Morgan Hill City Council
February 7, 2025

Annual Goal Setting Workshop
City Council
Mark Turner - Mayor
Yvonne Martínez Beltrán - Mayor Pro Tem
Miriam Vega - Council Member
Marilyn Librers - Council Member
Soraida Iwanaga - Council Member
Friday, February 7, 2025 9:00 AM
Council Chamber Building
17555 Peak Avenue, Morgan Hill, CA 95037
The City Council Goal Setting Workshop is held in person.

MEETING PARTICIPATION
The workshop is open to the public to attend in person. The workshop will also be livestreamed on the City’s website and Channel 17.

PUBLIC COMMENT
Public comment may be offered verbally at the meeting or in writing before the meeting.

Written public comment may be submitted to the City Clerk:
• In person at the City Council Meeting;
• Via email to [email protected]; or
• Hand delivered or mailed to the City Clerk at 17575 Peak Avenue, Morgan Hill, CA 95037
Written comments WILL NOT be read aloud during the City Council Meeting. Please note that written comments are posted on the City's website. It is recommended that you do not include any personal information that you do not want to be posted on the web. Please be advised that communications directed to the City Council are public records and are subject to disclosure pursuant to the California Public Records Act and Brown Act unless exempt from disclosure under the applicable law. Communications will NOT be edited for redactions and will be printed/posted as submitted.

AMERICANS WITH DISABILITIES ACT (ADA)

February 7, 2025
2 In compliance with the Americans with Disabilities Act, if you are a disabled person and you need a disability-related modification or accommodation to participate in this meeting, please contact the City Clerk's Office at (408)779-7259 or by email at [email protected]. Requests must be made as early as possible and at least two full business days before the start of the meeting.

CALL TO ORDER

ROLL CALL ATTENDANCE

DECLARATION OF POSTING AGENDA

PUBLIC COMMENT
This opportunity for public comment is for items that are not on the agenda. If you would like to make comments on an item that is on the agenda, please wait until we get to that item to offer your comments. Members of the public are entitled to address the City Council concerning any item within the Morgan Hill City Council’s subject matter jurisdiction. Public comments are limited to no more than three minutes. Except for certain specific exceptions, the City Council is prohibited from discussing or taking action on any item not appearing on the posted agenda. Public comment is intended for comments. Questions posed during public comment are not generally answered. If you have questions, please send them to the City Clerk at [email protected] to receive a response. (See additional noticing at the end of this agenda)

ADOPTION OF AGENDA

WORKSHOP

CITY COUNCIL GOAL SETTING WORKSHOP

1. Review and discuss:
a. 2024 Accomplishments
b. Rules for the Conduct of City Council Meetings (CP 97-01) c. City Council Appointments to Outside Agencies
d. 2024-2025 Strategic Priorities Workplan
e. 2024-2025 Sustainable Morgan Hill
f. Financial Update
g. Economic Development Update
h. Housing Update

February 7, 2025
3 ADJOURNMENT

February 7, 2025
4 NOTICE
Any documents produced by the City and distributed to the majority of the City Council less than 72 hours prior to an open meeting, will be made available for public inspection at the City Clerk’s Counter at City Hall located at 17575 Peak Avenue, Morgan Hill, CA, 95037 and at the Morgan Hill Public Library located at 660 West Main Avenue, Morgan Hill, California, 95037 during normal business hours. (Pursuant to Government Code 54957.5)

PUBLIC COMMENT
Members of the Public are entitled to directly address the City Council concerning any item described in the notice of this meeting during consideration of that item. If you wish to address the Council on any item on this agenda, please complete a speaker request card located in the foyer of the Council Chambers and deliver it to the Minutes Clerk before the City Council discussion on the item. You are not required to give your name on the speaker card to speak to the Council, but it is very helpful. When you are called, proceed to the podium, and the Mayor will recognize you. If you wish to address the City Council on any other item of interest to the public, you may do so during the public comment portion of the meeting following the same procedure described above. Please limit your comments to three (3) minutes or less.

Please submit written correspondence to the Minutes Clerk, who will distribute correspondence to the City Council.

Persons interested in proposing an item for the City Council agenda should contact a member of the City Council who may request an item on the agenda for a future City Council meeting. Council discussion or action may not be taken until your item appears on an agenda. This procedure is in compliance with the California Public Meeting Law (Brown Act) Government Code §54950.

City Council Policies and Procedures (CP 03-01) outlines the procedure for the conduct of public hearings.

Notice is given, pursuant to Government Code Section 65009, that any challenge of Public Hearing Agenda items in court, may be limited to raising only those issues raised by you or on your behalf at the Public Hearing described in this notice, or in written correspondence delivered to the City Council at, or prior to the Public Hearing on these matters.

The time within which judicial review must be sought of the action by the City Council, which acted upon any matter appearing on this agenda is governed by the provisions of Section 1094.6 of the California Code of Civil Procedure.

For a copy of City Council Policies and Procedures CP 97-01, please contact the City Clerk’s office (408) 779-7259, (408) 779-3117 (fax) or by email [email protected].

February 7, 2025
5

City Council Goal Setting Workshop
FRIDAY, FEBRUARY 7, 2025

ATTACHED
MATERIALS:
1) 2024 Accomplishments
2) Rules for the Conduct of City Council Meetings (City Council Policy 97-01) 3) City Council Appointments to Outside Agencies
4) 2024-2025 Strategic Priorities Workplan
5) 2024-2025 Sustainable Morgan Hill
6) Financial and Investment Reports – December 31, 2024 7) PowerPoint Presentation
Time Topic Presenter
9:00 AM-9:30 AM 1. Welcome

1.1 Welcome Mayor & Christina
Turner

1.2 Council and Leadership Team Introductions City Council/Leadership Team

1.3 Icebreaker Christina Turner

1.4 Purpose of Goal Setting Workshop, Preview
Agenda, and Format
Christina Turner

1.5 Review of 2024 Accomplishments Leadership Team

1.6 Public Comment Mayor Turner
9:30 AM-10:30 AM 2. Council Policies, Procedures, and Protocols

2.1 Rules for the Conduct of City Council Meetings
(CP-97-01)
Mayor Turner

2.2 City Council Appointments to Outside Agencies Mayor Turner

2.3 Public Comment Mayor Turner

10:30 AM-12:00 PM 3. Sustainable Morgan Hill

3.1 Review of 2024-2025 Strategic Priorities
Workplan
Christina Turner

3.2 Review and Discussion of 2024-2025
Sustainable Morgan Hill
Mayor Turner

3.3 Public Comment Mayor Turner
12:00 PM-1:00 PM Lunch Break
1:00 PM-2:00 PM 4 Financial Update

4.1 Financial and Investment Reports Dat Nguyen

4.2 Budget Update and Outlook Dat Nguyen

4.3 Public Comment Mayor Turner
2:00 PM-3:00 PM 5 Economic Development

5.1 Economic Development Update Edith Ramirez &
Matt Mahood

5.2 Public Comment Mayor Turner
3:00 PM-4:00 PM 6 Housing

6.1 Housing Update Jennifer Carman

6.2 Public Comment Mayor Turner

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
1 | P a g e

ADMINISTRATIVE SERVICES
Council Services and Records Management
• Supported Communications and Engagement efforts and activities. • Completed large records purge pursuant to the Records Retention Schedule. • Successfully completed the November 2024 election and onboarding process for the Mayor, two City Council seats, the Treasurer, and two ballot measures.

Finance/Budget/Utility Billing
• Successfully implemented Phase I/II of the Enterprise Resource Planning (ERP) system, Tyler Munis – Financials and Utility Billing.
• On behalf of the City utilities customers, applied and received $54,000 from the State Water Resources Control Board and the California Department of Community Services and Development to help with utilities costs. This is on top of approximately $250,000 received in the prior years. • Successfully claimed and awarded approximately $400,000 from the FEMA and the State for the 2022-23 Early Winter Storms damages.

Human Resources
• Completed recruitments for 13 regular benefited positions and onboarded 17 benefited and 71 part-time temporary teammates.
• Provided Harassment Prevention Training to City teammates. • Provided Conflict Style and Conflict Conversation training to City teammates. • Provided Unraveling Equity with Managers training to City teammates. • Prepared and completed Open Enrollment 2025.
• Conducted a citywide health fair event with various vendors. • Organized and hosted Teammate Service Awards.
• Hosted and participated in the Santa Clara County Leadership Academy. • Hosted Liebert Cassidy Whitmore labor education workshops available to surrounding agencies and City of Morgan Hill teammates.

CITY MANAGER
• Served as the City of Morgan Hill’s Director of Emergency Services. • Participated in regular meetings with Santa Clara County City Managers Association (SCCCMA), County of Santa Clara, Morgan Hill Unified School District (MHUSD), Santa Clara Valley Transportation Agency (VTA),

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
2 | P a g e
Chamber of Commerce, Gilroy, South County Youth Task Force (SCYTF) (Chair), and South County Regional Wastewater Authority (SCRWA).
• Attended the League of California Cities Mayors and Council Members Academy, City Managers Conference, and Annual Conference and presented “Financial Responsibilities, City Revenues Workshop” and “Workforce Challenges You Can’t Ignore” sessions.
• Attended the California Public Employers Labor Relations Association (CALPELRA) conference and presented “Empowering Growth: Tips and Tools to Support Leadership Development” session. • Attended the Municipal Management Association of Northern California (MMANC) conference and presented “Empowering Local Government: Talent Development for Success” session. • Served on the NextGen of Silicon Valley Committee and California International City/County Management Association (ICMA) to develop the Emerging Leaders Talent Development Program. • Supported the City’s Diversity, Equity, and Inclusion (DEI) Taskforce efforts by offering new staff trainings focused on conflict resolution, team building, and supervisor trainings. • Assisted with the Mayor’s State of the City Address to the Community, highlighting accomplishments, challenges, and opportunities for the coming year.

COMMUNICATIONS AND ENGAGEMENT
• Community Engagement: Strengthened relationships and fostered trust by representing the City at 17 inperson events, including:
 Sidewalk Saturdays, Voices Academy Kermes, Youth Mariachi Concert, Boys and Girls Club, Fiestas Patrias, and Economic Mobility Sessions
• National Night Out 2024: Successfully led the coordination of this citywide event, featuring:
 Over 40 Community booths and 9 City booths
 Attendance of more than 1,500 Community members
• Social Media Growth: Increased the City’s online presence and engagement:
 Facebook: Grew by 6%, reaching 6,964 followers
 Instagram: Grew by 9%, reaching 3,269 followers
• "Meet Morgan Hill Teammates" Video Series: Published 9 videos highlighting City staff, achieving:
 An average of 1,500 views per video
 A strong average engagement rate of 7.84%
• Departmental Support: Collaborated with multiple departments to enhance communications, outreach, and marketing for key initiatives, including:
 Finance: Budget-in-Brief
 Economic Development: Economic Mobility Symposium, Art Conversation, Manufacture Morgan Hill

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
3 | P a g e
 Engineering: Flood Mailer
 City Events: State of the City Address, Pride Flag Raising Ceremony, National Night Out, New Council Inauguration Ceremony, AAUW Candidate Forums
• Translation and Interpretation: Provided essential language support for departments including Housing, Environmental Services, Police, Economic Development, Planning, Human Resources, Recreation, and the City Manager and Clerk’s offices
• Media Services: Delivered high-quality photo and video production to support all City departments, resulting in:
 Over 7,000 captured photos
 More than 20 filmed and edited videos

PUBLIC SERVICES
Environmental Services
• Worked with property owners in FY 2023/24 to convert 92,218 square feet of turf to drought tolerant landscaping in partnership with Valley Water through the Landscape Rebate Program. • Implemented the private sewer lateral (PSL) inspection program which resulted in inspection and/or repairs of 305 laterals, reducing infiltration into the City’s Wastewater System. • Created a new PSL Inspection Reporting Platform in CityWorks which will allow a streamlined inspection process. The new platform will go live in early 2025.
• Completed a competitive Request for Proposals and entered into contract with Aquatrax for use of their Water Use platform. This new tool is innovative, user friendly, and will result in cost savings of approximately $105,000 over a five-year contract compared with current vendor. The new water use platform will go live in early 2025.
• Completed planting of 50 trees in 50 days through a County grant, in partnership with City Geographic Information System (GIS) and Maintenance Divisions.

Engineering
• Provided plan review for 267 private development projects, ensuring public improvements and storm water pollution prevention facilities met all City and State mandated requirements. • Commenced construction of a new water reservoir on East Dunne Avenue that will provide improved resiliency and enhanced fire protection.
• Completed the second Phase of Hale Avenue Extension Project opening a new roadway and multi-use trail between Main Avenue and West Dunne Avenue, improving traffic flow Citywide and reducing traffic on neighborhood streets.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
4 | P a g e
• Completed 2024 Inflow and Infiltration Sewer Project repairing or replacing 3,126 linear feet of sewer line and rehabbing 18 manholes across the City.
• Completed the construction of four new pickleball courts at Community Park, that are now in use by hundreds of residents daily.
• Completed the installation of a paved multi-use trail on the Madrone Channel between Tennant Avenue and Main Avenue improving pedestrian and bicycle connectivity on the east side of the City. • Successfully completed the 2024 Pavement Rehabilitation Project rehabilitating significant roadways across the City, including the overpass on Dunne Avenue which also included the installation of newly improved bike lane striping and accessible curb ramps.
• Continue to support the ongoing construction of Valley Water’s Upper Llagas Creek Flood Protection Project, supporting the completion of Phase 2A and commencing Phase 2B, which will ultimately result in flood protection for thousands of Morgan Hill residents.
• Permitted and oversaw work for 287 encroachment permits within the City, including permits that assisted broadband providers in expanding internet access.
• Overseeing the construction of the City’s newest Fire Station on Butterfield Boulevard.

Maintenance
• Installed new bollards at intersections in Downtown on Monterey Road to provide additional pedestrian safety.
• Installed new access gates at the parking garage to prevent overnight issues at the structure. • Resealed Railroad Park and Magical Bridge playground surfaces to ensure ongoing use of these high use park facilities.
• Repainted the Encompass Bike Sculpture and updated the patina on the Waiting for the Train Sculpture to ensure our public art remains in good condition.
• Partnered with the Rotary Club of Morgan Hill to plant 30 new trees at Community Park. • Assisted with the planting of “50 Trees in 50 Days” adding to the City’s street tree inventory. • Installed new windscreens and LED lights at the tennis courts at Community Park. • Coordinated the installation of a new mural at the new Galvan Park restroom building. • Managed the replacement of the Hiram Morgan Hill Room HVAC unit at the Community and Cultural Center. • Upgraded the Aquatics Center pool lights to LED and installed new windscreens, both of which were over 20 years old.
• Replastered the Aquatics Center recreational pool.
• Resurfaced the Centennial Recreation Center gymnasium floor and other facilities floors to ensure continued safe use of the City’s active recreation facilities.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
5 | P a g e
• Partnered with Silicon Valley Clean Energy to implement an energy saving program during peak electrical use hours.
• City Maintenance staff responded to resident requests for maintenance completing over 2,000 work orders on City roads, parks, trails and buildings.
• City staff abated graffiti at 300 locations across the City, ensuring a safe and clean Community.

Recreation and Community Services
• Centennial Recreation Center (CRC) Memberships: continued to build back to a peak of 4,226 membership units in the summer, 85% of pre-COVID levels. This is an increase of 176 memberships from summer 2023’s peak of 4,050 memberships.
• Provided financial assistance to over 1,500 residents in need for program participation, membership, and recreation programming.
• Implemented new registration software (CivicRec) which included migrating thousands of memberships, activities, and rentals and training all teammates and members/participants on the new system. • Collaborated with the Morgan Hill Outdoor Sports Center (MHOSC) to enhance field sustainability by contributing $129,000 to the facility’s replacement fund. • Partnered with Bay Area Panthers to provide rental space and CRC membership access for the second season in a row.
• Opened four new dedicated pickleball courts in Community Park. • Hosted 12 swim meets at the Aquatics Center (AC), a 50% increase from 2023. • Yearly attendance at the CRC and AC exceeded 372,000 in 2024 - an average of 1,019 visitors a day. • Over 8,000 participants took part in recreation classes and camps throughout our parks and facilities. • Ran two seasons of co-ed Adult Softball, the first time since pre-COVID (2019). • Implemented and operated concessions (snack bar) at the AC during summer season. • Reestablished public art exhibits at the Community and Cultural Center (CCC). • Provided and established a new rental space for South Valley Civic Theatre at the outdoor trailer located at the AC.
• Partnered with the YMCA of Silicon Valley to support the Senior Nutrition program which continued to serve close to 100 meals a day.
• Opened an adaptive play space for children with special needs at the CRC every Saturday morning funded by donations and grants.

