974,485.00
3,611.67

2.94%
(8,712.58)
Aaa/NA
AAA

4.47 1.40
Total ABS 18,000,000.00 4.45%
17,954,296.87
17,957,255.05

99.46 4.61%
17,902,626.00
24,930.00

17.70%
(54,629.05)

3.40 1.51

AGENCY CMBS
3137HA4B9 FHMS K-751 A2 4.412
03/25/2030 3,359,000.00 --4.38%
3,356,531.91
3,356,657.52

98.99 4.70%
3,325,188.31
12,349.92

3.29%
(31,469.22)
Aaa/AA+
AA+

3.56 2.93
3137FX3Q9 FHMS K-117 A2 1.406
08/25/2030 3,000,000.00 06/03/2026

4.46%
2,657,460.94
2,676,679.30

88.21 4.73%
2,646,213.00
3,515.00

2.62%
(30,466.30)
Aa1/AA+
AAA

3.98 3.72
3137F62M8 FHMS K-118 A2 1.493
09/25/2030 3,000,000.00 06/16/2026

4.40%
2,668,710.94
2,684,064.41

88.31 4.73%
2,649,183.00
3,732.50

2.62%
(34,881.41)
Aa1/AA+
AAA

4.07 3.78
3137FXYV4 FHMS K-126 A2 2.074
01/27/2031 3,000,000.00 06/25/20264.39%
2,719,687.50
2,730,249.51

89.64 4.75%
2,689,308.00
5,185.00

2.66%
(40,941.51)
Aa1/AA+
AAA

4.41 4.02
Total Agency CMBS 12,359,000.00 4.41%
11,402,391.29
11,447,650.76

91.74 4.73%
11,309,892.31
24,782.42

11.18%
(137,758.45)

3.98 3.57
CASH
CCYUSD Receivable 2,059.68 -- 2,059.68
2,059.68

1.00 2,059.68

0.00 0.00%

0.00 Aaa/AAA
AAA

0.00 0.00
Total Cash 2,059.68
2,059.68
2,059.68

1.00 2,059.68

0.00 0.00%

0.00 0.00

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
59157UKM1 MetLife Short Term Funding LLC
10/21/2026 2,000,000.00 06/26/20263.92%
1,975,490.00
1,989,250.00

99.46 3.85%
1,989,142.00

0.00 1.97%
(108.00)
P-1/NA
F1+

0.14 0.14
62479MMP5 MUFG Bank, Ltd., New York
Branch 12/23/2026 2,000,000.00 06/26/20264.08%
1,960,666.67
1,974,888.89

98.75 4.04%
1,974,948.00

0.00 1.95%

59.11 P-1/A-1
NA

0.31 0.31
06054PNN2 BofA Securities, LLC 01/22/2027 2,000,000.00 06/26/2026

3.91%
1,956,070.00
1,969,652.22

98.37 4.16%
1,967,456.00

0.00 1.95%
(2,196.22)
P-1/A-1
F1+

0.39 0.39
89233HQP2 Toyota Motor Credit Corporation
03/23/2027 2,000,000.00 06/26/2026

4.12%
1,940,666.67
1,954,888.89

97.67 4.23%
1,953,412.00

0.00 1.93%
(1,476.89)
P-1/A-1+
F1

0.56 0.55
Total Commercial
Paper 8,000,000.00 4.01%
7,832,893.34
7,888,680.00

98.57 4.07%
7,884,958.00

0.00 7.80%
(3,722.00)

0.35 0.34

CORPORATE
89236TPQ2 TOYOTA MOTOR CREDIT CORP

4.05 03/13/2029 3,000,000.00 06/01/20264.39%
2,973,030.00
2,975,448.00

98.53 4.67%
2,955,924.00
56,700.00

2.92%
(19,524.00)
A1/A+
A+

2.53 2.33
95000U4H3 WELLS FARGO & CO 4.577
05/20/2029 3,000,000.00 06/24/20264.68%
2,992,050.00
2,992,560.00

99.67 4.64%
2,990,118.00
38,523.08

2.96%
(2,442.00)
A1/BBB+
A+

2.72 1.61
38151LAJ9 GOLDMAN SACHS BANK USA

4.656 06/03/2029 3,000,000.00 05/28/20264.58%
3,004,200.00
3,003,682.90

99.68 4.68%
2,990,538.00
34,144.00

2.96%
(13,144.90)
A1/A+
AA-2.761.65
67066GAQ7 NVIDIA CORP 4.35 06/15/2029 3,000,000.00 --

4.40%
2,995,890.00
2,996,160.37

98.96 4.75%
2,968,809.00
26,462.50

2.94%
(27,351.37)
Aa1/AA
NA

2.79 2.57
59217GDC0 METROPOLITAN LIFE GLOBAL
FUNDING I 3.05 06/17/2029 2,113,000.00 06/15/20264.58%
2,023,303.15
2,029,599.10

95.25 4.89%
2,012,717.02
13,247.34

1.99%
(16,882.08)
Aa3/AA-AA-2.79

2.62 69371RU53 PACCAR FINANCIAL CORP 4.3
06/18/2029 3,000,000.00 06/25/20264.39%
2,992,920.00
2,993,355.99

98.94 4.71%
2,968,179.00
26,158.33

2.94%
(25,176.99)
A1/A+
NA

2.80 2.58
00287YBX6 ABBVIE INC. 3.2 11/21/2029 3,000,000.00 06/15/2026

4.47%
2,879,640.00
2,887,030.53

95.27 4.80%
2,857,962.00
26,666.67

2.83%
(29,068.53)
A2/A-NA3.22

2.98 857477BD4 STATE STREET CORPORATION

4.141 12/03/2029 2,682,000.00 06/26/2026

4.63%
2,661,965.46
2,662,988.77

98.67 4.87%
2,646,409.86
27,148.40

2.62%
(16,578.91)
Aa3/A
AA-3.262.11
46647PFL5 JPMORGAN CHASE & CO 4.408
04/23/2030 3,000,000.00 05/28/20264.59%
2,982,240.00
2,983,424.00

98.65 4.84%
2,959,593.00
47,018.67

2.93%
(23,831.00)
A1/A
AA-3.642.43
06051GMY2

BANK OF AMERICA
CORPORATION 4.477
04/23/2030
3,000,000.00 06/12/2026

4.64%
2,983,650.00
2,984,555.75

98.83 4.85%
2,964,813.00
47,754.67

2.93%
(19,742.75)
A1/A-AA-3.64

2.42 61778EUR0 MORGAN STANLEY BANK NA

4.788 05/10/2030 3,000,000.00 06/15/20264.68%
3,008,280.00
3,007,677.96

99.51 4.90%
2,985,192.00
45,885.00

2.95%
(22,485.96)
Aa3/A+
AA

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
74464AAC5 PUBLIC STORAGE OPERATING CO

4.375 07/01/2030 3,000,000.00 06/25/20264.47%
2,989,620.00
2,990,094.39

98.38 4.84%
2,951,520.00
21,875.00

2.92%
(38,574.39)
A2/A
NA

3.83 3.46
369604BZ5 GENERAL ELECTRIC COMPANY

4.3 07/29/2030 3,000,000.00 06/24/20264.53%
2,974,470.00
2,975,631.23

98.03 4.86%
2,940,885.00
11,466.67

2.91%
(34,746.23)
A2/A-NA3.91

3.54 141781CF9 CARGILL INC 4.125 10/23/2030 3,000,000.00 06/25/2026

4.62%
2,941,890.00
2,944,354.16

97.00 4.93%
2,909,976.00
44,000.00

2.88%
(34,378.16)
A2/A
NA

4.15 3.70
828807EB9 SIMON PROPERTY GROUP LP 4.3
01/15/2031 3,000,000.00 06/12/20264.69%
2,952,270.00
2,954,492.65

97.17 5.03%
2,915,184.00
16,483.33

2.88%
(39,308.65)
A3/A
NA

4.38 3.91
06406RCB1 BANK OF NEW YORK MELLON
CORP 4.942 02/11/2031 3,000,000.00 06/05/2026

4.74%
3,019,530.00
3,018,294.84

99.86 4.90%
2,995,914.00
8,236.67

2.96%
(22,380.84)
Aa3/A
AA-4.453.12
023135DD5 AMAZON.COM INC 4.25
03/13/2031 2,000,000.00 06/24/20264.61%
1,970,080.00
1,971,261.51

96.98 5.00%
1,939,518.00
39,666.67

1.92%
(31,743.51)
A1/AA
AA-4.533.98
58933YBX2 MERCK & CO INC 4.15
03/15/2031 1,800,000.00 06/30/20264.58%
1,767,294.00
1,768,492.65

97.02 4.89%
1,746,390.60
34,445.00

1.73%
(22,102.05)
Aa3/A+
NA

4.54 4.00
24422EYN3 JOHN DEERE CAPITAL CORP

4.375 04/15/2031 2,000,000.00 06/16/20264.54%
1,985,440.00
1,986,067.66

97.80 4.91%
1,955,950.00
29,895.83

1.93%
(30,117.66)
A1/A
A+

4.62 4.07
14913V2D9 CATERPILLAR FINANCIAL
SERVICES CORP 4.5 05/15/2031 2,000,000.00 06/16/20264.56% 1,995,040.00
1,995,250.24

98.28 4.91%
1,965,652.00
26,500.00

1.94%
(29,598.24)
A1/A
A+

4.70 4.13
532457DL9 ELI LILLY AND CO 4.375
05/20/2031 2,000,000.00 08/31/20264.87%
1,958,820.00
1,958,843.90

97.89 4.88%
1,957,790.00
24,548.61

1.94%
(1,053.90)
Aa3/AA-NA4.72

4.16 57636QBL7 MASTERCARD INCORPORATED

4.6 06/08/2031 2,035,000.00 06/04/20264.62%
2,033,372.00
2,033,447.78

98.69 4.91%
2,008,329.29
21,582.31

1.99%
(25,118.49)
Aa3/A+
NA

4.77 4.19
74340XCU3 PROLOGIS LP 4.25 06/15/2031 2,000,000.00 06/16/2026

4.61%
1,968,180.00
1,969,505.83

96.88 4.99%
1,937,604.00
30,222.22

1.92%
(31,901.83)
A2/A
NA

4.79 4.21
Total Corporate 60,630,000.00 4.58%
60,053,174.61
60,082,220.23

98.19 4.84%
59,524,967.77
698,630.95

58.86%
(557,252.46)

3.70 3.03

MONEY MARKET
FUND
31846V807 FIRST AMER:TRS OBG Y 509,040.14 --

3.30%
509,040.14
509,040.14

1.00 3.30%
509,040.14

0.00 0.50%

0.00 Aaa/
AAAm
AAA

0.00 0.00
Total Money
Market Fund 509,040.14 3.30%
509,040.14
509,040.14

1.00 3.30%
509,040.14

0.00 0.50%

0.00 0.00

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
86564TSH7
Sumitomo Mitsui Trust
Bank New York Branch 3.88
09/24/2026
2,000,000.00 06/26/2026

3.88%
1,999,961.95
1,999,989.94
100.01

3.71%
2,000,174.00
17,891.11

1.98%
184.06
P-1/NA
NA

0.07 0.06
96130AK31 Westpac Banking Corporation -
New York Branch 4.0 04/16/2027 2,000,000.00 06/26/20264.00% 1,999,512.79
1,999,619.94

99.79 4.27%
1,995,876.00
29,777.78

1.97%
(3,743.94)
P-1/A-1+
NA

0.62 0.61
Total Negotiable
CD 4,000,000.00 3.94%
3,999,474.74
3,999,609.88

99.90 3.99%
3,996,050.00
47,668.89

3.95%
(3,559.88)

0.34 0.34
Total Portfolio 103,500,099.82 4.46%
101,753,330.67
101,886,515.75

97.30 4.69%
101,129,593.90
796,012.27
100.00%
(756,921.85)

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss

ACQUISITIONS
Purchase 08/04/2026 31846V807 551.37 FIRST AMER:TRS OBG Y 1.000 3.29% (551.37) 0.00 (551.37) 0.00 Purchase 08/11/2026 31846V807 74,130.00 FIRST AMER:TRS OBG Y 1.000 3.28% (74,130.00) 0.00 (74,130.00) 0.00 Purchase 08/17/2026 31846V807 22,125.00 FIRST AMER:TRS OBG Y 1.000 3.29% (22,125.00) 0.00 (22,125.00) 0.00 Purchase 08/20/2026 31846V807 30,150.00 FIRST AMER:TRS OBG Y 1.000 3.27% (30,150.00) 0.00 (30,150.00) 0.00 Purchase 08/25/2026 31846V807 14,928.05 FIRST AMER:TRS OBG Y 1.000 3.29% (14,928.05) 0.00 (14,928.05) 0.00 Purchase 08/25/2026 31846V807 19,597.43 FIRST AMER:TRS OBG Y 1.000 3.29% (19,597.43) 0.00 (19,597.43) 0.00 Purchase 08/26/2026 31846V807 2,000,000.00 FIRST AMER:TRS OBG Y 1.000 3.29% (2,000,000.00) 0.00 (2,000,000.00) 0.00 Purchase 08/31/2026 532457DL9 2,000,000.00 ELI LILLY AND CO 4.375 05/20/2031 97.941 4.87% (1,958,820.00) (24,548.61) (1,983,368.61) 0.00 Total Purchase 4,161,481.85 (4,120,301.85) (24,548.61) (4,144,850.46) 0.00 TOTAL
ACQUISITIONS 4,161,481.85 (4,120,301.85) (24,548.61) (4,144,850.46) 0.00

DISPOSITIONS
Maturity 08/26/2026 24422MHS3 (2,000,000.00)
John Deere Capital
Corporation
08/26/2026
100.000 3.77% 2,000,000.00 0.00 2,000,000.00 0.00
Total Maturity (2,000,000.00) 2,000,000.00 0.00 2,000,000.00 0.00 Sale 08/18/2026 31846V807 (5,088.08) FIRST AMER:TRS OBG Y 1.000 3.28% 5,088.08 0.00 5,088.08 0.00 Sale 08/31/2026 31846V807 (1,983,368.61) FIRST AMER:TRS OBG Y 1.000 3.30% 1,983,368.61 0.00 1,983,368.61 0.00 Total Sale (1,988,456.69) 1,988,456.69 0.00 1,988,456.69 0.00 TOTAL
DISPOSITIONS (3,988,456.69) 3,988,456.69 0.00 3,988,456.69 0.00 OTHER

TRANSACTIONS
Coupon 08/01/2026 3137FX3Q9 0.00 FHMS K-117 A2 1.406
08/25/2030 4.46% 3,515.00 0.00 3,515.00 0.00
Coupon 08/01/2026 3137F62M8 0.00 FHMS K-118 A2 1.493
09/25/2030 4.40% 3,732.50 0.00 3,732.50 0.00
Agenda Page 18
CONFIDENTIAL | 9
CPA Long Term Managed | Account #11571 | As of August 31, 2026 Execution Time: 09/03/2026 01:43:38 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
Coupon 08/01/2026 3137FXYV4 0.00 FHMS K-126 A2 2.074
01/27/2031 4.39% 5,185.00 0.00 5,185.00 0.00
Coupon 08/01/2026 3137HA4B9 0.00 FHMS K-751 A2 4.412
03/25/2030 4.38% 12,349.93 0.00 12,349.93 0.00
Coupon 08/11/2026 06406RCB1 0.00

BANK OF NEW YORK
MELLON CORP 4.942
02/11/2031

4.74% 74,130.00 0.00 74,130.00 0.00
Coupon 08/15/2026 44935KAD5 0.00 HART 2026-B A3 4.51
02/18/2031 4.83% 11,275.00 0.00 11,275.00 0.00
Coupon 08/15/2026 92970QAJ4 0.00 WFCIT 2025-1 A 4.34
05/15/2030 4.29% 10,850.00 0.00 10,850.00 0.00
Coupon 08/20/2026 36275AAD1 0.00 GMALT 2026-2 A3 4.3
03/20/2029 4.46% 10,750.00 0.00 10,750.00 0.00
Coupon 08/20/2026 89240MAD6 0.00 TLOT 26A A3 3.82
02/20/2029 4.40% 9,550.00 0.00 9,550.00 0.00
Coupon 08/20/2026 92348KFC2 0.00 VZMT 2026-1 A1A 3.94
02/20/2031 4.35% 9,850.00 0.00 9,850.00 0.00
Coupon 08/25/2026 05594YAD8 0.00 BMWLT 2026-1 A3 4.15
05/25/2029 4.39% 10,375.00 0.00 10,375.00 0.00
Total Coupon 0.00 161,562.43 0.00 161,562.43 0.00
Custody Fee 08/25/2026 CCYUSD (631.95) Cash 0.00% (631.95) 0.00 (631.95) 0.00 Total Custody Fee (631.95) (631.95) 0.00 (631.95) 0.00
Dividend 08/31/2026 31846V807 0.00 FIRST AMER:TRS OBG Y 3.29% 2,059.68 0.00 2,059.68 0.00 Total Dividend 0.00 2,059.68 0.00 2,059.68 0.00
Management Fee 08/18/2026 CCYUSD (5,088.08) Cash 0.00% (5,088.08) 0.00 (5,088.08) 0.00 Total
Management Fee (5,088.08) (5,088.08) 0.00 (5,088.08) 0.00

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.

LGIP Yields: Reported yields for local government investment pools may be presented as either the 30-day yield or the monthly distribution yield, as applicable. For certain funds, the 30-day yield is calculated using reported daily yield data. Yield calculations are subject to change and may not be directly comparable across funds.

LAIF Yields: Additional Disclosure for CA Clients - As a result of a reporting lag from the Local Agency Investment Fund (LAIF), reported LAIF yields represent the most recently available Daily Effective Yield and may reflect data from approximately 7–10 days prior to month-end.

BENCHMARK INDEX & DISCLOSURES
Benchmark Disclosure
ICE BofA 1-5 Yr US Treasury & Agency
Index
The ICE BofA 1-5 Year US Treasury & Agency Index tracks the performance of US dollar denominated US Treasury and nonsubordinated US agency debt issued in the US domestic market. Qualifying securities must have an investment grade rating (based on an average of Moody’s, S&P and Fitch). Qualifying securities must have at least one year remaining term to final maturity and less than five years remaining term to final maturity, at least 18 months to maturity at time of issuance, a fixed coupon schedule, and a minimum amount outstanding of $1 billion for sovereigns and $250 million for agencies.

Agenda Page 21
Investment Type: First American
Treasury Obligations CAMP Pool Local Agency Investment Fund (LAIF) CAMP Term Managed Portfolio - Chandler Asset Management US Treasury Securities
Issuer/Depository: US Bank, N.A. California Asset Management Program (CAMP) State of California California Asset Management Program (CAMP) Issuer: See Chandler Account
Statement
Custodian: US Bank, N.A.

