Agenda packet — Pismo Beach City Council, March 3, 2026

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AMENDED AGENDA
Pismo Beach City Council
Tuesday, March 3, 2026
City Hall None
Council Chamber, City Hall https://us02web.zoom.us/j/84823715585 1 Live virtual viewing is offered via Zoom.
2 Broadcast meeting also available for viewing on cable Channel 20 and online at pismobeach.org/agenda.

0.MEETING INSTRUCTIONS:

These meetings are being conducted in a hybrid format with both in-person and virtual options. Ways to watch these meetings and submit public comment are provided below.

Watch and participate in person:
•Regular Meeting: Visit the Council Chamber at City Hall, 760 Mattie Road, Pismo Beach, CA 93449. •To make Regular Meeting public comment, please submit an optional blue “speaker slip” to staff; the Mayor will ask you to approach the lectern to speak during the public comment period on your item of interest. •To make Closed Session public comment, please be present in the Council Chamber when the Closed Session is publicly convened; the Mayor will call for public comment prior to commencing the closed proceedings.

Watch via Zoom:
•Regular Meeting only: Click this link on any computer or mobile device:
https://us02web.zoom.us/j/84823715585 . This URL may also be typed into a web browser.

Listen via telephone:
•Regular Meeting only: Call 1-669-900-6833 to join by telephone audio only. Enter Meeting ID 848 2371 5585 when prompted.

Watch online:
•Regular Meeting only: Visit www.pismobeach.org/agenda and scroll to “Upcoming Events.” When the live broadcast begins, an “In Progress” link will appear; click this link to watch the livestream. A recording of the meeting will be available on demand shortly after the meeting ends.

Watch on Channel 20:
•Regular Meeting only: Tune to local cable channel 20 in Pismo Beach; the meeting will be broadcast live.

Meetings are also replayed at 9:00 a.m., 6:00 p.m., and 1:00 a.m. each day the following week.

Submit written comment prior to, or during, the meeting:
•Regular Meeting and Closed Session: In advance of the meeting, written comments may be emailed to [email protected] or mailed or delivered to the City Clerk’s Office, 760 Mattie Road, Pismo Beach, CA 93449. During the Regular Meeting no later than the start of the comment period for your item of interest, written comment may be hand-delivered to staff in the Council Chamber. Emails and other written comment submitted after the start of the meeting may not be fully considered prior to any action taken on the item.

Submit voicemail comment:
•Regular Meeting and Closed Session: Call 805-773-7005 and leave a voicemail before the meeting.

Voicemails submitted after the start of the meeting may not be fully considered prior to any action taken on the item. This automated voicemail line will not be answered or monitored for other purposes.

Please note:
•In the event a Council Member participates in this meeting by teleconference under the provisions of Government Code Section 54953(f), public comment will be accepted via Zoom, including by telephone audio, as required by law. However, the timing of a request by a Council Member to participate remotely may not allow sufficient time to post an agenda containing information on how the public may participate via Zoom or telephone. In such instances, the City Clerk or another staff member will orally provide such information at the meeting. •Meetings may begin a few minutes after the scheduled start time. •Meetings will be recorded, except closed sessions; these recordings are public record. •Phone numbers of call-in attendees may be visible to other meeting attendees, or in meeting recordings. •Phone numbers of voicemail commenters may be visible in the public record along with transcripts.

Please contact City Clerk Erica Inderlied at [email protected] with questions.

Council Agenda 3-3-2026

Pismo Beach City Council Agenda March 3, 2026

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Special Closed Session—4:00 p.m.

City Hall, 760 Mattie Road, Pismo Beach, CA 93449
CALL TO ORDER: Mayor Waage

1.ROLL CALL:

Mayor: Waage
Mayor Pro Tem: Reiss
Council Members: Guthrie, Inman, Newton

2.ANNOUNCEMENT OF CLOSED SESSION ITEM(S) – Council Chamber The following item was added on February 27, 2026.

Item 2.A: Conference with Real Property Negotiators (Government Code §54956.8) Properties: APN 060-546-001 and APN 060-546-020
Agency Negotiator: Jorge E. Garcia
Negotiating Parties: Camino Media Office Park, LLC
Under Negotiation: Terms of Sale
Item 2.B: Conference with Legal Counsel – Anticipated Litigation Initiation of litigation pursuant to paragraph (4) of subdivision (d) of Government Code §54956.9: One potential case
Item 2.C: Conference with Real Property Negotiators (Government Code §54956.8) Property: 1243 Ocean Boulevard (APN 010-302-013)
1201 Ocean Boulevard (APN 010-302-012)
Agency Negotiator: Jorge E. Garcia
Under Negotiation: Terms of Sale

3.PUBLIC COMMENT PERIOD – Council Chamber
At this time, members of the public may comment on any item appearing on the agenda.

Please adhere to the following procedures when addressing the Council:
•Please limit your comments to 3 minutes or less.
•Unduly disruptive behavior will not be permitted.

Documents submitted to the Council become public record unless otherwise exempt from disclosure.

4.CLOSED SESSION – Closed Meeting Room
The City Council will convene in Closed Session to discuss the items listed under Item 2 above. In accordance with the Brown Act, public access is not permitted for this portion of the meeting.

5.CLOSED SESSION REPORT – Council Chamber
If a regular meeting immediately follows this Closed Session, the Closed Session Report will be made during the regular meeting.

6.ADJOURNMENT
Meeting Time Date Location
5:30 p.m. Council Chamber, City Hall
Council Agenda 3-3-2026

Pismo Beach City Council Agenda March 3, 2026

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Regular Meeting—5:30 p.m.

Council Chamber, City Hall, 760 Mattie Road, Pismo Beach, CA 93449 CALL TO ORDER: Mayor Waage

1. ROLL CALL:

Mayor: Waage
Mayor Pro Tem: Reiss
Council Members: Guthrie, Inman, Newton

2. PLEDGE OF ALLEGIANCE

3. ACCEPTANCE OF AGENDA

4. PRESENTATIONS
Item 4.A: Presentation: South County Historical Society 50th Anniversary (South County Historical Society)

5. PUBLIC COMMENT PERIOD
At this time, members of the public may comment on any item NOT appearing on the agenda. For items appearing on the agenda, including the Consent Calendar, the public will be invited to make comments during Council consideration of the item. In accordance with state law, matters raised as part of this comment period cannot be discussed or acted upon by the City Council at this time.

However, in response to a matter raised as part of this comment period, the Council may, during Item 13, City Council Comments and Requests, direct staff to assist a speaker, or schedule the matter for consideration on a future agenda.

Please adhere to the following procedures when addressing the Council:
• Please limit your comments to 3 minutes or less. • Unduly disruptive behavior will not be permitted.

Documents submitted to the Council become public record unless otherwise exempt from disclosure.

6. CITY MANAGER’S REPORT - No action to be taken

7. CITY ATTORNEY’S REPORT / CLOSED SESSION REPORT - No action to be taken

8. COUNCIL COMMITTEE REPORTS

1. Air Pollution Control District, SLO County (Newton/Reiss)

2. California Joint Powers Insurance Authority (Reiss/Inman) Central Coast Blue Regional Recycled Water Authority
(Waage/Guthrie)
Chapman Estate Foundation (Liaison) (Reiss)
Coastal Cities Group, League of CA Cities (Waage)
Conference and Visitors Bureau / LBID Board (Liaison) (Inman) Friends of Price House Liaison (Waage)
Hazard Mitigation & Fire Safety (Inman/Waage)

Mobile Home Rent Stabilization Subcommittee (Inman/Waage) Regional Transit Authority, SLO (Waage/Reiss)
Shell Beach Improvement Group Liaison (Inman/Reiss)
SLOCOG (Waage/Reiss)
South County Chambers Gov’t Affairs (Guthrie/Inman)
Visit SLO CAL Advisory Committee (Inman)
Water Resources Advisory Committee, SLO (Guthrie/Inman) Zone 3 Water Advisory Committee, SLO (Guthrie/Inman)
(Govt Code Section 53232.3)

Council Agenda 3-3-2026

Pismo Beach City Council Agenda March 3, 2026

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9. CONSENT CALENDAR
All Consent Calendar items will be acted upon by a single action of the City Council unless otherwise requested by an individual Council Member for separate consideration. Public comment on Consent Calendar items will be invited prior to action on the Calendar.

Item 9.A: Adoption of Meeting Minutes (Inderlied)

Recommendation:

Adopt Minutes of the February 17, 2026 Regular Meeting.

Item 9.B: Payroll Register and Register of Demands (Feeser)

Recommendation:

1. Approve the Summary of Payroll Register for February 8, 2026;

2. Approve the Register of Demands for February 6, 2026 and February 13, 2026.

Item 9.C: Monthly Investment Transaction Report of the City’s Cash and Investments for January 2026 of Fiscal Year 2026 (Feeser)

Recommendation:

No action recommended; for information only.

Item 9.D: 2025 Multi-Jurisdictional Hazard Mitigation Plan (Graham)

Recommendation:

Adopt a Resolution approving and adopting the 2025 update to the Multi- Jurisdictional Hazard Mitigation Plan.

Item 9.E: Notice of Completion for the Wastewater Treatment Plant Clarifiers Equipment Replacement Project (Gaglione)

Recommendation:

1. Accept the Wastewater Treatment Plant Clarifiers Equipment Replacement Project as complete;

2. Authorize the City Manager to sign, and the City Clerk to record, a Notice of Completion.

Item 9.F: Agreement with Channel Islands Technology Integrators’ Group for a Disaster Recovery System, Arcserve, to Facilitate Hyper-V Conversion (Feeser)

Recommendation:

Adopt a Resolution authorizing the City Manager to enter into an agreement with Channel Islands Technology Integrators’ Group, Inc. to provide a disaster recovery system, Arcserve, in the amount of $148,521.64 in Fiscal Year 2026.

10. ITEMS PULLED FROM CONSENT CALENDAR

Council Agenda 3-3-2026

Pismo Beach City Council Agenda March 3, 2026

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11. PUBLIC HEARINGS - No earlier than 6:00 p.m.

None.

12. BUSINESS ITEMS - May be reordered and heard prior to Public Hearings

Item 12.A: Report on 2025 Northern Cities Management Area (NCMA) Technical Group Strategic Plan (Gaglione)

Recommendation:

Receive a report on the NCMA Technical Group 2025 Strategic Plan. No action recommended.

Item 12.B: San Luis Obispo Council of Governments Final Transportation Expenditure Plan for Potential Transportation Sales Tax Measure (Garcia)

Recommendation:

Provide direction on whether to adopt a resolution approving the San Luis Obispo Council of Governments Final Transportation Expenditure Plan for a potential transportation sales tax measure.

Item 12.C: Capital Improvement Program Semi-Annual Report (Gaglione)

Recommendation:

No action recommended; for information only.

13. CITY COUNCIL COMMENTS AND REQUESTS - No action to be taken

14. ADJOURNMENT

To the following meeting(s). Special and Closed Session times may be subject to change, as noticed. Meetings will be held in a hybrid in-person / virtual format unless otherwise noted:

Closed Session Friday, March 13, 2026
Regular Meeting Tuesday, March 17, 2026
Regular Council meetings will adjourn by 11:00 p.m. unless four-fifths of the Council votes to continue past that time. If the meeting is adjourned at 11:00 p.m., any remaining agenda items will be continued to the next regular meeting (R-97-04).

AFFIDAVIT OF POSTING
I, Erica Inderlied, City Clerk for the City of Pismo Beach, declare under penalty of perjury that the foregoing agenda for the March 3, 2026 meeting(s) of the Pismo Beach City Council was posted on February 26, 2026,

Meeting Schedule: The City Council of Pismo Beach regularly meets on the first and third Tuesdays of each month at 5:30 p.m., unless otherwise noticed. Closed and Special sessions will be duly noticed as needed.

Council Agendas: Agendas for Regular Meetings are available for public review on the City’s website at pismobeach.org/agenda and upon request from the City Clerk’s Office, typically by 4:00 p.m. on the Thursday prior to the meeting, but no later than 72 hours prior to the meeting. Agendas for Closed Sessions Council Agenda 3-3-2026

Pismo Beach City Council Agenda March 3, 2026

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and other Special meetings are made available at least 72 hours prior to the meeting when possible, but no later than 24 hours prior to the meeting.

Related Materials: All materials submitted to the Council relating to items on this agenda are open for public inspection unless otherwise exempt by law. Staff reports and attachments published as part of this agenda packet, as well as copies of correspondence received relating to these agenda items and materials distributed at the meeting, may be obtained 1) in the consolidated online Agenda Center at pismobeach.org/agenda, 2) in the Access Pismo public records portal at pismobeach.org/accesspismo, 3) by request from the City Clerk at [email protected], or 4) in person at the City Clerk's Office, City Hall, 760 Mattie Road, Pismo Beach, Mon–-Fri 8:00 a.m.–-5:00 p.m. Please call (805) 773-7003 with any questions.

Broadcasting: Regular (televised) City Council meetings are available for viewing 24/7 at pismobeach.org/agenda, broadcast live on Channel 20, and re-broadcast during the week following the meeting on Channel 20 at 9:00 a.m., 6:00 p.m., and 1:00 a.m. each day.

Use of Equipment: Please contact the City Clerk’s Office if requesting to use the chamber equipment during public comment or as part of a scheduled presentation, 24 hours prior to the meeting at (805) 773-7003.

Notice Regarding Americans with Disabilities Act
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting or if you need agenda documents provided in an alternative format, please contact the City Clerk’s Office at 773-7003 as soon as possible prior to the meeting to ensure that reasonable arrangements can be made (28CFR 35.102-

35.104 ADA Title II).

Council Agenda 3-3-2026

PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.A
March 3, 2026
TITLE:

Adoption of Meeting Minutes
RECOMMENDATION:

Adopt Minutes of the February 17, 2026 Regular Meeting.

DISCUSSION:

Attached for the Council’s consideration are the draft minutes of the subject meetings for review and adoption.

FISCAL IMPACT:

There is no fiscal impact associated with the preparation or adoption of meeting minutes.

ATTACHMENTS:

1.Draft Minutes of the February 17, 2026 Regular Meeting Submitted by:

Erica Inderlied, City Clerk
City Manager Approval:

Council Agenda 3-3-2026 9.A-1
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DRAFT MINUTES
Pismo Beach City Council
Tuesday, February 17, 2026
Regular Meeting—5:30 p.m.

Council Chamber, City Hall, 760 Mattie Road, Pismo Beach, CA 93449 The City Council of the City of Pismo Beach met this date in a regular session with Mayor Waage presiding.

CALL TO ORDER: 5:30 p.m.

1.ROLL CALL:

Present: Absent:

Mayor Ed Waage None
Mayor Pro Tem Mary Ann Reiss
Council Member Marcia Guthrie
Council Member Stacy Inman
Council Member Scott Newton
Staff Present:

Nadia Feeser, Administrative Services Director
Rosemarie Gaglione, Director of Public Works
Jorge Garcia, City Manager
Scot Graham, Community Development Director
Dan Herlihy, Police Commander
Erica Inderlied, City Clerk
Gordon Jackson, Director of Tourism and Events
Dean Pucci, City Attorney
Other staff present as noted below

2.PLEDGE OF ALLEGIANCE
Mayor Waage led the Pledge of Allegiance.

3.ACCEPTANCE OF AGENDA
No requests to reorder the agenda.

Council Agenda 3-3-2026 9.A-2
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4.PRESENTATIONS
Item 4.A: Proclamation: Recognizing February 2026 as Black History Month (NAACP SLO County)
Presented to Barry Stokes, NAACP SLO County.

Shelby Bowen commented.

5.PUBLIC COMMENT PERIOD
Call for public comment: No comment.

6.CITY MANAGER’S REPORT
City Manager Garcia commented on various topics.

7.CITY ATTORNEY’S REPORT / CLOSED SESSION REPORT
City Attorney Pucci had nothing to report.

8.COUNCIL COMMITTEE REPORTS
The Council reported on recent and upcoming meetings of various external bodies:

Council Member Newton:

San Luis Obispo County Integrated Waste Management Authority (IWMA) Board.

Mayor Pro Tem Reiss:

Chapman Estate Foundation Board.

Mayor Waage:

San Luis Obispo Local Agency Formation Commission (SLO LAFCO).

San Luis Obispo County Community Fire Safe Council.

9.CONSENT CALENDAR
Call for public comment: No comment.

Action: Adopt Consent Calendar (Items 9.A through 9.B).

Motion: Newton
Second: Inman
Council Agenda 3-3-2026 9.A-3
Attachment 1
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Vote: The motion passed on the following vote:

Ayes: 5 Newton, Inman, Guthrie, Reiss, Waage
Noes: 0

Absent: 0
Abstain: 0
Recused: 0
Item 9.A: Adoption of Meeting Minutes (Inderlied)
Recommendation:

Adopt Minutes of the February 3, 2026 Closed and Regular Joint Meeting.

Item 9.B: Payroll Register and Register of Demands (Feeser) Recommendation:

1.Approve the Summary of Payroll Register for January 25, 2026;

2. Approve the Register of Demands for January 16, 2026, January 23, 2026 and January 30, 2026.

10.ITEMS PULLED FROM CONSENT
None.

12.BUSINESS ITEMS
This item was reordered.

Item 12.A: 2025 Risk Management Annual Report (Buchanan) Recommendation: No action recommended; for information only.

Presenting staff:

Bianka Buchanan, Human Resources Officer
Jorge Garcia, City Manager
Supplemental material submitted into the record.

Guest presenters:

Tim Karcz, California Joint Powers Insurance Authority
Call for public comment: No comment.

Action: No action.

