AG EN DA Poway City Council
Coun cil Ch am ber I 13325 Civic Center Driv e I Pow ay, CA I 92064 March 3, 2026 I 7 p.m.
Thank you for participating in your local government and the City of Poway Council meetings.
Meetings I Regular City Council meetings are held on the first and third Tuesday of the month at 7:00 p.m. in the Council Chambers located at 13325 Civic Center Drive, Poway, CA 92064. The Council Chamber will be open to the public.
Public Meeting Access I Members of the public may attend the City Council meeting in person, or watch the City Council meeting live online. Regular City Council meetings are broadcast live on Cox Communication Channel 24 and Spectrum Channel 19. Council meeting videos are archived and available for viewing on the City's website.
Speakers I Persons wishing to address the Council on matters not on the agenda may do so under Public Comment. Those wishing to speak on items on the agenda may do so when the item is being considered . Please submit a Speaker's Slip to the City Clerk prior to the meeting or the announcement of the item. All comments will be limited to three (3) minutes. Per the Poway Municipal Code, the speaking time may be reduced .
To Watch Live:
www.poway.org/councilmeetings
Agenda Materials I This agenda contains a brief summary of each item the Council will consider.
The Agenda and Agenda Packet is posted seven (7) days prior to regular City Council meetings and are available for viewing on the City's website at www.poway.org. Sign up at https://poway.org/list.aspx to receive email notifications when City Council agendas are published online . Items listed on the agenda with a"#" symbol are in preparation.
PLEASE NOTE: Written comments received via email before 3:00 p.m. the day prior to the meeting will be distributed as formal additional material as well as be made available online prior to the City Council meeting. Written comments received after this deadline will be forwarded to the Council, but not available online until after the City Council meeting.
American Disabilities Act Title II I In compliance with the Americans with Disabilities Act of 1990, persons with a disability may request an agenda in appropriate alternative formats as required by Title II. Any person with a disability who requires a modification or accommodation in order to participate in a meeting should direct such request to the City Clerk's office 858-668-4530 at least 24 hours prior to the meeting .
Steve Vaus
Mayor
Jenny Maeda
Deputy Mayor
Peter De Hoff
Councilmember
Christopher J. Pikus Vacant
Councilmember Councilmember
Reminder I As a courtesy to all attendees, please silence all electronic devices and engage in conversations outside the Council Chambers.
The City Council also sits as the City of Poway Planning Commission, Poway Housing Authority, Public Financing Authority and Successor Agency to the Poway Redevelopment Agency CALL TO ORDER:
ROLL CALL:
PLEDGE OF ALLEGIANCE:
MOMENT OF SILENCE:
PRESENTATION : None
PUBLIC COMMENT : In accordance with State law, an item not schedule d on the agenda may be brought forward by the general public for comment; however, the City Council will not be able to discuss or take action on any issue not included on the agenda. You may speak up to three (3) minu tes.
Per the Poway Municipal Code, the speaking time may be reduced. Speakers have one opportunity to address the Council under Public Comment.
CONSEN T CALENDAR: The Consent Calendar may be enacted in one motion by the Council with a Roll Call Vote witho ut discussion unless a Councilm ember, a member of the pub lic, or City Manager req uests that an item be removed for discussion.
1. Approval of Reading by Title Only and Waiver of Reading in Full of Ordinances on this Agenda
2. Approval of the December 2, 2025 Regular City Council Meeting Minutes
3. Second Reading and Adoption of Ordinance No. 880 entitled "An Ordinance of the City Council of the City of Poway, California, Amending Chapter 2.18 (Meetings) of the Poway Municipal Code Regarding Physical Attendance at City Council Meetings"
4. City's Investment Report as of December 31, 2025
5. Fire and Life Safety Inspection Report
6. Approval of Agreement Between the City of Poway and the California Department of Technology (CDT) for the Purchase of Microsoft Product and Services ORDINANCES FOR INTRODUCTION : None
PUBLIC HEARINGS: None
2 of 3 Regular City Council Meeting March 3, 2026
STAFF REPORTS:
7. Capital Improvement Program Update
City Manager's Recommendation: This is an informational item and there is no recommended action.
WORKSHOPS : None
COUNCIL -I NITIATED ITEMS: None
COUNCIL COMMITTEE REPORTS and ANNOUNCEMENT S: Pursuant to AB1234 - (G.C. 53232(d)) CITY MANAGER ITEMS:
CITY ATTORNEY ITEMS: (Including any public report of any action taken in closed session) CLOSED SESSION:
8. Conference with Legal Counsel - Anticipated Litigation Pursuant Government Code Section 54956.9(d)(2) - Significant Exposure to Litigation ADIOURNMENT :
State of California
County of San Diego
)
) ss.
)
AFFIDAVIT OF POSTING
I, Carrie Gallagher, CMC, City Clerk of the City of Poway, hereby declare under penalty of perjury that this notice of a Regular meeting as called by the City Council of the City of Poway was posted and provided on February 24, 2026.
Said meeting to be held at 7:00 p.m., March 3, 2026, in the Poway City Council Chambers, 13325 Civic Center Drive, Poway, California. Said notice was posted on the Bulletin Board at the entrance to City Hall. ~M~
Carrie Gallagher, CMC, City Clerf
3 of 3 Regular City Council Meeting March 3, 2026
AG EN DA REPORT City of Poway
DATE:
TO:
FROM:
March 3, 2026
Honorable Mayor and Members of the City Council
Carrie Gallagher, City Clerk ,....,,,(k-
(858) 668-4535 or [email protected]
CITY COUNCIL
SUBJECT: Approval of the December 2, 2025 Regular City Council Meeting Minutes Summary
The City Council Meeting Minutes submitted hereto for approval are:
• December 2, 2025 Regular City Council Meeting Minutes The Poway City Council sits as the Poway Planning Commission, the Poway Housing Authority, the Public Financing Authority, and the Successor Agency to the Poway Redevelopment Agency.
Recommended Action:
It is recommended the City Council approve the December 2, 2025 Regular City Council Meeting Minutes.
Public Notification:
None.
Attachments:
A. December 2, 2025 Regular City Council Meeting Minutes Reviewed/Approved By:
Assistant City Manager
1 of 7
Reviewed By:
Alan Fenstermacher
City Attorney
Chris Hazeltine
City Manager
March 3, 2026, Item #2
CITY OF POWAY
CITY COUNCIL REGULAR MEETING
MINUTES
December 2, 2025
City Council Chambers
13325 Civic Center Drive, Poway, California
(Per Government Code 54953)
(Meeting Called to Order as City Council/City of Poway Planning Commission/Poway Housing Authority/Public Financing Authority and Successor Agency to the Poway Redevelopment Agency) CALL TO ORDER:
Mayor Vaus called the Regular Meeting to order at 7:00 p.m.
ROLL CALL:
Present: Jenny Maeda, Christopher J. Pikus, Peter De Hoff, Steve Vaus STAFF MEMBERS PRESENT:
City Manager Chris Hazeltine; Deputy City Attorney Jayson Parsons; City Clerk Carrie Gallagher; Director of Development Services Julie Procopio; Director of Finance Craig Schmollinger; Director of Human Resources and Risk Management Jodene Dunphy; Director of Public Works Eric Heidemann; Director of Community Services Audrey Denham; Fire Chief Brian Mitchell; Lieutenant Colin Hebeler, San Diego County Sheriff's Office. (Note: Hereinafter the titles Mayor, Deputy Mayor, Councilmember, City Manager, Deputy City Attorney, City Clerk and Director of Finance shall be used to indicate Mayor/Chair, Deputy MayorNice Chair, Councilmember/Director, City Manager/Executive Director, Deputy City Attorney/Counsel, City Clerk/Secretary and Director of Finance/Finance Officer.) PLEDGE OF ALLEGIANCE:
Deputy Mayor De Hoff led the Pledge of Allegiance.
MOMENT OF SILENCE:
Mayor Vaus led a moment of silence remembering West Virginia Army National Guard Specialist Sarah Beckstrom, tragically killed while serving, and U.S. Air Force Staff Sergeant Andrew Wolf recovering from injuries.
PRESENTATIONS:
None.
2 of 7
March 3, 2026, Item #2
ATTACHMENT A
City of Poway - Minutes - December 2, 2025
PUBLIC COMMENT:
Peter Neild thanked the City for supporting the Candy Cane Court neighborhood during the holiday season, he spoke in support of the Lake Poway Skimmers and Poway ridgelines.
Joe St. Lucas shared a Merry Christmas message and commended the organizers and participants of the Carols by Candlelight event at the Poway Center for the Performing Arts (PCPA).
Curtis Kitteringham, on behalf of the Lake Poway Skimmers, supported the club's continued recreational use of Lake Poway
Chris Olps offered support for the Lake Poway Skimmers continued recreational use of Lake Poway.
James Broesch, on behalf of the Lake Poway Skimmers, supported the club's continued recreational use of Lake Poway.
Steven Belknap, on behalf of the Lake Poway Skimmers, supported the club's continued recreational use of Lake Poway, emphasizing hope for shared use of the lake by the club and the new concession owner.
'
City Manager Chris Hazeltine addressed public concerns, noting the Lake Lookout concessionaire has no operational control and the city continues to ensure park activities are properly managed.
Tom Farley, joined by family and friends, wished the Council, staff, and community a Merry Christmas and Happy Holidays.
CONSENT CALENDAR:
Motioned by Deputy Mayor De Hoff, seconded by Councilmember Pikus to approve Consent Calendar Items 1 through 6. Motion carried 410 by the following roll-call vote:
Ayes:
Noes:
Abstained:
Absent:
Maeda, Pikus, De Hoff, Vaus
None
None
None
Disqualified: None
1. Approval of Reading by Title Only and Waiver of Reading in Full of Ordinances on this Agenda
2. Approval of the August 19, 2025 Regular City Council Meeting Minutes
3. Second Reading and Adoption of Ordinance No. 878 entitled "An Ordinance of the City Council of the City of Poway, California, Amending Poway Municipal Code (PMC) Title 15, Adopting by Reference the 2025 California Building Standards Codes, with Local Amendments"
4. City's Investment Report as of September 30, 2025
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March 3, 2026, Item #2
City of Poway - Minutes - December 2, 2025
5. Approval of an Amendment to the Agreement between the City of Poway and Black & Veatch Corporation for Engineering Design Services for the Poway Treated Water Facilities and Redundant Pipeline Project
6. Award of Agreement to Prestige Concrete for Public Facilities Renovation Community Road Median Concrete Replacement
ORDINANCES FOR INTRODUCTION:
None.
PUBLIC HEARINGS:
None.
STAFF REPORTS:
7. Resolutions Approving the Second Amended and Restated Regional Wastewater Disposal Agreement and Administrative Agreement No. 1 with the City of San Diego Assistant Director of Public Works for Utilities Troy DePriest presented the item along with a PowerPoint presentation. Mr. DePriest noted Poway's wastewater flows into San Diego's Metropolitan Wastewater System, a regional system in which Poway is one of twelve participating agencies.
Mr. DePriest summarized the Second Amended and Restated Regional Wastewater Disposal Agreement (SARA) updates the existing regional agreement to address unresolved issues, revise billing methodologies, and clarify cost allocation, enforcement responsibility, and regulatory liability as the system transitions to potable reuse. He stated the agreement also establishes streamlined processes for future administrative amendments.
He explained Administrative Agreement No. 1 provides for unified management of industrial pretreatment and source control programs, with San Diego issuing permits and conducting inspections of industrial users, while Poway retains responsibility for regulating food service establishments and fats, oils, and grease discharges.
Mr. DePriest discussed the new functional allocation billing methodology, noting it more accurately reflects system usage. Based on Fiscal Year 2024 costs, he stated Poway's billed amount was $3,956,404, with an estimated additional annual cost of approximately $660,719 following adoption of the SARA.
Public Comment:
None.
End of Public Comment.
Council discussion ensued. Council expressed appreciation for staff's extensive efforts to negotiate the agreement and noted the SARA modernizes the City's relationship with the City of San Diego. Council discussed the transition to functional allocation billing and improvements to liability provisions, noting the agreement provides clearer processes for 4 of 7
March 3, 2026, Item #2
City of Poway - Minutes - December 2, 2025
allocating fines and penalties among participating agencies. Council emphasized the importance of the agreement in establishing a fair and reliable framework for regional wastewater services.
Motioned by Mayor Vaus, seconded by Councilmember Pikus to approve Resolution No. 25-051 entitled "A Resolution of the City Council of the City of Poway, California, Approving the Second Amended and Restated Regional Wastewater Disposal Agreement between the City of Poway and the City of San Diego", and Resolution No. 25-052 entitled "A Resolution of the City Council of the City of Poway, California, Approving the Administrative Agreement No. 1 between the City of Poway and the City of San Diego", in a form substantially similar to the version of the Agreement attached thereto, and authorizing the City Manager to approve non-substantive changes and execute the Agreement. Motion carried 4/0 by the following vote:
Ayes:
Noes:
Abstained:
Absent:
Disqualified:
Maeda, Pikus, De Hoff, Vaus
None
None
None
None
8. Hillside Ridgeline Review Update
Director of Development Services Julie Procopio introduced the item. She emphasized Poway's longstanding commitment to preserving scenic ridge lines while balancing property owners' development rights, reinforced by general plan protections and strategic land acquisitions.
Following Ms. Procopio, Interim City Planner Don Neu presented the report with a PowerPoint presentation. Mr. Neu provided historical background, offering a timeline of decades-long efforts to guide hillside and ridgeline development. He explained policies have evolved to limit density, restrict grading in sensitive areas, require larger lots on steeper slopes, and prioritize visual impact analyses to protect public viewpoints. Mass grading of hillside subdivisions remains prohibited, and current standards ensure compliance with environmental, fire, and cultural resource regulations.
He outlined the current development process, including tentative map review, preliminary grading, and plan check, with staff applying council-approved conditions for minor development review applications. Recent projects, such as the Amazon building under the South Poway Specific Plan and the Williams Ranch subdivision, were reviewed using photographic simulations and public hearings to ensure consistency with adopted standards.
Mr. Neu noted while council approval could provide additional visibility, discretionary authority is limited by state law and objective design standards. Council-supported initiatives, including the Sensitive Lands Acquisition Fund, habitat conservation efforts, and general plan design standards, continue to guide thoughtful development in hillside and ridgeline areas. Several options for council consideration are included in the staff report.
Public Comment:
The following individuals spoke in favor of strengthening the City's ridge/ine protections. 5 of 7
March 3, 2026, Item #2
City of Poway - Minutes - December 2, 2025
Lyle Arnold
Jeff Schmidt
Joe St. Lucas
Julie Scardina
Lori Grennan
The following individuals spoke in favor of greater Council oversight and increased public input regarding ridgeline development and protections:
Chris Olps
Chris Cruse
Jost Diederichs
The following individual spoke in support of maintaining current standards for ridgeline development and protections:
John Mullin
The following written comment card was submitted in support of additional noticing for ridgeline projects:
Deborah J. Schneider
End of Public Comment.
Council discussed whether additional discretionary review should be required for single-family homes in the ridgeline review area, emphasizing the importance of protecting Poway's scenic ridgelines and natural hills. Council noted existing policies, including slope limits, grading restrictions, habitat protections, and design standards, already provide strong safeguards.
Council stressed the need to balance community goals with private property rights, noting adding a discretionary review at the building permit stage would impose delays and costs on homeowners while offering little practical benefit under state law Council highlighted meaningful public input is most effective early in the process, such as during tentative map review, and addressed concerns about visual impacts, lighting, and environmental effects, including potential dark-sky considerations.
A motion was made by Councilmember Maeda to require Council approval for all developments within the Hillside Ridgeline Review area. Motion failed due to lack of a second.
Motioned by Mayor Vaus, seconded by Deputy Mayor De Hoff to continue the existing policy of administrative approval of single-family homes in the Hillside Ridgeline Review area reinforcing the commitment to implementation of the hillside standards.
Motion carried 311 by the following vote:
Ayes:
Noes:
Abstained:
Absent:
Disqualified:
6 of7
Pikus, De Hoff, Vaus
Maeda
None
None
None
March 3, 2026, Item #2
City of Poway - Minutes - December 2, 2025
WORKSHOPS:
None.
COUNCIL-INITIATED ITEMS:
None.
COUNCIL COMMITTEE REPORTS and ANNOUNCEMENTS: Pursuant to AB1234 - (G.C. 53232(d))
Councilmember Pikus recognized the City of Poway's 45th anniversary and expressed appreciation for Poway Fire and Sheriff's Office personnel, thanking them for their hospitality and highlighting the City's Class 1 fire protection rating, and shared resident commendations acknowledging exceptional service by the Building Department, utility inspection staff, and Park Ranger personnel.