US Department of the
Treasury
Total Investments
Investment Report1
September 2026
(in USD unless otherwise noted)
Portfolio Summary
Beginning Balance 963,693 74,935,289 18,286 75,000,000 101,886,516 138,824,963 391,628,747 Deposits & Purchases 960,039 238,196 0 0 4,863,802 0 6,062,036 Maturities, Withdrawals, Sales (858) 0 0 0 (4,634,693) 0 (4,635,552) Net Change in Value3
0 0 0 0 58,852 0 58,852
Ending Balance 1,922,873 75,173,485 18,286 75,000,000 102,174,476 138,824,963 393,114,084 Book Value2
Beginning Balance 963,693 74,935,289 18,286 75,000,000 101,129,594 135,910,952 387,957,814 Deposits & Purchases 960,039 238,196 0 0 4,863,802 0 6,062,036 Maturities, Withdrawals, Sales (858) 0 0 0 (4,634,693) 0 (4,635,552) Net Change in Value3
0 0 0 0 (1,370,587) (2,388,164) (3,758,751)
Ending Balance 1,922,873 75,173,485 18,286 75,000,000 99,988,115 133,522,788 385,625,547 Interest Earned4 2,776 238,196 58 299,712 376,603 428,308 1,345,653 Yield5 3.49% 3.87% 3.91% 4.29% 4.51% 3.78% 4.08%
Weighted Average Term to Maturity (Months) 1.0 2.0 7.0 9.5 39.6 41.4 27.1 High Interest Savings 115,977,083.24
Insured Cash Sweep 134,267,349.80
Operating 2,536,878.75
Checking 48,160,750.00
Total Bank Deposits 300,942,061.79
Total Investments 393,114,083.84
Total Cash & Investments 694,056,145.63
2Book value represents the original purchase cost of fixed income assets adjusted for amortization/accretion. Market value reflects the month-end fair market value of fixed income assets based on current interest rate and market conditions. Market values were provided by LAIF, CAMP, US Bank, and Chandler statements using independent pricing sources. 1 This report is in compliance with CPA's Investment Policy as approved by the Board of Directors and in alignment with California Government Code Sections 53607 & 53646. CPA has sufficient resources to meet its investment portfolio’s expenditure requirements over the next six months. 3Net Change in Value is the change in balance not attributable to contributions, deposits, or withdrawals. For US Treasury holdings it reflects amortization/accretion of bond premium/discount; for the professionally managed portfolio it also reflects net realized and unrealized gains/(losses) and accrued interest. It is derived from the beginning balance, ending balance, and net contributions reported on each account statement. 4 Interest earned on LAIF is based on daily compounding, account balances and monthly effective yield published by LAIF. Interest earned on fixed income is based on the yield of each asset and is paid out at maturity (for terms <6mo) or biannually (for terms >6mo).

Agenda Page 22

MONTHLY ACCOUNT STATEMENT
CPA Long Term Managed | Account #11571 | As of September 30, 2026 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 (07/01/26)
CPA Long Term Managed (1.03%) (0.92%) -- -- -- -- -- -- -- Benchmark Return (0.97%) (0.82%) -- -- -- -- -- -- --
Average Modified Duration 2.52
Average Coupon 3.74%
Average Purchase YTM 4.51%
Average Market YTM 5.24%
Average Credit Quality* AA
Average Final Maturity 3.30
Average Life 2.97
End Values as of
08/31/2026
End Values as of
09/30/2026
Market Value 101,129,593.90 99,988,115.20
Accrued Interest 796,012.27 879,680.26
Total Market Value 101,925,606.16 100,867,795.45
Income Earned 375,768.05 376,603.18
Cont/WD 0.00 0.00
Par 103,500,099.82 103,818,463.45
Book Value 101,886,515.75 102,174,476.31
Cost Value 101,753,330.67 101,983,226.35
Federal Home Loan Mortgage Corp 11.09%
Bank of America Corporation 4.89%
Toyota Motor Corporation 4.88%
WF Card Issuance Trust 2.97%
GM Financial Auto Leasing Trust 2.97%
BMW Vehicle Lease Trust 2.96%
Hyundai Auto Receivables Trust 2.96%
The Goldman Sachs Group, Inc. 2.96%
**Periods over 1 year are annualized.

Benchmark: ICE BofA 1-5 Year Unsubordinated US Treasury & Agency Index *The average credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch.

RECONCILIATION SUMMARY
Accrual Activity Summary
Fair Market Activity Summary
Month to Date Fiscal Year to Date
(07/01/2026)
Beginning Book Value 101,886,515.75 101,344,425.04
Maturities/Calls (2,000,000.00) (4,000,000.00)
Principal Paydowns 0.00 0.00
Purchases 4,863,801.89 9,325,052.14
Sales (2,634,693.46) (4,650,694.67)
Change in Cash, Payables, Receivables 749.20 (32,601.83) Amortization/Accretion 58,102.94 188,295.63
Realized Gain (Loss) 0.00 0.00
Ending Book Value 102,174,476.31 102,174,476.31
Month to Date Fiscal Year to Date
(07/01/2026)
Beginning Market Value 101,129,593.90 101,227,238.38
Maturities/Calls (2,000,000.00) (4,000,000.00)
Principal Paydowns 0.00 0.00
Purchases 4,863,801.89 9,325,052.14
Sales (2,634,693.46) (4,650,694.67)
Change in Cash, Payables, Receivables 749.20 (32,601.83) Amortization/Accretion 58,102.94 188,295.63
Change in Net Unrealized Gain (Loss) (1,429,439.27) (2,069,174.45) Realized Gain (Loss) 0.00 0.00
Ending Market Value 99,988,115.20 99,988,115.20
Maturities / Calls
Month to Date (2,000,000.00)
Fiscal Year to Date (4,000,000.00)
Principal Paydowns
Month to Date 0.00
Fiscal Year to Date 0.00
Purchases
Month to Date 4,863,801.89
Fiscal Year to Date 9,325,052.14
Sales
Month to Date (2,634,693.46)
Fiscal Year to Date (4,650,694.67)
Interest Received
Month to Date 252,941.00
Fiscal Year to Date 732,487.94
Purchased / Sold Interest
Month to Date (18,108.75)
Fiscal Year to Date (42,657.36)
Agenda Page 25
CONFIDENTIAL | 4
CPA Long Term Managed | Account #11571 | As of September 30, 2026 Execution Time: 10/05/2026 12:12:52 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
89240MAD6 TLOT 26A A3 3.82 02/20/2029 3,000,000.00 06/04/2026

4.40%
2,977,382.81
2,980,075.88

98.59 5.28%
2,957,778.00
3,501.67

2.96%
(22,297.88)
NA/AAA
AAA

2.39 0.99
36275AAD1 GMALT 2026-2 A3 4.3
03/20/2029 3,000,000.00 06/03/20264.46%
2,996,601.56
2,996,998.04

99.08 5.03%
2,972,472.00
3,941.67

2.97%
(24,526.04)
NA/AAA
AAA

2.47 1.33
05594YAD8 BMWLT 2026-1 A3 4.15
05/25/2029 3,000,000.00 06/17/20264.39%
2,990,742.19
2,991,648.97

98.78 5.06%
2,963,277.00
2,075.00

2.96%
(28,371.97)
Aaa/NA
AAA

2.65 1.41
92970QAJ4 WFCIT 2025-1 A 4.34
05/15/2030 3,000,000.00 06/15/20264.29%
3,004,921.87
3,004,168.45

99.10 4.97%
2,973,051.00
5,786.67

2.97%
(31,117.45)
NA/AAA
AAA

3.62 1.53
44935KAD5 HART 2026-B A3 4.51
02/18/2031 3,000,000.00 06/22/20264.83%
3,002,109.38
3,001,951.14

98.77 5.16%
2,963,052.00
6,013.33

2.96%
(38,899.14)
NA/AAA
AAA

4.39 2.04
92348KFC2 VZMT 2026-1 A1A 3.94
02/20/2031 3,000,000.00 06/26/20264.35%
2,982,539.06
2,983,506.25

98.50 5.00%
2,954,862.00
3,611.67

2.96%
(28,644.25)
Aaa/NA
AAA

4.39 1.85
Total ABS 18,000,000.00 4.45%
17,954,296.87
17,958,348.73

98.80 5.08%
17,784,492.00
24,930.00

17.79%
(173,856.73)

3.32 1.52

AGENCY CMBS
3137HA4B9 FHMS K-751 A2 4.412
03/25/2030 3,359,000.00 --4.38%
3,356,531.91
3,356,712.56

97.27 5.32%
3,267,450.46
12,349.92

3.27%
(89,262.10)
Aaa/AA+
AA+

3.48 2.85
3137FX3Q9 FHMS K-117 A2 1.406
08/25/2030 3,000,000.00 06/03/2026

4.46%
2,657,460.94
2,683,462.25

86.49 5.34%
2,594,757.00
3,515.00

2.60%
(88,705.25)
Aa1/AA+
AAA

3.90 3.63
3137F62M8 FHMS K-118 A2 1.493
09/25/2030 3,000,000.00 06/16/2026

4.40%
2,668,710.94
2,690,551.80

86.55 5.34%
2,596,515.00
3,732.50

2.60%
(94,036.80)
Aa1/AA+
AAA

3.99 3.69
3137FXYV4 FHMS K-126 A2 2.074
01/27/2031 3,000,000.00 06/25/20264.39%
2,719,687.50
2,735,279.04

87.66 5.37%
2,629,722.00
5,185.00

2.63%
(105,557.04)
Aa1/AA+
AAA

4.33 3.93
Total Agency CMBS 12,359,000.00 4.41%
11,402,391.29
11,466,005.65

89.96 5.34%
11,088,444.46
24,782.42

11.09%
(377,561.20)

3.90 3.48
CASH
CCYUSD Receivable 2,808.88 -- 2,808.88
2,808.88

1.00 2,808.88

0.00 0.00%

0.00 Aaa/AAA
AAA

0.00 0.00
Total Cash 2,808.88
2,808.88
2,808.88

1.00 2,808.88

0.00 0.00%

0.00 0.00

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
59157UKM1 MetLife Short Term Funding LLC
10/21/2026 2,000,000.00 06/26/20263.92%
1,975,490.00
1,995,700.00

99.77 3.98%
1,995,370.00

0.00 2.00%
(330.00)
P-1/NA
F1+

0.06 0.05
62479MMP5 MUFG Bank, Ltd., New York
Branch 12/23/2026 2,000,000.00 06/26/20264.08%
1,960,666.67
1,981,555.56

99.05 4.15%
1,981,032.00

0.00 1.98%
(523.56)
P-1/A-1
NA

0.23 0.23
06054PNN2 BofA Securities, Inc. 01/22/2027 2,000,000.00 06/26/2026

3.91%
1,956,070.00
1,976,018.89

98.65 4.35%
1,973,032.00

0.00 1.97%
(2,986.89)
P-1/A-1
F1+

0.31 0.31
89233HQP2 Toyota Motor Credit Corporation
03/23/2027 2,000,000.00 06/26/2026

4.12%
1,940,666.67
1,961,555.56

97.91 4.43%
1,958,298.00

0.00 1.96%
(3,257.56)
P-1/A-1+
F1

0.48 0.46
Total Commercial
Paper 8,000,000.00 4.01%
7,832,893.34
7,914,830.00

98.85 4.23%
7,907,732.00

0.00 7.91%
(7,098.00)

0.27 0.26

CORPORATE
89236TPQ2 TOYOTA MOTOR CREDIT CORP

4.05 03/13/2029 3,000,000.00 06/01/20264.39%
2,973,030.00
2,976,245.14

97.24 5.27%
2,917,134.00
6,075.00

2.92%
(59,111.14)
A1/A+
A+

2.45 2.29
95000U4H3 WELLS FARGO & CO 4.577
05/20/2029 3,000,000.00 06/24/20264.68%
2,992,050.00
2,992,785.00

98.67 5.14%
2,960,121.00
49,965.58

2.96%
(32,664.00)
A1/A-A+2.64

1.53 38151LAJ9 GOLDMAN SACHS BANK USA

4.656 06/03/2029 3,000,000.00 05/28/20264.58%
3,004,200.00
3,003,510.53

98.75 5.15%
2,962,455.00
45,784.00

2.96%
(41,055.53)
A1/A+
AA-2.671.56
67066GAQ7 NVIDIA CORP 4.35 06/15/2029 3,000,000.00 --

4.40%
2,995,890.00
2,996,273.53

97.60 5.31%
2,927,916.00
37,337.50

2.93%
(68,357.53)
Aa1/AA
NA

2.71 2.48
59217GDC0 METROPOLITAN LIFE GLOBAL
FUNDING I 3.05 06/17/2029 2,113,000.00 06/15/20264.58%
2,023,303.15
2,032,052.07

94.00 5.46%
1,986,253.81
18,617.88

1.99%
(45,798.26)
Aa3/AA-AA-2.71

2.53 69371RU53 PACCAR FINANCIAL CORP 4.3
06/18/2029 3,000,000.00 06/25/20264.39%
2,992,920.00
2,993,551.21

97.63 5.25%
2,928,783.00
36,908.33

2.93%
(64,768.21)
A1/A+
NA

2.71 2.49
00287YBX6 ABBVIE INC. 3.2 11/21/2029 3,000,000.00 06/15/2026

4.47%
2,879,640.00
2,889,909.95

93.59 5.45%
2,807,631.00
34,666.67

2.81%
(82,278.95)
A2/A-NA3.14

2.89 857477BD4 STATE STREET CORPORATION

4.141 12/03/2029 2,682,000.00 06/26/2026

4.63%
2,661,965.46
2,663,468.45

97.47 5.39%
2,614,134.67
36,403.53

2.61%
(49,333.78)
Aa3/A
AA-3.182.02
46647PFL5 JPMORGAN CHASE & CO 4.408
04/23/2030 3,000,000.00 05/28/20264.59%
2,982,240.00
2,983,797.89

97.22 5.36%
2,916,633.00
58,038.67

2.92%
(67,164.89)
A1/A
AA-3.562.34
06051GMY2

BANK OF AMERICA
CORPORATION 4.477
04/23/2030
3,000,000.00 06/12/2026

4.64%
2,983,650.00
2,984,904.12

97.30 5.40%
2,919,009.00
58,947.17

2.92%
(65,895.12)
A1/A-AA-3.56

2.33 61778EUR0 MORGAN STANLEY BANK NA

4.788 05/10/2030 3,000,000.00 06/15/20264.68%
3,008,280.00
3,007,443.40

97.96 5.44%
2,938,677.00
57,855.00

2.94%
(68,766.40)
Aa3/A+
AA

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
74464AAC5 PUBLIC STORAGE OPERATING CO

4.375 07/01/2030 3,000,000.00 06/25/20264.47%
2,989,620.00
2,990,306.81

96.30 5.48%
2,889,093.00
32,812.50

2.89%
(101,213.81)
A2/A
NA

3.75 3.36
369604BZ5 GENERAL ELECTRIC COMPANY

4.3 07/29/2030 3,000,000.00 06/24/20264.53%
2,974,470.00
2,976,143.54

95.94 5.49%
2,878,212.00
22,216.67

2.88%
(97,931.54)
A2/A-NA3.83

3.44 141781CF9 CARGILL INC 4.125 10/23/2030 3,000,000.00 06/25/2026

4.62%
2,941,890.00
2,945,457.51

95.01 5.51%
2,850,324.00
54,312.50

2.85%
(95,133.51)
A2/A
NA

4.06 3.60
828807EB9 SIMON PROPERTY GROUP LP 4.3
01/15/2031 3,000,000.00 06/12/20264.69%
2,952,270.00
2,955,347.52

95.06 5.61%
2,851,779.00
27,233.33

2.85%
(103,568.52)
A3/A
NA

4.29 3.81
06406RCB1 BANK OF NEW YORK MELLON
CORP 4.942 02/11/2031 3,000,000.00 06/05/2026

4.74%
3,019,530.00
3,017,858.91

97.91 5.45%
2,937,384.00
20,591.67

2.94%
(80,474.91)
Aa3/A
AA-4.373.03
023135DD5 AMAZON.COM INC 4.25
03/13/2031 2,000,000.00 06/24/20264.61%
1,970,080.00
1,971,782.76

94.76 5.60%
1,895,186.00
4,250.00

1.90%
(76,596.76)
A1/AA
AA-4.453.97
58933YBX2 MERCK & CO INC 4.15
03/15/2031 1,800,000.00 06/30/20264.58%
1,767,294.00
1,769,063.43

94.74 5.50%
1,705,381.20
3,320.00

1.71%
(63,682.23)
Aa3/A+
NA

4.45 3.99
24422EYN3 JOHN DEERE CAPITAL CORP

4.375 04/15/2031 2,000,000.00 06/16/20264.54%
1,985,440.00
1,986,315.42

95.53 5.50%
1,910,654.00
37,187.50

1.91%
(75,661.42)
A1/A
A+

4.54 3.97
14913V2D9 CATERPILLAR FINANCIAL
SERVICES CORP 4.5 05/15/2031 2,000,000.00 06/16/20264.56% 1,995,040.00
1,995,333.23

95.79 5.54%
1,915,704.00
34,000.00

1.92%
(79,629.23)
A1/A
A+

4.62 4.03
532457DL9 ELI LILLY AND CO 4.375
05/20/2031 2,000,000.00 08/31/20264.87%
1,958,820.00
1,959,560.91

95.63 5.45%
1,912,640.00
31,840.28

1.91%
(46,920.91)
Aa3/AA-NA4.64

4.06 57636QBL7 MASTERCARD INCORPORATED

4.6 06/08/2031 2,035,000.00 06/04/20264.62%
2,033,372.00
2,033,474.53

96.21 5.53%
1,957,845.01
29,383.14

1.96%
(75,629.52)
Aa3/A+
NA

4.69 4.08
74340XCU3 PROLOGIS LP 4.25 06/15/2031 2,000,000.00 06/16/2026

4.61%
1,968,180.00
1,970,029.19

94.38 5.62%
1,887,620.00
37,305.56

1.89%
(82,409.19)
A2/A
NA

4.71 4.10
039482AF1 ARCHER-DANIELS-MIDLAND CO

4.829 09/01/2031 2,700,000.00 09/29/20265.60%
2,611,494.00
2,611,543.25

96.79 5.58%
2,613,459.60
18,470.93

2.61%
1,916.35
A2/A
A

4.92 4.28
Total Corporate 63,330,000.00 4.62%
62,664,668.61
62,706,158.30

96.48 5.42%
61,084,029.29
793,523.39

61.09%
(1,622,129.01)

