Agenda packet — Murrieta City Council, February 17, 2026 (part 2 of 2)

Account Number - DDA
119

CITY OF MURRIETA
City Council Meeting Agenda
Report
2/17/2026
Agenda Item No. 5.

TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Javier Carcamo, Finance Director
PREPARED BY: Tanner Benson, Financial Analyst
SUBJECT:

Treasurer’s Report - Quarter 2 of Fiscal Year 2025/26

ABSTRACT
The Fiscal Year 2025/26 Treasurer’s Report for Quarter 2 (October-December 2025) is presented in compliance with California Government Code Section 53646(b) and the City’s Investment Policy. As of December 31, 2025, the City’sinvestment portfolio had a total market value of $158.3 million, a book value of $154.1 million, and a stable yield-to-maturity of 4.35%. The LAIF balance totaled $62.0 million, after a $60 million transfer to the account late in the quarter, and had a yield of 4.09%. The Wells Fargo Cash Sweep Program generated $980k in quarterly earnings.

RECOMMENDATION
Receive the Fiscal Year 2025/26 Treasurer’s Reports for Quarter 2 (October - December 2025).

PRIOR ACTION/VOTE
On August 19, 2025, the City Council received the Treasurer’s Report for Quarter 4 of Fiscal Year 2024/25.

On November 18, 2025, the City Council received the Treasurer’s Report for Quarter 1 of Fiscal Year 2025/26.

CITY COUNCIL GOAL
Maintain a high performing organization that values fiscal sustainability, transparency, accountability and organizational efficiency.

DISCUSSION
Pursuant to Government Code Section 53646(b) and the City of Murrieta (City) Investment Policy, the Finance Department renders a quarterly investment report to the City Council concerning the investment portfolio’s earnings and performance results. The City contracts with Chandler Asset Management to manage the City’s investment portfolio and to advise on all investment-related matters. The purpose of this report is to present CITY OF MURRIETA Printed on 2/12/2026Page 1 of 4
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Agenda Item No. 5.
the investment earnings for the period October 1, 2025, through December 31, 2025 (Quarter 2).

Total Portfolio Composition
The portfolio comprises available cash balances from over 100 separate funds. The balances are tracked in the City’sfinancial records individually, but combined for the purpose of investing cash to maximize investment returns. The City’s investment manager invests funds not needed in the near future into securities with maturities of less than five years. The City also utilizes the Local Agency Investment Fund (LAIF), an investment pool operated by the State of California and used by most cities in California to manage the City’s short-term cash flow requirements. Wells Fargo’s“Cash Sweep Program” is the City’sthird investment tool, and it allows the City to earn a return on uninvested cash balances in our General Checking Account by automatically "sweeping" cash balances into a Sweep investment vehicle until such balances are otherwise needed to satisfy obligations arising in the account. The Cash Sweep Program exclusively targets high-quality, short-term, U.S. dollar-denominated money market instruments that consist of U.S. Government obligations and repurchase agreements collateralized by U.S. Government obligations. This complies with our Investment Policy and the California Government Code Section 53607.

Investment Portfolio Performance
As of December 31, 2025, the City’stotal market value (including accrued interest) of operating funds and liquidity investments totaled $158,298,533.41. The book value, or what the City actually paid for the investments, totaled $154,118,570.17. The fair market value of the City’s portfolio, less accrued interest, totaled $156,989,004.94. The value of fixed-income securities may fluctuate with changes in interest rates. As interest rates rise, the market value of the securities may fall, and the reverse is true: when interest rates fall, the market value of the securities may rise. The difference between the book value and fair market value is recognized as an unrealized gain or loss. The unrealized gain for this reporting period is $2,870,434.76. It is important to note that a loss or gain is realized when an investment is redeemed or sold before its maturity date. In general, City’sinvestments are retained until maturity. Nonetheless, the City may elect to sell an investment before its maturity and record a capital gain or loss to manage the portfolio's quality, liquidity, or yield in response to market conditions or the City’s risk preferences. The portfolio’s total market value (including accrued interest) increased by $1,761,733.38 from the previous quarter’s end, driven by lower interest rates and higher investment income.

As of December 31, 2025, the portfolio's average yield to maturity remained at 4.35% from September 30, 2025. During the second quarter of FY 2025/26, US Treasury yields on short-term bonds declined, driven by the expectation that the Federal Reserve will cut the Fed Funds overnight rates in the near term. The 2-year US Treasury Note yield decreased to 3.48% from 3.57%, while the 5-year Treasury increased to 3.73% from

3.66% over the reporting period. The near-term economic outlook remains distorted by data delays from the government shutdown. The delayed releases reflect inflation remains moderately above the Federal Reserve’s 2% inflation target, while labor market conditions continue to soften. The portfolio’smarket value benefited from sector diversification and remains stable due to the high-quality assets it holds.

Portfolio Duration
The investment portfolio had an average duration of 1.81 years as of December 31, 2025. The portfolio duration remains within an acceptable range. The City continues to implement a disciplined, conservative approach to its portfolio amid financial market volatility.

Asset Allocation
The investment portfolio is allocated in compliance with California Government Code 53601. The sector allocation of the portfolio on December 31, 2025, was 18.45% in US Government Agency bonds, 25.00% in high-grade Corporate Bonds, 36.89% in U.S. Treasury bonds, 8.35% in Asset-Backed Securities (ABS), 1.17% in Supranational, 10.03% in Agency Collateralized Mortgage-Backed Securities, and 0.10% in Money Market Fund. Supranational is a financial institution owned by member countries to promote international CITY OF MURRIETA Printed on 2/12/2026Page 2 of 4
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Agenda Item No. 5.
development.

The following pie chart summarizes the asset allocation by sector. (The chart above may not sum to 100% due to rounding.)
Maturity Distribution
As of September 30, 2025, approximately 28.00% of the portfolio will mature in less than 1 year, 27.00% in 1-2 years, 32.00% in 2-3 years, and 12.80% in 3-4 years. The City’sportfolio maintains liquidity through bank deposits, money market funds, and local government investment pools to meet its near-term liquidity needs. (The chart above may not sum to 100% due to rounding.)
LAIF Balance
Funds deposited with LAIF serve as the City’ssavings account, enabling the regular investment of short-term cash balances. LAIF complements our investment program by maximizing the earnings on liquid balances not needed for immediate disbursement. It also allows the City’sinvestment manager to focus on maximizing the return on its longer-term investments.

The balance in LAIF, as of December 31, 2025, was $62,043,673.26. The annual yield on the LAIF portfolio was 4.090%, down 0.344% from the 4.434% earned at the end of December 2024.

Wells Fargo Cash Sweep Program
The Cash Sweep Program may include fixed, floating, or variable interest rates. The security selections for the Cash Sweep Program are based on several factors, including credit quality, yield, and maturity, while considering the fund’s overall liquidity and its weighted average maturity. The securities purchased are considered to present minimal credit risk. For the quarter ending December 31, 2025, total earnings from the CITY OF MURRIETA Printed on 2/12/2026Page 3 of 4
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Agenda Item No. 5.

Cash Sweep Program were $980,071.77, with an Average Daily Yield of 3.904%.

The graph below compares the investment yields for the Investment Portfolio, LAIF, and the Cash Sweep Program for the period ending December 31, 2024, to December 31, 2025. As shown in the table below, investment yields are responding to the Fed's rate reductions. The yield has decreased by approximately 50 basis points on average compared to last year.

This report presents only the results of the operating portfolio managed by Chandler Asset Management, LAIF, and the Cash Sweep Program. The City’s and developer bond portfolios are available for review in the Finance Department or may be sent to the City Council upon request.

In compliance with the California Government Code Section 53646, the Treasurer of the City of Murrieta hereby certifies that sufficient investment liquidity and anticipated revenues are available to meet the City’s budgeted expenditure requirements for the subsequent six months, January through June 2026. All investments in the City’s portfolio comply with state law and the City’s adopted Investment Policy.

FISCAL IMPACT
There is no fiscal impact associated with the recommended action.

ATTACHMENTS
ATT 1 - City of Murrieta Investment Report December 31, 2025 ATT 2 - LAIF Regular Monthly Statement December 31, 2025 ATT 3 - Wells Fargo Sweep Account Statements for October, November, and December 31, 2025 ATT 4 - Portfolio Composition Chart as of December 31, 2025 CITY OF MURRIETA Printed on 2/12/2026Page 4 of 4
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INVESTMENT REPORT
City of Murrieta | As of December 31, 2025
CHANDLER ASSET MANAGEMENT | chandlerasset.com
Chandler Team:

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

ECONOMIC UPDATE

ACCOUNT PROFILE

PORTFOLIO HOLDINGS

TRANSACTIONS
1 125

ECONOMIC UPDATE
2 126
▪
▪
▪
The near-term economic outlook continues to be distorted by the data delays from the government shutdown. Recently released government data—reflecting conditions from two to three months ago—indicate inflation remains moderately above the Federal Reserve’s target, while labor market conditions have continuedto soften. As the flow of economic data normalizes, the Chandler team expects further yield curve steepening as the Federal Reserve moves the policy rate toward a more neutral range. U.S. trade and fiscal policy also remain sources of elevated market uncertainty.

The Federal Reserve's December Federal Open Market Committee meeting concluded with the third consecutive 25-basis-point rate cut in 2025, lowering the target range to 3.50%–3.75%. However, policymakers remain divided on the path forward. Four Fed governors project one additional 25-basis-point cut in 2026, another four anticipateno further easing, eight expect multiple cuts, and three call for a potential rate hike. Chair Jerome Powell noted that the Fed is now “well placed to wait and see” how labor market conditions and inflation evolve in the near term.

The US Treasury yield curve steepened in December, as the 2-year Treasury yield dropped 2 basis points to 3.48%, the 5-year Treasury was up 13 basis points to 3.73%, and the 10-year Treasury yield was 15 basis points higher at 4.17%. The spread between the 2-year and 10- year Treasury yield points on the curve was 17 basis points wider from November at +69 basis points at December month-end. The spread between the 2-year Treasury and 10-year Treasury yield one year ago was +33 basis points. The spread between the 3-month and 10-year Treasury yield points on the curve was +54 basis points in December versus +21 basis points in November.

ECONOMIC UPDATE
3 127
-400
-200
0 200
400
600
800
1,000MOM Change In Thousands (000's)
Nonfarm Payroll (000's)
Non-farm Payroll (000's)
3-month average (000's)
-1.0%

3.0%

7.0%

11.0%

15.0%
Unemployment Rate
Underemployment Rate (U6)
Unemployment Rate (U3)
Rate (%)
The December Nonfarm Payrolls report showed weaker-than-expected job growth, with payrolls rising by 50,000 compared with the consensus estimate of 70,000. This follows a downwardly revised gain of 56,000 in November. Employment declines were most pronounced in retail trade and construction, while leisure and hospitality posted the strongest gains. Notably, the unemployment rate edged down to 4.4% after increasing to 4.6% in November.

Source: US Department of Labor Source: US Department of Labor

EMPLOYMENT
4 128
0 2,000
4,000
6,000
8,000
10,000
12,000
14,000
Job Openings
Recession
Historical Average
In Thousands (000's)
The Labor Department’s Job Openings and Labor Turnover Survey (JOLTS) reported that job openings fell to 7.1 million in November from a downwardly revised 7.4 millionin October. The dropin vacancies, alongside slower hiring, suggests the labor market continues to soften, though employers remain cautious about laying off workers. The number of openings now roughly matches the number of unemployed individuals, pointing to a labor market that is approaching equilibrium.

Source: US Department of Labor

JOB OPENINGS & LABOR TURNOVER SURVEY
5 129

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%
Consumer Price Index (CPI)
CPI YOY % Change
Core CPI YOY % Change
YOY (%) Change

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%
Personal Consumption Expenditures (PCE)
PCE Price Deflator
YOY % Change
PCE Core Deflator
YOY % Change
Fed Target
YOY (%) Change
Inflation came in lower than expectedin November, with the Consumer Price Index (CPI) rising 2.7% year over year and core CPI easing to

2.6%. Notably, both Owners’ Equivalent Rent and Rent of Primary Residence contributed to the slowdown in services inflation. Shelter costs typically lag broader market trends by 12 to 18 months. Services, meanwhile, have remained the dominant driver of inflation throughout the post-pandemic period. The Personal Consumption Expenditures (PCE) Index for September, released on December 5, showed headline inflation up 0.3% from August and 2.8% year over year. Core PCE rose 0.2% on the month and 2.8% on an annual basis.

Source: US Department of Labor Source: US Department of Commerce

INFLATION
6 130

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%
Retail Sales YOY % Change
YOY (%) Change
October Retail Sales, released with a one-month delay, were flat from the prior month but up 3.5% year over year. Eight of thirteen major categories posted gains, while motor vehicle sales declined following the expiration of federal tax incentives for electric vehicles, and gas station sales weakened amid lower fuel prices. The government shutdown may have weighed on consumer confidence regarding jobs, incomes, and overall financial conditions, both current and in the future. The Conference Board’s Consumer Confidence Index declined to

89.1 in December from an upwardly revised 92.9 in November, marking its fifth consecutive monthly drop. Consumers were pessimistic about both business conditions and the labor market.
0 20
40 60
80 100
120
140
160
Index Level
Consumer Confidence
Recession
Source: US Department of Commerce Source: The Conference Board All time high is 144.70 (1/31/00); All time low is 25.30 (2/28/09)

CONSUMER
7 131
-25.0%
-20.0%
-15.0%
-10.0%
-5.0%

0.0%

5.0%

10.0%

15.0%
Leading Economic Indicators (LEI)
Recession
YOY (%) Change
-1.00
-0.75
-0.50
-0.25

0.00 0.25

0.50 0.75

1.00 Chicago Fed National Activity Index (CFNAI)
Recession
3 Month Average
The Conference Board’s Leading Economic Index (LEI) declined 0.3% in September, marking its second consecutive monthly decrease after a revised 0.3% drop in August. On a year-over-year basis, the index fell 3.3%. According to the Conference Board, weakening expectations among consumers and businesses contributed most to the LEI’s overall decline. The index continues to signal slower economic growth through the end of 2025 and into 2026. The Chicago Fed National Activity Index (CFNAI) came in at -0.21 in September, following a downwardly revised -0.31 in August, signaling that U.S. economic activity remained below its historical trend for the sixth consecutive month. The three-month moving average ticked down to -0.21 in September from -0.18 in August, reinforcing signs of ongoing below-trend national growth. Employment-related indicators turned slightly positive, contributing +0.01 in September after a -0.11 result in August.

Source: The Conference Board Source: Federal Reserve Bank of Chicago

LEADING INDICATORS OF ECONOMIC ACTIVITY
8 132
0 200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2,200
2,400
In Thousands of Units
Annualized Housing Starts
Multi Family Housing Starts
Single Family Housing Starts
The S&P Cotality Case-Shiller 20-City Composite Home Price Index rose 1.3% year over year in October, slightly down from a 1.4% gain in September and marking the slowest annual increase since mid ‑2023. Short-term momentum also weakened, with 80 percent of the 20 tracked markets recording month-over-month price declineson a non-seasonally adjusted basis. Housing starts declined in October to an annualized rate of 1.25 million units, down from 1.29 million in September. Existing home sales inched higher in November to a 4.13 million-unit pace, indicating only modest improvement despite some relief in mortgage rates. The Freddie Mac 30‑year fixed mortgage rate fell throughout 2025 and averaged 6.18% at the end of December.

Source: US Department of Commerce Source: S&P
-20.0%
-16.0%
-12.0%
-8.0%
-4.0%

0.0%

4.0%

8.0%

12.0%

16.0%

20.0%

24.0%
S&P/Case-Shiller 20 City Composite Home Price Index
Recession
YOY (%) Change

HOUSING
9 133
40 45
50 55
60 65
70 Institute of Supply Management (ISM) Surveys
ISM Manufacturing ISM Services

EXPANDING

CONTRACTING
The Institute for Supply Management’s (ISM) manufacturing index slipped to 47.9 in December, down from 48.2 in November, marking continued weakness across the sector. Manufacturing activity has now been in contraction for 36 of the past 38 months, as readings below 50 indicate contraction and those above50 signal expansion. The latest decline was driven primarily by pullbacks in the Production and Inventories components. In contrast, the ISM services index remained in expansion territory, rising to 54.4 in December from 52.6 in November. Respondents attributed the improvementto seasonal strength, though many remained cautious about the potential impact of tariffs.

Source: Institute for Supply Management

SURVEY BASED MEASURES
10 134
Components of GDP 12/24 3/25 6/25 9/25

2.6% 0.4% 1.7% 2.4%
-1.3% 3.8% -2.7% 0.0%
-0.1% -4.7% 4.8% 1.6%

0.3% -0.4% -0.4% 0.2%

0.3% 0.2% 0.3% 0.2%

1.9% -0.6% 3.8% 4.3%
State and Local (Consumption and Gross
Investment)
Personal Consumption Expenditures
Gross Private Domestic Investment
Net Exports and Imports
Federal Government Expenditures
Total
-10.0%

0.0%

10.0%

20.0%

30.0%

40.0%
Gross Domestic Product (GDP)
GDP QOQ % Change
GDP YOY % Change
Source: US Department of Commerce Source: US Department of Commerce The U.S. inflation adjusted gross domestic product (GDP) report demonstrated continued strength in the third quarter, with the first estimate showing a 4.3% annualized quarter-over-quarter increase, up from 3.8% in the second quarter. Consumer spending accelerated, while exports contributed 1.6 percentage points to growth—both key drivers of the quarter’s performance. The stronger-than-expected result represented the fastest pace of U.S. economic expansion in two years. The consensus projection calls for 1.1% growth in the fourth quarter and 2.0% growth for the full year 2025.

GROSS DOMESTIC PRODUCT (GDP)
11 135
Source: Federal Reserve Source: Bloomberg
0 1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
10,000,000
Federal Reserve Balance Sheet Assets
Recession
In $ millions
The Federal Reserve lowered its benchmark interest rate by a quarter point to a target range of 3.50% to 3.75% at its December meeting, citing concerns about emerging weakness in the labor market. A few policymakers dissented, arguing that tighter monetary policy may still be warranted to ensure progress on price stability. Beginning December 1, the Fed also halted its balance sheet runoff, announcing that principal and interest payments from its holdings will be reinvested in Treasury securities to maintain ample reserves and support market stability.

FEDERAL RESERVE

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%
Effective Federal Funds Rate
Recession
Yield (%)
12 136
Source: Bloomberg Source: Bloomberg

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%
US Treasury Note Yields
2-Year
5-Year
10-Year
Yield (%)

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%
US Treasury Yield Curve
Dec-25
Sep-25
Dec-24
Yield (%)
At the end of December, the 2-year yield was 77 basis points lower, and the 10-year yield was 40 basis points lower, year-over-year. The spread between the 2-year and 10-year Treasury yield points on the curve increased to +69 basis points at December month-end versus +52 basis points at November month-end. The prior 2-year/10-year yield curve inversion, which spanned from July 2022 to August 2024, was historically long. The average historical spread (since 2005) is about +95 basis points. The spread between the 3-month and 10-year Treasury yield points on the curve was +54 basis points in December versus +21 basis points in November.

BOND YIELDS
13 137

ACCOUNT PROFILE
14 138

OBJECTIVES
Investment Objectives
The City of Murrieta's investment objectives, in order of priority, are to provide safety to ensure the preservation of capital in the overall portfolio, provide sufficient liquidity for cash needs and a market rate of return consistent with the investment program.

Chandler Asset Management Performance Objective
The performance objective for the portfolio is to achieve a rate of return over a market cycle that equals or exceeds the return on a market index of similar duration and sector allocation.