Councilmember Pikus highlighted upcoming community events, including Kiwanis Club of Poway Holiday with Heroes on December 11 at the Mickey Cafagna Community Center, and Christmas in the Park on December 12 and 13 at Old Poway Park.
A motion was made by Deputy Mayor De Hoff to direct Staff to return to Council with a report on Dark-sky site regulations for hillsides. Motion carried by consensus.
Mayor Vaus encouraged community participation in Christmas in the Park and expressed appreciation to Poway Fire personnel for their recent dinner invitation and hospitality.
CITY MANAGER ITEMS:
City Manager Hazeltine noted all respective Councilmembers and their families have been invited to the Fire Station for dinner and thanked Fire Department personnel for their hospitality.
CITY ATTORNEY ITEMS: (Including any public report of any action taken in closed session) None.
CLOSED SESSION:
None.
ADJOURNMENT:
The meeting was adjourned at 8:52 p.m.
7 of7
Carrie Gallagher, CMC
City Clerk
City of Poway, California
March 3, 2026, Item #2
AGENDA REPORT CityofPoway
DATE:
TO:
FROM:
CONTACT:
March 3, 2026
Honorable Mayor and Members of the City Council
Carrie Gallagher, City Clerk ~
Carrie Gallagher, City Clerk
(858) 668-4530 or [email protected]
CITY COUNCIL
SUBJECT: Second Reading and Adoption of Ordinance No. 880 entitled "An Ordinance of the City Council of the City of Poway, California, Amending Chapter 2.18 (Meetings) of the Poway Municipal Code Regarding Physical Attendance at City Council Meetings" Summary:
The introduction and first reading of the above-entitled Ordinance was approved at a Regular City Council Meeting on February 17, 2026. There were no speakers.
The Ordinance is now presented for second reading and adoption by title only.
Vote at first reading:
Recommended Action:
AYES:
NOES:
DE HOFF, PIKUS, MAEDA, VAUS
NONE
ABSTAINED: NONE
ABSENT: NONE
DISQUALIFIED: NONE
It is recommended the City Council adopt Ordinance No. 880.
Environmental Review:
None.
Fiscal Impact:
None.
March 3, 2026, Item #3
1 of 5
Public Notification:
An ordinance summary notice was published in the Poway News Chieftain on Thursday, February 26, 2026. A certified copy of this Ordinance will also be posted in the Office of the City Clerk in accordance with Government Code section 36933.
Attachments:
A. Ordinance No. 880
Reviewed/Approved By:
Assistant City Manager
Reviewed By:
Alan Fenstermacher
City Attorney
Approved By:
Ch~
City Manager
March 3, 2026, Item #3
2 of 5
ORDINANCE NO. 880
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
POWAY, CALIFORNIA, AMENDING CHAPTER 2.18 (MEETINGS)
OF THE POWAY MUNICIPAL CODE REGARDING PHYSICAL
ATTENDANCE AT CITY COUNCIL MEETINGS
WHEREAS, City staff periodically conducts review of the Poway Municipal Code (PMC) and recommends amendments;
WHEREAS, the City Council of the City of Poway wishes to rescind rules regarding Councilmembers' physical presence on the dais during City Council meetings, which are no longer necessary; and
WHEREAS, the City Council of the City of Poway wants to removal all unconstitutional or otherwise unenforceable portions of the PMC when the chance arises.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF POWAY DOES ORDAIN AS FOLLOWS:
SECTION 1: The above recitations are true and correct.
SECTION 2: Chapter 2.18 (Meetings) of the PMC is hereby amended to delete Sections
2.18.190 and 2.18.200 in their entirety, as follows
2.18.190 Attendance Generally
Any member of the City Council physically present at a City Council meeting must request a recess to leave the dais during any portion of the City Council meeting. The request for a recess shall be granted, unless, in the discretion of the Mayor (or the member of the City Council chairing the meeting in the Mayor's absence), the request for a recess is unreasonable. A request for a recess may be unreasonable only if the quantity or duration of the requested recess(es) will materially disrupt the meeting. Notwithstanding the foregoing, a request for a recess shall not be unreasonable if it is needed due to a medical or disability related emergency. The City Council may, by majority vote of members present, override the determination of whether a recess is reasonable. Leaving the dais during an ongoing City Council meeting not in recess shall be considered an absence from the meeting without permission.
This Section 2.18.190 shall not apply when members of the City Council recuse themselves from discussion of or participation in any agendized item due to a perceived or actual conflict of interest, or any other legally required recusal.
2.18.200 Attendance During Each Agendized Item
Any member of the City Council physically present at a City Council meeting 1Nho physically leaves the dais during any part of an item (including public comment) March 3, 2026, Item #3
ATTACHMENT A
3 of 5
Ordinance No. 880
111ithout a recess shall not be permitted to participate in, make comments on, or vote on that item or any subsequent items introduced while they are absent from the dais.
SECTION 3: Section 2.18.160, subdivision (3)(b) of Chapter 2.18 (Meetings) of the PMC is hereby amended as follows (deletions in strikeout):
Each person addressing the Council shall speak into the microphone at the speaker's podium when the same is in use and, unless further time is granted by the Mayor, shall limit the address to three minutes, unless this three-minute time limit is reduced by the Mayor due to a large number of speakers. All remarks shall be addressed to the Council as a body, and not to any member thereof. No person other than the Council and the person having the floor shall be permitted to enter into any discussion, either directly or through a member of the Council, without the permission of the Mayor. No person shall address or question a Councilmember, the City Attorney, the City Manager or other official without the prior consent of the Mayor.
SECTION 4: The City Council finds that this Ordinance is not a "project" pursuant to the California Environmental Quality Act ("CEQA").
SECTION 5: If any provisions of this Ordinance or the application thereof to any person or circumstances is held invalid, that invalidity shall not affect other provisions or applications of the act which can be given effect without the invalid provisions or application, and to this end the provisions of this act are severable.
SECTION 6: This Ordinance shall be codified.
EFFECTIVE DATE: This Ordinance shall take effect and be in force thirty (30) days after its adoption.
CERTIFICATION/PUBLICATION: The City Clerk shall certify the adoption of this Ordinance and cause it or a summary of it, to be published with the names of the City Councilmembers voting for and against the same in the Poway News Chieftain, a newspaper of general circulation in the City of Poway within fifteen (15) days after its adoption and shall post a certified copy of this Ordinance in the Office of the City Clerk in accordance with Government Code § 36933.
II
II
II
II
II
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II
March 3, 2026, Item #3
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Ordinance No. 880
INTRODUCED AND FIRST READ at a Regular Meeting of the City Council of the City of Poway, California, held the 17th day of February, 2026, and thereafter.
PASSED AND ADOPTED at a Regular Meeting of said City Council held the 3rd day of March, 2026 by the following vote, to wit:
AYES:
NOES:
ABSTAINED:
ABSENT:
DISQUALIFIED:
Steve Vaus, Mayor
ATTEST:
Carrie Gallagher, CMC, City Clerk
March 3, 2026, Item #3
5 of 5
AGENDA REPORT CityofPoway
DATE:
TO:
FROM:
CONTACT:
SUBJECT:
Summary:
March 3, 2026
Honorable Mayor and Members of the City Council
Craig Schmollinger, Director of Finance (2g.__
Mehrnoush Jamshidi, Finance Manager (\,\~ ,
(858) 668-4426 or [email protected] µ
City's Investment Report as of December 31, 2025
CITY COUNCIL
Quarterly reports of investments are required to be presented to the City Council per California Government Code and the City's Investment Policy. Attached is the Investment Portfolio Report as of December 31, 2025
Recommended Action:
It is recommended the City Council accept and file the attached report .
Discussion:
Pursuant to California Government Code Sec. 53646(b)(1) and the City's Investment Policy, the Director of Finance (i.e., City Treasurer) renders a quarterly investment report to the City Council concerning the investment portfolio's earnings and performance results. In accordance with the Investment Policy, the quarterly report includes information such as the investment type, issuer, date of maturity, par value, amount invested, current market value, and the source of the market value information.
The City is in compliance with its adopted Investment Policy, and the City's investment program provides sufficient liquidity to meet its cash flow requirements for the next six months . The fair value of the City's investment portfolio as of December 31, 2025, was $148,299,068. It consisted of the following:
(Remainder of page intentionally left blank)
1 of 35
March 3, 2026, Item #4
Investment Portfolio Total
Cash $2,495,667
Deposits at CalTRUST $26,321,611
Deposits at the Local Agency Investment Fund (LAIF) $35,457,563 U.S. Treasury Notes $32, 154, 1 50
U. S. Instrumentalities $29,747,357
Corporate Notes $22,122,720
Fair Value of Investment Portfolio as of December 31, 2025 $148,299,068 It is the City's practice to keep funds (including those identified to pay for Capital Improvement Projects) invested and earning interest until they are needed. In addition to changing market conditions, reductions in the fair value of the investment portfolio can also be reflective of payments for large capital projects as well as operational expenses.
The attached Investment Portfolio Report (Attachment B) and Investment Report (Attachment C) were prepared by the City's investment manager, Insight Investment, with input from the City's Finance Department. The Portfolio Report includes all investments while the Investment Report includes only those investments managed by Insight Investment.
CalTRUST is a joint powers authority created by and for California public agencies to pool their assets and invest local agency funds until they are needed. Any California public agency may participate in the CalTRUST, including the state, counties, cities, and special districts. The City invests portions of investable funds of the portfolio in the Short Term CalTRUST account with target investment of funds up to two years. The City also invests portions of the investable funds of the portfolio in the Medium Term CalTRUST account with target investment of funds between one and three years.
The Local Agency Investment Fund (LAIF) is a California State offered and administered investment pool made available to local agencies within the State. This program offers local agencies, such as the City, the opportunity to participate in a major portfolio, which invests hundreds of millions of dollars, using the investment expertise of the State Treasurer's Office professional investment staff. The State of California cannot borrow or withhold LAIF money per California statute.
All City funds, including the General Fund, Water Fund, Wastewater Fund and others - except those identified in Attachment D, are pooled and invested, with earned interest allocated quarterly based on the average daily cash balance in each fund. The funds on deposit at LAIF and CalTRUST earn interest at variable rates. The interest rate for the month ending December 31, 2025, is estimated at
4.03% for LAIF, 3.96% for the CalTRUST short-term fund, and 3.92% for the CalTRUST medium-term fund.
For fixed income securities, the difference between amortized cost and fair value is considered an unrealized gain or loss. A realized loss is when the principal of the security is redeemed before its maturity date at a fair value lower than its amortized cost value. The amortized cost value of the externally managed investment portfolio is $85,628,171; the fair value is $86,519,894 for an unrealized gain of $891,723 or 1.04% of the total amortized cost value. The source of the fair value information for the U.S. Treasury Notes, the U.S. Instrumentalities, Corporate Notes, and Municipal Bonds is Interactive Data Corporation.
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March 3, 2026, Item #4
Also included with this report are recaps of the City's cash and investments held by fiscal agents, non managed investments, and cash on hand. The total book value of the cash and investments held by our fiscal agent, U.S. Bank, at December 31, 2025, was $499,441. The source of the market value information for these investments was U.S. Bank. The total book value of the non-managed investments was $45,227 at December 31, 2025. The City's cash on hand at December 31, 2025 totaled $859,911.
The December 31, 2025 balance of the City's Library Trust Fund is $265,715. Through the Fiscal Year 2025-26 period ending December 31, 2025, no interest earnings has been transferred to the General Fund. The City Transfers 90% of the Library Trust Fund's interest revenue to the General Fund on an annual basis to help offset library operating costs.
Environmental Review:
This action is not subject to review under the California Environmental Quality Act (CEQA).
Fiscal Impact:
The externally managed investment portfolio earned $240,915 of interest during December 2025, as well as $223,877 of interest during November 2025, and $234,563 during October 2025. Fees for investment services during this period totaled $10,745. Net revenues received from investments are recorded to each fund based on a proportional share of invested funds for the period. Investment income is budgeted each year to account for this revenue source in each impacted City fund .
Public Notification:
None.
Attachments:
A. Investment Statistics
8. Investment Portfolio Report prepared by Insight Investment C. Investment Report prepared by Insight Investment
D. City of Poway Cash and Investments Report at December 31, 2025 Reviewed/ Approved By:
Assistant City Manager
3 of 35
Reviewed By:
Alan Fenstermacher
City Attorney
App~
Chris Hazeltine
City Manager
March 3, 2026, Item #4
City of Poway
Inves tment Statis tics
Separately Managed Investment Pools
Fair Value:
CalTRUST Short-Term Deposits
CalTRUST Medium-Term Deposits
December
2024
$ 12,728,872
12,349,633
34,118,812
September
2025
$ 13,159,881
12,885,287
41,278,122
December
2025
13,294,368
13,027,243
35,457,563 Deposits at the Local Agency Investment Fund (LAIF) Total Fair Value $ 59,197,317 $ 67,323,290 $ 61,779,174 Weighted Average Yield
Effective Average Duration in days
Weighted Average Maturity in days
Externally Managed Investment Pools
Fair Value:
4.39%
1 1
4.16%
1 1
3.99%
1 1
Cash $ 96,249 $ 124,950 $ 2,495,667
U.S. Treasury Notes
U.S. Instrumentalities
Corporate Bonds
Total Fair Value
Amortized Cost Value:
Cash
U.S. Treasury Notes
U.S. Instrumentalities
Corporate Bonds
Total Amortized Cost Value
Unrealized Gain (Loss)
Unrealized Gain (Loss) Percentage
Accrued Interest Earned
Weighted Average Yield
Effective Average Duration in years
Weighted Average Maturity in years
34,155,677
24,597,864
23,287,221
82,137,011
96,249
34,249,619
24,590,617
23,238,861
82,175,345
(38,333)
-0.05%
199,400
4.26%
2.03 2.21
33,921,303
29,470,544
22,083,668
85,600,465
124,950
33,640,500
29,173,359
21,800,878
84,739,686
860,779
1.02%
216,113
4.35%
1.85 2.12
32,154,150
29,747,357
22,122,720
86,519,894
2,495,667
31,841,398
29,451,715
21,839,391
85,628,171
891,723
1.04%
240,915
4.33%
1.78 2.06
Total Fair Value of Portfolio Assets $ 141,334,328 $ 152,923,755 $ 148,299,068 Weighted Average Yield
Effective Average Duration in years
Weighted Average Maturity in years
Glossary of Yield Terminology
4.32%
1.18 1.29
4.27%
1.04 1.19
Coupon:
A bond's coupon is the periodic interest payment made to the holder of the fixed income security during the life of the bond. Coupon payments can be made monthly , quarterly, or annually.
Book Yield: The Book Yield is that rate of return that will make the present value of the future cash flows of a fixed income security equal to the price paid for the security . This assumes that the security will be held to its maturity.
Current Yield: Annual rate of return on an investment expressed as a percentage . Current Yield of a fixed income security is the annualized earnings (coupon) divided by the bond's market value as of the valuation date.
One Year Total Yield: The One Year Total Yield or One Year Return represents the portfolio's percentage change over a year's time, factoring in interest payments, changes in market value and reinvestment of distributions .
4.19%
1.04 1.20
Weighted Average Yield: The total yield on a bond portfolio divided by the number of bonds contained in it, weighted for the size of each bond so that the yield of large holdings does not drown out the calculation of yields on small holdings .
Yield to Maturity: The Yield to Maturity (YTM) or Market Yield to Maturity of a fixed income security is that rate of interest that will make the present value of the future cash flows equal to the market value as of the valuation date, assuming the bond is held to maturity. 4 of 35 ATTACHMENT A
March 3, 2026, Item #4
City of Poway
Monthly Consolidated Portfolio Report
December 31, 2025
City Managed Assets Market Value % Yield
LAIF 35,457,563 57% 4.03%
CalTrust - Short 13,294,368 22% 3.96% CalTrust-
Medium,
CalTrust - Medium 13,027,243 21% 3.92% 21%
Total Managed by City 61,779,174 100%
as % of Total Portfolio Assets 42%
Weighted Average Yield 3.99%
Days
Effective Average Duration 1.00
Weighted Average Maturity 1.00
Insight Managed Assets Market Value % Yield
Cash 2,495,667 3% 3.63%
Treasury Securities 32,154,150 37% 4.15%
Instrumentality Securities 29,747,357 34% 4.30%
Corporate Notes 22,122,720 26% 4.72%
Total Managed by Insight 86,519,894 100%
as % of Total Portfolio Assets 58%
Weighted Average Yield 4.33%
Years
Effective Average Duration 1.78
Weighted Average Final Maturity 2.06
Total Portfolio Assets Market Value % Yield
LAIF 35,457,563 24% 4.03%
CalTrust - Short 13,294,368 9% 3.96%
CalTrust - Medium 13,027,243 9% 3.92%
Cash 2,495,667 2% 3.63% Instrumentality
Treasury Securities 32,154,150 22% 4.15% Securities,
26%
Instrumentality Securities 29,747,357 20% 4.30%
Corporate Notes 22,122,720 15% 4.72%
Total Portfolio Assets 148,299,068 100%
Weighted Average Yield 4.19%
Years
Effective Average Duration 1.04
Weighted Average Maturity 1.20
Total Portfolio Change Market Value
Beginning Balance 149,326,417
Ending Balance 148,299,068
For Insight Managed Assets, market values exclude accrued interest and purchase yields are presented.