3.67 3.00

MONEY MARKET
FUND
31846V807 FIRST AMER:TRS OBG Y 126,654.57 --

3.50%
126,654.57
126,654.57

1.00 3.50%
126,654.57

0.00 0.13%

0.00 Aaa/
AAAm
AAA

0.00 0.00
Total Money
Market Fund 126,654.57 3.50%
126,654.57
126,654.57

1.00 3.50%
126,654.57

0.00 0.13%

0.00 0.00

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

NEGOTIABLE CD
96130AK31 Westpac Banking Corporation -
New York Branch 4.0 04/16/2027 2,000,000.00 06/26/20264.00% 1,999,512.79
1,999,670.17

99.70 4.48%
1,993,954.00
36,444.44

1.99%
(5,716.17)
P-1/A-1+
NA

0.54 0.53
Total Negotiable
CD 2,000,000.00 4.00%
1,999,512.79
1,999,670.17

99.70 4.48%
1,993,954.00
36,444.44

1.99%
(5,716.17)

0.54 0.53
Total Portfolio 103,818,463.45 4.51%
101,983,226.35
102,174,476.31

96.30 5.24%
99,988,115.20
879,680.26
100.00%
(2,186,361.12)

TRANSACTION LEDGER
Transaction Type Settlement
Date CUSIP Quantity Security Description Price
Acq/
Disp
Yield
Amount Interest Pur/
Sold Total Amount Gain/Loss

ACQUISITIONS
Purchase 09/02/2026 31846V807 2,059.68 FIRST AMER:TRS OBG Y 1.000 3.29% (2,059.68) 0.00 (2,059.68) 0.00 Purchase 09/14/2026 31846V807 103,250.00 FIRST AMER:TRS OBG Y 1.000 3.30% (103,250.00) 0.00 (103,250.00) 0.00 Purchase 09/15/2026 31846V807 11,275.00 FIRST AMER:TRS OBG Y 1.000 3.33% (11,275.00) 0.00 (11,275.00) 0.00 Purchase 09/15/2026 31846V807 48,200.00 FIRST AMER:TRS OBG Y 1.000 3.33% (48,200.00) 0.00 (48,200.00) 0.00 Purchase 09/21/2026 31846V807 30,150.00 FIRST AMER:TRS OBG Y 1.000 3.44% (30,150.00) 0.00 (30,150.00) 0.00 Purchase 09/24/2026 31846V807 22,848.89 FIRST AMER:TRS OBG Y 1.000 3.46% (22,848.89) 0.00 (22,848.89) 0.00 Purchase 09/24/2026 31846V807 1,999,366.89 FIRST AMER:TRS OBG Y 1.000 3.46% (1,999,366.89) 0.00 (1,999,366.89) 0.00 Purchase 09/25/2026 31846V807 3,515.00 FIRST AMER:TRS OBG Y 1.000 3.48% (3,515.00) 0.00 (3,515.00) 0.00 Purchase 09/25/2026 31846V807 31,642.43 FIRST AMER:TRS OBG Y 1.000 3.48% (31,642.43) 0.00 (31,642.43) 0.00 Purchase 09/30/2026 039482AF1 2,700,000.00
ARCHER-DANIELS-MIDLAND CO 4.829
09/01/2031

96.722 5.60% (2,611,494.00) (18,108.75) (2,629,602.75) 0.00 Total Purchase 4,952,307.89 (4,863,801.89) (18,108.75) (4,881,910.64) 0.00 TOTAL
ACQUISITIONS 4,952,307.89 (4,863,801.89) (18,108.75) (4,881,910.64) 0.00

DISPOSITIONS
Maturity 09/24/2026 86564TSH7 (2,000,000.00)
Sumitomo Mitsui Trust
Bank New York Branch

3.88 09/24/2026
100.000 3.88% 2,000,000.00 0.00 2,000,000.00 0.00
Total Maturity (2,000,000.00) 2,000,000.00 0.00 2,000,000.00 0.00 Sale 09/10/2026 31846V807 (5,090.71) FIRST AMER:TRS OBG Y 1.000 3.30% 5,090.71 0.00 5,090.71 0.00 Sale 09/30/2026 31846V807 (2,629,602.75) FIRST AMER:TRS OBG Y 1.000 3.50% 2,629,602.75 0.00 2,629,602.75 0.00 Total Sale (2,634,693.46) 2,634,693.46 0.00 2,634,693.46 0.00 TOTAL
DISPOSITIONS (4,634,693.46) 4,634,693.46 0.00 4,634,693.46 0.00 OTHER

TRANSACTIONS
Coupon 09/01/2026 3137FX3Q9 0.00 FHMS K-117 A2 1.406
08/25/2030 4.46% 3,515.00 0.00 3,515.00 0.00
Agenda Page 30
CONFIDENTIAL | 9
CPA Long Term Managed | Account #11571 | As of September 30, 2026 Execution Time: 10/05/2026 12:12:52 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
Coupon 09/01/2026 3137F62M8 0.00 FHMS K-118 A2 1.493
09/25/2030 4.40% 3,732.50 0.00 3,732.50 0.00
Coupon 09/01/2026 3137FXYV4 0.00 FHMS K-126 A2 2.074
01/27/2031 4.39% 5,185.00 0.00 5,185.00 0.00
Coupon 09/01/2026 3137HA4B9 0.00 FHMS K-751 A2 4.412
03/25/2030 4.38% 12,349.93 0.00 12,349.93 0.00
Coupon 09/13/2026 023135DD5 0.00 AMAZON.COM INC 4.25
03/13/2031 4.61% 42,500.00 0.00 42,500.00 0.00
Coupon 09/13/2026 89236TPQ2 0.00 TOYOTA MOTOR CREDIT
CORP 4.05 03/13/2029 4.39% 60,750.00 0.00 60,750.00 0.00 Coupon 09/15/2026 44935KAD5 0.00 HART 2026-B A3 4.51
02/18/2031 4.83% 11,275.00 0.00 11,275.00 0.00
Coupon 09/15/2026 58933YBX2 0.00 MERCK & CO INC 4.15
03/15/2031 4.58% 37,350.00 0.00 37,350.00 0.00
Coupon 09/15/2026 92970QAJ4 0.00 WFCIT 2025-1 A 4.34
05/15/2030 4.29% 10,850.00 0.00 10,850.00 0.00
Coupon 09/20/2026 36275AAD1 0.00 GMALT 2026-2 A3 4.3
03/20/2029 4.46% 10,750.00 0.00 10,750.00 0.00
Coupon 09/20/2026 89240MAD6 0.00 TLOT 26A A3 3.82
02/20/2029 4.40% 9,550.00 0.00 9,550.00 0.00
Coupon 09/20/2026 92348KFC2 0.00 VZMT 2026-1 A1A 3.94
02/20/2031 4.35% 9,850.00 0.00 9,850.00 0.00
Coupon 09/24/2026 86564TSH7 0.00
Sumitomo Mitsui Trust
Bank New York Branch

3.88 09/24/2026

3.88% 22,848.89 0.00 22,848.89 0.00
Coupon 09/25/2026 05594YAD8 0.00 BMWLT 2026-1 A3 4.15
05/25/2029 4.39% 10,375.00 0.00 10,375.00 0.00
Total Coupon 0.00 250,881.32 0.00 250,881.32 0.00
Custody Fee 09/24/2026 CCYUSD (633.11) Cash 0.00% (633.11) 0.00 (633.11) 0.00 Total Custody Fee (633.11) (633.11) 0.00 (633.11) 0.00
Dividend 09/30/2026 31846V807 0.00 FIRST AMER:TRS OBG Y 3.48% 2,808.88 0.00 2,808.88 0.00 Total Dividend 0.00 2,808.88 0.00 2,808.88 0.00
Management Fee 09/10/2026 CCYUSD (5,090.71) Cash 0.00% (5,090.71) 0.00 (5,090.71) 0.00 Agenda Page 31
CONFIDENTIAL | 10
CPA Long Term Managed | Account #11571 | As of September 30, 2026 Execution Time: 10/05/2026 12:12:52 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
Management Fee (5,090.71) (5,090.71) 0.00 (5,090.71) 0.00

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.

Agenda Page 34
Staff Report – Agenda Item 4
To: Finance Committee
From: Jennifer Stevenson, Financial Planning & Analysis Manager II Reviewed by: David McNeil, Chief Financial Officer
Approved By: Ted Bardacke, Chief Executive Officer
Subject: Receive and File August 2026 Financial Dashboard Date: October 28, 2026

RECOMMENDATION
Receive and file.

ATTACHMENTS

1. August 2026 Financial Dashboard
Agenda Page 35
Financial Dashboard August 2026
Note: Numbers are unaudited and may not sum up due to rounding.

Active Accounts
1,075,804
+3.3% YOY
Monthly
Participation Rate

93.0%
(93.0% Rolling
6-month average)
YTD Retail Sales
2,419 GWh

6.9% above forecast
August Retail
Sales
1,287 GWh

12.0% above forecast
Liquidity at month end
Cash & cash equiv $367.9M
ST Investments $82.9M
LT investments $226.4M
Available in bank LOC $119.5M
Total liquidity: $796.7M
DLOH 272
In August, both revenues and energy expenses exceeded budget due to sustained heat across Los Angeles and Ventura counties. August 2026 was the hottest August in at least 25 years, as measured across representative weather stations in CPA’s service area. Residential customers drove most of the increase in load, using 19% more energy than forecasted to cool their homes. Higher than budgeted prices in the evening hours also contributed to the energy expense variance. Year to date, revenues are above budget, reflecting warmer temperatures and higher than forecasted residential cooling demand in July and August.

YTD energy expenses remain within budget, with the energy contingency absorbing most of August’s higher costs. Operating expenses are under budget, primarily in customer program incentives, due to the timing of customer registration and incentive claims, and in professional services, due to project timing. The contribution to net position is higher than budgeted, largely due to revenues exceeding energy expenses during the warm summer months.

CPA is financially sound and in compliance with its bank and other credit covenants.

Res
56%
Com - Lg
17%
Com - Sm
25%
Agr/Oth
2%
% SALES BY
customer type
August 2026 Year-to-Date
in $000,000's Actual Budget Var % Actual Budget Var %
Energy Revenues 140.3 123.3 17.0 14% 265.0 246.6 18.4 7% Cost of Energy 127.8 121.6 6.2 5% 232.4 234.6 -2.2 -1%
Net Energy Revenue 12.5 1.7 10.8 643% 32.6 12.0 20.6 172% Operating Expenses 5.0 6.4 -1.4 -22% 9.9 12.8 -2.9 -23% Operating Income 7.5 -4.7 12.2 NA 22.7 -0.8 23.5 NA
Non-Operating Income 2.1 1.7 0.4 23% 4.0 3.4 0.6 17%
Change in Net Position 9.5 -3.0 12.6 NA 26.7 2.6 24.1 922% Summary of Financial Results
Agenda Page 36
Financial Dashboard Definitions:

Accounts: Active Accounts represents customer accounts of active customers served by CPA Overall Participation Rate %: Participation Rate represents active accounts divided by eligible CPA accounts Rolling 6-month average: Rolling 6 month average of participation rates, compares current month’s participation rate to average of last 6 months participation rates.

YTD Retail Sales: Represents the year-to-date amount of energy (in gigawatt hours) sold to retail customers. Monthly and YTD retail sales are compared with the retail sales forecast used to prepare the budget.

Revenues: Retail energy sales and other (grant related) revenues less allowance for doubtful accounts Cost of energy: Includes all direct power costs incurred to serve CPA’s load Operating expenses: Includes general, administrative, consulting, staffing, and other costs required to fund operations Operating Income: Represents the difference between revenues and cost of energy and operating expenses Non-Operating Income: Interest income arising from deposits and investments net of borrowing costs and fees Investments: Liquid and high-quality securities with a remaining term to maturity of less than one year (Short Term = ST) and one year or greater (Long Term = LT)
Cash and Cash Equivalents: Includes bank deposits and high quality and liquid securities with maturities of 90 days or less Bank LOC: Represents funds available to draw from CPA’s bank line of credit DLOH: Days Liquidity on Hand represents total liquidity (cash & cash equivalents, investments, and unused bank LOC) divided by trailing 12 months expenses divided by 365. Per CPA’s Financial Reserve policy CPA’s Reserves shall support a DLOH equal to 150 to 240 days.

Year to date (YTD): Represents the fiscal period beginning July 1, 2025 Year over year (YOY): refers to comparison to the same month from the prior fiscal year.

Agenda Page 37
Staff Report – Agenda Item 5
To: Finance Committee
From: Hui Lisano, Senior Director of Finance and Accounting David McNeil, Chief Financial Officer
Approved By: Ted Bardacke, Chief Executive Officer
Subject: Report from the Independent Auditor and Review of Fiscal Year 2025-26 Audited Financial Statements and Fiscal Year 2025-26 Budget to Actual Report
Date: October 28, 2026

RECOMMENDATION
Receive report from the Independent Auditor and review Fiscal Year 2025-26 Financial Statements and Fiscal Year 2025-26 Budget to Actual report.

BACKGROUND
Each year, CPA publishes its financial statements for the fiscal year ending on June 30.

CPA’s Bylaws require the Finance Committee to select an independent auditor to perform an annual financial audit of the accounts of CPA. In May 2026, the Finance Committee selected Baker Tilly to perform an audit of CPA’s Fiscal Year 2025-26 financial statements.

CPA staff are responsible for the preparation and fair presentation of the financial statements. The independent auditor performs tests to provide reasonable assurance that the financial statements are free from material misstatement and prepared in accordance with Generally Accepted Accounting Principles (GAAP) and Governmental Accounting Standards Board (GASB) standards. The FY 2025-26 Audited Financial Statements (Attachment 3) consist of the following:

Agenda Page 38
Finance Committee Item 5
• Independent Auditors’ Report (Auditors’ Report)
• Management’s Discussion and Analysis
• Financial Statements, including:
o Statements of Net Position
o Revenues and Expenses and Changes in Net Position
o Statements of Cash Flows
o Notes to the Financial Statements

DISCUSSION
Auditors’ Report
The Auditors’ Report includes its opinion that CPA’s FY 2025-26 Financial Statements “present fairly, in all material respects, the financial position of Clean Power Alliance of Southern California as of June 30, 2026, and 2025, and the respective changes in financial position and cash flows thereof for the years then ended in accordance with accounting principles generally accepted in the United States of America”. The Auditors’ Report contains what is generally regarded as an unmodified or “clean” audit opinion.

Representatives from Baker Tilly will present their audit results and answer questions during the Finance Committee meeting.

Financial Highlights
• CPA recorded strong financial results in FY 2025-26. The net position increased by $41 million down from a $137 million increase in the prior year. A decrease in net position in FY 2025-26 compared with FY 2024-25 is primarily due to milder weather throughout the fiscal year, which resulted in reduced electricity consumption by CPA customers, the impact of lower retail rates which went into effect February 2026, lower interest and investment income and the deferral of $85 million into the Fiscal Stabilization Fund (FSF). Absent the transfer into the FSF, the net position would have increased by $126 million. • Cost of energy decreased year over year from $1,277 million in FY 2024-25 to $1,026 million in FY 2025-26, a decrease of $251 million. The decrease is primarily due to lower market energy prices, and lower customer demand for Agenda Page 39
Finance Committee Item 5
heating and cooling due to mild weather in the service territory. • Operating expenses, excluding the cost of energy, increased year over year from $50.8 million in FY 2024-25 to $59.2 million in FY 2025-26, an increase of

16.4%. This increase reflects investments in staffing and customer programs. • Accounts receivable decreased from $97.3 million in 2024-25 to $76.5 million in FY2025-26, primarily due to a decrease in rates in February 2026 and milder weather conditions, which resulted in lower electricity consumption. • In FY 2025-26, CPA invested $224.3 million in long-term investments, including U.S. Treasury securities, federal agency securities, corporate medium-term notes, asset-backed securities, and mortgage-backed securities. These investments consist of high-quality securities consistent with CPA’s Investment Policy.
• As of June 30, 2026, CPA had no loans or bank debt outstanding. CPA had outstanding letters of credit in the amount of $488,000; $119.512 million of CPA’s $120 million line of credit with JPMorgan was unutilized. • Total liquidity (unrestricted cash and cash equivalents, investments, and unused bank lines of credit) increased year over year from $653.3 million as of June 30, 2025, to $751.8 million as of June 30, 2026.
• The financial results comply with CPA’s credit covenants.

Key financial metrics and additional analysis of FY 2025-26 results are presented in the Presentation of FY 2025-26 Financial Results (see Attachment 5).

Fiscal Stabilization Fund
On June 30, 2024, (e.g. the end of FY 2023-24) CPA deferred revenue of $135 million to the Fiscal Stabilization Fund pursuant to CPA’s Board-approved Fiscal Stabilization Fund Policy. No funds were used or deferred in FY 2024-25. CPA deferred an additional $85 million in revenue on June 30, 2026, bringing the total to $220 million. These funds may be used as revenue in future fiscal years subject to the terms of the Fiscal Stabilization Agenda Page 40
Finance Committee Item 5
Fund Policy.

FY 2025-26 Budget to Actual Report
The FY 2025-26 Budget to Actual Report (see Attachment 4) compares actual results for the 12-month period ending June 30, 2025, with the FY 2025-26 Budget approved by the Board in June 2025. Budget to Actual highlights include:
• Electricity revenues were $131 million, or 10% below budget, due to a decrease in retail rates in February 2026 and milder weather conditions than expected, which reduced electricity consumption and revenue.
• Cost of energy was $181 million, 15% below budget, primarily due to the non-utilization of contingencies, mild weather conditions, and lower than budgeted market prices.
• Operating expenditures were 23% below budget primarily due to lower-than-budgeted spending on customer programs, general and administrative expenses, staffing, and other services, as well as the non-utilization of contingencies.
• CPA was within budget limits for all operating expense budget line items.

Additional analysis of Budget to Actual results, including a comparison of actual FY 2025- 26 results with the FY 2025-26 Budget approved by the Board in June 2025, appears in the Presentation of FY 2025-26 Financial Results (Attachment 5).

Summary
For the year ending June 30, 2026, CPA increased the net position and total liquidity by $41 million and $98 million, respectively. The Reserves % and Days Liquidity on Hand as defined in CPA's Reserve Policy were 67% and 253 days, respectively, as of June 30, 2026. The Reserves % exceeds the 60% maximum defined in CPA’s Financial Reserves Policy; consistent with the Policy, the current Board approved rates plus potential future rate adjustments are projected to reduce Reserves and DLOH to below the 60% Agenda Page 41
Finance Committee Item 5
maximum over time. CPA is in sound financial health and is well-positioned to serve its customers and deliver on its mission.

ATTACHMENTS

1. Presentation from the Independent Auditor

2. Audit Results Report

3. FY 2025-26 Audited Financial Statements

4. FY 2025-26 Budget to Actual Report

5. Presentation of FY 2025-26 Financial Results
Agenda Page 42
Reporting & Insights from 2026
Audit: Clean Power Alliance of
Southern California
October 28, 2026
Agenda Page 43
Agenda
1 What was covered by this year’s audit
2 Required communication with the governing body
3 Impact of future standards
4 Discussion
Agenda Page 44
Clean Power Alliance of Southern California – Page 3
Audit overview
Fieldwork occurred September 14th through
September 18th
Management and staff were cooperative and
readily available.

