Agenda packet — Union City City Council, May 26, 2026 (part 4 of 4)

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Union City at a regular meeting held on May 26, 2026, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:

GARY SINGH
Mayor
ATTESTED: APPROVED AS TO FORM:

THAI NAM N. PHAM
City Clerk
KRISTOPHER J. KOKOTAYLO
City Attorney
Attachments:

1. Exhibit A – IPS Update FY26-27 (Red-Line)

2. Exhibit B – IPS Update FY26-27 (Final)
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City of Union City
Investment Policy

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Dated: July 1, 2026 January 1, 2025

CITY OF UNION CITY

INVESTMENT POLICY
Effective Date: January 1, 2025July 1, 2026
Policy Statement
Under authority granted by the City Council, the Finance Director is responsible for investing the surplus funds of the City. The intent of this Investment Policy is to formalize the framework for the investment activities that shall be exercised to ensure the effective and judicious fiscal and investment management of the City’s funds. The City’s portfolio shall be designed and managed in a manner that will provide a market rate of return consistent with the public trust and the prioritized objectives of safety, liquidity and yield.

Governing Authority
The City’s investment program shall be managed in conformance with federal, state and other legal requirements, including California Government Code (Government Code) Sections 16429.1 through 16429.4, and 53600 through 53686 (“State Law”). This Investment Policy is endorsed and adopted by the City Council with an effective date as indicated above. This Investment Policy shall replace all previous versions.

Scope
This Investment Policy applies to all financial assets of the City as accounted for in the annual comprehensive financial statements. Policy statements outlined in this Policy focus on the Cityʹs pooled surplus funds but will also apply to all other funds under the Finance Director’s span of control unless specifically exempted by resolution.

Proceeds arising from the issuance of debt shall be invested in accordance with the provisions of their governing bond documents and in a manner consistent with the City’s general investment philosophy as outlined in this Investment Policy. Retirement, pension funds, deferred compensation funds, and funds invested in irrevocable trusts dedicated to future payment of retirement and post‐employment benefit obligations (“IRS Code Section 115 Trusts”) are also not governed by this Investment Policy, but rather by the policies, trust documents, and federal or State statutes explicitly applicable to such funds.

Objectives
The prioritized objectives of the City’s investment program are to: 1) preserve principal (Safety), 2) ensure sufficient liquidity to meet operational and capital needs (Liquidity), and 3) generate a market rate of return (Return), as described below.
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1) Safety – Safety or preservation of principal is the foremost objective of the investment program. Investments shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio and to mitigate credit risk (the risk of loss due to the failure of the security issuer or backer) and market risk (the risk that the market value of securities in the portfolio will fall due to changes in general interest rates).
2) Liquidity – An adequate percentage of the portfolio should be maintained in liquid short‐term securities which can be converted to cash, if necessary, to meet disbursement requirements that might be reasonably anticipated. Since all possible cash demands cannot be anticipated, the portfolio will consist largely of securities with active secondary or resale markets. A portion of the portfolio may be placed in money market mutual funds or local government investment pools which offer same‐day liquidity for short‐ term funds.
3) Yield or Return on Investment – The Cityʹs investment portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the Cityʹ s investment risk constraints and liquidity needs.

Return on investment is of secondary importance compared to the safety and liquidity objectives described above. The core of the investments is limited to relatively low risk securities in anticipation of earning a fair return relative to the risk being assumed.

Securities shall not be sold prior to maturity, except under the following circumstances:
 Liquidity needs require that the security be sold;
 A security with declining credit may be sold at the first notice of downgrading to minimize the loss of principal;
 A security swap that will improve the quality yield, or target duration in the portfolio.

Managing Portfolio and Investment Risks
Safety of principal is the foremost investment objective of the City. Each investment transaction shall seek to ensure that capital losses are avoided, whether from securities default, broker/dealer default, or erosion of market value. The overall program shall be designed and managed with a degree of professionalism that is worthy of the public trust. In a diversified portfolio, it must be recognized that occasional measured losses are inevitable and must be considered within the context of the overall portfolio’s investment return, provided that adequate diversification has been implemented. The City shall seek to preserve principal by mitigating credit risk and market risk as set forth below. 1260 of 1325
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Investment Policy

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Mitigating Credit Risk
Credit risk is the risk that a security or a portfolio will lose some or all of its value due to a real or perceived change in the ability of the issuer to repay its debt. The City shall seek to mitigate credit risk by adopting the following strategies:
 Adhering to the diversification requirements set forth in the Authorized Securities and Transactions section of this policy which limit the amount of the total portfolio that may be invested in any single issuer.
 Utilizing an active management strategy that allows for the sale of securities prior to their scheduled maturity dates for purposes of improving the portfolio’s credit quality, liquidity, or yield in response to changing market conditions or City circumstances.  Reviewing downgraded securities. Should the credit rating of a security owned by the City be downgraded to a level below that required by this Investment Policy, the City will review the credit situation and determine if such securities should be sold or retained in the portfolio based upon its remaining term to maturity, the credit outlook for the issuer, and other relevant facts and circumstances.  Monitoring any downgraded securities. If the decision is made to retain a downgraded security, it will be closely monitored by the City and reported on quarterly to the City Council.

Mitigating Market Risk
Market risk is the risk that the value of a security or portfolio will fluctuate due to changes in the general level of interest rates. The City understands that while longer‐term portfolios have the potential to generate higher investment returns over time, they also exhibit a greater volatility of return. In addition, the City furtherrecognizes certain types of securities, including variable rate securities, securities with principal paydowns prior to maturity, and securities with embedded call options, will affect the market risk characteristics of the portfolio differently. Accordingly, the City will mitigate market risk by adopting the following strategies:
 The City shall maintain sufficient balances in short‐term investments to provide liquidity for expected and contingent expenditures.
 Liquidity funds shall be maintained in short‐term investments such as LAIF, deposit accounts collateralized in accordance with State Law, and money market funds and instruments with minimal market risk.
 Longer‐term securities shall be scheduled to mature in advance of known expenditure requirements whenever possible.
 The City shall avoid the purchase of securities for the sole purpose of short‐term speculation.
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 The maximum stated final maturity of any security in the portfolio shall be five years, except as otherwise stated in this Investment Policy.
 At least 10% of the portfolio must be invested in securities that mature in less than 1 year.  The maximum percentage of callable securities (excluding securities with “make whole” call provisions) held in the portfolio shall be 30%.  The weighted average duration of the actively managed portion of the portfolio, i.e. non liquidity funds, shall be calculated and maintained at a rate based upon the City’s risk tolerances and investment objectives.

Standard of Care
The standard of prudence to be used by City investment officials shall be the “Prudent Investor Standard” and shall be applied in the context of managing the overall portfolio. As set forth in California Government Code Section 53600.3, the Prudent Investor Standard states:
“…all governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard.

When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency. Within the limitations of this section and considering individual investments as part of an overall strategy, investments may be acquired as authorized by law.”
Consistent with the objectives set forth in this Investment Policy, in addition to safeguarding invested principal and ensuring sufficient liquidity for the City, a prudent investor should also seek to optimize return or yield subject to these constraints.

Ethics and Conflicts of Interest
Investment officials involved in the investment process shall refrain from personal business activities that could conflict with proper execution of the investment program or could impair or create the appearance of an impairment of their ability to make impartial investment decisions. Employees and investment officials shall disclose to the City Manager any business interests they have in financial institutions that conduct business with the City and they shall subordinate their personal investment transactions to those of the City. The Finance Director and his/her designee shallfile a Statement ofEconomic Interests eachyearpursuantto California Government Code Section 87203 and regulations of the Fair Political Practices Commission. 1262 of 1325
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Delegation of Authority
The management responsibility for the Cityʹ s investment program is delegated to the Finance Director. The Finance Director, or his/her designee, shall participate in or conduct investment transactions and manage the operation of the investment portfolio. No person may engage in an investment transaction unless so authorized under the terms of this Investment Policy.

The Finance Director shall develop written administrative procedures and internal controls, consistent with this Investment Policy, forthe operation of the Cityʹs investment program. Such procedures shall be designed to prevent losses of public funds arising from fraud, employee error, misrepresentation by third parties, or imprudent actions by employees of the City.

The City may engage the support services of one or more outside investment advisers in regard to its investment program, so long as it can be clearly demonstrated that these services produce a net financial advantage or necessary financial protection of the Cityʹ s financial resources.

Such external managers may be granted discretion to purchase and sell investment securities in accordance with this Investment Policy. Such managers must be registered under the Investment Advisers Act of 1940.

Authorized Securities and Transactions
All investments and deposits of the City shall be made in accordance with State Law. Any revisions or extensions of applicable code sections in State Law will be assumed to be part of the Investment Policy immediately upon being enacted.

Authorized investments may include:

Investment Type
Maximum
Maturity at
Time of
Purchase
Maximum
Specified % of
Portfolio at Time
of Purchase Minimum Quality Requirements
Municipal bonds and
Obligations
5 years 30% “A” credit rating or higher at time of
purchase
US Treasury obligations 5 years None None
Federal agency obligations 5 years(1) None None
State of California
bonds and
obligations
5 years None None
Bankers’ acceptances 180 days 40%(2) ”A1” credit rating or higher at time of purchase; if the issuer has issued
long‐term debt, it must be rated “A”
without regard to modifiers
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Investment Policy

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Investment Type
Maximum
Maturity at
Time of
Purchase
Maximum
Specified % of
Portfolio at Time
of Purchase Minimum Quality Requirements
Commercial paper 270 397
days
25% of the
agency’s money(3)
“A‐1” credit rating or higher at time of
purchase; if the issuer has issued long‐
term debt, it must be rated “A” without
regard to Modifiers
Negotiable certificates
of deposit
5 years 30% None
All other bank/time
deposits(4)
5 years None None
Repurchase agreements 1 year None(5) None
Reverse repurchase
agreements and
securities lending
agreements
92 days 20% None(6)
Medium‐term
corporate notes
5 years 30% A rating(7)
Mutual funds N/A 20%(8) Multiple(9)
Money market
mutual funds
N/A 20% Multiple(10)
Collateralized bank
deposits
5 years None None
Local government
investment pools
N/A None None
State of California
Local Agency
Investment Fund
(LAIF)
N/A None(11) None
Mortgage or Asset‐
Backed Securities
(ABS)(12)
5 years or less
measured on
a weighted
average life
(WAL) basis
20% “AA” credit rating or its equivalent or
better by a Nationally Recognized
Statistical Rating Organization
(“NRSRO”)
Supranational
Obligations(13)
5 years 30% “AA” credit rating or its equivalent or
better by a NRSRO
Joint Powers
Authority Pools(14)
N/A None Multiple(15)
(1) Maturity of Agency ABS/MBS securities shall be measured by Weighted‐Average‐Life (WAL), which is not to exceed 5 years.
(2) No more than 30% of portfolio or 10% of the surplus funds may be in Bankers’ acceptances of any one commercial bank.
(3) Commercial paper issuers must be U.S. corporations with total assets in excess of $500 million. 1264 of 1325
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Purchases may not represent more than 10% of the outstanding paper of the issuing corporation. (4) This category may also include federally insured time deposits, collateralized time deposits, and certificate of deposit placement services (CDARS).
(5) The collateralization levelrequired forrepurchase agreements will be 102% of market value of principal and accrued interest. The City must have a Master Repurchase Agreement signed with the bank or dealer.
(6) Reverse repurchase agreements must be made with primary dealers of the Federal Reserve Bank of New York and the securities used for the agreements must have been held by the issuer for at least 30 days.
(7) “A” or equivalent rating by at least one Nationally Recognized Statistical Rating Organization (NRSRO).  Split‐ rated corporate bonds are permissible, meaning an investable bond can be rated “A” by one rating agency and “BBB” by another.
(8) No more than 10% of the City’s portfolio or surplus funds may be invested in any one mutual fund. (9) Must receive the highest ranking by two NRSROs or the fund must retain an investment adviser who is registered with the Securities and Exchange Commission (SEC) (or exempt from registration), has assets under management in excess of $500 million, and has at least 5 years of experience investing in instruments authorized by California Government Code Sections 53601 and 53635. (10) Must receive the highest ranking by two NRSROs or the fund must retain an investment adviser who is registered with the SEC (or exempt from registration), has assets under management in excess of $500 million, and has at least 5 years of experience managing money market funds. (11) The maximum amount invested in this category may not exceed the limit set by LAIF for operating accounts. For 2026, that deposit limit is $75 million.
(12)  Issuer must have an A rating or better for the issuer’s debt as provided by one NRSRO. Investments include mortgage pass‐through securities, collateralized mortgage obligations, mortgage‐backed or other pay‐through bonds, equipment lease‐backed certificates, consumer receivable pass‐through certificates, or consumer receivable‐backed bonds.
(13)  United States dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter‐American Development Bank, and eligible for purchase and sale within the United States.
(14)  Shares of beneficial interest issued by a joint powers authority organized pursuant to California Government Code Section 6509.7 that invests in the securities and obligations authorized in subdivisions (a) to (q) of California Government Code Section 53601, inclusive. Each share will represent an equal proportional interest in the underlying pool of securities owned by the joint powers authority.
(15) To be eligible under this section, the joint powers authority issuing the shares will have retained an investment adviser that meets all of the following criteria:  a) The adviser is registered or exempt from registration with the Securities and Exchange Commission; b) The adviser has not less than five years of experience investing in the securities and obligations authorized in subdivisions (a) to (q) California Government Code Section 53601, inclusive, and c) The adviser has assets under management in excess of $500 million.

