Laguna Woods City Council
October 21, 2026

CITY of LAGUNA WOODS

CITY COUNCIL
AGENDA
Regular Meeting
Wednesday, October 21, 2026
2:00 p.m.

Laguna Woods City Hall
24264 El Toro Road
Laguna Woods, CA 92637
www.zoomgov.com ● Meeting ID: 161 548 2089 ● Passcode: 24264 Pearl Lee
Mayor Pro Tem
Cynthia Conners
Councilmember
Annie McCary
Mayor
Shari L. Horne
Councilmember
Carol Moore
Councilmember
Welcome to a meeting of the Laguna Woods City Council!
AMERICANS WITH DISABILITIES ACT (“ADA”) NOTICE
The City of Laguna Woods (“City”) intends to comply with the ADA.

The public portions of this meeting will be held in the Council Chambers at Laguna Woods City Hall.

The Council Chambers is equipped with a hearing loop that can be used by individuals with t-coil or telecoil-enabled hearing aids or cochlear implants. No request for disability-related modification or accommodation is required to use the hearing loop.

Individuals who require disability-related modifications or accommodations to participate in this meeting – including, but not limited to, auxiliary aids or services – may request such modifications or accommodations by emailing [email protected] or calling the City Clerk’s Office at (949) 639-0500. Requests can also be made with the assistance of the California Relay Service by calling (800) 735-2929/TTY (800) 735-2922. The City requests at least two business days’ notice to effectively facilitate the provision of reasonable modifications or accommodations.

REGULAR MEETING SCHEDULE
The Laguna Woods City Council meets regularly on the third Wednesday of each month at 2 p.m.

AGENDA POSTING AND AVAILABILITY
Regular and Adjourned Regular Meetings: Pursuant to California Government Code Section 54954.2, the City of Laguna Woods posts agendas at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637; on the City of Laguna Woods’ website (www.lagunawoods.gov); and, at other locations designated by Resolution No. 24-08, at least 72 hours in advance of regular and adjourned regular meetings. Agendas and agenda materials are available at Laguna Woods City Hall during normal business hours and on the City of Laguna Woods’ website. Printed copies of agendas and agenda materials are provided at no charge in advance of meetings. After meetings have occurred, a per page fee is charged for printed copies except when prohibited by law.

Special and Emergency Meetings: Agenda posting and availability for special and emergency meetings is conducted pursuant to all applicable provisions of California Government Code.

AGENDA DISTRIBUTION LISTS
Electronic Distribution: The City of Laguna Woods provides notification of agenda posting and availability via email. To sign up for email notifications, visit www.lagunawoods.gov/emailnotifications, email [email protected], or contact the City Clerk’s Office at (949) 639-0500.

Please note that the City of Laguna Woods is not responsible for, and makes no guaranties or warranties related to, the transmission or receipt of email notifications.

Mail Distribution: The City of Laguna Woods is able to mail agendas and/or agenda materials if provided with advance payment for postage and printing (if applicable). To request mail distribution, please email [email protected] or contact the City Clerk’s Office at (949) 639-0500.

FOR ADDITIONAL INFORMATION
For additional information regarding this agenda, please contact the City Clerk’s Office at (949) 639- 0500, [email protected], or 24264 El Toro Road, Laguna Woods, CA 92637.

AFFIDAVIT OF POSTING

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, Yolie Trippy, City Clerk, City of Laguna Woods, hereby certify under penalty of perjury that this agenda was posted at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637; on the City’s website (www.lagunawoods.gov); and, at other locations designated by Resolution No. 24- 08, pursuant to California Government Code Section 54954.2. /s/ Yolie Trippy 10/16/26
YOLIE TRIPPY, CMC, City Clerk Date
Laguna Woods City Council Agenda  10/21/2026 Regular Page 3 of 10 I. CALL TO ORDER
Introductory Notes: Members of the public may provide public comments and testimony during this meeting in person, in writing, or remotely using Zoom. The Laguna Woods City Council Guide to Public Participation – which is included in the agenda packet for this meeting immediately following the agenda – contains additional information on how to provide public comments and testimony.

Each speaker will have the opportunity to speak for up to three minutes once per agenda item, unless otherwise stipulated by the City Council. Speakers may not yield their time, or any portion thereof, to any other speaker.

Speakers are requested, but not required, to identify themselves.

To ensure each speaker is provided with an uninterrupted opportunity to speak for the full time allotted, the City Council and City staff are asked to reserve any responses they wish to make to public comments until after each speaker has completed their comments. For public hearings, the City Council and City staff are asked to reserve any responses they wish to make to public testimony until after the public hearing is closed.

II. ROLL CALL
III. PLEDGE OF ALLEGIANCE
IV. PRESENTATIONS AND CEREMONIAL MATTERS

4.1 California Senate Bill 897 (2025-2026) and California Assembly Bill 113 (2025-2026) – Senator Steven Choi, Ph.D.

Recommendation: Receive and file.

4.2 Legislative Update – Assemblymember Diane Dixon
Recommendation: Receive and file.

4.3 Senior Mobility Program Annual Report – Fiscal Year 2025-26 Recommendation: Receive and file.

V. PUBLIC COMMENTS ON NON-AGENDA ITEMS

About Public Comments on Non-Agenda Items: This is the time and place for members of the public to address the City Council on items not appearing on this agenda. As a reminder, each speaker will have the opportunity to speak once for up to three minutes, unless otherwise stipulated by the City Council.

Please note that, pursuant to state law, the City Council is unable to take action on or discuss items not appearing on this agenda, but may briefly respond to statements made or questions posed by speakers. The City Council may also refer items to City staff for follow up or response, request that City staff report back to the City Council at a subsequent meeting concerning items, or direct City staff to place items on a future agenda.

VI. CITY TREASURER’S REPORT

6.1 City Treasurer’s Report
Recommendation: Receive and file the City Treasurer’s Report for the month of September 2026.

VII. CONSENT CALENDAR
About the Consent Calendar: All items appearing on the consent calendar are considered by the City Manager to be routine and will be enacted by one vote.

There will be no separate discussion of these items unless a member of the City Council or City staff requests that specific items be removed from the consent calendar for separate discussion and consideration of action.

Members of the public may address the City Council on any item appearing on the consent calendar at the time the item is considered, regardless of whether or not the item has been removed from the consent calendar.

Items that are removed from the consent calendar will be considered after the items remaining on the consent calendar.

7.1 City Council Minutes
Recommendation: Approve the City Council meeting minutes for the regular meeting on September 16, 2026.

7.2 Payment Register
Recommendation: Approve the payment register dated October 21, 2026 Laguna Woods City Council Agenda  10/21/2026 Regular Page 5 of 10 in the amount of $739,232.76.

7.3 Investment of Financial Assets Policy and Related Committees Recommendation:

1. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, REVIEWING AND ADOPTING AN ANNUAL

STATEMENT OF THE INVESTMENT POLICY, ADOPTING A NEW

INVESTMENT POLICY, ELIMINATING THE INVESTMENT POLICY
REVIEW COMMITTEE, AND RENEWING THE CITY COUNCIL’S

DELEGATION OF INVESTMENT AUTHORITY TO THE CITY TREASURER PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 53607
AND

2. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA
WOODS, CALIFORNIA, ADOPTING ADMINISTRATIVE POLICY 1.6

PERTAINING TO THE ESTABLISHMENT AND OPERATION OF AN

INVESTMENT COMMITTEE OF THE CITY COUNCIL

7.4 Federal and State Disaster Assistance
Recommendation: Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA
WOODS, CALIFORNIA, REPEALING RESOLUTION NO. 23-04 AND

MAKING DESIGNATIONS AND AUTHORIZATIONS RELATED TO

APPLICATIONS, ASSURANCES, AND AGREEMENTS FOR FEDERAL

AND STATE DISASTER FINANCIAL ASSISTANCE AND GRANT

PROGRAMS INCLUDING, BUT NOT LIMITED TO, AUTHORIZING THE

COMPLETION, EXECUTION, AND FILING OF THE CALIFORNIA
GOVERNOR’S OFFICE OF EMERGENCY SERVICES’ DESIGNATION OF APPLICANT’S AGENT RESOLUTION FOR NON-STATE AGENCIES
(OES-FPD-130) FORM

7.5 Conflict of Interest Code
Recommendation: Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, DETERMINING THAT NO CHANGES IN THE
CONFLICT OF INTEREST CODE ADOPTED BY RESOLUTION NO. 18-27

ARE NECESSARY FOLLOWING THE REVIEW REQUIRED BY
CALIFORNIA GOVERNMENT CODE SECTION 87306.5

7.6 Catch Basin Maintenance Services
Recommendation: Approve an extension of the agreement with United Storm Water, Inc. for catch basin maintenance services and authorize the City Manager to execute the extension, subject to approval as to form by the City Attorney.

7.7 Hazardous Waste Handling Services
Recommendation:

1. As permitted by Laguna Woods Municipal Code Section 3.06.100(b), waive the competitive bidding requirements set forth in Laguna Woods Municipal Code Section 3.06.080(c) for an extension of the agreement with WM Curbside, LLC for hazardous waste handling services;

2. Ratify the City Manager’s one-month extension of the agreement with WM Curbside, LCC for hazardous waste handling services, from October 1, 2026 through October 31, 2026; and

3. Approve an extension and amendment of the agreement with WM Curbside, LLC for hazardous waste handling services and authorize the City Manager to execute the extension and amendment, subject to approval as to form by the City Attorney.

7.8 Pedestrian Accessibility Improvement Project: Phase 10 Recommendation:

1. Approve the Pedestrian Accessibility Improvement Project: Phase 10 plans and specifications as prepared by the project engineer;

2. Approve a notice of exemption for the Pedestrian Accessibility Improvement Project: Phase 10 finding that the project is categorically exempt from the California Environmental Quality Act (“CEQA”) and authorize the City Manager to cause the notice of exemption to be filed pursuant to applicable law; and

3. Award a contract agreement to Van Engineering, Inc. for the construction of the Pedestrian Accessibility Improvement Project:

Laguna Woods City Council Agenda  10/21/2026 Regular Page 7 of 10 Phase 10, in the amount of $129,974.00, plus authorized change orders not to exceed 10% ($12,997.40) of the base amount; and authorize the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

7.9 Woods End Wilderness Preserve Trail Drainage and Improvement Project Recommendation: Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, AMENDING AND ADOPTING THE FISCAL YEAR 2026-27 BUDGET FOR FISCAL YEAR 2026-27 COMMENCING JULY 1, 2026 AND ENDING JUNE 30, 2027, INCREASING GENERAL FUND

AND CAPITAL PROJECTS FUND APPROPRIATIONS FOR THE WOODS

END WILDERNESS PRESERVE TRAIL DRAINAGE AND IMPROVEMENT

PROJECT

7.10 Traffic Signal Interconnect Conduit License Agreement Recommendation: Approve a license agreement with the City of Laguna Hills (the “El Toro Road and Moulton Parkway Traffic Signal Interconnect Conduit License Agreement”), granting the City of Laguna Hills a license to use a designated portion of the City of Laguna Woods’ signal interconnect conduits to install the City of Laguna Hills’ own fiber optic cable to connect the northern area of the City of Laguna Hills’ traffic signal network to the remainder of the City of Laguna Hills’ network, and authorize the City Manager to execute the license agreement, subject to approval as to form by the City Attorney.

7.11 Public Safety Grant Program
Recommendation: Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, ADOPTING MODIFICATIONS TO
ADMINISTRATIVE POLICY 5.1 PERTAINING TO THE ESTABLISHMENT

OF A PUBLIC SAFETY GRANT PROGRAM AND RELATED FUNDING

PROGRAMS, AND MODIFYING ALLOCATIONS OF EXISTING FISCAL
YEARS 2025-26 AND 2026-27 GENERAL FUND BUDGET

APPROPRIATIONS TO FUNDING PROGRAMS
VIII. PUBLIC HEARINGS

8.1 Objective Design Standards for Commercial Development Recommendation:

1. Receive staff report;

2. Open public hearing;

3. Receive public testimony;

4. Continue the public hearing to the regular meeting of the City Council on November 18, 2026 at 2 p.m. at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637; and

5. Approve the introduction and first reading of an ordinance – read by title with further reading waived – titled:

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAGUNA
WOODS, CALIFORNIA, ADDING SECTION 13.22.060 TO CHAPTER

13.22 OF TITLE 13 (ZONING) OF THE LAGUNA WOODS MUNICIPAL

CODE PERTAINING TO THE ESTABLISHMENT OF OBJECTIVE DESIGN STANDARDS FOR COMMERCIAL DEVELOPMENT; ADOPTING

OBJECTIVE DESIGN STANDARDS FOR COMMERCIAL DEVELOPMENT

IN THE COMMUNITY COMMERCIAL (CC), NEIGHBORHOOD

COMMERCIAL (NC), AND PROFESSIONAL AND ADMINISTRATIVE
OFFICE (PA) ZONING DISTRICTS; AND, DETERMINING AND

CERTIFYING THAT THE ORDINANCE IS EXEMPT FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT

8.2 Sign Program Amendment SP-2026-0002, a request by Philip Del Rio on behalf of The Artist Tree for approval of a sign program amendment to amend Sign Program SP-547 to allow for various additional and modified signage at 24330 El Toro Road, Laguna Woods, CA 92637
Recommendation:

1. Receive staff report;

2. Open public hearing;

3. Receive public testimony;

4. Close public hearing; and

5. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, APPROVING SIGN PROGRAM AMENDMENT
SP-2026-0002, TO AMEND SIGN PROGRAM SP-547, TO ALLOW FOR VARIOUS ADDITIONAL AND MODIFIED SIGNAGE AT 24330 EL TORO ROAD, LAGUNA WOODS, CA 92637, AND DETERMINING AND
Laguna Woods City Council Agenda  10/21/2026 Regular Page 9 of 10

CERTIFYING THAT THE RESOLUTION IS EXEMPT FROM THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
IX. CITY COUNCIL BUSINESS

9.1 Cannabis Microbusinesses
(agendized by Councilmember Horne)
Recommendation:

1. Direct the City Manager to draft an ordinance for future consideration by the City Council that would – if adopted by the City Council at a future meeting – authorize the operation of cannabis microbusinesses (California Department of Cannabis Control License Type 12) of less than 2,000 square feet that engage in the manufacturing (use of nonvolatile solvents, mechanical extraction, and/or infusion only; no volatile solvent extraction), distribution, and non-storefront retail sale (delivery only; no in-person transactions) of cannabis and cannabis products. No cultivation of cannabis would be allowed.; and

2. Direct the City Manager to draft a resolution for future consideration by the City Council that would – if adopted by the City Council at a future meeting – set the rate of the cannabis business tax authorized by Measure T (Ordinance No. 22-01) for microbusinesses at the higher of the following: (a) 10% of gross receipts received or generated from sales for each monthly reporting period, or (b) $35.00 per square foot of floor area (annual tax rate) prorated monthly to one-twelfth of the annual tax rate amount.

X. CITY COUNCIL REPORTS AND COMMENTS
About City Council Reports and Comments: This is the time and place for members of the City Council to provide reports on meetings attended including, but not limited to, meetings of regional boards and entities to which they have been appointed to represent the City of Laguna Woods and meetings attended at the expense of the City of Laguna Woods pursuant to California Government Code Section 53232.3. Members of the City Council may also make other comments and announcements.

10.1 Coastal Greenbelt Authority
Mayor McCary, First Alternate: Mayor Pro Tem Lee, Second Alternate:

Councilmember Conners

10.2 Orange County Fire Authority
Councilmember Horne

10.3 Orange County Library Advisory Board
Councilmember Moore; Alternate: Mayor McCary

10.4 Orange County Mosquito and Vector Control District Mayor Pro Tem Lee

10.5 San Joaquin Hills Transportation Corridor Agency
Councilmember Conners; Alternate: Mayor Pro Tem Lee

10.6 South Orange County Watershed Management Area
Councilmember Moore; Alternate: Mayor McCary

10.7 Other Comments and Reports
• League of California Cities (Cal Cities) Annual Conference & Expo, September 23-25, 2026 – Mayor McCary, Mayor Pro Tem Lee, and Councilmember Moore
• Other Comments and Reports
XI. CLOSED SESSION
Closed Session Note: While members of the public are not permitted to attend closed session, prior to convening in closed session, the City Council will accept public comments on items appearing on the closed session agenda.

XII. CLOSED SESSION REPORT
XIII. ADJOURNMENT
Next Regular Meeting: Wednesday, November 18, 2026 at 2 p.m.

Laguna Woods City Hall
24264 El Toro Road, Laguna Woods, CA 92637

GUIDE TO PUBLIC PARTICIPATION
Laguna Woods City Council Meeting Page 1 of 6 10/21/2026

LAGUNA WOODS CITY COUNCIL

GUIDE TO PUBLIC PARTICIPATION
FOR THE MEETING ON OCTOBER 21, 2026

FREQUENTLY ASKED QUESTIONS
City’s website
www.lagunawoods.gov
Laguna Woods City Hall’s address
24264 El Toro Road, Laguna Woods, CA 92637
City Clerk’s Office’s telephone number
(949) 639-0500
Zoom website
www.zoomgov.com
Zoom meeting ID
161 548 2089
Zoom passcode
24264
When and where does the City Council meet regularly?
The City Council meets regularly on the third Wednesday of each month at 2:00 p.m. All meetings are held at Laguna Woods City Hall, unless otherwise indicated on the agenda. A list of upcoming meetings, including dates and times, is available on the City’s website and at Laguna Woods City Hall during normal working hours.

When and where are City Council agendas posted?
City Council agendas are posted in accordance with the Ralph M. Brown Act (California Government Code Section 54950, et seq.). For regular meetings, agendas are posted at least 72 hours in advance of each meeting, typically on the preceding Friday. Posting deadlines vary for adjourned, special, and emergency meetings. Agendas are posted on the City’s website and at Laguna Woods City Hall.

Are email notifications available for newly posted City Council agendas? Yes. To sign up for email notifications of newly posted City Council agendas, please visit the City’s website, email [email protected], or call the City Clerk’s Office at (949) 639- 0500. Please note that the City is not responsible for, and makes no guaranties or warranties related to, the transmission or receipt of email notifications.

GUIDE TO PUBLIC PARTICIPATION
Laguna Woods City Council Meeting Page 2 of 6 10/21/2026

HOW TO PROVIDE PUBLIC COMMENTS AND TESTIMONY

IN PERSON
Individuals who would like to provide public comments or testimony are advised to indicate their interest in doing so by submitting a speaker card to City staff or proceeding to the podium, one-by-one, when public comments or testimony are called for, for the item. Public comments on items not appearing on this agenda will be accepted during Item V.

Each speaker will have the opportunity to speak for up to three minutes once per agenda item, unless otherwise stipulated by the City Council. Speakers may not yield their time, or any portion thereof, to any other speaker.

Speakers are requested, but not required, to identify themselves. Speakers are advised that their names and any other information verbalized, displayed, or provided in writing to the City may be publicly disclosed. No speaker should expect privacy of such information.

Speakers are able to provide printed materials (e.g., documents and photographs)to the City Council in connection with their public comments and testimony. Printed materials must be handed to the City Clerk at or immediately prior to this meeting (the City Clerk’s position at the dais is marked by a title plate affixed to the front of the dais). There are five members of the City Council. If fewer than five printed copies are handed to the City Clerk, all members of the City Council will not receive the materials until after this meeting has been adjourned.

Eight printed copies are encouraged, but not required (one for each of the five members of the City Council and one each for the City Manager, City Attorney, and City Clerk). Speakers may also provide supplemental materials as written public comments and testimony, following the instructions in the following section titled “IN WRITING.” The City’s projectors and audiovisual systems are not available for use in connection with public comments and testimony. Speakers who wish to provide the City Council with prerecorded audio or video content may do so by email in MP3, MOV, or MP4 formats by following the instructions in the following section titled “IN WRITING.” To ensure each speaker is provided with an uninterrupted opportunity to speak for the full time allotted, the City Council and City staff are asked to reserve any responses they wish to make to public comments until after each speaker has completed their comments. For public hearings, the City Council and City staff are asked to reserve any responses they wish to make to public testimony until after the public hearing is closed.

IN WRITING
Individuals who would like to provide written public comments or written testimony may do so by emailing them to [email protected], mailing them to Laguna Woods City Hall,

GUIDE TO PUBLIC PARTICIPATION
Laguna Woods City Council Meeting Page 3 of 6 10/21/2026 or delivering them to Laguna Woods City Hall during normal working hours. Written public comments and written testimony will be accepted until the respective item is heard.

Written public comments and written testimony received by email no later than 10:00 a.m. the day of this meeting will be forwarded to the City Council prior to or at the beginning of this meeting. All other written public comments and written testimony received by email will be forwarded to the City Council after this meeting has been adjourned. Written public comments and written testimony received by email after 10:00 a.m. the day of this meeting, but before the respective item is heard, will still be part of the meeting record and will be announced to the City Council while the respective item is being heard.

The City Council has discretion whether to have written public comments and written testimony read aloud during this meeting. If written public comments and written testimony are read aloud, the same time limits will apply as apply to verbal public comments and verbal testimony. Individuals will not be able to comment or provide testimony twice on the same item through a combination of verbal public comments or verbaltestimony and written public comments or written testimony read aloud.

Individuals are requested, but not required, to identify themselves. Individuals are advised that their names and any other information provided in writing to the City may be publicly disclosed. No individuals should expect privacy of such information.

Individuals who wish to provide the City Council with pre-recorded audio or video content may do so by email in MP3, MOV, or MP4 formats. Pre-recorded audio or video content will not be played, shown, or read aloud during this meeting.

Written public comments and written testimony are not accepted on flash drives or other electronic devices. Individuals seeking to provide large files that cannot be emailed should divide files into several smaller files or consider using a file hosting or transfer service.

REMOTELY BY ZOOM
Public comments and testimony provided remotely by Zoom are subject to the same policies set forth in the preceding section titled “IN PERSON” and those set forth in this section.

Speakers will be allowed to turn on their cameras, but are not required to.

Speakers will not be allowed to share their screens.

Individuals are advised that names, telephone numbers, and any other information provided to or accessible by Zoom – including, but not limited to, audio and video from cameras and microphones – may be publicly visible and/or visible to the City and others. Such information may also be publicly disclosed. No party should expect privacy of such information.

GUIDE TO PUBLIC PARTICIPATION
Laguna Woods City Council Meeting Page 4 of 6 10/21/2026 Speakers who wish to provide the City Council with documents, photographs, or other written materials may do so by following the instructions in the preceding section titled “IN WRITING.” Speakers who wish to provide the City Council with pre-recorded audio or video content may do so by following the instructions in the preceding section titled “IN WRITING.” ---------------
The instructions that follow are provided as a courtesy only. Zoom is a third-party software program that is not owned or maintained by the City and, as such, instructions may change from time to time, or vary by application, browser, device, and/or version thereof. Individuals interested in attending and participating in this meeting remotely are advised to familiarize themselves with Zoom in advance of this meeting.

Using a computer, tablet, or similar device
• Visit www.zoomgov.com
• Click the "Join" button (if given an option, select "by meeting ID") • Enter the following meeting ID: 161 548 2089
• Click the "Join" button
• Open Zoom following the on-screen prompts
• Enter the following meeting passcode: 24264
• Follow any additional on-screen prompts and enter information as required by Zoom • Click the “Raise Hand” button when public comments or testimony are called for, for the item you wish to provide public comments or testimony on • Click the “Unmute” button when you are called on to speak Using a telephone
• Call (669) 216-1590
• Follow the prompts and provide the information required by Zoom • Enter the following meeting ID: 161 548 2089
• There is no participant ID; follow prompts to bypass
• If asked for a passcode, enter the following passcode: 24264 • Press *9 to “raise your hand” when public comments or testimony are called for, for the item you wish to provide public comments or testimony on • Press *6 to unmute your microphone when you are called on to speak

HOW TO HEAR AND/OR WATCH THIS MEETING REMOTELY
Audio and video of this meeting will be live streamed on Zoom. Audio will also be available by telephone. For more information on viewing and/or listening to this meeting, please refer to the preceding section titled “REMOTELY BY ZOOM.”
The City also plans to:
• Live stream this meeting on YouTube (www.youtube.com/@cityoflagunawoods);

GUIDE TO PUBLIC PARTICIPATION
Laguna Woods City Council Meeting Page 5 of 6 10/21/2026 • Post a recording of this meeting on YouTube after this meeting; • Live broadcast this meeting on Laguna Woods Village television channel 3; and • Rebroadcast this meeting on Laguna Woods Village television channel 3 at 7:00 p.m. the same day, the following Monday at 8:00 p.m. the second Wednesday after at Noon, and the second Friday after at 1:00 p.m.

Neither public comments nor testimony will be accepted via YouTube or Laguna Woods Village television channel 3. In the event of technical difficulties affecting YouTube and/or Laguna Woods Village television channel 3, this meeting will proceed.

HOW TO VIEW CAPTIONING
The City plans to provide live, human-generated captioning for this meeting on the Laguna Woods Village television Channel 3 live broadcast, YouTube live stream, and recording posted on YouTube after this meeting.

Zoom’s automatic captioning function will be activated on the Zoom live steam.

YouTube’s automatic captioning function may be activated on the YouTube live stream and recording posted on YouTube after this meeting.

In all cases, individuals may need to enable captioning for captioning to be visible.

HOW TELEPHONIC OR INTERNET SERVICE

DISRUPTIONS WILL BE HANDLED
Telephonic or internet service disruptions that prevent members of the public from attending or observing City Council meetings will be handled in accordance with City Administrative Policy 1.4. City Administrative Policy 1.4 is available on the City’s website and at Laguna Woods City Hall during normal working hours.

HOW TO REQUEST MODIFICATIONS OR ACCOMODATIONS
UNDER THE AMERICANS WITH DISABILITIES ACT (“ADA”)
The City intends to comply with the ADA.

This meeting will be held in the Council Chambers at Laguna Woods City Hall. The Council Chambers is equipped with a hearing loop that can be used by individuals with t-coil or telecoil-enabled hearing aids or cochlear implants. No request for disability-related modification or accommodation is required to use the hearing loop.

Individuals who require disability-related modifications or accommodations to participate

GUIDE TO PUBLIC PARTICIPATION
Laguna Woods City Council Meeting Page 6 of 6 10/21/2026 in this meeting – including, but not limited to, auxiliary aids or services – may request such modifications or accommodations by emailing [email protected] or calling the City Clerk’s Office at (949) 639-0500. Requests can also be made with the assistance of the California Relay Service by calling (800) 735-2929/TTY (800) 735-2922. The City requests at least two business days’ notice to effectively facilitate the provision of reasonable modifications or accommodations.

NOTICE REGARDING CHALLENGING QUASI-ADJUDICATIVE DECISIONS California Code of Civil Procedure Section 1094.6 et seq. sets forth the procedure for judicial review of most quasi-adjudicative decisions of the Laguna Woods City Council, such as decisions regarding development projects. If an interested party wishes to challenge a decision in court, they may be limited to raising only the issues they or someone else raised prior to the Laguna Woods City Council voting on such decision, whether through verbal comments at the Laguna Woods City Council meeting during consideration of the decision and/or in written correspondence delivered to the City Clerk’s Office at Laguna Woods City Hall prior to the decision being made. Judicial challenges may also be limited or barred where the interested party has not exhausted all available administrative remedies.

4.1 CALIFORNIA SENATE BILL 897 (2025-2026)
AND CALIFORNIA ASSEMBLY BILL 113 (2025-
2026) – SENATOR STEVEN CHOI, PH.D.
(NO WRITTEN REPORT)
This page is intentionally blank.

4.2 LEGISLATIVE UPDATE –

ASSEMBLYMEMBER DIANE DIXON
(NO WRITTEN REPORT)
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4.3 SENIOR MOBILITY PROGRAM ANNUAL
REPORT – FISCAL YEAR 2025-26
This page is intentionally blank.

The Senior Mobility Program subsidizes the cost of taxi travel for Laguna Woods residents who are at least 60 years of age. Made possible, in part, with the generous support of the Orange County Transportation Authority and Orange County’s Measure M half-cent sales tax, the Senior Mobility Program promotes lifelong mobility through the provision of affordable, older adult-oriented transportation services.

Enrollment
This represents approximately

30.5% of Laguna Woods
residents who are at least 60
years of age (2020 U.S. Census).
5,374 76.1 76.0
Average Age
of Participants
This is based on the age
of participants at the time
of enrollment.

Median Age
of Participants
For comparison, the median age
of Laguna Woods residents is 74.9
(2020 U.S. Census).

Senior Mobility Program
Annual Report
Fiscal Year 2025-26 (July 1, 2025 - June 30, 2026)
TAXI

TAXI TAXI
TAXI
TAXI
I
City Hall/Public Library
Transportation Centers*
John Wayne Airport
VA Long Beach
79,276.70
Miles Traveled
Other; over 10 miles
Subsidized Taxi Travel Provided
141
Trips (One-Way)
350.10
Miles Traveled
40,240.99
Miles Traveled
3,172
Trips (One-Way)
Other; up to 10 miles
18,156
Trips (One-Way)
3,871.60
Miles Traveled
642
Trips (One-Way)
3,720.50
Miles Traveled
126
Trips (One-Way)
125,076.10
Miles Traveled
7,522
Trips (One-Way)
*Irvine, Laguna Hills, Santa Ana
29,759
Trips (One-Way)
Total: 252,535.99
Miles Traveled
$510,799.48
$217,951.66
City’s General Fund
$292,847.82
Outside Funding
City Expenditures
FREE
FOR

RESIDENTS
Destinations Outside Laguna Woods
This heat map provides a visual representation of the destinations of each of the 29,759 one-way trips taken by Laguna Woods residents in Fiscal Year 2025-26.