Audit was conducted remotely with no difficulties.

Agenda Page 45
Testing methods
Evaluating and assessing risk
Interviewing employees and documenting
business processes
Testing business processes for weaknesses and
adherence to policies
Statistical sampling
Clean Power Alliance of Southern California – Page 4
Agenda Page 46
Testing methods (cont.)
Independent confirmations
Tracing to source documents
Clean Power Alliance of Southern California – Page 5
Agenda Page 47
Audit overview
Controls
reviewed in
key
transaction
areas
Disbursements
Payroll
Billing
Cash and investments
Financial reporting
Information technology
Clean Power Alliance of Southern California – Page 6
Agenda Page 48
What were the audit results
Audit performed in accordance with Generally Accepted Auditing Standards
Audit objective – reasonable assurance that financial
statements are free from material misstatement
Financial statements of CPA received an Unmodified Opinion No material weaknesses or significant deficiencies in controls Clean Power Alliance of Southern California – Page 7
Agenda Page 49
Auditor communication to those
charged with governance
No audit findings or concerns
Baker Tilly agrees with CPA’s accounting
policies and disclosures
Auditor
responsibility &
independence
Board
responsibility
No significant
or unusual
transactions
There were no
identified
adjustments to
the financial
statements
Accounting
policies and
estimates
Clean Power Alliance of Southern California – Page 8
Agenda Page 50
Upcoming accounting impacts
GASB 105 – Subsequent Events FY 2027
Clean Power Alliance of Southern California – Page 9
Agenda Page 51
Discussion
Agenda Page 52
The information provided here is of a general nature and is not intended to address the specific circumstances of any individual or entity. In specific circumstances, the services of a professional should be sought. Tax information, if any, contained in this communication was not intended or written to be used by any person for the purpose of avoiding penalties, nor should such information be construed as an opinion upon which any person may rely. The intended recipients of this communication and any attachments are not subject to any limitation on the disclosure of the tax treatment or tax structure of any transaction or matter that is the subject of this communication and any attachments. Baker Tilly Advisory Group, LP and Baker Tilly US, LLP, trading as Baker Tilly, operate under an alternative practice structure and are members of the global network of Baker Tilly International Ltd., the members of which are separate and independent legal entities. Baker Tilly US, LLP is a licensed CPA firm that provides assurance services to its clients. Baker Tilly Advisory Group, LP and its subsidiary entities provide tax and consulting services to their clients and are not licensed CPA firms. The name Baker Tilly and its associated logo is used under license from Baker Tilly International limited. ©2026 Baker Tilly Advisory Group, LP The information provided here is of a general nature and is not intended to address the specific circumstances of any individual or entity. In specific circumstances, the services of a professional should be sought. Tax information, if any, contained in this communication was not intended or written to be used by any person for the purpose of avoiding penalties, nor should such information be construed as an opinion upon which any person may rely. The intended recipients of this communication and any attachments are not subject to any limitation on the disclosure of the tax treatment or tax structure of any transaction or matter that is the subject of this communication and any attachments. Baker Tilly Advisory Group, LP and Baker Tilly US, LLP, trading as Baker Tilly, operate under an alternative practice structure and are members of the global network of Baker Tilly International Ltd., the members of which are separate and independent legal entities. Baker Tilly US, LLP is a licensed CPA firm that provides assurance services to its clients. Baker Tilly Advisory Group, LP and its subsidiary entities provide tax and consulting services to their clients and are not licensed CPA firms. The name Baker Tilly and its associated logo is used under license from Baker Tilly International limited. ©2026 Baker Tilly Advisory Group, LP The information provided here is of a general nature and is not intended to address the specific circumstances of any individual or entity. In specific circumstances, the services of a professional should be sought. Tax information, if any, contained in this communication was not intended or written to be used by any person for the purpose of avoiding penalties, nor should such information be construed as an opinion upon which any person may rely. The intended recipients of this communication and any attachments are not subject to any limitation on the disclosure of the tax treatment or tax structure of any transaction or matter that is the subject of this communication and any attachments. Baker Tilly Advisory Group, LP and Baker Tilly US, LLP, trading as Baker Tilly, operate under an alternative practice structure and are members of the global network of Baker Tilly International Ltd., the members of which are separate and independent legal entities. Baker Tilly US, LLP is a licensed CPA firm that provides assurance services to its clients. Baker Tilly Advisory Group, LP and its subsidiary entities provide tax and consulting services to their clients and are not licensed CPA firms. The name Baker Tilly and its associated logo is used under license from Baker Tilly International limited. ©2026 Baker Tilly Advisory Group, LP Thank You
We appreciate the work done by the Clean Power
Alliance accounting staff and management in preparing
for and assisting in the audit!
Agenda Page 53
Contact Info
• Aaron Worthman
• Principal
• [email protected]
• +1 512 975 7281
• Ryan Theiler
• Senior Manager
• [email protected]
• +1 608 240 2571
Agenda Page 54
Reporting and insights
from 2026 audit:

Clean Power Alliance of Southern California
June 30, 2026
Agenda Page 55

THIS COMMUNICATION IS INTENDED SOLELY FOR THE INFORMATION AND USE OF THOSE CHARGED WITH GOVERNANCE, AND, IF APPROPRIATE, MANAGEMENT, AND IS NOT INTENDED TO BE AND SHOULD NOT BE USED BY ANYONE OTHER THAN THESE SPECIFIED PARTIES.

BAKER TILLY ADVISORY GROUP, LP AND BAKER TILLY US, LLP, TRADING AS BAKER TILLY, ARE MEMBERS OF THE GLOBAL NETWORK OF BAKER TILLY INTERNATIONAL LTD., THE MEMBERS OF WHICH ARE SEPARATE AND INDEPENDENT LEGAL ENTITIES. BAKER TILLY US, LLP IS A LICENSED CPA FIRM THAT PROVIDES ASSURANCE SERVICES TO ITS CLIENTS.

BAKER TILLY ADVISORY GROUP, LP AND ITS SUBSIDIARY ENTITIES PROVIDE TAX AND CONSULTING SERVICES TO THEIR CLIENTS AND ARE NOT LICENSED CPA FIRMS. NONATTEST SERVICES ARE PROVIDED BY BAKER TILLY ADVISORY GROUP, LP.

Executive summary
October 21, 2026
To the Board of Directors
Clean Power Alliance of Southern California
Los Angeles, California
We have completed our audit of the financial statements of Clean Power Alliance of Southern California (CPA) for the year ended June 30, 2026 and have issued our report thereon dated October 21, 2026. This letter presents communications required by our professional standards.

Your audit should provide you with confidence in your financial statements. The audit was performed based on information obtained from meetings with management, data from your systems, knowledge of CPA’s operating environment and our risk assessment procedures. We strive to provide you clear, concise communication throughout the audit process and of the final results of our audit.

Additionally, we have included information on key risk areas CPA should be aware of in your strategic planning. We are available to discuss these risks as they relate to your organization's financial stability and future planning.

If you have questions at any point, please connect with us:
• Aaron Worthman, Principal: [email protected] or +1 (512) 975 7281 • Ryan Theiler, Senior Manager: [email protected] or +1 (608) 240 2571 Sincerely,
Baker Tilly US, LLP
Aaron Worthman, CPA, Principal
Ryan Theiler, CPA, Senior Manager
Agenda Page 56
3 Audit Results Letter
Responsibilities
Our responsibilities
As your independent auditor, our responsibilities include:
• Planning and performing the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. Reasonable assurance is a high level of assurance.
• Assessing the risks of material misstatement of the financial statements, whether due to fraud or error. Included in that assessment is a consideration of CPA’s internal control over financial reporting.
• Performing appropriate procedures based upon our risk assessment. • Evaluating the appropriateness of the accounting policies used and the reasonableness of significant accounting estimates made by management.
• Forming and expressing an opinion based on our audit about whether the financial statements prepared by management, with the oversight of the Board of Directors:
• Are free from material misstatement
• Present fairly, in all material respects and in accordance with accounting principles generally accepted in the United States of America
• Our audit does not relieve management the Board of Directors of their responsibilities.

We are also required to communicate significant matters related to our audit that are relevant to the responsibilities of the Board of Directors, including:
• Internal control matters
• Qualitative aspects of CPA’s accounting practice including policies, accounting estimates and financial statement disclosures
• Significant unusual transactions
• Significant difficulties encountered
• Disagreements with management
• Circumstances that affect the form and content of the auditors' report • Audit consultations outside the engagement team
• Corrected and uncorrected misstatements
• Other audit findings or issues
Agenda Page 57
4 Audit Results Letter
Audit status
Significant changes to the audit plan
There were no significant changes made to either our planned audit strategy or to the significant risks and other areas of emphasis identified during the performance of our risk assessment procedures.

Agenda Page 58
5 Audit Results Letter
Audit approach and results
Planned scope and timing
Audit focus
Based on our understanding of CPA and environment in which you operate, we focused our audit on the following key areas:
• Key transaction cycles
• Areas with significant estimates
• Implementation of new accounting standards
Our areas of audit focus were informed by, among other things, our assessment of materiality. Materiality in the context of our audit was determined based on specific qualitative and quantitative factors combined with our expectations about CPA’s current year results.

Key areas of focus and significant findings
Significant risks of material misstatement
A significant risk is an identified and assessed risk of material misstatement that, in the auditor's professional judgment, requires special audit consideration. Within our audit, we focused on the following areas below.

Significant risk areas Testing approach Conclusion
Management override of
controls
Incorporate unpredictability into
audit procedures, emphasize
professional skepticism and
utilize audit team with industry
expertise
Procedures identified provided
sufficient evidence for our audit
opinion
Improper revenue recognition
due to fraud
Confirmation or validation of
certain revenues supplemented
with detailed predictive
analytics based on non-financial
data and substantive testing of
related receivables
Procedures identified provided
sufficient evidence for our audit
opinion
Potential for inaccurate billing
data from SCE
Review Calpine SOC report and
perform walkthrough to assess
the procedures established to
validate the data
Procedures identified provided
sufficient evidence for our audit
opinion
Agenda Page 59
6 Audit Results Letter
Other areas of emphasis
We also focused on other areas that did not meet the definition of a significant risk, but were determined to require specific awareness and a unique audit response.

Other areas of emphasis
Cash and investments Revenues and receivables General disbursements Payroll Accrued cost of electricity Financial reporting and required disclosures
Internal control matters
We considered CPA’s internal control over financial reporting as a basis for designing our audit procedures for the purpose of expressing an opinion on the financial statements. We are not expressing an opinion on the effectiveness of CPA’s internal control.

Our consideration of internal control was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and, therefore, material weaknesses or significant deficiencies may exist that were not identified.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis.

A material weakness is a deficiency or combination of deficiencies in internal control such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected, on a timely basis. We did not identify any deficiencies in internal control that we consider to be material weaknesses.

Agenda Page 60
7 Audit Results Letter
Required communications
Qualitative aspect of accounting practices
• Accounting policies: Management is responsible for the selection and use of appropriate accounting policies. In accordance with the terms of our engagement letter, we have advised management about the appropriateness of accounting policies and their application. The significant accounting policies used by CPA are described in Note 2 to the financial statements. As described in Note 2, CPA changed accounting policies related to Financial Reporting Model Improvements by adopting GASB Statement No. 103 Financial Reporting Model Improvements, in fiscal year 2026. CPA did not restate fiscal year 2025 for this change as the impact was not material.

We noted no transactions entered into by CPA during the year for which accounting policies are controversial or for which there is a lack of authoritative guidance or consensus or diversity in practice.
• Accounting estimates: Accounting estimates, including fair value estimates, are an integral part of the financial statements prepared by management and are based on management's knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements, the degree of subjectivity involved in their development and because of the possibility that future events affecting them may differ significantly from those expected. The following estimates are of most significance to the financial statements:

Estimate
Management's process to
determine
Baker Tilly's conclusions
regarding reasonableness
Unbilled Revenues Evaluation of actual data usage
that is submitted to CAISO
Reasonable in relation to the
financial statements as a whole
Allowance for doubtful
accounts
Evaluation of historical revenues
and loss levels with the analysis
on collectability of individual
amounts
Reasonable in relation to the
financial statements as a whole
Lease asset and lease
liability
Evaluation of leases by
management and incremental
borrowing rate used for present
value calculation
Reasonable in relation to the
financial statements as a whole
Accrued cost of electricity Evaluation of actual and
forecasted electricity
consumption, contractual
procurement costs, and supplier
invoices, with periodic
adjustments based on updated
cost estimates and customer
load
Reasonable in relation to the
financial statements as a whole
There have been no significant changes made by management to either the processes used to develop the particularly sensitive accounting estimates, or to the significant assumptions used to develop the estimates noted above.

Agenda Page 61
8 Audit Results Letter
• Financial statement disclosures: The disclosures in the financial statements are neutral, consistent and clear.

Significant unusual transactions
There have been no significant transactions that are outside the normal course of business for CPA or that otherwise appear to be unusual due to their timing, size or nature.

Significant difficulties encountered during the audit
We encountered no significant difficulties in dealing with management and completing our audit.

Disagreements with management
Professional standards define a disagreement with management as a matter, whether or not resolved to our satisfaction, concerning a financial accounting, reporting, or auditing matter that could be significant to the basic financial statements or the auditors' report. We are pleased to report that no such disagreements arose during the course of our audit.

Uncorrected misstatements and corrected misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. There were no misstatements identified.

Other audit findings or issues
We encountered no other audit findings or issues that require communication at this time.

We generally discuss a variety of matters, including the application of accounting principles and auditing standards, with management each year prior to retention as CPA’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.

Management's consultations with other accountants
In some cases, management may decide to consult with other accountants about auditing and accounting matters. Management informed us that, and to our knowledge, there were no consultations with other accountants regarding auditing or accounting matters.

Written communications between management and Baker Tilly The attachments include copies of other material written communications, including a copy of the management representation letter.

Compliance with laws and regulations
We did not identify any non-compliance with laws and regulations during our audit.

Agenda Page 62
9 Audit Results Letter
Fraud
We did not identify any known or suspected fraud during our audit.

Going concern
Pursuant to professional standards, we are required to communicate to you, when applicable, certain matters relating to our evaluation of CPA’s ability to continue as a going concern for a reasonable period of time but no less than 12 months from the date of the financial statements, including the effects on the financial statements and the adequacy of the related disclosures, and the effects on the auditors’ report. No such matters or conditions have come to our attention during our engagement.

Independence
We are not aware of any relationships between Baker Tilly and CPA that, in our professional judgment, may reasonably be thought to bear on our independence.

Related parties
We did not have any significant findings or issues arise during the audit in connection with CPA’s related parties.

Other matter
We applied certain limited procedures to the required supplementary information (RSI) that supplements the basic financial statements. Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements and other knowledge we obtained during our audit of the basic financial statements. We did not audit the RSI and do not express an opinion or provide any assurance on the RSI.

Agenda Page 63
10 Audit Results Letter
Audit committee resources
Our business is to know every aspect of yours and to maintain a constant lookout for what's next. We invite you to learn about some of the trending challenges and opportunities for public sector organizations like yours and how Baker Tilly can help.

To explore more trending topics and regulatory updates, visit our resource page at https://www.bakertilly.com/insights/audit-committee-resource-page.

Capital project oversight
Public sector capital projects face increasing pressure from cost escalation, supply chain disruption, regulatory complexity and heightened scrutiny around transparency and accountability. Strong planning, governance and controls are critical across the full project life cycle, from feasibility and funding strategy through execution and closeout.

Independent oversight helps chart a clear course from planning to delivery. Our teams work alongside leadership to strengthen governance, establish financial and contractual controls, align funding with project goals and monitor performance throughout execution, helping projects stay on schedule, within budget and aligned with community priorities.

Succession planning
An aging workforce, rising retirement rates and competition for specialized talent make succession planning a fiscal and operational a priority for public sector organizations.

By identifying critical roles, assessing workforce risk, building internal talent pipelines and integrating succession planning with broader workforce strategies, Baker Tilly helps organizations preserve institutional knowledge and maintain continuity, today and into the future.

Economic development
Successful economic development depends on disciplined planning, sound financial analysis and coordinated execution. Public sector leaders must balance incentives, infrastructure investment, funding opportunities and stakeholder priorities while maintaining fiscal responsibility.

Baker Tilly’s supports local governments with strategic and financial planning, incentive structuring and negotiation, tax increment financing administration, project financing, grant strategy, and economic and fiscal impact analysis. This integrated approach helps leaders move from vision to action, strengthening communities and advancing sustainable, long-term growth.

Agenda Page 64
11 Audit Results Letter
Management representation letter
Agenda Page 65
801 S. Grand Ave., Suite 400, Los Angeles, CA 90017
cleanpoweralliance.org
October 21, 2026
Baker Tilly US, LLP
4807 Innovate Lane
Madison, WI 53718
Dear Baker Tilly US, LLP:

We are providing this letter in connection with your audits of the financial statements of Clean Power Alliance of Southern California as of June 30, 2026 and 2025 and for the years then ended for the purpose of expressing an opinion as to whether the financial statements present fairly, in all material respects, the financial position of the Clean Power Alliance of Southern California and the respective changes in financial position and cash flows in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP). We confirm that we are responsible for the fair presentation of the previously mentioned financial statements in conformity with U.S. GAAP. We are also responsible for adopting sound accounting policies, establishing and maintaining internal control over financial reporting, and preventing and detecting fraud.

Certain representations in this letter are described as being limited to matters that are material. Items are considered material, regardless of size, if they involve an omission or misstatement of accounting information that, in the light of surrounding circumstances, makes it probable that the judgment of a reasonable person relying on the information would be changed or influenced by the omission or misstatement. An omission or misstatement that is monetarily small in amount could be considered material as a result of qualitative factors.

We confirm, to the best of our knowledge and belief, the following representations made to you during your audits.

Financial Statements
1) We have fulfilled our responsibilities, as set out in the terms of the audit engagement letter dated July 1, 2025, including our responsibility for the preparation and fair presentation of the financial statements in accordance with U.S. GAAP.
2) The financial statements referred to above are fairly presented in conformity with U.S. GAAP.