Utilities
• The City’s wastewater system successfully conveyed over 1.08 billion gallons of wastewater from homes, businesses and other facilities to the Wastewater Treatment Plant south of Gilroy in the last year.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
6 | P a g e
• Completed agreement to implement the cross-control program via Backflow Solutions, Inc. (BSI). • Completed generator installations at lift stations C, I, Jackson Booster, and El Toro and Dunne-Hill fire stations.
• Installed remote sites security fencing as stipulated in the American Water Infrastructure Act (AWIA). • Completed rehabilitation of Diana wells 3 and 4.
• Responded and effectively used our resources (City staff and subcontractors) to respond timely to 2 major repairs at Atherton Circle and Jackson Oaks Drive.
• Successfully bid for the Encino tank rehabilitation (second attempt) and saved the City approximately $27,000 in the process.
• Completed a gradual implementation of new hydrant meters equipped with remote flow readers and GPS tracking capabilities.
• Successfully completed sewer Spill Emergency Response Plan (SERP) training for all utility crews. • Completed yearly Water Loss Audit.

Geographic Information Systems (GIS)
• The Community Development permit application (formerly TrakIT) has been integrated with GIS so that permit information is now linked to GIS addresses, parcels and streets, and can be queried and displayed on a map in the application.
• The GIS address database has been improved and refined to better support City Public Safety, Planning, Building, and Public Services needs and applications. This includes customizing fields and workflows to support the Community Development (TrakIT) application, adding new addresses prior to construction, and improving database attribute rules for efficiency.

Public Services General
• Supported MoGo, the City’s pilot grant-funded on-demand rideshare service operated in partnership with RideCo. Through December 2024, MoGo provided 37,000+ passenger rides to 1,642 unique users since its September 2022 launch. As of November 2024, MoGo is averaging 80 rides per day, 47% of rides are shared, and the service has an average rating of 4.7 out of 5.
• Hired and onboarded 80 new part-time teammates to operate the AC, CRC, and CCC, perform parks maintenance, and support environmental programs.
• Successfully managed the City’s hazardous vegetation management program via contract with the County of Santa Clara, reducing risks of fires within the City.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
7 | P a g e

DEVELOPMENT SERVICES
Building
• Processed 2,059 Building Permit Applications.
• Issued 1,964 Permits.
• Performed 12,399 inspections.
• Supported the issuance of Certificates of Occupancy for 28 businesses. • Issued 209 new residential permits.
• Coordinated with GIS team for update of the TrakIT permit system. • Coordinated with the Planning Division and the Santa Clara County Planning Collaborative to build an Accessory Dwelling Unit (ADU) plans gallery to conform with new law regarding pre-approved ADU plans.

Code Compliance
• Opened 738 Code Compliance cases.
• Closed 686 Code Compliance cases.

Economic Development
• Provided City Council with an extensive update on the 2017 Economic Blueprint and its continued relevancy. • Supported 28 businesses to receive Certificates of Occupancy (COO) in 2024. • Supported entitlement and permit processing for: Pinnacle, Chick-Fil-A, Grocery Outlet, Sempera Organics, Raising Cane’s, Silo’s Bar, Hotel MOHI, and Daikin.
• Conducted quarterly Human Resources Roundtable meetings with Morgan Hill’s top employers. • Conducted two Downtown Property/Business Owner meetings. • Supported the on-going operation of the Downtown Property and Business Improvement District (PBID) and the retainer of a contracted administrator, annual budget, and completed all necessary filings. • In conjunction with the PBID, further expanded Sidewalk Saturday Program to increase vendor participation and event footprint.
• Led the PBID effort to develop and publish the inaugural Downtown Business Directory marketing brochure. • Supported the inaugural MOHI Food & Wine Festival.
• Updated the Choose Morgan Hill industrial and commercial marketing brochures. • Launched Manufacture Morgan Hill advertising and promotional campaign in conjunction with the Silicon Valley Business Journal.
• Published an article in the Silicon Valley Business Journal, entitled: “Why companies choose Morgan Hill, a global manufacturing hub in Silicon Valley.”

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
8 | P a g e
• Supported Butterfield 5 leasing activity – securing the second tenant: Daikin. • Supported Fee Financing Agreement for Lawson’s Bakery. • Supported the partnership of Appellation Hospitality to Hotel MOHI project through a Sales Tax and Transient Occupancy Tax (TOT) - Sharing Agreement.
• Supported the permitting and construction of two additional parklets (EDES Building & Chocotella Crepes). • Updated Business License Application process to be available in Spanish. • Utilized California Statewide Communities Development Authority (CSCDA) and Statewide Community Infrastructure Program (SCIP) to receive impact fee payments for Rosewood and Huntington residential developments.
• Supported International City/County Management Association (ICMA) Economic Mobility Strategic planning process for deliverables for 2024 and beyond.
• Launched Request for Proposals (RFP) to secure services in 2025 to support small businesses and entrepreneurs, especially those that are Spanish speaking. • Created dedicated Morgan Hill employer landing page on City website and encouraged local employers to post job openings in Spanish.
• Supported Art Symposium to gather Community feedback regarding the potential implementation of an Art Development Fee.

Economic Mobility/Housing/Homelessness
• In coordination with the Planning team, modified the Title 18 zoning code to allow for permitted land uses within the residential detached district for group and transitional housing supporting various actions of the Housing Element.
• In 2024, three new 100% affordable communities opened in Morgan Hill, including Village at Madrone, Royal Oak Village (Farmworker Housing) and Morgan Hill Senior Housing (Age-Restricted Senior Housing), adding over 400 new affordable units to the Community. Additionally, during that same time, the City processed entitlements for 853 units of housing with 278 units identified as affordable. • In partnership with Community Christian Church, manage and operate a 10-bed cold weather shelter program with the most recent winter activation in December 2024. • Collaborated with St. Vincent De Paul to support 40 households with $70,000 worth of rental and utility assistance payments.
• In 2024, the Morgan Hill Bible Church Safe Parking program received 37 referrals and enrolled five new families. The Safe Parking program operates year-round for a total of 8 families (30 people max each night). Families are provided meals, showers, restrooms, washer and dryer, and case management by the South County Compassion Center. The program successfully housed 14 individuals into permanent housing. • Transitioned the grant funded Unhoused Specialist position into a permanent full-time city funded position.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
9 | P a g e
• For fiscal year 2024, the Santa Clara County Office of Supportive Housing has identified 89 households that have been placed in permanent housing. Additionally, 214 VISPDAT assessments were conducted, and 132 unhoused individuals are waiting for placement in permanent housing. • Processed 268 referrals and connected with 247 households at risk of, or currently experiencing homelessness, by providing case management and supportive services through the City’s Unhoused Specialist. Housed 58 households, of which 26 were homeless and 32 households were at risk of becoming homeless.
• Continued to partner with HouseKeys to provide ongoing implementation of the Inclusionary Housing Ordinance Below Market Rate (BMR) Program. 1,153 attendees at BMR workshops (orientations), 825 new potential applicants added to the database.
• In partnership with ICMA, launched the Elevate Morgan Hill framework identifying strategies for Economic Success, Power and Autonomy, and Dignity and Belonging. • Hosted an Economic Mobility Symposium with 140 people in attendance celebrating cultural diversity, launching the Elevate Morgan Hill framework, and fostering new partnerships and engagements for the City. • Mobilized volunteers along with a call for donations of blankets and jackets for the biennial Santa Clara County point in time count.
• Elevated the Housing Director position to Housing and Economic Mobility Director and conducted a nationwide job search for candidates.

Planning
• Completed adoption of the Vehicle-Miles-Traveled (VMT) policy metric for transportation analysis under the California Environmental Quality Act (CEQA) for development projects. • Begun exploring mitigation fee opportunities/methodologies for VMT with the Engineering Team. • In coordination with Engineering, completed adoption of the Transportation Master Plan. • Completed annual Zoning Code Update.
• Coordinated with the Building Division and the Santa Clara County Planning Collaborative to build an ADU plans gallery to conform with new law regarding pre-approved ADU plans. • Continued exemption from SB 423 Streamlined Ministerial Approval Process (formerly SB35) based on the City’s progress on Regional Housing Needs Allocation (RHNA) and Annual Progress Report filing. • Continued to implement permit processing for SB330 including utilizing updated objective criteria. • Created new guidance documents for application processing based on new and updated housing laws. • Continued to create and improve resources for public information regarding development activity in the City. • Continued to monitor state housing legislation and provide informational items to the public and Council on new laws.
• Updated Planning, Building and Engineering development fees supporting cost recovery.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
10 | P a g e
• Developed a Public Art Ordinance requiring developments to integrate art into their projects or pay an in-lieu fee equal to 1% valuation of construction costs or 0.5% for lower-income residential projects.

FIRE
• Welcomed our new Assistant Chief, Carlos Alcantar.
• Responded to 6,679 calls for service.
• Conducted 3,175 fire hazard severity zone inspections. • Received $63,500 from the Santa Clara County EMS Trust Fund for improvements to the EMS system. • Purchased a new 2024 Ford F250 truck to replace our Battalion 57 vehicle. • Reduced the work week to 66 hours, prioritizing the health and welfare of our firefighting teammates. • Deployed mutual aid resources throughout the state and received $38,550 in reimbursements. • Field personnel continued to engage in Community outreach events including Open Streets Morgan Hill, National Night Out, Morgan Hill Holiday Lights Parade, and multiple school tours and educational events. • In coordination with Santa Clara County EMS, implemented a new Nurse Navigator Pilot Program to triage callers to the appropriate level of medical care.

POLICE
Administrative
• Police Chief served as Santa Clara County Police Chiefs’ Association President for Fiscal Year 2023-2024. • Completed the Police Department building expansion project. • Recruited, hired, and trained 10 teammates: 6 Police Officers, 2 Dispatchers, 1 Animal Services Officer, and 1 Records Specialist.
• Applied for and received an Organizational Staffing Study to be conducted by the Commission on Police Officers Standards and Training (POST).
• Participated in the 30X30 Initiative to increase representation of women in policing. • Hosted a Community Police Academy.
• Supported Information Technology Team with citywide security, projects, and leadership. • Participated in National Night Out event.

Patrol Division
• Patrol responded to 22,272 calls for service.
• Maintained response time to Priority One Calls for Service under 5 minutes.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
11 | P a g e
• Officers investigated 2,624 police reports containing 4,217 offenses and 1,043 arrests. • Traffic Team applied for and received State Traffic grants totaling $571,929. • Officers made 225 Driving Under the Influence arrests. • Purchased 7 New Patrol vehicles and 3 Traffic motorcycles with improved safety technology. • Presented Life Saving Award to officers who saved the lives of a family of four trapped in a vehicle submerged in water.
• Partnered with Santa Clara County’s Mobile Crisis Response Team (MCRT) to address people in mental health crisis.
• Engaged in Community Policing to reduce calls for service at:
o a Department of Family Services Scattered Site negatively impacting a neighborhood o an illegal encampment near Candy Park Shopping Center negatively impacting businesses, and o attended Faith-based and several community-based organization events improving public relations. • Created a new position called, “Tactical Medicine Specialist” specializing in pre-hospital life preserving treatment for victims of a Multi-Casualty Incident.
• Deployed the City’s Community Emergency Response Team (CERT) during the 4th of July weekend to high fire locations to monitor and deter the use of illegal fireworks. • Officers completed their mandated POST training, along with Diversity, Equity, Inclusion training specifically, LGBTQ+, Harassment Prevention Training, Autism Awareness, Elder Abuse and Dependent Adult training. • The Department also doubled the POST mandated training in the following categories: Tactical Firearms, Emergency Vehicle Operations, Arrest and Control / Defensive Tactics, and Use of Force. • Officers have been trained in CPR, the administration of NARCAN and Automated External Defibrillators (AED) which are in each patrol vehicle resulting in 7 lives saved. • Hosted a National Faith and Blue blood drive event.
• The Morgan Hill Police Department uses a ratio calculation to determine the effectiveness of traffic enforcement on injury and fatal collisions. An ideal ratio is 20:1. In 2024, our City’s ratio was 21:1. This number shows that officers are directing their attention effectively at traffic collision issues in our City.

Special Operations Division
• Morgan Hill Police Department maintained a high clearance rate (cleared cases):
o 69% for Crimes Against Persons (statewide average 41%) o 21% for Crimes Against Property (statewide average 7%) • Worked collaboratively with Economic Development and the City Attorney's Office to update our Massage Ordinance to better combat Human Trafficking.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
12 | P a g e
• Detectives started the year with closing a 2023 case with the arrest of an arsonist, three arsons (Safeway, Chevron, and the Crossings) – suspect served 300+ days in custody and sentenced to three years formal probation.
• Detective investigated a series of robberies and coordinated the successful apprehension of the suspect responsible for seven robberies in Gilroy, San Jose, Watsonville and Morgan Hill. • Detectives arrested two suspects wanted for counterfeiting $100 bills. Search warrants on three associated hotel rooms seizing 10 laptops; two printers, and multiple counterfeit bills. Detectives identified the ringleader in Sacramento and partnered with the United States Secret Service to assist with the investigation. • Detectives investigated a shooting at the Hill Bar and Grill. The investigation resulted in the Hill’s Alcohol Beverage Control license being suspended and suspects being arrested in San Bruno and Sunnyvale for firearms violations.
• Detectives investigated an armed carjacking on Park Way. All three suspects were identified and arrested. • Provided community trainings related to fraud protection and cyber-crimes awareness with a focus on our vulnerable population.
• Community Service Officer (CSO) continued to manage the Department’s Youth Diversion Program. In 2024, 23 youth individuals were diverted from the Criminal Justice System to the Youth Diversion Program (15 completed their contracts, 3 are currently working on the terms of their diversion contracts, 5 are awaiting acceptance into the program, and zero have failed the program). • Our School Resource Officer worked with Morgan Hill Unified School District on providing Restorative Justice Practices for our students and conducted Run, Hide, Defend trainings to students, faculty, and businesses. • Participated in the Regional Auto Theft Task Force (RATTF). • Updated and Enhanced the City’s Administrative Policy: Public Safety Services at Special Events.

Support Services Division
• Answered 98.17% of 911 calls under 10 seconds. Managed 33,578 incidents (calls for service and officerinitiated activity). These incidents included 282 priority one (a present or imminent danger to life or major damage to/loss of property) and 91 felony car stops.
• Between Facebook and Instagram, the Police Department has over 25,000 followers (which is larger than Santa Clara, Sunnyvale, Milpitas, Los Gatos, Los Altos, and Palo Alto). • Actively used social media platforms to inform and educate the Community about police activity and public safety announcements.
• Property and Evidence Technician received 87 firearms as evidence or safekeeping. • Records submitted 1,015 cases to the Santa Clara County District Attorney’s Office for prosecution, processed 633 warrants, and completed 120 offender registrations.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
13 | P a g e
Office of Emergency Services
• Gained approval for the Emergency Management Performance Grant to purchase Emergency Operations Center (EOC) equipment to enhance emergency readiness.
• Conducted functional EOC exercise implementing virtual and online capabilities and strengthening readiness. • Achieved certification as an Emergency Management Specialist through Cal OES. • Coordinated Community Emergency Response Team (CERT) training. • Coordinated Listos Emergency Preparedness training program. • Updated the City’s Local Hazard Mitigation Plan.

Information Technology (IT)
IT Security
• Procured new network switches.
• Conducted Cybersecurity training for technicians.
• Deployed Security Event Incident Monitoring (SEIM) System. • Enabled Multi-Factor Authentication (MFA) by default. • Completed PenTest and Phishing Assessment.
• Deployed Domain Name System (DNS) filtering/monitoring. • Deployed threat notifications.
• Deployed new intercom system at the Police Department.

IT Projects
• Deployed Mobile Device Management (MDM).
• Deployed backup Virtual Private Network (VPN) connection. • Consolidated secure domain certificates.
• Assisted in migration from RecPro to CivicRec.
• Completed procurement of new backup and recovery storage solution. • Deployed new wireless access points in Aquatics Center. • Added network capabilities for Aquatics Center Welcome desk expansion. • Upgraded Council Chamber West Conference room to provide hybrid meeting space. • Completed CAL FIRE Automatic Vehicle Location (AVL) support: new managed Apple IDs for iPads. • Deployed custom app, Radio Mobile, using mobile device management (MDM) platform. • Assisted with the implementation of phase 2 of the Enterprise Resource Planning (ERP) software.