It is the intent of the City that the foregoing list of authorized securities and transactions is strictly interpreted. However, any investment that subsequently fails to meet the requirements 1265 of 1325
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listed in the table above may be held to maturity if, in the opinion of the Finance Director, it is in the Cityʹs bestinteresttodo so.Ifthe decision is made to retain such a security, it will be closely monitored by the Finance Director and reported to the City Council on a monthly basis. When the investment matures or is liquidated, the proceeds shall be reinvested only as provided by this Investment Policy.

Under Resolution No. 3262‐06, dated October 16, 2006, the City Council authorized the use of any portion of the Cityʹs pooled cash to fund the Employee Housing Assistance Program.

Home loans approved under this program shall be secured by a Deed of Trust and shall bear a variable rate of interest at the same rate as City funds deposited with the Local Agency Investment Fund (LAIF).

Prohibited Investments and Practices
Provided below are certain prohibited investments and investment practices intended to help safeguard invested balances:
 Investments not specifically described as Authorized Securities and Transactions in this Policy are prohibited.
 In accordance with California Government Code Section 53601.6, investments in inverse floaters, range notes, mortgage‐derived interest‐only strips, and any security that could result in zero interest accrual if held to maturity are prohibited.  The purchase or sale of securities on margin is prohibited.  The purchase of securities denominated in foreign currencies is prohibited.  The purchase or sale of securities done solely to speculate on the direction of future interest rates is prohibited.

Any investment currently held that does not meet the guidelines of this policy shall be exempted from the requirements of this policy. At maturity or liquidation, any such monies shall be reinvested only as provided for in this Policy.

Portfolio Maturities and Liquidities
To the extent possible, investments shall be matched with anticipated cash flow requirements and known future liabilities. At least 10% of the portfolio must be invested in securities that mature in less than one year and the City will not invest in securities maturing more than five years from the date of purchase. The weighted average maturity of the investment portfolio shall not be more than three years. Both Agency and Non‐Agency Mortgage‐Backed Securities and Asset‐Backed Securities may be measured by their Weighted‐Average‐Life when determining allowable maturity limits. Reserve funds and other funds with longer‐term investment horizons may be invested in securities exceeding five years if the maturities are made to coincide as nearly as practical with the expected use of funds, and the City Council 1266 of 1325
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has, by resolution, granted authority to make such an investment.

Portfolio Performance
The investment portfolio shall be designed to attain a market rate of return throughout budgetary and economic cycles, taking into account prevailing market conditions, risk constraints for eligible securities and cash flow requirements. The performance of the Cityʹ s investments shall be compared to the average yield on the Local Agency Investment Fund, assuming the State does not adversely affect LAIFʹs returns due to budget constraints.

Selection of Brokers/Dealers
The Finance Director shall maintain a list of broker/dealers approved for investment purposes and it shall be the policy of the City to purchase securities only from those authorized firms.

These may include “primary” dealers or regional dealers that qualify under the Securities and Exchange Commission (“SEC”) Rule 15c3‐1 (uniform net capital rule).

Institutions eligible to transact investment business with the City must be licensed by the State of California as a broker/dealer as defined in Section 25004 of the California Corporations Code and may include:
 Primary Government Dealers as designated by the Federal Reserve Bank;  Regional broker/dealers qualified under SEC Rule 15c3‐1;  National or state‐chartered banks;
 The Federal Reserve Bank; or
 Direct issuers of securities eligible for purchase.

Each authorized broker/dealer shall be required to submit and periodically update a City‐ approved Broker/Dealer Information Request form that includes the firmʹs most recent financial statements. The Finance Director shall maintain a list of the broker/dealers that have been approved by the City, along with each firmʹs most recent broker/dealer Information Request form. Each broker/dealer shall receive a copy of the Investment Policy and a list of those authorized to execute investment transactions. Each firm must acknowledge receipt of such materials to qualify for the approved list of broker/dealers.

The City may purchase commercial paper from direct issuers even though they are not on the approved broker/dealer list as long as the investment meets the criteria set forth in the Authorized Securities and Transactions section of this Investment Policy.

Selection of Banks
The Finance Director shall maintain a list of banks approved to provide depository and other banking services for the City. To be eligible, a bank must be a member of the Federal Deposit 1267 of 1325
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Insurance Corporation (FDIC), must qualify as a depository of public funds in the State of California, as defined in California Government Code Section 53630. 5, and shall secure deposits in excess of FDIC insurance coverage in accordance with California Government Code Section 53652.

Safekeeping and Custody
Third‐Party Safekeeping
To protect against fraud, embezzlement, or losses caused by the collapse of an individual securities dealer and to enhance access to securities and interest payments, all securities owned by the City shall be held in safekeeping by a third‐party bank trust department acting as agent for the City under the terms of a duly executed custody agreement. In connection with the City’s annual independent audit, securities held in custody are audited to verify investment holdings. All exceptions to this safekeeping policy must be approved by the Finance Director in written form and be included in the quarterly reporting to the City Council.

Delivery‐Versus‐Payment
All trades of marketable securities shall be cleared and settled on a standard delivery‐versus‐ payment (“DVP”) basis to ensure that securities are deposited in the City’s safekeeping account prior to the release of funds.

Internal Controls
The Finance Director is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the City are protected from loss, theft or misuse.

The internal control structure shall be designed to provide reasonable assurance that these objectives are met. The concept of reasonable assurance recognizes that the cost of a control should not exceed the benefits likely to be derived and the valuation of costs and benefits requires estimates and judgments by management.

Accordingly, the Finance Director shall establish a process for an annual independent review by an external auditor to assure compliance with policies and procedures. The internal control shall address the following points:
 Control of collusion;
 Separation of transaction authority from accounting and recordkeeping;  Custodial safekeeping;
 Avoidance of physical delivery of securities;
 Clear delegation of authority to subordinate staff members;  Written confirmation of transactions for investment and wire transactions; and  Development of a wire transfer agreement with the lead bank and third‐party custodian.
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Reporting
The Finance Director shall submit investment reports quarterly to the City Council which should include a list of the portfolio’s holdings by investment asset class, name of institution, purchase date, maturity date, call date, par value, amount of deposit or cost of security, amortized book value, current market value of securities, coupon and effective yield. In addition, the report will indicate the portfolio’s duration, total weighted average maturity and yield. The report will be signed and mandated in compliance with California Government Code Sections 53607 and 53646.

Weighted‐Average‐Life (WAL)
The weighted‐average‐life (WAL) of each structured security shall be monitored on an ongoing basis to ensure compliance with the individual 5‐year WAL limitation. WAL measures the average length of time for anticipated principal repayments and serves as a primary metric for evaluating interest rate risk, prepayment risk, and extension risk, calculated using proprietary models that incorporate security‐level assumptions and macroeconomic inputs. All WAL data shall be maintained forrecord‐keeping purposes. Securities with a WAL greaterthan four years shall be monitored monthly for reporting trends, and any security with a WAL greater than five years shall be flagged for immediate review to determine whether the security shall be held or liquidated based on prevailing risk and market conditions.

Investment Earnings
With the exception of monies held in certain restricted and special funds, the City commingles its investable assets to maximize interest earnings and to increase efficiencies with respect to investment pricing, safekeeping, and administration. Investment income will be allocated to the various funds based on their respective percentage of participation in the total fund and in accordance with generally accepted accounting principles and State Law.

Policy Review
The City of Union Cityʹs Investment Policy shall be adopted by City Council resolution. It shall be reviewed at least annually by the Finance Director to ensure its consistency with the Cityʹs overall investment objectives and its relevance to current law and economic trends. The Investment Policy, including any recommended amendments, shall be submitted to City Council annually for approval and adoption by resolution. 1269 of 1325
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Dated: July 1, 2026

CITY OF UNION CITY

INVESTMENT POLICY
Effective Date: July 1, 2026
Policy Statement
Under authority granted by the City Council, the Finance Director is responsible for investing the surplus funds of the City. The intent of this Investment Policy is to formalize the framework for the investment activities that shall be exercised to ensure the effective and judicious fiscal and investment management of the City’s funds. The City’s portfolio shall be designed and managed in a manner that will provide a market rate of return consistent with the public trust and the prioritized objectives of safety, liquidity and yield.

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1) Safety – Safety or preservation of principal is the foremost objective of the investment program. Investments shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio and to mitigate credit risk (the risk of loss due to the failure of the security issuer or backer) and market risk (the risk that the market value of securities in the portfolio will fall due to changes in general interest rates).
2) Liquidity – An adequate percentage of the portfolio should be maintained in liquid short‐term securities which can be converted to cash, if necessary, to meet disbursement requirements that might be reasonably anticipated. Since all possible cash demands cannot be anticipated, the portfolio will consist largely of securities with active secondary or resale markets. A portion of the portfolio may be placed in money market mutual funds or local government investment pools which offer same‐day liquidity for short‐ term funds.
3) Yield or Return on Investment – The Cityʹs investment portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the Cityʹ s investment risk constraints and liquidity needs.