The City provides the City Managed Assets information . . Insight Investment - Confidential - External
S of 35 ATTACHMENT B
CalTrust-
Medium
12%
Cash
2.2%
March 3, 2026, Item #4
6 of35 ATTACHMENT C
March 3, 2026, Item #4
-.J
Contents 0 ....
w u,
Fixed income market review 3
Activity and performance summary 4
Performance 6
Recap of securities held 7
Maturity distribution of securities held 8
Securities held 9
GASB 40 - Deposit and investment risk disclosure 15
Securities purchased 20
Securities sold and matured 21
Detail of return and interest received 22
Transaction report 26
Additional information 28
March 3, 2026, Item #4
00 0 ....
w u,
FIXED INCOME MARKET REVIEW
As of December 31, 2025
Chart 1: The Fed made no major changes to its "dot plot" projections 6 5
4 * 3
2 1
0 2022 2023
• • • • • • ivlarket expectation s
(Dec-2025)
- FOivlC dots (Sep 17,
2025)
-- • -- FOMC dots (Dec 10,
2025)
--- Fed funds rate
2024 2025
Source : Federal Reserve, December 10, 2025.
Chart 2: Jobless claims improved in December
270
VI
u
260
250
240
C 230 re
V)
~ 220
i= 210
200
190
180
--1 nitial jobless claim s
2026 2027 2028
0 0 <'.)
"''1, 'S:J':v ,,_,'l, 1? 0 § _/\• :t-> ,-,<.:> n<.:> n<.:> n0 n<.:> n<'.l ~ v Nv ;v ~v ~-V C:v
\ ~ «.q, '1'" "(-'-1. '1'-'l>"' \°"~ \.::s '?-v'<> c/~ oe, ~o <::? Source : Bloomberg , December 31, 2025 .
CITY OF POWAY
Economic Indicators and Monetary Policy
The FOMC cut the Fed funds rate by 25bp on December 10, taking it to a range of 3.50% to
3.75%. Three members dissented (the highest since 1989). with two voting for no change and another voting for a 50bp cut. The committee 's updated "dot plot" was unchanged from the previous quarter , reflecting only one further rate cut in 2026 (Chart 1 ). The committee's quarterly Summary of Economic Projections (SEP) for 2026 showed a significant increase in the GDP forecast from 1.8% to 2.3%, which Chair Powell partly attributed to business investment relating to datacenters and Al, as well as a reversal of the drag from the government shutdown.
Labor market conditions continued to be the Fed's key motivation to cut rates.
In the US, the unemployment rate rose to 4.6%, the highest since October 2021. However, in better news for the labor market, jobless claims decreased over the month . Initial claims fell from 237,000 to 199,000 during December (Chart 2) and continuing claims fell to 1.866m.
Residual seasonality may have had a measure of impact.
Elsewhere, headline CPI fell from 3% to 2.7% (the slowest pace since June 2025) and core CPI from 3% to 2.6% (the slowest since March 2021 ). However , the release was plagued by data quality concerns . Due to the recent government shutdown, most month-on-month data points were missing for October and November. The disruption appeared to particularly impact the calculation of the " shelter" component (the largest component of the index). which reached 3% year-over-year in November, the lowest since August 2021.
The Fed's preferred measure of inflation, the Personal Consumption Expenditures Price Index, was released on December 5. The PCE for September (a release delayed by the recent government shutdown) rose from 2.7% to 2.8% on a headline basis, with core PCE falling from
2.9% to 2.8%. Markets moved to price in a 95% probability of a rate cut at next week's FOMC meeting .
GDP surprised to the upside in Q4 at 4.3% SAAR, stronger than market expectations at 3.3%.
Consumption was the bright spot with final private domestic demand rising 3.0%.
Interest Rate Summary
Treasury yields generally rose during the month in what was a strong end to the year for risk assets. At the end of December, the 3-month US Treasury bill yielded 3.63%, the 6-month US Treasury bill yielded 3.6%, the 2-year US Treasury note yielded 3.47%, the 5-year US Treasury note yielded 3.73% and the 10-year US Treasury note yielded 4.17%. 3 March 3, 2026, Item #4
1.0 0
ACTIVITY AND PERFORMANCE SUMMARY
For the period December 1, 2025 - December 31, 2025
;;'.; I Amortized Cost Basis Activity Summary
u,
Opening balance 85,059,614.71
Income received 494,566.97
Total receipts 494,566.97
Total disbursements 0.00
lnterportfolio transfers 0.00
Total lnterportfollo transfers
Realized gain (loss)
Change in accruals from security movement
Total amortization expense
Total OID/MKT accretion Income
Return of capital
Closing balance
Ending fair value
Unrealized gain (loss)
Comparative Rates Qf Retyrn 1%1
*Twelve * Six
month trailing month trailing
Fed Funds
Overnight Repo
Merrill Lynch 3m US Treas Bill
Merrill Lynch 6m US Treas Bill
ML 1 Year US Treasury Note
ML 2 Year US Treasury Note
ML 5 Year US Treasury Note
* rates reflected are cumulative
4.21 4.28
4.06 4.05
3.91 3.81
3.92 2.04
2.09 1.95
1.89 1.87
1. 81
1.87 0.00
0.00 0.00
(5,795.67)
79,785.10
0.00 85,628,171.11
86,519,894.02
891,722.91
* One month
0.31 0.32
0.30 0.29
0.30 0.29
0.31 Detail Qf AmQrtized CQst Basis Retyrn
Interest Accretion Realized
earned {amortization) gain {loss)
Cash and Cash Equivalents 640.30 0.00 0.00
Corporate Bonds 74,638.67 13,398.42 0.00
Government Agencies 83,580.04 25,265.76 0.00
Government Bonds 82,056.06 35,325.25 0.00
Total 240,915.07 73,989.43 0.00
summary Qf AmQrtized CQst Basis Retyrn for the PerjQd
Interest earned
Accretion (amortization)
Realized gain (loss) on sales
Total income on portfolio
Average daily amortized cost
Period return(%)
YTD return (%)
Weighted average final maturity in days
CITY OF POWAY
Total
income
640.30
88,037.09
108,845.80
117,381.31
314,904.50
Total portfolio
240,915.07
73,989.43
0.00 314,904.50
85,416,406.08
0.37 4.30
752
4 March 3, 2026, Item #4
....
0 0 ....
w u,
ACTIVITY AND PERFORMANCE SUMMARY
For the period December 1, 2025 - December 31, 2025
Fair Value Basis Activity Summary
Opening balance
Income received
Total receipts
Total disbursements
lnterportfolio transfers
Total lnterportfollo transfers
Unrealized gain (loss) on security movements
Change in accruals from security movement
Return of capital
Change in fair value for the period
Ending fair value
494,566.97
0.00 comparative Rates of Return 1%1
*Twelve * Six
month trailing month trailing
Fed Funds
Overnight Repo
ICE Bofa 3 Months UST-BILL
ICE Bofa 6m US Treas Bill
ICE Bofa 1 Yr US Treasury Note
ICE BofA US Treasury 1-3
ICE BofA US Treasury 1-5
* rates reflected are cumulative
4.21 2.04
4.28 2.09
4.18 2.06
4.28 2.20
4.15 2.14
5.09 2.25
5.74 2.27
86,021,861 .97
494,566.97
0.00 0.00
0.00 0.00
0.00 3,465.08
86,519,894 .02
* One month
0.31 0.32
0.35 0.38
0.37 0.32
0.19 Detail of Fair Value Basis Return
Cash and Cash Equivalents
Corporate Bonds
Government Agencies
Government Bonds
Total
Interest
earned
640.30
74,638.67
83,580.04
82,056.06
240,915.07
Change in
fair value
0.00 4,728.50
(4,784.55)
3,521.13
3,465.08
summary of Fair Value Basis Return for the Period
Interest earned
Change in fair value
Total income on portfolio
Average daily total value*
Period return (%)
YTD return (%)
Weighted average final maturity in days
* Total value equals market value and accrued interest
CITY OF POWAY
Total
income
640.30
79,367 .17
78,795.49
85,577 .19
244,380 .15
Total portfolio
240,915.07
3,465.08
244,380.15
86,975,389 .86
0.28 5.43
752
5 March 3, 2026, Item #4
PERFORMANCE
For the period December 1, 2025 - December 31, 2025 ..... ..... 0 ....
w u, Total return performance (%)
CITY OF POWAY
Benchmark
~
6 4
2 1 month
0.28 0.32
QL----L-......l..-
1 month
*Returns for periods greater than one year are annualized Returns are gross of fees
Portfolio inception is 08/31/2015
Benchmark history
ICE BofA US Treasury 1-3: 08/31/2015 - present
3 months
1.12 1.12
3 months YTD
YTD
5.43 5.09
1 year
5.43 5.09
Total return performance
1 year 3 years*
- CITY OF POWAY - BENCHMARK
3 years*
4.90 4.48
5 years* 10 years*
5 years*
2.42 1.79
Since
inception*
10 years*
2.27 1.85
CITY OF POWAY
Since inception*
2.20 1.77
6 March 3, 2026, Item #4
RECAP OF SECURITIES HELD
As of December 31, 2025 ....
N
0 Historical ....
w cost u,
Cash and Cash Equivalents 2,495,666.88
Corporate Bonds 21,486,412 .50
Government Agencies 28,845,770.24
Government Bonds 31 ,000,748.18
;mi
~~~
Amortized Fair value Unrealized Weighted
cost gain (loss) average
final
maturity (days)
2,495,666.88 2,495,666 .88 0.00 1
21 ,839,390.55 22,122,719 .67 283,329.12 612
29,451,715 .37 29,747,357 .19 295,641.82 764
31,841,398 .31 32,154, 150.28 312,751.97 899
t":'1"!!11~~,;,,.,. il:9.l,.r,W'!'I~
~-
Portfolio diversification (%)
■ Cash and Cash Equivalents
■ Corporate Bonds
■ GovernmentAgencies
■ Government Bonds
Total
Percent
of
portfolio
2.98 25.63
34.41 36.98
2.98 25.63
34.41 36.98
100.00
CITY OF POWAY
Weighted
average
effective
duration (years)
0.00 1.41
1.64 2.30
7 March 3, 2026, Item #4
..... w
0 ....
w u,
MATURITY DISTRIBUTION OF SECURITIES HELD
As of December 31, 2025
Maturity
--
Under 90 days
90 to 179 days
180 days to 1 year
1 to 2 years
2 to 3 years
3 to 4 years
4 to 5 years
Over 5 years
25.00 E 20.00
.s
~ 15.00
u
"' u ·;::
0 .....
"' :i:
o'l>~
OJ(;:i
bt-
-v"'
OJ(;:i ... _o
Maturity distribution
o'l>~
'\OJ
'
~
..._4,'lJ
,o
0-s\<:,
qp
"
1>('>
4,'lJ
'l,
,,o
rb<:,
4,'lJ
";,
'l,,o
rb<o
~4,rz,
":>'o
Historic cost Percent
6,679,858.88 7.97
6,491,833.45 7.74
12,973,131 .91 15.48
21,670,435.93 25.85
18,154,429.75 21.66
10,613,286.43 12.66
7,245,621.45 8.64
0.00 0.00
83,828,597 .80 100.00
rb<o
<,;, 4,'lJ
~,o
rb<o
4,'lJ
j._<,;,
d"'l)
CITY OF POWAY
8 March 3, 2026, Item #4
SECURITIES HELD
CITY OF POWAY
As of December 31, 2025 .....
.i:.
g_ Cusip Description Coupon Maturity/ Par value or Historical cost Amortized cost Fair value Unrealized Total % w Call date shares gain accrued Port u,
(loss) interest cost
Cash and Cash Equivalents
Cash and Cash Equivalents 0.000 2,495,666.88 2,495,666 .88 2,495,666.88 2,495,666 .88 0.00 0.00 2.98 Total Cash and Cash Equivalents 2,495,666.88 2,495,666.88 2,495,666 .88 2,495,666.88 0.00 0.00 2.98 Corporate Bonds
02665WEY3 AMERICAN HONDA FINANCE 4.95% 09JAN2026 4.950 01/09/2026 1,000,000.00 995,500 .00 999,904.49 1,000,179.70 275 .21 23,650.00 1.19 037833EB2 APPLE INC 0.7% 08FEB2026 (CALLABLE 09JAN26) 0.700 02/08/2026 1,200,000.00 1,096,152 .00 1,195,908 .03 1,196,207.54 299.51 3,336.67 1.31 01/08/2026
06051GFX2 BANK OF AMERICA CORP 3.5% 19APR2026 3.500 04/19/2026 1,800,000 .00 1,736,028 .00 1,792,694 .00 1,797,697.67 5,003 .67 12,600 .00 2.07 91159HHN3 US BANCORP 2.375% 22JUL2026 (CALLABLE 22JUN26) 2.375 07/22/2026 1,000,000.00 944,140.00 986,807.34 992,720 .84 5,913.50 10,489 .58 1.13 06/22/2026
02665WBH3 AMERICAN HONDA FINANCE 2.3% 09SEP2026 2.300 09/09/2026 1,100,000 .00 1,034,869.00 1,086,132.91 1,088,042 .33 1,909.42 7,871.11 1.23 17325FBC1 CITIBANK NA 5.488% 04DEC2026 (CALLABLE 04NOV26) 5.488 12/04/2026 1,400,000.00 1,420, 132.00 1,406,295.06 1,418,591 .65 12,296.59 5,762 .40 1.69 11/04/2026
17275RBQ4 CISCO SYSTEMS INC 4.8% 26FEB2027 (CALLABLE 4.800 02/26/2027 1,250,000.00 1,253,775 .00 1,251,470 .33 1,264,131.66 12,661 .33 20,833 .33 1.50 26JAN27) 01/26/2027
037833DB3 APPLE INC 2.9% 12SEP2027 (CALLABLE 12JUN27) 2.900 09/12/2027 1,300,000.00 1,234,987.00 1,274,936 .29 1,284,242 .87 9,306 .58 11,414 .72 1.47 06/12/2027
24422EWK1 JOHN DEERE CAPITAL CORP 4.15% 15SEP2027 4.150 09/15/2027 1,000,000.00 992,020 .00 996,872.73 1,007,867 .06 10,994.33 12,219.44 1.18 89236TKQ7 TOYOTA MOTOR CREDIT CORP 4.625% 12JAN2028 4.625 01/12/2028 1,100,000.00 1,091,585 .00 1,096,244.37 1,117,367.48 21,123.11 23,882 .99 1.30 9 March 3, 2026, Item #4
SECURITIES HELD
CITY OF POWAY
As of December 31, 2025 ....