Strategy
In order to achieve these objectives, the portfolio invests in high quality fixed income securities consistent with the investment policy and California Government Code. 15 139

STATEMENT OF COMPLIANCE
City of Murrieta | Account | As of December 31, 2025
Rules Name Limit Actual Compliance
Status Notes

AGENCY MORTGAGE SECURITIES
Max % (MV) 20.0 10.0 Compliant
Max % Issuer (MV) 30.0 10.0 Compliant
Max Maturity (Years) 5.0 4.2 Compliant

ASSET-BACKED SECURITIES (ABS)
Max % (MV) 20.0 8.4 Compliant
Max % Issuer (MV) 5.0 0.8 Compliant
Max Maturity (Years) 5 4 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant

BANKERS' ACCEPTANCES
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 180 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

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

COLLATERALIZED TIME DEPOSITS (NON-

NEGOTIABLE CD/TD)
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Years) 5.0 0.0 Compliant

COMMERCIAL PAPER
Max % (MV) 40.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
Max Maturity (Days) 270 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant

CORPORATE MEDIUM TERM NOTES
Max % (MV) 30.0 25.0 Compliant
16 140

STATEMENT OF COMPLIANCE
City of Murrieta | Account | As of December 31, 2025
Rules Name Limit Actual Compliance
Status Notes
Max % Issuer (MV) 5.0 1.3 Compliant
Max Maturity (Years) 5 3 Compliant
Min Rating (A- by 1) 0.0 0.0 Compliant

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

FEDERAL AGENCIES
Max % (MV) 100.0 18.5 Compliant
Max % Issuer (MV) 30.0 11.5 Compliant
Max Callables (MV) 20.0 0.0 Compliant
Max Maturity (Years) 5 2 Compliant

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

MONEY MARKET MUTUAL FUNDS
Max % (MV) 20.0 0.1 Compliant
Max % Issuer (MV) 10.0 0.1 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant

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

MUTUAL FUNDS
Max % (MV) 20.0 0.0 Compliant
Max % Issuer (MV) 10.0 0.0 Compliant
Min Rating (AAA by 2) 0.0 0.0 Compliant

NEGOTIABLE CERTIFICATES OF DEPOSIT (NCD)
Max % (MV) 30.0 0.0 Compliant
Max % Issuer (MV) 5.0 0.0 Compliant
17 141

STATEMENT OF COMPLIANCE
City of Murrieta | Account | As of December 31, 2025
Rules Name Limit Actual Compliance
Status Notes
Max Maturity (Years) 5 0.0 Compliant
Min Rating (A-1 by 1 or A- by 1 if > FDIC Limit) 0.0 0.0 Compliant

REPURCHASE AGREEMENTS
Max % (MV) 20.0 0.0 Compliant
Max Maturity (Years) 1.0 0.0 Compliant

SUPRANATIONAL OBLIGATIONS
Max % (MV) 30.0 1.2 Compliant
Max % Issuer (MV) 10.0 1.2 Compliant
Max Maturity (Years) 5 2 Compliant
Min Rating (AA- by 1) 0.0 0.0 Compliant
U.S. TREASURIES
Max % (MV) 100.0 36.9 Compliant
Max Maturity (Years) 5 4 Compliant
18 142

PORTFOLIO CHARACTERISTICS
City of Murrieta | Account | As of December 31, 2025
Benchmark* 12/31/2025
Portfolio
9/30/2025
Portfolio
Average Maturity (yrs) 1.85 2.13 2.13
Average Modified Duration 1.76 1.81 1.81
Average Purchase Yield 4.35% 4.35%
Average Market Yield 3.50% 3.69% 3.83%
Average Quality** AA+ AA+ AA+
Total Market Value 158,298,533 156,536,800
*Benchmark: ICE BofA 1-3 Year US Treasury Index
**The credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch. 19 143

SECTOR DISTRIBUTION
City of Murrieta | Account | As of December 31, 2025
Sector as a Percentage of Market Value
Sector 12/31/2025 09/30/2025
US Treasury 36.89% 36.33%
Corporate 25.00% 24.49%
Agency 18.45% 18.63%
Agency CMBS 10.03% 10.10%
ABS 8.35% 8.44%
Supras 1.17% 1.18%
Money Mkt Fd 0.10% 0.82%
20 144

ISSUERS
City of Murrieta | Account | As of December 31, 2025
Issuer Investment Type % Portfolio
United States US Treasury 36.89%
Federal Home Loan Banks Agency 11.50%
FHLMC Agency CMBS 10.03%
Farm Credit System Agency 6.95%
Massachusetts Mutual Life Insurance Corporate 1.34%
New York Life Insurance Company Corporate 1.26%
American Express Credit Master Trust ABS 1.22%
International Bank for Recon and Dev Supras 1.17%
Public Service Enterprise Group Inco Corporate 1.11%
Deere & Company Corporate 1.10%
JPMorgan Chase & Co. Corporate 1.01%
Bank of Montreal Corporate 0.97%
National Rural Utilities Cooperative Corporate 0.97%
PepsiCo, Inc. Corporate 0.97%
Florida Power & Light Corporate 0.97%
Cisco Systems, Inc. Corporate 0.97%
Air Products and Chemicals, Inc. Corporate 0.93%
PACCAR Inc Corporate 0.93%
BMW Vehicle Lease Trust ABS 0.86%
U.S. Bancorp Corporate 0.86%
Chase Issuance Trust ABS 0.85%
The Home Depot, Inc. Corporate 0.84%
Eli Lilly and Company Corporate 0.80%
Royal Bank of Canada Corporate 0.80%
UnitedHealth Group Incorporated Corporate 0.79%
State Street Corporation Corporate 0.78%
WF Card Issuance Trust ABS 0.78%
Verizon Master Trust ABS 0.67%
Honda Auto Receivables Owner Trust ABS 0.66%
John Deere Owner Trust ABS 0.65%
21 145

ISSUERS
City of Murrieta | Account | As of December 31, 2025
Issuer Investment Type % Portfolio
Toyota Motor Corporation Corporate 0.64%
Bank of America Corporation Corporate 0.64%
Met Tower Global Funding Corporate 0.64%
Northwestern Mutual Global Funding Corporate 0.64%
Northern Trust Corporation Corporate 0.64%
Caterpillar Inc. Corporate 0.64%
Apple Inc. Corporate 0.64%
Duke Energy Corporation Corporate 0.64%
Chubb Limited Corporate 0.64%
Amazon.com, Inc. Corporate 0.63%
GM Financial Automobile Leasing Trus ABS 0.60%
Mercedes-Benz Auto Lease Trust ABS 0.57%
Mercedes-Benz Auto Receivables Trust ABS 0.50%
Blackrock, Inc. Corporate 0.48%
BMW Vehicle Owner Trust ABS 0.38%
Hyundai Auto Receivables Trust ABS 0.38%
Morgan Stanley Corporate 0.37%
Target Corporation Corporate 0.37%
GM Financial Securitized Term ABS 0.24%
First American Govt Oblig Fund Money Mkt Fd 0.10%
Cash Cash 0.00%
TOTAL 100.00%
22 146

QUALITY DISTRIBUTION
Rating 12/31/2025 09/30/2025
AAA 10.05% 10.85%
AA 70.96% 71.00%
A 16.48% 15.59%
NA 2.51% 2.56%
Rating 12/31/2025 09/30/2025
Aaa 7.62% 8.79%
Aa 71.38% 71.15%
A 15.85% 15.22%
NA 5.15% 4.84%
Rating 12/31/2025 09/30/2025
AAA 14.10% 14.62%
AA 67.76% 67.77%
A 7.86% 6.92%
NA 10.29% 10.69%
City of Murrieta | Account | As of December 31, 2025
S&P Rating Moody’s Rating Fitch Rating
23 147

DURATION DISTRIBUTION
City of Murrieta | Account | As of December 31, 2025
Date 0-.25 .25-.5 .5-1 1-2 2-3 3-4 4-5 5-7 7+
12/31/2025 3.7% 4.9% 19.4% 27.0% 32.0% 12.8% 0.0% 0.0% 0.0% 09/30/2025 6.0% 4.4% 15.9% 31.2% 29.4% 13.0% 0.0% 0.0% 0.0% 24 148
TOTAL RATE OF RETURN* 3 Months 12 Months 2 Years 3 Years 5 Years 10 Years Since Inception City of Murrieta 1.13% 5.48% 4.95% 4.92% 2.16% 2.29%
Benchmark 1.12% 5.09% 4.58% 4.47% 1.79% 1.94%
*Periods over 1 year are annualized.

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

Benchmark: ICE BofA 1-3 Year US Treasury Index

INVESTMENT PERFORMANCE
City of Murrieta | Account | As of December 31, 2025
Total Rate of Return : Inception | 02/01/2020
25 149

PORTFOLIO HOLDINGS
26 150

HOLDINGS REPORT
City of Murrieta | Account | As of December 31, 2025
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
ABS
36269FAD8 GMALT 2024-1 A3 5.09
03/22/2027 223,568.18 02/08/2024

5.09%
223,540.23
223,540.23
100.23

4.03%
224,073.22
347.71

0.14%
532.98
NA/AAA
AAA

1.22 0.20
05611UAD5 BMWLT 2024-1 A3 4.98
03/25/2027 551,492.47 06/20/2024

5.19%
548,562.67
548,562.67
100.24

3.75%
552,802.82
457.74

0.35%
4,240.15
Aaa/AAA
NA

1.23 0.19
36265WAD5 GMCAR 2022-3 A3 3.64
04/16/2027 880.58 07/06/2022

3.64%
880.57
880.57

99.98 4.11%
880.43

1.34 0.00%
(0.14)
Aaa/NA
AAA

1.29 0.04
58770JAD6 MBALT 2024-A A3 5.32
01/18/2028 350,000.00 05/17/2024

5.32%
349,959.05
349,959.05
100.97

4.03%
353,400.95
827.56

0.23%
3,441.90
Aaa/NA
AAA

2.05 0.72
58769GAD5 MBALT 2024-B A3 4.23
02/15/2028 545,000.00 09/17/2024

4.24%
544,908.28
544,908.28
100.22

3.97%
546,207.18
1,024.60

0.35%
1,298.90
NA/AAA
AAA

2.13 0.74
362962AD4 GMALT 2025-2 A3 4.58
05/22/2028 705,000.00 05/20/2025

4.58%
704,988.30
704,988.30
100.90

3.87%
711,326.67
986.61

0.45%
6,338.37
NA/AAA
AAA

2.39 1.18
437918AC9 HAROT 2024-1 A3 5.21
08/15/2028 1,019,577.49 02/13/2024

5.21%
1,019,533.14
1,019,533.14
100.87

4.07%
1,028,439.66
2,360.89

0.66%
8,906.52
Aaa/AAA
NA

2.62 0.72
161571HT4 CHAIT 2023-1 A 5.16 09/15/2028 1,320,000.00 09/07/2023

5.23%
1,319,634.10
1,319,634.10
100.94

3.83%
1,332,422.52
3,027.20

0.85%
12,788.42
NA/AAA
AAA

2.71 0.68
05594HAD5 BMWLT 2025-2 A3 3.97
09/25/2028 800,000.00 10/08/2025

3.97%
799,997.76
799,997.76
100.27

3.82%
802,140.00
529.33

0.51%
2,142.24
NA/AAA
AAA

2.74 1.47
47800RAD5 JDOT 2024 A3 4.96 11/15/2028 335,000.00 03/11/2024

4.96%
334,981.24
334,981.24
100.88

3.98%
337,935.61
738.49

0.22%
2,954.37
Aaa/NA
AAA

2.88 0.85
096919AD7 BMWOT 2024-A A3 5.18
02/26/2029 591,367.93 06/04/2024

5.18%
591,278.11
591,278.11
100.91

3.98%
596,765.35
510.55

0.38%
5,487.24
Aaa/AAA
NA

3.16 0.73
58768YAD7 MBALT 2025-A A3 4.61
04/16/2029 770,000.00 05/14/2025

4.61%
769,906.14
769,906.14
101.32

3.94%
780,153.22
1,577.64

0.50%
10,247.08
NA/AAA
AAA

3.29 1.84
02582JKH2 AMXCA 2024-1 A 5.23 04/16/2029 640,000.00 04/16/2024

5.23%
639,868.80
639,868.80
101.89

3.75%
652,097.92
1,487.64

0.42%
12,229.12
NA/AAA
AAA

3.29 1.22
47800DAD6 JDOT 2025 A3 4.23 09/17/2029 670,000.00 03/04/2025

4.23%
669,957.86
669,957.86
100.75

3.85%
674,998.20
1,259.60

0.43%
5,040.34
Aaa/NA
AAA

3.71 1.77
44935XAD7 HART 2025-B A3 4.36 12/17/2029 585,000.00 06/03/2025

4.36%
584,947.18
584,947.18
100.95

3.87%
590,585.00
1,133.60

0.38%
5,637.82
NA/AAA
AAA

3.96 1.79
92348KDY6 VZMT 2025-3 A1A 4.51
03/20/2030 1,050,000.00 03/25/2025

4.51%
1,049,954.85
1,049,954.85
100.79

4.13%
1,058,345.40
1,446.96

0.67%
8,390.55
Aaa/NA
AAA

4.22 1.16
27 151

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
02582JKP4 AMXCA 2025-2 A 4.28 04/15/2030 1,255,000.00 05/06/2025

4.28%
1,254,977.28
1,254,977.28
101.14

3.79%
1,269,324.57
2,387.29

0.81%
14,347.29
NA/AAA
AAA

4.29 2.14
362549AD9 GMCAR 2025-2 A3 4.28
04/16/2030 370,000.00 05/06/2025

4.28%
369,945.54
369,945.54
100.76

3.82%
372,804.23
659.83

0.24%
2,858.69
Aaa/AAA
NA

4.29 1.52
92970QAJ4 WFCIT 2025-1 A 4.34 05/15/2030 1,210,000.00 06/03/2025

4.33%
1,209,979.91
1,209,979.91
101.33

3.78%
1,226,062.75
2,333.96

0.78%
16,082.84
NA/AAA
AAA

4.37 2.21
Total ABS 12,991,886.65 4.68%
12,987,801.01
12,987,801.01
100.92

3.89%
13,110,765.68
23,098.53

8.35%
122,964.67

3.23 1.29
AGENCY
3133EPW68 FEDERAL FARM CREDIT BANKS
FUNDING CORP 4.125 01/22/2026 1,400,000.00 01/24/2024

4.40%
1,392,860.00
1,392,860.00
100.03

3.60%
1,400,355.60
25,506.25

0.89%
7,495.60
Aa1/AA+
AA+

0.06 0.06
3133ERDZ1 FEDERAL FARM CREDIT BANKS
FUNDING CORP 4.75 05/08/2026 1,000,000.00 05/20/2024

4.87%
997,690.00
997,690.00
100.39

3.60%
1,003,902.00
6,993.06

0.64%
6,212.00
Aa1/AA+
AA+

0.35 0.35
3130AWLZ1 FEDERAL HOME LOAN BANKS 4.75
06/12/2026 2,000,000.00 08/16/2023

4.78%
1,998,620.00
1,998,620.00
100.48

3.63%
2,009,694.00
5,013.89

1.28%
11,074.00
Aa1/AA+
AA+

0.45 0.44
3133EPZY4 FEDERAL FARM CREDIT BANKS
FUNDING CORP 5.0 07/30/2026 2,000,000.00 11/09/2023

4.85%
2,007,480.00
2,007,480.00
100.73

3.71%
2,014,532.00
41,944.44

1.28%
7,052.00
Aa1/AA+
AA+

0.58 0.56
3133EPSW6 FEDERAL FARM CREDIT BANKS
FUNDING CORP 4.5 08/14/2026 2,405,000.00 08/09/2023

4.58%
2,399,468.50
2,399,468.50
100.55

3.59%
2,418,191.43
41,185.63

1.54%
18,722.93
Aa1/AA+
AA+

0.62 0.60
3130AWTQ3 FEDERAL HOME LOAN BANKS

4.625 09/11/2026 4,500,000.00 --

4.81%
4,476,030.00
4,476,030.00
100.69

3.60%
4,531,023.00
63,593.75

2.89%
54,993.00
Aa1/AA+
AA+

0.70 0.67
3130AXU63 FEDERAL HOME LOAN BANKS

4.625 11/17/2026 1,750,000.00 11/30/2023

4.53%
1,754,427.50
1,754,427.50
100.85

3.62%
1,764,946.75
9,892.36

1.12%
10,519.25
Aa1/AA+
AA+

0.88 0.85
3130AYPN0 FEDERAL HOME LOAN BANKS

4.125 01/15/2027 2,000,000.00 01/30/2024

4.21%
1,995,560.00
1,995,560.00
100.64

3.49%
2,012,804.00
38,041.67

1.28%
17,244.00
Aa1/AA+
AA+

1.04 0.99
3133EP6K6 FEDERAL FARM CREDIT BANKS
FUNDING CORP 4.5 03/26/2027 1,000,000.00 04/08/2024

4.66%
995,520.00
995,520.00
101.18

3.51%
1,011,786.00
11,875.00

0.64%
16,266.00
Aa1/AA+
AA+

1.23 1.18
3130B0TY5 FEDERAL HOME LOAN BANKS 4.75
04/09/2027 1,500,000.00 04/10/2024

4.84%
1,496,115.00
1,496,115.00
101.68

3.38%
1,525,243.50
16,229.17

0.97%
29,128.50
Aa1/AA+
AA+

1.27 1.21
3133ERFJ5 FEDERAL FARM CREDIT BANKS
FUNDING CORP 4.5 05/20/2027 1,000,000.00 05/20/2024

4.69%
994,830.00
994,830.00
101.31

3.52%
1,013,122.00
5,125.00

0.65%
18,292.00
Aa1/AA+
AA+

1.38 1.33
28 152

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
3130ATS57 FEDERAL HOME LOAN BANKS 4.5
03/10/2028 3,000,000.00 03/24/2025

4.02%
3,039,480.00
3,039,480.00
102.09

3.50%
3,062,718.00
41,625.00

1.95%
23,238.00
Aa1/AA+
AA+

2.19 2.05
3130AWC24 FEDERAL HOME LOAN BANKS 4.0
06/09/2028 2,000,000.00 07/06/2023

4.49%
1,956,940.00
1,956,940.00
101.12

3.52%
2,022,358.00
4,888.89

1.29%
65,418.00
Aa1/AA+
AA+

2.44 2.30
3130AVVX7 FEDERAL HOME LOAN BANKS 3.75
06/09/2028 1,120,000.00 06/07/2023

4.00%
1,107,243.20
1,107,243.20
100.56

3.51%
1,126,301.12
2,566.67

0.72%
19,057.92
Aa1/AA+
AA+

2.44 2.31
3133EPWK7 FEDERAL FARM CREDIT BANKS
FUNDING CORP 4.5 09/22/2028 2,000,000.00 10/12/2023

4.71%
1,981,460.00
1,981,460.00
102.44

3.55%
2,048,888.00
24,750.00

1.31%
67,428.00
Aa1/AA+
AA+

2.73 2.52
Total Agency 28,675,000.00 4.56%
28,593,724.20
28,593,724.20
101.02

3.56%
28,965,865.40
339,230.76

18.45%
372,141.19

1.22 1.15

AGENCY CMBS
3137BSP72 FHMS K-058 A2 2.653 08/25/2026 2,000,000.00 02/09/2023

4.35%
1,890,546.88
1,890,546.88

99.14 3.82%
1,982,870.00
4,421.67

1.26%
92,323.12
Aa1/AA+
AAA

0.65 0.59
3137BTUM1 FHMS K-061 A2 3.347 11/25/2026 857,477.70 09/22/2022

4.23%
826,695.59
826,695.59

99.44 3.79%
852,696.40
2,391.65

0.54%
26,000.81
Aa1/AA+
AAA

0.90 0.80
3137BVZ82 FHMS K-063 A2 3.43 01/25/2027 862,000.00 --

4.09%
839,600.51
839,600.51

99.54 3.71%
858,059.80
2,463.88

0.55%
18,459.29
Aa1/AA+
AAA

1.07 0.89
3137F1G44 FHMS K-065 A2 3.243 04/25/2027 1,000,000.00 09/19/2022

4.08%
965,468.75
965,468.75

99.26 3.71%
992,617.00
2,702.50

0.63%
27,148.25
Aa1/AA+
AAA

1.31 1.18
3137FBU79 FHMS K-069 A2 3.187 09/25/2027 1,213,921.16 05/18/2023

4.13%
1,166,075.61
1,166,075.61

98.93 3.74%
1,200,906.71
3,223.97

0.76%
34,831.11
Aa1/AAA
AA+

1.73 1.61
3137F4X72 FHMS K-075 A2 3.65 02/25/2028 1,165,000.00 09/14/2023

4.92%
1,107,478.13
1,107,478.13

99.61 3.75%
1,160,487.96
3,543.54

0.74%
53,009.83
Aa1/AA+
AAA

2.15 2.00
3137FJEH8 FHMS K-081 A2 3.9 08/25/2028 1,250,000.00 05/28/2024

4.94%
1,197,265.63
1,197,265.63
100.08

3.79%
1,251,050.00
4,062.50

0.80%
53,784.37
Aa1/AA+
AAA

2.65 2.45
3137FK4M5 FHMS K-085 A2 4.06 10/25/2028 2,000,000.00 05/07/2025

4.12%
1,990,703.13
1,990,703.13
100.49

3.80%
2,009,754.00
6,766.67

1.28%
19,050.87
Aaa/AA+
AA+

2.82 2.58
3137H5YC5 FHMS K-748 A2 2.26 01/25/2029 1,500,000.00 08/19/2024

4.12%
1,385,332.03
1,385,332.03

95.51 3.84%
1,432,672.50
2,825.00

0.91%
47,340.47
Aa1/AA+
AAA

3.07 2.83
3137FLMV3 FHMS K-090 A2 3.422 02/25/2029 2,000,000.00 03/27/2025

4.30%
1,932,500.00
1,932,500.00

98.66 3.83%
1,973,250.00
5,703.33

1.26%
40,750.00
Aa1/AAA
AA+

3.15 2.88
29 153

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
3137HA4B9 FHMS K-751 A2 4.412 03/25/2030 2,000,000.00 03/26/2025