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Mitigating Credit Risk
Credit risk is the risk that a security or a portfolio will lose some or all of its value due to a real or perceived change in the ability of the issuer to repay its debt. The City shall seek to mitigate credit risk by adopting the following strategies:
 Adhering to the diversification requirements set forth in the Authorized Securities and Transactions section of this policy which limit the amount of the total portfolio that may be invested in any single issuer.
 Utilizing an active management strategy that allows for the sale of securities prior to their scheduled maturity dates for purposes of improving the portfolio’s credit quality, liquidity, or yield in response to changing market conditions or City circumstances.  Reviewing downgraded securities. Should the credit rating of a security owned by the City be downgraded to a level below that required by this Investment Policy, the City will review the credit situation and determine if such securities should be sold or retained in the portfolio based upon its remaining term to maturity, the credit outlook for the issuer, and other relevant facts and circumstances.  Monitoring any downgraded securities. If the decision is made to retain a downgraded security, it will be closely monitored by the City and reported on quarterly to the City Council.

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 The maximum stated final maturity of any security in the portfolio shall be five years, except as otherwise stated in this Investment Policy.
 At least 10% of the portfolio must be invested in securities that mature in less than 1 year.  The maximum percentage of callable securities (excluding securities with “make whole” call provisions) held in the portfolio shall be 30%.  The weighted average duration of the actively managed portion of the portfolio, i.e. non liquidity funds, shall be calculated and maintained at a rate based upon the City’s risk tolerances and investment objectives.

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Delegation of Authority
The management responsibility for the Cityʹ s investment program is delegated to the Finance Director. The Finance Director, or his/her designee, shall participate in or conduct investment transactions and manage the operation of the investment portfolio. No person may engage in an investment transaction unless so authorized under the terms of this Investment Policy.

Authorized investments may include:

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Investment Type
Maximum
Maturity at
Time of
Purchase
Maximum
Specified % of
Portfolio at Time
of Purchase Minimum Quality Requirements
Commercial paper 397 days 25% of the
agency’s money(3)
“A‐1” credit rating or higher at time of
purchase; if the issuer has issued long‐
term debt, it must be rated “A” without
regard to Modifiers
Negotiable certificates
of deposit
5 years 30% None
All other bank/time
deposits(4)
5 years None None
Repurchase agreements 1 year None(5) None
Reverse repurchase
agreements and
securities lending
agreements
92 days 20% None(6)
Medium‐term
corporate notes
5 years 30% A rating(7)
Mutual funds N/A 20%(8) Multiple(9)
Money market
mutual funds
N/A 20% Multiple(10)
Collateralized bank
deposits
5 years None None
Local government
investment pools
N/A None None
State of California
Local Agency
Investment Fund
(LAIF)
N/A None(11) None
Mortgage or Asset‐
Backed Securities
(ABS)(12)
5 years or less
measured on
a weighted
average life
(WAL) basis
20% “AA” credit rating or its equivalent or
better by a Nationally Recognized
Statistical Rating Organization
(“NRSRO”)
Supranational
Obligations(13)
5 years 30% “AA” credit rating or its equivalent or
better by a NRSRO
Joint Powers
Authority Pools(14)
N/A None Multiple(15)
(1) Maturity of Agency ABS/MBS securities shall be measured by Weighted‐Average‐Life (WAL), which is not to exceed 5 years.
(2) No more than 30% of portfolio or 10% of the surplus funds may be in Bankers’ acceptances of any one commercial bank.
(3) Commercial paper issuers must be U.S. corporations with total assets in excess of $500 million. 1275 of 1325
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Purchases may not represent more than 10% of the outstanding paper of the issuing corporation. (4) This category may also include federally insured time deposits, collateralized time deposits, and certificate of deposit placement services (CDARS).
(5) The collateralization levelrequired forrepurchase agreements will be 102% of market value of principal and accrued interest. The City must have a Master Repurchase Agreement signed with the bank or dealer.
(6) Reverse repurchase agreements must be made with primary dealers of the Federal Reserve Bank of New York and the securities used for the agreements must have been held by the issuer for at least 30 days.
(7) “A” or equivalent rating by at least one Nationally Recognized Statistical Rating Organization (NRSRO).  Split‐ rated corporate bonds are permissible, meaning an investable bond can be rated “A” by one rating agency and “BBB” by another.
(8) No more than 10% of the City’s portfolio or surplus funds may be invested in any one mutual fund. (9) Must receive the highest ranking by two NRSROs or the fund must retain an investment adviser who is registered with the Securities and Exchange Commission (SEC) (or exempt from registration), has assets under management in excess of $500 million, and has at least 5 years of experience investing in instruments authorized by California Government Code Sections 53601 and 53635. (10) Must receive the highest ranking by two NRSROs or the fund must retain an investment adviser who is registered with the SEC (or exempt from registration), has assets under management in excess of $500 million, and has at least 5 years of experience managing money market funds. (11) The maximum amount invested in this category may not exceed the limit set by LAIF for operating accounts. For 2026, that deposit limit is $75 million.
(12)  Issuer must have an A rating or better for the issuer’s debt as provided by one NRSRO. Investments include mortgage pass‐through securities, collateralized mortgage obligations, mortgage‐backed or other pay‐through bonds, equipment lease‐backed certificates, consumer receivable pass‐through certificates, or consumer receivable‐backed bonds.
(13)  United States dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter‐American Development Bank, and eligible for purchase and sale within the United States.
(14)  Shares of beneficial interest issued by a joint powers authority organized pursuant to California Government Code Section 6509.7 that invests in the securities and obligations authorized in subdivisions (a) to (q) of California Government Code Section 53601, inclusive. Each share will represent an equal proportional interest in the underlying pool of securities owned by the joint powers authority.
(15) To be eligible under this section, the joint powers authority issuing the shares will have retained an investment adviser that meets all of the following criteria:  a) The adviser is registered or exempt from registration with the Securities and Exchange Commission; b) The adviser has not less than five years of experience investing in the securities and obligations authorized in subdivisions (a) to (q) California Government Code Section 53601, inclusive, and c) The adviser has assets under management in excess of $500 million.

Page 8 ends

Dated: July 1, 2026
listed in the table above may be held to maturity if, in the opinion of the Finance Director, it is in the Cityʹs bestinteresttodo so.Ifthe decision is made to retain such a security, it will be closely monitored by the Finance Director and reported to the City Council on a monthly basis. When the investment matures or is liquidated, the proceeds shall be reinvested only as provided by this Investment Policy.

Under Resolution No. 3262‐06, dated October 16, 2006, the City Council authorized the use of any portion of the Cityʹs pooled cash to fund the Employee Housing Assistance Program.

Page 9 ends

Dated: July 1, 2026
has, by resolution, granted authority to make such an investment.

These may include “primary” dealers or regional dealers that qualify under the Securities and Exchange Commission (“SEC”) Rule 15c3‐1 (uniform net capital rule).

Page 10 ends

Dated: July 1, 2026
Insurance Corporation (FDIC), must qualify as a depository of public funds in the State of California, as defined in California Government Code Section 53630. 5, and shall secure deposits in excess of FDIC insurance coverage in accordance with California Government Code Section 53652.

Page 11 ends

Dated: July 1, 2026
Reporting
The Finance Director shall submit investment reports quarterly to the City Council which should include a list of the portfolio’s holdings by investment asset class, name of institution, purchase date, maturity date, call date, par value, amount of deposit or cost of security, amortized book value, current market value of securities, coupon and effective yield. In addition, the report will indicate the portfolio’s duration, total weighted average maturity and yield. The report will be signed and mandated in compliance with California Government Code Sections 53607 and 53646.

Investment Policy for FY 2026-2027
May 26, 2026
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2 How are City Financial Assets
Managed?
Staff Managed – Leave funds in City bank account, LAIF & other trust funds, laddered CD’s.

Investment Advisor/Portfolio Manager – Maximize
accountability, compliance and investment yield
• Best suited for smaller agencies with limited staffing resources • Recommend safe investments and monitors investment policy compliance
• City currently using Shuster Advisory Group who serves 100+ agencies, including Lafayette, Palo Alto and Los Gatos. 1282 of 1325
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City of Union City
Investment Policy
Update
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Cities and Towns We Proudly Serve
The cities and agencies listed above do not expressly recommend Shuster Advisory Group, a HUB International Company.

American Canyon Commerce Jurupa Valley Montebello Pismo Beach Sausalito Arcadia Covina Laguna Hills Monterey Park Placentia Sebastopol Artesia Downey La Mirada Moraga Pleasant Hill Scotts Valley Azusa Eastvale La Palma Moreno Valley Rancho Cordova Signal Hill Baldwin Park El Segundo La Quinta Morgan Hill Rancho Mirage South Gate Bell Emeryville La Verne Norwalk Rancho Palos Verdes South Pasadena Bell Gardens Fontana Lafayette Oakley Redlands Stanton
Bellflower Fullerton Lakeport Ontario Rialto Stockton
Beverly Hills Gardena Lakewood Orange Riverside Temecula Canyon Lake Glendora Lancaster Oxnard San Bernardino Union City Carson Hemet Lomita Palmdale San Dimas Upland
Cathedral City Hermosa Beach Lompoc Palm Desert San Fernando Vernon Chino Hesperia Los Altos Palo Alto San Juan Capistrano Walnut Claremont Huntington Park Los Gatos Paramount San Luis Obispo Whittier Clovis Indian Wells Lynwood Perris San Pablo Wildomar
Colton Inglewood Manhattan Beach Pico Rivera Santa Fe Springs Yucaipa 1284 of 1325
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Public Agencies We Proudly Serve
Antelope Valley Medical Center Midway City Sanitation District Buena Vista Water Storage District Mountains Recreation & Conservation Authority (MRCA) Chino Valley Fire District Ohio County Employees Retirement Plan (OCERP) Conejo Recreation & Park District (CRPD) Ontario International Airport Authority County Commissioners’ Association of Ohio (CCAO) Orange County Fire Authority (OCFA) County of Modoc Regional Center of the East Bay
First Public Hydrogen Authority San Bernardino Water District Greater Los Angeles County Vector Control District (GLACVCD) South Bay Regional Public Communications Authority Hesperia Fire Protection District Three Valleys Municipal Water District Hesperia Water District Trinity County Waterworks
Little Lake Fire Protection District Valley-Wide Recreation & Park District Madera Irrigation District West Valley Water District
The cities and agencies listed above do not expressly recommend Shuster Advisory Group, a HUB International Company. 1285 of 1325
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Shuster Advisory Group
• Shuster Advisory Group, LLC (“Shuster”) is an independent SEC-Registered Investment Advisor with over $11 billion in assets under management. • As a Fiduciary, Shuster specializes in serving the unique investment needs of governmental agencies, special districts, and institutional clients, including more than 120 cities and public entities. • Shuster Advisory Group provides Fiduciary services for the City’s 457(b) plan, 115 Trust investments, and Cash investment assets, which include reviewing and recommending revisions to the City’s Investment Policy. • Mark Shuster, Founder and Managing Partner at Shuster Advisory Group, LLC, along with members of the Shuster team, has worked closely with City staff through regular meetings to review and evaluate the City's investment portfolio, including discussion on updating the City’s Policy and any recommended changes to the Policy.
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Powers and Duties Common To Cities,
Counties And Other Agencies
CA GOVT CODE §53600.3.

All governing bodies of local agencies or persons authorized to make investment decisions on behalf of those local agencies investing public funds pursuant to this chapter are trustees and therefore fiduciaries subject to the prudent investor standard.