Council Agenda 3-3-2026 9.A-4
Attachment 1
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11. PUBLIC HEARINGS

Item 11.A: Public Hearing to Review and Adopt Final Funding Recommendations on the County of San Luis Obispo 2026 Action Plan, Including Community Development Block Grant Funds (Graham)

Recommendation:

Adopt a Resolution approving final funding recommendations to forward to the County of San Luis Obispo for inclusion in the 2026 Community Development Block Grant Action Plan.

Presenting staff:

Jorge Garcia, City Manager
Scot Graham, Community Development Director

Supplemental material submitted into the record.

Public Hearing / Call for public comment: No comment.

Action: Adopt a Resolution approving final funding recommendations to forward to the County of San Luis Obispo for inclusion in the 2026 Community Development Block Grant Action Plan.

Motion: Newton
Second: Inman

Vote: The motion passed on the following vote:

Ayes: 5 Guthrie, Inman, Newton, Reiss, Waage
Noes: 0

Absent: 0
Abstain: 0
Recused: 0

Legislative Record: Resolution R-2026-007 adopted.

12. BUSINESS ITEMS

Item 12.A: 2025 Risk Management Annual Report (Buchanan)

This item was reordered and heard prior to Item 11.A.

13. CITY COUNCIL COMMENTS AND REQUESTS

No action.

Council Agenda 3-3-2026 9.A-5
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14.ADJOURNMENT
At 6:29 p.m.

APPROVED: ATTEST:
________________________________ ________________________________ Ed Waage, Mayor Erica Inderlied, City Clerk
Council Agenda 3-3-2026 9.A-6
Attachment 1
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PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.B
March 3, 2026
TITLE:

Payroll Register and Register of Demands
RECOMMENDATION:

1. Approve the Summary of Payroll Register for February 8, 2026;

2. Approve the Register of Demands for February 6, 2026, and February 13, 2026.

DISCUSSION:

Attached are the Summary of Payroll Register(s) and Register(s) of Demands (Check Registers) noted above, provided for Council approval.

FISCAL IMPACT:

As demonstrated in the attached payroll and check registers.

ATTACHMENTS:

1.Payroll Summary

2. Registers of Demands
Submitted by:

Nadia Feeser, Administrative Services Director/City Treasurer City Manager Approval:

Council Agenda 3-3-2026 9.B-1
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FOR PERIOD ENDING 02/08/26
CHECKS DATED 02/13/26

PAYROLL CHECKS AND DIRECT DEPOSIT TRANSACTIONS
Checks 577257 1
ACH 136

EARNINGS
REGULAR 442,559.41
HOLIDAY 6,128.12
OVERTIME (Includes Comp Time Payouts)19,812.81
Administration -
Building -
Conference & Visitors Bureau -
Police Department 12,638.72
Parking -
Planning -
Fire -
Recreation 382.88
Public Works 238.68
Water 3,294.76
Wastewater 3,257.77
Motor Vehicles -
Subtotal-Overtime 19,812.81$

SALARY ADJUSTMENTS -
TRAINING / UNIFORM ALLOWANCE 360.00
OTHER EARNINGS 11,497.92
FEDERAL WITHHOLDING TAX 44,362.55
FICA & MEDICARE 37,567.87
STATE INCOME TAX 18,105.31
STATE DISABILITY INSURANCE 6,079.39
GARNISHMENTS 2,139.67
HEALTH 4,004.85
SUPPLEMENTAL DISABILITY 1,207.67
SECTION 125 3,274.10
PERS 43,436.79
DEFERRED COMPENSATION 14,990.03
ADDITIONAL LIFE INSURANCE 345.01
UNION DUES 2,609.52
PISMO ATHLETIC CLUB 525.00
OTHER
DIRECT DEPOSIT DEDUCTION 300,190.21
NET PAYROLL AFTER ACH DEPOSIT 1,520.29

SUMMARY PAYROLL REGISTER
Council Agenda 3-3-2026 9.B-2
Attachment 1
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ACH/Vendor Check
Check#Number
136319 10434
136320 12275
136321 12433
136322 14440
136323 11382
136324 12625
136325 14363
136326 14832
136327 10295
136328 11951
136329 11392
136330 14217
136331 15081
136332 12098
136333 14476
136334 11522
136335 11333
136336 12610
136337 15216
136338 10085
136339 13880
136340 10410
136341 12628
136342 12307
136343 14741
136344 14638
136345 13586
136346 14791
136347 10922
136348 12144
136349 12952
136350 11993
136351 13385
136352 11739
136353 14926
136354 UB*01248
136355 12279
136356 15204
136357 12163
136358 10097
136359 15215
136360 13964
136361 10039
136362 14343
136363 10697
136364 14102
136365 13197
136366 14740
136367 12335
136368 14294
136369 14613
136370 14513
136371 13201
136372 15034
136373 13994
136374 11168
136375 13913
136376 10913
136377 10576
136378 15082
136379 14800
136380 10025
136381 14757
City of Pismo Beach
Final Disbursement List Check Date 02/06/2026

US BANK
Council Agenda 3-3-2026 9.B-3
Attachment 2
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ACH/Vendor Check
Check#Number
136382 14902 T & G Global LLC 23,293.47 Holiday Decorations & 2025 Holiday Decorations Installation & 136383 13442
136384 12461
136385 14821
136386 12622
136387 12132
Total:3,129,639.29$
Council Agenda 3-3-2026 9.B-4
Attachment 2
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ACH/Vendor Check
Check#Number
ACH 10002
ACH 11208
ACH 11305
ACH 12017
ACH 12260
ACH 12305
ACH 12708 626.25
ACH 12944
ACH 14547
136389 10434
136390 14760
136391 UB*01252 Kimberly Alden - Arnoldussen (T)123.44
136392 11382
136393 14647
136394 11589
136395 UB*01251 B&T Construction Inc 412.36
136396 10293
136397 15219 412.00
136398 10888
136399 14869
136400 12098
136401 14476
136402 14414
136403 14771
136404 14995
136405 13028
136406 14027
136407 14415
136408 14313
136409 12320
136410 14730
136411 14638
136412 13586
136413 10191
136414 13401
136415 15218 Nicole Marie Grandy 19.47
136416 10751
136417 UB*01250 Raymond & Roxie Holm 90.18
136418 13926
136419 10760
136420 15021
136421 10175
136422 14835
136423 13361
136424 14674
136425 10097
136426 14405
136427 13964
136428 11172
136429 14878
136430 12199
136431 14879
136432 10138
136433 12315
136434 14550
136435 10633
136436 11551
136437 12022
136438 14740
136439 12335
136440 12613
136441 13201
136442 15175
136443 11266
City of Pismo Beach
Final Disbursement List Check Date 02/13/2026

US BANK
Council Agenda 3-3-2026 9.B-5
Attachment 2
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ACH/Vendor Check
Check#Number
136445 14877 SCaDU 230.76 Tax Withholding Order PD 02/13/26 136446 14880
136447 11168
136448 14099
136449 13860
136450 14113
136451 12290
136452 14426
136453 12629
136454 15217 Allison Thomas 400.00
136455 14821
136456 UB*01249 Triad Property Management 117.54
136457 10843
136458 14931
136459 13392
136460 14115
136461 14034
136462 13678
136463 15116
136464 12288
136465 12132
136466 12686
Total:3,885,068.84$
Council Agenda 3-3-2026 9.B-6
Attachment 2
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PISMO BEACH CITY COUNCIL STAF REPOR
Agenda Item #9.C
Meetin Date: March 3, 2026
TITLE:

Monthly Investment Transaction Report of the City’s Cash and Investments for January 2026 of Fiscal Year 2026
RECOMMENDATION:

No action recommended; for information only.

DISCUSSION:

This report updates the City Council on the City of Pismo Beach’s monthly transactions of the City’s investment portfolio for the month ending January 31, 2026. California Government Code Section 53607 states that if the authority of the legislative body to invest or reinvest funds for the City is delegated to the City Treasurer, the City Treasurer shall make a monthly report of those transactions to the legislative body. Pursuant to Government Code Section 6505.5, this information is being provided here to the Pismo Beach Public Financing Authority, the Pismo Beach Public Financing Agency, and the Central Coast Blue Regional Recycled Water Authority, through the members of the City Council who sit on those boards.

The attached report includes all transactions of the City’s investments managed by the City, including funds invested in various securities and the City’s pooled funds invested in various financial instruments.
Attachment 1 provides a summary of the City’s cash, investments, and monthly interest earnings based on book value as of January 31, 2026. Attachment 2 provides details on the investment transactions for the General Fund Reserve and City Pooled Funds A (for deferred capital projects), including: purchases or deposits; sales, maturities, calls or withdrawals; and interest earnings. Attachment 3 provides details of the monthly transactions by fund for City Pooled Funds B (for current year expenditures) for the month ending January 31, 2026.

FISCAL IMPACT:

No fiscal impact from the report itself—information only.

ATTACHMENTS:

1. Summary Table for ALL Funds, including Book Values and Earnings Data for Investments in Other Financial Instruments

2. For the General Fund Reserve and City Pooled Funds A—Transactions on Investments in Securities

3. For City Pooled Funds B—Summary of monthly transactions by fund Prepared by: Vanessa Garris, Finance Manager
Submitted by: Nadia Feeser, Administrative Service Director / City Treasurer City Manager Approval:

Council Agenda 3-3-2026 9.C-1
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City of Pismo Beach
Investment Name Name of Institution Type of Investment
Current
Earnings
Rate Book Value
Actual Interest
Earned January
2026
Actual Year-to-
Date Interest
Earned Ending
1/31/26 * Data Sources
General Fund Reserves US Bank CDs/GASs/Corp
Bonds/Treasuries

3.12% avg 8,962,481 17,633$ 152,352$ 1
City Pooled Funds - A US Bank CDs/GASs/ Corp
Bonds/ MBSs/
Treasuries

3.30% avg 46,534,115 71,062 738,611 1
Total All Securities 55,496,596$ 88,695$ 890,962$ City Pooled Funds - B US Bank Custody 4.17%269,326$ 1,910$ 12,258$ 1 City Pooled Funds - B Local Agency Invest.

Fund (LAIF)
State Investment
Pool

4.20%424,301 - 8,976 2
City Pooled Funds - B PFM Asset Mgmt
CAMP
JPA Investment Pool 3.85%15,448,068 50,366 375,927 3 City Pooled Funds - B US Bank Checking & Sweep 3.31%17,277,045 43,422 272,171 4 City Pooled Funds - B 33,418,741$ 95,697$ 669,333$ City Pooled Funds total A + B 79,952,856$ 166,759$ 1,407,943$ Funds Held with Fiscal
Agent
Bond funds:

Wilmington Trust
2017 Pier Project 1,210$ 3$ 1,336$ 5 Funds Held with Fiscal
Agent
Bond funds:

Wilmington Trust
2017 CREB's
Project
1,004 3 1,005 5
Funds Held with Fiscal
Agent
Bond funds:

Wilmington Trust
2024 Public Safety
Facility
14,012,048 46,096 718,657 5
CalPERS Benefit Trust
OPEB Trust Account CalPERS Benefit Trust
Account
Various managed by
CalPERS
6,254,602$ -$ 434,880$ 6
TOTAL, Cash and Investments at January 31, 2026:109,184,201$ 230,494$ 2,716,173$ TOTAL for City Managed Portfolio, Cash and Investments:88,915,337$ 184,392$ 1,560,295$ Notes:
* Data Sources for Book Values and Actual Interest Earned:
1 = Monthly investment statement from US Bank
2 = Monthly statement from Local Agency Investment Fund 3 = Monthly statement from PFM Asset Management LLC
4 = Monthly reconciled bank statement from US Bank
5 = Monthly statement from Wilmington Trust
6 = Monthly statement from CalPERS Benefit Trust Account Attachment 1: Summary Table for All Funds,
including Book Values and Earnings Data for Investments in Other Financial Instruments Council Agenda 3-3-2026 9.C-2
Attachment 1
Packet Page 14

CITY OF PISMO BEACH
Attachment 2: For the General Fund Reserve and City Pooled Funds A Transactions on Investments in Securities
January 31, 2026

INVESTMENT ACTIVITY

PURCHASES OR DEPOSITS
01/07/26 Purchase US Treasury 500,762$
01/13/26 Purchase Totalenergies Cap USA LLC 611,101
01/15/26 Purchase US Treasury 314,381
01/15/26 Purchase US Treasury 96,247
01/20/26 Purchase US Treasury 558,184
01/20/26 Purchase US Treasury 119,503
01/20/26 Purchase US Treasury 203,198
01/21/26 Purchase Goldman Sachs 95,000
01/21/26 Purchase US Treasury 405,188
01/22/26 Purchase US Treasury 557,747
01/23/26 Purchase Wells Fargo Co 95,000
01/23/26 Purchase Truist Bank Sr 553,085
01/26/26 Purchase Morgan Stanley 281,291
Total 4,390,687$

SALES, MATURITIES, CALLS OR WITHDRAWALS
01/06/26 Matured US Treasury 698,525$
01/08/26 Sold US Treasury 453,778
01/14/26 Sold Johnson Johnson 303,042
01/15/26 Sold Toyota Mtr Cr Corp 94,892
01/20/26 Sold Caterpillar Financial 549,709
01/20/26 Sold Pacar Financial Corp Sr Nt 119,933
01/20/26 Sold Cisco Sys Inc 201,122
01/21/26 Sold Accenture Capital 393,028
01/22/26 Sold Alphabet Inc 555,586
01/22/26 Matured JP Morgan Chase Bank 500,000
01/23/26 Sold Mastercard Incorporated 200,576
01/26/26 Paid Down FNMA Gtd Remic 29,160
01/26/26 Paid Down FHLMC Multiclass Mtg 11,099
01/26/26 Paid Down FHLMC Multiclass Mtg 49
01/26/26 Paid Down FHLMC Multiclass Mtg 276
01/26/26 Paid Down FHLMC Multiclass Mtg 59
01/26/26 Paid Down FHLMC Multiclass Mtg 335
01/26/26 Paid Down FHLMC Multiclass Mtg 8,127
01/26/26 Paid Down FHLMC Multiclass Mtg 595
01/26/26 Paid Down FNMA Gtd Remic 618
01/26/26 Paid Down FNMA Gtd Remic 12,740
01/26/26 Sold Cisco Sys Inc 200,788
Total 4,334,036$
ACTIVITY TOTAL 56,650$

INTEREST REVENUE

GENERAL FUND RESERVE INVESTMENTS
Interest Earned on Investments 17,633$

POOLED INVESTMENTS
Interest Earned on Investments 71,062$
TOTAL INTEREST EARNED 88,695$
Data Source: Monthly Download of Transactions from US Bank Council Agenda 3-3-2026 9.C-3
Attachment 2
Packet Page 15

City of Pismo Beach
Attachment 3: For City Pooled Funds B - Summary of monthly transactions by fund Bank Account Proof of Cash for the month ending: 1/31/2026 Bank Account Description Bank ID Be innin Balance Cash Recei ts Disbursements Transfers-In Transfers-Out Endin Balance General Checking US Bank 14,290,734$ 8,222,015$ (5,235,704)$ -$ -$ 17,277,045$ LAIF LAIF 419,862 4,439 - - - 424,301
PFM Asset Management LLC CAMP 15,397,703 50,366 - - - 15,448,068 Total all Bank Accounts 30,108,298$ 8,276,820$ (5,235,704)$ -$ -$ 33,149,415$ Fund Description Fund # Be innin Balance Cash Recei ts Disbursements Transfers-In Transfers-Out Endin Balance General Fund
General Fund 1001-10101 4,525,422 4,199,323 (3,033,918) - - 5,690,826 General Fund-Reserve 1001-10105 54,644 219 - - - 54,863 Transaction Sales Tax Fund 1002 3,201,496 (24,641) - - - 3,176,855 Special Revenue Funds
Gas Tax Fund 2001 562,017 37,634 - - - 599,651
LTF - Streets 2002 600,857 6,488 - - - 607,345
PEG Access Fund 2003 150,722 663 (1,519) - - 149,866 Police Grant Fund 2004 119,760 89,137 - - - 208,897 Housing In Lieu Fund 2005 300,776 2,080 - - - 302,856 LBID Fund 2006 2,406,354 145,713 (140,232) - - 2,411,834 Chapman House 2007 1,486 (34) (827) - - 625
Capital Projects Funds
Capital Projects Fund 3001 581,529 1,708,610 (613,642) - - 1,676,497 Public Facilities Fund 3002 971 7 - - - 978
Park Development Fund 3003 304,793 1,515 - - - 306,308 Circulation Fund 3101 624,149 4,215 - - - 628,364 Development Impact Fee Fund 3102 66,803 374 - - - 67,177 Developer Impact Fee Fund 3103 184,857 1,249 - - - 186,106 Underground Utility Fund 3201 18,275 124 - - - 18,399 Council Agenda 3-3-2026 9.C-4
Attachment 3
Packet Page 16