Laguna Woods residents traveled to 32 Orange County cities, Orange County unincorporated areas, and VA Long Beach.

July 2025 - June 2026

6.1 CITY TREASURER’S REPORT
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Notes: The City of Laguna Woods uses a modified accrual basis of accounting, which generally means that revenues are recognized when a transaction occurs, and expenditures are recognized when obligations are created. As such, this monthly financial snapshot reflects only revenue known and expenditures paid for the month referenced as of the date prepared. In some cases, financial statements from financial dealers, depositories, and institutions may not have been received as of the date prepared and, therefore, some revenue and expenditures may not be reflected. Certificates of deposit may also have accrued interest that is not reflected because it is not yet vested. For more information on the specific information included in this monthly financial snapshot, please refer to the full City Treasurer’s Report.

Financial Assets IN THE BANK as of September 30, 2026

BY INVESTMENT TYPE
Cash and
Cash Equivalents
$
771,964

5.19% of portfolio
Pooled Money
Investment Accounts
$
7,887,788

53.02% of portfolio
This includes investments in a state
government investment pool and in the
California Asset Management Program pool.

Investments -
Earning
$
6,218,407

41.79% of portfolio
This includes certificates of deposit.

BY FUND
General Fund (Operating) $
7,056,492
General Fund (Reserves) $
4,762,600
The General Fund is the City of Laguna Woods’ primary operating fund and is used to account for the proceeds of revenue sources that are not legally restricted or committed to expenditures for specified purposes. Reserves for paid leave, self-insurance, and general contingencies are also included in the General Fund.

Special Revenue Funds $
3,059,067
These funds are used to account for the proceeds of revenue sources that are legally restricted or committed to expenditures for specified purposes.

Most of these funds are legally restricted for public street purposes.

Financial Assets HELD IN TRUST FUNDS as of September 30, 2026

C I T Y O F L A G U N A W O O D S
City Treasurer’s Report
Monthly Financial Snapshot
September 2026
(prepared 10/15/26)
California Employers’
Pension Prefunding Trust Fund
(CEPPT)
$601,261
• New Contributions $
0 • Gain/(Loss) from
Month Prior (
$
15,867)
The CEPPT is used to prefund employee pension obligations.

California Employers’
Retiree Benefit Trust Fund
(CERBT)
• New Contributions
• Gain/(Loss) from
Month Prior
The CERBT is used to prefund statutorily required retiree medical benefits. $
164,182
$
0 (
$
5,182)
Total (All Funds) $
14,878,159 Total (All Funds) $
14,878,159

C I T Y O F L A G U N A W O O D S
City Treasurer’s Report
Monthly Financial Comparison
September 2026
(prepared 10/15/26)
$
14,878,159
Total (All Funds)
$
14,789,040
Total (All Funds)
General Fund
(Operating)1
General Fund
(Reserves)1
Special Revenue
Funds2
$
4,762,600
$
7,147,250
AUGUST
2026

SEPTEMBER
2026
$
2M
$
4M
$
6M
$
8M
$
10M
$
12M
$
14M
0 BY FUND BY INVESTMENT TYPE
Cash and Cash
Equivalents
Pooled Money
Investment
Accounts3
Investments
Earning4
$771,964

5.19%
$7,887,788

53.02%
$6,218,407

41.79%
$
14,878,159
Total (All Funds)
SEPTEMBER 2026
Comparison of Financial Assets IN THE BANK
August 2026 and September 2026
September 2026
Comparison of Financial Assets HELD IN TRUST FUNDS
August 2026 and September 2026
$
16M
August 2026
$
4,762,600
$
3,059,067
$
7,056,492
$
2,879,190
Cash and Cash
Equivalents
Pooled Money
Investment
Accounts3
Investments
Earning4
$568,317

3.84%
$8,177,725

55.30%
$6,042,998

40.86%
$
14,789,040
Total (All Funds)
AUGUST 2026
1 General Fund: The General Fund is the City of Laguna Woods’ primary operating fund and is used to account for the proceeds of revenue sources that are not legally restricted or committed to expenditures for specified purposes. Reserves for paid leave, self-insurance, and general contingencies are also included in the General Fund. 2 Special Revenue Funds: These funds are used to account for the proceeds of revenue sources that are legally restricted or committed to expenditures for specified purposes.

Most of these funds are legally restricted for public street purposes. 3 This includes investments in a state government investment pool and in the California Asset Management Program pool. 4 This includes certificates of deposit.

California Employers’ Pension
Prefunding Trust Fund (CEPPT)
New Contributions (CEPPT)
Gain/(Loss) from Month Prior (CEPPT)
$
0 $100k $200k $300k $400k $500k $600k $700k
$
617,129
$
601,261
$
0 $
0 (
$
15,867)
(
$
100k)
California Employers’ Retiree
Benefit Trust Fund (CERBT)
New Contributions (CERBT)
Gain/(Loss) from Month Prior (CERBT)
$
0 $100k $200k $300k $400k $500k $600k $700k
$
169,365
$
164,182
$
0 $
0 (
$
5,182)
(
$
100k)
September 2026
California Employers’ Pension Prefunding Trust Fund (CEPPT) California Employers’ Retiree Benefit Trust Fund (CERBT) Comparison of Financial Assets HELD IN TRUST FUNDS
August 2026 and September 2026
August 2026
$
4,627
$
1,271
Notes: The City of Laguna Woods uses a modified accrual basis of accounting, which generally means that revenues are recognized when a transaction occurs, and expenditures are recognized when obligations are created. As such, this monthly financial comparison reflects only revenue known and expenditures paid for the month referenced as of the date prepared. The amounts attributed to the month prior reflect the same amounts included on the monthly financial snapshot for the month prior. In some cases, financial statements from financial dealers, depositories, and institutions may not have been received as of the date prepared and, therefore, some revenue and expenditures may not be reflected. Certificates of deposit may also have accrued interest that is not reflected because it is not yet vested. For more information on the specific information included in this monthly financial comparison, please refer to the full City Treasurer’s Report.

The CEPPT is used to prefund employee pension obligations.

The CERBT is used to prefund statutorily required retiree medical benefits.

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7.0 CONSENT CALENDAR SUMMARY
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ITEM 7.0
CC  10-21-2026 Item 7.0 – Page 1 of 4
TO: Honorable Mayor and Members of the City Council
FROM: Christopher Macon, City Manager
FOR: October 21, 2026 City Council Meeting
SUBJECT: Consent Calendar Summary
Recommendation
Approve all proposed actions on the October 21, 2026 Consent Calendar by single motion and City Council action.

Background
All items appearing on the consent calendar are considered by the City Manager to be routine and will be enacted by one vote. There will be no separate discussion of these items unless a member of the City Council or City staff requests that specific items be removed from the consent calendar for separate discussion and consideration of action.

Members of the public may address the City Council on any item appearing on the consent calendar at the time the item is considered, regardless of whether or not the item has been removed from the consent calendar.

Items that are removed from the consent calendar will be considered after the items remaining on the consent calendar.

Summary
The October 21, 2026 Consent Calendar contains the following items:

7.1 City Council Minutes
Approval of theCity Councilmeeting minutes for the regular meetingon September 16, 2026.

7.2 Payment Register
ITEM 7.0
Item 7.0 – Page 2 of 4 CC  10-21-2026
Approval of the payment register dated October 21, 2026 in the amount of $739,232.76. A list of payments is included in the agenda packet; detailed information about individual payments is available at or from City Hall.

7.3 Investment of Financial Assets Policy and Related Committees

1. Adoption of a resolution reviewing and adopting an annual statement of the investment policy, adopting a new investment policy, eliminating the Investment Policy Review Committee and renewing the City Council’s delegation of investment authority to the City Treasurer pursuant to California Government Code Section 53607; and

2. Adoption of a resolution adopting Administrative Policy 1.6 pertaining to the establishment and operation of an Investment Committee of the City Council.

An agenda report is included with additional information.

7.4 Federal and State Disaster Assistance
Adoption of a resolution repealing Resolution No. 23-04 and making designation and authorizations related to applications, assurances, and agreements for federal and state disaster financial assistance and grant programs including, but not limited to, authorizing the completion, execution, and filing of the California Governor’s Office of Emergency Services’ Designation of Applicant’s Agent Resolution for Non-State Agencies (OES-FPD130) Form. The State of California requires all non-state agency applicants for federal financial assistance under Public Law 93-288 as amended by the Robert T. Stafford Disaster Relief and Emergency Assistance Act of 1988, and/or state financial assistance under the California Disaster Assistance Act, to designate authorized agents for the same by resolution approved by the respective governing body within three years preceding the date of any application for such financial assistance. The proposed resolution would continue the City’s practice of designating the City Manager and Administrative Services Director/City Treasurer as the City’s agents and make related authorizations. Resolution No. 23-04 contains previous designations and authorizations that would be superseded by the proposed resolution.

Resolution No. 23-04 is available at or from City Hall.

7.5 Conflict of Interest Code
Adoption of a resolution determining that no changes in the conflict of interest code adopted by Resolution No. 18-27 are necessary following the review required by California Government Code Section 87306.5. State law requires the City to review its conflict of interest codes at least every even-numbered year and identify whether any changes in conflict of interest codes are necessitated by changed circumstances by October 1 of the same year. Staff has reviewed the existing conflict of interest code (Attachment B) and determined that there are no changed conditions that necessitate changes. Staff recommends that the City Council review the existing conflict of interest code and, if no ITEM 7.0
CC  10-21-2026 Item 7.0 – Page 3 of 4
changed circumstances are identified that necessitate changes, adopt the proposed resolution (Attachment A).

7.6 Catch Basin Maintenance Services
Approval of an extension of the agreement with United Storm Water, Inc. for catch basin maintenance services and authorization for the City Manager to execute the extension, subject to approval as to form by the City Attorney. The proposed extension is for one year from November 1, 2026 through October 31, 2027 with no changes to rates or other terms.

The proposed extension is allowed for in the existing agreement and would ensure service continuity during the El Niño event and upcoming wet season.

7.7 Hazardous Waste Handling Services

1. As permitted by Laguna Woods Municipal Code Section 3.06.100(b), waiver of the competitive bidding requirements set forth in Laguna Woods Municipal Code Section

3.06.080(c) for an extension of the agreement with WM Curbside, LLC for hazardous waste handling services;

2. Ratification of the City Manager’s one-month extension of the agreement with WM Curbside, LCC for hazardous waste handling services, from October 1, 2026 through October 31, 2026; and

3. Approval of an extension and amendment of the agreement with WM Curbside, LLC for hazardous waste handling services and authorization forthe City Manager to execute the extension and amendment, subject to approval as to form by the City Attorney.

The recommendations would extend WM Curbside’s existing services through June 30, 2027.

Staff is proposing this extension to allow the next competitive procurement process for hazardous waste handling services to result in an agreement that would take effect concurrently with the next two-year budget. The proposed rate changes in Attachment B only memorialize existing rates; WM Curbside is offering to continue existing rates unchanged through June 30, 2027.

7.8 Pedestrian Accessibility Improvement Project: Phase 10

1. Approval of the Pedestrian Accessibility Improvement Project: Phase 10 plans and specifications as prepared by the project engineer;

2. Approval of a notice of exemption for the Pedestrian Accessibility Improvement Project:

Phase 10 finding that the project is categorically exempt from the California Environmental Quality Act (“CEQA”) and authorization for the City Manager to cause the notice of exemption to be filed pursuant to applicable law; and ITEM 7.0
Item 7.0 – Page 4 of 4 CC  10-21-2026

3. Award of a contract agreement to Van Engineering, Inc. for the construction of the Pedestrian Accessibility Improvement Project: Phase 10, in the amount of $129,974.00, plus authorized change orders not to exceed 10% ($12,997.40) of the base amount; and authorization for the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

An agenda report is included with additional information.

7.9 Woods End Wilderness Preserve Trail Drainage and Improvement Project Adoption of a resolution amending and adopting the Fiscal Year 2026-27 budget for Fiscal Year 2026-27 commencing July 1, 2026 and ending June 30, 2027, increasing General Fund and Capital Projects Fund appropriations for the Woods End Wilderness Preserve Trail Drainage and Improvement Project. The proposed resolution would increase the budget for the Woods End Wilderness Preserve Trail Drainage and Improvement Project by $32,949 to accommodate final project expenses.

7.10 Traffic Signal Interconnect Conduit License Agreement Approval of a license agreement with the City of Laguna Hills (the “El Toro Road and Moulton Parkway Traffic Signal Interconnect Conduit License Agreement”), granting the City of Laguna Hills a license to use a designated portion of the City of Laguna Woods’ signal interconnect conduits to install the City of Laguna Hills’ own fiber optic cable to connect the northern area of the City of Laguna Hills’ traffic signal network to the remainder of the City of Laguna Hills’ network, and authorization for the City Manager to execute the license agreement, subject to approval as to form by the City Attorney. The proposed license agreement would allow the City of Laguna Hills to achieve redundant traffic signal network connectivity by connecting Laguna Hills’ north network to the rest of their network using the City of Laguna Woods’ existing signal interconnect conduits.

7.11 Public Safety Grant Program
Adoption of a resolution adopting modifications to Administrative Policy 5.1 pertaining to the establishment of a public safety grant program and related funding programs, and modifying allocations of existing fiscal years 2025-26 and 2026-27 General Fund budget appropriations to funding programs. The proposed resolution (Attachment A) would modify Administrative Policy 5.1 to reallocate funds between existing grant funding programs based on demand; add non-structural technical services (e.g., information technology support) as an eligible reimbursable expense from the Connect Orange County Incentives Funding Program, subject to the existing maximum reimbursement amount; and, make timing more flexible for the Connect Orange County Incentives Funding Program. A redline version of Administrative Policy 5.1 identifying the proposed modifications is included as Attachment B.

7.1 CITY COUNCIL MINUTES
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.1
September 16, 2026 1 City Council Regular Meeting Minutes

CITY OF LAGUNA WOODS CALIFORNIA

CITY COUNCIL MINUTES

REGULAR MEETING
September 16, 2026
2:00 P.M.

Laguna Woods City Hall
24264 El Toro Road
Laguna Woods, California 92637

I. CALL TO ORDER
Mayor McCary called the Regular Meeting of the City Council of the City of Laguna Woods to order at 2:00 p.m.

II. ROLL CALL
COUNCILMEMBER: PRESENT: Conners, Horne, Moore, Lee, McCary ABSENT: -
All councilmembers participated in-person at the meeting location.

STAFF PRESENT: City Manager Macon, City Attorney Patterson, Administrative Services Director/City Treasurer Torres, City Clerk Trippy All staff participated in-person at the meeting location.

III. PLEDGE OF ALLEGIANCE
(Note: The pledge of allegiance occurred prior to Roll Call.) Micki Nozaki, resident, led the pledge of allegiance.

IV. PRESENTATIONS AND CEREMONIAL MATTERS

4.1 Constitution Day and Citizenship Day – September 17, 2026; Constitution Week – September 17-23, 2026
City Clerk Trippy read the proclamation.

Councilmembers made comments.

Moved by Councilmember Moore, seconded by Councilmember Horne, and carried unanimously on a 5-0 vote, to approve and present the proclamation.

4.2 Hunger Action Month – September 2026
ITEM 7.1
September 16, 2026 2 City Council Regular Meeting Minutes City Clerk Trippy read the proclamation.

Hallie Stohler-Plaza, OC Hunger Alliance Director, Abound Food Care, made comments Councilmembers made comments.

Moved by Councilmember Moore, seconded by Councilmember Horne, and carried unanimously on a 5-0 vote, to approve and present the proclamation.

4.3 Fire Prevention Week – October 4-10, 2026
City Clerk Trippy read the proclamation.

Reid Gibson, Division Chief, Orange County Fire Authority, and Milton Neira, Orange County Fire Authority, made comments.

Councilmembers made comments.

Moved by Councilmember Moore, seconded by Councilmember Horne, and carried unanimously on a 5-0 vote, to approve and present the proclamation.

Mayor McCary called for a brief recess to take photos.

The meeting was called back to order at 2:28 p.m.

4.4 Orange County Mosquito and Vector Control District Presentation (agendized by Mayor Pro Tem Lee)
Mayor Pro Tem Lee introduced the item.

An Orange County Mosquito & Vector Control District video regarding West Nile Virus was played.

Brian Brannon, Public Information Officer, Orange County Mosquito & Vector Control District, made a presentation.

Councilmembers discussed the item and Mr. Brannon responded to related questions.

V. PUBLIC COMMENTS ON NON-AGENDA ITEMS
City Clerk Trippy read written public comments from Alex Brown regarding OC Animal Care.

VI. CITY TREASURER’S REPORT

6.1 City Treasurer Report
ITEM 7.1
September 16, 2026 3 City Council Regular Meeting Minutes Administrative Services Director/City Treasurer Torres made a presentation.

Moved by Councilmember Conners, seconded by Councilmember Horne, and carried unanimously on a 5-0 vote, to receive and file the City Treasurer’s Report for the month of August 2026.

VII. CONSENT CALENDAR
Moved by Councilmember Horne, seconded by Councilmember Moore, and carried unanimously on a 5-0 vote, to approve Consent Calendar items 7.1-7.3.

7.1 City Council Minutes
Approved the City Council meeting minutes for the regular meeting on August 12, 2026, and the regular meeting on August 19, 2026.

7.2 Payment Register
Approved the payment register dated September 16, 2026, in the amount of $841,565.55.

7.3 Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project:

Phase 9 – Expanded Scope

1. Approved the final record plans and specifications reflecting completion of the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope” as prepared by the project engineer;

2. Accepted the project completion of the contract agreement with Bear Electrical Solutions, LLC for the construction of the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope” and authorized the City Manager to execute and record, or cause to be executed and recorded, a notice of completion with the County of Orange; and

3. Authorized the City Manager to release the contract retention payment withheld by state law, and exonerate project posted bonds, for the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope”, 35 days following recordation of the notice of completion with the County of Orange to the extent allowed by state law.

VIII. PUBLIC HEARINGS

8.1 Orange County Enhanced Mobility for Seniors and Individuals with Disabilities (EMSD) Grant Program
City Manager Macon made a presentation.

Councilmembers discussed the item and staff responded to questions.

ITEM 7.1
September 16, 2026 4 City Council Regular Meeting Minutes Mayor McCary opened the public hearing.

Jose Campos, on behalf of the Golden Rain Foundation of Laguna Woods, spoke in support of the item.

With no other requests to speak, the public hearing was closed.

Moved by Councilmember Horne, seconded by Councilmember Conners, and carried unanimously on a 5-0 vote, to:

1. Ratify and approve the City Manager’s submission of an application to the Orange County Transportation Authority for funding from the 2026 Orange County Enhanced Mobility for Seniors and Individuals with Disabilities (“EMSD”) Grant Program to support the City’s Senior Mobility Program;

2. Determine and certify that the public hearing and submittal of an application for funding from the EMSD Grant Program are not subject to the California Environmental Quality Act (“CEQA”) pursuant to sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3; and

3. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, DETERMINING AND CERTIFYING THAT

THERE ARE NO NON-PROFIT AGENCIES READILY AVAILABLE
TO PROVIDE THE SERVICE PROPOSED IN THE CITY’S

APPLICATION TO THE ORANGE COUNTY TRANSPORTATION
AUTHORITY FOR FUNDING FROM THE 2026 ORANGE COUNTY

ENCHANCED MOBILITY FOR SENIORS ANND INDIVIDUALS
WITH DISABILITIES (“EMSD”) GRANT PROGRAM; AND

DETERMINING AND CERTIFYING THAT THE RESOLUTION IS

NOT SUBJECT TO THE CALIFORNIA ENVIRONMENTAL QUALITY
ACT PURSUANT TO TITLE 14 OF THE CALIFORNIA CODE OF

REGULATIONS
IX. CITY COUNCIL BUSINESS

9.1 Building, Planning, Encroachment, and Grading Permit Fees City Manager Macon made a presentation.

Moved by Councilmember Horne, seconded by Councilmember Conners, and carried unanimously on a 5-0 vote, to approve the second reading and adopt an ordinance – read by title with further reading waived – titled:

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LAGUNA WOODS, CALIFORNIA, ADDING SECTION 10.02.050 TO
ITEM 7.1
September 16, 2026 5 City Council Regular Meeting Minutes CHAPTER 10.02 OF TITLE 10 (BUILDINGS AND CONSTRUCTION)

OF THE LAGUNA WOODS MUNICIPAL CODE PERTAINING TO

THE WAIVER OR REDUCTION OF CITY-ENACTED BUILDING

FEES FOR SPECIFIED PURPOSES INCLUDING, BUT NOT LIMITED

TO, PURPOSES CONSISTENT WITH CALIFORNIA HEALTH AND
SAFETY CODE SECTIONS 17951.5 AND 17951.7 AND LAGUNA
WOODS GENERAL PLAN HOUSING ELEMENT PROGRAMS H1.2.5. AND H-2.2.2.; AND DETERMINING AND CERTIFYING THAT

THE ORDINANCE IS EXEMPT FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT

9.2 Wildfire Detection Cameras
City Manager Macon made a presentation, which included playing an AlertCalifornia video.

Reid Gibson, Division Chief, Orange County Fire Authority, made a presentation.

Councilmembers discussed the item. Staff and Division Chief Gibson responded to questions.

Moved by Councilmember Moore, seconded by Councilmember Horne, and carried unanimously on a 5-0 vote, to:

1. Approve a site access and use memorandum of understanding with The Regents of the University of California on behalf of the University of California, San Diego for the benefit of its Scripps Institution of Oceanography for the purposes of installing, monitoring, and maintaining a network of cameras and related equipment to be used by the ALERTCalifornia public safety program, and authorize the Mayor to execute the site access and use memorandum of understanding, subject to approval as to form by the City Attorney; and

2. Approve a memorandum of understanding with Laguna Woods Mutual No. 50 to allow the City to install, operate, and maintain wildfire detection cameras at The Towers located at 24055 Paseo Del Lago W, Laguna Woods, CA 92637, and authorize the Mayor to execute the memorandum of understanding, subject to approval as to form by the City Attorney.

9.3 Transit Shelter and Street Furniture Project
City Manager Macon made a presentation.

Sue Quam, resident, made comments.

Councilmembers discussed the item and staff responded to questions.

X. CITY COUNCIL REPORTS AND COMMENTS
ITEM 7.1
September 16, 2026 6 City Council Regular Meeting Minutes

10.1 Coastal Greenbelt Authority
Councilmember Conners provided a report.

10.2 Orange County Fire Authority
Councilmember Horne provided a report, including playing an Orange County Fire Authority video.

Reid Gibson, Division Chief, Orange County Fire Authority, made comments.

10.3 Orange County Library Advisory Board
Councilmember Moore provided a report.

10.4 Orange County Mosquito and Vector Control District Mayor Pro Tem Lee provided a report and responded to a question from Councilmember Conners.

10.5 San Joaquin Hills Transportation Corridor Agency
Councilmember Conners provided a report.

10.6 South Orange County Watershed Management Area
No report

10.7 Other Comments and Reports
• League of California Cities (Cal Cities) Orange County Division Meeting & Board of Directors Election, August 27, 2026 – Mayor McCary and Councilmember Moore Mayor McCary and Councilmember Moore provided reports.
• Other Comments and Reports – None

XI. CLOSED SESSION – None
XII. CLOSED SESSION REPORT – None
XIII. ADJOURNMENT
The meeting was adjourned at 4:20 p.m. The next regular meeting will be at 2:00 p.m. on Wednesday, October 21, 2026, at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637.

ITEM 7.1
September 16, 2026 7 City Council Regular Meeting Minutes __________________________________
YOLIE TRIPPY, CMC, City Clerk
Approved: October 21, 2026
__________________________________
ANNIE MCCARY, Mayor
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7.2 PAYMENT REGISTER
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

7.3 INVESTMENT OF FINANCIAL ASSETS POLICY
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.3
CC  10-21-2026 Item 7.3 – Page 1 of 3
TO: Honorable Mayor and Members of the City Council
FROM: Christopher Macon, City Manager
FOR: October 21, 2026 City Council Meeting
SUBJECT: Investment of Financial Assets Policy and Related Committees Recommendation

1. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA,

REVIEWING AND ADOPTING AN ANNUAL STATEMENT OF THE INVESTMENT POLICY,

ADOPTING A NEW INVESTMENT POLICY, ELIMINATING THE INVESTMENT POLICY REVIEW COMMITTEE, AND RENEWING THE CITY COUNCIL’S DELEGATION OF

INVESTMENT AUTHORITY TO THE CITY TREASURER PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 53607
AND

2. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA, ADOPTING ADMINISTRATIVE POLICY 1.6 PERTAINING TO THE ESTABLISHMENT AND

OPERATION OF AN INVESTMENT COMMITTEE OF THE CITY COUNCIL Background
Local government investment policies and activities are subject to standards and limitations set forth in California Government Code, including Section 53601 et seq., which describes permissible investment types and maximum investments.

California Government Code Section 53607 requires that the City Council review the City’s investment policy, as it relates to any delegation of investment authority, at least annually.

Separately, California Government Code Section 53646 speaks to the advisability of regular ITEM 7.3
Item 7.3 – Page 2 of 3 CC  10-21-2026
investment policy reviews.

The existing investment policy was last reviewed and adopted by the City Council at the regular meeting on September 17, 2025.

The City Council last voted to renew its delegation of investment authority to the City Treasurer at the regular meeting on September 17, 2025.

At the regular meeting on December 11, 2024, the City Council appointed Councilmember Conners and Councilmember Lee to serve on the standing Investment Policy Review Committee in 2025 and 2026. The Investment Policy Review Committee is responsible for conducting at least biannual reviews of the adequacy and effectiveness of the investment policy and preparing related recommendations for City Council consideration.

Discussion
Today’s meeting is an opportunity for City Council action, as well as public input, on the proposed review and adoption of an annual statement of the investment policy, adoption of a new investment policy, and renewal of the City Council’s delegation of investment authority to the City Treasurer pursuant to California Government Code Section 53607 (Attachment A). The recommendation also includes actions that would replace the Investment Policy Review Committee with a new Investment Committee (attachments A and B). The Investment Committee would have similar responsibilities as the Investment Policy Review Committee, plus new responsibilities related to the City’s funds invested separately with independent fiduciaries (e.g., the other post-employment benefits and retiree medical trust funds invested with the California Public Employees’ Retirement System).

The Investment Policy Review Committee, City Manager, and City Treasurer have reviewed the existing investment policy and recommended modifications. The proposed investment policy is included as Exhibit A to Attachment A. A redline version identifying the proposed modifications is included as Attachment C.

The Investment Policy Review Committee and City Manager recommend that the City Council renew delegation of investment authority to the City Treasurer. Doing so would be consistent with best practices related to internal control, as well as the investment process outlined in the investment policy.

Fiscal Impact
Sufficient funds to support this project are included in the City’s budget.

Report Prepared With: Liz Torres, Administrative Services Director/City Treasurer Attachments: A – Proposed Resolution (Investment of Financial Assets Policy) ITEM 7.3
CC  10-21-2026 Item 7.3 – Page 3 of 3
Exhibit A – Proposed Administrative Policy 2.2
B – Proposed Resolution (Investment Committee)
Exhibit A – Proposed Administrative Policy 1.6
C– Proposed Modifications to Existing Investment of Financial Assets Policy - Redline This page is intentionally blank.

ITEM 7.3 – Attachment A
R 26-XX 1 10-21-2026

CITY OF LAGUNA WOODS
RESOLUTION NO. 26-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS,

CALIFORNIA, REVIEWING AND ADOPTING AN ANNUAL STATEMENT OF THE

INVESTMENT POLICY, ADOPTING A NEW INVESTMENT POLICY, ELIMINATING THE INVESTMENT POLICY REVIEW COMMITTEE, AND RENEWING THE CITY COUNCIL’S

DELEGATION OF INVESTMENT AUTHORITY TO THE CITY TREASURER PURSUANT TO CALIFORNIA GOVERNMENT CODE SECTION 53607
WHEREAS, the California legislature has declared that the deposit and investment of public funds by local officials and agencies is an issue of statewide concern (California Government Code sections 53600.6 and 53630.1); and
WHEREAS, the City Council is able to invest surplus monies not required for the immediate necessities of the City in accordance with California Government Code sections 5921 and 53601 et seq.; and
WHEREAS, the City’s investment policy is contained in Administrative Policy 2.2 and was last adopted by the City Council on September 17, 2025; and WHEREAS, on December 11, 2024, the City Council appointed Councilmember Conners and Councilmember Lee to serve on the standing Investment Policy Review Committee from January 1, 2025 through December 31, 2026, as called for in the investment policy; and
WHEREAS, the Investment Policy Review Committee has worked with the City Manager and City Treasurer to review the adequacy and effectiveness of the existing investment policy; and
WHEREAS, the Investment Policy Review Committee (at a special meeting on October 5, 2026), City Manager, and City Treasurer have recommended that the City Council adopt modifications to the existing investment policy to ensure its continued adequacy and effectiveness, and those modifications have been incorporated into the administrative policy attached hereto as Exhibit A; and WHEREAS, California Government Code Section 53607 provides that the authority of City Council to invest or to reinvest City funds, or to sell or exchange securities so purchased, may be delegated for a one-year period by the City Council to the City Treasurer, who shall thereafter assume full responsibility for those transactions until the delegation of authority is revoked or expires. Subject to review, the City Council may renew the delegation of authority annually; and
ITEM 7.3 – Attachment A
R 26-XX 2 10-21-2026
WHEREAS, the City Council last renewed its delegation of investment authority to the City Treasurer on September 17, 2025; and
WHEREAS, the Investment Policy Review Committee (at a special meeting on October 5, 2026) and City Manager have recommended that the City Council renew its delegation of investment authority to the City Treasurer pursuant to California Government Code Section 53607 for a one-year period.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. After independent review and consideration, the administrative policy attached hereto as Exhibit A is adopted and is a statement of the City’s investment policy.