When investing, reinvesting, purchasing, acquiring, exchanging, selling or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency.
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Why Update the Investment Policy?
• The City has an Investment Policy that governs cash, treasury, and investment management functions.
• The California Local Agency Investment Guidelines and California Code Section 53601 (“53601”) are updated every year, though oftentimes the updates are minor.
• An annual review of the Investment Policy is good fiscal practice to ensure a City remains compliant with 53601 and reflects the latest version of 53601.
• The current Investment Policy Statement remains compliant with California Government Code Section §53601.
• However, updates to the Code in recent years have expanded investment flexibility for local agencies while preserving the core principles of safety, liquidity, and return.
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What are the Proposed Changes?
a) Clarifying the maturity of agency asset-backed and mortgage-backed securities to be measured by Weighted-Average-Life (WAL), which is not to exceed 5 years, pursuant to CA Code §53601(o).
b) Increasing the maximum allowable maturity for commercial paper to 397 days, pursuant to CA Code §53601(h).
c) Setting the maximum portfolio allowance for bankers’ acceptances in any one commercial bank to 30%, pursuant to CA Code §53601(g).
d) Clarifying that the current maximum allowance for any LAIF account is $75 million.
e) Enhancing the reporting data inputs for more informative monitoring of the Fixed Income portfolio's exposures and risk across security type. f) The recommended threshold limit updates above reflect the latest allowable limits within CA Code 53601. While these limits may not be fully utilized, it's important to maintain flexibility given dynamic market conditions. 1289 of 1325
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Thank you
© 2026 HUB International Limited.

Unless otherwise stated,all information, including fees and interest rates, is gatheredfrom the Agency or publicly available sources.

Past performanceis no guaranteeof future results.

HUB Retirement and Private Wealthemployees are affiliated with and offer Securities and Advisory services through various Broker Dealers and Registered Investment Advisers, some of whom may or may not be affiliated with HUB International. HUB Internationalowns the following Registered Investment Advisers: HUB Investment Partners; HUB Investment Advisors; Global Retirement Partners, LLC; RPA Financial; and Taylor Advisors.

Additional information for each individual HUB International RegisteredInvestment Advisor may be foundin the respective Form ADV available on the SEC’s IAPD website at https://adviserinfo.sec.gov.Insuranceservices are offeredthrough HUB International. 1290 of 1325
City Council Staff Report Page 1 of 3 May 26, 2026
Staff Report
Agenda Item No. 6.4
DATE: May 26, 2026
TO: Honorable Mayor and Members of the City Council
FROM: Joan Malloy, City Manager
SUBJECT: Receive the Quarterly Investment Report as of April 30, 2026

EXECUTIVE SUMMARY
Staff recommends that the City Council receive the Quarterly Investment Report presentation as of April 30, 2026.

STRATEGIC PLAN ALIGNMENT
This staff report aligns with Goal A: Financial Stability and Sustainability.

BACKGROUND
The City’s Cash Investment Portfolio assets are governed by the California Government Code (“CA Code”) as found in the California Local Agency Investment Guidelines. As a fundamental principle, CA Code Section 53600.3 states that a City is the ultimate Fiduciary on all public funds subject to the prudent investor standard. Further, CA Code Section 53601 specifies the allowable investments that a City may purchase to achieve the ultimate goals of safety, liquidity, and yield. While risk is inherent throughout the investment process, the CA Code is meant to provide a structural framework within which City officials may construct their Cash Investment Portfolios.

In May 2025, after a review of the overall Cash Investment Portfolio allocation and fees, it was determined that increased yields and fee savings can be achieved by adopting Shuster Advisory Group’s (“Shuster”) recommendation to reallocate the Cash Investment Portfolio, without sacrificing the ultimate goals of safety and liquidity. Shuster is the same firm that took over fiduciary responsibilities of the employee’s 457(b) deferred compensation plan and 401(a) plan in 2022, and the Section 115 Trust program in 2024.

As a fiduciary for the City, Shuster has evaluated the City’s Cash Investment Portfolio to identify opportunities for reallocation between General Cash, LAIF, CLASS, and its Fixed Income investments. As of April 30, 2026, the City’s Cash Investment Portfolio totaled $89,898,998, with approximately $8.8 million in General Cash, $10 million in LAIF, $45.1k in CLASS, and $71.1 million in Fixed Income investments. 1291 of 1325
Agenda Item No. 6.4
City Council Staff Report Page 2 of 3 May 26, 2026

DISCUSSION
The City’s Investment Portfolio complies with CA Code Section 53601, and there is sufficient cash flow from liquid and maturing securities, bank deposits, and investment income to meet the City’s expenditure requirements.

Description of Investment Type:
• US Treasury Instruments – These include United States Treasury notes, bonds, bills, or certificates of indebtedness, or those for which the faith and credit of the United States are pledged for the payment of principal and interest. There is no limit on the percentage of the City's portfolio that may be invested in this category (no cap). The current market value is $16.7 million (18.58%).
• State Local Agency Investment Fund (LAIF) – State program created by statute that offers local agencies the opportunity to participate in a major portfolio using the investment expertise of the State Treasurer’s office. The City policy states that the maximum investment amount permitted by California state law for LAIF accounts is $75 million. The current market value is $10 millon (11.12%). • California Cooperative Liquid Assets Securities System (CLASS) – Joint exercise of powers entity authorized under CA Code Section 6509.7. California CLASS is a pooled investment option created through a joint exercise of powers agreement among California public agencies. California CLASS provides California public agencies with a convenient method for investing in high-quality, short- to medium-term securities carefully selected to optimize interest earnings while prioritizing safety and liquidity. There is no maximum amount (cap) in the City policy for investing in CLASS accounts. The current market value is $45,000 (0.05%).
• Asset-Backed securities & Collateralized Mortgage Obligations (CMOs) – These include a mortgage passthrough security, collateralized mortgage obligation, mortgage- backed or other pay-through bond, equipment lease-backed certificate, consumer receivable passthrough certificate, or consumer receivable-backed bond with a maximum remaining maturity of five years or less as measured by WeightedAverage Life (WAL). City limit is 20% of portfolio ($89.9 million x 20% = $18 million).

The current market value is $5.9 million (6.59%).
• Federal Agency Securities – These include the purchase of debt securities issued by either a U.S. federal agency (such as Federal Housing Administration (FHA), Small Business Administration (SBA), Government National Mortgage Association (GNMA) – “Ginnie Mae,” or a government-sponsored enterprise (GSE) such as Fannie Mae, Freddie Mac, or the Federal Home Loan Bank (FHLB). There is no maximum amount (cap) in the City policy for investing in federal agency issues coupons. The current market value is $19.4 million (21.63%).
• City Cash – Liquid cash held in the City’s operating checking account with Fremont Bank. City policy has no maximum. The current market value is $8.8 million (9.76%). • Schwab Cash – Liquid cash received from investment maturities or interest within the Bond Portfolio. There is no maximum amount in the City policy. The current market value is $29,100 (0.03%).
• Certificates of Deposit – Negotiable certificates of deposit offered by nationally or state-chartered banks and credit unions offering a fixed interest rate for a specific 1292 of 1325
Agenda Item No. 6.4
City Council Staff Report Page 3 of 3 May 26, 2026
period of time (guaranteed interest rate). The City policy states that the maximum investment amount is 30% of the City’s portfolio ($89.9 million x 30% = $27 million).

The current market value is $7 million (7.75%).
• Municipal Bonds – Registered state warrants or treasury notes or bonds of the State of California, or local agencies within this state, including bonds payable solely out of the revenues from a revenue-producing property owned, controlled, or operated by the state or by a department, board, agency, or authority of the state. Registered treasury notes or bonds of any of the other 49 states, in addition to California, including bonds payable solely out of the revenues from a revenue-producing property owned, controlled, or operated by a state or by a department, board, agency, or authority of any of the other 49 states, in addition to California. The City policy states that the maximum investment amount is 30% of the City’s portfolio ($89.9 million x 30% = $27 million). The current market value is $0 (0%).
• Corporate or Medium-Term Notes – These include corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating within the United States or by depository institutions licensed by the United States or any state and operating within the United States. The City policy states that the maximum investment amount is 30% of the City’s portfolio ($319.5 million x 30% = $95.9 million). The current market value is $22 million (24.48%).

FISCAL IMPACT
There is no fiscal impact.

RECOMMENDATION
Staff recommends that the City Council receive the Quarterly Investment Report presentation as of April 30, 2026.

Prepared by: Chu Thai, Finance Director
Submitted by: Chu Thai, Finance Director
Attachments

1. Quarterly Investment Report As of April 30, 2026
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Monthly Financial
Report
As of 4/30/2026
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City of Union City
Portfolio Summary
As of Date: 4/30/2026
Account # x8178 & x4645
Union City Portfolio Market Value
3/31/2026
Avg YTM %
3/31/2026
Avg Eff. Duration
3/31/2026
% of Portfolio
3/31/2026
Market Value
4/30/2026
Avg YTM %
4/30/2026
Avg Eff. Duration
4/30/2026
% of Portfolio
4/30/2026 Policy Limit
City Cash $9,571,370.85 N/A N/A 11.89 $8,775,826.81 N/A N/A 9.76 None Schwab Cash $126,717.05 N/A N/A 0.16 $29,127.89 N/A N/A 0.03 None LAIF $1,019.21 3.82 0.00 0.001 $10,001,028.95 3.81 0.00 11.12 $75 million CLASS $44,974.98 3.70 0.00 0.06 $45,111.45 3.69 0.00 0.05 None US Treasury $16,140,474.16 3.83 2.74 20.04 $16,704,721.90 3.95 3.10 18.58 None Agency Securities $19,677,211.45 4.10 1.87 24.43 $19,449,345.56 4.16 1.81 21.63 None Corporate Bonds $21,987,105.94 4.49 2.72 27.30 $22,006,181.74 4.56 2.66 24.48 30% CMO/ABS $6,006,980.34 4.30 1.91 7.46 $5,923,911.30 4.34 1.84 6.59 20% Certificates of Deposit $6,973,625.80 4.34 N/A 8.66 $6,963,742.82 4.34 N/A 7.75 30% Total / Average $80,529,479.78 4.20 2.39 100.00 $89,898,998.42 4.21 2.11 100.00 Portfolio Allocation
Historical Bond YTM & Market Value Total Investment Holdings as of 4/30/2026 - $80.5M Market Commentary Global financial markets experienced a dramatic reversal during April, as a powerful equity rally more than offset the losses of a turbulent first quarter. The S&P 500 Index surged more than 10% in April, its strongest monthly gain since November 2020, lifting the index roughly 5% above its year-end 2025 level. The rally was driven by better-than-expected corporate earnings, tentative ceasefire developments in the Middle East, and a historic 17.5% advance in the technology sector. Meanwhile, the 10-year U.S.

Treasury yield edged higher to 4.39% as rising inflation expectations weighed on bond prices.

The Federal Reserve held rates steady at 3.50% - 3.75% for a third consecutive meeting, with four dissents, the most since 1992, reflecting deep division over the policy path. The Senate confirmed Kevin Warsh as the next Fed Chair, adding uncertainty to the monetary outlook. With headline inflation running at 3.8% and core CPI at 2.8%, the current environment continues to offer attractive yields from high-quality bonds even as rate cut expectations have faded.