City of Pismo Beach
Attachment 3: For City Pooled Funds B - Summary of monthly transactions by fund Bank Account Proof of Cash for the month ending: 1/31/2026 Fund Description Fund # Be innin Balance Cash Recei ts Disbursements Transfers-In Transfers-Out Endin Balance Debt Service Funds
Public Finance Authority Fund 4001 - - - - - - Public Finance Authority Fund 4002 - - - - - - Freeway Foothills AD Fund 4101 846 6 - - - 851 Spyglass AD Fund 4102 14,077 95 - - - 14,172
Indio-El Portal AD Fund 4112 817 6 - - - 823
Visalia Street AD Fund 4113 12,659 86 - - - 12,745 Enterprise Funds
Water Enterprise/Tax Fund 6101/6102 4,563,513 965,680 (178,431) - - 5,350,763 Water Construction Fund 6103 950,494 6,407 - - - 956,901 Water Expansion Fund 6104 651,243 3,096 - - - 654,340 Water Central Coast Blue JPA 6105 6,157 667 - - - 6,824 Wastewater Enterprise Fund 6201 1,488,848 138,646 (860,893) - - 766,602 Wastewater Construction Fund 6202 2,144,946 286,075 (259,945) - - 2,171,075 Wastewater Expansion Fund 6203 643,185 4,346 - - - 647,532 Wastewater CCB JPA 6204 12,776 1,254 - - - 14,029 LTF - Transit Fund 6301 - - - - - -
Pier Operations Fund 6401 139 6,648 (3,479) - - 3,308 Parking Fund 6501 2,133,683 243,131 (20,313) - - 2,356,501 Internal Service Funds
Technology Service Fund 7101 283,849 239,561 (141,860) - - 381,550 Motor Vehicle Fund 7201 1,483,384 178,784 (55,899) - - 1,606,270 Trust & Agency Funds
SLO County TMD 8201 141,018 111,786 (133,644) - - 119,160 Control Funds
Payroll Control Fund 9301 1,513,072 1,341 209,855 - - 1,724,269 Interest Control Fund 9302 182,849 (89,062) - - - 93,788 Utility Billing Control Fund 9304 175,829 4,636 - - - 180,464 M/R Control Fund 9305 - - - - - -
Total all cash funds 30,108,298 8,275,862 (5,234,746) - - 33,149,415 Council Agenda 3-3-2026 9.C-5
Attachment 3
Packet Page 17

INVESTMENTS
General Fund
General Fund Money Mrkt Csh 1001-10108 34,230 (34,230) - - - 0 General Fund - CD's 1001-10404 3,625,033 - - - - 3,625,033 General Fund - Fed Agency 1001-10405 3,299,000 - - - - 3,299,000 GF Reserve Money Mkt Cash 1001-10109 42,896 33,981 - - - 76,877 GF Reserve - CD's 1001-10403 2,537,967 - - - - 2,537,967 GF Reserve - Fed Agency 1001-10402 2,208,000 - - - - 2,208,000 GF Reserve - Building 1001-10406 202,000 - - - - 202,000 GF Reserve - Building - Federal 1001-10146 298,000 - - - - 298,000 GF Reserve - Risk Mgmt - CD's 1001-10407 200,000 - - - - 200,000 GF Reserve - Risk Mgmt - Fed A 1001-10140 50,000 - - - - 50,000 GF Corp Bond - Pooled 1001-10141 3,550,464 (561,008) - - - 2,989,456 GF Corp Bond - Reserve 1001-10145 2,702,751 (500,000) - - - 2,202,751 GF Municipal Bonds Pooled 1001-10142 - - - - - - GF Municipal Bonds Reserve 1001-10143 - - - - - - Risk Mgmt Muni Bonds Reserve 1001-10144 - - - - - - GF Treasury Note 1001-10410 5,438,405 1,157,356 - - - 6,595,761 GF Treasury Bill 1001-10411 - - - - - - GF Mortgage Back Sec 1001-10412 4,704,109 (39,160) - - - 4,664,949 GF Reserve Treasury Note 1001-10413 1,263,764 - - - - 1,263,764 GF CREB's Fiscal Agent 1001-10515 (0) - - - - (0) GF - Transaction Sales Tax CD's 1002-10404 245,000 - - - - 245,000 GF - Transaction Sales Tax Fed 1002-10405 500,000 - - - - 500,000 GF - Transaction Sales Tax Mny 1002-10108 - 7,753 - - - 7,753 Transaction Sales Tax - Pooled 1002-10141 1,005,184 281,291 - - - 1,286,475 Transaction Sales Tax - Muni Bo 1002-10142 - - - - - - Transaction Sales Tax Treasury 1002-10410 1,231,445 410,628 - - - 1,642,073 Transaction Sales Tax Treas Bill 1002-10411 698,525 (698,525) - - - - Transaction Sales Tax Mortg Bac 1002-10412 739,414 - - - - 739,414 Special Revenue Funds
Housing In Lieu - Mny Mkt Csh 2005-10108 1,631 158 - - - 1,789 Housing In Lieu Fund 2005-10404 140,000 - - - - 140,000 Housing In-Lieu Fed Agencies 2005-10405 140,000 - - - - 140,000 Housing In-Lieu Treasury Note 2005-10410 - - - - - - LBID Fund Money Market Cash 2006-10108 (0) 13,660 - - - 13,660 LBID Fund - Treasury Note 2006-10410 242,878 - - - - 242,878 LBID Fund - Pooled 2006-10141 889,501 - - - - 889,501 LBID Fund Mortgage Back Sec 2006-10412 838,288 (11,099) - - - 827,189 Capital Projects Funds
Capital Proj Fund Mny Mkt Cash 3001-10108 23,693 2,295 - - - 25,988 Capital Projects Fund - Pooled 3001-10141 403,640 - - - - 403,640 Capital Projects Fund - Fed Age 3001-10405 1,000,000 - - - - 1,000,000 Capital Proj Fd Mortgage Back S 3001-10412 556,682 - - - - 556,682 Park Develop. Fund Mny Mkt 3003-10108 - - - - - - Park Development Fund 3003-10404 - - - - - - Park Develop Federal Agencies 3003-10405 - - - - - - Circulation Fees Mny Mkt 3101-10108 - - - - - - Circulation Fees 3101-10404 - - - - - - Develop. Impact Fee Mny Mkt 3102-10108 4,081 1,038 - - - 5,119 Development Impact Fee Fund 3102-10404 245,000 - - - - 245,000 Impact Fees Federal Agencies 3102-10405 - - - - - - Council Agenda 3-3-2026 9.C-6
Attachment 3
Packet Page 18

INVESTMENTS
Debt Service Funds
Capital Proj Fund - Fiscal Agent 3001-10511 15,424,283 (1,412,235) - - - 14,012,048 Public Fin Fiscal Agent-Pier 4002-10510 1,206 3 - - - 1,210 Public Fin Fiscal Agent-PSF 4002-10511 - - - - - - Public Fin Fiscal Agent-CREBs 4002-10515 1,001 3 - - - 1,004 Visalia Street AD Fund 4113-10108 1,587 394 - - - 1,981 Visalia Street CD's 4113-10404 100,000 - - - - 100,000 Enterprise Funds
Water Fund Money Mrkt Csh 6101-10108 740 2,170 - - - 2,910 Water Fund CD's 6101-10404 735,000 - - - - 735,000 Wtr Fund Federal Agencies 6101-10405 1,155,000 - - - - 1,155,000 Wtr Fund Corp Bond - Pooled 6101-10141 3,128,111 (655,497) - - - 2,472,615 Water Fund Treasury Note 6101-10410 1,158,597 662,535 - - - 1,821,132 Water Construction Money Mkt 6103-10108 8,200 1,565 - - - 9,766 Wtr Constr. Fd Corp Bond-Pool 6103-10141 897,391 (393,028) - - - 504,363 Water Construction 6103-10404 - - - - - - Wtr Constr. Fd Treasury Note 6103-10410 - 405,188 - - - 405,188 Water Expansion Fd Mny Mkt Ca 6104-10108 34,493 1 - - - 34,494 Wtr Expansion Fund - Pooled 6104-10141 - - - - - - Water Fund Treasury Note 6104-10410 21,960 - - - - 21,960 Wastewater Fund Money Market 6201-10108 502 1,047 - - - 1,549 Wastewater Fund CD's 6201-10404 490,000 - - - - 490,000 Wastewater Fund Fed Agencies 6201-10405 1,100,000 - - - - 1,100,000 WWtr Fund Corp Bond - Pooled 6201-10141 1,652,830 (208,042) - - - 1,444,788 WWtr Fund Treasury Note 6201-10410 657,724 (334,275) - - - 323,448 Wastewater Fund Bank Note 6201-10414 - 553,085 - - - 553,085 Wastewater Expansion Fund Mn 6203-10108 14,324 3,565 - - - 17,889 WWtr Expansion Fd Mortgage B 6203-10412 1,094,546 - - - - 1,094,546 Parking Enterprise Money Mrkt 6501-10108 17,363 2,791 - - - 20,153 Parking Fund Corp Bond-Pooled 6501-10141 - - - - - - Parking Enterprise 6501-10404 980,000 - - - - 980,000 Parking Fund Federal Agencies 6501-10405 - - - - - - Parking Fund Treasury Note 6501-10410 - - - - - - Internal Service Funds
MVR Fund Money Mrkt Csh 7201-10108 24,661 24,737 - - - 49,397 MVR Fund CD's 7201-10404 1,526,000 - - - - 1,526,000 MVR Fund Federal Agencies 7201-10405 250,000 - - - - 250,000 MVR Fund Treasury Note 7201-10410 567,432 - - - - 567,432 MVR Mortgage Back Securities 7201-10412 970,308 (12,799) - - - 957,508 CalPers Benefit Trust
OPEB Trust Account 8101-10408 6,254,602 - - - - 6,254,602 Total all Investments 77,329,438$ (1,294,652)$ -$ -$ -$ 76,034,786$ Total all Funds 107,437,737$ 6,981,210$ (5,234,746)$ -$ -$ 109,184,201$ Council Agenda 3-3-2026 9.C-7
Attachment 3
Packet Page 19

PISMO BEACH CITY COUNCIL STAF REPOR
Agenda Item #9.D
Meetin Date: March 3, 2026
TITLE:
2025 Multi-Jurisdictional Hazard Mitigation Plan
RECOMMENDATION:

Adopt a Resolution approving and adopting the 2025 update to the Multi-Jurisdictional Hazard Mitigation Plan.

DISCUSSION:

The San Luis Obispo County Multi-Jurisdictional Hazard Mitigation Plan (MJHMP) is a multi-jurisdictional plan that covers people, property, and critical assets within the County’s jurisdictional boundaries. The City of Pismo Beach is a participating jurisdiction with the MJHMP. The 2025 MJHMP Update has been prepared consistent with the Disaster Mitigation Act of 2000, which requires municipalities to research hazards and identify mitigations to help prevent loss of life and property and protect major infrastructure should a significant hazardous event occur. The City last updated the Local Hazard Mitigation Plan (LHMP) when the City partnered with the County of San Luis Obispo and the six other incorporated cities within the County to prepare a MJHMP. The City has participated in this county-wide effort to review the risks posed by natural and human-caused hazards and to identify ways to reduce the damage from those risks through implementing mitigation measures as provided in the MJHMP. This plan (Attachment 3) replaces the 2019 San Luis Obispo County MJHMP.

The San Luis Obispo County Office of Emergency Services (OES) has requested that each participating jurisdiction adopt a resolution approving the plan. The Federal Emergency Management Agency (FEMA) has provided a letter to the County dated December 29, 2025 (Attachment 2) which states that the plan is eligible for final approval.

A copy of the complete San Luis Obispo County MJHMP is available online in the City’s Access Pismo public record portal1. The County Office of Emergency Services (OES) also maintains the master copy of the plan on the County OES webpage2.

Each of the incorporated cities, as well as the various community service districts located under County jurisdiction, prepared Annex chapters to the main Hazard Mitigation Plan, with specific hazard analysis tailored to each jurisdiction. The Pismo Beach Annex begins on page 750 of the report (see Attachment 3, Page 750, Pismo Beach Annex F), and includes analysis of the following hazards for the Pismo Beach area:
1 Full URL:
https://portal.laserfiche.com/Portal/DocView.aspx?id=768339&repo=r-f36a9aa0 2 Full URL:
https://www.slocounty.ca.gov/departments/administrative-office/office-of-emergency-services/forms- documents/2025-draft-multi-jurisdictional-hazard-mitigation-plan Council Agenda 3-3-2026 9.D-1
Packet Page 20

 Adverse Weather – Thunderstorms, Lightning, Heavy Rain, Fog  Adverse Weather – High Winds and Tornados
 Dam Incidents
 Drought and Water Shortage
 Earthquake
 Flood
 Landslides and Debris Flow
 Coastal Storm/Coastal Erosion/Sea Level Rise
 Tsunami
 Wildfire
 Human Caused: Hazardous Materials

Two public scoping workshops were held on January 14, 2025, and May 29, 2025, with input from the public regarding the specific hazards that would need to be addressed, with a Draft Hazard Mitigation Plan made available at the public workshop on May 29, 2025. FEMA reviewed the draft MJHMP and, on December 29, 2025, determined the Plan was eligible for final adoption by the County and the cities (correspondence provided as Attachment 2). The San Luis Obispo County Board of Supervisors adopted the MJHMP on January 27, 2026, marking the official start date of the plan. Each of the incorporated cities must also adopt the overall plan, including their respective city-specific annexes to the plan, for local use in order to be eligible for funding to pre- and post-disaster funding.

Environmental
In accordance with the California Environmental Quality Act (CEQA), it has been determined that preparation of a Hazard Mitigation Plan is exempt from the requirements of CEQA pursuant to the following four sections of the CEQA guidelines:

 Section 15183(d)—“The project is consistent with […] a general plan of a local agency, and an environmental impact report was certified by the lead agency for the [...] general plan.”
 Section 15262—“A project involving only feasibility or planning studies for possible future actions which the agency, board or commission has not approved, adopted, or funded does not require the preparation of an environmental impact report or negative declaration but does require consideration of environmental factors. This section does not apply to the adoption of a plan that will have a legally binding effect on later activities.”
 Section 15306—“(Categorical Exemption) Class 6 consists of basic data collection, research, experimental management, and resource evaluation activities which do not result in a serious or major disturbance to an environmental resource.

These may be strictly for information gathering purposes, or as part of a study leading to an action which a public agency has not yet approved, adopted or funded.”
 Section 15601(b)(3)—“ [...] CEQA applies only to projects which have the potential for causing a significant effect on the environment. Where it can be seen with Council Agenda 3-3-2026 9.D-2
Packet Page 21

certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA.” Conclusion and Recommendation
Staff recommends that the City Council adopt a resolution (Attachment 1) for the local approval and adoption of the 2025 update to the MJHMP.

FISCAL IMPACT:

There is no fiscal impact associated with this project. FEMA Hazard Mitigation Grant funding provided for 75% of the budgeting costs associated with the plan preparation, with the additional 25% split between the County and City governments, mostly coming in the form of in-kind staff costs associated with data-collection, participation in planning committee and public meetings, and review of the draft plan.

ATTACHMENTS:

1. Resolution

2. FEMA letter, December 29, 2025

3. Multi-Jurisdictional Hazard Mitigation Plan (online-only attachment:
https://portal.laserfiche.com/Portal/DocView.aspx?id=768339&repo=r-f36a9aa0) Prepared by:

Michael Gruver, AICP, Associate Planner
Submitted by: Scot Graham, Community Development Director City Manager Approval:

Council Agenda 3-3-2026 9.D-3
Packet Page 22

RESOLUTION NO. R-2026-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH, CALIFORNIA APPROVING AND ADOPTING THE 2025 UPDATE TO THE MULTI-

JURISDICTIONAL HAZARD MITIGATION PLAN
WHEREAS, the City of Pismo Beach adopted the 2019 City of Pismo Beach Local Hazard Mitigation Plan on a five-year cycle as required by the Disaster Mitigation Act of 2000; and
WHEREAS, the City of Pismo Beach partnered with the County of San Luis Obispo and six other incorporated cities within the County of San Luis Obispo, forming the Multi- Jurisdictional Hazard Mitigation Planning Team; and
WHEREAS, the Multi-Jurisdictional Hazard Mitigation Planning Team has drafted the 2025 San Luis Obispo County Multi-Jurisdictional Hazard Mitigation Plan Update (MJHMP) to advance better mitigation planning and projects within the County of San Luis Obispo, including those within the City of Pismo Beach and other incorporated Cities within the County; and
WHEREAS, the Draft San Luis Obispo County MJHMP was made available to public on May 21, 2025; and
WHEREAS, the County of San Luis Obispo provided the Draft San Luis Obispo County MJHMP to the Federal Emergency Management Agency for review and approval; and WHEREAS, the Federal Emergency Management Agency has reviewed and deemed the San Luis Obispo County MJHMP eligible for local adoption by the County of San Luis Obispo and participating jurisdictions; and
WHEREAS, the County of San Luis Obispo Board of Supervisors adopted the San Luis Obispo County MJHMP on January 27, 2026, starting the five-year cycle for Hazard Mitigations Plans as required by the Disaster Mitigation Act of 2000; and WHEREAS, the City Council held a public meeting on March 3, 2026, at which all interested parties were given opportunity to be heard.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pismo Beach hereby approves and adopts the 2025 County of San Luis Obispo Multi-Jurisdictional Hazard Mitigation Plan, in substantially the form attached to staff’s report dated March 3, 2026, as the City’s Hazard Mitigation Plan.

UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 3rd day of February 2026, by the following vote:

Council Agenda 3-3-2026 9.D-4
Attachment 1
Packet Page 23

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
IN WITNESS WHEREOF, I have hereunto set my hand and official seal of the City of Pismo Beach on _______________________.
________________________
Erica Inderlied, City Clerk
Council Agenda 3-3-2026 9.D-5
Attachment 1
Packet Page 24

U.S. Department of Homeland Security
FEMA Region 9
1111 Broadway, Suite 1200
Oakland, CA 94607
www.fema.gov
December 29, 2025
Scott Milner
Emergency Services Coordinator
County of San Luis Obispo Office of Emergency Services
1055 Monterey Street, Suite D430
San Luis Obispo, CA 93408
Reference: Hazard Mitigation Plan Review for San Luis Obispo County, CA Dear Scott Milner:

The Federal Emergency Management Agency (FEMA) has completed its review of the 2025 San Luis Obispo County Hazard Mitigation Plan in accordance with the Code of Federal Regulations, Title 44, Part 201, Section 6 (44 CFR 201.6) for local hazard mitigation plans.