u,
~ Cusip Description Coupon Maturity/ Par value or Historical cost Amortized cost Fair value Unrealized Total % w Call date shares gain accrued Port u,
(loss) interest cost
Corporate Bonds
46625HRY8 JPMORGAN CHASE & CO 3. 782% 01 FEB2028 (CALLABLE 3.782 02/01/2028 2,000,000.00 1,909,600.00 1,952,526.92 1,995,636.90 43,109.98 31,516.67 2.28 01 FEB27) 02/01/2027
194162AR4 COLGATE-PALMOLIVE CO 4.6% 01 MAR2028 (CALLABLE 4.600 03/01/2028 2,400,000.00 2,391,240.00 2,395,811.95 2,437,634.86 41,822.91 36,800.00 2.85 01 FEB28) 02/01/2028
91159HJF8 US BANCORP 4.548% 22JUL2028 (CALLABLE 22JUL27) 4.548 07/22/2028 900,000.00 890,253.00 894,156.61 907,584.74 13,428.13 18,078.30 1.06 07/22/2027
17325FBB3 CITIBANK NA 5.803% 29SEP2028 (CALLABLE 29AUG28) 5.803 09/29/2028 1,000,000.00 1,027,800.00 1,016,427.02 1,049,180.52 32,753.50 14,829.89 1.23 08/29/2028
17275RBR2 CISCO SYSTEMS INC 4.85% 26FEB2029 (CALLABLE 4.850 02/26/2029 1,000,000.00 999,390.00 999,594.10 1,027,082.72 27,488.62 16,840.28 1.19 26JAN29) 01/26/2029
717081ET6 PFIZER INC 3.45% 15MAR2029 (CALLABLE 15DEC28) 3.450 03/15/2029 1,300,000.00 1,222,104.00 1,246,487.64 1,285,507.72 39,020.08 13,205.83 1.46 12/15/2028
95040QAH7 WELL TOWER OP LLC 4.125% 15MAR2029 (CALLABLE 4.125 03/15/2029 1,250,000.00 1,246,837.50 1,247,120.76 1,253,043.41 5,922.65 15,182.29 1.49 15DEC28) 12/15/2028
Total Corporate Bonds 22,000,000.00 21 ,486,412.50 21,839,390.55 22,122,719.67 283,329.12 278,513.50 25.63 -
Government Agencies
3130ALHHO FEDERAL HOME LOAN BANK 0.96% 05MAR2026 0.960 03/05/2026 2,300,000.00 2,092,540.00 2,285,712.10 2,289,618.79 3,906.69 7,114.67 2.50 CALLABLE 02/05/2026
3130AWLZ1 FEDERAL HOME LOAN BANK 4.75% 12JUN2026 4.750 06/12/2026 1,100,000.00 1,096,612.00 1,099,451.62 1,105,333.17 5,881.55 2,757 .64 1.31 3133EPUW3 FEDERAL FARM CREDIT BANK 4.75% 01 SEP2026 4.750 09/01/2026 2,000,000.00 1,987,080.00 1,996,735.45 2,014,739.46 18,004.01 31,666.67 2.37 3130APJH9 FEDERAL HOME LOAN BANK 2% 280CT2026 (CALLABLE 2.000 10/28/2026 2,050,000.00 1,860,110.55 2,005,629.75 2,028,830.59 23,200.84 7,175.00 2.22 28JAN26) #0006 01/28/2026
·-·- -- -- . -·----·- -· ------------ --------- --~------ ---- - --------------- ··--·-··---- 10 March 3, 2026, Item #4
SECURITIES HELD
CITY OF POWAY
As of December 31, 2025
~
0\
g_ Cusip Description Coupon Maturity/ Par value or Historical cost Amortized cost Fair value Unrealized Total % w Call date shares gain accrued Port u,
(loss) interest cost
Government Agencies
3133EPK79 FEDERAL FARM CREDIT BANK 4.375% 07DEC2026 4.375 12/07/2026 1,200,000.00 1,196,508.00 1,198,834.46 1,208,503.81 9,669.35 3,500.00 1.43 3130AQF65 FEDERAL HOME LOAN BANK 1.25% 21 DEC2026 1 .250 12/21/2026 2,300,000.00 2,055,763.00 2,237,796.01 2,250,390.77 12,594.76 798.61 2.45 3130ATHWO FEDERAL HOME LOAN BANK 4.125% 1 OSEP2027 4.125 09/10/2027 2,000,000.00 1,993,260.00 1,997,443.72 2,020,691 .36 23,247 .64 25,437 .50 2.38 3133EPCG8 FEDERAL FARM CREDIT BANK 4.125% 01 DEC2027 4.125 12/01/2027 1,000,000.00 989,640.00 995,541.15 1,010,557 .54 15,016 .39 3,437.50 1.18 3130ATU54 FEDERAL HOME LOAN BANK 4.25% 1 ODEC2027 4.250 12/10/2027 2,000,000.00 2,010,731.16 2,004,576.81 2,029,130.62 24,553.81 4,958.33 2.40 3133EN5N6 FEDERAL FARM CREDIT BANK 4% 06JAN2028 4.000 01/06/2028 1,100,000.00 1,105,292.88 1,102,296.81 1,110,646 .28 8,349.47 21,388.89 1.32 3130AEB25 FEDERAL HOME LOAN BANK 3.25% 09JUN2028 3.250 06/09/2028 2,700,000.00 2,574,679.50 2,619,786.59 2,684,529.30 64,742 .71 5,362.50 3.07 3135GAV57 FANNIE MAE 3.91 % 020CT2028 (CALLABLE 02APR26) 3.910 10/02/2028 1,200,000.00 1,199,400 .00 1,199,406 .88 1,199,149.08 (257.80) 11,599 .67 1.43 04/02/2026
3133ER5D9 FEDERAL FARM CREDIT BANK 4.49% 05MAR2029 4.490 03/05/2029 1,900,000.00 1,911,894.00 1,907,741.80 1,909,197 .06 1,455.26 27,488.78 2.28 (CALLABLE 05MAR27) 03/05/2027
3133EP5U5 FEDERAL FARM CREDIT BANK 4.125% 20MAR2029 4.125 03/20/2029 2,000,000.00 1,985,860.00 1,990,432 .20 2,031,285 .52 40,853 .32 23,145 .83 2.37 3130ATUT2 FEDERAL HOME LOAN BANK 4.5% 14DEC2029 4.500 12/14/2029 1,200,000.00 1,211,040.00 1,209,179.94 1,238,071.45 28,891.51 2,550.00 1.44 3134HAW33 FREDDIE MAC 4.75% 18DEC2029 (CALLABLE 18JUN26) 4.750 12/18/2029 1,000,000 .00 1,005, 145.00 1,002,478 .95 1,003,941 .16 1,462.21 1,715 .28 1.20 06/18/2026
------- --- -
11 March 3, 2026, Item #4
SECURITIES HELD
CITY OF POWAY
As of December 31 , 2025 ...
" 5a, Cusip Description Coupon Maturity/ Par value or Historical cost Amortized cost Fair value Unrealized Total % w Call date shares gain accrued Port u,
(loss) interest cost
Government Agencies
31358DDR2 FANNIE MAEO% 15MAY2030 0.000 05/15/2030 1,900,000 .00 1,563,815.15 1,593,944 .38 1,607,809.49 13,865 .11 0.00 1.87 3134HBSXO FREDDIE MAC 4.5% 23MAY2030 (CALLABLE 23NOV26) 4.500 05/23/2030 1,000,000.00 1,006,399.00 1,004,726 .75 1,004,931.74 204.99 4,750.00 1.20 11/23/2026
Total Government Agencies 29,950,000 .00 28,845,770.24 29,451,715.37 29,747,357.19 295,641.82 184,846.87 34.41 Government Bonds
91282CBT7 USA TREASURY 0. 75% 31 MAR2026 0.750 03/31/2026 1,400,000.00 1,243,707.82 1,388,123.61 1,390,785. 16 2,661.55 2,653.85 1.48 91282CKS9 USA TREASURY 4.875% 31 MAY2026 4.875 05/31/2026 1,400,000.00 1,410,340.63 1,402,984.42 1,407,258.86 4,274.44 5,812.50 1.68 912828YU8 USA TREASURY 1.625% 30NOV2026 1.625 11/30/2026 1,600,000.00 1,468,130 .36 1,557,955.48 1,572,637.50 14,682.02 2,214.29 1.75 91282CDQ1 USA TREASURY 1.25% 31 DEC2026 1 .250 12/31/2026 2,350,000.00 2,088,287.11 2,283,166.93 2,297,987.90 14,820.97 0.00 2.49 91282CEF4 USA TREASURY 2.5% 31 MAR2027 2.500 03/31/2027 1,000,000 .00 924,573 .66 971,554.11 987,656 .25 16,102.14 6,318.68 1.10 91282CET4 USA TREASURY 2.625% 31 MAY2027 2.625 05/31/2027 2,000,000.00 1,901,256.70 1,956,186.88 1,976,171.88 19,985.00 4,471.15 2.27 91282CEW7 USA TREASURY 3.25% 30JUN2027 3.250 06/30/2027 740,000.00 699,620.45 722,952 .14 737,514 .06 14,561.92 0.00 0.83 91282CFB2 USA TREASURY 2. 75% 31 JUL2027 2.750 07/31/2027 1,800,000.00 1,671,756.03 1,743,143.98 1,779,820.31 36,676 .33 20,580.16 1.99 91282CFUO USA TREASURY 4.125% 31 OCT2027 4.125 10/31/2027 2,100,000. 00 2,077,858.60 2,089,725.05 2,123,542 .97 33,817 .92 14,597.03 2.48 12 March 3, 2026, Item #4
SECURITIES HELD
CITY OF POWAY
As of December 31, 2025 ....
00 2, Cusip Description Coupon Maturity/ Par value or Historical cost Amortized cost Fair value Unrealized Total % w Call date shares gain accrued Port u,
(loss) interest cost
Government Bonds
9128283F5 USA TREASURY 2.25% 15NOV2027 2.250 11/15/2027 1,100,000.00 1,030,523.22 1,072,077.79 1,075,722.66 3,644.87 3,145.03 1.23 91282CHE4 USA TREASURY 3.625% 31 MAY2028 3.625 05/31/2028 2,100,000.00 2,074,577.35 2,085,412.26 2,105,988.28 20,576.02 6,483.17 2.47 91282CCH2 USA TREASURY 1.25% 30JUN2028 1.250 06/30/2028 1,700,000.00 1,473,488.28 1,579,170.01 1,609,355.47 30,185.46 0.00 1.76 9128285M8 USA TREASURY 3.125% 1 SNOV2028 3.125 11/15/2028 2,200 ,000.00 2,059,929.24 2,107,984.98 2,176,195.32 68,210.34 8,736.19 2.46 91282CKX8 USA TREASURY 4.25% 30JUN2029 4.250 06/30/2029 1,200,000. 00 1,206,004. 02 1,204,651 .68 1,225,968 .74 21,317.06 0.00 1.44 91282CFJS USA TREASURY 3.125% 31 AUG2029 3.125 08/31/2029 1,200,000.00 1,175,300.90 1,181,214.23 1,180,406. 26 (807.97) 12,638.12 1.40 91282CLK5 USA TREASURY 3.625% 31 AUG2029 3.625 08/31/2029 1,200,000.00 1,197,332.15 1,197,475.86 1,200,515.63 3,039 .77 14,660.22 1.43 91282CFT3 USA TREASURY 4% 31 OCT2029 4.000 10/31/2029 1,600,000 .00 1,616,255.36 1,613,936.21 1,621,937.50 8,001.29 10,784.53 1.93 91282CMG3 USA TREASURY 4.25% 31JAN2030 4.250 01/31/2030 1,600,000.00 1,633,755.36 1,629,361 .70 1,636,687.50 7,325.80 28,271.74 1.95 912828ZQ6 USA TREASURY 0.625% 1 SMAY2030 0.625 05/15/2030 875,000.00 761,594.73 768,787 .81 768,496.09 (291 .72) 694.92 0.91 91282CHJ3 USA TREASURY 3. 75% 30JUN2030 3.750 06/30/2030 2,000,000.00 2,013,991.08 2,013,787.12 2,006,406.24 (7,380.88) 0.00 2.40 13 March 3, 2026, Item #4
....
ID
SECURITIES HELD
As of December 31, 2025
g, Cusip
w
Description
u,
Government Bonds
91282CHW4 USA TREASURY 4.125% 31 AUG2030
Total Government Bonds
Coupon Maturity/
Call date
4.125 08/31/2030
Par value or Historical cost Amortized cost
shares
1,250,000.00 1,272,465.13 1,271,746.06
32,415,000.00 31,000,748.18 31,841,398.31
CITY OF POWAY
Fair value Unrealized Total %
gain accrued Port
(loss) interest cost
1,273,095.70 1,349.64 17,377.42 1.52
32,154,150.28 312,751.97 159,439.00 36.98
14 March 3, 2026, Item #4
GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSURE
CITY OF POWAY
As of December 31, 2025
N
0 g, Cusip Description Coupon Maturity Call date S&P Moody Par value or Historical % Portfolio Market % Portfolio Effective w date rating rating shares cost hist cost value mktvalue dur (yrs) u, United States Treasury Note/Bond
91282CBT7 USA TREASURY 0.75% 0.750 03/31/2026 AA+ Aa1 1,400,000.00 1,243,707.82 1.48 1,390,785.16 1.61 0.24 91282CKS9 USA TREASURY 4.875% 4.875 05/31/2026 AA+ Aa1 1,400,000.00 1,410,340 .63 1.68 1,407,258 .86 1.63 0.41 912828YU8 USA TREASURY 1.625% 1.625 11/30/2026 AA+ Aa1 1,600,000.00 1,468,130.36 1.75 1,572,637.50 1.82 0.90 91282CDQ1 USA TREASURY 1.25% 1.250 12/31/2026 AA+ Aa1 2,350,000.00 2,088,287.11 2.49 2,297,987.90 2.66 0.98 91282CEF4 USA TREASURY 2.5% 2.500 03/31/2027 AA+ Aa1 1,000,000 .00 924,573.66 1.10 987,656.25 1.14 1.21 91282CET4 USA TREASURY 2.625% 2.625 05/31/2027 AA+ Aa1 2,000 ,000.00 1,901,256.70 2.27 1,976,171.88 2.28 1.37 91282CEW7 USA TREASURY 3.25% 3.250 06/30/2027 AA+ Aa1 740,000.00 699,620.45 0.83 737,514.06 0.85 1.45 91282CFB2 USA TREASURY 2.75% 2.750 07/31/2027 AA+ Aa1 1,800,000.00 1,671,756.03 1.99 1,779,820.31 2.06 1.52 91282CFUO USA TREASURY 4.125% 4.125 10/31/2027 AA+ Aa1 2,100,000.00 2,077,858.60 2.48 2,123,542.97 2.45 1.74 9128283F5 USA TREASURY 2.25% 2.250 11/15/2027 AA+ Aa1 1,100,000.00 1,030,523.22 1.23 1,075,722.66 1.24 1.81 91282CHE4 USA TREASURY 3.625% 3.625 05/31/2028 AA+ Aa1 2,100,000.00 2,074,577.35 2.47 2,105,988.28 2.43 2.29 91282CCH2 USA TREASURY 1.25% 1.250 06/30/2028 AA+ Aa1 1,700,000.00 1,473,488.28 1.76 1,609,355.47 1.86 2.42 9128285MB USA TREASURY 3.125% 3.125 11/15/2028 AA+ Aa1 2,200,000.00 2,059,929.24 2.46 2,176,195.32 2.52 2.71 91282CKX8 USA TREASURY 4.25% 4.250 06/30/2029 AA+ Aa1 1,200,000.00 1,206,004.02 1.44 1,225,968.74 1.42 3.23 91282CLK5 USA TREASURY 3.625% 3.625 08/31/2029 AA+ Aa1 1,200,000.00 1,197,332.15 1.43 1,200,515.63 1.39 3.37 91282CFJS USA TREASURY 3.125% 3.125 08/31/2029 AA+ Aa1 1,200,000.00 1,175,300 .90 1.40 1, 180,406.26 1.36 3.40 91282CFT3 USA TREASURY 4% 4.000 10/31/2029 AA+ Aa1 1,600,000.00 1,616,255.36 1.93 1,621,937 .50 1.87 3.51 91282CMG3 USA TREASURY 4.25% 4.250 01/31/2030 AA+ Aa1 1,600,000.00 1,633,755.36 1.95 1,636,687.50 1.89 3.67 912828ZQ6 USA TREASURY 0.625% 0.625 05/15/2030 AA+ Aa1 875,000.00 761,594.73 0.91 768,496.09 0.89 4.24 91282CHJ3 USA TREASURY 3.75% 3.750 06/30/2030 AA+ Aa1 2,000,000.00 2,013,991 .08 2.40 2,006,406.24 2.32 4.11 91282CHW4 USA TREASURY 4.125% 4.125 08/31/2030 AA+ Aa1 1,250,000.00 1,272,465.13 1.52 1,273,095.70 1.47 4.17 Issuer total 32,415,000.00 31,000,748.18 36.98 32,154,150.28 37.16 2.30 Federal Home Loan Banks
3130ALHHO FEDERAL HOME LOAN 0.960 03/05/2026 02/05/2026 AA+ Aa1 2,300,000.00 2,092,540.00 2.50 2,289,618.79 2.65 0.17 ---- --- --
15 March 3, 2026, Item #4
GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSURE
CITY OF POWAY
As of December 31, 2025
N ...