The financial statements include all properly classified funds required by U.S. GAAP to be included in the financial reporting entity.
3) We acknowledge our responsibility for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

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4) We acknowledge our responsibility for the design, implementation, and maintenance of internal control to prevent and detect fraud.
5) Significant assumptions we used in making accounting estimates, including those measured at fair value, if any, are reasonable in accordance with U.S. GAAP. 6) Related party relationships and transactions, including revenues, expenditures/expenses, loans, transfers, leasing arrangements, and guarantees, and amounts receivable from or payable to related parties have been appropriately accounted for and disclosed in accordance with the requirements of U.S. GAAP.
7) All events subsequent to the date of the financial statements and for which U.S. GAAP require adjustment or disclosure have been adjusted or disclosed. No other events, including instances of noncompliance, have occurred subsequent to the financial statement date and through the date of this letter that would require adjustment to or disclosure in the aforementioned financial statements.
8) All material transactions have been recorded in the accounting records and are reflected in the financial statements.
9) There are no known or possible litigation, claims, and assessments whose effects should be considered when preparing the financial statements. There are no unasserted claims or assessments that our lawyer has advised us are probable of assertion and must be disclosed in accordance with U.S. GAAP.

Information Provided
10) We have provided you with:
a) Access to all information, of which we are aware, that is relevant to the preparation and fair presentation of the financial statements, such as financial records and related data, documentation, and other matters.
b) Additional information that you have requested from us for the purpose of the audit. c) Unrestricted access to persons within the entity from whom you determined it necessary to obtain audit evidence.
d) Minutes of the meetings of the Board of Directors or summaries of actions of recent meetings for which minutes have not yet been prepared.
11) We have disclosed to you results of our assessment of the risk that the financial statements may be materially misstated as a result of fraud.

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12) We have no knowledge of any fraud or suspected fraud that affects the entity and involves:
a) Management,
b) Employees who have significant roles in internal control, or c) Others where the fraud could have a material effect on the financial statements. 13) We have no knowledge of any allegations of fraud or suspected fraud affecting the entity received in communications from employees, former employees, regulators, or others. 14) We have no knowledge of known instances of noncompliance or suspected noncompliance with provisions of laws, regulations, contracts, or grant agreements, or abuse, whose effects should be considered when preparing financial statements.
15) We have disclosed to you the names of our related parties and all the related party relationships and transactions, including side agreements, of which we are aware.

Other
16) There have been no communications from regulatory agencies concerning noncompliance with, or deficiencies in, financial reporting practices.
17) We have a process to track the status of audit findings and recommendations. 18) We have identified to you any previous financial audits, attestation engagements, and other studies related to the audit objectives and whether related recommendations have been implemented.
19) We have identified to you any investigations or legal proceedings that have been initiated with respect to the period under audit.
20) Clean Power Alliance of Southern California has no plans or intentions that may materially affect the carrying value or classification of assets, liabilities, deferred inflows of resources or net position.

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801 S. Grand Ave., Suite 400, Los Angeles, CA 90017
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21) We are responsible for compliance with federal, state, and local laws, regulations, and provisions of contracts and grant agreements applicable to us, including tax or debt limits, debt contracts, and IRS arbitrage regulations; and we have identified and disclosed to you all federal, state, and local laws, regulations and provisions of contracts and grant agreements that we believe have a direct and material effect on the determination of financial statement amounts or other financial data significant to the audit objectives, including legal and contractual provisions for reporting specific activities in separate funds.
22) There are no:
a) Violations or possible violations of budget ordinances, federal, state, and local laws or regulations (including those pertaining to adopting, approving and amending budgets), provisions of contracts and grant agreements, tax or debt limits, and any related debt covenants whose effects should be considered for disclosure in the financial statements or as a basis for recording a loss contingency, or for reporting on noncompliance, except those already disclosed in the financial statement, if any.
b) Other liabilities or gain or loss contingencies that are required to be accrued or disclosed by U.S. GAAP.
c) Rates being charged to customers other than the rates as authorized by the applicable authoritative body.
d) Violations of restrictions placed on revenues as a result of bond resolution covenants such as revenue distribution or debt service funding.
23) Clean Power Alliance of Southern California has satisfactory title to all owned assets, and there are no liens or encumbrances on such assets nor has any asset been pledged as collateral. 24) Clean Power Alliance of Southern California has complied with all aspects of contractual agreements that would have a material effect on the financial statement in the event of noncompliance.
25) The financial statements include all component units as well as joint ventures with an equity interest, and properly disclose all other joint ventures and other related organizations, if any. 26) Components of net position (net investment in capital assets; restricted; and unrestricted) are properly classified and, if applicable, approved.
27) Clean Power Alliance of Southern California has no derivative financial instruments such as contracts that could be assigned to someone else or net settled, interest rate swaps, collars or caps.

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801 S. Grand Ave., Suite 400, Los Angeles, CA 90017
cleanpoweralliance.org
28) Provisions for uncollectible receivables, if any, have been properly identified and recorded. 29) Deposits and investments are properly classified, valued, and disclosed (including risk disclosures, collateralization agreements, valuation methods, and key inputs, as applicable). 30) Provision, when material, has been made to reduce excess or obsolete inventories to their estimated net realizable value.
31) Capital assets, including infrastructure and intangible assets, are properly capitalized, reported, and, if applicable, depreciated/amortized. Any known impairments have been recorded and disclosed.
32) The operations and rate setting process meet the condition for application of accounting for regulated operations as outlined in GASB Statement No. 62. All regulatory items included in the financial statements have been approved and are being accounted for in accordance with specific action taken by the regulatory body and as such the expectation of future recovery or refund is reasonable.
33) We have appropriately disclosed Clean Power Alliance of Southern California's policy regarding whether to first apply restricted or unrestricted resources when an expense is incurred for purposes for which both restricted and unrestricted net position are available and have determined that net position were properly recognized under the policy. 34) We acknowledge our responsibility for the required supplementary information (RSI). The RSI is measured and presented within prescribed guidelines and the methods of measurement and presentation have not changed from those used in the prior period. We have disclosed to you any significant assumptions and interpretations underlying the measurement and presentation of the RSI.
35) Unused lines of credit, collateral pledged to secure debt and direct borrowings and private placements have been properly identified and disclosed. 36) We have identified any leases, subscription-based information technology agreements or other contracts that are required to be reported as leases and are in agreement with the key assumptions used in the measurement of any lease related assets, liabilities or deferred inflows of resources.
37) We have reviewed our employment agreements and personnel policy related to compensated absences and believe our calculation of compensated absences is in alignment with the requirements of GASB Statement No. 101.
38) As a member of California Community Choice Financing Authority (CCCFA), CPA does not have an obligation for CCCFA's outstanding debt.

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39) We have implemented GASB Statement No. 103, Financial Reporting Model Improvements, and believe that all required disclosures and accounting considerations have been identified and properly classified in the financial statements in compliance with this Standard. 40) We have implemented GASB Statement No. 104, Disclosure of Certain Capital Assets, and believe that all required disclosures and accounting considerations have been identified and properly classified in the financial statements in compliance with this Standard. 41) The auditing standards define an annual report as “a document, or combination of documents, typically prepared on an annual basis by management or those charged with governance in accordance with law, regulation, or custom, the purpose of which is to provide owners (or similar stakeholders) with information on the entity’s operations and the financial results and financial position as set out in the financial statements.” Among other items, an annual report contains, accompanies, or incorporates by reference the financial statements and the auditors’ report thereon. We confirm that we do not prepare and have no plans to prepare an annual report.
42) We are responsible for the estimation methods and assumptions used in measuring assets and liabilities reported or disclosed at fair value, including information obtained from brokers, pricing services or third parties. Our valuation methodologies have been consistently applied from period to period. The fair value measurements reported or disclosed represent our best estimate of fair value as the measurement date in accordance with the requirements of GASB Statement No. 72 – Fair Value Measurement. In addition, our disclosures related to fair value measurements are consistent with the objectives outlined in GASB Statement No. 72. We have evaluated the fair value information provided to us by brokers, pricing services or other parties that has been used in the financial statements and believe this information to be reliable and consistent with the requirements.
43) There have been no changes to our assessment or applicability in regards to all previously effective GASB Statements that were deemed immaterial or did not impact Clean Power Alliance of Southern California at the time the statements were effective.

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801 S. Grand Ave., Suite 400, Los Angeles, CA 90017
cleanpoweralliance.org
Sincerely,
Clean Power Alliance of Southern California
Signed:

David McNeil, Chief Financial Officer
Signed:

Ted Bardacke, Chief Executive Officer
Agenda Page 72
19 Audit Results Letter
Accounting changes relevant to CPA
Future accounting standards update
GASB
statement
number Description
Potentially
impacts you Effective date
105 Subsequent events 6/30/27
Further information on upcoming GASB pronouncements.

Updated guidance for the financial reporting of subsequent events GASB Statement No. 105, Subsequent Events, which supersedes GASB Statement No. 56, is intended to enhance consistency in the application of requirements for subsequent events.

The Statement defines subsequent events as transactions or other events that occur after year end but before the date the financial statements are available to be issued. The date the financial statements are available to be issued is the date at which (a) the financial statements are complete in a form and format that complies with generally accepted accounting principles (GAAP) and (b) approvals necessary for issuance have been obtained, or typically the opinion date. The definition of subsequent events in this Statement modifies the subsequent events time frame throughout the GASB literature.

The Statement also clarifies:
• The different types of subsequent events (recognized and nonrecognized events) • When note disclosures are required
• The information that should be included in those note disclosures Agenda Page 73
20 Audit Results Letter
Two-way audit communications
As part of our audit of your financial statements, we are providing communications to you throughout the audit process. Auditing requirements provide for two-way communication and are important in assisting the auditor and you with more information relevant to the audit.

As this past audit is concluded, we use what we have learned to begin the planning process for next year's audit. It is important that you understand the following points about the scope and timing of our next audit:
a. We address the significant risks of material misstatement, whether due to fraud or error, through our detailed audit procedures.
b. We will obtain an understanding of the five components of internal control sufficient to assess the risk of material misstatement of the financial statements whether due to error or fraud, and to design the nature, timing and extent of further audit procedures. We will obtain a sufficient understanding by performing risk assessment procedures to evaluate the design of controls relevant to an audit of financial statements and to determine whether they have been implemented. We will use such knowledge to:
• Identify types of potential misstatements
• Consider factors that affect the risks of material misstatement • Design tests of controls, when applicable and substantive procedures c. We will not express an opinion on the effectiveness of internal control over financial reporting or compliance with laws, regulations and provisions of contracts or grant programs. d. The concept of materiality recognizes that some matters, either individually or in the aggregate, are important for fair presentation of financial statements in conformity with generally accepted accounting principles while other matters are not important. In performing the audit, we are concerned with matters that, either individually or in the aggregate, could be material to the financial statements. Our responsibility is to plan and perform the audit to obtain reasonable assurance that material misstatements, whether caused by errors or fraud, are detected.

Our audit will be performed in accordance with auditing standards generally accepted in the United States of America.

We are very interested in your views regarding certain matters. Those matters are listed here:
a. We typically will communicate with your top level of management unless you tell us otherwise. b. We understand that the governing board has the responsibility to oversee the strategic direction of your organization, as well as the overall accountability of the entity. Management has the responsibility for achieving the objectives of the entity. c. We need to know your views about your organization's objectives and strategies, and the related business risks that may result in material misstatements. d. We anticipate that CPA will receive an unmodified opinion on its financial statements. e. Which matters do you consider warrant particular attention during the audit, and are there any areas where you request additional procedures to be undertaken? Agenda Page 74
21 Audit Results Letter
f. Have you had any significant communications with regulators or grantor agencies? g. Are there other matters that you believe are relevant to the audit of the financial statements? Also, is there anything that we need to know about the attitudes, awareness and actions of the governing body concerning:
a. The entity's internal control and its importance in the entity, including how those charged with governance oversee the effectiveness of internal control? b. The detection or the possibility of fraud?
We also need to know if you have taken action in response to developments in financial reporting, laws, accounting standards, governance practices or other related matters, or in response to previous communications with us.

With regard to the timing of our audit, here is some general information. If necessary, we may do preliminary financial audit work during the month of July. Our final financial fieldwork is scheduled during late summer to best coincide with your readiness and report deadlines. After fieldwork, we wrap up our financial audit procedures at our office and may issue drafts of our report for your review. Final copies of our report and other communications are issued after approval by your staff. This is typically 6-12 weeks after final fieldwork but may vary depending on a number of factors.

Keep in mind that while this communication may assist us with planning the scope and timing of the audit, it does not change the auditor's sole responsibility to determine the overall audit strategy and the audit plan, including the nature, timing and extent of procedures necessary to obtain sufficient appropriate audit evidence.

We realize that you may have questions on what this all means or wish to provide other feedback. We welcome the opportunity to hear from you.

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CLEAN POWER ALLIANCE OF SOUTHERN

CALIFORNIA
Basic Financial Statements with Independent
Auditors’ Report
Agenda Page 76
For the Fiscal Years Ended June 30, 2026 and 2025

TABLE OF CONTENTS
Independent Auditors' Report ………………………………………………………... 1 Management's Discussion and Analysis (Unaudited) ………………………………… 4 Basic Financial Statements:

Statements of Net Position …………………………………………………… 11
Statements of Revenues, Expenses and Changes in Net Position …................ 12 Statements of Cash Flows …………………………………………………… 13
Notes to the Basic Financial Statements ……………………………………. 15 Agenda Page 77
Independent Auditors' Report
To the Board of Directors of
Clean Power Alliance of Southern California
Opinion
We have audited the accompanying financial statements of Clean Power Alliance of Southern California (CPA), as of and for the years ended June 30, 2026 and 2025, and the related notes to the financial statements, which collectively comprise the CPA's basic financial statements as listed in the table of contents.

In our opinion, the accompanying financial statements referred to above present fairly, in all material respects, the financial position of CPA as of June 30, 2026 and 2025, and the changes in financial position and cash flows for the years then ended in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinion
We conducted our audits in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditors' Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the CPA and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America; and for the design, implementation and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the CPA's ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.

Auditors' Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.
1 Baker Tilly Advisory Group, LP and Baker Tilly US, LLP, trading as Baker Tilly, are members of the global network of Baker Tilly International Ltd., the members of which are separate and independent legal entities. Baker Tilly US, LLP is a licensed CPA firm that provides assurance services to its clients. Baker Tilly Advisory Group, LP and its subsidiary entities provide tax and consulting services to their clients and are not licensed CPA firms.

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In performing an audit in accordance with GAAS, we:
 Exercise professional judgment and maintain professional skepticism throughout the audit.  Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
 Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the CPA's internal control. Accordingly, no such opinion is expressed.  Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
 Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the CPA's ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings and certain internal control-related matters that we identified during the audit.

Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the Management's Discussion and Analysis, as listed in the table of contents, be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.

Madison, Wisconsin
October 21, 2026
Agenda Page
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CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
YEARS ENDED JUNE 30, 2026 AND 2025
3 MANAGEMENT’S DISCUSSION AND ANALYSIS
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CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
YEARS ENDED JUNE 30, 2026 AND 2025
4 The Management's Discussion and Analysis section provides an overview of Clean Power Alliance of Southern California's (CPA’s) financial activities as of and for the fiscal years ending June 30, 2026 and 2025. The information presented here should be considered in conjunction with the audited financial statements.

Overview of the Financial Statements
CPA’s financial report contains basic financial statements:
o The Statements of Net Position, which include all of CPA's assets, liabilities, deferred inflows of resources, and net position and provide information about the nature and amount of resources and obligations at a specific point in time. o The Statements of Revenues, Expenses, and Changes in Net Position, which report all of CPA's revenues and expenses for the years shown. o The Statements of Cash Flows, which report the cash provided and used by operating activities, as well as other sources and uses, such as non-capital financing activities.
o Notes to the Basic Financial Statements, which provide additional details and information related to the Basic Financial Statements.

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CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
YEARS ENDED JUNE 30, 2026 AND 2025
5 The purpose of Management’s Discussion and Analysis (MD&A) is to provide CPA’s customers, creditors, and other stakeholders with an overview of the organization’s financial health for the fiscal year (FY) and why it changed from the prior year. This discussion draws on details presented elsewhere in this report and adds explanations based on management's knowledge of CPA's operations and financial position.

Please address any questions about this report or requests for additional financial information to the Chief Financial Officer, 801 S. Grand Avenue, Suite 400, Los Angeles, CA 90017.

OVERVIEW OF THE FINANCIAL STATEMENTS
CPA is a local government agency formed as a joint powers authority. Its business-type operations are reported in an enterprise fund and accounted for using the economic resources measurement focus and accrual basis of accounting. This report presents three basic financial statements and the accompanying notes:
• The Statements of Net Position (p.11) present a point-in-time summary of CPA’s assets and liabilities as of June 30th for each fiscal year period. This statement details the resources that CPA controls (assets), the amounts that CPA owes (liabilities), and resource flows that have occurred but are not yet recognized as revenues (deferred inflows of resources).

Assets less liabilities and deferred inflows of resources equals the net position, which, viewed at points in and over time, is an indicator of CPA’s financial health. • The Statements of Revenues, Expenses, and Changes in Net Position (p.12) presents the inflows of economic resources (revenues) and outflows of economic resources (expenses) for CPA’s operations over the course of a fiscal year and reconciles the resulting difference, called the change in net position, to the total net position reported in the Statement of Net Position.
• The Statements of Cash Flows (p.13) present the sources and uses of cash and cash equivalents during a fiscal year, classified by operating, noncapital financing, capital and related financing, and investing activities, and reconciles operating income from the Statement of Revenues, Expenses, and Changes in Net Position to net cash provided by operating activities.
• The notes to the Basic Financial Statements (p.15) are an integral part of the financial statements. They describe the accounting policies and significant estimates used, provide details supporting the reported amounts, and disclose information that the statements alone do not convey.

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CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
YEARS ENDED JUNE 30, 2026 AND 2025
6 FINANCIAL SUMMARY
The following table summarizes CPA's assets, liabilities, deferred inflows of resources, and net position at June 30:

As of June 30, 2026, CPA’s total net position is $505.6 million, an increase of $41.1 million, or 9%, from $464.5 million at June 30, 2025. This increase reflects CPA’s operating results, which are discussed in the next section.

Current assets increased by $54.3 million year-over-year, primarily due to higher cash and cash equivalents, as cash received from customers exceeded cash paid for power supply and operating expenses, certain short-term investments were sold and reinvested in funds reported as cash equivalents, and other assets representing the value of renewable energy delivered but not yet consumed by CPA customers. This was partially offset by a decline in accounts receivable, reflecting lower year-over-year retail rates and reduced energy sales. Noncurrent assets increased by $49.8 million as a significant portion of cash generated during the year was invested in U.S.

Treasury notes with maturities greater than one year.