ACCOMPLISHMENTS
JANUARY – DECEMBER 2024
14 | P a g e
• Deployed building control/management networks.
• Refreshed the entire command vehicle infrastructure.
• Upgraded Police Department internet speed.
• Completed audit of cell phones.
• Added Police Department to City fiber redundancy.
• Procured and deployed ID printers for access control system. • Deployed new rugged Mobile Data Terminal (MDT).
• Completed migration to a single domain and decommissioned morgan-hill.ca.gov. • Completed Granite Telecommunications Project – consolidation of Frontier and Verizon. • Partnered on City Hall front lobby remodel.

IT Helpdesk
• Resolved 665 help desk tickets.
• Issued 31 new laptops.
• Deployed 15 new desktops.
• Upgraded 5 new Mobile Device Technology (MDT’s) in Police vehicles. • Completely repaired and reset 27 workstations.
• Reassigned 17 laptops.

IT Leadership
• Presented on Cybersecurity Framework at the Municipal Information Systems Association of California (MISAC) conference.
• Joined the MISAC Cybersecurity Committee.
• Partnered with GIS to implement best practices for modernizing and integrating with other applications. • Partnered with the Police Department to implement new cloud-based software. • Performed a citywide telecommunications analysis.

CITY OF MORGAN HILL

CITY COUNCIL POLICIES AND PROCEDURES
CP-97-01
SUBJECT: RULES FOR THE CONDUCT OF CITY COUNCIL

MEETINGS, PLACEMENT OF ITEMS ON THE AGENDA,

AND MATTERS TO BE RECONSIDERED
EFFECTIVE DATE: May 7, 1997
REVISED DATE: March 15, 2023, August 23, 2023, June 19, 2024 ORIGINATING DEPARTMENT: CITY MANAGER
SECTION 1 - SCOPE

1.1 These rules shall establish the procedures for the conduct of all meetings of the City Council of the City of Morgan Hill. The purpose of these rules is to provide procedures consistent with the Ralph M. Brown Act, establish procedures which will be convenient for the public, be fair to all members of the City Council, and contribute to the orderly conduct of City business.

SECTION 2 - MEETINGS

2.1 Open to Public: All meetings of the City Council, whether regular or special, shall be open to the public, unless a closed session is scheduled as authorized by law.

2.2 Regular Meetings: The City Council shall conduct its regular meetings at the time and place established by ordinance, if specified in the ordinance or resolution.

2.3 Review Status of Agenda at 9:00 p.m.: The City Council may review the agenda at 9:00 p.m. to determine if it will be able to conclude its business by 10:00 p.m. If, at 10:00 p.m., the City Council has not concluded its business, before continuing the meeting it shall review and discussthe status of the remaining agenda items and determine by majority vote whether to continue any remaining items to a future regular or special meeting, adjourn the meeting to another date and time, or extend the meeting beyond 10:00 p.m. as needed. The meeting may be extended beyond 10:00 p.m. one time. Additional extensions of time will be at the Mayor’s discretion.

2.4 Special Meetings/Workshops: A special meeting and/or workshop may be called at any time by the Mayor or Presiding Officer of the City Council or by three members of the City Council. Written notice of any such meeting must specify the purpose of the meeting.

Notice of the meeting must be made in accordance with the law.

2.5 Closed Sessions: The City Council may hold closed sessions during a regular or special meeting, or at any time authorized by law, to consider or hear any matter which is authorized by law. At times, Closed Sessions may have to be held in an order different than presented due to the timeliness of the matter, to save the City money when an outside attorney has been retained or due to the need for extra time to discuss and deliberate an DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

City Council Policy 97-01
Rules for the Conduct of City Council Meetings

important closed session item. Closed session items may be continued to the conclusion of the agenda.

2.6 Quorum: Three (3) members of the City Council shall constitute a quorum and shall be sufficient to transact business. If less than three Council members appear at a regular meeting, the Mayor, Mayor Pro Tempore in the absence of the Mayor, any member of the City Council, or in the absence of all Council members, the City Clerk or Deputy City Clerk shall adjourn the meeting to a stated day and hour.

2.7 Adjourned Meetings: The City Council may adjourn any regular, adjourned regular,special, or adjourned special meeting to a time and place specified in the order of adjournment and permitted by law.

SECTION 3 - POSTING NOTICE AND AGENDA

3.1 Posting of Notice and Agenda: For every regular or special meeting, the City Clerk or other authorized person, shall post a notice of the meeting specifying the time and place at which the meeting will be held and an agenda containing a brief description of all items of businessto be discussed at the meeting. The notice and agenda may be combined in a single document.
a. Posting for Regular Meetings: For any regular meeting of the City Council, the notice and agenda shall be posted no later than seventy-two (72) hours prior to the time set for the meeting consistent with all Brown Act requirements. b. Posting for Special Meetings: For any special meetings of the City Council, the notice and agenda shall be posted no later than twenty-four (24) hours prior to the time set for the meeting consistent with all Brown Act requirements.

3.2 Location of Posting: The notice and agenda shall be posted on the City’s website and in a place to which the public has unrestricted access during at least normal business hours and where the notice and agenda are not likely to be removed or obscured by other posted materials.

3.3 Availability of the Agenda to the Public: The agenda for any regular or special meeting shall be made available to the public as soon as is practical after delivery to the members of the City Council.

SECTION 4 - AGENDA CONTENTS

4.1 Description of Matters: All items of business to be discussed at a meeting of the City Council shall be briefly described on the agenda. The description of the item and the proposed action to be considered should be set forth as clearly as practical so that members of the public will know the nature of the action under review and consideration.

4.2 Placement of items on the agenda: The Mayor, City Manager, or City Attorney may place items on the agenda. Members of the City Council may request items to be added to an upcoming City Council agenda by requesting an item during the "Future Council Initiated Agenda Items" Section of the agenda. When a Future Council Initiated Agenda Item is requested, the Council Member making the request will send the City Manager a brief DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

City Council Policy 97-01
Rules for the Conduct of City Council Meetings

summary outlining the request and any relevant background. If the requested item is not included in the current Strategic Priorities Workplan, the team will bring forward the item at a future Council Meeting within 30-45 days of the request via a brief staff report, including the brief summary provided by the requesting Council Member. At that meeting, the City Council will review the request and determine if the majority of the City Council wants the items agendized at a future meeting for discussion.

4.3 Council shall not act or take a position on: Matters outside of the Morgan Hill City Council's subject matter jurisdiction, including foreign or international events. Appropriate subject matter jurisdiction includes agenda items directly related to Morgan Hill business, as well as County/regional items having a direct impact on the City (i.e. countywide emergency services or transportation).

4.4 Limitation to Act on Only Items on the Agenda: No action shall be taken by the City Council on any item not on the posted agenda, subject only to the exceptions listed below:
a. Upon a majority determination that an "emergency situation" (as defined by State Law) exists; and
b. Upon a determination by a 4/5 vote of the City Council that there is a need to take immediate action and that the need to take the action came to the attention of City officials subsequent to posting of the agenda.

4.5 Change in Order of Business: The Mayor or Presiding Officer may decide to take matters listed on the agenda out of the prescribed order unless a majority of members present object to this variation.

4.6 City Council Reports: On an alternating basis, at each Regular City Council meeting, with a time limit of three minutes, a Council Member has the opportunity to share with the Council and community any pertinent updates or information in regard to their appointments to outside agencies, upcoming events, or relevant City business. These are non-action items.

4.7 City Manager Report: These are updates on current City activities, reports on issues raised at previous Council meetings, or recognitions. These are non-action items.

4.8 City Attorney Report: These are updates on current City activities, reports on issues raised at previous Council meetings, or reportable actions of the City Council in Closed Sessions and/or current litigation. These are non-action items.

4.9 Other Reports: These are pertinent updates or information on upcoming activities or events relevant to City business with a time limit of one minute. These are non-action items.

4.10 Public Comment for items not on the agenda: This refers to those matters not scheduled on the agenda where a member of the public wants to address a matter of importance to the City Council. Since the matter is not on the agenda, no action by Council can be taken. If a member of Council so desires, the matter can be placed on the agenda of a future Council meeting for review and consideration.

4.11 Consent Calendar: These are items of a routine or generally uncontested nature. Any member of the Council or member of the public may request to have an item pulled from the DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

City Council Policy 97-01
Rules for the Conduct of City Council Meetings

consent calendar and acted on individually by the Council. Items pulled will be discussed after action is taken on the balance of the consent calendar. The Mayor shall decide if the items are heard before or after moving on to public hearing and other business items.

4.12 Public Hearings: These are matters that are duly noticed and published in a newspaper of general circulation and where required by law, written notice is given to the affected residents who have the opportunity to speak in favor or against a matter or ask questions about the matter.

4.13 Other Business: These are other matters of City business which are not appropriately placed on the consent calendar and do not require published notices and require Council action and direction.

4.14 Future Business: These are items that members of the City Council wish to discuss to potentially take action on or have placed on future agendas.

SECTION 5. ORDER OF BUSINESS

5.1 The order of business at meetings of the City Council shall be as follows:
a. CALL TO ORDER
b. ROLL CALL ATTENDANCE
c. DECLARATION OF POSTING AGENDA
d. WORKSHOP (if needed; 5:00-6:00 p.m., or as deemed appropriate) e. CLOSED SESSION (if needed; 5:00-6:00 p.m., or as deemed appropriate) f. SILENT INVOCATION
g. PLEDGE OF ALLEGIANCE
h. PRESENTATIONS
i. PROCLAMATIONS
j. RECOGNITIONS
k. CITY COUNCIL REPORTS
l. CITY MANAGER’S REPORT
m. CITY ATTORNEY’S REPORT
n. OTHER REPORTS
o. PUBLIC COMMENT FOR ITEMS NOT ON THE AGENDA
p. ADOPTION OF AGENDA
q. CONSENT CALENDAR
DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

City Council Policy 97-01
Rules for the Conduct of City Council Meetings

r. PUBLIC HEARINGS
s. OTHER BUSINESS
t. FUTURE COUNCIL INITIATED AGENDA ITEMS
u. CLOSED SESSION
v. ADJOURNMENT
SECTION 6. PUBLIC COMMENT

6.1 Public Comment: Persons present at meetings of the City Council may comment on individual items on the agenda at the time the items are scheduled to be heard. In addition, comments may be offered on items not on the agenda under that portion of the agenda. In accordance with State law, matters not scheduled on the agenda cannot be acted upon by the City Council, but items raised by the public during public comment may be referred to a future City Council agenda at the request of the Mayor or City Council.

6.2 Limitations: The public comment period may be 3 minutes for items on the agenda or items not listed on the agenda. Speakers are called in the order the speaker cards are submitted.

Project applicants or appellants will be allowed more than the designated 3 minutes in accordance with City Council Policy 03-01. Consistent with this policy, the Mayor or Presiding Officer may recall an applicant or appellant to address questions after the public comment is heard. In addition, applicants will be given time at the end of the public hearing to address any questions or comments.

The Mayor or Presiding Officer may allow speakers who wish to speak under public comment for items not on the agenda to concede a portion of their time, specifically, one speaker may concede a portion of their time to one other speaker. For all other business items, the Mayor or Presiding Officer may allow speakers more time and/or allow speakers to concede a portion of their time to a designated speaker of a group, specifically up to two speakers may concede their time to one speaker, unless a majority of the City Council objects. Speakers that wish to designate a group speaker shall notify the City Clerk before discussion on the item begins. Additionally, any speaker that concedes their time must be present at that City Council meeting. Speaker who would like to share documents or presentations may do so by submitting said document to the City Clerk by noon on the day of the City Council Meeting. Speaker may not share videos or presentations with videos embedded within them.

6.3 Procedure: To address the City Council, each speaker is requested to fill out a Speaker Card and turn it in to the City Clerk before discussion on the agenda item begins. The speaker is requested to provide their name, contact information, and the subject(s) upon which the speaker wishes to address the City Council. Speakers who do not wish to provide their name should provide an alternative designation so that they can be called to speak by the City Clerk.

Public comment may be provided in writing for items on the agenda, as well as for items not on the agenda. Public comment in writing may be submitted via email to [email protected] or by mail to the City Clerk at 17575 Peak Avenue, DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

City Council Policy 97-01
Rules for the Conduct of City Council Meetings

Morgan Hill, CA 95037. Please email your comments to the City Clerk no later than 3:00 p.m. on Tuesday (the day before the City Council meeting) for your comments to be submitted to the members of the City Council with sufficient time to review the comments.

You may continue to provide written comments up to noon on Wednesday (the day of the meeting although Council Members may not have sufficient time to review them. Public comments submitted to the City Clerk after noon the day of the meeting will be provided to the City Council as time allows.

Written comments WILL NOT be read aloud during the City Council Meeting. Please note that written comments are posted on the City’s website, so do not include any personal information you do not want to be posted on the web.

SECTION 7. PROCEDURES FOR THE CONDUCT OF MEETINGS

7.1 Role of the Mayor/Presiding Officer:
a. The Presiding Officer of the City Council, who shall be the Mayor or in the Mayor's absence shall be the Mayor Pro Tempore, or in their absence any other designated member of the City Council, shall be responsible for maintaining the order and decorum of meetings. It shall be the duty and responsibility of the Presiding Officer to ensure that the rules of operation and decorum contained herein are observed. The Presiding Officer shall maintain control of communication between Council Members and between the Council, staff, and public.
b. Communication with Council Members:

1. Council Members should request the floor from the Presiding Officer before speaking.

2. When one member of the Council has the floor and is speaking, other Council Members shall not interrupt or otherwise disturb the speaker.

3. During both questions, when one Council Member has the floor, they are limited to 5 minutes. During discussion, the Mayor and Council Members as a whole are limited to 15 minutes. The time limit may be extended at the Mayor’s discretion.

4. With the concurrence of the Mayor, a Council Member holding the floor may address a question to another Council Member. The Council Member being questioned may or may not respond while the floor is still held by the Council Member asking the question. The reply shall be limited to the question asked. c. The Mayor or Presiding Officer may declare that an item within the meeting will be conducted in “workshop” format, which means that the procedures described in section 7.1B do not strictly apply. This is to allow for a more open discussion without strict formalities. The Mayor or Presiding Officer may end the workshop format for the item at his/her discretion.
d. Communication with Members of the Public Addressing the Council DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

City Council Policy 97-01
Rules for the Conduct of City Council Meetings

1. The Mayor or Presiding Officer shall open the floor for public testimony as appropriate.

2. After a witness or subject matter expert has addressed the City Council during public comment, Council members may only ask questions of witnesses or subject matter experts. Such questions should be directed to the person through the Presiding Officer unless the Presiding Officer grants the Council Member permission to directly question the person.

3. Staff members, through the City Manager, shall be a resource to the City Council to answer questions arising during discussions between Council Members and between Council Members and members of the public.

Communications in this regard shall be through the Presiding Officer.

4. Members of the public shall direct their questions and comments through the Presiding Officer.

7.2 Rules of Order: The City Council adopts no specific rules of order except those listed herein. The City Council shall refer to Rosenberg’s Rules of Order (available at https://www.cacities.org/UploadedFiles/LeagueInternet/77/77d4ee2b-c0bc-4ec2-881b42ccdbbe73c9.pdf) as a guide for the conduct of meetings. The guideline regarding not requiring seconds for governmental bodies' motions, resolutions or ordinances is not adopted as the rule in the City. The Mayor or Presiding Officer has the discretion to impose reasonable rules at any particular meeting based upon facts and circumstances found at any particular meeting. These latter rules will be followed unless objected to by a majority of the City Council members present.

7.3 Motions: The Mayor or any member of the City Council may bring a matter of business on the agenda before the Council by making a motion. Before the matter can be considered or debated it must be seconded. Once the motion has been properly made and seconded, the Presiding Officer shall open the matter for full debate offering the first opportunity to debate to the moving party and, thereafter, to any Council Member recognized by the Mayor or Presiding Officer. Debate shall be closed upon consent of a majority of the Council.

7.4 Reconsideration: Immediately after a vote on a matter, any member of the City Council may request to have his/her vote changed on a matter before the Council moves on to the next item. Such a request will be granted by the Mayor or Presiding Officer unless a majority of the Council objects.