The City Council receives and files said statement in accordance with the City’s investment policy and applicable California Government Code and Laguna Woods Municipal Code provisions. The administrative policy attached hereto as Exhibit A replaces and supersedes all previous City investment policies.

SECTION 2. After independent review and consideration, the City Council renews its delegation of investment authority to the City Treasurer for a one-year period, as described in Administrative Policy 2.2, and in accordance with applicable California Government Code (including, but not limited to, California Government Code Section 53607) and Laguna Woods Municipal Code provisions (including, but not limited to, Laguna Woods Municipal Code Chapter 2.10).

SECTION 3. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED this 21st day of October 2026. _____________________________________
ANNIE MCCARY, Mayor
ATTEST:
_____________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 7.3 – Attachment A
R 26-XX 3 10-21-2026

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, YOLIE TRIPPY, City Clerk of the City of Laguna Woods, do HEREBY CERTIFY that the foregoing Resolution No. 26-XX was duly adopted by the City Council of the City of Laguna Woods at a regular meeting thereof, held on the 21st day of October 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_______________________________________
YOLIE TRIPPY, CMC, City Clerk
This page is intentionally blank.

ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 1 of 17
ADMINISTRATIVE POLICY 2.2

INVESTMENT OF FINANCIAL ASSETS

2.2.01. Statement of Purpose.

This Administrative Policy is intended to assist the City of Laguna Woods with the investment of the City of Laguna Woods’ financial assets in a manner that ensures adequate safety and liquidity, while maximizing yield (return) and complying with the requirements of California Government Code sections 53600 and 53635 et seq.

2.2.02. Scope.

This Administrative Policy generally applies to all financial assets and investment activities of the City of Laguna Woods. Such funds are accounted for, or disclosed, in annual audited financial statements and include the General Fund, Special Revenue Funds, and the Capital Projects Fund. Funds belonging to the Laguna Woods Civic Support Fund and funds invested separately with independent fiduciaries, including funds held and managed by the California Public Employees’ Retirement System (“CalPERS”) for the purpose of funding employee retirement obligations and other post-employment benefits (“OPEB”) are exempt from this Administrative Policy.

2.2.03. Objectives.

The objectives of the City of Laguna Woods’ investment activities, in priority order, shall be:

1. Safety – Safety of principal shall be the foremost objective. Investments shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall investment portfolio and the mitigation of credit risk and interest rate risk. This Administrative Policy recognizes that market conditions may warrant the sale of individual securities that would incur market losses in order to protect from further capital losses. The intent of this Administrative Policy is to ensure that capital losses are minimized on a portfolio level rather than on each transaction. To attain the safety objective, diversification of investments among a variety of securities with independent returns and institutions is required.

2. Liquidity – The investment portfolio shall remain sufficiently liquid (i.e., capable of ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 2 of 17
being converted to cash quickly) in order to enable the City of Laguna Woods to meet all reasonably anticipated cash demands and operational requirements and to maintain compliance with all applicable indenture agreements. Since unusual or unanticipated cash demands and operational requirements may occur from time-totime, the portfolio shall primarily consist of investments in securities with active secondary and resale markets.

3. Yield (Return) – The investment portfolio shall be designed in a manner that seeks to attain the highest rate of return, consistent with established safety and liquidity objectives. While it is acknowledged and understood that occasional measurement losses may occur, the rate of return on the investment portfolio should be designed to attain a market rate of return throughout budgetary and economic cycles for similar investments.

2.2.04. Delegation of Authority.

Investment Committee of the City Council
The Investment Committee shall be responsible for biannually reviewing the adequacy and effectiveness of the this Administrative Policy and, if modifications are identified as necessary or advantageous, making recommendations regarding the same to the City Council. This includes, but is not limited to, assessing whether this Administrative Policy is furthering its intended purpose of ensuring adequate safety and liquidity of the City of Laguna Woods’ financial assets, while maximizing yield (return) and complying with the requirements of California Government Code sections 53600 and 53635 et seq.

The City Council shall appoint two of its members to serve on the Investment Committee for terms two calendar years in length, commencing on January 1 of each odd-numbered year.

In making such appointments, the City Council shall designate one appointee to serve as the Chair of the Investment Committee and the other to serve as Vice Chair.

The Investment Committee shall be subject to all applicable provisions of the Ralph M.

Brown Act (California Government Code Section 54950-54963).

City Treasurer
In accordance with California Government Code Section 53607, the City Council delegates its statutory authority to invest or to reinvest funds, or to sell or exchange securities so purchased, for a one-year period to the City Treasurer. Such delegation of authority is subject to annual review and renewal by the City Council, as well as revocation at the City Council’s discretion. Adoption of this Administrative Policy shall constitute renewal of such delegation for an additional one-year period beginning at the date of adoption.

No person other than the City Treasurer or Acting City Treasurer (hereafter referred to jointly ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 3 of 17
as the “City Treasurer”) shall engage in an investment transaction using the City of Laguna Woods’ financial assets. The City Treasurer shall additionally be responsible for all investment transactions undertaken and shall establish and maintain a system of internal controls to regulate all investing activities.

Pursuant to Laguna Woods Municipal Code Section 2.10.010, the City Treasurer is appointed by, and reports to, the City Manager. The City Manager may serve as, or appoint, an Acting City Treasurer at any time during the absence of a permanent City Treasurer.

During his/her/their appointment, the Acting City Treasurer shall have all of the powers and duties of the City Treasurer.

The City Treasurer and City Manager (with respect to his/her/their role appointing and supervising the City Treasurer, and participating in investment decisions) shall be relieved of personal responsibility for an individual investment’s performance or losses, market price changes, and the performance of or losses incurred by the overall portfolio provided that (1) actions were undertaken in accordance with this Administrative Policy and applicable federal and state law, (2) significant deviations from expectations were reported to the City Council in a timely manner, and (3) appropriate action was taken to mitigate future adverse developments.

2.2.05. Public Trust.

The City Council, City Manager, City Treasurer, and all individuals authorized to participate in investment decisions on behalf of the City of Laguna Woods shall act as custodians of the public trust and recognize that the investment portfolio is subject to public review and evaluation. The City of Laguna Woods’ overall approach to investment shall be designed and managed with a degree of professionalism that is worthy of the public trust and will avoid any transactions that might impair public confidence.

2.2.06. Prudence.

The City Council, City Manager, City Treasurer, and all individuals authorized to make investment decisions on behalf of the City of Laguna Woods, are considered to be trustees and, therefore, fiduciaries who shall adhere to the prudent investor standard. The prudent investor standard is summarized in California Government Code Section 53600.3, as follows:
“All governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard. When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 4 of 17
the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency. Within the limitations of this section and considering individual investments as part of an overall strategy, investments may be acquired as authorized by law.”

2.2.07. Ethics and Conflicts of Interest.

As set forth in the City of Laguna Woods’ Conflict of Interest Policy, and as otherwise required by the Political Reform Act and Fair Political Practices Commission, public officials who manage public investments shall file economic interest disclosures.

In addition to federal, state and local statutes relating to conflicts of interest, the City Council, City Manager, City Treasurer, and all individuals authorized to make investment decisions on behalf of the City of Laguna Woods shall refrain from personal business association or activity that conflicts with proper execution of this Administrative Policy, or which could impair their ability to make impartial investment decisions.

2.2.08. Internal Controls and Routine External Review.

The City Treasurer shall develop, implement, and maintain a system of internal controls designed to ensure the effectiveness and efficiency of investment activities, compliance with applicable laws and regulations, and the reliability of financial reporting. Such internal controls shall seek to prevent the loss of public funds due to fraud, error, misrepresentation, and unanticipated market changes.

As a part of their annual review of internal controls, the City of Laguna Woods’ independent, external auditors shall review internal controls related to investment activities.

2.2.09. Authorized Financial Dealers, Depositories, and Institutions.

In accordance with California Government Code Section 53601.5, investments shall either be purchased (1) directly from the issuer, (2) from an institution licensed by the State of California as a Broker-Dealer, as defined in California Corporations Code Section 25004, (3) from a member of a federally regulated securities exchange, (4) from a national or statechartered bank, from a savings association or federal association, as defined by California Financial Code Section 5102, or (5) from a brokerage firm designated as a primary government dealer by the Federal Reserve Bank. In addition, investments shall only be purchased from entities or deposits made in qualified public depositories, as established by state law, with full knowledge of applicable state law, at least five years’ experience providing similar services to California municipalities, and in good standing with the Federal Insurance Regulatory Authority, Securities and Exchange Commission (“SEC”), and California Department of Securities.

ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 5 of 17
The selection of financial dealers, depositories, and institutions shall follow a periodic competitive procurement process (e.g., requests for proposals or requests for qualifications) and be subject to ultimate approval of the City Council or City Manager in accordance with established purchasing regulations and policies. The nature of the competitive procurement process, frequency thereof, and submittals required, shall be designed and determined by the City Treasurer.

On an annual basis, the City Treasurer shall send a copy of the current version of this Administrative Policy to all financial dealers, depositories, and institutions approved to do business with the City of Laguna Woods. Receipt of this Administrative Policy shall be considered confirmation that the parties to whom they were distributed understand the City of Laguna Woods’ authorized investment types and requirements thereof.

2.2.10. Authorized Investments.

Investments are governed by California Government Code, and further limited by the provisions of this Administrative Policy. The types of investments listed in the table below are authorized and shall be invested subject to the limits and requirements set forth therein.

Credit criteria and maximum percentages listed in the table below are calculated at the time the investment is purchased.

Type of Investment
Maximum Percent
of Portfolio
Investment
Maximum
Amount of
Individual
Investment
Minimum Credit
Quality and
Requirements
Maximum
Maturity*
Federal Deposit
Insurance
Corporation (FDIC)
Insured Accounts
100% - - N/A
Bankers’
Acceptances
20% (no more than
5% with one bank) - - 180 days
Commercial Paper
15% (no more than
10% of a single
issuer)
-
Highest letter and
number rating by an
NRSRO**
397 days
Local Government
Investment Pools 90% -
See Section 2.2.11 of
this Administrative
Policy
N/A
Joint Powers
Authority Pools 90% -
Must retain an
investment advisor
who is registered with
the SEC (or exempt
from registration), has
assets under
management in excess
N/A
ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 6 of 17
Type of Investment
Maximum Percent
of Portfolio
Investment
Maximum
Amount of
Individual
Investment
Minimum Credit
Quality and
Requirements
Maximum
Maturity*
of $500 million, and
has at least five years’
experience investing in
instruments
authorized by
California Government
Code Section 53601,
subdivisions (a) to (o)
Money Market
Mutual Funds 10% -
Standard & Poor’s AAA
or Moody’s Aaa; and
Must retain an
investment advisor
registered with the
SEC (or exempt from
registration) has
assets under
management in excess
of $500 million, and
has at least five years’
experience investing in
money market
instruments
N/A
Certificates of
Deposit
(Negotiable)
30% (no more than
10% with one bank
or issuer)
$250,000
Issued by a nationally
or state-chartered
bank, or state or
federal savings and
loan association, as
defined by California
Financial Code
Section 5102, and fully
insured by the Federal
Deposit Insurance
Corporation (“FDIC”)
or collateralized in
accordance with
Section 2.2.15 of this
Administrative Policy
5 years Certificates of
Deposit (NonNegotiable)90%
Repurchase
Agreements
10% (no more than
20% of a single
issuer)
-
Collateralized in
accordance with
Section 2.2.15 of this
Administrative Policy
30 days
ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 7 of 17
Type of Investment
Maximum Percent
of Portfolio
Investment
Maximum
Amount of
Individual
Investment
Minimum Credit
Quality and
Requirements
Maximum
Maturity*
United States
Treasury
Obligations 90% of overall
portfolio for any one
investment type
-
Explicit full faith and
credit guarantee of the
United States
Government
5 years
United States
Agency Obligations -
Implied full faith and
credit guarantee of the
United States
Government
5 years
State of California
and Other Statesissued Obligations
20% of overall
portfolio for any one
investment type (no
more than 5% of a
single issuer)
- - 3 years
California Local
Government-issued
Municipal
Obligations
- - 3 years
Medium-Term
Notes 20% -
Nationally Recognized
Statistical Ratings
Organization Rating:
“A” rating category or
its equivalent
5 years
* No investment shall be made with a maturity rate more than five years from the date of purchase. ** Issuing entity must be organized and operating within the United States as a general corporation, have assets in excess of $500 million, and have debt other than commercial paper, if any, rated by a NRSRO in a rating category of “A” or its equivalent or higher; or the issuing entity must be organized within the United States as a special purpose corporation, trust, or limited liabiliy corporation, have program wide credit enhancements, and have commercial paper that is rated “A-1” or higher, or the equivalent, by a NRSRO.

2.2.11. Local Government Investment Pools.

While local government investment pools generally provide significant safety and liquidity, the City Treasurer shall complete a thorough investigation prior to making any such investment and consider the same during the monthly compliance review required by Section 2.2.13 of this Administrative Policy. Due diligence in investigations shall generally include a review of written statements of investment policies, objectives, fees schedules, and reporting schedules, as well as issues related to (1) eligible investors and securities, (2) the permitted frequencies and sizes of deposits and withdrawals, (3) security safeguards, including settlement processes, (4) the frequency with which securities are priced and the program audited, (5) the treatment of gains and losses, including interest calculations and distribution, (6) whether and, if so, how reserves, retained earnings, and similar funds are ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 8 of 17
utilized by the investment pool, and (7) whether the investment pool is eligible for and, if so, accepts bond proceeds. In addition, only local government investment pools with at least five years’ experience providing similar services to other California municipalities may be utilized. Similar due diligence and investigative procedures shall be performed prior to investing in any other pooled investment funds, such as money market mutual funds.

When investments are held in more than one local government investment pool at the same time, the City Treasurer shall review yield rates for each investment pool at least twice per month – once during the preparation of each monthly investment report to the City Council required by Section 2.2.17 of this Administrative Policy and again at the end of each month.

If the percent change between the yield rates is 5% or more at the time of review, the City Treasurer shall ensure that no less than 60% of total investments in investment pools are held in the investment pool with the highest yield rate, unless a lower amount is necessary to meet reasonably anticipated, short-term cash flow needs.

2.2.12. Prohibited Investments.

Notwithstanding those types of investments that are otherwise prohibited by law or this Administrative Policy, any type of investment not specifically listed in Section 2.2.10 of this Administrative Policy including, but not limited to, financial derivatives (e.g., inverse floaters, range notes, interest only strips derived from a pool of mortgages, and securities that could result in a zero-interest accrual if held to maturity) and foreign investments (e.g., indices and currencies), are prohibited.

2.2.13. Monthly Internal Compliance Review of Investment Portfolio.

Investments shall be in compliance with the ratings and other requirements set forth in this Administrative Policy at the time of purchase. It is acknowledged and understood that some investments may not fully comply with the same following purchase. The City Treasurer shall review the overall investment portfolio on a monthly basis and identify any investments that no longer comply with this Investment Policy. Non-compliant investments shall be reported to the City Council, City Manager, and City Attorney within 10 business days of discovery and corrected as soon as practical.

2.2.14. Safekeeping and Custody.

All investments shall be registered in the name of the City of Laguna Woods and all interest, payments, and withdrawals shall indicate the City of Laguna Woods as the sole payee.

All investments, except for FDIC Insured Accounts, Local Government Investment Pools, and Money Market Funds shall be held by a third-party custodian designated by the City Treasurer and evidenced by custodial agreements or safekeeping receipts. Third-party custodians shall comply with the requirements set forth in Section 2.2.09 of this Administrative Policy.

ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 9 of 17
All security transactions, where applicable, shall use a Delivery-versus-Payment (“DVP”) settlement procedure with the City of Laguna Woods’ payment due at the time of delivery, which ensures that securities are deposited with the third-party custodian prior to the release of funds.

2.2.15. Collateralization.

Collateral for bank deposits and certificates of deposit shall be 110% of the market value of principal and accrued interest. Collateral can be either United States Treasury securities or United States Agency securities.

Collateral for repurchase agreements shall be 102% of the market value of principal and accrued interest. Collateral can be either United States Treasury securities or United States Agency securities. The City Treasurer is authorized to grant the right of collateral substitution for repurchase agreements.

All collateral shall be held by an independent third party with whom the City of Laguna Woods has a current custodial agreement or master repurchase agreement. Evidence of ownership (safekeeping receipt) must be supplied to the City of Laguna Woods and retained.

2.2.16. Diversification.

The overall investment portfolio shall be diversified to avoid incurring unreasonable and avoidable risk associated with concentrating investments in unvaried investment types, maturity segments, or financial depositories and institutions. In a diversified portfolio, occasional measurement losses may occur. Such losses shall be considered within the overall portfolio’s investment return.

2.2.17. Reporting.

The City Treasurer shall prepare and submit a monthly investment report to the City Council.

The report shall include a summary of all investment transactions for the preceding month, as required by California Government Code Section 53607, as well as similar information that would be required by California Government Code Section 53646(b) if the City of Laguna Woods prepared quarterly investment reports, to the extent that such information is available.

The report shall contain, at a minimum, the following information that is subject to this Administrative Policy: the type of investment, issuer, date of maturity, par value and costs of each investment, market value, and a description of any investments, including loans and security lending programs, that are under the management of contracted parties. For funds in local government investment pools, the report shall also include a current market value as of the date of the report and the source of that same valuation. The report shall also comply with Government Accounting Standard Board (“GASB”) Statement No. 40 and ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 10 of 17
include the following:

A. Certification that all investment actions executed since the last report have been made in full compliance with this Administrative Policy; and B. Certification that the City of Laguna Woods is able to meet all cash flow needs which might reasonably be anticipated for the next 12 months.

2.2.18. Annual City Council Review and Adoption of this Administrative Policy.

This Administrative Policy shall be reviewed, modified as necessary, and adopted, at least annually, to ensure its consistency with the objectives set forth in Section 2.2.03 of this Administrative Policy and applicable law. The Administrative Policy shall be adopted by resolution of the City Council at a duly noticed public meeting. Such annual review shall be in addition to the reviews conducted by the Investment Committee as described in Section

2.2.04 of this Administrative Policy.

2.2.19. Relationship to Federal and State Laws.

Where federal or state laws are more restrictive than or contradict this Administrative Policy, such laws shall take precedence. Where this Administrative Policy is more restrictive than federal or state laws, this Administrative Policy shall take precedence. The City Treasurer shall advise the Investment Policy Review Committee of any contradictions of federal or state law for consideration during its reviews conducted as described in Section 2.2.04 of this Administrative Policy.

2.2.20. Attachments.

Attachment A, “Glossary of Terms and Acronyms,” is incorporated by reference.

Attachment B, “California Municipal Treasurers Association Investment Policy Certification”
City Council Approval: October XX, 2026
ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 11 of 17
Attachment A, “Glossary of Terms and Acronyms”
This Glossary of Terms and Acronyms contains common investment terminology to provide users with a better understanding of basic investment terms. It is intended to be used as a basic reference only, is not intended to be all inclusive, and should not be treated as a substitute for professional counsel or analysis.

ACCRUED INTEREST: Coupon interest accumulated on a bond or note since the last interest payment or, for a new issue, from the dated date to the date of delivery.

BANK DEPOSITS: Deposits in banks or other depository institutions that may be in the form of demand accounts (checking) or investments in accounts that have a fixed term and negotiated rate of interest.

BANKERS’ ACCEPTANCE: A draft or bill or exchange accepted by a bank or trust company.

The accepting institution, as well as the issuer, guarantees payment of the bill.

BOND PROCEEDS: The money paid to the issuer by the purchaser or underwriter of a new issue of municipal securities. These moneys are used to finance the project or purpose for which the securities were issued and to pay certain costs of issuance as may be provided in the bond contract.

BONDS: A debt obligation of a firm or public entity. A bond represents the agreement to repay the debt in principal and, typically, in interest on the principal.

BROKER: A person or firm that acts as an intermediary by purchasing and selling securities for others rather than for its own account.

CALIFORNIA ASSET MANAGEMENT PROGRAM (“CAMP”): A joint powers authority that operates a voluntary investment fund for public agencies.

CASH FLOW: A comparison of cash receipts (revenues) to required payments (debt service, operating expenses, etc.).

CERTIFICATE OF DEPOSIT (“CDs”): A short-term, secured deposit in a financial institution that usually returns principal and interest to the lender at the end of the loan period. CDs differ in terms of collateralization and marketability. CDs appropriate to public agency investing include:

Negotiable Certificates of Deposit – Generally, short-term debt instruments that pay interest and is issued by a bank, savings or federal association, state or federal credit union, or statelicensed branch of a foreign bank. The majority of negotiable CDs mature within six months while the average maturity is two weeks. Negotiable CDs are traded in a secondary market and are payable upon order to the bearer or initial depositor (investor). Negotiable CDs are ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 12 of 17
insured by the FDIC up to $250,000, but they are not collateralized beyond that amount.

Non-Negotiable Certificates of Deposit – CDs that carry a penalty if redeemed prior to maturity. A secondary market does exist for non-negotiable CDs, but redemption includes a transaction cost that reduces returns to the investor. Non-negotiable CDs issued by banks and savings and loans are insured by the FDIC up to the amount of $250,000, including principal and interest. Amounts deposited above this amount may be secured with other forms of collateral through an agreement between the investor and the issuer. Collateral may include other securities, including treasuries or agency securities (e.g., issued by the Federal National Mortgage Association (“FNMA”)).

COLLATERALIZATION OF DEPOSITS: A process by which a bank or other financial institution pledges securities or other deposits for the purpose of securing the repayment of deposited funds.

COMMERCIAL PAPER: An unsecured short-term promissory note issued by corporations or municipalities, with maturities ranging from two to 397 days.

COUNTY POOLED INVESTMENT FUNDS: The aggregate of all funds from public agencies placed in the custody of the county treasurer or chief finance officer for investment and reinvestment.

COUPON: The annual rate of interest that a bond’s issuer promises to pay the bondholder in the bond’s face value; a certificate attached to a bond evidencing interest due on a payment date.

CREDIT RATING: The credit worthiness of an investment. Credit ratings are issued by NRSROs registered with the SEC. Three highly recognized NRSROs are Standard and Poor’s, Moody’s, and Fitch. The organizations use a primary letter designation (numbers or symbols may follow the letter designation) to indicate the quality of an investment. As an example, short-term ratings by Standard and Poor’s of A-1+ and Moody’s of P-1 indicate a prime or high-grade quality investment. Long-term prime or high-grade quality investments would be rated AAA or Aaa by Standard and Poor’s and Moody’s, respectively. Rates beginning with letters B or C would typically indicate an investment of speculative and higher risk quality.

CREDIT RISK: The chance that an issuer will be unable to make scheduled payments of interest and principal on an outstanding obligation. Another concern for investors is that the market’s perception of an issuer/borrower’s credit will cause the market value of a security to fall, even if default is not expected.

CUSTODIAN: A bank or other financial institution that keeps custody of stock certificates and other assets.

DEALER: Someone who acts as a principal in all transactions, including underwriting, ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 13 of 17
buying, and selling securities, including from his/her/their own account.

DELIVERY-VERSUS-PAYMENT (“DVP”): The payment of cash for securities as they are delivered and accepted for settlement.

DERIVATIVE: Securities that are based on, or derived from, some underlying asset, reference date, or index.

DISCOUNT: The difference between the par value of a security and the cost of the security, when the cost is below par. Investors purchase securities at a discount when return to the investor (yield) is higher than the stated coupon (interest rate) on the investment.

DISCOUNT RATE: The interest rate used in discounted cash flow analysis to determine the present value of future cash flows. The discount rate in discounted cash flow analysis takes into account not just the time value of money, but also the risk or uncertainty of future cash flows; the greater the uncertainty of future cash flows, the higher the discount rate.

DIVERSIFICATION: The allocation of different types of assets in a portfolio to mitigate risks and improve overall portfolio performance.

FEDERAL DEPOSIT INSURANCE CORPORATION (“FDIC”): A federal agency that insures bank deposits, currently up to $250,000 per entity.

FIDUCIARY: An individual who holds something in trust for another and bears liability for its safekeeping.

GOVERNMENT ACCOUNTING STANDARDS BOARD (“GASB”): A standard-setting body, associated with the Financial Accounting Foundation, which prescribes standard accounting practices for governmental units.

INDEX: An indicator that is published on a periodic basis that shows the estimated price and/or yield levels for various groups of securities.

INTEREST: The amount a borrower pays to a lender for the use of his/her/their money.

INTEREST RATE RISK: The risk that an investment's value will change due to a change in the absolute level of interest rates, spread between two rates, shape of the yield curve, or any other interest rate relationship.

JOINT POWERS AUTHORITY POOLS: Investment pools involving the joint exercise of common investment powers between two or more public agencies with shares of beneficial interest issued pursuant to California Government Code Section 6509.7.

LIQUIDITY: The measure of the ability to convert an instrument to cash on a given date at full ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 14 of 17
face or par value.

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

LOCAL GOVERNMENT INVESTMENT POOLS: Investment pools that include CAMP and LAIF.

These funds are not subject to the same SEC rules applicable to money market mutual funds. For this Administrative Policy, joint powers authority pools are not considered “local government investment pools.”
MARKET VALUE: The price at which a security is trading and presumably could be purchased or sold at a particular point in time.

MATURITY: The date on which the principal or stated value of an investment becomes due and payable.

MEDIUM-TERM NOTES: Corporate or depository institution debt securities meeting certain minimum quality standards (as specified in California Government Code Section 53601) with a maximum remaining maturity of five years or less, issued by (a) corporations organized and operating within the United States or (b) depository institutions licensed by the United States or any state and operating within the United States. Instruments separately defined in, or authorized by, this Administrative Policy are not considered “Medium-Term Notes.”
MONEY MARKET MUTUAL FUNDS (“MMFs”): Mutual funds that invest exclusively in shortterm money market instruments. MMFs seek the preservation of capital as a primary goal while maintaining a high degree of liquidity and providing income representative of the market for short term investments.

MORTGAGE-BACKED SECURITIES (“MBS”): Securities created when a mortgagee or a purchaser of residential real estate mortgages creates a pool of mortgages and markets undivided interests or participations in the pool. MBS owners receive a pro-rata share of the interest and principal cash flows (net of fees) that are “passed through” from the pool of mortgages. MBS are complex securities whose cash flow is determined by the characteristics of the mortgages that are pooled together. Investors in MBS face prepayment risk associated with the option of the underlying mortgagors to pre-pay or payoff their mortgage. Most MBS are issued and/or guaranteed by federal agencies and instrumentalities (e.g., Government National Mortgage Association (“GNMA”), Federal National Mortgage Association (“FNMA”), and Federal Home Loan Mortgage Corporation (“FHLMC”)).

MUNICIPAL NOTES, BONDS, AND OTHER OBLIGATIONS: Obligations issued by state and local governments to finance capital and operating expenses.

ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 15 of 17
MUTUAL FUNDS: An investment company that pools money and can invest in a variety of securities, including fixed-income securities and money market instruments.

NATIONALLY RECOGNIZED STATISTICAL RATINGS ORGANIZATION (“NRSRO”): A credit rating agency registered as a “Nationally Recognized Statistical Ratings Organization” with the Securities and Exchange Commission, consistent with the Credit Rating Agency Reform Act, the Dodd-Frank Wall Street Reform and Consumer Protection Act, and other applicable legislation and rulemaking, as may change from time-to-time.

NEW ISSUE: Securities sold during the initial distribution of an issue in a primary offering by the underwriter or underwriting syndicate.

NOTE: A written promise to pay a specified amount to a certain entity on demand or on a specified date. Usually bearing a short-term maturity of a year or less (though longer maturities are issued—see “Medium-Term Notes”).

PAR VALUE: The principal amount of a note or bond which must be paid at maturity. Par, also referred to as the “face amount” of a security, is the principal value stated on the face of the security. A par bond is one sold at a price of 100 percent of its principal amount.

PORTFOLIO: Combined holding of more than one stock, bond, commodity, real estate investment, cash equivalent, or other asset. The purpose of a portfolio is to reduce risk by diversification.

PREMIUM: The difference between the par value of a security and the cost of the security, when the cost is above par. Investors pay a premium to purchase a security when the return to the investor (yield) is lower than the stated coupon (interest rate) on the investment.

PRICE: The amount of monetary consideration required by a willing seller and a willing buyer to sell an investment on a particular date.

PRINCIPAL: The face value or par value of a debt instrument, or the amount of capital invested in a given security.

PRUDENT INVESTOR STANDARD: A standard of conduct where a person acts with care, skill, prudence, and diligence when investing, reinvesting, purchasing, acquiring, exchanging, selling, and managing funds. The test of whether the standard is being met is if a prudent person acting in such a situation would engage in similar conduct to ensure that investments safeguard principal and maintain liquidity.

REPURCHASE AGREEMENTS: An agreement of one party (for example, a financial institution) to sell securities to a second party (such as a local agency) and simultaneous agreement by the first party to repurchase the securities at a specified price from the second party on demand or at a specified date.

ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 16 of 17
RISK: The uncertainty of maintaining the principal or interest associated with an investment due to a variety of factors.

SAFEKEEPING SERVICE: Offers storage and protection of assets provided by an institution serving as an agent.

SAFETY: In the context of investing public funds, safety relates to preserving the principal of an investment in an investment portfolio; local agencies address the concerns of safety by controlling exposure to risks.

SECURITIES AND EXCHANGE COMMISSION (“SEC”): The federal agency responsible for supervising and regulating the securities industry.

TRUSTEE OR TRUST COMPANY: A financial institution with powers to act in a fiduciary capacity for the benefit of the bondholders in enforcing the terms of the bond contract.

UNDERWRITER: A dealer that purchases a new issue of municipal securities for resale.