Despite surging energy costs and ongoing geopolitical conflict, growth fundamentals remain broadly intact. U.S. GDP grew at

2.0% in the first quarter, S&P 500 profit margins reached a record

14.7%, and major technology firms have committed over $700 billion in capital investment for 2026, underscoring continued corporate resilience.
$80.4M
$81.3M
$77.7M
$71.8M
$66.7M
$63.0M
$63.1M
$64.1M
$63.9M
$64.1M

4.32%

4.07%

4.01%

4.02%

3.94%

3.90%

3.93%

3.79%

4.18%

4.26%
Jul 2025 Aug 2025
Sep 2025 Oct 2025 Nov 2025 Dec 2025
Jan 2026
Feb 2026 Mar 2026 Apr 2026
Market Value YTM
City Cash

9.76%
Schwab Cash

0.03% LAIF 11.12%
CLASS 0.05%
US Treasury 18.58%
Agency Securities 21.63%
Corporate Bonds 24.48%
CMO/ABS 6.59%
Certificates of Deposit 7.75%
2 1295 of 1325
City of Union City 1
53601 Cash Portfolio
As of Date: 4/30/2026
Account # x8178 & x4645
Symbol/CUSIP Security Name Par Value Coupon Rate
Moody's/
S&P/Fitch
Rating 2,3
Purchase Date Maturity/
Called Date
Weighted
Average Life
Days to
Maturity
Yield to
Maturity 2
Adjusted
Cost Basis Market Value
CASH
CASH Cash $ 29,127.89 N/A N/A N/A $ 29,127.89 $ 29,127.89 CHK Checking $ 8,775,826.81 0.00 N/A 0.00% $ 8,775,826.81 $ 8,775,826.81 LAIF LAIF $ 10,001,028.95 0.67 N/A 3.81% $ 10,001,028.95 $ 10,001,028.95 CLASS CLASS $ 45,111.45 0.09 N/A 3.69% $ 45,111.45 $ 45,111.45 $ 18,851,095.10 $ 18,851,095.10 $ 18,851,095.10
CDs
37892MAE4 GLOBAL FEDERAL CREDI 4.65% CD 05/12/2026 $ 249,000.00 4.650% N/R 5/3/2023 5/12/2026 N/A 12 4.65% $ 249,000.00 $ 249,068.23 07371C6Z7 BEAL BANK USA 2.95% CD 06/10/2026 $ 246,000.00 2.950% N/R 6/2/2022 6/10/2026 N/A 41 2.95% $ 246,000.00 $ 245,751.29 32026U3Z7 FIRST FOUNDATION BAN 4.7% CD 06/12/2026 $ 244,000.00 4.700% N/R 12/5/2023 6/12/2026 N/A 43 4.70% $ 244,000.00 $ 244,234.73 78577TNG6 SACO & BIDDEFORD SAV 4.25% CD 06/22/2026 $ 244,000.00 4.250% N/R 12/18/2023 6/22/2026 N/A 53 4.25% $ 244,000.00 $ 244,133.47 89235MLD1 TOYOTA FINL SAVINGS NV 0.95% CD 07/22/2026 $ 248,000.00 0.950% N/R 7/13/2021 7/22/2026 N/A 83 0.95% $ 248,000.00 $ 246,389.98 43942MAB8 HOPE FEDERAL CREDIT 4.5% CD 08/10/2026 $ 249,000.00 4.500% N/R 7/30/2024 8/10/2026 N/A 102 4.50% $ 249,000.00 $ 249,496.01 419700AG4 HAWAII CENTRAL FEDER 5.5% CD 10/27/2026 $ 248,000.00 5.500% N/R 10/18/2023 10/27/2026 N/A 180 5.50% $ 248,000.00 $ 250,068.32 052392CC9 AUSTIN TELCO FEDERAL 5.05% CD 11/27/2026 $ 248,000.00 5.050% N/R 11/15/2022 11/27/2026 N/A 211 5.05% $ 248,000.00 $ 249,794.78 45906ADX2 INTERNTNL BANK OF CH 4% CD 12/28/2026 $ 249,000.00 4.000% N/R 12/18/2023 12/28/2026 N/A 242 4.00% $ 249,000.00 $ 249,337.64 61690DLV8 MORGAN STANLEY BANK, UT 4.65% CD 03/08/2027 $ 244,000.00 4.650% N/R 2/29/2024 3/8/2027 N/A 312 4.65% $ 244,000.00 $ 245,588.44 61768ET37 MORGAN STANLEY PRIVA NY 4.65% CD 03/08/2027 $ 244,000.00 4.650% N/R 2/29/2024 3/8/2027 N/A 312 4.65% $ 244,000.00 $ 245,588.44 05580AY40 BMW BANK OF NORTH AM UT 4.5% CD 04/14/2027 $ 244,000.00 4.500% N/R 4/10/2023 4/14/2027 N/A 349 4.50% $ 244,000.00 $ 245,462.78 73317ADA7 POPULAR BANK NY 4.8% CD 05/10/2027 $ 247,000.00 4.800% N/R 5/2/2024 5/10/2027 N/A 375 4.80% $ 247,000.00 $ 249,402.32 78413RAT4 RIZE FEDERAL CREDIT 4.9% CD 06/17/2027 $ 248,000.00 4.900% N/R 6/11/2024 6/17/2027 N/A 413 4.90% $ 248,000.00 $ 250,991.87 254673L38 CAPITAL ONE NATL ASS DE 3.4% CD 07/06/2027 $ 245,000.00 3.400% N/R 7/8/2022 7/6/2027 N/A 432 3.40% $ 245,000.00 $ 243,750.26 62384RAN6 MOUNTAIN AMERICA FED 3.6% CD 09/21/2027 $ 249,000.00 3.600% N/R 9/9/2022 9/21/2027 N/A 509 3.60% $ 249,000.00 $ 248,346.13 02007G3R2 ALLY BANK UT 3.75% CD 09/27/2027 $ 245,000.00 3.750% N/R 10/4/2024 9/27/2027 N/A 515 3.75% $ 245,000.00 $ 244,715.31 83088XAP3 SKYONE FEDERAL CREDI 3.75% CD 10/12/2027 $ 249,000.00 3.750% N/R 10/4/2024 10/12/2027 N/A 530 3.75% $ 249,000.00 $ 248,841.39 949764JN5 WELLS FARGO BANK, NT SD 4.55% CD 12/13/2027 $ 249,000.00 4.550% N/R 12/5/2023 12/13/2027 N/A 592 4.55% $ 249,000.00 $ 251,972.81 82671DAB3 SIGNATURE FEDERAL CR 4.4% CD 01/31/2028 $ 249,000.00 4.400% N/R 1/17/2023 1/31/2028 N/A 641 4.40% $ 249,000.00 $ 251,612.26 67054NBJ1 NUMERICA CREDIT UNIO 4.7% CD 05/30/2028 $ 249,000.00 4.700% N/R 5/24/2023 5/30/2028 N/A 761 4.70% $ 249,000.00 $ 253,516.11 25844MBB3 DORT FINL CREDIT UNI 4.5% CD 06/20/2028 $ 247,000.00 4.500% N/R 6/9/2023 6/20/2028 N/A 782 4.50% $ 247,000.00 $ 246,047.82 52171MAL9 LEADERS CREDIT UNION 5% CD 08/30/2028 $ 248,000.00 5.000% N/R 8/1/2023 8/30/2028 N/A 853 5.00% $ 248,000.00 $ 254,585.14 291916AB0 EMPOWER FEDERAL CRED 5.1% CD 09/29/2028 $ 248,000.00 5.100% N/R 10/4/2023 9/29/2028 N/A 883 5.10% $ 248,000.00 $ 255,362.87 77357DAB4 ROCKLAND FEDERAL CRE 5% CD 11/30/2028 $ 248,000.00 5.000% N/R 11/27/2023 11/30/2028 N/A 945 5.00% $ 248,000.00 $ 255,153.56 38150VTS8 GOLDMAN SACHS BANK U NY 4.5% CD 05/07/2029 $ 244,000.00 4.500% N/R 5/2/2024 5/7/2029 N/A 1103 4.50% $ 244,000.00 $ 248,146.29 23204HPL6 CUSTOMERS BANK PA 4.7% CD 06/11/2029 $ 244,000.00 4.700% N/R 6/5/2024 6/11/2029 N/A 1138 4.70% $ 244,000.00 $ 249,607.61 795451DP5 SALLIE MAE BANK UT 4.3% CD 07/31/2029 $ 244,000.00 4.300% N/R 7/30/2024 7/31/2029 N/A 1188 4.30% $ 244,000.00 $ 246,776.96 $ 6,910,000.00 488 4.34% $ 6,910,000.00 $ 6,963,742.82
US Treasury
91282CGT2 US TREASURY 3.625% 03/31/2028 $ 3,200,000.00 3.625% Aa1 12/19/2023 3/31/2028 1.92 701 3.89% $ 3,190,928.94 $ 3,184,374.72 91282CHK0 US TREASURY 4% 06/30/2028 $ 1,700,000.00 4.000% Aa1 12/13/2023 6/30/2028 2.17 792 3.89% $ 1,692,310.90 $ 1,703,917.82 91282CJA0 US TREASURY 4.625% 09/30/2028 $ 2,400,000.00 4.625% Aa1 12/19/2023 9/30/2028 2.42 884 3.90% $ 2,445,233.04 $ 2,439,937.44 91282CMA6 US TREASURY 4.125% 11/30/2029 $ 1,350,000.00 4.125% Aa1 8/1/2025 11/30/2029 3.58 1310 3.95% $ 1,362,772.41 $ 1,357,699.19 91282CNG2 US TREASURY 4% 05/31/2030 $ 1,750,000.00 4.000% Aa1 8/1/2025 5/31/2030 4.08 1492 3.98% $ 1,751,944.62 $ 1,751,093.75 91282CNN7 US TREASURY 3.875% 07/31/2030 $ 2,200,000.00 3.875% Aa1 8/1/2025 7/31/2030 4.25 1553 3.99% $ 2,193,317.27 $ 2,190,031.14 91282CPR6 US TREASURY 3.625% 12/31/2030 $ 2,100,000.00 3.625% Aa1 1/7/2026 12/31/2030 4.67 1706 4.01% $ 2,093,447.50 $ 2,065,956.90 91282CQG9 US TREASURY 3.875% 03/31/2031 $ 2,025,000.00 3.875% Aa1 4/21/2026 3/31/2031 4.92 1796 4.03% $ 2,022,427.23 $ 2,011,710.94 $ 16,725,000.00 3.39 1237 3.95% $ 16,752,381.91 $ 16,704,721.90 Agency Securities4
3130AGFP5 FHLB 2.5% 06/12/2026 $ 2,000,000.00 2.500% Aa1 12/19/2023 6/12/2026 0.08 43 3.75% $ 1,920,766.00 $ 1,996,962.00 3135G0Q22 FEDERAL NTNL MORTGAG 1.875% 09/24/2026 $ 1,000,000.00 1.875% Aa1 3/22/2022 9/24/2026 0.42 147 3.76% $ 977,920.00 $ 992,389.00 3130APB87 FHLB 1.1% 10/13/2026 CALLABLE $ 750,000.00 1.100% Aa1 9/23/2021 10/13/2026 0.42 166 3.74% $ 750,000.00 $ 741,022.50 3130AQNR0 FHLB 1.75% 01/27/2027 CALLABLE $ 1,000,000.00 1.750% Aa1 1/25/2022 1/27/2027 0.75 272 3.84% $ 1,000,000.00 $ 984,835.00 3130AQYA5 FHLB 2.25% 02/24/2027 CALLABLE $ 1,000,000.00 2.250% Aa1 2/14/2022 2/24/2027 0.83 300 3.91% $ 1,000,000.00 $ 987,050.00 3133EPN50 FFCB 4.25% 12/15/2028 $ 2,000,000.00 4.250% Aa1 12/13/2023 12/15/2028 2.67 960 3.92% $ 2,007,267.00 $ 2,012,334.00 3 1296 of 1325
City of Union City 1
53601 Cash Portfolio
As of Date: 4/30/2026
Account # x8178 & x4645
Symbol/CUSIP Security Name Par Value Coupon Rate
Moody's/
S&P/Fitch
Rating 2,3
Purchase Date Maturity/
Called Date
Weighted
Average Life
Days to
Maturity
Yield to
Maturity 2
Adjusted
Cost Basis Market Value
3133EPW84 FFCB 3.875% 01/18/2029 $ 1,000,000.00 3.875% Aa1 1/19/2024 1/18/2029 2.75 994 3.94% $ 993,790.00 $ 996,810.00 3133EP5U5 FFCB 4.125% 03/20/2029 $ 1,500,000.00 4.125% Aa1 4/1/2024 3/20/2029 2.92 1055 3.97% $ 1,490,340.00 $ 1,505,076.00 3133ERZD6 FFCB 4% 11/01/2029 $ 2,000,000.00 4.000% Aa1 11/5/2024 11/1/2029 3.50 1281 4.07% $ 1,991,056.00 $ 1,997,866.00 3140W2GG0 FEDERAL NTNL MORTGAG 3% FA1998 04/01/2032 $ 2,000,000.00 3.000% Aa1 7/15/2025 4/1/2032 1.67 2163 4.32% $ 1,249,005.65 $ 1,256,813.76 3132CJDH3 FHLMC 1.5% SA0104 06/01/2032 $ 2,000,000.00 1.500% Aa1 7/15/2025 6/1/2032 2.08 2224 4.95% $ 1,496,985.31 $ 1,513,576.93 3140W2K91 FEDERAL NTNL MORTGAG 2% FA2119 08/01/2032 $ 1,750,000.00 2.000% Aa1 7/15/2025 8/1/2032 1.75 2285 4.61% $ 1,253,629.25 $ 1,271,327.79 3140W2GF2 FEDERAL NTNL MORTGAG 2.5% FA1997 04/01/2036 $ 1,500,000.00 2.500% Aa1 7/15/2025 4/1/2036 2.00 3624 4.33% $ 1,129,310.89 $ 1,139,402.08 3140W2GE5 FEDERAL NTNL MORTGAG 2% FA1996 03/01/2038 $ 750,000.00 2.000% Aa1 7/30/2025 3/1/2038 3.67 4323 4.43% $ 608,318.89 $ 612,624.89 3133KYY37 FHLMC 5.5% RB5230 05/01/2043 $ 2,500,000.00 5.500% Aa1 7/15/2025 5/1/2043 4.25 6210 4.85% $ 1,432,490.12 $ 1,441,255.61 $ 22,750,000.00 2.06 1682 4.16% $ 19,300,879.11 $ 19,449,345.56 Municipal Bonds
$ - $ - $ -
$ - $ - $ -
Corporate Bonds