4.37%
1,997,890.63
1,997,890.63
101.42

3.97%
2,028,316.00
7,353.33

1.29%
30,425.37
Aaa/AA+
AA+

4.23 3.50
15,299,556.89 99.36 15,742,680.37 10.03% 2.35
Total Agency CMBS 15,848,398.86 4.33% 15,299,556.89 3.81% 45,458.05 443,123.48 2.11 CASH
CCYUSD Receivable 1,478.73 -- 1,478.73
1,478.73

1.00 1,478.73

0.00 0.00%

0.00 Aaa/AAA
AAA

0.00 0.00
1,478.73 1.00 1,478.73 0.00% 0.00
Total Cash 1,478.73 1,478.73 0.00 0.00 0.00

CORPORATE
037833BY5 APPLE INC 3.25 02/23/2026 1,000,000.00 02/22/2023

4.72%
959,390.00
959,390.00

99.90 3.92%
998,991.00
11,555.56

0.64%
39,601.00
Aaa/AA+
NA

0.15 0.14
57629W6F2 MASSMUTUAL GLOBAL FUNDING
II 4.5 04/10/2026 750,000.00 04/04/2023

4.52%
749,482.50
749,482.50
100.15

3.91%
751,121.25
7,593.75

0.48%
1,638.75
Aa3/AA+
AA+

0.27 0.27
00440EAV9 CHUBB INA HOLDINGS LLC 3.35
05/03/2026 1,000,000.00 09/13/2023

5.23%
954,220.00
954,220.00

99.81 3.90%
998,121.00
5,397.22

0.64%
43,901.00
A2/A
A

0.34 0.33
58989V2F0 MET TOWER GLOBAL FUNDING

5.4 06/20/2026 1,000,000.00 06/12/2023

5.38%
1,000,440.00
1,000,440.00
100.64

3.99%
1,006,419.00
1,650.00

0.64%
5,979.00
Aa3/AA-
AA-

0.47 0.46
69371RS56 PACCAR FINANCIAL CORP 5.05
08/10/2026 1,450,000.00 --

4.99%
1,451,925.00
1,451,925.00
100.69

3.87%
1,460,048.50
28,679.79

0.93%
8,123.50
A1/A+
NA

0.61 0.58
06428CAA2 BANK OF AMERICA NA 5.526
08/18/2026 1,000,000.00 09/13/2023

5.57%
998,810.00
998,810.00
100.91

4.04%
1,009,079.00
20,415.50

0.64%
10,269.00
Aa2/A+
AA

0.63 0.52
713448FW3 PEPSICO INC 5.125 11/10/2026 510,000.00 11/08/2023

5.13%
509,862.30
509,862.30
101.05

3.87%
515,331.54
3,702.81

0.33%
5,469.24
A1/A+
NA

0.86 0.75
48125LRU8 JPMORGAN CHASE BANK NA 5.11
12/08/2026 1,575,000.00 --

5.08%
1,576,460.00
1,576,460.00
101.08

3.92%
1,591,989.53
5,141.94

1.01%
15,529.53
Aa2/AA-
AA

0.94 0.82
24422EXF1 JOHN DEERE CAPITAL CORP 4.5
01/08/2027 1,000,000.00 01/10/2024

4.52%
999,460.00
999,460.00
100.76

3.73%
1,007,569.00
21,625.00

0.64%
8,109.00
A1/A
A+

1.02 0.97
78016HZT0 ROYAL BANK OF CANADA 4.875
01/19/2027 1,245,000.00 01/10/2024

4.88%
1,244,688.75
1,244,688.75
101.03

3.86%
1,257,883.26
27,312.19

0.80%
13,194.51
A1/A
AA-

1.05 0.99
30 154

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
17275RBQ4 CISCO SYSTEMS INC 4.8
02/26/2027 1,500,000.00 02/29/2024

4.78%
1,500,810.00
1,500,810.00
101.12

3.79%
1,516,816.50
25,000.00

0.97%
16,006.50
A1/AA-
NA

1.16 1.02
857477CL5 STATE STREET CORP 4.993
03/18/2027 1,210,000.00 03/13/2024

4.99%
1,210,000.00
1,210,000.00
101.34

3.85%
1,226,201.90
17,285.49

0.78%
16,201.90
Aa3/A
AA-

1.21 1.08
665859AW4 NORTHERN TRUST CORP 4.0
05/10/2027 1,000,000.00 09/14/2022

4.23%
990,460.00
990,460.00
100.33

3.75%
1,003,262.00
5,666.67

0.64%
12,802.00
A2/A+
A+

1.36 1.22
009158AY2 AIR PRODUCTS AND CHEMICALS
INC 1.85 05/15/2027 1,500,000.00 02/09/2024

4.71%
1,371,945.00
1,371,945.00

97.49 3.74%
1,462,392.00
3,545.83

0.93%
90,447.00
A2/A
NA

1.37 1.33
437076DB5 HOME DEPOT INC 4.875
06/25/2027 740,000.00 --

4.95%
738,545.60
738,545.60
101.69

3.69%
752,513.40
601.25

0.48%
13,967.80
A2/A
A

1.48 1.34
09290DAH4 BLACKROCK INC 4.6 07/26/2027 750,000.00 07/18/2024

4.57%
750,645.00
750,645.00
101.32

3.73%
759,865.50
14,854.17

0.48%
9,220.50
Aa3/AA-
NA

1.57 1.40
532457CP1 ELI LILLY AND CO 4.15 08/14/2027 1,250,000.00 08/22/2024

4.10%
1,251,637.50
1,251,637.50
100.74

3.67%
1,259,202.50
19,741.32

0.80%
7,565.00
Aa3/A+
NA

1.62 1.45
023135BC9 AMAZON.COM INC 3.15
08/22/2027 1,000,000.00 07/30/2024

4.55%
960,450.00
960,450.00

99.19 3.66%
991,874.00
11,287.50

0.63%
31,424.00
A1/AA
AA-

1.64 1.56
89236TKJ3 TOYOTA MOTOR CREDIT CORP

4.55 09/20/2027 1,000,000.00 06/20/2024

4.89%
989,900.00
989,900.00
101.24

3.79%
1,012,382.00
12,765.28

0.64%
22,482.00
A1/A+
A+

1.72 1.62
64952WFJ7 NEW YORK LIFE GLOBAL FUNDING

3.9 10/01/2027 1,000,000.00 09/25/2024

3.91%
999,820.00
999,820.00
100.15

3.81%
1,001,534.00
9,750.00

0.64%
1,714.00
Aa1/AA+
AAA

1.75 1.66
91324PDE9 UNITEDHEALTH GROUP INC 2.95
10/15/2027 1,250,000.00 07/30/2024

4.60%
1,189,300.00
1,189,300.00

98.60 3.77%
1,232,451.25
7,784.72

0.79%
43,151.25
A2/A+
A

1.79 1.71
24422EXZ7 JOHN DEERE CAPITAL CORP 4.65
01/07/2028 700,000.00 01/06/2025

4.66%
699,790.00
699,790.00
101.72

3.75%
712,041.40
15,732.50

0.45%
12,251.40
A1/A
A+

2.02 1.87
64952WCX9 NEW YORK LIFE GLOBAL FUNDING

3.0 01/10/2028 1,000,000.00 08/26/2025

4.04%
976,720.00
976,720.00

98.20 3.94%
981,956.00
14,250.00

0.63%
5,236.00
Aa1/AA+
AAA

2.03 1.91
63743HFW7

NATIONAL RURAL UTILITIES
COOPERATIVE FINANCE CORP 4.75
02/07/2028
1,500,000.00 06/17/2025

4.40%
1,512,345.00
1,512,345.00
101.52

3.99%
1,522,744.50
28,500.00

0.97%
10,399.50
A2/NA
A

2.10 1.87
57629TBW6 MASSMUTUAL GLOBAL FUNDING
II 4.45 03/27/2028 1,340,000.00 03/20/2025

4.49%
1,338,405.40
1,338,405.40
101.03

3.96%
1,353,826.12
15,570.06

0.86%
15,420.72
Aa3/AA+
AA+

2.24 2.09
74456QBU9 PUBLIC SERVICE ELECTRIC AND
GAS CO 3.7 05/01/2028 750,000.00 06/22/2023

4.79%
715,005.00
715,005.00

99.60 3.88%
746,989.50
4,625.00

0.48%
31,984.50
A1/A
NA

2.33 2.20
31 155

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
90331HPS6 US BANK NA 4.73 05/15/2028 1,330,000.00 05/12/2025

4.88%
1,330,000.00
1,330,000.00
101.01

4.24%
1,343,429.01
8,038.37

0.86%
13,429.01
A2/A+
A+

2.37 1.31
341081GN1 FLORIDA POWER & LIGHT CO 4.4
05/15/2028 1,500,000.00 05/22/2023

4.64%
1,484,025.00
1,484,025.00
101.25

3.84%
1,518,681.00
8,433.33

0.97%
34,656.00
Aa2/A+
AA-

2.37 2.07
87612EBU9 TARGET CORP 4.35 06/15/2028 570,000.00 06/05/2025

4.35%
569,994.30
569,994.30
101.17

3.85%
576,666.15
1,102.00

0.37%
6,671.85
A2/A
A

2.46 2.23
26444HAE1 DUKE ENERGY FLORIDA LLC 3.8
07/15/2028 1,000,000.00 06/04/2025

4.32%
985,120.00
985,120.00

99.89 3.84%
998,933.00
17,522.22

0.64%
13,813.00
A1/A
NA

2.54 2.35
66815L2X6

NORTHWESTERN MUTUAL
GLOBAL FUNDING 4.125
08/25/2028
1,000,000.00 08/25/2025

4.03%
1,002,660.00
1,002,660.00
100.40

3.96%
1,004,015.00
14,437.50

0.64%
1,355.00
Aa1/AA+
AAA

2.65 2.45
74456QBX3 PUBLIC SERVICE ELECTRIC AND
GAS CO 3.65 09/01/2028 1,000,000.00 07/24/2025

4.23%
983,400.00
983,400.00

99.26 3.94%
992,620.00
12,166.67

0.63%
9,220.00
A1/A
NA

2.67 2.48
437076DH2 HOME DEPOT INC 3.75
09/15/2028 570,000.00 09/08/2025

3.77%
569,629.50
569,629.50
100.03

3.74%
570,160.17
6,293.75

0.36%
530.67
A2/A
A

2.71 2.52
14913UBD1 CATERPILLAR FINANCIAL SERVICES
CORP 3.95 11/14/2028 1,000,000.00 11/26/2025

3.83%
1,003,180.00
1,003,180.00
100.24

3.86%
1,002,351.00
5,156.94

0.64%
(829.00)
A2/A
A+

2.87 2.67
713448GL6 PEPSICO INC 4.1 01/15/2029 1,000,000.00 07/24/2025

4.19%
997,190.00
997,190.00
100.55

3.91%
1,005,480.00
17,994.44

0.64%
8,290.00
A1/A+
NA

3.04 2.71
06368MJG0 BANK OF MONTREAL 5.004
01/27/2029 1,500,000.00 01/24/2025

4.96%
1,501,860.00
1,501,860.00
101.89

4.15%
1,528,420.50
32,109.00

0.97%
26,560.50
A2/A-
AA-

3.07 1.91
61748UAK8 MORGAN STANLEY 4.133
10/18/2029 580,000.00 10/17/2025

4.36%
580,000.00
580,000.00

99.97 4.27%
579,813.24
4,594.52

0.37%
(186.76)
A1/A-
A+

3.80 2.59
Total Corporate 39,070,000.00 4.63%
38,647,575.85
38,647,575.85
100.48

3.88%
39,253,174.72
467,882.29

25.00%
605,598.87

1.71 1.49

MONEY MARKET
FUND
31846V567 FIRST AMER:GVT OBLG Z 163,471.63 --

3.64%
163,471.63
163,471.63

1.00 3.64%
163,471.63

0.00 0.10%

0.00 Aaa/AAAm
AAA

0.00 0.00
Total Money Market
Fund 163,471.63 3.64%
163,471.63
163,471.63

1.00 3.64%
163,471.63

0.00 0.10%

0.00 0.00

0.00 32
156

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration

SUPRANATIONAL
459058LT8

INTERNATIONAL BANK FOR

RECONSTRUCTION AND
DEVELOPM 3.625 05/05/2028
1,335,000.00 04/29/2025

3.70%
1,332,036.30
1,332,036.30
100.12

3.57%
1,336,537.92
7,527.92

0.85%
4,501.62
Aaa/AAA
NA

2.34 2.21
459058KT9

INTERNATIONAL BANK FOR

RECONSTRUCTION AND
DEVELOPM 3.5 07/12/2028
500,000.00 07/24/2023

4.26%
483,115.00
483,115.00

99.78 3.59%
498,917.50
8,215.28

0.32%
15,802.50
Aaa/AAA
NA

2.53 2.36
Total Supranational 1,835,000.00 3.86%
1,815,151.30
1,815,151.30
100.03

3.58%
1,835,455.42
15,743.19

1.17%
20,304.12

2.40 2.25

US TREASURY
9128286L9 UNITED STATES TREASURY 2.25
03/31/2026 2,500,000.00 09/14/2022

3.74%
2,377,832.03
2,377,832.03

99.67 3.60%
2,491,772.50
14,371.57

1.59%
113,940.47
Aa1/AA+
AA+

0.25 0.24
91282CGV7 UNITED STATES TREASURY 3.75
04/15/2026 2,000,000.00 03/20/2024

4.63%
1,965,703.13
1,965,703.13
100.05

3.55%
2,000,944.00
16,071.43

1.27%
35,240.87
Aa1/AA+
AA+

0.29 0.28
912828U24 UNITED STATES TREASURY 2.0
11/15/2026 3,000,000.00 09/13/2023

4.66%
2,767,031.25
2,767,031.25

98.68 3.56%
2,960,361.00
7,790.06

1.89%
193,329.75
Aa1/AA+
AA+

0.87 0.85
91282CEF4 UNITED STATES TREASURY 2.5
03/31/2027 2,500,000.00 11/17/2022

4.02%
2,349,414.06
2,349,414.06

98.76 3.53%
2,469,042.50
15,968.41

1.57%
119,628.44
Aa1/AA+
AA+

1.25 1.20
91282CEW7 UNITED STATES TREASURY 3.25
06/30/2027 1,300,000.00 12/12/2022

3.87%
1,266,687.50
1,266,687.50

99.66 3.49%
1,295,531.90
116.71

0.83%
28,844.40
Aa1/AA+
AA+

1.50 1.45
91282CFB2 UNITED STATES TREASURY 2.75
07/31/2027 2,000,000.00 07/26/2023

4.30%
1,887,109.38
1,887,109.38

98.87 3.49%
1,977,422.00
23,016.30

1.26%
90,312.62
Aa1/AA+
AA+

1.58 1.51
91282CFH9 UNITED STATES TREASURY 3.125
08/31/2027 2,500,000.00 01/24/2023

3.65%
2,445,117.19
2,445,117.19

99.43 3.48%
2,485,645.00
26,545.23

1.58%
40,527.81
Aa1/AA+
AA+

1.67 1.58
91282CFM8 UNITED STATES TREASURY 4.125
09/30/2027 1,600,000.00 02/22/2023

4.19%
1,595,500.00
1,595,500.00
101.07

3.48%
1,617,124.80
16,862.64

1.03%
21,624.80
Aa1/AA+
AA+

1.75 1.65
9128283F5 UNITED STATES TREASURY 2.25
11/15/2027 1,400,000.00 06/07/2023

4.05%
1,298,937.50
1,298,937.50

97.78 3.49%
1,368,938.20
4,089.78

0.87%
70,000.70
Aa1/AA+
AA+

1.87 1.80
91282CGH8 UNITED STATES TREASURY 3.5
01/31/2028 1,500,000.00 11/26/2024

4.24%
1,467,070.31
1,467,070.31
100.02

3.49%
1,500,292.50
21,970.11

0.96%
33,222.19
Aa1/AA+
AA+

2.08 1.96
9128283W8 UNITED STATES TREASURY 2.75
02/15/2028 2,750,000.00 09/27/2024

3.51%
2,684,257.81
2,684,257.81

98.49 3.49%
2,708,535.50
28,564.88

1.73%
24,277.69
Aa1/AA+
AA+

2.13 2.02
33 157

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
9128284V9 UNITED STATES TREASURY 2.875
08/15/2028 2,500,000.00 11/12/2024