UNITED STATES AGENCY OBLIGATIONS: Federal agency or United States governmentsponsored enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government-sponsored enterprises, including federal agency mortgage-backed securities.

Types of instruments may include mortgage-backed securities from the Federal National Mortgage Association (“FNMA”) including Fannie Mae and Freddie Mac securities.

UNITED STATES TREASURY OBLIGATIONS: Debt obligations of the United States government sold by the Treasury Department in the forms of bills, notes, and bonds. Bills are short-term obligations that mature in one year or less and are sold at a discount. Notes are obligations that mature between one year and 10 years. Bonds are long-term obligations that generally mature in 10 years or more.

YIELD: The current rate of return on an investment security generally expressed as a percentage of the securities current price.

YIELD CURVE: A graphic representation that shows the relationship at a given point in time between yields and maturity for bonds that are identical in every way except maturity.

ITEM 7.3 – Exhibit A to Attachment A
Administrative Policy 2.2 (10/XX/2026) | Page 17 of 17
Attachment B, “California Municipal Treasurers Association Investment Policy Certification”
The City of Laguna Woods’ Investment of Financial Assets policy, as adopted by the City Council on April 4, 2022, was certified by the California Municipal Treasurers Association (“CMTA”) on June 27, 2022.

Since receiving certification, the City of Laguna Woods’ substantive modifications of the Investment of Financial Assets policy have been limited to updating this Attachment B, increasing the maximum amount of portfolio investment for non-negotiable certificates of deposit, increasing the maximum maturity and clarifying minimum credity quality and requirements for commercial paper, eliminating the limit on the amount of United States Treasury Obligations and United States Agency Obligations that can be invested with a single issuer, adding a performance standard for local government investment pools, replacing the Investment Policy Review Committee with an Investment Committee, and making changes responsive to the CMTA Investment Scorecards received as part of the June 27, 2022 certification.

This page is intentionally blank.

ITEM 7.3 – Attachment B
R 26-XX 1 10-21-2026

CITY OF LAGUNA WOODS
RESOLUTION NO. 26-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA, ADOPTING ADMINISTRATIVE POLICY 1.6 PERTAINING TO THE

ESTABLISHMENT AND OPERATION OF AN INVESTMENT COMMITTEE OF THE CITY

COUNCIL
WHEREAS, the City Council wishes to establish a practical means for the City Council to provide independent review and oversight of the City of Laguna Woods’ investment policies and activities, in addition to the reporting required by other administrative policies.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 2. The administrative policy attached hereto as Exhibit A is adopted and is a statement of the City’s Investment Committee policy. The administrative policy attached hereto as Exhibit A replaces and supersedes all previous versions of Administrative Policy

1.6. SECTION 3. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED this 21st day of October 2026. _____________________________________
ANNIE MCCARY, Mayor
ATTEST:
_____________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 7.3 – Attachment B
R 26-XX 2 10-21-2026

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, YOLIE TRIPPY, City Clerk of the City of Laguna Woods, do HEREBY CERTIFY that the foregoing Resolution No. 26-XX was duly adopted by the City Council of the City of Laguna Woods at a regular meeting thereof, held on the 21st day of October 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_______________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 7.3 – Exhibit A to Attachment B
Administrative Policy 1.6 (10/XX/2026) | Page 1 of 3
ADMINISTRATIVE POLICY 1.6

INVESTMENT COMMITTEE

1.6.01. Statement of Purpose.

This Administrative Policy is intended to establish a practical means for the City Council to provide independent review and oversight of the City of Laguna Woods’ investment policies and activities, in addition to the reporting required by other administrative policies.

1.6.02. Establishment.

An Investment Committee is established as a standing committee of the City Council.

1.6.03. Membership.

The City Council shall appoint two of its members to serve on the Investment Committee for terms two calendar years in length, commencing on January 1 of each odd-numbered year.

In making such appointments, the City Council shall designate one appointee to serve as the Chair of the Investment Committee and the other to serve as Vice Chair.

The City Council may remove or replace any member of the Investment Committee, or modify Chair or Vice Chair designations, with or without cause, following a publicly noticed vote of a majority of the quorum of the members of the City Council present at the time.

1.6.04. Responsibilities.

The Investment Committee shall be responsible for the following:

1. Biannually reviewing the adequacy and effectiveness of the City of Laguna Woods’ Investment of Financial Assets Policy (Administrative Policy 2.2) and, if modifications are identified as necessary or advantageous, making recommendations regarding the same to the City Council. This includes, but is not limited to, assessing whether the Investment of Financial Assets Policy is furthering its intended purpose of ensuring adequate safety and liquidity of the City of Laguna Woods’ financial assets, while maximizing yield (return) and complying with the requirements of California Government Code sections 53600 and 53635 et seq.

ITEM 7.3 – Exhibit A to Attachment B
Administrative Policy 1.6 (10/XX/2026) | Page 2 of 3

2. Biannually reviewing the performance of and strategies associated with the City of Laguna Woods’ funds invested separately with independent fiduciaries including, but not limited to, funds held and managed by the California Public Employees’ Retirement System (“CalPERS”) for the purpose of funding employee retirement obligations and other post-employment benefits and, if modifications are identified as necessary or advantageous, making recommendations regarding the same to the City Council.

3. Notifying the City Council when the Investment Committee believes it is necessary to retain outside financial experts, legal counsel, or other appropriate specialists to support the Investment Committee’s work. This provision shall not be interpreted as limiting the Investment Committee’s ability to consult with or receive services from the City Attorney’s Office.

4. Annually reviewing the adequacy of this Administrative Policy and, if modifications are identified as necessary or advantageous, making recommendations regarding the same to the City Council.

5. Receiving a biennial presentation from the City Attorney’s Office regarding the role of the Investment Committee and the responsibilities of members thereof.

Members of the Investment Committee are hereby advised to exercise an appropriate degree of professional skepticism in the performance of their responsibilities.

1.6.05. Meetings.

The Investment Committee shall meet regularly on the second Wednesdays of March and September at 3 p.m. Additional meetings including, but not limited to, special meetings, may be called by the Chair or both members of the Investment Committee.

The Investment Committee shall be subject to all applicable provisions of the Ralph M.

Brown Act (California Government Code Section 54950-54963).

1.6.06. Staff Support.

The City Manager and/or their designee shall provide clerical, analytical, professional, and technical support to the Investment Committee, but shall not be members thereof.

1.6.07. Administrative Policy Dissemination.

All members of the Investment Committee shall be provided with and acknowledge receipt of a copy of this Administrative Policy when this Administrative Policy is adopted or amended, as part of their appointment to the Investment Committee, and in conjunction with each biennial City Attorney’s Office presentation pursuant to Section 1.6.04 of this Administrative Policy.

ITEM 7.3 – Exhibit A to Attachment B
Administrative Policy 1.6 (10/XX/2026) | Page 3 of 3
This Administrative Policy shall be posted on the City of Laguna Woods’ website.

1.6.08. Relationship to Federal and State Laws.

Where federal or state laws are more restrictive than or contradict this Administrative Policy, such laws shall take precedence. Where this Administrative Policy is more restrictive than federal or state laws, this Administrative Policy shall take precedence.

City Council Approval: October XX, 2026
This page is intentionally blank.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 1 of 17
ADMINISTRATIVE POLICY 2.2

INVESTMENT OF FINANCIAL ASSETS

2.2.01. Statement of Purpose.

This Administrative Policy is intended to assist the City of Laguna Woods with the investment of the City’s City of Laguna Woods’ financial assets in a manner that ensures adequate safety and liquidity, while maximizing yield (return) and complying with the requirements of California Government Code sections 53600 and 53635 et seq.

2.2.02. Scope.

This Administrative Policy generally applies to all financial assets and investment activities of the City of Laguna Woods. Such funds are accounted for, or disclosed, in annual audited financial statements and include the General Fund, Special Revenue Funds, and the Capital Projects Fund. Funds belonging to the Laguna Woods Civic Support Fund and funds invested separately with independent fiduciaries, including funds held and managed by the California Public Employees’ Retirement System (“CalPERS”) for the purpose of funding employee retirement obligations and other post-employment benefits (“OPEB”) are exempt from this Administrative Policy.

2.2.03. Objectives.

The objectives of the City’s City of Laguna Woods’ investment activities, in priority order, shall be:

1. Safety – Safety of principal shall be the foremost objective. Investments shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall investment portfolio and the mitigation of credit risk and interest rate risk. This Administrative Policy recognizes that market conditions may warrant the sale of individual securities that would incur market losses in order to protect from further capital losses. The intent of this Administrative Policy is to ensure that capital losses are minimized on a portfolio level rather than on each transaction. To attain the safety objective, diversification of investments among a variety of securities with independent returns and institutions is required.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 2 of 17

2. Liquidity – The investment portfolio shall remain sufficiently liquid (i.e., capable of being converted to cash quickly) in order to enable the City of Laguna Woods to meet all reasonably anticipated cash demands and operational requirements and to maintain compliance with all applicable indenture agreements. Since unusual or unanticipated cash demands and operational requirements may occur from time-totime, the portfolio shall primarily consist of investments in securities with active secondary and resale markets.

3. Yield (Return) – The investment portfolio shall be designed in a manner that seeks to attain the highest rate of return, consistent with established safety and liquidity objectives. While it is acknowledged and understood that occasional measurement losses may occur, the rate of return on the investment portfolio should be designed to attain a market rate of return throughout budgetary and economic cycles for similar investments.

2.2.04. Delegation of Authority.

Investment Committee of the City Council
The Investment Committee shall be responsible for biannually reviewing the adequacy and effectiveness of the this Administrative Policy and, if modifications are identified as necessary or advantageous, making recommendations regarding the same to the City Council. This includes, but is not limited to, assessing whether this Administrative Policy is furthering its intended purpose of ensuring adequate safety and liquidity of the City of Laguna Woods’ financial assets, while maximizing yield (return) and complying with the requirements of California Government Code sections 53600 and 53635 et seq.

The City Council shall appoint two of its members to serve on the Investment Committee for terms two calendar years in length, commencing on January 1 of each odd-numbered year.

In making such appointments, the City Council shall designate one appointee to serve as the Chair of the Investment Committee and the other to serve as Vice Chair.

The Investment Committee shall be subject to all applicable provisions of the Ralph M.

Brown Act (California Government Code Section 54950-54963).

City Treasurer
In accordance with California Government Code Section 53607, the City Council delegates its statutory authority to invest or to reinvest City funds, or to sell or exchange securities so purchased, for a one-year period to the City Treasurer. Such delegation of authority is subject to annual review and renewal by the City Council, as well as revocation at the City Council’s discretion. Adoption of this Administrative Policy shall constitute renewal of such delegation for an additional one-year period beginning at the date of adoption.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 3 of 17
No person other than the City Treasurer or Acting City Treasurer (hereafter referred to jointly as the “City Treasurer”) shall engage in an investment transaction using the City’s City of Laguna Woods’ financial assets. The City Treasurer shall additionally be responsible for all investment transactions undertaken and shall establish and maintain a system of internal controls to regulate all investing activities.

Pursuant to Laguna Woods Municipal Code Section 2.10.010, the City Treasurer is appointed by, and reports to, the City Manager. The City Manager may serve as, or appoint, an Acting City Treasurer at any time during the absence of a permanent City Treasurer.

During his/her/their appointment, the Acting City Treasurer shall have all of the powers and duties of the City Treasurer.

The City Treasurer and City Manager (with respect to his/her/their role appointing and supervising the City Treasurer, and participating in investment decisions) shall be relieved of personal responsibility for an individual investment’s performance or losses, market price changes, and the performance of or losses incurred by the overall portfolio provided that (1) actions were undertaken in accordance with this Administrative Policy and applicable federal and state law, (2) significant deviations from expectations were reported to the City Council in a timely manner, and (3) appropriate action was taken to mitigate future adverse developments.

Investment Policy Review Committee of the City Council
The Investment Policy Review Committee shall be responsible for conducting at least biannual reviews of the adequacy and effectiveness of this Administrative Policy and preparing related recommendations for City Council consideration.

The City Council shall appoint two of its members to serve on the Investment Policy Review Committee for terms two calendar years in length, commencing on January 1 of each oddnumbered year. The City Council reserves the right to remove or replace any member of the Investment Policy Review Committee, with or without cause, following a publicly noticed vote of a majority of the quorum of City Councilmembers present at the time.

The Investment Policy Review Committee shall be considered a standing committee, subject to all applicable provisions of the Ralph M. Brown Act.

2.2.05. Public Trust.

The City Council, City Manager, City Treasurer, and all individuals authorized to participate in investment decisions on behalf of the City of Laguna Woods shall act as custodians of the public trust and recognize that the investment portfolio is subject to public review and evaluation. The City’s City of Laguna Woods’ overall approach to investment shall be designed and managed with a degree of professionalism that is worthy of the public trust and will avoid any transactions that might impair public confidence.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 4 of 17

2.2.06. Prudence.

The City Council, City Manager, City Treasurer, and all individuals authorized to make investment decisions on behalf of the City of Laguna Woods, are considered to be trustees and, therefore, fiduciaries who shall adhere to the prudent investor standard. The prudent investor standard is summarized in California Government Code Section 53600.3, as follows:
“All governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard. When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency. Within the limitations of this section and considering individual investments as part of an overall strategy, investments may be acquired as authorized by law.”

2.2.07. Ethics and Conflicts of Interest.

As set forth in the City’s City of Laguna Woods’ Conflict of Interest Policy, and as otherwise required by the Political Reform Act and Fair Political Practices Commission, public officials who manage public investments shall file economic interest disclosures.

In addition to federal, state and local statutes relating to conflicts of interest, the City Council, City Manager, City Treasurer, and all individuals authorized to make investment decisions on behalf of the City of Laguna Woods shall refrain from personal business association or activity that conflicts with proper execution of this Administrative Policy, or which could impair their ability to make impartial investment decisions.

2.2.08. Internal Controls and Routine External Review.

The City Treasurer shall develop, implement, and maintain a system of internal controls designed to ensure the effectiveness and efficiency of investment activities, compliance with applicable laws and regulations, and the reliability of financial reporting. Such internal controls shall seek to prevent the loss of public funds due to fraud, error, misrepresentation, and unanticipated market changes.

As a part of their annual review of internal controls, the City’s City of Laguna Woods’ ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 5 of 17
independent, external auditors shall review internal controls related to investment activities.

2.2.09. Authorized Financial Dealers, Depositories, and Institutions.

In accordance with California Government Code Section 53601.5, investments shall either be purchased (1) directly from the issuer, (2) from an institution licensed by the State of California as a Broker-Dealer, as defined in California Corporations Code Section 25004, (3) from a member of a federally regulated securities exchange, (4) from a national or statechartered bank, from a savings association or federal association, as defined by California Financial Code Section 5102, or (5) from a brokerage firm designated as a primary government dealer by the Federal Reserve Bank. In addition, investments shall only be purchased from entities or deposits made in qualified public depositories, as established by state law, with full knowledge of applicable state law, at least five years’ experience providing similar services to California municipalities, and in good standing with the Federal Insurance Regulatory Authority, Securities and Exchange Commission (“SEC”), and California Department of Securities.

The selection of financial dealers, depositories, and institutions shall follow a periodic competitive procurement process (e.g., requests for proposals or requests for qualifications) and be subject to ultimate approval of the City Council or City Manager in accordance with established purchasing regulations and policies. The nature of the competitive procurement process, frequency thereof, and submittals required, shall be designed and determined by the City Treasurer.

On an annual basis, the City Treasurer shall send a copy of the current version of this Administrative Policy to all financial dealers, depositories, and institutions approved to do business with the City of Laguna Woods. Receipt of this Administrative Policy shall be considered confirmation that the parties to whom they were distributed understand the City’s City of Laguna Woods’ authorized investment types and requirements thereof.

2.2.10. Authorized Investments.

Investments are governed by California Government Code, and further limited by the provisions of this Administrative Policy. The types of investments listed in the table below are authorized and shall be invested subject to the limits and requirements set forth therein.

Credit criteria and maximum percentages listed in the table below are calculated at the time the investment is purchased.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 6 of 17
Type of Investment
Maximum Percent
of Portfolio
Investment
Maximum
Amount of
Individual
Investment
Minimum Credit
Quality and
Requirements
Maximum
Maturity*
Federal Deposit
Insurance
Corporation (FDIC)
Insured Accounts
100% - - N/A
Bankers’
Acceptances
20% (no more than
5% with one bank) - - 180 days
Commercial Paper
15% (no more than
10% of a single
issuer)
-
Highest letter and
number rating by an
NRSRO**Standard &
Poor’s: AAA or
Moody’s: Aaa
270 397
days
Local Government
Investment Pools 90% -
See Section 2.2.11 of
this Administrative
Policy
N/A
Joint Powers
Authority Pools 90% -
Must retain an
investment advisor
who is registered with
the Securities and
Exchange
CommissionSEC (or
exempt from
registration), has
assets under
management in excess
of $500 million, and
has at least five years’
experience investing in
instruments
authorized by
California Government
Code Section 53601,
subdivisions (a) to (o)
N/A
Money Market
Mutual Funds 10% -
Standard & Poor’s AAA
or Moody’s Aaa; and
Must retain an
investment advisor
registered with the
Securities and
Exchange
CommissionSEC (or
exempt from
N/A
ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 7 of 17
Type of Investment
Maximum Percent
of Portfolio
Investment
Maximum
Amount of
Individual
Investment
Minimum Credit
Quality and
Requirements
Maximum
Maturity*
registration) has
assets under
management in excess
of $500 million, and
has at least five years’
experience investing in
money market
instruments
Certificates of
Deposit
(Negotiable)
30% (no more than
10% with one bank
or issuer)
$250,000
Issued by a nationally
or state-chartered
bank, or state or
federal savings and
loan association, as
defined by California
Financial Code Section
5102, and fully insured
by the Federal Deposit
Insurance Corporation
(“ FDIC”) or
collateralized in
accordance with
Section 2.2.15 of this
Administrative Policy
5 years Certificates of
Deposit (NonNegotiable) 90%
Repurchase
Agreements
10% (no more than
20% of a single
issuer)
-
Collateralized in
accordance with
Section 2.2.15 of this
Administrative Policy
30 days
United States
Treasury
Obligations 90% of overall
portfolio for any one
investment type
-
Explicit full faith and
credit guarantee of the
United States
Government
5 years
United States
Agency Obligations -
Implied full faith and
credit guarantee of the
United States
Government
5 years
State of California
and Other Statesissued Obligations
20% of overall
portfolio for any one
investment type (no
more than 5% of a
single issuer)
- - 3 years
California Local
Government-issued
Municipal
Obligations
-
- 3 years
ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 8 of 17
Type of Investment
Maximum Percent
of Portfolio
Investment
Maximum
Amount of
Individual
Investment
Minimum Credit
Quality and
Requirements
Maximum
Maturity*
Medium-Term
Notes 20% -
Nationally Recognized
Statistical Ratings
Organization Rating:
“A” rating category or
its equivalent
5 years
* No investment shall be made with a maturity rate more than five years from the date of purchase. ** Issuing entity must be organized and operating within the United States as a general corporation, have assets in excess of $500 million, and have debt other than commercial paper, if any, rated by a NRSRO in a rating category of “A” or its equivalent or higher; or the issuing entity must be organized within the United States as a special purpose corporation, trust, or limited liabiliy corporation, have program wide credit enhancements, and have commercial paper that is rated “A-1” or higher, or the equivalent, by a NRSRO.

2.2.11. Local Government Investment Pools.

While local government investment pools generally provide significant safety and liquidity, the City Treasurer shall complete a thorough investigation prior to making any such investment and consider the same during the monthly compliance review required by Section 2.2.13 of this Administrative Policy. Due diligence in investigations shall generally include a review of written statements of investment policies, objectives, fees schedules, and reporting schedules, as well as issues related to (1) eligible investors and securities, (2) the permitted frequencies and sizes of deposits and withdrawals, (3) security safeguards, including settlement processes, (4) the frequency with which securities are priced and the program audited, (5) the treatment of gains and losses, including interest calculations and distribution, (6) whether and, if so, how reserves, retained earnings, and similar funds are utilized by the investment pool, and (7) whether the investment pool is eligible for and, if so, accepts bond proceeds. In addition, only local government investment pools with at least five years’ experience providing similar services to other California municipalities may be utilized. Similar due diligence and investigative procedures shall be performed prior to investing in any other pooled investment funds, such as money market mutual funds.

When investments are held in more than one local government investment pool at the same time, the City Treasurer shall review yield rates for each investment pool at least twice per month – once during the preparation of each monthly investment report to the City Council required by Section 2.2.17 of this Administrative Policy and again at the end of each month.

If the percent change between the yield rates is 5% or more at the time of review, the City Treasurer shall ensure that no less than 60% of total investments in investment pools are held in the investment pool with the highest yield rate, unless a lower amount is necessary to meet reasonably anticipated, short-term cash flow needs.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 9 of 17

2.2.12. Prohibited Investments.

Notwithstanding those types of investments that are otherwise prohibited by law or this Administrative Policy, any type of investment not specifically listed in Section 2.2.10 of this Administrative Policy, as well as including, but not limited to, financial derivatives (e.g., inverse floaters, range notes, interest only strips derived from a pool of mortgages, and securities that could result in a zero-interest accrual if held to maturity) and foreign investments (e.g., indices and currencies), are prohibited.

2.2.13. Monthly Internal Compliance Review of Investment Portfolio.

Investments shall be in compliance with the ratings and other requirements set forth in this Administrative Policy at the time of purchase. It is acknowledged and understood that some investments may not fully comply with the same following purchase. The City Treasurer shall review the overall investment portfolio on a monthly basis and identify any investments that no longer comply with this Investment Policy. Non-compliant investments shall be reported to the City Council, City Manager, and City Attorney within 10 business days of discovery and corrected as soon as practical.

2.2.14. Safekeeping and Custody.

All investments shall be registered in the name of the City of Laguna Woods and all interest, principal payments, and withdrawals shall indicate the City of Laguna Woods as the sole payee.

All investments, with the exception of except for Federal Deposit Insurance Corporation (FDIC) FDIC Insured Accounts, Local Government Investment Pools, and Money Market Funds shall be held by a third-party custodian designated by the City Treasurer and evidenced by custodial agreements or safekeeping receipts. Third-party custodians shall comply with the requirements set forth in Section 2.2.09 of this Administrative Policy.

All security transactions, where applicable, shall use a Delivery-versus-Payment (“DVP”) settlement procedure with the City’s City of Laguna Woods’ payment due at the time of delivery, which ensures that securities are deposited with the third-party custodian prior to the release of funds.

2.2.15. Collateralization.

Collateral for bank deposits and certificates of deposit shall be 110% of the market value of principal and accrued interest. Collateral can be either United States Treasury securities or United States Agency securities.

Collateral for repurchase agreements shall be 102% of the market value of principal and ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 10 of 17
accrued interest. Collateral can be either United States Treasury securities or United States Agency securities. The City Treasurer is authorized to grant the right of collateral substitution for repurchase agreements.

All collateral shall be held by an independent third party with whom the City of Laguna Woods has a current custodial agreement or master repurchase agreement. Evidence of ownership (safekeeping receipt) must be supplied to the City of Laguna Woods and retained.

2.2.16. Diversification.

The overall investment portfolio shall be diversified to avoid incurring unreasonable and avoidable risk associated with concentrating investments in unvaried investment types, maturity segments, or financial depositories and institutions. In a diversified portfolio, occasional measurement losses may occur. Such losses shall be considered within the overall portfolio’s investment return.

2.2.17. Reporting.

The City Treasurer shall prepare and submit a monthly investment report to the City Council.

The report shall include a summary of all investment transactions for the preceding month, as required by California Government Code Section 53607, as well as similar information that would be required by California Government Code Section 53646(b) if the City City of Laguna Woods prepared quarterly investment reports, to the extent that such information is available.

The report shall contain, at a minimum, the following information that is subject to this Administrative Policy: the type of investment, issuer, date of maturity, par value and costs of each investment, market value, and a description of any investments, including loans and security lending programs, that are under the management of contracted parties. For funds in local government investment pools, the report shall also include a current market value as of the date of the report and the source of that same valuation. The report shall also comply with Government Accounting Standard Board (“GASB”) Statement No. 40 and include the following:

A. Certification that all investment actions executed since the last report have been made in full compliance with this Administrative Policy; and B. Certification that the City of Laguna Woods is able to meet all cash flow needs which might reasonably be anticipated for the next 12 months.

2.2.18. Annual City Council Review and Adoption of this Administrative Policy.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 11 of 17
This Administrative Policy shall be reviewed, modified as necessary, and adopted, at least annually, to ensure its consistency with the objectives set forth in Section 2.2.03 of this Administrative Policy and applicable law. The Administrative Policy shall be adopted by resolution of the City Council at a duly noticed public meeting. Such annual review shall be in addition to the reviews conducted by the Investment Policy Review Committee as described in Section 2.2.04 of this Administrative Policy.

2.2.19. Relationship to Federal and State Laws.

Where federal or state laws are more restrictive than or contradict this Administrative Policy, such laws shall take precedence. Where this Administrative Policy is more restrictive than federal or state laws, this Administrative Policy shall take precedence. The City Treasurer shall advise the Investment Policy Review Committee of any contradictions of federal or state law for consideration during its reviews conducted as described in Section 2.2.04 of this Administrative Policy.

2.2.20. Attachments.

Attachment A, “Glossary of Terms and Acronyms,” is incorporated by reference.

Attachment B, “California Municipal Treasurers Association Investment Policy Certification”
City Council Approval: October XX, 2026
Attachment A, “Glossary of Terms and Acronyms”
This Glossary of Terms and Acronyms contains common investment terminology to provide users with a better understanding of basic investment terms. It is intended to be used as a basic reference only, is not intended to be all inclusive, and should not be treated as a ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 12 of 17
substitute for professional counsel or analysis.

ACCRUED INTEREST: Coupon interest accumulated on a bond or note since the last interest payment or, for a new issue, from the dated date to the date of delivery.

BANK DEPOSITS: Deposits in banks or other depository institutions that may be in the form of demand accounts (checking) or investments in accounts that have a fixed term and negotiated rate of interest.

BANKERS’ ACCEPTANCE: A draft or bill or exchange accepted by a bank or trust company.

The accepting institution, as well as the issuer, guarantees payment of the bill.

BOND PROCEEDS: The money paid to the issuer by the purchaser or underwriter of a new issue of municipal securities. These moneys are used to finance the project or purpose for which the securities were issued and to pay certain costs of issuance as may be provided in the bond contract.

BONDS: A debt obligation of a firm or public entity. A bond represents the agreement to repay the debt in principal and, typically, in interest on the principal.

BROKER: A person or firm that acts as an intermediary by purchasing and selling securities for others rather than for its own account.

CALIFORNIA ASSET MANAGEMENT PROGRAM (“CAMP”): A joint powers authority that operates a voluntary investment fund for public agencies.

CASH FLOW: A comparison of cash receipts (revenues) to required payments (debt service, operating expenses, etc.).

CERTIFICATE OF DEPOSIT (“CDs”): A short-term, secured deposit in a financial institution that usually returns principal and interest to the lender at the end of the loan period.

Certificates of Deposit (CDs)CDs differ in terms of collateralization and marketability. CDs appropriate to public agency investing include:

Negotiable Certificates of Deposit – Generally, short-term debt instruments that pay interest and is issued by a bank, savings or federal association, state or federal credit union, or statelicensed branch of a foreign bank. The majority of negotiable CDs mature within six months while the average maturity is two weeks. Negotiable CDs are traded in a secondary market and are payable upon order to the bearer or initial depositor (investor). Negotiable CDs are insured by the FDIC up to $250,000, but they are not collateralized beyond that amount.

Non-Negotiable Certificates of Deposit – CDs that carry a penalty if redeemed prior to maturity. A secondary market does exist for non-negotiable CDs, but redemption includes a transaction cost that reduces returns to the investor. Non-negotiable CDs issued by banks ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 13 of 17
and savings and loans are insured by the FDIC up to the amount of $250,000, including principal and interest. Amounts deposited above this amount may be secured with other forms of collateral through an agreement between the investor and the issuer. Collateral may include other securities, including treasuries or agency securities (e.g., issued by the Federal National Mortgage Association (“FNMA”)).

COLLATERALIZATION OF DEPOSITS: A process by which a bank or other financial institution pledges securities or other deposits for the purpose of securing the repayment of deposited funds.

COMMERCIAL PAPER: An unsecured short-term promissory note issued by corporations or municipalities, with maturities ranging from two to 270 397 days.

COUNTY POOLED INVESTMENT FUNDS: The aggregate of all funds from public agencies placed in the custody of the county treasurer or chief finance officer for investment and reinvestment.

COUPON: The annual rate of interest that a bond’s issuer promises to pay the bondholder in the bond’s face value; a certificate attached to a bond evidencing interest due on a payment date.

CREDIT RATING: The credit worthiness of an investment. Credit ratings are issued by Nationally Recognized Statistical Rating Organizations (NRSROs)NRSROs registered with the Securities and Exchange CommissionSEC. Three highly recognized NRSROs are Standard and Poor’s, Moody’s, and Fitch. The organizations use a primary letter designation (numbers or symbols may follow the letter designation) to indicate the quality of an investment. As an example, short-term ratings by Standard and Poor’s of A-1+ and Moody’s of P-1 indicate a prime or high-grade quality investment. Long-term prime or high-grade quality investments would be rated AAA or Aaa by Standard and Poor’s and Moody’s, respectively. Rates beginning with letters B or C would typically indicate an investment of speculative and higher risk quality.

CREDIT RISK: The chance that an issuer will be unable to make scheduled payments of interest and principal on an outstanding obligation. Another concern for investors is that the market’s perception of an issuer/borrower’s credit will cause the market value of a security to fall, even if default is not expected.