!; Cusip Description Coupon Maturity Call date S&P Moody Par value or Historical % Portfolio Market % Portfolio Effective w
U1 date rating rating shares cost hist cost value mkt value dur (yrs) Federal Home Loan Banks
3130AWLZ1 FEDERAL HOME LOAN 4.750 06/12/2026 AA+ Aa1 1,100,000 .00 1,096,612.00 1.31 1,105,333.17 1.28 0.44 3130APJH9 FEDERAL HOME LOAN 2.000 10/28/2026 01/28/2026 AA+ Aa1 2,050,000.00 1,860,110.55 2.22 2,028,830.59 2.34 0.81 3130AQF65 FEDERAL HOME LOAN 1.250 12/21/2026 AA+ Aa1 2,300,000 .00 2,055,763.00 2.45 2,250,390.77 2.60 0.95 3130ATHWO FEDERAL HOME LOAN 4.125 09/10/2027 AA+ Aa1 2,000,000.00 1,993,260.00 2.38 2,020,691.36 2.34 1.61 3130ATUS4 FEDERAL HOME LOAN 4.250 12/10/2027 AA+ Aa1 2,000,000.00 2,010,731.16 2.40 2,029,130.62 2.35 1.85 3130AEB25 FEDERAL HOME LOAN 3.250 06/09/2028 AA+ Aa1 2,700,000.00 2,574,679.50 3.07 2,684,529.30 3.10 2.32 3130ATUT2 FEDERAL HOME LOAN 4.500 12/14/2029 AA+ Aa1 1,200,000.00 1,211,040.00 1.44 1,238,071.45 1.43 3.60 Issuer total 15,650,000.00 14,894,736.21 17.77 15,646,596.05 18.08 1.45 Federal Farm Credit Banks Funding Corp
3133EPUW3 FEDERAL FARM CREDIT 4.750 09/01/2026 AA+ Aa1 2,000,000.00 1,987,080.00 2.37 2,014,739.46 2.33 0.65 3133EPK79 FEDERAL FARM CREDIT 4.375 12/07/2026 AA+ Aa1 1,200,000.00 1, 196,508.00 1.43 1,208,503.81 1.40 0.91 3133EPCG8 FEDERAL FARM CREDIT 4.125 12/01/2027 AA+ Aa1 1,000,000.00 989,640.00 1.18 1,010,557.54 1.17 1.83 3133EN5N6 FEDERAL FARM CREDIT 4.000 01/06/2028 AA+ Aa1 1,100,000.00 1,105,292.88 1.32 1,110,646.28 1.28 1.88 3133ER5D9 FEDERAL FARM CREDIT 4.490 03/05/2029 03/05/2027 AA+ Aa1 1,900,000.00 1,911,894.00 2.28 1,909,197.06 2.21 1.60 3133EP5U5 FEDERAL FARM CREDIT 4.125 03/20/2029 AA+ Aa1 2,000,000.00 1,985,860.00 2.37 2,031,285.52 2.35 2.96 Issuer total 9,200,000.00 9,176,274.88 10.95 9,284,929.67 10.73 1.66 Cash and Cash Equivalents
CASH 0.000 2,495,666.88 2,495,666.88 0.00 2,495,666.88 2.88 0.00 Issuer total 2,495,666.88 2,495,666.88 0.00 2,495,666.88 2.88 0.00 Apple Inc
037833EB2 APPLE INC 0.7% 0.700 02/08/2026 01/08/2026 AA+ Aaa 1,200,000.00 1,096,152.00 1.31 1,196,207.54 1.38 0.11 037833D83 APPLE INC 2.9% 2.900 09/12/2027 06/12/2027 AA+ Aaa 1,300,000.00 1,234,987.00 1.47 1,284,242.87 1.48 1.57 Issuer total 2,500,000.00 2,331,139.00 2.78 2,480,450.41 2.87 0.88 ·-·~--
16 March 3, 2026, Item #4
GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSURE
CITY OF POWAY
As of December 31, 2025
N N
g, Cusip Description Coupon Maturity Call date S&P Moody Par value or Historical % Portfolio Market % Portfolio Effective w date rating rating shares cost hist cost value mkt value dur (yrs) u, Citibank NA
17325FBC1 CITIBANK NA 5.488% 5.488 12/04/2026 11/04/2026 A+ Aa3 1,400,000.00 1,420,132.00 1.69 1,418,591.65 1.64 0.82 17325FBB3 CITIBANK NA 5.803% 5.803 09/29/2028 08/29/2028 A+ Aa3 1,000,000 .00 1,027,800.00 1.23 1,049,180.52 1.21 2.44 Issuer total 2,400,000 .00 2,447,932.00 2.92 2,467,772.17 2.85 1.50 Colgate-Palmolive Co
194162AR4 COLGATE-PALMOLIVE CO 4.600 03/01/2028 02/01/2028 A+ Aa3 2,400,000.00 2,391,240.00 2.85 2,437,634.86 2.82 1.97 Issuer total 2,400,000.00 2,391,240.00 2.85 2,437,634.86 2.82 1.97 Cisco Systems Inc
17275RBQ4 CISCO SYSTEMS INC 4.8% 4.800 02/26/2027 01/26/2027 AA- A1 1,250,000.00 1,253,775.00 1.50 1,264,131.66 1.46 1.03 17275RBR2 CISCO SYSTEMS INC 4.85% 4.850 02/26/2029 01/26/2029 AA- A1 1,000,000.00 999,390.00 1.19 1,027,082.72 1.19 2.82 Issuer total 2,250,000.00 2,253,165.00 2.69 2,291,214.38 2.65 1.82 American Honda Finance Corp
02665WEY3 AMERICAN HONDA 4.950 01/09/2026 A- A3 1,000,000.00 995,500.00 1.19 1,000,179.70 1.16 0.02 02665WBH3 AMERICAN HONDA 2.300 09/09/2026 A- A3 1,100,000.00 1,034,869.00 1.23 1,088,042.33 1.26 0.67 Issuer total 2,100,000.00 2,030,369 .00 2.42 2,088,222.03 2.41 0.35 Federal Home Loan Mortgage Corp
3134HAW33 FREDDIE MAC 4.75% 4.750 12/18/2029 06/18/2026 AA+ Aa1 1,000,000.00 1,005,145 .00 1.20 1,003,941 .16 1.16 0.92 3134HBSXO FREDDIE MAC 4.5% 4.500 05/23/2030 11/23/2026 AA+ Aa1 1,000,000.00 1,006,399.00 1.20 1,004,931.74 1.16 1.77 Issuer total 2,000,000.00 2,011,544.00 2.40 2,008,872.90 2.32 1.35 JPMorgan Chase & Co
46625HRY8 JPMORGAN CHASE & CO 3.782 02/01/2028 02/01/2027 A A1 2,000,000.00 1,909,600.00 2.28 1,995,636 .90 2.31 1.04 Issuer total 2,000,000.00 1,909,600.00 2.28 1,995,636.90 2.31 1.04 ·---------- - --- ------ ----
17 March 3, 2026, Item #4
GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSURE
CITY OF POWAY
As of December 31, 2025
N
w
~ Cusip Description Coupon Maturity Call date S&P Moody Par value or Historical % Portfolio Market % Portfolio Effective w date u, rating rating shares cost hist cost value mkt value dur (yrs) --
us Bancorp
91159HHN3 US BANCORP 2.375% 2.375 07/22/2026 06/22/2026 A A3 1,000,000 .00 944,140.00 1.13 992,720 .84 1.15 0.54 91159HJF8 US BANCORP 4.548% 4.548 07/22/2028 07/22/2027 A A3 900,000 .00 890,253.00 1.06 907,584 .74 1.05 1.46 Issuer total 1,900,000.00 1,834,393.00 2.19 1,900,305 .58 2.20 0.99 Bank of America Corp
06051GFX2 BANK OF AMERICA CORP 3.500 04/19/2026 A- A1 1,800,000 .00 1,736,028 .00 2.07 1,797,697 .67 2.08 0.30 Issuer total 1,800,000.00 1,736,028.00 2.07 1,797,697.67 2.08 0.30 Fannie Mae Principal Strip
31358DDR2 FANNIE MAE 0% 0.000 05/15/2030 AA+ Aa1 1,900,000 .00 1,563,815 .15 1.87 1,607,809.49 1.86 4.30 Issuer total 1,900,000.00 1,563,815.15 1.87 1,607,809.49 1.86 4.30 Pfizer Inc
717081ET6 PFIZER INC 3.45% 3.450 03/15/2029 12/15/2028 A A2 1,300,000 .00 1,222,104.00 1.46 1,285,507 .72 1.49 2.90 Issuer total 1,300,000.00 1,222,104.00 1.46 1,285,507.72 1.49 2.90 Welltower OP LLC
95040QAH7 WELL TOWER OP LLC 4.125 03/15/2029 12/15/2028 A- A3 1,250,000 .00 1,246,837.50 1.49 1,253,043.41 1.45 2.84 Issuer total 1,250,000.00 1,246,837.50 1.49 1,253,043.41 1.45 2.84 Federal National Mortgage Association
3135GAVS7 FANNIE MAE 3.91% 3.910 10/02/2028 04/02/2026 AA+ Aal 1,200,000 .00 1,199,400.00 1.43 1,199,149 .08 1.39 0.84 Issuer total 1,200,000.00 1,199,400.00 1.43 1,199,149.08 1.39 0.84 Toyota Motor Credit Corp
89236TKQ7 TOY OT A MOTOR CREDIT 4.625 01/12/2028 A+ A1 1,100,000.00 1,091,585 .00 1.30 1,117,367.48 1.29 1.88 Issuer total 1,100,000.00 1,091 ,585.00 1.30 1,117,367.48 1.29 1.88 18 March 3, 2026, Item #4
GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSURE
CITY OF POWAY
As of December 31, 2025
N .i:,.
g, Cusip Description Coupon Maturity Call date S&P Moody Par value or Historical % Portfolio Market % Portfolio Effective w date rating rating shares cost hist cost value mkt value dur (yrs) u, John Deere Capital Corp
24422EWK1 JOHN DEERE CAPITAL 4.150 09/15/2027 A Al 1,000,000.00 992,020.00 1.18 1,007,867.06 1.16 1.62 Issuer total 1,000,000.00 992,020 .00 1.18 1,007,867 .06 1.16 1.62 ---- -- --·· ··- --- ·-- - -------- ---·-·---- ---·- --- -- 19 March 3, 2026, Item #4
SECURITIES PURCHASED
For the period December 1, 2025 - December 31, 2025
N u,
g, Cusip
w u,
Description / Broker
Government Agencies
3135GAVS7 FANNIE MAE 3.91% 02OCT2028
WELLS FARGO SECURITIES, LLC
Total Government Agencies
-.. 111l.ft{t..1ir ...
Trade date
Settle date
12/12/2025
12/15/2025
Coupon
3.910
Maturity/
Call date
10/02/2028
04/02/2026
Par value or
shares
1,200,000.00
1,200,000.00
Unit cost
99.95 Principal
cost
(1 ,199,400.00)
(1,199,400.00)
CITY OF POWAY
Accrued
interest
(9,514.33)
(9,514.33)
20 March 3, 2026, Item #4
SECURITIES SOLD AND MATURED
CITY OF POWAY
For the period December 1, 2025 - December 31, 2025
N
0\
g_ Cusip Description / Broker . Trade date Coupon Maturity/ Par value or Historical cost Amortized cost Price Fair value at Realized Accrued w Settle date Call date shares at sale or sale or gain interest u, maturity maturity (loss) sold
Government Agencies
3134A2HG6 FED HOME LN MTG 0% DUE 12/11/2025 0.000 (1,000,000.00) 895,930.00 1,000,000.00 0.00 1,000,000.00 0.00 0.00 12-11-2025 12/11/2025
-
Total (Government Agencies) (1,000,000.00) 895,930.00 1,000,000.00 1,000,000.00 0.00 0.00 Government Bonds
9128285N6 DTD 11/30/2018 2.875% DUE 12/01/2025 2.875 (1 ,700,000.00) 1,636,454.91 1,700,000.00 0.00 1,700,000.00 0.00 0.00 11-30-2025 REG 12/01/2025
91282CBC4 USA TREASURY 0.375% 31 DEC2025 12/31/2025 0.375 (2,300,000.00) 2,106, 124.89 2,300,000 .00 0.00 2,300,000 .00 0.00 0.00 12/31/2025
--Total (Government Bonds) (4,000,000.00) 3,742,579.80 4,000,000.00 4,000,000.00 0.00 0.00 - - -~~- ---- ----- --- ·---- ~ rooTi:
21 March 3, 2026, Item #4
DETAIL OF RETURN AND INTEREST RECEIVED
CITY OF POWAY
For the period December 1, 2025 - December 31, 2025
N -.J
S, Cusip Description Accretion Realized gain Change in fair Interest earned Interest received w (amortization) (loss) value
111
--
Cash
Cash and Cash Equivalents 0.00 0.00 0.00 640.30 640.30
--- --Total Cash 0.00 0.00 0.00 640.30 640.30
Corporate Bonds
02665WBH3 AMERICAN HONDA FINANCE 2.3% 09SEP2026 1,703.63 0.00 2,442.44 2,178.61 0.00 02665WEY3 AMERICAN HONDA FINANCE 4.95% 09JAN2026 343.89 0.00 (413.01) 4,262.50 0.00 037833EB2 APPLE INC 0.7% 08FEB2026 (CALLABLE 09JAN26) 3,397.12 0.00 3,429.85 723.34 0.00 037833DB3 APPLE INC 2. 9% 12SEP2027 (CALLABLE 12JUN27) 1,225.36 0.00 1,073.97 3,246.39 0.00 06051GFX2 BANK OF AMERICA CORP. 3.5% 19APR2026 1,959.14 0.00 1,619.96 5,425.00 0.00 17275RBQ4 CISCO SYSTEMS INC 4.8% 26FEB2027 (CALLABLE 26JAN27) (85.64) 0.00 (582.83) 5,166.66 0.00 17275RBR2 CISCO SYSTEMS INC 4.85% 26FEB2029 (CALLABLE 26JAN29) 0.00 0.00 (611.25) 4,176.39 0.00 17325FBC1 CITIBANK NA 5.488% 04DEC2026 (CALLABLE 04NOV26) (683.13) 0.00 (836.46) 6,616.09 38,416.00 17325FBB3 CITIBANK NA 5.803% 29SEP2028 (CALLABLE 29AUG28) (486.39) 0.00 (444.34) 4,997.03 0.00 194162AR4 COLGATE-PALMOLIVE CO 4.6% 01 MAR2028 (CALLABLE 01 FEB28) 170.10 0.00 (6,680.97) 9,506.67 0.00 24422EWK1 JOHN DEERE CAPITAL CORP 4.15% 15SEP2027 149.43 0.00 1,3 12.13 3,573.61 0.00 46625HRY8 JPMORGAN CHASE & CO 3.782% 01 FEB2028 (CALLABLE 01 FEB27) 1,896.31 0.00 1,905.42 6,513.45 0.00 717081ET6 PFIZER INC 3.45% 15MAR2029 (CALLABLE 15DEC28) 1,325.72 0.00 (176.64) 3,862.08 0.00 89236TKQ7 TOYOTA MOTOR CREDIT CORP 4.625% 12JAN2028 187.43 0.00 6.32 4,380.91 0.00 91159HHN3 US BANCORP 2.375% 22JUL2026 (CALLABLE 22JUN26) 2,015.99 0.00 2,002.29 2,045.14 0.00 91159HJF8 US BANCORP 4.548% 22JUL2028 (CALLABLE 22JUL27) 208.73 0.00 650.40 3,524.70 0.00 95040QAH7 WELL TOWER OP LLC 4.125% 15MAR2029 (CALLABLE 15DEC28) 70.73 0.00 31.22 4,440.10 0.00 - - -
Total Corporate Bonds 13,398.42 0.00 4,728.50 74,638.67 38,416.00 22 March 3, 2026, Item #4
DETAIL OF RETURN AND INTEREST RECEIVED
CITY OF POWAY
For the period December 1, 2025 - December 31, 2025
N
00 !a, Cusip Description Accretion Realized gain Change in fair Interest earned Interest received w (amortization) (loss) value u,
Government Agencies
31358DDR2 FANNIE MAE 0% 15MAY2030 5,513.57 0.00 (5,599.53) 0.00 0.00 3135GAVS7 FANNIE MAE 3.91% 020CT2028 (CALLABLE 02APR26) 6.88 0.00 (250.92) 2,085.34 0.00 3134A2HG6 FED HOMELN MTG 0% DUE 12-11-2025 1,230.48 0.00 1,140.13 0.00 0.00 3133EN5N6 FEDERAL FARM CREDIT BANK 4% 06JAN2028 (66.29) 0.00 3,088.01 3,788.89 0.00 3133EPCG8 FEDERAL FARM CREDIT BANK 4.125% 01 DEC2027 160.82 0.00 (4.61) 3,552.08 20,625.00 3133EP5U5 FEDERAL FARM CREDIT BANK 4.125% 20MAR2029 231 .84 0.00 (4,270.82) 7,104.16 0.00 3133EPK79 FEDERAL FARM CREDIT BANK 4.375% 07DEC2026 79.50 0.00 422.49 4,520.83 26,250.00 3133ER5D9 FEDERAL FARM CREDIT BANK 4.49% 05MAR2029 (CALLABLE 05MAR27) (550.04) 0.00 (9,924.03) 7,346.14 0.00 3133EPUW3 FEDERAL FARM CREDIT BANK 4.75% 01 SEP2026 413.44 0.00 (909.34) 8,180.56 0.00 3130ALHHO FEDERAL HOME LOAN BANK 0. 96% 05MAR2026 CALLABLE 6,817.89 0.00 6,620.73 1,901.34 0.00 3130AQF65 FEDERAL HOME LOAN BANK 1.25% 21 DEC2026 5,398.44 0.00 2,573.77 2,475.69 14,375.00 3130APJH9 FEDERAL HOME LOAN BANK 2% 280CT2026 (CALLABLE 28JAN26) #0006 4,509.01 0.00 4,592.28 3,530.56 0.00 3130AEB25 FEDERAL HOME LOAN BANK 3.25% 09JUN2028 2,643.38 0.00 1,857.90 7,556.25 43,875.00 3130ATHWO FEDERAL HOME LOAN BANK 4.125% 1 OSEP2027 124.79 0.00 544.44 7,104.17 0.00 3130ATUS4 FEDERAL HOME LOAN BANK 4.25% 1 ODEC2027 (218.35) 0.00 888.22 7,319.44 42,500.00 3130ATUT2 FEDERAL HOME LOAN BANK 4.5% 14DEC2029 (187.65) 0.00 (3,693.47) 4,650.00 27,000.00 3130AWLZ1 FEDERAL HOME LOAN BANK 4.75% 12JUN2026 105.54 0.00 (511 .70) 4,499.31 26,125.00 3134HBSXO FREDDIE MAC 4.5% 23MAY2030 (CALLABLE 23NOV26) (478.24) 0.00 (1,299.03) 3,875.00 0.00 3134HAW33 FREDDIE MAC 4.75% 18DEC2029 (CALLABLE 18JUN26) (469.25) 0.00 (49.07) 4,090.28 23,750.00 --
~
Total Government Agencies 25,265.76 0.00 (4,784.55) 83,580.04 224,500.00 - - ------ - -·-- ·- --· ---
23 March 3, 2026, Item #4
DETAIL OF RETURN AND INTEREST RECEIVED
CITY OF POWAY
For the period December 1, 2025 - December 31, 2025
N
ID
!a, Cusip Description Accretion Realized gain Change in fair Interest earned Interest received w (amortization) (loss) value u,
Government Bonds