All mandatory requirements associated with 44 CFR 201.6 for local hazard mitigation plans have been met and the plan is eligible for final approval, pending its adoption by San Luis Obispo County and its planning participants. Formal adoption documentation must be submitted to FEMA Region 9 within one calendar year from the date of this letter.

FEMA’s review did identify the need for a revision in the dam safety section to fulfill the eligibility requirements for the Rehabilitation of the High Hazard Potential Dam (HHPD) grant program, which is outlined in the enclosed Plan Review Tool. This revision is considered optional and is only required to maintain eligibility for the HHPD program.

Please note that while local hazard mitigation plans may include additional content to meet Element H: Additional State Requirements or other local objectives, FEMA’s Approvable Pending Adoption (APA) status does not constitute review or approval of any content exceeding FEMA’s mitigation planning requirements.

If you have any questions regarding the planning or review processes, please contact the FEMA Region 9 Hazard Mitigation Planning Team at [email protected].

Sincerely,
Alison Kearns
Planning and Implementation Branch Chief
Mitigation Division
FEMA Region 9
Council Agenda 3-3-2026 9.D-6
Attachment 2
Packet Page 25

County of San Luis Obispo Hazard Mitigation Plan Review Completion Notice December 29, 2025

Page 2 of 2 ends

Enclosure (1)
San Luis Obispo County Plan Review Tool, dated December 29, 2025 Status of Participating Jurisdictions, dated December 29, 2025 cc: Robyn Fennig, State Hazard Mitigation Officer, California Governor’s Office of Emergency Services
Victoria LaMar-Haas, Hazard Mitigation Planning Chief, California Governor’s Office of Emergency Services
Council Agenda 3-3-2026 9.D-7
Attachment 2
Packet Page 26

County of San Luis Obispo Hazard Mitigation Plan Review Completion Notice December 29, 2025

Page 3 of 2 ends

Status of Participating Jurisdictions as of December 29, 2025 Jurisdictions Adopted and Approved
Jurisdictions Approvable Pending Adoption
Council Agenda 3-3-2026 9.D-8
Attachment 2
Packet Page 27

PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.E
March 3, 2026
TITLE:

Notice of Completion for the Wastewater Treatment Plant Clarifiers Equipment Replacement Project
RECOMMENDATION:

1.Accept the Wastewater Treatment Plant Clarifiers Equipment Replacement Project as complete;

2.Authorize the City Manager to sign, and the City Clerk to record, a Notice of Completion.

DISCUSSION:

On November 19, 2024, the City Council awarded a contract to W. M. Lyles Co. for the Wastewater Treatment Plant Clarifiers Equipment Replacement Project. The project included removal and replacement of circular spiral blade, cage drive clarifiers, walkway and platform with handrails, and other appurtenances necessary to rehabilitate Clarifier #1 and Clarifier #2.

Conclusion and Recommendation
W. M. Lyles Co. has completed the contracted services, and the Wastewater Treatment Plant Clarifiers Equipment Replacement Project has been completed in accordance with the plans, specifications and contract documents. Staff recommends that the City Council accept the project as complete and authorize the Notice of Completion (Attachment 1) to be recorded at the County Clerk’s office.

FISCAL IMPACT:

There is no direct fiscal impact associated with this report.

ATTACHMENTS:

1.Notice of Completion
Prepared by:

Erin Olsen, Senior Management Analyst
Submitted by: Rosemarie Gaglione, PE, Director of Public Works City Manager Approval:

Council Agenda 3-3-2026 9.E-1
Packet Page 28

RECORDING REQUESTED BY:

WHEN RECORDED, RETURN TO:

CITY CLERK

CITY OF PISMO BEACH
760 MATTIE ROAD
PISMO BEACH, CA 93449

NO TRANSFERORS
This document is recorded for the benefit of the City of Pismo Beach, a Municipal Corporation, and is exempt from fee per Government Code Section 27383.

NOTICE OF COMPLETION AND ACCEPTANCE

FOR THE WASTEWATER TREATMENT PLANT CLARIFIERS EQUIPMENT

REPLACEMENT PROJECT
NOTICE IS HEREBY GIVEN by the City of Pismo Beach in the County of San Luis Obispo, State of California, as follows:

1.That on the 3rd of March 2026, the project hereunder described was considered completed and accepted by the City Council of the City of Pismo Beach.

2.That the description of said project is the construction of the Wastewater Treatment Plant Clarifiers Equipment Replacement Project, for the City of Pismo Beach.

3.That the name of the political subdivision controlling said project, and the owner of the land upon which the project was constructed, is the City of Pismo Beach, in the County of San Luis Obispo, State of California, whose address is 760 Mattie Road, Pismo Beach, CA 93449.

4.That the name of the owner/contractor on said project is W. M. Lyles Co., 525 W.

Alluvial Ave., Fresno, CA 93711.

5.The name of the Surety on the project is Liberty Mutual Insurance Company, 1340 Treat Blvd., Suite 400, Walnut Creek, CA 94597.

I certify (or declare) under penalty of perjury under the laws of the State of California that the foregoing is true and correct.

Date:

Jorge E. Garcia, City Manager
Attest:

Erica Inderlied, City Clerk
Council Agenda 3-3-2026 9.E-2
Attachment 1
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PISMO BEACH CITY COUNCIL STAF REPOR
Agenda Item #9.F
Meetin Date: Februar 17, 2026

TITLE:

Agreement with Channel Islands Technology Integrators’ Group for a Disaster Recovery System, Arcserve, to Facilitate Hyper-V Conversion

RECOMMENDATION:

EXECUTIVE SUMMARY:

Since 2014, the City has been using the VMware hypervisor to run the City’s virtual server environment. A hypervisor allows the City to run multiple virtual servers on a single physical server, enabling efficient use of the physical hardware and provides cost effective redundancy through multiple physical servers. Following Broadcom’s acquisition of VMware in 2023, VMware significantly revised its product and pricing model, requiring bundled software purchases that substantially increase costs and make continued use of the platform financially unsustainable for the City.

Staff has evaluated alternative virtualization platforms and determined that Microsoft Hyper-V is the only viable solution that fully supports the City’s existing Microsoft-based virtual servers and software applications, and aligns with the technical expertise of City staff.

To minimize downtime during the conversion to the new solution, particularly for mission- critical public safety systems such as the Police Department’s Computer Aided Dispatch and Records Management System (CAD/RMS), staff recommends implementing the Arcserve disaster recovery system to facilitate a streamlined conversion during the planned Public Safety Facility server replacement. This solution reduces system downtime from more than 24 hours to only a few hours and significantly enhances the City’s long-term disaster recovery capabilities.

Limitations of Standard Conversion Methods
Standard server conversion methods would require extended system downtime, including more than 24 hours for mission-critical public safety systems such as the Police Department’s CAD/RMS, which is not operationally feasible.

Proposed Disaster Recovery Solution
The proposed disaster recovery system, Arcserve, will assist the conversion to Hyper-V by providing the shortest amount of down time for the conversion to take place. The timing of implementing this conversion is strategically aligned with the Public Safety Facility project. As part of this project, all the Police department’s servers will be replaced, which will require downtime of the Police systems. Using this downtime to also make the Hyper- V conversion minimizes the impact to Police operations.

Council Agenda 3-3-2026 9.F-1
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The conversion process also works in a disaster recovery scenario, allowing City staff to restore all the City’s virtual servers at an off-site datacenter within hours. Using the City’s current backup system, it would take a few days for staff to completely restore the City’s virtual servers.

Evaluation and Purchasing Method
Staff evaluated several disaster recovery solutions to support the City’s transition to Microsoft Hyper-V. After reviewing functionality, compatibility, and cost, staff determined that Arcserve provides the best overall value and meets the City’s operational requirements. The Arcserve solution is available through a competitively bid United States General Services Administration (GSA) contract, which is open for use by local governments. Channel Islands Technology Integrators’ Group (CITIG) is listed as an authorized reseller under this GSA contract.

In accordance with the City’s Purchasing Policy and Procedures Manual, the City Manager is authorized to enter into an agreement using a government cooperative purchasing contract, provided that the contract was competitively procured, and the product meets the City’s specifications. Because the GSA contract satisfies these requirements and the Arcserve solution conforms to the City’s needs, staff recommends proceeding under this cooperative purchasing authority.

Conclusion and Recommendation
Staff recommends adopting a resolution (Attachment 1) authorizing the City Manager to enter into an agreement with CITIG to provide a disaster recovery system, Arcserve, in the amount of $148,521.64 in Fiscal Year (FY) 2026.

FISCAL IMPACT:

The fiscal impact of approving the subject Resolution is an additional cost of $148,521.64 in FY 2026. The City’s FY 2026 Technology Services Fund budget has sufficient budget to support this cost, including $135,000 in the contract services account and an additional $22,500 in the IT Backup Servers project account for a total of $157,500.

Staff recommends that the Council consolidate these expenditure budgets into the IT Backup Servers project account. The Technology Services Fund budget is an internal services fund supported by cost recovery from other funds for operating costs and transfer from other funds for projects. As such, staff recommends that Council also de-appropriate the cost recovery from other funds to the Technology Services Fund, and appropriate related transfers from other funds to support this project.

The proposed budget adjustments result in a net increase of $67,500 in both expenditures and revenues for a net $0 fiscal impact across all funds. The total proposed revenue and expenditure appropriations in each fund are summarized in Table 1.

Council Agenda 3-3-2026 9.F-2
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Table 1: Fiscal Impact of Proposed Budget Adjustments
Fund FY 2026 Expenditures FY 2026 Revenues
General Fund $59,027 $ -
LBID Operations 433 -
Water Enterprise 2,631 -
Wastewater Treatment 5,559 -
Parkin Enterprise 1,365 -
Technolo Service Fund - 67,500
Motor Vehicle Fund 649 -
Total Fiscal Impact $67,500 $67,500
ATTACHMENTS:

1.Resolution

2.Quote
Prepared by:

Jason Takagi, Information Technology Manager
Submitted by: Nadia Feeser, Administrative Services Director City Manager Approval:

Council Agenda 3-3-2026 9.F-3
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RESOLUTION NO. R-2026-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,

CALIFORNIA AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AGREEMENT WITH CHANNEL ISLANDS TECHNOLOGY INTEGRATORS’ GROUP, INC. TO PROVIDE A DISASTER RECOVERY SYSTEM, ARCSERVE, IN THE AMOUNT OF $148,521.64 IN FISCAL YEAR 2026
WHEREAS, since 2014 the City has utilized the VMware hypervisor platform to operate its virtual server environment, which enables multiple virtual servers to run on shared physical hardware and supports the delivery of critical municipal services; and WHEREAS, following Broadcom’s acquisition of VMware in 2023, VMware significantly revised its product and pricing model, requiring bundled software purchases that substantially increase costs and make continued use of the platform financially unsustainable for the City; and
WHEREAS, City staff have evaluated alternative virtualization platforms and determined that Microsoft Hyper-V is the only viable solution that fully supports the City’s existing Microsoft-based virtual servers and software applications, and aligns with the technical expertise of City Information Technology staff; and
WHEREAS, standard server conversion methods would require extended system downtime, including more than 24 hours for mission-critical public safety systems such as the Police Department’s Computer Aided Dispatch and Records Management System (CAD/RMS), which is not operationally feasible; and
WHEREAS, the proposed Arcserve disaster recovery system will significantly reduce system downtime during the Hyper-V conversion process and enhance the City’s long- term disaster recovery capabilities, and is available for purchase through a United States General Services Administration (GSA) cooperative purchasing contract in compliance with the City’s Purchasing Policy;
WHEREAS, the City’s FY 2026 Technology Services Fund budget has sufficient funding to support this cost, however, budget adjustments across all funds are required to appropriate allocations to the Technology Services Fund.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pismo Beach hereby authorizes the City Manager to enter into an agreement (execute a quotation) with Channel Islands Technology Integrators’ Group, Inc. in substantially the form attached to staff’s report dated February 3, 2026, to provide an Arcserve disaster recovery system in the amount of $148,521.64 in Fiscal Year 2026.

BE IT FURTHER RESOLVED that the City Council of the City of Pismo Beach hereby consolidates these expenditure budgets into the IT Backup Servers project account, de- Council Agenda 3-3-2026 9.F-4
Attachment 1
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appropriates the cost recovery from other funds to the Technology Services Fund, and appropriates related transfers from other funds to support this project. The total revenue and expenditure appropriations by fund are illustrated in the following table:

Fund FY 2026 Expenditures FY 2026 Revenues
General Fund $59,027 $ -
LBID Operations 433 -
Water Enterprise 2,631 -
Wastewater Treatment 5,559 -
Parkin Enterprise 1,365 -
Technolo Service Fund - 67,500
Motor Vehicle Fund 649 -
Total Fiscal Impact $67,500 $67,500
UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 3rd day of March 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

City of Pismo Beach
Prepared for:

Arcserve UDP Option 2.2 (GSA Contract #GS-
35F-303DA)
Quote # 005014 v1
Prepared by:

Ryan Newell
347 Chapala St, Santa Barbara, California 93101 Office: 8053645300 Fax: 8053645313 [email protected] Council Agenda 3-3-2026 9.F-6
Attachment 2
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Hardware
Description Price Qty Ext. Price
S93669 ARC APL 10192DR CPNT - PRD OLY $13,526.10 2 $27,052.20 Subtotal $27,052.20
Software
Description Price Qty Ext. Price
S93720 ARC APL 10192DR BRNZ - 3YR GLD H/W MNTCE $1,502.01 2 $3,004.02 S93722 ARCAPL10192DR3YR64TBLICUDPPRM BRNZ
SUBSNNWTOBEUSEDWITH10KAPLOLY
$56,096.55 2 $112,193.10
Subtotal $115,197.12
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Council Agenda 3-3-2026 9.F-7
Attachment 2
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Arcserve UDP Option 2.2 (GSA Contract #GS-35F-303DA)
Prepared by:Prepared for:Quote Information:

CITIG City of Pismo Beach Quote #: 005014
Ryan Newell
Chief Executive Officer
(805) 364-5303
Fax (805) 364-5313
[email protected]
Jason Takagi
760 Mattie Road
Pismo Beach, CA 93449
(805) 540-9549
[email protected]
Version: 1
Delivery Date: 12/03/2025
Expiration Date: 12/31/2025
Quote Summary
Description Amount
Hardware $27,052.20
Software $115,197.12
Subtotal:$142,249.32
Shipping:$118.51
Estimated Tax:$2,231.81
Total:$144,599.64
Taxes, overtime, shipping, handling and other fees may apply. We reserve the right to cancel orders arising from pricing or other errors.

Signature:

Name:Ryan Newell
Date:12/03/2025
Signature:

Name:Jason Takagi
Date:
www.citig.com Page: 3 of 3
Council Agenda 3-3-2026 9.F-8
Attachment 2
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City of Pismo Beach
Prepared for:

Arcserve Deployment Project
Quote # 005262 v1
Prepared by:

Kyle Sibbald
347 Chapala St, Santa Barbara, California 93101 Office: 8053645300 Fax: 8053645313 [email protected] Agenda 3-3-2026 9.F-9 Attachment 2
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Services
Description Price Qty Ext. Price
Standard Labor Rate Hours
-Travel to Pismo and SLO Datacenter
-Install Arcserve device at CH and SLO Datacenter
-Attach Hyper-V hosts to device
-Setup backup jobs
-Setup alerting
-Setup replication to SLO Datacenter
-Test spinning up a server on device
-Test restoring server to Hyper-V at each site
-Update Jason on expected time to be back online in a disaster -Work to be done during normal business hours
-Price subject to change
$196.10 20 $3,922.00
Subtotal $3,922.00
www.citig.com Page: 2 of 3
Council Agenda 3-3-2026 9.F-10
Attachment 2
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Arcserve Deployment Project
Prepared by:Prepared for:Quote Information:

CITIG City of Pismo Beach Quote #: 005262
Kyle Sibbald
IT Operations Manager
(805) 364-5213
Fax (805) 364-5313
[email protected]
Jason Takagi
760 Mattie Road
Pismo Beach, CA 93449
(805) 773-7086
[email protected]
Version: 1
Delivery Date: 10/21/2025
Expiration Date: 11/11/2025
Quote Summary
Description Amount
Services $3,922.00
Total:$3,922.00
Taxes, overtime, shipping, handling and other fees may apply. We reserve the right to cancel orders arising from pricing or other errors.

The undersigned hereby accepts the above quote and agrees to be bound by the terms of the City of Pismo Beach's Vendor Services Agreement.

Signature:

Name:Kyle Sibbald
Date:10/21/2025
Signature:

Name:Jason Takagi
Date:
www.citig.com Page: 3 of 3
Council Agenda 3-3-2026 9.F-11
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PISMO BEACH CITY COUNCIL STAF REPOR
Agenda Item #12.A
Meetin Date: March 3, 2026
TITLE:

Report on 2025 Northern Cities Management Area (NCMA) Technical Group Strategic Plan
RECOMMENDATION:

Receive a report on the NCMA Technical Group 2025 Strategic Plan. No action recommended.

DISCUSSION:

The Northern Cities Management Area (NCMA) Technical Group is comprised of the Cities of Pismo Beach, Grover Beach, and Arroyo Grande, and the Oceano Community Services District. The NCMA has a long history of cooperative management of shared water resources and continues to work together to manage groundwater and surface water supplies for a population of approximately 46,000 residents and hundreds of thousands of visitors each year. The Northern Cities initiated collaborative management of the Santa Maria Groundwater Basin (SMGB) in 1983 with the development of the Agreement Regarding Management of the Arroyo Grande Groundwater Basin. In 1997, the SMGB became subject to litigation, and the 2005 Stipulation established the NCMA (in addition to two other management areas) under court oversight. The NCMA Technical Group is responsible for meeting the monitoring and reporting requirements of the Court and continuing the legacy of regional collaboration on groundwater and surface water supplies.