CUSTODIAN: A bank or other financial institution that keeps custody of stock certificates and other assets.

DEALER: Someone who acts as a principal in all transactions, including underwriting, buying, and selling securities, including from his/her/their own account.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 14 of 17
DELIVERY-VERSUS-PAYMENT (“DVP”): The payment of cash for securities as they are delivered and accepted for settlement.

DERIVATIVE: Securities that are based on, or derived from, some underlying asset, reference date, or index.

DISCOUNT: The difference between the par value of a security and the cost of the security, when the cost is below par. Investors purchase securities at a discount when return to the investor (yield) is higher than the stated coupon (interest rate) on the investment.

DISCOUNT RATE: The interest rate used in discounted cash flow analysis to determine the present value of future cash flows. The discount rate in discounted cash flow analysis takes into account not just the time value of money, but also the risk or uncertainty of future cash flows; the greater the uncertainty of future cash flows, the higher the discount rate.

DIVERSIFICATION: The allocation of different types of assets in a portfolio to mitigate risks and improve overall portfolio performance.

FEDERAL DEPOSIT INSURANCE CORPORATION (“FDIC”): A federal agency that insures bank deposits, currently up to $250,000 per entity.

FIDUCIARY: An individual who holds something in trust for another and bears liability for its safekeeping.

GOVERNMENT ACCOUNTING STANDARDS BOARD (“GASB”): A standard-setting body, associated with the Financial Accounting Foundation, which prescribes standard accounting practices for governmental units.

INDEX: An indicator that is published on a periodic basis that shows the estimated price and/or yield levels for various groups of securities.

INTEREST: The amount a borrower pays to a lender for the use of his/her/their money.

INTEREST RATE RISK: The risk that an investment's value will change due to a change in the absolute level of interest rates, spread between two rates, shape of the yield curve, or any other interest rate relationship.

JOINT POWERS AUTHORITY POOLS: Investment pools involving the joint exercise of common investment powers between two or more public agencies with shares of beneficial interest issued pursuant to California Government Code Section 6509.7.

LIQUIDITY: The measure of the ability to convert an instrument to cash on a given date at full face or par value.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 15 of 17
LOCAL AGENCY INVESTMENT FUND (“LAIF”): A voluntary investment fund open to government entities and certain non-profit organizations in California that is managed by the State Treasurer’s Office.

LOCAL GOVERNMENT INVESTMENT POOLS: Investment pools that include the Local Agency Investment Fund (LAIF) and County Pooled Investment FundsCAMP and LAIF. These funds are not subject to the same SEC rules applicable to money market mutual funds. For this Administrative Policy, Joint joint Powers powers Authority authority Pools pools are not considered “Local local Government government Investment investment Poolspools.” MARKET VALUE: The price at which a security is trading and presumably could be purchased or sold at a particular point in time.

MATURITY: The date on which the principal or stated value of an investment becomes due and payable.

MEDIUM-TERM NOTES: Corporate or depository institution debt securities meeting certain minimum quality standards (as specified in California Government Code Section 53601) with a maximum remaining maturity of five years or less, issued by (a) corporations organized and operating within the United States or (b) depository institutions licensed by the United States or any state and operating within the United States. Instruments separately defined in, or authorized by, this Administrative Policy are not considered “Medium-Term Notes.”
MONEY MARKET MUTUAL FUNDS (“MMFs”): Mutual funds that invest exclusively in shortterm money market instruments. MMFs seek the preservation of capital as a primary goal while maintaining a high degree of liquidity and providing income representative of the market for short term investments.

MORTGAGE-BACKED SECURITIES (“MBS”): Securities created when a mortgagee or a purchaser of residential real estate mortgages creates a pool of mortgages and markets undivided interests or participations in the pool. MBS owners receive a pro-rata share of the interest and principal cash flows (net of fees) that are “passed through” from the pool of mortgages. MBS are complex securities whose cash flow is determined by the characteristics of the mortgages that are pooled together. Investors in MBS face prepayment risk associated with the option of the underlying mortgagors to pre-pay or payoff their mortgage. Most MBS are issued and/or guaranteed by federal agencies and instrumentalities (e.g., Government National Mortgage Association (“GNMA”), Federal National Mortgage Association (“FNMA”), and Federal Home Loan Mortgage Corporation (“FHLMC”)).

MUNICIPAL NOTES, BONDS, AND OTHER OBLIGATIONS: Obligations issued by state and local governments to finance capital and operating expenses.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 16 of 17
MUTUAL FUNDS: An investment company that pools money and can invest in a variety of securities, including fixed-income securities and money market instruments.

NATIONALLY RECOGNIZED STATISTICAL RATINGS ORGANIZATION (“NRSRO”): A credit rating agency registered as a “Nationally Recognized Statistical Ratings Organization” with the Securities and Exchange Commission, consistent with the Credit Rating Agency Reform Act, the Dodd-Frank Wall Street Reform and Consumer Protection Act, and other applicable legislation and rulemaking, as may change from time-to-time.

NEW ISSUE: Securities sold during the initial distribution of an issue in a primary offering by the underwriter or underwriting syndicate.

NOTE: A written promise to pay a specified amount to a certain entity on demand or on a specified date. Usually bearing a short-term maturity of a year or less (though longer maturities are issued—see “Medium-Term Notes”).

PAR VALUE: The principal amount of a note or bond which must be paid at maturity. Par, also referred to as the “face amount” of a security, is the principal value stated on the face of the security. A par bond is one sold at a price of 100 percent of its principal amount.

PORTFOLIO: Combined holding of more than one stock, bond, commodity, real estate investment, cash equivalent, or other asset. The purpose of a portfolio is to reduce risk by diversification.

PREMIUM: The difference between the par value of a security and the cost of the security, when the cost is above par. Investors pay a premium to purchase a security when the return to the investor (yield) is lower than the stated coupon (interest rate) on the investment.

PRICE: The amount of monetary consideration required by a willing seller and a willing buyer to sell an investment on a particular date.

PRINCIPAL: The face value or par value of a debt instrument, or the amount of capital invested in a given security.

PRUDENT INVESTOR STANDARD: A standard of conduct where a person acts with care, skill, prudence, and diligence when investing, reinvesting, purchasing, acquiring, exchanging, selling, and managing funds. The test of whether the standard is being met is if a prudent person acting in such a situation would engage in similar conduct to ensure that investments safeguard principal and maintain liquidity.

REPURCHASE AGREEMENTS: An agreement of one party (for example, a financial institution) to sell securities to a second party (such as a local agency) and simultaneous agreement by the first party to repurchase the securities at a specified price from the second party on demand or at a specified date.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 17 of 17
RISK: The uncertainty of maintaining the principal or interest associated with an investment due to a variety of factors.

SAFEKEEPING SERVICE: Offers storage and protection of assets provided by an institution serving as an agent.

SAFETY: In the context of investing public funds, safety relates to preserving the principal of an investment in an investment portfolio; local agencies address the concerns of safety by controlling exposure to risks.

SECURITIES AND EXCHANGE COMMISSION (“SEC”): The federal agency responsible for supervising and regulating the securities industry.

TRUSTEE OR TRUST COMPANY: A financial institution with powers to act in a fiduciary capacity for the benefit of the bondholders in enforcing the terms of the bond contract.

UNDERWRITER: A dealer that purchases a new issue of municipal securities for resale.

UNITED STATES AGENCY OBLIGATIONS: Federal agency or United States governmentsponsored enterprise obligations, participations, or other instruments, including those issued by or fully guaranteed as to principal and interest by federal agencies or United States government-sponsored enterprises, including federal agency mortgage-backed securities.

Types of instruments may include mortgage-backed securities from the Federal National Mortgage Association (“FNMA”) including Fannie Mae and Freddie Mac securities.

UNITED STATES TREASURY OBLIGATIONS: Debt obligations of the United States government sold by the Treasury Department in the forms of bills, notes, and bonds. Bills are short-term obligations that mature in one year or less and are sold at a discount. Notes are obligations that mature between one year and 10 years. Bonds are long-term obligations that generally mature in 10 years or more.

YIELD: The current rate of return on an investment security generally expressed as a percentage of the securities current price.

YIELD CURVE: A graphic representation that shows the relationship at a given point in time between yields and maturity for bonds that are identical in every way except maturity.

ITEM 7.3 – Attachment C
Administrative Policy 2.2 (10/XX/2026) | Page 18 of 17
Attachment B, “California Municipal Treasurers Association Investment Policy Certification”
The City’s City of Laguna Woods’ Investment of Financial Assets policy, as adopted by the City Council on April 4, 2022, was certified by the California Municipal Treasurers Association (“CMTA”) on June 27, 2022.

Since receiving certification, the City’s City of Laguna Woods’ substantive modifications of the Investment of Financial Assets policy have been limited to updating this Attachment B, increasing the maximum amount of portfolio investment for non-negotiable certificates of deposit, increasing the maximum maturity and clarifying minimum credity quality and requirements for commercial paper, eliminating the limit on the amount of United States Treasury Obligations and United States Agency Obligations that can be invested with a single issuer, adding a performance standard for local government investment pools, replacing the Investment Policy Review Committee with an Investment Committee, and making changes responsive to the CMTA Investment Scorecards received as part of the June 27, 2022 certification.

7.4 FEDERAL AND STATE DISASTER ASSISTANCE
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

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ITEM 7.4 – Attachment A
R 26-XX 1 10-21-2026

CITY OF LAGUNA WOODS
RESOLUTION NO. 26-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA, REPEALING RESOLUTION NO. 23-04 AND MAKING DESIGNATIONS

AND AUTHORIZATIONS RELATED TO APPLICATIONS, ASSURANCES, AND

AGREEMENTS FOR FEDERAL AND STATE DISASTER FINANCIAL ASSISTANCE AND

GRANT PROGRAMS INCLUDING, BUT NOT LIMITED TO, AUTHORIZING THE COMPLETION, EXECUTION, AND FILING OF THE CALIFORNIA GOVERNOR’S OFFICE OF EMERGENCY SERVICES’ DESIGNATION OF APPLICANT’S AGENT RESOLUTION FOR NON-STATE AGENCIES (OES-FPD-130) FORM
WHEREAS, the State of California allows all non-state agency applicants for federal financial assistance under laws or programs including, but not limited to, Public Law (“P.L.”) 93-288 as amended by the Robert T. Stafford Disaster Relief and Emergency Assistance Act of 1988, and/or state financial assistance under laws or programs including, but not limited to, the California Disaster Assistance Act, to designate authorized agents for the same by resolution approved by the respective governing body within three years preceding the date of any application for such financial assistance; and WHEREAS, the City’s most recent designations and authorizations were made by Resolution No. 23-04.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. Resolution No. 23-04 is hereby repealed.

SECTION 2. The City Manager and Administrative Services Director/City Treasurer (“City Agents”) are hereby authorized to execute for and on behalf of the City of Laguna Woods, a public entity established under the laws of the State of California, any actions necessary for the purpose of obtaining federal financial assistance under laws or programs including, but not limited to, P.L. 93-288 as amended by the Robert T. Stafford Disaster Relief and Emergency Assistance Act of 1988, and/or state financial assistance under laws or programs including, but not limited to, the California Disaster Assistance Act. This authorization includes, but is not limited to, the execution and provision of any assurances and agreements required, as well as California Governor’s Office of Emergency Services (“Cal OES”) Form 130 (Designation of Applicant’s Agent Resolution for Non-State Agencies (OES-FPD-130)), in the form completed and attached hereto as Exhibit A.

SECTION 3. The City Agents are hereby authorized to provide to the State of California and Cal OES for all matters pertaining to disaster financial assistance, the assurances and agreements required.

ITEM 7.4 – Attachment A
R 26-XX 2 10-21-2026
SECTION 4. The City Agents, City Clerk, and such other City staff as may be necessary, are hereby authorized to execute and file Cal OES Form 130 with the State of California, consistent with this resolution.

SECTION 5. This resolution is a universal resolution and is effective for all open and future disasters up to three years following its date of approval.

SECTION 6. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED this 21st day of October 2026. _____________________________________
ANNIE MCCARY, Mayor
ATTEST:
_____________________________________
YOLIE TRIPPY, CMC, City Clerk

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, YOLIE TRIPPY, City Clerk of the City of Laguna Woods, do HEREBY CERTIFY that the foregoing Resolution No. 26-XX was duly adopted by the City Council of the City of Laguna Woods at a regular meeting thereof, held on the 21st day of October 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_______________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 7.4 – Exhibit A to Attachment A
Exhibit A to Resolution No. 26-XX
Cal OES Form 130 (Designation of Applicant’s Agent Resolution for Non-State Agencies (OES-FPD-130))
This page is intentionally blank.

DESIGNATION OF APPLICANT'S AGENT RESOLUTION FOR
- Federally declared Disaster (DR), Fire Mitigation Assistance Grant (FMAG), California State Only Disaster (CDAA), Immediate Services Program (ISP), Hazard Mitigation Grant Program (HMGP), Building Resilient Infrastructure and Communities (BRIC), Legislative Pre-Disaster Mitigation Program (LPDM), - - Flood Mitigation Assistance Program (FMA)
- National Earthquake Hazards Reduction Program (NEHRP) - California Early Earthquake Warning (CEEW)
Rev. 2022 OES-
Please check the appropriate box below

CERTIFICATION
Rev. 2022 OES- -
Cal OES Form 130 Instructions
A Designation of Applicant’s Agent Resolution for Non-State Agencies is required of all Applicants to be eligible to receive funding. A new resolution must be submitted if a previously submitted resolution is older than three (3) years from the last date of approval, is invalid, or has not been submitted.

Resolution Section:

Governing Body
Name of Applicant
Authorized Agent
and
Rev. 2022 OES- -
Checking Universal or Disaster-Specific Box:

Governing Body Representative
cannot
Certification Section:

Name and Title
cannot
Rev. 2022 OES- -

7.5 CONFLICT OF INTEREST CODE
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

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ITEM 7.5 – Attachment A
R 26-XX 1 10-21-2026

CITY OF LAGUNA WOODS
RESOLUTION NO. 26-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS,

CALIFORNIA, DETERMINING THAT NO CHANGES IN THE CONFLICT OF INTEREST CODE ADOPTED BY RESOLUTION NO. 18-27 ARE NECESSARY FOLLOWING THE REVIEW REQUIRED BY CALIFORNIA GOVERNMENT CODE SECTION 87306.5 WHEREAS, the Political Reform Act of 1974 and California Government Code Section 81000 et seq. (“Act”), require local governmental agencies to adopt a conflict of interest code pursuant to the Act; and
WHEREAS, California Government Code Section 87306.5 requires local governmental agencies to review conflict of interest codes at least every even-numbered year and identify whether any changes in conflict of interest codes are necessitated by changed circumstances by October 1 of the same year; and WHEREAS, the City’s existing conflict of interest code was adopted on June 20, 2018 by Resolution No. 18-27.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. After reviewing the existing conflict of interest code adopted by Resolution No. 18-27, the City Council hereby determines that there are no changed circumstances that necessitate changes in the existing conflict of interest code.

SECTION 2. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED this 21st day of October 2026. _____________________________________
ANNIE MCCARY, Mayor
ATTEST:
_____________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 7.5 – Attachment A
R 26-XX 2 10-21-2026

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, YOLIE TRIPPY, City Clerk of the City of Laguna Woods, do HEREBY CERTIFY that the foregoing Resolution No. 26-XX was duly adopted by the City Council of the City of Laguna Woods at a regular meeting thereof, held on the 21st day of October 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_______________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 7.5 - Attachment B
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7.6 CATCH BASIN MAINTENANCE SERVICES
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

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ITEM 7.6
CLW-United Storm Water, Inc. – Extension 10/21/26

EXTENSION OF THE

AGREEMENT FOR CONSULTANT SERVICES

BETWEEN THE

CITY OF LAGUNA WOODS
AND
UNITED STORM WATER, INC.

FOR CATCH BASIN MAINTENANCE SERVICES
This EXTENSION of the AGREEMENT FOR CONSULTANT SERVICES ("AGREEMENT") that was approved by the City Council on September 20, 2023, by and among the City of Laguna Woods, a California municipal corporation ("CITY") and United Storm Water, Inc. ("CONTRACTOR"), is made and entered into this _______________ by and among the CITY and CONTRACTOR.

WHEREAS, the initial term of the AGREEMENT was for the period between October 1, 2023 and 11:59 p.m. on October 31, 2026; and WHEREAS, the AGREEMENT allows for the term of the AGREEMENT to be extended upon written agreement of both parties to the AGREEMENT through a maximum of 11:59 p.m. on October 31, 2027; and
WHEREAS, CITY has identified a need for and requested CONSULTANT provide services through 11:59 p.m. on October 31, 2027; and
WHEREAS, CONSULTANT is willing and able to provide the services requested by CITY, subject to the terms and conditions of this EXTENSION.

NOW THEREFORE, the parties amend the AGREEMENT as follows:

1. CITY and CONSULTANT hereby agree to an EXTENSION of the AGREEMENT for a period beginning on November 1, 2026 and ending at 11:59 p.m. on October 31, 2027 with no changes to the terms and conditions of the AGREEMENT except as specified herein.
[SIGNATURES ON NEXT PAGE]
ITEM 7.6
CLW-United Storm Water, Inc. – Extension 10/21/26

IN WITNESS WHEREOF, the parties hereto have caused this EXTENSION to be executed the day and year first above written.

CITY OF LAGUNA WOODS: Approved as to Form:

By
Christopher Macon, City Manager Alisha Patterson, City Attorney CONSULTANT:

By
Lydia Perry, Secretary/Treasurer

7.7 HAZARDOUS WASTE HANDLING SERVICES
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

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CLW-WM Curbside, LLC Extension

EXTENSION OF THE

AGREEMENT FOR CONSULTANT SERVICES

BETWEEN THE

CITY OF LAGUNA WOODS
AND

WM CURBSIDE, LCC

FOR HAZARDOUS WASTE HANDLING SERVICES
This EXTENSION of the AGREEMENT FOR CONSULTANT SERVICES ("AGREEMENT") that was approved by the City Council on June 23, 2021, by and among the City of Laguna Woods, a California municipal corporation ("CITY") and WM Curbside, LLC, a Delaware limited liability company ("CONTRACTOR"), is made and entered into this _______________ by and among the CITY and CONTRACTOR.

WHEREAS, the initial term of the AGREEMENT was for the period between July 1, 2021 and 11:59 p.m. on June 30, 2024; and
WHEREAS, the AGREEMENT allows for the term of the AGREEMENT to be extended upon written agreement of both parties to the AGREEMENT through a maximum of 11:59 p.m. on June 30, 2026; and
WHEREAS, the term of the AGREEMENT was previously extended by the City Council for periods through 11:59 p.m. on September 30, 2026; and WHEREAS, CITY has identified a need for and requested CONSULTANT provide services through 11:59 p.m. on October 31, 2026; and
WHEREAS, CONSULTANT is willing and able to provide the additional services requested by CITY, subject to the terms and conditions of this EXTENSION.

NOW THEREFORE, the parties amend the AGREEMENT as follows and, by doing so, memorialize prior authorized terms of agreement and performance consistent with same from and after October 1, 2026 until the date of signing hereto:

1. CITY and CONSULTANT hereby agree to an EXTENSION of the AGREEMENT for a period beginning on October 1, 2026 and ending at 11:59 p.m. on October 31, 2026 with no changes to the terms and conditions of the AGREEMENT except as specified herein.
[SIGNATURES ON NEXT PAGE]
ITEM 7.7 - Attachment A
CLW-WM Curbside, LLC Extension

IN WITNESS WHEREOF, the parties hereto have caused this EXTENSION to be executed the day and year first above written.

CITY OF LAGUNA WOODS: Approved as to Form:

By
Christopher Macon, City Manager Alisha Patterson, City Attorney CONSULTANT:

By
Ilda Rodriguez, District Manager
ITEM 7.7 - Attachment A
ITEM 7.7 – Attachment B
CLW-WM Curbside, LLC – Extension-Amendment 10/21/26

EXTENSION AND AMENDMENT OF THE

AGREEMENT FOR CONSULTANT SERVICES

BETWEEN THE

CITY OF LAGUNA WOODS
AND

WM CURBSIDE, LLC

FOR HAZARDOUS WASTE HANDLING SERVICES
This EXTENSION AND AMENDMENT of the AGREEMENT FOR
CONSULTANT SERVICES ("AGREEMENT") that was approved by the City Council on June 23, 2021, by and among the City of Laguna Woods, a California municipal corporation ("CITY") and WM Curbside, LLC, a Delaware limited liability company ("CONTRACTOR"), is made and entered into this _______________ by and among the CITY and CONTRACTOR.

WHEREAS, the initial term of the AGREEMENT was for the period between July 1, 2021 and 11:59 p.m. on June 30, 2024; and
WHEREAS, the AGREEMENT allows for the term of the AGREEMENT to be extended upon written agreement of both parties to the AGREEMENT through a maximum of 11:59 p.m. on June 30, 2026; and
WHEREAS, the term of the AGREEMENT was previously extended by CITY for periods through 11:59 p.m. on October 31, 2026; and
WHEREAS, CITY has identified a need for and requested CONTRACTOR provide services through 11:59 p.m. on June 30, 2027; and
WHEREAS, CONTRACTOR is willing and able to provide the additional services requested by CITY, subject to the terms and conditions of this EXTENSION AND AMENDMENT.

NOW THEREFORE, the parties amend the AGREEMENT as follows:

1. CITY and CONTRACTOR hereby agree to an EXTENSION of the AGREEMENT for a period beginning on November 1, 2026 and ending at 11:59 p.m. on June 30, 2027 with no changes to the terms and conditions of the AGREEMENT except as specified herein.

2. CITY and CONTRACTOR hereby agree to an AMENDMENT of the AGREEMENT consisting only of the modifications shown on pages 3-4 of this AMENDMENT. [SIGNATURES ON NEXT PAGE]
ITEM 7.7 – Attachment B
CLW-WM Curbside, LLC – Extension-Amendment 10/21/26

IN WITNESS WHEREOF, the parties hereto have caused this EXTENSION AND AMENDMENT to be executed the day and year first above written.

CITY OF LAGUNA WOODS: Approved as to Form:

By
Christopher Macon, City Manager Alisha Patterson, City Attorney CONTRACTOR:

By
Ilda Rodriguez, District Manager
ITEM 7.7 – Attachment B
CLW-WM Curbside, LLC – Extension-Amendment 10/21/26

AMENDMENT TEXT
Exhibit “A” (“Maximum Rate Schedule for Household Hazardous Waste Handling Services”) of the AGREEMENT is amended to read as follows (additions shown with underlining and deletions shown with strike through):

EXHIBIT A

MAXIMUM RATE SCHEDULE FOR HOUSEHOLD HAZARDOUS WASTE

HANDLING SERVICES
Rates during the Term of this Agreement shall be:

SERVICE RATE MINIMUM CHARGE
Household Hazardous Waste
Door-to-Door Collection $170$210.03 per collection
$1,020$1,260.17 per
collection day
(equivalent of six collections)
No Household Hazardous Waste
collected (waste was not out and
ready for collection) for each
scheduled Household Hazardous
Waste Door-to-Door Collection
$40$49.42 per stop for
routes with more than six
stops
N/A
Medication Waste Drop Box
Collection
$150$185.31 per collection
and $4.75$5.87 per pound
of Medication Waste
collected
N/A
Sharps Waste Drop Box
Collection
$200$247.09 for the first
drop box per collection and
$140$172.96 for each
additional drop box per
collection (the Sharps Waste
collected from each drop
box shall weigh a maximum
of 50 pounds)
N/A
Non-Vehicle Battery Waste
Drop Box Collection
$2$2.48 per pound of NonVehicle Battery collected $100$123.55 per collection Provision of Drop Boxes to City No Charge N/A
Compressed Gas Cylinders
$50$61.77 per 1-liter
propane cylinder collected
after the first 80 collected
each fiscal year
$50$61.77 per fire
extinguisher collected after
N/A
ITEM 7.7 – Attachment B
CLW-WM Curbside, LLC – Extension-Amendment 10/21/26

the first 50 collected each
fiscal year
$1250$1,544.33 per 5-
gallon/BBQ propane
cylinder collected after the
first 30 collected each fiscal
year
Contractor’s rates contained in the table above shall increase on July 1 of each calendar year (beginning on July 1, 2022) in the amount of any increase in the Bureau of Labor Statistics’ Los Angeles-Long Beach-Anaheim Consumer Price Index for All Urban Consumers (CPI-U), between May of the then-current and previous years.

7.8 PEDESTRIAN ACCESSIBILITY IMPROVEMENT
PROJECT: PHASE 10
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.8
CC  10-21-2026 Item 7.8 – Page 1 of 3
TO: Honorable Mayor and Members of the City Council
FROM: Christopher Macon, City Manager
FOR: October 21, 2026 City Council Meeting
SUBJECT: Pedestrian Accessibility Improvement Project: Phase 10 Recommendation

1. Approve the Pedestrian Accessibility Improvement Project: Phase 10 plans and specifications as prepared by the project architect and other licensed and technical professionals;

2. Approve a notice of exemption for the Pedestrian Accessibility Improvement Project:

Phase 10 finding that the project is categorically exempt from the California Environmental Quality Act (“CEQA”) and authorize the City Manager to cause the notice of exemption to be filed pursuant to applicable law; and

3. Award a contract agreement to Van Engineering, Inc. for the construction of the Pedestrian Accessibility Improvement Project: Phase 10, in the amount of $129,974.00, plus authorized change orders not to exceed 10% ($12,997.40) of the base amount; and authorize the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

Background
The Pedestrian Accessibility Improvement Project: Phase 10 (“Project”) is included in the Fiscal Years 2025-36 Capital Improvement Program. The Project consists of, but is not limited to, reconstructing two driveway crossings and adjacent pedestrian improvements along Moulton Parkway. The Project also includes concrete sidewalk, access ramp, curb and gutter work; pavement removal, grinding, and asphalt restoration; adjusting water valves to grade; replacing a traffic signal pull box; restoring landscaping, striping, and curb markings; coordinating with AT&T for vault replacement; and, replacing deck and face plate assemblies and associated concrete improvements at three catch basins.

ITEM 7.8
Item 7.8 – Page 2 of 3 CC  10-21-2026
The Project is intended to improve the ease and safety of pedestrian travel, while also promoting compliance with the federal Americans with Disabilities Act of 1990, Architectural Barriers Act of 1968, and Rehabilitation Act of 1973. The improvements are also called for in the General Plan Housing Element as part of Goal H-3 (Administer housing and community development programs and activities in a manner to affirmatively further fair housing for all persons) and Policy Objective H-3.1 (Enhance access to housing).

Discussion
Today’s meeting is an opportunity for City Council action, as well as public input, on the Pedestrian Accessibility Improvement Project: Phase 10 (“Project”).

Staff recommends that the City Council take the following actions to allow construction to proceed:

Recommendation 1
Approval of the Project plans and specifications as prepared by the Project engineer (Iteris, Inc.). The Project plans and specifications are available for review at or from the City Clerk’s Office, Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637. Telephone:
(949) 639-0500. Email: [email protected].

Recommendation 2
Approval of a notice of exemption for the Project (Attachment A) finding that the Project is categorically exempt from the California Environmental Quality Act (“CEQA”) and authorization for the City Manager to cause the notice of exemption to be filed pursuant to applicable law. For additional CEQA information, please refer to the Environmental Review section of this agenda report.

Recommendation 3
Award of a contract agreement to Van Engineering, Inc. for the construction of the Project, in the amount of $129,974.00, plus authorized change orders not to exceed 10% ($12,997.40) of the base amount; and authorization for the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

Bids to construct the Project were solicited from September 17, 2026 through October 15, 2026. Four bids were received (see Table 1). After review, Van Engineering, Inc.is the lowest cost responsible bidder
ITEM 7.8
CC  10-21-2026 Item 7.8 – Page 3 of 3
Table 1: Bids Received
Bidder Base Bid Amount
Carter Enterprises Group, Inc. DBA Pavement Rehab Company $163,888.00 Eleazar General Engineering, Inc. $276,290.39
Hardy & Harper, Inc. $135,000.00
Van Engineering, Inc. $129,974.00
It is anticipated that construction would be complete within 60 working days of the date the City issues a Notice to Proceed to the selected contractor. Staff anticipates issuing the Notice to Proceed in November 2026.

Environmental Review
The Project is categorically exempt from CEQA pursuant to California Code of Regulations, Title 14, Section 15301. For additional information, please refer to the proposed notice of exemption (Attachment A).

Fiscal Impact
Sufficient funds to support this project and the proposed budget adjustment are included in the Community Development Block Grant (CDBG) Fund budget for Fiscal Year 2026-27.

Report Prepared With: April Baumgarten, Public Works Administrator Attachment: A – Proposed Notice of Exemption
This page is intentionally blank.

Recording requested by City of Laguna Woods
When recorded, mail to City of Laguna Woods,
24264 El Toro Road, Laguna Woods, CA 92637.
(949) 639-0500
Exemption Code 6103

NOTICE OF EXEMPTION
To: County of Orange
Orange County Clerk-Recorder
P.O. Box 238
Santa Ana, CA 92701
From: City of Laguna Woods
24264 El Toro Road
Laguna Woods, CA 92637
(949) 639-0500
Project Title: Pedestrian Accessibility Improvement Project: Phase 10 Project Applicant: City of Laguna Woods
24264 El Toro Road
Laguna Woods, CA 92637
(949) 639-0500
Project Location – Specific: The project is located within the City of Laguna Woods’ public right-of-way in the following locations:
• Eastbound El Toro Road between the intersections of El Toro Road/Calle Corta and El Toro Road/Moulton Parkway
• Northbound Moulton Parkway between the intersections of El Toro Road/Moulton Parkway and El Toro Road/Calle Cortez
• Southbound Paseo de Valencia between the intersections of Paseo de Valencia/Avenida De La Carlota and El Toro Road/Paseo de Valencia
Project Location – City: Laguna Woods, California Project Location – County: Orange Description of Nature, Purpose, and Beneficiaries of Project: The project consists of, but is not limited to, reconstructing two driveway crossings and adjacent pedestrian improvements along Moulton Parkway. The project also includes concrete sidewalk, access ramp, curb and gutter work; pavement removal, grinding, and asphalt restoration; adjusting water valves to grade; replacing a traffic signal pull box; restoring landscaping, striping, and curb markings; coordinating with AT&T for vault replacement; and, replacing deck and face plate assemblies and associated concrete improvements at three catch basins.