Total liabilities decreased year-over-year by $22.1 million, primarily due to a lower energy cost accrual for June 2026, resulting from lower energy costs compared to the prior fiscal year. 2026 2025 2024
Current assets $ 618.5 $ 564.2 $ 738.4
Noncurrent assets
Capital assets, net 1.5 1.9 2.4
Other noncurrent assets 224.4 174.2 0.1
Total noncurrent assets 225.9 176.1 2.5
Total assets 844.3 740.3 740.9
Current liabilities 114.3 136.5 273.3
Noncurrent liabilities 4.5 4.3 5.0
Total liabilities 118.7 140.8 278.3
Deferred inflows of resources 220.0 135.0 135.0
Net position
Investment in capital assets 0.1 0.0 0.1
Unrestricted 505.5 464.5 327.5
Total net position $ 505.6 $ 464.5 $ 327.6
Clean Power Alliance
Summary of Net Position at June 30:
(in millions)
Agenda Page 83

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
YEARS ENDED JUNE 30, 2026 AND 2025
7 Deferred inflows of resources increased in FY 2025-26 due to the deferral of $85.0 million of revenue, which will be recognized in future years.

At June 30, 2025, CPA’s total net position was $464.5 million, an increase of $136.9 million, or 42%, from $327.6 million at June 30, 2024. Current assets decreased year-over-year, while other noncurrent assets increased due to cash invested in long-term investments. Total assets remained relatively constant with less than a 1% decline. Total liabilities decreased by $137.5 million, reflecting lower accrued energy costs resulting from more prompt delivery of invoices by other energy counterparties compared to the prior fiscal year.

The following table summarizes CPA’s results of operations for the fiscal years ending June 30:

CPA’s change in net position is $41.0 million for FY 2025-26, a decrease of $95.9 million, or 70%, from $136.9 million in FY 2024-25. CPA has a lower change in net position in FY 2025-26 than in FY 2024-25, due to lower revenues partially offset by lower expenses, and an $85.0 million deferral of FY 2025-26 revenues to the Fiscal Stabilization Fund (FSF) pursuant to the Fiscal Stabilization Fund Policy.

Operating revenues and the cost of electricity are lower year-over-year because less electricity was purchased for and delivered to customers in FY 2025-26 than in FY 2024-25. Less energy was purchased and sold in FY 2025-26 due to lower residential customer demand for heating and cooling, driven by mild weather in Los Angeles and Ventura counties. Operating revenues are further affected by decreased year-over-year retail electric rates, including an interim rate adjustment introduced in February 2026. The cost of energy is also lower due to favorable market 2026 2025 2024
Operating revenues $ 1,107.9 $ 1,443.5 $ 1,356.6
Interest and investment income 19.7 22.3 10.9
Total revenues 1,127.6 1,465.8 1,367.5
Cost of electricity 1,026.9 1,277.4 1,219.5
Other operating expenses 59.2 50.8 41.2
Nonoperating expenses 0.5 0.6 0.6
Total expenses 1,086.6 1,328.9 1,261.3
Change in net position 41.0 136.9 106.1
Net position beginning of period 464.6 327.6 221.5
Net position end of period $ 505.6 $ 464.5 $ 327.6
Clean Power Alliance
Summary of Revenues, Expenses, and Change in Net Position for 12 months ended June 30:
(in millions)
Agenda Page 84

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
YEARS ENDED JUNE 30, 2026 AND 2025
8 conditions and lower prices in the day-ahead energy market, as well as lower short-term contract costs for Resource Adequacy in FY 2025-26. Other operating expenses, which support CPA’s operations, increased year-over-year but by substantially less than the decrease in the cost of energy.

In FY 2024-25, operating revenues increased compared to the prior year, primarily because FY 2023-24 operating revenues were reduced by a $135.0 million revenue deferral to the FSF. This increase was partially offset by lower retail electric rates that became effective in March 2025.

Interest and investment income more than doubled year over year, reflecting a larger investment portfolio funded by growth in CPA’s reserves. Energy costs increased as a result of higher costs for renewable energy and Resource Adequacy. CPA also reported a larger increase in net position in FY 2024-25 than in FY 2023-24, primarily due to the $135.0 million FSF revenue deferral in FY 2023-24.

Other operating expenses increased by $8.4 million in FY 2025-26 and $9.6 million in FY 2024-

25. Increases primarily reflect investments in staffing and customer programs. Staffing expenses increased due to increases in compensation, staff retention efforts, and the addition of new positions to support the organization’s growth. Customer programs related expenses, including customer incentives, implementation services, and marketing expenses, also contributed to expense growth in both years; in FY 2025-26, the program incentives paid to customers grew by 93% year-over-year, while the FY 2024-25 incentives expense increased by 46% from FY 2023-

24. CAPITAL ASSET AND LONG-TERM FINANCING ACTIVITY
CPA does not own any assets used for electric generation, transmission, or distribution. Capital assets make up 0.2% of CPA’s total assets and consist of furniture, equipment, leasehold improvements, website development, and a right-of-use asset for CPA’s office lease. There were no significant disposals.

CPA has no outstanding debt.

CURRENTLY KNOWN FACTS, DECISIONS, OR CONDITIONS
Several developments are expected to have an impact on CPA’s future financial position and, where applicable, have been incorporated into next year’s budget:

Purchase Commitments - CPA enters into long-term purchase agreements to bring new renewable energy-generating and energy storage facilities online. Details of future purchase commitments can be found on page 29 of this report.

Reserves - At June 30, 2026, CPA’s reserves represent 67.1% of annual operating expenses, as defined in CPA’s Financial Reserve Policy. Per the policy, if reserve funds exceed 60%, CPA will consider actions to reduce reserves in the coming fiscal year.

Agenda Page 85

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
YEARS ENDED JUNE 30, 2026 AND 2025
9 Revenue Projections - CPA projects lower revenues in FY 2026-27, arising from retail electric rate decreases supported by projected reductions in power supply costs and the reduced need for the accumulation of reserves. CPA sets customer rates based on its cost of service and aims to offer retail electricity rates that are competitive with SCE’s. CPA may draw on revenues deferred to the Fiscal Stabilization Fund in future years pursuant to the Fiscal Stabilization Fund Policy.

New Service Territories - The cities of Cudahy and Fillmore elected to join CPA, which is projected to add approximately 11,000 customer accounts to CPA’s customer account base.

Following completion of the regulatory approval process, CPA expects to begin serving customers in these communities in October of 2027. The addition of these new customers is expected to add to CPA’s revenues.

Agenda Page 86
10 BASIC FINANCIAL STATEMENTS
Agenda Page 87

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

STATEMENTS OF NET POSITION
YEARS ENDED JUNE 30, 2026 AND 2025
The accompanying notes are an integral part of these financial statements. 11 2026 2025
ASSETS
Current assets
Cash and cash equivalents $ 401,667,304 $ 297,234,579
Investments 9,828,222 70,000,000
Accounts receivable, net of allowance 76,478,956 97,304,782 Accrued revenue 62,172,764 73,349,087
Other receivables 14,531,322 10,142,000
Interest receivable 1,294,987 2,315,977
Prepaid expenses and other assets 48,788,042 5,962,975
Deposits 3,708,467 7,929,251
Total current assets 618,470,064 564,238,651
Noncurrent assets
Capital assets, net of depreciation and amortization 1,454,522 1,782,734 Deposits 89,875 88,875
Investments 224,335,079 174,258,907
Total noncurrent assets 225,879,476 176,130,516
Total assets $ 844,349,540 $ 740,369,167

LIABILITIES
Current liabilities
Accounts payable $ 4,652,681 $ 3,254,851
Accrued cost of electricity 87,511,425 107,720,929
Other accrued liabilities 5,800,010 9,302,824
User taxes and energy surcharges due to other governments 9,641,253 10,692,841 Security deposits from energy suppliers 750,000 180,000 Unearned program funds 5,443,390 4,849,605
Lease liability, current 477,612 451,767
Total current liabilities 114,276,371 136,452,817
Noncurrent liabilities
Security deposits from energy suppliers 2,794,952 2,366,852 Lease liability, noncurrent 899,734 1,377,346
Other noncurrent liabilities 775,687 616,970
Total noncurrent liabilities 4,470,373 4,361,168
Total liabilities $ 118,746,744 $ 140,813,985

DEFERRED INFLOWS OF RESOURCES
Fiscal stabilization fund 220,000,000 135,000,000

NET POSITION
Investment in capital assets $ 77,176 $ (46,379)
Unrestricted 505,525,620 464,601,561
Total net position $ 505,602,796 $ 464,555,182
Agenda Page 88

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

STATEMENTS OF REVENUES, EXPENSES

AND CHANGES IN NET POSITION
YEARS ENDED JUNE 30, 2026 AND 2025
The accompanying notes are an integral part of these financial statements. 12 2026 2025

OPERATING REVENUES
Electricity sales for resale, net $ 1,188,791,451 $ 1,440,562,620 Revenue transferred (to) from fiscal stabilization fund (85,000,000) - Other revenue 4,110,940 2,906,373
Total operating revenues 1,107,902,391 1,443,468,993

OPERATING EXPENSES
Cost of electricity 1,026,893,820 1,277,421,945
Contract services 29,247,129 24,768,864
Staff compensation 26,052,748 22,779,394
General and administration 3,871,680 3,286,198
Total operating expenses 1,086,065,377 1,328,256,401
Operating income 21,837,014 115,212,593

NONOPERATING REVENUES (EXPENSES)
Interest and investment income 19,671,542 22,299,651
Interest financing and investment expenses (460,309) (611,293) Loss on Disposal of Fixed Asset (633) -
Total nonoperating revenues 19,210,600 21,688,357
CHANGE IN NET POSITION 41,047,614 136,900,950
Net position at beginning of period 464,555,182 327,654,232 Net position at end of period $ 505,602,796 $ 464,555,182 Agenda Page 89

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

STATEMENTS OF CASH FLOWS
YEARS ENDED JUNE 30, 2026 AND 2025
The accompanying notes are an integral part of these financial statements. 13 June 2026 June 2025

CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers $ 1,165,696,330 $ 1,456,667,747 Other operating receipts 2,307,443 10,262,342
Payments to suppliers for electricity (992,518,562) (1,236,710,470) Payments for other goods and services (31,897,316) (27,530,656) Payments for staff compensation (25,464,316) (22,436,812) Tax and surcharge payments to other governments (43,314,154) (52,600,211) Net cash provided by operating activities 74,809,425 127,651,940

CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES
Interest and related expense payments (448,220) (569,168) Net cash used by non-capital financing activities (448,220) (569,168)

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Payments to acquire capital assets (225,871) (10,183)
Payments on lease (principal and interest) (490,749) (476,456) Net cash used by capital and related financing activities (716,620) (486,639)

CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of investments (97,181,007) (184,258,907)
Proceeds from sales and maturities of investments 107,276,613 - Interest income received 20,692,533 21,387,933
Net cash provided by investing activities 30,788,139 (162,870,974) Net change in cash and cash equivalents 104,432,725 (36,274,841) Cash and cash equivalents at beginning of year 297,234,579 333,509,421 Cash and cash equivalents at end of year $ 401,667,304 $ 297,234,579 Reconciliation to the Statement of Net Position
Cash and cash equivalents (unrestricted) 401,667,304 297,234,579 Cash and cash equivalents $ 401,667,304 $ 297,234,579

NONCASH INVESTING ACTIVITIES
June 2026 June 2025
Change in fair value of investments $ (2,762,441) $ 801,370 Agenda Page 90

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

STATEMENTS OF CASH FLOWS
YEARS ENDED JUNE 30, 2026 AND 2025
The accompanying notes are an integral part of these financial statements. 14 2026 2025

RECONCILIATION OF OPERATING INCOME TO NET

CASH PROVIDED (USED) BY OPERATING ACTIVITIES
Net operating income (loss) $ 21,837,013 $ 115,212,593
Adjustments to reconcile operating income to net
cash provided (used) by operating activities
Depreciation expense 147,092 159,997
Amortization expense 406,358 457,360
(Increase) decrease in:

Accounts receivable, net of allowance 20,825,827 45,862,924 Other receivables (4,389,322) 1,360,941
Accrued revenue 11,176,323 21,868,778
Prepaid expenses and other assets (42,825,067) 85,329,943 Deposits 4,219,783 (5,597,833)
Increase (decrease) in:

Accounts payable 1,397,830 208,951
Energy market settlements payable (2,928,357) (435,708) Accrued cost of electricity (17,281,147) (138,713,314)
Other accrued liabilities (3,317,205) 5,761,909
User taxes due to other governments (1,051,588) (58,032) Fiscal stabilization fund 85,000,000 - Supplier security deposits 998,100 (4,561,500) Unearned program funds 593,786 794,931
Net cash provided by operating activities $ 74,809,426 $ 127,651,940

CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES
Interest and related expense payments (448,211) (569,168) Net cash used by non-capital financing activities (448,211) (569,168)

CASH FLOWS FROM CAPITAL AND RELATED

FINANCING ACTIVITIES
Payments to acquire capital assets (225,871) (10,183)
Payments on lease (for both principal and interest) (490,749) (476,456) Net cash used by capital and related financing activities (716,620) (486,639)

CASH FLOWS FROM INVESTING ACTIVITIES
Purchased of investments 3,344,956 (183,457,538)
Investment advisory expense (9) -
Interest income received 23,454,974 20,586,564
Net cash provided (used) by investing activities 26,799,921 (162,870,974) Net change in cash and cash equivalents 100,444,515 (36,274,842) Cash and cash equivalents at beginning of period 297,234,579 333,509,421 Cash and cash equivalents at end of period $ 397,679,094 $ 297,234,579 Reconciliation to the Statement of Net Position
Cash and cash equivalents (unrestricted) 397,679,094 297,234,579 Cash and cash equivalents $ 397,679,094 $ 297,234,579
Agenda Page 91

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
15 1. REPORTING ENTITY
Clean Power Alliance of Southern California (CPA) is a joint powers authority created on June 27, 2017. As of June 30, 2026, parties to its Joint Powers Agreement consist of the following local governments:

* Fillmore and Cudahy are officially parties to the JPA as of March 2026. Customers in those jurisdictions will begin receiving service from CPA in October 2027.

CPA is separate from its members and derives no ongoing financial support from them. CPA is governed by a Board of Directors whose membership is comprised of elected officials representing the parties.

CPA’s mission is to provide cost-competitive electric services, reduce electric sector greenhouse gas emissions, stimulate renewable energy development, implement distributed energy resources, promote energy efficiency and demand reduction programs, and sustain long-term rate stability for residents and businesses through local control. CPA provides electric service to retail customers as a Community Choice Aggregation Program under the California Public Utilities Code (CPUC) Section 366.2.

Electricity is acquired from commercial suppliers and delivered through existing physical infrastructure and equipment managed by Southern California Edison (SCE).

Counties Cities
Los Angeles Agoura Hills Monrovia
Ventura Alhambra Moorpark
Arcadia Ojai
Beverly Hills Oxnard
Calabasas Paramount
Camarillo Port Hueneme
Carson Redondo Beach
Claremont Rolling Hills Estates
Cudahy * Santa Monica
Culver City Santa Paula
Downey Sierra Madre
Fillmore * Simi Valley
Hawaiian Gardens South Pasadena
Hawthorne Temple City
Hermosa Beach Thousand Oaks
La Cañada Flintridge Ventura
Lynwood West Hollywood
Malibu Westlake Village
Manhattan Beach Whittier
Agenda Page 92

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
16 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF ACCOUNTING
CPA’s financial statements are prepared in accordance with generally accepted accounting principles (GAAP). The Governmental Accounting Standards Board (GASB) is responsible for establishing GAAP for state and local governments through its pronouncements.

CPA’s operations are accounted for as a governmental enterprise fund and are reported using the economic resources measurement focus and the accrual basis of accounting – similar to business enterprises. Accordingly, revenues are recognized when earned, and expenses are recognized when liabilities are incurred. Enterprise fund-type operating statements present increases (revenues) and decreases (expenses) in total net position. Reported net position is segregated into three categories: investment in capital assets, restricted, and unrestricted.

When both restricted and unrestricted resources are available for the same expenditure, CPA’s policy is to apply restricted resources first, followed by unrestricted resources as needed.

CASH AND CASH EQUIVALENTS
Cash includes cash on hand, demand deposits with banks, and deposits in other kinds of accounts or cash management pools that have the general characteristics of demand deposit accounts in that CPA may deposit additional cash at any time and also effectively may withdraw cash at any time without prior notice or penalty.

INVESTMENTS
Investments reported on the Statements of Net Position include Local Government Investment Pools (LGIP) such as California Local Agency Investment Fund (LAIF) and California Asset Management Program (CAMP); negotiable and non-negotiable certificates of deposit; U.S.

Treasury securities; federal agency securities; corporate medium-term notes; asset-backed, mortgage-backed, mortgage pass-through securities and collateralized mortgage obligations; money market funds; and commercial paper. Negotiable investments have an original term to maturity of more than three months and are stated at fair value. CPA intends to hold its securities to maturity. Investments with a remaining term to maturity of less than one year are shown as current assets in the Statement of Net Position. Investments with a remaining term to maturity of one year or more are shown as non-current assets in the Statement of Net Position.

Permitted investments are defined in the CPA’s Investment Policy.

Negotiable certificates of deposit are reported at fair value. Nonnegotiable certificates of deposit with redemption terms that do not consider market rates are reported using a cost-based measure.

Agenda Page 93

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
17 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

PREPAID EXPENSES AND OTHER ASSETS
Payments made to vendors that will provide benefits in periods beyond the end of the current fiscal year are recorded as prepaid expenses. Renewable Energy Certificates that will provide benefits in periods beyond the end of the current fiscal year are recorded as other assets.

Prepaid expenses were approximately $8,551,000 and $5,963,000 as of June 30, 2026 and 2025, respectively. Other assets were approximately $40,236,000 and $0 as of June 30, 2026 and 2025, respectively.

DEPOSITS
Contracts to purchase energy may require CPA to provide the supplier with advance payments or security deposits. Deposits consist of collateral deposits required by CAISO and security deposits held by suppliers as required under certain energy contracts entered into by CPA. Depending on the length of time the deposits will be outstanding, they are classified as current or noncurrent assets.

OTHER RECEIVABLES
Other receivables primarily consist of receivables related to the wholesale sales of excess energy purchased, as well as accrued interest receivable. These receivables are expected to be collected within the next fiscal year and are considered fully collectible.

CAPITAL ASSETS AND DEPRECIATION
CPA’s policy is to capitalize furniture and equipment valued over $5,000 that is expected to be in service for over one year. Depreciation is computed according to the straight-line method over estimated useful lives of three years for electronic equipment, seven years for furniture, and eight years for leasehold improvements. CPA does not own any electric generation or storage assets.

LEASE ASSETS AND LIABILITIES
CPA recognizes an asset and a liability when it enters into certain leasing arrangements. The leased assets are included in the capital assets and amortized over the lease term. The lease liabilities are established at the present value of payments expected to be paid to the lessors during the terms of the lease. CPA’s only leased assets and liabilities are related to its office premises.