A matter may be reconsidered by the City Council if a member on the prevailing side of the vote requests reconsideration. Such a motion may be made at a meeting where such action is taken or at a subsequent meeting of the Council, however, nothing in this policy precludes the majority of members of the City Council from requesting reconsideration of any item.

7.5 Debate:
a. The discussions and deliberations at meetings of the City Council are to secure the informed judgement of Council members on proposals submitted for decision. This DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

City Council Policy 97-01
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purpose is best served by the exchange of thought through discussion and debate.

Debate is regulated by these rules in order to assure every member a reasonable and equal opportunity to be heard.
b. Obtaining the Floor for Debate:

As soon as a debatable motion has been stated to the Council by the Mayor or Presiding Officer, any member of the Council has a right to discuss it after obtaining the floor. The member obtains the floor by seeking recognition from the Mayor or Presiding Officer. A member who has been recognized is entitled to be heard so long as he/she observes the rules of debate.
c. Speaking More Than Once:

To encourage the full participation of all members of the Council, no member or members shall be permitted to monopolize the discussion of the question. If a Council member has already spoken and other members wish to speak, the latter members should be recognized in preference to the member who has already spoken.

However, if no other members seek recognition, the Mayor or Presiding Officer may recognize the member who has already spoken.
d. Relevancy of Debate:

All discussion must be relevant to the motion before the City Council. A member is given the floor only for the purpose of discussing the pending question; discussion which departs is out of order. The Mayor or Presiding Officer should then direct the speaker to limit discussion to the question before the City Council.

A motion-its nature or consequences-may be attacked vigorously. But it is never permissible to attack the motives, character, or personality of a member either directly or by innuendo or implication. It is the duty of the Mayor or Presiding Officer instantly to stop any member who engages in personal attacks. It is the motion, not its proposer, that is the subject of debate. Meetings must discuss measures and ideas, not people.

Arguments, for or against a measure, should be stated as concisely as possible.

Debate must be fundamentally impersonal. All discussion is addressed to the Mayor or Presiding Officer and must never be directed to any individual. e. Mayor’s Duties During Debate:

The Mayor or Presiding Officer has the responsibility of controlling and expediting debate. A Council member who has been recognized to speak on a question has a right to the undivided attention of the Council.

It is the duty of the Mayor or Presiding Officer to keep the subject clearly before the members, to rule out irrelevant discussion, and to restate the question whenever necessary.

DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

City Council Policy 97-01
Rules for the Conduct of City Council Meetings

SECTION 8. DECORUM

8.1 Council Members: Members of the City Council value and recognize the importance of the trust invested to them by the public to accomplish the business of the City. Council Members shall accord the utmost courtesy to each other, to City employees, and to the public appearing before the City Council.

8.2 City Employees: Members of City staff shall observe the same rules of order and decorum applicable to the City Council. City staff shall act at all times in a business and professional manner towards Council Members and members of the public.

8.3 Public: Members of the public attending City Council meetings shall observe the same rules of order and decorum applicable to the City Council.

8.4 Noise in the Chamber: Noise emanating from the audience within the Council Chamber or lobby area, which disrupts City Council meetings, shall not be permitted.

8.5 Sergeant-at-Arms: The Chief of Police, or his/her designated representative shall be exofficio Sergeant-at-Arms of the City Council.

SECTION 9. VIOLATIONS OF PROCEDURES

9.1 Nothing in these policies and procedures shall invalidate a properly noticed and acted upon action of the City Council in accordance with State Law.

This policy shall remain in effect until modified by the City Council.

APPROVED:
_______________________________

MARK TURNER, MAYOR
DocuSign Envelope ID: 634E0FF1-7DF5-41DE-BEA4-907F0EE4B725

Safety
City Council Ongoing Priorities
Enhancing Public Safety and Quality of Life
Protecting the Environment and Preserving Open
Space and Agricultural Land
Maintaining and Enhancing Infrastructure
Supporting our Youth, Seniors, and Entire Community
Fostering a Positive Organizational Culture
Preserving and Cultivating Public Trust
Preserving our Community History
Enhancing Diversity and Inclusiveness
Advocating for Local, Regional, and State Legislative
Initiatives
Vision
To sustain a safe, inclusive, socially
responsible, environmentally conscious,
and economically sound community.

Strategic Priorities 2024-2025
Fiscal Sustainability
Affordable Housing and Homelessness
Community Engagement
Economic Development and Tourism
Transportation
Healthy Community
Choose Morgan Hill
The City of Morgan Hill is the best
community for people to live, work, visit, and
operate their businesses.

SUSTAINABLE

MORGAN HILL

Production of New Affordable Housing Units: Morgan
Hill will continue to improve, preserve, and develop new safe, quality, rental and ownership housing for residents at all income levels through the implementation of its
Inclusionary Housing Ordinance. The City will seek
partnerships that create new housing opportunities
directly aligned with the City’s “fair share” Regional
Housing Needs Allocation (RHNA).

Preservation of Existing Affordable Housing
Inventory: The City has a robust inventory of Below
Market Rate housing units. Through the City’s thoughtful planning, affordable housing has been integrated
throughout the Community and balanced throughout
new developments. The City’s Inclusionary Housing
Ordinance further ensures future production of incomerestricted units. The City will coordinate the lease up process of upcoming affordable developments to ensure
residents are aware of and accessing upcoming housing
opportunities.

Affordable Housing and Homelessness
Morgan Hill will continue to improve, preserve, and develop new safe, quality, rental, and ownership housing for residents at all income levels. To the extent possible, the City will respond to and reconcile new housing initiatives and legislative mandates.

The City is guided by the vision of its General Plan, a long-term plan for the physical development of the Community. The vision includes the preservation of agriculture, incentives to foster infill development, and new housing for families of various sizes, ages, and incomes. Like many other cities in the Bay Area, Morgan Hill is experiencing transformative growth and working to meet the housing needs of its current and future residents. The City’s Housing Program is grounded in five key pillars:

Promotion of Housing Program: The City manages an
inventory of Below Market Rate deed-restricted units and collaborates with the County of Santa Clara and local nonprofits to connect residents to resources. Staff will focus on communications, engagement, and education of housing
services with particular attention to the Spanish-speaking residents.

Prevention of Homelessness: Implement the Countywide
Community Plan to End Homelessness by continuing to
identify barriers and housing problem solving at the local level with the assistance of the Unhoused Specialist, and advance efforts to increase coordination in South County among its service providers. The City will continue to employ a balanced approach, offering resources and referrals to services, partnering with the faith-based community and non-profits to create appropriate local service points, while also utilizing available resources to reduce encampments.

Protection of Quality of Life for New and Existing
Neighborhoods: The City will continue to seek quality
development and balance the needs of existing and new
neighborhoods.

Fiscal Sustainability
The City will continue to be financial stewards of its
resources and assets to ensure long-term fiscal
sustainability. Through the budget development
process, the City, within the fiscal sustainability path, will prudently carry out the City Council’s priorities, while maintaining adequate fund balance reserves.

The City will continue to explore new or expand
existing revenue sources to ensure fiscal sustainability.

STRATEGIC PRIORITIES 2024-2025
SUSTAINABLE MORGAN HILL morganhill.ca.gov

Economic Development and Tourism
The City’s Economic Development efforts focus on implementing the Economic Blueprint strategies and actions to help build long-term fiscal sustainability and improve quality of life for residents. This will be achieved by attracting jobs and commercial investment which generate revenues to support essential City services and improve critical City infrastructure. The Economic Blueprint is focused on advancing economic prosperity and vitality by attracting investment, development, and jobs in four key industries:

Community Engagement
The City’s Communications, Outreach, and Engagement Plan defines the communication, priorities, strategies, and tools the City will use when communicating with the Community. Through the Plan, the City will share the Morgan Hill story and work to build trust with the Community and ensure that we provide effective engagement opportunities. Through effective application of communication strategies, the Plan will ensure that all City Council Members, Commissioners, and teammates have the tools to provide accurate, timely, and relevant information to the Community. The Plan aligns communication resources with the goals to set clear communications expectations for the Community, ensuring that the City can continue providing excellent services that reflect the strength of the City’s outreach initiatives while supporting the implementation of the City Council’s strategic priorities.

Encourage Community engagement through audienceappropriate two-way communication, and ensure opportunities for constructive feedback.

Share accurate, non-biased information promptly
through a variety of communication channels.

Maximize opportunities to engage with the Spanishspeaking community by sharing information and resources in Spanish and holding workshops, town halls, and other meetings in Spanish.

Build trust in local government by creating a sense of
belonging and value with all members of the Community,
especially those that are traditionally marginalized.

Work directly with the Council, staff, and Community partners to ensure communication and outreach efforts, objectives, and outcomes align with the strategic priorities and promote Community understanding.

Keep City teammates informed and involved in public
dialogue to aid in telling the Morgan Hill story.

Healthcare: Grow and foster medical and diagnostic
services by advancing and supporting the entitlement
process for new medical facilities. Promote and market
Morgan Hill as a desired location for medical and diagnostic providers.

Innovation and Advanced Manufacturing: Grow existing
companies, attract new industry, and grow high-quality
jobs. Support and advance the entitlement and permit
process of new developments. Promote and market
Morgan Hill as a premier location for commercial and
industrial investment.

Retail: Grow retail offerings and strengthen commercial nodes. Utilize incentives and available tools to attract new investments that increase both jobs and revenue to the
Community.

Tourism: Grow leisure, agriculture, wine country, and sports and recreational tourism. Continue to nurture Downtown’s
transformation as a Community gathering place. Support the Downtown Property Based Improvement District and manage parking supply. Support and incentivize additional lodging investments, implement activations with partner organizations, and partner with Visit Morgan Hill to support increased tourism and vibrancy.

SUSTAINABLE MORGAN HILL morganhill.ca.gov
STRATEGIC PRIORITIES 2024-2025

Transportation
Complete the development of a comprehensive
Transportation Master Plan.

Complete construction of Hale Avenue Extension.

Advocate for grade separations and the design of a
Downtown station and emergency response design
solutions as it relates to the High-Speed Rail Authority’s (HSRA) project.

Advocate for the ongoing provision of funding of
innovative local transit services that matches the needs of the Morgan Hill Community and supports paratransit
needs.

The City has clearly identified traffic and transportation issues facing Morgan Hill as regional in nature. Morgan Hill will continue to partner with the City of Gilroy to advocate for improvements and funding for the South Santa Clara County Transportation Corridor. The City will actively advocate on regional
transportation planning issues. Locally, the City will prioritize funding for Vision Zero safety strategies over congestion management. The City will take actions to implement its goal to create a culture that prioritizes safety, creates livable streets, and seeks to eliminate traffic fatalities. Safety of pedestrians, bicyclists, drivers, and passengers is paramount.

Creating, improving, and preserving a wide range of
quality housing at all income levels.

Planning policies that promote a well-planned City that ensures adequate services (roads, streets, water, sewer, police, fire, etc.) while providing plentiful amenities including restaurants, retail stores, and access to
healthcare resources.

Healthy Community
The City’s 2035 General Plan’s Healthy Community Element addresses elements of the built environment, programs, and partnerships that contribute to the overall health and well-being of Morgan Hill’s residents. Morgan Hill promotes a healthy community through City policies, projects, and programs. The foundation of a healthy community is to help ensure basic needs (food, water, shelter, income, safety, and employment) are met for all people. With that foundation in place, a person’s health is next a product of their environment. A healthy community is one in which all residents have access to housing, employment, transportation, healthcare services and amenities, such as parks, open spaces, and recreational facilities, that combine to provide a safe and welcoming environment in which people can lead healthy and fulfilling lives. To achieve this vision, the City of Morgan Hill is committed to:

Building better and safer streets that prioritize safety, and livability, working to eliminate traffic fatalities as identified in Vision Zero Morgan Hill.

Promoting a healthy environment as identified in the City’s Climate Action Plan by advocating for adoption of electric vehicles in the Community and decarbonizing existing
buildings by reducing the use of fossil fuels.

Advocacy will include:

Working with the Valley Transportation Authority (VTA), Caltrain, the County, the HSRA and the State to enhance service, secure funding for transportation projects and road maintenance, and protect the Community from
negative impacts of regional projects
Expansion of Highway 101 between Morgan Hill and Gilroy to reduce pass-through traffic and improve commute
traffic for South County residents
Electrification of commuter rail from San Francisco to
Gilroy
Funding for priority projects in the South County
SUSTAINABLE MORGAN HILL morganhill.ca.gov
STRATEGIC PRIORITIES 2024-2025

Promoting active lifestyles through its efforts to invest in sports and Community facilities, youth sports and adult recreation programs, parks, and walking and biking trails.

Providing fresh and healthy food options at City facilities and encouraging local farmers' markets and community
gardens in an effort to improve availability of nutritious food.

Healthy Community
Providing services to the unhoused community by building relationships and trust with a trauma-informed approach.

Connecting people to resources to support mental health, combat the opioid crisis, and treating those struggling with substance abuse and mental health issues with dignity and care.
continued
By implementing these strategies and prioritizing the health and well-being of our residents, Morgan Hill will create a vibrant and thriving community where everyone can lead healthy, active, and fulfilling lives. The City of Morgan Hill seeks to create a welcoming, inclusive, and safe Community for everyone by fostering social connections and a sense of belonging for all.

SUSTAINABLE MORGAN HILL morganhill.ca.gov
STRATEGIC PRIORITIES 2024-2025

FINANCE DEPARTMENT

CITY OF MORGAN HILL
December 31, 2024 - 50% of Year Complete
Prepared by:

Monthly Financial and Investment Reports

CITY OF MORGAN HILL, CALIFORNIA
FINANCIAL STATEMENT ANALYSIS - FISCAL YEAR 2024-25
FOR THE MONTH ENDED DECEMBER 2024 – 50% OF YEAR COMPLETE  General Fund – Revenues through December totaled $17.7 million, or about 31% of the budgeted amount as some of the major revenue categories such as property tax are received later in the fiscal year. With respect to the property tax revenue forecast, the County estimates the City will receive approximately $19.9 million in property tax revenue for the current fiscal year, slightly more than the budget of $19.4 million. However, adjusting for the excess ERAF set aside of 20% or $0.5 million, the revised property tax revenue matches the budget. As for sales tax, HdL, the City's sales tax consultant, further revised downward the City's current fiscal year sales tax revenue estimate (before tax rebates) to $11.9 million. This represents a reduction of approximately $1.0 million from the current year's budget, partially attributable to lower tax receipts from vehicle sales and one-time adjustments in the prior year’s receipts.

The chart below shows historical General Fund revenues by major revenue category from FY20-21 through FY23-24 Actual, FY24-25 Budget, and YTD as of December 31, 2024.

General Fund expenditures and encumbrances through December totaled $32.0 million, of which approximately $3.6 million is attributable to outstanding encumbrances, compared to prior year expenditures, including encumbrances, of $30.7 million. This represents an increase of $1.3 million, including encumbrances, compared to the prior year. Excluding the encumbrances, expenditures increased by about $0.8 million mainly due to overall cost increases.  Community Services – The Community Services Department’s recreation operations, as reflected in the schedule presented on page 7 of the Monthly Financial and Investments Reports, shows a negative impact to the General Fund of approximately $1.6 million as of December 31, 2024. Recreation Services revenues continue to recover from the pandemic and are on target with budget. $16.0 $16.7 $18.1 $19.1 $19.4
$11.0 $12.9 $12.7 $12.2 $12.8
$4.4
$5.9 $5.7 $6.0 $5.9 $5.6
$6.9 $8.1 $9.2 $10.3 $9.8
$9.7 $7.8
$9.4 $8.1 $46.8
$52.1 $52.4
$56.0 $56.5
$17.7
0 10
20 30
40 50
60 FY20-21 FY21-22 FY22-23 FY23-24 Budget
FY24-25
YTD
FY24-25
Millions ($)
Historical GF Revenues
Property Tax Sales Tax Franchise and Hotel Taxes Service Charges Other

CITY OF MORGAN HILL, CALIFORNIA
FINANCIAL STATEMENT ANALYSIS - FISCAL YEAR 2024-25
FOR THE MONTH ENDED DECEMBER 2024 – 50% OF YEAR COMPLETE The chart below shows the historical net impact of Recreation Operations to the general fund.

Due to longstanding governmental accounting and budgeting convention, the City’s recreation operations are not charged for indirect costs (known in Morgan Hill as “General Fund Administration”) from the central services departments of City Attorney, City Manager, and Administrative Services.