In 2025, the Northern Cities Management Area (NCMA) Technical Group completed an update to its strategic plan. The plan builds on prior plans finalized in 2014 and 2020 and is the result of a series of strategic planning workshops that occurred over the past year.

Workshops were held with members of the Technical Group and executive management from each NCMA member agency. The purpose of the plan is to articulate the group’s mission, align the goals of the member agencies, and guide future initiatives that maintain and enhance sustainable groundwater management.

The strategic plan is a document that helps guide the multi-agency collaborative by first defining the group’s mission and documenting the many roles and responsibilities of NCMA stakeholders. The NCMA Technical Group’s mission is to:

Preserve and enhance the sustainability, quality, and affordability of water supplies for the Northern Cities Area through science-based groundwater management, supply reliability, cooperative management, adaptive management, proactive monitoring, and cost-effective supplies.

The plan describes three primary objectives:

1. Enhance Water Supply Reliability
Council Agenda 3-3-2026 12.A-1
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2. Support Effective Water Resource Management, and

3. Conduct Effective Outreach and Regional Coordination.

These objectives are met through both ongoing and discrete initiatives. The NCMA Technical Group’s ongoing core initiatives include quarterly monitoring of water levels and water quality, preparation of the annual groundwater monitoring report, annual collaboration with agricultural representatives, and sustained internal/external engagement. The plan also identifies and prioritizes strategic initiatives which achieve the primary objectives. The weighting and scoring process was completed collaboratively to prioritize strategic initiatives according to four criteria: reliability & sustainability, enhanced management, cost effectiveness, and ease of implementation. This weighting and ranking process is intended to be flexible and adaptive as conditions change, providing a framework for the Technical Group to prioritize and implement the highest-priority initiatives as time and budgets allow. Finally, an implementation plan is included to outline required actions, participants, estimated budgets, and timeframes for each initiative.

Conclusion and Recommendation
Staff recommends that the City Council receive a report on the NCMA Technical Group 2025 Strategic Plan.

FISCAL IMPACT:

There is no fiscal impact related to receiving this report.

ATTACHMENTS:

1. NCMA Technical Group Strategic Plan, December 2025
Submitted by: Rosemarie R Gaglione, PE, Director of Public Works City Manager Approval:

Council Agenda 3-3-2026 12.A-2
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NORTHERN CITIES MANAGEMENT AREA TECHNICAL GROUP
Strategic Plan
DECEMBER 2025
Prepared for:

City of Arroyo Grande
City of Grover Beach
Oceano Community Services District
City of Pismo Beach
Council Agenda 3-3-2026 12.A-3
Attachment 1
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ACKNOWLEDGEMENTS
The Northern Cities Management Area Strategic Plan was prepared through a cooperative effort of the Northern Cities Management Area Technical Group:

City Engineer
Manager
Engineer Works
Additional contribution was provided by:

CHG, PE
Jim Garing, PE Sam Schaefer
Facilitated By:

Michael Steele, PE
Kendall Stahl, PE
Jeffery Szytel, PE
Council Agenda 3-3-2026 12.A-4
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DECEMBER 2025
St rategic Plan
Northern Cities Management Area Technical Group | i

TABLE OF CONTENTS

1.0 Introduction and Purpose ................................................................................................ 1

2.0 Background ..................................................................................................................... 1

3.0 Mission and Responsibilities ............................................................................................ 2

4.0 Objectives of the NCMA TG ............................................................................................ 3

5.0 Ongoing Initiatives ........................................................................................................... 4

6.0 Strategic Initiatives .......................................................................................................... 5

7.0 Implementation Plan ........................................................................................................ 8 Appendix A Boundary Maps ................................................................................................. A Appendix B Related Organizations and Initiatives ................................................................ B

LIST OF TABLES
Table 1: Evaluation Criteria and Weighting Factors .................................................................... 4 Table 2: Evaluation Criteria and Weighting Factors .................................................................... 5 Table 3: Qualitative Evaluation Criteria and Score Descriptions ................................................. 5 Table 4: NCMA TG Key Strategies and Scoring ......................................................................... 7 Table 5: Implementation Plan ..................................................................................................... 9 Table 6: Related Organizations .................................................................................................. D Table 7: Related Initiatives ......................................................................................................... D

LIST OF FIGURES
Figure 1: NCMA Agency Service Area Map ............................................................................... B Figure 2: SMGB Management Area Boundary Map ................................................................... C Council Agenda 3-3-2026 12.A-5
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DECEMBER 2025
St rategic Plan
Northern Cities Management Area Technical Group | 1

1.0 Introduction and Purpose
The Northern Cities Management Area (NCMA) Technical Group (NCMA TG) developed the NCMA TG Strategic Plan (Strategic Plan) for the purpose of providing the NCMA TG with:
¾A Mission Statement to guide future initiatives;
¾A framework for communicating water resource goals; and ¾A formalized Work Plan for the next 10 years
The first NCMA TG Strategic Plan was finalized in 2014. The plan was then updated in 2020. This 2025 update was developed over a series of strategic planning sessions and NCMA TG meetings.

2.0 Background
The Northern Cities, comprised of the Oceano Community Services District and the cities of Arroyo Grande, Grover Beach and Pismo Beach, have a long history of cooperative management of shared water resources, and continue to actively work together to manage groundwater and surface water supplies for a population of approximately 46,000 residents and hundreds of thousands of visitors each year. The service areas for each of the Northern Cities are shown in Appendix A. The Northern Cities initiated collaborative management of the Santa Maria Groundwater Basin (SMGB) in 1983, with the development of the Agreement Regarding Management of the Arroyo Grande Groundwater Basin (Gentlemen’s Agreement). The Gentlemen’s Agreement defined the safe yield for the Northern Cities portion of the SMGB and allocated the available water to the urban and agricultural users.

In 1997, the SMGB became subject to litigation and in 2002 the Northern Cities, the Northern Landowners, and Other Parties entered into a Settlement Agreement, which reaffirmed the Gentlemen’s Agreement. Subsequently, the Northern Cities and other Parties entered into the 2005 Stipulation, which formally divided the SMGB into three management areas: the Northern Cities Management Area (NCMA); the Nipomo Mesa Management Area (NMMA); and the Santa Maria Valley Management Area (SMVMA). The boundaries of each of the management areas are shown in Appendix A. The Superior Court of California later adopted the Stipulation in its January 25, 2008 Judgment After Trial (Judgment). On November 21, 2012, the California Court of Appeal (Sixth Appellate District) upheld the Superior Court’s Judgment. The California Supreme Court later refused to hear the case – upholding the Appellate Court’s decision.

The Stipulation requires that each Management Area develop a monitoring program that must include data collection and monitoring sufficient to determine land and water uses within the management area, sources of supply to meet those uses, groundwater conditions including groundwater level and quality, the amount and disposition of Developed Water supplies, and the amount and disposition of other sources of water supply. This information must be presented to the Court in an annual report that summarizes the results of the monitoring program, changes in Council Agenda 3-3-2026 12.A-6
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DECEMBER 2025
St rategic Plan
Northern Cities Management Area Technical Group | 2
groundwater supplies and any threats to groundwater supplies. In 2009, the Northern Cities formed the Northern Cities Management Area Technical Group (NCMA TG), comprised of technical staff from each of the agencies and selected consultants, to coordinate their efforts for the monitoring program and the annual report.

As part of their collaborative management, the Northern Cities split the costs for the monitoring program, the annual report and staff extension services, based upon each agency’s percentage of the groundwater basin safe yield. The NCMA TG’s operating budget for these tasks is approximately $315,000 per year. The overall annual budget varies year by year based upon the different initiatives pursued by the NCMA TG.

In addition to the preparation of the Annual Report, the NCMA TG works collaboratively with the other jurisdictions and regional groups to manage water supplies within southern San Luis Obispo County. Roles and responsibilities within the NCMA are defined in Section 3.0 and Appendix B outlines the NCMA TG’s relationship with the related agencies, groups, committees, organizations, agreements and initiatives. In coordination with the other regional groups and on its own, the NCMA TG actively pursues opportunities to enhance the sustainability of water supply resources within the NCMA.

3.0 Mission and Responsibilities
The NCMA TG exists to help guide ongoing initiatives and to capture the requirements outlined in the Gentlemen’s Agreement, Settlement Agreement and the Stipulation.

NCMA Mission Statement
Preserve and enhance the sustainability, quality, and affordability of water supplies for the Northern Cities Area by:
¾Managing groundwater resources using science-based approaches ¾Enhancing supply reliability
¾Advancing the legacy of cooperative water resources management ¾Promoting adaptive management
¾Protecting water quality and supply through proactive monitoring ¾Maintaining cost-effective water supplies
NCMA Roles and Responsibilities
A list of various parties and their respective responsibilities in the management of water resources in the Northern Cities Management Area include:

Agricultural Representatives
x Meet with NCMA Technical Group to collaborate on basin management Council Agenda 3-3-2026 12.A-7
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DECEMBER 2025
St rategic Plan
Northern Cities Management Area Technical Group | 3
Legal Counsel
x Work under the direction of the NCMA agencies
x Protect NCMA water rights and advance NCMA legal interests x Develop legal frameworks for regional collaboration between NCMA agencies NCMA Agency Governing Bodies and Executive Leadership
x Engage the public
x Lead policy direction
x Strengthen regional partnerships
NCMA Technical Group
x Represent NCMA agencies
x Meet court-mandated monitoring and reporting requirements x Perform technical analysis and develop solutions to relevant issues x Proactively evaluate and recommend sustainable management practices Public
x Inform NCMA agency priorities
x Elect NCMA agency governing bodies
San Luis Obispo County
x Enforce stipulation in areas outside the NCMA agencies’ service areas x Collect and provide monitoring data for NCMA monitoring program Santa Clara County Superior Court
x Enforce the Santa Maria River Valley Groundwater Basin Stipulation and Judgement x Arbitrate disagreements between stipulating parties

4.0 Objectives of the NCMA TG
Through the strategic planning process, the NCMA TG identified several key objectives to guide future efforts. These objectives include:

1. Enhance Water Supply Reliability
o Develop coordinated response plan for seawater intrusion and other supply emergencies
o Support implementation of projects and initiatives that increase water supply reliability
o Prepare the Northern Cities for prolonged drought conditions o Adaptively manage pumping from the groundwater basin in response to changing conditions
o Mitigate threats to groundwater sustainability
Council Agenda 3-3-2026 12.A-8
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DECEMBER 2025
St rategic Plan
Northern Cities Management Area Technical Group | 4

2. Support Effective Water Resource Management
o Effectively manage water resources through conjunctive use and other strategies o Encourage collaboration between technical/legal/managerial teams o Abide by the legal/regulatory groundwater management requirements o Support understanding of current and historic groundwater conditions to inform water resources initiatives

3. Conduct Effective Outreach and Regional Coordination o Maintain effective cooperation and information sharing to further the objectives of the NCMA agencies
o Reinforce the role of the NCMA TG as the recognized technical expert for water resources within the Northern Cities Management Area

5.0 Ongoing Initiatives
The NCMA TG leads multiple ongoing initiatives that are required regularly by the Stipulation and Judgement or are recurring in nature. These initiatives form the foundation of the NCMA TG’s work and are summarized in Table 1.

Table 1: Evaluation Criteria and Weighting Factors
NCMA TG Regular Initiatives Description
Quarterly Monitoring
Quarterly monitoring of water level and water quality in the NCMA Sentry/Monitoring Wells. Includes continuous
water level and water quality monitoring using pressure, Electroconductivity (EC) and temperature transducers.

Development of an Annual Report on groundwater
conditions within the NCMA, as required by the
Stipulation and Judgment for the Santa Maria
Groundwater Basin.

NCMA & Agricultural
Representatives Collaboration
projects.

Maintain Internal and External
Engagement
Maintain Executive Management
support Agency outreach to the
.

Council Agenda 3-3-2026 12.A-9
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DECEMBER 2025
St rategic Plan
Northern Cities Management Area Technical Group | 5

6.0 Strategic Initiatives
In addition to completing ongoing initiatives, the NCMA TG regularly seeks to identify strategic initiatives that further the objectives of the NCMA TG, in alignment with its mission and responsibilities. The NCMA TG utilized a weighted qualitative ranking process to develop and guide these priorities. Building on initiatives and criteria from previous strategic plans, the NCMA TG developed a list of potential initiatives to consider during the evaluation process and developed four (4) criteria to score and rank the initiatives. Weighting factors were determined for each evaluation criteria as detailed in Table 2 based on alignment with the NCMA TG’s mission, responsibilities, and objectives.

Table 2: Evaluation Criteria and Weighting Factors
Reliability and Sustainability 4
Enhanced Management 3
Cost Effectiveness 2
Ease of Implementation 2
Each of the initiatives was scored on a scale from one (low score) to three (high score) on each evaluation criteria, guided by the descriptions in Table 3.

Table 3: Qualitative Evaluation Criteria and Score Descriptions Evaluation
Criteria 1 (Low Score) 2 (Middle Score) 3 (High Score)
Reliability and
Sustainability
Implementation may
not significantly add to
sustainability or
reliability of water
resources; initiative
benefits may be a
challenge to maintain
in perpetuity.

Anticipated to provide
sustained benefits to
the basin with ongoing
maintenance and/or
effort.

Enhanced
Management
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DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 6
Evaluation
Criteria 1 (Low Score)2 (Middle Score)3 (High Score)
Cost
Effectiveness
Lower benefit to cost
ratio anticipated –
may include –
Ease of
Implementation
–minimal
The combination of the initiative score for each criteria and the weighting factors were then utilized to develop a score and prioritized rank for each initiative, as shown in Table 4 (and in the spreadsheet embedded in the blue box to the right). Prioritization of key strategies is envisioned to be dynamic and change over time. It is recommended that the NCMA TG review and update strategic initiatives and their respective scoring periodically, especially in the context of future significantlychanged conditions.

Spreadsheet
belowin digital
Initiative Scoring
and Ranking.xlsx
Council Agenda 3-3-2026 12.A-11
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DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 7
Table 4: NCMA TG Key Strategies and Scoring
Weighting Factor 4 3 2 2
Ranking Strategic Initiative Description Key Objective
Reliability
and
Sustainability
Enhanced
Management
Cost
Effectiveness
Ease of
Implementation Total
Planned
Implementation
Timeline
1 Implement Management
Agreement
Adopt Management Agreement Update and Adaptive
Groundwater Management Plan
Support Effective Water
Resource Management
3 3 3 2 31 Short Term
(0-5 Years)
2 Groundwater Model
Management Scenarios
Utilize model to simulate regional groundwater
management scenarios
Support Effective Water
Resource Management
2 3 3 3 29 Short Term
(0-5 Years)
3 Intertie Plan Complete Intertie Plan for NCMA Enhance Water Supply Reliability
2 3 2 3 27 Short Term
(0-5 Years)
4 Supplemental Water
Supply Projects
Explore/implement cost-effective supplemental water
supply project(s)
Enhance Water Supply
Reliability
3 3 1 1 25 Long Term
(5+ Years)
5 NCMA Legal Strategy Develop legal strategy to protect NCMA rights Enhance Water Supply Reliability
3 2 2 1 24 Short Term
(0-5 Years)
6 Conjunctive Use Plan Develop a Conjunctive Use Plan to optimize use of available groundwater storage including Advanced Water
Purification Facility projects that can recharge the basin Support Effective Water
Resource Management
2 2 2 2 22 Short Term
(0-5 Years)
6 NCMA Managerial/Legal
Framework for
Development Review
Improve managerial & legal coordination on new
development outside the NCMA Agencies’ service areas
Conduct Effective Outreach
and Regional Coordination
2 2 2 2 22 Short Term
(0-5 Years)
8 Decommission
Monitoring Well
Decommission the damaged OCSD Yellow monitoring
well to protect against potential contamination
Support Effective Water
Resource Management
2 1 2 3 21 Short Term
(0-5 Years)
9 Water Quality Data Expand water quality base to include all NCMA water quality data
Support Effective Water
Resource Management
1 2 2 3 20 Short Term
(0-5 Years)
9 Groundwater Dashboard Develop real-time groundwater dashboard Support Effective Water Resource Management
1 2 2 3 20 Short Term
(0-5 Years)
9 Construct Monitoring
Well
Complete an additional deeper monitoring well in the
Cienga Valley
Support Effective Water
Resource Management
2 2 1 2 20 Short Term
(0-5 Years)
12 Infrastructure Resiliency
Analysis
Prepare an Infrastructure Resiliency Analysis Conduct Effective Outreach and Regional Coordination
2 1 2 2 19 Long Term
(5+ Years)
12 Develop Full Basin
Groundwater Model
Complete Phase 2 groundwater model for the SMGB Support Effective Water Resource Management
1 3 1 2 19 Long Term
(5+ Years)
14 Stormwater Capture
Feasibility Study
Complete a Stormwater Capture Feasibility Study Enhance Water Supply Reliability
1 2 2 2 18 Long Term
(5+ Years)
Council Agenda 3-3-2026 12.A-12
Attachment 1
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DECEMBER 2025
St rategic Plan
Northern Cities Management Area Technical Group | 8

7.0 Implementation Plan
Utilizing the ranked and grouped initiatives, the NCMA TG developed an implementation plan for the key strategies. Included in the implementation plan are the required actions to complete each initiative, key participants, an estimated budget and an implementation time frame. Table 5 includes the details for the Implementation Plan developed by the NCMA TG.

The short-term time frame designation refers to initiatives that could be completed within 5 years.