9128285N6 DTD 11/30/2018 2.875% DUE 11-30-2025 REG 0.00 0.00 0.00 0.00 24,437.50 91282CBC4 USA TREASURY 0.375% 31 DEC2025 5,069.40 0.00 6,452.28 726.56 4,312.50 912828ZQ6 USA TREASURY 0.625% 15MAY2030 1,913.78 0.00 (717.78) 468.31 0.00 91282CBT7 USA TREASURY 0. 75% 31 MAR2026 4,021.97 0.00 4,632.03 894.23 0.00 91282CCH2 USA TREASURY 1.25% 30JUN2028 3,868.73 0.00 2,789.07 1,790.08 10,625.00 91282CDQ1 USA TREASURY 1.25% 31 DEC2026 5,525.96 0.00 6,646.11 2,474.52 14,687.50 912828YU8 USA TREASURY 1.625% 30NOV2026 3,803.30 0.00 3,965.63 2,214.29 13,000.00 9128283F5 USA TREASURY 2.25% 15NOV2027 1,218.16 0.00 1,761.73 2,119.48 0.00 91282CEF4 USA TREASURY 2.5% 31MAR2027 1,874.09 0.00 1,562.50 2,129.12 0.00 91282CET4 USA TREASURY 2.625% 31 MAY2027 2,514.28 0.00 3,203.12 4,471.15 26,250.00 91282CFB2 USA TREASURY 2. 75% 31JUL2027 2,926.72 0.00 2,742.19 4,169.83 0.00 9128285MB USA TREASURY 3.12S% 15NOV2028 2,511.46 0.00 (1,031.25) 5,887.43 0.00 91282CFJ5 USA TREASURY 3.125% 31 AUG2029 414.82 0.00 (1,828.11) 3,211.32 0.00 91282CEW7 USA TREASURY 3.25% 30JUN2027 941.74 0.00 780.46 2,025.95 12,025.00 91282CLK5 USA TREASURY 3.625% 31AUG2029 60.08 0.00 (2,578.11 ) 3,725.14 0.00 91282CHE4 USA TREASURY 3.625% 31 MAY2028 435.92 0.00 (820.32) 6,483.17 38,062.50 91282CHJ3 USA TREASURY 3. 75% 30JUN2030 (190.93) 0.00 (7,109.38) 6,114.12 37,500.00 91282CFT3 USA TREASURY 4% 31 OCT2029 (316.09) 0.00 (3,750 00) 5,480.66 0.00 91282CHW4 USA TREASURY 4.125% 31 AUG2030 (359.25) 0.00 (5,1 26.95) 4,415.58 0.00 91282CFUO USA TREASURY 4.125% 310CT2027 415.75 0.00 (164.06) 7,418.16 0.00 91282CKX8 USA TREASURY 4.25% 30JUN2029 (67.37) 0.00 (2,671.89) 4,296.20 25,500.00 - --- ---•-·•-·-- ·----··---- ---- ~~- - -·
24 March 3, 2026, Item #4
w
0 DETAIL OF RETURN AND INTEREST RECEIVED
For the period December 1, 2025 - December 31, 2025
g, Cusip Description Accretion
w (amortization) u,
Government Bonds
91282CMG3
91282CKS9
USA TREASURY 4.25% 31JAN2030
USA TREASURY 4.875% 31 MAY2026
'Total Government Bonds
(534.29)
(722.98)
35,325.25
Realized gain
(loss)
0.00 0.00
0.00 Change in fair
value
(5,125.00)
(91.14)
3,521.13
CITY OF POWAY
Interest earned Interest received
5,728.26
5,812.50
82,056.06
0.00 34,125.00
240,525.00
25 March 3, 2026, Item #4
TRANSACTION REPORT
CITY OF POWAY
For the period December 1, 2025 - December 31, 2025
w .....
g, Trade date Cusip Transaction Sec type Description Maturity Par value or Realized Principal Interest Transaction total w Settle date shares gain(loss)
U1
11/30/2025 9128285N6 Income Government Bonds DTD 11/30/2018 2.875% DUE 11/30/2025 1,700,000 .00 0.00 0.00 24,437.50 24,437.50 11/30/2025
11/30/2025 912828YU8 Income Government Bonds USA TREASURY 1.625% 11/30/2026 1,600,000 .00 0.00 0.00 13,000.00 13,000.00 11/30/2025
11/30/2025 91282CET4 Income Government Bonds USA TREASURY 2.625% 05/31/2027 2,000,000 .00 0.00 0.00 26,250 .00 26,250 .00 11/30/2025
11/30/2025 91282CHE4 Income Government Bonds USA TREASURY 3.625% 05/31/2028 2,100,000.00 0.00 0.00 38,062 .50 38,062.50 11/30/2025
11/30/2025 91282CKS9 Income Government Bonds USA TREASURY 4.875% 05/31/2026 1 ,400,000 .00 0.00 0.00 34,125 .00 34,125 .00 11/30/2025
12/01/2025 3133EPCG8 Income Government Agencies FEDERAL FARM CREDIT BANK 12/01/2027 1,000,000.00 0.00 0.00 20,625.00 20,625.00 12/01/2025
12/01/2025 9128285N6 Capital Change Government Bonds DTD 11/30/2018 2.875% DUE 11/30/2025 (1,700,000 .00) 0.00 1,700,000.00 0.00 1,700,000.00 12/01/2025
12/04/2025 17325FBC1 Income Corporate Bonds CITIBANK NA 5.488% 12/04/2026 1,400,000 .00 0.00 0.00 38,416.00 38,416 .00 12/04/2025
12/07/2025 3133EPK79 Income Government Agencies FEDERAL FARM CREDIT BANK 12/07/2026 1,200,000.00 0.00 0.00 26,250.00 26,250.00 12/07/2025
12/09/2025 3130AEB25 Income Government Agencies
FEDERAL HOME LOAN BANK 06/09/2028 2,700,000 .00 0.00 0.00 43,875 .00 43,875.00 12/09/2025
12/10/2025 3130ATUS4 Income Government Agencies FEDERAL HOME LOAN BANK 12/10/2027 2,000,000.00 0.00 0.00 42,500.00 42,500.00 12/10/2025
12/11/2025 3134A2HG6 Capital Change Government Agencies FED HOME LN MTG 0% DUE 12/11/2025 (1,000,000.00) 0.00 1,000,000.00 0.00 1,000,000.00 12/11/2025
12/12/2025 3130AWLZ1 Income Government Agencies FEDERAL HOME LOAN BANK 06/12/2026 1,100,000 .00 0.00 0.00 26,125.00 26,125 .00 12/12/2025
12/12/2025 3135GAVS7 Bought Government Agencies FANNIE MAE 3.91 % 020CT2028 10/02/2028 1,200,000 .00 0.00 (1,199,400.00) (9,514.33) (1,208,914.33) 12/15/2025
12/14/2025 3130ATUT2 Income Government Agencies FEDERAL HOME LOAN BANK 12/14/2029 1,200,000.00 0.00 0.00 27,000 .00 27,000 .00 12/14/2025
12/18/2025 3134HAW33 Income Government Agencies FREDDIE MAC 4.75% 12/18/2029 1,000,000 .00 0.00 0.00 23,750.00 23,750 .00 12/18/2025
12/21/2025 3130AQF65 Income Government Agencies FEDERAL HOME LOAN BANK 12/21/2026 2,300,000 .00 0.00 0.00 14,375.00 14,375.00 12/21/2025
26 March 3, 2026, Item #4
TRANSACTION REPORT
CITY OF POWAY
For the period December 1, 2025 - December 31, 2025
w N
g, Trade date Cusip Transaction Sec type Description Maturity Par value or Realized Principal Interest Transaction total w Settle date shares gain(loss) u,
12/31/2025 91282CBC4 Income Government Bonds USA TREASURY 0.375% 12/31/2025 2,300,000.00 0.00 0.00 4,312.50 4,312 .50 12/31/2025
12/31/2025 91282CBC4 Capital Change Government Bonds USA TREASURY 0.375% 12/31/2025 (2,300,000.00) 0.00 2,300,000.00 0.00 2,300,000.00 12/31/2025
12/31/2025 91282CCH2 Income Government Bonds USA TREASURY 1.25% 06/30/2028 1,700,000 .00 0.00 0.00 10,625.00 10,625.00 12/31/2025
12/31/2025 91282CDQ1 Income Government Bonds USA TREASURY 1.25% 12/31/2026 2,350,000 .00 0.00 0.00 14,687.50 14,687.50 12/31/2025
12/31/2025 91282CEW7 Income Government Bonds USA TREASURY 3.25% 06/30/2027 740,000.00 0.00 0.00 12,025.00 12,025.00 12/31/2025
12/31/2025 91282CHJ3 Income Government Bonds USA TREASURY 3.75% 06/30/2030 2,000,000.00 0.00 0.00 37,500.00 37,500.00 12/31/2025
12/31/2025 91282CKX8 Income Government Bonds USA TREASURY 4.25% 06/30/2029 1,200,000 .00 0.00 0.00 25,500 .00 25,500.00 12/31/2025
12/31/2025 Income Cash and Cash Equivalents Cash 0.00 0.00 0.00 640.30 640.30 27 March 3, 2026, Item #4
ADDITIONAL INFORMATION
CITY OF POWAY
As of December 31, 2025
w w Past performance is not indicative of future results . Investment in any strategy involves a risk of loss which may partly be due to exchange rate fluctuations. 0 :; The performance results shown, whether net or gross of investment management fees, reflect the reinvestment of dividends and/or income and other earnings. Any gross of fees performance does not include fees and u, charges and these can have a material detrimental effect on the performance of an investment. The performance shown is for the stated time period(s) only.
Any target performance aims are not a guarantee, may not be achieved and a capital loss may occur. Funds which have a higher performance aim generally take more risk to achieve this and so have a greater potential for the returns to be significantly different than expected. Investments are subject to risks, including loss of principal. There can be no guarantee that any investment strategy will meet the liability funding needs of a particular client .
Performance information for certain accounts may reflect performance achieved while the account was managed at a prior firm . In addition , the performance and customized benchmark information for these periods are based on Information from 3rd parties that Insight believes to be accurate, but Insight has not independently verified such information and no representation is made regarding its accuracy or completeness.
The quoted benchmarks do not reflect deductions for fees, expenses or taxes. These benchmarks are unmanaged and cannot be purchased directly by investors. Benchmark performance is shown for illustrative purposes only and does not predict or depict the performance of any investment. There may be material factors relevant to any such comparison such as differences in volatility, and regulatory and legal restrictions between the indices shown and the strategy.
Any currency conversions performed for this presentation, use FX rates as per WM Reuters 4pm spot rates, unless noted otherwise.
Funds and portfolios with an ESG objective follow a sustainable or ESG related investment approach , which may cause them to perform differently than funds that are not required to integrate sustainable investment criteria when selecting securities . Funds and portfolios with no ESG objective are not required to Integrate sustainable investment criteria when selecting securities so any ESG approach shown is only indicative and there is no guarantee that the specific approach will be applied across the whole portfol io.
This is a client report intended for professional clients only. This material is for professional clients only and is not intended for distribution to retail clients. This document must not be used for the purpose of an offer or solicitation in any jurisdiction or in any circumstances in which such offer or solicitation is unlawful or otherwise not permitted. This document is intended only for the parties to whom it was delivered or its authorised agents and should not be copied or passed to any other person. Please contact the Client Services Team if there has been any change in your financial circumstances or risk tolerance since the previous valuation that could affect the investment objective of your portfolio . Insight obtains market data and prices from an independent pricing source for all of our currency positions on a daily basis. For trading activity the Clearing broker will be reflected. In certain cases the Clearing broker will differ from the Executing broker.
Some information contained in this client report comes from external sources which Insight believes to be reliable. A list of sources is available on request. All statistics represent month end figures unless otherwise noted. It should not be assumed that any of the security transactions or holdings referenced herein have been or will prove to be profitable or that future investment decisions will be profitable or will equal or exceed the past investment performance of the securities listed. Tax treatment depends on the individual circumstances of each investor and may be subject to change in the future . Insight does not provide tax or legal advice to its clients and all investors are strongly urged to seek professional advice regarding any potential strategy or investment. Material in this publication is for general information only and is not advice, investment advice, or the recommendation of any purchase or sale of any security.
Insight Investment is the corporate brand for certain companies operated by Insight Investment Management Limited (IIML). Insight includes, among others, Insight Investment Management (Global) Limited (IIMG), Insight Investment International Limited (IIIL) and Insight North America LLC (INA), each of which provides asset management services. This group of companies may be referred to as 'Insight' or 'Insight Investment' .
Please compare the information provided in this statement to the information provided in the statement received from your Custodian. This report is not intended to replace your custodial statement which is your official record for all pertinent account information . Please notify us promptly if you do not receive from your custodian on at least a quarterly basis account statements that contain the amount of funds and each security in the account at the end of the period and all transactions in the account during that period .
For clients based in North America:
This material is for professional clients only and is not intended for distribution to retail clients.
Investment advisory services in North America are provided through two different investment advisers registered with the Securities and Exchange Commission (SEC), using the brand Insight Investment: Insight North America LLC (INA) and Insight Investment International Limited (IIIL). The North American investment advisers are associated with other global investment managers that also (individually and collectively} use the corporate brand Insight Investment and may be referred to as 'Insight' or 'Insight Investment' . INA is registered with the CFTC as a Commodity Trading Advisor and a Commodity Pool Operator and are members of the NFA.
Information about the indices shown here is provided to allow for comparison of the performance of the strategy to that of certain well-known and widely recognized indices. There is no representation that such index is an appropriate benchmark for such comparison . You cannot invest directly in an index and the indices represented do not take into account trading commissions and/or other brokerage or custodial costs. The volatility of the indices may be materially different from that of the strategy. In addition, the strategy's holdings may differ substantially from the securities that comprise the indices shown.
The ICE BofA 3 Month us T-Bill index is an unmanaged market index of U.S. Treasury securities maturing in 90 days that assumes reinvestment of all income .
The ICE BofA 6 Month UST-Bill index measures the performance ofTreasury bills with time to maturity of less than 6 months. 28 March 3, 2026, Item #4
w
.i::,.