The City’s other governmental funds, such as Development Services, and the proprietary funds, such as Water and Wastewater, and the Information Services Fund, are assessed such charges through the City’s indirect cost allocation plan, prepared in compliance with the guidelines set forth in the Code of Federal Regulations Title 2, Chapter II, Part 200 (formerly OMB Circular No. A-87), which mandates certain calculation and cost allocation practices that must be followed in order to qualify for Federal grant funding, but which also represents best practice for non-grant funded City operations like utilities and information services.
 Development Services Fund – Revenues through December totaled $3.1 million compared to the prior year to date amount of approximately $2.1 million. Expenditures, including encumbrances, totaled $3.3 million.
 Debt Service Funds – Expenditures through December totaled $0.6 million. The debt service for the first half of the year includes both interest and principal, while the second half of the year will include interest only. Debt service payments were all scheduled when the bonds were issued and are budgeted for in the months delineated in the underlying bond documents. The General Fund’s portion of the annual debt service payments is approximately $200,000, less than one percent of the General Fund’s budgeted revenues.
($2.0)
($1.5)
($1.0)
($0.5)
$0.0
$0.5
FY15-16 FY16-17 FY17-18 FY18-19 FY19-20 FY20-21 FY21-22 FY22-23 FY23-24 FY24-25 Budget
Millions (S)
Historical Net GF Impact

CITY OF MORGAN HILL, CALIFORNIA
FINANCIAL STATEMENT ANALYSIS - FISCAL YEAR 2024-25
FOR THE MONTH ENDED DECEMBER 2024 – 50% OF YEAR COMPLETE  Wastewater Operations – Revenues through December 31, 2024 totaled $7.1 million. Expenditures and outstanding encumbrances totaled $8.3 million or 49% of the budget. The table below shows historical Wastewater Operations revenues and expenditures from FY20-21 through FY23-24 Actual, FY24-25 Budget, and YTD as of December 31, 2024.
(amount in millions) FY20‐21 FY21‐22 FY22‐23 FY23‐24
Budget
FY24‐25
YTD
FY24‐25
Revenues             13.3             14.9             15.3                15.2             16.6                 7.1 Expenditures             13.3             14.8             16.0                14.9             16.8                 8.3 Operating Margin               ‐                0.1              (0.7) 0.3              (0.2)               (1.2) Operating Margin
without Encumbrances               ‐                0.1              (0.7) 0.3              (0.2)               (1.2)  Water Operations – Water Operations includes Utility Billing, Water Conservation, and Water Operations. Revenues through December 31, 2024 totaled $9.9 million. Water Operations expenditures, including outstanding encumbrances, totaled $10.3 million. Morgan Hill residents consumed about 9% more water through December compared to the prior three-year average. As such, no revenue stabilization water rate was implemented. The table below shows Water Operations revenues and expenditures from FY20-21 through FY23-24 Actual, FY24-25 Budget, and YTD as of December 31, 2024.
(amount in millions) FY20‐21 FY21‐22 FY22‐23 FY23‐24
Budget
FY24‐25
YTD
FY24‐25
Revenues 16.5                          16.0             18.1               18.7               21.5                  9.9 Expenditures 16.5                          15.2             18.0               19.1               21.6                10.3 Operating Margin               ‐                0.8                0.1                (0.4)               (0.1)                 (0.4) Operating Margin
without Encumbrances               ‐                0.8                0.1                (0.4)               (0.1)                  0.1  Investments – One security was called, and four new securities were purchased. Total interest earnings received on investments were $187,000 during the month.

% OF ACTUAL PLUS % OF

FUND NAME ACTUAL BUDGET ENCUMBRANCES BUDGET
General 17,689,623 $ 31% $ 31,963,345 49%
Development Services 3,080,106 52% 3,325,550 52%
Wastewater Operations 7,065,026 42% 8,297,004 49%
Wastewater Other 11,863,063 66% 9,041,970 47%
Water Operations 9,885,874 46% 10,298,907 48%
Water Other 6,396,264 44% 12,986,057 53%
Other Special Revenues * 3,277,272 38% 6,174,590 52%
Capital Projects & Streets 16,841,487 52% 29,253,776 58% Debt Service 343,184 50% 570,698 84%
Internal Service 7,274,101 50% 8,034,762 57%
TOTAL FOR ALL FUNDS 83,716,000 $ 44% $ 119,946,658 52%
* Includes all Special Revenue Funds except Development Services Fund and Street Funds.

REVENUES EXPENSES
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
General
Development
Services
Wastewater
Operations
Wastewater Other
Water Operations
Water Other
Other Special
Revenues *
Capital Projects
& Streets
Debt Service
Internal Service
Morgan Hill YTD Revenue & Expense Summary
December 31, 2024 - 50% of Year Complete
Revenues to Budget Expenses to Budget
Percentage of Actual to Budget
50%

% OF PRIOR YEAR % CHANGE FROM

REVENUE CATEGORY BUDGET ACTUAL BUDGET TO DATE PRIOR YEAR Property Tax 19,411,020 $ 2,962,373 $ 15% 2,774,146 $ 7% Sales Tax 12,816,469 4,031,807 32% 4,391,692 -8%
Franchise Tax 3,185,872 637,852 20% 592,037 8%
Hotel Tax 2,678,000 1,137,459 43% 1,023,294 11%
Other Agencies 1,601,204 556,802 35% 435,995 28%
Service Charges 10,323,751 5,125,243 50% 5,031,285 2%
Interest/Other 3,107,665 1,600,622 52% 1,211,237 32%
Transfers In 3,365,760 1,637,464 49% 1,463,004 12%
TOTAL REVENUES 56,489,742 $ 17,689,623 $ 31% 16,922,690 $ 5% 0% 10% 20% 30% 40% 50% 60%
Property Tax
Sales Tax
Franchise Tax
Hotel Tax
Other Agencies
Service Charges
Interest/Other
Transfers In
Total Revenues
Percent of Actual to Budget
Morgan Hill YTD General Fund Revenues
December 31, 2024 - 50% of Year Complete
50%

ACTUAL PLUS PRIOR YTD PLUS % CHANGE FROM
EXPENDITURE CATEGORY BUDGET ENCUMBRANCES % OF BUDGET ENCUMBRANCES PRIOR YEAR Administration $ 7,351,159 $ 3,350,302 46% 3,321,918 $ 1% Community Services 19,922,029 10,065,604 51% 9,262,341 9% Police 25,598,203 12,612,975 49% 11,394,104 11%
Fire 10,381,160 5,205,350 50% 4,701,301 11%
Transfers Out 1,458,230 729,115 50% 2,051,884 -64%
TOTAL EXPENDITURES $ 64,710,781 $ 31,963,345 49% 30,731,548 $ 4% 0% 10%20%30%40%50%60%
Administration
Community
Services
Police
Fire
Transfers Out
Total Expenditures
Percent of Actual to Budget
Morgan Hill YTD General Fund Expenditures
December 31, 2024 - 50% of Year Complete
50%

City of Morgan Hill
Recreation Report - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete
% of
Budget December 2024 YTD Budget
Revenues
Membership Services & Rec Programs 6,222,399 $ 425,912 $ 3,109,695 $ Facility Rentals 1,197,395 91,480 712,255
Community Services 147,498 43,087 77,509
Transfers in 100,000 6,250 50,000
Total Revenues 7,667,292 $ 566,729 $ 3,949,458 $ 52%
Less: Expenditures
Membership & Program Services 8,040,818 $ 721,843 $ 3,721,395 $ Facility Rentals 633,051 42,377 279,123
Community Services 761,973 51,230 292,249
Total Expenditures 9,435,843 $ 815,449 $ 4,292,767 $ 45% Net Impact without encumbrances (1,768,551) $ (248,720) $ (343,309) $ Encumbrances - - 1,209,803
Net Impact with encumbrances (1,768,551) $ (248,720) $ (1,553,112) $

The chart below shows cash balances by fund type reconciled to City's financial system:

City of Morgan Hill
Monthly Investment Report ‐ December 31, 2024
The following are the snapshots of City's investment portfolio as of December 31, 2024. The first chart shows the portfolio composition by investment type:

LAIF ‐ $0.1M
<1% CA Class ‐ $24.0M
12%
Treasury  ‐
$13.7M
7%
Money
Market ‐
$1.7M
1%
Federal Agency Issues ‐
$146.7M
75%
Certificate of Deposits ‐
$1.0M
<1%
Bond Reserves/Trust ‐
$9.0M
5%
Cash & Other Deposits ‐ $0.6M
<1%
Investment Portfolio Composition ‐ $196.8 Million
LAIF ‐ $0.1M
CA Class ‐ $24.0M
Treasury  ‐ $13.7M
Money Market ‐ $1.7M
Federal Agency Issues ‐
$146.7M
Certificate of Deposits ‐
$1.0M
Bond Reserves/Trust ‐
$9.0M
Cash & Other Deposits ‐
$0.6M
General Fund, $25.6M Development Services,
$1.9M
Water ‐ Operations,
$2.8M
Water Other, $32.7M
Sewer ‐ Operations,
$1.2M
Sewer Other, $47.9M
Other Special
Revenue, $18.4M
Streets and Capital
Projects, $38.4M
Debt Service , $0.7M
Internal Service,
$26.4M
Agency Funds (assessment
dists./refundable deposits),
$0.8M
Cash Balances by Fund Type ‐ $196.8 Million

The following chart illustrates a yield comparison by month among the City's portfolio, LAIF and 2‐Year US Treasury:

The chart below illustrates monthly average days to maturity of the City's portfolio along with the weighted average yield for the past two years:

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%
Dec‐22
Jan‐23
Feb‐23
Mar‐23
Apr‐23
May‐23
Jun‐23
Jul‐23
Aug‐23
Sep‐23
Oct‐23
Nov‐23
Dec‐23
Jan‐24
Feb‐24
Mar‐24
Apr‐24
May‐24
Jun‐24
Jul‐24
Aug‐24
Sep‐24
Oct‐24
Nov‐24
Dec‐24
Yield Portfolio vs. Benchmarks
LAIF YIELD 2 Yr US‐Treasury

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

3.50%

4.00%
0 100
200
300
400
500
600
700
800
900
1000
Dec‐22
Jan‐23
Feb‐23
Mar‐23
Apr‐23
May‐23
Jun‐23
Jul‐23
Aug‐23
Sep‐23
Oct‐23
Nov‐23
Dec‐23
Jan‐24
Feb‐24
Mar‐24
Apr‐24
May‐24
Jun‐24
Jul‐24
Aug‐24
Sep‐24
Oct‐24
Nov‐24
Dec‐24
Days Yield
Portfolio Yield and Maturity Trends
Avg Days to Maturity YIELD
CITY

City of Morgan Hill
Investment Portfolio Detail
As of December 31, 2024
Investment Settlement Cost Book % of Market YTM Next Call Date of Type CUSIP Date Value Value Portfolio Value at Cost Date Maturity L A I F $              61,817 $              61,817 0.0% $              61,794 4.43% California C L A S S         23,988,142         23,988,142 12.2% 23,988,142          4.64% WFB Money Market            1,598,963            1,598,963 0.8% 1,598,963 4.48% US Bank ‐ Portfolio of Securities
Dreyfus Treasury Agency MM 261908107                  87,986                  87,986 0.0%                 87,986 4.32% Treasury Note 91282CCZ2 10/8/2021 1,987,656                        1,995,668 1.0%           1,887,380 1.00% 9/30/2026 9/30/2026 Treasury Note 912828U24 6/13/2022 1,904,688                        1,959,657 1.0%           1,919,520 3.16% 11/15/2026 11/15/2026 Treasury Note 91282CFL0 9/30/2024 2,031,719                        2,030,121 1.0%           1,956,500 3.53% 9/30/2029 9/30/2029 Treasury Note 91282CLL3 10/1/2024 1,994,323                        1,992,070 1.0%           1,954,440 3.53% 9/15/2027 9/15/2027 Treasury Note 91282CCV1 10/4/2024 1,822,536                        1,831,497 0.9%           1,783,840 3.61% 8/31/2028 8/31/2028 Treasury Note 31282CFJ5 10/7/2024 1,949,794                        1,946,095 1.0%           1,894,380 3.76% 8/31/2029 8/31/2029 Treasury Note 91282CFY2 12/19/2024 1,959,077                        1,955,331 1.0%           1,955,080 4.39% 11/30/2029 11/30/2029 FFCB Bond 3133ELC28 5/27/2020 2,000,000                        2,000,000 1.0%           1,970,700 0.73% 1/5/2025 5/27/2025 FHLMC Bond 3134GWZG4 10/20/2020 2,000,000                        2,000,000 1.0%           1,942,080 0.60% 1/20/2025 10/20/2025 FHLMC Bond 3134GW3X2 10/27/2020 2,000,000                        2,000,000 1.0%           1,941,180 0.63% 1/27/2025 10/27/2025 FFCB Bond 3133EMFR8 11/3/2020 2,000,000                        2,000,000 1.0%           1,938,540 0.54% 1/5/2025 11/3/2025 FNMA Bond 3135GA4P3 11/18/2020 2,000,000                        2,000,000 1.0%           1,936,780 0.65% 11/18/2025 11/18/2025 FHLMC Bond 3134GXEJ9 11/24/2020 2,000,000                        2,000,000 1.0%           1,936,380 0.64% 2/24/2025 11/24/2025 FFCB Bond 3133EMHF2 11/24/2020 1,000,000                        1,000,000 0.5%               967,850 0.60% 1/5/2025 11/24/2025 FHLMC Bond 3134GXCS1 11/25/2020 3,000,000                        3,000,000 1.5%           2,905,440 0.63% 11/25/2025 11/25/2025 FHLMC Bond 3134GXFA7 11/30/2020 2,000,000                        2,000,000 1.0%           1,936,040 0.65% 2/26/2025 11/26/2025 FFCB Bond 3133EMLC4 12/22/2020 2,000,000                        2,000,000 1.0%           1,927,080 0.47% 1/5/2025 12/22/2025 FHLB Bond 3130AKQ74 1/22/2021 2,000,000                        2,000,000 1.0%           1,925,020 0.63% 2/22/2025 1/22/2026 FNMA Bond 3135G06R9 1/28/2021 2,000,000                        2,000,000 1.0%           1,920,480 0.55% 2/28/2025 1/28/2026 FHLB Bond 3130AKRN8 1/28/2021 2,000,000                        2,000,000 1.0%           1,924,360 0.65% 2/28/2025 1/28/2026 FHLB Bond 3130ALCV4 2/24/2021 2,000,000                        2,000,000 1.0%           1,921,340 0.75% 2/24/2025 2/24/2026 FHLB Bond 3130ALDB7 2/25/2021 2,000,000                        2,000,000 1.0%           1,919,140 0.66% 2/25/2025 2/25/2026 FHLB Bond 3130AKZ25 2/26/2021 2,000,000                        2,000,000 1.0%           1,918,720 0.65% 2/26/2025 2/26/2026 FHLB Bond 3130ALGS7 3/10/2021 2,000,000                        2,000,000 1.0%           1,920,780 0.85% 3/10/2025 3/10/2026 FHLB Bond 3130ALEP5 3/16/2021 2,000,000                        2,000,000 1.0%           1,918,100 0.70% 3/16/2025 3/16/2026 FHLB Bond 3130ALDN1 3/16/2021 2,000,000                        2,000,000 1.0%           1,918,360 0.80% 3/16/2025 3/16/2026 FHLB Bond 3130AMNH1 6/9/2021 2,000,000                        2,000,000 1.0%           1,910,300 1.08% 1/5/2025 6/9/2026 FHLB Bond 3130AMYJ5 6/30/2021 2,000,000                        2,000,000 1.0%           1,904,180 1.00% 3/30/2025 6/30/2026 FHLB Bond 3130AMYP1 7/15/2021 3,000,000                        3,000,000 1.5%           2,857,620 1.13% 1/15/2025 7/15/2026 FHLB Bond 3130AMYS5 7/15/2021 2,000,000                        2,000,000 1.0%           1,964,040 0.85% 1/15/2025 7/15/2025 FHLB Bond 3130ANJC5 8/26/2021 2,000,000                        2,000,000 1.0%           1,885,780 0.80% 8/26/2025 8/26/2026 FHLB Bond 3130ANLW8 8/26/2021 3,000,000                        3,000,000 1.5%           2,843,310 1.00% 2/26/2025 8/26/2026 FHLB Bond 3130ANLZ1 8/26/2021 2,000,000                        2,000,000 1.0%           1,892,400 0.90% 8/26/2025 8/26/2026 FHLB Bond 3130A8XY4 9/13/2021 2,103,340                        2,035,060 1.0%           1,919,340 0.82% 9/11/2026 9/11/2026 FFCB Bond 3133EM4X7 9/28/2021 1,982,960                        1,994,177 1.0%           1,884,940 0.98% 9/10/2026 9/10/2026 FHLB Bond 3130APCH6 9/29/2021 3,000,000                        3,000,000 1.5%           2,840,820 1.13% 1/5/2025 9/29/2026 FHLB Bond 3130ANZE3 9/30/2021 2,000,000                        2,000,000 1.0%           1,885,720 0.88% 9/30/2026 9/30/2026 FHLB Bond 3130AP6N0 9/30/2021 3,000,000                        3,000,000 1.5%           2,836,920 1.05% 3/30/2025 9/30/2026 FHLB Bond 3130AP6M2 9/30/2021 3,000,000                        3,000,000 1.5%           2,835,420 1.02% 3/30/2025 9/30/2026 FHLB Bond 3130APCG8 10/19/2021 2,000,000                        2,000,000 1.0%           1,885,900 1.00% 1/19/2025 10/19/2026 FHLB Bond 3130APNX9 11/18/2021 2,000,000                        2,000,000 1.0%           1,890,560 1.30% 11/18/2025 11/18/2026 FHLB Bond 3130AQHU0 1/19/2022 2,000,000                        2,000,000 1.0%           1,918,680 1.74% 1/19/2027 1/19/2027 FHLB Bond 3130AQKT9 1/25/2022 2,000,000                        2,000,000 1.0%           1,971,960 1.51% 7/25/2025 7/25/2025 FHLB Bond 3130AR4F5 3/10/2022 2,000,000                        2,000,000 1.0%           1,995,160 3.48% 3/10/2025 3/10/2027 FHLMC Bond 3134GXUZ5 6/15/2022 2,000,000                        2,000,000 1.0%           1,984,360 3.28% 12/15/2025 12/15/2025 FHLB Bond 3130ASPE3 7/28/2022 2,000,000                        2,000,000 1.0%           1,991,880 4.30% 1/28/2025 7/28/2027 FHLMCTN Bond 3134H1QG1 1/26/2024 3,000,000                        3,000,000 1.5%           3,001,650 4.66% 1/26/2025 1/26/2029 FHLMCTN Bond 3134H1UN1 2/26/2024 1,200,000                        1,200,000 0.6%           1,197,840 5.50% 2/26/2025 2/26/2029 FHLMCTN Bond 3134H1UN1 2/26/2024 2,000,000                        2,000,000 1.0%           1,996,400 5.50% 2/26/2025 2/26/2029 FHLB Bond 3130B22Z7 8/1/2024 2,000,000                        2,000,000 1.0%           1,997,540 5.55% 1/3/2025 7/30/2029 FHLB Bond 3130B2EG6 8/21/2024 2,000,000                        2,000,000 1.0%           1,994,720 5.20% 2/21/2025 8/21/2029 FHLB Bond 3130B2M85 9/6/2024 2,000,000                        2,000,000 1.0%           1,999,340 5.20% 1/6/2025 9/6/2029