4.34%
2,374,804.69
2,374,804.69

98.39 3.52%
2,459,862.50
27,148.44

1.57%
85,057.81
Aa1/AA+
AA+

2.62 2.47
91282CNY3 UNITED STATES TREASURY 3.375
09/15/2028 3,000,000.00 09/29/2025

3.64%
2,978,203.13
2,978,203.13

99.59 3.53%
2,987,694.00
30,207.18

1.90%
9,490.87
Aa1/AA+
AA+

2.71 2.53
91282CPC9 UNITED STATES TREASURY 3.5
10/15/2028 2,500,000.00 11/10/2025

3.58%
2,494,433.59
2,494,433.59

99.90 3.54%
2,497,460.00
18,750.00

1.59%
3,026.41
Aa1/AA+
AA+

2.79 2.61
91282CDF5 UNITED STATES TREASURY 1.375
10/31/2028 2,500,000.00 09/16/2025

3.50%
2,344,433.59
2,344,433.59

94.21 3.55%
2,355,272.50
5,887.43

1.50%
10,838.91
Aa1/AA+
AA+

2.84 2.72
9128285M8 UNITED STATES TREASURY 3.125
11/15/2028 2,000,000.00 04/22/2024

4.72%
1,870,625.00
1,870,625.00

98.88 3.54%
1,977,656.00
8,114.64

1.26%
107,031.00
Aa1/AA+
AA+

2.88 2.71
91282CPP0 UNITED STATES TREASURY 3.5
12/15/2028 2,300,000.00 12/30/2025

3.50%
2,299,820.31
2,299,820.31

99.88 3.54%
2,297,304.40
3,759.62

1.46%
(2,515.91)
Aa1/AA+
AA+

2.96 2.78
91282CKD2 UNITED STATES TREASURY 4.25
02/28/2029 2,250,000.00 01/30/2025

4.31%
2,244,726.56
2,244,726.56
102.02

3.57%
2,295,526.50
32,491.37

1.46%
50,799.94
Aa1/AA+
AA+

3.16 2.90
91282CEM9 UNITED STATES TREASURY 2.875
04/30/2029 2,750,000.00 10/30/2025

3.64%
2,681,787.11
2,681,787.11

97.79 3.59%
2,689,200.25
13,541.09

1.71%
7,413.14
Aa1/AA+
AA+

3.33 3.12
91282CLC3 UNITED STATES TREASURY 4.0
07/31/2029 2,000,000.00 10/29/2024

4.10%
1,991,093.75
1,991,093.75
101.29

3.61%
2,025,860.00
33,478.26

1.29%
34,766.25
Aa1/AA+
AA+

3.58 3.26
91282CFJ5 UNITED STATES TREASURY 3.125
08/31/2029 2,750,000.00 12/17/2024

4.26%
2,618,730.47
2,618,730.47

98.31 3.62%
2,703,593.75
29,199.76

1.72%
84,863.28
Aa1/AA+
AA+

3.67 3.38
91282CFT3 UNITED STATES TREASURY 4.0
10/31/2029 1,700,000.00 02/12/2025

4.49%
1,665,203.13
1,665,203.13
101.31

3.63%
1,722,246.20
11,646.41

1.10%
57,043.07
Aa1/AA+
AA+

3.83 3.50
91282CFY2 UNITED STATES TREASURY 3.875
11/30/2029 3,000,000.00 03/24/2025

4.06%
2,976,679.69
2,976,679.69
100.84

3.64%
3,025,077.00
10,219.78

1.93%
48,397.31
Aa1/AA+
AA+

3.91 3.59
91282CGB1 UNITED STATES TREASURY 3.875
12/31/2029 3,000,000.00 07/30/2025

3.91%
2,995,312.50
2,995,312.50
100.85

3.64%
3,025,431.00
321.13

1.93%
30,118.50
Aa1/AA+
AA+

4.00 3.67
91282CGZ8 UNITED STATES TREASURY 3.5
04/30/2030 3,000,000.00 12/09/2025

3.75%
2,969,296.88
2,969,296.88

99.28 3.68%
2,978,319.00
17,983.43

1.90%
9,022.12
Aa1/AA+
AA+

4.33 3.95
56,609,810.56 99.37 57,916,113.00 36.89% 2.55
Total US Treasury 58,300,000.00 4.00% 56,609,810.56 3.56% 418,115.64 1,306,302.44 2.38 154,118,570.17 99.98 156,989,004.94 100.00% 2.13
Total Portfolio 156,885,235.87 4.35% 154,118,570.17 3.69% 1,309,528.47 2,870,434.76 1.81 34 158

Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
Total Market Value +
Accrued 158,298,533.41
35 159

TRANSACTIONS
36 160

TRANSACTION LEDGER
City of Murrieta | Account |10/01/2025 Through 12/31/2025| Transaction
Type
Settlement
Date CUSIP Quantity Security Description Price Acq/Disp Yield Amount Interest Pur/
Sold Total Amount Gain/Loss

ACQUISITIONS
Purchase 10/15/2025 05594HAD5 800,000.00 BMWLT 2025-2 A3

3.97 09/25/2028 100.000 3.97% (799,997.76) 0.00 (799,997.76) 0.00 Purchase 10/22/2025 61748UAK8 580,000.00 MORGAN STANLEY

4.133 10/18/2029 100.000 4.36% (580,000.00) 0.00 (580,000.00) 0.00 Purchase 10/31/2025 91282CEM9 2,750,000.00

UNITED STATES
TREASURY 2.875
04/30/2029

97.520 3.64% (2,681,787.11) 0.00 (2,681,787.11) 0.00
Purchase 11/17/2025 91282CPC9 2,500,000.00

UNITED STATES
TREASURY 3.5
10/15/2028

99.777 3.58% (2,494,433.59) (7,932.69) (2,502,366.28) 0.00 Purchase 11/28/2025 14913UBD1 1,000,000.00

CATERPILLAR

FINANCIAL SERVICES
CORP 3.95 11/14/2028
100.318 3.83% (1,003,180.00) (1,536.11) (1,004,716.11) 0.00 Purchase 12/10/2025 91282CGZ8 3,000,000.00

UNITED STATES
TREASURY 3.5
04/30/2030

98.977 3.75% (2,969,296.88) (11,602.21) (2,980,899.09) 0.00 Purchase 12/31/2025 91282CPP0 2,300,000.00

UNITED STATES
TREASURY 3.5
12/15/2028

99.992 3.50% (2,299,820.31) (3,538.46) (2,303,358.77) 0.00 Total Purchase 12,930,000.00 (12,828,515.65) (24,609.47) (12,853,125.12) 0.00 TOTAL
ACQUISITIONS 12,930,000.00 (12,828,515.65) (24,609.47) (12,853,125.12) 0.00

DISPOSITIONS
Maturity 10/31/2025 9128285J5 (2,500,000.00)

UNITED STATES
TREASURY 3.0
10/31/2025
100.000 3.02% 2,500,000.00 0.00 2,500,000.00 1,367.19
Maturity 11/15/2025 912828M56 (2,500,000.00)

UNITED STATES
TREASURY 2.25
11/15/2025
100.000 3.11% 2,500,000.00 0.00 2,500,000.00 68,847.66
Maturity 12/01/2025 023135CN4 (425,000.00) AMAZON.COM INC 4.6 12/01/2025 100.000 4.60% 425,000.00 0.00 425,000.00 25.50 Total Maturity (5,425,000.00) 5,425,000.00 0.00 5,425,000.00 70,240.35 37 161

UNITED STATES
TREASURY 2.625
12/31/2025

99.938 3.76% 2,498,437.50 29,067.60 2,527,505.10 85,644.53 Sale 12/31/2025 912828YX2 (1,750,000.00)

UNITED STATES
TREASURY 1.75
12/31/2026

98.270 3.96% 1,719,716.80 0.00 1,719,716.80 78,476.57
Total Sale (4,250,000.00) 4,218,154.30 29,067.60 4,247,221.90 164,121.10 TOTAL
DISPOSITIONS (9,675,000.00) 9,643,154.30 29,067.60 9,672,221.90 234,361.45 38 162

IMPORTANT DISCLOSURES
2025 Chandler Asset Management, Inc, An Independent Registered Investment Adviser.

Information contained herein is confidential. Prices are provided by ICE Data Services Inc (“IDS”), an independent pricing source. In the event IDS does not provide a price or if the price provided is not reflective of fair market value, Chandler will obtain pricing from an alternative approved third party pricing source in accordance with our written valuation policy and procedures. Our valuation procedures are also disclosed in Item 5 of our Form ADV Part 2A.

Performance results are presented gross-of-advisory fees and represent the client’s Total Return. The deduction of advisory fees lowers performance results. These results include the reinvestment of dividends and other earnings. Past performance may not be indicative of future results. Therefore, clients should not assume that future performance of any specific investment or investment strategy will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Economic factors, market conditions or changes in investment strategies, contributions or withdrawals may materially alter the performance and results of your portfolio.

Index returns assume reinvestment of all distributions. Historical performance results for investment indexes generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee, the incurrence of which would have the effect of decreasing historical performance results. It is not possible to invest directly in an index.

Source ICE Data Indices, LLC (“ICE”), used with permission. ICE permits use of the ICE indices and related data on an “as is” basis; ICE, its affiliates and their respective third party suppliers disclaim any and all warranties and representations, express and/or implied, including any warranties of merchantability or fitness for a particular purpose or use, including the indices, index data and any data included in, related to, or derived therefrom. Neither ICE data, its affiliates or their respective third party providers guarantee the quality, adequacy, accuracy, timeliness or completeness of the indices or the index data or any component thereof, and the indices and index data and all components thereof are provided on an “as is” basis and licensee’s use it at licensee’s own risk. ICE data, its affiliates and their respective third party do not sponsor, endorse, or recommend chandler asset management, or any of its products or services.

This report is provided for informational purposes only and should not be construed as a specific investment or legal advice. The information contained herein was obtained from sources believed to be reliable as of the date of publication, but may become outdated or superseded at any time without notice. Any opinions or views expressed are based on current market conditions and are subject to change. This report may contain forecasts and forward-looking statements which are inherently limited and should not be relied upon as indicator of future results. Past performance is not indicative of future results. This report is not intended to constitute an offer, solicitation, recommendation or advice regarding any securities or investment strategy and should not be regarded by recipients as a substitute for the exercise of their own judgment.

Fixed income investments are subject to interest, credit and market risk. Interest rate risk: the value of fixed income investments will decline as interest rates rise. Credit risk: the possibility that the borrower may not be able to repay interest and principal. Low rated bonds generally have to pay higher interest rates to attract investors willing to take on greater risk. Market risk: the bond market in general could decline due to economic conditions, especially during periods of rising interest rates.

Ratings information have been provided by Moody’s, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy.

Security level ratings for U.S. Agency issued mortgage-backed securities (“MBS”) reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest. 39 163

BENCHMARK DISCLOSURES
Benchmark Disclosure
ICE BofA 1-3 Yr US Treasury Index
The ICE BofA 1-3 Year US Treasury Index tracks the performance of US dollar-denominated sovereign debt publicly issued by the US government in its domestic market. Qualifying securities must have at least one year remaining term to final maturity and less than three years remaining term to final maturity, a fixed coupon schedule, and a minimum amount outstanding of $1 billion. Qualifying securities must have at least 18 months to final maturity at the time of issuance. 40 164
MALIA M. COHEN
California State Controller

LOCAL AGENCY INVESTMENT FUND

REMITTANCE ADVICE
Agency Name MURRIETA
Account Number
As of 1/15/2026, your Local Agency Investment Fund account has been directly credited with the interest earned on your deposits for the quarter ending 12/31/2025.

Earnings Ratio 0.00011512010685708
Interest Rate 4.20%
Dollar Day Total $ 1,047,708,771.06
Quarter End Principal Balance $ 62,043,673.26
Quarterly Interest Earned $ 120,612.35
1/16/26, 3:25 PM
1/1165

STAGECOACH SWEEP
WELLS FARGO BANK, N.A.

THIS STATEMENT COVERS 10/01/2025 THROUGH 10/31/2025

FUNDS HELD ON COMPANY'S BEHALF IN THE OMNIBUS DEPOSIT ACCOUNT AT BANK ARE

DEPOSITS AND ARE ELIGIBLE FOR FDIC INSURANCE IN ACCORDANCE WITH FDIC RULES AND LIMITS. COMPANY'S MMMF SHARES HELD IN THE OMNIBUS INVESTMENT ACCOUNT IN

BANK'S NAME AT THE CUSTODIAN OF THE MMMF ARE NOT DEPOSITS AND ARE NOT ELIGIBLE FOR FDIC INSURANCE. COMPANY IS THE OWNER OF ITS MMMF SHARES.

ALLSPRING GOVERNMENT FUND SELECT CLS
Transaction Detail
Date Description Amount
10-01-2025 Beginning Balance 116,023,154.15
10-01-2025 Sweep Funds Return To DDA 2,043,320.71
10-02-2025 Next Day Sweep Purchase 365,443.74
10-03-2025 Sweep Funds Return To DDA 562,921.67
10-06-2025 Sweep Funds Return To DDA 778,523.44
10-07-2025 Sweep Funds Return To DDA 48,152.55
10-08-2025 Sweep Funds Return To DDA 123,474.21
10-09-2025 Sweep Funds Return To DDA 128,467.96
10-10-2025 Sweep Funds Return To DDA 294.72
10-14-2025 Sweep Funds Return To DDA 167,165.76
10-15-2025 Sweep Funds Return To DDA 2,060,490.79
10-16-2025 Sweep Funds Return To DDA 353,476.18
10-17-2025 Next Day Sweep Purchase 60,489.19
10-20-2025 Sweep Funds Return To DDA 566,478.42
10-21-2025 Sweep Funds Return To DDA 55,006.99
10-22-2025 Sweep Funds Return To DDA 125,268.27
10-23-2025 Next Day Sweep Purchase 1,202,836.96
10-24-2025 Sweep Funds Return To DDA 173,796.62
10-27-2025 Next Day Sweep Purchase 4,158,260.35
10-28-2025 Sweep Funds Return To DDA 208,083.92
10-29-2025 Sweep Funds Return To DDA 1,979,453.33
10-30-2025 Sweep Funds Return To DDA 171,647.24
10-31-2025 Next Day Sweep Purchase 232,056.65
10-31-2025 Ending Balance 112,496,218.26
Daily Balance Information
Date Investment Balance Annualized Fund Yield Daily Dividend Factor Daily Accrual 10-01 113,979,833.44 4.080 % .000111783 12,741.01
10-02 114,345,277.18 4.076 % .000111673 12,769.28

Page 1 of 2 ends

CITY OF MURRIETA

GENERAL OPERATING ACCOUNT
1 TOWN SQ
MURRIETA CA 92562-7922
Account Number - DDA

FUND SUMMARY
Dividends Earned YTD 4,188,619.61
Federal Withholding YTD .00
7-Day Simple Yield 4.02843 %
Federal Withholding .00
Beginning Balance 116,023,154.15
Shares Purchased 6,019,086.89 +
Shares Redeemed 9,546,022.78 -
Ending Balance 112,496,218.26
Prior Month Dividends Paid to Checking 398,851.11
Dividends Earned in Current Month 386,298.65
Funds Pending Redemption 252,853.29-
166

STAGECOACH SWEEP
Date Investment Balance Annualized Fund Yield Daily Dividend Factor Daily Accrual 10-03 113,782,355.51 4.072 % .000111563 12,693.90
10-04* 113,003,832.07 4.072 % .000111563 12,607.05
10-05* 113,003,832.07 4.072 % .000111563 12,607.05
10-06 113,003,832.07 4.058 % .000111191 12,565.01
10-07 112,955,679.52 4.046 % .000110852 12,521.36
10-08 112,832,205.31 4.034 % .000110539 12,472.36
10-09 112,703,737.35 4.032 % .000110489 12,452.52
10-10 112,703,442.63 4.040 % .000110700 12,476.27
10-11* 112,536,276.87 4.040 % .000110700 12,457.77
10-12* 112,536,276.87 4.040 % .000110700 12,457.77
10-13* 112,536,276.87 4.040 % .000110700 12,457.77
10-14 112,536,276.87 4.055 % .000111097 12,502.44
10-15 110,475,786.08 4.090 % .000112075 12,381.57
10-16 110,122,309.90 4.114 % .000112731 12,414.20
10-17 110,182,799.09 4.080 % .000111786 12,316.89
10-18* 109,616,320.67 4.080 % .000111786 12,253.57
10-19* 109,616,320.67 4.080 % .000111786 12,253.57
10-20 109,616,320.67 4.045 % .000110828 12,148.56
10-21 109,561,313.68 4.068 % .000111473 12,213.13
10-22 109,436,045.41 4.070 % .000111522 12,204.53
10-23 110,638,882.37 4.074 % .000111639 12,351.61
10-24 110,465,085.75 4.079 % .000111774 12,347.12
10-25* 110,465,085.75 4.079 % .000111774 12,347.12
10-26* 110,465,085.75 4.079 % .000111774 12,347.12
10-27 114,623,346.10 4.091 % .000112095 12,848.70
10-28 114,415,262.18 4.101 % .000112357 12,855.36
10-29 112,435,808.85 4.095 % .000112203 12,615.64
10-30 112,264,161.61 3.988 % .000109284 12,268.68
10-31 112,496,218.26 4.006 % .000109779 12,349.72
TOTAL MTD 386,298.65
* Indicates non-business day
THANK YOU FOR BANKING WITH WELLS FARGO.

MONEY MARKET MUTUAL FUNDS (EACH, A "MMMF") ARE NOT FDIC INSURED, HAVE NO BANK GUARANTY AND MAY LOSE VALUE.

An Investment in a MMMF is not insured by the Federal Deposit Insurance Corporation or any other government agency. Although the MMMF's seek to preserve the value of customer's investment at $1.00 per share, it is possible to lose money by investing in a MMMF.

Allspring Funds Management, LLC, a wholly owned subsidiary of Allspring Global Investments Holdings, LLC ("Allspring Global"), provides investment advisory and administrative services for the Allspring Funds?. Other subsidiaries of Allspring Global provide sub-advisory and other services for the funds. The funds are distributed by Allspring Funds Distributor, LLC, Member FINRA/SIPC, a subsidiary of Allspring Global.

This material must be accompanied or preceded by a current prospectus for name of the Fund(s) selected. Please read the prospectus carefully before investing.
10/01/2025 - 10/31/2025

Page 2 of 2 ends

Account Number - DDA
167

STAGECOACH SWEEP
WELLS FARGO BANK, N.A.

THIS STATEMENT COVERS 11/01/2025 THROUGH 11/30/2025

FUNDS HELD ON COMPANY'S BEHALF IN THE OMNIBUS DEPOSIT ACCOUNT AT BANK ARE

DEPOSITS AND ARE ELIGIBLE FOR FDIC INSURANCE IN ACCORDANCE WITH FDIC RULES AND LIMITS. COMPANY'S MMMF SHARES HELD IN THE OMNIBUS INVESTMENT ACCOUNT IN

BANK'S NAME AT THE CUSTODIAN OF THE MMMF ARE NOT DEPOSITS AND ARE NOT ELIGIBLE FOR FDIC INSURANCE. COMPANY IS THE OWNER OF ITS MMMF SHARES.