The project is intended to improve accessibility for pedestrians and other users of the public sidewalk system. By improving accessibility, the project will facilitate better management of the public right of way and protect public safety and welfare.

ITEM 7.8 - Attachment A

NOTICE OF EXEMPTION
PEDESTRIAN ACCESSIBILITY IMPROVEMENT PROJECT: PHASE 10

CITY OF LAGUNA WOODS

The project is also intended to improve the ease and safety of pedestrian travel, while promoting compliance with the federal Americans with Disabilities Act of 1990, Architectural Barriers Act of 1968, and Rehabilitation Act of 1973.

The improvements are also called for in the General Plan Housing Element as part of Goal H-3 (Administer housing and community development programs and activities in a manner to affirmatively further fair housing for all persons) and Policy Objective H-3.1 (Enhance access to housing).

Name of Public Agency Approving Project: City of Laguna Woods Name of Person or Agency Carrying Out Project: City of Laguna Woods Exempt Status:

X Categorical Exemption (Sec. 15301)
Declared Emergency (Sec. 21080(b)(3); 15269(a))
Emergency Project (Sec. 21080(b)(4); 15269(b)(c))
Ministerial (Sec. 21080(b)(1); 15268)
Statutory Exemption
Not Subject to CEQA (Sec. 15061(b)(3))
Reasons Why Project is Exempt: The project is categorically exempt from the California Environmental Quality Act (“CEQA”) pursuant to California Code of Regulations, Title 14 (the State CEQA Guidelines) Section 15301 (Class 1, Existing Facilities). Section 15301 exempts from environmental review the “the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use.” Subsection (c) of Section 15301 provides the following as non-exclusive examples of types of “existing facilities,” “Existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities (this includes road grading for the purpose of public safety, and other alterations such as the addition of bicycle facilities, including but not limited to bicycle parking, bicycle-share facilities and bicycle lanes, transit improvements such as bus lanes, pedestrian crossings, street trees, and other similar alterations that do not create additional automobile lanes).” Subsection (d) of Section 15301 provides the following as non-exclusive examples of types of “existing facilities”: “Restoration or rehabilitation of deteriorated or damaged structures, facilities, or mechanical equipment to meet current standards of public health and safety, unless it is determined that the damage was substantial and resulted from an environmental hazard such as earthquake, landslide, or flood.”
The project consists only of repair, maintenance, and minor alteration work within the City of Laguna Woods’ public right-of-way for existing public streets and arterial highways. The project does not expand the existing or former use of any public street or arterial highway. Concrete sidewalk panels will be removed and constructed where concrete sidewalks already exist. No new ITEM 7.8 - Attachment A

NOTICE OF EXEMPTION
PEDESTRIAN ACCESSIBILITY IMPROVEMENT PROJECT: PHASE 10

CITY OF LAGUNA WOODS

sidewalks will be added. Concrete at catch basins will be removed and replaced where concrete already exists. No new hardscape areas will be added. The project will rehabilitate deteriorated concrete and other facilities used by pedestrians, golf cart users, and/or bicyclists. The project will enhance the condition and accessibility of existing facilities for the purpose of protecting public safety and welfare. None of the deterioration being addressed is known to be substantial damage that resulted from an environmental hazard such as earthquake, landslide, or flood.

Based on the scope of work, the project meets the criteria for Class 1 categorical exemption.

Lead Agency Contact Person:

Signature: Date:

Justin Faylona
Senior Planner
City of Laguna Woods
Date Received for Filing at OPR:

Authority cited: Sections 21083 and 21110, Public Resources Code.

Reference: Sections 21108, 21152, and 21152.1, Public Resources Code.

ITEM 7.8 - Attachment A
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7.9 WOODS END WILDERNESS PRESERVE TRAIL

DRAINAGE AND IMPROVEMENT PROJECT
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.9
R 26-XX 1 10-21-2026

CITY OF LAGUNA WOODS
RESOLUTION NO. 26-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA, AMENDING AND ADOPTING THE FISCAL YEAR 2026-27 BUDGET FOR FISCAL YEAR 2026-27 COMMENCING JULY 1, 2026 AND ENDING JUNE 30, 2027,

INCREASING GENERAL FUND AND CAPITAL PROJECTS FUND APPROPRIATIONS

FOR THE WOODS END WILDERNESS PRESERVE TRAIL DRAINAGE AND

IMPROVEMENT PROJECT
WHEREAS, the Fiscal Years 2025-27 Budget (“Budget”) was adopted by the City Council on June 25, 2025 (Resolution No. 25-18); and
WHEREAS, per City Administrative Policy 2.9, increases in adopted fund-level Budget appropriations require City Council approval; and Woods End Wilderness Preserve Trail Drainage and Improvement Project WHEREAS, the “Woods End Wilderness Preserve Trail Drainage and Improvement Project” is included in the Capital Improvement Program; and WHEREAS, appropriations for the Woods End Wilderness Preserve Trail Drainage and Improvement Project currently total $715,074.17; and WHEREAS, staff estimates that additional appropriations in the amount of $32,949 will be required to install the new surveillance camera and accommodate final technical consultant billing and other project close-out costs for the Woods End Wilderness Preserve Trail Drainage and Improvement Project; and
WHEREAS, the City Council wishes to increase Fiscal Year 2026-27 appropriations for the Capital Projects Fund for the Woods End Wilderness Preserve Trail Drainage and Improvement Project in the amount of $32,949; and
WHEREAS, the unassigned General Fund balance has sufficient funds to accommodate the increased appropriations; and
WHEREAS, the increased appropriations in the General Fund would be used to transfer that same amount to the Capital Projects Fund; Capital Projects Fund appropriations would be increased accordingly; and
WHEREAS, with the proposed Budget adjustment, the total Woods End Wilderness Preserve Trail Drainage and Improvement Project budget would be $748,023.17 ($485,568 Capital Projects Fund, $188,048 State of California Grants Fund (Proposition 68 (Per Capita Program)), and $74,407.17 Federal Grants Fund (American Rescue Plan Act ITEM 7.9
R 26-XX 2 10-21-2026
(Coronavirus Local Fiscal Recovery Funds)).

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. Section 2 of Resolution No. 25-18, as previously amended by Resolution Nos. 25-28, 25-34, 25-39, 25-41, 25-44, 26-03, 26-10, 26-11, 26-22, 26-26, 26- 29, and 26-30, is hereby amended, in its entirety, to read as follows:

The budget appropriations authorized, on a fund level, are:

Fiscal Year
2025-26
Adopted
Budget
Fiscal Year
2024-25
Carryover
Appropriations
Fiscal Year
2025-26
Budget
Amendments
Fiscal Year
2025-26
Amended
Budget
General Fund $10,814,328
(includes
transfers to
Capital Projects
Fund of
$1,860,000 and
to the Senior
Mobility Fund of
$406,052)
$64,902 $1,644,482A,B,D,E
,G,H,I
$12,523,712
(includes
transfers to
Capital Projects
Fund of
$3,225,307 and
to the Senior
Mobility Fund of
$406,052)
Capital Projects Fund $1,860,000 $687,100 $1,519,074B,C,D, G,H,I $4,066,174
Fuel Tax $404,557 - - $404,557
Road Maintenance &
Rehabilitation Program $515,824 $14,993 - $530,817
Measure M2 (OC Go) $267,780 - - $267,780
Service Authority for
Abandoned Vehicles $0 - - $0
Supplemental Law
Enforcement Services $231,600 - - $231,600
Mobile Source
Reduction $10,000 - - $10,000
PEG/Cable Television $15,000 - - $15,000
Senior Mobility $652,598 - - $652,598
Community
Development
Block Grant (CDBG)
$500,000 - - $500,000
Federal Grants $0 $233,233 - $233,233
State of California
Grants $0 $274,924 - $274,924
Miscellaneous Special
Revenue $0 - - $0
ITEM 7.9
R 26-XX 3 10-21-2026
Laguna Woods Civic
Support Fund $300 - $20,000F $20,300
Less: Transfer to Other
Funds ($2,266,052) - ($1,365,307)B,D,
G,H,I ($3,631,359)
TOTAL $13,005,935 $1,275,151 $1,818,249 $16,099,335
A Fund Budget Adjustment CC-25/26-01: City Manager Agreement, +$16,347 (R 25-28) B Fund Budget Adjustment CC-25/26-02: Woods End Project, +$330,607 (R 25-34) C Fund Budget Adjustment CC-25/26-03: Unspent Capital Projects Funds, +$153,767 (R 25-39) D Fund Budget Adjustment CC-25/26-04: Pavement Project FY 2025-26, +$8,700 (R 25-41) E Fund Budget Adjustment CC-25/26-05: CEPPT Contribution, +$262,828 (R 25-44) F Fund Budget Adjustment CC-25/26-06: Civic Support Fund, +$20,000 (R 26-10) G Fund Budget Adjustment CC-25/26-07: City Hall Project: Phase 5, +$1,000,000 (R 26-11) H Fund Budget Adjustment CC-25/26-08: Woods End Project, +$25,000 (R 26-11) I Fund Budget Adjustment CC-25/26-09: Pedestrian Project: Phase 10, +$1,000 (R 26-22) Fiscal Year
2026-27
Adopted
Budget
Fiscal Year
2025-26
Carryover
Appropriations
Fiscal Year
2026-27
Budget
Amendments
Fiscal Year
2026-27
Amended
Budget
General Fund $9,611,466
(includes
transfers to
Capital Projects
Fund of
$350,000 and
to the Senior
Mobility Fund of
$406,052)
- $522,150A,B,C,D,G,
H,J,K
$10,133,616
(includes
transfers to
Capital Projects
Fund of
$672,949 and
to the Senior
Mobility Fund of
$406,052)
Capital Projects Fund $350,000 - $322,949C,D,J,K $672,949 Fuel Tax $439,580 - - $439,580
Road Maintenance &
Rehabilitation Program $529,206 - $196,003F $725,209E
Measure M2 (OC Go) $284,878 - - $284,878
Service Authority for
Abandoned Vehicles $0 - - $0
Supplemental Law
Enforcement Services $231,600 - - $231,600
Mobile Source
Reduction $10,500 - $60,000I $70,500
PEG/Cable Television $15,000 - - $15,000
Senior Mobility $686,906 - - $686,906
Community
Development
Block Grant (CDBG)
$500,000 - - $500,000
Federal Grants $0 - - $0
State of California
Grants $0 - - $0
ITEM 7.9
R 26-XX 4 10-21-2026
Miscellaneous Special
Revenue $0 - - $0
Laguna Woods Civic
Support Fund $300 - - $300
Less: Transfer to Other
Funds ($756,052) - ($322,949) ($1,079,001)
TOTAL $11,903,384 $0 $778,153 $12,681,537
A Fund Budget Adjustment CC-26/27-01: City Manager Agreement, +$19,674 (R 25-28) B Fund Budget Adjustment CC-26/27-02: City Council Salaries, +$6,000 (R 26-03) C Fund Budget Adjustment CC-26/27-03: Generator Project, +$50,000 (R 26-11) D Fund Budget Adjustment CC-26/27-04: City Hall Project: Phase 6, +$150,000 (R 26-11) E Non-Fund Budget Adjustment CC-26/27-A: Road Maintenance & Rehabilitation Program Fund appropriations allocated to the “Pavement Management Plan Project (Northbound Moulton Parkway between City Limits and Calle Cortez)” are formally reallocated to the “Pavement Management Plan Project (Westbound El Toro Road between Moulton Parkway and Home Depot/Town Centre, Northbound and Southbound Moulton Parkway between El Toro Road and Via Campo Verde)” in the amount of $393,997. This budget adjustment is identified hereon in the interest of transparency only and does not affect appropriations on a fund level. (R 26-11) F Fund Budget Adjustment CC-26/27-05: Pavement Project, +$196,003 (R 26-11) G Fund Budget Adjustment CC-26/27-06: IT and Cyber Security Account, +$136,855 (R 26-26) H Fund Budget Adjustment CC-26/27-07: Measure M2 MOE, +$36,672 (R 26-26) I Fund Budget Adjustment CC-26/27-08: Fleet Vehicles, +$60,000 (R 26-29) J Fund Budget Adjustment CC-26/27-09: Dog Park Expansion Project, +$90,000 (R 26-30) K Fund Budget Adjustment CC-26/27-10: Woods End Project, +$32,949 (R 26-XX) The budget appropriations authorized by this section reflect the Fiscal Years 2025-27 adopted budgets, plus authorized budget adjustments approved between July 1, 2025 and the date of this amendment. The budget appropriations authorized by this section also include carryovers of approved, but unspent, budget appropriations from prior fiscal years.

Such carryovers were approved by the City Council with the adoption of the current budget and/or pursuant to Administrative Policy 2.9.

SECTION 2. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED this 21st day of October 2026. _____________________________________
ANNIE MCCARY, Mayor
ITEM 7.9
R 26-XX 5 10-21-2026
ATTEST:
_____________________________________
YOLIE TRIPPY, CMC, City Clerk

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, YOLIE TRIPPY, City Clerk of the City of Laguna Woods, do HEREBY CERTIFY that the foregoing Resolution No. 26-XX was duly adopted by the City Council of the City of Laguna Woods at a regular meeting thereof, held on the 21st day of October 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_______________________________________
YOLIE TRIPPY, CMC, City Clerk
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7.10 TRAFFIC SIGNAL INTERCONNECT CONDUIT

LICENSE AGREEMENT
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.
1 LICENSE AGREEMENT
Laguna Hills-Laguna Woods
El Toro Road and Moulton Parkway Traffic Signal Interconnect Conduit License Agreement
THIS LICENSE AGREEMENT (“License Agreement”) is effective as of this __ day of _______, 2026 (the “Effective Date”), by and between the CITY OF LAGUNA WOODS, a California municipal corporation (hereinafter “Licensor”) and the CITY OF LAGUNA HILLS, a California municipal corporation, (hereinafter “Licensee”.) Licensor and Licensee are sometimes referred to individually as a “Party” and collectively as the “Parties.”

RECITAL
WHEREAS, the Orange County Transportation Authority (“OCTA”) Measure M2 Program, (“Project P”) provides funding to Orange County municipalities for the synchronization of traffic signals; and
WHEREAS, Licensor and Licensee have been awarded Project P funds for the implementation of signal synchronization of traffic signals along the Paseo De Valencia – Moulton Parkway Confluence Bypass Corridor (hereinafter, the "Project"); and WHEREAS, to implement traffic signal synchronization improvements along the Paseo De Valencia – Moulton Parkway Confluence Bypass Corridor, the Parties have entered into that certain Cooperative Agreement dated November 22, 2024 (“Cooperative Agreement”) which sets forth the respective obligations of each Party; and WHEREAS, Licensor owns and maintains certain traffic signal interconnect conduit infrastructure located within the Paseo De Valencia – Moulton Parkway Confluence Bypass Corridor; and
WHEREAS, Licensor agrees to grant Licensee a license to use a designated portion of Licensor’s signal interconnect conduits to install Licensee’s own fiber optic cable to connect the northern area of Licensee’s traffic signal network to the remainder of Licensee’s network, as more particularly described in Exhibit A, attached hereto and incorporated herein.

AGREEMENT
NOW, THEREFORE, in consideration of the mutual agreements contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

ITEM 7.10
2 Article 1. Definitions
“Licensor Network” means the Licensor’s traffic signal interconnect conduit and facilities depicted in Exhibit A, installed (i) in the public right-of-way, (ii) on other real property owned by Licensor, or (iii) within Licensor-owned easement(s) within the jurisdictional limits of Licensor.
“Licensor Public Facilities” means Licensor-owned properties (including, without limitation portions of the public right-of-way occupied by the Licensor Network, and/or any related equipment and/or buildings on Licensor-owned properties) located within Licensor’s territorial, jurisdictional, and/or proprietary limits, including, but not limited to, municipal office buildings, traffic signals, and/or properties or structures owned by public agencies under the jurisdiction of the City Council of the City of Laguna Woods. “Equipment” means network infrastructure and components including, but not limited to, gateway or edge electronic device, antenna, node, concentrator, bridge, receiver, transmitter, transceiver, router, switch, hub, communications lines, conduit, cables, handholes, junction boxes, and other related facilities and software. “Licensed Conduit” means the portion of the Licensor Network depicted in Exhibit A licensed to Licensee pursuant to this License Agreement, as further depicted in Exhibit A herein.
“Licensee Fiber” means all Licensee-installed fiber within the Licensed Conduit. “Licensee Network” means fiber optic facilities installed by Licensee within the Licensor Network.

Article 2. License

2.1. Subject to the terms and conditions of this License Agreement, Licensor hereby grants to Licensee a nonexclusive revocable license to use the (i) Licensed Conduit at the points and segments depicted in Exhibit A , to install, operate, repair, maintain, remove its fiber system and fiber optic network infrastructure for signal synchronization and signal communication purposes consistent with the Cooperative Agreement and OCTA’s Measure M2 Project P (“Funding Agreement”) awarded to Licensee (the “License”). Licensee shall not permit any other person, except Licensee's employees and contractors, to use the Licensed Conduit without Licensor's prior written consent.

Licensee acknowledges and agrees that it is not a tenant on the Licensed Conduit, and any rights or benefits which may accrue to Licensee by reason of execution of this License Agreement or use of the Licensed Conduit shall solely be those of a licensee and not a tenant.

2.1.1. Licensee expressly acknowledges and agrees to use the Licensed Conduit without warranty in its “as-is and with all faults” condition. Licensor makes no representations or warranties whatsoever, whether express or implied, as to the Licensed ITEM 7.10
3 Conduit’s condition or suitability for Licensee’s use. Licensee expressly acknowledges and agrees that neither the Licensor nor its agents have made, and the Licensor expressly disclaims, any representations or warranties whatsoever, whether express or implied, with respect to the Licensed Conduit’s physical, structural, or environmental condition, the Licensed Conduit’s present or future suitability for Licensee’s intended use(s) or any other matter related to the Licensed Conduit. This License Agreement shall not be deemed a warranty of title by the Licensor.

2.1.2. Licensee expressly represents and warrants to the Licensor that Licensee has conducted a reasonably diligent and independent investigation, either for itself or through an agent selected by Licensee, into the Licensed Conduit’s condition and suitability for Licensee’s intended use, and that Licensee relies solely on its due diligence for such determination. In addition to any other conditions that the Licensor may impose on such investigation, Licensee shall have the obligation to repair any damage caused by such investigation and to restore all affected areas to the condition that existed immediately prior to such investigation. Licensee further expressly represents and warrants to the Licensor that Licensee’s intended use is the permitted use as defined in this License Agreement.

2.1.3. Except as expressly provided otherwise in this License Agreement, this License Agreement shall not limit, alter, or waive the Licensor’s absolute right to use the Licensed Conduit, in whole or in part, as infrastructure established and maintained for the Licensor’s and/or the public’s benefit provided that in no event shall Licensor license use of any portion of the Licensed Conduit to another party in the event that the Licensee Fiber is installed without use of innerduct in a Licensed Conduit.

2.1.4 Subject to the terms and conditions of this License Agreement including but not limited to Section 6.8 below, the License includes the right on the part of Licensee to install certain communications vaults along the route of the Licensed Conduit (“Licensee Vaults”). Exhibit A contains a map depicting the approximate location of the Licensee Vaults. Licensee shall have the right to use the Licensed Conduit by accessing the same at the end points and the access points specified on Exhibit A, attached hereto and incorporated herein by this reference. The Licensed Conduit shall at all times be and remain the personal property of the Licensor.

2.1.5. Licensee’s facilities shall be located, constructed, operated, and maintained in the time, place, and manner that causes the least interference with the public's use of the public right-of-way, and the rights or reasonable convenience of property owners whose property adjoins the public right-of-way, all as determined by and approved by the Licensor’s City Engineer in conformance with the Laguna Woods Municipal Code, including, but not limited to, encroachment permits for public right-of-way work.

2.2. If Licensee discovers damage to a route of the Licensed Conduit or that there is no available Licensed Conduit along a route, it shall notify the Licensor of such damage or non-existence. In the case of damage, Licensee shall install the Licensee Fiber in undamaged conduit, where possible. If no individual Licensed Conduit is undamaged in a ITEM 7.10
4 particular route, Licensee may opt to not install the Licensee Fiber for that route and this License Agreement shall be amended to delete that segment from Exhibit A.

2.3 This License Agreement grants Licensee only a non-possessory, non-exclusive, and revocable license to use the Licensed Conduit for the use permitted under this License Agreement. The License shall be revocable only in accordance with the terms and conditions of this License Agreement. Licensee and Licensor expressly acknowledge and agree that: (a) the Licensor retains legal possession and control over the Licensed Conduit for the Licensor’s municipal functions; (b) except as specifically provided otherwise in this License Agreement, including but limited to Section 6.9 herein, the Licensor may enter into any agreement with third parties to use and/or occupy the Licensor Network covered by this License Agreement (provided however that in no event shall Licensor license (i) use of any portion of the Licensed Conduit to another party in the event that the Licensee Fiber is installed without use of innerduct in a Licensed Conduit or (ii) use of any portion of a dedicated innerduct space in a Licensed Conduit where Licensee Fibers and Licensee Fiber are installed) and/or other Licensor Public Facilities; and (c) this License Agreement is entered into in furtherance of the Cooperative Agreement. Notwithstanding the foregoing, in granting any third party a similar license for access to and use of the Licensor Network covered by this License Agreement, or for the Licensor's own use, the Licensor agrees that it shall not make or allow a subsequent change to the Licensor Network covered by this License Agreement that materially affects Licensee’s ability to use the Licensor Network, or that materially interferes with or degrades the signal synchronization operations of Licensee.

2.4. Licensee shall, at its sole cost and expense, purchase and install the Licensee Fiber within the Licensed Conduit along the project corridor described in Exhibit A. The Licensee Fiber shall at all times be and remain the sole property of Licensee.

2.4.1. Licensee Fiber. The Licensee Fiber shall remain the property of Licensee.

Throughout the Term, Licensee shall be responsible for all maintenance and repair of the Licensee Fiber. Neither Licensor nor any third party acting under Licensor’s authority will relocate, modify, tamper with, attempt to repair, or otherwise interfere with the Licensee Fiber, except for as otherwise set forth in Articles 11 and 12.

2.4.2. Licensor Equipment. Any Equipment that is owned by or otherwise comprises a part of the Licensor’s communications network, including any Equipment supplied by the Licensor at a service site in connection with providing the Licensor Network to Licensee shall be referred to as the “Licensor Equipment.” Throughout the Term, the Licensor Equipment shall remain the property of Licensor and Licensor shall be responsible for all maintenance and repair of the Licensor Equipment. Except as otherwise provided for in this License Agreement, neither Licensee nor any third party acting under Licensee’s authority will relocate, modify, tamper with, attempt to repair, or otherwise interfere with the Licensor Equipment.

2.4.3 Access. If Licensor, while exercising the rights provided to Licensor under this License Agreement, or any of its contractors or consultants damages Licensee Fiber ITEM 7.10
5 or any other property owned by Licensee, Licensor shall reimburse Licensee for all of its reasonable and documented costs of repairing Licensee Fiber. If Licensee, its employees, agents, contractors, consultants, or guests damage any property owned by Licensor, Licensee shall reimburse Licensor for all of its reasonable and documented costs of repairing the property.

2.4.4 Initial Scope of Work. The initial scope of work to be performed by the Parties hereto is described in Exhibit B.

Article 3. Consideration

3.1. Mutual Public Benefit
The Parties acknowledge that no monetary compensation shall be exchanged between Parties in connection with this License Agreement, beyond what is expressly provided in the Cooperative Agreement. Project costs not covered by Project P funds are governed solely by the Cooperative Agreement.

Article 4. Term

4.1. Agreement Term and Termination.

4.1.1. Commencement. The term of this License Agreement (“Initial Term”) shall commence on the Effective Date and shall expire ten (10) years following the Effective Date, unless automatically extended pursuant to 4.1.2. Automatic Renewals.

4.1.2. Automatic Renewals. Provided that Licensee is not in material default under this License Agreement at the end of the Initial Term (or any Renewal Term, as the case may be) and has the necessary governmental permits, licenses, and approvals that may lawfully be required by federal, state, or local law, statute, regulation, or ordinance, this License Agreement shall automatically extend for additional ten (10) year periods, (each a “Renewal Term”), unless Licensee notifies the Licensor in writing of its election not to extend this License Agreement not less than six (6) months prior to the expiration date of the Initial Term or then-current Renewal Term. Each Renewal Term shall be upon the terms, covenants, and conditions of this License Agreement. The Initial Term plus any Renewal Term(s) shall be collectively referred to as the “Term.”

4.1.3. Termination. Parties may terminate this License Agreement pursuant to the provisions of Article 10, provided that such termination is consistent with the Parties’ obligations under the Cooperative Agreement.

Article 5. Permits; Relocation

5.1. Governmental Approvals, Permits, and Consents. Licensee, at its sole cost and expense, shall obtain and maintain any and all necessary easements, licenses, and building access agreements, as well as all governmental permits, licenses, easements, ITEM 7.10
6 franchises, and approvals that may lawfully be required by federal, state, or local law, statute, regulation, or ordinance and shall continuously comply with all such laws, statutes, regulations, or ordinances as may now or in the future be applicable to its operation or use of Licensed Conduit.

5.2. Relocations. Licensor may relocate all or any portion of the Licensor Network or any of the facilities used or required in providing Licensee with the Licensed Conduit:
(1) if a third party with legal authority to do so orders or threatens to order such relocation; (2) in order to comply with applicable laws; (3) to prevent or abate interference with or interruption of the Licensor Network, or an unreasonable risk thereof, due to the existence of physical conditions; (4) in connection with any road resurfacing, widening, realignment, or other similar public works that affect the Licensed Conduit; or (5) if Licensor determines that it is required to do so in its reasonable judgment for reasons other than convenience. Licensor shall provide Licensee at least ninety (90) calendar days’ prior notice of any such relocation. The costs of relocation of all or any portion of the Licensor Network or any of the facilities used or required in providing Licensee with the Licensed Conduit shall be borne by Licensor. The cost of relocation of Licensee Fiber shall be borne by Licensee.

Article 6. Licensee Fiber, and Licensed Conduit; Maintenance

6.1. Interference. It is the shared objective of the Parties to minimize, to the extent reasonably feasible, any interference with or interruption in either Party’s use of the communications facilities that are the subject of this License Agreement. Licensee and the Licensor covenant that (a) each shall exercise its rights and perform its obligations under this License Agreement in a manner that reasonably cooperates with the other Party in good faith in order to accomplish the above stated objective, and (b) it shall not use its respective network or facilities in any way that materially interferes with the other Party’s use as contemplated by this License Agreement.

6.2. Licensed Conduit Maintenance. Licensee shall bear all costs associated with its use of the Licensed Conduit, including without limitation the cost of installation, connection, and maintenance of Licensee Fiber. Such installation, maintenance, and repairs shall be performed in a good and workmanlike manner, in accordance with this License Agreement, and with applicable manufacturer’s specifications, applicable industry standards, and applicable laws and regulations of federal, state, or local government entities , including without limitation OSHA standards, or any agency or instrumentality thereof, having competent jurisdiction over Licensee or the Licensed Conduit including applicable General Orders of the Public Utilities Commission of State of California and any supplements thereto and revisions thereof. Licensee shall permanently identify, by tags or other suitable means, all of its cables and other equipment that are placed by or on behalf of Licensee in or near the Licensed Conduit.

ITEM 7.10
7 6.3. Damage to Facilities.

6.3.1. Each Party agrees to take all necessary and commercially reasonable precautions to avoid damaging the other Party’s facilities, and those facilities of third parties.

6.3.2. Any damage to the facilities caused by Licensee or its agents shall be repaired by Licensee, at Licensee’s sole cost, within a reasonable time period. Provided that nothing contained herein shall be deemed to release or limit claims that Licensee may have against any third party arising from or related to such damage to facilities.

6.3.3. If Licensee damages Licensor facilities or facilities owned by third parties within the Licensor Network, Licensee shall immediately notify Licensor and, if the damaged facility is owned by a third party, take reasonable efforts to notify the owner of the damaged facility. If required by Licensor, Licensee shall affect repairs to the damaged facilities within a reasonable time period, based on the nature of the damage at the site.

6.3.4. In the event of damages described in sub-paragraphs 6.3.2 and 6.3.3, above, Licensor may elect to hire a third-party contractor to effect repairs to any damaged facility if Licensee does not commence repairs within a reasonable time period or complete such repairs within fifteen (15) business days, and present an invoice to Licensee for any actual costs incurred in connection with the repair of damaged facilities, including, but not limited to, staff time costs, traffic control, police services, notification of third parties, and consultant and contractor costs.

6.3.5. For the purposes of this Section 6.3, a “reasonable time period” shall mean that a crew must be mobilized at the repair site within twenty-four (24) hours of the first interruption of services and work diligently and continuously until any outage is resolved.

6.3.6. For clarity, if any damage occurs to the facilities, regardless of cause, and such damage negatively affects including interrupts Licensee’s services to end users, Licensee shall have the right to promptly repair such facilities, subject to this terms of this License Agreement, and the Parties shall work in good faith within a time period reasonable to both Parties to account for ultimate responsibility for the costs to repair such damages.