Investment Settlement Cost Book % of Market YTM Next Call Date of Type CUSIP Date Value Value Portfolio Value at Cost Date Maturity FHLB Bond 3130B2KZ7 9/11/2024 2,000,000                        2,000,000 1.0%           1,994,200 5.00% 3/11/2025 9/11/2029 FHLMCMTN Bond 3134HAKY8 9/13/2024 2,985,210                        2,986,097 1.5%           2,914,200 4.11% 12/13/2025 9/13/2029 FHLB Bond 3130B2MK8 9/19/2024 2,000,000                        2,000,000 1.0%           1,996,360 5.00% 3/19/2025 9/19/2028 FHLMCMTN Bond 3134HALK7 9/19/2024 3,000,000                        3,000,000 1.5%           2,990,280 5.00% 3/19/2025 9/19/2029 FHLB Bond 3130B2P58 9/26/2024 2,003,014                        2,000,000 1.0%           1,943,640 3.87% 9/10/2026 9/10/2029 FHLB Bond 3130B2X59 9/27/2024 2,000,000                        2,000,000 1.0%           1,964,080 4.00% 9/18/2025 9/18/2028 FHLMCMTN Bond 3134HANZ2 10/1/2024 3,000,000                        3,000,000 1.5%           2,998,590 5.00% 1/1/2025 10/1/2029 FHLB Bond 3130B33T8 10/8/2024 2,500,000                        2,500,000 1.3%           2,492,100 5.00% 1/2/2025 10/2/2029 FHLB Bond 3130B35N9 10/8/2024 2,000,000                        2,000,000 1.0%           1,975,760 4.50% 10/1/2025 10/1/2029 FHLMCMTN Bond 3134HARE5 10/11/2024 2,000,000                        2,000,000 1.0%           1,994,140 4.75% 4/11/2025 10/11/2029 FNMA Bond 3135GAW98 10/15/2024 2,000,000                        2,000,000 1.0%           1,989,380 5.00% 4/1/2025 10/1/2029 FHLB Bond 3130B36N8 10/15/2024 1,944,000                        1,994,253 1.0%           1,959,380 4.32% 4/15/2026 10/15/2029 FHLB Bond 3130B3ER0 10/24/2024 2,000,000                        2,000,000 1.0%           1,997,900 5.00% 1/22/2025 10/22/2027 FHLMCMTN Bond 3134HAVE0 10/30/2024 2,000,000                        2,000,000 1.0%           1,998,940 5.25% 1/30/2025 10/30/2029 FHLMCMTN Bond 3134HAVX8 11/5/2024 2,000,000                        2,000,000 1.0%           1,996,340 5.25% 2/5/2025 11/5/2029 FHLMCMTN Bond 3134HAXT5 11/12/2024 2,000,000                        2,000,000 1.0%           1,992,420 5.00% 5/7/2025 11/7/2029 FHLMCMTN Bond 3134HAZW6 11/15/2024 2,000,281                        2,000,000 1.0%           1,997,480 5.43% 2/14/2025 11/14/2029 FHLMC Bond 3134HAD42 11/18/2024 2,000,000                        2,000,000 1.0%           2,000,960 5.03% 2/18/2025 11/18/2029 FHLMCMTN Bond 3134HAC92 11/19/2024 3,000,000                        3,000,000 1.5%           3,001,860 5.00% 5/19/2025 11/19/2029 FNMA Bond 3135GAYV7 11/26/2024 3,000,000                        3,000,000 1.5%           2,998,530 5.25% 2/26/2025 11/26/2029 FFCB Bond 3133ERF48 12/4/2024 2,000,000                        2,000,000 1.0%           1,997,180 4.77% 12/4/2025 12/4/2028 FHLMCMTN Bond 3134HAM91 12/13/2024 2,000,000                        2,000,000 1.0%           1,994,720 4.70% 6/13/2025 12/13/2027 FNMA Bond 3136GA4B2 12/20/2024 2,000,000                        2,000,000 1.0%           1,994,460 5.01% 6/20/2025 12/20/2029 CD ‐ Morgan Stanley Bank 61690DGT9 11/8/2023 250,000                              250,000 0.1%               259,245 5.05% 11/8/2028 11/8/2028 CD ‐ Morgan Stanley Private Bank 61768EE82 11/8/2023 250,000                              250,000 0.1%               259,245 5.05% 11/8/2028 11/8/2028 CD ‐ American Express 02589AF98 11/8/2023 250,000                              250,000 0.1%               261,688 5.00% 11/8/2028 11/8/2028 CD ‐ State Bank India 8562834U7 11/24/2023 250,000                              250,000 0.1%               258,803 5.00% 11/24/2028 11/24/2028 Sub Total/Average $    161,456,585 $    161,508,013 82.1% 157,636,156 $    2.79% Total City Managed/Average $    187,105,506 $    187,156,934 95.1% 183,285,054 $    3.05% Bond Reserve Accounts ‐ Held By Trustees $        1,132,296 $        1,132,296 0.6% $        1,132,296 Cash/Deposits $            648,200 $            648,200 0.3% $           648,200 PARS and CALPERS CERBT Trust $        7,887,404 $        7,887,404 4.0% $        9,488,611 GRAND TOTAL/AVERAGE $    196,773,405 $    196,824,833 100.0% 194,554,161 $

Invested Book Value % of Market
in Fund Yield End of Month Total Value
Investments
State Treasurer LAIF - City All Funds Pooled 4.43% $ 61,817 0.0% $ 61,794 California CLASS All Funds Pooled 4.64% 23,988,142 12.2% 23,988,142 US Bank - Portfolio of Securities All Funds Pooled 2.79% 161,508,013 82.1% 157,636,156 WFB MMA All Funds Pooled 4.48% 1,598,963 0.8% 1,598,963 SUBTOTAL $ 187,156,934 95.1% 183,285,054 $
Bond Reserve Accounts - held by trustees
Zions Bank - Civic Center/Library Facility
Blackrock Liq Fund Debt Service 4.93% 249,367 0.1% 249,367 Zions Bank - MH Police Facility Lease Revenue Bonds
Blackrock Liq Fund Debt Service 4.93% 317,377 0.2% 317,377 BNY - RDA Bonds
Dreyfus Cash Mgmt 521 Agency Fund 4.05% 296,826 0.2% 296,826 Zions Bank - Madrone Bus Park Taxable/ Tax Exempt 2015
Blackrock Liquidity Temp Fund-2015 Agency Fund 4.93% 0.1% 268,726 268,726 SUBTOTAL 1,132,296 0.6% 1,132,296
Other Cash/Deposits
General Checking All Funds 602,350 0.3% 602,350
Workers' Comp Administrators Workers' Comp 30,000 0.0% 30,000 Petty Cash & Emergency Cash General Fund 15,850 0.0% 15,850 CALPERS CERBT - OPEB Trust 5,237,404 2.7% 6,323,781
PARS - PENSION Trust 2,650,000 1.3% 3,164,830
SUBTOTAL 8,535,604 4.3% 10,136,811
Total Cash and Investments $ 196,824,833 100.0% $ 194,554,161

CASH ACTIVITY SUMMARY
FY 2024-25
07/01/2024 Change in 12/31/2024
Fund Type Balance Cash Balance Balance
General Fund $ 30,617,860 $ (4,976,299) $ 25,641,562
Development Services 1,939,319 (86,265) 1,853,054
Water - Operations 2,386,837 458,469 2,845,306
Water Other 27,894,107 4,840,561 32,734,668
Sewer - Operations 1,178,576 36,891 1,215,467
Sewer Other 41,964,736 5,983,955 47,948,691
Other Special Revenue 17,038,062 1,328,452 18,366,513
Streets and Capital Projects 39,467,115 (1,086,709) 38,380,405 Debt Service 346,933 338,032 684,965
Internal Service 27,935,786 (1,555,591) 26,380,195
Agency Funds (assessment dists./refundable deposits) 7,240,095 (6,466,089) 774,006 Total $ 198,009,426 $ (1,184,593) $ 196,824,833
Note: See Investment Porfolio Detail for maturities of "Investments." Market values are obtained from the City's investment brokers' monthly reports.

I certify that information on the investment report has been reconciled to the general ledger and bank statements and that there are sufficient funds to meet the expenditure requirements of the City for the next six months. The portfolio is in compliance with the City of Morgan Hill Investment Policy and all State laws and regulations.

Prepared by: ____________________________________ Approved by:

Gina Nazareno, Senior Accountant
Reviewed by: ____________________________________
Dat Nguyen, Finance Director Cindy Murphy, Treasurer

CITY OF MORGAN HILL CASH AND INVESTMENT REPORT
FOR THE MONTH OF DECEMBER 31, 2024
FOR THE FISCAL YEAR OF 2024-25

City of Morgan Hill
Year to Date Revenues - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete

CURRENT INCR (DECR)
ADOPTED AMENDED YTD % PRIOR FROM PRIOR %

BUDGET BUDGET ACTUAL OF BUDGET YTD YTD CHANGE
010 GENERAL FUND
TAXES
Property Tax - Secured/Unsecured $ 16,210,880 16,210,880 $ 2,893,771 18% $ 2,690,913 $ 202,857 8% Property Tax - RPTTF Residual Distribution 2,895,920 2,895,920 n/a - - n/a - Property Tax - Supplemental Roll 304,220 304,220 68,603 23% 83,233 (14,630) -18% Sales Tax 12,352,215 12,352,215 3,886,040 31% 4,244,260 (358,221) -8% Public Safety Sales Tax 464,254 464,254 145,768 31% 147,431 (1,663) -1% Transient Occupancy Taxes 2,678,000 2,678,000 1,137,459 42% 1,023,294 114,165 11% Franchise (Refuse ,Cable ,PG&E) 3,185,872 3,185,872 637,852 20% 592,037 45,815 8% Property Transfer Tax 600,000 600,000 256,953 43% 199,651 57,302 29% TOTAL TAXES 38,691,361 38,691,361 9,026,444 23% 8,980,820 45,624 1%

LICENSES/PERMITS
Business License 200,000 200,000 184,354 92% 160,095 24,260 15% Other Permits 80,750 80,750 45,898 57% 22,852 23,046 101% TOTAL LICENSES/PERMITS 280,750 280,750 230,252 82% 182,947 47,305 26%

FINES AND PENALTIES
Parking Enforcement 9,800 9,800 4,627 47% 5,061 (434) -9% Bails & Fines 55,000 55,000 11,956 22% 23,665 (11,710) -49% Administrative Citations 20,000 20,000 13,577 68% 17,802 (4,225) -24% TOTAL FINES AND PENALTIES 84,800 84,800 30,160 36% 46,529 (16,368) -35%

OTHER AGENCIES
Motor Vehicle in-Lieu 61,800 61,800 n/a - - n/a -
Other Revenue - Other Agencies 1,601,204 1,332,381 556,802 35% 435,995 120,808 28% TOTAL OTHER AGENCIES 1,394,181 1,663,004 556,802 33% 435,995 120,808 28%

CHARGES CURRENT SERVICES
Police False Alarm Charge 33,500 33,500 14,612 44% 17,129 (2,517) -15% Business License Application Review 82,400 82,400 27,711 34% 69,006 (41,294) -60% Membership Services & Rec Programs 6,222,399 6,222,399 3,109,695 50% 2,948,027 161,668 5% Facility Rentals 1,197,395 1,197,395 712,255 59% 749,523 (37,268) -5% Community Services 147,498 147,498 77,509 53% 14,592 62,917 431% General Administration Overhead 1,756,111 1,756,111 841,455 48% 881,185 (39,729) -5% Other Charges Current Services 884,448 884,448 342,006 39% 351,824 (9,818) -3% TOTAL CURRENT SERVICES 10,323,751 10,323,751 5,125,243 50% 5,031,285 93,958 2%

OTHER REVENUE
Use of money/property 1,375,045 1,375,045 764,279 56% 651,895 112,384 17% Other Revenues 705,270 705,270 318,978 45% 130,217 188,761 145% TOTAL OTHER REVENUE 2,080,315 2,080,315 1,083,257 52% 782,112 301,146 39%

TRANSFERS IN
One Time Transfer 165,000 165,000 82,500 50% 90,000 (7,500) -8% Public Safety Facilities Fund 50,000 50,000 25,000 50% 25,000 0% - Supplemental Law Enforcement Fund 100,000 100,000 50,000 50% - 50,000 n/a Countywide Solid Waste 540,328 540,328 270,164 50% 186,500 83,664 45% Streets 851,932 851,932 380,550 45% 364,454 16,096 4%
Park Maintenance 650,000 650,000 325,000 50% 325,000 n/a - Sewer Operations 413,700 413,700 206,850 50% 197,000 9,850 5% Water Operations 413,700 413,700 206,850 50% 197,000 9,850 5% Open Space 81,100 81,100 40,550 50% 40,550 n/a -
Park Development 100,000 100,000 50,000 50% 37,500 12,500 33% TOTAL TRANSFERS IN 3,365,760 3,365,760 1,637,464 49% 1,463,004 174,460 12% TOTAL GENERAL FUND 56,220,919 56,489,742 17,689,623 31% 16,922,690 766,933 5%

SPECIAL REVENUE FUNDS
202 STREET MAINTENANCE
Gas Tax 2105 - 2107.5 851,932 851,932 376,969 44% 361,117 15,851 4% Interest / Other Revenue/Other Charges 2,135 2,135 3,581 168% 3,337 244 7% 202 STREET MAINTENANCE 854,067 854,067 380,550 45% 364,454 16,095 4%