ALLSPRING GOVERNMENT FUND SELECT CLS
Transaction Detail
Date Description Amount
11-01-2025 Beginning Balance 112,496,218.26
11-03-2025 Sweep Funds Return To DDA 252,853.29
11-04-2025 Sweep Funds Return To DDA 449,853.28
11-05-2025 Sweep Funds Return To DDA 495,654.14
11-06-2025 Sweep Funds Return To DDA 1,325,237.58
11-07-2025 Sweep Funds Return To DDA 233,326.96
11-10-2025 Sweep Funds Return To DDA 40,573.81
11-12-2025 Sweep Funds Return To DDA 778,711.27
11-13-2025 Sweep Funds Return To DDA 1,845,356.38
11-14-2025 Sweep Funds Return To DDA 111,962.06
11-17-2025 Sweep Funds Return To DDA 586,372.79
11-18-2025 Sweep Funds Return To DDA 3,421.19
11-19-2025 Sweep Funds Return To DDA 66,956.44
11-20-2025 Sweep Funds Return To DDA 204,941.50
11-21-2025 Sweep Funds Return To DDA 272,911.06
11-24-2025 Next Day Sweep Purchase 5,140,227.09
11-25-2025 Sweep Funds Return To DDA 589,926.97
11-26-2025 Sweep Funds Return To DDA 1,755,027.08
11-28-2025 Sweep Funds Return To DDA 33,374.89
11-30-2025 Ending Balance 108,589,984.66
Daily Balance Information
Date Investment Balance Annualized Fund Yield Daily Dividend Factor Daily Accrual 11-01* 112,243,364.97 4.006 % .000109779 12,321.96
11-02* 112,243,364.97 4.006 % .000109779 12,321.96
11-03 112,243,364.97 3.993 % .000109399 12,279.31
11-04 111,793,511.69 3.940 % .000107968 12,070.12
11-05 111,297,857.55 3.880 % .000106324 11,833.63
11-06 109,972,619.97 3.869 % .000106001 11,657.21

Page 1 of 2 ends

CITY OF MURRIETA

GENERAL OPERATING ACCOUNT
1 TOWN SQ
MURRIETA CA 92562-7922
Account Number - DDA

FUND SUMMARY
Dividends Earned YTD 4,537,172.10
Federal Withholding YTD .00
7-Day Simple Yield 3.93547 %
Federal Withholding .00
Beginning Balance 112,496,218.26
Shares Purchased 5,140,227.09 +
Shares Redeemed 9,046,460.69 -
Ending Balance 108,589,984.66
Prior Month Dividends Paid to Checking 386,298.65
Dividends Earned in Current Month 348,552.49
Funds Pending Redemption 943,709.90-
168

STAGECOACH SWEEP
Date Investment Balance Annualized Fund Yield Daily Dividend Factor Daily Accrual 11-07 109,739,293.01 3.871 % .000106065 11,639.50
11-08* 109,698,719.20 3.871 % .000106065 11,635.19
11-09* 109,698,719.20 3.871 % .000106065 11,635.19
11-10 109,698,719.20 3.884 % .000106432 11,675.45
11-11* 108,920,007.93 3.884 % .000106432 11,592.57
11-12 108,920,007.93 3.890 % .000106597 11,610.55
11-13 107,074,651.55 3.900 % .000106870 11,443.07
11-14 106,962,689.49 3.890 % .000106592 11,401.37
11-15* 106,376,316.70 3.890 % .000106592 11,338.86
11-16* 106,376,316.70 3.890 % .000106592 11,338.86
11-17 106,376,316.70 3.898 % .000106818 11,362.91
11-18 106,372,895.51 3.881 % .000106353 11,313.08
11-19 106,305,939.07 3.862 % .000105817 11,248.98
11-20 106,100,997.57 3.850 % .000105496 11,193.23
11-21 105,828,086.51 3.865 % .000105917 11,208.99
11-22* 105,828,086.51 3.865 % .000105917 11,208.99
11-23* 105,828,086.51 3.865 % .000105917 11,208.99
11-24 110,968,313.60 3.881 % .000106340 11,800.37
11-25 110,378,386.63 3.898 % .000106802 11,788.63
11-26 108,623,359.55 3.915 % .000107274 11,652.46
11-27* 108,589,984.66 3.915 % .000107274 11,648.88
11-28 108,589,984.66 3.958 % .000108441 11,775.61
11-29* 107,646,274.76 3.958 % .000108441 11,673.27
11-30* 107,646,274.76 3.958 % .000108441 11,673.27
TOTAL MTD 348,552.46
* Indicates non-business day
THANK YOU FOR BANKING WITH WELLS FARGO.

MONEY MARKET MUTUAL FUNDS (EACH, A "MMMF") ARE NOT FDIC INSURED, HAVE NO BANK GUARANTY AND MAY LOSE VALUE.

This material must be accompanied or preceded by a current prospectus for name of the Fund(s) selected. Please read the prospectus carefully before investing.
11/01/2025 - 11/30/2025

Page 2 of 2 ends

Account Number - DDA
169

STAGECOACH SWEEP
WELLS FARGO BANK, N.A.

THIS STATEMENT COVERS 12/01/2025 THROUGH 12/31/2025

FOR QUESTIONS, PLEASE CONTACT GLOBAL PAYMENTS AND LIQUIDITY SERVICE AT 1-800-AT-WELLS (1-800-289-3557).

ALLSPRING GOVERNMENT FUND SELECT CLS
Transaction Detail
Date Description Amount
12-01-2025 Beginning Balance 108,589,984.66
12-01-2025 Sweep Funds Return To DDA 943,709.90
12-02-2025 Sweep Funds Return To DDA 80,770.60
12-03-2025 Sweep Funds Return To DDA 118,088.86
12-04-2025 Sweep Funds Return To DDA 737,371.57
12-05-2025 Sweep Funds Return To DDA 251,031.21
12-08-2025 Sweep Funds Return To DDA 495,250.82
12-09-2025 Sweep Funds Return To DDA 101,986.90
12-10-2025 Sweep Funds Return To DDA 2,698,153.73
12-11-2025 Sweep Funds Return To DDA 43,510.98
12-12-2025 Sweep Funds Return To DDA 195,827.25
12-15-2025 Sweep Funds Return To DDA 4,827,400.39
12-16-2025 Sweep Funds Return To DDA 21,205,839.37
12-17-2025 Next Day Sweep Purchase 7,912,944.66
12-18-2025 Sweep Funds Return To DDA 20,027,993.09
12-19-2025 Sweep Funds Return To DDA 19,894,204.29
12-22-2025 Next Day Sweep Purchase 2,101.27
12-23-2025 Sweep Funds Return To DDA 1,697,285.96
12-24-2025 Next Day Sweep Purchase 2,772,800.67
12-26-2025 Next Day Sweep Purchase 245,223.14
12-29-2025 Sweep Funds Return To DDA 750,788.61
12-30-2025 Sweep Funds Return To DDA 107,880.98
12-31-2025 Sweep Funds Return To DDA 887,543.72
12-31-2025 Ending Balance 44,458,416.17
Daily Balance Information
Date Investment Balance Annualized Fund Yield Daily Dividend Factor Daily Accrual 12-01 107,646,274.76 3.944 % .000108077 11,634.09
12-02 107,565,504.16 3.907 % .000107056 11,515.53
12-03 107,447,415.30 3.864 % .000105872 11,375.67
12-04 106,710,043.73 3.839 % .000105180 11,223.76
12-05 106,459,012.52 3.845 % .000105363 11,216.84

Page 1 of 2 ends

CITY OF MURRIETA

GENERAL OPERATING ACCOUNT
1 TOWN SQ
MURRIETA CA 92562-7922
Account Number - DDA

FUND SUMMARY
Dividends Earned YTD 4,782,392.73
Federal Withholding YTD .00
7-Day Simple Yield 3.71709 %
Federal Withholding .00
Beginning Balance 108,589,984.66
Shares Purchased 10,933,069.74 +
Shares Redeemed 75,064,638.23 -
Ending Balance 44,458,416.17
Prior Month Dividends Paid to Checking 348,552.49
Dividends Earned in Current Month 245,220.63
Funds Pending Investment 66,379.26
170

STAGECOACH SWEEP
Date Investment Balance Annualized Fund Yield Daily Dividend Factor Daily Accrual 12-06* 105,963,761.70 3.845 % .000105363 11,164.66
12-07* 105,963,761.70 3.845 % .000105363 11,164.66
12-08 105,963,761.70 3.860 % .000105760 11,206.73
12-09 105,861,774.80 3.847 % .000105423 11,160.27
12-10 103,163,621.07 3.826 % .000104841 10,815.78
12-11 103,120,110.09 3.708 % .000101610 10,478.03
12-12 102,924,282.84 3.675 % .000100689 10,363.34
12-13* 98,096,882.45 3.675 % .000100689 9,877.28
12-14* 98,096,882.45 3.675 % .000100689 9,877.28
12-15 98,096,882.45 3.709 % .000101633 9,969.88
12-16 76,891,043.08 3.683 % .000100925 7,760.23
12-17 84,803,987.74 3.682 % .000100890 8,555.87
12-18 64,775,994.65 3.669 % .000100535 6,512.25
12-19 44,881,790.36 3.665 % .000100425 4,507.25
12-20* 44,881,790.36 3.665 % .000100425 4,507.25
12-21* 44,881,790.36 3.665 % .000100425 4,507.25
12-22 44,883,891.63 3.673 % .000100641 4,517.16
12-23 43,186,605.67 3.674 % .000100674 4,347.77
12-24 45,959,406.34 3.666 % .000100441 4,616.21
12-25* 45,959,406.34 3.666 % .000100441 4,616.21
12-26 46,204,629.48 3.704 % .000101492 4,689.40
12-27* 45,453,840.87 3.704 % .000101492 4,613.20
12-28* 45,453,840.87 3.704 % .000101492 4,613.20
12-29 45,453,840.87 3.733 % .000102299 4,649.88
12-30 45,345,959.89 3.706 % .000101544 4,604.61
12-31 44,458,416.17 3.742 % .000102547 4,559.08
TOTAL MTD 245,220.62
* Indicates non-business day
THANK YOU FOR BANKING WITH WELLS FARGO.

MONEY MARKET MUTUAL FUNDS (EACH, A "MMMF") ARE NOT FDIC INSURED, HAVE NO BANK GUARANTY AND MAY LOSE VALUE.

This material must be accompanied or preceded by a current prospectus for name of the Fund(s) selected. Please read the prospectus carefully before investing.
12/01/2025 - 12/31/2025

Page 2 of 2 ends

Account Number - DDA
171
172

CITY OF MURRIETA
City Council Meeting Agenda
Report
2/17/2026
Agenda Item No. 6.

TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Justin Clifton, City Manager
PREPARED BY: Pedro Cevallos, Management Analyst - City Manager SUBJECT:

Authorization to Submit CalRecycle Grant Applications

ABSTRACT
The City of Murrieta’scurrent resolution authorizing the City Manager to apply for CalRecycle grants is about to expire. Approval of a new Resolution will extend this authorization for five (5) years, ensuring the City of Murrieta remains eligible for future grant funding.

RECOMMENDATION
Adopt Resolution No. 26-4910 entitled: A Resolution of the City Council of the City of Murrieta, California, Authorizing Submittal of Application(s) for all CalRecycle Grants for which City of Murrieta is Eligible.

PRIOR ACTION/VOTE
On March 2, 2021, the City Council adopted Resolution No. 21-4369, authorizing submittal of applications for all CalRecycle grants for which the City of Murrieta is eligible (Vote 4-0).

STRATEGIC ALIGNMENT
The City Council’s goal of maintaining a high-performing organization that values fiscal sustainability, transparency, accountability, and organizational efficiency is supported by maintaining the City of Murrieta’s authorization to pursue eligible CalRecycle funding opportunities. This action is consistent with the City Departments - Top Projects List in the City Manager section, which identifies continued implementation of CalRecycle requirements as an administrative priority.

DISCUSSION
The City of Murrieta’s(City) current resolution authorizing the submittal of grant applications to the California Department of Resources Recycling and Recovery (CalRecycle) is set to expire. The proposed Resolution No. 26-4910 authorizes the submittal of applications to CalRecycle for all grants for which the City is eligible and empowers the City Manager, or designee, to execute all related grant documents, including applications, agreements, amendments, and requests for payment, on behalf of the City.

CITY OF MURRIETA Printed on 2/12/2026Page 1 of 2
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2/17/2026
Agenda Item No. 6.

The new resolution is valid for a period of five (5) years, ensuring the City remains eligible to pursue CalRecycle grant funding and allowing the City Manager to carry out all necessary actions to implement approved grants. Adoption of the resolution provides continuity and maintains the City’s ability to take advantage of grant opportunities as they become available.

PUBLIC NOTICING
The agenda for this meeting was posted at least 72 hour in advance in accordance with the Brown Act. No additional public noticing is required for this item.

CEQA AND REGULATORY OVERVIEW
This item is not a project under the California Environmental Quality Act (CEQA) and is not subject to review under CEQA or the National Environmental Policy Act (NEPA).

FISCAL IMPACT
There is no fiscal impact associated with the recommended action.

ATTACHMENTS
ATT 1 - Resolution No. 26-4910
CITY OF MURRIETA Printed on 2/12/2026Page 2 of 2
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174
RESOLUTION NO. 26-4910

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MURRIETA,

CALIFORNIA, AUTHORIZING SUBMITTAL OF APPLICATION(S) FOR

ALL CALRECYCLE GRANTS FOR WHICH THE CITY OF MURRIETA I S

ELIGIBLE

WHEREAS, the California Public Resources Code autho rizes the Department of Resources Recycling and Recovery (CalRecycle) to administer various grant programs; and

WHEREAS, in furtherance of this authority, CalRecycle is required to establish procedures governing the application, awarding, and management of the grants; and

WHEREAS, CalRecycle grant application procedures require, among other things, an applicant’s governing body to declare by resolution certain authorizations related to the administration of CalRecycle grants.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MURRIETA,

CALIFORNIA DOES HEREBY RESOLVE AS FOLLOWS

Section 1. That the submittal of application(s) to CalRecycle for all grants for which the City of Murrieta is eligible is authorized.

Section 2. That the City Manager, or his/her designee is hereby authorized and empowered to execute in the name of the City of Murrieta all grant documents, including but not limited to, applications, agreements, amendments and requests for payment, necessary to secure grant funds and implement the approved grant project.

Section 3. That these authorizations are effective for five (5) years from the date of adoption of this resolution.

PASSED AND ADOPTED this 17th day of February 2026.

____________________________
Jon Levell, Mayor
ATTEST:
_____________________________
Cristal McDonald, City Clerk

175
Resolution No. 26-4910

Page 2 of 2 ends

RR 5/08/09
2 APPROVED AS TO FORM:

_____________________________
Tiffany Israel, City Attorney

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE )§

CITY OF MURRIETA )
I, Cristal McDonald, City Clerk of the City of Murrieta, California, do hereby certify that the foregoing Resolution No. 26-4910 was duly passed and adopted by the City Council of the City of Murrieta at the regular meeting thereof, held on the 17th day of February, 2026, and was signed by the Mayor of the said City, and that the same was passed and adopted by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_____________________________
Cristal McDonald, City Clerk

176

CITY OF MURRIETA
City Council Meeting Agenda
Report
2/17/2026
Agenda Item No. 7.

TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Bernard Molloy, Fire Chief
PREPARED BY: Crystallee Miller, Management Analyst-Fire SUBJECT:

Agreement with Johnson Equipment Co. for As-Needed Fleet Maintenance and Upfitting Services for the City of Murrieta

RECOMMENDATION
Award a contract services agreement to Johnson Equipment Co. for as-needed fleet maintenance and upfitting services for the City of Murrieta in an amount not to exceed $809,000, for a three (3) year term and Authorize the City Manager to execute the agreement.

PRIOR ACTION/VOTE
On June 3, 2025, the City Council acting as the Board of Directors of the Murrieta Fire District approved Resolution MFD25-225, adopting the Fire District Operating Budget for Fiscal Year 2025/2026 (Vote 5-0).

STRATEGIC ALIGNMENT
Provide a high level of innovative public safety.

BACKGROUND
As part of the Fiscal Year (FY) 2023/24 through FY 2027/28 Capital Improvement Plan (CIP) adoption, the City Council approved Resolution No. 23-4699, which authorized fire fleet replacement to include associated upfitting costs and appropriated Measure T fleet replacement reserves to support those purchases.

Under this approved CIP authority, Murrieta Fire & Rescue purchased four (4) replacement vehicles in FY 2024/25, with a fifth (5) replacement vehicle planned for purchase in FY 2025/26. Prior to placing these units into front-line service, each vehicle requires specialized safety upfitting, equipment installation, and operational modifications to meet fire service deployment standards.

On August 11, 2025, the City issued a Request for Proposal (RFP) for vehicle upfitting and as-needed fleet maintenance services. The RFP was published in compliance with City’s Municipal Code Section 3.08 Purchasing System and purchasing policy. Proposals were evaluated by staff using established criteria, including qualifications, experience, and pricing. Based on the results of this competitive evaluation process, CITY OF MURRIETA Printed on 2/12/2026Page 1 of 2
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2/17/2026
Agenda Item No. 7.
including qualifications, experience, and pricing. Based on the results of this competitive evaluation process, Johnson Equipment Co. was selected as the most responsive and responsible bidder.

Johnson Equipment Co. provides the technical fire fleet upfitting and maintenance services necessary to support these vehicles throughout the acquisition and operational lifecycle. An as-needed agreement is required to facilitate timely installation, warranty service, and ongoing maintenance consistent with the adopted CIP and approved budgetary authority.

DISCUSSION
Murrieta Fire & Rescue is implementing the fire fleet replacement plan approved under the FY 2023/24 Capital Improvement Plan (Resolution No. 23-4699). To place replacement vehicles into service, specialized fire fleet upfitting and installation services are required.

While Ordinance No. 617-25 authorizes the City Manager to purchase fleet vehicles within adopted budget limits, it does not include the specialized upfitting services needed to deploy those vehicles. This agreement establishes an as-needed services mechanism to support fleet readiness, standardization, and timely deployment in alignment with the approved CIP and adopted budget authority.

FISCAL IMPACT
The total fiscal impact associated with the approval of this agreement is not-to-exceed $809,000 over a three- year term. Of this total, $759,000 will be funded by Murrieta Fire & Rescue, and $50,000 by the Municipal Services Department.

Fire Department funding for new vehicle upfitting will be supported through the Vehicle Replacement Fund account 7158200-71060, and as-needed fleet maintenance will be funded through the Fire Department Fleet Vehicle Maintenance account 1513540-62200. The Municipal Services Department portion will be funded through the General Fund account 1106560-71060.

The proposed FY 2025/26 and FY 2026/27 operating budgets include funding for these services. Expenditures in future fiscal years are subject to City Council budget approval.

ATTACHMENTS
ATT 1 - Johnson Equipment Co. Agreement
CITY OF MURRIETA Printed on 2/12/2026Page 2 of 2
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For City Clerk Use Only
Contract No._________

ON CALL AGREEMENT FOR GENERAL SERVICES
WITH THE CITY OF MURRIETA (“CITY”)
Project Name/Description (“Project”): As-Needed Vehicle Upfitting Services (Emergency and Non-Emergency)
Contractor Name (“Contractor”): Johnson Equipment
Contractor Business Type: Sole Proprietor
Contractor Address: 21155 Wallace Ave, Perris, CA 92570 Contractor Representative Name and Title (“Contractor Representative”): Greg Johnson, Owner Contractor Representative Work Phone: 951-940-0606
Contractor Representative Email: [email protected] Termination Date: Initial Termination Date January 31, 2027, Total Contract Term January 31, 2029
Total Not-To-Exceed Contract Amount (“Contract Sum”): $809,000 (Fire & Rescue $759,000- Municipal Services Department-$50,000)
City Department Contact (“Department Contact”): Dave Perez, Division Chief Department Contact Work Phone: 951-461-6168
Department Contact Email: [email protected]
Is Federal Funding Being Used to Fund Any Part of The Project (Yes/No): No 179

RECITALS
The City desires to contract with a Contractor to provide services on an on-call basis as more further set forth herein.

The City circulated a Request for Quotes or Proposals for the above-described services.

Contractor submitted a quote or proposal to City to provide the above-described services.

City Staff has reviewed all the proposals and after considering the demonstrated competence of Contractor, the qualifications of Contractor, and the fairness and reasonableness of Contractor’s proposed cost, staff has determined that an agreement to provide the required services should be awarded to Contractor.

Johnson Equipment
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ON-CALL AGREEMENT FOR GENERAL SERVICES
WITH THE CITY OF MURRIETA (“CITY”)

THIS AGREEMENT FOR SERVICES (“Agreement”) is made and entered into and effective on the date executed by the City by and between CITY OF MURRIETA, a California municipal corporation (“City”) and (“Contractor”). City and Contractor may be referred to individually as “Party” or collectively as “Parties.” In consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows:

ARTICLE 1. SERVICES OF CONTRACTOR

1.1 Scope of Services. In compliance with all terms and conditions of this Agreement, Contractor shall provide those services specified in the “Scope of Services” attached hereto as Exhibit “A” and incorporated herein by this reference, which may be referred to herein as the “services” or “work” hereunder. As a material inducement to City entering into this Agreement, Contractor represents and warrants: a) it has the qualifications, experience, and facilities necessary to properly perform the Services required under this Agreement b) all services set forth in the Scope of Services will be performed in a competent and satisfactory manner; c) all materials used for services will be both of good quality as well as fit for the purpose intended; and, d) Contractor shall follow the highest standards and practices in performing the services required hereunder. Individual tasks under the Scope of Services shall be established on a per project basis. Upon request by City, the Contractor shall provide a detailed task proposal including pricing consistent with those hourly rates as provided in Article II, below. Contractor shall not commence work until an Task Order is issued by the City authorizing the Contractor to perform such work.