Nine (9) initiatives were identified as short-term initiatives, potentially implemented within the next 0-5 years. The long-term time frame refers to initiatives that are expected to take longer than 5 years to implement. Five (5) initiatives were identified as long-term initiatives.

Costs are typically shared for strategic NCMA TG initiatives in the same way as ongoing annual costs. These costs are typically divided between agencies according to their current share of groundwater allocation for urban use. The current share of allocation by agency is:
x Arroyo Grande – 31%
x Grover Beach – 32%
x Oceano Community Services District – 21%
x Pismo Beach – 16%
It is recommended that the agencies review this implementation plan at least annually, ideally prior to each agency’s budget setting process, and update the plan based on the most recent available information.

Council Agenda 3-3-2026 12.A-13
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DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 9
Table 5: Implementation Plan
Ranking Strategic Initiative Description Key Objective Implementation Term Required Actions Participants Estimated
NCMA Budget
1 Implement Management
Agreement
Adopt Management Agreement
Update and Adaptive Groundwater
Management Plan
Support Effective Water
Resource Management
Short Term (0-5
Years)

1. Finalize Agreement

2. Approve Agreement
NCMA agencies, Managers,
Legal Counsel
Previously
Budgeted
2 Groundwater Model
Management Scenarios
Utilize model to stimulate regional
groundwater management scenarios
Support Effective Water
Resource Management
Short Term (0-5
Years)

1. Scope scenario

2. Evaluate scenario NCMA agencies $25,000/year
3 Intertie Plan Complete Intertie Plan for NCMA Enhance Water Supply Reliability
Short Term (0-5
Years)

1. Develop RFP(s)

2. Hire consultant

3. Update existing hydraulic models

4. Develop intertie model

5. Develop agreements

6. Design intertie upgrades

7. Construct intertie upgrades
NCMA agencies,
SLOCFC&WCD $43,000
4 Supplemental Water
Supply Projects
Explore/implement cost-effective
supplemental water supply projects
Enhance Water Supply
Reliability
Long Term (5+
Years)

1. Complete Design

2.Obtain permits

3. Construction
NCMA agencies,

SLOCFC&WCD, RWQCB,

CDPH, CCC, DWR,
TBD
5 NCMA Legal Strategy Develop legal strategy to protect NCMA rights
Enhance Water Supply
Reliability
Short Term (0-5
Years)

1. Update summary of legal history

2. Legal counsel develops strategy

3. Conduct as-needed technical
analysis and groundwater modeling
NCMA TG and Managers,
Legal Counsel
$30,000 plus
NCMA Legal
Counsel Time
6 Conjunctive Use Plan
Develop a Conjunctive Use Plan to
optimize use of available groundwater
storage including Advanced Water
Purification Facility projects that can
recharge the basin
Support Effective Water
Resource Management
Short Term (0-5
Years)

1. Develop RFP

2. Hire Consultant

3. Develop Conjunctive Use Plan
NCMA agencies, Managers,
SLOCFC&WCD $128,000
6 NCMA Managerial/Legal
Framework for
Development Review
Improve managerial & legal
coordination on new development
outside the NCMA Agencies’ service
areas
Conduct Effective
Outreach and Regional
Coordination
Short Term (0-5
Years)

1. Evaluate current managerial/legal
framework

2. Develop revised framework for
managerial/legal coordination
NCMA TG and Managers,
Legal Counsel
In-Kind NCMA
Agency Staff
Time
8 Decommission
Monitoring Well
Decommission damaged OCSD
Yellow monitoring well to protect
against potential contamination
Enhance Water Supply
Reliability
Short Term (0-5
Years)

1. Develop RFP (Construction
Management)

2. Hire Contractor

3. Decommission monitoring well
NCMA TG $28,000
9 Water Quality Data Expand water quality base to include all NCMA water quality data
Support Effective Water
Resource Management
Short Term (0-5
Years)

1. Contract Work

2. Develop expansion plan

3. Expand water quality data
NCMA agencies,
SLOCFC&WCD, Ag
Representatives
$38,000
9 Groundwater Dashboard Develop real-time groundwater
dashboard
Support Effective Water
Resource Management
Short Term (0-5
Years)

1. Compile data and create
dashboard NCMA agencies $15,000
Council Agenda 3-3-2026 12.A-14
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DECEMBER 2025
Strategic Plan
Northern Cities Management Area Technical Group | 10
Ranking Strategic Initiative Description Key Objective Implementation Term Required Actions Participants Estimated
NCMA Budget
9 Construct Monitoring
Well
Complete additional deeper monitoring
well in the Cienga Valley
Support Effective Water
Resource Management
Long Term (5+
Years)

1. Develop RFP (Design/Planning)

2. Planning/Design new monitoring
well

3. Hire Contractor

4.Install new monitoring well
NCMA agencies,
SLOCFC&WCD $638,000
12 Develop Full Basin
Groundwater Model
Complete Phase 2 Groundwater Model
for the SMGB
Support Effective Water
Resource Management
Long Term (5+
Years)

1. Define model objectives

2.Identify funding

3. Potential interim steps

4. RFP(s)
NCMA agencies, NMMA
agencies, SMVMA agencies,

SLOCFC&WCD
$319,000
12 Infrastructure Resiliency
Analysis
Prepare an Infrastructure Resiliency
Analysis
Conduct Effective
Outreach and Regional
Coordination
Long Term (5+
Years)

1. Develop RFP

2. Hire consultant

3. Compile data and analyze

4. Prioritize vulnerabilities and
opportunities

5. Define terms and agreements

6. Prepare infrastructure Resiliency
analysis TM summarizing results
NCMA agencies,
SLOCFC&WCD, Zone 3 $51,000
14 Stormwater Capture
Feasibility Study
Complete a Stormwater Capture
Feasibility Study
Enhance Water Supply
Reliability
Long Term (5+
Years)

1. Develop RFP

2. Hire Consultant

3. Prepare Stormwater Capture
Feasibility Study
NCMA agencies $128,000
Council Agenda 3-3-2026 12.A-15
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Boundary Maps
Strategi c Plan
Northern Cities Management Area Technical Group | A
Appendix A Boundary Maps
A
Council Agenda 3-3-2026 12.A-16
Attachment 1
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Boundary Maps
Strategi c Plan
Northern Cities Management Area Technical Group | B
Figure 1: NCMA Agency Service Area Map
Council Agenda 3-3-2026 12.A-17
Attachment 1
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Boundary Maps
Strategi c Plan
Northern Cities Management Area Technical Group | C
Figure 2: SMGB Management Area Boundary Map
Council Agenda 3-3-2026 12.A-18
Attachment 1
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Related Organizations and Initiatives
Strategi c Plan
Northern Cities Management Area Technical Group | B
Appendix B Related Organizations
and Initiatives
B
Council Agenda 3-3-2026 12.A-19
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Related Organizations and Initiatives
Strategic Plan
Northern Cities Management Area Technical Group | D
Descriptions of related organizations and a description of their relationship with the NCMA TG are summarized in Table 6.

Table 6: Related Organizations
Related Agencies, Groups,
Committees, Organizations,
Agreements, and Initiatives
Description Northern Cities
Participants Relationship to NCMA TG
Nipomo Mesa Management Area
Technical Group (NMMA TG) Technical group tasked with monitoring and reporting on groundwater conditions in the NMMA. None Monitoring party for the neighboring NMMA
Twitchell Management Authority Management group tasked with monitoring and reporting of groundwater conditions in the Santa Maria Valley Management Area (SMVMA). None Monitoring party for the SMVMA SLO County San Luis Obispo County N/A County Government for the NCMA SLOCFC&WCD District to provide water resource management and flood control services including studies, programs, and weather and hydrological data collection and compilation. N/A Manages NCMA surface water supplies
SLOCFC&WCD Zone 3 District to fund operation of the Lopez Project. All Northern Cities Related organization in which the Northern Cities participate
SLOCFC&WCD Zone 1/1A District to fund enhanced maintenance and operation efforts of the Arroyo Grande and Los Berros Channels within Zone 1/1A.

OCSD, Arroyo Grande,
Grover Beach
Related organization that the some of
Northern Cities participate in
Water Resource Advisory
Committee (WRAC)
Advisory Board to advise the County Board of Supervisors concerning all policy decisions related to the water resources of the SLO County Flood Control & Water Conservation District. All Northern Cities Related organization that the Northern Cities participate in
Regional Water Management
Working Group (RWMG)
Management group to develop and implement the Integrated Regional Water Resources Management Plan Update. All Northern Cities Related organization that the Northern Cities participate in
Central Coast Water Authority
(CCWA)
Joint powers authority responsible for the operation and maintenance of the Polonio Pass WTP and the Coastal Branch Pipeline. None
Wholesale water provider that treats
and delivers SWP water to SLO
County and its SWP sub-contractors
Arroyo Grande Creek Watershed
MOU
Memorandum of Understanding (MOU) amongst 14 agencies to develop recommendations to fund programs and develop policies for the maintenance, protection, and enhancement of the Arroyo Grande Watershed and the creeks within the Watershed including the approximate eighty-six (86) square mile area downstream of the Lopez Lake Dam, and including but not limited to, Arroyo Grande, Los Berros, Newsome Springs, Corbett Canyon/Tally Ho, Tar Springs, and Meadow Creeks and sub-watersheds (collectively the "Watershed"), and to recommend specific roles and responsibilities to implement those programs and policies All Northern Cities Related organization that the Northern Cities participate in
LAFCO
Local Agency Formation Commission with the power to "approve or disapprove with or without amendment, wholly, partially, or conditionally" proposals concerning the formation of cities and special districts and other changes of jurisdiction or organization of local government agencies.

None
Commission with authority over local
agency annexations and other
changes of jurisdiction
Coastal San Luis RCD Resource Conservation District that offers a variety of programs to assist farmers, ranchers, landowners and other watershed users in improving and protecting soil and water resources. None RCD which boundary includes the NCMA
Arroyo Grande Creek Habitat
Conservation Plan (HCP)
Planning documents required as part of an application for an incidental take permit. HCP under the Endangered Species Act provides a framework for people to complete projects while conserving at-risk species of plants and animals. The Arroyo Grande Creek HCP is necessary to comply with the Endangered Species Act and is a prerequisite of a State-required amendment to Lopez Projects water rights permit.

All Northern Cities, via
Zone 3
Related to long-term sustainability of
the Northern Cities surface water
supply from Zone 3
Council Agenda 3-3-2026 12.A-20
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Related Organizations and Initiatives
Strategi c Plan
Northern Cities Management Area Technical Group | D
There are multiple initiatives throughout the region that align with the NCMA TG’s objectives.

The NCMA TG has a long history of collaborative water supply management and aims to support related initiatives as appropriate for the benefit of regional water supply and its users.

Related initiatives and their lead agencies or organizations are summarized in Table 7.

Table 7: Related Initiatives
No. Initiative Lead Organization/Agency
1 Construction of an advanced water
purification facility for indirect potable
reuse

2 Implementation of the Nipomo
Supplemental Water Project
Council Agenda 3-3-2026 12.A-21
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PISMO BEACH CITY COUNCIL STAF REPOR
Agenda Item #12.B
Meetin Date: March 3, 2026
TITLE:

San Luis Obispo Council of Governments Final Transportation Expenditure Plan for Potential Transportation Sales Tax Measure
RECOMMENDATION:

Provide direction on whether to adopt a resolution approving the San Luis Obispo Council of Governments Final Transportation Expenditure Plan for a potential transportation sales tax measure.

DISCUSSION:

On December 16, 2025, the City Council reviewed and provided input on the San Luis Obispo Council of Governments (SLOCOG) draft Transportation Expenditure Plan for a potential transportation sales tax measure. SLOCOG is the regional transportation planning agency responsible for long range regional transportation planning, funding allocation, and coordination among the County and the seven incorporated cities, including Pismo Beach. SLOCOG is evaluating a potential half-cent transportation sales tax measure for the November 3, 2026 General Election ballot to establish a long-term, locally controlled revenue source for transportation improvements. The final Transportation Expenditure Plan (Plan) is the result of regional engagement including presentations, focus groups, workshops, online surveys, website engagement, and input from local jurisdictions and the San Luis Obispo County Board of Supervisors. The draft Plan was amended and the final Plan approved by the SLOCOG Board on February 4, 2026, and now must be presented and approved by a majority of the seven cities that represent a majority of the incorporated population and San Luis Obispo County Board of Supervisors prior to the SLOCOG Board meeting on April 1, 2026. At that meeting, the SLOCOG Board would consider adoption of an ordinance along with tax measure materials and then recommend the San Luis County Board of Supervisors place a transportation sales tax measure on the November 2026 ballot. Since the proposed transportation sales tax measure is considered a special tax, passage of the measure would require passage by a threshold of two-thirds voter approval.

The purpose of the Plan is to address a region-wide transportation funding shortfall, respond to public feedback collected through regional engagement efforts and establish an equitable distribution of new transportation revenues should the measure be placed on the November 2026 ballot and approved by voters. SLOCOG staff will provide an overview of the final Plan at tonight’s meeting and are seeking approval from the City Council.

The Plan is projected to generate approximately $35 million annually (2024 estimate) and expected to escalate each year over the proposed 30-year term. These revenues would be distributed across four primary categories:
55% — Local Road Repairs, Safety, and Improvements (allocated to each jurisdiction based on population)
Council Agenda 3-3-2026 12.B-1
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40% — Regional Corridor Improvements (allocated to four subregions by population share)
4% — Senior/Disabled/Veterans’ Mobility Improvements
1% — Administrative Costs (maximum)
Under the Plan, Pismo Beach would receive an estimated $550,195 annually from the Local Road Repair category (55% share) as shown in Table 1 below. Additional funds are guaranteed to fund regional project improvements in the North County through the Regional Corridor Improvements category. The SLOCOG Board of Directors, including an elected official representing each of the seven cities and the five members of the San Luis Obispo County Board of Supervisors, will serve as the Authority Board for the potential Transportation Measure and oversee the implementation of the Plan.

Table 1: 1-Year Distribution of $35M
55% for Local Road Repairs, Safety and Improvements $19,250,000 Arroyo Grande $ 1,256,955
Atascadero $ 2,029,354
Grover Beach $ 865,712
Morro Bay $ 733,207
Paso Robles $ 2,146,387
Pismo Beach $ 550,195
San Luis Obispo $ 3,207,856
Unincorporated $ 8,460,335
40% for Regional Corridor Improvements $14,000,000
North County $ 4,923,893
South County $ 4,001,218
Central County $ 3,085,830
North Coast $ 1,989,059
4% for Senior/Disabled/Veterans’ mobility improvements $1,400,000 1% Administration Costs (Maximum) $350,000
At the December 16, 2025, City Council Meeting the City Council provided input related to inclusion of the Price Canyon Road Corridor Improvements project being included as a funded project. During the SLOCOG meeting on February 4, 2026, the support for the project was not recommended by SLOCOG staff and the Board ultimately did not include the project in the Expenditure Plan.

The exclusion of the Price Canyon Road Corridor Improvements project from the adopted Expenditure Plan, which means there is no guarantee of any regional corridor improvements, coupled with the majority of funding being allocated based on population, makes Pismo Beach what is known as a “donor” community in this scenario. Funding for regional corridor improvements, which largely would leverage outside sources, places a disproportionate disadvantage to Pismo Beach since most state funding is competitive Council Agenda 3-3-2026 12.B-2
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based on community demographics, and the City has historically not competed well for these types of grants.

Conclusion and Recommendation
Staff recommends that the City Council receive a presentation and then provide direction on whether to adopt the resolution approving the San Luis Obispo Council of Governments Final Transportation Expenditure Plan for a potential transportation sales tax measure. Should the Council wish to proceed with adopting the resolution, it is provided as Attachment 1.

FISCAL IMPACT:

There is no fiscal impact related to this item. If the Board of Supervisors ultimately places the item on the November 2026 General Election ballot and it is approved by the voters, then the City could see revenue of approximately $550,195 per year. Funding in the regional corridor improvements section would not be guaranteed to benefit the City.

ATTACHMENTS:

1. Draft Resolution

2. SLOCOG Final Transportation Expenditure Plan
Submitted by: Jorge Garcia, City Manager
City Manager Approval:

Council Agenda 3-3-2026 12.B-3
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RESOLUTION NO. R-2026-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,

APPROVING THE SAN LUIS OBISPO COUNTY TRANSPORTATION EXPENDITURE

PLAN IN CONNECTION WITH A POTENTIAL SALES TAX MEASURE
WHEREAS, available revenues, including funding from local, state, and federal governments, are not adequate to support needed maintenance, upgrading or safety improvements to the existing infrastructure or the construction of the new infrastructure that the County and Cities anticipate will be needed to meet the demands of the future; and
WHEREAS, the streets, roads, highways, transit systems, bicycle and pedestrian facilities within the incorporated and unincorporated areas of San Luis Obispo County are of regional concern and are essential to the safety, mobility, economic vitality, environmental sustainability, and quality of life of residents, businesses, visitors, seniors, veterans, and persons with mobility challenges; and
WHEREAS, the Legislature of the State of California has authorized counties to establish voter-approved local transportation sales taxes pursuant to Public Utilities Code Division 19 (commencing with Section 180000) and Revenue and Taxation Code Part 1.6 (commencing with Section 7251); and
WHEREAS, the San Luis Obispo Council of Governments (SLOCOG) has been designated as the Local Transportation Authority for San Luis Obispo County; and WHEREAS, keeping roads and highways in good condition and enhancing mobility helps protect public safety by allowing police, firefighters, and ambulances to respond quickly to emergencies and ensuring first responders are not stuck in traffic or slowed down by failing infrastructure; and
WHEREAS, San Luis Obispo County’s transportation system is the backbone of the regional economy, allowing local farmers and businesses to move produce and products to market, creating jobs for local residents; and
WHEREAS, essential purchases like groceries are exempt from the half-cent sales tax, helping to ensure the cost is not a burden to those on fixed or limited incomes; and WHEREAS, the half-cent sales tax is paid by both residents and visitors shopping in San Luis Obispo County, to ensure all users of local roads and transportation infrastructure contribute; and
WHEREAS, by law, all the money must stay in San Luis Obispo County for local transportation improvements only and cannot be taken away by the state or used for other purposes; and
Council Agenda 3-3-2026 12.B-4
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WHEREAS, pursuant to Public Utilities Code Section 180206, and through extensive public engagement and coordination with all incorporated cities and the County of San Luis Obispo, SLOCOG has prepared a countywide Transportation Expenditure Plan which guides the investment of revenues, provides for locally controlled funding for transportation repairs and improvements, and requires strict fiscal accountability protections, including a Citizens Oversight Committee, annual independent audits, and public disclosure of all spending.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Pismo Beach as follows:

SECTION 1. The above recitals are true and correct.