ADDITIONAL INFORMATION
As of December 31, 2025
CITY OF POWAY
o The ICE BofA 1-Year US Treasury Index is a one-security index comprised of the most recently issued 1-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 1-year note must be auctioned ;: on or before the third business day before the last business day of the month.
U1
The ICE BofA 3-Year US Treasury Index is a one-security index comprised of the most recently issued 3-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 3-year note must be auctioned on or before the third business day before the last business day of the month.
The ICE BofA 5-Year US Treasury Index is a one-security index comprised of the most recently issued 5-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 5-year note must be auctioned on or before the third business day before the last business day of the month.
The ICE BofA 1-3 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than three years.
The ICE BofA 1-5 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than five years. © 2025 Insight Investment. All rights reserved.
29 March 3, 2026, Item #4
City of Poway Cas h and Inves tments
w Dece mber 2025 u,
0 ....
w u, Cash with Fiscal Agents
Investment Type Settlement Date Book Value Market Value Unrealized Trustee Description Gain (Loss)
US Bank 2005 Refunding Certificates of Participation Money Market 12/31/2025 27.55 27.55 US Bank 2012 Refunding Certificates of Participation Money Market 12/31/2025 487,539 .16 487,539.16 Successor Agency to the Poway
US Bank Redevelopment Agency 2015A T ARB and Money Market 12/31/2025 10,105.30 10,105.30 20158 TARS
US Bank Pension Obligation Bonds Series 2021 Money Market 12/31/2025 364.67 364.67 US Bank Public Financing Authority Water Revenue Money Market 12/31/2025 1,403.91 1,403.91 Bonds 2021A )> Total Cash with Fiscal Agents 499,440 .59 499,440 .59 --t --t )>
n Non-Managed Inves t ments :I:
s: Investment Type Settlement Date Book Value Market Value Unrealized m Treasurer Description Gain (Loss) z
--t County of San Local Agency C Diego 800MHz Zone F Funds Investment Pool 12/31/2025 45,227.14 45,247.00 19.86 Total Non-Managed Investments 45,227 .14 45,247.00 19.86 Bank A ccoun ts and Petty Cash
Custodians Description Cash Type Settlement Date Book Value Market Value Unrealized Gain (Loss)
US Bank Bank Accounts Demand Deposits 12/31/2025 851 ,310.50 851,310.50 City of Poway Petty Cash Accounts Cash on Hand 12/31/2025 8,600.00 8,600.00 Total Cash 859,910.50 859,910.50
Total 1,404,578.23 1,404,598.09
March 3, 2026, Item #4
DATE:
TO:
FROM:
CONTACT:
SUBJECT:
Summary:
AGENDA REPORT CityofPoway
March 3, 2026
Honorable Mayor and Members of the City Council
Brian Mitchell, Fire Chief _/jf/J1'-
Andy Loperena, Deputy Fire Marshal
(858) 668-4471, aloperena@poway .org
Fire and Life Safety Inspection Report
CITY COUNCIL
In September 2018, California Senate Bill No. 1205 (SB 1205) was approved requiring every city, county fire department, or district providing fire protection services to report annually to its administering authority on the department's inspection of public and private schools and preschools, hotels, motels, apartments, residential care facilities, and places of detention for compliance with building standards.
There are 99 occupancies of these types in the City of Poway. For the eighteen-month reporting period between July 2024 and December 2025, the Poway Fire Department completed one hundred percent of the fire and life safety occupancy inspections required by SB 1205.
Recommended Action:
It is recommended the City Council adopt the Resolution acknowledging receipt of the Fire and Life Safety Inspection Report.
Discussion:
California law requires every city, county fire department, or district prov iding fire protection services to annually inspect and enforce specific building standards of certain structures classified as Group E, Group R, and Group I occupancies. These occupancy types include public and private schools and preschools, hotels, motels, apartments, residential care facilities, and places of detention. The department's Fire Prevention Division conducts fire and life-safety inspections of these occupancy classifications every year.
SB 1205 was introduced by the California Legislature following the 2016 Ghost Ship Fire in Oakland, CA that resulted in 36 deaths . SB 1205 was approved by the Governor , filed with the Secretary of State and became law effective September 27, 2018. SB 1205 requires every city, county fire department , or district providing fire protection services to report annually to its administering authority on the department's inspection of these occupancy classifications. 1 of 4
March 3, 2026, Item #5
SB 1205 requires this report to occur when the administering authority discusses its annual budget, or at another time determined by the administering authority. It also requires the administering authority to acknowledge receipt of the report in a resolution or similar formal document. For the purposes of SB 1205 the "administering authority" means a city council, county board of supervisors, or district board .
An eighteen-month report is being provided to align the reporting period with the calendar year instead of the fiscal year. In the future, fire and life safety inspection reports will be provided for the preceding twelve month calendar year.
Environmental Review:
This action is not subject to review under the California Environmental Quality Act (CEQA).
Fiscal Impact:
None.
Public Notification:
None.
Attachments:
A. Resolution.
Reviewed/Approved By:
Assistant City Manager
2 of 4
Reviewed By:
Alan Fenstermacher
City Attorney
March 3, 2026, Item #5
RESOLUTION NO. 26-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
POWAY, CALIFORNIA, ACKNOWLEDGING RECEIPT OF A
REPORT MADE BY THE DEPUTY FIRE MARSHAL OF THE
POWAY FIRE DEPARTMENT REGARDING THE INSPECTION
OF CERTAIN OCCUPANCIES REQUIRED TO PERFORM
ANNUAL INSPECTIONS IN SUCH OCCUPANCIES PURSUANT
TO SECTIONS 13146.2 AND 13146.3 OF THE CALIFORNIA
HEAL TH AND SAFETY CODE
WHEREAS, California Health and Safety Code Section 13146.4 was added in 2018, and became effective September 27, 2018;
WHEREAS, California Health and Safety Code Sections 13146.2 and 13146.3 requires all fire departments, including the Poway Fire Department, that provide fire protection services to perform annual inspections in every building used as a public or private school, hotel, motel, lodging house, apartment house, and certain residential care facilities for compliance with building standards, as provided;
WHEREAS, California Health and Safety Code Section 13146.4 requires all fire departments, including the Poway Fire Department, that provide fire protection services to report annually to its administering authority on its compliance with Section 13146.2 and 1314~.3; and WHEREAS, the City Council intends this Resolution to fulfill the requirements of the California Health and Safety Code regarding acknowledgment of the Poway Fire Department's compliance with California Health and Safety Code Sections 13146.2 and 13146.3.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Poway as follows:
SECTION 1: City Council expressly acknowledges the measure of compliance of the Poway Fire Department with the California Health and Safety Code Section 13146.2 and 13146.3 in the area encompassed by the City of Poway, as follows:
A. EDUCATIONAL GROUPE OCCUPANCIES:
Educational Group E Occupancies, for the purpose of this resolution, include Group E occupancies. Group E occupancies are buildings or structures occupying more than six persons at any time for educational purposes through the 12th grade, to include public and private schools and pre-schools. Within the City of Poway, there lie 36 Group E occupancies, buildings, structures and/or facilities.
For the 2025 annual reporting year, the Poway Fire Department completed the annual inspection of 36 Group E Occupancies, buildings, structures and/or facilities. This is a completion rate of 100% for this reporting period.
B. RESIDENTIAL GROUP R OCCUPANCIES:
Residential Group R occupancies, for the purposes of this resolution, includes Groups R- 1, R-2, R-2.1, and R-4 occupancies. Residential Group R-1 occupancies are residential occupancies containing sleeping units where the occupants are primarily transient in nature, including hotels and motels. Residential Group R-2 occupancies are residential occupancies 3 of4 ATTACHMENT A
March 3, 2026, Item #5
Resolution No. 26-
containing sleeping units or more than two dwelling units where the occupants are primarily permanent in nature, to include apartments. Residential Group R-2.1/R-4 occupancies are residential occupancies containing sleeping units where on a 24-hour basis who because of age, mental disability, or other reasons, live in a supervised residential environment that provides personal care services and custodial care. Within the City of Poway, there lie 62 Group R-1, R-2, and R-2.1 /R-4 occupancies.
For the 2025 annual reporting year, the Poway Fire Department completed the annual inspection of 53 Group R1 & R2 Occupancies, buildings, structures and/or facilities. This is a completion rate of 100% for this reporting period.
C. INSTITUTIONAL GROUP I OCCUPANCIES:
Institutional Group I occupancies, for the purpose of this resolution, includes Group 1-3 occupancies. Institutional Group 1-3 occupancies are buildings or structures which are inhabited by one or more persons who are under restraint or security. Within the City of Poway, there lie 1 Group 1-3 occupancies, buildings, structures and or facilities.
For the 2025 annual reporting year, the Poway Fire Department completed the annual inspection of 1 Group 1-3 occupancies, buildings, structures and/or facilities. This is a completion rate of 100% for this reporting period.
PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Poway, California on the 3rd day of March, 2026 by the following vote, to wit:
AYES:
NOES:
ABSTAINED :
ABSENT:
DISQUALIFIED:
Steve Vaus, Mayor
ATTEST:
Carrie Gallagher, CMC, City Clerk
4of 4
March 3, 2026, Item #5
DATE:
TO:
FROM:
CONTACT:
SUBJECT:
Summary:
AG EN DA REPORT City of Poway
March 3, 2026
Honorable Mayor and Members of the City Council
Craig Schmollinger, Director of Finance @.__
Brad Rosen, Assistant Director of Finance Operation~.-.--::::t7 __ (858) 668-4452 or [email protected] +zr,---
CITY COUNCIL
(
Approval of Agreement Between the City of Poway and the California Department of Technology (CDT) for the Purchase of Microsoft Product and Services The City's current five-year Microsoft software licensing agreement purchased through the State of California Department of Technology (CDT) expires on April 30, 2026. This software provides the required Microsoft licensing which includes the Office 365 applications (Outlook, Word, Excel, Teams, One Drive, SharePoint) as well as licensing for Microsoft Visio and Project. As such, the City needs to renew its agreement. An Enterprise Level Agreement (ELA) for Microsoft 365-G5 which includes the noted applications, Visio, and Project licenses with CDT is the most cost-effective solution available.
The Microsoft 365-G5 licensing comprises Microsoft's best security products including advanced threat protection, identity protection, cyber security, voice, information archiving and data analysis tools. The agreement includes all upgrades distributed by Microsoft and consolidates the City's software purchases at a reduced cost while streamlining the software license management and accounting process.
Recommended Action:
It is recommended the City Council authorize the City Manager to execute an agreement with the California Department of Technology for a five-year Microsoft Enterprise Level Agreement.
Discussion:
As part of its technology procurement practices, the City's Information Technology (IT) Division typically upgrades and deploys core software on a timescale that keeps software versions at, or near, current commercial release versions. This practice is necessary to ensure core City software is current with product features and security-related improvements.
In 2021, the CDT offered local governments the ability to purchase Microsoft licensing from the State. 1 of 6
March 3, 2026, Item #6
After review of the options available at that time, purchasing through the CDT was the most cost effective solution. The current agreement ends on April 30, 2026. The State has been negotiating with Microsoft and working on a new agreement over the past several months and notified the City on January 27, 2026 that a new five-year Microsoft agreement is available to local agencies. The new Microsoft CDT agreement begins on May 1, 2026, and is effective through April 30, 2031 for the Microsoft 365-GS licensing.
CDT conducted a full procurement process through a Request for Offer (RFO) for Microsoft 365 (M365) products and services and awarded the consolidated contract to SHI International Corp. CDT has broad responsibility and authority over all aspects of technology in California state government and partners with local government and educational entities to deliver and develop responsive solutions for business needs. The agreement includes discounted and fixed pricing over a period of time. CDT will facilitate the City's enrollment through SHI International Corp. for the M365 licensing and their online services.
After a review of the licensing options available to the City, entering into an agreement for Microsoft Office 365-GS, Visio and Project products and services with the CDT provides the most cost-effective model. To administer this program, CDT charges both a 2.79% service fee and a 3.5% cost distribution fee which are included in the total cost as identified in the fiscal impact section below. The service fee recovers the cost of the program that allows CDT to deliver negotiated enterprise service level agreements, provide ease of onboarding, negotiate volume pricing, and eliminate the need for entities to perform a formal procurement. The Cost Distribution fee is a method that CDT uses to distribute their administrative and overhead costs.
In addition to the user accounts and M365 Office application licensing, the M365-G5 license provides the City Microsoft's best security products including advanced threat protection, identity protection, cyber security, voice, information archiving and data analysis tools. The City does procure other Microsoft products including Windows server licensing, SQL database licensing and M365-F3 user licensing through other existing agreements as those are not available on the CDT contract.
At the end of each contract year with CDT, the City must report to Microsoft any products that need to be added to the agreement. Microsoft identifies these license additions as true-up fees. Any additional Microsoft licenses required by the City would be added under these agreements at the prices identified. Historically, the City has not seen increased pricing under this portion of the ELA as the number of licenses has remained fairly consistent.
Environmental Review:
This action is not subject to review under the California Environmental Quality Act (CEQA).
Fiscal Impact:
The cost of the five-year agreement including M365-G5 licensing, Visio licensing, Project licensing and CDT service and cost distribution fees is $937,293.88. The table below details the quoted annual cost of the Microsoft licenses.
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March 3, 2026, Item #6
Year1 $172,225.44 $408.24 $267.72 $172,901.40
Year 2 $172,225.44 $408.24 $267.72 $172,901.40
Year 3 $177,998.76 $408.24 $267.72 $178,674.72
Year4 $177,998.76 $408.24 $267.72 $178,674.72
Year 5 $177,998.76 $408.24 $267.72 $178,674.72
TOTAL $881,826.96
The CDT will invoice the City annually, which includes the cost of the Microsoft licenses, the CDT 2.79% service fee, and the 3.5% cost distributions fee as detailed in the table below .
Year1 $172,901.40 $4,823.95 $6,051.55 $183,776.90
Year 2 $172,901.40 $4,823.95 $6,051.55 $183,776.90
Year 3 $178,674.72 $4,985.02 $6,253.62 $189,913.36
Year4 $178,674.72 $4,985.02 $6,253.62 $189,913.36
Year 5 $178,674.72 $4,985.02 $6,253.62 $189,913.36
TOTAL $937,293,88
The City proactively plans for the purchase of Microsoft licensing by setting aside a portion of the anticipated licensing costs by charging Departments annually for the number of licenses assigned to the staff in each Division. The adopted FY 2025-26 budget includes $434,305 (115010-61222) for this purpose. Future internal rent charges will be updated to reflect the new costs associated with the updated licensing model to ensure adequate funding is set aside for these costs. Future year costs for years two through five will be budgeted annually in the 115010-61222 account as part of the regularly adopted annual fiscal year budget.
Public Notification:
None.
Attachments:
A. Quote: SHI International Corp.
Reviewed/ Approved By:
Assistant City Manager
3 of 6
Reviewed By:
Alan Fenstermacher
City Attorney
Ap~)
Chris Hazeltine
City Manager
March 3, 2026, Item #6
CA-City of Poway
Brad Rosen
PO Box789
Poway, CA 92074
United States
lrll
Phone: (858) 668-4452
Fax:
Email: [email protected]
All Prices are in US Dollar (USO)
Additional Comments
Payment Schedule:
Year 1 (4/1/26 - 3/31/27): $172,901.40
Year 2 (4/1/27 - 3/31/28): $172,901.40
Year 3 (4/1/28 - 3/31/29): $178,674.72
Year4 (4/1/29- 3/31/30): $178,674.72
Year 5 (4/1/30 - 3/31/31): $178,674.72
Total: $881,826.96
**Budgetary Pricing does not include CDT Fees••
Pricing Proposal
Quotation #: 27102443
Reference #: Budgetary
Created On: Jan-28-2026
Valid Until: Feb-28-2026
------------------·-----------·-
Microsoft Inside Account Manager
Brian Smith
290 Davidson Ave
Somerset , NJ, 08873
Phone: 732-584-4484
Fax:
Email: [email protected]
Year 1 located on sheet 2
Years 2-5 located on sheet 3
Disclaimer : The pricing provided in this quote is based on estimated statewide license volumes. CDT will confirm the final statewide pricing tier once all customer commitments have been received.
This quote has been marked as budgetary, as certain pricing may require approval from Microsoft. Please note, SHI is unable to process Purchase Orders against budgetary quotes. Kindly reach out to your SHI sales team for a Final Quote once you have determined your required counts and licenses .
Due to the potential impact of any current or future tariffs, the price and availability of hardware items on this quote may be subject to change.