1.2 Contractor’s Proposal. The Scope of Services shall include the scope of services or work included in Contractor’s proposal or bid, which shall be incorporated herein by this reference as though fully set forth herein. In the event of any inconsistency between the terms of such proposal or bid, and this Agreement, the terms of this Agreement shall govern. No other terms and conditions from Contractor’s proposal or bid, other than description of scope of services or work, shall apply to this Agreement, unless specifically agreed to by City in writing.

1.3 Compliance with Law. All services rendered hereunder shall be provided in accordance with all ordinances, resolutions, statutes, rules and regulations of City and any federal, State or local governmental agency having jurisdiction in effect at the time services are rendered. City, and its officers, employees and agents, shall not be liable at law or in equity for failure of Contractor to comply with this Section.

1.4 Licenses, Permits, Fees and Assessments.Contractor shall obtain at its sole cost and expense such licenses, permits and approvals as may be required by law for the performance of the services required by this Agreement. Contractor shall have the sole obligation to pay for any fees, assessments and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for 181
Contractor’s performance of the services required by this Agreement, and shall indemnify, defend and hold harmless City against any such fees, assessments, taxes, penalties or interest levied, assessed or imposed against City hereunder.

1.5 Familiarity with Work. By executing this Agreement, Contractor represents and warrants Contractor: a) has thoroughly investigated and considered services to be performed, b) has carefully considered how services should be performed, and c) fully understands the facilities, difficulties and restrictions attending performance of services under this Agreement.

1.6 Software and Computer Services. If the Scope of Services includes the provision and/or installation of any software, computer system, or other computer technology, Contractor represents and warrants that it is familiar with and/or has inspected City’s current infrastructure, equipment, computer system and software and that the software, computer system, or other computer technology provided and/or installed by Contractor under this Agreement is compatible, and shall be fully functional, with such infrastructure, equipment, computer system and software of City. Contractor acknowledges that City is relying on this representation by Contractor as a material consideration in entering into this Agreement.

1.7 Prevailing Wages. If services include any “public work” or “maintenance work,” as those terms are defined in California Labor Code section 1720 et seq. and California Code of Regulations, Title 8, section 16000 et seq., and if the total compensation is $1,000 or more, Contractor shall pay prevailing wages for such work and comply with the requirements in California Labor Code section 1770 et seq. and 1810 et seq., and all other applicable laws.

1.8 Contract Modifications. Additional terms and conditions of this Agreement, if any, or any modifications or revisions to the standard terms and conditions herein are made a part hereof as set forth in the “Contract Modifications” attached hereto as Exhibit “B” and incorporated herein by this reference. In the event of a conflict between the provisions of Exhibit “B” and any other provisions of this Agreement, the provisions of Exhibit “B” shall govern.

ARTICLE 2. COMPENSATION AND METHOD OF PAYMENT

2.1 Contract Sum. Subject to any limitations set forth in this Agreement, City agrees to pay Contractor the flat fee and/or rates specified in Exhibit “C”, Schedule of Compensation and/or within any Task Order. The total compensation for all work, including reimbursement for actual expenses, shall not exceed the Contract Sum set forth above. Compensation may include reimbursement, for actual and necessary expenditures, if both are specified in the any quote or Task Order, as well as approved by City in advance.

2.2 Invoices. In any month in which Contractor wishes to receive payment, no later than the first business day of such month, Contractor shall submit to City, in a form approved by City’s Finance Director, an invoice for services rendered prior to the 182
date of the invoice. By submitting an invoice for payment under this Agreement, Contractor is certifying compliance with all provisions of this Agreement. Except as provided in Sections 7.3, 7.4 and 7.5, City shall pay Contractor for all expenses stated thereon which are approved by City pursuant to this Agreement generally within thirty (30) days, and City will use its best efforts to make payment no later than forty-five (45) days, from the submission of an invoice in an approved form.

In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Contractor for correction and resubmission. Review and payment by City for any invoice provided by Contractor shall not constitute a waiver of any rights or remedies provided herein or any applicable law. Each invoice is to include (unless otherwise specified by City): 1) line items for all personnel describing the work performed, the number of hours worked, and the hourly rate; 2) line items for all materials and equipment properly charged to the Services; 3) line items for all other approved reimbursable expenses claimed, with supporting documentation; and 4) line items for all approved subcontractor labor, supplies, equipment, materials, and travel properly charged to the Services.

ARTICLE 3. PERFORMANCE SCHEDULE

3.0 Time of Essence. Time is of the essence in the performance of this Agreement.

3.1 Term.The Agreement shall commence upon the Effective Date set forth above and will continue until the Termination Date. This Agreement may be extended for up to two, additional one-year periods upon the mutual agreement in writing of both parties.

Unless earlier terminated in accordance with Article 7 of this Agreement, this Agreement shall continue in full force and effect until completion of any ongoing services, which shall be no later than the Termination Date set forth above.

Notwithstanding the foregoing, the Indemnification and Insurance provisions set forth in Article 5 shall survive the termination of this Agreement.

3.2 Schedule of Performance. Contractor shall commence the services pursuant to this Agreement upon receipt of a written Task Order and shall perform all services within the time period(s) established in the Task Order but no later than the Termination Date.

3.3 Force Majeure. The time period(s) specified in any Task Order for performance of services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of Contractor, including, but not restricted to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including City, if Contractor shall within ten (10) days of the commencement of such delay notify City in writing of the causes of the delay.

City shall ascertain the facts and the extent of delay, and extend the time for performing the services for the period of the enforced delay when and if in the judgment of City such delay is justified. City’s determination shall be final and 183
conclusive upon the Parties to this Agreement. In no event shall Contractor be entitled to recover damages against City for any delay in the performance of this Agreement, however caused, Contractor’s sole remedy being extension of this Agreement pursuant to this Section.

ARTICLE 4. COORDINATION OF WORK

4.1 Representative of Contractor. The Contractor Representative is authorized to act on Contractor’s behalf with respect to the work or services specified herein and to make all decisions in connection therewith. It is expressly understood that the experience, knowledge, capability and reputation of the representative was a substantial inducement for City to enter into this Agreement. Therefore, the representative shall be responsible during the term of this Agreement for directing all activities of Contractor and devoting sufficient time to personally supervise the services hereunder. For purposes of this Agreement, the representative may not be replaced nor may their responsibilities be substantially reduced by Contractor without the express written approval of City.

4.2 Department Contact for City. The Department Contact (or other person designated by the City Manager) shall be the primary person on behalf of City responsible for the administration of the Agreement. It shall be Contractor’s responsibility to assure that the Department Contact is kept informed of both the progress of the performance of the services as well as any decisions which must be made by City.

4.3 Approvals from City. City approvals or actions, pursuant to the authority of this Agreement, are to be made (unless otherwise specified) either by the City Representative, City Manager or by their delegate as provided for in writing.

4.4 Independent Contractor. Neither City, nor any of its officers, employees or agents, shall have any control over the manner or means by which Contractor, or its officers, employees, agents or subcontractors, perform the services required herein, except as otherwise set forth herein. Contractor shall perform all services required herein as an independent contractor of City and shall remain under only such obligations as are consistent with that role. Contractor shall not at any time or in any manner represent that it, or any of its officers, employees, agents or subcontractors, are officers, employees or agents of City. City shall not in any way or for any purpose become or be deemed to be a partner of Contractor in its business or otherwise or a joint venturer or a member of any joint enterprise with Contractor.

Contractor shall not incur or have the power to incur any debt, obligation or liability whatever against City, or bind City in any manner. Contractor represents and warrants that the personnel used to provide services to City pursuant to this Agreement shall at all times be under Contractor’s exclusive control and direction.

No City employee benefits shall be available to Contractor, its officers, employees, agents or subcontractors, in connection with the performance of this Agreement.

City shall not be liable for compensation or indemnification to Contractor, its 184
officers, employees, agents or subcontractors, for injury or sickness arising out of performing services hereunder.

4.5 Subcontracting or Assignment. The experience, knowledge, capability and reputation of Contractor, its principals and employees were a substantial inducement for City to enter into this Agreement. Therefore, without express written approval of City, Contractor shall not contract with any other entity to perform in whole or in part services required hereunder without express written approval of City, and neither this Agreement nor any interest herein may be transferred or assigned. No approved transfer shall release Contractor, or any surety or insured of Contractor, of any liability hereunder without express written consent of City.

ARTICLE 5. INSURANCE AND INDEMNIFICATION

5.1 Insurance Coverages. Prior to commencement of any services under this Agreement, and without limiting Contractor’s indemnification obligation to City, Contractor shall procure and maintain, at its sole cost and expense, in a form and content satisfactory to City, for the duration of the Agreement, primary policies of insurance of the type and amounts set forth in the “Insurance Requirements” attached hereto as Exhibit “D” and incorporated herein by this reference.

5.2 Indemnification.
(a) General Obligations. Contractor agrees, to the full extent permitted by law, to indemnify, defend and hold harmless City and its elected and appointed officers, employees and agents (each an “Indemnitee” and collectively, “Indemnitees”) against, and will hold and save them and each of them harmless from, whether actual or threatened, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein “Claims or Liabilities”) that may be asserted or claimed by any person, firm or agency arising out of or in connection with the performance of the work, operations or activities provided herein of Contractor, its officers, employees, agents, subcontractors, or invitees, or any individual or City for which Contractor is legally liable (each an “Indemnitor” and collectively, “Indemnitors”), and in connection therewith: 1) Contractor will defend any action or actions filed or threatened in connection with any such Claims or Liabilities, or at option of Indemnitee(s) will reimburse and pay for all costs and expenses, including legal costs and attorneys’ fees, incurred by Indemnitee(s) in connection therewith; and, 2) Contractor will promptly pay any judgment rendered against Indemnitee(s) for any such Claims or Liabilities, and will save and hold Indemnitee(s) harmless therefrom.

Further Provisions. The indemnity obligation herein shall be binding on successors, assigns and heirs of Contractor and shall survive termination of this Agreement.

Contractor shall incorporate similar indemnity agreements as provided herein with its subcontractors, and if Contractor fails to do so Contractor shall be fully responsible to indemnify City hereunder therefor. Failure of City and/or City 185
Parties (collectively “City” for solely this Section 5.2(b)) to monitor compliance with any of the indemnification provisions herein shall not be a waiver hereof.

Payment of invoices by City is not a condition precedent to enforcement of the indemnity obligation herein. In the event of any dispute between Contractor and City, as to whether liability arises from the sole negligence or willful misconduct of City, Contractor will be obligated to pay for City’s defense until such time as a final judgment has been entered adjudicating City as solely negligent or responsible for willful misconduct. Contractor will not be entitled in the absence of such a determination to any reimbursement of defense costs including but not limited to attorney’s fees, expert fees and costs of litigation.

ARTICLE 6. RECORDS, REPORTS AND RELEASE OF INFORMATION

6.1 Records.Contractor shall keep, and require subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports, studies or other documents relating to the disbursements charged to City and services performed hereunder (“books and records”) as shall be necessary to perform the services required by this Agreement and enable City to evaluate the performance of such services. Any and all such books and records shall be maintained in accordance with generally accepted accounting principles, shall be complete and detailed, and shall be readily accessible. City shall have full and free access to such books and records at all times during normal business hours of City, including the right to inspect, copy, audit and make records and transcripts. Such books and records shall be maintained for a period of three (3) years following completion of the services hereunder. City shall have access to such books and records in the event any audit is required. Contractor shall fully cooperate with City in providing access to any and all Contractor records and documents if a public records request is made and disclosure is required by law including but not limited to the California Public Records Act.

6.2 Ownership of Documents. All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents and other materials (“documents and materials”) prepared by Contractor, its officers, employees, agents and subcontractors in the performance of this Agreement shall be the property of City and shall be delivered to City upon request of City and/or upon the termination of this Agreement, and Contractor shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership, use, reuse, or assignment of the documents and materials hereunder. Contractor may retain copies of such documents and materials for its own use. Contractor shall have the right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any documents and materials prepared by them, and in the event Contractor fails to secure such assignment, Contractor shall indemnify City for all damages resulting therefrom. Moreover, with respect to any Contractor documents and 186
materials that may qualify as “works made for hire” as defined in 17 U.S.C. § 101, such documents and materials are hereby deemed “works made for hire” for City.

6.3 Confidentiality and Release of Information. All information gained or work product produced by Contractor in its performance of this Agreement shall be considered confidential, unless such information is in the public domain or already known to Contractor. Contractor shall not release or disclose any such information or work product to persons or entities other than City without prior written authorization from City. Contractor, its officers, employees, agents or subcontractors, shall not, without prior written authorization from City or unless requested by the City Attorney, voluntarily provide documents, declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered “voluntary” provided Contractor immediately gives City notice of such court order or subpoena. If Contractor, or any officer, employee, agent or subcontractor of Contractor, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Contractor for any damages, costs and fees, including attorney’s fees, caused by or incurred as a result of Contractor’s conduct. As concerning, regarding or related to, in any way, this Agreement and the work performed thereunder: a) Contractor shall immediately notify City should Contractor, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party; b) City retains the right, but has no obligation, to represent Contractor or be present at any deposition, hearing or similar proceeding; and, c) Contractor agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Contractor, however, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response.

ARTICLE 7. ENFORCEMENT OF AGREEMENT AND TERMINATION

7.1 California Law.This Agreement shall be interpreted, construed and governed both as to validity and to performance of the Parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Riverside, State of California, or any other appropriate court in such county, and Contractor agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in the County of Riverside, State of California.

7.2 Suspension, or Termination, Prior to Expiration of Term. This Section shall govern any termination of this Agreement except as specifically provided in Section

7.4 for termination for cause. City reserves the right to terminate or suspend this Agreement, or any portion hereof, at any time, for any reason, with or without cause, upon ten (10) days’ notice to Contractor, except that where termination or 187
suspension is due to the fault of Contractor, the period of notice may be such shorter time as determined by City. Upon receipt of any notice of termination or suspension, Contractor shall immediately cease all services hereunder, unless the notice provides otherwise, or except such as specifically approved by City. Upon submittal of an invoice consistent with Section 2.2, Contractor shall be entitled to compensation for all services rendered prior to the effective date of the notice of termination or suspension and for any services authorized by City thereafter in accordance with the any Task Order, or such as may be approved by City, except as provided in Section 7.5. In event of termination, or suspension, without cause pursuant to this Section, there is no need to provide opportunity to cure pursuant to Section 7.3.

7.3 Default of Contractor and Opportunity to Cure. In the event that Contractor is in default under the terms of this Agreement, City shall not have any obligation or duty to continue compensating Contractor for any work performed after the date of default. Instead, City may give notice to Contractor of the default and the reasons for the default. The notice shall include the timeframe in which Contractor may cure the default. This timeframe is presumptively ten (10) days, but may be extended, or reduced, if circumstances warrant, as determined by City. During the period of time that Contractor is in default, City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices, without liability for interest. In the alternative, City may, in its sole discretion, elect to pay some or all of the outstanding invoices during the period of default. If Contractor does not cure the default by conclusion of noticed timeframe, City may immediately both terminate this Agreement with notice to Contractor as well as pursue the remedy in Section 7.4, without prejudice to any other remedy to which City may be entitled at law, in equity or under this Agreement. Any failure on the part of City to give notice of Contractor’s default shall not be deemed to result in a waiver of City’s legal rights or any rights arising out of any provision of this Agreement.

7.4 Termination for Default of Contractor. If termination is due to the failure of Contractor to fulfill its obligations under this Agreement, City may, after compliance with the provisions of Section 7.3, take over the work and prosecute the same to completion by contract or otherwise, and Contractor shall be liable to the extent that the total cost for completion of the services required hereunder exceeds the compensation herein stipulated (provided that City shall use reasonable efforts to mitigate such damages), and City may withhold any payments to Contractor for the purpose of set-off or partial payment of the amounts owed City therefor.

7.5 Retention of Funds. Contractor hereby authorizes City to deduct from any amount payable to Contractor (whether or not arising out of this Agreement) (i) any amounts the payment of which may be in dispute hereunder or which are necessary to compensate City for any losses, costs, liabilities, or damages suffered by City, and (ii) all amounts for which City may be liable to third parties, by reason of Contractor’s acts or omissions in performing or failing to perform Contractor’s obligation under this Agreement. In the event that any claim is made by a third party, the amount or validity of which is disputed by Contractor, or any 188
indebtedness shall exist which shall appear to be the basis for a claim of lien, City may withhold from any payment due, without liability for interest because of such withholding, an amount sufficient to cover such claim. The failure of City to exercise such right to deduct or to withhold shall not, however, affect the obligations of Contractor to insure, indemnify, and protect City as elsewhere provided herein.

7.6 Waiver.Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision or a waiver of any subsequent breach or violation of any provision of this Agreement. Acceptance by City of any work or services by Contractor shall not constitute a waiver of any of the provisions of this Agreement. No delay or omission in the exercise of any right or remedy by a non-defaulting Party on any default shall impair such right or remedy or be construed as a waiver. Any waiver by either Party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement. Contractor acknowledges and agrees that any actual or alleged failure on the part of City to inform Contractor of non-compliance with any requirement of this Agreement imposes no additional obligations on City nor does it waive any rights hereunder. Payment to Contractor for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Contractor.

7.7 Rights and Remedies are Cumulative. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the Parties are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

7.8 Legal Action. In addition to any other rights or remedies, either Party may take legal action, in law or in equity, to cure, correct or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement. Notwithstanding any contrary provision herein, Contractor shall file a statutory claim pursuant to Government Code sections 905 et seq. and 910 et seq., in order to pursue a legal action under this Agreement.

7.9 Attorneys’ Fees. If either Party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorneys’ fees. Attorneys’ fees shall include attorneys’ fees on any appeal, and a Party entitled to attorneys’ fees shall be entitled to all other reasonable costs for investigating such action, Contractors’ fees, taking depositions and discovery and all other necessary costs the court allows which are incurred in such 189
litigation. Such fees and costs shall be enforceable whether or not such action is prosecuted to judgment.

ARTICLE 8. INDIVIDUAL LIABILITY, CONFLICTS AND NON-DISCRIMINATION

8.1 Non-liability of City Officers and Employees. No officer or employee of City shall be personally liable to Contractor, or any successor in interest, in the event of any default or breach by City or for any amount which may become due to Contractor or to its successor, or for breach of any obligation of the terms of this Agreement.

8.2 Conflict of Interest. Contractor covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contractor’s performance of services under this Agreement. Contractor further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of City. Contractor agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement. City, in its sole discretion, shall determine the existence of a conflict of interest and may terminate this Agreement in the event such a conflict of interest exists upon sending Contractor written notice describing the conflict. No officer or employee of City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to this Agreement which affects their financial interest or the financial interest of any corporation, partnership or association in which they are, directly or indirectly, interested, in violation of any State statute or regulation. Contractor warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement.

8.3 Covenant Against Discrimination. Contractor covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry or other protected class in the performance of this Agreement. Contractor shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry or other protected class.

ARTICLE 9. MISCELLANEOUS PROVISIONS

9.1 Notices. Any notice or other communication either Party desires or is required to give to the other Party or any other person in regards to this Agreement must be in writing and may be given either by (i) personal service, (ii) delivery by a reputable document delivery service, such as but not limited to, Federal Express, which provides a receipt showing date and time of delivery, or (iii) mailing in the United States Mail, certified mail, postage prepaid, return receipt requested, in the case of 190
City addressed to City Clerk at City of Murrieta, 1 Town Square, Murrieta California 92562, and in the case of Contractor, to the person(s) at the address designated on the cover page of this Agreement. Either Party may change its address by notifying the other Party of the change of address in writing. Notice shall be deemed communicated at the time personally delivered or in seventy-two (72) hours from the time of mailing if mailed as provided in this Section.

9.2 Interpretation. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either Party by reason of the authorship of this Agreement, headings used, or any other rule of construction which might otherwise apply.