City of Morgan Hill
Year to Date Revenues - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete

CURRENT INCR (DECR)
ADOPTED AMENDED YTD % PRIOR FROM PRIOR %

BUDGET BUDGET ACTUAL OF BUDGET YTD YTD CHANGE

SPECIAL REVENUE FUNDS
205 SUPPLEMENTAL LAW ENFORCEMENT FUND
Interest Income 12,957 12,957 7,706 59% 5,099 2,607 51% Police Grant/SLEF/JAG 100,000 100,000 119,663 120% 111,159 8,505 8% 205 SUPPLEMENTAL LAW ENFORCEMENT FUND 112,957 112,957 127,369 113% 116,258 11,112 10% 206 DEVELOPMENT SERVICES
Building Fees 3,510,850 3,510,850 1,951,889 56% 1,500,894 450,994 30% Planning Fees 954,276 954,276 531,157 56% 308,422 222,734 72% Engineering Fees 942,327 942,327 495,511 53% 183,044 312,467 171% Other Revenue/Current Charges 550,599 550,599 101,549 18% 111,300 (9,750) -9% 206 DEVELOPMENT SERVICES 5,958,052 5,958,052 3,080,106 52% 2,103,661 976,445 46% 207 LONG RANGE PLANNING 1,751,005 1,751,005 440,021 25% 357,634 82,386 23% 215 and 216 HCD BLOCK GRANT
Interest Income/Other Revenue 1,161 1,161 1,249 108% 907 38% 342 215 and 216 HCD BLOCK GRANT 1,161 1,161 1,249 108% 907 38% 342 225 ASSET SEIZURE 2,807 2,807 1,904 68% 1,390 37% 514
229 LIGHTING AND LANDSCAPE 206,415 206,415 3,976 2% 2,604 1,372 53% 230 COMMUNITY FACILITIES DISTRICT 28,828 28,828 2,982 10% 2,036 46% 946 232 ENVIRONMENTAL PROGRAMS 501,236 501,236 234,966 47% 285,772 (50,806) -18% 234 MOBILE HOME PARK RENT STAB. 2,872 2,872 3,007 105% 2,576 17% 430 236 HOUSING MITIGATION 2,762,629 2,762,629 938,435 34% 1,715,840 (777,406) -45% 240 EMPLOYEE ASSISTANCE 1,297 1,297 4,010 309% 4,260 (250) -6% 246 COUNTYWIDE SOLID WASTE 2,279,503 2,279,503 1,145,619 50% 1,053,585 92,034 9% 247 ENVIRONMENT REMEDIATION - - n/a - 1,909 (1,909) -100% 255 HOUSING SUCCESSOR AGENCY 463,881 463,881 373,579 81% 140,942 232,637 165% 260 PUBLIC ART 1,411 1,411 156 11% - 156 n/a
TOTAL SPECIAL REVENUE FUNDS 14,928,122 14,928,122 6,737,928 45% 6,153,829 584,099 9%

CAPITAL PROJECTS FUNDS
301 PARK DEVELOPMENT 1,999,271 1,999,271 1,777,491 89% 234,402 1,543,089 658% 302 PARK MAINTENANCE 15,507 15,507 48,566 313% 42,672 5,894 14% 303 LOCAL DRAINAGE 1,424,799 1,424,799 384,795 27% 275,320 109,475 40% 304 LOCAL DRAINAGE/NON AB1600 251,296 251,296 132,256 53% 18,766 113,490 605% 306 AGRICULTURE & OPEN SPACE PRESERVATION 18,459 18,459 408,145 2211% 110,082 298,064 271% 308 STREET CIP 3,886,877 3,886,877 1,632,807 42% 1,221,141 411,666 34% 309 TRAFFIC IMPACT 4,753,292 4,753,292 1,766,062 37% 346,647 1,419,415 409% 315 PUBLIC SAFETY FACILITIES IMPACT 3,203,214 12,153,214 4,985,539 41% 213,657 4,771,882 2233% 346 PUBLIC FACILITIES NON-AB1600 189,832 189,832 164,447 87% 175,285 (10,838) -6% 347 PUBLIC FACILITIES IMPACT 451,223 451,223 309,887 69% 62,291 247,596 397% 348 LIBRARY 1,414,286 1,414,286 1,264,438 89% 201,419 1,063,018 528% 350 UNDERGROUNDING 74,302 74,302 32,801 44% 23,302 9,498 41% 355 SCHOOL PEDESTRIAN/TRAFFIC SAFETY - - - n/a 30,983 (30,983) -100% 360 COMMUNITY/REC IMPACT FUND 2,501,528 2,501,528 2,308,603 92% 351,944 1,956,659 556% 375 QUIMBY FEE 2,650,042 2,650,042 1,245,099 47% 803,399 441,700 55% TOTAL CAPITAL PROJECTS FUNDS 22,833,927 31,783,927 16,460,937 52% 4,111,312 12,349,625 300%

DEBT SERVICE FUNDS
420 CIVIC CENTER DEBT 300,467 300,467 150,635 50% 148,011 2,624 2% 441 POLICE FACILITY BOND 390,939 390,939 192,549 49% 193,917 (1,368) -1% TOTAL DEBT SERVICE FUNDS 691,406 691,406 343,184 50% 341,928 1,256 0%

City of Morgan Hill
Year to Date Revenues - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete

CURRENT INCR (DECR)
ADOPTED AMENDED YTD % PRIOR FROM PRIOR %

BUDGET BUDGET ACTUAL OF BUDGET YTD YTD CHANGE

ENTERPRISE FUNDS
640 WASTEWATER OPERATION
Sewer Service Fees 16,100,000 16,100,000 6,886,191 43% 6,232,069 654,122 10% Interest Income/Transfers 141,661 141,661 38,051 27% 27,958 10,093 36% Other Revenue/Current Charges 397,200 397,200 140,784 35% 143,848 (3,064) -2% 640 WASTEWATER OPERATION 16,638,861 16,638,861 7,065,026 42% 6,403,875 661,151 10% 641 WASTEWATER EXPANSION
Interest Income 275,047 275,047 406,142 148% 304,183 101,959 34% Development Impact Fee 11,546,118 11,546,118 7,886,643 68% 1,342,827 6,543,815 487% 641 WASTEWATER EXPANSION 11,821,165 11,821,165 8,292,785 70% 1,647,010 6,645,775 404% 642 WASTEWATER RATE STABILIZATION 108,613 108,613 58,084 53% 136,693 (78,609) -58% 643 WASTEWATER CAPITAL PROJECT 6,149,134 6,149,134 3,512,195 57% 2,780,482 731,714 26% TOTAL SEWER FUNDS 34,717,773 34,717,773 18,928,090 55% 10,968,059 7,960,030 73% 650 WATER OPERATION
Water Sales 19,620,000 19,620,000 8,983,981 46% 8,059,307 924,674 11% Meter Install & Service 107,000 107,000 47,663 45% 46,949 714 2% Transfers-In / Interest Income 894,617 894,617 418,420 47% 337,974 80,447 24% Other Revenue/Current Charges 926,109 926,109 435,809 47% 135,573 300,236 45% 650 WATER OPERATION 21,547,726 21,547,726 9,885,874 46% 8,744,466 1,141,408 13% 651 WATER EXPANSION
Interest Income/Other Revenue/Transfer 92,467 92,467 89,563 97% 42,638 46,924 110% Development Impact Fee 3,829,384 3,829,384 2,900,778 76% 327,481 2,573,297 786% 651 WATER EXPANSION 3,921,851 3,921,851 2,990,340 76% 370,119 2,620,221 708% 652 WATER RATE STABILIZATION 115,840 115,840 62,796 54% 45,623 17,174 38% 653 WATER CAPITAL PROJECT 10,380,062 10,380,062 3,343,127 32% 3,666,293 (323,165) -9% TOTAL WATER FUNDS 35,965,479 35,965,479 16,282,137 45% 12,826,500 3,455,637 27% TOTAL ENTERPRISE FUNDS 70,683,252 70,683,252 35,210,227 50% 23,794,560 11,415,667 48%

INTERNAL SERVICE FUNDS
730 INFORMATION SYSTEMS 2,883,241 2,883,241 1,443,188 50% 1,254,312 188,875 15% 740 BUILDING MAINTENANCE 1,421,485 1,421,485 712,683 50% 838,669 (125,986) -15% 741 BUILDING REPLACEMENT 1,041,905 1,041,905 532,641 51% 476,491 56,150 12% 745 CIP ADMINISTRATION 2,582,015 2,582,015 1,332,835 52% 902,935 429,900 48% 760 UNEMPLOYMENT INSURANCE 10,206 10,206 5,091 50% 3,909 1,182 30% 770 WORKERS COMPENSATION 1,157,705 1,157,705 514,216 44% 477,070 37,147 8% 790 EQUIPMENT REPLACEMENT 1,680,580 1,704,881 906,096 53% 709,808 196,287 28% 791EMPLOYEE BENEFITS 1,183,215 1,183,215 573,249 48% 427,681 145,567 34% 795 GENERAL LIABILITY INSURANCE 2,519,216 2,519,216 1,254,101 50% 1,053,673 200,429 19% TOTAL INTERNAL SERVICE FUNDS 14,479,568 14,503,869 7,274,101 50% 6,144,549 1,129,552 18% TOTAL FOR ALL FUNDS $ 179,837,194 $ 189,080,318 $ 83,716,000 44% $ 57,468,868 $ 26,247,132 46%

City of Morgan Hill
Year to Date Expenses - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete

CURRENT

FUND MONTH PERCENT OF
NO. FUND/ACTIVITY ACTUAL AMENDED YTD OUTSTANDING TOTAL TOTAL TO PRIOR

EXPENSES BUDGET EXPENSES ENCUMBRANCE ALLOCATED BUDGET YTD 010 GENERAL FUND
I. ADMINISTRATION
CITY COUNCIL 19,421 $ 520,395 $ 216,620 $ - $ 216,620 $ 42% 179,392 $ .

CITY ATTORNEY 78,274 1,134,397 487,379 93,370 580,749 51% 432,081 CITY MANAGER 127,519 1,007,624 355,741 6 355,747 35% 351,482 HUMAN RESOURCES 10,665 1,087,175 478,426 - 478,426 44% 415,998

COUNCIL SVCS & RECORDS MGMT
Council Svcs & Records Mgmt 51,830 609,913 283,380 - 283,380 46% 257,786 Elections 2,735 354,364 8,932 - 8,932 3% 14,965
COUNCIL SVCS & RECORDS MGMT 54,565 964,277 292,312 - 292,312 30% 272,751 FINANCE 156,634 2,637,291 961,025 465,423 1,426,448 54% 969,225 TOTAL ADMINISTRATION 447,079 7,351,159 2,791,503 558,799 3,350,302 46% 2,620,929 II. COMMUNITY SERVICES
Membership Services & Rec. Programs 721,843 8,040,818 3,721,395 1,112,688 4,834,083 60% 3,477,849 Recreation Facility Rentals 42,377 633,051 279,123 49,740 328,863 52% 294,166 Innovative Transit 68,820 590,944 318,525 156,561 475,087 80% 282,127 Community Services 51,230 761,973 292,249 47,375 339,624 45% 285,767 Park Maintenance 98,852 1,472,380 542,101 29,802 571,903 39% 542,717 Environmental Services 44,076 1,067,544 292,972 13,934 306,906 29% 181,661 Countywide Solid Waste Program 38,486 540,327 239,001 - 239,001 44% 199,320 Street Maintenance 251,842 3,511,464 1,472,835 30,607 1,503,442 43% 1,117,173 Downtown Maintenance 20,201 378,065 123,457 26,397 149,854 40% 132,582 PD Building Maintenance 45,742 664,355 306,654 79,199 385,853 58% 241,406 Cable Television 7,551 91,234 45,374 - 45,374 50% 44,794 COMMUNITY SERVICES 1,391,019 17,752,155 7,633,687 1,546,303 9,179,990 52% 6,799,563 CODE COMPLIANCE 32,048 405,637 191,713 - 191,713 47% 115,115 INFRASTRUCTURE PLANNING & CONGESTION MGMT 555,166 29,153 192,335 - 192,335 35% 173,265 ECONOMIC DEVELOPMENT PROGRAMS 70,283 1,209,072 417,025 84,541 501,566 41% 486,406 TOTAL COMMUNITY SERVICES 1,522,504 19,922,029 8,434,759 1,630,844 10,065,604 51% 7,574,349 III. PUBLIC SAFETY
POLICE
PD Administration 131,780 2,296,286 866,010 43,267 909,277 40% 811,430 Field Operations 1,004,387 13,884,900 5,751,914 701,039 6,452,953 46% 5,589,527 Support Services 190,553 2,556,380 1,232,478 593,800 1,826,278 71% 1,379,414 Emergency Services/Haz Mat 20,975 275,047 121,658 - 121,658 44% 109,905 Special Operations 347,455 4,244,340 2,194,968 - 2,194,968 52% 1,853,008 Dispatch Services 173,514 2,341,249 1,107,841 - 1,107,841 47% 992,985 POLICE 1,868,664 25,598,203 11,274,869 1,338,106 12,612,975 49% 10,736,269 FIRE 792,761 10,381,160 5,161,298 44,051 5,205,350 50% 4,647,017 TOTAL PUBLIC SAFETY 2,661,425 35,979,363 16,436,167 1,382,157 17,818,324 50% 15,383,286 IV. TRANSFERS
Other 121,519 1,458,230 729,115 - 729,115 50% 2,051,884 TOTAL TRANSFERS 121,519 1,458,230 729,115 - 729,115 50% 2,051,884 TOTAL GENERAL FUND 4,752,527 64,710,781 28,391,544 3,571,800 31,963,345 49% 27,630,447

City of Morgan Hill
Year to Date Expenses - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete

CURRENT

FUND MONTH PERCENT OF
NO. FUND/ACTIVITY ACTUAL AMENDED YTD OUTSTANDING TOTAL TOTAL TO PRIOR

EXPENSES BUDGET EXPENSES ENCUMBRANCE ALLOCATED BUDGET YTD

SPECIAL REVENUE FUNDS
202 STREET MAINTENANCE 454 857,383 383,276 - 383,276 45% 367,050 205 PUBLIC SAFETY/SUPP.LAW 113 101,354 50,677 - 50,677 50% 645 206 DEVELOPMENT SERVICES FUND
Planning 134,067 1,700,561 783,829 1,137 784,966 46% 826,165 Building 210,364 3,055,890 1,416,147 169,629 1,585,776 52% 1,171,008 Engineering 141,628 1,644,092 759,022 195,785 954,807 58% 885,318 206 DEVELOPMENT SERVICES FUND 486,060 6,400,543 2,958,999 366,551 3,325,550 52% 2,882,491 207 LONG RANGE PLANNING 67,877 3,125,686 451,258 975,547 1,426,805 46% 407,948 215/216 CDBG 7 87 44 - 44 50% 42
225 ASSET SEIZURE 68 821 410 - 410 50% 391
229 LIGHTING AND LANDSCAPE 21,160 212,191 95,806 19,229 115,035 54% 68,837 230 COMMUNITY FACILITIES DISTRICT 1,588 23,511 11,706 - 11,706 50% 18,209 232 ENVIRONMENTAL PROGRAMS 29,173 453,818 187,655 9,069 196,724 43% 221,845 234 MOBILE HOME PARK 79 952 476 - 476 50% 454
236 HOUSING MITIGATION 51,676 2,214,529 618,579 776,845 1,395,424 63% 494,601 240 EMPLOYEE ASSISTANCE 83 20,993 3,997 - 3,997 19% 2,473 246 COUNTYWIDE SOLID WASTE PROGRAM 85,112 2,648,132 691,512 1,461,230 2,152,741 81% 713,374 255 HOUSING SUCCESSOR AGENCY 115,583 1,319,931 625,984 190,625 816,609 62% 629,810 260 PUBLIC ART 525 16,306 3,941 - 3,941 24% -
TOTAL SPECIAL REVENUE FUNDS 859,557 17,396,238 6,084,319 3,799,096 9,883,415 57% 5,808,169