SECTION 2. The City Council hereby approves the San Luis Obispo County Transportation Expenditure Plan that was approved by SLOCOG on February 4, 2026.

UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 3rd day of March 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

February 5, 2026 SLO County Transportation Expenditure Plan 1 San Luis Obispo County Transportation
Expenditure Plan
I. Introduction
San Luis Obispo County’s transportation system is essential to the safety, mobility, and economic vitality of its residents, businesses, and visitors. Yet existing state and federal revenues are inadequate to maintain local streets and roads, operate reliable transit, and deliver major regional improvements.

This Transportation Expenditure Plan establishes a dedicated local funding source — a voter-approved ½-cent transactions and use tax — projected to generate approximately $35 million per year. All revenues will remain in San Luis Obispo County and may only be used for transportation purposes.

The Plan emphasizes geographic equitable distribution of funds, fairness, transparency, and strong taxpayer safeguards while ensuring flexibility to leverage state and federal funds.

II. Revenue Distribution
Revenues shall be allocated as follows:

A.55% Local Road Repairs and
Improvements distributed by population
to each city and the County. (Reviewed
every ten years based on census data 1).

B.40% Regional Corridor
Improvements distributed by subregion
population within the areas defined as
shown.

C.4% Mobility Services for Seniors,
Veterans and Mobility Challenged
D.1% Administration
1 ēĺŪīîϙÍϙĲôſϙèĖťƅϙæôèĺıôϙĖĲèĺŘŕĺŘÍťôîϠϙťēôϙŕôŘèôĲťÍČôŜϙſĺŪīîϙæôϙÍîĤŪŜťôîϙťĺϙŘôƲôèťϙťēôϙŪŕîÍťôîϙ population distribution.

Council Agenda 3-3-2026 12.B-6
Attachment 2
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February 5, 2026 SLO County Transportation Expenditure Plan 2 III. Eligible Uses of Funds
Local Road Repairs and Improvements (55%)
Funds are distributed by population to the cities and the County. County funds shall be distributed equally by Supervisorial District over the life of the measure as monitored and reported by the Citizens Oversight Committee. Funds may be used for:

A.Local road maintenance, rehabilitation, and repair.

B.Safe Routes to School and Safe Routes to College programs.

C.Local intersections, operational and traffic safety improvements.

D.Bridge safety and seismic retrofits.

E.Bicycle and pedestrian improvements (sidewalks, crosswalks, multi-use paths).

F.Community enhancements tied to transportation
(streetscape, lighting, landscaping, wayfinding).

G.Traffic signal improvements and synchronization.

H.Piers, walkways and other pedestrian or bike paths in and around waterfront and river areas.

I.Transit services including local trolley services may be funded if desired by a City.

Regional Corridor Improvements (40%)
Regional project funds shall be distributed by population among subregions over the life of the measure as monitored and reported by the Citizens Oversight Committee and used for:

A.Highway and major corridor congestion relief such as van or carpool lanes or other congestion relief measures.

B.Safety and interchange improvements.

C.Regional bicycle and pedestrian connectors between communities like the Bob Jones Trail.

D.Interagency Transit Access.

E.Mitigation impacts for proposed improvements.

F.Other projects consistent with the adopted Regional Transportation Plan (RTP).

Mobility Services for Seniors, Veterans and Mobility Challenged (4%) Funds shall support improvements to mobility programs that prioritize services for seniors, veterans, and mobility challenged.

Administration (1%)
No more than 1% of annual revenues shall be allocated by the Authority for administration, reporting, auditing, and program oversight.

Council Agenda 3-3-2026 12.B-7
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February 5, 2026 SLO County Transportation Expenditure Plan 3 IV. Governing Board and Organizational Structure
The San Luis Obispo Council of Governments (SLOCOG) serves as the designated Local Transportation Authority for San Luis Obispo County and is responsible for administering the Transportation Measure in compliance with Public Utilities Code (PUC) 180000 et seq. Upon voter approval of the Transportation Measure, the Board of Directors of SLOCOG will serve as the Authority Board, hereafter the Authority, and will oversee its implementation in accordance with the plans and programs detailed in this and future updates of the Expenditure Plan.

This Expenditure Plan provides for the creation of a Citizens’ Oversight Committee to ensure transparency and accountability. Details regarding the Committee are contained in this plan (Section XIV). The Biennial Implementation Plan will be prepared and updated by SLOCOG staff and approved by the Authority Board as per the Ordinance Section 14.

Per PUC 180000, the Authority’s governing board will include representation as follows:
x Five (5) members of the San Luis Obispo County Board of Supervisors x One (1) member representing each incorporated city within San Luis Obispo County—Arroyo Grande, Atascadero, Grover Beach, Morro Bay, Paso Robles, Pismo Beach, and San Luis Obispo—appointed by their respective city councils.

Alternates to the regular members may participate in accordance with SLOCOG bylaws.

Should another city become incorporated, it will have one seat on the Authority Board.

V. Maintenance of Effort (MOE)
The enabling legislation in Public Utilities Code PUC 180001(e) states:

It is the intent of the Legislature that funds generated pursuant to this division be used to supplement and not replace existing local revenues used for transportation purposes.

Each Agency receiving revenues for “Local Projects” shall annually maintain, at a minimum, the same level of local fully discretionary general fund revenues that were expended on average for fiscal years 2021/22, 2022/23, 2023/24, 2024/25 and 2025/26, for transportation purposes. Dedicated funds for transportation such as gas tax revenues are not counted as general fund revenues. Transfers into the general fund will not be counted as general fund revenues. Grant awards and general fund revenues used as matching funds for grant awards will not be counted as general fund revenues. Revenue from general or special tax measures over and above the agency’s baseline tax of 1 ½% will not be counted as part of general fund revenues for the purposes of MOE.

Council Agenda 3-3-2026 12.B-8
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February 5, 2026 SLO County Transportation Expenditure Plan 4 Unusual one-time general fund allocations that have been expended for transportation purposes may be exempted prior to determining the Agency’s average expenditure for the five fiscal years noted above at the discretion of the Authority.

An agency petitioning for an exception under this provision must supply evidence of the need for special consideration, and the petition must be approved by a majority vote of the Authority Board.

The Authority shall not allocate any Net Revenues to any jurisdiction for any fiscal year until that jurisdiction has certified to the Authority that it has included in its budget for that fiscal year an amount of local discretionary funds for streets and roads purposes at least equal to the level of its maintenance of effort requirement. An annual independent audit will be conducted by the Authority to verify that the maintenance of effort requirements are being met by the jurisdiction. Any Net Revenues not allocated pursuant to the maintenance of effort requirement shall jurisdictions be allocated to the remaining eligible jurisdictions according to the formula described in the Section III.

Exceptions
Subject to Authority approval, if any local jurisdiction had extraordinary local discretionary fund expenditures during any fiscal year it may determine that year’s minimum expenditure base level of local discretionary funds by:
(a) subtracting those extraordinary expenses funding, assessment district contributions, development impact funds, redevelopment agency contributions, or other non-recurring contributions) from its total expenditures; or (b) petitioning the Authority for special consideration. It is possible that a local jurisdiction may need to revise its minimum expenditure base beyond the subtraction of extraordinary expenses. In this instance, the Authority may allow the establishment of a new base for that jurisdiction's Maintenance of Effort requirement.

A local jurisdiction petitioning the Authority under this provision must supply evidence of the need for special consideration and the petition must be approved by a majority vote of the Authority.

VI. Requirements for Eligible Jurisdictions
To be eligible to receive Net Revenues, a jurisdiction shall satisfy and continue to satisfy the following requirements.

Council Agenda 3-3-2026 12.B-9
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February 5, 2026 SLO County Transportation Expenditure Plan 5 A. Mitigation Fee Program. Assess traffic impacts of new development and require new development to pay a fair share of necessary transportation improvements attributable to the new development.

B. Circulation Element. Adopt and comply with its Circulation Element as part of the jurisdiction’s General Plan,

C. Capital Improvement Program. Adopt and update a minimum Five-Year Capital Improvement Program (CIP). The CIP shall include all capital transportation projects, including projects funded by Net Revenues, and shall include transportation projects required to demonstrate compliance with pavement management requirements.

D. Pavement Management Plan. Adopt and update a Pavement Management Plan and provide regular reporting on the status of road pavement conditions and implementation of the Pavement Management Plan.

E. Expenditure Report. Adopt an Expenditure Report to account for Net Revenues, developer/traffic impact fees, and funds expended by the Eligible Jurisdiction which satisfy the Maintenance of Effort requirements. The Expenditure Report shall be submitted by the end of six (6) months following the end of the jurisdiction’s fiscal year and include the following:

1. All Net Revenue fund balances and interest earned.

2. Expenditures identified by type (i.e., capital, operations, administration, etc.), and program or project.

F. Project Final Report. Provide Authority with a Project Final Report for regional projects within six months following completion of a project funded with Net Revenues.

G. Time Limits for Use of Net Revenues for Regional Projects.

1. Agree that Net Revenues for Regional Projects shall be expended or encumbered no later than the end of the fiscal year for which the Net Revenues are programmed. A request for extension of the encumbrance deadline for no more than thirty-six months may be submitted to the Authority no less than ninety days prior to the deadline. The Authority may approve one or more requests for extension of the encumbrance deadline.

2. In the event the time limits for use of Net Revenues for Regional Projects are not satisfied then any retained Net Revenues that were allocated to an Eligible Jurisdiction and interest earned thereon shall be returned to the Council Agenda 3-3-2026 12.B-10
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February 5, 2026 SLO County Transportation Expenditure Plan 6 Authority and these Net Revenues and interest earned thereon shall be available for allocation to any project within the same source program.

H. No Supplanting of Funds. Agree that Net Revenues shall not be used to supplant developer funding which has been or will likely be committed for any transportation project.

I. Public Notice of Use of Measure Funds. Member agencies will provide the public with planned use of measure funding as part of its annual or biennial budget process. This includes each City and Community Advisory Council will receive at a minimum, twice per programming year presentations from jurisdictional staff to review proposed investments prior to annual allocations.

Determination of Non-Eligibility
A determination of non-eligibility of a jurisdiction shall be made only after a hearing has been conducted and a determination has been made by the Authority that the jurisdiction is not an Eligible Jurisdiction as provided hereinabove.

VII. Taxpayer Safeguards
A. A transportation special revenue fund (the “Local Transportation Authority Special Revenue Fund”) shall be established to maintain all Revenues.

B. Accounting Receipt, maintenance and expenditure of Net Revenues shall be distinguishable in each jurisdiction’s accounting records from other funding sources, and expenditures of Net Revenues shall be distinguishable by program or project. Interest earned on Net Revenues allocated pursuant to the Ordinance shall be expended only for those purposes for which the Net Revenues were allocated.

C. No Net Revenues shall be used by a jurisdiction for other than transportation purposes authorized by the Ordinance. Any jurisdiction which violates this provision must fully reimburse the Authority for the Net Revenues misspent and shall be deemed ineligible to receive Net Revenues for a period of five (5) years.

D. A Citizens Oversight Committee (“Committee”) shall be established to provide an enhanced level of accountability for expenditure of Revenues under the Ordinance.

The Committee will help to ensure that all voter mandates are carried out as required. The roles and responsibilities of the Committee, the selection process for Committee members and related administrative procedures shall be carried out as described in the Section XIII below and Ordinance Section 15.

E. A performance assessment shall be conducted at least once every five years to evaluate the efficiency, effectiveness, economy and program results of the Authority in satisfying the provisions and requirements of the Investment Summary Council Agenda 3-3-2026 12.B-11
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February 5, 2026 SLO County Transportation Expenditure Plan 7 of the Plan, the Plan and the Ordinance. A copy of the performance assessment shall be provided to the Committee.

F. Annual status reports regarding the regional corridor projects and improvements shall be brought before the Authority by local agencies and Authority staff at least annually in public meetings.

G. Annual Report Annually the Authority shall publish a report on how all Revenues have been spent and on progress in implementing projects in the Plan and shall publicly report on the findings and posted on the agency website.

VIII. Ten-Year Comprehensive Program Review

At least every ten years the Authority shall conduct a comprehensive review of all projects and programs implemented under the Plan to evaluate the performance of the overall program and may revise the Plan to improve its performance. The review shall include consideration of changes to local, state and federal transportation plans and policies; changes in land use, travel and growth projections; changes in project cost estimates and revenue projections; right-of-way constraints and other project constraints; level of public support for the Plan; and the progress of the Authority and jurisdictions in implementing the Plan. The Authority may amend the Plan based on its comprehensive review, subject to the requirements of Section IX: Reporting, Implementation and Amendments.

IX. Reporting, Implementation and Amendments
Administration
In compliance with state and federal requirements, SLOCOG regularly prepares a Regional Transportation Plan (RTP) that identifies priority projects across all transportation modes, including highways, local roads, public transit, bikeways, and aviation.

All updates to the Expenditure Plan will undergo public review and hearings. Candidate projects and priorities may evolve, but the county’s extensive transportation needs will ensure robust use of all available funding, including sales tax revenues. During each update, the Authority will review investments across multiple transportation modes to ensure efficiency and equity in addressing mobility needs throughout San Luis Obispo County.

Annual Report
Each year, the Citizens’ Oversight Committee (Section XIV) reviews expenditures and communicates results to the public through an Annual Report.

Council Agenda 3-3-2026 12.B-12
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February 5, 2026 SLO County Transportation Expenditure Plan 8 Amendment Process
As specified in PUC Section 180207:
(a)Once per calendar year, the Authority may review and propose amendments to the county’s transportation expenditure plan to incorporate additional revenues, account for unanticipated funds, or respond to unforeseen circumstances.

Amendments adopted late in the year will not preclude additional amendments in the following year.
(b)The Authority must notify the County Board of Supervisors and each city council, providing copies of proposed amendments for their review. (c)Amendments become effective 45 days after notification.

Voter approval (2/3 majority) is required for changes to funding categories or overall allocation formulas as per Ordinance Section 10.

Biennial Implementation Plan
At least once every two years, the Authority will prepare and adopt a Measure TBD Implementation Plan. This plan will include a financial component consistent with both the SLOCOG Regional Transportation Improvement Program (RTIP) and the STIP.

Process steps include:

A.SLOCOG staff, working with member agencies and stakeholders, will draft and update the Implementation Plan biennially.

B.The Authority Board will review the Draft Implementation Plan, hold public hearings, and incorporate feedback.

C.Following review, the Authority formally adopts the Implementation Plan.

Implementation Guidelines
Following voter approval of this Measure, the Authority shall adopt Implementation Guidelines to administer and implement the Expenditure Plan in a manner consistent with the voter-approved purposes of this Measure. The Implementation Guidelines shall establish procedures for project programming and delivery, eligibility requirements, fund distribution, accountability and reporting, audits, amendments, and other administrative matters necessary to ensure effective and transparent use of Measure revenues. The Implementation Guidelines shall not expand or alter the uses of funds authorized by this Measure and shall be adopted by the governing board at a public meeting following a noticed public process.

Council Agenda 3-3-2026 12.B-13
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February 5, 2026 SLO County Transportation Expenditure Plan 9 X. Bonding Authority
To reduce overall costs by advancing construction timelines, the Authority shall have the option to sell or issue, at any time, and from time to time, including on or before the collection of the taxes authorized by the Ordinance Section 16, bonds, notes or other evidences of indebtedness, including capital appreciation bonds, payable from and secured by the proceeds from the sales taxes authorized by this Ordinance and from the proceeds of the existing Measure TBD sales taxes, in order to finance and refinance the transportation projects identified in the Transportation Expenditure Plan. Bonding indebtedness shall be limited to 35% of net sales measured at the end of the 30-year program. An additional bonds test (ABT) no lower than 1.5x Maximum Annual Debt Service will be measured against projected revenues for any consecutive 12-month period in the prior 18 months.

Should the tax be ended by voter action, the obligation to repay the bond debt remains with the agency, in this case the Authority and its member agencies.

XI. Independent Financial Audits
If the Transportation Measure is approved by the voters, the Authority will conduct independent financial audits of all revenues and expenditures associated with the measure in accordance with Public Utilities Code 180000 et seq. These audits will ensure full transparency and accountability in the use of voter-approved sales tax revenues.

The results of the audits will be presented annually to the Authority Board and made available to the public, reinforcing confidence in the administration of the Transportation Measure. Findings will also be shared with the Citizens’ Oversight Committee to support their independent review of expenditures and compliance with the Expenditure Plan.

XII. Administration Program – 1% of Measure Revenues
To effectively manage and implement the Transportation Measure, the Authority will cap administration costs at no more than 1% of annual sales tax revenues to administrative activities. This allocation supports the necessary planning, oversight, and program development functions required for successful execution of the measure.