9.3 Counterparts.This Agreement may be executed in counterparts, each of which shall be deemed an original, and such counterparts shall constitute one and the same instrument.

9.4 Integration; Amendment. This Agreement including the attachments hereto is the entire, complete and exclusive expression of the understanding of the Parties as to the Agreement. It is understood that there are no oral agreements between the Parties hereto affecting this Agreement, and this Agreement supersedes and cancels any and all prior and contemporaneous negotiations, arrangements, agreements and understandings, if any, between the Parties, concerning this Agreement, and none shall be used to interpret this Agreement. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by Contractor and by City.

9.5 Severability. Should a portion of this Agreement be declared invalid or unenforceable by a judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining portions of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent of the Parties unless the invalid provision is so material that its invalidity deprives either Party of the basic benefit of their bargain or renders this Agreement meaningless.

9.6 No Undue Influence. Contractor declares and warrants that no undue influence or pressure was used against or in concert with any officer or employee of City in connection with the award, terms or implementation of this Agreement, including any method of coercion, confidential financial arrangement, or financial inducement. No officer or employee of City has or will receive compensation, directly or indirectly, from Contractor, or from any officer, employee or agent of Contractor, in connection with the award of this Agreement or any work to be conducted as a result of this Agreement. Violation of this Section shall be a material breach of this Agreement entitling City to remedies in Section 7.4 and any and all remedies at law or equity.

9.7 Corporate Authority. The persons executing this Agreement on behalf of the Parties hereto warrant that (i) such Party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said Party, 191
(iii) by so executing this Agreement, such Party is formally bound to the provisions of this Agreement, and (iv) entering into this Agreement does not violate any provision of any other agreement to which said Party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the Parties.

9.8 Federal Funding. If federal funding is being utilized to fund any part of the Project, as indicated on the Cover Page of this Agreement, the terms of Exhibit Dare hereby incorporated herein by this reference. If no federal funding is being utilized, Exhibit D may be omitted.

[SIGNATURES ON FOLLOWING PAGE]
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IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first-above written.

CITY OF MURRIETA ATTEST :

By:_____________________________ By:_____________________________ Justin Clifton, City Manager Cristal McDonald, City Clerk Date: ___________________________ Date: ___________________________

APPROVED AS TO FORM

ALESHIRE & WYNDER, LLP
By: ____________________________
Tiffany Israel, City Attorney

CONTRACTOR:

By:_____________________________ By:_____________________________ Name: Greg Johnson Name:Click or tap here to enter text.

Title: Johnson Equipment, Owner Title: Click or tap here to enter text.

Date: ___________________________ Date: ___________________________

Two corporate officer signatures required when Contractor is a corporation, with one signature required from each of the following groups: 1) Chairperson of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. (Cal. Corp. Code § 313.) Appropriate attestations shall be included as may be required by the bylaws, articles of incorporation or other rules or regulations applicable to Contractor’s business City.

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EXHIBIT "A"

SCOPE OF SERVICES
I. Contractor will perform the following Services on an On-Call Basis:

This agreement will encompass the installation an/or removal of emergency equipment(lighting, radio, etc.) and vehicle electrical maintenance and service on its fleet vehicles in accordance with all manufactuers’ requirements. This contract will also include maintenance, repair and service not covered by manufacturer warranty. See attached rate sheet Exhibit A-1 II. Contractor must perform all on-call Services in compliance with the following requirements:

A. Each task shall be indicated by a written request (“Task Order”) produced by the Department Contact with a description of the work to be performed, and the time desired for completion. All tasks shall be carried out in conformity with all provisions of this Agreement. The Task Order may take the form or title of a “Purchase Order.” In the event of a conflict between the provision of any Task Order and any term of this Agreement, the provisions of this Agreement shall prevail.

B. Contractor must prepare a written description of the requested tasks including all components and subtasks; the costs to perform the task (“Task Budget”), using the itemized fees as set forth in Exhibit “C”; explain how the cost was determined; and, a schedule for completion of the task (“Task Completion Date”); which shall all collectively be referred to as the “Task Proposal”.

C. Department Contact shall in writing approve, modify or reject the Task Proposal, and may issue a Task Order.

D. The task shall be performed at a cost not to exceeding the Task Budget.

E. Contractor shall complete the task and deliver all deliverables to Department Contact by the Task Completion Date.

III. All work product is subject to review and acceptance by the City, and must be revised by the Contractor without additional charge to the City until found satisfactory and accepted by City.

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EXHIBIT "B"

CONTRACT MODIFICATIONS
(Superseding Contract Boilerplate)
Click or tap here to enter text.
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EXHIBIT “C”
I. The Scope of Work set forth herein shall be compensated for in the following manner:

Multiple flat rates for different specified services as set forth in Exhibit “A.” An hourly rate for some or all of the proposed services as set forth in Exhibit “A.” II. The total compensation for all Services shall not exceed the Contract Sum as provided in the Cover Page of this Agreement.

III. Contractor’s billing rates for any hourly Services are set forth in Exhibit “A.” In connection with the services provided pursuant to the terms of this Agreement, City will pay Contractor upon City’s receipt of a written invoice provided by Contractor no more than monthly. City will pay Contractor for work completed, billed in increments of six minutes (0.1 hours), not to exceed the Contract Sum. The City will reimburse the Contractor for reasonable out-of-pocket expenses related to performing services set forth in exhibit “A” that are approved in advance in writing by the City such as mileage, copies, binding costs, postage, parking, travel, and lodging expenses as part of the not to exceed Contract Sum. To receive reimbursements, the Contractor must provide the City with a receipt and a description of the expense incurred along with the invoice. No mark up on expenses may be added.

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EXHIBIT D

INSURANCE REQUIREMENTS
Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Contractor, its agents, representatives, or employees.

MINIMUM SCOPE AND LIMIT OF INSURANCE

Coverage shall be at least as broad as:

1. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal & advertising injury with limits no less than $2,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.

2. Automobile Liability: Insurance Services Office Form Number CA 0001 covering, Code 1 (any auto), or if Contractor has no owned autos, Code 8 (hired) and 9 (non-owned), with limit no less than $1,000,000 per accident for bodily injury and property damage.

3. Workers’ Compensationinsurance as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease.(Not required if Contractor provides written verification it has no employees)

5. Cyber: Vendor/Contractor shall procure and maintain for the duration of the contract insurance against claims for security breaches, system failures, injuries to persons, damages to software, or damages to property (including computer equipment) which may arise from or in connection with the performance of the work hereunder by the Vendor, its agents, representatives, or employees. Vendor shall procure and maintain for the duration of the contract insurance claims arising out of their services and including, but not limited to loss, damage, theft or other misuse of data, infringement of intellectual property, invasion of privacy and breach of data.

Cyber Liability Insurance, with limits not less than $2,000,000 per occurrence or claim, $2,000,000 aggregate. Coverage shall be sufficiently broad to respond to the duties and obligations as is undertaken by Vendor in this agreement and shall include, but not be limited to, claims involving security breach, system failure, data recovery, business interruption, cyber extortion, social engineering, infringement of intellectual property, 197
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including but not limited to infringement of copyright, trademark, trade dress, invasion of privacy violations, information theft, damage to or destruction of electronic information, release of private information, and alteration of electronic information. The policy shall provide coverage for breach response costs, regulatory fines and penalties as well as credit monitoring expenses.

If the Contractor maintains broader coverage and/or higher limits than the minimums shown above, the City requires and shall be entitled to the broader coverage and/or the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.

Other Insurance Provisions
The insurance policies are to contain, or be endorsed to contain, the following provisions:

Additional Insured Status
The City, its officers, officials, employees, and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of the Contractor including materials, parts, or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Contractor's insurance (at least as broad as ISO Form CG 20 10 11 85 or if not available, through the addition of both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 if a later edition is used).

Primary Coverage
For any claims related to this contract, the Contractor’s insurance coverage shall be primary and non-contributory and at least as broad as ISO CG 20 01 04 13 as respects the City, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, or volunteers shall be excess of the Contractor’s insurance and shall not contribute with it. This requirement shall also apply to any Excess or Umbrella liability policies.

Umbrella or Excess Policy
The Contractor may use Umbrella or Excess Policies to provide the liability limits as required in this agreement. This form of insurance will be acceptable provided that all of the Primary and Umbrella or Excess Policies shall provide all of the insurance coverages herein required, including, but not limited to, primary and non-contributory, additional insured, Self-Insured Retentions (SIRs), indemnity, and defense requirements. The Umbrella or Excess policies shall be provided on a true “following form” or broader coverage basis, with coverage at least as broad as provided on the underlying Commercial General Liability insurance. No insurance policies maintained by the Additional Insureds, whether primary or excess, and which also apply to a loss covered hereunder, shall be called upon to contribute to a loss until the Contractor’s primary and excess liability policies are exhausted.

Notice of Cancellation
Each insurance policy required above shall provide that coverage shall not be canceled, except with notice to the City.
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Waiver of Subrogation
Contractor hereby grants to City a waiver of any right to subrogation which any insurer of said Contractor may acquire against the City by virtue of the payment of any loss under such insurance.

Contractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer.

Self-Insured Retentions
Self-insured retentions must be declared to and approved by the City. The City may require the Contractor to purchase coverage with a lower retention or provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self-insured retention may be satisfied by either the named insured or City. The CGL and any policies, including Excess liability policies, may not be subject to a self-insured retention (SIR) or deductible that exceeds $25,000 unless approved in writing by City. Any and all deductibles and SIRs shall be the sole responsibility of Contractor or subcontractor who procured such insurance and shall not apply to the Indemnified Additional Insured Parties. City may deduct from any amounts otherwise due Contractor to fund the SIR/deductible. Policies shall NOT contain any self-insured retention (SIR) provision that limits the satisfaction of the SIR to the Named. The policy must also provide that Defense costs, including the Allocated Loss Adjustment Expenses, will satisfy the SIR or deductible. City reserves the right to obtain a copy of any policies and endorsements for verification.

Acceptability of Insurers
Insurance is to be placed with insurers authorized to conduct business in the state with a current A.M. Best’s rating of no less than A:VII, unless otherwise acceptable to the City.

Claims Made Policies (note – should be applicable only to professional liability, see below) If any of the required policies provide claims-made coverage:

1. The Retroactive Date must be shown, and must be before the date of the contract or the beginning of contract work.

2. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work.

3. If coverage is canceled or non-renewed, and not replacedwith another claims-made policy form with a Retroactive Date prior to the contract effective date, the Contractor must purchase “extended reporting” coverage for a minimum of five (5) years after completion of work.

Verification of Coverage
Contractor shall furnish the City with original certificates and amendatory endorsements or copies of the applicable policy language effecting coverage required by this clause and a copy of the Declarations and Endorsements Pages of the CGL and any Excess policies listing all policy endorsements. All certificates and endorsements and copies of the Declarations & Endorsements pages are to be received and approved by the City before work commences. However, failure to 199
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obtain the required documents prior to the work beginning shall not waive the Contractor’s obligation to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time.

City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

Subcontractors
Contractor shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Contractor shall ensure that City is an additional insured on insurance required from subcontractors.

Duration of Coverage
CGL & Excess liability policies for any construction related work, including, but not limited to, maintenance, service, or repair work, shall continue coverage for a minimum of 5 years for Completed Operations liability coverage. Such Insurance must be maintained, and evidence of insurance must be provided for at least five (5) years after completion of the contract of work.

Special Risks or Circumstances
City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

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CITY OF MURRIETA
City Council Meeting Agenda
Report
2/17/2026
Agenda Item No. 8.

TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Matt Henry, Chief of Police
PREPARED BY: Stephanie Lawson, Management Analyst - Administration SUBJECT:

Tobacco Law Enforcement Grant

RECOMMENDATION
Adopt Resolution No. 26-4911 entitled: A Resolution of the City Council of the City of Murrieta, California, Authorizing the City Manager to Accept Grant Funding from the State of California Department of Justice, Office of Attorney General in an Amount Not to Exceed $167,997 to Implement Strategies to Reduce Underage Tobacco Use; And Agreeing to the Terms of that Grant; Amend the Fiscal Year 2026/27 Operating Budget to allocate and appropriate the grant funding; and Authorize the City Manager, and/or their designee, to execute the Memorandum of Understanding and all necessary documents to accept the grant.

PRIOR ACTION/VOTE
On April 16, 2019, the City Council adopted Resolution 19-4061, accepting the award of the California Department of Justice Tobacco Enforcement Grant (Vote: 5-0) On February 6, 2024, the City Council adopted Resolution 24-4724, accepting the award of the California Department of Justice Tobacco Enforcement Grant (Vote: 5-0)

CITY COUNCIL GOAL
Provide a high level of innovative public safety.

DISCUSSION
To increase service levels to the community, the Murrieta Police Department continually seeks federal, state, and local grant funding to strengthen public safety services. The Police Department applied to the U.S. Department of Justice and was awarded a three (3) year grant for tobacco enforcement. During the grant period, the Police Department will (a) Conduct tobacco retailer inspections each year to review required signage, licensing, products sold, and age-verification practices; (b) Inspect every retailer at least twice annually; and (c) Complete minor decoy and undercover operations to identify and cite CITY OF MURRIETA Printed on 2/12/2026Page 1 of 2
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Agenda Item No. 8.
retailers who illegally sell tobacco products.

To improve compliance, the Police Department will provide educational materials and conduct on-site outreach to retailers, focusing on tobacco laws and proper ID verification. Additionally, the Police Department will provide annual briefings and ongoing training to enforcement officers on current tobacco laws and local ordinances. The project’s objective is to help retailers achieve 100% compliance with applicable federal, state, and local laws within the three (3) year performance period.

FISCAL IMPACT
This grant fund award is for $167,997, with the State providing 100% reimbursement, as identified in the attached Grant Memorandum of Understanding (MOU). There is no match or cost-sharing requirement for participation in the Tobacco Law Enforcement Grant. However, this grant is reimbursable in nature, requiring the City to expend funds prior to requesting reimbursement.

The following are the budget allocations for implementing the proposed project over its three (3) year performance period starting in Fiscal Year (FY) 2026/27. These funds will cover the overtime and administrative costs associated with the program. The approval of the recommended action will amend the FY 2026/27 budget as follows:

Establish a Revenue Budget in General Ledger Account 3580030-42221, Job Ledger Account 50186358- 42221 by $55,999, and various Expenditure Budgets in General Ledger Account 3580030, Job Ledger Account 50186358 by $55,999. The budget appropriation is the same for all three (3) years of the grant (Fiscal Years 2026/27, 2027/28, and 2028/29).

ATTACHMENTS
ATT 1 - Resolution No. 26-4911
ATT 2 - Grant MOU with the California DOJ reference DOJ-PROP56-2025-26-1-0311 ATT 3 - Tobacco Grant Summary of Award
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RESOLUTION NO. 26-4911

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

MURRIETA, CALIFORNIA, AUTHORIZING THE CITY MANAGER

TO ACCEPT GRANT FUNDING FROM THE STATE OF

CALIFORNIA DEPARTMENT OF JUSTICE, OFFICE OF ATTORNEY
GENERAL IN AN AMOUNT NOT TO EXCEED $16 7,997 TO

IMPLEMENT STRATEGIES TO REDUCE UNDERAGE TOBACCO
USE; AND AGREEING TO THE TERMS OF THAT GRANT

WHEREAS, on June 3, 2025 , the City of Murrieta ("City") City Council approved the City's Operating Budget for Fiscal Year s 2025/2026 and 2026/2027 , including the Police Department budget; and
WHEREAS, the California Department of Justice (“DOJ”) issued a request for proposals for grant funding to implement programs that would seek to reduce underage tobacco use and educate local communities on this public health issue with no requirement for local matching funds; and
WHEREAS, the Murrieta Police Department submitted a proposal to the California Department of Justice that sought to address underage tobacco use utilizing effective methods of enforcement and education; and
WHEREAS, the California Department of Justice selected the Murrieta Police Department for grant funding in the amount of $ 167,997.00 to implement strategies to reduce underage tobacco use in Murrieta and to educate the community on the dangers of underage tobacco use.

NOW, THEREFORE BE IT RESOLVED, by the City Council of Murrieta, California, as follows:

Section 1. That the City of Murrieta accepts California Department of Justice Tobacco Enforcement Grant in the amount of $167,997.00 and that the terms of the Grant are hereby approved.

Section 2. The City Manager is authorized to enter a contract with DOJ, incur grant - related expenses, and receive reimbursement therefore. The City Manager is further authorized to enter into future amendments to said contract in order to increase funding provided in the original contract.

Section 3. That the 2026/2027 Fiscal Year Operating Budget, as adopted by Resolution 25-4837, is amended to increase the Police Department budget by $55,999.00.

Section 4. That the expenditure in advance of reimbursement by the State under the terms of the California Department of Justice Grant is authorized pursuant to the terms of the Grant.

Section 5. That the City Manager and/or his/her designee is authorized to implement the program consistent with the requirements of the terms of the Grant.

PASSED, APPROVED AND ADOPTED this 17th day of February, 2026.

_____________________________
Jon Levell, Mayor

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Resolution No. 26-4911

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01375.0010 2082679.1

ATTEST:

____________________________
Cristal McDonald, City Clerk

APPROVED AS TO FORM:

_____________________________
Tiffany Israel, City Attorney

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE )§

CITY OF MURRIETA )
I, Cristal McDonald, City Clerk of the City of Murrieta, California, do hereby certify that the foregoing Resolution No. 26-4911 was duly passed and adopted by the City Council of the City of Murrieta at the regular meeting thereof, held on the 17th day of February, 2026, and was signed by the Mayor of the said City, and that the same was passed and adopted by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:
_________________________
____
Cristal McDonald, City Clerk

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Tobacco Grant Program
Grant Services Branch – Local Assistance
Division of Operations
Murrieta Police Department DOJ-PROP56-2025-26-1-031

Page 1 of 3 ends

MEMORANDUM OF UNDERSTANDING

PURPOSE
This Memorandum of Understanding (“MOU”) is entered into by the Department of Justice (“DOJ”) and the Murrieta Police Department (“Grantee”), for the purpose of disbursing grant funds to Grantee for reimbursement of expenditures in compliance with the California Code of Regulations and the Fiscal Year 2025-26 Grantee Handbook.

Commencing January 1, 2023, the California Code of Regulations, Title 11, Division 1, Chapter 5:

Department of Justice Tobacco Grant Program (“TGP Regulations”) shall govern the policies and procedures of the Tobacco Grant Program.

The TGP Regulations, Request for Proposals, Grantee Handbook (dated April 2025), and Summary of Award document are hereby incorporated by reference into this MOU. Grantee will expend funds for the purposes identified in the approved Summary of Award document. Reimbursements are to be funded under the California Healthcare, Research and Prevention Tobacco Tax Act of 2016, approved by the voters as Proposition 56.

COST REIMBURSEMENT
DOJ agrees to reimburse Grantee in arrears, for Grantee’s actual expenditures in performing the project or scope of work included in the approved Summary of Award document. Reimbursements for line items in the approved Budget Detail will be made upon receipt of invoices from Grantee and approval of the invoices by DOJ, in accordance with the reimbursement procedures set forth in the TGP Regulations and Grantee Handbook.

BUDGET CONTINGENCY CLAUSE
It is mutually agreed, if the Budget Act of the current fiscal year and/or any subsequent years covered under the MOU does not appropriate sufficient funds, the MOU shall be of no further force and effect.

In the event this situation occurs, DOJ shall have no liability to reimburse/pay any funds to Grantee, or to furnish any other considerations under this MOU. As well, Grantee shall not be obligated to continue performing the provisions of this MOU, for which the Grantee would have been reimbursed.

If funding for any fiscal year is reduced or deleted in the Budget Act for purposes of this MOU, DOJ shall have the option to either cancel this MOU with no liability occurring to DOJ or offer an addendum to the Grantee to reflect the reduced amount.