CAPITAL PROJECT FUNDS
301 PARK DEVELOPMENT 69,584 3,460,007 556,649 116,847 673,495 19% 436,449 302 PARK MAINTENANCE 54,467 1,650,000 326,891 - 326,891 20% 761,061 303 LOCAL DRAINAGE 3,407 10,931,065 3,020,012 1,368,526 4,388,537 40% 2,784,473 304 LOCAL DRAIN. NON-AB1600 264 505,176 33,739 - 33,739 7% 166,152 306 AGRICULTURE & OPEN SPACE PRESERVATIO 128,157 10,680 64,078 - 64,078 50% 48,800 308 STREET CIP 702,305 4,992,517 3,794,603 954,760 4,749,363 95% 4,266,504 309 TRAFFIC IMPACT 2,539,105 4,593,527 3,146,056 262,278 3,408,333 74% 536,948 315 PUBLIC SAFETY FACILITIES IMPACT 595,552 8,993,315 4,317,976 3,325,585 7,643,561 85% 1,255,547 346 PUBLIC FAC.NON AB1600 401 1,652,085 30,061 215,744 245,805 15% 56,362 347 PUBLIC FACILITIES IMPACT 2,458 1,444,333 357,446 1,010,368 1,367,815 95% 84,639 348 LIBRARY IMPACT 226,135 2,713,615 1,356,807 - 1,356,807 50% 111,175 350 UNDERGROUNDING 103 401,505 127,839 - 127,839 32% 588 355 SCHOOL PEDESTRIAN & TRAFFIC SAFETY - - - - - n/a 21,161 360 COMM/REC CENTER IMPACT 35,688 1,430,662 298,108 461,276 759,384 53% 122,687 375 QUIMBY FEE - 6,807,980 1,048,861 2,675,990 3,724,851 55% 17,872 TOTAL CAPITAL PROJECTS FUNDS 4,240,147 49,703,945 18,479,127 10,391,374 28,870,501 58% 10,670,417

DEBT SERVICE FUNDS
420 CIVIC CENTER DEBT 284 291,714 242,171 - 242,171 83% 238,218 441 POLICE FACILITY BOND DEBT 375 385,093 328,527 - 328,527 85% 323,166 TOTAL DEBT SERVICE FUNDS 659 676,807 570,698 570,698 - 84% 561,384

City of Morgan Hill
Year to Date Expenses - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete

CURRENT

FUND MONTH PERCENT OF
NO. FUND/ACTIVITY ACTUAL AMENDED YTD OUTSTANDING TOTAL TOTAL TO PRIOR

EXPENSES BUDGET EXPENSES ENCUMBRANCE ALLOCATED BUDGET YTD

ENTERPRISE FUNDS
SEWER
640 WASTEWATER OPERATIONS 1,391,921 16,796,487 8,255,014 41,990 8,297,004 49% 6,831,961 641 WASTEWATER CAPITAL EXPANSION 94,677 7,897,156 2,551,870 930,222 3,482,092 44% 3,898,788 642 WASTEWATER RATE STABILIZATION 164 1,966 983 - 983 50% 936 643 WASTEWATER CAPITAL PROJECTS 23,929 11,224,791 1,734,354 3,824,540 5,558,895 50% 2,229,373 TOTAL SEWER FUND(S) 1,510,691 35,920,399 12,542,221 4,796,753 17,338,974 48% 12,961,058 WATER
Water Operations 1,621,966 19,715,654 8,979,543 449,250 9,428,792 48% 8,645,556 Utility Billing 133,840 1,502,560 638,217 37,413 675,630 45% 488,785 Water Conservation 18,031 416,169 175,196 19,288 194,484 47% 183,574 650 WATER OPERATIONS 1,773,837 21,634,383 9,792,957 505,950 10,298,907 48% 9,317,915 651 WATER CAPITAL EXPANSION 146,005 4,406,112 466,478 3,033,911 3,500,389 79% 413,298 652 WATER RATE STABILIZATION 123 1,473 736 - 736 50% 702 653 WATER-CAPITAL PROJECTS 221,602 19,944,363 1,052,005 8,432,926 9,484,931 48% 1,259,676 TOTAL WATER FUND(S) 2,141,567 45,986,331 11,312,176 11,972,788 23,284,964 51% 10,991,590 TOTAL ENTERPRISE FUNDS 3,652,258 81,906,730 23,854,397 16,769,541 40,623,938 50% 23,952,649

INTERNAL SERVICE FUNDS
730 INFORMATION SYSTEMS 158,098 2,961,976 1,221,299 34,162 1,255,461 42% 1,232,201 740 BUILDING MAINTENANCE 83,632 1,506,259 594,395 85,739 680,133 45% 463,057 741 BUILDING REPLACEMENT 56,376 1,351,684 658,014 103,924 761,939 56% 39,456 745 CIP ADMINISTRATION 190,520 2,584,581 1,151,286 5,092 1,156,378 45% 870,736 760 UNEMPLOYMENT - 15,000 3,922 - 3,922 26% 11,826
770 WORKERS COMPENSATION 31,219 946,245 670,141 - 670,141 71% 646,937 790 EQUIPMENT REPLACEMENT 64,307 1,400,191 788,038 189,596 977,634 70% 110,400 791 EMPLOYEE BENEFITS FUND 272,940 1,000,000 425,006 - 425,006 43% 333,131 795 GEN. LIABILITY INSURANCE 28,512 2,411,618 2,104,149 - 2,104,149 87% 2,361,758 TOTAL INTERNAL SERVICE FUNDS 885,605 14,177,554 7,616,250 418,512 8,034,762 57% 6,069,501 REPORT TOTAL 14,390,754 $ 228,572,055 $ 84,996,335 $ 34,950,323 $ 119,946,658 $ 52% 74,692,568 $

City of Morgan Hill
Fund Activity Summary - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete
Beginning Year to-Date
Fund Fund Balance YTD % of YTD % of Deficit or
No. Fund Description 07-01-24 Actual Budget Actual Budget Carryover Reserved1 Unreserved 010 GENERAL FUND 31,073,823 $ 17,689,623 $ 31% 28,391,544 $ 44% (10,701,921) $ 3,571,800 $ 16,800,102 $ TOTAL GENERAL FUND $ 31,073,823 $ 17,689,623 31% $ 28,391,544 44% $ (10,701,921) $ 3,571,800 $ 16,800,102 202 STREET MAINTENANCE 72,734 $ 380,550 45% 383,276 $ 46% $ (2,726) $ - $ 70,008 205 PUBLIC SAFETY/SUPPL. LAW 415,174 127,369 113% 50,677 46% 76,692 491,866 - 206 DEVELOPMENT SERVICES (1,144,436) 3,080,106 52% 2,958,999 46% 121,107 366,551 (1,389,880) 207 LONG RANGE PLANNING 1,306,215 440,021 25% 451,258 14% (11,237) 975,547 319,430 215 / 216 CDBG 32,500 1,249 108% 50% 44 1,205 - 33,705
225 ASSET SEIZURE 104,495 1,904 68% 50% 410 1,493 105,988 - 229 LIGHTING AND LANDSCAPE 216,005 3,976 2% 95,806 45% (91,831) 19,229 104,945 230 COMMUNITY FACILITIES DISTRICT 162,519 2,982 10% 11,706 50% (8,724) 153,795 - 232 ENVIRONMENTAL PROGRAMS 488,875 234,966 47% 187,655 41% 47,311 9,069 527,117 234 MOBILE HOME PK RENT STAB. 81,475 3,007 105% 50% 476 2,531 - 84,006 235 SENIOR HOUSING 245,426 n/a - n/a - - 245,426 -
236 HOUSING MITIGATION 7,932,027 938,435 34% 618,579 28% 319,855 776,845 7,475,037 240 EMPLOYEE ASSISTANCE 62,481 4,010 309% 3,997 19% 13 - 62,494 246 COUNTYWIDE SOLID WASTE 323,153 1,145,619 n/a 691,512 26% 454,108 1,461,230 (683,969) 255 HOUSING SUCCESSOR AGENCY 3,818,193 373,579 81% 625,984 47% (252,405) 190,625 3,375,163 260 PUBLIC ART 48,471 11% 156 3,941 24% (3,785) - 44,686 TOTAL SPECIAL REVENUE FUNDS $ 14,165,307 $ 6,737,928 45% $ 6,084,319 35% $ 653,608 $ 3,799,096 $ 11,019,820 301 PARK DEV. IMPACT FUND $ 2,008,148 $ 1,777,491 89% 556,649 $ 16% 1,220,842 $ $ 116,847 $ 3,112,144 302 PARK MAINTENANCE 2,489,205 48,566 313% 326,891 20% (278,325) 2,210,880 - 303 LOCAL DRAINAGE 9,621,788 384,795 27% 3,020,012 28% (2,635,216) 1,368,526 5,618,046 304 LOCAL DRAINAGE/NON-AB1600 1,233,420 132,256 53% 33,739 7% 98,518 1,331,938 - 306 AG. AND OPEN SPACE PRESERVATION 672,578 408,145 2211% 64,078 50% 344,067 1,016,645 - 308 STREET CIP 4,287,249 1,632,807 42% 3,794,603 76% (2,161,796) 954,760 1,170,693 309 TRAFFIC IMPACT FUND 3,808,198 1,766,062 37% 3,146,056 68% (1,379,993) 262,278 2,165,927 315 PUBLIC SAFETY FACILITIES IMPACT (1,553,435) 4,985,539 41% 4,317,976 48% 667,562 3,325,585 (4,211,458) 346 PUBLIC FACILITIES NON-AB1600 2,184,388 164,447 87% 30,061 2% 134,385 215,744 2,103,029 347 PUBLIC FACILITIES IMPACT FUND 1,328,671 309,887 69% 357,446 25% (47,559) 1,010,368 270,744 348 LIBRARY IMPACT FUND 2,254,117 1,264,438 89% 1,356,807 50% (92,370) 2,161,747 - 350 UNDERGROUNDING 1,768,551 32,801 44% 127,839 32% (95,039) 1,673,512 - 355 SCHOOL PEDESTRIAN/TRAFFIC SFTY - n/a - n/a - - - -
360 COMM/REC CTR IMPACT FUND 2,297,534 2,308,603 92% 298,108 21% 2,010,495 461,276 3,846,753 375 QUIMBY FEE 3,984,952 1,245,099 47% 1,048,861 15% 196,238 2,675,990 1,505,200 TOTAL CAPITAL PROJECT FUNDS $ 36,385,364 $ 16,460,937 52% $ 18,479,127 37% $ (2,018,190) $ 10,391,374 $ 23,975,800 420 CIVIC CENTER DEBT $ 183,038 $ 150,635 50% 242,171 $ 83% (91,536) $ $ 249,367 $ (157,865) 441 POLICE FACILITY BOND DEBT 163,896 192,549 49% 328,527 85% (135,978) 317,377 (289,459) TOTAL DEBT SERVICE FUNDS $ 346,934 $ 343,184 50% $ 570,698 84% $ (227,514) $ 566,743 $ (447,323) 640 WASTEWATER OPERATIONS $ 3,983,038 $ 7,065,026 42% 8,255,014 $ 49% (1,189,988) $ 41,990 2,751,060 641 WASTEWATER IMPACT FUND* 18,629,828 8,292,785 70% 2,551,870 32% 5,740,915 930,222 23,440,521 642 WASTEWATER RATE STABILIZATION 3,121,932 58,084 53% 50% 57,101 983 3,179,033 - 643 WASTEWATER CAPITAL PROJECTS 17,703,049 3,512,195 57% 1,734,354 15% 1,777,841 3,824,540 15,656,349 650 WATER OPERATIONS 4,083,455 9,885,874 46% 9,792,957 45% 92,917 505,950 3,670,422 651 WATER IMPACT FUND* 3,852,318 2,990,340 76% 466,478 11% 2,523,862 3,033,911 3,342,269 652 WATER RATE STABILIZATION 3,337,806 62,796 54% 50% 62,060 736 3,399,866 - 653 WATER -CAPITAL PROJECT 18,694,610 3,343,127 32% 1,052,005 5% 2,291,122 8,432,926 12,552,806 TOTAL ENTERPRISE FUNDS $ 73,406,036 $ 35,210,227 50% $ 23,854,397 29% $ 11,355,830 $ 16,769,541 $ 67,992,325 730 INFORMATION SERVICES $ 656,565 $ 1,443,188 50% 1,221,299 $ 41% 221,889 $ $ 34,162 $ 844,292 740 BUILDING MAINTENANCE 94,619 712,683 50% 594,395 39% 118,289 85,739 127,169 741 BUILDING REPLACEMENT 5,083,004 532,641 51% 658,014 49% (125,373) 103,924 4,853,707 745 CIP ENGINEERING 8,329 1,332,835 52% 1,151,286 45% 181,549 5,092 184,787 760 UNEMPLOYMENT 284,229 5,091 50% 3,922 26% 1,169 285,398 - 770 WORKERS COMPENSATION 2,381,319 514,216 44% 670,141 71% (155,925) 30,000 2,195,394 790 EQUIPMENT REPLACEMENT 8,727,549 906,096 53% 788,038 56% 118,057 189,596 8,656,011 791 EMPLOYEE BENEFITS FUNDS 26,248 573,249 48% 425,006 43% 148,243 174,491 - 795 GEN. LIABILITY INSURANCE 984,307 1,254,101 50% 2,104,149 87% (850,047) 134,260 - TOTAL INTERNAL SERVICE FUNDS $ 18,246,169 $ 7,274,101 50% $ 7,616,250 54% $ (342,149) $ 448,512 $ 17,455,508 Revenues Expenses Preliminary Ending Fund Balance

City of Morgan Hill
Fund Activity Summary - Fiscal Year 2024-25
For the Month Ended December 31, 2024
50% of Year Complete
Beginning Year to-Date
Fund Fund Balance YTD % of YTD % of Deficit or
No. Fund Description 07-01-24 Actual Budget Actual Budget Carryover Reserved1 Unreserved Revenues Expenses Preliminary Ending Fund Balance

SUMMARY BY FUND TYPE
GENERAL FUND GROUP 31,073,823 $ 17,689,623 $ 31% 28,391,544 $ 44% (10,701,921) $ 3,571,800 $ 16,800,102 $ SPECIAL REVENUE GROUP 14,165,307 6,737,928 45% 6,084,319 35% 653,608 3,799,096 11,019,820 DEBT SERVICE GROUP 346,934 343,184 50% 570,698 84% (227,514) 566,743 (447,323) CAPITAL PROJECTS GROUP 36,385,364 16,460,937 52% 18,479,127 37% (2,018,190) 10,391,374 23,975,800 ENTERPRISE GROUP 73,406,036 35,210,227 50% 23,854,397 29% 11,355,830 16,769,541 67,992,325 INTERNAL SERVICE GROUP 18,246,169 7,274,101 50% 7,616,250 54% (342,149) 448,512 17,455,508 TOTAL ALL GROUPS 173,623,633 $ 83,716,000 $ 44% 84,996,335 $ 37% (1,280,335) $ 35,547,067 $ 136,796,231 $ For Enterprise Funds: Unrestricted fund balance = Fund balance net of fixed assets and long-term liabilities. *Unreserved fund balance includes bond proceeds reserved for projects listed in bond documents. 1 Amount restricted for encumbrances, fixed asset replacement, long-term receivables, and bond reserves.

City Manager's Signature Authority
Contracts and Agreements Between $25,000 to $60,000 Entered From 10/8/2024 to 12/31/2024 and Between $25,000 to $75,000 Entered From 1/1/2025 to 1/13/2025 Vendor Name Description of Service Begin Date End Date Department Amount Pennino Management Group
Update PG&E joint trench plans for
Valley Water PL-566 Llagas Flood
Protection 9/26/2024 12/31/2026 E&U $30,000
Center for Environmental
Health
Reusables Pilot in San Clara County
Schools 10/12/2024 6/30/2026 PS $55,000
Silicon Valley Business
Journal 2024-25 SVBJ Digital campaign 10/25/2024 3/31/2025 PS $30,747 Morgan Hill Historical
Society
MOU- Funding AssistanceMaintenance of Villa Mira Monte 10/30/2024 12/31/2024 PS $35,000 Cadence Team VMware 10/30/2024 11/14/2025 PD $29,555
South Valley Civic Theatre
Licensing of Morgan Hill Community
Playhouse 11/29/2024 12/31/2027 PS $30,580
Mighty Tree Movers
Aquatics Center Tree Relocation
Project 12/13/2024 1/31/2025 PS $27,000
Golden Bay Construction,
Inc
Fifth Street Box Culvert & Sinkhole
Repair 12/20/2024 2/15/2025 PS $39,307