Key administrative responsibilities of the Authority include:

A.Annual Work Program and Budget
Prepare and adopt an annual work program and budget outlining planned expenditures, oversight activities, and administrative costs.

Council Agenda 3-3-2026 12.B-14
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February 5, 2026 SLO County Transportation Expenditure Plan 10 B. Allocation Program Requirements and Focused Studies
Develop requirements for each funding program established by the Regional Programs allowed in the Expenditure Plan and undertake specialized studies needed to implement those programs effectively.

C. Biennial Implementation Plan
Prepare and update the Transportation Measure Implementation Plan every two years, aligning it with the Regional Transportation Improvement Program (RTIP) and State Transportation Improvement Program (STIP).

D. Regional Project Prioritization
Establish and update priority lists for regional projects and rehabilitation projects, in coordination with member jurisdictions and consistent with Expenditure Plan goals.

E. Independent Annual Audit
Conduct an independent audit of all Transportation Measure funds to ensure compliance, fiscal integrity, and accountability to the public.

F. Public Outreach and Communication
Carry out ongoing outreach and public education efforts to keep residents informed about project progress, financial performance, and planned updates.

G. Bond Issuance for Accelerated Delivery
Issue bonds when appropriate to expedite project delivery, reducing overall project costs by leveraging future revenues for near-term improvements.

H. Revenue Allocation to Local Jurisdictions
Distribute Transportation Measure proceeds to incorporated cities and the county in accordance with the formulas and criteria established in the Expenditure Plan.

I. Support for Oversight Committees and Related Technical Assistance Provide staff support to advisory committees and furnish technical assistance to member jurisdictions to ensure consistent, equitable, and effective program implementation.

XIII. Citizens’ Oversight Committee
Committee Purpose
A. To provide fiscal oversight on the implementation of the Transportation Expenditure Plan ensuring that funds are spent in accordance with the approved Plan.

B. To inform the public and confirm that revenues and expenditures from the Transportation Measure are spent as promised to San Luis Obispo County voters.

Council Agenda 3-3-2026 12.B-15
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February 5, 2026 SLO County Transportation Expenditure Plan 11 Committee Formation
A. The Committee will be formed within six (6) months following voter approval of the Transportation Measure in San Luis Obispo County.

B. The Committee shall be a permanent component of the Expenditure Plan and cannot be eliminated by amendment.

C. Meetings will begin when Transportation Measure revenues are recommended for expenditure, including Implementation Plan updates.

Selection and Duties of Committee Chair and Vice Chair
A. The Committee will select a Chair and Vice Chair from among its members, each serving a one-year term.

B. Chair Duties: Call meetings, set agendas, and preside over meetings.

C. Vice Chair Duties: Perform the Chair’s duties in the Chair’s absence.

Committee Meetings
A. The Committee will hold at least two formal meetings annually, with additional meetings scheduled as needed.

B. All meetings will comply with the Brown Act (open meeting requirements).

C. Meetings will be conducted in accordance with Robert’s Rules of Order.

Subcommittee Requirements
A. The Committee may form subcommittees to address specific tasks or focus areas.

B. All subcommittees will consist of an odd number of members to ensure clear decision-making.

The Committee will reflect the geographic and demographic diversity of San Luis Obispo County and consist of 12 members. Each represented organization will nominate its representative, with final appointments approved by the Authority Board.

Membership Composition:

A. One resident representative appointed by each incorporated city (Arroyo Grande, Atascadero, Grover Beach, Morro Bay, Paso Robles, Pismo Beach, San Luis Obispo) and one member from each of San Luis Obispo County’s Supervisorial District’s within the unincorporated areas.

Council Agenda 3-3-2026 12.B-16
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February 5, 2026 SLO County Transportation Expenditure Plan 12 B. The Authority Board will review and appoint these members. If any jurisdiction is unable to appoint a representative, THE AUTHORITY may fill the position through an open application process. Should a new City become incorporated, a representative from that jurisdiction shall be appointed by the City.

Quorum
A. A quorum will consist of no fewer than seven (7) members.

B. Actions may be approved by a simple majority of members present, provided the quorum is met.

Term of Membership
A. Members serve two-year terms, with a maximum of eight consecutive years of service.

B. To establish staggered terms, the initial appointments will be divided so that half serve one-year terms and half serve two-year terms, determined by random selection.

C. Proxy voting is not permitted.

Eligibility
A. Must be a U.S. citizen, 18 years or older, and a resident of San Luis Obispo County.

B. Cannot be an elected official of San Luis Obispo County or its cities.

C. Cannot be an employee of state, county, or city government agencies within San Luis Obispo County (except employees of educational institutions).

Staffing
A. SLOCOG staff will provide technical and administrative support, including preparation of agendas, meeting materials, and public communications.

B. Administrative costs for staffing will be funded through the Transportation Measure’s administrative allocation.

C. Expert staff and consultants may be invited to present information or analyses as needed.

Responsibilities
A. Reviewing and commenting on independent financial and performance audits of Measure funds.

Council Agenda 3-3-2026 12.B-17
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February 5, 2026 SLO County Transportation Expenditure Plan 13 B. Reviewing periodic reports, studies, and plans related to Measure revenues and expenditures.

C. Ensuring that expenditures are consistent with the Expenditure Plan.

D. Conducting an annual review of sales tax revenue use and publicly reporting findings.

E. Presenting recommendations and findings in a formal annual report to the public and Authority Board.

F. Accessing information from the Authority’s independent auditor and requesting additional information as necessary to fulfill oversight responsibilities.

G. Remaining informed of advancements in transportation planning and finance to ensure oversight remains relevant and effective through the duration of the Measure.

XIV. Measure Duration
This Transportation Expenditure Plan shall remain in effect for 30 years as approved by San Luis Obispo County voters.

Council Agenda 3-3-2026 12.B-18
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PISMO BEACH CITY COUNCIL STAF REPOR
Agenda Item #12.C
Meetin Date: March 3, 2026
TITLE:

Capital Improvement Program Semi-Annual Report
RECOMMENDATION:

No action recommended; for information only.

DISCUSSION:

The Ten-Year Capital Improvement Plan (CIP) is one of the most important planning documents for the City of Pismo Beach. This plan not only identifies immediate needs but also seeks to capture the long-term capital requirements of the City. Capital projects are typically projects that lead to the acquisition and/or construction of new assets or the improvement or extension of the useful life of existing capital assets. Capital assets include but are not limited to land, facilities, buildings, parks, playground equipment, streets and sidewalks, bridges, water, wastewater and storm drain infrastructure, technology systems and equipment, traffic control devices, and many other items that deliver public benefit for a prolonged period of time. This report will provide an update on CIP projects currently in progress.

Studies and Planning Documents
The City’s efforts to plan and prioritize construction projects also include the preparation of studies and planning documents that provide recommendations for future infrastructure improvements. Currently there are six of these plans in the process of completion: the Sewer System Management Plan, Sewer Master Plan, Urban Water Management Plan, Water Master Plan, Facilities Condition Assessment and ADA Transition Plan. Three additional plans have been completed since the last update: the Drainage Master Plan Update for Shell Beach, Downtown, and the Heights, the Pavement Management Plan Update, and the Pier, Cypress Bridge and Pedestrian Bridge Inspection Report.

Sewer System Management Plan (SSMP) and Sewer Master Plan (SMP) The SSMP provides a plan and schedule to properly manage, operate, and maintain all parts of the sanitary sewer system for regulatory compliance. The current SSMP was developed in 2020 and needs to be updated to remain in regulatory compliance with the California discharge permit for sanitary sewer systems.

The SMP provides a prioritized list of capital improvements related to the sanitary sewer system. This document was last updated in 2000.

The consultant completed and uploaded the SSMP audit document to the California Integrated Water Quality System Project (CIWQS) database prior to the November 2025 due date. The consultant is on track to have the draft SSMP submitted for staff review in mid-March, with the final SSMP anticipated to be presented to the Council for approval in April. Once approved, the final SSMP will be uploaded to the CIWQS database before Council Agenda 3-3-2026 12.C-1
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the May 2, 2026 deadline. The consultant is currently working on the population and flow evaluation for the SMP and recently completed the collection system evaluations.

Urban Water Management Plan (UWMP) and Water Master Plan (WMP) The UWMP provides long-term water resources planning and demonstrates water supply reliability under normal as well as drought conditions. The current UWMP was developed in 2020 and is required to be updated following the California Department of Water Resources guidance to remain in compliance with California Water Code requirements.

The WMP evaluates the water system to identify capital improvement projects necessary to meet current and future water system requirements. The plan was last updated in 2020.

Staff has prepared a formal Request for Proposals for professional engineering and planning services to prepare an update of the UWMP and WMP. It is anticipated that consultant proposals will be due in April 2026.

Facilities Condition Assessment
This project includes preparation of a comprehensive facilities condition assessment of all City-owned facilities and a long-term facilities maintenance plan. The contractor has delivered final reports for each facility and provided the City with access to software to easily view the City’s assets, their condition, and expected maintenance costs for the next 20 years. The consultant has provided the data and it has been uploaded to our Asset Management Program. Staff will bring the final report to the Council at a future meeting.

ADA Transition Plan Update
Under Title II of the ADA, the City is required to have a current Self-Evaluation and Transition Plan. The City contracted with Disability Access Consultants (DAC) through the California Joint Powers Insurance Authority (CJPIA) ADA Assistance Program to complete a comprehensive update of the 2014 Self-Evaluation and Transition Plan. DAC has nearly completed its inspections of public rights-of-way, parks, and facilities. A 60- day public input period was advertised and surveys collected. DAC is also working on the programmatic evaluation of policies, procedures, and practices. It is anticipated that data will be entered into the DACTrak software and staff will begin receiving training on the software in the Fall.

Drainage Master Plan – Shell Beach, Downtown, and the Heights A consolidated Drainage Master Plan was completed, including an update to the 2005 Drainage Master Plan for the Downtown and Pismo Heights areas as well as incorporating the Shell Beach Village area which had not previously been included in any study. This updated plan is being used to incorporate drainage improvements into the scope of the Paving and Drainage Project, budgeted for Fiscal Year (FY) 2027.

Pavement Management Plan (PMP) Update
The Pavement Management Plan (PMP) provides a comprehensive five-year maintenance and rehabilitation strategy for the City’s approximately 38 centerline miles of pavement. The PMP Update has been completed and design is underway on the Council Agenda 3-3-2026 12.C-2
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Phase 1 project. An RFP for consultant design of the Phase 2 project will follow in the coming months.

Pier, Cypress Bridge and Pedestrian Bridge Inspections
Underwater and above-water inspection of the entire Pismo Pier as well as the Cypress Street Bridge, Dolliver Street Pedestrian Bridge, and Shore Cliff Pedestrian Bridge have been completed.

Completed Projects
Clarifiers Rehabilitation
The project included removal and replacement of circular spiral blade, cage drive clarifiers, walkway and platform with handrails, and other appurtenances necessary to rehabilitate Clarifier #1 and Clarifier #2. A Notice of Completion is being presented to the Council for approval under a separate item at this meeting.

Pier Avenue Stairs Removal
This project removed the damaged stairs on Ocean Boulevard at Pier Avenue. A Notice of Completion was approved by the City Council on February 3, 2026.

Under Construction
Public Safety Facility
At both the police and the fire station, the final electrical and cabinet finishes are being installed. Commissioning of building mechanical and HVAC systems is in process.

Procurement of interior furnishings is being finalized. Onsite, the ADA concrete ramps and the rear parking lot retaining wall and landscaping are being installed. Weather has caused scheduling delays for the exterior work. Overall, the building work is progressing as scheduled with building completion expected in April 2026.

Ventana Sports Courts Project
The project consists of construction of new tennis and pickleball courts on Ventana Drive (Ventana Sports Courts). These include two pickleball courts, one tennis court, a parking lot, and a crosswalk connecting Chumash Park to the Ventana Courts. A construction contract was awarded and the Notice to Proceed was issued for work to begin on March 23, 2026. Construction is anticipated to be complete by October 2026. A groundbreaking ceremony is scheduled for March 12, 2026 at 2:00 p.m.

Design
Routine Street Maintenance
Regular routine maintenance of City streets will benefit all residents and visitors who utilize the City's roadways and prolong the useful life of the roadways. Routine maintenance includes crack filling, performing dig-outs, filling potholes, slurry sealing, and striping. The FY 2026 budget includes $1M to complete a routine maintenance project on Council Agenda 3-3-2026 12.C-3
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select residential City streets based on the PMP. A consultant contract has been executed for design of the project with construction anticipated in September 2026.

New Production Well
This project will replace the existing Well 23 with a new water production well. The well has been thoroughly examined by experts in the field. The consensus is that attempting to rehabilitate this well is not worth the significant risk of it failing completely in the process.

Charles Street Reservoir Replacement Project
This project will replace the Charles Street Reservoir, located in Grover Beach, which is nearing the end of its useful life. The project is partially funded with a $500,000 grant from the U.S. Department of Housing and Urban Development (HUD). The current plans are at 60% design, and the current construction cost estimate is $5.0 million. Staff is re- evaluating the plans and recommendations for a project within budget.

Addie Street Restroom Replacement
This project will replace the current restroom at the beach end of Addie Street, adjacent to the Addie Street parking lot, with a larger restroom. A revised design based on Council direction has been provided by the manufacturer. Staff is now coordinating with California State Parks regarding the new site layout.

Shell Beach Road Shared Use Path
The project will connect Avila Beach Drive to Spyglass Drive with a multimodal path. The design is at the 60% level. Staff is coordinating with County Planning staff for a County planning permit as well as communicating with the San Luis Obispo Council of Governments (SLOCOG), the County, and Caltrans regarding construction funding shortfalls. The project stakeholders are reviewing a smaller phased project that will meet the current funding budget available.

Sunset Palisades Lift Station Rehab and Force Main Relocation The Sunset Palisades Lift Station Rehabilitation and Force Main Relocation Project will rehabilitate the aging discharge piping at the lift station to maintain safe and efficient operations. The project will also relocate the existing force main which currently runs behind the residential properties along Searidge Court, into the City’s right-of-way. 30% design is currently in progress. 100% plans are expected to be complete in July 2026.

Pier Avenue Storm Drain Repair
The project will replace the storm drain outfall pipe that was washed away during a storm event in January 2023. This site was approved by the Federal Emergency Management Agency (FEMA) for funding and a consultant has prepared 100% construction plans and specifications for review. Construction is estimated to be completed by the end of 2026.

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Cliff Avenue/Ocean Boulevard Storm Drain
The project will repair the damaged storm drain outfall at the intersection of Cliff Avenue and Ocean Boulevard. The project is funded through the Federal Emergency Relief program. A constructability review of the plans is in progress and comments have been provided to the design consultant for incorporation prior to re-advertising for construction bids. The Construction Management agreement has been revised to incorporate all required federal language and is under review with Caltrans prior to being presented to Council for approval. Staff anticipate re-advertising for construction bids in May 2026.

Cliff Avenue Parking
The project will pave and stripe parking stalls at 90° angles in the currently unpaved right- of-way along the south side of Cliff Avenue. A consultant contract for design services has been executed and design is now in progress. 100% plans are expected to be complete in November 2026.

Cliff Avenue/Ocean Boulevard Utility Undergrounding
This project will underground the overhead utility lines along the bluff on Cliff Avenue and Ocean Boulevard in the vicinity of the Cliff Avenue/Ocean Boulevard Storm Drain Repair project. The project is currently advertised for construction bids, with bids due on March 12, 2026.

Price Street/Ocean View Avenue Improvements
This project will provide increased pedestrian and cyclist safety at the intersection of Price Street and Ocean View Avenue. A contract with a consultant to prepare design plans has been executed, and work is in progress.

Price Street and Dolliver Parking Lot Lighting
Staff is working with a solar streetlight vender to install two lights as part of a no-cost pilot program in the Dolliver and Main Street parking lots. The lights will be in place at the parking lot for 90 days, during which the City will evaluate their look and performance. At the end of the 90-day period, the City will either opt to have the lights removed at no cost or purchase the lights.

Vision Zero Action Plan
Staff secured a grant through the Federal Highway Administration (FHWA)’s Safe Streets and Roads for All program to complete a Vision Zero Action Plan. The plan will identify and prioritize projects that will eliminate or reduce roadway fatalities and serious injuries.

Staff anticipates releasing an RFP by the end of this year, with consultant selection in January 2027.

Eldwayen Park Sidewalk Re-route
The project will remove the existing sidewalk within the park and install a new decomposed granite path away from the edge of the bluff. Staff is working to execute a contract with a consultant for design of the project.

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Toucan Terrace Sewer Pipe Relining
Bid specifications are currently being developed for the Toucan Terrace Pipe Relining project, and SmartCover has been contracted to install a flow meter to collect flow data in support of the bypass plan.
320/330 Main Street Parking Lot Design
The property at 330 Main Street, which is currently being utilized as a temporary Police Department office, is being evaluated for use as a parking lot once the Public Safety Facility is operational and staff have relocated there. Alternatives are being explored for possible merging with adjacent lots, or a standalone lot. Staff has developed some conceptual design alternatives and cost estimates for consideration.

Other Projects Budgeted in FY26
Evaluate potential for sports courts lighting
Vista Del Mar Stairs foundation maintenance
Butterfly Grove Enhanced Parking and Crosswalk: Pending Highway 1 relinquishment
Pismo Oaks booster station, Pacific Estates booster station, and Well 5 Variable Frequency Drives (VFD)
FISCAL IMPACT:

There is no direct fiscal impact associated with this report.

ATTACHMENTS:

None.

Prepared by:

Erin Olsen, Senior Management Analyst
Submitted by: Rosemarie R. Gaglione, PE, Director of Public Works City Manager Approval:

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Pismo Beach City CouncilMarch 3, 2026

Pismo Beach City Council
March 3, 2026