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PROJECT BREACH-TERMINATION
Failure of a Grantee to comply with this MOU or the TGP Regulations shall be treated by DOJ as a breach of contract. If an act of noncompliance occurs, DOJ may take actions described within the TGP Regulations, including termination. DOJ may terminate this MOU and be relieved of any obligation to disburse grant funds to Grantee should Grantee fail to perform the scope of work at the time and in the manner provided in this MOU.

MISCELLANEOUS PROVISIONS
Addendum – No addendum or variation of the terms of this MOU is valid unless made in writing and signed by the duly authorized representatives of the parties.

Assignment – This MOU is not assignable by Grantee in whole or in part.

Indemnification – Grantee agrees to indemnify and hold harmless DOJ, its officers, agents and employees from all claims, liabilities, or losses in connection with the performance of this MOU.

Certifications – Grantee certifies that it does not receive funding from a manufacturer, distributor, or advertiser of Cigarettes or Tobacco Products. Grantee further certifies that grant funds will not supplant existing state or local funds dedicated for the same purpose.

TERMS
Grant Duration: 11/21/2025 – 6/30/2029

Award Amount
Category of Expenditure Budget
FY 2025-2026
Budget
FY 2026-2027
Budget
FY 2027-2028
Budget
FY 2028-2029
Personnel Services $ $53,333 $53,333 $53,333
Operating Expenses and
Equipment $ $0 $0 $0
Administrative Costs (Not to
Exceed 5%) $ $2,666 $2,666 $2,666
TOTAL AWARD AMOUNT $167,997

The time limit for reimbursements against this award ends 6/30/2029. Requests for reimbursement received after 7/15/2029 cannot be considered by DOJ.

GRANTEE CONTACT INFORMATION
Jacob Bock, Sergeant
Murrieta Police Department
2 Town Square
Murrieta, CA 92562
951-461-6318
[email protected]

AUTHORIZATION
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DOJ and Grantee, by their duly authorized officials, have executed this MOU on the respective dates indicated below. This MOU and any future addendums shall be e-mailed to [email protected], care of the Division of Operations, Local Assistance Unit, Tobacco Grant Program, and will become fully executed upon completion of signatures from all parties.

GRANTEE AUTHORIZATIONS

___________________________________ ___________________ NAME: Matt Henry Date
Title: Chief
Agency: Murrieta Police Department

___________________________________ ___________________ NAME: Justin Clifton Date
Title: City Manager
Agency: City of Murrieta

DOJ AUTHORIZATIONS

______________________________ ___________________
DOJ GRANT MANAGER Date
Division of Operations
California Department of Justice

___________________________________ ___________________ DOJ FISCAL DIRECTOR Date
Division of Operations
California Department of Justice

__________________________________ ___________________
DOJ CHIEF OF OPERATIONS Date
Division of Operations
California Department of Justice

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Tobacco Grant Program
GRANT SERVICES BRANCH – LOCAL

ASSISTANCE

DIVISION OF OPERATIONS

11/19/2025 Page 1 of 4

TOBACCO GRANT SUMMARY OF AWARD
DOJ-PROP56-2025-26-1-031

MURRIETA POLICE DEPARTMENT
This Summary of Award document will be used by the Tobacco Grant Program when determining whether an activity or expense claimed was approved for funding and is reimbursable. Activities other than those presented here may not be reimbursable. A Grant Modification may be necessary for material deviations. Please consult with your Grant Program Officer before engaging in any activity beyond this scope or if you have questions about the scope of the activities and budget allowability.

By signing the Memorandum of Understanding, your agency agrees to the commitments outlined below and this document becomes part of the Grant Agreement.

AWARD SUMMARY
Award Amount: $167,997 Requested Amount: $167,997
Removed from Award: None

Reduced Line Items: None

Other Changes or Stipulations:

IMPORTANT PROVISIONS FOR ALL GRANTEES
I. Enforcement Activities
a. Authorized - If enforcement activities were proposed, only activities that target retailers for illegal sales/marketing of tobacco products were approved. It is expected that the flavor ban will be enforced within one or more enforcement activities. b. Unauthorized - Community or school patrols, or other enforcement actions related to tobacco use and possession, are not permitted.

II. Educational Activities
a. Authorized – Retailer and/or officer educational activities on tobacco laws and ordinances, if included, are authorized as noted below. b. Unauthorized – School or community education efforts, including media campaigns, are not permitted as part of this award. All educational efforts should be directed to retailers and/or officers.
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III. Removed Personnel or Other Items
a. If specific personnel or other items were removed and not funded, they cannot be reinstated during the grant term.

IV. Reduced Line Items
a. If a specific line item was reduced, the intention was to not fully fund it or the activities it represents.

V. Mileage/Fuel
a. Budgets that include mileage or fuel were amended to include both together in one line item for flexibility and the type of backup documentation available. Mileage is limited to the state rate in effect at the time of travel.

VI. Equipment
a. All equipment items must be purchased during the first year of the project as noted on the Budget Detail. Their awarding is intended to support project goals and be used to support grant activities throughout the grant term.

Please reference the Tobacco Grant Program Grantee Handbook for more information regarding allowable costs.

GOALS AND ACTIVITIES
Retail Inspections
 Per year, 120 retailers will be inspected.
 Additional details regarding these inspections:
o Inspections will be conducted randomly or at retailers that have shown to be problematic. The focus of the inspections will be included signage issues, items sold, tobacco licensing problems, and verification of age. It will be the intention of the Murrieta Police Department to conduct at least two retail inspections per year at every retailer with the reasonable operation border.

Minor Decoy Operations
 Per year, 10 minor decoy operations will be conducted.  Per year, 10 retailers will be targeted through these operations.  Additional details regarding these operations:
o This program will consist of a minor decoy, under the direct supervision of a team of police officers, soliciting a retailer to sell or furnish that minor with tobacco products.

Any retailer/person selling or furnishing tobacco products to the minor will be cited and/or booked under CPC 308. Prior to any operation, officers will collect and review complaints and information provider by citizens, schools, special event organizers and officers. Officer will review the data and evidence and develop a plan to target the appropriate retail location. The success will be measured quantitatively by the number of persons who furnished tobacco products over those who did not. 210
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Shoulder Tap Operations
N/A
Undercover Buys
 Per year, 15 undercover buy operations will be conducted (other than minor decoy or shoulder tap).
 Per year, 15 retailers will be targeted through these operations.  Additional details regarding these undercover operations:
o After reviewing the collected complaints of Tobacco retailers, non-uniformed officers will attempt to purchase illegal items for retail stores. A uniformed office will be in the area to provide safety as needed. If a sale is completed, a uniformed officer will contact the seller and conduct enforcement as needed.

Retailer Education
 Per year, 20 retailers will receive educational materials.  Per year, 60 retailers will receive on-site education.  Additional details regarding these retailer education activities:
o Murrieta Police plan to educate tobacco retailers by conducting regular outreach and compliance checks to ensure understanding of state tobacco laws, such as the minimum legal sales age of 21 and restrictions on flavored tobacco products. Murrieta PD plans to offer training sessions or distribute informational materials that explain legal requirements, the consequences of non-compliance, and strategies for properly verifying identification. Murrieta plan to help retailers stay informed about current regulations and support efforts to reduce youth access to tobacco products.

Enforcement Officer Education
 Per year, 100 enforcement officers will receive education about tobacco laws and ordinances.  Additional details regarding these officer education activities:
o The Murrieta Police Department plans to enhance officer education on California's tobacco laws by integrating training into daily briefings, disseminating updates via departmental emails, and incorporating relevant topics into ongoing on-the-job training programs.

Prosecution
N/A
Task Force
N/A
Other Activities
N/A
PARTNERING AGENCIES – NOT APPLICABLE
Please notify your Grant Program Officer of any proposed changes to partnering agencies, particularly if they are included within your budget.
211

Tobacco Grant Program
GRANT SERVICES BRANCH – LOCAL

ASSISTANCE

DIVISION OF OPERATIONS

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CITY OF MURRIETA
City Council Meeting Agenda
Report
2/17/2026
Agenda Item No. 9.

TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Bob Moehling, Public Works Director
PREPARED BY: Renée Santos, Administrative Assistant - Engineering SUBJECT:

Acceptance of Public Improvements in Parcel Map 38185

RECOMMENDATION
Accept the Public Improvements in Parcel Map 38185, located south of Clinton Keith Road, and east of Whitewood Road;
Authorize City Engineer to release ninety percent (90%) of the related security bonds in place; and Request the Municipal Services Department to perform continued maintenance of the aforementioned public improvements in conformance with the City of Murrieta’s maintenance standard.

PRIOR ACTION/VOTE
None.

CITY COUNCIL GOAL
Plan, program and create infrastructure development.

DISCUSSION
On May 27, 2024, the City of Murrieta (City) entered into an agreement with Murrieta II Multifamily, LLC to construct certain public improvements within Parcel Map (PM) 38185. PM 38185 is a subdivision of 27 multiple -story buildings, including 330 apartment dwelling units and 153 condominium dwelling units, as well as a recreation center and on-site amenities located south of Clinton Keith Road and east of Whitewood Road.

The public improvements within PM 38185, including street paving, curb and gutter, sidewalks, drive approaches, and a storm drain system, have now been completed. The improvements were inspected by qualified City personnel within the Department of Public Works/Engineering under the direction of the City Engineer, who has determined that the public improvements are satisfactory and have been completed in compliance with applicable City standards and regulations.

It is in the City’sbest interest to maintain the public improvements through regular upkeep in conformance with CITY OF MURRIETA Printed on 2/12/2026Page 1 of 2
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It is in the City’sbest interest to maintain the public improvements through regular upkeep in conformance with City maintenance standards. Therefore, staff recommends that the City Council request the Municipal Services Department to provide continued maintenance of the aforementioned public improvements.

FISCAL IMPACT
The City will be responsible for maintaining the public improvements on an ongoing basis. The annual cost is covered in the Municipal Services Maintenance Operating Budget.

ATTACHMENTS
ATT 1 - Vicinity Map
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CLINTON KEITH RD
W
HITEW
O
OD RD

ARENDT LN
LOS

ALAMOSRD

LINDSTRAND AVE
PM 38185 2/17/2026
AttachmentVicinity Map
300 0 300150 Feet
E

LOCATION MAP
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CITY OF MURRIETA
City Council Meeting Agenda
Report
2/17/2026
Agenda Item No. 10.

TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Brian Ambrose, Community Services Director
PREPARED BY: Brian Ambrose, Community Services Director SUBJECT:

Homeless Services Funding Source Adjustment and Budget Amendment

ABSTRACT
This report recommends targeted adjustments to the City’sexisting homeless services funding to better align City resources with current community needs while minimizing impacts to the City’sfinancial resources. The proposed actions include reallocating funding for street outreach services and a limited number of emergency shelter beds to Encampment Resolution Funding (ERF). These funding shifts are informed by the demonstrated success of the Murrieta Creek Project and the evolving service needs of individuals who continue to experience homelessness.

Additionally, Riverside County funding may be available in the future to support housing navigation and case management, which could further reduce reliance on the City’s financial resources. City Council action is requested to authorize the proposed funding reallocations and approve the associated budget amendment.

RECOMMENDATION
Authorize the use of existing Encampment Resolution Funding to support a two (2)-member City Net street outreach team serving the cities of Murrieta and Wildomar; Authorize the use of existing Encampment Resolution Funding to fund a limited number of emergency shelter beds at the Murrieta Emergency Shelter operated by Project Touch; Authorize the use of existing Encampment Resolution Funding of approximately $109,252; and Amend the Fiscal Year (FY) 2025/26 Operating Budget to establish an appropriation of $446,300 using General Fund Unassigned Fund Balance.

PRIOR ACTION/VOTE
On November 19, 2024, the City Council approved an agreement with Project T.O.U.C.H. to provide Emergency Shelter Services with a total not to exceed $2,600,862.76 over five years (Vote:5-0).

On February 18, 2025, the City Council approved an agreement with City Net for homeless street outreach and case management services at the emergency shelter for a total not to exceed $1,483,130 over two years CITY OF MURRIETA Printed on 2/12/2026Page 1 of 5
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Agenda Item No. 10.
and case management services at the emergency shelter for a total not to exceed $1,483,130 over two years (Vote: 5-0).

On April 1, 2025, the City Council accepted Encampment Resolution Funding (ERF) from the County of Riverside Housing and Workforce Solutions for homeless outreach activities in the amount of $6,655,713.60 (Vote: 4-0-1).

On April 1, 2025, the City Council approved an agreement for homeless outreach activities between the City of Murrieta and Kingdom Causes, Inc. dba City Net in the amount not to exceed $5,734,829.53 (Vote 4-0-1).

On September 16, 2025, the City Council approved an amendment to the FY 2025/26 Operating Budget to establish an appropriation of $562,873.92 using General Fund Unassigned Fund Balance for the Homeless Services contracts (Vote 5-0).

CITY COUNCIL GOAL
Coordinate and deliver responsive, effective community services.

History
In Fiscal Year (FY) 2016/17, the City of Murrieta was a co-founding member of the Regional Homeless Alliance (RHA), an informal collaboration among cities in Southwest Riverside County focused on addressing homeless services through a coordinated regional approach. Since that time, Murrieta has taken a leadership role in advancing regional partnerships with Riverside County and nonprofit service providers to support a more seamless homeless response system. In February 2024, the cities of Murrieta and Wildomar entered into an agreement under which Murrieta provides homeless services within Wildomar using existing agreements and service models, an arrangement that has proven mutually beneficial.

In October 2024, Riverside County, in partnership with four (4) Southwest Riverside County cities, was awarded a $12.6 million Encampment Resolution Funding (ERF) for the Murrieta Creek Project to address homelessness along the Murrieta Creek Trail. On April 1, 2025, the City Council accepted a direct allocation of over six (6) million in ERF funding as the project lead and approved an agreement with Kingdom Causes, Inc., doing business as City Net, to provide homeless outreach services. In February 2025, the City Council approved a separate agreement with City Net for street outreach and shelter-based case management, followed by approval of an agreement with Project T.O.U.C.H. in November 2025 to operate the Murrieta Emergency Shelter. As the ERF program has progressed and community needs have evolved, staff now brings this item forward to adjust funding sources, align services with current conditions, and reduce impacts to the City’s financial resources.

Analysis
Implementation of the Murrieta Creek ERF program has resulted in a significant reduction in encampments within the Murrieta and Wildomar riverbed areas, leading to a smaller, and more dispersed unsheltered population along the creek corridor. Individuals who remain unsheltered are predominantly single adults with higher service needs, requiring ongoing outreach, stabilization, and intensive case management to achieve housing outcomes.

The City Net street outreach team continues to maintain consistent engagement with this population, providing regular contact, service coordination, and housing navigation services throughout Murrieta and Wildomar. By transitioning these outreach positions to ERF, the City can sustain critical services while strategically reducing CITY OF MURRIETA Printed on 2/12/2026Page 2 of 5
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Agenda Item No. 10.
the impact on its financial resources.

Additionally, the strategic use of a limited number of emergency shelter beds provides immediate stabilization and access to onsite supportive services, including case management and healthcare. These services are essential for individuals with higher acuity needs and offer a cost-effective, flexible response by stabilizing clients while individualized housing sustainability plans are developed.

Anticipated Homeless Housing, Assistance, and Prevention (HHAP) funding from Riverside County would further support existing navigation and case management positions. This funding would strengthen regional housing navigation efforts, improve client outcomes, and further reduce reliance on local operating funds.

While the City has not been awarded this grant, City staff are hopeful that the funding will be available in the near future.

Considering that the Murrieta Creek ERF program has resulted in a significant reduction in encampments within the Murrieta and Wildomar riverbed areas, leading to a smaller and more dispersed unsheltered population in Murrieta, City staff requested the ERF grantor, Riverside County, to allow the service area to expand beyond the Murrieta Creek riverbed and use funding to support the following services for the remaining grant period.
· Two (2) street outreach officers with City Net; and
· Five (5) bed nights with Project Touch.

Key Considerations
The proposed funding adjustments are dependent on the availability of existing ERF and anticipated HHAP funds, both of which are time-limited and subject to state and county eligibility requirements. Ongoing coordination with regional partners and service providers will be necessary to ensure program activities remain aligned with grant objectives, compliance standards, and expenditure timelines. In addition, anticipated HHAP funding is contingent upon formal regional cooperation, and discussions are ongoing to finalize the structure and agreements related to the Regional Housing Authority (RHA).

Pros/Cons
Pros
· Cost Savings for City Budget
Using ERF and anticipated HHAP funds to cover outreach and case management positions reduces reliance on the City’s operating budget while creating a regional collaboration. · Enhanced Outreach and Engagement
Funding a two (2)member City Net street outreach team ensures continued engagement with individuals experiencing homelessness in Murrieta and Wildomar without service reduction. · Immediate Shelter Access
Allocating ERF funds for two to five (2-5) emergency shelter beds provides rapid stabilization opportunities for individuals with higher service needs.
· Improved Service Coordination
Shelter-based case managers funded through anticipated HHAP will enhance regional housing navigation and support transitions into permanent housing.
· Alignment with City Goals
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Agenda Item No. 10.

Supports the City Council’s goal to deliver responsive and effective community services.

Cons
· Temporary Nature of Funding and Dependence on External Funding Reliance on ERF and HHAP funds introduces risk if future allocations are reduced or delayed. Currently, ERF expires in June 2027, and HHAP funding is an annual funding process subject to available funding.

Alternatives

1. Fund Services Exclusively Through City Operating Budget · Outcome:

Maintain current service levels by reallocating City financial resources to cover outreach, case management, and emergency shelter beds.
· Risks/Limitations:
o Significant strain on City financial resources, potentially requiring cuts to other programs. o Limits flexibility for future homelessness initiatives. o Does not capitalize on available state and county funding streams.

2. Reduce Scope of Services
· Outcome:

Scale back outreach and shelter services to fit within existing City budget allocations. · Risks/Limitations:
o Fewer outreach staff and limited shelter access could lead to increased encampments and public safety concerns.
o Slower progress toward housing placements and stabilization for individuals experiencing homelessness.

3. Seek Alternative Funding Sources
· Outcome:

Pursue grants or partnerships outside ERF and HHAP allocations. · Risks/Limitations:
o Uncertainty in timing and availability of alternative funding. o Potential gaps in service delivery while awaiting new funding sources. o Additional administrative burden to identify and secure new funding streams.

FISCAL IMPACT
The financial obligations with the agreement with Project T.O.U.C.H. for Emergency Shelter Services from January 2026 through June 2026 is $252,480. For the same period, the financial obligations with the agreement with City Net for Homeless Street Outreach and Case Management Services is $303,072. The total fiscal impact is $555,552.

City Council approval for this agenda report’s recommendation will result in the following actions:
· Authorize the use of existing Encampment Resolution Funding to support a two (2) member City Net street outreach team serving the Cities of Murrieta and Wildomar; · Authorize the use of existing Encampment Resolution Funding to fund a limited number of emergency shelter beds at the Murrieta Emergency Shelter operated by Project Touch; CITY OF MURRIETA Printed on 2/12/2026Page 4 of 5
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Agenda Item No. 10.
· Authorize the use of existing Encampment Resolution Funding of approximately $109,252 budgeted in account 3580050-60480 50174358-60480; and
· Amend the Fiscal Year (FY) 2025/26 Operating Budget to establish an appropriation of $446,300 using General Fund Unassigned Fund Balance for the Homeless Services contracts in account 1105100- 60480.

ATTACHMENTS
None.

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CITY OF MURRIETA
City Council Meeting Agenda
Report
2/17/2026
Agenda Item No. CS1.

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CITY OF MURRIETA
City Council Meeting Agenda
Report
2/17/2026
Agenda Item No. CS2.

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City Council Meeting Agenda
Report
2/17/2026
Agenda Item No.

Subject:

Aidan Zingg Commemoration
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Murrieta City CouncilFebruary 17, 2026

Murrieta City Council
February 17, 2026