6.4. No Sub-License. Licensee may not sublicense any Licensed Conduit without the prior express written consent of Licensor, which may be withheld for any or no reason.

6.5. Right of Inspection. Upon no less than five (5) business days’ prior written notice to Licensee, the Licensor shall have the right to inspect the Licensed Conduit, and the Licensee Fiber installed in the Licensed Conduit during the Term.

6.6. Additional Access Points. Licensee shall have the right, at any time and from time to time during the Term, to establish additional break-out points along the route of the Licensor Network at which Licensee can access its cables located within the Licensor ITEM 7.10
8 Network, subject to Section 5.2. This right includes the right to install any one or more additional Licensee-owned vaults at said break-out points, and to establish intersection points (using wye splitters or other similar means) at which Licensee may interconnect the Licensor Network with other communications conduit owned, operated, or used by Licensee so that Licensee may splice other fiber strands into any one or more of the Licensee cables located within the Licensor Network. Licensee shall provide the Licensor with reasonable advance notice (of at least ten (10) business days) of Licensee’s desire to establish a new break-out point. The Parties shall cooperate in good faith to upon a location, as well as a design and implementation schedule for Licensee’s new break-out point and vault, subject to Section 2.1.5.

Article 7. Limitation of Liability and Indemnity

7.1. Limitation of Liability. Notwithstanding any provision of this License Agreement to the contrary, neither Party shall be liable to the other Party for any special, incidental, indirect, punitive, or consequential costs, liabilities or damages, whether foreseeable or not, arising out of, or in connection with, such Party’s performance of its obligations or its failure to perform under this License Agreement.

7.2. Indemnification. Except to the extent of the other Party’s negligence or willful misconduct, each Party shall indemnify, defend, release, and hold harmless the other Party, its affiliates, officials (elected and appointed), officers, directors, members, employees, managers, agents, representatives, and contractors (collectively, “Indemnitees”) from and against any third-party action, claim, suit, judgment, damage, demand, loss or penalty, and any cost or expense associated therewith (including but not limited to reasonable attorneys’ fees, expert fees and costs)(collectively, “Claims”) imposed upon such Indemnitee(s) by reason of damage to real or tangible personal property or for bodily injury, including death, as a result of any willful misconduct or negligent act or omission on the part of the indemnifying Party in connection with the performance of this License Agreement. In addition to the foregoing, Licensee shall indemnify, defend, release, and hold harmless Licensor and its Indemnitees from and against any third-party claims brought against Licensee in connection with Licensee’s (or its end users’) unlawful or negligent use of the Licensed Conduit.

7.3. Indemnification Process. If a Party (“Indemnifying Party”) is required to indemnity the other Party (“Indemnified Party”) pursuant to Section 7.2, the Indemnified Party shall promptly notify the Indemnifying Party. The Indemnifying Party will be permitted to assume primary control of the defense of the action with counsel of the Indemnifying Party’s choice.

The Indemnified Party will cooperate in the defense of the action as requested by the Indemnifying Party. The Indemnifying Party will assume the cost of the defense on behalf of the Indemnified Party and its Indemnitees (other than the expense of the Indemnified Party’s counsel pursuant to the immediately preceding sentence) and will pay all expenses and satisfy all judgments which may be incurred or rendered against the Indemnified Party of its Indemnitees in connection therewith, provided that without the Indemnified Party’s written consent, the Indemnifying Party shall not enter into or acquiesce to any settlement containing any admission of or stipulation to any guilt, fault, or wrongdoing on the part of ITEM 7.10
9 the Indemnified Party, which would other adversely affect the Indemnified Party, or which results in less than a full releases of all claims.

7.4. Survival. The provisions of this Article 7 shall survive the expiration or earlier termination of this License Agreement for a period of two (2) years.

Article 8. Insurance

8.1. Insurance. During the Term of the Agreement, Licensee shall maintain in force all insurance as follows:

8.1.1. Not less than $2,000,000 combined single limit liability insurance, on an occurrence basis, for personal injury and property damage, including, without limitation, injury or damage arising from the operation of vehicles or equipment and liability for completed operations, and if a general aggregate limit applies, the general aggregate limit shall be twice the required occurrence limit;

8.1.2. Workers’ compensation insurance in amounts required by applicable law and employers’ liability insurance with a limit of at least $1,000,000 per occurrence per accident for bodily injury or disease. Such insurance shall include an insurer’s Waiver of Subrogation in favor of the Licensor;

8.1.3. Automobile liability insurance covering death or injury to any person or persons, or damage to property arising from the operation of vehicles or equipment, with limits of not less than $1,000,000 per occurrence; and

8.1.4. Any other insurance coverages specifically required of such Party pursuant to Licensor’s encroachment permits.

8.1.5 The Parties agree that the coverage requirements set forth in Section 8.1.1 may be met through a combination of primary and excess/umbrella coverage.

Article 9. Notices

9.1. Notices. All notices required to be given hereunder shall be in writing and shall be deemed to be properly served on the same day if delivered personally to the other Party, or on the date three (3) days after being sent by registered or certified mail, postage and charges prepaid, return receipt requested, or the on next business day if sent by a nationally recognized overnight courier, to the Party as set forth below or such other address as a Party may have directed in writing to the other party prior to the mailing of any such notice.

To City of Laguna Woods: To City of Laguna Hills:

City of Laguna Woods City of Laguna Hills
24264 El Toro Rd. 24035 El Toro Rd.

ITEM 7.10
10 Laguna Woods, CA 92637 Laguna Hills, CA 92653
Attn: City Manager Attn: City Manager
Article 10. Default

10.1. Defined. A “Default” shall be deemed to have occurred under this License Agreement if a Party materially breaches this License Agreement and fails to cure such material breach within thirty (30) days after notice specifying such material breach; provided that, if the material breach is of a nature that it cannot be cured within thirty (30) days, a Default shall not have occurred so long as the materially breaching Party has notified the non-defaulting Party and commenced to cure within said time period, and thereafter diligently pursues such cure to completion.

10.2. Meet and Confer. Prior to exercising any remedy for Default, City Managers of both Parties or their designees, shall meet and confer in good faith to attempt to resolve the dispute.

10.3. Remedies. If the Default remains uncured following the meet and confer process, Parties may pursue any remedy available under the law. No remedy shall be exercised in a manner that would cause either Party to breach the Cooperative Agreement or OCTA’s Funding Agreement.

Article 11. Abandonment

11.1. Abandonment. Should Licensee, for any reason, abandon all or part of its use of the Licensee Network installed in Licensed Conduit pursuant to this License Agreement, then the below provisions shall apply. “Abandon” shall be defined for the purposes of this License Agreement as failure to use the Licensee Network in the Licensed Conduit for more than twelve (12) months, or at such time that written notice of abandonment by Licensee is provided by Licensee. Provided, however, to the extent that such non-use is due in whole or substantial part to circumstances beyond Licensee’s control, including without limitation, acts or omissions of the Licensor or its employees or agents, this provision shall not apply.

11.1.1. If Licensor rejects all or a portion of the proposed transfer of abandoned Licensee Network facilities from Licensee, then Licensee shall remove, at Licensee’s sole expense, any facilities it proposed to abandon which were rejected by Licensor within ninety (90) days of Licensor’s rejection. If the Licensee fails to so remove the abandoned rejected facilities, then Licensor may remove them at Licensee’s expense, which shall be paid within thirty (30) days of receipt of the invoice.

11.1.2. At the time of any accepted abandonment, Licensee shall have no further rights with respect to the abandoned facilities. At such time, Licensor shall have the authority to remove, reuse, or resell the abandoned facilities.

ITEM 7.10
11 Article 12. Expiration or Termination

12.1. Licensee Fiber and Licensed Conduit. At the expiration or earlier termination of this License Agreement, all rights of Licensee to use the Licensed Conduit, or any parts thereof, shall cease and shall revert to Licensor. The Licensee Fiber shall not revert to Licensor upon expiration or earlier termination and shall instead be disposed of in accordance with Licensee’s election as set forth below.

With respect to the Licensee Fiber, upon expiration or earlier termination, Licensee shall, within thirty (30) days of Licensor’s written demand, notify Licensor in writing of its election at Licensee’s sole discretion to either: (1) remove the Licensee Fiber from the Licensed Conduit at Licensee’s sole cost and expense, or (2) transfer ownership of the Licensee Fiber to Licensor at no cost to Licensor, free and clear of any liens or encumbrances.

From and after such time, Licensee shall have no further rights or obligations hereunder with respect to the Licensed Conduit, unless such rights or obligations are specifically provided herein to survive the Term.

12.2. Title.

12.2.1. Licensor Network. It is understood and agreed that Licensor shall maintain legal title to the entire Licensor Network, including all ancillary facilities and related fixtures necessary to maintain service to Licensor Public Facilities, subject to this License Agreement.

12.2.2. Licensee-Installed Facilities. Licensee Fiber shall remain property of Licensee throughout the Term, and any extension thereof, and following expiration or earlier termination until removal or transfer is complete.

12.3. Termination. Upon expiration or earlier termination of this License Agreement, the Parties agree that the following steps will be taken:

12.3.1. Upon expiration or earlier termination of this License Agreement, (i) Licensee shall not remove any Licensed Conduit, ancillary facilities, or related fixtures without the express written approval of Licensor, which Licensor shall not unreasonably withhold, condition, or delay. Any removal of the Licensee Fiber, portions of the Licensee Network or Licensee’s facilities or equipment from Licensor right-of-way shall be at Licensee’s own cost; and (ii) Licensor shall not remove any Licensed Conduit, ancillary facilities, or related fixtures without the written approval of Licensee, which Licensee shall not unreasonably withhold, condition, or delay.

12.3.2. To the extent that Licensee wishes to leave the Licensee Network or any equipment or property in Licensor locations or right-of-way at the time of expiration or earlier termination, Licensee will cooperate with Licensor in doing so in accordance with Article 11.

ITEM 7.10
12 12.3.3. Upon expiration or earlier termination of this License Agreement, if all or any portion of the Licensee Network is to be dedicated to Licensor under the terms of this License Agreement, Licensee agrees to execute any mutually agreeable additional documents that may be reasonably necessary to effectuate the transfer of ownership any Licensee Network to Licensor.

Article 13. Representations, Warranties, and Acknowledgements

13.1. Each Party represents and warrants that:

13.1.1. It has the full right and authority to enter into, execute, deliver, and perform its obligations under this License Agreement; and

13.1.2. This License Agreement constitutes a legal, valid and binding obligation enforceable against such Party in accordance with its terms, subject to bankruptcy, insolvency, creditors’ rights, and general equitable principles.

13.2. LICENSOR DISCLAIMER OF WARRANTY. EXCEPT AS MAY OTHERWISE BE

STATED IN THIS LICENSE AGREEMENT, THE LICENSOR MAKES NO WARRANTY

OF ANY KIND WHATSOEVER EXCEPT FOR THE EXPRESS REPRESENTATIONS

SET FORTH HEREIN OR IN THE ATTACHED EXHIBIT(S) CONCERNING THE LICENSED CONDUIT. ALL IMPLIED WARRANTIES OF MERCHANTABILITY AND

FITNESS FOR A PARTICULAR PURPOSE ARE HEREBY DISCLAIMED BY THE GRANTING PARTY AND ARE EXCLUDED FROM THIS LICENSE AGREEMENT.

13.3. LICENSEE DISCLAIMER OF WARRANTY. EXCEPT AS MAY OTHERWISE BE

STATED IN THIS LICENSE AGREEMENT, LICENSEE MAKES NO WARRANTY OF

ANY KIND WHATSOEVER EXCEPT FOR THE EXPRESS REPRESENTATIONS SET

FORTH HEREIN OR IN THE ATTACHED EXHIBIT(S) CONCERNING THE LICENSEE FIBER. ALL IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A

PARTICULAR PURPOSE ARE HEREBY DISCLAIMED BY THE GRANTING PARTY AND ARE EXCLUDED FROM THIS LICENSE AGREEMENT.

Article 14. Force Majeure
Either Party hereto shall be excused from performing any obligation required of it by the terms of this License Agreement, except as to the payment of money, to the extent and for so long that such performance is prevented by acts of God, floods, storms, earthquakes, pandemics, fires, labor disputes, acts of war, restraint of trade by state or federal government, or inability to obtain supplies, manpower, or transportation or by any similar cause or causes beyond the Party’s reasonable control, provided that such Party gives prompt written notice of the delay and its cause to the other Party.

ITEM 7.10
13 Article 15. Prevailing Wages

15.1. Prevailing Wages. The Parties acknowledge that some or all of the laborers employed relative to the construction of the improvements to be constructed pursuant to this License Agreement may be subject to a requirement that they must be paid the prevailing per diem wage rate for their labor classification, as determined by the State of California, pursuant to Labor Code Section 1720 et seq. (“Prevailing Wage Laws”). The party awarding the construction contract(s) and administering the public funding, shall be solely responsible for determining whether laborers employed relative to the construction undertaken pursuant to this License Agreement must be paid the prevailing per diem wage rate pursuant to the Prevailing Wage Laws or other applicable law. The other party shall have no responsibility for such determination or compliance as to construction contracts it did not award.

15.2. Each party’s indemnification obligation specifically extends to claims arising out of the acts or omissions of that party or its contractor(s) and related to the (i) noncompliance by Licensee or Licensee’s contractor(s) with any applicable local, state, and/or federal labor law, including, without limitation, any applicable federal and/or state labor laws (including, without limitation, Prevailing Wage Laws and any requirement to hire apprentices in connection with such work); (ii) any violation by Licensee or Licensee’s contractor(s) of the requirements of California Labor Code Sections 1726 and 1781, as the same may be amended from time to time, or any other similar law in the performance of any service or work pursuant to this License Agreement; and/or (iii) failure by Licensee or Licensee’s contractor(s) to provide any required disclosure or identification as required by California Labor Code Section 1781, as the same may be amended from time to time, and/or any other similar law.

15.3 Reservation of Rights. Nothing in this License Agreement waives, releases or limits any right of action that may be available to either party under Labor Code Section 1781 or any similar law.

Article 16. Miscellaneous Provisions

16.1. No Waiver. No waiver of any right, term, or condition of this License Agreement by either Party shall be deemed to imply or constitute a further waiver of the same right, term, or condition or of any other right, term, or condition of this License Agreement, whether of a similar nature or otherwise.

16.2. Severability. If any provision of this License Agreement, in whole or in part, shall be determined to be illegal, invalid or unenforceable, then it is the intention of the Parties hereto that the remainder of this License Agreement shall not be affected unless, in the reasonable written determination of both Parties, such provision is material and essential to the purpose of this License Agreement, in which event either Party shall have the right to terminate this License Agreement in a writing signed by the duly authorized representatives of the Parties.

ITEM 7.10
14 16.3. Assignability. Neither Party shall assign (in whole or in part) this License Agreement to any other entity or party without the express written consent of the other Party, which may not be unreasonably withheld, conditioned, or delayed; provided, however, that either Party may, without obtaining the consent of the other Party, assign its interest in and to this License Agreement to: (i) any entity acquiring such Party, whether through merger or through purchase of substantially all the assets of said Party; or (ii) an affiliate of such Party. Any attempted assignment in violation of this provision shall be void.

16.4. Supplements and Amendments. From time to time, the Parties may execute one or more supplements to this License Agreement, each containing additional terms and conditions applicable to the Licensed Conduit (each a “Supplement”). Upon execution by the Parties each Supplement shall be incorporated into and subject to the terms and conditions set forth in this License Agreement. This License Agreement shall not be amended or modified, except by an instrument in writing, signed by the duly authorized representatives of both Parties hereto.

16.5. Headings. The provision headings used in this License Agreement are intended for reference purposes only and are not to be given any substantive effect upon the terms of this License Agreement.

16.6. No Third-Party Beneficiary. Nothing contained in this License Agreement shall be considered or construed as conferring any right or benefit on a person not a party to this License Agreement and neither this License Agreement nor the performance hereunder shall be deemed to have created a joint venture or partnership between the Parties.

16.7. Taxes. Licensee agrees that it will be solely responsible for the payment of any and all applicable taxes, fees, and assessments levied on its ownership, use, and maintenance of the Licensee Network, Licensed Conduit, and Licensee Fiber related to this License Agreement. Pursuant to Section 107.6 of the California Revenue and Taxation Code, Licensor hereby advises, and Licensee recognizes and understands, that Licensee’s use of the Licensor’s right-of-way, the Licensed Conduit, and /or other nonright-of-way Licensor property and facilities may create a possessory interest subject to real property taxation and that Licensee may be subject to, and responsible for, the payment of real property taxes levied on such interest. Licensee will co-operate with the Orange County Assessor in providing any information necessary for the Orange County Assessor to make a property tax determination. Additionally, Licensee will indemnify, protect, defend, and hold harmless Licensor’s Indemnified Parties from and against any and all claims, arising out of, involving, or in connection with the payment of real property taxes for any possessory interest created by this License Agreement.

16.8. Governing Law. This License Agreement shall be governed by the laws of the State of California, without regard to choice of law principles. Any action at law or in equity brought by either of the Parties for the purpose of enforcing a right or rights provided for by this License Agreement will be tried in a court of competent jurisdiction in the County of Orange, State of California, and the Parties waive all provisions of law providing for a change of venue in these proceedings to any other county.

ITEM 7.10
15 16.9. Entirety. This License Agreement states the entire agreement between the Parties with respect to the subject matter hereof and supersedes all prior agreements and understandings, whether oral or written, between the Parties with respect to the subject matter thereof.

16.10 Counterparts. This License Agreement may be executed in any number of counterparts, and each such counterpart hereof shall be deemed to be an original, and all of which together shall constitute one and the same instrument. A signed copy of this License Agreement delivered by facsimile, email, or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this License Agreement.
[Signatures on following page]
ITEM 7.10
16 IN WITNESS WHEREOF, the Parties hereto have caused this License Agreement to be executed on the date first set forth above.

LICENSOR
CITY OF LAGUNA WOODS, a California
Municipal Corporation

LICENSEE
CITY OF LAGUNA HILLS, a California
Municipal Corporation
By:

Christopher Macon,
City Manager
By:

Bob Wingenroth
City Manager
ATTEST: ATTEST:

By:

Yolie Trippy,
City Clerk
By:

Joshua Stevenson,
City Clerk
APPROVED AS TO FORM:

Rutan & Tucker, LLP
APPROVED AS TO FORM:

LICENSEE ATTORNEY’S OFFICE
By:

Alisha Patterson,
City Attorney
By: _______________________________
Vanessa Lassooy,
Interim Assistant City Attorney
ITEM 7.10
17 EXHIBIT A

LICENSOR NETWORK AND LICENSED CONDUIT
See attached.

ITEM 7.10
Licensed Conduit

EXHIBIT A
Licensed Conduit
ITEM 7.10
18 EXHIBIT B

INITIAL SCOPE OF WORK
Licensor will:
• Provide non-exclusive access for Licensee to Licensor-owned conduit in following locations:
o Moulton Parkway from Glenwood Drive to Santa Maria Avenue (approximately 9,550 linear feet)
o El Toro Road from Moulton Parkway to Paseo De Valencia (approximately 4,000 linear feet)
Licensee will:
• Damaged or Crushed Conduit:
o If Licensee discovers damage to a segment of Licensor duct system, it shall notify Licensor of such damage, and upon Licensor’s prior written consent Licensee shall repair, replace, or reroute damage conduit at Licensee’s sole cost and expense.

ITEM 7.10
This page is intentionally blank.

7.11 PUBLIC SAFETY GRANT PROGRAM
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.11 – Attachment A
R 26-XX 1 10-21-2026

CITY OF LAGUNA WOODS
RESOLUTION NO. 26-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA, ADOPTING MODIFICATIONS TO ADMINISTRATIVE POLICY 5.1

PERTAINING TO THE ESTABLISHMENT OF A PUBLIC SAFETY GRANT PROGRAM AND

RELATED FUNDING PROGRAMS, AND MODIFYING ALLOCATIONS OF EXISTING FISCAL YEARS 2025-26 AND 2026-27 GENERAL FUND BUDGET APPROPRIATIONS

TO FUNDING PROGRAMS
WHEREAS, public safety is critically important to Laguna Woods residents and businesses, as well as a reason many individuals decide to relocate to Laguna Woods; and WHEREAS, on December 17, 2025, the City Council adopted Administrative Policy

5.1, which established a public safety grant program (the “First in Public Safety” Grant Program) to support the City’s efforts to reduce the risk of disasters and incidence of crime; and
WHEREAS, the “First in Public Safety” Grant Program provides financial incentives for activities undertaken by non-governmental parties that advance mitigation and preparedness efforts related to natural hazards and crime; and WHEREAS, staff has recommended that the City Council adopt modifications to the existing Administrative Policy 5.1 to meet local needs and ensure its continued effectiveness, and those modifications have been incorporated into the administrative policy attached hereto as Exhibit A; and
WHEREAS, Administrative Policy 5.1 includes the re-allocation of existing fiscal years 2025-26 and 2026-27 General Fund budget appropriations to funding programs as set forth therein; and
WHEREAS, the funding programs described in Administrative Policy 5.1 would provide public benefits including, but not necessarily limited, to those set forth therein.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 2. The administrative policy attached hereto as Exhibit A is adopted and is a statement of the City’s “First in Public Safety” Grant Program policy. The administrative policy attached hereto as Exhibit A replaces and supersedes all previous versions of Administrative Policy 5.1.

ITEM 7.11 – Attachment A
R 26-XX 2 10-21-2026
SECTION 3. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED this 21st day of October 2026. _____________________________________
ANNIE MCCARY, Mayor
ATTEST:
_____________________________________
YOLIE TRIPPY, CMC, City Clerk

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, YOLIE TRIPPY, City Clerk of the City of Laguna Woods, do HEREBY CERTIFY that the foregoing Resolution No. 26-XX was duly adopted by the City Council of the City of Laguna Woods at a regular meeting thereof, held on the 21st day of October 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_______________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 7.11 – Exhibit A to Attachment A
Administrative Policy 5.1 (10/XX/2026) | Page 1 of 7
ADMINISTRATIVE POLICY 5.1
“FIRST IN PUBLIC SAFETY” GRANT PROGRAM

5.1.01. Statement of Purpose.

Public safety is critically important to Laguna Woods residents and businesses, as well as a reason many individuals decide to relocate to Laguna Woods. The “First in Public Safety” Grant Program provides financial incentives for activities undertaken by non-governmental parties that advance mitigation and preparedness efforts related to natural hazards and crime. In doing so, the “First in Public Safety” Grant Program supports the City of Laguna Woods’ efforts to reduce the risk of disasters and incidence of crime.

5.1.02. Funding Programs.

The City Council may establish funding programs as part of the “First in Public Safety” Grant Program by amending Exhibit B to this Administrative Policy to include information related to the purpose, public benefit, structure, and implementation of each funding program. The information included in Exhibit B shall be used and supplemented by the City Manager to develop calls for projects and funding program guidelines.

Funding programs may be established at the City Council’s discretion but should generally relate to current or emerging public safety priorities and specifically focus on activities that private parties might not undertake as quickly, or at all, absent financial incentivization.

5.1.03. General Implementation Process.

Funding programs that are part of the “First in Public Safety” Grant Program shall generally be implemented in accordance with the process set forth below.

1. The City of Laguna Woods issues a call for projects and funding program guidelines setting forth eligibility requirements, deadlines, and other pertinent information.

2. Applicants submit applications to the City of Laguna Woods in forms and containing such information as the City Manager deems to be necessary or advantageous to the implementation of the funding program. Staff shall make reasonable efforts to ensure that application requirements are not unduly burdensome.

ITEM 7.11 – Exhibit A to Attachment A
Administrative Policy 5.1 (10/XX/2026) | Page 2 of 7

3. Staff and, at the City Manager’s discretion, one or more representatives of the City of Laguna Woods’ public safety partners (e.g., City of Laguna Beach, Orange County Fire Authority, and Orange County Sheriff’s Department), evaluate applications received and recommend funding awards to the City Council.

4. The City Council receives funding award recommendations from staff and approves funding awards and associated grant agreements, in an open and publicly noticed meeting. Staff’s recommendations are advisory only and do not limit the City Council’s ability to approve fundings awards or associated grant agreements at its discretion.

5. Recipients complete the activities required by their grant agreements and submit completion reports and requests for payment to the City of Laguna Woods in forms and containing such information as the City Manager deems necessary or advantageous to the implementation of the funding program. When applicable, recipients are required to submit certified payroll records as an attachment to their completion reports.

6. Staff reviews completion reports and requests for payment. If staff determines that all activities required by a recipient’s grant agreement have been completed and all required documentation and deliverables have been received by the City of Laguna Woods (“completeness determination”), payments are made to recipients. Staff shall make reasonable efforts to issue payments to recipients within 15 calendar days of the completeness determination. When activities required by grant agreements include construction or other observable activities, staff shall conduct an on-site inspection to confirm all such activities have been completed prior to any payments being made.

5.1.04. Treatment of Construction as a Public Work.

Though construction undertaken by recipients in connection with their grant agreements does not constitute a “public project” as that term is defined in California Public Contract Code Section 20161, out of an abundance of caution, the City of Laguna Woods chooses to treat such construction as a “public work” as that term is defined in California Labor Code Section 1720(a)(1) due to it being “paid for in whole or in part out of public funds.”

5.1.05. Public Works Contractor Registration Required.

Contractors that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall be registered as a public works contractor with the CaliforniaDepartment of Industrial Relations (“DIR”) prior to beginning any work. Contractors shall maintain the validity of their DIR registrations at all times while completing work, until all work is completed.

This section does not require registration as a public works contractor for work for which the DIR has not made a prevailing wages determination.

ITEM 7.11 – Exhibit A to Attachment A
Administrative Policy 5.1 (10/XX/2026) | Page 3 of 7

5.1.06. Prevailing Wages and Certified Payroll Records Required.

Individuals that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall be paid at least the prevailing wages determined by the DIR, according to the type and location of work.

To substantiate compliance with this section, all contractors that provide labor associated with a recipient’s grant agreement shall submit certified payroll records to the California Labor Commissioner via the DIR’s Public Works Website Services using a DIR project number provided by the City of Laguna Woods. The same records that are submitted via the DIR’s Public Works Website Services shall also be submitted to the City of Laguna Woods, without redaction, prior to the City of Laguna Woods making any payments1.

This section does not require the payment of prevailing wages or the submittal of certified payroll records for work for which the DIR has not made a prevailing wages determination.

5.1.07. Apprentice Hiring Required.

Contractors that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall comply with the DIR’s apprentice hiring requirements.

This section does not require compliance with apprentice hiring requirements for funding awards totaling less than $30,000 (regardless of whether an individual contractor’s portion of work will be less than $30,000) or for crafts or trades that do not require apprentice hiring, as indicated in the DIR’s prevailing wage determinations.

5.1.08. Grant Agreements.

As a condition of funding awards, and prior to any payment, recipients shall enter into grant agreements with the City of Laguna Woods. Grant agreements shall be signed on behalf of the City of Laguna Woods by the City Manager and are subject to approval as to form by the City Attorney. The recipients’ signature(s) shall be notarized (acknowledgement).

Prior to executing grant agreements, recipients shall provide evidence to the City of Laguna Woods that the person or person(s) executing grant agreements on their behalf has/have the authority to do so and to bind them to obligations thereunder. For nonprofit public benefit corporations and nonprofit mutual benefit corporations, such evidence shall consist of a resolution or minute order signed by the secretary of the board of directors identifying the 1 California Assembly Bill 538 (Berman, Chapter 616, Statutes of 2025) requires cities to make certified payroll records associated with public works construction projects available for public inspection upon request. In doing so, cities are generally required to take steps to prevent the disclosure of individual names, addresses, and social security numbers.

ITEM 7.11 – Exhibit A to Attachment A
Administrative Policy 5.1 (10/XX/2026) | Page 4 of 7
authorized signatories by name and title and specifying the period of validity for such authorization. The secretary’s signature shall be notarized (acknowledgement).

In addition to information regarding the activities for which grants have been awarded and the payments to be provided, grant agreements shall include, at a minimum:

1. Indemnification and insurance requirements in forms, types, and amounts determined to be necessary by the City Manager and City Attorney. Staff shall consult with the California Joint Powers Insurance Authority on this matter.

2. Assurance that recipients shall provide the City of Laguna Woods and its agents with sufficient on-site access to determine whetherthe activities required by the recipients’ grant agreements have been completed.

3. Confirmation that recipients shall ensure compliance with applicable public works contractor registration, prevailing wages and certified payroll records, and apprentice hiring requirements. For additional information, refer to sections 5.1.05, 5.1.06, and

5.1.07 of this Administrative Policy.

4. Assurance that recipients shall maintain complete and detailed records to permit an accurate evaluation of the activities required by the recipients’ grant agreements. Such records shall be maintained for a period of five years from the date of the final payment made by the City of Laguna Woods and be made available to the City of Laguna Woods and its agents, for any reason and without redaction, within 10 calendar days of written request. Financial records shall be maintained in accordance with generally accepted accounting principles, to the extent applicable principles exist.

5. An acknowledgement by recipients that the City of Laguna Woods is subject to the California Public Records Act and may be required to publicly disclose all records submitted or maintained in connection with the “First in Public Safety” Grant Program.

Recipients should not expect privacy of such information.

City Council Approval: October XX, 2026
ITEM 7.11 – Exhibit A to Attachment A
Administrative Policy 5.1 (10/XX/2026) | Page 5 of 7

EXHIBIT A, GLOSSARY OF TERMS AND ACRONYMS
This Glossary of Terms and Acronyms contains information intended to provide readers with a common understanding of terms and acronyms used in this Administrative Policy. It is not intended for use outside of this Administrative Policy, is not all inclusive, and should not be treated as a substitute for professional counsel or analysis.