06048WM31 BANK OF AMERICA CORP 1.25% 05/28/2026 CALLABLE $ 1,000,000.00 1.250% A1 5/26/2021 5/28/2026 0.08 28 6.24% $ 1,000,000.00 $ 997,845.00 459200LF6 INTERNTNL BUSINESS M 4.65% 02/10/2028 CALLABLE $ 500,000.00 4.650% A3 7/31/2025 2/10/2028 1.67 651 4.29% $ 503,492.16 $ 502,607.50 539830BZ1 LOCKHEED MARTIN CORP 4.45% 05/15/2028 CALLABLE $ 1,000,000.00 4.450% A2 7/16/2025 5/15/2028 2.00 746 4.21% $ 1,006,311.76 $ 1,004,116.00 91324PFN7 UNITEDHEALTH GROUP I 4.4% 06/15/2028 CALLABLE $ 1,000,000.00 4.400% A+ 7/15/2025 6/15/2028 2.08 777 4.24% $ 999,260.00 $ 1,003,610.00 125523AH3 THE CIGNA GROUP 4.375% 10/15/2028 CALLABLE $ 1,000,000.00 4.375% A- 7/15/2025 10/15/2028 2.50 899 4.37% $ 996,390.00 $ 1,000,180.00 20030NCT6 COMCAST CORP 4.15% 10/15/2028 CALLABLE $ 690,000.00 4.150% A3 7/15/2025 10/15/2028 2.50 899 4.30% $ 686,477.20 $ 686,975.04 571748BG6 MARSH & MCLENNAN COM 4.375% 03/15/2029 CALLABLE $ 1,000,000.00 4.375% A3 7/15/2025 3/15/2029 2.92 1050 4.36% $ 998,920.00 $ 1,000,563.00 95000U3T8 WELLS FARGO & CO VAR 04/23/2029 CALLABLE $ 1,500,000.00 4.970% A1 7/15/2025 4/23/2029 2.00 1089 4.66% $ 1,511,986.65 $ 1,510,690.50 38141GWZ3 THE GOLDMAN SACHS GR VAR 05/01/2029 CALLABLE $ 750,000.00 4.223% A2 7/15/2025 5/1/2029 2.00 1097 4.78% $ 744,010.00 $ 743,395.50 171239AL0 CHUBB INA HOLDINGS L 4.65% 08/15/2029 CALLABLE $ 1,000,000.00 4.650% A2 7/15/2025 8/15/2029 3.25 1203 4.35% $ 1,008,452.18 $ 1,008,220.00 00287YBX6 ABBVIE INC. 3.2% 11/21/2029 CALLABLE $ 1,275,000.00 3.200% A2 6/25/2025 11/21/2029 3.58 1301 4.35% $ 1,217,261.25 $ 1,225,899.75 693475AZ8 THE PNC FINL SERVICE 2.55% 01/22/2030 CALLABLE $ 1,000,000.00 2.550% A3 7/15/2025 1/22/2030 3.75 1363 4.51% $ 919,410.00 $ 931,444.00 29379VBX0 ENTERPRISE PRODUCTS 2.8% 01/31/2030 CALLABLE $ 1,000,000.00 2.800% A3 7/15/2025 1/31/2030 3.75 1372 4.41% $ 930,750.00 $ 944,700.00 532457CV8 ELI LILLY AND CO 4.75% 02/12/2030 CALLABLE $ 750,000.00 4.750% Aa3 7/16/2025 2/12/2030 3.67 1384 4.27% $ 762,338.23 $ 762,490.50 036752BB8 ELEVANCE HEALTH, INC 4.75% 02/15/2030 CALLABLE $ 1,000,000.00 4.750% A- 7/16/2025 2/15/2030 3.75 1387 4.54% $ 1,003,235.97 $ 1,006,650.00 26442CBP8 DUKE ENERGY CAROLINA 4.85% 03/15/2030 CALLABLE $ 800,000.00 4.850% Aa3 7/15/2025 3/15/2030 3.83 1415 4.36% $ 812,231.40 $ 812,657.60 713448ES3 PEPSICO, INC. 2.75% 03/19/2030 CALLABLE $ 750,000.00 2.750% A1 7/15/2025 3/19/2030 3.92 1419 4.26% $ 699,677.50 $ 708,801.00 172967ME8 CITIGROUP INC. VAR 03/20/2030 CALLABLE $ 1,450,000.00 3.980% A3 6/16/2025 3/20/2030 2.92 1420 4.90% $ 1,412,039.00 $ 1,424,768.55 437076CB6 THE HOME DEPOT, INC. 2.7% 04/15/2030 CALLABLE $ 1,000,000.00 2.700% A2 7/15/2025 4/15/2030 4.00 1446 4.33% $ 927,570.00 $ 941,889.00 025816DU0 AMERICAN EXPRESS CO VAR 04/25/2030 CALLABLE $ 1,500,000.00 5.532% A2 7/16/2025 4/25/2030 3.00 1456 4.53% $ 1,546,159.74 $ 1,543,516.50 38141GA87 THE GOLDMAN SACHS GR VAR 04/25/2030 CALLABLE $ 700,000.00 5.727% A2 6/16/2025 4/25/2030 3.00 1456 4.69% $ 720,066.31 $ 719,851.30 61748UAE2 MORGAN STANLEY VAR 01/15/2031 CALLABLE $ 1,500,000.00 5.230% A1 2/18/2026 1/15/2031 3.75 1721 4.74% $ 1,552,780.00 $ 1,525,311.00 $ 22,165,000.00 2.92 1190 4.56% $ 21,958,819.35 $ 22,006,181.74 CMO & Asset Backed Securities
146919AC9 CARVANA AUTO RECEIVA 4.26% 10/10/2029 ABS $ 1,500,000.00 4.260% Aaa 7/29/2025 10/10/2029 0.67 1259 4.59% $ 1,143,096.66 $ 1,146,099.22 02008FAD6 ALLY AUTO RECEIVABLE 4.94% 241 10/15/2029 ABS $ 1,500,000.00 4.940% AAA 7/29/2025 10/15/2029 1.33 1264 4.22% $ 1,518,174.06 $ 1,514,789.85 34533MAE6 FORD CREDIT AUTO LEA 3.95% 25B 07/15/2031 ABS $ 1,750,000.00 3.950% Aaa 7/29/2025 7/15/2031 1.58 1902 4.27% $ 1,748,847.89 $ 1,750,245.53 02582JKT6 AMERICAN EXPRESS CRE 4.51% 255 07/15/2032 ABS $ 1,500,000.00 4.510% AAA 7/29/2025 7/15/2032 4.25 2268 4.33% $ 1,512,959.22 $ 1,512,776.70 $ 6,250,000.00 2.02 1708 4.34% $ 5,923,077.83 $ 5,923,911.30 Supranationals
$ - $ - $ -
$ - $ - $ -
Totals 93,651,095.10 $ $ 89,696,253.30 $ 89,898,998.42
1 Account adjusted cost basis, ending value, and other information reflects the market value of your cash and investments provided by Charles Schwab & Co., Inc (Schwab). It does not include pending transactions, unpriced securities or assets held outside Schwab's custody. Values may not reflect all of your gains/losses and may be rounded up to the nearest dollar; Schwab has provided accurate gain and loss information wherever possible for most investments. Cost basis may be incomplete or unavailable for some of your holdings and may change or be adjusted in certain cases. 2 Portfolio Manager provides bond ratings from Moody and Standard & Poor, and the highest of these ratings is reported for each bond. Portfolio Manager also also provides weighted-average-life and yield-to-maturity as of the month-end's valuation. 3 See acompanying Moody's, Standard and Poor's, and Fitch's ratings descriptions and further details on the rating process from the rating agencies. 4 Agency Mortgage Pool Investments, such as bonds issued from the Federal Home Loan Mortgage Corporation (FHLMC), Federal National Mortgage Association (FNMA), or Government National Mortgage Association (GNMA), are amortizing bonds whose principal is paid down over time. As such, performance should be evaluated relative to the Cost Basis of the Investment, not the Par Value. 4 1297 of 1325
City of Union City
Rating Agency Disclosures
As of Date: 4/30/2026
Rater
Moody's1 Aaa Aa1 Aa2 Aa3 A1 A2 A3 Baa1 Baa2 Baa3 Ba1 Ba2 Ba3 B1 B2 B3 Below S&P/Fitch 2,3 AAA AA+ AA AA- A+ A A- BBB+ BBB BBB- BB+ BB BB- B+ B B- Below 1 - Moody’s Official Rating Descriptor/Definition: Credit Ratings are assigned on Moody’s global long-term and short-term rating scales and are forward-looking opinions of the relative credit risks of financial obligations issued by non-financial corporates, financial institutions, structured finance vehicles, project finance vehicles, and public sector entities. Moody’s defines credit risk as the risk that an entity may not meet its contractual financial obligations as they come due and any estimated financial loss in the event of default or impairment. The contractual financial obligations addressed by Moody’s ratings are those that call for, without regard to enforceability, the payment of an ascertainable amount, which may vary based upon standard sources of variation (e.g., floating interest rates), by an ascertainable date. Moody’s rating addresses the issuer’s ability to obtain sufficient cash to service the obligation, and its willingness to pay. Moody’s ratings do not address non-standard sources of variation in the amount of the principal obligation (e.g., equity indexed), absent an express statement to the contrary in a press release accompanying an initial rating. Long-term ratings are assigned to issuers or obligations with an original maturity of eleven months or more and reflect both on the likelihood of a default or impairment on contractual financial obligations and the expected financial loss suffered in the event of default or impairment. Short-term ratings are assigned to obligations with an original maturity of thirteen months or less and reflect both on the likelihood of a default or impairment on contractual financial obligations and the expected financial loss suffered in the event of default or impairment. Moody’s issues ratings at the issuer level and instrument level on both the long-term scale and the short-term scale. Typically, ratings are made publicly available although private and unpublished ratings may also be assigned. Source: Moody's "Rating Symbols and Definitions”, 2025 edition. https://ratings.moodys.com/api/rmc-documents/53954 2 - Standard & Poor’s Official Rating Descriptor/Definition: An S&P Global Ratings issue credit rating is a forward-looking opinion about the creditworthiness of an obligor with respect to a specific financial obligation, a specific class of financial obligations, or a specific financial program (including ratings on medium-term note programs and commercial paper programs). It takes into consideration the creditworthiness of guarantors, insurers, or other forms of credit enhancement on the obligation and considers the currency in which the obligation is denominated. The opinion reflects S&P Global Ratings' view of the obligor's capacity and willingness to meet its financial commitments as they come due, and this opinion may assess terms, such as collateral security and subordination, which could affect ultimate payment in the event of default. Source: “S&P Global Ratings Definitions” last updated 12/02/2024. https://www.spglobal.com/ratings/en/research/articles/190705-s-p-global-ratings-definitions-504352 Investment Grade Rating Non-Investment Grade Rating
3 - Fitch’s Official Rating Descriptor/Definition: Fitch Ratings publishes credit ratings that are forward-looking opinions on the relative ability of an entity or obligation to meet financial commitments. Issuer default ratings (IDRs) are assigned to corporations, sovereign entities, financial institutions such as banks, leasing companies and insurers, and public finance entities (local and regional governments). Issue level ratings are also assigned, often include an expectation of recovery and may be notched above or below the issuer level rating. Issue ratings are assigned to secured and unsecured debt securities, loans, preferred stock and other instruments, Structured finance ratings are issue ratings to securities backed by receivables or other financial assets that consider the obligations’ relative vulnerability to default. Credit ratings are indications of the likelihood of repayment in accordance with the terms of the issuance. In limited cases, Fitch may include additional considerations (i.e., rate to a higher or lower standard than that implied in the obligation’s documentation). Please see the section Specific Limitations Relating to Credit Rating Scales for details. Credit ratings express risk in relative rank order, which is to say they are ordinal measures of credit risk and are not predictive of a specific frequency of default or loss. Fitch’s credit ratings do not directly address any risk other than credit risk. Credit ratings do not deal with the risk of market value loss due to changes in interest rates, liquidity and/or other market considerations.