Thank you for choosing SHI International Corp! The pricing offered on this quote proposal is valid through the expiration date listed above. To ensure the best level of service, please provide End User Name, Phone Number, Email Address and applicable Contract Number when submitting a Purchase Order. For any addiUonal information including Hardware, Software and Services Contracts , please contact an SHI Inside Sales Representative at (888) 744-4084. SHI International Corp. is 100% Minority Owned, Woman Owned Business. TAX ID# 22-3009648; DUNS# 61-1429481; CCR# 61- 243957G; CAGE 1 HTF0
The produc°is offered under this proposal are resold inaccordance with- the tenns and conditions of the Contract referenced under that applicablellne ilem. 4of6 ATTACHMENT A
March 3, 2026, Item #6
u, Item I Manufacturer Partt Product Contract Name Contract I Coverage Start Coverage End Quantity Your Price Total Note 0 1 Microsoft AAL-48033 M365 G5 FSA Renewal GCC Sub Per User (Renewal) Microsoft Statewide Enterprise Licensing SC25--0198737 Apr~l1-2026 Mar-31-2027 336 $497.88 $167,287.68 Year 1 of5 .... AgrHment
°'
2 Microsoft AAL-45735 M365 GS GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr-01-2026 Mar-31-2027 9 $548.64 $4,937.76 Year 1 of 5 Agreement
Microsoft 7MS-00001 Planner & Project P3 GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr-01-2026 Mar-31-2027 1 S267.72 S267.72 Year 1 of 5 Agreement
Microsoft PJU..00001 Visio P2 GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr..(11-2026 Mar-31-2027 3 $136.08 $408.2-4 Year 1 of 5 Agreement
Total $172 ,901.40
March 3, 2026, Item #6
O'I Manufacturer Part# Product
-
Contract Name Contract# Coverage Start co....,age End Quantity Your Price Total Note 0 Microsoft AAL-48033 M365 GS FSA Renewal GCC Sub Per User (Renewal) Microsoft Statewide Enterprise Licensing SC 25-0198737 Apr-01-2027 Mar-31-2028 336 $497.88 $167,287.68 Year 2 or 5 .... Agreement
O'I Microsoft AAL-45735 M365 GS GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25-0198737 Apr-01-2027 Mar-31-2028 9 $548.64 S4.937. 76 Year 2 of S Agreement
Microsoft 7MS-00001 Planner & Project P3 GCC Sub Per User Microsoft State...,.;de Enterprise Licensing SC 25-0198737 Apr-<l1-2027 Mar-31-2028 1 $267.72 S267.72 Year 2 of 5 Agreement
Microsoft P3U-00001 Vislo P2 GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25-0198737 Apr-01-2027 Mar-31-2028 3 $136.08 S408.24 Year 2 or 5 Agreement
Microsoft AAL-48033 M365 GS FSA Renewal Gee Sub Per User (Renewal) Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr--01-2028 Mar-31-2029 336 $514.68 $172,932.48 Year 3 or 5 Agreement
Microsoft AAL-45735 M36S GS GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25-0198737 Apr-01-2028 Mar-31-2029 9 $56292 S5,066.28 Year 3 or 5 Agreement
Microsoft 7MS-00001 Planner & Project PJ GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr-01-2028 Mar-31-2029 1 $267.72 $267.72 Year 3 or 5 Agreement
Microsoft P3U-00001 Visio P2 GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25-0198737 Apr-01-2028 Mar-31-2029 3 $136.08 $408.24 Year 3 of 5 Agreement
Microsoft AAL-48033 M36S GS FSA Renewal GCC Sub Per User (Renewal) Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr-01-2029 Mar-31-2030 336 $514.68 $172.93248 Year 4 of 5 Agreement
Microsoft AAL-45735 M365 GS GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr-01-2029 Mar-31-2030 9 $562.92 $5,066.28 Year 4 of 5 Agreement
Microsoft 7MS-00001 Planner & Project P3 GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25-0198737 Apr-01-2029 Mar-31-2030 1 $267.72 $267.72 Year 4 of 5 Agreement
Microsoft P3U-00001 Visio P2 GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr-01-2029 Mar-31-2030 3 S136.08 $408.24 Year 4 of 5 Agreement
Microsoft AAL-48033 M365 GS FSA Renewal GCC Sub Per User (Renewal) Microsoft Statewide Enterprise Licensing SC 25-0198737 Apr-01-2030 Mar-31-2031 336 $514.68 $172,932.48 Year 5 of 5 Agreement
Microsoft AAL-45735 M365 GS GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr-01-2030 Mar-31-2031 9 $562.92 SS,066.28 Year 5 of 5 Agreement
Microsoft 7MS-00001 Planner & Project P3 GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25--0198737 Apr-01-2030 Mar-31-2031 1 $267.72 $267.72 Year 5 of 5 Agreement
Microsoft P3U-00001 Visio P2 GCC Sub Per User Microsoft Statewide Enterprise Licensing SC 25-0198737 Apr-01-2030 Mar-31-2031 3 $136.08 S408.24 Year 5 of 5 Agreement
March 3, 2026, Item #6
AGENDA REPORT CityofPoway
DATE:
TO:
FROM:
CONTACT:
SUBJECT:
Summary:
March 3, 2026
Honorable Mayor and Members of the City Council
Julie Procopio, Director of Development Services q
Jonathan Schauble, Principal CivilEngineer
(858) 668-4602 or [email protected]
Capital Improvement Program Update
CITY COUNCIL
This agenda report provides status updates for the projects in the Capital Improvement Program. At the City Council meeting, staff will present more detail on active projects.
Recommended Action:
This is an informational item and there is no recommended action.
Discussion:
The City's Capital Improvement Program (CIP) is budgeted and approved every year with the goal of maintaining and improving the City's infrastructure and enhancing public facilities based upon community needs. The CIP development process matches available funds with prioritized needs.
During program planning, staff takes inventory of the City's existing infrastructure and facilities, considers condition assessments and community needs, and then develops a prioritized project list consistent with community goals. After approval of the CIP, the projects are then managed by City staff who guide the projects through the planning, design, and construction phases of the project life cycle.
The City's current CIP includes 78 projects which are divided into the following categories: Streets, Drainage, Public Facilities, Water, and Sewer. At the adoption of the Fiscal Year (FY) 2025-26 CIP budget, the total available balance for completing the 78 CIP projects was $68.9 million.
Streets
The goal of projects within the Streets category is to increase safety and mobility of all forms of transportation: vehicles, bicycles, and pedestrians. Annual projects in this category extend the life of the pavement network on public streets, maintain traffic signals, address capacity issues, and refresh and update street striping and signage.
The Annual Street Maintenance and Overlay projects for 2025 are substantially complete. These projects resurfaced t_he roads in Maintenance Zone 8 which is in the southwest corner of Poway. As a result of 1 of 6
March 3, 2026, Item #7
this work, the City's Pavement Condition Index (PCI) score has increased from 76 to 78. PCI is a numerical score between O and 100 that is used to indicate the general condition of roadway pavement. The condition rating of 78 is substantially better than the statewide average condition of 65. In addition, the Annual Citywide Striping project has b.een completed. This project refreshed pavement striping and markings on half of the roads in the City: Maintenance Zones 2, 4, 6, and 8.
Staff started work on the next Annual Street Maintenance and Overlay projects. These projects will resurface the roads in Maintenance Zone 1, which includes Espola Road from the western City limit to Summer Sage Road. Zone 1 also includes all publicly maintained roads north of Espola Road and east of Espola Road between Lake Poway Road and Sand Hill Road. The Zone 1 resurfacing projects will be publicly bid this spring with construction starting this summer.
The Traffic Signal Video Detection Upgrades project will start construction in April of this year. This project will install hardware and video detection cameras at two intersections: Twin Peaks Road with Community Road, and Pomerado Road with Meadowbrook Road. This work is scheduled for completion by the end of this summer.
The Americans with Disabilities Act (ADA) Barrier Removal at Buckley Street project is substantially complete. This project has constructed pedestrian improvements to create an accessible path connecting the Buckley Street sidewalk to Community Park.
Engineering design is nearly complete for the Overhead Flashing Beacon project at Fire Station 2. This project includes the installation of a new flashing light system at the intersection of Espola Road and Westling Court to alert drivers when emergency vehicles are exiting Fire Station 2. Staff is currently reviewing the final design. Construction bid documents will be prepared for public bidding in March.
Drainage
The primary goal of projects within the Drainage category is the preservation and maintenance of existing drainage system infrastructure, including pipes, culverts, inlets, concrete channels, and natural channels.
The Annual Channel Rehabilitation project was created in coordination with the Public Works Stormwater Division and is an annual project to repair sections of deteriorating concrete channel side walls and bottoms. This year's project will make channel repairs along channels near Pomerado Road, Floral Avenue, and Allbrook Drive. Staff opened construction bids in January and the contract was awarded to LB Civil Construction, Inc. at the February 17, 2026 Regular City Council meeting.
Construction will begin in April and should be completed in approximately two months.
Rattlesnake Creek flows through Community Park in an open earthen channel with a concrete ribbon channel built in the late 1970s. About 550 feet of the concrete ribbon is broken and deteriorated, exposing soil and causing ongoing erosion during storms that is undermining the concrete. The Community Park Ribbon Drain project will repair this channel. The City's consultant evaluated the damaged section and provided repair and remediation options to stabilize the channel. City staff reviewed the options and recommend removing the broken concrete and installing three drop structures to manage the flow of water and reduce future erosion . In addition, this project will stabilize the creek banks with boulders and native vegetation. After negotiating the scope and fee with the consultant, staff will request approval of the design agreement at a future City Council meeting in 2 of 6
March 3, 2026, Item #7
April.
The Annual Trash Capture Program is an unfunded mandate by the State Water Resources Control Board to capture all trash greater than five millimeters in priority land use areas (PLUs). PLUs indude areas classified as commercial, industrial, and high density residential, as well as transit stops. This year's project will install approximately 100 trash capture units in existing storm drainage inlets. Staff is currently preparing bid documents and is anticipating conducting a public bid in March.
Public Facilities
The primary goal of projects within the Public Facilities category is the preservation and maintenance of more than 100 public buildings and parks in the City. This category also includes improvements to existing facilities and the construction of new public facilities.
The Community Park Restroom project includes the design and construction of a new restroom at the northwest corner of Community Park, adjacent to the bocce courts. The design consultant is currently working on the 50% design package which is expected to be completed in April.
The Workplace Safety Facility Improvements project will improve City Hall's safety and security with the installation of physical barriers including additional casework, gates, doors, and walls. The City's consultant architect is proceeding with the 100% design package which is scheduled to be provided in June.
The Community Park Signage project includes the design and construction of various signage throughout Community Park. Signage includes monument entrance signs, wayfinding, and interpretive signage. City staff has reviewed preliminary designs and provided feedback to the consultant. The 60% design will be completed in mid-April per the design schedule.
The Fire Station 2 Gymnasium Structure project will install a Personal Protective Equipment (PPE) storage shed and a dedicated workout space for fire fighters at Fire Station 2. PPE storage shed plans have been submitted for Building Permit review and City staff is working with building plan reviewers to add required ADA upgrades to the plans prior to approval. Staff is obtaining quotes for architectural design services to design the larger gym structure in March.
The Community Park Sidewalks project will construct two segments of sidewalk: a short segment from the Mickey Cafagna Community Center turnaround to the Community Center conference room entrance and a 350-foot-long sidewalk from the turnaround to the ball field and restrooms to the south . Staff has finalized plans, specifications, and bid documents. Currently, this project is being advertised for construction bids.
The Pool Bumper Replacement and Ladder Installation project will replace the old wooden bumper at the chemical loading dock. In addition, a ladder is being installed to provide safe access from the ground for delivery drivers, maintenance crews, and staff. Plans and specifications have been completed and this project is currently advertised for bids. Construction bids will be opened on March 11, 2026.
The Pool Media Filter and Rehabilitation project was designed to replace the internal filter media in all seven pool filters with Activated Filter Media, replacing any damaged internal components, and installing new automatic air relief fittings at the Community Pool. This project is complete and final -payment will be made to the contractor in March.
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March 3, 2026, Item #7
The Pickleball Courts project will construct six to eight dedicated pickle ball courts for use by the public.
City staff analyzed a number of locations and identified one preferred location: the corner of Stowe Drive and Crosthwaite Circle. The Park and Recreation Advisory Committee will have an opportunity to provide feedback on the project at their April meeting.
The Zero Emissions Vehicle Charging Infrastructure project was created in response to the State's mandate that requires vehicle fleets to transition to zero emission technology by 2027. The mandate allows cities to continue operating existing vehicles throughout their useful life. The City hired a consultant to develop a plan for transitioning to zero emission vehicles, including an analysis of charging infrastructure needs, preliminary site plans, cost estimates, and potential funding sources.
The consultant is developing a preliminary design for electric vehicle charging infrastructure at the Public Works warehouse. This design will be submitted to SDG&E this spring which may lead to partial funding of the charging infrastructure through SDG&E's program.
In addition to the public facilities projects listed above, there are eight CIP projects related to maintenance and improvements for the Poway Center for the Performing Arts (PCPA) which include an orchestra safety net, elevator rehabilitation, ADA improvements, sewer replacement, security cameras, electrical, and HVAC improvements. The PCPA Orchestra Safety Net project is in the design development phase. The PCPA Sewer Replacement project is in the pre-design phase. Staff is working with the existing engineering consultant to develop a scope and fee for the sewer replacement. The PCPA HVAC Controls project is nearly complete. One ADA project at the PCPA includes replacing the existing inclined lift in the Mezzanine level. Installation of the lift will begin in March. The FY26 PCPA Maintenance project will construct ADA improvements outside and inside the PCPA building. These improvements include pedestrian ramps, ADA parking signage and striping, handrail modifications, and upgraded restrooms to meet ADA access requirements. This project will be publicly bid in March, with bids due in April of this year.
Water
The primary goal of projects within the water category is preservation of existing infrastructure, including pipelines, reservoirs, pump stations, pressure reducing stations, and the Water Treatment Plant facility.
The Annual Water Valve Replacement project was created in coordination with the Public Works Utilities Division to supplement in-house maintenance of water valves. Staff selected the top priority valves based on their age and reliable service life. This year's project replaced 11 water valves at five different locations throughout the City. Construction is substantially complete.
The Water Pump Station PS-8 Motor Control Center Upgrades project will replace critical components including housing breakers, starters, and other electrical components at the Woodcliff Pump Station located at 14162 Donart Drive. Construction submittals and shop drawings have been received and are currently under review. The contractor continues to address comments and provide revised submittals as needed. The tentative construction start remains scheduled for late July 2026.
The Water Treatment Plant Chemical Tank Rehabilitation project includes inspection by a certified inspector to determine the condition of the tanks and their components and to propose the scope of repair and/or replacement of the tanks to industry standards. The consultant completed their inspections and they submitted a preliminary design in February. City staff is currently reviewing the 4 of 6
March 3, 2026, Item #7
preliminary design.
An update on the Water Infrastructure Improvement Program and the status of those associated projects was provided at the February 3, 2026 Regular City Council meeting. The Water Master Plan Update and Implementation is currently being developed with an engineering consultant.
Sewer
The primary goal of projects within the sewer category is the preservation of existing infrastructure, including pipelines, manholes and lift stations, and providing increased flow capacity where identified as necessary.
The Butterfield Trail Sewer project will upsize the sewer pipe along Ash Hollow Crossing Road and Espola Road between Butterfield Trail and Cloudcroft Drive. Due to capacity issues with the existing infrastructure, this sewer upsizing project was determined to be necessary as identified in the 2013 Sewer Master Plan. This project design is 90% complete. Currently, staff and the City's consultant are coordinating with the San Diego County Water Authority to address their concerns and comments prior to completing the engineering design this spring.
The Annual Sewer and Manhole Rehabilitation project rehabilitates sewer manholes and replaces sewer pipe as needed throughout the City. For this year's project, the highest priority sewer pipe locations are along Saint Andrews Drive, Pomerado Road, and Somerset Road. In addition, 37 sewer manholes have been identified for rehabilitation this year. Currently, the City's engineering consultant is preparing designs for both sewer pipe and manhole rehabilitation as separate construction projects. Based on current schedules, both designs will be completed this spring and then public bidding will commence.
Environmental Review:
This informational item is not subject to the California Environmental Quality Act (CEQA) as it does not qualify as a project based on CEQA Guidelines Section 15378(b)(4 & 5). It does not meet the definition of a project, since this project status update will not result in direct or indirect physical changes of the environment.
Fiscal Impact:
None.
Public Notification:
None.
Attachments:
None.
5 of 6
March 3, 2026, Item #7
Reviewed/ Approved By:
Assistant City Manager
6 of 6
Reviewed By:
Alan Fenstermacher
City Attorney
Chris Haze ine
City Manager
March 3, 2026, Item #7