CALIFORNIA DEPARTMENT OF INDUSTRIAL RELATIONS (“DIR”): A department of the State of California responsible for functions including, but not limited to, the administration and enforcement of prevailing wages, apprenticeship requirements, and related workplace protections on public works construction projects.

CALIFORNIA JOINT POWERS INSURANCE AUTHORITY: The organization through which the City of Laguna Woods obtains liability and workers’ compensation coverage.

CALIFORNIA LABOR COMMISSIONER: The Division of Labor Standards Enforcement within the California Department of Industrial Relations (“DIR”).

CONTRACTOR: Any corporation, limited liability company, limited partnership, or other forprofit or nonprofit entity that provides labor associated with a recipient’s grant agreement, whether directly or in a subcontracting capacity. Recipients that provide labor associated with their own grant agreements are also considered “contractors.” ITEM 7.11 – Exhibit A to Attachment A
Administrative Policy 5.1 (10/XX/2026) | Page 6 of 7

EXHIBIT B, FUNDING PROGRAMS
Funding Program 26-A
Zone 0 Compliance Accelerator
Purpose: Funding Program 26-A seeks to incentivize early implementation of the California Board of Forestry and Fire Protection’s Zone 0 defensible space regulations.

Public Benefit: The California Board of Forestry and Fire Protection’s Zone 0 defensible space regulations are intended to result in the public safety benefits described in California Assembly Bill 3074 (Friedman, Chapter 259, Statutes of 2020) and California Senate Bill 504 (Dodd, Chapter 982, Statutes of 2024). Property owners of buildings and structures that are located in very high fire hazard severity zones and were constructed prior to 2026 have until January 1, 2029 to implement the regulations. Early implementation of the regulations will result in public safety benefits being realized sooner than they would otherwise.

Eligible Applicants: Non-governmental owners of buildings and structures that are located in the City of Laguna Woods’ Very High Fire Hazard Severity Zone are eligible to apply.

Available Funding: $246,283.50 – Fiscal Year 2025-26
$250,000 – Fiscal Year 2026-27
Unspent funds will automatically carryover to future fiscal years until reappropriated by the City Council or Fiscal Year 2028-29, whichever is later.

Eligible Activities: Eligible activities include design and construction costs associated with the physical modification of property to comply with the California Board of Forestry and Fire
Protection’s Zone 0 defensible space regulations.

Application Timeline: To be determined by the City Manager Other:  Grant activities must be completed within 365 calendar days of the date the grant agreement is entered into.
 Completion reports and requests for payment must be
submitted no later than 30 calendar days after the date grant activities are completed.

ITEM 7.11 – Exhibit A to Attachment A
Administrative Policy 5.1 (10/XX/2026) | Page 7 of 7
Funding Program 26-B
Connect Orange County Incentives
Purpose: Funding Program 26-B seeks to incentivize registration and integration of security cameras with the Orange County
Sheriff’s Department
Public Benefit: The Orange County Sheriff’s Department’s Connect Orange County program is intended to result in the following public safety benefits: (1) Enhance emergency preparedness by
enabling police, fire, and public safety professionals to better assess and rapidly respond to criminal activity and emergency situations; and (2) Enable investigators to easily gather evidence in case of an incident. Participation in Connect Orange County is voluntary. Participants can either choose to register or register and integrate their security cameras (“registration” involves notifying the Orange County Sheriff’s Department of the presence of security cameras, “integration” involves purchasing and installing equipment to provide the Orange County Sheriff’s Department with direct security camera feed access in case of nearby emergencies).

Encouraging participation in Connect Orange County will result in public safety benefits that might not otherwise be realized.

Eligible Applicants: Non-governmental owners and tenants of properties that are located in the City of Laguna Woods are eligible to apply.

Available Funding: $3,716.50 – Fiscal Year 2025-26
Eligible Activities: Eligible activities include the purchase and first year subscription costs of Axon FususCORE devices necessary to integrate the number of registered but unintegrated security cameras currently located on the property, and related nonstructural technical services, up to a maximum of $10,000 per eligible applicant. Security cameras must be registered prior to applications being submitted.

Application Timeline: To be determined by the City Manager Other:  Funding shall be awarded on a first-come first-served basis, based on the submittal date of each complete application.  The City Manager shall approve funding awards and
associated grant applications.
 Grant activities (including the integration of all security cameras) must be completed no later than a date determined by the City Manager. Completion reports and requests for payment must be submitted no later than a date determined by the City Manager.
 Sections 5.1.05, 5.1.06, and 5.1.07 of this Administrative Policy do not apply.

This page is intentionally blank.

ITEM 7.11 – Attachment B
Administrative Policy 5.1 (10/XX/2026) | Page 1 of 7
ADMINISTRATIVE POLICY 5.1
“FIRST IN PUBLIC SAFETY” GRANT PROGRAM

5.1.01. Statement of Purpose.

Public safety is critically important to Laguna Woods residents and businesses, as well as a reason many individuals decide to relocate to Laguna Woods. The “First in Public Safety” Grant Program provides financial incentives for activities undertaken by non-governmental parties that advance mitigation and preparedness efforts related to natural hazards and crime. In doing so, the “First in Public Safety” Grant Program supports the City of Laguna Woods’ efforts to reduce the risk of disasters and incidence of crime.

5.1.02. Funding Programs.

The City Council may establish funding programs as part of the “First in Public Safety” Grant Program by amending Exhibit B to this Administrative Policy to include information related to the purpose, public benefit, structure, and implementation of each funding program. The information included in Exhibit B shall be used and supplemented by the City Manager to develop calls for projects and funding program guidelines.

Funding programs may be established at the City Council’s discretion but should generally relate to current or emerging public safety priorities and specifically focus on activities that private parties might not undertake as quickly, or at all, absent financial incentivization.

5.1.03. General Implementation Process.

Funding programs that are part of the “First in Public Safety” Grant Program shall generally be implemented in accordance with the process set forth below.

1. The City of Laguna Woods issues a call for projects and funding program guidelines setting forth eligibility requirements, deadlines, and other pertinent information.

2. Applicants submit applications to the City of Laguna Woods in forms and containing such information as the City Manager deems to be necessary or advantageous to the implementation of the funding program. Staff shall make reasonable efforts to ensure that application requirements are not unduly burdensome.

ITEM 7.11 – Attachment B
Administrative Policy 5.1 (10/XX/2026) | Page 2 of 7

3. Staff and, at the City Manager’s discretion, one or more representatives of the City of Laguna Woods’ public safety partners (e.g., City of Laguna Beach, Orange County Fire Authority, and Orange County Sheriff’s Department), evaluate applications received and recommend funding awards to the City Council.

4. The City Council receives funding award recommendations from staff and approves funding awards and associated grant agreements, in an open and publicly noticed meeting. Staff’s recommendations are advisory only and do not limit the City Council’s ability to approve fundings awards or associated grant agreements at its discretion.

5. Recipients complete the activities required by their grant agreements and submit completion reports and requests for payment to the City of Laguna Woods in forms and containing such information as the City Manager deems necessary or advantageous to the implementation of the funding program. When applicable, recipients are required to submit certified payroll records as an attachment to their completion reports.

6. Staff reviews completion reports and requests for payment. If staff determines that all activities required by a recipient’s grant agreement have been completed and all required documentation and deliverables have been received by the City of Laguna Woods (“completeness determination”), payments are made to recipients. Staff shall make reasonable efforts to issue payments to recipients within 15 calendar days of the completeness determination. When activities required by grant agreements include construction or other observable activities, staff shall conduct an on-site inspection to confirm all such activities have been completed prior to any payments being made.

5.1.04. Treatment of Construction as a Public Work.

Though construction undertaken by recipients in connection with their grant agreements does not constitute a “public project” as that term is defined in California Public Contract Code Section 20161, out of an abundance of caution, the City of Laguna Woods chooses to treat such construction as a “public work” as that term is defined in California Labor Code Section 1720(a)(1) due to it being “paid for in whole or in part out of public funds.”

5.1.05. Public Works Contractor Registration Required.

Contractors that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall be registered as a public works contractor with the California Department of Industrial Relations (“DIR”) prior to beginning any work. Contractors shall maintain the validity of their DIR registrations at all times while completing work, until all work is completed.

This section does not require registration as a public works contractor for work for which the DIR has not made a prevailing wages determination.

ITEM 7.11 – Attachment B
Administrative Policy 5.1 (10/XX/2026) | Page 3 of 7

5.1.06. Prevailing Wages and Certified Payroll Records Required.

Individuals that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall be paid at least the prevailing wages determined by the DIR, according to the type and location of work.

To substantiate compliance with this section, all contractors that provide labor associated with a recipient’s grant agreement shall submit certified payroll records to the California Labor Commissioner via the DIR’s Public Works Website Services using a DIR project number provided by the City of Laguna Woods. The same records that are submitted via the DIR’s Public Works Website Services shall also be submitted to the City of Laguna Woods, without redaction, prior to the City of Laguna Woods making any payments1.

This section does not require the payment of prevailing wages or the submittal of certified payroll records for work for which the DIR has not made a prevailing wages determination.

5.1.07. Apprentice Hiring Required.

Contractors that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall comply with the DIR’s apprentice hiring requirements.

This section does not require compliance with apprentice hiring requirements for funding awards totaling less than $30,000 (regardless of whether an individual contractor’s portion of work will be less than $30,000) or for crafts or trades that do not require apprentice hiring, as indicated in the DIR’s prevailing wage determinations.

5.1.08. Grant Agreements.

As a condition of funding awards, and prior to any payment, recipients shall enter into grant agreements with the City of Laguna Woods. Grant agreements shall be signed on behalf of the City of Laguna Woods by the City Manager and are subject to approval as to form by the City Attorney. The recipients’ signature(s) shall be notarized (acknowledgement).

Prior to executing grant agreements, recipients shall provide evidence to the City of Laguna Woods that the person or person(s) executing grant agreements on their behalf has/have the authority to do so and to bind them to obligations thereunder. For nonprofit public benefit corporations and nonprofit mutual benefit corporations, such evidence shall consist of a resolution or minute order signed by the secretary of the board of directors identifying the 1 California Assembly Bill 538 (Berman, Chapter 616, Statutes of 2025) requires cities to make certified payroll records associated with public works construction projects available for public inspection upon request. In doing so, cities are generally required to take steps to prevent the disclosure of individual names, addresses, and social security numbers.

ITEM 7.11 – Attachment B
Administrative Policy 5.1 (10/XX/2026) | Page 4 of 7
authorized signatories by name and title and specifying the period of validity for such authorization. The secretary’s signature shall be notarized (acknowledgement).

In addition to information regarding the activities for which grants have been awarded and the payments to be provided, grant agreements shall include, at a minimum:

1. Indemnification and insurance requirements in forms, types, and amounts determined to be necessary by the City Manager and City Attorney. Staff shall consult with the California Joint Powers Insurance Authority on this matter.

2. Assurance that recipients shall provide the City of Laguna Woods and its agents with sufficient on-site access to determine whether the activities required by the recipients’ grant agreements have been completed.

3. Confirmation that recipients shall ensure compliance with applicable public works contractor registration, prevailing wages and certified payroll records, and apprentice hiring requirements. For additional information, refer to sections 5.1.05, 5.1.06, and

5.1.07 of this Administrative Policy.

4. Assurance that recipients shall maintain complete and detailed records to permit an accurate evaluation of the activities required by the recipients’ grant agreements. Such records shall be maintained for a period of five years from the date of the final payment made by the City of Laguna Woods and be made available to the City of Laguna Woods and its agents, for any reason and without redaction, within 10 calendar days of written request. Financial records shall be maintained in accordance with generally accepted accounting principles, to the extent applicable principles exist.

5. An acknowledgement by recipients that the City of Laguna Woods is subject to the California Public Records Act and may be required to publicly disclose all records submitted or maintained in connection with the “First in Public Safety” Grant Program.

Recipients should not expect privacy of such information.

City Council Approval: December 17, 2025October XX, 2026 ITEM 7.11 – Attachment B
Administrative Policy 5.1 (10/XX/2026) | Page 5 of 7

EXHIBIT A, GLOSSARY OF TERMS AND ACRONYMS
This Glossary of Terms and Acronyms contains information intended to provide readers with a common understanding of terms and acronyms used in this Administrative Policy. It is not intended for use outside of this Administrative Policy, is not all inclusive, and should not be treated as a substitute for professional counsel or analysis.

CALIFORNIA DEPARTMENT OF INDUSTRIAL RELATIONS (“DIR”): A department of the State of California responsible for functions including, but not limited to, the administration and enforcement of prevailing wages, apprenticeship requirements, and related workplace protections on public works construction projects.

CALIFORNIA JOINT POWERS INSURANCE AUTHORITY: The organization through which the City of Laguna Woods obtains liability and workers’ compensation coverage.

CALIFORNIA LABOR COMMISSIONER: The Division of Labor Standards Enforcement within the California Department of Industrial Relations (“DIR”).

CONTRACTOR: Any corporation, limited liability company, limited partnership, or other forprofit or nonprofit entity that provides labor associated with a recipient’s grant agreement, whether directly or in a subcontracting capacity. Recipients that provide labor associated with their own grant agreements are also considered “contractors.” ITEM 7.11 – Attachment B
Administrative Policy 5.1 (10/XX/2026) | Page 6 of 7

EXHIBIT B, FUNDING PROGRAMS
Funding Program 26-A
Zone 0 Compliance Accelerator
Purpose: Funding Program 26-A seeks to incentivize early implementation of the California Board of Forestry and Fire Protection’s Zone 0 defensible space regulations.

Public Benefit: The California Board of Forestry and Fire Protection’s Zone 0 defensible space regulations are intended to result in the public safety benefits described in California Assembly Bill 3074 (Friedman, Chapter 259, Statutes of 2020) and California Senate Bill 504 (Dodd, Chapter 982, Statutes of 2024). Property owners of buildings and structures that are located in very high fire hazard severity zones and were constructed prior to 2026 have until January 1, 2029 to implement the regulations. Early implementation of the regulations will result in public safety benefits being realized sooner than they would otherwise.

Eligible Applicants: Non-governmental owners of buildings and structures that are located in the City of Laguna Woods’ Very High Fire Hazard Severity Zone are eligible to apply.

Available Funding: $220,000$246,283.50 – Fiscal Year 2025-26 $250,000 – Fiscal Year 2026-27
Unspent funds will automatically carryover to future fiscal years until reappropriated by the City Council or Fiscal Year 2028-29, whichever is later.

Eligible Activities: Eligible activities include design and construction costs associated with the physical modification of property to comply with the California Board of Forestry and Fire
Protection’s Zone 0 defensible space regulations.

Application Timeline: To be determined by the City Manager Other:  Grant activities must be completed within 365 calendar days of the date the grant agreement is entered into.
 Completion reports and requests for payment must be
submitted no later than 30 calendar days after the date grant activities are completed.

ITEM 7.11 – Attachment B
Administrative Policy 5.1 (10/XX/2026) | Page 7 of 7
Funding Program 26-B
Connect Orange County Incentives
Purpose: Funding Program 26-B seeks to incentivize registration and integration of security cameras with the Orange County
Sheriff’s Department
Public Benefit: The Orange County Sheriff’s Department’s Connect Orange County program is intended to result in the following public safety benefits: (1) Enhance emergency preparedness by
enabling police, fire, and public safety professionals to better assess and rapidly respond to criminal activity and emergency situations; and (2) Enable investigators to easily gather evidence in case of an incident. Participation in Connect Orange County is voluntary. Participants can either choose to register or register and integrate their security cameras (“registration” involves notifying the Orange County Sheriff’s Department of the presence of security cameras, “integration” involves purchasing and installing equipment to provide the Orange County Sheriff’s Department with direct security camera feed access in case of nearby emergencies).

Encouraging participation in Connect Orange County will result in public safety benefits that might not otherwise be realized.

Eligible Applicants: Non-governmental owners and tenants of properties that are located in the City of Laguna Woods are eligible to apply.

Available Funding: $30,000$3,716.50 – Fiscal Year 2025-26 Eligible Activities: Eligible activities include the purchase and first year subscription costs of Axon FususCORE devices necessary to integrate the number of registered but unintegrated security cameras currently located on the property, and related nonstructural technical services, up to a maximum of $10,000 per eligible applicant. Security cameras must be registered prior to applications being submitted.

Application Timeline: To be determined by the City Manager Other:  Funding shall be awarded on a first-come first-served basis, based on the submittal date of each complete application.  The City Manager shall approve funding awards and
associated grant applications.
 Grant activities (including the integration of all security cameras) must be completed no later than May 31, 2026a date determined by the City Manager. Completion reports and
requests for payment must be submitted no later than June 30, 2026a date determined by the City Manager.
 Sections 5.1.05, 5.1.06, and 5.1.07 of this Administrative Policy do not apply.

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8.1 OBJECTIVE DESIGN STANDARDS FOR

COMMERCIAL DEVELOPMENT
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ITEM 8.1
CC  10-21-2026 Item 8.1 – Page 1 of 4
TO: Honorable Mayor and Members of the City Council
FROM: Christopher Macon, City Manager
FOR: October 21, 2026 City Council Meeting
SUBJECT: Objective Design Standards for Commercial Development Recommendation

1. Receive staff report;

2. Open public hearing;

3. Receive public testimony;

4. Continue the public hearing to the regular meeting of the City Council on November 18, 2026 at 2 p.m. at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637; and

5. Approve the introduction and first reading of an ordinance – read by title with further reading waived – titled:

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA, ADDING SECTION 13.22.060 TO CHAPTER 13.22 OF TITLE 13 (ZONING) OF THE LAGUNA

WOODS MUNICIPAL CODE PERTAINING TO THE ESTABLISHMENT OF OBJECTIVE DESIGN STANDARDS FOR COMMERCIAL DEVELOPMENT; ADOPTING OBJECTIVE

DESIGN STANDARDS FOR COMMERCIAL DEVELOPMENT IN THE COMMUNITY

COMMERCIAL (CC), NEIGHBORHOOD COMMERCIAL (NC), AND PROFESSIONAL AND ADMINISTRATIVE OFFICE (PA) ZONING DISTRICTS; AND, DETERMINING AND CERTIFYING

THAT THE ORDINANCE IS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT Background
The Fiscal Years 2025-27 Budget & Work Plan includes a significant work plan item to refine the City’s objective design and development regulations (“objective design standards”) for ITEM 8.1
Item 8.1 – Page 2 of 4 CC  10-21-2026
new and redevelopment projects (e.g., architectural and landscape standards).

Staff has contracted with JZMK Partners, an architecture, planning and urban design firm based in Costa Mesa, to assist with the preparation of the commercial objective design standards. JZMK Partners has relevant experience providing similar services to other cities, including Laguna Hills and Mission Viejo, both of which adopted objective design standards for residential projects with JZMK Partners’ technical assistance. For additional information on JZMK Partners, please visit their website at www.jzmkpartners.com.

Previous Meetings and Activities
On January 26, 2026, the City hosted a community workshop on the Commercial Objective Design Standards Project. The workshop was facilitated by JZMK Partners and included 21 public participants, in addition to members of the City Council and staff.

On February 4, 2026, written public comments regarding the Commercial Objective Design Standards Project were received by the City Council at its special meeting.

On February 24, 2026, the City Council met and discussed the Commercial Objective Design Standards Project. Staff and JZMK Partners received input from members of the City Council and one member of the public.

On July 31, 2026, the City released a public review draft of the Commercial Objective Design Standards. Interested parties were invited to submit comments on the public review draft from July 31, 2026 through August 21, 2026.

On August 12, 2026, the City Council met and discussed the Commercial Objective Design Standards Project. Staff and JZMK Partners received input from members of the City Council and three members of the public.

On October 8, 2026, the proposed ordinance (Attachment A) was made available for public inspection at City Hall and on the City’s website. A public notice announcing today’s public hearing and the availability of the proposed ordinance was published in the Laguna Woods Globe on October 8, 2026 and October 15, 2026. The same public notice was also emailed to two members of the public who signed up to receive such notifications.

Discussion
The City Council is asked to conduct a public hearing on the proposed Commercial Objective Design Standards (Attachment A). State law requires that the City Council hold at least two public meetings as part of the adoption process for the proposed ordinance, which means that if staff’s recommendation is taken at today’s meeting, adoption could occur at the November 18, 2026 meeting with an effective date of December 17, 2026. Members of the public would be able to provide public testimony today and on November 18, 2026.

ITEM 8.1
CC  10-21-2026 Item 8.1 – Page 3 of 4
Exhibit B to Attachment A (the “Objective Design Standards for Commercial Development document) has been updated to reflect input received at the August 12, 2026 City Council meeting. Modifications include, but are not limited to, the following:
• Section 1.3.2. Expanded the applicable project types to include the addition of any new structure(s), substantial renovation of canopies, any alternation that increases the number of drive-through lanes or fuel pumps, and discretionary projects for which the City Council conditions its approval on compliance with the standards. • Section 2.1.5. Added a requirement for permanent seating to be located beneath an awning, building overhang, pergola, or other permanent shading element, or within the projected fifteen-year canopy of a shade tree.

Reduced the minimum planting ratio for trees in publicly accessible open space from one per 1,000 square feet to 1 per 800 square feet.
• Section 2.4.1. Reduced the minimum planting distance for trees in the first 50 feet of where a pedestrian pathway connects to a public sidewalk from 30 feet to 25 feet. • Section 3.1.3.1. Increased the minimum dimensions of a major massing break from 3 feet deep by 6 feet wide to 4 feet deep by 6 feet wide. • Section 4.3. Added a requirement for curved parapet walls to feature a “simple, smooth profile without intricate detailing, jagged edges, or sharp corners.” The number of curved parapet walls remains limited to 1 per building. • Section 4.4. Prohibited window grills.
• Section 4.6. Removed window grills as an allowable decorative accent.

Added accent grills as an allowable decorative accent. Accent grills are included at San Sebastian Apartments.

Clarified that, when selected for inclusion in a project, decorative tiles shall be “applied as a border at entrances or entry porticos.”
Clarified that, when selected for inclusion on a project, loggias shall be framed by arches. This is meant to prevent the use of columns and other design elements. • Section 5.1.4.2. Added a requirement that at least 51% of all trees planted shall be a minimum 36 inch box size at the time of installation. The minimum box size remains 24 inches.

ITEM 8.1
Item 8.1 – Page 4 of 4 CC  10-21-2026
Staff has also prepared a document responding to the comments that were received on the public review draft during the public review period (Attachment B).

Fiscal Impact
Sufficient funds to support this project are included in the City’s budget.

Environmental Review
The City Council is asked to find that the proposed ordinance is not subject to the California Environmental Quality Act (Pub. Resources Code, Sec. 21000 et seq.) (“CEQA”) pursuant to sections 15060(c)(2) (the activities will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activities are not a project as defined in section 15378) of the California Code of Regulations, Title 14, Division 6, Chapter 3 (“State CEQA Guidelines”). Section 15378(b)(2) of the State CEQA Guidelines excludes “general policy and procedure making” from its definition of “project” when it does not apply to “specific instances” set forth in Section 15378(a) of the State CEQA Guidelines as is the case here.

The City Council is also asked to find that, even if the proposed ordinance were subject to CEQA, it would be exempt based on Section 15061(b)(3) of the State CEQA Guidelines because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.

All development projects to which the objective design standards for commercial development would apply are speculative at this point. CEQA review of development projects subject to CEQA, including any application of the objective design standards for commercial development to such projects, would be conducted by the City during the prospective processing of such projects.

Documents Available for Review
Related documents – including the proposed ordinance – are open to public inspection at or from the City Clerk’s Office during normal working hours. The City Clerk’s Office is located at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637 and can be contacted by calling (949) 639-0500. The proposed ordinance is also available for public inspection on the City’s website at www.lagunawoods.gov/projects.

Attachments: A – Proposed Ordinance
Exhibit A – Proposed Code Amendments
Exhibit B – Proposed Code Amendments
B – Response to Public Review Period Comments
ITEM 8.1 – Attachment A
O 26-XX 1 XX-XX-2026

CITY OF LAGUNA WOODS
ORDINANCE NO. 26-XX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA, ADDING SECTION 13.22.060 TO CHAPTER 13.22 OF TITLE 13 (ZONING) OF THE LAGUNA WOODS MUNICIPAL CODE PERTAINING TO THE

ESTABLISHMENT OF OBJECTIVE DESIGN STANDARDS FOR COMMERCIAL DEVELOPMENT; ADOPTING OBJECTIVE DESIGN STANDARDS FOR COMMERCIAL

DEVELOPMENT IN THE COMMUNITY COMMERCIAL (CC), NEIGHBORHOOD

COMMERCIAL (NC), AND PROFESSIONAL AND ADMINISTRATIVE OFFICE (PA) ZONING DISTRICTS; AND, DETERMINING AND CERTIFYING THAT THE ORDINANCE IS

EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT
WHEREAS, the City Council wishes to establish objective design standards for commercial development (“Code Amendments”); and
WHEREAS, the Code Amendments apply to the Community Commercial (CC), Neighborhood Commercial (NC), and Professional and Administrative Office (PA) zoning districts; and
WHEREAS, the Code Amendments are intended to guide the future construction, alteration, and renovation of businesses, gas stations, office buildings, restaurants, shopping centers, and other commercial properties, in order to protect and advance Laguna Woods’ character and visual quality for the benefit of the City’s economic development and quality of life for residents and visitors; and WHEREAS, Goal L-2 in the General Plan Land Use Element is to “promote unique, but visually cohesive development,” which is consistent with the purpose and intent of the Code Amendments. For example, Policy Objective L-2.1 in the General Plan Land Use Element calls for the City to “establish and apply standards for development projects to be designed and constructed in a manner that embraces Laguna Woods’ aesthetics, character, and sense of place”; and
WHEREAS, at the regular meetings on October 21, 2026 and November 18, 2026, the City Council held a duly noticed public hearing on this Ordinance at which it considered all of the information, evidence, and testimony presented, both written and oral.

THE CITY COUNCIL OF THE CITY OF LAGUNA WOODS, CALIFORNIA, DOES ORDAIN AS FOLLOWS:

SECTION 1. The City Council hereby finds and determines that (i) each of the recitals to this Ordinance are true and correct, and are adopted herein as findings; (ii) the Code Amendments comply with all applicable requirements of State law; (iii) the Code ITEM 8.1 – Attachment A
O 26-XX 2 XX-XX-2026
Amendments will not adversely affect the health, safety, or welfare of the residents within the community; (iv) the Code Amendments are in the public interest of the City of Laguna Woods; and, (v) the Code Amendments are consistent with the Laguna Woods General Plan and its various elements.

SECTION 2. After reviewing the entire project record, the City Council hereby determines and certifies that this Ordinance is not subject to the California Environmental Quality Act (Pub. Resources Code, Sec. 21000 et seq.) (“CEQA”) pursuant to sections 15060(c)(2) (the activities will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activities are not a project as defined in section 15378) of the California Code of Regulations, Title 14, Division 6, Chapter 3 (“State CEQA Guidelines”). Section 15378(b)(2) of the State CEQA Guidelines excludes “general policy and procedure making” from its definition of “project” when it does not apply to “specific instances” set forth in Section 15378(a) of the State CEQA Guidelines as is the case here.

After reviewing the entire project record, the City Council hereby finds that, even if this Ordinance were subject to CEQA, it would be exempt based on Section 15061(b)(3) of the State CEQA Guidelines because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment.

All development projects to which the Code Amendments apply are speculative at this point. CEQA review of development projects subject to CEQA, including any application of the Code Amendments to such projects, will be conducted by the City during the prospective processing of such projects.

SECTION 3. Section 13.22.060 of the Laguna Woods Municipal Code is hereby amended to read as set forth in Exhibit A, attached to this Ordinance and incorporated herein by this reference. The Objective Design Standards for Commercial Development set forth in Exhibit B, attached to this Ordinance and incorporated herein by this reference, are hereby adopted as if set forth at length in Exhibit A.

SECTION 4. This Ordinance shall take effect and be in full force and operation 30 calendar days after adoption.

SECTION 5. If any section, subsection, subdivision, paragraph, sentence, clause, or phrase added by this Ordinance, or any part thereof, is for any reason held to be unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity of effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase thereof irrespective of the fact that any one or more subsections, subdivisions, paragraphs sentences, clauses, or phrases are declared unconstitutional, invalid, or ineffective.

ITEM 8.1 – Attachment A
O 26-XX 3 XX-XX-2026
SECTION 6. The Mayor shall sign this Ordinance.

SECTION 7. The City Clerk shall certify to the passage of this Ordinance and shall cause this Ordinance to be published or posted as required by law.

SECTION 8. All of the above-referenced documents and information have been and are on file with the City Clerk of the City.

PASSED, APPROVED AND ADOPTED this XX day of XX 2026.
_____________________________________
ANNIE MCCARY, Mayor
ATTEST:
_____________________________________
YOLIE TRIPPY, CMC, City Clerk
APPROVED AS TO FORM:
_____________________________________
ALISHA PATTERSON, City Attorney

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, YOLIE TRIPPY, City Clerk of the City of Laguna Woods, do HEREBY CERTIFY that the foregoing Ordinance No. 26-XX was duly introduced and placed upon its first reading at a regular meeting of the City Council on the XX day of XX 2026, and that thereafter, said Ordinance was duly adopted and passed at a regular meeting of the City Council on the XX day of XX 2026 by the following vote to wit:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_______________________________________
YOLIE TRIPPY, CMC, City Clerk
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ITEM 8.1 – Exhibit A to Attachment A
Exhibit A to Ordinance No. 26-XX
Code Amendments
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EXHIBIT A
CODE AMENDMENTS – SECTION 13.22.060