However, market risk may be considered to the extent that it influences the ability of an issuer to pay or refinance a financial commitment. Ratings nonetheless do not reflect market risk to the extent that they influence the size or other conditionality of the obligation to pay upon a commitment (for example, in the case of payments linked to performance of an equity index). Source: Fitch's "Rating Definitions" last updated 9/19/2025. https://www.fitchratings.com/research/banks/rating-definitions-19-09-2025 5 1298 of 1325
City of Union City *
115 Trust - OPEB
As of Date: 4/30/2026
Account # x3931
Symbol/CUSIP Security Name Cost Basis Market Value
Equity Funds
AVDE AVANTIS INTERNATIONAL EQUITY ETF $ 728,645.28 $ 838,858.96 AVLV AVANTIS US LARGE CAP VALUE ETF $ 435,921.85 $ 451,462.55 DYNF ISHARES U.S. EQUITY FACTOR ROTATION ACTIVE ETF $ 263,504.37 $ 324,184.17 EFV ISHARES MSCI EAFE VALUE ETF $ 451,373.75 $ 631,627.18 IEMG ISHARES CORE MSCI $ 270,411.73 $ 430,193.02
IFRA ISHARES US INFRASTRUCTURE ETF $ 291,557.95 $ 376,770.98 IVV ISHARES CORE S&P $ 1,149,212.61 $ 1,383,993.59
QUAL ISHARS EDG MSCI USA QLTY $ 413,936.95 $ 475,582.11 SPYG STATE STREET SPDR PORT S&P 500 GR ETF $ 143,212.53 $ 210,268.66 SPYV STATE STREET SPDR PORT S&P 500 VAL ETF $ 40.67 $ 42.54 VGT VANGUARD INFORMATION $ 176,294.15 $ 230,424.93
VIGI VANGUARD INTL DIV APPREC ETF $ 55.87 $ 57.28
$ 4,324,167.71 $ 5,353,465.97
Bonds Funds
FBND FIDELITY TOTAL BOND ETF $ 1,517,718.62 $ 1,528,254.14 FLXR TCW FLEXIBLE INCOME ETF $ 512,943.80 $ 510,892.80
IUSB ISHARES CORE UNIVERSAL USD BOND ETF $ 0.67 $ 0.66
JAAA JANUS HENDERSON AAA CLO ETF $ 5.71 $ 5.70
JPIB JPMORGAN INTERNATIONAL BOND OPPS ETF $ 463,548.59 $ 457,095.45 JPIE JPMORGAN INCOME ETF $ 1.64 $ 1.63
PIMIX PIMCO INCM INST CL $ 1,572,196.19 $ 1,604,851.72
PYLD PIMCO MULTISECTOR BOND ACTIVE ETF $ 511,059.85 $ 511,537.19 $ 4,577,475.07 $ 4,612,639.29
CASH
CASH Cash — $ 59,136.67
$ 59,136.67
Total 8,901,642.78 $ $ 10,025,241.93
* Account adjusted cost basis, ending value, and other information reflects the market value of your cash and investments provided by Charles Schwab & Co., Inc (Schwab). It does not include pending transactions, unpriced securities or assets held outside Schwab's custody. Values may not reflect all of your gains/losses and may be rounded up to the nearest dollar; Schwab has provided accurate gain and loss information wherever possible for most investments. Cost basis may be incomplete or unavailable for some of your holdings and may change or be adjusted in certain cases. 6 1299 of 1325
City of Union City *
115 Trust - OPEB Police
As of Date: 4/30/2026
Account # x9384
Symbol/CUSIP Security Name Cost Basis Market Value
Equity Funds
AVDE AVANTIS INTERNATIONAL EQUITY ETF $ 637,292.04 $ 733,687.78 AVLV AVANTIS US LARGE CAP VALUE ETF $ 383,761.69 $ 397,442.87 DYNF ISHARES U.S. EQUITY FACTOR ROTATION ACTIVE ETF $ 231,643.65 $ 285,408.34 EFV ISHARES MSCI EAFE VALUE ETF $ 486,014.55 $ 556,223.20 IEMG ISHARES CORE MSCI $ 238,066.86 $ 378,711.96
IFRA ISHARES US INFRASTRUCTURE ETF $ 256,262.53 $ 331,740.39 IVV ISHARES CORE S&P $ 1,011,333.50 $ 1,216,637.19
QUAL ISHARS EDG MSCI USA QLTY $ 364,320.75 $ 418,788.71 SPYG STATE STREET SPDR PORT S&P 500 GR ETF $ 126,901.86 $ 186,527.14 SPYV STATE STREET SPDR PORT S&P 500 VAL ETF $ 19.78 $ 20.68 VGT VANGUARD INFORMATION $ 156,665.13 $ 203,069.14
VIGI VANGUARD INTL DIV APPREC ETF $ 4.68 $ 4.79
$ 3,892,287.02 $ 4,708,262.19
Bonds Funds
FBND FIDELITY TOTAL BOND ETF $ 1,336,078.00 $ 1,345,500.22 FLXR TCW FLEXIBLE INCOME ETF $ 451,583.33 $ 449,766.72
IUSB ISHARES CORE UNIVERSAL USD BOND ETF $ 5.08 $ 5.02
JAAA JANUS HENDERSON AAA CLO ETF $ 11.14 $ 11.12
JPIB JPMORGAN INTERNATIONAL BOND OPPS ETF $ 408,115.53 $ 402,417.12 JPIE JPMORGAN INCOME ETF $ 27.51 $ 27.42
PIMIX PIMCO INCM INST CL $ 1,384,158.92 $ 1,412,895.45
PYLD PIMCO MULTISECTOR BOND ACTIVE ETF $ 449,895.81 $ 450,359.76 $ 4,029,875.32 $ 4,060,982.83
CASH
CASH Cash — $ 56,893.95
$ 56,893.95
Total 7,922,162.34 $ $ 8,826,138.97
* Account adjusted cost basis, ending value, and other information reflects the market value of your cash and investments provided by Charles Schwab & Co., Inc (Schwab). It does not include pending transactions, unpriced securities or assets held outside Schwab's custody. Values may not reflect all of your gains/losses and may be rounded up to the nearest dollar; Schwab has provided accurate gain and loss information wherever possible for most investments. Cost basis may be incomplete or unavailable for some of your holdings and may change or be adjusted in certain cases. 7 1300 of 1325
City of Union City *
115 Trust - OPEB Fire
As of Date: 4/30/2026
Account # x9534
Symbol/CUSIP Security Name Cost Basis Market Value
Equity Funds
AVDE AVANTIS INTERNATIONAL EQUITY ETF $ 155,963.83 $ 179,230.34 AVLV AVANTIS US LARGE CAP VALUE ETF $ 94,791.06 $ 98,170.38 DYNF ISHARES U.S. EQUITY FACTOR ROTATION ACTIVE ETF $ 58,429.43 $ 70,619.42 EFV ISHARES MSCI EAFE VALUE ETF $ 93,223.36 $ 131,869.09 IEMG ISHARES CORE MSCI $ 58,878.73 $ 93,678.65
IFRA ISHARES US INFRASTRUCTURE ETF $ 63,336.36 $ 82,027.75 IVV ISHARES CORE S&P $ 252,588.49 $ 300,310.00
QUAL ISHARS EDG MSCI USA QLTY $ 90,408.81 $ 103,576.52
SPYG STATE STREET SPDR PORT S&P 500 GR ETF $ 35,169.65 $ 47,785.53 SPYV STATE STREET SPDR PORT S&P 500 VAL ETF $ 45.99 $ 48.10 VGT VANGUARD INFORMATION $ 38,742.43 $ 50,482.77
VIGI VANGUARD INTL DIV APPREC ETF $ 12.89 $ 13.22
$ 941,591.03 $ 1,157,811.77
Bonds Funds
FBND FIDELITY TOTAL BOND ETF $ 325,701.36 $ 327,837.41
FLXR TCW FLEXIBLE INCOME ETF $ 111,636.07 $ 111,192.00
IUSB ISHARES CORE UNIVERSAL USD BOND ETF $ 17.10 $ 16.95 JAAA JANUS HENDERSON AAA CLO ETF $ 21.75 $ 21.71
JPIB JPMORGAN INTERNATIONAL BOND OPPS ETF $ 100,949.62 $ 99,546.30 JPIE JPMORGAN INCOME ETF $ 40.79 $ 40.65
PIMIX PIMCO INCM INST CL $ 345,900.45 $ 352,980.41
PYLD PIMCO MULTISECTOR BOND ACTIVE ETF $ 115,851.74 $ 115,906.39 $ 1,000,118.88 $ 1,007,541.82
CASH
CASH Cash — $ 17,367.47
$ 17,367.47
Total 1,941,709.91 $ $ 2,182,721.06
* Account adjusted cost basis, ending value, and other information reflects the market value of your cash and investments provided by Charles Schwab & Co., Inc (Schwab). It does not include pending transactions, unpriced securities or assets held outside Schwab's custody. Values may not reflect all of your gains/losses and may be rounded up to the nearest dollar; Schwab has provided accurate gain and loss information wherever possible for most investments. Cost basis may be incomplete or unavailable for some of your holdings and may change or be adjusted in certain cases. 8 1301 of 1325
City of Union City *
115 Trust - Pension Stabilization
As of Date: 4/30/2026
Account # x9441
Symbol/CUSIP Security Name Cost Basis Market Value
Equity Funds
AVDE AVANTIS INTERNATIONAL EQUITY ETF $ 1,580,652.48 $ 1,819,739.36 AVLV AVANTIS US LARGE CAP VALUE ETF $ 944,316.23 $ 977,981.29 DYNF ISHARES U.S. EQUITY FACTOR ROTATION ACTIVE ETF $ 560,657.98 $ 702,215.83 EFV ISHARES MSCI EAFE VALUE ETF $ 952,099.37 $ 1,368,332.58 IEMG ISHARES CORE MSCI $ 585,666.02 $ 931,724.46
IFRA ISHARES US INFRASTRUCTURE ETF $ 607,027.49 $ 816,123.43 IVV ISHARES CORE S&P $ 2,441,570.43 $ 3,002,605.27
QUAL ISHARS EDG MSCI USA QLTY $ 882,141.27 $ 1,030,181.78 SPYG STATE STREET SPDR PORT S&P 500 GR ETF $ 311,005.89 $ 456,484.72 SPYV STATE STREET SPDR PORT S&P 500 VAL ETF $ 14.67 $ 15.35 VGT VANGUARD INFORMATION $ 377,933.20 $ 499,872.97
VIGI VANGUARD INTL DIV APPREC ETF $ 28.41 $ 29.13
$ 9,243,113.44 $ 11,605,306.17
Bonds Funds
FBND FIDELITY TOTAL BOND ETF $ 3,275,104.18 $ 3,309,988.54 FLXR TCW FLEXIBLE INCOME ETF $ 1,110,971.03 $ 1,106,527.68 IUSB ISHARES CORE UNIVERSAL USD BOND ETF $ 3.34 $ 3.31
JAAA JANUS HENDERSON AAA CLO ETF $ 41.03 $ 40.97
JPIB JPMORGAN INTERNATIONAL BOND OPPS ETF $ 1,004,004.26 $ 990,028.83 JPIE JPMORGAN INCOME ETF $ 37.61 $ 37.49
PIMIX PIMCO INCM INST CL $ 3,400,776.82 $ 3,475,903.18
PYLD PIMCO MULTISECTOR BOND ACTIVE ETF $ 1,106,868.79 $ 1,107,903.31 $ 9,897,807.06 $ 9,990,433.31
CASH
CASH Cash — $ 118,274.15
$ 118,274.15
Total 19,140,920.50 $ $ 21,714,013.63
* Account adjusted cost basis, ending value, and other information reflects the market value of your cash and investments provided by Charles Schwab & Co., Inc (Schwab). It does not include pending transactions, unpriced securities or assets held outside Schwab's custody. Values may not reflect all of your gains/losses and may be rounded up to the nearest dollar; Schwab has provided accurate gain and loss information wherever possible for most investments. Cost basis may be incomplete or unavailable for some of your holdings and may change or be adjusted in certain cases. 9 1302 of 1325
Item 6.4.