Agenda Page 94

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
18 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

OTHER ACCRUED LIABILITIES
Other accrued liabilities consist primarily of amounts owed for employee compensated absences, deferred revenue, and unspent grant funds as of June 30, 2026. Accrued compensated absences represent the value of earned but unused vacation and other leave benefits. The liability is recognized as employees earn these benefits in accordance with GASB Statement No. 101, Compensated Absences. Deferred revenues represent payments received in advance for services that have not yet been performed or earned, and unspent grant funds represent grant proceeds received that have not yet been expended.

USER TAXES AND ENERGY SURCHARGES DUE TO OTHER GOVERNMENTS CPA is required by governmental authorities to collect and remit user taxes on certain customer sales. These taxes do not constitute revenues or expenses to CPA.

ACCRUED COST OF ELECTRICITY
Accrued cost of electricity represents the estimated cost of electrical power and related energy products delivered or attributable to CPA during the fiscal year that had not yet been invoiced as of the fiscal year-end. These accruals primarily consist of costs associated with power supply contracts, estimated CAISO market transactions, and Renewable Energy Credits attributable to the respective fiscal year but not yet billed. Accrued cost of electricity was approximately $87,511,000 and $107,721,000 as of June 30, 2026, and 2025, respectively.

SECURITY DEPOSITS FROM ENERGY SUPPLIERS
Various energy contracts entered into by CPA require the supplier to provide CPA with a security deposit. These deposits are generally held for the term of the contract or until the completion of certain benchmarks. Deposits are classified as current or non-current depending on the length of time the deposits will be held.

UNEARNED PROGRAM FUNDS
CPA received Power Share program funding from the California Public Utilities Commission.

The amount represents funds received by CPA, but not yet spent on the Power Share program-specific expenses.

Agenda Page 95

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
19 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

FISCAL STABILIZATION FUND
In Fiscal Year 2020, CPA’s Board approved the Fiscal Stabilization Fund policy to allow CPA to defer revenue in years when financial results are strong and for use in future years when financial results may be negatively impacted by uncontrollable events as described in the Policy. In accordance with GASB Statement No. 62, the amount deposited into the fund is shown as a reduction of operating revenues and reported on the statements of net position as a deferred inflow of resources. Deferring revenue for use in future years reduces the impact of unplanned rate changes that would otherwise be necessary to meet CPA’s financial objectives.

In Fiscal Year 2025, CPA did not have a transfer to the Fiscal Stabilization Fund.

In Fiscal Year 2026, CPA transferred $85,000,000 to the Fiscal Stabilization Fund, bringing the total fund balance to $220,000,000 as of June 30, 2026. The Fiscal Stabilization Fund balance is included in cash and cash equivalents.

NET POSITION
Net position is presented in the following components:

Investment in capital assets: This component of net position consists of capital and lease assets, net of accumulated depreciation and amortization, and is reduced by outstanding borrowings that are attributable to the acquisition, construction, or improvement of those assets. CPA did not have any outstanding borrowings as of June 30, 2026, and 2025 attributable to those assets.

Restricted: This component of net position consists of net assets subject to external constraints on their use imposed by creditors (such as through debt covenants), grantors, contributors, laws or regulations of other governments, or constraints imposed by law through constitutional provisions or enabling legislation.

Unrestricted: This component of net position consists of a net position that does not meet the definition of “investment in capital assets” or “restricted.”

OPERATING AND NON-OPERATING REVENUE AND EXPENSES
Nonoperating revenues and expenses generally include subsidies received and provided, revenues and expenses related to financing, resources from the disposal of capital assets and inventory, and investment income and expenses. Revenues or expenses that do not meet the definition of nonoperating would be considered operating when the transactions constitute CPA's principal ongoing operations.

Agenda Page 96

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
20 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

REVENUE RECOGNITION
CPA recognizes electricity revenue as electricity is delivered to customers. Revenue includes amounts billed to customers during the reporting period and estimated amounts for electricity delivered but not yet billed as of the end of the reporting period. Management estimates the portion of billed amounts that will not be collected and records an allowance for uncollectible accounts.

ELECTRICAL POWER PURCHASED
During the normal course of business, CPA purchases electrical power from numerous suppliers.

Electricity costs include the cost of energy and capacity arising from bilateral contracts with energy suppliers, as well as wholesale sales and generation credits, and load and other charges arising from CPA’s participation in CAISO’s centralized market. Electricity costs are recognized as “Cost of electricity” in the Statements of Revenues, Expenses, and Changes in Net Position.

To comply with the State of California’s Renewable Portfolio Standards (RPS) and other annual product content targets and requirements, CPA acquires RPS-eligible renewable energy evidenced by Renewable Energy Certificates (Certificates) recognized by Western Renewable Energy Generation Information System (WREGIS). CPA obtains Certificates with the intent to retire them. Certificate costs are recognized in proportion to the renewable energy consumed by CPA customers. CPA purchases capacity commitments from qualifying generators to comply with the California Energy Commission’s Resource Adequacy Program. The goals of the Resource Adequacy Program are to provide sufficient resources to CAISO to ensure the safe and reliable operation of the grid in real time and to provide appropriate incentives for the siting and construction of new resources needed for reliability in the future.

STAFFING COSTS
CPA pays employees semi-monthly and fully pays its obligations for health benefits and contributions to its defined contribution retirement plan each month. CPA is not obligated to provide post-employment healthcare or other fringe benefits; accordingly, no related liability is recorded in these financial statements. CPA provides compensated time off, and the related liability is recorded in these financial statements.

In September 2023, the Board approved the Retention Incentive Program, whose purpose is to retain management-level staff and promote high performance. Retention incentive parameters approved by the Board in September 2023 remain in effect. Retention incentive amounts are earned over two-year periods beginning July 1, 2023.

Agenda Page 97

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
21 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

INCOME TAXES
CPA is a Joint Powers Authority under the provisions of the California Government Code and is not subject to federal or state income or franchise taxes.

ESTIMATES
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.

RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS
Effective for the fiscal year ended June 30, 2026, CPA implemented the provisions of the following GASB statements:

GASB Statement No. 103, Financial Reporting Model Improvements: This statement makes targeted improvements to the financial reporting model, including revised requirements for management's discussion and analysis (MD&A), the definition and presentation of unusual or infrequent items, the format of the proprietary fund statement of revenues, expenses, and changes in fund net position, major component unit reporting, budgetary comparison information, and financial trends information in the statistical section. The adoption of this statement changed the contents and structure of the MD&A, but otherwise did not have a material effect on the financial statements.

GASB Statement No. 104, Disclosure of Certain Capital Assets: This statement establishes additional note disclosure requirements for capital assets, including intangible assets related to leases, public-private and public-public partnerships, and subscription-based information technology arrangements (SBITAs). It also introduces a new disclosure category for capital assets held for sale — those that the government intends to sell and reasonably expects to complete the sale within one year of the financial statement date. Implementation of this statement did not have a material effect on the financial statements.

Agenda Page 98

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
22 3. CASH AND CASH EQUIVALENTS
As of June 30, 2026, CPA maintains its cash in both interest-earning and non-interest-earning bank accounts with River City Bank, in CAMP, in an interest-earning account with U.S. Bank, and in the California LAIF. As of June 30, cash and cash equivalents were as follows:

Cash and cash equivalent balances are subject to the Local Agency Security Program (LASP) administered by the California Department of Financial Protection and Innovation (DFPI) pursuant to California Government Code, Section 53630 through 53686. The LASP is designed to protect government agency deposits and requires banks holding agency deposits to collateralize deposits in excess of $250,000 with highly rated government securities and/or a letter of credit issued by the Federal Home Loan Deposit Corporation (FHLDC) in amounts equal to 110% and 105% of the agency deposits, respectively. Government securities collateralizing agency deposits are required to be held by third-party trust companies with legal and regulatory obligations to the DFPI. The DFPI is the beneficiary of FHLDC letters of credit collateralizing agency deposits.

CPA’s Board-approved Investment Policy requires that when managing funds, CPA’s primary objectives, in the following order of importance, shall be to (1) safeguard the principal of the funds, (2) meet the liquidity needs of CPA, and (3) achieve a return on investment on funds in CPA’s control. Risk is monitored on an ongoing basis.

CPA maintains cash equivalents in CAMP to earn higher interest rates and have same-day liquidity without penalty. CAMP is a California Joint Powers Authority established in 1989 under provisions of the California Joint Exercise of Powers Act to provide public agencies with professional investment services. CAMP funds are governed by California Government Code 53600, which only allows investments in low-risk eligible securities. CAMP funds are considered government agency deposits and are subject to California’s LASP, which protects agency deposits.

CPA also holds cash equivalents with LAIF, managed by the State Treasurer, for the purpose of increasing interest earnings through pooled investment activities. These funds are not registered with the Securities and Exchange Commission but are required to be invested according to the California Government Code . Participants in the pool include voluntary and involuntary 2026 2025
Cash and cash equivalents held at:

River City Bank $ 247,897,000 $ 94,812,000
California Asset Management Program 149,277,000 199,219,000 Chandler Asset Management 4,011,000 -
U.S. Bank 464,000 3,187,000
California Local Agency Investment Fund 18,000 17,000
Total cash & cash equivalents $ 401,667,000 $ 297,235,000 Agenda Page 99

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
23 3. CASH AND CASH EQUIVALENTS (continued)
participants, such as special districts and school districts for which there are legal provisions regarding their investments. The Local Investment Advisory Board (LIAB) has oversight responsibility for LAIF. LIAB consists of four members as designated by state statute.

Cash and cash equivalents include funds held in the Fiscal Stabilization Fund.

CUSTODIAL CREDIT RISK
Cash and Cash Equivalents
Custodial credit risk for bank deposits is the risk that, in the event of a bank failure, CPA’s deposits may not be returned to it. CPA’s bank deposits are protected by LASP as described in Note 3 and by deposit guarantees provided by the Federal Deposit Insurance Corporation (FDIC) for balances up to $250,000.

As of June 30, 2026 and 2025, none of CPA’s bank balances are known to be individually exposed to material levels of custodial credit risk.

Investments
Custodial credit risk for investments is the risk that, in the event of the failure of the counterparty to a transaction, CPA would not be able to recover the value of the investment or collateral securities that are in possession of an outside party. Investment securities are exposed to custodial credit risk if the securities are uninsured, are not registered in CPA’s name, and are held by the counterparty. CPA does not believe it is exposed to significant custodial credit risk arising from its investments in LAIF and CAMP, or arising from its investments in U.S. Treasuries and other securities held in custodial accounts with U.S. Bank Trust Company, National Association.

4. ACCOUNTS RECEIVABLE
Accounts receivable as of June 30 were as follows:
2026 2025
Accounts receivable from customers $ 189,208,996 $ 205,545,911 Allowance for uncollectible accounts (112,730,040) (108,241,128) Net accounts receivable $ 76,478,956 $ 97,304,782
Agenda Page 100

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
24 4. ACCOUNTS RECEIVABLE (continued)
The majority of account collections occur within the first few months following customer invoicing. CPA estimates that a portion of the billed amounts will not be collected. The allowance for uncollectible accounts at the end of a period includes amounts billed during the current and prior fiscal years.

5. INVESTMENTS

FAIR VALUE MEASUREMENT
GASB Statement No. 72, Fair Value Measurement and Application, sets forth the framework for measuring fair value. That framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 inputs are significant unobservable inputs.

U.S. Treasury securities are classified as Level 1 inputs because they rely on unadjusted, quoted prices in active markets for identical assets.

Other investments, other than non-negotiable certificates of deposits, are classified as Level 2 inputs as they were valued using institutional bond quotes or valuations based on various market inputs.

In instances where inputs used to measure fair value fall into different levels in the above fair value hierarchy, fair value measurements in their entirety are categorized based on the lowest level input that is significant to the valuation. CPA’s assessment of the significance of particular inputs to these fair value measurements requires judgment and considers factors specific to each asset or liability. Deposits and withdrawals from CAMP and LAIF are made on the basis of $1, which is substantially equal to the fair value.

During the fiscal years ended June 30, 2026 and 2025, CPA purchased investments with original maturities of three months or more. As of June 30, the fair value of investments was as follows:

Agenda Page 101

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
25 5. INVESTMENTS (continued)
*The 2025 certificate of deposit (CD) holdings are non-negotiable, non-participating CDs, measured using a cost-based measure, and therefore, were not subject to the GASB 72 fair value hierarchy. The 2026 CD holdings are negotiable, all with original terms of greater than three months and less than one year.

INTEREST RATE RISK
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. CPA’s investments are limited to investment types authorized under its Investment Policy, including LGIP such as LAIF and CAMP; negotiable and non-negotiable certificates of deposit; U.S. Treasury securities; federal agency securities; corporate medium-term notes; asset-backed, mortgage-backed, mortgage pass-through securities, and collateralized mortgage obligations; money market funds; and commercial paper. LGIP shares and/or deposits, U.S. Treasury securities, federal agency securities, corporate medium-term notes, asset-backed securities, and mortgage-backed securities are subject to interest rate risk, as their fair values may fluctuate in response to changes in market interest rates. CPA manages its exposure to declines in fair values of investments by limiting its investments subject to fair value adjustments, restricting its investments to high-quality securities authorized under its Investment Policy, and by limiting the term to maturity of its Treasury investments. LGIP administrators and Chandler Asset Management also manage CPA’s exposure to declines in fair values of investments through diversifying portfolio investments across various maturity terms, restricting investments to high-quality securities, and limiting the term to the maturity of their managed investments. 2026 2025 Level
Current Investments:

Certificates of deposit * $ 1,995,732 $ 70,000,000 2
Commercial Paper 7,832,490 2 -
Total current investments $ 9,828,222 $ 70,000,000
2026 2025 Level
Noncurrent Investments:

U.S. Treasury notes $ 136,982,294 $ 174,258,907 1
Asset-backed securities 17,943,093 2 -
Agency mortgage-backed securities 11,386,938 2 -
Corporate bonds 58,022,754 2 -
Total noncurrent investments $ 224,335,079 $ 174,258,907 Agenda Page 102

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
26 5. INVESTMENTS (continued)
As of June 30, 2026, CPA’s investments were as follows:

As of June 30, 2025, CPA’s investments were as follows:

CREDIT RISK
Credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. Certain investments, such as obligations of the U.S. government or obligations explicitly guaranteed by the U.S. government, are not considered to have credit risk. As of June 30, 2026 and 2025, CPA's investments were rated as follows:

CPA's Investment Policy addresses credit risk and mandates strategies for CPA to mitigate and manage credit risk. CPA's Investment Policy restricts eligible investments to a selection of instruments allowed under Section 53601 of the California Government Code and mandates risk management criteria for those instruments consistent with the requirements of Section 53601.

Investment Type Fair Value Less Than 1 Year 1-5 Years
U.S. Treasury securities $ 136,982,294 $ 136,982,294 - $ Asset-backed securities 17,943,093 - 17,943,093
Agency mortgage-backed securities 11,386,938 - 11,386,938 Corporate bonds 58,022,754 - 58,022,754
Commercial Paper 7,832,490 7,832,490 -
Certificates of deposit 1,995,732 1,995,732 -
Total: $ 234,163,301 $ 9,828,222 $ 224,335,079
Investment Maturities
Investment Type Fair Value Less Than 1 Year 1-5 Years
U.S. Treasury securities $ 174,258,907 $ - $ 174,258,907 Total: $ 174,258,907 $ - $ 174,258,907
Investment Maturities
2026 2025
Asset-backed securities Aaa / AAA None held
Money market funds Aaa / AAAm None held
Agency CMBs Aa1 / AA+ to Aaa / AA+ None held
Corporate bonds A3 / BBB+ to Aa1 / AA None held
Non-negotiable certificates of deposit None held Not Rated Negotiable certificates of deposit P-1 / A-1+ None held Commercial paper P-1 / A-1 to P-1 / A-1+ None held
Moody's / S&P Rating
Agenda Page 103

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
27 5. INVESTMENTS (continued)

CONCENTRATION OF CREDIT RISK
Concentration of credit risk is the risk of loss to the magnitude of CPA’s investment in a single issuer. CPA manages the concentration of credit risk by diversifying its portfolio so that reliance on any one issuer will not place an undue burden on CPA.

As of June 30, 2026 and 2025, there were no concentrations of credit risk.

6. LEASE
Property Lease
CPA entered into an agreement to lease approximately 11,000 square feet of office space in Los Angeles, California, for 8 years, commencing in March 2021. Monthly base rent payments were approximately $32,000 in the first year of the lease and are subject to 3% annual rent escalations on each anniversary of lease commencement. The lease expires in February 2029. CPA also pays a pro-rata share of operating expenses and property taxes, which are not included in the measurement of the lease liability as they are variable in nature. The Company paid $23,000 in variable costs for both FY2025-26 and FY2024-2025.

As of June 30, 2026, the Company has reported $1,053,000 in right-of-use (ROU) intangible assets, net of amortization, and $1,377,000 in lease liabilities related to this agreement.

Amortization expense was $383,000 and interest expense was $39,000 for the right to use the office space during the fiscal year.

As of June 30, 2025, the Company has reported $1,436,000 in right-of-use (ROU) intangible assets, net of amortization, and $1,829,000 in lease liabilities related to this agreement. For the right to use the office space during the fiscal year, amortization expense was $383,000, and interest expense was $50,000.

CPA has the option to extend the lease for two additional years. The table below represents the future lease principal and interest payments under this agreement.

Year ended June 30, Principal Interest Total
2027 $ 477,612 $ 27,860 $ 505,472
2028 504,535 16,101 520,636
2029 395,199 3,998 399,197
$ 1,377,346 $ 1,425,305 47,959 $
Agenda Page 104

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
28 6. LEASE (continued)
Storage Contract Arrangements
In providing electricity to its customers, CPA has entered into three stand-alone energy storage agreements and nine co-located solar and energy storage agreements, all of which achieved commercial operation as of June 2026. Stand-alone energy storage assets receive charging energy from the grid. Collocated energy storage assets receive charging energy from collocated solar facilities. Through these agreements, CPA obtains the right to control certain aspects of the nature, manner, and use of the underlying storage facilities. The monthly payments made by CPA are variable and based on the performance of the underlying assets, including the plant’s available capacity, operating charging efficiency, and the seller’s responsiveness to CPA’s charging and discharge instructions. The variable payments under energy storage agreements are recognized as part of the cost of energy in the Statement of Revenues, Expenses, and Changes in Net Position.

Variable payments for storage under stand-alone energy storage and collocated solar and energy storage agreements totaled approximately $133,017,000 and $106,188,000 in FY 2025-26 and FY 2024-25, respectively.