Quarterly Investment Report
as of April 30, 2026
Chu Thai, Finance Director
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City of Union City
Quarterly Treasury
Update (as of
4/30/2026)
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Meet Your Primary Contacts
Mark Shuster
Managing Partner, CEO
[email protected]
JoAnn Parrino
Partner, Senior Consultant
[email protected]
Sarah Yauchzee
Operations Director
[email protected]
Michael Gonzalez

CFA, MSF
Portfolio Manager
[email protected]
Carl Steinhilber
CFS
Senior Plan Consultant
[email protected]
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Powers and Duties Common To Cities,
Counties And Other Agencies
CA GOVT CODE §53600.3.

Background
• For over 30 years, Shuster, and its prior affiliates have provided retirement plan consulting to both corporate and public sector plans.
• Recognizing a gap in quality and independent advisory services in the public sector over a decade ago, Shuster entered the sector in 2013.
• Since our first public sector client engagement in 2015, we have onboarded over 100 new agency clients, encompassing over 225 public agency plans. Currently, we serve as the adviser for more than 250 qualified retirement plans. • Our comprehensive plan audit, RFP process and investment advisory services have resulted in significant cost reductions and improved safety of principal options for plan participants.
• Unwavering focus on delivering state-of-the-art, low cost and compliant retirement plans to our plan sponsor customers and their employees.
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Shuster Advisory Group
• SEC-Registered Investment Advisor w/ $11B+ in assets
under management / advisement
• Full fiduciary to investments
• Must act in the best interest of the agency
• Provides ongoing investment management, trust level
and administrative services
• Independent/non-proprietary
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Plan Consulting Services
Defined Contribution
• 457(b)
• 457(f)
• 401(a)
• 401(k)
• 403(b)
• 415(m)
• PT-OBRA/ Social Security
Alternative
Retiree Medical Reimbursement
Pension
• Defined Benefit
• Cash Balance
• Supplemental Defined Benefit
Future Liability Prefunding (115 Trust)
• Pension
• OPEB
Operating Reserves/Cash Accounts
• Cash Management
• Bonds
• Pooled Cash
• CD’s
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Cities and Towns We Proudly Serve
The cities and agencies listed above do not expressly recommend Shuster Advisory Group, a HUB International Company.

City Cash Account Update
a. Account Balances
i. 3/31/26:
• Fixed Income Investments Balance (excluding CDs): $63,937,558 ii. 4/30/26:
• Fixed Income Investments Balance (excluding CDs): $64,108,442 b. Current Yield
i. 3/31/26: 3.71%
ii. 4/30/26: 3.81%
c. Yield to Worst
i. 3/31/25: 4.17%
ii. 4/30/26: 4.24%
d. Pricing: Total 7 bps per annum
i. Fiduciary Fee: 1 bp
ii. Portfolio Management Fee: 6 bps
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115 Trust Update – City Accounts
Assets as of OPEB Pension Stabilization Total
3/31/2026 $9,551,458 $20,686,931 $30,238,389
4/30/2026 $10,025,242 $21,714,014 $31,739,256
Account
Allocation
(Equity/Fixed
Income)
Discount
Rate
1-Year
Return
Since Inception
Return
Since
Inception
Date
As of 3/31/2026
OPEB 50/50% 6.00% 14.53% 11.31% 1/22/2025 Benchmark 12.75% 9.61% Pension Stabilization 50/50% 6.80% 14.42% 12.02% 1/2/2025 Benchmark 12.75% 10.58% As of 4/30/2026
OPEB 50/50% 6.00% 19.27% 14.83% 1/22/2025 Benchmark 17.45% 13.19% Pension Stabilization 50/50% 6.80% 19.26% 15.38% 1/2/2025 Benchmark 17.45% 13.98% Pricing Summary: Total 15 bps per annum
• Admin Fees (Admin, Custody, & Trustee)1: 4 bps
• Investment Management Fee: 11 bps
1 - Shuster Admin Fee is 1 basis point per annum and will convert to a flat dollar fee after the end of contract year-3 based on the highest year-end balance of the first 3 contract years. Schwab Custody fee is 1 basis point per annum with an annual minimum of $400 per plan. Alta Trustee fee is 2 basis points with an annual maximum of $5,000 per plan. 1321 of 1325
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115 Trust Update – Police/Fire OPEB Accounts
Assets as of OPEB Pension Stabilization Total
3/31/2026 $8,409,232 $2,079,684 $10,488,917
4/30/2026 $8,826,139 $2,182,721 $11,008,860
Account
Allocation
(Equity/Fixed
Income)
Discount
Rate
1-Year
Return
Since Inception
Return
Since
Inception
Date
As of 3/31/2026
OPEB Police 50/50% 6.00% 14.41% 11.23% 1/22/2025 Benchmark 12.75% 9.61% OPEB Fire 50/50% 6.00% 14.55% 11.32% 1/22/2025 Benchmark 12.75% 9.61% As of 4/30/2026
OPEB Police 50/50% 6.00% 19.14% 14.75% 1/22/2025 Benchmark 17.45% 13.19% OPEB Fire 50/50% 6.00% 19.28% 14.84% 1/22/2025 Benchmark 17.45% 13.19% Pricing Summary: Total 15 bps per annum
• Admin Fees (Admin, Custody, & Trustee)1: 4 bps
• Investment Management Fee: 11 bps
1 - Shuster Admin Fee is 1 basis point per annum and will convert to a flat dollar fee after the end of contract year-3 based on the highest year-end balance of the first 3 contract years. Schwab Custody fee is 1 basis point per annum with an annual minimum of $400 per plan. Alta Trustee fee is 2 basis points with an annual maximum of $5,000 per plan. 1322 of 1325
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Section 115 Trust Performance (5/22/2026)
For the above report, market values include accrued interest. Performance returns are Annualized and calculated using TWR, Net of Fees. Asset level returns are gross of fees.

Note: All portfolio allocation options are available with Shuster. Shuster’s performance is calculated by Morningstar, is net of all Trust program fees and net of embedded fund expense, and is believed to be accurate but is not guaranteed. Any discrepancy is purely accidental. This summary is for simplification purposes only and is not guaranteed. Past performance is not a guarantee of future performance.
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457(b), 401(a), & PTS Plans Update
As of Plan 457(b) Plan 401(a) Plan PTS Plan Total
3/31/26
Assets $40,962,515 $6,367,434 $636,382 $47,966,331
Participants 284 78 369 653*
4/30/26
Assets $43,619,862 $6,704,325 $639,992 $50,964,180
Participants 284 77 372 656*
b. Pricing Summary: 457(b) and 401(a) Plans
i. MissionSquare Recordkeeping and Admin: 4 basis points (bps) per annum i. Prior to Shuster: 37 bps
ii. Shuster Advisory Services: $38,000 per annum split pro-rata (equates to 7.5bps) a. Account Balances
*Assumes participants in the 401(a) plan are also participating in the 457(b) plan 1324 of 1325
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Unless otherwise stated,all information, including fees and interest rates, is gatheredfrom the Agency or publicly available sources.

Past performanceis no guaranteeof future results.

Union City City CouncilMay 26, 2026

Union City City Council
May 26, 2026