7. CAPITAL ASSETS
Capital asset activities for the years ended June 30, 2026 and 2025, were as follows:

Balances at
June 30, 2025 Additions Dispositions
Balances at
June 30, 2026
Capital assets
Office equipment $ 25,236 $ - $ - $ 25,236
Computer equipment 483,997 225,871 (124,441) 585,427
Website/App development 315,102 - - 315,102
Leasehold improvements 436,985 - - 436,985
Intangible assets-office lease 3,095,195 - 3,095,195 -
Total capital assets 4,356,515 225,871 (124,441) 4,457,945 Less accumulated depreciation & amortization
Office, computer, leasehold, and website (914,513) (46,734) - (961,247) Intangible assets-office lease (1,659,268) (382,908) (2,042,176) - Total accumulated depreciation & amortization (2,573,781) (429,642) (3,003,423) - Total capital assets, net of depreciation & amortization $ 1,782,734 $ (203,771) (124,441) $ 1,454,522 Agenda Page 105

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
29 7. CAPITAL ASSETS (continued)
Depreciation and amortization expenses are included under general and administration on the Statements of Revenues, Expenses, and Changes in Net Position.

8. DEBT
JPMorgan Chase Bank Credit Facility
In September 2021, CPA entered into an $80 million revolving credit agreement with JPMorgan Chase Bank, N.A. The agreement provides a revolving borrowing and letter-of-credit facility that may be used for working capital and collateral requirements. The facility was subsequently amended to increase the available amount to $160 million in June 2023 and reduce the available amount to $120 million in May 2025. In March 2026, the agreement was amended to extend its maturity date from March 31, 2026, to March 31, 2028.

As of June 30, 2026 and 2025, CPA had no borrowings outstanding under the credit facility and was in compliance with all applicable covenants.

As of June 30, 2026, and 2025, CPA had outstanding letters of credit totaling $488,000 and $5,647,000, respectively. Outstanding letters of credit reduce the amount available for borrowing under the facility.

9. DEFINED CONTRIBUTION RETIREMENT PLAN
The Clean Power Alliance of Southern California Plan (Plan) is a defined contribution retirement plan established by CPA to provide retirement benefits to its employees. The Plan is administered Balances at
June 30, 2024 Additions Dispositions
Balances at
June 30, 2025
Capital assets
Office equipment $ 15,053 $ 10,183 $ - $ 25,236
Computer equipment 483,997 - - 483,997
Website/App development 315,102 - - 315,102
Leasehold improvements 436,985 - - 436,985
Intangible assets-office lease 3,095,195 - 3,095,195 -
Total capital assets 4,346,332 10,183 4,356,515 -
Less accumulated depreciation & amortization
Office, computer, leasehold, and website (680,064) (234,449) - (914,513) Intangible assets-office lease (1,276,360) (382,908) (1,659,268) - Total accumulated depreciation & amortization (1,956,424) (617,357) (2,573,781) - Total capital assets, net of depreciation & amortization $ 2,389,908 $ (607,174) -$ $ 1,782,734 Agenda Page 106

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
30 9. DEFINED CONTRIBUTION RETIREMENT PLAN (continued)
by Nationwide Retirement Solutions. Currently, the employer contribution is 6% of the employee’s salary plus an additional 4% employer match contribution for a maximum annual employer contribution to the Plan equal to 10% of the employee’s salary. As of June 30, 2026 and 2025, there were 97 and 85 plan members, respectively. CPA contributed $1,774,000 and $1,538,000 during the years ended June 30, 2026 and 2025, respectively. Plan provisions and contribution requirements are established and may be amended by the Board of Directors.

10. RISK MANAGEMENT
CPA is exposed to various insurable risks of loss related to torts, theft of, damage to, and destruction of assets, and errors and omissions. During the year, CPA purchased insurance policies from investment-grade commercial carriers to mitigate risks that include those associated with earthquakes, theft, general liability, errors and omissions, crime and cybercrime, and property damage. Settled claims have not exceeded CPA’s commercial liability insurance coverage in any of the past three years. There were no significant reductions in coverage compared to the prior year.

On July 12, 2018, CPA’s Board adopted the Energy Risk Management Policy (ERMP). The ERMP establishes CPA’s Energy Risk Program and applies to all power procurements and related business activities that may impact CPA's risk profile. The ERMP documents the framework by which CPA’s staff and consultants will identify and quantify risk, develop and execute procurement strategies, develop controls and oversight, monitor, and measure and report on the effectiveness of the CPA’s Energy Risk Program. Risks covered by the ERMP include market price risk, credit risk, volumetric risk, operational risk, opt-out risk, legislative and regulatory risk, and other risks arising from operating as a Community Choice Aggregation and participating in California energy markets. The Board approved updates to the ERMP in July 2019, July 2020, July 2021, July 2022, July 2023, July 2024, July 2025, and July 2026.

CPA maintains other risk management policies, procedures, and systems that help mitigate and manage credit, liquidity, financial, regulatory, and other risks not covered by the ERMP. Credit guidelines include a preference for transacting with investment-grade counterparties, evaluating counterparties’ financial condition, and assigning credit limits as applicable. These credit limits are established based on risk and return considerations under terms customarily available in the industry. In addition, CPA enters into netting arrangements whenever possible and, where appropriate, obtains collateral and other performance assurances from counterparties.

Agenda Page 107

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
31 11. PURCHASE AND SALE COMMITMENTS

POWER AND ELECTRIC CAPACITY
In the ordinary course of business, CPA enters into various power purchase and energy storage agreements in order to acquire renewable and other energy and electric capacity. The price and volume of purchased power may be fixed or variable. Variable pricing is generally based on the market price of electricity on the date of delivery. Variable volume is generally associated with contracts to purchase energy from as-available resources such as solar, wind, and hydroelectric facilities.

CPA enters into power purchase and energy storage agreements in order to comply with state law and elective targets for renewable and greenhouse gas (GHG) free products and to ensure stable and competitive electric rates for its customers.

The following tables represent the expected, undiscounted contractual commitments for energy storage, power, and electric capacity outstanding as of June 30, 2026:

Totals are rounded to the nearest thousand.

FY25-26 Purchase Commitments
Year ended June 30,
2027 $ 994,126,000
2028 968,019,000
2029 920,421,000
2030 897,729,000
2031 889,501,000
2032 to 2036 4,321,109,000
2037 to 2041 3,350,337,000
2042 to 2046 1,702,112,000
2047 to 2050 95,755,000
$ 14,139,109,000
Agenda Page 108

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
32 11. PURCHASE AND SALE COMMITMENTS (continued)

Totals are rounded to the nearest thousand.

As of June 30, 2026, CPA had non-cancellable contractual commitments to contract and professional service providers through December 31, 2029, for services yet to be performed. The associated costs with these contracts are based on volumetric activity and are expected to be approximately $14 million.

12. JOINT VENTURE
In July 2022, CPA’s Board of Directors authorized CPA to join California Community Choice Financing Authority (CCCFA) as a founding member. CPA joined CCCFA in September 2022 and participates in the Joint Powers Agreement with CCCFA along with other founding members (Central Coast Community Energy, Ava Community Energy, MCE, and Silicon Valley Clean Energy). Other CCAs are associate members, receiving the benefits of CCCFA but are not represented on the CCCFA Board of Directors. CCCFA was created on June 25, 2021, and its financial statements are available online at http://www.cccfa.org/keydocuments.html.

CCCFA was formed as a conduit issuer to assist its members by undertaking the financing or refinancing of energy prepayments on behalf of one or more of the members by, among other things, issuing or incurring tax-advantaged bonds and entering into related contracts with its members. No debt, liability, or obligation of CCCFA is considered a debt, liability, or obligation of any member of CCCFA. Any debt or liability incurred by CCCFA on behalf of a member to prepay for renewable energy is not a debt or liability of that member. Furthermore, the assets of CCCFA in the form of prepaid energy or reserves held by the respective bond trustees for any prepayment transaction undertaken on behalf of a member do not constitute an asset or reserve of that member.

FY25-26 Sales Commitments
Year ended June 30,
2027 $ (45,055,000)
2028 (13,710,000)
2029 (5,789,000)
2030 (273,000)
2031 -
2032 to 2036 -
2037 to 2041 -
2042 to 2046 -
2047 to 2050 -
$ (64,827,000)
Agenda Page 109

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
33 12. JOINT VENTURE (continued)
Each member of CCCFA is responsible for paying an equal portion of CCCFA’s general and administrative operating costs as determined by its board. During the year ending June 2026, CPA contributed approximately $30,000 to CCCFA to assist in its operating activities. No contributions were requested by CCCFA during the year ending June 2025.

The following Clean Energy Revenue Bonds were issued by CCCFA on behalf of CPA.

The proceeds were used to finance energy purchases that will flow to CPA over a 30-year term.

CPA will purchase energy from CCCFA in the same manner as CPA purchases energy from other suppliers. The outstanding purchase commitments related to these financings are included in Note

11. 13. FUTURE GASB PRONOUNCEMENT
The requirements of the following GASB Statement are effective for future fiscal years ending after June 30, 2026
GASB No. 105, Subsequent Events
Management is evaluating the effects of implementing these statements.

14. SUBSEQUENT EVENTS
New Community Enrollments
In October 2027, CPA will begin providing electric service to 11,000 additional customer accounts located in Fillmore and Cudahy.

Description Issued/Closed Principal Amount Maturity Type Underwriter Prepay Bond #1 2/23/2023 $ 998,780,000 10/1/2031 Series 2023C (Green Bonds) Goldman Sachs Prepay Bond #2 6/15/2023 958,290,000 11/1/2028 Series 2023D (Green Bonds) Goldman Sachs Prepay Bond #3 8/27/2024 1,524,180,000 12/1/2032 Series 2024B (Green Bonds) Goldman Sachs Prepay Bond #4 11/14/2024 1,152,995,000 9/1/2032 Series 2024D (Green Bonds) RBC Prepay Bond #5 12/20/2024 1,290,750,000 8/1/2033 Series 2024H (Green Bonds) Goldman Sachs Prepay Bond #6 2/27/2026 962,915,000 3/1/2036 Series 2026B (Green Bonds) Morgan Stanley $ 6,887,910,000
Agenda Page 110

CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA

NOTES TO THE BASIC FINANCIAL STATEMENTS
YEARS ENDED JUNE 30, 2026 AND 2025
34 14. SUBSEQUENT EVENTS (continued)
Clean Energy Bonds
On October 19, 2026, CCCFA issued the Series 2026I Bond on behalf of CPA in the par amount of $1,442,515,000. The proceeds were used to finance energy purchases that will flow to CPA over a 30-year term, pursuant to the transaction's Clean Energy Purchase Contract. CPA will purchase energy from CCCFA in the same manner as CPA purchases energy from other suppliers.

The Series 2026I prepay transaction is expected to provide energy cost savings to CPA of $91 million over the initial seven-year period of the bond, or approximately $13.0 million annually.

CPA will begin to receive energy cost savings resulting from the Series 2026B prepay transaction in January 2027.

Agenda Page 111
FY 2025-26 Budget FY 2025-26 Actual FY 2025-26 Budget Variance (Under) Over FY 2025-26 Actual/Budget % FY 2025-26 Remaining Budget FY 2025-26 Remaining Budget % Operating revenues Revenue - electricity, net $ 1,319,740,840 $ 1,188,791,451 $ (130,949,389) -10% $ 130,949,365 10% Revenue transferred from/(to) Fiscal Stabilization Fund - (85,000,000) (85,000,000) 100% - Other revenues 4,514,184 4,110,940 (403,244) -9% 403,244 9% Total operating revenues 1,324,255,024 1,107,902,391 (216,352,633) -16% 131,352,609 10% Energy costs Energy procurement 1,207,444,000 1,026,893,820 (180,550,180) -15% 180,550,180 15% Total energy costs 1,207,444,000 1,026,893,820 (180,550,180) -15% 180,550,180 15% Operating revenues less energy costs 116,811,024 81,008,571 (35,802,453) -31% (49,197,570) -42% Operating Expenditures Staffing 27,846,000 26,052,748 (1,793,252) -6% 1,793,252 6% Technical services 2,465,000 1,417,247 (1,047,753) -43% 1,047,753 43% Legal services 1,542,000 762,493 (779,507) -51% 779,507 51% Other professional services 2,802,000 1,229,594 (1,572,406) -56% 1,572,406 56% Communications and outreach 6,079,000 5,113,465 (965,535) -16% 965,535 16% Mailers 1,425,000 773,211 (651,789) -46% 651,789 46% Billing data manager 12,279,000 11,882,661 (396,339) -3% 396,339 3% SCE services 2,404,000 1,359,048 (1,044,952) -43% 1,044,952 43% Customer programs 14,425,000 6,709,410 (7,715,590) -53% 7,715,590 53% General and administrations 5,836,000 3,871,680 (1,964,320) -34% 1,964,320 34% Total operating expenditures 77,103,000 59,171,557 (17,931,443) -23% 17,931,443 23% Operating income 39,708,024 21,837,014 (17,871,010) -45% (67,129,013) Non-operating revenues (expenditures) Interest income 26,568,000 19,670,900 (6,897,100) -26% 6,897,100 Finance and interest expense (1,176,000) (460,299) 715,701 -61% (715,701) 61% Total non-operating revenues (expenditures) 25,392,000 19,210,601 (6,181,399) -24% 6,181,399 Change in net position 65,100,024 41,047,614 (24,052,409) -37% (60,947,614) Other uses Capital outlay 338,000 101,430 (236,570) -70% 236,570 70% Depreciation and Amortization (617,000) (553,450) 63,550 -10% (63,550) 10% Total other uses (279,000) (452,020) (173,020) 62% 173,020 Change in fund balance $ 65,379,024 $ 41,499,634 $ (23,879,390) -37% $ (61,120,633) CLEAN POWER ALLIANCE OF SOUTHERN CALIFORNIA BUDGETARY COMPARISON SCHEDULE FOR TWELVE MONTHS ENDED JUNE 30, 2026 Agenda Page 112
Presentation of
FY 2025-26 Financial Results
October 28, 2026
Agenda Page 113
Summary
CPA received a “clean” audit opinion of its financial results for the fiscal year ending June 30, 2026 (FY 2025-26) from its auditor, Baker Tilly CPA’s FY 2025-26 financial results were impacted by:
• An interim decrease in retail rates in that went into effect in February 2026 • Mild weather conditions
• Lower than budgeted market prices for energy
CPA deferred $85M of revenues to the Fiscal Stabilization Fund (FSF) CPA was within budget limits for all budget expense line items CPA increased its reserves and liquidity by $41 million and $98 million, respectively Days Liquidity on Hand (DLOH)* and the Reserve Percentage** increased to 253 days and 67% respectively as of June 30, 2026
2 *Days liquidity on hand is calculated as the sum of available cash including investments and available line of credit, divided by expenses for the 12 trailing months, divided by 365. The target range described in the Reserve Policy is 150 to 240. ** Reserve percentage is calculated as the sum of net position and FSF divided by the fiscal year's expenses for the trailing 12 months. The target range described in the Reserve Policy is 30-50%, with a maximum reserve of 60%.

Agenda Page 114
Balance Sheet Components, as of June 30:
3 The sum of cash and cash equivalents (row 1), and current and non-current investments (rows 2 and 12 respectively) increased by $94M (17%) year-over-year.

Accounts receivable (row 3) decreased by $21M (21%) year-over-year reflecting lower retail rates and reduced energy sales because of lower customer demand for heating and cooling due to mild temperatures.

Prepaid expenses and other assets (row 7) increased by $43M year-over-year primarily due to an increase in renewable energy delivered but not yet consumed by customers.

Agenda Page 115
Balance Sheet Components, as of June 30:
4 Accrued cost of electricity (row 2) was $20M or 19% less as of June 30, 2026 compared to June 30 of the prior year, a result of lower energy costs overall.

Agenda Page 116
5 Balance Sheet Components, as of June 30:

Net position increased by $41M (9%) and the Fiscal Stabilization Fund (FSF) increased by $85M (63%) representing an increase in Reserves of $126M (21%).

Agenda Page 117
Cash Flow FY 2025-26
6 CPA’s cash from operating activities reflects
the net operating income adjusted by
changes in assets and liabilities
CPA used approximately $1M of cash for
financing activities (row 9) comprised of
payments for equipment and office lease
interest and principal
Investing activities generated $31M in cash
consisting of the net sale of investments
(row 10) and interest income (row 12)
Decrease in accounts receivable (row 3)
reflects the year-over-year rate reduction
and improved customer payment trends
Sale of investments (row 10) reflects sales
of Certificates of Deposit the proceeds of
which were invested in the California Asset
Management Program (CAMP). Investments
in CAMP are recorded as cash & equivalents
Agenda Page 118
Select Financial Indicators
Days Liquidity on Hand increased from 180 to 253 days, reflecting higher unrestricted cash and long term investment balances, which is above the Reserve Policy target range of 150 to 240 DLOH Margins decreased, largely due to revenue deferral to the FSF Reserves increased to 67% at the end of FY 2025-26, exceeding the 60% maximum defined in CPA’s Financial Reserves Policy
• Consistent with the Policy, the current Board approved rates plus potential future rate adjustments are projected to reduce Reserves and DLOH over time
Agenda Page 119
7 Budget to Actual Analysis
Operating revenue (row 1) were $131M (10%) under budget due to a decrease in retail rates in February 2026 and milder weather conditions than expected, which reduced electricity consumption and revenue
Operating Revenue (row 1) includes an allowance for doubtful accounts of $4.5M $85M was transferred to the FSF to support future years’ rates and revenues (Row 2) Other revenues (row 3) arise primarily from funding received through the California Public Utilities Commission (CPUC) to offset Power Share Program costs Agenda Page 120
8 Budget to Actual Analysis
Energy procurement costs (row 5) were $181M (15%) lower than budget due to the non utilization of contingencies, mild weather conditions, and lower than budgeted market prices.

Operating revenues less energy costs (row 7) were $36M (31%) lower than budgeted, due in part to the transfer to the FSF pursuant to the FSF Policy.

Agenda Page 121
9 Budget to Actual Analysis
Operating expenses (row 18) were $18M (23%) under budget, due primarily to unused contingencies, timing of new position hires, lower SCE service fees, fewer consultant engagements than budgeted, and timing of customer programs spending (shifted to future periods)
CPA was within budget limits for all budget expense line items Agenda Page 122
10 Budget to Actual Analysis
Lower than budgeted interest income (row 20) arises from a fair market value adjustment of - $2.8M, and less cash to invest than forecasted in the budget The change in net position (row 23) for FY 2025-26 was $24M (37%) below budget, due to the $85M transfer to the FSF. Absent the FSF transfer, the change in net position would have been $126M, or $61M (94%) more than budget, reflecting strong financial performance for the year
Agenda Page 123
11 Questions?
Agenda Page 124
Staff Report – Agenda Item 6
To: Finance Committee
From: David McNeil, Chief Financial Officer
Subject: Report from the Chief Financial Officer
Date: October 28, 2026
The CFO will provide an oral update on CPA’s financial operations.

Agenda Page 125

Clean Power Alliance Finance CommitteeOctober 28, 2026

Clean Power Alliance Finance Committee
October 28, 2026